Full text of H.16 Capital Market Developments : January 15, 1968

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six uoms

Not for Publication
H. 14

January 15, 1,968

(CAPITAL MARKETS DEVELOIMENTS
IN TRt; UNlTfcD STATES

lb 1968

:e and municipal bond markets. Although total long-term
offering^'tWts we ;k should total about $1.2 billion, the volume of new,
pub 1 icly-uIi1 tir(id, corporate and municipal securities expected this week is
below the average weekly volume over the past year. The largest corporate
offering will be the El Paso Natural Gas Company1 s $60 million convertible
debenture issue, while featured in the municipal volume is the New York j
State Dormitory Authority's $48.1 million issue, postponed in mid-December
owing to market conditions. Dominating the long-term market this week
will be the public offering of $800 million of F.N.M.A. participation
certificates.
1/
Long-term Public Security Offerings—
(In millions of dollars)

Corporate
New Capital | Refunding

State & Local Government
New Capital | Refunding

Sold:
336

259

5
12

r/19
"397

217'

19

207

52 weeks avg.
January

Scheduled;
January

1/

192

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

Yields on new and seasoned corporate bonds declined again last
week, but new issue receptions were somewhat less favorable than they had
been the previous week. Although the negotiated industrial offerings —
which included the accelerated offering of Standard Oil of Indiana's
$200 million issue — sold out quickly, the competitively bid utility
offering# met only a lukewarm reception.
Yields on municipals also declined last week, but in this market
too new issue receptions, although good, were not as enthusiastic as they
had been the week before. By the end of the week, about 78 per cent of the
weekly new issue volume had been spoken for, as contrasted to 96 per cen
the week earlier.




H. 14

Yields of Security Markets
High Grade
Notes and Bonds

. Change from
preceding week

Levels Latest Week

Corporate
New
Seasoned

6.20

6.19

13
4

5..12
5.48

11
13

4.08
4.35

7
11

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

4.53

-

3

5.06
5.30

+
-

7
9

Corporate Bonds Still in Syndicate
Date
Offered

Amount
(millions of $)

1/10

1/9

100.0

28.0

Reoffering
Yield

Issuer

Northwestern Bell Tel.,
6-1/4's - 2007

6.25

Central Power & Light,
6-5/8's - 1998

6.50

Rating

Estimated proportion sold

66%
90%

Aa

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
317(1/9/68).




End of Previous Week
335

Recent High
849(4/26/67)

H. 14

FNMA secondary market and other operations. Offerings of mortgages from private holders for purchase in the secondary market by Federal
National Mortgage Association accelerated further in November to a level of
$324.7 million. The further increase — w h i c h had followed a short-lived
downshift in September in response to a 1.5 point downward adjustment iti
FNMA's prices in late August — brought offerings close to the peaks
reached in December 1965 and January 1966. Indications were for an appir
ciable slowing in December, however, in response to another price reduction
(one point), effective November 25, by FNMA in a move to bring its prices
into closer line with those prevailing in the tightening ; mortgage and related capital markets and to preserve its resources in the face of the upward pressure for additional purchases.
While purchases by FNMA, which tend to lag offerings, edged o: f
;ain
temporarily in November, to $186.9 million, they apparently rose once
in December and indications were for an average in the fourth quarter
a whole second only to that in the first quarter of 1966.
Sales by FNMA, which had been tending down within a very limi :ed
range; moved closer to the zero level in November. This trend apparently
continued in December.
In connection with its other operations, FNMA scheduled another
offering of participation certificates based in part, on mortgages in its
growing special assistance portfolio. The offering, planned for January 16,
was to total $1,250 million, with about $800 million to be made availab Le
to the public and $450 to be placed directly with Government trust and
other accounts. While yields for the January offerings had yet to be
determined, the last previous sale of FNMA participation certificates ih
late November totaled $1 billion (including $350 million which was taken
by Government accounts) and brought yields ranging from 6.35 per cent on
2-year maturities to 6.40 per cent on 20-year maturities.
Stock prices. Common stock prices advanced last week in recordbreaking volume. At the close Friday, Standard & Poor's index of 500
stocks stood at 96.72, up 0.78 from the previous Friday. Allegedly because
of tax-switching, the week's average daily trading volume broke all previous
records on both the American Exchange (7.6 million shares) and the New
York Exchange (13.2 million shares). Friday, the American Exchange alslo
had its busiest day in history when 8.7 million shares were traded. The
previous record — set October 26, 1967 — had been 8.3 million shares.
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
Meerfy't

U.S. IQVERNMINT
Lene-lerm

/V
STATE AND LOCAL GOVERNMENT A u
Moody's

1964

1965

1111

Exhibit A -- Fart. il

Date

1959-60 - High
1966 - High
- Low
1967 - High
- Low
Dec. 15
22
29
Jan. 5
12^/

Corporate
Aaa 1/

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

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)
4.87(9/2)
4.42(1/7)
5.49(11/17)
4.37(2/3)

3.65(9/24/59)
4.04(8/25)
3.39(1/13)
4.15(12/29)
3.25(2/9)

6.16
6.22
6.24
6.24
6.20

5.38
5.34
5.35
5.23
5.12

4.15
4.15
4.15
4.15
4.08

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

.59(8/5/60)
.84(12/30)
.14(2/18)
.92
.44
.78
.88
.89
1.01
1.08

.92(4/22/60)
1.19(2/11)
.77(9/2)
1.51
.74
1.23
1.19
1.20
1.08
1.04

j>/ Preliminaryc
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
years or more.
3/ 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 narrowestv




-5-

LONG-TERM

BOND YIELDS, LOWER

GRADE

Weekly

CORPORATE Baa

STATE AND LOCAL GOVERNMENT Baa
•Moody »

1963




:

j

\

1965

1966

1967

1968

Exhibit B —

Date

Part II

State and
local govt.
Baa 3/

Corporate
Baal/

(per cent)
1959-60 - High
Year end- 1965
1966 - High
Low
196^ - High
Low
Dec. 15
22
29
Jan. 5
I2j>/
Note:

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)

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

6.93
6.96
6.97
6.96
6.86

4.73
4.73
4.73
4.73
4.65

.77
.74
.73
.72
. 66

For footnotes see Exhibit A.




Spread between
Aaa and Baa
State and
Corporate
local Rovt.

1.08
.39
.62
.31
.81
.37
.58
.58
.58
.58
.57

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
Weekly

y=>

6-MONTH BILLS
Market Yields

3-5 YEAR ISSUES

F.R. DISCOUNT RATE
3-MONTH BILLS
Market Yields

1963




1964

1965

1966

1967

1968

Exhibit C -- Part II

I Discount
I
rate

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

1967 - High
Low

Dec. 15
22
29
Jan. 5
12B/

3-month

bills U

4.00
4.50
4.50
4.50
4.50
4.50
4.00

4.59(1/8/60)
4.47
4.80
5.52(9/23)
4.39(6/24)
4.99(12/29)
3.41(6/9)

4.50
4.50
4.50
4.50
4.50

4.96
4.96
4:99
4.99
5.06

Yields
6-month
bills 2/
(per cent)
5.07(l/8/6u)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/15)
3.74(6/2)
4.50?
5.44
5.49
5.39
5.30

3-5 year
issues U

Spread between yields on
3-mo. bills and yields on
6-mo. 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)
5.74
5.68
5.75
5.61
5.48

.79
.19
ol2>
o 52
.09
.62
.01

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

.54
.48
.50
.40
.24

1/ Weekly rate shown is that In effect at end of period at the Federal Reserve Bank of
2/ Market yield; weekly averages computed from daily closing bid prices. Series of 3-5
~ year issues consists of selected notes and bonds.
Note—Highs and lows are for individual series and may be on different dates tor
different series. For spreads, high refers to widest, and low to narrowest.


http://fraser.stlouisfed.org/
"4 Louis
Federal Reserve Bank of St.

-9-

,78
.72
.76
.62
.42

EXHIBIT D, 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

Per

PRIME RATE
FINANCE COMPANY PAPER
Directly

placed

F.R. DISCOUNT RATE
New York

FEDERAL FUNDS;
Effective Rale

1963




1966

1968

cent

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
Dec. 15
22
29
Jan. 5
12 £/

5.00
4.50
5.00
6.00
5.00(3/4)
6.00(12/29)
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)

6.00
6.00
6.00
6.00
6.00

5.38
5.50
5.50
5.50
5.50

4.55
4.50
4.66
4.56
4.53

1.02
.23
.28
1.08
.20
1.33
.21
.41
.54
.51
.51
.45

1/ Weekly rate silown is that in effect at end of period. 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 60-270 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.




-11-

EXHIBIT E, Pari 1

STOCK MARKET
Billions

of

dollars

1941-43 o v e r a g e = 1 0

PRICES

10

100

8

STOCK MARKET CREDIT

6

CHANGE IN SERIES

4

1

Millions

of s h a r e s

1

-

VOLUME

-

^ [ H J V W W ^

]\j\J\

-

-

YIELDS
i i i i i i ii i• ii iII II i i i i-i1i1 1 .1 M i l 11 1l-l 1 M 1 II II I-II I 1 1 II II 1 11 1 1 1 1 1 1 1 1 II
1963
1964
1965
1966
1967
1968



Exhibit E —

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

Common
stock
yields 2/
(per cent)

Part II

Trading
Stock market customer credit
volume J3/
Customers'
Bank ,
(millions
Total
debit bal- loans to
of shares)
ances^/
"others"5/
(In millions of dollars)

10.1

72.04(12/8/61)
52.68(6/22/62)
93.77(2/11)
73.20(10/7)
97.26(10/6)
82.13(1/6)

2.82
3.96
3.01
3.97

92.66
95.30

3.18
3.09

10.6

3.01

3.58

2.4
10.7
5.0
12.3
6.9

11.5

Dec.

29

96.47

3.06

12.3

Jan.

5

95.94
96,72

3.08
3.05

12.2

5,602(12/61)
4,424(1/61)
7,997
7,302
9,644
7,345

4,259(12/61)
3,253(1/61)
5,835
5,169
7,202
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)

9,644
n.a.

7,202
n. a.

2,442
2,464

n. a.
n.a.

n.a.
n.a.

r/2,465
n. a.

2,464

12£/
13.2
:
n.a. Not Available. £/ Preliminary, rf Revised.
_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
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 seie Bulletin.




-13-

H

EXHIBIT F. Port 1

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




Millions ol dollars

~tt:

OFFERINGS

PURCHASES

SALES
1966

1968

400

Exhibit

F - Part

II

Estimated offerings i
to FNMA
Immediate
Standby
Total '
purchase
commitment

Da 11-

Purchases I
by
FNMA
1

Sales
by
FNMA

1

(In millions of dollars)
1966 - Nov.
Dec.
1967 • Jan.
Feb.
Mar.
Apr.
May
June
. juiy
/tig.
V^VSept.
Oct.
Nov.

163.6
121.5
67.9
24.4
26.9
17.8
78.7
229.1
. 232.8
261.0
168.3
260.6
324.7

161.0
120.1
67.3
24.2
26.7
17.7
78.5
228.8
232.6
260.6
167.9
260.1
324.1

2.6
1.4
.6
.2
.2
.1
.2
.3
.2
.4
.4
.5
.6

132.0
130.5
125.0
84.2
50.9
20.6
17.8
26.9
81.2
198.3
192.4
215.1
186.9

•2
.9
.8
1.5
6.0
.9
.8
.2
.3
.1

ess than $50,000.
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 wljiich 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 jinder
both immediate purchases and standby commitment contracts. Data exclude FNMA
activity under Special Assistance and Management and Liquidating Programs.




EXHIBIT G, Port 1

YIELDS O N

NEW

AND

SEASONED

CORPORATE

BONDS

Weekly

A d j u s t e d lo Aaa

Basis

NEW ISSUES

SEASONED tot
Moody's

1964



1965

1966

Yields on New Corporate Bond Issues Adjusted to an Aaa basis

Number
of

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.
Dec.
Weekly averages:
High

6
7
20
20
14
23
14
17
10
15
13
5

496.0
. 481.0
1,073.0
916.0
570.0
993.0
772.0
1,125.0
358.0
716.0
356.5
355.0

1

5.38
5.20
5.31
5.39
5.66
5.79
5.78
5.89
5.88
6.12
6.53
6.51

8
15
22
29
5
i2jaJ

6.59(11/17)

5.11(2/10)

on all ne

of the offerings included are denoted by an asterisk.
2/ Preliminary.




-17-

231.5
230.0
125.0

6.51
6.55
6.42*

15.0
353.0

6.32
6.19

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

New Ca pital
Corporate
1966 p/
1967 R/

State and local 2/
1966 p/
1967

1965

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

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

2,457
2,406
1,723

1,039
1,670
1,382

1,290
850
1,392

941
852
1,256

701
773
1,020

986
648
966

October
November
December

E/2,296
e/1,475 '
e/2.250 •

829
1,085
1,635

924
1,325
1,496

960
1,353
e/ 975

755
969
940

794
1 ,021
754

1st
2nd
3rd
4th

5,363
6,058
6,586
e/6,021 '

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

2,73a
4,789
3,533
3,745

4,116
3,827
3,049
e/3,288

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

2.,580
2j,722
2,,600
2,,569

9,959
14,050
17,601

7,527
11,060
14,805

7,943
10,992
e/14,280

6,146
8,640
11,304

5,,302
7,,902
10,,471

January
February
March
April
May
. June
»

1965

July
August
September

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

11,421
18,007
e/24,028

•

;

if
w

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

Quarter
Quarter
Quarter
Quarter

5,207
5,913

Year
e/
£/
1/
2/
31

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

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

1
3s
•L

13,366

17,269

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.




19-

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

1966 - Dec.

Net proce eds
Gross proceeds for new capital
for new capita 1 1/ 2/
and refunding 1/
Total
Bonus
Common Memo:
Other
Publicly Privately and
Mfg. Public CommviniForeign
Utility catic ns Issuers
Offered Placed
pfd. issues
stock included
1,309
1,558
657
154
1,627
314
2,256
4,197
918
1,232
984
117
1,247
375
3,669
2,047

60

*1

1,382

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

997
1,268
1,219

54:
541
595

1,979

1,662

980

555

127

24

673

409

15:

401

5,464

6,208

220
624
35
91
29$
848
1,684
745
1967 - Jan.
105
563
10
274
362
156
900
1,418
Feb.
503
145
1,254
15
601
143
2,362
1,618
Mar.
1,128
16
394
238
2,016
1,368
410
107
Apr.
91
588
403
32
158
965
396
May.
1.519
1,298
471
659
330
17
1,884
359
2,673
June
446
925
213
214
1,889
487
2,590
July
3?
509
356
1,229
250
13
1,813
418
2,481
Aug.
201)
265
637
8
214
902
647
Sept;
1,763
13:>
918
573
40
470
572
1,375
2,417
Oct. '
55
410
675
• n.a„
350
620
550
Nov. e/ 1.520
205
220
225
n.a. 1,100
1,000
1,075
Dec, e/ 2,300
j>/ PreTiminary. 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 oth^r
transportation, real estate and finance, and commercial and other.
SOURCE: Securities and Exchange Commission.




-20-

1,228

511
456
415
343
393
492
1,046
313

620
673
335
725

Exhibit J
Other Security Offerings
(In millions of dollars)

1967
130

January
February
March
April
Hay
June
July
August
September
October 4
November
December
Jan.

114
27
13
170
5
539
117
66

Oct..

1,181

Year

1,251
783
750
650

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

218

91
33
74
5
52
75

650
407
250
599
708

432
597

584
661

6,858

38
73

810

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

800
239

5,767

6,806

New short-term 4/
State and local Government .5/
Federal Agency
-179
238
308
179
103
-552
387
91
-24
39
-458
-454
-594
450
-319
647
580
-559
718
827
109
462
204
85
515
-82
284
93
-128
-334
119
-590
-103
-158
219
408
-262,
-270
270
593
-146
-161
152
-652
1,407
464
606
59
-48
-555
-33
573
503
274
-283
-366
219
-570

January
i February
March
April
May
June
July
, August
September
October
November '
December
Jan, - Nov,

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

j>/

2,283

Year

489

1,378

422

1,286

624

529
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
877
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 HousingsAuth. notes; In some instances PHA notes;
included may have a somewhat longer maturity than 1 year. Source; Bond Buyer & Federal

Reserve.
-21-



H. .4
Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds of Large Issues Offered
(In million# of dollars)

I

Total

966
967

Dec.
Jan.
Feb.

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

1,177
681
842
1,638
1,311
870
1,666
1,340
1,705
794
1,458
826
978

Bonds
(other than
convertibles)
990
611
709
1,435
956
771
1,072
890
1,288
473
897
461
460

Convertible
bonds

Stocks

118
30
40
140
213 .
55
409
317
350
257
285
150
437

State
and
local
governments

Other

60

779
947
675
669
512
496
875
483
473
847
505
865
633

68

40
93

63
14.1
U.v

165

133
6/
6:
2 -6
2x5

81

%)

230
530

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

Large Individual Issues Offered January 8 through January 12

Issuer

Type 1/

Amount
(millions
of
dollars)

Maturit

Coupon
rate or
net interest cost

Rating

Offering
yield

gorp,;afe
owa Power and Light
entral Power & Light
rucible Steel
orthwestern Bell
Telephone
bbott Laboratories
tandard Oil of Indiana

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

State & local Government
'tate of New York
.0.
airfax Co., Virginia
G.O.
iouston I.S.D., Texas
G.O.
Milwaukee Co., Wisconsin
.0.
atate of Washington
G.O.
3tate of Washington
.0.
Honolulu, Hawaii
G.O.
Omaha Public Power Dist. Rev. -Ut.




6.60

15 .0
28..0
30.,0

1998
1998
1993

100.,0
25. 0
200. 0

2007
1993
1998

6.00

6.25
6.29
6.07

1969-88
1969-93
1969-92
1969-88
1969-88
1968-92 4/
1971-88
1970-1997

4,.20
4..89
4..36
4.,00
4.,10
4..67
4. 30
4. 32

3.65-4, 20
3.90-4,,90
3.70-4, 40
3.60-4,.05
3.50-4, 10
3.60-4 70
3. 90-4L35
3.70-4[ 37

78,.0
15,.0
39 .8
13.,7
16,,5
25,,0
10.,0
45. 0
-22-

6-5/8
6-7/8
6-1/4
6-1/4

6.50
6.50
6.90 |

i

Aa
Aa
Baa
Aaa
Aa
Aaa

Aa
Baa
A
Aaa
Aa
Aa
A
Aa

K-2
Large Individual Issues Offered January 8 through January 12. (Cont'd)

Issuer

Type 3/

Amount'
(millions
of
dollars)

Maturity

Coupon
Offerrate or
net inter- ing
yield
est cost

Rating

Other
Fed. Home Loan Bank
Quebec Hydro-Electric
Commission

Bonds

200.0

1970

6

5.96

Debs.

60.0

1989

6-7/8

7.00

* 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 Develop~~ ment 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/ ' 47o bonds due 1992 reof fered to yield 4.10%.




-23

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

During month following
Corporate
1966 - Dec. 30
1967 - J a n . 31
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept.30
Oct. 31
Nov. 30
Dec. 31

656
486
1,410
767
963
1,449
1,636
1,261
694
534
1,357
826
968

State and

Corporate

Other H

811
706
1,534
•905
1,262
2,065
1,922
1,576
1,335
1,090
2,694
2,129
1,892

80
530
250

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

--

70
100
40
—

100
65
50
845
402

,

1Subsequent t0
date ahown
State and
local eovtr

.

1,154
851
528 .
247
346 |
616
402
575
903
889
743 j
1,684 I
1,076 j

Other 1/
95
545
265
15
85
115
70
150
159
126
- 260
875
502

Forthcoming Large Offerings as of January 112, 1968.

Issuer

Connecticut Light & Power Co.
Connecticut Light & Power Co.
Southern California Edison
Illinois Power Co.
El Paso Natural Gas
Minnesota Power & Light
; Texas Power & Light
Trunkline Gas Co.
Central Soya Co.
Arizona Public Service
Disney Productions
Oklahoma Gas & Electric
Zapata Off-Shore
Western Airlines
Carolina Tel. & Tel.
Texas Electric Service
Commonwealth Edison




Type

Amount
(milllone
of
dollara)

1st mtg. bds.
Pfd, stk.
Com. stk.
1st mtg. bds.
Conv. debs.
1st mtg. bds.
1st mtg. bds.
1st mtg. p.l. bds.
S.F. debs.
Pfd. stk.
*
Conv. debs.
1st mtg. bds.
Conv. debs.
Conv. debs.
Conv. sub. debs.
Debs.
1st mtg. bds.
-24-

20.0
15.0
54.9
25.0
60.0
18.0
25.0
35.0
20.0
16.0
40.0
25.0
15.0
30.0
22.6
16.0
50.0

1
i
Approximate date of
offering

January 16
January i 16
January 16
January ! 16
January 17
January 17
January 23
January 24
January 23
January 23
January 23
January I 24
January 25
January 30
January 30(rts
January
January

30
31

Forthcoming Large Offerings as of January 12, 1968. (Cont'd)

Type

. Issuer

• Amount
(millions
of
dollars)

Approximate date of offerir

Corporate (Cont'd)
*Piedmont Aviation
Michigan Bell Telephone Co.
Southern California Edison Co.
Gulf States Utilities Co.
Gulf States Utilities Co.
United Nuclear Corp.
Duquesne Light Go.
Ohio Power Co.
Montana Power
U.S. Steel

15.0
125.0
100.0
31.0'
25.0
30.0
35.0 °
60.0
30. n
225.0

Conv. debs.
Debs.
1st. mtg. bds.
Com. stk.
1st mtg. bds.
Conv. debs.
1st mtg. bds.
1st mtg. bds.
1st mtg. bds.
Debs.

January 31
February 6
February 6
; February 13
February 13
February 13
February 20
February 13
Indefinite
Indefinite

'

j.

State and local Government
Alabama Highway Authority
St. Louis, Missouri
*N.-Y. State Dorm. Authority
St. Louis Jr. Coll. Dist., Mo.
North Carolina State Ports
Authority, - Wilmington
-Montgomery Co., Maryland
State of. California
State of Oregon
New York City
*Montpelier, Vermont
Jackson, Mississippi
*State of Kentucky
Penna. General State Auth.
Salt River Project Dist.,
; Arizona
Los Angeles Convention Auth.,
California
State of South Carolina
Memphis, Tennessee
*San Francisco B.A.R.T. Special
Service Dist., #1
^Minneapolis - St. Paul, Minn.,
Metro. Airport
Kentucky Turnpike Auth.
Calcasieu Parish, Louisiana

30.0
20.0
48.1
10.0

January
January
January
January

16
16
17
17

11.4
17.0
100.0
10.7
114.3
20.0
10.0
30.0
50.0

January
January
January
January
January
January
January
January
- January

19
23
23
23
25
25
30
30
31

•
f
f
j
;

Rev.-Q.-Ut.

32.0

January

31

f

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

18.0
13.0
30.0

February
February
February

6
6
6

G.O.

12.0

February 14

Rev.-Rent.
Rev.-Q.-Ut.
Rev.-Rent.

16.0
120.0
62.7

February 19
Indefinite
Indefinite

,
{

Part. cert.
Debs.
Bonds

800.0
35.0
15.0

January 16
January 23
Indefinite

|

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

"

.
|
f

j

•

j:
^

Other
F.N.M-.A.
Province of Nova Scotia
New Zealand
i




,
[

-25-

L-3

FOOTNOTES:
*--Included in table for first time.
j
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.




—26—

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;

Nov. 1, 1967 through Jan. 12, 196P

11/14

75.0

Province of Ontario — 6-7/8% debentures 5
maturing 1997, reoffered to yield 6.967

12/5

15.0

Komatsu Manufacturing, Tokyo, 7-1/4% con^|
vertible debentures, maturing 1982, r e H
offered to yield 7.25%.
?

1/11

60.0

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

Indefinite
1/23/68

15.0
35.0

B.

Prospective Offerings
New Zealand — Bonds ***
Province of Nova Scotia

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




M-2
PART lis

Private Placements - Reported January 1 through January 12, 196

Date Reported

Amount
(millions
of
dollars)

1

Issuer and Description of Issue

1/1/68

1.5

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

.1/8/68

12.0

Republic of Portugal -- notes due 1 >68.

ate: For retrospective data on aggregate foreign corporate and government security
fferings in the United States see Exhibits 1 and J. There is no simple relationship
itween the data shown in the Exhibit and that shown in Exhibits I and J because jthe latter
^eludes privately placed securities in the period in which funds are actually taken down
_t only in the amount of takedown while the placements, shown in this exhibit are included
len reported, frequently with little or no information concerning timing of takedown,
ull or partial takedown may take place both prior arid subsequent to the date a placement
s reported.




-28—