Full text of H.16 Capital Market Developments : July 27, 1959

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Not f o r P u b l i c a t i o n DECONTROLLED AFTER SIX MONTHS
Ho 1U

July 27, 1959,
CAPITAL MARKET DEVELOPMENTS
( I n c l u d i n g Quarterly Review of S t a t e and
Local Government S e c u r i t y Financing)

The volume of l a r g e p u b l i c s e c u r i t y f i n a n c i n g , p a r t i c u l a r l y
by S t a t e and l o c a l governments, i s e x p e c t e d t o be somewhat l a r g e r t h i s
week than the v e r y small volume i n r e c e n t weeks. Last week, a corpor a t e i s s u e f o r $50 m i l l i o n and a S t a t e and l o c a l government i s s u e f o r
$13 m i l l i o n were the o n l y l a r g e o f f e r i n g s s o l d . The calendar f o r the
coming week, ending J u l y 31 i n c l u d e s corporate o f f e r i n g s amounting t o
$ 3 5 m i l l i o n and S t a t e and l o c a l government bond i s s u e s with aggregate
proceeds of $112 m i l l i o n .
Bond y i e l d s
Changes i n y i e l d s on outstanding bonds were
mixed l a s t week. Y i e l d s on S t a t e and l o c a l government and high-grade
corporate bonds d e c l i n e d l a s t week, w h i l e those on Baa-rated corporate
bonds remained s t a b l e and those on U„ S„ Government bonds i n c r e a s e d
slightlyo
Mortgage and bond y i e l d s - R e f l e c t i n g some f u r t h e r p r e s s u r e s
i n mortgage markets, d i s c o u n t s on 5 - l A per cent FHA-ingured new home
mortgages a v a i l a b l e f o r immediate d e l i v e r y i n the secondary market
i n c r e a s e d f u r t h e r i n June t o $ 3 . 5 3 per $100 outstanding l o a n amount,
according t o FHA e s t i m a t e s . This represented an average gross annual
y i e l d of about 5°71 per c e n t , the h i g h e s t on record. The 3 - 1 / 2 p o i n t
discount was somewhat g r e a t e r than reported two years j u s t be f o r e FHA
r a i s e d t h e maximum p e r m i s s i b l e i n t e r e s t r a t e on insured mortgages from
5 per c e n t t o the p r e s e n t 5 - l A per c e n t .
Stock p r i c e s - Stock p r i c e s , as measured by Standard and
Poor's index of $00 common s t o c k s i n c r e a s e d l a s t week, c l o s i n g a t 5 9 . 6 5
on J u l y 21;. Trading a c t i v i t y moderated w i t h the d a i l y average volume
being 2 . 8 m i l l i o n shares a day.
S t a t e and Local Government S e c u r i t y
O f f e r i n g s i n the Second Quarter of 1959
The volume of bonds sold by S t a t e and l o c a l governments
(luring the second quarter of 1959 was a record $ 2 . 5 b i l l i o n , o n e - t e n t h
l a r g e r than a year e a r l i e r and o n e - s i x t h g r e a t e r than the volume i n the
f i r s t t h r e e months of t h i s y e a r . For the f i r s t s i x months of 1959,
S t a t e and l o c a l government s e c u r i t y f i n a n c i n g t o t a l e d $li.6 b i l l i o n ,
about $100 m i l l i o n more than i n the f i r s t h a l f of l a s t y e a r . S a l e s of
very l a r g e revenue bonds accounted f o r a much l a r g e r p o r t i o n of t o t a l
volume t h i s y e a r than i n 1958.




*.lk

- 2 Long-term S e c u r i t y I s s u e s of S t a t e and Local Governments
Second Quarter 195U-59
( I n m i l l i o n s of d o l l a r s )
1959

1 1958

1 1957

1 1956

1 1955

1 195U

537
118
610
383
898

675
165
66k
369
U02

Loo
109
611
361
236

l6U
53
L52
287
U96
165

25U
13b
363
2Ul
312
125

U66
2k7

Total

2,518

'2,275

1,717

1,617

1,129

2,372

Purpose of i s s u e s
New c a p i t a l t o t a l

2*521

2,215

668
322
160
h5
376
1*59
133
339

U25
168
65
266
55
103
L69

—

—

16

30

2,518

Issuing authority:
State
County and township
Municipality
School d i s t r i c t
Special authority
Unidentified l /

Schools 2 /
Highways, b r i d g e s and t u n n e l s
Residential buildings
H o s p i t a l s and i n s t i t u t i o n s
Sewer and water
Misc. p u b l i c s e r v i c e e n t e r p r i s e s
Veterans' aid
Other
Unidentified 1f
Refunding
Total
Type of i s s u e s
General o b l i g a t i o n
Revenue
Utility
Quasi-utility
S p e c i a l tax
Rental
Public Housing A u r t h o r i t y
F e d e r a l Government l o a n s 3 /
Total

69k

668
118

7U5
129

1,L18
159
11U
15
213
2U5
68
230
165

39k

365
226
HiO
28
192
37
20
286
125

502 1,068133
U3
162
57
25
217
127

12

lU

11

39

2,275

1,717

1,617

1,129

2,372

1,383
915

1,66L

52
lU3
22
71
72

979
533
n.ae
n.a.
n.a.
n.a.
92
13

860

U7
69
35
105
85

1,173
U70
~353
17
92
39
36
38

' n.a.
n.a.
n.a.
n.a.
112

' 1,125
1,126
n.a.
n.a.
n.a.
n.a,
119
3

2,518

2,275

1,617

1,129

1x67

578
313
57
27
251
81
136
262

1,717

2,372

n.a.—Not available.
1 / I s s u e s of l e s s than $ # 0 , 0 0 0 not f u r t h e r c l a s s i f i e d i n 195U, 1955 and 1956,
2 / Data f o r y e a r s p r i o r t o 1957 probably u n d e r s t a t e s c h o o l i s s u e s by about o n e f o u r t h because of u n c l a s s i f i e d small i s s u e s .
3 / Coverage f o r 195)7-1959 i s broader than f o r e a r l i e r y e a r s .
iTote.—Details may not add t o t o t a l s because of rounding.
Source.—195U-1956, Bond Buyer and Federal Reserve; 1957-1959, Investment Bankers
Assoc. of.America. Data f o r 1957-1959 not s t r i c t l y comparable w i t h data f o r e a r l i e r y e a r s .




H.Ik

- 3 •

Purpose of i s s u e - Nearly a l l bonds s o l d i n the second quarter
were f o r the purpose of r a i s i n g new long-term funds; refunding i s s u e s
continued t o be small i n volume. School c o n s t r u c t i o n was t h e most imp o r t a n t purpose of f i n a n c i n g as i t has been i n o t h e r recent y e a r s . S a l e s
of t h e s e bonds t o t a l e d $668 m i l l i o n , s l i g h t l y s m a l l e r than i n t h e f i r s t
quarter of 1958<, (In the f i r s t quarter t h i s year education bonds had
been o n e - t h i r d s m a l l e r i n volume than a year e a r l i e r . t
New f i n a n c i n g . f o r m i s c e l l a n e o u s p u b l i c s e r v i c e e n t e r p r i s e s
ranked second i n importance. The t o t a l of $h$9 m i l l i o n l a r g e l y r e f l e c t s
t h e s a l e of two very l a r g e revenue bond i s s u e s l a s t quarter—a $200
m i l l i o n i s s u e by the New York S t a t e Power A u t h o r i t y and a $195 m i l l i o n
i s s u e by a Grant County Public U t i l i t i e s D i s t r i c t i n Washington. S a l e s
of bonds f o r nuroos^s of sewer and water c o n s t r u c t i o n and v e t e r a n s ' a i d
were other major t y p e s of i s s u e s s o l d i n l a r g e r volume t h i s second q u a r t e r .
The volume of f i n a n c i n g f o r highways, b r i d g e s and t u n n e l s , r e s i d e n t i a l
b u i l d i n g s , and h o s p i t a l s and i n s t i t u t i o n s was s m a l l e r t h i s year than i n
the corresponding quarter of 1958.
Type of i s s u e - S p e c i a l a u t h o r i t i e s were the most important
group of i s s u e r s during, t h e second quarter of 1959, s e l l i n g bonds
( i n c l u d i n g the v e r y l a r g e revenue i s s u e s mentioned above) which t o t a l e d
n e a r l y $900 m i l l i o n . This volume accounted f o r more than o n e - t h i r d of
t o t a l o f f e r i n g s and was more than t w i c e as l a r g e as i n the second quarter
of 1958o O f f e r i n g s by school d i s t r i c t s were i n s l i g h t l y l a r g e r volume
than a year e a r l i e r ; - i s s u e s by S t a t e s , c o u n t i e s and townships and mun i c i p a l i t i e s were i n smaller volume.
Type of i s s u e - General o b l i g a t i o n s continued t o be the most
Important type of i s s u e . However, the proportion of t o t a l s a l e s a c counted f o r by such bonds d e c l i n e d from 73 per c e n t i n the April-June
1958 p e r i o d t o 55 per cent t h i s y e a r as the share of revenue bond
f i n a n c i n g i n c r e a s e d from 21 per c e n t t o 38 per c e n t . Both Public Housing
Authority o f f e r i n g s and Federal Government loans were i n l a r g e r volume
than a year e a r l i e r .
More d e t a i l concerning r e c e n t c a p i t a l market- developments i s
presented i n the a t t a c h e d e x h i b i t s .

C a p ital Markets S e c t i o n ,
D i v i s i o n of Research and S t a t i s t i c s ,
Board of Governors of t h e Federal Reserve System.




EXHIBIT A
HIGH-GRADE

LOWER-GRADE

BOND

BOND

YIELDS

YIELDS




• "J

H.Ik

' hixh.i b i t u
Tables lor Exhibit A
Jiiph-grade bond Yields

Date

Corporate
Aaa 1 /

U. S. Govt.
lonR-tenn 2 /

Spread between
U. S. Govt, and
Corporate S t a t e and
Aaa
l o c a l Aaa

S t a t e and
l o c a l govt.
Aaa 3 /

(Per cent)

1959 - H i e h
Low

2.65
k.lk
h.13
3.55
Lin
h.09

June
July
July
July
July

U.I47
LliS
U.li'i
Ii.ii7
U.li*

1951 - Low
1957 - High
1958 - High

26
3
10
17
2li n /

(4/23)
(9/27)
(10/10)
(5/2)
(7/10)
(1/9)

2.1,5
3.76
3.81
3.07
h.13
3.13

(8/6)
(10/18)
(12/26)
(k/25)
(7/10)
(1/2)

1.90 (9/2)
3.U5 ( 8 / 2 9 )
3.31 (9/11)
2.6k ( 5 / 1 )
3.5k((7/2)
3.06 ( 3 / 2 6 )

U.10
1.12
a.13
a.09
L.10

3.k5
3.5k
3.52
3.51
3.k8

.30
.60
.51
.22
.39
.16

.30
.17
.72
.34
.92
.57

.37
" .36
.35
.39
.36

.65
.58
.61
.57
.62

Lower-grade Bond Y i e l d s

Date

Corporate
Baa 1 /

S t a t e and
l o c a l govt.
Baa 3 /

Spread between
Aaa and Baa
S t a t e and
Corporate
local govt.

(Per c e n t )
1951 - Low
1957 - High
1958 - High
Low
1959 - High .
low
July
July
July
July

26
3
10
17
2k D/

3.UI4 (12/31)
5 . 1 0 (11/29)
L96(l/3)
k.5i (7/11)
5.09 (7/2L)
1.63 (k/l7)
5.nk
5.05
5.07
5.09
5.39

2.93(8/5)
k . 5 1 (S/29)
k.3k ( 9 / 1 1 )
3.6k ( 5 / 1 )
!,.k6 ( 7 / 2 )
3.92 (3/26)
k.33
k.k6
k.k5
c/k.U5
k.39

.52
1.27
1.28
.77
.77
.56
.57
.57
.59
.62
.63

-

.96
1.21
1.11
.93
.98
.36
.93
.92
.93
c/.9li
.91

2 / Preliminary.
c / Corrected.
1 / Weekly average of d a i l y f i g u r e s . A v crape term of Lends included i s 25-26 y e a r s .
2 / Weekly average of daily f i g u r e s . The s e r i e s i n c l u d e s bonds due or c a l l a b l e i n
10 y e a r s or inoro.
y Thursday f i g u r e s . Only peneral o b l i g a t i o n bondc are included; average term
i s 20 y e a r s .
Note.—liiphs and lows are f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t dates f o r
d i f f e r e n t series.




i

-

STOCK

MARKET

_L

MORTGAGE
Monthly

AND

BOND




YIELDS

i

If

Exhibit, U - Tahi.: . l e v Exhibit, C
Stock Market
Stock p r i c e
index 1 /

Date

1959 - High
Low

5U.il
22.95
59.91
51.37

May
June
July
July
July
July

57.96
57.16
#.28
59.91
#.19
#.65

1953-1959 - High
Low

3 .
10
17
2k g /

Common

Trading
volume y
yields 2/ (millions
(per c e n t ) of shares)

(12/2U/58)
(9/13/53)
(7/10)
(2/6)

Stock market customer c r e d i t
Customers 1
Bank
debit bal- loans to
ances U/ "others" 5 /
( M i l l i o n s of do! l a r s )

Total

3.30
6.25
3.11
3.3U

k.9
0.9
k.3
2.6

U.kn
2,055
ii, 721
It, 527

3,285
1,31U
3,Uoi
3,253

3.20
3.23
3.13
3.11
3.1k
3.12

3.U
2.9
3.2
3.7
3.1
3.0

U,7U
U.692
n.a.
n;a.
n.a.
n.a.

3,385
3,398
n.a.
n.a.
n.a.
n.a.

1,317
669

1,332
1,210

• 1,326
l,30li
1,301 1,253
5/1,2W
1,25U
n.a.

n.a,—Not a v a i l a b l e .
g / Preliminary.
1 / Standard and P o o r ' s <r>mposite index of 500. coirmon s t o c k s , weekly c l o s i n g p r i c e s , 1941-43=10. Monthly date,
are averages of d a i l y f i g u r e s r a t h e r than of F r i d a y s ' o n l y . Highs and lows a r e f o r F r i d a y s ' d a t a only.
2 / Standard and P o o r ' s composite stock y i e l d based on Wednesday d a t a converted t o weekly c l o s i n g p r i c e s by
Federal Reserve. Y i e l d s shown a r e f o r d a t e s on which p r i c e index reached i t s high or low.
3 / Averages of d a i l y t r a d i n g volume on the New York Stock Exchange.
4 / End of month f i g u r e s f o r member f i r m s of t h e New York Stock Exchange which c a r r y margin accounts; excludes
balances secured by U, S . Government o b l i g a t i o n s .
5 / Wednesday f i g u r e s f o r weekly r e p o r t i n g member banks. Excludes loans f o r purchasing or c a r r y i n g U. S.
Government s e c u r i t i e s . P r i o r t o J u l y 1, 1959, such loans a r e excluded only a t banks i n New York and Chicago.
Weekly r e p o r t i n g hanks account f o r about 70 per cent of loan* t o o t h e r s . For f u r t h e r d e t a i l see B u l l e t i n .

Mortgage and Bond Y i e l d s 1 /

Spread between new
Aaa corporate
FHA.
corporate bonds and
bonds 1/
mortgages 2/ •
New 3/ |Seasoned k/ FHA mortgages|Seasoned bonds

Date
1953-1958 - High
Low

1959 - High
Low

1959 - Feb.
Mar.
Apr,
May

5.63 (11/57)
L.56 (2/55)
5.6k.
557

U.81 (6/57) U.12 (9/57)
2.7k (3/5h) 2.85 (U/5U)
U.81
U.37
U.12
U.29

1.96 ,
.5U
1.29
.83

5.53
5.57
5.58
5.6U

U.29
U.30
U.53
U.81
U.82

1.29
1.27
1.05
.83
.39

5.71
..

U.lU
U.13
U.23
U.37
U.U6

.90
-.12
M
• .15

-

.15
.17
.30
.uu

. .36

1 / Neithnr mortgage nor bond y i e l d s t a k e i n t o account s e r v i c i n g c o s t s which a r e much higher f o r mortgages t h a n
bonds. G e n e r a l l y , bonds pay i n t e r e s t semi-annually; mortgages, monthly. Mortgage y i e l d s , i f computed a s e q u i v a l e n t
t o a semiannual i n t e r e s t investment, would be s l i g h t l y h i g h e r t h a n given i n t h e t a b l e .
2/ Based on FHA f i e l d - o f f i c e opinions about average bid p r i c e s i n t h e p r i v a t e secondary market f o r new-home
mortgages f o r immediate d e l i v e r y . Since l a t e 1955, d a t a r e l a t e only t o 25-year mortgages with.downpayments of 10
per cent or more, weighted by probable volume of t r a n s a c t i o n s . Yields computed by FRB, assuming 25-ycnr mortgages
a r e p a i d o f f i n 12 y e a r s . Dashed l i n o s i n d i c a t e p e r i o d s of adjustment t o changes i n t h e c o n t r a c t u a l i n t e r e s t r a t e .
3 / F i r s t National City Bank of New York. Averages of o f f e r i n g y i e l d s of a l l new i s s u e s of p u b l i c l y - s o l d bonds
r a t e d Aaa, Aa or A by Moody's I n v e s t o r s Service (except s e r i a l and c o n v e r t i b l e i s s u e s and o f f e r i n g s of n a t u r a l gas
and f o r e i g n companies) weighted by s i z e of i s s u e . Y i e l d s on Aa and A i s s u e s are f i r s t a d j u s t e d t o an Aaa b a s i s
by t h e spread between y i e l d s of outstanding bonds i n t h e s e c a t e g o r i e s and those on .\aa-rated bonds. The s e r i e s r e f l e c t s c m n g c s In i n d u s t r i a l oomp o s i t l o n , m a t u r i t y , t j p e , e t c . of new o f f e r i n g s .
Af Moody's I n v e s t o r s S e r v i c e . Monthly averages of d a i l y d a t a . See Exhibit B.




11.11]

Exhibit E
Long-term Corporate and S t a t e and Local Government
S e c u r i t y O f f e r i n g s and Placements
( I n m i l l i o n s of d o l l a r s )
New c a p i t a l
1959

1

19#

"1

1957

1959

1

1958

1

1957

8UO
71*5
631

728
857
1,553

1,060
1,065
1,320

636
856
616

812
953
511

7U2
572
506

April
May
June

g/626
£/806
e/950

1,H0
597
887

931
765
1,1*53

930
592
E/980

798
895
551

765
5k6
393

July
August
September

e/55D

1,107
51*0
l,llU

1,003
921*
973

e/lt75

806
U03
651

529
581*
1*31

862
518
920

1,090
789
1,076

U56
klh
1+35

698
633
698

2,216
g/2,582

3,139
2,623
2,760
2,300

3,1,15
3,lU9
2,899
2,951

2,136
e/2,502

2,276

1,860
1,365

1,820
1,70k
1,5a
2,029

eA,798

5,762
8,522
10,823

6,59k
9,1*93
12,W

e/lt,638

1,520
6,380
7,716

3,521*
5,069
7,099

January
Kebruaiy
March

October
November
December
1st
2nd
3rd
lith

quarter
quarter
quarter
quarter

1 s t half
Three quarters
Year

*
'

2,2kk

Excluding f i n a n c e companies h /
1st
2nd
3rd
&th

quarter
quarter
quarter
quarter

2.011
e/2,332

Year

2,899
2,506
2,731
2,213
10,129

-

3,237
2,889
2,582
2,810
11,518

e / Estimated.
1 / S e c u r i t i e s and Exchange Commission e s t i m a t e s of net proceeds.
2 / Investment Bankers A s s o c i a t i o n of America e s t i m a t e s of p r i n c i p a l amounts.
3 / Includes $718.3 m i l l i o n AT&T c o n v e r t i b l e debenture i s s u e .
U/ Total new c a p i t a l i s s u e s excluding o f f e r i n g s of s a l e s and consumer f i n a n c e
companies.




1
ii.U

'

Exhibit F
Other S e c u r i t y O f f e r i n g s 1 /
( I n m i l l i o n s of d o l l a r s )

LongF oreig n government 2 /
1956
1959
1
1
1957

|

-

January
February
March
April
May

77
59
2

197

56
50

139
200.
120

5k
—

81*
1*9
30

1959
199
175

Federal agency 3 /
1
195&
1
1957
1,163
251

• 4%
1*8
1*2

523

125

9
5
17

28
7
30

161*

—

October
November
December

57
123
71*

1*
60
1

220

Year

995

July
August
September

60

100

—

507

2,321

572

326
1*55
11*7

359
500
1*89

371
208
11*1*

638
1*30
505

357

35k
26k

205
337
153

1*86
675
289,

209
lol
329

336
1*69
501

July
August
September

289
123
369

272
272
252

1*37
206
330

221*
370.
512

October
November
December

231
1*15
2243

303
91*
1*59

3,910

3,271*

April
May

563
&A07

Year

•

1*51*
HI*
137
3,098

1,238
255
116
5,51*3

1 / Data p r e s e n t e d i n t h i s e x h i b i t d i f f e r from t h o s e i n E x h i b i t E i n t h a t refundi n g i s s u e s , a s w e l l as new c a p i t a l i s s u e s , are i n c l u d e d . Long-term s e c u r i t i e s are d e f i n e d a s t h o s e maturing i n more than one y e a r .
2 / Includes s e c u r i t i e s o f f e r e d i n t h e United S t a t e s by f o r e i g n governments and
t h e i r s u b d i v i s i o n s and by i n t e r n a t i o n a l o r g a n i z a t i o n s . Source: S e c u r i t i e s and Exchange Commission.
3 / I s s u e s n o t guaranteed by the U. S. Government. Source: long-term, S e c u r i t i e s
and Exchange Commission; s h o r t - t e r m , Federal Reserve.
h
/ PFRASER
r i n c i p a l l y t a x and bond a n t i c i p a t i o n n o t e s , warrants or c e r t i f i c a t e s and Public
Digitized
for
Housing A u t h o r i t y n o t e s . In some i n s t a n c e s PMA n o t e s included may have a somewhat
http://fraser.stlouisfed.org/
l o n g e r term than one y e a r . Source: Bond Buyer.

Federal Reserve Bank of St. Louis

1

Federal agency 3 /

233
1*60
273

190
#8"
#5'

*

215

Short-term
S t a t e and l o c a l government 1*/
January
February
March

1

72

—

\
t
.

$

i

i
i

i

H.lU

Exhibit 0
Large Long-term Public S e c u r i t y I s s u e s f o r New Capital
(Other than U. S. Tre'asury) 1 /
Proceeds of Large I s s u e s Offered
( M i l l i ons of d o l l a r s )

Corporate

S t a t e and
l o c a l government

281
771
209
825
259
227
305
369
3U0
215
359
3U2
28U

195
275
109

1958 - June
JulyAugust
September
October
November
December
1959 - January
February
March
April
May

Other 2 /

86

hi

18

288

172
259
229
335

17U

563

20

209
100

%

258

635

Large Individual I s s u e s Offered J u l y 1 through 2U

Issuer

Type 3 /

Coupon
Amount
rate or
(millions
Maturity
net i n t e r of
est cost
dollars)

Offering
Rating
yield

CORPORATE
Long Island Lighting Co.
Tennessee Gas Trans. Corp.

1 s t mte. bds. 25.0
1 s t mt%. pj, bds, 53.0

1939
1979

.

5 l/U
5 l/U

5.10

5.15

A
A

STATE AND LOCAL GOVERN"' NT
Univ. of Texas, A?r. %
Mech. College of Texas
S t a t e of Ohio
Univ. of C a l i f o r n i a
Territory of Hawaii

Rev.-Ut.
Rev.-S.T.
Rev. - g . [Tt.
Rev.-TTt.

10.0
31.0
13.0
12.5

1960-79
1960-72
n.a.
1961-39/66

3.17
3.5h
2.88
U.33.

2.UO-3.50, Aaa
2 . U 0 - 3 . 6 0 y Aa
n.a.
3'.00-U.35
A

QTT'BR
Quebec

u

ydro-Elec. Comm.




Deb.

50.0

198U

5

5.00

A

H.lU

G-2
Footnotes

n.a.—Not available.
if Includes corporate and o t h e r s e c u r i t y o f f e r i n g s of $ l £ m i l l i o n
and overj S t a t e and l o c a l government s e c u r i t y o f f e r i n g s of $10 m i l l i o n
and over.
2 / I n c l u d e s f o r e i g n government and I n t e r n a t i o n a l Bank f o r Reconstruct i o n and Development i s s u e s and non-guaranteed i s s u e s by Federal a g e n c i e s .
3 / In the c a s e of S t a t e and l o c a l government s e c u r i t i e s , G. 0 . den o t e s general o b l i g a t i o n s ; R e v . - U t . , revenue o b l i g a t i o n s secured only
by income from n u b l i c u t i l i t i e s ; R e v . - Q . U t . , revenue bonds secured only
by revenue from q u a s i - u t i l i t i e s ; R e v . - S . T . , revenue bonds secured by
revenue from s p e c i f i c t a x e s only; R e v . - R e n t . , revenue bonds secured
s o l e l y by l e a s e payments.
hf 1972 m a t u r i t i e s not r e o f f e r e d .




11. Ill
Forthcoming Large Long-term Public S e c u r i t y O f f e r i n g s f o r New Capital
(Other than U. S. Treasury) 1 /
Expected Proceeds from Forthcoiiiing Large I s s u e s
During inonth f o l l o w i n g
date shown
Corporate S t a t e and
Other 2 /
l o c a l govt.

Date of
computation

June 30
July 31
Aug. 29
Sept. 30
Oct. 31
Nov. 28
Dec. 31
Jan. 30
Feb. 27
Mar. 31
Apr. 30
May ?9
June 3-0

|

768
161
78$
113
20lt
301
210
270
1<8
396
2li6
287
165

225
55

2hl

295
258
229
261
551
292
550
25k

20
50

11*6 •

50

2h7

71
75

Subsequent t o
date shown
Other 2 /
Corporate S t a t e and
local govt.
1,01*8
381
•9lli
216
3#

235
125

——

521*
675
683
515
856
1*81
761
517
761
500

boi

370
365
279
1*76
316
332
272

US

.

71
75
1*5
20
50
50

Forthcoming Large O f f e r i n g s , a s of July 2k
Type

jAmount
Approximate date
(millions
of o f l e r i n g
I of d o l l a r s ) |

CORPORATE
Pfd. s t k .
Transcontinental Gas Pioe Line Corn.
Transcontinental Gas Pine Line Corp. 1 s t m t g . p . l . bds.
1 s t mtg. bds.
Pennsylvania E l e c t r i c Co.
Com. s t k .
Northern S t a t e s Power Co.
^Michigan B e l l Telephone Co.
Pan American World Airways, I n c .
^Houston Lighting;, t Power Co.
P a c i f i c Gas & E l e c t r i c Co.
- American and Foreign Power Co..
Commerce Oil Refining Corp.

15.0
20.0
15.0
20.9

Deb.
Conv. sub. deb.

30.n
U7.0

1 s t mtg. bds.
1 s t & r e f . mtg. bds
Conv. j r . deb.
De h . ,bds. ?£ common

25.0
65.0
22.5
1,5.0

July 29
July 29
AUK. h
AnJ. 11
(rights expire)
Au:/. 12
Au:r. 12
(riiratr. nxoire)
Aug. 20
Aug. 25
Summer
Summer

STATE AND LOC'iL HO^RKMENT
C a l i f o r n i a T o l l Bridge Authority
Commonwealth of Puerto Rico
S t a t e of Vermont
Michigan Highway Department
Commonwealth of Pennsylvania
Los Angeles Sch. D i s t s . , C a l i f .
° t a t e of Onio




Rev.-Ut.
G.O.

0.0.

Rev.-S.T.
G.O.
- G.O.
G.O.

3L.0
15.2
13.0
50.0
120.0
26.0
30.0

July
July
July
July
Aug.
Aug.
Aug.

23
23
23
30
h
k
11

H„1k

H-2
Forthcoming Large O f f e r i n g s , as of J u l y 2U (Cont'd)
Issuer

STATE AND LOCAL GOVERNMENT (Cont'd)
•frTexas Water Development Board
Chesapeake Bay Ferry Commission
New York Thruway Authority

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

10.0
litU.O

50.0

Aug. 12
August
Summer

OTHER

*—Included i n table f o r f i r s t time.
l / Includes corporate an4 other i s s u e s of $15 m i l l i o n and over; S t a t e and
l o c a l government i s s u e s of $10 m i l l i o n and over.
;
2 / Includes f o r e i g n government and I n t e r n a t i o n a l Bank f o r Reconstruction
and Development i s s u e s and nog-guaranteed i s s u e s by F e d e r a l a g e n c i e s .
N o t e . — D e l e t i o n s f o r reasons other than s a l e of i s s u e s I n t e r n a t i o n a l
Recreation Corporation's common stock o f f e r i n g — p r o c e e d s f o r p u b l i c l y - s o l d
shares l e s s than $15 m i l l i o n . United S t a t e s Plywood Corporation's subordinated
convertible debentures—cancelled.




H.lii

Exhibit I
Y i e l d s on New and Outstanding
E l e c t r i c Power Bonds, Rated Aa and A 1 /

Date

1952 - 1958

Aa-rated o f f e r i n g y i e l d s
A-rated o f f e r i n g y i e l d s
Amount above
Amount above
Actual
Actual
seasoned
y
i
e
l
d
s
(per cent)
( p e r cent) seasoned y i e l d s
(basis points)
(basis points)

5.00 (9/1V57)
2.93 (3/31/5W

High
Low

1959 - Jan. 7
20
28
Feb. 18
Mar. 11
25
26
31
Apr. 3
15
16
29
May 1
13
lit
20
21
26
June it
17
26
July 9
s .

87
-3

it.60

3h

it.itO^Z
it.it3
it.it3
it.it?

11
9
9
13

it. 60

22

it.95
it. 95

38
3it

5.00
it.95

38
29

it. 93

31

5.50 (11/7/57)
3.00 (3/17/5it)

123
-15

it. 752/

23

it. 67

18

it. 85
5.06

17
13

5.13

27

it.92^
5.10
5.10

19

5.10

19

6

2b

* — S i n g l e o b s e r v a t i o n , not an a v e r a g e . •
1 / Covers o n l y 3 0 - y e a r f i r s t mortgage bonds, a s reported i n Moody's Bond
Survey. Except where i n d i c a t e d , the a c t u a l y i e l d f i g u r e and the amount above
seasoned y i e l d s are averages of o f f e r i n g s during the i n d i c a t e d p e r i o d and of
t h e d i f f e r e n c e s between t h e s e new o f f e r i n g y i e l d s and y i e l d s on seasoned i s s u e s
of s i m i l a r q u a l i t y f o r the same day. Average maturity f o r t h e seasoned i s s u e s
v a r i e s from 26 t o 28 y e a r s .
2 / Provides f o r a 5 - y e a r p e r i o d during which i s s u e may not be c a l l e d f o r
refunding a t a lower coupon r a t e . Monthly averages so marked i n c l u d e one or
more i s s u e s with such a p r o v i s i o n . Other i s s u e s have no such p r o v i s i o n .
3 / Provides f o r a 7 - y e a r p e r i o d during which i s s u e may n o t be c a l l e d f o r
refunding a t a lower coupon r a t e .