Full text of H.16 Capital Market Developments : June 24, 1968

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DECONTROLLED AFTER SIX M0NT2S
or Publication

June 24, 1968.

CAPITAL
DEVELOPMENTS
IN THE UNITED STATES
borate and municipal bond markets. The volume of new, publielyoffered^munLtipal bonds expected this week wil1 about equal the average
weekly voltnte over the past year, while the volume of new corporate securities
will be slightly below average. The largest corporate offering is expected
to be Household Finance's $75 million of debentures, postponed from last week
for technical reasons. The largest municipal offering will be the Illinois
Building Authority's $34 million of revenue bonds.
1/
Long-term Public Security Offerings (In millions of dollars)

Corporate
New Capital | Refunding

State & local Government
New Capital | Refunding

Sold;
52 week avg.
June

14
21

323

1

253

r/187
250

—

r/ 303
354

i

Scheduled:
June

If

28

277

—

297

1

/ ~

'

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

Yields on new corporate bonds were unchanged early in the week, but
declined sharply near the end of the week as passage of the tax bill appeared
a certainty. The new issue series advanced, however, as it was heavily weighted
toward an issue offered Tuesday. In addition, the series was boosted by a decline
in the number of issues with 10-year call protection. The large volume of
bonds in syndicate was sharply reduced at the week's end, and almost all of
last week's new issues sold out. However, the volume of offerings was
significantly lowered by the postponement of two finance company issues
totaling $135 million.
Yields on municipals were sharply lower last week, and new issues
were very well received. By the end of the week 82 per cent had been sold.
At the same time the volume of dealer inventories advertised in the Blue List
also dropped.
Private housing starts and permits. Seasonally adjusted private
housing starts, which had risen by 5 per cent in April according to revised
estimates, fell sharply in May to an annual rate of 1,331 thousand units, the




H. 14
Yields on Security Markets

Change from
preceding week

High-Grade
Notes and Bonds
Corporate
New
Seasoned

6.67
6.29

+

6

+

1

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

5.18
5.61

9
15

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

4.15
4.52

-10
- 9

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

6.28

5

+

5.45
5.58

-23
-17

Corporate Bonds Still in Syndicate
Date
Offered

Amount
(millions of $)

6/4

6/20

20.0

Issuer

Reoffering
Yield

Rating

Estimated proportion sold

Louisville Gas & Elec.,
6-3/4's - 1998

6.67

Aaa

50%

Dayton Power & Light,
6-3/4's - 1998

6.75

Aa

85%

25.0

Blue List of Municipal Dealers 1 Advertised Inventories
Latest Week
501(6/18/68)




End of Previous Week

Recent High

527

829(4/26/67)

H. 14

lowest monthly rate since last December. The decline of 16 per cent followed
an advanced level of starts in the first four months of the year as builders
pushed their operations forward in anticipation of further tightening in the
money and capital markets. The decline in May was broad-based; each region
reported a reduced rate, with the largest reductions in the North Central
states. Multi-family units, which had provided much of the strength in the
movement of total starts since February, fell by 29 per cent from April to
May; single-family units were off by 11 per cent.
Starts with Government-underwritten financing accounted for 19 per
cent of total housing starts in May. This was the same share as in May of
1967 and was up from 17 per cent in April.
Seasonally adjusted residential building permits fell for the second
consecutive month. The May decL ine amounted to 6 per cent. As in the case
of starts, the decline in permits affected in all major geographic and structural
categories, with the North Central region and multifamily units experiencing
the most marked reductions. This and other factors suggest a further drop
in the starts rate during June.
Stock prices. Trading activity moderated somewhat last week and
common stock prices declined on balance during the second four-day trading
week. At the close Friday, Standard & Poor's index of 500 stocks stood at
100.51, down 0.62 from the previous Friday. Trading volume averaged 14.0
million shares a day, down from the hectic pace of 16.6 million shares a
day the week before.
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. Pert 1

LONG-TERM BOND YIELDS, HIGH-GRADE

: CORPORATE Aaa
Moody s .

fx A
U.S. G O V E R N M E N T '

_ r

STATE AND LOCAL GOVERNMENT A l t

1963




1964

1965

19(1

Exhibit A -- ran. n

!

Date

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

Corporate
Aaa 1 /

4o 61(1/29/60)
5.52(9/9)
4.73(1/7)
6.24(12/29)
5.00(2/10)

I State and
U.S. Govt,
local
long-term 2/ j government
f
Aaa 3/ .
cent)
(per .
4.42(1/8/60)
4c 87(9/2)
4o 42(1/7)
5.49(11/17)
4.37(2/3)

3.65(9/24/59)
.
4o 04(8/25)
3.39(1/13)
4.15(12/28)
3.25(2/9)

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

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

„92(4/22/60)
1 .19(2/11)
.77(9/2)
1. 51
74

1.,17
.76
4.35
5.52
6.28
24
.86
1..01
4.42
5.43
6.29
31
1..05
4.25
.99
5.30
6.29
June 7
1,,02
1.01
4.25
5.27
6.28
14
1,.03
1.11
4.15
5.18
6.29
zip/
£/ Preliminary.
1/ Weekly average of daily figures. Average term of bonds included is 22-24 years.
2_/ Weekly average of d a i l y figures. The series includes bonds due or callable in 1.0
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 narrowest.

1968 - May




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

CORPORATE Baa

STATE AND LOCAL GOVERNMENT Baa

-Moody'»

1963




—

A

I

J_1 .1.1.

1965

1966

1967

Exhibit B -- Part II

Date

Corporate
Baa 1/

! State and
j local govt.
1 Baa 3/

j

Spread between
Aaa and Baa
State and
Corporate
local %ovt.

(per cent)
1959-60 - High
Year end- 1965
1966 - High
Low
1967 - High
Low

7.05
24
31
7.10
7.09
June 7
7.08
14
2l£/ | 7.07
For footnotes see Exhibit A-

1968 - May

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

1.08
.39
.62
.31
.81
.37

5.10
5.18
5.16
5.3b
4.36

.77
.81
.80
.80
.78

.75
.76
.91
.91
.81

CXHIBlT

C

Part 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

n, 6 - M O N T H BILLS

3 - 5 YEAR ISSUES




F.R. DISCOUNT RATE

3-MONTH BILLS

1965

1967

1968

Exhibit C

Date

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

|

Discount
rate
• 3-month
! bills 2/
1/

4.00
4.50
4.50
4.50
4.50
4.50
4.00

Part II

Yields
I 6-month
j bills 2J
(per cent)

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)

| 3-5 year
1 issues 2_/

5 c 07(1/8/60)
4 t 66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/15)
3.74(6/2)

1968 - May

Spread between yields on
3 -mo. bills and yields on
6-mo,. bills|3-5 yr. 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)

.79
.19
.12
.52
u09
.62
.01

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

24
5.50
5.82
5.99
6.09
.19
.27
31
5.50
5.70
5.86
5.91
. 16
.21
7
5.50
- 5.66
5.72
5.80
.06
. 14
5.50
14
5.68
5.75
r/5.75
.07
r/.07
5.50
21£/
5.45
5.58
5.61
-13
.(13
X ) Weekly rate shown is that in effect at end of period at the Federal Reserve Bank of
New York,
•
2/ Market yield; weekly averages computed from daily closing bid priccs. 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 for
different series« For spreads, high refers to widest, and low to narrow.st„
June

£/

Preliminary.




r/

Revised.
-9-

E X ^ BIT C

Pari

S H O R T - A N D INTERMEDIATE-TERM INTEREST RATES,
B A N K S A N D OTHER P R I V A T E BORROWERS

P R I M E RATE

FINANCE COMPANY PAPER
Directly

placed

F.R. DISCOUNT RATE

FEDERAL FUNDS

1963




1964

1965

1966

1967

Exhibit D —

Date

Prime rate 1/

Part II

Finance
company
paper 2/
(

1959-60 - High
Year end- 1964
1965
1966
1966 T Low
1967 - High
Low

' 5.00
4.50
5.00
6.00
5.00(3/4)
6.00(12/29)
5.50(12/1)

Federal funds 3/

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

per cent)

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(5/12/60)'
4.00
4.63
5.63
3.55(1/21)
5.25(1/6)
3.40(10/27)

1.02
. 23
.28
: 1.08
.20
1.33
.21

24
6.50
6.00
5.88
.18
31
6.50
6.00
5.91
.30
June 7
6.50
6.00
5.97
.34
6.00
6.50
6.23
14
,32
6.00
6.50
6.28
.55
212/
1/ Weekly rate shown is that in effect \: end of period. Prime rate ic; that
charged by large banks on short-terr. loans LO business borrowers of the highest
credit standing.
2/ Average of daily rates published by finance companies' for directly placed paper
for varying maturities in the 90-179 day range.3/ Weekly average of daily effective rate, which is the rate for the. heaviest
volume of purchase and sale transactions as reported to the Federal Reserve
Bank of New York.
Note.-Highs and lows are for individual series and may be. on different dates for
different series. For spreads, high refers to widest, and low to narrowest.
j>/

Preliminary.




-11-

EXHIBIT

E

Fori

1

STOCK MARKET
19 41 4 3 average-10

100

PRICES

10
8

6

STOCK MARKET CREDIT

—

CHANGE IN SERIES
4

VOLUME

YIELDS

1963




1964

1965

1966

1967

1968

Exhibit E ---Part II

Stock price
index 1/

Date

1961-62 - High
Low
1966 - High
Low
1967 - High
Low
Apr.
May

Common
stock
yields If
(per cent)

Stock market customer credit
Trad ing
Customers'
Bank
volume 3/
debit bal- loans to
Total
(millions
"others"5/
ances 4/
of shares)
(In millions of dollars)

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)

2.82
3.96
3.01
3.97
3.01
3.58

10.1
2.4
10.7
5.0
12.3
6.9

5,602(12/61)
4,424(1/61)
7,997
7,302
10,347(12/67)
7,345(1/6)

4,259(12/61)
3,253(1/61)
5,835
5,169
7,883(12/67)
5,290(1/67)

1,418(5/9/62)
1,161(3/8/61)
2.241(7/6)
2,097(12/14)
2,057(11/1)
2,055(1/25)

95.67
97.87

3.12
3.08

14.7
13.4

10,012
n. a.

7,666
n.a.

2,346
2,357

n.a.
16.4
n.a.
2.98
2,374
r/2.383
2.98
16.6
n. a.
n. a.
2.99
14.0
n.a.
n. a.
n. a.
ir r / T? airi o
«
Tv7^ 4- A.tni 1 o k
~
1/ Standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43=10.
~~ Monthly data are averages of daily figures rath, r than of F r i d a y 1 o n l v . Hi;;hs 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 see Bulletin.
June 7
ID1.27
101.13
14
21£/ 101.51




-13-

EXHIBIT F. Port 1

PRIVATE H O U S I N G STARTS A N D PERMITS

SEASONALLY

ADJUSTED

DATA

HOUSING STARTS

BUILDING PERMITS

PES.CENT

OF

UNADJUSTED




TOTAL

STARTS

Exhibit F - Part II
Building
permits
llnad lusted
Tvpe of financing Tvue o r housing (seasonally
adjusted
Seasonally adjustMultl1-2
Unadjusted
annual
Other family family
ed annual rate
FHA
VA
rate) 2/
Starts

Total

Date

(Thousands of units)

1967 - May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1968 - Jan.
Feb.r/
Mar .5/
Apr. r/
May p/
1/

2/

r/
£/

1,274
1,233
1,369
1,407
1,445
1,496
1,590
1,250
1,456
1,537
r/1,511
r/ 1,586
1,331

132
125
125
127
122
135
118
80
81
85
r/127
r/161
137

18
19
15
17
16
19
15
16
14
17
20
23
20

92.3
109
39.8 r/1,066
101
90.6
34.8 r/1,142
106
86.8
38.4 r/1,129
105
87.8
39.5 r/1,161
101
82.0
39.8 r/1,192
86.7
' 111
48.7 r/1,221
99
72.3
46.1 r/1,194
61
50.2
29.9 r/1,358
63
32.7 r/1,148
47.8
66
58.8
28.5 r/1,394
102 r/ 83.5 r/43.0 r/1,416
r/133 r/101.3 r/60.1
88.9 "" 4A.4 ^ 4 ' ^
xn
Total starts are Census estimates including farm for both permit-issuing and
non-issuing areas. A duelling unit is started when excavation begins; all
units in an apartment structure are considered started at that time,, FHA and
VA starts are units started under commitments by these agencies to insure or
guarantee the mortgages. As reported by FHA and VA, a unit is started when a
field office receives the first compliance inspection report, which is made before
footings are poured in some cases but normally after the foundations have been
completed,, Capehart military housing units are excluded. Other starts are
derived as a residual, although total and FHA and VA starts are not strictly
comparable in concept or timing; other starts include both units financed by
conventional mortgages and units without mortgagese
Residential building permits before January 1963 are Census estimates for
about 10,000 areas identified as having a local building permit system in 1959.
Estimates between January 1963 and December 1966 are for approximately 12,000
permit-issuing places. Beginning January 1967, data cover 13,000 permit-issuing
areas. Unlike starts, seasonally adjusted building permits reflect direct
adjustment for differences in the number of working days per month, as well as
other differences in timing and coverage.
Revisedo
Preliminary.




-15-

5
5
5
6
5
5
4
4
3
4
5
5
6

EXHIBIT

G, Part

I

YIELDS O N N E W A N D SEASONED C O R P O R A T E B O N D S
6.5

NEW I S S U E S

6.0

5.5

5.0
S E A S O N E D Aaa

4.5

4.0
1964




1965

1967

1968

Exhibit G - II
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:
1968

Jan.
Feb.
Mar.
Apr.
May

13
13
10
7
11

567.0 :
564.5
350.0
415.0
531.0

6.24
6.29
6.56
6.52
6.66

Apr

5
12
19
26

3
10
. 17
24
31

May

June

7
14
ZlR/

1
1
3
2

50.0
25.0
215.0
125.0

6.58
. 6.41
6.42
6.65

3
2
3
2
3

75.0
71.0
170.0
45.0
220.0

6.63
6.64
6.62
6.83
6.68

6
2
2

660.0
50.0
100.0

r/6.66
6.61
6.67

Weekly averages:
6 . 83(5/24/68)
High
LOW
6.18(1/12/68)
Low
Averages
iges or
of ottering
offering yields
yieius ou
on dii
all new issues wj.
of publicly offered
— corporate bonds rated Aaa,
Note
is tors Service
Service (except
^except serial
serial and
ana convertible
uouveiLiu^ is sues, offerings
-1- "ft1of~"natural
— —
Investors
Aa, and A by Moody's
^
.
r*«. n v n
\*\\7the Federal
TT n f j m r-nGovernment)
1
eas pipeline and. foreign
companies, andJ bonds guaranteed
by
weighted by
size of offering. Before averaging, new offerings are adjusted to a composite Aaa basis iy
deducting from the actual reoffering yield the excess of the weekly average yield for seasoned
bonds of the appropriate industry-quality group over the composite average for seasoned Aaarated bonds (Moody's). Averages considered unrepresentative because of special characteristics
of the offerings included are denoted by an asterisk.
j>/

Preliminary, xj




Revised.

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

New Capital
1968p/

Corporate
1967p/

1966

State and local l)
1966
1967PZ
1968p/
1,175.
1,175
1,365

1,706
1,568
1,740

1,648
1,399
2,317

1,302
1,237
2,446

r/1,413

1,973
1,474
2,611

1,553
1,058
2,364

July
August
September

2,454
2,407
1,723

.1,039
1,670
1,382

October
November
December

2,289
1,467
2,336

829
1,085
1,635

January
February
March
April
May
June

e/1,00
e/2,050

1,48 7
1,199
1,433

1,188
858
865

1,273
e/1,200
e/l,300

1,111
1,229
1,497

1,193
901
1,141

q/1,200

943
858
1,330

701
773
1,020

974.
1,400
1,182

755
969
940

Quarter
Quarter
Quarter
Quarter

2/5,014
e/5,713

5,364
6,058
6,584
6,092

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

3,715
e/3,773

4,119
3,837
3, 131
. 3,556

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

•1st. half
Three quarters
Year

e/10,727

11,421
18,007
24,098

9,959
14,050
17,601

e/7,488

7,956
11,087
14, 643

6,146
8,640
11,304

w

—

1st
.2nd
3rd
4th

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

Quarter
Quarter
Quarter
Quarter

Year
e7
p/

5,207
5,913
6,338
5,657

4,924
4,884
3,969
3,188

23,115

17,269

Estimated by Federal Reserve.
Preliminary, r/ . Revised.

1 b

t

S




.

H

S

S

.m

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

.«
F,

Quarter
or
Month

Total

Net proceeds
Gros.s proceeds for new capital
for new capital 1 / 2 /
and refunding 1/
Boni,s
Common Memo:
Other
Mfg. Public CommuniForeign
Publicly Privately and
Utility cations Issuers
pfd. issues
Offered Placed
stock included
3,263
1,811
60
1,382
390
2,442
997
543
4,017
1,465
726
65
3,014 1,268
1,228
548
4,604
1,551
678
234
2,792 1,219
595
1,976
3,107
2,137
1,051
2,527 1,255
269
93
2,040

,967 - I
II
III
IV

5,464
6,208
6,833
6,294

968 - I r/

5,178

2,465

967 - May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

1,519
2,673
2,589
2,481
1,763
2,409
1,500
2,385

965
1,684
1,889
1,813
902
1,375
645
1,087

968 - Jan.
:/l, 771
Feb.
:/1,607
Mar.
1,800
Apr. r/ 1 1,453
May e/
2,000

903
796
766
719
1,040

1,724

989

313

1,854 1,394

411

1,356

396
659 486
412
647
566
551
1,020

158
330
214
250
214
469
304
278

32
17
213
13
8
34
19
30

588
1,298
925
1,229
637
906
512
1,109

403
471
446
509
265
573
404
278

91
350
39
356
200
119
82
68

393
492
1,044
313
619
690
469
881

546
585
593
465
650

322
226
441
269
310

16
61
236
30
n.a.

537
556
761
364
675

417
546
431
178
475

186
147
78
189
75

566
321
469
681
725

•

jd/
1/
2/

Preliminary, e/ Estimated by Federal Reserve, r/ Revised.
Gross proceeds exceed net proceeds by the cost of flotation.
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.




-19-

Exhibit J
Other Security Offerings
(In millions of dollars)
Gross Long-term 1/
Federal Agency 3/
Foreign Government 21
196b.
1968 £/
1967_
"1968 p/
1W7
JanuaryFebruary
March
April .
May
June
July
.August
September
October
November,
December
•Jan. - Apr

102
49
30
75

257

Year

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

223
27
13
170
22
586
193
66
142
18
419

12
40
40
66
69
76
72
7
50
23
74
68
.92

1,656

597

196

999
550
1,370
225

3,144

1966_

1,251
783
750
650
810
• 650
407
250
599
708
710
612
2,784

503
410
392
699
1,030
1,084
799
400
450
800
239
913

8,180

6,806

New short-term 4/
Federal Agency
State and local Government 5/
-179
490
103
179
300]]/
-552
436
39
387
89j>/
-454
-593
-319
-594
-604jV
-559
580
681
827
-3
109
462
515
93
-334
-187
-158
-103
20
-262
270
593
1,407
-161
32
606
-48
414
573
503
49
36
-570
-514
-1,185
-177
1,014
-28
-212

3/
308
-24
450
718
85
284
-590
-270
-652
-555
-283
219

•lie
Jan. ,- Apr. £./

422

1,721

Reserve.




-20-

••

.660

734

310

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

1

Total

• 1967 - May
•
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1968 - Jan.
Feb.
Mar.
Apr.
May

870
1,666
1,340
1,705
794
1,458
826
978
904
757
788
696
1,009

CarDoriate
Bonds
(other than
Convertible
convertibles)
bonds
771
55
1,072
409
890
317
1,288
350
473
257
897
285
461
150
460
437
652
168
575
105
415
135
500
723
656
283

Stocks
44
185
133
67
65
276
215
81
85
77
238
73
70

State
and
local
governments
496
875
483 •
473
847
505
865
633
785
591
736
794
571

Other

2/

391
825
85
221
400
50
845
627
1,095
389
1,030
370
145

Large Individual Issues Offered June 3 through June 21, 1968.

Issuer

Standard Brands Inc.
Dow Chemical Go.
Igden Corporation
Louisville Gas & Elec.
•American Hoist & Derrick
Southwestern Bell Tele.
Gulf Oil Corporation
Florida Power Corporation
•Franklin National Bank
Leasco Data Processing
Equipment
First Mortgage investors
Northern Illinois Gas Co.
Alloys Unlimited
Columbus & Southern Ohio
Electric
Transcontinental Gas Pipeline Corporation

Type 2/

Amount
(millions
of
dollars)

S.F. debs.
71.4
Deb. s
100.0
Conv. debs.
50.0
1st mtg. bds.
20.0
Conv. sub. debs. 15.0
Debs.
150.0
Debs.
200.0
1st mtg. bds.
60.0
Com. stk.
15.4

Maturity

Coupon
rate or
net interest cost

Offering
yield

Rating

A
A
Ba
Aaa
Ba
Aaa
Aaa
Aa

1993
1998
1993
. 1998
1993
2008
1993
1998

6.-3/4
6.70
5.00
6.75
5-1/2
6.75
6-5/8
7.00

6 .25
6 .70
5..00
6..74
5.,50
6. 80
6.,63
6. 82

1982
1993
1993

6-3/4
6-3/4
4-1/2

6. 75
4. 50

Ba

Com. stk. w/w.
Debs.
1st mtg. bds.
Conv. sub. debs.

52.5
15.0
30.0
15.0

1st mtg. bds.
1st mtg. p. 1.
bonds

25.0

1998

7 00

6. 91

Aa

50.0

1988

7-3/8

7. 50

Baa




-21-

—

—

Aa ,

Large Individual Issues Offered June 3 through June 21, 1968 (Cont'd)

Issuer

Type 3/

Amount
(millions
of
dollars)

Equity Funding Corp.
Conv. debs.
of America
Public Service Elec.
& Gas Co.
1st mtgo bds.
pennzoil {jaited, Inc. Debs.
Beeton-Diekinson & Co. Conv. sub. debs.
University Computing
Com. stk.
Co.
Randolph Computer Corp. Com. s tk.
American Hospital Com. stk.
Supply .
Randolph Computer Corp. Com. stk.
Dayton Pwr. & Light Co 1st mtg. bds.

Maturity

Coupon
rate or
net interest cost

Offer. ing
vield

Rating

15.0

1983

5-1/4

5.25

75.0
100.0
25-.0

1998
1988
1988

6.90
7.52
4-1/8

6.85
7.40

Aa
Baa
Baa

62.1
20.9
25.0

1998

6-3/4

6.75

Aa

14.0

1970-97

5.36

3.90-5. 40

Baa

10.0

1969-90 -

4.48

3.80-4. 50

A-l

28.2
20.0

1970-99
1969-88

5.23
4.48

4.10-5. 25
3.80-4. 65

A
A

75.0
25.0
20.0
32.5

1968-2008
1977-81
1970-98
1970-94/96

5-1/8
4.21
4.85
4.55

5.13
4.10-4. 25,/Aa
3.90-4. 95^ A
3.80-4. 75 Aa

40.0

1970-88

5.27

4.10-5. 25

85.0
15.0
10.0
18.8
24.2
91.8
18.1
11.0

1979-2000/18
1969-88
1970-89
1969-98
1972-78
1993
1969-88
1969-88

4.91
4.33
4.42
4.67
5-3/8
5-3/8
5.30
4.07

4.15-4. 95
3.80-4. 40
3.80-4. 50
3.75-4. 75
4.40-4. 85
5.38
4.00-5.:25
3.60-4. 10

13.5

2005

3-3/4-4-1/4

500.0

1971

6-5/8

23.4
20.7

State & Local
Government
'Livoniti , Michigan Pub.
Sch. Dist.
G.O.
Fulton C.Oc Sch. Dist.,
|G.O.
Georpi/: /
|
Dormitory Auth. of
the State of N. Y. |Rev.-Rent. .
G.O.
Houston, Texas
New Jersey Turnpike
Rev. -Q. -Ut.
Authc .
G.O.
State of Oregon
- Seattle, Washington Rev.-U t c
Port of New York Auth. G.O.
Puerto Rico Highway
Rev. -Q. -Ut.
Auth. .
Me.trp. Wtr. Dist. of
G.O.
• So." Calif.
Dallas IoS.D., Texas G.O.
Va. Pub.- Sch. Dist Alh G.O.
G.O.
Allegheny Co.-, Pa.
Rev.-Rente
- Hancock Co„, Kyc
Rev.-Rent.
Hancock Co., Ky.
G.O.
.Newark, N. J.
Augusta, Maine
G.O.
Rend Lake Conservancy
Rev. -Ut.
' Dist., 111.

|

Aa
—
Aa
A-l
—
Baa
Aaa

Other
Export-Import
Bank


Part. cert.



-22-

--

—

.

K-3

FOOTNOTE:
*
1/
2/
3/

4/
5/

Rights offering.
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.
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 quasiutilities; Rev.-S.T., revenue bonds secured by revenue from specific taxes only;
Rev.-Rent., revenue bonds secured solely by lease payments.
Bonds maturing only at 2001 reoffered.
Bonds maturing only at 1990-91 reoffered.
.




-23-

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)

During month following
date shown
State and
Other 2/
Corporate
local govt.
1967 - May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31
Nov. 30
Dec. 31
1968 - Jan. 31
Feb. 29
Mar. 31
Apr. 30
May 31

1,449
1,636
1,261
694
534
1,357
826
968531
873
758
1,103
1,193

596
401
512
783
768
505
865
633
449
683
494
695
485

Corporate
2,065
1,922
1,576
1,335
1,090
2,694
2,129
1,892
736
1,105
935
1,612
1,403

100
40
100
65
50
845
402
60
130
15
45
500

Subsequent to
date shown
State and
local govt.
616
402
575
903
889
743
1,684
1,076
937
1,079
624
1,069
640

Other r
115
70
150
159 ^
126
260
875
502
75
265
125 ;
60
515

Forthcoming Large Offerings June 3 through June 21, 1968.

Type

Amount
(millions
of
dollars')

I
| Approximate date of
offering
I

Corporate
t
Ohio Bell Telephone
|Dvbs.
Levin-Townsend Computer Corp. | S.-,Fc debs.
Household Finance Corp c
jDebs.
Western Pennsylvania Power
j1st mtg. bds.
Lone Star Cement
IConv. debs.
American Export Industries ,Incj Conv. sub. debs
Com. stk.
^Recognition Equipment Inc
list mtg. bdso
Arkansas Power & Light
jConv.
pfd. stk.
Baltimore Gas & Electric
Conv. sub. debs.
"Nytronics
1st mtg. bds.
^Commonwealth Edison Co.
Houston Lighting & Power Co. Cum. pfd. stk.
j Conv. debs,
American Broadcasting Co.
j Conv. sub. debs.
Allegheny Beverage Corp.
|Conv. debs,
' Me tiro-Goldwyn-Mayer Inc.
j1st mtg. bds.
-Public Service of Colorado
j1st mtg. bds.
' *New England Power Co.

Pacific
Lighting Service &

Supply Co.


20.0

June
June
June
June
June
June
June
June
July
July
July
July
July
July
July
July
July

24
24
25
yy
25
25
26
i
27 (rts. exp.)*
27
1 (rts. exp.)
8
9
11
15 (rts. exp.)
15
16
16
17

30.0

July

18

55.0 :

20.0
75.0
52.0
30.0
50.0
26.4
15.0
30.0
25.0
50.0
25.0
47.5

20.0

35.0
25.0

IS.F. debs«
-24-

L-2

Forthcoming Large Offerings June 3 through June 21, 1968. (Cont'd)

Issuer

Type

Amount
(millions
of .
dollars)

Approximate date of
offering

165.0
15.0
45.0
15.0
20.0
15.0
60.0
25.5
60.0
15.0
15.0

July 23
July 24
July
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

Corporate CCont'd)
^Pacific Telephone &
Telegraph Co.
Debs.
Gen'1 Telephone of Ohio
Debs.
^General Mills Inc.
Com. stk.
Piedmont Aviation
Conv. debs.
^McDonalds Corp.
Conv. debs.
*Computer Applications
Conv. debs.
*Wh'it taker Corp.
Conv. debs.
*Gen '1 Public Utilities Corpu Com. stk.
Montgomery Ward Credit Corp. Debs.
Gordon Jewelry
Conv. debs.
Commonwealth. United Corp.
Conv. debs.
State & Local Government
Harris Co,, Tex.
G.O.
Georgia Highway Authority
Rev.-j.Tc
*State of Mississippi
G.O.
State of Oklahoma
G.O.
University of Texas (Austin) Rev.-Rent. .
Port of Seattle, Wash.
Rev.-Q.-Ut.
•^Highland Park Sch. Dist. ,
Mich.
G.O.
^Illinois Bldg. Auth.
Rev.-Rent.
..Consumers Public Pwr. Dist.,
Neb.
Rev.-Rent.
Dade Co. Port Auth., Fla.
Rev.-Q.-Ut.
Los Angeles, Calif. Unified
Sch. Dist.
G.O.
*Iberville Parish, La.
Rev.-Rent.
*Rothschild Joint Sch. Dist.
#1, Wisconsin
G.O.
*State of New York .
G.O,
*East Baton Rouge Parish, La. Rev.-Rent.
*Passaic Co., N. J.
G.O.
*State of Texas
jG.O.
Pennsylvania State Highway
5c Bridge Auth.
Rev.-Q.-Ut.
State of Maryland
G.O.
Lbs Angeles Dept. of Airpcm Rev.-Rent.
Kentucky Turnpike Auth.
Rev. -Q. -Ut.

18.8
25.5
13.6
16.0
15.0
10.0

June
June
June
June
June
June

24
25
25
25
25
25

11.6
34.0

June
June

25
27

~ 250.0
5075"

June
July

9

30.0
20.0

July
July

9
9

12.0
78.0
30.4
13.7
16.0

July
July
July
July
July

9
9
10
10
15

100.0
44.5
35.0
120.0

July 16
July 16
Indefinite
Indefinite

15.0

Indefinite

Other
Canadian Utilities Ltd.

S.F. debs,




w/wts.
-25-

(rts. exp.)

(rts. exp.)

"

L-3

FOOTNOTES:
*—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 of Federal Agencies.
NOTE; Florida State Board of Education received no bids on its $47.1 million
revenue issue.




-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:

Mar. 1 through

June 21 , 1968.

International Nickel Company -- Debentures
maturing 1993, reoffered to yield 6.85%.

150.0

March

28.

April

16

75.0

Lakehead Pipeline Co. --• 7-1/8% S.F. debentures,
maturing 1993, reoffered to yield 7.17%.

April

17

20.0

New Brunswick Higher Education Commission - (Canada) -7% S.F. debentures maturing 1993, reoffered to yield
7.15%.

April

18

50.0

Province of Quebec — 7% debentures maturing 1989,
reoffered to yield 7.25%.

May

15

20.0

Montreal Catholic School Commission—7rl/2% S.F. debs,
maturing 1993, reoffered to yield 7.88%.

May

21

25.0

Newfoundland and Labrador Power Commission--7-3/4%
S.F. debentures, maturing 1993, reoffered to yield 8%.

May

28

100.0

Canada, Government of, 6-7/8% bonds maturing 1988,
reoffered to yield 6.90%.
B.

Indefinite

15.0

Prospective Offerings

Canadian Utilities, Ltd., -- S.F. debs

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




-27-

with warrants.

M-2
PART II:

Private Placements —

Date Reported

Amount
(millions
of
dollars)

Reported March 1 through June 21 , 1968.

=• •

Issuer and Description of Issue
.
•

i

3/1/68

12.0

Edmonton (City of Alberta, Canada),
U.S. 6-3/4% debentures maturing Jan., 1993.

3/15/68

35.0

Mexico - (United Mexican States) external
7-1/4% bonds due 3/1/73.

4/29/68

27.8

Arctic LNG Transportation Co. (Liberian Corp.)
6-5/8% notes maturing 1991. $21.3'take'down

5/20/68

60.0

Eurocan Pulp & Paper Co., Ltd. - (British
Columbia) 1st and collateral -- 7-1/2%,
maturing 1993.

6/68

29.4

Seaboard Finance Co. of Canada, Ltd., Sr. note|f
>>
maturing 1983, take down at various dates
through 1969.
• •/'

.

t

• s
1

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 latterincludes privately placed securities in the period in which funds are actually taken down
but only in the amount of takedown while the placements shown in this exhibit are included
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.




-28—