Full text of H.16 Capital Market Developments : March 20, 1967

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\
NOL £o\ Pub»i&'fAn^

DECONTROLLED AFTER SIX M O W S

March 20, 1967

, 1
CAPITAL MARKETS) DEVELOPMENTS
X
IN THE UNITED STATES
COT pot ale t*nd municipal bond markets, Public offerings of new cor
porate and municipal securities are expected this week to exceed the average
volume over the past year by a little over 50 per cent. The largest corporate
offering will be Lockheed's $125 million of convertible subordinate debentures.
The municipal offerings feature $100 million of California water bonds and an expected $100 million of negotiated Port of New York Authority revenue bonds.
In addition.to the above calendar, $750 million of participation certificates
will be offered to the public by FNMA this week
1/
Long-term Public Security Offerings—'
(In million of dollars)
Corporate
State and local Government
New Capital I Refunding New Capital | Refunding
Sold.
52 week avg.
Mar

227

1

10
1?

331
490

-•

24

340

221
r/350
248

5
--

Scheduled
Mar.
1/

363

Federal Reserve estimates are based upon published reports of issues sold
and scheduled for offering: coipoiate tights offerIngs are included as of
the da«e subscilption rights expire

Yields on coperate bonds, especially new issues, were up last week
Last week's offerings met with mixed reception, the compet itively-awarded
Most of the other issues
utilities still in syndicate at the end of uhe week
sold readily however.
Yields on municipals last week weie unchanged to slightly lower, and most
new issues met with favorable reception
Ihe Blue List of advertised inventories,
having reached a new recent high at the end of the previous week, were down somewhat by the end of last week




H. 14

yields in Security Markets
Level Latest Week

Change from
preceding week

High-Grade
Notes arid Bonds
Corporate
New
Seasoned

5.41
5.13

+10
+ 1

4.43
4.50

-11

3.48
3.56

- 4

4.50

-20

4.28
4.21

-16

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

Moody 1s Aaa
Std. & Poor 's high grade

- 4

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

- 9

Corporate Bonds Still in Syndicate
Date
Offered

Amount
fmi11ions of $)

Issuer

Reoffering
Yield

Rating.

Estimated proportion sold

3/16

15.0

Western Mass Electric,
5-3/4's - 1997

5.61

25%

3/15

20,0

Central Illinois Light
5-1/2 's - 1997

5.43

50%

3/14

30.0

Arkansas Power & Light
5-7/8 's - 1997

5,75

A

85%

3/14

80.0

5.45

Aa

70%

3/14

40.0

Pacific Gas & Electric
5-1/2's - 1999
Eaton Yale & Towne
5-1/2'S - 1992

3-/13

50.0

Transcontinental Gas Pipeline
6-1/4's - 1987




5.50

98%

6.38

85%

Corporate Bonds Still in Syndicate (Cont'd)
Date
Offered

Amount
(millions of $)

3/8

Issuer

50.0

3/7

25.0

Reoffering
Yield

j Estimated proRating portion sold

General Telephone of Calif.,
5-3/4's - 1992

5,80

Baa

98%

San Diego Gas & Electric.
5-1/2 's - 1997

5.38

Aa

40%

Blue List of Municipal Dealers' Advertised Inventories
(In millions of dollars)
Latest Week

End of Previous Week

657 (3/15)




690

Recent High
690 (3/10/67)

H 14

Private housing starts and permits. Seasonally adjusted private
housing starts> which were revised upward by 3 per cent for January, dropped
15 per cent in February, to a seasonally adjusted annual rate of 1,089 thousand.
Currently, builders are still attempting to regain momentum against the test of
the usual seasonal adjustment factors which rise steeply into spring, and., under
these circumstances there is the possibility that the seasonally adjusted rate in
March may move downward temporarily further. Reflecting, in part, the unexpectedly
high rate reached in January, however, indications are that, the first quarter
average will at least moderately exceed 1.1 million. This would compare with
the recent low of 983 thousand in the fourth quarter of last year. On a threemonth moving average, starts in the December - February. period were at a rate of
1,153 thousand.
Among individual regions, seasonally adjusted starts dropped sharply
in the Northeast--where most of the January ise had occurred--and in the North
Central states. Only in the West was there an advance, and while quite sharp
(one-fifth). it still left the rate two fiftns under the already, reduced rate a
year earlier.
- ;"
Starts with either FHA-insured or -VA-guaranteed mortgages accounted for
19 per cent of the total in February, This was a slightly higher proportion than
in February of other recent years, and reflected an actual year-to-year gain in
the limited number of VA-underwritten starts
Seasonally adjusted building permits in permit-issu.-r_g aieas^ which had
turned up sharply further in January declined a tenth in February and, at
a seasonally adjusted annual rate of 847 thousand, were three-tenths below a year
earlier
All of the drop was accounted for by structures of 5 or more units;
these had she'i? rn unexpectedly large rise in January.
v •
" xclds and interes rates
Mortgage yields declined sharply
further in
.y \ccording to the Federal Housing Administration as mortgage
markets con . v. ^d io •.ase. Average secondary market yields on I A-insured, 30year moiigrcce on ire > homes dropped by an additional 16 basis points, more than
matching the pluvious record drop of 15 basis points in January, and marking
the most rapid iwo month decline since the series began in 1948. Reflecting
„ these developments, the February average of 6.46 per cent was 35 basis points
below the high reached last November, though still about 100 basis points above
the plateau maintained during 1963-4 and most of 1965.
Interest rates on conventional first mortgage loans for both new and
existing homes also dropped further in February-- by 10 basis points (these
interest rates a*.- estimated by the FHA rounded to the nearest 5 basis points).
This compared with declines of 5 basis points in each of the two previous months
and brought the levels to 6 50 and 6.55 per cent respectively. With a minor
exception, this was the first month that FHA secondary market yields were less
than conventional interest rates on new homes since March, of last year.




H. 14

Stock prices. Common stock prices advanced to a new recent high
last week in trading which averaged 10.6 million shares a day. Although the
Friday-to-Friday gain in the Standard and Poor's index of 500 stocks was again
slight—only 1.36
it was enough to bring the level to 90.25 at the end of the
week. This new recent high represents a 23.3 per cent gain from the trough
reached last October.
More detailed information concerning recent capital market developments
is presented in the attached exhibits.

Capital Markers Section,
Division of Research and Statistics,
Board of Governois of the Federal Reserve System.




•INItIT A,f.r» 1
LONO-TIIM-BOMB T « n » L , N I « N - « I A B I
5.5

4.0

— U . S . .BBVERNHENT'

V^v

_/

3.0

STATE ABB LBCAL 60VERHMENT A M
2.5
1961

1112




1N3

1114

1166

1115

>

«*

?

Exhibit A •-- Part II

Corporate
Aaa 1/

Date

1959-60 - High 4 . 6 1 (1/29/00)
1966 - High 5.52 (9/e)
Low
4.73 (1/7)
1967 - High 5.38(1/6)
Low
5.00(2/10)
Feb.
Mar.

17
24
3
10
172/

5.01
5.05
5.11
5.12
5.13

State and
U.S. Govt,
local
long-term 2J government
Aaa 3/
(per cent)
4.42(1/8/60)

4.87 (9/2)
4.42 (1/7)
4.55(2/24)
4.37(2/3)
4.49
4.55
4.53
4.47
4.43

Spread between
U. S. Govt, and
Corporate
State and
Aaa
local Aaa
.92 (4/2^/60)
1.19 ( V U )

3 . 6 5 (9/24/59)
4 . 0 4 (8/25)

. 59 (8/5/60)
.84(12/30)

3 . 3 9 (1/13)

.14(2/16)

3.72(1/5)
3.25(2/9)

.92
.50

.77 (9/2)
1.16
.74

3.50
3.53
3.53
3.48
3.48

-52
.50
. 58
.65
.70

.99
1 ,02
1.00
.99
.95

2/ P
r
e
l
i
m
i
n
a
r
y
.
•
1/ Weekly average of dally figure#. Average term of bonds included is 22-24 years.
2/ Weekly average of daily figures. Th» serios includes bonds due or o»llable in 10 years or more.
3/ Thursday figures. Only general obligation bonds are included; average term is 20 years.
Note.—Uighs and lows are fbr individual series and may be on different dates for different series. For spreads,
high refers to widest, and low to narrowest.




.EXHIBIT

fori 1

LONO-TIRM FTOND V I M S , L O W I K 01AD1

6.0

5.5

C N N U T E Baa
5.0

4.5

STATE A M LOCAL GOVERNMENT Baa
/ U.
3.5

3.0
1961

1162




IBM

IBM

1815

1966

Exhibit B —

Date

Corporate
Baa 1/

Part II

State and
local govt.
Baa 3/

Spread between
Aaa and Baa
State and
Corporate
local govt.

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

Metei

5.04

4.46 (1/7/eo)
3.79

6 . 1 8 (12/30)

4 . 5 5 (8/25)

5.05 (l/u)
6.15(1/6)
5.81(2/3)

5 . 3 6 (2/12/M)

17 5.82
24 5.83
3 5.87
10 5.86
17£ f5.84

For footnotes see Exhibit A.




3.78 (1/20)
4.24(1/12)
3.85(3/16)

.84
.31
.81
.31
.82
.71

1.08
.39
.62
.31
.65
.37

3.90
3.90
3.90
3.85
3.85

.81
.78
.76
.74
.71

.40
.37
.37
.37
.37

GOVERNMENT

3-5 YEAR ISSUES
e- m a m BILLS
I MmTM
J

F. R. DISCOUNT RATE

3-WOHTM BILLS

1961

1962




1N4

1966

If
Exhibit C —

Mar.

17
24
3
10
17£>

4.50
4.50
4.50
4.50
4.50

**

is

1959-60 - High 4.00
4.50
Year end- 1965
1966
4.50
1966 - High 4.50
4.50
Low
1967 - High 4.50
Low
4.50

Spread between yields on 3month bills and yields on
6-mo. bills 13-5 yr. issues

i
I§
I

Discount
Yields
6-month
3-5 year
rate
3-month
bills 2/
issues 2/
bills 2/
1/
(per cent)

Date

Feb.

Part II

4.66
4.92
5.92

4.47
4.80
5.52(9/23)
4.39(fl/24)
4.81(1/13)
4.28(3/17)

4.90
4. 86
(V23)
5.83 (9/2)
4 . 5 3 (6/24)
4.80(4/6)
4.88(1/6)
4.82(1/6)
4.21(3/17) 4.50(3/17)

.19
.12
.52
.09
.08
.01

4.61
4.61
4.47
4.37
4.28.

4.66
4.69
4.47
4.37
4.21

.05
.08

4.76
4.80
4.70
4.61
4.50

---

.07

1.81
.43
.06
.78
.01
.24
.02
. 15
.19
.23
.24
.22

1/ Weekly rate shown is that in effeot at end of period at the Faderal Reserve Bank of New Yoric.
2/ Maiket yield) weekly averages computed from daily closing bid prices. Series of 3-5 year issues consists of
selected notes and bonds.
Note.—Hi^is 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.




'EXHIBIT D, P e r t 1

S H O R T - AND I N T I R M I D I A T I - T C R M I N T R U S T BATRS,

PRIME RATE

FINANCE COMPANY PAPER

F.R. DISCOUNT RATE
FEDERAL FUNDS

1961




1963

1964

1966

/&

Exhibit D —

Prime rate 1/

Date

1959-60 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High.
Low
Feb.
Mar;

17
24
3
10
17£/

Finance
company
paper 2/
(per

5.75(3/17)

5.13 (i/22/eo)
4.06
4.75
5.88
4.75 d/7)
5.75 (1/6)
5.00 (3/17)

5.75 .
5.75
5.75
5.75
5.75

5.13
5.13
5.13
5.00
5.00

5.00
4.50
5.00

6.00

5.00 (3/4)

6.00(1/6)

Part II

Federal funds 3/

4 . 0 0 (5/13/60)

4.00
4.63
5.63
3.55 (V2l)
5.-25(1/6)
4.25 (2/3)
5.19

5.06

4,50 :
r/4.70
4.50

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

1.02
.23

.28
1.08
.20
.82
.52

.52
.52

.66
.63
.72

\ f Weakly ratt shown Is that In effect at end of period. Prime rat. is that charged by Urge banks on short-term
loans to business borrowers of the highest credit standing.
y Average of daily rates published by finance companies for directly placed paper for varying maturities in the
3/ Weekly average^f 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.




IXMMff E. fen I '

f

1941-43 o»»rog»-10

STOCK MASK IT
Billions of dollar:

100

STOCK MARKET CREDIT
* CHANGE IN SERIES

VOLUME

YIELDS

1961

1962




1913

1*14

1965

1966

Exhibit E r- Part II

Stock price
index U

Date

1961-62 - High
Low
1966 - High
Low
1967 - High
Low
Jan.
.Feb.
Mar.

82.18(1/6)

84.45
87.37
88.29
3
10 i/88.89
172/ 90.25

I
4/

72.04(lW6l)
52.68 (</«ye2)
93.77 M l )
73.20 (M/7)
90.25(3/17)

Stock market customer credit
Trading
Common
ICustomers' I Bank
volume 3/
stock
Total
debit bal- loans to
yields 2/ (millions
lances 4/ I"others"5/
of shares)
(per cent)
(In millions of dollars)

2.82

3.96

3.02

4.04
3.25
3.69

3.50
3.35
3.32
3.28
3.25

10.1

5,602 (1^)4,259(^61) 1,418 ( W « )

2.4
10.7
5.0
11.3
6.9

4 , 4 2 4 (L/EI) 3,253(1/61)

1,161(3/8/51)

7,997

5,835

2,241(7/6)

7,302

5,169

n. a.
n.a.

n.a.
n. a.

9.9
9.9
10.9
11.3

7,342
n.a.
n.a.
n.a.
n.a.

5,287
n.a.
n.a.
n.a.
n.a.

10.6

2 , 0 9 7 (12/14)
x

2,112(1/4)
2,055(2/1)
2,055
2,066
2,074
n.a.
n. a.1

S S M L - " A R I ' S I S I R .
Jnth1 f

I

for member firms of the New York Stock Exchange which carry «argin accounts; exclude,

further detail see Bulletin.




.

..

. .

|V<

'

: EXHIBIT F, P a r t I

.

"

,

M O R T G A G E A N D B O N D YIELDS

.?!

'

4
PER CENL

Monthly '*

H O M E MORTGAGES:

Aaa CORPORATE BONDS:

1957

1958

1959




1960

1961

1962

1963

1964

1965

1966

Exhibit F - Part II
Building
permits
Unadjusted
(seasonally
Type of financing Type of housing
adjusted
Multi1-2
annual
Seasonally adjust- Unadjusted
Other
family
FHA
VA
family
Tate) 2/ „
ed annual rate
(Thousands of units)
1966 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1967 - Jan.
Feb.

1,611
1,374
1,569
1,502
1,318
1,285
1,088
1,107
1,075
848
1,012
r/1,089
r/1,282
1,089

ditfesanoee In timing «ni ce-rermg##




85
78
126
147
135
128
104
105
92
80
75
r/64
1/64
61

13
12
19
18
14
15
13
14
10
9
10
10
9
8

69
3
2
64
104
3
126
3
118
4
108
4
87
' 4
87
4
79
3
68
3
62
3
51
3
3 r/52
50
3

33.8
50.8
28.9
49.3
40.9
85.4
46.8
100.3
42.9
92.5
39.7
87.9
29.7
74.3
30.9
74.5
27.4
65.0
22.7
57.5
21.9
53.4
r/42.4 r/21.3
r/42.3 r/22.1
16.7
44.7

1,255
1,197
1,268
1,185
1,098
954
921
844
733
714
715 ~
• 759
r/942
" 847

Exhibit F

Part II

Aaa Coifporate
Conven- Spread between yields
tional
Boiide
on conv. &
mortNew*/ S e a s o n e d
25-year 30-year gage. a/
mOTt
" 4/
gaeea
F»1
mortalistes 2/

-•

•

1956
1957
1958
1959-60
1961-65
1966

- Low
- High
-Low
- High
-• Low
High
Low

4.68
5.63
5.35
6.24
5.43
6.73
5.72

--- --

5.44
6.81
5.70

5.20
6.00
5.55
6.30
5.80
6.70
6.00

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

Spread between
yields on new corporate bonds and
FHA mtga. Seaaoned ^
4/
bonds
h

3.08
4.94
3.65
5.25
4,12

3.08
4.12
3.57
4.61
4.19

.76
1.58
.88
1.69
.77

1.03
.05
.73
-.16

5.82
4.84

5.49
4.74

1.11
.73

.46
.09

wee
«»#»
6.70
5.77
5.41
.36
6.81
6.70
-.11
5.72
5.35
1.09
.37
6.77
6.65
-.12
5.74
5.39
1.03
.35
6.62
6.60
.02
5.38
5.20
1.24
, 18
6.50
%
2
0
5.02
—1.26
_6.46_
.04
_.1Z
bond yields take late aooeoat servielag oeets.ahloh are mnoh higher f er •ert£ ee
Generally# beade pay interest •—1 ennnsHjl •ertfafles, monthly. Mortgage yields, if
eoywted^as equivalent te a seal animal interest tbroetasat, m i d be slightly higher thsm given la

•1966 - Oct.
•
Nov.
Dec.
1967 - Jan.
Feb.

——

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

1/ Bseed ea IHiHfleld-effiee epialeaa about average H d prices la the private seoondary market fer newhoe* mortgages for Immediate delivery* Separate data available tor25-year smA beginning Jely IT"
30-year mortgagee with lrttriMwi dewnpajeante, weighted by probable volme af tnmeaetiaas. Yields
jwted by IH1, assodag prepayment period rf 12 years for 25 year mortgages and 15 years for 3 0 year mortgages. Over the period far vhloh they oea be compared, the SBIS—at of the two mortgage
yield series has boon similar. Dashed lines indicate periods of adJastasaS to ahaagee la eentraoi
interest rates*
V Based on IHA field office opinion on typical iatereet rates (rounded) on oenventioeal first mortgagee
prevailing in the market areas of lasvoing office cities. Beginning with April 1960, rate relates
only to new-June mortgages; prior to that date, rate related to both aewae mall as existing hr—
mortgages. Dashed line indicates this change lathe series.
V IHA mortgage yield data are for 25-^rear mortgages threogh Jane IWlj 30-year mortgagee thereafter.
v 8aa note for Kxhlblt Q.
%/ Moody's Investor Service. Monthly averages of dally data. See Xxhiblt JL.




'•XMiff e. pwh i

YIELD* O N N 1 W A N D S I A S O N I D C O I T O I A T I T O N D S '
P*r cenl

6.0

5.5

NEW ISSUES

4.5
SEASONED Aaa

1962

1963




1964

1965

1966

2k

exhibit 0 - Part II
Yields on Eew Corporate Bond Issues Adjusted to an Asa basis
* m b # r Am't of issues Average
of
Included (all.
yield
issues of dollars)
(oar cent)

i

Number Ain't of issues Average
of
included (ail.
yield
(per cent)
Issues of dollars)

lieeklv cvtrattt
6
7

'* 1967 - Jan.
Feb.

496.0
481.0

i
1.

•

•

i

5.38
5.20

Jan. 6
13
20
27
Feb. 3
10
17
24
Mar. 3
10

1
2
1
2

'

25.0
400; 0
40.0
31.0

5.51
5.45
5.12
5.15

1
2
3 __
1

35.0
66.0
130.0
250.0

5.21

4
3

213.0
190.0

5.20

5.45
'
-klv averages:
5.31
. High
5.51(1/6)
6
17
210.0
5.41 y
Low
5.11 (2/10)
itei Averages of offeringkyields an ell Mir issues of publicly offered oorp orate bonds rated Aaa. Aa and
1 by Moody1 • Ssvestor* Wnrloe (except serial and convertible Is sues, offerings of natural gas pipeline

quality group over the composite average for seasoned Aaa^reted bonds (Moody's). Averages considered"
unrepresentative because ci special oha raster! etioe of -toe offerings included are denoted by an asterisk^




,

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

1967
y

/l,666
1/1,350
e/2,200 v

Corporate
1966 p/

New Capital
1965

1,302
1,237
2,446

795
746
1,197

April
May
June

1,553
1,058
2,364

July
August
September
October
November
December

January
February
March

1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

e/5,216 z

1st half
Three quarters
Year

State and local 2/
1966 p/
1967
e/1,360"
e/1,150
e/1,000

1965

1,184
858
868

804
872
904

1,152
1,691
1,946

1,194
906
1,141

826
. 924
972

1,039
1,670
1,382

1,290
850
1,392

699
773
1,018

829
1,086
1,635

924
1,325
1,496

747
965
855

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

2,738
4,789
3,533
3,745

9,959
14,050
17,601

7,527
11,060
14,805

e/3,510

986
648
966
794 :
1,021
754

; 2,910
3,241
2,490
2*567

2,580
2,722
2,600
2,569

6,151
8,641
11,209

5,302
7,902
10,471

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

Quarter
Quarter
Quarter
Quarter

Year
JJ/
If
2J
3/

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

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

17,269

13,366

1

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;




Exhibit I
New Corporate Security Issues, Type of £ssue
(In millions of dollars)
dollars?
Gross proceeds for new
and refundim

f g Q g p g g m ^

Quarter
or
Month

Total

1965 - X
II
III
IV

3,007
5,043
3,912
4,030

905
1,864
1,575
1,226

1966 - I
II .
III
IV

5,094
5,115
4,1.97
3,669

1,774
1,941
2,256
2,047

1S65 - Oct.
Nov.
Dec.

986
1,398
1,646

287
613
326

574
529
1,161

124
257
159

99
101
99

1966 - Jan. 3/
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

1,339
1,273
2,482
1,582

460
560
753
628
481
832
440
1,140
676
499
569
980

692
583
1,311
743
556
784
535
435

93
119
133
86
33
49
69
22

256
435
555

187
130
417
210
69
811
110
137
67
137
111
127

712
830

896
400

80
150

49
n,a.

voffim

Publicly Privately
Offered Placed

i m m

me*
issuers

1,553
l»4l&
u m
918

1967 - T

1,106

2,427
1,085
1,712
1,400
892
1,115

1,661

1967 - Jan. j>/ 1,688
Feb. fe/ 1,380
Mar.

6575/

62

66
2f
24

273
m
m

m
m

243

43

673

388
241
340
364
274
322
263
313
81
254
320
409

301
76
40
276
52
318
198
97
168
152

684
650

226

281

300

50

353
530
977
692
376
1,137
397
518
643
331
228

141
160

401
671
741
420
306
827
421
368
629
327
522
460
147
369
401
475
350

Preliminary,
Estimated by Federal Reserve.
„
Grose proceeds e * e w d met proceeds t j tfce cost of flotation. _
Pet total see Exhibit H; other issnecs « e attractive, railroad and otter
transportation, m i estate and finance, aad i M W irrfal aa» otter.
1/ Does not inelade U.S. Steel $600 million coaverslosL ®f fffieftrirt afcoek to defcentttces.
e£ a li^uiAatlstg
4/t Includes $229 million CensAlidatixsn Coal iswne fox partial
~
dividend.
SOURCE: Securities and Exchange




Exhibit J
Other Security Offerings
(In millions of dollars)
Gross Long-term 1/
Federal Agency 3/
Foreign Government 2/
1965
1966
1967
1965
1966
1967
El/196

12
40
40
66 .
69
76

23
74

—

.

38
73
--

91

33
74

72
7
50

218

:

5
52

75

63

2

598

661

2/1,251

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

6,806

129
185
325
775
239
150
375
375
179
2. 732

New short-term 4/
St¥te~and local Government 5/
Federal Agency 3/
137
308
238
103
n/179
-174
-24
91
39
117
450
-458
-319
-11
718
.647.
580
509
85
204
462
237
284
-82
-334
132
-590
119
-103
206
-270
408
270
105
-652
152.
-161
-309
-555
59
-48
202
-283
274
503
-219
-76
-366
g_/S 70
p/422

1,286

-748

801

£/ Preliminary, e/ Estimated by Federal Fleserve. n.a.—Not available. ll These date|
•se in
In Exhibit
KxniDit H
ti in
a t refur
rexuiding issues, as well as new capital issues,
differ from those
in m
that
Long-term securities
are defined as those maturing in more than one year.
are included. Long-term
sec
- «- by foreign governments and their political
2/ Includes securities offered in the U.S-;
ource; Securities and Exchange Commission
"subdividioris and' international organizations.
3/ Issues not guaranteed by U.S. government. Source: Long-term, Securities and Exchang^|
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, whe e
from the nroceeds .or refunding issues or frcp other funds. Data include only issues with
original .'maturity, of one year oi less. 5/ Principally tax and bond anticipation notes, fwarrants, or certificates and Public Housing Auth. notes. In.some instances PHA notes
.
-included may have a somewhat longer maturit^ than 1 year. Source: Bond Buyer & Federal
Reserve.




2-S
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)

Total

1966

1967

Corporate
Bonds
Convertible
(other than
bonds
convertibles)

424
399
720
466=
582
338
410
611
387
464
669
947
675

70
271
106

84
75
55
50
20
182
257
340
116
97
118
30
40

391
544
481
351
636
170
862
287
'352
363
990
611
709

545
Feb.
890
Mar;
643
Apr.
401
May
1,317
June
402
July
1,189
Aug.
627
Sept.
523
Oct.
510
Nov.
1,177
Dec.
681
Jan.
842
Feb. j

Stocks

State
and
local
governments

661
50
80
55
50
68
40
93

Other

2/

55
60
275
15
50
55
60
230
530

Large Individual Issues Offered March 1 through 17

Issuer

Type 1/

Maturity

Coupon
rate or
net interest cost

5-5/8
5.50
5.60
5.30

5.55
5.50
5.,60
5.,32

Aaa
Aa

150.0

2007
1992
1992
1992

40.0
30.0
25.0

1987
1992
1997

5-3/4
6-1/2
5-1/2

5,,75
6.,50
5,,38

A
Baa
Aa

1997

5.70

5..70

A

5-3/4
4-1/4
5-3/4

5,.80
4,.25
5 .71

Baa
Ba
A

6-1/4

6 .38

Ba.

Amount
(millions
of
dollars)

Offering
yield

Rating

Corporate
Chesapeake & Potomac Tel
Co. of Virginia
Borg Warner Corp.
Honeywell, Inc.
Shell Oil Co.
panhandle Eastern Pipe
T,me Co.
Teledyne, Inc.
San Diego Gas & Elec.Co.
Southwestern Pub. Service
Co.
General Tel. Co. of
Calif.
Amphenol Corp.
Midland-Ross Corp.
Transcontinental Gas

Pipeline Corp.

Deb.
S.F. deb.
S.F. deb.
Deb.
Deb.
S.F. deb.
1st mtg. bds.

65.0
75.0

60.0

1st mtg; bds.

1992
1992
1992

S.F. deb.
Conv. sub. deb.
Deb.

50.0
15.0
25.0

Deb.

50.0 1987




,

Aaa

K-2
ge Individual Issues Offered March 1 through 17 (Cont d)
Larg

Type 3/

Coupon
Offerrate or
Maturity net inter- ing
yield
est cost

Amount
(millions
of
rinl 1 a r e )

Corporate (Cont'd)
Trans World Airlines, Inc.
•J' sfern Massachusetts Co.
Eaton Yale & Towne,. Inc.
iaviric Gas L Electric Co.
N TRA 1 Illinois Lt. LO*
• z. i:anis-as Pur. -ft tt. Co.
-HPv te r L sbo ra r uri o s
Pu",
'u; In"..

Conv. sub. deb.
1st mtg. bds.
Deb.
1st & ref.
mtg. bds.
1st mtg. bds.
1st mtg. bds.
Conv. sub. deb.
Deb.

1992
1997
1992

100.0
15.0
40.0
80.0
20.0
30.0
25.0
60.0

1999
1997
1997
1987
1997

u La .:? and local Government,
|G »0.
9.are of Mninv
!c.o>
HaniVvon Co. . O.iio
. ' io:• i.ng As s i 3 v .4 nee Admin. Bonds
Rev.-Ut.
Tacoma, Washington
St. Louis Jr. Coll. Dist., Mo. G.O.
. Louisiana Cap. Const, and
G. 0.
Imp, Comm.
New York State Housing
Rev.-Rent.
Finance Agency
fjklatid, Washtenaw, & Lapeer
Cos. Comm. Coll Dist. , Mich. G • 0.

17.0 1968-97
19.8 1968-90
116.9 1967-2007
38.9 1970-2014
10.0 1968-87

Rating

4.00
n.a.
5.50

Ba

5-1/2
5-1/2
5-7/8
4 '
5-7/8

5.45
5.43
5.75

Aa
Aa
.A

5.96

Baa

3.32
3.40
3.48
4.07
3.44

2. 70-3.42
2. 75-3.45
n.a.
3.,15-4.35
2.,08-3.50

Aaa
Aaa
Aaa
Baa
Aa
A

4
5-3/4
5-1/2

A

"

30.0

1968-87

3.90

3.,00-3.90

70.8

1967-98

*3.99

3,,00-4.00

--

1969-91

3.94

3,.00-4.20

A

1992

5-3/8

12.0

Other
.'International Bank £or Recon.
and Devel« ,

Bonds

250.0

5.35

Aaa

-Rights offering.
U

I
and other security offerings of $15 million and over, State and
2

3/

by lease payments.




f o r Reconstruction and Development

H. 14
Exhibit X
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
Corporate
Other 2/
local govt.
1966

1967

Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 29
Aug. 31
Sept.30
C'ct. 31
Nov. 30
Dec. 30
Jan. 31
Feb. 28

828
489
248
1,261
317
677
662
687
397
1,098
656
486
1,410

20

366
253
399
584
337
403!
515
300
140
496
939
780
508

• ——
——

30
15
40
--— '
—

80
530
250

Corporate
1,176
606
1,034
1,261
619
697
853
767
457
1,133
811
706
1,534

Subsequent to
date shown
State and
local govt.
504
334
546
584
353
403
685
380
175
571
1,154
851
528

Other 2/
90
55
55
85
50
35
90
35
35
65
. 95
545
265

Forthcoming Large Offerings as of March 17
Issuer

Type

- Amount
(millions
of
dollars)

Approximate date of
offering

Corpora te
Lockheed Aircraft Corp.
Sunbeam Corp.
Duval Corporation
Union Electric Co.
Ohio Bell Telephone Co.
Commonwealth Edison Co.
Wsstinghouse Elec. Corp.
Long Island Lighting Co.
Bangor Punta Corp.
Frontier Airlines
*Ter.as Eastern Trans. Corp.
Duke Power Co.
"Ohio Power Co.
*Hartford Electric Lt.& Pwr.
*TRW, Inc.




Deb.
Deb.
Deb.
1st mtg. bds.
Debs.
1st mtg. bds.
Deb.
1st mtg. bds.
Conv. sub. deb.
Deb.
1st mtg. p.l. bds.
1st mtg. bds.
1st mtg. bds.
1st mtg. bds.
Deb.

125.0
50.0
25.0
30.0
75.0
50.0

200.0
35.0
15.0
15.0
25.0
75.0
50.0

20.0
50.0

March 21
March 21
March 21
March 22
March 23,
March 28
- March 29
March 30
March
March
April 4
April 5 April 12
April 13
April

L 2

",

Forthcoming Large Offerings as of March 17 (Cont'd)

Issuer

Type

Amount
(millions
of
dollars)

Approximate date of offering

Corporate (Cont'd)
*iiarsco Corp.
•"Falrchild Hiller
^Caterpillar Tractor Co.
*Allegheny Airlines
Dayton Pwr. h Lt. Co.
Black and Decker

Deb.
Deb.
Deb.
Sub. deb.
1st mtg. bds.
Deb.

30.0
25.0
150.0
22.0
40.0
24.2

April
April
April
Indefinite
Indefinite
Indefinite (rts. exp.)

G.O.
G.0.

100.0
15.2

March 21
March 21

G.O.
Rev. -Rent.
Rev. -q. -ut.

24,3
14.0
100.0

March 21
March 21
March 22

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

25.8
20.0
19.7
12.0

March
March
March
March

Rev.-Ut.

15.0

March 29

G. 0.

20.0

April

4

-:i

G. 0.

24.0

April

4

^

G.O.

10.0

April 11

G.O.
Rev * & G. 0.

20.0
11.0

Indefinite
March 23

750.0
75.0
15.0

March 22
March
Indefinite

State arid local Government
State of California
Santa Clara County, Calif.
Nashville & Davidson Co's.,
Tennessee, Metro. Govt.
*fexarkana, Arkansas
*Port of New York Authority
Wisconsin State Agencies Bldg.
Corp., Milwaukee
East Baton Rouge Parish, La.
Dallas, Texas
Colorado Springs, Colorado
Los Angeles Dept. of Wtr. &
Pwr., California.
Washington Suburban Sanitary
Dist,, Maryland
*Penn. State Pub. Sch. Bldg.
Auth.
*Los Angeles County Flood
.Control Dist., California
Metro. St. Louis Sewer Dist.,
Missouri
South Louisiana Port Comm.
.

22
22
27
28

Other

Fed. Nat. Mortgage Assoc.
*Province of Ontario
Nippon Tel. & Tel. Pub. Corp.

Part. Certs.
' - "
Deb.
Bonds

^
{
•1
^

!
'
n

,!

4:
-<t
*
^

*--Included in table for first time.
1/ Includes corporate and other issues of $15 milltih
and over; State and local government issues of $10 million and over*
2J Includes foreign^
government and International Bank for Reconstruction and Development issues and nonguaranteed issues of Federal Agencies.
NOTE; Deletions for reasons other than sale oi£
issue: Fruehauf Corporation's $50.0 million issue -- postponed.
$




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 January 1 through March 17

1/17

50.0

Inter-American Development Bank — 5.20% bonds
maturing 1992, reoffered to yield 5.20%.

1/24

30.0

Province of Nova Scotia — 5r7/8% S.F. debentures
maturing 1992, reoffered to yield 5.84%.

1/26

40.0

City of Montreal, Canada — 6% debentures maturing
1987-92, reoffered to yield 5.95%.

3/14

250.0

International Bank for Reconstruction and Development-5-3/8% debentures maturing 1992, reoffered to
yield 5.35%.

B.

* March
Indefinite

Prospective Offerings

75.0

Province of Ontario -- debentures

15.0

Nippon Telegraph and Telephone Public Corp.

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




Bonds.

M-2
PART II:

Date Reported

H. 14

Private Placements - Reported January 1 through March 17

Amount
(millions
of
dollars)

Issuer and Description of Issue
i

'

.

;

-

1/16

12.5

Republic of Peru -- 7-3/4% external notes,
maturing 1971 -- no information available
on takedown.

3/1

45.0

Province of Quebec — 5-7/8% bonds,
maturing 1 9 9 7 — no information available
on takedown.

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
latter includes privately placed securities In the period- in which funds are actually
taken down but only in theL 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 takedowns may take place both prior and subsequent
to the date a placement is reported.