Full text of H.16 Capital Market Developments : March 25, 1968

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Not for PuEUcaei6n"
H. 4

J2ECQHIS0LLED a f t e r s i x months

March

25, 1968

LPITAL MARKETSJBEVELOIMENTS

MAR 2 7 w38.
Or iuchmcnd .

IN THE UNITED STATES

Corporate and municipal bond markets. The volume of new, publiclyoffered corporate securities expected this week will be almost $100 millioi
more than the average weekly volume over the past year; the municipal vorlume,
however, will be slightly less than average. The large corporate volume features
the $150 million offering of International Nickel debentures, while the lirgest
municipal issue will be New York City's $45.1 million of housing bonds.
Supplementing the week's volume of long-term offerings will be $730 millioin of
publicly-offered FNMA participation certificates.
Long-term Public Security Offerings
(In millions of dollars)
Corporate
New Capital I Refunding

1/

State & local Government
New Capital | Refunding

Sold:
52 week avg.
March

329

261

15

r/164

r/379

22

315

148

435

241

Scheduled;
March

V

29

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 and seasoned corporate bonds advanced sharply last week,
the former to within one basis point of its 1967 record high. Despite higher
yields however, new issues were not well received in some cases, Only th b highly
desirable World Bank bonds sold out by the end of the week.
Yields on municipals, however, were lower for the first time in
several weeks, and new issues met with a very good reception. By the end of
the week, about 90 per cent of the week's offerings had been sold, and th
Blue List had registered a fairly large decline.
Private housing starts and permits. Seasonally adjusted privat
housing starts rose 8 per cent further in February to an annual rate of 1,566
thousand. While the rate was short of the recent high in November it was
what greater than expected. This may have reflected the more than usual number
of operating days available for- February in this leap year. Also increased
confidence engendered at that time by the less than anticipated disintermediation
suffered by lenders in the December-January "withdrawal" period may have been
a factor.




H. 14
Yields on Security Markets
High-Grade
Notes and Bands

Change from
preceding week

LeveIs Latest Week

Corporate
New
Seasoned

6.58
6.14

+ 15
+ 6

5.42
5.78

- 7
- 11

4.20
4.53

-

8

-

8

5.15

+ 53

5.26
5.37

+

1

-

6

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

Corporate Bonds Still in Syndicate
. Date
Offered

Amount
(millions of $")

Issuer

Reoffering
Yield

Rating

Estimated proportion sold

3/21

35.0

Louisiana Power & Light,
7-1/8's - 1998

7.00

Aa

70%

3/21

15.0

Pioneer Natural Gas,
6-3/4's - 1998

6.84

A

75%

3/20

50.0

Pacific Gas & Electric,
6-5/8's - 2000

6.62

Aa

40%

3/19

20.0

Utah Power & Light,
7's - 1998

6.90

30%

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
379(3/21/68)




End of Previous Week
437

.

Recent High
849(4/26/67)

H. 14

Altogether, the February increase was concentrated entirely in
single-family structures. These advanced a fifth further and reached a
level in excess of a million units for the first month since December of
1965. Regionally, starts in the South led the rise with a month-to-month
spurt of almost a fourth, and rates in the North Central and West were up
moderately while those in the Northeast states -- which had led the upturn
in January -- dropped sharply.
Government-underwritten starts accounted for nearly 24 per cent
of total starts in February. This compared with 20 per cent a year earlier
and was the highest share for February since 1962.
Building permits in permit-issuing areas also rose in February—
by nearly a fourth and, at 1,373 thousand, exceeded the relatively advanced
rate reached last December. Unlike starts, the rate of permits in February
rose in all regions and most sharply for multifamily structures.
Stock market credit. Total stock market credit in February registered
its largest decline since June 1962. Almost all of the $391 million decline
in stock market credit can be attributed to the $380 million decline in
customers' net debit balances during the month. Only about $90 million of
the $380 million CNDB reduction, however, represents a reduction in margin
debt; the remainder reflects a substantial decline in cash account debt,
resulting from a decline in trading volume plus the elimination of back offijce
bottlenecks which had built up during January. Bank loans to "others" for
purchasing or carrying securities meanwhile declined by $11 million, and
customers1 net free credit balances declined $174 million.
Stock prices. Common stock prices slumped to new recent lows last
week in moderate trading, At the close Friday, Standard & Poor's index of
500 stocks stood at 88.42, down 0.68 from the previous Friday. Trading volupe
averaged 8.8 million shares a day.
More detailed information concerning recent capital market developments
is presented in the attached exhibits.
Capital Markets Section,
Division of Research and Statistics,
Board of Governors of the Federal Reserve System.




H. 14

STOCK MARKET CREDIT
(In millions of dollars)

Months

Outstanding:
1955-56 High

Total

Broker & Dealer Credit
Customer.Credit
Customers
Money
Net Debit Bank loans' to others
net free
Borrowed
balances with than brokers and
Other credit
NYSE member dealers for purchas-' Cust.
•tnp & carrying secur, colL POUr balances
firms

1957-58 Low

3,554 (1/58) 2,482 (12/57)

1959
1960
1961
1962
1963
1965

4,764 (4)
4,142 (5)

-

High
Low
High
Low
High
Low

1964 - Dec.
1965 - Dec.
1968 - Feb.

1,873

430

1,069 (1/55)

1,060 (11/57)

1,344

188

807 (4/57)'

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

2,044
1,801
2,572
1,856
3,892
2,882

318
237
385
235
597
446

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

3,393
2,889

517
687

1,169

1,255 (4/56)

4,047 (5/56) 2,823 (12/56)

4,876 (7)
7,298 (11)
6,833 (7)

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

7,053
7,705
9,802

5,079
5,521
7,381

1,974
2,184
2,421

70
393
161
116
248
467
69
293
271
62
852
-154
-391

59
369
101
107
240
437
4
218
185
43
830
-122
-380

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

5,602 (12)

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

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

1,666
2,768

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

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

22
199
-57
142
11
110
-60
120
112
-13
263
179
-174

samBrnrmm




-4-

LONG-TERM BOND YIELDS, HIGH-GRADE

C O R P O R A T E Aaa

7~"

U.S. GOVERNMENT

r
S T A T E AND LOCAL G O V E R N M E N T Aaa
Moody's

1963




1964

1965

1967

1968

Exhibit A -- Faru LI

I Corporate
I Aaa 1/

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

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

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(12/28)
3.25(2/9)

1968 - Feb. 23
Mar. 1
8
15
22E /

6.09
6.09
6.07

5.14
5.19
5.27
5.49
5.42

4.06
4.16
4.27
4.28
4.20

6.08
6.14

£/ Preliminary.
V Weekly average of daily figures.
2/ Weekly average of daily figures.
3/ Thursday figures.

.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

.95
.90

1.08

.59
.72

1.21
1.22

.80

1.03

1.00

Average term of bonds included is 22-24 years.
The series includes bonds due or callable in 10

Only general obligation bonds are included; average tern is 20

"-•"is,:;;s



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

EXHIBIT B, Pari

L O N G - T E R M B O N D YIELDS, LOWER GRADE
Weekly

CORPORATE Baa
Moody'

STATE AND LOCAL GOVERNMENT Baa

i i i i i ii n i l
1963




i i i i i i i i i i i ii i II i ii i 1 i—i i i II \i 1 l l I l 1 I l I I I l 1 I
1968
1967
1966
1965
1964

Exhibit B -- Part II

State and
local govt.
Baa 3/

Corporate
Baa 1/

(per cent)

Spread between
Aaa and Baa
State and
Corporate
local govt.

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

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

1968 - Feb. 23
1968 - Mar. 1
8
15
22j>/

6.79
6.80
6.81
6.81
6.87

4.73
4.78
4.81
4.90
4.89

.70
.71
.74
.73
•73

Note:




For footnotes see Exhibit A.

1.08
.39
.62
.31
.81
.37
.67

.62
.54
.62
.69

EXHIBIT

C. Pari 1

SHORT- A N D I N T E R M E D I A T E - T E R M INTEREST RATES
GOVERNMENT

6 - M O N T H BILLS

3 - 5 YEAR I S S U E S

F.R. DISCOUNT RATE

3 - M O N T H BILLS

1963




1965

1966

1967

1968

Exhibit C -- Part II

Date

Discount 1
rate
i 3-month
1/
! bills 2/

Yields
6-month
bills 2/
(per cent)

3-5 year
issues 2/

Spread between yields on
3-mo. bills and vields on
6-mo. bills I -5
3 vr. issues

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

4.00
4.50
4.50
4.50
4.50
4.50
4.00

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)

507(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/15)
3.74(6/2)

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
«09
.62
.01

1968 - Feb,. 23
Mar . 1
8
15
22j>/

4.50
4.50
4.50
4;50
5.00

4.96
5.03
5.04
5.25
5.26

5.16
5.21
5.25
5.43
5.37

5.57
5.60
5.68
5.89
5.78

.20
.18
.21
.18
. 11

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

il Reserve Bank of
An/1 n f nori f at- hhti FpHpra

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 for
different series. For spreads, high refers to widest, and low to narrowest".




.61
.57
.64
.64
.52

EXHIBIT

D, Pari 1

S H O R T - A N D INTERMEDIATE-TERM INTEREST RATES,
B A N K S A N D OTHER PRIVATE BORROWERS
Weekly

PRIME RATE
FINANCE COMPANY PAPER
Directly

placed

;

F.R. DISCOUNT RATE

FEDERAL FUNDS

1963




1964

1967

1968

Exhibit D —

Date

Prime rate 1/

Part II

Finance
company
paper 2/

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

(per cent)
1959-60 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low

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)

1968 - Feb. 23
Mar. 1
8
15
22EZ

6.00
6.00
6.00
6.00
6.00

5.25
5.25
5.25
5.50
5.50

4.6,9
4.70
4.95
4.62
5.15

.

1.02
.23
.28
1.08
. 20
1-33
.21
.29
.22
.21
.25
.24

1/ Weekly rate shown 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 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.




EXHIBIT

E, Pari 1

STOCK MARKET
Billion:

of

194143

dollari

overoge=10

PRICES

STOCK MARKET CREDIT
* CHANGE IN SERIES
Millioni

of i h o r e i

14

\

1
-

VOLUME rtf\J\

-

1

10

V

J

1

\

YIELDS

1 1111M l

II 1| 1 1 II M i l

1363




1964

I- I I '

i i i i i n
1965

V**"
i ii I 1 M l II M 1 II 1
1966

I I I I I I I I 1 1 I1967

M 1 1 1 .11 1 M 1
1968

6

2

Exhibit E — P a r t II

Date

Stock price
index 1/

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

1961-62 - High
Low
1966 - High
Low
1967 - High
Low

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)
2,507(11/1)
2,055(1/25)

1968'- Jan*
Feb.

95.04
90.75

3.10
3.28

11.9
9.2

10,193
9,802

7,761
7,381

2,432
2,421

Mar.

8
89.03
15
89.10
222/ 88.42

3.36
3.35
3.38

9.6
10.1
8.8

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

2,444
n.a.
n.a.

n.a. Not Availab le. £/ Preliminary.
\J 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 Poor1s 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.




M I V A T I H O U S I N G STARTS AND PIRMITS
Monthly, annuel

I I I. I I I I I Ir rImI

SEASONALLY ADJUSTED DATA

STARTS

BUILDING PERMITS

* CHANGE IN SERIES

. PER C E N T O F

U N A D J U S T E D TOTAL STARTS

MULTI-FAMILY

GOVERNMENT UNDERWRITTEN
1961

1962

,

1963




1964

1965

\V

1966

1967

1968

Exhibit F - Part II
Starts
Total

Unadjusted
Type of financing Type o

Seasonally adjustUnadjusted
FHA
ed annual rate

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

1,149
1,094
1,116
1,274
1,233
1,369
1,407
1,445
1,496
1,590
r/1,250
r/1,453
1,566

VA

Other

(Thousands of units)
49
81
9
92
14
74
97
12
114
109
18
132
101
125
19
106
125
15
105
17
127
16
122
101
111
135
19
15
99
118
r/61
80
16
63
80
14
68
16
89

1-2
family

42.3

68.8

83.5
92.3
90.6

86.8
87.8

82.0
86.7
72.3
r/50.2
r/47.7
r/59,4

Building
permits
housing (seasonally
adjusted
Multiannual
family
ratel 2/
19.2
22.7
30.2
39.8
34.8
38.4
39.5
39.8
48.7
46.1
r/29.9
r/32.7
27.3

1
1
1
1
1
1
1
1
1

894
928
,028
033
109
093
127
159
212
158
323
102
373

1/ Total starts are Census estimates including farm for both permit-issuing and
"" non-issuing areas. A dwelling 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 strict iy
comparable in concept or timing; other starts iclude both units financed b y conventional mortgages and units without mortgages.
2/ Building permits before January 1963 are Census estimates for about 10,000 areas
identified as having a local building permit system in 1959. Estimates be ginning
January 1963, are for approximately 12,000, or all known, permit-issuing pl aces.
Unlike starts, seasonally adjusted building permits reflect direct adjustm ent
for differences in the number of working days per month, as well as other differences in timing and coverage.
r/

Revised.

£/

Preliminary.




$#
11

EXHIBIT

2*

G. Part 1

YIELDS O N NEW A N D SEASONED CORPORATE B O N D S
Weekly

1.5

Adjusted to

Aoo

Boi

NEW ISSUES

6.0

5.5

5.0
SEASONED Aaa

4.5

1964




1965

1966

1967

1968

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

Number
of
issues

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.

Weekly averages:
High
Low

•

13
13

a

567.0
564.5

6-58(3/22/68)
6.18(1/12/68

6.24
6.29

Feb.

2
9
16
23

Mar.

1
8
15
22>/

™

of the offerings included are denoted by an asterisk.




4

76.0
237.0
205.0
42.5

6.21

70.0

6.48

85.0
135.0

6.44
6.58

*

6.23
6.30
6.29

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

State and local
196 7 r/
1968p/

January
February
March

£./ 1,689
e/ 1,600
e/ 2,100

1,648
1,399
2,317

1,302
1,237
2,446

1,107
e/1,200
e/1,150

1,482
1,194
1,439

1,188
858
865

April
May
June

e/ 1,550

1,973
1,474
2,611

1,553
1,058
2,364

e/1,150

1,111
1,222
1,497

1,193
901
1,141

2,454
2,407
1,723

1,039
1,670
1,382

943
858
1,324

701
773
1,020

2,289
1,467
2,336

829
1,085
1,635

974
1,424
1,060

755
969
940

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

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

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

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

11,421
18,007
24,584

9,959
14,050
17,601

7,945
11,070
14,529

6,146
8,640
11,304

July
August
September
October
November
December
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

e/ 5,389

let half
Three quarters
Year

1st
2nd
3rd
4th

finance companies 3/

Quarter
Quarter
Quarter
Quarter

17,269

Year
e/

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

5,207
5,913
6,338

Estimated by FedArel Reserve.




I»l

e/ 3,457

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

i

1

9

Net proceeds
Gross proceeds for new capital
and refunding 1/
for new capital 1/ 2/
Total
Bonus
Common Memo:
Publicly Privately and
Foreign
Other
Mfg. Public CommuniOffered Placed
pfd. issues
Utility cations Issuers
stock included
4,197
2,256
1,627
314
154
1,558
657
567
1,309
3,669
2,047
1,247
375
117
1,232
984
417
918
5,464
3,263
6,208
4,017
6,833 • 4,604
3,107
6,294

1,811
1,465
1,551
2,137

390
726
678
1,051

60
65
234
93

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

543
548
595
269

1,418
900
362
1967 - Feb.
156
10
563
274
105
Mar.
2,362
1,618
601
143
15
1,254
503
145
Apr.
2,016
1,368
410
238
16
1,128
394
107
May
1,519
965
396
158
32
588
403
91
June
2,673
1,684 '
659
330
17
1,298
471
350
July
2,589
1,889
486
214
213
925
446
39
Aug.
2,481
1,813
418
250
13
1,229
509
356
Sept. 1,763
902
647
214
8
637
265
200
Oct.
1,375
566
469
34
906
2,409
573
119
Nov.
1,500
645
551
304
19
512
82
404
Dec.
2,385
68
1,087
1,020
278
40
1,109
278
1968 - Jan. £ , 1,757
528
326
16
530
418
182
903
1
Feb.e/| 1,655
200
755
700
n.a.
460
540
125
£/ Preliminary, ej Estimated by Federal Reserve.
1/ Gross proceeds exceed net proceeds by the cost of flotation.
2/ For total see Exhibit H; other issuers are extractive, railroad and other
transportation, real estate and finance, and commercial and other.
SOURCE: Securities and Exchange Commission.




-24-

1,382
1,228
1,976
2,040

456
415
343
393
492 .
1,044
313
619
690
469
881
5.59
475

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
January
February
March
AprilMay =
June
July
August
September
October
November
December

Year

January
February
March
April
May
June
July.
August
SeptemberOctober
November
December j>/

218

223
27
13
170
22
586
193
66
142
18

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

1,656

597

661

196

38
73
91
33
74
5

52
75
2

State and local Government 5/
238
103
91
39
387
-458
-319
-594
647
580
827
204
462
515
-82
-334
-128
119
-103
219
408
270
593
152
-161
200
59
-48
464
274.
503
50
-366
-570
-431

TFT

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

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

129
185
325

8,180

6,806

2,732

—-

2,281

.Reserve,
n. a. — Not available.



422

1,286

—

775
—

239
150
375
375
179

short-term 4/
Federal Agency 3/
137
308
-179
-174
-24
-552
117
-454
450
-11
-559
718
509
85
109
237
284
93
132
-590
-158
206
-262
-270
105
-652
1,407
-309
606
-555
202
-283
573
219
-76
36

•US
Year .

--

660

310

801

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

total

1968

Feb..
Mar.
Apr.
May
j U ne
July
Aug.
Sept.
Oct.
Nov.
Dec.
Jan.
Feb.

JBSIBSIiSS.
Bonds
Convertible
(other then
bonds
convertibles)
709
1 ,435
956
771
1 ,072
890
1 ,288
473
897
461
460
652
575

• 842
1,638
1,311
870
1,666
1,340
1,705
794
1,458
826
978
904
757

Stocks

State
and
local
governments
675
669
512
496
875
483
473
847
505
865
633
785
591

93
63
142
44
185
133
67
65
276
215
81
85
77

40
140
213
55
409
317
350
257
285
150
437
168
105

Cher

%)

530

1,000
540
391
825
85
221
400
50
845
627
1,095
389

Large Individual Issues Offered March 1 through March 22 , 1968.

Issuer

Type &/

Amount
(millions
of
dollars)

Maturity

C9TP9?*fe
•Computer Sciences
Baxter Laboratories, Inc.
Philadelphia Electric Co.
White Motor Corp.
White Motor Corp.
Union Tank Car.
*Shell Oil Co.
Consolidated Edison
•Container Corp. of America
Utah Bower & Light Co.
Pacific Gas & Electric

Com. stk.
19.4
Conv. sub. debs.25.0
1st mtg. bds.
60.0
Conv. debs.
25.0
S.F. debs.
25.0
Equip, tr. cert. 20.0
Com. stk.
95.0,
Cum. pfd. stk. 93.1
S.F. debs.
30.0
1st mtg. bds.
20.0
1st & ref. mtg.
bds.
50.0
Conv. sub. debs.20.0
Diversified Metals
35.0
Louisiana Power & Light 0a 1st mtg. bds.
1st mtg. bds.
15.0
Pioneer Natural Gas




Coupon
rate or
net interest cost

Offering
yield

Rating

1988
1993
1993
1993
1988

4-1/2
6.55
6-1/2
5-1/4
6-1/2

4.50
6.50
6.50
5.25
6.50

Ba
Aaa
A
Baa
A

1993
1998

6-5/8
7

6.62
6.90

A
A

2000
1993
1998
1988

6-5/8
5-7/8
7-1/8
6-3/4

6/62
5.88
7.00
6.84

Aa
B
Aa
A

-M-

13

Large Individual Issues Offered March 1 through March 25.(Cont'd)

Type 3/

Issuer

Amount
(millions
of
dollars)

State & local Government
Rev.-Rent.
Cornell Township, Mich.
Rev.-Rent.
Cornell Township, Mich.
Rev.-Rent.
Illinois Bldg. Auth.
G.O.
State of Hawaii
G.O.
Prince Georges' Co., Md.
Rev.-Rent.
Ft. Lauderdale, Florida
Bonds
Housing Assistance Admin.
Rev. -Rent.
Opelika, Alabama
Los Angeles Dept. of Water
Rev.-Ut.
and* Power
G.O.
State of Minnesota
Rev.-Rent.
Ashland,.Kentucky
Peralta Jr. Coll. Dist.,
G.O.
California
Pennsylvania State Sch.
Rev. -Rent.
Bldg. Authority
G.O.
State of Maine .
Chester Co., South Carolina Rev. -Rent.
Chester Co.-, South Carolina Rev. -Rent.
Rev. -Rent.
Lorain Co., Ohio
Rev. -Rent.
Lorain Co., Ohio
Rev. -Rent.
Escanaba, Michigan
Allegheny County Port Auth
Rev. -Q. -Ut.
Pennsylvania
G.O.
St. Louis County, Mo.
Rev.-Rent.
Atlanta, Georgia

43.8
12.9
35.4
30.0
24.0
11.5
143.8
45.0

Coupon
Offerrate or
Maturity net intering
yield
est cost

Rating

5.50
5-1/2
1995
4.50-5.10
5-1/2
1971-78
3.25-4.90
4.86
1968-90
3.70-4.50,,
4.41
1971-88
3.40-4.63='
4.51
1969-93
3.90-5.00
5.02
1971-97
3.10-4.63
1968-2008 4.43
1971-93 4^3/4-5-3/4 4.75-5.75

24.0
33.8
23.0

1969-98

4.17

4. 10-4.85^

1993

n. a.

-

18.5

1993

5.00

3. 50-4.60

40.0
11.7

1970-2007^5.06
4.25
1969-98
n. a.
1970-78
n.a.
1993
n. a.
1971-78
n.a.
1988
n. a.
1996

3. 90-5.25
3.,30-4.85
4.,50-5.10
5.75
4.,30-5.00
5.38
6.50

4.42
1973
1969-1983 n.a.
1970-1999 5.34

4.25
3,.40-4.20
4,.00-5.40

10.8

24.2
29.5
50.5

12.6

20.0
25.5
12.5

Aa
A
A
A
Aaa
Aa

6.00
Aa
Aaa
-—

A
Aa.
Baa

Other
Federal,Land Banks
World Bank

Bonds
Bonds

130.0
150.0

1970
1980

6.00

6-1/2

5.97
6.54

* Rights offering.
i/ Includes corporate and other security offerings of $15 million and over;
2/
3/

4/
5/
Zf

secured by revenue from specific taxes only; Rev.-Rent,, revenue bonds secured solely
by lease payments.
Bonds due 1993 with a 2% coupon reoffered at 5.40%.
Bonds due 1969-74 were not reoffered.
kk\
Bonds with a coupon due 2007 were not reoffered.
\A"
'




H.W
Exhibit L
Forthcoming Large Long-term Public Security Offering for R w Capital
(Other than U.S. Treaaury) ]J
Expected Proceeda from Forthcoming Large Iaeuee
(In millions of dollars)
During month following
iihw
State and
Corporate
Other U
local govt.
1967 - Feb.
Mar.
Apr.
May
June
July
Aug.
Fept.
Oct.
Nov.
Dec.
1968 - Jan.
Feb.

28
31
30
31
30
31
31
30
31
30
31
31
29

1,410
767
963
1,449
1,636
1,261
694
534
1,357
826
968
531
873

508
227
326
596
401
512
783
768
505
865
633
449
683

250
70
100
40
100
65
50
845
402
60
130

Corporate

Subsequent to
tot. »how»
State and
local govt.

1,534
905
1,262
2,065
1,922
1,576
1,335
1,090
2,694
2,129
1,892
736
1,105

528
247
346
616
402
575
903
889
743
1,684
1,076
937
1,079

OtherU
265
15
85
115
70
150
159
126
260
875
. 502
75
265

.

Forthcoming Large Offerings as of March 22, 1968

Issuer

Amount
(millions
of
dollars)

Type

Approximate
offeri

Corporate
A.M.K. Corp,
General Telephone of the Southwest
McCullock Oil Corp. of Calif.
Union Electric Co.
United Utilities
Tenneco, Inc.
Sundstrand Corp.
^Piedmont Aviation
Keystone Steel & Wire Co.
Kansas City Power & Light Co.
Houston Lighting and Power Co.
Hawaiian Telephone Co.
New Jersey Bell Telephone Co.
Graphic Sciences
Potomac Edison Co.
Nevada Power Co.
Massachusetts Electric Co.
Consolidated Natural Gas Co.
Bell Telephone of Pennsylvania




Debs.
1st mtg. bds.
Conv. sub. debs
1st mtg. bds.
Conv. debs.
Cum. pfd. stk.
Conv. sub. debs
Conv. debs.
S.F. debs.
1st mtg. bds.
1st mtg. bds.
1st mtg. bds.
Debs.
Conv. debs.
1st mtg. & tr bds.
1st mtg. bds.
1st mtg. bds.
Debs.
Debs.
.

xsr

30.0
25.0
15.0
50.0
50.0
40.0
30.0
15.0
30.0
25.0
35.0
20.0
50.0
15.0
25.0
15.0
20.0
30.0
100.0

March 26
March 26
March 26
March 26
March 26
March 26
March 26
March 26
March 27
March 27
March 28
March 28
April-2
April 2
April 9
April 16
April 17
April 18
April 23

date of

Forthcoming Large Offerings as of March 22 , 1968

Issuer

Amount
(millions
* of.
dollars)

Type

Corporate (Cont'd)

(Cont'd)

Approximate date of offering

•9

Conv. debs.
SCM
*Indiana & Michigan Electric Co,,S.F. debs.
*Iridiana & Michigan Electric Ca 1st mtg. bds.
Conv. debs.
*Indian Head, Inc.
Debs.
*Collins Radio Co.
Conv. debs.
Fidelity Corp.
1st mtg. bds.
Montana Power
Com. stk.
National Aviation Corp.

41.5
15.0
35.0
25.0
35.0
16.0
30.0
24.2

April 24 (rts. exp.)
April 30
April 30
Indefinite
Indefinite
Indefinite ,
Indefinite
Indefinite (rts. exp.)

State and Local Government
24.2
16.2
15.0
12.0
10,3
45.2
15.5
35.0
31.8
25.0
20.0
13.9
150.0

West Virginia State Bldg. Conm. Rev. -Rent.
G.O.
Rochester, New York
Cleveland City School Dist. . G.O.
Anne Arundel Co., Annapolis ,Md. G.O.
G.O.
Phoenix, Arizona
G.O.
New York City
G.O.
State of Alaska
G.O.
Nassau Co., N. Y.
G.O.
San Francisco, Calif.
Wash. Suburban Sani, Dist., Md. Rev. -Rent.
Rev. -Rent.
Calcasieu Parish. La.
G.O.
Detroit, Michigan
Calif. Dept. of Water Resources Rev. -Rent.
Penna. State Highway &
Rev. -Rent.
Bridge Auth.
G.O.
Oakland Co., Michigan
Sail Diego Unif, Sch. Dist. ,
G.O.
Calif.
G.O.
San Francisco B.A.R.T.
G.O.
^Montgomery Co., Pa.
*Los Angeles Dept. of Airports Rev. -Rent.
Rev. -Q.-Ut.
Kentucky Turnpike Auth.

74.0
16.9

March
March
March
March
March
March
March
March
April
April
April
April
April

25
26
26
26
26
27
27
28
1
2
2
2
3

April 3
April 4

10.0
70*0
11.0
35.0
120.0

April 9
April 10
April 10
April 17
Indefinite

730,0
150.0
15.0
15.0

March 26
March 28
April 15
Indefinite

Other
F.N.M.A.
International Nickel Co.
Jamaica, Government of
New Zealand

Part. cert.
Debs.
S.F. loan bonds
Bonds

* 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.




.-.2*

Exhibit M
Foreign Government and Corporate Security Offerings
and Placements in the United States
Part I:

Sale Date

Amount
(millions
of
dollars)

Public Offerings

Issuer and Description of Issue
A,

Sold;

Jan. 1 through Mar. 22;, 1968.

1/11

60.0

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

1/23

35.0

Province of Nova Scotia — 7% S .F. del
ebentures
maturing 1993, reoffered to yield 7.10%.

2/1

15.0

New Brunswick Electric Power Commission
6-7/8% S.F. debentures maturing 1993,
reoffered to yield 7;00%.

2/13

25.0

Montreal, Canada -7-1/8% S.F. debentures
maturing 1988, reoffered to yield 7.06%.

2/20

20.0

Canadian Pacific Railway -- 6.90% equipment
trust certificates— maturing March 1, 1983;
reoffered to yield 6.90%.

B.
Indefinite
3/28
4/15

15.0
150.0
15.0

Prospective Offerings
New Zealand — Bonds ***
International Nickel Co.
Debs.
Government of Jamaica — S.F. loan bopds

* - 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 March 22, 1968*

Date Reported

Amount
(millions
of
dollars)

Issuer and Description of Issue

1/1/68

1.5

Nicaraguan Hotel Co. — U.S. guaranteed
67» note, maturing June 1, 1987.

1/8/68

12.0

Republic of Portugal —- notes due 1968.

1/15/68

7.0

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

2/5/68

1.5

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

2/26/68

6.0

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

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.

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 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.




-2i-