Full text of H.16 Capital Market Developments : May 13, 1968

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

LIBRARY
15-1368
Not for Pub]icat m
H. 14 FEDb^RESLR^
OF RICHMOND

1
1 CONTROLLED AFTER SIX MONTHS

May 13, I?68.

1
I CAPITAL MARKETS DEVELOIMENTS
ITTTHr tJNITJSD STATES

Corporate and municipal bond markets. The volume of new, publiclyoffered corporate and municipal securities expected this week will be somewhat below the average weekly volume over the past year. The largest corporate offering will be the Chesapeake and Potomac Telephone Company of
Virginia's $70.0 million of debentures, while the largest municipal offering
will be Detroit, Michigan's $32.0 million of general obligations. The week's
long-term offerings will be supplemented by a $20.0 million issue of the
Montreal Catholic School Commission.
Long-term Public Security Offerings
(In millions o£ dollars)
Corporate
New Capital | Refunding

1/

State & local Government
New Capital f Refunding

Sold:
52 week avg.
May

3
10

316

249

r/178
250

r/258
~ 294

262

233

Scheduled:
May
17

17

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 seaoned corporate bonds were unchanged to slightly
higher last week, while new issues were fairly well received. Nonethe!L
of the week's largest offerings scheduled for competitive bidding —: Commonwealth Edison's $50 million of Aaa-rated first mortgage bonds — was withdrawn
owing to market conditions. A similar offering by Consumers Power was awarded
at a record net interest cost for such an issue.
Yields on municipals declined last week as hopes for a tax increase
were deemed brighter once again. New issues met with a very good reception;
by the end of the week about 80 per cent had been sold.
Stock prices. Common stock prices fluctuated during the wee k i n
fairly heavy trading volume. At the close Friday, Standard & Poor's ndex of
500 stocks stood at 98.50, down 0.16 from the previous Friday. Tradin g volume
averaged 12.8 million shares a day.




H. 14

Yields on Security Markets
High-Grade
Notes and Bonds

Change from
preceding week

Yields on Security Markets

Corporate
6.64
6.25

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

5.32
5.88

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

4.16
4.43

-

4
7

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

19

6.03
+
+

5.52
5.72

2
6

Corporate Bonds Still in Syndicate
Rating

Estimated
portion so:"

Aaa

85%

Date
Offered

Amount
(millions of $)

5/7

55.0

Consumers Power,
6-7/8's 0 1998

6.70

5/1

25.0

Dial Finance,
7.30's - 1988

7.30

85%

4/30

15.0

Indiana & Mich. Elec.,
7-1/4's - 1998

7.10

80%

Issuer

Reoffering
Yield

Blue List of Municipal Dealers' Advertised Inventories
Latest Week

End of Previous Week

502(5/7/68)

532




Recent High
849(4/26/67)

H. 14

-3

More detailed information concerning recent capital market deve lopments is presented in the attached exhibits.

Capital Markets Section,
Division of Research and Statistics,
Board of Governors of the Federal Reserve System.




EXHIBIT

A, Port 1

LONG-TERM BOND YIELDS, HIGH-GRADE

C O R P O R A T E A*a

U.S. G O V E R N M E N T

_ r

zVXV^

STATE A N D LOCAL G O V E R N M E N T A M
Moody's

1963



1964

1965

1966

1967

1968

Exhibit A -- ran. Ij.

|
( Corporate
j Aaa- 1/

Date

.1.
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)

1 State and
U.S. Govt. |
local
long-term 2/| government
Aa a 3/
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)

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

1.13
.98
4.08
5.21
6.19
12
1.20
.92
4.08
5.28
6.20
19
1.15
.89
4.18
5.33
6.22
26
1.12
.93
4.20
5.32
6.25
May
3
1.09
.93
4.16
5.32
10
P/1 6.25
Preliminary,.
Weekly average of daily figures. Average term of bonds included is 22-24 years.
Weekly average of daily figures. The series includes bonds due or callable in 10
years or more.
00
Thursday figures. Only general obligation bonds are included; average term is 20

1968 - Apr.

jj/
1/
2/
3/

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.




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

CORPORATE Baa

STATE AND LOCAL G O V E R N M E N T Baa

_/

1963



1964

1965

1967

1968

Exhibit B —

Date

Part II

State and
local govt.
Baa 3/

Corporate
Baa 1/

Spread between
Aaa and Baa
State and
Corporate
local aovt.

(per cent)
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)

6.98
12
6.95
19
6.96
26
7.00
May
3
7.01
10p/
Note: For footnotes see Exhibit A„
1968 - Apr.

£/

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

4.83
4.83
4.84
4.84
4.83

.79
.75
.74
.75
.76

.75
.75
.66
.64
-67

Preliminary.




-7-

.

S H O U T - A N D I N T E R M E D I A T E - T E R M INTEREST RATES
GOVERNMENT

r.. ...<

6-MONTH BILLS
M a r k a l Yieldi

3-5 YEAR ISSUES

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

1963



1964

.

1965

1967

1968

Exhibit C -- Part II

Discount |
rate
3-month
1/
bills V
1959-60 - High
Year end - 1965
1966
1966 - High
Low
1967 - High
Low
1968 - Apr. 12
19
26
May
3
10p/

Yields
~~| 3-5 year
6-month
bills 2/ .| issues U
(per cent)

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)

5.07(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
5.50
5.50
5.50
5.50

5.35
5.39
5.50
5.50
5.52

5.44
5.51
5.63

5.66

5.72

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

5.00(12/24/59)
4.90
4.86
5.83(9/2)
4.80(4/8)
5.80(11/10)
4.36(4/7)
5.48
5.70
5.88
5.88
5.88

.79
.19
.12
.52 .
. 09
.62
.01
.09
.12
.13
.16
.20

2/ Market yield; weekly averages computed from daily closing bid prices. Series of 3year issues consists of selected notes and bonds.
Note--Hiahs 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.




-9-

1.81
.43
.06
.78
.01
1.61
.02
.13
.19
.38
.38
.36

EXHIBIT

D. Pari

1

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

PRIME RATE
FINANCE C O M P A N Y PAPER

. Directly

placed




1

F.R. DISCOUNT RATE
FEDERAL FUNDS

1965

1966

1968

Exhibit D —

Prime rate 1/

Part II

Finance
company
-paper 2/

Spread between
3-mo. bills and
Federal funds 3/ 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)

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)

1.02
.23
.28
1.08
.20
1.33
.21

.15
5.58
5.50
.24
5.70
5.63
6.50
.12
5.68
5.75
6.50
.50
6.22
6.00
6.50
6.03
AS6.00
6.50
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

1968 - Apr. 12
19
26
May
3

2/
"*
3/
-

6.00

AverageSof"daily rates published by finance companies for directly placed paper
for varying maturities in the 90-179 day range.
Weekly average of daily effective rata, which is the rate for the heaviest
volume of purchase and sale transactions as reported to the Federal Reserve

Note!-HighsNandYlows are for individual series and may be tin different dates for
different series. For spreads, high refers to widest, and low to narrowest.
|>/

Preliminary.




-11-

EXHIBIT

E. Port

STOCK MARKET

1

1941-43

10
101

PRICES

STOCK MARKET CREDIT
* CHANCE IN SERIES
Millions

of i k e r e i

VOLUME

YIELDS

1963



1 1 1 I' 1 1 1 'II 1i i1 i' i M ' i I i.1 li iI i I I i i i •! i i 1 i i i i i i i -i—i—i—i—i i i i i i M ii i
1964
1965
1966
1967
1968

Exhibit E —

Stock price
index \J

Date

1961-62 - High

Low
1966 - High
Low
1967 - High
Low
1968

1968

- Apr.
May

Stock market customer credit
Trading
Common
Bank
Customers1
volume 3/
stock
debit bal- loans to
Total
yields 2/ (millions
"others"5/
ances 4/
of shares)
(per cent)
(In millions of dollars)

72.04(12/8/61)

2.82

10.1

52.68(6/22/62)

3.96

2.4

93.77(2/11)

-Mar.
Apr.

Pa%t II

5,602(12/61)

4,259(12/61)

4,424(1/61)

3,253(1/61)

1,161(3/8/61)

5,835

2,241(7/6)

5,169

2,097(12/14)

7,883(12/67)

2,057(11/1)
2,055(1/25)

3.01

10.7

7,997
7,302

1,418(5/9/62)

73.20(10/7)

3.97

5.0

97.26(10/6)

3.01

12.3

82.18(1/6)

3.58

6.9

7,345(1/6)

5,290(1/67)

3.34

9.2

9,586

7,212

2,374

3.12

14.7

n. a.

r/2,346

n. a.
n. a.

r/2,337

89.09
95.67

1

26

197.21

3.U7

13.7

3

[98.66

3.04

14.6

10,347(12/67)

2,346

n.a.
iL-a.—
n. a.
12.8
10P/98.50
3.06
n.a. Not Available. £/ Preliminary, r/ Revised.
,n
1Q/.
1/ Standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43-10.
' Monthly data are averages of daily figures rather than of Friday's only. Highs and lows are
for Friday's data only.
.
2/ standard and Poor's composite stock yield based on Wednesday data converted to weekly closing
" prices by Federal Reserve. Yields shown are for dates on which price index reached its high
or low.
3/ Averages of daily trading volume on the New York Stock Exchange. Year-end figures are averages.

"" of daily figures for the year.
.
4/ E n d 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.




-13-

EXHIBIT F, Pari 1

FEDERAL N A T I O N A L M O R T G A G E A S S O C I A T I O N ^
S E C O N D A R Y MARKET O P E R A T I O N S
400

OFFERINGS

J

300

i

200

4

100

\ V l

j PURCHASES V

l \

SALES
1962




1964

1966

1968

Exhibit F - Part TI
Dat v

Estimated offerings :
to FNMA
Standby
Immediate
To tal
purchase
commitment

Purchases
by
FNMA

Sales
by
FNMA

(In millions of dollars)
—— '
1967 - Feb.
84.2
.2
24.2
24.4
50.9
.9
.2
26.7
26.9
Mar.
20.6
,8
.1
17.7
17.8
Apr.
1.5
17.8
.2
78.5
May
78.7
26.9
6.0
228.8
.3
June
229.1
81.2
.2
232.6
.9
232.8
July
198.3
•8
260.6
.4
261.0
Aug.
.2
192.4
168.2
167.9
Sept.
>3
•
215.1
.3
.5
260.6
260.1
Oct.
.6
186.9
.1
324.1
324.7
Nov.
—
200.1
206.6
2.8
209.4
Dec.
-274.9
. .5
212.6
212.0
1968 - Jan.
-Feb.
164.4
164.0
.4
245.2
——
212.9
Mar.
188.9
212.2
.7
*—Less than $50,000.
1/ Data represent unpaid principal balances of the mortgages involved, exclusive
of premiums, discounts, or other charges. Offerings are amounts of applications
received during the period from sellers proposing that FNMA execute purchasing
contracts. An immediate purchase contract covers existing mortgages whicti the
seller must deliver to FNMA within 45 days. A standby commitment contract relates to proposed mortgages on housing not yet under construction which tjhe
seller must usually deliver within one year. Purchases include those under
both immediate purchases and standby commitment contracts. Data exclude FNMA"
activity under Special Assistance and Management and Liquidating Programs.




-15-

EXHIBIT

G, Port 1

YIELDS O N N E W A N D SEASONED CORPORATE B O N D S
Weekly

.

Adjusted to

1.5

Aaa

Basis

NEW ISSUES

IJ

5.5

5.1

SEASONED All
Moody's

4.5

4.1

1964



1965

1967

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

Number
of
Monthly averages:
1968

Jan.
Feb.
Mar.
Apr.

Weekly averages:
High
Low

13
13
10
7

Number
of
issues

Am't. of issues Average
yield
included (mill.
(per cent)
of dollars)
567.0
564.5
350.0
415.0

6.24
6.29
6.56
6.49

Apr. 5
12
19
26

1
1
3
2

50.0
25.0
215.0
125.0

6.58
6.41
6.42
6.65

May

3
2

75.0
71.0

6.63
6.64

6.65(4/26/68)
6.18(1/12/68)

of the offerings included are denoted by an asterisk.
£/ Preliminary.
_ 17 _




Am't. of issues Average
yield
included (mill.
of dollars)
I(per cent)

3
10£/

•

:\

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

lW8p/
January
February
March
April
May .
June

1966

State and local T T
1968p/
1966
1967

1,648
1,399
2,317

1,302
1,237
2,446

£/1,134
£/l,173
£/1,356

1,482
1,194
1,439

1,188
858
865

el 1,675

1,973
1,474
2,611

1,553
1,058
2,364

e/1,100

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
24,098

9,959
14,050
17,601

7,945
11,070
14,529

6,146
8,640
11,304

el 2,010

-October
November
December
Quarter
Quarter
Quarter
Quarter

New Capital

1,689
1,566

July
August
September

1st
2nd
3rd
4th

Corporate
1&7

e/ 5,265

let half
Three quarters
Year

2/3,663

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

Quarter
Quarter
Quarter
Quarter

Year
el.
£/
1/
2J
1/

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.
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.




-18-

Exhibit I
New Corporate Security Issues, Type of Issue
and Issuer
(In millions of dollars)
Net proceeds
for new capital 1/

Gros's proceeds for new capital
Quarter
or
Month

Total

1966 - IV

3,669

2,047

1,,247

375

117

1,232

984

417

918

Common Memo:
Bonus
Mfg.
Foreign
Publicly Privately and
pfd. issues
Offered Placed
stock included

Other
Public CommuniUtility cations Issuers

1967

I
II
III
IV

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

3,263
4,017
4,604
3,107

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

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

1968

Ie/

5,421

2,459

2,,013

949

77

1,878 1,446

353

1 1,588

1,254
1,128
. 588
1,298
925
1,229
637
906
512
1,109

503
394
403
471
446
509
265
573
404
278

145
107
91
350
39
356
200
119
82
68

415
343
393
492
1,044
313
619
690
469
881

530
548
800
635

418
543
485
225

182
146
25
175

559
329
700
640

1967 - Mar.
Apr.
May
June
July
Aug,
Sept.
Oct.
Nov.
Dec.
1968

2,362
2,016
1,519
2,673
2,589
2,481
1,763
2,409
1,500
2,385

1,757
Jan.
Feb'.
1,604
Mar. e '2,060
Apr. e '1,710

SOURCE:

1,618
1,368
965
1,684
1,889
1,813 902
1,375
645
1,087
903
796
760
710.

601
410
396
659
486
418
647
5£6
551
1 ,020

143
238
158
330
214
250
214
469
304
278

15
16
32
17
213
13
8
34
19
40

528
585
900
700

326
223
400
300

16
61
n.a.
n.a.

Securities and Exchange Commission.




-19-

Exhibit J
Other Security Offerings
(In millions of dollars)
term 1/
Foreign Government 2/
TnV o-T7
' 1

Federal Agency

1968 ft/.
1,251

January
February
March
April
May
June
July
August- •
, September
October
November
December

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

8,180

January
February
March
April
May
- June
July
August
September
October
November
December
Jan. - Mar. %/
Year

Reserve.

New short-term 4/
Federal Agency
state anH local Government 5/
-179
103
179
-552
39
387
-454
-319
-594
-559
580
827
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
333
-177
-28
-215
660
422
1,721




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

Total

- Apr.
"May
June
July .
Aug.
Sept.
Oct.
Nov.
Dec.
- Jan.
Feb.
Mar.
Apr.

£21221115.
Bonds
Convertible
(other than
bonda
convertibles)
956
771
1,072
890
1,288
473
897
461
460
652
575
415
500

1,,311
870
1,,666
1., 340
L , 705
794
1.,458
826
978
904
757
788
696

213
55
409
317
350
257
285
150
437
168
105
135
723

Stocks

State
and
local
governments
512
496
,875
483
473
847
505
865
633
785
591
736
794

142
44
185
133
67
65
276
215
81
85
77
238
73

Other

1
|
!
|
1
!

2/

540
391
825
85
221
400
50
845
627
1,095
389
1,030
370

Large Individual Issues Offered May 1 through May 10.

Issuer

Type 2/

Coupon
rate or
net interest cost

Offering!
yield

1988
1993
1993
1993
1998
1998
1998
1988

7.30
6-5/8
7-1/4
4-/78
6-/78
7-/8
6-/4
5-1/2

7.30
6.66
7.25
4.88
6.70
7.25
6.75
5.50

10.0
100.0

1969- 98
1970--94

4.90
4. 54

3.80-j>
3.75-5

A-'l
Aa

10.0
21.0

1969--95
1969--98

4.58
4.80

3.65-4
3.75-4 ,90

Aa

15.0
22.2

1971--98
1969- 1988

5.54
4.50

4.10-5
3.50-4 15

Baa
Aa

Amount
(millions
of
dollars)

Maturity

Corporate
Dial Finance Company
Universal Oil Products Co.
Columbia Gas System
Chase Manhattan Bank
Consumers Power Co.
Nevada Power Co.
El Paso Electric Co.
Fidelity Corporation

25.0
Debs.
25.0
S.F. debs.
50.0
Debs.
150.0
Conv. cap.notes
55.0
1st mtg. bds.
15.0
1st mtg. bds.
16.0
1st mtg. bds.
16.0
Conv. debs.

State & local Government
Rev.-Rent.
Kansas City, Missouri
G.O.
California, State of
Los Angeles Flood Control
G.O.
District
East Baton Rouge Parish, La. G.O.
Jefferson, La., ParishG. 0.
wide Sch. Dist.#l
G.O.
Delaware, State of




-21-

Rating

A
A
Aaa
Baa
Aa

K-2
FOOTNOTE:
* Rights offering.
JL/ 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
y
and Development issues and non-guaranteed issues by Federal Agencies.
3/. 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
quasi-utilities; Rev.-S.T., revenue bonds secured by revenue from specific
taxes only; Rev.-Rent., revenue bonds secured solely by lease payments.




-22-

Exhibit L
Forthcoming Large Long-term Public Security Offering for Mew Capital
(Other than U.S. Treasury) 1/
Expected Proceeds from Forthcoming Large Ieeuee
(In mllllona of dollars)
During month following
date shown
State and
Corporate
Other 2/
local govt.

1967 - Apr. 30
May
31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31
Nov. 30
Dec. 31
1968 - Jan. 31
Feb. 29
"Mar. 31
Apr^_ .J&

963
1,449
1,636
1,261
694
534
1,357
826
968
531
873
758
1,103

326
596
401
512
783
768
505
865
633
449
683
494
695

70
100
40
100
65
50
845
402
60
130
15
45

Corporate

1,262
2,065
1,922
1,576
1,335
1,090
2,694
2,129
1,892
736
1,105
935
1,612

Subsequent to
date shown
State and
local govt.

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

'ill

1,069

Other 2/

85
115
70
150
159
_126
260
875
502
75
265
125

60

Forthcoming Large Offerings as of May 10, 1968.

Issuer
Corporate
Northern States Power Company
Northern States Power Company
.Chesapeake & Potomac Tel. Co. of Va.
S.C.M.
S.C.M.
Wisconsin Electric Power Company
American Hoist & Derrick
Indianapolis Power & Light Company
Midwestern Gas Transmission Company
Appalachian Power Company
Burroughs Corporation
Virginia Electric & Power Company
Michigan Wisconsin Pipeline Co.
Iowa-Illinois Gas & Electric Co.
Northern Natural Gas
Monongahela Power Company
Union Oil of California
*Girard .Trust Bank
Alloys Unlimited




Type

Pfd. stk.
1st mtg. bds.
Debs.
S.F. debs.
Conv. debs.
1st mtg. bds.
Conv. debs.
1st mtg. bds.
Debs.
1st mtg. bds.
Conv. debs.
Com. stk.

Amount
(millions
of
dollars)

Approximate date of
offei ing

20.0
45.0
70.0
20.0
41.5
35.0
15.0
25.0
20.0
55.0
50.0
50.0

May
May
May
May
May
May
May
May
May
May
May
May

13
13 j
14 1
14
14(rts.exp.)
15 |
15
20
20
21
21
22

1st mtg. p.l. bds.
50.0
Debs.
20.0
Debs.
50.0
1st mtg. bds,
20.0
Debs.
150.0
Conv. cap. notes
25.0
Conv. sub. debs. "23- 15.Q

May
May

23
23

May 28
May 28
May
May
June 3

L-2

Forthcoming Large Offerings as of May 10, 1968.
Amount
(millions
of
dollars)

Type

Corporate (Cont'd)
"Louisville Gas & Electric
Ogden Corporation
Southwestern Bell Telephone
Wisconsin Michigan Power & Light Co.
Florida Power Corporation
-Arkansas Power & Light
"Columbus & Southern Ohio Electric
LTV Ling-Altec Inc..
^-Allegheny Beverage Corporation
Dow Chemical Company
Piedmont Aviation
"Gordon Jewelry "^Transcontinental Gas Pipeline

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

20. 0
50. 0
150. 0
50. 0
30. 0
15. 0
25. 0
15.,0
20..0
100..0
15..0
15..0
50 .0

State & local Government
Dc'llas Co. Jr. Coll. Dist. , Texas
Detroit, Michigan
Los Angeles Co. S. E. Gen'1. Hosp.
' Authority
Cincinnati, Ohio
. Austin, Texas
Buffalo, New York.
Medford, Massachusetts
Florida State Board of Education
""Hempstead, New York.
"Jefferson Co., Alabama
"Puerto Rico
Philadelphia, Pennsylvania
Housing Assistance Administration
-'New York State
Los Angeles Dept. of Water & Power
-Livonia, Michigan Pub. Sch. Dist.
Houston, Texas
Seattle, Washington
Pennsylvania Gen'1. State Auth.
"Dallas I.S.D., Texas
Kentucky Turnpike Authority
Los Angeles Dept. of Airports




offering
June
4
June
4
June
5
June
5
June
6
June 12
June 13
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

G.O.
G.O.

26.5

May
May

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

22.4
13.9
16.0
13.3
15.8
25.0

May 14
May 15
May 16
May 16
May 16
May 21
May 21
May 21
May 21
May 22
May 22
May 28
May 29
June 3
June 5
June 5
June 6
June 12
Indefinite
Indefinite

32.0

10.0
10.0

44.0
29.4
145.6
75.0

21.0
14.0

20.0
20.0
75.0

10.0
120.0
35.0

, Other
. Montreal Catholic Sch. Comm.
Newfoundland & Labrador Power Comm.
Canadian Utilities Ltd*

Approximate date of

S.F. debs.
S.F. debs.
S.F. debs w/wts.
-24-

20.0
25.0
15.0

14
14

May 15
May 21
Indefinite

L-3

FOOTNOTES;
l~IXnclultsicorpoitte°and other issues of $15 million and over; State and lo

;

S

S

s

S




a

s

f

j

-25-

a

s

r

-

-

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. arid Description of Issue

A.

Sold: Mar. 1 through May 10,1968.

March

28

150.0

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%.

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

B.
Indefinite
Indefinite
y "i-5
May 21

Ma

15.0
15.0
20.0
25.0

Prospective Offerings
New Zealand— Bonds ***
Canadian Utilities, Ltd., -r S.F. debs.-with warrants, i
Montreal Catholic School Commission -- S.F. debentures.
Newfoundland and Labrador Power Commission -- S.F. debs.

~

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




-26-

""

"

'
C;

M-2
II:

Private Placements - Reported January 1 through May 101,1968.

Date Reported

Amount
(millions
of
dollars)

1/1/68

1.5

1/8/68

12.0

Issuer and Description of Issue

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

notes due 1968.
Secured

1/15/68

7.0

Home Oil Co. Ltd. (Canada)
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.

4/29/68

27.8

Arctic LNG Transportation Co. (Lib*crian Corp.)
6-5/8% notes maturing 1991. $21.3 taken down.
irity
•nship
the latter
;^ken down
included
down.
f
placement

is reported.




-27-