Full text of H.16 Capital Market Developments : May 7, 1962

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

Not f o r Publication DECONTROLLED" AFTER SIX MONTHS
H.HjJ

LIBRARY

May 7, 1962.

MAY 9
FEDERAL

1962 ^ PITAL MAJtKET DEVELOPMENTS
F.KJEBVE BANK
IN THE UfJl'IiiD STATES

OF RICHMOND

Clnnliiriinc Hnntihfy Review of Capital Markets Developments)
Public security financing to obtain new capital was i n
r e l a t i v e l y l i g h t volume l a s t week and i s expected to be only moderately
larger t h i s week. During the week ending May Ij., two large corporate
security issues (including an expiring rights offer) t o t a l i n g $58
million were sold and two State and l o c a l governments offered bonds
with par value of $U5 million. An additional $20 million bond issue
was sold by the Kingdom of Denmark. This week, ending May 11, only one
corporate issue f o r #20 m i l l i o n i s scheduled; four State and l o c a l bond
issues amounting to $66 million are on the calendar; and the Government
of New Zealand and the European Coal and S t e e l Community are each
expected to o f f e r $25 million bond i s s u e s .
Bond y i e l d s . Most y i e l d s on seasoned, long-term bonds declined
l a s t week. Yields on Aaa-rated corporate and State and l o c a l government
bonds each declined an additional basis point t o lw30 and 2.92 per cent,
respectively. Yields on Baa-rated corporate issues increased one b a s i s
point to 5.02 per cent, while y i e l d s on Baa-rated State and l o c a l government i s s u e s were unchanged at 3.52 per. cent. Yields on long-term U. S.
Government bonds declined 3 b a s i s points to 3.87 per cent, t h e i r lowest
l e v e l since l a s t May.
Average y i e l d s on new corporate bonds, adjusted to an Aaa b a s i s ,
were It.lU per cent l a s t week, 2 basis points above t h i s year's low
reached during the week ending April 13.
Short- and intermediate-term i n t e r e s t r a t e s . Changes i n y i e l d s
on Treasury b i l l s and 3-5 year U. S. Government obligations were mixed
but minor l a s t week. Yields on 3-month Treasury b i l l s increased one
b a s i s point while y i e l d s on 6-month b i l l s were unchanged; y i e l d s on
intermediate-tern Governments declined a s i n g l e basis point. The average
i n t e r e s t rate paid on directly-placed finance company paper with 90-179
day maturity declined 6 basis points to an even 3.00 per cent as a l l
finance companies adjusted their rates to the change announced two weeks
e a r l i e r by several companies. The Federal funds rate declined 20 basis
points from the revised l e v e l of the previous week to 2.65 per cent.
Other short- and intermediate-term i n t e r e s t rates were unchanged.
FNMA secondary market operations. Purchases of mortgages i n
the secondary market by the Federal National Mortgage Association
dropped moderately further i n March and a t $81.5 million, exceeded new
offerings to FNMA f o r the second successive month. Reflecting the
strength i n private demand f o r mortgages, s a l e s by FNMA, which had
turned up i n February, surged sharply further, to *75.9 m i l l i o n , the
l a r g e s t volume since l a s t May and nearly as large as purchases. In
response to these developments FNMA increased i t s s e l l i n g prices one-half
point, e f f e c t i v e April 12.




Stock prices. Common stock prices, as measured by Standard
and Poor's composite index of 500 stocks, fluctuated widely l a s t week
but changed l i t t l e on balance. Prices declined 2 per cent l a s t Monday
to a new low f o r the year, but recovered nearly a l l of t h i s l o s s l a t e r
i n the week closing at 6602it on May I4.. Trading was f a i r l y a c t i v e ,
averaging 3.9 million shares a day, 0.1* million shares more than the
previous week.
May security volume. Security financing to obtain new c a p i t a l
by corporations i s expected to be r e l a t i v e l y l i g h t in May, while bond
sales by State and l o c a l governments w i l l be in moderate volume.
Corporate security s a l e s are expected to t o t a l $0.7 b i l l i o n ,
about t w o - f i f t h s l e s s than the large volume of both l a s t month and
May 1961. Public offerings of $15 million or more are expected to t o t a l
$185 million.
State and l o c a l governments are expected t o s e l l $750 million
i n bonds i n May, about one-eighth l e s s than the revised April t o t a l but
one-taith above the average f o r May of the two previous years. Large
public offerings currently scheduled f o r the month amount to $333 million.
Capital markets i n April. Sales of s e c u r i t i e s by corporations
to obtain new capital were in veiy large volume in April, while State
and local government bond s a l e s were f a i r l y substantial.
Long-term financing by corporations amounted to $1«,2 b i l l i o n
in April, one-half larger than i n March, but $ l o 0 b i l l i o n l e s s than the
record April I96I volume which, however, included a $965 million AT&T
common stock offering. About $0„2 b i l l i o n of l a s t month's t o t a l were
large stock issues, mostly expiring subscription o f f e r i n g s . This was
the largest stock volume since April I96I. Large nonconvertible bond
i s s u e s offered during the month t o t a l e d $ii30 m i l l i o n , more than in any
month since l a s t June.
Most bond issues sold l a s t month were offered by syndicates
that had acquired the i s s u e s through negotiated sale and, as i s usually
the case in t h i s type of o f f e r i n g , were quickly distributed at r e t a i l
by the underwriters. Several of the i s s u e s acquired by underwriters
through competitive bidding were l e s s favorably received, however, and
large portions of two of these were s t i l l undistributed a t the month-end.
As a r e s u l t , the volume of s e c u r i t i e s s t i l l in underwriting syndicate
increased from a n e g l i g i b l e amount at the beginning of the month to about
$60 million a t the month-end.
Despite the large volume of new financing, average y i e l d s on
new corporate bond offerings sold l a s t month, adjusted to an Aaa-basis,
were 6 basis points l e s s than i n March and, at b.17 per cent, the lowest
since July 1958. Yields on seasoned bonds also declined, with those
on Aaa-rated i s s u e s decreasing 7 basis points to It.31 per cent at the
month-end.
Bond s a l e s fcy State and l o c a l governments amounted to $850
million during April, over one-third more than i n March and one-sixth


above the average f o r April of the two previous years. Dealer bidding


f o r new i s s u e s continued to be f a i r l y aggressive. While r e t a i l s a l e s
of new i s s u e s were generally somewhat better than a month e a r l i e r , they
continued s e l e c t i v e / dealers' advertised inventories of unsold s e c u r i t i e s
increased about $^0 million during the month t o almost
mill ion,
only s l i g h t l y l e s s than the record $$62 million of l a t e February „
Yields on a l l maturities of municipal bonds declined further
during the month, with y i e l d s on 20-year, Aaa-rated bonds declining 8
basis points to 2„93 per cent, the lowest since August 1958.
Common stock prices dropped substantially further in April
in f a i r l y moderate trading. Prices, as measured by Standard and Poor's
composite index of 500 stocks, declined 6 per cent, closing the month
a t ££02h'f this was one-tenth below the December 12 higjh. The price
decline was particularly sharp l a t e in the month, following a brief
r a l l y . Trading averaged 3 . 3 m i l l i o n shares a day, 0 . 2 million more than
in March, but much l e s s than l a s t spring.
;
More d e t a i l e d information concerning recent capital market
developments i s presented in t h e attached exhibits a

Capital Markets Section,
Division of Research and S t a t i s t i c s ,
Board of Governors of the Federal Reserve System.




ixmut A.
jiOWO-THH BOND VUIPS, HIOH-OlAOl

i

W..kl,

COirOIATI AM

Cm**#* I* Mile*.

teMbii A - lilt XX
t r p "

ma*
Low

Apr,
Apr,
Apr.
Apr.

6
%
20
27.

j/

H R H n T
ItOftl
• s t *

MttLMl

(P#r oant)

jlpjSw'

1961 - High
1962 - Hlfh

p. S. Oert,

3.76

1.67 K

.

mm l$E

I.

3.90

3.1?
Key b V
Note* For roetnotts >•• sx&iDitX"*




2. e 99(9/vS)

f/el

2.92 (5/3!
3.01
3.01
2.97
2.93
2,92/

i •B
•:$
i 1
5

i A

„
LONG-TERM

e x h i b i t b, 1

BOND

YIELDS, LOWER-GRADE

C08P08ATE 1

STATE AND 1 0 C A I G O V E R N M E N T I g

US7

1958

1959

1960

Exhibit B - Part I I

Date

Coiporate
Baa 1 /

S t a t e and
local govt.
Baa 3 /

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

(per cent)
1957 - High
1 9 5 8 - Low
1 9 5 9 - 6 0 - High
1 9 6 0 - 6 1 Low
1 9 6 1 - High
1962 - H i g h
Low
Apr. 6
Apr. 13
Apr. 20
Apr. 27
May k 2 /

5,10
U.5L
5.36
U.98
5.13
5.11
5.01

(11/29)
(7/11)
(2/12/60)
(9/9/60)
(10/27)
(1/5)
(J4/27) .

5.03
5.02
5.oi
5.oi
5.02/

U . 5 1 (8/29)
3 . 6 1 (5/1)
l | . h 6 (3/7/60)
3 . 9 3 (11/9/61)
14.16 (3/23)
U.oii ( 1 / 1 1 )
3.52(5/3)
3.57
3.57
3.5$
3.52
3.52

1.27
.77
.81*
.66
.81
.72
.63

1.21
.93
1.08
.57
.93
.82
.56

.66
.68
.68
.70
.72

.56
.56
.58
.59
.60

Preliminary,
]E/ Weekly average of d a i l y f i g u r e s . Average term of bonds included in 23-26 y e a r s .
2 / Weekly average of d a i l y f i g u r e s . The s e r i e s includes bonds due o r c a l l a b l e in 10 years or more.
3 / Thursday
f i g u r e s . Only g e n e r a l o b l i g a t i o n bonds are included; average term i s 20 y e a r s .

Note.-—Highs and lows are f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t dates f o r d i f f e r e n t
s e r i e s . Tor spreads, high refers t o widest, and low to narrowest.
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

SHORT-

AND

INTERMEDIATE-

TERM INTEREST

RATES, G O V E R N M E N T

1 • MONTH 1111$

1 • $ YIAI ISSUES

DISCOUNT RATE
3 - MONTH l l l l S
M a r k . I Yield

I I I I I I I I III II
I I I I I I I i .1.1.1 I 1 JJ..L .LLJ.IJ.Ll J I 11LLLLIJ Li.l..LI L I.I I III I I o
1151

11*0

11*1

lltl

Exhibit C - Part I I
Bate

1957 - High
1958 - low
1959-60 - H
1960-61 Low
1961 - High
1962 - High
Low
Apr. 6
Apr. 13
Apr. 20
Apr. 27
•"May It g /

Discount
rate
V

3-month
b i l l s 2/

Yields
6-month
b i l l s 2/
(per cent)

3.00
3.00
3.00
3.00

3.6k
.58
4.59
2.11
2.66
2.81
2.67

(10/18)
(5/29)
3.02
(1/8/60) 5.07
(10/28/60) 2.35
(12/29)
2.90
(2/16)
3.02
(1/26)
2.82

3;00
3.00
3.00
3.00
.3.00

2.72
2.74
2.72
2.73
2.1k/

2.82
2.81*
2.82
2.83
2.83

3.50
1.75

Loo

(12/26)
(1/8/60)
(4/28/61)
(12/29)
(1/12)

(V20)

3-5 year
issues 2/

Spread between y i e l d s on 3 month b i l l s and y i e l d s on
6-mo. b i l l s ! 3 - 5 yr. i s s u e s

1*. 04 (10/18)
2.11* (6/6)
5.00 (13/24/59)
3.15(5/12/61)
3.86(8/11)
3.88 ( 2 / 2 )
3.43 (4/6)
3.43
3.47
3.48
3.52
3.51

.26
.79
.12

.86

.04

1.81

.38

.24
.09

.44

1.51
1.19
.71

.10
.10
.10
/ .10
.09

.71
.73
.76
•79
.77

y W e e k l y rate ahown is that In effect at <
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 widaat*.and low to narrowest.




EXHIBIT 0, Pari I
SHORT- AND
i BANKS AND

I N T E R M E D I A T E - TERM INTEREST RATES,
OTHER

PRIVATE BORROWERS

\K\

Exhibit D - Part I I
Date

S t o c k Exchange
c a l l loan 1 /

Prime
rate 1 /

F i n a n c e company
paper 2 /

Federal
funds 3 /

Spread between
3-mo. b i l l s and
f i n a n c e Co, paper

(per cent)
1957 - High
1958 - Low
9 5 9 - 6 0 - High
1 9 6 0 - 6 1 Low
1 9 6 1 - High
1 9 6 2 - High
Low
Apr. 6
Apr. • 1 3
Apr. 20
Apr. 27
May h 2 /

4.5o
3.5o
5.5b
It. 5o

ti°

k.50
4.5o
4.50
U. 5 0
4.50
4.50

2/

4.50
3.50

-:S

3.88
1.13
5.13
2.50

(1V15)
(8/8)
(1/22/60)
(e/5/61)

3 . 5 0 (31/8)
.13(5/29)
4 . 0 0 (5/13/60)
. 4 3 (1/27/61)

4.50

3.00

(5/4)

1.30 (1/26)

.19

4.50
4.5o
4.5o
4.5o
4.5o

3.13
3.13
3.08
3.06
3.00

2.65
2.90
2.85

.41
.39
.36
.33
.26

5.00

4.50

fe:lo

1.02
.11

Weekly r a t e shown i s t h a t i n e f f e c t ett end of period* Stock Exchange c a l l loan r a t e la going r a t e
on c a l l loans secured by customers' stock exchange c o l l a t e r a l a t Hew York City banks. Prime r a t e
. i s t h a t charged by large banks on short-term loans to business borrowers of the highest c r e d i t
standing.
2/ Average of d a i l y r a t e s published by finance companies f o r d i r e c t l y placed paper f o r vaiying m a t u r i t i e s
i n the 90-179 day range.
3 / Weekly average of d a i l y e f f e c t i v e r a t e , which i s the r a t e f o r the heaviest volume of purchase and
s a l e t r a n s a c t i o n s as reported t o the Federal Reserve Bank of New York,
Note.—Highs and lows are f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t dates f o r d i f f e r e n t s e r i e s .
For spreads, high r e f e r s t o w i d e s t , and low to narrowest.




STOCK

MARKET

MUI$

/

!

n 1 of D o l l a r s

CI M M * EI

cue

/ —

*

CHA NOE IN SERIES

J9

" X r 11

M i l l i o n s ol S h a n

u 11.1. j 1

-LW 1 1 1 11 i 1 1
Exhibit £ - Part I I

Date

Stock p r i c e
index 1 /

Common
Trading
stock
volume y
yields 2/ (millions
(per cent) of shares)

1960-61 - High
Low
1962 - High
Low

72.01* (19/8/61)
53.32 (10/21/60)
70.9k (3/16)
66,2k ( 5 / k )

2.82
3.62
2.93
3.15

March
April
Apr. 20
Apr 27
May k 2 /

70.29
68.05
68.59
66.30
66.2k

2.95
3.05
3.0k
3.1k
3.15

5.8

2.2
3.9
3.0
33
3.1
3.5
3.9

Stock market customer c r e d i t
Customers1
Bank
debit b a l - loans t o
ances k / "others" 5 /
(In m i l l i o n s of d o l l a r s )

Total

5,602 (i%/6i&,259 (12/6I) 1,377 (e/30/6ij
it,li*2 (5/60) 3,00k (7/60) 1,121 (5/25/60)
5,i|61t (1) It,111 (1)
1,113 ( V l 6 )
5,1*26 (2) It,066 (2)
1,348 (l/2lt) .
5,ltS7

k,083

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

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

1,37k
l,kl2
1,1*13
1,142

n.a.-—Not a v a i l a b l e . | 7 P r e l i m i n a r y .
V Standard and Poor's composite index of 500 cannon 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,
2j Standard and Poor's composite stook 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 lor e
/•V Averages of daily trading volume on the New York Stock Exchange.
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
D. S. Govermmnt securities. Prior to July 1, 1959, such loans are excluded only at banks in
New York and Chicago. Weekly reporting banks account for about 70 per cent of loans to others.
detail see Bulletin.
DigitizedForforfurther
FRASER



V

E X H I B I T F, P a r i I

FEDERAL N A T I O N A L
SECONDARY
Monthly

MORTGAGE

MARKET

ASSOCIATION V

OPERATIONS
M i l l i o n s ol d o l l

\
OFFERINGS

1
jL
\

/f
hi
r
V
/J 1w
1 I

•Jj

w

/ /

PUBCH

(r

•

„

195$

1956

1957

1958

1959

|

1960

v V * .

1961

1962

Exhibit F - P a r t II

Date

1 9 6 1 - Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec. '
1962 - J a n .
Feb.
Mar. .

Purchases
E s t i m a t e d o f f e r i n g s t o FNMA
by
Standby
Immediate
FNMA.
p u r c h a s e commitment
( I n m i l ] Lions of do]Liars)
33.7
26. a
35.0
1*7.9
75.7
111.2
122.9
15k. 2
lbl.k
120.0
118.3
82.5
68.6

29.8
2l*. 0
32.2
1*6.9
73.9
108.0 '
119.3
150,9
138.5
' 117.7
116.6
80.8
66.3

3.9 <
2.h
2.8
1.0
1.7
3.2
3.6
3.3
2.9
2.3
1.7
1.7
2.3

31.6
21.6
21.3
2 5 . 1*
2h.h
52.7
60.u
92.it
112.3
106.7
101*. 7
88.8
81.5

Sales
by
FNMA

115.1*
165.6
101.1*
17.2
5.6
2.1*
• 10.5
1.8
2.7
2.1*
1.1* •
7.3
7.6

•—•Leas than $50,000,
,
i
V Data represent unpaid p r i n c i p a l balances of the mortgages involved, exclusive of
premiums, d i s c o u n t s , o r o t h e r charges. Offerings a r e amounts of a p p l i c a t i o n s received
during the period from s e l l e r s proposing t h a t FNMA execute purchasing c o n t r a c t s . An
imnediate purchase contract covers e x i s t i n g mortgages which the s e l l e r must d e l i v e r to
m a i d t h i n 45 days, A standby ooranitment contract r e l a t e s t o proposed mortgages on
housing not y e t under construction which the s e l l e r must usually d e l i v e r within one
y e a r . Purchases inclvde those under both inroediate purchases and standby commitment
c o n t r a o t s . Data exclude FNMA a c t i v i t y under Special Assistance and Management and
Liquidating Programs,




Lxhibit G

h. lb

Yields on New Corporate bond Issues Adjusted t o an Aaa b a s i s
Number
of i s s u e s
included

- -

1

18.0

4.46

1
2

60.8
15.0

4.36
4.25

41

:

2
3
3

60.0
95.0
15.0

4.21
4.28
.4.21

4 /

,
:
.

4
1
1
2

94.0
60.0
30.0
75.0

4.29
4.35
4.40
4.29

I

6.0
200.0
65.0
55.0
20.0
10.0

1
1
2
2
1
1
—

15
22
29.

October 6
13
20
27
November 3
10
17
24
December 1
8

273.0
115.0
78.8
200.0
229.0
115.0
130.0
39L5
21*0.0
299.0

4
4
2
7
9
3
4
5
6
7

•Weekly averages:
19 61 - July 7
Ik
21
28
August it
11
18
25
September 1

I

Number
of i s s u e s
included

December 15
22
4.62
29
4.59
4.38
4.26 1961 - high
Low
4.32
4.39
4.45 1962
4.50 January 5
12
4.23
19
4.17
26
l*'ebinary 2
9
16
23
4.60 March 2
4.64
9
16
4.4b
23
4.54
30
4.73*
4.60 A p r i l 6
13
20
—

Monthly averages:
1961 - July
August
September
October
November
December.
1962 - January
February
March
April
May
June

t

Amount
Average
of i s s u e s
yield
included
(per
(millions
cent)
of d o l l a r s )

.

hay 4
11
18
25

1

Amount
Average
of issues
yield
included
(per
(millions
cent)
of dollars)
• 40.0

4,55*

4.68 (6/16)
4.21 (11/3)

1

60.0

4.50

3

70.0

4.40

2
1
1
1
1
1
2
2
2
2
2

19.5
300.0
50.0
25.0
30.0
65.0
60.0
85.0
98.0
26.0
100.0

4.4o
h. 52*
l\.W
4.37
4.29
4.23
4.21
4.22
4.21
ii.12
4.17 :

2

115.0

,4.14

8
15
22
29

and A by Moody's Investors Service (except s e r i a l , equipment t r u s t and convertible issues,
o f f e r i n g s of natural gas pipeline and foreign companies, and i s s u e s guaranteed by the
Federal Government) weighted by s i z e of i s s u e s . Yields on Aa- ana A-rated bonds are
f i r s t adjusted to an Aaa b a s i s , using the comparable spreads in y i e l d s on seasoned bonds
(Moody's averages). Averages r e f l e c t changes in industrial composition, type, maturity,
and c a l l provisions of new o f f e r i n g s . Weekly averages considered unusually unreliable
as indicators of i n t e r e s t r a t e s on new i s s u e s because of the small number or special
c h a r a c t e r i s t i c s of o f f e r i n g s included e t c . are marked with an a s t e r i s k . Source: weekly
data L<crieral Fenerve: n i n t h l y data. F i r s t National City Bank of New York.




Exhibit H
Long-term Corporate and S t a t e and Local Governs;
S e c u r i t y O f f e r i n g s and Placements
(In m i l l i o n s of d o l l a r s )

1962

Corporate 1/
1961

New c a p i t a l
I960

S t a t e and l o c a l 2/
1962
1961
19 to

580
667
562

570
715
860

e/850
e/1000
e/625

713
689
764

700
611
568

April
Hay

2,118
1,259
1,318

761
577
1,044

e/850
^750

723
641
1,084

719
545
991

July
August
September

1,028
762
61,7

736
967
726

485
604
728

492
606
683

October
November
December

1,090
948
1,000

890
956
852

E/648
£/726
c/550

348
503.
491

1,809

2,115
2,382

2,166
2,M

JanuaryFebruary
March

lot
2nd
3rd
4th

quarter
quarter
quarter
quarter

e/'tiOO

e/2,323

а , # 5

2. U37
3,038

1 s t half
Three quarters
Year

б,504
8,9b!
11,979

•

e/2,475

2,698

$ : K

1,880
2,256
1,780
1,340

4,527
6,955
9,653

2/6^430
e/8,354

4,136
5,916
7,257

2,1,28

Excluding finance companies 3J
1st
2nd
3rd
lith

quarter
quarter
quarter
quarter

s/2,223

Year
o7
1/
2/
~y

I,554
4,552
2,337
2,807

1,716
2,165
2,018
2,347

II,253

8,246

Estimated.
g / Preliminary.
'
'
S e c u r i t i e s and Exchange Commission estimates of net proceeds.
Investment Bankers Association of America estimates of principal anounto.
Total new c a p i t a l i s s u e s excluding o f f e r i n g s of s a l e s and conruner finance
companies.




Exhibit I

ti.llt

New Corporate Security Issues,. Type of Issue and Issuer
(In millions of dollars)
Gross proceeds f o r new
Quarter
or
month
I960 - I
II
III
IV
1961

I

n

111
17
1962 - I e /
II

Net proceeds f o r

Bonds
Common
Communi- Other
Total Publicly Privately and
Mfg. uPublic
t i l i t y cations i s s u e r s
o f f e r e d offered pfd.
stock
2,265
2,537
2,520
2,832

93U
1,07k
1,336
1,1*62

795
770
751*
955

1,992
5,352
2,566
3,236

662
2,303
772
967

880
1,275
1,139
1,1*21*

2,to

1,150

w

601
695
696
2,231
1,3U2
1,779
1,075
813
678
1,155
987
1,09k

178
273
211
713
666
921*
1*21*
225
123
336
ldi*
217

720
889
830

273
U97
380

598
808
652
696

189
11*9
317
381

1,059
913
896
997

1*1*9
381
515
1,771* 1,1*66 1,081
651*
595
935
836
81*5
792

81
1,095
101*
11*7

832
1,052
803
1,263
688

536
692
1*29
1*16

298
5U
562
625

" l*2b

696

lo?

1*82

291*
255
331
31*8
355
572
392
1*11
336
509
31*8
567

129
167
151*
1,170
320
283
259
177
218
310
225
310

169
99
21*8
571*
1*1*7
1*1*6
1*28
255
252
271
215
306

137
160
81*
251*
1*39
389
369
215
111
306
362
168

21
la
19
991*
85
16
16
13
75
25
80
1*2

253
368
211
297
289
1*67
315
279
209
1*87
291
1*85

308
257
300

11*0
135
150

21*6
150
300

89
11*8
220

73
359
50

253
205
230

.

in
IV

1961 - J a n .
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Deo.
1962 - Jan. d /
Feb. p /
Mar. e /
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

Preliminary!
e / Estimated. . 1 / Gross proceeds exceed n e t proceeds
Ey the cost of f l o t a t i o n .
2 / For t o t a l see Exhibit Hj other i s s u e r s a r e
e x t r a c t i v e , r a i l r o a d and other t r a n s p o r t a t i o n , real e s t a t e and finance end

commercial
and other.
Source. —Securities and Exchange Commission.



It. lit

Exhibit J
Other Security Offerings
( I n m i l l i o n s of d o l l a r s )

Gross long-term l 7
Foreign government 2/
Federal agency 3/"
I 1961
| I960
1962
I 1961
| i960
1962
January
February
March
April
May
June
July
August
September
October
November
December

1U2

10
e / 30

2
175
70
3h
72.

•-s
2

25
1
36
3k
2
la

,29

1*3
3k
—

Year
Jan. —1,3 X'.

6
29
20
2
66

Vl82

2U6
156

e/ -

533

55

21*7

150
11*8
33k

Ui9

1*0

236

m

150

252
100
278

250
193

19.9
160
11*9
181

225
—

e/k02

1,1*1*8

1,672

252

1*82

Net shoirlb-term h/
S t a t e and Local government 5 /
Federal agency 3 /
January
February
March
April
"May

18

1*66

-21*8

July
August
September
October
November
December

r.

58
ll*0
-80
70
-11*6
-157
1*8
145
-175
-16
50
-189

520

18

-76

-633

3k7

118

-1*80

-1*57

51*
-116

Year
Jan. -

160
195
-8
-103
-1*2
-155
109
518
-86
-6

236

21*7
-156
226

-llit
-162
-171*

-79

-87
207
22
193
108
98
56
-lilt

317

-196
-202 .

-59

-277
170
320

95

23
-201
-23
-33
-250

P r e l i m i n a r y . e / E s t i m a t e d by F e d e r a l Reserve.
These data d i f f e r from those in Exhibit & in t h a t refunding i s s u e s , as well as new 'hi
c a p i t a l i s s u e s , are included. Long-tem s e c u r i t i e s are defined as those maturing ix
more than one year.
,
%
i / Includes s e c u r i t i e s o f f e r e d in the United S t a t e s by f o r e i g n governments and t h e i r
i n t e r n a t i o n a l o r g a n i z a t i o n s . Source: S e c u r i t i e s and Exchange Commission.
I s s u e s not guaranteed by the U. S. Government. Sources long-term, S e c u r i t i e s and, 4
i/
Exchange Commission; short-term, Treasury Department and Federal Reserve.
%,
y
These data d i f f e r from those i n Exhibit H and above i n that they represent new
^*
o f f e r i n g s l e s s retirements, whether from the proceeds of refunding i s s u e s or from •
other funds. Data include only i s s u e s with o r i g i n a l maturity of one year or l e s s .
P r i n c i p a l l y t a x and bond a n t i c i p a t i o n n o t e s , warrants or c e r t i f i c a t e s and Public
5/ Housing
Authority n o t e s . In some instances PHA notes included may have a somewhat
Digitized forlonger
FRASER
than one y e a r . Source: Bond BuYfiJC and Federal Reserve.



Exhibit K

H.lU

Large Long-term Public Security Issues for New Capital
(Other than U. 8. Treasury) 1/
Proceeds of Large Issues Offered
(In millions of dollars)

Month

Total

.1961 - April
May
June
July
August
f
September
J;
October
v
November
^
December
7962 - January
i
February
1
March
April

Corporate
Bonds
Convertible
(other than
bonds
convertible)
560
480
1*35
285
165
78
205
320
125
170
1*25
330
430

1,572
557
532
kit
185
168
3tk
391
2#
195
1*25
366
61*8

Stocks

State
and
local
government

1,010
62
97
115
20
58
81
1*5
130
25

5
75
33
67
26

21
167

15
51

383
256
616
179
281
1*3 5
326
U80
307
561
662
259
1*23

Other
X
25
151
——

100
73
1*0
250
ll*5
61*
30
55

Large Individual Issues Offered April 1 through May k
1
Issuer

Type 3 /

Coupon
Amount
( m i l l i o n s Maturity
Offering
of
net i n t e r - y i e l d
dollars)
est cost

Rating

CORPORATE
r

i'::-'--t<-Long Island Lighting Co.
% Ohio Oil Co.
General Tel. & Elec. Co.
^fcLitton Industries, Inc.
Tennessee Gas Trans. Co.
!§v*National Cash Register Co.
Northern Indiana Pub.
%
Service Co.
vj, P a c i f i c Power & Light Co.
^^Consolidated Edison Co.
Appalachian Power Co.
''^4* Southern Bell Tel. & Tel.Co.
Transcontinaital Gas Pipe
t\
Line Corp.
Appalachian Power Co.
Washington Gas L i g i t Co.
'^Pacific Power & Light Co.
. Southern C a l i f . Edison Co.

Com.stk.
S.F. deb.
Deb.
Conv.sub.deb.
Deb.
Com.stk.

ZL.l
90.0
50.0
50.7
75.0
36.7

1st mtg.bds..
1st mtg. bds.
Conv.pfd.stk.
1 s t mtg.bds;
Deb.

20.0
35.0
9iu6
25.0
75.0

I s t n t g . p . l . b d s , .1*0.0
S.F. deb.
20.0
Pfd.stk.
15.0
Com.stk.
18.3
lst&re£mtg.bds. 1*0.0




1987
1987
1987
1982

li-3/8
1-3/8
3-1/2
* 5

It. 36
4.86
3.50
U.92

Aa
Baa
Baa
Baa

1992
1992

li-3/8
14-3/U

U.29
1.69

Aa
Baa

1992
2001

' U-3/8
4-3/8

U.32
U.23

A
Aaa

1982
1992

lt-7/8
4-5/8

ii.82
1*.55

Baa
Baa

1987

W A

U.25

Aa

h . i it
Large Individual Issues Offered April 1 through Hay h ( c o n t ' d )

Issuer

type 3 /

Coupon
Amount
Offering
(millions
Maturity n e t i n t e r - y i e l d
of
dollars)
e s t cost

Rating

STATE AND LOCAL GOVERNMENT
Shelby County, Tenn.
G.O.
Cook Co., I l l i n o i s
G.O.
Los " n e e l e s County i l o o d
Control D i s t . , Calif .
G.O.
S t a t e of Michigan
Rev.-S.T.
G.O.
City of P h i l a d e l p h i a , Pa.
Penna. S t a t e Public Sch.
Bldg. Auth.
Rev.-Rent.
Public Housing Auth.
Texas S t a t e Water Level.
Board
G.O.
New York City, New York
G.O.
Cleveland, Ohio
G.O.
G.O.
Chicago Board of Educ., 111.
Tampa, Florida
G.O.
Port of New York Auth.
Rev.-Ut.
State of Hawaii
G.O.

1963-87
1963-77

2.91
2.79

1.65-3.10
1.65-2.90

25.0
35.0
25.0

1963-89
1963-87
1963-92

3.11
3.28
3.0k

1.55-3.35, ,Aa
1.65-3.15 a / A
1.60-3.3(5/ A

26.it
101.1

1962-2001
1962-2002!

3.17
2.96

I.I4O-3.UC 2 / Aaa
1.UO-3.3G

15.0
108.5
18.0
16.5
15.U
35.0
10.0

196U-97
1963-82
1963-82
1965-81
1966-2002
1993
1965-1982

3.06
2.58
2.68
2.83
3.U6
3.36
2.71

1.60-3.20
1.65-3.15
1.55-2.^
2.00-3.00
2.25-3.70
3.33
1.90-2.90

OTHER
Federal Land Banks
Kingdom of Denmark

Aa
A

12.5
25.0

Aaa
A
A*
A
Baa
A
A

-

Bonds
Bonds

55.0
20.0

1967
1977

h
5-l/U

3.86
5.47

—Rights o f f e r i n g .
1 / Includes corporate and other s e c u r i t y o f f e r i n g s of #15 m i l l i o n and over; S t a t e
and l o c a l government s e c u r i t y o f f e r i n g s of #10 m i l l i o n and over.
2/ Includes f o r e i g n government and I n t e r n a t i o n a l Bank f o r Reconstruction and
Development i s s u e s and non-guaranteed i s s u e s by Federal agencies.
3 / In the case of S t a t e and l o c a l government s e c u r i t i e s , G.O. denotes general
o b l i g a t i o n s j Rev.-Ut., revenue o b l i g a t i o n s secured only by income from
public u t i l i t i e s ; Rev. -Q . U t. , revenue bonds secured only by revenue from
c u a s i - u t i l i t i e s ; Rev.-S.T., revenue bonds secured by revenue from s p e c i f i c
t a x e s only; Rev.-Rent., revenue bonds secured s o l e l y by l e a s e payments.
V 1 per cent bonds maturing 1987 r e o f f e r e a t o y i e l d k.OS per cent.
\ / l / l O per cent bonds maturing 1989-92 not r e o f f e r e d .
6 / l p e r cent bonds maturing 1995 r e o f f e r e d to y i e l d J4.IO per cent and 1/10
p e r cent bonds maturing 1996-2001 r e o f f e r e d to y i e l d U.itO per c e n t .




"

«

|

|
|
'g

4
%

ry
t

Holii
1 booming Large Long-term Public S e c u r i t y O f f e r i n g s f o r New C a p i t a l
(Other t h a n U. S, Treasury) 1 /
Expected Proceeds from Forthcoming Large I s s u e s
During month f o l l o w i n g
d a t e shown
Corporate | S t a t e and [ o t h e r 2,/
1 local govt.

Date of
computation

w

%
%

i

5k 2
1961 - Apr. 28
1*87
May 31
521
30
J u l y 31
170
Aug. 31
175
Sept..• 29
358
" 3U6
0 c". - 31
Nov, 30
356
Dei, 29
161
1*80
1962 — Jan c
Feb, ?8
222
628
Mar, 30 |
Apr. 30 !
185

236
1*31
195
1*06
399
251
597
#5
223
1*65
153
1*5^
<V3

Subsequent t o
d a t e shown
| S t a t e and
Corporate
Other 2 /
I l o c a l govt,
687
611
666
255
21*0
5ol*
l*ii
1*21
591
525
3hl
693
5#

15
75
'u
35

6b
95

579
771
291
537
5#
1*51*
693
1*98
1*15
567
2#
539
1*52

15
75
73
35

61*
95

Forthcoming Large O f f e r i n g s , a s of May 1*
,r
Issuer

f

?V

jk
••I
'5
I

Type

Amount
| Approximate d a t e
(millions ]
of o f f e r i n g
of d o l l a r s ) j

CO? m FATE
V'3 :-:c-,nsin Telephone Co,
Columbus & Southern- Ohio E l e c . Co,
Milwaukee Gas Light Co,
F l o r i d a Power Corp,
Gulf S t a t e U t i l i t i e s Co,
Utah Power & Light Co.
Alabama Power Co.
Mountain S t a t e T e l , & T e l . Co,
V i r g i n i a E l . e c t r i c & Power Co.
^United Gas Corp,
^Columbia Gas System^ I n c .
-M^orth-im S t a t e s Power Co,
-it-Consolidated Edison Co.
^ C i n c i n n a t i Gas & E l e c . Co,
New England E l e c t r i c System

Deb,
20,0
1 s t mtg. bds.
16.0
1 s t mtg. bdSo
15,0
1 s t mtgo bds.
25,0
1 s t mtg. bds,
17.0
1 s t mtg.bds.&pfdostk„3l*o0
1 s t mtg. b d s .
17.0
Deb.
50,0
Com.stk.
l*o.o
1st fflfcg.&coll.trcbdSo
1*0.0
Deb.
25n0
1 s t mtg. bdSo
15-0
a s t mtg. bds,
LOOoO
1 s t mtg. bdSv
25,0
Com.stk.
20.9

•;?- * A i r Reduction Co.,, I n c .

Conv.sub.deb,

3^5

^

Deb., bdSo & com.

1*5 °0

Commerce O i l Refining Corp.




May 9
May 1.6
May 16
May 18
May 22
May 23
June 1
June 1
June 6
June 7
June 8
^
June 13.
June 20
June 22
June
( r i g h t s expire)
• June
( r i g h t s expire)
Indefinite

h.Ui
!

Forth( oming Large O f f e r i n g s s as cf May ii (Cont i)
Type

T~Amount
Approximate date
(millions
of o f f e r i n g
of d o l l a r s )

STATE AND LOCAL GOVERNMENT
Rev.-Uvc

20.5

May 15

G.O*
G.O.
Rev.-Rent.
Rev.-Ux.

15,0
10 cO
26.$
1U.0

May
May
May
May

G.O.
G.O.
G.O.
Rev. ~Ut.,
Rev.-Ut.
G.O.

25,0
il.5
35.0
16,0
10.0
95,0

Mayl5
May IS
May 15
May I f
May 1?
May 21

G.O.
G.O.
G.O.
G.O.

10.0
19.2
13.2
U6.0

May 2li
Indefinite
Indefinite
Indefinite
definite

j B :r.d =
• Bonds
'• Bonds

22.0
25,0
15.0

May 9
May y
May 15

Tucson, Arizona
Washington Suburban SanitaticTr
D i s t . , Md.
C i n c i n n a t i , Ohio
Georgia S t a t e Sch, Bldg. Auth c
• Austin £ Texas
Port of New Orleans Board of Comm.
La.
S a l t Lake -C.1 Ly Utah
P i t t s b u r g h ; Penna.
Metropolitan S e a t t l e v wash.
Sacramento Man. U t i l i t y Dist c Cal. ;
S t a t e of I l l i n o i s
* S a l t River P r o j e c t , g r i . Imp
Pwr. Ui_st., Ari zona
J e f f e r s o n County, "Colorado
Tarrant County, Texas
Dade County, Florida
J a c k s o n v i l l e Expressway Auth.. Fla. [

Govt, of New -Zealand
European Coal and S t e e l Community
Japan Development Bank

Rt

8
9
9
10

" " S i e l u d e d in table for f i r s t time,
1/ Includes corporate and other i s s u e s of
5 million and over; S t a t e and l o c a l
government i s s u e s of $10 m i l l i o n ani o'^er.
2/ Includes f o r e i g n government and I n t e r n a t i o n a l Bank f o r Reconstruction and
~
Development i s s u e s and non-guaranteed i s s u e s by f e d e r a l acror."-;.
K•.)t«—Del.eti^"^ f n ^ h e r than s a l e of * None.