Full text of H.16 Capital Market Developments : October 14, 1968

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Not for Publication
H. 14

DECONTROLLED AFTER SIX MOUTHS /

Oct<te*xjfc47l95
idod

1TAL MARKET^ DEVELOPMENTS
IN^FHE OfllTED STATES

iOiVD

Corporate and municipal bond markets. The expected volume1 of new,
publicly-offered, corporate and municipal securities this week is above the
average weekly volume over the past year. The especially large municipal
volume includes the $126.1 million New York City issue of general obligation
bonds and the negotiated offering of $125.0 million of New Jersey Turnpike
revenue bonds. Market conditions allegedly may lead to the postponement,
of the latter, however. Dominating the corporate volume will be two
$75 million industrial offerings—one by Pennzoil United, the other by
Philip Morris, Inc. The week's total long-term offerings will be boosted ,
well.over the $1.0 billion mark by a $400 million Export-Import Bank issue.
1/
Long-term Public Security Offerings(In millions of dollars)
Corporate
New Capital 1 Refunding

State and local Government
New Capital 1 Refunding

Sold:
52 week avg.
October

291

4

r/170

October 11

280

1

292
r/295

—

577

1
—
—

Scheduled:
October 18
1/

350

545

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 although the rise in the composite new issue seriep was severely
dampened by a shift in the volume of issues carrying call protection. More
indicative of yield movements was the behavior of the Commonwealth Edison
issue—offered only two. weeks earlier--which was released from syndicate
with only one-third sold. In free market trading, the yield on this issue
adjusted upward by 24 basis points. Despite sharply higher yields, new
issues in many cases received only a fair reception, and thus, despite the
above-mentioned syndicate termination, the volume of bonds in syndicate rose.
Yields on municipals also advanced sharply last week, but this highei
yield level failed to spark significant investor interest. By the end of
the week only 66 per cent of the week's competitively offered issues had been
sold. In addition, the $220 million negotiated sale of Maryland State Roads
Commission bonds was said to have been relatively unsuccessful. Inventories
of bonds originally offered in recent weeks were partially reduced at the
cost of considerable price-cutting. The Blue List rose to within about
$50 Million of the year's high.




H. 14
Yields on Security Markets
Change from
preceding week

High-Grade
Notes and Bonds
Corporate
New
Seasoned

6.59
6.06

+2
+4

5.25
5.43

+10
+9

4.22
4.55

+8
+10

U. S. Government
Long-term
3-5 year
State and local Gov't.
Moody's Aaa
Std. & Poor's high grade
Money Market
Federal funds
Treasury bills
3-month
6-month

5.95

+7

5.31
5.38

+11
+7

Corporate Bonds Still in Syndicate
Date
Offered

Amount
(millions of $1

10/10

20.0

Northern Indiana Public
Service,
6-7/8's - 1998

6.72

Aa

75%

10/8

60=0

Consolidated Edison,
6.85's - 1998

6.85

A

70%

10/7

75.0

Chesapeake & Potomac Tel.
of Md.,
6-5/8's - 2008

6.60

Aaa

20%

10/3

4o:o

Columbia Gas System,
7's - 1993

6.95

A

30%

Reoffering
Yield

Issuer

Rating

Estimated proportion sold

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
801(10/9/68)

End of Previous Week
.




762

1968 High
849(8/28/68)

H. 14
Stock prices. Common stock prices and trading volume declined
slightly last week. The Standard & Poor's index of 500 stocks closed
Friday at 103.18,down 0.53 from the previous Friday. Trading volume averaged
14.0 million shares a day. The Exchanges elected to continue Wednesday
closings at least through the end of October.
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.




EX H'Pn A Pnrt 1
L O N G - T E R M B O N D YIELDS, H I G H - G R A D E

CORPORATE Aaa

^ U . S . GOVERNMENT

STATE AND LOCAL GOVERNMENT Aaa

1963




1964

1966

1968

Exhibit A -- Fare j.1

! Corporate

Date

j Aaa 1/
.

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

4.61(1/29/60)
j 5.52(9/9)
4.73(1/7)
6.24(12/29)
5.00(2/10)

1968 - Sept. 13
20
27
Oct.
4
ll£ f

5.95
5.98
6.00
6.02
6.06 y

State and
U.S. Govt. I
local
long-term 2/1 government
Aaa 3/
(per cent)

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

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)

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

5.12
5.08
5.09
5.15
5.25 -

4.25
4.21
4.20
4.14
4.22/

.83
.90
.91
.87
.81

.92(4/22/60)
1.19(2/11)
.77(9/2)
1.51
.74
.87
.87
.89
1.01
1.03

j>/ Preliminary.
1/ Weekly average of daily figures. Average term of bonds included is 22-24 years.
2/ Weekly average of daily figures. The series includes bonds due or callable in 10
years or more.
3/ Thursday figures. Only general obligation bonds are included; average term is 20
years.
Note—Highs and lows are for individual series and may be on different dates for
different series. For spreads, high refers to widest, and low to narrowest.




L O N G - T E R M B O N D YIELDS, LOWER GRADE
Weekly
' ' .

CORPORATE Baa

STATE AND LOCAL GOVERNMENT Baa

1963




1964

1965

1966

1968

Exhibit B —

Date

Part II

! State and
local govt,
j Baa 3/

Corporate
Baa 1/

(per cent)
1959-60 - High
Year end- 1965
1966 - High
Low
1967 - High
Low
1968 - Sept. 13
20
27
Oct.
4

5.36(2/12/60)
5.04
6.18(12/30)
5.05(1/14)
6.97(1/29)
5.81(4/14)

6.80
6.79
6.79
6.78 ,
Up/ 6.79 V
Note: For footnotes see Exhibit A.
j>/ Preliminary.




Spread between
Aaa and Baa
State and
Corporate
local Rovt.

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
.73

1.08
.39
.62
.31
.81
.37

4.80
4.78
4.75
4.80
4.90

.85
.82
.79
.76
.73

.55
.57
.55
.66
.68

EXHIBIT

C, Port 1

S H O R T - A N D INTERMEDIATE-TERM INTEREST RATES
GOVERNMENT

6-MONTH BILLS
Market Yields

3 - 5 YEAR ISSUES




F.R. DISCOUNT RATE

3 MONTH BILLS
Market Yields

%

Exhibit C -- Part II

Discount
rate

1959-60 - High
Year end - 1965
1966
1966 - High
Low
1967 - High
Low
Sept. 13
20
27
Oct.
4
H p/

4.00
4.50
4.50
4.50
4.50
4,50

4.00

5.25
5.25
5.25
5.25
5.25

3-month
bills U
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)
5.28
5.18
5.13
5.20
5.31-

Yields
6-month
bills 2/
(per cent)
5.07(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/12)
3.74(6/2)
5.31
5.25
5.24
5.31
5.38-

3-5 year
issues U

Spread between yields on
3-mo. bills and yields on
bills I 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)
5.36
5.27
5.28
5.34
5.41

.79
.19
o 12
,52
.09
.62
.01

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

.03
.07
.11
.11

.08
.09
.15
.14

New York.
Series of 3-5
2/ Market yield; weekly averages computed from daily closing bid prices
~ 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
j>/

Preliminary.




EXHIBIT

D, Pari

I

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

PRIME RATE
FINANCE COMPANY PAPER
Directly p l a c e d
3-6 Months

F.R. DISCOUNT RATE
New

York

FEDERAL FUNDS
Effective Rale

I 1 I I I I I I I III II II II- I I I I 1.1 1 I I I I I \ I I I IJ I I I I 1 I I 1- I I I
1963




1964

1965

1966

1967

IIIIIIIIIII
1968

IIII1IIIIII

1

Exhibit D —

Prime rate 1/

Date

Part II

Finance
company
paper 2/

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

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

1959-60 - H i g h
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low
1968 -Sept. 13
20
27
Oct.
4

6.50
6.50
6.25
6.25
f 6.25

5.13(1/22/60)
4.06
4.75
5.88
4.75(1/7)
5.75(1/6)
4.38(6/23)
5.63
5.63
5.50
5.50
5.50

4.00(5/13/60)
4.00
4.63
5.63
3.55(1/21)
5.25(1/6)
3.40(10/27)
5.70
5.60
5.90
5.88
5.95 ^

1.02
.23
.28
1.08
.20
1.33
.21
.35
• 45
.37
.30
.19

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 star-Zing.
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.
£/




Preliminary.

EXHIBIT

E, Pari I

STOCK MARKET
1941-43 o v e r o g e = 10

100

PRICES

STOCK MARKET CREDIT
* CHANGE IN .SERIES

VOLUME

YIELDS

1963




1964

1965

1967

1968

Exhibit E —

Date

Stock price
index

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

Part II

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

72.04(12/8/61)
52.68(6/22/62)
93.77(2/11)
73.20(10/7)
97.26(10/67)
82.18(1/6)

2.82
3.96
3.CI
3.97
3.01 ,
3.58

10.1
2.4
10.7
5.0
12.3
6.9

5,602(12/61) 4,259(12/61) 1,418(5/9/62)
4,424(1/61)
3,253(1/61) 1,161(3/8/61)
7,997
5,835
2.241(7/6)
7,302
5,169
2,097(12/14)
10,347(12/67) 7,883(12/67) 2,057(11/1)
7,345(1/6)
5,280(1/67) 2,055(1/25)

1968 - Aug.
- Sept.

98.11
101.34

3.09
3.00

10.9
13.4

10,922
n. a.

8,435
n.a.

r/2,487
1/2,515

1968 - Sept.
Oct.

27 t02.31
4 5)3.71
in?£>3.18

2.98
2.94
2.96

14.9
16.4
14.0

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

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

2,515
r/2',558
n.a.

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
1
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.




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

TTI

400

OFFERINGS

i 300

200

I PURCHASES V

100

\ \

SALES

1962




1964

1966

1968

Exhibit F - Part III
FNMA Weekly "Auction" Results

Amounts fin millions of dollars)
Accepted
Offered
1
690Total
Total
Year
Month
Day

Week
ended

90-

Yields (Per Cent)
1
6-

Day

Month

Year

49.8
50.4

13.1
15.4
15.3
14.1

7.63
7.68
7.69
7.62

7.65
7.71
7.69
7.60

7.59
7.64
7.63
7.55

60.5

3
10
17
24

231.8
179.1
145.3
135.4

60.7
74.6
80.2
80.4

7.7
14.4
15.1
15.9

July

1
8
15
22
29

148.0
157.2
172.2
158.6
148.4

89.0
88.5
80.4
65.8
70.0

16.3
11.2
9.6
8.6
7.1

60.5
65.9
57.3
47.4
53.7

12.2
11.3
13.5
9.8
9.2

7.51
7.42
7.36
7.33
7.32

7.48
7.40
7.35
7.32
7.33

7.47
7.37
7.32
7.31
7.33

Aug.

5
12
19
26

121.8
108.4
93.1
99.3

66.3
60.2
54.7
51.1

9.8
9.8
10.3
7.5

49.7
43.4
37.4
37.0

6.8
7.0
7.0
6.6

7.31
7.29
7.27
7.25

7.32
7.31
7.27
7.24

7.31
7.29
7.25
7.23

Sept.

3
9
16
23
30

90.9
88.5
81.9
93.2
91.0

5.17
50.4
47.1
34.5
36.2

5.7
5.0
6.1
4.5
3.1

37.6
39.0
29.9
21.0
24.8

8.3
6.5
11.1
9.1
8.3

7.25
7.21
7.17
7.17
7.16

7.23
7.22
7.19
7.17
7.16

7.21
7.17
7.11
7.11
7.10

June

Oct.

7

44.8

(35.0)

Note; iOLai accepueu buu«u j.«
-—
-FNMA announced limit before the "auction" date. Average secondary market
^yields are gross -- before deduction of 50 basis point fee paid by investors
to services. They reflect the average accepted bid price for Governmentunderwritten mortgages after allowance for FNMA commitment fees and FTMA
stock purchase requirements, assuming a prepayment period of 15 years for
30-year loans. One-year commitments are for new homes only.




Exhibit F - Part If

D;Xc

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

Purchases
Estima ted nffcrines< to FNMA
by
Standby
Immediate
Total
| purchase
FNMA •
commitment
(In millions of dollars)
260.6
261.0
167.9
168.2
260.1
260.6
324.1
324.7
206.6
209.4
212.0
212.6
164.0 164.4
212.2
212.9
210.1
214.3
103.6
104.8
(See Exhibit F Part
n
ii
"

.4
.3
.5
.6
2.8
.5
.4
.7
4.2
1.2
III)

198. 3
192.4
215.,1
186. 9
200.,1
274.,9
245.,2
188,.9
185.,7
176.J
172.,8
108.,0
98.,8

Sales
by
FNMA
.8

;

.2
.3
.1

I**™



—

YIELDS O N NEW A N D SEASONED CORPORATE BONDS
6.5

Adjusted lo

Aao

Basis

NEW ISSUES

6.0

5.0
SEASONED Aaa
Moody $

4.5

4.0
1964




1965

1966

1967

1968

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

Number
of

Number |Am't. of issues Average
of
included (mill.
yield
(per cent)
issues 1 of dollars)

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

Monthly averages:
1968 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.

13
13
10
7
11
13
7
8
7

567.0
564.0
350.0
415.0
531.0
872.0
552.0
267.0
450.0

6.24
6.29
6.56
6,52

6.66

6.65
6.54

6.26

6.30

1
1
1
3
2

12.0
15.0
110.0
67.0
75.0

6.36
6.46
6.13

Sept. 6
13

20

2
2
1

27

2

45.0
150.0
30.0
225.0

6.40
6.33
6.24
6.26

Aug.

2
9
16
23
30

6.26

6.36

50.0
6.57
2
Oct. 4
181.0
6.59 '
4
1«
Weekly averages:
6.83(5/24/68)
High
6.13(8/16/68)
Low
Note: Averages of offering yields on all new issues of publicly offered corporate bonds rated Aaa,
Aa, and A by Moody's Investors Service (except serial and convertible issues, offerings of natural
gas pipeline and foreign companies, and bonds guaranteed by the Federal Government) weighted by
size of offering. Before averaging, new offerings are adjusted to a composite Aaa basis by
deducting from the actual reoffering yield the excess of the weekly average yield for seasoned
bonds of the appropriate industry-quality group over the composite average for seasoned Aaarated bonds (Moody's). Averages considered unrepresentative because of special characteristics
of the offerings included are denoted by an asterisk.
£/ Preliminary.




go

Exhibit H
Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
New Capital
1&8P/

Corporate
1957

1966

State and local
1967

1966

January
February
March

1,706
1,568
1,740

1,648
1,398
2,317

1,302
1,237
2,446

1,133
1,147
1,384

1,482
1,196
1,438

1,188
858
865

April
May
June

1,385
1,825
2,334

1,973
1,474
2,611

1,553
1,058
2,364

1,298
t/1,1157
r/1,381^

1,111
1,229
1,497

1,193
901
1,141

2,121
e/1,500
5/1,650

2,457
2,406/
1,723

1,039
1,670
1,382

cA1,446^
7/1,681/
1/1,250

943
858
1,300V

701
773
1,020

e/1,750

2,289
1,467
2,336

829
1,085
1,635

eA,600

974
1,400
1,182

755
969
940

5,014
5,544
e/5,27l/

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

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

3,665 •
73,794/
74,371

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

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

10,558
e/15,829/

11,421
18,007
24,098

9,959
14,050
17,601

,459
Z
. s ,830

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

Quarter
Quarter
Quarter .
Quarter

1st half
Three quarters
Year •

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

I

Quarter
Quarter
Quarter
Quarter

4,943
5,265

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




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

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

23,115

17,269

7,956
11,087
14,643

6,146
8,640
11,304

.it
Exhibit I
New Coroorate Security Issues, Type of Issue
and Issuer
(In millions of dollars)
Net proceeds
Gross proceeds for new capital
and refunding 1/
for new capital 1/ 2/
Bonu s
Common Memo:
Publicly Privately and
Other
Foreign
Mfg. Public CommuniOffered Placed
pfd. issues
Utility cations Issuers
stock included

Quarter
or
Month

Total

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
3,014
2,792
2,527

997
1,268
1,219
1,255

543
548
595
269

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

1968 - I
II

5,178
5,705

2,465
3,105

1,724
1,644

989
956

313
172

1,855
1,653

1,394
1,201

411
529

1,356
2,159

1967 - Sept,
Oct.
Nov.
Dec.

1,763
2,409
1,500
2,385

902
1,375
645
1,087

647
566
551
1,020

214
469
304
278

8
34
19
30

637
906
512
1,109

265
573
404
278

200
119
82
68

619
690
469
881

1,771
1,607
1,800
1,428
j1,867
2,418
2,174
1,565
1,725

903
796
766
719
1,046
1,340
1,244
615
725

546
585
593
438
521
685
561
600
700

322
226
441
271
300
385
369
350
300

16
61
236
31
89
52
47
n. a.
n. a.

537
556
761
353
550
750
839
600
525

417
546
431
178
549
474
236
365
400

186
147
78
189
~ 103
237
236
70
125

566
321
469
663
622
874
8.10
465
600

1968 - Jan.
Feb,
Mar.
Apr.
1
.
May
June
July p/
Aug. e/
Sept. e/

f_/

t. Preliminary, e/ Estimated by Federal Reserve, n. a. Not available.
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.




!

Exhibit J
Other Security Offerings
(In millions of dollars)
Gross Long-term 1/
Federal Agency 3/
Foreign Government 2/
1966
196 8
196 8
196 7
1967
196 7
January
February
March
April
May
June
July
August
September
October
November
December

127
49
107
75
142
7
100

/

Jan. - July

607

Year

January
February .
March
April
May •
June
.July
August
September
October
November
December
Jan.. - Aug. £/
Year

.

196
223
27
13
170
22
586
193
66
142
18

12
40
40
66
69
76
72
• 7
50
23
74
68

999
550
1,370
225
744
779
800

651

-375

5,467

1,656

597

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

503
410
392
699
1,030
1,034
799
400
450
800
239

5,301

4,118

8,180

6,806

New short-term 4/
State and local Government .5/
Federal Agency
300
179
103
490
-179
89
387
39
436
-552
-604
. -594
-319
-593
-454
3
827
580
681
-559
490
515
462
121
109
-378p/
-187
-334
27
93
20
-103
457
-158
5392/
34 £ /
593
-203
-262
270
,32
-161
1,407
414
-48
606
49
503
573
-514
-570
36
473

1,740
1,721

698
531

1,416

-1,962
660

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

=

961
310

These data
£/ Preliminary, e/
Estimated by Federal Reserve, n.a. — N o t available. If
differ from those in Exhibit H in that refunding issues, as well as new capital issues,
are included. Long-term securities are defined as those maturing in more than one year. \
2/ Includes securities offered in the U.S. by foreign governments and their political
"1
subdividions and international organizations. Source: Securities and Exchange Commission^
3/ Issues not guaranteed by U.S. government. Source; Long-term, Securities and Exchange
Commission; short-term, Treasury Dept. & Fed. Reserve. 4/ These data differ from those
A
in Exhibit H and above in that they represent new offerings less retirements, whether
^
from the proceeds or refunding issues or from other funds. Data include only issues with
original maturity of one year or less. 5/ Principally tax and bond anticipation notes,
warrants, or certificates and Public Housing Auth. notes. In some instances PHA notes
'
included may have a somewhat longer maturity than 1 year. Source: Bond Buyer & Federal

Reserve.



zx
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
11967 - Aug.
Sept.
Oct.
Nov.
Dec.
1968 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.

1,709
794
1,458
826
978
904
757
788
696
1,009
1,461
1,243
665
736

Corpor.ate
Bonds
(other than
Convertible
convertibles)
bonds
350
1,288
257
473
285
897
150
461
460
437
168
652
105
575
135
415
723
500
656
283
120
1,161
395
650
143
405
91
541

S tocks
67
65
276
215
81
85
77
. 238
73
70
180
98
117
104

State
and
local
governments
473
847
505
865
633
785
591
736
794
571
758
864
1,165
693

Other

2/

221
400
50
845
627
1,095
389
1,030
370
145
500
920
70
520

Large Individual Issues Offered October 1 through October 11, 1968
Issuer

Corporate
.olumbia Gas System
Rational Industries
%ckerd Drugs
hareholders Capital Corp.
Chesapeake & Potomac Tel.
j Co. of Maryland
pastern Airlines
jJeco Corporation
Consolidated Edison of N.Y.
Jersey Central Power &
Light Company
Wisconsin Public Service
Northern Indiana Public Svc
Company
Canal Electric

Type 3/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
net interest cost

Offering
yield

40.0
Debs,
Conv. sub. debs. 25.0
Conv. sub. debs. 15.0
Com. stk.
19.3

1993
1988
1988

7
5-3/4
4-3/4

6.95
5.75
4.75

Debs.
Conv. sub. debs.
Conv. debs.
1st mtg. bds.

75.0
50.0
15.0

6-5/8
4-3/4
4-3/4
6.85

6.60

60.0

2008
1993
1988
1998

1st mtg. bds.
Pfd. stk.

26.0

1998

7-1/4

7.10

1st mtg. bds.
1st mtg. bds.

20.0

1998
1996

6-7/8
7

6.72
6.90




15.0

19.0

4.75
4.75
6.85

Rating

Aaa
8
Ba
A

Aa
Aa

/-

K-2
Large Individual Issues Offered October 1 through October 11, 1968,

Issuer

Type 3/

Amount
(millions
of
dollars)

Maturity

Coupon
Offerrate or
net inter- ing
yield
est cost

Rating

State & local Government
Seattle, Washington
G.O
Canton, Ohio
Rev. -Rent.
Los Angeles Flood Control
District., California
G.O.
State of Rhode Island
G.O.
Alachua Co. Spec. Tax Dist.
#1, Florida
Rev. - S.T.
San "Francisco B.A.R.T.
G.O.
State of Ohio
G.O.
New York State Dorm. Auth. Rev. -Rent.
Washington Sub. Sani. Dist.,
Maryland
G.O.
State of Alaska
G.O.
Maryland State Roads Comm. Rev. -Q.-Ut.
Maryland State Roads Comm. Rev. -Q.-Ut.
San Diego, California
Rev. -Ut.
Montebello, Calif., U.S.D. G.O.
Other
Province of Manitoba
Federal Land Banks

Debs
Bonds

10.0
45.0

1970-2008
1972-78/93

4.73
n.a.

3.20-5.00
4.15-5.20

A-l

45.0
20,0

1970-1995
1969-1988

4.33
4.04

3.10-4.45
2.95-4.30

Aa '
A-l :

12.8
70.0
= 50.0
45.8

1971-1988
1972-1999
1970-94
1970-99

4.53
4.70
4.30
5.15

31.60-5.00
31.50-5.20
31.15-4.50
5.25

A
Aa o
Aaa
Aa

20.0
10.5
50.0
170.0
10.0
12.0

1969-98
1969-88
1973-88
2008
1975-1998
1970-90

4.46
5.02
5.22
5.22
4 . 53

3 .10-5.20
A '
3 .50-5.05
Baa v
4 .10-4.90
A ^
4 .10-4.90 • A
4 .00-5.10
A
3 .40-4.60
A

1993
1971

6-7/8
6

50.0
39.5

6.90
6.00

--

•

A

* Rights offering, n.a. -- Not available.
1/ Includes corporate and other security offerings of $15 million and over; State and
local security offerings of $10 million arid over.
Pj
2/ Includes foreign government and International Bank for Reconstruction 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; i;'
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.




H. 14
Exhibit L
Forthcoming Large Long-term Public Security Offering for New Capital
(Other than U.S. Treasury) 1/
Expected Proceeds from Forthcoming Large Issues
(In millions of dollars)
During month following
date shown
State and
Other 2/
Corporate
local govt.
jl967 - July 31
Aug. 31
Sept.30
Oct. 31
Nov. 30
# • Dec. 31
|l968 - Jan. 31
Feb. 29
Mar. 31
IApr. 30
1
May 31
i
June 30
July 31
Aug. 31
Sent.30

| .

512
783
768
505
865
633
449
683
494
695
485
597
1,071
1,157
1.313

1,261
694
534
1,357
826
968
531
873
758
1,103
1,193
1,068
619
793
490

--

100
65
50
845
402
60
130
15
45
500
75
70
--

450

Corporate
1,576
1,335
1,090
2,694
2,129
1,892
736
1,105
935
1,612
1,403
1,380
679
868
887

Subsequent to
date shown
State and
local govt.
575
903
889
743
1,684
1,076
937
1,079
624
1,069
640 .
1,042
1,307
1,393
1r "2

Other 2/
150
159
126
260
875
502
75
265
125
60
515
110
85
15
465

Forthcoming Large Offerings as of October 11, 1968.
Issuer

j Illinois Power Company
Pennzoil United
Philip Morris, Inc.
Carolina Power & Light
Fibreboard Corporation
General Tel. of Michigan
Gulf States Utilities Company
Wilson Sporting Goods Co.
Wisconsin Gas Company
Consumers Power
Trancontinental Gas Pipeline
Louisville & Nashville Railroad
Delmarva Power & Light Co. •
Connecticut Light & Power Co.
•Northeast Utilities Company
Alabama Power
Pacific Gas & Electric
•Wisconsin Elec. Power Co.
•Northern Natural Gas Company




Type

1st mtg. bds.
Debs.
S.F. debs.
1st mtg. bds.
Conv. debs.
Debs.
1st mtg. bds.
Sub. debs, w/wts.
1st mtg. bds.
1st mtg. bds.
1st mtg. p.l. bds.
Coll. tr. bds.
1st mtg. bds.
1st mtg. bds.
Com. stk.
1st mtg. bds.
1st mtg. bds.
Debs.
Pfd. stk.

Amount
(millions
of
dollars)

45 .0
75 .0
75 .0
40,.0
30,.0
22,.0
40.,0
25. 0
16. 0 ,
55.,0
40. 0
40.,0
25.,0
40.,0
28.,6
25.0
60. 0
40.0
20.0

Approximate date of .
offering

October
October
October
October
October
October
October
j October
October
October
October
October
October
October
October
October
November
November
November

14
15
15
15
15
15
17
17
21
22
22
23
23
24
23(rts.exp
29
7
12
13

&
L-2
Forthcoming Large Offerings as of October 11, 1968.
Amount
(millions
of
dollars)

Type

Issuer

Approximate date of offering

Corporate (Cont'd)
Debs.
*Northern Natural Gas Company
1st mtg. bds.
t ^Florida Power Corporation
Debs.
Tesoro Petroleum
Debs.
Southern Company
Com. stk.
" Alexander's Dept. Stores
Conv. sub. debs.
King Resources
S.F. debs.
General Tel. of Florida
Reading & Bates Offshore Drilling i
Conv. debs.
- Company
Debs.
Puerto Rico Telephone Company
. Cleveland Electric Illuminating Go. 1st mtg. bds.
Conv. debs.
Belco Petroleum Corporation
international Leisure Corporation Units

40.0
30.0
15.0
15.0
20.0
20.0
35.0

November 13
November 14
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

20.0
25.0
50.0
25.0
25.0

Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

State & local Government
Pontiac School Dist., Michigan
New York. City
Hillsborough Aviation Auth.,
Tampa, Florida
Los Angeles U.S.D., California
Jackson Co., Missouri
Penna. State Public Sch. Bldg.,
Authority
Hartford, Connecticut
San Diego Water Auth., Calif.
*New Jersey Turnpike Authority
State of California
Baltimore, Maryland
Cleveland School Dist., Ohio
University of Kentucky
*New York State Job Development
Authority
Prince George's Co., Maryland
, . New York State Housing Finance
Agency
Pennsylvania State Highway &
Bridge Authority
New Madrid, Mo.
New Madrid, Mo.
Port of Astoria
Delaware River Jt. Toll Bridge
Commission
Port Huron, Michigan
Digitized
FRASER
State for
of.Texas
*New York State
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

19.0
126.2

G.O.
G.O.
Rev. -Rent.
G.O.
G.O.

"

67.0
39.5
25.0 .

.

October
October

14
15

October
October
October

15
15
15

October
October
October
October
October
October
. OctoberOctober

15
15
15
17
22
22
22
22

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

16.3
15.4
30.0
125.0
100.0
28.5
22.0
11.6

Rev. -Rent.
G.O.

15.0
21.0

October
October

23
29

Rev. -Rent.

91.0

October

30

75.0
Rev. -Q.-Ut.
Rev. -Rent. (alum.) 85.0
Rev. -Rent. (elec.)100.0
150.0
Rev. -Rent.

October
October
October
October

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

20.0
22.0
12.0
80.0

November
November
November
November

1
1
6

n

L-3
Forthcoming Large Offerings as of October 11, 1968. (Cont'd)

Issuer

Type

Amount
(millions
of
dollars)

Approximate date of offering

State & local Govt. (Cont'd)
Tampa Hillsborough Co. Expressway Authority
Cobb Co., Georgia

Rev.-Q.-Ut.
Rev.-Ut.

46.0
32.5

Indefinite
Indefinite

Other
*Export-Import Bank
Tennessee Valley Authority

Debs.
Bonds

400.0

80.0

October 15
November 13

*-- Included in table for the 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.




i b

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
1

A.

Sold; May 1 through Oct.

'

11,-1968.

May V

15

20.0

Montreal Catholic School Commission--7-1/2% S.F. debs,
maturing 1993, reoffered to yield 7.88%.

May

21

25.0

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

May

28 ,

July

10

100.0

I
i

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

July

23

20.1

Province of Ontario, 7 -1/8% debentures maturing 1998, :
reoffered to yield 7.19%.
Husky Oil Canada Ltd.
.

July

25

25.0

Province of Nova Scotia -- debentures.

Sept. 17

250.0

Sept. 19

20.0

Province of New Brunswick -- 6-7/8%. S.F. debentures
maturing 1991, reoffered to yield 7.05%.

50.0

Province of Manitoba — 6 - 7 / 8 % S.F. debentures
maturing 1993, reoffered to yield 6.90%.

. Oct.

2

Indefinite

75.0

15.6

International Bank for Reconstruction and Development,
6-3/8% bonds maturing 1994, reoffered to yield
6.44%. ;
i

B.

Prospective Offerings
Canadian Utilities, Ltd., -- S.F. debentures with

* - Included in table for first time.
** *** -

Issues sold to investors outside of U.S.
Issue subject to interest equalization tax.




PART II:

Date Reported
6/68

;

Private Placements -- Reported May 1 through October 11, 1968.

Amount
(millions
of
dollars)

Issuer and Description of Issue

29.4

Seaboard Finance Co. of Canada, Ltd., Sr. notes
maturing 1983, take down at various dates
through 1969.

7/1/68

25.0

Argentina, Government of —
June, 1973.

7/1/68

1.4

7/1/68

.5

external bonds maturing

British Columbia Forest Products, Ltd.
secured notes.

20 year

British Columbia Forest Products, Ltd. —
secured notes.

10 year

8/20/68

75.0

Bell Telephone Company of Canada —
6.90% 1st mortgage bonds maturing 1998.

8/21/68

40.0

Placer Development Ltd., Vancouver

9/9/68

2.0

Caribbean Finance Company (Puerto Rico) Senior
notes maturing July, 1983.
>

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.