Full text of H.16 Capital Market Developments : October 2, 1967

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- "fJSECOUTBOLLED AFTER SIX MOUTHS
Not for Publication
H. 14

UUI

4

October 2, 1967

,Jt)/

OF RICia.lOivD
DEVELOPMENTS
^ M # A L MARKETS/
MARKET§/PI

IN THE UNITED STATES
Corporate and municipal bond markets. In both the corporate
and municipal market this week, the volume of new securities will be belojw
the weekly average over the past year. Almost half the corporate volume
consists of a $100 million offering of convertible preferred stock by ITT
All the municipal offerings are under $15 million. The week's volume will
be supplemented by a $15 million offering by New Brunswick Electric Power
Company.
Long-term Public Security Offerings—^
(In millions of dollars)

Corporate
State & Local Government
New Capital | Refunding New Capital I Refunding
Sold:
52 w e e k avg.
Sept. 22
Sept. 29

303

246

r/285
341

192
327

240

106

Scheduled:
Oct.

6

1/ Federal Reserve estimates are based upon published reports of
issues sold and scheduled for offering; corporate rights offering
are included as of date subscription rights expire.
Yields on new and seasoned corporate bonds advanced last week
and most new issues were well received. Although the large New England
Telephone and Telegraph offering got off to a slow start, it was said
to be 80 per cent sold by the end of the week.
Its difficulties stemmed
in part from the fact that the New York Telephone bonds, recently released
from syndicate price restrictions, were trading two basis points above the
NET&T bonds. Another syndicate--offering Delmarva Power & L i g h t — b r o k e
last w e e k and in free market trading the yield on this utility adjusted
upward by 11 basis points.
Yields on municipal bonds advanced significantly last week, but
new issue reception was only fair. As was the case the w e e k earlier, atjout
two-thirds of the offerings had been sold by the end of the week.




H. 14
Yields in Security Markets
Level Latest W e e k
Change from
preceding w e e k

High-Grade
Notes and Bonds
Corporate
5.89
5.66

New
Seasoned
U.S. Government
.

5.04
5.45

Long-term
3-5 year
State and local Govt.
Moody's Aaa
Std. & Poor's high grade

3.83
4.22

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

3.98

-

2

4,47
5.05
Corporate Bonds Still in Syndicate

Date
Offered

Amount
(millions of $)

Issuer

Reoffering
Rating
Yield

Estimated pr
portion sol

9/20

50.0

Rochester Gas & Electric
6-1/4's - 1997

6.10

Aa

50%

9/19

25.0

New Y o r k State Electric & Gas
6-1/4's - 1997
6.10

Aa

90%

9/12

10.0

Wisconsin Natural Gas
6-3/8's - 1992

6.25

A

55%

9/26

100.0

New England Tel. & Tel.
6-3/8's - 1992

6.06

Aaa

80%

Blue List of Municipal Dealers 1 Advertised Inventories
Latest W e e k
511(9/27/67)




End of Previous W e e k
507

Recent High
849(4/26/67)

H. 14

FNMA secondary market operations. Mortgages offered to the
Federal National Mortgage Association for purchase for its secondary market
portfolio increased by one-eighth in August, to $261.0 million. This
August total reflected some reduction in offerings from private holders [in
the last week of the month in response to the 1-1/2 per cent downward
adjustment in FNMA prices for eligible mortgages which became effective
on August 26. However, offerings since early September have reversed
direction again as mortgage interest rates have continued to rise, and
as secondary market prices have declined further, based on reports avail
able through August.
FNMA secondary market purchases were $198.3 million in August-more than double the expanding total for the previous month. This contrasted
sharply with the $17.8 million recorded as recently as last May.
Since they
lag offerings by some two months, purchases are likely to increase somewhat
further in coming months
Sales by FNMA in the secondary market in August were negligibl
as they have been for the past two years.
Savings flows. Total net savings inflows at depositary-type
institutions in August were $3,580 million, a considerable improvement
the year-earlier experience.
Commercial banks, with net inflows of $2,6jl4
million, accounted for most of the increase over last year far in August
1966 their net inflows had dropped to $719 million. Savings and loan
associations, with net inflows of $522 million, and mutual savings banks,
with net inflows of $320 million, also registered improvements over the
year earlier.
Stock prices. Common stock prices, as measured by Standard
and Poor's index of 500 stocks, established a new all-time high on Monde.;
but declined on balance during the week.
Having reached a high of 9 7 . 5 ^
the index dropped back to 96.71 by Friday's close, down 0.29 from the
previous Friday. Trading volume, averaging 10.2 million shares a day,
fairly heavy.
M o r e 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.




SAVINGS FLOWS

Year
or
Month

Commeireial Bantis 4/
Mutual Savings Banks 3/
Saving8 & Loan Assoc. 2/
Per cent
Change
Per cent Current
Change
Per cent . Current
Change
Current
change
from
(millions)
change
from
(millions)
change
from
Total (millions)
previous
previous
previous
1/
year
year
year
Unadjusted
20,070
27,901
29,100
28,957
31,953
19,557

,8,743
9,351
11,072
10,579
8,384
3,625

1,,184
608
1,,721
•493
-2 S,195
-4,,759

15.7
7.0
18.4
-4.5
-20.7
-56.8

1967 - M a r .
Apr.
May
June
July
August £ /

5,470
r/1,829
r/4,395
r/4,600
r/2,159
3,580

1,457
497
1,130
1,935
61
646

619
1 ,270
743
750
1 ,569
522

73.9

Mar.
Apr.
May
June
July
August £/

3,723
3,168
3,762
3,001
4,212
3,452

993
1,546 .
897
864
1,492
649

599
1,319
732
683
1,662
524

1961
1962
1963
1964
1965

1966

• • --

192.0
r/63.3
mmmm

421.0

1,912
3,038
3,255
4,236
3,582
2,557

550
1,126
217
981
-654
-1,025

40.4
58.9
7.1
30.1
-15.4
-28.6

9,415
15,512
14,773
14,142
19,987
13,651

3,703
6,097
-739
-631
5,845
-6,336

64.8
64.8
-4.8
-4. 5
41.3
-46.4

371
530
325
400
124
160

104.2

3,286
1,143
2,825
2,041
1,779
2,614

713
-427
1,149
308
32
1,895

27.7
-27.2

2,227 .
1,042
2,310
1,686
2,285
2,424

552
-374
1,250
272
84
1,866

33. 0
-26.,4
117.,9
19,,2
3,.8
334,.4

727
r/189
r/440
""" 622
319
320

--

281.7
177.7
63.6
100.0

68.6
17.8

1.8
263.6

Seasonally Adjusted
1967

152. 0
581.,1
443.,6
337,,3
'

-•

419,.2

503
580
555
451
435
379

357
553
335
385
134
165

244.5
— mm
152.3
583.3
44.5
77.1

1/ Commercial bank data are of the last Wednesday of month,except June 30 and December 31; other
~~ data are as of the last day of the month.
2/ Data are for the net increase in savings capital at all ope^.tJn» S&L 1 s*
Source: - FHLBB.
*3/ Data are for the net increase in Regular, djpor,i.ts--e;:cItides . cher deposits of a
~~ demand nature. Source: Mutual Savings Banks Association.
for 4/
FRASER
D a t a are for the net increase in savings and time deposits adjusted at all commercial banks.

Digitized
http://fraser.stlouisfed.org/
"" Source: Federal Reserve,
Federal Reserve Bank of St. Louis

EXHIBIT

A.

Pari

I

LONG-TERM B O N D YIELDS, HIGH-GRADE

1963



CORPORATE Aaa

U.S. GOVERNMENT
Long-term

,'V
S T A T E A N D LOCAL G O V E R N M E N T A a a
Moody's

1964

1965

1966

1967

1968

Exhibit A -- ParL II

Corporate
Aaa 1/

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

Sept.

1

8
15

22
29

4.61(1/29/60)
5.52(9/9)
4.73(1/7)
5.68(9/1)

5.00(2/10)
5.68
5.66
5.65
5.64
5.66

"] State and
U.S. Govt.
|
local
long-term 2/1 government
Aaa 3/

4.42(1/8/60)
4.87(9/2)
4.42(1/7)
5.04(9/29)
4.37(2/3)

4.96
4.93
4.96
5.01
p/5.04

j)/ Preliminary.
1 / Weekly average of daily figures.
2/ Weekly average of daily figures.
3/ Thursday figures.

3.65(9/24/59)
4.04(8/25)
3.39(1/13)
3.87(7/13)
3.25(2/9)

3.80
3.80
3.80
3.82
3.83

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

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

„92(4/22/60)
1.19(2/11)
.77(9/2)

.92
.44

1.21

.72
.73
.69
.63
P/t 62

1.16

.74

1.13

1.16
1.19

2/1.21

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 term is 2 0

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 B a a

S T A T E AND LOCAL GOVERNMENT B a a

1963




1965

1967

1961

Exhibit B —

Corporate
Baa 1/

Date

Part II

State and
local govt.
Baa 3/

Spread between
Aaa and Baa
Corporate

J

State and
local eovt.

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

Sept.




1
8
15
22
29

5.36(2/12/60)
5.04
6.18(12/30)
5.05(1/14)
6.41(9/29)
5.81(4/14)

6.35
6.38
c/6.41
6.38
6.41

4.46(1/7/60)
3.79
4.55(8/25)
3.78(1/20)
4.61(9/29)
3.85(4/13)

4.39
4.39
4.39
4.51
4.61

.84
.31
.81
.31
.82
.65

1.08
.39
.62
.31
.78
.37

.67
.72
r/.76
.74
.75

.59
.59
.59
.69
.78

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 R A T E S
GOVERNMENT
Weekly

6 - M O N T H BILLS
Market

3 - 5 YEAR I S S U E S

1963



Yields

F.R. DISCOUNT RATE

3 - M O N T H BILLS
Market

Yields

1965

1966

1967

1968

Exhibit C -- Part II

Discount
rate
__lZ

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

Sept.

1

8
15

22
29




4.00
4.50
4.50
4.50
4.50 .
4.50
4.00

4.00
4.00
4.00

4.00

4.00

3-month
bills U

4.59(1/8/60)
4.47
4.80
5.52(9/23)
4.39(6/24)
4.81(1/13)
3.41(6/9)

4.41
4.31
4.37
4.54
2/4.47

Yields
6-month
bills jj
(per cent)

|
1

5.07(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)

3-5 year
issues 2./

5.00(12/24/59)
4.90
4.86
5.83(9/2)
4.80(4/8)
5.45(9/29)
4.36(4/7)

5.05(9/29)
3.74(6/2)

4.86
4.82
4.93
5.04
B/5.05

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

5.33
5.32
5.39
r/5.44
-5/1x41.

[imiinl m

Che Federal

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

.79
.19
.12
.52
0 09
.62
.01

.92

.45
.51
.56
15
.50
£/-58

1.01
1.02
£/'.98
-

EXHIBIT

D,

P o r t "l

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 R A T E S ,
B A N K S A N D OTHER P R I V A T E B O R R O W E R S
Weekly

Per

PRIME RATE
FINANCE COMPANY PAPER
Directly

placed

1963



F.R. DISCOUNT RATE

FEDERAL FUNDS
Effective Rate

1964

1965

1966

1967

1968

cent

Exhibit D —

Date

Prime rate 1/

Part II

Finance
company
-paper 2/

Federal funds 3/

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

(per cent)
1959-60 - High
Y e a r end- 1964
1965
1966
1966 - Low
1967 - High
Low

5.00
4.50
5.00
6.00
5.00(3/4) .
6.00(1/6)
5.50(9/29)

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)
3.45(7/21)

1.02
.23
.28
1.08
.20
•97
.21

.34
3.60
4.75
5.50
1
.44
4.03
4.75
5.50
8
.38
3.98
4.75
5.50
15
.21
4.00
4.75
5.50
22
&
/
.
41
4.88
E/3.98
5.50
29
1/ W e e k l y rate shown is that in effect at end of period.
Prime rate is that
"" charged by large banks o n short-term loans to business borrowers of the highest
Sept.

2/
~
3/
~

credit standing.
Average of daily rates published by finance companies for directly placed paper
for varying maturities in the 90-179 day range.
W e e k l y average of daily effective rate, w h i c h is the rate for the heaviest
volume of purchase and sale transactions as reported to the Federal Reserve

B a n k of N e w York.
Note.-Highs and lows are for individual series and m a y be o n different dates for
different series. For spreads, high refers to widest, and low to narrowest.




EXHIBIT

E,

Pari

1

K MARKET
of

1941-43

dollars


1963


averag

100

PRICES

80
STOCK MARKET CREDIT

60

CHANGE IN SERIES
Millions

40
of

14
10

6

2

4

YIELDS
2
1964

1965

1966

1967

1968

Exhibit E —

Stock price
index 1/

1961-62 - High
Low
1966 - High
Low
1967 - High
Low
July
Aug.
Sept.

15
22
29

Common
stock
yields 2/
(per cent)

Part II

Trading
Stock market customer credit
volume 3/
Customers'
Bank
Total
(millions
debit balloans to
of shares)
ances^/
"others"5/
(In millions of dollars)

72.04(12/8/61)
52.68(6/22/62)
93.77(2/11)
73.20(10/7)
97,00(9/22)
82.18(1/6)

2.82
3.96
3.01
3.97

10.1
2.4
10.7
5.0/

3.03
3.58

12.1
6.9

93.01
94.49

3.14
3.11

96.27
97.00
96.71

5,602(12/61)
4,424(1/61)
7,997
7,302
8,898

4,259(12/61)
3,253(1/61)
5,835
5,169

1,418(5/9/62)
1,161(3/8/61)
2,241(7/6)
2,097(12/14)

7,345

6,603
5,290

2,055(2/1)

10.8
9.0

8,800
8,898

6,603
6,642 .

2,197
2,256

3.05
3.03

10.8
11.3

3.03

10.2

n. a.
n. a.
n,a.

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

2,281
2,308
n.a.

2,308(9/20)

n.a. Not Availab le. £ / Preliminary.
1/ Standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43=10.
Highs and lows are
Monthly data are averages of daily figures rather than of Friday's only.
for Friday's data only.
1
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/ End of m o n t h figures for member firms of the New Y o r k 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.




EXHIBIT F. Par. 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 ^
SECONDARY

MARKET O P E R A T I O N S
400

OFFERINGS

300

' 200

100

/PURCHASES V

SALES
1962




1964

1966

1968

Exhibit F - Part If
Estimated offerings i
to-FNMA
Immediate
Standby
purchase
commitment

Date

Total

Purchases
by
FNMA

Sales
by
FNMA

(In millions of dollars)
1966 - A u g .
Sept.
Oct.
Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.

150.7
140.4
167.5
163.6
121.5
67.9
24.4
26.9
17.8
78.7
229.1
232.8
261.0

148.7
138.5
164.2
161.0
120.1
67.3
24.2
26.7
17.7
78.5
228.8
232.6
260.6

2.0
1.9
3.3
2.6
1.4
.6
.2
.2
.1
.2
.3
.2
.4

112.5
95.5
107.2
132.0
130.5
125.0
84.2
50.9
20.6
17.8
26.9
81.2
198.3

-

.2
.9
.8
1.5
6.0
.9
.8

* — L e s s 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 which the
seller must deliver to FNMA within 45 days. A standby commitment contract relates to proposed mortgages on housing not yet under construction which the
seller must usually deliver within one year. Purchases include those uncer
both immediate purchases and standby commitment contracts. Data exclude FNMA
activity under Special Assistance and Management and Liquidating Programs




EXHIBIT

YIELDS O N

G,

Port

1

NEW AND SEASONED CORPORATE B O N D S

Weekly




Adjusted

to

Aao

Basis

NEW I S S U E S

SEASONED Aaa

U

4.0

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

Number
of
issues
Monthly averages:
1967 - Jan;
Feb.
Mar.
Apr.
May
June
July
Aug.

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

Number
of

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

4
6
7
20
20
14
23
14
17

496.0
481.0
1073.0
916.0
570.0
993.0
772.0
1125.0

5.38
5; 20
5.31
5;39
5.66
5.79
5.78
5.89

July 7
14
21
28

1
4
6
3

75.0
282:0
300.0
115.0

5.86
5.75
5.76
5.88

Aug. 4
11
18
25

2
4
5
3

310.0
283:0
220;0
102.0

5.82
5.84
5.92
5.99

Sept. 1
8
15
22
29

3
2
4
3
1

210.0
93.0
90.0
75.0
100.0

,

5.97
5.83
5.98
5.82
5.89

Weekly averages:
5.99(8/25)
High
5.11(2/10)
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.




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

New Car)ital

,

1967

Corporate
1966 p/

-

1965

1967

State and local 2/
1966 r/

1965

January
February
March

1,648
1,398 /
2,317

1,302
1,237
2,446

795
746
1,197

1,467 '
1,195 *
1,438 /

1,188/
858
865 J

804
872
904

April
May
June

1,973
1,474
2,611

1,553
1,058
2,364

1,152
1,691
1,946

1,110
1,210/
1,443

1,193/
901
1,141

826
924
972

July
August
September

2/2,466
e/2,400
7/1,800

1,039
1,670
1,382

1,290
850
1,392

925
e/ 800
1/1,325

701
773
1,020

986
648
966

October
November
December

e/1,800

829
1,085 4
1,635

924
1,325
1,496

e/1,050

755
969
940

794
1,021
754

1st
2nd
3rd
4th

5,363
6,058
ef6,666"

4,985
4,974
4,091
3,549 V

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

4,100^
3,763 V
e/3,050

2,911v
3,235^
2,494
2,664

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

11,42V
e/18,087 /

9,959
14,050
17,600^

7,527
11,060
14,805

7,874 '
e/10,924/

6,146 y
8,640 /
11,304 /

5,302
7,902
10,471

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

^

Excluding finance 'oompanies 3/
1st
2nd
3rd
4th
Year
C/

p/
1/
*2/
3/

5,207
5,913

Quarter
Quarter
Quarter
Quarter
.

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

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

17,269

13,366

-J

Preliminary. ^
Securities and Exchange Commission estimates of net proceeds.
investment Bankers Association of America estimates of principal amounts.
Total new capital issues excluding offerings of sales and consumer finance companies.




Exhibit I
New Corporate Security Issues, Type of Issue
and Issuer
(In millions of dollars)

Quarter
or
I Month

Total

Gross proceeds for new capital
and refunding 1/
Bonus
Common Memo:
Foreign
Publicly Privately and
pfd. issues
Offered
Placed
stock included

Net proceeds
2/
Mfg.

Other
Public CommuniUtility cations Is suers
392
567
417

1,418
1,309
918

it!

1,3.82

5,115
4,197
3,669

1,941
2,256
2,047

2.,083
1,,627
1,,247

1,090
314
375

168
154
117

2,205
1,558
1,232

".967 - I
5
II

5,464
6,208

3,263
4,017

1 3,811
1,,465

390
726

60
65

1:88

{1966 - Aug.
-Sept.
%
•<
Oct.
Nov.
Dec.

1,712
1,400
892
1,115
1,661

1 ,140
676
499
569
980

435
657
256
435
555

137
67
137
111
. 127

22
62
66
27
24

518
643
331
228
673

313
81
254
320
409

318
198
97
168
152

460
147
369
401

745
900
1 ,618
1,,368 965
1,,684
1,,888
1,,810

848
362
601
410
396
659
496
500

91
156
143
238
158
330

35
10
15
16
32
17

624
563
1 ,254
1;,128
588
1 ,298

220
274
503
394
403
471

293
105
145
107
91
350

511
456
415
343
393
492

215
190

208
n. a.

934
900

446

40

575

250

1,046
675

.966 - II
III
IV

|

1,684
1967 - J a n .
i
1,418
Feb.
2,362
Mar.
2,016
Apr.
May
1,519
June
2,673
2,599
July 2
Aug. e/ 2,500

j>/
1/
2/

960
657
984

Preliminary, e/ Estimated by Federal Reserve.
Gross proceeds""exceed net proceeds by the cost of flotation.
For total see Exhibit H; other issuers are extractive, railroad and other
transportation, real estate and finance, and commercial and other.
" S O U R C E : Securities and Exchange Commission.




1,228
522

L<2-

Exhibit J
Other Security Offerings
(In millions of dollars)

Gross Long-term If
Federal Agency 3/
Foreign Government 2/
1966
1965
1967
1966
1967
1965
130

January
February
March
April
May ;
June
July
August .
September
October
November
December

114
27
13
170
——

454

Year

Jan.

- July

"

218
——

38
73
—

303

91
33
74
5
52
75
2
420

597

661

74
68

Jan. - July

January
February
March
April
May .
June
July
August
September
October
November
December

12
40
40
66
69
76
72
7
50

1,251
783
750
.650
810
650
407

5,301

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

239
150
375
375
179

3,034

1,414

6,806

2,732

New short*term 4J
State and local Government 5/
Federal Agency
308
179
238
-179
103
-552
-24
387
91
39
-454
450
-594
-458
-319
-559
718
647
580
827
109
85
204
jd/ 404
462
93
284
-82
-334
2/-185
-158
-590
119
£/ 219
-103
408
-270
270
-652
152
-161
59
-555
-48
503
-283
274
219
-570
-366
1,237

Year

531
422

640
1,286

-1,700

129
185
325
-—

775
—

3/
-137
-174
117
-11
509
237
132
206
105
-309
202
-76

i
:
i
i
\
i
?
;

;
\
1

1,821

541

j

-310

801

]

£/
Preliminary, e/ Estimated by Federal Reserve, n. a . — N o t available.
1/ These data
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
subdividions and international organizations. Source; Securities and Exchange Commission:
3/ Issues not guaranteed by U.S. government. Sources Long-term, Securities and Exchange ;
Commission; short-term, Treasury Dept. & Fed. Reserve. .4/ These data differ from those
in Exhibit H and above in that they represent new offerings less retirements, 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
http://fraser.stlouisfed.org/
Reserve.

Federal Reserve Bank of St. Louis

H. 1 4
Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds o f Large Issues Offered
(In millions of dollars)

Total

%

;

1966 - Aug.
Sept.
Oct.
Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.

1,189
627
523
510
1,177
681
842
1,638
1,311
870
1,666
1,340
1,705

Corporaite
Bonds
Convertible
(other than
bonds
convertibles)
862
287
352
363
990
611
709
1,435
956
771
1,072
890
1,288

___

Stocks
80

257
340
116
97
118
30
40
140
213
55
409
317
350

! • •

State
and
local
governments

Other

410
611
387
464
779
947
675
669
512
496
875
483
473

55
50
68
40
93
63
142
44
185
133
67

%)

50
mmm

55
60
230
530
1,00,0
540
391
1 825
85
221

Large Individual Issues Offered During September

Issuer

Type U

Amount
(millions
of
dollars)

CPtmfte
Louisiana Pwr. & Lt. Co.
1st mtg. bds.
New Y o r k Telephone Co.
Ref. mtg. bds.
M o n o g r a m Industries
Conv. sub. debs.
Jersey Central Pwr. & Lt.
Company
1st m t g . bds.
Delmarva Pwr. & Lt. Co.
1st mtg. bds.
Harris-Intertype
Debs.
Northern Natural Gas
Cum. pfd. stk.
Parker-Hannif in
Conv. debs
Sylvania Electric Products S.F. debs.
Montgomery Ward Credited®?., S.F. debs.
Champion Spark Plug Co
Debs.
Amerace Corp.
Conv. sub. debs.
Rochester Gas & Electric Co, 1st mtg, bds.
Trane Company
Conv. debs
Levin Townsend
Conv. Sr. sab,debs.
Management Assistance Inc. Conv. debs




Maturity

Coupon
rate or
net interest cost

Rating

Offering
vield

1

18.0
75.0
25.0

1997
2007
1992

6-1/2
6
4

6.35
5.95
4.00

30.0
25.0
25.0
15.0
20.0
50.0
50.0
30.0
15.0
20.0
20.0
25.0

1997
1997
1992

6-5/8
6-3/8
6

6.45
6.30
6.16

1992
1992
1987
1992
1992
1997
1992
1987

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

4.00
6.29
6.50
5.91
5.00
6.15)
4.00 |
5.50

26.6

1987

6-1/2

6.501

|

A
Aaa
Ba
A
Aa
A

j

mm

Baa
-mm.

Aa
Baa
Aa
Baa
—

K-2
Large Individual Issues Offered During September

Issuer

Type-/

Amount
(millions
of
dollars)

Coupon
rate or
Maturity net interest cost

Offering
Yield

Rating

Corporate (Cont'd)
Data Processing Financial &
General Corp.
Portland Gen. Elec. Co.
U.S..Plywood-Champion
Paper, Inc.
New England Tel. & Tel. Co.
Sprague Electric Co.
Allied Stores Coq).

Conv. debs.
1st mtg. bds.

50.0
50.0

1987
1997

5-1/2
6.60

5.50
6.60

Baa

Com. stk.
Debs.
100.0
Conv. sub. debs. 25.0
Conv. debs.
50.0

2006
1992
1992

6.13
4-1/4
4-1/2

6.06
4.25
4.50

Aaa
Baa
Ba

—

'

State and local Government
Fairfax County, Virginia
Commonwealth of Puerto Rico
Minneapolis Spec. Sch. Dist.
~Pa. State Hwy. & Bridge
Authority
Pittsburgh, Pennsylvania
Jacksonville, Florida
State of M o n t a n a
Louis iana Cap. Cons tr i and
Imprw. Comm.
State of Washington
Los Angeles Dept. of Wtr. &
, Pwr.
Indianapolis Sch. Dist.
Indiana
School Dist. of Philadelphia
Kentucky State Property and
— Building Commission
Nashville & Davidson Cos.
Housing Assistance Admin.
Jefflerson Parish, La., ConsoL
Waterworks Dist. # 2
State of Hawaii
Purdue University
State of California
Milwaukee County, Wisconsin
Fairfax County Water Auth.
Fairfax County Water Auth.
Detroit, Michigan
Detroit, Michigan

G.O.
Bonds
G.O.

16.0
32.5
10.2

1969-83
1969-93
1969-79

4.31
4.36
3.71

3.50-4.70
3.60-4.35
3.20-3.70

Baa
Aa
Aaa

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

75.0
12.9
15.0
11.1

1970-89, ,
1968-871968-825, :
1968-97—

4.00
4.00
4.05
4.08

3.60-3.98
3.60-3.98
3.15-4.00
3.30-4.15

A
A
Aa

Rev.-S.T.
Rev.-S.T.

25.0
35.9

1968-87 7 y
1968-92—

4.26
4,35

3.20-4.25
3.30-4.35

A
Aa

Rev.-Ut.

21.0

1968-97

4.16

3.10-4.20

Aa

G.O.
G.O.

11.9
35.0

1969-96
1969-92

4.01
4.18

3.20-4.05
3.40-4.25

Aa
A

Rev. -Rent
Rev. -Ut.
Bonds

45.5
25.0
105.4

1971-2000 R / 5.10
1969-2007- 4.51
3.96
1968-2008

4.20-5.20
3.50-4.50

Rev.-Rent
Rev.-Rent
Rev. -Rent.
G.O.
G.O,
Rev.-Ut.
Rev.-Ut.
G.O.
G.O.

14.0
20.0
10.4
100.0
10.7
14.0
41.0
15.7
15.0

1969-97
1997
1995-97,.
1969-93-/
1968-77
1970-87
1970-87
1968-1992
1969-78

4.00-5.20
5.20
3.60-4.75
3.30-4.15
3.10-4.00
4.00-4.80
5.00
3.50-4.90
3.70-4.55




5.20
5.32
4.72
4.08
3.93
5.04
5
4.92
4.60

—

——

—

A
Aaa
—

Baa
A
——

Aaa
Baa
Baa
Baa
Baa

K-3
Large Individual Issues Offered During September

Issuer

Type^

Amount
(millions
of
dollars)

Coupon
rate or
Maturity net interest cost

OfferRating
ing
Yield ,

State and local Govt. (Cont'd)
City of Los Angeles, Calif.,
Dept. of Airports
Cressett, Arkansas
Crossett, Arkansas
State of Rhode Island
f

Kingdom of Denmark ***
••Finland
Quebec Hydro EleCo Comm.
iFNMA
[Montreal Catholic Sch. Comm.
^Alberta Gov't Telephone Comm.

/
/

'
'

1968-97
1992
1971-77
1968-87

5.08
5-5/8
5-5/8
4.11

3.50-5.101
5.63
4.40-5.10

1982
1987
1992
1970
1992
1992

6-3/4
7
6-1/2
5-3/4
6-3/4
6-1/4

6.85
7.22
6.50
5.82
6.88
6.35

Baa

Bonds
Bonds
Debs.
Debs.
Debs.
Debs.

25.0
15.0
50.0
250.0
25.0
35.0

A
Aa

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 and Development
issues and non-guaranteed issues by Federal Agencies.
In the case of State and local Government Securities, G.O. denotes general obli;gations;
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 boi
T mds
secured by revenue from specific taxes only; Rev.-Rent., revenue bonds secured solely by
lease payments.
Bonds due 1968-1971 not publicly reoffered.

Bonds
Bonds
Bonds
Bonds
•* Issue

'

40.0
59.7
15.3
13.9

Other

I

7

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

due 1997 were not reoffered.
due 1993 were not reoffered.
due 1992 were not reoffered.
due 2006-07 were not reoffered.
subject to interest equalization tax.




H.14
Exhibit L
Forthcoming Largo Long-term Public Security Offering for New Capital
(Other than 0.8. Treaaury) JL/
Expected Proceed# from forthcoming Large Iaeuea
(In million# of dollara)

During month following
date shown
State and
Other 2/
Corporate
local govt.
1966 - Aug.
Sept.
Oct.
Nov.
Dec.
1967 - J a n .
Feb.
Mar.
Apr.
May
June
July
Aug.

40

515
300
140
496
939
780
508
227
326
596
401
512
783

662
31
687
30
397
31
1,098
30
656
30
486
31
1,410
28
767
31 t
963
30
1,449
31
1,636
30
1,261
31
694
31

80
530
250
70
100
40
100

Corporate
853
767
457
1,133
811
706
1,534
905
1,262
2,065
1,922
1,576
1,335

Subaequent to
date ahown
State and
local govt.

Other If f
90
85
35
65
95
545
265
15
85
115
70
150
159

685
390
175
571
1,154
851
528
247
346
616
402
575
903

Forthcoming Large Offerings as of September 29.

Iaauer

Alabama Power
Columbus and So. Ohio Electric
' ITT
Columbia Gas
'* Orange and Rockland Utilities
.United Aircraft
Metropolitan Edison
Southern N e w England Tel. & Tel.
Carolina Power & Light
*Household Finance
Northern State Power
Detroit Edison
New England Power
W i s c o n s i n Public Service
SCM Corp.
*Philadelphia Electric
*Gannett
Inc.
Digitized
forCo.,
FRASER
^Transcontinental Gas Pipeline



Type

Amount
(million#
of
dollara)

1st mtg. bds.
1st mtg. bds.
Conv. pfd. stk.
Debs.
1st mtg. bds.
Conv. sub. debs.
Debs.
Com. stk.

28.0
15.0
100.0
25.0
23.0
119.8

1st mtg. bds.
Debs.
1st mtg. bds.
Conv. cum. pfd. stk.
1st mtg. bds.
1st mtg. bds.
Com. stk.
Com. stk.
Com. stk.
1st mtg. p.l. bonds

40.0
100.0
30.0
96.1
15.0
25.0
30.0
40.0
15.0
50.0

20.0
27.0

Approximate date of
offering

October
October
October
October
October
October
October
October

3
4
4
5
10
10
10
13

October
17
October
17
18
October
18
October
19
October
October 25
October 30
November
1
Indefinite
Indefinite

Forthcoming Large Offerings as of September 29 (Cont'd)

Issuer

Type

Amount
(millions
of
dollars)

Approximate date of o:ffering

Corporate (Cont'd)
C.I.T. Financial Corp.
1 Owens-Illinois Inc.
Pacific Southwest Airlines
; Penn-Dixie
Montana Power
: Lincoln First Group

Debs.
Conv. sub. deb.
Sub. debs. w. wts.
Cony. debs.
1st mtg. bds.
Deb.

75.0
50.0
50.0
20.0
30.0
15.0

z

-

Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

1

State and local Government
Los Angeles, Calif., Dept. of
Water & Power
Kentucky Turnpike Authority
Atlanta, Georgia
Houston, Tex., Ind. Sch. Dist.
'Elizabeth, N. J.
Penna. State Sch. Bldg. Auth.
; Los Angeles Co. Flood Control
Dist.
New York City
•San Francisco B.A.R.T.
Baltimore, Maryland
Oklahoma City Airport Trust,
Oklahoma

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

15.0
120.0
12.5
39.8
10.1
25.0

September
October
October
October
October
October

30
1
2
3
10
17

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

25.0
119.1
70.0
27,8

October
October
October
October

17
17 '
25
26

Rev.-Rent.

17.0

October

S.F. Debs.
Bonds
Bonds
S.F. Debs.

15.0
60.0
15.0
. 35.0

Other
New Brunswick Electric Power
Comm.
Tennessee Valley Authority
New Zealand
Province of Nova Scotia

October
November
Indefinite
Indefinite

4
1

* — I n c l u d e d 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.




f

2$

Exhibit H
Foreign Government and Corporate Security Offerings
and Placements in the United States
Part Is

Sale Date

Amount
(millions
of
dollars)

Public Offerings

Issuer and Description of Issue

A.

Sold Sept. 1 through Sept. 29, 1967.

9/6

25.0

Kingdom of Denmark*** -- 6-3/4% external loan
bonds maturing 1982, reoffered to yield 6.85.

9/7

15.0

Finland — 7% Bonds maturing 1987, reoffered to
yield 7.22%.

9/20

50.0

Quebec Hydro-Electric Commission — 6-1/2%
debentures maturing 1992, reoffered to yield
6.50.

B.

Indefinite
Indefinite

15.0
35.0

Prospective Offerings

New Zealand — Bonds ***
Province of Nova Scotia —

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




S.F. debentures.

M-2
PART II:

Date Reported

9/8

Private Placements - Reported Sept. 1 through Sept. 29, 1967.

Amount
(millions
of
dollars)
41.7

Issuer and Description of Issue

St. Anne — Nackawic Pulp & Paper Co., Ltd. 1st mtg. notes
maturing 1987 — no information available on takedown.

9/18

3.8

Compania Desarrolladora Panamena, S.A. — 5-1/4% notes
maturing 1987 — no information available on takedown.

9/25

6.5

Northern & Central Gas Co. Ltd., — 6% sub. no1:es maturing
1987 — no information available on takedown,

9/25

18.0

Traders Group, Ltd. — collateral notes maturing 1987 —
no information available on takedown.

jNote: For retrospective data on aggregate foreign corporate and government security
|offerings in the United States see Exhibits I and U. There is no simple relationship
j 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
w h e n reported, frequently with little or no information concerning timing of takadown.
Full or partial takedown m a y take place both prior and subsequent to the date a placement
is reported.