Full text of H.16 Capital Market Developments : October 23, 1967

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

DECONTROLLED AFTER SIX M O M S
October 23, 1967.

Not for Publication
H. 14
-

f
-

, » 3 ? idb?

^CAPITAL M A R K E T S ^DEVELOPMENTS
i N T H E f U N l T E b "STATES

1

Cbgporate and municipal bond markets. The volume of new corpor
itid Autlicipai securities expected this week will be well above the weekly
avegagu uvwi the past year. The corporate offerings will be heavily domi
nated by Standard Oil of New Jersey's $250 million of debentures, while
municipal offerings will feature $87 million of New York State bonds.

1/

Long-term Public Security O f f e r i n g s (In millions of dollars)

Corporate
New Capital 1 Refunding

State & local Government i
New Capital 1 Refunding

Sold:
52 weeks avg.
October 13
20

315

1

245

6

r/320
407

65

r/336
343

--

|
j

|

Scheduled:
October 27
JL/

378

356

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 and finally a level was found at which new issues were saleable. At
6.44 per cent, the yield on Northern States Power's bonds (rated.Aa With
five year call protection) broke all records for the past 100 years including
the one — 6.375 per cent — set the day before by a similar issue. The
former, in fact, went to a premium, to yield 6.41; the latter was the only
unsuccessful offering of the week. With such rapidly advancing yields,
however, price restrictions were terminated on five separate issues. Among
these was one offered only a w e e k earlier, and in free market trading th^
yield on this issue advanced 20 basis points.
Yields on municipal bonds were essentially unchanged last w e e k
and in this market too a significantly larger proportion — 8 0 per cent
of the new issues were sold by the end of the week. New York City's largi




H. 14

-2-

Yields on Security Markets
Level Latest Week
High Grade .
Notes and Bonds

Change from
preceding week

Corporate
New
Seasoned

6.34
5.83

+27
+7

5.24
5.55

+14
+ 7

3.82 ,
4.35

-1
+4

3.92

-14

4.61
5.11

+ 4

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

+ 8

Corporate Bonds Still in Syndicate
Amount
(millions of $)

Date
Offered

Issuer

Reoffering
Yield

10/18

50.0

Transcontinental Gas
Pipeline,
6-3/4's - 1988

6.75

10/17

40.0

Carolina Power & Light,
6-3/8's - 1997

6.38

10/17

100.0

Household Finance,
6-3/8's - 1988

6.49.

Philadelphia Electric,
6-1/8's - 1997

6.10

75.0

10/9

Rating

95%

Aa

425(10/18/67)




End of Previous Week
351

20%
90%

Aaa

Blue List of Municipal Dealers' Advertised Inventories
Latest Week

Estimated proportion sold

Recent High
849(4/26/67)

25%

H.14

-3-

offering was virtually sold out, but a rather large proportion of the
issue — all the shorter maturities -- was taken by several of the bank
underwriting the offering.
Private housing starts and permits.
Seasonally adjusted housing
starts, which had advanced sharply during the summer months, continued
upward in September to a seasonally adjusted annual rate of 1,457 thousand.
The September advance -- which was also associated with upward revisions
for July and August -- brought the average for the third quarter as a whole
to 1,410 thousand, a sixth above the improved second quarter average and
the highest rate; since the first quarter of 1966.
A major factor in the further rise in September was a very substantial recovery in starts in the Northeast from a temporarily reduced
August rate. This more than offset declines which occurred in all other
regions except the West. Government underwritten mortgages accounted for
16.6 per cent of total starts in September. This proportion compared with
only 14.5 per cent a year earlier, but was less than in September of most
other recent-years.
Seasonally adjusted building permits in permit-issuing areas
also rose further in September, to an annual rate of 1,159 thousand. Most
of the rise was concentrated in multifamily units, which advanced 5 per
cent after an upward revision for August.
Stock market credit. Total customer credit rose sharply in
September to a new high of $9,162 million> and most of the $293 million
increase was attributable to a $218 million increase in customers 1 net
debit balances. Bank loans to others, however, also showed a relative
sharp increase of $75 million — the highest in over a year. With stock
prices rising during the month, customers 1 net free credit balances ic
$120 million, thereby providing funds for over half of the customer
newly extended by brokers and dealers.
Stock prices. Common stock prices declined somewhat last vieek
in heavy trading. At the close Friday, Standard and Poor's index of 500
stocks stood at 95.38, down 0.72 from the previous Friday. Trading volume
averaged 10.2 million shares a day.
More detailed information concerning recent capital market
developments is presented in the attached exhibits.

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




H.14

STOCK MARKET CREDIT
(In millions of dollars)

Months
Total

Customer
Net Debit
balances with
NYSE member
firms

Broker & Dealer Credit
Credit
Customers 1
Money
Bank loc'ns to others
net free
Borrowed
than brokers and
dealers for purchas- Cust. Other credit
balances
coll.
coll.
ing & carrvi ntr secur.

Outstanding:
1955-56 High

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

1,255 (4/56)

1,873

430

1,069 (1/55)

1957-58 Low

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

1,060 (11/57)

1,344

188

807 (4/57)

1,373
1,121
1,377
1,269
1,727
1,865

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

318
237
385
235
597
446

1,257 (3)
940 (4)
1,508(4)
1,091 (9)
1,211 (11)
1,192 (8)

1,974
2,184

3,393
2,889

517
687

1,169
1,666

2,114
2,337

2,673
n. a.

799
n. a.

1,637
2,401

-223 -19
-232 -51
-30
45
76 230
-382 -170
n. a. n. a.
n. a . n. a.
n. a,. n.a.
n. a,, n. a.
n. a,. n.a.
n. a,. n. a.
n.a,. n. a.
n.a. n.a.

-67
-8
12
105
277
22
199
-57
142
11
110
-60
120

1959
1960
' 1961
1962
1963

-

High
Low
High
Low
High

1965 - Low
1964
1965
1966
1967

7,053
7,705
7,443
9,162

5,079
5,521
5,329
6,825

-286
-223
50
91
-98
70
393
161
116
248
. 467
r/ 69
293

-254
-186
48
112
-39
59
369
101
107
240
437
r/4
218

-

Dec.
Dec.
Dec.
Sept.

(4)
(5)
(12)
(7)
(11)
(7)

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

4,764
4,142
5,602
4,876
7,298
6,833

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

.

(5)
(5)
(8)
(9)
(12)
(2)

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

-32
-37
. 2
-21
-59
11
24
9
8
30
r/65
"" 75

Note: W i t h the exception of bank loan data, figures are reported to the New York Stock
Exchange by member firms carrying margin accounts. Bank loans to others than brokers and
dealers for purchasing and carrying securities are for weekly reporting member banks. Net
debit balances and customer free credit balances are as of the end of the month; bank loans
and money borrowed are reported for the last Wednesday of the month. Numbers in parenthesis
denote month of year. All figures exclude credits on, or to carry, U.S. Govt, securities.,
r/ Revised,

n.a.-= not available.




EXHIBIT

A. Port 1

LONG-TERM BOND YIELDS, HIGH-GRADE

C O R P O R A T E All
Meedy's

U.S. G O V E R N M E N T
long-Urm

/V

r
STATE A N D LOCAL G O V E R N M E N T Aaa

1963



1966

Exhibit A -- Pari. 11

1
I

Date

Corporate
Aaa 1/

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

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

4.42(1/8/60)
4.87(9/2)
4,42(1/7)

1
1959-60 - High
1966 - High
Low
1967 - High
Low
Sept.

22
29

3.65(9/24/59)
4.04(8/25)
3.39(1/13)

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)

5.83(10/20)
5.00(2/10)

5.24(10/20)
4.37(2/3)

3.87(7/13)
3.25(2/9)

.92
.44

1.42
.74

5.64
5.66

5.01
5.04

3.82
3.83

.63
.62

1.19
1.21

.68
1.21
3.83
5.72
5.04
6
.66
1.27
3.83
5.76
5.10
13
3-82
5.83
£/5.24
£/.59
&/1.42
20
£/ Preliminaryc
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
Oct.

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.




EXHIBIT e, Port I

CORPORATE 111

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

V "

1963



1965

1966

1968

Exhibit B -- Part II

State and
local govt.
Baa 3/

Corporate
Baa 1/

Date

Spread between
Aaa aiid Baa
State and
Corporate
local aovt'.

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

5.36(2/12/60)
5.04
6.18(12/30)
5.05(1/14)
6.53(10/20)
5.81(4/14)

4.46(1/7/60)
3.79
4.55(8/25)
3.78(1/20)

.84
.31
.81
.31

4.64(10/13)
3.85(4/13)

.82
.65

.81
.37

1.08
.39
.62
.31

Sept.

22
29

6.38
6.41

4.51
4.61

.74
.75

.69
.78

Oct.

6
13
20

6.45
6.46
6.53

4.64
4.64
4.51

.73
.70
.70

.81
.81
.69

Note:

For footnotes see Exhibit A.




SHORT- A N D INTERMEDIATE-TERM INTEREST RATES
GOVERNMENT
Weekly

3-5 YEAR ISSUES

F.I. •ISCIUNT RATE
3-MONTH BILLS

1963



1965

1966

1967

1968

Exhibit C -- Part II

Discount
rate
1/

Date

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

3-month
bills U

Yields
6-month
bills 2/
(per cent)

|
I

3-5 year
issues U

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

.79
.19
.12
.52
.09

1.81
.43
.06
.78
.01

4.00
4.50
4.50
4.50
4.50

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

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

5.00(12/24/59)
4.90
4.86
5.83(9/2)
4.80(4/8)

4.50
4.00

4.81(1/13)
3.41(6/9)

5.11(10/20)
3.74(6/2)

5.55(10/20)
4.36(4/7)

.62
.01

1.61
.02

Sept.

22
29

4.00
4.00

4.54
4.47

5.04
5.05

5.44
5.45

.50
.58

.90
•98

Oct.

6
13
20

4.00
4.00
4.00

4.47
4.57
]>/4.61

5.04
5.03
2/5.11

5.44
5.48
2/5.55

.57
.46
W.50

.97
.91
P/.94

1/ Weekly rate shown is that in effect at end of period at the Federal Reserve Bank of
New York.
.
2/ Market yield; weekly averages computed from daily closing bid prices. Series of ->-5
year issues consists of selected notes and bonds.
Note--Highs and lows are for individual series and may be on different dates for
different series. For spreads', high refers to widest, and low to narrowest.




txHiri 6

ui'FI5

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




PRIME RATE

F.R. DISCOUNT RATE
FEDERAL FUNDS

1964

1965

1966

1967

1968

Exhibit D —

Prime rate 1/

Date

Part II

Finance
company
-paper 2j

Federal funds 3/

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

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

4.00(5/13/60)
4.00
4.63
5.63
3.55(1/21)

1.02
.23
.28
1.08
. .20

5.00
4.50
5.00
6.00
5.00(3/4)

5.13(1/22/60)
4.06
4.75
5.88
4.75(1/7)

6.00(1/6)
5.50(10/13)

5.75(1/6)
4.38(6/23)

5.25(1/6)
3.45(7/21)

.97
.21

Sept.

22
29

5.50
5.50

4.75
4.88

4.00
3.97

.21
.41

Oct.

6
13
20

5.50
5.50
5.50

4.88
5.00
5.00

4.10
4.06
2/3.92

.41
.43
]>/.39

1/ Weekly rate shown is that in effect at end of period.
Prime rate is that
charged by large banks on short-term loans to business borrowers of the highest
credit standing.
2/ Average of daily rates published by finance companies for directly placed paper
for varying maturities in the 90-179 day range.
3/ Weekly average of daily effective rate, which is the rate for the heaviest
volume of purchase and sale transactions as reported to the Federal Reserve
B a n k of New York.
Note.-Highs and lows are for individual series and tnay be on different dates for
different series. For spreads, high refers to widest, and low to narrowest.




EXHIBIT E. Port 1

•illlom

1941-43 av#rage= 10

of dollori

PRICES

STOCK MARKET CREDIT
* CHANGE IN SERIES
Million! of i h o r e i

14
'

-

-

10

VOLUME

-

Aj\J\

-

6
-

2

YIELDS
ii. ii ii ii > i i i i i i i i i n ii i i i i i i i 1i i ii iill i I I i- ii- ii i i II ill i li M i i i i i r i i
1967
1966
1964
1965
1963



Exhibit E —

Stock price
index 1/

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

6
13

20

Common
stock
yields 2/
(per cent)

Part II

Stock market customer credit
Trading
Customers
Bank
volume 3/
debit balloans to
Total
(millions
"others"5/
ances 4/
of shares)
(In millions of dollars)

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

2.82

82.18(1/6)

3.96
3.01
3.58
3.01
3.58

94.49
95.81

3.11
3.07

9.0
10.3

97.26
96.00
95.38

3.01
3.05
3.08

10.2
10.2

10.1
2.4
10.7
5.0

12.1
6.9

5,602(12/61)
4,424(1/61)
7,997
7,302
9,162
7,345
r/8,869
9,162

4,259(12/61)
3,253(1/61)
5,835
5,169
6,825
5,290
r/6,607
6,825

9.9

n.a.
n.a.

1,418(5/9/62)
1,161(3/8/61)
2.241(7/6)
2,097(12/14)
2,337(9/27)
2,055(2/1)

r/2,262
r/2,337
2,431
2,446

n.a. Not Available, p / P r e l i m i n a r y . r / revised.
1/ Standard and Poor's composite index of 500 common stocks, weekly closing prices, 1941-43=10.
Monthly data are averages of daily figures rather than of Friday's only. Highs and lows are
for Friday's data only.
2/ Standard and Poor's composite stock yield based on Wednesday data converted to weekly closing
prices by Federal Reserve. Yields shown are for dates on which price index reached its high
or low.
3/ Averages of daily trading volume on the New York Stock Exchange. Year-end figures are averages
of daily figures for the year.
4/ 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.




EXHIBIT f. Fori 1

PRIVATE HOUSING STARTS A N D PERMITS
2.0
SEASONALLY ADJUSTED DATA
HOUSING STARTS

BUILDING PERMITS

P"ER CENT OF UNADJUSTED TOTAL STARTS

MULTI-FAMILY

GOVERNMENT UNDERWRITTEN
1961

1962

1963




1964

1965

1966

1967

1968

Y

v

Exhibit F - Part II

tiding

Starts I T

Ilnad lusted
Type of financing Type of housing
Multi1-2
Seasonally adjust- Unadjusted
Other
family
VA
family
FHA
ed annual rate

•emits

easonWlly
adjusted
annual
2/

(Thousands of units)
1966 - Sept.
Oct.
Nov.
Dec.
1967 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.

1,048
845
975
931

1,111
1,149
1,094
1,116
1,274
1,233
r/1,369
r/1,403
1,457

89
77
73
60
59
61
92
114
132
125
125
127
123

10
9
10
10
10
9
14
12
18
19
15
17
16

76
3
64
3
60
3
2
48
46
3
49
3
74
,4
97
4
109
5
101
5
5 r/106
6 r/104
102
5

61.7
57.0
52.7
40.3
41.8
42.3
68.8
83.5
92.3
90.6
r/86.8
r/87.4
81.3

27.3
19.6
20.1
19.8
17.2
19.2
22.7
30.2
39.8
34.8
r/38.4
r/39.5
41.3

733
714
715
759
942
894
928

warn
1 ,028
1 ,033
1 ,109
1 ,093
r/1 ,127
159

cid
units

guarfield
re
been
e
iy
tiy con-

"liiiiSliiii
areas
ginning
places,
lent
diff-

erences in timing and coverage.

r/

revised.




,

EXHIBIT

G, Port 1

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




8.5

A d j u i U d le

Aaa

Basil

N E W ISSUES

1.0

5.5

5.0
SEASONED Aaa

4.5

4.0
1965

1966

1967

1968

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

Number
of

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

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

M o n t h l y averages:
1967 - Jan.
Feb.
Mar.
Apr.
May .
June
July
Aug,
Sept.

6
7
20
20
14
23
14
17
10

496.0
481.0
1073.0
916.0
570.0
993.0
772.0
1125.0
358.0

5.38
5.20
5.31
5.39
5.66
5.79
5.78
5.89
5.88

Aug.

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

6
13

3
3

68.0
118.0

6.14

20

3

85.0

/
<

Oct.
Weeklv averages:
High
Low

6.34(10/20)
5.11(2/10)

4
11
18
25

6.07
6.34

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.




'7SJ
Exhibit H
Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions'of dollars)

New Capital
1967

Corporate 1/
1966 p/

1965

1967

State and local 2/
1966

1965
804
872
904

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

April
May
June .

1,973
1,474

1,152
1,691
1,946

1,110
1,210

1,193
901
1,141

826

2,611

1,553
1,058
2,364

2,466
f/2,440
e/1,675

1,039
1,670
1,382

1,290
850
1,392

925
e/ 800
7/1,250

701
773

986
648
966

829
1,085
1,635

924
1,325
1,496

e/1,050

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

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

4,100
3,763
e/2,975

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

2,580
2,722

7,527

7,874
e/10,838

6,146
8,640
11,304

5,302
7,902
10,471

July
August;
September
October
November
December

e/1,800

•1st
2nd
•3rd
4th

5,363
6,058
e/6,561

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

11,421
e/ 18,002

9,959
14,050
17,600

11,060
14,805

1,443

858
865

1,020
755
969
940

924
972

794

1,021
754

2,600
2,569

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

Quarter
Quarter
Quarter
Quarter

5,207
5,913

Year
e/
£/
.1/
2/
3/

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

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

17,269

13,366

Estimated by Federal Reserve.
Preliminary.
?
Securities and Exchange Commission estimates of net proceeds.
^
Investment Bankers Association of America estimates of principal amounts.
Total new capital issues excluding offerings of sales and consumer finance companie^




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

Quarter
or
Month

Total

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

Net procee<jii
for new capital 1/
Mfg.

Public Commun:
Utility cations

1966 - III
IV

4,197
3,669

2,256
2,047

1,627
1,247

314
375

154
117

1,558
1,232

657
984

567
417

1967 - I
- II
III e/

5,464
6,208
6,836

3,263
4,017
4,576

1,811
1,465
1,596

390
726
664

60
65
225

2,442
3,014
2,877

997
1,268
1,140

543
548
571

643
331
228
673

81
254
320
409

198
97
168
152

624
563
1,254
1,128
588
1,298
934
1,243
700

220
274
503
394
403
471
446
509
185

293
105
145
107
91
350
40
356
175

1966

Sept.
Oct.
Nov.
Dec.

1,400
892
1,115
1,661

676
499
569
980

657
' 256
435
555

67
137
111
127

62
66
27
24

1967

Jan.
Feb.
Mar.
Apr.
May
June
July
Aug. £ /
Sept,e/

1,684
1,418
2,362
2,016
1,519
2,673
2,599
2,572
1,725

745
900
1,618
1,368
965
1,684
1,888
1,813
875

848
362
601
410
396
659
496
450
650

91
156
143
238
158
330
215
249
200

35
10
15
16
32
. 17
208
17
n. a.

£/
Preliminary, e/ Estimated by Federal Reserve.
1/ Gross proceeds""exceed net proceeds by the cost of flotation.
~2J 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.




2/

Exhibit J
Other Security Offerings
(In millions of dollars)

Gross Long-term 1/
Foreign Government 2/
1965
1966
1967
130

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

114
27
13
170
535

12
40
40

66
69
76
72
7
50

989

Year

218
38
73

1,251
783
750
650

810
650
407
250

68

91
33
74
5
52
75
2

382

532

5,551

597

661

74

Jan. - Aug.

Federal Agency 3/
1965
1966

1967

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

129
185
325
775

239

239
150
375
375
179

4,917

1,653

6,806

2,732

800

.New short-term 4 7 "
Federal Agency 37"
"^37
308
-179
-174
-24
-552
117
450
-454
-11
718
-559
509
85
109
237
284
93
132
-590
-158
206
-270
-262
105
-652
-309
-555
202
-283
-76
219

State and local Government 5/
238
103
179
91
39
387
-458
-319
-594
647
580
827
204
462
515
-82
-334
-128
119
-103
£/ 219
408 .
270
£ / -31
152
-161
59
-48
274
503
-366
-570

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

•*•1
Jan. - Aug*

£/

1,374


Reserve.


698

422

1,167

1,286

-1,962

961

879

-310

801

H. 14

^

Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) J L /
Proceeds of Large Issues Offered
(In millions of dollars)

Total

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

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

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

794

473

Stocks

State
and
local
governments

Other 2/

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

55
50
68
40
93
63
142
44
185
133
67

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

55
60
230
530
1,000
540
391
825
85
221

257

65

847

400

50

Large Individual Issues Offered October 1 through October 20.

Issuer

Type 2/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or . Offeitrnet intering
est cost
yield

Rating

Corporate
Lincoln First Group
Columbus & So. Ohio Elec.
ITT
Alabama Power
Columbia.Gas
CIT Financial
•United Aircraft
Penn-Dixie
Orange & Rockland
Utilities
•Southern New England Tel.
and Tel.
Metropolitan Edison
Household Finance
Carolina Power & Light
Northern States Power
Detroit Edison

Debs.
15.0
1st mtg. bds.
15.0
Conv. pfd. stk. 100.0
1st mtg. bds.
28.0
Debs.
25.0
Debs.
75.0
Conv. sub. debs.119.8
Conv. debs.
20.0

1992
1997

6-1/4
6-1/4

6.33
6.20 -6.24

1997
1997
1986
1992
1987

6.56
6-5/8
6-3/8
4-1/2
5

6.56
6.60
6.42
4.50
5.00

1st m t g . bds.

23.0

1997

6-1/2

6.48

Com. stk.
Debs.
Debs.
1st mtg. bds.

27.0

40.0

1992
1988
1997

6-7/8
6-3/8
6-3/8

6.70
6.49
6.44

Aa

30.0

1997

6.51

6.44

Aa

1st mtg. bds.
Conv. cum. pfd.
stk.




20.0
100.0

96.1

Aa
A
A

;

Ba
Ba
.

A

A
M

K-2
Large Individual Issues Offered October 1 through October 20

Type 3 /

.Issuer

Corporate

Coupon
rate or
OfferM a t u r i t y net inter- ing
est cost
vie Id

Rating

(Cont'd)

Transcontinental Gas Pipeline
New England Power
State and

Amount
(millions
of
dollars)

1st mtg. P L
bonds
1st mtg. bds.

50.0

1988

6-3/4

--

Baa

15.0

1997

6-7/8

6.70

Aa

local Government

Atlanta, Georgia
C i t y of C h e y e n n e , Wyoming
New York City
-Pa. State Sch. B l d g . Auth.
L o s Angeles Co. Flood
Control DistState of Connecticut
St. Paulj Minnesota

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

12.5
5.02
1969-98
20.0
1968-87
.5-1/2
119.1
1969-98
4/4.91
25.0" 1970-2007"" 4.50

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

25.0
58.0
10.4

S.F. debs.
Deb.

15.0
1992
35.0. 1992

1969-95
1968-87
1968-97

4.41
4.04
4.15

3. 40-5.00
4. 3 0 - 5 . 5 0
4. 00-4.90
3.80-4.70

Baa

3. 5 0 - 4 . 4 0
3. 30-4.05
3. 20-4.15

Aa
Aaa
Aa

—

Baa
--

Other
New B r u n s w i c k Elec. Pwr.
Comm.'
Province of Nova Scotia

6-1/2
6-1/2

6.60
6.75

A
A

*
Rights offering,
1/ Includes corporate and other security offerings of $15 m i l l i o n and over; State and
local * security offerings of $10 m i l l i o n and over.
2/ Includes foreign government and International B a n k for R e c o n s t r u c t i o n and D e v e l o p ment issues aind' non-guaranteed issues by Federal Agencies.
3/ In the case of State and local Government Securities, G . O . denotes general
obligations; Rev.-Ut., revenue obligations secured only b y income from public
utilities; Revo-Q.-Ut., revenue bonds secured only b y income from quasi-utilities;
Rev.-S.To, revenue bonds secured by revenue from specific taxes only; Rev.-Rent.,
revenue bonds secured solely b y lease payments.
4/ Bonds maturing 2007 were not reoffered.




H. 1 4
Exhibit L
Forthcoming Large Long-term Public Security Offering for
(Other than U.S. Treasury) If

Capital

Expected Proceed# from Forthcoming Large Iaeuea
(In millions of dollars)

During month following
imtM A n n
State and
Other If
Corporate
local

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

687
30
397
31
30 • 1,098
656
30
486
31
1,410
28
767
31
963
30
1,449
31
1,636
30
1,261
31
694
31
534
30

300
140
496
939
780
503
227
326
596
401
512
783

wee
mmmm

80
530
250

„

--

70
100
40
*—

100
65

768

Corporate

767
457
1,133
811
706
1,534
905
1,262
2,065
1,922
1,576
1,335
1,090

Subsequent to
date shown
State and
local govt
390
175
571
1,154
851
528
247
346
616
402
575
903
889

Other 2 /

85
35
65
95
545
265
15
85
115
70
150
159
126

Forthcoming Large Offerings as of October 20, 1967.

Issuer

Type

Amount
(millions
of
dollars)

Approxlmat e date of
offer in;

Corporate
Gannett Co., Inc.
Pacific Southwest Airlines
Frontier Airlines
Standard Oil Co., New Jersey
Wisconsin Public Service
Owens-Illinois Inc.
General Telephone of Florida
Cities Service
Panhandle Eastern
Philadelphia Electric
* U n i o n Electric
Pennsylvania Power & Light
Long Island Lighting
Tenneco
Natural Gas Pipeline Co.
W e s t Penn. Power
SCM Corp.
Wisconsin Electric Power
•Houston Lighting & Power




Com. stk.
Sub. debs. w . wts.
Conv. debs.
Debs.
1st mtg. bds.
Conv, sub. debs.
1st m t g . bds.
Debs.
Debs.
Com. stk.
Pfd. stk.
Debs.
Conv. pfd. stk.
Conv. sub. debs.
Bonds
1st mtg. bds.
Com. Stk.
1st mtg. bds.
1st mtg. bds.

15.0

50.0
20.0
250.0
25.0
50.0

20.0
100.0

October
October
Octobe
Octobe

50.0

Octobe
Octobe
Octobe
l(rts.exp.)
Novemb
Novemb
Novem
November 10(rts.exp.)
13(rts.exp.)
Novemb
Novemb

25.0
30.0
45.0
35.0

Novemb
Novemb
November 15
November 20

40.0

40.0
30.0
40.0

30.0

203.0

Forthcoming Large Offerings as of October 20. (Cont'd)

Type

Issuer

Amount
(millions
of
dollars)

Approximate date of offering

Corporate
*Pacific Gas & Electric
^Northern Natural Gas
Montana Power
^Holiday Inns of America
Ling-Temco-Vaught
*Utah Construction

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

80.0
40.0
30.0
20.0
76.0
25.0

November 21
November 21
Indefinite
Indefinite (rts. exp.)
Indefinite
Indefinite

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

27.7
87.0
20.0
70.0
27.8
17.5

October
October
October
October
October
October

24
24
24
25
26
31

G.O.
G.O.

12.0
12.7

November
November

7
8

State & local Government
New York State Dormitory Auth.
New York State
Georgia Education Authority
San Francisco B.A.R.T.
Baltimore, Maryland
State of Delaware
Nashville & Davidson Co. M e t r o
Government
•Jackson County, Missouri
Los Angeles, Calif., Dept. of
Water & Power
Minnesota State College Board
Montgomery, Alabama
*State of California
West Virginia
State of Ohio
Austin, Texas . ...
Kentucky Turnpike Auth.

Rev.-Rent.
Rev.-Rent.
G.O.
G.O.
G.O.
G» 0.
Rev.-Rent.
Rev.-Q.-Ut.

24.0
13.0
15.0
100.0
20.0
50.0
10.0
120.0

November 8
November 8
November 14
November 14
November 14
November 16
November 16
Indefinite

60.0
15.0

November
1
Indefinite

Other
Tennessee Valley Authority
New Zealand

Bonds
Bonds

*--Included in table for first time.
1/
Includes corporate and other issues of $15 million and over; State and local Governme
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.
Note: Elizabeth, New Jersey's $10 million issue -- scheduled Oct. 10, 1967 -- was postponed
Oklahoma City Airport Trust, O k l a h o m a — s c h e d u l e d October 1 6 — w a s also postponed.




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

Sale Date

Amount
(millions
of
dollars)

Public Offerings

Issuer and Description of Issue

A. Sold Sept. 1 through

October 20, 1967

9/6

25.0

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

9/7

15.0

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

9/20

50.0

Quebec Hydro-Electric Commission — <>-1/2%
debentures maturing 1992, reoffere<jt to yield
6.50%.

9/26

25.0

Montreal Catholic School Commission •— 6 - 3 / 4 %
debentures maturing 1992, reoffere^ to yield

6.88%.

9/28

35.0

Alberta Government Telephone Commission -- 6 - 1 / 4 %
debentures maturing 1992, reoffered to yield
6.35%.

10/4

15.0

New Brunswick Electric Power Commission 6-1/2%
•S.F. debentures maturing 1992, reojEfered to
yield 6.60%.

10/17

35.0

Province of Nova Scotia -- 6 - 1 / 2 % of S.F.
debentures maturing 1992, reofferejd to
yield 6.75%.
B. Prospective Offerings

Indefinite

15.0

New Zealand -- Bonds * * *

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




M-2
PART II:

Date Reported

9/8

Private Placements - Reported Sept. 1 through October 20, 1967.

Amount
(millions
of
dollars)
41.7

Issuer and Description of Issue

St. Anne — Nackawic Pulp & Paper Co., Ltd. 1st mtg.
notes maturing 1 9 8 7 — no information available on
takedown.

|
$
|

9/18 .

3.8

Compania Desarrolladora Panamena, S.A. — 5-1/4% n o t e s ®
maturing 1 9 8 7 — • no information available on takedowrj

9/25

6.5

Northern & Central Gas Co. Ltd., — 6% sub. notes
f
maturing 1987 -- no information available on takedc^

9/25

18.0

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

10/17

13.2

British Columbia School District Capital Financing
Authority — S.F. debentures maturing 1987.

-

"

•

•

'

L

^
i

^
I

Note; For retrospective data on aggregate foreign corporate and government s e c u r i t y V
offerings in the United States see Exhibits I and U. 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 m a y take place both prior and subsequent to the date a placement
is reported.