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Not for Pub 1 ica t ioiDECONTROLLED AFTER SIX MOUTHS,

CAPITAL MARKETS DEVELOPMENTS
IN THE UNITED STATES

SEP 1 3 .jod
FECIAL RESERVE BANK
'

September 16, 1968.

0 ^AD(]AJ
V

V

(TlOihMjJr

OF R I C H M O N D

Corporate and municipal bond markets. Long-term bond offerings
should total over $1 billion this week. Although the volume of new,
publicly-offered, corporate securities is expected to be well below the
average weekly volume over the past year, municipal offerings will be
almost twice their weekly average and other issuers will be in the market for
an additional $0.5 billion., The largest tax-exempt offering will be Beauregard
Parish's $105 million of industrial revenue bonds; the two outsized issues
offered by others will be $250 million of World Bank bonds and $250 million
of F.N.M.A. bonds. There will be no corporate offerings of notable size.
1/
Long-term Public Security Offerings (In millions of dollars)

Coriaorate
New Capital
Refunding

State and local Government
New Capital [ Refunding

Sold:
294

52 week avg.

1
—

279

September

6

r/162

September

13

275

244

20

120

527

1

r/214
—

Scheduled;
September

1/

—

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 were unchanged to
slightly higher last week — the small drop in the new issue series was
caused solely by a shift in the volume of issues carrying call protection.
New issues met with a very cool reception and, as a result, the volume of
bonds still in syndicate rose quite sharply.
Yields on municipals were unchanged to somewhat lower last week,
while new issues met with only a fair reception. By the end of the week
77 per cent had been sold. Underwriters succeeded in reducing somewhat their
extremely large volume of holdings -- but only at a considerable loss — by
releasing from syndicate several issues offered around the middle of August.
In free market trading, the yields on these issues advanced 25 to 30 basis
points.




H. 14

-2-

Yields on Security Markets
High-Grade
Notes and Bonds

Change from
preceding week

Corporate
New
Seasoned

6.33
5.95

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

+
+

5.12
5.36

State and local Gov't.
Moody's Aaa
Std. & Poor's high grade

4.25
4.43

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

5.70

-

24

5.28
5.31

+
+

7
9

Corporate Bonds Still in Syndicate '
Date
Offered

Amount
(millions of $)

9/5•

25.0

9/10

25.0

9/10

60.0

9/9

125.0

Issuer

Reoffering
Yield

Rating

Estimated proportion sold

Michigan Consolidated Gas,
7's - 1993

6.80

30%

Metropolitan Edison,
7's - 1998

6.85

25%

Tenneco,
7's - 1988

7.00

Baa

50%

New England Tel. & Tel.,
6-3/8's - 2008,

6.35

Aaa

25%

Blue List of Municipal Dealers' Advertised Inventories
Latest Week
669(9/10/68)




End of Previous Week
707

1968 High
849(8/28/68)

H. 14

Stock prices. Common stock prices experienced a slight decline
last week, while trading volume was fairly heavy. At the close Friday,
Standard & Poor's index of 500 stocks stood at 100.86, down 0.34 from the
previous Friday. Trading volume averaged 12.8 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.




EXHIBIT

A. Port 1

LONG-TERM BOND YIELDS, HIGH-GRADE




C O R P O R A T E Ala

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

___r

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

1966

1967

Exhibit A —

Corporate
Aaa If

Date

1959-60 - High
1966 - High
- Low
1967 - High
- Low
1968 - Aug.

4o61(1/29/60)
j 5.52(9/9)
4.73(1/7)
6.24(12/29)
5.00(2/10)

16
23
30
Sept. 6
13 £ f

6.00
5.98
5.97
5.95
5.95

fare, xx

State and
U.S. Govt. |
local
long-term 27, government
Aaa 3/
(per cent)
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)

5.06
5.09
5.06
5.07
5.12

4.00
4.05
4.25
4.25
4.25

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

.59(8/5/60)
.84(12/30)
.14(2/18)
.92
.44
1.06
.89
.91
.88
.83

.92(4/22/60)
1.19(2/11)
.77(9/2)
1.51
.74
1.06
1.04
.81
.82
.87

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-




STATE AND LOCAL G O V E R N M E N T Baa
•Moody's




Exhibit B -- Part II

Date

State and
local govt.
Baa 3/

Corporate
Baa 1/

Spread between
Aaa and Baa
State and
Corporate
local aovt.

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

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

6.82
16
6.80
23
6.79
30
6.79
Sept. 6
6.80
13p/
Note: For footnotes see Exhibit A.
j>/ Preliminary.
1968 - Aug.




4.46(1/7/60)
3.79
4.55(8/25)
3.78(1/20)
4.73(12/28)
3.85(4/13)

.84
.31
.81
.31
.82
.63

4.70
4. 70
4.80
4.80
4.80

.82
.82
.82
.84
.85

1.08
.39
.62
.31
.81
.37

.70
.65
.55
.55
.55

EXHIBIT C, Port I

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

6 - M O N T H BILLS
Market

Yields

3-5 YEAR ISSUES
F.R. DISCOUNT RATE
New

York

3-MONTH BILLS
M a r k e t YieIds

1 1

• I I 1 I 1 11 I I I 1 ri I I I I I I I
'

1963



1964

1965

I I I I I I I III I i i i i • , i i i i i ill i i i i i i i i • !

1966

1967

1968

Exhibit C -- Part II

Discount
rate
1/

1959-60 - High
Year end - 1965
1966
1966 - High
Low
1967 - High
Low
1968 - Aug.

Sept.

4.00
4.50
4.50
4.50
4.50
4.50
4.00

5.50
5.50
5.25
5.25
5.25

3-month
bills 1J

|
1

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)

5.11
5.15
5.18
5.21 ,
5.28

Yields
6-month #
bills ZJ
(per cent)
5o 07(1/8/60)
4.66
4.92
5.92(9/23)
4.53(6/24)
5.50(12/12)
3.74(6/2)

5.29
5.24
5.26
5.22
5,31

3-5 year
issues U

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

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

Preliminary.




1.81

.52
.09

.78

.43

.06

.12

.1
0

5.80(11/10)

.62
.01

1.61
.02

5.35
5.36
5.33
5.30
5.36

.18

.24

4.36(4/7)

2/ Harket'yieId; weekly averages computed from daily closing bid prices.

2/

.79
.19

.09

.08
.01
.03

Series of 3-5

.21
.15
.09

.68

EXHIBIT

D, Port

1

S H O R T - A N D I N T E R M E D I A T E - T E R M INTEREST RATES,
B A N K S AND OTHER PRIVATE B O R R O W E R S

PRIME RATE

r

FINANCE C O M P A N Y PAPER
Directly

placed

F.R. DISCOUNT RATE

FEDERAL FUNDS

1963



1964

1965

1966

1967

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 - High
Year end- 1964
1965
1966
1966 - Low
1967 - High
Low
1968 - Aug.

16
23
30
Sept. 6
13 £

r

6.50
6.50
6.50
6.50
6.50

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

4.00(5/13/60)
4.00
4.63
5.63
з.55(1/21)

и

,

6.13
5.95
5.93
5.94
5.70

-

1.02
.23
.28
1.08
.20
1.33
.21
.64
.60
.45
.42
.35

rate is that
a £ £ * * z* 4- o f
onrl
1/ weeKiy race snown ib luch.
— r
,
, . ...
.
- charged by large banks on short-term loans to business borrowers of the highest
2/
~~
3/
-

Average of daily rates published by finance companies for directly placed paper
for varying maturities in the 90-179 day range.
^
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

Note!-Highs N and Y 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, Port

1

STOCK MARKET




1941-43

ov'eroge=10

PRICES

100

^ STOCK MARKET CREDIT
CHANGE IV (SERIES
i Mlin e t « «
ilos l k r t

VOLUME

YIELDS

1964

1965

1966

1967

1968

Exhibit E —

Date

1961-62 - High
Low
1966 - High
Low
1967 - High
Low
1968 - July
Aug.

Stock price
index 1/

Common
stock
yields 2/
(per cent)

Part II

Stock market customer credit
Trading
Customers
Bank
volume 3/
debit bal- loans 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(1/6)
83.18(1/6)

2.82
3.96
3.01
3.97
3.01
3.58

10.1
2.4
10.7
5.0
12.3
6.9

5,602(12/61)
4,424(1/61)
7,997
7,302
10,347(12/67)
7,345(1/6)

.00.30

2.98
3.09

14.3
10.9

11,270
n. a.

98.11

4,259(12/61)
3,253(1/61)
5,835
5,169
7,883(12/67)
5,280(1/67)
8,854
n. a.

1,418(5/9/62)
1,161(3/8/61)
2,241(7/6)
2,097(12/14)
2,057(11/1)
2,055(1/25)
2,424
n. a.

r/2,487
9.6
3.08
1968 - Aug. 30
98.86
n. a.
r/2,494
11.4
3.01
L01.20
Sept. 6
n. a.
12.8
3.02
13p/ LOO.86
n.a. Not Available. £/ Preliminary, r / R e v i s e d .
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.
.
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
3/
~~
4/
""
5/
~

Averages of daily trading volume on the New York Stock Exchange. Year-end figures are averages
of daily figures for the year.
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.
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

NATIONAL

' SECONDARY

MARKET

MORTGAGE

ASSOCIATION

^

OPERATIONS

',1 .'loll'if %
400

"

•

'

OFFERINGS

300

1

PURCHASES V

SALES
1962




1968

Exhibit F - Part TT
Purchases
Estim,ited offerings to FNMA
by
Immediate I Standby
Total
FNMA
purchase I commitment

Sales
by
FNMA

(In millions of dollars)

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

229.1
232.8
261.0
168.2

260.6

228.8
232.6

260.6
167.9

260.1

.3

26.9

.4
.3
.5
.6

198.3
192.4
215.1
186.9

,2

324.1
324.7
2.8
206.6
209.4
.5
212.0
212.6
.4
164.0
164.4
.7
212.2
212.9
4.2
210.1
214.3
1.2
103.6
104.8
(See Exhibit P Part III)

81.2

6.0
.9

, .8
.2
.3

.1

'wma



200.1

274.9
245.2
188.9
185.7
176.7
r/172.8_

Exhibit F - Part III
FNMA Weekly "Auction" Results

Week
ended
'May

Amounts (In millions of dollars)
Accepted
Offered
9061
total
Total
Day
Month
Year

' 6
13
20
27

"173 . 4
'
168.8
176.8
206.8

40.3
49.9
49.5
51.6

19.7
15.6
10.5
6.1

18.3
27.4
28.3
35.5

2.4
6.9
10.7
10.0

June

3
10
17
24

231.8
179.7
145.3
135.4

60.7
74.6
80.2
80.4

7.7
14.4
15.1
15.9

40.0
44.8
49.8
50.4

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.&

16.3
11.2
9.6
8.6
7.1

121.8
108.4
93.1
99.3

66.3
60.2
54.7
51.1

9.8
9.8
10.3
7.5

Aug. 5
• 12
19
26 |

Yields
90-

-

6-

Day

Month [

1

1
Year

7.12
7.11
7.39
7.38
7.49
7.47
7.54 . 7.54

7.07
7.33
7.40
7.49

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
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

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

7.29
7.25
7.23

7.31

Sept. 3
90.0
51.7
5.7
37.6
8.3
7.26
7.23
7.21
10
(50.0)
7.21
Note* Total accepted shown in parenthesis fortiidstrecent week indicates
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 FNMA
stock purchase requirements, assuming a prepayment period of 15 years for
30-year loans. One-year commitments are for new homes only.
r/

Revised.




EXHIBIT

YIELDS O N

NEW

AND

1964



SEASONED

CORPORATE

G, Port

1

BONDS

6.5

A d j u s t e d to

Aaa

Basis

N E W ISSUES
CO

5.5

5.0
SEASONED Aaa
Moody i

4.5

1965

1966

4.0
1967

1968

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

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

13
13
10
7
11
13
7
8

Am ' t. of issues Average
included (mill.
yield
(per cent)
of dollars)
567.0
564.0
350.0
415.0 W
531.0
872.0
552.0
267.0

,

6.24
6.29
6.56
6.52
6.66
6.65
6.54
6.26

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

2
9
16
23
30

Sept. 6
13 £ f

1
1
1
3
2

12.0
15.0
110.0
67.0
75.0

6.36
6.46
6.13
6.26
6.36

2
2

45.0
150.0

6.40
6.33

Weekly averages:
6.83(5/24/68)
High
6.13(8/16/68)
Low
Note:
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.
j>/ Preliminary.




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

Capital

State and local i/
1967P/

1968P/
January
February
March
April
May
June
July
August
September

1967P/

I***

1968p/

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

1,383
1,824
2,335

1,973
1,474
2,611

1,553
1,058
2,364

1,298
1,117
1,354

1,229
1,497

1,111

1,193
901
1,141

e/2,225
e/1,500

2,457
2,407
1,723

1,039
1,670
1,382

_g/l,400
e/1,700
e/1,500

943
858
1,330

701
773
1,020

2,289
1,467
2,336

829
1,085
1,635

974
1,,400
1,,182

755
969
940

5,014
5,542
e/5,450

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

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

3,665
3,769
4,600

4 : ,119
3,,837
,131
3j
,556
3a

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

10,556
e/16,456

11,421
18,007
24,098

9,959
14,050
17,601

7,434
.2,034

7,,956
11,,087
14,,643

6,146
8,640
11,304

e/1,725

October
November
December
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

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

4,943
5,265

Year
e/

Estimated by Federal Reserve.




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

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

23,115

Quarter
Quarter
Quarter
Quarter

17,269

1,188
858
865

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

Quarter
Total
Month

Net proceeds
Gross proceeds for new capital
for new capital 1/ 2/
and
Common Memo:
Bonu s
Other
Mfg. Public CommuniForeign
Publicly Privately and
Utility cations Issuers
pfd. issues
Offered Placed
stock included
1,382
543
997
2,442
60
390
1,811
3,263
1,228
548
3,014 1,268
65
726
1,465
4,017
1,976
595
2,792 1,219
234
678
1,551
4,604
2,040
269
2,527 1,255
93
1,051
2,137
3,107

1967 - I
II
III:
IV

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

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 - Aug.
Sept.
Oct.
Nov.
Dec.

2,481
1,763
2,409
1,500
2,385

1,813
902
1,375
645
1,087

412
647
566
551
1,020

250
214
469
304
278

13
8
34
19
30

1,229
637
—906
512
1,109

509
265
573
404
278

356
200
119
82
68

313
619
690
469
- 881

903
796
766
719
1,046
1,340
1,260
615

546
585
593
438
521
685
600
600

322
226
441
271
300
385
450
350

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

537
556
761
353
550
750
965
600

417
546
431
178
549
474
200
365

186
147
78
189
103
237
235
70

566
321
469
663
622
874
825
465

1,771
1968 - Jan.
1,607
Feb.
1,800
Mar.
,1,428
Apr.
+ 1,867
May
2,418
June
July e/ 2,310
Aug. e/ 1,565

; ' r
«
e/ Estimated by Federal Reserve, n. a. Not available.
1/ 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/
F e d e r a l Agency 3/
F o r e i g n Government 2/
1967
"oil
Tff
^^967
im.
January
February
March
April
"May
June
July
August
September
October
November^
December
Jan. - June

307

Year

January
February
March
AprilMay
June
July
August
September
October.
November
December

223
27
13
170
22
586
193
66
142
18
629

12
40
40
66
69
.76
72
7
50
23
74
68
303

1,656

127
49
107
75
142
7

597

196

999
550
1,370
225
744
779

4,667

1,251
783
750
650
810
650
407
250
599
708
710
612
4,894

503
410
392
699
1,030
1,084
799
400
450
800
239
3,034

8,180

6,806

New short-term 4 /
F e d e r a l Agency
State and local Government 5/
-179
490
103
179
300
-552
436
39
387
89
-454
-593
-319
-594
-604
-559
580
681
827
3
109
121
462
515
490 ,
27
93
-334
-187
-378£/
457
-158
-103
20
539£/
-262
270
593
1,407
-161
32
606
-48
414
573
503
49
36
-570
-514
1,700
1,619
428
1,147
439

Mm
Jan. - July

1966

Year

Reserve.



1,127

''

.531

660

3/
308
-24
450
718
85
284
-590
-270
-652
-555
-283
219
1,231
310

H. 14
Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds of Large Issues Offered
(In millions of dollars)
Comotiite
Bonds
(other than
Convertible
bonds

i

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

1,340
1,705
794
1,458
826
978
904
757
788
696
1,009
1,461
1,243
665

890
1,288
473
897
461
460
652
575
415
500
656
1,161
650
405

State
and
local
governments

Stocks
133
67
65
276
215
81
85
77
238
73
70
180
98
117

317
350
257
285
150
437
168
105
135
723
283
120
495
143

483
473
847
505
865
633
785
591
736
794
571
758
864
1,165

Other

7J

85 V
221
400
50
845
627
1,095
389
1,030
370
145
500 .
920
70

Large Individual Issues Offered Sept. 3 through Sept. 13, 1968.
Issuer

C9TP9m«
Condec Corporation
Michigan Consolidated
- Gas Company
South Carolina Elec.& Gas
Miles Laboratories
Natomas
Kane-Miller Corporation
Tenneco Inc.
Metropolitan Edison
New England Tel. & Tel.

Type 2/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
net interest cost

Offering
yield

Rating

Conv. sub. debs . 20.0

1993

5

5.00

1st mtg. bds.
25.0
1st & ref. mtg
bds.
20.0
Com. stk.
22.5
Com. stk.
15.0
Com. stk.
15.0
1st mtg. p,l. bds. 60.0
1st mtg. bds.
31.0
Debs.
125.0

1993

7

6.80

A

1998

6-1/2

6.50

A

1988
1998
2008

7
7
6-3/8

7.00
6.85
6.35

Baa
A
Aaa

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

1977-81
1970-83
1969-78
1970-2007
1970-93
1970-94
1970-94

4.30
4.06
3.83
4.56
4.89
4.60
4.23

B

State & local Government
Jacksonville, Florida...
Portland, Oregon
State of Ohio
Columbus, Ohio
Philadelphia, Pennsylvania
Fairfax County, Virginia
Mecklenburg Co., N.C.




30.0
12.5
100.0
10.0
30.0
12.4
20.3

4 00-4.25
3.20-4.20
3.00-3.95
3.25-4.70
3.50-5.00
3.40-5.20
3.20-4.25

Aa
Aa
Aa
Aa
Baa-1
Baa
Aa

Large Individual Issues Offered Sept. 3 through Sept. 13, 1968. (Cont'd)

Issuer

Type

3/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
Offernet intering
yield
est Cost

Rating

State & local Govt, (Cont'd)
State of Oregon
State or Oregon
State of South Carolina
Ardmore Development Authority,
, Oklahoma
Ardmore Development Authority,
Oklahoma

10.0
25.0
10.5

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

;

1971-98
1982-84
1970-83

4.28
4.20
3.90

3.35-5.50
3.10-4.25
3.15-3.90

59.0

1993

n. a.

5.50

14.0

1971-78

n.a.

4.40-5.00

Aa
Aa
Aaa
--

—

Other
NONE

*
V

Rights offering.
Includes corporate and other security offerings of $15 million and over; State and
local security offerings of $10 million and over.
If 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 obligations;
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.-R6nt.revenue bonds secured solely by
lease payments.




-Z-!
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
Corporate
Other 2/
local govt.
1967 - July 31
Aug. 31
Sept.30
Oct. 31
Nov. 30
Dec. 31
1968 - Jan. 31
Feb. 29
Mar. 31
Apr. 30
May 31
June 30
July 31

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

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

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

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

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

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

Forthcoming Large Offerings as of September 13, 1968.

Type

Issuer

Corporate
Eckerd Drugs
Fibreboard Corporation
General Tel. of Michigan
New York State Elec. & Gas
Belco Petroleum Corporation
Allegheny Airlines
Harris Trust & Savings Bank
Commonwealth Edison
Cleveland Elec. Illuminating Co.
Transcontinental Gas Pipeline
Detroit Edison
Columbia Gas System
Consolidated Edison of New York
Jersey Central Power & Light Co.
Wisconsin Public Service
Chesapeake & Potomac Tel. Co. of
Maryland
Northern Indiana Public Service
Company




Conv. sub. debs.
Conv. debs.
Debs.
1st mtg. bds.
Conv. debs.
Conv. debs.
Conv. cap. notes
l-s£~mtg. bds.
1st mtg. bds.
Debs.
1st mtg. bds.
Debs.
1st mtg. bds.
1st mtg. bds.
Pfd. stk.

Amount
(millions
of
dollats)

15.0
30.0
22.0
30.0
25.0
15.0
25.0
75.0
50.0
50.0
150.0
40.0
60.0
26.0
15.0

Approximate date of
offering

September
September
September
September
September
September
September
September
September
September
September
October
October
October
October

Debs.

75.0

October

1st mtg. bds.

20.0

October .

16
17
17
18
19
23
23( r t s . exji)
24k
24
25
26
3
8
8
8

L-2
Forthcoming Large Offerings as of September 13, 1968. (Cont'd)

Issuer

Corporate (Cont'd)
National Industries
Alexander's Dept, Stores
King Resources
Computer Applications, Inc.
*Penzoil United
*Ceco Corporation
Canal Electric
*Eastern Airlines

Type

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

Amount
(millions
of
dollars)

1

25 .0
20 .0
20 .0
15 .0
75 .0
15.0
19 .0
50 .0

Approximate date of
offering

Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

State & local Government
Alabama Highway Authority
Rev.-S. T.
Cleveland, Ohio
G.O.
Los Angeles, California
G.O.
Beauregard Parish, Louisiana
Rev. -Rent.
Houston, Texas
Rev. -Ut.
New Orleans, Louisiana
G.O.
.State of Pennsylvania
G.O.
Southeastern Pa. Transportation
Authority, Philadelphia
Rev. -Rent.
*State of Hawaii
G.O.
;
Kings Co., Washington
G.O.
Pennsylvania State Highway &
Bridge Authority
Rev. -Q. -Ut.
Maryland State Roads Comm.
Rev. -Q. -Ut.
Detroit, Michigan
.
G. 0.
*Genesee Co., Michigan
G.O.
Los Angeles Flood Control Dist.,
California
G.O.
Seattle, Washington
G.O.
Washington Sub. Sani. Dist., Md. G.O.
State of Ohio
G.O.
*State of Alaska
G.O.
*Alachva Co, Sp. Tax Sch. Dist.#!,
Rev.-S.T.
Florida
• San Frahcisco B.A.R.T.
G.O.
SanDiego, California
Rev. -Ut.
*Canton, Ohio
Rev.-Rent.
Rev.-Rent.
Port of Astoria
Tampa Hillsborough Co. Expressway Authority
Rev.-Q.-Ut.
Kentucky Turnpike Authority
Rev.-Q.-Ut.
Hillsborough Aviation Auth.,
Tampa, Florida
Rev.-Rent.
Eelco Petroleum Corporation
Conv. debs.




25 .0
22 .0
25 .2
105,
.0
250,
.0
20,
.0
88.5

September
September
September
September
September
September
September

17
17
17
18
18
18
18

55.
.0
38.
,0
39.
,1

September
September
September

19
24
24

75. 0
225. 0
15. 0
23. 3

September
September
October
October

25
1
1

45. 0
10. 0
22. 0
25. 0
10. 5

October
October
October
October
October

1
1
8
8
9

12. 8
70. 0
10.0
45. 0
115. 0

October
October
October
October
October

10
10
10

46. 0
120. 0

Indefinite
Indefinite

41. 0
25. 0

Indefinite
Indefinite

-

?

Forthcoming Large Offerings as of September 13, 1968 (Cont'd)

Issuer

Type

Amount
(millions
of
dollars)

4

Approximate date of
offering

Other
World Bank
*FNMA
* Province o f New Brunswick
Canadian Utilities, Ltd.

Bonds
Debs.
S.F. debs.
S.F. debs, w/wts.

250.0
250.0,

20.0
15.0

September 16
September 19
September 19
Indefinite

*--Included 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.




Exhibit M-

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

Sale Date

Amount
(millions
of
dollars)

Issuer and Description of Issue

A.
May

15
21

25.0

• May

28

Sold:

May 1 through Sept. 13, 1968.

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

-20.0

May

Public Offerings

Newfoundland and Labrador Power Commission—7-3/4%
S.F. debentures, maturing 1993, reoffered to yield
8%.
Canada, Government of, 6-7/8% bonds maturing 1988,
reoffered to yield 6.90%.

100.0

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 S c o t i a — debentures.

July' 10

75.0

B.
Indefinite
- September 19

** *** -

15.0
20.0

Prospective Offerings
Canadian Utilities, Ltd., -- S.F. debs, with warrants.
Province of New Brunswick, S.F. debentures.

Included in table for first time.
Issues sold to investors outside
Issue subject to interest equalization tax.




M-2
PART II:

Date Reported

6/68

Private Placements -- Reported May 1 through Sept.13, 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. -- 20 year
secured notes.
British Columbia Forest Products, Ltd. —
secured notes.

8/20/68

75.0

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

8/21/68

40.0

10 year

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.




z

%


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102