— – NEW YORK Walston &- Co. Inc Members New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER November 7, 1958 For the third time since the advance started in April, the Dow-Jones Industrials have broken out of a consolidation area on the upside. The 530-549 range in which the In- dustrials held since October 13th was decisively penetrated and an intra-day high of 559. was reached on Thursday. Friday's close was 554.26. The base formed in the 530-549 area was not particularly broad and the technical upside objective is only about 560. Probably a new trading range will develop around present levels. The longer term trend still appears upward,subJect to the possibility of the usual technical corrections. At the nsk of being tiresome, would again suggest ignoring the averages and concentrate on in- dividua-t ….,. – – ' — Most of the stocks in my recommended list continue to show above average acti lr FLINTKOTE (54 3/4) moved up to a new high at 55 1/2 on the news of the three-for-two split. Would continue to hold it as well as NATIONAL GYPSUM (57), my other represen- btive in the building industry. I still consider the oils and chemIcals to be behind the market. My favorite in the chemical group is HERCULES POWDER (55), but I also like HOOKER (37 1/2) and MONSANTO (381/8). In the oils, GULY OIL (123 5/8) has definitelv broken out of its long trading area and continues to indicate higher levels. I also like ROYAL DUTCH (49 1/2), SHELL TRANSPORT (225/8), and GETTY OIL (27 3/4). In the electromcs group I have advised takmg profits on ZENITH(130 1/2) after its over 100 rise from my recommended level of a year ago. Would still continue to hold HOFFMAN (29 7/8) and MAGNA VOX (41 3/8). The airlines continue to show ex- cellent price action, and while some consolidation may be needed, PAN AMERICAN (21 1/2) continues attractive. Four stocks on my recommended list are in the container. group. They all show nice profits, but I would continue to/L6O'ld CAN (48 3/4), ANCHOR HOCKING (63 3/4), CONTAINER 1/4). GIMBEL (37) has reached a new high at 38 1/8, is advised. One of the slow stocks in our list is UNITED BISCUIT (2W8). this stock may be re- .., . 1 & CHEMICAL (29 1/2) for nearer . YW'S also has been a slow issue, but its eventual upside m Biscuit. Two issues with a high yield and good appreciat FINANCE (291/2) and PHILIP MORRIS (57 1/8). t urrent levels. My representatives in the food group are H.J. c s recommended in last week's letter, and WILSON & CO. (30). e of 100 from our original recommendation, I still counsel retention of \vils Co. lLow-pric ocks have been a feature of recent markets. Issues which have done very little marketwise for ten years or more are breaking out, or are about to break out of long potential base patterns. Listed below are ten low-priced speculative issues that are recommended as a package purchaSe. The basis for this recommenda- tion is entirely technical. The upside potentials on these issues are very large per- centagewise. These upside potentials can be obtained from my Technical Analysis of 1,100 Common Stocks available for perusal in all Walston offices Price 11/7/58 Avco Corp. 9 Cheni.Way —-n-l'/4 Curtis Publishing 15 Decca Records 18 1/2 Divco Wayne 17 1/8 Fruehauf Trailer 17 1/4 Pacific Petroleums 18 1/2 Publicker'Industries 1 1/4 19 1/4 United Industrial 13 High 1937-1957 14 3/8 143/4 ,. –, 26 37 5/8 28 5/8 38 3/8 39 67 44 7/8 15 7/8 Low 1957-1958 4 7/8 6'l/2- 7 3/4 13 3/8 9 5/8 8 3/4 16 1/4 4 3/4 14 5 EDMUND W. TABELL WALSTON & CO INC. , Thl-' m.l! het Ictter not, find under no Circumstances lS to be construed as, an offer to sell or n solicitatIOn to buy any securttles r.efcrred to The LnformatlOTI Jnt.IllH'O hel cln IS not j!uarnntced as to aeem Bey or completeness and the iurnlshlnf(' thcreof IS not, nnd under no circumstances IS to be constrlled ns, n 1111 & Co, Inc All expreSSIOns oj' amnion are subJect to chanl!e WIthout notICe. ,V8lston & Co., Inc, and Officers, Stockholders and Emlll\1\'e… thereof. pllrehae, sell and may have nn mterest III the seCUrltle. mentIOned herein ThiS market letter IS mtended and presented merely as a eneral, IIlf,,, IIlIII COIlHllcntary on dRY to ria)' market ncws And not as a complete analYSIS Additional mj'ormatlon \\ Ith respect to any securities refenoo to herem will be rC'fluest . \\ ' 301

! I NEW YORK Walston &- Co. —–lnc —– Members New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER November 14, 1958 The market continued to move ahead, with the Dow-Jones Industrials closing high on four of the five trading days. Friday's close was at a new all time high at 564.68. As always, selectivity continues despite the overall advance. Despite the new highs in the averages, U.S. STEEL (883/4) was unable to penetrate the previous week's high of 903/8 and BETHLEHEM STEEL (50 7/8) was unable to reach its high of 547/8 of almost a mont ago. The steels have had a sharp advance and may require some consolidation. A switch into the oils, a group that appears to be behind the market, should work out advantageous for intermediate term holders. Below is a brief on a stock I am adding to my recommend list. ' – —- — !- …..—-c —- – .- – – – – – – – NATIONAL DISTILLERS & CHEMICAL CORP. Price Dividend 26 7/8 1. 00 In a recent issue of this letter we discuss the relative attractiveness of chemical stock Yield 3.7 Funded Debt. 179,810,000 Minority Int. 417,836 4 1/4 Cum. Conv. Pfd. Stk. (100 par) 436,705 shs. Common Stock 10,332,960 shs. Sales 1958-E 530,000,000 Earn. PerSh.1958-E 1.80 Mkt.Range 1958-1953 293/8 – 16 7/8 at current levels based on a projected upturn in general industrial activity. One stock not mentioned at the time was National Distillers Chemical Corporation, for the simple reason that most investors still tend to regard this issue as a liquor stock and fail to recognize the growing importance of its chemical opera tion. These operations accounted for 38 of net profit in their Plrlfita t that th'E')yti an indication of en from the fact rating profit of 20 million(QrVJ,ome million of sales. -o -started in 1950 t-uf approximately 8- 0 million. This investment has 0 . 57 with an increase in operating profits from 670,000 to theiO i now includes the U. S. Industr' , al\ tioned above. The chemical division Division, manufacturers of a broad line 0 industrial t turers of liquifi e e Mallory-Sharon M I Co e atlOnal Petro-Chemicals Corporation, manufacs ro-chemicals and plastics; a one-third ownership in lOn, a producer of zirconium, hafnium and titanium, and various small invest en the high energy fuel and nuclear fields. The company has be come a major produ of polyethylene and is now adding 75 million pounds of additional capacity at Houston, Texas. It is also sharply increasing production of isosebacic acid, a major raw material in the production of vinyl plasticizers, polyurethane, and other plasti s Meanwhile,the basic liquor business continues to improve. As has been pointed ou , – the new bonding law will prevent forceouts of liquor held in bond, and is expected to stabilize the price structure within the industry. Population trends favor the increased co Isumption of alcoholic beverages. A moderate growth of sales, plus perhaps a slight incre s , in profit margins, can'be foreseen. With the virtual doubling of polyethylene capacity, plus other capacity improvemen s it is not impossible to project a sales volume of close to 200 million for the chemical division – say in the early 1960s.,Bythat,timeL beverage.divisionsales should have-in- I .J creased to at least 500 million vs. 448 million last year. With new improvement in cur rent profit margins, this would produce earnings in the 3.25-3.50 range for the curren common stock. This would be roughly a 70 increase over the 1957 level of 2.05. Over the nearer term, margin pressure in both the liquor and chemical segments will probably reduce earnings for 1958 to something in the neighborhood of 1.80. The 1.00 dividend will undoubtedly be continued and may again be supplemented by a stock extra. From a technical point of view the stock has held in the 17-29 range since 1952.A upside penetration of this range would indicate 41 followed by a longer term 57. 3.50 ea ings at a fifteen times multiple, a conservative figure considering the importance of che cal profits, would result in a price of 52 1/2, thus Justifying the technical pattern. The stock is being added to our recommended list for both intermediate and long term holding EDMUND W. TABELL ThiS mll.rklJlletter IS not, nnd under no cIrcumstances IS to be conqtrued as, an offer referred to herem The information contaIned hel ('In IS not as to accuracy or completeness and the furnlshlnR' thereof 1; not, nnd under no cIrcumstances IS to be conatrued as, a rcprecmtn. hun hy & Co. Inc All C'lprCSSlUn9 of opinIOn arc suhJect to ehanJ;e Without notice Wnlston & Co. Inc, and Offlecrs, Directors, anrl Ernllluycl!'1 thereof purchase. sell and may hnve un mterEt m the seCUrities mentloned hercm Thl'l market letter IS intended and presented merely as n cncrnl, mfrmul on 'lny to dny market m!W9 (lnd not 1190 11 complete anab'sl., Additional mformntlon with respect to any referred to herem WI be fLll nlshed upon request \\. 301 'I .(

Walston &Co. Inc NEW YORK Member New YOTk Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER November 21, 1958 After reaching new high ground at 572.05 on Monday, the Dow-Jones Industrial ave – age spent theTfest of the week backing off and, under pressure of profit-taking, reached a low of 558. 16'on,Friday. Although the Dow, at this week's high, was close to fifty points above its 1955-1957 peaks, it is interesting to note that the advance to new highs has been far from universal. Of Sixty major industry groups covered by the Standard & Poor Grou averages, it is interesting to note that thirty-two as of November 12th were still selling below their 1956-1957 peaks. Also interesting is the constantly shifting character of mar ket leadership. Some groups exceeded previous peaks asearly as October, 1957. Others have'doneso -at -all'throu-gh-Iate-195 7-and -1-958. – -And-although the mar ke is now pushing into new high ground, certain groups have failed to make new highs since May of this year. The following table may be of use in showing the character of shifting market leade – ship. Tabulated below are Sixty of Standard & Poor's Group averages, listed in order of the date they penetrated their 1956-1957 high. For those groups which have not yet made new highs, the listing is in order of their percentage below the old peaks, The first colu shows the date, if any, on which the 1956-1957 high was first penetrated. The second column shows the 1958 high expressed as a percentage of the 1956-1957 high, and the third column shows the date the 1958 high was made. Date 1956-7 1958 High Date 1958 High As of High Exceeded 1956-7 High Made 1958 High Date 1 5 As of High 1956-7 Rig, Made Tobacco-Cigar … 10/2/57 Tobacco-Cig'ettsli 12/4/57 Small Loans (I' 12/4/57 Soap 0 12/31/57 Distillers JI 1/22/58 Confectioners v 1/22/58 Food l 1/29/58 Finance Cos. (l 1/29/58 Drugs Utilities 08 lJ 36585\. Office-Bus. Containers-Paper 3 58 Machinery-Agric. 7 3 Bldg. Materials 3/58 Retail Stores 8/13/58 Sugar 8/13/58 Steel 9/17/58 Auto Parts 9/24/58 Publishing 9/24/58 Containers M &G 10/1/58 Electronics 10/1/58 Auto 10/8/58 Shipbuilding 10/22/58 – -Fluor-Dover.Rugs 10-/-2915-8 Tire & Rubber 10/29/58 Elec.House Appl. 11/5/58 RadiO-TV Mfgrs. 11/12/58 Soft Drinks Printing 163 139 127 135 122 122 0 2 2 118 120 108 114 106 112 106 111 110 108 102 103 Nov.12 Nov.12 Sept. Nov.2 .12 02 (\\\ v. …Qi29 Nov. 14 Oct. 8 Nov. 12 Nov. 12 Nov. 12 Nov. 12 Sept. 24 Nov. 12 Nov.12 Nov. 12 Nov.12 Nov.12 Nov. 5 Nov. 5 110 Nov.12 101 Nov.12 101 Nov. 12 99 Nov. 12 99 Nov. 12 .-.. 98 Ar 97 c ri adl oad. 97 96 e — 95 ile Weavers 94 Fertilizers 93 Machinery 93 Paper Shipping 92 92 Chemicals Mining & Smelt. 91 91 Oil 91 Railroad Equip. 91 Textiles-Apparel 91 Railroad 89 Shoes 89 Brewers 87 Air Transport 85 Floor Cover. Hard 85 Aircraft Mfg. 82 Rayon 82 Steel – Alloy 82 —80- Metal Fabricating 80 Sulphur Machine Tools Copper Aluminum 0 Lead & Zinc. 79 74 73 71 70 May 1 Nov. Nov. Nov. Nov. Oct- 9 Sept. Nov. Nov. Nov. Nov. Oct. Nov. Nov. Nov. !,TOV. May Nov. Nov. Nov. Nov. Nov. Oct. Nov. Nov. Oct. 8 Nov. Oct. 5 Nov. A few morals may be drawn from this. The first is, obviously, that if earnings are going to regain 1956-57 levels, a number of stocks have more room on the upside. A second poi t worthy of note is the failure of some groups to make new highs in a riSing market. This, coupled with-a'sharp advance above the 1956-57 peak, could be a sign of vulnerability. It is also plain that groups that are currently making new highs, and which are still well be- nlHr MtEicl 1)1 n I'''litlllncd herem 15 not gunranteeu as to accuracy or completeness and the furnlshJnlr thereuf IS NI1flTffi & Co, Inl' All expressIOns uf opmlon nre subject to change- \Hthout notice purchn'le, 'le1l and may have an llltere-st III the securities mentIOned herem, Ttw mfrm',i (nmmE'ntary on dn to dny mdrket news and nol as n complete anah'SIS Additional fm nlbhe-II upun renuest nnyto illY Bccuntws referred to herelll The mformatlOn 'tM IN.;\' as, II replesent.lStockhoIriers and 1.Q!e!1lhtOni'lltQented merei)- a'l a general. to herem \\111 be- \\ 3Dl i (

f' Walston &- Co. – – – – – I n c – NEW YORK Membe1's New York Stock Exchange 1'\ . ..- , 'j' SAN FRANCISCO ' LOS ANGELES ' PHILADELPHIA CHICAGO, ' OffICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM TABELL'S MARKET LETTER November 28, The stock market covered a broad range of territory during the past few h'ading sessions. Its wide swings both down and up were similar to the October 14th-17th period when the market declined twenty points from 549 to 529 on the Dow-Jones Industrials and then recovered almost the entire loss all in four days. The present swing has been even wider than October. After reaching a new alltime high of 572.05 on Friday, November 14th, the market backed and filled until the end of the next week when the industrials de- clined almost seven points from 566.24 to 559.57. There was a downside gap opening' on Monday and the average dropped to an intra-day low of 543.07. There was a further . decline to.5.38.43 on .Tuesday, butth;.market rallied.sharply to 5).. 50 on Wednesday. '. I After the Thanksgiving holiday, the market again resumed its advance to reach a high of 559.04 on Friday. This closed the opening downside gap from last Friday's low of 558.16 and Monday's high of 554.88. After a more or less straight line advance since April, broad swings up and down are to be expected. The market becomes overbought at times and sharp corrections keep the market in healthy technical condihon. As yet, the market shows no sign of forming a long term top, although it is vulnerable to flash corrections similar to those wit- nessed in the past two months. Until a much broader top is formed by the inability of the market to move above a former high, there is not much sense in trying to guess a top. It seems the wiser course to concentrate on the action of individual issues in an attempt to find stocks that are behind the market both from a fundamental and technical viewpoint, and whose upside potentials over the next six months or longer appear to outweigh the downside. I attempt to do this in my recommended list which is re- viewed below The electronics group continues to show excellent (39 1/8), originally recommended at 22-21, and 0 oRman Electronics 8 cently recommend- ed around 40, should be held and picked up on pric,,- e oils have been slug- gish, but1. att'eJR' a ould be, one of the leading groups for 1959.Tne ISSUeS we ed' ely,Gulf'OII (119.1/2), Royal Dutch (50 5/8) or Shell Transpor g..Q y Oil (26 3/4) are not much above my originally recommende can be bought here for intermediate ter holding. The 'c s S . h Y better action, but still appear reasonably priced. My ch' e owder (59 3/4), recommended at 48, Monsanto Chemical (39) re nd and Pennsalt (75 1/2) recommended at 71. Two recent r 0 dations have acted favorably. National Distillers (29 5/8), advanced from its mmended level of 26 7/8 to a new high at 31 3/8 and continues to \ have long term attraction. H. J. Heinz (65 1/4) moved from 56 to 67, but has a higher potential. My other food stock, Wilson & Co. (33 1/4) reached a new high today at 33 3/ Still advise retention despite the fact that this stock was originally recommended at 15 about a year ago. The building group continues attractive and would continue to hold Flintkote (56 1/2) recommended at 46, and National Gypsum (57 3/4) advised at 42. The airlines have shown above average action and continue to advise Pan American World Airways (22 1/4). I would continue to hold the four stocks in the container group,namel American Can (50 5/8), recommended at 42, Anchor Hocking (69), recommended at 40- 2 Lily Tulip (90 1/2) recommended at 60 and Container Corp. (28 7/8) recommended at 18 Would take profits in Lily Tulip in the 100-110 area and Container Corp. in the 30-32 range. InternahonalMinerals.& Chemical (29 3/ SlUggISh and show,;; no pr.'!i but its long term potential remains interesting. Continue to hold for yield and appreeia;- tion both Philip Morris (59), recommended at 45, and Family Finance (32) recommende at 22. My package of ten low-priced speculative issues recommended on November 10 for long term appreciation have not moved far in either direction. They are Avco Corp. (95/8), Chemway (125/8), Curtis Publishing (15 1/4), Decca Records (19 3/8), nivco Wayne (18 1/8), Fruehauf Trailer (17 1/4), Pacific Petroleum (17 7/8), Publicker Indus tries (12 1/2, Rayomer (18 5/tl), and United Industrials (14). I continue to a VIse pur- chase in a package. I advise adding two more issues to this package, namely Hotel Corp. of America (7 1/2) and National Can (14 3/4). EDMUND W. TABELL WAJ.STON & CO INC Thls market letter 19 not, and under no ClrcUmstances IS to be construed as, an oITer to sell or II, !'OhcltatlOn to buy any seCUrities referred to herem The mformahon contn11lcd herem 1'1 not gUaranteed as to accuracy or compietene-' nnd the furnlshllll' thereof 15 not and under no IS to be construed as, a reprcscnta. t!'m by \Valston & Co, In!' All e,preSSlOns of OPInion nre subeC't to change Without notiCe Walston & Co Inc and Officers Directors Stockholders tI d .ml'loyees thereof, punhnse, 'e11 nnrl mny have 1111 mterest III the mentmned helelll ThiS mnrket ll and m'crc1Y as n gcnc 111 IIlfOl mill commentary on day to UII market news nn.lnot as a complete unlllysls Ad,htwn.il II1fol mahon With respect to IIny re/Crled to hClcm fUI n l1)).)n request \\; 301