NEW YORK Walston &Co. —–Inc —- Members New Ym'k Stock Exchange SAN FRANCISCO ' LOS ANGELES ' PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER June 6, 1958 The averages have worked deeper into the heavy supply overhanging the market at 460-525 in the Dow-Jones Industrials and at 45-50 in the Standard & Poor 500-Stock Index. My forecast has been for a probable high for the year in the 460-480 area in the Dow-Jones Industrials and at around 45 in the Standard & Poor 500-Stock Index. At this week's intra-day highs, the industrials reached 470.69 and the combined index was at 44.83. The short term action of the market continues favorable, but I would use current strength to lighten commitments in the less desirable groups. In order to build up a broad base pattern strong enough to penetrate the heavy overhead supply in the averages, I peV.eve it is necessary for the averages to coniilme to fluctuate in a broad trading area for a long period of time. This will mean many ups and downs withn the range, of roughly 480 and 420 on the Dow-Jones Industrials and equally roughly in the 45-39 area of the Standard & Poor combined Index. During this period, which I believe is comparable to 1946-1949 and 1951-1953, all groups will not act the same. If market action since October, 1957 is broken down into group action, we come up with quite a different picture from that of the averages. The Dow-Jones Industrials declined from a 1956 high of 524.37 to an October low of 416.15. Since October, the average has recovered approximately 5070 of the 108 point decline. The action of the various groups since October can be roughly broken down into three categories. In the first category are the groups that have reached newall-time high territory above the highs of 1955 -1957 despite the fact that the industrial average is only at 470 as compared with a high of 524. Included in this category are drugs,finance (small loans), food products, grocery chains, meat natural gas, soaps, sugar, telephone, tobaccos and utilities. It will be seen that mo 0 gJIoups are in the consumer or soft goods industries. They also migh)rbe de i ensive type groups. It is probable that these groups will contirl.kM m h' and they do not appear vulnerable in the event of a general market In the, category the hav overed approximately or more of theIr declmes from the -e-October lowS. Included m- this category are (glass, metal and paper) far publishing, retail st e building materials, containers y0 pictures, office equipment, pipelines, t es. It will again be noted that the only really heavy industry g Here probably the action of U. S. Steel, which has recovered 7370 of it e line rgely accounts for the 510/0 retracement of the steel group average. In t is ond category will probably be found the groups that will also reach newall-tO e high territory during the next advancing phases. In the third category are the groups that have recovered less than 5070 of the decline. I have broken down this category into two separate classifications. In the first are the groups that have recovered more than 2570 of the decline and could soon ad- vance into the second broad category. Included in this group are aircrafts, auto trucks, electrical appliances, electronics, mining and smelting, oils, paper, radio-TV, rails, shipbuilding and shipping, sulphur. In the classification of issues that have recovered less than 2570 of their decline are airlines, autos, aluminum, chemicals, coppers, elec- trical equipment, lead and zinc, machinery, metal fabricators, rayon, rubber and steel alloys. Most of the groups in this classification will probably show below average action over the nearer term and will be the last to complete their accumulation bases and join the general advance. As.a number of thesecgroups are Just.a.shade.above the October – 0 lows, they could reach new low territory in the event of a fairly sharp technical decline in the general market. The combination of the three categories listed above will probably result in a stock market that will hold in a relatively narrow trading area for the next year or two. I anticipate neither a broad upswing nor a broad decline, but rather a market in which individual issues seek their true level in line with earnings, dividends and future pros- pects without the undue influence of a pronounced bullish or bearish trend. EDMUND W. TABELL WALSTON & CO. INC. Thl'f market Jetter IS riot, and (lnder no c!lcumst,mces 15 to be construed lIS, an offer to sell or n sol/cltatmn to buy any seCllrltles refcrrei! to berem The informlltlon ('ontllined herel!) 1S lIot gual'llotcerl as to '\CCUIIlCY 01 completeness nnd the furnishing thereof 18 not. und unrler no CII cumstullcC'S IS to be construed ns, a repre'lenta. tl'n hy \\ .d'lto!) & Cr Inl' All c'lllrc'l&wnq of opUllon nre sUbJedt to ehanl,rO \Hthout notice \Valston .t Co, Inc. and Oft'lcers, Directors, Stockholders and Emlllnyees acll .lI1d may hnve an IntCICSt m the seCUrItIes mentIOned herem ThIS market letter 18 mlenderl and presented merely as n general, mrltlllli (mmcntl1l\' on dlly to ,iny nl.llket news and !lot a complete annh'lOls AddltlOnallnfolnmtHln wIth respel't to any !;CCllrltlCs referred to herem Will be Illllln request \\ N 301 . LIST I WELL ESTABLISHED, GOOD QUALITY ISSUES WITH AN OBVIOUS GROWTH TREND. PRICE DIVIDEND AMERADA PETROLEUM AMERICAN CYANAMID DU PONT ; FOOD MACHINERY 109 2.00 72 2.50 206 7.00 67 2.00 1.8 3.5 3.4 3.0 HOOKER ELECTROCHEMICAL 45 1.00 2.2 SCOTT PAPER t 68 1.80 2.7 SPERRY RAND 25 0.80 3.2 SYLVANIA ELECTRIC 52 2.00 3.7 THOMPSON PRODUCTS 72 1.40 1.9 UNION CARBIDE 122 3.00 2.5 LIST II EITHER NEWER OR SMALLER COMPANIES WITH A RELATIVELY SMALL NUMBER OF SHARES OUTSTANDING BECKMAN INSTRUMENTS BERYLLIUM CORP. PRICE 35 59 DIVIDEND 0.60 YIELD 1.0 CONSOL.ELECTRODYNAMICS 32 0.40 1.3 FOOTE MINERALS 45 0.40 1.0 G. RAY McDERMOTT 42 0.60 1.4 MINERALS & CHEMICALS 35 2.00 0.6 RORM & HAAS STRATEGIC MATERIAL3 432 32' 2.40 0.6 VERTOL AIRCRAFT 5 VISKING CORP. 39 .0,) 2.5 LIST III COMPANIES NOT IN ESSENTIALLY GROWTH INDUSTRIES BUT WHICH, BECAUSE OF RESEARCH, NEW PRODUCTS, OR GROWTH IN TERRITORY SERVED, HAVE AC- QUIRED GROWTH CHARACTERISTICS. PRICE GULF OIL 121 DIVIDEND 2.50 YIELD 2.1 IDAHO POWER 26 1.20 4.6 LILY TULIP LINCOLN NATIONAL LIFE MONTANA DAKOTA UTIL. NORTHERN NATURAL GAS PANHANDLE EASTERN SHELL OIL 59 225 26 49 97 88 1.60 1.55 1.00 2.60 3.00 2.00 2.7 0.7 3.8 5.3 3.1 2.3 PACIFIC WEYERHAEUSER TIMBER 74 40 3.00 0.80 4.1 2.0 LIST IV OF HITHERTO MEDIUM-GRADE QUALITY THAT HAVE OR ARE IN PROCESS OF IMPROVING INVESTMENT QUALITY AND SHOULD SELL IN THE FUTURE AT HIGHER PRICE-TO-EARNINGS RATIOS THAN IN THE PAST. PRICE DIVIDEND YIELD BELL & HOWELL 42 LOO 2.4 BRISTOL MYERS 38 1.60 4.2 CARBORUNDUM 43 1.60 3.7 CARi1IER CORP. 58 2.40 4.1 CRUC IBLE STEEL 65 3.00 4.6 GENERAL DYNAMICS 52 1.60 3.1 GENERAL RWY.SIGNAL 87 3.00 3.4 MAGM.l\. COPPER 113 MARTIN (GLENN L. ) 40 J..60 4.0 UNITED AIRLINES 39 1.50 3.8

NEW YORK W—-a–l-s-tIoncn–&–C–o–. MembeTS New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER June 13, 1958 The market spent all of 1956 and most of 1957 in an area bounded by 460 and 524 on the Dow-Jones Industrials and 45-49 on the Standard & Poor 500-Stock Index. This area now constitutes what is technically known as overhead supply and resistance to an advance should be felt at the lower limits of this supply at 460-480 and 45-47. During the past week the general market, lead by the rails, aircrafts and coppers, advanced sharply and on Friday reached an intra-day high of 476.56 on the Dow-Jones Industrials and 45.18 on the Standard & Poor 500-Stock Index. It will be seen that the advance has now carried to the supply area mentioned above. Furthermore, most average have reached the upside ranges outlined by the broad base pattern formed between Octobe and February.' 'Normal technicaiaction'\v'otilci cail' fora 'corie6tiori-to the base and it is further unlikely that the supply areas will be penetrated on the first attempt. It is more likely that several attempts and a long period of time will be needed before the averages push through the overhead supply. The majority of stocks have been moving downward since the high reached in April, 1956. In the June 2nd issue of Barron's, Roger W. Bridwell has a very interesting and informative article showing how the present stock market is following the course of past declines. He says – The four maJor downtrends of modern market history — 1916 to 1921, 1929 to 1932, 1937 to 1942 and 1946 to 1949 — have more than one common denominator. For one thing, all lasted a minimum of 163 weeks, or seven months longer than the present decline. Second, the initial leg of each of these bear markets, except for the 1929-1932 catastrophe, accounted for an average of 94.5 of the maximum drop. If history repeats, the 400 level in the Dow-Jones e or take a few pOints should define the lower limits of this bear market. Fina I fo'Ur ca.ses, the maximum rally, which commonly was mistaken at .!4n 0 t enning of a new bull market, recovered more than 50 of the He also pOints out that in earlier 'fu overy following the initial sell-off lasted an average of eight . 0 The present rebound has lasted almost eight months 53.4'1aminimumand71.8 i ' Ie over 50 of the decline as against While the ig.ti m the 1956 high to the October low is rela- tively mild as co imum of 50.2 in 1937-1942 and 49.3 in 1929-1932, this is probably acc n d y the investment type, regulated markets of the present, as compared with the ulative, low-margined, unregulated markets of the past. The initial 1946 dec e was only 25.1. This interesting study indicates to me that the averages will probably have to spend a longer time in basing out in a long trading range before an advance to new high territory is indicated. A necessary preliminary is many moves up and down in. the averages and individual issues similar to the 1946-1949 period when the averages, after reaching 213 in May, 1946 ,declined to 160 in October, 1946 and spent about forty months in the 160-195 range until this area was finally penetrated on the upside. The present market has had only eight months since the October lows. The action of individual issues and groups will, of course, be quite different from that of the averages. As pOinted out in previous letters, individual groups fall into several categoriesofpl'-ice future and the. indicated '- trading range will present some very interesting profit possibilities. It is interest- ing to note that the leaders of one advance are seldom the leaders of the next advance. My technical work shows that this will be true of the present market. A quite differ- ent group of stocks may be the leaders of the next dynamic upswing. It will be wise to prepare for this eventuality. EDMUND W. TABELL WALSTON & CO.INC. , ThiS mllrket letter IS not. nnd under no Circumstances IS to be construed !lB, nn offer to 'lell or It soliCitatIOn to buy any r;c('untles referred to herein The mformation cunlnmcd hc.t em IS not gullrantccd 11'1 to .lccurllcy or cowplctenlSS Ilnd the furnlshmg' ther(Of IS not, nnd unrlel no Clrcumstnncll to be construed as, fI repre-;entn. tHIn by 'nlston & Co. 1m' All expres'IlOn! of oPinion are subJcct to chnnge Without WaJ'Iton & Co, Inc, und Officers. Directors, Stockholders and r,mpluyees thcleof. purchn,e, nnd may have an mterest m the securities mentIOned herem ThiS maret Ictter IS Intended and presented merely as a general, 111ft! mnl commentary on day to 'lny market news and not ns a complete analySIS Addltlonal mformnhon With respect to any !ecurltles referred to herem Will be fUI tlllOll request \\ 301

NEW YORK Walston &Co. Inc. MembeTS New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHI!AGO TABELL'S MARKET LETTER , June 20, 1958 In January, 1955 this letter made a compilation which aroused a good deal of interest. The introduction to this compilation read as follows Few people realize how diverse the action of the market has been over recent years. Regardless of the fact that the Dow-Jones Industrial Average has advanced for over five years with Just a few minor interruptions, the action of various types of secu- rities has been quite different. Many holders show losses on individual securities des- pite the fact that the general market has been in a broad advance since 1949. As always, . it hl-s the wrong wrQ!lK..1ime. main,it -has definftely pal.dio own-'qu-ali(Y-issues over years. The following compila'iion may be of interest. It presupposes an investment of 100,000 in four different groups of stocks at the 1946 highs. The first group is composed of twenty growth issues and presupposes an investment of 5000 each in such growth companies as Dow Chemical, Corning Glass, IBM, etc. The second group is composed of twenty stocks of invest- ment quality. It was selected from the twenty favored issues of 130 Common Trust Funds of leading trust companies. It includes such issues as General Motors, Stand- ard Oil of New Jersey, General Electric, National Dairy, Sears Roebuck, etc. The third group consists of good quality dividend-paying issues a bit below the investment quality of the second group. It consists of issues like Allied Stores, Allis Chalmers, Babcock & Wilcox, National Gypsum, Sylvania, etc. The fourth group consists of lower-priced, more speculative issues. It comprises the twenty most actively traded issues in 1953 selling at around 20 or lower. It includes the issues in which the general public usually trades. It consists of issues like Tele- phone, New York Central, Pennsylvania Railroad, Pepsi (iJ The conclusions drawn from this study in 1956 when it was repeated, were pretty well cut and Tlksltudv that the growth -group-outperfOl-med..all-the otheI' gl'OUpS -oy- cS taitt(a. argin.' -next best–per- – forming group was the he medium-grade and then by the low-priced issues. So of the last group that the buyer at 1946 highs showed a . g of the period and, indeed, could have recouped his 1957 high. i ti (y-Y Y selling each stock at very close to its 1956- The same ra in ained during the 1946-1949 bear market. During this period the growth gr aepreciated to only about 88,000, the investment group to 80,000, the medium-grade group to 56,000 and the low-priced group to 36,000. Thus, the study showed that in both an up and a down market the buyer of growth stocks had a clear advantage over the purchaser of other types of securities and that the lowpriced trading issues would have turned in an amazingly poor market performance. As shown below, the study has now been brought up to date. The value of each portfolio has been refigured taking (1) the price of each stock at its 1956-1957 high, (2) the price of each stock at its 1957 low, and (3) its current price. The con- clusions to be drawn today are not so clear cut. Loss Net – – – – 1946, 1956-57 High 1957 Low Decline Current Regail'.cd -Lo-ss Growth 100,000 580,012 357,508 38 442,931 38 24 Investment 100,000 314,654 211,821 33 260,841 48 17 Medium 100,000 210,326 114,173 46 134,800 21 35 Low 100,000 103,792 56, 537 46 85,046 60 18 — As is shown, the usual pattern of relative performance continued. as far as the 1956-1957 high,with a 100, 000 in growth stocks appreciating to over This mnrket letter IS not, Bnd under no circumstances IS to be construed IS, an offer to sell or a sohCltation to buy any sC'Cuntles referred to herem The mformatlon ('ontnlned herem 15 not guaranteed as to accuracy or completeness and the furnlshmg thereof IS not, nnd \mder no Circumstances IS to be construed as, a representa- lIOn by \\'nl;ton & Co, Inc All ell.preSSlons of opmlOn arc subJect to Without notice Walston & Co. Inc., and Officers, Stockholders and Employees lhCTf'Of, purchnse, sell and may have nn mter(!1lt In the secuntlC!! mentioned herem ThiS market letter IS mtended and presented merely as a Informal commenlary on du) to da mdrket news and not us a complete Adrhtlonal mformatlon With respect to any SeCUrities referred to herein …. Ill be furlli!ohei upon r e J u e s t ' \\ 301 -2- 580,000, while the low-priced stocks barely recovered to their 1946 prices. Since that time the record has been somewhat different. The two most startling performers have been the investment-grade issues and the low-priced issues. The former had the smallest loss during the 1956-1957 period, depreciating only 33. 48 of this loss has been recovered at current levels for a net loss of only 17. The low-priced issues issues,while having the largest loss (46),have also shown the largest recovery since their lows,and current prices are only 18 belowihe 1957 high. The growth issues, formerly the leaders, had a 38 decline and recovered only 38 of their loss, so that they are still 24 below their highs. Meanwhile, the medium-grades acted the worst with the largest loss and the smallest recovery for a net loss of 35. Some clues as to the reasons for this change in pattern may be gathered from comparative earnings. The following table shows price earnings ratios for each group in 1946, 957.highs, … Growth Issues Investment Issues Medium-Grade Issues Low-Priced Issues 1946 16.5 15.4 12.9 18.0 P ERa tio 1956-7 High Current 30.8 17.9 16.2 10.8 23.5 14.9 10.4 8.8 It will be seen that a large part of the good performance of the growth stocks stemmed from the fact that the PiE ratio increased from 16.5 in 1946 to 30.8 at the 1956-1957 high. Meanwhile the PiE ratio of the investment-grade group increased relatively little so that most of the rise was due to actual improving earnings rather than a change in investor sentiment. The poor performance of the low-priced group is also explained by the fact that the PiE ratio in 1946 was a ridiculous 18.0 and at the 1956-1957 high was only 10.8. Thus, despite the fact that earnings improved, declining investor sentiment caused very poor price action. ,, ….. It will be seen that except for the growth group, earnings are now being valued con- siderably lower than they were at the 1946 tops. However, in the growth group, the piE ratio still stands at 23.5, considerably above the 16.5 figure of 1946. Thus it is possible that the same type of action may continue. The conclusions of this latest study are not quite so easy to state. There is no doubt but what the buyer of growth stocks had a definite advantage during the 19461956 cycle. Preliminary work shows that this advantage has not continued during the current bear market. While it is not conclusively demonstrated that the former advantage pessessed by the growth equities is entirely absent, the possibility that an entirely different type of stock may be the leader of the next upswing cannot be over- looked. '- EDMUND W. TABELL WALSTON & CO. INC. AWTamb – – – Note The names of the individual issues in the four groups mentioned above will be furnished upon request. Tne following are the stocks mentioned in the Tabell Market Letter of June 20,1958, together with the number of shares which would be owned as of this date, adjusting for all stock dividends, split-ups and capital changes since 1946 GROWTH ISSUES 750 Aluminium, Ltd. 226 Amerada 147 Carrier 350 Corning Glass 389 Dow Chemical 91 DuPont 500 El Paso Nat! Gas 172 Goodrich 135 Intern'l Bus. Mach. 294 Minn. Honeywell 712 Mmn. Mming Mfg. 312 Monsanto 367 National Lead 192 Pfizer 266 Owens Corning Fiber. 263 Radio Corp. of Amer. 87 Rohm & Haas 333 Scott Paper 267 Shell Oil 132 Union Carbide INVESTMENT ISSUES 208 American Can 334 Amer. Cyanamid 91 DuPont 312 General Electric 196 General Foods 417 General Motor s 151 Gulf Oil 196 Johns Manville 86 Kennecott 232 National Dairy 91 Penney,J. C. 286 PhillIps Petrol. 315 Sears Roebuck 260 Socomy Mobil 186 Stand. Oil of Calif. 208 Stand. Oil of Ind. 396 Stand. Oil of N. J. 318 Texas Company 132 Union Carbide 143 Westinghouse Elec. MEDIUM -GRADE ISSUES 84 Allied Stores 172 Allis Chalmers 584 Babcock & Wllcox 204 Blaw Knox 217 Bucyrus Erie 250 Burroughs 125 Chain Belt 294 Clevite 108 Crane Co 178 Distillers Corp 98 Carrier 312 Joy 228 Mead 173 National Gypsum 156 New York Air Brake 561 Penn Dixie Cement 143 Rheem 156 Sylvania 215 Yale & Towne 328 Lowenstein LOW-PRICED ISSUES 277 Amer.Airlmes 32,3 Armour 385 Avco 18 Balt. & Ohio 294 Canada Dry 385 Columbia Gas 505 Emerson Radio 104 Gimbel 200 Intern'l Tel & Tel 125 Loew's 209 Mack Truck 147 N. Y. Central 454 Studebaker Pack. 250 Pan Amer.Air. Exchanged for original investment m Elliott Co. 119 Penn. Railroad 143 Pepsi-Cola 238 Raytheon 294 Rexall 239 Servel 143 Splegel Edmund W. Thlbell Walston & Co. Inc.

NEW YORK ' SAN FRANCISCO ' LOS ANGELES ' PHILADELPHIA ' OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER June 27, 1958 After declining to a low point on Tuesday of 467.37 on the Dow-Jones Industrial Average and 44.52 on the Standard & Poor 500-Stock Index, the averages rallied back to intra-day highs of 478.09 and 45.18 on Friday. This falls within the classification of a half to two-thirds retracement of the decline from the June 17th highs of 482.11 and 45.57. The important points to watch for near term technical action are the highs and lows of the past two weeks. Because of the heavy overhead supply in the averages, a downside penetration would be of more significance than an upside penetration. A decline 455-450 and 43-42. ' '–. -,,– – – –at Most of the averages have reached the lower part of the long trading areas of 525-460 and 49-45, in which the averages held from late 1955 until the Autumn of 1957. This huge overhead supply of almost two years duration constitutes a definite upside barrier for the averages that may take considerable time to penetrate. It is, in my opinion, highly improbable that this overhead supply will be penetrated on the first attem t While the above is true of the industrial and combined averages, the rail averag s are still quite a bit below the overhead supply at 138-1BO. The Dow-Jones Rail Average has shown good technical action in the recent decline. At Friday's intra-day high of 119. 2 it had recovered most of the decline from a June 17th high of 120.44 to the week's low of 116.34. The utility average, of course, has an enhrely different pattern. It never had the overhead supply that existed in the other averages and is now in all-time high territory. From the viewpoint of the upside potentials bases, most of the industrial and combined averag7fohav The rail average, however, has an upside could work somewhat higher. It is probable that at (\l,t9\md r 0stober-February e objectives. an e utility average highs, the industrial average has about reached its potential for sohfe furtlier strength inlne rails — g- move. The posslbihty of com15ine-d average-s'to a — slightly higher level. As stiedi e y, I continue to anticipate a broad trading area in the averages 't' e of roughly 4BO-430 and 45-40, with ex- tremely selective acti l i, ' . I l ' A further broadening of the base is needed for an eventual ' e t n e heavy overhead supply. I continue to advise lightening undesir i ts in the upper part of the wide trading area in the averages and adding 0 h gs in recommended issues in the lower part of the trading range. In lookmg over my recommended list (last reviewed in letter of May 29th) I find that profit-taking appears indicated in two situations. Raytheon was originally mentioned in the 1B-20 range. It has reached a high of 35 and closed Friday at 33 l/B. It has reached its initial objective of 33, and while it could work somewhat higher, I am suggesting taking long term profits. The last sale on First National Stores was 69 and the high has been 69 3/4. It is approaching its objective of 70-75 and we are dropping it from the recommended list. I would continue to hold the balance of the recommended list, most of which show nice profits at present levels. The only two that have shown relatively poor action are International Minerals & Chemical (26 7/ B)and United Biscuit (31 5/B). However, both of these issues have interesting long term potentials and I would continue to hold despite poor immediate action. The balance oLthe list-follows, American Can (49 l/B) Anchor Hocking Glass (52 1/2) Carolina Power & Light (31 3/B) Container Corp. (21 1/4) Family Finance (2B 1/4) Hoffman Electronics (2B 1/2) Lily Tulip Cup (75 3/4) National Gypsum (47 l/B) Pan American-World Air (16 3/4) Philip Morris (52 1/4) Wilson & Co. (21 7/ B) Zenith Radio (83) I intend to add to this list during periods of market weakness. EDMUND W. TABELL 3UAJ STON Sr CO mc, mnrk('t letter not, nnd under no circumstances IS to be construed ns, an offer to sell or a !!OhClwtlOn to buy nny securities referred to herein The infrormntlOn rnntame.\ hf'rem 1'1 not ns to IIccura('y or completene!.s and the urnlshmg thereof 1'1 not, and under no ClrCUm&tances IS to be construed as, a reprcsentn- tlln by . Co, Inc All e,preSSlOns of opmHm are 'lubJcct to IIntll'C \\'nl;ton & Co, Inc, and OffIcers, Dlrectrs, Stockhulder'! and thereof, purchase, sell and may ha\'c an Interest III the securitIes mentIoned herelll market letter IS Intended and prCClenled merely tUI II genera, Inrrm,11 cnmmentnr on tin)' to dny market news and not II.S a complete annhSl' Addltl,onuililformatlon '\lth rc'!pe('t to securlbes rderred to herein .,111 be fUi m ..h(1 \111()fI X JOI .- —

NEW YORK Walston &Co. Inc. Members New York Stock Excha.nge SAN FRANCISCO LOS ANGELES PHILADELPHIA OffiCES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER July 3, 1958 The averages have again rallied back into the heavy overhead supply area at 480-520 in the Dow-Jones Industrials and 45-49 in the Standard & Poor's 500-Stock Index. The highs for the week were 482.26 and 45.53 as compared with the June ,I \ 17th highs of 482.11 and 45.57. I am of the opinion that the general market averages will not push through this heavy supply of stock on the first attempt and some backing away is needed in order to enlarge the base and build up sufficient momentum to ab- sorb the overhead offerings. This may take considerable time and result in a continued broad trading area in the averages. ''If the'market-is to 'continuein- a broad trading'area 'for the-4'oreseeabl-efuture;-' -. the wise course is to ignore the averages as much as possible and concentrate on in- dividual issues with a combination of an attractive fundamental background and a po- tentially constructive technical pattern. The issues below seem to meet these quali- fications and probably will be added to the recommended list at what I consider the proper timing from a technical viewpoint. AMERICAN DISTILLING (34 ) is one of the largest of the independent distillers. Distilling stocks, in general, have shown improved relative strength of late as investors have recognized the fact that population figures favor growth in liquor consumption over the next decade. American Distilling has one of the best technical patterns in the group with an upside obj ective of 45-47 and support at 29-26, just under the current market. The company's emphasis on popular priced brands has enabled it to increase sales during the current recession, and earnings for the six months ended March 31st were 1. 85 a share vs. 1. 63 in the Earn- ings for the fiscal year to end this September ih – 4.00 range, and the current 1.60 dividend could be increased tl n t ure. The stock is selling well below the indicated book value of 4 a sha . -F-EDERAL…P-AP-ER BOAR boxboard, converting around one-h t . .9f folding 0 cartons. Acquisitions in recent years have benefited the product line. The lat t of t s integration and broadening of the q sitt.)tts is Federal Glass Company, a producer of low-priced hou e I r. hough earnings will probably be off slightly from the pro for 9 ,the 2.00 dividend is well covered and affords an excellent yield. St s ca ,the stock is selling at around nine times average earn- ings for the past five s and future growth of convenience packaging should provide for increase in ear gs over the longer term. The stock has an upside objective of 50, with strong support just under current levels. GIMBEL (29) has been engaged in an aggressive program of suburban store expansion and modernization with additions to property in 1957 totaling over 7 million. Suburban stores were opened in Bayshore, Long Island; Upper Darby, Pennsylvania; North Hills Shopping Center, Pittsburgh; Springfield, New Jersey and Stamford, Connecticut. A shopping center outlet in Milwaukee is scheduled to be opened shortly. The expansion of facilities has caused pressure on profit margins and earnings for the second quarter were down to 26' per share. A moderate decline in full-year earnings, perhaps to 3.25 from 3.69, may be in prospect, but the enlarged sales base should produce ….better earnings to come. The 1. 60 .dividend, which provides a 5 .5l'ayield, does not ap—pear in jeopardy and the stock has an excellent technical pattern with a possible upside objective of 43-45. PARAMOUNT PICTURES (41) has appeal as a special situation based on the eventual liquiClation of its surplus assets, for the most part old movies together with some real estate. The company has already sold its pre-1948 film library for 50 millio payable through 1973. The first payment on this sale amounted to 3.69 per share after tax. Paramount will ultimately receive close to 20 per share from this source, and it can be assumed that post-1948 films are worth equally as much, if not more. Meanwhile, the 2.00 dividend is covered by operating earnings which should be up in 1958 from the 2.47 shown in 1957. The stock has a possible upside objective of 60, with good sup- pOI t at the 36-35 level. E.nMTT'U TH 'T'A '0 T ThlK mnrkellc\tcr IS not, and under no clrcumstnnees IS to he eonstrued as, an offer to 1LIlW.l .. to herem The informnl1on is not guaranteed os to accuracy or completeness and the furmshmg tbl;l;C\j;f is IS to be construed us, n rcprcsenta- .I.(jnn hyWiiljton & Co. Inc All e'CpresslOns of OPInion arc suh)!!'Ct to change )o,mployees thereof, ;ell and may nn Interest In the securities mentlOncd herem r an IS murke 0c Qfficers, Dlrectora. Stockholders and let r IS m en eJ and prC'lcnted merely nil n general, mrurmnl cnmmentllry on rlny to day mnrket ne\\-s and nnt as a complete nnalys!''' Additional mformntu.n With respect to any secunbes referred to herem \\-111 be rm upon rCluCl \\ 101 , – – –,……

NEW YORK Walston &- Co. Inc Members New YOk Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER July 11, 1958 The market closed the week on a strong tone with the rails showing particular strength. The Dow-Jones Rail Average reached a new high of 122. 74, as compared with 120.44 on June 17th. The Industrial Average also advanced into new high territory, but the heavy overhead supply existing in the lower third of the two-year 525-460 range is slowing the pace of the advance. The June 17th intra-day high was 482.11 and the average reached only 483.76 on Monday and 484. 23 on Friday. While the industrials are deep into a supply area, the rails are still below the comparable 138-180 range,and,therefore, finding it easier to advance, as witness the past month. –' . around present levels. The advance from the October lows has lasted almost nine months and the average time duration of the first advance after a major decline like that wit- nessed last year is eight and a half months. Also, the Industrial Average has recovered about 60'70 of the decline from the 1956 high to the October 1957 low. This is also about average. This added to the fact that the In dustrial Average has a heavy overhead supply of stock to penetrate makes the possibility of a decline more probable. However, at present writing, the market gives no indication of the probability of a sharp decline from present levels. If such a decline occurs it will, in my opinion, take more of the form of consolidation rather than a sharp decline with the Industrial Average drifting down to the 460-450 level. Percentagewise, this would be rather mild and might have little effect on many stocks. As I have stated before, I believe the general market will continue a broad ac- cumulation similar to 1946 to 1949 for a long period of time. Different groups are in different stages of their accumulative patterns. Some are edvanced and some have just started, while others may make new lows te ation begins. Therefore, under such selective conditions it would .sa 0 concentrate new purchases on issues in groups that appear to be nearNl1Ei star to avoid those issue.'U!l.-grouRs . mM advancing phases and bas.e. o,ut. ' .. , Some of the-g'roups that appar- – 'e I -7 ced stage of accumulation, derlined are already in my re ome of the others may be added during market declines. – e c i ' s, Pan American World Airways, United Airlines. BUILDING MATER m e, National Gypsum, Gupsum. COAll Pittston Co. CONTAINERS Amentan , Anchor Hocking, Container Corp. and Lily Tulip. DEPARTMENT Federated Dept. Stores, Gimbel, Marshall Field, May Depart- ment Stores. FERTILEER. Amencan Agncultural Chemical, International Mmerals & Chemical. FINANCE' Family Finance, Household Finance. LI;'UOR Amencan Distilling, Schenley. MEAT PPCKING Wilson & Co. MOTION PICTURES Paramount, Twentieth Century-Fox. NATURAL GAS El Paso Natural Gas, Northern Natural Gas, Panhandle Eastern. – -OIL British Petroleum, Cities Service, Getty 011, Gulf Oil, Phillips Petroluem, Royal Dutch, Shell Transport, Socony Mobil, Standard Oil of Calrfornia, Te xas Gulf Producing. . . PAPER Paper, Kimberly-Ciark -Mead Corp', -Union Bag7'West Virginia Pulp & Paper. PHOTOGRAPHY Bell & Howell. RADIO-TELEVISION Zenith. TOBACCO PhIlip Morris. I would use the above issues as a buying lrst if a decline in the general market occurs. Groups I would avoId would include Aluminums, Automobiles, ChemIcals, Electrical Machmery, Machine Tools and Rubber. EDMUND W. TABELL ThIS market letter 15 not, Ilnd under no CIrcumstances 15 to be contrued as, an offer to ,RYI to herem The mformation contained herem lS not guaranteed as to accuracy or completeness and the furnlshml'! thereor IS not. and under no Circumstances IS to be construed ae, a representa- tIOn b. Walston & Co.. Inc All expressions of opmion are subject to chan)!e Ithout notice 'Valston & Co., Inc. Bnd Officers, Dircctors, Stockholders and thereof. purchae, sell and may ha\'e an mterest in the securities mentlOnoo herem Thls market letter IS mtended and presented merely as a general, mfurrnal commentary on day to day market news and not as a complete analYSIS Addlt10nal mfOrmat10n WIth respect to any seCUritIes referred to herem wlll be f111 mhed upon request \\.. 301

———- – – NEW YORK W—a-lsItnocn.&–C-o-. Members New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFfiCES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO fABELL'S MARKET LETTER July 18, 1958 As war clouds loomed over the Middle East, the stock market gyrated sharply last week reaching a high of489.89 on the Dow-Jones Industrials and 46.09 on the Standard & Poor's Stock Index on Friday. At a time like this, when nervousness and excitement is reaching a peak, the best course for the market technician is often to take the detached view provided by his charts. A study of market graphs, entirely apart from the Middle East situation, leads to the same conclusions which have been re- iterated in this letter over the past month. The Dow-Jones Industrial Average is still bumping against the heavy overhead sUrPly that exists between and 520. It remains extremely doubtful that the market able-to push through-thiS supply at -As -ofthis;riting,p-racticallyno tops have been formed, although further action around these levels could build up a broad distributive area. There seems to be no indication that the policy of buying stocks of favorably situated industries on minor weakness and of using strength to dispose of unfavorable commitments should be altered. As has been mentioned in previous letters, some market leaders over the nearer term may be stocks that were laggards in the 1949-1956 bull upswing. Among these leaders may be the department store stocks which, for the most part, have shown little in the way of either increased earnings or favorable market action over the past decade. The years since the war have not been easy ones for these companies. Although consumer disposable income has increased sharply, the percentage spent on non-durable goods declined from 55.1 in 1947 to 46.4 in 1956. Meanwhile, the shift to the suburbs put heavy pressure on downtown stores and necessitated the building of suburban outlets, causing heavy startup expenses. ThuE, total net income department 1t7..stores showed practically no change from 1948 to is l'aMJof owth led to com- paratively desultory market action and the stocks e I 'ng companies held in relatively narrow trading ranges during the periq'q.v.J\ The net result of all this is that been-formed,,,.,Moststoekschave-not- e-t ing companies, Federated De art t have already done so. Relati a1 accumulation bases have K- – s (Bl d May Department Stores (42), W'9' others is improving and it is possible that they may break out on hus, a favorable buying opportunity is presented. This co ated improvement in the fundamental background for the industry. c an be made that a major shift in consumer spending habits is taking plac a at the percentage of disposable incomes spent on non-durabl goods may increase. is percentage increased slightly in 1957 and will almost certainl increase further in 958, marking the first time since the war that it has risen two years in a row. With the maJor stores having completed their expansion programs, it is possible that some of the heavy pressure on profit margins will be relieved and that the retail companies will be able to show an earnings improvement paralleling the expected future rise in consumer income. Since the stocks are, in general, priced cheaply in relation to earnings, and provide generous yields at current prices, the fundamentals for a worthwhile advance seem to be present. Listed below are a few of the major com- panies in the field, together with breakout points and upside potentials which would be effective if these breakouts are reached; Stocks Current Price Upside Breakout Upside Potential Allied Stores Associated Dry Goods Federated Dept. Stores Gimbel Macy Marshall Field May Dept. Store Already Broken Out. 44 35 41 28 33 38 42 – 48 – -36 32 36 39 57-66 47-50 52-59 43-45 48 50-65 58 One or more of these companies will probably be added to our recommended list when the time appears most propitious for new buying. 10; not. nnd under no Circumstances 18 to be construcon a9, un offer to a1s tu Ion ' to herem The mformatIon IS not us to or completeness nnd the furnlshmg J, tHIll loy Wnlston & Co, Inc All expressions of opinIon nre 6ubJc('t to chonge wlthoWt whffibJln cb- 'ill' i9 to be constlued as, a reprcsenta Stockholders and Elllllloycl.''1 ttwrf'OC, plllchnse, sell and may haH' an Interest In thc 8cclIritH!9 mentioned helem ThIS market letter IS mtcnded Iud rrcscnted meTely a'J a geneTal, IlIf. mill ('ommentnry on (jay to day maTket news and not as a complete analYSIS Addlttonal lnformatlnn WIth Tespect to any securlbes reCeI red to herem Will be fllllllth,d up.m request \\;\ 30J …. –

NEW YORK Walston &Co. —–Inc —– Membe.-s New York Stock Exchange SAN FRANCISCO LOS ANGELES PHILADELPHIA OFFICES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S'MARKET LETTER July 25, 1958 The occupational disease of market letter writers, one to which we must plead partially guilty, is a compulsion to talk about the stock market in terms of the Dow-Jones Industrial Average. In this connection it would be very easy to compose a long letter abou how the average in crossing the 500 level on Friday is running into the overhead supply at 480-520, and how at least a minor correction from these levEls should be required. Such a discourse would be perfectly valid, but it detracts from what is, after all, the main function of security analysis — to find securities which appear undervalued from a funda- mental viewpoint and which appear technically ready to show positive price action. these lines;–the following tabulation-may'be ofinterest.- It divides,the mar- ket,into'the four major phases which have existed from August 1956 to the present day. (1) ,The decline from 523.33 to 453.07 in February 1957. (2) The rise to 523.11 in July 1957. (3) The decline to 416.15 in October 1957, and (4) the rise to an intra-week high of 502.64 this week. each of these phases the percentage change in the Dow-Jones Industrial Aver- age is listed together with tHe percentage rise or fall of the three best acting industry groups as measured by Standard & Poor's Industry averages. For the two advancing phases, the three worst acting groups are also tabulated. Table I August 1956 – February 1957 Dow-Jones Ind. Aver. Aircraft Mfg. Agricultural Mach. Machinery, Gen'l – 130/0 50/0 – 1 – 1 Table III July 1957 – October 1957 Dow-Jones Ind.Aver. Cigarettes – 20lo 7lo 4lo 4lo Table II . -J r -''1'957 J' euruary ' – u y l\- Do'-JOnes Ind. Aver. 150/0 Business & Off. Equip. BElectrical – \). yo ,\y ('Y Oil — — — – — Agricultural Mach. 1 Air Transpcrt – 10/0 Cigar ette s – 1lo 2 … J;957 – Jfti-r23-J!'l58 IndAwer.' 210/0 Utilities 310/0 Ci gqrettes 290/. –/–Radio & TV 28lo — — — — — Aluminum 2lo Electric!al Equip. Autos I 40/0 5lo The above tables give rise to some interesting assumptions. Let us assume that Investor A had been abiilllutely correct in predicting the course of the Dow-Jones Average since l;;tos.t bought at the absolute bottom and, in addition, sold short at the absolute top on evefy one of the major moves. Unfortunately, however, he was so busy' guessing the averages he did'not have time to try to pick the right stocks and was unlUCKY enough to divide his investment among the three worst acting groups in the bull marketS and the three best acting groups in the bear .. Resp,ite the hI called' every market turn ,correctly, his would have e'trty the period. -Investor 'B;on'the'other'hand, forgot about the market and–concentrated-only on -'- buyin,g the groups he lon.g the entire perio Desplte the fact that the ,.&omts 'et' day he started, his capital has m-a-l-agecl-4e in years. It is obvious that the two above instances represent extremes which are unattain- able. They nevertheless pOint up the fact that a good deal of energy is wasted in predict- ing the course of the averages which could more profitably be devoted attract- ive stock commitments. In the type of market we foresee for the it can be expected that this will continue to be the case. EDMUND W. TABELL WALSTON & CO.INC. market letter is not, and under no circumstances IS to be construed (lS, an offer to sell ot a sohcltntlOn to buy any aecuntlecJ referred to herein mformatiOn ('ontnmed is not gunranteed as to accuracy or completeness and the thereof is not, nnd under no ClrC\lmstances is to bc construed as, a representa han by WHiston & Co. Inc All epresslons of OPlmon arc subject to '\Ithout nOlice Walston & Co. Inc. and Officers. Directors. Stockholders and Empioy('Cs thereof, purchH'Ic. sell and mH)' have an Interest In the securities mentiOned herem Thl'l market letter 18 Intended and merely as a general. lnfnrmnl commentary on dH) to day market news Rlld not as a complete anah'sis AdditiOnal Information with respect to any securities referred to herein Will be fllrnlllh((1 upon r e q u e s t . ' 'YX 301

,——————————————————————– 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 August 1, 1958 There are several very general observations that might be made about the stock market at this stage. Basically, these observations are just abuut the same as those made a couple of months ago. The first observation is that the market is in a broad ac- cumulation area. By that I mean that stocks are slowly and gradually passing out of trading circulation and into the hands of institutions and individuals that are holding for long term investment and growth, and not for trading purposes. This process may be a lengthy one and will be interrupted several times by declining markets. The net result will be a broad trading area in the averages for a year or more. The eventual penetra- tion of this area will be on the upside. The second observation is that developments in – -East have -probablymoved-this -broad-accumulation-area-to 'a'higher plateau. For the twenty months between January, 1956 and August, 1957, the Dow-Jones Indus- trial Average held in an area bounded by 460-525. When the average broke below this area to reach 417 in October, it appeared that the initial advance from the low would meet heavy overhead supply of stock in the lower part of the 460-525 area, and would halt at around the 480 level. Prior to the Middle East development, the June high was 482.11 and the July high was 483.76. Subsequent events have accelerated the improve- ment in business from the April-May lows and have advanced the business time-table by several months. In the stock market, these events have probably advanced the over- head supply to the upper part of 460-525 area, instead of the lower part. This week's high was 508.39. It also has probably advanced the lower range of the projected ac- cumulation area from 440 to 460-470, with a net result that the market can be expected to range between 500-520 on the high side and 470-460 on the low side for the foresee- able future. ' Another observation is very obvious. The price ac 1 n . ivtdual groups and issues will be quite different from that of the gen1Ja j t as by the averages. Various groups are at different stages of the accu u ion pat Some may break out on the upside in the comparatively Ie ers may take considerably m'tin to dov,'op. Th' moves oetween issues in a group. c,p' 'd oCd',,' 0 s i ude issues that are much further advanced in their This th f E in a broad tradi a ' rv io t'that if the market averages are to remain . move in either direction, it might be wise to ignore the avera on the outlook for individual issues. This has proved wise in the st …. 111 probably continue to prove wise in the future. Further- more, if the average main in a trading range for the foreseeable future, the market leaders, which are e averages, will also remain in a trading range. For example, the old stock of Bethlehem Steel which was split 4-for-1 in early 1957, remained in a narrow trading range between 45 and 60 for the entire three-year period between 1951 and 1953. Its ultimate penetration out of this accumulation area resulted in a price level equivalent to 200. It is entirely possible that Bethlehem Steel could repeat this performance and remain in a broad trading area for the present stock of, let us say, 35 and 50. This could result in some excellent trading opportunities for the individual who is not concerned about short term capital gains. If the averages and the leaders are to remain in trading areas for the foresee- able future, probably the best long term profit opportunities will be found in off beat situations. This letter attempts to recommend issues that might show above average profits for holding-periods.of..sixcmonthsyor longer. ZENITH-RADIO was-originally- – . admitted to my recommended list at about 60 and is now selling at over 90. WILSON & CO. is another example. Originally recommended at 15 in December, it has moved up to 25 and still,' in my opinion, has further upside possibilities. As a final 0 bservation, it might be unwise to await a market decline to buy fun- damentally attractive issues, or for a further market advance to switch out of unattract- ive issues. In a broad trading area without a discernible major trend, individual issues quite often move in an opposite direction from the market for a good portion of the time. EDMUND W. TABELL WALSTON & CO. INC. market letter is not, and under no circumstances IS to be construed as, an offer to sell or n solicitatIOn to buy any securitIes referred to herem The mformatlOn contum(!d hetdn is not guaranteed as to accuracy or completeness and the furnishing thereof IS not, and under no cirCumstances IS to be construed as, a twn by \Valston & Co. Inc All expreSSIons of OpinIOn are subJect to chanRc Without notIce Walston & Co, Inc, and OffIcers, Directors, Stockholders and Employees thereof. purchase, sell and may have an mterest m the securitIes mentioned herein ThiS market letter IS mtended and presented merely as a general, mfurmnl commcr\tary on day to day market news and not as a complete analySIS AdditIOnal mfOlmahon With respect to any securitIes referred to herein WI!! be upon request \\-; 301

Wdlston &Co. Inc Membej's New York Stock Exchange NEW YORK SAN FRANCISCO ' LOS ANGELES ' PHILADELPHIA OffiCES COAST TO COAST CONNECTED BY DIRECT PRIVATE WIRE SYSTEM CHICAGO TABELL'S MARKET LETTER August B, 195B The market appears to be approaching a temporary climactic stage with heavy vol and a late tape combined with wide swings in the Dow-Jones Industrial Average for the we of 512. 27 followed by 500.32 and back to a new intra-day high of 513.47, followed by a cl of 510.13. Group rotation continues and virtually every group has now participated in th advance to at least some extent. Probably some temporary technical correction is needed on a short term basis. The first strong support area is the 4B5-4BO zone. The longer term picture remains the same. As stated in last week's letter, I belie the market is in a wide,accILmulation area bounded roughly.by the 500-520.range and the 4BO-460 range with the eventual penetration on the upside at some indeterminate time. Probably the market leaders will follow the same pattern as the averages and will offer some excellent trading opportunities. Selected secondary issues, however, could show su – tained strength while the general market remains in a trading area. My recommended list consists largely of specialty-type issue s for holding of six months or longer. Some profits have been taken, as noted in recent letters, on some of the defensive issues and in Raytheon at 33-35. I suggest profit-taking in capital apprecia- tion accounts in Carolina Power & Light, originally recommended at around 24 and now selling in the 32-33 range. It can continue to be held in long term investment accounts. For new purchases, I suggest a look at Hoffman Electronics (2B) which originally entered the list at around 22. It has backed away from its 29 5/B high and is near the strong 27- 25 support zone. Also, Wilson & Co. (241/2) despite its advance from 15 to 25, still indicates higher levels. It is, in my opinion, outstanding among the meat packing shares. International Minerals & Chemical (30 1'4) has shown recently, but has a potentially strong technical pattern an p relative strength toCbe an interesting speoilation at around current levels. Another issu l a s '1 r t y is United Biscuit (31 3/4). For income and eventual apprecia Ph' , ris (53 1/4) with a yield of 5.60/0 is an attractive purchase as is F ily anc l/B) with a slmilar yield. – — Foe issues, despite the fact that the grou . avoe -g,oup'''''' d'poctm,nt 0, p hc y liked in financial circles. A good part of the lack of ..!l.lcli)jably stems from the fact that depart- ent store stocks have one v y '1 for a long time and are considered a dull and lifeless r p. I S rkets, these issues have been quite dramatic. In the 1942-1946 e, some department store stocks advanced from 5000/0 to 20000/0, whil h Do ones Industrial Average gained 1290/0 during the same eriod. Of course, the ground was different in the 1942-1946 period than it is today nd no such percenta advance seems probable at this stage, but the group is slowly reaking out on the upside of a wide potential accumulation stage. The fundamentals would ppear to bear this out. Department store sales for the first six months are only 30/0 be- ow 1957. Considering the recession, this is an encouraging sign of continued high con- urn er buying power. In July, sales were close to the level of a year ago and further ains are expected as the year goes on. Most of the stocks in the group appear attractive, but my selection is Gimbel ros. Selling at 2B 1/2, the stock is paying a 40 quarterly dividend to yield 5 1/20/0. or the year ended January 31st, 195B earnings were 3.69, excluding capital gains of 3 a share. Earnings for the quarter ended April 30th were down to 26 as compared o 52 in the previous year, but the bulk of earnings are usually registered in the last wo quarters. The company operates ten Gimbel department stores, Saks-34th Street nd a chain of Saks-Fifth Avenue stores in leading shopping centers. The range on the tock since 1955 has been 31 1/ B high and 20 low. Ability to break out of this range on he upside would, from a technical point of view, indicate a good percentage advance. Despite their price advances, would continue to hold the remaining stocks in my recommended list, namely American Can (47), Anchor Hocking Glass (53 1/2), Container Corp. (233/4), Lily Tulip Cup (B6 1/4), National Gypsum (54 3/4), PanAmerican World Airways (18), and Zenith Radio (96 1/2). EDMUND W. TABELL WALSTON & CO. INC. Thl market letter I!, not und under no circumstances IS to be construed as, nn offer to sell or a 'lolicitnhon to buy Dny sc('untles referred to herein Th(! mformntJton hctctn IS not flS to uccurn('y or completeness fLnn the furnl,;hlnlol; thereof IS not. and under eM to twn h' \Vnh;ton & Co Inc All of OPinIOn are subJcct to chan!!e WIthout not ICC \Vnlston & o. nc. nn Icers. Ifec Ofq. c O l F 1 I'I'S thereof on fill Olllhcd lIPon request. sell and may ha.. e an Interest m the securIties mentIOned herem 'ThiS mnrket letter IS Intended and l)resented merely as a generix; . .to day market news and not as a complete nnalysls AdditIOnal mformatlOn With respect to any seCllfltJes referred to herein 301