Walston Inc &Co. Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND oveRSEAS TABELL'S MARKET LETTER September 4, 1964 It was over six months ago that the Dow-Jones Industrial Average reached a new historic landmarkand closedabo\'ie…&OO. This occurred on February 28th when the average closed at 800. 14. The industrrai-av-era—ge has not closed below 800 since that time, although it had a close calIon June 8th when the close was 800.31. The decline continued the next day to reach an intra-day low of 796.90, but the market rallied to close at 805.54 on June 9th. The advance over the past six months has been ratn.er labored as far as the industrial aver- age has been concerned, although there have been many worthwhile moves in individual issues. At the July 20th intra-day high of 855.19, the industrial average was only 6. 70/. above the 800 level. There have been several swings back and forth in the 800-855 range durin,g the past-six months, -however. The subsequentintnl-day high after the 800 level was reachea–on – May 7th at 836.06. This was followed by the decline to the intra-day low of 796.90 on June 9th. The next rally carried to a newall-time high at 855. 19 on July 20th. Up until now, this has been the high. The next decline retraced about 600/. of the previous advance to reach a low of 820.78 on August 5th. The rally from that point reached an intra-day high of 850.84 on Fr ida y. The important points, as far as the averages are concerned, are the high of July 20th at 855.19, and the low of August 5th at 820.78. Both of these levels were reached over a month ago and are thus of at least intermediate term significance. It is our opinion that the trend of volume will give us the clue as to the direction as well as the extent and probable duration of the next move. In the table below are figures for the total volume and upside and downside volume on the New York Stock Exchange on the dates of the highs and lows noted above. The figures are the past thirty-five trading days. The figures for upside and downside volume e d a by taking the per- centage of advances and declines for each day with three zeros in the figures below are eliminated. ' Cj c s minated. The last Dow-Jones Dow-Jones 3 -Day Date -High Low T I lum Up Volume June 9th July 20th 0\7. . \y 139; 061 126,996 64,421 70,113(a) August 5th 129,702 67,260 Sept. 4th 850. 113,324 55,889 a – Actual s olume high was reached on July 24th. b – Actual nside volume high was reached August 6th. 35-Day Down Volume 74,640 58,973 63,157(b) 57,435– Volume reached a high on a thirty-five day basis on May 7th when the industrial average reached 836.06, and has not been bettered since. Upside volume at the July high of 855.19 was well below the May 7th high at 836.06 and, with the average now close to the JLlly high, upside volume is well below both these figures. It is also interesting to note that the advance in price from both the July low and August low were brought about by a sharp drop in liquidating pressure rather than by an increase i'1 buying power. Actually, upside volume is now below the upside volume at the August low at almost thirty points below the present price. A constructive sign would be an increase in upside volume above the 70,113,000 level of July 20th at the 855.19 high. A new high in price would not have very much significance unless accompanied by a sharp volume increase. At presen-t levels,-the-upside voliirrHHs-well below the July figure. On the downside, it would be disconcerting if downside volume on a thirty-five day basis moved above the August total of 63,157,000. At the moment, present downside volume is fairly close to this figure. In the present highly selective market, this letter has recently added General Dynam' Shell Oil, Crowell Collier, American Can and Clevite Corporation to our recommended list. In order to reduce the number of issues under supervision, DuPont, De'lemours is being drop ped from the Quality & Long Term Growth List, although it may be held by patient investors. The stock was originally recommended on June 25,1962 and holders received a distribution of 36/100ths of a share of General Motors in early 1964. Dow-Jones Ind. 848.31 Dow-Jones Rails 211. 25 EDMUND W. TABELL WALSTON & CO. INC. nHlr\..et lctWl is not flnd under no circumstances IS to be construed as, an offer to ;(1\ or a SoliCItatiOn to buy ony referred to herem The informatIOn rlltllincd herem IS n(lt I!ulranlced us to accurnc) or rompletcncss and the furnl.,hml! thereof is not, and undCI no lS to be con!!trued tiS, a representa. t'lm \VI\1'1ton & C(. In(' All cxpressions of opinion nrc suhJect to change wlthuut notice \Volston & Co. Inc. and Officer!!!, Directors, Stockholders and J.,mJlio)'C'C'i thereof, ll!11 ani! may hale an mterest m the sceuritles mentHlned herem ThiS market letter 16 intended and presented merely as a mformnl commontary on day to day market ncws and not as a complete anaIY!!I!! Addillonal mformatlOn …. Ith respect to any SecUIIllCS referred to herem Will be flU nL'ihed upon request . \\-.. 30\

Walston &CO. – – – – I n c . ;…;;……;…..;..; Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER September 11, 1964 The market, as measured by the Dow-Jones Industrials, reached a newall-time pea on Friday at an intra-day high of 870.64. This compares with the July 20th high of 855.19. It is interesting to note that the new high in the Dow-Jones average has not yet been confirm- ed by either the Standard & Poor's 425-stock industrial index, or the 500-stock composite index. Fridays close of 88.290n the S & P industrial index and 83. 45 on the S & P composite index, were still below the July high closings of 89.05 and 84.01. Also, the advance of the individual stocks in the Dow-Jones Industrial Average has been extremely selective. Of the thirty stocks that comprise the Industrial Average, only four have decisively reached new high 1963- territory on the present advance. They are Chrysler, duRont, Motors and United Aircraft. In addition, General Foods and Owens-Illinois Glass reached new highs by a fraction. The remaining twenty-four issues reached their highs in July or April, or earlier, and have not, as yet, bettered them. Our breadth index, however, has confirmed the advance in the Dow-Jones industrials by reaching new high territory by a modest amount. As we noted in last week's letter, the trend of volume will probably give us the clue as to the extent and probable duration of the advance. Volume has improved considerably over the past several days, but is still below the 35-day average volume at the former peaks at 855.19 in July and 836.06 in May. In orderfo the market to advance on a broad scale, rather than on the extremely selective basis we have witnessed in the past six months, there must be a continued increase in the volume of trading brought about by increased upside volume. The rise so far has been largely sparked by a sharp decrease in liquidating pressure. Thirty-five day downside volume has been reaching new low territory for the year for the past several weeks. For the nearer term the upswing has been Dow-Jones Industria Average has advanced over forty points on an and some consolidation is indicated. Several of our ba 1 'dlC twelve trading days, s have reached over- bought territory. V( Despite the sharp advance in the nsiderable number of issues selling at reasonable price levels and with g 'eld81 e table below are nineteen issue with various quality ratings. They modest p/E'ratios. Eighteen of-these e e 0 or,better and are selling at of our -recommended'list. The other – issue, Koppers Co. Inc. is no recommended list. u it r 's Elarnmionsgs pIE Dividend Yield American Can American Metal Pr American Radiator Atchison, Top. & SF Beaunit Corp. Copperweld Steel Denver, Rio Grande Eaton Mfg. Fruehauf Corp. Kansas City So. Ind. Koppers Co. Inc. Midland-Ross Mohasco Norfolk & Western Reynolds Tobacco Royal Dutch Scoville Mfg. Southern Railway Storer Broadcasting B B B B AB B BA A A B B B 4 1/8 21 7/8 337/8 32 561/2 213/8 46 3/4 341/4 45 3/4 47 1/2 401/2 143/8 133 1/8 45 3/4 46 37 64 3/4 50 2.47 2.10 1. 96 2.82 2.76 3.74 1.59 4.05 2.49 4.03 3.54 3.12 .92 9.58 3. 14 3.69 2.96 4. 78 3.24 18 10 11 12 12 15 13 11 14 11 13 13 16 14 15 12 13 13 15 2.00 1.00 1.00 1.60 1.20 2.00 1.00 2.00 1.50 2.00 2.00 1.80 .60 6.00 1.80 1. 74 1.75 2. 80 2.00 4.5 4.5 4. 5 4.8 3. 7 3.6 4.8 4.3 4.3 4.3 4.2 4.3 4.2 4.5 3.8 3.8 4.8 4. 3 4.0 While yields are somewhat lower than on the above issues, Clevite (457/8), Rayonier (36 7/8) and Swingline (37 7/8), on our recommended list, also appear attractive. Universal Match (143/4) is in the low-priced speculative section. The stock has been moving hlgher on lncreased volume. This is a speculative situation, but most vending machin companies appear to be forming strong potentia1 base patterns after sharp declines from the 1961 highs. Universal Match sold as high as 80 3/4 in 1961. Since 1962, the stock has held in the 20-11 area and has formed what appears to be a substantial potential base. The stock is recommended as a speculative buy. Dow-Jones Ind. 867.13 Dow-Jones Rails 214.73 EDMUND W. TABELL WALSTON & CO. INC. ThIS market letter I not. and under no t'!ircumstnnces IS to be construed 6S. an offer to sell or a sohcitatlon to buy any 8ccuntles referred to herein The Information contained herem 18 not guaranteed 8S to accuracy or completeness and the furnlshmg ther('Of IS not. and under no CIrcumstance'! is to be construed as, a. representa- tIOn by '\oVulston &. Co, Ine All expressIOns of opmion are subject to change Without nobce. Walston & Co, Inc. and Officers, Directors, Stoekholders and Jo;mployees thereof purchnse, scll and may have an mterest in the securities mentIOned herein. ThiS market letter IS intended and presented merely as a general. ITlformal on day to day market news and not 8& a complete analysis Additional mformatlOn with respect to any securities referred to herem will be furRlshed upon requJ!'St. \\ N JOt

Walston &reo. —-Inc. –..;….;.. Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFIces COAST TO COAST AND OVERSEAS TABELL'S MARKET..LETTER-. ,. . .'. .. September 18, 1964 As we have pointed out in these letters, the action of individual stocks has, in recent markets, been far more important than the action of the averages. In recognition of this fact, we have made a number of changes in our recommended list which have been noted in market letters over the past few weeks. Up-to-date copies of this list are now available from your Walston & Co. Inc., Account Executive. Two stocks recently added to the list are reviewed below. In additin, a third, METROMEDIA, Inc., being added to the list this week, is also discussed. SHELL OIL COMPANY (49 1/2) appears to be one of the more attractive investment vehicles domestic ..;owned by–. group and constitutes that group's production, refining and marketing faclhty wlthm the continental United States. However, with a total of over 60 million shares outstanding, floating supply is still large. .. The characteristic that differentiates Shell from most other domestic integrated oils is 1ts in chemicals and natural gas. In the petroleum industry it is the largest domestic manufacturer and marketer of chemicals, including alcohol, glycerine, resins, plastics, synthetic rubber, styrenes, agricultural chemicals and sulphur. Extensive oil exploration is being carried on in the Louisiana offshore area, which now accounts for 250/0 of total crude output. Both earnings and cash flow set a new record in 1963 with 2. 97 per share being shown. Another new record is expected in 1964 with the com pany having earned 1. 58 for the first six months versus 1. 50. The 1. 50 dividend provides a fair yiKeOldP. PERS CO. INC. 49 has long been a major bui r 0 0 ens, but in recent years has become active in two fields which appear c al ise for the fut ure. The first of these is chemicals, most of them coa . roducts. These include naphthalene, resins, styrene and ich holds a great deal of promise is oxygen steel making and Kopper 1 n the st important domestic designer and-builder-of- n -.., casting process now getting diversified, but the great ajo' ;r,1; industry. Koppers' sales are widely heavy industry. The stock is, therefore; in a position to benefit fr ca' spending. 1963 earnings were 3.01 and should improve to around I 2.00 dividend provides a relatively generous yield. METROMED 18 is a new addition to our list. Although speculative,and erves attention. It has increased revenues from 5 million in 1956 to 60 million la ear, with an increase in per share earnings from to 2.13. The company is an owner and operator of television and radio stations and also is prominently identified with outdoor advertising on the west cqast. The company's ability to increase advertising revenue for the various media it operates speaks for itself. The company operates under FCC regulations which limit single ownership to seven television stations and seven radio stations. Under these regulations, a company which owns the maximum permissible number of stations can increase revenues only by trading up — selling smaller stations and buying larger ones. This the company has done successfully over recent years and now has television stations in New York, Los Angeles, Washington and Kansas City, plus rariio outlets in New York, Los Angeles, Philadelphia, Cleveland, Kansas City and Baltimore. Recently, a television station in California, sold. Thus, the company is now in a position to acquire a station servicing a larger market- ing area. Regulations would also permit the acquisition of an additional radio outlet. Most of the company's acquisitions over the years have involved borrowing and the company recently refinanced its long term debt. There is considerable potential dilution fro convertible issues and warrants, but it is not believed that this will take place all at once. The stock appears to be an attractive long range speculation. Dow-Jones Ind. 865.12 Dow-Jones Rails 215.30 ANTHONY W. TABELL WALSTON & CO. INC. mnrket letter is not. nnd under no circum!ltancel'l is to be construed as. an offer to sell or a solicitation to buy any securities referred to herein The Information C'Untmncd herem is not I!'tlllrnnUlt'd as to necuracy or c0!f1pletene98 and the furnlshln,c thereof Is not, and under no clrcumstanees 18 to be construed as, a representa- tion by Wnlston & Co.. Inc All expreoslOns of opinion are subject to chlln,cc Without notice Walston & Co Inc and Officers Directors Stockholders and Employees thereof, pUlchnse. 8ell and may have an intere9t In the securities mentioned herein. ThIS market 18 and all a general. mformal comm..ntary on day to day market news and not all a complete analysis Additional mformation With respect to any securities referred to herein will be iurn1shect upon request \\ N 301 …

Walston &Co. I n.c. ..;;;;-….;….;;..; Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER.. September 25, 1964 To followers of the Dow-Jones Industrial Average the statement that the market ex- ceeded its July high for the first time this week must seem rather silly, a-s those who watch the Dow are well aware it exceeded its July intra-day peak on September 8th, and has been making repeated new highs ever since, reaching a high of 879. 26 on Friday. Followers of Standard & Poor's indices, however, have been seeing an entirely differ- ent picture of what the market is doing. The S&P 500-Stock index reached a new intra-day high for the first time on September 22nd, and reached a closing high for the first time on Friday. The 425-Stock Industrial index reached a new intra-day peak for the first time on can be cited to show astill picture. used New York Herald-Tribune 100-Stock index, the market has not yet made a new high. The July high for this average was 304.36, and as of Thursday its high was 301. 82. The Herald-Tribune index has, as a matter of fact, consistently acted worse than other market barometers. For example, most indices, after declining in early August, rallied in the mid- dle of the month and then moved to a low toward the month end. They then commenced the current move to new highs. In most indices, the late August low was considerably above the figure for the early part of the month, but the Herald-Tribune index posted a new bottom at that time. Comparative figures on five widely used indices are presented below. Dow-Jones Ind. Aver. July High 855.19 Early Aug. Low 820.78 MidAug. High 847.19 Late Aug. Low 0 September High 879.26 .. Stand. & Poor's 500-Stk. Stand. & Poor's 425 Ind. 84.33 89. 39 80. 80 85.41 8. 84.62 . 7 89.60 N. Y. Times 50-Stk. Aver. 507.49 N..Y.Herald-X.lcib. 100-Stk.-304.-36 482. '0W .'i99. 486. 80 522.30 – -.– .To September 24th. '.' …. The above compar' on . prove that there is anything wrong or right with a particular av r , ortuna tely, no such thing as a perfect stock market index. Any index an od computation has both its advantages and Averages will act diff en ly ending on the stocks included and the weights assigned to each. A good part of the ength of the Dow over the summer can be attributed to the fact that it includes a num of stocks which have been relatively strong. A good part of the weakness in the Herald-Tribune index is due to a relatively heavy weight assigned to Inter- national Business Machines which, recently, has been notably weak. Thus, if, as of July, Chrysler and DuPont had been removed from the Dow index, and IBM and Ford had been substituted, the average would even today be below its July peak rather than in new high territory by more than twenty points. The real lesson of this discussion is that the market has, over the summer, and indeed for most of 1964, really been trendless. The great majority of stocks in all probability are today, plus or minus a fev pOints, selling just about where they sold at the beginning of the summer. A notable few have scored worthwhile gains and others have shown relatively sev losses. Breadth indices show th.a.t.)here has been a slightly larger number of advances; but the preponderance of advances is relatively small. Equal divergence appears to be present in values available. Based on the past twelve months earnings, most averages appear to be selling at rather generous multiples, but there is, at the same time, no shortage of com- panies that are selling at price-earnings ratios much lower than that of the average and which appear to be in a position to post significant earnings gains over the years ahead. It is companies of this type which we have attempted to include in our recommended list, and it is in these issues that the investor should concentrate his holdings in order to achieve capital gains in an essentially sidewise market. Dow-Jones Ind. 874. 71 Dow-Jones Rails 218.03 ANTHONY W. TABELL WALSTON & CO. INC. Thl'l market Jettel b lIol nnd under no CITCUm'ltnm;es IS to be as, nn ofTer tn sell or n sulLdtatlOn to buy Il!lY seeuntJes T.dcrred to herem The infOlmlltion (ntUlne!! tu, hy herem is &. nCtoJ,,!1umarnnAtccnrl as to aeellracy eXllreSSl()n9 of or completeness nnd the opInion nr(' 'lubJect to chnllAe thereof Ithuut IS nut, and undel Walston &. no circumstance' 1.9 to be construed as, a rcprescnta Co. Inc., and Officers, Directors, Stockholders and t-ml'loyec-. therror, IHllchase, sell Inri may hu\'eln mt('rest In the r.ccuTibes mlntlOnerl.hereln ThiS maket lett.c-r IS Intended and presented merely as a general, Informal ('ommQntary on day to day murket news and not as a complete Additional InformatIOn With respect to any SeCUTItles referred to herein Will be furnlHhed upon rcquE!'lt. \\!\ 301

Walston &CO. Inc – – – – Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER October 2, 1964 ELECTRlBfl'STORAGE BATTERY COMPANY Current Price 42 The Electric Storage Battery Company is, Current Dividend 1. 60 as its name implies, a producer of a diversified Current Yield 3.8 line of batteries ranging from flashlight dry cells Long Term Debt Common Stock 9,375,000 2,501,547 shs. to automotive batteries to heavy industrial batteries, and expensive specialized units for use in the missile and space program. It is, however, fond Sales – 1964-E 182, and other Sales – 1963 168,500.000 – – literature as a packaged power producer. To Earn. Per Sh. 1964-E Earn. Per Sh.1963 3.50 2.91 many, this term will seem a euphemism, but it is, perhaps, more descriptive of what the company does and, more importantly, of future areas Mkt. Range – 1964-63 441/8-333/8 of growth than the familiar battery. We tend to think of batteries as things that power flashlights and automobiles, and these, indeed, are prevalent current uses. Yet, in another sense, a battery is, indeed, portable power, the means of producing electricity from a continuous re- action taking place in a relatively confined space. A moment's thought will reveal many possible future uses for such packaged power once the technological problems involved can be solved. Missiles and satellites, of course, are one such Storage Battery develops and manufactures a silver-zinc battery for many ace e icPes. The fuel ceil, which is able to produce a continuous electric of promise and the company's research in this field is f , is a familiar area – ens e. ne of the most interestin areas of development involves lightweight sources for portable hand tools, thus freeing rec eab ells to be used as power e er r he tyranny of the electric outlet – a – nt-e-r–ed-a-rQund h-ighly-expensive nickel-cadmium batteries. which could bring the cost of b e on an inexpensive conventional cell, down sharply. All of this ;miSs C t d the fact that a major portion of ESB's earnings come from the mo monplace battery applications. The intensive research on new and exciting ts, ever, does add attraction to a company which has demon- strated eminently satis ct progress over recent years and which is statistically cheap on both an earnings an ance sheet basis. Automotive batteries now account for some one-third of estimated sales with 30 each coming from the Ray-O-Vac division, and from industrial (including missile) batteries. Foreign business, growing at a faster rate than domestic, contributes an important part of the total. Of automotive battery sales, some 75 serve the replacement market, an interest ing statistic in light of the substantial number of automobiles sold over the past three years. Ray-O-Vac's sales tend to move in line with consumer disposable income. Earnings have, as noted, shown satisfactory progress, advancing from 1. 59 in 1958 to 2.91 last year, with an increase shown in all but one of the intervening years. First-half results were 24 ahead of 1963, and for the full year earnings could reach close to 3.50, thus placing a modest 12-13 multiple on estimated 1964 earnings. The 1. 60 dividend provides a 3.8 yield. Book value as of the end of 1963 was 36.00 per share, including net current assets of better than 25 per share. In the light of this record, the stock appears attractive on a long term basis, and it is being added to our recommended list. From a technical point of view the stock has strong support just under 40, and an initial objective of 60 followed by possible higher levels. It is quite possible that new products now in the development stage could provide an increasing impetus to earnings growth which would justify such prices. Dow-Jones Ind. 872. 65 Dow-Jones Rails 218.10 ANTHONY W. TABELL WALSTON & CO. INC. Thlh mArket lett.cr IS not. and under no CU'cumstnnces IS to be con'ltrued as, an offer to sell or n soilcltnhon to huy any securities referred to herein The mformatlOn ('Hlltluncd herem is nnt I!uarllnteed flS to nC('\lracy or compi('tcness and the furnlshJnR thereof IS not, !lnd undel 1111 circumstances IS to be construed as, a representa- hon b) \\'alston & Co. Inc All expressions of oPinJon are subject to chnnl!(! Without notice Walston & Co. Inc, and Offlcerll, Directors, Stockholders and hmployecs therCQr, purchast, sell lind may have nn mterest In the seCUrities ThiS market letter IS mtended and presented merely as a general, Informal ('ommntnry on day to dny market news and not as a complete AddltlOnnl morma11On With to any secuntJes rderrcd to herein Will be fm nJ;hed upon request. ,\ N JOl …

Walston &Co. Members New York Stock ExcluLnge NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER October 9, 1964 The extreme selectivitj'that'1iils characterized the stock market for the past nine months still continues. Since the beginning of the year, the Industrial Average has advanced about 120 points from around 760 to 880. Percentagewise, the advance of 160/0 has been rela tively modest. Many individual issues have shown much greater advances, but also many stocks have shown below average action. The 160/0 advance has been a meaningless figure as far as most stocks are concerned. The technical pattern on the averages gives no indication of an important move in either direction at the moment, but individual stocks show evidence of relatively wide moves in both directions. The averages have been in an uptrend for over two years and the advance is probally.at a development. This is evidenced by the increasing selectivity and the slowing down of volume on a longer term basis. The twenty-fi ve week moving total of volume of trading on the New York Stock Exchange reach- ed a high of 622 million shares on the week ended May 22nd, and has gradually fallen off to a total of 576 million shares on the week ended October 2nd. These volume drop-offs usually give a warning signal long before the market reaches its peak. For example, in 1961, the twenty-five week moving total of volume reached a high in April and gradually started to fall off. The high in the average was not reached until November. In our recommended list, this letter has tried to counter the extreme selectivity in the general market by recommending issues where the technical pattern is strong and where the downside risk is compensated by a sizable long term potential. Most of the issues have shown above average action in recent markets. J. RAY McDERMOTT (35 7/8) has advanced frw weeks. While some consolidation may be needed, the long term potentials in t I i to make it an attractive long term holding. The same applies to P advanced 500/0 in price since the first of the year. r… v A ',8 D L (61 1/2) which has MOHASCO 151/8)entered our at around the 13 1/2 level and has a mod erate advance since that tim. .site Oak River Mill Dix.iana Mill of-thls company-laBt-week pr eLiwIth what I saw. I WIll go mto mor detail in a future letter. favoring the upper part of the n be around 1. 15 to 1. 30, with the od levels the stock appears favorably priced in view of the excellent 1 n 0e . J. C. Penn e r recommended list on September 15,1961. Currently, although it has a Ion rm oe potential of 72 from a technical point of view, it has reached its shorter te 'oe potential. The stock is, accordingly, being removed from our list, although inve s interested in quality and longer term growth may well wish to continue to hold it. However, more aggressive investors may well want to consider switch- ing into MONTGOMERY WARD ( 43), which seems to us to be a highl,y attractive capital gains vehicle. Almost everyone is familiar with the immediate post-war history of Montgomery War the company's hoarding of cash and its refusal to expand as did its major competitor. An equally well known story is the effort of new management since 1957 to recover the ground- lost. Unfortunately, in a company the size of Montgomery Ward, such recovery is a slow proc ess, but there is evidence that tangible results have already been achieved and that the har- vest of the company's belated expansion may be reaped more markedly over the next few years. Since 1958, ninety-two new stores have been opened and these units now account for some 440/0 of sales. The number of larger stores has been increased while small, less profiF able stores have been sharply reduced. Sales since 1957 have been increased by almost 500/0, and 1964 will probably mark the fifth consecutive year in which an earnings increase has been shown. However, the compa ny's need to put expansion above all else in the past seven years has placed a heavy penalty on profitability and recent earnings gains have been less t gains in sales. With the modernization program largely complete, it is felt that the company can increase its profit margin as well as show sales increases, and the effect on earnings could thus be dramatic. For the year to end Jan u a r y 31, 1965, earnings could well reach 1.75 per share versus 1. 56 in 1963-64. Further growth for 1965 appears to be in prospect From a technical point of view the stock has an upside objective of 53-66, and it is being add ed to our recommended list. Dow-Jones Ind. 878.08 Dow-Jones Rails 222. 12 EDMUND W. TABELL WALSTON & CO. INC. market leHer 1'1 not nnd under no CIrcumstances IS to be con …trucd ns, nn offer to sell or n soliCItatIOn to buy a.ny IIccurlbes referred to herem The informntlon c(Jntnined herem IS not )!Ullrnntccd as to nCC\lrncy or compJetenes'I anri the hn nlshm, thereof IS not, and un del no clrcumswncea I' to he construed a r(!pre,(!nta t'on b) Walston & Co. Inc All exprCSSlOns of oPinion are subject to chnnl!c \\Ithout notice. Walston & Co, Inc. and Officers, Directors, Stockholders and Enlployees therrof, 11Ull'hl'l.e, sell and may have nn interest 10 the !'ecurJtles mentioned herem. This market letter IS mtended and presented merely as a general mformlll commo;ntary on dn)' to day market news and not as a complete analYSIS AddltlOnal mformatlOn with respect to any securities referred to herem Will be furnished upon requco;t \\.. 301

————————————————————————— — Walston &Co. Inc —– Le Members New York Stock Exch4nge NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COA.ST AND OVERSEAS TABELL'S MARKET LETTER October 16, 1964 A series of news developments were crammed into two days' trading and resulted in the widest market swings witnessed in quite a period of time. Prior to Thursday, the marke had held in a narrow trading shelf for almost a month and showed some indication of short term technical deterioration. However, from a technical point of view, there was no distri- butional top pattern of importance, and there was a strong support level at the 860-850 level in the Dow-Jones Industrials. Thursday's sharp decline on the news of Khrushchev's retirement brought the average down to an intra-day low of 861. 42, and was followed by a recov to an intra-day high of 877.71 on Friday. As we stated in Thursday's inter-office wire, we do not believethat.this is the,immediate-start of a broad marketdecline.-In.orcter.to indi-. cate a decline of more than short-term significance, a broader distributional top must be formed and this takes considerable time and a series of wide swings within a relatively narrow trading area. After some further irregularity, it is probable that the averages will make another attempt at the recent intra-day high of 882.39, and possibly even work modestly higher. However, we believe the market is in the lengthy process of forming a top of at least intermediate term importance. Our main concern with the broad technical pattern is due to' the unfavorable volume indications up until now. It is highly improbable that a broad advance will occur without a sharp increase in volume. In our letter of September 4th we expressed the opinion that the trend of volume would give us the clue as to the direction as well as the extent of, and probable duration of, the advance. We stated at that time on a thirty-five day e'moving total basis reached a high on May 7th at 156,903,0 s the Industrial Average reached 836.06 and has not been bettered 's igur s still not been bettered, despite the fact that the average has reacH w 11 g ritory some forty-six points above the May high. Thursday's – . ed ov otal of volume was – o. -. 139,586, 000 shares. New highs with declini v e a ften a warning signal of de- -creasing- o – s of'- — the high in the market and Without in any way trying to compare the 1961 pattern with the present, \ viewpoint, it is interesting to note the similarity of the two p'e o r e ched the high for the move in April, 1961 and was not bettered for t i . 'ng advance, despite modest new highs in the averages. The average reache in . and 733 in September, but volume failed to confirm the new high in price. It is point that we turned extremely cautious and advocated lightening commitmen strength. The average continued to a new high in November at 741, and this proved to be the high of the move. This high in price was reached seven month after the high in volume. Similar technical volume indications were witnessed at the 1959 and 1956 tops. So far in the present advance, the top volume was witnessed in May and was not bettered at the subsequent July high of 855.19 and the October high of 882. 39. The main difference in the two periods so far has been that, in 1961, the breadth index failed to con- firmthenewhighs..while -.in the-PTes enLmarket-1hebreadth-indexcontinue-s-to-conf.i-L'm-the – – advance in the averages into new high territory. All of this indicates that the present advance from the June 1962 low of 525 to the recent high of 882 has reached a mature stage and, despite the absence of a distributiJnal top of importance, a certain amount of caution is advisable. This applies-only to-the interme- — diate term trend. We continue of the belief that the market reached a major low in 1962 and indicates much higher levels in the latter part of the 1960's. A decline that retraced a portion of the advance from the 1962 lows to whatever high is reached on the present move would present, in our opinion, a very important buying opportunity. Again we mention the thought that the action of individual stocks is more important than the action of the averages. The stocks in our recommended list will, in our opinion, show above average market action and indicate, from a technical viewpoint, higher levels over the longer term. Dow-Jones Ind. 873. 54 Dow-Jones Rails 221. 84 EDMUND W. TABELL WALSTON & CO. INC. This mnrket letter IS not. (ond under no eircumstaneefllli to be construed 8.8, an offer to sell or ('ontnmcd herem IS not guaranteed aB to accuracy or eompleteness and the furn16hlnf;' thereof a 15 soliCitation to buy not. and under no any seeurlties rderTed circumstances is to be to herein. construed The information as, a representa- 110n by Walston & Co, Inc All expressions of opinion are AubJect to change Without notice Walston & Co., Inc., and Oft'icerIJ, Directors, Stockholders and Employees thereof mformal purchase, on day tsoeldl an ay d may marke have a t neWli n a in nd terest In not as a the securIties mentioned herein ThiS market letter 18 intended complete analysIs AdditIOnal Information with respect to any and presented merely as a general, securities referred to herem Will be furnished upon request. \\'N 301

Walston &Co. Inc – – – – – Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABEll'S MARKET lETTER October 23, 1964 A year and a half ago, on March 15, 1963, we wrote a market letter which elicited some comment at the time. The letter was an attempt to explain the extreme diversity of action of individual stocks that had existed ever since 1956. In it, we broke the Dow-Jones Industrial Average down into three groups of ten stocks each. The first of these groups we called Early Peak Stocks, stocks that had reached their highs in the 1955-57 period. The second group we called Middle Peak Stocks, stocks that reached their highs in the 1959-60 period and the final group, Late Peak Stocks, those that reached their highs in 1961. C —- –, – – '– We then compared the relative performance of these three groups by taking an average of each one and adjusting the divisor so as to produce a figure of 524.37 at the 1956-57 high, this figure being, of course, the actual high reached by the Dow three times in the 1956-57 period. The results of this comparison were instructive. Investors will remember that the Dow exceeded its 1957 high in 1959, reaching 688.21, and then reached 741. 30 in 1961. The ten Early Peak stocks, however, were lower in 1959-60 than in 1955-57 (485.68), and even lower in 1961 (424.46). The so-called Middle Peak stocks reached a high of 736 in 1959-60, two years before the average itself reached that figure, but were lower in 1961. By contrast, the Late Peak stocks acted about the same as the average in the 1957-59 period, but by 1961 had advanced to a high equivalent to over 1000 in the Dow. Looking back at this study today, one thing aett hat was perhaps not obvious in 1963. Most observers of the stock at,after a stock reaches a major peak and declines, a long period of a form' is necessary before the stock again advances. This base su ta ime. It is, therefore, interesting that the so-called Early Peak tha de their highs in 1955-57, also, for the Even more interesting, Standard 011 of New Jersey a ,illlt . stocks, stocks such as Chrysler, M;lh-; have been the market leaders in the most recent advance. e average of ten stocks in the Dow that made their lows in 1960, an e t 962 low of 524, we find that these stocks have ad- vanced to an equiva t ov 00 in the Dow versus an actual high of 886. .. – In other word tocks that reached their peak early in the market cycle bad more opportunities t form bases in the late 1950's and early 1960's. Having completed these bases early, they have been the market leaders so far. A look at the technical pat- terns of many of these stocks, however, indIcates that some, at least, are close to their upside objectives, and a few have even reached these objectives. While there are still many investment opportunities among the stocks that peaked out eight years ago and are now in a upward cycle, i.t would .be logicaLfor the .inv.estor to begin tolook-for other groups tbat might, at some future date, take over market leadership. – In this connection, it is interesting to observe'the action of that group of stocks tba t made their highs in 1959. This group generally has turned in a performance inferior tR that of the average since the 1962 lows. However, a look aLthese stocks, mo st of them in the heavy industry-capital goods area, indicates tba t, by now, they have formed sufficient base patterns to indicate considerably higher upside objectives. One good place, therefore, to look for the leaders of the next upswing might be among those stocks that made their highs in mid-1959. Conversely, a good many stcks which were late in reach- ing their highs and did not make new peaks until 1961 may well require more time to com- plete the ir ba se patterns. Dow-Jones Ind. 877.62 Dow-Jones Rails 224.28 ANTHONY W. TABELL WALSTON & CO. INC. ThIS mlll kct letter is not, nnd under no cIrcumstance!! is to be construe liS. nn offer to sell or a soliCItation to huy any secUrities referred to herein The informatIOn ('ontalncd herem IS not gUllrnnteed liS to BCCUraC)' or and the furnishing thereof IS not, and under no clrcumstancC' IS to be construed as, B representa- tll)n hy Walston & Co, tnc All e,cpresslOns of OPIniOn arc subJect to change Without notice Walston & Co, Inc, and Officers, Dlrcctors, Stockholders lind ther('Of, sell and may have an Interest in the SeCUTltIes mentlOned hereIn ThiS msrket letter IS Intended and presented merely LS a genern, mformal comm..ntnry Oil tht) to da market IU'WS and not as a complete AddltlOnal mformatlOn ' Ith respect to any SeCUTltIes referred to herein be fnntsh('(lupon r('(1uest l\; 3Dl

Walston &- Co. F LE —–Inc —– Members New York Stock Exchange ; NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO OFFICES COAST TO COAST AND OVERSEAS TABEll'S MARKET lETTER October 30, 1964 Extreme selectivitYJclJ)riti1Tlues to feature the market. While the various market aver- ages are churning around in a trading area that has prevailed since mid-September indivi- dual issues are moving both up and down in their own independent trends. There is no imme diate indication of a change in this highly selective rna rket action. Technical indicators show no signs of a broad move of importance in either direction as far as the averages are concerned. The same action is occurring in the stocks in our recommended list. Many issues have shown little price change in recent markets. On the other hand, issues like Koppers Co which like U;iited Fruit has droppe-cj back to its low. J. P. which moved up in 1963, rested in the 35-40 area during the first half of this year and has now advanced to 48. Beaunit Corp., which has held in the 30-35 range since the start of the year, broke out of this trading area and reached a new high of 36 tOday. Numerous other examples could be cited both on the upside and downside. While certainly not everyone of our stock selections has been correct over the years, this letter can at least boast a perfect record for predicting the winner of each Presidential election since 1948. This may be due to good luck rather than political perspicacity, but w would like to keep our record unblemished as long as possible. This year, it is not a diffi cult task. Our prediction is that Johnson will be elected on November 3rd. This is hardly a startling prediction when the a 67 to 33 edge for Johnson as far as the popular vote is concerned. If the po r tect, this would be the greatest landslide in our political history and woulC\1!!Ve.'3!. us Roosevelt-Landon debacle in 1936 when Franklin D. Roosevelt 0 e ular vote. However, we have a feeling that while Johnson will be the winner, fin sults will be closer than predicted by the polls. I . stickers as compared to past e . to indicate that, except for a- small but rabid group of Goldwat ,t verage voter seems quite apathetic about the whol thing and is stra y both candidates cer' u h 0 ally announce his selection. The campaign tactics of one much to change that feeling. It has been an extremely disappointing campai de d largely to name-calling rather than a serious discussion of vital issues. Even if the polls are correct in the assumption that 67 of the potential voters prefer Johnson over Goldwater, the final results could still be closer than the polls indicate. How many potential voters are actually going to vote Even in the much more intelligent Kennedy- Nixon campaign, only 70 of the potential voters actually voted. Most voters are either pro or anti-Goldwater, rather than pro or anti-Johnson. The Goldwater voters, while much smaller in number, are much more rabid, and the percentage of them actually voting will be larger than that of the Johnson followers. The apathy of this group could make the final results closer, but Johnson will still be the winner. ' What effect will the election of either candidate have on the stock market Probably very litile. The market has already adjusted to Prestdent Jghnson's II'\ the unlikely event that Senator Goldwater wins, there would undoubtedly be a sell-off, mainly because most people – particularly abroad – feel that a Goldwater election would cause a sell-off, and would start selling. This, however, would probably be moderate and brief. The long term favorable fundamental factors would predominate in the end. Goldwater is suspect because of the fear of a possible sharp cut in government spending if he is elected. This is not very realistic. The fringe spending might be cut, but there are too many areas where the government is too deeply committed for any drastic cut-back. President Eisenhower found this out in his two terms of office. Dow-Jones Ind. 873.08 Dow-Jones Rails 223.54 EDMUND W. TAB ELL WALSTON & CO. INC. mnrket letter IS not. Ilnd TlOI1r't!tlttlSttmees'J'.'tt1me construed as, an offer to lieU or a sohcltatlon to buy any securities referred to herem The information …nntnmecl herem IS not guarnntePd ns to accuracy or completeness and the rurnlshmg thereof IS not, llnd under no circumstances 18 to be construed B.S, II tmn by Wnlston & Co, Inc All e'lpTCSSlOns ot opmion ar!) Bubject. t.o chango Without. notice Walston & Co, Inc. and Officers, Din-etoTB. Stockholders and Emllloyees thereof, purchase. sell and may have an mterest III the securities mentlOnod herein. This market letter IS mtended and presented merely as a general. Informal commontary on d8)' to day market ne.,'I'l1 and not as a complete analysIs Additional mformatlon With respect to any securities reterred to herein will be furnished upon request \\N 301

Walston &Co. ..;.,;…;;.;.;.;;,.;;;.,; Inc, Members New York Stock Exchange NEW YORk SAN FRANCISCO LOS ANGELES PHILADELPHIA CHICAGO COAST 10 COAST AND OYERSEAS TABELL'S MARKET LETTER….. …. no November 6, 1964 As expected, Johnson's landslide victory had already been discounted in the market pattern and, after a mild advance on Wednesday morning, the market resumed the selective price action that has been the predominating feature since mid-September. The rise from the July-August lows has failed to attract a renewed buying interest which is the needed re- quisite for a broad advance. The market appears tired and in need of corrective action. As noted before, however, no sizable potential distributional tops have been formed as yet and any decline from present levels would meet support in the 860-840 area. Our long term pattern remains the same. We believe the market is in a broad reac- cumulation area as.far as most stocks are concerned will reach much – higher levels in the later part of the 1960's. We do not feel, however, that such a broad ad- vance is going to occur immediately. Probably a continued period of selective price action is in the offing with the averages moving back and forth in a relatively wide trading area,and individual stocks at times moving in a contrary direction to the general rna rket. This actuallJ has been the pattern since 1962. While the Dow-Jones Industrial Average has reached new high territory this year at 886.28 as compared to the 1961 high of 741. 30, this is not true of the general run of stocks. We recently compiled a survey of the price action of 1,390 stocks published in one of the more popular chart services. Of these 1,390 stocks, it was interest- ing to note that 867 or 62.4 have never, to date, exceeded the highs reached in the period between 1955 and early 1962, or for a period extending back from over two years ago to over eight years ago. In fact, the action of the thirty stocks in the Dow-Jones Industrial Aver has also been extremely selective despite the new highs As of October 31st, only twelve of the thirty stocks had reached new high terri 0 reached in 1955 to 1961. Eighteen of the thirty, or 60, are highs reached from two to over eight years ago, despite the new high in t &aVera elf. Thus, despite the advance in the t great majority of stocks are selling within the range in which for past several years. From a tech- nical viewpoint, this indicatesthat a- – st – s-a-Jj)e-ar'to be in broad accumulati,on areas that could result in filling is indicated before the date. However, more backing and a broad scale. During this period, the action of k u be of more importance than the action of the averages. In reviewing th t ks r recommended list, we find a number that are continuing to indicate favorable ac io nd a relatively few that appear to have reached close to upside potentials or are losi omentum. Our recommended list is not designed for long term in- vestment, but rather fo' capital appreciation over a period of at least six months to several years. We drop issues or add new ones as the occasion warrants, We are dropping three issues from our list this week. One is in the quality and long term growth area. It is Standard Oil of New Jersey (891/2) which entered our list in June, 1962. This stock is un- doubtedly an excellent long term investment holding, but is probably about high enough for the present. We have several other oils on our list which we are continuing t hold. We are taking profits on Pennsylvania R. R. (41 3/4) which entered our list in August, 1963. The stock is, from a technical viewpoint, quite close to its 45 upside potential. We are also drop ping Consolidation Coal (51) which was recommended in mid-1962. Relative strength action has recently been below average. New recommendations will be suggested shortly. Among issues now in our recommended list; the following have been showing above average action and could be added to on periods of market decline. In the price appreciation sector of our list are included Beaunit Mills (35 3/4), Crowell Collier (23 1/4), Korvette (42), Metromedia (41 5/8), Riegel Paper (423/4), Shell Oil (58 114), J. P. Stevens (47 5/8), and Vornado (34 1/2). In the low-priced speculative list we would include Hewlett -Packard (203/8), Mohasco (145/8), Universal Match (14 1/2) and Vulcan Materials (17 314). The complete new recommended list will be issued shortly. Dow-Jones Ind. 876.87 Dow-Jones Rails 219.10 EDMUND W. TABELL WALSTON & CO. INC. ThiS market lettA!r IS not. and under no circumstnnces is to be aI!, nn ofl'or to Iell or a solicitatIOn to buy any securities referred to herein. The information cunt&tned herem is not guaranteed as to accuracy or completenetl'\ and the fUrfllshlnp thereof IS not, and under no eueumstances 1;'1 to be construed as, a repre!lenta- tlOn h)- ,'alston &; Co. Inc All expressions of QP!n1on are l!ubJe-ct to change Without notice. Walston & Co., Inc. and Officers. Directors. Stockholders and Fmployees thereof purchase sell and may have an mterest in the SeCllrltles mentIOned herein. ThiS rnorket letter IS intended and pretlellted merely 116 a general, on fay to dny mark.et news and. not QS D. complete analysts. Additional mformatlOn With to any securitIes referred to herem (ul'nlshed upon request