Walston &Co. —.;….Inc. -.;…….;….;;.. MUNICIPAL BONOS UNDERWRITERS MUTUAL FUNDS Members New York Stock Exchange and Other Principal Stock and Exchang TABELL'S MARKET LETTER OFFICES COAST TO COAST A.ND OVERSEAS June 2, 1967 The market dropped off sharply in early trading this week, with the Dow-Jones Indus- trial Average reaching an intra-day bottom of 850.39 at the climax of a 12-point dip on i Wednesday. Thursday's action showed a sharp recovery with the bulk of the loss being re- Friday's activity was characterized by general dullness except for a temporary sell- mg spate when the political news heated up – – however, late buying pared the decline. With . most indicators having reached oversold territory, a short-term rebound at this stage seem probable. At this pOint a few basic facts seem worth noting (1) It is our belief that the market made-a major low-at'735-N there is no top indicating a decline of anything like the 1966 -magnitude. Sucha top would, of necessity, take many ,nonths to form. (3) Strong support, teste-d this week,exists at the 860- 840 level on the Dow and, in the event that this support were penetrated, major resistance oc- curs at the 820-800 level. In view of all this, we continge to suggest that the investor adopt an aggressive attitude toward equity investment and use any further weakness to add to com- mon stock holdings. SEABOARD COAST LINE RAILROAD Current Price 59 1/2 Indicated Dividend 2.82 Gl' ven certain limitations of distance am capacity, the Jothe 'I'-section Indicated Yield 4.7 -ail sti11 is E'cient means ctransport- Long Term Debt Common Stock Revs. -1967-Est. Revs. -1966 401,083,000 8,721,668 shs. 417,000,000 404, 000, 000 mg b.ot.h Csts, dlvert e o'(er land. While indirec n II r f a,sumed capital cost relationships and co ing modes of transport,tec Earn. Per Sh. 1967-E E h 96 arn. Per S . 1 6 Mkt. Range'19666'f AUantic Coast Line 4.70-4. 80 4.37 60 pro ffVoAr . – iihPf.9 ents to lower full rail – – …l the. uckers and barges. Benefiting not only a recent SU'preme Court ruling allowing it to merge with th ,t e d Line Railroad.would seem-to offer investors seek- ing both current inc overage long-term capital appreciation a favor- able opportunity at cu en . levels.' , .. . 1 Under the merger ement, each Atlantic Coast Line common share w'ill be exchange for 1. 42 shares of the w company, while each present Seaboard share will be'exchanged for one share of the new stock. Aitho'ti.gh a dividend policy has not been forrriiilate'd-'by the new Board of Directors, it is anticipated .that the current 4.00 annual rate on the Atlantic Coast Line will not be jeopardized. This rate then would be equal to' 2. 32 a shar.e \he new stock, 1. 00 above the 1. 80 being paid on current Seaboard shares. Thus, present Seaboard Air Li shareholders would have their dividend income potential substantially increased as of July 1, 1967, when the two carriers become the Seaboard Coast Line Railroad. The new company will fully retain its nor.th-south .traffic; pa ttern, from the northern gateway of Richmond, Virginia, to southern Florida. This network has show strong traffic trends in the postwar period in reflection of a population movement southward, necessitating increasing shipment of goods and materials not only f,om north south) bllt in the opposite direction as well as the southland's industrial capacity expanded. With these traf- fic patterns expected to continue,and further cost-of operating- red.uctia!1s,like.ly, future earnings potential of the merged roads is substantial. It is estimated that after.five. or six year.s of merged operation, savings could amount to the 1966 pro forma results of 4. 37 a share. A good share of these savings increased dividends. is expected ,. to be passed along to sh. a,reh. otl,d-'e'r.s in.the form of Having experienced a marked improvement in relative strength actionlOince the August- aOctober lows of last year, the stock recently has broken out of indicating higher levels. Strong support is present in the 54-52 level, limiting downside risk. The stock indicates an intermediate-term objective in the mid-70's, fdllowed by'a longer-ter upside potential of 84-108. to the -Price-Appreciation section of our List on May 5th, these shares agam are' recommended for purchase at current.pnce levels. Dow-Jones Ind. 863.31 Dow-Jones Rails 24746 HARRY W. LAUBSCHEI)R., f-or ANTHONY W. TABELL WALS'rON &CO. INC.. This market le efomrpmloaytieoens mwaaya thoteabrvtaeIiIInaenpduibnflrtioesmhreesdt80tiOnuTrcoeyrsopuwUrFecchobBneJvlIiceenvaienendtcoeseblalentdhreemlisafeboclreum,riatbtiuieostnrweaefnedrdro'etedntnooot thgeaurnaerinao.nffteere tIots sell or a 3ccurac)' soWIicalltsattolIo'J'&toCbouy Inc ' … ,a n d , ita ' omdcieICreU lsdeldreeTt ohrea .!onr- WNlOl AWTHWLamb , …. .' i .

W—-a–l-s-Itnocn—&–C–o–. MUNICIPAL BONDS UNDERWRITERS MUTUAL FUHDS Members New York Stock Exchange and Other Principal Stock and Commodity Exchanges OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER June 9, 1967 The gyrations of the stock market during the past week were almost entirely in res- ponse to changes in the highly volatile Middle Eastern situation. A sharp decline, which began at the opening bell on Monday in response to the outbreak of the Israeli-Arab war, brought the Dow to the intra-day low of 836.92. When, by Tuesday morning, it became evident that the tide of the war was sharply in favor of the Israelis, the entire decline was retraced and further gains were chalked up on Wednesday and again on Thursday with most of the gain coming in the last few minutes of trading on the news that the UAR had a cease-fire. An incipient rally on Friday morning was stalled by renewed Syrian belli- cosity; — -', – , – – –' ' Two weeks ago we pOinted out that the May decline was the fifth interruption of the advance that began last October. We noted that the four previous declines ranged from 5.0 to 6.2 in amplitude, and from 10 to 12 days in time. We expressed the thought at that point that the decline then under way would be relatively similar. The Middle Eastern situation has, of course, made this prediction incorrect. At Monday's intra-day low, the decline had extended 8. 6 in the Dow and had lasted for 20 trading days, making it the most serious break since prices began their upward course in October. Nonetheless, we see no reason at this stage to characterize the decline as anything more than minor in scope. We suggested in mid-May that the important thing to watch would be the extent and character of the rally that ensued from whatever bottom d'-lthough the advance is now only four days old, it is possible to draw a few hi onclusions. Both market breadth and volume have acted I e rise. Advances outnumbered declines on all four days of the latter t eek, and over a thousand stocks advanced at the climactic reversal me tended to expand in the ad- however, has been the action of trials ever since the Ii e t\le rally .e has been moving counter to the Indus- i On May 9th. At that point, the Dow reached an intra-day p ve u a close of 874.89 on Friday. During the same period, the Rails a dv. r close of 235. 69 to one of 254.55. A great many market students h 'n 0 e accuracy of the Rail index as a barometer of pro- fessional investment The Rails are, of course, intimately tied to the outlook for the economy, and ersistent willingness of investors to pay higher prices for rail issues in the face of ncertain near-term prospects and a sharply declining stock market, certainly deserves comment. As noted, the above conclusions are tentative. The war-induced market decline at precisely the same level that had previously halted the declines in February and April. The 834-915 area now constitutes a potential intermediate-term top which, if penetrated on the downside, could lead to a decline of far greater proportions than anything we have thus far witnessed. Obviously, this potential would be cancelled out by the ability of the various major indexes to base out around current levels and move ultimately into new high ground. We feel that such an upside penetration is ultimately likely, but nonetheless suggest watching closely tO,see t,!e t!Ie technical damage which has been done by the decline. At present, the market appears to be groping to find new leadership. A great many of the issues which have led the advance to date are now quite adequately priced and can hardly be expected to continue to support a further upswing. A great many investment-o'r .. issues, by contrast, are historically cheap on an earnings basis, and have potential upside objectives well above current levels. With a few exceptions, however, most sum issues give no indication of any imminent upside move. Present leadership is highly fragmented and provided largely by special situations of various types. Such issues we endeavor to in- clude in our Recommended List. Dow-Jones Ind. 874.89 Dow-Jones Rails 254.55 ANTHONY W. TABELL WALSTON & CO. INC. AWT;amb This market letter 1.11 published for our convemence ana InfOrmatIOn and Is not an offer to sell or Il i!!OllCltatlon to buy any r.ecurlbes dlscuued. The In- formation was obtamed from we believe to be r!llobll, but we do not rroarRntee Its Walston & Co., Inc. and lts officera. direetol'/!l or enoloYee8 may have an Intereat In Or purehase and sell the securities referred to herein WNlOl —

Walston &Co. —';'-Inc MUNICIPAL BONOS UNDERWRITERS MUTUAL FUNDS Members New York Stock Exchange and Other Principal Stock and Commodity Exchanges OFFICES COA,ST TO COAST AND OVERSEAS TABELL'S MARKET LETTER June 16, 1967 With only a slight interruption on Wednesday, the Dow-Jones Industrial Average ex- tended its gains during the past week and reached an intra-day high of 892.80 on Friday. Since the turn in the Middle East crisis on June 6th, the market's response has, by and large, been dramatic. The Dow has advanced on eight of the nine trading days since that time and has recovered considerably better than two-thirds of the ground lost in the May downswing. The rise of the past two weeks has rapidly carried most of our short-term indicators from the fairly deep oversold position they were in just prior to the Israeli crisis, to an overbought'position atinid-week. Moreover,-at Frfday's'high,- the Dow;-and'most other broad market indices, had just about reached the upside objectives of the small base formed during the height of Middle- East hostilities. Thus, for the short-term, some consolidation, at least, is probably needed. For the intermediate-term, the situation remains somewhat clouded. We indicated last week that the market seemed to be groping for new leadership, and in a sense this pro- cess has continued. We have suggested our feeling tha t, if the advance is to be sustained, it must be accompanied by some leadership on the part of investment-grade issues. While som indication of better relative action in this area is taking place, it seems at the moment ten- tative and restricted rather than broad and dynamic, and it appears confined largely to a handful of special situations. Close analysis of individual chart patterns, however, reveals the existence of a goodly number of stocks whose technical patterns are still highly favorable and where there appears to be little indication of We think that,as long as the intermediate-term uncertainty continues,Ahe i s rve, his interests best by maintaining a fully invested position solely technically and fundamentally attractive. 1\ Y th stocks which appear The majority of the stocks on our listmr0MIri'u 0 perform satisfactorily. General Dynamics (74), reached a ridayls sessi.on ()f a.. resurgence in the aerospace group. h stocks in general are a ttrachve at this time and that GD, whi e in our list, continues to be interesting. output of the w il on – e to stir controversy, will undoubtedly assure earn- ings growth for th .11 h years. Another long- fa – e of this letter, Gillette (57 7/8) posted a new high at 58 3/8 during the week. The s 0 's liberally valued, based on current earnings, although a good improvement over the 6 results of 1. 75, probably to close to 2.00, is estimated for 1967. It is certainly arguable that a company with a record as good as Gillette's deserves a premium price. Fortune Magazine's annual compilation of the 500 largest industrial corpo- rations, released this week, had Gillette ranked in third place among the 500 in terms of percentage return on invested capital. In this area it was ranked behind only Avon P..'oducts and Magnavox, and earned a better return on capital than PolarOid or Xerox. The action of Phillips Petroleum (62 5/8) during the week has also been good, and we continue to think this integrated oil company represents value and a good deal of long range potential. Earnings for 1967 are estimated at around 4. 60, and a major expansion program is under way. We would continue to suggest purchase on minor dips in growth accounts. Some of the issues on our Recommended.,List,in,contrast to-those above, IR ve re- cently displayed some short-term weakness. Union Camp Corp. (41 7/8) continues to show unexciting price action, but we still feel the strong fundamental position and excellent management of this Kraft paper and board producer make it worth accumulation in long-term accounts. The paper priCing situation has, we feel, stabilized and this should permit BP to post its fifth consecutive earnings increase – perhaps to 4.20 a share in 1967. Despite its relative slowness over the past year, we continue to feel that the stock will reward long-term holders. Dow-Jones Ind. 885. 00 Dow-Jones Rails 256.47 ANTHONY W. TABELL WALSTON & CO. INC. AWTamb This m formati ark on eWt8Jie! ttoe1b'taiillnepdubflrioshmedsofourrceytol uwr ecobnevheemveentcoe and mformatlon and IS not an offer be reliable. but we do not gURrafltee to Bell or a solicitation to buy ita accuracy. Walston & Co., any Inc. and Its dtacuued. The in. officers, dlreetora or mAT have an JntereJt In or pUl'chase and sell the securItIes referred to herein WNlOl

Walston &Co. – – – – – I n c – – F) Le If MUNICIPAL BONOS UNDERWRITERS MUTUAL FUNDS Members New York Stock Exchange and Other Principal Stock and Commodity Exchanges OFFICES COA.ST TO COAST AND OVERSEAS TABELL'S MARKET LETTER June 23, 1967 As we pointed out in last week's edition of this letter, the stock market had, on a short-term basis, reached an overbought condition at last Friday's high. This was reflected in orderly weakness throughout this week with the Dow-Jones Industrials reaching an intra- day low of 868. 82 On Thursday. By the end of the week, most shorter-term indicators had retreated to neutral territory. Continued ability to consolidate gains would be constructive at this stage, and a further period of backing and filling would probably be required before any attempt is made at much higher levels. Meanwhile, we continue to feel that the most positive course of action is to try to select individual.issues which have above.average.appeal. One such stock, specula tive but attractive for accounts able to assume the risk, is reviewed below. TECHNICOLOR, INCORPORATED Current Price Current Dividend Current Yield 25 3/8 0.40 1. 60/0 What Walt Disney did for animated cartoons, Technicolor, Inc. has done for motion pictures, namely, increased attraction through the addition Long-Term Debt 10,800,000 Common Stock Sales-1967-E 39,357,080,400,060s0hs. Sales – 1966 95 380 000 Elrn. Per Sh. 1967-E 1,20-1. 25 Earn. Per Sh. 1966 0.90 of color. It is pretty well undisputed that color has been cess erensjopyoendsibbyleHfoolrlyawogored at deal of in recent the huge years. sucWith more and more films planned to be released in color, the of the company' ev continued expansion '!\ ded to this bright outlook i S a ac nce of color-TV and Mkt. Range 1967-66 271/4-7 1/2 Technicolo c ent y unced that it had finally t sion tapes. The sale of these .,!he revenues anc d earning power. -. – 1\'\\- -fe .- f-u-ture Technicolor widely used processes for motion pic ture color film photogra hy. I I to process black and while film. Plants are maintained in HoI ,California, as well as overseas in France, Englan and Italy. Sales a . ee primary areas of operationprofessional film proc- essing; sale of ince e er (lise; and amateur color film processing and the sale of photographic products. It is in this la amed area that an unusual amount of potential appears to rest. Tech nicolor pioneered in the production of low-cost, portable cartridge-loading motion picture projectors for 8mm. instructional and sales films. Last year, two additional projectors were introduced to accommodate super 8mm. film. This past Spring, a sound projector was intro- duced. It also utilizes cartridges. Production capabilities have been augmented to produce 8mm. and super 8mm. films. Producers now have a complete source in Technicolor for pro- ducing color films and for the projectors to show them. This should be a strong incentive to the education field for a sharp increase in educational-type films to help ease the rapidly in- creasing pressures on teachers. It is believed that about 20, 000 educational and training films now available can be adapted for this process. Earnings for the current year are estimated to approximately 300/0, with per share income rising to an estimated 1. 20 to 1. 25 a share, from 1966's 90 a share. Sales, however, may show little improvement over last year's 95.4 million. With profit margins continuing to widen, the outlook is for further earnings progress in 1968 and beyond. From the technical view, Technicolor has outperformed a majority of stocks in re- cent months, rising from a low point of 8 earlier this year. The base that has been built since 1965 suggests an initial price objective of 43. The longer-term objective is 58. There is support at 20. Added to the Speculative Price Appreciation section of our Recommended List on May 5, 1967, Technicolor again is recommended for purchase at current market levels. Dow-Jones Ind. 877.37 Dow-Jones Rails 255.05 HARRY W. LAUBSCHER for ANTHONY W. TABELL WALSTON & CO. INC. AWTHWLamb Thl. market letter III publllhed for your and tnfonnatlon Rnd Is not an offer to sell or a solicitAtion to buy any eeeurities dlaeussed Th i efomrgmlao.ytleoens mwaays hoabvtaeinaend Infrtoemr!8tsoIunrcoers PwUePcbheaslieevAendto8eb1le thne!hsaebcleu,ritbiuest rweeferdroedntoot hgeuraerinan. tee Ita accuracy . Walston It Co. Inc and Ita offi('!ers. 8 onr WN301

– — — — – TABELL'S Walston &Co. —-Inc —- MUNICIPAL BONOS UNDERWRITERS MUTUAL FUNDS Members New York Stock Exchange and Other Principal Stock and Commodity Exchanges MARKET LETTER OFl'Ces COAST TO COAST AND OVeRSEAS June 30, 1967 AMPEX CORPORATION Current Price 36 1/8 The Ship of Good Fortune has added Ampex to Current Dividend none its ports of call. To meet it when it comes in, Ampex Current Yield nil has assembled an outstanding array of money-making Long-Term Debt Common Stock Sales-1967 Sales-1966- 76,592,000 9,489, 183 shs. ideas, most of which are the results of an outstanding management team. Long used to working together, the President, Controller and two top-ranking Vice- Pres 214,700,000 168900;-000 idents formerly were -team priortocoming on the Bell to Ampex. W& hHiloew-tehlel executiv semen- e Earn. Per Sh.1967 1. 09 Earn. Per Sh.1966 0.91 have brought with them many changes, they have main tained the passion for quality that for so long a time Mkt. Range 1966-67 39 – 17 has characterized the Ampex product line. The results of this new team since 1961 are evi- dent. A growth rate of about 150/0 annually has been achieved. Sales doubled and earnings did even better in the five fiscal years from 1962 to 1966. For the fiscal year just ended, the sam rate of progress seems to have been maintained 10.3 million net, or 1. 09 a share, on sales of 214.7 million. This compares with 91 a share and 168. 9 million in sales for the fiscal year ended April 30,1966. For fiscal 1968, earnings are expected to rise to between 1. 25 and 1. 30 a share, while sales could see the 245 million level. Much of the success alr-eady achieved by Ampex can be attributed to the changing prod- uct line. Except for selling Bing Crosby the first tape network broad- casting back in 1947, Ampex had little to do with the e few years ago. In fact, in 1964 its consumer sales came to only 20/0 of . S then, the consumer has been high on the Company's list of target markets. few s ago, Ampex introduced three compact player-recorders retailing utilizing new reversible tape cassettes, onethird the sizeof products, and others that will flow fro e i (!5Yue, n,autQJ1.obile are expected to IDusic help re systems. Thes alize manage- ment's plan to have a than 250/0 of the 400 million minimum volume projected for 19 f om a scientific orientation to a mass-merchan- dising approach sho 1 in t rallel improvement in net earnings. Ampex invent T corder and holds the FM patent structure underlying all makes of video recor s. growth envisioned for this field is enormous. Once thought suitable only for the rec ng stutJios of telecasters and professionals, TV recorders now have been brought do to a price level believed to be within the potential reach of millions of homeowners. This year, Ampex will introduce a home video recorder, including camera, for 1,000. This is expected to find a ready market in educational markets as well. The rapidly growing popularity of cartridge-fed stereo recorders for homes and autos provides another big-plus in the company's future. Ampex has more than 1,800 musical se- lections in its tape library from which it is prepared to draw to meet the pre-recorded tape market demand, whether that demand be for reel-to-reel cassettes or for the popular endless loop cartridges . The steadily expanding need for information storage and retrieval systems could spot- light Ampex's Videofile. This system, selling for up to 2 million, incorporates all the re- sults of Ampex's years of R&D work in the magnetic recording field plus new areas of elec- tronics. The result is the filing and retrieval of information on a large scale and at like speeds. NASA and Southern Pacific Company are two of first customers. Technically, the stock earlier this year broke out of a consolidation area on the upside at 30, indicating an initial price objective of 42 followed by a longer term upside objective of 74. There is considerable support present in the 34-32 area, limiting downside risk. Ampex is being added to the Price Appreciation section of our Recommended List and is recommen- ded for purchase at present levels. Dow-Jones Ind. 860.26 Dow-Jones Rails 254. 84 HARRY W. LAUBSCHER for ANTHONY W. TABELL WALSTON & CO. INC. AWT HWLamb This market letter 18 publillbed for your convenience and antonnation and IS not an offer to sell or a soliCitation to buy Any BeC!uritiea dillcuued. The In formation ftd.ploYee8 was mD,)' obtained from sourees we believe to be r-ehable, but have an interest in or purchase Ilnd sell the securIties we re!e do rre dntoot guarantee berein. its Waldon &; Co., Ine. Ilnd ita offi.I'S, directors or WN.801