09/22/1980

 

UCCSN Board of Regents' Meeting Minutes
September 22-23, 1980








09-22-1980

Pages 18-20

                        BOARD OF REGENTS

                   UNIVERSITY OF NEVADA SYSTEM

                       September 22, 1980



The Board of Regents met in special session on the above date to

consider recommendations concerning investment matters.



Members present:  Mrs. Lilly Fong

                  Mr. Chris Karamanos

                  Mrs. Molly Knudtsen

                  Mr. John R. Mc Bride

                  Mrs. June F. Whitley



Others present:   Chancellor Donald H. Baepler

                  President Joseph N. Crowley, UNR

                  President Judith Eaton, CCCC

                  President Leonard Goodall, UNLV

                  Vice Chancellor Larry Lessly

                  Mr. Bob Lee, First National Bank

                  Secretary Bonnie Smotony



Mr. Lee recommended the following sales be made, at market, in

order to take profits and reduce equity exposure in the port-

folio:



MAIN ENDOWMENT FUND



                   Approx.   Approx.   Antic.  Mkt. Gain Units

Security            Price     Value    Income Yield  (Loss)



 15M   Par Holiday Inns CVT 9-5/8%, due 2005

                     149   $  22,350  $ 1,558  7.0  $  7,425

225M   Par Shearson Loeb Rhoades Cvt 9%, due 2005

                     Convert into Common Stock

3700   Aluminum Co. of America

                      67     247,900   11,840  4.8    24,037

5903   El Paso Co's 23-1/2   138,720    8,736  6.3    44,010

4000   Exxon          71     284,000   20,800  7.3   132,724

 500   Gannett        52      26,000    1,000  3.9     3,000

3800   Litton Industries

                      65     247,000    4,560  1.8    49,000

5000   May Company Department Stores

                      26     130,000    7,700  5.9     4,483

7100   Quaker Oats    31     220,100    9,240  4.2    13,277

2200   Texas Instruments

                     128     281,600    4,400  1.6    89,490

5800   Sun Co's       39     226,200   10,440  4.6     7,917

4700   United Technologies

                      50     235,000    9,680  4.1    18,190



                          $2,058,870  $89,954  4.4  $393,553



MC MILLAN ENDOWMENT



 20M   Par Shearson Loeb Rhoades Cvt 9%, due 2/1/05

                     127  $   25,400  $ 1,800  7.1  $  6,900

150M   Allied Chemical

                      52       7,800      330  4.2       234

 250   American Can   33       8,250      725  8.8   ( 1,843)

 400   Libbey Owens Ford

                      24       9,600      940  9.8   ( 2,253)

 200   American Home Products

                      30       6,000      340  5.7       544

 400   Associated Dry Goods

                    24-1/2     9,800      600  6.1   (   396)



                           $  66,850  $ 4,735  7.1  $  3,186

ENGEL UNITRUST



  5M   Par Holiday Inns Cvt 9%-5/8, due 2005

                     149   $   7,450  $   481  6.4  $  2,475

 20M   Par Shearson Loeb Rhoades Cvt 9%, due 2005

                     127      25,400    1,800  7.1     5,775

 300   First Charger Financial

                    10-1/2     3,150      240  3.9     1,067

 150   American Can   33       4,950      435  8.8   (   230)

 200   Quaker Oats    31       6,200      280  4.5       455

 200   Reynolds Metals

                      37       7,400      440  5.9       267

 100   United Technologies

                      50       5,000      220  4.4       490



                           $  59,550  $ 3,896  6.2  $ 10,299



Mr. Lee noted that the one exception in the recommendation to

sell concerns the Shearson Loeb Rhoades convertible bonds.  These

bonds have been called at $109; however, they are currently trad-

ing at $149.  The options are either to sell at the market price

or convert to common stock.  He recommended the $225,000 held by

the main endowment fund be converted and the $20,000 held by the

Mc Millan Endowment and the $20,000 held by the Engel Unitrust

be sold at market, explaining that the latter two funds have sub-

stantial income requirements which cannot be met by the conver-

sion to common stock.



Mrs. Fong moved approval.  Motion seconded by Mrs. Whitley,

carried without dissent.



                             Bonnie M. Smotony

                             Secretary of the Board

                                                       09-22-1980