The above is Scott #666 PSE graded OGnh 98 (superb). Getting Kansas-Nebraska’s in this condition is pretty tough and the population report from PSE indicates that there are 6 that grade 98, 2 that grade 98J and 1 that grades as 100 (gem). So it is pretty rare. The current market price is $1400 and Kelleher estimated that the stamp would bring between $1000-$1,500, however it did not sell, suggesting that there were no bidders at the reserve. Similarly, a Scott #658 graded gem 100 and a Scott #662 graded 98J did not clear.

The stamp above, Scott #570, graded as OGnh 98J.  Market for a 98 is $1,300 as a 98 and it sold for $800. There are, of course examples of realizations to full market.

You can always count on a Columbian, even a 231. The above is a OGnh 98J 231, the broken hat variety. The broken hat appears as a notch in the cap of the second person to Columbus’s left. The stamp above realized $2,100 against a market value of $1,200 for a normal 231 98. The premium is probably due to the J and the fact that it is the broken hat variety.

As always there are some interesting specialist material.

The stamp above is a use 148 that obviously would not get a high grade. But still a very interesting and unique stamp with the captured plate number. It sold for $180 against a Scott of $35.00.

There are very few examples of stamps in the 70-90 range that come graded as such. One example is shown below.

This stamp is Scott #86, the “E” grill. The above is used, very lightly canceled and graded as 70, Fine. It realized $150.00 against a catalog value of $525.

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The stamp is Scott #75 red brown. #75 was issued in 1862 and the earliest known use is Jan. 2 of that year. Approximately 1M were issued primarily for use with a 10c stamp to pay the 15c rate to France. #75 is of course identical in design to Scott #76 shown below.

The 76 shown above, which appeared in the same auction,  clearly lacks the reddish component in the 75. #76 was issued a year after #75 in 1863 in a quantity of 6.5M and was also used primarily with a 10c stamp to pay the 15c rate to France.

The description of the #75 was as follows:

“an extraordinary mint example, featuring the finest centering we have ever seen on a mint copy of this notoriously difficult stamp, deep luxuriant color and an especially intense impression, disturbed o.g., extremely fine”

The #75 also came with 2 certificates, an 02 Philatelic Foundation (PF) certificate and a 2010 PSE certificate grading the stamp as 90 extra-fine with disturbed original gum (DOG). The grade of 90 is the only and highest grade given to date for this always tight stamp so the final price realized of $2200 against a Stamp Market Quarterly(SMQ) price of $11,500 is quite surprising. I checked the Scott Value Supplement and it prices a 75 at $11,000 with “unused OG” at a grade of 90 so there is nothing unusual about the SMQ price. So this stamp realized less than 25% of the value guides. Usually when a stamp is bidding at such a low fraction dealers will step in and bid the price up to a more reasonable fraction.

There are two conclusions one could draw. Either the DOG was pretty bad compared to previously hinged or the market for the really rare and expensive stamps is still weak (or maybe both).

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The PSE system did not have a big impact on the stamp market the first few years, but after a while, collectors began to realize that the highest grades were much rarer than had been noticed and prices for highly graded stamps really took off. For a while, every auction reported new record prices for 95′s (extra-fine-superb) and 98′s (superb). I think most dealers, including myself, where pretty concerned because it appeared to be a speculative bubble. And when the recession hit in 2008, there was a big tumble in prices. Highly graded stamps took a big hit. The worst part of the carnage was in fairly common stamps, like stamps from the Presidential series, that had reached 100′s of dollars in grades of 98.

It appears to me that the market has finally stabilized. The SMQ indicates with a plus or minus whether or not a stamp has fallen or risen in price from the previous issue. I counted the pluses and minuses in the most recent issue up to about Scott number 400. There were 106 pluses and 74 minuses. Note I counted the changes independent of whether or not the stamp was NH, Used, previously hinged or what the grade was that the price change occurred in. Nor did I attempt to keep track of the dollar amount of the change so this is not the most scientific analysis, but it does indicate that the market is finally stabilizing and at more reasonable prices. I thought the most encouraging sign was that most of the changes occurred in the mid-range grades of 75-90. There were very few changes in the highest grades and virtually no changes in the grades below 75.

I am a big fan of grading, even for stamps grading below 75 (fine/very fine). Most collectors do not have the time to carefully understand the pricing of stamps. Additionally there are a lot of faults that are very difficult to spot. I consider myself fairly expert and I miss small faults more often than I care to admit. And when your collection is sold, the buyer will assume faults and price down your collection unless you have the certificates to support a higher price. But once you have the certificate with the grade, there are a lot of references that provide sound price information. The most recent Scott catalog includes a section on prices based on the same number system used by PSE. And of course you can refer to the Stamp Market Quarterly. One note of caution. It is not  uncommon for stamps to be priced somewhat above the prices in the grading references. This is because the grading references do not capture all the cost information. If the price is based on auction results, it is usually the hammer price. And since the auctioneer charges the buyer and seller each 15-20% (net 30-40%) the resell price will reflect that. Additionally, there is the cost of the certificate, which adds $30 or more to the price of the stamp. Paying 15% or so over the price in the quality guides is usually fair and reasonable, but beware of stamps selling at huge multiples to the prices in the quality guides. Some time in the future, your collection will get sold and if you paid 2 times the price in the quality guides, you will not like the price you get when you (or your beneficiaries)  sell out.

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Essay. An essay is a proposed design for a stamp that differs from the final design in some way. Essays were commonly provided by the various companies competing for the opportunity to manufacture stamps prior to the Bureau of Printing and Engraving taking over the process.

Proof. A proof is trial printing made from the original die or the finished plate. Proofs are printed on card,  India paper or bond papers. Card is cardboard and is much thicker than stamp paper. India paper is a soft and very thin paper. Proofs on India very often have thins because the paper is so fragile.

Following are some examples from the Siegel Mar. 8-10 auction.

Above is an essay, Scott 11-E8a. This essay was a design proposed by Draper, Welsh and Co. for what became Scott #11. In the Scott catalog they list 9 shades of this essay, the one shown being the orange brown. The illustrated essay was part of a lot consisting a 5 shades on both India paper and bond. The lot description indicated a few of the India essays had thins, typical of this fragile paper. The lot sold for $950 before the auctioneers 15%.

The above essay is a very attractive design for 11 proposed by Danford, Bald and Company, Scott #11-E12a on India paper sunk on card. It sold for $700 before the auctioneer’s 15%.

The above is a beautiful multiple of Scott #42P3, on India,  the same design that is used on Scott #12. This multiple includes the plate number and the complete Toppan, Carpenter and Co. imprint. It is described as having a small hole but nonetheless realized $1600.

The above is a block of four of  43P3, proof on India. A beautiful fresh block. I bid a hopeful $350 on it but it realized $700.

A final note on proofs. It is not uncommon to find fake stamps manufactured from proofs on card. There is a large financial incentive since a proof on card is about $100 and the fakes are often of the very rare reprints (Scott 40-47) which catalog in the thousands. The fakes are made by filing down the thick card until it is about the same thickness of stamp paper then adding fake perforations on all four sides. Fakes can be distinguished from the authentic stamp by the very crisp and fresh impression of the proof, the roughened paper from the filing process and the very clean, sharp-edged perforations that are much cleaner than authentic perforations. The reprints (40-47) should never be purchased without a valid certification.

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First a quick review of Scott #13. #13 is the type I plate variety. In fact it is printed with the same plate as #14 and #15. #13 only comes from the 20 elements of the bottom row of the sheet.  The earliest known use date is Nov. 20, 1856 and approximately 500,000 were printed.

Type I is characterized by a complete bottom design as shown below.

Note the “shells” which are the curly part of the design in the left and right corners. The shells are complete which only occurs on Type I and Type V. Type V is only found on Scott #35, a relatively common perforated stamp. It is possible to make a fake Type I by trimming away the perforations on a Type V, however Type V has the side ornaments cut off while they are complete on Type I so it is a relatively easy fake to spot.

Now to understanding the grade of 70.

Above is the stamp that I submitted. Following is a gallery of other 13′s with their respective grades.

Above is a 13 PSE-graded 98 superb.

Above is a 13 PSE-graded 90 extra-fine.

Above is a 13 PSE-graded 80 VF.

In comparing the stamp I submitted to the stamp graded 80, it is clear to me that my stamp is cut to close at the lower right to get an 80.  Perhaps also top center on the left edge. And is very close on the bottom. #13 has a catalog value of $950 as a VF, as a Fine it is worth half that so I have reduced my price accordingly.

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Above is Canal Zone O8, one of the toughest of the Canal Zone Officials (the toughest is O3 mint). It is only known as a used stamp and I am unaware that it is ever found with any cancel other than the wavy line precancel shown in the example above. O8 is overprinted “Official Panama Canal” with the Type 1a overprint which is characterized by Panama being 9mm in length compared to the standard 10mm on other issues. The stamp above is unusually well centered for the issue and was sold for the very low price of $170 against a catalog value of $650. Highly unusual to see such a nice rarity sell so low.

The beautiful cover above features a block of 4 of 18 with the upper left stamp being 18a with Zone in antique type. This very fine cover was mailed from Ancon to Boston on Jul 30, 1906. Ancon is adjacent to Panama City and was one of the major townships of the Canal Zone when it was occupied by the US. This attractive cover realized $750.00.

To understand antique type, see the image below.

In normal print the points at the end of the Z and E are vertical. In antique type as shown above, the points are slanted at 45 degrees or so.

This cover includes a #19, 2 #16′s and 1 #17 used in combination on a registered cover. This cover was mailed from Ancon to New Jersey on April 26, 1906. It realized $260.00.

This is a really nice copy of Hi 6, the 13c dark red on hard paper. It was printed in 1865 and features the portrait of King Kamehameha.  The 13c paid the 5c for going from Hi to a ship, the 6c from San Francisco to the East Coast and 2c paid to the ship Captain. The stamp shown above is XF with part of the top margin, no gum, and sold for $550.

The attractive cover above is franked with 2 59′s and 1 68. It was mailed from Honolulu Feb 3, 1894 to Floral Park NY and realized $375, a strong price.

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Scott 649 depicts the Wright Brothers airplane. It was printed as a flat plate printing perforated 11 in the carmine rose shade. A total of 51 million were printed and there are no listed varieties. It is valued in the Scott grading guide  as:

Used VF 80 $0.80, XF 90 $24.00, Superb 98 $320

OGph VF 80 $1.10, XF 90 $4.00, Superb 98 $22.50

OGnh VF 80 $1.75, XF 90 $10.00, Superb 98 $140.00

Scott 650 depicts an aircraft and globe. The stamp is a flat plate printing perforated 11 in the blue shade. The 5c denomination  paid the price for airmail and international delivery.  There were 10M copies printed and there is one listed variety. The variety is known as the Prairie Dog flaw. The flaw appears as an irregular mark on the globe just below the e in conference. The flaw is only found on stamps with a straight edge and so was probably not strongly collected. It is priced in Scott at $27.50 OGph but it is probably much rarer than the price indicates. I have never seen one. 650 is valued as follows in the 2011 Scott grading guide:

Used VF 80 $3.25 XF 90 $25, Superb 98 $375

OGph VF 80 $4.50 XF 90 $6.50, Superb 98 $30

OGnh VF 90   $7.25, XF 90 $17.50, Superb 98 $200

In checking the PSE population report, for 650 there are 43 copies OGnh that have graded 98 or higher making it a fairly common stamp in the highest grades (at least as these things go). However there are only 3 used stamps that grade 98 or higher. Thus the apparent anomaly of high grade used stamps being valued more than  highly graded OGnh.

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Scott 137 used pair with New York Foreign Mail Geometric

Scott 210 Previously Hinged Graded 95

The large banknotes were printed by three different printing companies. These printings are as follows.

1870-71 Scott numbers 134-144, the grilled issues. Printed by the National Bank Note company on hard white paper.

1870-71 Scott numbers 145-155 no grill. Printed by the National Bank Note company on hard paper.

1873-1875 Scott numbers 156-181 including special printings.  Printed by the Continental Bank Note company on hard paper.

1879-1890 Scott numbers 182-218. Printed by the American Bank Note company on soft porous paper.

Many of these design are the same. The appearance of Scott #150 and 187, the 10c brown Hamilton, is virtually identical except for the paper types, 150 being on hard paper and 187 on soft paper.

The best way to distinguish the paper types is to hold the stamp up to a strong light. Look along the edges of the stamp between the design and perforations where the paper is white. The hard paper will be clear and translucent. The soft paper will be mottled in appearance, showing the paper weave. To practice use a common Scott 65, which is always on hard paper,  and a Scott 210 or a low value Columbian such as 231, which is always on soft paper. Hold the two stamps up the the light and you will clearly see the difference.

Important note. Hard and soft paper varieties also occur on newspapers and officials. Starting in 1879 at Scott number O94, the Officials were printed on soft paper. Similarly in 1879 starting with Scott number PR57, newspapers were printed on soft paper.

There are examples of intermediate papers that are hard to distinguish but for the most part, with a little practice, looking through the papers will allow you to tell hard from soft paper.

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It is a plate block of Martha Washington, Scott #556, from the 1922-1925 regular issue and describe by PSE as having transitional perf. 10 on the bottom right stamp. A #556 plate block of 6 has a catalog value of $250 hinged. However Scott includes a listing of #556b as a perf. 10 top or bottom with a catalog value of $3,500 hinged. PSE  did not describe the lower right stamp in this block being perf. 10 but as having a “transitional perforation”. Being unfamiliar with the term transitional perforation, I did a little research. I found a definition in the glossary section at the United States Stamp Society website as being when a stamp is partially perforated 11 and changes to perforation 10.

To review, the perforation gauge is the the number of perforations per 20 mm.  So a perf. 10 stamp has 10 perforations per 20 mm. For stamps with compound perforations, the standard practice it to describe a stamp’s perforations with the horizontal value followed by the vertical value. So a stamp that is perf. 10 by 11 has 10 perforations per 20 mm across the top and bottom and 11 perforations per 20 mm on both sides.

Perforations are made by rolling a perforation wheel across the imperforate sheet. The perf. 10 errors arise from replacing some of the perf. 11 pins with perf. 10 pins on the roller. In the 1922-1925 regular issue series, the perf. 10 error is also found on Scott #562c and #568c. 562c is a great rarity with a catalog value of $85,000.

I found another example of a transitional perforation plate block from a recent Siegel auction.

Siegel describes this block as Scott #498 Top plate no. F 13381 block of six, bottom stamps show transitional perforations with right stamp Perf 11, center stamp transitional Perf 10/11, left stamp Perf 10. The change in perforations across the bottom clearly shows that the perforation gauge changes from 11 to 10, thus the term “transitional perforation”.

In addition to #498, the 1917-1919 unwatermarked perf. 11 Washington-Franklin series shows a lot of examples of the perf. 10 error. Scott numbers with the error include 498g, 502e, 506a, 507a, 508c, 509a, 510a, 511a, 512b, 514a, 515d, 516a, and 517c. All these errors are very rare with high catalog values.

These perforation errors are very hard to spot. I can generally tell a perf. 10 from a perf. 11 without using a perf. gauge but I could not with the two blocks shown. So there are likely more of these errors hidden and unidentified in collections.

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On Mar.1, Siegel Auctions completed the sale of the Gordon Eubanks specialized collection of  1869 pictorials. The 1869 pictorials includes Scott #112-122 and was the first of the US stamps to picture scenes other than portraits, though the set does follow the tradition of the times and has a portrait of Benjamin Franklin as the low value. The Gordon Eubanks sale included some great rarities. Following are some examples from the sale that I found particularly interesting.

Scott #113, with the Three-Leaf Clover fancy cancel of Waterbury Conn., VF catalog $95, realized $2200. Note that this stamp is a sound very fine copy. The 23 times premium over Scott is due entirely to the rarity of the Waterbury cancel.

Scott #119, catalog value of $275, realized $400. Siegel characterized this stamp as extremely fine with small corner crease. Despite the corner crease this stamp realized a 1.5X premium over Scott.

Scott #122, one of two known blocks of six and the only one with full OG, estimate $200-300K, realized $150K somewhat below estimate despite the fact that this block is considered one of the real gems of philately.

The Eubanks sale also featured inverts. On the 1869 pictorials, the vignette and the center portion of the design were printed in two steps and on 119-121 there are rare and highly desired examples where the center portion of the design is inverted with respect to the vignette. Following are the three sold in the Eubanks auction.

Scott #119b with a catalog value of $20K, realized $110K. According to the Siegel census, there are only 93 known 119b’s and this, with the star fancy cancel and completely sound, is considered the finest, realizing a 5.5X premium over catalog.

Scott #120b with a catalog value of $35K, realized $85K. According to the Siegel census there are 89 known 120b’s and this is the finest, realizing a 2.5X premium.

Scott #121b with a catalog value of $110K, realized $55k. The Sigel census shows that there are 45 known 121b’s. This one is VF but has a small margin repair that reduced the realization.

Some great stamps that got very high prices.