AFTER ABOUT 30 MINUTES OF OPERATION, DURING A BANNER TOW FLIGHT, THE ENGINE BEGAN TO RUN ROUGHLY. THE AIRPLANE WAS AT 300 FEET OVER THE OCEAN ADJACENT TO A PUBLIC BEACH. UNABLE TO MAINTAIN ALTITUDE THE PILOT DITCHED IN THE OCEAN TO AVOID THE CROWDED BEACH. SUBSEQUENT EXAMINATION OF THE ENGINE REVEALED THAT THE NO. 4 CYLINDER EXHAUST VALVE HAD BROKEN AT THE PISTON END. THE ENGINE HAD 1939 HOURS SINCE THE LAST OVERHAUL.