I have two Freed catalogs, from 1953 and 1960, so I did a quick check for you. Neither mentions "Class A" or "Grade 1" in the descriptions, and neither contains these phrases.
I think this is just stamping "Best Transformers in the World!" on them. Because, in those days, nobody knew much about an item beyond what appeared in a printed catalog or flyer, in the packaging, or on the item itself.