The Evansville journal. [volume] (Evansville, Ind.) 1866-1870, 1867-08-13
THE
UNION PACIFIC
RAILROAD CO.
Their FIRST MORTGAGE BONDS
As AN INVESTMENT. p

The rapid progress of the Union Pacific
Railroad, now building west from Omaha,
Nebrasks, and forming, with Its western
connections, an unbroken line across the
continent, attracts attention to the va.ue
of the First Mortgage Bonds which the
Company now offe~ to the public. The
first question asked by prudent investors
is, "Are these bonds secure?" Next, sAre
they a profitable Investment" To reply
in brief:
1st. The early completion OF the whole
great line to the Pacific is as certain as any
future business event can be, The Gov
eminent grant of over twenty million
acres of land and fifty million dollars in
its own bonds practically guarantees It,
One-fourth of the work is already done,
and the track continues to be laid at the
rate of two miles day.
I'd. The Union Pacific Railroad bonds
are issued upon what promises to be one of
the most profitable lines of railroad in the
country. For many years 1t must be the
only line connecting the Atlantic and Pa
cifc; and being without com petition, it
can maintain remuneratiye rates. -
Sd. Four hundred and twenty-five miles
of this road are finished, and fully equip
ped with depots, LOGON olives, cars, &C.,
and two trains are daily running each
way. The materials for the remaining
nineLy-two miles to the eastern base of
the Rocky Mountains are on hand, and it
is under contract to be done in September.
4th. the net earnings of the sections
already finished are several times greater
than the gold interest upon the First
Mortgage Bonds upon such sections, and
if not another mile of the road were built
the part already completed would not only
pay interest and expenses, but be profit
able to the Company.
5th. The Union Pacific Railroad bonds
can be issued only as the road progresses,
and therefore can never be in the market
unless they represent a bona. tide property.
9Th. The amount is strictly limited by
law to sum equal to what is granted by
the u. S. Government, and for which it
takes second lien as its security. This
amount upon the first 5l7 miles west from
Omaha is only Si6,Oe9 per mile.
7th. The fact that the u. 8. Government
considers a second lien upon the road a
good investment, and that some of the
shrswdest railroad builders of the country
have already paid in five million dollars
upon the stock (which is to them third
lienG may well inspire confidence in a
first lien.
Sth. Although 1t is not claimed that
there can be any better securities than
Governments, there are parties who con-
slider a first mortgage upon such property
as this the very best security in the world,
and who sell their Governments to rein
vest in these bonds thus securing a
greater interest.
9th. AS the Union Pacific Railroad bonds
are offered for the present at 80 cents on
the dollar and accrued interest, they are
the cheapest security in the market, being
more than Is per cent. less than U. S.
stocks.
10TH AT the current rate of premium on
gold, they pay
OUer Nine per Cegs. Interest.
The daily subscriptions are already large,
and they will continue to be received in
New York by the
CONTINENTAL NATIONAL BANK,
No. Nassau Street;
CLARK, DODGE q Co., Bankers,
81 Wall Street;
JOHN j. CISCO & Son, Bankers,
No. 50 Wall street;
and by Banks and Bankers generally
throughout the United States, of whom
maps and descriptive pamphlets may be
obtained. They will also be sent by mail
from the Company's office, No. 20 Nassau
Street, New York, on application. Sub
scribers will select their own Agents, in
whom thsy have confidence, who alone
will be responsible to them for the safe
delivery of the bonds.
JOHN J. CISCO, Treasurer,
NEW YORK.