Evening star. [volume] (Washington, D.C.) 1854-1972, 1867-08-07
i he UNION PACIFIC
RAILROAD COMPANY.
THEIR FIRST MORTGAGE BONDS AS AN
INVESTMENT.

The rapid progress of the Union Pacific Railroad
! now building west from Omaha, Nebraska. and
| forming. with its western connections, an I'M
broken line across the continent, attracts attention
70 the value Of the First Mortgage Bonds which the
company now offer to the public. The first gues-
| ton asked by prudent investors is Are these
| bonds securs?" Next, Are they profitable
| Investments To reply in brief:
| lst. The early completion of the whole great
| line to the Pacific is as certain as any future
| business vent can be. The Government grant of
over twenty million 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.
ID The Union Pacific Railroad bonds are issued
upon what promises 10 be one of the most profit
able lines of railroad in the country. For many
years it must be the only line connecting the At
lantic aud Pacific; and being without competition
1t can maintain remunerative rates.
Sd 3I6 miles OF this road are finished. and fully
equipped with depots, locomotives, cars, &c and
two trains are daily running each way. The ma
teriais for the remaining III miles TO the eastern
| base the Rocky Mountains are on hand and is
| under contract TO be done in September.
4th. The net earnings of the sections already
finished are Ssr.rGi times greater than the geld in
terest 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 penses but be profitable to the
Company.
5th. The Union Pacific Railroad bonds can be
ssued only as the road progresses, and therefore
can never be in the market unless they represent
a iona fds property.
9th Their amount is strictly limited by law to
sum equal 10 what is granted 10y the United States
Government, and for which it takes a sscoaH lien
as its security. This amount upon the first 5l7
miles west from Omaha is only Sl6,U per mile
18th. The fact that the United States Government
considers a second lien upon the road a good in
yestment, and that ome of the shrewde9t railroad
builders Of the country have already paid in five
million dollars upon the stock (Which is TO them
third lien' may well inspire confidence in a Erat
lien.
oth Although it is not claimed that there can be
any better securities than Governments. there are
parties who consider first mortgage upon such
property this the very best security in the world
and who elltheir Governments to re invest in these
boDds-thus securing greater interest
9Th. AS the Union Pacific Railroad DO Hds are Of
fered tor the present at 90 cents the dollar and
accrued interest they the cheapest security in
the market, being Is per cent less than U. s
Stocks.
10th. At the current rate of premium on gold
they pay
OVER NINE PER CENT. INTEREST.
The daily subscriptions are already large, and
they will continue to be received in Washington by
the
FIRST NATIONAL BANK,
NATIONAL BANK OF THE REPUBLIC, and
RITTENHOUSE, FOWLER Il CO.,
and by BANKS AND BANKERS generally
throughout the United States, of whom maps and
descriptive pamphlets may be obtained They will
also be cent by mail from the Company Office, No.
20 Nassau street, New York, On application. Sub.
cribers will select their own gents in whom thew
have confidence, who alone will be responsible to
them for the safe delivery of the bonds.
JOHN J. CISCO, Treasurer,
1yNe New York.