New-York tribune., 1867-06-11
PANKTNG AND FINANCIAL.

THE UNION PACIFIC RAILROAD Co.'s FIRST MORT
GAGE BoNDs-ARE THEY SECURE This Is the hTst
question with every investor. Ii is not doubted that
the great Pacific line viii be finished at an early day
The entire cost Of the whole road is not expected to
vary much from $l1O0OOOOO. exclusive of equipment
and of this sum Government furnishes $50,OOO,OO0 OF
United States per cent bonds which are equal TO
money for which it takes Second Mortgage as Sc
curity, and makes a donation of over 2O0O0Oo0 of
acres of land while the COmpany's own First Mort
gage bonds to an additional S500O0y00O may be
issued in addition to the stock subscription,
thus providing ample means for the completion
of this road. Ten thousand men now
cutting their way through and over the
Sierra Nevadas of California, coming east and
the track from Omaha, west is being laid more rap
Idly than was ever before known in the history OF
railroad building Three hundred and forty-fiye
miles are finished, and fully equipped with locomO-
tiyes etc. and the are running over IT, ana the
remaining distance TO the Rocky Mountains, making
bl7 miles is under contract TO be done by Sept OF
the present year If company which has already
shown so much energy, and which Is known to III
clude many of the largest capitalists of the country
could fail in completing what they have begun, the
work would not stop. The present trouble with the
Indians shows that there is no way to pactg that
region of country but TO erize it, and there is no
civilizer like the locomotive and the population and
business that follow IN its tram.
Gen Sherman says the United States Government
could well afford to build the Whole road, and would
make money by the operation. 1t is an indispensable
national necessity and, by advancing SooUOOOOn
own bonds and by donation of 1880 acres OF land
per mile, the Government practically guarantees us
completion for it cannot afford to stop short OF It,
But the Unon Pacific Railroad Company is III itself
strong corporation Many Of its members are Tail-
road builders of large experience and they have pald
In 6 100000 of their own money the work already
done as part Of the capital stock. On this stock
they doubtless expect TO secure liberal dividends but
which, of course be paid only after the interest
Oh the bonded debt is provided for. shrcwd practi
cal business men, like those who engaged in this
enterprise as directors and stockholders-whO are
never known as speculatOrs-dO not make such III
vestmens without careful examination and with full
assurance of their value.
On the line Of 5l7 miles from Omaha to the baseof
the Rocky Mountains, now nearly completed. and on
which over $2OOOO0O0 have already been expended,
the Union Pacific Company is permitted by law 10
issue its First Mortgage Bonds only to the same
amount which il receives from the Government, VIZ,
$4,000 per mile amounting to Ss,272,O0O. The net
earnings of the finished portion Of the road during
the month of May were more than toar times the In
terest on the Companys bonds issued upon it, and as
each section is done, these earnings must show pro
portionate increase. If so much is earned on the
local business of these sections nO,c what may we
not expect when the grand line of 1900 miles IS
open TO the Pacific in 1870 when it will receive tho
ueat tide of travel and business which viii flow
over it 10 the vast mining regions not yet developed
to California and the whole western coast OF the
North American continent and going further yet to
China and Japanf The road viii have no eompet-
itor, and the Company charge such rates as viii
be profitable to themselves and yet be economical to
the public.
Does il need any argument beyond the plain state
meut of facts 10 show that the First Mortgage Bonds
of such road are entitled to take the very highest
rank among our public securities We believe they
will certainly do it as as they arc generally
known and already very considerable amounts are
daily subscribed for AS tho interest these bonds
is six per cent in gold the pToe at which they arc
DOW offered 900 cents on the COLLAR, makes them pay
an interest of nine per cent to the holder subscrp
tons are received in New-Tork by the
CONTINENTAL NATIONAL BANK, No. z Nassau-st.,
CLARK, DODGE g. Co.. Bankers. No. IL Wailstp
JoHN j. Cisco a. Son. Bankers, No. 80 Wall-st.,
and by BANKS AND BANKERS gcneEally throughout
the United States, of whom maps aud descriptive
pamphlets may be obtained.