The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1867-04-30
COKNERCIAL ARD FINANCIAL,


1 1SGAAAAuG0uN.
me STATE debtof Virginia and West
Virginia e ,lls. TAl, according IN the
last statement that we have seen S,ht,b
is for the year 1866. In 1885,. If wac SaS :
4s, l4L West Virgtnia's port,"n~ ~ 80 :.
we presume, would be based On The
debt as it stood in the spring of.lsts5
Some twenty millions ofthe whole have
been recently provided for by the sale
of all Nirginia's interests in her rail.
roads. She agrees to give her stock,
dollar stor dollar. in exchange for hel
bonds. What the balance of her stocks
such as those in certain banks, and il
the James River and Kanawha Canal
and in other corporations, are worth
we have no means of knowing, bul
something perhaps. So that it is posi-.
BILE the whole debt, as 1t stood before
the war, after sales of all available as.
sets, WIN not amount to more than
twelve or thirteen millions. The wa1
portion of her debt, we mean
that portion OF it created by
furnishing aid to the rebellion
Will never be paid, taking the action OF
the Government in the case of Ala
bama, North Carolina, &C., as prece-
dents, for they were requil ed to repu-
date such liabilities. The taxable
valuation of Virginia in 1860 was $6l2, :
$50, s27; in 1866 it was only SS27, $50, 56l,
nearly one-haIfless. The taxable valu-
ton of West Virginia in 1860 was $751;
99S, 962, and in 1866 it was SI95. al, 40,
an increase of nearly SO per cent. 1t
WILDE seen that adding the valuation
in West Virginia to that of the old
State, last years in each case, and
there remains depreciation below the
aggregate of1s6O Of S2l9. 2S2, O96 to rep
resent Virginia's loss in the war, But
great as is that deficit it only very linz
perfectly represents her loss by the re-
bellion. She lost all that she might
have added to her valuation Of 1850.
and for years will continue to feel tho
Fetarding effects Of the evils and evil in
fihences to which she subjected herself.
The New York Commercial and FInam-
eiaL Chronicle OF Saturday last has an
elementary sort of an article on "the
conversion of the Seven Thirties," we'll
adapted TO make the whole su bjeci COM
prehensible TO those who have paid but
little attention and consequently do not
understand the process of conversion
now going on. We quote from it as
follows:
Some persons are surprised ut the
announcement that the Treasury is
buying up the Seven thirty notes OF the
first, or August, issue at as high a pre-
MUM as per cent. Ofthe 800 millions
of these notes which were issued at par
In 1864, about 100 millions are
now outstanding, and the Govern
ment offers to buy them before
maturity at lO69lO61S. AT this
handsome advance upon the original
amount are daily pouring into the
Treasury, and at the New York office
alone 6 millions have been paid off dur
ing the past week. How is it, the Ques-
TONER asks, that a note which, after its
maturity in less than four months, will
become a mere draft on the Treasury
tor'lO0 dollars, sells now in the open
market at LOG. 1t cannot be the rate of
interest which constitutes the attrac-
ton, for that is only 7-30 per cent, and
coin. bearing bonds at the present price
of gold pay more than this rate on the
money invested in them. Nor can it be
the scarcity of these notes in the mar
ket, for they are ever to be had, and the
supply Offering has always been equal
to the demand. The reason for the
anomaly lies in the fact that the holder
OF the Seven-thirty note has the option
on the day 1t natures OF either receiving
the 100 dollars he lent the Government,
or OF claiming q Five-twenty bond for
that sum dated August 10, 1867, and
maturing In August Is, 1887. It is this
option that imparts a special value to
the Seven-thirty notes, which, but for
such provision, would be selling at
about par. AS things are, the holder of
such notes is making handsome profit
on his three years. investment, for he
has not only received 7.S0 per cent in
terest on the sum he invested, but he
Is also able TO get over 6per cent pre-
MUM into the bargain. Hence the
money he advanced to the Government
to pay the expenses of the close of the
war has paid for the three years, % per
cent, or nearly OK per cent. per an
mum. This is on the suppOsltion that
he sells his note at current prices TO the
brokers Or accepts the present offer
of Mr.. McCnlloch, and presents his
note for payment at the Treasury.