Dodgeville chronicle. [volume] (Dodgeville, Wis.) 1862-current, 1872-02-02
The Safe Investment of Money.

The pending negotiations between Messrs.
Jay Cooke 4 Co. and the Rothschilds on the
one hand, and the United States Govern
ment on the other, which negotiations pro-
mise TO result in funding the whole OF our
national, debt at 4, Al and S per cent. inter-
est-with saving to our taxpayers of at
least twenty-five million dollars ayear-add
new prestige to the eminent American
bankers above named, and give increased
Importance to their opinion of various in
vestment securities. In a financial circular
just issued; Messrs. Jay Cooke 4 Co. state
the following facts about a favorite railroad
security now on the market >
BANKING HOUSE OF JAY CooKEJ& Co.,A 81
Philadelphia, January, 1872. a..
. The Northern Pacific Railroad Company
offers to the public an investment security
which combines the ready. negotiabil;ty,
the convenience, and the high credit of
frstrclass Railroad Bond, with the solidity
and safety Of Real Estate Mortgage
on Land worth at least twice the amount
loaned. Il 4"as fG -H3fo(
TRAFFIc.--As officially reported, the gross
earnings of the present Pacific Railroad
union and CENTRALLY for 1871, he, second
year of through business December
earnings estimated), reach seventeen mil
hons and a quarter Of this, IS per cent.
IS from local business, and, it is stated,
iuily 55 per cent, or nearly nine and d
nall millions, are net over operating ex-
penses. ..'....-tt .,e..bus : -, ,.,7..,,,,.-
An equal traffic on the Northern Paaifc
Road will pay dividend of more than 81
per cent. on its total cost q With its great
and. unquestioned advantages in distance,
grades, climate, and tributary fertile
country, tbs Northern Pacific is assured
of a vast and profitable business from
the outset, with a large increase for the
future.
THE VALUE OF LAND GRASTs.-The aver
age price at which the twenty-six leading
land grant railroads have thus far sold their
lands is $7.04 Per acre-the highest average
of any grant being Sl39S, and the lowest
$3.O7 With few exceptions, the average
selling price has steadily Increased from, year
to gear. The lands of the Northern Pacific
Road are admitted by all who have seen.
them, to be better and more saleable than
those of most other grants, but, sold at the
general average of $7.04 per acre, they will
yield more than $161 900 per mile of road
more than three times the possible cost of
construction and equipment, or, at the low
est average of any grant ($3.0D, they
Will produce more than $4,000 per mile.
These facts regarding Pacific Railroad earn
ings, and the market value of railroad lands
as shown by actual sales to settlers, show the
road bonds. a"1 -' ya- lisa
CoNsTRUcTIoN.-The road is now completed
across Minnesota (255 miles,; work is pro-
crossing westward through Dakota, and IS
miles are under construction on the Pacific
coast. Including purchased lines, the
Northern Pacific Company now has under
its management SIS miles of finished track.
Contracts are let for the construction of 635
miles more, to be finished before the close
of 1872 ..4 t,. ea.sa.- ~ ~
The 700 GOLD BoNDs-The first mort
gage bonds of this company, achich, after full
Investigation, zoe strongly recommend as re-
liable and unusually pro ftG6le inrestment, and
aohich 1,oao stand among the solid and faeorite
securities Of the country, have the following
leading features N ~" - .+.' ;....,0
l. They are exempt from United States
tax, the principal and interest are payable
in gold, the principal in thirty years, and
the interest enii-annually at the rate of
Z $40 per cent. per annum. Denomina-
tions, from 500 to- $4,000. Present sell
ing price, par and accrued interest in cur
rency. t' VIVA s.l~ i,
2. The bonds are first and only mort
gage on the road, its equipments and earn
ings, and also on a landgrant, which, on
the completion of the road, will average
q, 900 acres to each mile of track.
3. They are at all times receivable at 10
per cent. premium (1.10), in payment or ex-
change for the Company's land at market
prices-a provision which pract cally gives
the holder the power of foreclosure at will.
4. The proceeds of all sales of land are
required to be devoted by the trustees of the
bondholders (Messrs. Jay Cooke and j. Ed
gar Thomson) as sinking fund to the pur-
chase and cancellation Of the first mortgage
bonds, OF temporarily to the payment of in
terest thereon if necessary. ..-trtt .. e.;
EXCHANGING 5-20s.-In view of the ability
and fixed policy of the Government to call
in its 5-20s and substitute a low-interest
bond--$l4O,O0O, 900 having been called in for
cancellation since September many
holders of 5-2Os are exchanging them for
Northern Pacifcs, thus adding to their
principal the present premium on Govern
ment Bonds, and increasing their yearly in
terestincome nearly one-third. ~
All marketable stocks and bonds will be
received at current prices in exchange for
Northern Pacific Seyen-Thirties without ex-
pense to the INVESTOR Com. 10 81,
A STABLE INsrIrUTIoN.-Just at the period when all