Vermont watchman and State journal. [volume] (Montpelier, Vt.) 1836-1883, 1873-09-24


The brokers. and especially the large deal.
ers in railroad securities in New York have
fallen upou hard times. Jay Cooke & Co.
have been largely interested in the bonds Of
the Northern Pacific. They had undertaken
to aoa, hundred million, Of construction
bonds at par, and receive ten per cent Of
all thew should place. They have. Of course
besides being subject to heavy expenses,
] been OBLIGED to furnish means for construc.
ton Ms fast as called for. aud also to pro.
tect the bonds of the road If the bonds
sbonld fall below ninety ner cont. Jaw
Cooke & Co. would suffer severe loss. or if
the bond. lbev had already placed should
be thrown an tbe marke, to any copsidera.
bic cvtcp, ibcy would be compelled to take
them at par in order to protect their own
interests It wa. a sinrul1rly bold fnan.
ci,l op,errriso thew engaged in. when they
thus agreed to float and protect the bonds
ortbe Northern Pacific railroad to so vast
an omoup, If ,hov were successful il
wopll ,;yo ,5o,o ,, irmcrso r,rippe II
unsuccessful +, would cost them an oonallv
lorco c,r,rro
Thoso hooJ. uoro sccurod nm n Govern.
mon, c,o,, If .bou, 70 600 GOO of acres
of land. A large portion of this was 10.
tr;ns;o,llr vol,,llo G,r, ;,,ber and for agri.
cultural purno.es-a REGAL domain Of maa.
niacont soil and forest The only difficulty
in re,neci 10 the security was that Of real
ling It's value fast enough to meet the in.
terest of the bonds If the vast assets Of
/ the companv should be practically unreal.
liable. that IS if there was no market for
them, there would be no means to provide
for the interest of the bonds and they must
inevitably depreciate
We opnrebend that this was the positiop
in which Jaw Cooke A. Co. found them.
selves They had an immense but com.
nar,,iyoly wor,bless nronortv on thoirbands
with which 10 meet the constantly accruinO
intcre., of twen,v millions or dollars al.
readv exnondo5 and tho constant demand.
Of the construction account The demand
IN their Resources accumulated much more
ranidlv than the sale If bonds or the sale n
lands belonoinc 10 the railroad Thew
woro ,boroforo If necessitv driven 70 III,
wou i,s, ,s man ,,orl1 bo NTH IN ont
STANDING dcb, IF ,on ,bous,,a dollors and a
nrac,icolIy Unavoidable rr,nertv NJ twentv
,bonsond dollars in wild land, as the onlv
roons n mcot oithor tho rrinc;n,l or ,bc
interest Whom n man agrces IN raise n
hundred millions NJ dollars and take caro
or ,bo interest ON :, foo with tho ,v,iIs n
oo,,i,o,, or land occnriod onl, Nv wild
hnT,loo. and vilFer Indian. no mood the
rosoprcos Of a kin,dou in order to nrotec,
b;msolf r,isimnossiblo 70 ro,l;,o bis 90
sets with sufi ,ient ra,i1itv nav his debts
md rn3er tho ,votor he mrst 10
Tho Gilnre If Law Coole G "a will
therefore taLo no intellioont and woll.in.
formed ma, bv s,,rnr;so Tho o,lv wordo,
l. that sucb s,,,c;ors mo, should bovo mn,
themselves under sucb load Tho growth
Of the country nnnorollelod nc II ia world
not warrant the hone that the wild land.
olon, the line Of This road would no settled
and doyelonod no Ca, 30 tho ov;ooro;os 81
,bo road .ao,,;,o5 Tho.o wos ~ .o,,.,
mood e.. ho .oo1 no h,.i,oss .al .r.G,
ool;o. Ca -.
hn.;nes. h,, >, or..,. ro,n,o,;on % srs
,oi, il 70 oroo,o rorrla, ;or zoo u
conr,rr swor,o;r, Win tod;ans dos,;,,.
Of wood ovnosed n ,bo royocos or erase
bonnors and r.o,or m Zoe o;ab, month"; :,
,bo ,o,r Tho ;mo,;na,;o, ~. o,,,l oon
strrr, Gn,noi,l snooosa or, 80 s,,h -,
o,tornr;so 90 ha, mns, horo bon or A.
mos, ,0..,;G,on, do.o.;,ton
mo c';l,.o % III. e.u G.. ,ho .o...,
tha, !, has euo5 would ro,nr.llr ;nro,v
bo c,;hnro or oho,s mho.o os.o,. ,o.
lor,olr Ia sn,o,la,;ro onacn.,ol.
r.rla ho ,;tl,,.ho a.. 1t. IL
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