Morning journal and courier., 1881-01-05
TRUSTEE. The Central Trust Co. of New York,

The bonds are secured by first mortgage on the entire railroad equipment franchises and other erty of the Company acquired and to be acquired cluding the land grant, with the exception of the lands east of the Missouri River subject only lien of the Pend dOreille and Missouri Divisional Bonds, to retire which equal amount of these bonds are to remain in the hands of the trustee
 The bonds receivable in payment lands at l10 and interest. The proceeds of all the sales land mortgaged, after payment of the interest on the bonds, must be applied to the purchase of the bonds if below 11O and interest; if above that price, the bonds will be drawn by lot for payment at no and interest
 The bonds purchased, together with any received in payment for lands, will be held for sinking fund purposes.
 The sinking fund begins in 1885, is accumulatiye and sufficient at it's minimum to pay of this indebt edness at maturity.
 The Land Grant of the Company is very large and valuable being at the rate 128OO acres per mile in the States and 25, 600 in the Territories The land east of the Missouri River is subject to the right of the Preferred Stockholders to exchange their stock at par for purchase of these lands but event of B default in the payment of the interest ou these bonds the security of these lands would revert to the bondholders.
 The main line of railroad when completed will ex- tend from Lake Superior to points the naviga ble waters of the Pacific Ocean, e., Puget Sound w. huO COluuOla H1Vcr at or near POrtlaDQ, Oregon. It will be about 2,4oO miles in length The branches and connections now owned or under lease are 203h miles in length, making total line about 26oO miles,
 Of the main line there now finished and run ming 799 miles under construction and expected
 to be completed about July, 1sS1.. -......... 200 To complete the system there requires to be
 constructed about. I 4eO Of the 2031E miles of branch lines 1s2 are now
 finished, making, at the present time, total
 ffnia had line of
 With the proceeds of the present loan the Board of Directors have already taken steps extend the ding of the line in the most rapid compatible with proper economy and is the intention of the Company to have through line at the earliest prac ticable period In addition to the POO miles above mentioned and under construction, vigorous meas ures will be taken for further prosecution of the work. The necessary rails, fixtures and equipment for more than 800 miles have been already for.
 The net earnings of the Company for the year end ing June 30, 1880, stated in the annual report on 722 miles of completed road.
 The gross earnings of the Company
 from July l, 1889 to December 31,
 1880 December estimated), were..... 1,637 924 19 For the same period of 1879. 1,295,313 61 showing increase for 1S8O period. $342,61O 5s on about the same mileage. the present additional new line having been only recently ready for use.
 Should there be at any time a deficiency of net earnings for the payment of the interest on these bonds the proceeds of sales of land Of the Company are first applicable for that purpose.
 The road passes through the grain lands of Ninne- sota and Dakota, which have been demonstrated be as good as any in the world. Those of Montana are being rapidly settled for grazing purposes Montana has also large mineral wealth.
 The proceeds of the bonds now offered will furnish 1rkr-- 1881, and further amount of bonds will be offered until 1882
 According to the estimate of the Company, the ex- pendtture of about $40 900 will complete the ne
 The Divisional bonds (s6, ,5OO 0OOl and the present issue will steadily diminish by reason of land sales and on the completion of the line the fixed charges will not exceed g, s000O0 to $3O0O, 900 per Under the former organization of the Company more than ssO, 900 900 of bonds had been issued, which bonds converted into the present Preferred Stock.
 The proceeds of these bonds paid direct to the Company, which akes it's contracts there being no construction company.
 In virtue of contract purchase with the Northern Pacific Railroad Conn Pany, subscriptions will be received on and after Monday, the Sd of January, 1881, by either of the undersigned for the above bonds at
 IO2 and Accrued Interest. payable on or before February1, 1881. at the option Of the purchaser.
 Pending the preparation of the bonds by the Company, negotiable receipts will be given, exchangeabIe for the bonds when ready.
 simultaneous issue will be made by MESSRS J. S. MORGAN & co. in London.
 Copies of the bond and mortgage, and further in formation in detail concerning the Land Grant, etc can be obtained at our offices in pamphlet form. Drexels Morgan & Go.
 WinslOW, Lanier & Go. IN August Belmont X Go.
 A A1bscriptions will also be received at the offices of
 Drexel & Co.,, W. H. Newbold's Son & Co.,, PHILADELPRIA.
 Johnston Brothers x Co.,, BALTIMORE.
 Lee, HigginsOn & Co.,, Brewster, BaSSett x Co.,, BOSTON.
 We beg to announce that the subscription received by us for the Northern Pacific Railroad general first 1 mortgage bonds having considerably exceeded the amount reserved for this market, receive nc further subscription except subject to the London allotments which will be practicable after the closing of the books there on Wednesday night I the fifth instant.
 Signed DRExELs MORGAN & CO, wINsLow. LANIER CO.,, AUGUST BELMoNT& co. : New York, Jan. 4, 1881. j5