Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1894-08-01
TnE NIcAnAouA CANAL.
Interesting Details About the Cost
and Construction of the Ditch.

Interesting Details About the Cost
and Construction of the Ditch.
The government of Nicaragua has
carrying on and completing the canal.
says the New York Advertiser II Is
estimated that per cent. bonds to the
amount OF $75,OO0O0O, guaranteed by
the government OF the United States,
Will be sufficient to complete the great
work. The interstate commerce COM
mittee. which has charge OF the bill,
are unanimously In favor of guaran-
teelng the bonds by the government
and for paying the interest TIL the
canal Is able to pay for II. The sub
committee that has given the most at
tention to the subject consists OF
Messrs. Mallory of Florida. Wise Of
Virginia, Geary OF California and
Price of Louisiana, Democrats. and
Storer of Ohio. Mahon of Pennsyl-
vanla and Hepburn OF Iowa, Repub-
licans. They are all in favor or the
guarantee. The bill provides that the
bonds shall not be sold at a rate be-
low their par value.
The amount OF stock Issued viii be
$4,000 600, Of which the United States
treasury will hold SIC, 600 900 as a guar
antee against the bond issue. The
remainder OF the stock will be Issued,
100000 to the present owners OF the
canal. who are required to surrender
all other claims II they accept the
bill, and 900 to the Nicaraguan
government, which required such an
issue as compensation for the fran
chise given the company. This stock
will not draw interest or dividends
until the canal affords net earnings
40 Int IN M
bonds. The theory OF the committee
has been that the owners OF the pres
ent franchise are In a position where
they can do nothing with the capital
they have sunk In the work without
the assistance of the United States.
and that they should be content 10
wait until the canal Is completed and
is paying a profit before expecting
any Interest. The bill will provide
paid on all the stock when the earn
ings of the canal company Justify
1t. The United States win share In this
stock dividend whenever It Is made,
and Will be protected by further
provision for share In the excess OF
earnings above the interest on the
bonds and the per cent. dividend on
the stock. The bonds VIII be redeema-
BILE after ten years at the pleasure
deemed after thirty years.
The construction of the great canal
will be under the supervision OF sew
eral engineer officers OF the United
States. and the chief engineer will be
appointed by the war department. n
will require flye years TO complete the
work.
Senator Morgan's report. presented
TO the senate In April. called atten-
ton to The fact that the net revenues
OF the Suez canal for a series OF years
past have been upward OF sl2 0o0 600
annually; that the shares Of the com
pany, originally issued at 500 francs
each, are now quoted at 2692 francs
and that the shares now held by the
English government and purchased
for 100000 pounds sterling are worth
today over 1900. 900 pounds In the open
market. A number OF estimates have
been submitted TO the committee Of
the probable business and profits OF the
canal when completed, but they are
naturally speculative. a letter from
tho officers OF the company, printed
with Senator MorFan's report estl-
mates that two-thirds Of the commerce
within the zone OF attraction or $780,
900 TONS. will seek the new route an
nually as early as the second year
on 10 operation. ana that a charge
81 $3.50 per ton will yield gross
revenue ~ 1850, 900. or n net reve-
nue. Of sl475o,Ooo. equal 70 per cent
on a capitalization OF 1895 100000, This
would pay the interest on the bonds
srd iosye sla.s5O. 900 70 ha divided
among the stockholders II no lin
itatlon were put upon the dividends.
IN the proportion OF about Is per