Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1894-11-23
THE NEW BOND ISSUE
Conference Of New York Bankers With
Respect to II.
As TO FURNISHING The GOLD
No Formal Agreement on This Point. But
Such Action nnecessary-Over-sub-
scription Anticipated.

NEW YORK, November 22.--A number
OF foreign bankers held conference with
the presidents of the leading trust COM
ponies this afternoon In the United States
Trust Company's of!lce. There were rep
resented the foreign tovses Of speyer &
q Co.. Heidelbach. Ickelheimer &c Co..
Lazard Freres. Ladenburg Thalmann g.
Co. !. e. s. Wormser. and J. & w. Selig-
man.
Arrangements were perfected for taking
block OF bonds but whether the bids
would be for the whole amount or not,
Mr.. John A. Stewart. president Of the
United States Trust Company. declined
to say. There is no syndicate formed IN
the technical sense, but general under
standing as to the price at which bids will
be put In. Arrange nents were also per-
fected for securing the gold.
Notwithstanding the mystery with
which prospective bidders are enveloping
their intentions, IL Ia understood that the
national banks will put In their bids n
3-per-cent. basis. while the combination
Of trust companies and foreign bankers
viii bid slightly under per cent.
There has been no formal agreement
between the banks regarding the method
Of furnishing the gold. but this Is not ie-
cessary at the present time, az the terms
Of the subscription only require payment
in instalments. A dozen banks hold the
major portion Of the gold In New York
city. and 1t Ia expected that the banks
will part with 10 per cent. OF :neir
gold holding. II is extremely unlikely
that the banks will come together to
determine what shall be done regarding
the gold Until Monday next. The bids
will all be In then, and the ba1 IS
holding the bulk of the gold will be able
TO determine fully what they will be
called upon to do. AS II Is expected that
the issue will be over-subscribed, each
subscriber will not know what amount
of gold he Will need until the Treasury
allotment is made. The New York banks
will then know how much gold viii be
required by their deoositors and can act
intelligently.
FOREIGN POSSIBILITIES.
The presence Of a representative from
each of the houses which conduct gold
shipping business also leads to the be-
lief that If the New York banks should
fail TO do their full duty the gold Will
be secured abroad When the foreign
houses know what amount Of bonds Is
awarded to them, they can begin draw
ing their bills OF exchange upon London.
and as ample time is allowed for making
full payments to the government II any
large blocks OF bon Is are taken by them.
their bills will force down the foreign
exchange market and permit gold to be
imported more cheaply than the present
condition Of the foreign exchange mar
ket would seem to warrant.
The local Treasury officials, who are
watching the bank, s very closely. have
reduced their estima. IS OF the amount OF
gold that will be secured through the
bond-issue, and are rot sanguine that
over 100000 in gold will be furnished
by the New York tsibs.
1t is believed. no yeIer, that some golt
which was boarded DIT ring the panic by
timid capitalists VIII be tempted from
the private boards by the bond-issue
1t Is estimated by New York bankers
Il at the subscriptions will not aggregate
less than S75,oO00c0 and will reach over
SI0o,OO0,Oo0 If the bankers in Other cities
are experiencing the Pressure OF inquiries
that are pouring inro New York city.