Evening star. [volume] (Washington, D.C.) 1854-1972, 1894-02-03
THE NEW BOND ISSUE.
Bids Scaled Down and Allotment.
Made Today.

secretary Carlisle and Assistant Secretsrv
Curtis were In conference for several hours
this morning In regard to the per cent
loan and at its close gave out the following
statement for publication:
Inc Secretary of the Treasury has CON-
sldered the proposals submitted for the
new per cent loan and has accepted all
BIDS naming higher price than III. 223.
The proposals submitted at the upset price
has been scaled down 5331 per cent and
the amount Of bonds allotted under this
reduction. together with the subscriptions
accepted in full. is S5O,OOO,OO0.
"A notice will be Sent to each subscriber
advising him Of the acceptance of his sub
scrfption, informing him when the bonds
will be ready and stating the amount to
be deposited in payment of the principal
and premium. The accrued interest to date
Of deposit at the rate Of interest realized by
the subscriber will be added by the as
sistant secretary with whom the deposit
Is to be made. The bonds will be delivered
by the department, after payment is made,
to the address given by the subscriber, or
they may be sent to the assistant treasur-
er, with whom the deposit is made for
delivery. There were several bids which
were not considered, some Of them not hav-
ing been received in time, some were ir-
As has already been stated in The Star
nearly 30 per cent Of the 350,OOOOOO per
cent loan was taken up by banking insti-
tutions and trust companies of New York
city, which were induced to subscribe In
the interest of the national credit through
the personal efforts of Mr.. John A. Stewart
president of the United States Trust Com
pany of New York. That Secretary Car
Isle appreciated Mr.. Stewards assistance
In placing the loan is indicated by the ac-
tion OF Assistant Secretary Curtis In send
Ing him telegram as follows: 1.-The Sec
retary desires me to express his apprecia-
tion to you and the other gentlemen for
making the subscription a success" Ac-
cording to the New York Times, Wall
street construed this telegram ''as a con-
fession before the world Of the supreme
place this city New York; must hold in
loyalty to the country's best interests as
well as in financial ability
When the Bonds VIII Re Ready.
The actual exchange of bonds for gold
between the government and the purchasers
will not be consummated much before the
18th instant. The bonds will be finished
N a few days by the bureau Of engraving
and printing. but will have to be signed
and countersigned by officials at the Treas
ury Department. When the bonds have
been paid for the net gold balance Of the
treasury will be increased accordingly. At
the lowest rate. viz, $117.223. the gold pay
ments will amount to more than $5S, 600, OOO
This Is on the assumption that gold will
be exclusively used In such transactions.
1t may be, however, as has heretofore been
pointed out, that legal tender notes and
treasury notes will be used indirectly, to
some extent at least. In paying for the
bonds, In this case the increase in the
treasury balance would be in currency in
stead Of exclusively in gold.
The Gold Balance.
The gold balance today in round figures
is s65,OOO.OOO. SO If gold is paid for the
bonds to the full amount Of $5S SOOO, 900, the
gold balance will be So, ,OOO, 900 or $23. .0OO.-
900 in excess of the 100000. 900 usually re-
served for the redemption of legal tender
notes. 1t is therefore unlikely that the
Secretary Of the Treasury will be called
upon to again encroach upon that reserve
for at least two months to come. That
such a step will be necessary in the near
future is regarded certain unless Con-
gress comes to the help of the treasury in
the meantime.