The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-02-09
The President Announces Bond
Issue Of So, 500, 600.
HALF TO GO TO ENGLAND,
He Can Get q Lower Rate of Interest
on Gold Bonds, Not ..Coin."
Congress-rhe Senats Discusses the
Hawaiian Cable. Republicans Usise
Recent Events In Their Arguments.

Washington City. Fec. s.--The president
to-day sent the following message 20 COM
gress:
Since my recent Communication TO con-
g-ess calling attention to cur financial
condition ard sugEes tzrg legislation w-aSch
deemed essential TO our uaticEsas wea-
fare and credit. the anxiety and apare-
heusson then existing In business circles
have continued AS a precautSog. taere-
fore. against failure of timely legislative
action cautious preparations have been
pending to employ 10 the best possible adj
vantage. in default OF better means, such
executive authority as may without al
siitsenal legislation be exercised for the
purpose Of reinforcing AMI maintaining
In our treasury an adequate and safe goaei
reserve.
In the judgment OF those especially
charged wsth this responsibility, the bisk-
ness situation IS so critical and the iegis-
iative situation so unpromising, with the
omission thus far on the part OF congress
to briefly enlarge the powers Of the Sec
retary of the treasury IN the premises.
~ TO enioin immediate executive action
with the facilities now at hand. There
fore. in pursuance of section 800 OF the
revised statutes. the details of an ar
rangernent have this day been concluded
wsth parties abuniantiy able to fulfil
their uniertaking whereby bonds of the
United States. authorized under the act
OF July IL 1919. payable in coin thirty
years after their date. with interest at
the rate of per cent. from date. with
interest at per cent. per annum. 10
amount to little less than So. 100 go are
10 be issued for the purchase OF gold
com amounting to a sum slightly in ex-
cess OF So. coo 0oo TO be delivered 20 the
treasury of the United States, winch sum.
added to the gold now held In our reserve.
win 50 restore such reserve as TO make
IL amount 10 something more than sloo.-
ooo.ooo. Sucza premium Is to be allowed
TO the government upon the bonds as 10
fix the rate of interest upon the amount
of gold realized at 3 s-a per cent. Per an
mum. Al least half or the gold to be OBJ
sained is to be supplied from abroad.
which is a vesy important and favorable
feature of the transaction.
..The' privilege Is especially reserved TO
the government 10 substitute at Oar wssh-
la zen days from this dale. in lieu of
per cent. coin bonds, other bonds in terms
payable In gold and bearing only per
snail in the meantime be authorised by
congress. The arrangements thus COM
piese.i. which. after careful inquiry APP
considering ali sEe obje>ts desired to
be the best attainabae. develop such a dif-
ference in the estimation Of interest be-
tween bonds made payable IN coin and
those specifically payable In gold, in fav-
~ Sar So .ssrl Il =
OF / per cent. annual interest In tae
agreement just concluded the ansasaa saw
ing of Interest TO the government II per
eegt gold bonds sSaould be substituted for
1 per cent bonds under the privilege re-
served would be s5ssyi5a amounting in
thirty years, or at maturity OF the coin
bends, TO slsi7i.77o.
.'of course. there never should be doubt
in any qgarteT as to the redemption OF
gold bonds of the government which are
maaste payable IN coin. therefore the dis
cramlnation. in the judgment Of investors,
between our bond oblsgations payable IN
coin and those specially made payable in
gold is very significant II Is hardly nee
essary TO suggest tssaa. whatever may be
our views on the subject. the sentiments
or preference OF those with whom we
for gold are not subject to our dlctatfon.
I have only 10 add that In my opsuson
the transaction herein Intinated for the
information OF congress promises better
results than the efforts previously matte
IN the direction OF effectively adding TO
our gold reserve through the sale OF
pagKis ami / believe IL WI tend. as far
as such actsai can In the present cIrcuEgi-
stances, 10 meet the determination ex-
pressed in the INV repeating the silver
purchasing clause of the act Of July IA,
fxso and that the arrangement If usasae
will aid orr Efforts 70 secure urssnteeancs>
Of parity in value of cosns of the Two met
as and the equal power Of every dollar
at all tinps in tbs rnarke. ami In the
payment Of debts.
GROVER CLEVELAND.
Executive Mansion. Feb s. iss5 =