The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1895-02-09
MIR. CLEVELAND'S MESSAGE
Arrangements for the Issue Of 30
Year Bonds Announced.
TO STRENGTHEN THE RESERVE
The Bonds Will Bear Interest at the Rate
Of Four Per Cent. Per Annum.
Details for Floating tho
Bonds Perfected.
BY the United Press.

Washington, Feb. S.-Mr. Springer,
Dem., Ill.), stated on the floor of the
house, at noon today, that the presi-
dent would today send to congress a
message stating his purpose to sell ad-
ditional bonds to replenish the gold re-
serve, and outlining his future flnan-
cial policy.
The Presidents Message.
The president sent the following mes
sage to congress at noon today:
To the Congress of the United States:
Since my recent communication to the
congress calling attention to our financial
condition, and suggesting legislation which
deemed essential to our national welfare
and credit the anxiety and apprehension
then existing in business circles have con-
tinued.
AS q precaution, therefore, against the
failure of timely legislative aid through
congressional action, cautious prepara-
tions have been pending TO employ TO the
best possible advantage, in default of bet
ter means, such executive authority as
may without additional legislation be eX-
ercised for the purpose Of reinforcing and
maintaining in our treasury an adequate
and safe gold reserve.
Executive Action Taken.
IN the judgment OF tnOSe especially
charged with this responsibility the situa-
tion is so critical and the legislation is so
unpromisng with the omission thus far
on the part of the congress to beneticially
enlarge the powers of the secretary of the
treasury in the premises as TO enjoin i'm
mediate executive action with the facili-
ties now at hand.
Therefore, in pursuance OF section 800
of the revised statutes, the details of an
arrangement have this day been con-
cluded with parties abundantly able to
fulfill their undertaking whereby bonds Of
the United States authorized under the
act of July A. 1875 payable in coin thirty
years after their date with interest at the
rate of per cent. per annum to the amount
of a little less than S62 100000 be issued for
purchase of gold coin amounting to a sum
slightly in excess of $G5, 900 coo, TO be deliv-
cred to the treasury of the United States,
which sum, added to the gold now in our
reserve will so restore such reserve as
TO make our amount $00,0OO0OO. Such Il
premium will be allowed the government
upon the bonds as to fix the rate of inter-
est upon the amount of gold realized at
3si per cent per annum. At least one
half of the gold to be obtained Is to be sup
piled from abroad, which is a very import
ant and favorable feature of the transac-
tion. The privilege is especially reserved
~ lut 10 SuDSlilult at pau
within ten days from this date in lieu of
the per ctn. bonds, other bonds in terms
payable in gold and bearing only per
cent. interest If the issue of the same
should in the meantime be authorized by
the congress. The arrangement thus COM
pleted, which after careful inquiry ap-
pears in present circumstances and con-
sidering all the objects desired, to be the
best attainable. develops such u difference
d., to-, Aft
bonds made payable in gold and those spe-
officially made payable in gold in favor of
the latter as is represented by three
fourth of a cent in annual interest. The
agreement Just concluded the annual saw
Ing in interest to the government if 3 per
cent. gold bonds should be substituted for
4 per cent. coin bonds under the privilege
reserved would be S539.l59, amounting in
thirty years, or at the maturity of the
coin bonds, to $l6174,7lO
Believes Gold Reserve will Stand Intact.
OF course there never should be doubt
in any quarter as to the redemption in
gold OF the bonds of the government which
are made payable in coin. Therefore, the
discrimination in the judgment of in
vestors between our bond obligations pay
able in gold Is very significant 1t is hard
1y necessary to suggest that whatever
may be our views on the subject, the sem
tlments or preferences of those with whom
we must negotiate in disposing of our
bonds for gold, are not subject to our die
taton.
have only to add that in my opinion the
transactions herein detailed for the in
formation of the congress promise better
results. than the effort previously made in
the direction of effectively adding to our
gold reserve through the sale of bonds,
and ! believe 1t will tend. as far as such
action can in present circumstances, to
meet the determination expressed in the
law repeating the silver purchasing clause
of the act of July II, 1890, and that in the
language of such repeating act the ar
rangement will aid our efforts TO ENSURE
the maintenance of the parity of in value
of the coins of the two metals and the
equal power of every dollar at all times in
the markts in the payment of debts.
GROVER CLEVELAND.
Executive Mansion, Feb. s, 1895.