The copper country evening news. [volume] (Calumet, Mich.) 18??-1907, 1896-02-05
THAT NEW BOND ISSUE
Guessing at the Average of the
Bids.
BANKS THE HEAVY PURCHASERS.
viii Secretary Carlisle Open the Bids In
Pubiio9-ssn.ssr Tiiim@n's ChArgss-A


FssrA
WASHINGTON, Feb. 4. Il Special Inter
est now centers In the bids for bonds OF the
new gold loan. There will be an interest
ing scene In the Office Of Secretary Carlisle
when the packages containing bids are
formally opened. II is expected this will be
done on Thursday, though 10 may be de-
layed until Friday. 10 Is now conceded
the loan Is going to be big success. Ev
cry one is guessing at the average of the
bids. The most intelligent opinion appears
TO he that the great bulk of the bonds will
be bid for at about ii3, though some think
the average will be higher and some that
IL VIII be lower. II the whole issue can be-
put out at 1l3, or even at liz. Secretary
Carlisle will be well satisfied. IL IL not
expected many Of the bonds will 20 70
private individuals. In fact, as the day
for opening the bids draws nearer IL be-
comes more than ever apparent that the
bulk of the great loan will go to the banks
mostly in New York. but few In Chicago
and Boston. The banks and other finan-
cial institutions which purchase the bonds
will work them of 20 private investors, Co
estates and TO capitalists who want their
surplus safely invested. A large part or
into the strong boxes of the trustees Of es-
tates.
A Mistake Only.
It Is generally hoped Secretary Carlisle
will conclude TO open these bids IN public.
The last bond sale, every one win remem-
Der, was put out privately. There were no
bids, and the administration will never
hear the last of the criticisms caused
thereby. Only q few days ago . senator OF
the United States, Mr.. Tillman OF South
Carolina, had the temerity TO declare on
the floor of congress that there were grave
suspicious the president OF the United
States had acted corruptly in that transac-
ton. Many senators with whom / have
talked, Republicans as well as Democrats,
think Mr. Tillman should have been call
ed down for that attack In their opinion
IL went beyond the limits OF decency and
violated the amenities OF debate. No In
telligent man in Washington where all
these things are closely watched by horde
of officials and newspaper men. ever be-
lieved or suspected for an instant that the
president had been guilty of anything more
than a mistake OF Judgment IN that trans
action.
In the bond issue before that, which,
like the present issue, was public or COM
petltlNe loan, Secrethry Narnsle ueciue1 10
open the bids r-!s-tely. A committee OF
bidders was present, but every one else
was invited TO leave the room. This was
contrary TO precedent. for during the days
of the war and the refunding period which
followed millions upon millions - ono
might almost say billions-of bonds were
sold comparatively. the bids being opened
always in public.
study In Figurea-
There Is a curious bit Of mathematical
work in connection with this bond issue.
i dare say it would puzzle most Of my
readers to sit down and figure out what
price tho government would have to get
for the bonds In order to make them bear
an interest Of ga per cent. The bonds
nre per cents, and of course bid Of dollar
for dollar, or par, would make the interest
rate per cent. Fortunately the treasury
department experts have saved every one
this trouble. Inasmuch as the opening OF
the bids will take place within few hours,
it may be worth while to have in hand the
official figures, showing the prices which
will realize certain rates OF interest. The
figures as prepared at the treasury are as
follows: