The herald., 1897-10-30
OFFICE OF THE HERALD.
October 90 1907


ion between the mayor and the council as
to the rate of interest which the proposed
issues of municipal bonds for school and
fire purposes should bear. The mayor. be-
ing convinced that per cent bond can
readily be sold at not less than par, in
sists upon the rate of nterest be-
ing put down to that figure, and
the council and some other officials
are said to favor a AZ per cent rate.
The difference is not trifiing one, but on
the contrary is quite important to tax
payers. If the 4 per cent bond will find
buyers. what earthly reason can there be,
away an extra one-half of one per cent in
the way of interest. 1t may benefit the
tax payers to look into this matter more
carefully.
Meanwhile, for the information of those
who are interested, we herewith subjoin
memoranda of bond sales made during one
week of this month, as reported in single
issue of The Bond Buyer. The instances
given are where the bonds mentioned sold
at par, or at premium, and carried from
31A to per cent interest. as indicated.
These are object lessons that may be well
worth studying. Los Angeles is in quite
as fourishng a condition as most of the
cities named in the list given below, and
its condition is well known to eastern bond
buyers. There is no reason, therefore, to
doubt what has before been asserted, that
Los Angeles municipal per cent bonds
will find plenty of bidders, even though
they be payable only in lawful money of
the United States and do not contain the
gold coin clause. The list is as follows:
\ 4 \
Cleveland (Ohio) per cent semi-annual
ten-year bonds to the amount of $50, 900
were purchased by the Society of Savings
Of Cleveland on the 22d inst, for 1896.
There were ten other bidders.
Boston (Mass.) 31s per cent semi-annual
city loan bonds amounting to $1,55S. 900.
were awarded to Messrs. Harvey, Fisk &
Sons of New York. There were numerous
other bidders, the highest bid next to the
successful one being 102.1S7.
Columbus (Ohio) per cent Improvement
bonds, to the amount of $4,000. were sold
at par to the sinking fund commission.
Dedham (Mass.) per cent semi-annual
town notes. to the amount of 500, 900,
brought 1912
East Hartford (Conn.) per cent school
bonds, to the amount of $60OO were sold
18th inst at par.
Elmira IN. W 31s per cent semi-annual
bonds, to the amount of $4,000, were sold
to the E. c. Jones company of New York.
There were nine other bidders, the next
highest being 100.47.
Far Rockaway IN. W issue of 31s per
cent sewer bonds, to the amount of $50 600,
have been awarded to Berton & Stores of
New York
Mount Vernon IN. " per cent high
way Improvement bonds, to the amount of
$4,000, have been sold to Seasongood &
Mayer of Cincinnati. These bonds are
semi-annual, 1916 year serial. There were
not less than seventeen other bidders, and
the highest bid. next to the successful one.
was at 111.S2.
Newark IN. J.) per cent temporary
school bonds, to the amount of 100000,
have been purchased by the sinking fund
commissioners at par.
New Brunswick IN. J.) per cent refund
ing bonds, to the amount of $9S,OoO have
been purchased by N. W. Harris & Co. of
New York. There were nine other bid
ders, and the highest bid. next to the sue
oessful one. was at 105.
Taunton (Mass.) per cent highway i'm
provement bonds, to the amount of $15, 900,
were purchased BY Blodget, Merritt &. Co.
Of Boston. There were eight other bid
ders, and the highest bid, next to the sue
cessful one, was 104.1S3
Warren (R. - per cent semi-annual
1920 year funding bonds, to the amount of
$4,000, were purchased by Blodget, Mer-
ritt & Co. of Boston on bid above par.
4 = =
A Tacoma dispatch Of 9th inst. says:
Judge Hanford of the United States dis.
trict court for the district Of Washington
rendered a decision today that will cause
scores of bankers and financiers to rest
easy on a delicate proposition regarding
collateral securities. Judge Hanford holds
that bank or money lender holding ma
tional bank stock as security for loan
Is not liable for II assessment on the stock.
In the case before the court the receiver
Of the Tacoma National bank sought to
compel the Thames National bank of Nor
wich, Conn.,, to pay an assessment on $780,
600 Of the banks stock, which it held to
lawyers were employed TO defend the in
terests of the bankers and money loaners,
and their contention that, although a divi-
dend had been declared on the stock held
by them, and although they had accepted
the dividend, still they did not own the
stock held as collateral security and could
not be compelled to pay the assessment
An appeal will be taken to the supreme
court Of the United States.
The gross earnings Of the railways of
the United States for the year ending
June 30, 1896, were 81. 1850, 1859 376, having in
creased in comparison with the previous
year $74, 1871, ,914. The sources of the income
comprised in gross earnings from opera
tion during the year were: Passenger rev.
enue, s266, 562, $685. increase, S14316, 1853; mail,
s32S79,sl9; Increase, $1,4lo,073; express. s24-
$50, $685. increase 1896, ,S75; other earnings.
passenger service, $6619,279; increase, S576-
4S3; freight revenue, $780, 615, ,S37; increase.
s56, 6,622.375; other earnings, freight service,
50, 800; decrease, $254,960; unclassifed,
$579, $685. Expenses of operation for the year
covered by the report were $772, ,9S9 O44 be-
ing greater by $47, ,26S 629 than the preceding
year. The operating expenses were as
signed as follows: Maintenance of way and
structures, $3.50. .344 $50; increase, SIG S6S $685.
maintenance of equipment $133 ,3S1 ,99S; in
crease, $19. 500, 2S9; conducting transporta-
tion, SAP 217 5S2; increase 81 06S 619; general
expenses. $685. 0S3, ,2S5; increase, SIG, PCS; I'M
classified, 1861 ,229. A comparative summary
giving detailed analysis of operating ex-
penses for 1896 and 1895 appears in the re-
port.
The income from operation. that is, the