New-York tribune., 1901-05-29
g. P. BONDS TO BE LISTED.
DECISION OF THE GOVERNING COMMIT
TEE OF STOCK EXCHANGE-DIS-
POSITION OF THE ISSUE.

The governing committee Of the Stock Ex-
change. at a special meeting yesterday after
noon, decided 10 place on the regular list on
June 10 the $1000G0oD0 first lien convertible
1 per cent gold coupon bonds of the Union Pa
cifc Railroad Company, concerning which there
has recently been a great deal of comment in
financial circles. The collateral deposited with
the trustee of the mortgage. the Mercantile
Trust Company. is described follows in the
companys application for listing
s1O0OOO par value of the capital stock, being the
entire amount thereof. of the Leavenworth, Kansas
Of which company O65.35 miles, no mortgage exists.
S75,coOoo par value Of the capital stock of the
s27 33i 700 par value Of the capital stock OF the
Oregon short Line Railroad Company being sub
santally the entire capital stock OF that company
S,,tb350. par value. of the common capital stock
stock Of the Oregon Railroad and Navigation Com
$i,oo".. face value. OF the hrst mortgage solI
bonds Of the Union PACIFIC Coal Company; dated
ut the rate of per cent, payable semi-annually
The statement announces that the entire issue
OF S10oe100O of the bonds has been disposed
Of SioWoO00 of them having been sold at par
for the purpose Of providing for the payment
for the 10000 shares Of Southern Pacific stock
acquired by the Union Pacific few months
ago. AS 10 the remaining S60000o0O bonds. the
statement is not definite. merely saying that
the proceeds derived from the disposition Of the
entire issue OF the bonds have been or VIII he
used by the company for lawful corporate pur-
poses. contemplated in the mortgage 1t
Is understood. however. that the proceeds Of
the SGo.oOo.'rp bonds are to be. or have already
been, applied 10 the acquisition by the Union
Pacific Railroad Company OF the Northern Pa
CiiiC stock recently purchased by Kuhn. Loeb
Il Co, acting FOR the Union Pacific interests. 1t
had been rumored in some quarters that this
Northern Pacific stock might figure in the list
Of collateral for the 500 600 OO0 bonds but no
reference to the Northern Pacific is apparently
made anywhere in the statement submitted to
the Stock Exchange.
According to the statement the railroad COM
pany reserves the right to withdraw any and all
securities pledged under the mortgage, or To re-
quire the trustee TO release any and all lines OF
railroad mortFaged (total mileage. 1.o2b upon
payment TO the trustee in cash In bonds
issued under such mortgage. taken at their face
value, Of amount equal to and at the rate
of the valuation attributed or affixed in the
mortgage to the securities SO withdrawn and
lines OF railroad released. For the purposes
Of such withdrawal release the securities
originally deposited under the mortgage or sub
sttuted by the company, except the Southern
Pacific stock the securities which may be sub
stituted for which stated. are 10 have a
valuation OF par: the Southern Pacific stock is
reCkoned at 10. ANY securities or property pur-
chased by the trustee and held by II as further
security" will be figured at the net price paid
by the trustee. and the lines OF railroad subject
TO the lien of the mortgage are valued at
$4,000 a mile
There was a report in Wall street yesterday
that the Union Pacific had purchased an addi-
tional big block Of Southern Pacific stock.
variously estimated at from 100000 TO 100000
shares The declared by leading
Union Pacific interests to he baseless
Union Pacific strong in the market yes
terday, the common closing at 1929. net ad-
vance for the day of "a points. The preferred
gained Ia points