Evening star. [volume] (Washington, D.C.) 1854-1972, 1904-05-06
THE sINEWs OF WAR.
Details Of the Russian Loan-Jap
Bonds Bought.

PARIS, May 6.-An authoritative state
ment was given to the Associated Press
today from the highest governmental
source concerning the details and circum-
stances Of the new Russian loan. as fol-
lows:
1.-THE situation has been much changed
since your interview with M. Mieczislas de
Routkowsky, the Russian financial agent
in London. April g. The conditions today
ON which the loan is based are as follows:
1.-THE cost Of the war for the first five
months, up to June 1, including SO, SOC, O0O
for railroad equipment, As s125, 100000.
After June 1 the monthly cost of the
war will be $3,5OO,O0O for the navy and
$15,OOOOOO for the army at the front, max
ing the total of war expense about $2o4,
100000 for the year closing January next.
The first part of the war was more ex-
pensive than the later, owing to the cost Of
mobilization and the general expenses in
cident to setting the machinery Of warfare
In motion.
Against these extraordinary expenses we
may have certain economies, namely, $780,
100000 on the ordinary budget, 81, 800 600
on the extraordinary budget and 50, 500 600
on previous budgets, making the total econ
omies $67 100000.
When the war began the Russian gov
ernment had between $50, 600 600 and $780,
CO. 600 to it's credit in the Bank of Russia
and with foreign bankers. According to the
monetary law of 1897 which made gold the
standard for Russia, there was a stock Of
gold amounting to s475,OO0,OOO and note
could still have placed In circulation $780,
100000 to $3.50, 100000 in notes without I'M
pairing the slightest the gold law OF 1897:
However by so doing the monetary sit
uation after the war might have been less
satisfactory than at present. Accordingly,
for the purpose Of protecting the Internal
monetary situation. the Russian govern
ment has lent a favorable ear to proposals
has cd
negotiations at st. Petersburg with Joseph
Hoettinguer of the house OF Hoettinguer
& Company, and with NJ Noetzlin, one OF
the directors of the Banque de Paris ct des
pays bas. The amount likely to be taken
up at once In Paris will be 500 900 600, and
the issue can go up to $160, ,OOOOO Already
the contracting houses are sure to place
the full amount they underwrtte among
their customers. Therefore no public issu-
ance is to be made and the usual public
subscription at a fixed day will be dis
pensed with, the issue being sold by bank
ers privately.
The foregoing differs from other reports
concerning the amount Of the loan, but
owing to the authoritative source 1t can be
accepted as final.
London and New York Money for Japs
NEW YORK, May 8-Kuhn, Loeb & Co.
announce that the Hong Kong and Shang-
hal banking corporation and PARIS Bank,
Limited, of London have purchased from
the Japanese government 100000 pounds
sterling seven-year 9 per cent treasury
notes, redeemable after three years at the
option of the government, and secured by
an exclusive first lien on the customs
Kuhn, Loeb & Co. have agreed to join, and
simultaneous public issue will be made
shortly in London and New York.
1t Is understood from outside sources that
Kuhn, Loeb & Co. take half Of the notes,
and will form syndicate which will pur-
chase them.