The Barre daily times. (Barre, Vt.) 1897-1959, 1915-10-01
The First Time She Has
Ever Borrowed
Abroad
SHOWS CONFIDENCE
OF AMERICA
Stiff Price Exacted, Is the
General Comment
on Loan

London, Oct. That England has be-
come a borrower abroad and that the
United States has entered the field of
international lending are the outstand-
ing facts widely commented on yester-
day by the British press. The Times
says:
"The successful conclusion of the An
glo- French loan i'm the United States is
in itself an event of such magnitude in
our relations with America that any
purely financial criticism on the precise
terms of the loan must take a secondary
place. All the circumstances of the
financial operation are unprecedented.
"AYe ourselves never before in modern
history have sought foreign loan. No
country ever before has placed a loan
for anything like such an amount abroad,
not even in England, and it is safe TO
say that none of our enemies could bor-
row such an amount in the United
States at any price.
I'VE regard IL as an expression of
American confidence and in such cireum-
stances need not serutinize il too jeal-
onsly If the terms are rather high. II
we criticize anything il would rather be
the per cent underwriting commission.
If New York is to become in peace times
a serious rival to London as an interna-
tional money center il must learn to do
things cheaper than that"
The financial experts of all the morn
ing papers commented on the stiff terms
exacted by Americans.
The Financial News says exceptional
circumstances will prevent the agree
ment being regarded as humiliating, al
though we must expect to hear plenty
on that score from German sources.
Americans have no personal interest in
making things easier for the allies, al |
though the defeat OF the allies would /
mean immediate German annexation OF
the United States, but whether or not
we have paid too dearly will depend on
the success of the operations"
he Fnancier describes the loan as "a
triumph OF finance, unique in the history
of the world" and thinks il is useless
to cavl at terms which the commission
ers found TO be the best obtsinable.
The Morning Post explaining why the
terms of the American loan are neces.
sarily high, says;
There can be no question that our
American cousins with their usual
astutencss have taken full advantage of
the allies necessities and obtained a
magnificent bargain, especially as the
operations viii prevent the collapse
which might have occurred in American
export trade If there had been a debacle
in the exchange on London" The Post,
al .fl
the governments pTocrastination, con
tending that but for the delay il might
have obtained better terms.
The Daily News also finds the high
terms of the loan decidedly disconcerting
,t first sight. but recognizes that they
IRE due 20 exceptional circumstances and
hat IL is undoubtedly worth the large
expenditure TO solve the exchange prob.
EN-.
Asserting that American bankers nat
irally prefer loan with some $4,000.
300 profit to the importation Of gold
which brings no profit. the Manchester
Guardian declares editorially, There j.
10 reason. however why the government
ihould indulge in what has every APP
learance Of being a blunder as costly
as financially" Insisting that
he loan would be invalid unless ap.
proved by Parliament, The Guardian
avs: seldom has a financial transac.
ion been imposed upon the British peo-
lie which cried out so loud for iustifca-
ion. II may be that Mr.. Morgan and :
is associates have done the allies a good
ervice and earned a reward. but IL 20
t would be cheaper 60 present them with
heir f2000,OO0 and forego a loan so
amaging 20 our credit"