The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1915-08-06

new OTK, july 81, lSIO.
The great success which followed
the offering of $45,O00,OOO Canadian 5
per cent notes in this market last Sat
urday has raised the question as to
the advisability of attempting similar
negotiations with other foreign coun-
tries. These are not to be considered
as war loans, even were it consistent
with our desire for strict neutrality
to furnish capital for any of the belli-
gerent nations. On the contrary,
whatever financing is accomplished
for European nations through the ma
chinery of American banking institu-
tons will be in the nature of credits
for the two-fold purpose of procuring
American commodities for civilian
consumption, and of settling existing
indebtedness and thus helping to bal
ance the exchange markets.
Such was the extreme demand Tor
the Canadian notes that the books
were closed within few minutes at
ter the opening, the volume of appli-
cations being far in excess OF the
amount of notes available 1t is un-
derstood that allotments were made
to subscribers on the following basis:
to all subscribers for all amounts in
excess of $4,000, 100 per cent; to sub
scribers for amounts from $ll,OOO to
$4,000, 50 per cent, and to all sub
scribers for all amounts in excess OF
$4,000, rs per cent. The notes were
indeed an excellent opportunity Tor
investors, insuring them per cent
rate on their investment for one to Z
years, and giving them the option OF
converting into a twenty-year invest
ment at the same rate.
1t is understood that the American
bankers have concluded arrangements
with a group of French bankers for
the establishment of $20,0000O0 loan
to France, this to be in the form Of
a credit to be applied TO commercial
purposes only. The loan will most
likely take the form of acceptances,
which will be discounted at 5 per cent.
the bankers receiving the usual COM
pensation for their guaranty OF the
notes, and holding as security an
equal amount of American securities
now owned by French banks or in
vestors.
There has also been a revival of dis
cusslon relative to the creation OF
British loan in the United States, on
terms identical with those OF the
French credit loan. Some of the
London joint stock banks have APP
preached the subject and are under
stood to believe that it is the most
feasible way in which to secure loan
for Great Britain in this country II
is a question, however, whether It will
be possible to corral suthceinrl
amount of American securities IN
Great Britain for the purpose. Sooner
or later it is realized that it will un-
doubtedly be necessary for the ar,
rangement of a loan in the United
States by Great Britain. because Of
the heavy purchases that have beer
made by that country in the United
States have resulted in piling up
very large credit balance in our favor
The manner in which such loan car
be arranged has been the subject oil
discussion by prominent New York
and London bankers for several
months past. Prominent bankers
state that the necessity for such ar
arrangements at this time is not i'm
minent, although if the matter could
be satisfactorily arranged at this time
it might be desirable to do so.
Trade Acceptances.
The new regulations of the Fedora
Reserve Board relative to trade &C