The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-09-23
WAR LOAN DELAY
LAID TO THE PART
RUSSIA MAY PLAY
Anglo French Mission and
Bankers at StandstiH
for 81 Hours.
No PESSIMISM FELT
AMONG FINANCIERS

r,ents SO shaped themselves during
A.. ,venty-four hours ended las mid
,,sh, that. for the period mentioned. ne
.o,iations between the Anglo-F'rench
financial mission and American bankers
AGAR the proposed foreign loan were at
. siands'ill.
In session nj the Hotel Biltmore practi-
ss,ly all day. Al 10 80 p. NJ. they left
,nr an hour and then returned and re-
r,r,d their conference. They were still
,ope,hcr At midnight. They had seer
no visitors at the hotel, so far as could
b learned.
q, the matter aid graphically last night
,hen asked for an explanation that one
slSe knows what II wants and he other
sd knows what II wants to give.
THIS vas taken To NEAR that In their
couf,rrures the two parties have reached
a mol nj where one of them nus make q
co,,.ssiou in principle. The same man
sas careful to point out, however, that
the, : no danger OF the entire trans
action failing through-only new offers
mus bc forthcoming from one side or
the other.
rndouhtedly. from all that could I've
learned. Russia plays an important part
IN the present delay. VI. Pierre Bark Is
10 have an Interview with Chancellor of
the E~Nchequer McKenna in London to-
day or tomorrow and much depends on
that interview.
One BANKERS Views.
monument International banker was
asked catesorically yesterday: IL the in
t,ryt.w between the Finance Ministers at
london likely TO have any effect on the
loan
He replied in the affirmative.
Does hat mean that as a result of
tNat Interview Russia may become a
party to the loan? was the next ques-
ton.
The banker said that was a possibility.
Asked IL American ~financiers favored
such action he said there was no direct
answer TO that question. which was
passed over when a little later IL was
admitted that the participation directly
o. Russo in the bonds NIGH affect the
sale Of them In this country.
II was apparent from the conversation
Of this banker and other men that the
Americans would prefer that Russia re-
main on the bonds. n IL was indicated
that the members Of the mission here
will be- guided by what word cones to
them from their respective Governments.
Just where the other bitches nave been
encountered was not revealed yesterday,
hut reference was made to the original
principles set forth by the visitors.
The mission insisted AT the outset
tha; the loan should be secured by Gov
eminent bonds of England and France
Jointly and severally. without collateral.
This was conceded by the Americans.
The visitors insisted that the bonds
should bear 8 per cent. interest on their
face value. and this vas also conceded.
J, was the contention OF the mission that
the bonds should go TO the ultimate in
resor q; par, and there came the first
argument.
Differ on Price.
American bankers throughout the
country differed on the question whether
a straight : per cent. bond, even n Gov
eruH ont security. would sell. The Amer
leans offered TO handle the entire issue
a. a commission OF l per cent, believing
they would he more than repaid by the
augmented prosperity Of the country due
to a ready sale OF its surplus wheat. cot
ton, grains and manufactures normally
exported.
IN, difference arose over the expert
opinions AS to the price at which the
American Investors would ak the Sc
c%urltles, Bond men, the representatives
Of great houses which have foated large
ISSUES. say that in these prosperous
Inc Americans will not he content with
q straight > per cent. some OF them
suggested that the bonds he sold to the
underwriting syndicate for as low as SO.
10 'e sold 20 the investor for 81. Others
nave suggested 9Ii: for the underwrit-
nR syndicate 3Sla for the investor.
I"e position OF the mission has been 80
PEI cent 10 the syndicate n 100 TO the
investor.
Athoush there were no general oon-
u@ereh'es Yesterday. in order that the mis-
non might go over the ground thor
ouehIE, there was no pessimism down
.o"h All the big bankers were confident
mat the loan will go through, apd some
expressed themselves as confident that
s'er th's IL settled the banks of the
,Sreer cities VIII he willing TO lend Eng
Iahd several hundred million dollars on
mort term notes TO carry her over or
WIS side until the proceeds of the bonds
come in.
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