New Britain herald., 1916-10-30
PUBLIC OFFERING
 ON BRITISH LOANS
Secured Bonds Placed on Market
 J. P. Morgan to Approve

Pubic offering of the $3OO,OOO,OO(
 l-2 per cent. secured loan of the
 United Kingdom of Great Britain and Ireland is being made throughout thls country at a price of 99 IA for the three-year notes and 99 1-2 for the five-year. Subscription books will, Dc opened at the office of J. P. Mor- gan & Co.,, at 10 o'clock tomorrow and will be closed Wednesday, Nov. 6, or earlier
 At these prices the yields are over 5.75 per cent. on the three year notes, and about 5.85 per cent. on the five year The loan is dated Nov. 1, 1916. One-half natures Nov. 1, 1919, and the other half Nov. 21, 1921. Princi- pal and interest are payable without deduction for any British taxes. pres- ent or future, in London in sterling 8: the fixed rate of $4.S6 1-2 to the pound.
 The notes are to be secured bv pledged securities which are to be approved by J. P. Morgan & Co.,, hav ing value of at least s36O,OOO,OoO, calculated on the basis of prevailiner market prices, sterling securities be- Ing valued in dollars based on the prevailing rate of exchange
 The pledged securities are to be:
 Group 1-Stocks, bonds or other securities of American corporations. including Canadian Pacific Railway ! and bonds or other obligations of Dosnlnlon of Canada, Colony of New foundland municipalities. Aggregate Value not less than $180,OOO,0OO.
 (Of the foregoing these will be somewhat over $10O, O,0OO,0OO in value 1 m securities of corporations of the United States and of the Canadian | Pacific Railway.)
 Group, 2-Bonds or other oh7ioo l nops of following governments: Aus- Lralla, Union of South Africa, New l zealand Argentina, Chile, Cuba, Ja- Ian, Egypt and India, or approxi- Elately $25,00O,000 value in bonds or other obligations of dividend-paying Brltlsh railway companies. Aggregate value not less than $18O,OOO.
 Each maturity is subject to re- Gemption, in whole or in part. at on-
  of 1 per cent. for each year Cor anv part) of unexpired life of such ma U rity.
 ] Pending arrival and delivery of portion of securities to be pledged. 1 the British government is to deDosit temporarily with Guaranty Trust Co.,. i, cepOSltary, either approved New York Stock Exchange collateral, or cash. pr both, under withdrawal provisions. ! The British government may from time to time sell for cash any of the pledged securities, proceeds to be used 10 retire notes by purchase or re- demption' If the pledged securities Appreciate in value because of change Tn market price, or rate of exchange 50 that the 20 per cent. margin shall 5ave become impaired, the British government will deposit additional se- ,urities to make good the impairment
 syndicate has been formed to the sale of the notes, the price being 1 1-2 per .ent' below the average offering price. from this 1 1-2 per cent. there will 70 deducted selling expenses, incIud- ag selling commission, syndicate par icipants will be allowed a selling commission of 1-8 of 1 per cent on onfrmed sales. The following banks i'd banking firms head the syndicate: J. P. Morgan 6 Co.,. First National ank, New York. National City Co 1 7 New York, Harris Forpes x Co.,, ] ;roWn Bros. 6 Co.,. William A. Read | i Co.,, J. & w. Seligman &, Co.,. Kid l! CT, Peabody & Co.,, Lee, Higginson l Go, Lazard Freres and Kissel, Kim ! icutt & Co.,. White, Weld & Co.. and Iuaranty Trust Co. of New York, q 'snkers Trust Co.,. New oYrk, Farm. Il