The Springdale news., 1917-10-12


 ta1 estate or inheritance taxes and (b) graduated additional income tax es, commonly known as surtaxes. and excess profits and war profits taxes, now or hereafter imposed by the Unit ed States upon the income or profits of individuals, partnerships, associa- tions or corporations. The interest on an amount of bonds and certificates authorized by said act the principal of which does not exceed in the aggre- gate S5,000, owned by any individual, partnership, association or corpora tion, shall be exempt from the taxes provided for in clause (b) above.
 If subsequent series of bonds (not including United States certifi- cate Of indebtedness, war-saving cer- tificates and other obligations matur- ing not more than five years from the issue of such obligations. respectively bearing interest at higher rate than per cent per annum shall, under the authority of said act approved Sept 24, 1917, or any other act. be issued by the United States before the termi- nation of the war between the United States and the Imperial German Gov ernment (the date of such termination to be fixed by proclamation of the President of the United States), then the holders of bonds of the present series shall have the privilege, at the option of the several holders of con- yerting bonds, at par, into bonds bear ing such higher rate of interest, at tee issue price of bonds of such subse- quent series. not less than par, with an adjustment of accrued interest.
 Conversion Privilege
 "Such conversion privilege must be exercised, if at all. at any time within the period. after the public offering of bonds of such subsequent series. be- ginning at the date of issue of bonds of such subsequent issue, as such date shall be fixed in such public offerings. and terminating six months after such date of issue, and under such rules and regulations as the Secretary of the Treasury shall have prescribed The bonds to be issued upon such con version of bonds of the present series shall be substantially the same in form and terms as shall be prescribed by or pursuant to law with respect to tie ponds of such subsequent series not oaly as to interest rate but also as to convertibility eff future bonds be issued al a still higher rate of inter est or non-convertibility and as to exemption from taxation. if any. and in all other respects, except that the bonds issued upon such conversion shall have the same dates of maturity Of principal, and Of interest, and De subject 10 the same terms of redemp- ton before maturity, as the bonds sued from time to If and wnen and to the extent l.at the privileges Of conversion 50 conferred shall arise and shall be exercised.
 If the privilege of conversion so conferred shall once arise, and shall Tot be exercised With respect 10 any bonds Of the present series within the period above prescribed, then such privileges shall terminate as 10 such bonds and shall not arise again. though thereafter bonds be issued bearing interest at a higher rate or rates than per cent per annum.
 Subscription for the bonds must reach the Treasury Department. Washington, D. C., Federal reserve bank or branch thereof or some in. corporated bank or trust company in the United States (not including out lying territories and possessons) on or before the close of business Oct 27, 1917. The application must be accom-. panied by payment of per cent Of the amount applied for and subse- Quent installments upon bonds allot- ted will be due as follows:
 Eighteen per cent on Nov. 15. 1917; 40 per cent on Dec IS, 1917: 70 per cent on Jan. 15, 1918. On the lat ter date accrued interest on the de ferred installments also will be pay able.
 'I am very glad to be able to an nounce that by authorizing the en- graving of these bonds with only four coupons attached instead of the full number of 50 coupons 1t will be pos sible to have the actual bonds ready for delivery as soon as full payments are completed. thus avoiding the trou- ble and delay incident to the issuance of interim receipts or temporary bonds On and after Nov. 15, 1919, the holders of the bonds will have op- portunity to exchange them for new bonds having attached thereto cou- pons for the balance of the period for which the bonds will run.
 Immediate Delivery.
 Tt is also expected that on or about Oct. 10. 1917, the will be in the