Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1917-04-24
FIRST LOAN TO
GO TO ENGLAND
Great Britain's Needs Greatest at
This Time, is Opinion of
Authorities.

Washington, April 24.-The first
American loan to the allied nations
and other details will probably be
made public by Secretary McAdoo
within a few days.
The sum will be available out Of the
proceeds Of the $4,000. 600, 900 bond
issue soon to be offered to the public.
Of which $4,000, 900, 900 will be loan
ed to the allies.
Announcement to this effect was
made last night at the treasury de-
|partment, after a day of conferences
between Secretary McAdoo and federal
reserve board officials and American
bankers and bond dealers and official
representatives Of Great Britain and
France.
It was also announced that h sig
Of the first issue of bonds authorized
under the $1,000, 000, 900 war finance
measure will depend largely upon the
immediate needs of the allies. Re
ports as to his have yet to be receiv-
ed in detail.
Divide Offering.
The entire $1,000, 000, 1000 of bonds
will not be offered in one lump sum,
according to present tentative plans.
but probably will be called for in sew
eral instruments of issues. BY this
turbances which might result were
the country called upon to absorb the
whole issue at once will be averted.
Details as to the amount Of the first
issue, its distribution among the allies.
the character and terms Of the bonds.
methods of disposing of them and
other questions will engage the atten-
ton of the treasury department and
federal reserve board officials during
the next ten days.
Sees Flnanciers.
The first Of these conferences be-
gan today with the visit Of Lord Cum
land, upon Secretary McAdoo and
Governor Harding Of the reserve
board. Negotiations will be conduct
ed with a view to disposing as rapidly
as possible of details, sc that the bond
issue may be offered without undue
loss Of time.
The French ambassador called
upon Secretary McAdoo later in the
day and spent more than an hour dis
date needs Of the French govern
ment.
AS soon as q definite idea is OBJ
tanned of the needs Of the chief en-
tente governments. the tentative pro-
gram will be placed before President
Wilson and the cabinet for approval
probably by Tuesday of next week.
Needs A~scertained.
An approximate Idea of the imme.
date requirements Of Great Britain
France and Russia. it is understood
already had been obtained prior tt
the arrival Of the British commission
r orA C,,r1fpo ~ hnNo1% - ES~-1e-l
it is believed. will amplify details al
ready in hand and possibly speak, ii
an unofficial capacity, for other coun.
tries than his own.
In reaching the decision to make
the first loan to Great Britain, Off.
Gals have been Influenced by tn,
knowledge that Great Britain, a.
banker for the allies, has met tn,
heaviest financial strain imposed upor
any OF the entente governments.
British Bonds.
In making the loan, the Unitet
States will accept British bonds bear
ing three and one.half per cent inter
est as security. The interest pait
upon them-at a rate considerable!
lower than that which Great Britaii
has had to pay for recent borrowing
will balance the payments made b,
the United States to holders of tn,
American ponds
A similar course will be followed II
making loans to other allied nations
Domestic phases Of the forthcom
ing issue were discussed today b,
Secretary McAdoo with q delegation
from tho Bankers Investment Asso
citation. headed by Henry l.. Stewar
Of Chicago. Mr.. Stewart and his az
sociates assured the secretary Of thei
hearty cooperation and placed thei
services at his disposal.
More Subscriptions.
Meantime the receipt Of belate
. subscriptions to the $500, 600, 900 issu
Of treasury certificates t o expire Jun
80, the hrst. issue to be made undo
the war finance measure, continue
ct the federal reserve banks. and in
few Instances ct the board headquar
ters here, swelling the already larg
over-subscription.
The amount Of the oversubscriptio
probably will not be ascsrtained unit
l ~