The sun., 1917-02-27
FIVE BILLIONS
BRITISH LOAN
New War Fund, Greatest in
History, Exceeds EX-
pectatiOns.
100000 SUBSCRIPTIONS
100000 SUBSCRIPTIONS
More Than 100000 Persons
Gave Savings in Sums of
25 Cents to $3.50.
Special Cable Despatch to The suS.


by Bonar Law. Chancellor of the Ex-
chequer, to-day that the new war loan
is $4,000 900. 900 comes as a big and a
welcome surprise to Great Britain. The
additional announcement that eight mill
lions of British subjects subscribed. some
Of them only a few shillings, shows the
nations purpose to win the war at any
sacrifice.
The most optimistic official forecasts
had not even hinted that the amount of
the loan would be more than $4,000 ,000,-
oO0. Bonar Law had carefully con-
cealed his expectations. so the announce
ment Of the figures in the House of Com
mons came as dramatic and trium-
phant climax and caused great enthu-
siasm.
Greatest Loan in History.
This result of Great Britain's third
war loan. SO often called Lloyd Georges
victory loan. is by far the greatest volun-
tary contribution to the nations defence
by the people of any nation ever at war.
That it is truly the contribution of the
British people is shown by the tremen-
dous number of subscribers and by the
fact that the floating of the loan at
per cent rather than at per cent. was
undertaken against the advice of many
bankers.
BY his diplomatic manner Of handlins
the war loan campaign Bonar Law
forced Germany into admitting Eng
lands huge financial triumph. while
keeping his own people from expecting
too much. After he had first announced
al r..ial l.l
would he $4,000, 900, 900, the German pa
pers all declared 1t would be a failure
unless it reached 81 900, 100000
The loan has resulted in a striking vic
tory for the Government over the profes
sonal financiers. When banking experts
advised the Treasury Department that Il
could not be floated at less than PEI
cent. Mr.. Law declared that he preferred
to risk failure in an attempt at pei
cent loan rather than to place pei
cent as the standard of the nations
credit The Chancellor's highest expec
tations had been for s3.oOo.oeo,000 o
new money.
Treasury Bills New Money.
The total of new money includes th'
conversion of nearly $500 O,OOO.OOo shor
term Treasury bills. and there is dif
ference of opinion whether they shoui'
be regarded as new money" some tinan
ciers taking the negative ground tina
they represent money when the Govern
ment already has spent
The Chancellor of the EXchequer gave
the following analysis of the new loau
The new money subscribed to the wal
loan Is $4,000. 900, 900. The number o
subscribers is 5,2S9.OO0. II subscriber
of twenty five cents and upward but
less than 1890 in war savings Ger
tificates should he added the total mum
Der of subscribers would excee'
| s. 900, 900.
The total new money. $5,0o0.00O.oOo
includes $3.50. 100000, subscribed in th'
form of Treasury bills. There were NJ
special subscriptions from banks
whereas In the war loan OF 1915 th'
special subscriptions from banks cam'
to $1,000, 900, 900, out of the total of So,
O9O 900, 900 then subscribed. The pub
lie subscriptions in 1915 were Therefore
s2,OSO, 100000 from about 100000 sub
scribers, as compared with public sub
scriptions Of $4,000, 100000 from. at th'
lowest, b2Ss,O00 subscribers.
Analysis OF German Loan.
The largest German war loan va
the third which at the rate OF 2
marks to the pound amounted to SO.
O4O 900, 900 but as the sovereign evei
at that time was worth "a marks
truer basis OF comparison would be t
take that total as $780, 100000. Th
total raised by the five German wa
loans is $1,000, 100000 marks. which oil
the conversion basis OF 20 marks Il
the pound is s11.75O,0 100000. but at 2
| marks to the pound, which Is the presen
value OF the mark. Is only $500, 600. .0OO
The total raised in Great Britain b.
| means OF war loans since the war began
exclusive OF all short term borrowing
| is $1,000. 100000. II Exchequer bonds
of which the average currency is abou
three and half years. are include
| this total becomes s11,65e,000, 900. TIL
| population Of Germany Is $1,000 900, tn
population of the United Kingdom Is As,
! 900 900.
The total number Of subscribers fror
! 25 cents upward to the last German
war loan was 3.S10,OO0. The total mum
ber Of subscribers, from rs cents up
ward to the new British war loan
over 100000.
| No figures are available as to tn
conversion OF the AZ per cent. war loa
| into the new war loan. The amount q
the s and per cent, Exchequer bond
| converted Is not completely known, bt
il Is at least sI,170O00,00O out of
total outstanding of $2,545,000,000. TIL
| total bonds converted namely. s1,17O
100000 per cents. are of course !
addition TO the figure of $1,000, 900, 90
of new money.