The Birmingham age-herald., 1918-01-12
HIGH GRADE BONDS
 FIND READY SALE
By HOLLAND

New York, January 11-{Special.)-A
 few weeks ago sl0000,o 900 in bonds was of fered for sale in New York at what seemed to be tempting prices. They were issued under the authority of the state of Ohio for the purpose of raising
 sufficient funds to construct the reserva- tion works along the valley of the Miami
 river, whereby there could be secured absolute protection from a recurrence of the flood which five years ago caused so
 much loss of life and property there. The bonds were snapped up, although it was at time when there was some dis cussion respecting the willingness of capital to make investment in securities derwrote these bonds and easily disposed of them would have been rejoiced had the amount been twice s10000,000 The incident, which of itself involved not very large amount of money, was ire quently spoken of as proving that there is plentiful capital for investment in good securities providing the terms are tempting.
 Early in this week there came an other illustration of this disposition of carital to make new investment. The incident inv olved much larger investment than the sale of the Miami consewency bonds The American Telephone and Telegraph company made an offering a few Gays ago of s4O0O0,000 of one-year notes. Undoubtedly before this purpose was made public conferences had been of ba jr,p mt financ.ers of the Wall street district who gave instant approval to it. Within Id minutes after the syndicate which under wrote these $40,0 GOO in notes, offered them fer sale, the entire amount was subscribed-
 None but investors who took time by tha .orelocl1 was able to secure any Of these notes Of course, there were two good reasons for the rapid absorption of them, ore being that they run for a short time only, and the other that they are to be marketed at rate which would yield to the investor about z per cent. Nevertheless, the swiftness with which this issue was absorbed at this time served again to prove that there is capi- tai in abundance for investment, provided terms are satisfactory.
 PAYING z PER CENT
 A return to investors of about per cent upon securities behind which stands high credit was spoken of this morning as recalling the experience of the late H. H. Rogers He was financing with his own money and without any associates | the construction of railroad whose l length was to be about the same as that | of the Pennsylvania road from Pitts burg to New York. or the New York Gen. l tral road from Buffalo to New York
 The western terminal was in the heart | of one of the Appalachian coal regions the eastern terminal was to be at Nor 1 folk. There came a moment of financial 1 stress in the money markets and it hap | pcned to be at the precise moment when 1 MT. Rogers needed funds. He therefore l approached some of the bankers who | handled the American Telephone anc | Telegraph notes early this week. They | exacted of him not only his persona ! guarantee and also, although no mar possessed better credit, collateral securit,
 ! of kind which even at that time wa:
 deemed gilt edged but demanded tha
 he pay per cent interest upon the loan
 | Mir Rogers was compelled to yield. H,
 got the money, but he afterward referred
 to the transaction with peculiarly
 quaint half humorous expression upor
 his lips and a queer twinkle in his eye
 But he tuilt his railroad. and it is now
 one of the great properties of the United
 States. l NOT AT ANY PRICE
 Theodore M. Vail. president of thu
 American Telephone and Telegraph com
 | pany, must have recalled. when hs
 learned that these 0.0o0.0o0 of notes al
 about per cent return had been sappet
 up. an experience which he met witt
 shortly after he became president of thi.
 corporation There had come to the cor,
 poration many appeals. some of then
 urgent. for the expansion of the tele.