Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1918-03-26
THREE BILLIONS
AMOUNT OF THIRD
WAR BOND ISSUE
Liberty Loan Smaller Than
Financiers Had Ex-
pected 1t to Be.
TO PAY INTEREST OF FOUR
AND ONE -QUARTER PER CENT
Will Not Be Convertible Into
Other Issues Yielding
Greater Return.
PROVIDE FURTHER CREDITS
congress VIII BE Asked to Author
hc $500, 900, 900, to he Sold
When Necessary
TO PAY INTEREST OF FOUR
AND ONE-QUARTER PER CENT
PROVIDE FURTHER CREDITS
congress VIII BE Asked to Author
Mc $500, 600, 900, to BE Sold
When Necessary.

When Necessary.
WASHINGTON. March o5.-Thc third
I>ibcrty ican. to open April 6. will be
or s3ooo0ot,ooo and all subscr!p-
IONS At AZ per cen; interest.
Bonds OF the first loan. bearing 81.
'cr cent interest. and of the second
oah at ! per cent. may he converted
hto the new bonds, but those OF the
h!rd loan Will not be convertible into
my future issue.
This announcement was made to-
'isht By Secretary McAdoo
In connection with tho loan. the sec
etary plans TO establish sinking
ind, with which TO purchase back
ny bonds OF the third loan thrown
ipon the market In order TO aid I'm
Secping the price up 10 par. Tho ma
urity OF the bonds is set TO be deter
mined. but II was officially stated tina,
ne! would be long term. probably be-
"ecn twenty and thirty years.
'INANCIERs SURPRISED At
SMALL AMOUNT or LOAN
Financial observers were surprised
u the comparatively small size OF the
oan, and at the low interest rate Rc-
!uct!on OF government expenditures
Snd allied loans below the former cs-
innate IS responsible for the loans
!ze. Secretary McAdoo explained. He
aid the bonds were made noucouvcrtt-
i!c indicating his purpose TO maintain
h" y rate FOR future loans.
legislation will be. drafted ,o-mor-
ow Sy Representative <i,chin TO pro-
.dc FOR an additional bond uuthorIz,4-
ion OF $500 Ooo.ocO for the increased
crest r,ir. rcr continuance OF leans
o tho allies this summer. and for is
uanc. ~ moro than $1,000, ooo, 900 Ger
lhcaics Of indebtedness now author
rcd. An .ar't wi!l BE- made TO rush
has Ieei>!at'pn through both houses
his week. No opposition is looked for
u announcing the loan. Secretary Me-
.doo made She following statement:
.NrENDlrURES HAVE BEEN
LESS THAN ESTIMATE;
Tho Sc ,rc;ary Of the Treasury in 4
onfcrcnc. with Mr Kitchin, chairman
the Ways and Means Committee. to-
tay outlined his plan for the third
liberty loan. Actual expenditures Of
he United states government and OF the
llied g.. :rliincnts l;.v!rg lccn ruch
-ss than had been Indicated by the
st,rutc.. inc a,uurut cf the next loan
iii ~: only ;a a15p."cc Geo, the riSAl
c,ng reserved 10 aliot oversubscrip-
hons
THE secretary Will ask authority
rom Congress 10 issue bonds bearing
interest a, the rate Of IA per cent per
nnum. nccvptabl; At pal and accrued
interest in payment OF United states
ihcr!tancc taxes and having the ben
NJ Of Il sinking fund of per cent per
nnum during the period of tho war
nd for one year thereafter.
1T is the belief of the secretary that
nc rate now proposed is sufficient and
hat by restricting unnecessary capt.
Il issues, and by inducing the people
;ho subscribe for Liberty bonds TO
ave and to keep them for investmen
nd by purchases with the sinking
ind from those who find themselves
ompeiled &c sell, future Increases in
lie interest rate may be avoided. In
rdcr to put an end TO the expectation
higher interest rates, It Is proposed
lat the conversion privilege shall be
Eliminated from the new bonds, but
ne holders Of Liberty bonds OF all cx-
sting issues will be given an Cppor-
nifty 10 convert their bonds into the
ew "a bonds.
ssuE OF S4,5OO.0OO. 5000
WILL. DE AUTHORIZED
"Iu addition to the foregoing prin-
ipal items Of the proposed program
iongrcss will be asked for authority to
sue homes TO the amount of S4o00.-
in.a0H ~ addition to those now au-
loriard II: order TO provide for flu
ire issues; for authority to issue ad.
Il .tional Treasury ccrtiticate9 Of in
btsd ness: for authority to make ad
tioual loans to the allied govern
cB,s during The summer. and for au-
ori:y 80 deposit income and excess
roft taxn. with national banks. state
INKS and trust companies through tn.
u;ted siates in the same manner as
e pr-ocae Is OF the Liberty loans.
81 am sure that the people will re-
,ond to the third Liberty loan with
nc same loyalty and enthusiasm that
,aractcrized their support of the first
yo loans. The great events now hap
aning In Franco must fire the soul CT
very American with n new determine
on 10 furnish all the dollars and all
10 material resources Of America that
% needed TO put an end to the
;ecrable atrocities of German MILL.
rism. Defeat faces the Kaiser. Let
hasten 1t by asserting Americas
light with increased vigor in concert
ith our gallant comrades"
OoKED FOR LARGER LOAN