The Birmingham age-herald., 1919-04-15
VICTORY BONDS ID BEAR INTEREST AT
 33-4 AND ABA
 PER CENT, DECISION
3 3-4 Per Cent Securities Will Re Wholly Tax Ex- empt While 1 3-4 Notes Will Be Only Parti-
 ally Exempt
By Associated Pres,

Washington, April 14.-Sub- scriptions will be received dur
 ing the Victory Loan cam |paign for the wholly tax-exempt
 notes bearing 3 3-4 per cent in
 terest, which the treasury will
 issue as alternatives of 4 3-4
 per cent securities with partial
 tax exemption.
 Emphasis, however, will be laid by so-
 licitors on the 4% notes and an effort
 will be made to round up the bulk of
 subscriptions to these securities which
 may be converted at any time into the
 3s4 per cent notes.
 A limited amount of the A per cent
 notes will be available for outright sale,
 but the treasury is not sure that all de- mands for cash purchases can be filled.
 As in, past campaigns work has been rushed at the bureau of engraving on the
 constitute most of the over-the- counter
 sales There will be plenty of the notes for use as samples" by salesmen, of ficials said today.
 FOUR AND HALF BILLIONS Qualification over the s4,500, 00o,00O total of the loan which is smaller than had been generally anticipated, and the in terest rate was expressed today in hun dreds of telegrams reaching the treas ury from loan committees throughout the
 country. Many of these were to the eff
 feet that the terms had raised the hopes of loan workers and financial observers. Officials discussing terms of the vic tory loan today said one reason for the belief for the market price of bonds of past issues would not be depressed by the new securities was that there still should exist a strong demand for the
 older issues by large tax payers With certain arrangement of holdings of past issues it is possible to hold Si60,00 of bonds absolutely tax free.
 Secretary Glass is expected to sound | the keynote for the Victory Loan cam paign in an address tomorrow night in | New York
 l He plans to leave Friday for a two 1 weeks speaking tour of the west and
 
 | in New England and the east. 1 As a graphic llustrati tion of the prog 1 ress of the nations subscriptions toward ] the goal. the navy will send three war ships travelling between San Francisco and New York by way of the Panama canal during the loan campaign, the daily position of these vessels indicating the amount of subscriptions.
 l The first ship, the treasury publicity bureau announced today, will leave San Francisco on April Fl, the opening day 1 of the loan. and proceed to a point off | San Diego, where it will be met by q destroyer which will then make the trip sCuthward to the Panama canal. The | third ship, which will be destroyer Of the newest and fastest type, will make the last leg of the journey from the Panama canal to New York, which is to be called the "harbor of victory. The faster the country subscribes the faster the vessel will travel and the soon CT will the "harbor of victory be reached. As the victory ship proceeds from San Francisco to the "Harbor of Victory fits progress will be shown by maps in the newspapers and by large bulletin boards erected at the important corners in the large cities of tho country. Every night Rear Admiral T. J. Cowie, navy Victory Liberty Loan officer. will obtain from the treasury department the days subscription to the loan and by radio will instruct the commander of the 1 victory ship to proceed distance in | proportion to the amount of the subscrip- I ton The distance to be covered is more I than 5000 miles and the trip can be made easily within the q days of the cam paign.