The sun., 1919-10-22
10 OFFER PUBLIC
! NEW BRITISH LOAN
Three and Ten Year Notes, IN
All S250,000,000, to Be
Sold Tomorrow.
BOTH YIELD OVER 6 P. G.
Membership Of Underwriting
Syndicate Reaches From
Coast to Coast.

The new British $3.50, 100000 three
I'D ton wear loans will be offered pub
i,clv tomorrow morning. 1t was an
no,,nced Yesterday at the offices of J. +.
Morean & Co, at 9S and interest. Yield
ing about 6h per cent. for the three
wear notes, and at 96A and interest
Welding slightly more than per CENT
Tor the ten year bonds. Advance SUBJ
scriptions are being received and the
sary reports indicate that the Offering
vii prove to be a pronounced success.
The members of the underwriting syn
sjcate. which Is nationwide. are as fol-
lows; ]. p Morgan & Co, the First
National Bank, the National City Com
many. the Guaranty Trust Company. the
Bankers Trust Company, the Chase Ma
tional Bank, the National Bank of COM
merce, the Liberty National Bank. the
Equitable Trust Company, the Central
Union Trust Company, the Farmers
Loan and Trust Company. Harris. Forbes
& Co.. William A. Read & CO., Brown
Bros. & Co. Lazard Freres. ]. & w.
sellgman & Co, Kidder, Peabody & Co.,
Lee, Higginson & Co. Halsey, Stuart IL
Co. Kissel, Kinnicutt & Co., White,
Weld & Co., and the Continental and
Commercial Trust and Savings Bank,
the Central Trust Company OF Illinois,
the First Trust and Savings Bank, the
Illinois Trust and Savings Bank of Chi
caso, the First National Bank, the Ma
tional Shawmut Bank. the Ola Colony
Trust Company of Boston, the First
National Bank of St. Louis, the Union
Trust Company of Pittsburg the First
National Bank of Cleveland, the First
National Bank of Cincinnati, the First
and Old Detroit National Bank of De-
troit the Anglo and London-Paris Ma
tional Rank of San Francisco and the
Whitney Central Trust and Savings
Bank of New Orleans
Bankers declared yesterday that the
new British loan furnishes test OF the
attitude of the investing public in the
United States toward the extension of
foreign loans and that 1t is merely the
forerdnner of additional foreign credits
on a large scale. It was said further
that bankers were determined to go
ahead with large projects irrespective of
progress in connection with the ratifica-
ton of the peace treaty or the League
Of Nations. .-4
Details of Loan,
In connection with the s25o,00o, 900
Brotsh loan j. p. Morgan & Co. issued
yesterday this statement:
The new British loan, which will be
publicly offered on Thursday and for
which advance subscriptions are being
received, is divided into two issues,
three year note, dated November l,
1919, and due November /, 1922. and a
ten year bond. dated November /, 1919.
and due August /, 1929. Interest on
both issues is payable on February l
and August / at the rate OF 8 II per cent.
THE issue price on the three year
notes is to be IS and Interest, yielding
about Ga per cent, and on the ten year
bonds at 96L and interest. yielding
slightly over 6 per cent. Both principal
and interest are to he payable in dollars
in the city OF New York without deduc-
ton for any British taxes, present or fu-
ture.
while the interest yield on these
bonds and notes is attractive, the feature
which will probably most impress the
American investing public, is the con-
version privilege. Both the three year
notes and the ten year bonds may, at
the option Of the holder. be converted at
par and interest into British National
War bonds Fourth series, due February
], 1929. at par and interest, sterling
exchange being figured for the purpose
of conversion at the fixed rate of $3.50
TO the pound The British National War
bonds were issued in London at 100 and
are now quoted in London at about ISL
They are payable at maturiey at les.
Conversion Plan.
Such conversion may be made in the
case Of the ten year bonds at any time
prior to February 1, 1929, and in the
case OF the three year notes at any time
prior to their maturity.
Upon such conversion the converting
bond holder. or note holder, will be
entitled to receive f232 las. principal
amount Of such national war bonds
land, or inscribed stock) for every
$1,000 principal amount of ten year
bonds or three year notes surrendered.
Details of conversion arrangements and
provision for handling fractions will be
announced soon.
The national war per cent bonds,
Fourth series. are payable in sterling
at los per cent on February /, 1928,
by the Bank Of England. They are ac-
lively traded in on the London Stock
Exchange and are quoted at 9S& bid,
offered at s84s, at which price they yield
held to maturity, approximately $40
per cent The following table shows
the amounts which a holder OF bonds. or
notes, OF that issue would realize in dol
lars, assuming that such national war
per cent bonds were sold in the Lon
don market at 100 or were paid at
maturity at los and the proceeds con-
Verted into dollars at varying rates of
exchange:
AMOUNT REALIZED FOR EVERY 500
OF BONDS OR NOTES.