The Mankato free press., 1921-12-09
BOARD SOLD BONDS
STOCK WENT QUICK
Two Hundred Thousand
Dollars In This Bunch
BIDDING WAS SPIRITED
School Securities Are Knocked
Down, Premium $1175;
Five Per Cent

at auction last night TO Lane. Piper &
Mankato city school bonds were sold
Piper & Jaffrey of Minneapolis for a
premium of Sits on a five per cent
basis. The purchase was made after
two hours and half Of spirited bid
ding between eleven prospective pur-
chasers made un of brokers and bank
ers from Chicago, Minneapolis st. Paul
and Mankato. w. D. Willard, chairman
of the finance committee Of the local
board of education, served as auc-
tioneer. These bonds which were
sold last night are half OF the Is
sues that was foated for the new Lin
coin school building. In the face OF
an adverse market the irst half OF
the issue was sold six months ago and
at that time the best bid was a dis
count of $3.50 on the 100000 on q
six per cent basis. 1t was at that
figure that the bonds were sold. The
transactions is about $4,000 with
last nights sale that much more pro-
titable.
First Call For Bids
At the first call for bids from
Chairman Willard, Wells Dickey COM
pany of Minneapolis Immediately Of
tered $500 premium on five and one
quarter per cent basis. Bids Jumped
$500 at a bid until the amount reach
the rule with the bidding lively. At
the $2500 mark there came d slump
until the $50 and SIS jumps became
the vogue when there were at least
twenty bids with rapid fire action.
At $500 there was momentary
pause in activities and it was there
that the $40 increase began. That
dropped to five dollars but all the time
the best bid was creeping up with a.
least ten of the represented bidders
taking an active part.
When the bid of the National Citi
Gems bank of Mankato reached $3675
there was considerable pause ant
the next was from the Continental IL
Commercial of Chicago who changed
the basis of interest and offered SIT
premium for the 500, 900 lot at fve
per cent. From here the bidding wa
spirited but the amounts raised,
to the s1175 premium for which they
were finally purchased in jumps aver.
aging about ten dollars. There were
several $50 jumps but the rule was
five and ten.
Race Narrows To Two
AS the end came in sight the race
narrowed to two bidders, the success
full firm and theNational Citizens bank
of this city. The last bid Of George
Sugden for the local bank was $1150
which was promptly raised $25 and
under the hammer the bonds went to
the Minneapolis concern.
Firms and banks which were rep
resented in the bidding were the Con
tinental and Commercial of Chicago,
Gates, White company Of st. Paul,
Northwestern Loan and Trust com
Minneapolis. Lane, Piper & Jaffrey
of Minneapolis, A. B. Leach company
of Chicago, Paine Webber and com.
pany of Chicago, Minnesota Loan and
Trust Of Minneapolis, National Citi-
zens bank of Mankato, Wells, Dickey
company Of Minneapolis and Kolmah,
Wood and company of Minneapolis.
It was known to Chairman Willard
and the finan<e committee that there
was a favorable market for the Sc
curities at this time, but it was said
last night that the price secured and
the rate Of interest were better than
had been anticipated. The change
was said to be due to easier money
and the scarcity of this calibre of Sc
curities on the market at this time.
Regular Meeting Tonight
Last nights session was a special
meeting Of the board of education and
the regular monthly meeting has been
called for this evening at seven o'clock
by President Mrs B. d. Smith of the
adjourn to attend the Americanizatio
program at the Union school.
One sealed proposal was received
from the firm of Rutter, Lindsay and
company of Chicago. The bid was
for the entire amount at rar on a FIVE
per cent basis with a deduction of
1886 for expenses incurred in getting
a legal opinion on the issue. The
boards advertisements called for un.
conditional bids and with this condi-
tion attached little attention was paid
to the proposal. The bid was more
than $4,000 lower even then, than the
the unconditional bid which was ac-
cepted.