The Washington times., 1922-05-22

Service.)
NEW YORK, May 22.-InVest.
ment bankers at this center are OF
the opinion that the next two or
three weeks will see the flotation
of a large number Of prominent
bond issues. both in this and In the
London market. The slight reaction
which the market has undergone
during the past ten days has had
the effect of causing a temporary
stponement Of a number OF new
loans which had been in prospect
for the first and second weeks OF
May. Now that money rates nave
receded to the lowest igure reached
for this year, or in fact TOT any
time since 1917, investors nave
evidenced a keen demand Tor all OF
the better class of securities which
have been brought 10 them py re-
liable underwriters and II Will pe
only natural that corporation heaos
and their bankers will proceed 10
complete the financing which u
necessary TO the expansion or their
industrial plants.
During the last two weeks tnere
has also been a cessation OF tor'
eign borrowing through the invest
ment market. This is not an lndl
cation that the foreign govern
merits and corporations have com
pleted their borrowing in American
financial markets. A number oi
important projects are now un6r
way and IL is stated that some I'M
portant new announcements along
these lines will be made during the
current week. Since the turn oi
the year we have floated for for
eign governments and corporations
nearly $350.000,O00 in new securi
ties which have been well received
by American investors and invest
ing institutions.
There has been a steady absorp
ton OF Liberty bonds Of all classes
thought IL is somewhat surprising
that prices OF these issues have re
Ceded from par and have been ap
parently unable to get back tc
that position. Most OF the govern
ment bond experts have been pre-
dieting prices of from los to ITO for
Liberty bond issues before the end
of the current move in the bond
market and ii remains to be seen
IL their predictions will be realized
President l.. J. Pearson Of the
New York, New Haven and Hart
ford railroad. has issued a notice
TO holders of the 4 per cent 15.year
European loan Of 1907 that the ex
tension provided for in the agree
mcnt OF March s. 1922, has become
operative. Under the terms oil
this agreement. note holders will re
Ceive 10 per cent in cash, and. for
the remaining 80 per cent, an ex.
change OF three.ye notes with
interest rates notes. increased from
4 to per cent. II is understood
that the government has agreed 10
make a loan sufficient to cover the
10 per cent cash payments.
The total amount of the notes
outstanding in dollars is Sl4,llS,000
and the amount payable In francs
is 69,762, 500. The extended 80 per
cent of franc debentures are pay
able at the option OF the holders in
New York at $685. per $50 francs
At the present time the market rat.
ing for these new issues is from
10 per cent to l2es income basis.
A new issue OF s12.721 900 Utah
Light and Traction Company first
and refunding mortgage per cent
gold bonds. series A, dated Septem
ber IS. 1914, and due October l
1914. is offered today at 81 AMI in
terest. yielding $40 per cent by q
syndicate composed of the National
City Company, f. p. Rollins
Sons and Harris, Forbes & Co. The
issue is Internationally guaranteed
as TO principal and interest by the
Utah Power and Light Company
which holds a 99-year lease from
1915 on the property OF the Utah