THE CONVERSION OF STOCKS.

Ashburton Guardian, Volume XXXV, Issue 9178, 29 June 1915, Page 6

THE CONVERSION OF STOCKS.

WELLINGTON. June 28

Soiuo .iai:siipprehensiou existing as to the ion us and conditions upon which consols and the former British war loan of 3w per cent, issued at 95 per cent, can be converted, the chairman of the Bank of New Zealand, Mr Harold Beuiichamp, l was interviewed and fur'nishttd : the following explanation:^— V ■

■ Holders of consols oari convert provided that before applying for conversion they have made cash application I for the now war loan equal to'double the amount of the stock they will receive in respect of their consol conversion. The amount of war loan stock which a converter will receive is twothirds of the amount of his consols. Thus a holder of £600 in consols can convert his consols into £400 of war loan stock, but before he can do so he must subscribe in cash (fully _ paid) £800 to the- new war loan, and his total holding of new War loan stock after conversion will be £1200. . The old war loan.' 3£ per cent., can be converted if the holder subscribes an equivalent amount in cash to the new war loan and pays £5 per cent, on the old war loan converted. Thus a .holder of £1000 old .war loan must in order to convert subscribe in cash (fully paid) £1000 to the new war loan. He can then convert his old war loan on payment of £50 (that is, £5 per cent, of his old war loan), and his total holding of the.new, war loan stock after conversion of old stock will bo £2000.