INTERNAL LOAN

Gisborne Herald, Volume LXXII, Issue 21900, 19 December 1945, Page 7

INTERNAL LOAN

TOTAL OF £8,931,900 GOVERNMENT’S PLANS OFFER OF CONVERSION (P.A.) WELLINGTON, Dec. 19. The Government’s proposal for dealing with an internal loan totalling £3.91,900 domiciled in New Zealand and maturing on April 15, 1949, but on which the Government has an option to repay on or after April 15, 194 G, was described by the Minister of iFnance, the Hon. W. Nash, last night. “It is proposed to exercise the | option on the latter date,” said Mr. Nash, “but the Government is offering | conversion, particulars •of which are I contained in a prospectus which will I be issued early in the New Year.” This week’s Gazette contained formal notice of the intention to repay the loan on April 15, 194 G, Mr. Nash added, and the offer of conversion would be open for one month from January 15 to February 15. Holders of the existing securities were entitled to apply during that period for conversion of their existing securities at par into the new securities being offered —3 per cent stock maturing on April 15, 19G0-G3. Holders who did not accept conversion would be paid in cash on April 15 next. Mr. Nash said the conversion offer would apply to death duty stock in the present" loan. No premium was offered on conversion, as the Government considered conversion at par was reasonable and in keeping with the present market conditions.