ISSUE IN BRITAIN.

Manawatu Standard, Volume LIII, Issue 258, 28 September 1933, Page 7

ISSUE IN BRITAIN.

ADDITIONAL £150,000,000. (British Official A\ 7 ireless.) RUGBY, Sept. 26. Particulars are announced of a new Government issue consisting of the addition of £150,000,000 to the existing 2£ per cent, conversion loan, 1944-49, to be subscribed partly by cash and partly by conversion. The price of the issue for cash subscriptions is £94 per cent., giving a yield of £2 13s 2d per cent, in interest only, and a yield of £3 3s Id, or £2 19s 7d per cent., allowing for redemption in 1944 or 1949 respectively. The price of the existing loan, of which £55,000,000 had been issued by tender before the weekly issues were suspended at the end of May, is £94 7s 6d. The instalments are spread evenly over the next two months, the last payment being due on December 1. The first interest payment of £1 will be paid on April 1, 1934. Holders of 4J per cent. Treasury bonds due on February 1 next may convert their holdings into loan as from October 1, receiving £lO6 7s 6d of conversion loan for every £IOO nominal of bonds converted, and will receive on February 1 next a special interest payment of £1 7s 8d per £IOO of such bonds, and on April 1, a full halfyear’s dividend on the new loan. The amount of these 4( per cent, bonds outstanding is £50,757,000, and holders who convert will receive a preferential allotment of the conversion loan. The saving on interest if tlio whole amount outstanding were converted would be at the rate of £934,246 per annum. Cash applications will be opened and closed on Thursday. Conversion applications open forthwith and will be closed on October 3. Separate prospectuses are being issued by the Post Office and by trustee savings banks providing for cash subscriptions to tbe issue of 2i per cent, conversion loan to be held on the Post Office register, and for the conversion into that issue of 4J per cent, bonds held on that register. Tbe amount so issued will bo additional to the £150,000,000 to be issued through the Bank of England. COMMONWEALTH LOAN. “CLOSED IN TRIUMPH.” LONDON, Sept. 27. The Daily Mail says the Commonwealth conversion loan closed in triumph, reflecting the greatest credit on Mr S'. M. Bruce and all concerned.