Rensselaer Semi-Weekly Republican, Volume 38, Number 83, Rensselaer, Jasper County, 13 July 1906 — French Loan to Pennsylvania Road. [ARTICLE]

French Loan to Pennsylvania Road.

Announcement was made Monday of the terms of. the Pennsylvania railroad’s $50,000,000 loan in France. The cost to the company is to be a little under 4% per cent, while the French -bankers, assume the expense of listing the bonds on the Paris Bourse and other" charges under the French fiscal law. The loan can •be called at par after twelve years, at the bpfibn"~dT the company. President Cassatt said that the proceeds would go to meet the payments for 33.000 steel cars and 313 locomotives, which are being built at a cosit of $42,000,000: also to the completion of the water supply system. Since 1900 the capital stock of the Pennsylvania has been increased from $129,000,0(X) to $303,000,000 and the bonded debt from $85,000.000 to $192,900,000. About $122,000,000 has been expended in improvements and additions to the property, while about $140,000,000 has been invested in the stocks of other companies. Mr. Cassatt says that the company is now in the position to fully perfect its public duty, and that its traffic is moved with ease and regularity never before attained, while the surplus, after paying 6 per cent dividend last year, amounted to $11,700,000.