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HomeMy WebLinkAboutThe Seaforth News, 1931-05-14, Page 3THURSDAY, MAY 14,• 1931. • THE SEAFORTH NEWS. • 7:7517 '77777' PAGE THREE 1631 CONVERRON LOAN. Official 'aninottneement is made 'Of the, terms of .the 'Dominion of Canada 19311 ;Conversion ILoan. This issue ex - 'tends the 'ogportanity to holders ,of Dominion of Canada War i1Jdan and Victory Bonds now approaching ma- turity to convent their holdings into bonds extending over a further per- iod of !from '115 to 25 years, and marka- What may eventually prove to he the greatest financial operation in the his- tory of Canada -the !refunding of the helavY volume of !financial obligations incurred during the War period. 'The offer does not involve the 'rais- ing of any new. Money. Not a penny will be added to the national debt of Canada in consequence of the 19311 .ConVersiort Loan. It is entirely a .matter of exchanging ex- isting berribs for other bonds of the Dominion. A .toltal of more than one billion dollars of bonds reaches nta- Unity` within the next 31/2 years. This total is made up of issues com- ing due 1931, 1932, 1933 and 11934. Iliolcitra of bonds 'of these issues are ibeieg 'given the opportunity ,of ,contirming their investment over a longer term in the direct obliga- • tions of the Dominion 'Government. They will not lose anything in the. way of interest payments or income tax exemption by exchanging for bonds of the 1931 ;Conversion , Loan. It is explained 'that the new bonds will carry coupons ent!itling holders to receive up to the date of the ma- turity of their Mid bonds, the sanie int'ere'st payments and ltax free privi- leges as they would. enjoy if they held their War Loan or Victory Bonds until the actual date of matur- ity in each case. For the remainder of the term of the 193'1 'Conversion Loan Bonds, they will carry interest at the rate of PA% per annum, which, in the opinion of leading investment bakers, is a comparatively generous return 'in view of the interest rates now prevailing in the London ..and New York markets. Holders of the War Loan 5% Bonds maturing 1st of October, 1931, may exchange their bonds for Do- minion of Canada 1931 Conversion Loan Blonds maturing November 1, 1956. The new bonds will not be .sub- ject to redemption before November 1, 1946, but from that date until ma- turity they may be called by the Gov- ernment on any interest date on 60 days' notice, at 100 and accrued in- terest. The 'first , coupon on these bonds will be for six months' tax free interes(at 5% per annum, payable 0,ctober 1, 1931; the second coupon wil1rbc for seven . months' interest at 4.1,4.% per annum, .paya'ble May 1;1932. All other coupons will carry interest able :half -yearly on the 1st of May and the 1st of ,November. 'Holders of the 'Renewal Loan 9,4% Bonds maturing lst Of N•ovember, 1932, may exchange their Iboirdi' for Dominion of Canada 1931 Conversion Loan Bonds,, maturing November 1, 1957. The latter issue cannot be retir- ed before 'November 1, 1947, but after that date it may be redeemed by the Gbvernment on any interest date on 60 days' notice, at 100 and accrued interest. The new bonds Will tarry regular coupons covering interest at the rate of 41/2% per annum payable half -yearly on the 1st of May and the 1st of November. In addition to at .the rate of 4,d% per annum pay- the regular coupons, these bonds will • ..•441,1 AN OPPORTUNITY TO HOLDERS OF EARLY MATURING . CANADIAN GOVERNMENT htONDS TO EXTEND THE TERM OE THEIR INVESTMENT IN • THE PREMIER SECURITY IN CANADA GOVERNMENT OF THE DOMINION OF CANADA 1931 CONVERSION LOAN The Minister of Finance of the Dominion of Canada offers to holders of the undernoted DominiOn issues the privilege of exchanging their bonds into longer dated issues, in the following terms and under the following conditions: iThis offer affords to holders of bonds eligible for conversion, the same interest payment and tax-free privileges, for the life of and as contained in the present bonds, and the opportunity of extending the term of the investment at 434% per annum. WAR LOAN 5% BONDS MATURING 1st OCTO- BER, 1931 -Holders of these bonds have the privilege of exchanging into bonds maturing 1st November, 1956, bearing interest from lst April, 1931. The first coupon will be for six months' tax-free interest at the rate of 5% per annum pay- able lst October, 1931; the second coupon will be for seven months' interest at the rate of 43.4% per annum payable 1st May, 1932; thereafter to maturity interest will be payable half -yearly at 434% per annum. • RENEWAL LOAN 5,i4% BONDS MATURING 1st NOVEMBER, 1932 -Holders of these bonds have the privilege of exchanging into bonds ma- turing 1st November, 1957, bearing 43.4 % interest payable half -yearly from 1st May, 1931. There will also be attached to these bonds three adjustment -coupons payable respectively on 1st November, 1931, and 1st May and November, 1932, for additiona interest at the rate of 1% per annum. VICTORY LOAN 5 X% BONDS MATURING lst NOVEMBER, 1933 -Holders of these bonds have the privilege of exchanging into' bonds maturing 1st November, 1958, bearing 434% interest payable half -yearly from 1st May, 1931. The first five interest coupons, being those to and including 1st November, 1933, will be tax:free. There will also be attached to these bonds five. tax-free adjustment -coupons payable respectively on 1st NOvember, 1931, and lst May and Novem- ber, 1932 and 1933, for additional interest at the rate of 1% per annum. VICTORY LOAN 5'34% BONDS MATURING 1st NOVEMBER, 1934 -Holders of these bonds have the privilege of exchanging into bonds maturing lst November, 1959, bearing 4%.% interest pay- able half -yearly from lst May, 1931. There will a,Iso be attached to these bonds seven adjustment -cou- pons payable respeCtively on 1st November, 1931, and 1.st May andsNovember, 1932, 1933 and 1934, for additional interest at the rate of 1% per annum. Conversion applications in the terms of the foregoing are invited to a total of $250,000,500. The Minister of Finance' reservs, however, the right; to increase or decrease this amount at his discretion. Subscriptions will be received and receipts issued by any branch in Canada of any Chartered Bank and by recognized Canadian Bond Dealers and Stock Brokers, from whom may be obtained application forms and copies of the official prospectus containing complete details of the loan. Appli- cations will not be valid on forms other than those printed by the King's PrinteA The subscription lists to the foregoing will open on 11tb May, 1931, and will close en or before 23rd May, 1931, at the, discretion of the Minister of Finance. • DEEARTmENT os FINANCE, Ottawa, 11th May, 1931: • 11", ',tt• carry three adjustments coupons pay - Ale, respectively, 00 the 1st of No- vember 1931, the 1st of May 1932, and the lst of November 4932, for ad- ditional interest at the rate of 1% per ann Holders of the Victory Loan 55/2% Bonds maturing the 1st ,of November 1933 are being offered the opportunity to exchange their bonds for Dominion of Canada 1931 Conversion Loan Bonds maturing November 1, 1958. These new bkinds will carry interest at the rate of 434% per annum from May 1, 1931, payable half -yearly on May 1st and Noventber let. The first five interest coupons --that those due to be paid each six months up to November 1, 1933, will be tax free. In addition. to the reg- iu:ar coupons, these bonds will carry five tax free adjustment tronpons for additional interest at the rate of 1% per annum, payable, respectively, No- vember 1, 1931; May 1, 1932; Novem- ber 1, 1932; May 1, 1933; and Novem- ber 1, 1933, The Conversion Loan Bonds maturing in 195S•will 110.: be subject to redemption before NO re 01- i) er 1, 1948, but on or after that date they may be called at the option of du. Government on any interest date on 011 days' notice, at 100 and accrued interest. Holders of the Victory Loan 13onds maturing 1st November 1934 are being offered the opportunity to exchange their bonds for bonds of the Dominion of Canada 19,91 Con- version Loan maturing November 1, 1959, which will carry coupons en- titling the owner to interest at the rate of 41/.'2% per annum, payable half - yearly 'May 1 and November 1, com- mencing, May 1, 1931. In addition to the regular coupons these bonds will carry seven adjustment coupons for further interest at 'the rate of 1% per annum, payable, respectively, Novem- ber 1, 1931; May 1, 1932; November 1, 1932: May 1, 1933; November 1, 1933; May 1, 1934, and November 1, 1934, The Conversion Loan Bonds due November 1, 1959,'will not be re- deemable before November 1, 1949, but after that date they may be re- deemed by the Government on any interest date on 60 days' notice. at 100 and accrued interest. Principal and interest on the new bonds will be payable without charge in lawful money of Canada at the of- fice of the Minister of Finance and Receiver General at Ottawa, or at the office of the Assistant Receiver Gen- eral at Halifax, Saint John, Charlotte- town, :Montreal, Toronto, 'Winnipeg, Regina, Calgary or Victoria. Interest coupons will be payable without charge as they fall due at any branch in Canada of any of the Chartered Banks, The Department of Finance an- nounces that interim certificates in bearer form will he delivered in the first instance in exchange for all War Loan and Victory Bonds accepted for Conversion. The interim certificates will be exchangeable at a later date for engraved definitive bonds, The Finance Department expects that the definitive bonds will be ready on or about the 15th of August, 1931. When the definitive bonds are ready it will be possible for holders to o'b- tain delivery of coupon bonds in bearer form or of coupon bonds re- gistrable as to principal. These bonds will be issued in denominations ot $100, $500, and $1,000, Fully registered bonds, on which the itt teres svil 1 be paid direct to the owner by Govern- ment cheque, will also be obtainable in denominations of $500, $1,000, $10,- 000 and $1000 000. Active Living. Spring was a busy time for Mrs. • Baxter. 'Holiday visits to plan ---, S LIM mer arrangements -outings for the children's "mid -year" -and many other things, meant constant ac- tivity, "I'd .simply .be 'lost without the telephone!" she admits. "1 nse. Long Distance, whenever E want to Foul out something, It's such a time - and -worry -saver!" .Another trip in a barrel through the whirlpool rapids of the Niagara River is being planned by William (Red) Hill, veteran Falls riverman. Hill made his last trip on 'May 30, 1930,. and the barrel in which he made the trip designed by himself, is still in his possession. There is a pos- sibility, however, that he may use the huge wooden and steel barrel in which George L. Stathakis plunged over the Horseshoe Falls here to his death July 5 last. Hill made his first trip through the rapids in a barrel in 1910, He succeeded in swimming across the lower river in 1925. He has also been ,instrumental in saving sev- eral lives in accidents and "stunts" on the Niagara River. An Oil th.alt Is Prized Everywhere. --Dr. Thomas' Eclectric Oil was put upon the market without any Ronrish over fifty years ago. It was put up to Meet the wants of a small section, but as soon as its merits became known and prized throughont this continent. There is nothing equal to it, e