h the facilities
now at hand.

Therefore, in pursuance of section 3700 of the Revised Statutes, the
details of an arrangement have this day been concluded with parties
abundantly able to fulfill their undertaking whereby bonds of the United
States authorized under the act of July 14, 1875, payable in coin thirty
years after their date, with interest at the rate of 4 per cent per
annum, to the amount of a little less than $62,400,000, are to be issued
for the purchase of gold coin, amounting to a sum slightly in excess of
$65,000,000, to be delivered to the Treasury of the United States, which
sum added to the gold now held in our reserve will so restore such
reserve as to make it amount to something more than $100,000,000. Such a
premium is to be allowed to the Government upon the bonds as to fix the
rate of interest upon the amount of gold realized at 3-3/4 per cent per
annum. At least one-half of the gold to be obtained is to be supplied
from abroad, which is a very important and favorable feature of the
transaction.

The privilege is especially reserved to the Government to substitute
at par within ten days from this date, in lieu of the 4 per cent coin
bonds, other bonds in terms payable in gold and bearing only 3 per cent
interest if the issue of the same should in the meantime be authorized
by the Congress.

The arrangement thus completed, which after careful inquiry appears in
present circumstances and considering all the objects desired to be
the best attainable, develops such a difference in the estimation of
investors between bonds made payable in coin and those specifically
made payable in gold in favor of the latter as is represented by
three-fourths of a cent in annual interest. In the agreement just
concluded the annual saving in interest to the Government if 3 per cent
gold bonds should be substituted for 4 per cent coin bonds under the
privilege reserved would be $539,159 amounting in thirty years, or at
the maturity of the coin bonds, to $16,174,770.

Of course there never should be a doubt in any quarter as to the
redemption in gold of the bonds of the Government which are made payable
in coin. Therefore the discrimination, in the judgment of investors,
between our bond obligations payable in coin and those specifically made
payable in gold is very significant. It is hardly necessary to suggest
that, whatever may be our views on the subject, the sentiments or
preferences of those with whom we must