434
matter was fully discussed, MR. BLAND observed at the outset, that he had received instructions from His Directors to state that the outlook of the money market, with bank rate at 6 was very uncertain; that it would therefore be necessary to include in the agreement a Clause, similar to that in the Northern Railway contract, providing for extension of time or amendment of price in the event of unfavourable conditions for the issue of a loan prevailing at the time of the issue of the prospectus. Subject to this condition the Corporation would be willing to offer 93¼, transferring the preliminary expenses to construction account. Eventually, on the understanding that the matter would be considered and decided at a meeting to be held on the 25th instant, MR. BLAND undertook to raise the price to 93¾ for the agreement as at present drafted. He took occasion, however, to point out that the uncertainty for some time past existing in regard to the finances etc., of the Shanghai Nanking Railway, could not fail to have a prejudicial effect upon investors in Chinese securities, which, if maintained,
might entirely preclude the issue of the present loan.
H.B. T'ANG SHAO-Yi stated that this cause of uneasiness would no longer exist as the authority to issue the bonds was now forthcoming and would shortly be officially communicated to the British Legation - he had no doubt the matter would be settled this week. In conclusion, and referring especially to the negotiations now processing for the Tientsin Yangtse Railway, His Excellency observed that the Chinese Government was convinced that Railway construction by Boards of Commissioners was not advisable, that experience had shown it to be fraught with serious difficulties, and that any negotiations to be successful, must abandon this system. The Government would rather pay compensation to cancel the preliminary agreement than conclude it with this condition attached.
The meeting then adjourned.
(Signed)
J.O.P. BLAND
28.X.06.
the ride is a boats momag mainite →
434
matter was fully discussed, MR. BLAND observed at the outset, that he had received instructions from His Directors to state that the outlook of the money market, with bank rate at 6 was very uncert- ain; that it would therefore be necessary to include in the agree- ment a Clause, similar to that in the Northern Railway contract, providing for extension of time >r amendment of price in the event of unfavourable conditions for the issue of a loan prevailing at the time of the issue of the prospectus. Subject to this condi~ tion the Corporation would be willing to offer 934, transferring the preliminary expenses to construction account. Eventually, on the understanding that the matter would be considered and decided at a meeting to be held on the 25th, instant., MK. BLAND undertook to raise the price to 94 for the agreement as at present drafted. He took occasion, however, to point out that the uncertainty for some time past existing in regard to the finances etc., of the Shanghai Nanking Bailway, could not fail to have a crejudicial effect upon investors in Chinese securities, which, if maintained,
might entirely preclude the issue of the present loan.
H.B. 1'AMG SHAO-Yi stated that this cause of uneasiness would no longer exist as the authority to issue the bonds was now forth- coming and would shortly be officially communicated to the British Legation- he had no doubt the metter would be settled this week. in conclusion, and referring especially to the negotiations now processing for the Tientsin Yengtse Railway, His Excellency observed that the Chinese Government was convinced that Kailway construction by Boards of Commissioners was not advisable, that experience had shown it to be fraught with sericus difficulties, and that any negotiations to be successful, must abandon this system. The Government would rather pay compensation to cancel the preliminary agreement than conclude it with this conditior attach-
ed.
The mesting then adjourned.
(Signed)
J.0.P.BLAND
28.X.06.
the ride is a boats momag mainite →
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