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T i i ft
MERCHANTS’ MAGAZINE
AND
COMMERCIAL REVIEW*
J A N U A R Y ,
1 8 V 0.
GOLD BELO W 120.
It is not difficult to understand how the steady decline in gold from 135
to below 120 should have excited more interest than is usually felt in the
fluctuations of the premium. In the first place, the change involves an
appreciation in the gold value of the currency from V4 cents on the dollar
to 8 3 i cents, which calls for a very important modification o f prices
generally; and, in the next place, it brings us much nearer to that stage
of decline at which public opinion would maierially incline toward prepar
ations for a return to the specie basis. It is, therefore, most important
to appreciate correctly the uses o f this decline and the probabilities as
to its permanence.
F or several months past, we have seen a decline in thepublic expendi
tures and an increase of the revenues. This surplus o f income has been
devoted to the purchase o f the Government obligations; so that, within the
nine months end-ing with the present year, $90,000,000 o f six per cent
1
GOLD BELOW
120.
[January,
bonds have been taken into the Treasury. In making these purchases,
a large amount of Government gold has been placed upon the market;
and yet so ample has been the coin revenue that the sales have not reduced
the surplus in the Treasury below the average amount. This great
fiscal achievement, accomplished without any special effort and from
revenues which the country has yielded without complaint, is such a
Government
'V
■
in the public credit; which, so far as it affects the value o f United States
notes, implies a decline in the premium of gold. These operations o
the Treasury were, for some time, prevented from having their due
effect upon the premium by speculative obstructions. There were those
who had no faith in the wholesome tendency of Secretary Boutwell’s policy,
but, on the contrary, regarded it as affording an occasion for speculation
in favor of a higher premium. The result o f their operations was exposed
in the panic of September 2 4 ; since which period, speculation having
been too feeble to affect the market in either direction, the premium has
been free to take its natural course; during this interim, however, the
effects which had been previously postponed by artificial operations have
found expression, as well as those resultiug from a continuance of the
Treasury policy. Here, then, we have one prominent cause of the decline
in the premium.
The improvement in tte public credit has naturally augmented the
demand for our securities abroad ; and, within the present month, this
demand has been further stimulated by the favorable reception in Europe
o f the President’s message and the report o f the Secretary of the Treasury,
and especially the allusions in those documents to the refunding of the
debt at a lower rate of interest— recommendations which, perhaps, have
commanded even more confidence abroad than at home. The export o
securities from these causes may not have been so large as to augment
the shipments beyond the average of former years; but as the bonds
have gone out at higher prices they have made a very large amount of
exchange.
Nor is it to be overlooked that the extension of railroad
enterprises in the South and West has been attended with the exportation
of an important amount of mortgage bonds, which hsve been extensively
taken in Germany and England ; and so far as these securities have been
exported, they have tended to keep the foreign exchanges easy, to limit
the outflow of the precious metals, and consequently to depress the prem
ium on gold, which always advances as coin is exported, and vice versa.
The course of our foreign commerce, taken in connection with these
movements in securities, has also favored a decline in the premium. Ever
since the close of the war, one of the principal causes sustaining the
1870]
GOLD BELOW
120.
3
premium lias been the fact that our exports o f produce and specie com
bined have been from 160,000,000 to $100,000,000 below our imports
and interest obligations to E urope; exposing us to an exhaustive drain o f
gold, in the contingency of Europe being unwilling to accept a settlement
of the balance in securities. The continuance o f the foreign demand for
bondshaving been a lw a jsfe ltto be an uncertain contingency, and the
extent o f those remittances for any given period having been difficult of
estimate, the seasons of the export of specie have always been attended with
speculation for an advance in the premium. The improvement in the
public credit, however, diminishes the liability to a sudden cessation of
the foreign demand for securities and lessens the danger of their sudden
return hom e; and, so far, mitigates the sensitiveness connected with the
foreign exchanges. But beyond this, we have, within the last half year,
been able to accomplish a much more conservative adjustment between the
imports and the exports. The best possible indication of the improving
condition of borne industry has been afforded by the abundance of the
crops having given us a large increase in the exportable surplus o f pro
duce. A s an indication of the increase in the exports of Western and
Northern produce, we present the following statement of the shipments
from New York from June 22 to December 14, compared with the same
period of last year:
June 22 to December 14,1863.................................... ........................................ ... $106,104,000
Same period, 1868.............................................................. ..................................... 76,576,000
Increase............................................................................................................. $29,528,000
W e thus have an increase in the produce exports, at this port alone, of
$29,528,000 for twenty-five weeks. Considering that the exports are
entered in currency value, and that gold has ruled lower during these
months than at the same period last year, the difference in gold value is
greater than appears from these figures. W hile there has been this lar se
increase in the value o f our exports, there has been a gain in the impor s
o f merchandise, from June 26 to December 11, o f only $6,000,000. S>
much for the trade movement at this port.
How it may have been at
other ports we have no means o f ascertaining definitely. Usually, New
York is a fair criterion of the movement for the whole country. The
cotton exports have largely exceeded those o f last year, and have realized
a handsome value in gold. From September 1 to December 10, the total
shipments, from all ports, were 495,000 bales, against 339,000 bales for
the corresponding period o f last year; which argues a large increase
in the exports at the Southern ports.
From this survey it will be seen that the foreign movement in bonds
and the foreign commerce of the country have combined to lessen the
occasion for the shipment o f specie]; which circumstance accounts for the
4
GOLD BELOW
120.
unusual lightness of the exports of the precious metals during this year.
From January 1 to December 18 the export o f specie from this port
amounted to only $31,199,000, against $69,988,000 for the same period
of last year, and $59,627,000 upon an average for the three last years.
It is thus apparent that, this year, we have retained at home an unusually
large proportion of our annual product o f the precious metals. The
evidence of this accumulation is apparent in the fact that, while a con
siderable amount of coin has been distributed at the South, and while Cali
fornia has sent East less o f its product than usual, yet the private coin
on deposit in the Treasury was $36,862,000 on December 1, against
$23,200,000 at the same period o f last year and $18,400,000 in 1867,
while the specie in the Associated Banks on December 18 was $30,068,000,
against $18,643,000 on December 19, 1868. The pressure of this large
supply on the market will be augmented by the payment o f about $ 3 2 ,000,000 of coin, interest on the public debt, due January 1, the prepay
ment of which commences on the 24th inst. According to Washing
ton advices, there was, at the beginning o f this week, $38,000,000 of
private coin on deposit in the Treasury ; adding to this the amount to
be received on January interest, and say $ 1 0 ,0 0 0 ,0 0 0 for coin in banks
and in private safes of bankers and dealers, and we have a grand total of
$ S 0 ,0 0 0 ,0 0 0 o f coin at present upon or within control of the market.
Can it be considered unnatural that, with such an enormous supply pressing
'upon the market, bearing no interest, but being carried at a heavy cost
— a supply equal to that held by all the banks of the country at some
periods immediately before the war— the price of gold should steadily sink
lo
120 ?
As to the future course of the premium, while we decline prophetic
functions, there are yet some circumstances afiecting the question which
may be estimated with approximate accuracy. There is too much uncer
tainty as to what may be accomplished toward immediately reducing the
interest on the six per cent debt, to allow of that element being taken
into account. In financial circles, the early adoption o f any re dly practi
cal measure o f that character is not generally expected; if, therefore, the
«ffort should fail, the failure would not be likely to produce any material
reaction in the premium; while, if it should succeed, the effect might
appear in a further decline. The same general view may be taken relative
to the question o f specie payments. As to our ability to continue remit
tances of bonds to Europe, in part payment for our imports, it would
seem probable that the steady improvement in the public credit would
favor such a movement; and it may be stated that the very general opin
ion of our foreign bankers inclines decidedly to that view. There are
some conditions connected with our foreign commerce which admit of
1870]
THE FUNDING BILL AND THE PRICE OF FIVE-TWENTIES.
0
reasonable estimate. W e bold ample stocks o f Western and Northern
produce, from which we may anticipate a continuous gain in our exports.
The exportable surplus of the cotton crop is likely to realize a higher
value, in gold, than on any former year in our history. Taking, for the
sake of estimate, the moderate expectation of a total crop of 2,500,000
bales, and supposing that, of this amount, we export, within the cotton
year, 1,500,000 bales, the remainder being retained for consumption and
stock. Upon anticipations of this extent o f supply, Liverpool estimates
generally agree in fixing the average price of cotton at l i d . to 12d. per
pound. This range of prices would realize about $115 in gold per bale ;
which would give about $170,000,000 in gold as the value of our cotton
exports from Sept. 1, 1869, to Sept. 1,1870. If the cotton crop should
exceed th se figures, the price might rule proportionately lower; but as
the quantity exported would be correspondingly increased, the aggregate
value would be about the same as upon a crop o f 2,500,000 bales. It is
not easy to over-estimate the importance of this enormous export in its
bearings upon the foreign exchanges.
For the fiscal year 1868-9, the
value of our cotton exports, according to the returns of the Bureau of
Statistics, was $162,000,000 in currency, and in 1867-8 only $152,000,000. It would thus appear that the cotton exports are likely to realize
somewhere near $50,000,000 in gold more than the average o f the two
last years. W hat may be the course o f the import trade, it is difficult
to estimate. On the one hand, it wo >ld seem reasonable to expect that
the fall in gold, by reducing the price o f imported goods, would be likely
to tempt importers into increased purchases; and yet, on the other, the
fact that the past season has not been a profitable one is discouraging to
a large importation.
Having laid before our readers an impartial statement of the main
facts and probabilities affecting the premium, we leave them to act as the
jurors.
THE FUNDING BILL AND THE PRICE OF FIVE-TWENTIES.
It was reported yesterday in W all street that the funding scheme pro
posed by Mr. Secretary Boutwell is not likely to find favor with Con
gress, and that there is no prospect whatever that any such measure will
be passed during the current session. If this is so, we hope that the
agitation on this subject will be arrested, for there is no doubt that the
quota- tions for government securities have been seriously injured by the
uncertainty as to whether the outstanding bonds will be called in under
the five years’ option.
If there was a certainty that the five twenties
would not be paid off before maturity, they would certainly be worth
ft
THE FUNDING BILL AND THE PBICE OF FIVE-TWENTIES. [ J a n u a r y ,
luore, and would probably command more in the market, than even the
highest figures at which they have ever sold at the Stock Exchange. W e
have often pointed out the difficulties which must impede the refunding o f
the debt at 4 per cent, and the impossibility of so disposing of it while
the 6 per cent debt is below par. W hen once our debt is freed, however,
from the mischievous depression which keeps down its quotations on
the Stock Exchange and allows its intrinsic value to rule its price without
the disturbing element of uncertainty, we shall have advanced one step
nearer to the success o f the scheme, which is certain one day o f accom
plishment, when our wThole debt will be funded in long bonds at 4 to 5
per cent, and will be selling at or about par. B y deferring the funding
process for awhile, we shall render it more certain of early achievement.
Some of the objectors argue that no time is so favorable as the present
for paying off the debt, or for funding it, and urge with mu li assumed
wisdom the dangers of delay. But this misuse of old proverbs is out of
place here, and might have been as justly employed, as indeed it was
employed, against incurring our war debt at all. I f it was sound policy
to make our national debt at first, it is, perhaps, equally wise to let it
remain pretty much at its present aggregate until the exhaustion caused
by the unparalleled exertion of our war against the South has passed
away. However this may be, it is certainly wise for us not to disturb tlio
funded debt until we are ready to refund it to advantage. The process
by which the debt was funded in its existing form was a very expensive
and costly process.
Tbe next funding operation must be final, and as we are certainly not
ready for it, all attempts at its negotiation must inevitably end in disap
pointment, if not in more serious mischief still. There is reason to fear
that the efforts to impart an element o f uncertainty to our Government
securities have induced multitudes of investors in all parts o f the country
to change their Government securities for railroad and other bonds o f far
inferior character.
Congress is unlikely to take up and enact into a
law any scheme for disturbing on any extensive scale the five-twenties,
as at present funded.
The only argument in favor of such a disturbance is founded on the
heavy annual expenditure for interest. But this whole sum paid for
interest, if divided up among our whole population, amounts to no more
than about three dollars for each person every year. The pressure of
interest, then, it is evident, cannot he regarded as so serious that the
removal of a part of it must be at all hazards undertaken at once.
The hazard of disturbing tbe five-twenties resides not only in the
probability that any effort at refunding would be unsuccessful at present,
but also in the fact that the Government securities lie at the founds-
1870]
THE CONDITION OF BUSINESS.
tion of the financial machinery of the country, and that any attempt to
disturb those foundations would not fail to cause perturbation and wide
spread mischief throughout the movements of monetary and industrial
enterprise.
Much remains to be done in the revision ofour fiscal system, in the discip
line of our banks, and in the promotion of further economy in the various
branches of administration.
Those reforms cannot wait.
They must
be undertaken without delay.
The funding of the debt was very lately
completed, ar.d completed as we supposed for a permanent, settlement
extending for several years to come. N o refunding that may be hereafter
needful should, by its premature discussion, be allowed to do harm to
the interests which it was ostensibly designed to promote.
THE CONDITION OF BUSINESS.
I f all is to be believed that we have lately heard respecting the condition
o f business, there is little occasion for closing the year with joyous
satisfaction. Before, however, giving full credence to the current com
plaints and forebodings of a section of the press, it may be well to call to
mind that the war has left a strong dash of the bilious in our national
mood, which must ever and anon find vent and expression in an outburst
of croaking.
The costly wars o f Great Britain transformed “ merrie
England” into a nation o f grumblers; and we need not be surprised if
our own struggles should tone down our proverbial self-satisfaction into a
modified form of discontent.
Because a few failures have recently occurred, we are told that business
is in an essentially unsound condition, that many o f our merchants have
lost or wasted their capital, and that we are bordering on general
bankruptcy and panic. Although this cry of “ w olf” has become so
common that it should be no longer heeded, there are a few timid people
who give ear to it and are alarmed into a very unreasonable caution ; and,
for the satisfaction of such, it may be well to inquire somewhat into this
alleged danger. In the first place, the recent failures have been no more
in number and have really been less in importance than usually occur
at this period of the year— a season when a large amount of mercantile
obligations always fall due, and a majority of the suspensions have been
those of small firms, whose combined liabilities are scarcely equal to those
of a single first-class house. And, in the next place, there is this
peculiarity in the affairs of the larger suspensions ; the occasion is traceable
mainly to causes other than legitimate business losses. Most of the failures
among the dry goods commission merchants have arisen from the firms
the condition of
BUSINESS.
,
[ January
assuming the responsibilities o f manufacturers, and taking the risks of
unprofitable mill properties. In other branches of the wholesale business,
the insolvencies have been induced, in nearly every instance, by the firms
having assumed risks or engaged in speculations which have no proper
connection with their business. Much as has been said of the disaster
which must accrue from the decline in prices, yet it is a fact that although
values have been steadily falling, for the last three years, and in the case
o f breadstuffs have fallen to ante-war figures, yet scarcely a single
instance can be quoted o f a failure from this cause; nor is there anything
tangible to show that, as a rule, the capital of merchants has thereby
been seriously impaired. Where men o f business have been tempted to
employ their capital in oil speculations, in stock ventures, or in the
gambling operations of the Gold Room, they have in most cases lost
credit, and in too many cases capital also; and these are the parties whose
names fill up the late record of failures.
Upon the whole, there is really much in the present condition of the
country to bespeak satisfaction and confidence. During the war, and for
two years succeeding, we experienced the evils o f inflation in its worst
forms. That was a period of extreme danger to the country. A similar
condition of affairs prevailed in Great Britain after the conclusion of her
Continental and American wars. There, however, the inflation attained
such a pitch as to burst in a ruinous panic, sweeping away hundreds of
banks, prostrating credit universally, and creating general bankruptcy,
with a sudden fall o f about 50 per cent in prices. Very fortunately, with
us the inflation of the currency and of prices has culminated without any
such catastrophe. The reaction has come by a natural process. The
intelligence o f the people discovered the danger of the situation, and
caution gradually succeeded imprudent speculation; credits were carefully
watched, and traders were consequently spared the risk of carrying too
heavy stocks upon declining markets. In view o f this steady and natural
process of reaction from inflation, we are at a loss to conceive o f the
grounds for the vague but settled conviction, now so general, that the
financial and commercial derangemeuts growing out of the war must
sooner or later issue in general panic and insolvency. There could be on
better guarantee against such a catastrophe than the universal caution
which now prevails. The sentiment o f the country is essentially con
servative. An expansion o f the currency would be so unpopular to the
people at large that there are few members of Congress who have the
daring to propose such a measure; no enterprises can be floated which
do not present good evidence of soundness; W all street speculators find
it far more difficult to promote an advance in st.cks than a decline;
and upon the question of specie payments there is a marked conversion
m o]
THE CONDITION OF BUSINESS.
o f public opinion in favor of an early adoption of tbe measure. These are
plain indications of a wholesome commercial sentiment, such as usually
precedes public prosperity, and cannot, with any congruity, be regarded
as the forerunner of panic.
A fair survey of the condition of the country appears to us to warrant
the expectation of a steady, prosperous business in 1870. The abundant
crops of this year should certainly lay the basis of an improved trade.
Our grain crops have been such as to reduce the prices o f flour to about
the figures o f 1860. The wool crop has been so abundant as to reduce
the value of that staple to about ante-war prices. The production o f coal
is so ample that, in spite o f artificial manipulation of the retail market,
the late high prices can be no longer maintained ; while the decline in
gold naturally contributes to a generally lower scale of prices. W e thus
have a condition of affairs calculated to lower, by a natural process, the
general costs of living; which supplies one of the chief pre-requisites to
a reduction in the scale o f wages, the high rates of which are still the
bane of our industrial progress.
These tendencies toward a natural decline in prices may not appear very
flattering to surface observers— indeed, to the inverted vision o f some
they afford the basis o f prophesies o f disaster— but they are really the
condition precedent to a sounder condition o f industry and trade, and are
evidence of a national gain in production over consumption, and of a
consequent recovery of stocks o f products in the various markets.
The great value of the cotton crop must prove an important stimulus
to business. In another column, we show that the exports of cotton are
likely to realize about $170,000,000 in gold ; and it may be further
shown, upon that basis, that the whole crop will realize for the South
about $280,000,000 in gold. The immense value o f this one crop, far
exceeding all precedent, may be reasonably expected to induce an unusually
active business between the North and the South. The W est has been
somewhat backward in its settlements with the East, owing partly to the
low prices realized on its crops, and partly to the holding back o f produce.
There is, however, still a large amount of grain in the hands of farmers,
fully guaranteeing the ability o f that section to meet its engagements
and to buy moderately for the Spring trade.
There is reason to hope that Congress may adopt some measures
calculated to lighten the public burdens upon commerce. Some judicious
modification in the tariff may apparently be expected, especially in the
way of lightening the duties on the raw material of our manufactures. A
partial alleviation of the internal revenue taxes, especially of the onerous
income tax, seems also to be quite probable, the effect of which upon
business would be immediately advantageous.
10
REPUDIATION IN CONGRESS.
[Januaryt
Upon the whole, then, if we may not look upon 1870 with sanguine
expectations, neither may we view it with apprehension. If the prospect
holds out no great promise, neither is it freighted with any special danger ;
and, perhaps, the mercantile community need less to be cautioned than
encouraged.
REPUDIATION IN CONGRESS.
Amidst the conflicts which have raged in financial circles about the
partial or total repudiation of our National Debt, we have uniformly
maintained that there was no real danger that the American
people, who have twice paid off their public debt, would dishonor them
selves and make the Americs.n name a by-word throughout the world
by attempting to repudiate the war debt of the nation. This declaration
has been well sustained. The first act o f Congress which received the
signature of President Grant declared that the debt shall be paid in gold
or its equivalent, and the past month, in Congress, it was resolved by the
House, with scarcely one dissentient voice, “ That the proposition, direct
or indirect, to repudiate any portion of the debt of the United States, is un
worthy the honor and good name o f the nation, and that the House, without
distinction o f partv, hereby sets its seal of condemnation on any and all
such propositions.” Such facts as these are as potent to strengthen the
credit o f the Government in time o f peace as are the most brilliant
victories in time o f war. It is now settled as firmly and inevitably as the
American people and the American Government can settle it that the
public debt is sacred, and that the very whisper of repudiation shall not
be tolerated among us. This action on the part of Congress has be n
taken at a very opportune time, but it is worthy of notice that it produced
no appreciable advance in the sensitive quotations o f Wall street. A more
conspicuous proof could not be given c f the stability of the confidence of
capitalists in the faith ar.d credit of the Government ns pledged for the
gold payment of the principal o f the entire war debt of the country. In
connection with this matter, however, the discussion has been revived as
to whether the whole debt or the greater part of it could not be refunded
at four or four and a half per cent. It seems to be admitted on all hands
that in this country the task would be hopeless to attempt to sell at par
a four per cent bond, even if the temptation of freedom from taxation
were offered to investors. The banks, of course, could be compelled to
accept four per cent instead of six per cent on the bonds they deposit as
security for their circulation. But this levying of two per cent on the
bank circulation could be effected and carried fully out by an easier
method than that of calling in all the outstanding five-twenty bonds, and
1870]
REPUDIATION IN’ CONGRESS.
11
substituting for tbem the new four per cent consols.
It is scarcely just
for the banks to engross the whole profit of this circulation, which is pro
bably four or five per cent. One half o f this, if Congress should so decree,
might be made payable to the Treasury, and thus, so far as the banks are
concerned, the rate of interest on the five-twenties would be put down to
four per cent.
I f we are to go beyond this and reduce the rate of interest on the
government bonds held by our private citizens the result would inevitably
be that these persons would buy other securities instead. And the
multitude o f railroad and other bonds which are soliciting and tempting
investors by offering high rates for money would be rapidly increased.
Hence private citizens would cease to a large extent to be holders of
government bonds, and these securities would gradually seek foreign
markets.
And now comes the question whether abroad any more than at home
we could float a four per cent bond, so long as the existing six per cents
are outstanding. It is surprising that Mr. Secretary Boutwell in his
recent Treasury report is so sanguine of the practicability of borrowing
n Europe at four or four and a half per cent. It is said that authentic
proposals have been made with a view to such a loan to a large amount
by capitalists of standing. The financial public would much like to see
these proposals and to examine the conditions. W e are much inclined
to think, however, that no such definite offer has as yet been made. W e
have no doubt that Baring or Rothschild, or any of the large bankers in
the Old World would be very glad to “ make advances” to our govern!
ment at four or four and a half per cent, pending the negotiation o f any
new European loan. But this is a very dangerous proposition. Advances
at four per cent can be had from our own banks. Nay, at this very moment
the Government borrows at three per cent from our own banks vast sums
on clearing house certificates. Foreign bankers could well afford to make
“ temporary advances ” at four per cent if our American banks could do
so at three per cent. But the questionis bow far it would promote our
own national interests to giveto these foreign houses snch complete control
as they would thus gain over the foreign exchange market; and, secondly,
what good these temporary advances would do to us if, as is possible, the
new loan scheme itself should prove a failure. One may well fear that
almost the only effect which would result would bo to make our bon Is
the foot ball of speculators in almost every Bourse and S 'ock Exchange
in Europe. For these reasons the public would be glad to know what are
the terms of the proposals, if any, which have been made for refunding our
debt at a low rate o f interest in Europe ; and, meanwhile, we are not sure
thta the report is unfounded which affirms that Mr. Boutwell has gone to
12
THE PRESIDENT AND OUR FINANCES.
[January,
the expense of sending two or three special agents to Europe to make
preliminary arrangements with a view to such negotiations as we have
specified for a foreign loan. Such a mission would, as yet, be premature
and fruitless. T o have destroyed the fear of repudiation may help the
Government credit abroad but it will certainly not render possible the
negotiation o f a four per cent loan at par so long as the six per cent
five-twenties can be bought at a lower price in the open market.
THE PRESIDENT AND OUR FINANCES.
An unusual amount of public interest has been excited by the financial
part o f the President’s Message, which has just been presented to Congress.
The accompanying reports of the Secretary of the Treasury and of the
Comptroller of the Currency provoke less discussion, but on account of
their importance for reference, we print elsewhere. The changes o f policy
which these two reports suggest are considerable, and we shall leave them
for future consideration. Most of these proposed changes we are sure
Congress will be slow to adopt, while some o f them will probably be lost
sight of altogether. The case is otherwise, however, with the recommenda
tions of the President’s Message, the influence of which has already begun
to appear in the proceedings of Congress, These recommendations have
three different aspects, and address themselves first to the currency,secondly
to the management of the debt, and thirdly to the consolidation and re
duction o f the federal taxation. As to each of these topics the President
offers suggestions which are some o f them novel, while nearly all are
destined sooner or later to be adopted. On the currency question Gen
eral Grant is extremely conservative.
A n irredeemable curreney, he
says, is as evil, and the paramount duties and prerogative of government
demand that a commercial people like ourselves shall enjoy the use o f a
medium of exchange o f fixed value. As the securing o f this end requires
a specie basis, and as no substitute for it can be devised, we should at
once begin to lay a foundation for specie payments, and should do this
at the earliest practical moment consistent with the interests o f the debtor
class. Such are the fundamental principles laid down in the message. This
policy it will be seen, strikes a middle course between the two extreme
views now agitating the financial circles. It opposes on the one side those
theorists who seek to leap at one bound to specie payments, and would
thus let loose upon the country a torrent o f evils, whose prodigious extent
it is impossible to measure ; and on the other side the President’s views
are equally fatal to the schemes o f those enthusiasts of inflation, who
would expand irredeemable currency still further, and make it a perpetua
curse to the country. It is impossible to surpass the vivid distinctness
1870]
THE PRESIDENT AND OUR FINANCES.
13
with which the President lays down the fundamental laws of finance on
this point. “ Immediate resumption, if practicable, he says, would not
be desirable. It would compel the debtor class to pay beyond their con
tracts the premium on gold at the date of their purchase, and would
bring bankruptcy and ruin to thousands. Fluctuation, however, in the
paper value of the measure of all values, gold, is detrimental to the in
terests of trade. It makes the man o f business an involuntary gambler,
for in all sales where future payment is to be made both parties speculate
as to what will be the value of the currency to be paid,” and he concludes
by recommending “ such legislation as will insure a gradual return to
specie payments,-and put an immediate stop to fluctuation in the value o f
currency.”
And here comes the most noteworthy part o f the President’s scheme.
T o secure specie payments the methods are too numerous and too vague,
so he dismisses them without notice. But to prevent fluctuation in the
value of the currency he regards as a matter easier of accomplishment.
To realize it he proposes two or three simple and effective expedients.
These he explains as follows :
“ I see but one way, and that is to authorize the Treasury to redeem its own
paper at a fixed price whenever presented, and to withhold fr o m circulation all
currency so redeemed until sold again f o r gold. The vast resources of the
nation, both developed and undeveloped, ought to make our credit the best on
earth, with a less burden o f taxation than the citizen has endured for six years
past. T he entire public debt could be paid in ten years ; but it is not desirable
that the people should be taxed to pay it in that time. Year by year, the ability
to pay it increases in a rapid ratio. But the burden o f interest ought be reduced
as rapidly as can be done without the violation of contract. The public debt is
represented, in a great part, b y bonds having from five to twenty, and from ten
to forty years to run, bearing interest at the rate of six percent, and five per cent
respectively. It is optional w ith the Government to pay these bonds at any
period after the expiration o f the last time mentioned upon their face. The
time has already expired when a great part o f them may be taken up, and is
rapidly approaching when all may be. It is believed that all w hich are now due
may be replaced by bonds bearing a rate o f interest not exceeding four and one
h a lf per cent, and as rapidly as the remainder becomes due, that they m ay be re
duced in the same way. To accomplish this it may be necessary to authorize the
interest to be paid at either o f the three or four of the money centres o f Europe,
or by any Assistant Treasurer o f the United States, at the option o f the holder
o f the bond. I suggest this subject for the consideration o f Congress, and also
simultaneously w ith this the propriety o f redeeming our currency as before sug
gested at its market value at the time its law goes into effect, increasing the sale
at w hich currency w ill be bought and sold from day to day or from week to
week, at the same rate o f interest as Government pays upon its bonds.
The plan here proposed has been submitted to very anxious canvass in
W all street, and though the first effect was to stop the fall in gold and to
give it a slight upward impulse, still the details of the scheme are not suf
ficiently full to enable us to form a precise notion of its piobable effect.
What is particularly dubious about it i s : First, the conditions under
which the redeemed greenbacks would be “ sold for gold,” and secondly.
14
RAILROAD EARNINGS.
- [January,
the contraction of business which might be produced by the contracting
and locking up of the greenback circulation. TLese and other points are
discussed with no small anxiety, and tae most divergent opinions prevail
respecting them. This scheme is regarded with the more interest as it is
rather novel, although projects somewhat resembling it have several
times been offered to Congress without securing much attention.
As to taxation, the President contents himself with recommending the
postponement of all reduction of taxes until we have reduced the prin
cipal of our debt sufficiently to enable us to negotiate a new loan at 4 or
41. per cent. He admits, however, that it may be needful to reduce the
income tax to 3 per cent, and to modify other taxation and tariff duties in
cas6 of unjust or burdensome restrictions. When the debt is funded, the
President thinks that the taxes can be reduced from sixty to eighty
millions of dollars a year. Here then we have a fine comprehension o f
general principles of policy sketched out for the consideration of Con
gress and of the people. First, there are to be no rude, rash experiments
with the currency ; but well directed efforts are to be made to preserve
our greenbacks from mischievous fluctuations in value. Secondly, we
are to keep our national credit good by a rigorous collection of the re
venue and by sustaining the income o f the Treasury so as to secure a
surplus of money with which to pay off large annual instalments of our
bonds. Thirdly, we are to lessen the pressure of the debt by negotiating
a loan as soon as possible at 4 or 4£ per cent. Fourthly, to pay off as
early as possible all the bonds of 1862 and 1864, which are already liable
to redemption under the law by which they were negotiated. W hat may
be the ultimate fate of these suggestions, and how far they may be
adopted by Congress, is uncertain. What is certain is that they have pro
duced a reassuring effect on the public credit.
RAILROAD EARNINGS FOR OCTOBER AND FOR TEN MONTHS OF THE YEAR.
The monthly statement o f railroad earnings for October and the past
ten months of the year is of more than usual interest at the present time,
in consequence of the continued depression in prices at the Stock Exchange
and the frequent assertions that this is the result of decreased traffic. As
a rule, the returns for October, 1869, do not show a wide variation from
those o f the same month last year. The principal exceptions to this are
the Chicago and Northwestern Company, which reports a decrease of
$155,835, and the Ohio and Mississippi, which returns an increase o f
1870]
15
RAILROAD EARNINGS.
$44,715. Milwaukee and St. Paul returns the largest earning3 o f any
one month since the consolidation of the road, with the single exception
of October, 1867. Lake Shore and Michigan Southern shows an increase
of $19,651 and Michigan Central a decrease of $21,048.
The October earnings, upon the whole, must be considered exceedingly
favorable, from the fact that no general decrease is shown compared with
October, 1868, which was probably the most favorable month that the
Western roads have ever known ; the latter fact may be seen by an
examination of the comparative table of monthly earnings of three years
past, which will be found on a subsequent page. The earnings of October(
1868, were disproportion ately large and fell off rapidly in the succeeding
month. The following will show the figures for the two months and th«
decrease on several of the principal Western roads :
October.
1868.
$508,745
1,5 0,066
591,20)
931,529
511,820
1,037 463
429,838
Chicago & A lto n ....................
Chicago & North we t e r n ....
Chicago & R oc* isla n d .........
I'lin ois Central ............. . . .
M ichig n C e n tra l..................
Milwaukee & Sc. Paul..........
T oledo, Wabash & W estern
November. Decrease.
1868.
$4 0,568
1,135,184
424.5 9
685,403
41'',825
556,017
323,279
$04,077
434,732
166,620
216,129
100,995
4S0,546
106,619
W e observe here an uniform decrease, ranging from $ 1 0 0 ,9 9 5 on
Michigan Central, to $ 4 S 0 ,5 4 6 on Milwaukee & St. Paul, and a3 a natural
consequence of that position of affairs in those months of 1 8 6 8, we should
expect to see a falling off in the October earnings of this year compared
with last, and an increase in the month of November. So far as the
earnings for the first week of November have come iD, this anticipation is
fully warranted. Chicago and Northwestern shows a decrease o f only
$ 9 ,8 9 3 , which is quite insignificant compared with ny previous week for
long time past, and this road, as we have often stated, has special cause
for a falling off in earnings bv reason of the loss of freight for construction
of the Union Pacific road, which was last year a very large item. Chicago
and Rock Island shows an increase o f $ 4 4 ,4 8 6 , Lake Shore and Michigan
Southern an increase of $ 2 4 ,0 0 0 , and Milwaukee and St. Paul an increase
of $ 5 0 ,8 5 8 , making a total increase on the latter o f $ 1 4 2 ,0 0 0 in the two
weeks past. These are the only roads which have reported at the time of
writing, and they promise very favorably. In the table following it will
be noticed that in addition to the roads heretofore reported the Pacific
Railroads are given for 1 8 6 9 , though no comparison with a previous year
can yet be made:
E A R N IN G S
Central Pacific..................
Chicago & a.1ton ...............
Chicago & Northwestern
POR
O C TO B E R .
1869.
$622,000
463,108
1,414,231
1868.
$ ....
503 745
1,570,006
Inc.
$
D ec.
*
10
[January,
RAILROAD EARNINGS.
1S69.
......... *581,000
Chicago, R ock Island
Pacific...........
Cleveland, C ol., (in n & Indianapolis.
Illin ois Central ....................................
Kansas P acific.........................................
Lake Shore & Michigan Southern.......
Marietta & Cincinnati......................
Michigan Central..................... .........
Milwaukee & Sr. P aul...........................
Ohio & M ssissippi...............................
St. Louis, A lton <te Terre Haute ...» .
Toledo, Wabash & W estern.................
Union Pacific...................................
. .1,039 811
1868.
591,209
293,296
901,630
Inc.
1,249,950
125,065
511,820
1,037.461
283,329
210,473
429,898
29,6.1
7,804
$9,333,721 $7,707,944
319
P ec.
10,209
6^696
2,318
44,715
4*723
7,530
$84,837 $246,677
A more correct and fairer estimate o f the earnings of our railroads can
be made, by taking the past ten months o f the year and comparing the
totals with the same period in 1868, and in this comparison it must still
be remembered that the traffic o f 1868 was unprecedentedly large and
much in excess of 1867. The table following shows the earnings for the
period referred to, and all the roads continue to report a considerable
increase in their earnings from January 1 to November 1, with the single
exception of Ohio and Mississippi, and this company has reduced the
previous deficiency by an increase o f $44,000 in the month of October.
The Lake Shore and Michigan Son them consolidated roads report an
increase of $720,943 for the ten months, the particulars of which, belonging
to separate companies previous to the consolidation in August last, had
not heretofore been published:
r
, E A R N IN G S FR O M
Chicago & Northwestern ....................
Chicago, R ock Island & Pacific........... . . .
Clev., Col Cm. & l n d ...........................
Illinois Central—
........................
Lake Shore & Mich. Southern...........
Marietta & Cincinnati...........................
Michigan Central...................................
Milwaukee & St. Paul...........................
Ohio <fc M ississippi...............................
St. Louis, A l t o n & Terre H a u t e .......
T oledo, W abash & W estern......... « . .
T otal for ten m onths......................
J A N U A R Y 1 TO
NOVEM BER 1 .
1869.
1868.
$3,737,429
11,283,452
3,917,439
2,425,483
6.440,741
10,024.400
1.053,518
3,768,318
5,491,848
2,446,542
1,591,983
3,290,487
Inc.
$18S,965
120,212
463,870
176,306
588,915
720,913
96 656
157,S84
360,179
$55,501,640
$3,177,597
....
4,411,209
....
7,029,656
....
3,529,418
Deo
83,925
64,736
238,931
....
W e have endeavored to state above the exact position of our railroads
as established by the figures in regard to their earnings; and such a
statement seems to be particularly called far at the present moment, from
the many rumors and misrepresentations which have been circulated with
intent to damage the cred o f the companies, or for speculative purposes.
Exact einjinga In 1868, approximate in 1369.
1870]
TDK RETROSPECT.
17
THE RETROSPECT.
Those who foretold disaster to business during 1869 look in vain for
the fulfilment of their prophesies. The record o f the year is, on the
whole, encouraging. Though only the fourth since the close o f a great
war, it shows rapid progress in recovery from the numerous derangements
consequent upon the struggle. In every department of commercial and
financial affairs, the drift lias been in a healthier direction. To say that
the year has restored a really sound and normal condition of things in any
one branch of affairs would perhaps be too much; but to expect such &
change in so comparatively short a period would betray ignorance of the
laws controlling business affairs.
1. The national finances have been placed in a much healthier condition.
Partly as the result of a better condition of business, and partly from a
more effective enforcement o f the revenue laws, the income o f the Gov
ernment has been so far in excess o f its ordinary expenditures as to enable
the Secretary o f the Treasury to purchase, within the last nine months,
nearly $90,000,000 six per cent obligations ; an achievement which, by
tending to enhance the Government credit, helps to alleviate the burdens
of taxation. Partly as the result of this improvement in the public credit,
and partly from other causes, the gold premium has steadily declined to
below 120, crushing in its fall a class o f speculators whose baneful function
it has been, for years, to produce artificial fluctuations in the premium,
much to the injury of legitimate business. This is so much progress ac
complished toward the ultimate recovery of the specie basis; a consum
mation for which conservative capitalists impatiently await.
2. The long predicted crisis in our foreign trade, which, it is said, must,
some day, result from a suspension of foreign purchases o f our bonds
has not darkened the record of 1869. On the contrary, the price of FiveTwenties has advanced, at London, from 79 to 86], or to within about 5
per cent of the equivalent o f par in United States coin ; and Europe has
taken fully its average amount of our securities. Our foreign commerce
has, within the last half o f the year, assumed a much more conservative
course. W h ile the imports now show only a nominal increase upon the
same months of last year, the exports both at New York and at the cot
ton ports have been very largdy in excess of last year; the result having
been that we have retained in the country a very considerable proportion
of our production of the precious metals, with the effect of depressing the
premium on gold. It has long been felt that an important condition pre
cedent to a permanent decline in the gold premium is an increase in our
surplus of exportable produce ; and the crops o f this year have enabled us
to make very important progress in that direction. The fall in the pre
2
18
THE RETROSPECT.
[January,
mium has caused some uneasiness in credits, from an impression (hat the
consequent fall in prices o f large classes of commodities nortended losses
to merchants ; but, in point of fact, the injury, as under all similar fluctua
tions for the last eight years, has been greatly exagger- ated in the popular
estimate, no failures being traceable to this cause.
3. Another season o f abundant crops has made a most substantial con
tribution toward the recovery o f a sounder condition in our industries
and commerce. The wheat crop has been such as to reduce the price of
flour to near its former gold value.
Some of the other cereal crops have
been deficient, especially corn ; it is, however, a matter o f most essential
consequence to the trade of the country that the main staple of food has
been once more reducd to its former value. The wool crop has been such
as to reduce the price o f that staple sufficiently to benefit both the manu
facturing interest and consumers.
The cotton crop, though not suf
ficiently large to result as yet in any material reduction in the cost o f cot
ton fabrics to home consumers, will yet realize probably a much larger
[amount, in gold value, upon the exportable surplus, than in any former
year[; which is to be viewed as another very important contribution toward
the correction of the chronic derangements in our foreign exchanges.
But, while there has been this increase in the natural productions of
the country, with a consequent decline in the prices o f important classes
of commodities, it is to be regretted that a corresponding reduction in
the scale of wages has not been accomplished. That there is a natural
and just basis for such a reduction cannot be reasonably questioned; but
it is one of the many pernicious evils of “ trades’ unions” that they tend to
keep up the cost o f labor when the general interest o f the community,
the operative interest included, calls for a reduction o f wages. However,
these conventional obstructions can only temporarily delay a natural ad
justment of the profits of industry between the capitalist and the operative
classes.
4. There is, of course, a class who would be reluctant to regard any
downward turn in the value o f real estate as a satisfactory feature in the
year’s history. It must, however, be chronicled that such a tendency has
really set in ; nor will the laborer, who has urged his heavy payments for
rent as one reason o f his demands for high wages, nor the merchant, who
has had to devote a very large slice of his profits for rent for his store,
find much difficulty in understanding how a fall in house rent or store
rent should enable them either to save more or to spend more upon their
enjoyments.
5. A very healthy symptom in the year’s record is the declension in
W all street speculation. The registered business at the Board o f Brokers
shows that the transactions in stocks have fallen off very nearly one-half
1870]
THE FINANCES OF CALIFORNIA,
19
from those of 1868, One cause o f this may have been that some o f the
expedients for stimulating speculation have spent their force; but per
haps the more important reason lies in the fact that, after an experience
of some years in this class o f operations, a majority o f the habitues of the
“ street” have found that speculation has been a comparatively profitless
employment of capital. The improvement in general business, the growing
steadiness in values, and the gain of confidence in legitimate enterprises
have also had their influence in drawing away capital from speculative
employments. The Gold Room panic o f September 24 has left behind
it a lesson as to the dangers o f gold gambling which has since severely re
stricted operations of that character, and which, it may be hoped, will
hereafter contribute much toward moderating artificial fluctuations in the
gold premium.
6.
Although the remarkable activity in •railroad building which has
sprung up within the year is at present viewed with some caution, yet,
upon the whole, it is to be regarded as a really healthy movement. Most
of the roads are intended to supply the wants of existing commerce, and
to meet the deficiency in transportation facilities growing out of the check
to building new roads pending the war ; and the movement is therefore
to be regarded as indicating, on the one hand, that the trade of the coun
try is expanding, and, on the other, that we have surplus capital enough
to provide for its wants.
Upon a fair review of 1869, therefore, the country has abundant reason
for satisfaction, and many enter upon the New Year with hopes of a con
tinued improvement in all our industrial, commercial and financial in
terests.
TIIE FINANCES OF CALIFORNIA.
The annual report o f the State Com ptroller o f California shows that the
receipts o f the fiscal year ending June 30, 1869, were $2,417,699.
The
expenditures during the same period were $3,180,725. The apparent excess o f
expenditures over receipts was occasioned hy large amounts transferred to
counties from the Swamp Land Fund, under an act o f the Legislature.
T he
Comptroller thinks a tax of $1 on each $100 o f assessed value w ill be ample
for all State purposes during the next tw o fiscal years.
The State debt on
the 1st o f November, 1869, stood as follow s: Funded and bearing interest,
$4,068,000; outstanding warrants on the Capitol Fund, $270,879 9 3 ; warrants
on Military Fund, $3,571 1 0 ; total debt, $4,342,451 03.
Compared w ith the
figures o f tw o years ago, this statement shows the gratifying reduction o f
$1,078,500.
NATIONAL BAMS OFJACK STATE— TI1EIR CONDITION OCTOBER 9, 1569.
O
W e are indebted to the Comptroller of the Currency for the] followingjreports o f the National Banks of each State and
redemption city at the close o f business on the 9th day o f October, 1860.
RE S O U R C E S .
Tota
$24,065,439 21 $12,405,024 32 $16,235,870 07 103,388,307 57 $137,006,446 23 $42,940,737 80 $63,013,227 10 $124,79S,811 49
L IA B IL IT IE S .
$9,125,000 00 $4,835,000 00 $6,810,012 50 $38,272,000 00 $47,550 PC0 00 $20,364,S00 CO $24,606. 820 00 $36,822,241 00
1,397-815 42
612,430 26 „ 879,109 27
8,803,869 97
4,484.,361 95
9,485,816 18
1,672,413 50
5,903,011 62
809.781 15
455,597 89
P'431,093 55 ' 2,661.742 76
1,817,298 72
1,237,029 79
1,767!’,898 14
4,922,903 57
7,401.441 00
25,693,444 00 .12,408.935 00 17,363, 128 00 29,167,888 CO
4,256,308 00
5,901,160 00 30,950,910 00
30,265 00
52,585 00
27,974 00
253,411 CO
122,867 00
167,882 00
256. 288 00
474,149 00
4,503.4(51 C5
1,895,486 35
1,901,327 83 20,724,410 OS" 37,427,796 98
5,787,533 46 11,554. 315 55 40,123,243 62
129,192 07
2110,094 53
9-.9 h8 80
472,9:-.5 52
40,094 86
93,435 63
236. 332 31
730.517 75
222.573 54
202,465 47
115,241 98
75,661 84
15,063 36
38. 760 13
138,802 01
243.378 39
4,042 54
57,908 OS
; 809,803 86
13,526,971 34
790,590 69
2,280, ( 58 83
3,894,197 46
6*5,736 32
1,100 47
999 C6 •£. 161,624 81
853,054 37
1,342,157 15
323.,573 69
1,389,991 17
113,045 27
~
11,544 00
150,213 77
100,i,000 00
50,100 00
942,019 98
430 00
2,173 81
,540 00
51,723 96
1,1632 50
2S9,S46 31
[ January,
Capital s t o c k ..^ ............... .................
Surplus fund...........................................
Undivided p rofits.*..............................
National bank notes outstanding—
State bank notes outsianding ..
Individual deposits................"..............
U. S. D e p o r t s ......................................
Deposits o f U. S. disbursing officers,
Due to national banks.........................
D ue to other banks and bankers.......
N otes and bills rediscounted.............
Bills payable........................................ .
national banks of kach btate.
MassaNe,v
City
Rhode
r chusette).
Maine.
Hampshire.
Yermoffit.
o f Boston
Island.
Connecticut.
Loans and discou n ts....... ........... .......... .. $11,095,394 39 $4,624,873 43 $6 ,431,224 15 <£41,705,130 27 $72,545,257 46 |$22,464,C69 16 $29,858,730 82 £01.253.890 55
2S.6G9 11% .- 93,120 98
108,369 22
86
20,219 61
58,161 38
109,191 63
Overdrafts..................................................
640,011 53
8,378,750 00
4.897,000 00
6,701,000 00 35,261,850 00
29,068,550 00 14,193,600 0$ 19,756,100 00 33,392,450 00
TJ. S. bonds to secure circulation......... ..
545,000 00
575,000 00
300/ 00 00
1,480,000 00
950.000 00
U. S. bonds to secure deposits..............
260,000 00
642,000 00
1,656,500 00
4( 6,050 09
3,502,300 00
634,450 00
210,750 00
U. S. bonds and securities on hand —
2,318,900 00
256.500 00
1,373,460 00
2.107,8 0 00
92,043 84
206,300 00
960,327 15
CO
425,043 60
Other stocks, bonds ana m or:gages . . .
303,160 68
782,365 77 I 3.355.502 52
5,977.859 (3
826.058 71
46
922,589 02
5,746,778 96
1,945,6:1 93
Due from redeem ing agents..................
3,709,609 70
7,736,438 20
543,029 26
Due from ether national banks .
76,838 08 ~
55.653 29 S 3 . 48,048 42
2,867,936 10
393,028 82
1,738.426 39
2,036,575 22
j 44,721 12
6.976 07
29,180 88 '
41,992 34
62.611 94
Due from other banks and bankers----44,356 62
304,234 98
674.435 48
72
19S,276 50
113,257 91
140,711 08
1,478,344 48
R j al es*aJfc, furniture and fixtures.......
564.252 52
760,271 83
1,772,955 36
36,755 04
13 . , 32,355 16
lv 2,498 7.3
34,811 91
Carrent expen ses.......................................
110,203 50
239,857 £0
585.313 54
24,890 93
44,328 86
6.148 80
895 00
3,920 69
P rem iu m s...................................................
14,7(0 00
18,772 07
252,767 22
70
102,4 -5 04
743.355 64
87,552 04
Checks ai d other cash item s..................
6,637,093 01
594,392 63
£694,453 81 1 1,748,412 53
382,559 00
00
210,461 00
91,147 CO
879,087 00
162,663 00
Hills o f national banks.............................
L.329,687 fO •
701,662 (0
00
1,706 00
354 (0
4K5 00
5,543 CO
Bills o f State b an k s........................ ........
215 00
6,096 00
29,909 24
172,925 11
66 519 12
9,974 81
1?,680 41
42,675 52
Fractional cuirency.................................
59,345 65 '' l 192,735 33
1^,819 16
52,729 77
22,022 83
143,178 68
1 / 57,503 27
S p ecie...........................................................
41,337 17
88,775 95 ~ “ 232.227 01
477,221 04 M 581.984 00
4,457,134 00
7,414,694 09
00
Legal tender n otes....................................
1,424,5(53 00
2,340,739 091 5,397,439 no
00
20,000 00 ^ 115.000 00
240,000 00 ? 4,4S0,GC0 00
110,000 00
8 per cent certificates...................... .........
£205,010 00
1,055,000 CO
1870]
T ota l......................................... ....... ..
$190,5(3 093135 $15,665,682! 56 $41,069,220l 36 $77,753 913 43 $80,228,347 95 :$28,C36,548 93
$4,811,308 26 $7,416,437 04
L IA B IL IT IE S
Capital stock................................................... $73,218,100 0 $2,650,COO 00 $11,465,350 00 $24,055,240 00^$16,555,150 00 $9,000,000 00 $1,428,185 00 $2,348,217 50
4,974.495 56
975,000
002,451,''40 17
6,197,217 33
2,171,125 46
317,787 78
857,643 32
Hu-T'lns fu n d ................................................... 17,768,667 71
2,015,442 13
1,270.778 45
2,683,314 32
770.029 43
81,475 51
237,550 17
Undivided ur fits........... ..........................
^10 961 277 76
423,142 63
1,888,4 *7 0 1 9,2 57,762 00 20,579*358 00
10,985,605 00
6,662,262 00
1,186,2 *Y 00
1.732,960 CO
National bank noses outstanding.. . . . -----Z 34,* 83,075 00
l <4,8 >3 O')
93,070 00
17,182 00
121,185 00
90.404 00
16,664 00
23,375 00
St-ite bank notes ou tsta n d in g...................
243.974 0J
37,7 6,16) 94
2,514,872 85
8,294,887 55
1,435,763 54
6,993,445 77 13,“18,616 55 22,981,178 77
Jndividna'd p o - i t - ........................................ *190,523,446 53
416,034 52
25,941 58
38,289 16
29.407 95
204,773 59
76,731 72
72,672 32
United States f eposits .............................
253,692 98
24,333 94
{-7,729 03
37 555 29
17,5 <9 32
162,4 *3 27
D e p n s is o fU . S d ;sbursing o ffice rs ........
... ...
2,031,425 26
742,436*45
247,056 84
5,59*1*240*29
81.408 98
2.019,453 71 i 2,108,905 90
Due to na io al b a n k s ............................... 50,005,913 23
260,165 02
268,521 42
264,517 17
43,276 14
906,353 35
36,597 95
Due io other bank- and bankers ............. 12,90i,946 14
457,602 86
173 182 64
14,945 24
24,480 58
5,000 CO
12,500 00
Notes and b lls rediscounted.....................
.............
13,134 02
19,808 24
33,500 00
3,500 00
1,055 00
Bills payable .................................................
NATIONAL BANKS OF EACH STATE.
New Jer-ey. Pennsylvania. Pailadelph1;a.
N ew York.
Alb my.
Delaware.
Maryland.
P ttsburg.
Loans and d iscou n ts............... .................!$15?,3I'2,«3 81 $6,3 -0.574 06 $20,269,327 01 !$34,184,200 57 $37,301,; S3 66 $13,536,601 25 $2,1'0,6*25 66 $2,9».7,3>9 74
5,' 93 05
72,044 50
5 .671 39
33,-’60 04
27,- 57 36
O verdrafts.......................................................
■> 1.051 67
2 T, 2! 0 96
2,5f8 *J5
13,066,700 0)
2,184,1)00 CO 10,610,450 00 23,48-;,3 0 0)
2,008.250 00
United States bonds to secure c rcnlation 41.7. 2,4 )0 00
7,704,500 00 .3,348,200 00
1,1‘ 9,0' 0 0!)
30 .0( 0 0J
200,060 00
1.4 4,0 0 00
430,00) 00
200,00 ) (in
60,000 00
United -tat.es bo us to secure d pos t.s ..
200,0 >) 00
504,250 00
1,346.950 00
116,950 00
2,550,150 00
3,000
00 278,750 00
United States bonds & sedulities on hand
5 011,5 0 ' 00
168.950 00
283,622 84
1.0 15,983 24
3,412,577 37
92,643 86
267 811 14
Other stocks, bonds and mor ga^es.........
6,514,9^8 07
743,5.6 60
178,9 7 51
584,311 35
2,037,629 75
2.908.510 05
4,055,635 13
1,112, >70 63
353,165 24
Due from redeeming a-ei. s ........................
1,532,'70 50
981,129 60
2,206.563 80
159,795 71
1,277,545 12
2,531,357 67
130,112 35
454,711 10
Due from other i ational banks............... 13 952,536 43
25,935 02
460,982 30
1,806,73 •91
2S0.004 40
784,462 06
603,410 10
38.942 41
146,323 30
Due from other banks and bankers . . . .
1,311,416 41
598,-91 87
125,369 33
11 >,418 29
7, 22,039 95
801.097 30
1,663,316 91
282,800 00
Real estate, furniture ana fix tu res ...........
143,4)1 19
501.72 82
32,087 92
20,331 24
1.103,007 65
4 4,891 05
139/203 86
3,826 39
Current expenses..........................................
16,535 74
76,861 17
28,435 92
8 )5,5'*8 82
1.190 44
3 ’,497 33
3.014 50
89.905 47
P rem ium s.......................... ..........................
103,257 64
691,437 00
548,0.7 11
7.237,472 62
670,275 15
91.870 33
695,247 40
ChecKS and other cash ite m s .................. ... 81,029,623 72
508,931 00
320,416 00
557,444 00
c 6.946 GO
2,2,14ft 00
71,455 00
26,684 00
1,147 540 0)
Bills o f national banks.................................
13 194 00
1.108 00
7,219 00
1,252 00
1 .7 1 CO
3,279 00
1,115 00
7,811 CO
40.955 02
119 225 88
15.570 85
82,818 47
47,630 28
31*252 74
133,100 52
7,038 38
Vi actional currency......................................
19,704,589 45
52,711 95
56,430 46
269.826 91
4,847 85
40,527 06
16,282 20
43,288 57
472.471 CO
1.890,246 01)
4,168,406 00
6,398,529 00
1,139,083 00
1,850.92* 00
S65 504 CO
Legal tender notes . . . ............................. ., 2 {,333,561 00
40 000 0J
270,000 01) • 735,030 00
445,000 00
5,755,000 00
6S0,000 GO
100,000 00
Three per cent certificates........................ 27,995 000 00
te........
T o t a l ....
_ .
.$390,563,093 35 $15,665,682 56 $41,069,220 36 $77,7c8,918 48 $80,228,347 95 $28,036,548 93 $4,841,308 26 $7,416,437 04
K>
.
T o t a l........... ................... $31,9.6,167 40
$4,315,39043
N. Carolina. S. Carolina.
$1,401,8 l 08 $1,481,477 76 $2,260,108 S T
18.196 52
2,933 70
14,382 75
1,281,50!) no
445,100 00
277,001 00
100,600 01
S5.000 (0
1.000 no
24,649 16
140,751 07
38,170 79
218,548 41
102,133 36
57,603 59
38,940 81
25,516 00
<1,590 60
74,983 47
21,845 03
104.838 15
92,079 35
39,849 66
98,843 97
19,857 03
21.233 90
32,5 6 38
23.252 11
3,022 50
2,231 52
13,380 74
6,814 61
23,958 S8
68.076 00
101,075 00
80,035 00
2,432 00
15,886 96
18,102 67
4,568 40
3 >.822 22
46,238 80
13,913 12
585,049 (10
* 232,09J 00
809,201 00
75,000 00
$3,020,259 30
$2,400,314 60
$S 16,600 00
5^,185 03
102,0*0 65
379,390 03
$823,500 01
73,746 43
94,19 S 04
181,385 03
Alabama.
N. Orleans
$324,445 04 $1 412,289 *9
1 4 11
2 ),000 00
310,t00 00
1,20 ,000 00
550 00
101,000 ( 0
68,314 42
8,524 36
9,787 71
15,696 72
24,661 04
5 00
27,444 19
12,935 00
333,410
50,819
41.R41
184.121
31,719
77.000
303.757
12,851
3,013 61
lb ,920 82
114,70 j 00
’ "5,517 35
39.001 53
326,858 00
'ii'.noo'oo
98
97
70
47
58
00
78
00
$5,101,192 92 $1,038,909 02 $4,038,630 05
L IA B IL I T I E S .
T o t a l ................................ $31,9:6,167 40 $4,215,390 43
1,401.735 18
91,073 11
57,401 11
64.003 69
6,190 60
10,000 00
8.003 03
$1,500,001 00
186,900 00
231,760 77
1,147,300 03
1,02*7,510* i8
l,621*495*9i
.................
33,918 31
. . .............
72.225 48
129,276 33
162,612 61
4-1,018 68
44,979 81
v 26,680 CO
.................
............................................
$400,000
13,873
72.111
261,079
01 $1,300,000 00
15 ]
70.000 00
12
93,301 16
GO
1,051,793 00
286,351 56
1,482,764 92
732 65
4,761 £4
34,266 43
56,504 54
$3,529,559 32;j$S,847,7S3 16 $3,023,259 30 $2,400,314 66 $5,001,192 92 $1,033,909 02
$4,OSS,630 05
[January,
Capital S tock .......................... $1Q,*91.9S5 01
$1,050,090f0 $2,223,300 00 $2,116,400 00
Surplus F u n d .......
1,686,805 73
241,00000 169,275 l
286,531 69
95 4 >4 62
Undivided profits..................
850,06? 42
97,32647 16 >,259 t
N a’ ional bank notes ontsd’ g
7,671,29309
810,25500 2,060,480 (
1,886,578 00
756 00
state ba«k notes outstand’ g
145.433 09
.................
2,112,287 02
2,93*5,9 >2 t
Individual d p osits............... 9 2 2,947 07 1,496,870 62
U S. d e p o sits ........................
137,939 17
176,21966 348,27s ’
62,731 43
46,247 49
Deposits o f U. S. dis. officers
.................
107,854 <
117,445 86
275,412 <
Due » nat ora l b a r k s .......
1,941,808 01
433.69569
58,231 40
72,796
i
Due to other links & hankers
255/82 13
9,82299
151,999 1
N otts a 6 bills rediscounted
179 314 27
...............
65,166 65
22,000 C
Bills p a y a b le ...........................................................................
national banks c*1 eaoh state .
Haiti-nore. W ashington.
W . Virginia.
V D gin ii.
Loans and discounts............ $15,212,388 21 $1,4*7,507 3* $3,975 025 93 $2,842,9 5 11
Overdrafts...............................
11.3 U 93
18.07« 47
37,830 30
6',303 68
U. S. bonds to secure circnl’ n
8,007,50000
1,003,00000 2,329,00» 00
2,113.250 00
U .S .b- n d sto securedepo.-its
400,000 00
300,00000 i 52,000 00
203.0o0 00
U .s .b n d J& secnt’ son hand
51650 00
257,00000 3,500,000 (0
232, mo 00
Ollier stocks b nd*&mort,*s
8-24,06')97
10.83950
171.980 00
45,231 22
Dnefr«»m redeem ing agents.
1,310,44943
112,60255 179,335 96
219,951 43
Dua'frona other na ’ • banks
43«,91l 46
35,1 8 47
158,587 09
247.740 48
27,189 92
Due f m other b’ ks & b ’ kers
77.041 69
63,97609 116,436 55
Keal es.ate, furniture. & c ...
547,91517
247,34884 30»,225 75
2"3,462 01
Current exp en ses..................
154,648 61
80,23341
26,655 65
66 272 73
Pr?miums ..............................
34,518 75
18,89154
81,164 86
50.9 2 50
Checks and other cash items 1,855,412 22
66,769 52
72.195 74
270,956 16
Bills o f national ban ns.......
205,3>9 00
155,25900 127,703 ( 0
21/337 00
Bills ot' State banks.............
3,937 00
.............
1,444 00
750 no
20.692 64
Fractional c u r r e n c y .................
9,4'5 80
3,16048
15,579 83
S p e c ie .................... .
137,983
66
21,95524
9,739 40
73.361 43
Legal tender notes .............. 1,689,<11 00
293,53000 395.741 00
352.189 00
Three per cent certiflca ts ...
940,00000
220,00000
65,070 00
5,00 ' 00
00
-I
o
R 5 r O U RCEfl.
Loans and discounts.............
U
b • ds to securecircnl'n
U. ». » o; d~ t >secure deposits
U S b o n d s * seem ’ s o n hand
i d l e stocKe. bonds A m ort’ s
]m c from redeeming aire ts.
Duo from other >a t ! banks..
Due fi\ m other b’ ks & b’ kers
Ileal e tate, fur iture * fix’ s
Current expen ses....................
C .ie k s a n <1her cash items.
Bills o f i atioi al banks.........
Bills I f Si* e b a n k -................
Fractional curi eucy ..............
1 eg il tender r o t e s ................
Three Per Cent Certificates..
Texas.
$174,752 15
377 50
4*2,100 1:0
200.C00 00
30,700 00
12.210 25
52,396 80
12,433 02
50,853 05
17.224 48
12,812 51
17,879 42
8,512 00
30,707 10
1,778 76
311,303 13
70,527 00
T o ta l.................................. $1,779,5S0 47
Arkansas.
Kentucky.* l ouisville.
Pennessef\
O h io.f
$163,331 64 $2,327,018 07 *1,00,736 49 $3,231,527 75 $22,61'220 69
89,746 20
223,240 05
14,571 41
4,532 71
■,827 06
1,540,200 00 14,655,U0 (0
200.000 (0
1,822,200 00
903.000 00
786 5( 0 10
50,COO 00
5n,000 00
50,000 0
35 ,000 CO
20," 50 0)
1U8,5 0 00
1.417,150 03
87,150 00
55,950 00
73,821 7»
327,482 06
187,501 59
3,100 00
25,61 0 (0
27(i,9>5 04
157,933 06
412, <29 01
2,168,158 14
0,813 14
40,770 92
8.220 37
61,859 33
735.6 8 57
222 240 41
578,535 75
10,5 0 01
ICO,699 15
..123,877 88
81,685 09
17,481 76
I9t*,846 81
882,233 83
115,481 00
25,796 33
14,429 80
23,421 11
52,870 44
2,222 06
287,6:: 0 69
35,919 26
4 45
42,488 11
7,020 05
7.172 74
48,140 00
3 6 ’,131 10
3,531 20
9,906 14
217,402 03
44 ,538 00
2,758 00
37,030 00
10,151 00
11,028 00
90,426 74
18,820 87
960 05
4,618 28
7,609 38
11.244 90
14,533 n3
442 05
2,354 42
28,850 10
3,010,459 00
205,002 00
557,500 00
22.019 0J
340.113 CO
5,tOO 00
3', 0,000 00
$597,320 00
$5,292,234 03
Cincinna’ i.
Cleveland.
Indiana.
$5,812,10 95 $4,856,7-4 92 *16,10,8,5 is 89
21,706 69
133,779 56
12.182 24
12,923.(50 00
2,281,000 0)
3,428,000 00
576/ CO 00
3 0,i 00 03
1,075.500 00
567,6:0 00
14,5 0 00
fi558,«0 l 00
201.969 84
21,COO 00
5,240 r<0
1,6' 6 / 99 45
973,,-22 59
554,461 59
571,673 41
191,108 76
21.9,318 36
268.235 73
163,566 *7
144.510 93
719,744 73
198,072 75
169,808 32
159/04 29
97,942 32
38,639 14
24,317 76
908 43
2 9,1 f 5 92
164,-89 87
108,842 60
298,184 00
137 132 00
133,746 00
9,979 00
749 00
6,445 00
71,SIS 70
30/40 £3
12,503 M
46,770 14
2,284 92
19.347 17
2,245,395 00
586,858 0)
1,196,595 00
to.uoo co
290,Ot 0 00
125,000 CO
H
o
$9,984,809 35 $37,468,540 92
w
$ 2,630,993 76 *7,450,116 17 *49,030,713 98 *14,020,871 51
L IA B IL IT IE S .
Civ ita’ stock, - ...................
t u r . Ins fu n d ...........................
1 n ivid d profits..................
National bank notes outsta’ g
State b ink nutesnut-tani i ’ g
Individual deposits.............
United states deposits ........
D eposit o f U.S. IDs Ofilcers
Due to national banks.........
Due to other b mks&bankera
tes a <1 bills rediscounted
B i l s p a y a b e ..........................
$525,000
42,100
83,557
336,0x0
00
00
01
00
$200,000
37,124
516
178 S 7
561,709
65,081
62,718
45,966
7,428
16
(3
39
01
27
73,103
46,825
41,288
5 903
631
T otal.................................. ^ 1,771,5:0 47
00 $1,935,003 00
X03,259 69
06
131,219 20
94
00
1,561,056 00
18
43
69
67
03
1,256,212
47.019
7,850
34,285
105,973
10,32!
71
93
82
52
13
00
10,000 03
*597,370 00 *5,232,231 00
$950 0 0 CO $2,017,950 00 $15,379,700 00
2,835,134 45
193,203 51
1*7.813 54
99,0 >2 40
238,986 14
1,380,858 06
788,028 10
1,145,1S8 UO 12,941.476 00
68,573 00
475 612 19
3 ,3 0 '/ 93 54 14.S35.7M 18
139,781 60
48 >,812 15
23,524 53
169,214 61
H 0.100 05
103 477 40
3 8,764 98
120,294 82
45,020 89
259,278 02
46,658 28
167,373 11
35.480 48
3,000 00
110,910 00
$3,700 000
570.813
2 8,451
2,901/70
3,863,415
236,829
2,210,839
328.649
00 $3,100,000 00 $13,1S7,000 0
2.815,4 0 34
614,326 34
71
360, Of 0 87
836,209 95
23
1,832,482 01) 11,805.2-6 00
00
10,512 00
7,795 00
2,919,299 67
8.456,164 63
26
176 675 56
28 ,2 '6 67
72
139/630 13
327,635 28
163.083 CO
24
90,668 01
117/69 90
35
140.95 26
5,000 00
250 658 78
800,00 J 0J
w
>•
Cfi
o
>►
O
ft
H
H
•
$2,680,993 76 *7,450,110 17 $49,0:0,713 98 $14,020,871 51 $9,984,£09 35 $37,463,540 92
C*
K>
RE80U K CE8.
T ota l..................................$23,647,733 63
$28,425,079 50 $12,111,64S 86 $6,861,873 S7 $0,823,341 33 $3,826,802 63 $13,890,878 62
$6,440,989 22 *4,043,794 17
L IA B IL IT IE S .
T ota l..................................$33,547,739 06
$ 5 /0 0 000
1,7 4.500
523,539
4,3 2,681
f 0 $3,835,000 00 $ t,770.000 00 $1,860,000 00
413,816 96
00
9 <i,063 81
375,00! 00
51
135,4 0 80
201,-78 45
277.778 04
2,854.2 9 00
00
949,451 00
1,6 .7,587 CO
1,070 00
10.799,801 77 3,851.0‘>5 68
2 ,7-8/38 81
2,522 931 93
165 001 32
38.719 09
40 0 3 75
52,29 s 81
3*0. 63 41
1.971 43
211 123 03
35,047 91
2 / 07, m 71
42 'l l 18
27,98 i «‘4
2,13dj 18 16
i« , 785 rs
82. *61 r0
. 00, 22 32
2C0>04 45
44,000 00
17.7C0 00
2. '.62 > CO
S.0.8 CO
5,816 0J
$28,425,079 50 $12,111,642 66 $6,861,813 87
$6,829,347 35
$850/00 00 $3,742,000 00 $1,780 003 00 $1,060,000 00
8 12,761 32
180,128 SO
286,012 31
210.567 88
: 01,561 84
<0,6*0 0
417,106 00
220,163 28
693,400 00
1,49
,3.0 00
3,035.076 00
663,016 00
250 00
2,326 00
2,254 (0
1,375,245 21
2,156 613 23
5,251,8?0 26
1/35,053 33
139 986 17
100,583 56
0 407 51
131.532 00
182,635 18
264 27 > 40
14 .949 99
‘.19,11* 2 1
71 18i 54
106 « 05 60
29.009 Ot
55,248 39
11 /P 8 53
10 453 81
34,913 17
33 495 25
10,000 CO
82, tOO 00
30.000 00
18.919 50
55,520 30
.................
$3,826,802 63 $11,390,818 62
$6,440,939 22 $4,016,194 17
\ J an W ry,
Capital s tock ........................... $6,57/000 03
Surp us filed ...........................
1,« k4,000 52
Undivided p-ofits ..... ........
69-1,043 78
N ti nal hank notes outs\a g 5,47.5,946 00
S at,phanknnte< outstanding
1,732 00
lir*ividua! deposits............... 8,123.125 67
United s t tos deposits.......
451 7’ 0 81
Deposits o f CJ. S. is. Oth ers
3182 4 64
D u eto Nat onal Pa< ks. .. .
1-.0 0 0 88
Dn« 'o other banks&hankets
66,9 7 65
3s. 00 71
h otes and bi Is Rediscounted
Bi Is payable...........................
19,603 00
NATIONAL BANKS OF EACH STATE.
W isconsin.
Illinois.
Michigan.
Chicago.
Detroit.
Milwaukee.
Towa.
Minn s'da.
Mis-'onri.
L o fr and discounts...........$10/53,785 29 $14,027,1 0 43 $5,951,1S4 31 $3,413 802 15 $3,113,726 89 $1.510.622 46 $6,358 352 31 $2,913,349 35 $1,7:9,308 74
Overdraft-*...............................
253.969 94
88.605 20
131.86'* 26
11,6 8 69
31,397 1 <
66,271 58
11 ',U 9 OS
67,1*9 96
2 .70 71
U. rs. bond* to secure circnl’ n 6,-Pft,850 00
3,271/00 00
1,093,8 0 00
1,87 9,55ft 00
4,955,u00 00
791.5C0 09
1,718.21-0 0?
3.595.750 00
797,900 00
U b.mds to secure de osits
531.«.iro <0
30'.006 00
1C0.0 ft 00
250,000 00
300,000 01
355,0 0 00
30 ‘,00 i 00
100 000 00
U S. bonds, etc., on hand..
7S.500 00
411,450 00
117,450 00
176,250 00
3*,900 CO
199,506 00
22,050 00
65,9 0 00
O h r stocks, bonds& m ori’ s
160.312 82
42.003 33
249,981 .34
194,587 28
22 562 22
75,649 *5
881.683 37
22s,fl 5 81
Due from rpdeem ng agents. 1,377.585 31
646.528 90
550,711 51
739,137 25
340.267 CO
1,760,507 78
3 2.376 43
179 8S0 01
188,566 49
485,047 40
Due fr m national ba ke___
510 360 13
215,597 65
2 7.173 16
65,722 87
248.377 96
207,532 08
163,851 55
110/80 74
Due from oth r bks <fc b ’ kers
199.831 57
62.1*2 34
16!,6,>2 37
34.589 85
101.2-J0 11
27/02 59
9 5/6 7 57
149,988 '5
92,004 46
Rea! e*<at*\ Mir dture & fix’ s
514,516 24
296 747 14
113.757 34
123,114 21
107,672 82
514.029 -3
14?,874 26
359.296 77
95.109 89
Current, expen ses..................
34.813 50
33 .214 43
195,441 61
72,852 44
54,76> 58
13/10 47
118,928 98
45/00 59
23.037 88
12,033 49
P rem u m s
......... ..................
4 151 81
6,330 84
22,184 47
3,998 92
20.118 21
24.264 03
13,459 86
42,510 0?
179/49 68
Checks a d other c sh i ems
113.176 72
1,726,258 07
83,8*8 30
204 877 70
241,671 74
126.071 41
93,540 tO
44,556 09
Bills o f national ba- k s .........
4S7,035 03
96,512 <0
33.835 CO
55,180 00
286,405 0)
15,8 62 00
52,844 00
93,450 00
260,447 00
Bill o f St, te b in k s...............
.................
.................
P I 00
396 00
344 00
to (0
176 00
410 00
Prac ion d currency...............
33/75 12
29,257 18
61,008 58
47,536 65
32,811 83
24.357 55
45.155 94
18,365 61
7.229 72
S p e c ie ........ ............................
85,373 25
17,77! 62
9,27 J 95
1.00 i 00
10,8 !0 85
1,945 90
33.0'6 «5
7,826 27
40 0 9 78
L eiral tender n o t e s ............... 1,604 87 4 0 »
4'0.178 00
454/04 00
3,079,2‘i4 00
787,659 00
1,1*9,7? 7 00
483.526 00
339.310 00
272.3 >2 00
'j h i e e p r cent c rtificates..
500,000 00
40,0; i0 00
150.01 0 10
1UJ,( 0 ) 00
f 0.000 (0
15.010 00
25,000 00
f 5,010 00
10 000 00
1870]
R E OUROES.
Loans and d iscon n ts..
O v e r d r a f t s ...........................
$18,559,188 8 4
Capita' s tock ....... .
Surplus fu d .........
Undivided profits..
, $0.810,S00 00
624,765 40
493,852 04
: 3,46 -,811 00
;
37,523 00
4,18 ,-81 72
18,516 52
1
...............
752,324 €0
640,439 08
435,000 00
1,040.7*0 48
$168,334
10,063
200,900
350,000
1 9,10
6.322
126,785
85,713
1,3 )5
43,070
6,421
4,385 03
2,799 05
75,652 00
12,093
214
110,827
10,000
64
71
00
00
00
69
46
63
76
31
85
6,851 94
14,445 00
61
81
00
60
$943,056 63 $1,159,291 49
Nevada.
$2,743,040 58
Ore on.
$116,824 81
20.261 03
1(0,091 09
£0,000 00
59,550 03
44,884 91
Idaho.
$73,647 64
) 0,530 73
75,000 00
Montana.
$123 574 47
2.969 33
40,! 00 00
20,000 0J
09
97
26
67
00
Colorado.
$5)1,211 65
20,721 59
297.0 0 0)
150,00 ) <0
5,500 09
16,217 29
234,722 15
74, *98 20
67,105 55
97,744 00
£0.054 43
9,959 SI
50,9 6 62
24 592 00
1,331 39
19,782 72
121,959 00
2,634 07
2t,5*7 12
160,175 00
3 0 10
23,431 15
19,509 00
44 45
6.563 22
23,4t>9 00
$537,512 74 $1,797,839 43
$359,043 97
$252,711 73
$100,r 09 00
$100,000
10,600
19,-21
35,955
09
00
7r
00
$100,000 00
75.525 29
26,954 4»
60,y87 66
66,524’07
29,504 S5
13,971 06
$359,048 97
$252,714 U
2,203
2,913
5,912
6,887
35,000
18,024
3,250
2,041
43,67 i
17,2-6
29,509
12,575
8,581
3,310
51
£0
20
11
37
66
32
25
00
2,391
357
37,785
12,9S2
753
82
01
12
65
05
7.9 7 09
1,250 09
L IA B IL I T I E S .
Dae to National banks.......
Du to o her banks & oank"
N otts and bills re discounts
B ids payable.........................
T o ta l............................ $18,559,133 31
00
90
73
60
385.357
20,656
121,761
4,809
9,665
94
81
21
14
85
$200,000 00
-9.814 18
17,668 68
173,000 00
281,629
36 211
273,198
.24,941
32,637
73
71
35
69
15
$500,COO 00
£3,600 liO
94,649 97
16?, 196 00
1,341,754
221,265
129,139
33 0*7
74,796
123,257
£6
09
17
49
82
48
6,000 00
11, <97 17
83,225 00
N o report.
Individual deposits
U. >. deposits.........
$200,000
12,847
27,9S7
159,970
114,670
51,384
193 012
1,394
22,528
95
60
47
S3
21
$350,009 00
78,000 00
76,539 46
254,000 .0
77 '*,728 77
138,408 66
35,3 >0 16
53,914 SO
33,45 J 63
4,563 78
5- 87
62,600 CO
NATIONAL BANKS OF EACH STATE
Tot-1..
$2S5,8si 45
11,291 71
182,0U0 (10
50,000 00
28,350 CO
2 'M S 98
63,256 33
139,859 85
8,289 08
25,518 32
9,956 22
2,956 78
23,3i8 78
10,060 00
N o r e P°rt-
U. S. b *iids to secure c i c u l ’ n
U.S bonds to secure deposits
U. 3. bonds, etc. oa hand ..
Other stocks, bonds& m -rt’ s
Due trom redeeming agents
Due trom national banks .. .
Due from o'h er bks & b’ kers
R^al estate, furniture & tix'
Current expenses................
Prem ium s.............................
Checks and other cash items
Bid* of national banks.........
Bills o f State banks....... .......
Fractional currency..............
Specie.......................................
Legal tender not!:8................
Three per cent ceitiflcates..
$9,008,45 ) 37
43,627 n
3,93^,450 0>
180,000 00
141,750 09
1,564,272 34
486,762 15
102,689 01
133,303 32
342,713 94
143,415 92
156,399 49
337,0 -6 85
262.5S3 00
1,70.) 00
23,86S 16
80,969 OS
1,079,139 00
509.609 60
Nebraska.
$996,497 28
15,294 59
235.000 00
450,(00 00
219.000 00
92,307 HI
166,134 56
99,426 45
40,731 29
100,092 £0
24,614 56
11,490 44
41,141 19
41,433 00
92 00
24,71S 62
8,^86 29
176,380 00
62,200 09
$913,056 63 $1,159,291 49 $2,743,010 58
$587,512 74 $1,797,839 48
10
26
THE INDEBTEDNESS OF OUR CITIES.
[.January,
TOTAL RESOURCES AND LIABILITIES OF TIIE NATIONAL BANKS.
The following is an abstract of the reports made to the Comptroller
o f the Currency, showing the condition o f all the National Banks of the
United States, at the close of business on the 9th of October, 1869 :
RE S O U R C E S .
Loans and d iscou n ts................................................... w
Overdrafts.....................................................................
United : tites bonds to secnre c'rculation....................
United States bonds to secnre d e p o sits ........................
United States bonds and securi ies on band...............
Other sto( k -, bonds a d n o rtg ;g e 3 ...............................
Due from redeeming: a ents ............................................
Due from National b a n k s .................................................
..................
Due fr m oiher banks and bankers.....
Beal estate, f>irniiu;e and fix tu re s .......................... . . .
Current expenses...............................................................
Prem ium s..............................................................................
Checks and other cash ite m s ............................................
Bills of National b a n k s......................................................
Bills o f State b a n k s .......................................................... .
Fractional cu rre n cy ............................................................
S pecie........................................ ..........................................
J egal tender notes.............................................................. .
Three Per Cent Certificates.............................................
$679,517,795 15
3,365,311 82
33!),48D,100 00
13.704.000 00
25,903,050 00
22 250,697 14
56.609.562 84
35.393.563 47
8,790,418 57
25,: 69,188 95
5,616,382 96
2.0 )2,364 85
j OS,717,642 37
10,776,023 00
92,175 00
2,090,727 3H
23,( 02,405 83
S3,719,295 00
45.815.000 00
$1,497,226,604 33
Total.
Cap’tal s t o c k .........................................................
Surplus fi n d ..........................................................
Undivided profits.................................................
National hank notes outstanding......................
State bank notes outstanding............................
Individual deposits ..........................................
United States d ep o-its........................................
Deposits o f United Siates d isburdng officers.
Due to Na io al b a n 's ..... ..................................
Due to otti r banks and bankers......................
N otes and hi is red ecou n ted ...........................
Bills p a ya b le........................................................
$426,399,151
86,165,334
40,687,300
293,593.645
2,4-.4 697
511,400,198
7,1’ 2.648
4,516,618
95.067,892
23,8)9,371
3,839,357
2,140 363
00
32
92
00
00
63
67
12
83
62
10
12
$1,497,226,604 33
Total
THE INDEBTEDNESS OF OUR CITIES.
An exhibition of the financial condition of our leading cities is very
instructive, as an indication o f the extent to which they have been encum
bered with debts and their growth and prosperity naturally impeded, by
the increased taxation requisite to meet the interest and maturing prin
cipal of such debts. Considering the statement in this view, it must be
acknowledged that our cities as a general rule, are in a sound and healthy
financial condition, their debts bearing but a very small proportion to the
amount o f their taxable properly, and within such limits as to be eas'ly
manageable with judicious legislation. It will be noticed also that the
sinking fund principle has been extensively applied in the government of
their finances, and the amounts held in this way are in many cases equal
to a vtry large proportion of the who'e debt. The table which follows
contains a summary o f the total indebtedness of each city, the amount of
its sinking fund, the property owned by the city in the shape of stocks
THE INDEBTEDNESS OF
OUR CITIES,
27
bonds, or other assets apart from the sinking fund, and the assessed valua
tion of taxable property within the coiporate limits.
Par value o f prop - Assessed val
uation o f tax
Gross amount
erty owned by
able prop. rty.
Citie3.
o f funded deol,. Sinking fund.
the cn y.
Alexandria, V a ........... ....
$9 i 8,356
....
Augus a, G a.........................
1,143,750
$1,243,810 R .E , $6,500,000
4,483,432
Au U'ta, M e........................
303,000
Bangor, Me...........................
2,792,000
2,558.700
403,673,700
R. E ., 15,006,000
Boeton, M ass................ - . . a 16,9'9,500 $6,869,989
Br’ klyn, J.m, ’68.................. , 1 14,139,419
934,810
Burlington, l a ......................
700,000
R.E., 7.'*8.265
Buffalo, N Y .........................
858,500
36,516,263
17,632,274
24,917,985
4,3S4,9S5
Baltimore, Md, . . . ............... .
85,121,419
Cleveland, O.. ....................
1,008,883
1,581,100
5,196.0i '0
891,624 R.E., 2;,000,000
Charleston, S.C....................
Chicago, 111.......................... .
11,600 000
160,000
Columbia, S .C .....................
367,0 0
Columbus, G a......................
195,000
395,800
R. E ., 3,500,000
Concord. N. H .....................
379,000
Davenport, l a ......................
450,000
..
D esM oi es......................... .
50,000
Detroit, Mirh.......................
3,272,195
R .E , 3,037,313
67,146
Evarsvi le In d.................... .
631,301
16,063,377
inlianai,oi t ..........................
5 509 yearly.
225 000
Jersey City .........................
R .E „ 210,450
2,424,429
112,3 !5
Leavenworth, K ...........—
49 t,ni 0
Louisville. K y......................
4,952.199
1,549,543
Lynchburg, V a.....................
537,823
4,201,330
698,385
59,700
Mad son, In d . ....................
74,500
Memphis, 'J'enn..................
2,713,000
[33,000,000
3,623,792
Milwaukee, W is .. .............
705.000
M on tiro.neryA .la..............
566,030
R . E ., 5,000,GOO
518,000
Mobile, A a ...................... . .
536,000
1,262,503
New B i ford........................
788,000
• ....
Norwich, C t.........................
350,010
New Haven..........................
360,000
....
New l o r k c r y . . . , ............... .
35,000,010 1?,ooo,obb
908,433,337
Do
c o u ir y ..................
17,000,00-)
A ewport................................
174.118
5,000 annually
NewjOrleans......................... .
10,740,850
650 000 annually
....
N ew ark.................................
471,000
2,301,000
Peoria, I I .............................
919,0U0
80,01)0
Philadelphia......................... .
86 737,735 11,916,488
463,904,989
P rovidence..........................
1,400,000
400,000
Savannah, G a ......................
2,048,740
1,311,000
Utica, N.Y............................. .
750,000
Portland................................
4,711,900
3,365,650
747,500
28,-*72,473
W ilm in g ton ,D tl.................. .
500 000
5,U00,U00
Pittsburgh.............................
3,160,000
Rochester, N .Y ................. .
666,000
ban Francisco...................... .
4,709,100 1,298,234
'106 414,028
St. Joseph, Mo .................. ..
490,000
12,000,000
600,000
St. Loni?, M o ...................... ., 12,642,0U0 40,000 to 75,000 yearly
....
_
W hile it appears from these figures that the financial condition of
cities is generally good, there are a few exceptions to the rule, in which
the corporations are in an insolvent or embarrassed situation, either from
unwise and careless legislation in issuing bonds, or from a decline in the
value of their taxable property, which could not be foreseen. For instance,
in the city of Galena, III., the following figures, showing the decline in
value of taxable property since 1858 are given by the Council Committee
of Finance as a reason why the interest on a debt o f $200,000 can not
be paid.
Years
City
assessed.
assessments.
1S56.........
$>,212,674
1837......................
2,317,488
1858
........... 2,!88,C63
1859
........... 1,43 ',£24
1860
........
1,436,940
Years
City
assessed.
assessments.
1861 .......................$1,281,751
1862 .....................
920,4.45
1863.........................
785,839
1S64..........................
697.461
1865..........................
644,020
Years
City.
asse-sed.
assessments.
1866 .......................... $443 502
181)7............................ 447,4:46
1S63..........................
443,911
28
th e
I n d e b te d n e ss o f o u r c it ie s .
[January,
An unusual ir 13rest attaches to the circumstances of Galena, as the
former home of President Grant, and from his characteristic remark—
now become historical— that the only political honor he desired was to
be elected mayor of Galena and have a plank walk laid on his street.
Considering the financial situation of the city, it is probably as well that
the walk was not laid. It is also fortunate that the General afterwards
modified his views slightly, so as to be willing to include the rest of the
country with Galena under his magis- tracy. From another Western city
we have the following pertinent reply : “ Our city is now in an utterly
insolvent condition, and the aggregate of her debt is so large that the
publication of it in your valuable journal would give our city undue
notoriety, the details of which could be no possible service to others than
the creditors of our city, with whom we have to communicate personally
to make settlements.” And from a prominent city in one of the border
States the following: ‘*So great is the disorder in which we find the
affairs of the city handed over by those who for several years have con
trolled them, the statement you desire cannot be furnished.”
These instances, however, are quite exceptional, and indeed the only
ones out of some sixty cities, in which the financial condition was posi
tively bad.
Investments in city lands and city bonds are among the most favored of
any in the country, as experience has shown that the rapid and steady
increase in wealth and population renders these investments probably
more safe and profitable than any other one class which can be named.
As to their bonds, the security offered in the whole taxable property of
the corporation is far beyond the security of ordinary railroad or company
bonds,and is always increasing as the city grows; while in comparison
with the obligations of States, the city securities have the very important
advantage that their owner can sue and obtaian judgment for his demand,
whereas a State cannot be sued by an individual; this simply means that
States can repudiate, but cities cannot. Attempts have been made from
time to time on the part c f several of the smaller cities of the West, to
refuse payment of their bonds issued to railroads, and after much litig.f.on
in both State and Federal courts the following conclusion seems to have
been arrived at, as stated by the Des Moines State R egister:
“ The confi ct in the decisions and order-* o f the State and Federal Courts on the
question o f the payment o f certain bonds issued by various cities and counties in this
State for the purpose o f aiding in the construction o f railroads, we are glad to know,
is substantially at an end. The late decision o f the State Supreme C >urt, in thecasa
o f Jrs. Holman et. al. vs. Harry FultoD, settles the question so far as any interfer
ence by the State C 'u rts with the processes o f the Federal Courts is concerned ; and
the Federal Courts having already determined that all the power o f tha government
under the control o f the Court should be used to enforce its mandate for tiie collec
tion o f these hoods, there seems to be no other alternative than for the cities and
counties who have i-eued their bonds to go to work in good faith and honestly to
compromise or pay them .”
1870]
29
RAILROAD EARNINGS.
F or the purpose of showing the price at which city securities are cur
rent, we give the following table o f the ruling quotations at which the
bonds or stock of the principal cities are now sold, and these prices, w
think, will generally be found to be higher than the prices of railroad or
other company bonds belonging to the same localities, and bearing the
same rate of interest:
City.
Ter cent.
New H aven_____
....
B ro o k lyn .............
Jersey City.........
Philadelphia.........
Baltim ore............
R ich m on d ...........
Char eston...........
Savannah............. ........
M obile..................
7
7
Price.
100k(fa... .
95
99
102 k; 0,103
10C%@-----92
.......
89 @ 99
91>S@.......
73 @ 73X
60 O .......
86
.......
76 @ 78
City.
Per cent.
Memphis................
Pittsburgh............
Chicago..................
Cincinnati.............
St. Louis .............
Hetroit .............. .
L ou isville.............
St. J. seph............
San F ra n cisco.. . .
P rce.
60
7
7
6
7
7
9 l> m i0 0
‘t i y M 93J4
H> @ 90
SO @ S 2 «
!'9*@100>4
74 (Cfr 75
85 @ 95
RAILROAD EARNINGS FOR NOVEMBER AND FROM JAN. 1, TO DECEMBER 1.
The returns of Railroad Traffic for the month of November are generally
favor-able, most o f the roads showing a considerable increase over the same
month in 1868 as we anticipated.
The continued large business on the leading Western roads has had
the natural result of inspiring confidence in their stocks, and has done
much to assist in placing financial affairs upon a healthy basis again, after
the ruinous gold panic o f September last. The most conspicuous line for
large increase in earnings last month was the Milwaukee and St. Paul, the
total earnings being $801,163, and the increase over the same month in
1868 nearly a quarter million dollars. The Chicago and Northwestern
shows an increse of $36,946, Chicago and Rock Island $51,011, Lake
Shore and Michigan Southern $61,313, Ohio and Mississippi $23,391, and
other roads a similar improvement.
Central Pacific (gold)........... ..............................................
Chicago and A lton.............................................................. ..
Chicago and Northwestern ...............................................
Chicago, R ock Island and P acific......................................
Cleveland and Pittsburg...........................
....................
Clev., Columbus, Cin. and Indianapolis...........................
Illinois C eitra l.......................................... ..........................
Labe Shore and Michigan Southern.................................
Marietta and Cincinnati......................................................
Michigan Central............................................. ............... .
Milwaukee and St. Paul.......................................................
North Missouri.................... ..................................................
Ohio ana M ississippi............................................................
8t, Louis, A lton and Terre Haute....................................
T otal
1869.
632,000
403,691
1,144,029
475,600
219,735
271,555
825.055
1,124,745
131,019
448,419
801,163
248 433
298,027
183,143
1868.
..........
409.568
1,107,033
424,589
19»,9S7
262,798
699,532
1,063,432
119,169
410,825
556,917
112,340
2 '4,6'6
175 379
Inc.
Dec.
..™
5,877
36,996
51,011
28.448
8,757
125,523
61,313
11.850
•'<7,594
244,246
136,099
23,391
12,769
!!!!
. .’
$7,111,324 $5,807,255 $777,945 $5,877
The protpects for December would seem to be, that the earnings will
be about the same as those of the corresponding month last year. Decem
ber is usually one of the dullest months o f the year, and as the traffic is
30
THE CHESAPEAKE AND OHIO RAILROAD.
[January,
comparatively small at best, no important increase or decrease should
be shown.
As eleven months of the year 1809 have now passed it is easy to
determine very nearly what the earnings of the whole year will be, and
to compare them with the earnings of previous yeais. If the year 1866,
for instance, be compared with the year 1869 the differences in earnings
will ^appear most conspicuously. If such a steady advance should be kept
up in the business of the roads for the next four .years, it would appear
that the highest prices at which the stocks of these speculative favorites
have ever sold, even in periods o f excitement, would be fully warranted
by the actual value of the several properties. It is not probable, however*
that such a large and continuous increase can be realized, and if the year
1870 should be only as favorable as 1869 has been, no depreciation in the
value of s ocks should be anticipated. This comparison is very favorable
to nearly all the roads embraced in the succeeding table, and shows that
a very steady, and in some cases remarkable, progress has been made in
traffic during the past four years. The following table will show the
comparative earnings of the principal lines for eleven months:
EATi3Eir.es ABOMJANUARY 1 TO DECEMBER 1.
1869.
1868.
Inc.
Chicago anti A lton........... ............................................ $ t,330,085 $4,116,997 $183,088
Chicago and Northwestern. ....................................... 12,647,693 12,390,535
157,158
Chicago, B ock Island and Pacific...................... ..
4,886,909 4,372,048 514,881
mow ci nl
Cin and Indianapolis..............................
Intiiananciis. ...................
Clev.,“
o l ,. Cin.
3,873.34!
2,688.281
1S5.063
7,140,273 7'4,438
I l in c i Central ............................................
7,854,711
Lake Shore and Michigan Southern............................ 11,870,038 11,087.832 782,250
Marietta and Cincinnati..................................................
1,281,193 1,172,687 103,n.OO
4,374,621 4,179,143 195,478
Michigan Central.............................................................
Milwaukee and St. Pan....................................................
6,653,190 6,''48,765 601,425
Ohio and M sslssippl......................................................
2,660,647 2,72 ,173
St. Louis, Alton and Terre Haute...... ..........................
1,844,867 1,767,862
77,505
T o t a l..
. $61,177,348 $57,715,0S1$3,422,798
C eo.
60,531
$60,531
TIIE CHESAPEAKE AND OHIO RAILROAD— A NEW ROUTE TO THE AVEST.
A railroad from the port of Norfolk, on the Atlantic coast, to the nearest
practicable point on the Ohio .River, has ionar been contemplated as a favorite
project by capitalists in this country and in England. Much progress has in fact
been made already towards completing the proposed line, as the Chesapeake and
Ohio Railroad (formerly the Virginia Central), extends now [frem Richmond,
Va , to Wi ite Sulphur Springs, Ya., a distance of 227 miles. The completion
of the line through to the Ohio River has been commenced at different times,
both previous to and since the war, but the work has each time been discontinued
frem various causes not particularly afRcting the present subject, except that it
was never stopped from any impracticability of the route.
A t a recent meeting of the stockholders of the Chesapeake aDd Ohio Railroad
a contract was ratified with certain prominent New York capitalists, under
which the road is to be completed to the Ohio River without unnecessary delay,
1870]
THE CHESAPEAKE AND OHIO RAILROAD.
31
and the Dames o f the contracting parties furnish a guaranty in themselves that
if undertaken by them it will in all probability be carried through. The con
tract entered into is to complete and equip the road to the Ohio River at the
mouth of the Big Sandy at a cost of $15,000,000— 310,000,000 for construc
tion and $5,000,000 for equipm ent; distance to be built, 200 mi'e3.
A s this line, when finished, will form a new trunk route from the Atlantic
coast to the Western States, it is worth while to inquire into the traffic and
earnings of the old established lines, and the prospect of the new route for com
manding a share o f our immense East and West business.
Th re are now four great trunk lines o f railroad between the seaports o f the
At'antie coast and the Upper Mississippi Valley. (1) The New Y ork Central and
Lake Shore (2) The Erie and A tlantic and Great Western (3) The Pennsylvania
Central. (4) The Baltimore and Ohio.
E ach o f these has its interlocking
branches and extensions, but practically they constitute the four through lines
connecting the Ohio V alley with the great centres o f population at the East.
It is instructive to note to what dimensions the tonnage of these several trunk
lines has grown. The increase in live years is shown in the following :
N . T . Central,
.
ton -.
1863...................................................................... 1,449,604
1867.....................................................................
1,(67,924
1863.. ................................................................ 1,846,559
Erie,
tons.
1,814,634
3,404 546
3,903,243
Pa. Central,
tons.
2,454,076
4, 00,538
4,723,0,5
Balt. & O.
tons.
934 378
*1,557561
....’
The gross earnings o f these four roads were, for 1868:
New Y otk Central,
$14,381,303 ; Erie, $14,376,872 ; Pennsylvania Central, $17,233,497; Baltimore
and Ohio (1866) $8,698,425—or a total o f nearly fiftj^-Sve millions per annum for
the four roads.
A s yet, railroads cannot successfully compete with vessels for the transportation
o f heavy freights over loDg distanc s ; it becomes important to secure, therefore,
the shortest distances between navigable waters. A glance at the map will show
that ihe westermcst limit o f tidewater navigation, north o f Cape llatteras, is
found in the indentations of the Chesapeake Bay, while the eastermost limit o f
leliable river navigation on the other side of the Allegbanies is on the Ohio
River at about the same latitude. The distance between these points o f water
transit is about 400 miles, with a series of favorable passes through the mountain
ridges. The maximum grades along the Baltimore and Ohio route are 116 feet
to the mile, those along the Pennsylvania Central 90 feet to the mile, and on the
Erie 60 leet to the mile, while oa the Chesapeake and Ohio the grades are said
to be low reaching only 75 feet at ODe or two points. In cirrying freight, low
grades are of the greatest importance. It is not difficult to perceive tue several
advantages o f location which have a'tracted the attention o f prominent capi
talists, and induced them to put the enterprise on a new and improved financial
basis, and to undertake the construction o f another Grand Trunk Line from the
seaboard to the west. The region traversed by the new road between the waters
o f the James at Richmond, and those of the Kanahwa and Big Sandy Rivers
abounds a l o in the best coal, (both anthracite, bituminous and splint), as well as
iron, Ealt, timber and productive farming lauds, so that the advantages of cheap
fuel and a considerable local traffic would be added to the others which have been
noticed.
NEW RAILROADS IN MINNESOTA.
2
[January,
NEW RAILROADS IN MINNESOTA.
The following interesting statements in regard to the railroads o f Minnesota
are from the St. Paul P ion eer:
A s the season for active operation in extending these different lines o f road is
about closing, it n ay be o f interest to learn what progress has been made in
railroad building in Minnesota during the past year. The year 1869 will be
long remt mbered as cne peculiarly unfavorable for railroad woik. The spring was
backward, and she greater portion o f the summer and fall months marked with
heavy rains.
Y et, notwithstanding all the difficulties that contractors had to
meet with, the season’s work shows in the aggregate that 244 miles o f road has
been built and put in operation, divided among thediffirent road3 as follow s:
St. Paul and Pacific (Main Line), to Chippewa Eiver, 90 miles west of Crow
R iv e r; total, 171 mile3 from St. Paul. The grading will be continued biyond
Chippewa River until the weather compels a suspension of work.
A s soon a? practicable the work will he resumed next spring, and the road
completed to its terminus at the western boundary o f the State (some 75 miles)
early in the season.
Lake Superior and Mississippi R oa d.— 47 miles have been completed and
pat in running order during the year, making a total o f 77 miles from St. Paul
toward Duluth.
I t is expected that the road will be completed through to the lakes and trains
running regularly early in A ugust next, in time to move the next harvest of
wheat.
St. Paul and Sioux City R oad have extended their line o f road from Man
kato to Crystal Lake, a distance o f fifteen miles, and in conjunciioa with the
Milwaukee and St. Paul road have completed the new line across the Mis
sissippi River and brought the care from the western and southern portion of the
State directly into the city, thus giving St. Paul an all-rail eastern connection.
The Southern Minnesota Road have built their line from Ramsey, a point of
junction with the Milwaukee and St. Paul Road, to Wells, at distance of forty
miles, to which freight and passenger trains are now running regularly.
W inona and St. Peter R oad.— This company have addfd twenty miles to their
road during the present season, leaving only fifteen or eighteen more o f road to
build to complete the entire line to St. Peter.
S t. Paul and Chicago Road.— This new road has sprung into existence only
during the present year, and has Dot made so much progress as the other rail
roads in Minnesota.
The grading has been done and the iron nearly laid from
St. Paul to Hastings. That portion o f the road may be ruuning in Decemb r.
Hastings and D akota Road is another new road. D nriu ' this season it has
been extended from Farmington, where it crosses the Milwaukee and S t Paul
road, to Lakeville, a distance o f ten miles, and the cars are running regularly to
that point.
This gives 794 miles of completed road ia the State, divided among the
different companies as follows :
g t. Raul & Fa i3 c (Main and Branch
L in e).........................................
Milwaukee & St. Raul (M ia Div ) ............... 131
Lake Superior & M ississip p i..................... IT
gt. Paul & S ioux C ity.................................... 101
Total................................ ..............................
W iron a & St. Peter.
.......................... 128
Southern213
Minnesota
......................
SO
Hastings & Dakota.
.......................... 30
St. Paul & C hicago..........................
20
.......................... 791
33
DEPARTMENT HEPORTS.
1870]
. Department fteports.]
R E P O R T OP TH E S E C R E T A R Y OP
THE TREASU RY.
T reasury D epartment, Dec. 6, 1869.
1 have the honor to submit herewith the annual report o f the doings and
condi ions 'of tin Treasury Department. In this report I naturally treat first
the mitter-* o f ad iiinistration and their measures o f public policy.
The officers in charge ot the various bureaus and divisions of the Treasury
Department have faitblully performed their duties, and I commend their several
reports to the consideration o f Congress.
The Treasurer of the United States has prepared an el iborate report setting
forth the condition of the Treasury and furnishing a resume i the business of
the Treasurer’s office f our 1861 to the present term. The long and faithful
servie s o f the pre ent Treasurer entitle him to the gratitude o f the country.
The report ot the Commissioner o f Internal Revenue is respectful y com
mended to the attention o f Congress. S nee the appointment o f the present
Oommiss oner the administration o f the office has been constantly improving.
The lt crei se o f receipts for the first five months ot the present fiscal year, in
th jsu m o f 5514,43L,333 06 over the amount cohected in the first five months o f
thejtast fiscal year, is satisfactory testimony to the ability ami integrity o f the
persons employed in that branch of the public service. The amount paid by
wat rants lor collecting the revenue from Customs during the fiscal year ending
June 30, 1868, was 556,378,385 43 and for the year ending June 30, 1869,
555,376,738 13, showing a decrease of $1,001,647 30. The decrease in the cost
o f collecting the revenue has not been attended by any loss o f efficiency in the
service. On the other hand it is believed that the means for the detection o f
smuggling are better than ever b lore, and that the Custom House service is
aDo constantly improving. It ought to be understood that the chief means o f
ollecting the revenue, and enforcing the Revenue Iaw3, must be found in the
dmiris ration o f the Appraiser’s Dep rtment.
The frauds and losses arising
from actual smuggin g are unimportant when compared with the losses sustained
through the incompetent or di.-honest examiners and appraiser?. Assuming that
hone3t men may be obtained lor these important positions at the present
salaries, it is yet true that an incomp tent apprais r or examiner may daily
subject the Government to losses far exceeding the amount o f his samry. Under
existing laws certain revenue officers, and other persons appe ring as informers
are entitled to shares in tines, penalties and forleitures. During the fiscal y. r
1868-69, the Treasury Department distributed the sum of $286,073 61 to sue i
officers and to informers in the various cases arising under the Customs and
Revenue laws. A large additional sum was also paid through the Internal
Revenue office. The reason on which the laws granting such allowances are
bas;d, is that officers o f the Government are stimulated to greater activity
inHhe discovery o f fiauds and in bringing offenders to punishment.
There
can be no doubt that such is the effect o f this policy, hut the experience I
have had in the Treasury Department has convinced me that the evils attending
th ; system are greater than the benefits derived from it. It often occurs that
revenue officers are led to assert claims in behalf o f the Government which have
no just foundation in law or in the facts o f the respective cases, and where real
claims exist it is often the object o f the informer and officers who snare in the
penalties to misrepresent the case to the Government so as to secu e the greater
advantage to themselves. But a more serious evil is found in the practice quite
general of allowing persons to pursue a fraudulent course until a resu.t is reached
which will inure to the benefit of the offieeis and informers, instead of checking
criminal practices at the outset. It is impossible to set forth in exact language
3
34
DEPARTMENT REPORTS.
[■January,
the character of (he evils that grow out o f the present system, I am, however,
clearly <f the opinion that the Government ought to r ly upon public officers for
the proper performance o f their duties without stimulating them by any contingent
advantages. I have elsewhere recommended an increase o f salaries of Cusiom
House officers, and the abolition of the system of giving to them a share o f the
fines, penalties ard forfeitures will be an additional reason for the increase of
salaries in this Department of the public service. It has become a practice (or
clerks and other persons who have held office in the Treasury Deparlm nt to accept
employment as agents or attorneys for parties having claims against the Depart
ment; and there is reason to bel eve that in some instances the info mation
obtained while in the public service has been used in aid of the claimants.
W ithout detailing all the objections to this practice. I respectfully suggest that
a law be passed tarring jersois from practicing before the the Treasury Depart
ment as agents or attorneys in behalf of claims that were pending when such
persons were officers o f the Department.
In March last there were employed in trie Treasury Department at Washington
2,848 clerks, messengers and laborers, at a monthly cost o f $285,921 51. A t
present the whole number o f such employes is 2 441, and tbeir monthly pay
amounts to $238,280 84, showing a decrease o f expenses at the rate of $ 371,688 04 fper annum. It was found necessary, however, during the periods men
tioned, to increase the force in the InternalRevenue office, and in the office o f
the First Comptroller.
Ties increase, in
the aggregate, is at the rate o f
$80,440 per annum. Tbi3 statement does not relate to the force employed in
the Bureau of Engraving and Printing. In March last there were sixty-tw o
special agents in the Department, receiving in the aggregate for their services
$371 10 per day. Each o f these agents made his reports to the Department
and acted under its direct orders. The number at present empioyed is fiftyfour, and their daily p iy amounts to $368 85. The pay o f the agents ha3
been increased generally, in the hope that more efficient services might be
obtained. The sea coast and frontiers o f the country have been divided into
sixteen special agency district', and a superintendent appointed for each. A s
sistants have been appointed and detailedto act under the
several district
agents. The ordeis of the Department are in all cases sent to theagent in
charge of the district, and the reports ol his assistants aremade to him. The
age t i3 required to nuke a monthly report o f his own doings, and o f the
doings o f his subordinates.
The resulis tha3 far obtained appear to justify
the organization introduced.
Arrangements have been ma e for the manu
facture o f paper for the currency and other obligations o f the Unite ! States and
for the printing o f the same, which increase the security o f the Government against
unlawful issues (rom the genuine plates. Under the eleventh section of an act
approved June 30,1864, entitled ‘ A n A ct to provide w>ys and means for the
support o f the Government and for ether [urposes,” a p culiar paper has been
designated as the Government paper, and by that act it is made a felony-for ary
person to have or retain in li3 possession any similar paper adapted to the
making o f any otiligaticn er secuiity of the United States, except under the
authority o f the Secretary c f the Treasury or some other proper officer o f the
United States. Arrangements have been made for the minufacture o f thi . paper
by Messrs. W ilcox & C o., near Fh ladelpbia, and the mills owned by them,
which are cx6!usively devoted to this purpose, have been j lac id antler the super
vision of the officers o f the Government, and such precautions have been taken for
the custody o f portions of the machinery as to render it improbable that the
paper manufee ured can be obtained by dUIrtn st means. It is received by an
agent o f the Government stationed at the mills, and upon the requisition o f the
Department it is shipped to the National Back N ote Company, the
Am eiican Bank N ote Company, or to the Piinting Bureau o f the Treasury
Department, as the case may require.
Arrangements have also been m ale
with each of the tw o Companies mentioned for preparing one set o f
plates for eve y issue o f currency or other obligations. The Engravi lg
and Printing Bureau at Washington prepares a thin set, and each office places
1870!
DEPARTMENT REPORTS.
.35
an imprint npon every obligation o f tire government. Notice o f the transmis
sion of paper from the agent at the mills, and its receipt by each o f the several offices
of the deliveries therefrom to the Sealing Bureau in the Treasury Department, and
also o f deliveries to the Treasurer o f the United States, is given each day by telegram
or by letter, and on the fallowing day the accountants in the Treasury Department
prepare a statement showing the disposition o f every sheet o f oaper manufactured.
In the month o f November the paper at the mill, and in each o f the several printing
establishments, was carefully counted, and the i esult compared with the accounts in
the Trea ury Department. In an aggregate o f about 7,000,000 o f sheets received by
the agent at the mills, discrepancies were found to the extent o f sixty sheets o f frac
tional currency paper, and for the money value o f which the c >mpaiies doing the
work are responsible. It is believed that these arrangements furnish better eecurity
than has heretofore exisled against the fraudulent issue o f currency, or other
obligations o f the government, by the use o f the original dies or plates, and the
system o f the frequent examinations o f the several establishments intrusted with the
work will disclose at once a y discrepancy in the accounts. It is not probable
that the changes made will diminish the expense— indeed the cost is greater than it
would be if the work in all its branches were done in the Treasury Department. la
my judgm ent, however, the additional eecurity is o f more consequence to the govern
ment than the mere econom y o f money in the expense o f engraving and printing.
The maiine hospital service o f the country is, upon the whole, in an unsiti.fac
tory condition. Several hospitals have been erected at points where at present
they are not needed, while the great com m ercal cities like New York, Philadelphia,
and Baltimore have no hospital for sics and disab'ed seamen. A careful examination
o f these institu' ions has been made by Dr. Stewart, an agent o f the Treasury D e
partment, and by Dr. Billincs o f the United States army. The resuit o f these
examinations is that several hospitals have not been properly managed ; that others
should be closed, and that hospitals should be erected at New Y> rk, Baltimore, and
Philadelphia. Measures have already been taken for the sale o f the hospitals at
several places where they are not needed. The hospital at New Orleans is repre
sented as un uitable, from bad location and other circumstances. The W ar Depart
ment is in possession o f suitable hospitds at New Orleans and New Y ork, which, I
am informed, are no laager needed for the use o f the army. I respectfully recom
mend that they be transferred to the Treasury Department. The revenue-marine
system is an important and expensive branch o f the customs-revenue service. There
are thirty-six vessels belonging to the Department, o f which twelve are sailing
vessels and twenty-four are steamers. T hey vary in size from 40 to 480 t ns. 173
officers and 2,400 men are required to man ihese vessels, and their running
expenses amount to about 8865,000 a year. Four o f these vessels, side-wheel
steamers o f 480 tons burden, are lake steamers, and out o f commission. They are
rapidly diminishing in value, while the care o f them involves an annual expense
of about $70,>'00. The vessels c o w in the service have been purchased and built
at various times, end, as far as I can ascertain, without special reference to the
nature o f the duty to be performed, and certainly without any matured plan. From
one-balf to three-fourths o f the w h o'e number are not adapted to the business.
Congress recently appropriated $300,000 for the construction o f four additional ves
sels, and proposals were issued and bids received under the au hority thus conferred
upon the Secretary o f the Treasury, but no contracts have yet been made. A n
examination o f the eubje.t has forced the conviction upon me that it is inexpedient
to incur the expenditure until the Department is in possession o f more accurate and
complete informatirn. I shall, therefore, take the opinion c f a board o f competent
officers upon the following p oin ts: First, the size and character o f vessels required
by the nat re o f the service they are to perform ; secondly, whether they should be
constructed o f iron or wood, or o f a combination o f these mate.ials. W hen the report
o f the Commissioner shall have been received, proposals w ill be issued for the
construction o f four vessels as authorized.
In addition to the present mint at Philadelphia six branch mints have been estab
lished at various times in different parts uf the country, one at San Francisco, one at
N ew Orleans, one at Charlotte, N . C ., one at Dahlonega, G a., one at Denver,
Colorado, and one at Portland, Oregon.
Since the commencement o f the war the branches at N ew Orleans, Dahlonega,
and Charlotte have been c lo se !
A n assay office, it is believed, w ill satisfy the
30
DEPARTMENT REPORTS.
\January,
necessities o f the mining interests o f Colorado, and for the present only a limited
business will be d >ne at the Portland Mint,. Indeed, with the construction o f rail
roads, and the consequently increa-ing facilities for ci mmunication, I am of o. inion
that the business o f coining will be chiefly at one mint upon the Pacific and one upon
the Atlantic coast. Under an act o f Congress, passed in ly 23, 1866, preparations
are making for the sale o f the mints at C haihtte and Psshlonega. The mining
and ec ining o f the precious metals is now so large a i ational interest that it
deserves mere attention than it has hitherto received.
A t present t h e e is ro
bureau or <filter in the Trearuty Dipartmerit at Washington charged specially with
the management o f this gre t interest. I therefore recommend that provision be
made for the appointment o f a p r i p e r c f f i c r to be intrusted with this branch o f
the public business, under the direction o f the Secretary o f the Treasury.
The coinage o f the country is Diminished in amount by the fact that in England
and France the mint expenses are much less than with us. It would no doubt have
a tendency to prevent the export o f the pr cious metals in Ihe form of bul.iou if the
mint charges were to be re uced or altogether abolished.
An agreement was made on the 11th day o f February, 1869, between the
Secretary o f the Treasury on behalf o f the United States and certain parties in
California, easing a lot o f laod in -an Francisco known as the Custom H use block,
for the peiiod o f twenty-five years. This lease is s u t je it t o t h e condition th t it
shall be void i f C ogress, on or before the 1st day ot January, 1870, shall take
adverse action in reference thereto. In view o f the fact lliat the lease is for a long
period o f time, and being o f the opinion that the Government should retain control
o f property that may be needed for public purposes, I think it expedient for Con.
gress to annul the lease.
Considerable progress has been made upon the foundations o f the Post Office
building in the City of N ew Y ork, a n i o f the Post Office and Independent Treasury
building in the C.ty o f Boston. The supervising architect o f the Treasury D epart
ment is o f the opinion that the v a ils and roofs o f the buil lings may be com p eied
during the next year if sufficient appropriations are furnished.
The works have
been under aken, I am o f opinion that it is economical to make ths necessary
appropriations for their speedy completion.
During the month o f December the Department w ill be prepared to submit a
report upon the condition o f our commercial marine. That rep irt will sl o v t h i t
the navis a: ion in erests o f the country have not recovered from the hisses sustaiue 1
during the war, and that efficient mens res are necessary for its lesto ation.
I
cann<t om it to call the att niion o f Congress to the inadequacy o f the ealarms paid
toofficers in the T ream ry Department who exercise discretion t n l who e acts bind
the Go>einment, or effect directly its expenditures or revenues, ciome o f the salaries
w e r : fixed when the Government wes organized— others whi n new ofli er w u e
added, and but few o f them have been increased recently. It is unquestionably true
that persons having equal ability and clothe I with similar responsibility r c e d e d
much larger compensation from individual and corporations, and although ma >y o f
the officers now in the public service are likely t ) continue from the circum -ante
that their vocation has lo t aside from the ord nary channels o f business, yet, as an
act o f ju stiie to them and in the interest o f the Government, I earnestly recom m e'd
an increase o f tl e:r pay.
Speaking generally, this increase o f ] ay should be
extended to revenue officers in the Ci stones service, such as Collectors, Surveyors,
N oval Officers, and es] ec ally to A ppraisers and Examiners in the Appri is r’s Depart
ment. Should the recommendation to repeal, the laws granting shares o f penalties,
file s and forfeitures lo public officers Jbe adopted, it will be Lecessary to increase
the salaries o f Colleclors, Naval Officers and Surveyors at all (he principal ports of
the country. It is a plain truth that the Government has no right to e vpect ihe
service o f such competent men as appraisers and examiners at the present inadeq ate
salaries.
In the larger c 't ’n s they are insufficient for the Bupport o f a family aad
under such circum dances the Government is not without res JOiiii ility when it places
its officers in such a position that they are compelled to ch toie be w e t ai.-hme. t on
the one hand and penury on the othei. The salaries c f the Assistant Treasurer
and the principal officers should also b8 increased and for substantia.ly the same
reasons. It has been found impossible for the last few years to retain the services o f
the most efficient clerks in the Treasury Department except by additions to their
lawful salaries, through an appropriation placed in the hands o f the Secretary for
that purpose.
1870]
DEPARTMENT REPORTS.
37
The distribution o f this appropriation is an unpleasant duty for the Secretary
and cannot be performed without producing jealousies and dis ontent among the
officers of the Department. Speaking generally, it may be said that the heads of
bureaus, chief clerks, and clerks in charge of divisions, are inadequately compen
sated fo»* the services they perform. The routine bu-ine98 of the Department can
be p u f rm edia a satisfactory manner by c erks receiving the compensation now
p ov (led by law, but men on whose discretion and judgm nt the Government relies
tor the pr per transaction of the business of tl e country, and whose labors are
not limi ed to the ordim ry hours of duty, shou d be made to feel that the, a n
prupei y compensated. '1 here are two changes in t eoryanzition of the Treasury
De artui-nt which I consider im jortmt. The first change to which I refer is the
rreation of a C ief Compt oiler of the Tre sury, who shall be authorized to c mtrcl
t .e Sysie n of i ccountmg by the several Auditors and Comptrollers, an 1 to whom all
appeal shall be made upon questions arising in the accounting offices of the Treasury,
The creation of tiiis *ffice, clothed with the powers indicated, will give uniformity
to the accounting system, and f trust it wi 1 be in ihe power of th •officer - ppohited
to si nplify the system ana materially reduce the expense of the Department in this
particular.
Ihe second change to which I call attention is in mv opinion even more important.
A t pre^vnt there are ei ht d v iio n s in the Secretary’s « ffice whose duiies are con
nected exclusively w iih th e Customs revenue system. There is no person, except
the ec retary o f V e T.easury, who is au horized by law to i a s finally, or in
any w ay authi r tatively, upon ques ions a ising in the admi istration o f the Cus
toms Revenue laws. A t the present time the revenue from Cu toms is as large as
the revenue from the excise system. The number o f men em ployed an 1 the field
o f its operations are m arly s great. It is impos-ible for the Secretary o f the
Treasury to give the various questio s that arise in the administration o f the system
that attenti >n which is essential to the service. The duties - f superintending t fe
collection o f Customs revenue are so varied, delicate and imoortant as to justify
an 1 require the exclusive attent on o f the mo t competent person whose services can
be obtained. The expe ierxe o f the present year in the administration o f lh.j internbl
revenue system and the c >lemio i o f the excise tax justifies the opinion that the
establishment o f the office o f Commissioner o f Oust ms Revenue, corresponding
in powers and posit on to that o f Commissioner o f Internal Revenue, and the appoint
ment o f a com etent c mmissi ner would render the ex cution o f the Customs’
Revenue laws much more tfficient and harmonious, whi e the revenue would proba
bly be incr^as-d to the amount o f many millions o f dol ars annua ly ; nar is it
probable that the expenditure would be mate ially greater.
Ioclu .ing interest earned and not paid and deducting c»sh on ban 1 the debt o f
the United States on the first o f March last, waa $2,525,463,260 01, and subject to
the same conditions it was $2,453,559,735 23 on the first o f the pre ent month, show
ing a decrease o f $71,903,524 78. This apparent decrease o f the public debt is less
than the actual decrease. Considerable sums have been paid on account o f war
and other old claims, not previously ascertained, and therefore not included in any
debt statement. The account o f March 1, from ihe necessity o f the case, included
only the interest accrued and not then payable, but as a matter o f fact there were
outstan ing and over ue interest coupon*, and th se, several millions have since
been paid out o f the ordinary revenue. Previous to March 1 no interest account
Lad ever been kept with the several loans; such measures as were foun l prac
ticable have since been taken to ascettain the exact condition o f the«e a ounts.
The bonds issued by the United States in aid o f railways, amounting to $62,625,320,
being in the nature o f a loan, are not included in ihe foregoing statement. During
t h e y ar endi g luoe 30, 1859, there was an excess o f rejeipts over e x p ‘nd turee,
including the interest on the public de t, o f $19,453,149 46 ; o f this excess $12,992,370 03, as nearly as can now be ascertained, arose previous to March 1, an 1 the
remainder, $36,460,779 43, between that time and the first day o f July
Tnis excess
was applied from time to time to the purchase o f five-twenty bonds, and the excess
o f receipts since July 1 has been used in the same manner. The purchases
amounted in the aggregate on the 30th day o f November to $75,476,800. As a
large part c f the tx c e s s o f receipts was realized in coin, sales of «/o!d have been
made from time to time, and the proceeds applied to the purchase o f b inds. With
the exception o f the sa‘e o f moderate a uouats o f coiu in Chicago, New Orleans,
38
DEPARTMENT REPORT
[JaniMry,
St. Louis and Baltimore for the paym ent o f duties, the sale o f gold and the purchase
o f bonds have been made uniformly through the agency ol Ih < United Stales Treasury
in Kew York, and without m y tx j ense to the Government except the con paratively
small amount paid for a d v e r t in g the proposals. The average premium on gold
sold since March 1 has been 32 8-10 per cent., and the, average premium paid for
bonds has been 16 98 100 per cent. ; upon this basis c f the sales o f gold and the
purchase o f b nds, the average price paid for bonds iD coin has been 88 55-100 per
*cen\ T he act o f Feb. 25, 1862, pr« vided that the coin receive i for duties upon
imported g oo s should annually be set apart as a sickirg fund to ti e extent o f one
per centum o f the entire debt o f the United States. In conformity with this require
ment I l ave purchased bonds to the amount o f $20,044,8t 0 , ai d design ted them
as belonging to tbe linkin g Fund. These purchases are a substantial compliance
with the statute. From the 4th o f March last I have i ot felt m yself audmrized or
required to make any pr< vision for the time that elapsed after the p esage of the
act, and previous to the commencement of the administrate n. W ith the excess
o f means at my command, I have purcha ed bonds in addition to those purchased
for the Sinking Fund to the amount o f $55,432,000. These are held as a special
fund, sul je c t to the action o f Congress, and 1 respectfully recommcna that 'h e y be
added to the Sinking Fund, and that any further purchases that may be made be so
added until the gross amount shall constitute a lund equal to that which would
have been created if there had been no oe ay in the execution’ of th i law. The
depreciation o f currency is due to two causes: Fir.-t, an excessive i-sue, and,
secondly, to the want o f faith in the Government, and the extent o f the infl tnce o f
the first named cause cannot be ascertained until the second is r moved substan
tially
W henever our credit shall be so much improved at home and bre ad that
holders o f our bonds a»e disposed to retain them even when the public mind is excited
upon financial subjects, we shall be able to ju d ge more accurately the ex 'en t o f
the overissue c f paper money. It is also true that the quantity o f currency nece
ssary for the transaction o f the business of the country cannot now be fixed accu
rately. {Since the close o f the war the wants o f the States of the fc-outh have
increase:1, and consequent y a large amount o f currency lias been withdra n from
other sections to supply the demand there created. The amount nec^ sary for the
South will steadily increase for the te x t two years.
The construe ion o f the Pacific Rai road is likely to result in the substitution c f
pap- r for coin by th - people on the Pacific cosst.
It is probab e that m e d mand
lor paper for that purpose will not be less than $30,000 O '0. As a consequence,
a very large quantity o f coin will be withdrawn from circulation^ and tiiua prac
tically the ctin will be incressid upen the A tiam ic coast, ami the paper in circu
lation in t 'e State-* e st o f the R ocky Mountains will be m iteriilly redu c'd. These
changes will tend to diminish the d tference between paper and coin.
The a lility
o f the country to resume specie payments will not be due to anv special legislation
upon that subject but to the condition o f its i dustries and to its finantial re at ons to
othes countries. These, o f course, will be more or less dependent upon the general
policy o f the Gov- rnment. The war exhausted the onritry o f its material wealth,
and the States o f the {South were literally impoverished. A necessary condition for
the resumption o f specie payments was the developm ent o f the industry o f the
ration, both South and North, and the consequent accumula ion o f movable products
<f industry to such an extent that our experts o f those pr 'ducts should be equal
substantially to our imports. So long as is necessary to pay f»r n e cha dise
imported by the transfer o f G ov rnment bonds or other evidences of indebtedness to
other count-ies, so I•■nsr it will be impracticable to resume and ruantam r pecie pay
ment. W hen thi products o f industry exported shall te equal, substantially, t> the
products o f other countries imported, there will be no d* maud for specie f t e x fo r t
except wh*t may arts* from the ci*< imsta.tces that our bonds held abroad are s*nt
i ome, sold in ot.r markets and the proceeds exported in com. Wr.en he ertdit f
he country shall be fully established m Eun pe, and there ehall be no oubt « uuer
•f our ability or dis osition to meet all < ur ob igations, 1onds, heretofore and now,
to a large extent he
by merchants and bankers, will be tr .nsfenvd to capitalists
for perm nerd inves ment.
When this change shad have taken place, the prohahili y
o f our securities beintr s. nr home under the influence o f political or fir.anclal d is tu n ances in England will be very slight, and wfien as a c< ncurriog ta« i, our expor 8
exclusive o f public securities, shall be equal io our imports, spe ie payments may b i
resumed without evena temporary embarrassment to the business o f the country.
1870]
DEPARTMENT REPORTS.
39
One o f the most efficient means o f strengthening the country in its financial
relations with other countries i9 the development o f our commercial marine. The
returns show that a very lar^e amount o f the foreign trade is in English hands.
W e are not only thus deoendent upon a rival country for the performance o f the
business which should be in th’e » ands o f our own people, but our ability to maintain
specie pay •ents is materially diminished.
I f the entire foreign trade o f the
country, both o f exports and imports, were carried on in American ships, the ear
nir g3 would not be less than $7 ,000,000 a year. A t present the freights o f the
fore;gn trade in American ships do not exceed 828,000,000. W ere the trade exclu
sively in American hands, a targe p^rt ot this difference o f $47,000,000 would be due
to citizens o f the United States, and payable in other countries. This amoant
would be thus added to our ability to pay for goods imported from those countries.
If, fir example, an American citizen purchase in New York, a thousaud barrels o f
flour for $6,000, and export it to Liverpool in an American vessel, and it is there
sold for $7,000 a bill o f exchange may be drawn against the proceeds, and an
in v o ie o f goods o f the value o f $7,000 purchased in England entirely liquidated,
although at the Cust m House at New Y o k, there would be an apparent balance
against the country o f $1,000.
But if, on the other hand, the thousand barrels o f
flour are exported in a British vessel, the proceeds o f the fl.»ur realized in New York,
and which can be applied to the payment o f goods bought in England, will be only
$6,000, and there will remain an actual balance against the country o f $1,000. This
familiar example shows the imp rtance o f reestablishing our commercial supremacy
upon the ocean ; and I deem it, therefore, essential to our prosperity that the ship
ring interest o f the country be fostered, not only as a nursery for seamen, but also
an essential agency in enabling the Government to institute and maintain specie
payments. It is an interest also which, in its development, s as important to the
States and people remote from the seacoast as it is to the maritime sections. Every
additi< n to our facilities for the export o f the products o f the interior is as advan
tageous to the producers as to the merchant* and shipouilders o f the coast.
W hile I do not anticipate that it will be necessary to delay resumption until
our proper commercial po-ition is regained, I am satisfied that the development
o f the navigation and shipbuilding interest will improve the credit aud rapidly
augment the wealth o f the country.
The sugsuggestior.s that I have made
indicate my opinion that it will not be wise to resume specie payments while so large
a part o f the interest bea ing debt o f the c untry is repitsented by five-twenty
bonds and held by European merchants, bankers and manufacturers. Questions that
have been raised in reg-.rd to the nature o f theobligati n assumed by the Government
in the issue o f these bonds, have undoubtedly deterred many persons from purchasing
them as a permanent i ivestment, an 1 consequently t'>ey are largely held in this
country and in Europe for speculative purposes by persons who de3 gu to put them u; on
the mar et whenever the advance shall furnish a sufficient inducement, or whenever
politic.il or financial disturbances may create a demand for money for other purposes.
It is probable that from seven to nine hundred millions o f these bonds are now held in
Europe, and to aconsiderable extent by persons who will dispose of them under the
influence to which I h ive referred. Such a panic as existed in Europe in 1866 at the
opening o f the Austrian and Prussian war would be likely to induce the return c f a
sufficient amount to this country for sale, to embarrass business, and in case o f re
sumption, to cause the suspension o f the banks. It is therefore, in my judgment,
essential that the larger part o f t h ' five-tw enty bonds be withdrawn, arid that other
bon s be rubstit it^d in their place, issued upou terms and conditions which admit o f
no d ou b t.. In line, the practical question is not mere y the resumption o f specie
payment as a measure by itse lf; it is not difficult, but the problem is to resume
under such circumstances t at the po iti n can be maintained, not only in times o f
tranquility, but also in periods c f excitement and p eiil. Our course, it seams to
me, is pla-r. Everv measure o f the Government bearing upou the sul ject should tend
to appreciate the value o f our paper ci rrei cy. It is p enable that some decrease in
the volume o f paper w.ll i It raateiy be necessary, and I therefore respectfully suggest
that the ecretarv o f the T eas ry be rlittied with authority to reduce the circu
lation o f United S ates notes in am u.n n >t exc.je ling $2,000,000 in any oue month.
Thus will the coun ry b« brought gradually (it may be, and yet without disaster)
into a coudit on when the resumption o f specie payments will be easy, if not una
voidable.
40
DEPARTMENT KEPORTS.
[January
On the I st of December, 1869, the principal o f the public debt o f the United States,
not deducting bonds and cash on hand, amounted to $2,605,286,786 82. O f this
amount the sum o f $856,118,258 50 is represented by United States notes not bearing
interest. The larger part o f this is needed for circulation, but the amount can be
reduced from the ordinary revenue o f the country, if Congress shall consi er it
expedient to make provision for such reduction. The fractional currency in circu
lation v a s $88,885,564 68, and there is no occasion for any legislation in reference
to this item o f the public debt. There were outstanding, also, certificates for gold
deposited in the Treasury to the amount o f $86,862,940. These certificates are
redeemable on presentation. These three items amount in the aggregate to $4 31 861 788 18, and in m ating provision for the public debt they a’ e riot reeeesary to be
considered. O f the loan o f Jan. 1, 1861, the sum o f $7,022,000 is outstanding and
payable on the 1st o f January, 1871. The loan o f 1868, f $20,000,0 0. is p a y
able in 1873. The bonds known as ten-forty b>nds. am unting to $194,557,300 are
not payable until 1874. The six per cent bonds, payable in 1881, amount to $283,677,000.
A 8 toe bonds known as eighty-ones and t n-forties, amounting in the aggre
gate to $478,244,900, are not due and cannot be paid previous to 1874 and 1881,
it is unnecessary to consider them in making provision for a new loan. The fivetwer ty bonds, am ounting in the aggregate to $1,602,671,100, are either due or will
becom e soon due ; and it is to this class o f tne pub ic debt, and this class alor e, that
attention should be directed. O f this amount, the sum o f $7 ,477,800 ha9 been pur
chased since March la«t, and the bonds are now held by the Government. Before
any measure for funding the five twenty bonds can be consumated. the Government
will be able to purchase $75,000 0 0 - more. There will then remain on the 1st
o f July next about $1,450,00", 00 o f the five twenty bonds in the hands of the public
creditors
Of the er t re indebtedness o f the United States, only the unimpor ant sutn
o f $27,000,000 will be due and payable previous to 1874.
Under these circumstances it does not seem to me to be wise to authorize the
funding o f the whole amount o f the five-twenty bonds, which as is now anticipated,
will be outstand ng on the 1st o f July n ex t; but that $2 5 0 ,0 0 ', 0 at least should
be suffered to remain either for purchase or redemption previous to 1874. Should
the sum o f $250,C00,000 be left for that purpose, the entire pul lie d -b t woul be in
a condition to be easily redeemed. Between 1874 and 1881 the tm -forty bonds
could be paid, and provision also made for the redemption o f the bonds wh'ch will
become due in the year 1881. It may be wise to reduce the proposed loan to
$1,000,000,000, which would then leave fi>r payment previ us t-> 1881 the sum o f
about $67 ,000,000, or hardly ra re than $60,(h 0,000 a vear. Assuming that the
proposed loan will be for an amount not exceeding $l,2<i0,000,000, I recomrm-n t that
it be offered in three classes ( f $400,000jO00 each, the first class o f $400,1
n 0 ,Ot 0 to
he payable in fifteen years, and to be paid in twenty years ; the second class o f
$400,000,0 0 to be payable in twenty years, and to be paid in twenty-fiv<" years, and
the third class o f $400,000,000 to be payable in twenty-five years, and to be paid ia
thirty years. The essential conditions o f the new loan appear to me t » be these :
First— That the principal and interest shall be mad - payable in coin ;
c >nd that the
bonds known 9s five-twenty bonds shall be received in exchange for the new bon ds;
third, that the principal be payable in this country and ihe interest pa\ able either
in tne United States or in Europe, as the subscribers to the loan may desire ; fourth,
that the rate o f nterest thail not exceed 4-£ per cent per annum ; fifth, that the
subscribers in Europe shall receive their inteiest at London, Paris, Berlin, or Frank
fort, as they may e le c t; sixth, that the bonds, both principal an t interest, shall be free
from all taxes deductions,or abatements o f anv sort unless it shall be thought wise
to subject citizens o f the United States to such tax up n income trom the bonds as
is imposed by the aws o f the United States to such tax upon income derived from
other money investm ent. There are two reasons, and each seem to me to be a
controlling reason, why the bonds o f the United States should be exempt f'r >m State
and local taxes. If not so exempt, the amount o f the taxes im po.ed by the local
authorities will be added to the interest the government will be required to pay,
and thus the national government will be com pelled to provide for taxes imposed by
the local authorities.
Secondly —Inat-much as the ability to borrow may under some circumstances be
essential to the preservation o f the government, the power should not, even in
times o f peace and prosperity, be qualified by any concessions to the States o f the
1870]
DEPARTMENT REPORTS.
4
right to tax the means by which the national government is maintained. The right
to u-e its lawful powers free of any condition, restriction, or claim of another is
an essen a\ condition o f sovereignly, and the national government should never sur
render o'- equality its powers in this particular. In offering the new loin citizens
and su'jects of other governments should receive the strongest assurance that the
i te est and p* in< ipal are to be paid in coin according to the terms o f the bonds issued,
without any deduction or aba empnt whatsoever. In order to avoid the necessity of
emp'oyi g agents for the negotiation of the loan, I respectfully recommend that a
liberal commission be allowed to subscribers, and that those who fi 8t subscribe be
permitted to select the class of bonds in which their subscriptions respectively shall
be mad *. I further recommend, in connection with the proposed I -an, that the
ban! s estab'ish^d under the act to provide a national currency, be required to sub
stitute the bonds that may be issued under the proposed loan act for those now
deposited as security for the redemption of their bills.
Shou'd any bami be unwilling to accejit the new condition, provision should b9
made for the surrender o f its charter, and authority given for the orgamzation o f new
banks to supply the deficiency thus cheated.
An essential condition to the success o f the proposed new loan is the continuance of
the present revenue system. A chief means by which the present holders of th efivetw en'y bonds can be induced to surrender them an 1 receive a b'-n i upon longer time
and at a lower rate o f interest is the certainty funds' ed by the magnitude of the
national revenue that these bonds are soon to be redeemed. W e must be prepared
to offer them the alternative, either o f accepting the new bon t at a lower rate o f
interest, or payment o f the principal o f the existing bonds. When the five-twenty
bonds shad have been funded to the amount o f $l,O00,°00,000 or $ ,*200,000,000
the revenues can be red ced materially, and yet sufficient sums be rais »i to meet
the ordinary expenses o f the government, to pay the interest on the public debt, and
also to pay $25,000,000 to $50,000,000 o f the principal annually. Should our
success in negoti iting a loan be equal to my expectations, based upon the fact that
the ability and di-p^sition o f the people of the United States to pay the public debt
are si fficient t j stify me in assuming that the bonds o f the United states will com
mand the highest rates in the ma-kets o f the world, we shall then be in a condition
to e» ter upon the work o f reducing taxition at th« commencement o f the next session
o f Congress. On the 30th o f June 1868, the am- unt o f outstanding three per
cent certificates, nd compound-interest notes convertible into three per cent certi
ficates, was $ 7 ',6 0 4 ,8 9 0 ; on the 3 th o f June. 1869, the a n o in t outstan ling was
$54,991,410, showing a reduction o f $16,613,480 on that form o f indebtedness On
the 1st o f December, 1869, the amount outstanding was still further reduced to
$49,716, HO, showing a total redu^ii >n in seventeen months of $ * 1 ,8 8 8 ,7 4 0 .
The th ee per cent ceitificates are a substitute to a considerable ex ‘ ent for the United
Sta es notes, bding larg ly held by the banks as a portion o f their reserves, and thus
iniirect'y, though net to their full nominal value, they swell the volume o f th •cur
rency. I recommend that a provisi n be made for the redemption o f the three per
cent certificates withiu a reasonable time, and as a compensating measure f r the
leducthm in th * amount o f currency which would thu^ be caused, the authoritv be
given to grant charters for banks in the States where banking capital is less than
the share to which they would be entitled to, an amount not e ceeding $ 8 5 , 0 0 0 ,0 0 0
in the aggregate. The redemption o f the three ptr cent ceitiricates, and the a dition
to the banking capital might b i so arrange i as not to produce serious disturbance ?in
the financ s or business o f the country, while addition d banking capital would be
supplied to the sections now in need o f it, and this without any inciease o f the
volume o f circulation.
There are two evils in the preser.t banking system which require reme v by prompt
and efficient legis ation.
The first in the practice on the part of banks of allowing
interest upon depo its. The effect of the practice is, that moneys in the hands ot
individuals, which otherwise might be loaned for regular mercantile and other
business purposes, are diverte 1 i to the custody of bmks up n the i lea that if the
seemity i- n<>t better, payment can be obtai-m t st a moms t’s notice. Country banka
and others remot- from the large centres of trade, having received money on deposit,
for whi« h they pay interest, are anxious to transfer such funds to <ther banks and
from which they will rec*ive an equal or larger amount of interest iu return. They
are stimulated, also, by the desire to place their funds where they can be at all times
[January 1
DEPARTMENT REPORTS.
42
commanded. Thus influenced, large sums are placed on deposit with banks in the
cities, especially in the City o f New York, which is the great centre o f trade and
finance for the Atlantic coast. In the ordinary course o f trade the currency o f the
country tends rapidly to the cities, and it is unwise to stimulate this tendency by
artificial means. But the evil do s not end with the impoverishment of the couutry.
A s the banks in the cities may be called upon at any moment to respond to the
drafts o f their d positers. they decline to make loans representing such funds upon
commercial paper payable upon lim e, but insist upon making cali lo ns, as they are
termed, with Government bonds cr other obligations, pledged as collateral security.
Merchant general y will not borrow money in large sums payable upon demand.
The consequence is that the money 9 thus accumulated in the city banks are 1 tane 1
to persons engaged in speculative pursuits The extent o f this evil is seen in the fact
that o f the bank loans in the city o f New York, in October, 1868, $98,Ot'0.0<i0 were
upon commercial paper, and $68,000,000 upon demand, with a pledge of co laterals,
and in October, 1869, $99 <>0 >,0 0 were upou^oramercial paper, and $59,00 \0< 0 u,:on
demand. In the former year, fotty-one per cent, m l in the latter ye ir thirty-seven
per cent o f the loans made by the New York banks were upon demand. A further
result is ssen in the fact that parties borrowing money upon com m em \ paper for
legitimate commercial purposes pay from three to six per cent additi nal interest per
annum as compared with persons who borrow money for speculative purpo es. I
therefore respectfully recommend that a law be passed prohibiting absolutely the
payment o f the inter st by banks upon deposits,Jand limiting also their loans upon
collate uls to an amount not exceeding ten per cent o f their capital. I am sa isfied
also that the practice o f c> rtifying checks even when funds are in the bank to the
credit o f the drawer o f the check, is fraught with evil, and that it ought to be
entirely prohibited. The followii g statement exhibits the receipts and expenditures
for the fiscal year ending June 80, 1869 :
Receipts.
From Customs.................................................................................................... $180,043,420 63
Internal U.venue
............................................................................................. a :5S,35*\460 85
I a n s ............................................................................................... .
....... ......................
Direct t a x ....................................................................... ........ .......................
Mistelia^t-ous souices
...................................................................................
4,02 ,344 34
765.6-'5 61
27.75-2,8.9 97
Total, exclusive o f loan3................................................................................................$370,943,747 71
Expenditures.
Civil service............. ..................... ...................................................................................
$ “6,474,001 53
Pensions a -d rd ia n s........................................................................................................
35,510,544 84
W ar dep-rtm ent........................... . . . ............................. . ............................................. 7s.501,"90 61
N avy Depart en t........................................................................................... .................
20,600,757 97
Interest <>u th ■pub’ic debt............................................................................................. 120.<94.242 >-0
Premium on 7 3 10 United fc>tate3 Treasury n otes.......................................................
300,000 00
Total, exclusive o f lo a n s ......................... ....................................................................$321,490,597 75
Receipts in excess o f expenditures................................................................................ 49,453,149 46
The following statement exhibits the receipts and expenditures for the quarter
ending Sept. 30, 1869 :
Receipts from Custom s.................................... -............................................................... $52 598,921 86
Intert.al R evenue...................................... ........................................................................ 47,926, 52 51
Lands....................................................................................................................... ..... ........
89 <,864 08
M iscellaneous,......................................................................................................................
7,412,481 57
Total, exclusive o f loans................................................................................................ $168,831,622 01
Expenditures, after deducting the amount o f repayments by disbursing officers and
others :
Civil servic i ..........................
Indians a d -Vneiens.........
War department..................
N ary depa i i n e n t ...............
utere t oa tha public debt
$15,102,20 JOS
13,547,942 79
13 595,468 05
5,682,630 96
37.4 2,270 74
T o ’ al, exclusive o f loans..................
R tc ipis, in txcess uf exp nditures
$85,480,514 59
23,351,107 43
43
DEPARTMENT REPORTS.
1870]
The estimated receipts and expenditures for the three remaining quarters o f the
fiscal year ending June 30, 1870, are as fo llo w s:
Receipts.
$13“,000,000
, 1.17,0 O.CnO
4 1)00,000
Customs....................................................... .........
Inter al revenue...............................................................
Land' ..............................................>.......................
20,000,000
Miscellaneous s ou rces.....................................................
$286,000,000
T o t a l...
E x p en d itu res .
$40,000,000
21, 000,000
40.590.000
14,i 00,1)00
93.750.000
Civil s e r v ic e ................. ..................................... ..................
>ensions and Indians.................................... ..........................
War depar m e n t .......................................................................
Navy d p irtm eu t............................................
....................
Interest on iho public debt......................... ..................
T o t a l............................................. ......................................................................- ................. $209,250,000
Estimated receipts in excess o f expenditure, $76,7c0,00O. Estimated receipts
and expenditures base i upoa existing laws far the fiscal year ending June 30, 1871:
R eceipts.
C ustom s.......................................................................................................................................$185,000,000
Internal rove no ......................................................................................................... . . .
17% 00,000
Lands ....................................................... ................................. ..........................................
5,000,COO
M scellaneous soarc ............................................................................................................... 28,000.000
T o t a l................ , ....................................................................................................... ...........$ 1!;3,000,COO
E x p en d itu res.
Civil, foreign and miscellaneous....... ...........................
$60,000,000
Interio , In ban-* an , P en sion s............................................................................................
33.0 0,000
W ar department.......................................................................................................................
504-00,000
Navy d«pa tm&iit ....................................................................................................................
18,000,000
Interest on t e public debt........................... ........................................................................ 127,090,090
Total ...................................................................................................................................... $241,000,003
Estimated receipts in excess o f expendi ure% ................................... ............................ 102, u00,00J
The foregoing estimates o f receipts are made upon the assumption that the laws
now in force relating to customs and internal revenue wiH not be so <hanged as to
materially affect the revenues and the estimates of the expenditures are based
upon the expectation that no extraordinary appropriations will be made.
GEORGE S. BOUT WELL,
Secretary o f the Treasury.
REPOR T OE THE COM PTROLLER OF TH E CURRENCY.
O f f ic e
of t h e
C om ptroller
of th e
C urrency,
Washington, Nov. 10, 1869.
Sm: In compliance with the provisions o f section 61 o f the national currency
act, I have the honor to present tnrough you, to the Congress o f the United States
the following report:
Since the last annual report nine national banks have been organized, of
which eight are new associations, and one a conversion from a State bank,
making the total number organized up to October, 1869, sixteen hundred and
ninety-four.
A table exhibiting the number o f banks, with the amount o f capital, bonds de
posited, and circulation, in each State and Territory, on the 30th o f September,
1869, will be found on the first page of the Appendix to. this report.
From the number o f banks organized, above stated to be sixteen hundred and
ninety-four, should be deducted seventy-four, leaving the number in active
operation sixteen hundred and twenty.
The banks to be excluded are the follow ing:
NEVER COMPLETED THEIR ORGANIZATION SO AS TO COMMENCE BUSINESS.
The
The
The
The
First Na’ ional Bank of Lansing, Michigan, No. 232.
First Na ional Bank of Penn Yan, New Yur*, No. 169.
Sc-con i National Bank of Canton, Ohio, No. 463.
Second National Bank ot Ottumwa, Iowa, No. 195.
44
DEPARTMENT REPORTS,
[January,
SUPERSEDED BY SUBSEQUENT ORGANIZATION WITH THE SAME TITLES.
The First Nation'll Bank of Norwich. Conr ecticut, original No. 65; present No. 458.
The Fiist National Bank of Utica, N w Yoi k, original No. 120; present No. 1.395.
IN VOLUNTARY LIQUIDATION.
The First National Bank o f Columbia, Missouri.
The First National B ink of C irondeler, Missouri.
The National Union Bink of Roches er. New York.
The National Bank of the Metropolis, Washin ton, D. C
The Firs National Bank o LeonardsvilU*, New York,
The Farmer's National Bank o' Richm nd, Virginia.
The Farmer's National Bank of Waukesha, Wisconsin.
The City National Bank ot Savannao. Ge' rgia.
The N i iona Bank o Craw'ord County. Meadville, Pennsylvania.
The Firs N itl-nal Rank of Elkhart* Indiana.
The First National Bank ot New Ulm, Minnesota.
The Pit s on Na'ional Bank, Pennsylvania.
The Berkshire National Bank ot Adams, Massachusetts
The Fourth National Bank of Indianapolis, Indiana.
The Kit.tannina National Bank, Kit'anning, Pennsylvania.
The First N lional Bank of Providence. Pennsylvania.
The National Staie Bank of Dubuque, I-wa.
The Ohio National Bank ot Cincinua'i, Ohio.
The F rst Na'ional Bank of Kingston, New York.
The F rst National Bank ot B 'u fftO D , Indiana.
The First National Bank of Skaneateies. New York.
The First National Bank of Jackson, M ssissippi.
The First. Na'ional Bank of Downingtnn, Penns* Ivania.
The National Evcl ange Bank of Richmond, Virginia.
The Apple on Na ioDal Bank, Appleton, Wisconsin.
The National Bank ot W hitest*n. New York.
The Firs' National Bank or New Brunswick, New Jersey.
The First Na ionai Bank o f Titusville, Pennsylvania.
The First Na'ional Bank o f Cuyahoga Falls, Ohio.
The Firs' National Bank of Cedarbnrg, Wisconsin.
The Commercial National Bank of Cincinnati. Ohio.
The S corn! National Bank of Watertown, New York.
The Second National B mk of Des Moines, I ;wa.
The First National Bank o ‘ Sou'h Worces'er, New York.
The National Meeh’ nics and Farmers’ Bank ot Albany, New York.
The Firs' National Bank o< Plummer, Pennsylvania.
Since October 1,1868.
The First Na'ional Bank ot Sfpubenvil'e, Ohio.
The Fir>t National Bank of Danville, Virginia.
The First Na'ional Bank of Oskaloosa, Iowa.
The M rchants and Mechanics’ Na'ional Bank of Troy, New York.
The National Savings Bank of Wheeling, West Virginia.
The First Nalional Bank of Marion, Ohio.
The N itiona' Insurance Bank of Detroit, Michigan.
The National Bank oi Lansingb’irg. New York.
The Na'ional Bank nf North America o' New York, New York.
The First National Bank of H illowell, Maine.
The First N; t'on&l Bank or Cl\dc, New York.
The Pacific Na'ional ^ank ot New York, N w York.
The Grocers’ National Bank of The city of New York, New York.
The Savannao National Bank, Savannah, Georgia.
The First N itiona' R..nk of Fmstburg, Maryland.
The Fiis1 National Bank of La Salle, II inois.
The Fir<t National Bank of Dorches er, Massachusetts.
A statement showing the capi al, bonds deposited to secure circulation, circulation delivered,
circulation redeemed, and circula.ion outstanding October 1, 1869, o f the foregoing banks, will be
found in the Appendix.
NATIONAL BANKS WHICH HAVE FAILED TO REDEEM THEIR CIRCULATING NOTES, FOR WHICH RECEIVERS
HAVE BEEN APPOINTED.
The First National Bank of Attica, New York, Leonidas Doty, receiver.*
The Venango Nati nal Ba k of Franklin, Pennsylvania, Harvey Henderson, receiver.
The Merchants’ National Bank oi Washington, D. C., James C. Kennedy, receiver,
The Firs' National Bank of Medina, New York, Edwin P. Healey, receiver.
The Tennessee. National Bank ot Memoirs, Tennnsse**,William A. Hill, receiver.
The Fi» si National Bank of Newton, Newtonville, Massachusetts, D.* Wayland Jones, receiver.
The Firs- Na'ional Rank of Selma. Alabama. Cornelias Cadie, fr., receiver.
The Fir t Na’i< nal Bank o' New Orleans. Louisian-*, Charles Case, receiver.
The Na'ional UnadiTi Bank, Unadilla, New York, Lewis Kingsley, receiver.
The Farmers and Citizens’ National Bank of Brooklyn, New York, Frederick A. Platt, receiver.
The Croton National Bank of the city ot New Yors, C. P. Bailey, receiver.
♦ Finally atorad.
1870]
45
DEPARTMENT REPORTS.
F The National Bank of Vicksburg, Mississippi, B. II. Polk, receiver.
The First National Bank of Keokuk, Iowa, O. C. Hale, receiver.
The Fiist National Bank of Bethe', Connecticut, E. S. Tweedy, receiver.
Since last report but one hank has failed—The First National Bank o f Rockford, Illinois, R. P.
Lane, receiver.
During the past year the following dividends have been Daid:—
To the creditors of The First Na ioual Bana o: Me lina, Ne v York, 38% per cent.
To the creditors of the Farmers and Citizens’ National Bank oi Brooklyn, New York* additional
dividends of 32 per cent., miking in all S7 per cent.
To the creditors o f The Croton Na’ ional Bank or the city of New York, an additional dividend of
25 per cent., making in all 75 per cent.
To the creditors of the Tennessee National Bank of Memphis, a dividend o f 14 per cent, has
been declared, but bas not yet been paid, owing to a tailuie on the part ol the leading creditor to
present the proptr vouchers.
A statement showing the capi‘al, amount of United States bonds deposited to secure circulation,
circulation delivered, circula ion redeemed at the Treasury of the Unite l Sta’ es, and the amount
outstanding October 2, 1869, of national banks in the hands of receivers, will be found in the Aopendix.
NOTES IN CIRCULATION.
The following statement exhibits the number and amount o f nctes issued, redeemed and out
standing, September 30, 1869:—
ONES.
No. of Notes.
. 9,589,160
. 904,03
$
Amount.
9,5S9.160 00
904,013 00
. 8,685,147
$
8,685,147 00
Issued............................................................
Redeemed.....................................................
. 3,209,388
. 232,224
$
6,418,776 00
464,448 00
Outstanding..............................................
, 2,977,164
$
5,954,328 00
Issued............................................................
Redeemed......................................................
,23,676,760
985 940
$118,383,800 00
4,929.700 00
Outstanding...............................................
.22,690,820
$113,454,100 tO
, 8,094,645
, 272,495
$ 80,646.450 00
2,724,950 00
Issued............................................................
Reeeemed......................................................
»
Oatstanding..............................................
TWOS.
FIVES.
TENS.
Issued............................................................
Redeemed.....................................................
7,821,150
$ 78,221,500 00
Issued................................................................................................... 2,269.764
71,655
Redeemed.................. ........................................................................
$ 45,395,280 00
1,433,100 00
Outstanding........ ................................................................. 2,198,109
$ 43,932,180 00
Outstanding.............................................
TWENTIES.
FIFTIES.
Issued............. ...................................................................................
Redeemed............................................................................................
363,523
22,859
Outstanding..........................................................................
334,664
$ 16,733,200 00
Issued...................................................................................................
Redeemed............................................................................................
274,799
25,968
$ 27,479,900 CO
2,596,800 00
Outstanding.....................................................................................
248,831
$ 24,883,100 00
$ 18,176,150 00
1,442,950 00
ONE HUNDREDS.
FIVE HUNDREDS.
Issued...................................................................................................
Redeemed.............................................................................................
13,668
2,585
Outstanding.....................................................................................
$
6,834,000 00
1,292,500 00
11,083
$
5,541,500 00
4,769
2,415
$
4.769,000 00
2,415,000 00
2,354
$
2,354,000 00
ONE THOUSANDS.
Issued...................................................................................................
Redeemed...................... ...................................................................
Outstanding................................. ..................... .............................
Total amount of denominations outstanding on the 30thday of
September, 1869.......................................................................
Add for fragments of notes outstanding, lost or destroyed,
portions of which have been redeemed...............................
Total...............................................................................
$299,789,055 00
840 45
$299,789,895 45
46
DEPARTMENT REPORTS.
r The following statement shows the amount, and kinds of United States bonds held oy the Treasurer
of the United States to secure the redemption of the circulating notes of national hanks on the
30th day of St ptember, 1S69.
Registered bends, act of June 14,1858...........................
$675,000
Registered b'-nds, act of June 22, I860........................
35, COO
Registere! bonds, act of February 8, 1861..................
3,491,000
Coupon bonds, act of March 2, 1381............................
16,000
Registered bonds acts efJsly 17 jnd August 6, 1881,
58. <30,060
Registered bonds, ac: of February 25. 1862..................
59,228,850
Coupon bonds, act of February 25, 1862..........................
4,200
Registered bonds, act of March 3, 1863...........................
33.345,900
Registered bonds, act of March 3, 1864, 5 per cent.......
91,579,450
Coupon bonds, act of March 3, 1864, 5 per cent.............
10,000
Registered bonds, act of March 3, 1864, 6 per cent........
2,753,500
Registered bonds, act of June 30, 1884............................
35,218,700
Registered bonds, acts July 1, 1862, and July 2,1864...
18,523,000
Registered bonds, act of March 3, 1865,1st series.........
25,465,200
Registered bonds, act of March 3,1865, 21 series...........
10,392,800
Registered bone's, act of March 3,1865, 3 3 sn ies.........
2,678,450
Registered bonds, act of March 3, 18G5, 4th series.......
128,000
Total...................................................................................................................
342,475,100
In my report for 1867, I called the attention of Congress to the fact that, in several instances
notes prejured m the usu 1 manner for issue to naiional banks had been purloined lrom this
office. Two amounts larger than the rest were mentioned, to vit: $4,500 in fifty and one hundred
dollar no is of The National City Bank of Lynn, Massachusetts, and $12,000 in City and one hun
dred debar notes o; the First Naiional Bank o- Jersey Jily, in addition to which sevtral thefts o f a
single sheet had occurred, making in all $17,560. Suspicion at that time was directed to a colored
man, who had been employed in the offic- from the time of its organization, in a confidential
capaci y, and who was then under arrest. The evidence against him, though very strong, was not
considered to he conclusive, and it was thought best not to bring the case to trial at once, but to
wait and see wlat additional testimony mig* t be developed by the lapse o f time. During the past
year, effoits made by the guilty parly to avail himself of the stolen notes furnishing c m c’usive proof
of his guir, he was tried in the criminal court of the District in August last, and convicted, but
a motion in arres' of judgment was granted fey the court for some defect in the indictment, and the
criminal was dischaiged. He was at once re-arrested on several other charges, and is now awaiting
his trial on ne * indictments. Only about $1,400 of the stolen notes have been recovered, and it is a
serious question whether provision should not be made for the payment o f these stoh n notes when
found in the hands of innocent holders. Their similarity to the genuine issues of the same and other
national banks, and the difficulty, to any but the most expert and skillful, m recognizing the forged
signatures, make it impossible for the great majority of those who may handle money to dis
tinguish the spmi*us from the genuine issues. The subject is respectfully submitted to the consider*
tion of Congress.
REPORTS.
Under the act of Congress of March 3, 1S69, three reports have been called fer. The first call was
made Tuesday, April 20, for a report showing the condition of the banks at the close ol business on
the previous Saturday, April 17.
The second call was made June 15 for a report showing the condition o f the banks on Saturday,
the 12th of June.
The third call was made October 13, for a report showing the condition o f the banks on the 9th
of that, month.
The firs report Showed a larger number of hanks than usual deficient in their reserve o f lawful
money, out generally in small amounts.
The second and third reports, successively, exhibited an improvement in this respect; and as
they are regarded as setting forth the actual woiking condition of the banks, 'without manipulation
or preparation, the results are iar more valuable and gratifying. In fact the two evils most com
plained of under the former system o f reports, to wit: previous preparation on the part of the
banks, and the opportunity afforded to speculators to manipulate the money market, have been
almcst entirely done away with. The banks habitually keep iliemselvesin hotter condition, as a
rule are lejs extended, and have move complete control of their affairs. I f they carry out this
policy a lilt1v more thoroughly, they will he less at the mercy of the borrowers, will be better able
to protect the legitimate interests o f tlieir customeis, and better entitled to the fostering care of
the government.
LIQUIDATION.
As the law now stands, a hank may, by a vote of the shareholders owning two-thirds o f its stock,
go into liquidation and close up its affairs. After the expiration o f one year from the publication
of notice to i;s bil-holders and creditors, as required by the statute, it may deposit with the
Treasurer of the Unitea Slates legal-tender notes for its outstanding circulation, and lake up the
bonds held as security therefor.
This section was undoubtedly intended to provide for the winding up of hanks under the ordi
nary conditions'incident to specie payments. The natural flow of notes to the place o f their
issue, when banks are paying specie, would cause a large portion of them to be redeemed during the
year; and it the bank is solvent, and in good faith endeavoring to cl^se up its affairs, the most of
its creditors would probably be paiJ by the expiration of that period. So tba% supposing the liquida
tion to have progressed so far that the bank is ready to distribute its capiial among its stock
holders, the law provides the manner in which the liquidation shall he completed, and the share
holders discharged from all further liability on account of its circulating notes, within a reasonable
time
1870]
DEPARTMENT REPORTS,
47
In this view of the case the provisions of the statute are reasonable and proper. Buf, under ex
isting circumstances, when bank notes remain in circulation until they are worn out, and when
the use o- the noies as money is so much more valuable to the holder than any gain he may realize
from their redemption that he will not send them home for that purpose, the year provided iu the
law, and the purpose <f that provision, are of no moment whatever. Banks go into liquidation,
and call upon noteholders to present their notes for redemption, by published notice, as required
by law, bu', during the whole tear that follows, are not obliged to redeem anything except now and
then a worn-out or defaced note. This facility of circulaii *n, and the absence o f all cos. ot redemp
tions, have probably induced some associations to take the legal steps lor going into liquidation,
with the expectation ot conti rning to reap the benefit of their outstanding circulation, while they
continue to do a banking business under State laws, or as private bankers.
This is an abuse that could only be practiced under a suspension of specie payments, and during
the absence of all demand for redemptions: but for the time it is none the Jess an abuse that re
quires coirecfion. Congress provided by law for the organization of banking associations, which
should be subject to certain restrictions, and which should be authorized to issue notes for circu
lation asna'ional currency. The privilege of issuing circulation was granted upon certain conditions.
The privilege and the conditions go together. The law does not contemplate that the conditions
should be cast aside or disregarded while the privilege is retained. Unioitunately the phraseology
o f the law sepms not to forbid such operations, and ihe interference o f Congress is nec ssary to
prevent its privileges from being abused, and to protect those banks which are in good faith en
deavoring to comply with all the requirements o f the law.
It is respectfully recommended that Congress should pass an act in one section, unconnected with
any oth-r subject, requiring all banks that go into liquidation to deposit legal-tender notes for their
outstanding circulation, and take up their bonds deposited with the Treasurer o f the United States as
security for sash circulation, within sixty days from the date of the vote ot the shareholders to go into
liquidation.
METHOD OF COLLECTING UNITED STATES TAXES.
Section 41 o f the national banking law provides for taxing the circulation, deposits, and capital
not invested in United States bonds, o f national banks. The banks are required to report ?.nd pay
these taxes semi-annually to the Treasurer of the United States. This they have done regularly since
their organization, paying into the treasury several millions every year, without trouble, and without
expense to the government.
Under the internal revenue law they are required to pay a special tax, and a dividend tax to the
collec'ors of ihe several districts in which they are located.
It is recommended that all taxes imposed on national banks by the United States be made returna
ble ana payable to the Treasurer of the United States, in the same manner that the larger portion
o f them now are.
This change would avoid confusion, save expense and trouble, collect the taxes more promptly
and probably moie thoroughly, and place the whole business under the supervision o f one officer, by
which means, also, all information on the subject would be concentrated in one office, and so be more
accessible.
SPECIAL EXAMINATIONS.
Perhaps no one thing has done more to promote the safety and sound management of national
banks than their liability to examination without previous notice, by an agent appointed for that pur
pose, and probably no provision of the law was more unpopular among the banks when the law first
went info effec ; but the good results brought about, directly and indirectly, by such examinations
have fully vindicated the wisdom of the provision. The examiner’3 work is done silently, and the
public are not aware of either the amount or the importance o f the work dor «*.. In quite a large
muaaber of e»H»s examination b&ve brought fact to light that have enabled the Comptroller to
interpose in time to save banks from failure. Defalcations have been exposed; abuses, irregular
ities, and violations of law have been discovered and corrected.
The compensation allowed by law is totally insufficient to pay the right kind of men to undertake
this duty, 'f ie labors of examiners are very severe, involving work by day and travel by ni-rbt
while ihe rigid and careful scrutiny required to investigate fully the c--ndition and accounts of°tbe
hanks is weary aad exhausting. In New York, Boston and Philadelphia, the banks have cheerfully
acknowledged the value and efficiency of examinations, by making voluntary provision somewhat
commensurate with the arduous nature of the work and the importance of the results attained.
An increase in the amount of their compensation is a matter of necessity as well as a matter of
justice; and Congress is urged to make provision for that purpose. All the expense involved m
these examinations is now defrayed by the banks, under tbe law', and no appropria ion of the publi*
moneys will be necessary. An increase in the rate of compensa'ion should be authorized ty law.
and provision made for its assessment upon the several banks examined, in proportion to the time
and labor spent in the examination.
SALARIES.
9
In the organization of the National Currency Bureau, the Comptroller was authorized to “ employ,
from time to time, the necessary clerks to discharge such du.ies as he shall direct, which clerks shall
be appointed and classified by the Secretary of the Treasury in the manner now provided by law.”
Under this provision of law the highest salaries that could be paid were already^fixed by laws
passed nearly seventeen years ago. Perhaps in the beginning such provision was adequate for all
prac.ical purposes; but as tbe nature of the duties to be performed became more arduous, and the
responsibilities greater, more difficulty has been experienced in securing the services o f competent
men in ho various positions to be filled.
The leading places in this office, now filled by clerks receiving salaries o f $1,830, require abilities
of a high order and integrity of tbe most undoubted character—abilities and integrity that in other
pursuiis command much higher compensation. The s .lanes paid by banks to officers for the per
formance of dutiesno more difficult and no moro responsible than thoso devolving upon the clerks
<8
DEPARTMENT REPORTS.
[January,
in this office, are from one hundred to three hundred per cent greater. The consequence has been
that even after the services ot the right hind ot men have been secured by a course of instruction
and trainin?, the higher prices offered by private interests outside of the department constancy draw
them fioro the department, and leave the same difficulties to be again encounteied. ,
It stems to me evident, it the salaries fixed seventeen years ago were not then too high, when all
the necessaiits <d life werejmuch cheaper than now, that at the present time hey are totally inade
quate in view of the enormous advances in the expense of living. It is not wise to place men upon
a salary meagre and barely sufficient to furnisu the necessaries o f l i ’e—peihaps even insufficient
for that__in positions of responsibility where ilie most thorough integrity is required. It is txto temptations to which they ought not to be subjected. And I earnestly recommend
1
- 1 increase of
a gener------. . saliries,
. . . and
. especially an increase in the salaries of those men who have the
most imp .it-int positions m the bur a j.
The sa;ary of the Deputy Comptroller is not equal to the importance and responsibility of his posit
ion. It is less than that now paid to men in the office of the Treasurer of the United S ates,whose
positions a>e no more responsible and n >more important, and very much less than the salaries
paid by banking institutions iD the large oiti. s.
F The posi tion of the cashier ot the divisioa of issues is also one of labor and responsibility, as is that
of the cashier of tbe div:s;on ot redemptions.
The division ot leporis requires for its chief a man ot peculiar qualifications. It is his duty to
examine ah reports received from the national banks, and he has cuarge also of ail the correspond
ence growing out oi them. The position is one ot great labor, xequiiing no ordinary judgment and
skill.
The various accounts kept in the office are extensive and complicated, requiring vast labor and
posingthem
B^The correspondence of the office is very extensive, and cannot he carried on as a mere matter o f
routine
I requires knowledge intelligence and ability to conduct it properly.
I would recommend that the D puty Comptroller should be paid a ralary o* $3,£00; the head of each
division $2,400; two correspondents $2,200 each ; and two bookke.pers $2,000 tacb.
I do not think the government would lose anything by a fair compensa ion lor honest labor.
The duties would be more ably and satisfacicrily performed, and the efficiency o f the public seivice
would be increased.
CENTRAL REDEEMING AGENCY.
The recommendation contained in my last annual report, looking to the establishment of an
agency in the city of New York in the interest of the national b^nks, owned and con rolled by
them, for the redemption of ail the r issues, and lor the transaction of their business, is again
Bab nit ed to the consideration <f Congress.
C ire!»1 observ. ti >n and study during the year have confirmed the opinion then expressed as to
the prjcticati.it.v and usefulness ot such an insti'ution. In the first place, it would be ihe clearing
house f<>r all the hank ciiculation in the country—the reservoir to which it would flow, and from
which it would be distribu-ed again whenever and wherever needed.
a common misapp ehension prevails as to the effect or practical result o f general and uniform re
dem ption in New York, the mipres n n being that sucb an arrangi ment w oul. be onerous upon the
country b a n s, and w'*uld compel them to pay tribute to that city. No apprehension could be
more un oundtc'. As long as every bank redeems indepi ndently at i s own c< unter, or at 0 e nearest
redemption c t —Cleveland Pittsburg, Cincinnati, or St. Louis, and not in New York—funds tLat are
par that wi'i pay debts i i the latter city, will command a premium;'and the olc-time s-stein of
assor! in : and returning the notes or country bunks tor the purpose o f pn curing New York ex
change, 'wiii be renewed. The brohers, finding they can make a profit in this way, will divide tbe
territory betw« en them, and will compel the banks to supply themselves regularly with gold and
exchange to meit their demands.
On the other hand, if ail agree to establish their own agency in New Yoik, to take care o f and
to protect their own no'os, all currency will be par in New York. There will be no running upon
the banks, lor there will he nothing to gain by it. A certain amount ot currency will always be re
quired to transact the business of the country, and ibis will be lumished pr. portionste’y by all
the banks. The excess o' circula ion only, over and above this am unt, will have to be redeemed;
and this excess will also be equally apportioned to all the banks. So that, by the adoption of one
general egenev, as proposed, o very bank in the country will have its just proportion of the benefit
to be derived -r> m tne circulation; sbu,iing£also, in the same proportion, in the expense of redeeming
any excess that 'her** may be from lime to tim^. And that is all there ii in a uniform syst-m of
redemption in New York—equal rights and equal privileges to all, special hardships or heavy expense
to none.
While such would be its snlutiry effect upon the banks, the people at large would rejoice in a cur
rency ot uniform val ie all over the country. Ah mconveniencies growing out of locil values
would disappear, and we should have a truly national currency.
The proposed agency, being controlled and managed by the joint banking interests o f the country
as their own fiscal agent, would necessirily be a highly conservative institution, which would oper
ate as a cheek upon the soeculative tendencies of the times, and exercise a healthful influence upon
the interests of trade. The banks would at;end to their own business in New York, thus saving
the expens.-s and profits heretofore paid to their correspondents; and they would have the satis
faction of knowing that their reserve fund*, upon which so much depends, were not risked in Wall
street specuations, or used in a manner detrimental to the public interests.
INTEREST ON DEPOSITS, AND CALL LOANS.
It is a common saying among bankers, when speaking of governmental supeirisicn, “ Take ca*e
of the currency; make that as secure as possible, but do not inteifere with the business o f the
hanks.’ *
As far as practicable, business should be left free and untrammeled; hut, in this country, tbe bus
iness of issuing circulating notes is so involved wi h he lending c f money; the ability to redeem on
demand is so dependent on the amount of reserve kept on hand, and the character o f the loan,
1870]
DEPARTMENT REPORTS*
49
that it is impossible to apply safeguards to the currency) without applying prudence and reason Is
able restrictions to the business of lending. If a bank pledges its capital by the deposit o f bon .
tor the redemption of its circulation, it must so use that circulation as not to lose It; soinves; ^
as to have it coming bad* with a profit; must use it judiciously, and fely so that it will prot ec^
itself.
The government, in delegating the power to issue notes, has the right to prescribe the conditions
upon which they shall be issued. I f harsh or unnecessary conditions are imposed, they should be
abrogated. I f the conditions are wise and wholesome, they should be honestly observed. In prescribing rules, reference should be had to the object to be attained by the organization or incorpor
ation of banking institutions. A charter to carry on the business of banking does not give power
to buy and sell real estate, to ship goods to a foreign port, or to engage in, or promote, any specu*
la'.ive operation. The business ot banking, properly conducted, is just as sure, and just as safe,
as any other business; but it must be confined to ns proper and legitimare sphere.
In the case of an incorporated banking association, its powers are prescribed in its charter. The
law for the organization of national banks defines their powers with precision. They are empow
ered to exercise, underjthe act, “ all such incidental powers as shall be necessary to carry on the bus
iness of banking, r4by discounting and negotiating promissory notes, drafts, bills o f exchange, and
other evidences of debt; by receiving deposits; by buying and selling exchange, coin, and bullion;
by loaning money on personal security; by obtaining, issuing, and circulating notes,” &c.— trom
which it will be seen that national banks are authorized, among other things, uto receive deposits
that is, when money is brought tothem, they are authorized to receive it.
They are not, however, authorized to hire deposits, and the law does not contemplate that they
should solicit loans, under the guise of deposits, by the offer to pay interest on them. This practice,
however, prevails extensively; and although, by implication, the law forbids it, the prohibition is not
sufficiently explicit or positive to prevent it. The evil of the practice is this: All the banks in tne
leading ciiiee, and nearly all the country banks, keep balances in New York, which by law con
stitute a portion of their reserve. The offer o f interest on these balances is an inducement to keep
as large a portion of their reserve on deposit in New York as the law will allow. Banks in the lead
ing cities—which are named in section thirty-one of the act—are permitted to keep one-holf their
reserve in New Y ork; and all other banks are permitted to keep three-fifths of their reservethero.
If then, New York banks pay interest on these deposits, they must, of course, use them; and, as
they are payable on demand, they must be loaned on call. Callloans, as a rule, are made to brokers
and operators in stocks and gold. Men engaged in trade cannot ordnarily afford to borrow money
which they may be called upon to refund at an hour’s notice.
It is, moreover a prevalent opinion in the large cities that a large call loan is a good thing For a
bank to have—that it makes a bank strong; and bank officers exhibit with evident satisfaciion a
large proportion of their loan payable on demand. And why ? Money loaned on call is leaned at
a lower rate of interest than when time is specified, and therefore} cannot be more profitable. The
truth is, they have a large deposit, upon which they are paying interest, that may be checked out
at any moment. They are obliged to get something tor the use of their money, but are afraid to
give time, and so have to lend on call at low rates. They know their weakness in this respect, and
feel obliged to fortify. The fortifications are, perhaps, the best possible; but if there were no weak
points, there would be no danger to guard against. Perfect immunity irom danger is better than
the stronges: fortifications against an ever impending danger.
The most objectionable feature ot the whole transaction, however, lies in the fact thatjthe facility
with which large loans can be effected, payable on call at low rates of interest, while commercial paper
is only done at high rates, or is declined altogether, fosters speculation. Paragraphs like the following
maybe found in the money ar icles o f the New York papers almost every day:—‘ ‘Money was fairly
active on call at six to seven per cent.; commercial paper very dull; piime names ten per cent, to
fif een per cent.;” which means, money for speculation, six to seven per cent ; money for trade, ten
to fifteen per cent,
Call loans are a necessity, when interest is paid on deposits. Com petition for the accounts of
country banks has led to the payment of interest. The New York banks see and deprecate the
evils of the practice. They have several times attempted to put an end to it; but there will
always he one or more banks which see their opportunity in such an effort, and will refuse to come
into any arrangement intended to put a stop to it. The fact that the reserves o f the country are
hawked on the street, and are tendered and used for speculation, is sufficient ground for an
interference of the law.
INTEREST, TAXES, AND PROFIT,
A bank that has its capital invested in interest-bsaring securities, upon deposit o f which it obtains
an issue of circulating notes— which notes are to be used in its banking operations as money—can
afford to lend its money at lo\ er rates of interest than a bank that issues no notes for circulation,
but lends its capital direc.ly to i f8 customers. The bank with circulation derives a portion o f its
pr-ifit from the interest on its securities, and a portion from its customers; while the bank without
circulation derives all its profit from its customers. The delegation by the government to banking
associations of the power to issue notes to circulate as money, therefore, has a tendency to lower
tne rate of interest, and so to furnish cheapfmoney to the business community.
That thro is actually the case will appear upon investigation. Tae incorporated bank doing busi
ness, and issuing circulation under the authority of the goverment is nniiorml/ regaided as the most
reliable and reasonable source of accommodation by the business community. The private banker,
depending u on the active use of his capital for his profit, must charge a much higher rate of interst to realize the same relative profit, supposing, of course, that the deposits o f the two institutions
are equal. A bank with $100,000 capital invested in securities bearing 6ix per cent, interest,
upon which it has received $90,000 in circulation, can lend that $90,000 at seven percent., and
yet realize a profit of $12,300 on its capital. The private banker, lending his capital o f $100,000
directly, must charge his customers twelve per cent, to realize the same profit as the bank. The
merchant and the tradesman know this, and expect to pay about that difference for the use o f
money when their necessities compel them to resort to private bankers or brokers.
so
DEPARTMENT REPORTS,
[January,
The government, therefore, confers a greater boon upon the business Dublic, by enabling it to
borrow money at moderate rates of interest, than is generally realized or adm.t'.ed.
[f all the
banks were deprived of their circulation during the coming year, by act o f Congress, the rates
at which money could borrowed in most sections of the countiy would be nearly doubled. Toe as
sumption by the government of the sole power to issue circulating notes would in no wise furnish
relief. The United States can get its notes into circulation by paying them out for its expenses,
aud in payment of its debts. Not being able to do a banking business, however, it cannot lend
them as a bank can, but would have to pay them out to its creditors, and, in the end, the no es
would come into the hands of capitalists, who would lend them to the people at high rates o f in
terest.
Taking the country as a whole, government and people as one, the profit gained by the government
on the issue of its own notes—or, to use an expression in common use, the amount saved by the
use of its own notes as a loan without interest—would not compensate lor the additional tax upon
the business of the country, caused by the advance in the rates of interest which would ba likely to
follow such a cnange in the circuation.
The amount loaned by the national banks to the business interests cf the country will average
about seven hundred millions; and for every addition of one per cent, to the rate of interest, a tax
or not less than seven millions would be imposed on the business o f the country. Au increase
o f five per cent, to the rate of interest would make the tax not less than $35,000,000. This would
be the actual money tax. But the depression caused by this additional burden, while it would be a
very serious drawback to the prosperity of the country, could not well be estimated in money.
As a general thing, national banks lend money to their customers at about the legal rates, though,
of course, there are exceptional cases.
Heavy taxation, also, is a burden on the business of the country; and like every other item that
enters into the expense of conducting any business, the burden is borne in the end by the customer,
or consumer. The tax upon gas companies, for instance, is added to the monthly bill of every con
sumer; and the tax upon banks is merely the addition of something to tbe rate of interest.
Within a certain limit the tax is proper and legitimate. Every business should bear its share o f the
public burden; and if the rates are equitably and wisely adjusted, no complaint can be made. Bat
in many sections the local taxation growing out of the expenses of the war is so high, as, when
added to the United States taxes, to absorb a large proportion of the profits of the banks. Limited
by law to the legal rate of interest, tbe bank must wind up, or its shareholders must be content with
meagre dividends. Some banks in this predicament have actually taken the necessary steps to close
up their affairs. Others, probably, have resorted to usury to increase their profits to the paying point.
Banking systems had been in operation in several of the States for a number 01 ye rs betore the
war, that issued circulation based upon & Arposit c f State or United Sutes bonds: and there
no limitation to the *»Bnbeiof such bank*, or to the amount of circulation they might issue. The
deposit ©f United States bonds required as security for circulation o f national banks is nothing new,
either in theory or practice. The fact that the United States paid the interest on its bonds in go d,
which gold was sold by the tanks at a premium, enabled them to make larger protits than were
accustomed to be realized by Sta^e banks formerly doing business under s-inilar circmr stances.
And the additional fact that the amount of circulation that could be issued by nationa ban s was
limited to $300,000,000—giving to tae system the semblance of a monopoly—op rat 'd to pro .uc n
impression in the public mind that national banks were mines of weaUh, rea izing to the i st :ckholders fabulous dividends. Some of the earlier banks which sold their gold interest at fiom lud -•
ISO per cent, premium, and which sold five-twenty bonds for the agents o f the got eminent to ti.e
amount of millions, probably did realize very large profits. Eut that day has passed.
The average dividends made by the banks during the last year will probably not exceed ten 'per
cent, upon their capital, after deducting taxes and expenses. And as the premium on gold sha'l
diminish, and tbe national tanking system shall be ma le free to all who are able and choo e to
comply with its Condi ions, the average profit will confoim to the law which governs all business. It
wilL be a fair livingpiofit, and no more.
SOUND CURRENCY.
The currency constitutes a very important part of the financial system o f any country. With
out a sound currency, a healthy financial condition is impossible, 'there are two requisi’ es to a
sound currency; convertioility and elasticity, and either ot the two involves the other. The pres
ent currency 'ot the United States possesses neither of tbese requisites. Durirg the past year
it has neither increased nor diminished, but stands about as it did this time last year * —
$390,000,000 issued by the government, and $300,000,000 issued by the banks--neither redeema
ble nor convertible into anything more valuable, and therefore uot susceptible o f reduction ;by any
ordinary process; each issued to the full limit allowed by law, with no power of expansion. The
whole amount must be employed, whether it is wanted or not, and the limit cannot be exceeded
* Statement o f the United States Currency fo r 1868 and 1869.
November 1,1868.
Legal tenders...................................... $356,021,073
friction a l curreny............................... 33,413,985
November 1, 1869.
Legal tenders......... ............................$356,113,253
Fractional currency............................ 37,035,4 U
389,435,058
393.148,700
389,435,058
Total increase
Increase of legal tenders.............
"increase of fractional currency,
3,713,642
92,185
3,021,4b T
187°]
DEPARTMENT RK 1’ OIiTS.
51
no matter how urgen'ly more may be required. Daring the summer month3, when there is rest in
almost all branches of trade, the whole circulation was in market seeking employment; and now
that autumn fias come, with its bounteous harvest, when the farmer se^ks to realize in money
the reward of his labor and the interest of his capital tor the whole year, when hundreds o f mil
lions must be distribu ed through-»ui the length and breadth of the land, we have the same un
varying amount o f Airrency to use.
There are two kinds of cuirency in use: one issued directly by the government, the o:her issued
by the banks One kind would seem to be enough. The beit should be preserved and perfected;
the other withdrawn.
Applying the test first to the government issues, it is noted at once Ethat they are not redeemable,
and that no provision has ever been made for that purpose. The very moment tbat they are made
redeemable th^y will cease to answer the purposes oi currency; lor, after they are releemed, they are
iu th9 treasury an I cann t again ba paid out except upon appropriation made by law, in accordance
with the constitutional provision, and consequently cannoc again be put in circulation, except as
disbursements may be necessary to pay expenses and debts of the government. So that gov
ernment circulation is not convertible, and therefore is nolgelastic, and cannot be made so with
out first making a radical change in the organization ot' the United States Treasury by which it should
be converted into a bug-banking institution calculated to receive deposits, make loans, and other
wise perform the functions of a national bank.
The notes issued by national banks are nominally redeemable; and, if the legal tender notes were
out of the way, would be actually so, and, being issued by institutions in sympathy with trade,
would contract and expand in obedience to the law of supply and demand, so that they would also
possess the element of elasticity.
As to the compara i\e merits of the two kinds of currency, an impartial consideration would prob
ably decide m favor ot a bank circulation, principally because it would possets the power o f adapting
itself to the exigencies of trade.
If government issues could be made to possess the same power
o f adaptation, the verdict would be in their favor. A candid investigation, however, cannot fail
to develop the fact that there is no branch o f the fiscal service adequate to the direct issue and
care of such a currency as the country requires. The treasury system is so arbitrary in its col
lections and disbursements, so little in harmony with the business interests o f the community, that
ic frequently absorbs large amounts of cuirency at most inopportune seasons, and disburses them
with just as little regard to the wants of trade. I f the treasury were redeeming its issues, large
amounts would be presented for payment when money was plenty; but, as the retur 1 ot tuis money
to the channels o trade would depend upon the disbursements of the government, there could be no
Cirtamiy that it could find its way back again when needed. In fact, the current operations of the
treasury of the United States are regarded by busineis men as constituting a poweifuT, and, atth*
same time, a very uncertain element, ditficuh to estimate, but which must necessarily ue taken into
consideration in all tatir business transactions. Ic is but justice, however, to say tnat the inconveniencies and defects inherent in the present system have been obviated as f ir as possible by the
p a seat administration o f the department, and where they could not be obviated entirely, they have
been reduced to a minimum.
So long, therefore, as the collection of the revenues is liable to be a process of contraction, and
their disbursement a process c f inflation, the agencies hruugh which collections and disburse
ments are etTected cannot be regarded assuitableagencies for furnishing a sound cuirency to ilie
people.
The argument that the government should furnish the currency in order that it may realize the
profit upon its circulation is a common one, but will not bear scrutiny. There is no profit to
the government on tfie circulation of an inferior currency. Only a sound currency will promote
the miterial prosperity of the people; and the government can realize no profit from anything det
riment il t o ih t i r ii t rests. As a carreucy, therefore, government issues are not profitable. A sa
loan without interest they are equally unprofitable, because they are injurious to the national credit,
and add enormously to the expenses c f she government.
If, however, it is impossible lor the government to comply with the conditions necessary in ord- r
to furnish a sound currency, ic can at least provide tor the withdrawal ot itslown notes, an 1
prescribe the conditions upon which, and the agencies through which, a better currency may i. j
previded. As before slated, there should be butone paper currency in tfie country, and that shou. i
eminavi from a source that is influenced by, and is amenable to, the laws o f trade. No che^u
or limitation should tie imposed upon it, other than the law of supply aaddemand.
FREE BANKING
The banking system now in operation under the act of Congress, is doubtless an improvement upon
the condition oi things tbat prevailed prior to its inaugu atiou. Ii may have imperfections, but
most of tu em canbetr ce i to t h e e ils o f an irre leemable currency. Abuses o f various kind are
pnetic d, or tolerated, during i suspension of specie payments, that would disappear of themselves
in a healthier financial atmosih ra; and as observation aad experience bring to light detects, they
maybe corrected by judicious legis'a.ion. Any radical changes new would affect so many and
such great interests, that it would be sa!er and wiser to build upon and improve the n\ sent system,
sous to bHngit fully up to the requiiements of the age aad the country, than to unier.ake to build
up a new ne. I. m uy be made the means of supplying a safe, convc-r. able, aad elastic curieacy
in any v lua.e that may be requied by the business of the country.
No human intelligence canfix the amount o f currency tbat is really needed; for t is continually
varying, and is never fixed. If Congress linn s the amount, there will always be those who will be ,
d satisfied, and who will seek legislation either for the purposes of contraction or expansion And
so long as the volume ol cuirency depends upon legislative enactment, uncertainty and stability in
will pervade all financial operations.
If, Lowever notes for circulation are issued by a banking association compiled o f business men
and c pital-sts, who areobiiged to furnish security for the pr m jt and easy conversion of tbeir issues
into c in «>n demand, no other limit to the amount ot suen notes need be fixed than th it im josed l y se f interest. If tiiere is a legitimate demand for currency, the no;es wil. remain in
e rool.it ou .o ig enough to make their issue profitable. I f there is not such a demand, the notes
52
DEPARTMENT REPORTS.
[January,
will b e h u r r i e d h o m e f o r c o n v e r s i o n i n t o c o i D . In t h is w a y t h e b u s in e s s d e m a n d f o r c u r r e n c y will
gee its supply; and the surplus, it' any, will always be retired.
A self-adjusting system ol currency is the only one that is adapted to the exigencies o f trade,
and to the wants of the country; and it is a vital question at this time, whether this result can b i
reached before the return of specie payments. It possible at all, it is only possible through the
agency o f national banks. The machinery of the government is not adapted to such ends. And
further, if possible, it is so only upon the adoption of a policy which will tend gradually but surely
to a resumption of specie payments. It must be the gradual development of a process which shall
absorb legal tenders, and put in their place a paper currency which shall at all times and under all
circumstances be exchangeable for coin, either of paper* or gold—a paper currency which shall
gradually increase, while the legal tenders for its redemption shall gradually decrease, in such a
raiio as a healthy demand for banking facilities may determine.
Where banking facilities were already abundant, there would be no inducement for the establish
ment o f banking institutions for the issue of curiency upon conditions that would ine\itably dimin
ish the volume of lawful money applicable to its redemption, and so gradually but surely <nhanc
tbe cost o f such redemption; while in other sections destitute in whole or in part of banking facilities
for the legitimate demands of business, the necessity tor banks and currency would jusiify the in
crease o f bank circulation, notwithstanding the fact that by such increase the burden of its redemp
tion would also be enhanced.
The entire South and many portions of the West are very much m need of the facilities and ad
vantages to be derived from properly organized banking institutions, and their necessities would justify
them in deliberately adopting measures to supply their wants, the direct tendency of which would bo
to hasten tbe leturn of specie payments in the manner indicated, to wit, by the increase of bank
notes, and the absorption o f the legal tender notes. As the former increased, the latter would
diminish. As lawful money became scarce, its value would be enhanced, and would gradually approx
imate to par with gold. Thus specie payments may be reached tarough the agency o f the n itional
banks, and by the operation of natural causes. The process will not be rapid or spasmodic, because
it will in all its stages, and in all its details, be governed by sound principles and conform to estab
lished laws. At the same time, the benefits and advantages of the national banking system would
gradually become more equally diffused, until all sections would at length get their just and equil
share, apportioned beyond cavil or objection, because regulated by the actual requirements of busi
ness.
While free banking may thus be established with safety, anterior to specie payments, conditioned
ouly upon the withdrawal and cancellation of a legal-tender dollar for every dollar o f bank cur
rency issued, free banking upon a specie basis may also he permitted, with equal safety, and with
out delay. With details properly adjusted, banks may be established with authority to issue and put
in circulation gold notes—limiting the amount only by the ability o f the banks to comply with the
necessary conditions, and to redeem their issues. Some provision o f this kind is probably necessay
m order to supply the Pacific and gold-producing States witha paper currency. A circulating
medium, cheaper and more convenient than coin, has long been a necessity in those States, and
would undoubtedly do much topromote activity, enterprise, and development. Experience has dem oustrated to them that a currency composed exclusively of specie is not exempt from the fluctuations
to which money and trade everywhere are subject, and has awakened an anxiety on the subject,
which may lead to the introduction of paper money, if the opportunity is afforded.
By the establishment of banks on a specie basis, the resumption o f specie payments is only an
ticipated; and familiarity ^ith gold values will do much to relieve the subject of the mystery with
which it is associated in the minds of many. Looking forward to the day when uniform values
shall again prevail, it may be that, by wise legislation now, a banking system can be established,
truly national in its character and scope, which will lurnish a sound currency o f uniform value in
every State in the Union.
Rerpectfuliy submitted.
HILAND R. HULBURD.
Compirollcr o f the Currency.
Hon . G e o r g e S. B o u t w e l l ,
Secretary of the Treasury.
A P P E N D IX ,
S ta tem en t sh elv in g the num ber o f banJcs, am ount o f capital, a m o w t o f brncfs deposited, a n d
circ u la tio n , i n each S la e a n d T e r r ito r y , on tb e 80th c f S p ttm b ir , 1869.
O K G A N IZA T IO N S .
States and
•t*
©
*-< . •
G OO <k
Territories.
a
■g'S
£?
M a in e.......................... ...........
hJ.Uampsh’e .............. ...........
Verm m t......................
MaeaachVts..............
o
©«
o
63
1
41 . . . .
Capital
Bonds on Circulation In actnal
paid in.
deposit.
issued,
circula.ion.
o G
OO
G ■**
61 $9,1S5,0G0 00 $3,433,750 $7,682,250 $7,509,196 00
41 4,8:35,001* (’0 4.807, 00 4,994,395 4,281,191 CO
40 6,810,012 50 6,533.5 0 5,01G,K)0 5,751,7.0 00
206 85,0S2,U0U IX) 03,230,500 60,104,670 57,046,930(0
Legal tenders.
\ S70]
53
DEPARTMENT REPORTS.
Rhode Iela’ d ......................
Connect’c u t ......................
Now Y o r k .........................
New Jersey........................ . . .
55
Pennsylva1 a .................... . . . . 205
Maryland............................ . . .
32
Delaware ..........................
6
Di-1. o f Col....... ... ..........
Y*rgin:a ............................. . . .
so
15
W . V irginia...................... . . .
O h io ....................................
I n d ia n a .............................
I l li n o is '............................. . . .
84
Michigan............................. . . .
43
W isconsin............. ............
Io w a .................. ...............
18
iM im esoti.......................... . . .
Kansas.. . . ........... ...........
5
M issouri......... .................... . . .
20
K e n tu ck y ..........................
11
lennessec . .
Louisiana ........................
3
M ississip p i...
4
Nebraska*..........................
<’olorado.............................
G e o r g ia .............................
N O r o lin i........................
r>. Carolina........................
3
3
Alabama.............................
N e va d a ..............................
1
Oregon............................
1
4
T exas
. ..........................
2
Arkansas............................
U ta h ......................... .........
1
1
Montana.............................
I aho .............................
1
fractional redemptions re•orted by the Treasurer o f
2
21
1
8
1
2
3
1
6
3
2
2
3
5
1
2
i
l
2
62 20,3(il,c00 00
81 24,606,820 00
294 116,281,941 00
54 11,565,350 04
197 50,235,390 00
31 12,790,203 50
11
1,428.185 00
4 1.350,000 00
17
2,6 (3,800 00
14
2, -16,400 00
132 21 954.700 00
68 12,902,000 00
82 12.570,01:0 00
41
5,464,010 00
34
2,760.000 00
43 4,017 00<l 00
17
1,810,(00 00
5
400,000 <0
18
7,810, 00 00
16 2,885,000 00
13 2 015,30 •0 i
2 1,300,000 CO
14.193,600
19,758.104
79,096,'<00
10,710,450
44,353.500
10,068.750
1,358,200
1.337,000
2,405.0«.‘0
2.243,250
20,642,150
12,554,' 50
i : , 858,850
4,385,100
2,715,050
8,671,750
1,772.2' 0
332,000
4,786,350
2,735,700
1,490,200
1,258,000
12 940, £50
18.215,115
79,067,510
9,738,245
40,769,2 *’0
9,438,780
1,241 725
1,339,600
2,177,580
2,088,910
1",076,260
11,391,695
10,315,835
8,957,555
2.626,7-0
3,438,135
1,604,100
371.400
4,119,170
2,428,470
1,291,170
1,261.120
235,000
297,000
1,883,500
445,101)
171,500
250,700
1,229,909
384,700
192,500
353,025
131,700
88,560
429,585
1*0,200
135,504
36,000
63,500
66 000
4
3
2
7
1
6
3
2
1
1
4
2
1
1
1
45 ),0!K) 00
350,1.00 i 0
1,100,100 00
823,400 00
8*3,500 00
400,000 00
250.000 00
1(0,000 00
525,( Of ( 0
200,000 00
150 0 0 00
100,000 CO
100,090 tO
217,1 00
310.504
155,000
100,60!)
472,100
200,n00
150,000
40 000
75,004
12,480,900,00
17,4:33,978 00
68,553,175 00
9,407,115 00
38,748,006 00
8,910,880 00
1,197 625 00
1,099,571 09
2.131,980 00
1,988,050 00
18,405,985 00
11,017,627 90
9,950,275 (0
3,824 75 5 00
2,508,102 00
3,2:7,077 00
1,*4S, 900 00
341,00) 00
4.1‘)4.£25 00
2,366,720 00
1,191.551 00
1,094,589 00
53 3S306
170.000 00
252.000 00
1,204.100 (JO
3:9.7 0 00
192,500 00
28^,647 00
129,700 00
88,? 00 00
407,535 00
178,900 00
135.000 00
36,000 00
63,500 09
3 45
T o ta l..............................
. 1,694
74 1,620 432.163,611 00 342,475,100 317,992,516
Statement shewing the national bank? in liquidation, their capital, bonds deposited to secure
cir'-ulatcon, circulation delivered, circulation surrendered and destroyed, vnd circulation
outstanding October 1, 1869.
-o
- tc
c •
'a j,
.2 *
•w (*> c-2
13
"5
*,. ^
§ c,
« o o &§
•O o
5 £
Name and location o f bank,
■xj
p.
r
j
«
&v
£5 $ g 2
O
T3
C u
b o
$460,000 i^*20,000 $192,500 . . . . $:92,500
Nat. Union Bank o f Rochester, N. Y .......
50,000 50,500 45.000
F r -t N it Bank o f Leo®ardsville,N.Y
45,000
Farmers’ Nat. Bank o f Richm ond,Va___
H0,000
89,000 85.000 $5,( 00 80 000
Nat h’ k o ft - e Metropolis, vV-sh D .C ___
200,0h0 198 000 180,000 3,83) 176,161
100,000 100,000 88.147
First Na ional ank of Klkhart, In d *—
88,147
300,' 00
Nat. B’ k o f Crawford C o.M eadviile.Pa.. . .
(+)
Oiiy Naiionai Bank ol Savannah Ga.......
11 0,000
(t)
F rst Nat. Bank o f New Ulm, M inn.......
60 000 59 00) 54,0 '0 1000
53,C00
First Nat. Bank o f Kingston, N. Y ___
200,0i'0 1 )3,000 180,000 6,300 173,700
50 000 f 0,600
F ir t Nat. bank f Hlufftou, In d ;...............
45,000 1,*75 43,725
firs t Nat. Bank o f Skaneateles, N .v .......
150,000 153,000 135.000
135.u00
Appleton Nat Bank, f A ppleton,W is ..
50.000 to. 000 45,000
45,040
44,500
Nut Bunk o f V\hitestow n. N Y ...............
120,000 60,01)0 44,(;00
; 0,004 50,00) 45,000 2,000 43,000
First Nat. B’ k o f Cuyahoga Fall",Oh o ___
Nat Me h. & Furm. B’ k< fA lb ’ y ,N .Y ___
350,040 387, (Mi 311,950 14,530 360,370
Pirst Na Bank o f Steubenville, o h o ___
150.000 150,' 00 13',0 ns
133,000
First Naiioual Ban . o f Danv.l e, V a. .. .
MV 00 44,000 4.5,000 5,S00 39 900
75 Oi 0 74,00 1 67,500
F ret Nat. i ank o f O s a lo o s a , I o w a ., ..
67,500
Merch &VTcch. Nat. Bank o f Troy, N F .. .
300,00) 215,000 184 7 0 3’ *00 181,550
First ut onal B .na o f Marion Ohio ___
125,000 1*5,000 1 9,S3 » 1,000 10 ',8:0
Nat. 'n sur .nce Bank o f De*r ot. M ich.......
i 00,010 10 ',00) 85.Oi 0
85,- *00
1 a\ Bank o f Lansinabnrth, N. Y . . . . „ .
ir 0,004 16 ‘,000 135,< 00
1 6,000
Nat. Banket N .A m i rica,N. York,N Y ..
1,004,U< 0 310,004 333 0 j0 27,000 306,000
* The First National Bank o f El. hart, Ind., has been r.o-gar ized under the ame name and
resum e! >usiness.
t N o ciiculation.
54
[January,
DEPARTMENT REPORTS.
First Nat. Bank o f HaHowell, Me
P a cficN n t. Bank o f New York, N .Y ...
Grocers’ N t. Hank o f New York,N Y .. .
Savannah Nat Bank of Savannah.Ga ..
F irst Nat. Bank o f Frostburg, ft. d .........
First National Hank o f La Salle, I I ____
Pitteton Nat. Bank o f Pitteton, P a -----Fourth Nat. B n k o f In d ia ro p o lis ju d ...
Bershire Nat. ('ank o f Ariams, M ass___
First Nat. Tank o f Provide ce. Pa.........
Nat State Bank o f Dubuque, l o ’.va.......
KittanuingN at. b’ k o f K ifa n n in g .P a ...
Ohio N t, bank o f Cincinnati, O h io ,...
Nvt. Exchange Bank o f It chmor>d,Va..
F irstN a t Bank o f Titusville P a .........
S -cond at. Bank o f •* a tertow n .N .Y ..
F irstN a t. Bark o f • oreh st/r, M a ««...
Nat Savings Bank of W heeling. W .Y a ..
First National Bank o* Clyd N Y ___
b'Tpt.T'a t Bank o f Dow ningtow n, P a ..
First Nut Bank o f N ' runswiok. N J .
Second Nat. Buna f Des M oines,Iow a..
F ir?t National B a ik o fP lu in r. P a___
....
....
....
....
...
....
....
....
....
....
....
....
....
00,000 53,350
500
150 u.O I34,9vi0
100,000 85,250 27,000
100,' 00 85,000
50 0C0 53,000 45.0 0
50,000 50.000 45,000
m
93,500 85.700 2,100
(+)
100,000 99,850 90,000 2,259
150,000 143,010 127,500 5,950
<t)
524,666 450,000 4,500
198,400 ISO,000 1,500
100,000 97,U00 86,750 3,2*2
900
100,000 99 000 90,009
150,(00 132.500
100,000 1(0.000 90.000
50.000 50,000 44.000
100,000 100,000
89.500 3,500
100,000 100,000 90,003 2,00)
500
50,000 50.0 0 42,r'00
100,000 10u,000 87,50J 1,600
422,700
_
52,850
134,990
58,950
85,000
45.00(1
45,000
S3,600
87,750
121,550
445,5( 0
178,500
88,4-8
8'*. 100
132.509
90,(K0
44.000
86,000
88.000
42,0 0
85 900
Statement shewing the national banks, in voluntary liquidation, that have deposited lawful
money with ihe >reasurer o f the United State* to redeem their circulation, withdrawn their
bonds, and are cl re t under the provisions o f section 42 o f the a c t; their capital, circulation
issued, circ.u’a'ii.n surrendered, circulation redeemed by the 'treasurer o f t .e United States,
and circulation outstanding on the
day o f Uetcber, 1869.
rt . {3'c,rd
.£ 'O O
^ a o
3? o
rt >
Ojg o q* a
o
O 'rt
Nam0 a rd loap.t'on o f bank.
rt ►» *.
*-5^ ® rt *
o
s i
•c.
--.3“ ~ S
Oa
11100,000 $90,000$78,0l0 $8,670 00 $3,3v0 00
. . . 20,034 50 4,805 50
2(1.000 25.500
. . . . ‘.9,948 i 0 00,051 00
.
100,000 90.000
....
7 50 4'‘,49250
100,003 40.500
100,000 90.000 18,000 3,C00 00 69.000 Ml
. . . . 3 4 '.-5 0 (0
, 500.00) 345,9;>0 . . . .
. . 152,90J 09
, 175,000 157,400 4,500
First N at. Bank o f Columbia, M o . .,
FirstN at. B»* k o f a onoclet.M o
Farm. Nut. B 'k o t Wauke*h , W ig.
F r s t Nat. Bilik o f JarkeO'i, Miss .
F iist Nut. B nk o f C oisrbnrg, W is
< om. Nat. Bank o f incinuaii,Ohio,
F iistN a t t k o f S o. W orcester,N Y
Statement showing the national banks in the la n d s o f receivers, their capital, om unt o f
United States bonds and lawfu money deposited to secure c n c jla ’ion, amount o f circulation
delivered, the amount ( f circulation red*emed at the treasury o f the United States, and the
amount outstanding on the 1st day <f October, 1869.
.c m
Name and locat on
o f bank.
S3
n
to * rj CO
J- 03
b
G" *0.0
©
8
w
N s i* 3
*E,
® ®i -ii
©'3i
o
-'D
$'0,000
65,000 00
300.000
200.000 $50,000 181.000 00
50 000 20.000 82.154 45
90,000 00
100,( 00
85,000 00
1- 0,000
500,010 50,000 155,874 15
It o,oto to
120,000
rt .
•Si'G
si
rt
Crg.
«a
rt ®
ZCw
! ?
«p
rt
o^
J—
O'rt
52
„ "3
$41,000 $3S,2'8 00 $5,77 « (0
85,000 74,798 5‘> 10,201 52
180.000 150,489 75 29,510 25
40,001 3 ',912 75 7,087 25
90.0: 0 74,219 00 1 ,581 00
85.000 64,377 50 29,622 50
180,000 144,511 00 35,489 00
100,0(0 82,157 50 17,812 10
First Nat. Bank o f Attica, N .Y ..
Vena* go N"t.Bank ofFrar.klin, Pa
Merch'ts’ Nati’ alHkol Wash. D C.
F irstN a t Bank o f Medina, N .Y ..
Tenn. N*t. Bk o f Memph s, Ten. .
F r s t Nat. Ban o f Selin*, Ala
First 'Mat Kk o f N ew O rle-nj . La.
Nat, Unadill •Bankof Unadilla.N. Y
Farm e-s’ & C tizens National Bk o f
253 900 00 253,9 0 191,921 59 61.976 50
300,' 03
Brooklyn, N. Y .
Pi’ Oton Nat. B’ k o f N. Y ork, N. Y . 200,( 00
180.000 00 180,000 142,407 50 37,592 45
F irst, Nat. Bank o f Bethel. C onn..
26.300 (0
26.300 14,255 00 12,015 00
60 0C0
Pirst Nat, wnnk 0f K eokuk, Iowa. 1(0,000
90.000 00 90 000 62,342 25 27,657 75
25,500 00 25.500 12,609 25 12,890 7S
50,000
Nat. Ba’ k ofV icksburg. M ies.........
F 'rst Nat. B n k o f Rockford, 111...
6,730 0-J 38,270 00
50 CC0 37 CC0 17,475 00 43,000
F itst National Bank o f Newtou, at
N cwtonville, Mass........................ 150,000 146,(00
ICO,000 12,500 00 117,500
Banking Associations o f the United Stutcs, as shown by their reports o f the §tli o f October, 1869.
T ota l.................................
160
62
SI
233
54
11
3
7
2
2
13
2>
17
1
1
6,461,854
8,016,685
52,4611,798
18,5 1,334
29,577.557
7i.4S6,729
23,979 425
41,000.910
2,819,123
4 324,770
5,452,5,6
4,107,847
1,929,599
1,298,755
2,952,178
547,4 il
1,075,529
343.154
2,872,169
4,813,013
24,450,122
20,379,372
1-,370,117
6,797,657
4.191,210
8,69 ,610
3,901,457
2 529,631
6S7.746
1,863,655
471,216
1,200,938
199,422
129,124
Am onnt
r« qu^red
as re.-erve.
$1,872,445
949,673
1,202,503
7,870.019
2,775,200
4,436,634
10,873 009
3.596,914
6,605,137
422,869
648,716
817,877
616,177
2 8 M 10
191,813
442,827
82,115
161,329
51,473
430,825
721,952
4,267,518
3,056,906
2,155,5 i8
1,019,443
628,631
1,303,741
535,219
879,445
103,162
279.518
70,682
180.141
29.913
19,369
$39',376,118
$69,156,419
Legal
tenders.
$1,127 830
477,221
53d ,984
4,457,134
1,424,f 63
2,340,739
5 397,439
1,8 ‘0,244
4,168,406
266,504
472,471
£95,741
352,188
232.090
8I-9.SC1
555,049
114,703
70,527
22,619
376,113
557,50 >
3,010,459
2.245,39-1
1,601,874
737,659
454,5 4
1 ,‘ 89,757
483,255
272,322
75,052
176,380
121,954
160,175
19,500
83,499
$36,215,831
-Items o f reseweThree
per cent,
t mp loan
Sp c e .
certiflc tes.
*18,819
$lu,009
2,730
20,< 00
22,623
115,000
143.179
210,000
4!,3 7
110,0(0
88,776
205,000
232 227
1,055.000
52.712
270,000
56,430
785,000
4.848
104,000
4!),527
40 000
73,369
5,0(0
9,739
65, (00
46,239
.........
13,413
.........
32,882
75/00
u?,9 a
.........
314:308
..........
413
.........
2,354
..........
11,245
28.850
27 \ 000
46,770
70.0U0
85 373
100,000
9,271
40,0'j0
10,411
50,000
33,657
25,00)
7,825
3\<00
40.090
10,000
2,799
.........
8.586
.........
19,783
.........
24,527
.........
23,431
.........
6,563
-------$1,573,801
$3,-.95,000
* m t. in redem.
cities avail for
re empt on t f
circa ation.
$1,232,710
922,290
826,659
5,977,359
1.945,652
3,709,610
7,736 438
2,908,510
4,055 635
353,2 5
584,311
179,336
219,951
102,133
37.604
218,518
68,534
52,397
6,313
276,985
412,329
2,168,153
1,666,999
1,375,585
646,529
340,267
520,712
179,820
188,566
63,2.6
166,185
234,722
1,251
2.395
$:9,38>,014
Am ount
o f avail.
reserve.
$2,389,359
1,422.241
1,546.266
10,818,172
3,521,552
6,344,125
14,421,104
5,121.463
9,065,471
724,-17
1,137,309
673,446
646.87S
3S0.462
360,718
911,4 «9
2)0,163
437,232
29,875
6*75,457
98 *. 074
5,577,467
4,029,164
3,165,832
1,483,461
855,532
3,768,526
706.172
5; 0,978
141,107
351,151
141,742
419,424
44,182
32,157
$30,965,618
Per cent o f
available
res rve to
liabilities.
19.1
22.
19.3
20.6
19
21.4
19.9
21.4
20 6
25.7
26.3
12
15.7
19.7
27 7
30.9
£6.6
40.7
8.7
21.8
20.4
19.6
19.7
22 3
21 8
20.4
20.3
18.1
20.2
20.5
18.8
30 1
34 9
22.2
25.1
20.5
DEPARTMENT REPORTS,
States and Terr,tor cs.
Main
.................................
N ew Hampshire........... ... ..
Vcrni' nt .............. ............
Mass u h u s e t 's ...................... . . .
Rhode el n d ....... ........ ..
< onnecti a t .........................
N ew Y c i k ............................. . . .
Ne-v J ersey...................... .
P enn sylvania.......................
Del iw&re................................
M a ry lan d ...............................
V iig in 'a ............ .....................
W St V 'l g n i l ........................
North Ca rolina......................
South Carolina
...............
G eorgia...................................
/\lab im a ...............................
T x a s ...................... .............
A rk a n s a s ...............................
K n tucky......... ......................
TeuntScee............................. .
<>hio........................................
In d ia n a .................... ...........
Illin ois....................................
Micu g a n ............. ..............
W isco n sin .............................
Iow a ......................................
Minnesota .........................
Mn-sou r i........................ ........
Kansas.....................................
N ebraska................................
Or g o u ....................................
Co ora d o............................ ..
M on tana.................................
Idaho........................................
Liabilities to
Number be prot cted by
o f banks
a reserve o f
reporting. 15 per c nt.
1870]
Table o f the slate o f the lawful money reserve ( equircd by sections 31 and S3 o f the National Currency Act) o f the National
Statement o f the condition o f the lawful money reserve, ( required by sections SI and 32 o f tue National Currency Act) of the
National Banking Associations located in the cities named in section 31, except in New York, as shown by the reports
o f their condition at the close o f business on the 0Lh day o f October, 18C9.
B '.D E M P T I O X C IT IE S .
Foeton...............
Albany .............
Philadelphia. . .
P .tlsburg.........
t all im ore.........
W ashington
16
..
N ew Orlean-s
L ou i-v iile .........
( incinnati.......
Cleveland .......
< h’ ea o ...........
Detro 1.............
IWiwaukee ...
6f. L ou is.......
Leavenwr r h .
d o t a l......... .......... ,
3
.
..
lt>5
5.000
1°5.000
290,009
5. 0,0:)0
150,009
15,0(10
500.0(0
10,900
$5,746,779
2.037,630
1,112,277
1,532,571
1,3 0,449
112,663
833,411
157.934
973,823
554,463
1,76: ,508
789.137
802.356
486.762
126,786
$18,093,9-6
3 637,v.95
13,535,633
4,016,782
4/078,1 M4
618,148
699,871
38 ’.470
2,314,78.
1,431,805
5,357.544
1.350 321
658,612
2,146,570
247,828
27.1
36 5
2d .9
27.3
24.9
26.4
31.4
28 2
28.5
29 3
30.5
32.7
28
25.2
82.2
$14,055,000
$17.2S7,543
$59,137,464
25 5
$68,891,134
9/176,938
45/219,975
14 808,919
16,367,500
2,457.117
2,180,600
1,355,001
8,117,312
4^87,236
17,541,498
4,131,307
2,34 -,815
8,.528,401
709,' 00
*17,222,783
2,494,234
11.3 12,744
3,10 ,230
4,091,875
614,-27 9
557,700
338,750
2,029,328
1,221,809
4.385,374
1,03.8>7
587/211
2.182,110
192,250
$7,4*4,094
1,139,08 i
6,898,529
1,^50,922
1,689,611
293 530
326,858
205.002
1,195,595
586,858
3,079,204
4(0,178
339,810
1.079,139
1 0,827
$1,057,503
16,282
2(!9,8>7
43,21*9
13 ,984
21,955
39.002
14,534
19,347
2,285
17,772
1 006
1,946
80 009
215
$4,4S0,CO9
445,000
5,755,000
6(0.0 0
940,000
22 ,000
*207,G21,9S3
$51,905,494
$26,170,400
$1,724,516
Statement o f the condition o f the lawful money reserve ( required by sections 31 and 32 o f the National Currenc y Act) o f the
National Banking Associations located in the City o f New York, as shown by the reports o f their condition at the close
o f business on the 9th day o f October, 1889.
K ew Y o r k . .
X •mber
o f bunk#
repor ing.
5l
Liabi'it es to
be lotceted by
a res.rve o f
ir* per cciu .
$ 19 j,010,349
Amount
r. qniied
as ic ;e ve.
$49,002,587
Legal
ten er*.
$ 2 1 ,’3 3 /Cl
---------Items c f reserve---------3 p. c. temp. loan
c e r tf e stamp as 3 p. c. tem
Cltari< e IIi use
porary l.-an
Specie.
c rt'fica rs.
c "ilu ca tes.
$18,0-0,(.41
$18,295,9(0
$9,700,000
t m iu n t
o 1 avail,
reserve.
8 j S/'19,202
Per cent o f
available
r* serve 10
li biliti b
34,7
1870]
67
DEPARTMENT REPOUT3.
REPO R T OF THE
COMMISSIONER OF INTERNAL REVENUE.
T reasury D epartment, Office op I nternal R evenue, |
W ashington, November 20th, 1869.
J
S i r — I have the honor to transmit herewith the tabular statements made up
from the accounts kept in this office, which the Secretary o f the Treasury is re
quired to lay before Congress.
*
*
*
*
*
The total receipts from internal revenue sources, exclusive of the direct tax upon lands and the
dutv upon the circulation and deposits of na.ional banks were, for the fiscal year 1869,
$160,039,344 29.
Ibis includes the sums refunded for taxas illegally assessed and collected, amounting to $360,235 12,
nearly all of which w;ts for taxes assessed and collected in previous years.
For the fiscal year 186S there were refunded $1,018,334 81.
Drawbacks were also allowed to the amount of $1,379,980 01.
No drawbacks were allowed during the fiscal year 1869 by this bureau, excepting on general mer
chandise, under section 171 of the act o f June 30th. 1864, limited under the act o f March 31st, 1S68,
to a;e and patent medicines, amounting to $377,411 31. The drawback on rum and alcohol ia
not allowed by this bureau.
The receipts for the current year are estimated at $175,000,000.
RECEIPTS FOR THE FIRST SIX MONTHS OF THE FISCAL YEARS
1868
AND
1869
COMPARED.
A comparative statement is submitted showing the total receipts from the same general sources
of taxation for the fi'-st six months of the fiscal years 1868 and 1869:
From July to December, 1868, inclusive............................................ . ...................................... $67,296,388
From July to December, 1867, inclusive.................................................................................... 66,110,030
Total gain for first six months o f 1869..................................................................$1,186,358
The following t hi? exhibits the aggregate receipts from the same general sources o f revenue*
taxable under existing laws, for the first six months of the fiscal years ending June 30th, 1868 and
1869; also the gain or loss per cent, of those in the latter over those in the former period:—
Rec’pts for the last six mos.
^ o f the fiscal year1868.
Sources of Rivenue.
1869.
Spi l'S................ ........................
$9,537,940
$19,124,462
Tobacco.................................................. 10,059,456
10,059.456
9,991,224
Fermented liquors................................ 3,035,475
3,088,311
Gross receipts........................................ 3.246,659
3,216,675
Sales...................................................... 2.264.5S9
2.264.589
3.930,693
Income, nc'uding salaries.................2121801.114
801.114
13,053,615
Banks and bankers.............................. 1,494,376
1,339,065
Special raxes not elsewhere enume
rated................................................ 5,109,985
5.109,985
3.674,366
Legacies......................................
653.624
546,220
.Successions..................................
511,577
484.054
Articles in Schedule A ..........................
576,394
341.628
1'is sports....................................
20,365
13 040
Gas................................................
773,878
853,116
Penalties.....................................
483,271
491,227
Net receipts from stamps.................... 6,540,327
7,148,692
Total .............................. $66,110,030
Total gain for the above period.
$67,296,388
Loss.
Gain.
$9 586,522
$68,232
52,836
29,984
1,666,104
8,747.499
155,311
1,435,619
107,404
27.523
234.766
7,325
79,238
6,956
608,365
$12,000,021
. . . . $1,1S6,358
During this neriod the amount gained on spirits is................................................................
The amount gained on stamps is..............................................................................................
The amount gained on sales is .................................................................................................
The grea eet less from any one source of taxation for this period was upon incomes,
which amounts to............................................................................................................
In special laxes, not included under spirits, tobacco, &c, the loss was................. ..........
$10,813,663
$9,588,522
608,365
1,666,104
8.747,499
1,435,619
It is worthy of special notice that in regard to the receipts from tobacco since January 1, 1869
and bereaf er r ferred to as being largely increased, the loss of revenue on this article for the
pr« ceding six months amounted to $68,232; and it should be borne in mind, in considering this
loss ibar ihe present system of collecting the tax on tobacco had not gone into full operation
prior to January 1, 1S69.
RECEIPTS FOR THE LAST SIX MONTHS OF THE FISCAL YEARS
1868 AND 1869 COMPARED
A comparative statement, is submitted, showing the total receipts from the same sources fer the
last six mouths ot the tiscal years 1863 and 1869:—
From January to June, 1869. inclusive.......................................................................................590.542,760
From January to June, 1868, inclusive...................................................................................... 64 479 948
Total gain of last six months of 1869 over 1868.
$26 , ie2
[January,
DEPARTMENT REPORTS.
The following table exhibits the aggregate receipts from the same general sources of revenue
taxable under existing laws, for the last six months of the fiscal years ending June 30, 1S68 and
1869; also the gain or lass, and gain or loss per cent, of those in the latter over those in the former
period:—
Receipts for the last six mos.
,—of fiscal year.—,
Sources o f Revenue.
1868.
1869.
Gain.
Loss.
Spirits................................................. $2,917,691
$25,901,910
$16,784,249
--------Tobacco............................................. 8,670,639
13,439,483
4,768,844
--------Fermented liquors............................ 2,920.394
3,011.568
91,174
--------Gross receipts................................... 3,030.507
3,034.324
53,817
-------Sales................................................
2.331.089
4,276,146
1.945,057
--------Income, including salaries............. 19,654.484
21,738 241
2,083,757
--------Banks and Bankers......................... 1,862,753
1,993,451
133,693
--------Special taxes not elsewhere enume
rated....................................... 5,289.180
5,127 089
--------162,091
Legacies.............................................
864,764
698.617
--------166,147
Successions..................... •................
793,447
705,702
--------87,745
Articles in Schedule A ....................
529.985
£41 233
11.248
--------Passports............................................
7,915
16,413
8,498
--------Gas...................................................... 1,128,203
1,261,890
134,687
--------Penalties............................................
772,611
385,862
--------386,749
Net receipts iroin stamps................ 7,506, <88
8,356,301
850,515
--------Total....................................$64,479,948
Total gain for ths above period, $26,062,812.
$90,542,760
$20,865,544
$802,732
It will Ve observed that the gain on dis‘ illed spirits during this period of comparison i s . .$16,784,219
On tobacco...................................................................................................................................... 4,768 844
91,174
On fermeu ed liquors.............................
On incomes...............................................
2,083,757
On stamps ......................................................................................................................................
850,515
From gas companies.......................................................................................................................
134.K87
From banks and bankers..............................................................................................................
133,693
The only articles on which a loss was sustained are legacies, successions and penalties—spcoia^
taxes not included under spirits, &c.—and these aggregate only $802,732.
RECEIPTS FROM THE SAME GENERAL
SOURCES
FOR
THE
SIX
MONTHS ENDING SEPTEMBER 30 , 1 8 6 8
AND 1809.
ijf-w
From April to September, 1859, inclusive............................................................................... $102,861,950
Twenty-6ix districts ior this period, not yet returned, estimated at...................................
1,516,000
Total amount for this period ... .............................................................................................. $104 377.950
From April to September, 1868, inclusive............................................................................. .
80,543,082
Total gain of last period........................................................................ ....................
$23,834,868
The following table exhibits the aggregate receipts from the several general sources rf r?venua
subject to tax under the laws now in force, for the six months ending September 30, 1868 and 1869;
also the gain or loss of those in the latter over these in the former period:—
Receipts for the six months
ending Sept. 30.—,
Sources of Revenue.
1868.
1869.
Giin.
Loss
Spirits............................................. $13,686,801
$24,687,952
$11,001,151
Tobacco..........................................
8,900,722
15,509,252
6,608,530
Fermented liquors........................ 3,571.643
3,560 956
--------$10,677
Gross receipts................................. 3,016,317
3,236 832
220,515
Sales................................................ 2,927,409
4,029100
1.101 601
Income, including salaries........... 27,466 162
30,239 073
2,772.914
Banks and bankers........................ 2,193,661
2.521,C94
327,433
Special taxes not elsewhere en
umerated.............................. 7.787,809
7 858 538
70,729
Legacies......................... ...............
674 068
663,285
--------10,683
Succ-ss'ons.....................................
652,1S8
565.412
-----86,776
Articles in Schedule A ...................
S ll 827
813,253
1 426
Passports.........................................
12,945
11,596
----1 349
Gas...................................................
875,523
896.498
20.975
Penalties........................................
745,894
344,116
-----401,778
Net receipts from ttainps.............
7,229,0*23
7,924,883
704,860
Total.............................$80,543,082
$102,861,950
$22,830,131
$511,263
The aggregate receipts for the present year will be increased by the returns from twenty-six dis
tricts, amounting, it is estimated, to $1,516,000. Total gain, not including the receipts from those
districts, $22,318,868. If the receipts from the unreported distucts equal the above estimate the
total gain will be $23,834,868, or 29}£ percent.
During this period the gam cn spirits is...................................................................................$11,001,151
On tobacco.....................................................................................................................................
6.608,530
On sales.........................................................................................................................................
1,101,601
On incomes....................................................................................................................................
2,772 911
On stamps......................................................................................................................................
704,860
From banks and bankers............................................................................................................
327,433
m o]
50
DEPARTMENT REPORTS.
The gain on spirits during this six months o f comparison is not so large by nearly $6,000,000 as it
was for the six mon‘hs ending the 30th of June last. This is accounted for by the circumstance
that the old spirits in bonded warehouse on the 30th of August, 1868, when the now law went into
effect, were all by operation of law to be withdrawn from bond and tax to be paid prior to July
1, 18G9. It is a fact, however, that the gain on tobacco for this ptnod of comparison exceeds tha»
for the six months nding June 30, 1869, by $2,000,000, showing a s’eady and continuous increase
of revenue from this source. The gains on s'amps, incomes and sales correspond very nearly with
the gains on these articles for the six months of comparison ending June 30, 1869.
It is to be remembered in referring to the foregoing comparative tables that they do not profess to
give the gross receipts of revenue for the periods of comparison, but ihe receipts from ihe same
general sources merely. The reason is that alterations in the law changed the subjects of fixation
during the periods of comparison, and hence a statement of the gross receipts would not exhibit
the relative and economical increase and decrease of the revenue. Referring to the gams on spirits
and tobacco for these periods, it seems proper to say that there is every cause for congratulation
that the law of July 20, 1868, taxing these ar;icies was enacted.
RECEIPTS FROM
THE
SAME
GENERAL
SOURCES FOR TTIE FIRST
1 8 6 9 AND 1 8 7 0 COMPARED.
QUARTERS
OF THE
FISCAL TEARS
The following statement of the receipts from the several general sources o f revenue for the fr>t
quarter o f tbe present and the last fiscal years includes the returns of twenty out o f tbe twenty-six
districts not given in the table immediately preceding, and received since tlie preparation o f that
table. Tbe receipts of tbe following districts only are, therefore not included in the receipts for
the year 1870:—Third Mississippi and Ninth Kentucky, for the mouth o f July; Third Mississippi,
for August; Eleventh New York, Sixth Tennessee and Fourth Texas, tor September.
Receipts for the first quarter of
•fiscal year.----------
Sources of Revenue.
Spirits...................................................................................
Tvibanco................................................................................
Fermented liquors..............................................................
Banks and bankers.............................................................
Gross receipts......................................................................
Sales ..................................................................................
Special taxes not elsewheie enumerated........................
Income, including salaries.................................................
Legacies................................................................... ............
Successions ........................................................................
Articles in Schedule A .......................................................
Passports..............................................................................
Gas........................................................................................
Sources not otherwise herein specially enumerated.
now exempt from taxation)....................................
Net receipts liorn stamps...................................................
Penalties...............................................................................
1869.
............. $8 46-3.443
............... 4,295 674
............... 1.790 602
...............
886.078
............... 1.514,756
............... 1,739,513
............... 2,969.427
............. 11.201 809
...............
278,590
.............
254,005
.............
300,843
...............
8.665
.............
341,128
(Articles
.............
874,431
............. 3,393,472
.............
306,402
Total..................................................................................... $38,620,898
Total gain, $8,020,517, or 20.8 per cent.
1870.
$10,017 031
8,131,298
1,739.609
1,246 280
1 727.206
1 961.888
3,243 684
13,278,504
340 361
206,287
317,984
2 583
400,577
126,328
3,695.678
156,111
$46,641,415
t
It will he seen that the gain on tobacco during this period of comparison is increased and that
eu stamps is sustained, while that on spirits is fully sustained, if allowance be made for the fac
that the old spirits in bond had a 1 been withdrawn and the tax paid before this period commenced*
The gain on tax of banks and bankers is likewise more than sustained by this comparison, and
the entire table affords ample promise of satisfactory future results.
AGGREGATE RECEIPTS FOR THE FIRST FIVE MONTHS OF TH E FISCAL YEARS 1 8 6 9 AND 1 8 7 0 COMPARED*
The following is a stalement showing the aggregate of certificates of deposits received
from July to November, 1868 and 1869:—
1868.
July............................. ..................................................................................... $16,990 649
August............................................................................................................... 13.900,385
September......................................................................................................... 9^760,796
October.................................................................................................. .......... 10,092,335
November.........................................................................................................
9,64.. 304
Total............................................................................................... $60,385,471
at this office
1869.
$21,578,634
15.015,396
13,022,303
12,054,799
13,145,569
$74,816,704
SPIRITS.
In considering the large increase of revenue from distilled spirits for the last six months of the
fiscal year ending June 30, 1869, the subjoined facts should be remembered. Tliet e were in bonded
warehouses on 1st July, 1868, as shown by ihe accounts kept in this office, 27,278,420 gallons of
spirits. This included all claims for leakage then outstanding and a large quantity claimed to have
been destioyid by the burning of several bonded warehouses, as well as certain amounts which had
previously been withdrawn upon fraudulent bonds and were still unaccounted tor.
Under ihe provisions of the act of July 20,1S68, as amended, all spirits in bonded warehouse at tlio
time of the passage of the act were required to be withdrawn and ihe tax paid thereon prior to July
1, 1869; and by this requirement 24,383,951 gallons of spirits were necessarily forced up>on the mar
ket during this fiscal year, and served, to that extent, to increase the revenue from this source;
whilo on the 1st of July, 1869, there remained in bonded warehouse o f the new product only
<>0
DEPARTMENT REPORTS.
y ju n ita ry ,
16,663,838 gallons. It thus appears that the quantity of spirits in bond, to be withdrawn and
lax paid during the fiscal year ending June 30,1870, is less by nearly eight millions gallons than the
quantity which was compelled to he withdrawn and tax paid for the fiscal year ending June 30, 1869.
The following statement, exhibiting the movements in distilled spirits, is made from statistics
furnished by the division in charge of the subject in this bureau; and, although the figures may
not be absolutely accurate, they aoproximate it so nearly as to be deemed reliable.
Number of gallons withdrawn from bonded warehouses from July 1, 1868, to June 30,
1869, produced prior to July 1, 1868, at 50 cents per gallon..........................................24,383.951
Produced,prior to July 1, 1868, on which tax was paid at $2 per gallon...............................
95,561
Total gallons distilled spirits, old product...........................................................................24,479,512
Number gallons apple brandy produced prior to July 1, 1868, and tax paid after that date
at $2 per gallon.......................................................................................................................
37,122
Total gallons............................................................................................................................24,516,634
Number ot gallons of spirits produced lrom July 20, 1868, to June 30,1869, on which
tax was collected at 501cents per gallon........................ ..................................................... 36,704,046
Number of gallons of grape and apple brandy, tax paid at 50 centsper gallon........................ 871,737
Total gallons......... . . ......................................... ................................................................. 37,575,783
Total amount on which the tax was collected......................................................................62,092,117
Number of gallons withdrawn lor consumption and exportfrom July 1, 1867,
to June 30, 1868 .................................................................................................10,936,647
Of this was exported without payment of tax............................................................. 4,227,101
Balance on which the tax was collected for the fiscal year 1868.............................................. 6,709,546
From which it apprars that the amount for which tax was collected for 1869 exceeded
that for 1868, gallons..................................................................... ........................................55,382,871
There was produced during the year and in bond, July 1, 1868, gallons............................5 459,704
It would appear, also, if the rocords o f this office exhibit fully all the spirits that were co sumed
and exported during the two years, that for the year 1869 the consumption and exportation exceeded
that o f 1868 to the extent of 51,155,770 gallons.
These figures are pie3ented not for the purpose of showing the true amount of production and
consumption of distilled spirits, but to exhibit the tact that, prior to the law of July 20, 1868, the
government did not collect a tenth part of its tax ondistilled spirits.
After July 20, 1868, and prior to June 30, 1869, a period o f eleven months, the num
ber oi gallons of spirits, shown by the rt cords of this office to have been produced, and
the tax paid thereon, was................................... ............................ .......... *........................ 36.701.046
871,737
And of brandy from fruit during the same period.....................................................................
Total on which the tax was collected....................................................................................... 37,575,783
Produced during the same period and remaining in bond July 1, 1869.................................. 16,663.838
Showing a production in eleven months o f............................................................................... 54,239,6^1
Being at the yearly rate of 59,170,496 gallons.
T h e f o l l o w i n g t a b le a llo w s t h e r e c e i p t s
i n g J u n e 30,1869:—
f o r d i s t i l l e d s p ir it s a n d f r u i t b r a n d y f o r t h e f o u r v e a r 3 e n d
Year.
Spi i'8.
1866 ..................
$29,198,578
1867 ................................................................................................
28,296,264
1868 ..................................................................................................................... 13,419,092
1869 .................................
33,225,212
Biandv.
$283,499
868,145
871,688
510,111
These figures show simply the gallon tax. They do not include the capacity taxnor the special
taxes of distillers, rectifiers, liquor dealers, &c., which are elsewhere included in the leceipts from
spirit--. The ra:e of tax lor three years was $2 per gallon until July 20th, 1868, when it was reduced
to 50 cents.
It is not believed, however, that for the year ending June 30!h, 1869 the tax has been collected
on all the spii its which have gone into consumption, or that all manufactured, on which the tax
was uncollected, have been placed iu bonded warehouse; and it i3 not doub.ed that the results of
the current year will verify the accuracy of this opinion.
RESURVEYS AND CAPACITY OP DISTILLERIES.
According to the p'an o f surveying distilleries originally adopted by this bureau, the average fer
menting pniod is seventy-nine hours. There have been surveyed and operated, und r ihe law
ot July 20ih, 1868, by this p an, 864 distilleries. These distilleries have a total mashing and leimen ting capacity of 150,155 bushels ot gram in twenty-four hours, and a spirit pioducmg capacity
ot 473,666 gallons for the same period. The number ot these distilleries now in operation is 444,
with a producing capacity of 243,410 gallons each twenty-four hours when opeiating to their full
extent. The number now under temporaiy suspension is 4 ’0, with a producing capacity of 230,252
ga lomr each twentv-lour hours. Oi tliese it is estimated that at least fifty per cenr. will renew
opeiations during the winter months. One bundled now running have resuuud, with the ap
proval oi the government, since the 1st ot September last.
Having become convinced that t ie average leruien.ing period her=tofore established was much
too grea1, and was a means of fraud upon the revenue, I have ordered a resurvey o f all distil-
18701
DEPARTMENT REPORTS.
01
leriesin the tJnited Strtes. This work is now progressing upon the basi9 o f forty-t ight hours Or
the average fermenting period which it is believed is sufficient time, though, under necessary cir
cumstances and conditions, longer time may be gi*en.
By this resuivey the following result is o b ta in e d T h e present capacity o f the 864 distilleries,
at seventy-nine hours’ lermemation, is 473,666 gallons for every twenty-'oui hours.
By the resurver, at forty-eight hours’ fermentation, the capacity for each twenty-four hourss
timated at 677,342 gallon0.
'the present capacity o f the 444 distilleries now operating, at Beventj-iine hours’ fermen at on. |ls
243,410 gallons for every twenty-four hours.
The capacity of the sime, by the resurvey, on forty-eight hours’ fermentation, is 318,073 gallons,
or an increase of 104,666 gallons for each twenty-fi ur hours.
The per cent of increase in capacity by the new system ot survey is 43-100.
While this action is believed to be just to the manufacturer, it is expected to work a large in
crease of the revenue by preventing evasioas of the tax, and iumauy instances positive f.auds.
LEAKAGE.
The practice of allowing BDirits when taken out of bond to ba regauged in order to deduct the
difference, under the title of leakage, between the quantity gauged when ti e spirits were rcCaived
in bond and when taken out, has been a iruitful source of traud. This office is in possession of
facts showing that the government has teen generally and almost sysiema ically cte a u d by this
practice. Measures have been taken which it is hoped will result In recovering some o f the lorse*
thus sustained.
in view of these facts, and with a clear conviction that the act o f July 20, 1868, abolished all pro
visions for leakage on spirits manutactured after that date, and that, by the proper construc ion,
spirits previously made and placed in bond were no longer subject to deductions for leakage, this
office issued an order, on the l4thof Apnl last, dssallowing leakage in all cases.
It is believed that this regulation works no injustice to the dealer, while it saves the revenues from
fraudulent depletion.
THE LAW AS TO SPIRITS.
In the absence of reliable data to fix the annual consumption of distilled spirits, we are 1 f t > the
necessity of conjecture. Were I to express an opinion on this subject I should place the amouut
at not less than 80,000,000 of gallons. Thi3 quantity, ii the tax were collected, would yield a revenue
of not less than $52,000,000 basing the estimate on the hypothesis that the entire tax on spirits equi li
sixty-five cents per gallon.
The best consideration I have been able to give this subject ( has brought, me tp the conclutioi
that, after the preseht’ a^ taxing spnits^ba^'D^en Itrougljt ?ut\> <*nmplefe exoctfticn?-and mch auiem ments have been trade as tin.e and expedience mTry detmtifstrate to be hedes- ary'iu perfect the sys--•
tem, it will yield an,annual revenue.c.f ^60,000 000.
In view, therefore, of these probabilities, it is submitted whether it will he wire or expedient f« r
Congress to cliaBge ns legislation in^ny*e£t>enti§l pa-ficuiar i p ‘iO h 3 amount or i s t j t le ccl ection
of the tax on distilled spirits until i'uijthe.’ time sha)i be'glvia l
the merits of the present law in
all of its important provisions.
- * _ *
t
‘ «
c
*TOBACCO*- .
Referring to the comparative statements of ^eci^pts for different periods, so far as he ame T !at(g
tobacco, I have to say that, during the fiistti^Ajm chs o f the fiscal year 1S69 the gain on cigars
over the corresponding penod of the year 180&4yas ditty-six per cent.
The Joss on chewing and smoking tobacco foNrhe ; same;peTipd was fifteen per cent; the in
creased revenue from these articles, under the law of July 20, lt>68, not;bein« realized until alter Jan
uary 1, 1869, while on cigars the appreciation commenced immediately after the pas a,'e o f the Jaw.
The number of cigars returned for taxation during the last seven years is as follows:—
1803, at an average tax of $2 37>£ per 1,000............................................................................. 199,f83,£8f
1864, at an average tax of $2 37% per 1,000...........................
492.780,700
1865, at an average tax of $18 20 per 1,000..................................................................
693,239,980
1866, at a uniform tax of $10 per 1,000................
347,441,894
1567, at an average tax of $6 66 2-3 per 1,000..........- ............................................................483,806,456
1568, at a uniform tax of $5 per 1,000...................... *>•...*............... *•<.............................69),335,052
18G9, at a uniform tax of $5 per 1,000.......................................................................................991,535,934
It willfhe seen that during 1866, when the tax was at a uniform rate o f ten dollars per thousand,
only 347,443,894 cigars were returned tor taxation, whiie under the present law there were reta nrd
for the year 1869 nearly three times the number, wi:h the tax at the uniform rate o f fii-e d-dlars
per thousand.
The amount o f tax collected on cigars was for the fiscal year
1S69............................................................................... ......................
1866.............................................................................................. ..
$4 957,670
. 3,474,438
Showing an increase of revenue on the article for 1869 over 1S66, at half the rate o f tax
ation, o f........................................................................................................................................$1,4832-.'1
TOBACCO 8TAMP3.
Since assuming the duties of this office much time, labor and expense havo been b< stowed upon
the preparation of suitable stamps for the collection of the tax on tobacco. An ent r 1/ new set «*f
s ta m p B has been provided, greatly superior, it is'believed, to any internal revenue stamps for to
bacco previously issued ty the goyernment. A stamp in serial numbers has been adopted for pln.r
tobacco, adapted for all packages of ten pounds and upwards. This stamp is prepared with a stub
and tbe regulations require, in its use, the name of the collector who sells it and that o f the m an
ufacturer who uses it to be written tcereon, and consists of seven denominations, as follows:—Ten
62
departm ent
reports.
[January,
pound9, fifteen pounds with nine coupons, twenty, twenty-one, i wenty-two, twenty-three, forty and
bixry pounds. T h e s e stamps have been prepared with as much skill as possible by the engraver,
vi«h the view of protecting t h e government f rom imitations. The former stamp >or pluertobacco,
,>f ten pounds and upwards, is known to have been extensively counterfeited, greatly to tbe loss of
^rhestam ps for smaller packages of tobacco have also been changed, to prevent, as far as possible
fraudulent imitations. These improvements were found to be necessa y, and bave thus far aided
in protecting 'he government to a large extent, though it has not been possible to wholly de .eat tbe
practices of counterfeiters.
THE LAW AS TO TOBACCO.
I a m o f t h e o p i n i o n t h a t i t w il l b e u n w is e t o m a k e a n y m a t e r ia l c h a n g e i n t h e p r e s e n t c la s s if ic a
t i o n o f t o b a c c o t o r t a x a t i o n , o r i n t b e r a t e o f t a x im p o s e d o n t h e d if f e r e n t c la s s e s
M a n u f a c t u r e r s a n d d e a le r s a r e r a p id lv b e c o m i n g a c c u s t o m e d t o t h e t e r m s a n d r e q u ir e m e n t s o f t h e
Jaw a n d i t is b e l i e v e d t h a t le s s o b j e c t i o n w il l b e u r g e d t o t h e la w a s i t n o w s t a n d s t h a n t o a c h a n g e
t o a n y n e w s y s t e m o f t a x a t i o n , c o l l e c t i n g t h e n e c e s s a r y a m o u n t o f r e v e n u e f r o m t o b a c c o , t h a t is
li k e ly t o b e d e v is e d .
Some few amendments to improve the efficiency of the law, which have been prepared for this
efilce, may be de-med necessary, and which I shill be ready to communicate through you to Con
gress when required.
REVENUE STAAIP3.
Tbe following table is submitted, showing the net receipts from revenue stimps from March to
October, inclusive, ior tbe years 1868 and 1869:—
1868
1869.
March....................................................................................................................... $1,270,095
$1,602,648
April.......................................................................................................................... ...
1,466,864
May ......................................................................................................................... 1.230,837
1.465,333
lu g u st...................................................................................................................... 1,133,769
S ‘ m e m b e r............................................................................................................... 1,165.513
October..................................................................................................................... 1,367,033
Total......... L . ' ■.v .‘. •4
• * (- •
!'••? — •?
-*J. . . . . • ................*9,656,401
1 2.0,156
1,250,543
1,271,364
$10,768,!91
This 8 lows an increase in revenue from stamps during Ibis1
months o f nearly one million dol
lars. Tuis increase, though cpncjderacbie* js> by do mean^ reckoned satisfactory. It has resulted
mainly lrom the policy ot this pffice'rii$ Ap:il fast, Requiring iill’ stamps to be so placed on the instiumeut of writing as to exhibit the entire itcV o f 1hc stamp rend prohibi mg the practice which had
obtain'd extensively of covering‘the' supposed naif ot one stamp by tte attachment of another,
when, in tact, the stamp was cut in two and one half used to represent a full stamp in another
in s' ante.
Tbe g ■<ss ifc^ipts from stamps for the lil*t#scai: year were $16 420,710. For the current year they
arj estimated at $17,560,000, but it is believed ihat this tax ought to yield at least $20,C00.C00.
The British government collects a much larger sum from trie same source, its recuip!s averaging
frum 1865 to 1869, inclusive, over $60,000,OCO per annum. This fact is frequently stated by public
speakers and journals as an evidence o f the grtat defect of our system; and while theie is some rea8, n there is yet more injustice, in this strict comparison. The British syrtem is not so well under
stood in this earn try as to make a comparison of receipts, merely, lair to us. The one salient po-int
however, T h a t we fail to col ecc, as much revenue as our sys ein ought to yield, cannot be ignored,
lhe cause ot this failure, and the remedy for it, have received as much attention lrom me as the
merer sing labors of this bureau wiil permit.
O n e u n o o u b - e d c a u s e is t h a t p a r t ie s f r e q u e n t l y o m i t t o s t n m p in s t r u m e n t s r e q u ir e d t o b e s t a m p e d
b y l a w . T h i s is t b e r e s u lt o f n e g l i g e n c e , f r e q u e n t ly , a n d o f t e n o f d e s i g n .
A r e m e d y f o r t h i s w o u ld
b e f o u n d b y i n v a lid a t i n g a ll in s t r u m e n s n o t s t a m p e d a c c o r d i n g t o la w , a n d b y m a k i n g t h e p e n a l t y ,
t h o i g b c o m p a r a t iv e l y li a b t , a t l e a s t t w ic e t h e s t a m p d u t y , a n d n e v e r le s s t h a n fiv e d o T a r s w h e r e
t , e o m m i s s i o n a p p e a r e d l o b e fio r n n e g l e c t o n ly , a n d n o t u e s ig n .
I a m o f o p i n o n t h a t t h e m o s t s e r io u s a b u s e in t h e e v a s io n o t t h e s t a m p la w s is t h e f r a d u le n t
s e c t n d u s e o f s t a m p s a f t e r w a s h in g a n d c e a n s i r g t h e m f i o t n t h e f ir s t o f f ic i a l c a n c e l l a t i o n .
V a
r io u s m e t j o d s fo r p r e v e n tin g th is ^ p r a c tice h a s o e e n s u g g e s te d , b u t n o n e fr e e fr o m d iffic u lt y o r
o ija c tio n .
O n e p l a n i s t h e a d o p t i o n o f t h e m e c h a n i c a l c a n c e la t i o n .
V a i i o u s in s t r u m e n t s h a v e
h , n p i e s e i t e d t e r t h i s p u r p o s e p o s s e s s i n g m o r e o r le s s m e r it .
T h e o b j e c t i o n s t > t h i s p la n a r e
b e e x o e n s e o f t h e i n s t r u m e m t >b e p u r c h a s e d a n d u s e d , a n d t b e i n c o n v e n i e n c e t o t h o s e r e m o t e
t r a m t o *ms a n d c it i e s , d o i n g l i t t l e b u s in e s s a n d r e q u ir i n g fe w s t a m n s , w h o w o u ld b e o b l i g e d t o p r o \ i i e t h e m s e l v e s w it h a c a n c e l l i n g i n s t r u m e n t o u t o f p r o p o r i o n } o t h i r m e i n s a n d n e c e s s i t ie s .
A n o t h e r p la n ii t o p r in t s t a m p s w ith a f u g i t i v e i n k , s o a s t o r e n d e r , i t i m p o s s i b l e t o r e m o v e t b e
c a n c e l l a t i o n m a r k w it h o u t d e s t r o y i n g t h e l a c e a n d b o d y o f t h e s t a m p .
T h e fa v o r a b le a n d a d v e r s e
o p i n i o n s o f e x p e r t s a n d c h e m is t s a s t o t h e p r a c t i c a b i l i t y o f t h i s p la n s e e m t o b o a b o u t e q u a ll y
d iv i d e d . It is u r g e d h a t s t a m p s s o j r i n t e d , w h e n s u b je c t e d t o a t m o s p h e r i c a c t i o n a n d e x p o - u r e t o
d a m p n e s s , W o u ld b e f o u n d t o d e f a c e s o r e a d i l y a s t o r e h d e r t h e m f r e q u e n t l y , w o r t h le s s t o t b e
p u rch a ser.
. . .
A . oiid plan is to print stamps on a distinctive paper, to be provided by the Treasury Departn e t for all government stamps, and which, for revenue Stamps, is to be enamelled and printed in
p nnanent ink, not subject to lade from exposure but by which the whole face of the stamp would be
obliterated by an attempt to washjoff tbe marks of cancellation.
Whiie n. is doubtful if this last plan is feasible, from the liability o f the enamelled stamp to break
wl cn fol :ed, I am unwilling to express any opinion at present—as Jbetween the plans or in favor of
acy one *f lhe pi ms proposed.
18701
DEPARTMENT ItEPORIB.
G3
I would su re s t that it be recommended to Congress to authorize the Commissioner of Interna!
Revenue to send an agent to Europe to examine and become familiar with the stamp systems o f
other governments. In this manner alone, and at small expense, lliis government can avail itself
of the knowledge which science and long experience have lurnished on this subject to older govern
ments.
INCOMES FROM INDIVIDUALS.
The total amount collected on the annual list of incomes for 1867 was...................................$27,417,957
Forfl863............................................................................................................................................23,390.371*
For 1869 up to N ovem ber............................... ................................ .......................................... 25,293,680
This last smn will b -. increased to an amount over $26,000,000.
As ibis tax expires with the assessment lor 1870 it will be lor Congress to determine whether we
eau part entirely with the receipis ironi this source ot' revenue; and if not, whether any suostituto
can be devised more just and equitable and less burdensome to taxpayers.
It the income iroui tbis source cannot be spared from the general receipts, and other object*
cannot be round muie accep.abie as a subst tute, it is for Congitss to deb rrnine whether or not the
tax shall be rene wed.
In cons deiing tnis question, after determining the total amount which ought to be realized from
internal revenue sources, and considering careiuliy what will be realized by the ] retent sjstein,
without resorting to incomes, the question will present itself whe'.her the enure income tax, as new
usaessed, shall be revived, cr whether it shall bo renewed at a less rate of taxation. My opinion \<‘ r
that so long as a large internal revenue is required by the finam i 1 necessities o f the govern m'Dt,
a portion of that revenue should be collected from in c mes. The reasons for lhis seem apparent
and forcible. This tax reaches simply the pro tits o: t a le and busiaets, and the increased *eafih
ot individuals from investments. It the tax were paid as these proli<s and accumulations i c r ie
it is not believed that it would be thought objectionable; but, being required to be paid all at one
time, and oiten alter the m cjm o has been reduced bv the expenses ot tho taxpayer or leinvetiei
in business, it seems more onerous is more seriously complained against.
The objection most frequently and earnestly made against this tax is that it I ads to a s;stem of
espionage Into private alfairs that is not only offensive, but sometimes injurious to individuals.
I do not see why this objection nay not, with equal force* be urged against all taxes ux^on perfonsl property. Such taxes cannot be collected without asc rtaining the ami n a tof tax .ble properly
I css &t*a by the taxpayer. The law imposing a tax upon incomes dots not. i .g more that this, if so
much. It simply requites a truthful and hoLest statement oi the actual income ot the taxpayer du ing the preceding ye^r, which can be complied with as easily and with as little exposute of piiva e
affairs as any other law—national, State or municipal— which seeks to raiso revenue irein thef en.onal
estate of taxpayer.-.
Af.tr all, it is but a tax upon the increased wealth of the nati -n, and wLei it is und rs o i l that
government securities are exempted fio n taxa i>n, and tk.it ihe interest on these securities pro
duces a lirg- amount oi ihe incomes of taxpayers. I submit ir it will be wise to aboli'h. the income
tax so long as the labor, inlustiy m d bis Less of the county are d rectlr or indirectly sui jee e i t »
r nv considerable taxa'ior. These observa'iuns are intended to apply to the qu-stiens wn t'acr tl e
iicn n e ta x shall be letained or abo s ltd, and not to tae rate ot the tax or the manner of its
assessment and collection.
SUPERVISORS AND DETECTIVES.
The policy of changing supervisors from one jur^Lclion Va another has been found
he advanta
geous. It inspire* new zeal and energy in the officers, and ire quernly re i -ves them irom local r a bjrrassments that tend to diminish their . Use fulness. This ohice has proved of gTeat im jotan co
to the service, and should a ways b«* liJied with men o f undoubted n:e;ri<y a i l capaci y, who
possess a i-igli o r * r of general busine s qualifications. The present .salary is no' suffic.eit to
always command lu .h qualifieacions, and I venture to lesomxnend the propriety and economy ot inc reusing the sa ary. The apparent reason for placing the appointmenv of super isors wff re it now
rests no long r exists, and is not i^dy to again occur. I would, therefore, suggest tba; the law bo
amended, so that This officer shall be aomm<.ted by the President and confirmed by the Senate,
Detectives, as they are now termed by law, are in tact but the assistants of supervisors. Tae name
has proved or dj advaumge to the tervice, is gtneral’y regaeded as odious, and for this rtasen
many very competent m n nave l e n unwilling to accept o f ihe apj oiitm eni ot detective. I am
oi op nion that the puouo service would be promoted bv changing ihe name to that of assistant
supei visor, leaving the mai n r o f appointment, th9 tenure of office and compensation as now pr videl by hw.
F B IV E N T I0 5 OF FRAUDS.
The exp cren c«of this office has confirmed ihe opinion I entertained when entering upon it*
duties as *o tie only means of preventing frauds and enforcing t ie revenue laws* Ih o ? o fjic tr T
if a« complisbed, must be attained through the ioial officers in each collect cn district. In this view
it wes that extiao diuaiy eti © .vors were m ale lor the selection of proper internal levenue officeis,
w t i the incoming o tl e p et6 t administration.
Where the g v ruimnt has placed efficient and honeit a 'lesors and asfistanta the taxes me
as e sed withoifc delay and with eis-nable accuracy. The same may be said of the collec i >n i f
■he reveuue, where col ec ing officers of likeciaracter are ound. With capable and honest gaugeis
and storekeepers, it is not perceived now there can be any allure to collect the tax o i uistiil-d
spirits. It is a tact worthy
not that while it is nearly impossible for a cistil e : to oefiaud the
rev eons without the knowledge and privity of either gauger or store! eeoer, or oi both, Ihe reco.-ds
of tiis bmeau furnish scarcely an instance where one of these effiotra has disclosed the ft aud
it'. nt practices ot a man- fiiturer re refo m this branch of the Birvice, a rule baa been adopted
to appnnt as. i tan< aa; gsors and gau. eis on the rscommendatson of assessor?, and storekeipere
on tne recommtudvttm oi CJlltQxr.. Tl is rule is adhered to except for special reasons. Circular
Department reports.
64
|January,
lettorshavebesn adens ed to all assesso; s and collectors enfoicing the impoitance o f recommending
proper men only i<r such positions; an i when tht s officers art made to eel that they are resj onsible
for the execution o f the tans in cheir districts, and that their tenure ot office, as well as reputation
depend-* on their .-ucct-ss, it is Ik liv e d tLat meet of the evils and obs ructions wilt bo remedied.
Certainly, I have more hope of succer-s by see ding the aid of honest, capable and faithlul local offi
cers ih in siems to be warranted in any or all the mechanical devices which have been or can bo
suggested for the prevention oi fr uus in the revenue service.
l i r a INTERNAL REVENUE LAWS KOT UNJUST OR BURDENSOME.
the total reef ipls of in'ernal revenue for the fiscal year 1839, there were collected from the
following sources:—
Spirits.. .
.............................................................................................................................. $45,062,402
23,430)708
Tobacco..............................................................
Fermented liquors......................................................*............................................................... 6,099,879
Incomes and salaries............................. ..................................................................................... 34,791,856
Stamps..............................................*........................................................ ................................... 16,420.710
Bunks and banke rs........................................................................................................................ 3.335,517
Legacies and suecesimus.......................................*...................... ............................................. 2,434.593
Schedule A, and passpor s .........................................................................................................
912 314
Gas companies........................ .....................*............ ................................................................ 2,116,006
From other s-ourc-.s....................................................................................................................... 25.471.356
Of
T o ta l..............................................................*................................................................... $160,039,344
The amount from other sources was col)ce!ed from the gross receipts of railroads, insurance and
express companies, from she salts o ’ brokers, dealers and manufacturers, from special raxes and
uom p e n a h i e s and mtscc-1 a n e u U s sources.
It is estimated that at least ninety per cent of the entire receipts was collec e i frem a few ob
jects and sources, all of which may be c atsedas luxuries or as the accumulated and associated weal h
of the country.
It is difficult to eee how the necessary r venue from internal sources can be oVainod with much
great r m p ect for labor, and vith more jus ice to ibe common inJus.ry than :s secured by the
present law.
It may well be doubted i any considerable portion of the tax can be objee'ei to on pd.mple or
for irjuiiou iy interfering with th3 manu acturer, or being too l:i h. It is the fairest tax, the
mostoqoul and least burdenrome of any laid on the citizen, for it is a ri venue paid in proportion
to the free coesuiup'.ion and iuc easing prod's of the people.
I utsire to add my opinion that lhe preteut system ought, in a short lime, if faith'fully admin
istered, jo yield a revenue not below the following estimate, from the following sources:—
Spirits. .................................................................. ............. ............................................. ........$6',000,066
Tobacco.................... . .....................*.................................................................. .. *.................... 35,000,000
Fermented liquors......................................................................................................................... 8^000,000
Incomes, salaraies and schedule A ....................................... ........................................ ........... 40.090,000
Stamps
......................................... .......................... .............................................................. 20,C0B,0CO
Banks and bankers...................................................................................................................... 3,500,050
L e g a c i e s a n d s u c c e s s i o n s ........................ ....................................................................................
4.000,000
Gas companies....................................................... . •............. *.........>..............•»...................
2,500,000
Total..............................*................- ............................................................................... $173,000,000
I f these conjectures are well founded, after a brief period the excise tax can be limited to still
fewer objects ot taxation than at present, and those such as all admit to b >the ones that sheu d
bear the burden. The realization or'these anticipations will enable Congie3« to sweep away the
special or license tax and all other that lest upon the laber, industry and sma ler business traesations of the country.
AMENDMENTS TO THE LAWS.
The practical ooeration o f tlo* ravenua laws has suggested to iffic -rs o.* this bursau having charge
uf the resoective b r nches of the ser\l e various amt ndaients, which, i f made, will facilitate, it is
believed, the Collection of lhe rev nue, and secure, in tbo administration o f the lavrr, a mo.-e per
fect accomplishment of the intent aaa purpose of Congress.
These amend nun s do nut affect the general system, but look entirely t j
explanation of ] r visions not clear frou>|ioubt and arnbigu ty, and the supplying of some 'ew manifest ommissim s
m the law. A f er being we ^considered a syiopsw will be prepared, to be us^d by the Sscrctary or
the Treasury, according to his discretion, or to b3 furnished to Congress cr i s committee, as shall
be required.
SPIRIT METERS.
The facts preceding and attending the adoption by this office of the ins'ruraents known as the Tioeraeters, as mca is or measuring the quantity and deforming the strength o f distill, d spirits, with
the view of arriving at a c i r e c t bans ot taxation, and also as means of preventing and detect ng
frauds, by ’ ho pracess o : automatic registration in sealed and otherwise protected safes, have
been so fully reported by my predecessor as to render unnecossary any m >n ion of them here.
Since first undertaking the discharge o f the dudes of this office I have r-'adily borne in mind
the importance of correctly ascertaining the quanti:y and strength o f the spirit* distilled at any
distillery operat ng under the laws and regal .tions governing this branch ot domestic industry,
to the end that no part of the revenue legitimately derivable from this souice might be lost to the
1«s7 01
pu b lic
debt
of
rriFi
united
(55
states.
government. Hence, by regulations and inst-uct'ons, I l ave endeavored to obfciin wba‘ ev«r aid in
tlisduectiun was to be bad Irom 'lie ius>ruu<ents named above, enprcv d an I r com no n i d. as'they
were, bv a comim 'ee of distinguished S' ientibc gi n;lm n, and a (opted by my prede essor, wir,b
the sanction of the Secretary of he T ieauiy. And it now become m> duty to sav th t -b i'e ihe
Tice m*’teis appe:r to have operated »*1« under circutns>»i ces m «v<r, r»« ect favorable, under
other circumstances, by which chey raus at 11 time' and in all place* bs n ore or l<8' aifected, tie
weight uf •eoiimony before mo is such iha’ I have be^n led to •oub« heir snfHcie cy for ihc i u p ses
designed. In conseqeunce of such doubt and that di M eries migh n t besubject-d to an ex.» hsj
whic* is represent'd to be burdensome w t m >ut u eg«*vtram nt at aining thereby a coro sp n in g
pr-aectinQ to its revenue accruing from this soutce, I ha\e receo 1. pr v:ded for ceit in txp r ment-al tes s 'ith these instrument which will de •rmine their mili'y or ot erwise, m me light of
practical ix erience. These tests are n-nv under »ay and are con lu ted by jer-ons who and n a
manner *nich can hardly fail to bring abo. t satisfactory remits, whether favorable to the in
strument or not
The resu ts thus anticipated will be made known in a supplemental report at the earliest time
practicable after their development.
EXPENSES OP COLLECTING THE REVENUE.
rherewore paid tor expenses incident to the collection o f the revenue for 1808.................. $8,776,814
For 1869............................... ...........................................................................................$7,394,396
Deduct -.he amount paid to storekeepers, act ot July 20, 1868.................................
608,918
Lea' inc for this year on the basis of the account for 1868..........................: .......................... 6,785,477
Decrease in favor o ’ 1869................................................................................................................ 1,991,337
By an amendment to the act of July 20. 1838, passed M trch 4, 1809, the compensation o f storekeei e s is to be repaid to the government by the manufacturers o f distilled spirits and owners of
warehouses. These re-payments are lound to be dith u't to collect, and I am ot <piuion ihattsis
mode uf paying eto:e-keeper■should be abolished at once. Only $175,785 of the amount expended
by tlie goveiniurut f r this purpose bad been reoaid on the 30th o f June, 1869.
The accounts of this bureau do not sho.v precis ly he exm < es of c lectlig the revenue fo eich
year, because the amounts charged during each ear embr ce expenses actuiliy incuire.i iu t ie e eceding year. The expenses ot 'he bureau for tbe year 1868 were.......................................$567 214
Deduct ih ecosto. printing stamps, and for rent...................................... ................................. 150 000
Actual expenses o f the bureau for 1868...................................................................................... $117,214
Ex.iemes *or the year 1869.......................................................................... .....................$650 895
Deduct :or p-ruling stamps, &c..................................................................: .................. 256,090
Actual expen e j .................................................................................................................... ................40 ,3 5
D.crease m favor of 1S69...................................................................... .........................................$16,819
Prior to the act of July 20, 1868, no stamps for distilled spirits and tobacco were required.
expense has now become an impor ant hem.
This
The commissions allowed on the sale of stamps for 18e9 were..................................................$915,217
For 1868............................................................................................................................................... 805,638
Increase for 1S69.................... ............................................................ .......................................... $109,579
These commissions were at tbe same rate during each year and th3 increa e is due to the larger
sale ot stamps during the year 1869.
*
*
*
*
*
*
*
*
*
*
*
T H E D E B T STA TEM EN T FOB JA N U A RY.
Th 1 following is the official statement o f the public debt, as appear*1
fro n the books and Treasurer’s returns at the c.ose of business on the I st
dav of December, 1869 :
D e b t b e a r i n g I n t e r e s t I n C o in
Character
o f Issue.
"When Payable.
5’s, Bonds........... After 15 years from January 1, 1859 ................................ .
5’s, Bonds ......... After 10 years from January 1,1861................................ .
6’s o f 1881........... After December 31,1880................................................... .
6’s,Oreg.War,’81.Redeemable 20 years from July 1,1861............................
6’s o f 1881........... At pleas, after 20 years from June 30, ’61...........................
6’s, 5-20s.............. 20 years from May, 1, 1862*................................................
6’s o f 18:11........... After June 30,1881................................................................
5’s, 10-40’s ........... 40 years from March 1, 1864f.............................................
6’s, 5-20’s ............20 years from November 1, 1864*.......................................
6’s, 5-20’s ............20 years from November 1, 1864*.......................................
o’s, 5 2 i’ s .............20 years from November 1,1865*......................................
Ts, 5-20’s .............2» years from July 1,1865*.................................................
6’s, 5-20’s .............20 years from July 1,1867* ...............................................
6’s, 5-20’s .............20 years from July 1,1868* — .'.........................................
Aggregate o f debt bearing interest in c o in ........
Coupons due, not presented for payment.
Total interest.
Amount
Outstanding.
Accrued
Interest.
$500.0 0 00
7,022,000 00
175 550 00
18.415.000 00
5 2.4 0 00
945,000 00
28,350 00
189.317.600 00 5,679,52-< 00
514.771.600 00 5.147,716 00
75.0
0,000 00
2,25 ,000 00
194.567.300 ( 0 3,242 7 8 31
3,882,500 00
3<8T» 00
125.561.300 00 1 2 5.613 0»
203,327,250 00 2. 33,27i 50
332,998,950 00 9 989 968 50
879,590,150 00 11 387,737 50
42.539.350 00 1276.183 50
$ 20 , 000,000 00
$2,107,933,000 00 $13,:V7. 79 3 A
.........................
5 239,70125
$ .8,797,* S3 „8
5
66
PUBLIC DEBT OF THE UNITED STATES,
[January,
D e b t b e a r in g In te r e s t i n L a w f u l M o n e y .
3's, Certificates. .On demand (interest estimated)......................................
8’s, Navy pen. f ’d.Interest only applic. to pay. o f pensions...........................
Aggregate o f debt bearing interest in lawful money............................
$45,545/00 00
14/00,000 00
$91°,900 00
210,00000
$59,545,000 00 $1,120,90) CO
D e b t o il w h i c h in te r e s t h a s c e a se d s in c e m a t u r it y .
6’s, Bonds........... Matured December 81,1862 ................... .
$6,0C0 CO
6’s, Bonds........... Matured December 31,1867...................
14,150 00
6\s, Bonds........... Matured July 1,1868 (9 months’ inter.).
58,700 00
5’s, Texas indem.Matured December 31,1864....................
241,000 00
Var., Tr’v notes.Matured at various d a tes......................
103,564 64
5@5K’s .'fr,y n’es.Matured March 1,1859 ............................
2,400 00
6’s, Ti eas. notes.Matured April and May, 1S63.................
3,250 (0
7 3-10’s, 3 years.. .Matured August 19 and October 1,1864.
30,760 00
5’s, 1 & 2 years.. .Matured from Jan. 7 to April 1,1866 __
288,392 00
6’s, Certif. o f ind.Matured at various dates in 1866...........
12,000 00
2,45 <820 00
6’s. Comp. int. n.Matured June '0,1867, and May 15,1868.
4,5& 6’s, Temp. 1.Matured October 15,1S66........................
182,069 00
7 3-10’s, 3 years...Matured August 15, 1867, and June 15.
743,850 00
and July 15,1868....................................
A ggr’te o f debt’on which int. has ceased since matur,
$4,110,936 64
D e b t b e a r i n g n o in t e r e s t ,
Authorizing acts.
Character o f issue.
Jult 17,1861 and Feb. 12,1862........... Demand n o te s .............................
F cd. 25 & July 11, ’62, & Mar. 3, ’63 . .U. S. legal-tender notes..............
July 17,1862....................................... Postal cu rrency...........................
March 3,1863 and June 30,1864........Fractional cu rrency....................
March 3,1863......................................Certificates for gold deposited..
D e b t b e a r in g I n t e r e s t i n C o in —Bonds at 5 p. cent.
Bon ds at 6 p. cent.
120 (0
195 0»
1,120 35
13 720 08
720 00
475,298 00
7,562 80
27,150 52
$544,906 60
Amt. outstand.
...
$113,01)8 50
... 356,000,000 00
•| 39,762,661 6S
40,17C,3SOOO
Aggregate o f debt bearing no interest.................................
R e c a p itu la tio n .
$361 00
849 0 0
2,641 50
12,100 09
3,069 35
,$433/46,143 18
Amount
Outstanding.
$221,58.),: 00 00
1,836,319,800 00
Interest
Total debt bearing interest in coin....................................................... $2,107,939,100 00 $48,797,683 53
D e b t b e a r in g In t e r e s t in L a w f u l , M<>n e >—
Certificates at 3 per c e n t .....................................................................
Navy pension fund, at 3 per cent........................................................
Total debt bearing interest in lawful m o n e y ......................................
D ebt on w u ic u In t . has ceased s in c e m a t u r it y ...................................
DE3T bearin g no I nterest —
Demand and legal tender notes...........................................................
Postal and fractional curtency............................................................
Certificates o f gold depositeu.............................................................
Total debt bearing no interest.
$45/45,010 01
14,000/00 00
$59,545,000 09 1,150.900 00
4,140,926 14 514,906 60
$357,113,098 50
39,762,661 68
40,170,3.0 00
$436,046,113 18
T o t a l.................................................................................................... $2,607,671 179 82 $5^,463.490 18
Total debt, priu. & int., to date, including coupons due not presented
lor i ayment...................................................................................................
$2/58,134,670 CO
A m o un t *n t h e T r e a s u r y —
Coin...............................................................................................................................
C urrency......................................................................................................................
Sinking mnd. in U. 8. coi.n ini’st b ’ds, and accr’d int. thereon............................
other U. S. coin int. b ’ds purchased, and accr’d int. thereon............................
$109,159,475 96
12,7 3,963 02
22,545 927 34
<4 998,350 37
Total..............................................................................................................................
$209,387.716 69
Debt, less amount iu the Treasury.................................................................................... $2,448.74 ,953 31
Debt, less amount in the Treasury oil the 1st ultimo...................................................... 2,452,559,735 23
Decrease o f debt during the past month....................................................................
Decrease o f debt since March 1,1869 .................................... ...................................
4/12,781 9*
$5C,7i 6,3j6 70
B o n d s is s u e d t o t h e P a c i f i c R a i l r o a d C o m p a n i e s , I n t e r e s t p a y a b l e in
L a w fu l M o n ey .
Interest
Interest
Interest Balance of
Pharapt.pr o f Tssue
Amount
accrued
paid by repaid by inte’t paid
onaracier ox is&uo.
outstanding, and not
United transo’ tion by United
yet paid.
States, o f mails,&c. States.
Union Pacific Co....................................... $27/75,000 00 $812,27: 32 $2/81,869 S9$i,107,427 54 $974 442 35
Ka= sas Pacific, lat •. U.P. E. D.................
6,303 000 00 189,0.0 (0
834,813 09 6A.224 99
203.58810
S iou i City and Pacific..............................
1/28,320 00 48/49 60
96.508 69
t69 49
96,13929
Pocifif
2,362,000 00 61,874 22 588,816 8 5\
CA
Cential P a cific........................................... 23,519/00 00 701,209 86 1,180 399 75 C 11€,,G5 86 L602,4j0 <o f Atchison & Pike’s P ea k .................
J,GOO,000 00 48,000 00 205,808 25
5,301 92
200,5.634
Central Branch Union Pacific, assignees
Western P a cific.........................................
1,643,0:0 00 26.615 61
46,606 01
...........
46,606 03
Total issued........................................... 64,135 310 00 1,390,853 64 4,984.122 51 1,861.0^9 71 3,123.732 83
* These bonds are redeemable at any time after 5 years from the date here given and payable
aflei 20 years.
■\ These bonds aio edcemable at any time after 10 years from tin date bore given and payable
after 40 years.
1870]
ANNUAL TABLES,
The tables which follow on succeeding pages present our usual annual statistics o f the fluctuations in the price
of Gold, Stocks, Government Bonds, and Foreign Exchange in the New York market during the year 1801).
In the M agazine o f February, 1869, the tables in similar form for a number o f years previous were published.
COURSE OF NEW YORK STOCK EXCHANGE BOARD FOR
1869.
Statement showing the Highest and Lowest Sale Prices o f Shares at the New York Stock Exchange Board in each Month.
STOCKS.
January.
1—B ail'd ( t o n s :
A lton & T. H aute..
do
pref.
Boston I f . & E rie..
Cliicago & A lton ...
do
pref.
Ohio. Bur. & Q u in .
Cliic. & Gt. Eastern
CMc. & N ’ western.
do
p ref
Chic. & K. Island ..
Cin., Ham. & Day..
C ol., Chic. & la d . C
Cleve. & P i’ t s .........
Cleve. & Toledo . . .
Cl., Col., C n. & la .
B el., Lack. & W est.
Dubuque & S. City,
do
pref.
4 2 * - 39
6 9 * - 68
28 - 27
151 -147
150 -148
2 JO -185
48 - 43
8 4 * - 81
92 - 8 3 *
135#-117*
77 - 77
59 - 43%
9 S * - 82%
107 -1 00 *
75 - 73
12>*-119
97 - 94
do p ret..................
4 0 * - 38
64 - 61%
February.
March.
April,
May.
Jane.
3 9 * - 36
40 - 38
40
38 - 35
63
68 - 65
6 7 * - 6 5 * 7 2 * - 63
2 5 * - 2 5*
159
-119*
162
162 -149 161 -156
m -H i"
1(50 -153 158*-151 1(51*—150 161 -159* 160
174*-172
175 -172 199 -180 199
190 -187
4 1 * - 39
6 8 * - 65*
-3 3
- 59
J u ’y.
m y fh iy
-1 52 * 166 -158
-159
166 -159
191 -188
-190
,
August.
September
36 - 33
59 - 58
59 - 54
168 -153 151 *-135
162 *-155
156 -135
200 -1 93 * 170 -160
O ctob er.
83
60
18
146
147
165
November December.
29 - 25
2 6 * - 25
-8 0
58 - 58
57 - 57
- 56
11 - 9 * 10 - 7 *
- 17
-135# 152 -145 M 6 *-1 4l
-136* 149*-146* ’ 4 5 * -l4 0
151 -1 4 7 *
-159* .155 -147
7 3 * - 6 9* 7 5 * - 6 5* 7 6 * - 6 6 *
8 5 * - 8 3 * 89 - 8 3 * 9 0 * - •0 *
110 -103* 106*-1 0 2* 1 0 8 * -1 0 t*
75 - 75
28 - 2 * 23 - 19
34 - 2 4* 2 6 * - 22
84 - 79
112 - 82 104 - 86* 86 - 79
94 - 85
93% S3 - 78* 8 3 * - 83% 8 6 * - 63
8 7 * - 83
S 4 * - 82
8>K - «
9 2 * - 90
9 2% - 89 V 9 8 * - 9 1 * 1 0 3 * - 9 6 * 105)4- 93% 9 6 * - 93# 101 - 93% 95 - 79
116*-113*
138*-125 123 -115
132 -126* 131 - m % 139 -128
H S X -llI X U 5 * - l 2
56 - 4 5* 46 - 4 2 * 49
94
94 - 8 9 * 8 9 * - 87
106*-103* 107*-107* 97
74 - 6 8* 69 - 6 2
79
119*-115 117*-113% 116
107 -103
1.15*-! 07 116
10 L -101
33 - 33
- 38*
- 86*
- 96*
- 64*
-113
114*
3 9 * - 35
47 - 4 1 * 4 3 * - 39
9 9 * 92 1 0 3 * - 9 1 * 109*-102
7 5 * - 6 8 * 7 5 * - 73
119*-115
119 -113
Il6 * -li0
109 -105
76 - 72
113 - n o
105 -102
37 - 33
103*-104
73 - 73* 78 - 7 4 * 75 - 7 3 *
8 * - 73* 79 - 71
111 -404* 08 -1 05 *
113 -111* 113 -1 05 * 111 -109
112 -1 07 *
113 -101* HI -104 110 -108 109 -103
12 - 27
71 - 5 7 *
3 4 * - 29*
5 9 * - 54
30 - 27
53 - 42
* 7 * - 21
4 6 -3 9
ANNUAL TABLES,
The following is the Course of Prices at the New York Stock Exchange Board, each month, for 1869:
CODESK OP NEW YORK STOCK EXCHANGE BOARD FOE 18 60 .— Continued.
STOCKS.
H a rlem ..... ...........
do p r c f ...........
linn. & -nt Joseph
d >
pref.
Hudson Fiver .
Ill oois C en tra l___
Joliet & C h ica go...
L. >h.
Mich. S
Marietta & L'in., 1st
do
2 .
January.
142%-1*5
110 - 90
110 - 91%
137%-13o
4»%-13<l
92 - 92
40 - 45
■103 - 90
...............
Febiuary.
140 -137
...................
122 -109
U J - OS
13*%-135
14- -18c%
95 - 95
March.
137 -134% 150 -135
119 -108
'i5 - n o
1 OX 1353i
14 -139
96 - 96
47 - *5
105%-101% 107V-105
New Jersey
130 -128
21 - 23
S % - SX
...............
118V-117V
9. % - 94%
n n - n ix
80 V - 76
88 - SK%
ISO -i29% 12b - l '9
119 -114
114 -112
156 -138
145%-139
95 - 95
46 - 46
10 % - 97
23%- 20%
8% - 8%
132 -118%
103%- 95%
81 - V . h
98 - 80
3 >X~ 87%
126 -1>4
May.
152 -146%
l"0 -14.5
1-20 -1!4%
119%—ll2 4r.
194 >.-152
14? -14)
117 -103
June.
160 -123
149%-129% 141V-129
163 -162
l’ :J3
130
194
146
125 - 92
123 - 97
18654-131
lo9 -134
.................
il 2 -105%
111 -10S
7iX-156X
13 * -132
02X - W X
109 -104%
109 -104%
T ; ert W . & v .
do
pref.
W arr-n ...........
07 - 59%
78 - 73
'■8 % - 91% 92% - 91
111 is l l i x
82
Si
68 - 63V
77 V - 77
3414- »■&
0 0 325
1:« -121
97X - 91
!3i -122
128 V -120
1SS^-179 V
142 -139%
..................
50 - £0
1"8%-107
109 -106
172%-154
140 -131
134 -130
M X - 5S%
104%- 97 109%-101
i w x - i s x x 2 1 2 % -m
io :% - 97
203^-15!
1 - 18%
83%
21% - 20
121 -119% '2 4 % -il7
71 - 6 % 74 H - 66%
8 »& - 18>4 87 % - 8 %
83 - 87
8S.%- 85
120 -120 n o x - m x
;1 • H i
102 - 91% 98 V:- 88
94% - 85%
19 -171% 192%-169%
96 - 87
140 -'3 5
i s i - i s x 145 -132% 140 -135
125 -124V 128 -124 110 -128
130 -130
105 -105 105 -104% 112 -112
H i -112
110 -125
131 -130
111 -138% 149 -140
Ml -132 140 -137
108 -lo b
33 - 31% ZVX- 31% 3-2X- 24
x x - m 'x 37 - 32
79%- 76V 70 - 70
325 -3 'vi 300 -295 285 -270 270 -230 251 -240
15!) -152% 157££-150 I5t% -15l%
150%-140
90 - 8<%
’ 00% - 96 • 99% - 92 ij 98 - 95% 0-J4- « i
1- 1% - 95
125 -120 125 -125
1 0%-10 % 110 -105
28% - 26
70 - 70
240 -20C
27%- 24% aiife- 2 2 *
69 - 69
W 7X-W 3 205 -193
97 - 93
99% - 95% 101%- 97%
105 -105
140 -130
125 -120
105 -1U4
..........
S3 - 33
01 - f.SK 7 % - 63% 78 V.- 7 ‘
78 - 79
SO - 77% S-iX -79
six - m i
7~x82 - 80
57 - 7i W 88 - 74
36 - 76
8 !% - 74
...........
1S5 -'8 5
83‘4 - 5J
33 - 8J
63% - 55
6. - 55
SO - 78% 75 - 75
57% - 49%
72 - i2
[January,
Heading .................
9 -M - 93
R om e, W . ,fe Og en
8)
SO
............
-100
-115
-119
-1;9%
-140%
109%-104% 10 i% - 76 V
22 - 22
23 - 21
-3 % - 23
-3 - 23
20'~- 20
20 - 18
9 - 8
9 - 9
8 % - SX
ox - ox
8K - S
120 -120
129%-126 136%-12 < i 3 6 & - m x 132%-128 131 -116 124 -119
118%-: 05 11' -107%
79% - 75% SO - 7<’% 73% - 73
S)7«- 73
S0%- 61
70 - 65%
91 % - 85
! l - 81* 89 X - 84% 3-2X - 88% 89% - -15
83% - 79%
91 - 90
90 - 37% s a x - S7x 8 8 * - S~X 8S X - SOX
93% - 89
210 -210
232 -232
123 -i>3
133 -130
1 7 -127
123%-120 i i j - l i i j j
.................. 121 - i ‘20
.......
November December.
l o s x - w . x 167 -160
N . York & V. H.iv 160 -139
do
scrip.
N o wi. h & W or es. 00 .- 95
77 - 77
Ohio & Mississipp 39 - 32%
do
p e . 77 - 77
Panama ................ 348 -340
Pitta , Ft.. W . * i !. i u x - n m
lot
Septemb r October.
1-9 -117^
>34 -118
166%- 53
147 -143
96 - 96
50 - 50
117 -107%
12 -108% 112 -10.8 121 -111 12?%-103
IM X -S 5 X 17.-X-159* VM X-V tm 197%-1S3
!51 -143
August.
157 -142
N ew Jersev ■ entral m x - h % 114 -110
e w \ or
entia m x - m x 165%-160
10 % - 98 105%-10!)
75 - 75
38%- 83
34 - 32
77 - 75V 76 - 75
340 -3 2 3 5 -3.30
123 -1 I 7 « 125 V -H ?
July.
annual tables .
Mich s-an C ntra ..
M:ch s. & N L d .
Mil. & St. Paul.
do
pr f.
Morris & Fssex .. .
28 - 23 V
»% - 8
..................
121 -114
1-20 - 17>f
96 - 87% !»7%- 9
7 7V - 6-!
07 - 64%
■«K- 87^ S l% - 77
87 >s- S3>i 87 - 86
9 - 9
April.
5/mre li t .•
48
64
Centra ........... ..
Cnraber’a’i d . . .. .. 39
T>el <fc 1; ud. Canal 132
>22
Spring M ountain... 40
48
2 - 2
-5 0
65 - 60
3S%- 30
- 37
-125V 121) -125
- 15
50 - 5 i
- 40
40 - 40
40 - 40
- 62% 62 V - 62 V 66 - 66
6 - 30
- 37
35 - 30
- ’.27 130 -126 V 134 -130
-212V
...............
41 - 44
28 - 28
63
37
1*9
217
..................
36 - 32V 33 V - yO
35% - 33
131 -127
134 -130
1.8 -1 ,0
225 -225
66
. 45
62 - 55
40 - 40
« o ’- 6 V
..
3 l% -2 8
‘:0
liti -122 |12»
................ *50
05 - 65
j ...............
115C -15 1
150 -150
"1
- 26%
8 - ‘ -6
-1 0
122 -12)
-220
? 6 * -'2 4
21 -120
235 -2.5
1870 |
2—
65 - 60
3 -G a s sh ire lis t:
160 -160
•230 -230
a ilic >»i . .
8— HJrpre s s lu re« ;
Ad i n n ....................
11*- 8
3 2 * - 21*
19%35 -3 1 %
25 - 22
2 5 * - 21*
25%- 19%
16 - 13% 16 - 15% aS % - 16
10 - 9% 10 - 9%
11*- B *
6 2 - 40V 63 V - 60
6 1V - 50
39*
Kr t
33 V 3) - 30% 3 i * - 3 5*
23 - 13*
44%- 31
2 4 * - 18*
53 - 52%
22*
21V - 11
1 7 * - 16
9 * - 9*
63 - 50
1 7 * - IS
9 - 8%
6 5 * - 62 \
17 - 1 6 *
11 - 8%
63 - 62
1 5 * - 1 5 * I 15 - 13% 10 - 13
11 - 11 | 8%_ 8%
62 % - 60 | 53% - 58
56 —*60*"
4 3 * - 3)
4 t V - 42
4 5 * - 3',
30 - 36
20
22 - 22
9 3 * - 80*
6 )% - 55
61 - 58
03 - £ 8 *
45 17 V 5 .* 38 -
42 16 64 37V -
65 - 48
38
5 * - 38
12 V 2 ' * - .0
43
23
3 1 * - 3 0*
5 - 5
l.oi i o »
3 >%
1»
.'-4
30
250 -250
24*- 7
6 " * - 14
s i - 8 '*
i s v - it
2) - 20
22 - 2 1
t23%-117% 120 - 9 7 * 1 0 1 * - 8 3 *
A <ier. .Mer. U ion. 15 Me co m s Unio i.. 1 3 * U iit.e 1 Srates
. . 5* \V • is. !*ar* » Sr> o
30%9— 7V. <kc scares:
ri l K r -
230 -230
230 -250
8V- 6
25 V - 20
9 5 * - 80*
9 3 * - 80*
62 - 50
6 8 * - 54
4 »% - 49%
39.% 41 - 33% i4 V - 3* ’
l»
1 . - *4% t.\%- 14
7< - 6 .
56
68 — 63
30% S i * - 31* 3 2 * - 20*
..........
..
l 'i l l - 1 5 *
10V~ 8
19 - 12V
15* - 1 2 ' -
1 6 -1 1
31 - 37
8 - 8
I B * - 1 5*
9% - 8
13 - 16
37% - 35
11 v - 13
« V - 9V
51 - 50
37 - 36
8 - 7%
6>4- 14
35V - 13%
1 *
9 - 9
5 2 * - 5 0*
1 3 * - 13*
«**
51 - 4 3 *
I
S i* - 31*
12*
3 5 * - 32
92 V - 81% 87 - ' to"
29 % - 29%
v0 % - 59V 69V- 56*41 63 ‘ -*51
53%- 42
62 - 5 3 *
50 V - 56
57V - 49%
58V - 52V 1 59 - 55
63% - 5)
m - 3o%
6 - 6
7 ’* - 69%
310a- 2 1*
12%11 6'.»v•22 -
42 35% a V - 3)
35**- 30 | 36% - 32
9%
10
113^
11
«6‘ * 40 \ . r s % - 1% 52% 62% o i - o
l-% 10 - 10
•26V- n i 2J,%- 16% 22 -
35
9V
48V
16
1150 -150
145 -115
_
9 - 8 * I 8 - «
17 - 15 | 16 - 10V
ANNUAL TAULKS,
4—M i’d n y sh. lis t:
ta r po*a O old.......
do
pref.
do
1st pref.
Q,n cks Iver ...........
(t—L'ind & Im p:
3o*. ' a r« r r o ver.
'<>n 8 ’ a Ci i L in :
Canton I i jv ’ ia j i'
(>— Tc'egrnp'i:
Western U i >n ..
7 —SC8 i ) shares:
108 -io »
IK) ~10l
|110 - i o - V
ioV - i o i ” i10 Vv-103V
C5
w
o
COURSE OF THE GOLD MARKET FOR
1 8 6 9.
I he fo llow in g table will show the highest and low est prices o f gold each day d u rin g the y ea r 1 8 6 9 :
136%-139% 134%-137% 131%-136%
September.
October.
Novem ber.
133%-133% 130 - ’.3036 12S%-lv>8?4
133%-135% 129%-130% 127%-128
135%-136
S.
127 -137%
135%-137% 128%-130
126%-127%
S.
l-,’8%-130% 126%-127%
137 -137% 180 -131
I26%-1*7%
136%-187
131%-132
S.
13474-136
130%-131% 1?6%-I2fi%
!35%-135% 130%-130% 126J-4-12?%
135 -135%
S.
12<%-127%
185%-lo5% 130%-130% 126%-12'<
S.
130%-130% 126%-126%
135%-135% 130%-130% 126%-127
135.%-H6* 130 -130%
S.
136%-136% 130 -130% 1?6%-127%
136%-136% 130
-130% 127%-127%
136%-136%
S.
126%-]27%
136%-136% 130 -130% Th'ks^iv'g
S.
130 -1 3(% 126% - j26%
136%-137% 130 -130% 126%-126%
137%-137% 130%-131%
S.
137%-U1% 130%-131% 126%-126%
141%-148% 130%-131% 126^-12674
133 -162%
S.
125%-126%
* .................. 130%-131% 124%-125%
S.
130%-130% 124%-124%
* .................... 12974-130% 123%-125
* ................... 12874-129%
S
* ................. 128%-128% 12!%-123
+129%-132
128%-129% 121%-122%
...................
S.
...................
129%-162% 128%-132
121%-128% U9%-124
* N o transactions; Brard adjourned.
+ Called at National Stock Exchange, highest and lowe t prices o f sales at that Board.
1*:30 A M., out o f xespect to the m emory o f Hon. E. M. Stanton.
Decem ber,
121 -'.22%
1-..'234-122%
122%-122%
122%-123
S.
122%-123%
1 22%-123%
123%-124
Iv3%-12374
122%-123%
1-3% 123%
S.
122%-123
122 -122%
121%-12)%
121%-121%
120%-121%
120%-l2<%
S.
1Q0.%-12'%
119%-121%
120%-120%
120%-120%
$120%-120%
H oliday.
S.
120%-120%
120 -120%
119%-120
119%-120
Ii9 % -120%
X Adjourned at
[J a n u a r y ,
130.74-136% 13074-132% 131%-134% 134%-144%
August.
S.
136 -!3 o %
135%-136%
135%-136
136 -138%
136%-136%
136%-136%
S
135%-130%
135%-135%
135 -135%
13'%-135%
134%-13474
13674-131%
S.
133%-134
133 -133%
132%-133%
132%-133%
132%-133
131% 132
S.
l3l% -132%
132%-13>74
13274-133%
13274-183%
132%-1«4%
133%-134%
S.
133%-134
133%-133%
tables.
Month 134%-135%
July
136%-137%
136%-137%
136%-137%
S.
H oliday.
135%-137
134%-135%
135%-135%
135%-136%
13#%-135%
S.
136%-137%
J36%-137%
137 -137%
136%-137
135%-136%
135%-135%
S.
135%-136%
135%-135%
135 -135%
135%-135%
135%-lo5%
135%-136%
S
136%-137%
136%-137%
135%-136%
135%-136%
H6%-136%
136%-136%
annual
Day ot
m onth. January.
Feb nary
March.
A pril.
M ay.
June.
o ** ^¥,0
} } dci y 135%-136%
131%-132 131%-131% 134%-131% 138%-139%
2 . . . 13i%-185% 135%-135% 131%-132% 131%-182
*.
138%-139%
a "
135%-135% 181%-132% 131%-131% 135%-135
138%-13S%
4 . . .. 13o%-135% l35%-135% 131%-131%
S.
135%-136% 137%-138%
5 ..
. 13j%-135% 135 -185% 131 -131% 131%-131% 135%-135% 138%-138%
6 ..
.. 134%-135% 135 -135% 130%-130J4 131%-131% 136 -135%
S
7 ..
. . 135%-185%
s.
S.
131%-131% 136%-137% 138%-13S%
2 ••
1S5%-135%
131%-132 131%-H2% 137%-139 133%-139
-JJ-----135%-135%
135 -1:35% 130%-131% 132%-133%
S.
138%-131%
}?••••
rt*
184%-185% 131%-132
132%-133% 137 -137% 138%-139%
“ ••••
135%-135% 13l%-131%
S.
137%-138% 13874-139%
1 2 ..
.. -35%-135% J35%-135% 131 -131% 133 -133% 137%-138% 13874-139%
1 3 ..
.. 13.3%-185% 134%-135% 121%-13l% 132%-132% 137%-13^%
S.
}*■••• J3« % -136%
S.
S.
132%-133
!3S%-138% 138%-139%
1 5 ..
.. 136^-136% 135 -135% 131 -131% 132%-132% 139>-139% 137%-138%
1 6 ..
.. 136%-I36% 135 -135% 13'% -13l% 132%-1*374
S.
137%-138%
H *** „ S.
134%-135% 131%-131% 133%-133% 141 -111% 13774-138%
l b . . . . 135,%-136%
134%-!35% 130%-131%
S.
141%-J42% 136%-137%
19
135%-]35% 133%-!34%
130%-131% 133%-133% l4l% -144
136%-137
2 0 ..
.. 135%-135% 133%-133% 130%-131% ]33%-134% 143%-144%
S.
21
135%-135%
S.
134%-134% 141%-144% 136%-137%
2 2 ..
.. 13% -135% H oliday. 131 -131% 134 -131% 140%-141% 137%-138%
2 3 ..
. 13574-136% 132%-133% 131 -131% 133%-133%
S.
137 -137%
**•••• <0, S.
132%-132% 131%-131% lc3%-133% 141%-142% 136%-137%
2 5 ..
. . 136%-1°6% 132%-133% 131 -181%
S.
140%-141% 137 -137%
2 6 ..
.. 136%-126% 13l%-132% Od F rid ay 133%-!33% 139%-140% 137%-137%
2 7 ..
.. 136%-136% 130%-131% 13074-131% 133%-134 13S%-139%
S.
2 8 ..
.. 136%-136%
S.
S.
133%-133% 139%-!39% 137%-137%
2 9 .. .. 136%-136% .................. 131%-131% 133%-134% 139%-140% 137%-137%
8 0 ..
.. 136 -136% ............. 131%-131% 13434-131%
S.
137 -137%
S.
............. ... 131%-13134 ................... 138%-139
...................
Central....................................... , 105 - I t 6$ 108 -110
119 -122
. 110 -110
03 -1 .0
Fourth ......................... ........... . 1001-104}
12 ) -120
120
120
118
139
-126
-124
-113
-139
102>-1044 104
109 -109
130 -130
111 -111
110 -110
127 -127
127 -129
1014-103
101 -103
123
112
99
133
-128
-112
- 01
-133
1024-1074
1014-105
1044-105*
114 -115
138 -.38
138 -133
107 -107
133 -133
140 -140
102 -102
147 -147
103 -103
147 -147
1 9 -119
141 -143
106 -106
l?4i-134i
109 -104
103 -110
133 -133
111 -112
110 -111
103 -106
147 -154
10 > -105
I 2 l'-:2 i*
106 -107
134 -157i
107 -107
116 -119
106 -112
106 -ion*
157 -159
1S5 -130
111 -114
95 -ICO
3,510
132 -132
11E*-117
142 -143
124
112
100
133
-126
-113
-101
-133
126 -127
D tc’ ber.
n o -n o
1094-110
111 -111
1074-110*
108 -109
124 -12C*
i n -123
111 -111*
1211-123
112 -112
101 -102*
n o -n o *
100 -101
100 -10C*
1 4*-1054
103 -104i
103*-105
100 -105*
109 -109
108 i09
139*-140
115 -115
109 *109
109 -110
132 -132
1114-112
1134-119
142 -142
105 -105
130 -130
119 -119
142}-143
112 -112
iic i-iio
105 -106
159 -159
106 -108
1094-109*
163 -167
117 -.1 8 }
118 -118
103 -i08
11S -120
111 - l i 6
120 -122
130 —130J 132 -132
112 - i n
93 - 98
100 -ICO
133 -134
114 -114
93 - 98
130 -130
110 -113
132 -133
112 -1124
92 - 92
126 - 26
130 -131
.............
130 -130
2,543
8,207
2,4.8
140 -140
100 -.0 0
3,209
118 -118
1364-138
104 -104
114 -114
137 -137
llOi-112
129 -129
118 -118
iae -140
1,556
-109*
-lt.O
112
-122
-120
112
-133
-112
-100
143 -143
.............
143 -140
n o -n o
106 -li»7
118 - :l >
140 -115
113 -115
n o -n o
94
1!0
lli)
120
120
112
133
112
94
143 -145
124 -124
144 144
145 -145
134 -125
139 -139
113 -113
110 -112
.............
.................................
99*- 99}
122 -122
124 -125
117}~U7J
138 -141
103*-105*
N inth.......................................... 108 -109
North A m erica......................... lU8 -110
101 -103*
138 -133
.............
Manilla.turera & M e.chants.
Stores sold .................................
130 -130
1224-125
115 -115
99*-l01
134 -124
Novem ’ r
143 145
185 —1£5
Lent her Manufacturers...........
U nion.
102 -103*
103 -104'
122 -123
114 -114
99*-100
October.
116 -117
101 -102
167 -163
1094-110
120 -121
145 -145
llPi-112
102$-107
113 -115
1094-1094
98 - 98
170 -170
ISO -121
112 -112
_. . .
116 -116
112 -U 2
111 -112
103} 103}
125 -125
107 - i i i
8 5 -8 5
150 -15)
120 -125
767
1,703
126 -126
1,929
2,363
128 -130
119 -119
139*-140
106 -1064 103 -103
115 -115' 114 -115
1314-131* 13 5 -135
114 -114
114 114
108 -108
97 - 97
75 - 87
lt>6*-167 165 - l t 5
109 -1094
119 119
118 -119
l t533
120 -120
138 - 1 8
103 -103
135 -135
113 -113*
106 -108
78 - 84
165 -115
142 -142
108 -108
13,326
ANNUAL TABLES
. 103 -10S
137 -130
1214-123
112 -112
99 -100
FLUCTUATIONS IN BANK SHARES FOR 1 8 6 9 .
M a rci.
April.
May.
June.
July.
August. Sept’ bcr.
14fJ -146
141 -141
117 -119
113 —118 1114-115 1124-1144 113 -115
115 -115* 116 - i i s
135 -135
i09,7- n o
1084-110 1104-116 116 -1164 103 -1164 111 -113 109 -112
1870 |
January. Fetomaiy.
, 144 -116
147 -147
115*-116
Arne ican Exchange............... 114 -115
F O R E IG N
“
2 0 ..
*’ 27 .
S ept. 3 .
“ 10..
‘ ‘ 17 .
u 24..
O ct. l
it
1< S?^—108*^
1 8)$-- >%
1 8 -10 %
1 8 -108*,
107 ' -i0 7 * i
1 7 '•* -107 x,
M V -1 0 8
108%-lO .%
i o s k - * ’ ".
i0 8 % -i’ 8%
108% 0 %
1 8% -l09
109 - 09%
11)9 -109%
1 9 -109 S'
10 Jtf-lll }4
!0S)>. --10 %
109 -109 \
109 -1 9%
r ‘9%'-109%
H-9S-1 9%
10 %-M o *
1 • -109%
ios% io »
i o : *-108
107%-107%
107%-108
irsv-ios%
10<%-107%
1»'S -1081^ li.9 -1"9% 1'1%-K.9V
107%’—li S% 199 -1 9% 109 . - l i ‘9%
108%-lO8% 109%-109
10'lVf-llO
10 % 10-K V 8 9 - ’ 08% 109%-109%
108 -1.)>% 1 >%~105% 109%-109
11 8 % - 08 „ 10 %-109
10 ** -m %
lu>%-10S% 199 -10*% H) % - ’ 09%
108 -108% 10>%-K*9
1 9 x,-l 9%
10S%-108v; 1 8*4-108% loi'% -19 %
108 108S 10S%-108% 1-9 -10)%
108%-10s% 108*4-108% I0:i%-109%
10-S -1 8% 103%-109
109%-1U9%
1 S.%-108% 108%-108% lt;9%-109%
AT
M W
VC RK
ON
F R ID A Y ,
W F IK L Y ,
------------Parif*------------L ’lig.
Artwerp.
Shott
SwU .
510%-515% 613%-513% H7%-51P% 5 ’ 7%-5lG%
515%-M 5
51 % -5l X 51 >, 510% 517 v -510%
51 k 514% 5 ".-511% 517 ITvc M6%
5)5 - f 13% o! %-'> 1%
5 1 0 % -5
10 -5 5
515% 5 5
1
M 2S 517 S -3)6% 517 - - •10%'
1( 5C, •
-51 % M.‘» -•■13% 5 9% -51 %
8 % - 17%
5! i% -- 1('% 515 5 3% f lS , -517 x 518% - 7 v,
51 7 v 5 6% 515 -5:3V 518% -5 ,7 S 51S*1'. - MT%
5 0 --5 7% 517% 510% 521 V. -* 0
5 i% ;■' 0
5<8%--51 •% 51 5'.-1 3
520 -5 8% 520 -•’■! 8 %
M '% 5* .‘ 3*- 2i% 5 >29-521%
520 -d 9 % 51'% -5 6% 522 V
5.2 -521%
525 -523% ' 2 % 5 6 -5 .VS
5 27% -32
: 22 V -- - 1 % 52“ - 518% 525 -521% 2 5 -5 1%
5 5 -52 % 5 5 —522%
52 %-722% 5 1% - 2 •
521%- 2)1
51 % -5 % 5 3 *, - 22
52 % 5 J2 V.
M8%--.- % '3'M e-513
52 % -5 8% 521 %-31>%
•17 <.-510 S 51
5 8% -: 17%
- 9 % 5 8 ‘ h-5 .7
516%-516% 513%-513% 558%-5l6% 518S-51
■’ 8% 517% 51«%-5 5
5»o - 8% 5v0 5 8%
517 ^- 1;% 51 % -')'3% 620 51 % 520 -50. %
5 17 v - ' 16 % 513 - 13%
1 7 S - 18% 517 V; 5)8%
.3PV -5 7
5 0 -5 8% 52 -5 8%
51»:%-5.
5 >7% 5 0% 5)5 -5 '3 % 5 -0 - KS , 520 - 9 8 %
51 v-5 :5 % 515 - 513* 520 -5 8 . 52) - 5 ‘ S%
513 S' 51'% 5i<% 510% 517 - t %
5 l‘*%-515
5 0 >, —o 15
5 ’•6%-515
515 -5 ! % 51 % 51\ z
51:l%-513% 5 1 1 -5 1 0 % 515 -M 3% 515 -513%
513%-513% 511%-310% 6'5 -513% 515 -5)3%
515 -313% 515 -31-%
I IS -510
51 % - 13%
3*.% 515
515 -51 -% 612%-511S 516% -315
516% 615
M5 -511% 5 «% - 1 % f l * % - ‘ 5
513% -512% M 6 '/,-1 5 % 5 6%-5!5%
5:o%-515
513%- 15% 514%-313% 517% -51'S 517%-5 h%
51? -5 0% 5 5 -51 % 518% - 17% 518% 517%
52 % -5 0
5 1 %- 518% 518%-510% 522%-520
31sag -517 v 522 V - ‘ 21% 52>%-52l%
5i % 520
T o o ri**guar to ad i t ' f qu >tai o p.
5
- 17% 522%-* 2? U 52 54-6 2%
52?%-520
520 -518% M0 -518%
5 8 *4-517% 616%-* 15
5:0 -518% 529 -518%
5 18%-517% 515.v„- ‘ 15
513%-5L2% 5 7 V; -516% 517VC 510%
m o s - v. ■
518%-517% 5’ 5%- )5
51 34-518% M 8 % -5 l-%
5 7%-510% 5)5 -514% 5 8 % -5 1 % 518% 511%
518 -519% •
P>1 %-51-%
M *%-*•! % 51*'%-35
5>n *4-5!8 s 5 ’ 8 % -5 8 - r
5 ^%-517% 515 \ -519
518 %- 5 7% 5)5% -5 i5
518%- 17% •'18s- 17%
5.8%-517% 618,%-517%
51s %-517% 515 * -515
51 %-518% 510% 515% 52i) -5)8v, 5 0 -5 8%
51S%-517% 518%-517%
5lS%-517% 515%-515
518%-51S% 558% 518%
51 8% -517% 515%-515
5 7 % - ....... 515 - . . . ,
51S% -:i7% 113% -: 17%
FOR
] 869.
-Continental Ma’ k c t s Han.bn g Ams'rriam Kr nkPr. F.rem n.
41 -41% 41 - 4 % 78%-78%
56 -3...............................................
':.
30 3*
41 t 41% 11 - ‘ IS 7-%-78%
IS 41 -41% 7 > % -7 -«
•0 -• ('»% 41
3 % - 0%
1 -» % 41 % - . 1 %
3*% - 0% 41 - 1% 4 %~ ’ 1'4 1 1 79%
30% •1'% 40% - 11
4 ,18 S
:-5 7, ■
0 - 40% 4> % - ' X 7-3.'
-6
41
35 %■-39
4 %0‘% 7n%
10% 78 ■>’ '*'4 -:’5% 4>'%- 40k 4
ov - 0 . 40
‘ 0 76%
-0 :, 7s%
35%-35% 4 % -l(> % 40%5%-36
40%-H % 4 % -407« e~%—
3 %- o
4-) -1 %
3 % -3 % 4 >S-4 % 40)4-4 S 78 - : 8%
-4
40S-4(.%
78%
35%-35% 4
3.3 V -3 •% 4 % -4 3 ' K ?,-1 0 ’ r r8
7S%- tS^v
3 % -3 ■% 4UM-i:>% 4* -40
15',-36
4 o -40% 40%-«o% "8% 18%
35%-35% 49%-40% 40%-4-»% 78%-7 %
3.3%-35% 40%-10S 40%-)0% 78%-78%
35 *,-35% 4- %- 10% 4
79*- -7\%
H v -3 '.%
4 %--4 % 4 %-4 % 7 % -7 *,
a-. v 3 % 4i)i» -4 % 40 V.-4 % 78% 7 %
!■% 3 % 40H -) % 9 % -4 0 . 7.^ % -7^
T-.VV-3 % 4 % - 0% 40 2-1 % '•■'* %-78%
35%- 5% 4ox -10% 40 -40% 7S%-78S
40 V, - 0% 4 %—4 % •9 -70%
35%-30
40 -40%
7* '-79%
a sx -w
35%-Wi
40^5-10 jk 4 % -ln% 7» '-79
35 -V-V, 40% -o % 4 0 ', 41
79 -7"%
» K - SX 4 % -4‘ % 4 X - « 'X 79 -79%
35%-3 % 40% -!0% 4 -X -4 -X 7) -79%
3.%-3H * 40%-4 <% 41 X - o x 7*% 7*
3-% 35% 4 % -6 % 403,-10% 79 -79 ‘C
4na8-40%
-30
i"?8 41:% m --u x ;
85%-35% 40%-40S 4 %-4(l% 78% --S %
35,%-3 % 4 >4-40%
1> -18%
35%-35%
3 % -35 %
3 5 % -3 %
3 • - 6%
35% -35%
3 % - 5%
35%-39
3 % -«8
5% - 6
3.1 -30%
35%-36
35%-".fi
35%-36
»7 t- ■
----—
40 -49% 4 H - 10X
4t)%-4< % 40% -4"X
4 ■%-)()% 40-.-40%
4(!%-4
4 % -l %
40>s -4' S 4 % -40%
4 %-iOVC 4 %-4 X
4 *-4t.%
40?«- 0% 49% -40%
4 %-4 %
4 l V -4..
40% - 0% 4i % -n
40 - -4"% 40J.-4 K
40%-40% 4"%-40%
40%-4U% 4"M-4o%
4 0 X - .- .. 40% -. .
B eilin.
71%'-71%
71 %-7* %
~' %-71%
il% -T 2y
• T/_
7 1 % -'l%
•1%-7 %
71 % - 1%
71%71%
7; v. - * i %
«'%-7 »%
70%-Tl
7 v -* %
7 «'% -n
71 - :%
71%-* I S
*1 -71%
71 -7 %
70% 71
'% - T l
7. -71%
11 - 'X
71 -71%
T-
-7 ; %
71‘.-71%
71‘,-71%
71V,-71 is
7!%-7I%
71 -7 %
71 -71%
7‘ -11%
7!%-7 %
71 -71%
7('X-7H%
7‘ >«'-70%
78 -78%
7S%-7 V%
7 Me-78%
78%-79
1 X 18%
70%-70%
7s % -?''%
78% 7«%
7 %-79
79S-7 %
lo X -1 %
10 -19%
79 -79%
7 8 % - ....
1 ’ % -’ %
1 0 X -7 %
70% -70%
HX-71%
7l%-71%
71 - - V.
71%-7'%
7 1 % - >%
7 i %-71%
71%-71%
11 -71%
71 -71,%
tJ a n u a r y ,
8
15
“ 2'.
2»
Nov. 5
“ 12.
“ 19.
“ 20
Pec. 3
10
“ 17.
“ 94.
“ 31
10
0><
109-.- ■>!.%
10 l% - 0 %
EXCHANGE
— London (Bankers1Lon^.
Short.
109%-. ■.. . 110%..
109%-109% 110%-110%
1 » % 10 U
1 " % 110%
1- -1. %
1 9% 1)9%
1 o %- '■ 9
) 9 -lim s .0 .^ -1 9%
1 8 -H S « 10 '
09%
1 8 % -l ‘8% 1 9 %-»•■%
I08%-109
1 9 -H)9*
08 : - l 9
10S%-H'.>%
108 - 0'% lUsJ'B-i 9
197%-bS
1 N%-108
108 - 08
1(S v -U 8 ~
1
........ 109 - .
15 8 <,-0 8% 10 % 109%
io • - 09%
109%- .
10 % - . . . . 150 109%-109% 110% 110%
lin % - 09% 110% - n %
111) - . . . .
0 *% - ..
l i ) % - . . . 11 % -.
1 9% 109% -.0 % -l 0%
10 >*. -109
11 % - 1 %
11‘9%-U) % II1 %—1 0 s
1< 9 % -l ■’ % 110%-n o %
HO <-110%
1 »9%-t!0
11 » -110% 11 '■*—510%
110% ■: % II 'S-110%
lin%-110% 110% 11- %
IK) -110% 110V-110%
119 - . . .
113%- . . . .
jl'0 % -;09% 11J%-11C%
109%-1 9% II I -11 %
1 m%-109% itS%-1<8%
108% 118% 1 8%-lU'J
It S - ........ 10S%- . .
tarlks.
•
‘5 0 . .
A il''
_. 6 .
k* 18
London,
Comm eicial
annual
P a te.
Jan. 8 ..
15
22 .
vi) .
Feb 5
12
“ .9
“ 27
Mar 5
*fc 12..
“ 19 .
“ 26 .
Apr 1 2 .
•* 9 .
“ 15 .
“ '3
“ ?«)..
May 7 ..
“ 14 .
“ 21
“ 28 .
June -4
I t ..
18 .
25..
J u ’y 2 ..
9
16 .
28 .
1870]
73
ANNUAL TABLKS.
RANGE OF GOVERNMENT SECURITIES FOR 18G0.
T h e fo llo w in g ta b le w ill sh ow the m o n th ly ran ge
o f G ov e rn m e n t
S ecu rities as rep resen ted b y d a ily sales at the N e w Y o r k S tock E xch ange
B o a r d d u rin g th e y e a r 1869 :
January—
Opening...................................
Highest................. ..................
Lowest......................................
Closing....................................
February—
Opening....................................
Highest .................................
Lowest....................................
Cio-iug........................ ..........
March—
Opening...................................
Highest.....................................
Lowest.....................................
Closing ...................................
A p rilOpen u g ..................................
Highest.....................................
Low ft ...................................
Closing....................................
May—
Opening....................................
Highest ...................................
low .st................. ....................
Closing......................................
June—
Opening....................................
Right's...........
..
Lowes ...................................
Closing ................................
J u ly Opening ..................................
Uighes....................................
L w c t ...................................
Clo ing......................................
August—
Opening........ ........................
Highest......................................
Lowest .......................... .......
olosing....................................
September Opeui .....................................
Highest .................................
Lowe t ................. ........ .
Closing ..................... ...
OctoberOpening..........................
Highest...................................
l.owest ...................................
Closing................................
November—
Ope l l g .....................................
Iligi e-t......................................
Lowest .....................................
Closing.....................................
I!e ember—
O . e i i i g ............... ................
Uigiiet ................................
Lowest..............................
Closing.....................................
5’ s,
/—G’s of 3SS1 v .------------6’s (>20 y’ rs) Coupon— ------ - 10-10,
coup. Reg. ISO!.
1861. 1885— new. 3807. 1S68. Coup
I l l * 169% 111%
112% l l i x 31:111
Ill 10:1
1 1%
It« * 111% 118%
112% 111K 113
119% 114% 118 %
112% 111 % 1:3
118% 114% 118%
107%
109%
107«
ltiVji
101%
115%
319%
115%
10S%
110%
107%
110%
107
1P8%
1081a
108%
107%
10>
US>1
10S%
107%
109%
107%
109
108
1(J<%
105%
103%
110%
118%
1:0%
110%
108V
113%
103%
113%
10S%
113%
108%
113%
10S%
113%
108%
112%
108%
llo%
108%
110%
115%
317%
15%
115%
115%
110%
114%
115
118 111% 115
120
15% 118
117% 313% 311%
118 118% 115%
112%
113%
112%
113
113
313%
ili%
113
112%
111
112%
113
106%
108%
1115%
105%
11%
118 %
116%
lls%
115
118
115%
118
118
122
117%
1-1%
12%
116%
312%
1:6%
112% 315%
11-:% 110 %
1U% 313%
11(1% 110%
105
108 %
105
108%
111
117%
118%
117%
115%
119%
115%
119%
118% 119
117% 113% 115% 118% 116%
1(3% 122% 12 % 117% 119% 1=0% 120%
118 118% 117% 113% 111% 115% 115%
122
1 21 % 122% 111
118% 120
liO
316%
120%
1!!%
319%
108%
110
107%
109%
12 % 117% 112% 117% 118% 120
120 120% 101’%
1.2% 117% 122% 117% 119
120
120% 320s, 109>»
121 110 % 12: % 116% 117% 119
119% 115% i ,%
121 % 117
121% 118% llb% 119% 119% li9% 107%
117%
323%
116%
123%
117%
122%
117%
122%
121%
1*5%
121%
125%
117%
323%
117%
123%
11S%
123%
118%
121%
113%
1=2%
116%
122%
118%
122
116
122
108
111%
107%
114%
124% 12(1%
125 123
121% 132%
123 % 123,%
125%
125 4
122%
123.-,
123%
121
120%
122%
123%
124%
1(0%
122%
122% 122% 122%
122% 1 22 %
22%
119% 119% 120 4,
121% 121% 120%
113
116%
112%
115%
12! 123% 1>3%- 122% 122% 121%
Ml 1 2 1 % 123% 122% 122% 121%
nil 1 19
119% 118 % 118% 116%
119% llo
110% 113% 118% 117%
<10%110
120
12.14 170
121
119% 12.1
118% 119% 117
117
110%
119%
119%
110
115%
122%
11%
122%
121%
1:1%
116%
117%
119%
118(4 118%
115% 11>%
117%
120%
1 !"%
lli
117
112%
112%.
101%
108%
119%
117%
118% 100%
116% 1117%
119%
116%
11S%11
ilU'a11
110%119% 116
113% 114 119
118% 116% 108
119%119% 116 113% 114 116% 118% 11.% 1(H
115%
115%
112%
310%
111
113%
115 115% 112% 111
111% 113% 113% 113% 101
113%11
H5% 11!,%
121%
115%
1,8% 114%
ll«% 11
113%11
I
112% 110% 10% 113
113% 113
06%
116%
116
113%
ltt%
1tola'
112%
111%
110%
11'%
113
111% 112
111% 113% 115% 115
74
COMMERCIAL CHRONICLE AND R EV IE W .
[January,
COMMERCIAL CHRONICLE AND REVIEW
Monetary Affairs—Rates of Loans and Discounts—Bontts sold at N ew Y ork Stock Exchange
Board—Price o f Government Securities at N ew Y ork —Course o f Consols and American
Securities at New Y ork—*opening, Highest, Low est and Closing Prices at the New Y ork
Stock Exchange—General M ovement o f C oin and Bullion at New Y o r k -C o u rs e o f Gold
at N ew Y ork —Course o f F ore gn Exchange at N ew York.
The closing month o f 1869 was one o f general dulness in business circles,
partly perhaps the result o f the bilious croakings o f a section t f the press, but
more to be regarded as the expression of the generally conservative feeling
which ch iraeterized the latter half of the year.
The condition o f the money
market was comparatively easy. Some considerable amounts o f currency were
sent, during the first tw o or three weeks, to the W est and the South, but,
without materially affecting the legal tenders o f the banks, the weekly averages
c f which ranged between $46,800,000 and $44,300,010.
This amount o f the
paper lawful money reserve was o f course very unusually low, and one or two
brief efforts were made to turn that feature ot the banking situation to specu
lative account, by locking up curiency: but, on the other hand, the specie por
tion o f the reserve stood unusually high, ranging between $28,400,000 and
$30,600,000, so that the combined reserve maintained constantly an ample pro
portion to the demand liabilities o f the banks.
Tbe operations o f the Treasury
were on the whole favorable to the banks, its disbursements on account of
purcluses o ) bonds being materially in excess o f its receipts against Ba’et of
gold. The continued scarcity o f small currency had the effect o f limiting the
money remittances to the W est and the South ; toward the close o f tne month,
however, the lower denominations o f notes were in better supply, but without
affecting the shipments o f currency, the course o f exchanges with the interior
having turned in favor o f this city. A t the close of the month there was the
usual calling in o f loans by corporations, to provide for the payment of divi
dends and interest, with the result o f a partial stringency and an advance in
rates on call loans to 7 per cent, in gold ; the general rate on demand loans for
the month, however, was 7 per cent, currency. The discount market has showed
more steadiness, and, as usual at ihe close o f the year, less activity. The occu r
rence of a few failures, mainly o f minor firms, temporarily checked confidence,
and helped to sustain rates at their former high figures, prime double name
paper ranging from 8 @ 1 2 per cent., and prime single names at 1 0 @ 2 0 per cent.
The market for Government Secuiities has been more active and m oie buoyant.
There has been a diminished supply o f bonds coming from bank investors which,
together with a good export demand and the purchase of $13,000,000 P iv ;
Twenties by the Treasury, produced a comparative scarcity <4 bonds and an
advance of l i @ 3 per cent in prices. The tone o f the President’s message,
and o f the department reports, at the opening o f Congress, had a favorable
effect upon the public credit in Europe, resulting in the shipment of several
millions of bonds during the first half o f the month, Sixes of 1831 and TenF crtits being in especial demand, ow ing to Secretary Boutwell’s recommend
ations relative to the funding o f Five-Twenties.
n
The usual purchases of dealers,
anticipation o f the January demand for the reinvestment o f interest and
1870]
15
COMMERCIAL CHRONICLE AND REVIEW.
dividends, also had a tendency to strengthen the market toward the close o f the
month.
The following were the amounts o f bonds purchased by the Treasury during
December.
The purckas s marked * are for the Sinking F u n d :
$ ’,000,000
Dec. 1.
2.
3
15.
16
22
29
80.
1.000. 01 0
2,009,000
2.000.
000
*1,0(0,000
2 , 000,000
2 , 000,000
*1.000,00)
13,000,000
Total
The total transactions in United States bonds at the Stock Exchange for
the month amounted to $12,500,000, against $13,800,000 for the same month o f
last year.
BONDS SO LD
AT TH E
N . Y . ST O C K
EXCHANGE
Classes.
1868.
b . S . b o n d s ...................................................... $13 882,609
State & city b on d s..........................................
4,965,750
Company b on d s................................................
1,212,200
BOARD.
1869.
$12,522,900
3,804,000
1,568,000
In c.
....
355,800
Dec.
$1,359,700
1,161,750
..........
T otal—Dec im ber......................................$20,060,550 $17,894,900
Since January 1 ................................................ 245,245,240 310,541,559
....
$65,296,319
$2,165,650
.............
The daily closing prices o f the principal Government securities at the New
Y o rk Stock Exchange Board in the month of December as represented by the
hitest saie officially reported, are shown inthe following statem ent:
P R IC E S
O P G O V E R N M E N T S E C U R I T IE S A T
NEW YORK.
Day ot
,—6’ s, 1881.-,,------------ -6’ s, (5-20 yrs.)Coupon-------- — , 5’ s,10-40.
m onth.
Coup. Reg. 1862. 1864
’ 63.
1865, new. ’ 67.
C’ pn.
1.................................
113% 113
112% n o # n o # 113
106#
2 ......................... .. . .................... 115%
113
n o # i n # 113
113% 113% 106*
3 .................................
110% 1 11% 113# 113% 113* 101#
4 .................................
108*
113% 114% l i i% 112% 114
114#
6...................... . . . .
113% 116
112% 114# 115% 115%
107),
7 ................................. .................... 118% 114# 115%
113% 115% 116
8 ......................... . . .
115%
114% 115%
108#
9 ................................ .................... 120%
115)4 113# 113# 115% 1 '6 # 115% n o #
10.........................
.................... n o #
1 5 # 113# 113# 115# 116#
no#
1 1 . .............................. .................... 120% 115% 115# 113# 113# 116# 116# 116# 110#
13 ...............................
115% 113% ’ 13# 115% 116
116% 110#
14................................
i i e * 114% 112% 113# 115,* 115* 116
no#
15...... ......................
116
112#
16................................. .................... 119% 115
113* 112%
115
115# 115# 109%
17.................................
115* 113% i n # 112* 1'5
115%
1 09 *
18................................
114
114* 114%
115% 113%
in #
20................................ .................... 118%
114%
109
113% i n # i n # 114
21................................
112% i n #
108*
i n # 113% 114#
22............ ....................
113* i n #
n r # 113,* 114# 114% 108*
23.................................
112*
113#
115# 115
24.................... ............
.....
114#
25.................................
(Christmas).
27...............................
113*
114* 114*
108%
2 s ................................. .................... 118%
113# 112
112
114# 114%
29................................. .................... 118% i 1 4 * 112* i n # 112
109
111# 114%
30
..........................
108*
m % 114% 114%
114% m % 112
31.................................
115# 115%
109%
O p e n in g .................. ....................
H ig h e st..................... ....................
L o w e s t ...................... ....................
C losin g...........................................
115%
120%
115%
ns#
112% 112%
116# 116
112 *( i n #
m % m%
110 *
113#
110#
112
110%
114#
1111%
111%
113
116#
113
115#
112%
116#
113%
115%
113
116#
113
115
106%
no*
106#
109%
\_JaHliart/l
COMMERCIAL CHRONICLE AND REV IE W .
C O U R S E O F CONSOLS A N D A M E R IC A N S E C U R IT IE S A T L O N D O N .
Cons Am. secur ties
for U. 8. lll.C Erie
raon. 5-2<)s sh’ s. she.
Date.
............... 1 » * «
............. 2
.............3
92%
.............. 4 9>%
........... G
Tu sday...................
t,- b
W ed n esd a y.........
t)3M
...............‘ i
W ed n esd a y.............
T hu rsd ay....
F rid a y ......................
Sat u ■<! y ..................
............... 31
M od da v” ................. . . . .
18
.............14
W ednesday.............. ............. 15
Thursday ................. .............16
... V
F r i d a y .....................
Saturday
............. . .. If
...............2(1
T u .s d a y ......... ......... .........
21
W ednesday............
84% 99% 21
20%
M X 99
8)
91*X 20%
855* tK'K O
2 <y,
99% 20%
89
H*M
NiK
"t
92% f-oli
9 hi 83 X
<)'% $ 4 %
92 ” Slit,
9 4,' h6x
!I*XI NBV
9 x 86
92 % 1 86
92 \'r
92 % 85,%
l"l ■
99 V
<)■*%
10ft
99 &
99 v;
99 V
1 0
100
99 %
Cons Ain. secu rities.
for u s. Ili.C.|Erie
mon. -.-2lls sh’ s. 'sh’ e.
Date.
|Thursday... 2-1 92% (fix
19’ iiday......... .24 USX s:%
Saturday .. 25
("m
Mo day
.27
illo i
92%
A'e ’ne d a y. .29 92
8%
T ureda y ... .30 H i* W>X
Friday . . . HI •JSM 80%
20'
2(*M H igh est.......
29%
2* t* Lastf............
18
L ow ) v ^ ..
Hiu t g g . .
r ,%
TtllCT i y , *
n i t 1Last*. I! t . .
17 i
9!>* 16%'
99% FIX
liny 1
day.)
99 V
nt v
1' iik
14V
17
14X
84%' •QW
92
9 iX 86% WiM
%
1% 3
92K S'M 102M
—
—
92
74% 9-V
86% 10 X
94
2
11% 1"
92X 86% 1C2X
16%
21
4%
n x
—
16%
‘MX
11%
14X
The «took market has shown an extreme du'lnesi, as will sufficiently appear
from the fact that the total transactions at tne Stock Exchange for the month
w ;ie only 1S9.840 sharfs, against 1,093,730 shares in December, 1868
This
depression appears to be due to a natur, 1 reaction from speculative excesses,
and to the exhaustion o f the naans o f a large proportion o f the large class
known as “ inside operators.”
The causes o f tlvs reaction are discussed at
length in another column. There have nevertheless been wide fluctuating in
prices, the vaiiations having ranged between 4 to lr-J ; and i h ‘ fact that these
wide variations have failed to induce a more active speculation o ly indicates
the df pression in this particul r interest.
T ow ird
the cl >se o f the week, a
strin cut condition o f the money market, concurrently with a decline in the
earning- of the Western roads, had the effect o f weakening prices, and the
year closed with a market us weak as it was dull. W e take tfiis occasion of
correcting .an error in our lest mot.thlv snmm iry o f transactions in Nov«m ber.
The s le ol n ilioad stocks at the Stock Exchange should have been stated
at 3119 Gi t) ehates. and the total •f all classes o f slocks for the month at 44 ,462
shares.
stocks
From the subjoined stutenvoit it will be seen tin t the total
sales o f
at tie Exchange for 18i 9 was 10..713,(1.78 shares, which is 9 2 0,344
shares less than the aggregate bu-iness oi 1868; a lact which striking^ illustra es the declension o f specu’ation.
ST O C K S
SO LD
AT
TUE
Classes.
Bank s h a r e s ...................- .......................
R ailroad 1‘ ............................................
Coal
“ .......................................
M illin er
“
Im prov’ n t "
Telegraph “
S team sh ip"
E xp r’ s s& c"
......................................................
............................. .............
.......................................
............................................
............................................
T otal—D ecsm ler.............................
SiLce January I ......................................
N F.W
FORK
STOCK
EXCHANGE
1868.
1,6 *7
865.099
5,'57
35,080
9,100
24,686
4l,:-69
3 ,942
BOARD.
1869.
3. 26
95.0»I
3.308
23,7 0
1,000
1 '.118
33.9*6
17, 71
18‘,840
1,093,730
19,414,402 10,513,058
Increase.
1,6*9
Dee.
870.098
2 441
8,650
8.108
12.568
7,373
13,671
.......
.......
903,890
9,200,244
The following table will show the opening, highest, lowesi and closing prices
1S70]
77
COMMERCIAL CHRONICLE AND REV IE W .
o l a ll tlx1 r a ilw a y a n d m is ce lla n e o u s s e c u r it ie s s o 'd a t th e N e w Y o r k S t o c k
E x c h a n g e d u r in g th e m o u th s o l .N overall r am i D e c e m b e r , 18(59 :
,---------- November---------- * ,---------- I'ecember------------ ,
Open. high. L. w. Clos. Open. i.■idh. Low. L'h*8.
Railroad Stocks—
25
26
*9
;5
25
*<■*
25
Alton & 'i\ rre Ilaut....................
54
58
57
58
57
57
'•
‘
pret............
57
9%
10
10
11
10
Bos o , I I . tfo d & Erie ......... ............... ll
7X
IX
145
148% 145
152
1 2
J4UX 141
1 9% 1 Mi% U s * 141« 1 f>x 110
J43
do
do p r e f .................
............. 155
155
147
151
151
152
1-17% 148
Chicago, I3url.& Quincy
HoSt
71
15%
06%
68
d »
<& N orihw cstTi...........
14 %
IUX
89
8 X
do
do pref............. ............... 84
s ix
s ix
90 X
&>x
106% lOiX 105% 103* 111 X 1 1.x 1U3X
do
& R eck Island............. .............. 103
75
75
75
Cin II in . & f t o n
.............
22
i3
Columl'., Chic. & In 1. C.............. ...............28
a ix
m¥
79
86
7.)
80
£4
79
Clev . & thttsburg.................... ............... >6
83
78
74%
74
75
14 X
do i o l . , 1 in & Ind ........... ............. . 78
IX
c*%
111
105
108
Del.. Lack •Sc W estern............... ............... I l l
10IX 1< 5
111'X lirt*
109
J0U
l.‘ W
J‘ I9
112
lutt
Dubuque $*■S ioux city .
107% 108
27
30
21
-IX
22%
E rie................................................
i V.
MX
46%
42
45
53
46
39
do preferred ............................. ............... 51
39
129
lm
136
12*
Har em ....................................... ............. 141* W ! i 12*
130
Hannibal & St J o s e p h ............. ............... 101
1 bX 107
107X 101% 109
1U4X H.7%
196
J0U
1<G
104*.
do
do p ref............. ............... 107
111IX 109
172% 154
155
Hudson River ............. ...........
133
131
144
llin ois Central .......................... ............... M IX 14U
130
la ax
330
tliX
31%
L ik e Sho. & M icli.son tb ........... .............. » I X
85
SIX
s X
8TX
»«x
52%
52%
L o n g M a n .l
5 -%
52%
2^
20
21
il
Mar. <fc (Jincin., 1st ... ............................. *20
1*%
2l
121
120
217%
Michigan C en tra l.................
119% 121
121% 117
07%
66% 74%
0 %
Milwaukee & St. Paul................................. 67% 71
73
« -%
»p>
do pref.......................... 70% 81% 78% 82% 81% 8 % 81% 8*%
87
87
87.%
Morris & E ssex.............................................
87% 88
85
88%
119% 11 :*% 119% 139%
120
120
1 0
Hew Jersey
.............................................. 1*20
112
112
112
do
s :ru>.......................................... 112
87
8S
f-8
C en tra ]...................... ............. 95
do
194%
£534
y York Central........................
192% 169% lfl ■%
8T
87
do
<fc
K. C s t k ............. ....... ,. 96
^8%
9 %
85%
qo
s/
74
74
77
s ri >
.................. ................ 82
do
0 74
81%
77
81%
141
138% 140
140
do
& X . navi n ............... ........... 139
140
140
140
141
132
110
do
140
do s c i p .......................... 132
137
737
24%
24*
Ohio & M isi-issippi...................... .............. 26
2 4*
26%
22%
23%
09
69
09
do
tio
pref................... ............. 69
20
203
Panama............................................ ............. a in x 20IX 203
2 5
193
191
88
85
86%- SOX
S ix
85 %
Pit. e.. C. XV. & Chi. gu ir............. ............. 85
c*6«
9.1*
Reading ...................................... .............. 'h ‘A
95 X
99*
97 4» 99%
9IX m i *
105
105
105
K one, W. *fe ( ’ irdensb’ g ........... ........... 1)5
63%
55
55
Toledo, Wiib. & W estern............. ._______ 63%
51X
D7X 49%
49%
75
75
75
72
do
do
d o p ie i ............. .
72
7.
72
M iscellaneous—
...............
28
26
Cumberland C o a l......................................
20
24
27
2 «X
24
25
Penn " lv..nil C o .l ........................
235
2:5
235
235
___
W i ksbar e
................. ............
(0
65
60
60
129
122
120
Del. oc 14ud. C a n a l...................... .............122
720
121
120
120
03
51
51
Paciiic M a il................................... .............. 69 X
47
58X
42
43%
Boston W aier ow er ., ...........
13X
13%
13%
13%
9
9
Brunswick c ity L a u d ...
9
9
___ .............
8 *
8%
8X
sx
C a n ton ................. ...................... ............. 52
60%
51
50
48%
51
48%
£ «*
8
8
8
Mariposa ...................................... _______
8
8
7 <<
7X
7%
do
pref................................ ............. 1 6 *
36%
15X
15
lu x
15«
14
14%
Q uicksilver..................................... ............. 25
15%
13%
13%
12%
14%
13X
18%
W est. Union Telegraph............... ............. SB*
“ UJi
34 K
32
S ix
32%
■i'X
Bankers & Brokers Ass............... ............. 103* 1 0 .x 10 X 103X
Express —
Am r can M . U nion.................... ............. 34
32
36%
35*
42
35X
38
Adams
.............................
59
55
57
50
64%
50
6 %
___
M erchants' U n ion ............. ..........
9%
9%
9%
9%
B4X
United States................................. ............. 5 8 *
52
51X
49*
48%
? 0%
•
52X
Wells, Fargo & C o........................ ............. 19
16%
22
16%
16
16
90*
20%
T he g »!<i premium racked during the month between 119£ and 124 th * bu k o f
business having been
done between
120
and
12 1
.
T h e steadiness o f t he p r»-
mium, together wi h the continued depression in sp eculation, have c a u s ^
transacii ns o f the G old E xch an ge to
be
very
lig h t.
R epeated
the
dT> ts hav.;
been made by a few wealthy operators to influence the prem ium , bu t wi >> <ijg .
icm ryging results, the largeness o f the supply having rendered the m ?rke , to a
certain extent, unmanageable. T h e Treasury issued proposals for the sale o l
$ 1 1 ,0 0 0 , 0 0 0 o f coin during the m o n th ; but o f this am ount only $ 8 , 0 0 0 , 0 1 0
[,January,
COMMERCIAL CHRONICLE AND REVIEW ,
7«
was actually sold, the bids for $1,000,000 being refused as too low , and $2,000,000, announced for sale in the last week, being withdrawn, apparently from an
indisposition on the part o f the Secretary to unduly depress the premium.
The
exports o f specie for the month were strictly nominal, and the payments for cus
toms at this port only $6,969,000. A t the close o f the month the Treasury
held $40,170,380 of private coin against certificates, while the average amount
ot specie in the associated banks, for the week e u 'in g o n December 31, was
$31,166,908—figures which sufficiently indicate the unusually heavy supply o f
gold on the market and in part account for the weakness of the premium.
NEW YORK.
fci
.9
*3
o
5
Date.
_______
Openi’g
AT
Iligh’ st.
D ate.
Lowest.
1
Openi’ g
C O U R S E O F GO LD
OQ
O)
*
o
-3
....
1 125% 121 121# 1122
F rid a y ......... .24 12054 12054
2
122# 12254 122V Saturday.___2
Holi
122% 122% 122% 122% M onday........ 27 120% 120)4
122% 123 12254 1ue 8d a y....... 28 120% 1-20
122% 12354 122% W ednesday .29 119% 11954
. . . 712'-% 122% 123% 123% Thursday . .30 119% 119%
.... 8 123% 123% 124 123% F rid a y .......... 31 11954 119%
123% 12354 1)3% 12354
123
123% 123% Dec., 1309... 122# 119%
12354 123% 12354 123%
“
1868.... 132% 13454
123 122 Vi 1 3 1 2%
"
186 7 .... 1137# 132%
...1 4 jl2 2 # 122 12254 122
"
1866.... H ’ % 131%
121% 12154(12154
“
1865.... 148 164#
“
1864 .. . 228% 21254
....H i 12154 121# 121%;12l%
. . . . i 7 l i a % 120% 121% 12054
“
1863.... 118% 148%
1'054|1<0% 120 X
“
186*2.... 1311% 128%
12054 121% 120#
“
1861.... 100 100
—
—
121% 119541121% 120%
120* 120# 1120# 120# 1;S’ ce Jan 1,1869. |134# IV.)x
..23 120% 120% |! 20% l ■•<•#!
W ednesday..
Thursday. ..
F r i d a y .........
Saturday........
M onday..........
T u esd a y.........
W ednesday..
Thursday........
Friday.............
S atu rda y .. ..
Monday.........
Tuesday . . . . . . . . .
W ednesday..
Thursday___
Friday.
.
Saturday. , . .
M on d a y........
T u e s d a y ----W ednesday.. .
Thursday.......
. .
tx
.9
m
m
fcfl
G
s
o
120#
day.
12 '54
12054
120
120
12.1%
12054
—
—
120%
120
110#
•19%
12' %
—
124 120%
13654 135
137# 133#
14154(13354
148% 145
243% v26
152% 151#
134
131%
100 100
162% 120%
F o re ig n rx ch aiig•• w>s s e . c b , out, ,,s usua* toward the c lo s ’ o f the year, the
demand
h r h its
for annual settlem ents o f accounts produced a firmer fe e in g
for the la^t h a lf o f th - m onth.
(60 D A Y S ) AT N E W Y O R K .
Amsterdam. Bremen. Hamburg,
cen ts for
cents for cents for
florin.
rix daler. M . banco.
40J4©40% 7S%@79
35%@:)6
4054@40% 79%@79% 36 @3G%
4;>£?U 0’/ i 79J4i»79% Si tn>3«%
4054@lU 7i 79%©7
* i @36 54
40%@40% 79%@79% Si @36%
4(I54@40% 7S%@79.% 36 @36%
40%@4054 79%@79% 35%@36
40%©4054 79% @79 54 35%©36
40%@4054 TS)%@7954 35% @36
40% @49% 79% @7954 35%@36
40%@4954 79Ji@79% 35%@36
40%@4054 79%©79% 3j% @ 36
4054@4054 79 @79)4 85%@36
4054@4054 79 @79% 35%@36
4054@4054 79 @79% 35%@36
40%@4054 7 ) @79% 35%@5U
405a @4054 79 @79% 85%@38
4054@4054 79 @79% 3o%@36
4O54@1054 79 @79% 35%@36
4054@i054 79 @79% 35% @36
4054@4054 79 @79% 33;%@36
(Holiday).
4054@i054 79 @79% 35%@36
40% @4054 79 @79% 35%@36
4 0 5 4 ® .... 7S54@.
3 5 % © ....
7S54@ . . 3 3 % ® ....
4054@
-------4 0 5 4 ® . 7S54@-. .. 35% ® . . .
C O U R S E O F F O R E IG N E X C H A N G E
Days.
1 ......... ......
2 ..................
3 ..................
6 ..................
7 ...............
London,
cents tor
54 pence.
Paris,
centim es
for dollar.
51*#'d, 517#
5 1 S # @ 5 i7 #
............. 103#(&10 i
.............108#@IU 8# 518# tf517#
518#@51S#
513)4@518)4
51854@51r)4
51354©518%
519%@518%
............ 108# @108#
5(9%@518/4
519%@51S%
51954 @51S%
........... 10854@10S54 51854 @518%
.............108%@109
518%@517%
518 X @517%
............. lii854@10S% 51S #@ 517#
.............1 0 8 # ^ l!‘S # 518%@517%
.............10S54@108% 51354@518%
.............10854®10354 51854©’' 8%
.............10854@10S% 51854@51 S%
.............108#@ 10)
518%@51754
51S%@517%
.............10S%@109
5'8% @517%
5le%@517%
.............108%@109
........... 10854© 0354 5 1 7 # @ ___
517#(& . . . .
80 ................ ............ io s # ?a i0 8 #
108#@108# 5 1 7 x @ . . . .
31.............
Dec., 1869 10S%©109%
Dec., 1863 109 @109%
519% @ol7%
518%@513%
4054@40%
41 @41%
Berlin
cents for
thalers.
7t% @ 71%
7154@71%
7t%@7154
71% © 7i%
71%@7154
71J4@7154
H «© 7 1 «
715, @7154
71*@71*4
7 i 54@7154
7’. % @ 7 l%
714. @71%
@71%
@71%
@7154
@71 is
@7154
@7154
@71)4
@7154
@7154
71 @71%
71 @71%
7 i,% @ ....
7 7 % ® ....
71% @ . . .
7854@7054 35%@36% 71 @7154
7S%©79% 36 @3354 71%©72%
1870]
70
RAILROAD ITEMS.
RAILROAD ITEMS.
T he L ouisville B ridge.— The Louisville
Bridge is opened for traffic.
This is one o f the mo t remarkable engineering achievements in Am erica.
Several of its piers are built in the rapids o f the Ohio, where the water run3at
the rate o f twenty miles an lnur. It3 total length is exactly one mile— 5,280
feet— and it has twenty-seven spans, two o f which are longer than any others
now in existence in America. The spans over the channels are 350 and 400 feet
long. The superstructure is placed above the grade on these spars, f o as to give
as much space as possible underneath for the passage of steamboats. In the In
diana channel there wilt b e a perpendicular space below the bridge o f 45J feet
at high water, and 6 7 i feet at low water, which will permit the passage o f most
Ohio boats without opening the draw. The plan o f the bridge is the F i-k sus
pension truss. Although so large and SO satisfactory iu every way, its cost
will not exceed $1,500,000, Including the approaches at each end, which are 2 7
miles long. The bridge was designed and superintended by A lbert Fink o f the
Louisville & Nashville Railroad, its Chief Eogineer, and F . W . Faurhan,
Assistant Enginter. It has been built by accompany, which was organized by
the iate James Guthrie, but o f which Mr. W . B . Hamilton i3 President. It was
commenced in July, 18G7. This bridge will be especially valnab'e to Louisville,
for while it permits the cars ol the northern roads to enter that city, the broader
gauge o f the roads south of the Ohio will prevent the extension o those advant
ages further south.— Western R R Gazette.
K ansas P acific R ailway R oxd 3 — The large amount o f funds thrown upon the
market for investment by the heavy purchases o f five twenties on the partof Secretary
Boutwell, must find new chambers into whicu they can be safely- nd profitably
directed. A great part o f these funds are undoubtedly re-invested in first-class rail
road bonds at such rates as to pay a very large difference to the holders in the way
o f interest. Take for instance, the Kansas Pacific Railway gold bonds, now offered
by Dabney, Morgan
Co. and M. K . Jesup & C o., two eminent banking houses in
N ew Y ork. This loan is secured by a railroad in successful operation for 487 miles,
and earning more than enough to pay the interest on the new loan. It has a'so
3,LOO,000 o f a'-res in Kaosas, which are being sol 1 for its development, togelher with
an additional 3,000,000 acres in Kansas and Colorado, which have been set apart as
a sinking fund for the paym ent o f the loan. The agents estimate the value of the
road to-day at §22,300,000, and this propeity i 3 offered as security for $ 6 ,SCO,000.
T he price o f the Kansas Pacific Railway bond is 96, with accrued interest in cur
rency, five twenties o f ’65 sell at 115, and as both securities bear 6 per cunt, gold
interest, the difference in the railroad bonds is apparent. Already $2,500,000 o f the
bonds have been sold. The agents reserve the right to increase the rate, and it will
be w ell for our friends to sent to them or pamphlets, m aps and circulars, and inves
tigate the matter for themselves.
A lab am a R ailr o a d s . — The following extract from the late message o f the G ov
ernor o f A lab-m a shows the operation o f the law o f that State granting aid to rail
roads:
“ B y an act o f the General A ssem bly, approved February 19, 1867, it was made
the duty o f the Governor, on the part o f the State, to endorse the first mortgage
bonds o f railroad companies, when certain conditions were complied with. Before
such endorsements could be obtained, twenty miles r f road bad to be built an i
equipped. Then, the Governor was to endorse for $ 12,00 J per mile for the road
proper, and an additional amount for bridges, viz.: sixty dollars per lineal foot for
bridges made o f wood, and one hundred per foot for such as were constructed o f
iron. This rate o f endorsement was to continue for every subsequent section o f
twenty miles until the road rvas completed.
“ B y an act approved Septem ber 2 2 , 1817. this law was so amended as to increase
the rate o f indorsement to $16,000 per milp. It also provided that indorsements
should be made for each section o f five miles com pleted after the first twenty, an t
so much o f the former law as related to bridges was repealed. Un er the iavr as
thus amended, indorsements up to die present time Lave been made as follows:
F or ihe Alabama & Cliattano’ ga Railroad................................................. « 1 soo 000
F or the M ontgoni ry & Enfaula Rad ead........ .....................................
’dSOOOO
F o : the Selma, Marion & Memphis R ailroad .............................................
3ao’ooo
$2,000 000
80
[January,
RAILROAD ITEMS.
“ The^e roala are in the han is o f gen lemen o f capacity, energy an 1 responsibility.
T h eie ia eveiy reison t;> believe tbit they will be com plete * at an early day, that
t ie interest on the b nds will be prom ptly paid as it falls doe. a*'d that everything
else w II be d ore t prevent lost to the State on account o f the indo eem nt.”
D etr oit A id to R ailr oa ds .— The Detroit T r ib u n e sa y s: ‘ 'A t the lequest o f
nin t -four electors <>f our city, mong who n we recogmze many o f our heaviest busi
ness men M is or W heaton has ordere 1 a sp cial election, to be held on Jan i sry 10,
for the purpose o f deciding whether municipal aid to the extent o f three hundred
thousa -<i dol.ars shall be grante I to the Detroit and H ow ellltiilr ad Oomp my. The
coi ditiun* upo i v b icli the lean is asked are that the shops of the com p nv shall be
permanently located m our city ; that the aid shall be in the form of coupon bonds
payable semi annually at the ra»e o f 7 per c e n t ; that one-til rd <f the b mds eh ill be
deliveied to the company upon the rom pleti u o f the road from Drdr it to Ply in >uth,
one third when it is com plete i to H owell, and the remain ler when it is com pleted
to ; arising ; and finally that the company shall execute a sec nd mortgage on the
road and its property to secure the payment o f the interest on the bonds accruing
after ten years, and t » secure the full p lyment o f tin principal at the maturity
o f t‘ e bonds, the first mortgage not to exceed $18,000 for each rare o f its track.”
T he Pacific R oads have agreed upon Ogden as their connecting termini, on the
foil w i' g baG* :
The Cent al pays the nion for the track $3,‘100,000 ; but the former will obtain
the suosidy b o i Is o f ihe government at th i rate * f $ 3 2 ,0 .0 per mile, about $1,900 (J00. The Central, therefore, real y pays but $1,3 0,0 '0 for the 60 miles, or about
$ 2 0 / 0d <•. mile
Tne $ ',2 0,00 ) whi h the Union gets will enable that com pany to
settle with its c mtractors and creditors.
It. was o f the highest importance to the Central Company to own the road as far
east as Ogden, as it secures three de.irable things; admission to the W eber o a l
mine ; connection with the entrepot o f the Montana trade ; directness to S ilt Late
Citv. The great highway between the Montana gold fields and the P acific Rat way
strikes be latter at Ogden ; and the roid to the Mormon capital comm mces a t the
plac^. B» th companies intend to erect extensive engine and repair shops at this
grand junction .— R a i l w a y R eview .
T h e C h espe a k e and O h io R a ilr oa d . — R ichm ond , V a., Nov. 28. — The stock
holders o f the Chesapeake and Ohio Railroad, last night, ratified a contract- with C. P.
Huntington. W . H. A spinwall, Pliny Fisk, and the.i assoc ates, o f New Y u r i, for ths
completion o f the road. T he gentlemen named and thtir associa es in the contract
were elected directors lor the ensuing year, with J seph R . Anderson and General
W ickham . The contracting par ies a e to finish the road or get nothing for their
labor. It is state ! that Mr. Huntington will be President, to resi le in New Y ork,
pnu Get era Wickham, the present President, u iL be V ice-President, io reside on the
line o f the road.
SPECIAL
NOTICE.
T he 1 rhig M icroscope.— P atented M ay 24, 1 8 6 4 .—The Cr>ig M ierocope is quite a w( mirr in its way. It is said to ne the only Magnifying Glass
ever invented which is adapted to the examination o f living insects, confining
them within the focus, leet ap or down. It is plso suitable for examining bank
hills, engravings, flowers, leaVes, see is, minerals, cloth, wool, the skin. &e., being
a greater variety o f purposes than any other n icroseope. Every
adapt* d
Banker, Merchant, Farmer, Gardener. Bee-keeper,Seedman, Natural si. Botanist,
Miner, Druggist, Student and Pleasure seeker should have one. It is also an
instructive and amusing gift to a friend or child.
It can be lo lle d up and
carried io the pocket— ever ready to made examinations Irom Nature’s great
labaratory— Price $2 50.
Sent in a neat box, prepaid, to any part o f the
world on receipt o f $2 and five three rent postage stamps.
M E A D E , Chicago, Illinois, or J O H N H A L L , Bergen, N . J .
A dress G E O .
@FedFRASER