Show j PAYING FOR SOUTHERN PACIFIC BONDS TO BE ISSUED FOR new york feb 8 it was learned today on good authority that tie unon pacifica purchase of southern pacific stock Is to be financed by an issue ot of union pacific our per acerit ten year convertible hotd tends underwritten under written by kuhn loeb co they can be converted at he option ot the holder inep common stock ot the railroad company at any time before may 1 and are redeemable dee mable on any interest day after that date at the option of the company at a of 2 12 1 2 per cent the bonds will be offered to stockholders tor subscription at par new york feb 8 As chairman 0 the board of directors of tho union pacific railroad mr E H made public a letter addressed to kuhn loeb co in which he states that the union pacific bonds are to bear interest from may 1 1901 payable semiannually semi annually and are to form part of a total authorized issue of of bonds bearing interest at a rate not exceeding four per cent and not leas than three per cent yearly the bonds will be secured iby cr tain collateral in the companas comp anys treasury as well as by a first mortgage on about thirteen thousand miles of road forming a part of the union pacific present system not now mortgaged |