NEW METHOD OF FINANCING; APPROVE LA FOLLETTE LAW
New Method of Financing; Approve La Follette Law LaFollettes Magazine Madison Wis. Gentlemen: Please publish the enclosed advertisement set to occupy a page of your magazine, in your February,...
...I have no doubt Arnold would be glad to write a draft of his remarks on the La Follette act for your magazine if asked to do it...
...He appears to be one of the new school of big business men, who think working-men are human...
...120,000 in this way, on the direct sale of $2,-000,000 of preferred stock, a year and a half ago, and expect to save the Milwaukee companies at least $100,000 on this $3,600,000 note issue, as compared with the best price offered by the banks for underwriting the issue...
...Louis Union Electric Light & Power Co...
...Very truly yours, Frank Putnam...
...3—It will force the merchant marine services of other countries to coma up to the American standard, thus benefiting all who work at sea, which—he said—is much better than repealing the La Follette law and farcing the American service down to the foreign standard...
...These companies have publicly announced their readiness to sell to the municipality or the state, any time the public demands it, but until that takes place, if it takes place, we must continue expanding the service systems to meet yearly increasing demands for the service...
...It was the first time I had heard a representative of organized business or banking say a word in praise of the La Follette act, and, as no newspaper reporters were present, I called the local papers up this morning and told them about it...
...If satisfactory assurances of self-sustaining rates end fares can be obtained from the State Railroad Commission, we shall in the near future offer the public securities by the sale of which we expect to obtain between $7,000,000 and $9,000,000 to be used in constructing a new power plant doubling the Milwaukee district's industrial power supply, and considerably extending all of its electric service systems...
...This means cheaper money for public service, hence lower cost to the consumer...
...Arnold said the La Follette law would be of great benefit in the country's new campaign for foreign trade, for these reasons: 1—It will enable the country to man its huge new merchant marine with the pick of America's young men, educated and ambitious, because it assures them decent pay and living conditions...
...You may be interested to know that at a dinner of the foreign trade section of th Milwaukee Association of Commerce, held at the Milwaukee Athletic club last night, John J. Arnold, vice president of the First National bank of Chicago, in charge of that bank's foreign trade relations and an active organizer of foreign trade movements, talked for ten minutes in enthusiastic praise of the La Follette seamen's law—to the profound astonishment of most of the hardheads present...
...I have been advertising these notes in the seven Milwaukee dailies, in 25 State dailies, and in 25 of the best Wisconsin weeklies...
...Hitherto these companies' financing has been done thru the banks...
...By the way, he told his audience that most of the widespread demand for repeal of the La Follette act is inspired by foreign shipping interests...
...Please inform me of your rate per page for display advertising, and whether you can let me have the last page of the Magazine for our advertisement I should like that page if I can get it...
...Many of the banks realize that our sales are creating a large group of security buyers, who will shortly be coming to them for other good investments...
...2—It will thus give America's new trade abroad a representation of the most attractive character...
...Businessmen, he said should consult with the leaders of the seamen's union with regard to minor modifications which might improve the law without making it less acceptable to the seamen...
...I have got leave to prove that a considerable part of it can be done at less cost by cutting out bank commissions and selling direct to our own home public through newspaper advertisements...
...Gentlemen: Please publish the enclosed advertisement set to occupy a page of your magazine, in your February, March and April numbers, subject to minor changes of copy in March and April, as the sale progresses...
...I saved our St...
...It has just occurred to me La Follette's must have a big list of Wisconsin readers many of whom might wish to share this investment...
...Naturally, some of the banks and brokers fight our sales, because we pay them only 1% commission on orders sent us by them, as against their usual 8 to 6...
...We are selling this $3,600,000 of 5-year notes to pay for $1,900,000 of physical plant additions made with borrowed money during 1918, and to provide for further extensions to be made during 1919...
Vol. 11 • February 1919 • No. 2
