shall be made at the Treasury of the United States in Washington,
or, ab the option of the Secretary of the Treasury of the United
States, at the Federal Reserve Bank of New York, and if in cash
shall be made at the option of Great Britain in gold coin of the
United States or in gold bullion or in immediately available funds,
or if in bonds, of the United States, shall be in form
acceptable to the Secretary of the Treasury of the United
States Treasury. Appropriate notation of all payments on
account of principal shall be made on the bonds proposed to
be issued hereunder which may be held by the United States.
Provided, however, that all payments in respect of any market
obligations issued under Paragraph 9 of this Proposal shall be made
at the office of the fiscal agents of the British Government in the
City of New York.
4. Exemption from Taxation.
The principal and interest of all bonds issued or to be issued
hereunder, shall be exempt from all British taxation, present or
future, so long as they are in the beneficial ownership of the United
States, or of a person, firm, association or corporation neither
domiciled nor ordinarily resident in the United Kingdom:
5. Form of Bonds.
All Bonds proposed to be issued hereunder to the United States
shall be payable to the United States of America, or order, shall be
issued, so far as possible, in denominations of $4,600,000 each,
and shall be substantially in the form set forth in the exhibit
annexed hereto, and marked * Exhibit A.’ The bonds shall be
signed for Great Britain by the Counsellor of His Britannic
Majesty's Embassy at Washington.
6. Repayment of Principal.
To provide for the repayment of the total principal of the debt
before maturity of the $4,600,000,000 principal amount of bonds
to be issued, it is proposed that the bonds shall contain provisions
the effect of which shall be that Great Britain shall make to the
United States payments, on account of the original principal
amount of the bonds to be issued, in the amounts and on the
dates named in the following Table :—
Date.
15th December
1928
1924
1925
1926
1927
1928
19290
1930
1931
Annual instalments to
be paid on account of
principal.
$23,000,000
23,000,000
24,000,000
25,000,000
25,000,000
27,000,000
27,000,000
28,000,000
28 000.000