BOND CIRCULARS 341 



tance from the new mills, the Jonquiere Company has for 

 the past ten years been manufacturing pulp and, later, 

 cardboard and paper. Conditions of manufacture, quality 

 of wood and extent of water-power, confirmed by four 

 years' actual records, are therefore clearly established. 

 Construction and operation will be carried on under the 

 supervision of Mr. O. A. Porritt, the company's manager 

 at Jonquiere, and the undertaking may be regarded as 

 perpetuating, on a much larger scale, the Jonquiere plant 

 which to the extent of its capacity has been entirely sat- 

 isfactory. 



Mr. Geo. F. Hardy, of New York, consulting engineer 

 and paper mill expert, reports as follows: 



"In brief, I would say, in regard to the location of the 

 mill at Au Sable Falls, that it offers, in my opinion, an 

 exceptionally good opportunity for the manufacture of 

 newspaper, and that I know of no better opportunity to- 

 day in the Dominion." 



DESCRIPTION OF BONDS. 



The bonds for £1,000,000 sterling form part of an issue 

 limited to $6,000,000 gold or its equivalent in sterling 

 and are secured by a fixed and specific first mortgage and 

 charge upon all the present immovable property of the 

 company and by all the issued shares of the Price-Porritt 

 Pulp and Paper Company or by all the immovable property 

 presently owned by that company, and by all the issued 

 shares and all the outstanding bonds of the Jonquiere 

 Pulp Company; and will be similarly secured upon all 

 future immovable property acquired by the company from 

 the proceeds of the bonds and by a floating charge upon all 

 the other assets of the company which include current 

 assets, trade marks, etc. 



SINKING FUND. 



A cumulative sinking fund of 2 per cent, per annum 

 will commence on May 1st, 1915; and annually thereafter 

 a cash sinking fund of 2 per cent, of all bonds outstanding, 

 plus an amount equal to the annual interest on all bonds 

 redeemed through the sinking fund is to be paid to the 

 trustee, and used to purchase and retire bonds at not 

 exceeding IO2I2 per cent, and accrued interest, or to call 

 bonds at that price if not so purchasable. 



The sinking fund will redeem practically the entire is- 

 sue of bonds before maturity. 



TITLES AND MORTGAGES. 

 The titles to all the properties covered by this mort- 



