$50,000,000 for Purchase of Cotton and Wheat Proposal Approved by General Meeting of Trustees Washington, June 4.
'The Reconstruction Finance Cor-oration to-day granted China a jan of G.$60,000,000, the "first ign loan it has ever' made.
President of the Corporation, H." Jones, "announced that no other foreign Joan is contemplated.
The loan will be used by China in buying United States Agricultural. products principally cotton, and is, Mr. Jones said, adequately cured by certain Chinese consolidated taxes, including the tax on cigarettes, flour, cotton yarn and matches, which the National' Government has agreed to set aside to meet the regular payments over riod of three years, twas explained that the taxes which' will be used to repay the Loan produced revenue of more than 'G,$22,000,000 in. "1932.
'The loan funds will be' placed disposal of China imme ately "and Chinese agents will. do all the buying from. the "American rms." The goods will be remove from' warehouses and shipped. at such times as China wishes.
'When' the. goods avo removed from the warehouses, ton per cent. of the agreed purchase' price be paid from the loan to the selers. Within. ninety" days there. after, a further fifteen per cent, will, be: paid,
price will be payable over a per The remainder of the purchase of three years and. deferred payments will draw interest at "five ber cent, "According to the agreement, the products will be shipped in
sible, Amatiean vessels whenever pos The expiration of the loan will be three years from the first pure ha:
Text read from the printed page and cleaned; old type leaves the occasional error.