Thomas Jefferson Papers

John Barnes to Thomas Jefferson, 5 April 1814

From John Barnes

George Town Coa 5th April 1814

Dear Sir

The proposition and statemts required is founded on the presumed sale of $8000. Penna Bank Stock, producing 10 pCt paid half yearly—(of increasing Value) and Currt price say, 40 pCt above par—and if so disposed of1—And the Net proceeds invested in the New Loan Certificates—supposed to be Created—at 88 for every 100 dolls, bearing 6 per Cent paid quarterly—If this is Correctly the proposition and statement required—the probable result, would be Nearly—I Apprehend—as follows—Viz—

The $8000 Bank Stock made sale of
at 40 per Cent above par would produce $ 11,200
and whilst in Bank produce, 10 pCt in $ 800
The above $11,200—converted into the New loan }
Certificates on the above scale of 88 for $100—   760
would produce $12,700, shares 8²⁷⁄₁₀₀ of do a    
in favr of Bank Stock $ 40
The one Stock rising in Value }
the Other Stationary—

Note also. the extra Expenses on sale & transfering—the proceeds would not be less—I presume than a ¼ of 1 pCt & Other exps—very near a $50—

so that the 1t years Net Int woud not exceed very little—more than $700—in lieu of $800—

it is therefore self Evident (—barring unforeseen Accidents—and unexpected—risque—or Danger in Bank of Penna) said Stock is Confessedly the most profitable—Stock—

a hoarsness and Cold still hangs on me—has prevented my waiting on Genl Armstrong. hope in a few days, to be able to present to that Gentn your seperate letter and inclosure for his perusal2 and recollection—

most Respectfully I am Dear Sir—your Obedt servt

John Barnes,

PS. since the preceding—to days paper Announceg3 the terms—or rather Conditions perscribed—of which I cannot at present form any correct opinion Shall however—endeavr to Obtain—the best Acct—I presume—they cannot but—be equal if not superior to the last loan—Otherwise it will not, I, shd suppose fill so readily—and I have no doubt of its being Compleatly filled before the Money—is required for the public use—

RC (ViU: TJP-ER); addressed: “Thomas Jefferson Esquire Monticello Virginia”; franked and postmarked; endorsed by TJ as received 15 Apr. 1814 and so recorded in SJL.

your seperate letter and inclosure: TJ to Barnes, 22 Mar. 1814 (second letter), and enclosure. The terms of the new government loan were given in the Washington Daily National Intelligencer, 7 Apr. 1814.

1Manuscript: “off.”

2Manuscript: “persual.”

3Reworked from “Announced.”

Index Entries

  • Armstrong, John; and J. Barnes search
  • Armstrong, John; TJ reimburses search
  • Bank of Pennsylvania; stock owned by T. Kosciuszko search
  • Barnes, John; and T. Kosciuszko’s American investments search
  • Barnes, John; handles financial transactions search
  • Barnes, John; health of search
  • Barnes, John; letters from search
  • Congress, U.S.; loans contracted by search
  • Jefferson, Thomas; Business & Financial Affairs; and T. Kosciuszko’s American investments search
  • Jefferson, Thomas; Business & Financial Affairs; reimburses J. Armstrong search
  • Kosciuszko, Tadeusz (Thaddeus) Andrzej Bonawentura; and J. Barnes search
  • Kosciuszko, Tadeusz (Thaddeus) Andrzej Bonawentura; Bank of Pennsylvania stock of search