Austria Raises $25,000,000 Here.

New York Times 100 years ago today, December 10, 1912:
Loan Only Granted, Says Bankers' Spokesman, After Assurance of Balkan Peace.
EUROPE STILL TALKS WAR
Now Regards Resignations of Austrian War Minister and Chief of Staff as Alarming.
TRADE IS BEING RUINED
Panic in Galicia Continues — Servia Said to Want All Northern Albania — Bitter Feeling In Belgrade.
    VIENNA, Dec. 9.— The Austrian Government lias negotiated with a syndicate headed by the Austrian Postal Savings Bank, and including Kuhn. Loeb & Co. and the National City Bank of New York, for an issue of 4 1/2 per cent. Treasury bonds to the amount of $25,000,000, which will be taken at 97. The bonds are redeemable at par at eighteen months and two years.
    The Hungarian Finance Minister has issued, through the Hungarian Credit Bank, Treasury bonds to the same amount and under the same conditions. Both are gold loans.

    The news from Vienna that the Austrian Government had placed a $25,000,000 loan with a syndicate in which Kuhn, Loeb & Co. and the National City Bank participate was confirmed last night by a representative of the bankers.
    He said that the contracting parties in the syndicate had received satisfactory assurances that the political situation abroad had much improved and that there was no reason for apprehending warlike developments. This banker, who did not wish to be quoted, made it plain that he considered the loan a positive indication of peace in the Balkans, and it can be stated that the syndicate, particularly the participating New York interests, did not commit themselves until they regarded it as certain that war would be avoided.
    In this connection it was learned that the loan negotiations were not of quick development, but had been proceeding for some time, and the inference to be drawn is that they were not concluded until the lack of "reason for apprehending warlike developments," was pretty definitely established.
    The extent of the participation of the two American banking interests in the loan could not be learned, nor the price at which the $25,000,000 notes are taken. It was stated by a representative of the bankers, however, that only a small part of the proceeds of the loan would be taken at present, and none in what remains of the calendar year.
    This is the first time that Austria has come into the American market for funds, and it is the first loan put out by her in denominations of dollars.
    Participation by the National City Bank in the loan was regarded as of some significance last night in the light of the Standard Oil's struggles in the Austrian and German fields. The Vacuum Oil Company, one of the former subsidiaries of the Standard Oil Company, was barred from competition with Austrian concerns something over a year ago. At the same time a French oil enterprise was cut out of Austrian territory. The French concern was helped by diplomatic efforts to regain a place in Austria, but the bars remained up against the Vacuum Oil Company.
    A cablegram yesterday told of the completion of negotiations between the Austrian Government and the Vacuum Company, compromising their difficulties and permitting the reopening of the company's largest plant in Austria. The close affiliation between the Standard Oil interests and the National City Bank gave rise to the surmise that Austria was influenced in the oil fight by the willingness of the New York bank to enter the loan syndicate.