The Bankers Trust Company, Kuhn, Loeb & Co. and the Chase National Bank are behind the project of a loan to Poland, estimated between $25,000,000 and $50,000,000 and they are cooperating with the American Tobacco Company, according to the New York “Times” of January 15. It is believed that the tobacco company will obtain a lease of the Polish tobacco monopoly, which is said to have been yielding $32,000,000 annually, and that securities will be issued on behalf of the company. Strictly speaking, it will not be a Polish Government loan, the “Times” states.
Poland’s monopolies include rich properties and it was decided to make use of them when measures were necessary a year ago to stabilize exchange and increase gold reserves. In recent months the country has shown marked progress. Early last year $35,000,000 of Polish Government bonds, part of an authorized issue of $50,000,000, were floated in this market by Dillon, Read & Co.
Representatives of the American Tobacco Company and the Bankers’ Trust arrived in Warsaw in connection with the proposed lease of the Polish tobacco monopoly in return for a considerable loan.