Belgium - Loan 0014 - P037358 - Bonds - Volume 1 - Public ...

THE WORLD BANK GROUP ARCHIVES

PUBLIC DISCLOSURE AUTHORIZED

Folder Title: Steel and Power Equipment Project - Industry - Belgium - Loan 0014 - P037358 -Bonds - Volume 1

Folder ID: P037358

Project ID: 1535526

Dates: 11/3/1948 - 10/1/1953

Fonds: Records of the Europe and Central Asia Regional Vice Presidency

ISAD Reference Code: WB IBRD/IDA ECA

Digitized: 11/7/2018

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MTHE WORLD BANKWashington, D.C.

@ International Bank for Reconstruction and Development / International Development Association orThe World Bank1818 H Street NWWashington DC 20433Telephone: 202-473-1000Internet: www.worldbank.org

AYO~hIW4S~61536526Al1995-203 Other #: 4 1837228

Stee and Power Equipment Project - Industry - Belgium - Loan 0014 -P037358 - Bonds

31 Mg6

MADE IN U.S. A.

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2Rm No. 27

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT

OUTGOING WIRE

DATE: CLASS OF SERVICE DESIRED

TO: ma, , I NIGHT LETTER i] CODE [lDEFERRED ] FULL RATE L]

TEXT: TELETYPE

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AUTHORIZED BY: For Use by Archives Division

NAME Jr X. OPENHER Checked for Dispatch

DEPT.

ORIGINAL (FILE COPY)

RI TU A i)KF

MOON A1 EIVEL

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In tdeir tr i b ~ 7Q ovol ith th- r-e,, rstp ffein A n ffico, w o . hoto.tt *f

m~jr ch 'ekw ?I. 2 54, 'n 2551 I-unuuve. ral! ~A~tA4 -#rtomber 1,

95,2 rerenti ed to ya iyur eter of *2st3,5O95O, te

he re y etefrr -nrin f i",or !wide wI'o , dh . ?4dych 1 1969,

v, 'R u t e e r acci unt 2 nh 5 to, ! it'dwle

E orde to ent's yu t^ nerrryWi tho r'qeenso

TfuT Mherk Co.258tva5nicuev, 1 Utseatmbrienry .. htl

Lr ing* rib

September, 1, 1953

Bowery Savings Mank110 hst 42nd StreetNew York, New York

Gentlemen:

Flease find enclored our Chek No. 2549 in the amount

of $22,500.00 in payment of interest due September 1. 1953.

on *l.500,000.00 - 3% Sinking rand Nnd R 6 of the ringdon

of Nlgium, due March 1, 1969. registered in your name.

Sincerely yours,

Henry W. RileyTreasurer

lTelnurei

SieptVmber 1, 1953

Nei York Life Insrance Corpany51 Madison AvenueNen York, New York

Gentlemen:

Please d enclosed our Check No. 25Li8 in the amount of

$165,ooo.oo in t of interest due September 1, 1953 on

11,000,000.00 3% Sinking ound Bonds R2 and R7 of the Kingdom6

oa Belgim, due March 1, 1969, registcred in vour name.

Sincerely yourh,

Henr" W. Riltyclo ire Treasurer

is:brL

opt o 1, 1953

it River Faig Bank26 cortlandt streetNel York, Ne york

t1 ian:

jclod p, w- ILnd oIr Ch o. 2551 in the a ount of

.0 in payent o interev. 'epteober 1, 1953, on

ooo.oo 31inking flnd 1o,1 6 of the ingdu o.

du arch 1, 1369, re, 2tered in yur name.

incerely you r,

Bfenr W. Rilcy1aeosue Treaue

2LI2?& ;br6

september 1, 1953

Ntw York Savirs Bklhth aml Conher of Bth AveiuoNcw York, Neu York

Gentlonen:

Please find anclosed our Check Io. 2550 in the avount of

2,500.00 in payuent of interest die September 1, 1953, on

$, 00,000.00 3% Sinking And Bond AR 5 of the Kin om of Bng.un,

di w arch 1, 1969, registered in your niae.

Sincerely yours,

Henry IV. RileyEnclosure Treasurer

Tns ibrt

August 13, 1953

3ast River Savings Bark26 Cortlandt StreetNew Yo!*, New York

Gentlemn:

We wish to -advise that the Kingd=m of Belgium has certi.fied to this Bank that it has purchased, retired and appliedto the irstall-ent of the Sinking Fund due Septenber 1, 1953,$;500,000') principal amount of the Kingdom of Belgium SinkinigFund Bonds due March 1, 199, which were issued pursuant tothe Loan Lgreement between the Kingdom of Belgium and theInternational Bank for Reconstrtwtion and Development, datedMarch 1, 1949.

Very truly yours,

Henry W. Ri1WiTreamixer

RWCavanaugh: jf

cc: Legal Department

&ugUat 13, 1953

bowery Savings Bank110 Fast 42nd StreetNew York, New York

Ge,-tlamen:

We wish to advise that the Kigdm of Belgium has certi.-fied to this Bank that it has purchased, retired and appliedto the irtallment of the Sinking Fund due September 1, 1953,$500,000 principal amunri of the Kin of BiiizFund Bonds due March 1, 1969, which were issued pursuant tothe Loan Agreament betimen the Kingdom of Belgilum and theInterntional Bank for Reconstruction and Development, datedMarch 1, 1949.

Very truly yours,


RWavanaugh: jf


kug'ust 13, 1953

New York Life Insurarc opaxg51 Madison AvemeNew York, New York

Gentlemen:

We wish to advise that the Kingdom of Belgium has certi-fied to this Bank that it has purchased, retired ard appliedto the installment of the Sinking Fund due September 1, 1953,$500,000 principal amouut of the Kingdom of Belgium SinkingFund Bonds due March 1, 1969, which were issued pursuant tothe Loan Agreerent between the Kingdom of Belgium and theInternational Bank for Raconstrution and Development, datedMarch 1, 1949.

Very truly yours,


RWCavanaugh: jf


t 13, 1953

Iew lork Savirgs Bank8th Avenae at 14th StreetNew York, New York

GentleAIen.

We wish to advise that the Kingdom of Belgiim has certi-fied to this Bank that it has purchased, retired and appliedto the intanrent of the Sinking Fund due Septwmber 1, 1953,$500,000 principal amunt of the Kigdom of Belgium SinkingFund Bonds due March 1, 1969, which were issued pursiant tothe Loan Agreement between the Kindcm of Belgium and theInternational Bank for Reconstruction and Dekelopment, datedMarch 1, 1949.

Very truly yours,


RWCavanaugh: jf


FORM NO. 92INTERNATtONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT

CORRESPONDENCE RECORD FORMFROM

DATED

Ambassador of Pelgiu Amguat 19, 1953Washigton

SUBJECT

Informs Bank that principhl part of sInkIng fund, bond no.1 I of Belgium has been Iian, xsmjpursuant to Article 1, ection 7 of loan agr..sano. 14.

REFERRED TO DATE RECEIVEDMr. Stayengon A s1

Ministire des Financesde Belgique Bruxelles, le 3 aoUt I953

INTERNATIONAL BANK FOR RECONSTRUCTIONTRESORERIE AND DEVELOPMENT,

ET DETTE PUBLIQUE 1818 H. Street,

3e Direction Ir Bureau WASINGT0N,2J)C.U. S.*A.

T. D N, 816C. D.

ANNEXE

Dans la r6ponse, rnentionner lesindications ci-dessus. Messieurs,

,Pi, ant de 1~ 6. 000. 000

Loan Contract Number 14.B.E.

Par suite du rachat d'un capital nominalde 1 500.000 en obligation5de l'Emprunt de $ 16.000.000pour l'amortissement au Ir septembre 1953, le montanten circulation de cet emprunt a 6t: ramen' U " 15.500.00(

Afin d'assurer le service des interets ala dite date du Ir septembre I953 de l'emprunt en cause,je donne des instructions en vue du versement, valeur31 aolt courant, au credit de votre compte chez laFederal Reserve Bank of New-York, a New-York, de lasomme de $S 329.375.

Cette somme represente:

I) les intdrets semestriels a 3>, l'an sur le montantde $ 15.500.000 ci-dessus: $ 232.5002) la commission au taux de I$2 lansur le mnme montant: $ 96.875

$ 329.375

Vous voudrez bien m'accuser r4ception decette somme et me faire parvenir la justification usuellEdu paiement des interets aux porteurs des obligationsnon encore amorties de l'emprunt.

Veuillez agr6er,Messieursl'assurance dema consideration distingue'e.

Au nom du hlinistre:Pr. le Directeur general;

) O LE D ECTEUR,

x -- ->

The undersigned, KINGDOM 01 BU.IUM, hereby acknowledges

receipt of one cancelled fully registered Sinking Fund Bond

due March 1, 1969, of Kingdom of Belgium, numbered R 3, dated

March 1, 1949, payable to Bowery Savings Bank, and bearing

interest at 3% per annum in the principal amount of two million

dollars ($2,000,000).

KINGDOM OF BELGIUM

BY7

Washington, D. C.

June i,, 1953

June 15, 2953

Ainistry o' F inance30 Direction 3e -ureau18 Rue de la Loiarussels, Belgium

Attention: r . Durieux

foent1 emen a

Re: T.D. No. %,6

i s requested by yu in your letter of June'5, we hereby confirm havingreceived advice from the Federal Reserve lank of New York that our accountwith them was credited on June 8 in the amount of 500,85L.65.

In order to enable you to comply with the requirements oF your auditoffice, we enclose herewith photostatic copy of our Check No. 2379evidencing payment to the iiowery Savings Bank in the amount of '%19,125.00,representing the purchase price of bond No. R-3 in the face amount of*500,000.00 of the $1-6,OO,0OO.00 loma of the hindoM of..4 egiua.

The cancelled bond, R-3, will be returned to the office of theelgium Ambassador in Washington.

Sincerely yours,

Robert a. CavanaughChief, # inance Division

Enclosure

.cc I anque Nationale de "elgiqim

Mr. CavanaughMr. Rutland

BLPrins :rlb

FORM No. 59(3.49)

CROSS REFERENCE SHEET

COMMUNICATION: Memorandum

DATED: June 8, 1953

TO: Mr. B. L. Prins

FROM: Robert W. Cavanaugh

SUMMARY: RE: LOAN 14 BE (Belgium)- Sale by Bowery Savings Bank to

Government of Belgium 3% Sinking Fund Bond of Belgium

guaranteed by the International Bank for Reconstruction

and Development.

Requests Mr. Prins to draw check on our Account "A"General

of Federal Reserve in payment of above transaction.

FILED UNDER: TJ. S. DEPOSITORY

CROSS REFERENCE: BELGIUM LOAN 14 -OPERATIOAL FILES-

AMBASSADE DE BELGIQUE

Note pour Monsieur Basyn

L'Ambassade a regu un t6lUgranne cryptographi6 du

Ministere du Comnerce Ext6rieur 1 Bruxelles, en date du

6 juin 1953, lui demandant do connuniquer A la Banque

Internationale do Reconstruction et D6veloppement &

Washington le message suivant de la part do M. Vanheurck :

En vertu de la Section 7 de l'Article 5 du contrat du

lor mars 1949, concernant 1'Emprunt de $16,000,000 --

Quatorze B.E. - et an confirmation de la lettre de M. Van-

hourck & M. Basyn, en date du 5 juin 1953, un montant de

$500,854.45 sera dapos6 le 8 courant au coa pte de la B.I..

chez la "Federal Reserve pank" A New York. Cette sonne est

destin~e au rachat et l'annulation de 0500,000.- d'obliga-

tions de l'emprunt en question pour amortissenent 1953.

Washington, le 6 juin 1953

Pour l'AmbassadeurLe hancelier.

AMBASSADE DE BELGIQUE Washington. June 5th, 1953.

Gentlemen:

1. The Kingdom of Belgium has agreed to buy from the

Bowery Savings Bank, lU Fast 42nd Street. New York, N.Y., at

99 plus accrued interest thereon to the date of delivery of and

payment therefor t5W.,0O principal amount of 31 Sinking Fund

Bonds, due March 1. 19619, of Kingdom of Belgium, guaranteed by

the International Bank for Reconstruction and Pevelopment.

Delivery of an payment for the said Bonds is to be made on June

10. 1953 at the offices of the Bowery Savings Bank.

2. We have transferred to your account at the Federal

Reserve Bank of New York $5uu.854.45. representing (a) S495.000.uu

for the principal amount of such Bonds; (b) $4,125.uu for accrued

interest on such Bonds from March 1. 1953 through June 9, 1953;

and (c) $1,729.45 for the li! service charge for the same period

on the principal amount of the loan represented by such Bonds.

... /

International Bank for Reconstructionand Development.

1818 "H" Street, N.W.,Washington D.C.

-2-

3. We hereby authorize and request that you (a) pay to

the Bowery Savings Bank on June 10, 1953, at their said offices,

the sum of $499,125.00, and (b) deliver to the. $1,500.000 prin-

cipal amount of 3% Sinking Fund Bonds due March 1. 1969 of the

Kingdom of Belgium guaranteed by the International Bank for Re-

construction and DevelQpment, registered in their name, against

receipt from them of a Bond of such issue in the principal amount

of $2,Uoo00.

4. You are authorized and requested (a) to pay to your-

selves $1,729.45 for the said service charge, and (b) to cancel

the said Bond so received from the Bowery Savings Banx.

Very truly yours,

Ministire des Financesde Belgique Bruxelles, le j Juin 1953

INTERNATIONAL BANK FOR RECONSTRUCTIONANID DEVE LPMENT ,

TRESORERI EET DETTE PUBLIQUE 1818 H. Stree N.W.

WASHGT 2 27D.C.3e Direction 3e Bureau U.ShI A2 . CUI. S.A.%

T-D N- 816C. D.

ANNEXE

Dans la r6ponse, mentionner lesindications ci-dessus.

Messieurs,-unt de $ 16.000.000

J'ai l'honneur de porter a votre connaisance queje donne des instructions en vue du versement L votre crddilchez la "ederal Reserve Bank o New-York, de la somme de

1 500.854,45, representant le cout du rachat pour 1'amor-tissement au Ir septemnbre 1953 d'un capital nomin.al de

2 500.000 d'obligations do l'Emprunt de $ I6.o.,.OO duRoyaume de .belgique, savoir:Principal: $ 500.000 a 99% $ 495.000Interets h 3 du Ir mars au 9 juin I953 $ 4.125

Montant L payer au vendeur,Bowery SavingsBank h New-York $ 499.I25Int r"ts ' I,25% du Ir mars au 9 juin1953, pour votre organisme $ 1.729,45

-------------------------------------------Ensemble $ 500.854,45

Je vous saurai gr6 de vouloir bien r'accuserreception de cette somme et de me faire parvenir, dlment2nnuld&, l'obligationi amortie.

Veuillez agrderlivessieurs,l'assurance de ma

consideration distingude. Au nom du Ministre:Pr. le Directeur gencral;

LE DIRECTEUR,

Durieux.

: . i-

.x:.

x.

- - xxas - -

-.. -a- s. ... :. ms.. -

2 - P

e .- - -

FORM No. 57 INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT(5-48)INENTOABAKFRRCNTUTO ANDEEOM T

OFFICE MEMORANDUMTO: Files DATE: May 6, 1953

FROM: Martin M. Rosen

SUBJECT: Belgium - Loan BE

On Monday, May 4, Louis Mudge called me from New York to say thatthe Bowery Savings Bank had talked to him about the sale of $2 millionof Belgian Government bonds held by Bowery out of Loan 14 BE. Boweryhas offered to sell them at 99. Bowery asked the Bank to inquire whetherthe Belgian Government was interested in buying back their own securitiessince the first sinking fund payment, amounting to $500,000, is to bemade in September 1953 with equal amounts semi-annually thereafter.According to the provisions of the contract, sinking fund payments maybe made either by call or by purchase of the securities in the market.If Belgium were to buy the securities to meet these first four sinkingfund payments, Belgium would in effect be earning a return of over 5%on money invested for an average life of only about 13 or 14 months.

Before passing this suggestion on to Basyn, I discussed the matterwith Broches. He pointed out that there was an exchange of letters atthe time of the loan which provided that any advance redemptions wouldbe made pro rata among all of the holders. While this pro rata provisiondoes not apply to purchases in the market, Broches felt that even ifBelgium were to purchase the bonds, and merely cancel $500,000 of themon each sinking fund date, this action (buying from only one of theholders), should not take place unless it had been discussed with MorganStanley. If Belgium wanted to go further and cancel all the bondsimmediately upon purchase, asking the Bank to give up its 1 1/4% differ-ential charge, he felt that this would in effect amount to advanceredemption and therefore could not be done without asking tenders fromall five holders of the bonds. One further possibility would be for theNational Bank of Belgium to buy the bonds, exchanging them for non-guaranteed securities to save the 1% commission, and holding them untilsinking fund payment dates, at which time they would be sold to theBelgian Government. While Broches did not feel there would be anythingimproper in an exchange of the guaranteed bonds for bonds withoutrecourse, their subsequent sale to the Government would be improper,especially in view of the close connection between the issuer and theBelgian National Bank.

Today I told Basyn about the Bowery proposal and suggested that hetalk to Broches before passing any word of it back to Belgium.

cc - Messrs. BrochesFajansMudge

MMRosen:dbs

March 2, 1953

Vinistry of Finance18 Rue de la LoiBruesels, Ze]gium

Attention: Mr. Durieux

Gentlenen:

As requested by you in your letter of February 5, we hereby confirmhaving received advice from the Federal Reserve Bik of New York thatour account with them was credited on February 27 in the amount ofS30,00000.

In order to enable you to comply with the requirements of youraudit office, we enclose herewith copies of our checks Nos. 2115 to2118, both inclusive, all dated March 2, 1953, representing a totalinterest payment of 12ls0,000,00 to the registered owners of Sinking Fundbonds, due March 1, 1969, of Kingdom of Belgium, numbered R 2 to R 3 andR 5 to R 7, inclusive.

Sincerely yours,

'ienry W. RileyTreasurer

Enclosures

cc: Banque hationale de Belgique

FIN Mr, CavanaughMr, Rutland

BLPrins*.rlb

March 2, 1953

NCu York eavi ngs !aik11-th nd Corner of 8th Avenue,New York, N w York

Gentlenen:

Cneare I d enclosed our Checi :,. 2117 in the ar mt of 22,500.00

in payment of interest due March 2, 1973, on $1,500,000.00 3% Sinkng

Fund Bond R 5 of the Kingdom o eigiuu, due iiarch 1, 1969, reitsterd

in your nrme,

Sincerely yourzs

Henry W. RileyTressurer

Enclosure

BL~rin:s'vO

arch 2, 19S3

ilowery Savings raank-- -act h2nd Street

New York, ew York

Gentlemen:

flease find enclosed our Chck h o. 2116 in the anount of $30,000.00

in payment of interest due March 2, 1953, on $2,Q00,000.0O 3% Finking Fund

Bond R 3 of the Kingdom of Belgium, due March 1, 1969, registered in your

name.

Sincerely yourm,

Henry U. RileyTrasurer

Enclosure

BLIrins :vro

3nrch 2, 1953

>sst Iver zvings Bank2~6 Cortlandt 2trc'et,New York, N York

Gentlemen:

Please find enclosed our Check No. 2118 in the m ount of -22,500. O

in payment of interest due March 2, 1953, on fl,500,000.00 3% inking

Fund Dorvi R 6 of the lingdom of elgiua, due "arch 1, 1969, registered

in your name,

Sincerely yours,

Henry V, RileyTreasurer

Enclositre

BL~rins :Vo

March 2, 1953

vv: York Tife Insurance Company51 Madison Ive1e.,Nev York, Ne1r York

Gentlemen:

Please find enclosed our Check No. 2115 in the amount o I65,OO0.00

in payment of interest due March 2, 1953, on -11,OOO,OOO.O0 3% rinking

Fund B3onds R 2 and R 7 of the Kingdom of Belgium, due March 1, 1969,

registered in your nam.

Sincerely yours,


F nclourre

3LPrins:vo

Ministere des Financesde Belgique Bruxelles, le S f'vrier 1953

INTERNATIONAL BANK FOR RECONSTRUCTIONTRESORERIE AND DEVELOPMENT,

ET DETTE PUBLIQUE 1818 H. Street,N.W.

3e Direction 3e Bureau WASHINGTON 21D.C.U.S.A.

T. D] 8I6C. D.

ANNEXE :

Dans la r6ponse, mentionner lesindications ci-dessus.

Er-unt de 1 16.000.000 Messieurs,

Loan Contract Number 14. B.E.

J'ai l'honneur de porter b. votre connaissance queje donne des instructions en vue du versement yaleur 28f4vrier 1953,h votre cr4dit chez la Federal ReserveBank0"9W'-TRlT-,de la somme de $ 340.000 requise pour le

r kservice financier au Ir mars suivant, de l'Emprunt deSa16.000.000 du Royauue de Belgique,savoir:

I) int4rets semestriels h 3% l'an sur le montant de$ I6.000.000 ............ $ 240.0002) la commission au taux de I 1/4% sur lememe montant .............. $ I00.000

$ 340.000

Vous voudrez bien m'accuser r4ception de cettesomme et me faire Parvenir la justification usuelle dupaiement des int4rets aux porteurs des obligations repro-sentatives de l'emprunt.

Veuillez agrter,Messieurs, l'assurance de maconsideration distinguee.

Au nom du Ministre:Pr. le Directeur g6ndral;

LE DIRECTEUR,

Durieux.

J, j~

1I

FOR M NO1,.92INTERNATIONAL BANK FOR RECONSTRUCTION ANO OEVELOPMENT

CORRESPONDENCE RECORD FORMFROM

DATED

yout tiiia J*b.5. 95Parne

SUBJECT

Ineloses frif I*Aa on o tbe *Mkt I Blgiui 1a&t rear.

c.c- Mr. roobhesREFERRED TO

R E F E E D D A T E R E C E IV E DM--- lll. 9

Planned Belgian Government 12 year loan bearing interest at 4 1/2%

Bonds will be offered at price of Bfr 970 for nominal amount ofBfr 1,000. Redemption by lot-drawings in the first eleven years, inannual tranches equal to 3.5% of the total, the balance of 61.5% repaidat the end of the twelfth year. Repayment will be made at par in eachof the first four years, at 101% in the four following years, at 102%in the three following years, and at 103% in the twelfth year.

Percent Redemption YieldYear redeemed price (percent)

1 3.5 100 7.682 3.5 100 6.123 3.5 100 5.604 3.5 100 5.345 3.5 101 5.376 3.5 101 5.247 3.5 101 5.148 3.5 101 5.079 3.5 102 5.0910 3.5 102 5.031l 3.5 102 5.0012 61.5 103 5.04

Average life: 9.69 years

Average yield: 5.22%

IBRD - Statistics SectionNovember 5, 1952

October 23, 1952

Yields of Belgian Government Bonds Traded in Brussels

Fhprunt de la Liberation 4%, 1945 - Nov. 1, 1986

Price Oct. 16, 1952 ...................... 88.35

Yield to maturity .......................... 4.69

Current yield..................,............ 4.53

Emprunt Belge 4i%, 1951 - 1961/66

Price Oct. 16, 1952......................... 97.25

Yield to maturity........................... 4.77Current yield...........****.............. 4.63

Euprunt Belge 4%, 1952-196/

Price Oct. 17, 1952......................... 96.90

Yield to aturity........................... 5.17

Current yield.................. ...... 4.64

f/ This is the latest government loan issued for subscription betweenJune 18 and July 7. The price of issue was 96j%. Subscriptions totalledB. frs. 7.5 billion, of which B.frs. 4 billion in cash. Redemption is totake place at the annual rate of B.frs. 35 million for every B.frs. 1billion in the first nine years, the balance being settled at the end ofthe tenth year. Bonds are to be repaid at par in the first three years,at 101% in the next two years, at 101j% in the sixth, seventh and eighthyears, at 102j% in the ninth year and at 103% in the tenth year. Yieldto maturity was calculated on the basis of 103% redemption price and istherefore very high.

Calculated by theStatistics Section

UFajans :mc

V.f,

+pe er 2, 1952

Bowery savings Bank110 East 42nd btreetIJew York, New York

Gentleren:

'lease find enclosed our Checkc- No. 33 in the amount o. 30,000.00 in

paymnt of interest due Peptember 2, 19r2, on ,2,000,000.00 3% Sinking Fund

B3nd R 3 of the !ingdom of Hel ium, due "'arch 1, 1969, registered in your

name.

Fincerely yours,

Henry "'. RileyAssistant Treasiirer

Enclosu re

Septe'-er 2, 1952

~ast Piv:r 4in _s iank26 ,ortlandt "treetNew Yor-, Pev York

(:entlemen:

,lease find enclosed our Check No. 35 in the a- unt or 2,500.00 in

payment of interest due -epterber 2, 1952, o, f1,50A,000.00 3 sinking -und

Bcnd R 6 of the vingdo>n of lelgium, due "arch 1, l969, registered in your

name.

sincerely yours,

Henry W. RileyAssistant 'reasurer

F-c lo sure

BLPrins :et

F"ente.::er 2, 19k2

New York Savings RankV)th and Corner oP 8th AvenueIw -Lri, 7 (rK

(7entlemen:

Plase find enclosed our Check Mo. 3t in the amut < $22,5oO.o inpaym n- a interest due !eptember 2, I97, on 01,5O,00.oo 35 0i0kin -undlond i q h King:dom or egu u 1 d c , 1969, re ictered in yourname.

Sincerely yours,

Henry W. RileyAssistant ireasurer

Enclosure

september 2, 1952

New York Life Insurance Co pany51 "adison AvenueNew York, New York

Gentlemen:

Please find enclosed our Check No. 32 in the amunt of 0165,000.00 in

oayrint of interest due !epte ber ?, 1952, on tl1,000,000.00 3% sinking T.'und

Bon s P 2 an' R 7 of the Kingdo of Belgiu , due 9arch 1, 1969, registered

In y ur name.

Sincerely yours,

Henry o. RileyAssistant 'reasurer

Miclosure

iLerin

FORM No. 59(3-49)


COMMUNICATION:

DATED: , I9I

TO: j). l CK

FROM: cR CI

SUMMARY: : TD T TilLU LC l TO FRAICE, T IE

ET~hELANfl, LUTLIB UQ., All ILEL~iM

FILED UNDER:

CROSS REFERENCE: Lx 115

Sep tember 1, 1951

acN York Life Insurance CompanyGl Madis8on Avenue.ew York, Uew York

Gentlemen:

Please find enclosed Cur Check No. 20 in the

amount of $165,000.00 in payment of interest due

F'eptember 1, 1951, on $lO00,0O..0 3 7inking 7und

Bonds 1 2 and R 7 of the Kingdom of Belg<um, due

arch 1, 1969, registered in your name.

Sincerely yours,

Henry W. RileyAssistant Treasurer

Enclosure

Septeber1,1951

ast River Saving, Bank26 Cortlandt StreettNew York, :ew Yorg

ventlemen

Please find enClosed our Check No. 23 in the

amount of 122,500.00 in paynent of interest due

September 1, 1951 on 11,500,000.00 35 Sinking Fund

Bond h 6 of the Kingdom of Belgium, due March 1,

1969, registered in yo r name.

Sincerely yours,

Henry W. RileyAssistant Treasurer-

Encosaure

BLriae

"eptd~er1, 1951

New York Savin-ra Bank14th and Corner of th Avenue

New York, New York

Gentlemen:

Please find enclosed our Check No. 22 in the

mnount of 722,.OOoOO in payment of interest due

-epte-iber 1, 1951, on V1,500,000.00 3% Sinking Fnd

J d of the Kin;dom o. Belgium, due ,areh 1,

1969, registered in yoir nane.

Sincerely yours,

Henry 1. RileyAssistant Treasurer

Enclosure

r n:: t1

SepteiUer 1, 1951

owery Savin -s Bank110 a, t h'nd streetNew York, N ew York

Gentlenen:

Please find enclored our Check No. 21 in the

aunt Df '0,000.00 in payent in -nerest due

'pieher 1, 1952, on I2,000,000.07 3 inking Fund

nd 1 3 o the Kingdom of %e1gium, due March 1,

1969, registered in your name.

Sincerely yours,

Henry W. RileyAsaistant Treasurer

Enc 1sure

ri et

FORM No. 59(3.49)


COMMUNICATION: Letter

DATED: March 1, 1951

TO: Ministry of FinanceBelgium

FROM: Mr. Riley

SUMMARY:Last Para.

In order to comply with requirements of Belgian Audit Office,

we enclose checks representing interest payments to registered

owners of Sinking Fund Bonds.

FILED UNDER: Belgium Loan Service

CROSS REFERENCE: Belgium Bonds.

arch 1, 1951

aat tiver Savings 2ank26 Cortlandt StreetNew York, New York

Gentle.nn:

Pleas, 'ind enclosed our Check No. 16 in the

amount or $22,5o.0 in panment of interest due

March 1, 1951, on t1,5O,000.o 3c Sinking Fund Bond

R 6 of the Kingdom o Be1ium, due March 1, 1969,

registered in your name.

Sincerely yoars,


Enclosure

March 1, 1,51

Bowery Savnr s Bank110 East h2nd StreetNew York, New York

Gentlemen:

Plea e find encloscd our 1heck No. 18 in theamount -f #30,000.O in parfent of interest due

Yarch 1, 1951, on i,0,O000.0 3Y Sinking Fund Bond

R 3 of the KirdJm if Bi,u, due arch 1, 1969,registered in your nane.

Sincerely yours,

Henry w. RileyAssistant Treasurer

Enclosure

Q a

March 1, 19>1

New York Savings Banklhth and Corner of th AvenueNew York, New York

GentIemen:

Please find enclosed our Check No. 17 in the

amount of $22,500.0 in payment of interest due

March 1, 1951, on 91,500,000.00 3% Sinking Fund Bond

R 5 of the Kingdom of Belgium due March 1, 1969,

registered in your name.

Sincerely yours,


Enclosure

L r :eat

Larch 1, 1951

r5 .'e in urance Corpany5 -adisx A nue.,ew York, ork

Gentlemen:

Pleage ind enclised our Check No. 19 in the

amount Of ThO6,00o. in -y- nt of interest due

arch 1, 1951, on s11,ooo,-00 3% sinking hundBfnda a 2 and R 7 of the Kingd n of elgiu, due

arc 1, 1969, registered in your name.

Sincerely yours,

henry w. RileyAssistant Treasurer

Enclosure

~' :at

INTERNATIONAL BANK FOR

RECONSTRUCTION AND DEVELOPMENT

OFFICE OF WASHINGTON 25,. C.

DIRECTOR OF MARKETING 161a H STREET,N W.

33 LIBERTY STREETNEW YORK 5, N.Y.

September 6, 1950

Dear Henry:

De received your registered letter dated September 5tenclosing Certificate Number R-7 representing $1,000,000principal amount of Kingdom of Belgium 3% Sinking Fund Bonds,dated March 1, 1949, due March 1, 1969, registered in the nameof the New York Life Insurance Company.

This Certificate was delivered in accordance withyour instructions and attached is a copy of a receipt dulyexecuted by the New York Life Insurance Company, as well as acopy of our letter of transmittal.

With best wishes,

Sincerely,

Hoyt Peck

Attachments

Mr. Henry W. RileyAssistant TreasurerInternational Bank for Reconstruction

and Development1818 H Street, N. W.Washington 25, D. C.

September 6, 1950

Rev York Life Insurance Company51 Madison AvenueRew York, I. 1.

Attentions Mr. Ldward J. Osborne,Asistant Treasurer

Dear Sirss

There is enclosed Certificate No. R-7representing $1,000,000 principal amount of Kingdom ofBelgium 3% Sinking Fund Bonds, dated March 1, 1949,due March 1, 1969, registered in the name of thenew York Life Insurance Company. This bond was issuedto replace a similar bond numbered R-4 registered inthe name of the Dollar Savings Bank, which you forwardedus in your letter dated August 22, 1950.

Will you kindly sign and return to bearer theoriginal copy of the enclosed receipt.

Very truly yours,

Hoyt Peak

Enclosures

cc: Mr. Henry W. Riley

Sep '' 6,195c)

rAX. Poyt Vackt rs a.t ona)l > ak for

eco:: srrcti on andr' tevelopn ent33 eiUrty ,tr et?ev; cork 5;, hiew york

ear r. eck:

er i attaced od numered 7 in the aount of

10. O, )O isaued by the Kindc of Belgium to the New York Life

Inaurance ' ay. ;i yoU ni ase deliver tis boid to the

w York Life nsurance opany, a-n the sin the attached

receipt. 'lea o return the sinOd receipt to Me.

inerely your ,

Assistant Thea urer

Atacbant

Jnaranaugh~m

September 5, 1950

lew York Life Insurance Company51 adson venue

sew York 10, N.Y,

Attention: Mr. Edward J. OsborneGentlemen:

Referring to MY letter to You dated Auust 29,received te fol oinform YOU at we have todayrvedsnk the lloint documents from the DollarSavings aof theC ity f of New York; (1) letterdated Agust 31, 1950, fro t e President of the

Dlapr avit E an17 to me confirming that he hasap pr ove te sale of the Bond referred to; and (2)a copy of Article XI, Paragraphs 1 and 2, of theBY-La9ws of the Dollar Savings Bank, as amended August11, 1950, providing anoi,- other things, that theINeatert Committee ay uthorize the President tomake purchases and sales of bonds.

These documents fully meet our requirements; andwe will therefore exchange the tKirrgdomn of Be 1iu3, ond, due arch 1, 19R-4, in te aimountof $ 1,00000, registered in- thbe name of the DollarSavixgs Bank, for a like Bond registered In the nameof te New York Life Insurasce Comhpany.

Sincerely yours,(Signed) Aii'U Luzford

Ansel F. LuxfordAssociate General Counsel

FMOppenheimer ;wrk

September 5, 1950

Mr. Victor ZellerDollar Savings Bank

of the City of New York-792 Third AvenueNew York 55, N.Y.

Dear Mr. Zellers

This is to ackrowledge with thanks your letter of'gust 31 1950, regd he sale of one Kingdom ofYork Life Insurance Comarc 1, 1969, by you to the Newo rk t fe f lin sur Compa I also acknowledge receiptof the fosdllowig encloures: l1 letter dated August 31,195o, from th Presidert of the Dollar Savings Bank tome co tofirmi-g thadt 2e as approved the sale of the Bondreferred to; and (2B a copi of Article XI, Paragraphs 1and 2 , of thec ByTaS of the Dollar Savings Bark, asamended August 11, 1950, Providilg among ot k Isthat the Investment ComSittee m y autorize the Presidentto make purchases and sales of bonds.

I atm glad11 to inform you that these documents fullym'eet the requirements of this :Bank for exchanging theBord referred to for a like ond registered in the nameof the New York Life Insurance Coprednhany.

Sincerely yours,

Ansel F. LuxfordAssociate General Counselcc: Mr. Cavanaugh

Mr. PeckMiss Morsey

FMOppenheimer/wrk

Wew York Life Insurance C mpfnyEl a4isen Lvernu~ew York 10, le York

Vttentin r. 4wsrd J, (ibrne

This is to acknowledge with th0nk your letter of August 3,170,requestInc th t we aechrge ce Kingdon of :lgium 3 ond

e rch 1, 199, ntwbered $4, in the amut of 4,O0O,0OO, reg1s-trd int of ovr ik of the City of few York,for a Ikc Bond registered in your name, e also acknowledge receipt

11) aspeci n signature certified to be the true signature ofGtCrge F. Boyle, Vice President .nd Treasurer of the Dollar SavingsLsra, (8 ) certified copy of an extract fro the Iy-kas of theDollar Savings i~ank authorizing any Vice rresivent to execute ins tru-

i:, t ,uth orizd by the coar of Trustees or r.qudr.d to be executedon behalf of the EMk in the course of its business, *rnd (3) acertified copy of a resolution of the Invest ment C ttee of thehoard of T rustees of the D)ollar ravirgs )Bank autthorhring certain

perYons, not including vr. !:oyle, to purchase sell bondsCnd ether securities on bZhslf of >ollar ;avings rank.

am concerned ath the fact thC t in this doc=entation thereis no evidence of the authority i*nder which the bond in question wassold on behalf of the oellr Sarigs Bank. 1ir Doyle who executed

he ignnent, Is ~ot awn to have bon authorized to sell theb-nd under the terms of the reoution of the Investment Co mitteoreferreA to; and there is no evidence of the authority of the 1nvst-

nt Coittee to pas resolutions authorizing the scle of bends,

e ihoutd therefore apeciate it, if you could furnish ustoints. If thc authority of the Inest.

mont Coi-ttea should be rived from the by-Laws of the DollarSavings bnk, a certifird copy of the relevant part of the "'y"ws,together with a letter from one of the officers authorized to sell

Dp

Niecl yoNr

F, ' (,I~tCkr2 -iaeGnea One



OFFICE OF WASHINGTON 25.D C

DIRECTOR OF MARKETING t818 H STREET, N.W

33 LIBERTY STREETNEW YORK 5, N.Y.

REGISTkRED MAIL August 22, 1950

Dear Bob:

In accordance with our telephone conversation,there is enclosed Certificate R-/4 representing $1,000,000principal amount of Kingdom of Belgium 3% Sinking FundBonds due March 1, 1969, registered in the name of theDollar Savings Bank of the City of New York. The Certificateis duly assigned to the New York Life Insurance Company.

There is also enclosed a letter addressed toMiss Morsey in which we forwarded copies of three documentsdeemed necessary for the transfer of ownership and the letterof instructions from the New York Life Insurance Company.

With best wishes,

Sincerely,

Hoyt PeckEnclosures

Mr. Robert W. CavanaughTreasurer's DepartmentInternational Bank for Reconstruction

and Development1818 H Street, N. W.Washington 25, D. C.

The Word Bank Group

ArchivesRecord Removal Notice & Records Management

File Title Barcode No.Steel and Power Equipment Project - Industry - Belgium - Loan 0014 - P037358 - Bonds - Volume 1

1535526Document Date Document Type

22 August, 1950 Letter

Correspondents I ParticipantsTo: Miss Virginia MorseyFrom: Hoyt Peck

Subject / TitleNew York Life Insurance Company

Exception(s)Attorney-Client Privilege

Additional Comments

The item(s) identified above has/have beenremoved in accordance with The World BankPolicy on Access to Information or otherdisclosure policies of the World Bank Group.

Withdrawn by Date

Tonya Ceesay January 5, 2017

Archives 01 (March 2017)

,EW YORK LIFE INSURANCE COMPANY

41 MADISON AVENUE, NEW YORK 10, N. Y.

TREASURY DEPARTMENT ASSISTANT TREASURERS

DAVID C. BEVAN GEO. B. CORTELYOU, JR.TREASURER JOHN F. DONOHO

GRANT A. MARTELL

EDWARD J. OSBORNEH. EVERETT WOODRUFFWILLIAM F. YOUNG

Int errnatio:--' 7 B f o,~ '--oztruot' ftor.

enrtion __ fo

1969nuaeredR-!, i th an unt of 91, OK), (0C. registered in the rw e of

r~~ a rvv oriD<ll1r Saig .akofte Cit of NwY n sind

Thi Vvni haded tc y'ou to be exchaned for a new bondose wci in th ia~' of NoYork LifeInrne opay

Techeck in pay. ent of the interest ohould be oetto

New Yor 'i C I urnc CV a

.totnn Tfrsry Depart::ent

)Klease aec P lede receiprt of the aboe bond tedoarbon aod oblige,

>Koitant Treaourer.

DECLASSIFIED

AN 14 2017IG ARCHVES

/ 6 -

t

- . -

- --'

- -$ - ,.4

1.'- , .--

- - -

.. : -, -'-,-

4

AUgm8t 31. 1949

11"t RAiver Savings Bank26 Courtland StreetNev York, Yv York

Gentlemoni

Tlease find enclosed our Check No. 5 in the aTooat

of $22,500.00 in payment of intereat due September 1, 1949

on $1,500,000-00 3% 'inklng und " ond R 6 of the Kingdom

of elgium, due March 1, 1969, registered in your name.

Stacerely yours,


.nclosure

BLPrinsBlvo

August 31, 1949

,w York :.vings Ienk14th !,kd C lorn of 8th Av.

e ok, : e. ok

Gnient .

le& - find encloaed our Chok Xc. 4 ie th, am'-c,

of $22,O.OO in pent of interest Aue September 1# 1949

on 1050,00000,.00 3 Sinking land 'ond R 5 of the Kingd

of Zelgium, due Mach 1t 1969, registered in yvtr name.

Sincerely your**

Heary W.RileyAsistant TRU1e

minclosure

BLPrins:1vo

1ar ~ving:i 1nk of the Cityof N York

??92 3rd. AVeUeLaw Th, kiew York

Flas find enclosed aour Check No. 3 in the anmut

el 4$1,OOC.O in ptyvumt of interent due 3epterber 1, 1949

on $1, 0 ,OO.OQ 3% 3inking Fnd Bond 4 Of the Ktngdom

of Blgium, due March 1, 1969, regitaered in your na.

Sincerely yours,

Henry W. Rileysteat reasmurer

BLPrinselio

Augst 31, 1949

Bowory anvinga ank110 as 2n treet

Yo York, 1ew York

G.entleRRS

P1ea1e find enalosed our Check No. 2 "ic the aiout

of 30,000.00 in p:yment of interest due ;etember 1, 1949

oin $ .000.000.00 $$ tinking 1und Bond I of the Kinjmin

of Belgiuu, due iarch 1, 1969, reistered in yo iame.

3incerely your*,

Henry '. aleyAusistnt Treaurer

BLr-lyure

BLPrinst17o

Auget 31, 1949

Nsw York Life Insurance C

I:ew YorL. Se :r

Gentlomen;

Plea find *nclobed our c'hek No. 1 In tM anount

of $150,00.00 in pa&ment of interest due e.tember 1. 1949

oi $OOOOOOO.O 3% 'izking Zund BoAd R 2 of the Kingdom

of ]i'lgium, 4id 4 arah 1, 1969, registered in your name.

Sincerely yours,

Henry :. RileAssistant Treasurer

nclo mire

BLPrins 1ivo

August 29, 1949

inistry of Financel1 Rue de l9 LolPrussels, Eel um

Gentlemen: 2

This is to icknovledge ith th-nks the letter ofAu!ust 20, l9q9, from Mr. J. Vanheurok to the Bnnktransmitting two copies of the prying genoy agreementdated ugust 18, 19 9 , signed by the Minister of Fin-noe,

n1 - letter d ted Au u!t 18, from the Minister of Finenceto the T3 nk which, in -ccordance with rgraph 6 of theprying ngency gre ment, informs thre Bnk that it mriy otapon thA instructions in riting of Mr. V-nheurck or ofMr. Durieux whose specimen signatures were enclosed.

I return herewith a copy of said paying sgency-rei-rnt -hich hes been confirmed by Mr. R. L. CGrner,

the Vice President of the -ank.

Very truly yours,

P. Cr-n- clfe IonghTr urer

Enclorure

FOrppenheimer/f

ISARE MS Brussels, August 4l 1949

TRLSOBEM International Bank for ReconstructionEU DETTE ?UQ.r and Development

3e Direction Ir Bureau 18Ib H Street, N.W.T.D. 816

Kingdom of Belgium 3/"V WASHINGTON 25,D.C.Sinking Fund Bonds$ 16.000.000

Dezr Sirs,

I am writin :to confirm our understanding in

respect of the terms and conditions upon which Kingdom of

Belgium ( hereinafter called Belgium) has requested Inter-national Bank for Reconstruction and Development (hereinafter

called the Bank),add the Bank has consented, to act as the

agent of Belgium for the Payment of principal of, andinterest and redemption premium(if any) on, the SinkingFund Bonds, due March I, 1969 of Kingdom of Belgium(hereinafter called the Bonds):

I. Belgium appoints the Bank as the agent of Belgiumwith the title of Paying Agent, for ,the payment of princi-

pal of, and interest and redemption premium ( if any) on,the Bonds, all in accordance with the provisions herein

set forth and the provisions of the Bonds or as otherwisedirected in xvritin, by Belgium.

2. If Bel ium shall elect to redeem Bonds at any time,it shall promptly deliver to the Bank a copy of a notice

of such redemption required to be published in accordancewith the provisions of the Bonds.

3. BeliJum shall, at appropriate times, pay to or on

the order of the Bank such amounts as shall be necessaryfor the payment of the principal of, and interest and

redemption premium ( if any) on, the Bonds. The Bank maydeposit such amounts in its own name or in its name as

haying agent for Belbium or otherwise with the Federaleserve Bank of New York or with any other depository or

depositories designated by it and may fibse such amountsand draw upon such deposits in the name and on behalf of

Belgium, or otherwise, in order to effect such payments.The amounts so paid to or on the order of or deposited by

the Bank shall be held at the risk of Belgium subject to

the provisions of this agreement and shall not be deemed

to be held in trust for or for account of the holders of

the Bonds.

-2-

4. All Bonds and coupons which shall be surrendered tothe Bank for payment as herein provided shall be cancelledby the Bank and delivered by it to, or on the order of,Belgium.

5. The Bank shall keep separate accounts and records ofall its transactions for Belgium hereunder, shall transmitto Belgium from time to time a statement of such transactionsand shall permit Belgium at any reasonable time -tosi*amineall such accounts and records.

6. The Bank may act upon the instructions in writing orby tested cable of the Minister of Finance of Kingdom ofBelgium or of such other persons of whose names, titels andspecimen signatures the Bank shall have been informed inwriting by such Minister/ of Finance, and such instructionsshall be full and complete authorization and protection inrespect of any action taken or suffered in good faith bythe Bank hereunder.

7. For any payment made hereunder by the Bank out of itsown funds it may reimburse itself by charge to any accounton its books in the name of Belgium, bu the Bank shall beunder no obligation to make an; payment with respect to theBonds or coupons or its services hereunder except out ofmoneys paid to it for the purpose by Belgium; and the Bankshall not be liable for interest on any moneys so paid to it.

8. Beliun will reimburse the Bank for all out of pocketexpenses( includin counsel fees) properly incurred by it onaccount of, or arisin out of, this agreement and for itsservices hereunuer, or as contempl-ted hereby. Statements ofsuch expenses will be rendered by the Bank from time to timeor as requested by Belgium.

9. If the Bank shall ar any time be in doubt with respectto its rights and ooligations hereunder, or with respect tothe rights of the owner or holder of any Bond or coupon,the Bznkr may advise -ith legal counsel, and shall not beanswerable or responsible to belgiu" for anythin, done orsuffered by the Bank in good faith and in accordance withthe opinion of such counsel, or in the exercice of itsreasonable discretion.

10. In acting hereunder, the Bun> acts solely as the agentof Belgium, and does not :ssume .ny obligation of agency ortrust for or with any of the owners or holders of the Bondsor interest coupons.

IWISARE DUS FDIAWc -3

II. The Bank shall ba answerable to Belgium only for failureon the part of the Bank to exercise good faith and reagonablecare.

ET DETTE PUBQUE 12. TIle B,n2f shall not be liable for any action taken byit in relianc: on -,ny Bond, coupon, notice, direction,opinion, request, consent, order or other instrument ordocument, or any instruction from Bel,-ium in connectiontherewith, ihich ieasonably appears to the Bank to be genuine,-nd may treat the bearer of any bearer Bond and the bearerof any coupon and the person in whose name any registeredBonu is registered as tie absolute owier of such bearerBond or coupon or relistered Bond for all purposes.

13. Belgiuwa -ill indemnify the Bank against and hold itharmless from all lose, cost, damage and expenses, includingcounsI fees, arising out of or in connection with thisugree.'ent and any action taken by the Bank pursuant hereto,as well as the costs and expenses of defending against anyclaim of liability in the premises, unless due to thenegligcnce or bad faith of th2 Bank.

14. Tha 3;n. may at :ny time resign as paying agent ofBelgium hereunder by giving not less than'sixty(60)days'prior notice thereof in '-ritin to Belgium. Such resignationshall take effect on the date specified in such notice or onsuch earlier date as Bel6ium shall specify.

I5. The appointment of thL Bank as paying agent of Belgiumhereunder may be terminated at any time by 'elgium bywritten notice to the Bank. Upon such termination, or uponthe resignation of the BinU as such paying agent, it shalltransfer, deliver and pay over to or upon the order ofBelgium all moneys, secirities and'other property held bythe Bank as such payinL agent and such' books and recordsas may be reasonably necessary for any successor paying agen%'to carry on its duties as such, and shall make and keepavailable to Belgium at all reasonable times thereafterall other books and records maintained by the Bank as suchpaying agent.

16. Nothing expressed or implied herein is intended or .shall be considered to give to any person, firm or -corpora-tion other than the parties hereto any legal or equitableright, remedy or claim hereunder or under any covenant orprovision hereof, all the providbns and covenants hereof

-4-

being intended to be and beinb for the sole and exclusivebenefit of the parties hereto as herein provided.

I shall be glad if you will confirm your agreementwith the foregoing by signin,_ the attached copy andreturnin, it to m--.

Very truly yours,

kinister of Financeof the Kingdom of Belgi

Confirmed:INTENATION4L BA FOR RZCO7'STRUTMTION

A D DEVMOP

by

* MSTERE DES FPUANCE Brussel, August , 1 I949

TRf3ORMW

ET USUL International Bank for Reconstruction

3e Direction Ir Bureau and DevelopmentKingdom of Belgium 36 I8IL H Street, N.W.Sinking Fund Bonds$ 16.ooo.ooo WASINGTON 25 D.C.

Dear Sirs,

In accordance with 6 of the Paying AgencyAgreement intered into between the Government of Belgiumand International Bank for Reconstruction and Developmentin connection with Kingdom of Belgium 3, Sinking FundBonds due Larch I.1969.,1 beg to inform you that theBank may act upon instructions in writin, of M. Vanheurck,Joseph, Director general of the Treasury and Public Debtor of L. Durieux,Auguste, Director at the sauie administra-tion; when required instructions would be given by testedcable sent through the medium of the Ambassador of King-dom of Belgium to the United States.

Enclosed, you will find specimen signaturesof the above mentioned persons.

Very truly yours,

Minister of Fi eof the Kingdo Belgium.

MINISTRE DES FINANCES

ET DETE PUBLIQUE

SPECIMEN SIUNATUES

of M. VANkiEURCKJoseph

Director general of the Treasuryand Public Debt.

of I. DURIEUX,Aug4uste

Directcrr

Brussels, August 41 1949 MINISTER 0F FINZNCE

of the Kingdom of Belgium.

The Worid Bank Group

Record Removal Notice Mangmen



13 July, 1949 Memorandum

Correspondents / ParticipantsTo: Mr. Thomas Basyn, Executive DirectorFrom: Henry W. Riley, Assistant Treasurer

Subject / TitlePaying Agency Agreement

Exception(s)

Additional CommentsDeclassification review of this record may be initiated upon request.


Withdrawn by Date



ay l2, 199

dis xcellernoy a~ron ilverernysAntassadior oV o l -iuna ..irgto, *. C.

ear .r. Iu Lassanor:

In a letter dated rch 1, 199 adrensed to qou by -r. cGloy,ihich letter wan cunfirmed by you, there was contained the folloringpara rapu :

"3. Kir. 1do of hal, iil arees tAhat, as lonw as any bondssvll be outstandinr, it will -aintain a a a ent therejor

in the orou -h of anattan, in the City and .ate of 4ew York,United tates of nerica. The ank is prepared to act as suchprin., a~ ant for fully reistered onds on terms and conditions

to Le rd upon between the Lank and Kin m of - l;iu.The &iak would not exvmet to he coupnnated b r its servioes assuch oay, ~n a oent otherwise than b wy of rei;:urse ert ofout of pocket e enses."

o our knowled' aw fur r action Las Leen taken in tAnnectionwrith tc is :atter, it ~wuld be apreciated :f you n un advise me as to

whet-r you intend to request the iak to act as payng a ant :or interestarid -rincial on tke re, Ais tereA ons or whether you intend to .ake otherarraw e tenjt. If you do e:: ct to 1e oher arran e :ents, we would

8133 appreciate km iin: what Those aii ht be.

3incerely yours,

D. CreiadeifonghTreasurer

RkCavanaugh;mg

The World Bank Grouap

Record Removal Notice ArchieFile Title Barcode No.

Steel and Power Equipment Project - Industry - Belgium - Loan 0014 - P037358 - Bonds - Volume 1


14 April, 1949 Letter

Correspondents / ParticipantsTo: Mr. Cortelyou L. SimonsonFrom: Chester A. McLain, General Counsel

Subject / TitleSale of Sinking Fund Bonds


Additional Comments


Withdrawn by Date


CABLE ADDRESSJSANKNOTE"r*NEW YORK

QuoTATIoNS SUNJECT TO CHANGE

AMEIRICAN BANK NOTE COMPANY70 Ill-OAD STIIEET

N iw Yon 4,N.Y.ALBERTL SCHOMP

AL FTVE PRESIDENT VICE PRESIDENTWATR ESMITH GEORGE H.LYNOTT

ELME C BES E WARE A . PACE

WF EC2^JR. April 5, 1949

hr. Robert W. Cavanaugh, Chief, Accounts & Financial ReportsInternational Bank for neconstruction and Developmentashington 25, D. C.

fe: Kindgom of BelgiumDear Lr. Cavanaugh: Sinking Fund Bond - Due March 1, 1969

We acknowledge receipt of your letter of April 1st enclosing our in-

voices which showed a 2% New York City Sales Tax. We agree with you that the

Kingdom of Belgium is not subject to a New York City Sales Tax and we regret the

mistake.

Enclosed herewith are two (2) corrected invoices in the amount of$163.50.

We thank you for calling this matter to our attention.

Yours very truly,

AMERICAN BA.JNK NOTE COM ANY

Manager of Domestic SalesJPS:glEnc.

April 7, 1949

.ir. t~lexai re ~ru er T'atornost do aailleettacu, - l -ian dAl assy.

s n ton, ). C.

,ear Mr. Peternotte:

e arc encloeing for your information a cpy of a letter

received r the kAerican Bank Note Company in anewer to ours of

Apri]. 1, 1969, in which they advise that their invoice to you of

arch 23, including the 21 N"w York sale. tax, Was in error. Th*

corrected invoice is forwarded herewith,

SincereLy yours,

Sert . Gavanau:h, CefAccounts and Financial 5.eports

a closuros

RWCavanaugh;mg

cc: Mr. Broches

The Wodrd Bank Groap

ArchivesRecord Removal Notice & Records



04 April, 1949 Letter

Correspondents I ParticipantsTo: Mr. Pierre AnsiauxFrom: A.F. Luxford

Subject / TitleLoan Agreement between Belgium and the World Bank


Additional Comments


Withdrawn by Date



or it o

.. 2.; A ..e o ii n tIe

0 o i oe t d-- 1}l W' rT t bi 5

* * 411r 1)u(ly a . n r tP a to a

Vo n 10 r.il:t ~ 0tu 2

or x ro o

f V 31 ~ O t,.~,,t,U aj ~ Oflr t

ril } e Oi1w

ur.Lee -2-

an -. utoaatic, -mx ixtion fron t~ 'a .iork -:it aelc e tax. ~e, t..er:ore, assunwe YQt will rae-se t te ctiaro o 3.27 frosi th~e accounto M the ri. ado f eliu, e are returninj the invoic ; to you,

rimeerely y ure,

Xohrt . - va ai GhefLcurt:: n: 4 ;Inu: ciLal horta

cc: ~r. Aioexwdre r or aterr oto a a1le- 000, el i la

Mr. Broches

RWCavanaugh;mg

The World Bunk Group

Record Removal Notice &RcdMeen



31 March, 1949 Letter

Correspondents / ParticipantsTo: Mr. A.C. Paternotte de la VailleeFrom: F.M. Oppenheimer

Subject / TitleBank Bonds


Additional Comments


Withdrawn by Date



AMBASSADE DE BELGIQUED. 4589No. 1469

Washington, March 31, 1949

Dear Mr. Cavanaugh:

Referring to our telephone conversation about

the waiving of the New York City Sales Tax in

connection with the printing of the Bonds by the

American Banknote Company, please find herewith copy

of a memorandum from the Department of State. Together

with this memorandum you will find an excerpt from a

letter of the Corporation Counsel of the City of New

York, to which the Department of State's note refers.

I trust this information will enable the

American Banknote Company to obtain exemption of the

2% New York City Sales Tax in connection with our

contract.

Mr. Robert W. Cavanaugh,Assistant Tresurer,International Bank forReconstruction and Development,1818 H Street, IT.V.,

Washington, D.C.

Reference is made to V'e Jel air Ebassy'e -erandum

no. 1514 of April 1, 1944 (.4Y9)inuiring, as to the

exemption of certain Belgian official organization from

the I ew York City Sales Tax,

A letter haw no been received from te compotent

auth ority of the State cf New York the pertinent portion

of which reads as follows :

"it appears from the New York City regulation that

automatic exemption applies only to Ambassadors,

Linisters and other properly accredited diplomatic

representatives. Consular officers and officials of

foir-eign governIents will be recognized as exempt if

treaties or reciprocal agreaemnts between such

governments and the United States give them the rigiht...

" ince the Comercial Counselor is recognized

as a diplomatic representative by the Department of

State, it would appear that he is entitled to the

exemption but thet the officials of other Belian

orj-anizations are not."

-,ere is enclosed in this connection an excerpt from a

letter of the Corporation Counsel of t City of New York.

Enclos re:

Excerpt from a letter o_ tCorpo r ion Counsel of theCity o ew York, July 10, 1944,

Dorment of 3tate, July 19445sin~gt on,

701.:5, 11 TaIxation/'7-1344

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4'1 ---.. - - .. 0 (

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s .*

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- 0 -v '.-, -

ot .' . 3.'<I~ ... . C . 14 u.

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C~ ~ 0

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-- -- + +-- L

e .

(2 '2-

h, <2 C'-

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-- No.R 000,01)

KINGDOM OF BELGIUMSINKING FUND BOND DUE MARCH 1, 1969

KINGDOM OF BELGIUM, for value received, hereby promises to pay to

,.r regivtered assigns. in the first day of March. 1969. at the office or agency of International Bank for Reconstruction and Development (hereinafter ralled the Bank) in the Boromgh of Manhattan in'The Citv of New York, State of New York, United States of America, the sum of

---------------------.*.-.-.-----.........*.-.-.-- ..-.-.---------------------....--.-.-..-.--------................................................ DOL---in such coin or currency of the United Statei of America as at the time of payment thereof shall be redemption price of Bonds redeemed on any interest payment date beginning with September 1, 1952.legal tender for the payment of public and private debts, and to pay interest thereon from the date to meet the instalment of sinking fund due on the date on which they are se redeemed shab be equal ohereof at said office or agency in like coin or currency at the rate of three per cent (Si) per annum, each Bond to the principal amount thereof and interest accrued thereon to tho date Axed for sash .payable semi-annually on March I and September 1 in each year until payment of the said sum has I redemption.been made or duly provided for. After the redemption date specified in said notice, interest en the Bonds a called for redamp-

fhis Bond is one of an authorized issue of bonds of the aggregate principal amount of tion shall cease to acerse and, upon presentation and surrender of sach Bends for payment and rodemp-$16,000,000. known as the Sinking Fund Bonds, due March 1, 1969, of the Kingdom of Belgium (here- tion in accordance with said notice, such Bonds shall be paid by Kingdsm of Belgium at the oee orinafter called the Bonds>. all issued under a Loan Agreement dated March 1, 1949, between the Bank agency of the Bank in The City of New York aforesaid and at the redemption price or prices aforesaid;and Kingdom of Belgium. No reference herein to the Loan Agreement shall impair the obligation of provided, however, that. if this Bond shall he of a denomination in excess of $1.650, and a pertile onlyKingdom of Belgium which is absolute and unconditional to pay the principal of and interest on this I of the principal sum hereof shall be so called for redemption. Kingdom of Belgium shall, on the rodemp-Bond at the time and place and in the amount and in the currency herein prescribed. i tion date, issue and deliver (upon surrender hereof), witheut expense to the holder, a new Bend or

This Bond is transferable by the registered holder hereof, or by his attorney duly authorized Bonds In an aggregate principal amount equal to the portion of the principal amm hereof not so calledin writing, at the office or agency of Kingdom of Belgium in said Borough of Manhattan, upon payment. for redemption. If any of such Bonds shall not be so paid upn presentation thereof, they shall eo -w

if Kingdom of Belgium shall so require, of a charge calculated to reimburse Kingdom of Belgium for tinue to bear interest as therein specifed antil paid.the coot of the transfer, and upin surrender of this Bond for cancellation. Upon any such transfer a As a sinking fond for the Bonds, until all the Bonds shall have been purchased or paid sadnew registered Bond or iondg, without coupons, of authorized denominations, for a like aggregate retired or shall have become due, Kingdom of Belgian will on or before September 1, 193, and semi-principal amount. will be issued to the transferee in exchange for this Bond. Kingdom of Belgium annually thereafter on or before each first day of March and September to and inclading March 1, 1969,may. at its option, close the transfer ooks for a period of not exceeding 20 days prior to and including purchase and retire or redeem Bonds in aggregate principal ameants of Ssw.any date for the payment of interest on, or principal or redemption price of, any of the Bonds. In case an Event of Default as defined In said Loan Agreement shall happen, then and in each

The Bonds ire subject to redemption at the election of Kingdom of Belgium as a whole at any such case during the continuance of such Event of Default the Bank. at its option, may declare thetime or In part (designated by lot, or in such other manner, as may te agreed upon by the Bank and principal of all the Bonds then outstanding (if net already due) to be due and payable immediately, aadKingdom of Belgium) from time to time, upon at least 90 days' notice to the Bank at its principal upon any such declaration such principal shall become and shall be due and payable immediately. andoffice in the City of Washington, District of Columbia, United States of America (and. in addition, The principal of the Bonds, the interest accruing thereon and the premium on the rodemptionif any of the Bonds to be redeemed are coupon Bonds, upon at least 45 days' notice by publication in thereof shall be paid without deduction for and free from any taxes, imposts, levies or duties of anytwo daily newspapers printed in the English language and published and of general circulation in said nature now or at any time hereafter imposed by Kingdom of Belgium or by any taxing authorityBorough of Manhattan), at a redemption price for each Bond equal to the principal amount thereof thereof or therein and shall be paid free from all restrictions of Kingdom of Belgium. its palitleal smb-and interest accrued thereon to the date fixed for such redemption, plus as a premium the following divisions or its agencies; provided, however, that the provisions of tis paragraph'shall net apply torespective percentages of such principal amount: 2'%ur, if called for redemption on or before March 1. payments made under the provisions of any Bond to a holder thereof other than the Bak if at the1954; l%%. if called for redemption on or before March 1, 1959; 1%, if called for redemption on or time of such payment such Bond is beneficially owned by a Individual or cerporate resident Ofbefore March 1, 1964; and %- of 1%, if called for redemption thereafter; provided, however, that the Kingdom of Belgium.

IN WITNESS WHEREOF KINGDOM OF BELGIUM has caused this Bond to be signed In its name with the facsimile signature of its Minister of Finance and to be entersigiad by Itsrepresentative thereunto duly authorized.

Dated Visai et enregistre k Ia Cour des Comptes.Par ordomnance de Ia Cour: KINGDOM OF BFLGIUM

COUNTERSIGNED BYie Grefler en Chef Le Premier President

SPECIMENAuthorized Representative mmigNltna-t isae"

X -T 1. 4W A

s, 0.

1, 71.-

- -. e - . .

a.. 1 .oUE M - .>. t -00-

0 OC r- ... w!a .aj i2 % 8

Kingdom of Belgium 04-- -7>

a = .m ,

0 bo

SINKING FUND BOND Z

DUEMARCH 1 1969 E 0

00

AIN3 DEELPMN t:

IN TH BOROGH O MANHTTANE

7 --~2

L~j 0

PRINIPAL AND INTEREST PAYABLE 4H

MARCH I lnd SEPTEMBER 1I-~~~

AT TTIE OFFICE OR AGENCY OFINiF:RN.\IONAI. BANK FOR RECONSTRUCTION

ANT)D DEELOPMENT ~

IN THF BOROUGH OF MANH ATTAN.,..

0 ~IN THE CITY OF NEW YORK.0 - .

STATE OF NEW YORY ~-

UNITED STATES OF AMERICA 2

cH <v-..-

-. Z-

The Worm Hank Group

Record Removal Notice & Records Management




Correspondents / ParticipantsTo: Mr. A.C. Paternotte de ]a VailleeFrom: F.M. Oppenheimer

Subject / TitleCertificate of the Treasurer


Additional Comments


Withdrawn by Date



NEWYORK LIFE INSURANCE COMPANY

51 MADISON AVENUE

NEW YORK IO, N.Y.

OFFICE OF THE TELEPHONEGENERAL COUNSE.L MURRAY HILL 5-5000

March 30, 19149

Mr. Robert W. Cavanaugh, ChiefAccounts and Financial ReportsInternational Bank for Reconstructionand DevelopmentWashington 25, D. C.

Dear Mr. Cavanaugh:

Thank you very much for so promptly sending me the

additional copies of Purchase Agreement and Loan Agreement

as contained in your letter of Mar 29th, 1949.

Very truly yours,

Counsel

Ross McLeodeem

14 WALL STREIT

SMITH, BARNEY & CO. W Ey 0I S, W y

Marek 29, 1949

Dr. D. Crena do Iongh, TreasurerInternatiomal Bank for

geconstruction and DevelopmeNtwashington 25, D-.C

Dear Dons

Please accept our thanks for tAe cheek drawn

to our order in connectiOu with the private placement

by Mrgan Stanley and ourselves of the Belgian Bonds

guaranteed by the Dank. This letter will serve also

as formal acknowledggest of your letter of larsk 28M

in reference to this matter. We very much liked

doing this both on &acot of our old friends in Belgiva

and because of the Bank. I believe that the manner of

handling this has served a useful purpose as the trans-

action as a whole might reasonably be described as a

bridgs toward normal market and investor relationships.

I should like to record with you also that

we enjoyed and appreciated the complete cooperation

which we received from your own people.

Sincere

urnett walker:h

arck 2F, 1949

Mr. Io s McLeod, Counse1Iew YOrk life Tnorance Oompany

51 Aason Avenue'York, New York

' ar Kr. :cLeod:

- requested by you, attAchin5 5 copie of the

r hase Agreement betw*en you institution ad thi. ank,toether with 5 coies si thi Loan Agreent etween the

Kin'doA oM nelgi and this Bank,

9incerely yours,

Puert . Cavana h, Chief* Accounts and Pinanctal Report8

Attachxants

RWCavanaugh ;mg

fla 11,19

4'Alon Avenue

ctte:ion: fir aert ON ,: r

a istant Treasurer

1. d jCt to e ter'i id codition, herein se o rteiat ir nal i I'or 'son sruction In ,evelo i'nt oere' :er

aelet ak: te re ellto .,and youb A our0 1tnc hero., arree to urclase fro the . n 10, 0,O0,rincipal aou,. , of jidn< oudnd , due ~arch , l;6 , o

o:: o 1e -ereinater calied the 'ond ) at 100 of tantthero' dIntert cruet hre tot

o l r o ad pay' nt oar suc . ends. 'terest a crued onSOnd :all bec cpued on a2.l basi::, usinr. 365-day

facor,

2. Teflondos 11lli izsued ndr aLoan re mnt, caierC , h9y, etine .ii':do of ' i'm and the Ban (,e ->after

alledihe so an aenost', a co r ichis attached aereto,"si ted< ':it . '.l ouda 'Mts d er mnder sha Ibar

'iterea 'L >0 ra:. > 3 or an; shall bedated, Lhal-iatre,aiUay'ale10 'n >hlie otter :L esrox idin'te oan

're. t; dall be a'ubst rt"a 1 i le Loru .0o te re ectisano' Ko t fothinr -haae. 2-A a 2- of te Lan

9e 0 nit; Isa2Il a ee sar'e of teank eudrse t: reon7 tialt in tie 'oni 'f t'e '-ore of 2aantee set forth i

it B a' acod tereto.

3. >he Bak hall le ive;o te bonds on orb Loree2', 1 ', upen at least Live ) y'2 notice to you, by dlix'ringtoto dt eQ lfice of tb : in the loro '; of Fanhattar> Ciy

d a'e ol i oru, .inta "a et in C Yok Clearinr ouse,oni Thil red itre 9e2.nitive end, rintd ona en rav

border, rm.istered in your naie. brior to or simultaneou&Ly wiith

(') a copycertified asie accrt'r ofteo bkof an opinin o t e -initer of dustice of

i'n o 'f el i catd lebriar 23, 19h9,adessed t" I m, tothee fft tt t'

e ur oe 'na -2 -

Loan A roesent when sis ned on he.olfof 'diu" doaof l -im b thce -el 'ian Abassador to theuted tate o rca ill be lo -lyKin;ud on 'in doa elgiuu in accordancewith its ter i a i d tat bondr~s stantiallyin the frns of te crs o ponds et fort h

in seldule 2-A ad c,edule 2-l, respectively,of the Loan aareeaet u or si sed on ehalf of

Kin co l>2 lui it, tle lacsa&il i nurof th e uinistr u sna.ce of in:on o, A -

uM and cn i n iby aron j. O -ilvercruys, W in Abassaor t te United 'tates

of Asorioa, or r. ho er Ta ':.s, ,OU 50 lr tot: e el ian - as in ' ashingt r,will con-situte valid, bnn ,absoit te anda uncondi-tional e:.i atio .s of kin dom of 1, ium in

acrance i the tei, : that e fullai th ada ::red it of Eriiudon of colbium will he

plodged for the prfor~ ance of said obli ations

(b) an opinion, satisactory to you, of t e n ra)&ounsel of the. an to t a ef ect that

(i) the Lmn: has full andt valid title tothe ends a d to each of them: freeof lie or other eneumbrace and isduly awiiriaa, uncter its ~rticles

mo er~t and otheruise, to sellthe Mn s;

(ii) the zaraee of the hank w:hen en-it sew on t:e "onds substantiallyin te I erae oif the ilorn of .uaranteeattacied hereto as x~ ibit ' and

si ne on behalf of the -ank by itsTreaswer or 1y an asistant Treasurer

-: c co itteoa valId~ ad irdingahli aion of the bank in accordancewith its turos; end

(iii) the sale of t aen s a by te t ank, asconte, latd by t- is letter and by othersimilar letters as sot Lorti in. para raoh 6hereof, uex:e et Siro~s te provisions of' 3oc-tion 5 ci the .ecritis Act of 1933 as

a nded, ad that uner said Act, is now .~erot, an re l o a te nds by you, ifyu ao Id in 'h utre deem it expedient

to sell any thereo-, would not requirero istratio ofa suc ends thereunder.

New Yrok Life n suran Coany - 3 -

h. Te rank a ,reos tha a on as reasona, ly possible afterthe date i en you shall have so requested, the Bank will deliveror cause to b e delivered to you at the office or a-ency of theflank in ta : rou h f Canhattan, City and st a Nf Yefr, %ihoutuepense toa you, in exchange for and a ain-s urrender of th~e honddelived you hereunder accompanied by an appropriate itr nof ass: Lgnment, either (i) a like principal aaount of printed reg isteredBonds in denominations of 1,000 or multiples thereof, or (ii) alike arXncipal aount of fly onrved cpo a o Is in the denomin-ation of 1l,000. 3u seqment eanpes of :rinted re 'atered Bondsfor :pr inted. re histered uonds of other denomiations or for fullyen graved coupon f onda, or or fully engraved conpon 8onds forprinted 'e~ -istered Bond ishall b e ade upon :aynt frasonab lechar w txerefor.

l e sale contoplated b this letter i. moe y the ank.in reliarce LpOnl your representation to the Barn, uhic o cx ftimby your acce otance h ereof, that you are nurchasin - the Bonds for your

omaccount for inest. ent ad rot witt a view to the distr ut.iono ae thereoi, a-tu oet, n et Ihls , to any requir ont o

ia that dis osition of our property shall at all tines e within

yor wn control.

6. The hank represents that it is exec-uting a--reea es simlars3 all respects ereto, ece .t as to the amout of 33nds to besold, writh: f our other imestor. Te a re ,ate principal aP:tof bonds to be sold to you ad said four other inr etors is

16,000, XO, but the sale to each investor if a seQrate sae maleey the Bank to such investor. The I ank re reaents that it has not,either directly o. trogh any a aent, sold or offered all or any ci

Be bonds to, or jolicituh any offers to buy any uereof frogn orQise aprached an n Lotiated in respect thereof with, more

tha nine investors in all. The h ank a, rees that it will notertly or throu h anya.ent e or of fer any of th oand to, or

soiit any offers to buy any thereof fro:, or otherwise approachor ne otiatei res et tereo' sith, ao oier p rson or personsso as thereby to hr i:: the issuance or sale of the Yonds underthe u'ovisions of 3ection of the -secrities Act of 1933 as amiendad.

7. fat ary tL.e the L.ank sh"all receive notice of electionof inf di of el;-in to redem any of the maons as therein nrovided,the Bank shall, not less th an 63 d7s prior to the date of redemptionspecified in such : otice, nail a copy of such notice to each re~ isteredholder of Bonds so to b e redeeL ed by re; istered aill addressed to

ui address of record.

8. !f an event of fault as defind in section 1 of ArticleV UI of the Loan itreert in reeumet 4 the na;;mont of intereston or orincipal of the Bonds or in U e perforianro of the covenantsin respcti of the sinking fund for the - ends, all as in the Bon:dsset :forth, shall happen an be continuin a, then and in each such

c uLok 7y urane ay -WA -

case the ibank, upon rz ~e urittcon request of the holder or holders ofBonds represernting not less th an El of the agregate principalamont f t.e un s then outstandi and unpai, sall as in said'eetior. prov~ided declare th e orincipal of all the ~ nds at the tineoutstand~i to b e due and >a ab le idteuiately; urevrided, hcnrevr,that the Bank shall not be required so to declare the ,rincioal ofth e un de to h e due and a a le so loxp as the Bank he not in default

under its c-:arantee f th ondi. "I at any tise the bank shal'declare the ;rincipal of all t~ e bondis at the time outstandingdue and paable i. ~nediately as in the xnds and the Loan Mre le nt

>rovi dd, e C. , alr nv ach re 2teredho nBones thecreof by re isterod ltil addresse t is address of r ;cord.

9. -essrs. -or ban Tanl.~ o. n Jeith, -arne Go.are actin: as thu a tnts of thi dank n this transaction ad ill

conensate B the Bank.

10. Ecept as nerein erressle otherwse orovided, an~y notice,Sand or r uest reqired or pe-Witted to .e 0i en or made hereunder

h Jall be in wrt : e deemed to hay been dulenen it skall ic delivered in Uiitir g or by tele~an to th s artyto i ihsuch nEtice, demand or reouest he no aired or nuitted

to o lien or ae at '.ts ar nes I ereina. eer so -c Lfid, r at:uch otkjr a fress as suci art; shall have desiL jated by nuticein riting te tue part; ii or sikin, sch notice, da sand or

e est. Toe addres~ ~ eeid are:

(a) 7or the ank:

internationV akor econstructio and W-velop::nent, id? H stroet, , ., 'aohinton 2,

Jotrict >f Col dia.

(I ~or you:

~ew York lf -~ srance Co >uny-ad: s in gienue

dew York, h '

it: br. >vrett ooruff, -anagerLnvostment ciart ient and Aesistar t Treasurer

Please confirm that t: e fore uen correctl: aets forth the &. roe-~n etween you an d an by 1 ~n them form of confirmation on the

o e lsd counternart of t-As letter ar U returnin~ it to us.

cry truly , ours,

py(ined) John J. acCloyCofr ed:

MORGAN STANLEY & CO.

Two Wall StreetNew York 5

March 29, 1949

Dr. D. Crena de Iongh, TreasurerInternational Bank for

Reconstruction and DeveloomentWashington 25, D. C.

Dear Dr. de Iongh:

Please nermit me to acknowledge andthank you for your letter of March 28 addressed toMorgan Stanley & Co. and Smith, Barney & Co.,enclosing two checks in the amount of t 20,000 eachfor services under the Agency Agreement between theInternational Bank for Reconstruction and Develoomentand Morgan Stanley & Co. and Smith, Barney & Co.,dated March 1, 1949, in respect of the sple of Sink-ing Fund Bonds, due March 1, 1969, of the Kingdom ofBelgium.

It was a great pleasure for us to workwith your organization in the private placement ofthese Bonds.

Sincerely yours,

The undersigned, EAST RIVER SAVINGS BANK, hereby

acknowledges receipt this 28th day of March, 1949,

from International Bank for Reconstruction and Develop-

ment of one fully registered Sinking Fund Bond due

March 1, 1969, of Kingdom of Belgium, numbered R 6,

and endorsed with the guarantee of Interrational Bank

for Reconstruction and Development, in the principal

amount of one million five hundred thousand dollers

($1,500,000).

EAST RIVER SAVINGS BANK

by

New York, N. Y.

The undersigned, NEW YORK SAVINGS BANK, hereby

acknowledges receipt this 28th day of March, 1949,


ment of one fully registered Sinking Fund Bond due

March 1, 1969, of Kingdom of Belgium, numbered R 5,

and endorsed with the guarantee of International Bank

for Recorstruction Pnd Development, in the principal

amount of one million five hindred thousand dollars

($1,500,t000).

NEW YORK SAVINGS BANK

New York, N. Y.

The unlersigrod, DOLLAR SAVTI.GS BANK OF TIT CTTY

OF M7W YORK, hereby anknowledges receipt this 28th day

of March, 1q40, from Tnternational Bank for Recorstruc-

tion and Development of one fully registered Sinking

Fund Bond due March 1, 1969, of Kingdom of Belgium,

numbprwl R 4, and endorsed with the guarantee of

Internptional Pnnk for Reconstruction and Development,

in the principal amount of one million dollars ($1,000,000).

DOLLAR SAVIFGS BANK OF THECTTY OF FEW YORK

by

Yew York, N. Y.

The undersigned, BOWFPY SAVILGI r ArK, hereby

acknowledges receipt this 4th Icy ' Mvrh, 1049,


ment of one fully registy-ed Sinking Fund Bond due

March 1, 1969, of Kingdom of Bel'lum, numberee R 3,

and endorsed with the guarantee of Internstionni Bank

for Reconstruction and Development, in the principal

amount of two million dollars ($0,000,000).

BOWFRY SAVINGS BANK

by

New York, N. Y.

The undersigneA, NEW YORK LIFE ISURAITCE COMPANY,

hereby acknowledges receipt this 28th day of March,

1940, fror Trterngticral Bank for Recorstriction and

Development of one fully registered Sinking Fund Bond

due March 1, 1069, of Kingdom of Eelgium, numb'erp R 2,Pnd endorsed with the guarantpe of International BankTfor Reconstruction ar.d Development, in the principal

amount of ten million dollars ($10,000,000).

NEW YORK LIFE INSURANCE COMPANY

by

New York, N. Y.

Tho world Uank Group

Record Removal Notice &rMnm




Correspondents / ParticipantsTo: Mr. Alfred C. Middlebrook, Assistant Vice PresidentFrom: Mr. Chester A. McLain

Subject / TitlePurchase Agreement


Additional Comments


Withdrawn by Date



The World Bank Group





Correspondents / ParticipantsTo: Mr. Victor E. Zoeller, Assistant Vice PresidentFrom: Mr. Chester A. McLain, General Counsel



Additional Comments


Withdrawn by Date








Correspondents / ParticipantsTo: Mr. William B. Licklider, SecretaryFrom: Mr. Chester A. McLain


Exception(s)Attorney-Client Priviledge

Additional Comments


Withdrawn by DateTonya Ceesay January 05, 2017


T The World Bank Oroup

Record Removal Notice .Records Management




Correspondents / ParticipantsTo: Mr. Montague SmithFrom: Mr. Chester A. McLain, General Counsel



Additional Comments


Withdrawn by Date



The World Bank GrmupArchivesRecord Removal Notice Records Management

File Title Barcode No.Steel and Power Equipment Project - Industry - Belgium - Loan 0014 - P037358 - Bonds - Volume I



Correspondents / ParticipantsTo: Mr. Everett Woodruff, Manager Investment Department and Assistant TreasurerFrom: Mr. Chester A. McLain



Additional Comments


Withdrawn by DateTonya Ceesay January 05, 2017


3b b I At

AMERICAN BANK Nor: COMiPANY70 BOAnD S-rtErT

Nvcw YOII 4. N.Y.

LONIt SITH LVISOT

W0 e March 28, 1949

Mr. A. brochesLegal DepartmntInternational Bank For Reconstruction And DevelopmentWashington 25, D. C.

Re: Kingdom of Belgium,Dear Mr. Broches: Sinking Fund Bond due March 1, 1969

With regard to the above issue, we are pleased to inform you thatthe following bonds and specimens were printed .nd all of which, in additionto the facsimile signature of the Minister of Finance, carried the facsimileseal of the Kingdom of Belgium and the facsimile signatures of La Greffier enChef and La Prer President:

6 - Bonds in the denomination of $16,000,000, $10,000,000$2,000000, $1,000,000, $1,500,000, 81,500,000

24 - Bonds blank as to denomination, without registeredowners names and date of issue.

10 - Specimens, blank as to registered owners name, de-nominations and date of issue.

All the above, together with the 3 electro-types of the Kingdom ofBelgium and a sheet of specimen signatures of the Minister of Finance were de-livered to International 6ank For Reconstruction And Development, Federal heserveBank of New York, 33 Liberty Street, New York, N. Y.

In addition to the above, we hold in our files 3 cancelled specimensof each showing the 6 registered owners nwaes and 3 cancelled specimens, blankas to registered owners names, denominations and date of issue.

We hope this information proves to be entirely satisfactory.

Yours very truly,

AMERICAN BANK NMTE COMPANY

JPS:glManager of stic Sales

4-

MORGAN STANLEY & CO.

Two Wall StreetNew York 5

't March 29, 1949

Dr. D. Crena de Iongh, TreasurerInternational Bank for

Reconstruction and DevelopmentWashington 25, D. C.

Dear Dr. de Iongh:

Please Dermit me to acknowledge andthank you for your letter of March 29 addressed toMorgan Stanley & Co. and Smith, Barney & Co.,enclosing two checks in the amount of 420 ,000 eachfor services under the Agency Agreement between theInternational Bank for Reconstruction and Developmentand Morgan Stanle & Co. and Smith, Barney & Co.,dated March 1, 19 9, in respect of the sale of Sink-ing Fund Bonds, due March 1, 1969, of the Kingdom ofBelgium.

It was a great pleasure for us to workwith your organization in the private placement ofthese Bonds.

Sincerely yours,

ccM. Brocels -

2 Mll treetM : ew Porin

e ark

inte m Un )f$00 ah -aa 0oMra tne 0,Co

y u eri ciu Lfl er tue AhCncy ~arLkLn Lotvecn yuu wnd thte

urnk, dtad farch 1, 1949, in re pect of th ual f Sinking erun

vrs to tak e tI is opar ui xna si to your

or ape a I for or o o.ration in to uc estU1 ;ale

.t e . owr, .

roarer

cc: Mr 0 BrochesMr0 DeelyMr., Prins

larc 28, 1949.

Received fromi Robert '. Cavnaugh of the International Bank

for Recons truction and Development, W'ashingtoi, D. C., the

following -hecks dated idarch 2, 1949, proceeds of ich are

to be disposed of in the manner outlined in telegram No. 67

received by the Federal Reserve Bank of New York today from

the International Bank for Reconstruction and Development:

Drawn ol By Amount

The Federal Reserve East River Savings Bank 1,503,328.77Bank of New York

Manufacturers Trust T he New York Savings Bank 1,503,328.77Company

The Bronx County Trust Dollar Savings Bank of the 200,000.00Company City of New York

Savings Banks Trust The Bowery Savings Bank 2,004,438.36Company

Bank of the 4anhattan Dollar Savings Bank of the 802,219.18Company City of New York

New York Life The First National Bank of 10,022,191.78Insurance Coipany the City of New York

QL 6 ,035,506.86

FEDERLh RESERVE BAN K OF NEW /ORK

per pro,,

B. -H. Vebber,Foreign Department.

March 8, 1949.

Received f l Robert 7". Cvnzuc la the In'ter tionl B nk

for eonstruction and Deveopment, Washtngton, D, C., the

fallaIin cheks dated Mazh 28, .949, proceed off Ehch .are

to be disposed of in the anjner outilined in telegram No. 67

received by the F'doral hes rve Ban2 of New York tod y from

the i ternational Bank for ieconstruction and Dvelopment:

Dra wn Rn ka mRa

-n-e, eea iesrv e 1:' 't ie aig ank I o,503,x328 77B:n, of New York

Manufacturers Trus t The New York Savingp Bank 1,503,328,77Comparny

The Bronx County Tirusz Do3l2r $an R r Ok the 200,000,00C: 7ny 0ity of New York

Savings B nks Trust The BIowery Savings Bank 2,0041438,36

Bnk of the Amniattan -oL ar &avings Blank a the 802,219.18C013ipany City of iew York

'WOrk Life The First Nstional Bank ofInsurance Coqpany the -ity Qf lew york

per prp

B. i. Webber,Foreign Department.



WASHINGTON 25. D. C.

The Lundersigned, I!TE IATI AL BAIK FOR RTCO-

STRUCTION AD DEVELOPAH T, hereby acknowledges receipt

from East River Savings Bank of one check in the amount

of $1,03,328.77, payable to Federal Reserve Bank of

New York, for account of International Bank for Recon-

struction and Development.

INLRNTI01,AL rK F,-OR RT- FCO!STRUCTIOVAND DTVT LOP LT

ByRobert ". Cavanaugh

'New York, 1 Y.

I Iarch 28, 1149




The undersigned, IBTT JTIO liL B 4K iiR RECOP-

STRUCTIOr iID DEVLP LIuT T, hireby acknowledges receipt

from The Bcry ,avings B3nk of one check in the amount

of $,004,438.36, payable to Iedral R1eserve lilnk of

Tew York, for account of International k for Recon-

struction and Levelopment.

I TlfIm ATIOra BAtAK FO? RFC(: STRUCTIOU

By _ _ _ _ _ _ _ _

Robert W. Cavanaugh

?c 8ork, 1. Y.

MaIrch 28, 1949



WASHINGTON 25, D. C.

The undersigned, fnTTRMATI1'JAL BAFK FOR RECOV-

T TI fl.V:.L'PI 1T, hereby acknowledges receipt

from Dollar Sevings Dank of iew York of one check in the

amount of 'S1,002,219.18, payable to Federal Reserve

Bank of New York, for eccount of International Bank for

Reconstructioi and Development.

INT RNATIMXAL BANK F- R R kCONSTRUCTIONAU)D EVTELQPMENT

By _ _ _ _ _ _ _ _ _ _ _ _ _ _

Robert W. Cavanaugh

New York, T1. Y.

March 28, 1949




The undersigned, INTEIFATIO1AL iNK FOR RECOi-

STRUCTION AID DE7If -_ '-, hereby acknowledges receipt

from New York Savings tank of one check in the amount

of $1,5O3,328.77, payable to Federal Feserve hank of

New York, for account of International Bank for Recon-

struction -and Development.

ITTRI ATIOPAL BAMl FO RT'CONSTRUCTIONAND DEV' LGPY LT

ByRobert W. Cavanaugh

New York, b. Y.

March 28, 1949

INTERNATIONAL BANK FORRECONSTRUCTION AND DEVELOPMENT


The undersigned, I -TTTNATIOT ANK FOR RICO-

STRUCTIOF A DEVRLCPh:T, hereby acknowledges receipt

from Fe' York Life I:rsurance Company of one check in

the amount of $1OO,191.78, payable to Federal Reserve

Bink of lew York, for account of International Bank for

Reconstruction and Development.

IPTT'- ATI0hAL hi,4F LOR YTCO STRUCTION

B RobrFt. Cavanaugh

,March -3, 1949

No. 49

Uuitb Otatr of Amnriea

DEPARTMENT OF STATE

to utkom throt prtatnts mbalt romt, 4rettng:-

gerttg Tat -----------

is subscribed to the paper hereto annexed, is duly accredited to this G"runen as

In ttstimong wiltreaf, I, ... _ AR- -H QACMOK,

Secretary of State, have hereunto caused the seal of the Depart-

ment of State to be affixed and ny name subscribed by the Authenti-

cation Officer of the said Deparbent. at the city q/ Washington, in

the District of Columbia, tis .-.-- w-- &i.-fmr.-

day f- March_-----., 19A.9.

*O " E Com WonF

!M = 69 = .-----.. - .g .

ny RMAr, 5".


CERTIFICATE

I, Robert Baron Silvercruys, Ambassador Extraordinary and

Plenipotentiary of the Kingdom of Belgium, hereby certify:

(1) That G. Eyskens, whose facsimile signature appears

on the Sinking Fund Bonds, due March 1, 1969, of

the Kingdom of Belgium (hereinafter called the

Bonds), is the duly appointed Minister of Finance

of the Kingdom of Belgium and acting as such;

(2) That H. Matton, whose facsimile signature appears

on the Bonds, is the duly appointed Premier President

of the Ccur des Comptes of the Kingdom of Belgium

and acting as such;

(3) That J. Van Roy, whose facsimile signature appears

on the Bonds, is the duly appointed Ireffier en

Chef of the Cour des Comptes of the Kingdom of

Belgium and acting as such.

IN WITNESS WHEREOF I have hereunder affixed my hand and

the official seal of the Belgian Embassy this twenty first

day of March, 1949.

Ambassador Extraordinaryand Plenipotentiary of theKingdom of Belgium

arc 2 , 199

Mr. E ar Lee

r ank AOtO Coppany

.ew pork L, New York

ear ..r. Lee:

in accordance ith your request of arch 2y, 9rs,

t li an Au o has migd te o igina1 oI the contract

iorerrded by y ou coveringi the hrin ting of the 30 Sinkingt Lund

Sondo i sor the hindi u of ,elgii, tog ther wth the 10 speciier

boc:. This contract is n losed hererith.

Lin addition t ie 'clgian habassy has isaued a check

to yo i iho ~aount Af $163.50 in accordance with the above

contract. This check i& ao enclosed.

Sc re3t yours,

Dobert . Cavanaugh, ChiefAcecounts and 'inancial IReports-

Alexandre Crujer Paternotte de La Vaillee, Attache

nO: ianl iMassyRWCavanaa ;iigitOn, LI. C.

cc: Mr. Broches

s .

a ~.W b v -r: vauh oa ijo afyuwU 'L tha

>n da at.6 t~a ocu tai~ ta ta dt.

o ' -L .0 E m a LLOO A8~

3c sz mabwador sat the fra d t hrein whd m~ ~urer a >poa~r c: coi'n 7,ondz uI'th:Y.nda.

a ao ..~< ~roin wwi z'a acting n

Vary r- L yors

~ouretary

Protcol A Au~hntictin action

The undersigned, KINGDOM OF BFLGIUM, hereby

acknowledges receipt of one cancelled fully registered

Sinking Fund Bond due March 1, 1960, of Kingdom of

Belgium, numbered R 1, dated March 1, 1940, payable

to International Pank for Reconstruction and Develop-

ment, and bearin7 interest at '' ,,-r annum in the

principal anount of sixteen million dollars ($16,000,000).

KINGDOM OF PFLGIU

Bya4(

Washin'tcr, D.C.

March 23, 1Q41

Mr, D. Crera de Eor i c23,1 V9

John J. eolloy

.).1e o& e lsLan Ponds

Fill you please !so two 'eaoke a Nl 0

Muor, an tle 1 Gaipany 20, )00

S3mitk3 'kirney & Company 3.20,0 0

' iwe checks are in payment wz the services rendered

by the paAes in soliciting o7ers to buy from the Pank ;inking

Fund ionda, due harch 1, 1969, of KindomA o A iua, in accordance

vith totr. of thie Agen 4;reement, dt d ach 1, 19h9, between

the Lank ad aorgan Stanly & ornr and 3riit, Brney & Cioivany.

RWavanaugh;mg

heundersind Ip Rp d01 BAN FO Rco:-

.UC AD E L , hr by acko receipt

of iv fully registered Cinkigr -und 1es dae ,rc 1,

1969, o Airdu oP gi. , all dated nrch 1, 1949,ad bering itrst at 3 er arnum in the agrgate

prncip aount of sixt. n millio dollors ($6,000,own),

Such Boes b r tIenlowl. number., r in th" follo ingdenomin 'tions a are payable to th follo ig pay

Denouinqtion c

2, ,0 e York LAf Is rance Cerp any

$ 2,O0(,1 o10r; Saving Vank

R 4 1,00,J00 Doll r javingF rk of theCity of New York

H E6 1, Aer 0 York :vir s nc kii 6 l,500,Ooo Eat River xavis Bnk

VLOP VILJ

lobert ,. C vanaugh

018gton, MeC,1rc 19 l41

25x

March 23, 1949

is Txcellency Baron SilvercruysAmbassador of BelgiumWshirngton , D.C.

Dear Mr. Ambassador:

Pursuant to Article V of the L'oan 4greeen, datedMarch 1, 1949, between Kingdom of Belgium and Inter-national Bank for Eecornstructior and ndevelop nt (er-inafter called the atenk) and to the letter, datedMarch 1, 1949, from the Bank to you with regard tocertain matters relating to the thods to be deliveredunder said Loan Agreement (hereinafter called the Bords)the Bty-k rjereby requests therat r cale7te 1,s)to the Bank h re e quests t rigdom of Belgium deliverote ankh iexcharge for one fully registered Bond,lated aarch 1,194 in the principal amount of sixteerrillion dollars ($lt 00 000), payable to the Bank, andbearing interest at in per annum, which has heretoforebeen delivered by Kingd of elgium to the Bank, fivefully registered Bond 3, all dated March 1, 1949, andban gb it at 3" per annum, in such denominationsand payable to Uch payees as are set forth below:

(1) e bond in the denominatior of $10 000,00payable to I w ork Life Insurance Company;

S od in the deomiatioof $2,000,000,paybleto Bmyers, Saving7sBnk

(3) O"ne bond in. the denomina.tion of $1 00,00payale r to Dollar aof ,of L~ew York-;

(4) One bond in the denorination of ,00,000,pyabr t nT Yrk S ir s Bank; ad

()One bon-.d in the denomination of :$l 001payable to rast River Savings Bak

2 . His Excellenicy Baron Silvercruys

Pursuant to the letter dated March 1 , 1949, fromyou to the Bank, with regard to the terms and conditionson which the Bank will act as agent of Kingdom of Belgiumfor the registration and transfer of registered Bonds,the Bank, as the agent of Kingdom of Belgiuam, will canceland deliver to the Kingdom of Belgium the Bond in thedenomination of $16,000,000, payable to it, upon receipt ofsaid five registered Bonds, the delivery of which is re-quested hereby, and the Bank will register said fiveregistered Bonds in the names of their respective payeesas set forth in the preceding paragraph on the booksmaintained by the Bank as the agent of the Kingdom ofBelgium for the registration and transfer of registeredBonds.

It is our understanding that it will be convenientfor you to deliver said five registered Bonds to the Bankon March 23, 1949.

Very truly yours,

Jt' roy

ppernhe imer/lk

March 22, 1949

His Excellency Baron SilvereruysAmbassador of BelgiumWashington, D. C.


Pursuant to Article V of the Lean Agreement, datedMarch 1, 1949, between Kingdom of Belgium and Inter-national Bank for Reconstruction and Development (herein-after called the Bank), and to the letter, dated March 1,1949, from the Bank to you, in respect of certain mattersconcerning the Bonds to be delivered under said LoanAgreement (hereinafter called the Bonds), the Bank here-by requests that Kingdom of Belgium execute and deliverto it one fully registered Bond, dated iarch 1, 1949,in the principal amount of sixteen million dollars($16,000,000), payable to the Bank, and bearing interestat three per cent (3") per annum.

It is our understanding that it will be convenient.for you to deliver said registered Bond to the Bank onMiarch 23, 1949.

Pursuant to Paragraph 3 of the letter dated March 15,1949, from you to the Bank with regard to the terms andconditions on which the Bank will act as agent of Kingdomof Belgium for the registration and transfer of registeredBonds, the Bank as the agent of Kingdom of Belgium willregister said Bond upon its delivery in the name of theBank on the books maintained by the Bank for the regis-tration and transfer of registered Bords.

Very truly yours,

Jof J hT2 2 410

Th" Wtrid Btnk Group



1535526

Document Date Document Type


Correspondents / ParticipantsTo: Mr. Cortelyou L. SimonsonFrom: Mr. Chester A. McLain, General Counsel

Subject / TitleSinking Fund Bonds


Additional Comments


Withdrawn by Date



- CALE DORGERS BANKDNOTE"SEW COOP

QUOTATIONS SUEJECT TO CHANGE

AMERICAN BANK NOTE COMPANYI70 B3i-zoAr SII-zjE=r

Nu, w Yo 1: 4, N.Y.ALBRT L.SCHOM P

WALT'ERE.SMITH GEORGE H. LYNGTTW. EME OMBS E R A R GU W. E EARDI RAG 1ar h 21, 1949

W.F. CLCLOUGH, JR.

Mr. A. Tch. , Legal De rt tInternaticn1 Bak f'o eortructionond Development

Wasingon 25, D.YRe: Kingd 1,n

Mr. roches: .inkin und Bond ie March 1, 1969

We are pased to enclose her, ith our regular form of

order covering the pr p ation of 30 D'nkun nd Bondc of the above

issue, and i you find the se to be correct in every respect will you

kindly have the origna executed and returned to us; copy is intended

for your own files.

TI ankng you for the order, we are

Very truly yours,

AEIA BNK NOTE COMIANTY

JTFS:JC ' anaer of Dome ' SalesEnc .

AMERICAN BANK NOTE C( NY C 0 P Y JFS:JCNEW YORK, N.1

Dear Sirs:

You will please furnish the undersigned KINGDOM OF BELGIUM

Sinking Fund Bond Due March 1, 1969

30 - Sinking Fund Bonds as per approved proofs, printed on steel engravedborders, color No. 64 Orange, and divided as follows:

Quantity Denomination Registered in name of Nuibers

1 $16,000,000 International Bank for RlReconstruction andDevelopment

1 $10,000,000 New York Life Insurance R2Company

1 $2,000,000 Bowery Savings Bank R3

1 $1,0000000 Dollar Savings Bank of R4the City of New York

1 $1,500,000 New York Savings Bank R5

1 $1,500,000 East River Savings Bank R6

24 $ Without registered owner's R7 - R30name, denomination and date

10 Specimens blank as to registered ownerts name, denomination and date

to; International Bank for Reconstruction and Development, Federal ReserveBank of New York, 33 Liberty Street, New York, N.Y.

Subject to the following conditions which are agreed to:

Your price for the above work is net, F.0.B., New York, N.Y.

c . . . . . . . . *. One hundred sixty-three and 50/00. .. .. ... . . . . dollars,

h the undersigned agrees to pay to you as follows:

$ herewith.

$ upon submission by you of the first proof of the engravings, and

$ 163.50 upon notification by you of the completion of the work.

Price does not include sales or use taxes applicable.

You are to ship the above work to International Bank for Reconstructionand DevelopmentFederal Reserve Bank of New York

33 Liberty StreetNew York, New York

viaThe engravings from which the above -work is printed shall always remain in the custody

of the American Bank Note Company, to be printed only by you.This order is subject to strikes, accidents, and other causes of delay beyond your control.

This order shall not become effective as a contract until accepted by you in the cityof New York, N.Y.Accepted: Yours truly,

American Bank Note Company The signature below is officially authorized

By: KINGDOM OF BELGIUM

By: (signed) Silvercruys

East Liver Savfngs Ban

ew , sew -rc

to etin rr. AArd . . gtues "e: AssIotan~t Xice- resie it

ursuwt to eara: r 2U - of t&oe .Wrchase A. reoerent,dateC isrch 11, 1949, hetween y ou auc o i s ank under

wuitcri yo: have a'reed to purchaso fro us SInin ThndLos due arch 1, 1C9, of the 1 in dor of e1ru' as

therein specified, enu are hereby ncotiI'ied tat we shalloa o ive?: of s0Id "Tnds ao roviled In s Ia /-re-

sent on 033- >r'ch 2, )940, at 11 o'clock I . ,2astern ~tmd r Nuci- , st the ~ew hr office o thd sLnk, ~ooi h L, 'Pedersl ~eerve r"an of :ew: ''hr: 2uildir,

T.-1ert:y street, "ew "hr, ,y.

The amiunt of imnteraet accrued to arch 28, V49,on the Bonds purchaeed by you, comruted on a daily baelcc in the Purch ace Agre een prrovidod, s i 3,328.77.

You1 ar' rocuested ho esko your c:heck, In the am~ounrt of$ l,53,328.77 payable to the ?edoral Reev :anK of

lew 1 orn for ace unt -of- I vtrn tlonal Banc for Rlecoistruc-on nn3, )evoloo ooe.

V r: truly yours,

L)y

D. Crena ce IonfhTreasuerr

AT3/wrk3/21/49

INTERNATIONAL BANK FOR RECONSTRUCT I ON1D DEVELOPMENT

ROUTING SLIPDate

TO- Name Room No.

2

3

FOR-Action Initialing

Approval Preparing Reply

Comment Previous Papers

Filing Noting and ReturningFull Report Recommendation

_ nformation Signature

REMARKS

FROM-

OFFICE SERVICES 1312

CO JFIDE NTIA L

IECLASSIFIED '1 of Sink Und

JAN 1 82017 due M1arch l, 1969,WBG AR C HIVES of ingdom ot 3elgiui

EOrANDUM C) THINGS T0

F3FDOE

March 21, 1949

A. rior toCosi

(I) Aproval of the UnIted States of' the sale undercon3 o r-Leu.ton91_JofAtil TVOf Uhe10 nk' Artieles.

Approval was obtained and cotfirjmied by letter,dated arc 1, 1949, of r. John W. Snyder.

(ii) AgencyA' ree antbetween the B3ank and :or anStanley &: Go. and Sdeth, %~rne& Co- -

Thia agreem.ent was signed, dated arch 1, 1949.

(iii) Purchase Agreereits between the Bank and theseveral Purchasers.

he several purchase agree-e ts were signeu, dated

March 11, 1949.

(iv) Bonds.

Pegistered Bonds have been printed and will be

delivered to the Bank in "ashington March 22, 1949.

They will be countersijned by the ,elgian Ailbassador

and the ruarantee on such Bonds will be executed by

BXL. Prins.

-2-

(v) Request for Bonds.

For record purposes the Bank should request

the Belgian Ambassador in writing to deliver one

Registered Bond in a principal amount of , 16,000,000,

payable to the Bank, and bearing interest at the rate

of 3 per annu% A letter to this effect is being

prepared by Nr. Oppenheimer.

(vi) pinfon of Genaeral Counsel.

Form of opinion has been prepared and as been

sent to the respective purchasers. The origial opi-

nions must be s-ned by r. "cLain.

(vii) Secretary's certificate.

Secretary's certificates in respect of the resolu-

tions authorizing the loan to Kiaido of B3elgium and

the sale and guarantee of the Bonds, the signature of

the person signing the guarantee on behalf of the Bank,

and the opinion of Belgian counsel have been prepared

and must be signed by "r. .endels.

(viii) Ambassador's certificate.

The Bank should receive six certificates of the

Belgian Ambassador in respect of the several facsimile

signatures on the Bonds, the Ambassador's signature to

be certified by the S7ecretary of State of the United

States. A draft of certificate has been prepared by

the Legal Department and delivered to the Belgian Embasay.

- 3 -

(ix) 'ranfler a eaey a-reenent.

nreienit oetween fidon of 3elgium and the

Bank oroviding. for th-e serviCes of tle ak as -,nt

for the registr tion and transfer of registered -onds

was executed, dated -arch 15, 1949.

(x) Exchange ofBdS.

The Bank should request the Belgian Ambassador

in writing to deliver to the Bank, in exch vne for

and against delivery of the ond in -ie a ount of

16,000,000, five Beistered onds Wyabl to the

respective purchasers and in the denominatiois ,)eci-

fied in the respective Purchase -rAeents. This letter

is being ?repared b, r. Oppenheinei. The Legal Depart-

atwill discuss with.- Or avanaughwht If any,

Jfur ir oCu.ents are necessary in connection wit the

reistration and transfer of the onds.

(xi) (ethod of designatinr Bonds to be redeetie'.

A draft of letter to elgiu was cabled to Brussels

by the Belgian Embassy and the Minister of ?inance has

apnroved the surg-sted method and authorized the Akbas-

sador to counters",n the letter. The letter will be

signed today by -r. I1ff and delivered to the * elgan

Erb a say.

(xii) Tndertkin in res ect of redemption.

Letters addressed to the several urhasors, dated

March l8, 1949, were 6i _led to Mr. 'I .oison on that date

- 4 -

for delivery to the several purchasers.

(xlii) Notice of delivery.

Letters to the sevoral purelChasers notifing the

of ti e nd ace f o dllvery containln instruc-

tion in respect of te respective a outs to be Id

at th losig t16 t &uer o- aye nt vii be sin-ried

byr. :rena de Lo h oday ad a7le o respective

durciasers, with copies to Mr. Si.onson.

(xiv) Form of reCeipt.

A for of receipt to be execute, by the several

purchasers will be prepared by the Lagal Depart ant.

(xv) Compensation of TBankers.

Tnstructlons to th Treasurer to issue two checks

of 20,010, yb to 7or an tanley ACo. and

3mith, Barn o. r pctivoly, will be prepared by

the L -al Departient for Mr. -c21v's sIgnature. A

cover-g lotter to the bae r:i will also be pr red

by th, Le :l Departoe-.

B. Glosirig

(xvi) a te.

arch 28, 1949.

(xvii) .lace.

lew York office of thle Bank.

(xviii) T ime.

11 A.7. Eastern Standard Time.

18presentatives o1 the Bank, Morgan Stanley & Co.,

,mith, Barney Co. aid of the several purchasers of the

Bonds.

(xx) Things to be done at Closini.

(a)- The Bank will deliver to each of the rdhasers

one copy of each of the following:

(1) ecretary's cartificate referred to in

(vii) above;

(2) A.bassador's certificate referred to in

(v ii) abov ; end

(3) 0piDon of the encral Counsel of the

Bank.

(b) Te n will deliver to each purchtaser the

Bond urch ase. b it, and will receive from

each suc' purchaser a receipt and a check

,iade payable to the Federal Reserve Bank of

hew York for account of the Banl in an &nount

representin g par and accrued interest of such

Bond.

(e) The Bank will deliver to the bankers a letter

trans Ittinp the checks referred to in (xv)

above.

A.B.

iinistry of A7nance

14, rue de la LoiBrussels, Belgium

-. ar "irs:

eferrin to section 2 of Article VI of the Loa iA7ree aest t.ated March 1, 19, between Internat' onal"ank for acconstruct'on and Deve.opient and Ianrdornof Belgtiu t:

Tn c onvc cti on wi th the pr oposed sale of 16, %)O,Y)O,r~ cipal anount, of Vinkin.; !und Sonds, due .arch 1,

1% C), of rodon of ~3elriu:. It has been su vested thiatprch:asers of large a rounts of these Bonds should be

assured that, in the event of part:.al redex~tIo:, whether>o urposes of the sinking fund or otherwise, their

holdings will Ue redeemled pro rata, rather than on thebasis of the drawingj of lots.

Tn order to co ioly with this sug estion we proposethat the 3onds to be redeened snall be designated inthe manner set forth in the attached schedule .

?lease o nfirmn your aereent by ar nine the fornof confirmation on the enclosed copy of this letter.

Very truly yours,

T NTPRN~AT IA ThBANK ?QR PEBO SThIUCTI ON

AND9 DEV L10TEN

by x./ 4~ 'W.A.P. Tliff

Confirmed: Loan Director

AB/wrk3/18/49

c edule

91 to f nds to be redee"ied

In the event of part al rede ption of 3ink-

Fund Bonds, due March 1, 1969, or -Indo of "aeliumA

1. or purposes of r demption the Bonds shall bedivided Into two clas es: (a) uonds in deno-aitpoms to

500,000 (b Londs n ominat ons of 500,0 oro'v r.

2. The a regatt ?rIncipal amount of o ds to be re-

deeIe shall be allocated pro rata to B3o.ds of both classesaccordIng to the resPective a recate unpid pr'inrcial amounts

there80

3. The particular Bonds of class (a) to be redeerued shallbe aesj nated by lot, base on units of ll*000.

4. Ionds of class (b shall be redeened pro rata accord-ing to the respective unaId principlt amounts thereof,

5. Tf the reate rincipal amount of bonds of class(a) to be redee ed as rovied in para-raph 2, or te prin-ci pal amout to e redee ed o) any bond of class (b) as pro-v ded n pragraph 4, sal not be a Umltiple of 1,000,uch a,*" t sh1 be roun cle c f to tie ext lowest mutipleof 9 1,00 , and ani a ut ~oaa~jrn unallocated as a result

of suc, rou i.a os-ll be applied to t e redeation of rondsof elther class, .e ate by lot, based on units of 1,000.

: ' 2 , 104

v2. Cortelyou L. ionsonor ;an Stanley & o,2 .al1 Street

iew orz, 1.1.

Tar *r. SImonson:

The oafk ha' toda notifIed the respective purchasersof the Sinking Pund ''ois, due larch , 1jC , of theKin on of 'elrium, of' the olace, date an + -e of deliveryof t he B3ondsa.a- vr

T am sendirw you eIcoe I~ ni8S o e letters ad--rossec to the rePertive purchasers fron w ao you willnte t hat we have a)so ,or hen ou of the

accrued I tere t.

r'r trly 11 yours,

A. v/ocwr

Air/wrk

olar ai

City o2 ~ew Y or:

4.* <* rVit.

~ ,'v -reit r ~asc rois IV de r'oden

n o 1)

Serc,

re er scrve tu o w rk i

tT

A7 B/wrtyre,~i ok 1

3/1 2 , co-a a

~o cI 'rc-c ~ T. j z1 "aia2c A] 3t~c

1'oa iiurer

AB1/wr k3/18/49

Sason v -Po n to'w ''brP, .re r1r

yor. vrett or , anerSinvostmet ep !rt1'nt and

oo~%r: Assistat Treasuror

Pursvant to para raph 4i o ' t 'e Pu rch so A r ewat

n L poi2, 631 rvc1

iat d or 1co, nc 1 .1 ' Lau an. t i1aP u0 7 1 aaoniks duo o2rh , 1odcx , ooaoho ind oJ7 Jel 7oi:uI1 aste micxpec 'f1e , eou Pr heey ofe * e h

a edelver o9 2i Y ond'2L IaCIQO pro in7C cai iCrYL.nt on iday 'I car3c( aY,1 , a0tE1 O lc 0 . .,

astern Standr re, '0 ~te N')20 k ofie o th

ou oe reested. to mak7 jou~Tr C 007 in the . aao of]22.L<1.73 payaiJe t~o tie io 2eral aesorve Bank o2

ovw York~ for accoup .t of f 't'.r a ionial BaAk 2or' aconstru.0-t o b Dvelopmia-t.

Vnry tr--ly yours,

A D EVELOPMN

by

~ra 2ucAB wrk3/18/49

Jaw fork VavI ins BankV.. ', rnrir Sth AVSnue~

and 4th K 2eetow York, ow jork

Attetion: r, ilian . rickliderLear Nirs-: ecretary

~ursuait to para mraph 3 of th ucaso reeqwt,Ca CL~acK . 1, 1949, Ibetween : and tkls 23.i undec b y m : V -o a re e t o r c as c i nro A u 7 Nn kl n T hn

CA -s -7 v -p 1 2 1 ; 0t odsdu ocr 1,1C 1 2 duoi o t~1~u -

n oay kchfI, r-4 t 1oclock ..

Room 5

L o ~natofI tro au ed to ack 2 ci 41tne Vn.O c~a-aa, Ce uo on a ilbai

V urca reW On% is

You are roque fQe t a no &00c An a -7]t Of1,503,72-.M / a . e eo t Peeral Reservc ai oew -'or, for account of itcrniational a: for Temostpuc-Nin -a a 0 o it.

Vr truly ot's,

I PLfITT) L h~.fOR rEcodsTR' CTIoN

D. vr' e Toha?nea urer

AB/CAM/w'rk3/1S/49

owery ;4vin 3

, r'Y ,k, 1 cw1orrk

p . .

C I7S

t cered to avn 28 19p4

u ouao 14l b

.s 'as reE troied 44 4.6

Or tru Or

*. <ren mie ry,

r4 B/wrk~3/21/49

Ivarch 18, 194

r. Cortelyou L. Simorsonorgaf 'tanley & Co.

2 ,alI Street~ew York, N..

Dear Yir. Timonson:

T am sendin you enclosed five lotters datedarch 18,, 1941, with rerard to the aner oI desirnat-Thg bonds to be redeemed -i the event of partial re-de ption of th elgian 0nds, adressed to there-sective nrchasers of the ponds.

T am also enclosinr a copy of each such letterfor your files.

Very truly yours,

A. Brochos

Enclosures: 10AiB/wrk

Bowory Savings 71ank110 Fast 42nd Streat.Iew York, 'New ~York

:ererring to t e ?urchase Agre et nated Aarch 11,1949, between you and us under which you have agreed to)rcease from us 3inkin~ Pund Bonds, due marcha 1, 1099oDe t a don of 3egiun:

~e en-close herewith a copy of a Zciiedule wich hasbeen agreed to between us and the ingdom of Belgium withregard to thne nrnor of designating bonds to be redee-nedin. the event of partial redemption of the bonds, whetherfor purposes of the sinking fund or otherwise.

We hereby confirm our agreeaient with you ttat solong as you hold any of said bonds, we will not, withoutyour previous written consent, agree to any miodifioatjonof said Schaulo which would affect the bonds so held byyou.

Very truly yours,

TtoT .TINAL A R .'c atT-lofoNt e LOPf'U

by

D. Crena de Tonghr/wrk Tre surer3/17/49

Schedule

Designation of Bonds to be redeemed

in the event of partial redelition of Sinking

Fund Thrids, due Lrch 1, 19C9, of Lingdon of Belgium

1. For purposes of redemip)tion the 2onds stall be

divided into two classes: (a) Bonds in denominations up

to 500,000 and (b) Bonds in denoninationa of 500,000

or over.

2. The agregate principal amount of Blonds to be re-

deemed shall be allocated Pro rats to Bonds of both classes

according to the respective aggregate unpaid principal

amounts thereof.

3. The particular Bonds of class (a) to be redeemed

shall be designated by lot, based on units of t 1,000.

4. Bonds of class (b) shall be redeemed pro rata ao-

cordin. to the respective unpaid principal amounts thereof.

5. If tho aggregate principal amount of bonds 0f class

(a) to be redeemed as provided in paragraph 2, or the prin-

cipal amount to be redeemed of any bond of class (b) as pro-

vided in para1r--h 4, shall not be a multiple of " 1,000,

such mount shall be rounded off to the next lowest multiple

of lt0:, and any amount remaining unallocated as a re-

sult of such rounding shall be applied to the redemption of

Bond of either class, designated by lot, based on units of

# 1,010.

CityT ol ri f

iY York, cewr cork

r flt f

- o~~~ -K di ccc I, 1 ~~

Io Li thet

T, ,

AD/wr D.ols Ce1cva de a or f oiIoni

3/1 /49o T frer

~roox O evi ;se t ce went aflret n "ccfctoyou.

AB/wrk D. Crena de Iongh.5 /17 /49 Trea surer

arc.S~2C cfeo3n h 0 snallh

1. >,o ur ose , redemption the .ond s nllb

divId~en ~io two zclasse : (n) 2rnd, 'i n Geo oiatio s

to 5 ip M a (b) n i n d omi nation of 5 ,O

or over.

2. t a 41 be re-

Oenmid a aI1 e a wo rato ods of oth classesa C. rdin07 tn ther !' ctv rrt unPaId prin'cipal

-mun )0s-j t he-'c of .

. ,a.- Uias of clus (a) o b

shall 'ei natod , scd on unYt of 1,005.

. ;o of class (b) s all I rdeo ed ro rata ac--odn to thenpct~Ivc uni rin<cipal a. ounts thereof.D. Ef the a rogt prin cipal dAnount of bo nds oj ' lass

(a) to &a ve.e iod as atOVi ed i paa.r 2, or Lh wrin-

cp . ou t to be ni ano . of o class (b) as pro-vided IA par'Uraph 4, siall not be a u1tIple of j1,)Co,

suCh atL ut shall be rou nde off to the next lowest n ltiple

of 1,000, andan amounts rLnu1a' unallocatod as a re-suit of such roun in s a 1 e a lied to t he reeirt! of

"ons of either cly, esi nated ' lot, swed on ut Is of

S1, ooo.

-4Tk Lif -

a te tIo : r. vertt oo ruf, n r

ce Lrs: Assi stan TLrea surer

meu ui. to t .i rc-ase ; re, e al ci:s11 1/)4 , !Netween :ou an vs er wIcyou Lave a reed

to .1 SOCs fvo uS Wn1) n n o 0 " ue arc: 1,L of C, .0in-co -of :ao K

e enc loss ;MrVP a cooy of a co 1e ' n Me&l reea toj ,~ tgo I ,i e rr . o y of P!,:1f . A

Vc nrd to th w 'ain~c OT deW n. Z~ mifs to be ode

fe ortes~i~- f'u o oLeywin.qe

ro Korb - Fir our n ee A A th yor W 7os : 1 w lot, t

o ac o a a Luodif by

V L ruly your s,

you*

C)YJ

D. Crena de IonghAB/wrk Treasurer3/17/49

esi -nato of Ba to be redeeme

nthe evet of artial rede otion of oiinrd:

und 1due be pr iraO of ac-

. For purposes( 3f r'ds i th e BOn 's sha biL

iv0K'ed ito FV0 cl3,sveo: ra ) od ndnmntosu

t)o ) 0 ,.Y' aO (b) rnds int den'>> n Io xi 50 00

o 2 of

(. rhe fget rcpa unt ndto er-

dC3 ,p<d shalI 03 allocatc p/) Qa1a t ) lol Of both claqses

accoring o there;pctiv e aro ate unpa 1 pri ncIp

*. n partiuar Sano of cls (a) to be roe em

. aond of olass ( ) hall be recec pro rate ac-

cordIin to th e re's :ctivye 2npa1II rIncipal a ounts thereof.

* . If ~ the~ agrgt prn hpa a 0un of bAnd 01

1R33 (S) o 00' 3C aS d iO raph , or the

prnia 4-un -oberee'edo {nybon of cls b

as pv . in para p , Pl t be 3 oultIie of

1, )O, 1 uch allunt nil be <odd ' t'- t~chenet

loes atil f ], r, vnd an amunt3 remaIning

unllcte s esl of suo h 1.ndn soall he a plIed

to Ph rode tIon a;.nd oIf oihe cla) deinatd by106,~~~; Ia r nuit f 100

Ieu iork Savnr s .ank*.i * orn er 8th Avenue

and~MA 11t Rte

low York~, Now York

Pt' tno: W. -il310- 7. Licklider

o irs: Secrctary

oefeu n2 to the TMrT h u e Agree' ent da tedMa

11,_ 1 94'C, betveen r'y' s nd us under wh ch yrou iaveageed to pureihase frnoi us sinking Fund Bonds, duea Ac 1, 1Kiz, -f the Ki'>o of Belxium:

0 ~eose heuwith n cop;y of a tschedulc which

Uas been uceed to Letwe7n us arnd the Kin 'domi S

P tgun wi>' regad to the c 'nv of deignating bondstobereeeed k th vn fprilrdo 'tion of,

t e bond , we the or ur oses' Pf te si nkin. Iundorth w .1wse

*~~~~~ ma0i -:~i~dou0 e~~a ~i O Lt so

is asyo~ l i > A, -. 1 b vs ewl ~ ihu

ruly yors,

I -W!~

AB/wrk D, Crena de Iongh3/17/49 Treasurer

~ue ntion cf Sod to be redeoeed

di !' L ri

into two ch ases: (a) Bonlass (eoi ai n u t 0 , 0

and (b) Slots oin dnm aion, o 0,00o v "2. 3jeo v a rsat r nci pual ' an cun o1 aod to be redoV

s *l b Of allc)td ap r bo re .oth ilasrat accordir

t o xsective aia oir d p)aritp te of.

t. -t- 0u b r a() , ro nbe (V esig aed by lot b>2 sd to tunit oC> 1, o t0d0.

4.lass <of f ola ( )t 5 a d p .d

shllberondd fftoth nxtloet Aulr l of9 ,00

Tast -iver '-avings a24-26 Cortlandt Streetf1ew York, New. York

tto ition: 3r. A1red J. :iddlbrookAssistant ~+ce-?reaident

. ra 1, r 0:P'teferriig to the Qurohaso Agreogment dated Gron 11,

1C949, betw'een you and us under which you have ag~reed tosurchae fra us $inking Fund 1o0, due larch 1, 1969of trhe i: dom of Celgium:

~e e nclose herewith a Copy of & 53eniadUle whi ch hasbeen a~rored to between us ani the 1indosi ef 3eliu withre ard to the ranner of designating bonds to be redeeedin the event of partial rede nntion of the bondS, whether

for purposes of the sinking fund or otherwise,

o hereby confirm our agreement with you that io1on as you hold any of sair bonds, we will not, withoutyour previous written Consent, agree to any modificationof said 'chedulo which would effect the bonds so hold byyou.

Very truly yours,

TER1TONALBA3 T RRENSTRUCTI)NAND DEV7LOPMENT

by

Cren de TonghTrea zurer

7 AB/wrk3/17/49

SC e ulo

orc c~~

4 of to d

co Q0 e eveotin unt'stin

1. 2or purpoiej of rlotse "Godo a 1 >e.vi ei Lnto t1S o class () 7 m-s r o

o ,n (b A ki n ,O n .

-. Tf U -9 ,r n a F +, , o f , 0 f l s

( a m e t o el ' n p mpana 2 , 0 ! W r n

ousu pof rat bon ofe cls Wt Ra pro-

OQS

LA .o -

o an t--unu ipc "c~ctv 1 )1 K DcH a go1t a re-<

trrC of l ino(a y m r

W ~e ~ a~4 11 '-tb.~il:II Vo

-, o-





18 March, 1949 Memorandum

Correspondents / ParticipantsTo: Mr. A. Broches

From: Mr. Robert W. Cavanaugh

Subject / TitleAccrued Interest


Additional Comments


Withdrawn by Date



The World Rank Group




17 March, 1949 Memorandum

Correspondents / ParticipantsTo: Mr. CavanaughFrom: A. Broches

Subject / TitleClosing of Sale of Belgian Bonds


Additional Comments


Withdrawn by Date



The WorId Bank Group

N rl_ If I ;Archives* Record Removal Notice & Records Management




Correspondents / ParticipantsTo: Mr. G.B. Schwulst, Vice-PresidentFrom: Mr. Chester A. McLain, General Counsel

Subject / TitleLoan Agreement


Additional Comments


Withdrawn by Date




Released in New York City by the Department of Marketing

FOR MI !NIG PAPERSFOR THE PRESS

Wednesday, Hardhi 16, 1949

The International Bank for Reconstruction and Development announced

today it has contracted to sell privately, with its unconditional guarantee as to

principal, interest and sinking fund payments, $16,000,000 Kingdom of Belgium

bonds. The purchasers are: New York Life Insurance Company, $10,000,000; The

Bowery Savings Bank, $2,000,000; New York Savings Bank, $1,500,000; East River

Savings Bank, $1,500,000; and the Dollar Savings Bark of the City of New York,

$1,000,000. The savings banks are located in New York City.

The bonds bear a 3 per cent interest rate, The purchasers are paying par

and accrued interest. The $16,000,000 of bonds were received by the International

Bank under its recent loan to the Kingdom of Belgium to provide foreign exchange

for purchases of steel mill and power plant equipment. The bonds will mature in

20 years. Beginning September 1, 1953, the issue will be amortized in 32 equal

semi-annual installments.

The sale of the bonds was arranged by Morgan Stanley & Co., and Smith,

Barney & Co., who were selected for this purpose at the request of the Belgian

Government.

Officials of the International Bank stated that the contract for the saleof the Belgian bonds was arranged primarily in order to broaden the Bank's field offinancing operations and not because of any immediate need to add to the Bank'slending resources. This method of sale, they said, is not an indication of anestablished policy of disposing of securities in the Bankts portfolio.

The Belgian loan carries an interest rate of 44 per cent. The differencebetween the 1j per cent paid by Belgium and the 3 per cent rate on the bonds to besold to the institutional investors, is paid directly to the Bank. Of this J percent difference, 1 per cent is a statutory commission charge which, under theArticles of Agreement, is allocated to the Bank's special reserve fund. The -1 percent charge is a service darge to cover the Bankts operating expenses.

Theme BOX&4 are wet being offered to the pubUe. Cartel. iutsanmom. hope hep#reneedF rhwto pursheee then for inftujent.

$16,000,000

Kingdom of Belgium3% Sinking Fund Bonds Due March 1, 199

Guarmnteed uncenditimlo a to pgment of prbwtp paad MIat bpNTWEATIONAL BANK FOR RECONSTRUCTION AND DEVLOMENT

MORGAN STANLEY & CO. SMITH, BARNEY & CO.

xVrea 15, 19.


Iviarch 15, 1949

Dear Sirs:

I am writing to confirm our understanding in respect

of the terms and conditions upon which Kinrdom of Belgiumhas requested International Bank for Reconstruction andDevelopment (hereinaftAr called the Bank), and the Bank hasconsented, to act as the agent of Kingdom of Bel:,ium for theregistration and transfer of the Sinking Fund iBonds, dueMarch 1, 1969, of Kingdom of Belgium (hereinafter calledthe Bonds):

1. Kingdom of Belgium appoints the Bank as the agentof Kingdom of Belgium for the registration and transfer ofregis tered Bonds.

2. Kingdom of Belgium shall from time to time causeBonds to be executed on its behalf and delivered to the Bank,

f or delivery by the Bank, on transfers of registered Bonds.

3. The Bank shall maintain books for the registrationand transfer of registered Bonds without coupons and eachtransfer or exchange of such Bonds shall be noted by theBank on such books.

4. The books for the registration and transfer of

registered Bonds shall be closed for a period of twentycalendar days prior to, and including, any date fixed for

the payment of interest on or principal of the Bonds or forthe redemption of 3onds.

5. All Bonds which shall be surrendered to the Bankfor transfer or exchange as herein provided shall be can-

celled by the Bank and delivered by it to or on the order of

Kingdom of Belgium signed by its Yinister of Finance or itsAmbassador to the United States.

International Bank for Reconstructionand Development,1818 H Street, N.V.,Washington, D.C.

-2-


6. The sank may act upon tlh instructions of theVinister of "inance of Kingdom of Belgium or of the Ambassa-dor of Kingdom of 3elgium to the United States, and such in-structions shall be full and complete authorization andprotection in respect of any action taken or suffered ingood faith by the Bank hereunder.

7. Kingdom of Belgium will reimburse the Bank for allout of pocket expenses (including counsel fees) properlyincurred by it on account of, or arising out of, its serviceshereunder.\

8. If the Bank shall at any time be in doubt inrespect of its rights and obligations hereunder, or in respectof the rights of the owner or holder of any Bond, the Bank

may advise with legal counsel (who may be the General Counselof the Bank), and shall not ce answerable or responsible to

Kingdom of Belgium for anything done or suffered by the Bank

in good faith and in accordance with the opinion of suchcounsel, or in the exercise of its reasonable discretion.

9. The Bank shall be answerable to Kingdom of Belgium

only. for failure on the part of the Bank to exercise goodfaith and reas6nable care.

10. The Bank shall not be liable for any action takenby it in reliance upon any instrument or document whichreasonably appears to the Bank to be genuine, and may treatthe registered holder of any Bond as the absolute owner ofsuch Bond for all purposes.

11. Kingdom of Belgium will indemnify and hold theBank harmless from and against all loss, cost, damage and

expense, including counsel fees, arising out of or in connec-tion with the Bank's services hereunder and any action by the

Bank pursuant hereto, as well as the costs and expenses ofdefending against any claim of liability in the premises, un-less due, to the Bank's own negligence or bad faith.

12. The Bank may at any time resign as the agent of

Kingdom of Belgium hereunder by giving not less than sixty

(60) days' prior notice thereof in writing to Kingdom ofBelgium, addressed to its Yinister of Finance or its Ambassa-

dor to the United States. Such resignation shall take effect

on the date specified in such notice.

13. The appointment of the Bank as the agent of Kingdomof Belgium hereunder may be terminated at any time by Kingdomof Belgium by written notice to the Bank. Upon such termi-

nation, or upon the resignation of the Bank as such agent, it

- 3


shall dejiver to or upon the order of Kingdom of Belgium allsecurites and other property of Kingdom of Belgium on depositwith the Bank as agent hereunder and the books of registry ofthe 3onds, and shall make and keep available at all reasonabletimes thereafter all other books and records maintained bythe Bank as agent hereunder.

. I shall be glad if you will confirm your agreement withthe foregoing by signing the attached copy and returning itto me.

Very truly yours,

Ambassador of Belgium

Confirmed:

Io'TERNATIO! AL BANK FOIZ RECCNSTRUCTIONALD DEVELOPIiNT

by

The World Sank Group

Record Re o a oie& R~ecordsa ManagementReodRemoval Notice AichuVESFile Title Barcode No.

Steel and Power Equipment Project - Industry - Belgium - Loan 0014 - P037358 - Bonds - Volume I

1535526


15 March, 1949 Board Record

Correspondents / Participants

Subject / TitleSchedule AResolution No. 98.Approval of recommendations of the President that the Bank grant a loan to Kingdom of Belgiume for $16,000,000

Exception(s)

Additional CommentsDeclassification review of this record may be initiated upon request.


Withdrawn by Date



March 11, 1949

Mr. Herbert HallMorgan stanley & Co.2 Wall StreetNow York, Now York

Dear Ir. Hall;

Enalooed find final copis of draft press release for

the Belgian bond contract. The International Bank ae acepted

all changes suggested by you and the New York Life Insurance

Company.

Very truly urs,

Enlsur

a/Mr. 1). Crena do Longh~ March 11, l199liobert W. Gavanau :2

of 0e1 ian Loan vonds.

Ar. jroches ad vied m at the Purchase A ree ent or t salete I a Loan oads would e ailed to ior an tanley od a Ir 11. "c also stated that the prchaser .Wouln 0obably con stfc ercial and savin ;s banks an one insurance company. "e furadvised tt h sas issuin, the instructions for the _rir tI~ of theon for e a and that tey would be ready or delivery to theero' asers w roinately narch 24.

aes teu that the purchasero each desired one ond ratlihr thana nu , i ! er fonds. TAis raibes tLo problen in connection with rede tionSlt an ;UUeUzf in the Woan Contract. Ve a reed that this iit bey a formula under which all londs of a denomination of & 000 Oor Iss would be redeuemd by lot, but that all bonds of a -reaterenohination would be redeemed pro rata and that tne holder could ithero! tain a new ond at the time of a partial rede.ption or that tArtial rederntion could d on v a nach of th vond. This

ft11e "=0 W e 6 nn

wil reo jire a new a, reemAent uetween th e purchasers, h Banrathe ,overrnent of hol iunl.

Teoan Avoreement and the .onds nrovide that onlyth ncae he rinoipal oI the onds payable imr ediately in te eventaul e orrower. It aopears that some of the rosecivepurci asers are not too hau - + -A i. Ar. roches ia stated hath. Mony io enter it an a.Teent with the purchasersWhereby thV holrs oZ Y or more of the bonds n requent the AaAk toeclare the orncipal a Qale 1 , adiately if the scheduled -ayT.ensVer the onds are wot et either by te borrwer or the Bank.

RwCavanaugh;mg

The WVrld Bank Group

Record Removal Notice RoMn9




Correspondents / ParticipantsTo: Mr. Cortelyou L. SimonsonFrom: Mr. Chester A. McLain

Subject I TitlePurchase letters with legal opinion


Additional Comments


Withdrawn by Date

Tonya Ceesay January 05, 2017Archives 01 (March 2017)

owery ravin~7 a -f l*

new for <ew lor

teton! r. "ntaj se A W_

car ' irs:

1. ~uboct to the ters a nd co tions nerein 3etrt ., Tntem tional u:or "eco str~ sti~o (s ,'v@op-w'e ( ere is fter cened th n e ~ r rees to se11

trO 2T0, at YnU, ty yOUr~ eaceptance horeof, gvree to-ureasefr:e a , ,Wa oaiindns 4md 3o as, d* wreh 1, 12C , o,. invdorn oC

Vlcu-; (rhereeCter el~led th~e 3on:Is Qt 1Y) of the

t ate of el. ver- Cf an pir t 0o sCh uds.Interest accruied on t- e onie s .ll be ec.;nuted on *a

. se oa2s tLll te i mued uu ccr e ro::- ro utmcd ar(e 1, 1D4a --tveo in . or >ol;:: t . tue

as :hreV aCter coe:e t~ e 1onu reecneti, a coay ofSis atuc:tod .or..to, de tateu >rzntit A. The fondus ' e: er. ' t ca l toe i. reresd at txo ret a! 3

er a.u t; sell be istea,.sall sture, zsal1 to gayblea m a li ->e otkerw~ se es a :ovided in tue I osa ; - ree:nert;

sell - ttiual.l; I . /a. to ~ regetive'or-a cdf .lond sot yurte Lu edelea 2-a iiud 2-E of the

Los <re. e u; aw s a all nave tue - uarautco of t:-o aikeu. se re: eeu t y l , or et 2cr

uare nteO set Corth :u >h'cit 3 attach~ed hereto.

3. Pu 2xsol .a dlivery of t'.eo la on orbef ore 2sroh M, 1i149, u pon a t le a t f ive da ys t not iceto you, by deliverInr to vo11 at tue offico of the sank inthe orownh or anhttao, ity me - tate of New Thrk,against D0yT:e'at in few York 1i1ariw 2ouso funds, one fully

Bowery Savings Bank - -

registered setrkrative now pri nted on an engraved border,rec~sceea a frour naue. ;rior to or sttnounsI cith

ever tue nv fi I ui tJ A'ou:

(a copy oert fie byte recretary of t e jauan opinilon of te ~inistar of Just ce of

&ingdin of -el-ita', Nhied "oebruary 23, 100Jddressed to the r to th8 etfect tht theLoa'a Areroe t w@n siLed on behalf of Idon of l eiiin b- the "eL an Ambassador totne United. 'tatae of A :rioa gil1 be lerallybtndinw on eirigdon of Belgium in acoodanoewith at tores an t at bnnda substantially inthe ora te orso on set ort n~chedul, 2-; &nd Shdule 2- B, reapecttvely,

of the loan Areemuot when signed on oehalff ofIrgd a If ku: Fit If fauml su

Lt t i ter of nance of e o o lgiuand ountersigned by ~ron No ort Bilvereruys,

A1, '.a ba ssa r toa thr i ni ted ~tute e ofA erioa, or ~r. M-oger 'aym an, Counell or t o the

Bel-'ian :bassy in lash rtn, wi 11 c ons titute, solute Z4 oni.to al obliza-

tio: or :: e a o ,gum in aeccwranc0 wththeir torIas, a., that the full faith and creditof i144o.i of el; iu will be pledged for thep rfor' ,aa oO of otI ationa;

(b) e ogi~o , utisfatory to iou, of the 2oeral2oual of te to the effeIt tht

(i) t. a ull n vli title tothe ?londs a~n to *oh of the: Pree offlieu. or otner ercounbrance a nd isduly authorized', undor its Arti cles

ef uxveoment and otherwise, to sollthe Bonds;

{I1) the guarantee of the Bank when en-dorsed on the monds substantially intoe V orn of the Form of guaranteeattached heretc as ~xhibit 3 anda ened on behalf o the ankby its

reaerer or b7 3, Asai etamt ?reaeurerwill consti tute a vali and bindi ngoblPiation oV the Bank in accordaogewith itB terria; and

Bowery Savingrs Bank - -

(2 t) t o sa ~ n7 te Thad by tno ;a , *aj. AA lted y 7on otter 6 M by

.Lc 2-7temY a Vct forth ine e ',is are t frans the>of Aetioa 5 of the 'curi-

t10 os of' 1%Z~ as a sendod, anc Vdat4..e, a un in e rct, Any

Pn3AJ.0 ttso "onas i; you, ii' :ouite fture deem it oe1 e - r nt

toa 'll an rmoo, rniuld not recjurero- istrhtion -1 ue 0.40d t mr*u 1 Vr.

. Me ak Irees tLt aa roon aY resra bly >s1ibleafter .G Uto w0en ou , .1 vye so re Osteu, t "nawill ioliver or cause to a 4eliV red to you at tr oice

or ozeoy of t"n Taic 1 tke oron of anpattan, City andZt t of p or[, oQ t xpe s to you, in exsna a for

a ad iatnst surrend er of te Woad de iera d to you "er&underSbe n :prop ate n tr e t o- assi mnt,

e ther (i U a like Arinc ;al asount o or] ted rozistoredSon s n ann in ons of 1,000 or utiples t ermf, or

(ke pri~ nnl ir-oat of f01U, nrved onpoi 7ondiI te nomin ion of 'M1,IG. bseunnt excnales of

tated r gi sterad tonds or opinted "ovistered londa ofot'.ar d minatinav or f'r fully eq-raved conpon 3onds, or

of' fully an'raved conn "on*s for 2r2ntad revistnred 3ondssoall be made uson Iavot of ruasonable chorges therefor.

.. "a saui wonte Tad by t''s ltter s 7ade by thennA in rel' e upon -u r :v tAAtion to the , io

a Val Ar - Kot 1 u' acc;3ooe heI"eof, tnt you are !ur-e usiLr iu ~oods .or yo~x e n accou et for ave~t~~mt andnot V t a vew to to. V ntr.utIon or resale thereof, aib-

ject, oev art ais ti an r ni re n t of law th a i sposi-tion of' your proerty sall at all tL aez be Witfil your own

cont ol,

. a0 . m n t a it is OxOC. 1 ree1 tssiailar in all raspeeta -ereto, excep s to the amount of

. . 0 a ol , wi t 1 ; 0 oWr Avesors. .e re.mte;ai ?l uat af asm o be vold to ;you "d said your

t vso t :rs : Yl) ,2, , "ut the sale to each in-vetor is a searate ale ade by toe bank to muCh invetor.

- 4: r mes tA t.at it "as nA, t Ir Arectly ort~rou4 any ent, -ol or offered wll or any of the -ndsto, solicited cn offers to buy any thereof fro , orotherwi s; approached *rd neotIated in respect thereof' WIth,

0 : n oeotors u. all. :"e , Csit will Jot, directly or toh any agent sell or tAferany of thc loa1aS to, ox' bl4V ot ny offers Ve buy any

tuo fro, or oterwise aroach or op otiate inxea:ect thereof with, v ot.er 4erons or Meion so

as thereby to bri t 3s ance or sal of the ,onIsu 'er -'. or vSios 'et n 0 ts ecrties Act

Pf 1ow as erendWdn

7. "I' at rany timie tws all receiv notice oflect on of ndo1 of eliu. o redse ann of the o a

as Kerein provided, the "01- Anall, not los than f" days>rior to the date of rede-4tion spectf ed in suh notice,

YiKe a coy of such n-ie to each relsetered holder ofod , o t o b redeeed by re-istered Wa ad1 re sed to

h!9 address of record.

If an vout of default as defined in "ection Iof ~r" Ole 777 ,f V, Loan Areerent in ::o1spect W te

4&'reot off tintreat on or ,ri nclpl of tne '.hnis or int~'o for ioooe < the rav ants in resect of the ainkixy

u r o as, al a in the "on., set forth, InallSbc ot! -, Q::en and !n nuch SuCh case the

>nsu', un te written wc est of t. .o0der or hnolders ofonus eo:-ws :tin:- : t less taan l of the agre-ite >rin-

1A.1 & eut of te -aw t :er out W and unPGAid, shallwa jo o AN octVon ' !ve declere tw e ; nciDal of all the

ida at the tis outstandin to be wue an payable i:ediate-S; av e, however, ,t 1e 1n s.all Ot he pequired so

to declare the pr ci al oa tae zohds to be due a 4 yable soin. as tie ar I n not n default under Itas f arentee of the

a", . f a t ay t:e e ; : : ;all declare the awinciwalof a, 1 tre ns t tn e i a outstadin du an pyahle i

attly as i t e Lon atne Loaq reeet provided,tno / shall "ro,tlY ntify each reLstered holder of

onds thereof by registored ail addresaed to Ly address orecord.

. 1esse. 'org&, 0 anley o. ond T'th, sarney MC. are aoti, as t-e aents of the On, in this transac-

tion end will he cInosawted by the !ank.

71. xcet as herein expressly otnerwise provided,any not! ce, de,% or reouest requlred or teritted to be

veonr Tade ' uren- er shll be in wr! tip ond shell beeened to ave been duly W1iven when it shall be delivered in

wriir on - b- tel e~rr to the "t7y to which such noti ce,e n: or reest s ry Ired or A t ed to be oven or

Owery Asvings 'ank - 5 -

maie at its address fter s>eoCiied, or Lt c rher

6Aress an suc 9,rtT ell hv OK dtI d by notice i4,wrtinu t o t rt Ivi.- or k'h su P not , -Aor roquest. 'The addneswea so enoiried are:

(a) "or the -nOT

Devlopent 1 r1 ; treet, N.. rasinton~ ;5,4istrict or ;olumbia,

>wex'y -lavinis an1V? met 4Z2:a vroet

M taleao a: r. onta ue t

~lease enWirm t t t Qq fore"qoing rrectl stCrtLs the croe e it eteri you a~d as affn~ni riof co':fiz-:ation on t he enclosed Counter:>&rt of' t.:is

letter a u returnitn !h to -s,

Ver~ truly yours,

A y T

by

Gottired:

by

A./wrk3/11/49

oll r Lv a ant of t: eot! of .0w 1 rd

279:2 hIrd AvenueIV >rk ow , M,

tto ia"o: r. Asitur ollor

ea eirs:

1. Tubject to the te:. and r1.tios erein netrorh, -t ritional 0ri Vor ecoonstr at'on and ;evelo o

iwt ( =ri*ft r calleZ t e : & er4 a p res to sellto you, and you, by tAwr accritance ereof, arPO to 7ur-ise tro, the Na i 1,OQ0,'f), r Kc'pal gitoct, of

epio2 jtere i-ter calle 'he honds) at 1m of theml on, M "a nvvt reor V 0 !,teret acrued thereon to

a:l vr of i . Iy eA for e w n:ado in-trc .c row, o7 Le ' c9 0,A1v2 on a 'oily

e -oo: . under a on : -roe . t,t Y ro 1, 14, a wee in o of AeVun an the

10 t.te0 .t w .reuc t, cop; o0i n ataco0 0rt>, dea itvd !A Lbt A. The eas

V no ..-Ye ,IV ber torost at te rae of", 1- al a- t , s.all. ro, all be L Wle

U1 E .erw3a as ? ov LOd !n Loe r.e,0 A;Y.11 oe aotatially the fCr:; of tbe resaectv

w a S 1t N . . :- &. 0-> o tr ez re p " .0; a - Stw 1 UV z L U ra "to of tAe Vn

em. sae tereoi 3stL Mal=y in te for, of trc Por:: ofLac sot 7:rx !i rx: 'Mtbt , 11t ed ereto.

3. The '3ank ahl mo delivery of the l3onda on orbefore arci , M, -on st leat five a-a' notiem to-ou, b> aeltvrinp to 7ou at te lflce of the 3nk in -ni

x~oro of istt , Sty ant -tote of "0m yrk, 1a n7tSIi On'o wint toe 'nv "uleyreitee efinI fle loi, >r ate oSa nrve od

u)ollar stvings Sank - 2-of tn CIty of ;ew hrk

rev! stored In your nae. rIor to or 'oltaso s1y wtnmuoh delivery the nln "Y11 fvpn' s t you:

(s) a eoy ortii& by the -47rotsr c t e an ofan rirn o tc nm -ter q' !u t e of 'gdomo elvl , alte br a y 3, lb4m, a a asato the ank, t te efect tat te !on Vre.uentw en 2ed n "onal 'inom of nel4uo

tnn nl-Ian A abassador to the "nited -tkte3 oA.0r0,0 will 1 eally VM1in- on n4 a7 oel i in ZO e-, C0 ac t;~ 1t3 tors ne tha t bonds

subtantially In te for of t e "orns ef 7onds1 4 forth in Tbodulo 2-;A and 'eeule - res-

e-tvpl;, t n oai re twe d n.Walf of VV dow. o ,loi . wlns tni fACS! Ale

nl nature ow te i ter of IM L'0 or i-&7or mli" . i e a-:rss p d of 0 ron ooart

ilvercrrys, e1 V>n ;nbasiad or to the Un tod1"toa of 0eri1 o, ur Or, .ojer 7a-yAns , 2ounellor

to the vlIAnT K baaay in mantnton, will con-Stitute valid, binding, absolute an unconditionalobli atIons of .indo of ielu in aeoordance

!t! ? Wr t rc, awi tint tn" full a tt aicroit of ndel will a s lodge forthe ierfornance off sato obli rationsI

( L opinion, satisfactory to you, of the renoralounsel of te 'ank to the effect that

i thn ank: ha: full and valid t tl to theonv a .n to each of the free of lien

or other encumbranc an! 's duly author-ized, under Its rtilas of Anreeient and

otherwise, to sell th (onds;

(i) the narantee of the '~ank when endorsedn the -- ond5 ~be t tt ally i n the form

-i2 t~e 'ora of wurantee iattached herotoas ~x ibit ' a:i s. .od on he'alf Vf theank by Its reasurr or by an Ass! -tant'rea per will mt ttute a Vali andbit n' obliQatIon of the Kan In acCord-

we w! wtfl Its tor x; and

(11W) uhe sale of tne onds by the wzk, asoonte latedt by tis letter Cad b otner

silMr letter us set forth in paragraph6 oreof, is excopt fro , tne rnvisio n of

action S of the WeOUrNties act of 1 3

<slir ~avinga ank - 3 ->f t:.e City of ;1gw rora

taa eaxi, a t t un r said Act,as now in effelt, any resalC of tteVon by you, if you houlo in theLfuture deeim it expedient to 5e11 anyt'.ereof, would not widro rP1stra-tion of such Ronds tareuindor,

4. Te Ok asres tt as on as rersr tbl, o sibleafter ~e ste wa yon ca rve s recueste , tt 7er .will deliver or cause to be delivered to you at the officeor slencer of t he Va in t .e rouo? of >sn ttan, aty and5tste of ~iew Jorer, without expense to you, in exchngea forand ~aist surrender of the %d delivered to you hereundersac oaned b!,I oo 9 tun t to 1aitar (!'~ a ~1> ' Iiciu el ix:t of >ri ted raietouod

o In .eni, 'natA on of l,O'Y or -ultileA treof, or(i i l e ri 30c 1 a ent uf fu~y ormaved coujen -onsin toe su 4tio of 1,0. 'ubseyient oXChaf es of

pri nted roistered Go ds for s.inted eri tered moruda ofat r e maitions 'r for 1ll u enraved coup>n a4onds, or

of fullye ravu co-o; '-ond f or printed regi terad Sondsa all a :ade uo , y a e t of reasonablo cnarges trirefor.

&. The aolo ..: s: plaiteu by tnis lattor is :aue by thenai in reliance sizo your re;>resentation to tii es w Jch

yo. i e f your ac a , tot yfou are -cnsei:. the ~onds for your QWfl account for investaet &nd notpith - view to t:-e mistribution or resale tneroof, su<deot,

nov rt. lesa, to sn r cne:t o law taat sposi on ofyor ;property snail at all tiimes be within your own control.

6. "he >ank represnta that It is execut.ng agreeentss' d lar in all reapects hereto, .xent as to the a'1ount of

o~ us to ae acid, with four other investors. Th a rewatepr neal1 nount of sonds to he soli to nou atI said fovrother yie tors is l1 , 'XyO, but the sale to eech in-veotor is a senarate sale mtade by the ~an to srch inveator.The rank represents tha t i t has not, either dIrectly or

t.:ro:K any auent, sold or orfered all or any of the Pondsto, or soli cited any offers to buy any thereof froii, orotherwise approached and nenotisad In respect thereof wi th,

onr. , i inw 'tor 8 all1. ~e ankares t at itwll'ot dr ctl or rou any a-u soll orfer n~yof t e '1'rd: to, ~r vnitit a'1y offers 'o buy any thereof

e ,or ulxurw an a proach or nscotiate in repect thereofwith, any ot:er person or ~ersons so as tnioroby to bring theusuanoo or sale of the ?Sonds undter the govisions of S>ection

5 of ti .ec r ties Act of 1l'3 us a eded.

~ollar 5avineg oink oV - 4the City of~ gew York

Ssl "no Jveqotncoract. r ido o I !.u o rde sta o kO -. n8s taoein ra i edt n 4 -l, otid 1s 1 :,.

days rr to zat o o d ti s0cc ledM

>l ic , ic Goto r at *

us ~ t Ov MoLeree

l t o asoyt a u a d7 &a rn tag d

K3. i a~ ~va a eoailbe * aserned in Sectoh fa" V rof i te or fra oft in ret of ton) 'ter et o rt thi n *a tt a or

rf0 -eoo tcionve antsii R koct o thepa oa : f o t r , I I a a t e W P a s t t h, l lpen an be co ntinui,: , t on at a mae auc oae t *

, pon t e wri ttc rth o t off t07 t OI du midonda roprose tin, not loe thBti ff te a Sre atlerin-cipal A otrt t t Cr e t rn las naa et rndo dnolrt sy .l so-o sat-Ot ePotr tQ. tile t

di~~~ tt PO tg:0dcen m

at I y; ,rvidod, howover, tuat t a ~an uball ot b e

to poo e la r d h--.-

L ; ot o " a the 3 9 t to a due andti. SW W1 inot indfautune t

lar aae M t in dt t a A all de-.l aY t a yolA e a e e A u t s t a : nd n g

Xi )o te y a : Von d t e anA l !d drr 01 snull ro ptl . tI y each rleice

t a aLdrOSS o record .o i a se

* iS8S _or a, taaa a . or t , nl v ,- tas

f ta O "he

"05 U1 2-21 M Y 9ov o 6ab1 je i na e ty oh a 1 ..

-P w c " o t - . a r t , i o r ; tej r ro d o r rOt d to eran z 1d liV I no sha l aomo 0t y b~ o~ ~va w t a al e alivred

U,, or V t r y to 'e ti

7noriuet inn 'a rm for -auni nrepl, a,

ad o ' at at aar s Ire oft r r . te to ac ivei or* c r t ,a s d r oa at e r, , . r t sa-S n t e r7 W par 8 ia 11 Yv e a ate by o co into the prty liv!.. or e uiiteeor roquost. e adreses o sec f e ae :iod

(a~ i or tho onk:

Snterati onal hank for ?econstrution and:4 rict off CoiLbaia.

-ollar 3avin-s 2 nr oZ -t..* :i;; or :w m or

(b) ior you:

Do3ar '&vVr at: oC th 2!ty of ew York271, Tird aVeAOnow "ork, - 10 r

"loas V confirm tct the for- oin correoty stsVo:tn tie in ree t b-tyee' you und us by s!-n 3 - t e rorm

of cnfiratton on the enclosed counterpart or t- s 1ttmr"ineae it to u.

Ay to yj

byy

AB/wrk3/11/49

rP v

~-2' orti ndt "treet

ttention: ~r. Alfred C. kid-dlebroo&,Asstant Vic- orIident

erte for::1. Subject to the term a nd conditions ermin set forty

Lnternttional B4anj for M3oonstruction and Develo ent (M e -after called the Iank) hereby agrees to Iell to you, ad ycu,

by your accetsnce hereof, gre to ,uh ae frog the 7nI1,5 3,nn, ,rinciual muount, of nkin Fund Tonds, due roh t,1 9, of 1ndom of telluv (her 1n fter calle tM rnd ) atI m of the orinctl iatount thereof 3od internat 5ccrued thereon

to thM data of deivery of en osyent for such 4onde. ~ntoretacc ry on the fonds ehrll be comnuted on r daily bsl3 uscr

3. The Bonds *h&a. be iseud under -o3n Igreemnt, dtod'arch 1, 19E9, between < ngdom of Ibelgium and the Thank (here'n-

'1tar ed the 'arn Agreement), cony of which is &ttachedhreto, designated Wxhibi t A. The Honda ourchased hereunder

l be r intarest et the rate of 3. r e nnu. ; shall be dated,a 1l1 ,mature, ai~l be mytrble anid ahll be otherwise as ore-videoa ir tho Loain !greement; shell be substantially in the formsof t.a re ective aorms of B4onda set forth in .chedulea 2-' nd

Sof ti'e La ri reement ; and shl U ye the guarr ntee of the3&: k n or ed thermen sub ta. ti ly in the form of the Form ofui r at ee set forth in xhi bit t ti' edr erato.

3. 'e ian: ahell trake delivery of the Bnds on or bef'ore'erch 2 , l'A 3, uoon at least five days' notice to you, by

teliverins to you at the office of te ~in': in the Borouh of~r: tt n, i ty and 4tito of Niew 'yrk, ag in t oay ent o New

YrI Zk.larin7 r o use funid s, one fully resi tered defin itive boaid,printed on En engrved brder, regiater~d in your nate. Priorto or sImultaineusly 'it' sch delivery the Tank Gh~1I furnishto y..g:

Srcony c rtifi'ed by the Xecretory of the Hanof an ooinion of the v1itter of Justice ofingdoe of 4elgI um, dated Fbruary 23, I9) 3,

r. dr s e to the ri , to the effct that theLoe n :Treement when sI gne on bhn:lf of Y Ingdo

~st River Savir, Bank - -

of Hel1um by the Belgian Ambassador to theUnited $tates of iamerica will be legallybinding on Kingdom of Relgium in accordancewit" its terms and th t hon e substvntillyin the forms of the Forma of Bond. set forthin Schedule 2-A and 3chedule 2-', re.nectively,of the Loan Agreement when eigned on behalfof Kingdom of Belgium vith the facsimilesignature of the Minister of Finance ofKingdom of 'elgium and counterained by Baronobrt ilvercruya, telgian Abaswdor to

the United 3tates of America, or ,r. RogerTaymnen, Counsellor to the Belgian mb esy ins4ahIngton, will constitute valid, binding,

&bsolute and unconditional oblirations ofKingdom of Belgium in accordance with theirtermr, and th t the full faith and credit of:ingdom of Belgium will be -edged for theperformance of selA obligations;

(b) a.n oninton, stiaftctory to you, of the eneral3ounsel of the Bank to the effect that

(t) the ank h a full and valld title to theBonds and to eaeh of them free of lienor other encumbrance and is duly au-thorized, under its Articles of Agreementand othrwi e, to sell the Bonds;

(ii) the guarantee of the BarP wlvrn endorsedon the Bond. substantially in the formof the Form of iasrantee attached heretos Exhibit B and signed on behalf of the

Bank by its Treasurer or by an AssistantTreasurer will constitute a valid andbinding obligation of the Ban in accord-ance with itai termi; and

(iii) the sale of the Bonds by the Bank, ascontemnlzted by this letter and by othersimilar letters as set forth in arsgra h6 hereof, is exempt from the orovisionsof -ection 5 of the securities Act of933 as amen ed, nd thnrt under waid Act,

as now in effect, sny re le of the Bondsby you, if you should in the futirp deemit exoedient to sell any thereof, wouldnot reouire registration of such Bondathereunder.

h. The Bank agrees that as soon as reasonably nossibleafter the date when you shell have so r-euest-d, the Bank willdeliver or cause to be deliv-red to you at the office or agency

2sat MUver 3hvin Ir ank - 3 -

of the an in the Torough of mnhtttn, City an State of "ewYork, 'dthout exPene to you, In exchange for ani against*urren er of th Tond deliered to you Qtreun er coo niedby ln oro r4te instrument of 3 igntent, eith r 1 ie3rinciopl moiunt of nrinted regi1tered Bonds in denominationsof 1,2IO or multiples thereof, or ( ) a 1i prinoil amountof fully -ngraved counon Bonds in the denominat'on of 1,T)Q.

sub ouent exchanges of printed registered Bonds for )ritedre imtered Tonde of oth r ienomination or for fully n .r vCuoon 1 onds, or of fully engrved nounon Bonds for rriatedr trered londs shall be made uyon paym nt of recsonabl harges

5. The salle contem' 1 te by thiS letter I y thhn in elitnce uon your rrentiIn to the aich

you confir by your eccent nce hero, tat you are ourc e-sigt~e bonds for your own cc-unt for investment and not -th a

view to the distribution or resrle thereor, suib ect, no v th -lass, to any rouirement of law that disposition of your oro9-rty

S at time be t n your own control.

~. To Bank reoresent that it is eieuting areenrntaaI 'l-r in oll rosoeots hi reto, e cent as to th'e amount of Bonds

to b ( sold, with four other Inve torq. h p r a t )rt!eioAnlamount of onds to be sold to you and Iaid f-ur othvr investors

is l',m33,'l , but the sale to voh investor is a aeorrate salea'e by the Tank to such investor. The 3 n repre nts that it

has not, eitt-r directly or through at y agent, sold or offeredall or :ny of the onds to, or solicited any off-ra to buy any

thor-of ProT, or other4se annro hed nad ne otiate in respectthereVoV with, more than nine Investor3 in all. The Iar -reeeta t it vill not directly or through any .gent sell or off r fny

Vf the iones to, or solicit any of',-ra to buy any thlr-of from,or ather'-Ase e oro: ch or n-otAte in renet thereoa ith, any

ot er oeron or persons so thereby to br'ng the issuance ort . of te Bons unver the jrovisiors of "oction 5 of t e ecurl-

ti ct of 19'3 as T. ed.

7. Tf at any ti e tro rVa s l rece v notice of elpationof n oi of elgium to redeem ny o' thA Bon a S tharn1n pro-

vided, te iin shall, not less thy ri days orior to the dateof redes t on ac'fied in such noti a, mail a cony of suchn toce to ch re I t red hol.r or sond s s to be rede e byregiatond niail &d Iressed to his no ress of record.

q. "f an "'vent of Default as detined Tn otton 1 oferticle "t TU of the Loan #graement in reanect of the neyment of

mnt rn.t on or ur1 -cm 1 or t e aon. s or in ta e erformanos ofta coy n fits in r e ct tr the sinkin_ fund fc-r t e zion 8, all

as in the te s e t forty,, 2:ll hae,n In be continuing, thenen in oc su h cra ete a Ma, u'on dh. "rItte1 re'nun t of theol ar or iol ers of TBonds re re 'nting not lees th n 51 -of the

r r &re ori eo al ount of twe Bonc s then outstanding ad un-w aIr, S oaI r 4 in sid 'ction provided declare the rin' ol

't tlvo ying bikn14

of Al the bonds : t the time outgtnding to be Aue nd oyrbleT-di tely; provided, howaovr, tht the Ann i ts! not be re-

nilry 1o to declAr# the orinc11l of t e on3 to V- yne'

nro-ble o on a the wn iA not in Oefaalt under 1,6 IuTnto-

of the nS. Tf ot any time the Onk l"17 'o1Qre t, ,r' ipalof ll t'e "ona at th- time outatandin, due Pnd nrynble An7-

0itely sa in th BNa Lid te korn zreement 0170"na, tVe

-n: shail prcoptly nntify a c. raitered holder o ",Vs there-

of by re istered mail -Mdreee to tin "idres of roco-Q.

q. esra. organ Atanley , Co. and mith, rny --r.

re wti~n. wa th- genta of the krnk In tis tr nnrctlon ka'

will he comuneated by the Aenk.

10. -wcent oa herein exresily othoralie orovided, anynotice, cervn& or repueqt requtred or iarmltt-d to he given or

nw ""reinL r sahll bp in YritHn7 and anl! b- dp-mi to rvve

hpw "Aly iven when it shrl be ePlvered in "rWtin- or bytelegr a to the orty to which quch notice, demand or n-nievt

1; r-qgtred or oermitted to be niver or m de nt Itq res

hereinnftr ioec!fQPd, or at such othear Pd ra - s .uch wrty6VHi Wove dep neted by notice in wrttirn to t opnty ivinj_

or n. such notion, limad or rpmoet. The Airwls to

Apecif-id are:

(') For the bank:

'nternRational 4nk for Aesanatruction andevelnm t, 1PI" V !traet, 4. ., .irny to. 15,

l10strict f 7iumbin.

(b) For you:

ea& RIver yving2L~ ortlnlt ,treet

ew York, :Aw Thrk

Attention: r. Alfr-0 -Iddlproor,Asnq itnnt Vice--raldent

'lee -onfirm th-t th, forgoing on-rnctly 3t3 forth the

v re nvrt 4-1-een ynu and us by 5i nan the form o' confirti- n

on th enclosed countero>rt of this ltter -nd returninv to to

us.

0-ry truly yours,

ni 1 4L An7

by

IVY 114 9:

~. , -orner Ath avenue

eOW org *w fork

Atten1tion: 3dr. ~tilin B. LC 3.LdTseeretary

Doar 'irm:

1. Ject to t:.e t rna al oe i tiOn5 h8reI set

rorth, Interatioa -ak ror necr>stractona and 7evelo2-ent her tnafter cmll3d t e , ) e y a reea to nelU

)nn vo, y sour mcceptanCO hereof, rr. to

', m v e r

~in ~~ und Thnds, den -arch 3., 1%6~, of 'igdo of#3I ~(cer&i n f tor ca13ed the ' on~s a ::t 3.') of t'e

)IA ln3 anonnt tnereof a~ i uterest accrnud t- ereon tothe Ums eliveory of a'o say unt f -r suc ~: -3

ntre ascrucd on t e ods shall tbe comiputed oe a t1a - fvactor.

2. ~ o'~d s~al ~ se -nUr a Lzem Arse ttod >re , UIC4, betwecalid -> colA1 a~ ast1 ter 11e te :o m rce , oft

>t' so sm~u seer somll year iatereat at the rate of

le 1 3.a z .. rwie r3 yvI ed la t .e ~oere rit; nl a USt Mtial is the Zor aso t>h# rew-Liuve oras oi :orms siet fort in Jcnedulosa an c-

n;' t e hoer egree e t; u 4: sh.el1 :ve thf :uar& 1t@ of thesaa en dorsed th eroon sa tantIally in tse for:m of the~ore of nurantt* set forth in rxhitit -. attached ::ereto.

3. lean,:al1l ntuo del'.very of the Ac a on orbeffore Tlaroa 2 1 49', aon loet five da a' notice toyou,y a eliver.~ to s t t",ofr c of thoe akIn the

ort f 'n.tta, t and Stat, or er mkaeta orn Vn :ew 'ork leeri .~oiue funds, one fullyr

re iatered definitIve pond, printed on an enrraved border,

.ew York "*vI s ak -2 -

reristerod in you ae. "nior to or 8t~ultaeo18lywtth 8oh de1venv the Th shell tm s to you:

(a) a cony cert' Fed by the "ecrotary of the ank'a 1 1 of o inter of Jit!ce of

i 1-of f Iul, dated february 23, 105adiressed to thu 3an, to the effect tLt the

Loan -ree. it When s!-ned on behalf of !Io v off gl un by the ;elinn A baesador to

te n;teci tkt0n ofW , , 7a W11 be lo allyI ,i, on I no . & elio in ameordanc

wYt itn 1er i1 a1 v.t bon"a stantially Inf forns o7t e :%rms of omn set forth In

oh&Lulo 2-. a c:.edule 2-. respectIvely,of tae oan Area e -t w~ e ai ed on hUealfof i : , m t e 2acsI:leaW-

tureo :jti i aer of ac of Ida doF 40. 1 e an on.Aer '.. a b; ,a rop obert

-, Lin &Svr to e tedI1040a N eriO, r *.o r &y an, oau-sailor to tMe lgan bassy In :Oamilton,vill monst"t :te vali, bIndi 1, absolute and

con I tonal li U. tone of .I 1nion of l3e!"!YuI acoordance wI th their ter:s, ad tat the

full In th ad cre t of I.rdo o Bel w 0be pldd ff or the prfommnce of said ,b1Ia-

tios

(b) vn Aiaon, at ieactory to you, of the (enerai?ouo1 of the VOnk to the ffeot that

( Che q0s full and valid title tott e ,nds na~ to eadh of them tree

of l'en or other e:.cunbiarce and isWu3 aathorized, under ItS Artices

ro uent a ote mwise, to sell

fill b i ne" oT te a n whn endorsedon ve ois V auta ttall in e form

ofW vt a of uarantee Wttac- rtoas x:Zbit b and alned on behalf of the

m tby its Preasurer or by an Assi stantreaa rer will constitute a vali and

binAini- oli: Gt1on of the Danz in accord-once t to'te terns; and

New York 3aviua 3 2k C -

(lii tile sale oa teu lands ythas cont rlotd by t -Is letter byM..t r idier ltMrs aa set forth in

pu are f, is *xeyit frone .OnV 8lO.u If Jeeta o tie 1o-i

Voa aL of la s a sended, an tua tUmer 8aid ACt, aS 20W in *t$,ct, any

resae c th, doa by. you, it youshul: i. tae fture de it eXsoebetto neVJ any thereof, would not requirere: stra n ot SUCh ions ter under,

4. Tho ~ank a roes tuat a, so n as reas >nably aisbleafter e~n dte den yo srali have so re' ted, te 'anktI delIver or exe to be olv red to yoi at V e of e ora ency of tw i3n in the orou h of 'snattan, ht ntate of oew Bork, wt thout eoienso to you, in ox ar. for andoa & a sur eder ot the 3o d .1l vored to you ecrs odr -oAanied by an approprute instru-e't of ass!cnnent, eithera 1i1 -' r i ict al i~ourt of - ri tted -e stered moo sindeoni t o o or 1,flT ar 'ilti plos t ereof, or (fl a liken~ iial amount of telly naraved coupon B>onds in the denom ia-tonof l, m . bUcue t eiiana e s of w: nted regi steredoas for Wi ted r otorod On o otr.o ully eo raved couonThds, or of full7 egrave ou:>onaod f or pri nted re ae 3ono stall be miade upon oa~nt

b. o2K sejo ete' ted by th~a lotter in nade by the~ in eliance u~r . r voeoi tattn to the ian, wichyou ofr~ by your &coe tanoe - ere >, t hat you are Eurorms-i ~ t OnSs fo :o or &cco a for iiivestae nt a:l notw~tK~ vow to the di trIaion or resale thereof, suject,vtless, to "t 2 e law tot ':sposi tion oov rop>erty sail at all sl .es be w: thin your owm control.

C. Th hank re resents t.nat i t Isa executing &rree~iemtssa lur in 11 respects rureto, except RS to tue aizount of~onds to be sold, with four other investors. "he aggresaterince.pal anount of 3ons to be sold to you arid said tourothe in esto s ~ 16,)OOOQ~ , but t 4e sale to each investoris a senarate sae aae be the 'mank to such investor. TheXa reinresefltn t a&t it ans not, ett r dr otly or througany acerxt, sold or offered all or an y ftho Bonds to, orsoli cited any o17 ers to btM any thereo1' tro or ott er seap~jwoached and ie ot ated in r s ot thereof with more thannine tnvestors in all. The lank eFreee that it will notdirectly or tkrouch any agent sell or offer any of the noridg

,up Y rk MV.n8sank 4 -

to, or so10t any oWers to buy a y Prec fro , orothrwa aQpooC or ,otlatq Tn respct to rt t ta7F iter ,eraon or mersona io as thereby to brtng theuau (le or sale of~ tee -toud under the 2r) iOnlS ofacetioni 5 o17 the Reeuri ties Kot ot )X3 a. amended,

7. TIl at any tNWO t ashall receIve not e ofelection of - m o 1 to yedyti

as terein >rovided, the ennk shel, ,ot less than C daysto the date o' red vt'on w e i d such notice

a copy3 of such notice to nea reltered nlder of0 -a to re red-ee ed by rA ed "aIl ad sed to hb"Krens of record,

A~t~le T~T #2 he T~ cesr -t in rasec et of' theit i oi pal of tn ona or in theot -e coverl ltg I:d reqtect of the s ir-

mtn, all: in L d set nrv , a 11Wl e c ' Mi , t'1 w !, eac suc case tneu~on te r.tten rocrueat of tde Lolder or holders ci'1. rsnOt F 0 t1 a I tQ 01O1tZ rin-1 1 owe of t e o u "Utsta. ~j e 2 Eallaa 0 t moy av;d declare tnu prllekaal of all -ha a 4 t0 Q x oKSn .t to b( ue a A a onle 1e -0ely; P1 Les, howev r, that t ' 0a0 9el not ro-Lre so to declare the :rInc1pal of the Jona to be due and>"le na lo; at Kc za is not Wn derault under itarantee of tAe .onds. i'f at any time the Mank shall d#-lara the princi pal of all trn. Onr at the time oLtstandIn-

uue and payable ieddel17 as in the 3onds and the 1 oanent provded, tVe Tmp shall wro'otly notQ7 eacwre- stered holer of onds tnereof by registered nsil ad-cres ad to 'ii udca - or ecord.

I. esra, arra- - eley - o. and itt, arney Pio. are acting as he a'ents of the ank in this transac-tion and will c -noensated by the ank.

10. xcept as Ire n exnressly otherwIe provideday notic , or lr r-nr onred or PemItted to beviven or Ade ru de 0h-all h n writW7 and shall bedS one to ve Wey a . ! t all 50 1olveredI r 7 lr- *n the >oty no wkich such notce,emnw or request Is requwrd or ;oItted to be -von ore 6 its "1reai lereinfter pecified, or at such othera1ress as atec party shall have designated by notice inYt to the rty vi ar -. such notice, deandor requost. lhe addresses so specif'ied are:

Pe ok Savtn e ar~k 5 -

roe 0 minh an

Tnter:. tic I48 ank or *Cr t ir> , et, *,

(b) h iu

S. orner

&tq 14ZS. POxrp_ QV'

ABk/wrr3 1 /t4o t Q e m t e r p a r t o f f t t t

Verv trtuIy yourn,

o 'rued:

AB/wrk5/11/49

e j t e e r a, c : .

4 r.ifev celo I aneo-j m-es o e

1. o avnuoew ow york

attumtio: ~r. eo 06uf Dto.V A

nasisa at reaaurr

ej3ect to t~e tartss a:d od ti na :,rei sot

Irt~ , tA 'ai~a fl f or ecntut n daevl

ai V riaffte cile te tan ) :erebya agea to a.lltos y- 7 o y 'r )ccatanup pref, arree t,

":nune frq n3 tan 11"1,11 -N -11sl t,

nd on a, re 'rch 1, 1:O o t n2 o

e urn (her anufter callmd the ond! at 110 of t

m rel couwt t ereo mt ret ac rue tuereof:

t te ate of dei ve n aat say t for s oh a.

Ceret accrued on t s.a, . cote" on S a

?)B , S. B Eiy rast r.

* e :on hal ~aaued der L 06 r8 e. a

in i er 1 wn o4 n :o wfreto sue l LM 0bi W

v n "i tcw a Qrvs7 at to rate if 3.

-sn.il1 0 -Vate, ;nall :turo, w all vp .Vse

m tzvrv so 00 rVie.- : inc Wan , ov ont',

n1 Ar 11 , Il L !P . f 0,-77 vl!

OU t . S I r toff t.:e n

i. stoo -w ot s at. .. ..4r to.

n ' C r !" )- 1 vr r f n a . ns on or

m 4 o eas iv6 a"t v otice to,Ut L" z 1f C Ot ian in the

oew !ork I!? li uais o * 2 -

oro * u a , Ut t o ew orV, aaiut

aid~~~s t sn 4,,-Jr .:tr io s u d , o u

rogistered :defi ndivo Joi, printed on -n &s raved border,reustrod. in our Ase. arior to n aautansJ 0ith

saia delivery t ' ana s I :ois to y

(a) a, c~opy c~ert t by te $cretary of te i Inaof 0 1 piniton of the ii-tor of 0tice of

~ini.don of PMlgIu d ted rebruary LZ', L. 4,addressed to the to lg, to the effect that te

Lo n ::re it when iind onbealf of . in-dm of Mlriuz- the In mbsador to

tie iUnIted 'tatee of, Ameri a will be lerallybndUn on ~in do of ~'eleduii in ecerdane

with Its ternui and that bonds subtatiallyin the for e of the ~orns o od s set forth

In 'ehedule "'-A end ''chedule 2-n, resoecttvely,of theT Ao Trent wen s!ened on behalf of:Kbndom 1, ~iu w t. th faes anle si iatureo' toe i t - r of Sinence off 1 i ngd o of ~ el-ium ii oountereipned by 'aron dnrt ilver-

eru , c1:I n :a sa or to th " nited 'teteso, os - asr ra isn, >unsellor to

th el an~ a ay i. "aa iy , will con-stitute valid, iading, shbsolute and uncondi-

ia3 61I ties of fia ii. oe Uel Iv in ac-cordance wIth tair terais, &i that the full

a t tand crea t of A.g on of Sol i willibela dfr~ t. ,rtor mco of satd o ligatio is;

()an I ii, satisfaotory to yrou, off tne Cenoral;otuseI o thn 1nk to the effect that

(1) the sat has full ans valid titi. totie onds aid to each of theat free

of lien or otier noudnce and isduly athorized, uer Its Arti cle,of gre mnt and otnerw se, to sellthe ,da;

(1A9 tre narantee nf the Bank when en-QorseG on the fonds substantiallyIn the formn of the Port of Guaranteeetteched hereto as Fxhtbit and

wi ened on behalf or tho Mana by its

iew cork ife T noura ce Goipay - 3.

jv -

~rea surer or by & n A si st t 1easrerwill1 c on t tute a valid arid bind t m

ofl~tpr~ of' de ~Ank in accorda-eawth !te terrms; and

(h!A) t~e sa e of tho 3ordn by t h, any, as~orte-;lated by thIs Iotter nd by

ot er s ilar letters as set forth inre rn c i e~e ptt ror. the

provi sio of ~ection b off th Soouri-t0o: A t o' h: as & leded, ou t

undr vid Act, as now in efffeot, anyu, 1e .te o d b; yo, !f

6>Ud n the Luture de it expedientto -all 0ocf (Va t reIr

ri tra tOr. (r ' 40 jonjt L ru ier.

4. 0e :o ra t at as soon as roesonably possibleI v s ri .e(t', -All livr or osse tob .c cler dto you at t office

0 -i te rou 1 of afultta, 2ttq andte of jew aor without *xpenso to .you, in ex e'ne forso 1 or d'to nC. dolivored o you ,eeuin~

co 02 &nio by anpp opri te instrument o0 asst ant,o! ther (I; a ilike pvon a1 &ioint of printed rectered

3onda in denominations off l,Q() or multiples thereof, ora lke ~ri c! i off f 1.y v raved ouoon ro s

Stue deniomiinathon of l, . "babsequent oxcnancas of.n od r sltero toni "or / -ted er e~re a ds ofot r deno I htons or or Cully enraved cou on o d;, or of

~I~ enraved cono on for gr sted reg Iterod norkss11 be miade upon mievt off rean nable charges therof or.

~. The sale eonte olated cy this letter is miado by theIn relisnoc urior your reorevintetion to the Bank, whyo co'irn b7 your acoe ,tenco hwroof, tnot you are euchas-

rir te o .o s or 7oue ~w r acoun for Inve st et and notith a view to the dI athrbu to or resale taereoff, subject,Tet s Ie to .. " r -toe lh tit d; oe . onoyour pro&grty snall ata all tigies be with a your own c trl

C. The 1~ repra itz et it is executing aeoentss1Tilsr in ail. res vce :ereto, excw t na to the auount offei to he vold, Ltn :0 o ther '.ivestors. he aW re ate

rt c 1p a0U o4 2.) to 0eSl o 0 E AId o roer investors -s lC,PY,TD, ouV, the salo tO .eCL investor

is a sopmrato sale Sade by the hank to such investor. The Bank

zew ork Life insurance Co7any - 4 -

represta that it ,as not, either dWrectly or throughany U-ent, sold or offered all or any of the ods toor solicited any Ofers to an r terof f09 o

ot, rwis a nm oed ard e t to in rsan ot the rofith more than nine ,vastor nn all. U ank agrees

that i it will not &rectl7 or ro N iy a nt sell or9fffer&?ny Orth aons t or sol cit no ofersto buyany Mereof fran, or othewi proech or uegrotiate inrespect theroof wIth, any ohr rson or rsors soasthereby to r tne iau ce aal a tn aon n underto pro>vinin oti o n ccl 6 o tyi 3iriaIeto ~as a, su

, Eat o t.e : sk 1l racelve Aoci ofMlWctioz o in;oa of *l i Un to a j n e t aas toereIn provided, tne 11kel, n''t lasin thnaa

-lotothe da.eo rde. ticn specifoe i ue noi 0,Sa topy of such notic. to ac regiatere a I r ofon so to ae rode i by registered "aIl adbre R.d to

uds address off record,

S. IC an bvent of ieferlt as aeft ed in ct i 1 ofrticl, Viii of tho Lonn A~roe nt in resoect of the Lao-aa t if interest on or orinejoal oa th aa or in thelrfornae of the iovenants res pect of the a n in fundf or the 'onds, all sa in the ponds set forth, A all hapsen

s be continuinr, the. ad inr each suh case the 'ontuo t:e wrItteri geq;et o the holdr or hol ,rs of -- I n

epresanti t less t of tqe a rewate prine ipla nt 07 t. ode tn . ritaand i a on a d, Sall as

in said section rovied declare t principal of all the:nds at the tire outnta y ~ to be du e id iayabie im.,e-

S l; r v dd, o wver, tLt the n a hall not be r-ra lar *o - rincI W ? >e due

aMparable so lonv as the ~ank is not in default under .tsaenee of tac a s. . t ar t) a tin Un A1 de-clare za Priai 1 of ll te onds at the 51 0 outstaidin

ue a gbl I nd ate ana t nao saadtho Lnno at sv n , m te a>oall rtly notify each

re~dstored holdr of 'o Ca tw-reof by r istered il ad-ressd to ha adurest of record.

- e esars. Ar 7 tanley v Co. A Cmit, Yrney 1o. are act as the a . its of the ank in this trasac-

ti a- will e e ssted by t1e aank,

11. xcert ae herein ezpressly othrM e provided, anynotice, de-ad or request required or pormitted to e Lven

or r&dohe reundor shall be in iritins a shall be deed to

Wk e ire rac 2omny - n w

.uvo boon aul: _vo we: t- sall o oel re Ioler o n xt;tewoh sLea ,. O,

S Or' r n :0 aeU; rn > W itt to be givo.S- I t a arosa ;roi ator :poifIed, or it eh

vP.o aQ"resS nj rec- ._w, s mil vve as -betav u,0t0Oe n Wr I to art; , l- or MA'. su h no-

Wee, de "i. or request, 'ie reo so ecifid ere:

(a : 'or the on :

T nAtrI t7 on- 0 n f7or econstructon i ; 0-veloeat 183 -Atreet, ,'*inta'o

striat of olu bia.

(b) or 7o:

Ne 'ork TIf -,no.ancc M n 131 a son Avenu

~ew york, oew ork

Att: v. vett oodunf, hnacervt e tpt .0t a : Assit0nt 'ras.rer

lease cnfu'irau t t~ --- orooIa oorrOe1t1y sets forth'Vol -it btweonl vm ann us by aIan the or of

~o:~~rcion on tre e i1osed courner.aart on' th's lettor anret rni: !t to us,

-2M A LO2 Q~verGru: murs,

by

UT~ Y)RK LtyP?" A <URA 0 CMANY

by

AB/wrk3/11/49

No. 260-48)

INTERNATIONl BANK FOR RECONSTRUCTION AND )EVELOPMENT

INCOMING WIRE

Date of Wire MARCH 8, 1949

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENTTo WASHINGTON, D.C.

From BRUXELLES

TEXT: FOR MCLAIN

TEXT OF VISA TO BE PRINTED ON BOUNDS AND FACSIMILE SIGNATURE

OU DES COMPTES WERE SENT YESTERDAY AIR MAIL BELGIAN

AMBASSADOR.

BERGER

ROUTING:ACTION copy to MR. MCLAIN

INFORMATION copy to

Decoded by

DUPLICATE

p L

6 Ic'>~p 12.




DRAFT OF AGREEMENT

March , 1949

Dear Sirs:

1. Subject to the terms and conditions herein set forth,

International Bank for Reconstruction and Development (herein-

after called the Bank) hereby agrees to sell to you, and you,

by your acceptance hereof, agree to purchase from the Bank

$ , principal amount, of Sinking Fund Bonds, due

March 1, 1969, of Kingdom of Belgium (hereinafter called the

Bonds) at 100% of the principal amount thereof and interest

accrued thereon to the date of delivery of and payment for such

Bonds. Interest accrued on the Bonds shall be computed on a

daily basis, using a 365-day factor.

2. The Bonds shall be issued under a Loan Agreement, dated

March 1, 1949, between Kingdom of Belgium and the Bank (herein-

after called the Loan Agreement), a copy of which is attached

hereto, designated Exhibit A. The Bonds purchased hereunder

shall bear interest at the rate of 3% per annum; shall be dated,

shall mature, shall be payable and shall be otherwise as provided

-2-

in the Loan Agreement; shall be substantially in the forms of

the respective Forms of Bonds set forth in Schedules 2-A and

2-B of the Loan Agreement; and shall have the guarantee of the

Bank endorsed thereon substantially in the form of the Form of

Guarantee set forth in Exhibit B attached hereto.

3. The Bank shall make delivery of the Bonds on or before

March 28, 1949, upon at least five days' notice to you, by

delivering to you at the office of the Bank in the Borough of

Manhattan, City and State of New York, against payment in

New York Clearing House funds, one fully registered definitive

Bond, printed on an engraved border, registered in your name.

Prior to or simultaneously with such delivery the Bank shall

furnish to you:

(a) a copy certified by the Secretary of the Bank of anopinion of the Minister of Justice of Kingdom ofBelgium, dated February 23, 1949, addressed to theBank, to the effect that the Loan Agreement whensigned on behalf of Kingdom of Belgium by the BelgianAmbassador to the United States of America will belegally binding on Kingdom of Belgium in accordancewith its terms and that bonds substantially in theforms of the Forms of Bonds set forth in Schedule 2-Aand Schedule 2-B, respectively, of the Loan Agreementwhen signed on behalf of Kingdom of Belgium with thefacsimile signature of the Minister of Finance ofKingdom of Belgium and countersigned by Baron RobertSilvercruys, Belgian Ambassador to the United Statesof America, or Mr. Roger Taymans, Counsellor to theBelgian Embassy in Washington, will constitute valid,binding, absolute and unconditional obligations ofKingdom of Belgium in accordance with their terms,and that the full faith and credit of Kingdom ofBelgium will be pledged for the performance of saidobligations;

(b) an opinion, satisfactory to you, of the General Counselof the Bank to the effect that

-3-

(i) the Bank has full and valid title to the Bonds andto each of them free of lien or other encumbranceand is duly authorized, under its Articles ofAgreement and otherwise, to sell the Bonds;

(ii) the guarantee of the Bank when endorsed on theBonds substantially in the form of the Form ofGuarantee attached hereto as Exhibit B and signedon behalf of the Bank by its Treasurer or by anAssistant Treasurer will constitute a valid andbinding obligation of the Bank in accordance withits terms; and

(iii) the sale of the Bonds by the Bank, as contemplatedby this letter and by other similar letters as setforth in paragraph 6 hereof, is exempt from theprovisions of Section 5 of the Securities Act of1933 as amended, and that under said Act, as now ineffect, any resale of the Bonds by you, if you shouldin the future deem it expedient to sell any thereof,would not require registration of such Bonds there-under.

4. The B,. " agrees that as soon as reasonably possible after

the date when you shall have so requested, the Bank will deliver or

cause to be delivered to you at the office or agency of the Bank in

the Borough of Ianhattan, City and State of New York, without ex-

pense to you, in exchange for and against surrender of the Bond

delivered to you hereunder accompanied by an appropriate instru-

ment of assignment, either (i) a like principal amount of printed

registered Bonds in denominations of $ 1,000 or multiples thereof,

or (ii) a like principal amount of fully engraved coupon Bonds in

the denomination of $ 1,000. Subsequent exchanges of printed

registered Bonds for printed registered Bonds of other denomi-

nations or for fully engraved coupon Bonds, or of fully engraved

coupon Bonds for printed registered Bonds shall be made upon

payment of reasonable charges therefor.

5. The sale contemplated by this letter is made by the

Bank in reliance upon your representation to the Bank, which

you confirm by your acceptance hereof, that you are purchasing

the Bonds for your own account for investment and not with a

view to the distribution or resale thereof, subject, neverthe-

less, to any requirement of law that disposition of your property

shall at all times be within your own control.

6. The Bank represents that it is executing agreements

similar in all respects hereto, except as to the amount of Bonds

to be sold, with other investors. The aggregate principal

amount of Bonds to be sold to you and said other investors

is $ , but the sale to each investor is a separate sale

made by the Bank to such investor. The Bank represents that is

has not, either directly or through any agent, sold or offered

all or any of the Bonds to, or solicited any offers to buy any

thereof from, or otherwise approached and negotiated in respect

thereof with, more than investors in all. The Bank agrees

that it will not directly or through any agent sell or offer any

of the Bonds to, or solicit any offers to buy any thereof from,

or otherwise approach or negotiate in respect thereof with, any

other person or persons so as thereby to bring the issuance or

sale of the Bonds under the provisions of Section 5 of the Securi-

ties Act of 1933 as amended.

-5-

7. If at any time the Bank shall receive notice of election

of Kingdom of Belgium to redeem any of the Bonds as therein pro-

vided, the Bank shall, not less than 60 days prior to the date

of redemption specified in such notice, mail a copy of such

notice to each registered holder of Bonds so to be redeemed by

registered mail addressed to his address of record.

8. If at any time the Bank shall declare the principal of

a11 the Bonds at the time outstanding due and payable immediately

as in the Bonds and the Loan Agreement provided, the Bank shall

promptly notify each registered holder of Bonds thereof by registered

mail addressed to his address of record.

9. Messrs. Morgan Stanley & Co. and Smith, Barney & Co. are

acting as the agents of the Bank in this transaction and will be

compensated by the Bank.

10. Except as herein expressly otherwise provided, any

notice, demand or request required or permitted to be given or

made hereunder shall be in writing and shall be deemed to have

been duly given when it shall be delivered in writing or by

telegram to the party to which such notice, demand or request

is required or permitted to be given or made at its address here-

inafter specified, or at such other address as such party shall

have designated by notice in writing to the party giving or

making such notice, demand or request. The addresses so specified

are:

(a) For the Bank:

International Bank for Reconstruction and Development,

1818 H Street, N.W., Washington 25, District of

Columbia.

(b) For you:

Please confirm that the foregoing correctly sets forth the

agreement between you and us by signing the form of confirmation

on the enclosed counterpart of this letter and returning it to

us.

Very truly yours,

INTERNATIONAL BANK FOR RECONSTRUCTIONAND DEVELOPMENT

by

Confirmed:

by

EXHIBIT B

Form of Guarantee

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT,

an international institution established by Articles of Agreement

among the Governments signatory thereto (hereinafter called the

Bank), for value received, as primary obligor and not as surety

merely, hereby absolutely and unconditionally guarantees, and

pledges its full faith and credit for, the due and punctual payment

of the principal and redemption price of the within Bond and the

interest thereon, and the due and punctual performance of the

co$venants in respect of sinking fund, all as set forth in said Bcnd.

The obligation of the Bank under this guarantee is not

subject to any prior notice to, demand upon or action against the

Kingdom of Belgium, or to any prior notice to or demand upon the

Bank with regard to any default by said Kingdom of Belgium in

respect of any of its obligations set forth in said Bond. No

extension of time or forbearance given to said Kingdom of Belgium

in respect of the performance of its obligations under said Bond,

and no failure of any holder of said Bond to give any notice or to

make any demand or protest whatsoever, or strictly to assert any

right or pursue any remedy against said Kingdom of Belgium in respect

of said Bond, shall in any way terminate, diminish or limit the un-

conditional guarantee of the Bank hereunder.

THIS GUARANTEE IS NOT THE OBLIGATION OF ANY GOVERNMENT.


by

Assistant Treasurer

The Wotrld Bank Group



1535526



Correspondents / ParticipantsTo: Mr. Cortelyou L. SimonsonFrom: Mr. Chester A. McLain

Subject / TitleBelgian Bonds


Additional Comments


Withdrawn by Date



FORM NO. 27(7.48)

INTERNATIONt , BANK FOR RECONSTRUCTION ANL JEVELOPMENT

OUTGOING WIRE

Date: arch 4, 1949) CLASS OF SERVICE DESIRED

To: "ANKTO ALF FULL RATE ] NIGHT LETTER EXCQ7LS (Tielg ium) DAY LETTER[] CODE RATE El

TEXT:

vIFOR BERGEi STOP TJIAUKS FOR GABIE STOP PLEA2E CABLE TEXT OF

VISA TO BE ?.I-TED T .OIDS STOP PRITER E S SPECIMEN

ST"IATUMES COUR DES CO P'ES BEFORE END NEXT

>iCLAIN

OFFICIAL X

PERSONAL L]AUTHORIZED BY: CLEARED BY:

NAME A. Broches

DEPT- Legal

AUTHENTICATED FOR DISPATCH BY:

DUPLICATE

I 7. .

3 H

No. 26.4p) ~

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT

INCOMING WIRE

Date of Wire MARCH 4 1949

INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENTTo WASHINGTON, D.C.

From BRUXELLES

TEXT: ATTENTION BROCJES. COURS DES COMPTES GAVE ITS ACCORD TO

SEND 1ACSIMILE SIGNATURE TO ANBASSADOR FOR DELIVERY TO

INTEAFRAD.

BERGER

ROUTING:ACTION copy to MR. BROCHES

INFORMATION copy to

Decoded by

DUPLICATE

- - ;

i

M NO. 27(7.48)

INTERNATIONi BANK FOR RECONSTRUCTION ANL JEVELOPMENT

OUTGOING WIRE

CLASS OF SERVICE DESIREDDate: arch 3, 1S,49

To kI L FULL RATE L NIGHT LETTER [To: B3ANKIONALE

Brussels (31giuf) ) DAY LET'ER - CDE RATE Li

TEXT: FOR BERGER STOP 1ONFIR:IG OUR TELEPHONE CONVERSATION IT IS

ESET ITAL THAT VISA OF COUR DES CO. PTES CAN BE PLACED ON

"ODS "ITHOUT REQUIRTT BONDS TO BE SNT TO -7ELGTUM TOP

NECE1SARY THEREFORE ETP ER TO PRINT VISA ITTH ACSI"IIE

SIGNATURE OR AUTHTfR7ZE A ASADOR TO STGN VISA ON FEHAIF

COUP DE! COMPTES

BROCHESI 1!J'BAFRAD

OFFICIAL X

PERSONAL r]

AUTHORIZED BY: CLEARED BY:

NAME A. B3roches

DEPT. Legal

AUTHENTICATED FOR DISPATCH BY:

DUPLICATE

Arch 1, 1 49

SInv a 0 0ry o.or a 14 all treet

2 all 7treet

~ew 'Yor<, I . .e ok

~ear r:all nr wt~ to cf'0' '0t r u V ut r

veere

oor al~~11

wil if Op !a:< ZI tioru So layt LO Ao o ~ssc offers.

it 3 fov .o U~O~'StOOt at Qu will not solIcit

It s frtlsr uonuctoea no VW wi apOt

WiferS to bu an fj th ,onds fro, or oems nudr oaOO

or e -otiate nt r speCt tueroot with, suc a s to o k to e

lassCS o' perso ns, or I suc- cir et to tf , a isio n he t

s olt cit s o f tu e 2 f turf t ne s c t o lC 3 m a s ar U d e, a th a t

s co n il vo r in wc r tiX , as wel ay from tie to titae

ou ilt ofr the ~ain ari te lu> ier' of those frco who. you

requelt o soineO offesors to buy anyT of the ondS, or whou

yo Ol .VC t ~ewse aproached or w th whomn you hvc otier-

Wise ne "otiated in reoopeCt therof.

As compensa)tLOn for <our serviCes hereund~er we will pay

ousi/4 ot tr oM'e he agv regtte by yo thin the period above

ctra nt tI' ofes l sub t au rch fer5, w e will r'ei burse

statc d for 'o r re 5 oO bl eE a o ccln Ctio n with the

solicitatii On theroof .

- 2 -

Please olfirmt that the foiero t co;'iectly setsforth the a-ree t between rou ariO s by s in t 'orof co&f r-,ati o-1 on the elosed countorpart of s ln t terand returnncg It to us.

-trulyr yours,

by

ABroches/wrk

-e-

MAR l

LFGAL DEPARRRIT FIEw d.a r. I&0lo.

'Ma'U T'dnce it*t-Ie rqetddhnri'3letter of February 21, 1949:

I hereby confirm that the Government of the UnitedStates of America hua approved, and hereby does approve,tho sale by said B3nk in the United States from Uius totime of not exceeding $16,000,000, aggregate principalamunt, of bonds of the Kingdom of Belgium in tiich theBank will have invested and which it will have guaranteedan set forth in your letter.

ery truly ZM

Chai National Adv 1sory Co ilon Internatioa bnetar' and Financi Probleme

t Mr. John J. byPresident, International Bank for

Reconstruction and Development_ aarL.njton, D. C.

r - -

r4p 44

T T C E T CTARY OF THT T EAIURY

WAS)KINGTON

Mar. 1, 1949

ky dear r : cCloy:

In accordance with the request contained in yourletter Of February 21, 1949:

I hereby confirm that the Government of the UnitedStates of America 1as approved, and hereby does a prove,the sale by said Bank in the United States from time totime of not exceeding 416,o0,,oov aggregate principal,mount, of bonds of the Iingdon of lelgium in hich the

ank will have invested and which it wil . have g:uaranteedas set forth in your letter.

Very truly yours,

Chairman, :ational Advisory Councilon international Monetary and Financial

Problems

Jr, John J. oCloyPresident, International Bank for

ieconstruction and Development.a hinstor, iD.C.

INTERNATIONAL BANK FORRECONSTRUCTION AN EVELOPMENT

WASHINGTON D. C.

07PICE OF THE PRESIODNT

March 1, 1949


Referring to Article V of the Loan Agreement of evendate herewith between Kingdom of Belgium and InternationalBank for Reconstruction and Develnpment (hereinafter calledthe Bank), we are writing to confirm our understanding asto certain matters relating to the Bonds to be issued anddelivered to the Bank under the terms of said Loan Agree-ment as follows:

1. Kingdom of Belgium agrees (-l) to deliver to theBank, on or before March 28, 194, one fully registeredBond (which shall include the text of the guerantee ofthe Bank), printed on an engraved border, registered inthe name of the Bank, in the principal amount of $16,000,000;(2) to, deliver to or upon the order of the Bank, in exchangefor such registered Bond, as soon as reasonably possibleafter the date when the Bank shall have so requested, alike pripcipal amount of such registered Bonds in suchauthorized denominations and registered in such names asshall be specified in such request; and (3) to deliver toor upon the order of the Bank, in exchange for any or allof such registered Bonds delivered pursuant to the pro-vision of (2) above, as soon as reasonably possible afterthe date when the Bank shall have so requested, either(i) a like principal amount of such registered Bonds insuch authorized denominations and registered in such namesas shall be specified in such request, or (ii) a likeprincipal amount of fully engraved coupon Bonds (whichshall include th- text of the guarpntee of the Bank) indenominations of $1,000. The Bank shall as promptly aspossible furnish to the Ambassador of Kingdom of Belgiumto the United States the text of the'guarantee of the Bankto be printed or engraved, as the case may be, on the Bonds.All requests for Bonds as In this paragraph provided shallbe addressed to the Ambassador of Kingdom of belgium to the

His Excellency Baron SilvercruysAmbassador of BelgiumWashington, D.C.

- 2 -

United States. Kingdom of Belgium shall bear all expensesin connection with the preparation, issue and delivery ofBonds as provided in this paragraph.

2. Kingdom of Belgium agrees that, as long as anyregistered Bonds shall be outstanding, it will maintain anagent for the registration and transfer thereof in theBorough of Manhattan, in the City and State of New York,United States of America. The Bank is prepared to act asthe agent of Kingdom of Belgium for the registration andtransfer of registered Bonds on the terms and conditionsset forth in the draft of letter attached hereto asExhibit A.

3. Kingdom of Belgium agrees that, as long as anyBonds shall be outstanding, it will maintain a payingagent therefor in the Borough of Manhattan, in the Cityand State of New York, United States of America. TheBank is prepared to act as such paying agent for fullyregistered Bonds on terms and conditions to be agreedupon between the Bank and Kingdom of Belgium. The Bankwould not expect to be compensated for its services assuch paying agent otherwise than by way of reimbursementof out of pocket expenses.

If the foregoing correctly sets forth our agreementwith you ccncerning the above matters, we shall appreciateyour signing the confirmation on the enclosed copy of thisletter and returning it to us.

Very truly yours,

INTERNATIONAL BANK FORRECONSTRUCT ION AND DEVELOPMENT

by

Confirmed:

Exhibit A

Draft of letter to be addressed to the Bank bythe Belgian Ambassador

Dear Sirs:

I am writing to confirm our understanding in respectof the terms and conditions upon which Kingdom of Belgiumhas requested International Bank for Reconstruction andDevelopment (hereinafter called the Bank), and the Bank hasconsented, to act as the agent of Kingdom of Belgium for theregistration and transfer of the Sinking Fund Bonds, dueMarch 1, 1969, of Kingdom of Belgium (hereinafter calledthe Bonds):

1. Kingdom of Belgium appoints the Bank as the agentof Kingdom of Belgium for the registration and transfer ofregistered Bonds.

2. Kingdom of Belgium shall from time to time causeBonds to be executed on its behalf and delivered to the Bankfor delivery by the Bank, on transfers of registered Bonds.

3. The Bank shall maintain books for the registrationand transfer of registered Bonds without coupons and eachtransfer or exchange of such Bonds shall be noted by theBank on such books.

4. The books for the registration and transfer ofregistered Bonds shall be closed for a period of twentycalendar days prior to, and including, any date fixed forthe payment of interest on or principal of the Bonds orfor the redemption of Bonds.

5. All Bonds which shall be surrendered to the Bankfor transfer or exchange as herein provided shall be can-celled by the Bank and delivered by it to or on the orderof Kingdom of Belgium signed by its Minister of Financeor its Ambassador to the United States.

6. The Bank may act upon the instructions of theMinister of Finance of Kingdom of Belgium or of the Ambassa-dor of Kingdom of Belgium to the United States, and such in-structions shall be full and complete authorization and

protection in respect of any action taken or suffered in

good faith by the Bank hereunder.

7. Kingdom of Belgium will reimburse the Bank for

all out of pocket expenses (including counsel fees) pro-perly incurred by it or account of, or arising out of,its services hereunder.

8. If the Bank shall at any time be in doubt in

respect of its rights and obligations hereunder, or in

respect of the rights of the owner or holder of any Bond,the Bank may advise with legal counsel (who may be the

General Counsel of the Bank), and shall not be answerableor responsible to Kingdom of Belvium for anything done or

suffered by the Bank in good faith and in accordance with

the opinion of such counsel, or in the exercise of its

reasonable discretion.

9. The bank shall be answerable to Kingdom of Belgium

only for failure on the part of the Bank to exercise goodfaith and reasonable care.

10. The Bank shall not be liable for any action taken

by it in reliance upon any instrument or document which

reasonably appears to the Bank to be genuine, and may treat

the registered holder of any Bond as the absolute owner of

such Bond for all purposes.

11. Kingdom of Belgium will indemnify and hold the

Bank harmless from and against all loss, cost, damage and

expense, including counsel fees, arising out of or in con-

nection with the Bank's services hereunder and any action

by the Bank pursuant hereto, as well as the costs and

expenses of defending against any claim of liability in

the premises, unless due to the Bank's own negligence orbad faith.

12. The Bank may at any time resign as the agent of

Kingdom of Belgium hereunder by giving not less than

sixty (60) days' prior notice thereof in writing to Kingdomof Belgium, addressed to its Minister of Finance or itsAmbassador to the United States. Such resignation shalltake effect on the date specified in such notice.

13. The appointment of the Bank as the agent of Kingdomof Belgium hereunder may be terminated at any time by King-dom of Belgium by written notice to the Bank. Upon suchtermination, or upon the resignation of the Bank as such

agent, it shall deliver to or upon the order of Kingdom of

- 3 -

Belgium all securities and other property of Kingdom ofBelgium on deposit with the Bank as agent hereunder andthe books of registry of the Bonds, and shall make andkeep available at all reasonable times thereafter allother books and records maintained by the Bank as agenthereunder.

I shall be glad if you will confirm your agreementwith the foregoing by'signing the attached copy and re-turning it to me.

Very truly yours,

Ambassador of Belgium

Confirmed:

INTERNATIONAL BANK FOR RECONSTRUCTIOhAND DEVELOPMENT

by

Wheofrld Bank Group

Record Removal Notice &RerMag



28 February, 1949 Letter

Correspondents I ParticipantsTo: Mr. Cortelyou L. SimonsonFrom: Mr. A. Broches

Subject / TitleSinking Fund Bonds


Additional Comments


Withdrawn by Date



POWER OF ATTORNEY.

KNOWN ALL MEN BY THESE PRESENTS that the undersigned,

Minister of Finance of the Kingdom of Belgium, in accordance

With the provisions of the Decree of the Regent of the

Kingdom of Belgium dated Februar 19, 1949, hereby consti-

tutes and appoints Mr. baron Robert Silvercruys, Belgian

Ambassador to the United States of America or Mr. Roger

Taymans, Counsellor to the Belgian Embassy in Washington

authorized representatives to countersign for original

issue Sinking Fund Bonds 'due March 1, 1969, of the Kingdom

of Belgium in the aggregate principal amount of $ 16.000.000

(hereinafter called the Bonds); and to countersign the

Bonds on denominational exchanges and exchanges an between

coupon bonds and fully registered bonds without coupons,

on transfers of fully registered bonds without coupons and

replacement of mutilated, lost or destroyed bonds.

IN WITNESS WHEREOF the undersigned has hereunto

set his hand and seal this twenty third day of Yebruary

1949.

Minister of Finance.

Opinion of the Belgian Ministerof Justice Viwe bo addressed tothe International Bank.

The undersigned, If. Moreau de Melen, Minister of

Justice of the Kingdom of Belgium, has examined the following

documents, a copy of each of which is annexed hereto:

1. The text of a loan agreement between Kingdom of

Beljium and International Bank for Reconstruction and Deve-

lopment (hereinafter called the Bank) and the schedules re-

ferred to therein, providing for a loan of X 16,000,000 from

the Bank to Kingdom of Belgium on the terms and conditions

therein set forth.

2. Loan Regulations No 1 of the Bank.

5. A Decree of the Regent of the Kingdom of Belgium,

dated February.19, 1949, countersigned by the Minister of

Finance, duly published in the Moniteur Belge dated }ebruary 23

1949 , authorizing a loan substantially on the terms and

conditions of the attached text of loan agreement, and au-

thorizing the Ambassador of the Kingdom of Belgium to the

United States to execute and deliver to the Bank a loan

agreement substantially in the form of the attached text of

loan agreement.

4. A power of attorney executed by the Minister of Finance

authorizing Mr. baron Robert Silvercruys, Belgian Ambassador to the

United States of America or Mr. Roger TaymanaCounsellor to the

Belgian Embassy in Washington to countersign the bonds to be issued

and to be delivered to the Bank as provided under Article V of the

attached text of loan agreement.

On the basis of such examination it is his opinion that a

loan agreement substantially in the forms of the attached text of

loan agreement when' signed on behalf of the Kingdom of Belgium by

the Belgian Ambassador to the United States will be legally binding

on the Kingdom of Belgium in accordance with its terms. It is

furthermore his opinion that bonds substantially in the form of

the forms of Bonds set forth in Schedule 2-A and Schedule 2-B,

respectively, of the attached text of loan agreement when signed

on behalf of the Kingdom of Belgium with the facsimile signature

of the Minister of Finance of Belgfum and countersigned by Mr. baron

Robert Sflvercruys, Belgian Ambassador to the United States of

America or Mr. Roger Taymans,Counsellor to the Belgian Embassy in

Washington, and delivered to the Bank, will constitue valid, binding,

absolute and unconditional obligations of the Kingdom of Belgium in

accordance with their terms, and that the full faith and credit of

the Kingdom of Belgium will be pledged for the performance of said

obligations.

Minister of Justice ofthe Kingdom of Belgium.

DATED: February 23, 1949.

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WBG ARCHIVES RESALE OF BEWTAN BODS

S1IARY OF ARGUNENTS AT =ETING OF STAFF LOAN CO141ITTEE, OCTOBER 26, 1948.

1. The OcumMtee discussed whether, if the proposed Belgian loan of' $16.8 million

were made, the bonds should be resold.

2. Resale of such bonds was opposed on the grounds that:

(a) Belgian bonds would be among the best in the Bank's portfolio; if

investors were permitted to withdraw such items, the Bank would be

left holding the less desirable ones, which might lessen confidence

in the Bank's own bonds.

(b) Resale of such bonds would not be necessary in order to raise new

funds for further lending, since the same could be accomplished through

flotation of new issues of the Bank's bonds.

3. On the other hand, it was argued that:

(a) Frequent issues of the Bank's own bonds would induce an adverse

psychological reaction in the market.

(b) Sales from the Bank's portfolio could be made in almost any amount

and at any time, and could thus be more closely attuned to the Bank's

needs for funds than could the more cumbersome process of issuance of

the Bank's own bonds.

(c) Since the Bank would retain the risk of default whether or not it

resold a given loan, it would make little difference from the standpoint

of the Bank's general credit whether it had resold certain bonds or

which ones they might have been.

(d) The Bank's guarantee, rather than the intrinsic worth of the obligation

of the borrower, would be the basic element in the value of its guaranteed

bonds. Once the market would become used to such issues, it would

probably be willing to purchase any of them, the less desirable as well

as the more.

4. The Committee agreed that in the event that this loan be made, the Bank

should endeavor to resell the Belgian bonds.

5. The Committee agreed that in most instances it would be advisable for the

Bank to negotiate the loan and then resell the bonds, rather than for the Bank

to affix its guarantee to a loan in the negotiatio*f which it had not partici-

pated.

6. The Committee was also informed that the Belgian Government might request

that Morgan, Stanley & Co. be permitted to be present at negotiations as its

advisor, and it was agreed that although the presence of representatives ofan

investment banking house at the council table might serve as a delaying factor

in negotiations, if the borrower were to request that such representatives be

permitted to be present as its advisors, the Bank would have to give its consent.

7. The Committee discussed what preferences, if any, should be granted to

Morgan, Stanley & Co. in the marketing of such Belgian bonds as would be resold,

if they were to serve as advisors to the Belgian Government, with their fees

paid by that Government. It was agreed that, if the Belgian Government so

requested,

(a) Morgan, Stanley & Co. would be given the first opportunity to market

such bonds.

(b) If more favorable offers were received fram others for all or part of

the issue, that Morgan, Stanley & Co. be given the opportunity to meet

such offers, but that such offers should be accepted if Morgan, Stanley

& Co. fai4to meet them.

ARosenthalNovember 3, 1948.

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