This compromise did not include the pre-war bonds issued to aid the North Carolina Railroad.

This corporation was a going concern, and as the result of a suit the stock had been sequestrated.

A compromise with the holders of these bonds was made at eighty per cent of par and interest.
As a result of this wholesale repudiation the debt of the State was so reduced that it could be carried.

In all over $22,000,000 besides other millions of accrued interest were repudiated.[1] [Footnote 1: J.G.de R.Hamilton, _Reconstruction in North Carolina_, pp.

448-449, 659-661.] Not all of the creditors of the State accepted the compromise at once, but the offer was left open and, as the years went on and the State showed no signs of a change of intention, the bondholders gradually recognized the inevitable.