The daily morning Astorian. [volume] (Astoria, Oregon) 1883-1899, 1897-10-16
Offered to Spain to Stop the Cuban
War on Honorable Terms.
REASON FOR A NEW CABINET
BsSL Of Spain and Frsuee kould Fat Up No
More Mar HOssy and BondhOlders
Would Not Accept Less Isterest.

New York. October l5.-The Herald
publishes the following. based on high
authority. which 1t claims is substan-
tally the instructions issued By Presl.
dent Mckinley 70 Minister woodford 10
the Spanish queen:
None but the mos, kindly relations
exist between the present administra.
ton and Spain. and as far a. lies In
the power Of the administration they Will
continue. The belligerency resolution
which passed the senate at the last ses-
sion Of congress merely bore the evidence
OF The tremendous popular feeling
throughout this country In favor OF
Cuba. The house. TO be sure. voted
down the resolution passed by the SEN
ate. But this was with view 70 post
poning the issue and not dong anything
for the moment that could be construed
as hostile TO Spain. The house like the
senate Is strongly in sympathy with
Cuba. This feeling OF sympathy through
out the United States will undoubtedly
take shape as soon as congress convenes
and 1t was necessary for the president
to communicate 10 congress such rec
concentrations as he deems best 10 make
In regard to Cuban affairs. Under the
circumstances. the government Of the
United States tenders its best offices 20
mediate between Spain and Cuba and
It offers to mediate so as to bring the
war TO an end on such terms as will
be honorable to both parties. This gov
ernment expresses the hope that Spain
will reply by the end Of October. as
that will give the president a chance to
report to congress by the time it con.
venes.
The Herald also publishes the fellow
Ing. which it claims details the rea,
circumstances which led to the downfall
OF the old cabinet:
Nearly all Of the Spanish bonds have
been floated in France and the recen,
loans have been placed there. but the
latest application for further loans has
not been favorably responded to. The
only means therefore of raising money
was through the Bank Of Spain. TO which
application was made at the rate of So
100000 pesetas, or sl2,OOOOOO a month in
ORDER to carry on the war in Cuba and
the Philippine Islands The Bank OF
Spain declined to make further advances
TO the government several weeks ago
and the cabinet thereupon removed tho
governor Of the bank The recently ap-
pointed governor OF the bank therefore
tried to force upon the bank committee.
or board Of directors. the application of
the government for additional loans. but
his efforts failed. This was followed by
the determination Of the cabinet TO
take steps to reduce the interest rate
on the government bonds of to per
cetn to Sis and per cent respectively.
Immediately the cabinet was deluged
with proposals. Some of the objections
came from persons high in authority
and in position to dictate terms to
Spain, The combined weight Of conserv-
atves In Spain, which embraced as indi-
Gated, the bulk of the holders of span-
ish bonds, whose interest would be cut
In two. Immediately answered this prop
osition with the suggestion that 1t would
be far better to stop all war expenses
than to adopt such a radical course.
In fact many of the conservatives said
ii would be better to gain anything in
the way of indemnity which Spain could
obtain by the sacrifice Of sovereignty and
accepting an offer to grant liberty 10
Cuba If it could be brought about in
way that would not be dishonorable TO
Spain. The queen yielded to this and
the result was the resignation OF the
old cabinet and the calling upon sagasta |
to form new one.