The Birmingham age-herald., 1905-08-18
Sakha|in and Indemnity Are Points on Which Neither
 WiII Budgt an Inch
ONLY CHANCE NOW IS FOR SOME SORT OF COMPROMISE
Belief Is Freely Expressed That If Ne gotiations Seem About to Fall President Roosevelt Will
 Take a Hand.

Portsmouth. N H. August 17.-The cri- sis in the peace conference has been reached and pessimism is again the note. But the darkest hour is just before the dawn and there Is still hope.
 Predictions of a final rupture tomorrow certainly will not be Justified unless Baron Komura fg,ratively picks up his hat and announces that 1t Is useless to proceed further. M. Witte at least will not be precipitate. At tomorrow session after Article II dhe limitation of Rus sia's sea power in the far east), and Article 12, (fishing rights on the Russian littoraD, are disposed of. Ee will favor an adjournment until Monday to hear the last word from St. Petersburg.
 No Progress Made Yesterday.
 The pesslmisro tonight is based upon the fact that no progress was made to- day. The exchange of views at the morn ing session on Article 9 remuneration for 'the costs of the war'D, showed at once that the plenipotentiares were as far apart as the poles, and it was passed over Article 10, (the surrender of the interned Russian warshps), was also passed not. in the opinion of one of the plenipotentiaries whom the Associated Press correspondent saw tonight, be- cause 1t could not have been arranged, but because with the shadow of the two main points in dispute hanging over the conference. both sides were cautious and preferred to postpone it to the end. Ar ticle T Limitation of sea power). is also md Arr ticle IF will present no difficulties.
 So that tonight the situation was prac- tiea,ly whaf 1t was when M witte last Saturday presented the Russian reply with non-possimus to Articles 5 and g, . dndemnty and Sakhaln).
 Only Chance Is Compromise.
 The only chance now is compromise Russia to yield Sakhalin and Japan in- demnity. Neither will yield both and per- haps Japan at the final show of hands will yield neither. M. Witte under the im- perial ukase contained in the instructions given him before he left St. Petersburg, can agree neither to pay war tribute nor cede a foot of Russian soil. St. Peters, burg, therefore, in the last resort, re- mains to be heard from. Doubtless this Is the reason why he favors postpone ment over Sunday. Baron Komura prob ably will welcome an adjournment of two days in order that he also may lay the situation before his government for its final decision.
 The sudden revival of a deep pessimism tonight was induced by the report given out when the plenpotentiaries returned to the hotel that no progress has been made today. But to those on the inside, that was not surprising. Things have gone smoothly enough only the impasse bod hoa 1A1 At,5 lao. fox., ls. Witte said to the foreign newspaper cor respondents was, as usual not encourag- ing. He looked tired and said nothing had been accomplished.
 Tomorrow, he said, i've will finish articles Il and 12"
 What then?" he was asked
 Then we will go to dinner" he replied as he excused himself to go to dinner at Assistant Secretary Peirces.
 No very great hope was vouchsafed in the Japanese camp.
 ,aps Are Not Buffers.
 we are not blufers." said M. Sato, and from an authoritative source the As- sociated Press correspondent received a distinctly bad impression regarding the outlook It was coupled, however, with an impression of the hope that If 1t developed the conference was going to pieces President Roosevelt might again step in.
 we have heard that the President having brought us together has washed his hands of further responsibility But he is resourceful. He might do some thing
 'Whatr'
 That cannot say"
 The Japanese view was explained in this:
 We came asking only what we wanted. Our terms were moderate. The world thinks so It looks bad. I say so. I believe so But the conference may yet be saved from shipwreck. M. Witte has been gracious. He has done what he can, but he has future at home to consider.
 Russians Go Into Conference.
 A very important conference occurred in M. Witte's rooms shortly before mid night There were present Baron Rosen. the other Russian plenipotentiary, and Messrs De Martens, General Yermaloff, M. Pokotloff, M ShIpoff and Captain Roussin the seven Russian delegates. It is the first time full conference be- gan The preliminary discussion of the Japanese conditions Is already virtually ended It Is not improbable that the final report and recommendations of the Russian plenipotentiaries was passed upon and transmitted tonight to the emperor at Peterhof.
 It can be stated that the individual views of the members of the Russian mis- sion differ as to what point should be yielded If compromise is to be of- fered Some favor the surrender of sakhaln, others an indemnity. None are ready to give up both points.
 Weather Ideal Yesterday.
 If all did not go smoothly in the con- ference chamber today the subjects under discussion were wholly responsible for lack of harmony, for the weather could not have been more perfect And for the first time today the weather fail ed accurately to indicate the trend o, the negotiations. The first few davs oi the conference went smoothly. harmon, reiRned and the weather was excellent Saturday was wretchedly hot day. thf mosquitoes were especially vigorous. and sakhalIn was the subject under discus sion. Not until late in the afternoor