The Montgomery advertiser., 1905-08-21
PesSimiSm as to Result
 Felt.
RUSSIA IS STRENGTHENING
Encouraging Reports Re-
 ceived From Front.
Both Envoys Seem to Have Given Up Hope, F3ut Powers May Have Another Card to
 Play.

Portsmouth, N. H., Aug. 20.-The chances of peace have undoubtedly been improved by President Roosevelts &C., tion in stepping into the breach in a last heroic endeavor to induce the war ring countries to compromise their "irreconciliable difffculties." but the re- suit is still in suspense.
 The ultimate declaration the issue has de faeto, if not de jure, passed from the plenipotentiaries to their princi- pals from Portsmouth to St. Petersburg. and perhaps in a lesser extent to Tokio. Although there are collateral evidences that pressure by both President Roose- welt and neutral powers. including Ja- pan.s ally. Great Britain. whose minis ter, Claude Macdonald. according to advices received here, had e long con ference this afternoon with Mir. Kat sura, the Japanese Premier. Is still be- ing exerted at Tokio to induce Japan to moderate her demands.
 There Is also reason to believe that President Roosevelt was able at his in- terview with Baron De Rosen, to prac- tically communicate to the latter's se- nior, M. Witte, Japan's irreducible minimum-what she would yield. but the point beyond which she would not go. Whether an actual basis of com promise was proposed by the President cannot be stated definitely. The only thing that can be affirmed positively is that If Russia refuses to act upon the suggestion CT proposition of President Roosevelt, the peace conference will end fin failure. And in the Russian camp, little encouragement is given.
 Baron De Rosen reached hero after an aIl-night ride from Oyster Bay, shortly before noon. and immediately went into conference with M. Witte. They remained closeted together for almost three hours. during which the mfaw fa4x mG
 Baron De Rosen communicated to his chief the Presidents message, and 1t was transmitted to the Emperor, to- gether with M. Witte's recpmmenda- tion. No clue to the nature of this rec 0mmendation has transpfred. cut 1t can be stated that M- Wttte, no matter how he personally may view the proposi- tion, Is distinctly pessimistic as to the character of response which will come from St. Petersburg -es s
 witte 01Rers No Hope.
 To a confidential friend this after noon, he offered little hope of a change in the situation. The Japanese, 1t Is firmly believed, cling to the substance if not the form of this demand, for remuneration for "the cost of the war" Perhaps they are willing to. decrease the sum asked, but substantial com pensation under whatever guise 1t Is ob- tained, they decline to relinquish, and they are also firm upon the cession or Sakhalin.
 By the transfer of the branch of the Chinese Railway, first to Japan for re- Iinouishment to China, payment for the maintenance of the Russian prisoners. and the surrender of the Russian war ships, it is possible to figure out total transfer to Japan in money and prop erty of about $250 900. .ooO But this IS the limit The Japanese. as usual. are very reticent, and 1t is impossible to obtain from them their view of the situation produced by the President action It is taken for granted that the Presidents appeal was made to Japan as we'll as to Russia. but the Japanese side of the negotiations looking TOT compromise is almost completely In tne dark.
 It is assumed that Baron Kaneko was able to explain the Japanese views to the President. If the President Is sue cessful with Russia 1t may be that ne will then turn to Japan.
 But it is now probable that he was able to assure M. Witte in advance of Japan's agreement to accept. Never theless MT. Takahira today spoke as if he might be called to Oyster Bay. He would only say positively that he had as vet received no summons. The Jap anese view of the situation is author itatively but rather humorously stated thus:
 Jap's Humorous View.
 .~rhe result will be known soon. It is useless to speculate. It is as well for the physician to give his opinion of the sex of the unborn infant. When inc child is born we will be able to tell whether 1t is a boy or girl
 Emperor Nicholas's declaration, upon which the fate of the conference hangs, will. according to the best informed Russians depend on conditions at home and these conditions they do not believe are propitlous.
 The two big factors are the internal situation and the report from the front as to the military situation. The for mer has amelIorated by last Saturday manifesto, and the character of reports receved by His Majesty from Manchu- ria Is known to be good.
 General Linevitch has expressed ab- aolute confidence in victory and since the conference began he and his gener- ais have not only reassured His Maj esty that the army was never in bet Ter condition, but they have sent mes saRes to M Witte imploring him not to make peace.
 They demand an opportunity to re- trieve the "honor and prestige" of the army and in a country where the ad- r,fraIty is the bulwark of the Govern went the wishes of its generals are not to be disregarded by their sovereign. Not only to make peace, but to pay tribute to the enemy would therefore he very difficult task for the Elm oeror knowing his desire for peace. If is significant in this condition that M VVitte took occasion today to formally Henv through the Associated Press the published reports from St. Petersburg to the effect that at meeting or coun- cil for the national defense. presided over by Grand Duke Nicholas. the im- possibility of reconquering sakhalin or defendinE the Amur Province has been pecorntzed and that in consequence Of thIs the Emperor has telegraphed M witte 10 come to an understanding, M Witte said: .,.
 "The report is a pure invention 191 /, There is not a word of truth in it. Tne national council for defense has held no meeting. The Grand Duke Nicho- las never uttered a statement like tha' attributed to him. On the contrary the news from General Linevitch IS en- tirely reassuring. I am not military man. and I cannot therefore give ad- vice in military affairs. but what know is that the Russian army and es- pecisIly General Linevitch- hta ofrieeEa