New-York tribune., 1905-08-25
PRESIDENT APPEALS TO CAR
Direct Exchanges in Progress-M. Witte Receives SIX
Messages Refusing Japans Latest Proposal.
JAPAN GIVES BIG ORDER FOR GUNS.
There Feeling Portsmouth However That Both Sides May Be Bhg
Though Japanese ENJOYS Profess Have Hope

suit Russian ideas? Japan's gains would M
clude recognition Of her predominant interests
in Korea, the evacuation of Manchuria. control
Of the Chinese Eastern Railroad. Russia's PROM
ise to respect the administrative entity of
China. ownership OF Russia's base and the forti-
fcations Of Port Arthur. all the public property
in Dalny and above all. the ownership OF the
entire Island Of Saghalien
Looking the other side OF the proposition.
there are found many reasons why the negotia-
tions should not fail Reliable advices from
st. Petersburg describe Russla's credit as ex-
hausted. II Is authoritatfveIy asserted thar
Russia cannot carry the war-she cannot
borrow money 10 carry on the war. though she
can borrow millions If peace is declared; that
of the popular loan of 2O0O0OOOO rubles which
she attempted TO float only 100000 has been
subscribed, and that her only resource is the
property of the Established Church Il Is true
Of course. that the government could mortgage
the railroads and the ore lands. there being
German bankers who are ready TO finance these
enterprises. but. unquestionably. It IS for Rus
sia's interest TO make peace
There is no doubt IN the minds OF the military
experts that further prosecution OF hostiIities
in the Far East would mean to Russia the loss
OF an army Of 10000 men; but that probably
counts for less with Russia than it would with
any other nation claiming TO be civilized
As for Japan assuming. as is confidently assert
ed by her friends. that she has ample resources
to carry the war. what has she TO gain by so
doing? She may capture vladivostok and drive
the Russian army out OF Manchuria, but every
step will take her army further from it's base
and back of Manchuria and the immediate
vicinity of Vladivostok is a barren waste. where
the japanese forces could not be sustained. The
cost in lives and money would be fearful and
what would be the gain. especially over the
terms Russia will probably offer on Saturday?
Napoleon once marched 10 Moscow. but what
did he gain and what was the result? Is his
tory to repeat itself?
II is only reflection along these lines that in
any way counteracts the pessinism regarding
the outcome of the negotiations which perme-
ates the atmosphere OF Portsmouth.
Some interest attaches to the fact that tho
Kaiser has sent a private messenger to the Gar,
a young naval officer. who. as naval attache to
the German Embassy at ST. Petersburg. had
won the confidence and admiration Of the Gar.
Russians here believe that the Kaiser favors a
continuation Of the war. but they do so because
they believe that Germany desires that Rus
sa's strength shall be undermined. Such. il
can be asserted with confidence. is not the case
The Kaiser hopes for peace. He regards Russia
not as dangerous enemy which he would see
weakened. but as 4 tottering monarchy for
whose future he fears and which he would
gladly help TO uphold But the Russians like
many decrepit men. utterly fail to realize their
own weakness. and hence cannot understand the
true motive Of Germany
After a brief conference with the Third As
sistant Secretary of State this morning NJ Witte
and Baron Rosen went TO Magnolia They were
the guests of Mime. Rosen at luncheon, return
ing this evening