New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-12-10
WAR CLOUD LOWERS
AGAIN ON THE DANUBE
Austria-Hungary Raises S25,'
100000 Loan and Puts War
Department in Order.
MILITARY CHIEFS CHANGED
Recrudescence of Excitement in
Belgrade-Troops Still Be-
ing Accumulated on the
Various Frontiers.

Vienna, Dec. 9.-The Austrian gov
eminent has negotiated with a syndi-
cate headed by the Austrian Postal
Savings Bank, and including Kuhn.
Loeb & Co. and the National City Bank
Of New York, for an issue of AZ per
cent treasury bonds TO the amount ~
S25, 100000, which will be taken at 81
redeemable al par at eighteen months
and two years.
The Hungarian Finance Minister has
issued through the Hungarian Credit
Bank treasury bonds to the same
amount and under the same conditions.
Both are gold loans.
II is announced that the dreibund re
newal is for six years and that ii would
have been automatically renewed for
the same period If notice OF expiration
had been given. This fact gives sig
nlfcance to the renewal of the COM
pact at the moment of a serious inter
national crisis.
Important changes have taken place
in the Austro- Hungarian War Depart
ment. General Auffenberg, the Minis
ter OF War. resigned to-day. General
Krobatin. under secretary In the War
Office, has been appointed as his sue
cessor.
General Schemua, chief Of the Cen
eral STAFF. who recently paid signih-
cant visit 10 Berlin and conferred with
Count Won Moltke. chief OF the general
staff Of the German army, has also re-
signed. lie has been succeeded BY Cen
eral Won Hoetzenedorf, who held the
same post several years ago.
The "Zeit" learns that Servia's de-
mands VI the coming peace conference
will include the whole Of Northern Al
hania. and as this will lead Austria 70
define her counter demands a decisive
phase in the Austro-Servian difference
will soon be reached.
A dispatch from Scmlin TO the
"Reichspost' says that all classes Of
Servians subject 10 the war draft have
beeen summoned 10 join the colors
within twcnty-four hours. Many work
shops and factories in Servis arc busy
making winter clothing for the army.
Tho soldiers returning 10 Servia from
the Balkan campaign are allowed only
a short furlough. the officers none.
- Petersburg. Dec e-Russia's attitude
with respect 20 the Balkan situation has
not been changed by the apparently
serious military preparations OF Austria
the Imperial German Chancellor's pointed
speech in the Reichstag and the renewal
Of the Triple Alliance.
In diplomatic circles here these various
incidents are interpreted as tactical de-
vclopments Of Austria's natural desire TO
safeguard her interests and prestige from
the growing influence OF Slavdom. her
Immediate object helms 10 compel Russia
TO ai-avow Servia IN the matter OF an
AdrIatic port
II is pointed out that, while making due
allowance for legitimate measures OF self
defence on the part OF the Vienna cab
met Russia is bound also to safeguard
her own interests and prestige. II Is
further urged that Russia cannot disavow
what she never claimed. and that she had
already done her utmost 10 restrain the
Servians.
In ST Petersburg the opinion is held
that no irreconcilable difference remains
between the minimum that the Servians
demand and the maximum which Austria
is prepared TO concede. and that a great
mower Ike Russia cannot give such
pledges as Austrian diplomacy expects.
Nor b. II for a moment believed In official
quarters here that Austria will resort ~
war 10 enforce such pretensions.
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