Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-09-18


here to Great Britain and France met
In secret again today in an eort to ad-
just their differences over tho questio,
Shall the big credit -billion dollars or
otherWise-provide for payment Of
munitions Of war as we'll as cotton,
wheat and other commodities or shall
another method be devised to settle
for the purchase of shrapnel war au.
tomobiles. war aeroplanes and other
articles coming under :he meaning OF
the word munitions?'
The Anglo-Ffench commission Is
said to want the credit to take care Of
munitions.
The American bankers-or what an.
pears to be q majority Of them-ap-
parently do not. In their camps, how
ever, there is marked division OF
opinion. while the commission Is re-
ported TO be unanimous
Points Of Agreement.
Upon the following things both par
ties are said to have reached an agree-
ment:
The life Of the loan. which Is said ts
be five years. ten years. or from Ave
to ten years. as may be deemed adj
visai,le later: the form of the bonds
which are to be first lien (first mort
gage bonds on Great Britain and
France jointly and the collateral, It
having been agreed there shall bo no
collateral. m
Whsrs Opinions Ars Divldsd.
On these points there Is a Disagree
ment:
The question Of including munitions
Of war: the matter Of Russia's parti-
cipation and the interest rate. Tho
last named, however. It is said. is prac
tically settled. an the conmission has
taken the positive stand that Great
Britain and France will not pay more
than a straight five per cent interest
rate, bankers and investors to obtain
the bonds on the same terms. II this
be the case there will be no under
writing syndicates. no big fees FOR
placing the loan. and the subscription
books Will be open to all corners. pro-
German or pro-ally.
Plans have been made by the com
mission to spend Sunday out Of town.
Most OF them will be week end guests
OF bankers with whom they have con.
ferred here.
At Variance Over Russia.
~ MINOR point OF variance between
tho commission and some American
bankers Is the role that Russia Is to
play In the participation OF the loan.
The commission altho acting officially
only for Great Britain and France, is
cluding Russia I'm it's plans. too.
Some American hankers want to
deal direct with Russia and object, It
Is reported. to having It obtain money
in this country thru England and
France.
A third point of disagreement, sub.
ordinate to either OF the others, con-
Germs the rate OF interest. Great Brit
ain and France are emphatic In their
assertion that tho proposed bonds shall
not pay more than 8 Per cent interest
and there will be no underwriting Of
the issue. AS to this proposal. 1t is
understood. the American bankers
generally have been won over, but In
some quarters a return OF y to / per
cent to the bankers Is regarded as no
more than due.
Instead OF using underwriters. it was
thought last night the issue would be
placed thru syndicate which would
subscribe to the loan and that sub
scription would he open to all comers
upon equal terms.
Details Agreed Upon.
Some details OF the proposed loan
upon which the two negotiating parties
are said to have acquiesced are as fol-
lows:
The term-The loan Is to run for five
years. or ten years. or serially from five
to ten years, as may be deemed expedi-
ent after the adjustment OF other de-
tails.
The form-The loan is to be granted
upon straight British and French gov
ernment bonds payable " dollars.
These bonds are in effect to be q first
mortgage on Great Britain and France
and consequently are to take priority
over all other outstanding bond issues.
The collateral-There Is the pinch
Commissioners Are Hopeful.
Paris. Sept. 1s.-Asked by repre-
sentative Of the Journal to outline the
status OF the negotiations for loan
in the United States. Finance Minister
Ribot replied:
IAN I can say now is that both the
British and French delegates speak in
I the highest terms Of their reception In
! America, and have hopes Of success
Mr.. Ribot explained that French
| loan would not be issued until the be-
ginning OF October as there was no
| messing need of money. It will he nec-
Z, , essary to create new reissutng de-
partment in the department of finance
owing to the rush OF business.
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