The sun., 1917-02-07
Cabinet Holds Two Hour
Session and Offers No
Immediate Hope.
SUSPENSE IS GETTING
ON OFFICIAL NERVES
"We Are Holding Our
Breath" Says One High
Officer.
SPAIN TAKES OVER
AMERICAN INTERESTS
Neutrals Still Hold Aloof
From Acting in Concert
With United States.

WASHINGTON, Feb. 6.--"We are steer
ing a straight course and preparing
for eventualities. Reports indicating
any change in the situation for better
., or worse are entirely without founda-
tion."
This authoritative announcement
followed the first meeting Of the Presi-
dents Cabinet to be held since the
rupture Of diplomatic relations be-
tween the United States and Germany.
Tho Cabinet assembled at o'clock
and for two hours discussed every
phase Of the situation.
This situation. as 1t presented itself
to the President and his advisers, was
summarized later in a few sentences
The American Government stands
ready to defend its rights, even to the
point OF war. If Germany violates them
through her submarine campaign.
The carrying out OF the submarine
! campaign almost necessarily means
! that sooner or later these rights will
| NC SttIflS 10 SLdnu
. firm in its intention to carry on the
| campaign. The question of when and
| how the overt act will come fate alone
will determine.
Laconic Description.
I'VE are holding our breath" This
was the way an official OF the Govern
ment tersely but accurately described
| the suspense which Is plainly getting
| on official nerves.
The members of the Presidents Cab.-
| net frankly discouraged attempts to eA-
arserate or minimize the gravity OF the
situation. They regard efforts to pre-
cipitate matters and attempts TO instill
false hopes in the public mind as equally
, unfair to the American people. The
| deluge of rumors concerning Gcrmany's
Willingness 10 abandon the war zone de-
cree, mysterious notes by wireless 70
Count voh BernstOrff and iuexplicable
diplomatic moves destined TO rescue the
| situation this afternoon were deprecated
IN way that seemed significant II was
stated positively that not a word Off
c!ai!y or unotiicially had been received
IN confirmation of such reports
The State Departments Wow Ia that
the less said about so-cailed Changes
| IN the situation" the better. There has
heen no change, II was explained. since
this Government decided to sever re-
lations with Germany.
There was Just suggestion IN these
enor's 70 deprecate any feeling of optl-
mism that thr President ana HIS ad.
N.sers were still hanging To tho hon.
.hat ny showing that this nation had
ts back up" they might yet indure
( Germany 10 modify her order. There
Is no question but that the ut,eranres
OF German officials have been n b,t milder
/ 'han was expected Yet officials here
confessed their inability TO see IN the
utterances any indication that Germany
was about TO recode from her position.
Prevailing Query.
The question In many mind. bowsv.,
Is; VIII Germany, while pretending to
adherc !" her submarine decree, coyertly
issue orders To her submarine command.
ers to refrain from any attack ON Ameri.
can ships In order 90 avoid war nm mis-
country few, but not many, believe
'hls Is within the realm OF possibility,
president Wilson has reluctantly taken
MS present nrm position and only be-
cause there Is no alternative consistent
with the honor and dignity of the ma.
ton, Cabinet officers believe the country
should appreciate this and that Ameri
cans generally should put themselves In
tne same frame of mind as the President
But this does not mean that facts should
not be faced squarely and the full import
/ or the serious situation realized
IL Is the Presidents realization OF this
that Ia causing him TO continue speeding
| up military measures a 5 a matter of ma
| uonal precaut!on. Every agency OF the
Government continued taxed to capacitv
to-day. The War Department and the
Navy Department were beehlves OF ac-
| tivity. which extended well into the
night.
The Treasury and the Department OF
| Justice are seethug with new problems
} que 10 inc nHiional emergency, The
| state Departments task of arranging
! for the care Of American interests In
| Europe and for the turning over of Ger
man interests to Spain is in itself n
monumental undertaking,
| Senior Riano. tho Spanish Amha ssa dor,
| officially notified Secretary Lansing to.
day that his Government would represent
| the United States In Germany This Of
! ficial decision means, Il is understood
| that Spain, for the present at least, will
| remain neutral and will not follow
| President Wilson's suggestion with re.
| spect to concerted action against the
! German war zone decree
Meaning of the Decision.
| The reason behind the decision Of The
! Spanish Government IL said TO be that
| II feels II can best serve the world now
by remaining in position of inter-
mediary between the two warning fac
tions. There are hundred and one
prebiems concerning tho belligersnts,