The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1921-10-07
BANKRUPTCY
IS AVOIDED
BY GERMANY
Latest Agreement Also In
sures France of Reparations
Payments-Text of Pact is
Published.
HAS 5 YEARS TO PAY
(By Associated Press)

PARlS, Oct. France Is insured
reparations payments and Germany is
given means to avoid possible bank
ruptcy through the agreement signed
yesterday at Wiesbaden by Louis
Lounheur, French minister of Liber-
ated regions, and DR.. Walter Bath
enau, German minister of reconstruc-
ton
The agreement is regarded here as
of much importance and will permit
Germany to pay the equivalent of sew
en- billion gold marks in the next five
years. First reports indicated the
| agreement would run but three years
but it is found on examination of the
pact that it does not expire before
May /, 1926.
The text of an annex to the agree
ment was published here today. 1t
reads: Germany engages to deliver
| to France upon her demand all ma
chinery and materials which would be
compatible with the possibilities of
production in Germany, and subject to
/ her limitations as to supplies of raw
]
accord with the requirements neces-
sary for Germany to maintain her So
cial and economic life. This agree
ment shall date from Oct. l, 1921.
| Excludes Certain Products.
In any case the present contract
| excludes the products it is specified
! Germany must turn over to the allies
| in annexes 3. and 6, part VIII of the
/ treaty of Versailles. The cumulative
value of the payment in kind which
| Germany will supply France in execu-
tion of annexeS 5, 5 and s, as well as
deliveries Germany makes to France
under the present contract will not
exceed seven billion gold marks from
Oct 1, 1921 to May 1, 1926.
! 1T is expressly stipulated that all
deliveries shall be devoted to the
reconstruction of devastated regions
in northern France"
Although the text of the agreement
was only partially made public, an
unofficial summary gives some Of, It's
important features. A French buyer
may negotiate directly with Ger
man producer as to the amount of de-
liveries and the prices to be paid pro-
vided he is able to come to terms with
the Germans, but the agreement con-
arranged between organizations Gre
ated by the French and German gov
ernments.
If these respective organizations
should be unable to reach an agree
ment respecting deliveries, prices.
| transportations and acceptance, deci-
sion as to disputed points will be left
, to commission of three.
: This commission would be made up
) of one Frenchman, one German and a
third person chosen by common ac-
, cord or appointed by the president of
the Swiss confederation. 1t will fix
! the price list every three months and
the list will correspond to normal
! prices in the interior of France less
) customs duties and transportation
charges.
Additional Agreements.
The semi-official summary does not
deal with the subject of exchange.
-Four supplementary agreements deal
ing with the delivery of cattle, ma
chinery, coal, and rolling stock, draft
ed by exports to cover details and
technical points, were signed this
morning by M. Loucheur and DIR. Rath-
enau.
The credits to be made on the books
! OF the reparduonS- COMMISSION are
D subjects, says the summary, TO three
limitations, as follows:
Only 35 percent of the value of
, the merchandise Gf the deliveries
!. reach one billion gold marks, or As
percent, if the total amount of presen-
= tations do not reach one billion marks,
= will be credited;
"2-Germany will never be credited
: with more than one billion gold marks;
= to May 1, 1896;
, "3-Germany viii never be credited
>, with a sum superior to Frances share
= in the yearly reparations"
- The agreement will be submitted to
: French parliament early in the coming
= session.