The Birmingham age-herald., 1921-05-04
ALLIES AGREED ON
 ULTIMATUM ID BE
 SENT ID GERMANY.
In Complete Accord on Sub- stance and Drafting Com mittee Spends Night Com
 pIeting the Document
By Associated Press


 fer to the allies was telegraphed Tues day from Berlin to the German ans bassador at Paris for communication to the reparatiOns commission, accord ing to d statement ascribed by the London Times to good authority" The terms of the offer. are not known, but the Times says it is believed they are approximate to acceptance of the allies decisions at Paris on January 20. It is presumed the offer will be forwarded to London and placed be- fore the supreme council today (Wed- nesday).
 London, May 3.-The allied supreme council decided today to invite the United States to send a representa- tive as member of the supreme council and also to be represented on the repArations commission and the council of ambassadors.
 London, May 3.-The supreme council reached a complete agreement this afternoon on the substance of the ultimatum to be sent to Germany by the reparations commission not later than May G. The ultimatum expires six days later.
 The drafting committee is busy to- night completing the document. which will be finally passed at another meet ing of the council tomorrow and then handed to the reparations commission. which has been called from Paris and will forward the last word of the allies to the Berlin cabinet in accord ance with the treaty of Versailles.
 The total sum which Germany
 will be called upon to pay has
 been increased to 6,750,00O,0OO
 pounds sterling by the inclusion
 of the sum due Belgium ac-
 count of her debts to the allies.
 Under the bonding scheme to guar antee the payment of 00,000, ,00g pounds annually, plus 25 per cent tax on German exports, 600,000,000 pounds in bonds will be Issued when the ulti- matum expires or Germany accepts the teTtns. boIdS 10 the amount or l,- 900, 100000 pounds will be issued ia November. The balance, 4250,OoO ,o0e pounds, will be issued in accordance 1 with Germany's capacity to pay. That 1 capacity will be guaged by the pro- duct of 25 per cent on exports.
 ADDITIONAL ONE PER CENT
 Besides the five per cent interest on the bonds, an additional I per cent will be imposed on them to form d sinking fund The amount required for service bonds thus will be 2500- 900, 900 pounds.
 Should the 100. 900. 900 pound annuity 1 and 25 Der cent on German exports amount to more than the 150. 900, ,0O0 pounds required. for interest on the service bonds. to be issued imm ediate- ly and ins November, sufficient amount of the remaining bonds held in reserve will be automatically issued to absorb the balance
 There also will be an addition of l per cent on German exports to pro vide fund to pay the interest on the bonds held in reserve. Interest on any bonds paid off will continue for the purposes of the sinking fund. Ir is calculated that these bonds will be redeemed within 37 years from date of issue.
 In no case, according to the scheme. VIII Germany be paying more than , per cent interest and l per cent sink ing fund on the total debt of 6,750,Ooo. o0o pounds. These amounts are to be charge on German customs or any other revenue that the reparauons commission IS prepared to accept
 The separations commission will re- celve the bonds and apportion them among the allies in accordance with the Brussels agreement. Each power VIII dlspose of them or hold them as 1t pleases