Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-04-10

dred million gold marks: (above
points 5. subject to addition or re-
duction in certain contingencies);
| 5-192S-29 one thousand two hun
dred and fifty million gold marks.
This Is considered q normal year and
| q standard payment hereafter. Adj
| ing on prosperity.
OBJ From railways: Railway
bonds; (a) Eleven miiliards Of first
mortgage railway bonds against a
capital cost of IS milliards will be
created for reparations. tb) These
bonds bear five per cent interest and
one per cent sinking fund per annum.
| (c) In view Of reorganization In
terest Is accepted as follows: 1s24-25,
three hundred and thirty million gold
/ marks: 1885. four hundred and
sixty five million gold marks; 1926.
! -, five hundred and fifty million gold
marks; 1928 and thereafter six
/ hundred and sixty million gold
marks. Behind the bends there will
be created: Two milliards OF prefer
ence shares to be reserved for sale
to the public and thirteen milliards
| of common stock. Three -fourtns or
the proceeds of the preference shares
will be applied as required to the
payment of debt and for capital ex-
penditure of the railways. The re-
manning five hundred million OF
preference shares and all the COM
mon shares go to the German gov
crnment. transport tax. After
1886 two hundred and ninety
million gold MARKS per annum FOR
PREPARATIONS and balance to the Ger
man government.
CO. Industrial debentures Five
milliards of industrial debentures
are provided for Preparations. THE
resulting charge on industry is less
than that existing before the war and
now wiped out by depreciation. 3
These bonds bear five per cent inter
est and one per cent sinking fund, id
est, three hundred million gold
marks per annum. 4-Pending econ
omic restoration interest and sinking
fund are accepted as follows First
year nothing; second year one hum
dred and twenty-five million gold
marks; third year two hundred and
fifty million: thereafter three hundred
million gold marks.
10-SUMMARY OF PROVISION
FOR TREATY PAYMENTS
(a) Budget moratorium period.
First year from foreign loans and
part interest on railway bonds there
will be Il total of one thousand mil
lion gold marks; second year, from
part interest on railway bends and
OF, industrial debentures, from bud
get contribution through sale of five
hundred million gold marks railway
shares, a total of one thousand two
hundred and twenty million gold
marks. Period third year: From
interest on railway bonds and on in
dustriaI debentures, from transport
tax and from budget, a total of one
thousand two hundred million gold
marks subject to contingent additions
or reductions of two hundred and fif-
ty million gold marks. Fourth year;
from interest on railway bonds and
Oh industrial debentures, from trans
port tax, and from budget, total OF
one thousand and seven hundred and
fifty million gold marks subject Ia
contingent additions or reductions OF
two hundred and fifty million gold
marks. S-Standard year, fifth year:
from interest on railway bonds and
on external debentures, from trans
port tax and from budget, n total OF
two thousand five hundred million
gold marks, thereafter two thousand
five hundred million plus sum com
puted on the index of prosperity. In
terest on the securities but not the
proceeds of their sale is included in
these figures.
CD The first year will begin IA
run from the date when the plan
shall have been accepted and put in
TO effective execution.
"11--INCLCSlNE AMOUNTS AND
DELIVERIES IN KIND
1.-The above sums cover all
amounts for which Germany may be
liable TO the allied and associated
powers.
deliveries in kind are, to be con-
tinued but are paid for out of balan-
ces in the bank.
12-HOw THE ANNUAL PAY
MENTS ARE MADE BY GER
MANY
Cal The amounts vii be raised in
gold marks and paid into the bank;
CD These payments cover Ger
many's annual Obligation.
"13-HOW THE PAYMENTS ARE
RECEIVED BY THE CREDITORS
(O Gergany's creditors will use
these moneys in Germany or convert
them into foreign currencies;
OBJ Experience will show the rate
and extent to which the conversion
can safely take place:
excessive remittances is obviated by
a transfer committee:
| Id Sums not RENTED are accu-
mulated but with limitation OF
amount.
14-GUARANTEES IN ADDITION
TO RAILWAY AND INDUSTRIAL
BONDS
(a) The following revenues are
pledged for n continuation of collat-
eral security for budget contributions
and other payments.
1-Alcohol; tobacco; 3-Beer;
sugar; 5-Customs.
CD The yield of this sort Of rev.
enues is estimated to be substantially
in excess Of required payments.
(c) The excess is returned 10 the
German government.
! '15-EXTERNAL LOAN-ITS CON
DITIONS AND PURPOSE
Foreign loan of eight hundred mil
lion gold marks meets a double pur-
pose.
(a) Requirements OF gold reserve
Of new bank;
OBJ Internal payments for essen
tial treaty purpose in 1924-25.
REORGANIZATION
The organization consists Of:
(A) trustee for railway and in
dustrial bonds:
OBJ Three commissioners of: l.
| Railways: 1.-The bank; 3-Control-
| led revenues.
Co An agent for reparation pay
ments who will coordinate the activ-
tiles of the above and will preside