Evening star., 1925-11-07
OFFER FROM ITALY
IS DISAPPOINTING
Debt Conferees Hopeful, But
Italian Views Are Far Short
OF U. S. Expectations.

With President Coolidge hopeful
for an agreement for funding the
italian debt to the United States and
negotiators taking a week end respite
from their meetings. earnestly to
strive to reconcile the still divergent
points Of view OF the two govern.
ments, the Ruma nian debt commits.
sion arrived on the scene last night
and will be accorded consideration
beginning early next week, thus car
rying on two different negotiations at
the same time.
The next probable meeting will be
Monday morning between the Ameri.
can and Rumanian commissions. to
open consideration of the Rumanian n
debt OF S46.oo0.o0O. According to
plans this morning. the Italians and
Americans will meet Monday after
noon In subcommittee sessions.
Decision to put over the Italian
meetings until Monday was reached
yesterday afternoon after a meeting
of the complete American commission
at the Treasury Department. At this
meeting. and. 1t was understood, at a
meeting of the Italian commission,
elsewhere, a most earnest considera.
ton was given by both sides to the
difficult problem Of trying to get to-
gether for a settlement.
Coolidge Hopeful.
President Coolidge. according to a
spokesman at the White House, Is en-
couraged over the progress of the
Italian negotiations and feels that an
agreement will result. This announce.
ment followed a conference between
the President and Chairman Mellon
and Vice Chairman Smoot OF the
American Debt Commission. Some
members of the commission are known
to share the Presidents hopeful views
as to the outcome. but it was learned
from both American and Italian quar-.
ters today that as a matter of fact the
present positions of the two govern
ments are considerably far apart.
Hope Is based, 1t is said, on the
earnest desire to- bridge the gulf and
the fact the American Government
has already recognized the low capa-
city of the Italian government to pay.
Although no oflciar information has
come from either the Italians or the
Americans as to details of the neso-
tiations. 1t was learned today what
the figures in the offers now perrling
in general are.
Offered 5000, 900 a. Year.
Ihe itdiidiio, odSlAS tIleiF OHer upon
the economic possibilities actually to
pay in the present as well as the fu.
ture, were unde1eeood to have pro.
posed $4,000. year for about 10
years. increasing this figure UP to
10000. 900 <s<hd running the amortiza-
tion perion to 81 years, which is eX.
actly >fhe period written into previous
agISeInents by the American commits
sion: Generally speaking. this offer
would amount to q total Of 81 900, 900, :
900 over the So years, or something
less than the actual principal OF cash
advances of this country.
Want Three Times as Much.
On the other hand, 1t Is understood
the Americans, perfectly agreeable to
extremely low payments during the
first few years. are asking an average
over the amortization period of about
s50,00O.000 year. This would total
about $4,000, 100000, paying off the
interest at a nominal rate This offer
Of the Americans is believed to be,
according to some estimators, some.
what under the British basis written
into practically all other agreements
With the unfortunate example OF
French recent failure to fund, and
disastrous developments within the
last few days in France in the fall of
the value of the franc, both Ameri-
cans and Italians feel, it was under
stood, that every effort must be made
to reach an agreement which could
be accepted by the governments and
the people of both countries. This
weighs especially upon the Italian
commission. But the Americans, OH
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