Original: The Peace of Augsburg stated: Rulers of the 225 German states could choose the religion (Lutheranism or Catholicism) of their realms according to their consciences, and compel their subjects to follow that faith (the principle of cuius regio, eius religio).
Simplified: The Peace of Augsburg said that: German Princes (there were 225 princes) could choose the religion (whether they were Lutheran or Catholic) in their states (this was called cuius regio eius religio).