Later 'The official statement embodying' the British debt offer says that the negotiations entered a new phase three weeks ago when the Cabinet authorized Mr. Churchill to propose to the Fi that France's net obligation should in the payment of £16,000,000 annual ly during the 62 years of the Br "Payments to America, 'The British proposal contemplated a portion of the French payment be-{ng dependent upon the yield of the Dawes annuities. It was in resonse to this offer that Mf. Caillaux Visited London, where he' proposed that France should pay in principle one third of her debt to Britain by means of G2 annuities of £10,000, 000 on France's sole responsibility.
Though the proposal was a worthy advance on the previous French suggestions the gap. be-! tween the two proposals remains wide and unbridged, says the statement. The position is further com-leated by the impending, nego jons for the payment of the French debt to America, in which connexion Britain, at the outset, made it perfectly clear that Britain must receive from France proportionate pari pass payments France might make to America in this re-Therefore any Franco-agreement could only be nal pending the outcome of the other negotiations. Britain, however, deeply concerned in the' revival and appeasement of Europe, felt bound to respond to an Ally' offer and authorized Mr. Churchill to make the offer.
Text read from the printed page and cleaned; old type leaves the occasional error.