Speaking in the evening at banquet, before an older audience, M. Clemenceau referred to the war and its consequences. "It has been shown" he said, "that France did not want war, and it has also keen proved that we know how to defend ourselves. At present we have to use all our energy to keep the peace: but there is a point at which I, for one, must draw the line. It is better to succumb with honour than live with shame. We can no without glory but not with-cut honour. Our people will not Invernan Fivance Prosrems, In the meantime, the problem of internal finance is becoming more and more serious. The Budget estimate for next year shows a deficit of Frs. 3,900,000,000. The attempt to make revenue and expenditure balance in the ordinary, way has been given up as hopeless. The deficit will have to be covered by borrowing. This is independent. of the question of the fulfilment of Germany's treaty obligations.
Obviously, the country cannot go on raising loans, 1 further taxation is not to be thought of. A Geddes axe is needed for the public services. Some -thousands of Government servants are being weeded out, but it remains to be seen whether M. Poincaré and his successor}; will have sufficient courage to continue the To turn the French bureaucracy into a reasonably cheap and - efficient instrument would form one of the most remarkable achieve-nts of modern time:
A further item of interest regard-accept what is contrary to their just rights. our allies, On the contrary, we We will not abandon ing Peitaiho ta, oe the Id desire to remain their allies, but we ask them to be just towards us. We recognize that they helped us, end we do not forget what we owe them. What we ask of them is that they should try to understand us, they should not attribute all sorts of underhand designs to us, and that they should not sacrifice our interests to other interests. In a word, the victors must not look as if they were the This reference to the understanding of France by her allies was a note struck some days earlier by M. Clemencean's faithful lieutenant, M. Andre Tardieu, a speech in the Chamber. The Anglo-Saxons, he remarked, do not realize the Continental point of view. They think that economic and business considerations are the only ones that really matter. They do not see that the restoration of Alsace-Lorraine was not a purely French question, but ar ing-point. ard a slogan for millicn3 of men, who never lived in France, hut hag national aspirations of their own. These national as-vibrations, which the Anglo-Saxon neonles are inclined to treat as absurd, are. on the contrary, very real and important and cannot be ignored by those who are trying to restore peace and order in Say!
:—Now that the last traces of war have been cleared away and the Peitaiho season is in full swing, the Aviation Department has announced an aeroplane service between Peking and Peitaiho beginning on the 2ist instant. The planes will leave Peking and -Pet-taiyo every other day.
Worp has been received from the San Francisco office of the Pacific office that two new steamers of the' Mail Steamship Ca. by their local type now being operated by them will be placed on the Pacific service in the early autumn. These steamers are the President Taft and President Pierce which will sail from San Francisco on_ their maiden voyages on September 12 _and October 3, respectively. The addition of these two ships gives the Pacific Mail a fleet of five of the "535" type of United States Shipping Board vessels which have been so popular with the travelling public. The Pacific Mail will now have a sailing for San Francisco vid Japan and Honolulu every two weeks and the traffic congestion which has been felt over the southern route to America for the last few years should be somewhat relieved. without permission.
Text read from the printed page and cleaned; old type leaves the occasional error.