Nanking, July 19.
Ata State Council meeting this morning, Mr, Sun Fo, president, of the China National Aviation Cor. poration, submitted for its approval proposed contract with the tion Exploration Me, of America for a Joan of not more than $1,000, 000. The contract which had been signed on July 16 by Mx. Sun Fo, on behalf of "the China National Aviation Corporation, and George Sellett, Attorney-in-Fact of the American firm, was approved by the State Council to-day.
The American company agrees to advance to the China National Aviation Corporation a sum of not more than $1,000,000 for the purchase and improvement of land which will be used for airports and intermediate landing fields on_the proposed Shanghai-Hankow, Nan-King-Peking and Hankow-Canton air mail lines. The money is to be refunded to the American firm by the Chinese corporation on or before January 1, 1988, beating an annual interest of "6 per cent.
According to the contract signed between the two parties on April 27, the construction of adequate airports and intermediate landing fields should be completed with six months from the date of the conclusion of the above contract, It is now mutually agreed, however, that air mail service on the Nanking-Peking and Hankow-Canton: lines shall not begin until January. 17, 1030. The, Shanghai-Nanking-Hankow air mail line began opera. ion in the middle of October-—Reuter.
Text read from the printed page and cleaned; old type leaves the occasional error.