ERMANY, Italy, Rumania and Hungary reached an agreement on the Transylvania dispute yesterday in which, according to reliable quarters, Rumania ceded Hungary a slice of Transylvania and Germany and Italy unconditionally guaranteed the, entire Rumanian border.
This would include the present Russo-Rumanian border, but the guarantee of the Rumano-Bulgarian border will not be effective until after the solution of the Dobrudja question.
The Hungaro-Rumanian agreement includes a scheme for optional repatriation whereby the minorities of the two countries can choose whether they will remain where they are or move to the other side of the new borders outlined in the agreement.
The new border places the Hungarian frontier within 100 miles of Bucharest, just above Kronstadt (Brasov) and makes the Hungarian border touch the new Soviet frontier Two large cities, Grosswardein and Dui, become Hungarian. The latter in Transylvania, has a Just before signing the agreement, the German and Italian Foreign Ministers, Herr Joachim von Ribbentrap and Count Galeazzo Ciano, read declarations hailing the agreement as "a final settlement."
"Last Territorial Dispute"
"Aiter the settlement of the Bes-sorabian and Dobrudja questions, the last territorial dispute in the Danube area will be liquidated," Herr von Ribbentrop declared.
The German Foreign Minister stated that Chancellor: Adolf Hitler and Premier Benito Mussolini accede ed to the Rumano-Hungarian request for mediation "because of Germany's and Italy's great interest in southeast Europe......
"I believe that now a firm basis for permanent peaceful good relations has been created," he said.
"Hungary and Rumania addressed requests for mediation in order to improve relations and preserve peace throughout the Danube region..... Germany and Italy, by fostering cooperation and preventing an extension of the war, showed a clear contrast to the English policy which had wanted to set south-east Europe ablaze."
Talks were held in the Belvedere's famous "Gold Cabinet" in the southeast corner of the building, just fore the agreement was signed. room drowded with newspaper-Dramatic Moment men, radio broadcasters and., photographers, Herr' von Ribbentrop rose to read his declaration, followed by Count Ciano.. While' the Italian Foreign Minister, was reading his declaration, the Rumanian. -Foreign Minister, M, Michael Manoilescu.
Text read from the printed page and cleaned; old type leaves the occasional error.