Accord, Amity?

Contrary to general impression, the Poincare note (TiME, Aug. 27), has not inspired official pessimism in the capitals of Europe. The reason being that major, masked diplomatic moves are being made by all nations concerned with a view to reaching a mutually agreeable understanding on the question of reparations.

In Germany, Chancellor Stresemann conferred with the Minister President Dr. von Knilling of Bavaria. The object is to secure Bavarian backing for the Federal Government's Ruhr and reparations policy, an object which is of great importance to the Reich.

Premier Baldwin of Britain left England for France ostensibly to take a vacation, in reality to await communications from M. Poincare of France relative to further French proposals in connection with the Ruhr and reparations. The French proposals are expected to lead to a private and even secret meeting of the two Premiers at an early date, and with Belgium's connivance to result in an inter-Allied Conference during the Fall.

The French proposals, it is reported, will go far in meeting British demands and reviving the sick Entente Cordiale; they include a moratorium to Germany, a loan to France on account of future payments from Germany, complete modification of the Ruhr occupation as soon as Germany ceases passive resistance, which she is expected to do after joint Allied pressure is brought to bear, a partial evacuation of the Ruhr territory after France has secured her loan, demilitarization of the Rhineland under the auspices of the League of Nations.