Monday, May. 27, 1935

Governor's Week

Hulking Premier Pierre Etienne Flandin, who broke his arm in an automobile accident, was well enough last week to leave the hospital for his home in Paris. Strictly against doctor's orders, he insisted on working. First move was to call a hurried conference with Finance Minister Louis Germain-Martin and Jean Tannery of the Bank of France.

Parliament, after the municipal run-off elections of fortnight ago where communists and other leftist parties made distinct gains, reopens next week. One outstanding problem faces the Deputies: whether or not to devalue the franc. French gold has been flowing to the U. S. since April. Her tourist business has been at low ebb since the Roosevelt dollar was inaugurated, exports have shrunk steadily, and Switzerland, heretofore France's strongest ally on the gold bloc, is to go to the polls June 2 to vote on devaluation. Leader of the forces yelling for devaluation in the Chamber is former Minister of Finance Paul Reynaud. Defending the gold franc with his back to the wall, bristle-haired Louis Germain-Martin manifestoed:

"The most tendentious sort of reports are going around about the Government's intentions. The Government opposes to these rumors the most vigorous denial. It is and continues firmly attached to its doctrine. It intends to assure and will assure necessary recovery."

France's Foreign Minister, swarthy Pierre Laval, completed his historic visit to Moscow (see col. 1), most important step in restoring France's hegemony over Europe. At Cracow, on his way back he was able to take time off from the obsequies of Marshal Pilsudski for a three-hour private conversation with Prussian Premier Goering. Back in Paris, he had hardly time to change his socks and shirt before hurrying off again to Geneva for the important three-power conference on Abyssinia. He denied rumors that as a result of the Goering meeting in Cracow he would visit Berlin within two weeks for direct conference with Adolf Hitler.

After days of uncertainty that had sent hundreds of police and Gardes Mobiles to keep order in Havre, Mercantile Marine Minister William Bertrand was able to announce that the striking crews of French liners in the port had accepted the Government's compromise and gone back to work. Four days late the Champlain sailed for New York with 22 passengers and 500 tons of freight. The French Line was able to announce that the highly touted maiden voyage of the Normandie, world's largest liner, would occur on schedule. Cause of the strike was the seamen's demands that at least 80% of the crews be paid on a yearly basis instead of by the individual trip. Minister Bertrand's compromise put 50% of all French Line crews on annual salaries.

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