FROM APRIL 3 TO MAY 3
French and Jugo-Slav Debt Agreements.—A11 agreement for funding the French debt to the United States of about $4,000,000,000 was finally reached on April 29, after negotiations in which Ambassador Berenger offered increases in the initial and total payments to meet the demands of the United States Debt Commission. The agreement calls for a total payment of $6,847,104,000 in sixty-two years. The payments during the first ten years are $35,000,000 less than was offered by Mr. Caillaux, but the total is $627,000,000 greater.
No interest is charged during the first five years. After that the interest if averaged would amount to 1.58%. The present-day value under this arrangement reckoning interest at 4^% over sixty-two years, is about 50% of the principal, as compared with 26% for the Italian payments, and 78% for the British. It is believed that the agreement will be ratified in the U. S. Senate by a majority about the same as that given to the Italian accord. Both France and Jugo-Slavia are said to be seeking $100,000,000 loans in the United States.