assumption of Sir Edward Grey,
British Secretary for Foreign Affairs, at whose instance the
proceeding was taken, the parts of the Serbian reply which were not
accepted by Austria-Hungary are the most vital in it, since they
contain the guarantees for Serbia's observance of the demands made
on her. So, too, it is an assumption that the action taken against
Serbia was directed against Russia and her influence in the Balkans.
Austria-Hungary does not charge Russia with instigating the Serbian
propaganda against the Dual Monarchy. Our feelings toward her are
entirely friendly.

Austria-Hungary cannot adopt the desired attitude toward the Serbian
reply since this has already been outstripped by events. Our
declaration of war was made after vainly waiting three days for
Serbia to abandon her point of view.

"If the British Cabinet is prepared to use its influence on the
Russian Government with a view to the maintenance of peace
between the great powers, and with a view to the localization of
the war which has been forced upon us by many years of Serbian
intrigues, the Imperial and Royal Government could only welcome
this."

Ambassador Szecsen telegraphed from Paris that France was
unmistakably making military preparations.

"The German Ambassador, Baron von Schoen is commissioned to
discuss these preparations with M. Viviani [French Prime
Minister] to-day, and to point out that in these circumstances
Germany may be compelled to take similar measures which
necessarily could not be kept secret, and which could not fail to
cause great public excitement when they became known. In this way
the two countries, although they are only striving for peace,
will be compelled to at least a partial mobilization, which would
be dangerous.

"Further, in accordance with these instructions, Baron Schoen
will declare that Germany has a lively desire that the conflict
between us and Serbia should remain localized, and that in this
Germany relies on the support of France."

Ambassador Szogyeny telegraphed from Berlin that as early as the
26th inst. the German Government had warned Russia that mobilization
by her would cause German mobilization.

"Another telegram has to-day been sent to St. Petersburg, stating
that owing to the further progress of the Russian measures of
mobilization Germany might be brought to mobilize."

A