y of State said that a reassuring feature of situation was that
Count Berchtold had sent for Russian representative at Vienna and had
told him that Austria-Hungary had no intention of seizing Servian
territory. This step should, in his opinion, exercise a calming
influence at St. Petersburgh. I asked whether it was not to be feared
that, in taking military action against Servia, Austria would
dangerously excite public opinion in Russia. He said he thought not. He
remained of opinion that crisis could be localised. I said that
telegrams from Russia in this morning's papers did not look very
reassuring, but he maintained his optimistic view with regard to Russia.
He said that he had given the Russian Government to understand that last
thing Germany wanted was a general war, and he would do all in his power
to prevent such a calamity. If the relations between Austria and Russia
became threatening, he was quite ready to fall in with your suggestion
as to the four Powers working in favour of moderation at Vienna and St.
Petersburgh.

Secretary of State confessed privately that he thought the note left
much to be desired as a diplomatic document. He repeated very earnestly
that, though he had been accused of knowing all about the contents of
that note, he had in fact had no such knowledge.

No. 41.

_Sir M. de Bunsen to Sir Edward Grey.--(Received July 27.)_

(Telegraphic.) _Vienna, July_ 27, 1914.

I have had conversations with all my colleagues representing the Great
Powers. The impression left on my mind is that the Austro-Hungarian note
was so drawn up as to make war inevitable; that the Austro-Hungarian
Government are fully resolved to have war with Servia; that they
consider their position as a Great Power to be at stake; and that until
punishment has been administered to Servia it is unlikely that they will
listen to proposals of mediation. This country has gone wild with joy at
the prospect of war with Servia, and its postponement or prevention
would undoubtedly be a great disappointment.

I propose, subject to any special directions you desire to send me, to
express to the Austrian Minister for Foreign Affairs the hope of His
Majesty's Government that it may yet be possible to avoid war, and to
ask his Excellency whether he cannot suggest a way out even now.

No. 43.

_Sir E. Goschen to Sir Edward Grey.--(Received July 27.)_

(Telegraphic.) _Berlin, July_ 27,