File No. 832.85/54
The Ambassador in Brazil ( Morgan) to the Secretary of State
[Received 4 p.m.]
French and Brazilian Governments have made an arrangement regarding the charter by France of 30 ex-German vessels on the following terms:
These vessels shall make 12 voyages between Brazil and Europe between December 1, 1917, and March 1, 1918. Between the latter date and March 1, 1919, they shall make 32 voyages each way between France and Brazil.
[Page 378]France will deposit in London to the credit of the Brazilian Government 110,000,000 francs and will also expend double that amount, equally divided in purchasing Brazilian coffee and cereals. No rubber will be bought.
Contract expires March 1, 1919.
Ships remain under Brazilian flag with Brazilian crews.