832.51/1481: Telegram
The Secretary of State to the Ambassador in Brazil ( Caffery )
114. Your 194, June 15, 5 p.m. Department agrees with your action in not responding directly to Aranha’s request for suggestions. Please bear in mind in any discussions you may have with Aranha, when and as he seems prepared to define his offer (a) that the Council23 would find it much easier to go along with reduced payments that are proposed as a purely temporary offer than one that appears to be put forward as a permanent basis of settlement and (b) that an offer that ran in terms of percentages of coupon rates would work out more satisfactorily for the holders of dollar bonds than an offer in terms of flat interest rates for different grades.
- Foreign Bondholders Protective Council, Inc.↩