832.852/64: Telegram

The Secretary of State to the Ambassador in Brazil (Caffery)

3784. SD 538 for Rose and Donnelly from Admiral Land.45 Reference our SD 495, Department’s 3703.44 You are authorized to [Page 753] supplement previous exchange of notes dated September 30, 194246 and charter parties signed on October 20, 1942 so as to provide as follows:

“In consideration of the payment by the owner to the charterer of the sum of $350,000 United States currency the charterer agrees to accept and the owner agrees to deliver to the charterer at ports mutually agreed upon in the United States of America, the following vessels: SS Norte Loide, SS Su Loide, SS Vitoria Loide, SS Apa Loide, SS Gavea Loide, SS Pelotas Loide, SS Pirai Loide, SS Rio Loide, SS Baia Loide.

The charterer agrees to make all necessary repairs to said vessels to make the same seaworthy and up to classification as chronicled for in article Nos. 2, 5, 6 of the aforesaid charter parties. It is further agreed that all other terms and conditions of the said charter parties shall remain in full force and effect.”

We do not understand your reference to proviso WSA assume cost of War Risk and total loss insurance. If the reference is intended to mean that Brazilian Government will require same war risk and total loss insurance protection for the period of north bound voyage prior to delivery as they are entitled to receive after delivery we are agreeable to this concession if same absolutely necessary to close transaction although we would prefer not to make the concession if possible. Please proceed accordingly and advise. [Admiral Land.]

Hull
  1. Vice Adm. Emory S. Land, Administrator, War Shipping Administration.
  2. Not printed.
  3. See footnote 29, p. 743.