103.9169/12–2344: Telegram

The Secretary of State to the Minister in Sweden (Johnson)

2575. Swedish Legation in memorandum December 18,42 report to us they have been instructed by Ministry of Foreign Affairs in Stockholm to communicate following from SKF Company in Gothenburg to USCC Washington:

“We hereby beg to inform you that in pursuance with our letters exchanged in Stockholm dated June 8 and 9, 194443 we expect you to take over and pay for ball bearings, parts and machinery up to the amount mentioned in your letter of June 9, paragraph a. We are prepared for delivery and await your instructions to whom we have to deliver, as well as where to present documents against payment. Referring to our letter of June 8, point 5, we suggest that you and the British Ministry of Economic Warfare appoint Mr. Waring or other adjoint representative residing in Sweden for handling the details. We presume that you have been informed of certain negotiations with official representatives from the US Legation in Stockholm and officials from the British Ministry of Supply in London and Stockholm which negotiations, however, are not as yet concluded. Should you be interested in a settlement along the lines discussed with the above representatives we would suggest that you give the necessary instructions. Awaiting your reply by cable.”

Please inform SKF that USCC recognizes an obligation to take over and pay for bearings, parts and machinery under the agreement of June 9, but not those produced for shipment following October 12. Also that USCC is informed of negotiations which are taking place and that a technical representative is on his way to advise the American Legation in Stockholm on the technical aspects of the settlement. Furthermore that the American Legation will have authority to negotiate such settlement44 subject only to final approval USCC Washington.

Stettinius
  1. Not found in Department files.
  2. Neither printed; see footnote 73, p. 564.
  3. According to a release signed by H. Hamberg, President and Managing Director for and on behalf of AB. Svenska Kullagerfabriken, Göteborg, Sweden, transmitted to the Department by the Minister in Sweden in his despatch 5890, August 6, 1945 (neither printed), on July 27, 1945, in Stockholm AB. Svenska Kullagerfabriken received a sum of 6,700,000 Swedish kronor ($1,597,615) from the U. S. Commercial Company in full settlement and satisfaction of all claims arising out of the “Griffis–Waring Agreement” of June 8–9, 1944, released the US Commercial Company and the U. S. Government from any and all obligations, retained all bearings, machines, and materials pursuant to the US Commercial Company’s liabilities under the “Griffis–Waring Agreement”, and assumed all packing, storage, handling charges and all other liabilities arising from the agreement (740.00112EW/8–645 and Stockholm Legation Files).