o accept the resignation of the Salandra
Ministry, the Giolittian organ, the Stampa, of Turin, has
dropped something of its feverish neutralistic propaganda, the
Giolittian color has gradually faded from the Giornale
d'Italia and the Tribuna, while ex-Premier Giolitti himself
has left Rome, declaring that he had been misunderstood in
having his declaration that Italy could obtain what she
desired without fighting construed into meaning that he
desired peace at all costs.

It is understood that in the middle of April Austria-Hungary
became convinced that neutralistic sentiments might prevail in
the peninsula, and consequently became less active in her
negotiations with the Salandra Government. Thereupon Italy
resumed negotiations with the Entente powers, and on April 14
acknowledged that Serbia should have an opening on the
Adriatic Sea. This caused the Austro-Italian negotiations to
be heatedly resumed, and on May 18 the German Imperial
Chancellor read to the Reichstag the eleven Austro-Hungarian
proposals. The text of these proposals, together with the
Italian counter-proposals and the Italian exchange of claims
in the Adriatic with the Entente powers, will be found
outlined in the Italian official statement cabled by Minister
Sonnino to the Italian Ambassador at Washington, presented on
Page 494.

It must be borne in mind that the press comments are based
upon an imperfect knowledge of the ultimate proposals and
claims, and that the Italian attitude for rejecting the
Austro-Hungarian proposals obviously rests on these grounds:

1. They are inadequate and might be rendered nought in case of
the victory of the Entente powers.

2. They do not give Italy a defensive frontier in the north
and east.

3. They do not materially improve Italy's commercial and
military condition in the Adriatic.

4. They make no mention of Dalmatia and the Dalmatian
Archipelago, with their deep harbors and natural
fortifications--a curious contrast to the lowland harbors of
the Italian coast opposite.

The Italian demands take into account the possible victory of
the Entente powers.

In the circumstances, it is best to begin with an extract from
a German paper, as there seems to be an impression abroad that
Germany has not ap