prepares to help
Russia, as she is sure to do, Austria can keep Servia and Russia busy,
while Germany fulfils her long-held determination to bring France to
her knees, and to make her practically her vassal. No one believes
that England would interfere. My own belief is that Germany is using
the present occasion as the first step towards carrying out her
long-cherished ambitions. When once she has conquered France, and
commands her sea-board and her navy, she will then be able to crush
England, which is her ultimate aim."

When the Admiral showed me this letter, I suppose I smiled
incredulously, for the old man broke out into violent language.

"I believe it's true," he cried. "The Kaiser, for all his pious
hypocrisies, is a war devil. He hates the thought that England should
be such a World Power, while Germany is only an European Power."

"But the Kaiser isn't such a fool," I replied. "He knows England and
her strength."

"Yes, but he's drunk with pride and arrogance. He thinks Germany is
destined to rule the world."

A day or so later news came that Servia had consented to all Austria's
demands with the exception of two points, and suggested that these
should be submitted to the mediation of the Great Powers.

"Ah, that clears the air!" I thought; "nothing can be more reasonable."

Much to the surprise of every one, news came on July 26 that Austria
regarded Servia's answer as unsatisfactory, and that the
Austro-Hungarian Minister, with the Legation Staff, had left Belgrade
on the previous day.

On July 28 I called at Mrs. Nancarrow's house, where I saw Bob reading
the newspaper with a smile on his face.

"This is fine," he cried--"just fine. What a splendid fellow Sir
Edward Grey is! It was he who proposed a Conference in the
Turco-Balkan difficulty, and now it is he again who is going to settle
this."

"I am afraid the Turco-Balkan Conference didn't help much," I replied.

"Ah, but this will. After all, what's the heart of the quarrel? The
murder of the heir to the Austrian throne. A ghastly affair, I'll
admit, but everything can be settled."

"Has Admiral Tresize mentioned a letter which he received from Vienna a
day or two ago?" I asked.

"Yes," replied Bob, "but of course it was pure imagination. Do you
know, I admire the Kaiser. He's a good man, a religious man."

I coughed.

"Of course it is easy to imagine a case against him," he went on
lightly; "but it has no foundation in