-day.

"Request most urgently to postpone further steps till you have received
my answer."

(2) CIPHER TELEGRAM

"Washington, 10th January, 1917.

"In reply to Telegram 1488.

"Memorandum Lansing received. In my opinion steps in sense of this
memorandum will cause collapse of Wilson's peace mediation, and bring
about instead a rupture with America, unless action is postponed at
least until agreement is reached with American Government. It may
perhaps be possible to arrange that Americans should be warned against
serving on ships armed for attack. In any case, however, time must
be allowed the Government here to bring this about. As everything
is decided by Wilson, discussion with Lansing is mere formality.
He never gives an answer until he has received instructions from
Wilson. In present case latter must read memorandum first.

"How much importance Your Excellency attaches to Wilson's peace
mediation I cannot judge from here. Apart from that it is my duty to
state clearly that I consider rupture with the United States inevitable
if immediate action be taken on the lines of the memorandum."

At the time of sending the telegram I received, in the following
telegram, the reply of the Foreign Office to Mr. Wilson's last
proposals, which had been communicated to me through Colonel House:

CIPHER TELEGRAM NO. 149

"Berlin, 7th January, 1917.

"In reply to Telegram No. 192 of 29th December.

"For your personal information.

"American intervention for definite peace negotiations is entirely
undesirable to us owing to public opinion here. Also at the present
moment we must avoid anything that might deepen the impression
among our enemies that our peace offer is in any way the result
of our finding ourselves in a desperate position. That is not the
case. We are convinced that economically and from a military point
of view, we can bring the war to victorious conclusion. The question
of stating our conditions, therefore, Your Excellency will handle
dilatorily. On the other hand, I authorize you to state now our
readiness to cooperate in that part of the programme in which the
President is particularly interesting himself, and which seems
to be identical with the so-called 'Second Convention' outlined
by Colonel House here. In this we include arbitration machinery,
peace league, and examination of the question of disarmament and of
the freedom of the seas. We are, therefore, in principle, prepared