A w CIRCULATION IS OVER 4000 DAILY FULL LEASED WIRE DISPATCHES m m ei i t ;:,TSrfe AMI; 1 If I t U N I I hV -re. n o la I PRICE TWO CENTS g?AUlDSS THIRTY-EIGHTH YEAR SALEM, OREGON, SATURDAY, FEBRUARY 26, 1916 TERRIBLE BLOW DEA BY GERMANS AT VERDUN Armies Press Resistlessly Forward Over Blood-Soaked Field France's Mightiest Fortress, Considered Im- l pregnable, Is Seriously Threatened French Claim They Are Prepared and That Should Verdun Fall, Remaining Defenses Will Hold ' London, Feb. 26. Verdun, Frances mightiest fort ress, heretofore considered unconquerable, is seriously threatened. Brandenburg troops among the crack men of Ger many vesterdav entered the steel clad town of Doua- mont, keystone to the fortifications of Verdun from the northeast, and only four miles distant, while the kaiser himself looked on, today's official Berlin statement de clcl 16(1 Though Paris failed to confirm this German gain, the vagueness of the French communique, telling of taking up new positions backed by the Meuse hills, caused un easiness here. Papers accepted the Douamont victory reservedly, yet admitted the situation daily growing more serious. They suggested, however, that the mag nificent French resistance is such that even should Ver dun fall, the French front could not be broken for a drive on Paris. Bombardment of the remaining forts before Verdun and the shelling of Verdun itself is expected at once. The French are ready. Months age they tunnelled the city for refuge, and their big guns and their men are prepared for any lengths to save the city if possible from the Teutons. A later Berlin statement told of capture of positions southwest and east of Louvemont, at the same time ad mitting that yesterday's report of capture of Champ Neuville was incorrect. This statement indicated -that while the French right is retiring, the left resting along the Meuse heights has been maintained despite German onslaughts. "On the Wcevre plain," said the statement, "the enemy's resistance broke down from a point near Marp-poville." The reported rapture is believed ti have followed the collapse of tl French front from tho Ridge Cote Dt I'oivre (l'epper Heights) through Be aunvnux. In view of the position of Pmiamont, it w also believed the whole French force defending Verdun from the north and northeast has backe into the fortress under the most ter rible stroke dealt by the Germans since their offensive started. Cote Du Poivrc, key to the city's northern defense, luul been regarded as impregnable, even though' assailed by the enormous number of guns the Ger lniius had massed for their drive. The In lest Paris statement admitted that German regiments were assailing the French armored trenches and redoubts there, though it claimed these assaults bad been repulsed. .Show has added to the terrors of the campaign in that region, but the fight ing continues. From Douamont, the German guns rim bear upon the forts De Vaur, De Tavennes and De Belleville and sweep the northern plnin about the city with ii fire no infantry coulj withstand. "" " Loss 200,000 Men. No estimate of the fatalities in what may prove to be the most sanguinary battle of the war is obtainable, though it is accepted here that both -sides hav lost over 100,000 men. French estimates Aba Gartin Some folks are so sen.-itive that they feel snubbed if an epidemic overlooks 'em. It's a lucky girl that's got a lit tie sister 'a clutheo t' t ar thvio days. J 1 Bri cioe that the Germans lost l."0,000 thus fat are considered too high, though it is probable that nearly two corps were wiped out in mass attacks against some of the strongest field position's the world has ever known. Capture of Douamont alone was ac complished by tremendous losses. The blood of thousands of men mingles with the snows of the region. Bevond doubt, the Germans have centered all their resources upon the Verdun drive, hoping that, after taking it, they will be able to make their wav to Paris and thus bring an early end to the war. French reports indicate that the Teptons have drawn on their Russian fortifications to supply needed guns, and that others, released through Serbian successes, have been concen trated in the Verdun region. The en ormity of German losses already is con sidered proof that the kaiser plans to bring France to her Knees ana to com pel n peace. The French have been thrown bark nenrlv four miles along the eight mile front" before the efty, and, according to Berlin, the Teutons arc still progres-s- While the offensive against the French proceeds the English to the north are not inactive. The Berlin state ment reported the English hail attack ed east of Haas and Armentieres last night, but claimed they had been re pulsed, French Resistance Heroic. Paris, Feb. 20. Resisting heroically the German drive against Verdun, the French have taken up new positions backed by the Meuse hills, said today's communique. "The battle north of Verdun is con tinuing," -said the war office. "Ac cording to the last information, our forces were resisting the Germans with out counting sacrifices. Our artillery is replving to the German fire, shell for shell." Tho communique, couched in vague language, does not confirm the German claim of the capture of Douamont. The new position taken up indicates that the French have retreated, though men tion that these points are "backed by the Meuse hills" is valueless as a clue to indicate the extent of the re treat. It is possible that the French left wing evacuated the 'pepper heights" and is moving back upon Bras, or, it is possible the French have only been forced back on these heights Russians Advance Steadily. Petrogrnd, Feb. 20. Kermansah, Per si i, has been captured by the Russians after a three day battle, said delayed dispatches today. The victors now ex pect to make an early junction with the British at Kut el-Amara, Mesopotamia, 10 miles distant. The capture of Kermansah. coming ., . J i i... .i... H:. u uiii.-f, nun iui .i.-.t win. ii. mr Russian victorv at hrzerum. (Continued on I'aje Eignt.) WHEAT TAKES TUMBLE Chicago, Feb. 26. May wheat dropped 5 1-2 cents dur ing the day, closing at $1.13 1-2, a new low mark for this crop. rt we.r cables and nervousness er the international situation, ri ;ether with a determined Q ir raid were responsible. v wneni uroppea o .its. a Drops In Portland. irtlnnd, Or., Feb. 20. at prices dropped 5 to 0 in the loenl market today, of a slump on tho Chicago nge caused the break. ...ent declines in the price of wheat arc credited by market men largely to the order of the British government tak ing control of the entire mer cantile marine. Lighter Carrying 150 Motor Trucks Sunk Blaze On British Liner Xcw York, Feb. 2fi. That anti-ally plotters plan a new campaign of de struction wis believed today following the scuttling of a lighter earring loO allied motor trucks, and a fire aboard the British munitions steamer Ilvmg ton in the lower bay. The moorings of the lighter were cut, and the vessel was then scuttled in mid stream. Shortly afterward, the II vington, anchored in the lower bay, was found to be afire. The bl.ize was soon extinguished by a fire tug. Simultaneously District Attorney Cropsey of Kings county received an anonymous letter, recalling the recent 4,000,000 fire in the Erie basin and saying it was "only an indication of what is going to happen." The warning, coincident with tho lighter anil ship incident, was regarded so seriously th.it a detective guard was thrown out at the steamship piers. Stock Market Weak Bank Reserves Low . (Copyrighted lilli, by the New York Evening Post.) New York, Feb. 20. It is debatable whether the decline in the stock market today was due to the German capture of Douamont or to other influence, though for a long time the market has not been reflecting military news. Prices open ed uncertainly, then gave way and in the List hour were distinctly weak, clos ing without recovering. Another heavy decrease in surplus re serves, amounting to 000,000 was reported in the bank statement, leaving the actual surplus a little below that of a year ago, and the lowest since March. foreign exchange was mostly unclung ed, with slignt movements adverse to Austria and italv. Preliminary totals of the January foreign trade of the country confirmed that there had been very large exports. California Company Has $45,000,000 Surplus San Francisco, Feb. 20. The Stand ard Oil company was authorized by the state railroad commission today to issue $24,X4.'I,300 worth of its common stock as a dividend of one-half a share to each share of stock outstanding. The company scheduled with the com mission assets of $100,000,000 and a sur plus of $45,000,000. Its net profit in 1015 were nearly $10,000,000. The company operates in California alone and comes under the jurisdiction of the railroad commission because of its ownership of pipe lines which tin legislature a year ago declared public utilities. MRS. COLEMAN APPEALS Eugene, Or., Feb. 26. Mrs. Helen Coleman, aged 60 years, ha , appealed to the supreme court from the decision of the circuit court granting a divorce to John H. t olcmnn, nil. 'the decree gave iier ti.j.wu worm oi properi. air. anu Mrs. Coleman were married three ye.tr ago at an old peoples borne in Califor nia. PORTUGAL EXPECTS WAR London, Feb. 20. The Berlin press is urging a prompt demand upon Por tugal to release interned leuton ships seized this week, though Foreign Sec retary Von Jagow lacks confirmation of the seizures, said a dispatch tod.ty. Madrid dispatches said that Portugese authorities frankly admit they expect Germany to declare war on Portugal. MAT LOWER INTEREST RATES Spokane, Wash., Feb. 20. A Icore of bankers from northwest cities arrived in Spokane today for a conference, nmt to nttend the. hnnnuet of the v.cur.iig m, association night. Among other things thev will night. Among other things thev consider the question of lowering in terest rat on deposit from 4 to 3 r cent. ZEPPELINS Will CARRY SUPPLIES ATLANTIC German Airship Authority Predicts This May Be come Possible SWEDEN, SPAIN, RUMANIA MAY TAKE SIDES IN WAR Latter Is tho Unsolved Puzzle of Balkans Smiles at Al lies Just Now By Carl .. Ao'-erman. (1'nited Press Staff Correspondent.) Berlin, Feb. 2H. A great fleet of Zep pelins flying to America and bringing food back to Germany, is a'possibility if this war lasts several years longer, an authoritv on aeion.intics declared to day. "Seems like a dream," he said, "but a war that has seen submarines go from Wilhelmshaven to Constantinople and Zeppelins and aeroplanes play un suspected roles may see some even more startling developments in, say, three or four years. "The very fuct that this possibility is being discussed is evidence of the realization here that this war between England ami Germany is to be decisive if not a luttle to exhaustion. In this finish fight Germany expects to win, if necessary by bringing into play all the inventive powers that already have stood her in such good stead." In counting the probabilities of a long war, German military critics are casting their eye at neutr.ils that muy become involved. They are speculating for instance, on what would happen if the English threw an armv into Hol land and marched-" -ainst Aix-la-Ciiap-pelle to trap the German army in Bel gium. But the fact that the Dutch govern ment has just voted new credits for the defense of Holland's neutrality sat isfies the average Berliner that there is t little danger from that source. Sweden, Spain and Rumania, it is con ceded here, are the three neutr.ils most likely to play prominent roles if the war is long drawn out. Humors that Sweden plans to attack Russia if the war becomes one of exhaustion have been in circulation- here for months. Reports that Spain has been buying munitions in America have jlso aroused public interest when viewed in connec tion with Spain's decades-old umbition to conquer Gibraltar. Rumania is the unsolved puzzle of the Balkans. At present she is con trolled almost entirely, according to re ports brought here, by England's heavy purchases of Rumanian gr.iin. Italian Accused of Setting Fire to House Portland, Or., Feb. 20. Accused of attempting to set fire to a house in which five children, a man and woman were asleep, Vito Colacoln, Italian lab orer, was arrested today. At four o'clock this morning, a street cleaner saw Colacola set a dishpan filled with gasoline ami kindling under the porch of the residence of Joseph Battaglia, and set fire to the gasoline. The alleged incendiary was followed and arrested. Battaglia said he had quarreled with Colacoln, who had threatened the lives of his faniilv. Police Pick Up Two Suspected Auto Thieves Two men who were endeavoring to dispose of an auto robe and a kit of tools for an Indian motorcyclo were brought to the station today by Officer Nicholson whero they were booked on a vagrancy charge while the source of their supplies is being investigated. The officers are of the opinion that the plush lap robe and kit of tools are sTolen property. The men gave the names of Ueorge Mines and George Stevens and pleaded guilty to vagrancy charges and were given 10 days to think it over in the city jail. MORE CANDIDATES FILE. .1. M. Pdank, of Canyon City filed to day as a rnndidate for nomination by the Republican party for the office of District Attorney for (irant county. Other candidates are: W. II. Chatten, of Portland, candidate for nomiuation by the Republican party for the office of Representative in the legislative as sembly, Seventeenth representative dis trict, comprising Multnomah and Clack amas counties. A. K. Voorhics, of Grants Pass, can didate for nomination by the Repub lican nartv for the office of Represen tative in the legislative assembly, Heventh representative district, com prising .losephino comity. V. M. Duncan, of Klamath Falls, can date for nomination by the Democratic party for the oftice of District Attor ney fur KIK'aniath County. UNEASY "CONSCIENCE" HETTJRNS WATCH After 13 years as "lost" Mrs. Kate Bernard!, wife of Joseph IJernardi, assistant en gineer at the state house, re ceived a silver watch which she had long ago forgotten after giving up all hope of finding it. Tho watch was losl in a hop yard in years ago and as it was highly valued as a keepsake by Mrs. Berna.rdi she advertised in the local papers and offered a liberal reward for its return. Yesterday the watch arrived in good condition neatly packed in a box and bearing a three cent stamp but not a single line to indicate who had been carrying it Till of these years or whose conscience felt the twinge that caused its return to the right ful owner. Posse Gets Accurate Descrip tion of Hoboes Who Dressed His Wounds Sun Jcse, Cal., Feb. 2(! Bloodhounds trailing the murderer or George A. Jones, retired banker who was stabbed ti e'enth at his home yesterday, today picked up the blood trail in Alameda county. Shortly before noon they passed through Warm Springs on the state highway and headed in the gen eral 'direction of Irvington. The most important clue given the posse thus far came today when a rancher near Beriyessa told of having treated a stranger's arm for knife wounds. Rains obliterated the blood trail and it was lost several times by tho hounds and time was lost picking up the scent again. The coroner's jury today brought in this verdict:. "Death due to knife wounds inflicted by a party or parties unknown." Mrs. Jones appeared at tho inquest and told the coroner tho sanio storv as was reported to the police. The San Jose police have received an accurate description of the sup posed slayer from two hoboes who de clare they encountered the man early Friday morning in San Jose. Tho man had a severe knife wound in his arm, they said, and they assisted him in dressing it. The last time they saw him, they said, he was going in the direction of Alameda county. Tho police are confident that despite the difficulties presented by the rains which have obliterated the trail at many points, the bloodhounds will be able to run the suspected man to earth. They started on the scent two hours before midnight but made a false start and after midnight wd5' brought back to the scene of the crime and started anew. Also Wants $20,000,000 for Nitrate Plant Needed In War Times Washington, Feb. 2. The house mil itary committee today voted to rec ommend a regular army of 14.,UUU, it ter having defeated Representative Til son's plan for an army of 220,000 ns ad vocated by General Leonard Wood. Representative Ka'nn, of California, Absent from the voting, favors a re-con iteration ibut it in understood the question will not he rc-opencd. The bill authorizes a $20,000,000 ap proririatiou for a nitrate plant, to be devoted to lertili.er manufacture in peace times anil to munitions manufac ture in war times. It would be leased in pence to a private concern at a re turn of three per cent on the investment th the government tixiug the price for its output. Keizer School Formed Parent Teachers' Club The patrons of Keizer school met and formed a parent-teachers club Thursday evening. The rooms were decorated with ferns jnd pussy willows. A short program was given liy the scnool roiiowcu oy short adress by Superintendent W..M. Smith on the need of such a club. Miss Helen Cowgill followed with nn address on Industrial club work, which was greatly enjoyed by all. Mrs. lurk, president of the County Parent-Teachers' association, then took chame. organizing tho cluu. Hcircsn- ments were served jfter the business meeting adjourned. All present enjoyed the evening ami it is hoped there may be more such gatherings. rHINK CONGRESS WILL FORGE WILSON TO YIELD Ackerman Wires From Berlin That German Officials Count On Congress Forcing President to Back Down-Think Congress Will Pass Resolution Warning Americans To Keep Off Armed Ships-Administration Handicapped by Lawmakers 1 By Carl W. Ackerman, United Press Staff Correspondent. Berlin, Feb. 26. Germany counts upon congress to force President Wilson to back down from his position in the German-American situation, the United Press learned today. While officials would not comment upon it, the general feeling here is that if the matter of the German armed merchantmen decree is referred to congress, a resolution will be passed, warning Americans from traveling on armed ships. Dispatches suggesting the possibility that President Wilson would ask the recall of Ambassador Von Bern storff caused great surprise here. For the past 24 hours the United Press office has been besieged by telephone calls from officials and prominent men inquiring as to the truth of the reports. American Ambassador Gerard and Foreign Secretary Von Jagow declared, however, that no such intimations had come to them. Though the report that congress may force President Wilson to yield to Germany roused hope here of a peace ful settlement of the controversy, the feeling against America is daily more intense. Not only the public but also officials are frankly bitter in their criticism of the president for refusing to warn Americans to keep off armed ships, an dthe consensus of opinion is that recall of diplomats, would have the worst possible effect upon German-American negotiations. - ' J , Ambassador Gerard, despite his recent accident,' is now at his desk looking after American interests. The above dispatch is the first word of the German feeling since a breach was evident between the president and congress on the decree situation. Washington, Feb. 2(1.- With the Ger man submarine warfare on armed mer chantmen scheduled to start in four days, it appeared unlikely today that congress would interfere effectively be fore then in the German-American dip lomatic situation. A crisis in relations between tho two countries, however, is imminent. Germany ' reply to the American re fusal to acquiesce in the German pro ject was expected momentarily ami it was believed German Ambassador Von Bcrnstorff would be ready to present it to the state department Monday. That the answer would be unsatisfac tory was regarded by the administra tion as u foregone conclusion. Moreover, despite rumors of a postponement of the warfare decree, officials did not be lieve Germany plans any delay. After two days of discord, congress prepared today to relax its agitation fur a warning to Americans to refruiu from traveling on armed ships. Congress Backing Down. Some '"flare ups" were still antici pated, but serious attempts to puss over President Wilson's objections nny meas ure warning Americans to keep off urmed mere-bunt ships hud been tempor arily abandoned. In the senate, the (lore warning resolution had no chance of coming up today because of the legisla tive maneuver of taking a recess yes terday to today, instead of adjourning as customarily. As for tho statements of Speaker Clark and Mnmrity Leader Kitchin that nn "overwhelming majority" of the house favors a warning, prominent house members declared these views are mistaken. A group favoring a compromise mens uro suggested that President Wilson wnru Americans from armed ships, but declare them within their rights it they violated the warning. As a corollary to this proposal, the administration would be asked to warn Germany that it h jk taken all possible steps to protect citi zens, but still would hold Germany to "strict accountability" if any were injured or killed through (iermnn at tacks. The conviction was expressed at bi' ends of the cnpitol mat congress will not jirem warning resolutions until an actual break with Germany is imminent or until a crisis arose in which the presi dent would have a free hand if not curbed by congress. Meantime, the president and his personal aides, inelud ing Postmaster General Burleson plan ned to conduct a "personal influence" campaign among congressmen to pre vent further trouble. After n canvass, Senator Lewis, demo cratic whip of the upper house, report ed to Stono thtit opposition to Presi dent Wilson could not prevail, so he recommended a vote on the Gore and Jones resolutions as soon ns desired. Lewis prepared a resolution to intro duce Monday endorsing the president's stand. Germany Did Not Play Talr. Washington. Feb. 20. The reason for administration opposition to issuance of a warning to Americans to keep off armed ships was explained by a hi"h state department official today for the benefit of tho public, at the request of the United Press, lie said tnnt loiinw ing tho I.usitnnia torpedoing Germany promised not to attack unarmed liners in the future without warning to insure tho nafety of passengers. Then before the informal Liinsing-Hernstorf f confer ences wero fairly started over Amer ica's demands for disavowal, admission of liability, and punishment of the e.om mnnder, the torpedoing of the Arabic occurred. In settling this latter case, Germany promised not to attack any liner witn out warning. After months of informal negotia tions, Germany phrased a final reply in tho I.usitauia cuse, satisfactory to tho original American demands but before the formul agreement was reached, how ever, Germany issued her proclamation of war on armed merchantmen. "Another reading of the Arabic promises showed that tho decree was wholly inconsistent with tho settlement and nullified it. Again, if the govern ment were to warn citizens, it would pluco the situation in a position of nnl lifying and even repudiating the I.usi tnnia demands," said the official. One Nation Replies. Washington, Feb. 2d. From one of the allied nations, America has heard a to her proposal that, for the sake of humanity, armament bo removed from merchantmen. Whnt this reply stated, or from whence it rnme, the administra tion would not announce today. It was, however, of uch a nature ns to have no effect upon the American difficulty with Germany over the lat ter decree of war upon nrmcu mer chant ehips. (Continued an I'aje Kight.) THE WEATHER X I Oregon: Tonight and Sunduy fair west, unsettled, probably rain or snow cast portion.