FULL LEASED W1KE DISPATCHES CIRCULATION IS OVER 4000 DAILY THIRTY-NINTH YEAR NO. 283 SALEM, OREGON, SATURDAY, DECEMBER 30, 1916 iv( inw vijoui xa njrTANDft TXVU TEUTONS MARCH IN STILL F Russians Put Up Stubborn Re sistance But Are Forced Back STORMS AND SNOW PUT CHECK ON FIGHTING German Troops Advancing Along Entire Line On Ru manian Front 'terlin. via Snyvillc wireless, Dec. 30. - -Further, progress of Germau-.Yustro- Hungarian attacking troops on th 'i iHiisylvaniau fronts, despite tenacious l -.sistance, was announced in today cfiicial report. The Teutonic columns catered entrenched positions of the en jOiy and pushed further ahead, despite fc'rong counter attacks. The Russian de fenders left 10 officers and (350 meu ot other ranks and seven machine guus in ttie attackers' hnnds. On Archduke Joseph'! front, successful patrol service- was reported in the snow covered tforests of the Carpathians. Prince I.eo- Id reported uutavorable weather had caused relapse into usual trench li i-.i from iufimtry activity. ht- Germans Adrauce in Rumania. Berlin, Dec. SO. German troops are advancing on the whole front in Ru ms uia, today's war office statement as-fcrte-d, describing the operations in Yiallachia from the mountains to the Danube. "'We stand in a progressing fight," the statement said, Vou a line uurtheusi os- Y'izirul (Visiru) and Sutesti, on to l'. seaul and Slobozia and half way be yvi:d Rurriuicu-Saiat (on the way to I ' sani) to lHaginesti (1'lajinesci)." The line given above runs from "u i ', about 30 miles southwest of Braila id possibly six or eight miles west of tat! Danube, northeastward across the BUzeu river to the Riminicu-Sarat riv er, at a point about 31 miles due west o Galati, and thence almost due west to the mountains. Take 3O0 Prisoners. i 'niia, Dec. 30. Capture of 300 pris qi i s. six guns and '26 machine guns was reported in today's official statement ias, the booty of Thursday's fighting in "Wtillachia and the mountains westward , of Focsani. Steady repulse of the en- ciy north, northeast and northwest of K:'iiniicu-sarn': was asserted. French Attacks Repulsed. leiliu, via Sayville, Dec. 30 Merman troop yesterday repulsed several French attacks, preceded by strong fire, and' launched against positions on Dead Man's hill held by the Germans, . to day's official report asserted. ' Temporary increase of fip northwest of Lille, on the Soranie, and especially on the north bank and at isolated sec tions of the Aisue front, with repeated repulse o'f British and French patrols detailed in today's official state ment. i Kaiser Sympathetic. Asteidum, Dec 30. Kaiser William BUS scut a message of sympathy to Gen eral Von Hissing, governor general of Belgium, who is seriously ill of pneu monia at Brussels, according to Berlin li patchcs today. .n the message the kaiser expresses iniperialatisfaction over Vor. Hissing's work in Belgium and compliments the "jgovemor geucral-on his strong hand, (Continued on paee six.) f C.TS I IN ii1. v i' 'I Mrti Ther's ncthio' free in this country Imt "totel stationery an' air. Thirty dol iu . hoes ought t' keep some o' them at li ..He anyhtiw. CARPATHIANS JS?.-) Kirn IJSE m& - jfi TK EtfiL Named Judge Robert Eakiu, of the supreme I bench of Oregon, yesterday resigned I his Hsition on necount of ill health, . and Governor Withveombe appointed ; Wallace Mci.amnut to fill the vacancy. Vallace McGamnnt is a well known iwyar of Portland. For the past year tstice Kukin has been unable to do ich worn connected wnn nis omee. Yttoruey MeCnmant will assume his I duties on January S, when the s of the recently re-elected justices i V begin. Through process of law l ?e Kakin would have become Chief e of the supreme court succeeding to Justice Moore. Judge Kakin has served nearly ten years on t lie supreme bench and would have completed the ten-year period on January IB of next year. He was born in Elgin, Illinois, March 15, 18-18, and studied law with George Pons of Eu gene and graduated from Willamette University in 1873. PORTLAND HAS STRIKE OF 350 IRON WORKERS Portland, Ore., Dec. 30. Follow ing the walkout of 320 metal trade? workers at the Willamette Iron & Steel com pany's plant here, police were today making every effort to see that Mayor Albee's warning itgainat violence is h ceded. The men who are on stvike were warn ed l.y a proclamation issued by the may. or thai no interference with men who apply ior w ork Tuesday, when the com pany wal attempt to reorganize its I wurmug lores, win ie toierateu. xae order also asks the employers not to em-! ploy armed guards but to leave any I trouble entirely to the police. Uio men insist they du not demand a closed shop but merely a revision of the wage schedule and hours and the priv ileg of asking non-union men to join their locals. To Referee Match. Han Francisco, Dec. 30. Al Williams, wrestling Instructor at the Olympic club here, will referee the Lewis-Santel wrestling bout here next Tuesday night, it was announced today. Hantel and Lewis began tapering off in their train ing today and will probably wind up work tomorrow. Latvia weighs 228 aud Santel 183. It is a large world, and-aro ore 691,000. miles of railroad in it; 200,000 miles are in America. BELGIAN ARMY HOLDS STRONG POSITION BACK UNIQUE WA TER DEFENSE By Henry Wood (United Press staff correspondent) With King Albert's army in Bel gium, Dec. 15. (By mail) Behind barriers of water that arc more impas sable than the strongest barbed wire en'aiiglemeuts, the Belgian army is! iioiuing its part ot the western battle i standard of efficiency while waiting front and training and waiting for the for the time when they can participate day when more of Belgium can bejin the redemption of Belgian soil. wresicu irom tiie enemy. me Belgian army wnieli now holds nil of Belgium not in Germany 's hands is situated in perhaps the most unique Hunting position ot any ot the being-; erent iore.es. it is out ot lighting touch with the enemy except by ar-; tillery firing. For the most part the Germans are a mile distant and inter- veiling, in place of N0 Man's hand, is No Mn s ater The Belgian system of imindating defenses through the river Vscr, the Vser canal and various inundated districts puts unique bar rier between the two forces. Thanks in part to the allies' help unr ilksjiart to Belgium s own nidoni: labl rit and the industry of her ing Albert's army will not bo. obit d to suffer this winter the and privations that fell to its tot the lust two winters f the war. The Belgian army-lias been completely re-equippeu and outlined. In part the equipment has been furnished by the fillies, yet a goodly portion is due to the Belgians thomselvcs. They have; army to let off sufficient of the wafer established numerous factories not on-1 to permit recovery of nearly all of this ly on the nomnant of Belgian soil stilljGeTman artillery. It has been repaired left to them, but also in France These factories not only supply the troops, but give employment to thous ands of Belgian refugees. Thanks to the efficiency of their water barrierB, the Belgians are not subject to German infantry attacks.. They have to withstand only artillery uring and they are now equipped to give adequate answer to this sort of combat. They have constructed dug outs and other .shelters and with their new equipment, the army is able to keep reasonably warm, dry and com fortable, while manning the dykes along which their first line defenses rnn. The Belgians are perfecting their army. The cavalrv haa been entirely 1 remounted almost without exception on American horses bought largely is ENTENTE ALLIES REFUSE TO ENTER GERMAN PEACE NEGOTIATIONS WHEAT UP FOUR CENTS Chicago, Dee. 30. Wheat was sharply higher today. An un expected short interest devel oped and short traders were forced to bid up December in order to make deliveries. At one time December was seven points above last night's close, but when the short traders got the grnin they wanted, it dropped back to 4 1-2 points above last night's close to $1.65 1-2. Other futures showed sympa thy. May wheat opened ftp 3-1 and subsequently gained 2 7-8, going to $1.74 1-2. July opened up 1-8 and gained 3-4 in the short session, closing at if 1.42 3-4. L -NEW MEXICAN POLICY By Carl D. Groat. (United Press staff correspondent.) Washington, Dec. 30. An entirely new policy toward Mexico is virtually completed and under consideration by President YY llson. According to the ices, this proposed e the followiuir i most authoritative soui- new plan will take the following course : Gerferal Pershing's forces now in northern Mexico, will be ordered within the border. Thereafter the Mexican-American commissioners will reopen negotiations to clear up such peiiuing questions as border patrol, protection of American lives and property in Mexico and pos sible financial assistance. Ambassador Fletcher will be -sent to Mexico City and Carranza's representa tive here will be formally recognized by this government- These propositions, according to all signs this afternoon, will be submitted to the American-Mexican commission when it meets Tuesday. The first two suggestions are Car ranza's. Carranza holds that for him to come to any terms with the United States while United States troops remain on Mexican soil would be construed by this country as having been forced on him. Judge Charles A. Douglas, legal rep resentative of Carranza here, today con ferred with government officials on the possibility of voluntary withdrawal of (Continued on page seven.) (Texas. That portion of Belai um which remains in possession of the Beliriun ar my docsn 't offer satisfactory grounds ror cavalry ami. Therefore the. var ious Belgian cavalry divisions take turns in drilling on French cavalry grounds, keeping up to the highest Thei artillery branch has likewise been developed to a point where the 1 Belgians can boast of perhaps the most j formidable artillery strength of an -, army of its size in the world. Thi present war having demonstrated the suprefo role which artillery plays, the 'allies have seen to it that the Belgian jarmv is equipped in the fullest possib;c ' manner. To their original field artil . lery, the Belgians themselves were abre .to add a number of batteries from lortugnes" factories and trance ami ; j.iiftianu nave ttuut-u an uii-ii ipca ui. heavy artillery. N'o smail contribution was also made t( the Belgian artillery by the Gr-r mens themselves, When, as a last re source in the fighting of 1914, the Bel gians opened the flood gates that in undated great portions of their soil, the Germans had to beat such a hasty retreat that they abandoned heavy and light artillery. Since that time this perfection of the Bilgian "inundation defenses" has made it possible for the aud a great deal of it is now effective ly serving the Belgians. If the allies have been geaerous in helping Belgium, the Belgian army has likewise been as generous to its fighting comrades. Since the "water barriers" prevented close contact with the enemy, Belgium turned o,-er to Tiutria the famous armored automobiles wh'ch played such an important fart for Belgium in the early days of the wur. PRESIDBNT TO CAPITOL Washington, Dec. 30. President Wil son made a sudden trip to the capitol this afternoon to aee Senator Newlaiids! chairman of the interstate commerce' comriHttee. which is in charge ot too president's railroad legislation. ilS BE MADE TO BE CONSIDERED German Proposal Is Not Offer of Peace, But War Maneuver ALLIES FIGHTING A WAR THEY TRIED TO PREVENT Say German Note Ignores Facts, and That It Was Cause of War Paris, Dee. 30. The allies today form .. ' - : , A 4, , aU' retu8ed t0 eter "eace gotiatto with Germany without, knowing' wh lis knowing' what conditions the Teutonic powers have to propose. The note of the allies replying to Ger many, as announced this evening, charges that the German proposaj ap pears more like a war measure than a peace proposition. The allies expressed their resentment of the effort of Germany to place upon them responsibility for the war. The allies, in turn, charged the cen tral powers with direct responsibility for the war aud refusal to enter negotia tions offered by France, England and Russia to prevent it. The note, signed-bv all of the entente jowers, declared these nations were just as strong in their attachment for peace as in 1914, but added: "After the violations by the central powers, " and their engagement in war, they cannot end the war at Germany's suggestion without any conditions with which to open negotiation! "The German proposal is not an oTfer of peace. The proposition appears more like a war maneuver." Iu reciting arguments designed to place the blame for the war on the central powers, the allies referred to Gormany as ' ' the empire which pro claimed that treaties were scraps of pa per." The Text of the Note. The note handed to the diplomats at 7 o 'clock said: "The allied governments of Belgium, France, Great Britain, Italy, Japan, Montenegro, Portugal, Russia, Rumania and Serbia, united in the defense of the liberty of their peoples in true engage ment will not separately lay down their arms and have decided collectively to answer the so-called peace proposal. "First of all the allies protest against tho -enemy's assertions attempting to throw on the allies responsibility for tne war Also the proclamation of the central powers claiming victory. Both asser tions are untrue. "For .10 months the allies have sus tained the war which they did the ut most to prevent and they have showed by their acts their attachment for peace. "This attachment is just as strong to day as in 1314. "After tho violations (by the central powers) and their engagement in war they (the allies) cannot end the war at Germany's suggestion without any conditions with which to open negotia tions." "The German proposal is not an of fer of peace. The proposition appears Ml - - II " . Aa far Rs the past is concerned, the (Herman) note ignores facts, dates and figure showing that Germany wanted, provoked and declared the"wnr "At The Hague it was the German delegation that refused the disarmament proposal. Iu July, 1914. It was Ausiria that declared war on Serbia- "The central powers refused all at temfpts to stop the conflict; they re fused England's offer for a conference; France's offer for an international com mission and thf czar's arbitration pro posal. "Belgium was invaded by the empire which proclaimed that treaties were scraps of paper." "So-called Offers, based upon the Eu ropean war map, do not express the truth of the situation nor tho real strength of the. adversaries. "Peace made on this basis would be to the advantage of the aggressors who hoped to attain their aim in two months. "They have found, after two years, that they never will attain their aims." "For the future Germany does not bespeak the necessary guarantee,." Reparation Demanded. "The ruins provoked by the -wr "nd all the acta (of the Central Bowers) against the rights of men, both against adversaries and neutrals, call for re- oarations. "The proposal of the centra! powers (Continued on page seven.) PROPOSE MUSI DEFINITE DODGED SUBMARINE New York, Dec. 30 A narorw escape from being sunk by a submarine was related today by officers of the British steanrship Chicago City, whicn arrived here from Bristol. They said they were fired on when about 120 miles off Fastnet. One shot whizzed across the vessel and everything was put in readiness to leave the ship. Then the sub barine changed his mind, sub merging. The reason, the captain said, was a British destroyer, headed toward the submersible. The Chicago City put on full speed and made her escape. ' REALIZE THAT STATEMENT BE By Ed L. Keen (I'nited Press staff correspondent) Loudon, Dec. 30. Xot only will tho allies answer to Germany 's peace pro posals clearly set forth the principles for which the entente nations are fight ing, but it will contain a general out line of the terms on which England and her allies are willing to negotiate, it was confidently expected here today. The fact that the note would list terms to be demanded of Germany was expected as a result of an awakening within the last few dhys in England to the fact that the German propaganda in neutral nations must be effectively ans wcred. Press and public alike united today in the belief that tho best possible ans wer would be a comprehensive reaffir mation of the allies' aims and a state ment of what the allies regard as nec essary concessions from their enomies as a basis for even considering talk of peace. Germany 's reply to the Ameri can peace note, it was pointed out here. failed to meet the principal request of President Wilson 's appeal lor a listing of possible peace terms. Meanwhile, Europe's interest center ed in Paris, where the note is te be issued. The entire entente press today reflected tense realization of the im portance, of the document. Notes Are Completed The allies' note has been completed. Russia's draft waa probably in Paris today, with that of all the other on tente powers. The message will go forward through American, Swiss and Spanish diplomatic agents in Pan within the next few days and. its text will be made public from Paris before next Wednesday. There was one re port in London today that the public might be informed of the contents of the note this afternoon. In England much significance in connection with Germany's plea tor i Prca.c seen in General Sir Douglas Haie-'s review of the Sommo battle Tne Brittish commander in chief sum marized the result, of the fighting with the statement "The Somme battle has placed beyond a doubt the ability of the allies to gain those objects" re ferring to object for which the allies arc fighting. That Germany sent out i , r C"V" ulT,?1""'. " u,t I . V. L"1 cation of her future defeat, was sug gested here today. The Morning 1'ost took this view: The moral is that the battle was scarce ended, the editorial d clared, "ere Germany asked for peace. ' ' Quotine lluig's words, tho editorial concluded: "In these simple words, which must resound in German eats litie thunder, lies the whole explana tion of the German proposals. There fore, all that the allies need to consid er is to whether or not Germany will concede the objects for which the al lies nre fighting or will prefer to con tinue to resist until her resistance is broken. It follows also thai any sug- iAj ... ..I,. M (I... , ,.t noiltrala that a compromise might be effected is, in fact, an attempt to spare Ger- manv and as such is a violation of neu- irolitv " inai companies wnicn are dependent up HPiny. . ., . ,1.,.. .,..,-.,., Ti. if. IN SNOW NINE DAYS Eureka, fal., Dec. 30. Alter having spent nine days in the $ dense redwoods forest near Kenelnnd Prairie without food or shelter from the intense cold Peter Crawford, an aged civil if war veteran who had been ,iv- en up for dead was found to- day, though in a weakened con- dition. He is expected to re- cover. Crawford was lost in the snow on December 19, and wan- dered in the woods until his -eet became so swollen that he could not walk. He crawled under a log for protection. FOUND DEAD IN BOOM. Seattle, Wash., Dec. 30. Stretched pteross the bed with a bullet wound through the head arid a revolver in one hand, a man who registered as George Wilson, was found dead in the Kegina hotel this morning. Want Trade Commission To Fix Price of Paper Washington. Dec. 30. Price fixing by the federal trade commission as a solu tion of the news print paper price prob lem, was urged by Represeutativt Cram pton of Michigan, today when he up peared before that body. "If the constitution permits one man or group of men to control a necessity, " declared CrampHm, "certainly the gov ernment ehould be permitted to fix the prices of such necessity. If it is at all possible for this government to regulate a combination, it is high time the gov ernment did it in this case. "All publishers apparently are get ting news print paper, but through de vious ways and at a terrific extortion ate price. If the trade commission wants additional power to stop this, congress will give it." Commissioner Davies said between 46,000 and 50,000 tons of news print pa per are needed immediately by pub lishers. The commission has not deter mined whether relief can be obtained, he said. He suggested another meetine of publishers and manufacturers to find whether the paper shortage cannot be overcome. "The commission is going to deter mine in the very near future whether re lief can be obtained," Davies conclud ed. "It's report to congress will also be made in the very immediate future." REPRESENTED BY YEARS BUSINESS Rank Clearings $259,000,-000.000-Money Loaned $1,500,000,000 EUROPE SENT US MORE THAN 1,200 TONS OF GOLD War Babies Totter As Year Ends and Financiers Dan dle Peace Babies New York, ec. 30,-i-A year of su perlatives in tho financial and business world closes today. From all quarters have come reports of staggering totals of tho year's commercial and financial activity. The month of December, which closes with a half day session in most quarters today, haa keen remarkable as the turn ing point in the tide which the United States has had of record exports, rec oru earnings and nuge dividends. On every hand as the year closes. bankers, business men and economists are speculating and talking peace and its meaning iu dollars and cents in Am erica. Opinions vary, tho bulk of them being that prosperity will continue with readjustments. Veritable moutftains of money are represented in the year end figures and estimates of the country's business. During the year, $1,300,000,000 of the world financing was floated in the Uni ted States. hurope shipped 6S0,0O0,Of)0 in gold 'here to pay for munitions and supplies and to bolster her credit with us Bank clearings are estimated at $259, 000,000,000, at .'(5 per cent increase over the record year 1910. Although crops failed, production fulling behind last year 10 to 35 per cent, farm products were valued at $215,000,000 which is a 15 per cent in crease over 1915. In Wall street new "war babies" wofc born, grew paper values with mushroom speed and tottered as peace appeared on a distant horizon As the year closes big financial men Wall j """" '."" r " conservative interests are reported .load- UP w,th shares of railroad and mdus- ' gene' crash in prices, which follow , ,1, ed Hollweg's peace proposal and Wil jit mc nut I'm in' ii i . ' .i'i i ii .ui; son's message to tne Belligerents- tne greatest since the Northern Pacific in 1901 made bargain prices for the "peace baby" exponents. Want Municipal Depots For Sale of Goods lVrlluad, O-e., Dec. 30. Demanding that municipal depots for selling goods be established in this city, a committee of threo women anl eight meu represent- nit; tho socialist party today called at the city council chanrbera and presented a resolution setting forth the vicwb. Some of the demands are: That tho city take over all food stuffs now locked up by speculators in cold storage plants. That the city establish markets for the sale of foodstuffs and fuel at eost. Municipal dairy, free lunches to tho school children. Taking over or light ing and power plants are also euggeeted in the resolution which was tabled but will get further consideration at another j meeting. MOUNTAINS OF COIN AVIATION CORPS MAKES SPLENDID PRACTICE FLIGHT Fourteen of Country's Best Airmen Make Successful Voyage SUFFERED SEVERELY FROM INTENSE COLD Distance of 115 Miles Covered in One Hour and 37 Minutes Philadelphia, Dee." 30.- History was written for the aviation corps of the United States arrrjy today, when a flotilla of aeroplanes, piloted by army aviators flew from Hempstead, L. 1., to the League Island navy yard berc a distance of about 115 miles. Gorporal H. H. Salmon and Lieuten ant A. M. Coyle. who left Hempstead with twelve other aviators shortly be fore 10 o'clock, were the first to rearh here. They landed at 11.32. Both wcro numb from cold. Almost before they were lifted from their aeroplanes, T. '. Millman landed close alongside. Five others then canio swooping down at intervals of aboat four minutes. Salmon 's time for the flight was one hour and thirty seven minutes. The fas est trains require two hours to make the trip, from New York to Phil adelphia. Throughout the trip, the aviators weie compelled to fly at a great knight owing to strong air currents which were encountered. They were muffled up in fur coots and caps but declared the cold was so intense It was difficult to keep their bauds on the steering wheel. Lieutenant Bagnell arrived at the League island navy yard at 1:45 almost unnoticed by the - crowds that wero busy looking over the machines. He had been compelled to fly slowly be cause of the strong air currents ;md freezing temperature. At 12.30 this afternoon, eight ma chines had passed over Camden and. word of arrivel of the complete flo tilla of ten, which passod Governor's Island shortly after 10 o 'cluck was momentarily expected. Twelve machines started from Hemp stead but two wero compelled to turn back after traveling as far as New York, later, however, Lieutenant Bell ing again took to tho air at Hempstead and was oxpeeted to reach hero within an hour. At Philadelphia the officers will be guests of the reserve ships of the At lantic fleet. Tho return trip will ho made tomorrow morning. The distance is about 113 miles from Long Island and was expected to re quire an hour and a half for the flight. Captain J. E. Carberry of the avia tion section, U. 8. A., had charge ef the flight, assisted by Captain W. G. Kilncr, also of tho army aviation ser vice. Captain J. B. Stetson, Jr., was a passonger in C-aptain Kilncr 'a ntaebiae Others leaving Hempstead were Cap tain Kaynal Boiling of the First aero company, New York national guard; Lieutenant E. J. Miller, Corporal II. H. Salmon, Lieutenant A. M. Ooyle, Robert Carolin Jind Osborne, and Ser geants D. K. Noyes and 11. BlakeFy, with a passenger; C. H. Reynolds and T. ('. Millman, instructors and A. L. Allan, an American formerly of they British royal flying corps. None of thefwelve fliers landed at Governor's Island. They passed far out over the bay and continued over States Island. Lieutenants Baker -and Carroll, who were to have joined n the fliaht were not on Governor's Is- land. AFTER THE HONK MAKEBS Washington, Dee. 30. -The depart ment of .justice today announced fil ing of a suit at Newark, N. J., under tho anti-trust laws aeainst the Lovell MeConnel Manufacturing company, manufacturer of Klaxon automobile horns. About two million pounds of mail aro being annually transported on Am erican rnilroads. TEE WEATHER ! FIGURE ciose , Oregon: -IV night and Sun day rain or enow, not so eotd to night; incieaaiag southeas t e r 1 y winds. s3f