At the same time the industrial leaders of the Rhine Valley and the Army and Navy were serving notice on the Government that there could not possibly be a German victory unless every weapon in Germany's possession, which included of course the submarine, was used against Germany's so-called chief foe--England.

Confronted by graver troubles within Germany than those from the outside, the Chancellor went to Great Headquarters to report to the Kaiser and to discuss with von Hindenburg and Ludendorf what should be done to unite the German nation.

While the Army had been successful in Roumania and had given the people renewed confidence, this was not great enough to carry the people through another hard winter.

While Germany had made promises to the United States in May that no ships would be sunk without warning, the submarines were not adhering very closely to the written instructions. The whole world was aroused over Germany's repeated disregard of the rules and practice of sea warfare. President Wilson through Ambassador Gerard had sent nine inquiries to the Foreign Office asking for a report from Germany on the sinking of various ships not only contrary to international law but contrary to Germany's pledges. In an attempt to ward off many of the neutral indictments of Germany's sea warfare the official North German Gazette published an explanation containing the following:

"The activity of our submarines in the Atlantic Ocean and White Sea has led the press of the entire world to producing articles as to the waging of cruiser warfare by means of submarines. In both cases it can be accurately stated that there is no question of submarine warfare here, but of cruiser warfare waged with the support of submarines and the details reported hitherto as to the activities of our submarines do not admit of any other explanation, in spite of the endeavours of the British press to twist and misrepresent facts. It is also strictly correct to state that the cruiser warfare which is being waged by means of submarines is in strict compliance with the German prize regulations which correspond to the International Rules laid down and agreed to in the Declaration of London which are not being any more complied with by England. The accusations and charges brought forward by the British press and propaganda campaign in connection with ships sunk, can be shown as futile, as our position is both militarily and from the standpoint of international law irreproachable. We do not sink neutral ships per se, as was recently declared in a proclamation, but the ammunition transports and other contraband wares conducive to the prolongation of the war, and the rights of defensive measures as regards this cannot be denied Germany any more than any other country.

"Based on this idea, it is clearly obvious that the real loss of the destruction of tonnage must be attributed to the supplies sent to England and not to the attitude displayed by Germany which has but recourse to purely defensive measures. If the attitude displayed by England towards neutrals during the course of this war be considered, the manner in which it forced compulsory supplies of contraband goods, etc., it can be further recognised that England is responsible for the losses in ships; as it is owing to England's attitude that the cause is to be found. . . .

"Although England has hit and crippled legitimate trade to such an extent, Germany does not wish to act in the same manner, but simply to stop the shipments of contraband goods calculated to lengthen the war. England evidently is being hard hit by our defensive submarine measures and is therefore doing all in her power to incite public opinion against the German methods of warfare and confuse opinion in neutral countries. . . .

"Therefore it must again be recalled that it is:

"England, which has crippled neutral trade!

"England, which has rendered the freedom of the seas impossible!