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the establishments which were working for the supplies ot the French army. 
(Annex 5). 
If we examine the hardships which France had to overcome at that time 
when the whole brunt of the German armies, made one think that the victory 
was not certain, there is no doubt that in such circumstances and as a justifi 
cation for its future hopes, the French Government gave this assistance to the 
Roumanian Government to prepare its army. 
From the examination ol the Convention we see that the Roumanian Go 
vernment had to make an advance of 25 °/ 0 in cash, out of the whole supply, 
and this sum was produced by the English loan and with the knowledge ol 
England. 
There is therefore no doubt, that although at that time there was no coor 
dination of the financial action ofthe allies, nevertheless the fact that they consen 
ted that out of a loan accorded to Roumania, advances were to be paid to the 
French Government, for a contract of supply of ammunition, this is a sure 
proof that neither of the Governments doubted the decision that Roumania 
was to take subsequently, and that these advances were real interallied war 
debts. 
A second contract was entered on with the French Government on 
January 18th 1916, also for supplies of ammunition for a sum of 28 million 
francs (Annex 6). 
The conditions of payment were identical to the first contract, and out 
of the English advance, was paid to the French Government, on account ol both 
contracts. 
French francs 23.707.000, while the rest was passed to the general 
account of the war debt. 
These contracts though carried out lor the greater part the, war material 
could not be ready before our entering the war, and their liquidation had to be 
effected according to article 1 of tiie military convention, based on the treaty of 
alliance of Aug. 4, 1916 (An. 7). 
Thus in this period the financing of the war, was effected by: 
(a) Internal loans; 
(b) Loans from the future allies. 
(c) Ry the purchase of cereals by the English, an operation which en 
trusted to Roumania, neutral at that time, the corn bought by the English, but 
not transported yet, on account ol the blocking of the Dardanelles.