THE FINNISH CAPITULATION

Evening Post, Volume CXXIX, Issue 64, 15 March 1940, Page 7

THE FINNISH CAPITULATION

RAPED PROGRESS BY RUSSIANS

SERIOUS ECONOMIC CONSEQUENCES OF PEACE TERMS

(By Telegraph—Press Association. —Copyright.) (Received March 15, 11.30 a.m.)

. HELSINKI, March 14. The seriousness of the military situation which led up to the capitulation of the Finnish forces is gradually becoming known. It is increasingly apparent that Finland had no alternative but to make peace. It is understood that 15,000 soldiers were seriously injured in February alone, in addition to the 15,000 dead mentioned by Field-Marshal Mannerheim. The Russians made such progress across the ice that the coastal batteries east of Helsinki were actually in action. The snow for which everybody in Finland had been praying began to fall today, too late to save the country. The economic consequences of the peace terms are serious. Twenty per cent, of Finland's exports went from Wiborg and 10 per cent, from Hanko. The Russians will take over a large number of important wood pulp factories and sawmills. President Kallio, in a five-minute broadcast, said that Finland had had to fight her battle alone. He paid a tribute to the great fight of the army under Field-Marshal Mannerheim against overwhelming oddvand said, "Finland must now devote herself to reconstruction, in which we hope to have the support of the civilised nations, but above all we must rely on ourselves." He concluded by expressing a deep hope for final peace and prosperity. NECESSITY FOR DEFENSIVE ALLIANCE. M. Kallio declared that a defensive alliance with Norway and Sweden was inescapably necessary. The Norwegian Foreign Minister, Professor Koht, stated that Ms Government had replied in the affirmative to Finland's question whether they would consider the possibility of a defensive alliance between Norway, Finland, and Sweden. The Swedish Foreigai Office stated that Sweden had agreed to join a triple alliance. It is reported that a military and diplomatic conference of the three Powers will be summoned as soon as Finland has settled her new frontiers and signed the final peace documents. (Received March 15, 11.40 a.m.) LONDON, March 14. The time and the place of the conference of northern Powers have not yet been fixed, but M. Tanner said that the conversations would start in a few days. It is expected in Stockholm that the three States will confer when the final documents embodying the peace terms have been signed. It is emphasised that any alliance will be purely defensive so as not to violate Finland"s pledge to the Soviet not to engage in any bloc aimed against the Soviet. Denmark is not expected to have any part in the alliance.