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and to hold Germany to the observance of the obligations imposed
by the peace settlement and by the post-war security system.
 
III.  FRONTIER SETTLEMENTS
 
      The Department of State believes that in establishing the 
post-war boundaries of Europe it should be the political of this 
Government to seek a solution of each dispute based on the
merits of the specific problem and on the relation of that
problem to the whole settlement.  The Department believes the
chief criteria to be (1) the most reasonable prospect of general
acceptance and stability and (2) the maximum contribution to the
orderly development of general international order.
 
A.  Recommendations
 
      In the light of such considerations, the Department of State
submits the following recommendations with respect to the frontiers
of Germany:
 
     1.   That the Danish-German frontier should remain unchanged.
 
     2.   That the water-boundary between the Netherlands and 
Germany should be moved from the western shore of the Ems Estuary
to the main channel and that subsequent consideration be given
to any Netherlands claims on German territory as compensation
for damage to Netherland soil.
 
     3.   That the Belgian-German frontier should be returned to the
1920-1940 line.
 
     4.   That Alsace-Lorraine should be returned to France.
 
     5.   That the present administrative boundaries be maintained
as the frontier between Austria and Germany.
 
     This recommendation would restore the pre-1938 frontier except
for a small area in the Sonthofen district which was transferred
to Bavaria for administrative convenience and which should remain
in Bavaria unless there is convincing evidence that the inhab-
itants wish to return to Austrian rule.
 
     6.   That the pre-Munich frontiers between Czechoslovakia and
Germany be in principle restored, subject to any minor rectifica-
tions which the Czechoslovak Government might wish to propose.
 
     7.   That Poland acquire East Prussia (except for the Koneigs-
berg area), the former Free City of Danzig, German Upper Silesia,
and the eastern portion of Pomerania possessing an area of approx-
imately 6,812 square miles.
 
                                                         The