AUGUST 7, 1941
 
MY DEAR MR. PRESIDENT,
     IN ORDER TO PLAN FOR THE NEXT GERMAN OPERATIONS, HITLER HAS
TURNED OVER THE CONDUCT OF THE CAMPAIGN IN THE EAST TO THE HIGH
COMMAND AND HAS LEFT FOR OBERSALZBERG.
     DUE TO THE UNLOOKED-FOR STRONG RUSSIAN RESISTANCE, IT HAS BEEN
NECESSARY FOR THE GERMAN TIME TABLE, WHICH CALLED FOR THE DEFEAT OF
THE SOVIET ARMY BY 15 AUGUST AND THE OCCUPATION OF EUROPEAN RUSSIA
BY 30 SEPTEMBER, TO BE MODIFIED. FINDING THE SECOND RED DEFENSE LINE,
EAST OF THE STALIN LINE, WITH MORE THAN 100 FRESH DIVISIONS WAS
ESPECIALLY DISCONCERTING. THE NEW TIME TABLE PROVIDES FOR OCCUPYING
ONLY THE TERRITORY WEST OF THE VOLGA THIS WINTER AND FOR BREAKING
THE RUSSIAN RESISTANCE THEREIN AS SOON AS POSSIBLE.
     BECAUSE OF THE EASTERN FRONT SITUATION, THE SPANISH-GERMAN
DRIVE ON GIBRALTER ETC., FOR WHICH ARRANGEMENTS WERE SCHEDULED TO
TAKE PLACE AUGUST 12TH, HAS BEEN TEMPORARILY CANCELED.
     HITLER BELIEVED TO BE CONSIDERING EARLIER PLAN FOR AN EASTERN
MEDITERRANEAN CAMPAIGN. THE ARRANGEMENTS FOR MOST OF THIS LATTER
CAMPAIGN WERE COMPLETED PRIOR TO THE RUSSIAN WAR.
     THERE IS NO KNOWLEDGE OF A RUMORED IMMINENT MEETING BETWEEN
THE ITALIAN AND GERMAN DICTATORS.