THE UNDER SECRETARY OF STATE                
 
                         WASHINGTON                         
 
 
                MEMORANDOM FOR THE PRESIDENT                
 
 
Subject: 
Comparison of the recommendations of the Kilgore Subcommittee with
those of the Department on the economic treatment of Germany
.
 
 
       For your information I attach herewith a memorandum comparing
the recommendations of the Kilgore Subcommittee for the economic
treatment of Germany with the Department's draft proposals which I
submitted to you on November 11th.
 
 
       I believe the Department's recommendations on the treatment of
cartels, of German industrialists, and of the arms industry are very
nearly the same as those of the Kilgore Subcommittee. The Kilgore
proposal, however, for the complete dismantling of the metalurgical and
chemical industries is much more drastic than that which the Department
has believed to be sound and desirable.
 
 
Enclosure:
 
         Memorandum.
 
 
E. R. Stettinius, Jr. (signed)