__---------------------------------------------------------------i87 MR. DALTON : " Why was this left oral, and not included in the document ? What was the reason ? " THE PRIME MINISTER : "I have some difficulty in saying what the reason was, but, at any rate, the matter was not con- sidered to be quite of the same order as the other matters which are made the subject of written exchanges, but we ourselves are perfectly satisfied with the oral declarations which we have received1 and, on the other hand, I think I can say that the Italian Government are perfectly satisfied with the oral declarations we have given in return. " Now I come to the second section of the Agreement, which consists of three exchanges of Notes. It begins on page 26 of the White Paper. The first one deals with Libya, and in a letter, Count Ciano informs our Ambassador that the Italian Government have given orders for a diminution of the forces in Libya, that withdrawals have already begun at the rate of 1000 a week, that they will continue at not less than this rate until the Italian Libyan effectives reach peace strength, and we are informed that that will constitute an ultimate diminution of these effectives by not less than half the numbers which were in Libya when conversations began. The third Note deals with the accession of the Italian Government to the Naval Treaty, the Treaty of London, and it informs us that the Italian Government have decided upon that accession, and that it will take place as soon as the instruments annexed to the Protocol come into force; but, in the meantime, the Italian Government undertake to act in conformity with the provisions of the Treaty. That, although, so to speak, a side- line, is also a matter on which I think we may all congratulate ourselves. " In the second Note, on page 28 of the White Paper, three important assurances are given to us in respect of Spain by the Italian Government, and I will say something more about them when I come to explain how and when this Agreement will come into force; but it will be observed that in taking note of these assurances, the British Ambassador stated in his letter : * that His Majesty's Government regard a settlement of the 1 These promises have been duly honoured.