4186 INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [61 STAT. charged to straight lend-lease instead of to the Crowley-Monnet ac- count. This claim is allowed in the sum of $0.4 million. 4. Freight on Off-shore Goods. During the period of straight lend- lease to Metropolitan France, the French purchased for cash outside the United States goods which were transported to France on U.S. owned or controlled vessels, and are asked to pay the ocean freight in cash. The French request that these ocean freight charges be changed to a straight lend-lease basis. The U.S. side points out that ocean freight charges on goods not acquired under lend-lease have, as an operating matter, been furnished on a lend-lease basis infrequently and only under special circumstances. However, in view of the fact that the goods in question would have been eligible to lend-lease if ac- quired in the United States, and in view of the fact that French vessels being under the control of the U.S. or U.K . were not available to carry these goods, it is considered appropriate, as an incident of a general settlement, to allow this claim at $4 million to be reflected in net claims balance. 5. Miscellaneous Freights. The French have been billed cash for ocean freight in certain cases where they believe that the freight should have been furnished as straight lend-lease or on 3(c) terms. WSA reports that the items eligible for straight lend-lease have been refunded to the French out of lend-lease funds and that the items chargeable on a 3(c) basis will be so treated as an accounting matter so that they need not be considered as claims. The French have accordingly withdrawn this claim. 6. Coal. By agreement dated 25 August 1944, it was established that coal procured by the U. S. Military in Metropolitan France would not be furnished by the French as reciprocal aid, but would be re- placed in kind or paid for by the United States. A study has been made of the transactions, and it is agreed that U.S . withdrawals up to VJ Day exceed by 150,000 tons replacement up to 31 December 1945. France requests settlement at $20 per ton, the approximate landed cost of coal actually purchased for cash by France in the United States to meet French coal deficiencies. The claim is allowed, to be settled by payment on the same basis as other pre-VJ Day procurement ineligible as reciprocal aid. 7. Other Short Supply Goods. The French have withdrawn this claim. 8. Price of Cotton. For cotton furnished on a cash reimbursable basis and on 3(c) credit, France has been billed the domestic price. France requests that the lower export price be used, and the U.S . side agrees to the principle. The claim is allowed. The Crowley- Monnet account should be reduced by $1.4 million and the 3 (c) account by $11.2 million, to reflect the appropriate adjustment for cotton fur- nished on that basis. It is understood that this principle has been borne in mind in pricing cotton in inventory. 9. Price of Sugar. Similarly, France requests certain allowances for processing taxes and for drawback of customs duties on sugar exported to France and to French North Africa. These are cus-
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