Ho Pao-hsu 【霍寶樹] of Bank of China came to present me a business proposition: 8/1000 per month for overdraft; 5/1000 per month for deposit. I accepted, without the monopoly which they demanded. Li Shu-ming 【李叔明] of the Farmers’ Bank came to lunch: he offered me 8/1000 per month for my deposit. I think I will drop the overdraft feature, rely on the Treasury for loans at 5/1000 per month, and only bargain on deposit interest rates, settling at 8/1000 per month; deposits to be shared among the big five: Central 【中央銀行], China 【中國銀行], Communications 【交通銀行], Farmers’ 【農民銀行], and Trust 【中央信託局]. T. V. 【宋子文] asked me to go to see him: only to alter an article in the cotton contract; I demanded cost plus 25%, whereas he insisted on cost plus transport plus insurance plus equivalent of tariff. He had started negotiations to purchase cotton through the Import and Export Bank, but after changing the article, he wired to cancel all negotiations with the Import and Export Bank, saying that after all the bank had demanded repayment after 2 years whereas UNRRA’s 【聯合國善後救濟總署] cotton was given free to China, though not free to the cotton mills, the proceeds to be used for Relief and Rehabilitation.