2 MARCH 1878, Page 1

The latest intelligence from Vienna, published both in the Times

and the Telegraph, and in both, therefore, coming through anti- Russian channels, confirms the view we have steadily maintained of Austrian policy. The Emperor is not prepared to fight Russia, and believes it better to accede to an occupation of Bosnia and Herzegovina, or even to press further south. He is arming quietly, but it is to occupy these provinces, and to place an irresistible force in Hungary in case of any out- burst of Magyar indignation. Throughout he has looked first of all to his alliance with Germany, which while it lasts makes Austria unassailable ; and secondly, to his own repute as a Haps- burg who has lost great provinces. He wants to die without having injured the grand estate of his House. There can be no objection in the West to this arrangement. Austria is a fair counterpoise to Russia, the Hapsburgs now govern leniently, and they can prevent the war of races and creeds which might else break out in Bosnia. The Beys are asking for annexation already, and will, we imagine, rapidly throw off a creed which has always fitted them very loosely, accepting a new position as Austrian nobles.