The results of the war for Bulgaria were mixed. In terms of financial burdens Bulgaria's position was relatively favorable compared with that of other countries on the losing side. In terms of territorial losses, which resulted in a legacy of bitterness and continued irredentism, its position was poor. As Bulgaria had suffered over 30,000 casualties in the war, the Allies imposed relatively light peace terms. The Soviet Union extracted no reparations from Bulgaria, despite the fact that reparations were demanded from Germany, Hungary, and Romania. Yugoslavia also canceled Bulgaria's debts. Overall war damages to the country itself were generally moderate. In terms of losses, however, Bulgaria not only lost most of the territories it had regained at the beginning of the war but also ultimately lost its constitutional monarchy and became a Soviet satellite. Although it was allowed to retain southern Dobrudzha, all the territories that were of significance to Bulgaria's sense of nationhood were gone. Macedonia reverted to Yugoslavia, and Thrace to Greece. The Treaty of Paris, signed in February 1947, confirmed Bulgaria's pre-1941 boundaries. Not only had Bulgaria lost these prized territories, but her sovereignty as a nation was severely curtailed by the Soviet military occupation. Both the armistice agreement of September 1944 and the British-Soviet agreement of October of that year recognized Soviet dominance in the country. Although this power over the country was not expected by the Western powers to endure indefinitely, this illusion was dispelled as Bulgaria soon succumbed completely to Soviet influence. THE COMMUNIST STATE Growth of the Communist Party In 1891 the Social Democratic Party was founded; the Communist party was eventually an offshoot of this movement. By 1903 the Social Democrats had begun to split into what were known as the "broad" and "narrow" factions. The broad faction retained the ideology of social democracy, but the narrow faction became the Bulgarian counterpart of the Russian Bolsheviks; its leader was Dimiter Blagoev, the so-called father of Bulgarian communism. In 1919 the narrow faction split off from the Second Socialist International and assumed the name Bulgarian Communist Party (BKP). Although the party had great prestige abroad, it failed to enjoy domestic popularity. The most popular party at the time--and that favored by the peasant class, which was predominant in this still-agrarian society--was the Bulgarian Agrarian Union. The BKP, on the other hand, was composed almost exclusively of intellectuals and students and held little appeal for the working and peasant classes.