In his annual Message to Congress, December 3, 1900, President McKinley had the following to say on the subject of the Interoceanic Canal: "The all important matter of an interoceanic canal has assumed a new phase. Adhering to its refusal to reopen the question of the forfeiture of the contract of the Maritime Canal Company, which was terminated for alleged non-execution in October, 1899, the Government of Nicaragua has since supplemented that action by declaring the so-styled Eyre-Cragin option void for non-payment of the stipulated advance. Protests in relation to these acts have been filed in the State Department, and are under consideration. Deeming itself relieved from existing engagements, the Nicaraguan Government shows a disposition to deal freely with the canal question either in the way of negotiations with the United States or by taking measures to promote the waterway. Overtures for a convention to effect the building of a canal under the auspices of the United States are under consideration. In the mean time, the views of the Congress upon the general subject, in the light of the report of the Commission appointed to examine the comparative merits of the various trans-isthmian ship canal projects, may be awaited. I commend to the early attention of the Senate the convention with Great Britain to facilitate the construction of such a canal, and to remove any objection which might arise out of the convention commonly called the Clayton-Bulwer Treaty." On the terms of the Clayton-Bulwer Treaty: See, in volume 4, NICARAGUA: A. D. 1850. The Convention thus referred to was negotiated by the Secretary of State of the United States. Mr. John Hay, with the British Ambassador to the United States, Lord Pauncefote. It was signed at Washington on the 5th of February, 1900, and communicated by the President to the Senate on the same day. The action of the Senate on the Convention was not taken until after the opening of the session of Congress in December. It was then ratified (December 20), but with three amendments which seriously changed its character. The following is the text of the Convention as ratified, with the Senate amendments indicated: "ARTICLE I. It is agreed that the canal may be constructed under the auspices of the Government of the United States, either directly at its own cost, or by gift or loan of money to individuals or corporations or through subscription to or purchase of stock or shares, and that, subject to the provisions of the present Convention, the said Government shall have and enjoy all the rights incident to such construction, as well as the exclusive right of providing for the regulation and management of the canal.