White House Statement on the Federal Budget.

AT THE MEETING of the Cabinet this morning, the budget situation was reviewed and the reductions in appropriations for the fiscal year beginning July 1 next were settled at about $700 million. This will, however, be offset by certain increases in uncontrollable items such as interest and amortization on the public debt and tax refunds to the extent of about $150 million.

The increase in fixed charges is partly due to the Government investments in the Reconstruction Corporation, the land banks, and elsewhere, of over $1 billion which will ultimately return to the Treasury. The administration is determined to present a balanced budget.

The detailed figures of the budget are never given out until the President's budget message is communicated to the Congress.