A communiqué issued at the close of the conference, and known as the Potsdam Agreement, contained the decisions reached by the participants. The principal decisions related to Germany. Administration of the country, until the establishment of a permanent new government, was transferred to the military commanders of the U.S., the USSR, the United Kingdom, and France, in their zones of occupation, and a four-power Allied Control Council was created to resolve questions pertaining to Germany as a whole. Pending definitive settlement in a peace treaty, all lands east of the Odra (Oder) and Neisse rivers were placed under Polish and Soviet jurisdiction. It was agreed that the four occupying powers of Germany should take reparations from their respective zones of occupation; but, because the USSR had suffered greater loss than any of the other major powers, provision was made for additional compensation to the USSR. Rigid measures of control were decided on in the Potsdam Conference to prevent Germany from ever again becoming a threat to world peace. The conferees determined to disarm the country and prevent remilitarization; to outlaw the National Socialist (Nazi) Party that had been led by Hitler; to decentralize the economy and reorganize it with emphasis on agriculture; and to encourage democratic practices.
On July 26, the U.S., British, and Chinese governments issued an ultimatum,