of the Habsburg dynasty, had been the central part of the Holy Roman Empire. In the aftermath of Waterloo, Austria was one of the strongest nations in Europe and its foreign minister Metternich became the architect of the Concert of Europe which was able to maintain peace in a divided continent for several decades. Hungary, the land of the Magyars that lies to the east of Austria, was part of the Austrian Empire at that time but it constantly sought control of its own affairs. Austria faced a crisis after its defeat by Prussia in the Seven Weeks War of 1866. To consolidate his power, the Emperor Franz Josef negotiated in March 1867 the Ausgleich (Compromise) with the Magyar ruling classes. As a result, Hungary gained control of its internal affairs and the two states of Austria and Hungary were federated into what became commonly known as the Dual Monarchy. The words Kaiserliche und Königliche on Austrian stamps refer to the Empire of Austria and the Kingdom of Hungary, both titles being held by Franz Josef. The Dual Monarchy endured until the end of WWI. Austria and Hungary had separate postal administration from the time of the Ausgleich although it was not until May 1871 that Hungary could issue its first stamps. In the meantime, a set of "neutral" stamps were issued that showed a profile of Franz Josef and a value. The fact of the Dual Monarchy was emphasised in stamps issued abroad by Austro-Hungarian post offices or military forces. Hence, reference should be made to Austria and Hungary separately re home issues and to the various Austro-Hungarian entries for overseas issues. Refer Austria; Austro-Hungarian Military Post; Austro-Hungarian Occupation of Bosnia & Herzegovina; Austro-Hungarian Post Offices in the Turkish Empire; Hungary Austrian Italy Refer Lombardy & Venetia Austrian Levant Refer Austro-Hungarian Post Offices in the Turkish Empire Austrian Territories acquired by Italy Refer Italian Austria Austro-Hungarian Military Post Stamps inscribed K-u-K FELDPOST were issued in Serbia (1916), Montenegro (1917), Romania (1917–1918) and Italy (1918). Dates 1915 – 1918 Currency 100 heller = 1 krone (General Issues, Serbia, Montenegro); 100 centesimi = 1 lira (Italy); 100 bani = 1 leu (Rumania) Main Article Includes Italy (Austrian Occupation); Montenegro (Austrian Occupation); Rumania (Austrian Occupation); Serbia (Austrian Occupation) Austro-Hungarian Occupation of Bosnia & Herzegovina Refer Bosnia & Herzegovina Austro-Hungarian Post Offices in the Turkish Empire Austria had various issues, some with overprinted