On December 12, 1937 Japanese planes bombed a US river gunboat, the Panay, in China. The panay sank, 2 were killed and 30 wounded. The State Department demanded an apology, which the Japanese provided. The attacked followed Japanese attacks against Chinese civilians.
- Panay hero receives Navy Cross. Washington, D.C., July 1. Fireman first class John L. Hodge, who is recuperating at Naval Hospital here, was today decorated with the Navy Cross for the bravery he displayed during the sinking of the U.S. gunboat Panay by Japanese bombs last year. Assistant Secretary of the Navy Charles Edison is pictured pinning the award on the Bluejacket. It was hodge who carried Jim Marshall, staff writer for Collier's injured in the bombing, from the scene of the sinking vessel to Wuhu, China, a distance of about 17 miles, 7/1/38