Austria-Hungary collapsed under the weight of the various unsolved ethnic problems that came to a head with its defeat in World War I. After its dissolution, the new republics of Austria (the German-Austrian territories of the Hereditary lands) and the First Hungarian Republic were created. In the peace settlement that followed, significant territories were ceded to Romania and Italy and the remainder of the monarchy's territory was shared out among the new states of Poland, Kingdom of Serbs, Croats and Slovenes (later Yugoslavia), and Czechoslovakia.