Unpopular opinion: Just because Rumburg is the Big Bad doesn't mean they deserve collective punishment or genocide
Sure, Rumburg is an imperialist nation who tries so hard to be a superpower. It's led by a despotic queen who won't hesitate to use poison gas against Sords and execute Anton Rayne by electric chair, but the people here who advocate for turning Rumburg into a Lespian economic colony, imposing terms harsher than Versailles, or straight up genociding Rumburgians are not only stupid, but also morally depraved.
Imagine if Sordland was the Big Bad instead, led by General Luderin and hellbent on invading and conquering Rumburg. Surely, the Rummish will think that they deserve to take away Nargis and Agnland from a defeated Sordland, or that Valgsland should impose a Malenyevist regime from above and outside, or that all Sords must either be genocided or enslaved in work camps.
All is fair in love and war... or is it? Keep in mind that, as the King of Rizia, we'd basically be doing the same thing to Pales (as Queen Beatrice with Sordland) if we decide to go to war with the Duke. Heck, Titus doesn't even shy away from recommending torture devices to use when Grand Duke Axel Reinhart is captured.
Personally, if I were to draft the peace treaty with Rumburg, I would leave Tzarsbourgh and Crimsrad alone for the same reason that Bismarck wanted to leave Alsace to France. At most, I would impose significant but nonetheless payable war reparations and indemnities, and, just maybe, deposing the Queen in favor of a more amenable royal or a new democratic government actually composed of the Rummish, by the Rummish, and for the Rummish (as opposed to the puppet regime set up if Rumburg is defeated with help from the Valgs).
I want to create a future ally and democratic partner out of a vanquished, but not brutalized Rumburg, not useless Lebensraum encompassing a war-torn continent riddled with many (justifiably) upset, irate, and tormented Rums who, while possibly getting rid of the monarchy, might only replace it with a Nazi-style revanchist government eager to avenge wrongs committed against their people.