CONFIDENTIAL

ANNEX A

Mr. Carter

2.

We discussed.

My own feeling is that the Ministry of Defence will raise strong objections to the proposal to defer the stationing of the fighters for a year until April 1971. The date of April 1970 was mentioned in OPD (68)32 which formed the basis of Ministers' consideration of the matter. It would clearly be more difficult administratively, and probably more expensive, for the Ministry of Defence to move the Hunters from Singapore elsewhere for a year in April 1970 and then re-position them in Hong Kong in April 1971. However I agreed with you that we should put the proposal for postponement to the MOD as a first

tactic.

3.

I also mentioned to you that I thought that the Governor's proposals in paragraph 7 (c) of his letter of

24 April stood a better chance of success, namely that the cost of stationing the Hunters from April 1970 to April 1971 should in the first instance be borne elsewhere provided they were noted as an item to be taken into account in the future negotiations on the post-1971 contribution.

However we

agreed to hold this in reserve as our first fall-back position

if MOD objected strongly to postponement.

4.

I shall be content with copies of minutes and correspondence as briefing.

CONFIDENTIAL

Говател

(J.0. Moreton)

27 May 1969.

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