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APPENDIX 1 TO ANNEX F

TIA. ALTOS SIS RED CRALLY. (Relating to Annex D and E)

2.

General.

C.. How costs were worked cut.

k.

The accuracy of costs, especially in relation to air trooping and works services.

C..

The extent to which the proposals rehin provisional until confirmed by the Chiefs of Sun'f.

d.

The assumption that the units in the reduced gezrison will be maintained at the revised established strengths,

C.

The explanation of the capitation rates, what they include and how they are applied to costings as a whole (see also Reference B Annex C).

Ꮭ .

The feasibility of further rationalization of tacks performed by different services, and the possibility of reducing or raoving entirely one of the Services from the Garrison. Tarticular subjects discussed were:

NAVY.

â.

b.

C

(1) The expansion of the FUMIL Operations Room network to eliminate the need for the Kaval Operations and/or the RAP Operations Rocm.

(2) The muring of the Wessex Flight by the Royal Navy or Army.

(3) The requirement of the Hong Kong Government for search and rescue use of helicopters.

General.

(1)

(2)

Explanation of how the naval costs are calculated.

Explanation of running and maintenance costs.

Frigate.

(1) Assura ce that the replacement of HS CHICHESTER by 101S MEMAID is necessary and cost effcctive.

Patrol Craft.

(1) Explanation of how the gatrol craft are manned, and discussion of the fossibility of replacing UK naval personnel by locally engaged personnel.

(2) Explanation of new construction costs, and the implications of acquiring patrol vesselt. from elsewhere.

(3)

Confirmation that replacement of patrol crgit at the end of the next

§ your period is necessary.

F-1-1

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