CONFIDENTIAL
GR 375
PRIORY
CYPHER/CAT A
FM BCARFE HONG KONG 301009Z
CONFIDENTIAL
HKK. 18+/3
INDEX
5 DEC
RA
TO IMMEDIATE JAKARTA TELNO.ALLOT 4 OF 30 NOVEMBER,
INFO PRIORITY D.O.T (FOR STABLES).
FOR SPENDLOVE FROM WILSON.
YOUR TELNO.28 TO KUALA LUMPUR.
1. WHILE I SHARE DOT WISH (DOT'S ALLOT 19 TO K.L REFERS) FOR A FORMAL SETTLEMENT, WE DO NOT WANT TO SACRIFICE ADVANTAGES FLOWING FROM INDONESIAN NEED TO GET OUR AGREEMENT FOR GARUDA DC10 OPERATIONS AT HONG KONG. DESPITE ARRANGEMENTS AGREED WITH RISAKOTTA IN JUNE (SEE MY LETTER CA/12/1 OF 27 JUNE TO STABLES, COPIED TO YOU) THERE STILL SEEMS TO HAVE BEEN NO INDONESIAN INITIATIVE AND WE ARE SLIDING INTO POSITION OF DEMANDEUR. 1 BELIEVE THIS SLIDE REFLECTS FACT THAT GARUDA DC10'S ARE NOT PLANNED FOR HONG KONG BEFORE APRIL 1978 (WHEREAS CPA WOULD LIKE TO GET ITS SIDE OF ENVISAGED DEAL AS QUICKLY AS POSSIBLE) BUT I DO NOT THINK WE SHOULD WEAKEN OUR LONG-TERM BARGAINING
POSITION FOR A SHORT-TERM CPA REQUIREMENT.
2. ACCORDINGLY SUGGEST YOU ASK RISAKOTTA WHETHER (IN LIGHT OF HIS TALK WITH ME IN JUNE AND DESPITE VIEWS EXPRESSED IN YOUR TELNO.2 TO HONG KONG) HE WISHES FORMALLY TO INITIATE AERONAUTICAL CONSULTATIONS. ↑ SUGGEST YOU SHOULD GO ON TO SAY THAT WE THINK TIME IS PROBABLY RIGHT FOR SUCH FORMAL TALKS BUT THAT, IF HE DOES NOT WANT TO MAKE FORMAL PROPOSAL, PERHAPS WE COULD START INFORMALLY ON 19 DECEMBER AND (ASSUMING ALL GOES WELL) ALLOW OUR DISCUSSIONS TO TRANSMUTE THEMSELVES INTO SUCH FORMALITY AS WILL ENABLE US TO SIGN A NEW CMU.
3. ON ASSUMPTION THAT THIS APPROACH IS ACCEPTABLE TO RISAKOTTA,
I WOULD WELCOME STEADMAN'S PRESENCE IN JAKARTA,
CONFIDENTIAL
4. I HAVE