79)
GR 500
TMEDIATE CYER/CAT A
FM HONG KONG 220937Z
CONFIDENTIAL
103
79
CONFIDENTIAL
AKK184/1
INDEX.
2 ↑ FED 1978
SK OFFICER
2.0.
ol
SCISTRY Action Taken
Th
76, No
TO IMMEDIATE F.C.0 TELNO.299 OF 22 FEBRUARY 78
INFO IMMEDIATE WELLINGTON (FOR ROGERS),
PRIORITY KUALA LUMPUR,
WELLINGTON TELNO.45 OF 21 FEB : U.K/MALAYSIA AIR SERVICES.
1. WE ARE QUITE UNABLE TO RECONCILE THE VIEWS EXPRESS IN TEL
UNDER REF WITH THE FACTS OF THE SITUATION NOR TO ACCEPT THE
CONCLUSIONS REACHED.
2. AS REGARDS PARA.3 OF TEL UNDER REF:
(A) + (B) OUR VIEWS ON SUBSTITUTION OF 707'S FOR 737'S REMAIN AS STATED IN OUR TELNO.149. THE MALAYSIANS ARE WELL AWARE OF THE SENSITIVITY OF THE MASSIVE REGIONAL IMBALANCE AND WE HAVE BEEN ASKED BY THEM TO MAKE ANY REASONABLE DEMANDS FOR INCREASED RIGHTS FOR CPA TO ACHIEVE A BETTER BALANCE OF EARNINGS RATHER THAN CUT BACK ON MAS SERVICES. WE DO NOT THEREFORE ACCEPT THAT IT WOULD BE DIFFICULT AS A MATTER OF EQUITY TO RESTRAIN MAS CARRIAGE HKG/ BKI TO ITS PRESENT LEVEL IN GRANTING THEIR REQUEST FOR A CHANGE
OF AIRCRAFT TYPE.
(C) THE VIEWS EXPRESSED ARE ENTIRELY CONTRARY TO OUR INFORMATION
AND UNDERSTANDING OF THIS ISSUE WHICH IS THE GENERALLY REPORTED AND ACCEPTED UNDERSTANDING. THE RESENTMENT CENTRES ON PAYMENT TO B.A FOR MAS'S TRUNK ROUTE SERVICES AND ALLEGED FAILURE TO TREAT WITH THE MALAYSIANS ON THIS ISSUE IN THE MANNER THEY EXPECTED IN THE LIGHT OF MY SUB-PARAGRAPH ABOVE, WE CANNOT BELIEVE THAT THE RESENTMENT CENTRES AROUND THE COMPARATIVELY MINOR CONCESSIONS TO CPA WHICH ARE NOT EVEN BEING OPERATED.
(D) AS FOR OUR OBJECTIONS HAVING COME TOO LATE, OUR POSITION WAS
EXPRESSED IN TELNO.149 OF 4TH FEBRUARY AS A RESULT OF WHICH F.C.O IN TELNO.33 OF 7 FEBRUARY ASKED KUALA LUMPUR TO ENSURE THAT ROGERS SAW OUR TELEGRAM BEFORE HE SAW THE MALAYSIANS.
CONFIDENTIAL
/ FURTHER
OUR
10
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