GR 495
PRIORITY CYPHER/CAT A
FM HONG KONG 1307072
CONFIDENTIAL
CONFIDENTIAL
See (447
TO PRIORITY F.C.O TELNO.876 OF 13 JULY 78,
RECEL
3:07M0. 51
13. JUL 1978
-EK OFFICER INDEX
PA
INFO SINGAPORE, HONG KONG GOVT OFFICE LONDON
Hou
D.O.T TELNO.ALLOT 109: U.K/SINGAPORE AIR SERVICES.
212408
5.37
429
1. SIN-PER SERVICES WOULD BE INTRODUCED ON OR ABOUT 1ST NOVEMBER
1978 AND EAST MALAYSIA SIN SERVICES DURING 1980.
2. MCARTHUR (CPA) VISITED SINGAPORE ON 7 JULY FOR A ROUTINE POOL
MEETING WITH SIA. DURING THE MEETING, KUPPUSAMY (SIA INTERNATIONAL RELATIONS MANAGER) SAID THAT HE WOULD LIKE TO DISCUSS SIA'S REACTED TO THE ROGERS/PILLAY AGREEMENT. MCARTHUR SAID, QUITE RIGHTLY, THAT HE WAS NOT AUTHORISED TO DISCUSS ANY ASPECT OF THESE ARRANGEMENTS BUT KUPPUSAMY INSISTED ON TABLING A SIA SUMMARY OF THE PATTERN OF CIA SERVICEC UNDER THE ROGERS/PILLAY DEAL AND A FURTHER SUMMARY OF WHAT SIA WOULD REALLY LIKE TO DO IN TERMS OF DATES AND FREQUENCIES (SCARFE HAS BEEN PROVIDED WITH COPIES).
3. THE BACKGROUND IS THAT SIA HAVE BEEN BADLY HIT BY BOTH THE
BOEING AND MCDONNELL DOUGLAS COMPANY STRIKES AND DELIVERY POSITIONS OF THEIR 8747'S AND DC-10'S GREATLY DELAYED. THE FIRST TWO DC-103 ARE NOT EXPECTED UNTIL DECEMBER 1978. AS THEY HAVE AN URGENT REQUIREMENT TO OPERATE DC-10'S ON SIN-AKL V.V. SIA ARE NEGOTIATING. FOR THE LEASE OF A MARTINAIR DC-13 TO OPERATE TWICE-WEEKLY SIN/BK, V.V. AND THRICE-WEEKLY SIN/BKK/HKG/OSA V.V. FROM OCTOBER 1978.
4. SIA HAVE THEREFORE REDRAWN THEIR SCHEDULE PROGRAMME IN THE LIGHT
OF NEW DELIVERY DATES AND PROPOSE TO SUBMIT THIS TO THE D.O.T WITHIN THE NEXT FEW WEEKS. TWO IMMEDIATE EFFECTS ARE APPARENT. FIRST, THEY WILL CONTINUE THE THRICE-WEEKLY B707 SERVICE SIN/BKK/ HKG/TPE/SEL V.V. UNTIL 31 OCTOBER 1978. SECOND, THEY WILL REQUEST THAT FOUR DC-10 SERVICES BE OPERATED SIN/BKK/HKG V.V. IN PLACE OF FOUR X B727 BETWEEN 15 DECEMBER 1978 AND 31 MARCH 1979..
5. SIA HAVE DECIDED TO WITHDRAW THE SIN/BKK/HKG/OSA V.V. SERVICE
AND INSTEAD RETAIN FULL TRAFFIC RIGHTS ON THEIR DAILY B747 SIN/BK HKG/TPE/TYO V.V. SERVICE.
CONFIDENTIAL
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