The Bigrent

Redrafted and Retagged (cleared separately with (POT)

EUROPE

6 Current weekly services (each day) between European points

and Australia are as follows:

X

Qantas

European Carrier

Total

Amsterdam

2

2 (KIM)

4

Athens

4

0

4

Belgrade

1

2 (JAT)

3

Frankfurt

4

3 (Lufthansa)

7

London

10

10 (BA)

20

Vienna

1

0

1

Paris

1

3 (UTA/Air France)

4

Rome

3

3 (Alitalia)

6

7 The Australian criteria for deciding which of these services

should be maintained is based on the present level of traffic

and the likely amount of new traffic which would be generated

by lower air fares. The only points which fully satisfy these

criteria are Frankfurt and Rome. However the Australians have

not overlooked the domestic political significance of two

"marginal" markets: Athens and Belgrade because of Greek and

Jugoslav immigrants. Traffic to and from Belgrade could probably

for

our life

Yper

justify one end-to-end service each per week and that to and

from Athens one by Qantas alone. Services between Australia

and the Netherlands are in the balance. It is possible that

the Australians might decide that the current and likely future

levels of end-to-end traffic do not justify the continuation of

end-to-end services. The Dutch have caught wind of this, and

have already stated that they do not think that curtailment of

services would be justified. The Australians are still

considering this problem. The Australians propose to discontinue

all services between Paris and Australia and between Austria

and Australia.

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