If however the results achieved
available had they operated B707s. according to the formula agreed under the Guidelines (Annex B) show
that additional capacity is justified this limit can be lifted.
IV - Services between Brunei and East Malaysia
The services operated by MAS and Royal Brunei Airlines (RBA)
between Brunei and East Malaysia may continue according to their
present pattern and frequency.
V Guidelines to the Airlines
Guidelines to the airlines for the purpose of determining
capacity increases were discussed and agreed.
Annex B.
They are set out in
VI Relations between the Airlines
Both sides undertake to encourage their respective airlines to move towards a better relationship with each
other. The Malaysian side have indicated that they wish to'
terminate the present arrangements under which MAS make royalty
payments in respect of the traffic which they carry between Australia
and the UK. MAS and British Airways would therefore enter into early
discussions on the future of these arrangements. Provided that they
could be replaced by a new agreement, the present arrangements
would be terminated.
VII General Provisions
This Confidential Memorandum of Understanding supersedes all previous
Confidential Memoranda of Understanding and exchanges of letters