CRS 380
CONFIDENTIAL
ALECO 201344Z JUL 79
TO UTINE JAKARTA
CONFIDENTIAL
See3car (378)
TELEGRAM NUMBER 111 OF 20 JULY
AND TO HONG KONG (GOVERNOR AND BCARFE) UK/INDONESIA AIR SERVICES
Акк 18411
23 JULIA
ра
1. AIR SERVICES TALKS ARE DUE TO BE HELD IN JAKARTA IN THE
WEEK DEGINNING 10 SEPTEMBER AND SINCE THE ICAP PROBLEM LOOKS
WILIKELY TO BE RESOLVED BY THE!!, WE ARE IN THE SAME UNCERTAIN POSITION ABOUT WHAT WE WANT OUT OF THE TALKS AS WE WERE IN
MARCH.
NIR
2. MATTERS ARE FURTHER COMPLICATED BY GARUDA'S HEAVY PURCHASES OF NEW WIDE-BODIED AIRCRAFT (COHEN'S LETTER 090/1 OF 13 MARCH TO RODGER, SEAD), THEIR REPORTED AMBITIONS TO OPERATE DC10S THROUGH HONG KONG TO JAPAN AND RUMOURS OF THEIR LATEST
INTEREST IN OPERATING TO LONDON (ALTHOUGH THE LATEST NEWS WE
HAVE FROM BA IS THAT GARUDA ARE SHOWING NO SERIOUS INTEREST IN THE LATTER).
14.
3. BA, WHO ARE PLANNING AND ALREADY OPERATING MORE SE ASIA TERMINATING SERVICES, ARE NOW STARTING TO THINK SERIOUSLY ABOUT
LONDON- JAKARTA TERMINATORS: ON PRESENT PLANS THEY WOULD LIKE
TO BE ABLE TO START THESE IN NOVEMBER 1980. WE THEREFORE NEED
TO DECIDE WHETHER WE SHOULD GO FOR A MAJOR NECOTIATION INVOLVING REGIONAL ROUTES AND A TRUNK ROUTE, EVEN THOUGH TO PUT THE LATTER ON THE AGENDA WOULD PLACE US IN THE DISADVANTAGEOUS FOSITION OF DEMANDEUR, OR WHETHER WE SHOULD SIMPLY TRY AGAIN FOR A FURTHER 6 MONTHS' EXTENSION OF THE PRESENT ARRANGEMENTS. 4. FOR JAKARTA. GRATEFUL TO KNOW IF YOU HAVE ANY INDICATION OF INDONESIAN INTENTIONS AT SEPTEMBER TALKS, IN PARTICULAR WHETHER GARUDA IS LIKELY TO WANT TO TALK ABOUT A TRUNK ROUTE. ASSUMING THEY DO NOT, IT MIGHT BE TO OUR ADVANTAGE TO GO FOR A CONTINUATION OF THE STATUS QUO: BY SAY MARCH OF NEXT YEAR, GARUDA WILL HAVE A MORE PRESSING NEED TO WORK OUT ARRANGEMENTS FOR DEPLOYING THEIR NEW FLEET PURCHASES AND WE WOULD THEN BE IN A STRONGER NEGOTIATING POSITION THAN IN SEPTEMBER TO PRESS OUR OWN REQUIREMENTS. 5. FOR HONG KONG. GRATEFUL TO KNOW IF YOU ARE CONTENT THAT WE CHOULD TRY FOR A FURTHER EXTENSION OR WHETHER YOU WOULD PREFER THAT WE SHOULD NEGOTIATE FOR CPA'S MAXIMUM LONGER TERM REQUIREMENTS,
INCLUDING DENPASAR, FULL STI' FREEDON RIGHTS SINGAPORE-HONG KONG, SWITCH TO D747S AND WHATEVER IS MOST SUITABLE FOR CONTINUATION OF
PERTH RIGHTS
CARRINGTON
FILES
[COPIES SENT TO CAD/DOT]
MAED SEAD HK & GD MISS EROWN MR MURRAY
CONFIDENTIAL
636