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EFFECT CPA WOULD BE PAYING THE PRICE IN S.E. ASIAN POINTS FOR THE BENEFIT TO ACCRUE TO SOMEONE ELSE. THE RETURN CPA MIGHT EXPECT TO GET FROM SERVING OTHER POINTS IN CHINA WOULD NOT COMPENSATE THEM IN THE FORESEEABLE FUTURE. THIS WOULD BE POLITICALLY UNACCEPTABLE LOCALLY.
5. LIKEWISE, IF A HONG KONG BASED BRITISH AIRLINE WERE TO BE
• DENIED THE ABILITY TO OPERATE TO PEKING AND SHANGHAI UNDER. OPTION B, THAT WOULD ALSO PROVOKE MISUNDERSTANDING LOCALLY. WE HAVE ALREADY MADE THIS POINT IN OUR TELNO 583.
6. WE ARE UNCLEAR AS TO WHAT CAPACITY CONTROL MECHANISMS MIGHT BE ARRIVED AT. ON THE ASSUMPTION THAT THEY WOULD BE LIBERAL ENOUGH FOR A HONG KONG BASED BRITISH CARRIER TO PARTICIPATE IN THE CARRIAGE OF TRAFFIC BETWEN HONG KONG AND PEKING AND SHANGHAI, AND ON THE ASSUMPTION THAT ROGERS HAS NO ALTERNATIVE BUT TO GO FOR ONE OF THE TWO OPTIONS IN PARAGRAPH 7, THEN WE WOULD PREFER OPTION B AS THE LESSER OF THE TWO EVILS. BUT WE HOPE IT WILL NOT COME TO THIS
MACLEHOSE
FILES
MAED
FED
HK V GD SEAD
MISS BROWN
MR MURRAY
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