CONFIDENTIAL

Ideally we would like you to use just enough muscle to achieve

our present purposes without being drawn into a major

confrontation over 56 seats a week. We may well need to use

more drastic measures in the context of next years review,

but Hong Kong are still considering how far we can go in

that direction and we would much prefer at present not to be

drawn progressively by a chain of threats and counterthreats

into using our heaviest hammer in order to crack the present

nut.

Stevens (DOT) has written to Peirce about dates for the review.

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