RESTRICTED
GR 200
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FM HONG KONG 290855Z JUN 82
TO PRIORITY FCO
TELEGRAM NUMBER 694 OF 29 JUNE
SINGAPORE TELNO 113: UK/SINGAPORE AIR SERVICES
We
THE ENVISAGED MILES/LIM CHIN BENG MEETING TOOK PLACE ON 23 JUNE
WHERE LITTLE PROGRESS WAS MADE. SIA SAID THAT THEY COULD NOT WITHDRAW FROM THE HKG/TPE SECTOR AS IT WAS AN ESSENTIAL PART OF THEIR NETWORK. THEY WOULD HOWEVER UNDERTAKE TO WITHDRAW THEIR DAILY HKG/TYO SERVICE OVER A THREE YEAR PERIOD AND RECONSTITUTE THEIR SERVICES TO OPERATE SIN/HKG/TPE. BUT THIS ARRANGEMENT WOULD BE CONDITIONAL ON:-
A. OBTAINING RIGHTS FROM THE JAPANESE FOR A DAILY SIN/TYO/LAX V.V. SERVICE:
B. BEING PERMITTED TO OPERATE THEIR TRANS-PACIFIC SERVICE IN ACCORDANCE WITH THE ASA ROUTE SCHEDULE (1.E. ACCESS TO LOS ANGELES).
2. CPA SAID THAT THEY COULD NOT ACCEPT THE SIA PROPOSALS SINCE THEY DID NOT OFFER A REASONABLE APPROACH TO A SOLUTION TO THE IMBALANCE OF EARNINGS PROBLEM. CPA AND SIA AGREED THAT IT WAS NECESSARY TO REFER THE PROBLEM BACK TO THEIR RESPECTIVE GOVERNMENT.
3. GRATEFUL TO KNOW WHAT DOT HAVE IN MIND FOR TIMING OF FURTHER GOVERNMENTAL TALKS. ALTHOUGH CPA ARE ANXIOUS TO REACH A SETTLEMENT,
THE LEAVE SEASON HAS STARTED AND THE TIMING OF TALKS BECOMES DIFFICULT. WOULD IT BE POSSIBLE TO TAKE THE SINGAPORE AND NEPAL TALKS IN LONDON IN THE WEEK BEGINNING 19 JULY?
YOUDE
LIMITED
MAED
FED
HKJGD MRADAMS
COPIES SENT TO CAIR/DOT
RESTRICTED
THIS TELEGRAM WAS NOT ADVANCED