5. THESE TEXTS MAKE CLEAR THAT HMG REGARDS THE MONITORING PROPOSALS AS FULFILLING ITS OBLIGATIONS IN THIS AREA AND THERE IS NO COMMITMENT TO CONSIDERATION OF LOAN DEFERRAL. JVC (CATER) OBVIOUSLY HAD IN MIND IN PRESSING FOR TECHNICAL SUPPORT A MINI CEGB SERVICES ROLE. WE HAVE AGREED TO DISCUSS IN DUE COURSE WITH JVC AND CONTRACTORS WHAT ARRANGEMENTS ARE APPROPRIATE, WITHOUT COMMITMENT TO ANY PARTICULAR PROPOSALS. NO DOUBT WE SHALL FACE FURTHER NEGOTIATION AT THAT STAGE ON THIS POINT.
6. WITH AGREEMENT REACHED ON THESE POINTS HOWEVER BOC, CLEARLY · AT JVC INSISTENCE, RAISED A NEW OBJECTION TO PAYMENT OF INITIAL QP PERCENT OF ECGD PREMIUM ON LOAN AGREEMENT SIGNATURE. JVC/BOC PRESSED FOR PAYMENT RELATED TO EFFECTIVENESS OF LOAN AGREEMENT. WE AND MIDLAND POINTED OUT THAT BANKS COULD NOT SIGN LOAN AGREEMENT WITHOUT ECGD GUARANTEE WHICH REQUIRED PRIOR PREMIUM DOWNPAYMENT. BOC EVENTUALLY PROPOSED 5 PERCENT ON SIGNATURE WITH 5 PERCENT SEVEN DAYS BEFORE EFFECTIVENESS BUT ECGD COULD NOT ACCEPT THIS. IN ORDER TO PERMIT MOU TO BE SIGNED, DORM OF WORDS EVENTUALLY AGREED
M.WHICH BOC NOTED THAT A PREMIUM DOWNPAYMENT ON LOAN SIGNATURE SWAS
WAS A REQUIREMENT OF THE UK SYSTEM, BUT RESERVED ITS OWN POSITION. IT IS INTENDED THAT THIS ISSUE SHOULD BE RESOLVED WHEN A BOC/JVC TEAM VISITS LONDON AND PARIS: LATER THIS MONTH.
7. SIGNATURE CEREMONY PROCEEDED SMOOTHLY AND CELCERATORY DINNER HELD LAST HIGHT WENT SUCCESSFULLY. BENJAMIN AND ALTY RETURNING AS PLANNED ON TG615 TODAY ARRIVING LONDON 1030Z ON 3 JANUARY. PENTECOST, SEDMAN AND SHEPHERD BOOKED TOMORROW BUT ARE TRYING TO FIND FLIGHTS TODAY.
+4
8. TODAY'S CHINA DAILY REFERS TO SIGNING OF EDAN MOU QUOTE FOLLOWING DIFFICULT NEGOTIATIONS UNQUOTE EXCLAMA
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