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106012/
MDLIAN 9087
BRIDGE CLAIM TO BE KEEPING THE CHINESE GOVERNMENT INFORMED.
4. ALTHOUGH WE HAVE NOT RECEIVED CONFIRMATION FROM THE HONG KONG ADMINISTRATION THAT THIS ADDITIONAL GUARANTEE HAS BEEN SOUGHT, OTHER SOURCES SEEM SATISFIED THAT AN ADDITIONAL FINANCIAL GUARANTEE OF SOME SORT HAS BEEN SOUGHT. SIR GORDON MANZIE, AT PRESENT IN HONG KONG, ALSO BELIEVES THIS TO BE THE CASE. MANZIE DOES NOT ENVISAGE THE AJC HAVING TO PROVIDE A SIMILAR GUARANTEE: THEIR FINANCIAL POSITION IS CLEARLY SOUNDER. IF THE HKG HAVE SOUGHT AND ULTIMATELY SECURE A GUARANTEE FROM HYUNDAI, THEY COULD INDEED BE CREATING A MORE DIFFICULT SITUATION FOR THEMSELVES.
HKG'S CONCERN AS WE UNDERSTAND IT DOES NOT ONLY RELATE TO HYUNDAI'S FINANCIAL STANDING BUT ALSO TO THEIR TECHNICAL CAPABILITY. AN ASSURANCE ON THE FINANCIAL SIDE WILL NOT THEREFORE REMOVE THEIR CONCERNS AND IF FURTHER GUARANTEES ON THE TECHNICAL
SIDE ARE SOUGHT ONE CAN ENVISAGE A VERY AWKWARD SITUATION DEVELOPING, NONE OF WHICH WILL NECESSARILY REBOUND TO AJC'S ADVANTAGE.
5.
MANZIE REMAINS OPTIMISTIC. HE IS ENCOURAGED BY THE MEETINGS HE AND THOSE ACCOMPANYING HIM HAVE HAD SO FAR. HE HAS BRIEFED
GAMMON'S PR CONSULTANTS TO PREPARE THEMSELVES FOR A RIPOSTE IF THEY WIN. HE SAID HE WAS UNDER PRESSURE FROM LONDON TO DO MORE ON
THE PR FRONT AND SOUGHT MY VIEWS. I SUGGESTED CAUTION AT PRESENT SIMPLY BECAUSE EVERY DAY BRINGS NEW PRESS ARTICLES ABOUT HYUNDAI'S DIFFICULTIES. THERE IS LITTLE NEED TO DO MORE WHILE THE TIDE IS RUNNING SO WELL FOR US. MANZIE HAS DECLINED AN INVITATION TO BE INTERVIEWED BY THE MING PAO, A LEADING CHINESE LANGUAGE NEWSPAPER. HE IS CONFIDENT THAT ALTHOUGH THEIR INVOLVEMENT WITH CHINESE COMPANIES HAS BEEN CONDUCTED DISCREETLY, THEIR PLANS TO INVOLVE CHINESE COMPANIES SHOULD FORESTALL ANY IMMODERATE REACTION FROM THE CHINESE GOVERNMENT SHOULD THE AJC BE AWARDED THE CONTRACT. THE AJC PROPOSE TO FABRICATE AND STORE MUCH OF THE STEEL REQUIRED FOR THE STRUCTURE IN CHINA AND TO INVOLVE CHINESE COMPANIES IN SHANGHAI, SHENZHEN AND HONG KONG DURING THE BUILD PERIOD. THEY ARE LIKELY TO GIVE SOME OF THE SUB-STRUCTURE WORK TO CHINA HARBOUR ENGINEERING WHICH, WITH CHINA ROADS AND BRIDGE CHYUNDAI'S CHINESE PARTNER), COME UNDER THE DIRECT CONTROL OF THE MINISTRY OF COMMUNICATIONS IN PEKING. CHINA HARBOUR'S DIRECTOR (FANG) IS CURRENTLY IN PEKING FOR DISCUSSIONS WITH HIS MINISTRY AND MANZIE IS HOPEFUL THAT THE END RESULT WILL BE TO SUPPRESS FURTHER STATEMENTS BY CHINA ROAD AND BRIDGE WHILE THE BIDS ARE BEING EVALUATED.
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