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Board nominated you, as Chairman of the Board,

and Mr. C. C. Macree, a

as one of the Directors,

See p. 6 of my

printed Memo.

terviste Gr.

to represent the British and Chinese Corporation, and that the questions at issue have

been thoroughly discussed, with the result

that the Board have expressed their willingness to assent to an agreement on the following

lines:-

(a) Conditions B (with reasonable reservations) and 7 of the Colonial Office letter

of 24th June to be accepted by the Corporation.

(b) The Hong Kong and Chinese sections

to be constructed and owned by the respective

Governments.

(c) The working of both sections as one

undertaking to be provided for by agreement

between the two Governments.

(d) The general terms of such agreement

to be arranged between the Colonial Office,

on behalf of the Colonial Government, and the

Corporation.

(e) Negotiations then to be opened with

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