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(b) As the reference to Hong Kong in paragraph 7

of the Annexe would then disappear there would be no reason to retain paragraph 8 of the Annexe.

(11).

Paragraph 9 of the Annexe, line 4 "allow the

export of" seems preferable to "export".

(12).

Paragraphs 10 and 11 of the Annexe might be

omitted as they suggest that H.M. Representatives abroad assist in the obtaining of orders for arms, and they relate to facilities accorded rather than to control. (13).

I have sent a copy of this letter to Costar of the Colonial Office to whom, I understand, a copy of Stevenson's letter was sent. I have also sent copies of the Bevised draft (copy enclosed) to Seal, McNair,

Slater and Cherry, as arranged at the meeting on Friday afternoon.

Yours sincerely,

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