TNAG-0643-FCO40-791-Involvement-of-Hong-Kong-in-air-services-agreements-1977 — Page 198

CONFIDENTIAL

2+

GRS 500

IMMEDIATE

CYPHER CAT A

FM BANGKOK 250750z bc

(30) (31

CONFIDENTIAL

TO IMMEDIATE FCO TELNO 517 OF 25TH OCT

628

HKK 18.

184/3 7

260

RFI ROUTINE HONG KONG (FOR GOVERNOR AND BEARFE)

\\DESKBY 253988Z

MY TELNO 514 : UK/THAI AIR SERVICES

1. WHEN THE TWO DELEGATIONS MET AGAIN YESTERDAY, ROGERS PROPOSED

THAT WORK SHOULD BE PRESSED AHEAD WITH A VIEW TO SIGNING THE

FOLLOWING DOCUMENTS ON FRIDAY 28 OCTOBER.

A. AN EXCHANGE OF DIPLOMATIC NOTES BRINGING INTO FORCE A NEW ROUTE

SCHEDULE WHICH WOULD SUPERSEDE BOTH THE EXISTING ROUTE SCHEDULE

IN THE ASA AND THE ROUTE SCHEDULE ATTACHED TO THE CMU OF FEB

1976. IN ORDER TO SALVE THAI SUSCEPTIBILITIES AND TO AVOID

LENGTHY WRANGLES OVER, FOR EXAMPLE, THE EXCLUSION OF KOREA

FROM THAI ROUTE 2 THE NEW ROUTE SCHEDULES WOULD BE DRAFTED

ON GENEROUS LINES BUT WOULD CONTAIN A FOOTNOTE AS FOLLOWS:

ARRANGEMENTS TO GOVERN THE SERVICES AND CAPACITY TO BE PROVIDED O

"

ON THESE ROUTES WILL BE AGREED BETWEEN THE TWO AERONAUTICAL

AUTHORITIES ''.

B. A NEW CMU, WHICH WOULD REFER TO THE FOOTNOTE TO THE ROUTE

SCHEDULES MENTIONED IN A. ABOVE AND WHICH WOULD SUPERSEDE ALL

PREVIOUS PINTERPRETATIONS AND UNDERSTANDINGS RELATING TO THE UK/THAILAND AIR SERVICES AGREEMENT. THIS CMU, IN TURN,

WOULD RECORD THE APPROVAL OF BOTH GOVERNMENTS FOR THE INTER

AIRLINE AGREEMENTS REFERRED TO IN C AND D BELOW AND WOULD MAKE

IT PLAIN THAT ONLY THOSE SERVICES (SPECIFYING CAPACITY AND ROUTE POINTS) WERE TO BE OPERATED WHICH HAD RECEIVED THE SPECIFIC

APPROVAL OF THE AERONAUTICAL AUTHORITIES OF BOTH SIDES,.

C.

AN AGREEMENT BETWEEN CPA AND THAI INTERNATIONAL FOR

1. REGULATING CAPACITY ON THE SECTOR BETWEEN HONG KONG

AND BANGKOK

11. REGULATING CAPACITY ON FIFTH FREEDOM SECTORS BEYOND BANGKOK

AND HONG KONG

III. POOLING REVENUES ON THE HONG KONG-BANGKOK SECTOR.

THIS WOULD BE BASED ON THE POOLING AGREEMENT ON WHICH CPA AND

THAI INTERNATIONAL HAD BEEN WORKING FOR SOME TIME, BUT WITH A

NUMBER OF ADDITIONS AND AMENDMENTS.

D. AN AGREEMENT, BETWEEN BA AND THAI INTERNATIONAL FOR COLLABORATION ON THE TRUNK ROUTE AND INCLUDING PROVISION FOR QUOTE REASONABLE

UNQUOTE COMPENSATION TO BA FOR THAI INTERNATIONAL'S VERY LARGE SIXTH FREEDOM (MAINLY UK-AUSTRALIA) CARRYINGS. AS

CONFIDENTIAL

/FART OF