TNAG-0778-FCO40-982-Involvement-of-Hong-Kong-in-air-services-agreements-1978 — Page 102

CONFIDENTIAL

41. IT WOULD BE INTERESTING TO KNOW WHETHER BRITISH AIRWAYS

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HAVE MADE A RECENT ASSESSMENT OF THE VIABILITY OF OPENING A LONDON-HONG KONG-PEKING SERVICE AS ENVISAGED IN THE INITIALLED

AGREEMENT, WE HAVE LEARNT THAT LUFTHANSA AND S.A.S. ARE

DOUBTFUL BUT FOR REASONS THAT DO NOT NECESSARILY APPLY FOR B.A.. LUFTHANSA WOULD NEED TO BRING WIDE-BODIED JETS, AND THIS SHOULD BE POSSIBLE WHEN THE NEW AIRPORT IS COMPLETED BY AUTUMN 1979. SAO BELIEVE THAT THE SUBSTANTIAL NUMBER OF SCANDINAVIAN TOURISTS (AT LEAST 5,000 A YEAR FROM DENMARK, NORWAY AND SWEDEN) WOULD NOT EASILY BE ATTRACTED AWAY FROM THE CHEAP AND CONVENIENT CONNECTION VIA MOSCOW WITH AEROFLOT/C.A.A.C... BOTH LUFTHANSA AND SAS AS WELL AS AIR FRANCE, SWISSAIR AND YUGOSLAV AIRLINES, WOULD BE COMPETING FOR PASSENGERS ON THE DIRECT ROUTE: THE

BA SERVICE WITH THE POSSIBILITY OF STOPOVER IN HONG KONG OUGHT

TO BE A SPECIAL ATTRACTION FOR BOTH BUSINESSMEN AND TOURISTS.

DAVIES

FILE S

FED MAED

[COPIES SENT TO CAD/DOT]

HKGD

MR.CORTAZZI

MR.THOMAS

MR.BUTLER MR. BURROWS

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CONFIDENTIAL