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5. THESE PLANS WOULD NOT ONLY REQUIRE A MAJOR RESTRUCTURING OF QANTAS RESOURCES AND BIG CUTS IN QANTAS STAFF ALL ALONG THE
TRUNK ROUTE TO EUROPE, BUT WOULD. ALSO INVOLVE MASSIVE DISRUPTION TO THE SERVICES PROVIDED BY OTHER AIRLINES.
6. SO FAR AS EAST AUSTRALIA-HONG KONG SERVICES ARE CONCERNED,
THE WE ARE LESS SANGUINE ABOUT ANY BENEFICIAL EFFECTS ON CPA. SUGGESTION THAT QANTAS WOULD REDUCE ITS SERVICES IS VERY LIKELY
THERE WOULD BE A CONSEQUENCE OF THE EXPECTED DROP IN TRAFFIC. NO POINT IN CPA HAVING A FREQUENCY ADVANTAGE WITH EMPTY AIRCRAFT.
THE 1977 SEAT
7. AS TO THE WEST AUSTRALIA-HONG KONG ROUTE, THE CURRENT CPA SERVICES DEPEND HEAVILY ON 5TH FREEDOM TRAFFIC. FACTORS WERE:
PER-HKG
HKG-PER
3/4
5
3/4
5
JANUARY
21.74
555.51
40.00
53.89
FEBRUARY
13.74
61.90
24.83
58.49
MARCH
14.13 58.39
15.98
63.38
THIS BEING SO, CPA WOULD PROBABLY GIVE UP THE ROUTE.
8. WE ARE PARTICULARLY DISTURBED AT THE SUGGESTION THAT SINGAPORE SHOULD BE SINGLED OUT FOR SPECIAL TREATMENT, AND WOULD FIND IT DIFFICULT TO ACCEPT THAT SINGAPORE SHOULD BE THE GATEWAY FOR AUSTRALIAN VISITORS TO HONG KONG.
9. THE SUGGESTION THAT THE U.K SHOULD CO-OPERATE BY REDUCING
THE CAPACITY OF THE 6TH FREEDOM CARRIERS IN THE AUSTRALIAN-LONDON
MARKET DOES, OF COURSE, OPEN UP FOR RENEGOTIATION A NUMBER OF AIR SERVICES ARRANGEMENTS AND ALSO BRITISH AIRWAYS' COMMERCIAL ARRANGEMENTS INVOLVING DANEGELD PAYMENTS FOR SUCH CARRIAGE. THIS COULD WELL HAVE AN ADVERSE SPIN-OFF EFFECT ON CPA AND WE TRUST THAT REGIONAL INTERESTS WOULD BE SAFEGUARDED.
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/ 10. IN ACCORDANCE
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