GR
PRIDRITY
CYPHER CAT A
FM WONG KONG 120658Z
FOHG
CONFIDENTIAL
CONFIDENTIAL
TO PRIORITY F C O TELNO 870 OF 12 JULY 1978
HKK184. X
SATER
PA
ية
No b
INFO KUALA LUMPUR, HONG KONG GOVERNMENT OFFICE LONDON.
MY TELNO 851: UK/MALAYSIA AIR SERVICES TALKS.
1978
OUR CONSIDERED VIEWS ON STABLES' LETTER OF 8 JUNE 1978 ARE
AS FOLLOWS:
ROUTES.
Q OUR VIEWS REMAIN AS STATED BY LATHAM. WITH REGARD TO ANY
TRY.
noon Teileen
POINTS WHICH CPA MIGHT SURRENDER AS PART OF AN OVERALL AGREED PACKAGE, CPA WOULD BE PREPARED (AND WE AGREE) TO GIVE UP FREIGHTER
RIGHTS FOR TWO SINGLE-DIRECTION B797F SERVICES SIN/KUL/HKG (PART 11, SECTION (IV) OF THE CMU OF NOVEMBER 1977).
CAPACITY AND CAPACITY CONTROL.
3. WE HAVE DISCUSSED WITH CPA THE FRAMEWORK OF A TRIGGER MECHANISM MUCH ON THE LINES OF STABLES' LETTER AND ASKED THAT CPA NOW ARRANGE A MEETING WITH MAS TO SEE WHAT MEASURE OF AGREEMENT CAN BE REACHED. OUR MAIN CONCERN IS WITH SEAT AVAILABILITY TO MEET THE PUBLIC INTEREST, ESPECIALLY THE BUSINESS TRAVELLER AND, IN THIS CONNECTION, WE ARE PLEASED TO REFORT THAT CPA HAVE INTRODUCED A SYSTEM WHEREBY CAPACITY IS MONITORED ON ALL ROUTES TO ENSURE ADEQUATE SEATS ON DEMAND FOR FULL FARE PAYING PASSENGERS. WHATEVER CAPACITY TRIGGER MECHANISM IS AGREED WITH THE MALAYSIANS,
WE WOULD LIKE TO INCLUDE A CAVEAT SO THAT ADDITIONAL CAPACITY OVER
AND ABOVE THAT PROVIDED FOR BY THE FORMULA CAN BE MADE AVAILABLE IN THE EVENT OF A PROVEN SHORTFALL. CPA HAVE ALSO BEEN BRIEFED ON
THIS.
4. AS TO FIFTH FREEDOM CAPACITY, CPA REMAIN OPPOSED TO
MOUNTING TURN-AROUND SERVICES AND THIS LEAVES US WITH A MECHANISM SIMILAR TO THAT ENSHRINED IN THE CPA/THA! AGREEMENT CONCERNING FIFTH FREEDOM OPERATIONS. CPA RECENTLY AGREED WITH THA! A METHOD OF CALCULATING FIFTH FREEDOM EARNINGS WHICH SHOULD ELIMINATE ANY MAJOR DISCREPANCIES OR DISPUTES IN REVENUE CALCULATIONS. THE. PRINCIPLES, WHICH COULD ALSO BE INCORPORATED IN AN AGREEMENT WITH
THE MALAYSIANS, ARE:
CONFIDENTIAL (1) REVENUE
Page
No comments yet.
Private notes are available after approval.