TNAG-0780-FCO40-984-Involvement-of-Hong-Kong-in-air-services-agreements-1978 — Page 39

CONFIDENTIAL

བསཾབྷ

3. WE ARE NOT PERSUADED BY THE CAA ARGUMENTS IN THAT:

A. THERE IS NO REASON WHY THE SIXTH FREEDOM CARRIERS CANNOT COMPETE ON EQUAL TERMS WITH THE 3RD/4TH FREEDOM CARRIERS:

B. THE DECOMMONRATION CERTAINLY SATISFIES THE INTERESTS OF HONG KONG

AND WE SEE NO REASON TO TAKE ACCOUNT OF THE INTERESTS OF OTHER COUNTRIES WHO ARE WELL ABLE TO LOOK AFTER THEMSELVES (WITNESS THE

RECENT ACTION TAKEN BY SINGAPORE AND MALAYSIA ON AIR CARGO CURRENCY EXCHANGE RATES):

C. WE HAVE BEEN GIVEN TO UNDERSTAND THAT PAA WILL SHORTLY FILE

A GROUP 10 FARE FREOM BKK/HKG/MNL/SIN TO LAX/SFO.

4. WE THEREFORE CONTINUE TO SUPPORT THE PAA FILING.

MACLEHOSE

FILES

MK 8. GD

MAED

NAD

MISS BROWN

[COPIES SENT TO CAD/DOT]

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CO (ENTIAL