TNAG-0780-FCO40-984-Involvement-of-Hong-Kong-in-air-services-agreements-1978 — Page 80

CONFIDENTIAL

THE PROS AND CONS OF A MODEST CHARTER PRESENCE GRAFTED ON TO THE AUSTRALIAN SCHEME WERE DISCUSSED. THE AUSTRAL FANS PRESENTED POWERFUL ARGUMENTS WHY, IN THEIR VIEW, A CHARTER OPERATION OF, SAY, TWO WIDE-BODIED AIRCRAFT BY EACH SIDE ON A YEAR ROUND BASIS WOULD BE QUITE IMCOMPATIBLE WITH THEIR PROPOSALS. OTHER ALTERNATIVES WERE THEN EXPLORED EG A MORE MODEST KIND OF CHARTER OPERATION, CHARTER OPERATIONS CONFINED TO PEAK PERIODS, OR CHARTERS THAT HAD A SPECIFIED MINIMUM LEVEL OF IT TRAFFIC. THERE WAS INSUFFICIENT TIME TO SUBMIT A PAPER IN WHICH THEY EXAMINED ALL THE REASONABLE ALTERNATIVES.

SGUM HONG KONG

REFER TO MY TEL UNDER REFERENCE,

13. AT THE AUSTRALIANS REQUEST IT WAS AGREED TO PRODUCE A CONFIDEN- TIAL MEMORANDUM OF DISCUSSIONS. DOT WILL DESPATCH TEXT TO INFORMATION ADDRESSES OF THIS TLELGRAM.

14. PLEASE PASS DOT

15. SEE MIFT,

с

DUDGEON

FILES MAED

SWPD SEAD

HK & G D

WED SED

AMD

NAMD

LEGAL ADVISERS

MR BUTLER MISS BROWN

MR MURRAY

[COPIES SENT TO CAD/ DOT

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CONFIDENTIAL