TNAG-0864-FCO40-1074-Involvement-of-Hong-Kong-in-air-services-agreements-1980 — Page 4

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Miss Stoagyot Amnios.

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MRA 189/390/1

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15/3.

Reference

Ake &1. Dept (the wiki amuse

FED (An Everan),

26

Legal Advisers fan handi her).

Separave (omen

Sex 261,

CAA decision on the Hong Kong mnie (attached). -- The CAA found in favour of BCAL, rejecting the applications of both Laker and CPA. The report of the hearing is critical of B.A.'s services to and from Hong Kong.

2. The CAA considered Laker's traffic forecasts much too optimistic. The Authority understood:

1) the Hing Kong Cavemments wis'n to have CPA serve the rube, ::) that there would be advantage in the development of the

Hong Kong based canvier,

route by

iii) that &C.P.A. is well placed in develoys feeder traffic from

its present network, including the airantage of existing

Bahrein,

nights between HV a Harvis" they did not consider that there advantages outweigher the disadvantage the market might suffer by having CPA operate 7467's as opposed to RCAL's smaller DC-IC's. (para 154). 3. The CAA believe that in liccusing both BCAL and CPA In itong Kong AILA may have taken

grichical valten kan an cconmic decision. The CAA does not have regard to political considerations unters so

Wars

no such direction

directed by the S.fs. There this occasion. The Autority

Haut if He Sis now exercises his

suiter (pare 155).

power of prótical

of political direction form & cla, the morning price is lively 4. Paras 128 onwards give to