TNAG-0864-FCO40-1074-Involvement-of-Hong-Kong-in-air-services-agreements-1980 — Page 99

G.S770

CONFIDENTIAL

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CONFIDENTIAL

FM FCO 041940Z JUNE 79

TO IMMEDIATE KUALA LUMPUR

HKK 184/1 (261)

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RECEIVED IN RETINA0. 51

1 4 JUN 97

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TELEGRAM NUMBER 129 OF 4 JUNE

INFO IMMEDIATE HONG KONG (FOR GOVERMON AND PEALSE),

PRIORITY BANGKOK, SINGAPORE, JAKARTA, MANILA, CANBERRA, WELLINGTON. (259) OUR TELNO 125: UK/MALAYSIA AIR SERVICES.

AFTER A FURTHER 4 HOURS OF TALKS IN RESTRICTED SESSION (STEELE AND ROBEATS ON OUR SIDE, NOOR AND TALALLA ON THEIRS) IT SEEMS CLEAR THAT THERE IS NO PROSPECT OF LATCIATE AGREEMENT. THIS STAGE VAS

REACHED AFTER WE HAD PUT FORWARD 03 A PROVISIONAL BASIS A NUMBER

OF FURTHER CONCESSIONS ON THE POSITION SET OUT IN OUR DRAFT CMU, MAXING CLEAR THAT THESE WERE SUBJECT TO THE APPROVAL OF BRITISH MIRISTEKS.

2. THE MAIN OUTSTANDING POINTS OF DIFFERENCE ARE NOW AS FOLLOWS:- A) ON THE Trunk ROUTE, THE MALAYSIANS ARE ASKING FOR 4 DC105 TRENATELY, A 5TH SHORTLY BEFORE 1 APSİL 1931, AND FURTHER SERVICES THEREAFTER BY AGRECVENT BETWEEN THE TWO Sipes IN THE LIGHT OF

SIDES

DEMAND, OUR POSITION IS TO OFFER 3 DC10S TAMEDIATELY, AND A 4TH FROM OCTOBER 1940 SUBJECT TO THE VITHDRAWAL OF QANTAS FROT THE

TRUNK ROUTE AND AGPESMENT TO EQUIVALENT FREQUENCIES FOR BRITISH

AIRWAYS. FURTHER FREQUENCIES AFTER 21 MARCH 1901 WOULD BE AGREED

BLTYEE! THE TWO SIDFO IN THE LIGHT OF DEMAND NEARER THE TIME.

6) THE MALAYSIANS ASKED FOR FIFTH FREEDOM RIGHTS FROM BRUSSELS TO

LONDON AS AN ALTERNATIVE TO THEIR EXISTING ZURICH/LONDON RIGHTS,

HE SAID THAT WE WOULD CONCEDE TWO SERVICES À VEEK FROM BRUSSELS TO

LOON WITH FIFTH FREEDOM RIGHTS 11 RETURN FOR EQUIVALENT FACILITIES

FOR BA BETWEEN KUALA LUMPUR AND MATILA.

C) THE MALAYSIANS PROPOSED THE LITROSUCTION OF THEIR DAILY AINBUS GERVICE BETWEEN KUALA LUMPUR AND HONG KONG AT THE DEGINNING OF 1970,

WITH AU STH AIR.US TO FOLLOW 07 1 APRIL 1980 AND A 9TH ON

1 APRIL 1931, ME NDICATED THAT HE MIGHT BE PREPARED TO VRITE

INTO THE CMU A STATEMENT IN GENERAL TERMS THAT, SUBJECT TO THE LEVEL

OF DEPAND NEAKER TH, TIME, BOTH SIDES ENVISAGEP THAT AN OTH AIRBUS

WICHT DE INTRODUCED BY 1 APRIL 3001, WITH A RECIPROCITY FOR CPA,

CONFIDENTIAL

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