CONFIDENTIAL
1
excess of the traffic CPA would expect to carry on an end-to-end basis, it would seem preferable to tailor the capacity 10 the demand by mounting only one or two flights per week or by deferring the introduction of B747's until the through traffic had built up sufficient level
to a
to sustain them.
53. It is not known what routeing BCAL would adopt or whether they would seek rights at the intermediate point or points. wanted rights
If they in both directions at Bahrain this would have much the słune implications for the London-Bahrain sector as are
outlined in para 51 above and would still further complicate the exi ting triangular relationship on the Bahrain-Hong Kong, sector, This also, would require negotiation with the Gulf States in advance
9
would
54.
On the assumption that Skytrain or whole nline cherters at most make only a technical landing at Bahrain their introduction would not be likely to affect our relations with Babrain.
Other Intermediate Points
་
55. On the assumpti on that a Skytrain service or whole plane charter would make only a technical stop at points other than Baturain, 00 implications from their introduction are foreseen in our relations with other intermediate countries.
for
56.
If BCAL wished to make a traffic stop at some other inter- mediate point much the same considerations would apply as Bombay or Bahrain.
?
D
RÉLATIONS WITH THE UNITED STATES
57. When we denounced the old Bermuda Agreement in 1976 we -taled 20% On of our principal reasons that we wished to reduce the imbalance of benefits to which that Agreement had given rise.
58. In the subsement negotiations, we obtained rights on the trausAtlantic routes
and, even more Deross the Pacific from Hong Kongl.
* belter balance
of
07) the
routes
fully
59. Following
conclusion of the Bermuda 2 A. reement both British Airways and the UK-based independent carriers have exploited the unpertunities available to them on the North Arlapric routes" and have significantly increased the UK share of trans- Atla ntic traffic. On the other hand, while other Asia- -based earriors either have launched, or are planning to launch at early date servicesS across the Pacific British operators.
•
conta mird States
>
to hỏid back. now Hon Kong
have It is anomalous that although the United biggest trading partner {bigger than the UK) and although there is large volume 'of business and touris traffic there i*
>
iro British wirline link between the two. Estorially in view of thi * it is unsatisfactory that the trans-Pacific rights which we
effort lying unused,
ONFIDENTIA I
•
obtained with much
still
ཡིསམ་རག་
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