TNAG-0963-FCO40-1182-Air-services-between-China--Hong-Kong-and-the-UK-1980 — Page 27

PARAGRAPH 5 TO THE PACKAGE AS IT STANDS, BUT WE CAN HARDLY SO ARGUE AFTER PROPOSING CHANGES TO OUR BENEFIT.

Li THE THREAT OF NOT IMPLEMENTING THE REMAINDER OF THE REGIONAL PACKAGE (OUR TELNO.274 OF 11 APRIL), SHOULD HELP TO SECURE CAAC COOPERATION OVER THE APPROVAL OF A CPA SUBSIDIARY FROM THE HONG KONG/SHANGRAL ROUTE (WHICH WOULD ER IN LINE WITH THE CMU). TO ASK FOR MORE AT THIS STAGE IS TO LOOK FOR TROUBLE. HOWEVER, IF THE DECISION ON CPA/S ROUTES TO LONDON IS NOT TAKEN SOON, WE SHALL FIND IT DIFFICULT TO DELAY APPROVAL FOR THE REMAINING CAAC FLIGHTS WITHOUT OURSELVES BREACHING THE AGREEMENT, SINCE THEY SHOULD START ON 1 JULY.

5. WE HAVE YET TO HEAR WHAT THE POSITION IS ON THE BRITISH AIRWAYO SIDE OF THE AGREEMENT ON WHAT LINE MR BLAKER PROPOSES TO TAKE WITH KE HUA (YOUR TELNO,456).

CRADOCK

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