TNAG-2312-FCO40-3356-Air-services-between-Hong-Kong-and-South-Korea-1991 — Page 21

FCO40 Hong Kong Department Records 聯邦事務部香港部檔案 All

RESTRICTED

RESTRICTED

FM HONG KONG

TO PRIORITY FCO

TELNO 2561

OF 141044Z AUGUST 91

INFO PRIORITY DTP, SEOUL

HKC481/23

(21

001417

MDLIAN 2809

pa.

fo is 1418

DTP FOR IAD.

YOUR TEL 302. HONG KONG: ROK AIR SERVICES.

SUMMARY

MEETING HELD IN HONG KONG AS ENVISAGED IN TUR. EXCHANGE CORDIAL. ONE MINOR AMENDMENT TO AUGUST 1990 CMU BUT NO CHANGE IN CAPACITY. BOTH SIDES TO MEET AGAIN IN SEOUL BEFORE END FEBRUARY 1992. ROK KEEN TO ASA SEPARATION.

DETAIL

2. MR DONG CHUN SHIN, DIRECTOR, INTERNATIONAL AIR TRANSPORT DIVISION OF THE MINISTRY OF TRANSPORT LED ON BEHALF OF THE ROK. WAKELING (ESB/ASNU) LED FOR HONG KONG. SHIN EXPLAINED ROK'S

OBJECTIVES AS:

(A) TO SECURE AN INCREASE IN CAPACITY FOR ROK: HK SERVICES

(MAINLY TO SATISFY ASIANA'S WISH TO MOVE AS QUICKLY

AS POSSIBLE TO A DAILY SERVICE):

(B) TO SECURE AMENDMENT TO THE REGIONAL ROUTE SCHEDULE: AND (C) TO EXPLORE THE POSSIBILITY OF ROK:HK ASA SEPARATION.

3. IN SUPPORT OF HIS PROPOSAL FOR AN INCREASE IN CAPACITY, SHIN DREW ATTENTION TO THE VERY RAPID DEVELOPMENT OF THE ROK:HK MARKET FROM 1988 THROUGH 1990 AND CONCLUDED THAT SUCH GROWTH WARRANTED AN IMMEDIATE INCREASE OF SOME 750 SEATS PER WEEK FOR EACH SIDE. HE ALSO PROPOSED AN IMMEDIATE INCREASE IN ALL-CARGO CAPACITY OF 2 X B747F FOR EACH SIDE.

4. HE WAS REMINDED THAT THE 1988 TO MID-1990 MARKET EXPANSION WAS THE JUSTIFICATION FOR THE CAPACITY INCREASE AGREED IN AUGUST 1990. ALSO THAT HE HAD OMITTED TO MENTION THE SIGNIFICANT DOWN TURN IN THE MARKET SINCE THE TURN OF THE YEAR: EVEN THOUGH CPA ARE NOT AT PRESENT USING THEIR FULL ENTITLEMENT THE END-TO-END SEAT FACTOR IS ONLY 46'' FOR CPA, 65'' FOR KOREAN AIR AND 41'' FOR

1

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