832.796/222½

Memorandum of Conversation, by Mr. Ellis O. Briggs of the Division of the American Republics

Mr. Trippe88 told me during a conversation on other matters that, in his opinion, the situation in Brazil with respect to German competition was so much more important than that in any other area that it would be desirable to endeavor to reach a solution favorable to our interests at the earliest possible date. In that connection he [Page 661]mentioned reports to the effect that the Germans may shortly endeavor to fly planes, to be placed at the disposal of the Lufthansa, from Africa to Brazil and should an appreciable number of additional machines be made available to the Germans, their elimination would become that much more difficult. He is aware from recent conversations in the Department that we are considering at this time possible approaches to the problem.

Mr. Trippe went on to say that he felt the time was coming when Brazilian capital, either Government or private, or both, should be encouraged to invest in Panair do Brasil, that its equipment should be improved through turning over to that company machines from the International Service and that, in his opinion, it might be possible to execute a new contract giving to Panair do Brasil exclusive cabotage rights. In any case, he thought that early study should be given to the situation and to the possibility of developing Panair do Brasil, all the stock of which is now owned by Pan American Airways, into a genuine national feeder line service.

Ellis O. Briggs
  1. Juan Trippe, President of Pan American Airways.