811.79641/12–1045
The British Ambassador (Halifax) to the Secretary of State
Memorandum
His Majesty’s Ambassador presents his compliments to the Secretary of State and has the honour to refer to the Memorandum from the Department of State dated 29th November, on the subject of North Atlantic Air Services. His Majesty’s Government consider that it may be of assistance if they set out in detail the arrangements for the operation of North Atlantic Air Services pending the conclusion of a formal Bilateral Agreement.
- 2.
- His Majesty’s Government understand that both Pan American Airways and American Overseas Airlines have filed with the Civil Aeronautics Board trans-Atlantic fares of $375 and that the Board has agreed to these rates, effective from 10th December.
- 3.
- His Majesty’s Government are prepared to grant landing rights to the United States air carriers which are prepared to charge the agreed passenger fare of $375 and a freight rate and excess baggage allowance related to this $375 fare.
- 4.
- His Majesty’s Government wish to emphasise that this arrangement is temporary and that the agreement of His Majesty’s Government is subject to the rate of $375 remaining in force until an agreed recommendation on fares on the North Atlantic has been reached by the International Air Transport Association’s North Atlantic Conference.
- 5.
- His Majesty’s Government wish to make clear the fact that the principle of a rate agreed by them, after consultation between North Atlantic air carriers, is a condition of the grant of rights to air carriers to operate, to the United Kingdom from the United States, any capacity in excess of that allowed under the existing 1937 Agreement.
- 6.
- Subject to the above conditions, His Majesty’s Government are willing that up to fourteen services per week within a total capacity of 500 seats per week should be available to the United States Government to apportion among United States carriers.
- 7.
- Pending the conclusion of a formal Bilateral Agreement, these services will be straight forward Third and Fourth Freedom services without conferring any Fifth Freedom rights.
- 8.
- Finally, His Majesty’s Government assumes that full reciprocal rights will be accorded to British air carriers to operate parallel services.
[Acting Secretary Acheson on December 14 wired to Secretary of State Byrnes at Moscow to urge him to emphasize to Foreign Secretary Bevin the importance of negotiating as soon as possible a long-term agreement of the United States and the United Kingdom on international commercial air transport (telegram 2525, Secdel 9, December 14, 1945 (740.00119 Council/-12–1445). No record has been found of a conversation of Byrnes and Bevin at Moscow on this subject. For documentation on the meeting there of the Foreign Secretaries of the United States, United Kingdom, and Soviet Union, December 16–26, 1945, see volume ii, pages 560 ff.]