The Assistant Secretary of State ( Rockefeller ) to the Ambassador in Ecuador ( Scotten )
Dear Bob: Thanks for your letter of the ninth41 concerning your visit to the President. I appreciate your tactful handling of this matter.
I had a very frank talk with Galo Plaza before he left, and he is fully familiar with all angles of the negotiations concerning both the loan and the bases on Galápagos Islands.[Page 1017]
The only feature of this whole thing which worries me now is the amount which the Army and Navy will be prepared to spend as annual rental for the use of the bases. The present economy wave which is spreading over Washington—and rightly so now that the war is over—may result in their reducing their estimate of what they can pay beyond the point of the true value to the United States, which would have a very unfortunate effect on the negotiations. Therefore, for the time being, I think we will have to avoid mentioning any question of the amount in this connection.
By now you will have received all the background information concerning the negotiations and we will look forward to hearing from you as to your reaction to Ambassador Plaza’s visit.
With best wishes,
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