Office of the Historian

358. Telegram 293490 From the Department of State to the Embassy in the Philippines, December 2, 1976, 0118Z.1 2

December 2, 1976, 0118Z

TELEGRAM
Department of State
293490

DRAFTED BY P:PCHABIB:JNP
APPROVED BY P:PCHABIB
S/S- FVORTIZ

O 020118Z DEC 76 ZFF4

FM SEC STATE WASHDC
TO AMEMBASSY MANILA IMMEDIATE

NODIS
FOR AMBASSADOR FROM HABIB

E.O. 11652: GDS
TAGS: MARR, RP, US

SUBJECT: PHILIPPINE BASE NEGOTIATIONS

1.
THE SECRETARY MET WITH ROMULO IN MEXICO CITY YESTERDAY. THEY AGREED IN PRINCIPLE ON THE COMPLETION OF THE BASE AGREEMENT IN AS SHORT A TIME AS POSSIBLE WITH A FINANCIAL PACKAGE OF ONE BILLION DOLLARS DIVIDED AMONG GRANTS AND CREDITS WITH THE TOTAL EQUALLY DIVED BETWEEN ECONOMIC AND MILITARY AID. ROMULO WILL BE COMING TO WASHINGTON ON DECEMBER 4 AT WHICH TIME THERE WILL BE A JOINT ANNOUNCEMENT OF THE AGREEMENT IN PRINCIPLE, THE TEXT OF WHICH APPEARS AT THE END OF THIS MESSAGE.
2.
THIS WILL MEAN RESUMING NEGOTIATIONS IN MANILA ON AN URGENT BASIS. YOU WILL BE GETTING OUR LATEST REVIEW OF OUR NEGOTIATING POSITION, COORDINATED WITH DEFENSE, AS QUICKLY AS POSSIBLE.
3.
ALL OF THIS IS BEING HELD CLOSELY UNTIL ANNOUNCEMENT. WE WILL KEEP YOU INFORMED AND THERE IS NO [Page 2] NEED FOR ANY ACTION ON YOUR PART AT THIS POINT.
4.
FOLLOWING IS THE TEXT OF THE PROPOSED ANNOUNCEMENT:

BEGIN TEXT:

GENERAL CARLOS P. ROMULO, SECRETARY OF FOREIGN AFFAIRS OF THE REPUBLIC OF THE PHILIPPINES, AND SECRETARY OF STATE HENRY A KISSINGER MET ON DECEMBER 4, 1976, FOR FURTHER DISCUSSION OF THE MILITARY BASE AGREEMENT NEGOTIATIONS WHICH HAVE BEEN IN PROGRESS SINCE APRIL 12, 1976.

THE TWO SECRETARIES ANNOUNCED THAT AS A RESULT OF THEIR DISCUSSIONS IN OCTOBER DURING WHICH THE BASIC LINES WERE WORKED OUT, THEY HAVE REACHED AGREEMENT IN PRINCIPLE ON THE NATURE OF A NEW MILITARY BASE AGREEMENT BETWEEN THE PHILIPPINES AND THE UNITED STATES.

THE UNITED STATES WILL HAVE USE OF MILITARY BASES IN THE PHILIPPINES IN ACCORDANCE WITH THE TERMS OF SUCH AN AGREEMENT. AS PART OF SUCH AN AGREEMENT, THE UNITED STATES WOULD PROVIDE, SUBJECT TO NECESSARY LEGISLATIVE APPROVAL, OVER A PERIOD OF FIVE YEARS, THE SUM OF ONE BILLION DOLLARS IN GRANTS AND CREDITS, THE TOTAL TO BE DIVIDED EQUALLY BETWEEN MILITARY AND ECONOMIC ASSISTANCE.

IT WAS ALSO AGREED THAT THE NEGOTIATING PANELS IN MANILA WILL RESUME THEIR WORK SHORTLY IN ORDER TO RESOLVE THE REMAINING ISSUES IN THE NEGOTIATIONS, AND ARRIVE AT A MUTUALLY AGREED TEXT. THE FINAL AGREEMENT WILL BE SUBJECT TO APPROVAL BY THE TWO GOVERNMENTS IN ACCORDANCE WITH THEIR RESPECTIVE CONSTITUTIONAL PROCESSES.

END TEXT

ROBINSON

  1. Source: Library of Congress, Henry Kissinger Papers, CL 277, Memoranda of Conversations, Chronological File, December 1976. Secret; Immediate; Nodis. Drafted and approved by Habib. At a 9:59 a.m. meeting with Ford and Scowcroft on December 3, Kissinger said, “We will announce agreement in principle with the Philippines Saturday. We offered them $1 billion and they asked for $2 billion. I said okay, deal with Carter. Then I told Romulo he was crazy; Carter would badger them on human rights, etc. He bought our proposals in Mexico City totally.” (Ford Library, National Security Adviser, Memoranda of Conversation, Box 21)↩
  2. The Department reported on Kissinger’s December 1 discussion with Romulo.↩