Foreign Relations of the United States: Diplomatic Papers, 1945, The British Commonwealth, The Far East, Volume VI

811.79640/10–2545: Telegram

The Secretary of State to the Ambassador in the United Kingdom (Winant)

Washington, October 25, 1945—1 p.m.

9417. Your 11008 and 11009 Oct. 20. The Dept relying on statements reported your 9596 Sept 18¹⁷ has gone on assumption that for time being there would be no limitation on frequencies and the carriers have been so informed. Serious embarrassment is therefore caused by our first learning October 22, of Hildred’s letter to you of Oct 6.¹⁸ Dept had assumed operating plans of Panam and Amexport¹⁹ were under discussion between company representatives in London and the appropriate Govt officials. In absence of any word from Emb we had supposed that satisfactory understanding had been reached. Dept will ascertain carriers views on number of frequencies they feel they must have for interim period.

Dept would be reluctant to agree to immediate termination of 1937 agreement which provides Panam with at least two frequencies a week terminable only on two years’ notice and to replace this with a temporary agreement which might however run for a protracted period, providing for some increase in frequencies but in a total amount Dept believes would still be inadequate to take care of traffic requirements. As you are aware this Govt has no authority at this time to fix rates for its international carriers and therefore could not enter into an agreement with the Brit under which rates would be fixed by the Govts.

Byrnes

17. Telegram 9596, September 18, 6 p.m., from London, not printed. The pertinent portion read: “With respect to validity of war-time permits, our feeling is that pending an air transport agreement with the United States, or in the event of a breakdown in the negotiations the British will not raise the question of cancellation or termination. To do so would throw services back to the prewar twice-a-week basis and responsible British officials are beginning to be aware of the unfavorable publicity which would arise in not only the United States but in England as well if stories were printed, based partly on fact, that if an American wished to go to London he would have to stop in Ireland or Amsterdam, or if a British subject wished to go to the United States he must do so by way of Mexico or Canada.” (811.79640/9–1845)
18. File copy of telegram 11008 from London, p. 224, embodying substance of Hildred’s letter, bore the stamp of the Department of State’s Aviation Division with the date October 22. Telegram 9417 to London was drafted by Stokeley Morgan, Chief of the Aviation Division, also on October 22.
19. American Export Airlines, Inc. Approval had been given by the Civil Aeronautics Board on July 5, 1945, for acquisition of American Export Airlines by American Airlines, Inc. Subsequently, the routes operated by American Export were taken over by American Overseas Airlines, Inc., the overseas division of American Airlines System.