811.79641/12–2045

The Department of State to the British Embassy

Memorandum

Reference is made to the British Embassy’s memorandum of December 10, 1945 on the subject of North Atlantic air transport services. The Department of State notes the conditions under which the British Government is prepared to permit operations by American air carriers between the United States and the United Kingdom, including the provision that fourteen services per week within a total capacity of 500 seats per week have been made available to the United States Government to apportion among United States carriers. Copies of the Embassy’s memorandum under reference were transmitted to the Civil Aeronautics Board and to American Overseas Airlines and Pan American Airways.

In reply the Department of State desires to inform the Embassy that the Civil Aeronautics Board has apportioned these schedules equally between Pan American Airways and American Overseas Airlines.43

With reference to paragraph 2 of the Embassy’s memorandum, the Department assumes that the Embassy understands that the Civil Aeronautics Board did not actually approve the $375 rate but simply agreed to this rate becoming effective in less than the 30 days statutory period. The Civil Aeronautics Board does not have the authority to approve foreign rates and the action referred to in the Embassy’s memorandum was directed only to the date upon which the rates set by the carriers should become effective.

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With respect to paragraph 8 in which the Embassy assumes that full reciprocal rights will be accorded to British air carriers to operate parallel services, the Department is pleased to inform the Embassy that the British carriers will be awarded reciprocal rights.

  1. The Civil Aeronautics Board had set forth this policy in an order dated December 13, a copy of which was transmitted with a letter of December 20 (not printed), from L. Welch Pogue to Stokeley Morgan.