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The United Kingdom Government will make periodic flight checks of tion of the installations in accordance with standard practice.

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The United Kingdom Government, in consultation with the United States and other countries involved, will give consideration to the operation of a range at Heathrow in lieu of a range at Northolt if experience shows this to be desirable. It is understood that only one range in the London area will be operated.

6. This understanding is entered into without prejudice to transfer, operation, maintenance or installation of any additional aids to civilian aviation which the United States may deem to be desirable in the United Kingdom. If you will indicate your acceptance of this understanding, I think that consider it to be effective as of the date of your acceptance. Sincerely,

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The Rt. Honorable LORD WINSTER, J.P.,

Minister of Civil Aviation,

Ariel House, The Strand.

W. A. HARRIMAN

The Minister of Civil Aviation to the American Ambassador
MINISTRY OF CIVIL AVIATION,

MY DEAR AMBASSADOR,

ARIEL HOUSE,

STRAND,

LONDON, W.C.2.
31st July, 1946

I am sorry that my reply has been so long delayed to your letter of 8th May, in regard to the transfer to the United Kingdom Government of certain air navigational and operational facilities which were installed in the United Kingdom by the United States Armed Forces during the war. The subject of the provision or maintenance of such types of navigational aids has recently been under discussion in P.I.C.A.O., particularly at the Regional Conferences which have been held at Dublin and Paris, and I have been anxious that our arrangements should conform to the general agreements that have been reached.

2. For convenience of reference I am attaching copies of the relevant recommendations from the P.I.C.A.O. documents.

3. In general, the position is that the United Kingdom, in common with other countries, have undertaken to retain or install the "P.I.C.A.O. Standard Instrument Landing System" at international airports; and so far as existing radio ranges are concerned, to retain on low power the ranges used for approach purposes at such airports until the latter are equipped with the

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P.I.C.A.O. Instrument Landing System and the aircraft concerned are equipped to use it. Accordingly I suggest that the first paragraph in Section. 5 of your letter should be re-worded on the following lines:

"The U.K. Government will continue operation of the above described installations in accordance with the requirements of international civil aviation until such time as the aerodromes concerned can be equipped with alternative P.I.C.A.O. Instrument Landing Systems as agreed at the P.I.C.A.O. North Atlantic and European and Mediterranean Regional Conferences in Dublin and Paris. The U.K. Government will make periodic flight checks of operation of the installations in accordance with standard practice.”

4. As regards the second paragraph in Section 5, the question of the operation of a range at the London Airport is now under examination in connection with the determination of the system of air traffic control to be operated in the region. If a range at that Airport is found to be desirable, it will be operated in lieu of the range at Northolt. In that event the range at Northolt could be moved and I would suggest that, pending a decision on this matter, the range at Bovingdon should be left in situ. I am asking my technical officers to keep in touch with your Civil Air Attache on this matter.

5. The references in para. 1 (a) and (b) of your letter to the transfer of equipment "to Heathrow" should, of course, be qualified accordingly. 6. Subject to the above, I am very glad to confirm the understanding as set out in your letter.

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Extract of North Atlantic Route Service Conference, Dublin, 1946.

5.2.8. Requirements at Aerodromes designated as terminals or alternates for the North Atlantic:

The Committee has recommended the following: 5.2.8.1. That Approach and Aerodrome Controls be maintained or provided at such aerodromes.

5.2.8.2. That an instrument landing system as suggested by the COM Committee be a requirement at such aerodromes. This system consists of a runway localizer and glide path transmitter, together

with either 2 or 3 fan markers, or one fan marker and either one or two M/F non-directional radio beacons. The ATC Committee consider, however, that the provision and location of the fan markers or non-directional beacons for air traffic control purposes should be the subject of continuing study with the object of obtaining a standard system.

5.2.8.3. That existing M/F radio ranges now available or which may be made available for Approach Control at these Aerodromes should be retained in use until some such system as that described in the preceding paragraph is available, subject to reduction in power and adjustment of frequency where necessary in the European region.

DOC.9.232 GEN. P. 38 (corrected) 24/5/46.

Extract from Report of the P.I.C.A.O. European-Mediterranean Air Navigation Meeting held in Paris between 24th April and 15th May. 3. Radio aids to approach and landing and standardization of methods of approach and landing.

The Conference endorses the recommendations made at the Dublin Conference concerning the adoption as the future international standard of a system equivalent to SCS 51, comprising VHF runway localizer, UHF Glide Path and boundary marker and other marker beacons, with the addition as an optional installation, of one or more low powered L.F./M.F. marker beacons.

In addition the Conference recommends that:

(a) The PICAO standards I.L.S. should be installed as rapidly as possible at all international airports and that the military version of the standard I.L.S. should be retained where it already exists.

(b) S.B.A. (Lorenz) equipment should be installed or retained at airports used by aircraft not fitted with the airborne equipment of the PICAO Standard system.

(c) Ground D/F or radio range equipment used for approach and landing purposes, should be installed or retained at airports used by aircraft not fitted with airborne equipment of either S.B.A. or the PICAO standard system.

(d) V.H.F.D.F. equipment should be installed as soon as possible on the approach lines of international airports.

ECONOMIC FUSION OF AMERICAN AND BRITISH ZONES OF OCCUPATION IN GERMANY

Memorandum of agreement signed at New York December 2, 1946
Entered into force January 1, 1947

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Amended by agreements of December 17, 1947,1 and June 30, 1949 2
Extended by agreements of December 31, 1948;3 March 31, 1949;*
and June 30, 1949 2

Implemented by agreement of June 28, 1950 3
Expired September 30, 1949 €

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61 Stat. 2475; Treaties and Other International Acts Series 1575

MEMORANDUM OF AGREEMENT

Representatives of the two Governments have met at Washington to discuss the questions arising out of the economic fusion of their zones of occupation in Germany. They have taken as the basis of their discussion the fact that the aim of the two Governments is to achieve the economic unity of Germany as a whole, in accordance with the agreement reached at Potsdam on 2nd August, 1945. The arrangements set out hereunder, for the United States and United Kingdom Zones, should be regarded as the first step towards the achievement of the economic unity of Germany as a whole in accordance with that agreement. The two Governments are ready at any time to enter into discussions with either of the other occupying powers with a view to the extension of these arrangements to their zones of occupation.

On this basis, agreement has been reached on the following paragraphs:1. Date of inception. This agreement for the economic fusion of the two zones shall take effect on 1st January, 1947.

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Except for provisions of paragraph 6(e), which were continued in force by exchange of notes of June 28, 1950 (1 UST 540; TIAS 2098).

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2. Pooling of resources. The two zones shall be treated as a single area for all economic purposes. The indigenous resources of the area and all imports into the area, including food, shall be pooled in order to produce a common standard of living.

3. German administrative agencies. The United States and United Kingdom Commanders-in-Chief are responsible for setting up under their joint control the German administrative agencies necessary to the economic unification of the two zones.

4. Agency for foreign trade. Responsibility for foreign trade will rest initially with the Joint Export-Import Agency (United States-United Kingdom) or such other agency as may be established by the two Commanders-inChief. This responsibility shall be transferred to the German administrative agency for foreign trade under joint supervision to the maximum extent permitted by the restrictions existing in foreign countries at any given period. (All references in this agreement to the Joint Export-Import Agency shall apply to this agency or to any agency established by the two Commanders-inChief to succeed it.) 8

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5. Basis of economic planning. The aim of the two Governments is the achievement by the end of 1949 of a self-sustaining economy for the area. 6. Sharing of financial responsibility. Subject to the provision of the necessary appropriations, the Governments of the United States and the United Kingdom will become responsible on an equal basis for costs of approved imports brought into account after 31st December, 1946 (including stocks on hand financed by the respective Governments), insofar as those cannot be paid for from other sources, in accordance with the following provisions:

(a) For this purpose the imports of the area shall be divided into two categories: those imports required to prevent disease and unrest (Category A), which are financed in decreasing amounts by appropriated funds; and those further imports (including raw materials), however financed, which will be required if the economic state of the area is to recover to an extent sufficient to achieve the aim laid down in paragraph 5 of this Agreement (Category B).

(b) It is the intention of the two Governments that the full cost of Category A imports shall be defrayed as soon as possible, subject to subparagraph (c) below, from the proceeds of exports. Any portion of the cost of Category A imports which is not met by export proceeds will be defrayed by the two Governments in equal shares from appropriated funds.

(c) The proceeds of exports from the area shall be collected by the Joint Export-Import Agency and shall be used primarily for the provision of Category B imports until there is a surplus of export proceeds over the cost of these imports.

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* For amendments of paras. 4 and 5, see agreement of Dec. 17, 1947 (TIAS 1689), post, pp. 838 and 839.

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