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Telecon
Secretary Stans
4/15/70 9: 45 p. m.
K: I just talked to my Japanese friend again and the President
this afternoon. The President wanted me to get from you what you
consider the minimum reasonable position. It should be sensistent
with our commitment but with the utmost flexibility.
S: I think the best place to find flexibility is in the base period.
We could go to 1969 base period; that would give them considerable
increase. We could even allow a step-up in 70. If we start tampering
with the mechanics you lose control.
K: My contact is coming over next week for some other reason.
Sato would like 4 or 5 variations of our plan which would have the
same result. He could put it forward as his idea to his associates.
S: You don't suspect any kind of trap.
K: Well, this is not an official thing. I'd just put it on a plain
piece of paper and just deny it. He says his problem is his associates
know he doesn't know about the problem. When he gets to technicalities
they suspect collusion. This seems plausible to me.
S: Me too. We'll get to work on it.
K: Don Kendall certainly seemed subdues when he left.
S: Yes, I was grateful for your support fox and for Flanigans'.
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