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Originally Processed With FOIA(s): FOIA Number: 2009-0166-S 2009-0166-S FOIA MARKER This is not a textual record. This is used as an administrative marker by the George Bush Presidential Library Staff. Record Group/Collection: George H.W. Bush Presidential Records Collection/Office of Origin: Office of the President Series: Daily Files Subseries: OA/ID Number: 90571 Folder ID Number: 90571-001 Folder Title: Tuesday, November 27, 1990 Stack: Row: Section: Shelf: Position: V 12 12 4 2 Withdrawal/Redaction Sheet (George Bush Library) Doc. No. / Type Subject/Title Date Restriction Classification 01a. Log White House Telephone Log [President Bush] [redaction of 11/27/90 (b)(6) personal information] (1 pp.) 01b. Log White House Telephone Log [Signal Switchboard] [redaction of 11/27/90 (b)(6) personal information] (1 pp.) 02. Note Handwritten notes of Presidential Phone call with Neil [Bush] (1 11/27/90 C pp.) 03a. Note Handwritten notes of Presidential Phone call with John Major Re: 11/27/90 (b)(1) Schedule (1 pp.) 03b. Talking Points Points to be Made for Call to New British Prime Minister 11/27/90 (b)(1) (Designate) John Major (1 pp.) 04a. Index Cards Points to be Made at the One-On-One Meeting with President n.d. (b)(1) Salinas in Monterrey [Card 1 of 6 only] [double-sided with George Bush handwriting on back] (1 pp.) 04b. Index Cards Points to be Made at the Meeting with Full Delegation in n.d. (b)(1) C Monterrey [Cards 2-8 and 10 of 12 are missing - all others are double-sided with George Bush handwriting on back] (4 pp.) Page 1 of 3 Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Pinksheet Number: dw1895 OA/ID Number: 90571-001 Date Closed: 1/27/2011 FOIA/Sys Case #: 2009-0166-S Re-review Case #: P-2/P-5 Review Case #: Withdrawal/Redaction Sheet (George Bush Library) Doc. No. / Type Subject/Title Date Restriction Classification 04c. Index Cards Points to be Made at the Meeting with President Salinas in n.d. (b)(1) C Agualeguas [4 cards are double-sided with George Bush handwriting] (19 pp.) 05. Letter From Sheldon B. Lubar to Newt Gingrich Re: Budget compromise 11/05/90 (b)(6) [redaction of personal information] (1 pp.) 06. Note From President Bush to Brent [Scowcroft] (1 pp.) 11/27/[90] (b)(1) 07a. Memo From Brent Scowcroft to President Bush (1 pp.) 11/27/90 (b)(1) S 07b. Talking Points Points to be made for Meeting with President of the Freely n.d. (b)(1) S Associated States of Micronesia, John Haglelgam (2 pp.) 07c. Report Government Report (1 pp.) 02/13/90 (b)(1) C 07d. Briefing Paper Informal Visit of Federated States of Micronesia President John n.d. (b)(1) R. Haglelgam (3 pp.) 08a. Memo From Brent Scowcroft Re: Meeting with Vice President Ricardo 11/27/90 (b)(1) S Arias Caderon of Panama (2 pp.) 08b. Talking Points Points to be Made for Meeting with President Calderon (1 pp.) n.d. (b)(1) & 08c. Report Government Report (1 pp.) 03/19/[90] (b)(1) S Page 2 of 3 Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Pinksheet Number: dw1895 OA/ID Number: 90571-001 Date Closed: 1/27/2011 FOIA/Sys Case #: 2009-0166-S Re-review Case #: P-2/P-5 Review Case #: Withdrawal/Redaction Sheet (George Bush Library) Doc. No. / Type Subject/Title Date Restriction Classification 09a. Diagram VC137C-27000 Passenger Seating Arrangement, Andrews AFB 11/26/90 (b)(7)(e) to Monterrey, Mexico (1 pp.) 09b. Diagram VC137C-27000 Passenger Seating Arrangement, Monterrey, 11/27/90 (b)(7)(e) Mexico to Andrews AFB (1 pp.) 09c. Diagram Seating Diagram of VH-3D, South Lawn to Andrews AFB (1 pp.) 11/26/90 (b)(7)(e) 09d. Diagram Seating Diagram of VH-3D, Monterrey, Mexico to Agualeguas, 11/26/90 (b)(7)(e) Mexico (1 pp.) 09e. Diagram Seating Diagram of VH-3D, Agualeguas, Mexico to Monterrey, 11/26/90 (b)(7)(e) Mexico (1 pp.) 09f. Diagram Seating Diagram of VH-3D, Andrews AFB to South Lawn (1 11/27/90 (b)(7)(e) pp.) Page 3 of 3 Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Pinksheet Number: dw1895 OA/ID Number: 90571-001 Date Closed: 1/27/2011 FOIA/Sys Case #: 2009-0166-S Re-review Case #: P-2/P-5 Review Case #: Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 01a. Log White House Telephone Log [President Bush] [redaction of 11/27/90 (b)(6) personal information] (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - 144 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRAJ (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRAJ (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA} C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile THE WHITE HOUSE WASHINGTON TELEPHONE MEMORANDUM PRESIDENT BUSH NOVEMBER 27 th , 19 90 TIME NAME ACTION PLACED DISC OUT AM VIDEO SERVICES SPOKE WITH SGT. JER- WASHINGTON, D.C. OME STOECKER 7:59 PM 7:59 202-456-4125 TLKD-OK XINC OUT AM INC PM OUT AM SECRETARY JAMES A. BAKER III RES: WASHINGTON, D.C. WHITE HOUSE SIGNAL TLKD-OK 8:35 P.M. INC. 8:20 PM 8:40 OUT AM INC PM OUT AM MRS. DOROTHY LEBLOND (b)(6) INCX 8:28 PM 8:30 TLKD-OK OUT AM Bush Presidential Library Photocopy INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM GPO : 1983 0 - 405-650 : QL 2 Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 01b. Log White House Telephone Log [Signal Switchboard] [redaction 11/27/90 (b)(6) of personal information] (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile THE WHITE HOUSE WASHINGTON TELEPHONE MEMORANDUM SIGNAL SWITCHBOARD November 27, 19.90 TIME NAME ACTION PLACED DISC DUT AM Ambassador Henry E. Catto Tlkd with Office, London, England Governor Sununu 12:29 PM 930-4433 12:37 PM INC OUT AM Mr. John R. Major Tlkd-ok 3:22 PM (b)(6) via Secure Satellite NNC 3:07 PM 3:30 OUT AM Mr. Robert W. Blake Tlkd-ok 5:32 PM (b)(6) via Secure Satellite ANC 5:27 PM 5:35 OUT AM INC PM OUT AM INC PM OUT AM Bush Presidential Library Photocopy INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM OUT AM INC PM GPO : 1983 0 - 405-660 : QL 2 PRESIDENTIAL MOVEMENTS Monterrey, Mexico LOCATION Washington, D.C. DATE 27 November 1990 TIME MOVEMENTS 0928 Depart Holiday Inn via Motorcade 0932 Arrive Museum de Nuevo Leon 1048 Depart Museum de Nuevo Leon via Motorcade 1050 Arrive Teatro de la Ciudad 1136 Depart Teatro de la Ciudad via Motorcade 1139 Arrive Casino Monterrey 1219 Depart Casino Monterrey via Motorcade 1222 Arrive Governor's Palace 1409 Depart Governor's Palace via Motorcade 1440 Arrive General Mariano Escobedo International Airport 1506 Depart General Mariano Escobedo International Airport via Air Force One EST 1855 Arrive Andrews Air Force Base, Maryland 1907 Depart Andrews Air Force Base via Marine One 1913 Arrive South Grounds 1918 Residence 1928 Doctor's Office 1932 Residence WHCA FORM 15, OCTOBER 15, 1980 News Summary OFFICE OF THE PRESS SECRETARY THE WHITE HOUSE WASHINGTON TUESDAY, NOVEMBER 27, 1990 5:00 A.M. MEXICO/6:00 A.M. EST EDITION TRIP NEWS BUSH VISITS SALINAS IN MEXICO -- President Bush Monday began a two- day visit to Mexico that will focus on trade, drugs and other issues, pledging to move rapidly to negotiate a free-trade agreement that is a top priority of President Salinas. (Dallas Morning News, Los Angeles Times, Newsday, USA Today, (Washington Post, AP, Reuter) INTERNATIONAL NEWS U.S. GAINS BACKING FOR USE OF FORCE -- The five permanent members of the U.N. Security Council Monday appeared in agreement on a U.S. call to authorize use of military force to end Iraq's occupation of Kuwait, but there was disagreement about whether the draft resolution should set a deadline of Jan. 1 or Jan. 15 for President Saddam to withdraw his forces. (Washington Post) CHINA SAYS TRADE VICE MINISTER HAS BEEN INVITED TO WASHINGTON -- China announced Monday that it had been invited by the U.S. to send a high-level trade official to Washington, signaling an easing of the sanctions against China just as U.S. officials are lobbying for China's vote in the U.N. Security Council to authorize the use of force against Iraq. (Washington Post) NETWORK NEWS (Monday evening) GULF -- The U.N. Security Council appears ready to TRIP NEWS authorize the use of force in A-1 ousting Iraq from Kuwait. INTERNATIONAL NEWS A-5 MEXICO TRIP -- President Bush NATIONAL NEWS met with President Salinas on a A-15 treaty to reduce trade NETWORK NEWS restrictions. B-1 MCA BUYOUT -- The Japanese company Matsushita is paying more than $6 billion for MCA. This Summary is prepared Monday through Friday by the White House News Summary Staff. For complete stories or information, please call 456-2950. White House News Summary Tuesday, November 27, 1990 -- A-1 TRIP NEWS SALINAS HINTS EASING OF U.S. ACCESS TO OIL MONTERREY -- President Salinas Monday for the first time gave President Bush an optimistic reply on the thorny issue of U.S. investment in Mexican oil. A Bush Administration officials said Mr. Salinas changed his centuries-old homestead approach during "casual, rolled-up sleeve" talks at his family's An old-line newspaper here, Porvenil, greeted Mr. Bush Monday with a commentary calling for an end to anti-dumping laws that prohibit selling for less than cost. Mexico has run afoul of them on cement, glass, steel and textiles. "For us, it is not dumping, wrote the author, Jose Roberto Mendirichaga. "We're talking about free commerce and the United States is putting embargos on Mexican tuna and cement." If the oil report proves accurate, the Mexican president virtually contradicted his own recent statements in seeking a way to stimulate production of oil without violating Mexico's constitution. "One of the things Mexico is doing is talking about turn-key operations for offshore drilling," said the U.S. official who spoke on condition of anonymity. "He's been moving toward some kind of privatization, said the delicate talks. official, who declined to discuss details for fear of upsetting the (Frank Murray, Washington Times, A3) BUSH VISITS SALINAS IN MEXICO MONTERREY, Mexico -- President Bush Monday began a two-day visit to Mexico that will focus on trade, drugs and other issues, pledging to move rapidly to negotiate a free-trade agreement that is a top priority of President Salinas. Arriving in this northern Mexican industrial city at midday, Bush immediately flew by helicopter to Agualeguas, a town of about 5,000 people 30 miles from the Texas border, where Salinas's family home is located. He and First Lady Barbara Bush attended a rodeo with Salinas and his wife Cecilia, watched folk dancing in the town plaza, and walked to Salinas's house for lunch and talks. The two talked mostly about their joint desire for a free- trade agreement, as well as about efforts to cooperate in the war on drugs, Press Secretary Fitzwater said in a statement. They also agreed to press for a cease-fire and a negotiated settlement to the 11-year-old civil war in El Salvador, which last week saw new attacks by leftist rebels. Bush returned to Monterrey Monday evening for a festive reception and fireworks display at the Heroes' Plaza in front of the Governor's Palace, where he hailed improved relations. "I believe that U.S. -Mexican relations have never been better, Bush said. Calling the relationship of "vital importance" to the U.S., he friends added, "We will never neglect it. We are neighbors and we are "Our overall purpose can be expressed simply," Bush said in an interview with the Mexican news agency Notimex last week. people. " "We want to increase the economic well being of both our Salinas are not expected to discuss oil as part of their trade U.S. Trade Representative Hills said Monday Bush and talks, although Mexico's oil industry will likely be part of the eventual trade negotiations. (Dan Balz, Washington Post, A14) "more- White House News Summary Tuesday, November 27, 1990 -- A-2 BUSH, SALINAS TRY TO PUT TRADE PACT ON FAST TRACK MONTERREY -- President Bush and President Salinas on Monday opened two days of meetings intended to put approaching negotiations for a free-trade agreement on a fast track and to lay the groundwork to head off potential opposition from special interest groups. Recognizing the possible roadblocks facing an agreement, Salinas said in an interview with the Monterrey newspaper El Norte that he is concerned "with some protectionist attitudes that are arising in the United States," which, he said, could grow worse if the U.S. economy weakens in a recession White House officials made clear that in the view of the Bush Administration, the journey is little more than a courtesy call demonstrating leader." support for what they are calling "a new-generation By turning the spotlight on trade, the visit reflects a recent shift --perhaps on the surface, perhaps deeper -- in the political dialogue between the U.S. and Mexico. Previous presidential meetings, which occur as often as every six months, have focused more on such sore points as unchecked Mexican immigration to the U.S. and the flow of drugs northward across the border. (James Gerstenzang and Marjorie Miller, Los Angeles Times, A1) MEXICANS RECEIVE BUSH FOR SUMMIT WITH ENTHUSIASM, FESTIVITIES MONTERREY -- Speaking to thousands of cheering Mexicans, President Bush said Monday night a free-trade agreement between the U.S. and Mexico was crucial to the economic welfare of both countries. "It is vital for the creation of jobs and enterprise," Bush said in a brief speech that capped the first day of a two-day summit with President Salinas. Bush praised Salinas as "the architect of a breathtaking transformation" of Mexico's economy. He called Salinas "a great world leader" who has raised Mexico's standing. He closed his talk with the traditional exhortation "Viva Mexico." Salinas, who spoke before Bush, said the two countries now found themselves on friendly terms after years of being "distrustful neighbors. "We invited you to Mexico, knowing that you value our home, where you are held in high regard," Salinas said. "With us is a president of the United States who respects Mexico. That is the reason for this enormous and enthusiastic reception." He praised Bush for being sensitive and knowledgeable about Mexican culture Bush did not speak publicly in Agualeguas before retiring to Salinas' home for private discussions. But this was only a small disappointment to the thousands who crammed the main plaza. "He didn't come to make any declarations," said Victor Villarreal, 70. "But for me, it's an honor, a satisfaction because he was here. That's the most important thing. It's history." (Maggie Rivas and Gregory Katz, Dallas Morning News) White House News Summary Tuesday, November 27, 1990 -- A-3 BUSH HAILS CLOSE PARTNERSHIP BETWEEN U.S., MEXICO MONTERREY -- President Bush, buoyed by a cheering throng and a fireworks welcome, says Mexico and the U.S. are embarking on "an era more cooperative and more prosperous" than ever before. "I've come to Mexico tonight with a message of respect, of admiration and hope for a brighter future shared by our two countries," Bush told tens of thousands packed into Heroes' Plaza outside the Governor's Palace Monday evening. "Viva Mexico," Bush shouted before he and his wife viewed an plaza elaborate fireworks demonstration from a glassed-in stage on the Following his one-on-one talks Monday with President Salinas, Bush Tuesday was addressing a group of business leaders and holding economic issues. talks with Cabinet advisers on environmental, anti-drug and Bush heralded the goal of reaching a free trade agreement with Mexico even as Salinas sounded a cautionary note, citing Mexican worries about what they see as U.S. protectionist sentiments. (Rita Beamish, AP) U.S., MEXICAN LEADERS STRESS COMMITMENT TO STRONG TIES MONTERREY -- President Bush and President Salinas proclaimed a new era of U.S. -Mexican cooperation Monday as they began a two- day summit designed to spur negotiations on a free-trade pact. "Let me tell you as President of the United States -- this relationship is of vital importance to my country. We will never neglect it!" Bush told tens of thousands at a tumultuous welcoming ceremony in a center-city plaza. "We want to work together toward the free and open trade so he said. vital to creating jobs and enterprise in your economy and our own;" Salinas, calling Bush a man who respected Mexico, told the cheering crowd: "Geography has forced us to be neighbors and history has shaped us into distrustful neighbors. May our will and progress." vision of the future now turn us into neighbors in respect and While Bush was being feted with music and fireworks in northern Mexico, thousands of anti-American demonstrators marched on the U.S. Embassy in Mexico City, chanting "Bush, Go Home" and protesting a proposed North American free trade agreement. Scores of riot police lined the fortress-like embassy building while some 5,000 leftist demonstrators snarled rush-hour traffic on the avenue outside, railing against Bush's two-day visit and the "traitorous" welcome given him by Salinas Saying that the U.S. and Mexico were at "a promising moment in our shared history, the U.S. leader declared: "I believe that our two peoples are now on the eve of an era more cooperative and more prosperous than ever we have known before." (Gene Gibbons, Reuter) -erom- White House News Summary Tuesday, November 27, 1990 -- A-4 MEXICO TRIP AGUALEGUAS, Mexico -- President Bush Monday traveled to the northern Mexico home of his counterpart, Carlos Salinas de Gortari, mingling rodeos and folklore presentations with talks on a proposed free-trade agreement between the countries. With little more than a day's rest after his visit to Europe and the Middle East, Bush hopped off Air Force One into the Mexican industrial city of Monterrey. Shedding his jacket and tie, he traveled to this town of 12, 000, Salinas' ancestral home, 65 miles southwest of McAllen, Texas. First he was treated to a festive rodeo; then there was a folkloric dance in the town plaza. Later, the presidents and their official parties walked down a narrow colonial street to the humble house where Salinas grew up. Bush and Salinas held a luncheon that officials said was intended to be a working session on the economy Bush called his visit with Salinas "a promising moment in our shared history" and praised him as "the architect of a breathtaking economic transformation.' Salinas praised Bush with the American president's own words, calling him "a kinder, gentler neighbor sensitive to our traditions and knowledgeable about the culture of Mexicans and of those Mexican-Americans who live beyond the border.' (Peter Eisner, Newsday) 'NEW ERA' FOR USA, MEXICO MONTERREY -- President Bush affirmed Monday his commitment to warmer relations between the U.S. and Mexico. At meetings with President Salinas, Bush underscored his support for a free-trade agreement between the two countries. He also vowed cooperation in halting the flow of drugs from South America, through Mexico and into the USA Salinas, welcoming Bush, said the meetings symbolized a "new era" stemming from changed attitudes. "Geography has forced us to be neighbors, and history has shaped us into distrustful neighbors," he said. "May our will and vision of the future now turn us into neighbors in respect and progress." Bush noted that he'd visited Mexico "more often than any other country" and said he had "developed especially deep ties and respect for its people." (Richard Benedetto, USA Today, 4A) MEXICO LAUNCHES RAIDS TO CRACK DOWN ON RISING PRICES MEXICO CITY -- Mexican authorities Monday launched raids across the capital to crack down on a recent wave of price increases that has stymied the government's efforts to control inflation and sparked outrage among consumers. An army of some 200 clipboard-carrying price inspectors -- soon to be bolstered by 300 housewives -- swooped down on several of the capital's largest markets and closed down businesses that were overcharging for essential foods, consumer protection chief Javier Coello Trejo told reporters. He said that over the weekend some 600 businesses were shut down nationwide as part of the crackdown on price violators. (Reuter) ### White House News Summary Tuesday, November 27, 1990 -- A-5 INTERNATIONAL NEWS U.S. GAINS BACKING FOR USE OF FORCE Security Council Members Discuss Kuwait Resolution With Possible January Deadline U.N. -- The five permanent members of the U.N. Security Council Monday appeared in agreement on a U.S. call to authorize use of military force to end Iraq's occupation of Kuwait, but there was disagreement about whether the draft resolution should set a deadline forces. of Jan. 1 or Jan. 15 for President Saddam to withdraw his Such a resolution, if passed, would not mean that allied forces would attack Iraq immediately as the deadline for withdrawal is passed. Rather, it would allow for the use of "all necessary means, implying the use of force, to end Iraq's occupation of Kuwait anytime thereafter. The Bush Administration proposed Jan. 1 as the deadline. But the Soviet Union countered with Jan. 15, and diplomatic sources here said Monday night that the later date seemed more likely to be chosen U.S. officials said their primary goal is to get a U.N. stamp of approval for military operations against Iraq, if that approach appears unavoidable, and they are prepared to be flexible about the question of a deadline. As of Monday night, the feeling among diplomats here was that the Security Council either will abandon the idea of a deadline or set one later than Jan. 1. (John Goshko, Washington Post, A1) SOVIET WARNS OF 'TOUGH RESOLUTION' AT U.N. UNLESS IRAQ MEETS DEMANDS MOSCOW -- President Gorbachev warned Monday that if Iraq does not withdraw from Kuwait and release all foreign hostages, it would face the consequences of a "tough resolutions" in the U.N. Tass said Gorbachev told Iraqi Foreign Minister Tariq Aziz that Baghdad had to begin taking concrete steps to show that it wanted to avoid war in the Persian Gulf. Gorbachev told Aziz, Tass said, that "if Iraq really wants a settlement in the entire region and is trying to avoid the worst, it must now openly declare and show in its actions that it is leaving Kuwait, freeing hostages and in general is not preventing anyone from leaving Kuwait. Otherwise the U.N. resolution will be adopted -- a tough resolution. Gorbachev and Foreign Minister Shevardnadze have signaled that they have grown so frustrated with Iraq that they are prepared to vote for the resolution [to use "all hesitation. means necessary" to oust Iraq from Kuwait] despite earlier In a session of the Supreme Soviet Monday, Gorbachev told the legislators that the Soviet Union must continue to cooperate with the rest of the world to show President Saddam "that there is no hope that he can break international unity. We should prove to ourselves and to all nations that we can solve the most acute conflicts by political means characteristic of this new ear." (David Remnick, Washington Post, A16) -more- White House News Summary Tuesday, November 27, 1990 -- A-6 GORBACHEV NEARS FORCE ENDORSEMENT, BUT SOVIET TROOPS UNLIKELY MOSCOW -- President Gorbachev may be moving toward endorsing the use of force against iraq but seems unlikely to commit Soviet troops to fight in the Persian Gulf. Gorbachev told Iraqi Foreign Minister Aziz in the Kremlin Monday that Iraq must withdraw from Kuwait or face the consequences. His angry comments, reported by Soviet television, showed his patience with Iraq was almost at an end Gorbachev says he does not rule out force if sanctions fail. But he could face strong opposition to any Soviet armed action from within his country. "This is not a war for the Soviet Union," said Yuri Blokhin, a leading member of the biggest faction in the Soviet parliament, the right-wing Soyuz (Union) group. "We have just emerged form a war in Afghanistan and we will not allow ourselves to be drawn into a senseless conflict again." Foreign Minister Shevardnadze has said no troops would be sent to a foreign war without parliament's backing "I don't think any proposal to back force, still less to send troops, would get through parliament," Blokhin said. (Ralph Boulton, Reuter) IRAQ VOWS NEVER TO BOW TO PRESSURE, BLASTS SECURITY COUNCIL BAGHDAD -- Iraq denounced broad agreement by members of the U.N. Security Council resolution to authorize the use of force to dislodge it from Kuwait and declared it would never bow to pressure. The official Iraqi News Agency INA quoted Foreign Minister Aziz as saying: "Iraq, which believes in peace and justice, will never succumb to pressure and will continue to struggle to achieve peace and justice in the region, especially the rights of the Arab Palestinian people." Aziz made the remarks on his return from Moscow Monday night after President Gorbachev told him that Iraq must pull out from Kuwait or face the consequences Aziz said: "The successive resolutions issued by the Security Council, including the one which the Americans are busy working on to issue this week, confirm the double standard methods and injustices practiced by the council under the influence of the United States." He added: "These resolutions don't serve the cause of peace." (Reuter) -more- White House News Summary Tuesday, November 27, 1990 -- A-7 BRITISH MILITARY LEADERS PRAISE DEADLINE FOR SADDAM RIYADH -- The overall British commander of gulf forces said Monday an ultimatum warning Saddam Hussein that war could begin after a given deadline "might help focus his attention. " Such an ultimatum might be necessary because diplomatic efforts so far have brought "no pressure on (Saddam) at all," said the British officer, Air Chief, Marshal Sir Patrick Hine. If the Iraqi leader became convinced that war was inevitable, withdrawal from Kuwait, he said. "we might see some movement," such as a full or partial Iraqi While high-level U.S. commanders in the gulf have shied away from predictions in recent weeks, Marshal Hine, who is stationed in England, and Lt. Gen. Sir Peter de la Billiere, the top on- scene British commander in the gulf, forecast a quick, decisive victory over Iraq if war erupts. They said detailed plans must be made now and more ground forces sent in so that a swift and decisive war could be waged once the politicians gave the go-ahead. (Michael Hedges, Washington Times, A8) GIVE EMBARGO TIME TO WORK, BUSH IS URGED Three former high-ranking American diplomats Monday urged President Bush to show patience in the Persian Gulf crisis and give to a military solution. the economic embargo of Iraq much more time to work before moving Using force soon could inflict lasting damage on U.S. strategic interests in the region, warned Richard Murphy, an assistant secretary of state in the Reagan Administration, and George Ball, undersecretary of state in the Kennedy Administration. "We can outlast him, said Paul Nitze, retired arms control adviser, referring to Saddam. The statements were made at a Capitol Hill forum sponsored by the Federation of American Scientists on the eve of separate Senate and House hearings on Bush's recent decision to double the number of U.S. troops in the gulf region However, another participant in the forum, former Marine Lt. Gen. Bernard Trainor, said it appears to him that the President has decided to take the military option. "I don't believe he (Bush) is bluffing. I think he's going straight at Saddam Hussein I believe he's written off the embargo "I wish that somebody in the U.S. government was giving one- tenth of 1 percent of the time in writing the political scenario that they have in giving him the military options,' said Harold Ford and Carter Saunders, an assistant secretary of state under both presidents "The reason the President has enjoyed high popularity ratings was because he was talking about defense and deterrence," Ball said. "If we actually do get into a war, they (Bush's poll ratings) would go to hell in a hurry." (William Eaton, Los Angeles Times) -erom- White House News Summary Tuesday, November 27, 1990 -- A-8 ULTIMATUM CUTS BOTH WAYS FOR U.S. The Bush Administration, by calling on the U.N. to send an ultimatum to Iraq, increases the pressure on Saddam but also reduces U.S. ability to maneuver in the increasingly complex Persian Gulf crisis. From the U.S. standpoint, the ultimatum may get Saddam's attention in a way that 10 pervious U.N. resolutions have failed to do. However, the strategy also gives Iraq assurances that it will not be attacked until the deadline is reached, robs the anti-Iraq coalition of strategic surprise and increases the pressure on Washington and its allies to take action shortly after the deadline passes. For weeks, Secretary Baker tried to discourage talk about a specific deadline because he was convinced that it would limit American flexibility. However, according to a well-informed Saudi support official, the U.S. agreed to include a deadline to win Soviet "It's a terrible idea, said Judith Kipper, a guest scholar at the Brookings Institution in Washington. "This is a person (Saddam) who is paranoid. He is not familiar with the ways of the world. There is a date and he will take that as a declaration of war. Any date puts his back up against the wall." William Quandt, a former National Security Council Middle East expert, said that by setting a firm deadline, the Administration virtually rules out the option of giving economic sanctions time to work I really do believe it will take something like an ultimatum with a deadline to persuade Saddam to back down, he said. "But I don't think the President can go down that road with just an international resolution as his basis for support. He also needs domestic support and I'm not sure he's got that now." (Norman Kempster, news analysis, Los Angeles Times, A7) ARIAS SAYS GULF WAR DISASTROUS FOR THIRD WORLD MANAGUA -- A Persian Gulf war would bring unimaginable consequences for the poorest countries of Latin American and Africa, Nobel peace prize laureate and former Costa Rican president Arias said Monday. "As always, the poorest will pay the biggest price for this war, " Arias told reporters upon arrival in Managua where Tuesday he commission. will be named honorary member of a government disarmament He said the world's poorest countries now struggling for economic survival would be further burdened, not only by expected higher oil prices, but also a new arms race which he said would result from a war in the gulf. "What would the consequences be for those countries?" Arias asked. "They are unimaginable. We would be condemning them to much more poverty." He said the countries involved should have patience and put more energy into diplomatic solutions. (Reuter) -erom- White House News Summary Tuesday, November 27, 1990 -- A-9 JUSTICE STRONGLY OPPOSES LAWSUIT TO BAR BUSH FROM GOING TO WAR The Justice Department Monday night opposed a lawsuit by 45 House Democrats seeking to force President Bush to get approval from Congress before going to war against Iraq. The department, in a 50-page legal brief filed at the U.S. courthouse just hours before the deadline, urged a judge to reject the request for a court order that would bar Bush from attacking Iraq without congressional approval Department lawyers argued in a brief that the lawmakers lacked legal standing to sue, partly because they were not representative of the entire Congress. They also said the case was brought prematurely, pointing out that there is no certainty that the U.S. would attack Iraq. The department lawyers also said the dispute was a political one between the executive and legislative branches of government, a dispute that falls outside the jurisdiction of the courts and that judges are ill-equipped to decide. (James Vicini, Reuter) CAN U.S. RELY ON GULF ALLIES? NORTHEASTERN SAUDI ARABIA -- Military experts with the multinational force in Saudi Arabia hope for a quick victory if war breaks out but have serious doubts about their Arab allies in a long conflict Few American generals are eager to take the political and military risk of trying to take Baghdad or of occupying the whole if Iraq, especially since Saudi Arabia and Egypt, the two most important Arab countries in the alliance, oppose any military campaign into the Iraqi heartland. Western military analysts regard the Saudi army and national guard as a. dire liability, should war break out. The division of Saudi troops close to the Kuwaiti border is known mockingly as "the doormat. " "Either we walk over them or the Iraqis walk over them" en route to the real battle, said one Western military expert. Desert wars, runs the conventional wisdom, are fast and furious. If no speedy result is achieved, the alliance could be in deep trouble In the Saudi military itself, "nepotism and tribalism are rife -- they destroy the entire army, said one expert. (Xan Smiley, Washington Times, A1) -erom- White House News Summary Tuesday, November 27, 1990 -- A-10 CHINA SAYS TRADE VICE MINISTER HAS BEEN INVITED TO WASHINGTON Announcement Made As U.S. Officials Lobby For U.N. Gulf Resolution China announced Monday that it had been invited by the U.S. to send a high-level trade official to Washington, signaling an easing of the sanctions against China just as U.S. officials are lobbying for China's vote in the U.N. Security Council to authorize the use of force against Iraq. In an announcement in Beijing, China said its vice minister for trade, Gu Yongjiang, had been invited to meet with Commerce Undersecretary for International Trade Michael Farren to discuss economic issues from Dec. 10-14. Gu would be one of the most senior Chinese government officials to come to the U.S. since President Bush ordered an end to high-level exchanges with China following the 1989 crackdown on pro-democracy demonstrators Although Chinese officials have not said how China intends to vote [on the latest gulf resolution], they have suggested that it would not veto a resolution [to use "all means necessary" to oust Iraq from Kuwait] Separately, a U.S. Embassy spokesman in Beijing, Sheridan Bell, said China had notified the U.S. that it would send Foreign Minister Qian Qichen to the U.N. to cast China's vote, AP reported. (David Hoffman, Washington Post, A16) AMERICAN HOSTAGE FREED FROM IRAQ AFTER SISTER, BROTHERS VISIT SADDAM With harsh words for President Bush and warm praise for his captor, President Saddam, John Stevenson said Monday in Baghdad that he was "pleased and moved" that his brothers and twin sister, Mary Trundy of Brockton, Mass., came to Iraq and secured his release. "We've had a real big day,' said an elated Stevenson, recounting the whirlwind chain of events that began with an early morning audience before Saddam Hussein with Trundy and who of his brothers from Florida, and ended with negotiations for Stevenson's exit visa. Saddam, who smiled for Iraqi television during the audience, said he would release the three hostages whose family members journeyed to Baghdad for Thanksgiving. Iraqi television, however, showed only Stevenson and Fred Harrington, 59, of Bellevue, Wash., whose son, Vala Fouroohi, has been seeking his release In a 20-minute telephone interview that ranged in mood from cautious to ecstatic, Stevenson described the American government as "war-mongering" and emphasized that Iraq was open to peaceful negotiation He noted that the Iraqi leader told the three prisoners and their families Monday: "We hope you will take to American people our love and wish for peace." As for the Bush Administration, Stevenson said: "We never got a kind word. We never got anything but war, war, war." (Elizabeth Neuffer and Peter Canellos, Boston Globe) -more- White House News Summary Tuesday, November 27, 1990 -- A-11 OIL PRICES SHOULD NOT CLIMB STEEPLY IN EVENT OF WAR, ENERGY CHIEF SAYS Worldwide supplies of oil have recovered to the point where not even an outbreak of hostilities in the Persian Gulf would justify another sharp increase in price, Secretary Watkins said Monday. Watkins, who is going to Saudi Arabia at the end of the week to discuss the oil supply situation, told a group of reporters he and other Administration officials will be "jawboning" traders in an effort to break what he called "the self-fulfilling prophecy" that war in the desert will send energy prices through the roof. Noting that other nations have replaced the 4.3 million barrels a day of oil that used to be shipped from Iraq and Kuwait, Watkins said it is projected that by March 1, one million barrels a day more will be available to world markets than when Iraq invaded Kuwait Aug. 2. (David Broder and Thomas Lippman, Washington Post, A16) SOVIETS TO CUT AID OVERSEAS, DEFENSE MOSCOW -- The Kremlin said Monday it wants to slash foreign aid by 75 percent and defense spending by 10 percent in next year's budget, which for the first time makes a distinction between national and republic revenues. Communist countries including Cuba, Vietnam, Ethiopia, North Korea and Angola likely would be hard hit by the cutback. "We have a crisis in the management system, instability is besetting the economy in all republics and the country as a whole," First Deputy Premier Yuri Maslyukov told the Supreme Soviet legislature, according to Tass. (Thomas Ginsberg, Washington Times, A7) MAZOWIECKI STEPS DOWN AS PREMIER WARSAW -- Prime Minister Mazowiecki, forced by a political unknown into a humiliating third place in the initial round of Poland's first popular presidential election, announced the resignation government. Monday night of his 15-month-old Solidarity-led "Society has made a choice, and I have drawn a conclusion from it," Mazowiecki said, adding that he and his ministers would remain in office until the new president -- to be chosen in a runoff vote in two weeks -- could appoint a successor. "We accomplished a great deal over the past year, " Mazowiecki said, "the election results showed, however, that the government's political line had come into question." (Blaine Harden, Washington Post, A1) -more- White House News Summary Tuesday, November 27, 1990 -- A-12 THATCHER BACKS MAJOR IN CONTEST TO BECOME NEXT PRIME MINISTER LONDON -- As the three men contending to succeed Margaret Thatcher wound up another round Monday in their battle for 10 Downing Street, much of Britain's attention remained focused on the prime minister it is about to lose, not the one it will soon get. John Major's chances got another boost as Thatcher's aides made it known she would be voting for her chancellor of the exchequer and former protege Tuesday when Conservative Party legislators try again to choose her successor. Major's aggressive campaign has produced a bandwagon effect that seems to have brought him even with Michael Heseltine Foreign Secretary Hurd is believed to be running third, and some insiders say his campaign is fading. (Glenn Frankel, Washington Post, A14) MATSUSHITA TO ACQUIRE MCA FOR $7.5 BILLION Another piece of the American entertainment business passed to foreign ownership Monday as Matsushita Electric Industrial Co. of Japan reached agreement on a $7.5 billion buyout of MCA Inc., the producer of movies, records and books and the owner of two huge theme parks. Matsushita, a consumer-electronics concern that ranks as Japan's third-largest company, wrapped up details of its friendly takeover of the Los Angeles-based company early Monday after an all-day bargaining session in New York. By paying $6.13 billion in cash, plus pledging stock and assuming debt valued at another $1.45 billion, Matsushita's buyout of MCA ranks as the largest ever by a Japanese concern of an American company, surpassing the $4.8 billion Sony Corp. paid last year to purchase another Hollywood studio, Columbia Pictures Entertainment Inc. (Paul Farhi, Washington Post, A1) SENATOR SAYS U.S. FLUBBED TRADE TALKS The Bush Administration has failed to press hard enough in [GATT] talks to draft new global trading rules, a key senator complained Monday. Sen. Baucus told reporters that Administration negotiators could be "a little more fervent, active and aggressive" in the current round of trade talks. "That's partly because of their attention on the Persian Gulf," said Mr. Baucus Mr. Baucus told reporters that Congress has no intention of extending fast-track authority to give the GATT talks additional time, a message he intends to take to Brussels himself next week [for the final GATT meetings]. (Karen Riley, Washington Times, C3) -erom- White House News Summary Tuesday, November 27, 1990 -- A-13 COLOMBIAN REBELS KIDNAP 3 AMERICAN OIL WORKERS BOGOTA -- Hard-line Marxist guerrillas have kidnapped one Colombian and three American petroleum engineers, the state oil company said Monday. A spokesman for Ecopetrol, the Colombian state oil company, said five engineers -- two Colombians and three Americans -- were seized by three heavily armed guerrillas from the National Liberation Army Sunday from a norther oil field near Venezuela. One of the Colombians was freed Sunday night and provided the information. No conditions for their release were made public. The spokesman said the Americans worked for National Tank Co. of Tulsa, Okla., under contract to steam-clean oil tanks. (Douglas Farah, Washington Post, A14) SPYING HEATS UP AS COLD WAR THAWS The Cold War may have finally ended, but the vast network of spies that decades of East-West tensions produced is still not out of work. FBI intelligence chief Douglas Gow, in an interview Monday, says the KGB is now shifting its focus from military espionage to U.S. economic and scientific secrets. And, he says, as a result of communism's fall in Eastern have aided spy rings. Europe, "we do have some" investigations of U.S. citizens who may The breakup of communist-controlled spy agencies -- particularly East Germany's Stasi -- is a "very serious blow to the KGB," says Stanislaw Levchenko, ex-KGB major and author of "On the Wrong Side." (Sam Meddis, USA Today, 1A) SINGAPORE'S PRIME MINISTER RESIGNS SINGAPORE -- After 31 years in office, Prime Minister Lee Kuan Yew Monday submitted his resignation in favor of a hand-picked successor in a move he has described as a "changing of the guard" to allow a younger generation of leaders to take over. Lee, whose tenure makes him the world's longest-serving prime minister, formally announced his resignation, effective Wednesday, in a letter to Singapore's ceremonial president, Wee Kim Wee Lee, who assumed the premiership of this former British colony in 1959 and led Singapore to full independence in 1965, has been perceived as grooming his son, Lee Hsien Loong, to eventually take over his post. A retired brigadier general, the 37-year-old Lee Hsien Loong currently serves as trade and industry minister in his father's government. (William Branigin, Washington Post, A14) -more- White House News Summary Tuesday, November 27, 1990 -- A-14 EFFORTS GROW IN ISRAEL TO BAR PALESTINIAN WORKERS JERUSALEM -- Labor inspectors have been raiding businesses throughout Israel this month, detaining thousands of illegal Palestinian workers and fining their employers $250 for each of them. Officials say the raids are meant to send a message: the employment in Israel of an estimated 70,000 unlicensed Palestinians from the occupied territories, tolerated and even encouraged by the government for many years, must end. In Jerusalem, an unofficial but more brutal kind of enforcement is being practiced. Monday, police arrested at least three Jews who were supporters of anti-Arab Rabbi Meir Kahane, who was assassinated in New York last month, on suspicion of involvement in a campaign by self-appointed vigilantes who have been demanding that employers fire all their non-Jewish workers. (Jackson Diehl, Washington Post, A1) BULGARIANS STAGE FIRST PROTEST STRIKE SOFIA -- Workers demanding the resignation of the fragile socialist government took part Monday in a general strike in most Bulgarian cities that was patchy in effect but marked the first such protest in the country's history. (Marc Champion, Washington Post, A14) COMMUNICATOR' AWARD TO SOVIET SPOKESMAN Gennadi Gerasimov, who has lauded Stalinism and glasnost alike, is a great communicator. That is, according to the National Association of Government Communicators. It has chosen the former Soviet Foreign Ministry spokesman as its "Communicator of the Year." Mr. Gerasimov, 60, "gives credible and eloquent voice to Soviet foreign policy changes which have had a profound effect on the world, NAGC President Lewis Brodsky said in a statement announcing his group's choice. "His forthright, honest statements, which helped explain the programs of Gorbachev and Shevardnadze to Western audiences, have captured the respect and attention of a thankful world population," Mr. Brodsky said. (Carleton Bryant, Washington Times, A4) White House News Summary Tuesday, November 27, 1990 -- A-15 NATIONAL NEWS CAVAZOS URGES COLLEGES TO CLARIFY MISSION, CUT COSTS TO HOLD DOWN TUITION Secretary Cavazos Monday urged every college in the nation to clarify its educational mission and cut administrative costs in order to hold down tuition charges, which rose faster than inflation in the last decade. Despite those increases, Cavazos said, a college education remains affordable to qualified students, and cost-cutting on campus could keep it that way in the 1990s. He cited a College Board finding that almost half of all college students pay less than $2,000 a year in tuition and fees. The secretary criticized news media for focusing on tuition charges at the most expensive schools while 80 percent of students attended two-year of four-year public colleges where tuition colleges. averages $1,800. The average is $9,400 at private four-year "We need to be sure that future increases do not make college unattainable,' Cavazos told reporters. "Colleges and universities need not -- and must not -- try to do everything. Instead, each institution must determine its mission and make the necessary tradeoffs." Cavazos said he would even suggest that colleges eliminate entire academic departments if they are tangential to a school's central institutions. mission and the courses are available at nearby (Kenneth Cooper, Washington Post, A9) ANOTHER REPUBLICAN FIGHT ERUPTS Another knife was unsheathed Monday in the bloody post- elections war Republicans are fighting among themselves. Rep. Carl Pursell of Michigan, billing himself as an anti- tax conservative, announced he will challenge Rep. Jerry Lewis of California for the chairmanship of the House Republican Conference next week. The Pursell-Lewis fight is not expected to get quite as nasty -- or as potentially destructive for the Republican party itself - - as the ones that have been raging for chairmanship of the NRCC and for ideological control of the party. (Ralph Hallow, Washington Times, A3) -end of A-section- White House News Summary Tuesday, November 27, 1990 -- B-1 NETWORK NEWS SUMMARY (Monday evening, November 26) GULF ABC's PETER JENNINGS: We begin Monday night with an 11th and probably the most important U.N. resolution on the Iraqi occupation of Kuwait, one that could actually lead to fighting. Just hours after Saddam Hussein's troops crossed into Kuwait, the Security Council demanded they pull-out -- they did not. Three weeks later, the U.N. authorized an economic embargo; it is yet to be effective. Now, 16 weeks after the invasion and after furious lobbying by the Bush administration, the Security Council appears ready to authorize the use of military force to back up its demands. ABC's JOHN MCWETHY reports that when asked if he had the votes to pass a U.N. resolution authorizing use of force, the President seemed confident. (TV coverage: President giving thumbs-up on while walking to Marine One.) Behind closed doors Monday afternoon in New York, the U.S. formally circulated a draft of what it wants the Security Council to pass. The U.S. proposal would set a January 1 deadline for Iraq to pull out of Kuwait. After that deadline passes, the resolution would automatically authorize countries to "use all necessary means to force Iraqi troops to leave." A January 1 deadline, U.S. officials concede, is just an opening position and could well slip to January 15 or February 1 by the time the resolution is voted on later this week. (DOUGLAS HURD, British Foreign Secretary: "January 1, if that's the deadline agreed, wouldn't be a date on which military action started. It would be the date after which member states would, have authority to use force if need be.") In Moscow Monday, Iraqi Foreign Minister Tareq Aziz got more bad news: a first public warning from President Gorbachev that the Soviet Union will vote for the toughest U.N. measure yet if Iraqi troops don't get out of Kuwait immediately. Though U.S. officials believe they have the votes to pass this resolution in the U.N., in order to make a stronger statement to Saddam Secretary Baker wants the vote to be overwhelming. U.S. officials believe the British and maybe the French will participate in initial fighting if it is necessary. If the fighting doesn't go into Kuwait, they believe both the Egyptians and Syrians will participate as well. While there will be a deadline, it does not mean war will begin the day after this thing is actually passed. JENNINGS reports Saddam said hospital patients are dying for lack of food and medicine due to the embargo. ABC's DENNIS TROUTE reports from Baghdad three American hostages were told they were free after their relatives had traveled to Iraq. Saddam met with the hostages and their families and used the moment to claim the embargo is killing hospital patients. (SADDAM HUSSEIN: "If we were to go to hospitals and ask them to provide us with lists, then we would discover the numbers are tragically high.") -more- White House News Summary Tuesday, November 27, 1990 -- B-2 TROUTE continues: The Iraqi leader offered no proof of his charge and diplomats doubt that it's true. Analysts say he's trying to divide the West both by sowing a sense of guilt and by releasing hostages to relatives who visit Baghdad. Iraq wants more Americans traveling here to lessen the chance of a military invasion by the West. The State Department has warned the relatives of hostages to stay away from Iraq because they too might be taken captive. Those who have come say governments have accomplished nothing and now it's up to individuals. (HOSTAGE'S WIFE: "Come, come as quick as you can. Don't leave your man over here; he belongs home.") That's a message that Washington will not like, but one that other families will find difficult to resist. ABC's JIM HICKEY reports from Saudi Arabia that Iraq is building elaborate defenses around Kuwait. Britain's Royal Engineers believe they will be leading the charge in order to help troops thwart these defenses. Because of the confusion expected, there will be no such thing as a surgical assault on the ground. (ABC-Lead) NBC's TOM BROKAW: Saddam Hussein Monday night appeared to be more isolated than ever. He faces a U.N. vote that could lead to war against Iraq. Soviet President Gorbachev told him Monday to shape up or else. And yet, none of this seems to be having any effect. NBC's JOHN DANCY reports from the State Department the Persian Gulf crisis is about to enter a dramatic new phase with the U.N. vote on Thursday. After three weeks of behind-the-scenes maneuvering by his Secretary of State, George Bush was feeling buoyant Monday about chances for the U.N. resolution. One.) (TV coverage: President giving thumbs-up while walking to Marine The U.S. expects to get at least 11 votes out of the 15 members on the Security Council. More important, none of the permanent five members with a veto are expected to vote no. The Soviet Union set the stage for a yes vote Monday when President Gorbachev called in Iraqi Foreign Minister Aziz and told him bluntly the fate of Iraq is in its leaders hands -- time is running out. Soviet Foreign Minister Shevardnadze demanded the release of Soviet hostages in Iraq. Afterwards, Foreign Ministry spokesman Churkin said if Iraq doesn't release the hostages -- (CHURKIN: "That would certainly help make our well-known attitude towards the situation in the Persian Gulf even tougher than it is now.") Voices began rising against the use of force, however, on Capitol Hill. Paul Nitze warned the U.S. should not be tempted to go it alone against Saddam. (NITZE: "Course B, which I obviously prefer, would be to exercise patience.") Saddam seemed to be telling the world Monday that the sanctions are already working, why use force? There is little doubt the Security Council will pass the resolution on Thursday. The last time the War. Security Council passed such a resolution, it led to the Korean -erom- White House News Summary Tuesday, November 27, 1990 -- B-3 BROKAW reports the British press believes a war with Iraq will be over in days or weeks. At a new conference Monday, the top British commander said allied air and naval power would quickly demoralize Iraqi troops. NBC's RICK DAVIS reports on the British Royal Engineers. (PETER DE BILLIER, British general: "We would use all the resources that we have to ensure that we won, that we won swiftly and that we won decisively.") Meanwhile, the Kuwaiti civilian militia graduated a new class Monday; they are ready to sacrifice themselves for their country. (NBC-Lead) CBS's DAN RATHER: Iraq's Saddam Hussein added a new dimension Monday to the complicated hostage dilemma as he rewarded relatives of American hostages who came to Iraq against U.S. State Department advice. At the same time, Saddam claim what he said are large numbers of Iraqis have died as a result of food and medicine shortages. CBS's BILL WHITAKER reports from Baghdad on the release of three Americans whose relatives came to get them out. The hostages say they bear no grudges. (JOHN STEVENSON, former hostage: "I have no anger or bitterness. I was an innocent person working in a bank and I am in the middle of a political problem and I was a victim of it.") It's not clear whether this goodwill comes from the heart or out of fear. A translator told another hostage not to say too much. U.S. officials say Saddam is playing the hostages as pawns in a high-stakes game of PR. (JOHN WILSON, U.S. Deputy Chief of Mission: "I basically believe that they're playing into the -- that this is sort of a propaganda play that the Iraqis are trying to mount here.") The Iraqis believe the concern for the hostages is weakening the resolve of the international alliance; President Hussein is trying to convince the allies that they can achieve more with diplomacy than with threats of war. (DENNIS CONBY [phonetic], brother-in-law of released hostage: "As a private citizen, you do what you have to do."...) (IN-LAW OF RELEASED HOSTAGE: "He let our father-in-law out. I'm sure he did it on his terms, but, hey, if that's what it takes. CBS's RICHARD THRELKELD reports the families of other American hostages have begun to make their own travel plans to Baghdad. Saddam seems to be saying that he will free the more than 700 Americans in Iraq and Kuwait if their American loved ones will just come over and get them -- and that's just what they're doing. Jack Van Bolley [phonetic] is leaving for Baghdad next week with 17 other Americans. In Texas, Linda Parker decided to go to Baghdad too after hearing about Monday's release. The State Department is meeting with some of the hostage wives in Houston to let them know if they go to Baghdad, U.S. authorities can't be responsible for their safety, to which more and more or the families seem to be saying -- fine. CBS's BILL PLANTE reports from the State Department officials believe Saddam's release Monday was just more of the same cynical manipulation. -more- White House News Summary Tuesday, November 27, 1990 -- B-4 PLANTE continues: (RICHARD BOUCHER: "It's been clear all along that he's trying to get the most mileage he can out of manipulating people and playing with their lives, playing with their relatives and playing on all our sympathies.") President Bush's attention is elsewhere, fixed on the U.N. He signalled thumbs-up Monday morning to the U.S. drive for a Security Council resolution which would authorize the use of military action against Iraq if it does not withdraw from Kuwait. One) (TV coverage: President giving thumbs-up while walking to Marine Yemen's ambassador to the U.N. said the U.S. should be talking directly to Iraq. (ABDULLAH AL-ASHTAL: "If it is possible to make it peacefully, why do it after war? Why are we going to [bring on] a catastrophe?") counter-productive. Some Middle East experts warn too much pressure on Saddam could be (RICHARD MURPHY, former assistant secretary of state: "There is a limit beyond which the man can be pushed into the corner. You don't push the enemy against a locked door.") Gorbachev publicly warned Saddam that there is no hope of breaking international unity against Iraq. At the State Department, officials admit that there is still almost no evidence that Saddam believes that the U.S. is really willing to go to war to get him out of Kuwait. RATHER reports the Army said Monday its first combat reserves go on active duty Friday for desert training in California. In addition to these 10,000 troops, word that 15,000 more Marines are heading for Saudi Arabia. (CBS-Lead) PRESIDENT'S TRIP BROKAW: If President Bush has his way, Mexico and the United States will have a much more active economic relationship in the years ahead. Many American companies are already making enormous investments in Mexico, and Monday President Bush was meeting with President Salinas on a treaty to reduce trade restrictions. But there is strong opposition. NBC's JOHN COCHRAN: President Bush says he feels comfortable in Mexico, and one big reason is President Salinas: a Harvard- trained economist who has more in common with William Buckley than with Fidel Castro. (TV coverage: President and First Lady watching Mexican dancers.) Salinas freely admits Mexico is a Third World country, but he has a plan to change that. Not more government control over the economy, but less. Not more trade barriers against American products, but no barriers at all, which means the U.S. would also open its markets to Mexican products. Salinas in convinced that Mexicans have enough brains and talent to compete in a North American free-trade market extending from the tundras of Alaska and northern Canada to the jungles of southern Mexico. But many Mexicans claim foreign companies would exploit Mexico even more than they already do. -елош- White House News Summary Tuesday, November 27, 1990 -- B-5 COCHRAN continues: (PORFIRIO MUNOZ LEDO, Mexican senator: "We have the sensation, the feeling, that we are governed by foreign people. It's true.") Mexico is troubled by political violence as well as economic hard times. Opponents of President Salinas say he should be spending more time on social and political problems than in trying to get a free trade agreement with his friend George Bush. (JORGE CASTANEDA, Mexican writer: "I have the impression that President Salinas is in a big, big rush to get his agreement very quickly because he needs the money very badly.") President Bush also wants to lift trade barriers, but the U.S. Congress, worried about American jobs, may not be so eager to make it easier for Mexicans to sell north of the border. (TV coverage: President putting on sombrero.) Mexico could win votes in Congress for a trade agreement if it would permit Americans to invest in oil exploration, but that is political dynamite here. Mexicans have an almost religious belief that oil is special -- off-limits to foreigners. George Bush would dearly love to win American access to Mexican oilfields, but so far President Salinas has shown no willingness to commit what could be political suicide. (NBC-3) JENNINGS: President Bush is in Mexico Monday discussing the state of the world with President Salinas. (TV coverage: President and First Lady standing with the Salinas family.) One of the more immediate questions: whether to open the border to free trade. There is already a program in place that allows U.S. companies to use low-cost Mexican labor without paying duty on the products they manufacture. Mexican factory workers make an average of one-tenth as much as workers in the U.S. ABC's JOHN QUINONES reports from Mexico on the use of Mexican labor by U.S. companies. While these Mexicans near the American border have jobs, they still live in squalid squatter camps. Some want American companies to share more of their profits with their Mexican workers. (ABC-3) RATHER: For his part, President Bush shifted scenes and attention [from the Gulf] to Mexico Monday. (TV coverage: President and First Lady standing with Salinas family.) Mr. Bush opened two days of talks there with Mexico's President Salinas. Main subject: progress toward a landmark U.S. -Mexico free-trade agreement. Photo opportunities aside, there are serious obstacles to free trade on both sides of the border. (TV coverage: President trying on sombrero.) Among them, Mexico's refusal to allow U.S. investment in its oil industry and fears in the U.S. that free trade will mean more U.S. jobs lost to lower-paid workers in Mexico. (CBS-2) BULGARIA JENNINGS reports 500,000 Bulgarians are striking to demand that their prime minister quit. They blame the socialist government for growing shortages of food and consumer goods. (ABC-8) -more- White House News Summary Tuesday, November 27, 1990 -- B-6 MCA-MATSUSHITA BUYOUT ABC's BOB JAMIESON reports the Japanese company Matsushita is paying more than $6 billion for MCA. It is the highest price ever paid by a Japanese company for an American corporation. Analysts say Hollywood has little to fear. (HAROLD VOGEL, Merrill Lynch media analyst: "It will be a gradual change and the immediate impact of these new managements on American movie-making and television programming will be fairly minimal.") Matsushita's president insisted that creative decisions will still be made in Hollywood, not Japan, but more and more of the profits will now end up in Japan. (ABC-2, NBC-2, CBS-3) POLISH ELECTIONS JENNINGS reports Prime Minister Mazowiecki has resigned after finishing third in balloting to a political unknown. ABC's JOHN DONVAN reports on Stanislaw Tyminski's second-place finish in Poland. While he has no political experience and has no specific program, Poles like the fact that Tyminski has made lot of money outside Poland. Lech Walesa told reporters he might withdraw from the run-off rather than face an opponent he does not consider a serious man. In typical fashion, Walesa immediately win. reversed himself and is back in the race, which he's expected to (ABC-7, NBC-4, CBS-8) SOUTH AFRICA NBC's ROBIN LLOYD reports from South Africa that many blacks dropped out of the school system to protest inferior schools for blacks. Many believe liberation must come before education. This struggle has left millions of young blacks undereducated and unemployed. Many black leaders are worrying about the younger generation and are realizing the cost of having placed the children years. on the front lines in the fight against apartheid for so many (NBC-11) RURAL HEALTH CARE ABC's GEORGE STRAIT reports nurse practitioners are filling the void left by a dwindling number of rural doctors. Doctors want strict controls on what the nurse practitioners can and cannot do. In the new federal budget, Medicaid has been authorized to pay for the services in the same direct way that physicians are paid, although at a lower rate. (ABC-9) DENVER FIRE JENNINGS reports a fire still burns out of control at Denver's Stapleton Airport. Officials say the fire will burn for days. Air traffic in and out of the airport is now back to normal. WASHINGTON FLOODS (ABC-5, NBC-8, CBS-6) JENNINGS reports flood waters have begun to recede after more than 3,000 people were forced from their homes. (ABC-6, NBC-7, CBS-5) -End of News Summary- Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 02. Note Handwritten notes of Presidential Phone call with Neil 11/27/90 C [Bush] (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRAJ (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency I(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA) financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 03a. Note Handwritten notes of Presidential Phone call with John Major 11/27/90 (b)(1) Re: Schedule (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRAJ (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRAJ (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. WHITE HOUSE FAX-3 TUE 27 NOV 90 19:11 PG.02 CONTIDENTIAL POINTS TO BE MADE FOR CALL TO NEW BRITISH PRIME MINISTER (DESIGNATE) JOHN MAJOR Although I know your selection will not be final until after (Party has 3rd decided ballot be the vote on Thursday I wanted to be one of the first to call and congratulate you on your victory in the voting needed.) today. : I enjoyed meeting with you in September of last year, and seeing you again in Houston this summer. I know you've done a terrific job in handling the budget and financial issues in Margaret's government, making tough choices when they needed to be made. -- I know you have a hundred things to think about. But, when you get a bit of time, I hope we can find a way to get together and talk about the issues we will be facing in the coming weeks and months. -- Let's try to meet sometime soon. Our staffs can be in touch to work on the details. -- I'm confident we can carry on the closest possible cooperation in tackling the hard problems like the Gulf, and I look forward to working with you. DECLASSIFIED PER NSC WAIVER, 1500 2021-02 By SS NARA, Date 10/23/24 White House News Summary Tuesday, November 27, 1990 -- B-1 NETWORK NEWS SUMMARY (Monday evening, November 26) GULF ABC's PETER JENNINGS: We begin Monday night with an 11th and probably the most important U.N. resolution on the Iraqi occupation of Kuwait, one that could actually lead to fighting. Just hours after Saddam Hussein's troops crossed into Kuwait, the Security Council demanded they pull-out -- they did not. Three weeks later, the U.N. authorized an economic embargo; it is yet to be effective. Now, 16 weeks after the invasion and after furious lobbying by the Bush administration, the Security Council appears ready to authorize the use of military force to back up its demands. ABC's JOHN McWETHY reports that when asked if he had the votes to pass a U.N. resolution authorizing use of force, the President seemed confident. (TV coverage: President giving thumbs-up on while walking to Marine One.) Behind closed doors Monday afternoon in New York, the U.S. formally circulated a draft of what it wants the Security Council to pass. The U.S. proposal would set a January 1 deadline for Iraq to pull out of Kuwait. After that deadline passes, the resolution would automatically authorize countries to "use all necessary means to force Iraqi troops to leave." A January 1 deadline, U.S. officials concede, is just an opening position and could well slip to January 15 or February I by the time the resolution is voted on later this week. (DOUGLAS HURD, British Foreign Secretary: "January 1, if that's the deadline agreed, wouldn't be a date on which military action started. It would be the date after which member states would have authority to use force if need be.") In Moscow Monday, Iraqi Foreign Minister Tareq Aziz got more bad news: a first public warning from President Gorbachev that the Soviet Union will vote for the toughest U.N. measure yet if Iraqi troops don't get out of Kuwait immediately. Though U.S. officials believe they have the votes to pass this resolution in the U.N., in order to make a stronger statement to Saddam Secretary Baker wants the vote to be overwhelming. U.S. officials believe the British and maybe the French will participate in initial fighting if it is necessary. If the fighting doesn't go into Kuwait, they believe both the Egyptians and Syrians will participate as well. While there will be a deadline, it does not Mean war will begin the day after this thing is actually passed. JENNINGS reports Saddam said hospital patients are dying for lack of food and medicine due to the embargo. ABC's DENNIS TROUTE reports from Baghdad three American hostages were told they were free after their relatives had traveled to Iraq. Saddam met with the hostages and their families and used the moment to claim the embargo is killing hospital patients. (SADDAM HUSSEIN: "If we were to go to hospitals and ask them to provide us with lists, then we would discover the numbers are tragically high.") White House News Summary Tuesday, November 27, 1990 -- B-2 TROUTE continues: The Iraqi leader offered no proof of his charge and diplomats doubt that it's true. Analysts say he's trying to divide the West both by sowing a sense of guilt and by releasing hostages to relatives who visit Baghdad. Iraq wants more Americans traveling here to lessen the chance of a military invasion by the West. The State Department has warned the relatives of hostages to stay away from Iraq because they too might be taken captive. Those who have come say governments have accomplished nothing and now it's up to individuals. (HOSTAGE'S WIFE: "Come, come as quick as you can. Don't leave your man over here: he belongs home.") That's a message that Washington will not like, but one that other families will find difficult to resist. ABC's JIM HICKEY reports from Saudi Arabia that Iraq is building elaborate defenses around Kuwait. Britain's Royal Engineers believe they will be leading the charge in order to help troops thwart these defenses. Because of the confusion expected, there will be no such thing as a surgical assault on the ground. (ABC-Lead) NBC's TOM BROKAW: Saddam Hussein Monday night appeared to be more isolated than ever. He faces a U.N. vote that could lead to war against Iraq. Soviet President Gorbachev told him Monday to shape up or else. And yet, none of this seems to be having any effect. NBC's JOHN DANCY reports from the State Department the Persian Gulf crisis is about to enter a dramatic new phase with the U.N. vote on Thursday. After three weeks of behind-the-scenes maneuvering by his Secretary of State, George Bush was feeling buoyant Monday about chances for the U.N. resolution. (TV coverage: President giving thumbs-up while walking to Marine One.) The U.S. expects to get at least 11 votes out of the 15 members on the Security Council. More important, none of the permanent five members with a veto are expected to vote no. The Soviet Union set the stage for a yes vote Monday when President Gorbachev called in Iraqi Foreign Minister Aziz and told him bluntly the fate of Iraq is in its leaders hands -- time is running out. Soviet Foreign Minister Shevardnadze demanded the release of Soviet hostages in Iraq. Afterwards, Foreign Ministry spokesman Churkin said if Iraq doesn't release the hostages -- (CHURKIN: "That would certainly help make our well-known attitude towards the situation in the Persian Gulf even tougher than it is now.") Voices began rising against the use of force, however, on Capitol Hill. Paul Nitze warned the U.S. should not be tempted to go it alone against Saddam. (NITZE: "Course B, which I obviously prefer. would be to exercise patience.") Saddam seemed to be telling the world Monday that the sanctions are already working, why use force? There is little doubt the Security Council will pass the resolution on Thursday. The last time the Security Council passed such a resolution, it led to the Korean War. -more- White House News Summary Tuesday, November 27, 1990 -- B-3 BROKAW reports the British press believes a war with Iraq will be over in days or weeks. At a new conference Monday, the top British commander said allied air and naval power would quickly demoralize Iraqi troops. NBC's RICK DAVIS reports on the British Royal Engineers. (PETER DE BILLIER, British general: "We would use all the resources that we have to ensure that we won, that we won swiftly and that we won decisively.") Meanwhile, the Kuwaiti civilian militia graduated a new class Monday: they are ready to sacrifice themselves for their country. (NBC-Lead) CBS's DAN RATHER: Iraq's Saddam Hussein added a new dimension Monday to the complicated hostage dilemma as he rewarded relatives of American hostages who came to Iraq against U.S. State Department advice. At the same time, Saddam claim what he said are large numbers of Iraqis have died as a result of food and medicine shortages. CBS's BILL WHITAKER reports from Baghdad on the release of three Americans whose relatives came to get them out. The hostages say they bear no grudges. (JOHN STEVENSON, former hostage: "I have no anger or bitterness. I was an innocent person working in a bank and I am in the middle of a political problem and I was a victim of it.") It's not clear whether this goodwill comes from the heart or out of fear. A translator told another hostage not to say too much. U.S. officials say Saddam is playing the hostages as pawns in a high-stakes game of PR. (JOHN WILSON, U.S. Deputy Chief of Mission: "I basically believe that they're playing into the -- that this is sort of a propaganda play that the Iraqis are trying to mount here.") The Iraqis believe the concern for the hostages is weakening the resolve of the international alliance: President Hussein is trying to convince the allies that they can achieve more with diplomacy than with threats of war. (DENNIS CONBY [phonetic], brother-in-law of released hostage: "As a private citizen, you do what you have to do."...) (IN-LAW OF RELEASED HOSTAGE: "He let our father-in-law out. I'm sure he did it on his terms, but, hey, if that's what it takes.") CBS's RICHARD THRELKELD reports the families of other American hostages have begun to make their own travel plans to Baghdad. Saddam seems to be saying that he will free the more than 700 Americans in Iraq and Kuwait if their American loved ones will just come over and get them -- and that's just what they're doing. Jack Van Bolley [phonetic] is leaving for Baghdad next week with 17 other Americans. In Texas, Linda Parker decided to go to Baghdad too after hearing about Monday's release. The State Department is meeting with some of the hostage wives in Houston to let them know if they go to Baghdad, U.S. authorities can't be responsible for their safety, to which more and more or the families seem to be saying fine. CBS's BILL PLANTE reports from the State Department officials believe Saddam's release Monday was just more of the same cynical manipulation. White House News Summary Tuesday, November 27, 1990 -- B-4 PLANTE continues: (RICHARD BOUCHER: "It's been clear all along that he's trying to get the most mileage he can out of manipulating people and playing with their lives, playing with their relatives and playing on all our sympathies.") President Bush's attention is elsewhere, fixed on the U.N. He signalled thumbs-up Monday morning to the U.S. drive for a Security Council resolution which would authorize the use of military action against Iraq if it does not withdraw from Kuwait. (TV coverage: President giving thumbs-up while walking to Marine One) Yemen's ambassador to the U.N. said the U.S. should be talking directly to Iraq. (ABDULLAH AL-ASHTAL: "If it is possible to make it peacefully, why do it after war? Why are we going to [bring on] a catastrophe?") Some Middle East experts warn too much pressure on Saddam could be counter-productive. (RICHARD MURPHY, former assistant secretary of state: "There is a limit beyond which the man can be pushed into the corner. You don't push the enemy against a locked door.") Gorbachev publicly warned Saddam that there is no hope of breaking international unity against Iraq. At the State Department, officials admit that there is still almost no evidence that Saddam believes that the U.S. is really willing to go to war to get him out of Kuwait. RATHER reports the Army said Monday its first combat reserves go on active duty Friday for desert training in California. In addition to these 10,000 troops, word that 15,000 more Marines are heading for Saudi Arabia. (CBS-Lead) PRESIDENT'S TRIP BROKAW: If President Bush has his way, Mexico and the United States will have a much more active economic relationship in the years ahead. Many American companies are already making enormous investments in Mexico, and Monday President Bush was meeting with President Salinas on a treaty to reduce trade restrictions. But there is strong opposition. NBC's JOHN COCHRAN: President Bush says he feels comfortable in Mexico, and one big reason is President Salinas: a Harvard- trained economist who has more in common with William Buckley than with Fidel Castro. (TV coverage: President and First Lady watching Mexican dancers.) Salinas freely admits Mexico is a Third World country, but he has a plan to change that. Not more government control over the economy, but less. Not more trade barriers against American products, but no barriers at all, which means the U.S. would also open its markets to Mexican products. Salinas in convinced that Mexicans have enough brains and talent to compete in a North American free-trade market extending from the tundras of Alaska and northern Canada to the jungles of southern Mexico. But Many Mexicans claim foreign companies would exploit Mexico even more than they already do. -More- White House News Summary Tuesday, November 27, 1990 -- B-5 COCHRAN continues: (PORFIRIO MUNOZ LEDO, Mexican senator: "We have the sensation, the feeling, that we are governed by foreign people. It's true.") Mexico is troubled by political violence as well as economic hard times. Opponents of President Salinas say he should be spending more time on social and political problems than in trying to get a free trade agreement with his friend George Bush. (JORGE CASTANEDA, Mexican writer: "I have the impression that President Salinas is in a big, big rush to get his agreement very quickly because he needs the money very badly.") President Bush also wants to lift trade barriers, but the U.S. Congress, worried about American jobs, may not be 50 eager to make it easier for Mexicans to sell north of the border. (TV coverage: President putting on sombrero.) Mexico could win votes in Congress for a trade agreement if it would permit Americans to invest in oil exploration, but that is political dynamite here. Mexicans have an almost religious belief that oil is special off-limits to foreigners. George Bush would dearly love to win American access to Mexican oilfields, but 50 far President Salinas has shown no willingness to commit what could be political suicide. (NBC-3) JENNINGS: President Bush is in Mexico Monday discussing the state of the world with President Salinas. (TV coverage: President and First Lady standing with the Salinas family.) One of the more immediate questions: whether to open the border to free trade. There is already a program in place that allows U.S. companies to use low-cost Mexican labor without paying duty on the products they manufacture. Mexican factory workers make an average of one-tenth as much as workers in the U.S. ABC's JOHN QUINONES reports from Mexico on the use of Mexican labor by U.S. companies. While these Mexicans near the American border have jobs, they still live in squalid squatter camps. Some want American companies to share more of their profits with their Mexican workers. (ABC-3) RATHER: For his part, President Bush shifted scenes and attention [from the Gulfl to Mexico Monday. (TV coverage: President and First Lady standing with Salinas family.) Mr. Bush opened two days of talks there with Mexico's President Salinas. Main subject: progress toward a landmark U.S.-Mexico free-trade agreement. Photo opportunities aside, there are serious obstacles to free trade on both sides of the border. (TV coverage: President trying on sombrero.) Among them, Mexico's refusal to allow U.S. investment in its oil industry and fears in the U.S. that free trade will mean more U.S. jobs lost to lower-paid workers in Mexico. (CBS-2) BULGARIA JENNINGS reports 500,000 Bulgarians are striking to demand that their prime minister quit. They blame the socialist government for growing shortages of food and consumer goods. (ABC-8) -more- White House News Summary Tuesday, November 27, 1990 -- 8-6 MCA-MATSUSHITA BUYOUT ABC's B08 JAMIESON reports the Japanese company Matsushita is paying more than $6 billion for MCA. It is the highest price ever paid by a Japanese company for an American corporation. Analysts say Hollywood has little to fear. (HAROLD VOGEL, Merrill Lynch media analyst: "It will be a gradual change and the immediate impact of these new managements on American movie-making and television programming will be fairly minimal.") Matsushita's president insisted that creative decisions will still be made in Hollywood, not Japan, but more and more of the profits will now end up in Japan. (ABC-2, NBC-Z, CBS-3) POLISH ELECTIONS JENNINGS reports Prime Minister Mazowiecki has resigned after finishing third in balloting to a political unknown. ABC's JOHN DONVAN reports on Stanislaw Tyminski's second-place finish in Poland. While he has no political experience and has no specific program, Poles like the fact that Tyminski has made lot of money outside Poland. Lech Walesa told reporters he might withdraw from the run-off rather than face an opponent he does not consider a serious man. In typical fashion, Walesa immediately reversed himself and is back in the race, which he's expected to win. (ABC-7, NBC-4, CBS-8) SOUTH AFRICA NBC's ROBIN LLOYD reports from South Africa that many blacks dropped out of the school system to protest inferior schools for blacks. Many believe liberation must come before education. This struggle has left millions of young blacks undereducated and unemployed. Many black leaders are worrying about the younger generation and are realizing the cost of having placed the children on the front lines in the fight against apartheid for 50 many years. (NBC-11) RURAL HEALTH CARE ABC's GEORGE STRAIT reports nurse practitioners are filling the void left by a dwindling number of rural doctors. Doctors want strict controls on what the nurse practitioners can and cannot do. In the new federal budget, Medicaid has been authorized to pay for the services in the same direct way that physicians are paid, although at a lower rate. (ABC-9) DENVER FIRE JENNINGS reports a fire still burns out of control at Denver's Stapleton Airport. Officials say the fire will burn for days. Air traffic in and out of the airport is now back to normal. (ABC-5, NBC-8, CBS-6) WASHINGTON FLOODS JENNINGS reports flood waters have begun to recede after more than 3,000 people were forced from their homes. (ABC-6, NBC-7, CBS-5) -End of News Summary- Bill Clark K-C- ParkWomack Sro W. Rusty Rose Budapest 8-14 Dec. Prague Laury Gatlin Christmas tape Jena WH Christmas Card No POOL REPORT - FOLLUWING DISTRIBUTED TO AF ONE POOL November 27, 1990 STATEMENT BY THE PRESS SECRETARY: President Bush called John Major, the new head of the Conservative Party in England, to congratulate him on his party victory. Calling from Air Force One, the President said he looked forward to working with Major and to maintaining the special relationship with the U.K. The President said Great Britain is a great ally, that joins us in facing many opportunities and challenges in the new East-West relationship. He said Mrs. Thatcher was a great friend, and he looks forward to Mr. Major's leadership and friendship. The President and John Major Privartely met: in the Oval Office in 1989 when Major was Foreign Secretary. Murray DeFrank Bumpy Air Montry to DC 11-27-90 The President of the United States of America Calla- I is pleased you took we into your confidence And I in very The way you did Keep up the great worth ! very glad you decided that matter hals GB NOTE FOR THE DAILY FILES: 11/26/90 - Carla Hills asked to speak to the President PRIVATELY aboard AF 1 enroute to Mexico, thus, the above note which was handed directly to Carl Hills on 11/27/90 (aboard AF 1-enroute to DC) PRIVATE/PERSONAL EXECUTIVE OFFICE OF THE PRESIDENT COUNCIL OF ECONOMIC ADVISERS November 27, 1990 wr To: The President From: Mike Boskin mor Re: Revised estimate of Third Quarter GNP Growth and October Durable Goods Orders The second of the Commerce Department's three estimates of real GNP growth for the third quarter of 1990 is 1.7 percent, down 0.1 percent from the first estimate. Most private analysts had expected a modest upward revision. There was a slight upward revision in the broad based measures of inflation associated with the entire GNP, but they still remain in the 4 percent range and show no signs of accelerating. The very preliminary data available thus far for October suggest the fourth quarter is likely to be negative unless there is an unusually strong Christmas season. Better news is that durable goods orders increased 3.6 percent in October, following a decline in September. Michael J. Boskin Chairman THE CHAIRMAN OF THE COUNCIL OF ECONOMIC ADVISERS WASHINGTON November 27, 1990 MEMORANDUM FOR THE PRESIDENT FROM: MICHAEL J. BOSKIN MD SUBJECT: Preliminary Estimate of Third-Quarter GNP, Commerce Department Release, Tomorrow Morning, 8:30 a.m. Real GNP grew 1.7 percent at an annual rate in the third quarter, a slight downward revision from the 1.8 percent rate estimated last month. Private forecasters had anticipated an upward revision to 2.1 percent. A downward revision to consumer spending on services contributed most to the downward GNP revision, although fixed investment, inventory change and government purchases were also revised down. A substantial upward revision to net exports of goods and services offset some of the downward revisions, as did an upward revision to consumer purchases of nondurables. The fixed-weighted GNP price index rose 4.2 percent in the third quarter, a 0.1 percentage point upward revision from last month's estimate. Corporate profits fell 3.8 percent at a quarterly rate in the third quarter, after a 3.3 percent increase in the second. The decline in profits was widespread across nonfinancial corporations, while profits in financial corporations rose slightly. Real GNP Percent change from preceding quarter 6 5.1 a 4.3° 4 3.7* Percent (annual rote) 3.2° 3 2 1.6 1.7 1.7 1.7 1.4* 1 0.3 0.4 o 68:01 88:02 88:03 B8:04 59:01 89:02 89:03 89:04 90:01 90:02 90:03 *Date are drought-odjusted THE CHAIRMAN OF THE COUNCIL OF ECONOMIC ADVISERS WASHINGTON November 27, 1990 MEMORANDUM FOR THE PRESIDENT FROM: MICHAEL J. BOSKIN MB SUBJECT: Advance Durable Goods in October, Commerce Department Release, Tomorrow Morning, 8:30 a.m. New orders for manufactured durable goods rose 3.6 percent in October, after a 1.6 percent decline in September. October's gain exceeded the median private forecast for no change. Although the new orders series is volatile, October's rise to the highest level this year is a mildly positive sign for the fourth quarter. The rise in orders in October was mainly due to a 14.8 percent increase in orders for transportation equipment (mostly aircraft and motor vehicles). Excluding transportation equipment, orders slipped 0.4 percent, led by a decline in office and computing equipment orders. New orders for nondefense capital goods were up 8.3 percent, while new orders for defense capital goods fell 10 percent. Shipments of durable goods rose 1.8 percent in October, after a 3.3 percent decline in September. Gains were widespread across major industries; however, shipments of capital goods industries fell slightly, the second straight monthly decline. DURABLE GOODS ORDERS & SHIPMENTS 136 134 132 130 New Orders 128 X BILLIONS OF DOLLARS 126 124 122 Shipments 120 118 116 114 112 110 OCT BB JAN 89 APR 83 JUL DD OCT 89 JAN 90 APR so JUL 90 OCT 90 From the desk of George Bush us Nov. 26, utti solviers Bush Library Photocopy George Bush Handwriting Bush Presidential Library Photocopy Document Originally Attached to Following Page Card 1 of 6 CONFIDENTIAL POINTS TO BE MADE AT THE ONE-ON-ONE MEETING WITH PRESIDENT SALINAS IN MONTERREY FREE TRADE AGREEMENT WE REMAIN CAUTIOUSLY OPTIMISTIC THAT FAST TRACK AUTHORITY WILL BE CONFERRED IN THE SPRING, THOUGH SOME OPPOSITION IS COALESCING. WE NEED TO RESOLVE OUTSTANDING TRADE FRICTIONS TO AVOID GIVING AMMUNITION TO OPPONENTS OF A FREE TRADE AGREEMENT. AS I TOLD YOU IN SEPTEMBER, WE REMAIN COMMITTED TO ACHIEVING AN AGREEMENT WITH MEXICO AND HAVING IT APPROVED BY THE U.S. CONGRESS BY THE TIME CONGRESS ADJOURNS IN 1992. IF CANADIAN PARTICIPATION THREATENS TO DELAY OUR SCHEDULE OR JEOPARDIZE CONGRESSIONAL CONFIDENTIAL DECLASSIFIED PER NSC WAIVER, 1500 2021-02 By SS NARA, Date 10/23/24 BUSH LIBRARY PHOTOCOPY - GEORGE BUSH HANDWRITING Narco- I Dr. Alvamz du Costiblo gam up dest reports BUSH LIBRARY PHOTOCOPY - GEORGE BUSH HANDWRITING 8 Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 04b. Index Cards Points to be Made at the Meeting with Full Delegation in n.d. (b)(1) C Monterrey [Cards 2-8 and 10 of 12 are missing - all others are double-sided with George Bush handwriting on back] (4 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information I(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA) P-2 Relating to the appointment to Federal office [(a)(2) of the PRA) (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 04c. Index Cards Points to be Made at the Meeting with President Salinas in n.d. (b)(1) C Agualeguas [4 cards are double-sided with George Bush handwriting] (19 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - 15 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA) financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile GEORGE BUSH 11/27/90 John, FYI GB Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 05. Letter From Sheldon B. Lubar to Newt Gingrich Re: Budget 11/05/90 (b)(6) compromise [redaction of personal information] (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA) (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile CC: John Sununu fyi Lubar & Co. 3380 FIRST WISCONSIN CENTER MILWAUKEE, WISCONSIN 53202 TELEPHONE 414/291-9000 TELECOPIEE 414/291-9061 November 5, 1990 The Honorable Newt Gingrich (b)(6) General Chairman GOPAC 440 First Street, NW Suite 400 Washington, DC 20001 Dear Newt: I am writing in response to your invitation to join GOPAC and attend the November meeting. Scheduling conflicts would not permit my attendance, but in addition I am not comfortable with what I see. I have listened to your tapes and they are agreeable, but your actions are not tial Library Photocopy consistent. You talk about spending cuts, but I see no evidence that you sponsor or step up to cuts. In terms of fiscal policy we have long ago reached the point where rhetoric can replace necessary action. What you have done is scuttle the first budget compromise and pave the way for a result embodying even higher taxes and less spending cuts. In the process you have humiliated the President and negatively impacted every Republican up for election. Well, at least I have that off my chest. Newt, I sense your intentions are in line with my thinking, but uncompromising idealogues worry me. For the time being let's allow things to rest. Perhaps at a later date I will reconsider. Sincerely, Sheldon B. Lubar SBL:mbw S&L Crisis Breeds Tough Group of Regulatory Enforcers By Jerry Knight These new roles have made the The Office of Thrift Supervision Washington Post Staff Writer issue of bank examinations and their regulates 2,404 savings and loans in- Nobody needs to tell Robert Lac- effect on bank lending practices SO cluding many that call themselves sav- kovic how powerful federal banking important that President Bush and ings banks. The FDIC has responsibili- members of his Cabinet have talked ty for state banks that are not Federal examiners have become. about the topic four times in the last Reserve members and examines all For the better part of three 10 days as part of a broad review of thrifts as well. months the chairman of First the economic slowdown. Together, the agencies marshal Nationwide Bank, based in San Fran- After hearing complaints from about 38,000 employees to watch over cisco, watched as 30 examiners from business executives that overzealous the health and safety of more than two government agencies pored bank examiners are making it diffi- $3.9 trillion of the nation's wealth. over the thrift's financial records. cult for businesses to get needed At a basic level, the bank examin- When they finished. the examin- loans and may even be adding to the er's job is simple: Examiners periodi- ers demanded that $250 million in likelihood of a recession, Bush ac- cally visit banks to review records to additional cash be pumped into First knowledged that banks now are pay- ensure that federal regulations are be- ing followed and that the banks' public Nationwide by its owner, Ford ing the price of their "excesses" dur- Motor Co. ing the 1980s. financial reports reflect what is hap- Ford is no pushover when it "We had kind of go-go lending pol- pening at their loan desks and in their Prendur comes to dealing with bureaucrats, icies in some of our financial institu- boardrooms. "tions," Bush said. "Loans were made In the current climate, the clout of having recently beaten back govern- ment demands to improve the fuel then that wouldn't be made now." the four regulatory agencies has grown to such proportions that a dark M efficiency of its cars. But when the This newly recognized mission of protecting the nation from impru- joke made the rounds this past week at page examiners insisted on more capital the convention of the U.S. League of for First Nationwide. Ford promised dent bankers has made major Wash- the money without a protest. ington players of government offi- Savings Institutions, the trade group for the S&L industry. Question: N/A cials who once settled for bit parts in "They are much tougher," Lac- "What's the difference between a bank economic policy making: kovic said. "They are examining peo- regulator and a terrorist?" Answer: ple in much more detail. They pored Federal Deposit Insurance Corp. "You can negotiate with a terrorist." Chairman L William Seidman has through the portfolio a lot more than It the take-no-prisoners attitude become so controversial and power- they used to. Maybe if we had been ful that White House Chief of Staff shown by examiners that has provoked the recent discussions at the White examining institutions like this four John Sununu tried to get rid of House and Camp David. years ago, we wouldn't have the him-and failed. Ford's First Nationwide, a chain of problems we've got." Comptroller of the Currency Rob- thrifts operating in nine states, is one Crises in the nation's savings and ert L. Clarke is the first person hold- of hundreds of financial institutions loan and banking industries are cost- ing that office ever to attract televi- that as result of an examination were ing taxpayers tens of billions of dol- sion coverage to his press forced to write off more bad loans, set lars and are straining deposit insur- conferences. aside cash to cover expected losses ance funds. In response, federal Office of Thrift Supervision Direc- and strengthen financial bases by rais- bank examiners have cast off their "tor T. Timothy Ryan has taken a job ing new money from owners. First Na- green eye shades and I-get-no-re- "that President Reagan once gave to tionwide added $115 million to its spect demeanor to take up the most -one of his public relations men and loan-löss reserves and is still negotiat- influential role they have ever played turned it into a high-visibility post ing with the FDIC over issues that in shaping the economy. that could earn him a shot at a Cabi- Lackovie'said could lead to further Once regarded as little more than net office. write-downs. traffic cops for bookkeepers, bank At the Federal Reserve Board, Lackovic said his company dis- where Chairman Alan Greenspan examiners today make critical deci- agreed with the examiners over "only has long been a powerful figure, the a handful" of loans, but the aggressive sions that affect every American. director of the Division of Banking stance taken by regulators is leading Bank examiners-many are rela- Supervision and Regulation, William tive newcomers in their twenties or Taylor, has emerged from the ob- bankers to change the way they do early thirties-are deciding which scurity of the Fed's bureaucracy to business. "It's going to force people to banks will survive and who will run get a little more conservative than earn President Bush's endorsement them. what businesses will get loans they might normally be because you're to succeed Seidman at the FDIC. afraid of being criticized," he said. and what kind of loans they will re- The four agencies share power over When bankers are warned about ceive. Ultimately these examiners often-indistinguishable financial institu- certain kinds of loans, Lackovic said, could be a major factor in determin- tions. The Office of the Comptroller of "They just hunker back and say 'Well, ing whether the nation will suffer a Currency regulates 4,000 national if you don't like this kind of loan, we recession and how bad any recession banks. The Federal Reserve oversees won't make them anymore' and start would be. 1,073 state-chartered banks that to curtail their activity." THE WASHINGTON POST chose to belong to the Fed and all bank holding companies. MONDAY, NOVEMBER 19, 1990 Page AI The central question in the White House debate about examination prac- questionable loans now are haunting Historically the bank examiners' the banks that made the loans. power has been wielded with discre- tices is whether the regulators are the cause of a lending slowdown or merely Lending standards were relaxed, tion, even reluctance, but as the prob- one federal regulator stationed in New lems of the banking and thrift indus- agents of reality, motivating bankers to do what they already know they England said, "because people wanted tries have worsened, the banking should be doing. to take business away from some- agencies have used all the tools at Clarke, as currency comptroller and one else." their disposal. Banking regulators bear some of A When the Office of the Comptroller a top banking regulator, said in a inter- the responsibility for allowing the rules of the Currency took over the National view with Reuter: "We have to main- to be relaxed, bankers and regulators Bank of Washington earlier this year, tain proper lending standards and proper supervisory standards to keep conceded, because the liberalization of it used for the first time its power to the banks in business." He dismissed lending standards went on with their seize a faltering financial institution be- criticism that his tough policies are full knowledge and approval. fore it actually became insolvent. The power came from the S&L cleanup pushing the nation into a recession. "The better time-and the harder Commerce Secretary Robert Mos- time-to do something about it was at law. passed in 1989, when Congress bacher and White House Chief of Staff the beginning," one congressional granted the regulators' request for ad- Sununu lead the administration faction banking expert said. ditional authority. But as the New England regulator In the past few months, regulators maintaining that regulators have gone too far. said: "It is hard for any regulatory au- have demanded the firing of the presi- On the other side of the issue are thority to discipline a bank when it has dent: of Perpetual Savings Bank, the no obvious weaknesses." Ergest thrift in the Washington area, Treasury Secretary Nicholas F. Brady, A complaint often heard at the sav- and ordered another local banking Fed Chairman Greenspan and Michael ings and loan convention last week was company, James Madison Ltd., to J. Boskin. chairman of the President's Council of Economic Advisors, who that regulators were overcompensat- close branches and reduce operations. said regulators have became scape- ing for their past mistakes, particularly 1 Elveri tighter controls have been im- goats for the economy's problems. their failure to move quickly when posed MNC Financial Corp., the And a few experts outside the gov- Southwest banks and thrifts got in company that owns Maryland National trouble five years ago. Bank and American Security Bank. ernment, led by California economist "They're covering their backsides The holding company has been given a Dan Brumbaugh, said the regulators SO much, they're going to get diaper are not being tough enough. March 31 deadline for raising new rash," said Donald R. Shackelford, the Bankers can be found on both sides capital and has been ordered to sell its new chairman of the U.S. League of of the issue. Savings Institutions. prized credit-card business and to stop In New England, about 20 percent paying dividends to stockholders. There is no question that banking of the real estate problems stem from Such orders often are issued in se- regulators have extraordinary power "overzealousness by regulators" and over the institutions they oversee, in- cret. While they theoretically can be about 80 percent of the problems are cluding regulatory tools that no other appealed to a court, banks are reluctant because of "overzealousness by bank- federal agency is permitted to exer- to publicly admit they are being disci- ers" said Guilliaem Aertsen, who is in cise. A frequent lament of beleaguered plined and thus rarely put up a fight. charge of New England real estate executives is that "bank regulators are When bankers do fight, they lose. lending for the Bank of Boston. God." The FDIC has survived every court "We in the bank rely heavily on sug For example, Congress has given challenge to its supervisory powers. gestions from our regulator friends. the FDIC authority to issue orders Thrift regulators last summer won We take most of them," he said The stopping "any specific activity which landmark court decision when U.S. fact is the real estate markets are poses a serious threat" to the deposit District Court Judge Stanley Sporkin down. Banks need to review their insurance fund. The Office of Thrift threw out a challenge to its authority practices." Supervision can act as both prosecutor brought by Charles H. Keating of the As Bush pointed out last week, real and judge and has accused several failed Lincoln Savings and Loan Asso- estate lending practices grew too thrift executives of looting their insti- cistion of Irvine, Calif. loose during the past decade and the tution and ordered them to give back And even after a Kansas thrift won the money. a district court decision against the Of- fice of Thrift Supervision a few months ago, the agency used other powers to keep management from regaining con- trol of the institution. another provine Staff writers John M. Berry, Joel Glenn Brenner and Robert J. heard from McCartncy contributed to this report. THE WHITE HOUSE WASHINGTON DATE: 11-27 FROM THE PRESIDENT To: Brut FII cc/ John Sununu Nick Brady and Larry Eagleburger Salanas tello me our man at the Int. Dev. Baul is "very difficult" head of IDB saysthis, too - daily Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 07a. Memo From Brent Scowcroft to President Bush (1 pp.) 11/27/90 (b)(1) S Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRAJ agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA) financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA) personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 07b. Talking Points to be made for Meeting with President of the Freely n.d. (b)(1) S Points Associated States of Micronesia, John Haglelgam (2 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA) agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA) (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA) (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. PARTICIPANTS U.S. The President John H. Sununu, Chief of Staff Brent Scowcroft, Assistant to the President for National Security Affairs Robert M. Gates, Assistant to the President and Deputy for National Security Affairs Desaix Anderson, Principal Deputy Assistant Secretary of State for East Asia and Pacific Affairs Fred M. Zeder, II, President of OPEC Peter S. Watson, Director, Asian Affairs (Notetaker) Federated States of Micronesia John R. Haglelgam, President Asterio Takesy, Acting Secretary of Foreign Affairs Jesse Marehalau, Ambassador to the United States Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 07c. Report Government Report (1 pp.) 02/13/90 (b)(1) C Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA) (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA) (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile. 9024865 United States Department of State Washington, D.C. 20520 +9269 November 24, 1990 UNCLASSIFIED (with CONFIDENTIAL attachments) MEMORANDUM FOR BRENT SCOWCROFT THE WHITE HOUSE SUBJECT: Briefing Paper and Talking Points for the President's Meeting with Federated States of Micronesia President John R. Haglelgam, 10:45 AM, Friday, November 30, 1990 The President has agreed to see President John R. Haglelgam of the Federated States of Micronesia for a 10-minute meeting at 10:45 AM, on Friday, November 30, 1990. We attach a briefing paper, talking points, and biographic sketch for use in preparation for the meeting. J. Stapleton Roy Executive Secretary Attachments: Tab A - Briefing Paper Tab B - Talking Points Tab C - - Biographic Sketch DEPARTMENT OF STATE BRIEFING PAPER CONFIDENTIAL Informal Visit of Federated States of Micronesia President John R. Haglelgam I. WHAT IS THE STANDING OF THE RELATIONSHIP? o Relations between the United States and the Federated States of Micronesia (FSM) are generally excellent. After 40 years of U.S. administration as a UN Trust Territory, the Micronesians chose to enter into a relationship of "free association" with the U.S., whereby we exercise defense responsibilities in return for the right to foreclose FSM territory to any third-country military force (strategic denial). O The Compact of Free Association, governing our relations since November 3, 1986, is working quite satisfactorily for both parties. Under its provisions, the FSM is a sovereign and self-governing nation, responsible for the conduct of its external as well as internal affairs, obliged to consult with us only when its foreign policy may interfere with our obligation to defend its territory and its citizens. O Over its 15-year life, the value of the Compact to the FSM is estimated slightly in excess of $1.0 billion. In Fiscal Year 1991 the United States will provide some $94 million in direct Compact-related payments, grants and federal services. II. WHAT DO WE WANT? o We want to continue the policy of strategic denial, the right to forbid access to the territory or territorial waters of the FSM to potentially hostile third-country military forces. 0 We want to reinforce political stability and commitment to democracy and to the market economy in the FSM. We wish to reassure the FSM that we are doing our best to help it win international recognition as a sovereign nation. CONFIDENTIAL DECL:OADR DECLASSIFIED PER DOS WAIVER, November 6, 2015 By SS NARA, Date 10/23/24 CONFIDENTIAL - 2 - III. WHAT DOES PRESIDENT HAGLELGAM WANT? 0 Haglelgam wants reassurances that the United states continues to think of the FSM in special terms, as a special relationship formed through free association. The U.S. has maintained, in part, this special relationship by assisting the FSM government in obtaining international diplomatic recognition despite, until recently, Soviet intransigence and UK and French refusal of recognition owing to differing positions in the UN regarding the FSM's legal status. o Haglelgam will raise, as he did at the October 27 Pacific Island Leaders lunch in Honolulu, the issue of termination of the Trusteeship Agreement as it applies to the FSM, the Marshall Islands (RMI), and the Commonwealth of the Northern Mariana Islands (CNMI). He wants this issue settled as soon as possible in order that the FSM may enjoy recognition from the greatest number of countries and economic assistance from the broadest number of sources. We share these aspirations and hope to introduce in the very near future in the Security Council a resolution that the Soviets will not oppose. The FSM took a prominent early stance opposing the shipment of chemical weapons from Germany to Johnston Atoll. Haglelgam was reassured by the President's reaffirmation that we plan to dispose of only chemical weapons currently stored at Johnston, obsolete CW found in the Pacific Islands, and the relatively small quantity shipped from Germany. He may inquire about the chemical weapons from Germany which did arrive safely and were offloaded at Johnston without incident. o Haglelgam may mention a customs interpretation which deprives the freely associated states of a duty-free tuna import preference they thought they had under the Compact of Free Association. We are currently examining legislative history and congressional intent to determine how best to restore this benefit. o Haglelgam may raise the FSM's request for logistical support for the July 1991 meeting of the South Pacific Forum the FSM is hosting, including communications, medical support, and a Navy ship to berth and feed 200 to 300 reporters. Forward deployment needs in the Persian Gulf make it unlikely we can oblige them with a ship. We are currently suggesting a cruise ship. CONF IDENTIAL CONFIDENTIAL TALKING POINTS We welcome you to Washington. Your visit is an opportunity to reaffirm our special relationship in free association. I am very pleased with the operation of the Compact and trust you are as well. I asked Aurelia Brazeal to be the first Ambassador to the FSM because she is a talented, innovative foreign service officer knowledgeable in the Pacific region. I hope you are enjoying working with her as much as she is enjoying her new tour. As you know, we initiated discussions with the Soviets in February of this year seeking their agreement not to oppose a resolution in the Security Council to endorse politically the termination of the Trusteeship Agreement as it applies to the FSM, the Marshall Islands, and the Commonwealth of the Northern Marianas. We took the opportunity of my meeting with you and other leaders of the Pacific to raise the issue with Shevardnadze and he replied favorably to Secretary Baker. We have since discussed a draft resolution with the Soviets which we hope to present to the Security Council in the near future. (If Raised) We will explore with you the question of your membership in the United Nations once we have resolved the issue of partial termination of the Trusteeship Agreement. (If Raised) The U.S. chemical weapons left Germany on September 22 enroute to Johnston Atoll and arrived there safely on November 6, after a 45-day transit around Cape Horn. Offloading of the CW commenced almost immediately and was completed without incident on November 18. (If Raised) Regarding your duty-free preference in tuna imports, we are currently reexamining the legislative history and congressional intent to determine how best to assure that you receive this benefit. (If Raised) We regret that the situation in the Persian Gulf makes it difficult to commit a Navy ship to you for the July 1991 meeting of the South Pacific Forum. As you can understand, resolution of this issue must be my top international priority. We share your desire that the Forum meeting be a success. We understand you are considering hiring a cruise ship and charging the reporters reasonable sums for cabin and food. CONFIDENTIAL DECL:OADR DECLASSIFIED PER DOS WAIVER, November 6, 2015 By SS NARA, Date 10/23/24 Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 08a. Memo From Brent Scowcroft Re: Meeting with Vice President 11/27/90 (b)(1) S Ricardo Arias Caderon of Panama (2 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information I(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile POINTS TO BE MADE FOR MEETING WITH PRESIDENT CALDERON -- We have admired your political courage, first in fighting to reestablish democracy in Panama, and now in taking on the tough job of restructuring the public security forces. -- You have been instrumental in transforming the discredited and corrupt PDF into a law enforcement body that is responsive to civilian authority. -- I understand that our joint patrols are to end soon, which is an indicator of the improving security situation. -- Of course, the Canal is at the centerpiece of our relations. It was an historic moment when I was able to receive Gilberto Guardia here last month, the first Panamanian to head the Panama Canal. -- We need your political leadership, Mr. Vice President, to make common cause with us in obtaining a Mutual Legal Assistance Agreement as quickly as possible. -- I know this is a difficult issue because of the publicity about alleged U.S. "pressure" on Panama and because of misinformation about the agreement. But it is in our mutual interest to get this behind us so we can improve our cooperation on anti-narcotics and avoid any adverse impact on our economic aid. DECLASSIFIED PER NSC WAIVER, 1500 2021-02 By 55 NARA, Date 10/23/24 CONFIDENTIAL Declassify on: OADR PARTICIPANTS U.S. The President The Vice President John H. Sununu, Chief of Staff Brent Scowcroft, Assistant to the President for National Security Affairs Robert M. Gates, Affairs Assistant to the President and Deputy for National Security Carnes Lord, National Security Adviser to the Vice President William T. Pryce, Senior Director, Latin American and Caribbean Affairs, NSC Michael Kozak, Deputy Assistant Secretary of State for Inter-American Affairs Panama Ricardo Arias Calderon, Vice President Eduardo Vallarino, Ambassador to the U.S. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 08c. Report Government Report (1 pp.) 03/19/[90] (b)(1) S Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such'advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes I(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. tbbl oil notes White House News Summary Tuesday November 27 1990 B-5 COCHRAN continues: (PORFIRIO MUNOZ LEDO, Mexican senator: "We have the:sensation the from My 8AM Mexius MEXES us feeling, that we are governed by foreign people. It's true.") Mexico is troubled by political violance as well as economic hard times. Opponents of President Salinas say he should be spending more time on social and political problems than in trying to get a free trade agreement with his friend George Bush. Import at Buppuss Mex (JORGE CASTANEDA, Mexican writer: "I have the impression that President Salinaseis in a big, big rush to get his agreement very quickly because he needs the money very badly.") President Bush also wants to lift trade barriers, but the U.S. Congress, worried about American jobs, may not be 50 eager to make it easier for Mexicans to sell north of the border. (TV coverage: President putting on sombrero.) Mexico could win votes in Congress for a trade agreement if it would permit Americans to invest in oil exploration but that is political dynamite here. Mexicans have an almost religious belief CARLA that oil is special off-limits to foreigners. George Bush would dearly love to win American access to Mexican oilfields, but 50 far President Salinas has shown no willingness to commit what could be JENNINGS: President Bush is in Mexico Int Monda discussing Princep the state Boichng political suicide. (NBC-3) of the world with President Salinas. (TV coverage: President and First Lady tanding with the Salinas family.) GATT One of the more immediate questions: whether to open the border to free trade. There is already a program in place that allows U.S. companies to use low-cost Mexican labor without paying duty on the products they manufacture. Mexican factory workers make an average of one tenth as much as workers in the U.S. BushPresidential Library 1 Photocopy, ABC's JOHN QUINONES reports from Mexico on the use of Mexican labor by U.S. companies. While these Mexicans near the American border have jobs, they still live in squalid squatter camps. Some want American companies to share more of their profits with their Mexican workers. (ABC-3) RATHER: For his part, President Bush shifted scenes and attention [from the Gulf] to Mexico Monday. what car /Labon (TV coverage: President and First Lady standing with Salinas family. weds Mr. Bush opened two days of talks there with Mexico's President Salinas. Main subject: progress toward a landmark U. S. Mexico free-trade agreement. Photo opportunities aside there are serious obstacles to free trade on both sides of the border. Congress (TV coverage: President trying on sombrero.) Among them, Mexico's refusal to allow U.S. investment in its oil industry and fears in the U.S. that free trade will mean more U.S. jobs lost to lower-paid workers in Mexico. (CBS-Z) BULGARIA down lead JENNINGS reports 500, 000 Bulgarians are striking to demand that their prime minister quit. They blame the socialist government for growing shortages of food and consumer goods Bush Library Photocopy (ABC-8) George Bush Handwriting -8JOW- White House News Summary Tuesday, November 27, 1990 -- B-6 MCA-MATSUSHITA' BUYOUT ABC's BOB JAMIESON reports the Japanese company Matsushita is paying more than $6 billion for MCA. It is the highest price ever paid by a Japanese company for an American corporation. Analysts say Hollywood has little to fear. (HAROLD VOGEL, Merrill Lynch media analyst: "It will be a gradual change and the immediate impact of these new managements on American movie-making and television programming will be fairly minimal." Matsushita's president insisted that creative decisions will still be made in Hollywood, not Japan, but more and more of the profits will now end up in Japan. (ABC-2, NBC-2, CBS-3) POLISH ELECTIONS JENNINGS reports Prime Minister Mazowiecki has resigned after finishing third in balloting to a political unknown. ABC's JOHN DONVAN reports on Stanislaw Tyminski's second-place finish in Poland. While he has no political experience and has no specific program, Poles like the fact that Tyminski has made lot of money outside Poland. Lech Walesa told reporters he might withdraw from the run-off rather than face an opponent he does not consider a serious man. In typical fashion, Walesa immediately reversed himself and is back in the race, which he's expected to win. (ABC-7, NBC-4, CBS-8) SOUTH AFRICA NBC's ROBIN LLOYD reports from South Africa that many blacks dropped out of the school system to protest inferior schools for Bush Presidential Library Photocopy blacks. Many believe liberation must come before education. This struggle has left millions of young blacks undereducated and unemployed. Many black leaders are worrying about the younger generation and are realizing the cost of having placed the children on the front lines in the fight against apartheid for 50 many years. (NBC-11) RURAL HEALTH CARE ABC's GEORGE STRAIT reports nurse practitioners are filling the void left by a dwindling number of rural doctors. Doctors want strict controls on what the nurse practitioners can and cannot do. In the new federal budget, Medicaid has been authorized to pay for the services in the same direct way that physicians are paid, although at a lower rate. (ABC-9) DENVER FIRE JENNINGS reports a fire still burns out of control at Denver's Stapleton Airport. Officials say the fire will burn for days. Air traffic in and out of the airport is now back to normal. ABC-5, NBC-8, CBS-6) WASHINGTON FLOODS JENNINGS reports flood waters have begun to recede after more than 3,000 people were forced from their homes. (ABC-6, NBC-7, CBS-5) -End of News Summary- 3'899 back) VISA'S wetter. 0 Dad 74 one DEMARE into Carlos George Bush Handwriting Bush Library Photocopy Bush Presidential Library Photocopy VEHICS prevert TO 113 COLIQUE Enengage not 10 LOFTER ECECUTIONS LESS USM esq no TO ABOUT 4.000 ИВС-3 CER-21 po usgo IN HOSTAROOD not Tabou' prty WOLT aug MOLD 71 que DUDLIER understand a THOTREST (print CLESSING questions "TII GATTS ATDTNOT you was MITI CARD cyends was THE Telephone of years den ou CHARGED ACCOR rauce HOSTS .00 Susaproj 401 USO 174119 40 your Date pt 0 (CL THE DEAZUB WOLD #WRU se PRITTON can NOV 14 propost 208 BOADAL FUTUR transmith once exam I book soward with WASHINGTON great anticipate as a official Filigation of I have ashed our 30 year THE WHITE HOUSE old single daughter Dorothy to my visit to accoupay we She to single FROM THE PRESIDENT and She is are only daughter She certainly will require us special annergents DATE: To: she world at / she cinantly worls at Wash's Nat Bush Presidential|Library Presidential Library Photocopy Bush Library Photocopy George Bush Handwriting Dear President Alwyn, Dear President Menem Dear Pres Lacalle Dear President Collor Dear President Perez I am really looking forward to next week's visit to There is much to talk about UNfortunately Mrs bush, now back on-anti biotics after a grueling of trave will November qual not be bale to make the trip Though she has nothing seriously wrong weith her, her doctor has advised that she hould not trousl with m forego the trip. She is sick about htis, sicne she and I have both been looking forward ot her seeing your lovely country (again for Venezuela, Brazil, Argentina) Inasmuch Bush Presidential Library Photocopy From the desk of George Bush General Scoweroft has a copy - P. Dear President Alwyn, Dear President Menem Dear President Lacalle Dear President Collor Dear PresidentPerez I am really looking forward to next week's visit to . There is much to talk about. Regrettably, Mrs. Bush, after a grueling November of travel, will not be able to make the trip. Though she has nothing seriously wrong, her doctor has advised that she should not travel with me. She is saddened about this decision, since she and I have both been looking forward to her seeing your lovely country. ( (again for Venezuela, Brazil, Argentina)) as assest I have asked our 30 year old daughter, Dorothy, to accompany me as a member of our official delegation. She is our only daughter. She certainly will require no special arrangements. She works at the National Rehabilitation Hospital in Washington, D.C. Once again, I look forward with great anticipation to my visit. Most sincerely, George Bush --) Dear President Alwyn, Dear President Menem Dear President Lacalle Dear President Collor Dear PresidentPerez I am really looking forward to next week's visit to . There is much to talk about. Regrettably, Mrs. Bush, after a grueling November of travel, will not be able to make the trip. Though she has nothing seriously wrong, her doctor has advised that she should not travel with me. She is saddened about this decision, since she and I have both been looking forward to her seeing your lovely country. ( (again for Venezuela, Brazil, Argentina)) I have asked our 30 year old daughter, Dorothy, to accompany me as a member of our official delegation. She is our only daughter. She certainly will require no special arrangements. She works at the National Rehabilitation Hospital in Washington, D.C. Once again, I look forward with great anticipation to my visit. Most sincerely, George Bush THE WHITE HOUSE WASHINGTON NOVEMBER 25, 1990 MEMORANDUM FOR BRUCE CAUGHMAN FROM: JAY PARMER PRESIDENTIAL ADVANCE OFFICE SUBJECT: Guests traveling on the President's Trip to Mexico, November 26-27, 1990 The following persons will travel aboard Air Force One as guests of the President during November 26-27, 1990. All Guests willl travel round trip. Additionally, Several guests will travel aboard the back up aircraft. Legs traveled by each of these guests are as indicated. Andrews AFB to Monterrey, Mexico Secretary Nicholas Brady Attorney General Richard Thornburgh Secretary Robert Mosbacher Ambassador Carla Hills - U. S. Trade Representative Lawrence Eagleburger - Deputy Secretary of State Robert Zoellick - Counselor, Department of State Bernard Aronson - Assistant Secretary of State for Inter-American Affairs Joseph Verner Reed - U.S Chief of Protecol BACK UP AIRCRAFT #27000 David Mulford - Under Secretary of the Treasury for International Affairs (To Monterrey Only) Charles E. Roh, Jr. - Assistant U.S. Trade Representative for North America (Round Trip) Millie Leatherman - Personal Assistant to the Deputy Secretary of State (Round Trip) Carol Hallet - Commissioner, U.S. Customs Service (Monterrey to Andrews Only) Wayne Berman - Counselor to the Secretary of Commerce (Monterrey to Andrews Only) Jeannie Bull - Chief of Presidential and Vice Presidential Support, Department of State (Round Trip) JOESPH AMBASSADOR VERNER REED - U.S. CHIEF OF PROTOCOL Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09a. Diagram VC137C-27000 Passenger Seating Arrangement, Andrews 11/26/90 (b)(7)(e) AFB to Monterrey, Mexico (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act [44 U.S.C. 2204(a)] Freedom of Information Act 15 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRAJ (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA) financial information [(a)(4) of the PRAJ (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09b. Diagram VC137C-27000 Passenger Seating Arrangement, Monterrey, 11/27/90 (b)(7)(e) Mexico to Andrews AFB (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act- - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRAJ agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09c. Diagram Seating Diagram of VH-3D, South Lawn to Andrews AFB 11/26/90 (b)(7)(e) (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09d. Diagram Seating Diagram of VH-3D, Monterrey, Mexico to 11/26/90 (b)(7)(e) Agualeguas, Mexico (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA) financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09e. Diagram Seating Diagram of VH-3D, Agualeguas, Mexico to 11/26/90 (b)(7)(e) Monterrey, Mexico (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA) (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM. Removed as a personal record misfile. Withdrawal/Redaction Sheet (George Bush Library) Document No. Subject/Title of Document Date Restriction Class. and Type 09f. Diagram Seating Diagram of VH-3D, Andrews AFB to South Lawn 11/27/90 (b)(7)(e) (1 pp.) Collection: Record Group: Bush Presidential Records Office: Office of the President Series: Daily Files Subseries: WHORM Cat.: File Location: Tuesday, November 27, 1990 Date Closed: 1/27/2011 OA/ID Number: 90571-001 FOIA/SYS Case #: 2009-0166-S Appeal Case #: Re-review Case #: Appeal Disposition: P-2/P-5 Review Case #: Disposition Date: AR Case #: MR Case #: AR Disposition: MR Disposition: AR Disposition Date: MR Disposition Date: RESTRICTION CODES Presidential Records Act - [44 U.S.C. 2204(a)] Freedom of Information Act - [5 U.S.C. 552(b)] P-1 National Security Classified Information [(a)(1) of the PRA] (b)(1) National security classified information [(b)(1) of the FOIA] P-2 Relating to the appointment to Federal office [(a)(2) of the PRA] (b)(2) Release would disclose internal personnel rules and practices of an P-3 Release would violate a Federal statute [(a)(3) of the PRA] agency [(b)(2) of the FOIA] P-4 Release would disclose trade secrets or confidential commercial or (b)(3) Release would violate a Federal statute [(b)(3) of the FOIA] financial information [(a)(4) of the PRA] (b)(4) Release would disclose trade secrets or confidential or financial P-5 Release would disclose confidential advice between the President information [(b)(4) of the FOIA] and his advisors, or between such advisors [a)(5) of the PRA] (b)(6) Release would constitute a clearly unwarranted invasion of P-6 Release would constitute a clearly unwarranted invasion of personal privacy [(b)(6) of the FOIA] personal privacy [(a)(6) of the PRA] (b)(7) Release would disclose information compiled for law enforcement purposes [(b)(7) of the FOIA] C. Closed in accordance with restrictions contained in donor's deed of (b)(8) Release would disclose information concerning the regulation of gift. financial institutions [(b)(8) of the FOIA] (b)(9) Release would disclose geological or geophysical information PRM Removed as a personal record misfile. POOL REPORT A -- MRS. BUSH November 27, 1990 Mrs. Bush Celebrates Education Barbara Bush spent the morning celebrating Mexico's education system from pre-schoolers tapping sticks to Celito Lindo to an 80-year-old man learning better ways to grow spinach. Shepherded by Cecilia Salinas and accompanied by Cristina Trevino, wife of Nuevo Leon's governor (John), Alma Rizzo, wife of Monterrey mayor (Socrates), Diana Negroponte, wife of U.S. ambassador (John), and Nicki Bennett, wife of U.S. consul in Monterrey (John), the most popular Bush visited a federal DIF program (Desarolla Integral de la Familia or National System for the Family Integral Development), a teachers' training school (Miguel F. Martinez Normal school) and the laboratory school the teachers practice in (Professor Oziel Hinojosa Garcia Primary school). She then was to go on to the State Central Library but your pool did not accompany her on that mission. Mrs. Bush wore a slate blue suit, with thin horizontal white stripes, and a matching silk blouse with the V-neck collarless jacket. She wore gray shoes and carried a small shoulder strap purse with a snakeskin design which appeared to be simulated. Also simulated, of course, were The Pearls and earrings. Mrs. Salinas wore a teal-colored dress trimmed in black with the top appearing to have a surplice of the same design over it, and black shoes. The DIF center, one of a network throughout Mexico under the patronage of Mrs. Salinas, includes five separate programs: adult education, handiccraft training to make items at home for sale, a personal betterment program in "social and civic values" for young women, a kitchen where volunteers prepare food for the elderly, and a garden maintained by elderly DIF clients. In order, the large party of women swept from one to another site: * The adult center had 27 youngish looking adults who stood when the guests entered. Mrs. Bush visited the three tables and watched what they were doing, often leaning close and saying "Very good" or "Wonderful." As she departed, Mrs. Bush waved and said, "Adios. Gracias." * The earn-money-at-home program had some beautiful table linens -- placemats, doilies, tablecloths, etc. -- on display and Mrs. Bush leaned close to inspect the women's crocheting demonstration. "They're beautiful work,' she said. "Oh, they're cocktail napkins." She looked at home-made Christmas decorations displayed on a big tree in the corner and marveled at artificial flowers, roses and geraniums. "I saw those in the governor's palace. They weren't real?" she asked Mrs. Salinas. "I thought they were real." Assured they were fake, Mrs. Bush moved on to a display of dolls, Christmas cards and tree skirts. She held up a Mrs. Santa doll for the Photo Dogs and asked, "Where are they selling them?" "We have a special store, a bazaar, was the reply. Her departing words: "Well, they are artists. They're very saleable." * The third group, which appeared to be volunteers who teach the values classes, stood and applauded the Bush-Salinas party. As she left, one of the women said something in Spanish and Mrs. Bush told her escorts, "That's so sweet. They said they love me." * Food preparation was working on cookies when the visitors arrived. Mrs. Bush oohed and aahed and shook hands with one of the elderly volunteer cooks. In the separate dining room, she talked with elderly women holding tiny flags of Mexico and the U.S. and discussed with them the menu which was spaghetti bolognese, green soup and something called agua de Jamaica. - more - - 2 - * At the vegetable garden, one of the seven men lined up there energetically declaimed to Mrs. Bush loudly and longly but appeared only to be explaining he was 80 years old. Mrs. Bush applauded him and said, "It's so nice, he's 80." She accepted a basket laden with spinach and garnished with what appeared to be dillweed. At that point, Mrs. Bush was being escorted to the finale musical concert and heard the distant strains of Deep in the Heart of Texas. "Oh! Oh! There's my song. They're playing my song," she said. By the time we reached the open-air concert area about 100 kids in a string and recorder band were playing her other "favorite song," the Yellow Rose of Texas. At a moment when the music lulled, some little boys yelled in unison "Arriba! Up with Miss Bush." "Please thank the children for playing my songs," she said to her guide. She then accepted a gift basket of needlework presented to her by Jesus Eduardo Gonzalez Jiminez, 9, one of six children living in central Monterrey with his mother who is a nurse and father who works in a lamp factory. He wore black slacks and a black sweater with a red tie. Jesus knew he had seen Mrs. Bush on TV but nervously said he wasn't sure who she was. When told she was the wife of the president, he backed up a step and looked a bit bewildered. Mrs. Bush shook his hand and patted a shoulder, asking his age. "Nueve," he replied. "Big boy," she said. Carmen Mariana Valadez, 10, wearing the school uniform plaid skirt, gave a similar gift to Mrs. Salinas. The children's program brings 700 poor kids in 15 hours a week at 30 centers locally, encourages music and other cultural things. Both Jesus and Carmen sing in the chorus and Jesus plays a flute. Mrs. Bush went to stop two in a presidential-size motorcade across town with a swarm of motorcycle escorts that surely was the peak of motorcadism for someone who likes to travel low-key. Among the vehicles blocked to the side for it to pass was a green wagon pulled by a donkey in a poorer section of town filled with tiny houses built of concrete block. Mrs. Bush's visit to the teachers' school was a cacophony of music that started loud and escalated. Several hundred kids in a courtyard serenaded her with Celito Lindo and waved American and Mexican flags. "This is a music fair," your pool heard as she went into a nearby classroom where kids gave a recital on recorders. She waved both hands in time. As the kids got tinier and tinier the music got louder and louder. She walked back into the school square as the kids hit their peak on "America the Beautiful.' A nice moment. They applauded her and she reciprocated, then made a grand tour around the square to shake hands, kiss and chat. She waved both hands as if directing the music, clapped in time, and often held her hands up and wiggled all 10 fingers at the kids. A football- style card group was flashing the American and Mexican flags and alternating a huge "Benvenidos" from one end of the square. She accepted a heart-shaped arrangement of pecans with her photo at the center and kissed several gift bearers. She then watched a five-minute movie with English narration describing improvements in Mexican education. hen to a class of 20 kids with computers, working on geography, Spanish, and math lessons. Her escort at the school was Luis Eugenio Todd, undersecretary of the federal education system, who was sent for the chore because he is from Nuevo Leon. "This is the best teacher training school probably in the country," Mrs. Negroponte said. On her last stop, Mrs. Bush joined in playing a tambourine-like instrument with a traditional Mexican band. Frank Murray, The Washington Times # # # POOL REPORT # 4 NOVEMBER 27, 1990 MEXICAN-AMERICAN BUSINESS BREAKFAST BUSH-SALINAS ONE-ON-ONE AND BILATERAL Bush and Salinas met over breakfast with Mexican and American business leaders, plus US and Mexican cabinet and cabinet-level officers. (See your mini-sked for names of attendees and seating arrangement.) This was 'at. the Crowne Plaza. Your pool was ushered in for a photo op at the start. A question re the Gulf resolution was shouted to Bush. "This is a photo op at which I do not take questions, unless the president of Mexico tells me to," Bush replied, to laughter around the table. Salinas said nothing. Your pool was ushered out. Then Bush departed at 9:30 (5 minutes behind schedule) for his one-on-one and expanded bilateral. The only explanation for the lateness was that the breakfast ran long (it looked like an Eagles gathering) and Bush had to return to his room before getting into the limo. Uneventful motorcade (but then, Bush was always around the next corner, so we never saw his limo). At the Museo de Historia de Nuevo Leon, the photo op was in the Salon of the 19th Century. The two presidents were posing rather stiffly in carved wooden high-back chairs; no chit-chat between them. Another shouted question re Gulf, again Bush replied that this was a photo op. Salinas smiled, said nothing. After an estimated 15 minutes alone, the two presidents joined their cabinet officials in an adjacent room around a rectangular table. At the top of the session, Eagleburger and Education Minister Manuel Bartlett signed an agreement establishing the US- Mexico Commission for Education and Cultural Exchange. There is supposed to be paper on this. When the talks ended, the two presidents strolled to the railing on the second floor overlooking the small museum's courtyard and posed briefly for photographers. Then another (presumably) uneventful motorcade to the Teatro de la Ciudad. Ben Shore Copley News Service POOL REPORT # 5 November 27, 1990 The Theater and the Casino No news. You heard the words. Event 1 was Bush's speech at Teatro de la Ciudad, a modern theater along the Grand Plaza. The stage included an elongated, oval desk, two lecterns, lovely yellow mums in big clay pots in front of the lecterns and large U.S. and Mexican flags hanging in the back. Motorcade from the theater to the casino was uneventful, save for the Indianapolis 500-style turns at the end of the plaza. Event 2 was Bush's brief speech to a group of business types. This was held in the Casino Monterrey, described in one of the brochures as the social center of the city. The event was held in a room about the size of the White House East Room. It had pale yellow walls, curtains covering the large windows and a balcony. Bush stood on a stage below the balcony. Also on stage with him were Carla Hills and Bob Mosbacher. Crowd estimates of the virtually all-male audience vary from several hundred to 1.25 million. Your pool urges that you go with the more conservative estimate. Motorcade from the casino to the Governor's Plaza was uneventful. Now how about a pool report on those cabinet briefings. --Dan Balz. Washington Post. White House News Summary Tuesday, November 27, 1990 2:30 P.M. MEXICO/3:30 P.M. EST UPDATE SADDAM/HOSTAGES (Baghdad/Reuter) -- Saddam Hussein said an undisclosed number of Americans would be allowed to leave the country with visiting Muhammad Ali. Saddam, on Baghdad television, said: "We will not let Haji Muhammad Ali return without taking with him a number of Americans who would be allowed to leave." GULF RESOLUTION (Moscow/Reuter) -- The USSR will support a U.N. Gulf force resolution if Baghdad fails to abide by a deadline for withdrawing from Kuwait, President Gorbachev's spokesman Ignatenko said. "With respect to that resolution, our country will vote for language that will envisage a clear-cut deadline for withdrawal from Kuwait and liberation of hostages," he told a news briefing. "Otherwise, appropriate measures will be used." (Moscow/Reuter) -- President Gorbachev said Tuesday Iraq has no choice but to withdraw from Kuwait and could not evade action undertaken by the world community. He told reporters he had made the Kremlin's tough stance clear in acrimonious talks Monday with Iraqi Foreign Minister Aziz Gorbachev described his meeting with Aziz as "a difficult talk, sometimes downright tough." He told Aziz the Soviet Union would not alter its view that Iraq's annexation of Kuwait was unacceptable "Yesterday I told them again: You keep this in mind, we will not retreat here. This is a matter of principle for us," Gorbachev said. (Saudi Arabia/Reuter) -- Air Force personnel just arriving from the U.S. generally agreed that the drive to give Iraq a Jan. deadline to leave Kuwait or face attack has come at the right time. KUWAITIS/TORTURE (U.N./AP) -- Iraqi soldiers in Kuwait have killed children in front of their parents and tortured prisoners with electric shocks and by beating the soles of their feet, Kuwait's government-in-exile said today "Individual and mass arrests are unabated brutal torture of Kuwaitis continues in Kuwait itself" and in Iraqi prisons, U.N. Ambassador Abulhassan said. IRAQI TROOPS (Reuter) -- Iraq has increased its troop strength in occupied Kuwait and southern Iraq by 20,000 to 450,000, but the move does not appear to be part of a major buildup announced by Baghdad last week, the Pentagon said. SOVIET WINTER (Geneva/AP) -- The Soviet Union and E. Europe are likely to face the hardest winter since World War II as recession continues to deepen, U.N. economists said. KEATING FIVE/GRAY (AP) -- Former banking regulator Edwin Gray said today that Sen. DeConcini offered a deal in a 1987 meeting to have a disputed regulation withdrawn on behalf of Lincoln S&L Gray said DeConcini said that, in return, Lincoln would be willing to make more home mortgage loans Gray said he told the senators at the meeting he would not do that He said DeConcini "was the least passive" of the four senators in the meeting "I considered it to be improper," Gray said. NORTH (AP) -- A federal appeals court today refused to reconsider its decision setting aside Oliver North's Iran-contra convictions. ###