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Originally Processed With FOIA(s): FOIA Number: 2009-0275-S 2009-0275-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: Scowcroft, Brent, Collection Series: Media Articles Files Subseries: OA/ID Number: 85041 Folder ID Number: 85041-003 Folder Title: July 1989 Stack: Row: Section: Shelf: Position: V 0 O O O July 1989 The Washington Post The New York Times A.8 The Washington Times Bush Policy Makers Reach Uneasy The Wall Street Journal The Christian Science Monitor New York Daily News Balance on an Approach to the Soviets USA Today The Chicago Tribune Date July 1989 By THOMAS L. FRIEDMAN only to our values but our interests," Informal Conversations Special to The New York Times Mr. Gates said in an interview after the A State Department official com- WASHINGTON, July 1 - Midway trip to Moscow - a place he had never mented, "So much of our policy toward through the meeting in May between visited before and seen mainly through the Soviet Union is produced willy-nilly Mikhail S. Gorbachev and Secretary of satellite photographs taken by the in informal telephone conversations State James A. Baker 3d, the Soviet C.I.A. "But we have to carry out our and meetings" by the President, Mr. leader suddenly glanced across a policy, as the President and Secretary Baker, Secretary of Defense Dick gilded Kremlin chamber to Robert M. Baker have done so skillfully, with our Cheney, Mr. Scowcroft, Mr. Gates and Gates, the deputy national security ad- eyes wide open." Adm. William J. Crowe Jr., the chair- viser. Smiling, but with a steely edge in "We've heard a lot of promises from man of the Joint Chiefs of Staff. With his voice, Mr. Gorbachev said he had Gorbachev," Mr. Gates said. "We be- each principal backed up by a tiny heard that the Bush White House had a lieve the delivery is coming. But struc- group of aides doing the paper work in special unit assigned to discredit him. tural change has not yet really taken isolation from their bureaucracies, the He also said he had heard who was in place in the Soviet Union. As long as the small informal channel shaped the charge of that unit: Mr. Gates. Soviets have the kind of military forces NATO arms-control proposals, as the As Mr. Gates and the other Amer- and doctrines they have, then it seems President passed a long weekend at icans sat in stunned silence, a partici- to me that the President has a respon- Kennebunkport, Me. pant recounted, Mr. Gorbachev went siblity, and those advising him have a This form of decision-making on im- on to say that Moscow and Washington responsibility, to ensure that the poli- portant matters involving the Soviet must try to work together for a new cies are bold enough to be responsive to Union "is not going to be an exception," relationship. Then, Mr. Gorbachev change that is under way in the Soviet one senior official said. "It's going to added, Mr. Gates would be out of a job. Union, but are not so bold or imagina- be the rule." "Let's just say he was familiar with tive to be irresponsible." This informal channel is possible be- my views," said Mr. Gates, offering no Mr. Gates and his boss, Brent Scow- cause of the high degree of personal other comment when asked for his croft, the national security adviser, and ideological collegiality among the reaction to the encounter. give the President his daily foreign Bush Administration's policy makers policy briefing. The views of Mr. Gates Gorbachev's Clear Message - thus far. The attitude is in marked provide a barometer of the mood inside contrast to the Reagan Administration, But the Soviet leader's message the unusual, two-tier policy making where the feud between Defense Secre- seemed clear enough to Administra- system that has developed in the Bush tary Caspar W. Weinberger and Secre- tion officials: Mr. Gorbachev was tell- Administration's early months. tary of State George P. Shultz divided ing the Bush team that the don't-trust- The less powerful but more highly or- the bureaucracy at all levels. the Soviets theme laid out in speeches ganized part of the apparatus for shap- There are, of course, the usual bu- by Mr. Gates, the former Deputy Di- ing East-West policy is called the reaucratic turf wars on any given rector of the Central Intelligence Agen- Deputies Committee. Its responsibility issue, officials say, but they tend to get cy, was outdated. And in pointing to Mr. is the nuts and bolts of policy making - worked out. It helps that Mr. Baker and Gates, Mr. Gorbachev picked a man the development of specific initiatives, who seemed to embody the conflicting Mr. Cheney are spending their summer from arms control to trade matters, vacation together and that Mr. Scow- urges of the Administration's Soviet vis-à-vis the Soviet Union. Mr. Gates is croft and the President share both old policy. its chairman, and it is usually made up friendships and gut perspectives. On the one hand, the Bush team of Under Secretary of State Robert M. The same is true of their lieutenants, wants to avoid what it sees as an overly Kimmitt, Under Secretary of State including Mr. Kimmitt; Mr. Gates; Mr. trusting attitude toward the Soviets in Reginald Bartholomew, Under Secre- Wolfowitz; Dennis B. Ross, Mr. the last stages of the Reagan Presiden- tary of Defense Paul Wolfowitz; Baker's policy planning director, and cy. But even the hard-liners know that Deputy Director Richard J. Kerr of the Robert B. Zoellick, Mr. Baker's counse- to misread Mr. Gorbachev could be to C.I.A. and a representative from the lor, as well as Robert Blackwill and squander a diplomatic opportunity and Joint Chiefs of Staff. Condoleezza Rice, the two Soviet ex- damage Mr. Bush's international It is in the Deputies Committee that perts at the National Security Council. standing - indeed, his standing in his- the policy options produced by the vari- They have all worked together for tory. ous bureaucracies are thrashed out years and in many cases are friends. Since the May encounter, the Bush and winnowed down to a few specific team has found a new equilibrium in its choices and sharpened for presentation 'Floating Ideas Back and Forth' view of the Soviet Union. It is an uneasy to the President for a decision. An ex- balance between an instinctive skepti- ample is the verification proposals in- "Most of the policy preparation for cism about Mr. Gorbachev's ultimate troduced by the Administration at the the President's Eastern European trip prospects for success and a political Geneva strategic arms talks. is being done informally, over the and geopolitical interest in taking im- It was the same body, though, that phone, between people like Ross and mediate advantage of the new Gorba- failed to extract from the bureaucracy Rice, Gates and Wolfowitz, floating chev policies. It is a balance that no one the sort of bold proposals that the ideas back and forth," an official said. better personifies than Mr. Gates. President offered for the NATO sum- "When it's ready their bosses will sort Favorable Implications mit. That is why there is a second chan- it out with the President." "We want to see perestroika suc- nel for policy-making. ceed, because the success of those re- forms would have implications for the CONTINUED Soviet Union that are favorable not Page 19. 2. The two tiers of policy makers were President Jimmy Carter, by tempo- affected by the combination of Mr. Gor- bachev's conventional arms control rarily serving on his National Security Council staff, as well as Mr. Casey. His proposals, presented to Mr. Baker in ambition to succeed Mr. Casey as head Moscow, and the enormous criticism of the C.I.A. was thwarted after Presi- heaped on the White House for being dent Reagan withdrew his nomination left behind by the Soviet leader. Both in the face of widespread opposition in sides had "to stop looking over their the Senate because of the C.I.A.'s in- shoulder at Reagan and start focusing volvement in the Iran-Contra affair on Gorbachev and what he was really while Mr. Gates was Deputy Director. saying," an Administration Soviet af- Mr. Gates acknowledged that his fairs expert said. new assessment of the opportunities While the President has since laid presented by Mr. Gorbachev has been out a vision for East-West relations also influenced by the fact that he is no that he has called "beyond contain- longer dealing with the Soviet Union ment," the Bush team's policy, judging purely through the prism of intelli- from Mr. Gates, would be better called gence satellites. He is now a diplomat- "beyond skepticism." For now, what policy maker. Asked on his second day these policy makers seem to have done in Moscow how he felt, he grinned and is overcome enough of their own skep- said, "It's interesting at last to see the ticism about Mr. Gorbachev to deal Soviet Union from ground level." with him on a broad range of issues. In describing Moscow, he observed, But where that will ultimately lead is "It was not very different from what I still anyone's guess. expected: the condition of the build- "I could give you a lot of flowery ings, the massive apartment struc- rhetoric about a peaceful future and a tures, the lines of people at the stores." democratic system in the Soviet Union "The only thing that struck me was that would be a contributor to world that Red Square and Lenin's tomb stability and so on and so forth," Mr. were smaller than I imagined," added Gates said. Mr. Gates, who had for so many years "But, when it comes to international pored over pictures of Soviet leaders relations, and particularly when it reviewing military parades. comes to dealing with the Soviet Union, A Spot of 'Gorby Fever'? I am not a dreamer," he said. "I deal in reality. The dangers in the world come While he will not admit it - in fact, when people detach themselves from he denies it - Mr. Gates seems to have reality and make false assumptions caught just a spot of "Gorby fever" in about what is going on in the world. Moscow, which may also account for You have to remain grounded in reality the subtle but important shift in tone of but open to opportunity, and I think his analysis of Soviet-American rela- that what Gorbachev has presented the tions. West and the United States are some "The thing that impressed me the opportunities. We should pursue those, most about Gorbachev is his energy," and I will leave it to those on the out- Mr. Gates said. "The vitality and sort side to be the dreamers." of contained energy and the tremen- dous self-confidence. The guy just The 45-year-old Mr. Gates is a native exudes the fact that he is in charge, of Kansas who earned a doctorate at that he knows what he is doing, is well Georgetown University with a thesis informed and seems up to the chal- about Soviet experts on China. He lenge of whatever comes along." joined the C.I.A. in 1966 as a Soviet af- fairs analyst and eventually became national intelligence officer for the Soviet Union. Later, he was promoted over the heads of more senior C.I.A. of- ficials by William Casey to become his Deputy Director. Besides being a Kremlinologist, Mr. Gates has a repu- tation for being a shrewd, effective bu- reaucratic operator, particularly skilled as a manager and a quick- footed survivor. He has served such diverse bosses as 20. -25- He said he would urge the World BUSH, IN WARSAW, Bank to move ahead with $325 million leader, had peppered the President in new loans, ask the Western allies to with questions about the economic pro- support a rescheduling of debts that posals this morning, an early sign of UNVEILS PROPOSAL could amount to $5 billion this year and his dissatisfaction. propose to Congress a $100 million fund Tonight, in an interview with Cable "to capitalize and invigorate the Polish News Network, Gen. Bren't Scowcroft FOR AID TO POLAND private sector.' [Excerpts, page A8.} the national security adviser, conceded Poles Say Package Falls Short that the $100 million in direct aid was largely "symbolic of our support for The President's program fell far what it is the Poles are trying to do.' short of the $10 billion, three-year infu- But he argued that debt restructuring HOSTS ARE DISAPPOINTED sion of foreign aid that Solidarity has and new World Bank loans were sub asked for. Lech Walesa, the Solidarity stantive proposals which, if adopted leader, whom Mr. Bush will meet Tues- "will make a difference" here. day in the Baltic port of Gdansk, said in 6-Point Plan Falls Far Short "I think the practical impact is as a telephone. interview that it did not much political and psychological as it provide the sort of "shock treatment" of Wishes, but Americans is substantive," he said. the country needs. On the first full day of his Europear. After describing today's events as Cite 'Symbolic' Value trip, Mr. Bush also laid two wreaths "conciliatory, effective and success- and held several meetings, including a ful," Col. Wieslaw Gornicki, the Gov- luncheon at the American Embassy for ernment spokesman, said there was Communist and Solidarity leaders "very little concrete material" in what Crowds of several thousand turned our By R. W. APPLE Jr. Special to The New York Times Mr. Bush had offered. He complained to greet him. waving Polish and Am about the President's repeated empha- ican flags, but the emotional WARSAW, July 10 - President Bush ing that some American office SIS on the need for further sacrifices by announced a six-part program of predicted failed to materialize. the Polish people and of excessive American aid to Poland today to help At one point, Mr. Bush jumped from rhetorical formulations." capitalize on what he termed the "un- his limousine to shake hands with a 'Symbolic of Our Support' crowd near the Parliament. It was one precedented opportunity" presented of many moments of vivid contrast by Poland's tenuous experiment in "Nobody in this country had any illu- with the recent past; on the same spo democracy. But the carefully limited sions that the stream of gold would only last week, the police clashed with package got a lukewarm reception flow," the spokesman said. "We did not opposition demonstrators who were from leading Polish political figures. expect alms or handouts. But while we calling for General Jaruzelski's ouster Mr. Bush, on his first visit to Eastern are very much satisfied with the politi- Secretary of State James A. Baker Europe as President, laid out the plan cal tone of the visit, the substance is 3d said the Americans had not been "at in a speech to a joint meeting of the somewhat limited." all disappointed" by the relatively Polish Parliament, with one house con- A senior American official, who small crowds, because "this is not trolled by the Solidarity opposition and asked not to be identified, said that some election campaign." the other by the Communist Party. Gen. Wojciech Jaruzelski, the Polish As Mr. Baker acknowledged this Strings Attached to Future Aid evening, Mr. Bush adopted an almost land's own efforts," Mr. Bush said as he outlined his program, which also in- Without changes there will be no conversational tone, making "no effort to divide or disrupt," as the secretary cluded $15 million to fight rampant air more aid, the Bush Administration has put it, and using "no hot rhetoric." Both and water pollution in the historic city made clear. of Cracow in southern Poland. "But I "In the 1970's," Mr. Baker said at a the Americans and the Poles seemed want to stress to you today that Poland briefing for correspondents traveling eager to avoid offending President Mi- is not alone." with him and with the President, "we khail S. Gorbachev of the Soviet Union, whose "new ideas" helped set in mo- He added, "The United States stands and our allies and the Polish people tion the changes here - indeed, Mr. ready to help as you help yourselves." made a mistake. We shovelled a lo! Bush went so far as to quote Mr. Gor- Mr. Baker said that last phrase money into this country with no bachev in his speech. caught the attention of Prime Minister quirement for economic reform." Clearly, the President was walking a Mieczyslaw Rakowski. The Secretary John H. Sununu, the White House narrow line between raising expecta- reported that the Prime Minister told chief of staff, made the same point in tions so high that failure to meet them Mr. Bush at a later meeting, "I'd like to much blunter way - too blunt, in the would destabilize the country and giv- put that slogan on the wall with your view of some Poles, who found his lan ing so little that the Poles would lose name on it and mine, too." guage patronizing - in an interview heart and pull back. The United States, the International here with NBC News. It was important Standing before a Polish eagle Monetary Fund and others are press- not to do "too much" for Poland, E mounted upon an immense red-and- ing the Poles to make major changes in said, adding the following explanation white banner in the neo-classical Sen- the way they manage their debts and in "The analogy that's almost appropri- ate chamber, the President said that the terms under which they permit pri- ate is, you can't create the problem of "Poland is where the cold war began, vate businesses to operate. The Gov- young person in the candy store, where and now the people of Poland can help ernment of General Jaruzelski is also there is so much there that they dont bring the division of Europe to an end.' under pressure at home and abroad to know which direction to take and don But he warned that economic reform do something immediately about the have the self-discipline to take the right and recovery here "cannot occur with- country's inflation rate of almost 100 steps." out sacrifices" by every Pole. percent a year - so bad that "you can "There can be no substitute for Po- almost hear it whistling as it roars past," as one Warsaw working man said today. NEW YORK TIMES, 7/1/89, P.A-/ -26- For Bush, a Polish Welcome Without Fervor By MAUREEN DOWD Bush aides had been promoting the Special to The New York Times trip by saying it would be comparable WARSAW, July 10 - Poland is a to President Kennedy's trip to West Berlin in 1963. But Mr. Bush's deli- country of tremendous emotion, and leaders from the West who have vis- cately balanced message - he talked ited have often been overwhelmed about the need for world leaders "to with citizens throwing themselves on forge a rare alloy of courage and re- motorcades, pushing down barriers, straint" - did not quite have the and other signs of adulation. same infectious, passionate ring as Earlier displays of emotion, like "Ich bin ein Berliner." those that greeted Robert F. Kennedy Some White House officials specu- in 1964, Richard Nixon in 1972 and lated that it was the weight of so Pope John Paul II on three trips since much change in a country accus- 1979, constituted protests against the tomed to ravaged hopes that gave the government of the day through one of day its subdued tenor. the few avenues available. Everyone feels uncertain, what to In today's climate, with officially say, how to act," said Marlin Fitzwa- sanctioned opposition parties and ter, the White House spokesman, newspapers, anti-Government senti- struggling to explain why the crowds ments can be expressed more direct- had been so much more modest and ly. muted than during Mr. Bush's visit in 1987 as Vice President. "That Moments of Spontaneity spreads into the population as well." "The result is that the President It may also have been that the sim- got a warm reception, an admiring ple grinding fact of day-to-day life one, but not a very intense or exuber- here kept people away. ant one," one of his senior advisers Irena Koszewski, 61 years old, had said tonight. been waiting in line for three hours, There were a few moments of spon- since 7 A.M., at a store that sells spe- taneity during a day that often cial kielbasa and hams for citizens seemed as somber and formal as the with health problems. gray marble Parliament chamber. Ms. Koszewski, who wore a beige Before the President spoke to Parlia- knit hat and flowered dress, has good ment, Solidarity members broke into feelings about the West and Mr. Bush, a chorus of "Sto Lat," a beer parlor whom she calls "a good man, a wise man." song akin to "For He's a Jolly Good Fellow" that wished Mr. Bush 100 But she had her own problems, and could not spend the day trying to find years of health. And as his motorcade the American President. She and left the session, Mr. Bush tired of the others in line simply expressed the constricting security and jumped out hope that he is getting along with the to press the flesh with a crowd that Soviet President, Mikhail S. Gorba- shouted "Solidarity!" and "Long chev. "Our heads are too small to Live!" know what goes on between them," a As the motorcade approached the 69-year-old man said. Parliament building, about 1,000 peo- Jailers and Jailees ple chanted Down with Commu- Administration officials said they nism!" 'Jaruzelski must go!" and thought that if the public show was "Long live Bush!" in Polish. There not as emotionally charged as pre- was also a banner reading, "Poland, dicted, the private moments were like the United States, has a right to often stunning reflections of Poland's independence." colliding political sensitivities. But the emotional outpouring and On the back porch of the American the tens of thousands of people that Ambassador's home, the President the White House had expected never and First Lady moved among the guests at a lunch in their honor. Soli- materialized, and Bush officials were darity leaders and Communist left hoping for better crowds on Tues- bosses, in white shirtsleeves and day in Gdansk. neckties, made small talk and sipped Chandon Brut from crystal flutes. Watching the mingling of former foes who now sit elbow-to-elbow in the new Parliament, one Polish official murmured sardonically to an Amer- ican guest. "The jailers and the jail- ees." NEW YORK TIMES, /89, p. A-1 PAGE ONE OF TWO -21- LEADERS IN PARIS ARGUE OVER CHINA Bush Cites 'Contentious' Issues Beijing complicated the situation to- On Eve of Economic Meeting, But they are also expected to do a lit- day when it denounced France for giv- They Clash on Best Way tle wrangling* before they end their ing refuge to two of the leaders of the deliberations on Sunday. President demonstrations in support of democra- to Fault Crackdown Bush, who plans among other things to cy. But it appeared unlikely that the ask his allies to help Poland and Hun- West would put its huge investments in gary, which he has just visited, said in China at risk by adopting economic a news conference aboard Air Force sanctions. By R. W. APPLE Jr. One this morning that there were a Awaiting a decision here, bankers in number of "contentious" issues to be Hong Kong and elsewhere say they Special to The New York Times dealt with at this, his first summit con- have frozen all pending deals with PARIS, July 13 - Leaders of the ference. China, although they have continued world's seven most powerful democra- cies gathered in Paris today for their "I think we can reach an understand- with most routine day-to-day business. ing," Mr. Bush said. "At the conclusion On the environment, which will play 15th annual economic summit meeting, to be held in the afterglow of France's of the meeting you'll see seven coun- a larger role here than at any previous tries in harmony, pulling together on summit meeting, there is also a diver- 200th birthday bash, and fell at once to arguing over how far they should go in matters like the environment, the gence of approach. Officials who have condemning China for bloodily crush- economies and trade." handled the preparations for the meet- ing student-led protests with troops The President promised in his ing predict an agreement to work to- travels this week to ask Congress for gether to save tropical rain forests and and tanks. $100 million for Poland and $25 million to pay for major new research efforts. Backstage discussion on the eve of for Hungary, to seek rescheduling of But the United States, backed by Prime the conference, which opens Friday af- some of the two nations' debts and to Minister Margaret Thatcher of Britain, ternoon in the glass pyramid designed as a new entrance to the Louvre by the urge the allies to help, too. Experts ex- opposes the establishment of strict in- pect them to agree, perhaps this week- ternational standards favored by some American architect I. M. Pei, also cen- tered on proposals to fight global pollu- end, but wonder whether the overall of the other countries. package of aid will be large enough to Prime Minister Sousuke Uno of tion and on calls, especially from the French, for much greater aid to the have a significant effect. Japan, whose standing at home has world's poor nations. Brent Scowcroft, Mr. Bush's national been battered by a sex scandal, is hop- The United States, often the target of security adviser, said the President ing to start repairing his standing here, planned to set no quotas in bidding for according to members of the Japanese criticism at these yearly events, is in a allied support. But he may well make a delegation. One topic he will emphasize stronger position this time, with inter- fairly emotional appeal; he said today is the environment, and Japan an- est rates falling, the dollar steadier and that he had been deeply moved by the nounced today that it would spend $2.1 the economy seemingly headed for a soft landing, rather than a recession, as longing for change he encountered in billion to help poorer nations protect Eastern Europe. their rain forests. growth slows. Indeed, the seven big in- dustrial powers, which Treasury Sec- Role of the Environment retary Nicholas F. Brady calls "the en- The host of this week's events, Presi- gine of the world economy," are all dent François Mitterrand, is pressing doing well. the other conference participants - Robert D. Hormats, vice chairman of the United States, West Germany, Brit- Goldman Sachs International, who has ain, Italy, Canada and Japan - to con- played an important role in a number demn China. But Japan, Asia's sole of conferences since the first one at voice in the councils of the seven, is re- Rambouillet near Paris in 1975, com- portedly urging caution to prevent Bei- mented the other day, "The leaders jing from becoming isolated and forced have the right to do a little back pat- to turn again toward Moscow. ting." NEW YORK TIMES, /89, p. A6 -22- FRANCE CELEBRATES was greeted by boos and shouts by peo- ple clustered at the security perimeter. A DAY OF HISTORY Mrs. Thatcher, in an interview with the daily Le Monde published on Wednes- day, declared that "human rights did not start with the French Revolution." Mrs. Thatcher found an earlier, Brit- World Leaders Join Start of ish beginning for human rights in The guests here for the revolutionary Magna Carta of 1215 and in "our quiet Week of Events on 200th bicentennial and a seven-nation sum- revolution of 1688," noting that Britain mit gathering of industrial nations will had celebrated this second event "dis- Year of the Revolution meet on Friday and over the weekend creetly" last year. in two other Mitterrand monuments - Mitterrand Criticized under I. M. Pei's glass pyramid in the By JAMES M. MARKHAM Louvre and at the towering Arche de la The British leader was clearly get- Défense on the western outskirts of the ting in a dig at Mr. Mitterrand, who has Special to The New York Times been widely accused in France of vain- city. PARIS, July 13 - As if to make Paris High on a sculpted white balcony gloriously exploiting the bicentenary again the center of the world, François for his own aggrandizement while cut- overlooking the opera house's main Mitterrand today presided over the ting off the people of Paris from a auditorium, President Bush and his opening of a week of ceremony to mark wife, Barbara, were given the place of traditionally popular holiday. the bicentennial of one of the pivotal honor next to Mr. Mitterrand to hear an Traffic and parking have been se- events of history, the French Revolu- verely restricted in the heart of Paris 80-minute program of French opera tion. arias that was choreographed and di- to assure the security of the presidents The French President invited lead- and prime ministers, and the Louvre rected by Robert Wilson, an American. ers from both rich and poor countries The performance was set against and the Musée d'Orsay have been for celebrations to include the opening closed to permit them to visit undis- starkly abstract decorative screens. At tonight of the new opera house on the turbed by the masses. the end of the stage in the opening Place de la Bastille, where the Revolu- scene stood a giant chair next to a Even the Count of Paris, pretender to tion began, to be followed by days of torch. Mr. Wilson, sitting in the audi- the French throne and normally a Mit- traditional dancing, fireworks and terrand fan, announced that he was ence, jokingly observed, "Some people merry-making in the streets of Paris. leaving the capital because of the "ex- think it's a guillotine." Yet the tight security measures im- aggerated sumptuousness" of the cele- There was enthusiastic applause at posed to protect the leaders from Eu- the end, but some experts in the new brations "for the epoch in which WE live." rope, the Americas, Asia and Africa ap- hall found its acoustics less stunning peared to have put something of a Piqued by such criticism, Mr. Mitter- than expected. Sitting in the first row, damper on the mood in the city, which rand denied in a long interview with the August Everding, general director of has been abandoned by many Pari- magazine L'Express that there was the Munich Opera, pronounced the sians for the duration. anything "gigantic" about the festivi- sound from the stage "a bit dry," al- With gawking Parisians and tourists ties, adding loftily: though he hailed the Wilson show as "a barricaded from the square where the good beginning" for the opeΓa house. "I will be a candidate for nothing dread Bastille prison once stood, Mr. again. I am a free man. I have no need After the opera, the leaders swept in Mitterrand and his guests attended an to please anyone. I try to do my best, in their motorcades to the Musée 'Orsay inaugural concert of French arias at remaining faithful to my convictions." on the Left Bank of the Seine for a din- the gleaming new Bastille Opera. ner at which Mr. Mitterrand was host. Seeking to counter reports that the Ideals, Terror, Dictatorship Earlier in the day, Mr. Mitterrand, bicentennial had become a fabulously The upheaval that exploded with the Mr. Bush and some 30 other heads of costly affair, Prime Minister Michel attack on the Bastille on July 14, 1789, state and government gathered at the Rocard's office released statistics toppled Europe's most splendid mon- Place du Trocadéro facing the Eiffel showing that it would cost $72 million, archy and proclaimed the ideals of Tower for a 15-minute ceremony to including $15 million for à festivity at the Eiffel Tower organized last month democractic government, but it ulti- commemorate the Declaration of the by Mayor Jaoques Chirac and attended mately descended into terror and in- Rights of Man and the Citizen, pro- by Ronald and Nancy Reagan. stalled Napoleon's military dictator- claimed in 1789 before the Revolution ship. It thus anticipated both modern took a darker turn. And there was, indeed, a bicentennial parliamentary democracies and 20th- Under a bright sun, actors read ex- party given by the Government for the century totalitarian regimes. cerpts from the declaration and quota- public tonight. More than 10,000 Pari- The mammoth Bastille Opera, which tions from French revolutionary lead- sians crowded into the Place de la has been plagued by artistic contro- ers, and 48 children from 15 nations République to listen to rock and jazz music and to dance. versy and political rivalries, is one of sang and placed wreaths at a stone in- several bold monuments that Mr. Mit- scription of the document. Five hun- The party seemed part street fair, terrand has ordered built across Paris dred doves were released into the blue part carnival, with music blaring, since coming to power in 1981. The Paris sky. merry-go-rounds spinning and vendors President conceived of it as a "modern Arriving at the ceremony, Prime selling beer, cotton candy and red and popular opera," but the 2,700 Minister Margaret Thatcher of Britain phrygian bonnets imitating those worn guests in attendance represented 200 years ago. Paris's artistic, sports and industrial elite. NEW YORK TIMES, 7/14/89, p. White House News Summary -- Friday, July 14, 1989 -- A-1 TRIP NEWS BUSH TO PUSH E. EUROPE AID PARIS -- President Bush came to Paris Thursday to celebrate the 200th anniversary of the French Revolution and enlist the help of other nations to support the "wave of freedom" he saw on his visit to Poland and Hungary. Bush has made his top priority for the annual summit of seven advanced industrial democracies taking place in conjunction with the bicentennial festivities the mobilization of economic aid for the nations of Eastern Europe now trying to develop a form of pluralist democracy and market-oriented economy under the benign gaze of Soviet leader Gorbachev. The President told reporters that his four days in Poland and Hungary left him with a "real acute sense now of the change that's taking place in Eastern Europe and a determination to play a constructive role in that change." He said he hopes the more than $100 million he pledged in direct assistance to the two countries will encourage other countries to increase their aid -- a wish that seems certain to be fulfilled in Sunday's concluding communique. "The thing that's impressive," he told reporters on Air Force One, "is the determination on the part of all these leaders to move towards economic freedom and political freedom. " (David Broder, Washington Post, A1) Bush/Paris PARIS -- President Bush supplied the key [to the Bastille] to help unlock the biggest birthday party in French history Thursday as swanky dinners and the opera took center stage after the president's four-day trip to Eastern Europe With his historic trip to Poland and Hungary still very much on his mind, Bush indicated he would be urging the other summit leaders to step forward with assistance packages of their own to further economic and political reform behind the Iron Curtain National Security Adviser Scowcroft said the President would encourage his summit partners to create a "clearinghouse" to avoid duplication of the assistance packages offered by the rich nations. (AP) Bush Arrives In Paris For Summit With World Leaders PARIS -- President Bush arrived here Thursday from Budapest for Friday's opening of an economic summit of leaders of the seven major industrialized democracies. A French official said the three-day meeting may wind up divided on whether to recommend further sanctions against China Gen. Scowcroft said Thursday that the President will resist efforts to toughen the sanctions, including a pullout of diplomats from China and a suspension of new trade agreements The prospect of a division over China was one of several publicized results of about 20 bilateral meetings among representatives of the 34 nations gathered here for the summit and for the bicentennial celebration of the French Revolution Scowcroft said Bush was reluctant to have the United States act as a coordinator among various Western countries for providing aid to Hungary and Poland. Bush views the U.S. role as that of a clearinghouse among the various countries. "We cannot step on each other's toes as we go forward to help this process,' Scowcroft said. (Stephen Kurkjian, Boston Globe) -more- House News Summary -- Friday, July 14, 1989 -- A-2 U.S. SEES ENVIRONMENT DOMINATING )zone, Climate, Deforestation Issues Displace Economy At Summit ARIS -- President Bush arrived here Thursday from his swing through and Hungary to participate in his first economic summit, ready to that the global economic situation is so favorable that it needs nstead, fixing as the United States sees it, the summit will focus for the time on environmental problems, including depletion of the ozone climate changes and deforestation around the world. thers, however, suggest that if the summit communique turns out to be of major economic news, it will be as much because of a oration of the process of economic coordination as the successes Bush ady are touting. (Hobart Rowen, Washington Post, A29) TRIP BARES BLOC'S YEARNING FOR WEST UDAPEST -- This week, President Bush carried out his rentiation" policy, selecting for presidential visits the two Eastern countries that have legalized their opposition parties and opened markets to private capital -- and, in the process, snubbing their rthodox Communist neighbors he ultimate importance of the Polish and Hungarian visits lies in the nge they present to the two Warsaw Pact nations' senior partners in ', although Bush, Secretary of State Baker and other Administration ound briefers have insisted that it is not the intent. 'y showing the world the continued yearning of Poles and Hungarians to 1 the Western world after more than 40 years of isolation, Bush gave impetus to the drive for ending the division of Europe into two armed Despite the denials, both Bush and Gorbachev keep an eye on each other they travel on alien turf. After his speech at an East-West Forum eon at the Budapest Hilton today, the Foreign Ministry's Kovaks ed himself to rush off to brief the Soviet ambassador on Bush's visit. (News Analysis, A.D. Horne, Washington Post, A28) FIRST LADY RIPS UP SPEECH, TOO PARIS -- Following her husband's lead, First Lady Barbara Bush ripped speech at a hospital dedication and spoke from "the heart." "I want to show you that I learned something from my husband in I'm going to give up my speech and just tell you that speaking ry the heart, as he did," said Mrs. Bush, moved by a personal honor ded in the dedication ceremony. "This is one of the nicest things that ever could happen to me and shly I feel like you've stretched my life a little bit because now I'm plaque," she said, referring to a plaque noting that the Florence 1 Pavilion and the C.V. Starr International Center for Medical Exchange inaugurated by her during the President's visit Four children who were once out-patients at American Hospital gave Bush a silver cup, replicas of which are given to every new mother at hospital, and a copy of a cookbook compiled by the hospital to raise (Karin Davies, UPI) y. OR'S NOTE: 'Spotlight Is On France As World Leaders Gather For ille Day, Summit,' appears in The Washington Post, page A29. ### CBS This Morning WUSA-TV CBS Network July 14, 1989 7:10 A.M. Washington, D.C. General Brent Scowcroft Discusses Arms Control Issues KATHLEEN SULLIVAN: Today marks President Bush's first Economic Summit abroad. And following his swing through Poland and Hungary, the President is now expected to push for support from the economic allies for the democratic reforms in those two countries. But arms control is also on the White House agenda, with NATO yesterday outlining it latest arms reduction proposals. Brent Scowcroft is the President's National Security Adviser, and he talked with Harry in Paris earlier this morning. HARRY SMITH: We see this morning that the Soviets have decided to agree to cuts in cruise missiles. Is that good news to you? GENERAL BRENT SCOWCROFT: Well, I've only seen the early reports of it. from what I understand, they're proposing to eliminate nuclear-armed cruise missiles, sea-launched cruise missiles. That's one of the open areas in START. We've had a number of proposals back and forth. We'll have to look at this one carefully and see what it means. Verification is a terrible problem. SMITH: It's a big, big problem with cruise missiles. I understand that. It seems, though, that a day, or at least a week doesn't go buy when they don't say yes to some other idea. PUBLIC DIVIDED ON GOALS IN SPACE (New York Times) No Byline A-31 MOON WALK AND SPACE BLUES (Washington Times) Thomas DiBacco A-32 NOBODY'S GONE TO THE MOON (Washington Times) Editorial A-33 19 SECONDS IN EAGLE'S DESCENT Charles Murray & (Washington Post) Catherine Bly Cox A-34 REGIONAL FOCUS SOUTH ASIA: ZONE OF THE NEW GREAT POWERS (Defense & Foreign Affairs) Gregory Copley B-1 JAPAN: REBIRTH OF INDEPENDENT MILITARY POWER (Defense & Foreign Affairs) James Phillips B-5 JAPANESE PLAN FOR TILT-ROTOR AIRCRAFT (Jane's Defence Weekly) No Byline B-7 NATO CENTRAL EUROPEAN SECURITY Henry Owen (Foreign Affairs) Edward C. Meyer B-8 FRENCH SALE TO SAUDI ARABIA TOPS 18-BN. FF (Defense & Foreign Affairs) No Byline B-22 OPINION 1914'S SHADOW ON THE EUROPE OF TODAY (Long Island Newsday) Samuel Williamson B-23 SOVIET THREAT GROWTH IN STRENGTH OF SOVIET PACIFIC FLEET (Jane's Defence Weekly) G. Jacobs B-25 THE SS-19 MISSILE SYSTEM: THE LOGICAL EXPANSION OF SOVIET MIRV TECHNOLOGY (Military Technology) Rolf Engel B-27 SUKHOI REVEALS NAVAL FLANKER VARIANT (Flight International) No Byline B-31 ESTIMATED SOVIET NUCLEAR STOCKPILE, JULY 1989 (Bulletin of the Atomic Scientists) No Byline B-35 SCOWCROFT CONTINUED GENERAL SCOWCROFT: Well, you know, that's very hopeful. And it was partly to take advantage of their forthcoming, more forthcoming rhetoric that we made the proposal that we did at the NATO summit. And now we, for our part, are about two months ahead of having that proposal ready for tabling at Geneva. So, we're very optimistic. And if they follow up now, then I think there's no reason we shouldn't have some progress. SMITH: You have been in this business an awful long time. Do they continue to surprise you in this manner? GENERAL SCOWCROFT: Yes, they do. If one looks at the historical process, yes, it's very different. They used to just sit back and wait for our proposals, and then drag their feet and reluctantly move along a little bit here, a little bit there. Now it's a real dialogue. There's not too much in the way of results yet, but the dialogue is considerably improved. SMITH: We look at you in the role of National Security Adviser, sort of a strategist-soldier. And I'm wondering how your expertise comes into play at something like this, at an Economic Summit. GENERAL SCOWCROFT: Well, the Economic Summit has several parts to it. The first is, you know, a review of the national strategies of each country, economically. Then there is also a political discussion of the elements that the seven want to emphasize in a political sense. And that certainly is a part of my responsibility. Then there will be emphasis on Third World debt, and that gets into the security issues. Then, the other emphasis this time is the environment. And I don't play a big role. SMITH: What is at the top of the President's agenda for this summit? GENERAL SCOWCROFT: I think the top of his agenda comes right out of his visit to Poland and Hungary. And what he wants to do is to tell the other six what he found, the historic change he feels is taking place in Eastern Europe, and the fact that the West needs to be aware of it and to take advantage of it, to encourage it without trying to turn it into a destabilizing direction. SMITH: Third World countries have complained, as they look at this summit meeting, the haves getting together, and they feel like they're forgetting the have-nots. Especially in this age of incredibly - - this rapid disarmament that seems to be going on, should countries be shifting their focus more in that direction, more toward those Third World countries and their needs? GENERAL SCOWCROFT: Well, I think we can be thinking in those directions. But the whole armaments talk is so far just rhetoric, mostly just rhetoric. So we can't let our thoughts get too far ahead of the actuality. But, yes, I think, you know, the attention of this summit is primarily on other than military, or even East-West relations. It's importantly on the environment, which is a worldwide problem; on Third World debt, which certainly is a concern to a number of the developing countries. SMITH: We should assure you that you're not under fire this morning. That's just some fireworks going off for the celebration here. Brent Scowcroft, we thank you so much for joining US. SCOWCROFT CONTINUED GENERAL SCOWCROFT: Well, you know, that's very hopeful. And it was partly to take advantage of their forthcoming, more forthcoming rhetoric that we made the proposal that we did at the NATO summit. And now we, for our part, are about two months ahead of having that proposal ready for tabling at Geneva. So, we're very optimistic. And if they follow up now, then I think there's no reason we shouldn't have some progress. SMITH: You have been in this business an awful long time. Do they continue to surprise you in this manner? GENERAL SCOWCROFT: Yes, they do. If one looks at the historical process, yes, it's very different. They used to just sit back and wait for our proposals, and then drag their feet and reluctantly move along a little bit here, a little bit there. Now it's a real dialogue. There's not too much in the way of results yet, but the dialogue is considerably improved. SMITH: We look at you in the role of National Security Adviser, sort of a strategist-soldier. And I'm wondering how your expertise comes into play at something like this, at an Economic Summit. GENERAL SCOWCROFT: Well, the Economic Summit has several parts to it. The first is, you know, a review of the national strategies of each country, economically. Then there is also a political discussion of the elements that the seven want to emphasize in a political sense. And that certainly is a part of my responsibility. Then there will be emphasis on Third World debt, and that gets into the security issues. Then, the other emphasis this time is the environment. And I don't play a big role. SMITH: What is at the top of the President's agenda for this summit? POST Scowcroft Says U.S. Will Study Soviet Offers on Cruise Missiles Associated Press In Moscow, Col. Gen. Nikolai PARIS, July 14-National Chervov said the Kremlin would security adviser Brent Scow- be willing to give up the sea- croft said today the Bush admin- launched cruise missiles de- istration will take a close look at pending on U.S. actions. Cher- Spviet offers to give up sea- vov, chief of the arms control launched nuclear cruise missiles directorate of the Soviet Gen- if the United States would do eral Staff, said it was a "progres- the same. sive suggestion" to eliminate ."That's one of the open areas nuclear cruise missiles. in START," Scowcroft said in The comments marked a de- eference to the U.S.-Soviet parture from the previous So- egotiations to limit strategic viet stance on the issue at the trms. "We've had a number of U.S.-Soviet arms negotiations robosals back and forth. We'll taking place in Geneva. The So- have to look at this one carefully viets' earlier position would and see what it means." have allowed each side to retain However, Scowcroft said ver- up to 400 nuclear-armed cruise ification remains a serious prob- missiles. lem. Scowcroft, who is in Paris The Soviets, said Chervov, Cliwith President Bush for the eco- would prefer to give up all nomic summit of the seven cruise missiles at sea, but faced Western industrialized nations, with the U.S. Navy's strong de- was interviewed on the CBS sire to keep conventionally "This Morning" television pro- armed missiles, "we are coming gram. to this." -26- Bush Credits Moscow With Change in East Bloc By MAUREEN DOWD Special to The New York Times PARIS, July 13 - President Bush aspiring to," he said. "But I'm afraid other people are said today that the changes transform- Aims to Please Soviet Leader ing Eastern Europe are "absolutely looking at it saying what's happened Although some critics felt that Mr. does not enhance the possibilities of amazing," and credited the Soviet Union with making those changes pos- Bush had been too cautious and low- election. So the U.S. policy is set, and sible. key in his appeals to democracy, as a I'm the President of the United States, sop to Mr. Gorbachev, the President and Israel is a friend and will remain a Mr. Bush's buoyant reflections on his five-day trip to Poland and Hungary made it clear that he wanted the Soviet friend, but I have to say what our policy is." were a far cry from the tart skepticism leader to be pleased with his trip rather he maintained toward President Mi- than irritated. Asked if he was under pressure khail S. Gorbachev of the Soviet Union Mr. Bush, who once insisted it was about his Israel policy, the President and changes in Eastern Europe during important not to take a romantic view replied: "They've got great difficulties inside of Israel. I understand that. I un- his campaign and the opening months of the Soviet leader, said today that he of his Administration. intended to have regular meetings with derstand the political pressures. But I Mr. Gorbachev. can't be varying U.S. policy every day 'Right From the Heart' He rejected suggestions that the to accommodate political change. I'm United States was dragging its feet on not going to do that." "I am firmly convinced that this wave of freedom, if you will, is the arms control as "pure nonsense," and Before the Bushes left Budapest, he wave of the future," President Bush said he does not listen when Soviet stopped to place flowers at the Raoul said, as he flew on Air Force One from spokesmen say the Soviets cannot Wallenberg Memorial, dedicated to the Budapest to Paris today to attend the meet the reduction timetables on Mr. Swedish diplomat who helped Jews es- economic summit and the celebration Bush's conventional arms proposal. "I cape Nazis during the war. Thousands don't think Gorbachev wants to slow of people lined the route from the me- of the 200th anniversary of the French Revolution. "And I would expect that down an agreement on conventional morial to the airport. this visit has been watched by the peo- arms," the President said. "I think he When the President arrived in Paris, ple of other Eastern European coun- wants to move forward there and on he went to a lunch at which President tries and hopefully given encourage- the strategic arms talks, and so do François Mitterrand was the host. He we." sat between Mr. Mitterrand and Presi- ment to those who want to go to the path of reform." The President said he was particu- dent Hosni Mubarak of Egypt. larly struck by how emotional his After lunch the President met pri- He said he had been surprised at meetings with Hungarian leaders vately with President Mitterrand in an "the feeling and emotion of it all," and said the meetings were not "your tradi- were, and by the warmth of Gen. Woj- ornate gilded room at the palace. tional 'I'll read my cards and you read ciech Jaruzelski, the Polish leader. Mr. General Scowcroft said afterward Bush said the general "is really out that the two leaders spent most of their your cards' kind of diplomacy.' front in the reforms," time talking about President Bush's Communist and opposition leaders trip to Hungary and to Poland, which "spoke right from the heart" to him, he Reaffirms Policy on Israel Mr. Mitterrand visited recently. said, and he tried to respond in kind. The President also reaffirmed the "It was very special in that regard," Administration's policy on Israel and he said. "There's an intensity to it, a the future of the occupied territories. fervor, that moved me very much." "We might as well be frank with our Of his meetings with the Communist friends, because that's what friendship leaders in Poland and Hungary, Mr. is about," he said. "And so I want to see Bush said: "I made very clear to them things go forward in terms of the peace that, you know, we are not there to poke process over there. And we want to see a stick in the eye of Mr. Gorbachev - the election process go forward. And if just the opposite, to encourage the very anybody can make a case for me that kind of reforms that he is championing, and more reforms." the recent deliberations in that party will enhance the election process, then Asked if it was Mr. Gorbachev's ap- I'd say, great," the President said. proach to East-West relations that has He was referring to the Likud Par- given people in Eastern Europe the li- ty's decision last week to attach strict cense to make changes, Mr. Bush conditions to Prime Minister Yizhak agreed and said he wanted to "repeat for the umpteenth time" that he wants Shamir's plan for elections among Palestinians in the occupied West Bank to see perestroika succeed. and Gaza Strip. Some members of the "I think without the change in the Labor Party and many Palestinians Soviet Union it would have been highly say the conditions would kill the pro- unlikely that Eastern Europe would be posal for elections in the occupied terri- achieving the kinds of changes that it is tories. NEW YORK TIMES, 7/14/89, p. A6 -25- Economic Scene Leonard Silk Bush's Caution In Eastern Europe P RESIDENT BUSH's run-up to the Paris eco- The Communist Party leaders of Poland and nomic summit conference through Poland and Hungary has been a modest triumph not Hungary are determined to hang onto the term only for the American President but also for demo- "socialism" for their system, but are willing to ef- cratic capitalism. fect a grand compromise with their opponents by With an overstrained budget of his own, Mr. calling it "democratic neo-socialism." Neo-social- ism in the Communist world is now taking its place Bush did not have much in the way of direct dollar aid to offer. The Poles grumbled a bit but took Mr. beside the past decade's capitalist neologisms: "neo-conservatism' and "neo-liberalism." Bush's pronouncements and obvious good will as None of the three terms has a crystal-clear vouchers of more important support to come - from Mr. Bush's summit partners, the World Bank meaning. Neo-conservatism represented a disaf- and other international agencies. They are also fection on the part of some former socialist intel- hoping for more investment from foreign busi- lectuals, and some conservative politicians, with nesses. the failures of the welfare state. Neo-liberalism In Hungary, speaking at the Karl Marx Univer- represented a departure of some liberal politi- sity of Economic Science, where Marx's "Das cians, worried about inflation and sluggish growth, Kapital" is no longer required reading, Mr. Bush from overreliance on government to solve social pledged to open American markets to Hungarian problems or spur economic growth. goods and send the first Peace Corps volunteers to But what the three "neos" have in common is an a Communist country. The Peace Corps there enhanced respect for the virtues of the free market would teach English, which Mr. Bush called one of and business enterprise. And this is the ace in Mr. the most popular American exports, very useful Bush's hand as he seeks to build bridges with East- for making international business deals. ern Europe and, most important, with the Soviet Union. Mr. Bush's symbolism was carefully chosen to encourage expectations that the real benefits to the His overtures to the leaders, intellectuals and Communist countries would come from a closer laboring people of Poland and Hungary were relationship with Western business and technolo- couched in terms that would not alarm the Soviet gy, and from the economic and political reform of President, Mikhail S. Gorbachev, that he was their own systems. But he carefully avoided creat- trying to draw the Communist ("neo-socialist") ing the impression that he was trying to lure them states away from Mr. Gorbachev and back to the back to capitalism. capitalist West. Mr. Gorbachev has reportedly told Both the Polish and Hungarian leaders, as well the Communist leaders in Eastern Europe, "You as their critics in the universities and trade unions, can do what you like, as long as you don't slap my seem to realize, as Lech Walesa, the leader of Soli- face." darity, told David Rockefeller and Peter G. Peter- They are trying, with Mr. Bush's help, to avoid son at a dinner in Warsaw earlier this year, "Com- doing so. The economic model they are searching munism is kaput." for is what they consider the true system of the But what is to take its place remains a mystery Western democracies: a "mixed economy," with that the politicians and economists are desperately both capitalist and socialist elements. trying to solve, whether it fits Communist ideology And they are counting on Mr. Gorbachev to help or not. A top Hungarian official told Mr. Rockefel- them get through, partly by keeping his pledge not ler and Mr. Peterson: "I've spent half a lifetime in- to intervene militarily in their countries, partly by venting ideology. It is time to confront reality." cuts in military forces that will ease the economic Mr. Peterson observed: "Sometimes an unusual burdens on both East and West. metaphor helps out in the almost metaphysical dis- The most serious problem facing the Eastern cussions we listened to. Prime Minister Rykowski, European countries and the Soviet Union, endan- an authentic intellectual, was going on quite elo- gering their democratic reforms, is their poor eco- quently about the profound virtues of market-ori- nomic performance. This stems from their enor- ented economies and democratization, while in a mous budget deficits, repressed inflation and the very capitalistic dark blue suit, white shirt and inefficiency of their enterprises. These cannot be dark tie." But the Americans noticed that the Pol- cured without bringing down military outlays, in- ish leader's "largely hidden socks were bright troducing a free price system, achieving a convert- red." ible currency and reducing the economic role of party hacks and bureaucrats. NEW YORK TIMES, 7/14/89, p. D2 Los Angeles Times JULY 16, 1989 Pg. V-2 Building New Anti-Satellite Weapons Could Shoot Down National Security By Noel Gayler and Matthew Bunn In part, Defense Department ASAT destabilizing in crisis. Sudden destruction WASHINGTON desires are a response to an existing of a critical early-warning or communica- Soviet space weapon, separate from the tions satellite would inevitably heighten n a dramatic new step toward military glasnost, the Soviet Union permitted a Sary Shagan laser. For six years, the the danger of a confrontation spiraling out group of Americans to tour the top- Soviet Union has unilaterally refrained of control. As Brent Scowcroft concluded secret laser research station at Sary from testing its primitive ASAT, but U.S. before becoming President Bush's na- Shagan this month. Far from the danger- ASAT tests would impel the Soviets to tional security adviser, "all scenarios ous beam-weapon threat to U.S. satellites develop far more threatening ASATs than involving the use of ASATs increase that the Pentagon had long touted, the they have today. Reigniting this cycle of the risks of accident, misperception and visit revealed an antiquated laser far too action and response is a formula for an inadvertent escalation." weak to be a threat. Demolishing the unending arms race, turning the depths of An ASAT system is certain to be myth of a "laser gap," the visit should space into yet another potential battle- expensive, draining funds from other help slow a Pentagon drive to build new ground. crucial programs. The Pentagon plans to That would be a disaster for the United spend more than $1 billion on ASAT anti-satellite (ASAT) weapons. And that is good news; such weapons are a can of States. While dependence on satellites in development over the next five years; worms best left unopened. future confrontations will vary, our mili- experience shows that deployment would Orbiting spacecraft have become es- tary forces are likely to be far more cost billions more. Once the program is sential to U.S. national security. Military space-dependent than the Soviets'. The underway, momentum to continue will forces rely on them for intelligence on Soviet Union is a land power; most inevitably build-good money after bad. potential adversaries, for early warning of potential arenas of conflict are near its Fortunately, it is not too late for an attack, for communications, command, borders. The United States is an oceanic ASAT agreement to avoid these costs and navigation and other indispensable tasks. power with global responsibilities, mak- dangers. The Soviet ASAT is a dog-slow. Yet rather than working toward an ing space support essential. U.S. forces unreliable, capable of only low-altitude agreement to limit threats to these satel- around the world would be crippled if the attack, susceptible to countermeasures lites, the Defense Department is pushing satellites they rely on were destroyed. and untested since 1982. Our ASAT for immediate ASAT development-a We need to know. Even in the age of technology is better but the planned move that would inevitably spur the glasnost, Soviet society remains far less systems are not yet tested or deployed. Soviets to build advanced ASATs of their open than our own. The Soviets can learn Now is the time to deal; preventing own, dramatically increasing the threat to most of what they need to know from either side from building a robust ASAT our critical spacecraft. technical journals, congressional hearings capability will be easier than limiting one This ASAT program is ostensibly sepa- and the U.S. media. For the United States, already developed. As the tour of Sary rate from the still-unrealistic Strategic satellites are essential to keep tabs on Shagan indicates, the Soviets are eager to Defense Initiative against missiles. While Soviet developments-not to mention ac- negotiate, having unilaterally ceased many of the technologies are the same- tivities in such countries as Libya and testing and having proposed an ASAT test from homing rockets to giant lasers-the Iran. Without secure spacecraft, we ban, combined with dismantlement of problem of shooting down a few satellites would be virtually blind and deaf. their existing system. in predictable orbits is infinitely simpler Worse, quick-strike threats to both We should grab that deal-with some to resolve. sides' spacecraft could be dangerously haggling over specifics. An ASAT ban is in U.S. interest. Rejecting a ban in favor of lites at affordable cost. Satellite-surviva- structive measures would be far less an aggressive ASAT program could chill bility measures are essential with or provocative than using an ASAT weapon. the warming of U.S.-Soviet relations. And without agreement. Combined with an More important, the naval threat posed in today's multipolar world, it is worth ASAT test ban to prevent development of by Soviet satellites pales in comparison remembering that virtually every nation more threatening space weapons, they with advantages the U.S. Navy derives on earth has called for agreements to head would ensure that a Soviet ASAT attack from its own spacecraft-all of which off an arms race in space. would fail-the best kind of deterrence. could be threatened if an ASAT race is Current and evolving intelligence capa- Deterrence without an ASAT agree- renewed. That goes double for the other bilities can readily verify an ASAT test ment is unlikely to work. With Moscow's U.S. military services, which face even ban, particularly when combined with lower dependence on space, cheaper sat- less threat from Soviet satellites. on-site inspections and other cooperative ellites and huge rocket replacement in- Two paths lie open: To build a U.S. measures. The cold, black background of ventory, Soviet leaders would have com- ASAT weapon will inexorably lead to new space makes monitoring of many types of paratively little to fear from a tit-for-tat Soviet ASATs; soon even the outermost ASAT activities comparatively easy. space shoot-out. reaches of space will offer no sanctuary. There are those who resist a ban and Other ASAT supporters say we need to But if we deal now, and prudently protect argue that any agreement would leave be able to shoot down threatening Soviet U.S. satellites against residual ASAT some "residual" ASAT capabilities. That satellites. Soviet ship-tracking satellites threats, we can continue to rely on the is perfectly true, but such left-over do pose a limited threat to U.S. surface enormous benefits of secure spacecraft. threats-from Soviet space shuttles, for fleets-though efforts to detect subma- The intelligence choice, then, is the example-are minor compared to the rines from space have yet to prove intelligent one. devastating space weapons the Soviets themselves, and probably never will. But could build in the absence of agreement. the Soviets have other, more effective Noel Gayler, a retired admiral, was com- Others argue for an American ASAT to means of tracking U.S. ships and the mander in chief, Pacific, and director of the deter use of the Soviet system. But the tracking satellites can be stymied by National Security Agency. Matthew Bunn Soviets have offered to dismantle their electronic countermeasures plus other is a senior research analyst at the Arms ASAT. If we fear that a few might be tactics already developed and proven in Control Association. hidden away, we can protect U.S. satel- naval exercises. In a crisis, these non-de- own, dramatically increasing the threat to most of what they naart our critical spacecraft. technical journals, congressional hearings capability will be easier than limiting one This ASAT program is ostensibly sepa- and the U.S. media. For the United States, already developed. As the tour of Sary rate from the still-unrealistic Strategic satellites are essential to keep tabs on Shagan indicates, the Soviets are eager to Defense Initiative against missiles. While Soviet developments-not to mention ac- negotiate, having unilaterally ceased many of the technologies are the same- tivities in such countries as Libya and testing and having proposed an ASAT test from homing rockets to giant lasers-the Iran. Without secure spacecraft, we ban, combined with dismantlement of problem of shooting down a few satellites would be virtually blind and deaf. their existing system. in predictable orbits is infinitely simpler Worse, quick-strike threats to both We should grab that deal-with some to resolve. sides' spacecraft could be dangerously haggling over specifics. An ASAT ban is SENSE CONTINUED acquisition organizational reform without ought to be broken into two phases. provide clear and concise guidelines on solving this generic intestinal problem The first phase should determine acceptable common sense application. is doomed. how to proceed and how to define an ef- The standards for conduct and ethi- There is no question that there are fective methodology to attack the cal expectations must be clear, tough and good, motivated people in Congress, the problem. Once that can be determined, unambiguous. The commission, in this administration and industry who want then the actual reform process should second phase, ought to come up with a to solve this problem and return to a ra- begin in earnest. It ought to encompass set of recommendations that can be ap- tional DoD procurement process. all existing legislation, including stat- proved by the president and sent as a To create the right focus, a special utes, directives and regulations, as well as fixed package to the Congress, much presidential commission ought to be organizations and their involvement. It like the base closing legislation. It is im- formed - consisting of members of ought to aim for a clean sheet approach perative that all three institutions - the administration, Congress and indus- and provide a coherent set of statutes Congress, the administration and indus- try There ought to be a small but high- and regulations for government procure- try - commit to a package resolution, level group of principals. There should ment that supersede most, if not all, without allowing fractious amendments also be a working-level group, from the existing legislation. The reform should from any of the three principal groups. same participatory organizations, but address not only the legislation itself While such a commission is a highly PLEASE CREDIT ANY QUOTES OR EXCERPTS FROM THIS CBS NEWS RADIO AND TELEVISION PROGRAM TO "CBS NEWS' FACE THE NATION." FACE THE NATION Sunday, July 16, 1989 CBS Television Network, 10:30 AM - 11:00 AM, ET and the CBS Radio Network, 12:30 PM - 1:00 PM, ET MODERATOR: Lesley Stahl CBS News White House Correspondent GUESTS: BRENT SCOWCROFT National Security Adviser FRED BARNES The New Republic PETER RIDDELL Washington Bureau Chief, Financial Times of London EXECUTIVE PRODUCER: Karen Sughrue PRODUCER: Carin Pratt DIRECTOR: Paul L. Taylor ORIGINATION: Paris, France C MCMLXXXIX CBS Inc. All Rights Reserved Transcript by: News Transcripts, Inc. 1333 H Street, N.W., Suite 500 Washington, D.C. 20005 (202) 682-9050 FACE THE NATION - July 16, 1989 1 LESLEY STAHL: Welcome to Face The Nation. I'm Lesley Stahl reporting from Paris, where President Bush is just wrapping up his first economic summit with leaders of the world's richest countries. The president persuaded his summit partners to convene a conference on Eastern Europe, and they called for an urgent international effort to send emergency food aid to Poland. BRITISH PRIME MINISTER MARGARET THATCHER: We're all very anxious to help. And we're all helping, each in our own way. MS. STAHL: The Lenin shipyard, the heart and the home of Poland's Solidarity movement, site of the emotional high point of the president's trip. PRESIDENT BUSH: The brave workers of Gdansk know Poland is not alone, America stands with you. MS. STAHL: The crowd warmed to "Georgum Bushum", as they called him, but it was their leader Lech Walesa who won the loudest applause. But Walesa is facing pressure from Poles who oppose his willingness to share power with communists like General Jaruzelski, who imprisoned Solidarity leaders. They call him a war criminal. But in Warsaw, and even in Gdansk, President Bush went out of his way to praise Jaruzelski. PRESIDENT BUSH: General Jaruzelski, who has had an image in the states earlier on that was not a very favorable one, is really out front in the reform. And he went out of his way to be hospitable. MS. STAHL: In Hungary, as in Poland, the president showed a willingness to work with the communists in power. PRESIDENT BUSH: We're not there to poke a stick in the eye of Mr. Gorbachev. Just the opposite, to encourage the very kinds of reforms that he is championing and more reforms. MS. STAHL: Was the president too solicitous of communists, we'll ask his national security advisor Brent Scowencing FACE THE NATION - July 16, 1989 2 and we'll have a discussion with Fred Warnes of the New Republic and Peter Riddle of the London Financial Times. George Bush, making friends in the communist bloc, an issue facing the nation. ANNOUNCER: From CBS News, Paris, Face The Nation, with CBS News White House correspondent, Lesley Stahl. (Commercial announcements) MS. STAHL: Joining us now from Paris, National Security advisor, Brent Scowcroft. Welcome, General. GENERAL SCOWCROFT: Thank you, Lesley. MS. STAHL: Things have gone well, I take it. GENERAL SCOWCROFT: Things have gone very well. We're very pleased. MS. STAHL: I understand that smack in the middle of the summit meeting, you all, the summit leaders got a letter from Gorbachev asking that the Soviet economy somehow be linked to the world wide western economy. I'd love to know what you and what the other leaders made of the letter, and is there any possibility that the G-7 is going to become G-8. GENERAL SCOWCROFT: I think that is very, very premature. This is in a way a follow up of earlier Soviet inquiries about joining GATT, IMF, and so on. The most interesting thing though, and here is a deliberate statement that the Soviet Union wants to join the world economy. Whereas before, the Soviets have kept their economy carefully isolated, intervening when they want to, but not so that the world economy could seriously affect them. This part of it is quite a change. MS. STAHL: What was the discussion like among the leaders. Were they receptive? GENERAL SCOWCROFT: Well, they're receptive in principle. But what you have to remember is this is a highly centralized, non-market economy trying to integrate with very different kinds of economies. And the Soviets have a lot of work to do, both in terms of centralization, government fiat versus markets, convertible rubles, a long way to go. But it is very interesting. FACE THE NATION - July 16, 1989 3 MS. STAHL: It seems that Soviet leaders have taken to writing to the summit. Polish General Jaruzelski also wrote a letter to the summit marking down specifically what kind of aid he wants for his country. And I do know that the leaders have agreed to a conference, which I gather is something President Bush wanted. Tell us more about this conference on aid to Poland and Hungary that will be convened in just a couple of weeks. What level of leader will go and what do you expect will come out of it. GENERAL SCOWCROFT: Well, this was a pleasant surprise. I mean we've got the attention that we wanted and the agreement to concert our action on Poland and Hungary. But the actual agreement to convene a meetin was a surprise and occurred right in the plenary sessions themselves. MS. STAHL: Would you be surprised to know that Prime Minister Kohl of Germany is taking credit for that? GENERAL SCOWCROFT: Chancellor Kohl of Germany did, in fact, introduce the idea. MS. STAHL: And not President Bush. GENERAL SCOWCROFT: No, Chancellor Kohl introduced the idea. And that will--all the details are yet to be determined. But it will be the beginning of the effort really to concert our aid, not to get a pool of money or anything like that, but to consult among ourselves what's necessary, what each one is doing so that we, the aid is complimentary, not competitive, and we agree on what the priorities are. MS. STAHL: So after the conference, the Britiso give them an amount, the French, but no group amount be given. GENERAL SCOWCROFT: There will not be a group MS. STAHL: I want to ask you about the Europe, and why President Bush seemed to go out compliment General Jaruzelski so many times and kept calling FACE THE NATION July 16, 1989 4 wise and said it had courage and called him a reformer. This is the man who instituted marshall law, put Solidarity leaders into jail, why didn't he maintain more distance to sort of express our displeasure or distate for his past actions? GENERAL SCOWCROFT: Well, I'm not sure I agree that he went out of his way, but I think what's important to remember that this is not the General Jaruzelski of 1981. This is a very different kind of a person, and what really came across in his meetings with the president was his seriousness of purpose, his seriousness about opening up both the political process to pluralism and the economy. And his very frank and honest discussions of the economic problems that Poland faces. This is a man gripped with the problems that he's facing and showing great sincerity in trying to deal with them. That was impressive. MS. STAHL: Tell us about this new policy though, of accepting these communists despite their past actions. I mean, you know, the tiger and his spots. Why are we--what is this new policy, what's behind it, where we will give money to a regime with a communist heading. Why aren't we pushing more to support the opposition? GENERAL SCOWCROFT: What's going on now in Eastern Europe and in some sense in the Soviet Union is a sort of a historic transformation or transition period. The economic systems of all these countries have failed, and in large measure so have'the political systems. They're reaching out for new ways of dealing with their problems. They're reaching toward us in a sense, toward political pluralism, toward market economies. MS. STAHL: They're still the communists. GENERAL SCOWCROFT: of course they are. MS. STAHL: But why are we endorsing them? GENERAL SCOWCROFT: Because what the president is trying to do now is encourage them on this path, but encourage them in a responsible way, so as not to either accelerate the process, to FACE THE NATION - July 16, 1989 5 get it out of control, and cause a backlash, either domestically or on the part of the Soviet Union. So it's walking a kind of a fine line to keep moving them in this direction but not at an unacceptable pace, which could kill the whole process. MS. STAHL: Well, I think he's going to be asked a lot of questions about whether he did find the right line. Because the pictures and the message really were that in both Poland and Hungary, he seemed to say we accept the communists in power, as opposed to saying look, we're Americans, we really want to see the opposition get in, we understand it can't happen right now. But that's really where we want to see it end up. GENERAL SCOWCROFT: But look what he was blessing though. He was blessing two regimes where the oppostion is coming into actual process. MS. STAHL: In both places the regimes that are in power are communist. GENERAL SCOWCROFT: But in Poland, the opposition party now has a block against any legislation they don't like. And Hungary is going to have free and open elections. This is what we're after. MS. STAHL: Do you think the communists are going to win the free and open election in Hungary? GENERAL SCOWCROFT: I'm not prepared to make a prediction. I think there's a chance that they might MS. STAHL: And that would be okay? GENERAL SCOWCROFT: Because one of the things we observed in a very short time in Hungary is that there's a great deal of innovative thinking going on within the various parts of the communict party. Mr. Pozsgay, for evemple, has a lot of very stimulating now idoas. MS. STAHL: Is it fair to say that because we are now, and this is a new policy, this is now coming upon us, I think the dawning at least of this, on the public, new policy where we'll FACE THE NATION - July 16, 1989 6 work with a communist country. Isn't it fair to say that we're into detente II? GENERAL SCOWCROFT: This is different. This is different from detente. It's different in this sense. And that is we have now societies in the East that are transforming themselves. Detente was really live and let live. In other words, reduce the level of hostility to diplomatic, rather than military. Here now, we're helping a transformation of these societies into something very different. MS. STAHL: But still we will accept the transformation within the communist context? GENERAL SCOWCROFT: I think that's quite possible. I think in Hungary, for example, a communist party system, within which there are blocks within the communist party, eventually could be indistinguishable from a multiparty system. MS. STAHL: I want to tie this in with China. The summit produced a very mild condemnation of the Chinese crack down, along with what President Bush really has been wanting all along, no inflamatory rhetoric. What do you think the message is to Poland and Hungary about what we would do if they crack down again. Isn't the message, we wouldn't do anything? GENERAL SCOWCROFT: I think the message is quite different. I think the message is really that it is important that economic reform not get too far out in front of political reform. If the two need to be in some balance and move forward together in order for it to be successful. MS. STAHL: I'm talking about the message. GENERAL SCOWCROFT: I know what you're saying, but I think the message we're trying to convey is that message. And the fact that China was singled out for condemnation is a subtle reminder of the necessity for political pluralism to go along with economic reform. MS. STAHL: But you know you didn't answer my question, which is what about the U.S. reaction when they begin to pull back FACE THE NATION - July 16, 1989 7 on their reforms? GENERAL SCOWCROFT: I'm hoping they will not pull back on their reforms. MS. STAHL: China did, and we didn't do--we did very little. GENERAL SCOWCROFT: We've done quite a bit. We've done quite a bit. MS. STAHL: But not a lot. GENERAL SCOWCROFT: We're about--well, look, with China, we have a very important relationship there. It is not in the American interest, for example, to push China back into the days of the cultural revolution, back into the days where we fought really two wars with China as a principle opponent. MS. STAHL: What would they do if we condemned them rhetorically? Really. GENERAL SCOWCROFT: They could pull back into their shell, back to the kind of zenophobic polities during much of the post-war period. That is not in our interest, that is not in the Chinese interest. MS. STAHL: If we just increased the rhetoric a little bit, really? GENERAL SCOWCROFT: Yes. I think they're extremely sensitive about any notion of interfering in their internal affairs. MS. STAHL: They have just condemned the French for accepting the students who escaped. GENERAL SCOWCROFT: Of course. MS. STAHL: I have to switch quickly, because we're running out of time. Israel. An aid to Shimon Peres of the Labor Party says that in reality, the United States is acting as an intermediary in the negotiations between Israel and the PLO, that we are bringing messages back and forth. And anybody who denies it has their head in the sand. What's your reaction. GENERAL SCOWCROFT: We're not an intermediary conveying FACE THE NATION - July 16, 1989 8 message. No, not at all. What we are trying to do is to facilitate an elections process, now that requires movement on the part of the Israeli's, movement on the part of the Palestinians and the Arab support for them. And so naturally we are talking with the Israelis, we are talking with the Palestinians, and we are trying to advance this process. That is different from being an intermediary carrying messages. MS. STAHL: Very quickly, do you think the election process is still on track, have the Israelis now satisfied you that that is still their policy? GENERAL SCOWCROFT: We're accepting the prime minister's word as the fact. We'll have to see. The Likud declaration certainly didn't help the process. But the prime minister says they will not affect government policy, and we're taking him at his word. MS. STAHL: Okay, General Scowcroft, thank you very much for being our guest in Paris. GENERAL SCOWCROFT: It's a pleasure, Lesley. MS. STAHL: We will be back with more after this. (Announcements) MS. STAHL: Joining me now, Fred Barnes, senior editor of the New Republic, and Peter Riddell, U.S. editor of the Financial Times of London. Well three of us have been on this trip with the president, we've been to Poland, we've been to Hungary and now Paris. Let's start with you, Fred. How do you think the president's been doing? MR. BARNES: Well, in terms of symbolism, it's always great when you go behind the Iron Curtain and talk about freedom. In terms of selling himself, Bush has done very well. As an individual leader, everybody liked him. But in terms of bold, new policy, I'm not impressed. I mean, he went to Poland-- MS. STAHL: The Bush doctrine. MR. BARNES: Well, he gets to the summit here in Paris, and what's the Bush doctrine? We form a committee to look into FACE THE NATION - July 16, 1989 9 that. MS. STAHL: I want to come back to that. Peter, how has it played in Europe? MR. RIDDELL: Well, initially there was a feeling of well, here's the naive American tourist. He suddenly discovered Poland and Hungary. Gee, we knew about those some time ago. Mitterrand's been to Poland recently; Mrs. Thatcher was there last November; the Germans are in constant contact. The Americans have suddenly woken up--something's happening there. However, that changed a bit after we had some of the hype of earlier in the week. When we arrived at the summit, it was quite clear that George Bush wasn't doing a pledging competition. You know, I've given a $100 million--you must give 200. Instead, he wanted a more sober package put together; they rather approved. They all rather like him because he's constantly on the phone to them or writing letters, as if there was a convention of pen-pals. They've all come together to swap notes. So he came out with a plus. MS. STAHL: Well, you know, you say that about his personality, but isn't he also--don't they see him as somebody more serious than Reagan was-somebody who understands foreign policy? MR. RIDDELL: Oh, very much so; they do see that. They also many of them knew him when he was vice president. They see a man who's got a grasp of detail. They can have a serious talk with him. MR. BARNES: But there's another aspect to it, Lesley; and that is, he didn't push anybody very hard. He doesn't press General Jaruzelski to sell off government-owned industries in Poland. The government owns everything in Poland. He didn't push hard. Everybody liked him because there was no tension in the meetings. It was a nice time having George Bush in your country. MS. STAHL: Well, he seemed to have liked, for one, FACE THE NATION - July 16, 1989 10 Jaruzelski. I was fascinated by that Air Force One interview he gave in which he said, well, he was so hospitable. He does seem to respond. And Deng Xiaoping in China--he develops these very personal relationships with people; it's very central--I think it's going to be central to his foreign policy. MR. RIDDELL: Yes, absolutely. After all, he's been around a long time; he's known these people. You also instinctively favor stability. We heard the word stability again and again and again. And he knows perfectly well in Poland, the guy who's going to provide stability in the short term is Jaruzelski, not a new political party--even more so in Hungary. Earlier in the program, Brent Scowcroft was almost talking about the Hungarian communists winning free elections--a historic first--and talking almost approvingly of that. The whole feeling is stability, solidness. MS. STAHL: Fred, what's happened on this trip to the competition between Gorbachev and Bush? It hasn't been sort of in the frontal lobe as we've gone through it. MR. BARNES: Well, it hasn't. And that's probably because Bush did poorly in Warsaw, which was a real downer. The crowds weren't that great. But once he got to Gdansk and spoke to Solidarity, you started to get some Bush-mania. And then when you got to Hungary and the crowds were out there, Bush was overcome with it. There was real enthusiasm for him, as a person and as an American leader. MS. STAHL: So you think, in terms of the competition, he did pretty well? MR. BARNES: He recovered--off to a slow start, but had a good finishing kick. MS. STAHL: The real battlefield for this competition is Europe. In terms of how they look to the populations over here, what do you think? MR. RIDDELL: Well, obviously, for the last two or three years, Mikhail Gorbachev has gone down well. He's appeared FACE THE NATION - July 16, 1989 11 to be a peacemaker. He's appeared to be a more acceptable face for the Soviet Union. However, I think some of that's wearing a bit thin because people realize the internal problems of the Soviet Union. Also, he didn't do so well on his French trip a couple weeks ago as he had in West Germany. MS. STAHL: Right. MR. RIDDELL: The other point is, more positively for George Bush is, Europeans really didn't understand Ronald Reagan. For them, he was some weird figure. He's totally incomprehensible to them. George Bush is more comprehensible. He's a real--he appears to be a nice, decent, pleasant man. MS. STAHL: He's almost European. MR. RIDDELL: He's more European. His wife's got dogs- -loves dogs. That's great. MS. STAHL: You British. MR. RIDDELL: Yes, indeed. There will be some marriage up for Millie or some such; there will be royal blood there. But he's more intelligible, and therefore there's a plus there. The more he's been here, the more we think, oh, he's a reasonable sort of guy. MS. STAHL: So he does pretty well. MR. BARNES: But it's also, Peter, that he doesn't challenge them the way Reagan did. Reagan, out of the blue in 1983, said let's build Star Wars. And they know nothing like that is going to happen with George Bush. He's predictable. MR. RIDDELL: And more seriously, George Bush has also, in a sense, embraced Europe. He's come out--the European Commission is going to have a role in relation to Poland. He favors European unity. MS. STAHL: Well, let me ask you. You say he favors that, but, you know, there's another interpretation, and let's explain what that is. In this meeting they're going to have on Poland and Hungarian aid, he's allowing the European Community to coordinate it. Some people say that's a relinquishing of the FACE THE NATION July 16, 1989 12 role the United States has traditionally wanted, and we're relin- quishing the power partly because we don't have money, and we are a diminished power ourselves because of it. MR. BARNES: I think there was an element of American weakness or presidential weakness on this trip. We saw Bush was always worried about making Gorbachev mad. Gorbachev is sort of hovering over the whole trip. And then he got to Poland and said, well, you know, if you really want money, talk to the surplus countries. We can only give you so much. MS. STAHL: Well, you know, Fred, you're a big conservative. But there is a school of thought that I think is gaining some credibility back home; and that is that Reagan said that he won the Cold War because he built up this huge military machine. But maybe he's lost us all this power because we can't spend money. We went to Poland; we couldn't give them enough aid. It was really a drop in the bucket. We come here. They talk about the environment, but we can't contribute any money to it. Even at home when we want to spend money to solve our own social problems, there isn't anything there. MR. BARNES: But what would give the money to in Poland, though? Poland doesn't need money as much as it needs capitalism. MS. STAHL: But it's the symbolism of the United States being able to be the power that gives up the largesse instead of having to ask our allies to do it on our behalf. MR. RIDDELL: Yes, I think the interesting thing is the contrast with the Marshall Plan. The Marshall Plan 40 years àgo saved Western Europe; and Stalin stopped it going into Eastern Europe, leading to the division of Europe. Now we're seeing that there isn't a repeat Marshall Plan. It isn't billions and billions of U.S. dollars. It's small scale. However, it is binding Poland and Hungary to the West. They know that if they go a big along with reform, they 11 get a bit more. They might get access to these big international institutions with real money. But it is accepting; FACE THE NATION - July 16, 1989 13 it's a partnership. Germany matters in this, and so to a lesser extent do France and Britain; and Japan matters. It is accepting the world is different than 40 years ago. MS. STAHL: You know, you have a situation where Moscow, Gorbachev is a sort of weakened force within his bloc, and the United States is a weakened force within our alliance. MR. BARNES: Yes, but fortunately the drift is in our direction, and that's the good thing. MS. STAHL: In terms of values. MR. BARNES: You know, I went all around Warsaw. I saw people lined up at the Pan Am window to get tickets. But I went by Aeroflot, too. There was no line. MS. STAHL: No, well, you know, you really do begin-- well, you don't begin--you once again learn to appreciate how lucky we are when you do visit countries like Hungary which were part of the Western world before World War II, and to see that depressed economy. Everybody talks about how there's ample food and consumer goods, but it's nothing compared to the West. MR. RIDDELL: It's the welcome-back-to-the-West theme which George Bush had in his speech in Hungary on Wednesday. I thought it was one of the more interesting images of the week, speaking at Karl Marx University, saying apparently Marx's Das Capital is no longer required reading--lucky students--boring book. But the feeling of that, because it was the twin capital with Vienna of the Austro-Hungarian Empire before the First War. Yet it's gone done, Vienna's gone up. They are only four hours away--this symbolism. Now the feeling is they may be opening up again. MR. BARNES: My favorite symbol from that trip was the statue of Karl Marx there at the university hidden behind some sort of barrier, and some American reporters would go up to the statue and say to Karl Marx, Your system--it just doesn't work. MS. STAHL: And that's true--that's what the president FACE THE NATION - July 16, 1989 14 was basically saying in his speech. MR. BARNES: He's right. MS. STAHL: Fred Barnes, Peter Riddell. Thank you very much. We will be back with the final word. (Commercial break) MS. STAHL: That's our broadcast from Paris. Thanks for being with us. Join us again next week. We'll be back in Washington. -15- Rowland Evans and Robert Novak A Flat Summit PARIS-With the seven heads of government determined to avoid seri- ous economic questions, the only sus- The tone also was skewed by Mit- terrand's decision to revive his de- pense at the 15th economic summit was whether offstage talks between cade-old scheme for a global North- New York bankers and the Mexican South summit by inviting 25 Third World leaders to observe the 200th government would give President Bush a fervently desired triumph. Bastille Day. No other summiteer is The deadline was the summit's eager for a forum in which poor na- Sunday evening adjournment. The tions would beat up on the rich, but House, fought his way onto this trip to nobody was impolite enough to up- join G-7 counterparts. White House for months had pressed braid the imperious French host. The summiteer with a game plan Treasury Secretary Nicholas Brady Bush's alternative of aid to Poland even clearer than Mitterrand's and to polish off the Mexican debt agree- ment before then to give the presi- and Hungary, consciously competing Bush's was a head of government dent a boost at his first summit. With with Mikhail Gorbachev in breaking with a foggy past and a dimmer fu- French President Francois Mitter- down the Iron Curtain, generated few ture: Sosuke Uno, Japan's belea- rand dusting off old demands to bail sparks here. The president did not guered premier. He arrived with a out Third World nations, the heat was dare propose a Western European $46 billion package for poor countries consortium to help Poland, which that no other country could afford, a on Brady to deliver. would have attracted little support. plea for understanding of China's The reason, say U.S. officials, is ruthless rulers and a private pitch to that the Brady Plan for Third World Even if Mitterrand's global confer- Bush to take it easy on the Super-301 debt relief is not really a plan at all, ence is finessed, the Summit Seven trade negotiations. but a framework for negotiations. If could net avoid leaders of debtor nations As usual, Britain's Prime Minister the Mexican agreement were reached unexpectedly at their side. They faced Margaret Thatcher had no agenda here, it would enable Bush to exhibit typical Third World rhetorie such as but blunt language, namely that the the framework and show that the Indian Premier Rajiv Gandhi's warning blood-soaked French Revolution is scheme works. that the French Revolution was an ex- not all that praiseworthy. Her col- In fact, the Mexican deal-much plosion that the rich nations of today leagues could say the same for what less the artificial Sunday deadline-is dare not forget. President Mitterrand's bicentennial no test of the Brady Plan. Its exagger- The presence of the poor nations celebration did for this summit. ated importance reflects how far here did help Bush's one summit im- ⑉ Creature Specicate, Inc. these summits have departed from perative. Mexico's President Carlos Sa- informal comparing of notes by lead- lina, one of Mitterrand's guests, met ers of the world's industrial democra- privately with the American president cies. and was pressed to get moving on the There was no serious discussion of debt agreement. how the G-7 nations have coordinated Even further from the original notion currency fluctuations or of the signifi- of economic summits was the Seven cance of the U.S. trade bill and Eu- doing the obvious by hastily coming out rope '92. While Bush officials say this foresquare for the environment and lack of analysis resulted from a proe- against pollution. Environmental Protec- perous economy, the basic reason was tion Administrator William Reilly, more a desire to avoid the unpleasantness radical in his approach than the White at last year's Toronto summit when President Reagan demanded an end to farm subsidies. But responsibility for the stagnant mood of Paris '89 also must be laid at the door of its host. Mitterrand does not normally encourage free dis- course and certainly not at a French Revolution bicentennial summit. So formal were meetings and so tight was security that Bush chief of staff John Sununu and national security director Brent Scowcroft were denied admission to key meetings. WASHINGTON POST, 7/17/89, p. A16 WASHINGTON POST JULY 20, 1989 Pg. 8 Bush Fights Language to Curb PLO Contacts Chief of Staff John H. Sununu, na- that if the Helms language sur- By Ann Devroy hoped to get enough support with- and David B. Ottaway tional security adviser Brent Scow- vived, the president would take the out Helms to substitute their ver- Washington Post Staff Writers croft and many of their top legisla- position that he was not bound by it sion for his. tive aides engaged in a series of because it was an unconstitutional In a frantic day-long effort, Pres- At issue is a Helms amendment negotiating sessions with Helms usurpation of his authority. ident Bush and most of his top for- to the State Department authori- and separately with other key Sen- On Capitol Hill, a senior admin- eign policy advisers worked yester- zation bill that would bar talks with ate leaders to work out compromise istration official said, "We have day to kill a congressional effort to any representative of the PLO "un- language. been telling people that if this limit administration contacts with The Senate leaders on Tuesday less and until the president certifies Helms language goes through, it is the Palestine Liberation Organiza- had been given substitute admin- to Congress that he has determined likely to mean the collapse of the tion, a move the White House said istration language that they altered the representative did not directly Middle East peace progress." could mean the collapse of the Mid- in a way that was unacceptable to participate in, or conspire in, or was One administration source called dle East peace process: the White House. Yesterday, the an accessory to, the planning or yesterday's activities "extraordi- At a morning meeting with con- key Senate leaders, including Ma- execution of a terrorist activity nary" because of the number of sen- gressional leaders, Bush urged the jority Leader George J. Mitchell which resulted in the death, injury ior officials involved in negotiating defeat of an amendment by Sen. (D-Maine), Minority Leader Robert or kidnapping of an American cit- lesse Helms (R-N.C.) that would one issue, J. Dole (R-Kan.), Rudy Boschwitz izen." ban contacts with certain PLO fig- U.S. officials have been meeting (R-Minn.) and Howard M. Metzen- The compromise language would ures. According to Sen. Bob Pack- periodically in Tunisia with various baum (D-Ohio), reached a tentative delete the requirement for certifi- wood (R-Ore.), the president was PLO officials since last December, agreement with the administration cation to Congress and only have "very strong" on the subject, believ- after PLO leader Yasser Arafat re- after a lengthy Capitol Hill session Bush "concluding" that PLO partic- ing the language would "simply shut nounced terrorism and recognized down the negotiations." on language that might be accept- ipants had not engaged in such acts. Israel's right to exist. Recently, the Packwood quoted Bush as telling able to the full Senate. It also would eliminate the "acces- U.S.-PLO dialogue has included se- Late yesterday, that language, sory" language to some extent. the group, "If you pass this amend- cret meetings with Arafat's chief which administration officials said Administration officials sug- ment and shut down any negotia- deputy, Saleh Khalef, also known as does not tie the president to cer- gested that they faced what one tions with anybody that's ever even breathed on the PLO tifications to Congress and is not as called "a rolling freight train" on the Abu Iyad. A founder of the Black that's a September terrorist group, Khalef strict in its limits on who in the PLO PLO issue and could not defeat it step backward." has been implicated in the 1973 Through most of yesterday, Sec- can be contacted, was being without offering an alternative that killing of the U.S. ambassador to retary of State James A. Baker III, "shopped" through the Senate to would allow the Senate to be on Sudan and he is under indictment in Deputy Secretary of State Law- gauge its chances of acceptance. record expressing its concern about Italy for helping supply arms to the rence S. Eagleburger, White House Sources indicated the White House PLO contacts. Officials suggested Red Brigades. dent, causing an incident that fo- stallations. The Associated Press ation. as serious and that he was attocities during the long busn war cused attention on the vulnerability reported in June that a 14-year-old putting South African troops still in against SWAPO guerrillas. of key computer systems to pranks boy in Prairie Village, Kan., used a Namibia on alert. Koeovet was nominally disbanded under terms of the -brokered and sabotage. home computer to gain access to an But a U.N. monitoring team vis- The GAO report, scheduled to be Air Force computer system that ited the border area Saturday and peace accord, but most of its mem- released today, asserts that the In- reported that it found no evidence bers were incorporated into the monitors satellites. ternet's informal structure is in to support Pienaar's allegation. "In- regular police force, which remains Robert Morris Jr., the graduate stead, the situation in the north ap- in the territory to maintain order part to blame. The Internet-a web student suspected of releasing the of 500 local and national networks Internet virus last fall, has been pears to be normalizing and stability during the election campaign. This, and confidence to be returning, a SWAPO contends, is a strategem to containing 60,000 computers- suspended from Cornell and ,'js U.N. spokesman told reporters. keep a combat unit in the crucial grew up somewhat haphazardly working in the Boston area, but no Now SWAPO is protesting that northern area in contravention of over two decades and lacks a cen- formal charges have been filed, ae- Pienaar fabricated the alert to put the accord. tral manager. cording to his attorney. the organization in a bad light dur- Pienaar's spokesman, Gerhard One result, the GAO concludes, Experts have said that existing ing Perez de Cuellar's visit and to Roux, said in a telephone interview is that no one takes responsibility laws make it difficult to prosecute provide grounds for keeping the that Pienaar accepted the monitor- for ensuring that software "holes," certain computer tampering. Two counterinsurgency unit in the bor- ing team's finding that there was no such as those that allowed the virus bills introduced in the House of der area. massing on the border, but that he to infect the system, are filled in. Representatives would broaden the The dispute is the most serious still believed there were SWAPO Indeed, computer experts say more types of actions covered by existing since SWAPO nearly provoked a guerrillas moving freely around known holes exist. laws or stiffen penalties for those collapse of the Namibian indepen- southern Angola below their re- The GAO recommends that re- who knowingly sabotage comput- dence agreement by sending hun- striction line on the 16th parallel. sponsibility for security rest with ers. the president's science adviser The House Energy and Com- WASHINGTON TIMES JULY 20, 1989 Pg. 2 through the White House Office of merce subcommittee on telecom- Bush has no comment through Feb. 28. To win the ap- proval, however, the Bush adminis- Science and Technology Policy. munications and finance will hold on Contra lawsuit tration agreed to cut off the aid The office, it says, should "coordi- hearings today on the Internet vul- package in November unless eight nate the establishment of an inter- nerabilities. A spokesman said sub- President Bush refused to com- congressional leaders give their agency group to serve as an Inter- committee Chairman Edward ment yesterday on a lawsuit filed written approval to continue the by four Republican congressmen to net security focal point." Markey (D-Mass.) expects to pro- funding. block a deal made with Demo- At a news conference yesterday, "It's the required direction of the pose legislation that would imple- cratic leaders that could endanger the four congressmen argued that '90s that there be [centralized] se- ment the GAO recommendations. the $49.7 million Contra aid pack- the deal gives a legislative veto to age. each of the eight congressional WASHINGTON POST. JULY 20, 1989 Pg. F2 In a complaint filed Tuesday in leaders, six of whom are Demo- U.S. District Court, the lawmakers crats. The aid will be canceled if CONTRACTS systems and satellite claimed the Bush administration any one of the eight leaders refuses components. violated the Constitution by giving to affirm the funding in a letter to Hughes Aircraft received $54.6 congressional leaders the power General Electric received a the Bush administration. million in Navy contracts for to veto the aid package. $12.1 million Air Force In a 1983 case, the Supreme submarine missile guidance Congress voted in March to offer Court declared the legislative veto contract for F-16 components. aid to the Nicaraguan resistance LAWRENCE The Washington Post O'ROURKE The New York Times The Washington Times A WHITE The Wall Street Journal HOUSE VIEW The Christian Science Monitor New York Daily News High Marks USA Today The Chicago Tribune For Scowcroft POST IC Date 26 JUL489 WASHINGTON W HEN THE TELEPHONE rings with a prolonged and unmistakable tone in the first-floor corner office of the White House West Wing, Brent Scowcroft, the national security adviser, imme- diately stops what he's doing and picks it up. During his first six months in the The president, aware from ex- "Yes, sir," Scowcroft answers, not White House, Bush made four for- perience about institutional in-fight- even waiting for the "Hello, Brent." eign trips, stopping at Japan, China, ing in government, meets regularly President George Bush calls sev- South Korea, Canada, Italy, Vatican and privately with Baker and Chen- eral times a day, sometimes to ask City, West Germany, Belgium, Eng- ey. So if Scowcroft, Baker and Chen- for clarification of a piece of infor- land, Poland, Hungary, France and ey disagree, they have opportunity mation in a cable, sometimes just to the Netherlands. He has announced to present their position directly to bounce a thought off Scowcroft, the a trip in late October to Costa Rica, the decision-maker. retired Air Force general who at the and that may just be the first stop on Aides to Reagan wondered moment, according to several White an extended late fall tour. whether he ever read the docu- House aides, is doing the job of na- Later in the year, say about ments prepared for him by the Na- tional security adviser just about as the first part of December, Bush tional Security Council. To accom- well as it can be done. could well meet with Soviet leader modate the president's work habits, Scowcroft is doing it so well that Mikhail S. Gorbachev. Nothing's set they usually boiled down documents people are actually talking about yet, but the people around Bush be- to one page. Bush - who served in cooperation, rather than competi- lieve that the miners' strike in the the 1970s as director of Central In- tion, between the State Department Soviet Union is another reminder to telligence - is said to dislike distil- and the National Security Council, the rulers in the Kremlim that they lation of intelligence reports and to which Scowcroft heads. have to take steps to raise the peo- prefer to read the entire report, es- ple's living standards. pecially when it concerns a part of There may be differences be- Bush has let Gorbachev know that the world with which he has experi- tween Scowcroft and Secretary of conventional and nuclear arms re- ence. This means that Scowcroft has State James A. Baker III over U.S. ductions, economic cooperation and to read most of this material too. policy. But those differences have eventual integration of the Soviet The next ring on the telephone not been personalized, and the dif- and Western economies, cessation could be from the Oval office. ferences are not very wide. Neither of support for pro-Soviet insurgen- man is arguing his position through cies and political improvements in leaks to Congress or the press. the Soviet Union and Warsaw Pact And the policy that is being fol- nations are parts of a single pack- lowed is Bush's - not Baker's and age. These parts move together, not Scowcroft's, as both men will Bush said. quickly tell visitors. The president Scowcroft's job is to gather and hears out his principal foreign poli- assess information and to coordi- cy advisers, including Central Intel- nate activities of the State and De- ligence Agency Director William H. fense Departments and the CIA and Webster, then makes up his own other intelligence agencies. Well-in- mind. He did that with the decision formed sources say that Scowcroft's to maintain harmonious relations National Security Council is not an with the Chinese government, de- action agency; it will not have its spite the crackdown on the pro-de- Oliver L. North. mocracy demonstrators in Tianan- Neither is Scowcroft a Henry A. men Square. Some aides wanted Kissinger, who as Nixon's national Bush to be tougher, but the presi- security adviser brushed aside the dent said this is what we'll do, and State Department. It was a different that was the end of the debate. story when Kissinger became Ger- On foreign policy, Bush may well ald R. Ford's secretary of state. be the most informed and interest- Scowcroft was Kissinger's successor ed president since Richard M. Nix- at the National Security Council. on. Bush gets two formal briefings a Ford's chief of staff was Richard B. day, with Scowcroft usually at both Cheney, now defense secretary. of them, and a pile of cables. Bush Ford's delegate-hunter at the Re- regularly calls foreign leaders and publican National Convention in specialists at home and abroad. 1976 was James Baker. So Bush's Bush is said to prefer unedited ca- team has three men who worked bles rather than the synopsized ver- together before with amicability sions prepared for President Ron- and are now doing it again. Page 28 ald Reagan. forces have a long, sad history LONDON FINANCIAL TIMES JULY 27, 1989 Pg. 14 of discovering radical design faults only after delivery. strength in the arms talks with None of these adjustments, The politics of the USSR. But the House of however, make any sense of Representatives on Tuesday the total programme, which voted by a large majority in exceeds US defence needs as favour of cutting this year's much as its capacity to pay. spending on the Strategic This is because the preserva- US defence Defence Initiative (SDI) from tion of the Reagan shopping the $4.9bn requested by Presi- list is not just a negotiating dent Bush to $3.1bn - a pro- ploy. It reflects US political posal which still remains to be rather than defence needs. The IT IS HARD at first sight to the V22 high speed helicopter approved by a joint Senate- Administration is still arguing believe that the weapons pro-: ($28bn), and the F14 fighter (a House conference. Final votes about the choices. Mr Brent curement arguments now mere $800m), and to reduce the are also pending on proposals Scowcroft, the National Secu- going on between the US naval shipbuilding programme. for cuts in the B2 programme, rity Adviser, is sceptical about Administration and Congress The aircraft have many friends or even its complete cancella- SDI, and favours Midgetman, a are taking place in a country in Congress and seem likely to tion. single-warhead mobile missile with a budget problem. Presi- survive after a strong House This looks helpful, but prob- which would assure second dent Bush inherited from Mr vote to reject the Administra- ably is not. If some pro- strike capability through sheer Reagan a defence programme tion's defence budget. grammes are eliminated in the numbers. However, SDI is which would have cost some The President rescued the arms talks, then every penny something of a Republican $300bn more than the sums mobile single-warhead Midget- saved in the meantime is totem, and Midgetman is allowed in either the Reagan or man, and has proposed spend- worthwhile; but the proposed known as a Democratic pro- the Bush budget plans over the ing up to a further $400bn - savings so far are not in the gramme. The multi-warhead next five years. Mr Bush pro- literally an astronomical sum missile programmes which are MX missile, which according to posed a freeze in real terms, - over the next 20 years to likeliest to go. For continuing the Washington defence think- Congress reduced that to a explore Mars. He has also been programmes, experience shows tanks is the least necessary of cash freeze, and the new campaigning hard to preserve that the Congressional habit of the major programmes, was a Defence Secretary, Mr Richard the B2 "stealth" bomber pro- stretching out expensive pro- Reagan project heavily sold to Cheney, said that he would gramme from Congressmen jects to meet budget targets reluctant allies; a cut is not make the necessary hard even discussed. outraged at its $70bn cost. simply inflates the final cost. choices. He has not been Nobody, of course, intends For the B2, Republican leaders Party politics are also at allowed to do so. Mr Cheney that all these sums will actu- have sensibly argued that no stake: if weapons are to be can- proposed to cancel three pro- ally be spent. Mr Bush argues production order for it be celled, there might be advan- grammes - the Midgetman that he must keep all his placed until the prototypes tage for Mr Bush if a Demo- missile (a $3.1bn down pay- defence options open to have passed stiff flying and cratic Congress made the cuts. The Democrats well under- ment on a $50bn programme), increase his bargaining operational tests. The armed stand this, and are unlikely to make the Administration's choices for it; they will simply be niggardly. Meanwhile, the maximum amount of highly skilled manpower is tied down on projects which may have no future. Even the Pentagon admits that this is damaging the country's industrial base, and thus its economic security. WASHINGTON POST JULY 28, 1989 Pg. 25 Marshal Akhromeyev's Mark on Congress Rowland Evans and Robert Novak certain to win approval of a proviso designed to force the administration to destroy long-range missiles on Poseidon submarines. Pigeonholed for six months by President toughly worded letter to Scowcroft by half a Defense-oriented senators of both parties who Bush's national security staff, an unclassified dozen Republican senators was needed to break smell danger for the United States as the Soviets Pentagon report finally sent to Congress last loose the report-too late to affect Tuesday's move toward strategic superiority will mount a week warns that the Soviet Union may achieve "a overwhelming anti-SDI vote in the House. counterattack when the defense authorization bill decisive military advantage" because of the mo- Overshadowing SDI is the growing gap in returns to the floor next week: But prospects are mentum of its offensive and defensive military Soviet VS. U.S. long-range offensive missile pro- duction. Retired Gen. William Odom, top Soviet poor. Gorbachev's peace offensive pledge has programs. created a transcendent mood on Capitol Hill, no The paper has been seized on by pro-defense specialist in the Carter White House and former matter how many warnings come from defense head of the National Security Agency, warned the congressmen as evidence of the danger in unilat- experts. The mood may persist until the Russian House Armed Services Committee in testimony eral U.S. disarmament induced by euphoria over bear reverts to form, but that could be too late. on the defense bill that Gorbachev's strategy "is Mikhail Gorbachev. While Moscow rushes pro- O1989, Creators Syndicate, Inc. not at all defensive." duction of two big new mobile missiles far exceed- Committee members listened respectfully ing limits set by the unratified SALT II treaty, when Odom was contradicted by Soviet Marshal congressional disarmers demand cutbacks of U.S. Sergei Akhromeyev's spectacular testimony to nuclear-firing submarines to comply with that UK them last week. The marshal won standing ap- from Pg. 12 discarded pact. plause from the congressmen after insisting that Demonstrating congressional susceptibility to defense has become the key element of Soviet to meet a number of MoD concerns. Gorbachev's promised end to East-West confron- military strategy. Gorbachev's top military advis- "What it needs is some kind of tation, pacifism is in ascendancy on Capitol Hill. er apparently made a stronger impression on the guarantee that the systems will work Congress is taking one bite after another out of a House Armed Services Committee than did the when they're all put together. It's looking defense bill to which even the administration American general. for a body that will take responsibility for seems less than committed when it comes to SDI. That is behind the decision of both the House systems actually delivering the weapons When 34 Republicans joined Democrats in cutting and the Senate this week to put the B-2 Stealth on target." SDI, Capitol Hill insiders blamed indifferent ad- bomber in semi-mothballs, virtually guaranteeing He added that "currently nobody within ministration lobbying. that the planned 132 bombers capable of eluding the programme is responsible for this." Symptomatic of the Bush team's ambivalence Soviet defenses will never be built. The B-2 or confusion on national security is the long delay slowdown comes in the face of annual Soviet Although this kind of approach is novel for the UK, it has been adopted on a in releasing the report. It warns that "the combi- production, estimated today at 200 mobile, sin- nation of Soviet offensive and defensive develop- gle-warhead SS-25 missiles and 50 mobile SS- number of US projects. The US Navy's No U.S. SH-60B Seahawk LAMPS 3 helicopter ments, if unanswered, may provide Union with a decisive military advar near future." It was written and submission to Congress late last year defense of the SDI program. But insiders, fairly or not, have alw the president's own commitment to report, which could not legally be without White House consent, was by the national security staff, whos SDI Newsweek 5 Time U.S. News & World Report Date 31 July '89 Some think President Bush will send the agency chief out in the cold CIA Is Webster on the Outs? K ey congressmen and some Bill Webster is running the administration officials agency," says national-security are disenchanted with the adviser Brent Scowcroft. But performance of CIA Director administration sources say William Webster, who has some Bush aides were unhap- long been praised for cleaning py with intelligence reporting up the FBI in the 1970s and before and during the upheav- calming down the CIA after the als in China. And rumors per- Iran-contra troubles. Recent sist that Bush considers Web- complaints stem from Web- ster an interim director, and ster's refusal to give the will replace him with Ambas- House Intelligence Committee sador to China Jim Lilley with- access to CIA inspector-gener- in a year. al reports, a lapse Pennsylva- nia Republican Bud Shuster called "a serious mistake." At the same time a growing number of intelligence and congressional insiders are complaining that Webster is a hands-off manager with only superficial knowledge of intelligence issues. "He's really more interested in his social world and his tennis," complains one intelligence source. Other insiders told NEWSWEEK that during a se- cret hearing before the Senate Appropriations Committee in April, the panel was distressed by Webster's "astoundingly bad" grasp of facts about the CIA budget. The White House strongly denies any dissatisfaction with the director. "The president has full confidence in the way Page 2.