1. JORDAN-SAUDI ARABIA: HAWKING MISSILES
JORDANIAN PRIME MINISTER RIFAI SAYS PART OF THE PRESENT
FLAP IN RIYADH OVER HAWK MISSILE FINANCING CAN BE BLAMED
ON THE SAUDIS, WHO "DO NOT READ ANYTHING" AND PROBABLY HAD
NOT TOLD FAHD OF THE TOTAL COST. IN A CONVERSATION WITH
AMBASSADOR PICKERING, RIFAI:
--INSISTED THE GOJ PASSED THE SAUDIS OUR DECEMBER LET-
TER DETAILING PROJECT COSTS;
--SAID FAHD OBJECTED TO WHAT HE SAW AS A SHORT DEAD-
LINE AND TO THE "PRICE INCREASE," WHICH HE LEARNED
ABOUT ONLY IN LATE JANUARY;
SECRET
SECRET
PAGE 02 STATE 027008
--OPINED THAT THE SAUDIS ARE STILL WILLING TO SUPPORT
THE PROJECT BUT WANT TO DISCUSS PRICE, TIMING AND
DELIVERY SCHEDULES WITH THE USG.
EMBASSY JIDDA, MEANWHILE, SAYS THAT FAHD IS STILL CHAFING
AT THE COSTS OF THE PROJECT AND MAY ASK JORDAN TO APPROACH
OTHER COUNTRIES TO FUND A THIRD OF THE $700 MILLION COST.
(SECRET) JIDDA 785 AND (SECRET) AMMAN 601 (EXDIS), 2/3.)
2. LEBANON
A. BATTLES ARE MAINLY POLITICAL
EMBASSY BEIRUT SAYS SECURITY IS IMPROVING THERE, AND POLIT-
ICAL BARGAINING OVER THE FORM AND SUBSTANCE OF A FINAL SET-
TLEMENT OCCUPIES THE MINDS OF POLITICAL LEADERS. ACTIVE ON
THE POLITICAL SCENE ARE:
--JUMBLATT, WHOSE FANCY FOOTWORK APPEARS AIMED AT BE-
COMING PRIME MINISTER OR SPEAKER OF PARLIAMENT;
--KARAME, WHOSE STATEMENTS ON THE FRANGIE-ASAD-KARAME
SUMMIT INDICATE THE SYRIANS WILL GUARANTEE PALESTINIAN
GOOD BEHAVIOR; AND
--THE CABINET, WHICH IS STILL TRYING TO FORMULATE A
SETTLEMENT ACCEPTABLE TO THE MARONITES BEFORE FIRMING
UP THE FRANGIE TRIP TO DAMASCUS.
EMBASSY COMMENT: THIS IS THE LEBANON THAT VETERANS OF THE
PAST KNOW AND LOVE; WITH THE SYRIANS STILL HARD AT WORK AND
THE LEBANESE SENSE OF THE ABSURD EVIDENTLY RETURNING SLOWLY,
THERE IS SOME JUSTIFICATION FOR HOPE THAT A LASTING POLITI-
CAL CONSENSUS CAN BE REACHED, DESPITE THE SLIPPAGE WE ARE
WITNESSING.
B. SUSPICION OVER LONG-TERM SYRIAN INTENTIONS
THE JANUARY 31 ATTACKS ON TWO BEIRUT NEWPAPERS CARRIED OUT
BY THE SYRIAN-SPONSORED SA'IQA HAVE GENERATED:
SECRET
SECRET
PAGE 03 STATE 027008
--CONDEMNATION FROM ALL SECTORS; AND,
--THE SUSPICION THAT THE SYRIANS INTEND TO EXTEND
THEIR RESIDUAL INFLUENCE OVER LEBANON.
EMBASSY COMMENT: WE DO NOT FIND CONVINCING EVIDENCE TO
JUSTIFY THIS SUSPICION. IT SEEMS UNLIKELY, HOWEVER, THAT
THE SYRIANS, HAVING RESCUED LEBANON FROM ITS SPECIAL KIND
OF HELL, WILL DEPART WITHOUT EXACTING SOME PRICE WHICH WILL
PERMIT DAMASCUS TO PREVENT A REPETITION OF PAST STRIFE.
(CONFIDENTIAL) BEIRUT 1065, 2/2; BEIRUT 1091 AND 1100, 2/3.)
3. FRANCE: MITTERRAND WORRIED
SOCIALIST PARTY INTERNATIONAL SECRETARY PONTILLON HAS IN-
FORMED EMBASSY PARIS THAT MITTERRAND IS CONCERNED ABOUT THE
US SECURITY COMMITMENT TO FRANCE AND:
--WANTS ASSURANCES THAT THE US WOULD MAINTAIN ITS
DEFENSE UMBRELLA IF A SOCIALIST-COMMUNIST ALLIANCE
COMES TO POWER IN 1978; AND,
--WILL DEVOTE A GREATER PART OF HIS INFORMAL CONTACTS
WITH THE EMBASSY TO DEFENSE QUESTIONS.
EMBASSY COMMENT: MITTERRAND'S CONCERN SUGGESTS THAT RECENT
EFFORTS TO WARN HIM AGAINST THE POTENTIALLY FAR-REACHING
EFFECTS OF A PS-PC ALLIANCE HAVE HIT THE MARK PRIVATELY,
ALTHOUGH HE WILL UNDOUBTEDLY CONTINUE TO MAINTAIN HIS CUR-
RENT PUBLIC STANCE. (SECRET) PARIS 3254 (EXDIS), 2/3.)
4. KISSINGER-BRANDT EXCHANGE: THE SPD DEFENDS ITSELF
EMBASSY BONN BELIEVES THE SPD WAS RESPONSIBLE FOR LEAKING
THE BRANDT-KISSINGER EXCHANGE ON COMMUNIST PARTICIPATION
IN WESTERN EUROPEAN GOVERNMENTS. DER SPIEGEL CITED THE
KISSINGER LETTER AS PROOF THE SECRETARY IS NOT CRITICAL OF
THE SPD, WHICH WAS UNDER FIRE BECAUSE OF BRANDT'S DEFENSE
OF "INFORMATIONAL CONTACTS" BETWEEN EUROPEAN LEADERS AND
THE COMMUNIST PARTIES OF THEIR COUNTRIES. (CONFIDENTIAL)
SECRET
SECRET
PAGE 04 STATE 027008
BONN 1838, 2/3.) INGERSOLL
SECRET
NNN