August 1, 1995
#a
O'Leary: U.S. Wants To Restore Full Ties With New Zealand

Washington -- “The ultimate aim of our efforts with respect to New
Zealand is to restore the broad range of ties -- including security
links -- with New Zealand that we enjoyed prior to the events of the
mid-1980s,” said Sandra O'Leary, deputy assistant secretary of state
for East Asia and Pacific affairs.

Testifying at a July 31 hearing of the House International Relations
Subcommittee on Asia and the Pacific, O'Leary said that in the
mid-1980s, New Zealand adopted anti-nuclear policies, later enacted as
legislation, that effectively bar visits by U.S. military ships or
aircraft that carry nuclear weapons or are nuclear-powered.

“This of course conflicts with our longstanding, global policy of
neither confirming nor denying the presence or absence of nuclear
weapons on particular aircraft or ships (NCND),” she said.

O'Leary said that the United States has “removed all tactical nuclear
weapons and the nuclear capability from most of our ships, although
our NCND policy remains in place.”

New Zealand's Somers Commission has also found U.S. nuclear-propelled
Navy ships to be safe.

“We are hopeful that at some point New Zealand will be in a position
to rethink its anti-nuclear legislation in light of these facts and
the changed international circumstances,” O'Leary said.

O'Leary also summarized U.S.-New Zealand cooperation on other areas,
including the establishment of the World Trade Organization (WTO), the
Asia Pacific Economic Cooperation forum (APEC), the ASEAN Regional
Forum, peacekeeping operations, and Antarctic programs. The U.S.
Antarctic Program is based in Christchurch, New Zealand.

O'Leary concluded that “despite the encouraging developments of recent
years, the world remains an unsettled place and alliances and
partnerships are of no less value than they have been in the past.
Democratic countries still need to work together to preserve peace and
to promote our mutual prosperity. New Zealand and the United States
are natural partners, and we would like to see our cooperation extend
once again across all aspects of our respective policies, including in
the security arena.”

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Travel Advisory For Croatia

Washington -- The State Department issued a travel advisory for
Croatia July 26, 1995.

Following is the text of the advisory:

TRAVEL WARNING -- CROATIA

July 26, 1995

The Department of State warns U.S. citizens to avoid travel to Croatia
because of the potential for rapid changes in the security situation
there stemming from internal Serb-Croat fighting and the ongoing war
in neighboring Bosnia-Herzegovina. Zagreb was attacked by Serb
missiles in May 1995 and November 1993, and the threat of continued
attacks remains. The July 21 announcement at the London conference
about possible NATO military action raises the possibility of Serb
reprisals against international personnel in the region. On July 26,
all family members of U.S. government personnel stationed in Croatia
were authorized to depart the country temporarily, if they so choose.

Despite unsettled conditions in the remainder of Croatia, the city of
Rijeka and the Istrian Peninsula in western Croatia are beyond the
range of Serb shells and are largely unaffected by the fighting. This
area is accessible by road from Slovenia or ferry from Italy.

No. 95-024

This replaces the Travel Warning for Croatia dated July 25, 1995, to
change the departure of family members of U.S. government employees
from ordered to authorized.

#a
Clinton Advisers See $160,000 Million Budget Deficit In 1995

Washington -- The Clinton administration's top economic advisers are
projecting a $160,000 million U.S. government budget deficit for the
current fiscal year ending September 30.

Lower projected interest rates should bring the fiscal deficit into
surplus by 2004, one year earlier than previously projected, if the
president's economic plan is adopted, Alice Rivlin, director of the
Office of Management and Budget, said July 31.

The latest budget projections, presented in the administration's
mid-year review of the budget, show the deficit rising slightly to
$163,000 million in 1996 and $179,000 million in 1997 and then falling
until the budget achieves a $7,000 million surplus by 2004.

The latest fiscal year 1995 deficit estimate would fall 45 percent
below the record $290,000 million deficit of 1992 and $33,000 million
below the administration's February estimate.

Rivlin predicted U.S. economic growth to remain on a path of about
2.5-percent annual growth through the rest of the decade, estimating
1.9-percent growth from the fourth quarter of 1994 to the fourth
quarter of 1995.

The administration projects interest rates on 91-day Treasury bills
falling from an average 5.7 percent this year to 5.4 percent in 1996
and trending slowly down to annual averages of 4.4 percent in
2002-2005. Long-term rates interest are predicted to fall from 6.6
percent in 1995 to 5.3 percent in 2005. These estimates are based on
adoption of the president's budget package of moderate tax and
substantial spending cuts.

Assuming no change from existing economic policies, the administration
said that short-term interest rates would hover around 5.5 percent and
long-term rates would rise and level off at 7.0 percent in 1997.

Rivlin called the administration's projection's “sound and realistic,”
even “on the conservative side,” when compared to estimates being made
by private forecasters. “We believe we are on solid ground,” she said.

Following are some of the key projections and assumptions from the
report:

OMB ESTIMATES FOR U.S. GOVERNMENT BUDGETS 1995-2002
In $1,000 million

	    1995 1996 1997 1998 1999 2000 2001 2002
Receipts 1,358 1,415 1,474 1,549 1,628 1,716 1,807 1,903
Outlays 1,518 1,578 1,655 1,713 1,777 1,846 1,903 1,966
Deficit/
 Surplus -160 -163 -179 -161 -146 -125 -91 -58


OMB ECONOMIC ASSUMPTIONS 1995-2002
Gross domestic product (GDP) and consumer price index (CPI) measured
as percent change fourth quarter to fourth quarter, unemployment rate
measured as annual average percent

		1995 1996 1997 1998 1999 2000 2001 2002
GDP 1.9 2.5 2.5 2.5 2.5 2.5 2.4 2.4
CPI 3.2 3.2 3.2 3.2 3.1 3.1 3.1 3.1
Unemployment 5.8 5.9 5.8 5.8 5.8 5.8 5.8 5.8
91-day
 T-bill rate 5.7 5.4 5.2 5.0 4.8 4.6 4.6 4.4
10-year
 Treasury note 6.6 6.5 6.6 6.4 6.2 6.0 5.8 5.6

#a
#vcroatia
Clinton: We Still Might Sustain A Veto On The Arms Lift

Washington -- President Clinton said August 1 that ”whatever the vote
is (in Congress on lifting the arms embargo on Bosnia), we still might
sustain a veto.“

Speaking briefly in a press availability, Clinton said that he ”was
encouraged by a few people who told me that they had decided on
reflection that it was not the thing to do now. The Rapid Reaction
Force, after all, is showing some strength there.

“And I would remind you that the only thing that has ever worked in
the last two and a half years is when the Bosnian Serbs thought the
United Nations would permit NATO and the Americans who are working
with NATO to use air power to stop the aggression so that there would
have to be a negotiated settlement. And in the last several days, the
last couple of weeks in Gorazde, you know, we've gotten five convoys
through; there has been no assault on it.

”And I think that this new strategy will work if we can hammer out a
negotiated settlement, and there's a new effort there. So I believe
that is the best strategy. I've said it all along, and I haven't
changed my position. I'm going to try to see that position prevail.“

#a
Top U.N. Official Briefs On Beijing Women's Conference

WASHINGTON -- The upcoming Fourth World Conference on Women in Beijing
is expected to be the largest conference ever held by the United
Nations, with 185 nations represented. That was the prediction voiced
July 26 by Gertrude Mongella, the secretary-general in charge of the
event.

Speaking with reporters during an appearance at the National Press
Club, Mongella, who is Tanzanian, said interest in the September 4-15
conference and an affiliated August 31-September 8 forum for
non-governmental organizations is very high, with more than 5,000
people coming from Japan alone.

Representatives from more than 2,000 non-governmental organizations
are expected to be part of the 50,000 people expected for the two
overlapping Beijing events.

Asked why this event is so special and about its potential impact, she
said, “The participation [so far] of the civil society has been
great...apart from depending on the governments... ,This is a big
change.”

Repeating that “women's issues are no longer only the concerns of
women,” she added: “They [men] cannot solve” key problems, like
overpopulation and poverty, without women. For that reason, she said,
“you can no longer ignore women.”

Commenting on the controversy swirling around China playing host to
the conference, Mongella responded: “If it has been challenging to me
to be secretary-general of this conference, the most challenging issue
is to prepare a conference in China.

”Many people have been addressing the question of China, and not the
agenda. So I have taken a lot of my time to say, 'We are going to have
a conference on women. As much as the questions on China are
important, they cannot replace the important agenda on women.'

“This is the chance for the world again to focus on the problems of
women. Women are very far from being equal. In constitutions, the
equality has been granted, but in practical life -- all over the
world, where I have traveled wide and far -- women are still suffering
a low status in their own societies. In many places, women are not
even paid an equal salary for a job of equal value.”

In some countries, she lamented, women cannot inherit property and are
still suffering physical abuse.

“We expect to get a commitment from people who will be going to
Beijing. We expect women to become even stronger after we come from
Beijing, to network and to make sure there is concrete follow-up to
the actions which will be decided in Beijing.”

There have been three previous United Nations world conferences on
women: Mexico City, 1975; Copenhagen, 1980; and Nairobi, 1985.

#a
Arab Americans Join In Call For End To Bosnia Conflict

Washington -- The National Association of Arab Americans (NAAA) on
July 31 joined a broad national coalition in a joint statement calling
for multi-lateral military action to end the massacre of innocent
civilians in Bosnia.

Following is the text of the NAAA news release with the joint
statement:

The National Association of Arab Americans (NAAA) today joined 26
other national organizations in an unprecedented joint statement
calling for multi-lateral military action to end the massacre of
innocent civilians in Bosnia. The coalition, initiated by Human Rights
Watch, includes human rights, humanitarian, religious and professional
organizations concerned about genocidal atrocities in Bosnia.

NAAA Executive Director Khalil E. Jahshan described the new coalition
as “phase one of a new intensive campaign by a wide cross-section of
American organizations united by their concern about the deteriorating
situation in Bosnia, the fact that the carnage has gone too long and
that U.S. and international response has been inadequate.” Jahshan
said that Arab Americans “are encouraged by the formation of this
broad coalition and are pleased to join it. We will be coordinating
closely with our coalition partners in our continuing efforts to end
the conflict in Bosnia.”

Jahshan confirmed that members of the new coalition will be seeking an
audience with high-ranking Administration officials to convey to them
the concerns of the signatories. The statement will also be
distributed to all members of Congress.

JOINT POLICY STATEMENT ON BOSNIA

The international community's half-measures and evasions have not
ended three years of ethnic slaughter in Bosnia. It is time for
leadership and action. Bosnia is not a faraway land of no concern to
our “national interest.” At stake is the global commitment to
fundamental human values -- the right not to be killed because of
one's religious or ethnic heritage, and the right of civilians not to
be targeted by combatants.

The U.N. General Assembly, the U.N. Commission on Human Rights, the
World Conference on Human Rights, and the International Criminal
Tribunal for the Former Yugoslavia have all decried the slaughter in
Bosnia as genocide, one of the most heinous crimes known to humanity.
The international community has a moral and legal duty to prevent
genocide (Convention on the Prevention and Punishment of the Crime of
Genocide, Art. VIII) and to see that its instigators and those
responsible for parallel war crimes and crimes against humanity are
brought to justice.

The time has come for multilateral military action to end the massacre
of innocent civilians in Bosnia. Nothing else has worked. Force must
be used to stop genocide, not simply to retreat from it. American
leadership, in particular, is required.

#a
War Against Narco-Traffickers Critical Issue In Mexico

The deputy spokesman rejected a published allegation that U.S. drug
policy with respect to Mexico was muted in the late 1980s and early
1990s because of concerns about stability in Mexico and the fate of
the North Atlantic Free Trade Agreement (NAFTA).

His comment was prompted by a New York Times article which asserted
that the United States had “often exaggerated the Mexican government's
progress in the fight against drugs, playing down corruption and
glossing over failures” because of those concerns.

“I've seen the article and reject the notion that our drug policy with
respect to Mexico or any other country is based on primacy of any
other issue,” the deputy spokesman declared.

“The shift of drug smuggling from routes through the Caribbean to
those through Mexico has increased the challenge of confronting drug
trafficking in Mexico and has made, as President (Ernesto) Zedillo
himself has stated, the war against narco-traffickers a critical
national security issue in Mexico,” Johnson said. “He has acknowledged
the problems of drug trafficking and narco-corruption publicly and has
taken some positive initial steps. He has launched for instance a
massive administration of justice reform campaign.

The United States has ”an active and ongoing“ counter-narcotics
campaign with Mexico, the deputy spokesman emphasized, and has ”had
one all during the last several years, including all the time that we
were negotiating the NAFTA and seeking its approval by the Congress.“

#a
Rubin Says Mexico Making Great Strides Toward Recovery

Washington -- U.S. Secretary of the Treasury Robert Rubin says that
Mexico's strong economic-adjustment program is working and that the
country continues to meet the tough economic conditions set by the
U.S.-led international assistance program.

”Mexico has come a long way in a short time,“ Rubin said in statement
released July 31 along with the Treasury Department's third monthly
report to Congress on Mexico. ”Its recession is deep, but with sound
financial policies, continued structural reform and strong trade
performance, growth should return by 1996.“

Monthly Treasury Department reports on the current condition of the
Mexican economy are required under the Mexican Debt Disclosure Act of
1995.

Rubin said that private financial markets are responding positively to
Mexico's adjustment program, that the peso has strengthened about 25
percent since its low in March, and that the stock of outstanding
”tesobonos“ -- short-term government debt -- has been cut by more than
two-thirds since the beginning of the year.

According to the report, Mexico's nominal monetary base has fallen 16
percent from January 1 to July 21. It said the Mexican government has
produced a budget surplus for the first four months of the year and
has started to sell off Mexico's public telecommunications, port and
energy companies. It also reported that Mexico's international
reserves exceeded $13,900 million as of July 21, up from $3,400
million at the end of January, and that the Mexican stock market has
rebounded 70 percent since February and now stands at pre-crisis
levels in peso terms.

The report said foreign investors have returned to Mexico and have
bought securities issued by the government and state agencies, in
sharp contrast to the 1982 debt crisis when foreign investors shunned
Mexican government securities for almost seven years.

It said that the Mexican banking sector remains weak, but that the
government, supported by World Bank and Inter-American Development
Bank loans, has taken steps to shore up troubled banks.

So far, the United States has disbursed $13,500 million under the
support package, leaving $7,500 million more available to Mexico in
stages, should it be needed and should Mexico remain in compliance
with agreements it signed on February 21. Of the $13,500 million,
Mexico has paid back only $1,000 million to date, but has not missed
any interest payments or principal repayments, the report said.

#a
#vdole
Congressional Report, Monday, July 31

SENATE BEGINS DEBATE ON FOREIGN AFFAIRS CONSOLIDATION

The Senate July 31 began debate on legislation (S.908) offered by
Senate Foreign Relations Committee chair Jesse Helms to eliminate
three independent foreign affairs agencies and consolidate some of
their functions into the State Department.

Proposed for elimination are the U.S. Information Agency (USIA), the
U.S. Agency for International Development (USAID), and the Arms
Control and Disarmament Agency (ACDA). The legislation, known as the
Foreign Relations Revitalization Act, also deals with foreign service
reform and with U.S.-assessed contributions to the United Nations and
to U.N. peacekeeping activities.

In a statement released by the White House July 26, President Clinton
said S.908 ”would undermine the president's authority to conduct our
nation's foreign policy and deny us the resources we need to lead in
the world. If this legislation comes to my desk in its present form, I
will veto it.“

In the first 90 minutes of debate on the Senate floor, sharp partisan
differences on the legislation were expressed.

Helms said the Clinton administration has rejected any attempt to help
shape the language in the legislation. There has not been ”one iota of
cooperation from the administration -- not one iota of consideration,“
he declared. The administration plan, he said, ”is to delay this
legislation, to derail this legislation...to kill the merger“ through
endless debate on the bill.

Helms noted that Senate Majority Leader Bob Dole had scheduled a
cloture vote for August 1 to limit debate on the bill so that it can
come to a vote. A cloture vote requires three-fifths of the members of
the Senate, or 60 senators, to vote to limit debate.

Helms criticized the Senate for being so far behind the House in
passing legislation. There is a deliberate, determined, attempt by the
Democratic minority to delay or obfuscate every piece of legislation
that has been brought up in the Senate, he said.

Democratic Senator John Kerry pointed out that in the last Congress,
where Republicans were in the minority, they practiced ”a conscious
gridlock policy. Every good faith effort (on the part of the
Democrats) was frustrated,“ he said.

He characterized Helms' remarks aimed at the Democrats as ”unfounded,
uncalled for, unnecessary and out of order in the first hour and a
half of debate“ on the Foreign Relations Revitalization Act.

The Foreign Relations Committee, on a party-line vote of 10 to 8,
approved the legislation June 9.

Congressional sources say as many as 40 amendments to the Helms
measure might be offered on the Senate floor dealing with a wide
variety of subjects including consolidation, NATO, Cuba, Serbia,
Taiwan, Guatemala, Mexico, Haiti, and the War Powers Act.

During the initial hours of the debate, Senate Majority Leader Bob
Dole proposed cutting by $3.5 million dollars, or 50 percent, State
Department funds for future international conferences if Department of
State funds ”were obligated or expended“ for the upcoming U.N. Womens'
Conference in Beijing while American citizen Harry Wu is imprisoned by
the Chinese.

And Helms proposed revising the Dole amendment to say ”not less than
$20 million“ (the amount was later modified in Senate floor action to
$10 million) shall be withheld from State Department funds in fiscal
year 1996 ”until the Secretary of State reports to the Congress the
names of diplomatic personnel accredited to the United Nations or
foreign missions to the United Nations which have accrued overdue
debts to businesses and individuals in the United States.“The Helms
proposal also requires that the U.N. secretary general publish the
names of debtors in order to resolve overdue debts owed by diplomats
and missions accredited to the United Nations.”

#a
U.S. Official Briefs Journalists On Progress In Burundi

WASHINGTON -- While the U.S. government continues to be disturbed at
the growing level of violence in Burundi, progress is being made on
establishing the rule of law, which is essential to any lasting
resolution of conflict, according to a senior administration official.

Briefing reporters at the State Department July 27, the official, who
wished to remain unnamed, pointed out that ethnic and political
violence in Burundi continues at a rate that threatens to destabilize
the nation. “On any given day there may be between 10 and 30
killings,” he noted, “but then there are days when nothing happens.”

Despite this, he reported that “slow progress” was being made in
“developing a justice system,” which is essential in “the effort to
break the cycle of violence and also to dampen the mutual fears that
exist between the ethnic groups” in Burundi, the Tutsi and Hutu.

The official explained that this involves “improving the local police
forces” as well as trying to get the army to be more professional and
stay out of politics. The effort, he added, was being made in
conjunction with non-governmental organizations (NGOs) and donor
nations who have an interest in the region.

He said further that the U.S. government's emphasis on preventative
diplomacy, involving visits by such high-level officials as Deputy
Secretary of State Strobe Talbott, National Security Council (NSC)
Adviser Anthony Lake, and Assistant Secretary of State for Africa
George Moose, had also contributed to dampening violence in Burundi.

The U.S. government attaches a lot of importance to such visits, the
official explained, “because there is a general proposition that
underlies a lot of our diplomacy, and that is that as long as there is
a recognition in Burundi that 'the world is watching,' it acts to some
extent as a deterrent on the violence.”

A big factor behind the increasing violence in the region, he
explained, is “'the impunity problem,' or the idea that you can go
around and kill people and nothing will be done.” So to have United
Nations Secretary-General Boutros Boutros-Ghali make a recent visit to
Bujumbura and announce an inquiry into the ongoing violence, “we felt,
was also a very important development.”

In addition, he said that recent visits to Burundi by eminent
Africans, such as South African Archbishop Desmond Tutu, were also a
definite plus in holding violence down.

“There is a feeling that many people have,” the official explained,
“that South Africans, among Africans, are among the most successful in
having overcome what seemed like insurmountable odds and dealing in
pragmatic terms with the issue of racial, ethnic, and political
reconciliation.”

On African intervention, he added that one member of the Organization
of African Unity (OAU) recently told an American ambassador that “it
is important for the Western countries to be engaged in Africa, but
they should also step back and let the Africans try to find a solution
to their own problems.

”No one has a magic key that will suddenly solve the issue“ of
violence in Burundi, he said, ”but what we are trying to do at this
point is to calm passions enough so that we can move to the next stage
of perhaps an international conference where you can come up with a
workable solution.“

In any event, he said, ”the visits by the U.N. secretary-general and
other Africans, we think, are useful and timely, and we applaud their
efforts in engaging the Burundians in trying to reduce the levels of
violence.“

The official also noted that progress was being made among
non-governmental organizations (NGOs) who had met recently with
President Clinton on July 25 for what a White House spokesman later
termed ”a useful exchange of views on the current situation in
Burundi.“

The meeting, which was chaired by NSC Adviser Anthony Lake and
included U.S. Agency for International Development (USAID)
Administrator J. Brian Atwood, ”underscores the concern that the
administration has for Burundi. This is an issue that has presidential
as well as Cabinet-level attention,“ he said.

For the NGOs, whom he said ”are on the front lines“ in Burundi, ”it
was important for them to know that the U.S. government is supportive
of what they are trying to do and actively engaged at the highest
levels.“

Congress, which is also concerned that violence in Burundi may
escalate into a genocidal tragedy like that seen last year in
neighboring Rwanda, held a joint hearing of its Senate and House
Africa Subcommittees four months ago to look into the matter.

Senate Africa Subcommittee Chairman Nancy Kassebaum said then that
”the current violence in Burundi, particularly the vicious attacks by
extremist ethnic gangs, is deeply troubling. I condemn it in the
strongest possible terms. To many of us, the news reports of violence,
'ethnic cleansing' of neighborhoods, and refugee movements evoke
bitter memories of a year ago“ in Rwanda.

Her colleague in the House of Representatives, House Africa
Subcommittee Chairman Ileana Ros-Lehtinen, agreed with Kassebaum,
saying: ”The U.S. has a moral obligation -- a humanitarian interest --
in preventing an escalation of ethnic strife and a repetition of
events from last year. We cannot continue to formulate policy which is
crisis-oriented, reacting to a problem rather than adopting
preventative strategies.“

#a
Ford In Helsinki For Commemoration Of CSCE Final Act

Helsinki -- Former President Gerald Ford said at a press conference
July 31, prior to the commemoration August 1 of the 20th anniversary
of the Conference on Security and Cooperation in Europe (CSCE) Final
Act, ”As I look back on the last 20 years following the gathering of
35 heads of government, heads of state, on both sides of the Iron
Curtain, one can't help but be impressed with the things that came out
of that meeting here in Helsinki.“

Ford said he believes that ”the Helsinki Accords, the Final Act was
the final nail in the coffin of Marxism and communism in many, many
countries, and helped to bring about the change to a more democratic
political system and a change to a more market-oriented economic
system. Both those developments on the other side of the Iron Curtain
were very significant developments.“

Following is a transcript of the press conference provided by the U.S.
Embassy in Helsinki:

AMBASSADOR SHEARER: I want to welcome everybody to this press
conference. As you know, President Ford is here for the Symposium on
the 20th anniversary of the signing of the Helsinki Accords, an event
which he originally presided over when he was president of the United
States and visited Helsinki 20 years ago and stayed here at our
residence. I learned that he made the then-incumbent ambassador move
out and took over his residence. But he has kindly allowed me to stay
in my house on this visit.

I, also, before we begin, want to introduce to you Philippe duChateau.
If you have not met Philippe, he is our new USIS director and my new
public affairs official, so most of you will be meeting him, and
dealing with him in the years to come. President Ford has an opening
statement and then we will have questions and answers. Mr. President.

President Ford: Thank you very much, Mr. Ambassador. It is really a
great privilege to return to Helsinki. Coming back 20 years later
brings back some wonderful memories of the meeting that was held here,
of the Helsinki Accords, of the Final Act.

As I look back on the last 20 years following the gathering of 35
heads of government, heads of state, on both sides of the Iron
Curtain, one can't help but be impressed with the things that came out
of that meeting here in Helsinki. We had the very firm commitments in
Basket One, Basket Two, and Basket Three. We had the follow-on
meetings at Belgrade, Madrid and Vienna where the promises that were
made at Helsinki were carried out.

As you look at the commitments to human rights, the Helsinki Accords
certainly were a significant factor in the changes on the other side
of the Iron Curtain. So those of us who participated in that event 20
years ago have nothing but the finest memories. I happen to think that
the Helsinki Accords, the Final Act was the final nail in the coffin
of Marxism and communism in many, many countries, and helped to bring
about the change to a more democratic political system and a change to
a more market-oriented economic system. Both those developments on the
other side of the Iron Curtain were very significant developments.

#a
Airline Restart Important For African Tourism, Expert Says

WASHINGTON -- The resurrection of USAfrica Airways, the American-owned
airline that had been flying direct to Africa for only eight months
before it went bankrupt in February, could effect an American
businessman's dream of building a hotel on Goree Island, near Dakar.

Jacob Henderson, an attorney and partner in one of America's oldest
black-owned travel agencies, Henderson Travel Service, said that the
recent decision by USAfrica Airways to form an alliance with the U.S.
carrier Continental Airlines -- called a ”code share“ in the airline
industry -- ”will make an enormous difference for U.S. tourism to
Africa.“ He made his comments during a July 27 interview with the U.S.
Information Agency.

A code share is basically a marketing alliance that means Continental
will sell USAfrica Airways tickets at all its locations worldwide
while USAfrica will do the same for Continental at its terminals in
Africa, USAfrica Airways spokesman Bob Christian explained to USIA.

For Henderson, who would like to make Goree Island, with its famed
slave house, a hotel stop for African-Americans interested in
examining their roots, a problem is that only one airline -- Air
Afrique -- offers a direct U.S. to Dakar flight, and flying to West
Africa via Europe can take more than 24 hours.

”But now that USAfrica Airways is starting up again with stops in
Dakar, it will be much easier and cheaper to bring visitors to West
Africa, especially because you have the feeder routes within the
United States that a large airline like Continental can provide,“ he
said.

The president of USAfrica Airways, Gregory Lewis, announced on July 25
that the airline and Continental Airlines ”have agreed on a
comprehensive marketing and operational alliance in support of
USAfrica's re-introduction of direct service between North America and
West and southern Africa.“

This is more important than ever, Henderson added, because ”there is
also now a meeting/conference market in West Africa, as shown by the
turnout of 1,000 black Americans who flew to Dakar last May for the
weeklong Third African-African American Summit.“

The businessman/developer explained that the new alliance also ”makes
a big difference for the smaller airline because the new feeder routes
mean that USAfrica Airways can work with retail travel agents in
cities like Birmingham and Nashville, where Continental lands, for
direct fares to Africa. Both the airlines and travel agencies like my
own can expand business because of the alliance.“

Henderson, who noted that he is currently in the planning phase of
building his 125-room hotel, said that he hoped to begin construction
in February 1996. Part of the plan, he outlined, is to remodel a
government palace, which had been a hotel until the early 1980s, that
has a magnificent view of the Dakar skyline less than three miles
away. The world-class hotel would also have a swimming pool and tennis
courts as well as a private boat dock, he added.

Until it halted its services last February, USAfrica Airways had been
making direct flights to South Africa from Washington's Dulles
International Airport. The only other airline to offer such a service
is South African Airways, which has a code sharing arrangement with
American Airlines.

USAfrica Airways had planned to change its intermediate stop from Cape
Verde to Dakar in March, when it ran into financial problems and
stopped flying.

USAfrica Airways spokesman Christian hesitated to give an actual
resumption date for the airline because ”we are still finalizing the
financial arrangements with Continental.“ However, he indicated
flights would probably start by late fall and he emphasized that
”Dakar is definitely going to be our stop after we start up again
because it has more traffic potential.“

Christian noted that the first flights to Africa will take off from
Newark International Airport, located less than 20 miles outside New
York City. He added that ”the New York metropolitan area is the
largest origin and destination market for Dakar and Johannesburg“ and
that ”Continental and its partners offer connecting service from
Newark to over 50 cities in the U.S. and Canada.“

The USAfrica Airways spokesman added that ”as an eventual takeoff and
landing site, Dulles International Airport is still not out of the
picture, but in order to start up again as fast as possible, we are
concentrating on Continental's hub [main terminus] in Newark.“

#a
State Department Report, Tuesday, August 1

There was no State Department news briefing. However, acting spokesman
John Dinger discussed the following topics with reporters:

U.S. EMBASSIES TAKING PRECAUTIONS AFTER HAMAS THREAT

U.S. embassies and consulates overseas are taking ”appropriate
security precautions“ in the wake of a public warning to the United
States from Hamas, the Islamic resistance movement, not to extradite
one of its leaders to Israel.

Mousa Mohamed Abu Marzook was arrested last week when he arrived at
New York's Kennedy International Airport. The Israeli cabinet decided
July 30 to seek his extradition and an Israeli court issued a warrant
for Marzook's arrest on July 31, the first step toward submitting a
request for his extradition.

”We always take seriously any threats against the U.S. and its
citizens,“ the acting spokesman told reporters. ”Our embassies and
consulates are taking appropriate security precautions, but we don't
comment on the security measures our embassies employ for obvious
reasons.“

Dinger also noted that the United States has not issued any public
warning about Hamas. When the U.S. receives specific and credible
information about threats to U.S. citizens or property, public
announcements are issued by the State Department.

”Our embassy in Tel Aviv has reminded Americans of the contents of our
current consular information sheet,“ the acting spokesman said. The
most recent consular information sheet on Israel, The Gaza Strip,
Jericho Area, and The Territories Occupied and Administered by Israel
was issued on May 22, 1995. Dinger noted that the public document,
which is still in effect, addresses the issue of areas of instability,
including those in which Hamas has demonstrated an operational
capability.

Noting that the State Department has seen reports that Israel plans to
request Marzook's extradition, he said, ”As a matter of practice, we
don't comment on extradition requests. We view this as a legal matter,
not a political one.

“If we receive a request for Marzook's extradition or for the
provisional arrest of him pending a formal Israeli request for
extradition, we will review the matter and work with the Department of
Justice,” the acting spokesman said. The Justice Department handles
these matters in the U.S. courts.

NATO COUNCIL WORKING ON PROPOSALS FOR ACTION IN BOSNIA

The United States and its NATO allies continue to work on proposals to
extend NATO's July 26 decisions on the defense of Gorazde, an enclave
in eastern Bosnia, to other U.N.-declared safe areas in the war-torn
country, the acting spokesman told reporters.

The North Atlantic Council met again August 1 in Brussels to discuss
various proposals developed by the NATO military authorities, he said.
“As far as I know, the deliberations are ongoing and that makes it
difficult for us to provide any further details,” Dinger said.

The so-called Gorazde rules are designed to provide much more rapid
NATO air strikes if needed to defend the enclave than was possible
under the old “dual-key” system that required requests for military
assistance from United Nations field commanders to be passed through a
cumbersome U.N. civilian channel before they reached NATO military
authorities. Under the Gorazde rules, U.N. ground commanders request
the assistance directly from NATO commanders at bases in Italy.

Meantime, Carl Bildt, the European Union's special negotiator for the
Balkans, is expected to arrive in Washington on August 2 along with
representatives from a number of allied European countries. Bildt will
meet with Acting Secretary of State Peter Tarnoff and other U.S.
officials on August 2 or 3, Dinger said.

“We anticipate that the meeting will discuss the Contact Group's offer
of sanctions relief for Serbia in exchange for recognition of Bosnia
and tighter border control,” he said. “Although European Contact Group
members will accompany the EU envoy, we're not holding a Contact Group
meeting as such.”

#a
Study Proposes Strengthening U.N. Environmental Programs

A new study says it is time to launch far-reaching reforms of the
United Nations' environmental programs to ensure that today's children
can thrive without endangering the prospects for their descendants.

The study released by the Worldwatch Institute, a non-profit research
group, says that unless key environmental initiatives are maintained
and strengthened, no government will be able to protect its citizens
from global threats such as skin cancer caused by ozone depletion or
disrupted weather patterns caused by climate change.

In order to confront proliferating environmental threats, countries
have increasingly turned over control to the United Nations, the one
body with the broad mandate and membership required to forge solutions
to problems with an impact extending beyond national boundaries.

“As the U.N. marks its 50th year, it faces skepticism about its
peacekeeping record, and the threat of deep funding cuts,” says senior
researcher Hillary French, author of the report. “But those who want
to eviscerate the U.N. neglect the vital role it plays in protecting
the world's people from the effects of environmental damage.”

French points out that the U.N. has brokered more than 170
environmental treaties, two-thirds since the 1972 U.N. Conference on
the Human Environment. Because of just one of these treaties, the 1987
Montreal Protocol on ozone depletion, world chlorofluorocarbon
production is down 77 percent from its 1988 peak.

The study, Partnership for the Planet: An Environmental Agenda for the
United Nations, urges the international community to improve the
U.N.'s environmental machinery in several ways.

As a beginning, the report suggests that the United Nations
Environment Program (UNEP) be given a mandate to undertake extensive
programs, implement projects around the world and be moved from
Nairobi to a center of U.N. power such as Geneva or New York.

Such an empowered, centrally located agency could collect and
disseminate environmental data, execute the environmentally-related
projects of the United Nations Development Program (UNDP) and offer
advice on waste-reducing production processes as well as the effective
design of regulatory structures and national environmental ministries.

“In setting up such an agency, it is important to ensure that it
consolidates, and not merely supplements, existing environmental
efforts,” warns French.

“Though the growing involvement of many different U.N. bodies in
environmental matters is encouraging,” says French, “the price of
success has been duplication and inefficiency. Rather than a cohesive
international system for protecting the environments through
sustainable development, we have a patchwork quilt, a disorganized
system that needs streamlining if it is to be capable of reversing
ecological decline.”

The report urges increasing UNEP's annual budget, currently just over
$100 million, and points to proposals to secure reliable funding by
taxing such things as carbon dioxide emissions, international air
travel or foreign-exchange transactions.

The study also proposes strengthening commitments and increasing
funding to ensure the implementation of major environmental
conventions such as The Law of the Sea, as well as global warming and
biological diversity treaties that provide an important framework for
protecting internationally shared environmental concerns.

The report further urges opening up participation in U.N.
deliberations to non-governmental organizations through public
hearings and ensuring a voice for local communities affected by World
Bank and U.N. development projects.

The Worldwatch proposals are likely to meet with widespread public
support around the world. A 1993 Gallup Survey found that majorities
in both industrial and developing countries favored giving an
international environmental agency both financial support and
substantial authority.

The study concludes that, despite public support, the international
response to the threat of ecological collapse remains seriously
inadequate and the daunting environmental challenges that are expected
in the next millennium require an innovative and committed global
partnership.

#a
Clinton Would Veto Telecom Bill In Present Form

Washington -- President Clinton in a statement August 1 said he would
veto a telecommunications reform bill, now before the House, if it is
passed in its present form. The president objected to provisions added
to the measure by its House sponsors.

Floor debate on the House measure (H.R. 1555) is scheduled to begin
August 3. The Senate has already passed its version of a
telecommunications reform bill.

“The cumulative effect of these (sponsors') provisions would be to
harm competition and to weaken the benefits to the public,” the
president said. “If H.R. 1555 with the managers' amendment is sent to
me without deletion or revision of a significant number of these
provisions I will be compelled to veto it in the best interests of the
public and our national economic well-being.”

Clinton strongly objected to provisions of the House measure that
significantly eases the ownership restrictions on radio and television
stations and allows regional telephone companies (the Baby Bells) from
offering long distance telephone service, “before there is real
competition in local service.”

The president told newsmen at the White House August 1 that “it would
be an error to set up a situation in the United States where one
person could own half the television stations in the country or half
the media outlets.”

He reminded them that the United States has the “most successful
telecommunications operation in the world partly because we have had
the proper balance between a highly competitive environment and an
openness to new forces and new technologies and new entries in it from
all around the world.”

“I want very badly to sign a telecommunications bill,” Clinton
emphasized. “I hope we get it, but we want to get it right.”

He also noted in the statement that the House measure did not have a
provision to require television manufacturers to put “v-chips” in
sets. Television-set owners could program the v-chips to block
children from viewing violent shows. The Senate measure allows for
v-chips.

Following is the text of the president's statement:

My Administration is committed to enactment of a telecommunications
reform bill in this Congress. Such legislation is needed to stimulate
investment, promote competition, provide open access to information
networks, strengthen and improve universal service and provide for
flexible, regulations for this important industry. Consumers should
receive the benefits of lower prices, better quality and greater
choices in their telephone and cable services, and they should
continue to benefit from a diversity of voices and viewpoints in
radio, television and the print media.

Unfortunately, H.R. 1555, as reported by the Commerce Committee and
amended by the managers' amendment, does not reach any of these goals.
Instead of promoting investment and competition, it promotes mergers
and concentration of power. Instead of promoting open access and
diversity of content and viewpoints, it would allow fewer people to
control greater numbers of television, radio and newspaper outlets in
every community.

H.R. 1555 with the managers' amendment would:

-- allow a single owner to acquire television stations that can reach
50 per cent of the nation;

-- allow the acquisition of an unlimited number of radio stations in
every community and across the nation;

-- repeal the newspaper/broadcast and broadcast/cable cross ownership
bans that currently exist;

-- permit the Bell Operating Companies to offer long distance service
before there is real competition in local service, with
less-than-minimum structural safeguards and without requiring a
determination by the Department of Justice that entry will not impede
competition;

-- allow an excessive number of in-region buyouts between telephone
companies and cable operators, substituting consolidation for
competition and leaving consumers in rural areas and small towns with
no rate protection in most cases and no foreseeable expectation of
competition,

-- deregulate cable programming services and equipment rates before
cable operators face real competition and without providing any
consumer protection provision after deregulation;

-- preempt the states from implementing certain rate regulation
schemes and opening their local phone markets to certain types of
competition as they choose; and

-- not include the V-chip proposal the Senate adopted.

#a
Conflict Resolution Requires Impartiality, Knowledge, Cooperation

WASHINGTON -- Effective conflict resolution
requires impartiality, a multifaceted, multilevel
negotiation process, and the cooperation of everyone
involved, a senior U.S. State Department official told an
African television audience July 31.

Speaking on Worldnet's “Dialogue,”
Rosemary O'Neill, who chairs the
Conflict Early Warning and Response Team
for the Greater Horn of
Africa at the U.S. Department of State,
said when it comes to a
mediator, “absolute impartiality”
is what is required more than
anything else, along with in-depth knowledge of
the situation at hand.

The active or tacit participation or cooperation of almost everyone
involved in, or surrounding the situation is also required, she told
the interactive audience, who were viewing the program in Kampala,
Bujumbura, and Freetown on the U.S. Information Agency's satellite
television network.

“What we ask of the people in the country is to be as forthcoming as
possible in trying to resolve their problems,” she explained. “This
requires an awful lot of patience, and it requires tolerance, and it
requires sometimes even moving out of country in order to have talks
in a site that is neutral.

”Such a mediation also requires the support of countries that have
traditionally been interested in the welfare of the country in
particular, that they can provide them with the moral support
necessary and the material support necessary to continue in
negotiations, and, of course, the support of the international
community.“

Providing further perspective on her point, O'Neill said: ”In the
past, diplomats have focused on negotiating with governments. More and
more, we're realizing that you have to negotiate, really, at three
levels: Among the governments in place, with the opposition parties,
the leaders of the opposition parties, but you also have to reach out
to those organizations that have been established at the grassroots --
non-governmental organizations, local organizations -- that really
know what the concerns of the people on the ground are.

“And, thirdly, you have to reach out to those people in the middle --
the teachers, the professionals, the doctors, the lawyers, the
merchants -- and you really have to apply efforts in all three
directions in order to get the cooperation of the state as a whole,”
she added.

“We have discovered, to our disappointment, that just working at the
top levels, there can be rebel groups that will not take direction
from top levels, so you have to reach out at all three levels and in
those three directions.”

Asked about the situation in Burundi, O'Neill said, “The White House
is so terribly concerned about the situation in Burundi that last week
it held a meeting for the top NGOs [non-governmental organizations] in
the United States -- representatives of those organizations who had
been active in Burundi, to come to the White House to compare efforts
-- to learn what they were doing firsthand and to ask their advice on
how to proceed.

”There is an organization called Burundi Policy Forum, which is a
grouping of non-governmental organizations which have been very, very
active in Burundi,“ she explained.

”One of the organizations that was a member of the Burundi Policy
Forum, called Search for Common Ground, agreed to put on the air what
they called Peace Radio, to counter the radio stations that are
screaming for violence against one faction or another.

“This type of radio program has been very, very successful in South
Africa,” she noted, “bringing artists together, actors together, who
demonstrate peaceful solutions to conflicts or disagreements to
demonstrate to the people how they might undertake similar actions....

”One of the most wonderful aspects of conflict prevention in Africa,“
she told her audience, ”is that you do not have to leave the continent
of Africa to see a real success story, that of South Africa.“

Asked if sometimes conflict is good and if conflicting parties should
perhaps be left alone to settle their differences, O'Neill readily
acknowledged that ”conflict is always with us, and conflict can be
very positive.

“What we seek to prevent is negative conflict or the negative
repercussions of conflict. But we seek to do this...in close
cooperation with the African states, and [to facilitate] what we hope
-- sincerely hope -- will be an African-led effort in which together
we can work, sharing ideas and providing resources to the Africans so
that they can take action on their own part to prevent the negative
aspects of conflict.

”To do this, we want to put in place early warning mechanisms,“ she
explained.

”Now we have many indicators of early warning. It's not just a case of
putting in place an early warning system, but also responding much
faster than we have in the past.

“Regrettably,” she lamented, “in human history, we have waited until a
situation is of crisis proportions before we have galvanized the
resources necessary to react.

”This is a concept that requires early response to early warnings that
there will be difficulties that could involve loss of life and to
engage in less negative aspects of handling conflict -- dialogue, ways
of working out problems that are peaceful, not violent, in order to
handle the conflict situation.“

Concluding, she stressed, however, that ”in the Horn of Africa
initiative in which I am engaged, the friends of the Horn of Africa
will be working only in an African-led initiative [because] the
Africans themselves...are much more attuned to the situation and to
ways, traditional ways as well as non-traditional ways, to relieve
conflict in which we can be helpful to them.“

#a
Christopher, Kozyrev Will Discuss Bosnia, CFE, NATO In Brunei

Bandar Seri Begawan, Brunei -- Secretary of State Warren Christopher
and Russian Foreign Minister Andrei Kozyrev spoke briefly with the
press August 1 prior to their bilateral meeting.

While in Brunei attending the ASEAN (Association of Southeast Asian
Nations) Regional Forum, the two officials said they expect to be
discussing the situation in Bosnia, the disappearance of Fred Cuny,
the situation with the CFE (Conventional Forces in Europe), and
Russia's participation in the Partnership For Peace and the overall
NATO-Russia relationship.

Following is a transcript of their remarks to the press as received
from the traveling Office of the Spokesman of the Department of State:

SECRETARY CHRISTOPHER: I'm here with colleague and friend, Andrei
Kozyrev. One of the benefits of this ASEAN Regional Forum is it
enables us to get together with our partners including Russia, to
discuss the security situation here in the Asia Pacific region, as
well as to talk about other bilateral and regional matters. It is well
known the United States believes that a stable democratic and
prosperous Russia can be a vital cause for security and prosperity
throughout this region and as well as others. In the past few years
Russia has acted to help to reduce tensions in this area, particularly
on the Korean Peninsula, as well as in Cambodia. In addition to our
cooperation in the ASEAN Regional Forum, the United States and Russia
share an interest in developing a separate security dialogue relating
to Northeast Asia, and I think that can be very useful as well in
trying to quiet tensions in the area.

Our agenda this morning as usual will be quite global in scope. We
will begin by talking about the very good communications between
President Clinton and President Yeltsin, and we will be talking about
preparations for the meeting between the two leaders this fall. We
will discuss Russia's participation in the Partnership For Peace and
the overall NATO-Russia relationship, as well as situation with the
CFE. One particular matter I've been talking with the foreign minister
about each time we meet is our search for the American, Fred Cuny, who
is still missing, and I hope that perhaps progress in the Chechnya
area will make it possible to intensify that search. Let me say that
the United States welcomes the negotiation on Chechnya, and we urge
both the Russian government and the Chechens to move forward with the
political discussions which I understand are to resume this week after
the interim steps have been taken on the military level.

On Bosnia, the foreign minister and I will follow up on the
conversation held last week between President Clinton and President
Yeltsin discussing the overall situation there with particular
emphasis on the safe areas. Naturally, we will touch on the
deteriorating situation in the Bihac area, as well as efforts to get
humanitarian supplies. I want to commend the foreign minister for
diplomatic efforts that he has made on behalf of the Contact Group to
try to obtain a peaceful resolution of the crisis, and I look forward
to hearing from him first-hand. We've exchanged correspondence on that
subject, but I am very anxious to hear of his recent trip to the
region. We welcome Russia's offer to provide peacekeepers for the
Gorazde area, if that is something that can be worked out in a
satisfactory way by the U.N. commanders.

In Bosnia, I think the aim that he and I both have is to try to find
some way to invigorate the peace process, to move forward with
Belgrade's recognition of Bosnia and the closure of the border between
Serbia and Bosnia. But most of all I think we want to try to see if we
can move forward on the diplomatic process to try to reinvigorate
negotiations on the basis of -- or with the Contact Group map as a
starting point looking for a political settlement. Andrei, it is nice
to see you here as always.

FOREIGN MINISTER KOZYREV: (Spoke in Russian)

QUESTION: Mr. Minister, why is Russia threatening U.N. Security
Council action against the Croats in Bihac and not the Serbs?

FOREIGN MINISTER KOZYREV: Well, I vaguely have to stick to a solid
legality in that area and the legality proceeds from the notion of
existence of independent states which Russia, as the majority other
international factors and recognized -- states that is Croatia,
Bosnia-Herzegovina and the Federal Republic of Yugoslavia. So the
violation of the borders by huge military force tanks (inaudible) are
seen in recent days on TV screens all over the world. That is
something which causes us considerable concern, and is to my mind a
deplorable action, which does not mean that we are not concerned and
do not deplore escalation of violence inside Bosnia-Herzegovina
itself, but it is extremely important that outside countries, like
Croatia and Yugoslavia keep their hands off, otherwise we will be
probably drawn in a situation of larger conflict on the territory of
the former Yugoslavia which should be avoided by all means.

QUESTION: What kind of action could be the U.N. take?

FOREIGN MINISTER KOZYREV: (Spoke in Russian)

QUESTION: Mr. Secretary, do you share Minister Kozyrev's view that
Croats should be condemned for their action around Bihac?

SECRETARY CHRISTOPHER: I think we must remember where the recent
aggression comes from, where the offensive is coming from. This
up-turn in the fighting recently was clearly a Bosnian-Serb effort,
first in Srebrenica and then in Zepa, and according to my information
it was the Bosnian-Serb attack into the Bihac area which started this
round of events. Now the Bihac area is to be sure complicated with
many vectors of force, but what the United States has done is to urge
all parties to show restraint in the situation, to pull back from the
fighting, to give an opportunity for a settlement process to be at
work. I would remind that the United States view is that it is the
Bosnian-Serbs that have taken the offensive in Bosnia and they clearly
must show a degree of goodwill before their word can be taken or
trusted in this situation in any respect.

QUESTION: Thank you.

#a
Administration Backs GSP Bill, MFN For Bulgaria And Cambodia

Washington -- The Clinton administration strongly supports legislation
that would grant unconditional, permanent most-favored nation (MFN)
status to imports from Cambodia and Bulgaria, Deputy U.S. Trade
Representative Charlene Barshefsky says.

In August 1 testimony before the Senate Finance trade subcommittee,
Barshefsky also said the administration supports a multi-year
extension of the Generalized System of Preferences (GSP) program of
tariff benefits for developing countries.

Prior authority expired July 31 for GSP, which provided U.S.
zero-tariff benefits on more than 4,400 selected products or product
categories from more than 140 eligible developing countries. The value
of GSP duty-free imports in 1994 was about $18,000 million.

MFN represents normal trade relations among countries; imports from
countries without MFN status are subject to much higher tariffs. The
only countries lacking U.S. approval for MFN are Afghanistan,
Cambodia, Cuba, Laos, North Korea, Serbia and Montenegro, and Vietnam.

Following is an excerpt of Barshefsky's testimony as prepared for
delivery:

Thank you, Mr. Chairman and Members of the committee. It is a pleasure
to appear before you today on behalf of the administration to testify
on a range of issues, including Most Favored Nation status for
Cambodia, graduation of Bulgaria from Title IV of the Trade Act of
1974, reauthorization of the Generalized System of Preferences, or
”GSP“, program and reauthorization of the Office of the United States
Trade Representative.

Cambodia

In September 1993, after U.N.-supervised elections in May of that
year, the United States established full diplomatic relations with
Cambodia. Since then, the freely elected Cambodian government has been
eager to establish ties with other nations and re-enter the world
economy. After 20 years of strife and civil war, Cambodia has begun
building a market economy.

Bulgaria

The administration strongly supports legislation that would allow the
president to remove Bulgaria from Title IV of the Trade Act of 1974.
U.S. policy since the end of the Cold War has been to normalize our
trade relations with Central Europe. Most of the other countries in
the region, such as Hungary, Poland, the Czech Republic, the Slovak
Republic, Latvia, Lithuania and Estonia all already enjoy
unconditional MFN treatment.

Bulgaria has benefitted from MFN trading status and access to USG
credit and investment guarantee programs since 1991. Graduation would
therefore not result in any decline in revenue for the United States.
Current tariff levels on Bulgarian imports would remain the same after
graduation. The United States and Bulgaria have had a bilateral Trade
Agreement since 1991, which provides for not only reciprocal MFN, but
also contains strong commitments with respect to Bulgaria's
intellectual property rights regime.

U.S. investment in Bulgaria has also increased. There are now some 90
U.S. companies operating in Bulgaria, with investments totaling $110
million. These U.S. companies run the gamut in terms of size and type,
and include major companies such as Kodak, IBM and American Standard,
as well as small manufacturers. With the implementation of the
U.S.-Bulgaria Bilateral Investment Treaty in May 1994, U.S. investment
in Bulgaria is expected to grow even more.

Graduation of Bulgaria from Title IV will also enhance our bilateral
relations under the World Trade Organization (WTO). Bulgaria is
currently well along in its accession negotiations for WTO membership.
In order to have full WTO relations with Bulgaria, the U.S. must be
able to extend unconditional MFN, which it can only do if Bulgaria is
no longer subject to Title IV. This in turn will enable the U.S. to
avail itself of all WTO rights vis-a-vis Bulgaria.

Generalized System of Preferences

This hearing is particularly timely because the GSP program expired
just yesterday. As of today, U.S. importers will have to begin paying
duty on imported GSP products, many of which have been duty-free under
the GSP program for 20 years. In fact, this is the third time in as
many years that the GSP program has lapsed. In 1993 and again in 1994,
a two-month lapse was followed by a short-term extension.

Clearly, this situation creates uncertainty and undermines the
critical objectives of the GSP program. In particular, I would like to
highlight the burden that is placed on small businesses in the United
States that are, in many cases, unprepared to pay the import duty on
their products for one or two months. Let me, therefore, urge this
committee to consider renewing the program for a multi-year period.
The administration is prepared to work with you, Mr. Chairman, in an
effort to see that this is achieved.

In conclusion, the administration supports the GSP program and we are
prepared to work with you, Mr. Chairman, and the Members of this
committee to secure the longer term renewal of the GSP program.

#a
Congressional Report, Tuesday, August 1

RENO DEFENDS WACO DECISION AT CONGRESSIONAL INVESTIGATION

U.S. Attorney General Janet Reno has again defended her decision in
1993 to end a 51-day standoff between federal agents and a religious
cult in Waco, Texas, by inserting tear gas into the compound.

Reno was the last witness in a two-week joint investigation by two
House subcommittees into why the April 19 siege of the compound of the
Branch Davidians ended in a fiery blaze that killed some 80 people .

Reno said cult leader David Koresh, who died in the blaze, was
directly responsible for all the deaths at Waco. She said he
repeatedly reneged on promises to leave the compound and he directed
cult members to set the fire that engulfed the building during the
final assault.

”We will never know whether there was a better solution,“ Reno said.
”Had we not acted when we did, and Koresh had brought things to a
sudden and violent finish, as he had rehearsed, we would probably be
here today anyhow, and you would be asking me why I hadn't taken
action earlier, why we had not tried to use tear gas to resolve the
situation.“

Reno also firmly denied charges by some Republicans that President
Clinton was directly involved in the decision to bring the siege to an
end. Reno said it was her decision and the president gave her his full
support. It was ”not a decision of the White House“ but a decision
made in ”the law enforcement arena, where it should be,“ she said.

Republican Representative Bill Zeliff, a co-chair of the hearing,
charged that Reno was guilty of ”unbelievable, or at least careless,“
acts in failing to read a briefing report on a tear-gas assault plan
to end the 51-day siege before authorizing the plan.

Zeliff was referring to a footnote in the Justice Department's
original report on Waco which noted that Reno did not read the final
briefing book on the tear-gas plan ”carefully, nor did she read the
supporting documentation.“

Reno sat calmly at the witness table as Zeliff leveled his charges,
then asserted that she stood behind ”one of the hardest decisions I
have ever had to make.“

HOUSE REPUBLICANS WIN REVERSAL OF EPA VOTE

In a rare reversal of an earlier vote, the House late July 31 voted to
rein in Environmental Protection Agency (EPA) regulatory power by
killing an amendment that had been approved July 28 over the
objections of Republican leaders.

That amendment would have stripped provisions from the bill that
prohibits EPA from implementing a variety of laws, including clean air
and clean water statutes. The House action July 31 reinstituted those
restraints.

The vote came as members debated a fiscal 1996 spending bill for the
departments of Veterans Affairs and Housing and Urban Development.
Members later passed the bill (HR 2099) by a vote of 228-193.

President Clinton responded angrily on August 1, calling the reversal
a vote ”to gut environmental and public health protections“ and
promising to veto it ”the minute this polluter's protection act hits
my desk.“

#a
Plan To Eliminate Commerce Dept. Gets Little Senate Support

Washington -- A plan being advanced in the House of Representatives to
do away with the Department of Commerce and distribute its functions
to other U.S. government agencies received almost no support from a
Senate committee with primary oversight responsibility for the
department.

Of the 15 members of the Senate Commerce Committee attending an August
1 hearing on the plan, only one expressed any enthusiasm for
dismantling the Commerce Department. The committee has jurisdiction
over 70 percent of the Commerce Department's budget.

The House plan, and one recently introduced in the Senate, would
abolish several Commerce Department offices; transfer export-control
responsibilities to the departments of Treasury, Defense, or State;
privatize many of the department's laboratory and standards functions,
and distribute international trade functions among the Office of the
U.S. Trade Representative, Treasury Department and U.S. International
Trade Commission.

Senator Larry Pressler, Republican Commerce Committee chairman, called
plans to eliminate the department ”premature“ until good economic
analysis is done to show that dividing the current necessary functions
of the department would cut costs.

He predicted legislation to eliminate the department would not pass in
the current Congress in light of President Clinton's threat to veto
any such bill.

Republican Senator Bob Packwood, who said he will keep an open mind to
reorganization, warned senators against abolishing departments just
for the sake of abolishing them and without showing that the change
will make government work better.

Democrat Senator Ernest Hollings, echoing the sentiment of many
senators, said it would be ”ridiculous“ to eliminate the department
when the United States is fighting to keep its exports competitive
against many foreign products that are subsidized and dumped in other
markets.

Hollings said that rather than dismantling the department, its
export-promotion functions should be strengthened.

Democrat Senator John Kerry charged that there is ”some ideological
mischief“ behind the elimination idea. Kerry called the department the
”best“ in government for fighting other countries' predatory trade
practices and that elimination would be ”the most short-sighted,
damaging step we could take.“

Democrat Senator Richard Bryan said elimination would ”amount to
nothing less than unilateral disarmament“ and Democrat Senator John
Rockefeller said it ”would be like tying our hands behind our
back...God help us if we eliminate it.“

”Eliminating Commerce as an entity, slashing export-promotion
programs, and dispersing remaining functions among numerous agencies
with diverse missions, isn't 'reinvention,' it's shooting ourselves in
the foot,“ Secretary of Commerce Ron Brown told the committee. ”The
'benefits' of such dismantling will go to our international
competitors who continue to have the advantage of their governments'
support.“

Some Republican senators said, however, that while elimination might
not be necessary, a thorough review of the department's functions are
in order to cut out areas deemed unnecessary and to better coordinate
the department's various operations.

Republican Senator Conrad Burns appeared to support elimination of the
department, stating that many of the functions were better suited in
other departments while others were completely unnecessary.

#a
#vrangers
Arts Festival To Celebrate Playing Of '96 Olympics

WASHINGTON -- Some of the world's best actors, dancers, musicians, and
playwrights will be featured at a two-month-long arts festival that
will celebrate the playing of the XXVI Summer Olympic Games in
Atlanta, Georgia, next year.

Organizers call the festival, which will run from June 1 to August 4,
the ”largest multidisciplinary“ event of its kind ever held in the
American South.

The centennial Olympic Games, in which almost 200 nations will
participate, begin July 19 and will last 16 days.

One of the highlights of the festival will be a play about the great
boxer Muhammad Ali, which was choreograped by his former sparring
partner, Ron Lipton.

The play, called simply ”Ali,“ was conceived, written, and performed
by Geoffrey Ewing, who in a one-man tour-de-force portrays the former
heavyweight champion as teenage Olympic gold medalist, as protester to
the Vietnam War, and in his memorable title fights against Sonny
Liston, Joe Frazier, and George Foreman. It will be presented on stage
next July 25-27.

Among the famous groups and individuals on the festival bill are the
Miami City Ballet, under the direction of Edward Villella, which has
performed throughout this country and in Central and South America;
the Alvin Ailey American Dance Theater; violinists Pinchas Zukerman
and Itzhak Perlman; soprano Jessye Norman performing with the Atlanta
Symphony Orchestra; jazz trumpeter Wynton Marsalis, who will lead an
”Olympic Jazz Summit Night;“ and the Soweto Street Beat Dance Company,
founded in Soweto, South Africa, which celebrates the emergence of
democracy in that group's country.

Also on stage will be the ”godfather“ of soul, James Brown; country
music star Willie Nelson and the group Asleep at the Wheel; the cowboy
songsters Riders in the Sky; southern rock by Lynyrd Skynyrd; and
Georgia country superstars Travis Tritt and Trisha Yearwood.

Another intriguing production is the ”Harvey Milk Show,“ a two-act
musical which chronicles the rise, election, and assassination of Mr.
Milk, the first openly gay member of San Francisco's city council.

”Frankenstein,“ an adaptation of the Mary Shelley tale, will by
presented in a world premiere by Atlanta puppeteer John Ludwig for
adult audiences.

Organizers say the Festival will have two themes: ”Southern
Connections,“ a celebration of the American South; and ”International
Connections,“ a celebration of the centennial playing of the Summer
Olympics. The modern Summer Olympic games began in Athens, Greece in
1896.

In all, the Festival will feature over 50 major pop, rock, country,
and rhythm and blues acts, more than 20 theater and dance companies,
25 exhibitions of painting, sculpture, contemporary art and Olympic
memorabilia, and an array of orchestra, opera, and chamber music
performances.

In addition, hundreds of regional artists and artisans will show their
work in an outdoor ”Southern Crossroads Festival.“

The classical music, theater, and dance performances will take place
at Atlanta's Woodruff Arts Center, the Atlanta Civic Center, and at
the Martin Luther King, Jr. Chapel, named for the great civil rights
leader, who was a native of the city.

Olympic Games President and Chief Executive Officer Billy Payne said
the Festival will be ”one of the most exciting aspects“ of the Summer
Olympics.

”The addition of these world-class artists to the program,“ Payne
said, ”are further proof of (our) commitment to complement excellence
in sport with excellence in the arts, and to provide a well-rounded
Games experience for all of our visitors.“

Linda Stephenson, managing director for Olympic programs, added that
the festival will showcase the ”arts and culture of the American South
and bring first-rate international artists into the region.“

Tickets for the Festival go on sale in September.

For more information about the Festival, call (404) 224-1835.

The internet address is: http:/ /www.atlanta.olympic.org

#a
Senate Fails Twice To End Debate On Foreign Affairs Merger

Washington -- The Senate August 1 failed twice to get the 60 votes
needed to cut off debate on legislation (S.908) that would authorize
State Department funding for four years and abolish three independent
foreign affairs agencies, consolidating their functions into the State
Department.

The bill also would reform the foreign service and slash U.S.-assessed
contributions to the United Nations and to U.N. peacekeeping
activities. It requires the president to report to Congress 15 days
before the United States casts a vote in the U.N. Security Council
relating to peacekeeping.

The Senate vote each time to cut off debate was 55-45, five votes
short of the necessary three-fifths of the Senate needed for cloture.

All Republicans voted for cloture and all Democrats voted against it,
except Senator Claiborne Pell, the ranking minority member on the
Senate Foreign Relations Committee.

The fate of the bill is now uncertain. Senate Majority Leader Bob Dole
said he would put it back on the Senate calendar at a later date but
he did not specify when.

Senator Jesse Helms, chairman of the Senate Foreign Relations
Committee and chief sponsor of the legislation, said, ”I understand
the name of the game. Administration supporters have wanted this bill
to die a quick death.“ But it is ”not going to die....It will keep
coming back and back until we get a vote,“ Helms vowed.

Clearly angered, Helms said President Clinton's ”minions“ had denied
the Senate the opportunity to vote on the bill.

He warned that if Clinton wants to get ambassadorial nominations or
treaties acted on by the Foreign Relations Committee he should disavow
an internal U.S. Agency for International Development (USAID)
memorandum, that was leaked to the committee, stating that the
administration policy on the bill is to delay and obfuscate it in
hopes of eventually killing the measure.

But Democratic Senator John Kerry said the bill is extremely
important, contending it proposes a major overhaul of the way the U.S.
government delivers foreign policy to the rest of the world and
therefore it should not be rushed through the Senate.

Kerry said he opposes the way the legislation attempts to
”micromanage“ the executive branch. Denying the Democrats want to
delay the bill, Kerry said, ”This is an effort to legislate, not to
delay.“

Republican Senator Olympia Snowe, chair of the Senate Foreign
Relations subcommittee on International Operations, said the bill was
driven by the congressional budget resolution, as well as by the need
for change in the post-Cold War era. ”We need a more flexible foreign
policy structure,“ she said.

The administration strongly objects to the bill, and Clinton has said
he would veto it if it came to his desk in its current form.

In a July 25 letter to Senate Majority Leader Bob Dole, Secretary of
State Christopher said the legislation ”mandates drastic resource
reductions for international affairs and undermines the constitutional
authority of the president to conduct our foreign policy.“

The bill, Christopher said, ”takes no account of the serious and
successful efforts this administration is taking to streamline the
foreign affairs agencies and consolidate functions among them.“
Eliminating USAID, the Arms Control and Disarmament Agency (ACDA), and
the United States Information Agency (USIA) ”would undermine our
effectiveness, not enhance it,“ Christopher said.

The House already has voted on legislation to cut foreign aid and
consolidate the three foreign affairs agencies into the State
Department. The Senate foreign aid bill is separate from the
consolidation bill.

More than 144 amendments had been expected to be offered to the Senate
consolidation bill by both Republicans and Democrats.

Those that were offered included one by Democratic Senator Joseph
Lieberman to keep USIA independent and another by Pell to keep ACDA
independent. Neither was voted on by the Senate.

On August 31, the first day of debate on the Foreign Relations
Revitalization Act, the Senate voted 94-2 to approve an amendment by
Dole that would pressure the State Department to boycott the upcoming
United Nations Conference on Women in Beijing if China continues to
detain American citizen Harry Wu.

The Dole measure would withhold one-half of the State Department funds
for international conferences, $3.5 million, if money is spent on the
Beijing conference while Wu is still being held in China.

A rider to that amendment, offered by Helms, would cut $10 million
from funds for the United Nations unless the Secretary of State
publishes the names of U.N. diplomats and missions that reportedly owe
New York businesses and individuals some $9 million in unpaid debts.

Failure to obtain cloture put both the Dole and the Helms provisions
in limbo.

#a
Talbott: Helsinki Accords Paved The Way To End Of Cold War

Helsinki -- Deputy Secretary of State Strobe Talbott said August 1
that ”20 years ago, when the leaders gathered to sign the Final Act,
the end of the Cold War was barely imaginable. In fact, it was an
impossible dream.“

In introductory remarks to the panel discussion, ”The Role of the OSCE
Today and Tomorrow,“ at the at the CSCE Helsinki Final Act 20th
Anniversary Symposium, Talbott said, ”Even the more optimistic among
those who came to Helsinki 20 years ago probably confined themselves
to the hope that the CSCE (Conference on Security and Cooperation in
Europe) process would strengthen detente and produce some small
victories for freedom. Quite simply, and quite bluntly, we, the
international community, underestimated the capacity of human
societies to seize control of their own destinies, and the power of
the moral and political principles that were articulated here in
Helsinki on that sunny day 20 years ago.“

Following is a transcript of Deputy Secretary Talbott's remarks, as
well as his responses to some of the questions from the press:

Thank you, Mr. Chairman. I appreciate the chance to participate in
these proceedings, and I look forward to the dialogue with my former
colleagues shortly. I think a theme has emerged in what we had already
heard in this excellent program. Several of the speakers that have
already appeared here today have made the point that 20 years ago,
when the leaders gathered to sign the Final Act, the end of the Cold
War was barely imaginable. In fact, it was an impossible dream. Even
the more optimistic among those who came to Helsinki 20 years ago
probably confined themselves to the hope that the CSCE (Conference on
Security and Cooperation in Europe) process would strengthen detente
and produce some small victories for freedom. Quite simply, and quite
bluntly, we, the international community, underestimated the capacity
of human societies to seize control of their own destinies, and the
power of the moral and political principles that were articulated here
in Helsinki on that sunny day 20 years ago.

As it has happened, of course, the principles of territorial integrity
and peaceful dispute resolution articulated in the Helsinki Final Act
proved to be revolutionary. They paved the way for the relatively,
largely mercifully, orderly, democratic transformation of the East.

I am now going to quote one of the many memorable sentences President
Ford uttered just a short while ago from this podium. He said: ”The
Helsinki Accord did not freeze the 1943 borders of Europe, it freed
them.“

Now, what President Ford said today is clear enough in retrospect. It
is clear with what we sometimes call the benefit of 20-20 hindsight.
But President Ford had the 20-20 foresight 20 years ago to see that
CSCE had the potential to help liberate Europe. He showed great
political courage to come to Helsinki then, and I am sure that we are
all glad that he has returned.

Now the Helsinki Final Act, like all international agreements, was a
delicately crafted compromise. It reflected the different and
sometimes competing agendas of the 35 parties that were involved in
the drafting. But 20 years of experiences have demonstrated that the
ideas and principles, set out in the Act, taken together, constitute a
coherent and compelling basis for political reform and regional
stability. Now only did CSCE prove instrumental in bringing about the
end of the Cold war, but OSCE can be instrumental in guiding us
through the post-Cold War period.

For instance, the OSCE assistance group in Chechnya, formed in April,
has provided solid, neutral ground for the Russian government and the
Chechen representatives to agree this week on a process for the
peaceful resolution of the conflict and to re-establish civil
authority. In May, an OSCE group helped bring together the Ukrainian
government with representatives of Crimea's ethnic Russian population
for a series of very useful and productive and promising discussions.
Meanwhile, the Minsk group continues to work for a peaceful resolution
of the conflict in Nagorno-Karabakh. We hope to see a multinational
OSCE peacekeeping force deployed soon in that troubled region.

In short, President Clinton believes that our experience with OSCE
during the next 20 years, like the one with CSCE during the past 20
years, can vindicate the wisdom of the international community in
letting itself be guided by the search for a balance between strategic
optimism and operational realism. It was that concept, that balance,
that motivated President Ford when he came here 20 years go. And it
will motivate President Clinton's administration as it goes forward.

Thank you very much.

#a
#vcroatia
House Votes 298-128 For U.S. To Lift Arms Embargo On Bosnia

Washington -- The House of Representatives voted 298 to 128 August 1
to approve legislation directing President Clinton to terminate U.S.
adherence to a United Nations embargo on Bosnia.

The legislation, approved by a bipartisan majority, is identical to
the Dole-Lieberman bill the Senate approved July 26 by a vote of
69-29.

The measure now goes to President Clinton, who released a statement
after the vote repeating his pledge to veto the bill and expressing
confidence that his veto will be upheld. A two-thirds majority vote in
both chambers of Congress would be needed to override a presidential
veto.

The measure would require Clinton to end U.S. support for the
international arms ban after withdrawal of U.N. troops now on the
ground or within 12 weeks of a request by the Bosnian government,
whichever comes first. It also would require Clinton to seek a U.N.
Security Council vote to lift the embargo, marking one final attempt
to avoid a split with NATO allies. If that fails, the administration
would be required to seek a vote by the U.N. General Assembly before
acting unilaterally.

House International Relations Committee chair Benjamin Gilman argued
forcefully to lift the embargo. He said the choice is ”clear and
compelling. Let there be no mistake, my colleagues, our Bosnia policy
has been an abject failure and serves only the interests of the Serb
aggressors.“

Representative Lee Hamilton, the ranking Democrat on the committee,
said in recent days there has been positive movement in the way the
United States and its allies respond to the Bosnian crisis. ”We have
agreed upon a new and much tougher, more unified strategy with our
NATO allies and the United Nations on Bosnia,“ he said, urging
Congress to give the new strategy time to work.

”We have NATO agreement on the policy of a massive air campaign to
halt Bosnian-Serb aggression. There will be no more pinprick air
strikes; there will be expanded targets; there will be no more
dual-key control; there will be no more decisions delayed because they
must go through New York,“ Hamilton pointed out.

House Minority Leader Dick Gephardt said ”lifting the embargo is not
the moral thing to do.“ If it is lifted, he said, U.N. forces will
want to leave Bosnia and the United States is committed to putting
25,000 people on the ground ”to conduct a retreat.“ And the number of
U.S. forces that could be involved could rise to 50,000, he said.

Gephardt said it would take 50 days to get arms to the Bosnians and
even longer to train them to use them.

During that period genocide would increase, he said, emphasizing that
the only way to bring about the U.S. objective in Bosnia is through a
peace treaty.

But House Democratic Whip David Bonior broke with Gephardt and voted
to lift the embargo.

”It's time to lift this embargo once and for all,“ Bonior said. ”The
greatest sin in Bosnia is that time and time again we have raised
hopes that the cavalry is on the way and time and time we did not
deliver,“ he said.

#a
Christopher: Russia Plays Vital Role In The Asia-Pacific Region

Washington -- Russia has a vital role to play in the Asia-Pacific
region, according to Secretary of State Warren Christopher.

Christopher spoke to the press along with Russian Foreign Minister
Andrei Kozyrev August 1 at Bandar Seri Begawan, Brunei. The two are in
Brunei to discuss security issues for the ASEAN Regional Forum.

”It is well known the United States believes that a stable democratic
and prosperous Russia can be a vital cause for security and prosperity
throughout this region and as well as others,“ Christopher said. ”In
the past few years Russia has acted to help to reduce tensions in this
area, particularly on the Korean Peninsula as well as in Cambodia. In
addition to our cooperation in the ASEAN Regional Forum, the United
States and Russia share an interest in developing a separate security
dialogue relating to Northeast Asia, and I think that can be very
useful as well in trying to quiet tensions in the area.“


Following is a transcript provided by the Office of the Spokesman,
U.S. Department of State:

SECRETARY CHRISTOPHER: I'm here with colleague and friend, Andrei
Kozyrev. One of the benefits of this ASEAN Regional Forum is it
enables us to get together with our partners including Russia, to
discuss the security situation here in the Asia Pacific region, as
well as to talk about other bilateral and regional matters. It is well
known the United States believes that a stable democratic and
prosperous Russia can be a vital cause for security and prosperity
throughout this region and as well as others. In the past few years
Russia has acted to help to reduce tensions in this area, particularly
on the Korean Peninsula as well as in Cambodia. In addition to our
cooperation in the ASEAN Regional Forum, the United States and Russia
share an interest in developing a separate security dialogue relating
to Northeast Asia, and I think that can be very useful as well in
trying to quiet tensions in the area.

On Bosnia, the Foreign Minister and I will follow up on the
conversation held last week between President Clinton and President
Yeltsin discussing the overall situation there with particular
emphasis on the safe areas. Naturally we will touch on the
deteriorating situation in the Bihac area, as well as efforts to get
humanitarian supplies. I want to commend the Foreign Minister for
diplomatic efforts that he has made on behalf of the Contact Group to
try to obtain a peaceful resolution of the crisis, and I look forward
to hearing from him first-hand we've exchanged correspondence on that
subject, but I am very anxious to hear of his recent trip to the
region. We welcome Russia's offer to provide peacekeepers for the
Gorazde area, if that is something that can be worked out in a
satisfactory way by the U.N. commanders.

#a
Ford: Helsinki Accords Not Final Act, But Unfinished Agenda

Helsinki -- Former President Gerald Ford expressing his pride in being
one of the signers of the Helsinki Final Act 20 years ago, said August
1, ”So, I compliment all the signers, and I'm very proud to have been
one of the 35. In August of 1975, we made serious promises to our
countrymen and to people worldwide.“

Following is the text of the former president's remarks as delivered
at the symposium:

Mr. Presidents, Your Excellencies, Distinguished Guests, Ladies and
Gentlemen.

It is a very high honor and a very great privilege for me to have the
opportunity for participating in this gathering under the auspices of
the CSCE (Conference on Security and Cooperation in Europe) and OSCE
(Organization for Security and Cooperation in Europe). President
Ahtisaari, on behalf of all of us, I thank you and the Finnish people
for being such wonderful hosts 20 years ago and also In 1995.

Before the formal signing of the Helsinki Accords, I warned the world
and other heads of state gathered here that ”Peace is not a piece of
paper...peace is a process.“

Twenty years later, the process that we began here by signing that
piece or paper has given us peace -- the Cold War is history.

In 1975, there was considerable opposition in the United States to my
participation in this Helsinki meeting. For example, The Wall Street
Journal advised in its July 23, 1975, editorial: ”Jerry -- Don't Go,“
while other American newspapers were equally critical. Some skeptics
labeled the Accords ”The Betrayal of Eastern Europe.“ Basket III,
which included fundamental human rights language, was either ignored
by most of the media or criticized as long on rhetoric, but short on
substance. Likewise, two of our most influential and prominent
senators, one a Democrat and one a Republican, condemned Basket III of
the Accords.

Twenty years ago when I had the high honor and privilege of speaking
here, my country was beginning the bicentennial observance of our
Declaration of Independence. I drew on the inspiration of that great
moment in our history for the remarks I made to the conference in this
Finnish capital. I likened the Helsinki Accords to the Declaration of
Independence because I realized that, as with our revolution, it is
sacrifice and the indomitable human spirit that truly separate
ordinary moments in history from those that are extraordinary. And
today, as we reflect on the past 20 of achievement, we see that it has
been the sacrifice and the indomitable human spirit of ordinary and
extraordinary people throughout the world that have made the signing
of the Helsinki Accords a truly unique moment in modern history.

Following the meeting in Helsinki, watch groups sprang up throughout
all of Europe. The Fourth Basket provision for a follow-up meeting in
Belgrade in 1977 and subsequent meetings in Madrid in 1980 and Vienna
in 1986, would give to those who were aggrieved a global forum for
their determined anti-Marxist and pro-human rights views. To those
suffering behind the Iron Curtain, the Helsinki Accord was a powerful
proclamation that contained seminal ideas and was issued at a most
appropriate time.

Today, we face the harsh realities of August 1995, I am reminded of
the words of President Abraham Lincoln as he confronted the awesome
challenges of the American Civil War. With our Republic hanging in the
balance, he observed that ”the occasion is piled high with
difficulties and we must rise with the occasion. As our case is new,
so we must think anew and act anew.“

I am very confident that if we continue to be vigilant, what we began
here two decades ago shall be viewed by future historians as a
watershed in the cause of freedom and respect for human rights. Twenty
years from today, history will again judge whether or not the world is
a better place to live because of what we promised here two decades
ago, because of the promises we make here today and -~- most
importantly -- because of the promises we keep.

Thank you very much.