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 14. During the course of the discussions General Ely stressed that, from the military standpoint, one of the major deficiencies in Indo-China was offensive air power. I took this opportunity to pose the proposition of incorporating an air component within the framework of the Foreign Legion or alternatively forming an International Volunteer Air Group for operations in Indo-China. General Ely manifested casual interest but made no commitment to do more them consider the matter further on his return to Paris.

15. As I stated in a brief memorandum to the President, copy attached as Enclosure "B", I am gravely fearful that the measures being undertaken by the French will prove to be inadequate and initiated too late to prevent a progressive deterioration of the situation in Indo-China. If Dien Bien Phu is lost, this deterioration may occur very rapidly due to the loss of morale among the mass of the native population. In such a situation only prompt and forceful intervention by the United States could avert the loss of all of South East Asia to Communist domination. I am convinced that the United States must be prepared to take such action

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