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 :inevitability of settling, on unacceptable terms. Hints of possible U.S. participation would tend to fortify French firmness, but might also tend to induce the Communists to put forward more acceptable terms.


 * . On balance, it appears that the United States should now reach a decision whether or not to intervene with combat forces, if that is necessary to save Indochina from Communist control, and, tentatively, the form and conditions of any such intervention. The timing for communication to the French of such decision, or for its implementation. should be decided in the light of future developments.

8. If the United States should now decide to intervene at some stage, the United States should now take these steps:


 * . Obtain Congressional approval of intervention.


 * . Initiate planning of the military and mobilization measures to enable intervention.


 * . Make publicized U.S. military moves designed to make the necessary U.S. air and naval forces readily available for use on short notice.


 * . Make maximum diplomatic efforts to make it clear, as rapidly as possible, that no acceptable settlement can be reached in the absence of far greater Communist concessions than are now envisaged.

Rh