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 OUTGOING TELEGRAM

Following is translation aide memoire delivered by Bonnet to Secretary and Eden June 26. Text coordinated US-UK reply contained next following message.

"The coming weeks will be of decisive importance insofar as Indochina is concerned. Following his conversation with Mr. Chou En-lai, the head of the French Government has instructed M. Chauvel to approach M. Phan Van Dong with a view to carrying on with him directly negotiations to ascertain whether a basis can be found, in his opinion, for a territorial settlement in Vietnam or not.

"The objective of the French Government is to arrive at a regrouping which will assure the state of Vietnam a territory as solid as possible, and without the  division which will result being too cut up. That is the reason why the French Government will insist on maintaining Haiphong as long as possible and on obtaining the neutralization of the bishoprics of Bui Chu and Phat Diem.

"It is difficult to predict the result of this negotiation in which the French authorities must face two sorts of difficulties: on the one hand it will be most difficult to obtain concessions from the Viet Minh in the north; on the other hand the negotiations risk causing, if the agreement 46277 Rh