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HomeMy WebLinkAboutM-76-044976 41 Lcwii cR1cdjrnmtiet 135O WEST 29+H STREET MIAMI BEACH. FLA 33'4O PHONE 532-351 WHY A BICENTENNIAL PILGRIMAGE TO EUROPE? LAST DECEMBER THE CITY OF MIAMI ORGANIZED A TRIP OF FRIENDSHIP TO COLOMBIA AND VENEZUELA, THE PROJECT WAS A GREAT SUCCESS FROM POLITICAL, CULTURAL AND ECONOMIC POINT OF VIEW. TRIPS OF THIS KIND CAN AND SHOULD BE ORGANIZED MORE FREQUENTLY, MAYBE EVEN EVERY YEAR, IN ORDER TO KEEP OUR RE- LATIONS WITH THE NEIGHBORS ALIVE AND WELL, BUT THIS BICENTENNIAL YEAR CALLS FOR SOMETHING VERY SPECIAL; FOR AN ACT AS UNIQUE AND UNREPEATABLE AS THE GREAT OCCASION WE ARE CELEBRATING. 1 AM A NATURALIZED AMERICAN, A FORMER EMIGREE, WHO MADE HER (DAY TO THIS COUNTRY DIRECTLY FROM THE WAR -TORN EUROPE. I VIVIDLY REMEMBER THE GREATNESS, POWER AND HOPE WHICH WAS AMERICA TO US, EUROPEANS, DURING THOSE AWESOME DAYS. WHAT WOULD EUROPE BE TODAY IF AMERICA LEFT IT TO ITS OWN FATE AT THAT TIME? WHERE WOULD THE WORLD BE TODAY WITHOUT THE AMERICAN SACRIFICE IN WORLD WAR II? THESE ARE NOT RHETORIC QUESTIONS AND THEY NEED TO BE ASKED TODAY, DURING THIS BICENTENNIAL YEAR. BECAUSE TOO MANY ALREADY TEND TO FORGET THE PRICE AMERICA PAID TO HELP BRING THE CRAZED WORLD BACK TO SANITY; BECAUSE TOO MANY, IN THIS COUNTRY AND ELSEWHERE, RECKLESSLY QUESTION THIS NATION'S GREAT- NESS AND EVEN ITS MOTIVES; BECAUSE TOO MANY MISREAD THE PROCESS OF SOUL-SEARCHING AMERICA HAS BEEN INVOLVED IN RECENTLY. SO, IN THIS BICENTENNIAL YEAR, WE MUST NOT FORGET ABOUT THOSE AMERICANS WHO PAID THE PRICE OF BLOOD TO LIBERATE OTHERS, IF WE DON'T WANT THE WORLD TO FORGET ABOUT AMERICA'S CONTRIBUTION TO THE CAUSE OF FREEDOM. IN EUROPE ALMOST EVERY VILLAGE CHERISHES THE MEMORY OF ITS WAR HEROES, EVERY ANNI- VERSARY IS AN OCCASION FOR A PATRIOTIC REFLECTION. THIS IS A VERY MEANINGFUL AND EDUCAT?ONG CUSTOM: SHOULDN'T WE TRY TO DEVELOP IT HERE, IN OUR COUNTRY, TOO? LET US, THEN, GO TO EUROPE AND VISIT THOSE BATTLE- FIELDS WHERE OUR AMERICAN SOLDIERS FOUGHT FOR "THEIR FREEDOM AND OURS" AND LET THE EUROPEANS KNOW THAT WE CHERISH OUR PAST AS MUCH AS THEY DO THEIRS. LET IT BE A PILGRIMAGE TO HONOR THOSE WHO SACRIFICED EVERYTHING FOR THE SAKE OF THE PEACE AND FREEDOM WE ALL ENJOY TODAY. FOR AMERICA WILL BE RESPECTED ONLY AS MUCH AS SHE RESPECTS HERSELF AND HER HEITAGE. PLEASE READ THE ENCLOSED NEWSPAPER ARTICLES, DOESNi1 IT INSPIRE OPTIMISM TO KNOW THAT THE EUROPEANS ARE INVESTING IN OUR COUNTRY? THE QUESTION IS: &HY NOT ALSO IN FLORIDA? TWO OR THREE INVESTMENTS OP THE KIND DESCRIBED IN THE ENCLOSED PRESS REPORTS COULD VERY WELL SOLVE OUR UNEMPLOYMENT PROBLEM! BUT TO MAKE THIS HAPPEN, AND TO START A MEANINGFUL PLOW OP EUROPEAN TOURISM INTO PLORIDA, WE MUST ESTABLISH DIRECT ANO CLOSE LINKS WITH OUR EUROPEAN FRIENDS, WE MUST ENCOURAGE THEM TO TAKE A CLOSER LOOK AT OUR CITY AND STATE► AND THIS IS ANOTHER PURPOSE GP THIS BICENTENNIAL JOURNEY, SO LET IT BE A JOURNEY TO THE PAST AND TO THE FUTURE AT THE SAME TIME, LET US PAY A TRIBUTE TO OUR AMERICAN HEROES WHO FOUGHT FOR EUROPE'S FREEDOM AND LET US BE AMBASSADORS OF FLORIDA-- A YOUNG, DYNAMIC AND HOSPITABLE STATE OF AMERICA, WIDE OPEN TO ALL U►HO WANT TO SHARE ITS GROWTH, MRS. LEWIS S. ROSENSTIEL U.S. LOSING RESPECT OF ALLIES ? Some Surpris/ng Answers America`s overseas partners know all about Water- gate,.the debacle in Vietnam, Angola —all the humili- ations that the U.S. has endured. They watch with concern the no -holds. -barred U.S. election -year debate over detente with Russia and foreign policy in general. They worry over signs that Americans have lost confidence in their military might, their ability to lead the free world, the integrity of their own leaders. A few critics go so far as to say that America's internal disarray makes it a less dependable ally. Yet a U.S. News & World Report survey of opinion in the key nations turns up a surprising conclusion: Allies not only remain staunchly loyal to the United States. but they also have dee res ect for its military. eco- nomic an po itica strengt . In Britain. even critics feel that U.S. defenses are holding firm and the U.S. is not walking away from its responsibilities in Europe. A Japanese says: "We recognize the U.S. is indispens- able —diplomatically, militarily, economically." France, frequently the odd man out, considers itself still an ally of the U.S. The explanation in Paris: There is no acceptable alternative. Cables from the magazine's bureaus abroad spell out in greater detail the results of the survey: WEST GERMANY: "SELBSTZERFLEISCHUNG"? BONN •In Government and among the people. there is little doubt %Aere \Vest Germany stands. Despite scandals, exposes and 'occasional stumbles in Washington, this country places great value on close partnership with the U.S. West Germans overwhelmingly consider America to be their best friencTin the world. In a recent poll. the U.S. outpaced second -place France by pearly 3 to 1 as most -favored nation. Another poll showed that 86 per cent of all West Germans want their Government VI forge even closer ties with the U.S. Despite this popular sentiment, top Government officials are seriously concerned over developments in Washington. There is little moralizing about payoff scandals, CIA -FBI transgressions or foreign-policy lapses. Instead, worry centers on what appears here to be seemingly endless condemnation by the Americans of themselves, their Government and institutions. The Germans have a favorite word for what is going on in the U.S.: Selbstzerfleischung—self-laceration. They want it stopped before America inflicts permanent damage on itself. FRANCE: U.S. IS UNABLE TO ACT The United States, in French eyes, has lost its respond to Russia's global challenge. America has athand almost everything it needs to meet U.S. NEWS & WORLD REPORT. April 26. 1976 PARIS will to the Soviet threat; a huge military arsenal, material resources, money, manpower. All that is lacking is determination. What brought about this slippage of American purposed According to the h'rench: The American withdrawal from Vietnam, the Watergate upheaval, payola scandals and other domestic crises have plunged the U.S. into a national exami- nation of conscience which prevents the nation from resolute action. Further inhibiting America, the French say, are the Presi- dent's reluctance to make controversial moves overseas during an election campaign and the continuing fight be- tween the White House and Congress over which has the responsibility for U.S. foreign policy. "The problem," a Paris expert says, "is not whether the U.S. is ready to face up to Soviet intimidation, or capable of it, but whether it wants to. "Right now, the U.S. is psychologically unable to act. Angola is proof of this. But you can be assured that, if the challenge becomes too bold or the provocation too brazen, The U.S. will regain its will to defend itself and its allies." BRITAIN: MORE DEPENDENT THAN EVER LONDON Britain's faith in the value of its American connection remains undiminished. In fact, British dependence on the U.S. probably is, greater today than at any time since World War II. It is likely to increase in the future. The major reason is economic. As successive crises force the Government to cut back on military spending, Britain must rely more and more on the U.S. and the Atlantic Alliance for its defense. And despite doubts expressed in some European capitals over the depth of the American C'ou niitttlent to \Vestern it nl R,Syi.fi iP "LEAVE ME IN PEACE —CAN'T YOU SEE I'M HATCHING?" U.S. allies worry that heated presidential -campaign debate on Angola, Soviet military might leaves America too preoccupied. 31 U.S. LOSING RESPECT? tcontinued Iron preceding pApeI Europe, the British like what they see: U.S. defense spending is holding firm. There is a new, cold -eyed approach to the problems of detente with Russia. Moves in the U.S. Congress to withdraw American troops from Western furope have gotten nowhere. Rather than_queshotithe reliability „of.‘ the U,S._as an ally.,. British experts are uneasy oVer the ong,term_reliability , uropeahs,as partners_oftiAmerica. In the past, these analysts say, NATO's strength was based on Alliancewide opposition to Communism. Today, over U.S. objections, some Europeans no longer view Communism as a threat and are moving toward acceptance of Communists in Alliance governments. So far, there has been no evidence that the U.S. is losing its will to defend Western Europe. But the British fear that the conflicting hard -soft attitudes toward Communism could one day alienate America and tear the Atlantic Alliance apart. ITALY: "TOO WEAK TO STAND ALONE" ROME Here in Italy the U.S. still stands high in spite orail America's troubles at "tome and abroad. Says one Italian official: "We not only still regard America as a reliable ally, we regard it as our No. 1 ally —the one we count on more than any other h defend us and to deter the Soviet. Union." Islost Italians appear to see no choice but to maintain close tic's with the U.S. Even the Communists proclaim sup- port of NATO, although they say Italy should follow the lead of other Medi- terranean nations in restricting and reducing the number of U.S. bases here. "Italy is too small and weak to stand alone," a Roman businessman com- ments, "and ‘Western Europe is not yet ready to stand alone." A dissenting voice• on U.S. reliability comes from a career official high in Government, a man generally known to be pro -American. Ile says: "The U.S. still is a giant in our eyes, but a weakened Lockheed and Watergate scandals, the CIA Vietnam —all appear to have taken their toll. "For these reasons, we do not feel the U.S. is a very strong ally at this time. Our two nations remain on the same side of the fence, with excellent relations, but there is not the same almost -automatic reliance on America to come to our rescue." unrealistic. As for accotntnodatiotts with MoscOW, Canada can identify with most American principles but with few if any Soviet principles." Mote than anything else, Washington's policies toward southern Africa and Cuba raised eyebrows here. froth Otta- wa's point of view, Soviet -Cuban intervention in Angola was less a sign of Communist ekpansiottiSin than of U.S. failure to come to grips with the aspiration§ of black Africa. Washington's threats toward Havana also are criticized. Says one official: "Willingness of a powerful country like the U.S. to confess so openly its frustrations with such a minor power as Cuba is bewildering." AUSTRALIA: BEST FRIEND AVAILABLE CANBERRA Australians put great reliance on the White House. They are less certain about the dependability of the U.S. Congress. A huge country about the size of the continental U.S., but with a population only slightly more than the State of Pennsylvania, Australia counts on America for its defense. In sharp contrast to the previous Labor Government, Prime Minister Malcolm Fraser advocates a strong American presence in the Indian Ocean, includ- ing construction of a U.S. base on Diego Garcia island, to counter grow - Hard -up Britain relies more than ever on U.S. and NATO for its military defense. giant. The revelations, CANADA: NO ALTERNATIVE TO U.S. OTTAWA Reliability of' the U.S. as an ally is as unquestioned as ever in Canada. But there are gnawing doubts about what some top officials call "quality of leadership." "The U.S. has had its share of troubles, and the U.S. psyche has been under assault and suffered reverses," says a Govern- ment foreign-policy expert. "But those of us who know the U.S. well, know it remains an immensely creative, dynamic nation capable of great things." Another foreign -affairs adviser puts it this way: "There is no alternative to American leadership. Going it alone is 32 ing Russian naval strength in the region. Nevertheless, the Fraser Govern- ment worries whether a Democratic Congress will give a Republican Ad- ministration the military wherewithal to permit the U.S. to honor its defense commitments. Giving substance to these fears in Australia was the con- gressional ban on American aid to anti- Communist forces in Angola. For all these misgivings, there is con- viction in Canberra that the U.S. is the best friend available and that Australia has no choice but to put all its defen- sivt' eggs in the American basket. JAPAN: TIES ARE STRONG TOKYO Foruien and domestic setbacks for the U.S. inevitably raise misgivings in Japan about America's strength and dependability. Yet ties between the two Pacific powers remain strikingly strong. "In Japan, as well as in the rest of the non-Communist world, the U.S. is considered the most reliable ally a country can have," a veteran Japanese diplomat comments. Japan's businessmen agree. Says Yoshiya Ariyoshi, chair- man of the nation's biggest shipbuilding company: "Although its financial position has weakened, the U.S. is amazingly sound and is still the economic mainstay of the Western world." The newspaper, japan Times, summed up Japanese atti- tudes toward the U.S. this way: "There are strong indications that the United States is rapidly overcoming its Vietnam ailment, and it is believed and hoped that after this year's elections, it will again play its proper role as a world leader. "Consequently, it would be very risky for the Soviet Union to assume that the U.S. response to Russian adventurism in Africa and elsewhere would in the future be weak, too. The Soviet Union's actions and policies are threatening detente and driving the U.S. into an anti -Soviet position which cannot be beneficial to Moscow." U.S. NEWS & WORLD REPORT, April 26, 1976 i i a MORE FOREIGN INVESTORS ARE BEATING A PATH TO AMERICA INVESTMENTS FROM . OVERSEAS,now buildingat a fast c1ip,.are .giving the t1.S._recovet-y an added_shot in the artn, Foreign .citizens .are. gobbling _uu American stocks and other securities, t'he latest Government estimatepegs their holdings at about 85 billion dollars, 20 times the size of the portfolio in 1941, when the last major survey was taken. Also on the upswing: direct invest- ment by overseas•concerns in such U.S. enterprises as manufacturing, oil, insur- ance and banking. These investtnents, which give foreign shareholders full ownership or a voice in the manage- ment of a company, have been climbing at the rate of 20 per cent annually and now total about 25 billion dollars. What is luring this capital to the U.S.? Cables from U.S. News & World Report's foreign bureaus cite several factors: the size and potential of the American mar- ket, soaring labor costs abroad, progress in curbing inflation and political stability in the U.S. Almost every week brings ne'w word of foreign firms seeking a stronger foot- hold in the U.S. economy. Auto industry. Any day now. Germa- ny's Volkswagen is expected to an- nounce its decision to begin a nwjor asscinlilvv--line operation in this country. t least 2l)t)inil ion cicil :ere �yill be in- voIyed in start -tin costs alone, and sot,, si3OOOjobs will open u11 for U.S. workers. Volvo. the Swedish auto maker , -is al- reac vv�iuiTding_a _production plant in r�,inia� Thit liiciInv_ iti_ scheduled to open in 1977, with production targeted for 1t)0.000traits Germany s chemical firms are e,ju•tlly en husiastic about .the-y.c'teutial. of..the American market.,, B_ASI•: baas itivestc nearly 760 million dollars in this country and pions to spend another 90 million in the immediate future. Besides chemicals and autos, other prime areas of investment for Germans include electrical components, iron and steel, insurance, real estate and banking. German businessmen cite three main advantages of producing in the U.S.: being in the world's largest market, avoiding American trade barriers and trimming labor costs. In terms of U.S. dollars, unit labor costs in manufacturing rose 17.4 per cent in West Germany from 1970 to 1975, while the increase was only 6.4 per cent in the U.S. With their own stock market leveling 66 off of late, Gentians are also turning their attention to the U.S. market, which they believe will be bullish at least through the November election, Among their favorite issues: Borden, Cities Ser- vice, Delta Air Lines, Emerson Electric, IBM, Monsanto and Xerox. Bankers in 13elgium. Holland and Switzerland ate also recommending that investors buy American stocks. Swiss experts take the view that "ca remains thehiggest and most promising market." Thev believe that :'private enterprise is "safer" in the U.S than in Europe, where th.e.y predir't more Government intervention and po- litical risks. In One Decade A TRIPLING OF FOREIGN ASSETS IN THE U.S. Total Direct Foreign Investment in U.S. $25.0 billion 20 BIL. 515 BIL. 510 BIL. $8.8 billion s5 BIL. 0 1 -1-1 1 1 r 1 c 1 t '65'66 '67 '68 '69 '70 '71 '72 '73 '74'75 (est.) LATEST TALLY OF BIGGEST INVESTORS United Kingdom $ 6.1 billion Canada $ 4.8 billion Netherlands Switzerland Germany- S 2.8 billion $ 2.1 billion $ 1.1 billion France 3700 million Japan 3500 million Source: U.S. Dept. of Commerce. 1975 estimate by USNSWR Econcimic Unn Threats of tore Government control are said to be particularly great for chemical and pharmaceutical Artns. That's one reason why companies in these fields, such as Ciba-Geigy and Hoffmann -La Roche, are stepping up their U.S. operations. Total Swiss direct investment in this. country is mote than 2.1 billion dollars, with half in chemicals, 15 per cent in foods and more than 10 per cent in aluminum and metal products. Nestle, the Swiss food concern, pug- chased Stouffer's for about 100 million c 1lars and recently acquired tiara -ow of Chicago's Libby, McNeill & Libby to strengthen its position in the frozen - foods, fruit and restaurant businesses. In Britain, the country with the great- est financial stake in the U.S., companies view conditions here as an appealing contrast to the discouraging economic situation they still face at home. Inflation has averaged 14 per cent over the last six months and output is at 1971 levels. Among British industrial investors, Babcock & Wilcox, a power and engi- neering group, recently paid 70 million dollars for the Connecticut -basest American Chain & Cable Company. Hawker Siddeiev, an aviation-prod- tic•ts manufacturer. has paid 37 million c altars for a 'take in the Onan Corpora- tion. Ind li'l li l.td., a plastics and engi• ierinc Brill. is r, tering 30 million for ZV1:alustrires. one of America's leading in•oelucers of piaper-mill and textile -plant tmat:Linerv. British interest in American real es- tate remains Tiii_h, too. Britain's post- T ice pension fund, with_ isgets oLtnore than 1.5 billion dollars, is concentrating its investments in overseas properties, especially in the U.S. and Canada. The Gallic touch. The French have not been as successful in buying up U.S. properties. Beal -estate experts there say that the U.S. market is the most sophisti- cated in the world and very difficult for a European to crack. However, other forms of investment are picking up fast. French direct invest- ment in U.S. concerns more than dou- bled from 1971 to 1974 and now stands at more than 700 million dollars. "French companies have poured cap- ital into steel, chemicals, aluminum, pharmaceuticals and mining. Investments in the auto industry in- clude the 300 million dollars that Miche- lin is plowing into three U.S. tire plants. U.S. NEWS & WORLD REPORT, April 26, 1976 The U. S. becomes a bargain for visitors Since 1972, when the dollar was de- valued and airlines were first allowed to cut foreign fares as much as 50% on advance -booked flights, the flow of for- eign tourists to U. S. shores' has Wen on the rise. Last year there were about 16 million. This year they may top 18 million and spend nearly $6.6 billion when they get here. Even though 22.7 million Americans, meanwhile, will he spreading money abroad, the Com- merce Dept. expects that the foreign vacationers will chip an extra $600 mil- lion off the nation's chronic travel bal- ance deficit, knocking it down close to $2 billion. While some like to call it a $600 mil- lion "birthday present," travel officials talking to HUSINhss WEEK correspon- dents here and abroad this week say the rise in foreign travelers has more to do with economics than the Bicen- tennial. Indeed. Peter l.andsberger, U. S. travel director for Deutsche Reiseburo, a major West German travel agent, admits he hardly men- tions the national observance for fear of scaring off customers anxious to avoid any hubbub. Instead, he says, Germans are gradually realizing that with their Deutschemarks now worth 2.n to the dollar rather than the 4-to-1 ratio of the 1960s, they can afford a U. S. vacation. The U.S.'. inflation rate, stable compared to some, is also a fac- tor; Swedish visitors to New York City's Lincoln Center this week were finding Manhattan prices hardly more alarming than those they pay at home. Shaky prices. How much Italian tour- ists, meanwhile, will be spending in the U.S. this year is a major question 34 BUSINESS WEEK: April 26, 1976 Swedish tourists in New York: Prices were no more alarming than those at home. mark. TWA, Pan Am, Alitalia, and oth- ers expect an eventual improvement over last year for travel to the U. S. But the shaky Lira has made pricing so hazardous that they are generally hold- ing off marketing their U. S. tours. This week, for instance, TWA offices in Italy received brochures for a 16-day U. S. tour the airline had worked out with American Express and others. The prices, based on an exchange rate of 840 lire to the dollar, were hardly marketable; the lira had slipped to 900 to the dollar. Another inhibitor of hold travel planning in Italy is the limit of 500,000 lire that Italians may take out of the country. Since that amounts to about $560. elaborate tours of the U. S. appear virtually el iminat ed. Despite the sinking pound, however, British travelers to the U. S. may num- The Bicentennial is not the draw, say travel officials. Economics is her 450,000, up 3%, over last year. ac- cording to Director Beverly Miller of the U. S. Travel Service's British oflice. The growth, spurred by special -fare U. S. tours offered by TWA, Pan Am, British Airways, and Laker Airways, has been won against tough economic odds. The limit on foreign currency equal to 300 pounds sterling that the average nonbusiness British traveler may take out of the country had shrunk in value from $720 last year to about $552 last week. The U. S. travel promotions have also had to overcome a British preference for Italy, Spain, North Africa, and for- mer outposts of the Empire as vacation spots; only 4.2% of traveling Britons customarily vacation in the U. S. "North America," explains a Thomas Cook Ltd. spokesman in London, "is just not exotic." But now, with prices soaring on the Continent, neither does it seem so expensive. The U. S. Bicentennial as a drawing card has received its strongest push in }'ranee. "Almost every trip from 'ranee to the U. S. this year has a Bi- centennial angle," says Miguel Borda, USTS deputy director in Paris. About 205,000 Frenchmen, compared to 157,000 last year, are expected to visit the States. Visa applications at the U. S. Embassy are up 30% in the past six months compared with the same pe- riod last year. Even so. travel officials suspect that much of the impetus comes from the Olympics in Montreal and from the U. S. visit next month of President Giscard d'Estaing. Doing the Wild West. Although "bargain" tours pegged to the Bicentennial are being pushed from Tokyo to Frankfurt, travel in the U. S. is hardly cheap for foreigners. That is because they try to encompass the three main attractions for foreign visitors —New York, San Francisco, and the Wild West, espe- cially_ the Grand Canyon. A typical three-week tour offered by Necker- mann Travel, one of Germany's largest tour planners, costs $2,000. "One of our most popular tours," says a TWA spokesman in London, "is a 14-day package including a week in Los An- geles and San Francisco, and a week at a Western ranch for 503 pounds." Last week that was $926. Aware of the increasing flow of for- eign tourist dollars, U. S. cities are stepping un hosoitality efforts. New York bars already are posting German - language signs of welcome. Since No- vember the San Francisco Inter- national Airport has had multi- lingual aides in the customs area. The Boston 200, the official Bicentennial Commission of Massachusetts, not only encourages retailers and restaurants to post languages spoken by their staffs, but also offers interpreters for tours. Anxious not to leave all the tourist business to the major cities, the Rocky Mountain region —with its famed ski areas closed —is pushing some alterna- tive ideas. On July 4, for instance, Frontier Airlines will fly 80 Germans to the Little Big Horn to look over Cus- ter's last battlefield. And Western Travel Merchants, an agency in Cody, Wyo., has convinced 25 Liverpudlians that they want to spend five days in August rolling through South Dakota in a wagon train. s{: N thiliitifiimittiiititit►lil 1F30111V — West G ti`iafn,eit. eeficlitures bit foteign travel tout ID 1975 by some 1 .5 per cent and, accordilag to the Bundesbank estimates, have exceeded DMZO b'rlliott at'?billion at the cut -rent eXctha6ge rate). The Bundesbank interprets i . Nitest:Gerrna.n SiDendj.ii For Trlps Abroad Gains yti.tss Lt 14tiMsa titafige fate adtvaiitaget."'The JOUtnal.ot Cotni;nefne Stiff that in the (taffatr flaw noin : fruit the eXpentiVe fo &taper foreign eceintries, dearly tp7Vi= dent last rAlnerter, treilects this attitude. The breakHontfi of total Ger- than expenditures on t4uriSt f for the 1975 April -October pe- riod reveals the highest rela- tive increase .in the "bent bat - Oat strong expaitsvon as a grain" couritt+ies such as 5paftt, clear evidence that the desire Yugoslavia, the United States of German • citizens to travel .and knee• abroad, dampened somewhat White the global ex - in - the aftermath of the oil incbtvres rose during this pe- crisis,'has again regained its riod 112.4 per rend to potency of tote early seventies: DMt3.3 bi}}ion ($5.05 billion This development might be the la gain s Spam and Yugo - surprising, considering that clatter was 23.8land 15.2 per. 1975 was the • o'orst year for centvale respectively. Gtatrrtan tea- W e s t Germany's economy velars to France Apent 17.1 per • since the end of the war, refit .more 'during the last points out the latest Bun- year's stammer season than desbank monthly 1974 and thala` expenditures monthly report. But the United States were at the usual high correlation be- DM499 million ($173 million), tweet expenditures on foreign 18.2 per cent higher. than in' travel and the business cycle Apra-Garber1974. - - has been more than over- In contrast; ttie increase is ���" components such as longer compensated hy"structural German tourist expenditures in Austria was k t clown to a paid vacations, increased va- Yet Austria, with DM.l.01 bil- lion ($1.9 billion) income from German tourists, remains by far Their most Lawred vaca- tion and, well ahead of Italy The fact that West Germany '($870 million)) and France has become one of the most • ($500 million). expensive countries in the Switzerland, where German world and the cost of vaca- tourists during the 1975 A.pril- tions abroad often runs lower October Beason spent only 5.4 than. at home, was another per cent more than a year significant factor behind this earlier, hes dropped to filth development. place on the list of the most This, evert tough the in- ravored German vacation flation rate h.as been more mots abroad, right behind pronounced in many foreign Spain. . vacation spots favored by Ger- Gennan tourist traffic to man tourists than in West Italy is the only exception in Germany, theconsrstent pattern. favoring Between 1972 and 1975, con- cheaper coumtries.. German eumerprices rose in Italy and expenditures there in the 1975 Spain by over 50 per cent and sunnner season were only 10.7 in Yugoslavia by as much as per cent higher, confirming a 65 per cent. At the same time, sustained downward trend. the cost of Living index ad- vaneed.by "only" 22 per cent in West Germany. Yet this difference in rela- tfbe price movements was more than compensated by the fact that the absolute cost level of goods and services, particularly in demand by • tourists, is StUB lower abroad iban at home. Moreover, price increases in foreign .lands have, to a large degree, been "absorbed" by a better rate of exchange for the much appre- ciated deutsche mark. According to the ca}cu. lotions of the Federal Statis- tics Office, the several weeks vacation's cost, based on a specific "German tourist goods basket" in the summer of 1975, was 5 per cent lower in Austria and 13, 22, and 43 per• cent less in Stair, Italy end Yugoslavia-respective'lyp than for a comparable holiday at borne. cation bonuses, and extensive below average 7.2 per cent..offers of charter flights at bar- gain rates, explains the Bun- desbank. SIRni�ffen it Factor This development clearly suggests that evens consid- erable cost advantages are ig- nored by German tourists when confronted wit'h poten- tial inconveniences of frequent strikes and political in- .statbIlity. The political unrest iras cost. Portugal a 42.5 per cent loss in Germane tourism revenue's. • On the other hand, Greece, profiting from the stabilization of her political situation, hes earned $43 million from Ger- men tourists in the 1975 sum- mer season, a gain o135.4 per cent over the previous year. • The relatively mast striking. increase in German ex- penditures on -tourism .was registered by the Fast Eu-• ropean countries. At DM93 maim (>:36 ma}}inn), Bul- garia's .receipts rose by 72 per Cent, and those of the Soviet Union to PM25 million (no t7ti'•liap) for a gain 0'25 per . Initems of their purchasing cent, power German touristta were Although German revenues worse off only in Pefrnarlc from foreign Lojsm, after and Switzerland where hi 3975 two years of stagnation, rose their money would buy 37,4 again in 1975 by 16 per cent to and 33.7 per cent lees goods an estimated DM7 Winn and services than at home. (42.7 billion) the West German y4ichango EMe Mimosa deficit on tourism recount has German sitizeats •afro t<n 1975. 'swelled to a new record high anent an es 'tainted 3 per (eat.. of gam P1461.7 1?iition 45,3 of their' spensiab1e income ` tiHion), 44 compared with 41.7 $oreigo travel at ern. uF.. Allan r• year Winne and only with 2.4,per Bent in 1970 ar►d a P•47 blition In 3970, Thus, •__� aA ....,... %n.-..-$ f`nr...nnv e1,,1<.thrnn1r:d West Germrn' i1NINf 11N1NNIIINIIt11f11111111UIIIIfNIIiIIIIIfNINIif iNf ffIfN11111Ni111ffffNlffl)IfU111UfIiilillf II1ifNiNlilhlfif till Winter scene of an Inn • located in, the Harz Mount ahead of the United States and Japan. Well over one-third of t h e 1975 trade surplus, estimated at DM 37 billion (513.5 billion), • was eroded by the net ex- penditures of German tourists abroad. The Bundedbank's report emphasizes that the net in- come earned by many coun- tries from German tourists has been a considerable factor in easing -their balance of pay- ments 'difficulties and •a strong prop of their economies. For the "year ending Sept. 30,1975, the German deficit on tourism account vis a vis Atzgbria reached DM3.56 bil- lion ($1.37 billion); Spain and Yugoslavia earned a net of DM1.3 billion ' ,5500 million), and DM900 million ($246 mil- lion) respectively. The tour- ism traffic between France • • Affihated with the Kriehrnn tt Nagel tritern3tionat Travel Organization with Offices ih Abides, Augstnirg, Berlin. Bonn. Braunschweig. Bronzes. Buenos Aires. Cologne, Duesseldorf, Frankfurt Main. Guehtburg, Hamburg, HanoVet, Istanbul, Jdhahrteiburg. Montreal, Munich, Stuttgart, Toronto. Winnipeg Tim CITY OF !tIA'TI rtCr"Tr:rTIAL PILCRIMACI Tn rl'RO1'EA?1 'ATTL1 FI1T.;?S fl1' 1;n11LD ?'A^ II NOTE.: This is n tentiti'Ye itinernrv, subject to chanre. 1 t does rot ircl uc!e ranv functions or details of services arc' its nurpose is to rrovire a general idea of the trip. All services ire it special de-1u::e catet'nry x'i th accornodations in Europe's most rresti,-ious hotels. 1st r?a'• '`T"I - 111',!?'i': 3rd "71.v - Fvenirr (per"r• "' f i i'•rit tr' t'Y't li Cnnitn7. - -orn.i.rS' t inn t'r Lo ''ntei , rest of tit( r'.orn in;' nt lc i rrrrc'. - A.fterroon.--n city} tour '.it' n special ,wide. - 1.venino--off.icinl. function. Ln':110:: - '`orninr'--visit to Parliar'ont. - Afternoon --get-together for business f'.roups. - Evening --optional theatre, night club or other entertainment. 59 S.E 8th Street Miami, Florida 33131 (305) 371-4221 Telex. 519168 Cable: NAKUTRAVEL We are acting as agents only and do not accept liability for actions. errors or omissions on the part of the carriers or third parties who are govemed by their respective rules. regulations and conditions 4th bay LONDON3 = BRUSSELS Morning depatture to Brussels (40 ttinutes flight). • Arrival and transfer to hotel. • Lunch: official function. Afternoon: visit to NATO headquarters. Evening: optional entertainment. 5th Day BRUSSELS -• THE ARDENNES - Morning--motorcoach excursion to battlefields of the Ardennes Forest. * * 6th Day In December 1944 the German forces, acting on 1'itler's personal orders, began their bizarre onslaught in Belgium's Ardennes Forest. The purpose was to cut the Allied Forces in two at the weakest point of their front. A huge force of panzer divisions and motorized infantry was concentrated by the Germans in this desperate effort to reverse the course of war. At Bastogne the American troops refused to surrender in the face of seemingly imnossib]e odi's. The U.S. Commander, Brigadier General Anthony McAuliffe, answered the German surrender demand with a laconic: "Nuts!" But iust a few miles away, a U.S. force of 8,fn' had to surrender to the overwhelming German forces. This vas the biggest American surrender at one time and place, except Bataan. "The Bulge'', as the Ardennes adventure became known in history, was one of the bloodiest episodes of the war in Europe. * * * - Late evening return to Brussels. BRUSSELS - PARIS - Morning --city tour of Brussels. - Afternoon --departure by air to Paris. - Transfer to hotel, rest of afternoon at leisure. - Evening: official function. 7th Day PAR/5 NOR1dAM • Early morning departure to Cherbourg. Today the Bicentennial Pilgrims will pay a visit to the historic Normandy Beaches where the landing of the Allied Expeditionary Force, on June 6, 1944, started a new era in the history of Europe and the world. On June 27, 1944 the U.S. VII Corps under General "Lightning Joe" Collins liberated Cherbourg after days of heavy fighting. This charming old city will now t.'elcome the Florida group. A special city tour will include battle sites and the ?dusee de la Liberation, a local memorial to the Allied invasion. - Transfer to hotel in Caen. 8th Day CAT N - PARI ' - Early morning departure to Paris. - Afternoon arrival in Paris, return to hotel. Test of afternoon at leisure. - }:venin,.: r.et-torethc'r for business crouns. 9th Dar loth Day PAPTS - - "orninr city tour. - Luncheon: official function. - Evening departure to Porte. - Transfer to hotel, rest of evening at leisure. RO'T - Breakfast get-together for business groups. - Afternoon: city tour. - Evening: official function. =4. lith Day RONCT' =- NAPLES Early morning departure to Maples via Monte Cassino. V.S. Air Force played a major role in a four tnonthst long heavy fighting for the strategically located Monte Cassino ?tonastery effectively used by the Germans to hamper. the Allied progress toward Pomo. On May 14, 1944 Monte Cassino was finally taken by the Polish and Eritish troops. The way to Rome stood open and; on June 4, 1944; the U.S. Fifth Army under General Clark triumphantly entered the Eternal City amidst a tumultous welcome. * * * - Evening arrival in Naples, Transfer to hotel.. 12th Day NAPLES - GULF OF SALERNO - P.n'T - otorcoach e::cursinn to the beautiful and historic Gulf of Salerno featurin'- "aiori, Paestum, Salerno and Sorrento. Or ;'enterrher n. 1°L) Cie U.S. rift': r+rrly under General ;'ark C1ar'.: invaded the Tnlerno nren ''ith the U.S. Gangers landing nt "niori . the (i )th Infantry Division near Ponte Alla Scaffn and the 36th Tr`nntry l'ivision at the historic Paestum. The Fifth Army fought its up the narrov leaches and picturesoue rocby hills. The Germans offered a strong resistance '.-itl; machine-gun and tang: fire causing many casualties among the invaders. On September 13 a ferocious German counter-attack vas bravely repelled by the Americans and the German forces went into a fighting retreat. Late evening return to Naples. lath bay 14th Day 15th 1)zy, NAPLES - BONN - Morning official function: - Afternoon: departure by air to 181h/Bonn. - Evening: official function in BOnn. The Federal Republic of Germany, built by the German patriots and democrats on the ruins of the infamous Third Reich, is today one.of the world's greatest democracies and a staunch ally of the United States. It is also one of the leading economic powers of our times. Our delegation ends its flicentennial Pilgrimage in Germany fully aware of the symbolic meaning of this act: in that the past cannot hinder a genuine friendship. - :corning get-together for business groups. - Lunch --official function. - Afternoon: city tour including visit to Parliament. - rvenir.^: official function. TONN - ''IA"1 - ''nrr.i.nr, pet -together for business groups. - At leisure. - Afternoon departure to ?'•iami. Arrival same evening.