340. Memorandum From Harold H. Saunders of the National Security Council Staff to the President’s Special Assistant for National Security Affairs (Bundy)1

McGB:

UNYOM will be renewed for another 2 months on 4 July. But Faisal agreed to pay his share of costs only on condition that the SYG report to the Security Council his intent to liquidate UNYOM by 4 September unless the UAR pulls out a substantial number of troops.

Stevenson is suggesting to U Thant today that he shouldn’t tie his hands but might say he “may have to liquidate.” SYG’s report will probably hit the press this weekend.2

We made another pitch to the Egyptians both here and in Cairo, but so far response has been noncommittal. We’ve seen no signs at all [Page 646] of troop withdrawals despite Nasser’s 18 June statement that the Yemenis are “ready to fend for themselves.”

Related subject. I’ve started the wheels turning in State and AID to develop a position by 15 July on the Salhia Project we talked about this morning. Undoubtedly they will start from our present impasse over Yemen in considering where next with Nasser.3

Hal
  1. Source: Johnson Library, National Security File, Country File, United Arab Republic, Cables&Memos, Vol. II, 6/64-12/64. Secret.
  2. An excerpt from the Secretary-General’s report of July 2 (UN doc. S/5794) is printed in American Foreign Policy: Current Documents, 1964, pp. 726-727.
  3. A handwritten notation in the margin in Bundy’s handwriting reads: “But the way they should look at it is this: What would be a good package, with Salhia?”