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Initials PC/V/AW/SGM



Script is copyright Reuters Limited. All rights reserved

Background: FAILURE OF BRITAIN'S PRESENT BID TO JOIN THE COMMON MARKET SEEMED ALMOST A CERTAINTY IN BRUSSELS TONIGHT (MONDAY) FOLLOWING A CRUCIAL FOUR-HOUR MEETING OF THE COMMON MARKET "SIX".

FRANCE TODAY PROVED UNRELENTING IN HER DEMAND THAT THE 15-MONTH-OLD NEGOTIATIONS ON BRITISH MEMBERSHIP OF THE COMMON MARKET SHOULD BE SUSPENDED IMMEDIATELY.

AS BRITAIN'S NEGOTIATIONS, MR HEATH, MR SANDYS AND MR SOAMES, WAITED TENSELY ON THE SIDELINES, FRANCE'S FOREIGN MINISTER, M.COUVE DE MURVILLE, POURED COLD WATER ON A WEST GERMAN COMPROMISE PROPOSAL AIMED AT GETTING THE COMMON MARKET EXECUTIVE COMMISSION TO DRAW UP A PROGRESS REPORT ON THE TALKS.

HE REFUSED TO ACCEPT THE COMMISSION'S TERMS OF REFERENCE WHICH WOULD MAKE IT CLEAR THAT THE NEGOTIATIONS WITH BRITAIN WERE STILL IN BEING.

INSTEAD, THE FRENCH MINISTER PROPOSED THAT THE COMMISSION SHOULD CONSIDER THE WIDE IMPLICATIONS OF ADMITTING NEW MEMBERS AND ASSOCIATE MEMBERS TO THE COMMUNITY AND REPORT BACK TO THE SIX GOVERNMENTS.

OBSERVERS NOTED THAT THIS PROPOSAL WOULD HAVE OCCUPIED THE COMMISSION FOR SEVERAL MONTHS, WHILE THE CONFERENCE WITH BRITAIN WAS IN SUSPENSE.

THE WEST GERMAN FOREIGN MINISTER, DR.SCHROEDER, MAKES A LAST EFFORT TO SALVAGE THE TALKS WHEN HE RESUMES PRIVATE DISCUSSION WITH M.COUVE DE MURVILLE IN THE MORNING.BUT UNLESS THERE IS AN UNEXPECTED CHANGE IN THE FRENCH ATTITUDE, MOST DIPLOMATS IN BRUSSELS ARE SAID TO BE PREPARED TO CONSIDER THE NEGOTIATIONS AT AN END.

TODAY, THE "FIVE" AND THE COMMON MARKET COMMISSION WERE AGAIN RANGED SOLIDLY AGAINST FRENCH EFFORTS TO BURY TALKS WITH BRITAIN QUIETLY BY A PROCEDURAL DEVICE.THIS UNITED FRONT OF THE FIVE MADE IT SEEM UNLIKELY THAT THE COMMON MARKET COUNTRIES WOULD BE ABLE TO PRESERVE THEIR UNITY TOMORROW, IF THE FRENCH ARE DETERMINED TO LEAVE THE TALKS.