WHEREAS, the Governments of the United States and of the United
Kingdom have agreed to set up a regime for the use in common of the
Islands of Canton and Enderbury In the Phoenix Group and for the em-
ployment of these islands for purposes connected with international
aviation and communication, with equal facilities for each party; and
WHEREAS, the Pan American Airways, Inc* has applied for permis-
sion to make use of a portion of Canton Island located in the Pacific
Ocean approximately in the latitude 2° 49* S,   and longitude 171° 43* W.
from Greenwich, in connection with a commercial air transport serv-
ice, and for such purpose to erect necessary structural and ground
facilities;
NOW, THEREFORE, in consideration of the foregoing, the Pan Amer-
ican Airways, Inc* (hereinafter referred to as the licensee), is
hereby granted permission by the Government of the United States to
use, in connection with its air transport service, the areas on
said Island of Canton, and adjacent waters, as shown by the map at-
tached hereto and made a part hereof, as follows:   (1)   AREA "A",
lying in the southwestern portion of the island between the lines
marked "AA" and "BB", the northerly line being 550 feet south of the
¦UU40] 1S4M/W6
G*S «» 210
Co*"**

two markers designated "P.A.A."j (2) ABU "B", located in the north-
western pert of the island, Vying between the lines marks* XX and VC
' and designated "Additional Sumrajr* eat "Projeete* Lead Airport."
A sore definite description of the aforementioned areas shall be fur-
nished upon request of the Secretary of the Interior and upon approval
the same shall become a part hereof.
In the use of nisi areas and adjscent waters the licensee may
erect and install thereon necessary structural ground eat water facil-
ities, including piers and ramps Into the lagoon.
This license is granted and Issued subject to the following terms
and conditions:
1. That the licensee and each of its officers and directors en
citizens of the United States; that not lees than throe-fourths of its
stock Is held by citizens of the United States; and that all of its pilot
flight, operatlag and ground crews operating on, over SB* in the vicinity
Of Canton Island shall bo citizens of the United States.   The licensee
agrees to submit to the Secretary of the Interior on or before June SO
Of each year an affidavit as to too citizenship of its officers, direc-
tors and holders of sot less than three-fourths of its stock, and such
evidence Of the citizenship of its pilots, flight, operating and ground
crews as may bo requested•
2. The licensee agrees to operate licensed aircraft Of American
registry 1* said sir transport service and agrees not to permit the
2
r
(M2U0) 1MM/205
800m 10/83 700
G 4S "I 2'°
(RBOIMIMT)
Code S-W*
premises to be used for any unlawful purpoeeo, nor for any purpooo Other
than tha operation of license* aircraft of teerloan regietry la
^s
UT transport service oxoept aa hereinafter proYid«4 in paragraph 9. .
*• 1i» licensee mm to permit aa sir iraaeport od^afty; eatie-
factory to the Oovorawmt of the Halted Kingdom to uea OB an equal
basis its facilities which are to be erected on the ialnnd, upon the
paysiont of a fair and reasonable aoount to the licensee breed upon
the cost of the installations end operation of such facilities? Pro-
vided, That In the event the two air transport coapanlee ere unable
to agree upon the amount of such payment or tha Oonditioaa of use,
said natters shall bo decided by autnal agreement between the Govern-
cnenta off the Unite* states and of tha United Kingdom.
4*   The licensee agrooo not to eater into any agreement or under-
standing with any person, oompaafc, corporation, oar holding coapeny
covering the use Of the arsns or its facilities on the island, except
aa hereinabove provided la paragraph 3.
5,   The use of aaid promisee shall be subject to all regulations
00 say be prescribed far the government and adraini strut ion Of the
island and adjacent Vetera*
6*   la the event that it is found to bo necessary or advisable
at say tine to require tho relocation of any of the structures or
facilities that ere erected or installed on the island under the per-
mission, herein granted, tho licensee shall, at ito own espouse relo-
cate such structures and facilities, within a reasonable tlc.e otter
notification.
800m ivj— -
C ft S IIS 210
Code S-M-0
3   * —r
ossdt?.  Sothin* U UIb Umui and m Nt onHMl fcT»uad»m>H
•eaotnod or ooneidsronyos veotia* any tin* or ftwmrt interest U
tfaft said sreas Mi fldjaoont waters 1* a*e licensee or otMr air tMil-
port eospasy seatloaed la paragraph 3 boroof# or anyone notin* im their
ft*   this license shall not be aeslgned, transferred, or succeeded to.
§•  Mo expense or liability whatsoever undar or by reuson of this
lleanaa or If reason of anything contained heroin ahall bo Incurred by
tha Oovernwmta of the United States or of the United Kingdom, and the
•aid licensee asreee to tola) and save harsdeoe the said Oovernrnente froei
any and all clelaa of any nature or kind thet may arise fro» anything
connected with or growing out of this license not attributable to any
act of the officer* or agents of the respective fJSvernnentS*
10.  Tho 11cess* loaned by tho Oovoranont of tns United ststeo to
tbo licensee, dated Haroh 31, 1938, Is hereby revoked.
IK WBBRESST, X fcavo »Ot wy hand and affixed tho official
seal of tha Department of the Interior SB behalf of tho United States
of America: this day of , 195
UaiTKD STATES Of AVKRXCA
Saeretary of tha Interior,
The Ban fiaerloon Airways, Sao., tho licensee sontloned is tho fore-
»ing llcenae, hereby accepts tho said license subject to tho tens and