BRITISH ElfflASSY,
Copy sent to F.cT    ¦ WASHINGTON, D.C.,
in P.L. No. 970 of
Nov. 11th ana copies November 11th, I9M«
sent to Newfoundland
Pending the settlement of the terms of a
formal lease of the areas to be used as bases under the
agreement contained in the exchange of notes between
the United States Government and His ..iijesty's Government
on September 2nd, 1940, I have been authorised to inform
you that His Majesty's Government in the United Kingdom a™*
' the Commission of Government of Newfoundland confirm
that it has been agreed as follows as regards the area
to be leased in Newfoundland:
1*   The base shall comprise the area set out
in the schedule hereto,the exact boundaries of which shall
be embodied in the said lease*
2.   It is hereby agreed that the said area
shall be leased to the United States for the term of 99
years subject to the terms and conditions to be embodied
in the said lease.
3«   The United States Government is hereby
authorised to commence any works in the said area
necessary to the establishment of the said base.
k*   The Government of the United States shall
forthwith take steps to agree with the Government of
Newfoundland on a procedure to be adopted for the settle-
ment and payment by the United States Government of cla;
of owners of private property for compensation for loss
or/
FRHM:NT
The Honourable _
Colonel P. i.nox,
Secretary of the Navy,
Navy Department,
.,'ashington, D. C.
or damage which may be caused by expropriation.
Schedule,
(1) Air base and Army training ground.
Argentia peninsula and two square miles south
of Little   lacentia Harbour.
(2) Naral base site of approximately 22 acres on the
south side of 3t. John's Harbour, to include
about 1250 feet of wharfage for handling Bupply
stores and equipment.
(3) Site for Army Defensire Force of approximately
160 acres North of ^uidi Vidi Lake.
Belieye me,
Dear Mr. Secretary,
Very sincerely yours,
(SGD) 5. II. BUTLaK