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The World - News from Feb. 4, 1988

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Portugal agreed to open talks with the United States on increased compensation for the use of Lajes Air Base in the Azores without immediately calling for a formal review of the bilateral base accord. The decision, announced in Lisbon by Defense Minister Eurico de Melo after talks with visiting Defense Secretary Frank C. Carlucci, is seen as a gesture of patience by Prime Minister Anibal Cavaco Silva at the outset of what his aides expect will be a long series of talks on faltering U.S. aid levels. According to the 1983 base agreement, Portugal has the right to demand a review any time beginning today. Carlucci was ambassador to Lisbon from 1975 to 1978.

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