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The World

The State Department described as “certainly premature” news agency reports from Manila that the United States and the Philippines have reached an agreement in principle for renewal of the U.S. lease on six military bases in exchange for more than $550 million a year in aid. Department spokeswoman Phyllis Oakley said Washington “remains optimistic that we will be able to reach a mutually satisfactory agreement” but added that more negotiations are required on a number of aspects of the pact. Manila originally asked for more than $1 billion in payments.


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