ANNEX 2
                               to
                          US - ABC-4/5
                                
                        January 5, 1942.
                                
           HI fiHER DIRECTION OF WAR IN THE ABDA AREA
 
1.    On all important military matters, not within the jurisdiction of the Supreme Commander of
the ABDA Area, the United States Chiefs of Staff and the representatives in Washington of the
British Chiefs of Staff will constitute the agency for developing and submitting recommendations
for decision by the President of the United States and by the British Prime Minister and Minister
of Defence, on behalf of ABDA Governments. Among the chief matters on which decisions will
be required are:
 
                  a.        The provision of reinforcements.
                  
                  b.        A major change in policy.
                 
                  c.        Departure from the Supreme Commander's directire.
          
2.      This  agency will function as follows'
 
                    a.    Any proposal coming either from the Supreme Commander or from
any of the ABDA Governments will be transmitted to the Chiefs of Staff Committee both in
Washington and in London.
 
                   b.   The Chiefs of Staff Committee in London having consulted the Dutch Staff, will
immediately telegraph to their representatives in Washington to say whether or not they will be
telegraphing any opinions.
 
                    c.    On receipt of these opinions, the United States Chiefs of Staff and the
representatives in Washington of the British Chiefs of Staff will develop and submit their
recommendations to the President, and by telegraph to the Prime Minister and Minister Of
Defence. The Prime Minister will then inform the President whether he is in agreement with these
recommendations .
 
         3.    Since London has the machinery for consulting the Dominion Governments, and since
the Dutch Government is in London, the British Government will be responsible for obtaining
their views and agreement to every stage, and forincluding these in the final telegram to
Washington.
 
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