Should Egypt be lost, the Eastern Mediterranean would
 
be opened to Germany and Italy, the effectiveness of the sea
 
blockade would be largely nullified; Turkey's military position
 
would be fully compromised; and all hope of favorable Russian
 
action would vanish.
 
          Any anti-German offensive in the Near East would then 
 
become impossible.
 
     The spot next in importance to Egypt, in my opinion,
 
is Gibraltar, combined with West and Northwest Africa. From
 
this area an ultimate offensive through Portugal, Spain. and
 
France, with the help of populations inimical to Germany,
 
might give results equal to those which many years ago were
 
produced by Wellington. The western gate to the Mediterranean
 
would still be kept closed, provided Britain holds this region.
 
     This brief discussion naturally brings into question
 
the value to Britain of the Mediterranean relative to that of
 
Hong Kong, Singapore and India.  Were the Mediterranean lost,
 
Britain's strength in the Far East could be augmented without
 
weakening home territory.
 
     Japan probably wants the British out of Hong Kong and
 
Singapore; and wants economic control, and ultimately military
 
control, of Malaysia.
 
     It is very questionable if Japan has territorial
 
ambitions in Australia and New Zealand.
 
                              -6-