FBIS FY-89 EXCHANGE RATE DIFFICULTIES

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP91-01355R000300230005-7
• Release Decision: RIPPUB
• Original Classification: S
• Document Page Count: 3
• Document Creation Date: December 23, 2016
• Document Release Date: August 7, 2013
• Sequence Number: 5
• Publication Date: June 13, 1988
• Content Type: MEMO

.LI
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07: CIA-RDP91-01355R000300230005-7
OLLIALL
ROUTING AND RECORD SHEET RE'atz3;)
SUBJECT; loptiogio
FBIS FY-89 Exchange Rate Difficulties
FROM: R. W. Manners
Director, Foreign Broadcast
Information Service
EXTENSION
NO. ,
A.F.BISa0128_188-) ' ?sai
OAT!
l_13_June 19882ir
TO: (Officer designation, roam number, and
building)
DATE
OFFICER'S
INITIALS
COMMENTS (Number sock comment to show from whom
to whom. Draw a line across column after each comment.)
namo
KMOIARDED
L Deputy Director for
Science and Technology
Room 6E45, Headquarters
2. .
.
3.
4.
5.
6.
7.
8.
.
10.
IL
12.
13.
14,
I S .
?79 C.4 i5%
DC1.6 acomearneat pointing others ties-414434/4.154
?
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07 : CIA-RDP91-01355R000300230005-7
25X1
? . _
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07: CIA-RDP91-01355R000300230005-7
%/1..Nal %S. I
FBIS-0128-88
13 June 1988
MEMORANDUM FOR: Deputy Director for Science and Technology
FROM: R. W. Manners
Director, Foreign Broadcast Information Service
SUBJECT: FBIS F1-89 Exchange Rate Difficulties
1. In response to your request relative to our exchange rate
difficulties overseas, FBIS would submit that it cannot sustain both its
present overseas and JPRS base missions and meet its strategic goal of
achieving FCC on the Modernization initiative in FY49.
2. Specifically, the poor performance of the dollar in our Far East
and European bureaus is posing a serious threat to operational needs in
areas of priority coverage responsibilities. ,The actual increase in the
cost of doing business overseas has far outstripped even the most optimum
allowances for fiscal growth. For FBIS, this growth has averaged nine
percent annually and accommodating it within guidance will have an
undeniable impact on our consumers.
3. Past, "invisible" sources of relief in discretionary funding--
equipment recapitalization and contract translation funds in particular--
are in critical shape themselves. Internal concern over the former is
real; you personally are aware of high-level consumer concern over the
latter.
4. We now find ourselves in the position of weighing the relative
impact on key consumers of total discontinued coverage of "lower
priority" geographic areas versus limiting coverage of high priority
targets identified in Intelligence Community tasking, Directorate
strategic goals, and direct consumer contact. A few documented examples
are:
o To meet guidance, our Okinawa Bureau will be forced to reduce
its Chinese monitorial staff by one-fourth and warns it will
no longer be able to guarantee timely coverage of the FRC.
o Paring London Bureau's funding down to two-percent real
growth will eliminate the third shift, discontinuing 24-hour
coverage of Moscow.
o Austria Bureau will have to reduce its Czech coverage by
half, its Polish and Russian by one-third.
? SECRET
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07: CIA-RDP91-01355R000300230005-7
25X1
'
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07: CIA-RDP91-01355R000300230005-7
?CIL/RE I
SUBJECT: FBIS FY-89 Exchange Rate Difficulties
5. The level of funding necessary to forestall any one of the
preceding, though relatively insignificant, is the equivalent of the
combined operating budgets of both African bureaus or the translation
budget of an entire geographic division, such as the one responsible for
the USSR or Europe, Latir America and Africa. We estimate that the
total is on the order of
6. The choice we are faced with, i e. coverage cutbacks on high
priority targets or complete elimination of lower priority coverage such
as Africa, may not be ours to make any longer. The issue of inflation
abroad in general, and its effect on the FBIS mission as a service of
common concern, merits serious consideration at the upcoming ExCom
session.
Distribution:
Orig - Addressee
1 - DDSU
1 - EVFBIS Chrono
1 - RWM Corres file
1 - PO/RA
1 - FBIS Registry
DDSU/FEJS
R. W. Manners
(13 Jun 88)
2
SECRET
Declassified in Part - Sanitized Copy Approved for Release 2013/08/07: CIA-RDP91-01355R000300230005-7
25X1
25X1
25X1