(AnnWhitmanfile)” . - Lae Poets ooh et he he eo py ne ad tat te Nt oe OY fe solLHGGu denies i isenhower: Papers, 1953-61 from the reluctance of many Germans, in view of what had happened to them in the last war, to risk seeing Germany remilitarized. Also, there had been a very high degree of industrial activity in recent years, and full employment in Germany. Neither employers nor employees wanted to sacrifice this prosperity by going into the military service. Secretary Anderson added that the Germans also feared inflation if their re-armament programs proceeded too rapidly. The National Security Council: a. ~ Discussed the draft statement of policy on the subject, togerher with Supplements I and II thereto, contained in NSC 5727; in the light of the views of the Joint Chiefs of Staff thereon, transmitted by the reference memoranda of December 20, 1957, and January 24, 1958. Adopted the statement of U. 8. Policy on Germany in pages 1-27 of NSC 572T, subject to the following amendments : Pages 26-27, paragraph 44: Include the bracketed paragraph 44, deleting the phrase "such as neutralization," and the footnote thereto. ce. Recommended that the President reaffirm the statements of policy set forth in Supplement I ("U. S. Policy on Berlin") and Supplement II ("U. 5. Policy Toward East Germany") to NSC 5727, and the Supplementary Statement of Policy in the special limited-distribution Annex to NSC 160/1; with the understanding that, when the NSC Planning Board subsequently reviews U. S. Policy Toward the Soviet Satellites in Eastern Europe (NSC 5608/1), it will consider, in the light of such re- view, whether to recommend any changes in Supplement II. NOTE; NSC 5727, as amended by the action in b above, subsequently approved, and the statementsof policy in Supplements I and II thereto reaffirmed, by the President; circulated as NSC 5803 for implementation by all appropriate Executive departments and agencies of the U. S. Government; and referred to _ the Operations Coordinating Board as the coordinating agency designated by the President. : Ga ao eet Re As recommended in c above, the Annex to NSC 160/1 , . ue an eee 7 TR Ty te va+ wey “eet OF ne j { eeae ute ee subsequently reaffirmed by the President; reissued as a special limited-distribution Annex to NSC 5803; and circulated for implementation by all appropriate Executive departments and egencies of the U. S. Government. it tt “4 voy ' RoR att mo fy RTT me, 40 - bs Big d yun go iC eH headed SIDER Aor cdpop Eo nw b.