This cable discusses unconfirmed rumors that Egypt secretly expelled North Korean diplomats accused of selling black market goods as well as the possibility that the South Korean government might attempt to have the story published through some Middle Eastern news outlet.

Sneider reported President Park's appreciation for being informed of exchanges with Kim Il Sung. He also welcomed consistency of US position refusing direct contact with North Korea.

William Gleysteen reports on Cyrus Vance's conversation with Park Tong-jin.

The U.S. Embassy in Seoul reports that the South Korean government continues to press forward on purchasing a French nuclear reprocessing plant.

The American Ambassador to Korea voices his opinion that the U.S. can discourage the SOuth Korean nuclear program while avoiding confrontation and a "humiliating loss of face and prestige" for Park Chung Hee.