Preparations for the Summit Conference 193



cooperation with West because USSR could not afford to have its princi-
ples compromised by association with exploitation of these peoples by
Western capitalism, as he chose to describe our aid program.
                                                       Zellerbach








78. Telegram From the Embassy in the Soviet Union to the
     Department of State


                                 Moscow, February 16,1960, 1 p.m.

    2147. German Amb called on me today to ask my opinion of his
analysis current situation of Berlin and German problems. He read from
written document which he is presumably submitting to his govt. Main
points follow.
    1. Khrushchev wishes to settle these problems by negotiation
rather than by ultimatum and unilateral action but is unwilling to wait
indefinitely.
    2. Khrushchev desires appointment of all-German commission to
deal with reunification problem. If such commission were appointed it
is unclear whether he would insist upon a provisional Berlin solution or
would be willing to leave matters as they are.
    3. It is unclear whether Khrushchev would accept any Berlin solu-
tion which did not provide for the end of occupation status.
    4. If Khrushchev does not get a Berlin solution or important step
toward solution German problem he will proceed with separate peace
treaty although it unclear how quickly this would be done.
    5. Ulbricht recently mentioned possibility Sov bloc concluding
peace treaty with East Germany and Western Powers concluding peace
treaty with Western Germany. It is unclear what Khrushchev position is
on this problem.
    I told Amb I agreed generally with his analysis subject to foll com-
ments. With respect to point 5 it appeared to me Khrushchev's position
was clear as Sovs had frequently mentioned this possibility which


    Source: Department of State, Central Files, 762.00/2-1660. Secret; Limit
Distribution.
Also sent to Bonn and repeated to London and Paris.