for merely providing the various sites.  The West Germans, for
example, have encountered a number of snags with their Beja base and
in 1968 a newspaper lamented that there seemed to be no end to the
financial needs of the Portuguese,  "Money is the only thing they
are after, more and more money..." But although this complaint
might well be echoed by the other NATO partners, such is the
strategic importance attached to the bases that it seems no price
is too high - a fact of v/hich the Portuguese Government is well
aware and exploits to the full.- witness the 19&2 treaty negotiations with the United States.
In 1962, at a time when American-Portuguese relations were rather
cool, the Azores treaty came up for extension. The West German
Press Agency (DPA), (March 21, 1962) reported that:  "apart from
financial support, the US had also offered some warships, as well
as other war material, which Portugal badly needs for her defence
in the overseas territories, and all this in exchange for further
use of the Azores base."  Another paper reported that Portugal had
demanded #80 million a year.  During this period of negotiations
the American policy towards Portugal changed completely. An important credit of approxinately #50 million was supplied by the
American Export-Import Bank.  A treaty concerning the building of
one warship, 50% of which would be paid for by the United States,
v/as extended to include three ships (i.e. an overall gift of #15
million for the armament of Portugal). It was announced in January,
1963 that the United States would supply 30 T-37C fighter planes
and this v/as followed in May by the!delivery of a load of aircraft
engines for the Portuguese airforce. On January 4-, 1963 an agreement
on the temporary extension of the Azores treaty was reached - but
with the crucial stipulation that the Portuguese could deny the
Americans the right to use the base at six months notice.
In this way the American administration has been kept under constant
pressure by Portugal.  American assistance to Portugal was later
increased again, this time under the name 'military base rights,
although a special committee considered this assistance in exchange
for the base excessive and stated that Portugal had already been more
than compensated in other ways.  At the present time negotiations
are again being conducted regarding the Azores Treaty. Portugal
is said to have demanded #200 million worth of arms to be supplied
in 5 years - it remains to be seen what she will get.
It is difficult to assess the value of direct military assistance
given to Portugal - apart from the generalisation that it runs in
millions of dollars per year . The two major donors are West
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