Created: 12/10/1980

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Czechoslovak divisions are continuing exercises begun on Monday. Components of three of the divisions are deployedraining area someilometers south of the Polish border. Units of the two additional divisions are in snowier training area about 75 kilometers farther

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The temporary restricted areas imposed in East Germany bordering Poland lapsed yesterday evening. These areas were reportedly established for military exercises wtmmlrX'j uled forecember, but no exercisewas detected there. US Embassy personnel traveled by car from Berlin to the Polish border through the restricted area yesterday but noted nothing unusual. fjfp

Polish media yesterday continued to rebut the detailsASS dispatch alleging "counterrevolutionary activities" in Kielce, and, according to an unconfirmed French prese report, the Polish foreign ministryormal "demarche" to TASS about the dispatch.


Soviet newapapere failed to carry the TASSlthough it waa printed by the Eeat German andvax party daillee. Moscow apparently was taken aback by the awift and unprecedented Polieh rebuttal and decided that standing by the story would only blow the dispute out of proportion. The Eaat German and Czechoslovakcould be accidental or could be intended aa anreminder of Soviet concern to the Kania regime. (V

Meanwhile/ Polish radio yesterdsyase of "suspected sabotage"llesian coal mine, thereby in effect conveying the TASS article's message that there isactivity in Poland. The Polish action seems intended to minimize any frictions with the Soviets over Polish rebuttals of the TASS item by showingarsaw, while committed to factual reporting, is nottaj1ohs on the situation ln Polnnd,

Domestic Situation


Tha situation in Poland remains relatively calm, but there apparentlytrong underlying current of anxiety in the country. The mass circulation daily, Zycie Var&Mcuy, yeaterday criticized the "unchecked" proliferation of rumors and called on Poles to "not allow ourselves to get heated up unnecessarily."


The- Joint government-churchin early September soon after Kania came toon Monday and discussed "the Internal stabilisation"oimnunique of the meeting called for Poles "regardlesa of their politics" to unite to ssve theof Polsnd. Thiis the first time since the -current criele flared up in late November that the church hae spoken out^publicly in an effort to help ease the situation.

The Polish Army paper has carried two consecutivestrongly worded articles underlining the military'sern about antistatc activity and about actions thatermine the country's defensehe erticlea seem intended to reinforce pressure on Solidarity forand to raise the threat of the possible employment of military force.


farmer* pressing for government approval of their own independent trade union have scheduled aof their representatives in warsaw on sunday toon some form of protest action. farmers' spokesmen reportedly are pledging to consult with solidarity on any proponed actions.

the polish government reportedly has signed anwith university students demanding their own union/mall number of students apparently areit-in atrike begun last thursday to demand more auton-oay for poland's largest fllrr. acadeny. ttjp

lechan interviewugnacioua stance on several issues. he may alarm some moderates and provide ammunition to those interested in confrontation. walesa reportedly defended hisassociation withintellectuals, mmm

german anxiety

at the moscow summit. east german party chief honecker waa the only warsaw pact leader to argue forcefully for immediate intervention into poland|

since last friday's

meeting indicate that east germany is maintaining pressure cn the polish leadership to tighten its control. WmMmMU

the east german loader described the kania regime aa oblivioua to its mlstskee and said that nationalism and anti-sovietism were growing daily. he alao stated thatast german sentimont waa so intense in poland that all east german students had been recalled for their own safety. of.greatest concern to honecker was the polish party's alleged desire to adopt new methods of reforms similar to those in effect ln yugoslavia.

a letter reportedly read by honecker to all party functionaries two days before the summit reflected hia concern over the implications for east germany if the 'counterrevolutionary forces" in poland are not stopped.

Honecker reportedly eaid that the Poliehbe given evary aselstance to put ita houae inconcluded, "We cannot wait forever."

Economic Situation

two high-level poliah offlciale .,

week that not all of the recentlyloan to Poland^la ln hard currency, asPoliah press,

that it alao includes

short- and medium-terra credita, depoalte, and theof some Polish debt to the USSR. esjMm*that Warsaw is expected to use all of the credit by the firat quarter

Soviet Ambassador Semyenov responded on Monday to west German Foreign Miniater Genscher's reading of the EC Declaration on Poland by attacking Weat Germany's stand on TNF end denouncing "counterrevolutionary" forces acting in Poland. Semyenov'a remarks contraat sharply with the moderate line Soviet officials have been taking on Poland in conversations with other Weaternera. assise.

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