Comrade Enlai:  (A) The current situation is as follows: Japan and the right-wing faction in Nanjing are colluding to seize control of Chiang Kai-shek’s centrist camp, thereby provoking a major civil upheaval; meanwhile, the left-wing elements in Nanjing and various localities are striving for reconciliation, while the centrist camp remains wavering.  (B) Our strategy vis-à-vis Xi’an should be to support the left wing, win over the middle forces, overthrow the right wing, and transform the civil war into a war of resistance against Japan.  (C) Please consult with Zhang Xueliang and Yang Hucheng and immediately take the following steps:  (1) Seek to engage Chiang Kai-shek, Chen Cheng, and others in candid negotiations, on the basis of the following terms, with a view to establishing peace:  (i) Include several leaders of the anti-Japanese movement in the Nanjing government, purge the pro-Japanese elements, and carry out an initial reorganization.  (ii) Remove He Yingqin and others from power, halt the punitive expedition, withdraw the expeditionary forces from Shaanxi and Gansu, and recognize the anti-Japanese army in Xi’an.  (iii) Guarantee democratic rights.  (iv) Abandon the policy of exterminating the Communists and join forces with the Red Army to resist Japan.  (v) Establish cooperative relations with countries that sympathize with China’s anti-Japanese movement.  (vi) Once there is adequate assurance that the above conditions will be met, restore Chiang Kai-shek’s freedom and, under these same conditions, support the reunification of China so that it may stand united against Japan.  (2) On the basis of the foregoing terms, enter into negotiations with Yan Xishan, Song Ziwen, Yu Youren, the left wing of the Whampoa Military Academy, and the so-called “Chen faction,” among others.  (3) The proposal to transfer Chiang Kai-shek to Shanxi should be treated as worthy of consideration.  (4) Invite all those who desire peace to come to Xi’an for negotiations.  (5) Reinvite British and American advisors to Xi’an, and through their mediation secure British and American support for peace.  (6) Strengthen Xi’an’s military positions and hold them as long as possible, pending the success of political negotiations.  (7) Establish contact with Whampoa officers in Shaanxi and Gansu, such as Hu Zongnan, Fan Songfu, and Dong Zhao.  (8) You should, in your capacity as a representative of the Communist Party, openly engage Chiang, Chen, Song, Yan, Yu, and others in negotiations and mediation between the two sides, on the aforementioned terms.

Central Secretariat, 21st day