Telegram to Zhou Enlai, Bogu, Peng Dehuai, and Ren Bishi
(January 20, 1937)
Zhou, Bo, Peng, Ren:
Intelligence received from Shanghai on the 15th:
I. News from Nanjing: After Chiang Kai-shek arrived in Nanjing on December 27, he immediately stated that with the exception of the two points concerning cooperation with the Communists and alliance with the Soviet Union, the other eight demands of Zhang and Yang could be submitted to the Third Plenary Session of the Central Committee for discussion. He also said that for the time being, Wang Jingwei might serve as a transitional figure as Premier of the Executive Yuan; whether Soong Tse-ven would subsequently head the Executive Yuan would depend on how the Anglo-American faction acted. Previous reports should still be taken into consideration.
II. Late-night news from Nanjing on the 16th: He Yingqin, who had previously strongly advocated detaining Zhang Xueliang, now also suggests releasing him back to Xi’an, arguing that since Xi’an has already become red, the presence or absence of one Zhang Xueliang makes little difference.
III. Chiang Kai-shek indicated that he seeks a peaceful resolution to the Xi’an Incident without altering his anti-Communist policy. The Nanjing side claims that Yang and Zhang have softened the Northeastern and Northwestern Armies by using the threat of Red infiltration to drive a wedge between them and the Red Army.
IV. There is currently a growing momentum for Wang Jingwei to assume power in a transitional capacity.
V. Chen Cheng has already gone to Shanxi to make military preparations, ordering Hu Zongnan and Guan Linzheng’s forces to encircle Yu Xuezhong and Yang Hucheng, who are withdrawing from Suiyuan into Shaanxi. Meanwhile, the Nationalist central army is forming an arc-shaped encirclement around the Red Army units stationed in Shanxi.
VI. The two Song siblings [Song Ziwen and Song Meiling] remain in奉化.

Mao Zedong
January 20, 6:00 p.m.
[1] Refers to Song Ziwen and Song Meiling.