• Comrade Chen Yi: Your telegram on streamlining the army and government has given us a clear understanding of the overall situation in Central China, which is very beneficial. You have just held an enlarged meeting at the end of April, so it is not yet necessary to make hasty changes. However, there is one point I would like you to bear in mind: accompanying this extremely brutal struggle, a contraction of the base areas is bound to occur, and it may come quite soon. If this is not taken into account in advance, we will inevitably suffer heavy losses in the future. Under such circumstances, neither Central China nor North China can maintain excessively large armies; if one attempts to do so by force, it will be unsustainable. We should not forget the experience of the Central Soviet Area in the second half of 1934. Taking Central China as an example, your decision to expand the existing 80,000 regular troops and 40,000 local forces to 100,000 regular troops and 100,000 local forces—totaling 200,000, not including Party and government personnel—is far too ambitious. The areas of Southern Jiangsu, Eastern Anhui, Northern Huai River, and Central Hubei have already been reduced in size. This total figure is simply too large. Next year will undoubtedly be an exceptionally difficult year, with a degree of hardship that many people today cannot even begin to imagine. The senior leadership organs must prepare for this in advance. During the civil war, there was still the Long March as a fallback option; now, however, no such option exists. If we allow the base areas’ human and financial resources to be rapidly exhausted, leading to widespread civilian distress and military discontent, we shall face the danger of complete paralysis and defeat. At present, North China and Shandong must resolve to implement thoroughgoing streamlining of the army and government; otherwise, they will be unable to sustain themselves next year. Although the situation in Central China is somewhat different, the general direction remains the same. Please give this matter careful consideration and, by the end of this year or early next spring, draw up a comprehensive plan aimed at achieving genuine streamlining.