August 3, 1973

Skylab mission officials at Houston Space Center on Aug 2 order round-the-clock preparations of rescue ship that may have to be dispatched to retrieve members of 2d Skylab mission from orbiting space station after 2d set of maneuvering rockets on Apollo command module malfunction, causing leak of oxidizing fuel; Skylab program dir William C Schneider says no decision has been made to use rescue vehicle and that astronauts have been advised to proceed with their normal activities aboard space station; emphasizes that crew are in no danger 'that we are aware of right now,' and that there are still chances that they will be able to complete entire 59-day mission; engineers at Houston Space Center and at Cape Kennedy reptdly are considering plans for several possible contingencies, including: adherence to normal flight plan if studies conclusively demonstrate that rocket leaks are not suggestive of systemic failure; launching of rescue mission between Sept 5 and 15 if studies indicate that leaks could develop elsewhere in system, threatening main rocket used for re-entry; ordering astronauts to return to Apollo command module few days before rescue ship is ready; tentative plans calls for rescue craft, outfitted to carry 5 men, to rendezvous with Skylab after crippled Apollo is jettisoned, or to dock at back-up port on side of Skylab's connecting tunnel; Houston Space Center dir Christopher C Kraft instructs astronauts to proceed 'as if it were a perfectly nominal mission'; diagram of Skylab space station and attached Apollo command and rescue ship approaching docking port in side of space station's connecting tunnel

Labor Dept repts on Aug 2 that 'very substantial decrease' on price of lumber was big influence on wholesale price index for July, which declined 1.3%, or 1.4% seasonally adjusted; decline reflects supply-and-demand forces rather than freeze

US Amb to Iran R Helms, testifying on Aug 2 before Sen Watergate Com on tenure as head of CIA, contradicts testimony of White House aide H R Haldeman that he had consulted directly with Helms about possible interference into CIA activities in Mex by FBI investigations into Watergate break-in; testifies that Haldeman made only incoherent reference to problem and immediately instructed current CIA deputy dir Gen V A Walters, who was also present at June 23 '72 meeting discussed, to tell FBI to reduce investigation in Mex; says that he told Walters after meeting to ignore Haldeman's instructions and later, when he learned of channeling of Com to Re-elect the Pres funds to Watergate defendants through Mexican atty, he informed acting FBI Dir L P Gray that CIA had no connection with atty; por

IRS on Aug 2 orders more than 50% of beef wholesalers in Manhattan and Bronx to rollback prices, following recent compliance check; agency's acting dist Dir C H Brennan says that 90% of beef dealers are complying with price controls and that only 4 wholesalers have been found to be engaging in practices warranting further procedures that could lead to civil or criminal actions; cites violations; Midwest Conf of Govs makes public an appeal to Pres Nixon to end price freeze, which is in effect until Sept 12; conf chmn J J Exon says freeze has disrupted normal competitive mktg and has brought on scarcity that could lead to black mktg

Le Duc Tho, in Hanoi, Aug 1, says US has agreed to, but refused to sign, an accord with Hanoi on a 5-yr econ aid program; Paris talks on aid were recessed and US officers have said privately that US will make no pledge of aid to Hanoi until all the major provisions of the truce accord are adhered to