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Executed in December 1983 in recognition of Saudi Arabia's pledge of $5 million toward the construction of the Quadrangle, that agreement called for the establishment of a Center for Islamic Arts and Culture, the naming of the eastern portion of the Quadrangle as the Asian and African Gallery, and the acknowledgement of Saudi Arabia's gift both in a permanent plaque in the International Center and in all its publications. As these provisions essentially violated the Institution's normal procedures for ensuring donor recognition as well as the Congressional understanding of the nomenclature and purposes of the Quadrangle, the Secretary made repeated efforts in the fall and winter of 1984-1985 to reach an understanding with the Ambassador fro Saudi Arabia on new terms which would be acceptable to both the Smithsonian and the Embassy.

As the Regents will recall from their meetings in January and May, 1985, communications between the Institution and the Embassy remained sparse and of little effect throughout the late winter and spring of 1985. In his letter of April 2, 1985, the Secretary sent draft language of a substitute agreement to the Saudi Ambassador. While no formal reply was received, the Embassy requested its counsel, Mr. Fred Dutton, to continue discussions with the Smithsonian. Over the course of the late spring Under Secretary Hughes met with Mr. Dutton and since the Secretary has been in touch with him directly.

Developments in September and October 1985 are best described by reference to the communications and a newspaper article. By letter on September 9, 1985, Mr. Dutton sought clarification of the Institution's position and indicated that the Embassy was still willing to