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UNCLAS SECTION 01 OF 12 TOKYO 002144 
 
SIPDIS 
 
DEPT FOR E, P, EB, EAP/J, EAP/P, EAP/PD, PA; 
WHITE HOUSE/NSC/NEC; JUSTICE FOR STU CHEMTOB IN ANTI-TRUST DIVISION; 
TREASURY/OASIA/IMI/JAPAN; DEPT PASS USTR/PUBLIC AFFAIRS OFFICE; 
SECDEF FOR JCS-J-5/JAPAN, 
DASD/ISA/EAPR/JAPAN; DEPT PASS ELECTRONICALLY TO USDA 
FAS/ITP FOR SCHROETER; PACOM HONOLULU FOR PUBLIC DIPLOMACY ADVISOR; 
CINCPAC FLT/PA/ COMNAVFORJAPAN/PA. 
 
E.O. 12958: N/A 
TAGS: OIIP KMDR KPAO PGOV PINR ECON ELAB JA
 
SUBJECT:  DAILY SUMMARY OF JAPANESE PRESS 08/05/08 
 
INDEX: 
 
(1) Poll on new Fukuda cabinet, political parties (Asahi) 
 
(2) Poll on new Fukuda cabinet, political parties (Nikkei) 
 
(3) Poll on new Fukuda cabinet, political parties (Tokyo Shimbun) 
 
(4) Ambassador Schieffer justifies A-bombings to high school 
students (Nishi Nippon Shimbun) 
 
(5) Schieffer's A-bombing remark angers Nagasaki (Nishi Nippon 
Shimbun) 
 
(6) Shuffled Fukuda Cabinet gets under way (Nikkei) 
 
(7) METI Minister Nikai aims for international conference in Japan 
this year to deal with soaring oil prices (Nikkei) 
 
(8) Agriculture Minister Ota stresses need to set rules on rice 
stocks but sees no need to speed up EPA negotiations (Nikkei) 
 
(9) Shuffled Fukuda Cabinet gets under way: Bureaucrats in 
Kasumigaseki feel relieved and pin hopes that fiscal reconstruction 
will make headway, criticism of bureaucrats toning down, but social 
security expenses may expand (Nikkei) 
 
(10) TOP HEADLINES 
 
(11) EDITORIALS 
 
(12) Prime Minister's schedule, August 4 (Nikkei) 
 
(13) Political Cartoons 
 
ARTICLES: 
 
(1) Poll on new Fukuda cabinet, political parties 
 
ASAHI (Page 2) (Full) 
August 3, 2008 
 
Questions & Answers 
(Figures shown in percentage, rounded off. Figures in parentheses 
denote the results of the last survey conducted July 12-13 unless 
otherwise specified.) 
 
Q: Do you support the Fukuda cabinet? 
 
Yes 24 (24) 
No 55 (58) 
 
Q: Which political party do you support now? 
 
Liberal Democratic Party (LDP) 23 (26) 
Democratic Party of Japan (DPJ or Minshuto) 22 (24) 
New Komeito (NK) 4 (2) 
Japanese Communist Party (JCP) 3 (2) 
Social Democratic Party (SDP or Shaminto) 1 (1) 
People's New Party (PNP or Kokumin Shinto) 0 (0) 
New Party Nippon (NPN or Shinto Nippon) 0 (0) 
Other political parties 1 (0) 
 
TOKYO 00002144  002 OF 012 
 
 
None 35 (40) 
No answer (N/A) + don't know (D/K) 11 (5) 
 
Q: Prime Minister Fukuda shuffled his cabinet on Aug. 1. Did your 
impression of Prime Minister Fukuda improve or worsen with this 
cabinet shuffle, or does it remain unchanged? 
 
Improved 9 
Worsened 9 
Unchanged 74 
 
Q: Do you think Prime Minister Fukuda displayed leadership in the 
shuffle of his cabinet this time? 
 
Yes 15 
No 66 
 
Q: Prime Minister Fukuda vowed upon the shuffle of his cabinet to 
carry out reforms for the people. Do you expect the new Fukuda 
cabinet to push ahead with reforms as Prime Minister Fukuda 
pledged? 
 
Yes 47 
No 44 
 
Q: On the sidelines of shuffling his cabinet, Prime Minister Fukuda, 
who is president of his ruling Liberal Democratic Party, appointed a 
new lineup of LDP executives. In this LDP shuffle, Mr. Taro Aso 
became LDP secretary general. Do you appreciate his appointment to 
the post of LDP secretary general? 
 
Yes 51 
No 29 
 
Q: Do you think the House of Representatives should be dissolved as 
early as possible for a general election? (Figures in parentheses 
denote the results of a survey taken June 14-15.) 
 
Yes 45 (41) 
No 42 (45) 
 
Q: If you were to vote now in a general election for the House of 
Representatives, which political party would you like to vote for in 
your proportional representation bloc? (Figures in parentheses 
denote the results of a survey taken June 14-15.) 
 
LDP 25 (23) 
DPJ 32 (36) 
NK 4 (4) 
JCP 3 (3) 
SDP 1 (2) 
PNP 0 (0) 
NPN 0 (0) 
Other political parties 1 (2) 
N/A+D/K 34 (30) 
 
Polling methodology: The survey was conducted from the evening of 
Aug. 1 through the evening of Aug. 2 over the telephone on a 
computer-aided random digit dialing (RDD) basis. Respondents were 
chosen from among the nation's voting population on a three-stage 
random-sampling basis. Valid answers were obtained from 1,002 
persons (58 PERCENT ). 
 
TOKYO 00002144  003 OF 012 
 
 
 
(2) Poll on new Fukuda cabinet, political parties 
 
NIKKEI (Page 2) (Full) 
August 4, 2008 
 
Questions & Answers 
(Figures shown in percentage. Parentheses denote findings from the 
last survey conducted in late June.) 
 
Q: Do you support the new Fukuda cabinet? 
 
Yes 38 (26) 
No 49 (63) 
Can't say (C/S) + don't know (D/K) 13 (11) 
 
Q: Which political party do you support or like now? 
 
Liberal Democratic Party (LDP) 37 (36) 
Democratic Party of Japan (DPJ or Minshuto) 33 (35) 
New Komeito (NK) 4 (4) 
Japanese Communist Party (JCP) 4 (3) 
Social Democratic Party (SDP or Shaminto) 2 (1) 
People's New Party (PNP or Kokumin Shinto) 0 (0) 
New Party Nippon (NPN or Shinto Nippon) 0 (0) 
Other political parties 1 (1) 
None 15 (15) 
C/S+D/K 5 (5) 
 
(Note) The total percentage does not become 100 PERCENT  in some 
cases due to rounding 
 
Polling methodology: The survey was taken by Nikkei Research Inc. 
over the telephone on a random digit dialing (RDD) basis. For the 
survey, samples were chosen from among men and women aged 20 and 
over across the nation. A total of 1,402 households with one or more 
eligible voters were sampled, and answers were obtained from 856 
persons (61.1 PERCENT ). 
 
(3) Poll on new Fukuda cabinet, political parties 
 
TOKYO SHIMBUN (Page 3) (Full) 
August 3, 2008 
 
Questions & Answers 
(Figures shown in percentage. Parentheses denote the results of the 
last survey conducted July 11-12.) 
 
Q: Prime Minister Yasuo Fukuda shuffled his cabinet. Do you support 
the new Fukuda cabinet? 
 
Yes 31.5 (26.8) 
No 48.1 (53.5) 
Don't know (D/K) + no answer (N/A) 20.4 (19.7) 
 
 
Q: (Only for those who answered "yes" to the previous question) 
What's the primary reason for your approval of the Fukuda cabinet? 
Pick only one from among those listed below. 
 
The prime minister is trustworthy 19.5 (16.6) 
Because it's a coalition cabinet of the Liberal Democratic Party and 
 
TOKYO 00002144  004 OF 012 
 
 
New Komeito 7.3 (7.2) 
The prime minister has leadership ability 1.2 (4.0) 
Something can be expected of its economic policies 5.4 (2.2) 
Something can be expected of its foreign policies 2.6 (5.9) 
Something can be expected of its political reforms 7.2 (3.0) 
Something can be expected of its tax reforms 2.9 (0.6) 
Something can be expected of its administrative reforms 5.0 (3.7) 
There's no other appropriate person (for prime minister) 45.7 
(53.9) 
Other answers (O/A) 1.8 (1.7) 
D/K+N/A 1.4 (1.2) 
 
Q: (Only for those who answered "no" to the first question) What's 
the primary reason for your disapproval of the Fukuda cabinet? Pick 
only one from among those listed below. 
 
The prime minister is untrustworthy 6.6 (8.1) 
Because it's a coalition cabinet of the Liberal Democratic Party and 
the New Komeito 7.7 (4.9) 
The prime minister lacks leadership ability 22.1 (27.3) 
Nothing can be expected of its economic policies 32.6 (29.3) 
Nothing can be expected of its foreign policies 2.8 (5.3) 
Nothing can be expected of its political reforms 8.7 (7.4) 
Nothing can be expected of its tax reforms 7.9 (4.6) 
Nothing can be expected of its administrative reforms 6.3 (5.2) 
Don't like the prime minister's personal character 2.3 (5.3) 
O/A 1.5 (1.6) 
D/K+N/A 1.5 (1.0) 
 
Q: What's your impression of the new Fukuda cabinet's lineup? Pick 
only one. 
 
Faction-free, fresh 3.7 
Reform-oriented 7.7 
Dignified, stable 10.0 
None the better for the change 37.9 
Faction-bound with no image of reform 17.8 
Quite disappointing 12.2 
O/A 0.9 
D/K+N/A 9.8 
 
Q: What do you think the new Fukuda cabinet should pursue first? 
Pick only one. 
 
Social security, including pension issues 28.6 
Economic measures, job security 29.0 
Social divide 11.5 
Tax system 6.7 
Education 4.0 
Diplomacy, national security 3.0 
Politics and money 7.4 
Constitutional revision 0.9 
Administrative, fiscal reforms 5.4 
O/A 0.9 
D/K+N/A 2.6 
 
Q: The Maritime Self-Defense Force has been tasked with refueling 
activities in the Indian Ocean under a newly enacted law for special 
measures against terrorism. This law is set to expire in January 
next year. Do you support extending the MSDF's refueling mission 
there by revising the law? 
 
 
TOKYO 00002144  005 OF 012 
 
 
Yes 34.0 
No 52.4 
D/K+N/A 13.6 
 
Q: The House of Representatives' current term is up until September 
next year. When would you like the next election to take place for 
the House of Representatives? 
 
Within this year 37.6 (33.7) 
During the first half of next year 20.0 (19.1) 
Upon the current term's expiry in September next year 35.7 (37.9) 
D/K+N/A 6.7 (9.3) 
 
Q: Would you like the present LDP-led coalition government to 
continue, or would you otherwise like it to be replaced with a 
DPJ-led coalition government? 
 
LDP-led coalition government 34.8 (31.2) 
DPJ-led coalition government 48.2 (45.3) 
D/K+N/A 17.0 (23.5) 
 
Q: Which political party do you support? 
 
Liberal Democratic Party (LDP) 28.7 (28.6) 
Democratic Party of Japan (DPJ or Minshuto) 30.2 (28.6) 
New Komeito (NK) 3.4 (3.1) 
Japanese Communist Party (JCP) 2.9 (3.8) 
Social Democratic Party (SDP or Shaminto) 1.1 (0.9) 
People's New Party (PNP or Kokumin Shinto) 0.5 (0.8) 
New Party Nippon (NPN or Shinto Nippon) 0.7 (---) 
Other political parties, groups --- (---) 
None 31.2 (33.0) 
D/K+N/A 1.3 (1.2) 
 
Polling methodology: The survey was conducted across the nation from 
the evening of Aug. 1 through Aug. 2 by Kyodo News Service on a 
computer-aided random digit dialing (RDD) basis. Among randomly 
generated telephone numbers, those actually for household use with 
one or more eligible voters totaled 1,450. Answers were obtained 
from 1,025 persons. 
 
(4) Ambassador Schieffer justifies A-bombings to high school 
students 
 
NISHI-NIPPON SHIMBUN (Page 13) (Full) 
Eve., August 1, 2008 
 
U.S. Ambassador to Japan Schieffer was invited today as a special 
guest speaker for high school students attending the 5th seminar of 
the Japan Future Leaders School (JFLS) -a private institute headed 
by Nippon Keidanren (Japan Business Federation) Chairman Fujio 
Mitarai-in the city of Munakata, Fukuoka Prefecture. In the seminar, 
Schieffer spoke on the topic of "when I was a high school student." 
In a question-and-answer session, there were questions from high 
school students wondering whether it was necessary to drop atomic 
bombs (on Hiroshima and Nagasaki). Ambassador Schieffer answered 
that the atomic bombings were "intended to minimize the number of 
war victims." With this, Schieffer justified the atomic bombings of 
Hiroshima and Nagasaki. 
 
The seminar was attended by 160 JFLS trainees and about 300 students 
from Munakata High School and Tokai University Daigo Senior High 
 
TOKYO 00002144  006 OF 012 
 
 
School in the city of Munakata and also from Tomeikan High School in 
Saga Prefecture. At the beginning of his speech, Schieffer 
encouraged the attending students to "work for peace, justice, and 
other universal values for humanity as leaders in the future." 
 
After the seminar, there was a question-and-answer session, during 
which two high school students asked questions. One of the two 
students asked, "Do you think it was right to drop the atomic 
bombs?" The other asked, "Do you not think it was unnecessary to 
drop an atomic bomb on Nagasaki?" Ambassador Schieffer answered, 
"While I won't go so far as to say that I agree (with the atomic 
bombings), I can understand them." He explained that Japan would not 
surrender and the United States therefore dropped the atomic bombs 
so that many more lives would not be lost. 
 
(5) Schieffer's A-bombing remark angers Nagasaki 
 
NISHI-NIPPON SHIMBUN (Page 32) (Full) 
August 2, 2008 
 
"The United States dropped atomic bombs to prevent many more lives 
from being lost." This remark from U.S. Ambassador to Japan 
Schieffer yesterday angered or disappointed atomic bomb survivors 
and high school students in the atomic-bombed city of Nagasaki. They 
wonder why such remarks are still being made that condone and 
justify the dropping of atomic bombs on Japan. "We will have to let 
the world know about the fearfulness and inhumanity of nuclear 
weapons," one person said. 
 
"The August 9 tragedy must not be repeated. His remark shocked 
atom-bomb survivors. Such a remark is unforgivable, all the more 
because he is in a position to represent the United States." The 
voice of Hirotami Yamada, 77, who lost five members of his family in 
the atomic bombing and is a member of the Nagasaki Atomic Bomb 
Survivors Council, was filled with anger. Yamada indicated that he 
would send a letter of protest to the ambassador. 
 
"That (atomic bombs) ended the war." This remark came last summer 
from then Defense Minister Fumio Kyuma. He was later driven to 
resign as defense minister. However, high-ranking U.S. government 
officials have made remarks that condone or justify the atomic 
bombings. 
 
"Soon after the war, the horrible scenes at the atomic-bombed areas 
were reported in the United States, and the government was 
criticized," said Hideo Tsuchiyama, 83, former president of Nagasaki 
University. Tsuchiya added, "Such (arguments defending the atomic 
bombings) were created to control such criticism." According to 
Tsuchiya, however, this is well known to the general public because 
it has been taught at schools for years. "To overcome such 
arguments," he said, "we must continue to pass on the facts about 
the atomic bombings." 
 
Anmi Naruse, 17, a second-year student at Nagasaki Nishi High 
School, will visit Switzerland in the middle of this month to 
deliver signatures to United Nations European headquarters as one of 
the "High School Peace Ambassadors" to appeal on eliminating nuclear 
weapons. She said: "When I think of my grandmother who is a victim 
of the atomic bombing, I think he was thoughtless in what he said. 
He has a different idea, and it can't be helped. We young people 
will have to talk and understand." 
 
 
TOKYO 00002144  007 OF 012 
 
 
(6) Shuffled Fukuda Cabinet gets under way 
 
NIKKEI (Page 3) (Full) 
August 3, 2008 
 
State Minister for Economic and Fiscal Policy Yosano to deal with 
spending cuts in flexible manner; Fiscal disbursements is an option; 
Policy consideration to be given to people's lives 
 
With the formal launching of the reshuffled Fukuda cabinet on August 
2, newly appointed cabinet ministers have gone into action to 
dissolve instability in people's lives, a policy worked out by Prime 
Minister Yasuo Fukuda. State Minister for Economic and Fiscal Policy 
Kaoru Yosano in an interview with the Nikkei and other dailies 
played up his determination to tackle high prices in the wake of the 
steep rise in crude oil prices. Other ministers also told a news 
conference their policy of implementing the policy management. 
Economy, Trade and Industry Minister Toshihiro Nikai and Agriculture 
Minister Seiichi Ota, for instance, referred during a press briefing 
after the first cabinet meeting to measures to deal with the steep 
rise in crude oil prices and the need to take a second look at the 
rice reserve system. 
 
State Minister for Economic and Fiscal Policy Yosano 
 
-- You pointed out during a press conference on August 1 that there 
is the possibility of the economy having entered a recessionary 
phase late last year. 
 
"The U.S. economy has begun to lose steam, affecting the Chinese and 
Southeast Asian economies. Japan's exports have also dropped. Japan 
has, however, already disposed of surplus production capacity, debts 
and employment. I, therefore, believe the Japanese economy will 
start on a recovery track, if the other economies head for an 
upturn. The speculative rise in crude oil prices has affected the 
global economy. However, the global economy will calm down sooner or 
later. I do not see the Japanese economy pessimistically or 
masochistically." 
 
-- The challenge is how to tackle soaring prices. 
 
"International factors are contributing to the soaring prices. It is 
difficult to manage the economy in such a situation. We should 
recognize that change has occurred to the global price system. The 
point is how quickly and skillfully the Japanese economy as a whole 
can cope with the move. The rise in the prices of daily necessities 
is dealing a blow to people's lives. The government should have deep 
interest in the situation and do whatever it can do. I would like to 
discuss this issue with the Ministry of Economy, Trade and Industry 
(METI) and the Ministry of Agriculture, Forestry and Fisheries 
(MAFF)." 
 
-- If the recovery of the economy delays, a fiscal reconstruction 
scenario would be upset. Do you have any plan to revise the spending 
cut program? 
 
"I think it is all right to keep the present spending cut policy 
intact. However, it does not mean that the government will not spend 
money on areas that have an affect on the future of the people. The 
LDP's stance is that it will give full consideration to budgets that 
affect the future of the people. If we aim exclusively at spending 
cuts, the economy would fall into diminishing equilibrium. Matters 
 
TOKYO 00002144  008 OF 012 
 
 
that affect the future of the Japanese economy require policy 
consideration." 
 
-- Will the Council on Economic and Fiscal Policy (CEFP) discuss 
reform of the tax code? 
 
"The proper form of the CEFP is to discuss matters in response to 
the prime minister's inquiries. The panel should discuss matters, if 
the prime minister says that it is necessary to discuss such. 
However, the government has the Tax Research Commission. What the 
CEFP should consider is the sustainability of social security and 
public finances. We must have it consider the macro-economic 
framework." 
 
-- What monetary policy do you expect from the Bank of Japan (BOJ)? 
 
"The BOJ's independence is guaranteed by law. The BOJ should 
independently decide on its money policy. However, it is legal for 
the government to state its view. It may state its view when 
necessary. However, the right way the central bank should be is to 
independently make decisions." 
 
(7) METI Minister Nikai aims for international conference in Japan 
this year to deal with soaring oil prices 
 
NIKKEI (Page 3) (Full) 
August 3, 2008 
 
In a press conference after a cabinet meeting yesterday, Minister of 
Economy, Trade and Industry Toshihiro Nikai said he would like to 
hold an international conference in which oil producing and 
consuming countries would discuss measures to deal with skyrocketing 
oil prices. Nikai now judges that deeper cooperation between both 
sides is imperative; for instance, oil producers should increase 
output, while consumers should step up monitoring the flow of 
speculative funds into the oil futures market. He hopes to bring 
about such a conference by the end of this year. 
 
Ministers from oil producing and consuming countries met in Jiddah, 
Saudi Arabia, in June, in which Saudi Arabia announced plans to 
increase production and improve productivity. Coordination is now 
underway for a follow-up meeting to be held in Britain this fall. 
 
In addition to this meeting, Nikai has proposed an international 
conference. Behind this proposal, observers see his desire to 
demonstrate at home and abroad Japan's leadership in forming an 
international cooperative mechanism to cope with soaring oil prices, 
at a time when oil is now more than 120 dollars a barrel. 
 
Nikai stated: 
 
"We are planning to hold a dialogue of oil producing and consuming 
countries in Japan next year, but when considering the current steep 
rise in oil prices and growing public concern, we find that regular 
meetings alone will not be enough to cope with the situation. Moving 
the plan forward, Japan should send personnel overseas or should 
invite persons concerned to Japan." 
 
Focusing on the fact that the sharp rise in oil prices has 
undermined the Japanese economy, Nikai emphasized: "It will be 
necessary to resolutely work out policy measures if necessary in the 
future. We must take steps, while keeping in mind reserve funds in 
 
TOKYO 00002144  009 OF 012 
 
 
the budget for this fiscal year and a supplementary budget." He 
indicated that the propriety of compiling an extra budget to fund 
economic stimulus measures should be discussed in the cabinet. 
 
On the collapsed trade talks of the World Trade Organization (WTO), 
Nikai indicated his strong resolve to do his best resume 
negotiations, saying: "Japan, as a trading country, must not slacken 
its efforts." 
 
(8) Agriculture Minister Ota stresses need to set rules on rice 
stocks but sees no need to speed up EPA negotiations 
 
NIKKEI (Page 3) (Full) 
August 3, 2008 
 
Agriculture, Forestry and Fisheries Minister Seiichi Ota revealed 
plans to review the government's rice stockpile system, saying: "We 
must set rules on stocks." Given the surplus in the rice inventory, 
the government purchased more rice to be stored for emergency last 
fall as part of price-maintenance efforts. Ota said: "The government 
suddenly decided to purchase rice last year, but such a case could 
also occur in the future. It is necessary to prepare a proper 
mechanism so that we will not take stopgap measures." 
 
Regarding ongoing negotiations to conclude economic partnership 
agreements (EPA) with Australia and other countries, Ota said: "We 
don't need to take the view that since the new round of trade talks 
of the World Trade Organization (WTO) ended (in failure), we must 
obtain quick results in EPA negotiations." On EPA talks with the 
U.S. and Europe, which have yet to start, Ota commented: "I think 
these are still matters for the future." 
 
In reference to the planned review of regional offices of the 
central government, a point at issue in decentralization reform, Ota 
commented: "The work being carried out by agricultural offices are 
all what the central government should be doing, so the number of 
offices to be disbanded will not increase." But he stressed the need 
to review all the roles played by the central government and decide 
which ones have less priority. 
 
(9) Shuffled Fukuda Cabinet gets under way: Bureaucrats in 
Kasumigaseki feel relieved and pin hopes that fiscal reconstruction 
will make headway, criticism of bureaucrats toning down, but social 
security expenses may expand 
 
NIKKEI (Page 3) (Full) 
August 5, 2008 
 
Bureaucrats of central government agencies in Kasumigaseki 
(government office district) are welcoming the shuffled Fukuda 
cabinet, which was formally inaugurated on August 2, with one 
noting, "The line-up of the new cabinet includes many veteran 
lawmakers. We can expect stable management of the administration." 
Since persons who attach importance to fiscal discipline have been 
appointed as key economic ministers, as can be seen in the 
appointments of Bunmei Ibuki as finance minister and Kaoru Yosano as 
state minister for economic and fiscal policy, the finance ministry 
hopes that fiscal reconstruction will move ahead. Bureaucrats are 
feeling relieved because State Minister for Administrative Reform 
Yoshimi Watanabe, who has fiercely criticized bureaucrats in 
reforming the public servant system, has been replaced. 
 
 
TOKYO 00002144  010 OF 012 
 
 
Many finance ministry officials see the appointment of Ibuki, who is 
a former finance ministry official and has served as senior member 
of the LDP's Tax System Research Commission, a boost in keeping the 
spending cut policy firm, as one senior official put it. 
 
The Prime Minister touts the new cabinet as one that will bring 
peace of mind to the people. As such, many in the Ministry of 
Health, Labor and Welfare (MHLW) take it that the shuffling of the 
cabinet that way is a good opportunity for the government to veer 
toward increased social welfare spending, which has long been 
constrained. MHLW Minister Yoichi Masuzoe, who is serving in the 
post for the second term, said, "Our efforts to constrain social 
security spending have reached the limit with the growth in that 
area constrained by 220 billion yen." His stance is close to that of 
welfare and labor bureaucrats. 
 
The Ministry of Land, Infrastructure and Transport (MLIT) has a 
mountain of challenges to tackle, including reform of the use of 
special-purpose road construction revenues. MLIT bureaucrats welcome 
the appointment of former LDP Policy Research Council chairman 
Sadakazu Taniguchi as their chief, with one saying: "He is a heavy 
weight. There is no need to worry about his Diet replies." Since 
Tanigaki previously served in the post of finance minister, some are 
concerned that cuts in public works may be pushed forward at the 
initiative of the finance ministry. Though one senior official said, 
"He is not the type of person who is inclined to do things just to 
play to the gallery," if Tanigaki fails to display leadership, 
reform of the highway budget would not go far enough. 
 
There is concern also that if cabinet ministers excessively focus on 
election campaign measures, bureaucrats would recover from their 
setback. 
 
(10) TOP HEADLINES 
 
Asahi & Tokyo Shimbun: 
Ex-PCI head, others arrested over ODA bribes in Vietnam 
 
Mainichi: 
Local security authorities had terrorism info before pre-Olympic 
attack in China 
 
Yomiuri: 
Tension heightening in western China four days before Olympics; Two 
Uygur men arrested 
 
Nikkei: 
Orix, Credit Saison in merger talks to become nonbank giant with 
11.5 trillion yen in assets 
 
Sankei: 
Japanese authorities to demand arrest warrants against Americans for 
protest activities against Japanese whaling vessels 
 
Akahata: 
World Conference for Prohibition of Atom and Hydrogen Bombs starts 
in Hiroshima 
 
(11) EDITORIALS 
 
Asahi: 
(1) ODA bribes: Expel corrupt companies from ODA projects 
 
TOKYO 00002144  011 OF 012 
 
 
(2) Sasebo sub leak: Foreign Ministry overly insensitive 
 
Mainichi: 
(1) Use PCI case as occasion to eradicate bribery overseas 
(2) Impermissible concealment of info on U.S. Navy sub leaking 
radiation 
 
 
Yomiuri: 
(1) ODA bribes: Warning against business practices causing 
wrongdoings 
(2) Mourning Solzhenitsyn, author of The Gulag Archipelago 
 
Nikkei: 
(1) Pork-barrel economic stimulus measures meaningless 
(2) We should reconsider the days in which Solzhenitsyn lived in 
Russia 
 
Sankei: 
(1) Government should use rise in public support as leverage to 
implement policies 
(2) Make utmost efforts to erase public uneasiness about social 
security 
 
Tokyo Shimbun: 
(1) Root out corruption in ODA projects 
(2) Foreign Ministry's response to sub radiation leak problematic 
 
Akahata: 
(1) Review law to prevent stateless children 
 
(12) Prime Minister's schedule, August 4 
 
NIHON KEIZAI (Page 2)  (Full) 
August 5, 2008 
 
10:11 
Met with State Minister for Economic and Fiscal Policy Yosano at the 
Kantei, joined by Cabinet Counsellor Fujioka. 
 
11:28 
Met with Chairman Seike of the Study Group on Employment of Public 
Servant of Advanced Age of the National Personnel Agency and 
Employee Welfare Bureau Director General Kawamura. Deputy Chief 
Cabinet Secretary Futahashi was present. Then met with former 
Secretary General Nakagawa. 
 
13:01 
Met with Chief Cabinet Secretary Machimura. 
 
13:37 
Arrived at the official residence. 
 
14:13 
Attended a farewell ceremony for former Environment Agency Director 
General Kajiki at Toranomon Pastoral Hotel. 
 
14:22 
Arrived at the official residence. 
 
15:22 
Met with Isao Hokugo, chairman of the Japan Council of Sports for 
 
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the Disabled, Chairman Kosuke Ito of the Diet Members Caucus 
Promoting the Paralympics. Then attended the send-off party for the 
Japanese team to the Beijing Paralympics. 
 
16:57 
Met with Chief Justice of the Supreme Court Shimada. 
 
17:05 
Met with Futahashi, followed by Vice Health, Labor and Welfare 
Minister Erikawa and Health Service Bureau Director General Ueda. 
 
18:36 
Arrived at the official residence. 
 
SCHIEFFER