For weeks, a hapless OAS committee had tried to mediate the squabble between Panama and the U.S. But both sides were adamant. Panama refused to resume diplomatic relations until the U.S. promised to renegotiate the 61-year-old canal treaty; the U.S. would not consider renegotiations until relations were restored. Then, early last week, U.S. Assistant Secretary of State
Thomas Mann and Miguel J. Moreno Jr., Panamanian ambassador to the OAS, finally agreed to accept the committee's delicately worded formula for restoring relations. Next day, however, President Johnson abruptly rejected the agreement, leaving the U.S.-Panamanian impasse exactly where it was eleven weeks ago,...
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