P203 CEEFAX 203 Mon 13 Oct 21:17/19 1/3 ] The US Secretary of State has said it is wrong to see the lack of agreement at the Reykjavik summit as a failure. Mr George Shultz told America'u NATO allies in Brussels that progress was made and it would have been a failure not to have held the talks at all. Mr Shultz said Mr Reagan had to refuse to compromise the security of the US and its allies and could not abandon "Star Wars", as the Soviet side wanted. The Soviet news agency TASS has said the chance of a breakthrough was missed because of the "imperial ambitions of US ruling circles". MoreP203 CEEFAX 203 Mon 13 Oct 21:16/12 2/3 BACKGROUND ] The US and Soviet Union apparently reached an outline agreement to cut medium range nuclear missiles - but the proposal foundered on "Star +ats." The missiles currently total more than 1,000 and would have been reduced to 100 for each side, with deployment limited to the US and Soviet Asia. It would have meant the withdrawal of US cruise and Pershing missiles from Europe. US Secretary of State George Shultz said the two sides had also sketched an outline accord which would have cut long range nuclear missiles bz half.P203 CJEFAX 203 Mon 13 Oct 21:12/45 3/3 BACKGROUND ] Both Mr Reagan and Mr Gorbachev saw the talks in Iceland as a basis for further discussion, says the BBC's diplomatic correspondent. He says the main casualty of the meeting is, perhaps, the Washington summit, agreed on at Geneva. This weekend's talks were supposed to be a prelude to the main summit. The BBC's correspondent concludes: "Mr Gorbachev described Mr Reagan as a man he could do business with and continue the dialogue. The question now is how and when" News index 102/202 More