Dacca. Wednesday morning. —President Yahya Khan and Shaikh Mujibur Rahman are understood to have agreed on the formation of an interim civilian government to end the present military rule and, it is hoped, heal the dangerous split between East and West Pakistan.

Such a temporary government would be a big step towards meeting Shaikh Mujibur's demand that military rule be withdrawn before his Awami League will take part in the opening session of the National Assembly. His party holds 167 of the 313 seats—all from East Pakistan.

Informed quarters said this morning that the two leaders still differed on the composition of the interim regime after their 2 ½ - hour talks yesterday; talks will resume later today.

Sources close to the Awami League said that President Yahya proposed that Shaikh Mujibur decide how the portfolios would be distributed in his own and other parties, including Mr. Z. A. Bhutto's Pakistan People's Party, which holds 84 seats. the majority from West Pakistan. The President wanted the right to name members of the Government.

Paul Martin writes from Dacca:
Extraordinary security measures added to the atmosphere of absolute secrecy under which the talks, considered vital to the future of the unity of the two wings of Pakistan, are being held. The first session was devoted to a review of the events of the past two weeks.

Asked by journalists who besieged his car whether the talks had been held in a friendly atmosphere, the Shaikh replied : "Kindly do not ask me any more."