Following is President Carter's statement in response to the formation of a special Senate subcommittee to look into the Billy Carter-Libya affair.

The president will instruct all members of the White House staff to cooperate fully with the special subcommittee of the Senate Judiciary Committee as to requests for information about the relationship between Billy Carter and the government of Libya, as well as about any contacts between any member of the White House staff with Billy Carter or with the Department of Justice relating to Billy Carter.

The president does not expect to assert claims of executive privilege with respect to these matters. Members of the White House staff will be instructed to respond fully to such inquiries from the subcommittee and to testify if the subcommittee determines that oral testimony is neccessary. To the extent that such inquiries from the subcommittee relate to classified information, the president expects that appropriate safeguards can be worked out to protect the security of the information to be provided.

The president himself will also respond fully to the subcommittee's inquiries relating to these matters, in accordance with mutually agreeable procedures consistent with the responsibilities and time constraints of his office.