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I restored one of these a few years ago.  If I recall correctly the string goes from the winding drum out over the pulley at the tip of the boom.  Slip the string under the pulley of the hook assembly and tie the string off on the boom.  I don’t recall exactly where on the boom but it should come up just behind the pulley at the tip.  The weight of the metal hook is enough to lower the hook when you unwind the drum, provided your string isn’t too stiff.

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