Let's look at the rule:
8.42LOS is BLOCKED if both the spotting and target hex are on DIFFERENT elevations, and:
- one or more slope hexes of higher elevation than the higher unit lies between the two hexes;
- one or more slope hexes of the same elevation as the higher unit lies between the two hexes and the slope hex is closer (not equidistant) to the lower unit than the higher one;
- a limiting terrain hex that blocks LOS (for example, town or woods), that is higher elevation than the higher unit, lies between the two hexes;
- a limiting terrain hex that blocks LOS (for example, town or woods), of the same elevation as the higher unit, lies between the two hexes and the limiting terrain hex is closer (not equidistant) to the lower unit than the higher one.
Let's go down the bullets and answer each one.
So is there one or more slope hexes of higher elevation than the higher unit lies between the two hexes?
No.
So is there one or more slope hexes of the same elevation as the higher unit lies between the two hexes and the slope hex is closer (not equidistant) to the lower unit than the higher one?
No.
So is there a limiting terrain hex that blocks LOS (for example, town or woods), that is higher elevation than the higher unit, lies between the two hexes?
So is there a limiting terrain hex that blocks LOS (for example, town or woods), of the same elevation as the higher unit, lies between the two hexes and the limiting terrain hex is closer (not equidistant) to the lower unit than the higher one?
No.
Thus by the rule only, the LOS is not blocked and the two units can see each other.
PG uses a what I call a "gentle slope rule" as opposed to a steep slope that most games use. (The Line of Battle Series [LOB] from MMP also uses such a concept). This is not ASL where slopes cause blind hexes nor are the hills plateaus such as in PanzerBlitz and other such games.
Since I know many of you will try "reality arguments" are are some: Go to Gettysburg and take the "The Last Chance for Victory" maps with you and you will grasp the gentle slope concept very well when you get up on to the highest ground.. There is also a design for effect concept here. Most of the long range spottings will be used to call in Bombardment Fire, thus the 'spotting' does not have to be precise. Some or all of the enemy unit was spotted and artillery, an area fire weapon, is called in. The enemy can be anywhere in the hex (LOB also uses this concept) and thus enough could be seen just enough for bombardment fire to be called.
Also, and most importantly, the LOS rules are not as difficult as many other tactical games so players are not spending time trying to figure out complex LOSs.