In this paper, we
develop the idea of Thompson which treats the relationship between bridge
position, incompressible meridianal planar surfaces, and thin position. We
show that for a link in thin position there exits a canonical depth 1 nested
tangle decomposition with incompressible 2-spheres arising from the thin
position (Proposition 3.7), and we show that there is a maximal essential
tangle decomposition of the link that is closely related to the thin position
(Theorem 4.3).