[Federal Register Volume 77, Number 130 (Friday, July 6, 2012)]
[Notices]
[Pages 40026-40028]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-16555]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal Nos. 12-17]


36(b)(1) Arms Sales Notification

AGENCY: Department of Defense, Defense Security Cooperation Agency.

ACTION: Notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of a section 36(b)(1) arms sales notification. This is published to 
fulfill the requirements of section 155 of Public Law 104-164 dated 
July 21, 1996.

FOR FURTHER INFORMATION CONTACT: Ms. B. English, DSCA/DBO/CFM, (703) 
601-3740.
    The following is a copy of a letter to the Speaker of the House of 
Representatives, Transmittals 12-17 with attached transmittal, policy 
justification, and Sensitivity of Technology.

    Dated: July 2, 2012.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
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[GRAPHIC] [TIFF OMITTED] TN06JY12.000

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Transmittal No. 12-17
Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act, as amended
(i) Prospective Purchaser: Kuwait
(ii) Total Estimated Value:

Major Defense Equipment *       $39 million
Other                           $10 million
                               -----------------------------------------
  Total                         $49 million
 

(iii) Description and Quantity or Quantities of Articles or Services 
under Consideration for Purchase: 300 AGM-114R3 HELLFIRE II missiles, 
containers, spare and repair parts, support and test equipment, repair 
and return support, training equipment and personnel training, U.S. 
Government and contractor logistics, Quality Assurance Team support 
services, engineering and technical support, and other related elements 
of program support.
(iv) Military Department: Army (UMA)
(v) Prior Related Cases, if any: None
(vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed to be Paid: 
None
(vii) Sensitivity of Technology Contained in the Defense Article or 
Defense Services Proposed to be Sold: See Attached Annex
(viii) Date Report Delivered to Congress: 26 June 2012
* as defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Kuwait--AGM-114R3 HELLFIRE Missiles

    The Government of Kuwait has requested a possible sale 300 AGM-

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114R3 HELLFIRE II missiles, containers, spare and repair parts, support 
and test equipment, repair and return support, training equipment and 
personnel training, U.S. Government and contractor logistics, Quality 
Assurance Team support services, engineering and technical support, and 
other related elements of program support. The estimated cost is $49 
million.
    This proposed sale will contribute to the foreign policy and 
national security of the United States by helping to improve the 
security of a friendly country that has been, and continues to be an 
important force for political stability and economic progress in the 
Middle East.
    Kuwait intends to use these defense articles and services to 
modernize its armed forces and expand its existing Army architecture to 
counter threats posed by potential attack. This proposed sale will also 
contribute to Kuwait's military goal of updating its capability while 
further enhancing its interoperability with the U.S. and other allies. 
This capability will serve to deter potential attacks against strategic 
targets across Kuwait, to include infrastructure and resources vital to 
the security of the U.S.
    The proposed sale of this weapon system will not alter the basic 
military balance in the region.
    The prime contractor is Lockheed Martin Corporation in Orlando, 
Florida. There are no known offset agreements proposed in connection 
with this sale.
    Implementation of this proposed sale will not require the 
assignment of U.S. Government or contractor representatives to Kuwait.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 12-17
Notice of Proposed Issuance of Letter of Offer Pursuant to Section 
36(b)(1) of the Arms Export Control Act
Annex
Item No. vii
(vii) Sensitivity of Technology:
    1. The highest level for release of the AGM-114R3 HELLFIRE II is 
Secret, based upon the software. The highest level of classified 
information that could be disclosed by a proposed sale or by testing of 
the end item is Secret; the highest level that must be disclosed for 
production, maintenance, or training is Confidential. Reverse 
engineering could reveal Confidential information. Vulnerability data, 
countermeasures, vulnerability/susceptibility analyses, and threat 
definitions are classified up to Secret.
    2. Susceptibility of the AGM-114R3 HELLFIRE II to diversion or 
exploitation is considered low risk. Components of the system are also 
considered highly resistant to reverse engineering.

[FR Doc. 2012-16555 Filed 7-5-12; 8:45 am]
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