[Federal Register Volume 77, Number 243 (Tuesday, December 18, 2012)]
[Notices]
[Pages 74832-74834]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2012-30428]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal Nos. 12-65]


36(b)(1) Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

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 12-65 with attached transmittal, policy 
justification, and Sensitivity of Technology.

    Dated: December 7, 2012.
Aaron Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.
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Transmittal No. 12-65
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: Saudi Arabia.
    (ii) Total Estimated Value:

Major Defense Equipment *...............  $0 million.
Other...................................  $130 million.
                                         -------------------------------
  TOTAL.................................  $130 million.
 
* As defined in Section 47(6) of the Arms Export Control Act.

    (ii) Description and Quantity or Quantities of Articles or Services 
under Consideration for Purchase: Technical services to recertify the 
functional shelf life of up to 300 PATRIOT Advanced Capability-2 (PAC-
2) (MIM-104D) Guidance Enhanced Missiles (GEM), modernization of 
existing equipment, spare and repair parts, support equipment, U.S. 
Government and contractor representatives logistics, engineering, and 
technical support services, and other related elements of logistics and 
program support.
    (iv) Military Department: Army (UAU).
    (v) Prior Related Cases, if any: FMS Case JBV--$3.1 billion--16 Dec 
92.
    (vi) Sales Commission, Fee, etc., Paid, Offered, or Agreed to be 
Paid: None.
    (vii) Sensitivity of Technology: See attached annex.
    (viii) Date Report Delivered to Congress: 26 Nov 2012.
POLICY JUSTIFICATION
Saudi Arabia--PATRIOT PAC-2 Guided Enhanced Missiles (GEM) 
Recertification
    The Government of Saudi Arabia has requested a possible sale of 
technical services to recertify the functional shelf life of up to 300 
PATRIOT Advanced Capability-2 (PAC-2) (MIM-104D) Guidance Enhanced 
Missiles (GEM), modernization of existing equipment, spare and repair 
parts, support equipment, U.S. Government and contractor 
representatives logistics, engineering, and technical support services, 
and other related elements of logistics and program support. The 
estimated cost is $130 million.
    This proposed sale will contribute to the foreign policy and 
national security of the United States by helping to improve the 
security of an important partner which has been, and continues to be, 
an important force for political stability and economic progress in the 
Middle East.
    The proposed recertification program will allow the Royal Saudi Air 
Defense Forces to extend the shelf life of the PAC-2 missiles in its 
inventory for an additional twelve years.

[[Page 74834]]

    The proposed recertification program will not alter the basic 
military balance in the region.
    The principal contractor will be Raytheon Corporation in Andover, 
Massachusetts. The recertification process will be performed by 
Letterkenny Army Depot in Chambersburg, Pennsylvania. There are no 
known offset agreements proposed in connection with this potential 
sale.
    Implementation of this proposed sale will require one contractor 
representative to travel to the Missile Assembly Disassembly Facility 
in Jeddah, Saudi Arabia on an extended basis for missile assembly/
disassembly support, system checkout, training and technical and 
logistics support.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 12-65
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 PATRIOT Air Defense System contains classified components 
and critical/sensitive technology. The PATRIOT PAC-2 (MIM-104D) GEM 
missile contains hardware components that are classified Confidential.
    2. The PATRIOT PAC-2 (MIM-104D) GEM missile is a certified round 
that has an engineered shelf life which requires a periodic inspection 
and testing process to recertify it as reliable and safe for continued 
use. This process requires the replacement of limited life components 
and testing of other components to maintain a predictable and 
acceptable level of reliability over the specified certification 
period. The recertified components are the transmitter (part of the 
missile forebody), radome, and safety and arming device. The internal 
sensor assembly and the control section must also be tested to maintain 
the certification of the missile round. All components are 
Unclassified. In addition to this recertification process, the missile 
downlink will be modified to correct performance deficiencies.
    3. The missile's sensitive/critical technology is primarily in the 
area of design and production know-how and primarily inherent in the 
design, development and/or manufacturing data related to the GEM fuze. 
No design or manufacturing data will be provided to Saudi Arabia under 
this case.
    4. If a technologically advanced adversary were to obtain knowledge 
of the specific hardware and software elements, the information could 
be used to develop countermeasures that might reduce weapon system 
effectiveness or be used in the development of a system with similar or 
advanced capabilities.

[FR Doc. 2012-30428 Filed 12-17-12; 8:45 am]
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