[Federal Register Volume 83, Number 209 (Monday, October 29, 2018)]
[Notices]
[Pages 54330-54332]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-23601]


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DEPARTMENT OF DEFENSE

Office of the Secretary

[Transmittal No. 18-35]


Arms Sales Notification

AGENCY: Defense Security Cooperation Agency, Department of Defense.

ACTION: Arms sales notice.

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SUMMARY: The Department of Defense is publishing the unclassified text 
of a section 36(b)(1) arms sales notification.

FOR FURTHER INFORMATION CONTACT: DSCA at dsca.ncr.lmo.mbx.info@mail.mil">dsca.ncr.lmo.mbx.info@mail.mil 
or (703) 697-9709.

SUPPLEMENTARY INFORMATION: This 36(b)(1) arms sales notification is 
published to fulfill the requirements of section 155 of Public Law 104-
164 dated July 21, 1996. The following is a copy of a letter to the 
Speaker of the House of Representatives, Transmittal 18-35 with 
attached Policy Justification and Sensitivity of Technology.

    Dated: October 24, 2018.
Aaron T. Siegel,
Alternate OSD Federal Register Liaison Officer, Department of Defense.

[[Page 54331]]

[GRAPHIC] [TIFF OMITTED] TN29OC18.005

Transmittal No. 18-35
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: Republic of Korea
    (ii) Total Estimated Value:

Major Defense Equipment *................  $365 million
Other....................................  $136 million
                                          ------------------------------
  TOTAL..................................  $501 million
 

    (iii) Description and Quantity or Quantities of Articles or 
Services under Consideration for Purchase:
    Major Defense Equipment (MDE): Sixty-four (64) Patriot Advanced 
Capability-3 (PAC-3) Missile Segment Enhancement (MSE) Missiles
    Non-MDE: Also included are two (2) PAC-MSE Test Missiles, range and 
test programs, publications and technical documentations, training 
equipment, spare parts, personnel training, U.S. Government and 
contractor technical, engineering, and logistics support services, and 
other related elements of logistics and program support.
    (iv) Military Department: Army (KS-B-ZGT)
    (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

[[Page 54332]]

Defense Services Proposed to be Sold: See Annex Attached
    (viii) Date Report Delivered to Congress: September 13, 2018
    * As defined in Section 47(6) of the Arms Export Control Act.

POLICY JUSTIFICATION

Korea--Patriot Advanced Capabilitv-3 (PAC-3) Missile Segment 
Enhancement (MSE) Missiles

    The Republic of Korea (ROK) has requested to buy sixty four (64) 
Patriot Advanced Capability-3 (PAC-3) Missile Segment Enhancement (MSE) 
Missiles. Also included are two (2) PAC-MSE Test Missiles, range and 
test programs, publications and technical documentations, training 
equipment, spare parts, personnel training, U.S. Government and 
contractor technical, engineering, and logistics support services, and 
other related elements of logistics and program support. The total 
estimated program cost is $501 million.
    The ROK is one of the closest allies in the INDOPACOM Theater. The 
proposed sale will support U.S. foreign policy and national security 
objectives by meeting Korea's legitimate security and defense needs.
    The ROK will use the Patriot missile system to improve its missile 
defense capability, defend its territorial integrity and deter threats 
to regional stability. The proposed sale will increase the defensive 
capabilities of the ROK Military to guard against hostile aggression 
and shield the allies who train and operate within South Korea's 
borders. The ROK should have no difficulty absorbing this system into 
its armed forces.
    The proposed sale of this equipment and support does not alter the 
basic military balance in the region.
    The prime contractor will be Lockheed-Martin, Dallas, Texas. There 
are no known offset agreements expected to be proposed in connection 
with this potential sale.
    Implementation of this proposed sale will not require the 
assignment of any additional U.S. Government or contractor 
representatives to the Republic of Korea.
    There will be no adverse impact on U.S. defense readiness as a 
result of this proposed sale.
Transmittal No. 18-35
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 CONFIDENTIAL 
hardware components, SECRET tactical software and critical/sensitive 
technology. The Patriot Advanced Capability-3 (PAC-3) Missile Segment 
Enhancement (MSE) hardware is classified CONFIDENTIAL and the 
associated launcher hardware is UNCLASSIFIED. With the incorporation of 
the PAC-3 MSE missiles, the Patriot system will continue to hold a 
significant technology lead over other surface-to-air missile systems 
in the world.
    2. The PAC-3 MSE 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 certain 
components.
    3. Information on system performance capabilities, effectiveness, 
survivability, missile seeker capabilities, select software/software 
documentation and test data are classified up to and including SECRET.
    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.
    5. A determination has been made that the recipient government can 
provide substantially the same degree of protection for the technology 
being released as the U.S. Government. This sale supports the U.S. 
foreign policy and national security objectives as outlined in the 
Policy Justification.
    6. All defense articles and services listed in this transmittal 
have been authorized for release and export to the ROK.

[FR Doc. 2018-23601 Filed 10-26-18; 8:45 am]
 BILLING CODE 5001-06-P