BLUE LANTERN CHECK, APPLICATION NO. 05-999949

UNCLAS HALIFAX 000085

SIPDIS

SENSITIVE
SIPDIS

DEPT FOR PM/DTCC (ADAM ARNETT)

E.O. 12958: N/A
TAGS: ETTC EAIR KOMC CA NL
SUBJECT: BLUE LANTERN CHECK, APPLICATION NO. 05-999949

REF: A. A) 06 STATE 160771

B. B) 06 OTTAWA 3434

C. C) 06 THE HAGUE 2453


1. (U) In accordance with ref A, Consul paid a site visit to
the headquarters of Provincial Aerospace Ltd. in St John's,
Newfoundland on October 3. Provincial Aerospace is the parent
company of Provincial Aviation Maintenance Services Inc., the
foreign consignee named in subject application to purchase
inertial navigation systems from Honeywell International.
Consul met with General Manager Brendan Power, who provided a
tour of the company's facility at the St. John's International
Airport and answered questions regarding this transaction and
Provincial Aerospace's business operations.


2. (U) The site visit confirmed much of the information
regarding Provincial Aerospace that was detailed in refs B and

C. The two inertial navigation systems had arrived on time and
were being installed in two Provincial-owned, Canadian-built
Bombardier DASH-8 aircraft at the hanger in St. John's. The
installation and maintenance on the aircraft was ongoing at the
time of Consul's visit, and she was able to tour the hangar and
see the subject aircraft as well as two other aircraft that were
being fitted for a separate contract.


3. (SBU) According to Mr. Power, Provincial has signed a
10-year contract with the Government of The Netherlands to fly
and maintain the two aircraft for use in maritime,
anti-narcotic, and search-and-rescue patrols in the Netherlands
Antilles, operating out of Curacao. He stated that they have
similar contracts with the governments of Canada, Barbados,
Trinidad and Tobago, Colombia and Peru. He also reported that
they are in the process of ending a contract with the Government
of Venezuela that had been entered into several years ago
through the U.S. Department of State. Representatives from the
United Arab Emirates were also in St. John's on October 3 to
discuss a potential maritime aviation contract, and Mr. Power
reported that he has visited UAE several times this year.


4. (U) Comment: Aside from the Blue Lantern requirements, it is
worth noting that Provincial Aerospace appears to be an
impressive economic success story in Newfoundland. Power
reported that the company has grown from 36 employees to 600
employees in less than 19 years, and that almost all of their
employees are from Newfoundland. The company is privately-owned
by two Newfoundlanders and is one of the largest companies in
the province. More information on the company can be found at
their website www.provincialaerospace.com . End Comment.

FOSTER