EXTRANCHECK: PRE-LICENSE CHECK: MICRAN,

UNCLAS MOSCOW 003592 SIPDIS SIPDIS USDOC FOR 532/OEA/MHAMES/LRITTER USDOC FOR 3150/USFCS/OIO/CEENIS/MCOSTA E.O. 12958: N/A TAGS: BEXP ETRD ETTC RS SUBJECT: EXTRANCHECK: PRE-LICENSE CHECK: MICRAN, TOMSK, RUSSIA, (A) D371541 AND (B) D371543 REFTEL: 1) USDOC 03693, 2) 05 USDOC 02247, 3) 06 MOSCOW 01138 ¶1. Unauthorized disclosure of the information provided below is prohibited by Section 12C of the Export Administration Act. ¶2. Reftel 1 requested a Pre-license check to determine the legitimacy and reliability of the end-user, (A) and (B) Micran, Tomsk, Russia. The company is listed on BIS license applications (A) D371541 and (B) D371543 as the ultimate consignee of (A) 200 semiconductors, 12-bit, 210msps adc and (B) semiconductor, 16-bit, 130msps adc. These items are controlled for national security and nuclear non- proliferation reasons under ECCN 3A001. The licensee is (A) and (B) Fintronic OY, Ruosilantie 14B, Helsinki, Finland. ¶3. On July 19, 2007, Export Control Attache Donald Pearce and FSN Natalya Shipitsina conducted a pre- license check at the offices of Research and Production company Micran, 47 Vershinina st., Tomsk, Russia. The export control team met with , Evgeny Andronov, Head of Test and Measurement Department and Vladimir Dotsenko, Research and Development Department Chief. ¶4. NOTE: Micran was the subject of reftel 2, requesting PSVs on licenses D319612, D328807, D306056, and D313397. ECO Moscow conducted the PSV on December 21, 2005, reported as favorable in reftel 3. END NOTE. ¶5. Micran was founded in 1991 by a group of eight scientists to seek opportunities in the microwave engineering and production sector. The company is privately held by these individuals, and is registered as a closed joint stock company. Micran produces and develops equipment for the microwave electronics industry, including radio links, telecommunications products and high-frequency radio measurement equipment. Micran is responsible for 50% of Russian domestic production of microwave radio links, operating in frequency bands from 150Mhz to 40Ghz. Micran currently employs around 500 (NOTE: this is up from 300 in 2005 END NOTE) at its headquarters and fabrication facilities in Tomsk, and has a small representative office in Moscow. Mr. Andronov reports that Micran is hoping to build a second production facility in Tomsk. ¶6. The Linear Technology Co. ADCs in reftel 1 will be used in the production of radio relay and testing equipment. The 200 12-bit, 210msps ADCs described in D371541 will be used in the Modem-01 128QAM-Modem/IF board, utilized in the MD1-6 access module of the MIC- RL4-40 SDH Microwave Digital Radio Relay System. The Modem-01 provided analog to digital data signal conversion using an international protocol for use worldwide. The 40 16-bit, 130msps ADCs will be used in the production of Vector/Scalar Network Analysis equipment and Spectrum Analysis devices. These devices are currently in development, and have not yet been certified for sale. The units will be used in house for testing, and upon certification, will be added to the sales inventory. Mr. Dotsenko anticipates the need for additional orders of the ADCs when the products are type certified. ¶7. Mr. Andronov stated that Micran is not a military contractor, and that the commodities in reftel will not be used in military projects. While Micran does not contract for military production, it does supply equipment and specialty design services for other Russian firms, which may or may not be involved in military contract work. Major clients of Micran include Svyazinvest, which owns a sizeable majority of public communications equipment infrastructure in Russia, the oil and gas industry, and the mobile telephone carriers of Russia and the Commonwealth of Independent States. ¶8. Prior to installation into equipment, the ADCs will be placed in a locked storage room. The building uses a proximity card access system with integrated video monitoring, which prevents unauthorized access. A log system is utilized for inventory control, and Micran has had no thefts. In addition to the electronic system, Micran has uniformed security personnel at the premesis 24 hours a day, seven days a week. Mr. Andronov and Mr. Dotsenko are familiar with U.S. and Russian export controls, and are aware of the general conditions of these types of licenses. ¶9. Recommendations: Post recommends Micran, Tomsk, Russia, as a reliable recipient of sensitive U.S. origin commodities. It is requested that post be notified of final disposition of the application, and of any shipments for this organization in order to conduct appropriate FCS follow-up and statistical reporting. (FCS MOSCOW/SBOZEK/DPEARCE) BURNS