1. (U) THIS IS AN ACTION REQUEST. SEE PARAGRAPH 2.



2. (SBU) Action Request. Embassy Prague may provide the
text of the U.S. letter and attachment in paragraph 3 to
appropriate MFA officials for their information. The
originals of these documents have been sent to the Czech
Embassy in Washington, in response to the Czech non-paper
titled "Czech View on the Framework Agreement and Related
Questions."



3. (SBU) Begin text of U.S. letter and attachment:

DEPARTMENT OF DEFENSE

MISSILE DEFENSE AGENCY
7100 DEFENSE PENTAGON
WASHINGTON, D.C. 20301-7100

Mr. Jaroslav Kurfurst
Deputy Chief of Mission
Embassy of the Czech Republic in
Washington, D.C.,
3900 Spring of Freedom St. NW
Washington, DC 20008

Dear Mr. Kurfurst:

We appreciate the thoughtful consideration of the
proposed Framework Agreement by the Czech Government as
reflected in the non-paper you provided during your recent
visit to MDA. Attached please find a response that
specifically addresses each question posed by your non-paper.

The Framework Agreement will affirm our close
political-military relationship and signal our mutual intent
to expand cooperation in the area of Ballistic Missile
Defense (BMD). Toward this aim, the Framework Agreement will
serve as an instrument under which such cooperative
activities can be identified, negotiated, and implemented.

While the scope of cooperation under this agreement is
limited to BMD, potential opportunities do exist for
industry, technical, and academic cooperation. The BMD
Seminar being planned should prove to be an important next
step toward identifying potential areas for cooperation, both
government-to-government and industry-to-industry, or with
academia. As we agreed during our meeting, our goal is to
hold the seminar in January 2008.

Finally, I look forward to beginning negotiations on
the Framework Agreement and recommend that the Czech
Government propose a date for us to initiate these
discussions.

Sincerely,


(signed)


NANCY E. MORGAN
Deputy for International Affairs

Enclosure



--------------------------



ATTACHMENT: RESPONSES TO SPECIFIC QUESTIONS:

1) Would the Framework Agreement facilitate in any practical
way cooperation between Czech and U.S. companies in general?

The scope of the Framework Agreement will be limited to
exchanges of information that relate to the U.S. Ballistic
Missile Defense System (BMDS) Program. It will establish
authorization for information sharing related to an

integrated BMDS. This authorization is necessary to explore
opportunities for cooperative RDT&E and industry-to-industry
cooperation in this area. To the extent cooperative
activities related to the BMDS stimulate interest in other
potential cooperative activities outside the scope of this
agreement, the Framework Agreement would not govern such
activities.

2) Will the procedures for Czech companies participating in
the U.S. BMDS Program be any easier after signing the
Framework Agreement?

The Framework Agreement will establish an Executive
Steering Committee (ESC) to oversee all activities under this
Agreement. Through the ESC, the Parties will have the
opportunity to develop agreed mechanisms for processing
cooperative activities, referred to as Annexes, consistent
with applicable laws and regulations. Establishing Annexes
should benefit cooperative efforts by improving Czech
familiarity with procedures governing the exchange of
information, security, financial management, third party
transfers, work planning, and conclusion of Annexes.

In addition, subordinate management groups could be
established to manage bilateral activities on a permanent or
ad hoc basis, as required.

3) Does the proposed cooperation include Research and
Development not directly related to BMD?

The purpose of the Framework Agreement is to explore
possibilities for engaging in cooperative activities
pertaining to and in support of an integrated defense against
ballistic missiles launched at the territory or armed forces
of the Parties and their allies. The Framework Agreement may
promote and facilitate Czech participation in the U.S. BMDS
Program. Any potential cooperative activity mutually deemed
supportive of the U.S. BMDS Program would fall within the
purview of the Framework Agreement, even if such cooperative
activity had, in addition, beneficial application beyond the
scope of the BMDS.

4) In which way would the Annexes to the Agreement be
negotiated?

The United States Government has negotiated Annexes with
its other Framework Partners directly between the U.S.
Department of Defense and the respective partner's Ministry
of Defense. The United States is willing to negotiate with
the Czech Ministry of Foreign Affairs, however, we encourage
the Czech Government to include representatives from the
Czech Ministry of Defense in all such negotiations.

The Missile Defense Agency would act as the negotiating
agency on behalf of the Department of Defense. The lead
negotiator for all Annex negotiations would be the MDA Deputy
for International Affairs, Ms. Nancy Morgan.

5) Has the U.S. concluded a similar kind of Framework
Agreement with other Allies?

The Department of Defense has signed BMD Framework
Agreements with the Defense Ministries of Australia, Denmark,
Italy, Japan, and the United Kingdom. In general, the
cooperative activities developed from these arrangements have
resulted in modest programs that have played an important
part in the BMDS.
RICE