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The Wednesday Report is published weekly by

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ISSN 0835-6122

Copyright: ©MPRM Group Limited 1994.

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Publisher and Editor In Chief: Micheal John O'Brien

Circulation Manager: Julie K. Kwiecinski

Editorial Staff Writer:

Frederick J. Harris

Contributing Editors:

Bill Knapp (Toronto)

Mike Martin (Ottawa)

Patrick McManus (Halifax)

William Kane (Washington DC)

John Reed (London, England)

Moshe Karem (Jerusalem, Israel)

Volume 8, Number 2 January 26, 1994

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January 26, 1994

Canada's Aerospace & Defence Weekly

January 26, 1994

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EXPANDING NATO

We have decided to launch an immediate and practical programme that will transform the relationship between NATO and participating states. This new programme goes beyond dialogue and cooperation to forge a real partnership — a Partnership for Peace. We invite the other states participating in the NACC, and other CSCE countries able and willing to contribute to this programme, to join with us in this Partnership. Active participation in the Partnership for Peace will play an important role in the evolutionary process of expansion of NATO. — Excerpted from the NATO "Partnership For Peace" Communique of January 11, 1994.

Confirming its own enduring validity and indispensability, the North Atlantic Treaty Organization has sought to renew itself following what it describes as "historic transformations" affecting the entire continent of Europe.

The most controversial aspect of this so-called renewal is NATO's decision to expand its mandate while at the same time contributing to the unity of Europe by welcoming quasi-membership of the former Warsaw Pact states.

It had previously sought a consensus that would allow an offer of full Alliance membership to certain Pact nations which are or will become democratic states, but reached a wobbly compromise after Russia, nervous about an expanding military alliance engulfing nations at its borders, lobbied heavily against. The Alliance listened.

The resulting alternative to full membership, a limited involvement in NATO of the former Warsaw Pact nations, is certainly a positive step toward preventing Moscow's more radical zealots from ever again reinstating the `Evil Empire' — at least in its past form. And this attenuates the concern of many members who don't believe the `Evil Empire' has been entirely stamped out.

The compromise also alleviates the immediate political and military restructuring (new "Partners" will not be guaranteed Article V security protection) that would be required to cope with a substantial change in collective security commitments that instant membership would bring. Meanwhile, it allows the core 16-nation membership an opportunity to study and evaluate the security needs and military capabilities of prospective members in preparation for their eventual full participation.

The apparent overturning of the well-considered preference of full membership in NATO by democratic former-Soviet-bloc countries such as the Czech Republic, Poland and Hungary, is being hailed by Russia as a victory that staved off the "eastern expansion of NATO". It thus seems that even though the Cold War is over, there is still plenty of diplomatic sabre rattling, something both the U.S. — which encourages reform in Russia — and Russia — with its increasingly unstable political situation — would like to avoid.

Baltic states Estonia, Latvia and Lithuania and even the Ukraine welcomed the opportunity to become de facto `associate members' of NATO whereas Romania and Poland were slightly less than incensed that Russia's diplomatic intervention had obviated their full participation. They fear that Russia has `called the shots', but nonetheless they are not thumbing their noses at the chance. There seems to be a hopeful consensus that

"Partnership For Peace" will eventually lead to full membership, complete with NATO's Article V collective security umbrella.

Lithuania had actually made official application to NATO to become a NATO member in the second week of this year. To that, Moscow had issued a statement expressing the view that expansion of NATO to include countries close to Russia's borders would sour [Russian] public opinion and could also promote the growth of undesirable attitudes in civil and military circles leading to destabilization.

Last December's parliamentary election in Russia was singularly responsible for the latest sensitivities from both sides of the argument. Former republics and one-time Warsaw Pact members jostled to join NATO in the wake of a perceived threat from the radical nationalists of Vladimir Zhirinovsky's right-wing Liberal Democratic Party which gained a surprisingly strong position in the Russian Parliament. Zhirinovsky's group is advocating reconstitution of the once powerful Soviet bloc with an adjusted but nonetheless expansive sphere of influence.

While Boris Yeltzin's government vigorously welcomed "Partnership For Peace", Vladimir Zhirinovsky publicly uttered words to the extent that the new NATO Partnership was tantamount to starting WW III.

In all the "Partnership for Peace" process rubber stamped by NATO defence ministers earlier this month is a compromise that has in its aftermath won general acceptance from all European officialdom as being less than the ultimate, but certainly a step in the right direction.

It brings a diverse set of interests to the table as well as a most interesting, if not incongruous, array of security concerns.

More than this — and what truly remains to be seen — is whether a new, expanded NATO will be a useful security forum for its traditional membership and new friends, or will it become an expanding venue for outlandish and unprecedented bickering?

Micheal John O'Brien

MAGNETIC STORM ZAPS ANIK SATELLITES

Telesat Canada is bracing itself for the loss of one of its two Anik E communications satellites. Anik E2's guidance system failed late last Thursday and has not responded to continuing efforts to restore it. Without that system the $300 million satellite will be useless.

Shortly after 1 pm last Thursday, Anik E1's primary momentum wheel control system failed, causing the satellite to spin out of control. After trying and failing to reactivate it, technicians at Telesat's Satellite Control Centre in Ottawa then tried to switch to the backup system. At first they were unable to activate it but finally succeeded and the satellite, which mainly carries data communications traffic, was back in operation by 8 pm.

Then an hour later, much to everyone's chagrin, Anik E2's primary momentum wheel control system failed as well. When attempts to reactivate it failed, technicians tried to bring the backup system on line, but by 6 pm on Friday those efforts had still not succeeded and hope was fading that the satellite could be saved.

The momentum wheel is controlled by electronic circuits and there is little that can be done from the ground to repair, hence the need for a backup. "If the circuit has failed we will not get the satellite back," said Len Stass, Telesat's vice-president of space systems.

At first Telesat engineers could not explain what would cause the same system on two satellites separated by eight degrees (between 5,000 and 6,000 km) to fail almost simultaneously.

Barry Turner, Telesat's vice-president of sales and marketing, described it as "incredibly bizarre".

Sabotage was one possibility, but Turner said this was ruled out because the satellites' command link is protected by a military grade encryption system, and even if someone had managed to break into it the circuit could not be commanded to fail.

At a 6 pm press conference on Friday, Telesat executives attributed the failure to a massive electromagnetic storm. GEOS, a remote sensing satellite in orbit near the Aniks, recorded a storm many times more powerful than normal at the same time as the failures, they said. However, Telesat president Larry Boisvert said that they did not know for certain that the storm was the cause.

"It's pure speculation on our part that it was the electromagnetic storm," he said.

While efforts to save the satellite continue, Anik E2 has been placed in a `safe' mode with the payload turned off and the solar arrays aligned to provide continuing power.

In the meantime most of E2's traffic, primarily television networks such as the CBC, The Sports Network and Much Music, has been transferred to E1, bumping that satellite's traffic on to ground-based communications networks. However, E1 cannot accommodate all of the broadcast traffic, and Telesat has leased four channels on the Hughes Galaxy 6 satellite to carry the excess.

Although workable, these measures are not ideal. Apart from the relatively minor inconvenience of realigning customers' antennas to focus on the other satellites, in some cases, the transfer creates more serious problems for Telesat's customers.

"Some of the customers are not being restored on the same frequency band that they were operating at," Boisvert said. "That clearly is a major problem."

But the most serious problem of all would be the financial impact of losing the $300 million Anik E2. In addition to absorbing the loss, Telesat had been planning to use the satellite's capability to boost falling revenues.

With the advent of sophisticated technologies such as digital video compression, Telesat's broadcast customers have been able to reduce their traffic on the satellite, cutting Telesat's revenue accordingly. Telesat had been planning to introduce new services, such as direct-to-home broadcasts, to generate new revenue.

At the press conference Turner said that he and his colleagues would be assessing the long term implications of the possible loss of the satellite over the weekend.

Bill Knapp

Editor's note: Bill Knapp was The Wednesday Report's first editor (1987/88). He is today a Toronto-based freelance writer specializing in space policy and technology for numerous U.S., British and Canadian publications.

BOMBARDIER LAUNCHES GLOBAL EXPRESS

Laurent Beaudoin, chairman and CEO of Bombardier Inc., officially launched the long-range, high-speed Bombardier Global Express business jet during a press conference held December 20, 1993 in Montreal.

"I am extremely pleased to announce our board of directors has approved the launch of the Bombardier Global Express — the only new business jet designed specifically for the global marketplace," said Beaudoin.

"To date, we have firm orders for 30 aircraft and eight short-term options, and are in advanced negotiation for an additional 12 aircraft," added Robert Brown, president of Bombardier Aerospace Group-North America. "These orders represent a backlog of approximately $1 billion (U.S.)."

The Global Express is being built with risk-sharing participants who are providing structural components and aircraft systems to Bombardier for final assembly, flight test and delivery. Agreements are already in place with Mitsubishi Heavy Industries Ltd. to supply the wing and centre fuselage sections and with BMW Rolls-Royce GmbH to deliver the new BR710-48-C2 powerplant.

A principal design target for the Global Express is to fly eight passengers and a four-person crew 6,300 nautical miles non-stop at Mach 0.85, with a long-range capability of 6,500 nautical miles at Mach 0.80, bringing city pairs such as New York-Tokyo, Taipei-Chicago and Sydney-Los Angeles together in about 14 hours.

CF SEARCHERS FIRED UPON WHILE OVER OKA

Last Friday at 10:30 am, an emergency locator beacon was detected by a CC-130 Hercules aircraft during a flight in the Montreal area. The Rescue Coordination Centre at Trenton, following established procedures, authorized a search using the Hercules and a CH-113 Labrador helicopter which was in the area. The aircraft worked a 15-mile search area resulting in overflights of the Oka reserve.

The Labrador helicopter landed near Oka in the area where the beacon had been detected in an attempt to isolate the exact source of the signal. The crew was informed by a native leader that they had been fired at and that they should leave the area immediately. The crew completed an initial damage assessment and determined that they could return to Trenton safely.

Investigations into the incident have been initiated by both Quebec police and military authorities.

PEOPLE: SPAR APPOINTS NEW PRESIDENT, PRIOR DATA SCIENCES

On Monday, Spar announced the appointment of Larry E. Humphries as president of PRIOR Data Sciences, a unit of Spar Aerospace Limited.

Humphries is responsible for positioning PRIOR in the commercial, industrial and government markets where the company says it believes real-time software expertise will be the key element in delivering systems of the future. He will report to John MacNaughton, Spar's president and CEO.

Humphries brings over 18 years of high technology management experience to PRIOR. He was most recently employed as Vice President, Professional Services, Digital Equipment of Canada and has worked for such companies as IBM and Micom.

THAILAND ACCEPTS UNISYS AIR DEFENCE INFO NETWORK SYSTEM

Unisys Corporation of McLean, Virginia announced last week that the Royal Thai Supreme Command has formally accepted the Joint Air Defence Digital Information Network (JADDIN) system. JADDIN, an integrated air defence information system, was designed by Unisys for the Kingdom of Thailand. Begun in May 1991, the JADDIN programme has a value of $15.2 million.

As the prime contractor and systems integrator, Unisys was responsible for all functions, including system engineering, system design, hardware procurement, software development, system integration, training, integrated logistics support and systems test.

The system consists of the latest technology in work stations, systems and application software, voice and data transmission communications equipment, and large screen displays. All software applications were done in Ada requiring more than 230,000 lines of code. JADDIN equipment is located at the Royal Thai Air Defence System (RTADS) Air Operations Centre/Sector Operations Centre in Bangkok and at 11 remote sites throughout Thailand.

JADDIN is designed to work in conjunction with RTADS, a countrywide air defence system also designed, developed and installed in the Kingdom of Thailand by Unisys. RTADS went into operation in 1990. JADDIN's mission is to provide for the exchange and display of digital information, air tracks, and command and control information at key Thai military service air defence sites. The JADDIN system supports Army, Navy and Air Force centres within the command structure of the Royal Thai Supreme Command.

The contract period of performance was 29 months. Installation began in Thailand in mid-June 1993 and concluded with the acceptance of the system in late 1993.

Unisys Corporation is a leading information systems company with 60,000 customers in more than 100 countries. The company is a major supplier of information services and technology to financial service, government, telecommunications, airline and other commercial markets.

BAe CUTS 830 EMPLOYEES AT REGIONAL AIRLINER PLANTS

British Aerospace announced a week ago it would cut 830 jobs this year in an effort to boost competitiveness at two of its U.K.-based Avro International aircraft plants and at a U.K. parts supplier division. The company said 480 jobs would be cut at Avro's plant in Woodford, Cheshire, 100 at its plant in Hatfield, Hertfordshire, and 250 at a supply plant in Chedderton, near Manchester.

Avro International, which makes regional airliners, has been hit by the breakdown of cooperation talks between British Aerospace and the Taiwan Aerospace Corp. last October.

"This is obviously not good news on the jobs front," said British Aerospace spokesman Simon Reynes. "But a year ago we were facing a situation where we either had to find a joint venture partner or close the regional airliner division down, with the loss of far more jobs."

"These cuts are part of an ongoing process to strip out costs and shape up the business to make it more competitive in what is still a very difficult market," he said. Reynes said while every effort would be made to avoid forced layoffs, they could not be ruled out. Avro International employs 3,000 staff out of a total British Aerospace work force of 97,000.

Referring to the talks with the Taiwan Aerospace Corporation to produce regional jets under a joint venture called Avro Aerospace International, Reynes said no formal consultations had resumed since the negotiations collapsed in October.

"We continue to look for a joint venture because we need a partner in the longer term for our regional airliner business to make it viable," he said.

HARRIS NIGHT HAWK 5000 SELECTED BY U.S. MARINES

Harris Corporation's Computer Systems Division announced that customized Night Hawk 5000 Series systems have been selected for the U.S. Marine Corps TPS-59 Radar System Upgrade. The orders, totaling some $1 million, were received from Martin Marietta and Sensis Corporation. The Night Hawk computer systems will be enhanced with fault tolerant and rugged components to provide increased reliability. Since the radar systems will be deployed in tactical battlefield environments, high availability and system redundancy are critical requirements. Night Hawk systems will be used as both development and target machines.

The AN/TPS-59 is an all solid-state, L-band, three dimensional air defence radar that provides long-range surveillance and ground-controlled intercept (GCI) capabilities in a tactically mobile environment. The radar is part of Martin Marietta's family of proven solid-state radars that are in service around the world.

Martin Marietta's Ocean, Radar and Sensor Systems, located in Syracuse, N.Y., was awarded the prime contract by the U.S. Marine Corps in August 1992. The unit is claimed to be one of the world's leading manufacturers and integrators of submarine combat systems, surface ship sonar and anti-submarine warfare systems, and airdefence, surveillance and avionics systems.

Sensis Corporation, also based in Syracuse, is a leading radar design house and a supplier of radar signal and data processing systems. Sensis is a subcontractor to Martin Marietta on the TPS-59 Upgrade programme.

Harris Computer Systems Division produces real-time and multi-level secure computer systems and software for simulation, data acquisition and other event-driven applications. The division is part of Harris' Electronic Systems Sector.

DND SMALL CONTRACTS AWARDED IN QUEBEC

CASP Aerospace Inc. of Pointe-Claire received a $2,059,750 contract to repair, overhaul, test and recharge safety and life support equipment for DND. The contract maintains 10 jobs until June 30, 1996.

CAE Electronics Ltd. of Montreal received a $524,158 contract to supply DND with parts and equipment to support integrated machinery control systems in the Tribal Class Update and Modernization Programme (TRUMP II). The contract maintains two jobs until March 22.

Laval University of Ste-Foy received a $465,450 contract to produce an analytical and thematic index in English and French for the Dictionary of Canadian Biography. The contract for DND, which creates three jobs and maintains two others, runs until November 30, 1997.

Atelier du Martin-Pâcheur Inc. of Clermont received two contracts totaling $363,872 to provide janitorial services for DND at its armoury in St-Malo and for the Quebec region. Both contracts run until October 31 and contain a one-year renewal option.

Entreprises Denys Gardner Ltée of Acton Vale won a $315,250 contract to supply DND with plastic insoles. The contract, which creates seven jobs and maintains three, runs until July 31.

EG and G Optoelectronics Canada of Vaudreuil received a $223,258 contract to provide DND with optical detectors for a new laser-guided warning receiver. The contract runs until October 31 and includes the design, manufacturing and delivery of the devices.

DND SMALL CONTRACTS AWARDED IN THE NATIONAL CAPITAL REGION

Computing Devices Canada Ltd. of Bells Corners received two contracts totaling $1,786,900 to provide DND with repair, overhaul and engineering services for several computerized systems. The contracts maintain nine jobs until December 31.

CAL Corporation of Ottawa received a $554,101 contract amendment to provide preventive and corrective maintenance for DND's Search and Rescue Satellite Aided Tracking (SARSAT) system. The amendment maintains three jobs until March 31, 1995.

Ottawa's 168004 Canada Inc., doing business as ORA Corporation, received a $445,715 contract to develop the mathematical foundation for a software verification system for DND. Work under the contract maintains two jobs until March 31, 1996.

DND SMALL CONTRACTS AWARDED IN ATLANTIC CANADA

Goose Bay Motors Limited of Happy Valley, Newfoundland won a $96,043 contract to supply DND with vehicles.

Sun Heating & Air Conditioning Ltd. of Gander, Newfoundland won a $52,013 contract to construct an oil storage facility at CFB Gander. The work was to have been completed by January 19.

Gander Electrical Limited of Gander won a $35,021 contract to replace underground electrical services at CFB Gander. Work under the contract maintains four jobs.

XEROX PILOT EARNS REGIONAL JET WINGS ON THE GROUND

Terry Yaddaw, manager of corporate aviation services for Xerox Corp. of Stamford, Connecticut, is the world's first pilot to be rated on the Canadair Regional Jet airliner — without ever flying the aircraft. He recently graduated from Canadair's training school in Montreal after a two-hour check flight with Alden Belcher, aviation safety inspector, Federal Aviation Administration (FAA). This represents the first time the FAA has rated a Canadair Regional Jet pilot via a check ride in a simulator.

Prior to his check flight, Yaddaw had completed 40 hours of ground instruction, 24 hours of flight training device training and 20 hours of simulator training.

The flight was conducted using a Level C full flight simulator equipped with a six-degree-of-freedom motion system manufactured by CAE Electronics Ltd. and a 150-degree-wide-angle visual system manufactured by Rediffusion.

Xerox has been operating a Canadair Corporate Jetliner — a variant of the 50-passenger Regional Jet configured as a corporate shuttle — since June 1, 1993, flying employees twice daily between facilities in White Plains and Rochester, New York.

MPR TELTECH WINS $14M KOREAN TELECOMMUNICATIONS CONTRACT

Burnaby, British Columbia-based MPR Teltech has signed a $14 million contract to design and deliver a Digital Direct Broadcast Satellite (DBS) system for Korea. Under the contract, the company will form a consortium with Korea's Electronics and Telecommunications Research Institute (ETRI) and GoldStar Information and Communications Limited. This joint development project will bring up to 17 Korean engineers to work at MPR Teltech's facilities for 18-20 months.

By using Korea's new Koreasat satellite to be launched in early 1995, the DBS system will allow television broadcasters to transmit their signals directly to homes throughout Korea. At present Korea has only five television channels and reception is difficult due to the country's mountainous terrain and absence of cable distribution systems. The DBS system will provide high-quality reception and increased channel capacity. Korea's Ministry of Communications intends to introduce the DBS service on January 1, 1996.

ITALY ORDERS CANADAIR CL-415 FIREFIGHTING AMPHIBIANS

The Bombardier Aerospace Group-North America recently announced that the government of Italy has purchased four new-generation Canadair CL-415 firefighting amphibious aircraft. The total value of the contract is approximately $100 million including initial spare parts.

Deliveries to Italy's Mediterranean Air Service, the Societa Italiana Servizi Aerei Mediterranei (SISAM), are scheduled to begin in the second quarter of 1994. Two aircraft will be delivered to SISAM in each of 1994 and 1995. Based at Ciampino, near Rome, SISAM will operate its new CL-415 aircraft on behalf of Italy's Department of Civil Protection, Presidenza del Consiglio dei Ministri.

SENIOR CANADIAN OFFICER HEADS TASK GROUP IN HAITI AREA

A senior officer of the Canadian navy has been named Commander of the joint task force that is enforcing U.N. sanctions against Haiti. Naval Captain Art Vey, Commander First Canadian Destroyer Squadron, is leading the multinational force which consists of ships from Argentina, Great Britain, France, the Netherlands, U.S. and Canada.

Captain Vey assumed command last Thursday during a change of command ceremony in Kingston, Jamaica. He is coordinating the enforcement from HMCS Fraser, the flagship for the multinational force.

GREAT CHINA AIRLINES EXPANDS de HAVILLAND DASH 8 FLEET

On Monday, Taipei-based Great China Airlines announced the purchase of two additional Dash 8 Series 300B aircraft from the Bombardier Regional Aircraft Division. The airline currently operates four 40-passenger Dash 8 Series 100 and three 56-passenger Dash 8 Series 300 aircraft for its domestic air service in Taiwan.

The two new aircraft, valued at $26 million (U.S.), are scheduled for delivery in April and May. Great China at the same time secured options on two additional Series 300B aircraft for future delivery.

CALENDAR

February 14-15 — The 46th Annual Technical Conference/9th Annual Canadian Shipbuilding & Offshore Exhibition (CSOE'94) of the Canadian Maritime Industries Association (CMIA) will be held at the Ottawa Congress Centre. To reserve a booth in the exhibit hall contact Mrs. Joy MacPherson, (613) 232-7127.

April 13-14 — AFCEA Canada '94, the seventh biennial AFCEA Canadian conference and trade show, will be held at the Ottawa Congress Centre. The event will feature exhibits, paper presentations and speakers focusing on the theme "Global Operations: Responding to Change". Dr. Desmond Morton, Principal, Erindale College and Vice-Admiral L.E. Murray, Deputy Chief of Defence Staff will be the keynote luncheon speakers. Contact conference manager Marion G. Fuller at (613) 594-8788 for details.

U.S. ARMY BUYS SANDERS INFRARED COUNTERMEASURE SYSTEMS

Lockheed Sanders Inc. has received a $3.7 million contract from the U.S. Army for the AN/ALO-144A and the ALQ-144(V) 1 and 3 variants of the Lockheed Sanders infrared countermeasures system for U.S. Army helicopters. This contract calls for 78 ALQ-144As and 88 ALQ-144(v)1 and 3 systems.

The contracting agency is the U.S. Army Communication and Electronics Command, Fort Monmouth, New Jersey. Work will be performed in Nashua, New Hampshire and is scheduled to be completed by October 1994. The contract calls for additional options over the next four years.

The AN/ALQ-144, developed by Sanders, provides upgraded protection against infrared guided missiles. Variants of the ALQ-144 now protect a wide variety of helicopters and fixed wing aircraft for the U.S. Army, Navy and Air Force as well as aircraft of a number of allied nations. The ALQ-144A (V)1 and 3 variants are available for export sales.