VZCZCXYZ0002
RR RUEHWEB

DE RUEHBU #1099/01 2201849
ZNR UUUUU ZZH
R 071849Z AUG 08
FM AMEMBASSY BUENOS AIRES
TO RUEHC/SECSTATE WASHDC 1727
INFO RUCNMER/MERCOSUR COLLECTIVE
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHRC/DEPT OF AGRICULTURE WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEHC/DEPT OF LABOR WASHINGTON DC

UNCLAS BUENOS AIRES 001099 
 
SENSITIVE 
SIPDIS 
 
PASS USTR FOR DUCKWORTH 
DOC FOR ALEXANDER PEACHER 
TREASURY FOR LTRAN 
USCINCSO FOR POLAD 
 
E.O. 12958: N/A 
TAGS: ECON EINV BEXP ENRG EIND AR
SUBJECT: ARGENTINA:COMMERCIAL SUCCESS STORIES, FEBRUARY TO 
JULY 2008 
 
REF: A. SECSTATE 78219 
     ¶B. SECSTATE 76388 
 
¶1. (U) Per reftels, Embassy Buenos Aires submits the 
following two recent commercial success stories for the 
period February to July 2008. 
 
¶2. (SBU) Date: July 2008 
Post/Department Office: Buenos Aires 
Action Officers: Ambassador E. Anthony Wayne, Commercial 
Counselor Brian Brisson (FCS) 
Country: Argentina 
Company: General Electric 
Trade Associations: N/A 
Company Headquarters (state and zip code): Fairfield, 
Connecticut 06431 
 
Issue/Project: U.S. Embassy Buenos Aires has been supporting 
General Electric's (GE's) efforts in Argentina for many 
years.  In 2007 and 2008, GE sold two gas turbines to Chubut 
province, which represents 20% of total GE estimated 2008 
sales in Argentina.  The first turbine was a USD 70 million 
dollar Ingentis I gas turbine that will be installed in the 
town of Dolavon.  The contract was closed 4Q 2007, and the 
units will be delivered 4Q 2008.  The second turbine was a 
USD 25 million dollar Ingentis II gas turbine that will be 
installed in the town of Esquel.  The contract was also 
closed 4Q 2007, and the unit will be delivered 4Q 2008. 
Ingentis I will provide additional power to the national 
grid, mitigating energy shortages experienced in Argentina, 
while the provision of additional energy to Chubut makes the 
province more attractive to future investment.  Ingentis II 
will provide energy to Esquel city and the excess will be 
sold to the national grid. 
 
Specific Actions Taken: In early 2007, Commercial Counselor 
Brisson made initial contacts with the Chubut Provincial 
government in support of GE.  In February 2007 Ambassador 
Wayne lobbied Chubut Governor Mario Das Neves regarding the 
sale of GE products related to two planned power generation 
projects in Chubut.  This visit influenced Chubut Province's 
decision to contract with GE.  The Governor and Ambassador 
discussed the progress of the program again in April 2008. 
In an August 2008 correspondence to EconOffs and in 2008 
conversations, GE attributed Ambassador Wayne's involvement 
promoting GE's products and capabilities as key to securing 
this important business opportunity with a total value of USD 
95 million.  GE added that it was very pleased and thankful 
for the support of the U.S. embassy and its staff. 
 
 
¶3. (SBU) Date: May 2008 
Post/Department Office: Buenos Aires 
Action Officers: Ambassador E. Anthony Wayne, Commercial 
Counselor Brian Brisson (FCS), Col. Joseph Napoli (MILGRP) 
Country: Argentina 
Company: Lockheed Martin Corporation 
Company Headquarters (state and zip code): Bethesda, Maryland 
20817 
 
Issue/Project: U.S. Embassy Buenos Aires has been supporting 
Lockheed Martin Corporation's (LM's) efforts in Argentina 
since LM took over an aircraft manufacturing facility from 
the Argentine Air Force in the city of Cordoba in 1995.  The 
LM Argentine subsidiary operating under the name of Lockheed 
Martin Aircraft Argentina S.A. (LMAASA) performs aircraft 
maintenance and overhaul services for military as well as 
commercial clients, and is producing an advanced jet 
trainer/light attack aircraft of Argentine/German design 
known as the Pampa.  In 2007, the contracts for these 
activities expired, and thanks to the efforts of the U.S. 
Embassy, and specifically the Ambassador, FCS and MILGRP, 
were successfully renewed. 
 
Specific Actions Taken: Throughout 2007, LM requested that 
Embassy Buenos Aires provide assistance in renewing their 
contract with the GoA.  Ambassador raised this issue during 
several meetings with high-level government officials, 
including President Cristina Fernandez de Kirchner, 
then-Cordoba Governor Jose Manuel De la Sota, and Defense 
Minister.  In addition, FCS and MILGRP staff contacted 
several key officials in the Ministry of Defense (MoD) to 
advocate on their behalf.  At LM,s request, Ambassador 
 
raised the need for the President to sign the contract with 
Cabinet Minister Alberto Fernandez in April.  As a result of 
these collaborative efforts, on May 5, 2008, LM reported that 
President Kirchner signed a decree approving LMAASA's 
contracts with the MoD through the year 2010.  In a letter to 
the Ambassador, LM attributed the U.S. Embassy's intervention 
as key to securing this important business opportunity for 
Lockheed Martin valued at USD 80 million.  These are two 
separate contracts for aircraft upgrades/engine repair and 
the manufacturing of Pampa jet trainers.  As a result, LM 
will continue to directly employ 1,000 specialized 
technicians, and indirectly impact 3,000 other jobs. 
WAYNE