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DE RUEHSG #1088/01 3171729
ZNR UUUUU ZZH
R 131727Z NOV 09
FM AMEMBASSY SANTIAGO
TO RUEHC/SECSTATE WASHDC 0259
INFO RHEFDIA/DIA WASHINGTON DC
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC
RUEAIIA/CIA WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUEHAC/AMEMBASSY ASUNCION
RUEHBO/AMEMBASSY BOGOTA
RUEHBR/AMEMBASSY BRASILIA 0155
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RUEHCV/AMEMBASSY CARACAS 0088
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RUEHSG/AMEMBASSY SANTIAGO

UNCLAS SANTIAGO 001088 
 
SIPDIS 
STATE FOR R/MR, I/PP, WHA/BSC, WHA/PDA, INR/IAA 
 
E.O. 12958: N/A 
TAGS: ECON KMDR KPAO PGOV PREL SNAR EFIN CI
SUBJECT: Santiago Nov. 13 Media Report 
 
Lead Story 
 
¶1.            Today is the beginning of the electoral propaganda 
period for the December 13 presidential and parliamentary election 
(All dailies 11/13). 
 
 
 
U.S.-Related News 
 
¶2.      With a notification to Congress, the USG authorized the 
sale of 100 AMRAAM missiles to Chile.  With the authorization, 
Chile could now go ahead and buy used F-16s from Holland.  In South 
America only Brazil and Chile have these defense systems; Peru has 
the Russian equivalent that it bought ten years ago. The Pentagon 
also authorized the sale of Sentinel and SINCARD radar systems. 
Defense Minister Francisco Vidal said that at this time Chile is 
just gathering "quotes" and the authorization does not mean it will 
buy the systems.  Vidal also said that the final cost of an 
eventual purchase would be "significantly lower" than the amount 
authorized by the U.S. Congress. This year Chile announced it would 
carry out several military acquisitions, which has led to repeated 
accusation from Peru of engaging in an arms race (Conservative, 
independent La Tercera, 11/13). 
 
 
 
¶3.            The Defense Security and Cooperation Agency notified 
Congress of a possible military sale to Chile for US$665 million 
dollars. Defense Minister Francisco Vidal said that no decision has 
been made on the purchase.  He also underscored that Chile is not 
in an arms race and cited the Agency's notification to Congress on 
make this point.  U.S. Ambassador Paul Simons explained that the 
agency must notify Congress of all possible sales, noting the 
transparency of the system.  Defense analyst Raul Sohr:  "Chile is 
very armed, I would say over-armed and has the highest per capita 
military expense in Latin America.  I personally see no reason for 
it" (Radio Cooperativa online 11/13). 
 
 
 
¶4.      Defense Minister Vidal confirmed that the U.S. Congress had 
authorized the potential sale of missiles and radar systems to 
Chile for a maximum of US$665 dollars.  Vidal said that the 
purchase is not a done deal and that the military could look for 
other alternatives. Vidal said the authorization would "contribute 
to upgrade the capability of Chile's military and its 
interoperability with other countries without altering the basic 
military balance, because it would contribute to the foreign policy 
and national security of the United States by improving the 
security of a friendly nation -- us-- that has been and continues 
to be an important force for political stability and economic 
progress of South America" (Government-owned La Nacion, 11/13). 
 
 
 
¶5.      The Defense Security and Cooperation Agency notification 
includes Stinger missiles, Sentinel radar systems, and AMRAAM 
missiles that could be used to equip F-16s.  Defense Minister Vidal 
said that the Army and Air Force need to renew anti-aircraft 
defense systems that have been in use for the past 40 years.  He 
said that there is an ongoing search for these systems and that the 
military could eventually buy other equally competitive weapons 
systems. He said these acquisitions would not alter the military 
balance in the region and used the Agency's notification to 
Congress to rule out an arms race.  Vial also noted that Peru 
bought the same type of systems years ago (Conservative, 
influential El Mercurio, 11/13). 
 
 
 
Chile- Peru 
 
¶6.      An Intelligence Peruvian Air Force petty officer was 
arrested in Peru for spying for Chile. The officer worked for the 
Peruvian Embassy in Santiago in 2003 and was arrested as he tried 
 
to recruit another co-national as a spy. He faces charges for 
treason and if convicted could face life imprisonment (El Mercurio, 
11/12). 
 
 
 
Other 
 
¶7.      A 6.5 degree earthquake on the Reichter Scale hit northern 
Chile yesterday.  The quake lasted 28 seconds and left 50 percent 
of the city of Iquique without electricity.  There were no personal 
injuries (La Tercera, 11/13). 
SIMONS