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UNCLAS SECTION 01 OF 02 STATE 118567 
 
SIPDIS 
OTTAWA FOR LORI BALBI 
 
E.O. 12958: N/A 
TAGS: ETTC KOMC CA
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK 
ON THE EXPORT OF U.S. DEFENSE ARTICLES CITING THE CANADIAN 
EXEMPTION 
 
REF: 2006 BLUE LANTERN GUIDEBOOK 
 
¶1. This is an Action Request.  See paragraphs 2-4. 
 
¶2. The Department's Office of Defense Trade Controls 
Compliance (PM/DTCC) requests Embassy's assistance in 
conducting a post-shipment check on transactions citing the 
Canadian exemption for the export of satellite flight 
hardware to Canada.  Embassy is requested to complete this 
Blue Lantern check within 45 days.  Lack of response to a 
Blue Lantern check will affect pending and future licenses 
involving parties to this license. 
 
¶3. Reason for request: Under ITAR 126.5 (Canadian Exemption), 
certain United States Munitions List (USML) items may be 
exported to Canada without a license.  Some items on USML 
Category XV - which includes satellite flight hardware - may 
require a license depending on commodity specification and 
type.  DDTC requests this check based on vague description of 
commodity and end-use in export filing.  DDTC notes that 
end-user Macdonald, Dettwiler and Associates (MDA) has 
appeared on numerous DDTC licenses and is a bona fide 
recipient of USML items. 
 
¶4. ACTION OTTAWA: Mission Canada is requested to make 
inquiries with appropriate MDA officials to obtain all 
relevant details regarding the export of satellite flight 
hardware to Canada citing the Canadian exemption, including 
the exact description, number, type, dollar value, and serial 
number of items. 
 
The following questions are provided as suggested guidance: 
 
--What were the exact United States Munitions List (USML) 
articles exported to you?  (Automated Export System (AES) 
filing data provides the following information, "satellite 
flight hardware".) 
 
--What is the exact end-use for these USML items?  Will MDA 
be the sole end-user and retain positive control over the 
satellite flight hardware at all times?  Will they be 
transferred to other end-users in Canada or re-exported? 
 
--Does the company understand the restrictions on USML items, 
especially the prohibition against unauthorized re-transfer 
and re-export? 
 
END ACTION. 
 
¶5. Details of the AES filings: 
 
--EXPORT 1 - QUANTITY/COMMODITY: 
 
Quantity not provided 
 
Commodity - Vague description cited as, "satellite flight 
hardware" 
 
Stated Value: USD 21,300.00 
 
Export Date - 10 May 2007 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 752550831 
 
Shipping Reference Number - 1424546 
 
Export Identification Code - 06120956100 
 
--EXPORT 2 - QUANTITY/COMMODITY: 
 
Quantity not provided 
 
Commodity - Vague description cited as, "satellite flight 
hardware" 
 
Stated Value: USD 70,150.00 
 
Export Date - 11 May 2007 
 
STATE 00118567  002 OF 002 
 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 752550831 
 
Shipping Reference Number - 1424548 
 
Export Identification Code - 06120956100 
 
U.S. EXPORTER: 
 
Orbital Sciences Corporation 
21830 Atlantic Blvd. 
Dulles, VA 20166 
POC is Mr. Hatch, Tel. 703-948-8442 
 
ULTIMATE CONSIGNEE 
 
Macdonald, Dettwiler and Associates 
21025 Trans Canada Highway 
Ste. Anne De Bellevue 
Quebec 
Canada H9X3R2 
No POC provided 
 
¶6. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR 
and include the words "Blue Lantern" and the case number in 
the subject line.  POC is Tim Mazzarelli, Phone: 
202-663-3867; Email: MazzarelliTP@state.gov; SIPRNET: 
MazzarelliTP@state.sgov.gov.  The Blue Lantern Guidebook 
(ref) is available as a PDF file on Intellipedia: 
http://www.intelink.gov/wiki/ 
Blue Lantern End-Use Monitoring Program. 
 
¶7. Department is grateful for post's assistance in this 
matter. 
CLINTON