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UNCLAS SECTION 01 OF 03 STATE 122389 
 
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 Gyroscopic compasses 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 
Categories XI and XII - which includes gyroscopic compasses - 
may be subject to Missile Technology Control Regime (MTCR) 
restrictions and 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. 
 
¶4. ACTION OTTAWA: Mission Canada is requested to make 
inquiries with appropriate Bell Helicopter Txtrn Ltd. (Bell) 
and Elcan Optical Technologies (Elcan) officials to obtain 
all relevant details regarding the export of gyroscopic 
compasses to Canada citing the Canadian exemption, including 
exact commodity description and technical parameters for 
performance and capability, number, type, dollar value, and 
serial number of items.  (See paragraph 5 for details of 
export, including filer identification and shipping reference 
numbers.) 
 
The following questions are provided as suggested guidance: 
 
--What were the exact United States Munitions List (USML) 
articles exported to you on (for Bell) June 21st 2007, and 
For Elcan on January 21st, March 17th and May 6th 2008? 
(Automated Export System (AES) filing data provides the 
following information, for Bell "gyroscopic compasses other 
than el", and for Elcan "gyroscopic compasses, electrical, 
except for".)  Please provide detail on model, type and 
technical specifications. 
 
--What is the exact end-use for these USML items?  Will Bell 
(or Elcan) be the sole end-user and retain positive control 
over the gyroscopic compasses 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, "gyroscopic compasses 
other than el" 
 
Stated Value: USD 35,336.00 
 
Export Date - 21 June 2007 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 943083515 
 
Shipping Reference Number - 5459215234717 
 
Export Identification Code - 22264065000 
 
U.S. EXPORTER: 
 
Honeywell, Inc. 
23500 W. 105th St. 
 
STATE 00122389  002 OF 003 
 
SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK 
ON THE EXPORT OF U.S. DEFENSE ARTICLES CITING THE CANADIAN 
EXEMPTI 
Olathe, KS 66061 
POC is Ron Thorton, Tel. 913-712-2142 
 
ULTIMATE CONSIGNEE 
 
Bell Helicopter Txtrn Ltd. 
12 800 Rue De Lavenir 
Mirabel 
Canada J7J1R4 
POC is Joseph Dakka, No Tel. provided 
 
--EXPORT 2 - QUANTITY/COMMODITY: 
 
Quantity not provided 
 
Commodity - Vague description cited as, "gyroscopic 
compasses, electrical, except for" 
 
Stated Value: USD 14,175.00 
 
Export Date - 21 January 2008 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 30117050 
 
Shipping Reference Number - 58911X 
 
Export Identification Code - 95247994200 
 
U.S. EXPORTER: 
 
BAE Systems Inertial Products 
250 Knotter Dr. 
Cheshire, CT 06410 
POC is Mr. Gamanche, Tel. 203-250-3617 
 
ULTIMATE CONSIGNEE 
 
Elcan Optical Technologies 
450 Leitz Rd. 
Midland, Ontario 
Canada L4R5B8 
POC is Mr. Beiers, Tel. 705-528-7107 
 
--EXPORT 3 - QUANTITY/COMMODITY: 
 
Quantity not provided 
 
Commodity - Vague description cited as, "gyroscopic 
compasses, electrical, except for" 
 
Stated Value: USD 11,340.00 
 
Export Date - 17 March 2008 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 30117050 
 
Shipping Reference Number - 59243X 
 
Export Identification Code - 95247994200 
 
U.S. EXPORTER: 
 
Atlantic Inertial Systems, Inc. 
250 Knotter Dr. 
Cheshire, CT 06410 
POC is Mr. Strazzeri, Tel. 203-250-3617 
 
ULTIMATE CONSIGNEE 
 
Elcan Optical Technologies 
450 Leitz Rd. 
Midland, Ontario 
Canada L4R5B8 
POC is Mr. Beiers, Tel. 705-528-7107 
 
--EXPORT 4 - QUANTITY/COMMODITY: 
 
Quantity not provided 
 
Commodity - Vague description cited as, "gyroscopic 
compasses, electrical, except for" 
 
 
STATE 00122389  003 OF 003 
 
 
Export Date - 6 May 2008 
 
ITAR Exemption Number - 126.5B 
 
Filer Identification Number - 30117050 
 
Shipping Reference Number - 59611X 
 
Export Identification Code - 95247994200 
 
U.S. EXPORTER: 
 
BAE Systems Inertial Products 
250 Knotter Dr. 
Cheshire, CT 06410 
POC is Mr. Strazzeri, Tel. 203-250-3617 
 
ULTIMATE CONSIGNEE 
 
Elcan Optical Technologies 
450 Leitz Rd. 
Midland, Ontario 
Canada L4R5B8 
POC is Mr. Beiers, Tel. 705-528-7107 
 
¶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