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US plans massive arms sale to Saudi to counter Iran threat

France approves Safran takeover of SNPE Energy Materials
Paris (AFP) Sept 13, 2010 - An agreement in principle has been reached for French aerospace and defence group Safran to buy SNPE Energy Materials (SME), an aide to Economy Minister Christine Lagarde told AFP on Monday. "There is an agreement in principle concerning the offer for Safran to take over SNPE Energy Materials," with the support of state property agency APE, the aide said, requesting anonymity. Safran is involved in rocket engine building and has been working for months to acquire SME, a subsidiary of the state-owned SNPE specialising in rocket and missile propellant.

The two groups are both working on propulsion systems for France's M51 strategic nuclear missile and the Ariane 5 space rocket. Financial newspaper Les Echos reported that the deal's value would be based on a little over one year's revenue for SME, or 270 million euros (346 million dollars). SME employs around 2,400 people, with a research centre and two factories in France.
by Staff Writers
Washington (AFP) Sept 13, 2010
The United States plans to offer Saudi Arabia 60 billion dollars' worth of hi-tech fighters and helicopters to help counter the threat posed by Iran, in the largest ever US arms deal, officials said Monday.

A senior defense official said President Barack Obama's administration would formally notify Congress this week or next about the groundbreaking deal, which follows months of talks with the Saudis, who are increasingly anxious about Iran's missile arsenal.

"If you look at the kingdom, the major threat that they face in the region emanates from Iran," the official, who spoke on condition of anonymity, told reporters.

"And this gives them a whole host of defensive capabilities to defend the kingdom and deterrence capabilities."

US officials see the package as underscoring the strategic alliance between the two countries, despite serious strains over Middle East diplomacy and the aftermath of the September 11, 2001 attacks.

"The (Saudi) king sees this as very symbolic of the relationship we have with him and the kingdom," the official said.

In its notification to Congress, the administration will authorize the Saudis to buy as many as 84 new F-15 fighters and upgrade 70 more, as well as three types of helicopters -- 70 Apaches, 72 Black Hawks and 36 Little Birds.

The package would also include HARM anti-radar missiles, more precision-guided JDAM bombs, Hellfire missiles and sophisticated displays mounted on fighter pilots' helmets.

Although previous arms sales to Saudi have often encountered strong opposition from Israel and its allies in the US Congress, the administration expected the deal to win approval and that Israel would not object to the sale.

"The Israelis I think are fairly comfortable that this configuration is not a threat to their qualitative, military edge," he said.

Israel will be getting a more advanced, "fifth generation" US fighter jet in the F-35.

But congressional officials said the deal would be subject to tough scrutiny by lawmakers and might be revised.

"There is serious concern about some sensitive material which is expected to be included in the deal," said one source, who told AFP that Obama aides would brief congressional staff on the deal on Monday.

"You can fully expect that a hold will be placed on this deal," said another senior congressional source.

A "hold" would come from the chair or ranking member of the House Foreign Affairs Committee or Senate Foreign Relations Committee, which typically must sign off on arms transfers, and could change what is in the package.

It remained unclear if the Saudis would opt to buy the entire 60-billion package or a lower number of aircraft, the defense official said.

"But in any world, this is an enormous arms package. In fact, the notification is the largest of its kind in history," he said.

The administration is also in talks with the kingdom about potential improvements to the country's naval fleet and missile-defenses, which could be worth tens of billions of dollars more, the official said.

The Saudis were looking at possibly buying littoral combat ships, with the naval talks at a more advanced stage than discussions on ballistic missile defenses, he said.

Top American officials, including the military chief of the US Missile Defense Agency, have been urging Saudi leaders to purchase Terminal High Altitude Area Defense systems, or THAAD, and to improve the country's Patriot missiles.

Earlier, media reports said that to assuage Israel's concerns, the Obama administration had decided not to offer Saudi Arabia so-called standoff systems, which are advanced long-range weapons that can be attached to F-15s for use in offensive operations against land- and sea-based targets.



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