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This post is just a collection of odds and ends about stuff I am interested in and will be updated periodically. At the moment, I am following the Curt Weldon and Harry Sargeant III  stories.

 


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PHI Names Major General James E. Livingston, USMC to Board of Directors - Ret

LAFAYETTE, La.--(BUSINESS WIRE)--July 14, 2000

Carroll W. Suggs, Chairman, President and CEO of Petroleum Helicopters, Inc. (PHI) (Nasdaq:PHEL) (Nasdaq:PHELK) announced today the election of Major General James E. Livingston to the PHI Board of Directors.

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The LYRF hosted the 2001 Young Republican National Convention which attracted hundreds of delegates from the across the nation and national speakers such as Marc Racicot, Asa Hutchinson, Ralph Reed, Wayne LaPierre and David Horowitz.

The Louisiana Young Republican Federation and Greater New Orleans Republicans hosted the 2001 Young Republican National Convention from Wednesday, June 13, through Sunday, June 17, 2001. Young Republicans from over 40 states met at the Hyatt Regency to elect new leaders for the Young Republican National Federation and hear from an array of Republican speakers, including: NRA Executive Director Wayne LaPierre, former Christian Coalition Executive Director Ralph Reed, National Review Editor Rich Lowry, David Horowitz, Taylor Energy CEO Patrick F. Taylor, Congressmen David Vitter, John Cooksey, Billy Tauzin, Asa Hutchinson, Ron Paul, Curt Weldon, and Saxby Chambliss, State Representatives Hunt Downer and Steve Scalise and Elections Commissioner Suzanne Terrell.

...Later Congressmen David Vitter, Saxby Chambliss, and Curt Weldon, as well as Major General James Livingston discussed national defense.

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THE LIVINGSTON GROUP ADDS US MARINE MAJOR GENERAL AS AFFILIATE.
For Immediate Release
October 29, 2004

Washington, DC – The Livingston Group (TLG) of Washington, DC announced today the affiliation of Major General James E. Livingston, USMC (Ret). General Livingston, a Medal of Honor recipient and former real estate finance executive in New Orleans, will open an office in Charleston, SC, where he will work with TLGclients at the local, state and federal levels.General Livingston retired from the military in 1995 following a career of over 34 years of active duty withthe US Marine Corps. His commands have included the Marine Corp Air Ground Combat Center, the First MarineExpeditionary Brigade, the Fourth Marine Division and - in 1992 - the newly created Marine Reserve Force.He is a graduate of Auburn University, as well as the Amphibious Warfare School, the Marine CorpsCommand and Staff College and the Air War College. His decorations include the Medal of Honor, DistinguishedService Medal, Silver Star Medal, Bronze Star Medal and the Purple Heart with three awards. He is also aqualified military parachutist.Bob Livingston, founding partner and Chief Executive Officer of TLG, offered a warm welcome to thenewest of TLG’s affiliates. Said former Congressman Livingston: “I have known the General for many years andhave a deep respect for his integrity, his drive and his judgment. His network in the defense community, as well ashis business experience, brings unique advantages to existing and future clients.”Before joining TLG, General Livingston enjoyed a successful career in commercial real estate andfinancial services in the Greater New Orleans area. While working as Executive Vice President of ColumbusProperties, he also served on a number of boards: First Bank and Trust (Vice Chairman), Peoples Bank of Amiteand Innovus Incorporated. He is a current Presidential appointee to the Committee to Review Veteran Benefitsand was a member of a number of voluntary boards: National D-Day Museum (Chairman), Boy Scouts, Red Crossand the Louisiana State University Medical Foundation.“I appreciate the opportunity to join a great team at TLG”, said General Livingston. “Bob has built a worldclass organization with an attractive base of clients, and I look forward to working on projects throughout theSoutheast and at the national level.”The Livingston Group, LLC was started in 1999 with four partners, including former House AppropriationsChairman Bob Livingston. The firm now has over 30 professionals covering seven distinct practice areas.Recognized as one of the fastest growing government relations firms in Washington, DC, TLG also providesmarketing services and public affairs counsel in the areas of coalition building, media outreach and crisiscommunications. A complete overview of their practice areas, personnel and performance, including arepresentative client list, is available at www.livingstongroupdc.com.* Editors Note - General Livingston and former Congressman Livingston are not related *Contact: Jim Pruitt 202-289-9881

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FORMER THOMPSON NATIONAL VETERANS CO-CHAIR, MEDAL OF HONOR RECIPIENT MAJOR GENERAL JAMES E. LIVINGSTON, JOINS TEAM MCCAIN

For Immediate Release
Contact: Press Office
Friday, January 25, 2008
703-650-5550

ARLINGTON, VA U.S. Senator John McCain’s presidential campaign today announced that Major General James E. Livingston, USMC (ret.), recipient of the Congressional Medal of Honor and former National Veterans Co-Chairman for Fred Thompson, joined over 100 former general and flag officers to endorse John McCain for President of the United States.

Louisiana Young Republicans

2002 Board of Directors

Chairman Scott Schneider

Vice-Chairman Russell Caso

National Committeeman Jason Hebert

National Committeewoman Elizabeth Gray

Vice-President of Club Development Michele Avery

Vice-President of Finance Billy Tauzin, III

Secretary Stephen Gele


Rep. William L. Gray III, a Democrat representing a district in Philadelphia, was first elected to Congress in 1978 and served until 1991. In his last term, Gray was the majority whip and he became the highest ranking black member of Congress in history.

After a 13-year term as president of the United Negro College Fund, Gray joined the Pittsburgh law firm of Buchanan Ingersoll last year. He also serves on the board of directors of Pfizer and several other corporations.

In 1989, Attorney General Richard Thornburgh made a what has been described as "unusual" announcement that Rep. Gray was not a target of an investigation. Thornburgh then proceeded to investigate Gray for the next two years. Apparently, the investigation ended when Gray decided not to run again in 1991.

At the same time he was investigating Gray, Thornburgh decided to run for US senator in Pennsylvania.

Neil Godick was Gray's personal accountant who had set up some sort of accounting system for Gray. He agreed to be a cooperating witness in the Gray investigation. Godick's subsequent conviction for bank fraud in 1991 was based on a fraudulent 1984 bank loan application and had nothing to do with Gray. Gray was never charged with a crime.

Godick, a former partner with Ernst & Young, must have had friends in high places. His career flourished after he cooperated with Thornburgh and his conviction for fraud apparently attached no stigma to him.

In 1994, Neil Godick was still on probation when he was running around Russia looking at weapons technology with nuclear physicists.

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From an 11/20/94 St Louis Dispatch story, "US Navy Experts Bring Back Bargains After Visit To Russia":

"A delegation of U.S. naval experts is taking home bags bulging with little-known technologies after an unprecedented shopping trip to St. Petersburg, Russia's shipbuilding capital.

The haul from the weeklong spree this month down the aisles of institutes once strictly off-limits to outsiders "exceeded our expectations," said Neil Godick, president of PhLburg Technologies, based in Pennsylvania.

Godick's delegation included retired Adm. Wayne Meyer; Patrick Parker, a former assistant secretary of defense; and Reuven Leopold, who designed most of the U.S warships afloat today.

The Americans met with Russian scientists and naval officials under the auspices of St. Petersburg's Marine Technologies Conversion Fund, which has about 450,000 specialists at its disposal. During the Soviet era, 60 percent to 80 percent of the city's industry was military-related.

Godick said his group aimed to:

- Identify "unique" or "more efficient" technologies with a "clear commercial use either in the consumer or defense area."

- Obtain contracts to represent the technologies.

- Find licenses to manufacture and market them.

He said his group had been most impressed by a "cold welding" technique that uses pressure instead of heat. "We all looked at it, looked at it again and said, 'It works. But how is it done?' "

Other items that aroused particular interest included a submersible scooter, an electrostatic oil filtration process allowing recycling, a substance that binds spilled oil and rocket fuel, superhard coatings, non-Freon refrigeration, an all-fuel internal combustion engine, a large hovercraft and a new rock-fracturing technique.

Arseny Berezin, vice president of the conversion fund, said: "There was a time when we thought of each other as mutual enemies. Now we're looking for mutual cooperation." He is a nuclear physicist who worked on the Soviets' atomic bomb program.

He stressed that Russia, under severe financial strain in its transformation to market economics and lacking venture capital, also had much to gain from the sale of its technology. "This is not a one-way street. The products will be used here as well, jobs will be created for Russians and cooperation will promote development.

"If we relied on our government structures, all of this intellectual wealth would die. This is the beginning of real cooperation in heavy industry. Pepsi is good, but it isn't everything."

Godick said he was offering his Russian partners a 50-50 split of all the profits. Berezin noted that Russian scientists "turn to America first" for joint projects. "Americans can get excited at crazy ideas just like the Russians. We both like to make something big, to challenge the gods."

Nothing like putting yourself on the side of the enemy - were you there in person? Could you honestly tell what her motives were without reading the transcript? Personally I think it took a lot of moxie, but you're obviously unpersuaded by any effort on your behalf.

I suppose you plan on voting for the Green Party, right?

05.06.2008

Ukraine's Fast-Emerging Healthcare and Pharmaceuticals Market Is Open For Business

Ukraine's fast-growing healthcare and pharmaceuticals market (20%+ growth in 2006-2007) took center stage at the "21st Century Pharmaceutical Production and Health Care Research & Delivery in the Commonwealth of Independent States" symposium on May 28, 2008. Held at the Ritz-Carlton Hotel in downtown Washington, D.C., this first annual international conference explored the many medical and pharmaceutical business opportunities now emerging in the Commonwealth of Independent States (CIS).

MaxWell USA, LLC organized and hosted the all-day event. MaxWell USA is the chief American subsidiary of MaxWell Biocorporation, an international medical and pharmaceutical company based in Washington, D.C. MaxWell is dedicated to increasing the life expectancy and improving the quality of life in Ukraine and other underserved emerging healthcare markets in the former Soviet Union.

The MaxWell symposium featured concurrent research and business tracks and a keynote address by former Member of Congress and veteran Ukraine proponent Curt Weldon. It drew nearly 150 attendees and speakers from the medical, business, legal, and NGO communities in the United States, Ukraine, and Russia.

"Given the acumen and enthusiasm of the many scientists and business professionals who contributed to our symposium, I am optimistic that our work in Ukraine and beyond will progress rapidly," said MaxWell Biocorporation founder, President and CEO Dr. Kenneth Alibek. "As we work to increase life expectancy and improve quality of life across Ukraine and the CIS, the dedication of these and many other professionals, who are also fine humanitarians, will add a priceless component to these efforts."

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LA Times

FEAR INC. – A TIMES INVESTIGATION - Selling the threat of bioterrorism - A scientist defected, warned of epidemics, helped shape policy and sought to profit.

By David Willman
July 01, 2007

In the fall of 1992, Kanatjan Alibekov defected from Russia to the United States, bringing detailed, and chilling, descriptions of his role in making biological weapons for the former Soviet Union.

As a doctor of microbiology, a physician and a colonel in the Red Army, he helped lead the Soviet effort. He told U.S. intelligence agencies that the Soviets had devoted at least 30,000 scientists, working at dozens of sites, to develop bioweapons, despite a 1972 international ban on such work.

He said that emigrating Russian scientists and others posed imminent threats. After the breakup of the Soviet Union, he said, several specialists went to Iraq and North Korea. Both countries, he said, may have obtained anthrax and smallpox. The transfer of smallpox would be especially ominous because the Russians, he said, had sought to genetically modify the virus, posing lethal risk even to those who had been vaccinated.

His expertise, combined with his dire pronouncements, solidified his cachet in Washington. He simplified his name to Ken Alibek, became a familiar figure on Capitol Hill, and emerged as one of the most important voices in U.S. decisions to spend billions of dollars to counter anthrax, smallpox and other potential bioterrorism agents.

“It was Alibek’s revelations, when he defected, that really provided the first information about the scope” of both the Soviet program and the possible proliferation to Iran and Iraq, said Dr. Thomas Monath, who was a top biodefense specialist for the U.S. Army.

Monath, who later led a group of experts that advised the Central Intelligence Agency on ways to counter biological attacks, said Alibek’s information resonated at high levels of the U.S. government and was “amplified by 9/11.”

“I think he influenced many people who were in position to make some decisions about response,” Monath said, adding, “Concern about smallpox, in particular, was driven by Alibek.”

Dr. Kenneth W. Bernard, who served President Bush as a special assistant for biodefense, agreed, saying that Alibek “had a substantial and profound effect.”

Having raised the prospect that Iraq had acquired the ability to wield smallpox or anthrax, Alibek also was outspoken as the U.S. went to war in early 2003, saying there was “no doubt” that Saddam Hussein had weapons of mass destruction....

Per FEC:

Contributions to Curt Weldon:

10/03 - Donald Bolinger, Bolinger Shipyards, LA
10/03 - Benjamin Gerald Bordelon, LA
10/03 - Beau Boulter, Beau Boulter LLC, VA?
10/03 - Paul Cambon, Livingston Group, VA
10/03 - Martin Cancienne, DMC LLC, LA
10/03 - Mary Galloway, Applied Enterprise Solutions, LA
10/03 - Gayle L. Petty Johnson, LA
10/03 - Claude Kelly, LA
10/03 - Richard Legendre, Livingston Group, LA
10/03 - Robert Livingston, DC
10/03 - William Seeman, LA
10/03 - David Voelker, Frantzen, Voelker Investments, LA

Note: The foregoing contributions were all made on 10/03/05.

Per FEC:

Contributions to Rep. David Vitter:

10/03 - John J. Gallagher, PA

Due to Signatures Restaurant: $1,846

Per FEC:

David Vitter For Congress amended more than two years of filings to include the $1,846 owed to Signatures. In April 05, Vitter reimbursed himself for paying the Signature debt.

Per House Lobbyist Database:

Partial list of Beau Boulter clients:

Augusta Wetland
Proxy Aviation
Alenia North America
Oto North America
Fincantieri Marine Systems (formerly FDGM)
American Technology Corporation
Avineon
Finmeccanica
VigiComm
CapitolWatch
United Seniors Association
Major Medicaid Hospital Association
Renova
Republic of Kazakhstan

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Per FARA database:

4/25/05 - Kazakhstan - Livingston Group

A search for Livingston turns up a number of registrations for entities associated with Robert J. Livingston:

Livingston Group
Livingston/Moffatt Global Consultants
Livingston-Soloman Group

The names of a number of Livingston's clients are only available at the FARA public office.

Countries listed in FARA database as Livingston clients:

Turkey
Cayman Islands
Taipei
Morocco
Republic of Congo
Netherland Antilles - Bank of Netherland Antilles
Azerbaijan
Libya
Panama - UNI-2 Christian Group Association
Croatia
Iraq
Ecuador
Mexico - State of Yucatan

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Per Livingston Group operating agreement:

Partners % interest:

Robert L. Livingston - 52%
J. Allen Martin - 16%
Rick Legendre - 16%
Paul Cambon - 16%



11/29/06 - Winston Churchill High School newspaper:

"For English teacher Sherrill Caso, serving in the Navy gave her discipline, which assisted her in becoming a more successful teacher and allowing her to efficiently run an orderly classroom."

7-8 2007 Churchill PTA bulletin:

Sherrill Caso returning to law school.

Spring 2003 SE LSU Dean's List:

Sherrill B. Caso of Sidell

1/18/04 Natchez Democrat:

...Survivors include her husband, George S. Comer; two daughters, Carolyn C. Boydstun and her husband, David of Shreveport and Von C. Britt of Slidell; three grandchildren, David H. Boydstun, Jr. and his wife, Kristie, of Ferriday, Sherrill B. Caso and her husband, Russ, of North Potomac, Md., and Jennifer B. Herring and her husband, Kelly of Aurora, Ill.; two great-grandchildren, Russell J. "Trey" Caso III and Andrew Comer Caso; her brother Victor Henry Sevier, Jr. and his wife Dot of Houma.

Pallbearers will be David Boydstun, Jr., Russ Caso, Kelly Herring, Victor H. Sevier III and Matthew B. Sevier.

Sherrill Caso's Facebook friends:

Laura Whelan - DC
John Tomaszewski - DC
Gabriella Borovsky - DC
Yevgeny Bendersky - DC (Weldon Staffer)

www.kommersant.com
Dec. 15, 2006

Sergey Chemezov Scores a Monopoly Rosoboronoexport Becomes Russia's Lone Arms Exporter

A second export monopolist has appeared in Russia: joining Gazprom CEO Alexey Miller is Rosoboronexport head Sergey Chemezov. Russian President Vladimir Putin has signed a decree making Rosoboronexport the lone Russian arms exporter as of March 1, 2007, a move that will net the company more than $600 million in annual sales abroad. Independent producers of military technology will now be allow to export only spare parts and repair previously-sold items. Experts note that for Mr. Chemezov, who on December 2 joined the supreme council of Mr. Putin's "United Russia" party, the decree has at least as much political as economic significance.

The decision was adopted on December 7 at a closed session of the commission on military technology cooperation. According to an anonymous source who attended the meeting, "Sergey Chemezov made a case for the advantages of trading weapons only through a government middleman, and the president approved that proposal."

Rosoboronexport told Kommersant that "the decree will allow us to avoid domestic competition between Russian producers of military technology on the foreign market." Rosoboronexport has around 40 representatives abroad and claims that "no negotiations are opened without first consulting the embassies in the appropriate countries."

The signing of the decree is a coup for Mr. Chemezov: Rosoboronexport has been pitching the proposal to the president since at least February 2005, but until now Mr. Putin has withheld his support and even publicly criticized the idea.

As a result of the decree, four companies will lose their export licenses for finished military technology products, including the fighter jet producer MiG. According to information from the federal commission on military technology cooperation, in 2005 the four companies together sold $626 million worth of finished products abroad, of which a share of $306 million belonged to MiG. Last year, Rosoboronexport sold arms worth $5.2 billion, a number that is now expected to rise by more than 10%. The company's commission is 5-15% of the sum of a contract.

Experts note that Rosoboronexport head Chemezov, who served with Mr. Putin as a KGB officer in Germany before the demise of the Soviet Union, is not interested in the extra 10% so much as in the political implications of the president's decision to sign the decree. Mr. Chemezov's star has been rising fast, and Mr. Putin's sudden support for the export monopoly bill is a sure indicator of the president's favor and trust in Mr. Chemezov, particularly in the wake of his new membership in the United Russia party's supreme council.

Russia Profile.org
September 5, 2007

ZAO KREMLIN: The Chemezov Code
By Graham Stack

Sergei Chemezov, head of the state-controlled arms export agency Rosoboronexport and chief of the shadowy Siloviki Kremlin securities clan, carries a copy of Dan Brown's conspiracy thriller "The Da Vinci Code" whenever he flies.

"A very useful book," says maybe the most powerful man in Russia after President Vladimir Putin. But then adds, in case anyone gets the wrong impression, "sends me to sleep in two minutes."

Over the last two years, Rosoboronexport has transformed itself from a government office handling Russia's trade in weapons into a state-owned corporate raider that has launched a string of hostile takeover bids.

Rosoboronexport is now considered to be the key holding in ZAO Kremlin, the financial-industrial-military conglomerate that the Kremlin is building. It owns carmaker AvtoVAZ, helicopter plants, steel mills, engine builders, investment funds and metallurgical plants, among other things. Altogether, Rosoboronexport is represented on the board of directors of more than 20 export-oriented concerns, including Sukhoi, Almaz-Antei, Tactical Rocket Weapons, Ulan Ude Aviation Plant, OAO Moscow Helicopter Plant Milya and others.

The man in the shadows

Sergei Chemezov was born in 1952 in Irkutsk, and with training in the special services, arrived in Dresden, East Germany in 1983 as representative of an industrial association. Shortly afterwards, a young KGB agent from Leningrad moved into the same house. That young man's name was Vladimir Putin, and over a period of four years they were neighbors and friends as well as colleagues.

When Putin was hired by the late-president Boris Yeltsin to work in the presidential administration in 1996, Putin got a job for his Dresden-days buddy in the same department.

Chemezov's career in arms exports started with Putin's appointment as prime minister in 1999 and a year later the now President Putin appointed Chemezov deputy head of Rosoboronexport. One of Putin's very first actions as president was to take control of the state arms export agency, a nest of corruption and influence peddling. By April 2004, a month after Putin began his second term as president, Chemezov was promoted to head of the agency. It was as if the last four years were a preparation for this point and Chemezov's appointment marked the start of a new direction for Russia and a changing of the guard, as Yeltsin's team was eased out of the Kremlin and replaced by loyal Putin-ites.

Immediately Rosoboronexport subsidiaries started snapping up shares of lucrative enterprises - and not only in the defense sector, but right across the industrial spectrum. Chemezov claims there is nothing sinister going on. He quips that, "one man's de-privatization conspiracy is another's quest for diversificatio

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Anyone watching Chemezov in action will soon start to feel like Robert Langdon, Brown's hero of "The Da Vinci Code", who believed he was surrounded by an intricate and powerful cabal that wields enormous unseen power. Clearly the leading state enterprises are closely interwoven. Take for example the appointment of Sergei Makarov as Rosneft's chief financial officer in June. Makarov was the CEO of helicopter-maker Oboronprom in 2003, but moved to state-owned VTB Bank in 2005 before landing at Rosneft - all these firms are closely associated with the Siloviki and represent their main interests in defense, finance and energy.

The Oboronprom holding has proven to be highly successful hybrid that marries both the state and commercial aspects of Chemezov's vision for how Russia's economy should be developed. Also in June, Rosoboronexport said it was considering a move into yet another sector with a new huge electronics holding using the same template.

"We are going to found holdings similar with Oboronprom in structure. For instance, we are developing a concept of a large electronics producing holding jointly with the Russian Agency for Industry now," Chemezov said on the sidelines of the Paris Airshow earlier this year.

Chemezov denies that Rosoboronexport is just looking to pile up property. "We set up Oboronprom to restructure the defense sector in a civilized manner, within the framework of the law and under state control. Our aim is not to exercise control over the capital of defense enterprises. We don't even have a controlling share packet in Oboronprom. In order to exert influence, it is often enough for us to manage the state's share packets." But he adds that Rosoboronexport invests its profits in acquiring additional shares.

Chemezov believes the state should supervise key branches of the economy and the role of foreigners should be limited, but this does not mean Chemezov is against foreign participation. The opposite is true: Chemezov believes it to be, "absolutely obvious" that international collaboration is vital for the defense sector, pointing out, for instance that Sukhoi and the Italian Finmeccanica subsidiary Alenia Aeronautica have signed an agreement on strategic partnership in creating the Russian Regional Jet, with Alenia gaining a 25% share in the project.

But the Russian state will take the lead in all these projects. Rosoboronexport and Oboronprom have been successful in handing control to the state and at the same time making money. Rosoboronexport's exports have grown from about $3bn a year in 2000 when Putin took over to the $6bn the agency is expect to earn for the Treasury this year.

Rosoboronexport has intervened in non-defense sectors to effectively de-privatize key enterprises. The case of the troubled car-maker AvtoVAZ, of which Rosoboronexport now aims to own 75%-plus-1 share on completing its takeover, attracted hostile international attention. This is Chemezov's version of events: "In December 2005, we started an operation to rescue AvtoVAZ. In one year we achieved a lot. Most of all, we eliminated criminality, which was sucking the plant dry like a cancer, and threatening to bring about its complete collapse. Remember that only recently full-scale criminal wars were being waged in Tolyatti, costing hundreds of lives. I don't want to dwell on this topic. I believe that organized crime has been driven from the factory for good."

"However outlandish it might seem, the significant growth in profits we achieved was mostly just a result of eradicating crime and theft at the plant. We cut costs by almost a third in one year, and growth in profit was up 40% year on year."

Rosoboronexport's acquisition of 66% of Russian titanium producer VSMPO-Avisma in 2006 was a similar story. The plant provides a third of Boeing's titanium needs and half of Airbus requirements, and demand for titanium is due to double in the coming years. "Sooner or later," argues Chemezov, "VSMPO-Avisma would have ended up dependent on foreign investors. And together with it, the entire Russia aerospace sector. If the state had not intervened, then Russian companies, and not Boeing or Airbus, would have been queuing up for Russian titanium."

A joint venture has been set up with Boeing to manufacture titanium components in Russia rather than exporting it as raw material.

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Global Insight
April 28, 2008

Creation of World's Largest Mining Corporation Proposed in Russia

The head of one of Russia's key state corporations, Rostekhnologii, and a close personal friend of President Vladimir Putin Sergei Chemezov has sent the President a letter informing him that the corporation has the assured cooperation of Norilsk Nickel, Russia's top producer of precious and non-ferrous metals, and Metalloinvest, the country's largest producer of iron ore, to jointly bid for the exploration of the Udokan copper field. The third largest resource in the world, holding some 15% of the globe's copper resources, Udokan in the Baikal area of Russia contains some 14.4 million tonnes of copper, 7,300 tonnes of silver and 1.9 tonnes of gold. Chemezov also asked for the state share in the two joint Russia-Mongolia ventures, Erdenet and Mongolroscvetmet, which produce copper, gold and coal, ultimately proposing the creation of the world's largest ore mining and smelting company which would control some 9-10% of the world copper market. It would also lay claims to the Sukhoi Log, the largest gold field in Eurasia with some 205 tonnes of gold, that has not been awarded an exploration licence yet.

Chemezov has put in his proposal for the Udokan field licence tender to be held on 17 July, and Putin has already ordered Prime Minister Viktor Zubkov to "carefully assess" the initiative, according to Kommersant. The decision has yet to be made, as Chemezov is not the only trusted friend of Putin, and other stakeholders will fight to put the brakes on his advancement. The Ministries for Trade and Economic Development and for Natural Resources have already argued against feeding the appetites of Chemezov's mushrooming corporation, which was only created in November 2007 on the basis of arms and military equipment producer and has already spread into the automobile sector while aiming to become Russia's top air carrier. Another state corporation, Russian Railways, headed by another presidential friend Vladimir Yakunin, is joining forces with Vnesheconombank (VEB) and the Urals ore mining company to bid for the Udokan field. The continued competition of the Russian oligarchs will also have an impact on the Udokan licence.

The plan to create the world's top copper producer was itself made possible by the recent manoeuvres by Russian business tycoons that exposed one of the veterans of Russian business Vladimir Potanin, prompting him into action. Last week (25 April), his former business partner Maxim Prokhorov sold his share in Norilsk Nickel to rival Oleg Deripaska, currently Russia's richest oligarch and the owner of the world's top aluminium producer RUSAL. This put RUSAL's share (25% plus 1) in Norilsk Nickel precariously close to Potanin's own (25.3%). Potanin will have to act swiftly to prevent the already declared intention of Deripaska to merge Norilsk Nickel with RUSAL. An urgent meeting of Norilsk Nickel directors will be held tomorrow, and alliance with Chemezov over the Udokan field and with Usmanov's Metalloinvest is expected as an assault and safeguard measure.

Outlook and Implications

Chemezov's initiative to create the world's top copper producer could signal a new stage in the relations of Russia's mightiest economic heavyweights. It also exposes the strong ties between the private and state sector in Russia, as oligarchs, state managers and officials form visible alliances to advance their joint interests and block competitors' initiatives. Russia's large-scale corporate business was never for those without nerves of steel; it has evolved from the crime- and assassination-tainted period of the 1990s to a more structured and formalised terrain without losing its intensity, and has spread wide into the political sphere. The bid over the Udokan licence is a reminder that Russia is not as monolithic as it often appears to be, at least in the economic sphere. The competition is there, fierce, intense and ruthless, with results that are often unpredictable but ultimately having an impact on markets far beyond the country's borders.

Moscow Times
3/19/08

Arms Chief in Race to Grab Assets
By Max Delany
Staff Writer

With his balding head and benign air, Sergei Chemezov seems more like a small-town shopkeeper than the man in charge of one of the world's largest arms exporters.

Since the turn of the year, the usually publicity-shy Chemezov, a close ally of President Vladimir Putin's who heads the newly formed state corporation Russian Technologies, has been at the center of the media spotlight.

The reason for all the attention is Chemezov's seemingly insatiable ambition to grab state assets in up to 250 companies -- from passenger airlines to Mongolian coal mines -- as Russian Technologies, dubbed a new "industrial Gazprom," looks to carve out its startup capital.

Set up late last year on the foundations of state arms exporter Rosoboronexport, which Chemezov also headed, Russian Technologies was given a broad remit to boost the country's ailing technology sector by attracting much-needed investment. But the corporation's mandate has now become so vague that Interfax has simply started referring to it as "consolidating various assets in various economic sectors."

In December, Chemezov submitted a list of nearly 250 state assets that Russian Technologies was seeking to control, Kommersant reported. Analysts see the current wrangles, and the publicity they have attracted, as part of a wider tussle for control going on among the country's ruling elite ahead of the inauguration of President-elect Dmitry Medvedev in May.

Chemezov has previously said he hopes to see the state corporation fully formed by the end of this month.

Although Russian Technologies' acquisition efforts have been one of the most talked-about business stories this year, the corporation itself, the companies on its hit list and the government bodies involved have been reluctant to talk about the specifics on the record.

Chief among the state corporation's goals appears to be an ambitious plan to create a competitor to the country's leading airline, Aeroflot, by claiming the government's stakes in a range of passenger carriers, including consortium AirUnion, S7 (formerly Sibir), Rossia and Vladivostok Avia.

Last week, Prime Minister Viktor Zubkov hosted a meeting with Economic Development and Trade Minister Elvira Nabiullina, Transportation Minister Igor Levitin and Industry and Energy Minister Viktor Khristenko to discuss handing over the assets, Interfax reported, citing unnamed sources from the meeting. A government spokesman said later, however, that the meeting did not appear on Zubkov's schedule, while spokespeople for the ministries declined to comment.

Although Nabiullina raised objections over damaging competition in the sector and the fact that Russian Technologies "has not yet presented an intelligible consolidation program," the government is inclined to give the green light to the project, Interfax reported.

Russian Technologies will present a proposal to the government on incorporating the assets this week, Interfax said.

Officials at Russian Technologies have refused repeated requests over the past month to reveal the full list of assets that the company is eyeing up, and interview requests for this article with senior managers at Russian Technologies and Rosoboronexport have been similarly declined.

A steady series of leaks to the media from people close to both companies have given some indication, however, of the possible takeover targets.

Curiously, Atlas, the company that created the EGAIS system for monitoring the country's alcohol sales, figures on Russian Technologies' purported hit list. A spokeswoman for Atlas said the company's management backed Russian Technologies' efforts to take control of the firm.

Russian media have also said stakes in truck maker KamAZ, power station builder Technopromexport and UralVagonZavod, which makes tanks and train wagons, are all on Chemezov's hit list.

Currently valued at about $25 billion, the Rosoboronexport empire already includes car giant AvtoVAZ, the world's largest titanium producer, VSMPO-Avisma, specialist steelmaker RusSpetsStal and helicopter maker Oboronprom. Now all these assets will be transferred to Russian Technologies.

Once it is fully established, the state corporation will essentially act as a giant holding company with the right to float its subsidiaries. Government control will be reduced dramatically and financial oversight will be slashed, analysts said.

"The essence of a state corporation is that they give considerable room for maneuver and increase the influence of the group that controls them," said Dmitry Abzalov, an analyst at the Center for Contemporary Russian Politics.

"Russian Technologies is one of the [biggest] and strongest of these state corporations," Abzalov said. Last year, the center ranked Chemezov's Rosoboronexport empire as one of the seven most powerful business and political groupings in the country.

As part of a metals joint venture with billionaire Viktor Vekselberg, to be called Rusinvestpartner, Russian Technologies is looking to scoop up the state's stakes in a hydropower project near Lake Baikal and in a Mongolian coal mining concern, Erednet, Kommersant reported. The joint venture is also looking to work with East-Siberian Metals Corp. to mine precious metals in Buryatia, the newspaper said.

"The objective seems to be acquisitions for size rather than integration," said Chris Weafer, chief strategist at UralSib. "Size does matter in Russia today."

But Chemezov's empire-building seems to fly in the face of the liberal-leaning economic policies of President-elect Dmitry Medvedev, who has said he sees limits on state control over the economy.

Speaking to an audience of ministers, state officials and business leaders at the Krasnoyarsk Economic Forum last month, Medvedev called for state companies to bring in executives from the private sector, rather than fill boards with state officials.

"[A] significant share of the functions carried out by state organs should be given over to the private sector," said Medvedev, who heads the board at Gazprom, the only company other than Rosoboronexport to hold an export monopoly.

Russian Technologies' efforts to gain control of the airline stakes also seem to some analysts to make little commercial sense and could seriously disrupt the plans by AirUnion's major stakeholders, twin brothers Boris and Alexander Abramovich.

"I don't see any logic in it. For AirUnion there was a very clear strategy and that is [in doubt] now," said Eduard Faritov, an aviation and automotive analyst at Renaissance Capital.

"What is happening is that you have a very competitive market, and now everything at AirUnion is being put on hold," Faritov said.

The attempts to claim assets in airlines such as S7 might be intended to help artificially bolster demand for domestically manufactured aircraft, Faritov said.

"The only way it makes sense is if Russian Technologies wants to make sufficient demand for aircraft such as the Sukhoi [Superjet-100], but that depends on market forces."

Beyond the government's economic liberals, it seems that Chemezov's industrial ambitions might be upsetting some of the country's other powerful groups.

"The problem now is that Chemezov wants to get so many assets and other influential groups want some of them too," said Abzalov, of the Center for Contemporary Russian Politics.

The Federal Tax Service is thought to be interested in taking control of Atlas, while the government of Tatarstan has been linked to KamAZ, Gazprombank has reportedly moved for Mongolian miner Erednet and any attempts to take over UralVagonZavod could adversely affect Russian Railways.

Yet Dmitry Pertsev, a spokesman for Russian Railways, said by telephone that the company would have no problem if Russian Technologies took over the factory.

Earlier this month, it also emerged that the country's military has become worried by Russian Technologies' potential consolidation of the country's defense industry, with the government's Military-Industrial Committee, headed by First Deputy Prime Minister Sergei Ivanov, drawing up alternative plans to lessen the military's dependence on the state corporation, Kommersant reported.

Chemezov has been actively lobbying for the creation of a state corporation since 2005. Currently, there are five other state corporations, including Rosatom, the state nuclear industry giant run by former Prime Minister Sergei Kiriyenko, the Nanotechnology Corporation and Olympstroi, the company charged with preparing Sochi for the 2014 Olympics.

These steps have encouraged other state-run organizations to push for state corporation status. One of these is Russian Post, the country's ailing postal service, whose new chief, Andrei Kazmin, was sent from his post as chief executive at Sberbank in last fall's reshuffle of senior state officials.

Already in 2005, Chemezov publicly said he hoped to see Ivanov appointed as head of Russian Technologies' supervisory board.

But jockeying between various powerful factions has seen Prime Minister Viktor Zubkov put his man, Defense Minister Anatoly Serdyukov, in that post instead.

"One of Chemezov's major opponents has been Viktor Zubkov, and he managed to make his protege and son-in-law head of the supervisory board," Abzalov said.

Other members of Russian Technologies' supervisory board include Federal Service for Military and Technical Cooperation chief Mikhail Dmitriyev, Regional Development Minister Dmitry Kozak, Economic Development and Trade Minister Elvira Nabiullina and Industry and Energy Minister Viktor Khristenko.

Although he may be little known in the West, Chemezov's career profile certainly gives him all the grandeur, contacts and shady history of the other so-called state oligarchs, such as Russian Railways head Vladimir Yakunin and Transneft boss Nikolai Tokarev.

In the mid-1980s, Chemezov met Putin while both were working in the East German town of Dresden -- Putin for the KGB and Chemezov for an obscure Soviet experimental trade organization, Luch, which some analysts have said was a KGB cover. Living in the same apartment block, the two men became firm friends.

After returning from East Germany in 1988, Chemezov was appointed deputy head at Sovintersport, a state firm with the import monopoly for bringing sporting goods into the Soviet Union, where he worked for the next seven years.

While Putin worked as deputy to St. Petersburg Mayor Anatoly Sobchak, he and Chemezov kept in regular contact, and when Putin later landed a job in Boris Yeltsin's presidential administration, Chemezov was one of the first wave of the future president's acquaintances to join him in the Kremlin. On Putin's recommendation, Chemezov was appointed head of the foreign economic relations at the presidential property department.

In 1999, Chemezov was made head of Promexport, one of several state-run arms export agencies at the time. Soon after his appointment, Chemezov set about uniting the arms export industry and bringing it under his control.

In early 2000, Promexport gobbled up an earlier company called Russian Technologies, and later that year Promexport and Rosvooruzheniye were merged to form Rosoboronexport.

Chemezov became deputy director in the new organization. In 2004 he replaced his boss, Andrei Belyaninov, who according to some reports also served as a KGB agent in East Germany, as head of Rosoboronexport. Belyaninov now heads the Federal Customs Service.

Chemezov's ability to bundle everything together soon earned him the nickname "the Grand Integrator" among industry insiders, Kommersant-Vlast reported.

Thus the current expansionist ethos of Russian Technologies is typical of the way that Rosoboronexport and its predecessors worked under Chemezov. In the seven years since its formation, Rosoboronexport has come to directly or indirectly own businesses in myriad and unconnected sectors of the economy from house construction to warehouse insurance and computer retail.

"We give total freedom to our subsidiary companies and that includes their subsidiaries as well," Chemezov said in an interview with Forbes Russia magazine last year. "No business is forbidden and our companies can work in any sector."

The sprawling nature of Chemezov's empire is characteristic of the way state firms work under Putin, analysts said.

Under this model, a close ally is given a key role to play -- in Chemezov's case boosting the flagging arms industry and rescuing ailing car giant AvtoVAZ -- and then allowed, in turn, to bring his allies onboard to run subsidiary firms and expand their business interests under the central company's protective banner.

Chemezov's record at Rosoboronexport has, on paper at least, been impressive. The agency reported a post-Soviet record of over $6 billion in arms exports last year and $25 billion of orders on its books, and has struck major deals with foreign industrial giants.

French carmaker Renault last month signed off on a deal to pay at least $1 billion for a 25 percent stake in AvtoVAZ, bringing to an end the Tolyatti giant's long-running search for a foreign partner. In aircraft construction, U.S. giant Boeing and its European rival Airbus both buy titanium from VSMPO-Avisma.

Chief among Chemezov's group of loyal lieutenants are Anatoly Isaikin, who replaced him as head of Rosoboronexport when Chemezov moved to lead Russian Technologies, former Federal Industry Agency chief Boris Alyoshin, who was appointed AvtoVAZ chief executive last year, and Mikhail Shelkov, head of Oboronimpex, which runs VSMPO-Avisma.

But when asked to justify their most impressive acquisitions, Rosoboronexport officials have sometimes floundered for an answer.

Pushed at a recent news conference to explain why Rosoboronexport had taken over AvtoVAZ, Isaikin seemed slightly at a loss.

"What made us become the major shareholders in AvtoVAZ was, I think, our overall concern for the, shall we say, automotive production and leadership in Russia," Isaikin said hesitantly.

Despite widespread skepticism about the wisdom of some Rosoboronexport acquisitions, buying titanium producer VSMPO-Avisma appears to have turned out well. A talked-about public offering of the company has been put on the back burner, however.

"All the development plans from the time when it was an independent company are still continuing," said Alexander Yakubov, a metals analyst at Trust investment bank. "The Rosoboronexport purchase changed only the ownership structure -- the management is the same."

"Rosoboronexport's expansion into heavy industry is not so good from the strategic point of view, but if we talk about specific companies then nothing bad has happened," Yakubov said. "They are quite reasonable."

While being absorbed into Russian Technologies could be good for some companies, others should be wary, said Yevgeny Shago, an analyst at Ingosstrakh.

For a company riddled with internal conflicts among the major stakeholders, such as AirUnion, a takeover could help iron out problems, Shago said. "But when Russian Technologies takes over a company that is working well it can be a negative event for the shareholders."

---------

Chemezov's Empire

Company Sector

Rosoboronexport Arms producer and exporter

AvtoVAZ Automaker

Oboronprom Helicopter maker

VSMPO-Avisma Titanium producer

RusSpetsStal Specialist steel manufacturer

---------

Resume

Sergei Viktorovich Chemezov

Born: Aug. 20, 1952

Place of Birth: Cheremkhovo, Irkutsk region

Education: Irkutsk Institute for National Economy, specializing in engineering and economics

1975-1980 -- Worked in the Irkutsk Science Research Institute for Rare and Nonferrous Metals

1980-1983 -- Deputy head of the Luch industrial research venture

1983-1988 -- Luch representative in Dresden, East Germany

1988-1996 -- Deputy managing director, Sovintersport, Moscow

1996-1999 -- Head of foreign economic relations at Presidential Property Department

1999-2000 -- General director, Promexport

2000-2004 -- First deputy general director, Rosoboronexport

2004-2007 -- General director, Rosoboronexport

December 2007 -- General director, Russian Technologies

Member of the Academy of Military Science

Notable Quotes: "We lived in the same building and got to know each other through serving together and by being neighbors. ... When you are posted abroad you are always drawn to your compatriots." Interview with Itogi, October 2005, about life with Putin in Dresden. "I don't understand how you can't get excited by the technical perfection, the harmony and the design of an automatic rifle or handgun." -- Itogi, 2005 "We don't need to compete between ourselves, but to compete with the international giants abroad." -- Interview with Nezavisimaya Gazeta, February 2008, on establishing state corporations. "The Da Vinci Code by Dan Brown is a very useful book! After reading a few pages, I turn off the lights and sleep." -- Itogi, 2005

Marital status: Divorced, with three sons and a dog.

Hobbies: Hunting and reading Dan Brown novels.

Favorite weapon: Makarov pistol.

Kommersant
10/16/06

Loup-Garou in Congress

...Kommersant’s sources believe the probe might bring trouble to many people in Moscow which Weldon visited “no less than 30 times”. The sources claim that “the congressman’s main contacts in Moscow were high-ranking law enforcement officials from Russia’s Defense Ministry and Federal Security Service, and deputies of the State Duma.”

This might be confirmed by the fact that Curt Weldon is the founder of the International Exchange Group (IEG) non-governmental organization. In 2005, IEG offered the project to guard six Russian sites for production and storage of biological weapons to the Pentagon. Together with Weldon, Alexander Kotenkov, Russian president’s representative in the Federation Council, heads the political council of IEG. The NGO’s trustees are the representatives of Russian State Duma committees on defense and security Viktor Zavarzin and Vladimir Vasilyev, Vice-Chair of the Federation Council committee on defense and security Alexey Alexandrov, Deputy Director of the Federal Security Service (FSB) Alexey Bortnikov, Russian General Staff Commander Yuri Baluyevsky, and Duma’s First Vice-Speaker Lyubov Sliska.

The scandal might damage the reputation of Russian business, Itera’s reputation first of all. Itera’s office in Moscow told Kommersant yesterday that the company’s activities do not violate US laws. Itera’s press service refrained from further comments.

Steven Koegler, Itera International Energy’s vice-president for legal issues, told Kommersant that US government asked the company to provide all documents concerning its cooperation with SNA. Koegler did not give more comments, underlining that it is all he can say for now. He only added that his company is fully cooperating with investigators.

US-based Itera International Energy Llc has several subsidiaries. One of them, Duna Energy, extracts natural gas in Texas, and its shares are listed at New York stock exchange. The second subsidiary extracts natural gas from worked-out coal mines in Illinois and produces electric energy there. Due to high prices on electric energy in the U.S., this project is quite profitable. Besides, the company’s branches work at real estate market and produce Ivanovich vodka.

Itera’s president Igor Makarov had told Kommersant that the company plans to supply liquefied natural gas from Cameroon to the U.S. in 2007. To carry this project out, Suntera company (50 percent belongs to Itera Group) acquired a regasification terminal in New Scotland (Canada) located near gas pipelines leading to Boston and New York. Makarov said that US citizens own not more than 7 percent of Itera Group (as of July 2006). Other foreign shareholders of Itera Group, Galina Weber for instance, sue against the company’s management in the arbitrary court of Larnaka (Cyprus) for dilution of their shareholding in the course of the additional issue of shares. The results of the trial are unknown yet.

Dmitry Sidorov, Washington; Alexander Gabuev, Natalia Grib

Link to US-Russian Council listing of members of Russian government.

AMG Advanced Metallurgical Group

Management Board

Dr. Heinz C. Schimmelbusch
Chairman of the Management Board and Chief Executive Officer

Dr. Schimmelbusch was appointed chairman of the Management Board on 21 November 2006, the date of incorporation of the Company. In November 2002 he was appointed chief executive officer of Metallurg, and since 1998 he has served as chairman of the board of Metallurg and Metallurg Holdings. Presently, Dr. Schimmelbusch also serves as non-executive chairman of the board of various companies, including Allied Resource Corporation, Wayne, Pennsylvania, United States; and PFW Aerospace, Speyer, Germany; and is a member of the board of directors of Norilsk, Moscow, Russia. Dr. Schimmelbusch is also a Managing Director and a founder of Safeguard International Fund, L.P. In the past, Dr. Schimmelbusch served as chairman of Metallgesellschaft AG from 1989 until he resigned in 1993. His directorships have included Allianz Versicherung AG, Mobil Oil AG, Teck Cominco Limited, and Methanex Corporation. Dr. Schimmelbusch received his graduate degree (with distinction) and his doctorate (magna cum laude) from the University of Tübingen, Germany.

Ceramic Protection Corporation
News Release 2004-10
Agreement to Purchase Alanx Wear Solutions, Inc.

Symbol: CEP September 7, 2004
Exchange: TSX Venture

Released via Canada NewsWire – 403-269-7605

Ceramic Protection Corporation (“CEP”) is pleased to announce today that it has signed a definitive purchase agreement with Allied Resource Corporation of Wayne, Pennsylvania to acquire all the outstanding shares of Alanx Wear Solutions, Inc. (“Alanx”). Based in Newark, Delaware, Alanx is a leading manufacturer of advanced ballistic ceramics and wear management materials. Mr. Larry Moeller, Chairman of the CEP Board of Directors, signed the purchase agreement with Mr. Heinz Schimmelbusch, Chairman of the Allied Board of Directors.

The definitive agreement calls for purchase consideration of approximately US $30 million, payable to Allied in a combination of cash, the issuance of 1.5 million shares of CEP, and the payment of certain debts of Alanx. The deal is subject to a number of conditions including, without limitation, the approval of the stockholders and optionholders of Alanx and approval of the TSX Ventures Exchange and any associated regulatory filings.

Mr. Moeller noted that this acquisition will add significantly to the product scope and market reach of CEP: “This is an acquisition of a company with technologies, products and customers that are highly compatible with those of CEP. Alanx will bring significant sales and product scope to CEP. It is expected that the acquisition will add sales of the Corporation of approximately US $25 million in the forthcoming year.”

For the ballistic materials marketplace, Alanx has developed and delivered significant quantities of qualified, tested and approved ballistic ceramic plates for Small Arms Protective Inserts (SAPI) used by US military forces.

Wear resistant materials reduce maintenance costs and downtime for the industrial and resource extraction sectors. Alanx offers products with patented ceramic/metal composite technologies, epoxy patching systems and other customized ceramic wear technologies.

Dr. Ron Wallace, Chief Executive Officer of CEP, also stated that: “CEP is most pleased to have acquired a company that has proven production capabilities for some of the most advanced ceramic materials in the world. Alanx has a demonstrated track record of successful and expanding deliveries to armour systems integrators for the supply of armour to US military services. These positive attributes will significantly enhance CEP’s ability to deliver more diverse products, with expanded production capabilities to a wider customer base particularly in the US marketplace. CEP is delighted to welcome the outstanding manufacturing and management capabilities of Alanx represented by Mr. John Walsh, President, and Mr. Dana Husnay, Chief Operating Officer, and all of the Alanx staff, to CEP.”

CEP today also announces the grant of an aggregate of 62,000 incentive stock options pursuant to its Stock Option Plan to be allocated to employees of Alanx and CEP. The options are exercisable for a period of 5 years from the date of grant at an exercise price of $12.20 per share and vest over 3 years commencing September 7, 2005.

Business Environment and Risks

The Corporation continues to maintain a base of customers while competing for contracts in a competitive technical marketplace. Marketing efforts to increase the Corporation’s visibility and sales include the use of internal sales personnel and external agents as well as offering training courses in ballistic protection technology. The Corporation is responding to market demand for improved materials and alliance partners are used to bring products to market quickly with minimal capital investment. Much of the Corporation’s revenue is derived from international contracts that are bid in U.S. currency. The Corporation must react quickly to market demands by constantly adjusting production levels to meet customer requirements. World economic, military and political factors affect the number and size of contracts available for bid.

Barry Critchley
Financial Post
Friday, April 25, 2008

Timminco, Ceramic overlap

Investors in Timminco Ltd. are hoping for a different ending from that experienced by shareholders of Ceramic Protection Corp.

Why relate those two? Here are some connections:

Management Timminco's chairman and chief executive is Heinz Schimmelbusch, the former chief executive of Metallgesselschaft, who was fired in 1993 after the company experienced US$1.2-billion in trading losses.

Back in September, 2004, Schimmelbusch was the chairman of board of Allied Resource when that company sold Alanx Wear Solutions to Alberta-based Ceramic Protection. Based in Delaware, Alanx was described as "a leading manufacturer of advanced ballistic ceramics and wear management materials." It cost Ceramic about $35.8-million to purchase Alanx. It paid $17.5-million in cash and issued 1.5 million shares.

At the time, John Walsh was Alanx's chief executive. As part of the deal, he joined CEP and about eight months later, in May, 2005, Walsh became president at Ceramic. In December, 2006, Walsh moved on to became president and chief executive of Timminco. That appointment was announced by Schimmelbusch, who at the time was Timminco's chairman. In August, 2007, Walsh became president of Timminco's magnesium division. Two weeks ago, Timminco said Walsh "had resigned to pursue other opportunities."

Analysts In December, 2004, or three months after Ceramic purchased Alanx, it did a bought-deal financing at $22 per share through Clarus Securities. The deal was increased to $17.25-million from $15-million. At the time, David Tomljenovic was the analyst at Clarus. In November he had a $24 target on the stock and one month later he upped it to $30.50.

Tomljenovic is now with Sprott Asset Management (SAM) and is credited with bringing Timminco to the attention of the money manager. SAM is now the second-largest shareholder in Timminco after AMG Advanced Metallurgical Group, which has a 50.6% stake. Schimmelbusch is also AMG's chairman and chief executive.

The ceramic slide Ceramic's problems started in September, 2006, when Arizona-based ArmorWorks, a customer of Alanx, cancelled a supply agreement. Ceramic filed a lawsuit alleging "breach of contract as a result of wrongful termination and non-payment of monies owing." ArmorWorks then filed a complaint alleging "breach of contract, breach of the implied covenant of good faith and fair dealing, breach of warranty, fraud ... and unfair competition." The suit made a claim for US$60-million in damages.

Thirteen months later, Ceramic announced it had resolved "all claims and actions in litigation" between itself and ArmorWorks. No financial details were released but Ceramic said a "great burden in terms of expense and management time" had been removed.

During that period, Ceramic's shares traded downwards from a high of $23.98 the day before the announcement to $6.50 the day before the resolution was announced. (The shares' record high was $29.90, reached on Dec. 31, 2004.)

Last month, a few days after it closed its $4.25-a-share equity financing, Ceramic was hit when ArmorWorks filed a statement of claim against it. The stock plunged 30% and closed yesterday at $2.35.

11/6/06 - Brian L. Stafford, former director of the Secret Service, joins CPC board.

12/14/06 - General Hugh Shelton joins CPC board.

2007 - CPC takes in $100 million in orders from US government.

Katherine T. Leighton, along with Dr. John E. Garnier and Edgar Aleshire, registered a patent involving the manufacture of a metal reinforced ceramic using magnesium in June 2005. The process supposedly improves on existing ceramic used in hard body armor because it is lighter and stronger.

Leighton and Garnier are officers of Dynamic Defense Materials in Boothwyn PA. DDM hired Cecelia Grimes to lobby on its behalf and contributed somwhere around $20k to Weldon.

Curt Weldon
Vice Chairman – Dynamic Defense Materials Corporation

See below.

Philly.com
6/12/08

Allied Resources Weighs IPO:Deal

Allied Resource Corp., the Wayne energy-services company headed by multinational metals and energy investor Heinz Schimmelbusch, raised $53 million in new private equity investment from PCG Capital Partners LLC, La Jolla, Calif.

The investment is "one of the last steps" before Allied files for an initial public offering, said The Daily Deal, an industry newspaper. Allied said there's no IPO timetable. Top of story here; full text for Deal subscribers only.

Allied operations include the proposed South Heart coal-to-gas plant in North Dakota, in partnership with Great Northern Power Development LP; a waste-oil treatment plant in Germany; antipollution materials production in China; and sludge and residue incineration.

Schimmelbusch was once CEO of Germany's Metallgesellschaft AG, and a frequent investing partner of former Safeguard Scientifics CEO Warren "Pete" Musser. He's chairman and CEO of Toronto-based Timminco Ltd., a battery-metals supplier that's been one of the most active Canadian stocks recently; and chairman of Avanced Metallurgical Group, a widely-held Dutch investment firm that is Timminco's major owner.

FEC:

WALLIS, ANNE
RIVER RIDGE, LA 70123
HOMEMAKER

David Vitter
10/10/2003 2000.00
10/10/2003 2000.00

------------------------------------------------

STATE OF LOUISIANA
v.
MICHAEL THOMAS.

No. 08-KA-113

PAUL D. CONNICK, JR., District Attorney, TERRY M. BOUDREAUX (Appellate Counsel), ANNE WALLIS (Appellate Counsel), JAY ADAIR (Trial Counsel), Assistant District Attorneys, Counsel for Plaintiff/Appellee, The State of Louisiana.

--------------------------------------------------
The Times-Picayune
January 26, 1990

....But as quickly as prosecutors Jim Marchand and Anne Wallis began building a case against Williams, public defender Jeffrey Smith began tearing it down.

Claude Kelly
7609 XXX
River Ridge LA 70123

Anne Wallis
7609 XXX
River Ridge LA 70123

As a firm specializing in security, the folks at Defense Solutions sure have a hard time keeping their business private.

The Defense Solutions contract to provide refurbished tanks donated to the Iraq Minister of Defense by Hungary was signed by Dr. Ziad Cattan on 3/5/05. Cattan is the former Polish Iraqi used car dealer who became the Iraq MoD’s chief procurement officer in 2004. Cattan bought $400 million of worthless helicopters and armored cars from Bumar, the Polish state arms dealer, and he spent a billion dollars on worthless junk from Iraqi businessman, Naer Mohammed Jumaili.

The refurbished Hungarian tank contract was originally $3.2 million with an 8% award fee for Defense Solutions upon contract completion. Based on cost estimates, Currus, the Hungarian subcontract charged $1.5 million to refurbish the tanks and NATO picked up the cost of transporting the tanks from Hungary to Iraq.

However, Defense Industry Daily reported on 11/25/05 that the contract was about $4.5 million. In a 2/3/06 Defense Solutions proposal to sell refurbished Hungarian and Romanian tanks to the Sri Lanka army, Defense Solutions listed the Iraq tank contract at $4.6 million.

Although Defense Solutions is a Washington-based firm registered in Pennsylvania, the terms of the contract were specified as being under the laws of New York State. DS was represented by James Donahue and the Iraq MoD by US LTC Rod Symons.

Defense Solutions did an excellent job promoting the contract as a great deal for the Iraqis. Even Condoleeza Rice touted it. When the Iraq MoD balked at paying Defense Solutions the balance of the contract in 1//05, Defense Solutions held up delivery. Since the DoD was anxious to use the tank deal for p.r. purposes, payment was promptly made.

As an aside, the photo of the tanks at the Taji ,military base in an 11/14/05 Defend America story about the tanks probably are not the actual tanks since the tanks at the time were still in Kuwait. Despite that fact, US LTC Kevin Meredith and Iraqi LTC Saleem praised the performance of the tanks in the article.

Check out Ziad Cattan's website. Great photo of Cattan and L. Paul Bremer!

Defense Solutions price list for refurbished tanks, according to a 2/3/06 proposal to the Sri Lanka army:

BMP-1 $79,246
BMP-2 $107,548
BTR-80 - $59,212
BTR-80A - $63,442
T-55AMV - $129,586
T-72M1 - $154,039

Vehicles to come from Hungary, Czech Republic, Poland, Slovakia and/or Slovenia.

DS cost per 3/7/06 Armida Systmes quote (via HaDe Export-Import GmbH):

BMP-2 $47,500
BTR-80 - $35,000
BTR-80A - $37,500
T-72M1 - $70,000

Both DS subcontractors, Currus (Hungarian) and ROMARM (Romanian) are supplying vehicles to their respective national forces in Afghanistan and Iraq, according to the DS proposal. Presumably, the US taxpayer is footing the bill.

Per Weldon's Defense Solutions Libya trip report:

"Weldon’s 3rd visit to Libya was held in July 2005 when Weldon organized and Co-Chaired an International Conference in Tripoli with Saif Ghadaffi. Representatives from 25 nations (over 200 delegates) participated in the Conference along with Weldon’s bi-partisan Congressional delegation. Again, Weldon met with every senior leader in Libya as well as a 2 hour private meeting with Leader Ghadaffi in his hometown of Sirte."

Per Itera website:

005-08-18 [8/18/05] Опубликовано: Business Petroleum (VPS)

"Mr. Sergey Vorobyov, Deputy Chairman of ITERA Management Board, said the company planned to participate in tenders on exploration and development of oil and gas blocks in Libya.

According to Mr. Vorobyov, the company has qualified for the tenders, and ITERA is now in the process of choosing oil and gas blocks of interest to it. Mr. S. Vorobyov pointed out that ITERA planned to participate in tenders independently. Earlier, the company considered participation in the tenders together with Tatneft, because the two companies had signed a strategic partnership agreement. New Libyan tenders may take place in October. The second Libyan tender on 40 contracts is underway for oil and gas blocks to be explored and developed by foreign companies. Winners in development tenders on 15 oil and gas blocks have been announced in Tripoli. Most of them were American companies. The total number of 120 companies, including 17 American ones, applied for the tenders. LUKOIL was interested in Libyan tenders as well.

Foreign participation in on Libyan hydrocarbon resources development became possible after the UN sanctions were lifted in April of 2004. Libya, an OPEC member, was going to raise about USD 30 billion of investments for its oil production industry and to double its production capacity from 1.6 to 3 million barrels of oil per day. "

Ziad Cattan's list of contracts awarded obviously is incomplete since it doesn't list Defense Solutions. It does list Al-Ain Al Jaria/Russia as having a contract to supply an unspecified number of Mi-17 helicopters to the Iraq MoD.

I wonder what happened with that contract.

(Exton, PA) October 1, 2007 -- Defense Solutions has reached an agreement with three major companies, DynCorp International, LLC, MPRI, an L-3 Communications Company, and Omega Training Group, Inc. to support the United States Army Multi-National Security Transition Command – Iraq (MNSTC-I) and the United States Army Security Assistance Command (USASAC), in response to requirements for support services, spare parts, repair, training, maintenance and other required services Fully Mission Capable and Safety Certified vehicles and equipment on behalf of the Iraqi Security Forces (ISF).

-------------------------------------------------

September 27, 2007 -- UkrSpetsExport, and its subsidiary, UkrOboronService, Government-owned companies, have granted Defense Solutions, Inc. exclusivity to represent, sell, and deliver Urkainian-manufactured armored personnel carriers, to include the BTR-3U, BTR-3E1, BTR-70 Upgrade, and BRDM, and associated spare parts to the US Government.

“Defense Solutions and UkrOboronService will jointly satisfy vehicle and equipment requirements on behalf of the US Government for the Iraqi Ministry of Defense,” said Timothy D. Ringgold, Chief Executive Officer of Defense Solutions. “Through Defense Solutions, the US Government will be able to fulfill standing requirements for a line of vehicles only manufactured and produced by UkrSpetsExport. This relationship is a win-win-win for the US Government, Defense Solutions, and UkrSpetsExport.”


Defense Solutions website:

...In March 2007, representatives of Defense Solutions visited Bangladesh with the purpose of exploring business development opportunities in that country with entities in both the private and public market segments. Subsequent to this visit, Defense Solutions established an office in Dhaka where it is represented by Major General (retired) A. N. M. Muniruzzaman, a former infantry division commander in the Bangladesh Army and a graduate of the US Naval War College. General Munir served as the Chief of Staff to the President of Bangladesh and was also his principal military advisor.

Defense Solutions’ efforts in Bangladesh include re-equipping the Bangladesh military to support its participation in United Nations peace keeping missions; upgrading port infrastructure and security; and assisting US companies in gaining access to the Bangladesh market.

A 3/20/07 Bangladesh Sangbad Sangstha (BSS) story, "Congressman Weldon favours more interactions between Bangladesh and US", quoted Curt Weldon on the Global Alliance for Homeland Security at a press conference held in Dhaka:

""We are the local associates for the Global Alliance for Homeland Security, USA, Bangladesh Chapter, "he told a press conference here."

According to Curt Weldon, the five-member delegation was representing a US organization, the Global Alliance for Homeland Security . The only registered Globla Alliance for Homeland Security that I could find is the one registered on 9/29/06 in NYS to an address at 61-17 Woodside Ave, #5E, in Woodside, Queens, NYC, NY (see above).

This sure explains a lot.

AFO Research Inc.

Curt Weldon
Senior Advisor

The Honorable Curt Weldon
Member of Congress 1987-2007
CEO – Jenkins Hill International
Chairman – Kronos Fund
Vice Chairman – Dynamic Defense Materials Corporation
Chief Strategic Officer – Defense Solutions
Strategic Officer – New Star Technologies

"...Congressman Weldon was also a member or a co-chair of the Congressional Ukrainian Caucus, Armenian Caucus, Azerbaijan Caucus, Baltic Caucus, Korea Caucus, Hellenic Caucus, Serbia Caucus, Romania Caucus, United Kingdom Caucus, and Pakistan Caucus, amongst others...."

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Howard Butcher
Senior Advisor

"...Currently Mr. Butcher serves as President & Director of Jenkins Hill International LL, a privately owned company founded by former U.S Congressman Curt Weldon which specializes in developing international & national projects of several types, helping relatively young technology companies take their technologies to market & grow and various representations of companies locally and overseas for marketing, finance and government relations purposes. Jenkins Hill also is involved in the creation and management of managed pooled funds which invest in growing technology companies. The emphasis here is on companies which have very large addressable markets, transformational technologies and are inexpensively valued relative to their potential upside valuations. Mr. Butcher also serves as Secretary and a director of Butcher Energy, Inc., (Butcher family owned energy investment firm focused on oil & gas exploration & development and a large wind farm in Texas) the Philadelphia Bourse, Inc. (family owned holding company which owns operating companies) and as a Director of JMJ Technologies, LLC. He is a past chairman & director of DRX, Inc., (precious metals exploration and development) and formerly a director of Coopersburg Handle & Tool Company, Distribix, Inc. (eighth largest U.S. paper distribution company), Harrison Industries, PLC (small British conglomerate), Alexandra Mining, Ltd. (precious metals mining holding company), Holmes Protection of Philadelphia (commercial & residential security), Frances Denny, Inc. (cosmetics & fragrances), Chadds Ford Capital LLC (asset management firm) and International Light & Power, Limited..."

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Anahit Kouradjian, M.Sc.
Senior Advisor

"Ms. Kouradjian is a senior scientific advisor to AFO. She has over 30 years of experience as an inorganic chemist, physical chemist, and research and development specialist. Ms. Kouradjian has managed numerous government projects and research teams over her career. She received her Masters of Science from the Polytechnic Institute of Yerevan in Armenia, USSR."

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Bill Townsend
Senior Advisor

Bill Townsend is an advisor on licensing, mergers and acquisitions. He has over 16 years of experience in the technology industry and more than 20 years in the advertising sector. He has co-founded 2 publicly-held companies. Mr. Townsend was part of the founding management team at Internet search engine, Lycos Inc; and was a co-founder of CommonPlaces (now Alloy). Mr. Townsend has been involved in the launch and management of over 14 companies including: Arbor Austin, GeoCities (now Yahoo!), Deja.com (now ebay and Google), ClearHeart LP, Dorio Inc., Interminds LLC, PayByTouch, and NewsAlert (now Marketwatch.com).


DDH
DYANAMIC DEFENSE HOLDINGS

1515 Garnet Mine Road · Boothwyn, PA 19061
Phone: 610-558-4084 · Fax: 610-558-4087
www.ddmat.com

Job Title: Vice President of Sales

Group or Division: Sales and Marketing

Reports to: CEO/President

General Description:

Dynamic Defense Holdings, LLC (DDH) is a high-tech, entrepreneurial company focused on developing and manufacturing solutions for defense and security that include transparent armor, body armor and a portable armored wall.

DDH is also developing optical solutions for harsh environment applications and advanced energetic materials for a variety of uses. Our patented technology is based on material science. DDM is fast-paced and rapidly growing within a culture of “Quality is Teamwork”. We seek a highly motivated Vice President of Sales to lead us into the next level of performance as we complete the transition from Development to Sales and Manufacturing for base level technologies and further grow the company through new material science innovations.

DDH is seeking a Vice President of Sales reporting to the CEO, responsible for leading and executing the sales efforts for two of DDH’s leading products.

DiamondView™ is a high performance glass ceramic armor window system that provides scalable protection against all threats at lower weight and superior multi-hit protection. DiamondView™ offers superior ballistic and blast protection at lower weight with far greater night vision transparency for NVG devices and lower life cycle costs. It has been qualified for
multi-hit against advanced sniper and IED threats. DiamondView™ is a breakthrough in armored windows, aimed at the following markets:

• US DOD military vehicles, replacement and OEM windows for MRAPS, JLTV and other programs, sold through both the US DOD and US OEM’s, as well as world wide to allies and friends
• Homeland Security vehicles
• Private security applications
• Private commercial vehicle up-armoring
• Architectural applications
• Aerospace/ships/helicopters

Evaloch™ is a portable armored wall system providing quick protection against ballistic and blast threats. It is configurable for a variety of threats and missions. Evaloch™ is the first innovation and improvement over sand bags in the history of war fighting in its target applications and use, such as robust mobile expeditionary check points, entry control points, observation points, sniper points, vehicular check points, and other security and observation posts needing protection against sniper, small arms and IED threats. It is easily transportable, can be set up by three soldiers in several minutes and moved from point to point in less than 20 minutes. It includes DiamondView™ windows in a gun port configuration allowing observation and ability to fire.

The successful candidate will work closely with active board members and advisors, the CEO, the VP Marketing, the VP of Applied Technology, professional sales and product specialists, and distributors and reps, both domestically and internationally. Members of the board and advisors include General Scott Custer (RET) General Barry McCaffrey, (RET), Ms Sandy Charles, (former NSA advisor to Presidents Regan and Bush) Congressman Curt Weldon (RET Former Vice
Chairman of the House Armed Services Committee).

The target community for DiamondView™ includes several US DOD facilities, where qualification and product development must be coordinated, including TACOM, TARDEC, ARL, REF, ATEC and others. Customers also include OEM’s involved in MRAP and JLTV programs, among others, such as Boeing, Textron, Force Protection, GD, Oshkosh, International Truck and Engine, BAE, and others.

The target community for EVALOCH is primarily the US DOD, the Army, the Marines and others.
The successful candidate will have experience and insights and relationships in these communities and in these areas of technical and program and operating topics. Ideally, the successful candidate will have senior field grade military experience coupled with industrial experience in these or related products and programs.

The compensation package starts with a competitive base salary coupled with attractive stock options and contingent compensation tied to performance.

DDH is a young company with a slate of technologies:

• DiamondView Armor Products, LLC is a DDH joint venture with SCHOTT focused on transparent and other armor systems using glass ceramics in composite systems.

• Dynamic Defense Materials, LLC is a wholly owned subsidiary focused on Evaloch™, the portable armored wall, whose development was funded by the DOD, and where a fully articulated highly automated manufacturing facility has been qualified.

DDH has four other technologies in sister subsidiary operating companies focused on these technologies:

• Advanced ceramic technology funded by the DOD aimed at replacing the current ESAPI with superior performance at similar weight and lower costs

• Advanced optical switch technology aimed at enabling the use of optical switches in the uncontrolled environment for aerospace, defense, and telecom applications

• Nano-sizing technology for hard and reactive metals, currently aimed at rocket motors, squibs, airbags, and chemical and ceramic precursor applications

• Solar silicon technology

The successful candidate will engage in travel and teamwork internally and externally with program, technical, military, agency, commercial and other organizational elements discussing and promoting our products and technology by discussing our specs, our performance, our testing certifications and results, our costs, configurations and capabilities, learning, evaluating and matching customer and market needs to our capabilities, selling internally as well as externally, helping and leading in planning at multiple levels including bookings, forecasting, sales, capacity, etc.

We are seeking a detail oriented person who is a rainmaker and a relationship builder, who can build trust and context in business relations both internally and externally, and who has a passion for taking products that can help our young men and woman represented in our military more effectively complete their missions less dangerously.

2/22/07 USA Today:

...Former lawmakers are valuable to lobbying firms because of their insideknowledge and contacts.

Curt Weldon, who was the No. 2 Republican on the House Armed Services Committee, developed an expertise on defense issues that will serve him well in his new job as chief strategic officer of Defense Solutions, a firm based in hishome state of Pennsylvania.

"Since he's such a national security expert, he clearly knows the direction the Defense Department is going with its procurement and acquisition programs,"said the firm's CEO, Timothy Ringgold.

One of Defense Solutions' executive consultants is retired rear admiral William Retz, who was the first director of the Center for Rotorcraft Innovation, which Weldon took credit for creating in 2004 with $2.5 million infederal money. Weldon also took credit last year for getting $4 million for the center, which was in his district. Weldon received at least $22,500 for lastyear's election from executives and political committees of Defense Solutions clients.

Retz and Weldon did not return calls seeking comment.

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9/5/06 PR Wire:

MCLEAN, Virginia and EXTON, Pennsylvania, September 5 /PRNewswire-FirstCall/-- SuperCom, Inc.; the Northern Virginia-based subsidiary of SuperCom, Ltd.(OTCBB:SPCBF.OB; Euronext:SUP), a worldwide leading provider of smart-card and electronic identification solutions, today announced that an agreement was signed with Defense Solutions, LLC (parent company of the DS3I/Guardsman line of security door/access control systems) to appoint SuperCom as the provider of smart card and biometric identity verification technology for the Guardsman line, In addition, SuperCom will provide unparalleled Incident Site Management,Access Control, Communications Interoperability, and Electronic-ID solutions for Defense Solutions' many military, government, and private sector clients and partners worldwide.

We are pleased to be providing our proven technology to a much needed line of security solutions that will make the travel, secure facility, and government sectors safer and much more efficient", commented Moshe Wolfson, CEO forSuperCom Inc. "Our systems will form part of the technologies offered by DefenseSolutions, and together we can revolutionize the way access control and electronic identity is processed worldwide." The agreement includes a minimum sales commitment of SuperCom's products by Defense Solutions in 2007.

According to Defense Solutions CEO Colonel Tim Ringgold, Ph.D., US Army(Ret), "We compared the leading products in the identity management field and chose SuperCom. Our Guardsman Secure Access System already provides the highest security and protection of critical assets. Now we are also able to guarantee positive identification of anyone passing through our doors."

About SuperCom: SuperCom, Inc. is a subsidiary of SuperCom, Ltd. who provides innovative solutions in smart-card, incident management, and e-ID technologies to the commercial and government sectors. SuperCom offers a wide range of standard and customized smart-card-based solutions for physical and logical security,education, corrections facilities, intermodal transportation, fire/rescue, andlaw enforcement. It is also a leader in the manufacturing of secure and durable documents such as national identity cards, passports, visas, drivers' licenses and vehicle registration to improve homeland security, governmental efficiency and ease of use. SuperCom has offices in the United States, Israel, and HongKong. For more information, visit our website at http://www.supercomgroup.com/.

About Defense Solutions: Defense Solutions, LLC serves the military and security marketplaces and is headquartered in Exton, PA with offices in Washington, DC and Miami, along with satellite offices in Israel, Hungary and Colombia. Since its founding, DefenseSolutions has achieved a worldwide reputation for excellence and timely execution of its role in clients' missions. The company has a multi faceted business model conducting strategic studies and analyses, business and market development, and security program management. Delivering with exemplary performance on these assignments has led it to successfully representing the world's largest defense contractors as well as those companies with best ofclass - or leading edge-technologies or services.

For more information, go tohttp://www.ds-pa.com/ .

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DS website:

GSA Schedule 84 is an easy-to-use IDIQ vehicle designed to provide agencies with fast, affordable access to law enforcement, firefighting, and security products and services. The GSA schedule greatly simplifies government contracting and facilitates Defense Solutions' ability to perform government work for those agencie