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25 Mar 13. UK ECO Issues Notice to Exporters 2013/12 on New End-User Undertaking Template for OGEL (Military Goods, Software and Technology)
The U.K. Government’s Export Control Organisation (UK ECO) has issued Notice to Exporters 2013/12 announcing a new end-user undertaking template available for Open General License (Military Goods, Software and Technology). On January 11, 2013, UK ECO amended the Open General Export Licence (Military Goods) to Open General Export Licence (Military Goods, Software and Technology). To reflect the changes in this licence, it has issued this new end-user undertaking template. If you already have an original end-user undertaking in place, you may continue to use this for a period of twelve months from the date the undertaking was signed. This is permitted as long as no other circumstances change, such as:
* the details of the person (consignee) receiving the goods, software or technology
* the destination of the goods, software or technology is not an embargoed destination.
The end-user undertaking template is only an example of what UK ECO would expect to see in an end-user undertaking. Companies may create their own end-user undertakings as long as they address the key areas, including the statement agreeing to “permitted use.”
22 Mar 13. SFO Weighs Deal to End Rolls-Royce Probe. The UK’s Serious Fraud Office is considering a civil settlement with Rolls-Royce that would halt a probe into alleged bribery in Indonesia, China and other overseas markets. According to people familiar with the matter, the SFO could offer Rolls-Royce a deal known as a civil recovery order, under which no criminal charges would be brought and the aircraft-engine maker would pay a civil fine. (Source: glstrade.com/FT)
25 Mar 13. The French defense and finance ministries are seeking a compromise in cutting military spending, with a reduction to 1.2 percent of gross domestic product (GDP) seen as a possible consensus figure, a defense analyst said.
“What we’re seeing is a search for a compromise, with discussions centered on 1.2 percent of GDP,” said Loic Tribot La Spiere, chief executive of the influential think tank Centre d’Etude et de Prospective Stratégique. France commits 1.56 percent of GDP to defense and tops that up with exceptional receipts from asset sales. The 2013 military budget is 31.4bn euros ($40.5bn), including 1.2bn euros from the sale of radio frequencies and property. The Finance Ministry wants to cut annual defense spending to 1.18 percent of GDP, while the Defense Ministry wants spending reduced to 1.25 percent, Tribot La Spiere said. If the defense and finance officials can agree on a consensus, that “synthesis” will be presented to President François Hollande for approval as the future defense budget. The compromise figure of 1.2 percent emerged after Hollande chaired a meeting of the high-level defense and security council March 22. Hollande must decide what share of the total cuts in spending will be borne by the military as France seeks to reduce the public deficit. However, Tribot La Spiere noted the problem of focusing too much on percentage of GDP spending. (Source: Defense News)
22 Mar 13. Dutch orders for the Pentagon’s F-35 warplane are likely to be cut back, sources close to the discussions told Reuters, citing cost overruns and delays in the program, uncertainty over the Netherlands’ defense strategy and budget cuts across Europe. The Netherlands may cut 17 to 33 F-35s from its initial plans to buy 85 of the new warplanes, according to people close to the discussions who were not authorized to speak publicly since final decisions are not expected until later this year. U.S. official