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Proposed Canadarm sale must yield ‘net benefit’ to Canada

March 14, 2008 - Ottawa - Industry Minister Jim Prentice says he won't approve the sale of iconic Canadian space technology to a major American arms-maker unless it has a "net benefit'' to Canada.


March 14, 2008
By The Canadian Press

March 14, 2008 – Ottawa – Industry Minister Jim Prentice says he won't approve the
sale of iconic Canadian space technology to a major American
arms-maker unless it has a "net benefit'' to Canada.

Prentice was addressing a Commons committee on the proposed sale
of the space division of MacDonald, Dettwiler and Associates Ltd. to Alliant Techsystems.

Minneapolis-based ATK made a $1.325-billion offer to buy the
government-subsidized Canadarm and Radarsat satellite business,
currently based in Vancouver.

MDA shareholders voted overwhelmingly this week to approve the
deal.

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The deal is expected to close in the second quarter of 2008 but
it still needs regulatory approval in Canada and the U.S.

Prentice has until March 22 to approve the deal, although NDP MP
Peggy Nash put forward a motion asking that the committee call MDA
representatives as witnesses and Liberal MP Scott Brison put forward
an amendment to Nash's motion asking for another 30 days.