Wednesday, January 13, 2010

DTN News: Financial News TODAY January 13, 2010 ~ JAL Heads For Bankruptcy With $16 Billion In Debt

DTN News: Financial News TODAY January 13, 2010 ~ JAL Heads For Bankruptcy With $16 Billion In Debt *Source: DTN News / Int'l Media (NSI News Source Info) TOKYO, Japan - January 13, 2010: Japan Airlines (9205.T) will likely file for bankruptcy protection next week, sources with knowledge of the matter said, in what would be one of the largest corporate failures in Japanese history. Here are some facts about the likely procedure and restructuring, and a list of Japan's biggest bankruptcies. * A state-backed fund, the Enterprise Turnaround Initiative Corp of Japan (ETIC), is eyeing Jan. 19 to 22 for Japan Airlines to file for bankruptcy. The ETIC would then officially announce plans to support the carrier as its sponsor in the proceedings, including plans for a capital injection of about 300 billion yen. * JAL is expected to file for protection from creditors under the Corporate Rehabilitation Law, one of two major legal proceedings that allow for a company to continue its operations and pursue a revival, similar to Chapter 11 in the United States. In this bankruptcy procedure, management is normally sacked and a court-appointed trustee is given the power to administer the company's assets and its business. This is one of the key differences compared with the Civil Rehabilitation Law, which allows current management to retain authority. * JAL's filing will be "pre-packaged", as the debt waiver and sponsor investor will be decided beforehand, allowing for a smoother rehabilitation process. The ETIC is asking banks to forgive about 350 billion yen in debt. JAL will likely be the first company in Japan to secure a debt waiver before the bankruptcy filing is made. * Bankruptcy is a well-worn route for overseas airlines. Delta Air Lines (DAL.N), United Airlines (UAUA.O) and US Airways (LCC.N) are among the U.S. carriers to have been through and emerged from bankruptcy in recent years. JAL received emergency loans from the state-owned Development Bank of Japan in 2001 in the wake of the Sept. 11 terrorist attacks in the United States, in 2003 after the spread of SARS, and again last year. But it has never filed for bankruptcy. * JAL was saddled with about 1.5 trillion yen ($16.3 billion) in total liabilities as of the end of September. At that level of debt, its bankruptcy would be the sixth largest in Japan's history. Here is a list of Japan's five largest bankruptcies: COMPANY WHEN DEBT 1. Kyoei Life Insurance OCT 2000 4,529,693 2. Lehman Brothers Japan SEPT 2008 3,431,400 3. Chiyoda Mutual Life Insurance OCT 2000 2,936,600 4. Japan Leasing SEPT 1998 2,180,300 5. Mycal SEPT 2001 1,600,000 NOTE: *Value is in millions of yen.
SOURCE: Tokyo Shoko Research (Compiled by Junko Fujita)

DTN News: India TODAY January 13, 2010 ~ Mayawati's Birthday With A Difference - Gifting Monthly Dole

DTN News: India TODAY January 13, 2010 ~ Mayawati's Birthday With A Difference - Gifting Monthly Dole
*Analysis: It is known fact Uttar Pradesh's chief minister Mayawati's birthday has been annually celebrated with great pomp and splendour, obviously the cost is covered by Uttar Pradesh State's treasury or individual entity or may be Mayawati is another "Bill Gate". This year on January 15, 2010, Mayawati's 54th birthday is being organized...."her party workers allegedly using the occasion to extort money" quoted and extracted from "The Times of India" (leading news media IANS, 13 January 2010, 12:33pm IST). In India, there are plentiful similar politicians and bureaucrats serving, their interest first prior their duties to the elected office and fabulously corrupt. The solutions to eliminating corruption is simple, the words literally is EDUCATION. Educated masses would not follow Mayawati's path instead would prefer honest entity and politician.
India TODAY has created it's respectability among nations of the world, due to the current Prime Minister Dr. Manmohan Singh is respected for his ability, knowledge, wisdom, expertise in economics, honesty, integrity and humility. Of all the Prime Ministers and Presidents of nearly 190 countries of the world, he is academically the most highly qualified. He holds two PH.D’s in Economics from the most prestigious Universities of Cambridge and Oxford. (By Staff writer of DT N News)
(NSI News Source Info) LUCKNOW - January 13, 2010: A monthly dole for Uttar Pradesh's poorest of the poor -- that is the ambitious scheme to be launched on chief minister Mayawati's 54th birthday, a day that has become notorious for her Bahujan Samaj Party (BSP) celebrating it as a fund raising event.
But this Jan 15, Friday, will be different. Instead of getting flak for her party workers allegedly using the occasion to extort money, Mayawati will launch the Rs.300 a month scheme for families living below the poverty line (BPL).
Top bureaucrats are busy putting final touches to the scheme, which will be formally launched at her official residence and will hopefully deflect focus from the many thousands of crores spent on memorials, statues and parks that have attracted widespread criticism, said an official. On this birthday, however, Mayawati was reaching out with a scheme that would cost the exchequer Rs.1,100 crore and would benefit about three million people, he added.
"What is significant about this scheme is that this would cover those who despite being poor were not receiving any financial benefit under various BPL schemes simply because they do not have BPL cards."
The rider is that the beneficiaries must not be availing any other pension schemes. While the old age and widow pension scheme also entitles the beneficiaries to a monthly pension of Rs.300, the burden is shared equally by the central government.
"But this new scheme is to be funded entirely by the state government," the official pointed out. The state government, he disclosed, had been repeatedly urging the central government to include a large chunk of poor people who could not be given BPL cards - despite their being far below the poverty line - simply because of the limit on the number of BPL cards that could be issued by the state.
"However, in view of the central government's continued silence on the issue, the chief minister decided to launch her own scheme so that a large number of otherwise deprived people could benefit," he added.

DTN News: Mexico TODAY January 13, 2010 ~ Mexico’s Deadliest Day In Drug War, 69 Killed In 24 Hours

DTN News: Mexico TODAY January 13, 2010 ~ Mexico’s Deadliest Day In Drug War, 69 Killed In 24 Hours *Source: DTN News / Int'l Media (NSI News Source Info) MEXICO CITY, Mexico - January 13, 2010: Mexico opened the new year with what could be its most dubious distinction yet in the 3-year-old battle against drug trafficking — 69 murders in one day. Mexican Federal Police escort Teodoro Garcia Simental, known as "El Teo" or "Tres Letras", a member of Tijuana cartels after being presented to the media in Mexico City January 12, 2010. Mexican police on Tuesday captured Garcia Simental, a drug kingpin known for having the corpses of tortured rivals dissolved in acid and blamed for much of a surge in violence in the northern border city of Tijuana, police said.
The country resembled a grim, statistical dart board on Saturday as law enforcement and media reported the deaths from various regions, including 26 in Ciudad Juarez, 13 in and around Mexico City and 10 in the city of Chihuahua.
More than 6,500 drug-related killings made 2009 the bloodiest year since President Felipe Calderon declared war on the cartels in late 2006 and deployed 45,000 soldiers to fight organized crime, according to death tallies by San Diego’s Trans-Border Institute.
Two weeks into 2010, gang bloodshed is becoming more grotesque as drug lords ramp up their attempts at intimidation.
Last week a victim’s face was peeled from skull and sewn onto a soccer ball. On Monday, prosecutors in Culiacan identified the remains of a former police officer divided into two separate ice chests.
Using their so-called Narcobarometer, researchers at the University of Trans-Border Institute track and analyze murders in Mexico, hoping to find ways to quell the violence.
Their tally? Over 20,000 murders since 2001, more than half in the past two years.
As Mexico tries to develop, the killings jeopardize its international reputation, said Larry Birns, director of the Council on Hemispheric Affairs in Washington

DTN News: South Korea Aims To Export 80 Nuclear Reactors By 2030

DTN News: South Korea Aims To Export 80 Nuclear Reactors By 2030 *Source: DTN News / Int'l Media (NSI News Source Info) SEOUL, South Korea - January 13, 2010: South Korea said on Wednesday it aimed to export 80 nuclear reactors by 2030 to hold a 20 percent share of the global market, shortly after winning a landmark $40 billion nuclear power deal in the Middle East.Nuclear Reactor ~ Tightly sealed area where fission of the fuel is carried out in a controlled manner to release heat. Nuclear Generating Station ~ Plant that produces electricity from thermal energy generated by the fission of fuel atoms in a reactor.
The government and private entities will invest a total of 400 billion won ($355.7 million) in research and development between 2011 and 2017 to improve domestic nuclear reactor technology, the government said in a statement. Asia's fourth-largest economy also plans to acquire stakes of overseas mines to raise its self-development rates of raw materials for nuclear power, including uranium, to 25 percent by 2016 and 50 percent by 2030 from 6.7 percent this year, the statement said. A South Korean consortium won the Middle East's biggest ever energy contract to build and operate four nuclear reactors for the United Arab Emirates, beating more favoured US and French rivals.

Tuesday, January 12, 2010

DTN News: New Russian Navy Task Force To Patrol Somali Waters

DTN News: New Russian Navy Task Force To Patrol Somali Waters *Source: DTN News / RIA Novosti (NSI News Source Info) MOSCOW, Russia - January 12, 2010: A new task force from Russia's Baltic Fleet will join international efforts to fight piracy off the Horn of Africa, a Russian Navy spokesman said on Tuesday. The task force led by the Neustrashimy (Fearless) frigate will replace the Admiral Chabanenko destroyer from Russia's Northern Fleet, the spokesman said, adding that Russian warships would continue regular patrols near the Horn of Africa and the Gulf of Aden in 2010. "This is due to continued pirate attacks on peaceful civilian vessels, and also a real threat for sailors who are Russian nationals," the spokesman said. The Neustrashimy completed an anti-piracy mission in February 2009. The upcoming deployment will be the Neustrashimy's second tour. The frigate's armament includes SS-N-25 Switchblade anti-ship missiles, SA-N-9 Gauntlet SAM, a 100-mm gun, torpedoes and depth charges. The frigate also carries a Ka-27 ASW helicopter. The Russian task force comprising the Admiral Chabanenko and a support ship arrived in the Gulf of Aden in late November for Russia's anti-piracy mission. The Russian Navy has maintained a constant presence off the Horn of Africa, with each fleet dispatching warships on a rotational basis. Russia joined international anti-piracy efforts off the Somali coast in October 2008. Pirates based in Somalia, which has been without an effective government since 1991, hijacked more than 35 vessels in 2009, and have already seized two this year.

DTN News: U.S. Department of Defense Contracts Dated January 12, 2010

DTN News: U.S. Department of Defense Contracts Dated January 12, 2010 *Source: DoD issued January 12, 2010 (NSI News Source Info) WASHINGTON - January 12, 2010: U.S. Department of Defense, Office of the Assistant Secretary of Defense (Public Affairs) Contracts issued January 12, 2010 are undermentioned; CONTRACTS
ARMY *Johns Hopkins University Advanced Physics laboratory, Laurel, Md., was awarded on Jan. 8, 2010, a $24,777,235 cost-plus-fixed-fee contract. This contract is to build Phase II on the preliminary design created in Phase I, culminating in the completion of a working prototype that demonstrates the capabilities of the National Cyber Range (NCR). Upon completion of all phases, it is anticipated that the NCR will enable a revolution in the nation’s ability to conduct cyber operations by providing a persistent cyber range. Work is to be performed in Laurel, Md. (43.8 percent); Cambridge, Mass. (24.8 percent); Albuquerque, N.M. (6.2 percent); North Chelmsford, Mass. (5.6 percent); Northport, N.Y. (4.4 percent); Los Angeles, Calif. (4.1 percent); Bethesda, Md. (2.7 percent); Salt Lake City, Utah (2.5 percent); Idaho Falls, Idaho (2.4 percent); Columbia, Md. (2.0 percent); Columbia, Md. (1.3 percent); and Camden, N.J.(0.2 percent), with an estimated completion date of April 14, 2011. Bids were solicited via broad agency announcement with seven bids received. Defense Advanced Research Project Agency Arlington, Va., is the contracting activity (HR0011-10-C-0039). *Bristol Construction Services, LLC, Anchorage, Alaska, was awarded on Jan. 7, 2010, a $17,450,531 construction contract. This contract is to provide labor, materials and equipment to repair/upgrade the access rail line and on-post rail system, increasing turning radiuses and track gauges, at the Military Ocean Terminal, Sunny Point, Southport, N.C. Work is to be performed in Southport, N.C., with an estimated completion date of March 31, 2012. One bid was solicited with one bid received. U.S Army Corps of Engineers, Savannah District, Savannah, Ga., is the contracting activity (W912HN-08-C-0072). *Lockheed Martin Simulation, Training and Support, Orlando, Fla., was awarded on Jan. 8, 2010, an $8,121,044 cost-plus-fixed-fee contract. This contract is for Phase II, which will build on the preliminary design created in Phase I, culminating in the completion of a working prototype that demonstrates the capabilities of the National Cyber Range (NCR). Upon completion of all phases, it is anticipated that the NCR will enable a revolution in the nation’s ability to conduct cyber operations by providing a persistent cyber range. Work is to be performed in Orlando, Fla. (22.83 percent); Cherry Hill, N.J. (30.82 percent); Salt Lake City, Utah (1.54 percent); Minneapolis, Minn. (2.43 percent); Hanover, Md. (8.98 percent); Piscataway, N.J. (10.71 percent); Princeton, N.J. (8.53 percent); Columbia, Md., (3.17 percent); Golden Valley, Minn. (2.62 percent); Albuquerque, N.M. (3 percent); San Antonio, Texas (2.90 percent); and Washington, D.C. (1.99 percent), with an estimated completion date of April 14, 2011. Bids were solicited via broad agency announcement with seven bids received. Defense Advanced Research Project Agency, Arlington, Va., is the contracting activity (HR0011-10-C-0042). *ITT Corp., Night Vision Division., Roanoke, Va., was awarded on Jan. 7, 2010, a $7,392,497 firm-fixed-price contract for various night vision equipments for the country of Canada. Work is to be performed in Roanoke, Va., with an estimated completion date of Dec. 31, 2010. One sole source bid was solicited with one bid received. CECOM Acquisition Center, Fort Monmouth, N.J., is the contracting activity (W15P7T-10-C-D214). *Cox Construction Co., Vista, Calif., was awarded on Jan. 8, 2010, a $6,754,600 firm-fixed-price contract. This contract is to design and construct non-standard military operations urban training facility. This Phase IV of a four-phase program is to construct permanent urban operations training facilities to conduct force on force urban operations training at the battalion and brigade collective training level. Primary facilities for Phase IV include additional military operations terrain collective training facilities. Supporting facilities include site preparations, electric power and lighting, and paving and storm drainage. Work is to be performed in Fort Irwin, Calif., with an estimated completion date of June 30, 2011. Bids were solicited via the Federal Business Opportunities and Army Single Face to Industry Web sites, with seven bids received. U.S. Army Engineer District, Los Angeles, Calif., is the contracting activity (W912PL-10-C-0006). NAVY *Systems Planning and Analysis, Inc., Alexandria, Va., is being awarded a $13,459,708 cost-plus-fixed-fee contract for ongoing support for the nuclear weapons security program and nuclear weapons surety, and the SSBN Transit Protection Program (TPS). The contractor will provide program planning, systems engineering services, support of surety inspections and monitoring, and analytical support. The contractor will also provide management support required in the implementation, improvement and execution of the TPS program. This contract contains options which, if exercised, will bring the value of the contract to $25,798,773. Work will be performed in Alexandria, Va. (94 percent); Kings Bay, Ga. (3.5 percent); and Silverdale, Wash. (2.5 percent). Work is expected to be completed by Nov. 26, 2010. Contract funds in the amount of $13,459,708 will expire at the end of the current fiscal year. This contract was not competitively procured. Strategic Systems Program, Arlington, Va., is the contracting activity (N00030-10-C-0016). *Wyle Laboratories, Inc., Huntsville, Ala., is being awarded a $10,803,500 cost-plus fixed-fee, indefinite-delivery/indefinite-quantity contract to provide airborne electronic attack engineering support for the EA-6B, EA-18G, and other advanced electronic attack derivatives at the Naval Air Warfare Center Weapons Division (NAWCWD), Point Mugu, Calif. Work will be performed at NAWCWD, Point Mugu, Calif. (85 percent); NAWCWD, China Lake, Calif. (5 percent); Naval Air Warfare Center Aircraft Division, Patuxent River, Md. (5 percent); and Naval Air Station, Whidbey Island, Wash. (5 percent). Work is expected to be completed in January 2015. Contract funds will not expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR. NAWCWD, China Lake, Calif., is the contracting activity (N68936-10-D-0014). *Orbital Sciences Corp., Launch Systems Group, Chandler, Ariz., is being awarded a $10,446,921 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for GQM-163A aerial target operations and maintenance services in support of the Naval Air Station (NAS), Point Mugu, Calif., and the Pacific Missile Range Facility (PMRF), Barking Sands, Hawaii. Work will be performed at NAS Point Mugu, Calif. (40 percent); Chandler, Ariz. (40 percent); and PMRF Barking Sands, Hawaii (20 percent). Work is expected to be completed in December 2012. Contract funds will not expire at the end of the current fiscal year. This contract was not competitively procured. The Naval Air Warfare Center Weapons Division, Point Mugu, Calif., is the contracting activity (N68936-10-D-0012). *Black Construction Corp./MACE International, JV, GMF Barrigada, Guam, is being awarded a $9,137,800 firm-fixed price contract for wharf utilities upgrade at Naval Support Facility, Diego Garcia. Work will be performed in Diego Garcia, British Indian Ocean Territory, and is expected to be completed by October 2011. Contract funds will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online Web site with two proposals received. The Naval Facilities Engineering Command, Far East, Yokosuka, Japan, is the contracting activity (N40084-10-C-0004). AIR FORCE *EOSPACE, Inc., Redmond, Wash., was awarded a $11,842,411 contract which will provide a program to develop and demonstrate revolutionary advances in photonic links for radio frequency antenna transmit and receive applications. At this time, $567,000 has been obligated. Det 1 AFRL/PKDB, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-10-C-7002).

DTN News: U.S. Department of Defense Announces Afghanistan Force Deployment

DTN News: U.S. Department of Defense Announces Afghanistan Force Deployment *Source: U.S. Department Of Defense ~ New Release January 12, 2010 (NSI News Source Info) WASHINGTON - January 12, 2010: The Department of Defense announced today the deployment of approximately 3,100 additional forces to Afghanistan, part of the 30,000 troops authorized by President Obama on Nov. 30. The 4th Combat Aviation Brigade, 4th Infantry Division, from Fort Hood, Texas, will deploy approximately 2,600 soldiers to Afghanistan in the summer of 2010. The deployment of this brigade will increase the capabilities of the International Security Assistance Force. Secretary of Defense Robert Gates also approved the deployment of approximately 500 support forces, which will deploy at various times through the summer of 2010. The DoD will continue to announce major unit deployments. For additional information on the combat aviation brigade, contact Army Public Affairs at 703-614-2487.

DTN News: Boeing Delivers 4th KC-767 Tanker To Japan Ministry Of Defense‏

DTN News: Boeing Delivers 4th KC-767 Tanker To Japan Ministry Of Defense‏ *Source: DTN News / Boeing (NSI News Source Info) ST. LOUIS, - January 12, 2010: The Boeing Company [NYSE: BA] on Jan. 8 delivered the last of four KC-767 aerial refueling tankers to the Japan Ministry of Defense, completing one of the International Tanker team's most significant milestones. Boeing's partner on the Japan Tanker program, Itochu Corp., handed over the KC-767 advanced tanker to Japan Ministry of Defense officials. Assigned to the 1st Airlift Wing of the Japan Air Self-Defense Force at Komaki Air Base, it is the third consecutive KC-767 tanker to be delivered to Boeing's Japan customer within the contracted schedule and budget. "Providing Japan with the fourth and final KC-767 tanker on-schedule and on-cost, as we did the previous two KC-767s, means a great deal to our company and our relationship with this important customer," said Dennis Muilenburg, president and CEO of Boeing Defense, Space & Security. "Because of these tankers, Japan now has the capability to perform vital self-defense, refueling and airlift missions. Also, when necessary, it possesses the capability to perform critical humanitarian and disaster-relief missions across the Pacific region and beyond using the KC-767." "We are proud to have been a partner in the successful delivery and implementation of the KC-767 aerial refueling tanker into the Japan Air Self-Defense Force," said Greg Kasagawa, executive officer and COO of the Aerospace and Industrial Systems Division of Itochu Corp. "The fleet of tankers is playing a significant and key role in the strategic self-defense needs of Japan." The fourth tanker flew to Japan on Dec. 20 from Boeing's tanker modification facility in Wichita, Kan. The KC-767 is a military derivative of the proven 767-200ER commercial widebody airplane built at Boeing's commercial production facilities in Everett, Wash. Boeing delivered the first three KC-767 tankers to Japan in February 2008, March 2008 and March 2009.The Boeing 767 tanker transport aircraft, designated KC-767 for the US Air Force, is a high-performance version of the Boeing 767-200ER twin-aisle jetliner equipped for fully integrated tanker operations. It is fitted with either boom and receptacle refuelling, hose and drogue refuelling or both. The commercial 767 first entered service in 1982 and more than 880 aircraft have been delivered. The cabin of the tanker can be configured for passenger transport, as a freighter, convertible (passenger or freighter) or Combi (passenger and freighter). In April 2003, the Japanese Air Self Defence Force ordered four of the convertible freighter variant. The maiden flight of the first aircraft was in December 2006. The first two aircraft were delivered in February and March 2008. The third is scheduled for delivery in 2009 and the final aircraft in 2010. Boeing announced in May 2009 that the three KC-767J aerial refuelling tankers had achieved initial operational capability (IOC) and have been placed in an active air wing in the Japan Air Self Defence Force (JASDF). Boeing is scheduled to transfer the fourth tanker to Itochu in December for delivery to the Japanese Ministry of Defence in the first quarter of 2010. The Japan KC-767 fleet is currently undergoing Operational Evaluation by the Japan Air Self-Defense Force, a process that should be completed early this year. The fleet achieved Initial Operational Capability (IOC) in March 2009. The tanker has an open architecture cockpit and is configured with the advanced Boeing air refueling boom and the associated Remote Aerial Refueling Operator (RARO) II system. Japan selected the convertible freighter configuration, allowing it to carry cargo or passengers while maintaining its primary role as an aerial tanker. With a convertible freighter interior, the Japan tanker can be rapidly converted from all-passenger to all-cargo configurations. Boeing also is on contract to deliver four KC-767s to the Italian Air Force. Three of the four tankers are in flight test, with the fourth airplane still being modified. A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $32 billion business with 70,000 employees worldwide.

DTN News: Boeing To Provide US Army With Battle Command System Support

DTN News: Boeing To Provide US Army With Battle Command System Support *Source: DTN News / Boeing (NSI News Source Info) HUNTSVILLE, Ala., - January 12, 2010: The Boeing Company [NYSE: BA] today announced that it will provide systems design, development and testing services for the U.S. Army's Integrated Air and Missile Defense Battle Command System (IBCS). IBCS is part of the Army's modernization effort; it will integrate current and future air and missile defense systems into a common battle command system. "The integration of sensors, weapons and battle management software through IBCS will provide the warfighter with a unified, open-architecture environment and the capability to counter continually evolving air and missile threats," said Dave Pope, Boeing director of Command and Control Enterprise Solutions. "Boeing's experience as a system-of-systems integrator will help ensure IBCS increases warfighter effectiveness against these threats." Boeing is a member of the IBCS team led by Northrop Grumman Corp. [NYSE: NOC]. Boeing is responsible for leading the IBCS test activity, including developing the contractor test plan, testing software and hardware, and verifying and validating system requirements. Boeing also will lead the design, development and testing of the IBCS "plug-and-fight" interface, which will serve as a bridge between the existing legacy systems and the new battle command system. IBCS is expected to be fielded by 2014. A unit of The Boeing Company, Boeing Defense, Space & Security is one of the world's largest defense, space and security businesses specializing in innovative and capabilities-driven customer solutions, and the world's largest and most versatile manufacturer of military aircraft. Headquartered in St. Louis, Boeing Defense, Space & Security is a $32 billion business with 70,000 employees worldwide.

DTN News: Brazil To Choose France's Rafale Jet According To Government Source

DTN News: Brazil To Choose France's Rafale Jet According To Government Source * Lula to choose French Rafale jets for Brazil fleet * Brazil still seeking lower price for Rafale order * Air force prefers Swedish plane *Source: DTN News / Reuters By Natuza Nery (NSI News Source Info) BRASILIA, Brazil - January 12, 2010: President Luiz Inacio Lula da Silva will choose the French-made Rafale jet as Brazil's next-generation fighter plane but wants to negotiate a lower price, a cabinet member told Reuters on Monday. Lula will opt to buy 36 Rafale multi-role aircraft made by France's Dassault Aviation (AVMD.PA) despite the Brazilian Air Force's preference for the Gripen NG made by Sweden's Saab (SAABb.ST), said the minister, speaking on condition of anonymity. "The government doesn't decide under pressure from anybody, not even the Air Force. The ball is in the court of the French," said the minister, "If they reduce the price, we'll close the deal soon." The Rafale is reported to have the highest price of the three finalists in the bidding process, which includes the Boeing Co (BA.N) F-18. Last week local media reported the Air Force preferred the Gripen NG because it had a lower purchase and maintenance cost and would allow for more technology to be transferred to Brazil. Lula's government said in September it was entering final negotiations with France to acquire the Rafale. Brazil has a strategic defense agreement with France worth billions of dollars, including the local assembly of helicopters and submarines. Unlike the Rafale, which is a finished product, the Gripen NG would be developed with Brazilian participation, according to an Air Force report cited by local newspapers. The deal, which could initially be worth more than $4 billion, has sparked fierce competition among aircraft manufacturers. Latin America's largest country is seeking a generous technology transfer offer and local assembly. The deal could eventually rise to more than 100 aircraft. Lula said last year that his final decision on which planes Brazil buys would be political rather than technical. (Writing by Raymond Colitt; editing by John Wallace)