Algeria returns Russian fighter jets. Is France to blame?

http://en.rian.ru/analysis/20080219/99633894.html

Algeria returns Russian fighter jets. Is France to blame?

In the first act of reclamation regarding Russian military equipment,
Algeria plans to return to Russia the 15 MiG fighter jets it bought in
2006 and 2007. Experts say there are political reasons for the
decision and hint at France's behind-the-scenes involvement.

The Algerian Air Force, the Russian MiG Corporation and state arms
exporter Rosoboronexport signed the agreement on the return of the
Russian-made weapons last week, shortly before the planned visit by
Algerian President Abdelaziz Bouteflika.

Although there are clearly political reasons for the decision, market
players wonder if the agreement will be terminated or revised. Sources
in the sector fear the excessive media coverage of the problem might
complicate negotiations.

The partners signed the contract for the delivery of 26 MiG-29SMT one
seaters (an upgraded version of MiG-29A Fulcrum) and six two-seaters
MiG-29UB Fulcrum-B in March 2006. The contract is worth nearly $1.3
billion.

The delivery was to be completed in February 2008, but in May 2007
Algeria stopped receiving the planes and suspended the transfer of
payments under military and technical contracts with Russia, which at
that time had received only $250 million in an advance payment.
Algerian authorities said they would reopen other contracts only if
Russia agreed to take back the 15 delivered MiGs.

Experts say any equipment can be proclaimed faulty, especially such
complicated equipment as military fighter jets.

Oleg Panteleyev, chief analyst at the Aviaport agency, said: "Improper
exploitation can lead to malfunctions. If the buyer really wants the
equipment it has contracted to buy, it will find ways to remove
malfunctions jointly with the designer. It is another matter if the
buyer wants to terminate the contract and discredit the producer."

Experts unanimously say that Algeria's decision is political and see a
connection to the operations of the French President, Nicolas Sarkozy.
Political pressure put on Algeria has been complemented with the
promotion of the French-made Rafale fighters.

"Political reasons clearly dominate and France's hand is evident in
this case," said Panteleyev. The situation has gone too far now and
cannot be settled without the involvement of the two countries'
foreign ministries.

The planes Algeria wants to return will not rust in Russia, as many
countries would eagerly snatch them up, including India, Yemen,
Eritrea, Sudan, Egypt, Syria and Libya. So Russia will not sustain big
financial losses, while Algeria's reputation will be tarnished,
experts say.

If Algeria terminates the contract, Russia might remove it from the
list of potential buyers of its military equipment.
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