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Release No: 165-95
April 05, 1995


Today, during his visit to Almaty, Kazakhstan, U.S. Secretary of Defense William Perry announced three industrial partnership awards aimed at assisting Kazakhstan convert its former Soviet weapons of mass destruction production facilities to commercial joint ventures. The three projects announced today and a partnership award announced in February brings to four the number of U.S. joint ventures thus far in Kazakhstan.

The projects total $36.9 million in investments. Through the Department of Defense (DoD) Cooperative Threat Reduction (CTR) program, the U.S. government will contribute $14.7 million to these projects. The four U.S. firms involved will contribute a total of $21.2 million.

The following awards were announced by Secretary Perry today:

-- Approximately $4 million will be provided Kras Corporation, Fairless Hills, PA., for a joint venture with Kazakhstan's National Nuclear Center to convert a former nuclear weapons testing facility to a printed circuit board manufacturing plant.

-- Approximately $3 million will be provided Byelocorp Scientific, Inc., New York City, for a joint venture with Kazakhstan partner Gidromash to convert a former missile and aircraft systems production facility to the manufacture and distribution of valves and pressure vessels for cryogenic materials and gases.

-- Approximately $2.7 million to Allen & Associates International, Washington, D.C., for a joint venture with Kazakhstan partner Biomedpreparat to covert a former biological warfare and production facility to a vitamins, pharmaceuticals and antibiotics manufacturing, packaging and distribution concern.

In February, the Department announced that it would provide $5 million to AT&T, Whippany, NJ., to convert a Kazakhstani military/industrial company, Kazinformtelecom, into an international telecommunications company.

According to Secretary Perry, CTR program assistance to Kazakhstan for defense conversion is a win, win, win situation. Such assistance helps reduce the threat of the proliferation of weapons of mass destruction; assists Kazakhstan in building a peaceful, commercially viable market economy while reducing its excess military industrial capacity; and promotes opportunities for U.S. industry's entry into a potentially large market for consumer goods and services.

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