We compliment Mayor Cianci on his ability to quickly grasp the potential of such an attraction for the city, and more importantly for the decisive way in which he stepped up to make it happen.

To give you an idea of the complexities involved, this is a Soviet cruise missile submarine docked in Canada, operating on a US State Department export license with a New Zealand crew, chartered by an English film equities corporation (the subsidiary of a Munich-based conglomerate) and a California-based movie company incorporated in Delaware. The former owner is a Finnish company run by the ex-son-in-law of a former president of Finland. The registered owner is a Maltese company, and the deal was brokered through a company in New York representing the Finnish owner.

While the submarine itself is in superb condition (the filmmakers drydocked her twice, and spent hundreds of thousands of dollars ensuring she was in good shape for the movie), some modifications will be needed to make her visitor-friendly. Thanks to Ray Meador and Bill Botham of ProvPort, the submarine will be temporarily moored at Berth 1 while we prepare both the sub and her public access mooring for visitation.

We estimate that work will take 60-90 days. Our plans are to have the submarine open to the public as a public attraction well before the movie's projected July 19 release date. When she opens, Juliett 484 will be one of only two submarines of her class outside of the former USSR. The other is on display in Peenemunde, Germany.

While a final decision as to where the submarine will be displayed this summer has not yet been made, one of the sites under serious consideration is Collier Point Park, on the west side of Narragansett Bay north of ProvPort. That property is owned by PG&E National Energy group. We are working closely with Bill Freddo, General Manager of the Manchester Street Station, to work through the final logistical issues.

"PG&E is very supportive of projects such as this," Freddo tells us. "We look forward to working with the USS Saratoga Museum people to help realize their vision for Narragansett Bay," he concludes.

The Foundation has had its eye on this submarine for more than three years, thinking it would be a great point/counterpoint display with USS Saratoga. We always felt we would have the carrier first, and if the submarine were still available we would then pursue it to complete the perfect depiction of Cold War naval strategy.

Unfortunately, our desire to create an Air, Land & Sea Heritage and Technology Park at Quonset Point has been stalled due to the controversy concerning development options at the former naval base. The opportunity to acquire this submarine on very favorable terms was presented to us, and there was a very small window of time in which to pull the trigger. Thanks to Mayor Cianci and his staff (especially Deputy Policy Director Paul Campbell) we were able to do so.

By acquiring the submarine first, it now appears the tail will wag the dog. This dramatically expands the concept for an Air, Land & Sea Heritage and Technology Park. We now have the potential to become an international mecca for those who would wish to walk the decks of two cold war combatants; adversaries that once hunted each other could be united for a peaceful and educational purpose.

Perhaps more importantly, this submarine puts us in the attraction business immediately. We are no longer just an abstract idea. We will be able to generate cash flow, train staff and volunteers. More importantly we can regain the momentum lost in December when the Economic Development Corporation board failed to renew our conditional access to the Carrier Pier at Quonset.

All-volunteer efforts such as ours depend on the enthusiasm of those volunteers to keep the effort vibrant and alive. Putting this submarine back into service, so to speak, will give our volunteer corps that jolt of adrenaline needed.

Speaking of volunteers, we invite all former submariners to contribute their time and efforts to this cause. Those interested in volunteering should call Bob Albee at (401) 823-4200.

Another important result is the significant strengthening of our balance sheet this acquisition provides. This submarine cost about $300,000,000 in today's dollars to build. While it will certainly not be worth that much today, we will actually own it, and will be able to pledge it as collateral to those financing sources concerned about that issue. The titanium, copper and other metals used in her construction alone are worth untold thousands of dollars--to say nothing of all the electronic gear and mechanical equipment included in the sale, ranging from diesel generators to a satellite phone.

We are confident this acquisition will accelerate our progress dramatically, and will give the aircraft carrier project the momentum it needs to succeed.

In closing, we would like to acknowledge the unwavering support of Warren and Robert Galkin of NATCO Products Company in West Warwick. The Galkin brothers have generously donated their time and resources over the past two years in support of our efforts. Although we are not able to discuss the financial details of this sale, we can say it is largely due to the help of the Galkins that we were able to meet the requirements needed to bring Juliett 484 to Providence. (FYI, no money donated for the purpose of establishing the USS Saratoga Museum was used, or will be used in the future, to finance the Russian submarine operation.)

We would also like to acknowledge the hard work of attorney Joseph White of Nixon Peabody LLP, whose professionalism and negotiating skills contributed greatly to this great new attraction for the city and the state.

Special thanks also go to the management and legal counsel of Intermedia Film Equities and Palomar Productions, who worked with Mr. White and Foundation management to complete this very complicated transaction.