Global Policy Forum

Corporate America and Israeli Occupation

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By Sam Bahour

The Progressive Response/Foreign Policy in Focus
May 23, 2002

(Note: Excerpted from a new Outside the U.S. Global Affairs Commentary available in its entirety at http://www.fpif.org/outside/commentary/2002/0205corpisrael.html)

U.S. military-related corporations support Israeli occupation by way of an institutionalized mechanism provided for by Congress. Congress has stipulated that 75% of U.S. foreign military aid to Israel, which amounts to over $2 billion annually, must be spent buying U.S. products and services. Firms like Lockheed, Boeing, United Technologies, Raytheon, ExxonMobil, Northrop, Pgsus, General Dynamics, and Oshkosh, among others, are directly contributing to the tools that Israel uses to violate international and humanitarian law. The following are some specific cases:

* U.S. weapons manufacturer Lockheed Martin Aeronautics Company, which provides the fighter jets that have been used by Israel to bomb Palestinian cities that have been under military closure for 18 months, proudly announced on September 5, 2001 from Fort Worth, Texas that Israel had decided to purchase 52 more Lockheed Martin F-16 fighter jets. The contract value was reported as approximately $1.3 billion for only the aircraft.

* Sikorsky Aircraft Corporation, a subsidiary of United Technologies Corporation, sells Israel U.S. armaments used to destroy Palestinian cities and perform political assassinations of Palestinian civilians from the sky. "Our company's relationship of more than 40 years with Israel is a source of pride," said Sikorsky President Dean Borgman in a February 1, 2001 press release, while announcing his firm was awarded a $211.8 million contract for 24 additional Black Hawk helicopters to serve the Israeli Air Force.

* Other less visible military suppliers are those like Federal Laboratories in Saltsburg, Pennsylvania, which provides CS tear gas to the Israeli military. During the first Palestinian Intifada (uprising) in 1988, Federal Laboratories witnessed civil disobedience actions at their plant gate in Saltsburg and a lawsuit in U.S. courts after Israel misused their lethal tear gas by firing it into closed areas, resulting in the killing of many Palestinians. Federal Laboratories stopped exporting the gas for six months in 1988 and sent a fact-finding team to Israel before resuming sales.

Corporate America's support of the Israeli occupation is not confined to military equipment suppliers. In fall 1999, Burger King opened a franchise restaurant in an illegal Israeli settlement in the West Bank, only to be forced by its customers to close down the store to avoid a worldwide boycott.

In April alone three U.S. firms have been lured into collaboration with Israel's illegal occupation. Fifth Third Bank in Northeastern Ohio purchased $500,000 worth of bonds from Israel. Robert King, president and chief executive of the Cleveland affiliate of Fifth Third Bancorp in Cincinnati proudly stated in a press release that, "This year is the state of Israel's 50th anniversary, and now more than ever, it is poised to continue its growth as an industrial world leader." No mention was made by Mr. King that such growth comes at the cost of systematic, gross violations of human rights by Israel.

Microsoft Israel put company executives in Redmond, Seattle in an awkward position when they sponsored two large billboards on a main Israeli highway saluting Israel's armed forces at the same time the Israeli military was indiscriminately bombing the Jenin refugee camp. Only days after a grassroots letter writing campaign, partly led by the Israeli peace group Gush-Shalom, Microsoft executives announced that Microsoft Israel had acted alone and was instructed to take down the billboards, which they promptly did. Israel is the largest research and development site for Microsoft outside America. Bill Gates would serve world peace well by continuing his involvement and requesting that Israel end the occupation in order to qualify for continued commercial opportunities. The same can be said for Intel Corporation, which has the largest production facilities outside of the U.S. located in Israel.

(Sam Bahour is a Palestinian-American businessman living in the besieged Palestinian City of Al-Bireh/Ramallah in the West Bank and can be reached at < This e-mail address is being protected from spambots. You need JavaScript enabled to view it >.)


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FAIR USE NOTICE: This page contains copyrighted material the use of which has not been specifically authorized by the copyright owner. Global Policy Forum distributes this material without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. We believe this constitutes a fair use of any such copyrighted material as provided for in 17 U.S.C § 107. If you wish to use copyrighted material from this site for purposes of your own that go beyond fair use, you must obtain permission from the copyright owner.