http://www.voanews.com/english/2008-09-08-voa45.cfm

US Withdraws From Nuclear Deal with Russia  By Meredith Buel
Washington
*08 September 2008*


*The United States has pulled out of an agreement with Russia for civilian
nuclear cooperation.  VOA correspondent Meredith Buel has details from
Washington.  *

U.S. Secretary of State Condoleezza Rice said in a statement that President
Bush is notifying Congress he is rescinding a request for consideration of
the nuclear cooperation deal with Moscow.

The nuclear agreement, which would have required U.S. congressional
approval, was signed earlier this year in Moscow and was designed to allow
U.S. and Russian companies to become partners in joint ventures involving
the nuclear industry.  Analysts say business generated by the agreement
could have been worth billions of dollars.

In the statement read by State Department spokesman Sean McCormack, Rice
says U.S. nonproliferation goals contained in the agreement remain valid,
but the timing is not appropriate for such an accord.

"We make this decision with regret," said Sean McCormack. "Unfortunately,
given the current environment the time is not right for this agreement.  We
will reevaluate the situation at a later date as we follow developments
closely."

In a separate statement issued by the White House, President Bush linked the
decision to Russia's military action in Georgia.

McCormack says Russia's conflict with Georgia is causing Washington to
reevaluate its relations with Moscow.

"So of course it stands to reason you take a look at the relationship and we
have said it is not business as usual," he said. "It can not be business as
usual."

McCormack says U.S. embassy officials in Moscow have notified the Russian
government of the decision.

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