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Editor's Note The year 2002 will undoubtedly be remembered as one of the most tumultuous, yet influential, in maritime history. A number of significant measures and events that have, and will, continue to deeply impact and define the marine market for decades to come were simultaneously started, continued or concluded during the calendar year, as real decisions affecting every level of the business were made. The significance of the year cannot be lost in the whirlwind of" activity ... and what a storm it was. While at times it may have seemed impossible to grasp a seemingly endless array of new proposals, mandates and rules, the eye of this storm is, and will continue to be, Safety and Security. Pre-September 11, 2001, Maritime Security was a nice topic, an important sub- ject that commanded significant attention. Today, the matter of keeping ships, crew, cargo, ports and populations safe permeates every fiber ot a boat and ship owners' plan. Priorities, focus and funds are constantly changing and multiplying, as compa- nies seek to ensure that their operations are not only safe, but compliant with new and emerging rules and regulations. At press time, the International Maritime Organization wrapped up a week ot intensive meetings at which a number of decisions were made regarding new safety initiatives, some with implementation dates as early as July 2004. The decisions are the culmination of a year of work by the IMO's Maritime Safety Committee and its Working Group, and the most far-reaching measure is the International Ship and Port Facility Security Code which ensures the security of ships and port facilities is basical- ly a risk management activity and that to determine what security measures are appro- priate, an assessment of the risks must be made in each particular case. At home, much has been happening in the area of Transportation Security, as Dennis Bryant discusses in his Government Update, starting on page 20. The changes in the U.S. government are profound, and looked upon as the most signifi- cant in more than 60 years. The Department of Homeland Security will officially open its doors on March 1, 2003. The Coast Guard will remain an integral part of the new department, and the aforementioned Maritime Transportation Safety Act of 2002 is the law. Currently, there are as many questions as answers stimulated by the query "How does all of this affect my business?" Stay tuned, as Maritime Reporter will dedicate significant space in each edition, headlined by Mr. Bryants Government Updates section, to help keep you ahead of the curve. On the Cover This month's cover feotures Incot Spearhead, port of the Advanced Concept Technology Demonstrator program by the Office of the Secretary of Defense and U.S. Army. The vessel will be used to demonstrate and evaluate its ability to perform during certain mission scenorios. See related story starting on page 38. In this edition 8 New Alaska Ferrv Ordered 15 SatCom Report 20 Government Update 24 Sea Technology 42 Navy Report 44 Propulsion Updates • New Cummins QSK60 • CCL Emission Reduction Test 46 Workboat 2002 Round-Up 49 New Ship Contracts 52 Marine Electronics 53 Products 54 Buyer's Directory 56 Advertiser's Index 58 Classified Ads Subscriptions: One full year (12 issues) SI8.00 in U.S.; outside of U.S. $96.00 including postage and handling. For subscription information, con- tact: Dale Barnett, fax: (212) 254-6271; e-mail: barnett@marinelink.corn MARITIME REPORTER AND ENGINEERING NEWS ISSN-0025-3448 USPS-016-750 NO. 1 Vol. 65 118 East 25th Street, New York, NY 10010 tel: (212) 477-6700; fax: (212) 254-6271 Founder: John J. O'Malley 1905 - 1980 Charles P. 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