In 1959, the Diefenbaker government cancelled the development and manufacture of the Avro CF-105 Arrow. The Arrow was a supersonic jet interceptor built by Avro Canada in Malton, Ontario, to defend Canada in the event of a Soviet attack. The interceptor had been under development since 1953, and had suffered from many cost overruns and complications. In 1955, the RCAF stated it would need only nine squadrons of Arrows, down from 20, as originally proposed. According to C. D. Howe, the former minister responsible for postwar reconstruction, the St. Laurent government had serious misgivings about continuing the Arrow program, and planned to discuss its termination after the 1957 election. In the run-up to the 1958 election, with three Tory-held seats at risk in the Malton area, the Diefenbaker government authorized further funding. Even though the first test flights of the Arrow were successful, the US government was unwilling to commit to a purchase of aircraft from Canada. In September 1958, Diefenbaker warned that the Arrow would come under complete review in six months. The company began seeking out other projects including a US-funded "saucer" program that became the VZ-9 Avrocar, and also mounted a public relations offensive urging that the Arrow go into full production. On February 20, 1959, the Cabinet decided to cancel the Avro Arrow, following an earlier decision to permit the United States to build two Bomarc missile bases in Canada. The company immediately dismissed its 14,000 employees, blaming Diefenbaker for the firings, though it rehired 2,500 employees to fulfil existing obligations.