A B727-200 WITH A DEFERRED RADIO ALTIMETER WAS REMOVED FROM SVC DUE TO CONFLICT BTWN THE FOM AND THE MAINT RELEASE ON LEGALITY OF FOREIGN OP WITH THE DEFERRED ITEM.

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INBOUND FLT WRITE-UP FOR ERRATIC RADIO ALTIMETER CAUSED MECHS TO DISABLE GPWS; RADIO ALTIMETER; CAT II ABILITY AND TCASII. WAS APCHED BY MECH WHO ASKED ME TO CONTACT DISPATCH TO AGREE TO TAKING PLANE TO YVR. WX WAS GOOD AND CREW AGREEABLE. AS MECHS WERE COLLARING CIRCUIT BREAKERS; ETC; SO SAW 'MAINT RELEASE DOCUMENT' RELEASE NARRATIVE STATING ACFT NOT TO BE DISPATCHED TO A FOREIGN STATE. CONTACTED WXXX AT DISPATCH AND SHE DISCUSSED FURTHER WITH MGR AND INTL DISPATCHER AND WE DECIDED THAT EVEN THOUGH CANADA/ALASKA REGIONS CHAPTER OF FOM SAYS FOR FAR APPLICABILITY AND FUEL RESERVES; YVR IS DOMESTIC OP; IT IS STILL A FOREIGN STATE. WE RECEIVED ANOTHER ACFT WOULD LIKE ANY INPUT AVAILABLE. IT APPEARS TO BE LEGAL TO GO TO CANADA WITHOUT TCASII IF YOU ONLY READ THE FOM; BUT THE MAINT RELEASE SEEMED VERY CLR THAT DISPATCH TO A FOREIGN STATE IS ILLEGAL. THE DOMESTIC DISPATCH MGR FELT THAT IT WAS LEGAL TO GO (CITING FOM); BUT I FELT THAT IF IT IS LEGAL; THE MAINT RELEASE SHOULD STATE CANADA IS LEGAL; NOT AS CURRENTLY PRINTED. WXXX AND ANOTHER INTL DISPATCHER AGREED IT WAS NOT LEGAL TO TAKE THE ACFT.