The critical field for superfluid $^3$He in axially compressed, anisotropic silica aerogel is shown to be the result of an anisotropic distribution of magnetic impurities affecting the superfluid $A$ phase. The critical field results from the fact that the $A$ phase is suppressed relative to the $B$ phase which is immune to the effects of magnetic impurities. In the absence of magnetic quasiparticle scattering in anisotropic aerogel, we find that the relative symmetry of $A$ and $B$ phase order parameters is the same as in isotropic aerogel, just as it is in pure superfluid $^3$He. These results are of potential importance for understanding unconventional superconductivity.
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