Archive of articles - July 1996, page 3

The Spotlight

Tatra Banka grabs award

BULGARIAN PRESIDENT CALLS FOR PRESIDENTIAL REPUBLIC

First half '96 saw strategic ownership changes

The Slovak capital market performed much better in the first half of 1996 than in all of 1995. Liquidity more than doubled and due to the application of disclosure rules (regarding the breaking of set thresholds in ownership), the market became more transparent. Apart from foreign investors who decided to downplay the persistent political concerns, the main impetus in the capital market was a changing of majority stakes in companies by strategic investors and the restructuring of major investment portfolios. Examples of the change in ownership include: SES Tlmače, Drovotňa, Považské strojárne and more recently, Váhostav. Increased interest in Slovak shares resulted from positive results turned in by major Slovak companies and the country's regionally stunning macro-economic figures, such as the lowest inflation rate in central Europe.

Bratislava café

Consumer prices rise in June

East European reps reiterate desire to enter NATO

U.S. Senate committee backs three NATO bids

The Facts on "Peacemaker"

Looking for Nicole Kidman's long, red, curly hair? Don't look too hard. The actress has changed her 'do to brown, straight and shoulder length, probably to make her look more like a nuclear physicist. These aren't the START talks. Shelley Komarov, the costume designer, negotiated with Pavel Grachev, the former Russian Defense Minister in order to borrow authentic Russian uniforms for the film. After filming is completed, the uniforms will be returned to the Russian military. True blue. A U.S. military advisor is a member of the crew, to ensure an authentic portrayal of American military personnel.

Agressive Daewoo negotiating big purchases from VSŽ and Matador

After seeing their car sales more than double in the first quarter of 1996 - to 2,713 units, accounting for a 17 percent market share - the South Korean auto maker Daewoo is convinced of Slovakia's promising economic potential. Their success coincided with the October 1995 drop of custom duties and import taxes on new vehicles with an engine capacity of 1500 cc or less. The tariffs are expected to go into effect at the beginning of 1997, so Daewoo executives are looking into building an auto factory in Slovakia. This would give it the same advantages against import duties that Škoda and VW enjoy as they both produce domestically. "We are looking to invest more in Slovakia," said Chun Keong Jun, Daewoo's director of Slovak operations.

France Telecom wants piece of ST

Budapest declaration on autonomy rouses tornado of ire

A communiqué floated after a July 7 meeting in Budapest between Hungarian government and parliamentary officials and ethnic Hungarians in neighboring countries supporting autonomy for Hungarians living abroad has whipped up a tornado of protests from Slovakia and other countries. The document read in part: "The establishment of local governments and autonomy - in line with current European practice and the spirit of international norms - is vital to preserving the identity of Hungarians beyond the borders." Slovak officials were quick to condemn the resolution. Foreign Minister Juraj Schenk called it "a step against the trend of positive development of mutual relations," marked by the creation of a basic treaty between Slovakia and Hungary last year.

Central and eastern Europe not best place to invest for now

The Spotlight

U.S. First Lady, Albright pay quick visit

American First Lady Hillary Clinton may have been in the spotlight, but it was U.S. Ambassador to the U.N. Madeleine Albright that voiced heightened U.S. concern with Slovakia's democratic development in a whirlwind seven-hour tour of Bratislava on July 6. While Clinton's calls on President Michal Kováč and Prime Minister Vladimír Mečiar were not to press U.S. policy, Albright's were, and they clearly showed that the White House had made a conscious decision to delineate specific U.S. concerns. After the hour-long session with Mečiar and other senior government officials, Albright enumerated what they were: the amendment to the Penal Code (known also as the Protection of the Republic bill), bills related to the media and universities, and the newly-passed law on foundations.

Slovaks find better bargains in Poland

Banská Bystrica - Every weekend, scores of buses, taxis and private vehicles from all corners of Slovakia hit the road to shop at the huge flea market in Nowy Targ, a Polish town just across the border. There greeting them in the bazaar is a vast array of goods - from mundane cleaning products to exotic Polish workhorses. Why should a country market in Poland attract so many Slovak shoppers? Better bargains. Three Slovaks from the Rolnícke Družstvo farming cooperative near Žiar nad Hronom in central Slovakia, said they made the trip by charter bus "for financial reasons...We just can't afford to buy what we need at Slovak prices." The group said they had come in part for Polish strawberries - at 20 Sk/kg, cheaper by over two-thirds than their Slovak counterpart.

Yazaki-Debnár to invest $16 million more

While the Slovak government has been criticized by investors both actual and potential for its lack of competitive tax incentives, one Japanese-Slovak joint venture announced an increase in its commitment to production in the country on July 15. Yazaki-Debnár, a Japanese-Slovak joint venture in Prievidza that produces electric wire harnesses, initially invested 55 million Sk ($1.9 million) in 1994. By the end of 1998, that investment may reach 500 million Sk ($16.7 million) with expanded operations, the company announced. With expansion, the plant's payroll will grow from 450 employees to 2,000 by the end of 1997.

Poland welcomed into OECD club

EuroTel plans to sink $3 billion in GSM network