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Breakfast Brief – 6 May 2009

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Table of Contents

NEWS
Senate could send Lisbon Treaty to court again
ODS Senator Jaroslav Kubera says he has the 17 necessary votes to send the Lisbon Treaty to the Constitutional Court and delay its ratification. The upper chamber is scheduled to vote on the treaty today and ratification is still considered likely. If the Senate approves the treaty, it will be sent to President Václav Klaus for his signature. Klaus opposes the Lisbon Treaty and it’s unclear whether he would sign it.
most Czech press

Fischer confirms ministry posts
PM designate Jan Fischer has confirmed the final version of his cabinet that will lead the country until early elections in October. The posts of finance minister and justice minister proved to be the most contentious. Former ministry deputy Eduard Janota will head the Finance Ministry and Daniela Kovářová, the head of the Justice Academy, will head the Justice Ministry. Jan Kohout and Martin Barták will fill the posts of deputy PMs.
most Czech press

New ministers present their plans
Newly appointed Finance Minister Eduard Janota is planning to cut 10% from each ministry’s budget next year, freeze salaries of public employees and hold down pension increases in an attempt to keep the budget deficit at CZK 150 billion. Health Minister Dana Jurásková wants to cancel obligatory medical fees, while Martin Pecina, the new interior minister, will file a request to ban the far-right Workers’ Party (DS).
most Czech press

OECD: Number of youth smokers in ČR among highest
According to a new report on youth smoking by the OECD, Czech teens are among the heaviest smokers in their age groups. According to data gathered in 2005 and 2006 among 35 countries, ČR placed second in the number of 15-year-old girls who smoke regularly, 23%, and fourth among 15-year-old boys who smoke, 20%.
LN 1, 5

Average Czech sorts almost 36 kg of trash
Last year every Czech sorted an average of 35.87 kg of paper, plastic, glass and drink cartons, according to the environment commission of the Union of Towns and Municipalities of the Czech Republic. This is a 12.9% increase from the previous year.
ČTK

MPs give chance to direct presidential vote
The Chamber of Deputies passed an amendment to the constitution in a first reading Tuesday that could pave the way for a direct presidential vote. It is not clear if the chamber will be able to pass the amendment before the early election.
ČTK

Health Ministry denies rumours over hospital closure
Deputy Health Minister Marek Šnajdr has denied rumours that the general teaching hospital in Prague was being considered for sale since it is located on lucrative land in the city centre. Proceeds from the sale would be used to fund a new hospital on the outskirts of Prague. The ministry is planning to commission a study worth CZK 50 million to find out whether it would be better to modernise the existing hospital or build a new one.
HN 5, MfD A2, C1, C3

Poll: ČSSD favoured in EU elections
ČSSD would have won 30.9% of the vote if the European parliamentary elections were held in April, according to a STEM poll. The ODS would have gained 25%, the Communists 11.4%, the KDU-ČSL 7.2% and the Greens 6%. A total of 731 candidates will run for 20 parliamentary seats in the June election. More than half the people are considering going to the polls.
ČTK

Domestic violence victims to gain extra protection
Victims of domestic violence will soon be eligible for protection not just from physical attack at home but also from stalking outside the home, according to an amendment to the Civil Procedure Code that passed into a final reading in the lower house yesterday.
ČTK

Village mayor promises zoning change approval
Václav Jíně, the mayor of Makotřasy, a village of 300 people north of Prague, has signed a contract with the QPG company that guarantees the village council will approve a zoning change to allow QPG to build 300 houses there. The village, which has an annual budget of CZK 3 million, will have to pay a CZK 30 million fine if the plan is rejected. Most residents oppose the new development.
HN 5

Bursík: 150,000 fewer old cars thanks to fees
According to Green Party head and Environment Minister Martin Bursík, there are 150,000 fewer old cars on Czech roads than last December thanks to an amendment that imposed fees on older vehicles registered or re-registered after January 2009. The state has collected CZK 65 million from the fees so far.
ČTK

Chamber a step away from early-election bill
The Chamber of Deputies is a step away from approving a bill that would shorten the current government’s term and allow for early elections. The final reading will take place next week. The elections are to be held on Friday 9 October and Saturday 10 October at the latest.
Právo 5, ČTK

Two thirds of young Czechs approve of EU accession
Two thirds of Czechs between the ages 12 and 24 say the Czech Republic’s entry into the EU five years ago was a good thing, according to an international poll by the agency GfK Austria. Young Slovaks are even more positive about the EU; three quarters of them approve of their country’s EU entry.
ČTK

Havlová loses battle over half of Lucerna
Dagmar Havlová, the sister-in-law of former president Václav Havel, lost a court battle Tuesday to acquire half of the Palác Lucerna building in Prague. The Prague City Court ruled that half the building remains tied up in the bankruptcy of former owner Chemapol Reality. Havlová, who owns the other half, can appeal the ruling but is not able to launch the planned reconstruction of Lucerna.
ČTK

Public transport in Prague to be limited due to marathon
A total of 17 tram lines and three bus lines will be affected by the Prague Marathon on Sunday 10 May. Extra buses will replace closed tram and bus lines. Tram lines 1, 7, 8, 9, 16, 18 and 22 will be not providing service to the city centre, and lines 3, 10, 12, 14, 17, 20 and 24 will be diverted to different routes on some segments.
ČTK

BUSINESS
Ministry, MERO seeking stake in refinery
The Ministry of Industry and Trade and state-owned oil pipeline owner MERO are preparing a proposal to acquire Shell’s 16% stake in Česká rafinérská, which could be worth some CZK 4 billion to strengthen the state’s share in the company. Lukoil is also interested in the Česká rafinérská share and has approached the majority owner PKN Orlen to purchase its stake, Hospodářské noviny reports.
HN 1, 15

ČEZ: Half of scrapping bonuses used up
Half of the scrapping bonuses that the power company ČEZ introduced 15 April have been used up. ČEZ is offering a CZK 1,000 subsidy to customers buying new, more energy-efficient household appliances. The scrapping bonuses will be available until 15 June.
ČTK

Builders expect a 50% fall in orders
Construction companies are expecting to see a 50% decline in private orders this year as a result of the economic crisis, according to a survey by the Association of Building Entrepreneurs of the Czech Republic.
ČTK

Rental housing in ČR on decline; prices drop
The demand for rental housing in the Czech Republic slowed in April, according to real estate companies such as Sting, AAAbyty.cz and Real Spektrum Group. Rental prices have followed the trend and have started to fall as well.
HN 15, 19

New owners want to re-launch Poděbrady glass production
The new owners of the Sklárny Bohemia glassworks want to re-launch production within five months. Production was halted last September. The company Crystal BOHEMIA bought the company from bankrupt Bohemia Crystalex Trading group.
ČTK

GE Money to leave Slovakia
The Slovak branch of GE Money has stopped taking on new clients and laid off its sales team in order to focus on current clients and eventually to leave the market. Milan Kříž, a spokesman for GE Money in Slovakia, said the company wanted to sell its assets to Home Credit Slovakia, but the transaction was scrapped by a late statement from the Slovak antimonopoly office.
HN 17

Unions expecting 20,000 to attend crisis protest
Unions expect around 20,000 people to attend a demonstration planned for 16 May in Prague to protest the impact of the economic crisis and how employers use the crisis as an excuse to cut wages and lay off workers.
ČTK

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