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Breakfast Brief – 14 July 2009

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Table of Contents

NEWS
Canada will impose visa on Czechs
The Canadian Department of Citizenship and Immigration announced yesterday evening that Czech nationals will now need a visa to travel to Canada because of the recent surge in asylum seekers. Foreign Affairs Minister Jan Kohout criticised Canada for the way it had handled the visa reintroduction, saying that ČR had only received verbal information. The Czech cabinet will discuss the issue at an extraordinary meeting this morning. From mid-August, Czech nationals will be able to obtain visas at the Canadian embassy in Vienna.
HN 1, MfD A1, A9

ČR and Liechtenstein open talks
The Czech government decided on Monday that it would establish standard diplomatic relations with Liechtenstein, PM Jan Fischer and Foreign Minister Jan Kohout said. Liechtenstein is the only state that has not recognised Czech independence.
ČTK

KDU-ČSL and EDS to unite for elections
The Christian Democrats will join forces with the European Democrats, led by former MEP Jana Hybášková, in the early parliamentary elections in October, a KDU-ČSL representative said on Monday. Both parties plan to sign an agreement on the matter today.
ČTK

HN: VZP is paying bonuses to MPs
Eleven MPs, who are members of the health insurer VZP’s board of trustees, are allegedly receiving a total of almost CZK 2 million in annual bonuses from the insurer. HN reports that while MPs are not allowed to receive money for sitting on the boards of state institutions, the law on conflicts of interest does not extend to VZP. The MPs are also barred from receiving these bonuses since they are responsible for approving the insurer’s corporate plans.
HN 1, 4

State has not paid for Roma concentration camp museum site
Zdeňka Pařízková, one of the owners of the Žalov holiday resort, where a Roma concentration camp once stood, has not yet received a sale contract from the state despite promises by Minister for Human Rights and Minorities Michael Kocáb in January to buy the land. According to Kocáb, the matter is now in the hands of Education Ministry, which has said it might pay the CZK 20 million in September. The holiday resort has been closed down for the season.
LN 1, 4

Govt backs removal of MPs’ immunity
The government yesterday approved the Green Party’s proposal to substantially reduce the immunity that members of parliament have from prosecution, Justice Minister Daniela Kovářová said. Government ministers also supported the extension of this measure to Constitutional Court judges.
ČTK, LN 3

ODS promises labour market reforms
ODS has launched paers of its election package, including pension reforms and pro-family policies. The package includes the introduction of one week paternity leave for new fathers, supports part-time employment and nurseries on company grounds. ODS Deputy Chair Petr Nečas said the party wants to connect the social welfare system more effectively with the labour market. The final package wil be unrolled in September.
HN 1, 5

Police: More Czechs are DUI
The number of drivers who caused accidents while using drugs or medicines has more than doubled over the last eight years according to police statistics. 109 drivers were found to be under the influence of drugs last year compared with only 45 offenders in 2000.
HN 5, MfD A3, ČTK

Security cameras to monitor Prague squatters
Prague 1 city hall will today install a CCTV camera in Truhlářská street at the entrance of a building inhabited by squatters who were evicted from the Milada squat two weeks ago.
MfD C1, C2

Czechs waste time online at work
The average Czech employee spends a fifth of his working hours playing online games, browsing the web or communicating via ICQ, Skype and Facebook, the online daily Týden.cz reported on Monday, citing research by truconneXion.
most Czech press

BUSINESS
EU approves Nabucco pipeline
Representatives of five European countries yesterday signed a contract authorising the construction of the Nabucco gas pipeline in Ankara. The EU project aims to reduce European dependence on gas from Russia while avoiding using Ukraine as a transit country. Countries which have registered their interest in gas supplies to date include Turkmenistan, Syria and Iraq. Václav Bartuška, the Czech energy ambassador, said the pipeline would assist both Europe and the Czech Republic. Nabucco should launch operations in 2014.
most Czech press

Škoda Auto sales soar in China
Sales of Škoda cars on the Chinese market, including Hong Kong, rose by 46.2% annually to 46,144 units in the first half of 2009, parent company Volkswagen reported on Monday.
ČTK, HN 13

Govt says toll system ready, fines Kapsch
The government yesterday announced the completion of the first stage of its new nation-wide motorway toll system. Ministers also approved a report imposing a fine of CZK 171 million on Austrian company Kapsch, the system operator because of defects and backlog in the system.
most Czech press

Skanska to be restructured, cuts jobs
The largest Czech construction company Skanska will undergo restructuring to save costs, the weekly Euro reported on Monday. Skanska board chairman and CEO Dan Ťok told the weekly that the company would dismiss a large number of employees owing to the crisis. Skanska had 6873 staff in 2008.
Euro.cz, ČTK

Industrial output down by 22% in May
Industrial production in the Czech Republic fell by an annual 22% in May after a 22.1% drop in April. Construction output in constant prices fell by 2.1% year-on-year in May, compared with 2.1% growth the previous month, the Czech Statistical Office said on Monday.
most Czech press

South Bohemian tender favours big players
The South Bohemian regional authority has announced a CZK 108 million tender for road construction over the next four years on conditions that will disqualify many small companies. The tender specifies that applicants must have experience in road construction projects worth at least CZK 1 billion. The anti-monopoly office is investigating the case.
MfD B2

ČEZ launches multi-billion dollar plans in Turkey
The Turkish power producer Akenerji Elektrik Üretim, which is partly owned by Czech energy giant ČEZ, plans to invest roughly USD 3 billion in the construction of new power stations by 2013.
Týden.cz

Insolvency filings soar
A total of 4,021 insolvency petitions were filed in the first half of the year, up by almost 58% on 2008, according to reports from Creditreform. The situation is expected to worsen.
most Czech press

EU extends support to milk producers
EU agricultural ministers agreed on Monday to continue offering support to milk producers until the end of February 2010. The European Commission has begun buying butter and dried milk that farmers failed to sell on the market. The support measures were originally intended to end on 31 August this year.
ČTK

Vivaria will restart glass production
Vivaria, which acquired the bankrupt glass maker Sklo Bohemia for CZK 160 million, wants to resume production at the plant no later than October this year. The move should restore some 180 jobs.
ČTK

Open air concerts lack corporate sponsors
Fewer companies are now willing to organise free open air concerts, according to a report in HN today. The trend has led to the sale of more tickets to music festivals.
HN 13, 16

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