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Breakfast Brief – 27 November 2009

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Table of Contents

NEWS
Fischer announces name of new EU affairs minister
Juraj Chmiel, the Czech ambassador to Australia, will be appointed new minister for European affairs on Monday, PM Jan Fischer said yesterday after meeting with ODS chairman Mirek Topolánek. Chmiel will replace Štefan Füle, the Czech candidate for EU commissioner.
Source: most Czech press

Eight die of swine flu in ČR, epidemic to continue, get worse
The Health Ministry announced yesterday that so far eight people in the Czech Republic have died of swine flu and more than 770 people have been contaminated with the virus. Roman Prymula, who chairs the national vaccination society, said that further waves of the swine flu epidemic are likely to hit with more serious consequences.
Source: most Czech press

Prague Airport offers automats for boarding passes
Passengers flying with Lufthansa, Air France-KLM, Finnair, Iberia and Czech Airlines from Prague Airport can now check in at one of 25 computers that have been installed in terminals 1 and 2.
Source: Právo 15

PM to discuss proposal to abolish KSČM
Jan Fischer will meet with members of the Senate commission looking into the Communist Party on Tuesday 8 December to discuss further steps regarding the Senate’s proposal to abolish the party. Human Rights Minister Michael Kocáb and Interior Minister Martin Pecina will join the meeting.
Source: ČTK

StB database reopened to public
Former dissident Stanislav Penc has again made public his digital database containing the names of people who had been tracked by the StB, or communist secret police. The database, with 770,000 names and available at www.svazky.cz, was closed down three months ago on suspicion that it could be in conflict with personal data protection law.
Source: LN 4

Education Ministry finances squash court not used by Czechs
The Education Ministry spent CZK 4.9 million to construct a glass squash court. However, squash association chairman Miroslav Valenta said the court never saw domestic use and went abroad. Hospodářské noviny reports that the court is currently rented out by the World Squash Open in Kuwait for, according to Valenta, CZK 731,000.
Source: HN 5

Haguess received CZK 418m for Opencard
An audit shows that the Haguess company, which provides IT support for the Opencard, received CZK 418 million of the total of CZK 888 million spent. The head of Haguess, Petr Stránský, claims that the company received CZK 246 million. The Prague Public Transit Company will hold a press conference concerning the audit on Tuesday.
Source: LN 4, HN 4

BUSINESS
Crisis poses serious problem to one quarter of local firms
Some 28% of companies report losing customers and orders as a result of the economic crisis, according to a November survey of 523 respondents conducted by the Economic Chamber. Half of the respondents said that they do not foresee shutting down despite lower sales. About 10% said that the crisis has had no impact on them.
Source: ČTK

Household electricity prices down in 2010
The Energy Regulatory Office is expecting electricity prices for households to fall by 3.6% on average in 2010. Gas prices may also drop slightly, the office director Josef Fiřt said in a press conference yesterday.
Source: most Czech press

WSE looking for Czech firms, showing interest in RM-System
Up to four Czech companies might soon trade on the Warsaw Stock Exchange’s NewConnect, designed for innovative small companies, WSE board member Beata Jarosz told Hospodářské noviny. WSE head Ludvik Sobolewski said that co-operation with, or the acquisition of, the Czech RM-Systém is possible.
Source: iHned.cz

Farmet and hotelier Lukáš Pytloun awarded best businesses
Farmet, which manufactures agricultural machines, and the Liberec-based hotelkeeper Lukáš Pytloun – businesses in sectors hit hardest by the crisis – won the annual Vodafone company of the year and Zlaté stranky entrepreneur of the year competitions.
Source: HN 17, 23

Lašák defends ČSA bonuses; Janota promises checks
In reaction to Finance Minister Eduard Janota’s comments on departing Czech Airlines managers’ bonuses, former ČSA head Radomír Lašák questioned the CZK 120 million sum since 2009 financial results remain unpublished and explained politics should not affect the bonus system. Janota announced that his ministry will look into the manager bonuses in all companies controlled by the state through the Finance Ministry.
Source: most Czech press

eBay in Czech language next year
The online auction company eBay will next year expand to six countries, including the Czech Republic, and will offer its services in the Czech language starting in February.
Source: LN 14

Bank anti-skimming device fails to prevent fraud
An anti-skimming device installed in Česká spořitelna ATMs did not prevent unknown perpetrators from breaking into one of the machines and stealing data and money from some 10 clients. The money withdrawal took place in Poland.
Source: HN 1-3, Právo 5

EC inspection of EPH papers closes
European Commission investigators ended a probe into an agreement between ČEZ and J&T. About 15 “detectives” confiscated approximately 100 of copies of documents on the premises of the Energetický a průmyslový holding, a joint venture of PPF and J&T, that they will further investigate, the news site iDNES.cz reported.
Source: ČTK

AAA profit up at EUR 1.6m
Used car dealer AAA reported a profit of EUR 1.6 million from January to September, up from last year’s EUR 8.1 million loss. Revenues dropped 46%, to EUR 128.7 million. The company sold 29,226 vehicles, about 20,000 fewer than last year. AAA blamed the closure of branches in Hungary and Romania as the main reasons for the drop.
Source: iHned.cz

Asiana ends regular route service
The local bus operator Asiana announced yesterday that it will end its regular route service from Karlovy Vary, Prague, Jihlava and Brno and use all 10 of its buses for charter starting 13 December. Asiana competitor Student Agency is not planning to increase the price of tickets.
Source: ČTK

Sazka posts lower profit; banks offer loan
The lottery company announced that its Q3 profit fell 8% year-on-year, to about CZK 1 billion. Revenues grew to CZK 6.5 billion for 2009. Hospodářské noviny reports that the banks Sazka is indebted to have established a consortium and are offering a joint loan to the company, demanding that the shareholders use their shares as guarantees of the loan.
Source: iHned.cz, HN 1, 17-18

Icelandair Group sells 20% of Travel Services
The air carrier Icelandair Group sold 20% of the Czech-owned carrier Travel Services to travel agency Canaria Travel owned by Unimex Travel, which also owns Travel Services. After two years, Unimex Travel again holds a 70% in Travel Services.
Source: HN 17, MfD A8

Inter Ikea Centre Group to invest CZK 5bn
The Inter Ikea Centre Group, which operates the Avion Shopping Park centres around the world, is planning to invest up to CZK 5 billion in the Czech Republic during the next three to five years. The company wants to build two new shopping centres, one in the Hradec Králové region and one in the Pardubice region.
Source: E15 8

DHL Express plans to relocate to Germany and ČR
The express and logistics company DHL Express expressed plans to relocate its European headquarters from Belgium to Germany and the Czech Republic, letting go up to 788 employees in the next two years, the Associated Press reported.
Source: ČTK

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