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Carolina (English) No 344

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Carolina EN
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STUDENTS' E-MAIL NEWS FROM THE CZECH REPUBLIC

Charles University in Prague
Faculty of Social Sciences
Smetanovo nabr. 6
110 01 Prague 1
Czech Republic
e-mail: CAROLINA@mbox.fsv.cuni.cz
tel: (+4202) 22112252, fax: (+4202) 24810987

*-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*

C A R O L I N A No 344, Friday, September 10, 1999.

FROM THE EVENTS OF THE PAST TWO WEEKS (August 25 - September 8)

Vaclav Fischer with Biggest Win in Senate History

Vaclav Fischer, an independent candidate, won the August 27-28
election to replace the late Vaclav Benda (Civic Democratic Party, ODS)
as senator for Prague's first district with an unbelievable 71.24 per
cent of the vote. In second place finished ODS candidate Jirina
Jiraskova, believed to be Fischer's greatest competition, with 12.19 per
cent. The candidate of the Four-Party Coalition (Christian Democrats,
KDU-CSL; Freedom Union, US; Civic Democratic Alliance, ODA; Democratic
Union, DEU), Ivan Medek, finished with 9.35 per cent. Communist
candidate Stanislav Fischer, unrelated to the winner, received 5.47 per
cent and Karel Srp, candidate of the ruling Social Democrats (CSSD),
wound up last with 1.04 per cent. About one-third of 90,000 eligible
voters turned out for the special election.
By Fischer winning the election, ODS and CSSD lost their
constitutional majority (49 of 81 senators) in the Senate. The two
parties, which divided up the nation's political spoils under the
Opposition Contract, had been discussing a restriction of President
Vaclav Havel's authority to grant pardons or to name prime ministers for
new governments. Fischer, owner of the successful Fischer travel agency,
said of his victory that "decency won out over vulgarity" and accused
ODS Chairman Vaclav Klaus of intentionally slandering Fischer during the
campaign and is threatening to file a criminal complaint. ODS sent out
a brochure labeling Fischer a "lobbying populist", who is spending
"unseen millions" on his campaign and "graciously accepted" the support
of the Communists. After the election campaign, two billboards reading
"A homosexual in the Senate? Why not. Vaclav Fischer for the Senate"
appeared near the building of Czech Television. Fischer's spokesperson
said all indications suggest ODS is responsible for the billboards.
Klaus said he does not consider brochure's language incorrect, and
he called the campaign unsuccessful, not aggressive. Klaus said
Fischer's massive campaign and his "false" independence were decisive.
The ODS leadership and its Senate Committee discussed the defeat, and
the number of those criticizing the activities of ODS campaign staff is
increasing. Among them were former Prague Mayor Jan Koukal and ODS Vice
Chairman Miroslav Macek, who said, "the negative campaign that we chose
was bad."
Lenka Nejezchlebova/Sofia Karakeva

Visa Requirements Main Subject at First Fall Cabinet Meeting

The first meeting of the Czech Government after a three-week
vacation took place in the Kolodeje chateau August 25. Among the most
important points discussed were subsidies for domestic milk producers,
canceling the 14th monthly salary for some state officials (state
employees receive their monthly salary 14 times in each calendar year)
and the establishment of visa requirements for some countries of eastern
Europe.
A new document on the Czech Republic's visa policy was approved by
the Government and might lead to the cancellation of visa-free
relationships foremost with the countries formerly part of the Soviet
Union: Ukraine, Russia, Moldavia, Belarus, Turkmenistan, Kazakhstan and
Kyrgyzstan. The policy would be designed to reduce illegal migration and
to adjust to EU visa regulations. Visa requirements are possible
immediately for Russia and Ukraine, while Romania, Bulgaria and Cuba are
being considered.
Subsidies for supporting milk consumption in the Czech Republic
were organized by Agriculture Minister Jan Fencl with the Education
Ministry. The grant will allow 2.5 deciliters of milk to be sold in
grade schools for 2.50 crowns. Hockey player Jaromir Jagr has joined the
promotion.
Pavel Sladky/Sofia Karakeva

Budget Deficit Will Be 40 Billion

The Government September 9 passed Finance Minister Pavel Mertlik's
proposed 2000 state budget deficit of 39.8 billion crowns. The ministers
will give final approval to the budget September 20, because the final
budget will be revamped according to higher government estimates for
economic growth.
The current budget proposal followed from July's macroeconomic
prognosis. Since then we have received new numbers, on the basis of
which we believe we will be able to correct our estimates of economic
growth slightly upward," said Mertlik for the daily MF DNES September
9. Mertlik said he hopes that the state will receive more income in
taxes because of the greater economic. Mertlik also said he expects more
income from privatization.
Ministers expressed discontent with the money they should receive.
Environment Minister Milos Kuzvart said he will be short 600 million
crowns for adapting legislation to European Union standards. The budget
proposal was also criticized by Culture Minister Pavel Dostal and
Transportation Minister Antonin Peltram.
The Christian Democrats and the Freedom Union announced they will
not support the budget in Parliament. The Civic Democratic Party,
according to Parliament club Chairman Vlastimil Tlusty, will probably
not support it and the Communists have not announced their intentions.
Jakub Jirovec/Jakub Jirovec

NEWS IN BRIEF
* President Vaclav Havel August 25 and 26 visited the district of
Novy Jicin in northern Moravia, which has one of highest unemployment
rates in the Czech Republic. Havel toured several factories, including
Vagonka Studenka and Tatra Koprivnice.
* At its August 31 session, the Czech Council for Television and
Radio Broadcasting did not take any decision in the case of TV NOVA,
which has been the subject of a battle between broadcast license-holder
CET 21, owned by Vladimir Zelezny, and its former service company CNTS,
owned by the American company CME. The council took the position that
the conflict is of a commercial nature and should be decided by a court.
* According to a Security Information Service (BIS) report, the
signatures on the so-called Bamberg memorandum are false. The memorandum
obligated current Prime Minister Milos Zeman to give certain positions
in a potential Social Democrat government to people connected to
Czech-Swiss businessman Jan Vizek in exchange for a loan and
compromising materials concerning other politicians. The Bamberg
scandal, in which Zeman was caught lying, damaged the Social Democrats
before the elections last year, which the party won. The Office of the
President made the announcement about the BIS report.
* The Supreme Court agreed with Justice Minister Otakar Motejl's
complaint and decided August 25 that prosecution of Karel Vas will be
reopened. Vas, now 80, participated in the show trial and execution
General Heliodor Pika in 1949.
* Former Christian Democrat Chairman Josef Lux left August 29 for
Seattle, where he will undergo a bone-marrow transplant. Lux resigned
from his political posts because of leukemia.
Lida Truneckova/Jakub Jirovec

FROM SLOVAKIA IN BRIEF

* Premier Mikulas Dzurinda has rejoined the Christian Democratic
Movement. The move is a sign that Dzurinda has abandoned his plan to
have the Christian Democrats, along with the four other parties (the
Democratic Party, the Democratic Union, the Social Democrats and the
Greens) which make up the Slovak Democratic Coalition to dissolve and
turn the coalition into a party. In the Christian Democrats Dzurinda
will likely butt heads with Chairman and Justice Minister Jan
Carnogursky, who has been a vocal critic of Dzurinda and his plan.
* Hungarian President Arpad Goncz visited Slovakia for two days, his
first visit to Slovakia since the break-up of Czechoslovakia.
Commentators regarded the visit as a sign that Slovak-Hungarian
relations have moved significantly forward.
Michael Bluhm/Michael Bluhm

ECONOMY
Moravia Bank Drowning

The Czech National Bank (CNB) removed Moravia Bank (Moravia banka)
from the stabilization program and began proceedings to remove the
bank's license. The national bank's official reason for the move was
that Moravia Bank, based in Frydek-Mistek, showed serious shortcomings.
Moravia Bank closed all its branches and froze all accounts. Removal
from the stabilization program means Moravia Bank will also have to buy
back bad loans of almost 1 billion crowns from the Czech National Bank.
Moravia Bank's board of directors said it wants to guarantee
clients' deposits by immediately calling all loans from borrowers who
are not fulfilling their loan agreements. The bank said that more than
50 per cent of the borrowers in default were companies partly owned by
the state. The state guarantees 90 per cent of bank deposits up to
a maximum of 400,000 crowns.
Another Moravian financial institute - Union Bank (Union banka)
- September 7 offered to buy Moravia Bank's debts. The Government
September 8 began discussing assistance to small and mid-size businesses
that had money in Moravia Bank. Prime Minister Milos Zeman said
September 5, "We are prepared to consider short-term, possibly
interest-free loans to those corporations, whether either by mobilizing
the state's financial assets or using certain budget reserves.". The
Cabinet does not intend to give money to Moravia Bank, because in 1998
the Government of current CNB Governor Josef Tosovsky gave Moravia Bank
700 million crowns, which have since disappeared.
The CNB can stop the process of taking away Moravia Bank's license
if the Government finds a way to help the bank or if Moravia Bank can
again fulfill the requirements of the stabilization program.
Pavlina Hodkova/Michael Bluhm

People Can Spend More, Wages on Rise

The average salary in the Czech Republic is now 8 per cent higher
than it was 12 months ago and, at an average of monthly income of
12,766 crowns, is climbing towards the 13,000-crown mark, according to
the data of the Czech Statistics Office (Cesky statisticky urad)
published in the daily Lidove noviny August 31.
The seemingly positive news has a negative side, because while
salaries are rising, productivity is falling.
Economic analysts are warning against such a development, which
could lead to a crisis similar to the one in the spring of 1997 which
preceded the restrictive measures taken by and the fall of the Vaclav
Klaus Government.
The simultaneous increase of wages and the decrease of
productivity is probably caused by the still incomplete privatization of
industry, where ownership and responsibility are still not clear, and by
the pressure of unions.
Pavlina Hodkova/Milan Smid

ECONOMY IN BRIEF
* Unpaid taxes in the Czech Republic were 89.269 billion crowns at
the end of July, according to the daily Hospodarske noviny August 26.
Compared to the previous month, the debt declined by 5.282 billion Czech
crowns, on the other hand, the sum is 12 billion Czech crowns higher
than unpaid taxes last July.
* The Czech Republic's trade deficit may exceed 40 billion crowns for
the first nine months of 1999, said Czech Statistics Office (Cesky
statisticky urad) press spokesman Jaroslav Machane August 25. According
to the office, the total 1999 deficit should be about 67 billion crowns.
* The attempt to decrease the basic capital of Skoda Plzen holding
from 9.4 billion crowns by 90 per cent failed at the company's general
meeting August 27 because of the opposition of former Skoda CEO Lubomir
Soudek (for the story of his firing see Carolina 321), who still owns
25 per cent of Skoda and was supported by one of its biggest creditors,
the Investment and Postal Bank (Investicni a postovni banka, IPB).
Soudek said to the daily Hospodarske noviny he opposed the reduction
because the plan did not indicate what steps would be taken once the
capital was reduced.
Pavlina Hodkova/Milan Smid

Exchange Rates at the Czech National Bank (valid September 10)
--------------------------------------------------------------
1 EUR = 36.605

country currency CZK
------------------------------------------
Australia 1 AUD 22.438
Great Britain 1 GBP 55.981
Denmark 1 DKK 4.922
Japan 100 JPY 31.651
Canada 1 CAD 22.873
IMF 1 XDR 47.241
Hungary 100 HUF 14.367
Norway 1 NOK 4.450
New Zealand 1 NZD 18.263
Poland 1 PLN 8.475
Greece 100 GRD 11.196
Slovakia 100 SKK 83.179
Slovenia 100 SIT 18.544
Sweden 1 SEK 4.249
Switzerland 1 CHF 22.873
USA 1 USD 34.517

Exchange Rates of countries participating in the euro
(converted from the euro rate)
country currency CZK
-----------------------------------------
Germany 1 DEM 18.716
Belgium 100 BEF 90.741
Finland 1 FIM 6.157
France 1 FRF 5.580
Ireland 1 IEP 46.479
Italy 1000 ITL 18.905
Luxemburg 100 LUF 90.741
Netherlands 1 NLG 16.661
Portugal 100 PTE 18.258
Austria 1 ATS 2.660
Spain 100 ESP 22.000


CULTURE
Days of Czech Jewish Culture on Radio

The Czech public radio station Czech Radio 3 - Vltava is going to
focus on Czech Jewish culture in the beginning of September. From
September 3-16 the station is going to broadcast dozens of musical,
literary and dramatic works of Jewish authors, mainly from the 19th and
20th centuries. Some of the programs will be premieres, such as the
radio drama A Little Doctor Faust or New Games with the Devil (Doktor
Faustik aneb Nove hry s dablem) by Ludvik Askenazy, and dramatic
versions of several short stories by Karel Polacek. Vltava Editor in
Chief Blanka Starkova said to the daily MF DNES that the Days of Jewish
Culture are devoted to the memory of Jewish Czechs who became victims of
the Nazi regime sixty years ago.
Lenka Nejezchlebova/Milan Smid

CULTURE IN BRIEF
* The British group Massive Attack performed in Prague's Sport Hall
September 4. The trip-hop legends performed in Prague last year, too.
* Vladimir Misik and his blues-rock band Etc... recorded a new
50-minute CD Knife at the Throat (Nuz na hrdle), which has received
a positive response in the media. Music critics credited Misik for was,
after 25 years in the business, able to bring to life new ideas and
lyrics reflecting the concerns of everyday contemporary life.
* A new theater, called The Chalice (Kalich), was opened by Hamlet
Production in Prague's Jungmann Street. The first and only play to be
performed there is the musical Hamlet, starring pop singer Janek
Ledecky, who wrote the score.
Lenka Nejezchlebova/Milan Smid

SPORTS
Euro 2000 Qualification: Two More Wins over Lithuania and Bosnia

The Czech national soccer team has played nine games in the Euro
2000 qualification - and won all of them. The Czech Republic is the only
team not to lose a point yet, and after games against Lithuania and
Bosnia it has only one more game to play - against the poorest team in
the group, the Faroe Islands October 9 in Prague.
Lithuania - Czech Republic 0-4. Played in Vilnius, September 4 Not
to break the winning streak was the goal of the Czech team in Lithuania.
The Czechs were better than their opponent throughout the game, but they
had to wait for a goal until the 60th minute, after which they scored
three times in four minutes. The first two goals were scored by Pavel
Nedved, Jan Koller added the third and the last goal in extra time.
Czech Republic - Bosnia and Herzegovina 3-0. Played in Teplice,
September 8 The game was one-sided except the middle portion of the
first half - around the 20th minute Bosnia had three chances, which were
caught by goalkeeper Pavel Srnicek. The Czech Republic led at halftime
after Jan Koller's goal (25th minute), after the break Koller was fouled
in the box and Patrik Berger converted the penalty kick. Karel
Poborsky's second goal for the national team ended the game.
The Czech Republic leads the group with 27 points, next are
Scotland (12 points), Estonia (11), Lithuania (11), Bosnia (6) and the
Faroe Islands (3).
The Czech under-21 team won also both games, 2-0 in Lithuania (own
goal and Dosek) and 1-0 over Bosnia (Heinz) and leads the group, nine
points ahead of its opponent in its last game - Belgium, which has two
more games to play.
Stepan Etrych/Mirek Langer

Hockey Golden Stick: Jagr Defeats Hasek by Three Points

The 31st edition of the Golden Stick poll, an award given to the
top Czech hockey player, finished with the closest vote ever as
Pittsburgh Penguins forward Jaromir Jagr defeated Buffalo Sabres
goalkeeper Dominik Hasek by three points. Jagr's teammate Martin Straka
finished third in the poll of sport journalists organized by the soccer
and hockey weekly Goal (Gol).
"I am glad to defeat Hasek - it doesn't happen often," said Jagr.
Jagr won the trophy for the third time, Hasek has won five times.
Stepan Etrych/Mirek Langer

Track And Field World Championships: Zelezny Wins Bronze Medal

The Czech team finished the track and field World Championships in
Seville with three medals. After decathlete Tomas Dvorak and runner
Ludmila Formanova won gold medals (see Carolina 343), Jan Zelezny won
the bronze medal in the javelin with a throw of 87.67 meters. Zelezny
was satisfied with a third place behind Finland's Parviainen and
Greece's Gatsioudis after Zelezny returned after an 18-month break
because of a shoulder injury. "I value this medal very highly, maybe
more than some of the gold," Zelezny, two-time World Champion and
Olympic Games champion, said.
The two fourth places of Zuzana Hlavonova (high jump) and the
women's 4x400 meters relay were pleasant surprises.
Stepan Etrych/Mirek Langer

Gambrinus League: Ceske Budejovice Still before Sparta

The hot start in the Gambrinus soccer league for Ceske Budejovice,
which was recently promoted to the league, continued with a win over
Teplice, a Champions League qualification round participant. Budejovice
remains in second place ahead of Sparta Praha, which nearly lost more
points against Dukla Pribram.
Results of the 5th round: Sparta Praha - Pribram 2-1, Ceske
Budejovice - Teplice 3-1, Liberec - Olomouc 0-0, Bohemians Praha - Opava
1-0, Ostrava - Zizkov 1-1, Hradec Kralove - Drnovice 0-2, Brno
- Jablonec 2-0, Blsany - Slavia Praha 2-3.
Standings: 1. Slavia Praha 13, 2. Ceske Budejovice 11, 3. Sparta
Praha 11, 4. Drnovice 9, 5. Brno 9, 6. Bohemians Praha 8, 7. Liberec 7,
8. Teplice 7, 9. Pribram 7, 10. Jablonec 6, 11. Ostrava 5, 12. Opava 5,
13. Olomouc 4, 14. Blsany 4, 15. Zizkov 3, 16. Hradec Kralove 1.

Czech Team Wins Hockey Ceska Pojistovna Cup in Zlin

Without a point lost, the Czech national team won the opening
international hockey tournament of the season, the Ceska Pojistovna Cup
in Zlin. The tournament is also the opener for the Euro Hockey Tour, the
unofficial European Championships.
Both Czech goalkeepers shone, as Roman Cechmanek allowed two goals
after 55 minutes of the first game and then recorded the shutout in the
game against Finland. Martin Prusek then disappointed Russian players,
allowing only one goal.
Results of the Czech team: Czech Republic - Sweden 4-2 (Dopita,
Vlasak, Cajanek, Simicek), Czech Republic - Russia 3-1 (V. Kral, Caloun,
Kucharcik), Czech Republic - Finland 3-0 (Reichel, Caloun, Ujcik).
Standings: 1. Czech Rep. 6 points, 2. Finland 3, 3. Sweden 2, 4.
Russia 1.
Stepan Etrych/Mirek Langer

Dosedel in U.S. Open Quarterfinal, Novotna to End Career Soon

Ctislav Dosedel advanced to the quarterfinal of the U.S. Open in
New York, defeating his compatriot Jiri Novak in the fourth round of the
men's singles. Jana Novotna, the last Czech woman in the tournament,
lost in the third round to Germany's Anke Huber and then announced she
would end her career after this season. "I can look back and say I had
a long and successful career," she said. Novotna's biggest success was
last year's win at Wimbledon.
Stepan Etrych/Mirek Langer

SPORTS IN BRIEF
* Sparta Praha will meet Spartak Moscow, Girordins Bordeaux and
Willem II Tillburg (the Netherlands) in the Champions League
first-phase group.
* Olomouc advanced to the first round of the UEFA Cup after
a scoreless tie at home with the Moldavian club Sherif Tiraspol. The
draw of the Czech teams in the UEFA Cup first round: Slavia Praha
- Ferencvaros Budapest, Teplice - Vojvodina Novi Sad, Olomouc - Real
Mallorca.
* Dusan Uhrin, who was the Czech Republic national soccer team coach
in 1996, when the team won the silver medal in the European
Championships, will join the Kuwait national team November 1.
* The hockey extraleague starts September 10 and some teams might
have NHL players, because five players who are negotiating new contracts
with their NHL clubs will play in the Czech Republic: Robert Reichel for
Litvinov, Roman Hamrlik for Zlin and Patrik Elias, Radek Bonk and
Brendan Morrison for Pardubice.
* Czech volleyball players advanced to the semifinals of the European
Championships in Austria after wins over the Netherlands and France and
a loss to Yugoslavia.
Stepan Etrych/Mirek Langer

WEATHER
Indian summer is in full swing, with average daily temperatures of
25 degrees Celsius/77 degrees Fahrenheit allowing students to enjoy the
last days of vacation.

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