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Carolina (English) No 377
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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 ISSN 121-5040
tel: (+4202) 22112252, fax: (+4202) 22112219
*-*-*-*-*-*-*-*-*-*-*-*-*-*-*-*
C A R O L I N A No 377, Friday, May 26, 2000.
FROM THE EVENTS OF THE PAST WEEK (April 19 - April 26)
Zeman and Dzurinda Keep Promise to Divide Federal Property
The final act in the division of the former Czechoslovakia's
property, a promise to maintain the customs union until joining the EU,
and the signing of four intergovernmental treaties, was the result of
the two-day visit of Slovak Premier Mikulas Dzurinda to the Czech
Republic May 22-23.
Prime Minister Milos Zeman presented his Slovak counterpart
a 14-kilogram gold bar May 22 as a symbol that the lengthy and painful
process of dividing former federal assets is now complete. Four tons of
gold, one of the sorest points in the negotiations, were transferred to
Slovakia by a special escort May 17 because of security reasons. The
4.5 tons of Slovak gold was held in Prague because the Czech Republic
wanted its claim of 25.8 billion crowns against Slovakia to be paid.
Finally, the Czechs gave up the claim in exchgange for Slovakia's shares
in the Czech Commerce Bank (Komercni banka; for details see Carolina
310, 331, 345, 371).
Four Czech-Slovak treaties were signed on the ministerial level May
23. The Education, Culture and Science Treaty enables financing
Czech-Slovak projects in this fields. The Healthcare Compensation Treaty
will for example guarantee mutual emergency medical care for Czechs in
Slovakia and vice versa. Another treaty dealt with industrial and energy
policy, while Dzurinda said the most important treaty concerns
classified materials and should enable closer cooperation in
intelligence and in the arms industry.
The closing declaration from both leaders included a promise to
maintain and develop the customs union, to facilitate better border
traffic (new checkpoints and customs stations). Both governments will
support all projects devoted to maintaining the mutual intelligibility
of the Czech and Slovak languages. Both sides acknowledged the
Czechoslovak state founded in 1918 as part of their common heritage.
Andrea Slovakova/Milan Smid
Victims of Nazism Remembered at Theresienstadt
The traditional commemoration of victims of Nazism from the
Theresienstadt (Terezin) ghetto, Small Fortress and Litomerice
concentration camp was held May 21. It was attended by almost 1,000
people. Wreaths were also placed by President Vaclav Havel and Chairman
of the Czech Freedom Fighters Union Jakub Cermin. Havel appealed
afterwards in his speech to resistance against evil that attacks us even
today in the form of racial unrest.
Alzbeta Trousilova/Veronika Hankusova
Deputies Reject Changes in Constitution and Criminal Code
The Chamber of Deputies May 16-17 rejected amendments to the
Criminal Code and the Constitution proposed by Justice Minister Otakar
Motejl. The Criminal Code amendments were designed to speed up
investigations and the trial of criminal acts. Deputies, however,
rejected the plan to transfer most of the authority of investigators to
judges, saying the courts are already overburdened.
The aim of the Constitution amendments was the reform of the
judiciary. A High Council of the Judiciary was to have been created,
which would have monitored the independence of judges. The proposed
amendments included a maximum age for judges, a term limit for judges of
the Constitutional Court, the text of the judicial oath and reform of
the judicial system.
The opposition deputies, with few exceptions, were against the
proposals. Motejl, who accepted his post to undertake the reforms, is
the only independent minister in the minority Social Democrat
government. He said it was too soon to talk about his resignation. He
also rejected the possibility of reworking his proposal.
Jakub Trnka/Veronika Hankusova
Austria Determines Compensation for Forced Laborers
About 19,000 Czech citizens will receive financial compensation for
the work they were forced to do during World War II in Austria. An
international conference held May 16-17 in Vienna decided that forced
laborers from Poland, Hungary, Ukraine, Belarus, Russia and the Czech
Republic will receive compensation from a special fund of the Austrian
government. The treaty must be approved by the Austrian legislature.
Every Czech forced industrial laborer will receive 35,000 Austrian
shillings (about 93,000 crowns). Laborers who were forced to work in
agriculture will receive 20,000 shillings, people who worked in
concentration camps and similar institutions will receive 105,000
shillings and women who gave birth during forced labor will receive an
additional 5,000 shillings. The same compensation will be received by
those under 12 who were deported to Austria with their parents.
Czech negotiator Jiri Sitler said Vienna does not consider the
agreement a legal obligation, but a voluntary gesture of reconciliation.
Alzbeta Trousilova/Jakub Jirovec
Sudeten Germans Demand Compensations for Expelled Compatriots
Representatives of the Sudeten German Compatriot Association
(Landsmanschaft) said May 22 that the Czech-German Future Fund should
pay financial compensation not only to Czech forced laborers, but also
to Sudeten Germans expelled from Czechoslovakia after World War II.
Every expelled Sudeten German should, according to the association,
receive 4,000 deutschmarks.
The plan was rejected by Czech Foreign Minister Jan Kavan. The
German Foreign Minister Joschka Fischer said the plan is undesirable and
the association is damaging German interests.
Alzbeta Trousilova/Jakub Jirovec
FROM SLOVAKIA IN BRIEF
* The National Assembly May 18 passed the Freedom of Information Act,
which takes effect January 1. State and autonomous institutions and
various other subjects, such as the Supreme Auditing Office, will have
to provide non-classified information to citizens.
Andrea Slovakova/Jakub Jirovec
ECONOMY
Volkswagen to Buy Remaining 30-Per-Cent of Skoda Auto
The German concern which owns Volkswagen, Audi, Seat, Skoda and
Rolls-Royce/Bentley decided at its May 23 general meeting to buy the
remaining 30-per-cent share of the Czech car factory Skoda Auto. The
Czech government agreed to the sale May 22. Volkswagen already owns 70
per cent and, after paying 650 million deutschmarks, will become the
company's sole owner.
The shares belong to the state-owned Consolidation Bank
(Konsolidacni banka), which bought it from the National Property Fund
(Fond narodniho majetku) and the Investment and Postal Bank (Investicni
a postovni banka, IPB) for 6.5 billion crowns. The net profit for the
Consolidation Bank will be about 5.6 billion Crowns and will help
decrease its losses, estimated for this year at 35 billion crowns to 50
billion crowns. Finance Minister Pavel Mertlik said he plans to sign the
contract next week. Trade Minister Miroslav Gregr opposed the sale and
said he wanted to sell the share after the new engine plant is built in
2003. The Czech state will have a seat on Skoda's supervisory board
until 2007.
Skoda Auto showed a profit of 176 million deutschmarks last year.
It plans to increase production by 14 per cent and sell 440,000 cars
this year. Its share of last year's overall Czech export was 9.5 per
cent.
Alzbeta Trousilova/Simon Dominik
PPF Takes Control of Czech Insurance Company, IPB Waits for Partner
The Czech Insurance Company (Ceska pojistovna), the largest
insurance provider with 54 per cent of the Czech market and 1999 profits
of 1.086 billion crowns, is under the majority control of the PPF Group
since May 11. The PPF group, headed by an entrepreneur Petr Kellner, has
been running the insurance company since 1996, but all the decisions
could only be taken with the consent of the Investment and Postal Bank
(Investicni a postovni banka, IPB). The bank sold its 12-per-cent share
to PPF, giving PPF 52 per cent of the insurer. The Czech state and the
state-controlled Commerce Bank, which own about 40 per cent of the
insurer, were interested in acquiring IPB's share, but PPF used its
purchase option for the shares. Government representatives had said they
wanted to seek a strategic partner for the insurance company and offer
interested parties a majority, while PPF claims it is a strategic
partner and is not interested in selling. PPF was originally an
investment fund, it became a holding during the period when Viktor
Kozeny's Harvard funds and others took the same route in 1996 to avoid
state supervision.
IPB General Director Jan Klacek May 17 announced that the German
insurance giant Allianz is interested in a majority share of IPB
Insurance Company and is ready to buy shares in the bank now held by
Nomura. He also said IPB is negotiating with the Italian bank UniCredito
about buying the rest of Nomura's IPB shares and to increase IPB's share
capital.
However, the reaction of the all parties involved was restrained.
Thomas Munkel, the general director of Allianz's Prague subsidiary,
said, "intensive and positive negotiations are in progress." UniCredito
Deputy General Director Roberto Nicastro said: "We are very interested
in the Czech banking market, but for now we are in a phase of
preliminary talks."
Tomas Havlin/Milan Smid
Gasoline Prices Rising
Big demand on European commodity exchanges and a strong dollar are
causing the increase in the price of gas in the Czech Republic. Drivers
are now paying about 32 crowns for one liter. Since the beginning of the
year, the prices have increased by 20 per cent, one liter of unleaded
gas is eight crowns more expensive than it was last year. In addition to
consumers, the rise is causing concern for hospitals, police and fire
fighters, because their budgets were not prepared for the increase.
Nobody knows the limits of the increase. "The prices of oil on
European markets is developing hastily, the dollar has similarly
recently risen considerably. The refineries are reacting to this and we
are reacting to them," said to the Czech daily MF DNES Svatopluk Sykora,
director of Benzina, the Czech gasoline distributor.
Tomas Havlin/Darina Johanidesova
Rates at the Czech National Bank (valid May 26)
--------------------------------------------------------------
1 EUR = 36.320
country currency CZK
------------------------------------------
Australia 1 AUD 22.885
Great Britain 1 GBP 59.440
Denmark 1 DKK 4.872
Japan 100 JPY 37.382
Canada 1 CAD 26.636
IMF 1 XDR 52.765
Hungary 100 HUF 13.981
Norway 1 NOK 4.405
New Zealand 1 NZD 18.242
Poland 1 PLN 8.942
Greece 100 GRD 10.798
Slovakia 100 SKK 84.525
Slovenia 100 SIT 17.698
Sweden 1 SEK 4.373
Switzerland 1 CHF 23.297
USA 1 USD 40.255
Exchange Rates of countries participating in the euro
(converted from the euro rate)
country currency CZK
-----------------------------------------
Germany 1 DEM 18.570
Belgium 100 BEF 90.035
Finland 1 FIM 6.109
France 1 FRF 5.537
Ireland 1 IEP 46.117
Italy 1000 ITL 18.758
Luxemburg 100 LUF 90.035
Netherlands 1 NLG 16.481
Portugal 100 PTE 18.116
Austria 1 ATS 2.639
Spain 100 ESP 21.829
CULTURE
Svanda Theater Saved
According to plans of former Prague City Hall officials, the Svanda
Theater, also known as the Realistic or Labyrinth Theater, should have
already been renovated. Instead, the theater, with more than 100 years
of tradition, was facing extinction. The City Council stopped the
planned reconstruction and considered other possibilities for using the
space, including its sale. However, the Council decided this week to
keep and renovate the theater. Reconstruction should start this year and
be finished in 2002.
The Svanda family acquired the theater in post-1989 restitution and
sold it to movie producer Miro Vostiar. The City of Prague bought it
from him for 45 million crowns at the end of 1997. But Vostiar evidently
sold the city parts of the premises which legally did not belong to him.
Igor Nemec, the city councilman responsible for culture, previously told
Czech daily MF DNES that in his opinion someone committed fraud and
redrew the property at the Land Register. "If not for that, the theater
would be opening soon," he said.
Council members from Prague's 5 District strongly protested against
losing the theater, the Actor's Association initiated a petition.
Culture Minister Pavel Dostal stood up for the theater as well, but had
no authority to intervene in the city matter.
Nikoleta Alivojvodic/Simon Dominik
Charter 77 Foundation Awards Tom Stoppard Prize
Philosopher Karel Kosik was awarded the Tom Stoppard Prize, given
by Charter 77 Foundation annually for "high literary quality of a work
and the courage with which thoughts are expressed about the source of
the crisis in contemporary art, politics and society." Kosik received
the award May 23 in the Mirror Chapel of Prague's Klementinum. The jury
awarded Kosik's book Antediluvian Reflections (Predpotopni uvahy),
published by Torst in 1997.
The Tom Stoppard Prize was founded with a donation to Charter 77
made in 1983 by the English dramatist of Czech origin. Initially it was
given to books that could not be published under the previous regime.
Past winners include Eva Kanturkova and Milan Uhde.
Tomas Havlin/Darina Johanidesova
SPORTS
Marathon Runners Fill Prague
Prague's city center changed on the morning of May 21: columns of
cars disappeared and thousands of runners took their place. They were
participating in the sixth edition of the Prague International Marathon.
Brazil's Ronaldo da Costa (who ran the second-fastest marathon
ever) and Kenya's Josphat Kipron (sixth-fastest) were the biggest
favorites, and last year's women's winner, Franca Fiacconi of Italy, ran
again. However, none of them won. Simon Chemoiyvo of Kenya, who ran the
first marathon of his life, was the surprising winner. He was second
behind Kiprono for a long time, but with a strong finish he won in
2:10:35. "I realized that I have good finishes in cross-country and
five-kilometer runs, so I tried it and it worked," he said after the
race.
Russia's Alina Ivanova ruled among women, breaking the track record
with a time of 2:27:42. Czech fans were satisfied with Alena
Peterkova's second place; Peterkova won the race five years ago, but
lost the gold because of doping. "I am glad my career didn't end with
that race," said Peterkova.
A City and a Family run were also part of the program. Among the
anonymous runners were some well-known local faces: Slovak Premier
Mikulas Dzurinda, Czech Labor Minister Vladimir Spidla and Health
Minister Bohumil Fiser, government speaker Libor Roucek and film and
theater director Jiri Menzel.
Results of the Prague International Marathon: Men: 1. Chemoiyvo
(Kenya) 2:10:35, 2. Kiprono (Kenya) 2:10:38, 3. Kandie (Kenya) 2:11:48.
Women: 1. Ivanova (Russia) 2:27:42, 2. Peterkova (Czech Republic)
2:31:08, 3. Fiacconi (Italy) 2:32:00.
Jaroslav Sauer/Mirek Langer
Soccer Trading Period Begins after Soccer League Ends
The top two teams of the soccer league have lost some of their
stars before the start of the Euro 2000. Sparta's Vratislav Lokvenc and
Petr Gabriel are leaving their club for Germany's 1. FC Kaiserslautern,
while Miroslav Baranek will play for 1. FC Cologne. Petr Vlcek, Ondrej
Kristofik and Martin Vozabal, who finished as a host, are leaving
second-place Slavia. The future of midfielder Pavel Horvath is not
clear, as the Belgian club Liege (which bought Vlcek) is interested in
his arrival. Jan Stejskal, Slavia goalkeepers' coach, will have the same
job with Sparta next year. Slavia also got its first newcomer: Radim
Necas will return here from Jablonec.
Jaroslav Sauer and Ondrej Trunecka/Mirek Langer
SPORTS IN BRIEF
* An exhibition match between Teplice and the Team of Stars served as
a farewell to the completed soccer league season and a celebration of
55 years of Teplice soccer. The Team of Stars included some of the
league's top players and was strengthened by Jan Koller of Anderlecht,
Vladimir Smicer of Liverpool and Martin Penicka. Teplice's Michal Bilek
ended his career with the game. The Team of Stars won 7-5.
* Martina Navratilova, Czech-born American tennis player, returned
succesfully to professional tennis May 23 after five years of
retirement. In a doubles tournament in Madrid, she and South Africa's
Mariaan de Swardt defeated the Japanese-American team of Hiraki and
Shaughnessy 6-3, 7-5. Navratilova and de Swardt should play at
Wimbledon.
* Czech cyclist Jan Svorada found more success in the Tour of Italy:
in the 10 stage, from San Marcello to Padua, he finished second behind
Ivan Quaranta of Italy. With his 14th place standing, Jan Hruska is the
top Czech racer in the overall standings.
* The Czech national soccer team arrived in Austria's Seefeld May 23
for a 10-day training camp. They will not play any games, their stay
will include plenty of relaxation to gather strength for the upcoming
Euro 2000. The Czechs advanced to the Euro without losing a point in the
qualification rounds and they will meet France, Denmark and the
Netherlands in their group.
* About 12,000 people, including the chairpersons of both chambers of
Parliament, Libuse Benesova (Senate) and Vaclav Klaus (Chamber of
Deputies), took part in the 36th edition of the Praha-Prcice walk May
20.
Jaroslav Sauer/Mirek Langer
WEATHER
Farmers who had been for a few days on the front pages of Czech
newspapers thanks to drought, have evidently relaxed. It rained.
Temperatures cooled, requiring a return to long pants and more than one
layer of clothing. The rains came May 17 and continued intermittently
through the weekend.
Tomas Havlin/Zuzana Janeckova
English version edited by Michael Bluhm.
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