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Russia 100422
Basic Political Developments
• RIA: Russia's State Duma to discuss ratification of Russian naval base deal
• Reuters: Ukraine suspends Vimpelcom/Kyivstar merger approval
• Oil and Gas Eurasia: Russia Ready to Invest in Iranian Petrochemicals - Russia is interested in investing in Iranian petrochemical projects and will send a delegation to Iran next week to discuss possibilities with Iranian officials, Iran's ambassador to Russia Seyed Reza Sadjadi said 21 April.
• Xinhua: China, Russia to further advance economic cooperation- In talks with Chinese Ambassador to Russia Li Hui, Russian Industry and Trade Minister Viktor Khristenko said Russia and China, as neighboring countries of strong economic complementarity and collectively tasked with economic restructuring and modernization, share a broad prospect for economic and trade cooperation.
• RIA: Washington-Moscow flight strands passengers in Azores after emergency landing
• Russia Today: Plane with Russian crew crashes in Philippines
• RUVR: Cargo plane crashes in Philippines - An An-12 cargo plane crashed in the Philippines on Wednesday evening. The national civil aviation agency says there were three Russian citizens, two Uzbeks and one Bulgarian aboard.
• Vesti: Names of the pilots killed in jet crash announced [pic][pic][pic]- The Russian-made cargo plane crashed and burst into flames in a rice field north of the Philippine capital late Wednesday as it attempted a landing.
• Itar-Tass: New START not to constrain US missile defence programmes – Tauscher
• Itar-Tass: US top military leadership to attend VE Day parade in Moscow
• RIA: Russia's George ribbons to be distributed across world ahead of Victory Day
• Itar-Tass: Russian, Australian FMs to discuss economic, political cooperation
• Australia and Russia: Enhancing our Agricultural Cooperation
• Australia and Russia: Closer education ties
• RIA: Russian, EU diplomats to discuss European security in Veliky Novgorod
• NY Times: Russian Court Ordered to Hear Appeal in Katyn Case
• AllAfrica: Zimbabwe: Russian Firms to Comply With Law - Speaking to journalists after meeting Vice President John Nkomo at his Munhumutapa Offices in Harare yesterday, Professor Shubin Vladimir said Russians are aware of Zimbabwean laws on investment and would respect them.
• VoA: Congressman Asks US Treasury Department to Probe Russian's Zimbabwe Dealings
• RIA: Russian Navy successfully delivers anti-cruise missiles in maneuver
• Hindustan Times: India to arm Russia-built jets with BrahMos missiles
• RIA: Mexico to create its first space center on Yucatan Peninsula - Russia and Mexico signed an agreement on the cooperation in space research and exploration for peaceful purposes in 1996. In March 2009, a delegation of experts from Russian space agency Roscosmos visited the Latin American state to discuss the creation of the Mexican space agency with local lawmakers.
• Itar-Tass: Russia to show best projects at Technology in Machine-Building 2010 forum
• Itar-Tass: CSTO anti-terror exercises to begin in northern Tajikistan - The exercise will begin at the military training range Chorukh-Dairon, 300 kilometres north of Dushanbe, on Thursday, April 22.
• Panorama.am: OSCE MG to have full staff meeting in Moscow
• Georgian Times: Koba Davitashvili and Kakha Kukava Leave for Moscow
• RIA: Georgian opposition intends to create 'Georgian lobby' in Russia
• Trend.az: Georgia to demand ICAO to use sanctions against Russia
• AP: Georgia confirms highly enriched uranium seizure
• Panarmenian: CBA chairman to attend Moscow Interstate Bank Council meeting - Moscow Interstate Bank is an international financial organization founded in 1993 by 10 CIS countries. The bank mainly focuses on the problems CIS countries experience when cooperating in the financial sector.
• Itar-Tass: Timoshenko demands extraordinary parliament session over deal with Russia
• Ukrainian Journal: Yanukovych bars Ukrainian reporters from Medvedev press conference
• Broadband TV News: Russian channels enter Ukraine
• Itar-Tass: Ukraine okays broadcasting 2 Russian television channels
• Reuters: World Bank chief urges action to save wild tigers - A summit in September in Vladivostok, Russia, will try to push for conservation commitments for the world's remaining tigers.
• Itar-Tass: Putin to chair meeting on demographic policy
• RUVR: Another orphan to come back to Russia
• Russia Profile: Born to Be Refused - Russia May Halt International Adoptions, but Can It Stop Violence Against Children at Home?
• Itar-Tass: Ildar Khalikov elected Tatarstan’s prime minister - Since 1993 Khalikov occupied senior positions at Chelny Bank. In 1995 he joined KAMAZ - a famous Soviet brand for one of the biggest machine building plants, that was going through a serious crisis then. In the post of deputy chief of the KAMAZ juridical department, KAMAZ financial director and its deputy Director General Ildar Khalikov earned a prestigious title of anti-crisis manager. Since 2003 Ildar Khalikov worked in the post of city mayor of Naberezhniye Chelny.
• Newsru: Cossack Ataman Shot In the Dagestan village of Krasny Voskhod
• RIA: Two militants killed in North Caucasus - Two militants in Russia's North Caucasus republic of Kabardino-Balkaria were killed in a shootout on Wednesday, a source from the law enforcement agencies told RIA Novosti on Thursday.
• Interfax: In Kabardino-Balkaria are investigating a criminal case in connection with the clashes in a village
• Independent: President is trying to kill me, says Chechen clan leader
• Moscow Times: Scientology Writings Banned as Extremist
• The Star: Hubbard squashed in Russia - The ban relates to 28 books and audio-video discs containing lectures by Hubbard, a US science fiction author who founded Scientology in 1954, the Russian prosecutor-general's office said.
• Korrespondent: In the center of Moscow there was a fight between an employer and migrant workers
• Moscow News: Two men stabbed by skinheads on Hitler’s birthday - A group of skinheads brutally stabbed Moscow resident Alan Al-Khalidi near Belyayevo metro late on April 20 in an attack coinciding with Adolf Hitler's birthday. A few hours later a man of Central Asian descent was attacked in the same part of the city.
• Itar-Tass: Primorye to spend RUR 19 bln in 3 years on road construction
• Russia Today: Russian North’s dilemma: develop or disappear - They are two of the world’s most-northerly inhabited areas, geographically and physically very similar. But while Hummerfest in Norway is a thriving hub, Teriberka in northern Russia is becoming a ghost town.
• Arctic Sounder: Russian delegation shares OCS insights - Pacific Environment hosted its third "cultural exchange," between Alaska and the Russian Far East recently, bringing a group of four Russian, various leaders, scientists and environmental advocates, to Barrow from April 10 to 15.
• Eurasia Review: Air Controller Strike Suggests Russians May Be Overcoming ‘Solidarity Deficit’ - By Paul Goble
• Spero News: Russia's standard of living to drop - By Paul Goble
• Eurasia Review: Baikal Movement Appeals To Leaders Of The World - By Paul Goble
• Moscow Times: Rusnano Fires Lawyer for Money Laundering
• Russia Today: Spring Cleaning for the Power Vertical - Cleaning Up Governance Might Be an Incentive for Russia’s Leaders to Beat Corruption, but Making It Happen Is a Different Matter
• Moscow Times: Academy Denounces United Russia Inventor - A public backlash against Petrik led the Academy of Sciences to create a special commission in February to analyze his patents and alleged inventions, which range from the treatment of radioactive water and the separation of platinum metals to alpha-ray radiators for nuclear medicine.
• RIA: Russia marks 140th anniversary of Lenin's birth
• Bloomberg: Russian Collectors See Bargains as Volcano Cuts Auction Turnout
• Defpro: Russia: Between Terrorism and Foreign Policy - Russia faces security challenges that are increasingly difficult to ignore
• Russia Today: 22 April, 2010 in Russian Newspapers
o Izvestiya: Breaking the vicious cycle
o Gazeta.ru: A calling to serve
o Rossiyskaya Gazeta: The Pentagon considers Russia’s radars
• Businessneweurope: MOSCOW BLOG: Meaningless acronyms spread like VIRUS - There is a new buzzword in Washington: "VIRUS". It is an acronym coined by the policy wonks to describe an alliance between Venezuela, Iran and Russia that is designed to do in the US.
KYRGYZSTAN
o RIA: Ousted Kyrgyz president to hold news conference in Minsk on Friday
o RIA: Kyrgyzstan to hold referendum on new constitution June 27, parliamentary polls October 10
o Itar-Ttass: Presidential elections to be held in Kyrgyzstan on Oct 10
o Reuters: Kyrgyzstan to hold election on Oct 10
o RIA: Brother of ousted Kyrgyz president missing
o RIA: Bakiyev's relatives reported the disappearance of one of his brothers
o RFE/RL: Kyrgyz Interim Government Arrests Bakiev Supporters In South
o Trend.az: Kurmanbek Bakiyev needs medical rehabilitation - Minister of Health of Belarus
National Economic Trends
• Itar-Tass: Russian industrial production down 23 prc because of crisis – minister
• Reuters: Russian rouble stalls near 16-mth peaks
• Interfax: Russia to place $2 bln in 5-yr Eurobonds, $3.5 bln in 10-yr – source
• Reuters: Russia sells $5.5 bln Eurobond on $25 bln demand-UPDATE 1
• Bloomberg: Russia’s New Eurobond May Beat Current Debt, Morgan Stanley Says
• Bloomberg: Russia to Raise $7 Billion as Egypt Returns to Overseas Markets
• Moscow Times: Central Bank Wants Foreign Currency Accounts Closed
• Bne: FX correspondent accounts to close
• Cbonds: Kommersant: Bank of Russia starts new fight against high deposit rates
• Cbonds: IMF calls on Russia to bolster banking sector
• Reuters: Russia c.bank injects 31.7 bln roubles via repos
Business, Energy or Environmental regulations or discussions
• Bloomberg: Mechel, Novorossiysk Sea Port, Rusal: Russian Equity Preview
• Interfax: Energy Ministry adjusting power company investment program
• Reuters: BRIEF-Russia's OGK-3 2009 net profit fallS 36 pct
• RUVR: Russian watchdog grants license to Finland's Nestle company
• Reuters: Russian Railways may raise 2010 investment program
• RBC: Russian Railways mulls expansion of investment program
• Interfax: Novorossiysk Commercial Sea Port boosts 2009 net profit 163% to $252.2 mln (Part 2)
• iStockAnalyst: Moody's Upgrades Vneshprombank (Russia) to B2/Baa1.Ru From B3/ Baa2.Ru
• Moscow Times: Foreign Companies Sign Anti-Corruption Pact
• Moscow Times: Russian Technologies Seeks Bigger KamAZ Stake
• : ALROSA Sells $1B Rough Diamonds in 1Q [pic]
• RBC: Sistema shareholders to ponder 2009 dividend
• Moscow Times: For the Record
o Telecoms firm Synterra said Wednesday that it planned to invest 1.7 billion rubles ($58 million) in regional expansion this year. (Bloomberg)
o VimpelCom said Wednesday that 97.87 percent of its shareholders have approved its planned merger with Ukraine’s Kyivstar.(Reuters)
Activity in the Oil and Gas sector (including regulatory)
• RIA: Gas contracts with Ukraine not to affect contracts with other countries - Shmatko
• Reuters: Russia sees no reason to review gas contracts after Ukraine
• Moscow Times: Surgut to Miss MOL Vote
• Portfolio.hu: Surgut seen caught in red tape, voting in Hungarian MOL's AGM unlikely
• Business Wire: NOVATEK signs butane gas supply agreement with Nizhnekamskneftekhim
Gazprom
• Russia-IC: Gas stock exchange may appear in Russia in two years
• RUVR: Gazprom 16th on Forbes' list of top companies
• RenCap: Gazprom insists on netback pricing for the domestic gas market
• Troika: Gazprom Neft and TNK_BP International may divvy up Slavneft
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Full Text Articles
Basic Political Developments
RIA: Russia's State Duma to discuss ratification of Russian naval base deal
11:2722/04/2010
The lower house of the Russian parliament, the State Duma, will hold on April 27 an additional plenary session on the ratification of a Russian-Ukrainian naval base deal, the head of the State Duma's foreign affairs committee said on Thursday.
The Russian and Ukrainian presidents on Wednesday agreed to extend a lease on a Russian naval base in Ukraine's Crimea in exchange for a 30% cut in gas prices for Ukraine. The lease agreement extends Russian naval presence in the port of Sevastopol for 25 years after the current lease expires in 2017, and may be further extended by another five years.
Konstantin Kosachyov said the agreement may be submitted to the State Duma for the ratification on Friday.
State Duma speaker Boris Gryzlov said he hoped the Ukrainian parliament will also ratify the deal.
MOSCOW, April 22 (RIA Novosti)
Reuters: Ukraine suspends Vimpelcom/Kyivstar merger approval
4:41am EDT
KYEV, April 22 (Reuters) - Ukraine's anti-monopoly committee on Thursday voted unanimously to suspend its earlier decision to approve a merger of Russia's No.2 mobile phone operator Vimpelcom with Ukraine's Kyivstar.
"The decision means that the participants .. should not take any actions (potentially) leading to concentration," Alexei Kostusev, the head of the regulator, said during the committee's meeting.
He said it could take up to several months to review the March decision.
(Reporting by Pavel Polityuk; writing by Maria Kiselyova)
22.04.2010
Oil and Gas Eurasia: Russia Ready to Invest in Iranian Petrochemicals
Russia is interested in investing in Iranian petrochemical projects and will send a delegation to Iran next week to discuss possibilities with Iranian officials, Iran's ambassador to Russia Seyed Reza Sadjadi said 21 April.
Sadjadi said the two countries were currently negotiating on cooperation in energy projects, concentrating specifically on petrochemicals. He also noted that Iran and Russian delegation would be able to get acquainted with the capabilities of the Asalu petrochemicals complex during their visit.
Sadjadi added that Deputy Russian Energy Minister Sergey Kudryashov would attend the international Oil, gas and petrochemicals exhibition April 23-26 in Tehran. Kudryashov will discuss the oil and gas "road map" for Russian-Iranian cooperation while in Iran.
Copyright 2010, Oil and Gas Information Agency. All rights reserved.
Xinhua: China, Russia to further advance economic cooperation
2010-04-22 15:28:26
MOSCOW, April 22 (Xinhua) -- Officials from China and Russia, in talks held here on Wednesday, agreed to fully tap the potential of bilateral economic cooperation between the two countries.
In talks with Chinese Ambassador to Russia Li Hui, Russian Industry and Trade Minister Viktor Khristenko said Russia and China, as neighboring countries of strong economic complementarity and collectively tasked with economic restructuring and modernization, share a broad prospect for economic and trade cooperation.
Russia is willing to adopt effective measures along with China to further enhance bilateral economic cooperation, he said.
The Russian minister expressed the hope that more big Chinese enterprises would invest in Russia, and the two countries would realize a mutually beneficial and win-win situation by expanding cooperation on deep processing of raw materials, aircraft manufacturing and hi-tech sectors.
Hailing the fruitful achievements of bilateral economic cooperation in recent years, Li said both sides should take opportunities to fully tap cooperative potentials on finance, investment and economic technology.
The two officials also exchanged views on the upcoming Shanghai World Expo.
RIA: Washington-Moscow flight strands passengers in Azores after emergency landing
12:0622/04/2010
MOSCOW, April 22 (RIA Novosti) - A United Airlines Boeing 767, which made an emergency landing en route from Washington to Moscow on an island of the Azores in the mid-Atlantic on Wednesday, should reach its destination on Thursday, a passenger told RIA Novosti.
The Russian Federal Air Transportation Agency said on Wednesday the passenger plane made an emergency landing on the island of Terceira due to technical failures, but did not say when the landing took place or how many passengers were on board.
"From the very beginning of the flight there were problems with the video system that shows films and other entertainment programs [on board]," Pavel Chesnokov, a passenger on the flight, said, adding that "passengers sitting at the back of the plane noticed a slight smell of smoke."
During the flight, the pilot announced to passengers that the smell on board was from the eruption of Iceland's Eyjafjallajokull volcano, Chesnokov said.
Chesnokov said Flight 964 from Washington Dulles airport was originally delayed for five hours due to bad weather. The flight was further delayed when European air traffic controllers gave flights to Paris and Brussels first prerogative for take off. Because of the length of delays, the entire flight crew was changed.
Chesnokov said the pilot later told passengers that they would be making an emergency landing on an island, however did not specify which one.
"They started dumping fuel right before the landing," he said.
The plane landed at the Terceira Das Lajes Airport in the Azores and the passengers were taken to the waiting terminal. Since the Azores are the territory of Portugal, only a small number of passengers with EU citizenship or valid Schengen visas were then taken by bus to a hotel. The remainder, mostly Russians, was required to remain in the terminal for eight-nine hours before paperwork was completed to allow them to leave the terminal, Chesnokov said.
He said passengers were not given any food or beverages during the waiting period and the small bar inside the transit terminal was "wiped out in minutes."
The flight is scheduled to leave Terceira for Moscow on Thursday afternoon.
Russia Today: Plane with Russian crew crashes in Philippines
22 April, 2010, 03:04
The cargo plane Antonov-12, designed in the Soviet Union, crashed not far from the Manila international airport on Wednesday evening.
Reports say three crew members have been rescued from the wreckage while three others have died.
The locally-owned airplane crashed approximately 35 kilometers to the south of Clark airport, a former US Air Force base, while trying to execute an emergency landing and reportedly broke into two sections. The plane was making its way from Mactan in the central Philippines to Manila.
Rescued from the burning wreckage by local residents were three crew members: two Russians and an Uzbek. Three other crewmen, two Russians and a Bulgarian, died in the crash.
The four-engined An-12 was designed in the Soviet Union in the 1950s and made its first test flight in 1957. From 1957 until the end of production in 1973, 1,248 An-12s of various modifications were built. Later it was produced in China as the Shaanxi Y-8. In 2006, 179 An-12s remained in service with 90 airlines, mostly in Africa and Asia.
RUVR: Cargo plane crashes in Philippines
|Apr 22, 2010 09:35 Moscow Time |
An An-12 cargo plane crashed in the Philippines on Wednesday evening. The national civil aviation agency says there were three Russian citizens, two Uzbeks and one Bulgarian aboard. Two of them, a Russian and Uzbek, survived. The plane caught fire during emergency landing. Eye-witnesses say it was flying very low and then crashed into a field.
Vesti: Names of the pilots killed in jet crash announced [pic][pic][pic]
22 April 2010 | 09:38 | FOCUS News Agency [pic][pic][pic]
Manila. AN-12 cargo plane crashed about 22 miles (35 kilometers) south of Clark airport, Pampanga province, northern Philippines on Thursday, Russian Vesti television channel announced. The Russian-made cargo plane crashed and burst into flames in a rice field north of the Philippine capital late Wednesday as it attempted a landing. Three foreign national crews were killed and three pulled out alive from the burning wreckage.
According to data of Civil Aviation Management of the Philippines perished pilots in the accident are: Russian engineers Nikolay Banon and Dadim Yahimov and Bulgarian national Tsvetoslav Gachevski. Three more crew members have been injured.
Itar-Tass: New START not to constrain US missile defence programmes – Tauscher
22.04.2010, 04.31
WASHINGTON, April 22 (Itar-Tass) --The new START Treaty, signed by U.S. President Barack Obama and Russian President Dmitry Medvedev on Prague on April 8, won’t constrain U.S. missile defence programmes, Undersecretary of State for Arms Control and International Security Ellen Tauscher said.
“The new START Treaty does not constrain U.S. missile defense programs. The United States will continue to improve our missile defenses, as needed, to defend ourselves, our deployed forces, and our allies and partners,” Tauscher said at Atlantic Council Panel Discussion in Washington on Wednesday.
She noted that Russia’s unilateral statement on a possible secession from the treaty if the U.S. missile defence threatens its security “is not an integral part of the New START Treaty. It’s not legally-binding. It won’ t constrain U.S. missile defence programmes.”
Itar-Tass: US top military leadership to attend VE Day parade in Moscow
22.04.2010, 03.30
WASHINGTON, April 22 (Itar-Tass) -- The top U.S. military command will be represented at the VE Day parade in Moscow on May 9, the Chairman of the U.S. Joint Chiefs of Staff, Admiral Mike Mullen said in an exclusive interview with Itar-Tass on Wednesday.
Mullen himself will not travel to Moscow. He is now in Washington to receive the Chief of the Russian Army General Staff, General of the Army Nikolai Makarov.
Troops from the anti-Hitler coalition member states, including the United States, will march in Moscow’s Red Square during the parade. The White House and the State Department have said that America would be represented at the highest political level.
Admiral Mullen confirmed that this was also true of the military.
“Yes, the leadership certainly will be there. And we are delighted to participate in that parade. And we are sending a unit to participate in that parade,” he said.
RIA: Russia's George ribbons to be distributed across world ahead of Victory Day
00:5722/04/2010
Thousands of Russian St. George ribbons will be distributed across the world starting from Thursday to mark the anniversary of the end of World War II.
The campaign, which was initiated by RIA Novosti and the Student Community youth organization, commemorates the heroes of the eastern front and involves hundreds of partners in Russia and abroad.
More than 55 million orange and black ribbons have been distributed across the globe since the campaign was first held in 2005. Ahead of Victory Day, people in many countries decorate their cars, clothes and everything else with the ribbons as an expression of their respect for those who died during the war.
Orange and black are the traditional colors of Soviet and Russian awards for achievements in combat. The black and orange stripes symbolize smoke and fire.
More than 10 million ribbons were distributed last year, including around 2 million abroad. Russian diasporas in many countries, including Britain, the United States, Mexico, Argentina, Iceland, Turkey, China, the United Arab Emirates, Greece and Vietnam took part in the project.
Moscow cinemas will show movies about WWII free of charge this year as part of the campaign.
MOSCOW, April 22 (RIA Novosti)
Itar-Tass: Russian, Australian FMs to discuss economic, political cooperation
22.04.2010, 05.31
MOSCOW, April 22 (Itar-Tass) -- Russian Foreign Minister Sergei Lavrov and Australian Minister of Foreign Affairs Stephen Smith will meet on Thursday, April 22, to discuss economic cooperation and interaction at the Asia-Pacific Economic Cooperation (APEC) forum, the ASEAN Regional Forum on security in the Asia Pacific region, and other regional and international forums.
“Priority attention at the meeting will be given to important issues of the bilateral agenda, including deepening of the bilateral economic ties, improvement of the contractual legal framework, the two countries' interaction in the Antarctic sphere,” Foreign Ministry spokesman Andrei Nesterenko said.
Russia and Australia have reached “certain success in the trade-economic interaction sphere,” he said. “In particular, the bilateral cooperation in such spheres as the mining industry, agriculture and energy industry has received further development.”
Australia and Russia: Enhancing our Agricultural Cooperation
Joint media release
Australian Minister for Foreign Affairs and Minister for Agriculture, Fisheries and Forestry
22 April 2010
Today I signed a Memorandum of Understanding (MoU) on Agricultural Cooperation with Russia's Minister for Agriculture, Dr Elena Skrynnik.
The MoU will support the exchange of Australian and Russian delegations, experts and scientists, as well as participation in agricultural trade shows, symposia, conventions and fora.
"Australia already enjoys a substantive trade relationship with Russia in meat and cattle exports," said Mr Smith.
"This MoU will strengthen these links by allowing our authorities to work together effectively on a range of issues, including achieving a better understanding of each other's regulatory and legal frameworks."
"Australia is a world-class agricultural producer and a reliable trading partner. We look forward to working closely with Russia as it enhances its agricultural development and production capabilities." Mr Burke said.
The Department of Agriculture, Fisheries and Forestry will continue to work with Russian authorities to realise the full potential of the bilateral trade relationship, including securing the resumption of kangaroo meat exports to Russia.
Australia and Russia: Closer education ties
Media release
22 April 2010
Russian and Australian students will now have access to a range of scholarships and assistance that will deepen education exchange between our two countries.
From this month, Russians students can apply for the full suite of Endeavour Award scholarships available to Europe under the Australia Awards.
These scholarships provide significant financial support and enable high-achieving students to undertake study or research in Australia.
The Endeavour Europe Award will assist Russian Masters and PhD students to undertake postgraduate study in Australia, while the Endeavour Research Fellowship will support Russian postgraduates and postdoctoral fellows to carry out short-term research in Australia.
Russian students can also apply for the Endeavour Vocational Education and Training (VET) Award, which provides financial support for up to 30 months to undertake vocational education at a Diploma, Advanced Diploma or Associate Degree level in any field of study in Australia.
Students are not the only ones to benefit from these developments.
High achievers in Russian business, industry, education or government can apply for the Endeavour Executive Award, which places successful applicants in an Australian host work environment.
Australian students and professionals will also benefit.
They can now apply for an Endeavour Research Fellowship or Executive Award to support short-term research or development in Russia.
The Australian Department of Education, Employment and Workplace Relations (DEEWR) will enhance its support for Australian universities and institutions which create partnerships with Russian institutions, through undergraduate exchange programs.
Our current education relationship with Russia is small, but growing.
There were 1200 enrolments by Russian students in Australia in 2009, an increase of 21 percent on 2008 figures.
I trust that Russian and Australian students will take advantage of these new study and work experience opportunities and that, over time, we will see a new generation of leaders in Russia with strong ties to Australia and our shared Asia-Pacific region.
RIA: Russian, EU diplomats to discuss European security in Veliky Novgorod
03:5322/04/2010
Politicians, scientists and diplomats from Russia, Poland, Finland and Estonia will discuss European and national security issues during a two-day conference, which will open in the Russian city of Veliky Novgorod on Thursday, a spokesman for the local Mayor's Office has said.
Participants in the conference entitled "New Trends of European Security: How We Begin the 21st Century?" are expected to discuss "the issues related to recent changes in the European and national security models, cooperation between Russia and NATO, attempts to review the results of WWII, and new technologies used in 'information wars'", the spokesman said.
The conference will take place in Veliky Novgorod, near Russia's second city of St. Petersburg, for the ninth time. If was first held in 2002.
Russian President Dmitry Medvedev proposed drawing up a new pan-European security pact in June 2008, and Russia published a draft of the treaty on November 29, 2009, sending copies to heads of state and international organizations, including NATO.
In late February, U.S. Secretary of State Hillary Clinton rejected Russia's call for a new European security treaty, saying Europe's security would be strengthened by closer cooperation between Russia and NATO.
Moscow has long opposed U.S. plans to place elements of its missile defense network in eastern Europe, and hoped that the controversy over the U.S. missile shield had been resolved last year when the Obama administration scrapped plans to deploy interceptor missiles in Poland and a radar in the Czech Republic.
However, Washington's new phased-in approach for European missile defense, which adds a naval component and could involve not only Poland and the Czech Republic but also Romania and Bulgaria, makes the potential threat to Russian nuclear deterrent even stronger.
To alleviate Russia's concerns, Washington agreed to declare a link between the reduction of strategic offensive weapons and the development of missile defenses in a new U.S-Russian strategic arms reduction treaty signed in Prague on April 8.
Following the signing of the new arms reduction deal, Russia proposed cooperation with the United States and NATO in creating a global missile defense system.
In March, the UN and the Collective Security Treaty Organization (CSTO), a post-Soviet security group, signed a declaration of cooperation between their secretariats. The signing took place during UN Secretary General Ban Ki-moon's visit to Moscow.
The CSTO, which is made up of Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, Uzbekistan and Tajikistan, has held observer status at the UN since 2004.
VELIKY NOVGOROD, April 22 (RIA Novosti)
NY Times: Russian Court Ordered to Hear Appeal in Katyn Case
By REUTERS
Published: April 21, 2010
A Russian human rights group said Wednesday that it had cleared an initial hurdle in its legal fight to declassify documents about a 1940 massacre of Polish officers by Soviet troops that still causes tensions between Russia and Poland.
Russia’s Supreme Court ordered the Moscow City Court to consider an appeal in which a rights group, Memorial, sought to force the authorities to declassify a 2004 decision by military prosecutors to drop an investigation into the massacre in the Katyn forest. A Memorial leader, Yan Rachinsky, said the ruling could lead to a court decision to open up secret documents providing details about the killings of thousands of Polish officers there. Poland also wants the documents declassified.
Longstanding tensions between Russia and Poland have shown signs of easing after the death of the Polish president, Lech Kaczynski, and 95 others on April 10 in a plane crash en route to a commemoration ceremony at Katyn. Polish leaders have expressed deep gratitude for the Russian response, including the formal military sendoff for Mr. Kaczynski’s body.
AllAfrica: Zimbabwe: Russian Firms to Comply With Law
22 April 2010
Harare — PROSPECTIVE Russian investors will invest in Zimbabwe in accordance with the indigenisation laws, a visiting Russian delegation has said.
Speaking to journalists after meeting Vice President John Nkomo at his Munhumutapa Offices in Harare yesterday, Professor Shubin Vladimir said Russians are aware of Zimbabwean laws on investment and would respect them.
Prof Vladimir is leading a group of academics from Russia and is the Deputy Director of the Institute for African Studies at the Russian Academy of Sciences.
He said the academics were in Zimbabwe to check on possible areas of investment and co-operation.
"We are a group of academics who have decided to look at possibilities of Russian investment and areas of co-operation. Mining is one such area we would be interested in. We are here to assess the situation on the ground and we are happy with what we have seen because this country has great potential and we hope to enhance economic relations between our countries.
"Despite the difficult moments that Zimbabwe has gone through it is now showing great signs of recovery. Mining is one of the most important areas in the resuscitation of the economy.
"As for the indigenisation law, our companies will respect the laws of any country because there are laws in all countries."
He said Zimbabwe has a diversified economy with qualified human resources, which would make investment viable.
In our story on Prof Vladimir's meeting with Zanu-PF national chairman Cde Simon Khaya-Moyo yesterday, we erroneously referred to him as the Russian Ambassador to Zimbabwe.
Ambassador Sergey Kryukov represents Russia in Zimbabwe.
The error is sincerely regretted.
VoA: Congressman Asks US Treasury Department to Probe Russian's Zimbabwe Dealings
U.S. Congressman Bill Pascrell Jr. has referred to the U.S. Treasury the question of whether prospective NBA team owner Mikhail Prokhorov has had dealings in Zimbabwe with a business tied to individuals under sanctions
Gibbs Dube | Washington 21 April 2010
U.S. Congressman Bill Pascrell Junior, who asked the National Basketball Association recently to investigate a Russian billionaire who sought to buy the New Jersey Nets team citing business interests in a Zimbabwean bank allegedly linked to officials under sanctions, has referred the matter to the U.S. Treasury.
Ben Rich, a spokesman for the lawmaker, said Russian nickel magnate Mikhail Prokhorov is still being investigated by the NBA though it said last week that the businessman has no shady business dealings in Zimbabwe, only a stake in the Commercial Bank of Zimbabwe, which is not under sanctions.
“Congressman Pascrell has written to the Department of Treasury asking them to investigate to see if any sanctions laws were not breached,” he said.
The NBA recently said Prokhorov’s bid to buy the Nets is on track to be voted upon by the league's board.
NBA rules require background checks on new owners and approval by 75 percent of the 30 team owners.
RIA: Russian Navy successfully delivers anti-cruise missiles in maneuver
10:2022/04/2010
Three of the Russian Navy's Pacific Fleet warships successfully carried out the simultaneous delivery of supersonic cruise missiles during tactical maneuvers in the Sea of Japan on Thursday, the fleet's press service said.
"Range practices like this have been carried out by the Pacific Fleet before. But the maneuver today was unique because the guidance of the group of anti-cruise missile was given simultaneously from three ships. This time the route to the targets was marked by a special plane, as well as the usual devices," he said.
The spokesman said that according to preliminary estimations, the enemy in the maneuver was successfully defeated.
VLADIVOSTOK, April 22 (RIA Novosti)
Hindustan Times: India to arm Russia-built jets with BrahMos missiles
Indo-Asian News Service
Kuala Lumpur, April 22, 2010
First Published: 09:31 IST(22/4/2010)
Last Updated: 09:34 IST(22/4/2010)
The Indian Air Force will arm 40 Russia-built Sukhoi fighter jets with BrahMos missiles, a top official has said.
The addition of the missiles to India's fleet of Su-30MKI Flanker-H fighters will make them "absolutely unique" in firepower, Sivathanu Pillai, head of BrahMos Aerospace, said in Kuala Lumpur on Wednesday at the Defence Services Asia (DSA)-2010 exhibition.
The first tests of BrahMos air-launched missiles were set for 2011, while the first fighter test flights with missiles on board are scheduled for late 2012, he said.
The BrahMos missile has a range of 290 km and can carry a warhead of up to 300 kg. It can effectively engage ground targets from an altitude as low as 10 metres and has a top speed of Mach 2.8, which is three times faster than the US-made subsonic Tomahawk cruise missile.
The BrahMos Aerospace, an Indian-Russian joint venture established in 1998, produces BrahMos supersonic missiles, sea and ground-launch versions of which have been successfully tested and put into service by the Indian Army and Navy.
RIA: Mexico to create its first space center on Yucatan Peninsula
07:0522/04/2010
Mexico will create its own space center on the Yucatan Peninsula, deputy economy minister Francisco Pimentel has said.
"In the next few days, [U.S.] astronaut Jose Hernandez and engineer Fernando de la Pena will travel there to carry out an inspection, in order to study concrete details of the future construction," he said.
Pimentel said the space center will be built near the city of Chetumal, on the east coast of the Yucatan Peninsula. The space center, to be located some 15-20 kilometers (9-12 miles) away from residential locations, will occupy about 30 hectares.
In 2008, the Mexican parliament approved the creation of a Mexican space agency (Agencia Espacial Mexicana - AEXA). The initiative was put forward in 2007 by NASA's Hernandez, whose father emigrated to the U.S. from Mexico. The structure of Mexico's space agency will be similar to that of NASA. The initial cost of the project is estimated at $80 million.
Hernandez has said the Mexican space agency was ready to cooperate with all countries in peaceful space exploration. According to the astronaut, Mexico is technically unable to carry out rocket launches by itself as of now, but will probably be able to do it in ten years or so. For now, he said, the country should obtain technologies.
Russia and Mexico signed an agreement on the cooperation in space research and exploration for peaceful purposes in 1996. In March 2009, a delegation of experts from Russian space agency Roscosmos visited the Latin American state to discuss the creation of the Mexican space agency with local lawmakers.
After the talks, Roscosmos deputy head Sergei Savelyev said Russia was ready to help Mexico develop its national space program on a commercial basis.
MEXICO CITY, April 22 (RIA Novosti)
Itar-Tass: Russia to show best projects at Technology in Machine-Building 2010 forum
22.04.2010, 07.22
MOSCOW, April 22 (Itar-Tass) --The state-owned Russian Technology (Rostekhnologii) corporation will show its best achievements at the first international forum Technology in Machine-Building 2010 to be held in Zhukovsky outside Moscow from June 30 to July 4.
“The forum is the first place where Rostekhnologii will present the potential of practically all of its 400 enterprises and organisations, which account for almost a quarter of machinery made in the country,” corporation CEO Sergei Chemezov, who is also the chairman of the Union of Russian Machine-Builders, said.
The forum will bring together different exhibitions that used to be held separately. These include INTERMASH-2010, the 4th arms and military hardware exhibition MVSV-2010, the international exhibition AEROSPACE-2010, and the international exhibition UVS-TESN-2010.
More than 100 Russian and foreign enterprises and organisations have confirmed their participation in the forum.
Itar-Tass: CSTO anti-terror exercises to begin in northern Tajikistan
22.04.2010, 02.04
MOSCOW, April 22 (Itar-Tass) -- The Collective Rapid Deployment Force of the Collective Security Treaty Organisation (CSTO) will hold a joint command and staff counter-terrorist exercise code-named Rubezh-2010 (Frontier-2010) in the Central Asian Collective Security Region in April.
The exercise will begin at the military training range Chorukh-Dairon, 300 kilometres north of Dushanbe, on Thursday, April 22.
Military units and task force groups from four CSTO member states – Russia, Kazakhstan, Kyrgyzstan, and Tajikistan – will take part in the exercise. Uzbekistan, which is also a CSTO member, has only sent in observers.
“Instead of a company of commandos, a platoon of Kyrgyz troops and a group of several officers have arrived in the area of the manoeuvres. Several Kyrgyz helicopters have flown in, too, as planned,” the CSTO Joint Staff told Itar-Tass.
Earlier the interim government of Kyrgyzstan said it could not participate in the exercise because of the complex situation at home.
Panorama.am: OSCE MG to have full staff meeting in Moscow
OSCE MG co-chairs are going to have a meeting in Moscow today to discuss things related to Karabakh conflict, Russian media reported new co-chair Igor Popov as saying.
According to him after the meeting they may discuss the next step of holding direct negotiations.
Yesterday Russian and American co-chairs have had meetings with Azerbaijan’s Ilham Aliyev and FM Elmar Mamediarov. Former Russian co-chair Yuri Merzliakov introduced Popov to the officials.
It’s worth reminding Azerbaijani media reported the meeting of the co-chairs and the president was constructive.
American co-chair said the updated version of Madrid document had some points which need to be agreed upon, and that the co-chairs work to settle them.
“By the changing of the co-chairs Russia’s disposition over the NK conflict settlement won’t be changed, since Russia’s disposition is defined by the President of the country and not by the co-chair,” Russian diplomat said.
I. Popov declared he is due paying visit to Armenia in the nearest future.
Georgian Times: Koba Davitashvili and Kakha Kukava Leave for Moscow
Leader of People’s Party Koba Dvitashvili and Conservative Kakha Kukava have departed to Moscow today, InterpressNews was told by Davitashvili about it.
As Davitashvili stated Giorgi Tsanava will accompany them to Russia. Meetings are planned with Georgian Diaspora and representatives of society.
He says that meetings are scheduled to be held in Duma, with governmental and opposition fractions, participation in one or some talk shows.
He says that meetings with Russia’s president Dmitry Medvedev and Primer Vladimir Putin are not scheduled.
IPN 2010.04.22 11:06
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RIA: Georgian opposition intends to create 'Georgian lobby' in Russia
02:0322/04/2010
Georgian opposition leaders will travel to Russia on Thursday to meet Russian officials, opposition representatives and representatives from the Georgian diaspora in Russia in a bid to create a "Georgian lobby in Russia."
The leaders of Georgia's People's Party and Conservative Party, Koba Davitashvili and Kakha Kukava, are among those expected to visit Russia, along with other representatives of the country's National Council. The council comprises several opposition parties, including of the For a Fair Georgia public movement led by former prime minister Zurab Nogaideli.
"We are travelling [to Russia] to discuss issues of the country's unification. We will not discuss the country's interior affairs. We are going to create a public opinion, to create a Georgian lobby in Russia," Davitashvili said.
He said the Georgian delegation would meet representatives of the Georgian diaspora in St. Petersburg, where the World Forum of Georgian Peoples Diaspora will take place on Friday and Saturday.
On April 26-27, the Georgian opposition members are expected to meet with Russian officials and opposition representatives in Moscow, Davitashvili said.
Visits of Georgian opposition representatives to Russia, which have become frequent, have infuriated the Georgian government. Relations between the two countries came to a standstill after the five-day war between Russia and Georgia over the former Georgian republic of South Ossetia in August 2008.
Following the war, Russian recognized the independence of South Ossetia and another former Georgian republic, Abkhazia.
Nogaideli, who has visited Moscow several times in recent months, is expected to arrive in the Russian capital in early May to continue discussions on the resumption of regular flights between Georgia and Russia, which have been halted since the war.
In early March, Nino Burdzhanadze, the former speaker of the Georgian parliament and the leader of the opposition Democratic Movement-United Georgia, visited Moscow for talks with Russian political leaders, saying that such dialogue was crucial for Georgia.
During her stay in Moscow, Burdzhanadze, once an ally of President Mikheil Saakashvili, discussed Russian-Georgian relations with Prime Minister Vladimir Putin and Foreign Minister Sergei Lavrov.
The Russian authorities have expressed their readiness to negotiate with "realistically minded" political figures in Georgia, such as Burdzhanadze and Nogaideli. Moscow has stressed the need to find a way out of the impasse in Russian-Georgian relations, saying this is "key to peace in the Trans-Caucasus."
TBILISI, April 22 (RIA Novosti)
Trend.az: Georgia to demand ICAO to use sanctions against Russia
22.04.2010 10:22
Georgia, Tbilisi, April 22 / Trend N.Kirtzkhalia /
Georgian Ambassador to the United States Batu Kutelia will today meet with the leadership of the International Civil Aviation Organization (ICAO) in connection with the planned cooperation between Moscow and Abkhazia, Georgian Foreign International Relations Department head Irakli Giviashvili said at the joint meeting of parliamentary committees on foreign relations and the restoration of territorial integrity.
Giviashvili said Russia violates the Chicago international convention that may cause suspension of Russian's right to vote in the ICAO Assembly.
However, before making such a decision, first the ICAO have to undergo a complicated procedure, as Russia will try to use its political influence on individual countries, he added.
Giviashvili emphasized that if the ICAO determines that Russia violated the Chicago Convention, this will not be followed by real sanctions, but it is sure to become a lever for Georgia for further pressure.
Regarding the steps taken by the ministry, he said that the Foreign Ministry has already requested the ICAO to respond and give a legal assessment.
Kutelia will personally familiarize the ICAO representatives with Georgia's position April 22.
AP: Georgia confirms highly enriched uranium seizure
By DESMOND BUTLER (AP) – 3 hours ago
NEW YORK — The president of Georgia confirmed Wednesday that his country seized a shipment of highly enriched uranium, and blamed Russia for creating the instability that allows nuclear smugglers to operate in the region.
In an interview with The Associated Press, President Mikhail Saakashvili declined to divulge details of the seizure but said the uranium was intercepted last month coming into his country in the Caucasus region of southeast Europe.
The Georgian interior ministry said authorities had detained a group of foreign nationals and seized a small amount of uranium, which is now in a secure location.
Saakashvili's government no longer controls two breakaway sections of Georgia, separatist Abkhazia and South Ossetia, which declared independence after the 2008 Russia-Georgia war, and the president said the smuggling is evidence of a security black hole in the area.
Such seizures have come "mostly from the direction of Russia," Saakashvili said.
The two countries have had tense relations for years, with their leaders routinely trading barbs.
During the brief August 2008 war, Russia destroyed much of Georgia's military infrastructure and occupied the two territories. Georgia has protested fiercely, claiming that Russia is trying to annex the regions.
Only Venezuela, Nicaragua and the South Pacific island nation of Nauru have followed Russia's example and recognized both regions as independent states, while the rest of the world considers them part of Georgia.
Russia has since taken steps to establish long term military bases close to the territories' borders with Georgia proper, and Saakashvili said it has been building up its artillery there, posing a menacing threat to Georgia. In the interview, Saakashvili appealed for more western support, saying western involvement in the region is his country's best defense.
"We are not asking for an American troop presence," he said. "We are asking for an American political, economic and security presence."
South Ossetia's border is a mere 30 miles (48 kilometers) from Georgia's capital, Tbilisi.
News of the uranium seizure emerged during last week's nuclear security summit in Washington, which was hosted by President Barack Obama and that Saakashvili attended. It was first reported by Britain's The Guardian newspaper.
Obama has pointed to Russian cooperation as essential to his goal of securing all of the world's nuclear materials within four years. At the summit, Russia and the U.S. signed a deal to dispose of tons of weapons-grade plutonium.
But Saakashvili said Wednesday that under Russian control, Georgia's two breakaway regions have become havens for nuclear smugglers.
"If you are legally in occupation then you are responsible for controlling proliferation," he said.
He pointed to a 2006 sting stemming from an investigation in South Ossetia as evidence of the smuggling problem in the breakaway republics. In that instance, Georgian authorities arrested four people accused of trying to sell a small quantity of highly enriched uranium.
Saakashvili also said that Russia's military buildup in the breakaway regions are a threat to his country's security, noting that Russia has "not only the ability, but the intention to depose our government."
"Russia is involved in geopolitical games all around us," he added. "Vladimir Putin has never given up on the threat to restore some sort of Soviet Union."
In one incident in July that was never disclosed, Saakashvili said, a Russian commander upset over an officer's defection from the breakaway territories to Georgia ordered Russian tanks 10 miles (16 kilometers) into Georgia proper. He said that there have been at least three defections of Russian officers to Georgia since the war.
Saakashvili said U.S.-Georgian relations have not suffered from the Obama administration's efforts to improve relations with Russia. He said he has been pleased by the administration's public support of Georgian sovereignty and steps to boost economic cooperation and trade.
Saakashvili warned that Georgia is a test case for whether former Soviet countries can assert their independence from Russia and integrate with the West. He said that Georgia was still looking toward NATO membership, despite the apparent reluctance of many member countries to expand the security alliance toward Russia.
"The international situation in this region cannot be static," he said. "Either the West will expand eastward or hard-liners in Moscow will expand westward."
Saakashvili added that he thinks that Russia is currently too tied down with its own internal problems including unrest in the North Caucasus to make a move militarily against Georgia.
Panarmenian: CBA chairman to attend Moscow Interstate Bank Council meeting
April 22, 2010 - 11:04 AMT [pic]06:04 GMT
- Chairman of the Central Bank of Armenia (CBA) Arthur Javadyan left for the Russian capital to attend a meeting of Moscow Interstate Bank Council.
According to the CBA press office, election of Interstate Bank president, the activity carried out by the bank in 2009, annual financial report, profit distribution and transfer to financial accountability international standards will be in focus.
Besides, development of the payment and account system, the bank’s development ideology and mission, expansion of bank’s investment instruments will be discussed.
Moscow Interstate Bank is an international financial organization founded in 1993 by 10 CIS countries. The bank mainly focuses on the problems CIS countries experience when cooperating in the financial sector.
Itar-Tass: Timoshenko demands extraordinary parliament session over deal with Russia
22.04.2010, 06.31
KIEV, April 22 (Itar-Tass) -- Ukrainian opposition leader Ukrainian Yulia Timoshenko said she was demand an extraordinary parliament session on Saturday over Wednesday’s agreement between the presidents of Ukraine and Russia that allow the Russian Black Sea Fleet to stay in the Crimea till 2042.
Timoshenko said Ukrainian President Viktor Yanukovich “grossly violated the Constitution by singing the agreement with the Russian Federation on the extension of the Russian Black Sea Fleet’s presence in Ukraine.”
“Yanukovich flouted Article 17of the Constitution which does not allow the presence of foreign military bases in Ukraine,” she said.
Timoshenko believes that by so doing Yanukovich who “has unfairly taken the post of president” continues to sell Ukrainian national interests.
However, a senior Ukrainian diplomat disagreed with Timoshenko said that the agreement does not contradict the Constitution.
Ukrainian Journal: Yanukovych bars Ukrainian reporters from Medvedev press conference
Journal Staff Report
| |
|KIEV, April 21 – President Viktor Yanukovych’s administration on Wednesday restricted access to most Ukrainian reporters of his |
|press conference with Russian President Dmitry Medvedev, forcing them to watch the event on a video. |
| |
|Most of Russian reporters, however, received free access to the press conference, allowing them a chance to ask questions during |
|the summit in Kharkiv. |
Broadband TV News: Russian channels enter Ukraine
By Chris Dziadul
April 22, 2010 07.24 UK
The Russian channels RTR-Planeta and TV Center are to become available in Ukraine.
Lenta reports that the country’s National Council on Television and Radio has approved their distribution, as well as that of Tele 9, an Israeli channel targeting Russian-speaking viewers. It has also allowed the distribution of a number of channels from Belarus.
RTR-Planeta was one of several Russian channels banned from Ukraine in November 2008 for not broadcasting in the Ukrainian language.
Itar-Tass: Ukraine okays broadcasting 2 Russian television channels
22.04.2010, 10.50
KIEV, April 22 (Itar-Tass) - Ukraine's National Council for Television and Radio Broadcasting allowed two Russian channels - RTR-Planeta and TV-Tsentr -- to resume broadcasting in cable and satellite networks in the territory of the country.
The decision was made on Wednesday, a National Council official told Itar-Tass on Thursday, adding that "the content of the program on these television channels meets the requirements of the European convention on cross border television and re-broadcasting."
"Eighteen months ago, the Ukrainian authorities terminated the broadcasting of these channels under the pretext that their programs were not "adapted to the requirements of the Ukrainian legislation."
Deputy chairwoman of the National Council Oksana Golovatenko said "there shortcomings have been eliminated, as is shown by the results of the monitoring carried out by a control-analytical group."
This will increase the number of the Russian language channels in Ukraine to four. Russia's First Channel and NTV are the other two channels. In all, there are 112 foreign channels whose broadcasting is not restricted in the territory of Ukraine.
Reuters: World Bank chief urges action to save wild tigers
Thu Apr 22, 2010 7:42am IST
By Lesley Wroughton
WASHINGTON (Reuters) - World Bank President Robert Zoellick called on Wednesday for joint action among countries and organizations to save the dwindling numbers of wild tigers from extinction.
There are barely 3,500 tigers left in the wild. Their declining numbers are blamed largely on poaching and the slow destruction of their natural habitat by deforestation.
"2010, the Year of the Tiger, must be the year in which we take joint action to save this majestic species," Zoellick said at a photo exhibition by the National Geographic Museum, which focuses on the plight of endangered tigers and other big cats.
Zoellick has a personal passion for the conservation of wild tigers. Visitors to his office at the World Bank headquarters in Washington are directed to a table map showing the decline of wild tigers in the world, with troubled areas shaded in red and orange.
The World Bank, whose mission is to reduce global poverty, sees its role as trying to improve conditions in developing countries, which in turn would help to preserve the tigers' habitat.
Through the "Global Tiger Initiative," an alliance of governments and more than 30 international agencies, the World Bank has been working with countries such as India and Nepal to set aside more land for tiger habitat.
In South-East Asia the bank is working with groups to address the black market for body parts from tigers, common in countries like as China.
"Part of what this is about is getting people not to see development and conservation as opposing poles but how you can try to connect them together," Zoellick told Reuters Insider Television.
"By working with the countries in the developing world, that's the best chance to save this species, which after all is in the developing world."
A World Bank report in 2008 warned that "if current trends persist, tigers are likely to be the first species of large predator to vanish in historic times."
A summit in September in Vladivostok, Russia, will try to push for conservation commitments for the world's remaining tigers.
(Editing by Chris Wilson)
Itar-Tass: Putin to chair meeting on demographic policy
22.04.2010, 00.19
MOSCOW, April 22 (Itar-Tass) -- Prime Minister Vladimir Putin will chair a meeting on demographic policy on Thursday, April 22.
The presidium of the presidential Council on the Implementation of Priority National Demographic Projects will meet to discuss the main guidelines and measures for the implementation of Russia’s Demographic Policy Concept in 2022-2015 and up to 2025, the government press service said.
RUVR: Another orphan to come back to Russia
|pr 22, 2010 08:28 Moscow Time |
Russia’s Consul in Venezuela Ivan Savin met a Russian orphan Denis Khokhryakov. First adopted y a Russian family, the Sologubs, from Volgograd, the boy was later adopted by a family in the Dominican Republic when his step sisters who lived there with him were arrested on charges of drug smuggling.
The 12-year boy has been in child care for three years now. He speaks no Russian but remembers his native country as a place where he was happy. His Dominican parents were so cruel with Denis he has developed a mental disorder.
Russian authorities are now sorting out legal papers to take the boy back to Russia.
April 21, 2010
Russia Profile: Born to Be Refused
By Svetlana Kononova
Russia Profile
Russia May Halt International Adoptions, but Can It Stop Violence Against Children at Home?
Russia has temporarily suspended all adoption of Russian children in the United States, after a seven-year-old boy was returned home by his Tennessee-based adoptive parents. The news provoked an outcry against the practice of foreign adoptions in general, and calls for Russian orphans to be found homes in Russia. But polls show that Russians themselves are singularly reluctant to adopt.
Artyom Savelyev was put on a one-way flight to Moscow by his adoptive mother Torry Hansen with a letter explaining that she did not want to parent him anymore. In response, Russian Foreign Minister Sergey Lavrov announced that Russia “will insist on all adoptions of Russian children in the United States being banned until our countries sign a treaty to regulate the conditions of such adoptions. This will establish the responsibilities of the adoptive families.”
Russian President Dmitry Medvedev said that “We should understand what is going on with our children, or we will totally refrain from the practice of adoption of Russian children by American parents. I can only say we are alarmed by the tendency.”
A U.S. delegation was expected in Moscow on Tuesday to begin negotiations on such a deal, but the trip was cancelled due to flight restrictions as a result of the volcanic ash cloud. Meanwhile, the future of hundreds of Russian orphans and their prospective adoptive parents from abroad looks uncertain.
Artyom’s story spurred a wide public outcry in Russia and abroad. The episode, which was described as a “monstrous deed” by Medvedev, has become the subject of a heated debate about whether foreigners should be allowed to adopt Russian orphans.
Artyom Savelyev was adopted by 34-year-old nurse Torry Hansen in September of 2009 through WACAP (the World Association for Children and Parents), a large and reputable adoption and humanitarian aid agency. Previously, his biological mother had been stripped of her parenting rights for alcoholism. In April Hansen sent Artyom back to Russia by plane with $200 and a letter addressed only “to whom in may concern.” She accused the boy of “violent and psychopathic behavior” and wrote that she no longer wanted to parent him out of fear “for the safety of my family, friends and myself.” The child traveled with an expired American visa.
After a medical examination at a Moscow hospital, doctors looking for signs of disease, beating or trauma found his physical condition satisfactory. But when asked questions about his adoptive mother’s attitude Artyom “burst into tears and said she used to pull his hair,” Russian media reported.
The incident has grave implications for all international adoptions, experts believe. Tens of thousands of Russian orphans were adopted internationally in the last decade. In 2008 alone 4,060 children were adopted by EU and U.S. citizens, official statistics show. The top countries in the number of adoptions are the United States, Spain, Italy, France and Germany. Last year 1,600 Russian children were adopted by Americans.
“We hope children and prospective adoptive families from the United States who have already met each other and are in the process of adoption will not have to wait very long despite the incident with Artyom Savelyev,” said Kemlin Furley, a deputy representative of UNICEF in Russia. “We hope international adoptions will not be banned. Cases like this are singular, but many adopted children have found new loving parents and live happily. But undoubtedly, a new agreement between Russia and the United States to regulate adoption is needed,” she added.
At the same time some representatives of the Russian Orthodox Church have called for a ban on international adoptions. Archpriest Dimitry Smirnov, the head of the Medical Educational Pro-Life Center “Zhizn,” called international adoptions “child trade” and said that the authorities should make the procedure for adoption by Russian citizens easier.
The idea of “local adoption” is becoming popular, but are Russians really ready to raise the orphans themselves? A poll conducted by the All Russian Public Opinion Research Center (VTsIOM) found that 80 percent of respondents did not want to adopt children. This data might be interpreted not only as a result of social problems and low living standards across the country, but as a reflection of general attitudes toward children. The level of violence against children in Russia is nothing short of shocking, experts say. “There were 105,800 crimes against minors registered in Russia in 2009, including 4,000 crimes committed by parents. Moreover, about 9,000 criminal cases against biological and adoptive parents and other relatives who abused children were processed last year,” said Marina Gordeeva, the chairwoman of the Foundation to Support Children in Difficult Circumstances (FSCDC), an NGO.
“More than 140,000 reports about violations of children’s rights were received by custody boards in 2009,” she continued, “including 37,000 reports signaling a threat to the life and health of children.” About 6,000 Russian children were taken away from their families because of a threat to life and health last year, FSCDC data shows.
Statistics from the Interior Ministry reveal that about two million children are beaten in Russia daily, and more than 50,000 kids leave home every year. Recent figures from UNICEF confirm the grim picture: as many as 1,900 children died due to domestic violence and 2,184 were sexually abused in the country in 2008. “The number of child sexual abuse cases has increased 18 times during the last five years in Russia,” Furley said. Many children leave home to avoid violence, only to find themselves living on the streets. “It is difficult to say how many homeless children there are in the country because official statistics don’t count them. Probably from two to five thousand homeless children live in Moscow. But we definitely know 61,333 homeless kids were registered in Russia in 2008 when they were put in hospitals.”
“The question of how to prevent violence against children in adoptive families is also very important. More than 1,000 court decisions have been cancelled during the last three years because the new parents did not perform their duties properly. Dozens of adoptions were annulled because of child abuse,” Gordeeva said. “In most causes adoptive parents were not prepared well enough to solve upbringing problems, and did not understand the personality characteristics of the adopted child.”
The FSCDC, in association with the Ministry of Public Health and Social Development, the Ministry of Education and the Interior Ministry launched a national information campaign to prevent child abuse in 2010, in order to influence the public attitude toward the problem. “We should change our priorities. We should seek to preserve biological families for children, so that kids will not need adoptive parents. Nowadays about 75,000 children become ‘social orphans’ every year, because their mothers and fathers lose custody,” Gordeeva said.
“Regarding Artyom Savelyev’s case, the existing system of international adoption should be improved, new parents should be selected more carefully, and the children’s lives abroad should be monitored by Russian custody boards,” she added. “The desire to protect Russian children from potential violent foreign adoptive parents is understandable, but it should not start a campaign against international adoption in general.”
Itar-Tass: Ildar Khalikov elected Tatarstan’s prime minister
22.04.2010, 11.59
KAZAN, April 22 (Itar-Tass) - Ildar Khalikov, former mayor of the city of Naberezhniye Chelny, has been elected Prime Minister of Tatarstan.
The candidature of the new prime minister nominated by Tatarstan President Rustam Minnikhanov, has been approved by Tatarstan State Council (parliament) on Thursday.
The new President of Tatarstan, Rustam Minnikhanov, came into office on March 25. After the former Cabinet resigned the new president within a month's time as specified by the law nominated candidatures for the post of the prime minister and his deputies.
The newly elected Prime Minister, Ildar Khalikov, was born in the town of Agryz in the former Soviet autonomous republic of Tatarstan in 1967. He was in the military service in the Soviet Army. Later, he graduated from Kazan State University with a degree in law.
Since 1993 Khalikov occupied senior positions at Chelny Bank. In 1995 he joined KAMAZ - a famous Soviet brand for one of the biggest machine building plants, that was going through a serious crisis then. In the post of deputy chief of the KAMAZ juridical department, KAMAZ financial director and its deputy Director General Ildar Khalikov earned a prestigious title of anti-crisis manager. Since 2003 Ildar Khalikov worked in the post of city mayor of Naberezhniye Chelny.
Khalikov is a laureate of the 2001 state award. He is Secretary of the political council of the United Russia branch in Naberezhnye Chelny and heads a regional bloc of the United Russia.
He has a family and is the father of two children.
Newsru: Cossack Ataman Shot In the Dagestan village of Krasny Voskhod
GOOGLE TRANSLATION
post time: 09:59
Last update: 09:59
In Dagestan killed a Cossack chieftain of the district society. The attack occurred in the village of Krasny Voskhod in Kizlyar district of the republic on Wednesday evening at about 21:30 Moscow time, RIA Novosti.
Unknown ambushed Ataman on Lenin Street, where automatic weapons fired at his car Opel. As a result of his wounds a man, who was concurrently head of the operational gas stations, died on the spot.
Arrived police found at the crime scene ten cartridges and five bullets caliber 7.62 millimeters.
A criminal case under article 105 (murder) and 222 (illegal possession of arms) of the Criminal Code. The Act provides for the most heinous of crimes to 20 years imprisonment or life imprisonment.
RIA: Two militants killed in North Caucasus
09:4522/04/2010
Two militants in Russia's North Caucasus republic of Kabardino-Balkaria were killed in a shootout on Wednesday, a source from the law enforcement agencies told RIA Novosti on Thursday.
"There was armed resistance to attempts to arrest the two militants. Police officers were not injured. Shots were fired back, killing the two militants." he said.
He added that as a result of the shootout, the militants' car caught fire. Later the policeman found several guns in the car.
MOSCOW, April 22 (RIA Novosti)
22.04.10 11:26
Interfax: In Kabardino-Balkaria are investigating a criminal case in connection with the clashes in a village
GOOGLE TRANSLATION
Nalchik. April 22. INTERFAX-SOUTH - In the village of Old Cherek Kabardino-Balkaria fighting erupted, during which were destroyed, presumably, two militants.
Senior Assistant Head of Investigation Department of UPC RF CBD Tatiana Nauzhokova said Thursday the agency "Interfax-South that around 21:00 Moscow time last Wednesday FSB officers, together with colleagues from the Ministry of Internal Affairs of the CBD during search operations in the village of Old Cherek Urvanskogo District tried to stop to check documents VAZ-2114.
"From the interior of the car on the operatives opened fire from automatic weapons. A result of the shooting emerged an explosion and fire VAZ-2114", - said T. Nauzhokova.
Independent: President is trying to kill me, says Chechen clan leader
By Shaun Walker in Moscow
Thursday, 22 April 2010
A powerful Chechen clan leader, who has seen two of his brothers murdered in the last two years, yesterday accused the Chechen president of being behind the killings and an attempt on his own life.
The Yamadayevs were once one of the most powerful families in Chechnya and were known to have strained relations with Ramzan Kadyrov, the 33-year-old Chechen President and Kremlin-supported "strongman".
Mr Kadyrov has ruled Chechnya with an iron fist since taking over in 2007, bringing some degree of stability to the republic, which was ravaged by two wars with Russia. But he has frequently been accused by critics and activists of human rights abuses, kidnappings and involvement in extra-judicial killings.
Analysts say that the latest allegations could be part of an attempt by groupings in the Russian security services keen to put pressure on Mr Kadyrov or even remove him from power.
The Russian newspaper Moskovsky Komsomolets yesterday published an open letter from Isa Yamadayev, who survived an apparent assassination attempt last year, claiming that Mr Kadyrov ordered the attack. Alongside the letter was an extraordinary video of an investigator questioning Khavazh Yusupov, the man arrested for the attempt, saying he was ordered to carry out the killing by Mr Kadyrov personally.
Mr Yusupov, who was Isa Yamadayev's bodyguard, says that the Chechen President told him his whole family would be killed if he didn't carry out the order. In the video, Mr Yusupov also claims that Mr Kadyrov told him that he personally gave the orders to kill two of Isa's brothers.
Ruslan Yamadayev, a former member of Russia's parliament, was gunned down in a drive-by shooting in Central Moscow in September 2008. Another brother, Sulim Yamadayev, was a powerful warlord who commanded the Vostok battalion of elite troops in Chechnya, and led them into battle on Russia's side in the August 2008 war against Georgia over South Ossetia.
Fearing for his life after falling out with Mr Kadyrov, Sulim fled to Dubai shortly after the war, but was gunned down in a car park at the elite Jumeirah Beach Residence in the Gulf state in March last year.
Dubai police arrested two men for the murder, including an Iranian who was a stable hand looking after Mr Kadyrov's horses in the Arab emirate. They also put out an Interpol warrant for Adam Delimkhanov, a Chechen member of Russia's parliament who is Mr Kadyrov's cousin and is widely seen as his right-hand man.
Dubai authorities claim that Mr Delimkhanov masterminded the murder, which was was carried out with a gold pistol that he personally brought into Dubai. Mr Kadyrov has denied that either he or Mr Delimkhanov were behind the murder, though he acknowledged the hatred he had for Sulim Yamadayev, calling him a "criminal". He also said that Mr Yamadayev had previously attempted to assassinate him by poisoning his personal lake.
The assassination attempt on Isa Yamadayev is cloaked in intrigue. He
claims he became aware that an attempt was planned, and realised that Mr Yusupov was going to carry it out. According to some reports, police swapped the bullets in Mr Yusupov's gun for blanks, and waited until he attempted to carry out the attack before arresting him. Prosecutors recently named Shaa Turlayev, an aide to Mr Kadyrov, as the potential mastermind behind the murder.
Mr Kadyrov yesterday denied any link to the murders of the Yamadayev brothers or the attempt on Isa Yamadayev's life. His lawyer called the newspaper reports a "provocation". A statement released by his press service said the media attention was part of a smear campaign against Mr Kadyrov by unspecified enemies, a defence he has used before when he was linked to the murder of investigative journalist Anna Politkovskaya in 2006.
"Certain forces, knowing the hot-blooded nature of the brothers, are systematically trying to use them in an information war against the Chechen President Ramzan Kadyrov, his team, and... the whole Chechen nation," said the statement.
It is not the first time that Mr Kadyrov has been accused of murders, but the appearance of the allegations in a high-profile Russian newspaper is unusual. Sources close to the government have said for a long time that many in the Kremlin are embarrassed by Mr Kadyrov and would like to see him gone. However, he has long been seen as the best option that the Kremlin has available.
"In Chechnya, power is personalised, there are no institutions," said Sergei Markedonov, a Russian expert on the North Caucasus. "In order to get rid of Kadyrov, there would need to be some viable alternative, and for now there isn't one." However, he did not rule out that this could be the start of a move against the Chechen President. "For now, it's all on the level of rumours. But if the prosecutor general comes out and says that Kadyrov's people are wanted for these crimes, then we can talk of the start of a move against him."
The hunted family
Ruslan Yamadayev
The former member of Russia's parliament was murdered in a drive-by shooting in Moscow in 2008.
Sulim Yamadayev
A powerful warlord and commander the Vostok battalion of elite troops in Chechnya. He fled to Dubai after falling out with Mr Kadyrov but was shot dead in a car park there last year.
Isa Yamadayev
He survived an apparent assassination attempt last year. He claimed the Chechen President ordered the attack.
Moscow Times: Scientology Writings Banned as Extremist
22 April 2010
By Scott Rose
Works by Scientology founder L. Ron Hubbard will be added to the country's list of extremist literature for "undermining the traditional spiritual values of the citizens of the Russian Federation," the Prosecutor General's Office said Wednesday.
The ruling — initiated by transport prosecutors in the Siberian city of Surgut and Khanty-Mansiisk customs officers — is the latest use of the hotly debated law on extremism to target systems of belief that are not traditional in Russia.
Individuals in possession of extremist materials can be jailed for up to 15 days or fined 3,000 rubles ($100). The law also allows for harsher punishment of suspects convicted of other crimes.
Prosecutors said they intercepted 28 individual titles, including books, audio and video recordings by Hubbard that were sent to residents in Surgut from the United States. The materials were sent for study to "psychiatrists, psychologists and sociologists," who determined that they should not be distributed in Russia, the prosecutor's office said in a statement.
A Surgut city court approved the transport prosecutors' request "in full," the statement said.
The ruling opens a new legal front against the Church of Scientology, which won a ruling against Russia at the European Court of Human Rights last year.
Scientology's branches in Surgut and Nizhnekamsk successfully sued the country in October at the Strasbourg-based court for refusing to list them as religious organizations on the grounds that they had not existed in Russia for 15 years.
The court awarded them a combined 20,000 euros ($27,000) in damages and court costs.
Among the works to be banned from distribution in Russia are "The Factors, Admiration & the Renaissance of Beingness" (Lectures 1-18) and "The Unification Congress. Communication! Freedom and Ability" (Lectures 1-16), the statement said.
It was not immediately clear which additional titles were included or when they would officially be added to the list, a process that has taken months in the past.
An e-mailed request for comment to the Los Angeles-based Church of Scientology went unanswered Wednesday evening.
According to the research requested by prosecutors, the seized works contained "ideas justifying violence in general and in particular any means of opposing critics of Scientology," the statement said. "The works have clear as well as hidden calls for social and religious hatred" and call for hindering the work of the state.
Scientology was created by science-fiction author Hubbard in the 1950s. The secretive church has faced regular criticism and litigation from former members, who allege that it is a cult charging massive fees for purported religious services.
Germany has ruled that it is a commercial organization and several other European governments have refused to recognize it as a religion.
The Star: Hubbard squashed in Russia
April 22, 2010 Edition 2
MOSCOW: Russian prosecutors said yesterday that dozens of texts and recordings by Scientology founder L Ron Hubbard had been ruled extremist and would be banned in Russia.
The ban relates to 28 books and audio-video discs containing lectures by Hubbard, a US science fiction author who founded Scientology in 1954, the Russian prosecutor-general's office said.
The ruling was the latest blow to the Church of Scientology, an organisation that some countries treat as a legitimate faith, but that others consider a cult designed to trick members out of large sums of money.
The ban on the Scientology materials was imposed by a court in Surgut, Siberia, which decided they should be added to a list of literature banned in Russia for extremist content.
The list of extremist literature includes numerous texts by Islamist groups and Russian ultranationalists, as well as some brochures distributed by Jehovah's Witnesses.
Surgut prosecutors confiscated the Scientology materials after they were mailed there from the US. - Sapa-AFP
Korrespondent: In the center of Moscow there was a fight between an employer and migrant workers
GOOGLE TRANSLATION
In the night of Thursday, April 22, in downtown Moscow a fight with the shooting between the employer and the migrant workers who, according to preliminary data, demanded wage.
This RIA Novosti reported with reference to the source of law enforcement bodies of the Russian capital.
The incident occurred at Pushkin Square. As a result, injured three people.
"According to preliminary data, workers from CIS countries began to demand payment of money from his employer. As a result of a conflict, which involved up to ten people," - said.
He added that the arriving police detained the parties involved, including the rights to use weapons.
"The victims did not suffer much, they have already released from the hospital, from writing the statement of the injuries they have refused," - said the source.
Other details of the incident he did not elaborate.
Recall that in late March at the station in the suburbs there was a mass brawl, which involved about 40 people.
The Source: RIA Novosti
Moscow News: Two men stabbed by skinheads on Hitler’s birthday
21/04/2010
Natalia Antonova
A group of skinheads brutally stabbed Moscow resident Alan Al-Khalidi near Belyayevo metro late on April 20 in an attack coinciding with Adolf Hitler's birthday. A few hours later a man of Central Asian descent was attacked in the same part of the city.
Al-Khalidi, 36, suffered multiple stab wounds inflicted by a group of eight individuals, described by onlookers as "young men with shaved heads" at about 8:30 pm on Akademika Artsimovicha Ulitsa.
"I believe Russian fascists were celebrating Hitler's birthday, and so they stabbed my son," Al-Khalidi's mother, Svetlana Bekoyeva, told The Moscow News.
Several people came to Al-Khalidi's aid afterwards and helped him get in touch with his wife, Marina.
"The people who helped him described his attackers to me. They were young, at least one of them was sporting Nazi-style regalia," she added.
Although violent attacks against dark-skinned foreigners take place frequently in the city, on April 20 fascists and ultra-nationalists tend to lie low because of increased police and citizen awareness, said Galina Kozhevnikova, deputy director of Sova, an anti-racist monitoring organisation.
"Although information tends to come in late, we usually get about one to four such attacks in various regions of Russia specifically on Hitler's birthday," Kozhevnikova said. "This is the first time in at least five years for something like this to happen in Moscow on this day, however. Because of increased police vigilance, April 20 has been considered a safe day for foreigners in the capital."
Al-Khalidi, a relative of a journalist at The Moscow News, is the son of Iraqi businessman Husam Al-Khalidi, who in 1991 was the owner of the Soviet Union's first professional football club, Asmaral, in Moscow.
The victim's condition is described as critical, but stable.
A second attack took place later that night in the same part of southwest Moscow, on Miklukho-Maklai Ulitsa, according to RIA Novosti. A man of Central Asian descent was beaten and stabbed to death by a group of men who were described by witnesses in terms similar to Al-Khalidi's attackers.
Itar-Tass: Primorye to spend RUR 19 bln in 3 years on road construction
22.04.2010, 09.25
VLADIVOSTOK, April 22 (Itar-Tass) - Russia’s Primorsky Territory in the next three years will spend on the construction of old and modernisation of new roads over 19 billion roubles. This financing volume of the regional programme “Roads of the Territory” was approved on Wednesday by deputies of the local Legislative Assembly.
The press centre of the Primorsky parliament told Itar-Tass that the reconstruction of the road sections on the route Ussuriisk – Pogranichny – Gosgranitsa (State Border) and Razdolnoye-Khasan and building of a new highway on the route Vladivostok – Nakhodka – Vostochny Port will be completed before 2013. It is planned to increase the volume of financing of automobile roads’ repair.
Russia Today: Russian North’s dilemma: develop or disappear
22 April, 2010, 09:21
They are two of the world’s most-northerly inhabited areas, geographically and physically very similar. But while Hummerfest in Norway is a thriving hub, Teriberka in northern Russia is becoming a ghost town.
Murmansk region is 2,000 kilometers from Moscow, and is home to Russia's Arctic naval fleet and nuclear-powered icebreakers. Rich in natural resources, it has one of the world's largest natural gas fields.
But its million-plus population is seriously on the wane, as young people leave in search of better opportunities elsewhere.
“My father used to live here too, but not now,” says Pavel Nikolaevich, a local villager. “My mother is here. She’s a pensioner. My brother left. He said there was nothing for him to do in this village. And there really isn’t much to do here.”
The local school makes the most of the isolated tundra. But local businesses have suffered a downward economic spiral.
“At present our population is very low, therefore there is little demand for our meat and diary goods,” claims another local, Nadezhda Konik.
But there is a glimmer of hope on the horizon. And it lies 550 km from Teriberka’s shoreline. Known as the Shtockman Fields, it is an area thought to hold up to 20 per cent of the world’s intact gas and oil resources. Currently there are proposed plans to build a gas plant in the village. But at first the locals were strongly against the idea, where their traditional fishing village will be swallowed by a large development.
So what change do the villagers’ not object to? Promises of new facilities, including housing and better schools, better education for their children as well as the creation of jobs. These have all helped the village of Teriberka to warm to the idea of a new gas plant.
In fact, it was the construction of a gas plant similar to the one proposed to Teriberka that turned around the fate of Hummerfest, and some of the Teriberka locals were taken there to witness the effects first hand. They were excited by what they saw.
“When we went to Hummerfest, we couldn’t believe how much it looked like our village,” recalls Nadezhda Konik. “Everything: the weather, the views. But their standard of living was so good, now we are really hoping for the same.”
However some people remain skeptical.
“I think that the project will be good for us, but we have had many hopes for a bright future over the years,” states another villager. “There’s been a lot of disappointment. And there is a lack of belief that things can really approve.”
Whether or not the plant goes ahead without change, the village of Teriberka could soon become nothing more than a memory.
Arctic Sounder: Russian delegation shares OCS insights
By VICTORIA BARBER
Pacific Environment hosted its third "cultural exchange," between Alaska and the Russian Far East recently, bringing a group of four Russian, various leaders, scientists and environmental advocates, to Barrow from April 10 to 15.
The international environmental group hosted the exchanges so that people in Russia and Alaska can share information and strategies on dealing with oil and gas projects while preserving their environment and subsistence lifestyle. In the time they were in town they gave several talks, including a presentation at the library.
"The people (of Barrow) are very much like us, because they also care about their land. It's good we understand each other because all live on one land or one planet - for people who are connected to the environment there are no borders," said Mikhail Trofimov.
Viktor Afanasev works with the environmental watchdog group Sakhalin Environment Watch, which has been monitoring and fighting against oil and gas development companies with projects off the coast of Sakhalin Island. He said that the Russian experience can help Alaskans come to terms with the risks of offshore development, and learn ways to head off environmental damage.
"For more than 30 years companies have been exploiting oil resources up here, and just now they are starting to talk about moving out onto the shelf off Barrow. For them, it's a completely new matter, a new threat and a new risk. We have already come into contact with this problem five years ago ... we can tell community leaders and scientists what to expect and how they can avoid certain problems," Afanasev said.
The group has dealt with many projects that also impact the North Slope. Mikhail Trofimov and Vasily Kornilov part of the Russian indigenous group called the Evenks from the Sakha (Yakutia) Republic. Kornilov said that the Evenks live a subsistence lifestyle through commercial hunting, fishing and reindeer herding. They are worried about the impact of several "mega-projects" on their pristine lands and streams, in particular, a vast pipeline that cuts through their region, just 20 miles or so from Kornilov's home.
The pipeline is under construction but will eventually span about 3,018 miles, well over three times the length of the trans-Alaska oil pipeline. Locals were told that current technology would be used so that there would be no accidents, yet almost immediately upon running oil through the line there were three spills.
"We're very worried - if the pipeline breaks, we'll lose our pure, untouched rivers," Kornilov said.
Because of lobbying from environmental groups, such as the one that Kornilov and Trofimov are a part of, the course of the pipeline was rerouted to 25 miles north of Lake Baikal, the oldest, deepest lake in the world.
Unlike the North Slope, which has seen economic benefits from Prudhoe Bay oil fields, aside from a few temporary jobs cutting down trees, "nothing good came to us with the construction of the pipeline," Kornilov said. The Evenks received no special benefit from tax revenue and due to a lack of workforce training, were not able to benefit from jobs the project brought to their region.
The group found themselves talking a lot about their experience with offshore development projects. Afanasev and Evgeny Sapozhnikov spoke about the Sakhalin Environment Watch's fight against a group familiar to Arctic residents - Shell used to have a controlling share in the consortium that worked on the Sakhalin 2 project. Sakhalin Environment Watch launched an exhaustive campaign on the project, monitoring its construction, analyzing the project materials and justifications, and researching Russian environmental protection laws. They sent summaries of their findings to federal and local governments as well as the international banks that were funding the projects.
As a result of pressures from environmental groups, in 2006, the European Bank of Reconstruction pulled out of extended credit to the project. That year, the Russian government also decided that, in light of the materials gathered about Shell's environmental violations, its state oil company Gazprom would assume a controlling stake in the project.
The group counts it as a victory "but we continue our work to minimize the environmental damage of the project and we're still doing it today," Afanasev said.
The information exchanges have already borne results - during the first exchange, Russians learned that in Alaska people had forced development companies not to dump their drill mud into the ocean, but to redeposit it. When the delegation went back to Russia they used the information as leverage to get the companies there to do the same.
"Today in Sakhalin, even when they do exploratory wells they always put the drilling muds back in afterwards," Afanasev said.
That was why the group was surprised when, this trip, they learned that companies are now planning to release their drilling muds into the ocean.
And, even more surprising than that, "a representative of Shell went to a public meeting and put some drilling mud in the bottom of a jar and drank it to show everyone how not-dangerous it was," Afanasev exclaimed.
But the Russians weren't buying it.
"Of course we wouldn't want to drink it. We got the impression that they're just lying to the Americans," Sapozhnikov said.
Shawna Larson, who helped coordinate the exchange, said that next month Pacific Environment will find out if they can get the funding to send a delegation, perhaps including a student, from Alaska to Russia, the first time this cultural exchange will have moved eastward.
Eurasia Review: Air Controller Strike Suggests Russians May Be Overcoming ‘Solidarity Deficit’
Thursday, April 22, 2010
By Paul Goble
A strike by Russian air traffic controllers which has spread to more than 50 cities is “the first successfully organized mass protest since the beginning of the [economic] crisis,” an indication that Russian workers may be starting to overcome “the deficit of solidarity” which has hampered them up to now, a Moscow social critic says.
In an article on Stoletie.ru, Boris Kagarlitsky, the director of the Institute of Globalization and Social Movements, says that the controllers’ strike is very different from the other protests that have appeared in Russia because it was organized and led by their trade union organization (stoletie.ru/obschestvo/deficit_solidarnosti_2010-04-20.htm).
The many other protests in Russia be they like those at the company town Pikalevo or on the roads in Siberia, he points out, have been “spontaneous risings rather than organized social actions.” And the work action of the air traffic controllers is especially striking because “strikes by this category of workers are prohibited.”
“But,” Kagarlitsky continues, “the paradox is that today’s legislation makes impossible the legal conduct of strikes even by those who are permitted to do so.” In practice, those who want to strike must observe “such a quantity of most complex formalities and absurd procedures that since the adoption of the law there has not been one case where all these were fulfilled.”
Given the ban on strikes by people in their industry, the air traffic controllers “instead of a strike staged hunger actions,” a reminder that the Federal Union of Air Traffic Controllers has “on its shoulders not a little experience of struggle” as “one of the oldest free trade unions of Russia.
Air traffic controllers are a powerful group, as anyone who recalls the conflict between the American controllers and Ronald Reagan nearly 30 years ago will recognize or as anyone who has followed the protests of air traffic controllers in the United Kingdom and France more recently will understand.
Kagarlitsky points out that “in former times the most severe threat for the ruling circles were strikes by miners, but in the post-industrial epoch, the balance has changed,” and highly skilled workers like air traffic controllers are far more important and can bring pressure on the government more effectively than miners ever could.
Now, “observing the successful actions of the air traffic controllers,” the Moscow sociologist says, “one might conclude that free trade unions in Russia are gathering force and will gradually come out of the crisis, which they clearly have experienced over the last 15 years. However,” Kagarlitsky says sadly, “such a conclusion would be premature.”
On the one hand, periods of economic crisis are seldom times when unions can be the most effective, given that many of their members are worried first and foremost about losing their jobs, a fear that gives a whip hand to employers and leads unions to be especially cautious in making demands.
(Indeed, in Russia, the unions have spent more time fighting among themselves rather than taking action, Kagarlitsky writes, providing details on the back and forth between many of the union leaders, a process that has led to more splits in the union movement rather than uniting it into a powerful force.)
. And on the other – and this is more important, Kagarlitsky insists – “the key problem of free trade unions” in Russia is not so much organizational as cultural. “They suffer,” he says, “from the same thing that Russian society as a whole suffers, from a deficit of solidarity,” from the sense that individuals need to cooperate with one another to advance their interests.
While union leaders talk a lot about “solidarity,” in recent years, there has not been a single strike in Russia where workers in one branch went out in support of those in another, Kagarlitsky says. Indeed, “according to law, the workers of one enterprise are not allowed to strike in support of the demands of another” even in the same sector.
There is some evidence that this is changing, Kagarlitsky says, in the cases of those who work together in particular places for communal rights and the like. But “solidarity must become the norm for wage earners” in Russia, something it now is not. But “all the same, the actions of the air traffic controllers show that the situation is far from hopeless.”
Spero News: Russia's standard of living to drop
By Paul Goble
Moscow’s excessive reliance on profits from the export of oil and gas -- the centerpiece of Vladimir Putin’s policies – has been contributing to a significant decline in the standard of living of most Russians beyond the capital’s ring road even as it has boosted the country’s GDP, according to a UN report on “Energy and Stable Development.”
As a result, Nataliya Zubarevich, a geographer at Moscow State University who helped prepare the report says, “there is oil and gas [in Russia] but no happiness,” at least outside Moscow, the oil and gas producing regions of Khanty-Mansiisk and Yamalo-Nenets, and the processing center in Tyumen (polit.ru/news/2010/04/21/paras.html).
Because the Russian government has “incorrectly” relied on oil and gas profits alone to show economic growth, she continues, there has been a decline in the well-being of Russian citizens, not only in terms of income but also in health, education and other social services (www1.russian/news/russia_economy_2010_04_20-91655984.html).
Indeed, the report points out, in order to support oil and gas exports, Russia has to spend nearly five percent of its GDP to support the oil and gas infrastructure, an amount that severely limits Moscow’s ability to invest in the modernization of the country and that will largely preclude it as the cost of drilling increases and Russia’s production of oil and gas declines.
In an interview with “Svobodnaya pressa,” Zubarevich added that the sale of oil and gas abroad had helped Russia but that the way in which these profits were used now constitutes “a very serious break on development,” one that she suggests will only become worse if Moscow doesn’t change course (svpressa.ru/politic/article/24204/).
The UN report itself, she says, reflects that dual assessment. The report’s first section says that earnings from oil and gas gives Russia “a chance for a leap forward in innovative development,” all the more so because some of the technologies used in oil and gas processing can be applied in other fields.
But the succeeding sections “assess this possibility much more skeptically.” And Zubarevich says that she views that assessment as the more correct. Indeed, she continues, as long as the oil and gas money is flowing in, “the Russian powers that be really are not interested in innovations.”
Such people don’t need or want change, and they talk about innovations only to make themselves look better “in the eyes of the world.” Because that is so, Zubarevich argues, the distribution of profits is unlikely “to simulate innovations.” Instead, even if money is redistributed more equally, that alone will not promote positive change.
Indeed, the Moscow geographer says, for innovation, there will need to be “a change of institutions and the rules of the game in society.” People will have to be rewarded not because of where they sit and what they control but rather for what they think up, a complete transformation from the current situation.
These are “global changes,” she continues, and include “very significant changes in the political space. Without that, nothing will happen.” And those changes involve far more that decentralization of control: they require “competition in the political space and openness in the mass media. Only this will reduce corruption in the system of distribution.”
“In the institutional design which now exists in the Russian Federation,” Zubarevich said, noting that this was her “personal opinion,” “innovative development is impossible.” And some of the proposals for innovation, such as Academic Zhorez Alferov’s call for a Manhattan Project-style effort, simply won’t work.
Alferov, Zyubarevich pointed out, “is a member of the Communist Party of the Russian Federation.” He always put the state in first place, and while the state can play some role, the kinds of innovations Russia needs are not “’nano’ and not ‘nuclear research’” but rather a broadening of opportunity for “small innovation improvements in the entire structure.”
Indeed, she says, even if Russians came up with a breakthrough in nano technology, the country would not be able to introduce it because “we do not have the stimuli and drivers which would be necessary for that kind of innovation.” Perhaps the country can change so that this will be possible, Zubarevich concludes, but it will have to change in major ways.
Paul Goble is an analyst based in Europe who blogs at Window on Eurasia.
Eurasia Review: Baikal Movement Appeals To Leaders Of The World
Thursday, April 22, 2010
By Paul Goble
Having failed to force Prime Minister Vladimir Putin to reverse his decision to allow the Baikalsk cellulose and paper plant to restart and dump chemical wastes into Lake Baikal, the leaders of the Baikal Movement have sent an appeal to chiefs of state and leaders of major businesses, asking them to bring pressure to bear on Moscow to save Baikal.
Noting that already today, two billion people in 80 countries lack sufficient access to potable water, the appeal says that it is “impossible to overestimate the role of Lake Baikal … as a unique, natural water-producing factory that constantly replenishes a reservoir containing more than 20 percent of the world’s liquid fresh water” (news.babr.ru/?IDE=85273).
Moreover, the appeal continues, it was the opposition of governments abroad that “saved Lake Baikal” in 2006 “from the deadly threat of the Eastern Siberia-Pacific Ocean oil pipeline” that Putin hoped to build. But tragically, it continues, that success has not yet been translated into a change in Moscow’s policies toward the environment.
“Today,” the appeal says, “Baikal’s unique ecosystem [including but not limited to the lake itself] is yet again under threat of complete destruction by unethical and irresponsible business, specifically by an oligarch who wields unlimited influence over the Russian state’s thoroughly corrupt administrative structures.”
Until officials closed the Baikalsk Mill in October 2008, the appeal recounts, it was “the only industrial polluter to discharge dangerous toxic wastes directly into Lake Baikal and the surrounding atmosphere.” But on January 13th of this year, Putin owed al the mill “not only to resume its harmful operations but to work without the closed wastewater cycle” earlier required.
Prior to its closure in 2008, the plant had been dumping up to 200,000 tons of toxic liquid wastes every day directly into Lake Baikal as well as various pollutants into the atmosphere, the appeal notes. Since 2002, the plant has been owned by a company controlled by Russian oligarch Oleg Deripaska, a close friend of Putin’s and someone guilty of “financial impropriety.”
According to the appeal, Deripaska and his firms “squeeze everything possible from their factories,” while “investing next to nothing into repair, maintenance and upgrades of equipment,” a pattern that leads not only to “serious accidents” but also guarantees that the plants pollute the environment more than necessary.
“Ever-increasing toxic and poisonous emissions from Mr. Deripaska`s factories can at any point,” the appeal says, “irreversibly change the quality of water in Lake Baikal, a lake that could provide almost the entire population of our planet with clean water in the future,” a reality the authors of the appeal call on governments and businesses to take into consideration.
In almost all countries around the world, the appeal says, the kind of “unethical and irresponsible” behavior that Deripaska has engaged in “would have been stopped with fines and criminal prosecutions a long time ago.” And even in Russia, Deripaska has tried to hide his personal role through shadow companies.
Because of this and because of the Russian government’s failure to take action, the Baikal Movement “appeals to all responsible heads of state who respect international environmental legal norms to demand that the Russian government fulfill consistently its international environmental obligations.”
The Movement urges that foreign governments and businesses “demand that the Russian Government enforce its own laws, including the Law on the Protection of Lake Baikal, to halt the operations of the Baikalsk mill which has already polluted Lake Baikal and the water treatment systems of Baikalsk with industrial effluents.”
And in what may prove to be the most provocative appeal, the Baikal Movement calls on “the international banking and business communities” to follow the World Bank “in renouncing all joint projects with any corporations and companies belonging to Oleg Deripaska” as a way of bringing pressure to bear on him and his patrons in Moscow.
Moscow Times: Rusnano Fires Lawyer for Money Laundering
22 April 2010
By Irina Filatova
Rusnano said Wednesday that it had fired a Swiss lawyer who pleaded guilty to money laundering last year in the United States and that it was considering legal action against PricewaterhouseCoopers for recommending him.
The state corporation sacked Hans Bodmer from the board of Swiss-registered Rusnano Capital, a subsidiary, after it learned of the accusations, the company said in a statement.
Bodmer's long-running and highly public legal troubles date back to 2003, when he was indicted in the United States as part of a bribery and money-laundering investigation involving high-ranking Azeri officials and the privatization of the Azerbaijan's oil industry.
PricewaterhouseCoopers, which is organizing Rusnano Capital's structure, had recommended Bodmer, Rusnano said in a statement. According to Swiss law, only a Swiss citizen can chair a company registered there.
"Hans Bodmer had been fulfilling administrative functions related to the fund's registration since his appointment in January 2010 and didn't take part in the company's operating activity," the statement said. "Rusnano is currently considering the possibility of making a claim against PricewaterhouseCoopers for damaging the corporation's business reputation."
Rusnano's supervisory board decided to create Rusnano Capital in October, giving the international fund $1 billion to invest in nanotechnologies.
"The information in Rusnano's statement isn't precise, and we're working with Rusnano to clear up the situation," a spokeswoman for PricewaterhouseCoopers said Wednesday.
Bodmer agreed to be extradited from South Korea in 2004 to face charges in the United States, and he pleaded guilty to conspiracy to launder money in May 2009, according to a statement on the web site of the law firm Shearman & Sterling, which represented Bodmer.
He was accused of bribing Azeri officials as part of a scheme to profit from the privatization of Azeri state assets, allegedly masterminded by Czech-born businessman Viktor Kozeny, the statement said.
Kozeny, an Irish citizen, has been fighting U.S. extradition attempts from the Bahamas, but U.S. businessman Frederic Bourke was convicted on related bribery charges in July.
The bribery charge against Bodmer was dismissed, since foreign residents cannot be criminally prosecuted under such cases in the United States, Shearman & Sterling said.
Bodmer could not be reached for comment Wednesday.
April 21, 2010
Russia Today: Spring Cleaning for the Power Vertical
By Tom Balmforth
Russia Profile
Cleaning Up Governance Might Be an Incentive for Russia’s Leaders to Beat Corruption, but Making It Happen Is a Different Matter
When President Dmitry Medvedev came to power two years ago, he made the “war against corruption” a cornerstone of his presidency. Last week he bolstered that campaign with a fresh “National Strategy.” His anti-corruption crusade has been criticized for not involving the public enough, and since he assumed power corruption watchdogs have registered next to no improvement. Bribes still account for a large portion of the GDP, obstruct modernization and now even stifle the effectiveness of the “power vertical” that Medvedev and Prime Minister Vladimir Putin seek to command.
On April 15 president Medvedev signed a decree “On the National Anti-Corruption Strategy and National Anti-Corruption Plan for 2010 to 2011.” The new decree builds on his “National Anti-Corruption Plan,” which he signed on July 31, 2008, two months after taking office. In its new dual format – featuring a “plan” alongside a “strategy” – the decree is seen as a more practical roadmap than its predecessor.
Sergey Naryshkin, the head of the presidential administration, will now update Medvedev once a year on the progress, and the contents of the anti-corruption plan and strategy will be updated biannually. The new strategy, which calls corruption a “systemic threat” to Russia, stresses the need to mobilize the public. “One of the most important tasks in realizing the state anti-corruption policy is the task of fundamentally changing public awareness and forming in society an atmosphere of strict intolerance toward corruption,” reads a Kremlin statement published with the decree.
In terms of the plan’s strategy, the things that have been announced in the declaration are good and the ideas are right, but the question is again – who is going to carry them out,” said Kirill Kabanov, the head of the National Anti-Corruption Council, and NGO. “There are two components necessary to implement the president’s initiatives. First of all there are the bureaucrats who must put them into place. But the bureaucracy is completely uninterested in doing so because corruption for them is a lucrative business. Secondly, there is society, which should control the bureaucracy…but statistics show that 80 percent of the public believes that society should not have any influence on the state,” said Kabanov.
Medvedev has long called corruption the “number one public enemy facing modern society,” but corruption in Russia shows no sign of abating, according to top international watchdogs. Some 4,500 cases of corruption were brought to court in the first half of 2009, RIA Novosti reported, and 700 law enforcement officers were convicted. Transparency International’s Corruption Perception Index ranks Russia at 146 out of 180 countries.
Yelena Panfilova, the head of Transparency International Russia, said that many of the measures had been implemented from Medvedev’s first plan and that there was a good chance that the new ones would be too. “But of course, in no way do I want to say that the fact that there was a plan and there is a new plan by itself decreases corruption – it doesn’t,” she said.
Panfilova said one of the main problems with the new strategy, like Medvedev’s original 2008 plan, is that it was formulated by the executive on its own and “without the participation of civil society, society at large and the media…In international experience these kinds of legislative measures and institutions, which have been created in the last 18 months, can bring results maybe within five to ten years,” she said.
In two years as president, Medvedev has set up a 24-member anti-corruption council, improved the legal framework for arbitrating corruption and passed a number of anti-corruption laws. However, the efficacy of the latter has been called into question, for instance, in the case of the law stipulating that state officials must publicly declare their annual income. Last week prime minister Putin, who is thought to own a Patek Philippe watch worth $60,000, declared his 2009 income to have totaled just 3.9 million rubles ($135,000).
Masha Lipman, a political analyst at the Carnegie Moscow Center, was skeptical that Medvedev’s strategies and plans would have an impact. “I think new progress and new measures will hardly bring radical change in overall corruption. This is for the simple reason that corruption is a factor of unaccountability, and that, in turn, is a factor of the lack of political competition. In a system that lacks political competition, which lacks an effective political opposition and the regular transfer of authority through elections, any campaign against corruption is easily reduced to settling scores,” said Lipman.
Nonetheless, Panfilova said that Putin’s and Medvedev’s frustration with corruption in the bureaucracy and the toll that it takes on the efficacy of the “power vertical” could become an impetus for a tougher overall anti-corruption campaign. “It’s not just a war against corruption for the sake of war. It’s more about the campaign against corruption in order to win back the system of management where the central powers can be absolutely sure that they control the actions of, for example, the housing authorities,” said Panfilova.
Climbing utility prices were a major contributing factor to March’s Russia-wide demonstrations billed as the “Day of Wrath,” which attracted thousands of anti-Putin protestors. “When prime minister Putin called a meeting on these tariffs with the government, he asked why on earth the tariffs are inexplicably growing. It was actually his idea that probably there are some personal corrupt interests attached to that growth,” said Panfilova.
A number of small proposals have appeared in recent weeks. Today the heads of a range of transnational corporations were scheduled to sign a pledge not to engage in bribery. Panfilova said that similar initiatives, such as the United Nations’ Global Compact strategy, had enjoyed past success when it was a question of beating “good old, classic corruption” (where businesses approach officials with a bribe to get an edge over rivals). “But it is absolutely inefficient to sign such a document in the landscape of corrupt extortion. Unfortunately in Russia we have a pretty serious problem with corrupt extortion – sometimes it’s not the business that comes to the official – it’s the corrupt official who comes to the business…I’m not sure that decorations and pleas like that can help the situation with corrupt extortion,” she said.
Panfilova welcomed plans to up the punishment for corrupt practices because the “punishment that is provided now for corrupt activities by Russian legislation is very low.” But she said that Medvedev should not only increase fines, a step he is currently considering, but also lengthen prison sentences and increase confiscation.
But Lipman said that ultimately any advances in corruption legislation are insufficient in the current political system. “Where corruption really is rampant and ubiquitous, anyone can be accused of corruption and anybody can be exposed. And the lack of political competition means that the choice of who will be exposed belongs with the executive. So there may be any number of officials accused of corruption, prosecuted, and sentenced, but this does not resolve the problem as a whole and can barely reduce the scope of corruption in the country,” said Lipman, pointing to the selective investigation of Russian officials in the Daimler AG scandal.
The German auto giant in March was accused of bribing Russian officials to the tune of $6.7 million over ten years. Although the carmaker has since pleaded guilty to the charges, no investigation has been launched in Russia. “The Russian government, which looks to be preoccupied with anti-corruption, hardly used information [on the Daimler case] to go ahead with the investigation. To me this is evidence that the choice of who will be charged and who will be prosecuted with corruption belongs to the executive,” she said.
Moscow Times: Academy Denounces United Russia Inventor
22 April 2010
By Nabi Abdullaev
The Russian Academy of Sciences offered its verdict on Wednesday about the work of controversial St. Petersburg inventor Viktor Petrik: "It has nothing to do with science."
Petrik is set to benefit from a nationwide tap water purification program called Clean Water, backed by the United Russia party and worth billions of dollars.
A public backlash against Petrik led the Academy of Sciences to create a special commission in February to analyze his patents and alleged inventions, which range from the treatment of radioactive water and the separation of platinum metals to alpha-ray radiators for nuclear medicine.
The commission, which includes 11 academy members, concluded Wednesday that Petrik, who claims to have been nominated for a Nobel Prize in Chemistry, has never published a paper on chemistry in a scientific journal.
Petrik's 38 Russian patents repeat technical solutions previously registered by local and foreign inventors, the commission said in a statement published on the academy's web site.
A filter for purifying radioactive water, patented jointly by Petrik and United Russia leader Boris Gryzlov in 2007, does not work because it is based on an "erroneous perception" of the nature of hydrogen isotopes, the commission said.
Petrik, who served a prison term for fraud in Soviet days, entered the spotlight earlier this year after United Russia started pushing for the Clean Water program, which utilizes the Petrik-Gryzlov filter.
The filter still can be used to purify regular water, and as a result the academy's conclusion will not affect the Clean Water program. Pilot tests, financed by the government and run by Petrik's company Golden Formula, are underway in several schools and municipal facilities throughout the country.
Petrik could not be reached for comment.
RIA: Russia marks 140th anniversary of Lenin's birth
04:5822/04/2010
Russia marks on Thursday the 140th anniversary of the birth of revolutionary leader Vladimir Lenin.
Vladimir Ilyich Ulyanov Lenin was born in the provincial city of Simbirsk (now Ulyanovsk) on the Volga River on April 22, 1870. His father was a secondary-school teacher.
In 1887, soon after the death of his father, Lenin's older brother Alexander was arrested in St. Petersburg for plotting against the Tsar. He was convicted and hanged. The tragic event affected young Vladimir deeply, laying the foundation for his revolutionary ideas.
After graduating from high school with a gold medal, Lenin began studying at the University of Kazan, but was soon expelled for holding radical views.
In 1891, Lenin began studying at St. Petersburg University as an external student and was awarded a first class diploma in law in January 1892. During his time at university, Lenin started a Marxist underground movement.
In 1895, he travelled to Switzerland, where he met Social Democrat Georgy Plekhanov. After returning to Russia in 1895, Lenin established the Union of Struggle for the Liberation of the Working Class. He was soon arrested and exiled to Siberia, where he spent three years. During his exile, he wrote a book called The Development of Capitalism in Russia, which was published in 1985.
In 1900, Lenin left for Switzerland where founded a paper, entitled Iskra, in order to promote his ideas. Inspired by Lenin's views, his supporters began creating underground organizations across Russia.
The 1905 St. Petersburg Massacre, when the tsar's troops fired at a peaceful demonstration led by priest Georgy Gapon, spurred Lenin to advocate violent action. During the 1905 revolution he returned to Russia, but was forced to go abroad again two years later.
After the 1917 February Revolution and overthrew Tsar Nicholas II, Lenin returned to his homeland. He came to power in October 1917 after an almost bloodless coup.
Lenin led the Soviet state until 1924. He died on January 21, 1924 after having a series of strokes.
Lenin's embalmed body has been displayed in a glass case in a mausoleum in Red Square since his death. His continuing presence in the heart of Moscow has been an ongoing source of controversy since the breakup of the Soviet Union in 1991. It has been suggested that Lenin's body should be buried in a new national military cemetery, which is to opened in 2011.
MOSCOW, April 22 (RIA Novosti)
Bloomberg: Russian Collectors See Bargains as Volcano Cuts Auction Turnout
By Katya Kazakina
April 22 (Bloomberg) -- Barely half a dozen Russian collectors made it past the Icelandic ash cloud to attend Sotheby’s Russian art auction in New York yesterday.
The two-day sale is expected to take in between $10.7 million and $15.1 million. Christie’s will present a smaller batch of Russian art on Friday, with the estimated range from $5.2 million to $7.4 million.
Yesterday, Sotheby’s focused on fine art and Faberge, offering about 280 lots and fetching $5.5 million, including commission; 30 percent of the lots failed to sell, and many barely squeezed past their low estimates, yet the results were within Sotheby’s presale estimate of $4.2 million to $6 million. About 30 people total were present in the hushed, half-empty auction room.
“It’s the double whammy of the economic crisis and the volcano,” said Nikolai Bachmakov, New York-based Faberge expert. “Many dealers and collectors couldn’t get here in time. And people are holding on to their money tighter than before.”
The auction included 55 lots from the estate of New York collector Frances H. Jones, which have been off the market for almost 40 years and generated active bidding. That was the most successful part of the sale, generating $1.8 million, well over the high estimate of $1.2 million.
A persistent telephone bidder paid $182,500 for a carved agate figure of a she-goat by Faberge, more than 12 times the work’s presale low estimate of $15,000.
An elegant blue lapis lazuli bowl resting on legs shaped as gold dolphins fetched $116,500, compared with a $50,000 low estimate. A small pink rhodonite desk clock, also by Faberge, took in $134,500, more than four times its low estimate of $30,000.
‘A Magic Name’
“Faberge is a magic name,” said Karen Kettering, vice president of Russian works of art at Sotheby’s.
The top lot of the day was a bronze depicting four North African horsemen wielding guns, by Evgeny Lanceray (1848-86). A Russian collector in the room bought the work for $326,500, setting a new auction record for the 19th-century bronze master who died of tuberculosis.
A day before the sale, Sotheby’s sent out an e-mail to its clients confirming that the New York auctions will proceed as planned despite “recent travel complications across Europe.”
“People didn’t want to wait till the last moment or risk missing their flights to New York,” said Andrei Chervichenko, Moscow-based collector of Faberge and former owner of Spartak soccer club. “That definitely had an impact on today’s prices. With fine art, you have to touch things, examine things before buying expensive works.”
Seven-Hour Wait
Chervichenko had to wait seven hours at the airport before boarding a plane to New York on Monday. He took advantage of the often muted bidding and bought several works from the Jones estate, including a carved elephant for $31,250 and a Faberge nephrite box with gold and jeweled lock and hinges for $15,000.
“The prices are much lower than they used to be,” he said. “It’s a great time to buy, especially the pieces that are not so obvious.”
Today, Sotheby’s will offer Russian paintings, including a group by Pavel Tchelitchew from the estate of New York collector Ruth Ford, and 86 works by early-20th-century Ukrainian artists assembled by Yakov Pereman who lived in Odessa until moving to Palestine in 1919. The Pereman collection is sold as a single lot, estimated to bring in $1.5 million to $2 million.
To contact the reporter of this story: Katya Kazakina in New York at kkazakina@.
Last Updated: April 22, 2010 00:01 EDT
Defpro: Russia: Between Terrorism and Foreign Policy
Russia faces security challenges that are increasingly difficult to ignore
05:53 GMT, April 22, 2010 Recent events in Russia – Islamic terrorist attacks on the one hand and the blunt message to Hamas demanding an end to the rocket fire on the other – are indicative of a Russian dilemma, reflected in its ambivalent policy on international terrorism.
The latest terrorist attack, apparently carried out by Muslim organizations in the northern Caucasus with suicide bombers targeting establishment institutions and transportation, exacted a high human toll, spread public panic, and caused a great deal of consternation for the Russian authorities. To date, the Russian establishment has been unsuccessful in containing the phenomenon and for now is activating the rhetorical channel by transmitting harsh messages to terrorist organizations. However, in the midst of these events, Foreign Minister Sergey Lavrov, in his dialogue with Hamas leader Khaled Mashal, demanded that Hamas cease firing rockets at Israel. Despite the near-concurrence of these events, it is as yet impossible to point to a causal link. What does stand out in this case is the difference in the Russian attitude to terrorism at home, compared to their attitude to radical Islamic elements abroad.
Terrorism against Russia on the part of Muslim rebels in the northern Caucasus that started after the disintegration of the Soviet Union as a struggle for national independence, turned over the years and two bloody wars (1994-96, 1999-2007) into a fundamentalist Muslim struggle for the establishment of a Sharia-based Islamic state in the entire northern Caucasus region. The struggle was begun by the Chechen rebels, and was apparently supported economically, morally, and militarily – including with active participation in the fighting against the Russians – by radical Islamic elements in the Middle East. The struggle included extensive guerilla warfare and terrorist attacks, first in Chechnya and later in other Muslim provinces in the northern Caucasus, and finally in the heart of Russia itself. Ironically, it was only recently that the Russians announced significant achievements in the war against the rebels, including the elimination of guerilla units, targeted assassinations of key activists, and institution of law and order in the province led by the pro-Russian president Ramzan Kadyrov. Now criticism is mounting in Russia protesting the defrauding of the public by the establishment on this point.
The Islamic threat against Russia has become a challenge that is difficult to ignore. Within the Russian Federation there is a significant Muslim population of over 20 million (some 15 percent of the nation, characterized by a negative demographic balance) centered in two regions: in 7 different provinces in the northern Caucasus, and in 2 large provinces (Bashkortostan and Tatarstan) in the Volga and Ural region. Beyond this, many Muslims from these provinces and especially from other Muslim states of the former USSR live in Russian cities as foreign workers. The Muslim population of the northern Caucasus, which is more militant, is responsible for most of the terrorist attacks, but Russia is rightfully worried about the spread of radical Islam throughout the country. Despite longstanding efforts to contain it, the Islamic threat continues to challenge Russia; this is underscored by the fact that the Russian population is not quite prepared to withstand a war of terrorism. It seems that the Russian establishment has yet to find the right response, and like many other countries, lacks simple and easy solutions for terrorism.
In light of these challenges, the question arises regarding Russia’s policy on international terrorism. Here, the picture is vastly different. Not only does Russia not cooperate with the West in its struggle against the threat of radical Islam; it actually implements an ambivalent policy that does not necessarily address its own needs in the face of this clear and present danger. On the one hand, Russian security forces are prosecuting a tough war in the terrorist centers of the northern Caucasus, but on the other hand Russia does not over-emphasize the Islamic nature of these centers. Rather, Russia chooses to present those involved as rebels against the state and as criminals handled by internal security procedures. When it comes to international terrorism, including the branches operating directly against Russia (for their part, radical Islamists treat Russia, for all intents and purposes, as one of their jihadist targets), Russian attitudes are less politically aligned. The background for this approach lies in Russia’s clear political interest to maintain its positive status with regard to Muslim nations and organizations, especially anti-Western ones, and thus promote Russia’s foreign policy goals. This approach is in practice translated into a clear distinction between domestic terrorism, presented as an internal Russian matter, and in no way is any connection made between it and radical Islam and international terrorism operating with its blessing. Moreover, Russia has understandings with certain elements whereby the latter avoid subversive Islamic activity within Russia’s borders in exchange for Russia’s political support, e.g., Iran.
With regard to Russia’s demand of Hamas to refrain from shooting rockets at Israel, unheard of in the past at least on the public level: Is this evidence of a change in Russian policy? Does it stem from a change in Russia’s attitude to Islamic terrorism in general? Apparently no. Although Hamas had a hand in establishing radical Islamic activity in the northern Caucasus in the past, this is not what disturbs Russia now. In fact, the recent message to Hamas is part of a dialogue Russia is conducting with the organization, alongside its dialogue with the Palestinian Authority and most of the players on the Middle Eastern arena. This past February, Mashal himself, like Abu Mazen, the Jordanian king, the Lebanese president, and the Israeli prime minister all visited Moscow. The Russians held discussions with these individuals on issues including aspects of renewing the peace process under Russian mediation. Later, on March 19, the Quartet met in Moscow, where unusual accord on conditions for renewing the peace process emerged, an accord at odds with Israel’s interests. Furthermore, an agreement was reached then that a conference on the Middle East would be held there within the coming months. In this scenario, Russia, apparently with the agreement of the United States, is promised a leading role.
It may be that the recent tensions between Hamas and Israel because of the rocket fire from the Gaza Strip are seen by Russia as an effort directed at undermining the restarting of the peace process. This is viewed by Russia as damaging its essential interests; the pressure exerted on Mashal is meant to curb this negative development. By doing so, Russia is acting not only to prevent a deterioration of the situation but also to demonstrate its leading role on the international scene. Indeed, today only the Russians have the actual capability of conducting a dialogue with all parties in the region, especially when it comes to an organization such as Hamas. Therefore, even if one cannot rule out the possibility of future changes in Russia’s policy on the struggle against radical Islam and international terrorism, what is now evinced is the implementation of its previous policy.
Russia might consider future changes its policy, also given the fact that there is mounting criticism in Russia of the current state of affairs (although there are those who feel that expanding the conflict would be politically useful for the Russian establishment). Should this occur, it would primarily touch on Russian cooperation with the West regarding the larger struggle against radical Islam, which would constitute quite an important development.
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Magen, Zvi in INSS Insight No. 174
Russia Today: 22 April, 2010 in Russian Newspapers
Izvestiya: Breaking the vicious cycle
Vyacheslav Nikonov, president of the Politika Foundation
The latest revolution in Kyrgyzstan confirmed that this country is the weakest link in the CIS, CSTO, and EurAsEC and requires the utmost attention from all the members of these integrated groups. Their main task is to help Kyrgyzstan break free from the vicious cycle of revolutions, which could continue to consume its children and fathers. Leadership that comes to power at the hands of the revolution is unsafe: it is inclined to disregard the law and not be perceived as fully legitimate.
Gazeta.ru: A calling to serve
By: Aleksandr Artemyev
Defense Minister Anatoly Serdyukov proposed reforming the contractual and compulsory military service. Conscripted service will remain in force, but its organization will resemble the Israeli model -- which includes weekends and lights-out at a later time. The number of contractors will be reduced, but they will receive higher compensation. This is, in essence, a revision of conception of the military reform, say experts.
Big changes await members of the Russian Army Forces, both conscripted officers and contractors. Defense Minister Anatoly Serdyukov met with representatives of social organizations on Tuesday evening, with whom he discussed the large-scale plans for improvement of military service conditions for the Russian soldiers.
Rossiyskaya Gazeta: The Pentagon considers Russia’s radars
Aleksandr Gasyuk (Washington)
The U.S. Senate Armed Services Committee held another hearing on the future policies regarding the national Ballistic Missile Defense (BMD) program and its funding for the next few years. American military officials confirmed their plans to deploy a full-fledged “shield” over Europe by the year 2020.
The Barack Obama administration is increasing its budgetary demands for the next fiscal year in order to meet the needs of the U.S. development of BMD. Additional funds will be allocated for the development and modernization of an anti-ballistic shield over the territory of the United States, as well as the purchase of upgraded SM-3 Block-2 missiles, research for improvement of combat lasers and deployment of the “umbrella” over the Old World.
Businessneweurope: MOSCOW BLOG: Meaningless acronyms spread like VIRUS
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bne
April 22, 2010
There is a new buzzword in Washington: "VIRUS". It is an acronym coined by the policy wonks to describe an alliance between Venezuela, Iran and Russia that is designed to do in the US.
Professor Sean H. Goforth, who teaches world politics and international political economy at Coastal Carolina University, said in a recent paper for the Foreign Policy Association: "Venezuela, Iran, and Russia constitute a VIRUS of instability that threatens the US and Western order. This recognition is needed, but the US should learn from past mistakes and avoid a hard-line path similar to the one that resulted from branding the axis of evil."
The paper is a concrete example of the lingering Cold War fears that dominate Washington's thinking and a lame attempt to create a marketing term to encapsulate these ideas that doesn't even work very well (the acronym should be VIR).
It is the foreign policy antithesis of the hugely successful BRIC acronym that has become de rigeur amongst economists, coined by Goldman Sachs' Jim O'Neill. BRIC was a marketing tool dreamed up by the investment bank to help sell equity and is necessarily exclusive of countries that have most of the same characteristics (but are not as big or sexy as the main four countries). Indeed, in O'Neill's latest note on BRICs he splits the paper into two parts that talk about the affect of the crisis on the BRICs, but goes on to discuss the N-11 - the other main emerging markets that have also benefited from the crisis - to fill in the gaps. VIRUS is a nice catchy term that is meaningless. Its flaw is it phrases the argument in a bipolar way that sets "them" against "us."
Super egos
Professor Goforth writes: "The VIRUS is a political pact that bolsters military capacity and extends diplomatic cooperation to magnify regional influence. Russia yearns to renew its superpower status, becoming once more a key variable in any international calculus."
What he fails to point out is that just as Russia yearns to return to superpower status, the US is yearning to maintain its superpower status - and is clearly losing it; the obvious slow move by many countries to drop the dollar as a reserve currency is the clearest manifestation of the US' waning power.
Taken in these terms, the US is reacting to what it sees as a threat to its status and focusing on those countries actively moving together to reduce its influence. However, this isn't the building of a economic-military alliance that will one day invade the US, but part of the transition from the unipolar world dominated by the US since the end of WWII towards a multipolar world where the fast growing countries in regions around the world are allying to promote each other's interests in the face of American bullying on the international stage.
Professor Goforth highlights the combined economic and military nature of the alliance, but if this is what defines VIRUS membership, then China should be included in the acronym, as Russia and China are now actively tying their economies together as seen by the new gas pipeline on the table that will run from Russia to China and the fact that the Chinese along with India are Russia's biggest customers for military hardware. Indeed, the alliance between Russia and China is far more advanced than that between Moscow and Caracas. And a host of other countries should be included in this axis, like Vietnam and Algeria to mention two more that have done combined energy-arms deals and are batting for the Russians these days. Even the US' traditional friends Germany and France have noticeably taken steps to improve their ties with Russia.
As long as this bipolar attitude exists in Washington, then relations between Washington and Moscow will always be bad. The acronym that should be driving US policy is WUASTC (wake up and smell the coffee).
KYRGYZSTAN
RIA: Ousted Kyrgyz president to hold news conference in Minsk on Friday
11:4922/04/2010
Ousted Kyrgyz president Kurmanbek Bakiyev is to hold a news conference in Minsk on April 23, a national press center official told RIA Novosti on Thursday.
Bakiyev made on Wednesday his first statement after the April Kyrgyz riots. He said he has not resigned from his post as president and called for world leaders not to recognize the Kyrgyz interim government.
"At 11 a.m. local time [08:00 GMT] on Friday Kurmanbek Bakiyev will hold a news conference," the spokesman said.
MINSK, April 22 (RIA Novosti)
RIA: Kyrgyzstan to hold referendum on new constitution June 27, parliamentary polls October 10
09:3122/04/2010
The Kyrgyz interim government will hold a referendum on its new constitution on June 27 and parliamentary elections on October 10, the aide to the country's interim Deputy Prime Minister said on Thursday.
"A decision about presidential elections has not yet been made. It is possible that they will be held at the same time as the parliamentary elections," the spokesman said.
Uprisings broke out in Kyrgyzstan on April 6, spreading across the country and leaving at least 84 dead and around 1,600 injured. President Bakiyev was deposed and forced to flee the capital and later the country. An interim government has been ruling the country since April 8.
A new draft constitution is due to be presented for public consultation on April 25.
BISHKEK, April 22 (RIA Novosti)
Itar-Ttass: Presidential elections to be held in Kyrgyzstan on Oct 10
22.04.2010, 09.41
BISHKEK, April 22 (Itar-Tass) -- The presidential elections will be held in Kyrgyzstan on October 10, 2010, deputy head of the provisional government of the republic for the constitutional reform Omburbek Tekebayev said on Thusday during his live address on the state TV channel. “Before the presidential elections, a referendum on the constitutional reform will also be held, it is scheduled for June 27,” Tekebayev said.
The latest presidential elections were held in Kyrgyzstan in summer last year. Then Kurmanbek Bakiyev gained a victory at them. Several days ago, under the influence of the opposition, he had to leave the republic.
Reuters: Kyrgyzstan to hold election on Oct 10
Reuters
Thursday, April 22, 2010; 1:20 AM
BISHKEK (Reuters) - Kyrgyzstan will hold elections on October 10 after a referendum aimed at reducing the powers of the president, the interim government said on Thursday.
The interim government has struggled to restore order after an April 7 uprising ousted president Kurmanbek Bakiyev, leaving at least 85 people dead and disrupting flights through a key U.S. airbase supporting operations in Afghanistan.
Omurbek Tekebayev, a deputy prime minister who is in charge of constitutional reform, said joint parliamentary and presidential elections could take place on October 10 after a referendum on constitutional change to be held on June 27.
"A referendum will take place on June 27 and parliamentary elections on October 10, possibly jointly presidential," Tekebayev said by telephone. "The government has approved the timetable."
Tekebayev has said the government plans to reduce the power of the president and create a parliamentary republic with strong checks and balances.
But diplomats say that the new leaders of Kyrgyzstan will have an uphill battle to create a beacon of democracy in Central Asia, a region dominated by authoritarian leaders.
Bakiyev, in Belarus after fleeing Kyrgyzstan last week, claims he is still president. The interim government says he has resigned, but has not appointed a replacement.
(Reporting by Olga Dzyubenko, writing by Guy Faulconbridge, editing by Conor Humphries)
RIA: Brother of ousted Kyrgyz president missing
10:5622/04/2010
Ahmad Bakiyev, the brother of ousted Kyrgyz president Kurmanbek Bakiyev, went missing on Wednesday in the south of Kyrgyzstan, local media said on Thursday.
Uprisings broke out in Kyrgyzstan on April 6, spreading across the country and leaving at least 84 dead and around 1,600 injured. President Bakiyev was deposed and forced to flee the capital and later the country.
"Yesterday, April 21, at lunch time, Ahmad Bakiyev left to meet somebody. He did not say who he was meeting or where he was going. At around 18.00 he called me and only managed to say: 'Brother...,' I could hear shots being fired," one of the ousted president's other brothers, Kanybek, said in a statement.
Earlier on Wednesday Kanybek Bakiyev said his brother was at risk of being "seized or even murdered". He said Kyrgyz interim government officials had invited Ahmad to a meeting to give him some kind of message for the deposed president.
Kanybek said he stayed in contact with Ahmad for an hour, but when they tried to speak again, Kanybek heard a noise and two shots, then the cell phone was turned off.
Relatives of the ousted president did not turn to the police for help.
BISHKEK, April 22 (RIA Novosti)
RIA: Bakiyev's relatives reported the disappearance of one of his brothers
GOOGLE TRANSLATION
22/04/2010 09:58
BISHKEK, April 22 - RIA Novosti. Brother of ex-President Kurmanbek Bakiyev Ahmad disappeared on Wednesday night in southern Kyrgyzstan, on Thursday reported the local media.
According to news agency "24.kg", the editors via e-mail information about this came from another brother Bakiyev Kanybek.
"Ahmad Bakiyev yesterday, April 21, at a dinner he went to an unknown destination to meet with someone, without specifying to whom and where." Around 18.00 he rang me and only managed to say: "Brother ...". At this time in the handset I heard gunshots, "- said in a letter Kanybek.
Until now, the fate of his younger brother Bakiyev is not known. Bakiyev's relatives do not exclude that he could be kidnapped.
On Wednesday Kanybek Bakiyev told RIA Novosti that Ahmed could "catch or even kill." According to him, "representatives of the new government invited him (Ahmad) to the meeting, where they allegedly wanted to convey some message to the President." Kanybek noted that within an hour calls up to him, everything was fine, but when we tried to speak again, I heard a noise and fired two shots, then phone my brother was not available. "
Law enforcement bodies of Kyrgyzstan does not have information about this incident, because "the police relatives are not treated.
Seventh April Kyrgyz opposition supporters have taken the Government House in Bishkek, the power was transferred to a provisional government. President Kurmanbek Bakiyev, 16 April left the country and wrote a statement of resignation. Currently he is in Minsk, and said that is the current President of the country.
In all, the former president of Kyrgyzstan five younger brothers. One of them, former Chief of the State Guard of the country Janybekov Bakiyev, the new authorities declared a republic in the search for the organization of mass murder. Kyrgyz Prosecutor General's Office suggests that he ordered snipers to fire on a crowd of protesters near the Government House on April 7. The victims of the events on April 7-8 in Bishkek were 85 people. More about 1,5 thousand injured.
RFE/RL: Kyrgyz Interim Government Arrests Bakiev Supporters In South
April 22, 2010
Kyrgyzstan's interim government says it has arrested a number of allies of exiled President Kurmanbek Bakiev in the south of the country.
Faizulla Rakhmanov, the self-proclaimed governor of Jalal-Abad, was among those reported by the Reuters news agency to have been detained.
The interim government now says it is in control of Jalal-Abad, a stronghold of Bakiev support.
In exile in Belarus, Bakiev said he still considers himself president and called on international leaders not to recognize the interim government.
Bakiev fled the country after a government crackdown left at least 85 protesters dead at the start of the month.
The leader of the interim government, Roza Otunbaeva, said the statement was the "bravado of a man agonizing over his own helplessness."
The interim government has announced a referendum on the country's constitution will be held in June and parliamentary elections in October.
compiled from agency reports
Trend.az: Kurmanbek Bakiyev needs medical rehabilitation - Minister of Health of Belarus
GOOGLE TRANSLATION
22/04/2010 10:24
Kyrgyz President Kurmanbek Bakiyev need medical rehabilitation. BelTA has told Health Minister of Belarus Vasiliy hot, answering a question about the health Kurmanbek Bakiyev and his family.
On behalf of President of Belarus on the eve of the team of doctors was conducted a comprehensive survey of health Kurmanbek Bakiyev and his family.
"In a survey by Kurmanbek Bakiyev noted the presence of symptoms caused by emotional stress brought forward. It requires a complex of rehabilitation measures. If necessary, will be provided, and medical treatment", - said Vasily hot.
With regard to the health of family members, Kurmanbek Bakiyev, then, as the minister said, the children have found upper respiratory tract, they received treatment.
Vasily Zharko also said that Kurmanbek Bakiyev and his family are under constant medical supervision.
National Economic Trends
Itar-Tass: Russian industrial production down 23 prc because of crisis – minister
22.04.2010, 07.01
MOSCOW, April 22 (Itar-Tass) -- Because of the crisis, Russia’s industrial production has dropped by 23 percent from the best pre-crisis indicator recorded in September 2008, Industry and Trade Minister Viktor Khristenko said.
“We have fallen by 23 percent from our best month of September 2008 in terms of industrial production, and we have gone slightly up over several months to minus 11 percent. We still have to regain those 11 percent in order to get back to the best pre-crisis month,” Khristenko told Rossiya 24 news channel on Wednesday.
Different industries are recovering differently. “It’s a little bit motley and different in different industries. But those who are oriented to export and current demand of the population have felt the improvement stronger,” he said.
The “most sensitive” were pharmaceutics, shipbuilding, and aviation. But the majority of sectors have been down, including the automobile industry that has cut production by almost 60 percent, Khristenko said.
Speaking of forecasts, the minister said, “We needed about 18 months for the first part of the recovery. We may need less for the second part.”
In the first quarter of 2010, industrial production in Russia grew by 5.8 percent, according to Prime Minister Vladimir Putin’s report delivered at the State Duma on Thursday, April 20.
2010-04-22 08:08
Reuters: Russian rouble stalls near 16-mth peaks
MOSCOW, April 22 (Reuters) - The Russian rouble took a breather, holding around 16-month highs versus the basket in early trade on Thursday, but dealers said strong oil prices may soon push it to test the central bank's boundaries.
By 0626 GMT, the rouble was little changed versus the euro-dollar basket at around 33.58, just 3 kopecks away from the latest presumed central bank intervention boundary, touched on Wednesday.
The central bank keeps the rouble inside a floating corridor and shifts it by 5 kopecks after $700 million of interventions at each boundary. On Wednesday, the regulator took the 29th such step since mid-February, bringing the band to 33.55-36.55 roubles versus the basket, dealers said.
On Thursday, strong oil prices remained favourable for the Russian currency, but were counter-balanced by more negative global investor sentiment.
"The general mood is rather negative with Asian stocks down, uncertainty on Greece and concerns about possible tightening of banking regulation in the U.S. But the rouble factors remain positive and there is no room for its fall for now," said Vladimir Bragin, analyst at Trust bank.
Russian exporters are expected to keep on bolstering the rouble by converting their dollar and euro revenues to meet domestic tax payments, due to continue next week.
The rouble will likely stay close to the central bank's boundary in the nearest future and may gain enough power to prompt the regulator to shift its floating corridor again, said Alexei Zaytsev, dealer at Unicredit bank in Moscow.
Against the dollar, the rouble was little changed at around 29.13. Versus the euro, the Russian currency was down 2 kopecks at 39.04, trading close to its lowest level since December 2008 of 38.94, hit on Wednesday.
-- For a FACTBOX of key rouble's moves click .
(Reporting by Andrey Ostroukh, editing by Mike Peacock) Keywords: RUSSIA ROUBLE/ (andrey.ostroukh@, +7 4950 775 12 42)
April 22, 2010 11:35
Interfax: Russia to place $2 bln in 5-yr Eurobonds, $3.5 bln in 10-yr – source
MOSCOW. April 22 (Interfax) - Russia is placing sovereign Eurobonds in two tranches totaling $5.5 billion, a source in banking circles told Interfax.
The tranche of five-year bonds will total $2 billion and the 10-year tranche will amount to $3.5 billion.
The yield guidance is 125 basis points to US Treasuries (UST) for the five-year bonds and 135 b.p. to UST for the 10-year bonds. Pricing is expected at about 2:00 p.m. London time on Thursday.
jh
Reuters: Russia sells $5.5 bln Eurobond on $25 bln demand-UPDATE 1
RUSSIA-EUROBOND/ (UPDATE 1)
* Russia sold $2 bln 5-yr and $3.5 bln 10 yr tranches
* Price unchanged at 125 and 135 bps over Treasuries
* Order book tops $25 billion, sources say
(Adds analysts comment, background)
MOSCOW, April 22 (Reuters) - Russia sold $5.5 billion in its first Eurobond in over a decade with demand exceeding supply almost five-fold, ensuring tight pricing despite a pick-up in global risk aversion, trading sources told Reuters on Thursday.
The issue is split between a $2 billion five-year priced at 125 basis points over U.S. Treasuries and a $3.5 billion 10-year tranche at 135 bps over Treasuries, a trading source said.
The bond was quoted only marginally higher in the grey market with a bid/offer of +0.05/+0.15 percent, possibly reflecting the already tight pricing on the deal.
"The placement is rather a success, but it was the placement in line with a market. Keeping in mind Russia's Eurobonds prices fell considerably yesterday it could be said the way the placement went was the best possible," Nikolay Podguzov, analyst at Renaissance Capital said.
The order book for the Eurobond has topped $25 billion, trading sources told Reuters. The final pricing is expected at 1400 GMT.
"We see the successful sovereign Eurobond placement as a positive development for the local equity market. A lower benchmark for Russian borrowings might also set a lower risk-free rate for the market, supporting company valuations and further corporate debt issues," Unicredit said in a report. (Reporting by Dmitry Sergeyev, Oksana Kobzeva, Toni Vorobyova, Sujata Rao, editing by Mike Peacock)
Bloomberg: Russia’s New Eurobond May Beat Current Debt, Morgan Stanley Says
By Denis Maternovsky
April 22 (Bloomberg) -- Russia’s new dollar bonds, expected to be priced as soon as today, may outperform the country’s existing sovereign foreign debt, were they to be sold at the initial price guidance, Morgan Stanley said in a research note yesterday.
Russia may sell 5-year bonds at 125 basis points over similar-maturity U.S. debt and 10-year bonds at 135 basis points over U.S. Treasuries, while Morgan Stanley said the “fair value” may be close to 120 basis points for both maturities.
To contact the reporter on this story: Denis Maternovsky in Moscow at dmaternovsky@
Last Updated: April 22, 2010 01:36 EDT
Bloomberg: Russia to Raise $7 Billion as Egypt Returns to Overseas Markets
By Gabrielle Coppola and Denis Maternovsky
April 22 (Bloomberg) -- Russia will seek to raise $7 billion in its first international debt sale since the 1998 default while Egypt returns to the dollar debt market after nine years to take advantage of a tumble in borrowing costs.
The Russian government will sell $3.5 billion of five-year notes and an equal amount of 10-year bonds as soon as today, according to three people familiar with the deal. Egypt increased its $1 billion offering of 10-year debt to include $500 million of 30-year bonds, which may also price today, a banker involved in the transaction said.
Russia and Egypt are selling bonds after the extra yield investors demand to hold emerging-market securities rather than U.S. Treasuries sank to 2.309 percentage points April 15, the lowest level since December 2007. Pacific Investment Management Co., manager of the world’s largest bond fund, recommended a shift away from the U.S., U.K. and Europe debt this week as the International Monetary Fund projected developing economies will expand three times faster than advanced nations this year.
“There’s lots of demand for emerging-market debt,” said Jim Craige, who helps oversee $12 billion at Stone Harbor Investment Partners in New York. Russia’s economy has recovered and “everybody believes their growth story,” he said.
Russia is selling dollar bonds for the first time since the government defaulted on $40 billion of domestic debt in 1998. The country is offering a yield of about 125 basis points over similar-maturity U.S. Treasuries on its five-year notes and a 135 basis-point spread on the 10-year bonds, people familiar with the sale said. A basis point is 0.01 percentage point.
Russia, Egypt
Russian bonds have rallied as rising oil prices helped the economy recover from its worst recession since 1991. The yield on Russia’s 11 percent dollar note due July 2018 has dropped 77 basis points to 4.489 percent this year, according to prices by Renaissance Capital. The nation’s debt is rated BBB by Standard & Poor’s, two levels above non-investment grade, and one step higher at Baa1 by Moody’s Investors Service.
The new debt will yield about 20 basis points more than current yields on comparable Mexican securities, which has the same credit ratings. Spreads on Mexican government bonds rose two basis points to 129 basis points yesterday, JPMorgan Chase & Co. data show.
Egypt may sell $1 billion of 10-year notes to yield about 5.875 percent and $500 million of 30-year bonds to yield about 7 percent, according to a banker involved in the transaction who declined to be identified because terms aren’t set.
Egyptian bonds “are not the ‘usual suspects’ in the eurobond market,” said Luis Costa, a London-based emerging- market strategist at Citigroup Inc. “That will probably bring some sort of a scarcity premium to the deal.”
Emerging-Market Debt
The extra yield investors demand to own emerging-market debt over U.S. Treasuries increased four basis points, or 0.04 percentage point, to 2.41 percentage points, according to JPMorgan’s EMBI+ Index at 5:10 p.m. yesterday New York time. The spread has shrunk from 3.27 percentage points in February.
The IMF said yesterday advanced economies including the U.S., Germany and Japan will grow 2.3 percent this year, while emerging nations will expand 6.3 percent. The World Bank estimates Russia’s economic growth will accelerate to 5.5 percent this year. Egypt’s government projects the economy will grow more than 5 percent this fiscal year.
Investors should buy emerging-market debt rather than bonds of developed countries because advanced economies are poised for a period of slower growth, according to Pimco.
“Investors need to recognize that the investment opportunities are not going to necessarily be in the U.S., the U.K and Europe any longer,” Brian Baker, Pimco Asia Ltd.’s chief executive officer, said in Hong Kong this week.
HSBC Holdings Plc and Morgan Stanley are managing the Egyptian debt offering, the banker said. Russia hired Barclays Capital, Citigroup Inc., Credit Suisse Group AG and VTB Capital on Feb. 5 to arrange the sale.
To contact the reporters on this story: Gabrielle Coppola in New York at gcoppola@Denis Maternovsky in Moscow at dmaternovsky@
Last Updated: April 21, 2010 23:04 EDT
Moscow Times: Central Bank Wants Foreign Currency Accounts Closed
22 April 2010
Reuters
The Central Bank has asked commercial banks to close their foreign currency correspondent accounts, scrapping another crisis-period tool.
The Central Bank launched the accounts in late 2008 in a bid to discourage local banks fr om shifting money out of the country at a time when companies and individuals alike ditched the devaluing ruble amid falling oil prices.
But a strengthening ruble and plentiful liquidity have enabled the Central Bank to start unwinding crisis-time support measures. "Due to changes in financial markets and the end of validity of the Bank of Russia's recommendation on lim iting foreign assets," the Central Bank asked commercial lenders to close their foreign currency correspondent accounts by June 1, 2010. The letter, dated April 12, was published on Wednesday.
Bne: FX correspondent accounts to close
bne
22 April 2010
The Russian Central Bank has asked the countrys commercial banks to close foreign-currency correspondent accounts by the end of May, in yet another sign that the economy and the financial system are now back on track. The RCB wrote to banks on April 12 in a bid to close the anti-crisis measure. The letter, which spoke of "changes in financial markets and the end of validity of the Bank of Russia's recommendation on limiting foreign assets," was revealed to media sources on Wednesday. Correspondent accounts were introduced by the CBR towards the end of 2008 as the rouble was tumbling and capital flight was at its peak.
22.04.2010 - Kommersant/banki.ru
Cbonds: Kommersant: Bank of Russia starts new fight against high deposit rates
KOMMERSANT. The Central Bank of the Russian Federation has begun a new stage of the struggle against too high rates on private deposits, Kommersant wrote on Thursday. If previously the regulator demanded banks to lower rates on ruble deposits, now it began to make lenders to reduce currency deposit rates. The regulator does not name the acceptable level of rates, but finds 7—8% interest on currency deposits to be too high.
Recently a number of banks both in Moscow and the regions received letters from CBR regional divisions with a recommendation to cut “non-market rates” on private deposits held not only in rubles, but also in foreign currencies. The receipt of this letter was confirmed by Bank Sofrino, Project Financing Bank, SB Bank (with a note its Ekaterinburg branch got the letter), two banks from the Top 200 by assets, which requested not to be disclosed.
As the regulator’s letters run (the newspaper has a copy of the letter), the Bank of Russia considers “non-market” rates those that exceed “average rates on currency deposits offered by 20 lending institutions that are regional leaders by private deposits (excluding Sberbank and Bank VTB). The figure of this “average” is not mentioned in the letter, but the regulator found rates of 8% and 7.5%, which are offered on currency deposits by one of the banks that received the letter, as too high.
The Central Bank of the Russian Federation began fight against too generous private deposit rates back last spring, but the struggle covered only rates on ruble deposits that stood at that time at 17—18% and exceeded 20% in separate cases. The regulator clearly set for ruble deposits the highest possible interest: the average rate of Top 10 lenders (by private deposits) plus 1.5%. Over the past nine months the average rate on ruble deposits at Top 10 lenders dropped from 14.85% to 10.13%, while the highest ruble deposit rates at small banks are not higher than 15%. The Bank of Russia has never published or disclosed data about acceptable currency deposit rates, the newspaper pointed out.
According to Banki.ru, presently the highest currency deposit rates at small banks are around 9—11%. Among these lenders are Russian Construction Bank, Transstroybank, Project Financing Bank, Bank Sofrino, SMP Bank, Master-Bank, Smolensky Bank, SB Bank and others. In addition, these rates are not higher than 2—3% at Top 10 lenders. For example, the Bank of Moscow and Alfa-Bank attract 12-month currency deposits at 2—4%, while Gazprombank offers 2—3%.
22.04.2010 - Prime-TASS/banki.ru
Cbonds: IMF calls on Russia to bolster banking sector
PRIME-TASS. The International Monetary Fund (IMF) has given positive assessment of the measures taken by the Russian government to overcome consequences of the global financial and economic crisis. At the same time the IMF believes that Russia needs taking additional efforts to strengthen the banking sector and also exercise care so that anti-crisis budget-financed programs relating to additional spending “will not become a permanent phenomenon”.
This is what division chief at the IMF Jorg Decressin answered when asked about Russia’s economic prospects at a press conference held on Wednesday at the IMF headquarters in Washington D. C. The press conference was devoted to the presentation of the IMF’s World Economic Outlook (WEO), prepared for the spring session of the IMF and WB governing bodies.
Decressin reiterated that the Russian economy suffered a “double blow” because of a slump in crude oil and turbulence on financial markets. He said the Russian government’s response was “powerful and correct”. However, Russia’s GDP declined by nearly 8% in 2009. This year the IMF projects the indicator to grow 4%.
His remark that it is necessary to wind down budget support of anti-crisis programs the high-ranking international expert substantiated by the “need to cut deficits”.
In reality this is a recommendation for all economically developed countries of the world, above all, the United States. The IMF does not conceal concerns over fast growth of the US state debt in the conditions when the US needs to continue a relatively soft budget policy in a bid to improve employment and propel economic growth.
2010-04-22 09:28
Reuters: Russia c.bank injects 31.7 bln roubles via repos
MOSCOW, April 22 (Reuters) - The Russian central bank injected 31.74 billion roubles ($1.09 billion) of one-day funds into the banking system at a rate of 5.75 percent in its first repo auction of the day on Thursday.
The minimum interest rate is set at 5.50 percent. A maximum of 35 billion roubles is on offer at the day's two auctions.
Following are results of the latest auction, provided by the central bank on its Web site (cbr.ru):
Date April 22 April 21 April 21
Session 1st 2nd 1st
Amount (bln rbls) 31.74 0.24 1.83
Bids (bln rbls) 31.74 0.24 1.83
Average rate 5.75 5.92 5.74
NOTE - For details of central bank repo tenders click here .
($1=29.12 Rouble) Keywords: RUSSIA REPO/FIRST
(Moscow Newsroom; +7495 775 1242; moscow.newsroom@)
Business, Energy or Environmental regulations or discussions
Bloomberg: Mechel, Novorossiysk Sea Port, Rusal: Russian Equity Preview
By Lucian Kim
April 22 (Bloomberg) -- The following companies may be active in Russian trading. Stock symbols are in parentheses and share prices are from the previous close of trading in Moscow.
The 30-stock Micex Index fell 0.6 percent to 1,465.87 at the close in Moscow. The dollar-denominated RTS Index slipped 0.6 percent to 1,610.23.
OAO Mechel (MTLR RX): The Russian coal producer will raise 2010 production by almost 70 percent compared to last year, Senior Vice President Vladimir Polin said on a conference call. Mechel fell 0.7 percent to 811.47 rubles.
OAO Novorossiysk Commercial Sea Port (NCSP LI): Russia’s largest port by volume is expected to publish an earnings report on April 22. Novorossiysk rose 3.4 percent to $15.20 in London.
United Co. Rusal (486 HK): The world’s largest aluminum producer said it’s in talks to supply metal to banks for possible exchange-traded funds backed by the commodity. Rusal fell 0.5 percent to HK$9.69 in Hong Kong.
To contact the reporter on this story: Lucian Kim in Moscow at lkim3@
Last Updated: April 21, 2010 22:00 EDT
April 22, 2010 10:43
Interfax: Energy Ministry adjusting power company investment program
MOSCOW. April 22 (Interfax) - The Energy Ministry jointly with the state-controlled electricity companies is considering adjustments to the investment programs in order to boost the investment component, Energy Minister Sergei Shmatko said at a national meeting devoted to the results of the 2009-2010 cold weather season.
"Right now we don't need massive construction of new facilities, to invest all the money in concrete and metal," Shmatko said, adding that the ministry plans to have the boards of the state-controlled power companies consider the matter. The adjustments will be incorporated into the general scheme for locating power generation facilities until 2020 and the outlook to 2030.
Shmatko recalled that the approved investment program for 2010 totals 780 billion rubles. Investment in the state electricity sector will amount to 1.8 trillion rubles through 2012. "Our challenge is to ensure that those funds are spent as effectively as possible," he said.
The updated general scheme for locating power facilities should be approved in the middle of the current year, Shmatko said. It will lay out the obligations of the private power companies to invest in construction. "We must put the finishing touches on that issue in the middle of the year," he said, adding that the adjustments to the timing of construction will not affect the total generating capacity that is added.
jh
2010-04-22 08:09
Reuters: BRIEF-Russia's OGK-3 2009 net profit fallS 36 pct
MOSCOW, April 22 (Reuters) - OGK-3:
• RUSSIA'S OGK-3 SAYS 2009 NET PROFIT FELL TO 4.3 BILLION ROUBLES
from 6.7 billion rbls in 2008
• OGK-3 SAYS 2009 REVENUES ROSE 2.6 PERCENT TO 39.4 BILLION ROUBLES
from 38.4 billion roubles in 2008
• OGK-3 SAYS 2009 EBITDA ROSE 4 PERCENT TO 4.15 BILLION ROUBLES, EBITDA MARGIN
increased to 11 percent from 10 percent in 2008 (Moscow Newsroom, + 7 495 775 12 42, moscow.newsroom@)
RUVR: Russian watchdog grants license to Finland's Nestle company
|Apr 22, 2010 10:23 Moscow Time |
Russian Agency for Health and Consumer Rights (Rospotrebnadzor) has granted a license to the Finnish branch of Nestle international company to deliver infant food to the Russian market, the Moscow Echo radio station reported. According to Russia's Chief Sanitary Inspector Gennady Onishchenko earlier the watchdog refused to issue license to the Finnish company due to "improper standards compliance".
2010-04-22 08:27
Reuters: Russian Railways may raise 2010 investment program
MOSCOW, April 22 (Reuters) - - The state-controlled monopoly Russian Railways may increase its 2010 investment program by 24 billion roubles ($825.6 million), the company's deputy head said on Thursday.
The company may also raise its freight growth forecast for this year to 5 percent from previous 3.7 percent, deputy head Vadim Morozov said.
(Reporting by Gleb Stolyarov; writing by Lidia Kelly; editing by Gleb Bryanski) ($1=29.07 Rouble) Keywords: RUSSIA/RUSSIAN RAILWAYS
(lidia.kelly@; +7 495 775 1242)
RBC: Russian Railways mulls expansion of investment program
RBC, 22.04.2010, Moscow 11:34:26.The investment program of the Russian Railways may be increased by RUB 24bn (approx. USD 825m) in 2010, First Deputy President of the company Vadim Morozov told journalists today. "The actual amount of work and the financial result enables us to talk about additional proceeds, additionally saved funds, and sources for investments," he told journalists today.
At the same time, Morozov indicated that the matter was reviewed at the meeting of Russian Railways' investment committee and was still under consideration. "This is just a forecast so far," he said.
April 22, 2010 12:12
Interfax: Novorossiysk Commercial Sea Port boosts 2009 net profit 163% to $252.2 mln (Part 2)
MOSCOW. April 22 (Interfax) - Novorossiysk Commercial Sea Port (RTS: NMTP) boosted net profit 163% to $252.2 million in 2009 under International Financial Reporting Standards (IFRS), the company said in a statement.
Revenue rose 3.3% to $675.06 million and EBITDA was up 14.63% to $431 million. Net debt shrank 66% to $127.9 million.
"NCSP Group completed the first stage of its investment program on schedule in 2008. The projects implemented by Group companies allowed us to achieve a more balanced cargo traffic structure, setting the stage for continued business growth in challenging market conditions," board chairman Alexander Ponomarenko is quoted in the press release as saying.
NCSP Group includes Novorossiysk Grain Terminal, Novorossiysk Shipyard, NCSP Fleet, Novoroslesexport, IPP, and Baltic Stevedoring Company Ltd.
RTS$#&: NMTP
jh
iStockAnalyst: Moody's Upgrades Vneshprombank (Russia) to B2/Baa1.Ru From B3/ Baa2.Ru
Wednesday, April 21, 2010 3:55 PM
(Source: Info-Prod Research (Middle East))[pic]Moody's Investors Service has today upgraded the long-term foreign currency deposit rating of Russia's Foreign Economic Industrial Bank (Vneshprombank) to B2 from B3. Consequently, Moody's Interfax has upgraded the bank's National Scale Rating to Baa1.ru from Baa2.ru. At the same time, Moody's has affirmed the following global scale ratings at the current levels: Not-Prime (NP) short- term foreign currency deposit rating and an E+ bank financial strength rating (BFSR -- mapping to a Baseline Credit Assessment -- BCA - of B2). The outlook for all ratings is stable. Moscow-based Moody's Interfax is majority-owned by Moody's, a leading global rating agency. According to Moody's the rating action reflects Vneshprombank's resilience to the global financial crisis, which has enabled the bank to demonstrate a satisfactory performance in terms of (i) sustained growth, and (ii) core financial fundamentals -- such as asset quality indicators, funding, profitability and liquidity. These results were achieved due to the special niche in which the bank operates (boutique model with high-net-worth customers), and its below-average risk appetite. During 2009, shareholders also demonstrated willingness and ability to capitalise the bank in order to finance its growth, and Moody's expects this support to continue via a planned RUB1.3 billion (US$44 million) capital increase in 2010. During 2009, Vneshprombank grew its balance sheet substantially, reflecting its capability to attract core customers. At the same time, the loan portfolio continued to perform better than average for the Russian banking system. This enabled the bank to demonstrate adequate profitability indicators due to the fact that (i) borrowers are usually well collateralised (LTV often less than 50%) and the bank uses a collateral-based approach and other credit risk mitigants in its lending procedures which, in this case, have proved to be working well, thus resulting in lower delinquencies; (ii) loans are usually short term and granted for operational purposes (no project finance); and (iii) the majority of borrowers have reasonably good credit standing. Vneshprombank benefits from a high liquidity cushion which would enable it to manage very large withdrawal of customer funds without having to reduce business volumes.
Originally published by Info-Prod Strategic Business Information.
(c) 2010 Info-Prod Research (Middle East). Provided by ProQuest LLC. All rights Reserved.
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Moscow Times: Foreign Companies Sign Anti-Corruption Pact
22 April 2010
By Alex Anishyuk
Foreign companies, including several involved in recent bribery probes in their home countries, signed an anti-corruption pact Wednesday in what they hope will be a step toward curtailing illegal business practices in Russia.
A total of 56 members of the Russian-German Foreign Trade Chamber were slated to sign the document on Wednesday, but only 40 managed to do so, as some executives were stuck in airports across the globe because of the volcanic ash cloud from Iceland that grounded flights across Europe, said Michael Harms, chairman of the nonprofit organization, which unites 680 German, Russian, Austrian, American and British companies operating in Russia.
Among the signatories of the agreement, spearheaded by the German business group, were Deutsche Bahn, Deutsche Bank and MAN Avtomobili Rossiya, a local distributor of MAN cars. Also signing on were Mercedes-Benz Russia, a local subsidiary of Daimler, and Siemens, both of which have been involved in large-scale bribery cases in Russia.
A Munich court on Tuesday found that Siemens executives had spent 1.3 billion euros ($1.7 billion) in bribes from 2000 to 2006. Last month, German carmaker Daimler was fined by the U.S. Justice Department for paying more than $4 million to secure the sale of its cars to government agencies in several countries, including Russia.
"This declaration sends a strong political signal to the authorities," Harms said, adding that the signing was attended by presidential aide Arkady Dvorkovich.
The agreement obliges signatories to prohibit bribery in their operations, both directly and through intermediaries, and to encourage their suppliers and local counterparts to do so as well. Signatories also must refrain from covert forms of bribery, such as donations and the support of political parties.
The main challenge behind the principles outlined will be their implementation, Harms said.
"All companies that signed the documents have even stricter internal rules of compliance, so these [anti-corruption] principles are a strong initiative to stimulate them and their partners to stick to these," he said.
To encourage compliance, companies that are found to be in breach of their obligations will be expelled from the agreement — hurting their public image — and could even be taken to arbitration court in Switzerland, as the initiative will be regulated under Swiss law.
The document is an important step, said Brook Horowitz, executive director of the International Business Leaders Forum, which also signed on to the project along with the American Chamber of Commerce and the Association of European Businesses.
"It's just the beginning of a long path toward moving away from corruption," he said. "It is a lot more than just a declaration. Companies can exchange practices and experience about how to encourage compliance."
Moscow Times: Russian Technologies Seeks Bigger KamAZ Stake
22 April 2010
By Maria Antonova
Russian Technologies is looking for money to increase its stake in truck maker KamAZ, the state corporation's chief, Sergei Chemezov, said Wednesday.
He also announced the purchase of 15 aerial drones from Israel, marking Russia's first major purchase of military hardware from abroad.
"We are looking into [raising our stake in KamAZ] but haven't found the money," he said, adding that funding would have to come from banks.
The announcement boosted the Tatarstan-based truck maker's shares, which closed up 1.2 percent on MICEX, ahead of the exchange's benchmark index, which lost 0.6 percent.
Chemezov first mentioned boosting the state's stake in KamAZ in February, saying that under an agreement with partner Daimler, no shareholder could take a controlling stake. Russian Technologies has 37.8 percent of KamAZ, while Daimler has 11 percent.
The corporation has registered a new holding, Rostekhnologii Avto, and its supervisory board will approve the creation April 29, Chemezov said, adding that it would be headed by KamAZ chief Sergei Kogogin.
Russian Technologies said last year that it would group its auto assets, including stakes in AvtoVAZ, KamAZ and Avtodiezel, an engine-making subsidiary of GAZ, with Kogogin as its likely chief executive.
Chemezov also told reporters that Russian Technologies bought 15 aerial drones from Israel Airspace Industry for testing and plans to create a joint venture.
Earlier this month, Deputy Defense Minister Vladimir Popovkin told reporters that Russian-made drones were inferior to foreign ones, despite 5 billion rubles ($170 million) of research and development by the military.
Chemezov also promised to announce results of a tender held last year for Russian Technologies' purchase of 65 midrange planes for Rosavia, an air holding whose fate has essentially been scrapped since Prime Minister Vladimir Putin approved the handover of its presumed assets to state-controlled Aeroflot.
"We postponed the announcement to the end of May," Chemezov said, without elaborating on how the planes would be used.
Russian Technologies and Aeroflot have already signed an agreement, and the topic will be discussed at the airline's next shareholders meeting. Under the arrangement, Russian Technologies will have one seat on Aeroflot's board, Chemezov said.
Defense Minister Anatoly Serdyukov said Tuesday evening that KamAZ would begin cooperating with Germany's Rheinmetall Defense to provide better armor for equipment ordered by the military.
"We forced KamAZ and other companies to sign contracts with foreign firms. They've already begun discussing the purchase of light armor to be used on reconnaissance vehicles and military transport," he said, Interfax reported.
: ALROSA Sells $1B Rough Diamonds in 1Q [pic]
By Avi Krawitz Posted: 04/22/10 02:18
RAPAPORT... ALROSA reported that it sold $1 billion worth of rough diamonds to the market in the first quarter of 2010, above previous estimates for the period. The company reported in March that it expected sales to reach $935 million. First quarter sales amounted to just under half its total sales for full year 2009.
ALROSA spokespersons explained that favorable market conditions allowed the company to make all its sales on the open market, and none to Russian Federation state repository, Gokhran, during the period. In contrast, ALROSA withheld sales to the market in the first half of 2009 due to unfavorable economic conditions.
The company added that this decision led to a material rise in its consolidated debt which consequently necessitated financial restructuring. Selling to Gokhran and the disposal of non-core assets helped the company “sidestep the irreversible effects of the crisis and end 2009 with a net profit,” it noted in statement following a board meeting on April 20.
ALROSA reported that during the first quarter of 2010, considerable amounts of its production was sold to Belgian and Indian customers through long term contracts, and that it is in the process of negotiating similar supply contracts with Russia’s major manufacturing companies. The company added that it intends to establish similar style trading relationships with Israeli and Chinese diamond companies.
ALROSA previously said that it expects to sell around 56 percent of goods in 2010 through long term deals, and ramp that up to 70 percent by 2011.
RBC: Sistema shareholders to ponder 2009 dividend
RBC, 22.04.2010, Moscow 10:40:25.The board of directors of Sistema Financial Corporation has recommended that its shareholders approve at the general meeting on June 26 the dividend for 2009 in the amount of RUB 530.75m (approx. USD 18.25m), the company indicated in its statement today. The dividend will be paid in the amount of RUB 0.055 per common share.
According to Sistema's dividend policy, the company pays out 40 percent of its net profit under U.S. U.S. GAAP. In 2008, however, the company did not pay dividend to its shareholders due to a net loss.
Moscow Times: For the Record
22 April 2010
• Telecoms firm Synterra said Wednesday that it planned to invest 1.7 billion rubles ($58 million) in regional expansion this year. (Bloomberg)
• VimpelCom said Wednesday that 97.87 percent of its shareholders have approved its planned merger with Ukraine’s Kyivstar.(Reuters)
Activity in the Oil and Gas sector (including regulatory)
RIA: Gas contracts with Ukraine not to affect contracts with other countries - Shmatko
12:0022/04/2010
The revisions of gas contracts with Ukraine will not lead to corrections in contracts with other countries, Russian Energy Minister Sergei Shmatko said on Thursday.
"I don't think our talks with Ukraine on gas should be any reason to begin revising our mutual relations with other governments. We will not react to such requests," Shmatko said.
MOSCOW, April 22 (RIA Novosti)
Reuters: Russia sees no reason to review gas contracts after Ukraine
4:01am EDT
MOSCOW, April 22 (Reuters) - Russia sees no reason to review gas contracts with other clients after the recent gas deal with Ukraine, energy minister Sergei Shmatko told reporters on Thursday.
"The agreements with Ukraine should not be a reason to review our dealings with other parties," Shmatko said.
(Reporting by Dmitry Sergeyev; Editing by Lidia Kelly)
Moscow Times: Surgut to Miss MOL Vote
22 April 2010
BUDAPEST — Red tape is set to keep Surgutneftegaz from voting at Hungarian oil group MOL’s 2010 annual meeting, keeping an unwelcome investor at bay for a second year straight.
Surgut, which bought a 21 percent stake in MOL from Austria’s OMV last year, could not vote at MOL’s annual shareholder meeting in April 2009 because it lacked regulatory approval to be registered as a shareholder.
Surgut’s purchase of the stake triggered objections from both MOL and the Hungarian government, although Surgut has said its intentions were friendly. Surgut had still not filed documents with Hungary’s Energy Office, the office said Wednesday.
(Reuters)
Portfolio.hu: Surgut seen caught in red tape, voting in Hungarian MOL's AGM unlikely
April 22, 2010, 9:30 am
Red tape will not allow Russia’s Surgutneftegaz to vote at Hungarian fuels group MOL’s annual general meeting for the second year in a row, because it has not been registered as a stakeholder. Surgut is unlikely to attend even as an observer, local newswire MTI reported. Russian authorities keep supporting Surgut in the MOL case, the country’s Energy Minister Sergei Smatko told reporters.
Even Russian papers wrote in early April that Surgut was unable to register itself as a shareholder in MOL more than one year after it had purchased a 21.2% stake in the Hungarian oil and gas group from Austria’s OMV.
Surgut will not be allowed to attend MOL’s AGM until financial markets regulator PSZÁF completes a probe into Surgut’s acquisition that it had started last April. The watchdog’s inquiry is to determine whether the Russian company’s ownership infringes capital market regulations (i.e. the ban of insider dealing or market manipulation) or not.
The PSZÁF has yet to announce the findings of its investigation.
Russia’s Energy Minister Sergei Smatko said on Tuesday that local authorities continue to back Surgutneftegaz in the MOL case and just like in the past they would consult with Hungarian and European Union officials in the matter.
He said the transaction by which Surgut acquired its MOL stake was transparent and was in conformity with European regulations. Smatko underlined that Hungarian authorities have not shown Russia any kind of document that would have proven the unlawfulness of Surgut’s purchase.
Spokesman for the Hungarian cabinet told MTI on Wednesday that the government had repeatedly reminded its Russian counterpart that it is supporting MOL’s strategy, one of the cornerstones of which is retaining the company’s independence.
MOL had made it clear earlier that it considers Surgut acquiring a 21% MOL stake for EUR 1.4 bn a hostile move. The government kept stressing that MOL’s independence was not for sale.
Surgut’s acquisition requires approval by the Hungarian Energy Office, but due to the size of the package in question, the authority put questions to the Russian company which it reportedly did not receive responses to.
Surgut was banned from participating in MOL’s AGM in 2009 as it was not acknowledged as a shareholder in MOL’s register, because it failed to disclose its own shareholder structure and ultimate beneficiaries. The regulator was also keen to know why Surgut paid double the market price for the MOL package.
While local press recently reported that Surgut later satisfied the HEO’s inquiry, but the energy authority could not confirm the report, saying the relevant procedure had been suspended. The reason for that is that there is another probe in progress at the financial markets supervisor (PSZÁF) and until that is over, the HEO’s hands remain tied.
Surgut CEO Vladimir Bogdanov said in mid-March that his company had no intention to sell its 21% stake in MOL.
"We are content with the deal. The share price is rising, why would we want to sell?," said Bogdanov, head of Russia’s fourth-largest oil company.
He reminded that Surgut made no money on being a shareholder in MOL. Not so long after the state-owned Russian company bought the MOL package last year, the Hungarian company decided not to pay dividend on 2008 results, although it had distributed 40% of its much smaller profit a year earlier.
In February, Russian media reported that MOL was to buy back its own package from Surugut.
A research analyst of a Russian investment company told daily Kommersant recently that Surgut might in the end consider starting talks about selling its MOL stake if it becomes evident that its attendance and voting in MOL’s AGM this year is out of the question.
The analyst noted, though that even if Surgut was allowed to vote, it would not be able to have a controlling say, given the 10% voting cap set in MOL’s Articles.
Business Wire: NOVATEK signs butane gas supply agreement with Nizhnekamskneftekhim
Moscow, 22 April 2010. OAO NOVATEK (“NOVATEK” and/or the “Company”) today announced that the Company’s First Deputy CEO Mikhail Popov and OAO Nizhnekamskneftekhim General Director Vladimir Busygin have signed a long-term agreement whereby NOVATEK will supply commercial butane, produced at the Purovsky Gas Condensate Processing Plant (Purovsky Plant), to OAO Nizhnekamskneftekhim.
The agreement is valid until the end of 2012 and provides for delivery of not less than 85 thousand tons of commercial butane per annum, thus ensuring stable sales for NOVATEK and a reliable supply of raw material for OAO Nizhnekamskneftekhim, one of the largest petrochemical companies in Russia.
NOVATEK’s Purovsky Plant is one of the main producers of liquefied petroleum gases (LPG) in Russia and in 2009 the Company sold 749 thousand tons of LPG. Commercial butane is one of several LPGs produced by the Purovsky Plant, and is one of the most widely used raw materials in the petrochemical industry.
Gazprom
Russia-IC: Gas stock exchange may appear in Russia in two years
21.04.2010
The creation of a gas stock exchange may take about two years, the spokesman for Federal Financial Market Service said.
The gas stock exchange may appear provided that the government backs this idea. Besides, much depends on the state of the Russian economy. The project is mainly conducted by Mezhregiongas, a 100% Gazprom's subsidiary, and the Inter-National Oil and Gas Complex Exchange.
According to Gazprom, the Russian spot market should base on two financial instruments: the electronic trading platform to trade in gas and a stock exchange focusing on trading in gas futures with a delivery from 1 to 36 months.
RUVR: Gazprom 16th on Forbes' list of top companies
|Apr 22, 2010 10:22 Moscow Time |
Russia’s gas giant, Gazprom, ranks 16th on the Forbes’ list of the world’s largest companies, leaving the French Total, American Shevron and Italian Eni behind. Gazprom’s revenues total $24.3 billion and its market price is estimated at $133.6 billion, the Forbes says. Russia’s oil majors Lukoil and Rosneft rank 69th and 77th respectively. The list comprises 2,000 companies.
RenCap: Gazprom insists on netback pricing for the domestic gas market
Renaissance Capital
April 22, 2010
Event: Gazprom's board of directors, which is controlled by the Russian government, yesterday (22 Apr) approved a proposal to phase in a new price formula for domestic gas prices in 2011-13 that will be based on netback parity with the price for European exports, adjusted to reflect the maximum allowed tariff growth rates each year, until the full netback parity concept is adopted in 2014.
Action: We retain our BUY rating on Gazprom and view this news as neutral for the stock.
Rationale: The Russian government is presently following the revenue-cap approach in setting regulated domestic gas tariffs, which are targeted to increase 15% in 2011 and an additional 15% in 2012. It appears to us that the new approach will not change the target growth rates for tariffs and will therefore have no impact on our earnings forecasts for Gazprom.
More generally, although the Russian government has toyed with the idea of achieving netback parity pricing in 2011 (a goal that was subsequently delayed until 2014), the government assumes low oil prices (for example, its 2010 oil price assumption is $58/bbl), whereas according to our model, which assumes an $80/bbl long-term oil price, netback parity will not happen in the foreseeable future. A recent poll by Interfax revealed that our assumptions are more conservative than the consensus, with our 2015 average industrial gas tariff forecast of RUB3,450/mcm being 34% lower than the consensus forecast of RUB5,207.
Alexander Burgansky
Troika: Gazprom Neft and TNK_BP International may divvy up Slavneft
Troika Dialog
22 April 2010
Gazprom Neft and TNK_BP International have agreed to divide the assets of Slavneft, a company that they own on a 50:50 basis (with a small stake floating on the open market), according to Vedomosti, which cites an unnamed source close to Slavneft. Gazprom Neft would receive the company's largest upstream asset, Megionneftegaz, and the oil services unit, while TNK_BP International would receive the downstream assets.
The rest of the upstream would be split in half. The deal could close as soon as 1Q11, the source says. We do not expect the deal to have a major influence on the profitability of either company, as each already enjoys half ownership of Slavneft. However, the deal would allow Gazprom Neft to satisfy its ambitions to grow consolidated production inorganically without having to make purchases. That would be positive, in our view, as its M&A track record in terms of value accretion is not particularly impressive. We note that Gazprom Neft's partner in Slavneft is the non_traded entity TNK_BP International, not TNK_BP Holding.
Oleg Maximov
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