News Czech Republic 05.08.2012

 

CR: Defence Ministry awards contract on radio, GPS installation

The country's Defence Ministry has awarded a contract, worth 28 million crowns, for the installation of radios and GPS equipment in Iveco armoured vehicles to the company MEDTEC-VOP, Defence Ministry spokeswoman Jana Zechmeisterova has told the Czech news agency. The representative said the firm won the deal in an open tender by offering the most advantageous price. The Czech Army was given the Ivecos from the US under a programme in which the US helps equip allied forces. "As the delivery of the goods from the USA lasted almost three years, the installation of the equipment could not be conducted as part of the contract concluded with PRAGA-Export in 2009" Ms Zechmeisterova said. The contract mainly relates to the installation of radios and receivers of the GPS signal. The donated Ivecos are already being used by various units in the Czech Army.

MEP Rouček slams Romney in blog

The Deputy Speaker of the European Parliament, Social Democrat Libor Rouček slammed presumptive Republican nominee Mitt Romney in a Social Democratic Party blog, writing that the world "did not deserve as its most powerful politician" another "paler version" of George W. Bush. In the blog, Mr Rouček referred to Mitt Romney's recent foreign trip to London, Israel and Poland, slamming the candidate for a number of controversial statements that stirred the political waters. in the past Mr Romney has referred to Poland's neighbor, Russia, as America's number one geopolitical foe. In Mr Rouček's view - the candidate went as far as to damage US interests in the Middle East through comments pertaining to the Palestinians and Israel, referring to Jerusalem as the capital of Israel. Polls in the US suggest that Mr Romney continues to trail incumbent Barack Obama, if only just.

Cardinal Tomášek remembered

Several dozen people took part in a special mass on Saturday at Prague's St Vitus cathedral marking 20 years since the death of Cardinal František Tomášek. The mass was led by Prague Archbishop Dominik Duka. The archbishop recalled Tomášek was persecuted by the former Communist regime, spending three years at a labour camp at the monastery in želiv before he was released in 1954. The cardinal had displayed unwavering strength and optimism despite living most of his life under the former regime, Archbishop Duka said.

Romanies refuse to leave Ostrava homes

Some 150 Czech Romanies to be evicted over poor technical and sanitary conditions from the Prednadrazi slum in Ostrava would not leave by a set deadline, Jan Bandy, a member of the local self-rule body created by the tenants, told the Czech news agency on Saturday. The relocation was ordered by the planning and building authority on the grounds that the buildings were no longer inhabitable. Mr Bandy said the locals had instead decided implement minor repairs; Bandy said there were still some 25 families or 180 people in the houses, many of them children. Indian-born activist Kumar Vishwanathan, from the civic group Co-Existence - helping the residents - confirmed that they had opted to repair the old homes gradually.

Football scores

Ostrava drew 2:2 with Prague's Slavia in the second-round of league matches, while Liberec defeated Dukla Prague by a score of 3:2. Šural got the hat-trick, scoring all three goals for Liberec, last year's league champions.

Olympic tennis: Hlaváčková and Hradecká lose to Williams sisters in doubles final

Czech doubles partners Andrea Hlaváčková and Lucie Hradecká lost in straight sets against the Venus and Serena Williams in the gold medal match on Sunday. The final score was 6:4, 6:4. The Czechs received congratulations on their silver finish from Czech President Václav Klaus.

Strong storms could hit parts of country on Sunday

Meteorologists are warning that strong storms could hit parts of the country later on Sunday, with hail in places. The region of South Bohemia was hit by storms on Saturday and has yet to calculate the damage, for example, to local orchards.

Weather

Stormy conditions are expected in places; daytime temperatures are likely to range between 28 and 34 degrees Celsius.

 

News website: region to try and end contract with rep in Brussels

The regional leadership of Central Bohemia will take steps to try and end a contract with one its representatives in Brussels, Marek Semerád, says news website idnes. The Social Democrat representative, reportedly 10th on the candidates’ list in regional elections in the autumn, has come under media scrutiny – and criticism from the opposition – for an unusually ironclad contract he signed with former regional governor David Rath (currently awaiting trial on corruption charges). The contract apparently can only be dissolved through mutual agreement or will remain valid until 2013. According to the daily, in addition to his official activities, Mr Semerád also conducted private business in Brussels, raising questions over potential conflict-of-interest. The official denied he had received any word the region was planning to let him go.

Social Democrat presidential candidate launches campaign

Senator Jiří Dienstbier, the Social Democratic Party’s nominee for president, officially launched his campaign on Friday near the presidential Lány Chateau. As part of his campaign, the candidate intends to receive backing from at least 50,000 voters. Technically, as a parliamentary party nominee, Mr Dienstbier has no need of the signatures that non-party candidates must amass in order to run. But he made clear that he felt it was a minimal requirement he would fulfil. Thirteen others are at various stages of preparing their candidacies ahead of the country’s first-ever direct presidential elections, to be held early next year. One of those aiming to get elected, former prime minister Miloš Zeman, has already received the 50,000 signatures required.

Sobotka says ‘Zemanovci’ will fold after leader loses presidential bid

Social Democratic Party leader Bohuslav Sobotka has told Czech daily Mladá fronta Dnes his party was not in crisis despite the departure of several politicians – most recently Senator Vladimir Drmyl – who crossed over to the Party of Civic Rights (the so-called Zemanovci) headed by former prime minister Miloš Zeman. The party recently jumped in opinion polls, meeting the necessary five percent threshold to make it into the lower house of Parliament if elections were held today. Mr Sobotka suggested the boost was a result of Mr Zeman’s candidacy for president adding that the party would fold or fall part “when Mr Zeman lost his bid”. He also expressed the conviction that Czechs would not elect a “face of the ‘90s”; opinion polls, however, have put Mr Zeman in second place behind early leader Jan Fischer, also a former prime minister.

Police track down elderly assailant

Police successfully tracked down an elderly man who attacked a fellow senior at Prague’s Malostranská metro station in March. The assailant, it has been revealed, is an 80-year-old resident of Olomouc, in Moravia. He will not be charged for his role in the incident. According to available information, he could not be held accountable for health reasons; the police could not disclose additional details. In March, the attacker hit a 74-year-old man in the head with his crutches (after the latter had asked him to let him pass) that he lost consciousness near the escalator in the metro and fell. Passers-by provided first aid, and the man was also treated in hospital. The case against the attacker was suspended in June, a police representative confirmed.

Czech, Slovak colleagues escape largely unhurt from helicopter crash

Three people aboard a private helicopter, including the pilot, were lucky to escape largely without injury on Friday evening when the aircraft crashed in Poprad, Slovakia. One of those aboard was Czech, while the other two were Slovak nationals; the pilot suffered minor injuries. The accident took place at around 7:30 pm. Fuel leaked from the helicopter but emergency crews intervened. It is thought that stormy weather contributed to the crash, which officials are investigating.

Moravský Krumlov chateau to get six million crown injection this year

Town and regional representatives as well as the Culture Ministry and private firm Incheba, signed a memorandum on Friday in Moravský Krumlov on joint cooperation on the renovation of the local chateau. The site, which is owned by Incheba, housed Alfons Mucha’s Slav Epic for more than 50 years, and will receive an injection of 6.2 million in 2012. Moravský Krumlov’s Mayor Tomáš Třetina said he expected in 2014 to launch new efforts for the famous work to be returned. The Slav Epic is currently on display in Prague. Culture Minister Alena Hanáková stressed that Friday’s agreement referred in no way to Mucha’s famous cycle. She said the role of the ministry over its future would be to work as liason between Prague and Moravský Krumlov.

Daily: Synek happy with silver, says gold is waiting at home

Czech rower Ondřej Synek, who secured the Czech Republic’s second medal at the Olympic Games in London on Friday, has expressed more than satisfaction with the result. The Czech competitor came in second place in the 200m race with a time of 6:59.37, beaten only by New Zealand’s Mahé Drysdale, who clinched a time of 6:57.82. Synek told idnes that afterwards he had joked with Drysdale that ‘some people collected silver, others gold’, adding that true gold was waiting for him at home – his wife is expecting. Synek also received silver in the same discipline four years ago in Beijing.

Czech women’s basketball team defeated by US

The women’s basketball team got off to an excellent start on Friday against the US jumping to a 10 point lead before the American players began to regain their bearing. In the end, the Czechs lost by a score 61:88. The women’s team will have to defeat Angola on Sunday in order to book a spot in the play-offs.

Czechs clinch two more medals at Olympics, including first gold

The Czech Republic has secured two more medals at the Olympic Games including its first gold.World champion rower Miroslava Knapkova won the women's single sculls with a dominant performance over her nearest competitor Fie Edby Erichsen of Denmark, winning by more than three seconds.

Adela Sykorova took bronze in the women's 50m rifle three positions competition.

 

Czech Airlines to shakeup flights in winter season

Czech Airlines (ČSA) is to reduce its numbers of flights and the number of destinations it travels to during the upcoming winter season, the company has announced. Last year ČSA travelled to 54 cities in 34 countries; this year, the number will be 41 cities in 30 countries, according to the newspaper Právo. The move is designed to better respond to demand – Athens and Beirut, as but two examples are out; while popular destinations, particularly for business travellers, to nearby European cities, such as Budapest and Brussels, will be increased in numbers. Flights to Britain were already suspended in 2010. Meanwhile, the company is also set to add the twin-engine short-haul propeller plane the ATR 72 to its fleet from September. ČSA has been plagued with financial difficulties in recent years – in 2010, a 2.5 billion debt to the government was renegotiated on highly favourable terms; the Belgian-born businessman Philippe Moreels has served as chairman and president since late 2011.

Komerční Banka reports increase in profits

Komerční Banka, majority owned by the French bank Société Générale, posted half year profits of 7.6 billion crowns in 2012, a 38.8% increase against the previous year. The increase is reportedly partially down to the devaluation of Greek government debt bonds. The company also saw the volume of loans provided to clients rise by 8% to 456.2 billion crowns, while deposits climbed 6.5% year on year to 582.4 billion crowns. As of the end of July, the KB Group had 2.5 million customers, with 1.3 million Czechs banking at this company. The numbers for the bank mirror the resilience of the famously prudent Czech banking industry. Parent company Société Générale, conversely, saw a roughly two-fifths fall in profits down to €433 billion. Rival bank Česká Spořitelna, meanwhile, saw first half profits of 8.22 billion crowns.

Household earnings fall for first time since 1993

New figures from the Czech Labour Ministry have revealed that last year, household earnings fell for the very first time since the founding of the country in January 1993. Average wages in 2011 were 12,902 crowns – or about €510. The figure represented a fall of 146 crowns against the previous year. The numbers underscore the impact of the 2008 global financial crisis, which led to Czech wage increases decelerating, stagnating and finally reversing. One factor for the 2011 figures according to the Labour Ministry, are freezes and reductions in wages in the public sector as part of austerity measures. Meanwhile, inflation and increases in the costs of food, transport and rent have all affected purchasing power, the ministry added. In 1993, the average wage for a household member was 3,571 crowns, climbing to 7,234 by the year 2000. Meanwhile, the average price of goods and services has risen fivefold since 1989.

Anti monopoly authority upholds fine against water company

Illustrative photoThe Czech Republic’s anti-monopoly authorities have succeeded in an appeal case in which they levied a record 9 million crown fine against the Pardubice based Vodovody a kanalizace (VaK), a company dealing with water management and waste water issues. The fine, issued last December, came after irregularities were found in a 300 million crown tender for the modernisation of a biological water treatment facility in Semtín, just outside the city of Pardubice. The company was accused of not revealing just how it managed to present what the authorities described were extremely low costs in the bidding process. Anti-monopoly authorities argued that the tender was deficient in terms of transparency and openness. Vodovody a kanalizace have already signed a contract with the company they selected in the tender process and said that they were shocked at the fine and denied any wrongdoing. In light of the authorities upholding the fine, the company says it may now turn to the courts.

Czech National Bank revises economic forecast

The Czech National Bank has revised its forecast for the Czech economy. On Thursday, deputy governor Vladimír Tomšík announced that former predictions of stagnation this year and growth of 1.9% next year had been supplanted by an expectation that the economy will shrink by 0.9% this year and grow by a mere 0.8% in 2013. The Czech economy has been hit by falling demand at home as fell as falling demand in Europe, strongly hitting the country’s crucial export market. According to the ČNB, meaningful growth will not arise until 2014, when it forecasts a 2.5% expansion.

ČNB also keeps interest rates at 0.5%

And staying with the Czech National Bank, the institution has also announced that it will maintain record low interest rates at 0.5%. The move comes amidst concerns of a stagnation, and concerns also abound over Europe’s ability to decisively address the debt crises affecting the eurozone. On the plus side, the ČNB’s decision not to further reduce rates – which were last cut from 0.75% to 0.5% at the end of June - is viewed by analysts as a sign that the Czech economy is not in such a troubled spot that a rate reduction is viewed as necessary. European Central Bank interest rates, meanwhile, are being held at 0.75%.