English Section

4 august 2011

The NBR keeps the interest rate at 6.25%

• Inflation risks persist in the medium term

The NBR has remained consistent and has kept the key rate at 6.25%, as well as the current levels of the minimal mandatory reserves for assets denominated in lei and in foreign currencies, thus confirming analyst expectations, according to the decision of the Board of Directors of the NBR, made in yesterday"s meeting.

The Stock Exchange could be left without what it is still missing: BCR.

The reward of the SIFs in exchange for BCR not getting listed on the BSE

• Erste confirms talks for an alternative to the listing of BCR on the Stock Exchange

• Today, the SIFs are set to meet with the shareholders who asked them to summon their General Shareholder Meetings to discuss the listing of the bank

The listing of the largest domestic bank on the Bucharest Stock Exchange seems more remote than ever, as the officials of "Erste" said yesterday that they are discussing with the five financial investment companies (SIFs) an alternative for the listing of BCR.

"Erste Group Bank AG once again confirms the current talks with the five minority shareholders of the Romanian Commercial Bank (BCR) - SIF Banat Crişana, SIF Moldova, SIF Transilvania, SIF Muntenia and SIF Oltenia - concerning alternative solutions to the listing of BCR that would satisfy the interests of the SIFs and of Erste Group", the officials of Erste said yesterday.

At any moment, a minority shareholder could request the listing of BCR

Reporter: Is the agreement to postpone the listing of BCR legal or not? Did the SIFs need a power of attorney to conclude an agreement concerning the postponing of this listing?

The measurement unit for the debts to the state budget was set when printing the list of debtors to the state budget required a stack of sheets of papers as tall as prime-minister Emil Boc.Right now, if we were to print all the outstanding debts to the state budget (including those to social security, unemployment and healthcare), that companies had on June 30, 2011, we would need more than 46 packs of A4 paper (23,231 sheets). The stack of paper sheets that we would need merely to print the names of companies that generate arrears to the state budget, would be taller than any finance minister, (2.32 meters). Such a stack would be taller than Prime Minister Emil Boc by 0.7 meters.

Emil Boc versus the list of arrears makers

As the Romanian state is going increasingly into debt, state owned and private companies are accruing major debts to the state budget.

"Ropharma" Braşov to perform a debt-for-equity swap with another company of the group

The directors of Ropharma Braşov, specializing in the distribution of drugs, will propose to shareholders, on September 1st, to do a debt for equity swap of 1.882 million lei with Ropharma Production SRL Iaşi, which is part of the same group of companies.

1 Euro5.0956

1 Fr. elveţian5.5867

BNR

1 Liră sterlină5.8285

BNR

1 Dolar SUA4.3216

BNR

1 Gram Aur693.2599

BET28979.86

BET FI110745.95

BET NG2086.87

Profit of Socot Târgu-Mureş has increased over three times in H1 2011

Socot Târgu-Mureş has seen its revenues increase 29.8% in the first semester of 2011, from 46.57 million lei to 60.49 million lei.

Cuzman, SIF1: "Erste made us an offer to make our stake in BCR more liquid"

Austrians of "Erste" have made us a concrete proposal to make the stakes of the SIFs in BCR more liquid, said Ioan Cuzman, the president of SIF "Banat-Crişana" (SIF1), without disclosing what the offer of Erste entails.

The AVAS once again negotiating with "Ford"

• The Romanian state and "Ford" are discussing the conclusion of an appendix to the privatization contract, since the Americans have not completed the restructuring process of "Automobile" Craiova

INTERNATIONALLY, the SITUATION IS MORE DANGEROUS THAN IT WAS IN 1933Domestically, things are better than they were in 2008

• (Interview with Lucian Croitoru, governor to the Governor of the NBR)

Jeffrey Franks:Romania needs to continue the reform in the healthcare system, to lower the arrears of the state, to restructure state owned companies and to increase investments, including by absorbing European funds.

Jeffrey Franks: Romania has honored its objectives

Romania has met all the performance criteria set by the stand-by agreement concluded with the IMF, but it must proceed with the reforms in order to achieve economic growth, Jeffrey Franks, the head of the IMF mission to Romania said yesterday.

THE AFTERMATH OF THE FAILURE OF THE SECONDARY PUBLIC OFFERING OF "PETROM"Valentin Ionescu, the general manager of the BSE, sanctioned by the Council of the Exchange

The management of the Bucharest Stock Exchange (BSE) has sanctioned General Manager Valentin Ionescu with a "Warning", holding him responsible for several mistakes in the matter of the failed Secondary Public Offering of "Petrom",...

EVEN THOUGH THEY DIDN"T SUCCEED IN ACQUIRING THE GAS STATIONS OF ROMPETROL,Russians aren"t giving up on their plans to enter the Romanian market

The refusal of the Kazakhs of "Rompetrol" to consider the sale of the gas stations that the Group owns in Romania, to the Serbian company NIS, owned by "Gazprom", doesn"t seem to have deterred the Russians from their plans to...

Radu Gheţea: New players may enter the banking market

The Romanian banking system will most likely change its structure in the next two years, following potential mergers and acquisitions which may occur in the coming two years, as well as by having new players enter the market, said Radu Gheţea,...

"Oltchim" wants to borrow 250 million Euros

"Oltchim" Râmnicu Vâlcea (symbol: OLT) wants to borrow 250 million Euros to finance investments and for working capital, according to the notice to attend the General Shareholder Meeting of August 29th, remitted to the Bucharest Stock...

Shareholders of "Altur" complaining about Cătălin Chelu

• They claim that they are losing money due to the deals with shares in "Argus" Constanţa made by the companies owned by businessman Cătălin Chelu

The stake of the Romanian state in the Proprietatea Fund could fall to 14.23%

• In the first half of July, the National Authority for the Restitution of Properties has issued conversion deeds for 4.7% of the shares of the Proprietatea Fund

The CNVM validates Cristian Sima and Paul Miclăuş as directors of Sibex

Cristian Sima, one of the best-known players on the Romanian capital market, and Paul Miclăuş, former advisor with the CNVM, have been appointed by the CNVM as directors of the Sibiu Exchange, the company said in a communiqué.

BSE president Stere Farmache did not formulate any opinion concerning the regularity of the Petrom Public Offering.

In defense of the Bucharest Stock Exchange

The image of the Bucharest Stock Exchange is being unfairly trampled nowadays, by the very same press that a few days ago would gush over the record size of the "Petrom" Secondary Public Offering, which, according to the ecstatic comments...

Radu Hanga: "There is no concrete information concerning the plans of the SIFs about their most important interest".

Who are the shareholders who have requested the General Shareholder Meeting of the FICs

Macro has invested 500,000 Euros in the former Wolf store of Bran

The Macro store of Bran was inaugurated yesterday, following an investment of 500,000 Euros, according to a press release by Mercadia Holland BV, the company which manages the Macro and Mic.ro chains of stores.

Dafora Mediaş to increase its share capital by 5.1 million lei

The shareholders of Dafora Mediaş, specializing in drilling and construction, have approved the increase of the company"s share capital by 5.1 million lei, from 97.3 million lei to 102.4 million lei.

"Hidroelectrica" and "Nuclearelectrica" to increase their share capital by 10%

The Ministry of the Economy will increase the share capital of "Hidroelectrica" and "Nuclearelectrica" by 10%, in a public offering, the Ministry announced yesterday.

SUPPLYING NATURAL GAS IN ROMANIA"Gazprom" sees its supplier license extended for another five years

The Romanian National Securities Commission suspects money laundering on the derivatives market

• Trading in the EUR/USD and SIBGOLD_USD contracts, suspended indefinitely

Shareholders of Mechel Târgovişte have approved the taking of loans amounting to 100 million Euros

The shareholders of Mechel Târgovişte have approved the contracting of two loans of 50 million Euros each, together with three companies in the group - Laminorul, Ductil Steel and Mechel Câmpia Turzii.

"Comixt" increases its share capital at 8.75 million lei

The shareholders of clothing factory "Comixt" of Roşiorii de Vede (symbol: COMB), decided on Saturday to increase the share capital from 773,994.45 lei to 8,753,994.45 lei by issuing 42 million new shares, according to a report sent to...

"AMONIL", READY TO CHANGE ITS COURSEElectricity instead of fertilizer?

After losing the installations for making fertilizer in foreclosure, "Amonil" Slobozia (symbol: AMO) could become an electricity maker, more than three years after the shareholders of the company have approved a contract with...

Only two companies left in the race for "Moldomin"

Mr. Ciprian Bostan, general manager at "Bio Integra" SRL

The market for nutritional supplements has grown at a rate of 20% a year

"Nutritional supplements account for about 200 million Euros of the pharmaceutical market", said Ciprian Bostan, general manager at "Bio Integra" SRL, who added: "Sales have really increased, if we consider that they were...

"Conpet" has increased its profit to 23.4 million lei

Oil carrier "Conpet" Ploieşti (symbol: COTE) reported a net profit of 23.4 million lei in H1 2011, up from 15.3 million lei in H1 2010.

Turnover of IAR Ghimbav increased 40% in H1 2011

The turnover of IAR Ghimbav increased 39.45% in the first semester of 2011, from 28.911 million lei to 40.315 million lei, whereas the company"s profit fell almost 34%, from 5.434 million lei to 3.588 million lei, according to the report that...

UMT wants to sell a plot of land for 4 million Euros

"Uzinele Mecanice Timişoara" (UMT) intends to sell a plot of land with a total surface of 66,643 sqm to "Continental Automotive Products", in exchange for 3.99 million Euros, according to information published in the Official Gazette.

Valeriu Tabără: "We have submitted our request to allow reverse taxation for fruits and vegetables about one month ago. We hope that this time we will receive the answer quicker than in the case of grains, when the European Commission gave us the answer after two months".

VALERIU TABĂRĂ:Tax evasion for fruit and vegetables will fall over 90%, once we get reverse taxation

Tax evasion in the vegetable and fruit sector will fall by more than 90%, if the European Commission accepted the request of the Romanian government to enact reverse taxation, said Valeriu Tabără, the minister of agriculture: "We have...

Leumi offers cheaper real estate loans

Starting this month, Bank Leumi Romania has changed the interest margins and the commissions for home loans.

Mr. Iustin Paraschiv, the owner of "Avicarvil"

Sales of poultry maker "Avicarvil" have increased by 35% in H1 2011

• The company led by the Paraschiv family has begun the studies for the construction of a new farm

AFTER THE SHARE CAPITAL INCREASE,The Romanian state is once again a shareholder of "Rompetrol Rafinare"

The state has once again become a shareholder of "Rompetrol Rafinare" Constanţa (symbol:RRC), with a stake of 44.69% of the company, after the latter recorded with the Trade Registry the 80.8% share capital increase, (by about 4.41...

Garanti Bank encourages customers to open deposits via internet banking

Garanti Bank offers higher interest rates to customers opening term deposits through the internet banking system, according to a press release by the bank. Such deposits will receive an additional 0.5% over the standard interest rate upon opening...

Flavus Investiţii invested 400,000 Euros in setting up the office of Waters Romania

See a movie of 1987 on the screens of the Bucharest Stock Exchange. Enjoy!

I"M SCAREd OF SLEEPING ALONE!Predator at "Petrom"

Do you remember "Predator" with Arnold Schwarzenegger?

Mr. Jiri Sitler, the ambassador of the Czech Republic in Bucharest, (left), Mr. Jens Hoesel, general manager of "Bergenbier" SA (middle), and Mr. Tiberiu Mercurian, marketing director at "Bergenbier" SA.

"Bergenbier" extends its portfolio

• The company has launched a new brand in Romania, "Staropramen", which will strengthen its market share

THE REGULARITY OF THE "PETROM" OFFERINGShrugging at the BSE

With one exception - Mr. Siminel Andrei - the members of the Board of Directors remained silent when asked to express their opinions on the regularity of the "Petrom" Secondary Public Offering.

The Minister of the Economy, Ion Ariton, is confident when it comes to the success of the "Petrom" offering.

The reference price for the shares of "OMV Petrom" is 0.3708 lei/share

The reference price for shares of "OMV Petrom" (SNP) of the 9.84% block of shares put up for sale by the Romanian state via a Secondary Public Offering has been set at 0.3708 lei/share, in the Special Meeting of the Government which was...

The three tenders for "Moldomin" will be opened at the end of the week

The bids of the three investors who submitted the tender books for the acquisition of the mines of SC "Moldomin" SA Moldova Nouă were not opened yesterday, since some of the members of the commission were missing, said Răzvan Zăvăleanu,...