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July 2006

Steady 20% growth for Swedish bearings
Rulmenti Suedia, one of the main distributors of the SKF ball bearings brand and of industrial solutions in Romania, estimates a 20% growth pace for its business, comparable...
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FDI Rise by 93.3% in Jan-May '06
The foreign direct investments for the first five months of 2006 rose by 93.3% y/y, up to EUR 2.9 bn, according to data released by the National Bank ...
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Private Pensions Funds Must Have Capital of ¤1.5 mln
The companies that manage private pension funds must have at the moment of submitting their authorization request a minimum share capital equivalent in lei to the amount of...
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Online Banking is Growing Fast
Despite the enthusiasm of many Romanians for the Internet, many people retain their suspicion of new ways of doing things ­ especially virtual ones. It is little surprise...
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8 mln Bank Cards in Circulation
Almost.8 million bank cards are currently in circulation in Romania, according to figures provided by the National Bank (BNR), according to ING Financial News The increase rate in...
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Phishing Attempt on Card Owners Uncovered
Romanian Softwin company's data security division BitDefender and the IT experts of the Romanian Commercial Bank (BCR) uncovered early on July 18 a phishing attempt - i.e. an...
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Turceni Shares to be Listed
The Ministry of Economy and Trade (MEC) has announced its intention to sell 51% of the social capital of Turceni energy complex to a strategic investor or to...
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Rovinari Power Plant, Profit 89 mln RON in 2005
The Rovinari power plant registered a gross profit of 89 million RON ( almost 24,69 euros) in 2005 to a turnover of 705,65 million RON ( almost 196,01...
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RAAN to Buy Energy from Romelectro
The Nuclear company for Nuclear Activities (RAAN) will buy next month electrical energy from Romelectro according to a contract signed on Wednesday at the energy stock market, ACT...
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Biodiesel Business in Sibiu
The German MAN Ferrostaal consortium starts the construction of a farm and of a biodiesel plant in the Sibiu county, ACT Media news agency reports.The German investment will...
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Rafo Processes 170,000 Tonnes of Petrol a Month
RAFO Onesti refinery in Bacau County (eastern Romania) produces 170,000 tonnes of petrol a month, company'smanging director Paul Ivascu told Rompres, ACT Media news agency reports. According to...
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E.ON Moldova Increases Capital
Electricity distribution company E.ON Moldova will increase share capital by 2.6 million RON (some 740,000 euros), representing the value of some plots of land brought in as contribution...
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Government Ordinance no. 92/2003 on Tax Procedure Code completed
With a view to transposing into Romanian legislation the relevant EU provisions, the Executive completed the Government's Ordinance no. 92/2003 regarding the Tax Procedure Code, a Government news...
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Foreign capital to control 80 percent of Romanian IT companies in four years
The foreign capital will control over 80 percent of Romanian IT companies in four years, according to estimations by Pierre Audoin Consultations (PAC) consultancy company. Between 5...
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EUR 17 M orders for Orsova Shipyard
The Board of Directors of the Orsova Shipyard approved on Tuesday eleven contracts in the total value of EUR 17.09 M for the building of ships for Dutch...
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140,000 jobs in rural areas through PNAO programme
National Employment Action Plan adopted by the Government yesterday, focuses the work of the relevant government organisations on rural employment. The National Employment Action Plan - PNAO 2006...
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MCTI prepares RomTelecom listing in the capital market
Ministry of Communications and IT (MCTI) was mandated yesterday, during the Government session, to sign the contract providing for consulting activities in relation to having the shares owned...
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?Rosia Montana? project ? in between applause and hooting....
...jobs, increased living standard versus environmental issues without a clear settlement. The public debate regarding the project on mining operations and drilling in Rosia Montana region, required...
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Cristescu Brothers Bring EUR 3.5m to Faur (UPDATE)
Faur, a company specialising in producing rolling stock, increased its share capital by 3.5 million euros, according to a report of the General Meeting of Shareholders. The capital...
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New rules for air carriers
Air carriers operating in Romania will have to send to the Border Police data about their passengers, according to an act adopted by the Government yesterday. The act...
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Romanian seaside is no longer ?on top?
In none of the sea resorts along the Black Sea cost, major investments were registered and none has developed intelligent strategies, able to stimulate tourism development and to...
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E.ON Energie set up a representative office in Romania
Major shareholder in E.ON Moldova, the German company E.ON Energie AG, set up, at the end of June, a representative office in Romania, called E.ON Energie Romania, the...
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Long-term loans in RON boom
Long-term credits in RON taken out by the population have surged, increasing their volume almost eight times in the last 12 months, to 7.31 billion RON (equivalent to...
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8.5m-euro Kaufland in Satu Mare
Kaufland will open the company's eleventh hypermarket on the Romanian market today, following an investment worth 8.5 million euros. The hypermarket has a surface of 6,000 square metres...
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Leasing falls under NBR's credit restrictions
Financial non-banking institutions (IFN), i.e. leasing companies, consumer credit companies etc, will have to limit their loans to individuals, so that the debtor's total commitment would not exceed...
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Cyprus offshore to make offer for Romexterra on behalf of MKB
An offshore company with unknown shareholders will make an offer for Romexterra Bank's shares as part of Hungarian MKB Bank's attempt to take control over Romexterra. Demera Investments...
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House of Art invests 5m euros to double network
Staff Collection company, which operates the House of Art chain of stores, anticipates this year's turnover to reach about 61m RON (17m euros), an increase of 15% on...
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Fabryo turnover up to 13 million euros
Varnish and paint producer Fabryo Corporation posted turnover worth 13 million euros (46 million RON) in the first half of the year, an approximately 22% increase from the...
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Apple sales expected to reach 6 million euros
Apple Computer, which makes the iPod MP3 player and the Mac computers last year sold products worth some three million euros on the domestic market, double as much...
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Cramele Recas posts 144% growth in sales
Cramele Recas, the largest winemaking complex in Banat recorded a 144% increase in sales on the domestic market in the first half of this year, compared with the...
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Romania, 3rd in the region in retail crediting
Romania placed third in a ranking of Central and Eastern European countries with the best prospects for the development of the retail crediting market. The first two spots...
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Tiriac auto insurance based on driving history
The market leader on the auto insurance segment, Allianz-Tiriac, introduced a new system for calculating policy costs. The premium is established not only by taking into account the...
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Government approves the final act of BCR's privatization
The government promoted through an emergency ordinance stipulations included in the law project regarding the completion of the privatization process of the Romanian Commercial Bank (BCR), said Minister...
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British fund buys office building for 40 million euros
British real estate investment fund European Convergence Property Company PLL, whose capitalisation stands at about 7 billion euros, yesterday signed the acquisition contract for the Millennium Business Center...
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Vodafone posts 246m-euro profit
Local operator of mobile telephony services Vodafone Romania last year reported a gross profit worth 891.48 million RON (some 246 million euros at the average annual exchange rate...
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Millennium BCP to enter Romania
Millennium BCP bank plans to submit to the National Bank of Romania (BNR) an authorization request for the creation of a credit institution in Romania, according to Paulo...
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Local tobacco takes a breath of fresh air
Bursa writes today about the government measures in order to increase local tobacco production; these measures are theoretically counteracted by the fiscal measures taken in the business. ...
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Investors pay to keep blue-collar workers in the country
Foreign investors are increasingly worried they will not be able to find the necessary personnel for the projects they want to develop in Romania, said Ana-Maria Cristina, the...
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Maspex puts operations under one umbrella
Polish group Maspex, with operations in the field of consumer goods, will bring its companies that operate on the Romanian market under one umbrella. La Festa International will...
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Neocity develops upscale residential project in Bucharest
Neocity Group will invest 300 million euros in a residential project located in the east side of Bucharest. The project is called NeoPeninsula and will be located near...
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Cosmote to Save Telecoms Mkt from Numbness
The Greek owners of Cosmote succeeded in saving the Romanian mobile telephony market from numbness by launching a recharge card with the lowest credit, of three euros only,...
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Romania is Egypt's Most Important Trade Partner in SE
Romania is the most important trade partner for Egypt in the Central and South-Eastern Europe, ACT Media news agency reports. Over the past years, the balance of the...
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Foreign Workers Could be Posted for 3 Years
Foreign workers could be posted in Romania for a period of up to three years by an employer (company) headquartered in Romania or by a branch or subsidiary...
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Bosch Targets Sales Worth ¤100 mln
The German group Bosch targets sales worth 100 million euros this year on the Romanian market where it holds a 250-unit distribution network nationwide, ACT Media news agency...
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¤20 mln in Contracts for Sixt New Kopel
This month, Sixt New Kopel, the first specialised company which brought the operational leasing concept on the Romanian market, has signed contracts, among other companies, with Pagini Aurii...
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"Donau Commodities" Acquires "Laminorul"Braila
One in the companies in the portfolio of the State Assets Realization Authority, the Braila-based rolled goods producer "Laminorul," was acquired by "Donau Commodities" Bucharest for 17.5 million...
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Amrom Automotive to Buy Claims in Aro 4WD (MORE)
Amrom Automotive 2006 plans to buy claims worth 1.5 million euros from creditors of Aro Campulung plant, ACT Media news reports. ''We are holding negotiations with representatives of the...
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BCR Leasing: 42% higher
BCR Leasing in the first part of the year recorded 42 percent higher results as against the similar period of last year and is set to achieve a growth ...
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Cargus Increases Market Share
The domestic courier services company Cargus increased its market share by 11.5 percent in the first half of this year, as a result of creating some new services...
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Rombat Increases Revenues
Rombat Company from Bistrita County (northern Romania), a car battery producer, registered over the first six months of the year 12.7 million euros (45.6 million lei) in turnover,...
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GED Capital Buys Dasimpex GSM Retail Chain
Spanish investment fund GED Capital Investment is to take over the controlling interests in the Dasimpex group of companies, which operates one the biggest GSM equipment retail chains,...
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Allianz-Tiriac Posts 37% Growth in Jan-May'06
Insurance company Allianz-Tiriac posted underwritten gross premiums worth 128 million euros in the first five months, an increase of 37 percent from the same period in 2005, with...
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Dedeman Increases Capital
Dedeman Bacau (east), a company operating a distribution network of construction materials and a furniture factory, increased its share capital from 4.1 million euros to 9. 7 million...
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Turism Hoteluri & Restaurante S.A. Prahova Increases Share Capital
Shareholders in Turism Hoteluri & Restaurante S.A. Prahova (TUSI) convened on July 18th and decided to increase share capital by 715,992 RON through a capital injection by SIF...
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Mechel Targoviste Spends 14 Mln RON On Materials
Mechel Targoviste S.A. has procured from Mechel Campia Turzii S.A. scrap iron, wire, towing cable, welding electrodes and other materials, totaling 14 million RON. The contract does not...
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Roche Romania Q1 Sales Reach 21.7 Mln EUR
Roche Romania reported Q1 sales of 21.7 million EUR, up by 3 percent year-on-year. The company also reported a market share of 7.18 percent, up from the 6.84...
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Altex Owner Puts 1.5 Mln EUR Into New Bucharest Store
Altex owner Dan Ostahie inaugurated a new Media Galaxy store last week, despite an overall market decline in H1. The 1.5 million EUR investment materialized in an electronics...
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ETA2U Becomes Oracle Partner In Romania
ETA2U, one of the leading IT system integrators and infrastructure service providers in Central and Eastern Romania, late last week became an Oracle partner in Romania. The company...
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Romaero will deliver to the Italian company Alenia aircraft components worth USD 10 M
Romaero will produce, for the Italian company Alenia Aeronautica, aircraft components, on the basis of a five-year agreement whose value is estimated to over USD 10 M, according...
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Lottery?s salary fund management up by16.9 pc
The salary fund of the manager of the Romanian Lottery was increased this year with 16.9 per cent, compared to the last year, from RON 118,000 to RON ...
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Energy market deregulation: embezzlement at people?s expense
It was highly predictable that reorganisation (rather than restructuring, as it was presented) of the electricity production system - carried out by Mr. Berceanu when he was a Minister of Economy several years ago, and which was confined to the institutional separation by energy sources (hydro, thermal, nuclear) - would be a failure. At least in that it made no contribution whatsoever to enhancing efficiency and improving services to consumers.

Termoelectrica, where the problems were, took over many of the issues which already existed in the energy colossus before the splintering. Until the European Union came up with its so-called ?energy market deregulation? things dragged along one way or another. And we exclusively refer to the operational aspect of the system. Nuclearo-Electrica and Hidroelectrica produced, for objective reasons, much cheaper energy, but the energy they supplied went into an integrated system and calculations were made as such. On the whole, i.e. in a system with both cheap and expensive sources, an average price resulted, which served as a reference point for calculating the sale tariff. Since, for social reasons, this tariff was under costs, the problem appeared: the need to gradually increase tariffs in order to cover costs.

The liberalisation requested by the European Union has completely upset things. The deregulation principle sounds good: each consumer (first the big-sized one, the so-called ?eligible consumers?, but later on the small ones too, such as the households) should be free to choose their supplier. The selection is presumed to depend on the price criterion. It all would be nice and smooth, only that in order to cover consumption, we need all the energy we produce, therefore the expensive one, too. So, with each consumer naturally choosing the cheap source supplier, those who produce energy from more expensive sources would go bankrupt and the market - rather than the Government?would wind them up. But thins are a lot more complicated, and we don?t quite know who should decide to wind up whim and who should buy the expensive, but necessary energy!

Before such crucial matters were figured out, the market deregulation was launched, with remarkable recklessness. What does it come down to? The worst! Intermediaries emerged - those believed to represent the market itself - which should facilitate the supplier choice by the consumers. Naturally, it all turned into a petty parody! The intermediaries - the ?smart alecs,? as Mr. Basescu called them once, long ago, before forgetting all about them! - only bought cheap energy, i.e. from hydropower plants, but also from some thermal power plants which are slightly more efficient, and started to sell it, for much higher prices of course, to various big-sized consumers.

Indirectly, household consumers who cannot choose their suppliers - and will not be able to, in practice, even when rated as eligible in theory - are only given access to expensive energy.

For ?eligible? consumers, no general cost/tariff calculation is made. Such calculations are only made for household consumers. Which is outrageous! And for such consumers, calculations say they have to pay ever higher tariffs. Of course they have to. Not only can they buy only the remaining energy, that is the one produced from expensive sources, but they also have to cover the losses generated on the whole by the fact that some buy cheaper energy, and the host of intermediaries cash hefty gains for doing nothing!

by Ilie Serbanescu

source
A new general manager with JTI Romania
Cigarette producer Japan Tobacco International (JTI) Romania, a subsidiary of Japan Tobacco, changed its management structure, the new General Manager and Vice-President of the company being Martin Southgate,...
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Non residents' stock and bonds acquisitions from Romanian capital market, almost 500 million euros
The amount of stock and bonds acquired by foreign investors in the first semester from the Romanian capital market totaled 492.98 million euros, reveals the data centralized by...
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Dacia to boost turnover by over 1 billion euros
French Renault Group, which makes the Logan model, will boost the production capacity of the plant in Ploiesti from 235,000 to 350,000 units by January 2008. This...
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SIVECO Romania, a future European leader in software integration domain
interview with Irina Socol, General Manager Siveco Romania by Nine O'Clock Ranking among the leaders of the local EAS and IT services market, SIVECO Romania has big plans...
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Foreign investments focus on perspective sectors of Romanian economy
Trade, food industry, banks, telecommunications, car making and distribution of gas and electricity are some of the perspective sectors of the Romanian economy where an important infusion of...
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Chinese businessmen are interested in investing in Arad County
The Chinese investments in Arad (western Romania) could witness an expansion following the visit of a delegation of Hainan province, who explored the business opportunities in the area,...
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BNR changes crediting rules
Non-banking financial institutions (IFN) will be forced to comply with the settlements of the National Bank of Romania (BNR) included in the prudential stipulations regarding the crediting of...
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Vodafone shows secure profits
Mobile phone operator Vodafone Romania closed 2005 with a gross profit amounting to 246 million euros, up 9.4% compared to 2004. This year's company's turnover reached a total...
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Real estate agencies' activity to be checked
The activity performed by real estate agencies will be checked by the Office for the Prevention and Fight Against Money Laundering (OPCSB), in order to avoid the purchase...
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RCS & RDS could bid for 3G license
The shareholders of telecommunications company RCS & RDS approved a share capital increase to 12 million euros, in view of making an offer for the acquisition of a...
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UPS plans 30% increase in Romania
International parcel transportation company Trans Courier Service, the exclusive agent of the U.S.-based company UPS in Romania, opened a new outlet in Constanta. The new distribution center is...
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AVAS restructures Aversa
Four hectares of terrain belonging to Aversa Bucharest will be sold through tender for covering the debts owed by the company, its activity being restricted to only six...
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QVT increases stake in Flamingo
U.S.-based investments fund QVT purchased a new share package in Flamingo International, the value of the transaction amounting to 300,000 euros. The operation was made in Monday's...
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Turceni must be privatized through direct stock sale
The Ministry of Economy and Commerce (MEC) demanded the government approve the privatization of the Turceni energy complex through a direct sale of shares followed by a share...
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Romania, Bulgaria liberalize commodity and passenger traffic
The two countries signed at the end of last week a bilateral agreement regarding the liberalization of persons and commodities transportation to take effect on August 1, according...
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New capital increase at UCM
The Board of Directors of Uzina Constructoare de Masini Resita (Machinery Building Plant - UCM Resita), a company controlled by the Swiss consortium Inet Group, will make a...
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Avia Motors triples profit, doubles business
Avia Motors, Skoda dealer on the domestic market, in 2005 tripled its gross profit, which reached 2.1 million euros, compared with 670,000 euros in the previous year. "The...
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International Leasing borrows 18m euros from banks
Leasing company International Leasing has signed contracts for funding worth 18 million euros, 80% of which will come from the BCR. The remainder of the loan will be...
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Terapia Cluj, second-largest exit in CEE region
The sale of Cluj-based Terapia by the investment fund Advent International to the Indians at Ranbaxy was the second largest transaction in Central and Eastern Europe in 2006,...
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Adecco buys IP Devel
Bogdan Putinica (29) and Bogdan Daniel (29) have sold the controlling interests in software company IP Devel to Adecco Switzerland, the world leader in human resources solutions. The...
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Real Hypermarket invests 200m euros
The company will invest in the following period over 198 million dollars in the construction of hypermarkets in Bucharest, Otopeni, Constanta, Iasi, Oradea, Brasov, Sibiu and Craiova, according...
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AVAS: BkP did not respect its privatization contract
Balkan Petroleum (BkP) violated one of the provisions stipulated in its privatization contract after selling the shares held in Rafo Onesti to Calder-A, without the approval of the...
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Hame ready to buy if it's worth the money
Petr Subrt, the general manager of Hame Romania, one of the leading players on the canned pate market, says the Czech group is ready to buy any business ...
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Raiffeisen fails to qualify for final stage of CEC privatisation
The Austrians at Raiffeisen are out of the race for the privatisation of CEC (Savings Bank). They bid less than the Greeks at NBG and the Hungarians at ...
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Proprietatea Fund eager to see the trading floor
Authorities are trying to clarify legal issues surrounding the Proprietatea Fund as soon as possible. Rather than planning a special session in Parliament, authorities are preparing an emergency...
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351,248 new customers for Vodafone in Q2
Vodafone Romania, the local operator of mobile telephony services, reported 6.73 million customers in the second quarter of this year (April - June), 351,248 more than in the...
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Tiriac and Riofisa bring 10m euros for new project
Goldale Limited, a company of the Tiriac group and the Spanish developer of real estate projects Riofisa Internacional have increased the share capital of Goldale Real Estate by...
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National Bank of Greece, OTP Bank remain in CEC race (UPDATE)
The Raiffeisen consortium, managing assets twice the total of the Romanian banking system is out of the CEC privatization race. National Bank of Greece and OTP Bank are...
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Romanian car exports upsurge over six months
Romanian auto exports increased by 75.7 percent in the first six months of the current year, compared with the same period last year, according to information provided by...
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Cargill's farming business witnesses 5.5m-euro losses
Cargill Agricultura (Cargill Agriculture), one of the local divisions of the American food industry group Cargill, last year incurred losses worth 5.5 million euros (20 million RON), against...
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Cendant introduces motel brand
International hotel chain Cendant is planning to enter the motel market in Romania with its own brand, Super 8. This will make Super 8 the first foreign player...
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Film production costs to increase in Romania
Romania's accession to the European Union is likely to affect the Romanian film industry, one of the aspects being that the film production costs will increase. Nevertheless, foreign...
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Lagardere opens TV stations in Romania
French group Lagardere, which operates two radio stations in Romania, Europa FM and Radio 21, intends to launch in the summer of 2007 two TV stations - Europa...
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Economy to Grow Strong in '06 - Eurobank Analysis
Strong credit expansion and a procyclical policy mix imply an above-trend GDP growth outcome this year for Romania, though at the expense of exacerbating macro imbalances mainly via...
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SAPARD Funds Fully Absorbed Due to 'Farmer' Program
The Minister of Agriculture, Forests and Rural Development Gheorghe Flutur said that due to the "Farmer" program, Romania succeeded in fully absorbing the funds the European Union has...
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Romania Selects NBG, OTP in CEC Sale
Romania shortlisted Hungarian OTP and National Bank of Greece in the sale of its fifth largest bank, CEC, which will move onto the second phase of the negotiations,...
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CEC Binding Bids Open Today
The binding bids for Romanian CEC will be opened today. National Bank competes with Raiffeisen and OTP for a 69.9% stake in CEC. The Romanian government will announce the...
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Balkan Petroleum to Receive $11 mln Fine
Balkan Petroleum Company (BKP) is very likely to receive a fine representing 100% of the sum paid for the majority stock of Rafo Onesti refinery due to the...
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Romania Seeks EBRD Loan for Water&Sewer Network Project
The water and sewage company of the City of Pitesti - S Apa Canal 2000 SA (?Apa Canal?) intends to implement an investment project, covering most of the...
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Romania to Receive EBRD Loan for CFR Traction Energy Project
CFR SA and its subsidiary CFR Electrificare have received a loan from the European Bank for Reconstruction and Development (EBRD) and intends to use its proceeds towards the...
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Cosmote extends distribution network to 530 shops (MORE)
Mobile phone operator Cosmote Romania has extended in the last three months the distribution network through own and partner shops by 30 per cent, reaching over 530 units...
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Number of Vodafone clients reached 6.73 million
Vodafone has registered during April-June, 2006 interval a USD 0.3 increase in the average revenue per client, to USD 15.2, and the total number of users registered at...
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The refineries? game
The refineries from Midia and Onesti have been for several years in the grip of the judiciary investigations. Those who owned them or own them now became issues...
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BNR publishes Basel II-related draft regulations
The National bank of Romania (BNR) has published a number of draft rules and regulations on classifying bank capitals according to their risks, under the Basel II regulations,...
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January-May current account deficit up 53.2 pc (MORE)
January-May FDI up to EUR 2.9 bln, 93.3 pc higher against earlier-year period. The current account deficit of the balance of payments during the first five month...
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Profitability rate of 250 percent on Sibiu Stock Exchange
Liquidity on the term market in Sibiu, over July 17-23 2006 week continued to follow an upward trend, more than 300,000 contracts being traded since this month-start, Sibiu...
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Moritz ?attacks? Romanian real estate market with EUR 60 M project (UPDATE)
Moritz Holdings, a real estate company that entered the market discretely last year, is developing a project estimated at over EUR 60 M in Victoriei Square area in...
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Romania is Egypt?s most important trade partner in Central and South-Eastern Europe
Romania is the most important trade partner for Egypt in the Central and South-Eastern Europe. Over the past years, the balance of the bilateral trade exchange was favourable...
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New tourism promotional campaign
The National Tourism Authority will launch a new campaign on Tuesday to promote Romanian destinations on the internal market. The value of the advertising material and their distribution...
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Cosmote grows 30 percent in 3 months
Mobile operator Cosmote Romania extended its distribution network through company-owned and partner shops by 30 percent, reaching 530 units nationwide. The majority of the company's 20 chief partners...
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Raiffeisen doubles SME credit maturity
Raiffeisen Bank expanded the maturity term for Flexi IMM and Credit Invest loans to small and medium enterprises from five to ten years. Through the Flexi credit, SMEs...
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Jules Verne builds high-tech block of flats
The French-Romanian joint venture Jules Verne Imobiliare (JVI) will start the construction of a state-of-the-art block of flats this week close to Piata Alba Iulia in which the...
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Current account deficit soars
The current account deficit increased to 3.33 billion euros, 53.2 percent higher year on year. Current transfers decreased in this interval. Goods trade led to a 3.48 billion...
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AVAS: Rafo gives back cashed assets for selling shares
By selling the Rafo Onesti stock to Calder-A without the authorization of the Authority for the Recovery of State Assets (AVAS), Balkan Petroleum committed an illegal operation specifically...
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CEC announces midyear results
The soon to be privatized National Savings Bank (CEC) registered 4.88 million euros in net profit in the first half of the year, while the bank's assets exceeded...
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ANRC rules in favor again for small phone company
In its attempt to create a free and competitive telecommunications market, the National Communications Regulatory Authority (ANRC) is trying to open up the networks of large players for...
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18m-euro business for Pambac in H1
The milling and bakery producer Pambac Bacau closed the first six months of this year with turnover worth 23 million dollars (18.5 million euros) and a profit rate...
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Individual accounts, 9% of the funds market
Individual investment accounts had amounted to almost 9% of the mutual fund market at the end of the first six months, and assets corresponding to these accounts doubled...
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Property Fund collects dividends worth 18.5m euros
The Property Fund has collected dividends worth 18.5 million euros (65.7 million RON) from Petrom, accounting for a 9.89% stake owned in the biggest company in Romania. The...
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Romgaz takes out 55.5m-euro loan
Shareholders of Romgaz Medias approved the extension of a credit facility granted by ABN Amro Romania to 55.5 million euros (70 million dollars), and the opening of letters...
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Staff shortage drives Concas business down 16%
Construction company Concas Buzau posted turnover worth 14 million euros last year, an approximately 16% drop against 2004, according to company financial data Contacted by Ziarul Financiar, Ionel...
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ACE to build third Romanian factory in Dej
Spanish group ACE, a manufacturer of electrical components for vehicles announced it would begin construction work on a third facility in Dej next month. The space allocated for...
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Turbomecanica profit lower than expected in H1
Turbomecanica Bucharest, the only jet and turbojet engine producer in South-Eastern Europe posted a net profit worth 5.08 million RON (1.43 million euros) in the first six months...
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More money for cigarettes than food
Romanians spent more than one billion euros on cigarettes last year. This is almost six times more than they spent on cold cuts, while almost 900 million euros...
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RIB to double network to 40 branches
Romanian International Bank, one of the smallest banks in the system, plans to double its territorial network to 40 branches by the end of next year, in order...
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New overpass in Bucharest, built by Portuguese contractor
Works on the city's second overpass will start next month. The overpass will ease the area traffic by connecting Colentina and Pantelimon neighborhoods, going over the railroad in...
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Wizz Air announces more new routes
Wizz Air plans to open new flights between Romania and European cities beginning January 15, 2007, after it recently launched an aerial connection between Targu Mures and Budapest....
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Bucharest, Arad infrastructures renovated with World Bank money
Finance Minister Sebastian Vladescu and World Bank South and Central Europe Director Anand Seth signed a financing agreement for the upgrade of water and sewage networks in the...
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Bunge increases capital by 11.5m euros (UPDATE)
Bunge Romania, owned by the American group Bunge, will increase its share capital by 41.2 million RON (11.5 million euros) through a cash contribution by the sole shareholder,...
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Cristian Burci in Talks to Buy Astra Vagoane from Trinity Industries
Businessman Cristian Burci is in talks to buy Astra Vagoane Arad factory from the Americans at Trinity Industries. The deal also entails buying other companies of the European...
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Hunting season for HR managers is in full swing
Human resources managers are more hunted than ever. Currently, several dozen companies in Romania have lost their human resources managers, and some of the highly sought after managers...
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KRKA expects to outpace market
Amelia Tataru, the head of the representative office of Slovenian generic drug maker KRKA, says the launch of six new products will lead to an over 10% increase...
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Engel East Europe to take stake in Romania major residential development
Property developer Engel East Europe N.V. said that it has signed a memorandum of understanding to take a stake in the planned development of several thousand residential units...
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Positive Economic Trends
The recently released data by the National Institute of Statistics (INS) regarding the inflation rate, seasonal indicators and the consumption price index are indicating encouraging trends in the...
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Romania Adopts Law on Int'l Trade Statistic System
The Romanian government endorsed on July 12 the draft law on the organization and functioning of a statistic system of international trade, according to Rompres and ING financial...
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Romtelecom Changes the Tariff Structure
As of August 15, Romtelecom changes and simplifies the tariffs structure, reducing the number of phone subscriptions from the current seven to four, according to Romtelecom press release....
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Turbomecanica Signed a Contract with Rolls Royce
In July 2004 during the Farnborough International Air show, Rolls-Royce plc and Turbomecanica S.A. signed a long-term contract for the supply of aero-engine components from Turbomecanica S.A., according...
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Astral Selects ECI Telecom2019S XDM Platform
ECI Telecom (NASDAQ:ECIL) implemented the XDM® Multi-Service Provisioning Platform (MSPP) in Astral Telecom?s network, according to Astral's press release. ; Astral Telecom is one of the most significant...
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Law Market to Increase in Niche Segments
The Romanian law market is to have a sustained development pace in niche segments after Romania gets integrated into the EU on January 1, 2007, Ziarul Financiar daily...
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2006 Retail Sales Expected To Rise
Retail sales in Romania are expected to touch $41.9bn (E33bn) in 2006, up by 16% from the $35.9bn (E28.3bn) in 2005, according to a study by Deloitte. ...
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Eximbank Launches New Products for Entrepreneurs
Eximbank expects the beneficiaries of a new instrument ? the partial interest compensation for credits in lei raised by SMSEs ? to reach 500 at year-end, declared Eximbank...
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HVB-Tiriac Bank Come Up with the ?Credit for anything?
HVB Bank and Tiriac Bank launched a new credit for unspecified personal needs that varies between 3,000 and 20,000 euros (or the equivalent in lei or US dollars)...
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ING Bank Accounts for 6.3 % Market Share
ING Bank Romania, part of ING Group, accounted on June 30 for a 6.3 percent market share in the Romanian banking system and ranked first in point of ...
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Leasing Market will Grow 25 % in 2006
The leasing market might grow by about 25 percent this year, but despite that, the experts consider the Romanian leasing is still underdeveloped, ACT Media news agency reports....
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Banks Put Up Interests for Credits in Lei
The banks will put up interest rates for credits in domestic lei starting next week, following the decision of the National Bank of Romania to increase the minimum...
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SIF assets stand at over 6 billion lei in first six months
The financial investment companies (SIF) reported at the end of the first six months of 2006 an overall volume of net assets worth 6.52 billion lei (1.827 billion...
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Complex electrical harnesses produced
Complex harnesses are using any combination of coaxial, multicore, multiwire, ribbon and power cables and connectors and over-moulding of connectors and cable glands can also be provided. ...
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Daianu, shareholder in a company administering mutual funds
Former Minister for Finances Daniel Daianu acquired in April a stake accounting for seven per cent in the stock of SAI Investica Asset Management, a decision based on...
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Proprietatea Fund cashed 65.7 M RON in dividends from Petrom
The Proprietatea Fund cashed dividends for year 2005 equal to 65.7 M RON (EUR 18.5 M) from Petrom, corresponding to its stake of 9.89 per cent in the ...
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125 million for closing down 50 mines
The Ministry of Economy will close down over 50 mining exploitations by the end of the year, with the costs necessary for this operation being estimated at over...
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AMIDIP's fourth privatization attempt fails
A new tender for the privatization of AMIDIP Calan took place Friday, but once again, no company expressed interest in taking over the plant. The asking price had...
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Vice tax money to go to public health
The Ministry of Health next year will spend 350 million euros obtained from the collection of the tax on tobacco and alcohol products for investment programs in the...
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Bunge Romania share capital increase
Bunge Romania, held by US Bunge group, will increase its share capital by 15 million dollars, to 15.3 million dollars, through a cash contribution of the sole shareholder,...
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Iasi to host an international airport
The Iasi airport will be modernized by the Romanian government and transformed into an international airport. A law project provides an initial 8.4 million euro investment for a...
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The vision goes on: People's Palace architect adds final touches to her work
The Palace of Parliament, the largest building by far in Bucharest and one of the world's largest concrete structures, was designed by architect and lawmaker Anca Petrescu (photo)...
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Gabriel Resources poses Rosia Montana residents brand new town
The offer of Canadian company Gabriel Resources to the inhabitants of Rosia Montana, to talk them into moving away from the location of the possible future gold mine,...
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Romanian Lottery budgets 31m-euro profit
Compania Nationala Loteria Romana (The National Romanian Lottery) budgeted a gross profit worth 31 million euros (almost 106 million RON) this year, 9% more in euros against the...
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Investors battle to catch the best wind
Tulcea County in Romania, covering most of the Danube Delta, is traditionally known for its many windmills. A map of wind currents shows that Tulcea is the best...
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Netmaster considers how much to claim in damages from Goliaths
After years in court against Vodafone and Orange and a recent complaint to the Competition Council on the unfair practices of the market giants, Netmaster Communications, a small...
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Dial Telecom expects 6m-euro turnover
Alternative fixed telephony and Internet Dial Telecom last year had a turnover worth some 5 million euros and an EBITDA of 14% according to company officials. They estimated...
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APIA buys software and services worth 4.7m euros
A consortium made up of Romanian software developer Siveco and Polish systems integrator ABG Ster-Projekt has won a contract worth 4.7 million euros following a tender organised by...
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Amrom Automotive buys 1.5m-euro debt
Amrom Automotive 2006, whose chairman of the Board of Directors is the former vice-governor of the NBR (National Bank of Romania) Vlad Soare, intends to buy receivables worth...
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Cora steps into the black (MORE)
Romania Hypermarche, the company that manages the Cora network in Romania, posted a turnover worth almost 640 million RON (177 million euros) last year, a 56% increase against...
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Foreign investment balance on Stock Exchange
The second quarter meant a balancing of the capital inflows and outflows on the market and of purchase transactions with sales transactions. Net inflows and outflows in the...
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Dunca Expeditii plans to make 1.3m-euro profit
Dunca Expeditii, a transportation and logistics company, this year plans to boost its turnover and income, as well as enter the tourism business. Romeo Dunca, the general manager...
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ING Real Estate opens Romanian branch
The ING Group real estate investment division, ING Real Estate, will open a branch in Romania, which will become operational at the end of the year, announced ING...
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Plasma display market set to exceed 9,800 units
The domestic plasma display market, including both products that can be used only as TV sets and multifunctional plasma screens, will witness sales of 9,800 units this year,...
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BRD: NBR decisions show in loan costs
BRD-SocGen, the second biggest bank in the system, has recently raised the interest rate for the RON-denominated Expresson Lejer personal loan by two percentage points to 12.9% per...
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MKB willing to pay 6 RON per Romexterra share
The representatives of Hungarian bank MKB are offering the shareholders of Romexterra, one of the small banks on the market, a price of 6 RON (1.66 euros) per...
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Altex opens new Media Galaxy
Dan Ostahie, the chief executive of Altex, the largest electronics, home appliances and IT & C products retailer in Romania feels there is a slight rise in sales...
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Moritz Group develops 60m-euro project
The Irish Moritz Holdings, which discreetly entered the market at the end of last year, is developing a real estate project put at over 60 million euros in...
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Romanians' migration to advance only 4-5 percent after EU accession
Romanians' migration will advance only 4-5 percent after Romania's EU accession in January 2007, while the Romanian labour market will become attractive even for the experts who left...
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Increasingly more Romanians are interested in life insurance
The life insurance contracts signed in Romania are gradually replacing premium products (house and car insurance), the middle-class clients being aware of their usefulness. In the opinion...
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Romanian GSM Holding ? Dasimpex merger
The Competition Council authorised the economic concentration operations carried out by Romanian GSM Holding and Florin Sorinel Stoica Merlusca through acquisition of joint control over trade companies Dasimpex...
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Romtelecom to be listed in 4Q-06
According to press reports the Romanian Communications minister stated that Romtelecom, OTE's 54% subsidiary, will be floated in October or November 06, while Romania expects to collect circa...
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LG Electronics brings new LCD ? DFC technology monitors to Romania
LG Electronics group, leader in electronics, electrohousehold appliances and mobile telecommunications launched on the Romanian market a new series of Flatron monitors equipped with DFC technology to ensure...
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SAPARD funds to be suspended (UPDATE)
The SAPARD funds aimed at financing the rural development projects will be ceased as the application forms request more money than the Fund can provide. The requested...
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Foreign capital inflow on stock exchange doubles
Total net capitals that entered the Bucharest Stock Exchange and the Romanian Securities Market (Rasdaq) attained 30 million euros at the end of the first quarter of this...
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Small company vs. market giants: "others do not have the courage to join us"
The executive director of the company that complained to the Competition Council and the National Communications Regulatory Authority (ANRC) ; about the practices of Vodafone, Orange and RomTelecom...
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Amrom set a plan to buy ARO piece by piece
The Romanian company Amrom Automotive 2006, whose chairman of the board is former deputy governor of the National Bank of Romania Vlad Soare, plans to buy a 1.5...
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Court cancels freeze on Balkan shares
A Bucharest court decided that the prosecutor's order to freeze the shares held by Balkan Petroleum in Rafo Onesti was unwarranted. The Prosecutor's Office of the High Court...
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Ardaf plunges on stock exchange
Insurance company Ardaf Cluj-Napoca was back on the stock exchange, after trading was suspended on Wednesday, only to lose 25 percent of it list price. Over 42,000 shares...
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Hyundai sales double
Hyundai sales on the Romanian market increased by 96% in the first semester of the current year, comparing with the same period of 2005 with approximately 3,350 cars...
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Logan sales up in Morocco
One year and one week since the launch of the Dacia Logan in Morocco by Renault Morocco, the company has sold approximately 1,000 cars. The Romanian car became...
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ANT chief: ?The littoral is the black spot of Romanian tourism?
The compromised summer season on the Romanian littoral and implicitly the decrease this year of the receipts from tourism have conducted to the launching of tough accusations by...
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Unions: Defence industry works at 10 pc of its capacity
The companies working for the defence industry going bankrupt appears inevitable in the context of Romania?s accession to the European Union, despite Romania being a NATO member, therefore...
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EUR 177 M turnover for Cora last year
The company Romania Hypermarche, the administrator of Cora network in Romania, registered last year a turnover of almost RON 640 M (EUR 177 M), up 56 per cent...
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EUR 500 M laundered in Romania in past 2 years
According to the National Bureau for Money Laundering Combating and Prevention (ONPCSB), in 2006 nine money laundering cases reached the Court, with 15 files in which 39 people...
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Cosmote launches new card offer
Mobile phone operator Cosmote has launched for the Romanian users a new offer for recharging card, the EUR 3 recharging card, the company announced in a communiqué. The...
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SAPARD programme to be terminated on August 1
he last day for submission of SAPARD funding applications is July 31, the Payment Agency for Rural Development and Fisheries announced in a news release issued on Thursday....
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Petrom claims EUR 45 M damages
Petrom officials claimed up to 54,500 tonnes of oil products are missing from the stocks of oil products in the custody of Petrotrans and Conpet, with damages amounting...
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La Festa expects 20% increase
La Festa Romania, producer of natural juice brands Tedi and Tymbark, plans to increase turnover by 20% this year, to some 43 million euros. "In terms of sales...
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Cargus targets 40% market share
Cargus, the main player on the domestic courier service market has boosted its market share after the first six months from the 23.5% it held at the end...
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Wine imports reach 10m euros
Since the beginning of 2006, the Spanish have sold almost 150,000 hectolitres of wine on the local market, worth over 1.3 million euros, which is in stark contrast...
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Akrom Akal lays off half of personnel
Akrom Akal Textile Romania (Akrom Akal Textiles Romania), one of the top three players on the local textile market, has reduced its production portfolio and has laid off...
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Radulescu: CEC price may not go below 500m euros
The price for 69.9% in CEC (Savings Bank) may be lower than one billion euros, but there is no way it can be lower than 500 million euros, says ...
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Dermatocosmetics weigh 20% in Help Net business
Help Net Farma, the company operating one of the biggest pharmacy networks on the market, registered 100% sales growth during the March 2005-March 2006 period compared with the...
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Eximtur expects turnover to reach 25m euros
Eximtur this year will derive turnover worth 25 million euros despite the steep decline domestic tourism has been witnessing in 2006, believes Lucia Morariu, general manager of the...
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SIF Muntenia H1 profit, 30% above full-year projection
SIF Muntenia posted an income of 83.78 million RON (23.67 million euro) in the first half of the year, over three times higher than the net profit from ...
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Ardaf shareholders have to come up with 31 million euros
ARDAF shareholders will have to contribute 30.9 million euros to the share capital of the insurance company by September 30 this year, according to a decision of the...
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Industry rally boosts Rondocarton revenues
The Cluj-based Rondocarton company, a producer of corrugated cardboard, in the first six months of this year registered turnover worth 12.8 million euros (46 million RON), up 15%...
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Romanian city to benefit from EBRD loan
¤15 million to improve streets and transport in City of Sibiu The City of Sibiu, in central Romania, will have improved transport services with the help of a...
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Carrefour expands its Romanian empire
Europe?s largest retailer Carrefour has announced plans to invest ¤82m in Romania, following the purchase of key land sites in the country and the recent acquisition of the...
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ND SatCom Market Leader In Romanian Broadcast & Media Solutions
ND SatCom has implementaed several innovative broadcast projects in Romania. Dieter Dreizler, Sales Director of ND SatCom, emphasises that since its market entry in 2000, ND SatCom has become the market leader for innovative broadcast & media solutions in Romania.

?Our business activities in the Romanian broadcast community have become quite diversified. As an outstanding example, ND SatCom recently integrated the biggest productionSNG in the company?s history for a privately owned TV station. The vehicle was constructed for six cameras and cutting facilities?, states Dieter Dreizler.

The company also delivered SNG uplinks based on ND SatCom?s SkyRAY antenna subsystems for a public TV station and an SNG service provider. Additionally, a 6.3m earth station and a 3.7m antenna facility supporting a cable operator?s uplink process, and three 3.7m uplink stations for a playout TV application of a pay TV channel were implemented.

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FDI Estimated to Reach ¤7.5 mil in '06
Romania could receive foreign direct investments worth 7.5 billion euros this year in greenfield projects and big privatisations, according to a survey conducted by the European banking group...
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Finmeccanica: Partnership In Romania For Alenia Aeronautica
Alenia Aeronautica a company of the Finmeccanica group has announced a new partnership in Romania. It said at the Farnborough Air Show that it signed an agreement with...
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ARCE will Take Part to the Energy Intelligent Europe Programme
The Romanian Agency for Energy Conservation will take part with 66,460 euros to the programme Energy Intelligent Europe of the European Commission for the period between 2006 ?...
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The First Photovoltaic Power Plant to be Inaugurated on 28 July
The first photovoltaic power plant in Romania will be inaugurated on 28 July at 12 :30 in Bucharest, according to ACT Media news agency reports.The power plant of...
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Retail Companies' Turnovers Increase by 25 %
Companies operating mostly in the retail trade field (excepting the trade with cars and motorcycles) recorded turnovers up by at least 25 percent January through May this year...
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Companies Have More Bank Deposits Than Loans
Romanian companies have more bank deposits than loans, the opposite than the rest of Europe, reads a report on financial stability recently presented by the National Bank of...
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Direct Subsidies Granted to Energy Services will Disappear in 2007 (MORE)
Direct subsidies granted to energy services will have to disappear after Romania?s accession to the European Union, as ,according to the estimates, over 13,500 billion lei are destined...
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Foreign Companies Interested in Investing in Electrocentrale's New Unit
Three foreign companies ? AES Corporation (USA), Prisma Energy (USA) and Brikel (Bulgaria) ? have submitted interest letters for attending the construction of a new production block in...
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MEC Needs International Consultant for the Restructuring of the Energy System
The minister of economy and Trade (MEC) will organise an international bid for the choice of a consultant to design a study to be the foundation of the ...
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Direct subsidies granted to energy services will disappear in 2007
Direct subsidies granted to energy services will have to disappear after Romania?s accession to the European Union, as, according to the estimates, over 13,500 billion lei are destined...
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World Bank is against the draft for compulsory home insurance
The World Bank is against the governmental draft of launching a compulsory home insurance against natural hazards, under the form presented by the government, stated on Wednesday general...
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NGOS To Help Families And Communities With Funds From The U.S. Government
According to a press release sent by US Embassy in Bucharest, families with aging parents, Roma schoolchildren, businesspeople from Ardeal and refugees ? with support from the U.S....
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More than 3,000 suspect deals in terms of money laundering this year
More than 3,000 suspect deals in terms of money laundering this year are currently being investigated by the Romanian National Office for Preventing and Combating Money Laundering (ONPCSB),...
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Foraj Sonde S.A. Closes 2005 In The Black
Foraj Sonde S.A. (FOSP) closed last year with 84,336,300 ROL in profit amid significant growth of oil & gas related services. FOSP shares peaked at 23 RON/share in...
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Cometex S.A. Suceava Takes Over Nada Florilor Altex S.A. Piatra Neamt
Nada Florilor Altex S.A. will be taken over by Cometex S.A. Suceava in keeping with a decision that Cometex shareholders made on December 28th, 2005. Cometex retails apparel...
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Romania continues to assign state aid for development regions
Romania will have the possibility, after the EU accession, to assign state-funded aid for the eight development regions, in the limit of maximum 50 per cent of the...
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?Sixt New Kopel? signed EUR 20 M operational leasing contracts
The company Sixt New Kopel Romania announced the signing of operational leasing contracts of EUR 20 M, for groups of vehicles of over 500 units. According to a...
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Orange, Vodafone, RomTelecom - alleged abuse of dominant position
Competition Council initiated, further to complaints filed by Netmaster Communications Bucharest, an investigation into a possible abuse of dominant position by the three telecom operators. Further to...
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MTCT wants to speed up motorway works through concession
The Ministry of Transport, Construction and Tourism (MTCT) wants to speed up infrastructure works by resorting to concession contracts on segments of motorway, according to Minister Radu Berceanu....
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Franchises generate 800 million euros worth of annual turnover in Romania
Franchises generate 800 million euros worth of annual turnover in Romania, say recent data from the Association of Franchise Chains in Romania. The companies on the alcoholic drinks...
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UniCredit: Strengthening the monetary policy could maintain the inflation trajectory
The Italian analysts point to an inflation rate of 7 pc and an economic growth of 5.5 pc for the current year. The continuous strengthening of the monetary policy...
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Maritime freight traffic up 89.44%
The freight traffic through Constanta harbour grew by 89.44% in the first six months of the year against the same period of last year, reaching 5,776,897 tonnes, informs...
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Leasing transactions on vehicle market up 46%
The number of vehicles acquired in leasing grew by 46% in the first six months of the year against the similar period of last year, to 58,438, cumulating...
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GLL looking for Bucharest's real estate rare pearls
German-based GLL Real Estate Partners, administrator of Accession Fund, which recently purchased the Charles de Gaulle Plaza building in Bucharest, will invest about 70 million euros in two...
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Bantam phone company accuses market heavyweights of abuse
Netmaster Communications submitted a complaint to the Competition Council accusing Vodafone, Orange and RomTelecom of abuse of their dominant market share. The company also has trials pending with...
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CSA places Ardaf Cluj under special administration
The Commission for Insurance Supervision (CSA) has placed Ardaf Cluj under special administration, deciding to withdraw its support for the members of the Board of Directors, and turning...
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Ford still pondering bid for Daewoo Craiova (MORE)
Ford has yet to make a decision about whether to bid for the controlling interests in Daewoo Craiova, the head of Ford Motor's European division John Fleming told...
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Hidroconstructia teams up with foreign firms
"Conditions of contract documents for tenders have very strict criteria, barring Romanian companies from winning major contracts," says Emil Timofti, general manager of Hidroconstructia, Romania's biggest construction ...
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SIF Oltenia and Banat-Crisana exceed expectations
In the first half of this year SIF Oltenia derived net income worth 91.5 million RON (25.8 million euros), the biggest profit of the four financial investment companies...
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Allianz-Tiriac posts 37% growth in five months
Insurance company Allianz-Tiriac posted underwritten gross premiums worth 128 million euros in the first five months, an increase of 37% from the same period in 2005, with the...
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GED Capital buys Dasimpex GSM retail chain
Spanish investment fund GED Capital Investment is to take over the controlling interests in the Dasimpex group of companies, which operates one the biggest GSM equipment retail chains....
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New rules for 3G license tender
The task book for future owners of 3G generation licenses provides they will be obliged to develop telecommunications networks that should cover, by the end of 2011, 11...
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EIB finances new Bucharest subway line
The government will take out a 41.5 million euro loan from the European Investment Bank (EIB) for the rehabilitation of the water supply networks in the cities. The...
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Ford undecided on Daewoo Craiova
American-based company Ford has not made a decision regarding the launch of an offer for the local carmaker Daewoo Craiova, said the Ford Motor Europe Director John Fleming....
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2.7m euros grant for tobacco producers
The government will allocate 2.67 million euros for the payment of financial aid to tobacco-producing farmers for the production delivered from the beginning of the year until April...
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Rominserv wins tenders
Rominserv Valves IAIFO Zalau won two contracts for the production and supply of equipment for American-based Emerson, their value amounting to 322,000 euros which amounts to a leader...
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TBI Leasing, 2,500 contracts in six months
In the first six months, TBI Leasing closed some 2,500 contracts, with a value of funded goods standing at 31.5 million euros without tax, witnessing a 22.5% increase...
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Alro signs contracts worth over 22m euros
Since last year Alro Slatina, the biggest primary aluminium smelter in Central and Eastern Europe, has closed contracts worth several tens of million of euros with other companies...
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Libra Bank launches debit card
Libra Bank launched the Visa Classic Libra Bank debit card. Features of the service include no fees on deposits or withdrawals and no renewal fee. The debit card also...
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Sibiu Exchange abandons shares listing
Brokerage companies HTI Valori Imobiliare, Swiss Capital and SSIF Broker renounced the proposal of the general shareholders assembly of the Sibiu Commodities and Financial-Monetary Exchange (BMFMS). Petru Prunea,...
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Siveco to list shares
Romanian software producer Siveco Romania could list its shares by 2009 if two of the company's shareholders, Intel Capital and Polish Enterprise Fund (PEF 5), do not sell...
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Martens sells 27% more beer
Galati-based Martens, one of the medium-sized producers on the beer market, saw a 27% increase in the volume of its sales in the first half of this year ...
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Tractorul officials request PM's help
Tractorul officials requested Prime Minister Tariceanu support the granting of an 837,000 euro subsidy, representing value-added tax (VAT) reimbursements and to assist in the establishment of a clear...
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EC: Fund absorption also depends on beneficiaries
The absorption capacity of European funds does not depend exclusively on the government but also on the potential beneficiaries, the head of the European Commission (EC) Delegation in...
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Bucharest apartment prices not ready to come down
Three-room apartments in the main residential areas of Bucharest registered a year on year increase of 22 percent in the first quarter and experts believe the trend is...
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Proprietatea Fund becomes WTC Bucharest shareholder
The Proprietatea Fund became a shareholder in the World Trade Center Bucharest after buying a 19.9 percent stake in the company from the Authority for the Recovery of State Assets (AVAS). The nominal capital of WTC Bucharest remained unchanged at approximately 2.2 million euros following the transaction. World Trade Center Bucharest was created in 1994 as a multinational company in which the Romanian party held 55 percent of the shares, the rest belonging to several French companies. The company registered revenues last year totaling 14.8 million euros, 15 percent less than the previous year. Additionally, WTC Bucharest had debts owed to AVAS amounting to more than 60 million euros.

The Proprietatea Fund submitted a legal complaint against the oil company Oil Terminal, as the latter allegedly has not paid the fund dividends owed for 2005. The Proprietatea Fund requested the annulment of a decision made by Oil Terminal's general shareholders assembly on May 26, through which it approved the payment of the dividends would go to the Ministry of Economy and Commerce (MEC), but only after the latter and the Proprietatea Fund determine a way to share the dividends. MEC is the main shareholder (59 percent) of Oil Terminal along with the Proprietatea Fund (10 percent) and the investment fund Broadhurst Investment Ltd.

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EBRD supports solid waste management programme in Romania
¤6.2 loan, supported by EU, benefits Arges County The EBRD is lending the County of Arges, in southern Romania, ¤6.2 million to support a solid waste management programme...
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Hong Kong opens door for Romanian companies on Chinese market
Hong Kong is the place to start for Central European companies that want to start a business on the fast-growing economy of China, argued the Regional Director of...
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Accenture hires outsourcing experts
Accenture, a US outsourcing services firm, will effectively start operating on the domestic market in December, says Alasdair Glen, chief of Accenture operations in Romania. Accenture entered...
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Smithfield Expands in Romania (MORE)
U.S. pork-processing giant Smithfield Foods, Smithfield, Va., will invest more than $75 million in 2006 to retool Comtim, its pork processing complex in Timisoara, Romania. Smithfield first entered...
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Public debate starts on construction of Bucharest
"The Bucharest District 2 Hall launched public debates on the project concerning construction of the Bucharest ? Brasov motorway, Nine o' Clock reports. The motorway is to be...
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Financial Bids for CEC Privatisation Open July 25
The financial bids for the privatisation of the Loan and Savings Bank (CEC) will be opened on July 25 and the final winnerwill be announced within two months,...
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Citibank Eyes Expansion
Citibank believes it is not worth paying the high prices on the Romanian banking market to expand by an acquisition, so that, at least for now, it will...
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EFG Eurobank Explains Withdrawl from CEC Race
The Greek bank EFG Eurobank announced their decision not to take part in the CEC privatisation, choosing a strategy of growth on the Romanian market through its branch,...
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Insolvency Law to Force Better Structuring of Economic Units
The enforcement of the Insolvency Law later this week will force a better structuring of the units operating in the Romanian economic climate, since their activity is going...
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Half of SMEs Raise Banking Loans for Investments
The share of the SMEs which raise banking loans rose from 31% in 2005 to 47% this year, according to an analysis of the National Council of Private Small ...
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Issues of Public Securities Should be Carried Out During Budgetary Intervals
The National Bank of Romana (BNR) considers that there should be issues of public securities in the periods characterized by budgetary surplus too, also appreciating as a mistake...
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Moroccan- Romanian Trade Exchanges Exceed $90 mln in 2005
Value of commercial exchanges between Romania and Morocco attained at last year-end the value of 93 million dollars, a level"far away of real possibilities," Minister of Economy and...
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MEC sold the armament factory UM Filiasi to Retrom Pascani company
The Romanian Ministry of Economy sold all 100% of the armament factory Uzina Mecanica Filiasi for 5 million RON, the equivalent of 1.4 million Euros, to the Retrom...
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Home insurance may become compulsory
The Ministry of Administration and Interior prepares a draft law according to which homeinsurance will become compulsory starting next year, according to ACT Media news agency reports.Homeinsurance could...
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Bosch Romania expects 100 million-euro sales in 2006
The German group Bosch, producing electrical tools, spare parts and accessories, and heating substations, is to double its business in Romania in 2006, Ziarul Financiar daily reports. ...
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Smithfield Group wants full control of Romanian operations
US-based Smithfield Group will take over Agroalim Distribution and Frigorifer Tulcea in full by 2008, Ziarul Financiar reports. Lebanese national Mounir Halawani, one of the leading players in...
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World Bank backs the implementation of the e-governance project in Romania
The World Bank financially backs the implementation of the e-governance project in Romania, said Prime Minister Calin Popescu-Tariceanu. He asked the competent authorities to draw up by year-end a...
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Celhart Donaris Ups Share Capital By 7 Mln RON
Shareholders in Celhart Donaris S.A. - Braila on July 13th convened and authorized a share capital increase by 7,412,545 RON, equal to 2,963,018 shares subscribed by Ecopack S.A....
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Rasnov Power Tools Increases Capital
Rasnov Power Tools (Fabrica de Scule Rasnov) will increase share capital by 5,533,245 RON to 14.22 million RON. The 2.2 million new shares have a face value of...
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Petrila Mine Makes 2.5 Mln RON Investment
The Petrila Mine on Friday inaugurated a new electro-compressor station that will ensure the compressed air supply required in the mine. The investment amounted to 2.5 million RON...
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Sandoz Plans To Export 80% Of Production
Sandoz will export the medicines produced in Targu Mures also to the United States, according to Sandoz chairman of the Board Iztok Sever. "This makes us very proud...
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TinaR To Open 10 New Stores By End-2007
Fashion company TinaR plans to open 10 new stores in Bucharest and other major cities in the country by the end of 2007. The company currently has 30 ...
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Cristescu brothers bring 3.5m euros to Faur
Faur, a company specialising in producing rolling stock, increased its share capital by 3.5 million euros, according to a report of the General Meeting of Shareholders. The capital...
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Electrica Banat's profit down by half
Energy distributor Enel Electrica Banat, controlled by Italian utility giant Enel, posted a gross profit worth 19.7 million euros last year, almost half the 32.3 million euros seen...
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5% of Braiconf change owner
Shares of the clothing manufacturer Braiconf Braila, were the object of a large transaction on the RASDAQ market on Monday, through which a total of 5.8% in the...
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Raiffeisen invests 6m euros in 40 branches
Raiffeisen Bank, the third largest bank on the market, plans to make investments worth about 6 million euros to expand the 40-branch network to a total 255. In...
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Brokers are at loggerheads
Less than a year since the merger between the Stock Exchange (BSE) and the RASDAQ was completed, which led to the creation of a single stock market, disagreements...
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AVAS takes Kastamonu to court
Kastamonu Entegre, the owner of Romania-based Prolemn Reghin and the biggest player in the Turkish wood industry, was taken to court by the State Assets Resolution Authority (AVAS)...
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Coca-Cola and QAB expand non-carbonated business
The biggest players on the domestic soft drinks market, Coca-Cola and QAB, Pepsi's bottler, have expanded their portfolios on the non-carbonated drinks market, which boasts four times higher...
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Reinert spends 15m euros on cold cuts plant
The general manager of the Reinert charcuterie producer, Ovidiu Bocaniciu, says that before starting production, the company needs to have functional partnerships in place with companies operating in...
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Broker Cluj records 27% drop in profit
The Cluj-based SSIF Broker securities firm on Monday reported a 27% fall in its gross income for the first half of the year, compared with the same period...
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RCS&RDS to pay $6.5 million to Ilie Stoichescu
RCS & RDS will buy from Ilie Stoichescu 2,100 shares, which is equivalent to 4.179 percent of the share capital of Cable Communications Systems NV (Netherlands), the principal...
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Cristian Burci in talks to buy Astra Vagoane from Trinity Industries
Businessman Cristian Burci is in talks to buy Astra Vagoane Arad factory from the Americans at Trinity Industries. The deal also entails buying other companies of the European...
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Dacia to boost turnover by over 1bn euros
French Renault Group, which makes the Logan model, will boost the production capacity of the plant in Ploiesti from 235,000 to 350,000 units by January 2008. This will...
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Ardaf under special administration
The Insurance Monitoring Commission (CSA) placed the insurance company Ardaf Cluj-Napoca under special administration yesterday, deciding that the company's management has endangered the possibility of honoring obligations ...
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More cases of fraud ruin bankers' holiday
The Romanian banking system recently saw an upsurge of fraud cases. Fourteen people have been charged with fraud against Libra Bank while BCR was the target of a...
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Competition Council stops state subsidies granting
The Competition Council decided to stop granting state subsidies for 45 companies who benefit from certificates of investing in disadvantaged areas after investigations performed between March and June...
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Credit still too expensive, says SME agency
Small and medium enterprises (SMEs) have easier access to credits but the cost of loans is still high, which has a negative impact on the competitiveness of Romanian...
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Local budgets receive more funds
The percentage allocated to local budgets from income tax cashed from the state will increase from 63 to 82 percent. In addition, the debt limit for the public...
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Semanatoarea relocates to make room for realty project (UPDATE)
The agricultural machinery manufacturer Semanatoarea will continue production in a new location outside Bucharest as the holder of the factory, MYO-O, reassigned the land of the old facility...
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Constanta commodities transit increases
The commodities transit in the Constanta harbor, over the first six months of the current year, registered an 89 percent increase compared with the same period of last...
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Confidentiality service from Orange
Orange Romania launched yesterday a new service that allows its clients to save the confidential data from their mobile phones on the company's server. The service is called...
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Health resorts must brush up
Health resorts will benefit from European funds for the development of sewage networks while transportation for train station-health resort routes will be assigned to private companies, said the...
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Sibiu Commodities Exchange to transact shares
Shares could be transacted on the Sibiu Monetary - Financial and Commodities Exchange (BMFMS) if the institution's general shareholders assembly (AGA) approves a proposal made by brokerage companies...
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Electronic passport provider to be selected through bidding
After the press revealed that German company Bundesdruckerei had signed a memorandum approved by the Romanian government for providing electronic passports, authorities have announced a tender will be...
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Merkantil to open next year a leasing firm in Romania, in collaboration with OTP
The financial group Merkantil from Hungary, with divisions specialised by consumer credits and leasing, could tap next year the Romanian leasing market in collaboration with OTP Bank Romania,...
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Almost USD 1.4 M to stimulate Romanian exports
The Ministry of Economy and Trade (MEC) signed yesterday, with the Secretariat for Economic Cooperation from Switzerland and the International Centre for Trade from Geneva, an agreement for...
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Alcatel - Lucent Technologies merger authorised by the Competition Council
The Competition Council authorised the merger between Alcatel and Lucent Technologies. As a result of this decision, the local branches of the two companies may also finalise the...
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OSIM: Only 10 pc of the patents are eventually applied
Approx. 5-10 per cent of the patents issued by the State Patent Bureau (OSIM) are eventually used in serial production, either because those who register their inventions don?t...
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Three foreign companies, interested in investing in Electrocentrale Doicesti
Three foreign companies ? AES Corporation (USA), Prisma Energy (USA) and Brikel (Bulgaria) ? have submitted interest letters for attending the construction of a new production block in...
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Vehicle leasing up 46 pc in H1
Leasing transactions in the Romanian automotive market picked up 46 per cent in H1 as compared to the corresponding period of last year, to 58,438 vehicles, accounting for...
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Dacia Renault increases Pitesti plant capacity
Automobile Dacia plans to increase the production capacity of its Pitesti plant by January 2008 from 235,000 to 350,000 vehicles a year, Executive Manager Francois Fourmont stated on...
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Fitch improves Rompetrol risk rating from negative to stable
The action is based on the improvement of Rompetrol group management, including the consolidation of the managing team and the corporate restructuring, Fitch Ratings improved yesterday the...
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CEC acquisition will change hierarchy in Romanian banking system
The CEC privatisation commission will announce the winner of the privatisation process within two months. Some analysts see Austria?s Raiffeisen as most likely to win the race. ...
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CFR C?l?tori Invests in Wagons
To reduce the cost of energy ; and the polluting emissions, CFR C?l?tori will develop a program of 1EUR 80m for the renewal of the wagon stock. The ...
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BCR and CEC's Privatizations Are Different, PM Says
Prime Minister Calin Popescu-Tariceanu stated that there is a big difference between the privatisation of Banca Comerciala Romana (BCR) and that of the Savings and Loans Bank -...
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Ecologically cultivated land expands more than six-fold in last five years
Ecologically cultivated areas in Romania expanded more than six times in the last five years, from 17,438 hectares in 2000 to 110,400 ha in 2005 and for 2006...
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Romania, regional leader in terms of Rolls Royce sales
A standard Rolls client has three houses in different places on the globe, and out of these 60,000 potential clients in the world, some tens are in Romania,...
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Danish investment in rural tourism in Mures
The Danish-based Schreiber Tours Copenhagen has made the biggest investment rural tourism in Mures county /central Romania/ has ever seen, by buying 12 houses in Bagaciu locality, the...
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Only one percent of Romanians access online shopping
The online system for buying clothes is accessed by only one percent of the Romanians, according to a survey made by the German research company GFK in 19...
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Office blocks become the most profitable investments in the real estate sector
The Bucharest business in office blocks and big retail complexes confirms the evolution anticipated by experts, namely of becoming the most profitable investments in the real estate sector,...
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Over 4.6 million, employees' number in end-May
The number of employees (in the units with four employees and more) stood in May at 4.604 million, by 14,300 persons more versus April, according to the data...
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Markos Kiprianu expressed his worry concerning the domain of mental health
During the visit he paid last week to Bucharest, the European Commissioner for health and food safety, Markos Kiprianu asked the representatives of the Romanian ministry of health...
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EU Grants ¤1.9 bn Funds for Railway Upgrade
The European Union will allocate in 2007 some 1.9 billion euros for the modernization of Arad-Drobeta-Turnu Severin and Drobeta-Turnu-Severin-Craiova railway sections, ACT Media news agency reports.The investments...
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Mobile Telephony Penetration Reaches 70% in '06
The rate of mobile telephony penetration will reach approx 70 percent of Romania's population, as compared to the 65 percent in March, when the four mobile phone operators...
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EvoBus GmbH Opens Romanian Subsidiary (UPDATE)
EvoBus GmbH, 100 percent held by Daimler Chrysler, have opened their Romanian subsidiary, EvoBus SRL, to sell and handle warranty cases for Mercedes Benz and Setra buses and...
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RCS&RDS will issue stock
Tri-play services provider RCS & RDS will issue stock in order to increase share capital from 273,066 RON to 12 million EUR in RON-equivalent. The shareholders will convene...
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ABS Launches ERP Solution
Consultancy firm Architected Business Solutions (ABS) has launched an ERP solution for small- and medium-sized enterprises. The ARIS Smart Path includes technology from SAP and IDS Scheer modules...
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Amonil Puts 1.15 Mln USD In Amochim Share Capital Increase
Shareholders in fertilizers producer Amonil - Slobozia on Tuesday authorized the company's participation in the increase in the share capital of Amochim by 1.15 million USD equivalent in...
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Bucharest Fine Mechanics Co. Sets Up Farming Co.
Bucharest Fine Mechanics Co. (Mecanica Fina Bucuresti), a manufacturer of measurement instruments, has set up Itagra, a farming company with a share capital of 3.7 million RON, of...
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Nuclearelectrica extends energy supply contract with ALRO
Nuclearelectrica extended by six months the electricity supply contract with companies in the Alro group, after the contract expired in late June, Nuclearelectrica General Manager announced on Monday....
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EUR 122 M BCR loan for Cernavoda Unit 2 (UPDATE)
The Ministry for Public Finances and the Romanian Commercial Bank (BCR) signed last week a loan contract of EUR 122 M, intended for the financing of construction works...
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SMEs see current business environment as less favourable
Most small and medium sized enterprises (SME) forecast for this year an improvement of economic indices. On the other hand, however, the number of SMEs which see the...
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Raiffeisen Bank to end the year having 250 units
Raiffeisen Bank intends to open 40 new units by the end of the year, thus reaching 255, the credit institution informed on Monday. In the first six months...
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Domestic hypermarket chain developed by PIC group
PIC group based in Pitesti (south), a business developed from ground up by Ilie and Cornel Penescu brothers, plans to invest 25 million euros per store for creating...
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Romania's general insurance market to reach 1.44 billion euros
Romania's general insurance market will reach 1.44 billion euros, up some 20% versus 2005, when it totaled 1.2 billion euros. According to the estimates presented in annual report of...
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Fuel price rises
Starting today, Petrom rises the price of the fuels traded in the distribution network, the new price of gasoline being nine bani per litre higher, and that of...
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Nearly eight million bank cards in circulation in Romania at present
As many as 7.8 million bank cards are currently in circulation in Romania, according to figures provided by the National Bank (BNR). The increase rate in the first...
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Raiffeisen, NBG, OTP in CEC takeover race
Financial institutions interested in acquiring 69.9 per cent of CEC shares will learn in a few days whether they qualified for final stage. International financial institutions Raiffeisen Zentralbank...
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Petrom waits for accession to expand abroad
"Expanding on the international market is an important part of Petrom's strategy and the imminent integration in the EU will allow the company to take full advantage of...
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Baile Felix to be turned into a spa
The management of Turism Felix (in Baile Felix Oradea), which has been preparing the company's listing on the stock exchange in two weeks' time, by selling 77 million...
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Citibank wants to expand organically
Citibank believes it is not worth paying the high prices on the Romanian banking market to expand by an acquisition , so that, at least for now, it ...
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MKB to fund Romexterra's growth through sale of bonds
MKB, the second Hungarian bank to enter the Romanian market, intends to fund Romexterra Bank's development plans through syndicated loans and bond issues denominated in RON and euros,...
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Telecommunication center program continues
The National Radio-communications Company (SNR), Vodafone, Rartel and Orange will install telecommunication centers in 100 villages that have no access to phone services, according to an announcement made...
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Insurers critical of government plans for Disaster Reinsurance Company
Members of the National Association of Insurance and Reinsurance Companies from Romania (UNSAR) do not agree with setting up the Disaster Reinsurance Company (CRID) and recommended to authorities...
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Agricultural service companies free to sell land
The government decided to eliminate the ban on companies that provide agricultural services to sell land, according to official sources. The privatization contracts of such companies involve, according...
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Three giants fight for the Savings Bank (MORE)
National Bank of Greece, Hungarian OTP Bank and the consortium formed by Raiffeisen International and Raiffeisen Zentralbank yesterday made commitment offers for the takeover of the National Savings...
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Euronet to manage Piraeus cards
Euronet Services, the local branch of Euronet Worldwide, will administrate the credit cards issued by Piraeus Romania, according to the company's representatives. Euronet will take charge of both...
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Oltchim's sale, next year at the earliest
The privatisation process of the Oltchim plant cannot be initiated this year because it has to go through a series of legal steps, which will take a few ...
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Total Lubrifin posts losses
Total Lubrifin, controlled by the fourth biggest petroleum group in the world - Total (France), saw losses worth 1.7 million euros (6.2 million RON) in 2005, the company's...
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Azur sells 7% more paint
Timisoara-based paint producer, Azur, a branch of ICC Industrie INC New York, in the first six months of the year registered turnover worth over 4.7 million euros (17.1...
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A&D Pharma can afford "sizable" acquisition
Officials of A & D Pharma, the biggest pharmaceutical group in Romania, say the funding they have just secured will allow them to consolidate their position on the...
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PHARE funds for fishing sector
The National Agency for Fishing and Aquaculture (ANPA) will benefit from PHARE funds amounting to 700,000 euros, the sums being allocated for the preparation of this sector regarding...
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BCR finances work on Cernavoda reactor
The Ministry of Finance and the Romanian Commercial Bank (BCR) closed last week a 122 million euro loan contract to finance works on the second reactor of the...
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First Wizz Air flight
Wizz Air inaugurated its first flight in Romania yesterday on the Targu Mures-Budapest route. The company will have three flights a week (Monday, Wednesday and Saturday) leaving from...
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Blue Air hosts new flight
Flights operator Blue Air will launch a new flight from Targu-Mures to Valencia at the end of October, while departures are also being scheduled for Bucharest and Arad....
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BCR Leasing, 62nd in Europe
BCR Leasing ranked 62nd last year in a classification of European leasing companies by total value of contracts closed for financing purchases of goods of all categories, according...
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Energy restructuring looking to equalize prices must pass EU scrutiny
The cost-equalizing reorganization of the Romanian energy sector needs approval from international financiers and the EU, making Economy Minister Seres' plans to see the new system running this...
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SMEs grow dissatisfied with business environment
Most small and medium-sized enterprises forecast an improvement of economic indices, but only half of those that proclaimed last year that the Romanian economic environment encourages businesses still...
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EON Reality teams up with Net Brinel
US company EON Reality, the world's leading supplier of 3D interactive solutions, has entered the Romanian market, sealing a partnership with the Cluj-based Brinel SA company. EON...
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Three Finalists for CEC's Privatization (MORE)
Three banks submitted their bids for the privatization of the Romanian Saving House (CEC) on Monday. The third bank in Greece, Eurobank, pulled out from the race, according...
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Nonferrous Metal Industry Stands Between Profit and Bankruptcy
Romania's nonferrous metal processing industry records significant growth as a result of spectacular rises in world prices for raw materials, while the quarrying industry swiftly heading for bankruptcy...
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Logan effect: Arcelor and Bamesa build 30m-euro factory (UPDATE)
European steel giant Arcelor and Spain's Bamesa company, yesterday announced they would invest 30 million euros in building a steel service centre in Topoloveni (Arges County) for the...
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Banks Submit Binding Offers for CEC Stake
Three foreign banks, including Austria's Raiffeisen Bank, the National Bank for Greece and Hungary's OTP have submitted binding offers to buy a majority stake in the Romanian National...
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RCS&RDS expects $300 million revenues
CATV and telecommunications company RCS & RDS Romania forecasts it will reach turnover worth almost 300 million dollars this year, up approximately 50% year-on-year. The company's representatives told...
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Demand for Managers to Increase Following Romania's EU Accession
Romania's European Union accession is to boost demand for managers as a result of the entrance of new companies on the Romanian market and of the transfer to...
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Imported Gas Price Might Increase in Winter
A stagnation of the Romanian importation from the Middle East countries and a possible increase in winter of the imported gas price are the main implications of the...
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Factors That Hinder the Production
A survey conducted by the National Bank of Romania on the current situation of industry and constructions found that ?the general outlook is positive?, ACT Media news agency...
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MOL Prepares Romanian Expansion
MOL Romania Petroleum Products is looking to consolidate its position on the local market through acquisitions of gas stations and refineries, according to BusinesRomania.com. ; From the profitability...
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Piraeus Bank ?Upgrades? its Mortgage/Estate Credit
Piraeus Bank grants upgrades it's mortgage/estate credits to a broader category of clients, ACT Media news agency reports. ; The credits are made accessible to applicants employed with...
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Citigroup Approves Syndicated Loan of ¤100 mil for A&D Pharma (UPDATE)
Citigroup Corporate and Investment Banking - the corporate banking division of Citibank Romania S.A - A & D Pharma and Deloitte Romania successfully completed the syndication of a...
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1/4 of EU Funds Are not Justified
Nearly one quarter of the funding provided to Romania by the EU for various projects have not been yet justified due to delays in works, exceeding the submission...
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Hungarians 2.4 times more prolific than Romanians
In the first quarter of 2006, the number of companies going bankrupt went up 15% while in Romania it topped 54%, and a Romanian produces 2.4 times more...
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Labour productivity increases 10 percent over first five months
The labour productivity in industry advanced 9.9 percent over the first five months of the year, compared to the similar period of the last year, the National Statistics...
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Price index of industrial production advances 6.4 percent in May as against December 2005
The price of industrial products advanced 6.4 percent in May 2006 as against December 2005, according to data of the National Statistics Institute. The ascendant evolution of prices in...
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Arcelor, Spain's Bamesa set up Romania steel centre
Arcelor, the world's second-largest steelmaker, is to set up a steel service centre in Romania with Spain's Bamesa, the two companies investing 30 million euros ($38 million) until...
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Software Development Center Established in Iasi, Romania
Transaction Systems Architects (www.TSAInc.com) is a leading international provider of software solutions for electronic payment systems used by many of the world?s largest banks, retailers and payment processors....
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Middle East conflict hits Bucharest bourse too
The conflict in the Middle East that weakens the placements of foreign investors associated with the 30% increase of stock prices in the last three weeks were the...
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BNR has drawn 10 bn lei from banks in the first half of July
The central bank has drawn in 2 bn lei from the banking market (557.26 million euros) in three-month deposits with an average yearly interest of 8.68% (whereas the...
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Romania to receive 17 bn euros in EU funding to reduce gaps
In the interval 2007 ? 2013 Romania will receive over 17 bn euros from the EU budget to reduce development gaps; the rest till 30 bn euros (the total ...
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The banking system, warned by BNR in relation to Jovanovic case
The banks from Romania did not provide loans to the companies belonging to Jovanovic group based on fake cheques, in spite of attempts to get loans from three...
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Taxes in 2007
Fiscal Code, which is due for enforcement on January 1, maintains the levels of the main taxes but brings raises, not very significant, in relation to secondary taxes....
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Dracula Park wants to float on stock exchange
Shareholders of Dracula Park have recently approved floating the company on the stock exchange, as well as increasing the investment limit on the capital market from one million...
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World Bank approves 106 million dollar loan for Romanian cities
The World Bank (WB) has approved a 106 million euros credit to help local governments in Romania develop their water infrastructure, the bank said in a statement Friday....
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Changes in BCR's Board as privatisation nears completion
Four of the seven members of BCR's Supervisory Board will hand in their resignations early next month, while Daniel Daianu, chairman of this Board will give up his...
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Bancorex debt paid with public money
The government has approved through an emergency ordinance that the debts of the bankrupt Bancorex, resulting from possible litigation, be covered by public money within the limit of...
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Romanians' appetite for imported vehicles on the rise
The sales of domestic vehicles went down in the first half of the year compared with the same time last year, while the number of imported vehicles went...
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Mutual funds market up 40% in H1
Assets of mutual funds grew by 40% in the first six months of the year, given the big number of companies managing bank investments that entered the market...
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EFG Eurobank goes ahead with expansion plans
Bancpost, controlled by the Greek group EFG Eurobank, will go ahead with its expansion strategy, not taking into account the privatisation process of the CEC (the Romanian Savings...
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Termoelectrica 1.2 billion euro debt erased
The Competition Council approved for Termoelectrica debts to be erased and a Romanian delegation go to Brussels on July 27 to give more details to European authorities. The...
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Rompetrol share distraint lifted
The Bucharest Tribunal admitted last Friday the request for lifting the distraint on the 25.8% shares belonging to the Rompetrol Rafinare SA Group that were still under seizure....
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Romgaz dividends for Proprietatea Fund
The Proprietatea Fund could receive dividends amounting to 5.8 million euros from Romgaz Medias with a 15% participation of the natural gas producer. The fund can receive the...
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Car sales up 7.8% after Q2
Car sales amounted to 117,456 units in the first six months, up 7.8% in comparison to the similar period in 2005. The commercial vehicles market lowered by 7.9%...
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New general manager at JTI
Tobacco producer JT International Romania announced that starting June 1, 2006 Martin Southgate has taken over as the new general manager and vice president of the company. Southgate...
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Bio-diesel factory in Medias
The oil drilling and construction company Dafora Medias wants to increase its nominal capital by approximately two million euros and float its shares on the Bucharest Stock Exchange...
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Lafarge Agregate issues first dividends
Lafarge Agregate Betoane shareholders will receive dividends for the first time since the creation of the company, which was created in 1998. This first payment of dividends totals...
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Over 50m-euro sales for Mega Image stores
Mega Image stores, owned by the Belgian group Delhaize, posted a turnover worth some 54 million euros (196 million RON) last year, a 50% increase against the 36...
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Sales increase at Tiriac Auto
Units sold by Tiriac Auto hiked 65 percent, to 12,207, in the first two quarters of the current year, compared with the same period last year. Company officials...
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Vel Pitar bets on neighbourhood bakeries
Milling and bakery industry producer Vel Pitar will increase the number of specialised bakery shops to 50% of the company's total retail space in the next three years,...
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Romania circumspect when using European funds
About one-quarter of the funds granted to Romania by the EU for various projects have not yet been accounted for due to delays in works, late submissions of...
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Used car taxes could trigger EU fines
Taxes on used cars outlined in the Fiscal Code could violate the EU Treaty and could lead to "extremely harsh" financial penalties, according to Leonard Orban, state secretary...
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Merril Lynch: CEC worth 500 m euros, bank's president: "You make me laugh"
The National Savings Bank is the fifth largest bank in Romania. ...
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Bosch Romania expects 100m-euro sales this year
German group Bosch, whose business involves electrical tools, automotive parts and accessories, and heating substations, plans to double its business in Romania in 2006. "We want to...
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EU official: Romania's accession not endangered by agriculture issues
Romania could face delays in fulfilling engagements such as fighting swine fever and stray dogs but these problems should not impede the accession, said Health and Consumer Protection...
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Masterfood awaits market development to build a plant
Masterfoods Romania, the domestic arm of Mars Incorporated, one of the world's biggest producers in the food industry, estimates it will consider opening a production facility in Romania...
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Office equipment business to reach 400m euros in 5 years
The market of stationery products, office supplies and office furniture might double by 2010, amid the large number of companies entering Romania and the rising number of "office"...
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Mittal's plant claims over 25 lives since takeover
Controversy surrounds a Romanian steel plant bought by tycoon Lakshmi Mittal, with a report on Sunday saying that scores of workers had died or were injured in accidents...
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Estee Lauder sees growing demand for luxury products
Estee Lauder Romania, an importer of luxury cosmetics, is banking on intense traffic locations, such as commercial centres or malls, to expand its product distribution network. Marina...
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Offers for state-owned CEC bank might disappoint Romania
Romania's government is likely to be disappointed on Monday when it opens bids for the country's last large state-owned bank, raising the possibility it may call off the...
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Romanian textile industry is likely to find itself abandoned from Asia
Romania textile industry which used to be highly appealing for European fashion houses owing to its cheap labor force and low-price raw material will soon find...
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MKB reveals details of planned acquisition in Romania
MKB Bank Rt has revealed details of its planned acquisition of Romania's Romexterra Bank. MKB said on Thursday it signed a contract on its intention to purchase at ...
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4,902 companies foreign capital ?owned registered during the first five months in Romania
A number of 4,902 companies with foreign participation to the social capital were registered in Romania, during the first five months of the year, worth of capital 1,...
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Electrica Transilvania Nord finalized with a gross profit of over 17 million RON the Q1 2006
Electrica Transilvania Nord concluded Q1 of this year with a gross profit of 17.183 million RON at a turnover of 217.552 million RON, according to the data presented...
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Electrica encounters harmonization problems with investors of the four privatized branches
Electrica encounters harmonizing problems with the four privatized branches ( Electrica Banat, Electrica Dobrogea, Electrica Oltenia and Electrica Moldova), stated on Wednesday in Cluj Tudor Serban, manager of...
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S&P revise Rompetrol outlook to stable from negative
Standard & Poor's Ratings Services announced having revised its outlook on Netherlands-based oil refiner and marketer the Rompetrol Group N.V. to stable from negative. At the same time,...
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By the end of 2007, Wizz Air intends to take hold of 50 pc of the Romanian low-cost airline market
Interview with Natasa Kázmér, Director Corporate Communications & Public Affairs Wizz Air. Wizz Air, Central and Eastern Europe?s largest low fare - low cost airline announced recently that...
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Non-reimbursable PHARE funds for personnel training in Romania
State-owned or private companies, unions, employers? associations may submit applications by September 13 to access European funds for personnel training, in view of enhancing the competitiveness of labour...
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EUR 2.8 M profit for Sanpaolo IMI Bank Romania, in H1
Sanpaolo IMI Bank Romania registered in the first six months a net profit of EUR 2.82 M, standing for 67 per cent of the revenues reported in 2005, reads ...
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ANRC reduces monitoring tariffs for communications and postal service providers
The National Communications Regulatory Authority (ANRC) will reduce the monitoring tariff for electronic communications and postal service providers from 0.3 per cent in 2005 to 0.13 per cent...
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The guarantees for the rural credit up
The Guarantee Fund for the Rural Credit (FGCR) could grant in 2006 guarantees in the amount of around RON 280 M, up 37 per cent over the past ...
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ANAF: 1,226 firms suspect of defrauding the budget
The National Tax Administration Agency (ANAF) identified 1,226 firms that do not operate at their declared HQ - inactive taxpayers - and warns that the transactions made by...
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Over one million Romanians work abroad
At present it is estimated that over one million Romanian nationals work outside Romania. The largest part work illegally in Spain or Italy. But there are many ...
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Airports passenger traffic up 28 pc in Q1
The passenger traffic in Romanian airports increased by 28.45 per cent in the first quarter of 2006 as compared to the corresponding period of 2005, according to data...
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Break-up hurts CCCF business
The CCCF Bucharest construction company, which was once one of the top two players on the market, last year posted 29 million euro (105.12 million RON) turnover, down...
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ARoBS expects turnover worth 2m euros
The management of the ARoBS Transilvania Software company estimates it will reach turnover totalling around 2 million euros by the end of this year, 125 percent higher than...
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Penescu brothers competing for Carrefour's market
The PIC group of Pitesti, which has annual revenues worth over 50 million euros, is trying to work its way onto the highly competitive Romanian hypermarket sector, with...
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A & D Pharma borrows 100m euros from 11 banks to expand operations
The A & D Pharma Group, which operates the largest chain of drugstores in Romania, Sensiblu, and pharmaceuticals distributor Mediplus, has taken out a syndicated loan worth about...
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Tractorul to be sold through auction
The viable units of Tractorul Brasov, after the restructuring of the company, will be sold through a public auction that could be held in September, said the deputy...
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Transylvania Highway works to speed up
Prime Minister Calin Popescu Tariceanu asked the Bechtel company to speed up works on the Transilvania Highway. The PM, Minister of Transportation Radu Berceanu and US Ambassador Nicholas...
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Wine imports increase
Romania's wine imports totaled 179,870 hectoliters in the first four months of the year, up 37 times compared to the similar period in 2005 while exports reduced by...
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John Saroudis re-elected president of CBA
The Canadian Businessmen Association has a new board. John Saroudis was re-elected president of the organization for a one-year term. The new council is formed of Marc Bonnemains...
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Insurance market up 27 percent in 2005
Premiums subscribed by insurance companies, including reinsurance policies, totaled 4.417 billion lei (approximately 1.201 billion euros, based on the official exchange rate in December 2005) last year, up...
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Carom Onesti assets on sale
The bidding organized by Finconta Consulting, the judicial liquidator of Carom Onesti, for the assets sale of the synthetic rubber producer, will start at 48 million euros. ...
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Bancpost expands network due to high demand
The Bancpost management will suggest to shareholders a change of the budget for this year, by increasing expenditure for an investment program in view of opening 50 new...
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Mondragon spends 5m euros on aluminium rim plant
Spanish group Mondragon, which has made 11 billion euros in revenues worldwide, will invest some 5 million euros in an aluminium rims plant, located in the West of...
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Cluj-based Feleacul turns into real estate project
The Buzoianu brothers, owners of the Cluj-based sweets plant Feleacul, have announced that the plant will be moved to another location, and a real estate project worth 30...
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Marr Group to invest 70m euros in housing (MORE)
The prices for plots of land in the Capital, especially in central areas, are the most expensive in the region, according to Marat Safin, president of the Marr...
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Daewoo Craiova for sale directly after return to state
Authorities will put up for privatization the car manufacturer Daewoo Automobile Craiova, immediately after the signing of the takeover contract for a 51 percent stake of the South...
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SAPARD applications skyrocketed in June
The value of funding applications submitted to the Special Accession Program for Agriculture and Rural Development (SAPARD) in June 2006 was 391 million euros. The amount is superior...
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Biomass producers exempt from excises
To encourage the production of renewable fuels the government decided to exempt producers of biomass from the payment of excise tax, announced the government's spokeswoman Oana Marinescu. Biomass...
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Amonil Slobozia to lay off 28% of staff
Amonil Slobozia, a chemical fertiliser producer, will lay off 231 employees, following a decision made in the Extraordinary General Meeting of Shareholders. In the EGM that took place...
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Agrana profit surged
Austria-based Argana increased its earnings before interest and tax (EBIT) by 91 percent in the first quarter, according to Reuters. The advance was mainly due to the increase...
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Iasitex bets on expansion of production facilities and personnel
Iasitex, one of the top ten producers in the textile industry, is counting on the expansion of production facilities and personnel growth, at a time when most players...
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Multinationals in Romania: zero tolerance for corruption
Small companies complain most often that they need to bribe local authorities, while multinationals and large companies have easier access to the system, said Anca Harasim, executive director...
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Vodafone Romania sues ANRC
Vodafone Romania will defend its right in court following the decision of the National Communications Regulatory Authority (ANRC) to apply a 40 percent reduction to interconnection tariffs by...
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Fornetti makes 3.5m euros from pastries
Pastry producer Fornetti last year posted a turnover worth 62.7 million RON (17.3 million euros), a 47% increase against 2004, and a gross profit worth 12.8 million RON...
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Metro spends 5 million euros on consolidation
Metro will invest 5 million euros in "consolidating" the stores it owns until next spring and will no longer rely on opening new outlets for growth. "We...
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Gabriel wins two court rulings on Romanian mine
; Gabriel Resources Ltd. has won two court decisions against opponents of its plan to build a gold and silver mine in Romania. Romania's Supreme Court ordered a...
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Romania poultry sector hit hard by avian influenza
The effects of avian influenza on Romania's poultry sector provides a high-profile case study for the rest of Europe on how the virus could affect both the supply...
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Insurance market up 27 pc in 2005
Premiums underwritten by insurance companies, reinsurance operations included, totalled RON 4.417 bln in late 2005, accounting for a 27.07 per cent increase since 2004, according to the annual...
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Avicola Crevedia Continues Investment Program
The management of Avicola Crevedia has recommended shareholders to authorize a loan of up to 10 million EUR to finance the implementation of SAPARD programs. The shareholders will...
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ICE Felix Increases Share Capital
ICE Felix - Fabrica de Calculatoare (ICEF) ("The Computer Factory") has increased share capital by 62 percent to 4,476,575 RON by issuing new stock. Existing shareholders subscribed 685,224...
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Hiperion Stei Ups Share Capital
Shareholders in Hiperion S.A. (HION) will convene on August 8th to decide to increase the company's share capital by 450,000 EUR to finance the development of the industrial...
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E.ON Gaz Romania Finalizes Three Investment Objectives In Iasi
E.ON Gaz Romania has announced the completion of the three projects included in this year's investment program for Iasi County. Totaling 400,000 RON, the projects consisted in the...
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GMP Advertising Aims For 10 Mln EUR Turnover
GMP Advertising closed last year with a net profit of 2,373,934 RON, up from 1.2 billion ROL in 2004. "I have decided to reinvest most of the profit, ...
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Poor quality of wine could eliminate Romania from the European market
Less than half a year until the possible accession of Romania to EU, the competition between imports and the local wines on the free market of the wine...
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Advertising business grows by some 100 million euros in 2005
The total business turnover of the most important advertising groups and agencies in Romania rose by almost 100 million euros in 2005 compared to 2004, according to a...
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Raiffeisen may fund EUR 350 M real estate projects in 2006 (UPDATE)
Raiffeisen Bank may finance by the end of the year real estate projects amounting to a total EUR 350 M. The banking institution has so far granted real...
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Telephone operators put most attractive offers on the market
On a dynamic market where the number of mobile phone users is expected to go beyond the 15 million mark by the end of the year, operators are trying...
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Socep Constanta sells a piece of property
Constanta-based harbour operator Socep has cut some of the losses it had witnessed in the first three months of the year, in the second quarter, but it may...
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Europharm SA's profit slumps
Brasov-based Europharm SA, one of the leading generic drugs makers in Romania, owned by British giant GlaxoSmithKline, saw its profit plunge last year (by almost 98%), compared with...
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Danfoss takes over heating substation business
Danish industrial giant Danfoss, with yearly business worth 2.2 billion euros, has acquired all the shares of one of the leading heating equipment manufacturers in Romania, Schmidt -...
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Somes Dej turnover stagnates
Cellulose and paper manufacturer Somes SA Dej, part of the Serviciile Comerciale Romane (SCR - Romanian Commercial Services) group of firms, saw turnover stagnate at about 8.6 million...
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Remarul "16 Februarie" repairs locomotives in Greece
Remarul "16 Februarie", a Cluj-based company specialising in manufacture and repairs of railroad vehicles, has announced it will provide services to the Greek railway operator, Greek Railways and...
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Number of bankruptcies doubles
The number of bankruptcies in the Romanian economy doubled in 2005 compared with the previous year, with about 10,000 of the 11,000 companies for which insolvency procedures were...
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Simcor Oradea, 52m-euro business plan
The Simcor Oradea group of firms, which operate on the construction materials market, expect this year's turnover to climb by around 10-15% to about 52 million euros, according...
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Romanian builders need to make massive investments
Romanian construction firms need to carry out massive investments in order to be able to compete with powerful foreign firms that have entered the domestic market, say players...
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Furniture production goes up 5% to 317m euros in Q1
Furniture production in the first quarter of this year advanced slightly to 317 million euros, rising from the 301.2 million euros registered in the similar period of last...
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Smithfield wants full control over Romanian operations
US-based Smithfield Group will take over Agroalim Distribution and Frigorifer Tulcea in full by 2008. The two businesses were developed by Lebanese national Mounir Halawani, one of the...
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Transavia tries to eat into importers' market share
Businessman Ioan Popa, the majority shareholder and general manager of poultry producer Transavia Alba-Iulia, says one of the sources of growth of this business would be to seize...
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Only 200 shareholders so far at Proprietatea Fund
Only 200 people whose homes were abusively taken away have received shares in the Proprietatea Fund, of the 800,000 requests filed for the retrocession of properties, said on...
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Romania interested in the development of Lebanon
Minister of Economy and Commerce Codrut Seres suggested the creation of mixed industrial Romanian-Lebanese companies. Seres met his Lebanese counterpart in Beirut and expressed the interest of Romanian...
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Orange launches new service
Orange Romania launched a service that allows a company's employees to make calls to one another at a reduced tariff, starting at USD 0.04 (.03 EUR) per minute....
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Cotnari invests 3.5m euros in modernization
Wine producer Cotnari plans to invest approximately 3.5 million euros in the modernization of the production capacities and the acquisition of new equipment. The necessary financial resources will...
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Softwin looking to make BitDefender a world brand
IT applications provider Softwin will invest over 100 million dollars by 2010 for international expansion of the BitDefender brand, by opening branches on external markets and development of...
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Pensions could increase
Minister of Labor Gheorghe Barbu proposed to the government a five percent increase of the pension point, starting September 1, two percent larger than the level agreed at...
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GM Romania estimates sales
General Motors Romania, the importer of Opel and Chevrolet, estimates for the current year a total sales volume amounting to 90-100 million euros. The sales for Opel are...
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Marr invests 70m euros in Corbeanca estate
Marr Capital allocated 70 million euros to the construction of two residential areas located in Corbeanca, according to the company's Chairman Marat Safin. The first project is...
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CEU to run masters for IT specialists in Bucharest
THE Central European University Business School (CEU BS), based in Budapest, is to extend its Masters in IT Management program into Bucharest, with the first intake beginning studies...
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Cosmote reduces roaming tariffs
Cosmote Romania introduced a lower roaming tariff of 0.65 euros per minute, with value-added tax included, for calls made to all destinations where the company is present. The...
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Mobile phone saturation at 70%
The penetration rate of mobile phone services will reach 70 percent of the Romanian population at the end of this year, according to the general director of Nokia...
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Romtelecom changes tariff plan
The monthly subscription fee for the landline carrier Romtelecom will increase by an average of 25.4 percent starting on August 25, as the National Regulatory Authority for Communications...
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Real opens second hypermarket in Romania with 12m euros
Real Hypermarket Romania, the company that operates Real hypermarkets on the domestic market, has invested over 12 million euros to open its second Romanian outlet, in Constanta. ...
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Life insurers are looking to educate clients
Ian Harrocks, the general director of KD Life Romania, spent 20 years in the insurance business in the UK before coming to Romania six years ago and has...
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New law on bankruptcy to come into force on July 21
The new law on bankruptcy is to come into force on July 21 aiming mainly at speeding up the exit out of the market of the non-viable entities upon ...
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Lawyers expect large market growth after EU accession
Romanian accession to the EU will establish the development of economic activity and demand for new and more complex judicial services, believe representatives of major law firms. ...
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Fortius Finance Acquire Euro Invest Vision
The Austrian-based Euro Invest Bank have sold the securities company Euro Invest Vision to the Greek-based Fortius Finance for 759,551 EUR, which is almost seven times more than...
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Cosmote Continues Investment Program
"Cosmote is further focusing on investments in developing, upgrading and optimizing the network in order to expand coverage," said Nikolaos Tsolas, the CEO of Cosmote. He added that...
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Electroutilaj Campina Posts 4,000 RON Loss In Q1
Electroutilaj Campina (ELJM) has reported a Q1 turnover of 2.1 million RON and losses of some 4,242 RON, down from a profit of 8,321 RON in the corresponding...
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IT&S Aiming For 30 Mln EUR Turnover By 2008
IT & S, a company that has been in the IT & C industry for over 10 years as an importer and distributor of reputed brands on the Copy...
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Upruc Fagaras Co. raises share capital by over 232,000 RON
The shareholders of the Fagaras-based compression pumps manufacturer Upruc Co. in end-June decided to increase the share capital by 232,412.5 RON, through a capital injection /one euro trades...
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Siemens wins EUR 5.74 M contract with Transelectrica
Siemens will supply Transelectrica a 400 kV interconnection station at Nadab, within a contract exceeding EUR 5.74 M, informs the company?s communiqué, on Tuesday sent to the editorial...
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Are foreign investments an all-heal?
Foreign investments have substantially increased over the past few years. Moreover, as compared to the ?90s, the increase is astonishing. On this basis, and considering estimates that the...
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Alro merges with Alum
Alro Slatina shareholders approved the merger with Alum Tulcea during a General Extraordinary Meeting, according to information remitted to the Bucharest Stock Exchange. The operation was initially scheduled...
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Constructions banned in Mamaia
The National Authority for Tourism expanded on a draft for the modification of the law that allows temporary and definitive constructions on the coast of the Black Sea...
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Turkey exports cars to Romania and Bulgaria of over USD 263 mln
In the first six months of the year, the values of Turkish cars exported to Romania and Bulgaria topped 263 million dollars, according to Turkish Daily News. ...
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Orange, Vodafone challenge ANRC decision to cut down interconnection fees
The leading competitors in the Romanian mobile telecoms market, which jointly account for over 95 per cent market share, challenged the decision made early this week by the...
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CSA takes auto liability policies off the streets
The Insurance Supervision Commission (CSA) has forbidden insurance companies to sell auto liability policies (RCA) on the streets, at street stands or in cars. "Companies must sell these...
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Offices and hotels boost Lafarge Gips turnover
Lafarge Arcom Gips, part of the French group Lafarge, this year expects turnover to increase by 15% year-on-year, to 17 million euros. "For this year, we forecast a...
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Inflation on schedule: 0.15% in June and 7.1% in H1 (UPDATE)
The increase in consumption prices in June stood at only 0.15%; one of the lowest levels lately, making the target of 5% inflation possible by yearend. Therefore...
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Former Turceni chief reappointed
Minister of Economy and Commerce Codrut Seres re-appointed Dumitru Ilinca as general director of the Turceni energy complex. He was dismissed in June after an investigation of the...
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MTCT to lease stadiums
The Ministry of Transportations, Constructions and Tourism (MTCT) wants to lease the stadiums that are its property so the future concessionaires will make investments, said the MTCT minister...
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MYO-O relocates Semanatoarea factory
The relocation of the Semanatoarea factory outside Bucharest, following the decision of its major shareholder, company MYO-O, to start the construction of the Sema Parc real estate project,...
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Unions, government discuss utility prices
Representatives of trade unions demanded, yesterday during the meeting of the Commission for Utilities' Policies, the reduction of tariffs for electricity and natural gas for both small and...
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Trade with CEFTA countries could reach 1.5 bn euros
Trade between Romania and the members of the Central European Free Trade Agreement (CEFTA) will increase to 1.5 billion euros this year, over 1.2 billion euros in 2005,...
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Inflation remains at just over seven percent
The inflation rate diminished to 0.15 percent in June, after reaching 0.6 percent in May, according to the National Institute of Statistics (INS). The inflation rate over the...
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Farmers accept wheat price, ask for diesel oil subsidies
Farmers agreed to a 4,500 ROL per kilogram (12 eurocents) price for the wheat in the new harvest, 500 lei under the initially set value, Minister of Agriculture...
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Lottery to give back illegal state aid
The Romanian Lottery will have to return state aid in the amount of 14.14 million euros illegally granted by the Ministry of Public Finance, yesterday decided the Competition...
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Whirlpool announces results
Whirlpool Romania reported for 2005 a net profit of 2.4 million euros, half of the total reported for 2004, when the company registered a gross profit of 4.8...
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Centro coffee shop chain to double by yearend
The Centro coffee shop chain is planning to expand by four more locations this year, two of which are outside Bucharest, Tinu Sebesanu, general manager of Trend Hospitality,...
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30m-euro investments for Smithfield thus far
American food industry giant Smithfield Foods, Inc. has so far invested 30 million euros to retool the meat processing plant in Timisoara. "By the end of the year,...
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Camelia Sucu hires PwC
The financial consultancy firm of PricewaterhouseCoopers (PwC) Romania, a branch of one of the professional services giants, will advise Camelia Sucu in the sale of the shares she...
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Boromir, 12m euros in bread factories
The Ramnicu-Valcea-based Boromir Ind group of firms, one of the leading bread manufacturers in the country, will invest 12 million euros in the milling and bakery sector by...
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Forest retrocession leads to massive layoffs
The National Forestry Company (RNP) has so far given back about 250,000 hectares of forest to owners dispossessed by the communist regime. The total amount claimed is 2.3...
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Environment Ministry refuses to comment on Rosia Montana project
The Ministry of Environment and Water Management will present an official point of view on the Rosia Montana project only after public debate on the investment have finished....
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State still interested in Dracula Park
Minister of Transportation Radu Berceanu yesterday said the ministry would resume the Dracula theme park project, according to NewsIn online. The official said that although the project is...
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Nestle poised to boost exports of Timisoara plant
The general manager of the Romanian branch of Nestle group, Paul Nuber, says the competitive edge of Romania in terms of low production costs, allows the company to...
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TriGranit: Bankers start seeking locations in Esplanada
Esplanada, the TriGranit developed project in the capital city that will entail investment totalling over 1 billion euros, will generate rental space, both for merchants, and for offices...
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Cotroceni Park to invest 165m euros (UPDATE)
Africa-Israel Europe and New Century Holding (NCH) will invest some 165 million euros in a real estate project, developed on a 120,000 square metre plot of land in...
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KFC and Pizza Hut expand to the provinces
The KFC and Pizza Hut chains will expand by another four units (two KFC restaurants and two Pizza Hut restaurants) to the provinces by the end of the...
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Romanian wages higher than in Bulgaria
The average salary in Romania is 260 euros, according to a survey of the Vienna Institute, while in Bulgaria it is one hundred euros lower. In Germany, the...
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Apartment prices double in two years
The average price of a three-room apartment in Bucharest has doubled in the last two years, a survey made and published by Ziarul Financiar daily . The findings...
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Romanian farmers could collect profits from EU-supported agricultural sectors
Starting 2007, the Romanian farmers will see profits only if they invest in the competitive, highly potential sectors supported in the European Union. "As of 2007, the farmers...
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Romanian computer games market to exceed 6 million euros this year
The Romanian computer games market will exceed 6 million euros this year, according to specialists in the field. Best Distribution's general manager Michael Allardin says that in 2005...
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Romanians most interested to buy well-known brand clothing
Romanians are most interested in the brand's name of the clothes they buy, according to a survey conducted by German market research company GfK in 19 countries of...
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Romania gets green light for ISPA coordination
The European Commissioner for regional development Danuta Hubner, congratulated the Romanian authorities for finalizing, before accession, the EDIS process ? Extended Decentralised Implementation System -. As a ...
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Four banks competing for CEC Savings Bank privatisation
Four banks are expected to submit binding offers by July 17 for the privatisation of the Savings Bank CEC, namely Raiffeisen from Austria, the National Bank of Greece,...
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Eurom Bank shares were withdrawn from RASDAQ
Eurom Bank shares were withdrawn from transaction on the RASDAQ market of the BVB starting Monday, according to a decision of last week by the National Commission for...
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Romania had 21,610,200 inhabitants at the beginning of this year
The population of Romania was on January 1, 2006, 21,610,200 inhabitants, out of which 48.8% (10,535,100) male and 51.2% (11,075,100) female, according to the date of the National...
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Autoliv Starts Engineering Center in Low-cost Country for Electronics
Autoliv Inc. (NYSE:ALV)(STO:ALIV) - the worldwide leader in automotive safety systems - has opened an engineering center in Romania that will do electronics development for European clients. ...
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Central Bank Governor says inflation forecast and year-end target unchanged
This year?s inflation target and inflation forecast remained unchanged, National Bank of Romania governor Mugur Isarescu declared in an interview for Bloomberg. ?We still maintain an inflation...
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UN commission: Bastroe project will have negative impact on the delta
International experts endorse Romania's position on the Bastroe canal, pointing out it will have devastating effects on the flora and fauna of a region that is part of...
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Radiocom: another 500,000 dollars in digital TV
Radiocom, one of the main suppliers of communications networks and services and leader of the local broadcasting services market, has started the development of a second digital terrestrial...
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Penescu brothers to launch new hypermarkets
The Pic group, one of the leading sugar distributors in Romania, and owner of a hypermarket in Pitesti, will develop its retail business, planning two more openings, one...
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Alprom: bigger income, smaller business
Pitesti-based furniture manufacturer, Alprom, estimates an increase in profit by 142%, to 1.9 million RON (0.45 million euros), while turnover will fall by 4.4% to 74.3 million RON...
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1.9m pounds sterling profit for Alpha Rocas
Romania-based Alpha Rocas, a subsidiary of the British group Alpha Airports, which provides catering services to airline and airport-based companies, witnessed revenue worth 6.8 million pounds sterling (35...
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Building Astrom business goes up
Pitesti-based Building Astrom, which operates on the construction market, estimates turnover worth some 20 million euros for this year, a 20% increase against last year, according to company...
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Quadrant Connections to open facility in Sibiu
British cable assembly manufacturer, Quadrant Connections, will invest in a production facility in Sibiu, in partnership with the German manufacturer Odu. Company representatives have stated that the Romanian-based...
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Drastic cuts of budget-paid staff planned
The government is planning on making drastic cuts in the number of budget-paid employees, with the intention of saving 900m euros (1% of the GDP). The initiative is...
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Banca Transilvania repurchases 25 million shares
Banca Transilvania yesterday repurchased 25 million of its own shares from the group's insurance company, BT Asigurari, as part of a repurchase programme designed to secure shares that...
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Flamingo to get Czech retail manager in August
Jiri Rizek, the former manager of the electronics, home appliances and IT retail company Dixons / Electroworld that is based in the Czech Republic, will become the general...
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Industrial output, at a record high in May (UPDATE)
Industrial production soared by 15.7% in May 2006 compared with the same period of last year and by 5.9% in the first five months of this year, marking...
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Microsoft set to double turnover in Romania in 3 years
Microsoft Romania made 29% higher revenues in the 2006 fiscal year that ended on June 30th, compared with the previous fiscal year. According to company officials, Microsoft Romania...
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Regal Petroleum chairman resigns
The chairman and chief executive of Regal Petroleum, Paul Morgan, has quit the troubled oil and gas explorer after just three months in the job, citing "personal reasons"....
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Campofrio hurt by shelf taxes
Charcuterie producer, Tabco-Campofrio, the domestic unit of Spain's Campofrio Alimentacion, posted 10% higher sales in the first half of this year compared with the same period of 2005....
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MedLife accuses CMU of anti-competition practices
The medical services company MedLife announced that it submitted a petition to the Competition Council through which it accuses the Unirea Medical Center (CMU) of anti-competition practices. MedLife...
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Cotroceni will have its own shopping mall
The companies Africa-Israel Europe and New Century Holding (NCH) will invest approximately 165 million euros in the construction of a 120,000 square meter real estate project on Timisoara...
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CFR Calatori modernizes train cars
Romanian railroad company CFR Calatori has launched a 180 million euro project for modernizing and renewing of the train car fleet. The investments target the reduction of the...
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Murfatlar wine bottles as collateral for 9.5m euro loan
Wine producer Murfatlar will take a short-term loan of up to 9.5 million euros from OTP Bank for covering the working capital, issuing of letters of guarantee and...
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Vodafone, Orange to reduce interconnection tariffs
The National Regulatory Authority for Communications (ANRC) has forced the mobile phone operators Vodafone and Orange Romania to reduce interconnection tariffs starting in September 2006 and lasting until...
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Smithfield to create 70 farms in Timis
American company Smithfield will develop a network of over 70 large breeding farms in Timis County, according to the company's Corporate Affairs Director Mircea Ioan Cotosman. The first...
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Salonta salami factory to increase exports
The producer of salami and sausages, which is celebrating its 30 anniversary this year, set out to increase exports to the Czech, Slovakian, Greek, Hungarian and Moldovan markets....
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Unemployment down
At the end of May, the number of unemployed people registered in Romania was 481,200, down 14,700 from last year, according to the National Institute of Statistics (INS)....
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Industrial production boosts in May
The rate of increase of industrial production edged up in May, to 15.7 percent, compared with the 0.5 percent increase registered in April. The advance after the first...
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Customs tax modification for imported vehicles
Romanians will pay lower customs taxes for an imported vehicle if the cylinder capacity of the car is between 1100 and 3100 cubic centimeters, according to a pronouncement...
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Romgaz privatization delayed
The privatization of Romgaz could be considered again after three years, as the government presently does not want to privatize the natural gas producer, according to Mihai Catuneanu,...
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CEFTA meets in Bucharest
The representatives of the Central European Free Trade Agreement (CEFTA) member-states meet today in Bucharest to establish the new depositary of the agreement, as a result of Romania...
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Bucharest City Hall makes largest investment since the revolution
Bucharest Mayor Adriean Videanu announced works on the Basarab ...
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Central European Bank warns soaring loans in foreign currency could drive local banks into insolvency
A Central European Bank report warns against the insolvency risk looming over the credit institutions that will continue to make massive disbursements in foreign currency, a threat that...
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Banks might have to increase share capital following enforcement of BASEL II risk-calculation system
The introduction of the Basel II system for risk and capital-adequacy calculation might result in the need for some banks to increase their share capital, says Dragos Cabat,...
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Romania ranks 49th in WB classification by GDP
In a WB classification of the world?s 162 economies by last year?s GDP expressed in US dollars at the market?s exchange rate, Romania ranks 49th with 98.5 bn...
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Budget revenues up 16 percent in June
Budgetary revenues derived in June grew by 16.4 percent on the same period one year ago, standing at 7.68 billion lei, according to figures centralized by the Assessment...
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Claudiu Doltu, Romania?s representative to the WB
Claudiu Doltu will be the representative of Romania at the World Bank, where he will be replacing Anca Ciobanu, official sources told Mediafax. Doltu will terminate his office...
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MTCT proposes RON 5.6 M for expropriations in connection with Bucharest-Ploiesti motorway
The Ministry of Transport proposes to the Executive to pay damages of RON 5.65 M for the expropriation of buildings situated along the future Bucharest-Ploiesti motor-way, a public...
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RCI Banque intends to acquire full control over RCI Leasing
Competition Council will analyse the take-over of RCI Leasing Romania by RCI Banque, a member of Renault group, which is an economic concentration, according to information released on...
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7.8m-euro business for Famos SA
Furniture manufacturer Famos SA from Odorheiul Secuiesc closed 2005 with a turnover worth 28.5 million RON (7.8 million euros), up from 26.9 million RON (6.6 million euros). The...
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Renault pumps another 178m euros in Logan (UPDATE)
The French group Renault, owner of Automobile Dacia, intends to invest 178 million euros in the Pitesti plant, by the end of 2007, stated Jacques Abot, commercial manager...
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Broadhurst and Property Fund to get 7m euros for Otelinox shares
A number of Otelinox Targoviste shareholders, including Broadhurst investment fund and the Property Fund, whose stakes total 19.84% together, filed for exiting this company and are to get...
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100m-dollar fund for Central and Eastern Europe
East Capital this month will launch a new fund targeting investments in the South-Eastern European area, with a total capitalisation worth 100 million dollars, the company specialising in...
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Dexia drops out of race for CEC
French-Belgian group Dexia, whose assets stood at 509 billion euros at the end of 2005, and which competed for BCR last year, has dropped plans to submit a...
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40m-euro business plan for Agrirom
Agrirom, one of the top ten food distributors, estimates turnover worth 40 million euros for this year, more than the 34 million euros seen last year. "Our...
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Rise in gas price takes Romgaz's profit to 40m euros
The last valuable asset still in the state's portfolio, natural gas producer Romgaz Medias made a net income of 39.8 million euros (139.3 million RON) in the first...
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Mangalia shipyard back on sale
The tender for the privatization of the Mangalia Shipyard could resume by fall, as new evaluation procedures are under way, said the shipyard's General Director Eugen Tudor. How...
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ATM's still use ROL
Automated Teller Machines (ATM's) will continue to give both RON and ROL because banks are avoiding the situation in which ATM's would be empty, despite the fact that...
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Metro to expand in Moldova
The short-term plans of Metro Cash & Carry Romania involve the expansion of the activity to the Republic of Moldova, where two new hypermarkets are to be opened,...
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Foreign currency, 28.5% of GDP
The foreign currency that entered the Romanian market and belonging to the people living abroad totaled 22.5 billion euros, representing 28.5% of the Gross Domestic Product (GDP), according...
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Prime Minister displeased with Danube Delta hotels
Prime Minister Calin Popescu Tariceanu expressed his dissatisfaction, on Saturday during his visit to the Danube delta, with the fact that hotels and boarding houses in the area...
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Five-star hotel opens in Cluj
Opera Plaza, the first five-star hotel in Cluj-Napoca, was inaugurated on Friday following a 4.5 million euro investment that took three years to complete. The hotel has 52...
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Eurolines launches new flight
Romania-based airline operator Eurolines Romania will offer this summer direct flights from Bucharest Baneasa Airport to Madrid, in partnership with Spanish airline company Air Europa. The flights are...
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AVAS divides Electroputere for sale
The Authority for the Recovery of State Assets (AVAS) decided to continue the privatization of Electroputere by selling the company's assets and creating four distinct units. Buyers will...
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GTC to develop new project
Globe Trade Center (GTC) Romania will invest 56 million euros in the construction of two class-A office buildings, located in the Free Press Square area. The project will...
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Luxten acquires electric power plants
Luxten Lighting will start producing electricity after it recently acquired seven hydro-electric power plants located in Doftana Valley, with the company's present contract with an electricity supplier set...
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Compensation for scrapping of used cars resumes
Owners of cars more than 12 years old wishing to scrap them in return for compensation representing financial support to be used for the purchasing of a new...
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Hungarian bank MKB takes over Romexterra (UPDATE)
Hungarian foreign trade bank MKB, a subsidiary of German credit institution Bayerische Landesbank, signed on Friday an agreement to take over Romanian bank Romexterra. Representatives of the Hungarian...
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IKEA's acquisitions from domestic market up 10%
Hendrik Notmeijer, trading area manager with IKEA Trading, says that in the first half of the year the company's acquisitions in Romania were 10% higher against the similar...
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Romanian textile industry to shrink by over 2bn euros in 5 years
The textile industry will reach a level of 7.5 billion euros in 2010, two billion euros lower than this year. Over the next four years, the number of...
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Dinu Patriciu: We could sell up to 35% in Rompetrol Group
Oil tycoon Dinu Patriciu is thinking of selling 10 to 35% in the Rompetrol Group, prior to its listing on a foreign market by 2008. Such an operation...
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Microsoft Romania's revenues up 30%
The local subsidiary of Microsoft reported at the end of the 2006 fiscal year revenue 29 percent higher that in the previous financial term, according to the company's...
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MKB confirms purchase of Romexterra stake
MKB Bank Rt confirmed on Friday that it had signed a contract to purchase a majority stake in Romania's Romexterra Bank, but said it would reveal further details...
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BT raises 34 million euros
The shareholders of Banca Transilvania subscribed shares worth 120.8 million RON, that is 97.2% of the total shares offered, the lender announced. The Extraordinary General Meeting of Banca...
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Accenture to employ 1,000 in Romania
Accenture is to employ 1,000 people in a new business process outsourcing (BPO) centre in Romania. Over the next three months the company is recruiting people...
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Romania completes the EDIS accreditation process for ISPA
European Commissioner for Regional Policy, Danuta Hübner, today congratulated the Romanian authorities on finalising, before accession, the Extended Decentralised Implementation System (EDIS) process. The European Commission therefore...
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BNR has reference interest rate of 8.5% in July
The central bank paid in June an average annual interest rate of 8.5% for the money attracted from commercial banks, equal to the interest rate of monetary policy,...
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Micula: company exports doubled in 2005
Ioan Micula, chairman of European Drinks, the biggest food group with Romanian capital, says the company's exports doubled last year, and went up 70% in the first six...
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Number of buyers on BSE close to record high
The monthly number of Romanian buyers on the Bucharest Stock Exchange increased by almost 2,300 last month against May, to 11,600 buyers, almost reaching the 12,500 record high,...
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Post Office makes 35m-euro profit in H1
The Romanian National Post Office Company (CNPR) witnessed a gross profit worth 35.6 million euros in the first six months of 2006, a five-fold increase against the 6.4...
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AVAS recorded revenues of RON 244 M in H1
The Authority for State Asset Resolution (AVAS) recorded in the first half of the year revenues from the resolution activity of RON 244.26 M, according to a press...
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Metalicplas Dej invests 17.3m euros in retooling
Metalicplas Dej, owned by businessman Ioan Tecar, budgeted investment worth some 17.3 million euros to bring technological improvement to five of the group's companies. "Through these investments, Metalicplas...
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PWC gets 12m euros from the sale of Electrica's "jewel"
PricewaterhouseCoopers (PwC), a part of the so-called Big Four professional services companies that operate worldwide, is to collect a fee worth 1.5% of the value of Electrica Muntenia...
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Mariana Gheorghe: ?I want Petrom to be the most profitable company in Romania?
The new Petrom Executive General Manager, Mariana Gheorghe, who took the office on June 15, stated for Mediafax on Thursday that one of her mandate?s objectives is to...
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Dedeman borrows 15m euros from ABN Amro
The Bacau-based Dedeman company, which sells construction materials, has contracted a loan worth 15 million euros from ABN Amro Dutch bank, according to the company's representatives. "We...
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Banca Italo Romena inaugurates agency in Constanta
Banca Italo Romena, a member of the group Veneto Banca, carries on its development plan which stipulates the presence in the most important cities from the country, with...
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Romania to become net beneficiary of EU funds at least in three years after accession
Romania will contribute next year to the budget of the European Union as a member state, by approx. one billion euros, but it will be, at least in the ...
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Direct Israeli investments in Romania exceed 1 billion dollars
Israeli investments in Romania amount to 1 billion dollars, with commercial exchanges of over 400 million dollars in 2005, the commercial attaché of the Embassy of Israel in...
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BNR: Number and value of payment incidents increasing
According to a National Bank of Romania (BNR) report on financial stability, Romanians consume and save more, as last year household bank deposits exceeded 10 pc of GDP,...
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Logan exports, 146 pc higher in H1
The sales of Dacia reached 103,604 units in the first half of 2006, of which 96,571 cars were produced in Romania and 7,033 in Morocco. As compared to...
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Second building according to size, after Casa Poporului, to be built in Bucharest
A big business centre whose dimensions are going to compete with those of Casa Poporului is to be built in Bucharest (Romania's Capital), being set to enter utilisation...
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AIG Life to invest 10 million euros in private pensions
AIG Life, the second-largest insurance company in Romania, estimates it will invest about 10 million euros to establish a company that manages private pension funds. "We are...
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BNR supports state security issues
The National Bank of Romania (BNR) showed in a statement that state security issues should exist even in the periods when budgetary surpluses are reported in order to...
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Coca Cola reports higher turnover
Coca-Cola HBC Romania reported a 280.7 million euros turnover for 2005, up 15% compared with 2004, while the company's gross profit increased with more than 30% to 40.2...
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Griro takes loan from Fahti Taher
The shareholders of Griro Bucharest approved on Wednesday a revolving loan contract through which the local company will obtain two million dollars from Quatron International Investments of Amman,...
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Green light for Basarab overpass
Bucharest municipal councilors decided yesterday to give the Basarab overpass project a public utility status. Construction works should begin fall this year. The councilor's meeting was marked by...
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Lottery's profit invested in housing
A share of minimum 60 percent of the profit obtained by the Romanian Lottery this year will be directed at financing youth housing projects, construction of gyms and...
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Renault invests more in Dacia
The Romanian-based car producer Automobile Dacia will benefit from 178 million euros in investments during the 2006-2007 period after the company's main shareholder, Renault, invested 650 million euros...
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Cosmote launches new offer
Cosmote Romania offers its clients the opportunity to make calls within the network and pay only one eurocent per minute, regardless of the time or subscription type. The...
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Hungary's MKB preparing to buy Romexterra Bank
The representatives of Hungarian bank MKB are preparing to sign the acquisition contract for Romanian-based Romexterra Bank. The deal will be sealed in Budapest in the next few...
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French investments to go up after EU accession
Herve Bolot, the French ambassador in Bucharest, says the sectors of the Romanian economy that will be extremely competitive on the European market after Romania's accession to the...
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QVT Fund into Flamingo and Sicomed again
The American investment fund QVT Fund has bought stakes in the pharmaceutical company Zentiva Bucharest (formerly Sicomed) and the IT & C retailer Flamingo International in the last...
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Rompetrol's rating improves
Standard & Poor's improved the rating perspective granted to the Rompetrol Group from "negative" to "stable" and confirmed the "B minus" rating for long-term credits. "The modification...
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Kazakhstan could join the Constanta-Trieste pipeline project
The Ministry of Economy and Commerce suggested to Kazahstan authorities they take part in the Constanta-Trieste oil pipeline project, together with other states in the region. The two...
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Jaguar and Land Rover importer expects to sell 500 cars
Premium Auto, the general importer of the Jaguar and Land Rover brands expects to sell nearly 500 cars this year, up about 20% from last year, the company's...
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MOL wants to buy Romanian oil refinery
The Hungarian-based MOL wants to acquire a Romanian refinery in the following 3-5 years, said the financial director of MOL Romania, Dumitru Dragomir. Dragomir declined to say which...
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Exports support Tehnofrig Cluj growth
The Cluj-based Tehnofrig company, a manufacturer of equipment for the food and refrigerating industry, this year expects to witness growth in turnover by approximately 8 percent from the...
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Registry of Commerce stays with Justice Ministry
The Chambers of Commerce and Industry Law was declared unconstitutional. Therefore, the Registry of Commerce will continue to be administered by the Ministry of Justice. Chambers of commerce...
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Vladescu, committed to Maastricht criteria
Romania intends to respect the provisions of the Maastricht Treaty, including that which refers to maintaining a budget deficit less than three percent, announced Minister of Finance Sebastian...
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Fewer nominal capital increases this year
Foreign investments in the nominal capital of foreign companies operating in Romania totaled 410.3 million euros in the first five months of the current year, down 56 percent...
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Romania plans bond issue to finance budget deficit this year
The Romanian Finance Ministry will issue 800 million lei ($284 million) of bonds in August and September in order to finance its budget deficit this year, a J.P....
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Production outsourced to Romania drops
The share of light industry of all exported goods produced using imported raw materials and cheap labor, locally known as "lohn," has dropped from 52 percent in the...
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City Grill to expand outside Bucharest through franchises only
The chain of City Grill restaurants and City Cafe coffee shops is going to expand this year outside the capital city in a franchise system, which is easier...
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Accenture Opens BPO Delivery Center in Bucharest
Accenture (NYSE: ACN), a global management consulting, technology services and outsourcing company, has opened a new delivery center in Bucharest that will provide business process outsourcing (BPO) services...
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Danish Investment In Mures
The Danish-based Schreiber Tours Copenhagen has made the biggest invest that rural tourism in Mures county has ever seen upon buying 12 houses in Bagaciu. The Danes have...
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Upruc Fagaras Raises Share Capital By Over 232,000 RON
Shareholders in the Fagaras-based compression pumps manufacturer Upruc TAP-SDV S.A. in end-June decided to increase share capital by 232,412.5 RON through a capital injection. The company will issue...
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New Israel - Romania Charter Flights
Israelis interested in coming to Romania for tourism or business will have a new transportation option as of July 10th, as the Natour - Israir airline will introduce...
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Moeller Electro Productie Posts 1.18 Mln RON Profit
Moeller Electro Productie, based in Sarbi, Maramures County, concluded last year with 1.18 million RON in profit and 228.52 million RON in turnover. The company also announced an...
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Cocor Department Store To Target Higher Customer Class Next Year
Shareholders in Cocor S.A., the company that owns the Cocor Department Store in Bucharest, will convene on July 20th to green-light an 8 million EUR project intended to...
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Share of light industry in total exports has dropped to 44.1 pc
The share of the light industry in the total exports in Q1 this year dropped from 52 per cent to 44.1 per cent, whereas machine building industry exports ...
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CNP: MEC-monitored companies, the most indebted
The companies that are being monitored by the Ministry of Economy and Trade (MEC) reported the largest amount of arrears, accounts receivable and losses at the end of...
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Duty-free shops, in ports, airports, ships and aircrafts
The Deputies on Wednesday passed a legislative draft for the modification of the Government Ordinance concerning the merchandise sold in duty-free regime, which restricts the area of duty-free...
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ECB: Escalation of foreign currency lending ? risk to Romanian banks
Specialists say the substantial depreciation of local currency might lead to a series of bankruptcies in the banking sector. The fast growth of foreign currency lending in the...
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Gross profits of RON 35.6 M for Romanian Post in H1
The National Post Corporation (CNPR) concluded the first half of the year with gross profits of RON 35.6 M, up approx. 500 per cent as compared to the ...
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EUR 45 m real estate project
Companies Procema, ComNord and Romanian Post will build in Calea Victoriei, in Bucharest, an office building with a surface of 44,000 square metres. The project will be completed...
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Romanian real estate potential ?remains huge?
Land prices up 35% in one year Cypriots look for investment opportunities Investors were presented with a range of ideas for investing in the booming real estate...
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AVAS to sell land for investments
The Authority for State Asset Resolution (AVAS) will sell tracts of land belonging to companies, spreading up to 40,000 sq. m, partly occupied by buildings and facilities. Such...
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France has invested EUR 3.5 bln in Romania so far
Companies running on French capital have so far invested some EUR 3.5 bln in Romania, head of the economic mission of the Embassy of France in Romania, Philippe...
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Net salary down 0.7 pc in May, to RON 833
The average net salary dropped in May by 0.7 per cent over the previous month, to RON 833, according to the data published on Wednesday by the National...
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Trade on Bucharest Stock Exchange following upward trend
Trade on the Bucharest Stock Exchange (BVB) exceeded on Tuesday the level of 11.8 million euros, a record for the first half of July. According to brokers, the...
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Dracula Park 'industrial park' status annulled
The government yesterday canceled the ruling through which the amusement park Snagov had received the status of industrial park. The government also decided the cessation of the usage...
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Chambers of Commerce Law annulled
The law for the chambers of commerce and industry is unconstitutional because it infringes on two articles of the fundamental law, decided the Constitutional Court yesterday. The institution...
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IBM Romania results
The gross profit of IBM Romania last year amounted to about 11 million euros, up 73.6% compared to 2004. The company's net turnover was up 14% last year...
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Budget revenues increase by 20%
Revenues of the general consolidated budget went up 20% in the first six months of the year, against the same period of last year. The main public budget...
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Business of Ambient Sibiu up 85%
Ambient Sibiu, one of the leading construction material distributors, posted sales worth some 63 million euros (220.3 million RON) in the first six months of this year, an...
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Unita Turism consolidates
Unita Turism Holding, controlled by German businessman Josef Goschy, has recently approved the merger by absorption with Traian SA from Drobeta-Turnu Severin and General Auto in Mamaia in...
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3m-euro advertising for private pensions
The Supervisory Commission of the Private Pensions System will spend the net sum of three million euros for a promotional campaign for private pensions that will start in...
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PepsiAmericas completes purchase of Romanian bottling operation
PepsiAmericas, Inc. yesterday announced that it has acquired the remaining 51 percent of the common stock of Quadrant-Amroq Bottling Company Limited (QABCL), making it a wholly owned subsidiary....
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Vodanet targets 1m-euro turnover
The online publishing company Vodanet is hoping that by launching some niche projects it will reach turnover worth one million euros by yearend, growing from the 380,000 euros...
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Caroli achieves 50% growth in H1
The Caroli Food group, one of the top three charcuterie producers in Romania, in the first six months of this year witnessed sales growth by over 50%, both...
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Clifford Chance opens Romanian branch (UPDATE)
Clifford Chance, the world's largest law firm, opened an office in Romania, in association with the Romanian-based law firm Badea & Associates. "We have joined the largest law...
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Works on Brasov International airport
Canadian Company Intelcan Technosystems Inc. is the majority shareholder of the company that will administer the Brasov-Ghimbav International Airport, holding 64.3 percent of the shares. Other stakeholders include...
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Finance minister foresees "irresistible" bid for CEC
The privatization of the National Savings House (CEC) will continue according to schedule, as "an irresistible" takeover bid is foreseeable, according to Minister of Public Finance Sebastian Vladescu,...
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Semanatoarea, green light for de-listing
The National Securities Commission (CNVM) gave Semanatoarea the green light to de-list from the Stock Exchange, after the company's shareholders had voted for the de-listing in the General...
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Energy Holding reaches 235m euros
Energy Holding, involved in trade and electrical power production, estimates a 36% growth in this year's turnover, against the 235.55 million euros (848 million RON) reported last year....
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Profile Group opens Romanian branch
Greek-based software developer Profile Group will open an office in Bucharest, following their intention to expand in Romania, said the general director of the local branch, Cristian Balan....
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Coffee, a luxury product
In Romania, the average coffee consumption per capita is inferior to two kilograms per year, while in the whole of Europe the average consumption is over five kilograms,...
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Electrica Transilvania Nord posts results
Electrica Transilvania Nord reported for the first quarter of the current year net revenues of 85 million euros and a net profit of 4.8 million euros. The company's...
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P&G Romania takes over local Gillette
Shareholders of Procter & Gamble Distribution and Gillette Romania recently approved the merger of the two companies, under the framework of a similar process that occurred with the...
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BNR will continue to intervene on the real estate market
The National Bank of Romania is forced to intervene on the real estate market through its credit policies as the market is excessively unstable, said Adrian Vasilescu, the...
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Yoghurts generate 10m-euro profit for Danone Romania
Danone Romania, the domestic branch of the French foods group of the same name, last year posted gross profit of 9.7 million euros (35.4 million RON), an increase...
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Apartment prices double in two years
The average price of a three-room apartment in Bucharest has doubled in the last two years, a survey by ZIARUL FINANCIAR has found. The findings were based on ads published...
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Silvarom to maintain position on current markets
Ioan Marginean, financial manager with Bucharest-based Silvarom furniture manufacturer, one of the main players in the industry, says no investments will be made this year in order to...
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PepsiCo leads Romanian Cola market in Q1
PepsiCo Romania recorded an increase of 26.2% in sales volume in the first quarter of 2006 vs. same quarter 2004, and an average annual growth rate higher than...
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European drinks lends 250m euros from EBRD
Romanian soft drinks producer European Drinks could also obtain a syndicated loan of 250 million euros from the EBRD. The sum is by 55 million euros superior to...
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Fleet Management launches new service
Fleet Management Services, the first Romanian company active in the auto fleet management sector, launched a new service for the rental of long term vehicles. "Companies developed very...
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Tight vote in Parliament on the new Fiscal Code
The Chamber of Deputies yesterday approved the Fiscal Code project in record time. The law project barely passed the Chamber, as 92 deputies voted in favor while 89...
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Transavia Invests EUR 10 Million To Build A Plant
Transavia Alba Iulia started a EUR 10 million investment in a 8,000 sqm poultry plant in Oiesti, Alba. The unit will be situated close to a poultry abattoir...
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BT Asigurari forecasts over 50 million Euros pre-tax subscribed bonuses
The value of subscribed pre-tax bonuses of BT Asigurari (Insurances) went up 268% to 20.65 million Euros in the first five months of the year compared to the ...
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Tens of SAPARD projects risk being canceled
Ioana Garlea, regional director for the Payment Agency for Rural Development and Fisheries (APDPR) in Alba Iulia, announced that tens of SAPARD financing contracts in six counties in...
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Romanian transporters unprepared for EU market
Romanian transporters are not sufficiently prepared to face EU competition so they must take the proper measures in order to adapt, according to president of the Cargo &...
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Media mogul launches press agency on Romanian market
The group Realitatea Media has launched a new press agency NewsIn on the Romanian market on Monday, which aims at competing with the other leading agencies such as ...
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Minister's wheat price considered too low
Farmers are not satisfied with Agricultural Minister Gheorghe Flutur's proposal regarding the stability of the reference price for this year's wheat. ; The minister has proposed 12 eurocents...
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Bucharest to see new tallest building
The Cefin Group will build the tallest building in the capital, to be located in Sector 2. The complex will comprise office, retail and hotel spaces. The total...
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TMK plans to increase its authorized capital
The BOD of the Pipe Metallurgic Company OJSC (TMK) has taken a decision to convene an extraordinary general meeting, the Company informs. The meeting will consider the increase...
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K Tech-Ultra Pro is authorized distributor of Pinnacle Systems
K Tech ? Ultra Pro is, as of June, the authorized distributor of Pinnacle Systems, a world leader in supplying complete video editing solutions. K Tech _Ultra Pro...
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Romania might cover over 36 percent of domestic demand of sugar in 2006
Over 36 percent of the domestic demand of sugar in Romania, approx. 450,000 tonnes, might be supplied from the internal production this year. The year 2006 is the...
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Rent-a-car businesses have increasingly more clients in Romania
Still in an early phase, the rent-a-car services with limos are increasingly demanded by businesspeople, hotels and embassies, and the estimated number of such cars is some 100...
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Corridor 4 is main government priority, Premier Tariceanu says
Corridor 4 is the main government priority in the field of road infrastructure, premier Calin Popescu Tariceanu declared on Wednesday, in Parliament at the debate of the no-confidence...
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EUR 308 bln in Structural Funds for 2007-2013
Approx. EUR 308 bln, i.e. 35.7 per cent of the total budget of the European Union will be available as structural funds in 2007-2013. The European Parliament endorsed...
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EUR 14.5 M investment in Timisoara Industrial Park
Investment in the Industrial Park in Timisoara has reached EUR 14.5 M, about 60 per cent of the plots beings taken by eight companies in the auto, industrial,...
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Avicola Focsani sales have grown by 80%
The sales of Avicola Focsani have grown by 80% last week, when the sources of bird flu in Vrancea county disappeared. Following the identification of bird flu sources...
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Farmer programme has 482 projects in progress
Almost 26 percent, namely 482 of the projects in progress under the Farmer Programme, were submitted to the Payment Agency for Rural Development and Fishery (APDRP), until June...
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Romanian-US bilateral trade witnesses significant upward trend
The dynamics of Romanian-US bilateral trade have witnessed a significant upward trend, over the past five years, both in terms of the Romanian exports and imports, with record-high...
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Romania to receive structural funds worth EUR 17.3 billion after EU accession
Romania will receive after she becomes an EU member some 17.317 billion euro structural funds for the 2007-2013 period, the European Parliament decided on Tuesday. Romania was...
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Budget-Finance Committee endorses Fiscal Code draft
Deputies in the Budget - Finance Committee yesterday endorsed the Fiscal Code draft by a majority vote, with a series of amendments. These modifications primarily regard the levying...
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NBR's foreign currency reserve drops to 18,177bn euros
Foreign currency reserves of the National Bank of Romania continued to drop in June following payments made on the foreign debt, reaching 18.177 billion euros. This figure is...
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Englishman takes over Snack Attack for 200,000 euros
Businessman Alistair Willis has become the majority shareholder of Snack Attack, with 60% in the share capital, following a capital contribution of about 200,000 euros, show data published...
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Transelectrica IPO, oversubscribed 6.5 times
Transelectrica shares that were put on sale through an initial primary public offering were oversubscribed by 6.46 times, with investors submitting bids for 47.38 million shares, totalling a...
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Perla Harghitei boosts production capacity
Mineral water and soft drinks producer Perla Harghitei has recently begun bottling mineral water for water cooler systems "We intend to have the Cristalina mineral water for water...
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World Bank grants Romania loan for social integration projects
Romania will receive a 47.2 million euros loan from the World Bank for the financing of a social integration project. The World Bank Directors Council approved the loan...
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RCS&RDS will issue stock
Tri-play services provider RCS & RDS will issue stock in order to increase share capital from 273,066 RON to 12 million EUR in RON-equivalent. The shareholders will convene...
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ABS Launches ERP Solution
Consultancy firm Architected Business Solutions (ABS) has launched an ERP solution for small- and medium-sized enterprises. The ARIS Smart Path includes technology from SAP and IDS Scheer modules...
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Economy Ministry plans to float several utility companies
A number of stakes in state-owned utility companies, which include Transgaz, the four privatised branches of Electrica, Nuclearelectrica, and the two Distrigaz will be put up for sale...
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Shabum interested in Tractorul
Israeli-based Shabum International, in association with the Iscar company, announced that they are interested in the privatization of Rulmentul Brasov company. Shabum submitted a letter of intent...
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Lenovo wants to expand
The Romanian branch of the Chinese-based Lenovo wants to become one of the first three producers of computers in Romania by expanding its distribution network and launching new...
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Three bonds issues cancelled
The Ministry of Public Finance has annulled the benchmark bonds issue of July and the two treasury certificates issues scheduled for July and August. The measure was brought...
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Raiffeisen offers credits for SMEs
Raiffaisen Bank opened a credit line of 30 million euros from the German bank Kreditanstalt fur Wiederaufbau (KfW) for local small and medium-sized enterprises (SMEs). The operation is...
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Amonil Puts 1.15 Mln USD In Amochim Share Capital Increase
Shareholders in fertilizers producer Amonil - Slobozia on Tuesday authorized the company's participation in the increase in the share capital of Amochim by 1.15 million USD equivalent in...
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Orange, Vodafone offer new service
Orange Romania and Vodafone Romania announced that, starting today, their 3G clients can communicate through video calls. The tariffs for the calls made between the clients of the...
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Investments of over 500,000 euros could be tax exempt
Companies that invest more than 500,000 euros within a five year period could be exempted from payments of land and building taxes to local councils, according to a...
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Trade deficit up again in May
The trade deficit was up 1.2 billion euros in May and reached 4.63 billion euros in the first five months of the year. Exports reached 10.379 billion euros,...
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Stock exchange spotlights public offerings of state-held shares
Part of the share packages of utilities companies controlled by the state will be sold through the stock exchange, announced yesterday Minister of Economy Codrut Seres. The move...
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Halewood expects 11.5m-euro turnover in 2006
Halewood Romania group forecasts turnover will top 11.5 million euros this year, an increase of 10% from 2005, in the context where more than half of the wine...
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ING Asigurari sells 177.4m-RON in policies in five months
ING Asigurari de Viata (life insurance) in the first five months of this year sold policies worth 177.4 million RON, up 12% in comparison with the January-May 2005...
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Bucharest Fine Mechanics Co. Sets Up Farming Co.
Bucharest Fine Mechanics Co. (Mecanica Fina Bucuresti), a manufacturer of measurement instruments, has set up Itagra, a farming company with a share capital of 3.7 million RON, of...
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Tiriac's real estate empire out in the open
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A Romanian governmental delegation led by the state secretary in the Ministry of European Integration, Leonard Orban, will begin today in Brussels, negotiations for joining the European Economic...
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Agriculture Ministry: 7bn euros for rural development in 2007 to 2013
The European Union will support the National Plan for Rural Development for 2007 to 2013 with an average of one billion euros annually in the first seven years...
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SAPARD director dismissed for inefficiency
Minister of Agriculture Gheorghe Flutur dismissed the general director of the Payments Agency for Agriculture, Rural Development and Fishing (APDRP), Samoila Szabo, for lack of efficiency. The minister...
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Borrowing boom could deepen crises
Extensive borrowing in foreign currencies by consumers and businesses in aspirant European Union member countries could escalate dramatically local financial crises, a central bankers? task force has warned....
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Cosmote makes 86m-euro profit on paper
Mobile telephony operator Cosmote Romania posted a gross profit worth 85.64 million euros (310.34 million RON) last year, over 12 times as much as the net turnover, worth...
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Grawe goes shopping
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RBL expects over 70m euros in contracts
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French owners reorganise Distrigaz Sud operations
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33m-euro net income for Electrica Muntenia Sud
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Number of employees reaches six-year high
The recruitment in the trade sector, administration and technology-related industries has taken the number of employees in the economy to the highest level reached since November 1999, that...
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Kronospan slips into the red despite rising production
The two plants Austria's Kronospan group owns in Sebes last year posted cumulated turnover worth 140.3 million euros and gross losses standing at approximately half a million euros,...
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Orlando Nicoara joins MediaPro team
MediaPro is reorganising its Internet business into a separate company, MediaPro Interactive, run by Orlando Nicoara. MediaPro Interactive will be in charge with the Internet dimension of the...
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Rompetrol Petrochemicals invests in PET production
Rompetrol Petrochemicals, the petrochemical division of Rompetrol Group, 100% owned by Rompetrol Rafinare (Rompetrol Refining), will build a PET plant (PET - raw material from which plastic objects...
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Nycomed buys local distributor
Danish pharmaceuticals producer Nycomed recently bought the Romanian company Ruby De Tacos, previously its distributor on the local market, according to a press release. The value of the...
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Shell Gas Romania sales increased 11%
Shell Gas Romania registered a gross sales growth in 2005 of 11 percent, from 57.38 million euros in 2004 to 63.34 million euros. The gross profit of the...
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Orange, Romanian Police sign agreement
The Romanian Police and Orange signed a protocol on the live, streaming broadcast for mobile phones with images of traffic taken over from the video surveillance system on...
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Small enterprises to pay turnover tax
Deputies from the Budget-Finance Commission decided yesterday that small enterprises would have the possibility of choosing the payment of a two percent tax from their turnover, the figure...
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World Bank: Romania, 43th largest economy
Romania ranked 43th in the league of 162 largest economies in the world in 2005. The classification was made after the GDP calculated by purchasing power parity (PPP)...
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Astaldi and Alpine fined for poor construction work
The companies that constructed the Otopeni overpass and the one that crosses the capital's northern ring will be fined because of the poor quality of works and delays...
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New Romtelecom services
Local landline phone operator Romtelecom launched yesterday the new data service VPNoI (Virtual Private Network over Internet) for small and medium-sized enterprises. The VPNoI technology offers improved security...
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Augsburg International expects 30% higher business
Augsburg International, the importer and distributor of car parts and accessories, expects business to reach 35 million euros, an increase of 30% from the previous year, as a...
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GTC buys land in Bucharest
Real estate company Globe Trade Center Real Estate Investments Romania (GTC) acquired a land north of Bucharest for 10.24 million euros. The land is located on Poligrafiei Boulevard...
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Atlas Corporation expects 34m-euro turnover
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Romanian market boasts fastest growth in the Balkans
Benoit de Lavarene, marketing manager with Danone Romania, says the French group's target is to turn Romania into a regional hub.

"The Romanian market is witnessing the fastest growth pace in the region, which is also propping up the regional expansion of the Balkan market. I believe the growth pace of the Romanian market of fresh dairy products will be 50% higher than the one registered by Bulgaria," he says.

Lavarene explained that the idea of a regional business was not specific to the French group, but specified that such a form of organisation was based on the possibility of transfers between the plants the group owns in these countries.
 
In his opinion, the elimination of customs duties in the wake of EU accession will lend support to this regional construction, having its centre in Romania.

"EU integration will generate lots of export opportunities and will also open the Romanian borders to strong competitors," he believes. The elimination of custom duties will certainly boost exports. In the region, Danone has plants only in Romania and Bulgaria.

"Everything depends on demand coming from the markets we could export to. We have to develop the domestic market and take into consideration any opportunity that may arise on neighbouring markets," he says. Lavarene specified Romania was playing a crucial role in the Balkan region owing, on the one hand, to the growth potential of its market and to the rising number of consumers, on the other.

"In Romania we must make sure we are not missing any opportunity of speeding up our business," he adds.

Benoit de Lavarene has been with the Danone group for almost 20 years, having filled various positions in marketing departments, especially in France. Before coming to Romania, he worked as a marketing manager in Morocco for three years. Lavarene has been marketing manager with Danone Romania for almost one year, working at the same time as marketing manager for the Balkans.

"I'm spending most of my time in Romania because I have both operational tasks here, as well as the task of integrating marketing teams," Lavarene said. His duties in Romania include boosting turnover and profitability and the building of a top position for the brands in the group's Romanian portfolio. Since he came to Romania, Danone has entered a new segment of the dairy market, of fresh milk.

This year, Danone Romania has increased its marketing budget by 25% from 2005. For the company to successfully cope with market movements, brands need to be constantly renewed, according to Lavarene. At present, over 95% of Danone products displayed on the shelves of Romanian stores are manufactured in the plant of Bucharest. According to company officials, the 13 brands Danone produces in Romania are present in 80% of the stores selling fresh dairy products.

Danone Romania

# Part of Danone French food group, one of the world's biggest food industry players, present in 120 countries
# Last year registered turnover worth 70 million euros, 45 percent higher compared with 2004
# Has entered a new segment, of fresh milk
# Over 95% of Danone-branded products present on the shelves of Romanian stores are manufactured at the plant of Bucharest
# The 13 brands Danone produces in Romania are present in 80% of the stores selling fresh dairy products.

source
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