Baltic leaders gather in Latvia to discuss EU expansion AP WorldStream Monday, October 04, 2004 2:57:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — The prime ministers of Latvia, Lithuania and Estonia will meet Monday for talks on the European Union and NATO and improving transportation and trade ties between themselves and their neighbors, including Russia.
All three Baltic nations joined the EU and NATO earlier this year.
Lithuanian Prime Minister Algirdas Brazauskas is expected to raise the issue of ongoing NATO air patrols in Baltic air space, according to the Baltic Council of Ministers.
The council will also discuss formation of five committees to unify the three nations' policies on energy, transport, defense, environmental protection and interior affairs.
Also during the one-day meeting, the prime ministers will discuss the ongoing debate over the European constitutional treaty, future EU expansion and tax issues.
Established in 1994, the Baltic Council's aim is to ensure cooperation among the governments of Latvia, Lithuania and Estonia, all of which regained their independence amid the 1991 Soviet collapse.
Latvian Seeks Seismic Monitoring Stations AP Online Wednesday, October 06, 2004 9:25:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia's National Geology Service said Thursday it hopes to get funding from the Environment Ministry to build five seismic monitoring stations throughout the country.
The request came two weeks after a magnitude-5 earthquake shook the Russian exclave of Kaliningrad, tremors from which were felt in Poland, Lithuania, Latvia, Estonia and along Sweden's southeastern coast.
Uldis Nulle, the deputy director of the National Geology Service, said the five stations would become part of the European and global earthquake monitoring network, with one station feeding information directly to a central geological research station, GeoForshungsZentrum, in Potsdam, Germany.
The price for the five stations would be about 150,000 Lats (euro224,000, US$274,725), according to a Latvian Geology Service estimate.
One station would be placed near the eastern city of Daugavpils, 193 kilometers(120 miles) east of the capital, Riga, near Latvia's border with Russia and Belarus, said Nulle.
That station could help lure funding from the European Union and United States, he said, because it would be able to measure seismic activity around the antiquated nuclear power plants in Ignalina, Lithuania, and Chernobyl, Ukraine, the site of a catastrophic accident in 1986.
Latvian Environmental Minister Raimonds Vejonis said his ministry could not fund the project this year because the national budget for 2005 had already been submitted, but said he would consider the request in the future.
Latvia's current seismographic monitoring station in Valmeira, 101 kilometers(63 miles) northeast of the capital Riga, is woefully obsolete, said Nulle, and uses measuring equipment that often shuts off on its own.
Latvian broadcasting authorities fine Russian-language station for airing Soviet propaganda AP WorldStream Wednesday, October 06, 2004 9:32:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia's National Radio and Television Council on Wednesday fined a Russian-language television network for broadcasting a program in September claiming the Baltic countries of Latvia, Lithuania, and Estonia voluntarily joined the Soviet Union in 1940.
The Latvian-based First Baltic Channel, which broadcasts productions by Russia's ORT TV network to the Baltic states, was fined 2,000 Lats (Ç2,985, US$3,663) for the broadcast, which claimed the Baltics joined the Soviet Union voluntarily and were not invaded by the Red Army.
Lithuania's Radio and Television Commission, which has the legal authority to issue or revoke broadcasting licenses in that country, strongly objected to the broadcast last month and asked their Latvian counterparts to look into the matter, even suggesting they should consider shutting the network down.
But the Latvian Radio and Television Council decided to fine the network instead, said Ingrida Stroda, a council member.
"The law states that in radio and television broadcasts, the facts must be presented honestly, objectively and according to the ethical principals of journalism. In this case, only one opinion, the occupier's, was presented," she told AP.
Stroda said First Baltic executives sent a letter to the council accepting responsibility for the broadcast and the fine. She said the council opted not to shut down the network but could do so if a similar incident were to occur in the future.
A lawyer for First Baltic, Vadim Baranik, said Thursday the network thought the fine was unwarranted and that the network broke no laws by broadcasting the program.
The Red Army invaded the three Baltic countries in 1940, replaced the governments, executed military leaders and started mass deportations to Siberia. The Baltic states were later occupied by Nazi Germany until the Red Army returned to re-establish Soviet rule from 1944-1991, when the Baltics regained their independence.
Balts, Central Europeans, Nords to seek EU line on Russia Reuters World Report Friday, October 08, 2004 12:33:00 PM
Copyright 2004 Reuters Ltd.
By Marcin Grajewski
BRUSSELS, Oct 8 (Reuters) — A novel grouping of Baltic, Nordic and Central European countries will meet on Sunday to discuss a common European Union line towards Russia and other East European neighbours, diplomats said on Friday.
At the initiative of Lithuanian Foreign Minister Antanas Valionis, 10 countries -- Poland, Hungary, the Czech Republic, Slovakia, Lithuania, Latvia, Estonia, Sweden, Denmark and Finland -- will hold a working dinner in Luxembourg on the eve of a regular EU foreign ministers' meeting.
"These countries want to play a role in shaping Europe's eastern policy, to be able to highlight issues that are not always recognised by other states," a senior diplomat from one of the participating nations said.
Among issues likely to be discussed, he said, were the political situation in Russia after last month's bloody Beslan school siege, President Vladimir Putin's policy of centralising power under the Kremlin, and EU ties with Ukraine and Belarus.
A Nordic diplomat said the six Nordic and Baltic ministers met regularly to discuss a range of common interests, and the only new feature was the decision to invite the so-called "Visegrad four" from central Europe.
But the other senior diplomat said the group could turn into a regular caucus on ties with Moscow and its so-called "near abroad."
"This has a chance of becoming a stable forum for exchanging views," he said.
The ex-communist central European countries which joined the EU in May generally favour a firm line on human rights and are suspicious of what many see as Russian attempts to seek continued dominance in the region.
By acting together, the 10 aim to strengthen their hand in shaping the 25-nation bloc's eastern policy.
Most also favour giving Ukraine and Belarus a long-term prospect of becoming EU members if they meet the same standards of democracy, human and minority rights and rule of law required of other candidate countries, such as Turkey.
The big west European states — Germany, France, Britain and Italy -- tend to see Russia as a strategic partner and are less inclined to challenge Putin on his record on human rights, democracy and media freedom, analysts say.
French President Jacques Chirac and German Chancellor Gerhard Schroeder have held several joint meetings with Putin to coordinate their diplomacy, including in opposing the U.S.-led war in Iraq.
Italian Prime Minister Silvio Berlusconi caused widespread embarrassment last year when, while holding the EU presidency, he praised Putin's policies in Chechnya and on media freedom and defended the arrest of oil magnate Mikhail Khodorkovsky.
Estonian soldiers return to Iraq AP WorldStream Monday, October 11, 2004 3:25:00 AM
Copyright 2004 The Associated Press
TALLINN, Estonia (AP) — Members of Estonia's troop contingent in Iraq returned to the country after a week of vacation, officials said Monday.
The 32-strong unit, commanded by Capt. Janno Mark, left the Estonian capital Friday morning and is expected to return to Baghdad by the end of this week, the Defense Ministry said.
The light infantry unit, or ESTPLA-9, officially ends its tour of duty in Iraq in December.
The unit is serving with the U.S. 1st Cavalry Division in the Abu Ghraib district of Baghdad.
Governments in the Baltics, including Estonia, Latvia and Lithuania, have been outspoken supporters of U.S. policy in Iraq, all three dispatching forces last summer. Latvia has about 133 soldiers in Iraq, while Lithuania has nearly 200. Estonia has 45 soldiers there.
Latvian prime minister told to rest after heart condition diagnosed AP WorldStream Wednesday, October 13, 2004 7:42:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — Doctors on Wednesday advised Latvian Prime Minister Indulis Emsis to take it easy for awhile after they discovered he is suffering from a heart ailment, his spokeswoman said.
A day after falling ill and being taken to the hospital, doctors gave the 52-year-old Emsis a cardiology exam on Wednesday morning and discovered he had a heart condition, his spokeswoman Ilona Lice said.
Lice didn't specify what the problem was, but said it was not dire, adding that Emsis is fulfilling his duties as prime minister.
He is, however, limiting his public appearances.
Emsis canceled a scheduled meeting on Wednesday morning with Organization for Security and Cooperation in Europe, or OSCE, head Rolf Ekeus, who is visiting Latvia, but still planned on lobbying parliament for support for his proposed 2005 national budget later on Wednesday, said Lice.
Amid Eastern Europe's economic recovery, children fall behind AP WorldStream Wednesday, October 13, 2004 8:45:00 AM
Copyright 2004 The Associated Press
By JIM HEINTZ
Associated Press Writer
MOSCOW (AP) — Although the formerly communist countries of Eastern Europe and Central Asia are seeing substantial economic improvement, millions of their children still languish in poverty and the problem is worsening in some countries, UNICEF said in a report released Wednesday.
Child populations are rising most quickly in the region's most impoverished countries, said the report by the United Nations Children's Fund. In addition, public health expenditures in some of the countries have declined at a rate sharper than their economies are rising, the report shows.
"Economic growth alone does not benefit children," UNICEF executive director Carol Bellamy said at a news conference launching the report.
The report notes that full assessment of the child poverty conditions in 27 countries -- the former Soviet republics and once-communist countries of Europe -- is difficult because of a dearth of recent data and widely varying local standards of what constitutes poverty.
For example, the report said, comparatively prosperous Latvia sets the poverty line at 51 percent of per-capita GDP while Georgia, where per-capita GDP is only 25 percent of Latvia's, sets the poverty line at 63 percent.
In nine countries for which recent data were available, 14 million of 44 million children were living in poverty, the report said. The countries cited were Poland, Russia, the Czech Republic, Belarus, Albania, Azerbaijan, Armenia, Georgia and Kyrgyzstan.
Azerbaijan was among the countries where annual per-capita spending on public health declined in recent years, the report said: just US$32 (Ç26) in 2001, less than was spent in 1998, even though national income rose about 10 percent annually in the period. In Tajikistan, the poorest of the former Soviet republics, the report said health expenditures stayed flat at about US$12 (Ç10) despite 7 percent economic growth.
The report also expressed concern about population growth in the countries of formerly Soviet Central Asia. It noted that in 1990, 11 percent of the survey region's impoverished children lived in Tajikistan, Kyrgyzstan and Uzbekistan and that in 1992 those countries plus comparatively small Moldova accounted for 17 percent of the region's poor children.
— — — — —
On the Web:
UNICEF report site
http://www.unicef-icdc.org/presscentre/indexNewsroom.sqlh
Latvia rejects 'euro' spelling compromise but won't spoil ceremony AP WorldStream Thursday, October 14, 2004 6:34:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — The Latvian government said Thursday it won't spoil this month's signing ceremony for the draft European Union constitution, despite rejecting a compromise on how one key word in the text -- "euro" -- should be spelled in its language.
Andris Razans, the foreign policy adviser for Prime Minister Indulis Emsis, told The Associated Press that the Latvian government objected to a compromise proposed Tuesday by EU diplomats, which called for using "euro" in the singular nominative and the root "eur," with various national declensions, in the plural or other cases.
Razans said Latvia could stand in the way of future legislation until the issue is resolved but would not delay the Oct. 29 signing in Rome of the EU's proposed constitution, a legal document that has to be precisely translated into all official languages.
In Latvia, where the word "Europe" is spelled "Eiropa," the "eur" root of the word is meaningless and difficult for Latvians to pronounce.
EU leaders agreed in the mid-1990s that their new single currency would be spelled the same in every language except Greek, which has its own alphabet, and wanted to extend the mandate to include the 10 countries that joined the bloc in May. But five of the new EU members, including Latvia, spell it differently in their own tongues.
In some nations, the problem was with declension, where the word takes a different ending depending on its case. For example, in Lithuanian, a single euro is "euras," while "euro" means "of euro."
A spokesman for the Dutch presidency confirmed on Thursday that Latvia and Hungary rejected Tuesday's compromise, which would have also allowed countries to use their national spelling in national legislation, he said on customary condition of anonymity.
Because the translated texts of the draft EU constitution had to be finalized Wednesday, the presidency decided to go ahead with the compromise formula, despite the objections, he said.
"It has to be printed and sent to Rome for the ceremony," he said. "We don't have any signs that they will not sign because of this."
As to what will happen in future texts, he suggested it would not be up to the Dutch. The EU presidency rotates every six months, meaning Luxembourg takes over in January.
"We did our utmost best to find a compromise, to comfort them," he said. "I know this is something very sensitive."
Most Latvians will see Tuesday's compromise as a case of the EU meddling in a national issue, language, that Latvians hold very dear, said Razans.
"Nobody joined the EU with the idea that we'd have to make changes to our language," he said. "It will be very difficult for people to understand."
Valentina Skujina, who heads the committee that introduces new terminology into the Latvian lexicon, said Tuesday's compromise would be hard for Latvians to swallow.
"I guess an exception could be made for this one particular word but the nation and people are not going to like this and where do we draw the line?" Skujina said after the compromise was announced Tuesday.
— — —
Associated Press reporter Paul Geitner in Brussels, Belgium, contributed to this report.
Survey: Russia a World Leader in Corruption AP WorldSources Online Thursday, October 14, 2004 8:16:00 AM
Copyright 2004 The Associated Press
Copyright 2004 The Moscow Times
Valeria Korchagina
Global Competitveness Rankings: 1. Finland 2. U.S. 3. Sweden 4. Taiwan 5. Denmark Former Soviet Union 20. Estonia 36. Lithuania 44. Latvia 70. Russia 86. Ukraine Only five former Soviet republics were ranked. Source: World Economic Forum
Corruption hits businesses harder in Russia than in almost every other country, a new survey shows.
Of the 104 nations surveyed by the World Economic Forum for its annual Global Competitiveness Report, only four -- Madagascar, Ukraine, Macedonia and Chad -- were found to be worse than Russia when it comes to the costs crooked officials impose on companies.
Despite ranking near last in several other categories, too — only Ukraine and Paraguay top Russia when it comes to laundering money, for example -- the country retained its No. 70 ranking for overall competitiveness and actually moved up four slots in terms of business competitiveness.
Based on interviews with more than 8,700 business leaders around the world, the survey concluded that corruption remains Russia's biggest economic weakness, followed by vague and complex tax laws, poor access to financing and an inefficient government.
In several categories, in fact, Russia lags behind many of the world's poorest nations.
When it comes to irregular payments in judicial proceedings, for example, Russia is sandwiched between Macedonia and Angola at No. 83, while in terms of bribery related to import and export permits it ranks 91st, just above Mozambique and below Uganda.
In the bureaucracy category, as measured by the amount of time senior executives spend negotiating with government officials, Russia ranks 89th, slightly better than Ghana and slightly worse than Honduras.
The dynamics of corruption are certainly negative, said Georgy Satarov, who runs Indem, a think tank that focuses on problems related to corruption. And this relates to all aspects of it -- scale, size of bribes, the system's defense mechanisms -- even blatancy.
Satarov said the government lacks the will to implement a systematic and comprehensive program to deal with the issue, settling instead for half-hearted administrative and tax reforms.
It is like trying to irrigate the Sahara with a glass of water, he said.
Corruption is so deeply embedded in this country that it seems to function like a virus that survives attempts to eradicate it by mutating.
At best relations between businesses and the state do not change, said Ksenia Yudayeva, a scholar-in-residence focusing on economic issues at the Carnegie Moscow Center. Even when the laws are changed in favor of business, the system itself adjusts to the starting point, she said.
Even government officials admit the issue is not a priority.
At one point paperwork was falling a little, and if it is rising again then it is obvious that we must work on it again, said Arkady Dvorkovich, head of the presidential administration's Expert Department.
There has definitely been a pause in this process of cutting administrative barriers -- at one point in 2000 and 2001 this was the main priority and it was seriously worked on, but the past few years it has hardly been worked on at all, Dvorkovich told reporters Tuesday. The administrative system has started to work again by its eternal rules -- it reproduces itself and gives birth to a lot of rules and paperwork.
President Vladimir Putin's top economic adviser paints an even darker picture.
Corruption has grown, become more qualitative, more implanted and moved into new spheres, Andrei Illarionov told The Moscow Times. One could say this phenomenon has come to every house, he said without elaborating.
Alexei Moisseyev, an economist at Renaissance Capital, said the effect that corruption and red tape have on the economy might be better understood if the money and time companies spend as a result are viewed as a kind of tax.
High taxes can hurt economic development, particularly if revenues from them are not distributed to society equally, Moisseyev said.
But this burden is less noticeable when the country is swimming in petrodollars, he said.
On a more positive note, Russia ranked: fifth in terms of hiring and firing practices; eighth in federal budget health; 17th in wage flexibility; 19th in quality of scientific research institutions; 25th in the effect HIV/AIDS has on business, and 26th in railroad development.
Staff Writer Guy Faulconbridge contributed to this story.
Latvia supports Georgia's accession to EU, NATO AP WorldSources Online Thursday, October 14, 2004 1:55:00 PM
Copyright 2004 The Associated Press
Copyright 2004 WorldSources
Copyright 2004 Xinhua
RIGA, Oct. 13 (Xinhua) — Latvian President Vaira Vike-Freiberga said Wednesday that his country supports Georgia's bid to join the European Union (EU) and NATO, according to local reports.
At a meeting with visiting Georgian President Mikhail Saakashvili, Vike-Freiberga said Latvia, as a member of the EU and NATO, is willing to use its role to help advance Georgia's interests.
Saakashvili said that from the perspective of tradition and history, Georgia is a European country, and that the EU should be open to any country with European character.
The two presidents also signed a declaration on mutual support and cooperation, and decided to cooperate in immigration and border control.
Saakashvili, who arrived in Latvia after a trip to Estonia, is the first Georgian president to visit the Baltic countries after the collapse of the former Soviet Union in 1991.
Russian foreign minister to weigh EU 'partnership' chances AP WorldStream Monday, October 18, 2004 8:06:00 PM
Copyright 2004 The Associated Press
By ROBERT WIELAARD
Associated Press Writer
BRUSSELS, Belgium (AP) — Russian Foreign Minister Sergei Lavrov meets with senior European Union officials Tuesday for negotiations on a "strategic partnership" that should be sealed in a special accord at a Nov. 11 EU-Russia summit.
So far, however, EU officials said the talks were making little headway and they hope Tuesday's meeting in The Hague, the Netherlands, will provide a fresh impetus and boost flagging relations.
Russia has balked at a "new European neighborhood" agreement that the EU is pursuing with all its neighbors after its May 1 expansion, saying it does not want to be grouped with Ukraine and Moldova and instead seeks a deal that reflects its status as a world power.
That led the EU to draft a "strategic partnership" in four areas: trade and EU investments in Russian transport, telecommunications and energy projects; cooperation in law enforcement and nonproliferation issues; settling border disputes with EU members Estonia and Latvia; and negotiations for visa-free travel for Russians in Western Europe.
"We are trying to fill in these areas with concrete action, but there are problems," an EU diplomat who asked not to be named said Monday.
Russian President Vladimir Putin is to attend the summit in The Hague with Prime Minister Jan Peter Balkenende of the Netherlands, which holds the EU presidency.
This year, the EU absorbed three former Soviet republics — Estonia, Latvia and Lithuania -- and four former Soviet allies -- Poland, Hungary, the Czech Republic and Slovakia. They joined along with Slovenia, a former Yugoslav republic, and Cyprus and Malta.
EU officials say Russia is wary of Western Europe reaching out economically and politically to Moscow's "near abroad" -- countries such as Ukraine, Moldova, Belarus and the former Soviet republics in the Caucasus.
Russia wants only "a bilateral relationship with the EU ... and a free hand to try to reintegrate its near abroad," says Michael Emerson, Senior Research Fellow at the Center for European Policy Studies in Brussels.
The "strategic partnership" would commit Russia to finding a negotiated settlement to border disputes with EU members Estonia and Latvia and to respect for human rights, the rule of law and the nonproliferation of weapons of mass destruction.
Relations have never been easy, and lately EU officials have seen a fading commitment to democracy in Moscow, notably after the Sept. 1-3 terrorist attack on a school in the southern town of Beslan that left nearly 340 dead, many of them children.
It also has had tough negotiations over a visa arrangement for Russians traveling to Kaliningrad, a Russian enclave on the Baltic Sea that is surrounded by EU countries Lithuania and Poland.
Two-way EU-Russia trade in 2003 amounted to Ç85 billion (US$106 billion). Russia is the EU's fifth biggest trading partner, after the United States, Switzerland, China and Japan, while the EU is Russia's main trading partner, accounting for more than 50 percent of its total trade.
The "strategic partnership" aims to boost European investments in Russia's energy sector. Already, 58 percent of imports from Russia is oil and natural gas, and with Europe's own oil and gas production declining, dependency on foreign sources will rise in the decades ahead.
Latvia sees 2004 deficit below 2 percent Reuters World Report Wednesday, October 20, 2004 4:19:00 AM
Copyright 2004 Reuters Ltd.
By Daniel Flynn
MADRID, Oct 19 (Reuters) — Latvia will end the year with a lower-than-expected budget deficit of 1.6 percent of gross domestic product (GDP), putting it on track to meet criteria for joining the euro zone, Deputy Prime Minister Ainars Slesers said on Tuesday.
In an interview with Reuters, Slesers played down recent remarks by Latvia's Central Bank governor that the new European Union member could miss inflation targets for joining the euro currency unless the government lowers its deficit.
Latvia plans to join ERM-2 — a waiting room for euro entry which links the national currency to the euro -- on January 1. To do this it has to meet limits on budget deficit, inflation and interest rates. It aims to adopt the euro in 2008.
Slesers, who coordinates Latvia's economic policy, said the government deficit would come in below the 2 percent of GDP forecast in the 2004 budget, comfortably beneath the 3 percent euro zone limit.
"This year our decision was not to have more than 2 percent but actually we see the real figures will be much better, we will have just 1.6 percent," he said. "Latvia is following the rules."
"Inflation has already started to go down, and we predict not more than 3 or 4 percent inflation next year," Slesers said.
He said annual inflation would end this year no higher than 7 percent, after peaking at 7.8 percent in August. Latvia's inflation rate dipped slightly to 7.7 percent in September.
He also forecast Latvia, one of 10 countries that joined the EU in May, would achieve the highest growth rate in the European Union this year, of around 8 percent.
"GDP growth will not be less than 8 percent in the coming years, this is what we have to achieve," he said, forecasting growth around this figure in 2005.
A draft of a key European Commission report obtained by Reuters on Tuesday showed Latvia meeting just two of the five criteria for euro membership, dealing with inflation, budgetary deficit, national debt, long-term interest rates and national currency.
Sweden and Lithuania scored best in the report, due out officially on Wednesday, satisfying three of the criteria.
Latvia — old Europe can learn from new EU members Reuters World Report Wednesday, October 20, 2004 4:19:00 AM
Copyright 2004 Reuters Ltd.
By Daniel Flynn
MADRID, Oct 19 (Reuters) — Founder members of the European Union such as France and Germany can learn from the more competitive tax and labour policies of newer states, Latvia's Deputy Prime Minister Ainars Slesers said on Tuesday.
Slesers said Latvia's recent reduction in its corporate tax rate to 15 percent from 25 percent was an example for older EU members with higher taxes.
Latvia was among 10 countries that joined the EU on May 1.
French Finance Minister Nicolas Sarkozy sparked controversy last month when he said France would propose stopping new EU states with corporate tax rates below the bloc's average from receiving structural funds -- assistance to poorer regions of the EU.
"The 10 new member countries are like some kind of wake up call for old countries which think that, with high taxes and the reduction of working hours, they can be competitive," Slesers said in reference to Sarkozy's remarks.
France and Germany, which impose heavy taxes on companies, are pushing for greater tax harmonisation to stop companies from moving to low-tax EU states, mainly in central and eastern Europe.
"If somebody wants to talk about the equalisation of the EU tax system, Latvia will support it -- we will offer Germany and France to reduce their taxes to the level of Latvia," Slesers told Reuters in an interview.
"We support equal taxes for the whole of Europe, but we will never increase our taxes," said Slesers, who is a member of a centre-right coalition led by Green party Prime Minister Indulis Emsis.
Slesers, who is also acting transport minister, said corporate tax revenues had actually increased by around 50 million euros since the introduction of the lower rate because tax evasion had decreased.
EU heavyweights France and Germany have both had to face slow growth and high unemployment in recent years.
By contrast, Latvia expects to have the highest growth in the Europe Union this year, at some 8 percent, Slesers said.
Incoming European Commission President Jose Manuel Barroso said earlier this month a single corporate tax rate for the EU would not work and could prevent smaller countries from attracting investment.
Corporate tax rates in the new EU countries range from zero in Estonia to 35 percent in Malta, according to German finance ministry figures.
Six further EU nations ready for Kyoto AP WorldStream Wednesday, October 20, 2004 10:02:00 AM
Copyright 2004 The Associated Press
BRUSSELS, Belgium (AP) — The European Commission approved emissions trading plans in six European Union countries Wednesday, bringing the total of EU nations ready to implement the Kyoto climate change pact to 14.
Officials said Belgium, Estonia, Latvia, Luxembourg, Portugal and Slovakia had met all requirements to start their schemes. It gave a further conditional green-light to Finland and France, if they make certain technical changes.
Environment Commissioner Margot Wallstrom said Wednesday's approvals marked "another key step" to implement the 1997 global climate change pact, which commits the 25-nation EU to cut its emissions of carbon dioxide by 8 percent from 1990 levels by 2012. So far, emissions are down only 2.9 percent.
But EU officials hope the start of the emissions trading scheme next January will change that.
The plans approved cover pollution quotas for more than 2,100 industrial sites, mainly factories and power plants.
The EU aims to involve some 12,000 such sites under its scheme.
Under the trading system, European companies that emit less carbon dioxide than allowed can sell unused allotments to those who overshoot the target. The profit motive is expected to drive efforts and technology and bring "substantial cuts" in emissions of carbon dioxide, which makes up 80 percent of the EU's greenhouse gases, EU officials have said.
In July the EU head office approved eight other plans from Denmark, Ireland, the Netherlands, Sweden, Slovenia, Germany, Austria and Britain, covering more than 5,000 industrial sites.
The plan starts in 2005 and stems from the 1997 Kyoto Protocol — a U.N. accord limiting carbon-dioxide emissions that degrade the earth's protective ozone layer.
Latvian defense minister says country to gradually reduce Iraq presence AP WorldStream Thursday, October 21, 2004 6:22:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia will gradually begin reducing the number of troops it has serving in the U.S.-led coalition in Iraq in November, Defense Minister Atis Slakteris said Thursday.
Latvia, which currently has 133 troops serving in a Polish-led contingent in Iraq, will reduce the number of its troops there to 110 after a new rotation of soldiers begins its tour in late November.
Latvia won't send anti-mine experts to the country after the current group completes its tour, Slakteris said.
The decision to gradually reduce the number of soldiers was planned and is not related to calls by Polish politicians to return their 2,400 soldiers from Iraq, he said.
"Poland is not going anywhere," said Slakteris, adding that Polish Defense Minister Jerzy Szmajdzinski said Poland could reduce its contingent after Iraq's parliament elections, but that "no radical changes will be made without consent by the coalition."
Slakteris said rumors of Poland withdrawing were politically motivated and likely stemmed from lack of popular support among Poles for the Iraq mission.
Even if Poland choses to withdraw troops, Slakteris said it would not be cause for Latvia to reconsider its mission in Iraq. The Latvian parliament's mandate for Latvian participation in Iraq does not expire until June.
"The Latvian unit is fully independent and can integrate into another unit," said Slakteris. "If no Poles were left in Iraq today, we would be ready to cooperate with Denmark. We have such experience from other international peacekeeping missions, it would not be a problem."
Latvia has nine soldiers serving in Afghanistan, one serving in Bosnia-Herzegovina and 11 in Kosovo.
"We will continue performing our obligations as provided for under the U.N. Security Council resolution valid until June 8, and nobody in the world knows what the situation in Iraq will be like after this date," Slakteris said.
Governments in the Baltics, including Estonia and Lithuania, have been outspoken supporters of U.S. policy in Iraq, all three dispatching a combined 250 troops last summer. Since then one Estonian has been killed, along with the Latvian soldier.
Popular support among Latvia's 2.3 million residents toward being in Iraq is mixed.
Russia's lower house of parliament ratifies EU cooperation protocol AP WorldStream Friday, October 22, 2004 6:36:00 AM
Copyright 2004 The Associated Press
MOSCOW (AP) — Russia's lower house of parliament on Friday ratified a protocol extending the nation's cooperation agreement with the European Union to the 10 new EU members, but expressed concern over the treatment of the Russian minority in new members Latvia and Estonia.
"After the entry of these states into the European Union, instead of the search for effective solutions of remaining problems -- first of all, the mass lack of citizenship (of Russian-speakers) -- the EU has taken the line of defending Latvia and Estonia from objective criticism," the lower house, the State Duma, said in a statement accompanying the ratification.
Deputy Foreign Minister Vladimir Chizhov tried to reassure the deputies that the agreement would give them a new lever.
"In the government's opinion, this adds instruments of influence over the Latvian and Estonian authorities concerning the rights of Russian-speakers," Chizhov said.
But opponents criticized the agreement as an alleged sellout of the Russian minorities.
"This is yet another capitulation by Russia," said Viktor Alksnis of the nationalist Homeland party.
"The most effective regulator of our relations with the West is a valve on our gas and oil pipelines and we need to use it as often as possible," said Albert Makazhov of the Communist Party.
The Russia-EU agreement, which Russian Foreign Minister Sergey Lavrov and EU officials signed in April, drops customs duties on cargo shipments between Russia and Kaliningrad, which became surrounded by the EU with the accession of Poland and Lithuania. It also lowers trade tariffs, raises Russian steel quotas, eases the impact of antidumping duties and leaves intact existing contracts for the supply of nuclear materials with the new EU states.
The Duma approved the agreement by a vote of 325-88, with one abstention. It remains to be ratified by the upper house and signed by President Vladimir Putin.
Latvian court sentences Swede to eight years for human trafficking AP WorldStream Monday, October 25, 2004 8:42:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — A Swedish national and his Latvian wife were convicted on Monday on charges of trafficking women from the Baltic state to Sweden to work as prostitutes.
The Riga Regional Court sentenced Martin Strandberg to eight years in prison, confiscated his assets and sentenced his wife Dace Strandberg to two years probation, along with a three-year suspended sentence, for sending three Latvian women, including a minor, to work as prostitutes in Sweden.
The three women were detained by Latvian border police before reaching Sweden, court spokeswoman Dace Vidzus said.
The couple began soliciting women in October 2003 and were arrested in January at the Riga Passenger Port, where daily ferries cross the Baltic Sea to Stockholm.
The Strandbergs have 10 days to appeal the ruling to Latvia's Supreme Court, but it wasn't known if they would so. Their lawyers were not immediately available for comment.
The International Organization for Migration, which tracks human trafficking, estimates that about 2,000 women and girls are trafficked abroad from the Baltic states of Latvia, Lithuania and Estonia each year.
Latvian government resigns after failing to get 2005 budget approved AP WorldStream Thursday, October 28, 2004 9:28:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia's government stepped down Thursday after lawmakers from one governing coalition party voted against the 2005 budget proposed by Prime Minister Indulis Emsis.
The fractured 100-seat parliament, or Saeima, voted 53-39 against the budget, while five lawmakers abstained.
Lawmakers from the center-right People's Party, which in March helped form the current government with Emsis' Greens and Farmers Party and Latvia's First Party, cast their 20 votes against passing the budget.
New Era, the Saeima's largest party with 24 seats, and For Fatherland and Freedom, with six, also voted against the budget, as did several independent lawmakers.
The People's Party wasted no time in setting up meetings for Friday with the four other center-right parties in the Saeima, including the Greens and Farmers, in the hope of cobbling together a government coalition with itself at the center.
Political analysts speculated that New Era and the People's Party, the Saeima's two largest with 44 votes between them, would form the most stable majority government if they could find a way to get along.
Emsis' coalition government also includes support from several left-wing parties, including the People's Harmony party and the Socialists, which voted Thursday in favor of his budget.
Emsis was in Rome on Thursday for the signing of the European Union Constitution. His spokeswoman Ilona Lice expressed regret that the government collapsed while Emsis was out of the country, but said he would stay in Rome for the signing. Now acting as caretaker prime minister, Emsis is still able to sign the document, as authorized by the Latvia's parliament.
Political analysts speculate New Era and the People's Party, the Saeima's two largest with 44 votes between them, would form the most stable majority government if they could find a way to get along.
Thursday's government collapse could undermine the job security of Latvia's embattled European Commissioner candidate, Ingrida Udre.
Emsis chose Udre, a fellow Greens and Farmers member, to replace Latvia's current EU Commissioner Sandra Kalniete in a move sharply criticized both at home and in Brussels.
At the time, the People's Party publicly supported retaining Kalniete for the post, as did New Era, and analysts said they would not be surpassed if a new Latvian government replaced Udre.
"It will very much depend on what our sister parties in the European Parliament do and whatever transpires ... in Rome," said People's Party parliamentary chairman Aigars Kalvitis.
Emsis' was the 11th government for the Baltic state of 2.3 million since it regained independence amid the 1991 Soviet collapse.
Latvia's center-right lawmakers begin talks about future government AP WorldStream Friday, October 29, 2004 2:22:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — A day after the Latvian government was forced to step down, the country's five center-right parties represented in parliament began holding bilateral talks on Friday aimed at forming a new government.
The government of Prime Minister Indulis Emsis stepped down Thursday after lawmakers from the largest party in his government coalition, the People's Party, voted against his proposed 2005 budget.
The five center-right parties together hold 77 seats in the 100-seat Saeima, or parliament. There are also three unaffiliated lawmakers who left the largest party in the Saeima, New Era, which holds 24 seats. Party leaders began a series of meetings on Friday to try to work out a new government coalition.
Leaders from New Era and the Saeima's second-largest party, the People's Party, with 20 votes, wasted no time in announcing that each thought his party should lead the next government.
Latvian President Vaira Vike-Freiberga, who is charged with naming the next prime minister candidate, was in Rome on Friday for the signing of the European Union Constitution, so no decision is expected until next week at the earliest.
Emsis' was the 11th government for the Baltic state of 2.3 million since it regained independence amid the 1991 Soviet collapse.
Russia-Vodka Spat AP Financial Friday, October 29, 2004 1:48:00 PM
Copyright 2004 The Associated Press
By ALEX NICHOLSON
Associated Press Writer
MOSCOW (AP) — The state-run Russian company that claims the rights to Stolichnaya vodka has targeted British spirits and wine group Allied Domecq in its fight to control the hundreds of millions of dollars in annual sales of the famed Russian vodka in the United States.
The filing in the Manhattan federal court on Thursday by lawyers representing Soyuzplodoimport is the first time the Russian government has extended its long-brewing fight with fugitive vodka tycoon Yury Shefler to the American market.
Soyuzplodoimport, which manages Stolichnaya and other vodka brands in Russia, alleges that Allied Domecq Plc broke the law when it signed a distribution deal with Shefler in 2001. Soyuzplodoimport says Shefler's SPI Spirits Group held the rights to Stolichnaya illegally.
SPI Group has said Stolichnaya is the world's best-selling vodka, with $500 million in consumer retail sales in export markets.
Chris Swonger, a senior vice president at Allied Domecq's Washington office, said his company's deal with Shefler's spirits group was "incontestable" and "ironclad."
"Allied Domecq will vigorously defend its rights," Swonger said.
Lawyers for Soyuzplodoimport, an arm of the Agriculture Ministry, allege that Shefler forged and destroyed documents to buy Stolichnaya and other popular Soviet era brands at a fraction of their market value in a murky insider deal in the mid 1990s.
They say the brands' previous owner — a Soviet food and drink importer -- had been wrongly privatized and had no right to sell what Soyuzplodoimport general director Vladimir Loginov called "an important part of Russia's national heritage."
"U.S. sales of vodka using the misappropriated marks now exceed $600 million annually," said Steven Madison, a lawyer with U.S. law firm Quinn Emanuel Urquhart Oliver & Hedges, which is representing Soyuzplodoimport.
When the Russian government launched a successful, but legally questionable campaign to recapture the domestic rights to the vodka labels in 2001, Shefler said the move was equal to renationalization.
Last year, Soyuzplodoimport said the World International Property Organization had recognized it as the lawful owner of the international registration for Stolichnaya and other vodka trademarks.
Shefler contended that Russia's state patents and trademark agency had signed the labels over to the government without the necessary court ruling.
In 2002, Russian prosecutors opened a criminal investigation into Shefler for allegedly threatening to kill Loginov during a telephone conversation. Shefler called those charges ludicrous, but has since moved his company out of Russia to Latvia.
A protracted courtroom fight is in the cards: while Shefler tries to take back some of the rights to Stolichnaya in Russia, Soyuzplodoimport has so far been unsuccessful in tackling the trademarks' registration overseas.
Reuters historical calendar — November 5 Reuters World Report Friday, October 29, 2004 8:52:00 PM
Copyright 2004 Reuters Ltd.
LONDON, Oct 29 (Reuters) — Following are some of the major events to have occurred on November 5 since 1900:
1997 — Isaiah Berlin, a leading English academic intellectual of the postwar era, died aged 88. [Isaiah Berlin was born in Riga, Latvia in 1909 - pjv]
2003 — The European Union's executive Commission gave final approval for 10 new states to join the EU in May 2004. The Commission said Poland, Hungary, the Czech Republic, Slovakia, Slovenia, Lithuania, Latvia, Estonia, Cyprus and Malta, had made sufficient progress in implementing EU law.
Ousted ex-president sues Lithuanian government for compensation AP WorldStream Friday, October 29, 2004 4:06:00 AM
Copyright 2004 The Associated Press
By LIUDAS DAPKUS
Associated Press Writer
VILNIUS, Lithuania (AP) — Former President Rolandas Paksas, who was impeached and ousted from office in April amid claims that one of his advisers was linked to the Russian mafia, has sued the government for compensation, his lawyer said Friday.
Paksas claims that his right to a fair trial was violated, said Vytaustas Sviderskis, who filed the lawsuit with the European Court of Human Rights in Strasbourg, France.
Paksas, barred from holding any state office by Lithuania's constitutional court, is seeking Ç1 million (US$1.27 million) in damages. A trial date was not set.
The move came after the Vilnius District Court cleared the 48-year-old Paksas of leaking state secrets to one of his chief financial backers, Yuri Borisov, a Russian.
Prosecutors had claimed that the former president leaked state secrets by revealing to Borisov that the State Security Department was wiretapping his phone.
But the court ruled that there was insufficient evidence to prove it was Paksas who tipped Borisov off.
Paksas was impeached in April after the Seimas — the country's parliament -- determined that he illegally arranged citizenship for and divulged state secrets to Borisov. He was also accused of using his office for financial gain.
Lithuania's constitutional court ruled last year that Paksas acted illegally by arranging Borisov's citizenship.
According to the suit filed by Paksas, he asserted that he wasn't given the chance to defend himself before the constitutional court.
Latvia ERM-2 entry could be delayed a month Reuters World Report Friday, October 29, 2004 6:18:00 AM
Copyright 2004 Reuters Ltd.
RIGA, Oct 29 (Reuters) — Latvia might have to delay its entry into the ERM-2 euro waiting room by a month after its government collapsed, the country's outgoing finance minister was quoted as saying on Friday.
Oskars Spurdzins was quoted by the BNS news agency as saying that European Commission officials assessing Latvia's readiness to join ERM-2 had decided to put off a planned visit to Riga to January from November.
This could therefore push back the entry date from the start of 2005 to February, he added.
The minister told Reuters on Thursday that the government collapse would not derail the country's timetable to enter ERM-2 and adopt the euro by 2008.
Baltic neighbours Estonia and Lithuania are already in ERM-2, where candidates to adopt the euro have to wait at least two years before joining the EU's single currency.
They have to meet certain criteria on budget deficits, inflation and interest rates.
Latvia's currency, the lat, is currently pegged to the SDR, but it plans to repeg to the euro at the start of 2005.
The three-party coalition of Green Prime Minister Indulis Emsis had to resign on Thursday after one of the coalition parties sided with the opposition to reject the 2005 budget.
Local commentators have said the collapse was forced by the largest coalition party, the People's Party, of which Spurdzins is also a member, in order to strengthen its role in the administration.
Acting on terror warning from three allies, Latvia on high alert AP WorldStream Saturday, October 30, 2004 9:19:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia's security services have been on high alert for the past week after receiving intelligence reports from three allies of a possible terrorist strike against the tiny Baltic nation, officials said Saturday.
Security services in Norway, Estonia and the United States warned Latvia's government early this week that an Islamic extremist group may be planning an attack in the country, Interior Ministry spokesman Krists Leiskalns told the Associated Press.
Leiskalns said he could not identify the group or the nature of the planned attack for security reasons.
Latvia's tiny Muslim population makes up less than 1 percent of the country's 2.3 million people.
Leiskalns said Latvian law enforcement officials did not immediately inform the public about the warnings because "there is no need to panic."
Security and State Police met Interior Ministry officials on Saturday to discuss how to prevent an attack and how to coordinate the country's response if an attack were to occur.
The Latvian government was an ardent supporter of the U.S.-led invasion of Iraq. Latvia currently has 133 soldiers serving in Iraq under Polish command. One Latvian soldier has been killed there.
The Latvian Interior Ministry announced plans earlier this month to create an anti-terrorism center.
Unlike most European Union countries, Latvia does not currently have an agency charged solely with fighting terrorism. Anti-terrorism duties have been spread out among various law-enforcement agencies, making it difficult for Latvia to cooperate in anti-terrorism initiatives with other countries.
Latvia's National Security Council, comprised of the president, prime minister and several other high-ranking politicians, will meet on Monday to discuss the threat, said Aiva Rosenberga, spokeswoman for Latvian President Vaira Vike-Freiberga.
U.S. issues Nordic, Baltic security alert Reuters World Report Monday, November 01, 2004 3:34:00 PM
Copyright 2004 Reuters Ltd.
By Laura Vinha
HELSINKI, Nov 1 (Reuters) — The United States has warned its citizens in the Nordic and Baltic states to be extra vigilant after receiving "threat information" on the eve of the U.S. presidential election.
A U.S. state department spokesman said the information was specific in that it mentioned a particular date but described it as of "uncertain credibility" and said the U.S. government had not been able to substantiate it.
U.S. officials in Washington played down the threat, noting the warnings were issued to Americans locally and did not rise to the level of a formal State Department travel warning.
"The information was of uncertain credibility, but because it mentioned a specific date the embassies felt it prudent to warn American citizens in those countries," State Department spokesman Adam Ereli said, saying the warnings were based on "a possible terrorist threat" in Estonia, Finland and Latvia.
Norway shut its embassy in the Latvian capital Riga just two days after Latvian police increased security at some embassies and installations due to a threat from "Muslim extremists." Oslo said the decision was not linked to the U.S. warning.
In Latvia, the U.S. embassy warned Americans to avoid large shopping areas and transport hubs on or around Nov. 1, according to a statement on its Web site. The U.S. embassy sent out a similar warning to its citizens in Baltic neighbour Estonia.
"U.S. citizens in the Nordic and Baltic countries (should) be vigilant as to their surroundings, especially in centres of ground-based mass transit," the State Department said in a statement on the U.S. embassy Web site in Helsinki.
It did not give details or say if the warning, rare in the Nordic region, was linked to Tuesday's U.S. election.
U.S. officials and diplomats elsewhere in Europe said the security situation in their countries was normal and that the alert was specific to the Nordic and Baltic countries.
(Additional reporting by Alister Doyle and Inger Sethov in Oslo, Peter Starck and Simon Johnson in Stockholm and Kim McLaughlin in Copenhagen)
Latvia chooses new EU commission candidate Reuters World Report Tuesday, November 02, 2004 8:28:00 AM
Copyright 2004 Reuters Ltd.
RIGA, Nov 2 (Reuters) — Latvia dropped its controversial eurosceptic nominee to the European Commission on Tuesday, choosing a seasoned diplomat with European Union experience.
The change from Ingrida Udre to Andris Piebalgs, a former Latvian EU ambassador and current head of Udre's staff in Brussels, came at the request of incoming EU Commission chief Jose Manuel Barroso.
Latvia's move could help Barroso in getting his team approved by the European Parliament after Italy withdrew the controversial candidacy of Rocco Buttiglione. Udre was among the other Commission nominees who had been criticised by members of the EU assembly.
"Piebalgs is very experienced in European affairs and he helped Udre on her interview (at the European Parliament)," said outgoing Latvian Prime Minister Indulis Emsis.
"He would himself be ready to answer questions from the European Parliament," Emsis said.
Piebalgs was former education and finance minister in the early years of Latvia's independence from the Soviet Union. He has since been a career diplomat, serving as ambassador to Estonia and then to the EU.
Andris Piebalgs tapped to be Latvia's choice for EU commissioner AP WorldStream Tuesday, November 02, 2004 9:27:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia selected its former ambassador to the European Union, Andris Piebalgs, on Tuesday to become the country's commissioner in the team of incoming European Commission President Jose Manuel Barroso.
The decision, quickly agreed upon by the parties of Latvia's outgoing government, now goes to Barroso for approval.
Piebalgs told Latvian Radio from Brussels that he was surprised by the choice but that he knew he was one of the candidates. He said he hadn't yet officially been offered the job but would accept it.
He said his experience in knowing how the EU Commission operates would prove helpful for him as a commissioner, provided Barroso approves of Latvia's choice.
The 47-year-old former education and finance minister heads the office of Latvia's current EU commissioner, Sandra Kalniete, in Brussels, Belgium. He previously served as deputy state secretary in the Latvian Foreign Ministry, and he headed Latvia's negotiations to join the EU.
He replaced nominee Ingrida Udre, who had been in line to become taxation and customs union commissioner.
"Piebalgs was chosen partly because he helped prepare Udre for her hearing in front of the EU Parliament," said Ilona Lice, a spokeswoman for outgoing prime minister Indulis Emsis. "He won't have much time to prepare for his own hearing so the coalition felt he knows what to expect."
Barroso withdrew his proposed commissioners last week from a vote in the European Parliament after it became clear EU lawmakers would not endorse the team because of opposition to Italy's Rocco Buttiglione, the proposed justice commissioner.
Buttiglione resigned last week but Barroso has signaled other changes were likely.
Non-governmental organizations, or NGOs, such as Transparency International, and its Latvian branch, Delna, was an outspoken critic of Udre's appointment, saying Emsis' replacement of Kalniete with Udre amounted to cronyism.
New Era, the largest political party in the Latvian Saeima, or parliament, which opposed Udre's nomination, welcomed the decision.
"This is a victorious day for Latvia but it also signals a great victory for NGOs," said New Era chairman Krisjanis Karins. "I think NGOs working in Europe helped bring certain facts about Ms. Udre to light that helped get her replaced, so this is a victory for NGOs as well."
Norway reopens Latvian embassy after terror fears subside AP WorldStream Wednesday, November 03, 2004 9:15:00 AM
Copyright 2004 The Associated Press
OSLO, Norway (AP) — The Norwegian Embassy in the Latvian capital of Riga reopened Wednesday after being closed for two days because of terror fears.
Norway shut the embassy Monday, citing information about a threat while refusing to release any details.
"We had information that suggested the need for a review of security measures," said Eirik Bergesen, a spokesman for the foreign ministry in Oslo. "We have done that, and believe the conditions allowed it to reopen."
On Monday, the Latvian Interior Ministry blamed an Islamic extremist group based in a Nordic country for the threat, but refused to identify the group or which country it was based in.
The Norwegian closing coincided with warnings from U.S. embassies in Finland and Latvia urging Americans to be wary about going to shopping centers and using public transport in the Nordic and Baltic Region.
Latvian hockey community mourns death of Sergei Zholtok AP WorldStream Thursday, November 04, 2004 6:14:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvian hockey players, officials, and fans on Thursday mourned the death of one of the country's NHL stars, Sergei Zholtok, who collapsed while playing a game in Belarus.
Zholtok left the game between Riga 2000, the club he was playing for during the NHL lockout, and Dinamo Minsk about five minutes before it ended on Wednesday night.
He went back to the locker room where he collapsed and died, Riga 2000 president Viesturs Kozioles told the AP in Riga.
Paramedics at the stadium tried to revive the 31-year-old forward but were unsuccessful.
An autopsy was scheduled for later Thursday, but Zholtok was known to have suffered from cardiac arrhythmia.
Everyone associated with Latvian hockey was shocked and saddened by the news, said Kozioles, who broke down crying when talking about the star forward's death.
"I was really honored to have him on the team," Kozioles said.
"He was a patriot for his country and for hockey who never took a shift off and always devoted time to trying to make our young players better.
"He was one of the best players Latvia ever had, and he was a brilliant person, a brilliant character."
Zholtok missed games twice last year while playing with the Minnesota Wild, and suffered from dizziness and fatigue.
After leaving a game in January 2003, he was kept in hospital overnight for observation.
He was diagnosed with an irregular heartbeat, or arrhythmia. After missing seven games, he was cleared to return to the lineup.
Zholtok was a key forward for the Wild during their unexpected playoff march that spring.
"Sergei was a great competitor and a valuable member of our organization for almost three years and will be greatly missed by his teammates and his fans in the hockey world," said Wild general manager Doug Risebrough.
Zholtok was popular with the Latvian fans, who are among the most passionate at the world championships held each spring.
Many NHL players, worn out by the league's grinding 82-game regular season schedule, pass on the tournament, but Zholtok regularly suited up for Latvia.
Zholtok, along with goalkeeper Arturs Irbe and defenders Sandis Ozolinsh and Karlis Skrastins, was one of a handful of players to sustain a lengthy NHL career.
"He was one of the greatest all time players in Latvian hockey history," said Guntis Keisels, a sports reporter with the country's leading newspaper, Diena.
"Ten years in the NHL is quite an achievement. He was the best goal scorer, the best forward, Latvia ever produced."
Called Zholi by his teammates, Zholtok scored 111 goals, assisted on 147 and drew 166 penalty minutes in 588 NHL games with Boston, Ottawa, Montreal, Edmonton, Minnesota and Nashville, where he finished last season.
"We are all saddened and shocked to hear of Sergei's sudden passing," Nashville general manager David Poile said in a statement released by the club.
Zholtok, who had a career-best 26 goals for the Canadiens in 1999-2000, was a member of the Latvian team that won silver at the 1994 world hockey championships, and in subsequent tournaments helped his country retain its A Pool status.
He was on the Commonwealth of Independent States team that won gold at the 1991 world junior tournament.
Three years ago, Zholtok and Irbe helped set up an online auction of hockey memorabilia to benefit abused children in Latvia.
They arranged to have pucks, sticks and equipment autographed by more than 115 NHL players from 18 teams for sale to the highest bidders.
Latvia central bank says IMF supportive of euro aim Reuters World Report Thursday, November 04, 2004 10:50:00 AM
Copyright 2004 Reuters Ltd.
RIGA, Nov 4 (Reuters) — The International Monetary Fund supports Latvia's timetable for joining the euro and the single currency will bring down inflation in the high-growth Baltic country, the central bank said on Thursday.
"The IMF expresses its support for the euro adoption strategy," the central bank said in a statement, responding to a report by the IMF on the country after one of the Washington-based lender's regular missions in October.
Latvia plans to join the euro in 2008.
The bank said the IMF believed that repegging the lat to the euro at the start of 2005 would bring down inflation in Latvia, which has peaked at 7.75 percent in recent months.
Its lat national currency is currently pegged to the SDR basket of currencies in a narrow plus or minus 1.0 percent band, but on Jan. 1 next year the bank plans to repeg to the euro.
Latvia's central bank will repeg the lat to the euro at the market rate on the previous business day fixed by the European Central Bank.
"...the current real exchange rate falls well within the equilibrium range," the IMF said.
"Repegging the lat from the SDR to the euro — scheduled for the beginning of 2005 -- should over the longer term help bring inflation more into line with the average eurozone inflation by limiting the potential for bilateral exchange rate changes."
The IMF said that while there was some concern about overheating, the economy had performed well.
Economic activity in Latvia accelerated in the first half of 2004, growing by 8.25 percent. For 2005, the IMF expects rapid credit expansion to contribute to maintaining GDP growth at about 7 percent.
In its annual review of the country, which joined the European Union in May, the IMF urged Latvia to curb inflation and said the country's greatest immediate challenge was ensuring a smooth transition to joining the euro.
Latvia, together with other Baltic states Estonia and Lithuania, have already met most of the Maastricht entry criteria, but have to link their currencies to the ERM-2 for two years before they can join the euro.
A list of the 25 candidates for the incoming European Commission AP WorldStream Thursday, November 04, 2004 7:38:00 PM
Copyright 2004 The Associated Press
By The Associated Press
A list of the 25 posts of the designated European Commission and the people proposed to fill them. The European Parliament is expected to vote on the team during the Nov. 15 session.
— — —
— President: Jose Manuel Barroso, 48, of Portugal.
— External Relations and European Neighborhood Policy: Benita Ferrero-Waldner, 55, of Austria.
— Development and Humanitarian Aid: Louis Michel, 56, of Belgium.
— Trade: Peter Mandelson, 50, of Britain.
— Health and Consumer Protection: Markos Kyprianou, 44, of Cyprus.
— Employment, Social Affairs and Equal Opportunity: Vladimir Spidla, 53, of the Czech Republic.
— Agriculture and Rural Development: Mariann Fischer Boel, 61, of Denmark.
— Administrative Affairs, Audit and Anti-Fraud; Commission vice president: Siim Kallas, 55, of Estonia.
— Enlargement: Olli Rehn, 42, of Finland.
— Transport; Commission vice president: Jacques Barrot, 67, of France.
— Enterprise and Industry; Commission vice president: Guenter Verheugen, 60, of Germany.
— Environment: Stavros Dimas, 63, of Greece.
— Energy: Andris Piebalgs, 47, Latvia.
— Internal Market and Services: Charlie McCreevy, 54, of Ireland.
— Justice, Freedom and Security and commission vice president: Franco Frattini, 56, of Italy.
— Taxation and Customs Union: Laszlo Kovacs, 65, of Hungary.
— Financial Programming and Budget: Dalia Grybauskaite, 48, of Lithuania.
— Information Society and Media: Viviane Reding, 53, of Luxembourg.
— Fisheries and Maritime Affairs: Joe Borg, 52, of Malta.
— Competition: Neelie Kroes-Smit, 63, of the Netherlands.
— Regional Policy: Danuta Huebner, 56, of Poland.
— Education, Training, Culture and Multilingualism: Jan Figel, 44, of Slovakia.
— Science and Research: Janez Potocnik, 46, of Slovenia.
— Economic and Monetary Affairs: Joaquin Almunia, 56, of Spain.
— Institutional Relations and Communication Strategy and a commission vice president: Margot Wallstrom, 48, of Sweden.
Autopsy Confirms Zholtok Died of Heart Failure Reuters Canada Friday, November 05, 2004 1:42:00 PM
Copyright 2004 Reuters Ltd.
Copyright 2004 The Sports Network
RIGA, Latvia (Sports Network) — An autopsy performed Thursday stated that veteran NHL center Sergei Zholtok died as a result of heart failure. Zholtok, who was 31, passed away Wednesday after leaving a game in Belarus.
Playing for his hometown club, Riga 2000, during the lockout, Zholtok became ill near the end of a game against Dynamo Minsk. He collapsed and died on the way to the locker room.
Zholtok was diagnosed with cardiac arrhythmia in 2003, but returned to action after a seven-game absence. He missed several contests last season with symptoms including dizziness and fatigue.
A 12-year NHL veteran, Zholtok posted 111 goals and 147 assists over 588 games with Boston, Ottawa, Montreal, Edmonton, Minnesota and Nashville. He collected 14 goals and 17 assists in 70 combined games with the Predators and Wild last season.
Zholtok was acquired by the Predators in March.
EU-Russia summit postponed due to lack of progress AP WorldStream Friday, November 05, 2004 7:06:00 PM
Copyright 2004 The Associated Press
By ROBERT WIELAARD
Associated Press Writer
BRUSSELS, Belgium (AP) — Russian President Vladimir Putin will not sign a long-awaited "strategic partnership" accord with the European Union next week because negotiations have made insufficient headway, an EU official said.
"The meeting with President Putin has been postponed" until mid-December, said the official, who asked not to be identified.
Putin was expected to come to The Hague, Netherlands, to sign the wide-ranging "strategic partnership" agreement with the 25-nation EU on Thursday.
However, negotiations have not made enough progress, the official said Friday.
A spokeswoman for the Kremlin press service in Moscow refused to comment.
However, EU spokeswoman Emma Udwin said the official reason Moscow cited for Putin's no-show is "that he wants to meet with the new European Commission."
Portugal's Jose Manuel Barroso has put together a new executive team that is expected to take office at the end of November. The European Parliament objected to several members of the team he initially picked.
The EU wants to sign a "strategic partnership" with Russia encompassing economic issues, internal and external security and education and culture. Putin was to sign the deal at a meeting with Jan Peter Balkenende, the Dutch prime minister whose country currently holds the rotating EU presidency.
The agreement would commit Russia to find a negotiated settlement to border disputes with new EU members Estonia and Latvia, respect for human rights and the rule of law and commit Moscow to the nonproliferation of weapons of mass destruction.
From the outset, Russia has balked at an accord that threatens its sphere of influence -- parts of the former Soviet Union such as Ukraine, Moldova, Belarus and the Caucasus -- because the EU wants to reach out separately to those countries with economic and political aid.
For its part, the European Union wants Russia to recognize its traditional sphere of influence as also being in the expanded EU's new neighborhood.
"We are trying to create the right conditions so that, where possible, we can jointly work to resolve frozen conflicts there," said an EU diplomat who asked not to be named.
Russia wants to limit such debates to the Organization for Cooperation and Security in Europe or the United Nations. It is also wary of the EU's position on respect for human rights -- an issue that gained new significance as Russia fights terrorism in the wake of the Sept. 1-3 attack against a school in Beslan in southern Russia that left more than 330 hostages dead.
The two sides are aiming for a deal reflecting Russia's role as the EU's largest single neighbor and a nuclear power.
Relations between the EU and Russia have rarely been smooth.
The EU upset Moscow by absorbing three former Soviet republics — Estonia, Latvia and Lithuania -- and four former Soviet allies -- Poland, Hungary, the Czech Republic and Slovakia -- this year. They joined May 1, along with the former Yugoslav republic of Slovenia, Cyprus and Malta.
Putin signs protocol extending cooperation agreement with EU AP WorldStream Saturday, November 06, 2004 7:17:00 AM
Copyright 2004 The Associated Press
By MARA D. BELLABY
Associated Press Writer
MOSCOW (AP) — Russian President Vladimir Putin on Saturday signed a protocol extending the nation's cooperation agreement with the European Union to the 10 new EU members, the Kremlin said.
The Russia-EU agreement, which Russian Foreign Minister Sergey Lavrov and EU officials signed in April, drops customs duties on cargo shipments between Russia and its Kaliningrad enclave, which became surrounded by the EU with the accession of Poland and Lithuania.
It also lowers trade tariffs, raises Russian steel quotas, eases the impact of antidumping duties and leaves intact existing contracts for the supply of nuclear materials with the new EU states. Ten new states, including three former Soviet republics and four former Soviet allies, joined the EU on May 1.
The agreement had been approved last month by the Russian parliament, which expressed its concern at the time over the treatment of Russians in new member states Latvia and Estonia. Russian officials argued that the agreement would give Moscow a new lever to press its case.
Putin's signature came a day after an EU official said that a long-awaited EU-Russia "strategic partnership" accord still needed more work, and would not be signed next week as planned. President Vladimir Putin put off his trip to The Hague, Netherlands, which currently holds the rotating EU presidency, until mid-December, the EU official, who asked not to be identified, told The Associated Press.
The Kremlin press service has refused to comment.
The EU wants to sign a "strategic partnership" with Russia encompassing economic issues, internal and external security and education and culture.
Lithuanians Hunting Missing Radioactive $100 Bill Reuters Online Service Friday, November 05, 2004 2:12:00 PM
Copyright 2004 Reuters Ltd.
VILNIUS (Reuters) — Lithuanian officials warned the country's 3.5 million citizens on Friday to be on the lookout for a missing radioactive U.S. $100 bank note.
Officials in the ex-Soviet state say they don't know how the note became radioactive, but one theory is that it could have come somewhere in Eastern Europe that still has a high level of post-Chernobyl contamination.
It was discovered in September when it set off alarms at an airport checkpoint and was quarantined in a safe room.
But the bank note was reported missing — probably stolen -- on Tuesday just before it was due to be shipped to a nuclear power plant to be destroyed.
The chief of Lithuania's radioactive substances security agency, Albinas Mastauskas, told Reuters the note was not potent enough to cause burns. But it could pose long-term health risks for children or pregnant women.
In Lithuania, one of the European Union's poorest countries, $100 is equivalent to about two-thirds of the monthly minimum wage.
Latvia to extradite four men arrested in string of German bank robberies AP WorldStream Monday, November 08, 2004 11:04:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — Latvia's prosecutor general said Monday that four Latvian men arrested for their roles in a two-year string of bank robberies in the German state of Lower Saxony would be extradited to Germany within 10 days.
The men, between the ages of 30 and 35, were arrested in late October and accused of robbing 14 banks from 2001-03. There names were not released.
Prosecutor General Janis Maizitis decided to extradite the four to Germany, where they will face trial for the robberies.
Latvian state police said the men lived in Latvia but traveled periodically to Germany. They wore masks and threatened bank customers with guns during the heists and used stolen cars to make their getaways, which they ditched before leaving Germany.
Police in Germany estimated the men made off with about Ç500,000 (US$637,800) in cash, but none of the money has been recovered.
Putin envoy: EU's formula for a new partnership doesn't suit Russia AP WorldStream Tuesday, November 09, 2004 6:56:00 AM
Copyright 2004 The Associated Press
By STEVE GUTTERMAN
Associated Press Writer
MOSCOW (AP) — A top Kremlin envoy pushed for a special relationship with the European Union, saying Tuesday that the EU's vision for a new partnership along the lines of ties with its other neighbors doesn't suit Russia.
Sergei Yastrzhembsky, President Vladimir Putin's representative for relations with the EU, said the only reason for the postponement of a planned Russia-EU summit this week was that Russia wants to deal with a new European Commission after it is formed.
But Yastrzhembsky said Russia is too important to be bound by an EU formula for partnership that would place it on the same level as the expanded, 25-nation group's other neighbors.
We believe that this formula does not fit Russia," Yastrzhembsky told a news conference, several days after the summit was postponed from its planned date on Thursday in The Hague, Netherlands.
"The format of relations between Russia and the EU is far broader, deeper, more massive than ... with all the other EU partners combined," he said, referring only to EU neighbors. "So for us ... this suit is a bit tight -- it squeezes Russia's shoulders."
Yastrzhembsky said no other EU neighbor has relations as intense as Russia, with summits twice a year and plans for a broad-based agreement encompassing relations in four spheres: economic, internal and external security and humanitarian issues.
"I think that this argumentation in the end will be accepted," he said.
Yastrzhembsky said major progress had been made on humanitarian and economic issues, and that "much has been done" on external security. Talks were continuing, though, and "there are differences that must be surmounted" on internal security, including on Russia's push for visa-free travel to Europe, he said.
EU officials have said the summit was postponed because negotiations toward an agreement had made insufficient headway, and that it might be held in mid-December. Yastrzhembsky and Deputy Foreign Minister Vladimir Chizhov, who spoke separately, also said Russia wants to hold the summit this year.
Putin said he hopes the meeting will bring "substance to the comprehensive dialogue, if we don't reach any agreements written on paper," the ITAR-Tass news agency reported.
Relations between the EU and Russia have rarely been smooth. The EU upset Moscow by absorbing three former Soviet republics -- Estonia, Latvia and Lithuania -- and four former Soviet allies -- Poland, Hungary, the Czech Republic and Slovakia -- this year.
Yastrzhembsky and Chizhov both reiterated complaints about the rights of Russian speakers in Estonia and Latvia, where Yastrzhembsky said their treatment "does not meet European standards."
Latvian Culture Ministry hopes to reopen Dome Cathedral in mid-December AP WorldStream Tuesday, November 09, 2004 10:17:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvian Culture Ministry officials said Tuesday they hoped to reopen one of the country's most treasured landmarks, the Dome Cathedral in Riga, by mid-December -- six months after engineers said it was in danger of collapsing.
A group of preservationists assessing the cathedral's stability decided on Monday that it could be reopened after temporary safety measures and a structural monitoring system were put in place, Culture Ministry spokeswoman Gunda Ignatane told the AP.
Built in the 13th century, the red brick Lutheran Dome Cathedral has long dominated the Riga cityscape and has grown to become the largest place of worship in the Baltics. It houses one of Europe's largest organs, with 6,768 pipes, and concerts at the cathedral draw thousands of tourists each year.
But after conducting a three-month assessment of the cathedral, preservationists said last June the 8,000-sq. meter (86,112-sq. feet) building was unsafe, and Latvian Culture Minister Helena Demakova ordered it closed until several structural problems could be repaired.
Since then, engineers, including Italy's Giorgio Croci and France's Benjamin Mouton, have run several tests showing significant structural flaws that need to be corrected to ensure the cathedral's long term stability, said French architect Bruno Deslandes, who helped oversee the study.
Two of the eight columns supporting the cathedral's roof have significant cracks in them and the ground under one of the pillars is unstable and contains an open tomb which needs to be filled, Deslandes told the AP. The cathedral's arched ceiling is also unstable, he said, as is evident by a 14-centimeter (5.5-inch) wide crack in a foundation wall supporting one arch.
The Dome Cathedral is one of Latvia's most popular tourist attractions -- more than 100,000 tourists visited it in 2003 -- so the Culture Ministry wants to have it open for the Christmas holidays.
To do so, it will have temporary braces constructed to support the two unstable columns and will place hundreds of tiny monitors throughout the cathedral to help gauge its overall stability.
"That won't solve all the problems but with the proper temporary solutions in place, I would say they would make it safe enough for the public," said Deslandes.
One problem Deslandes sees with the temporary repairs is that the monitors would gauge the reinforced columns and would therefore not get an accurate reading of their actual stability.
An 8.5 million Lats (US$16 million; Ç12.37 million) renovation project on the cathedral is tentatively set to begin in 2005 and is expected to take up to eight years, said Deslandes.
Gang knifes Latvians, others intimidate Filipinos in Northern Ireland AP WorldStream Wednesday, November 10, 2004 6:09:00 AM
Copyright 2004 The Associated Press
BELFAST, Northern Ireland (AP) — A gang beat and stabbed three Latvian men in the latest racist attack in Northern Ireland, police and politicians said Wednesday.
The Latvians, all aged in their 20s, were walking Tuesday night through the central park in Lurgan, southwest of Belfast, when they were surrounded by a larger group. One man suffered a knife wound to his wrist, another to his leg, while the third man suffered serious head wounds from being hit and kicked, police said.
The assault followed a wave of racist threats Monday night in north Belfast, when a gang daubed swastikas and racist slogans on the homes and cars of six Filipino families.
A pressure group called the Anti-Racism Network planned a street protest Wednesday night near the spot of the threats to the Filipinos, many of whom are nurses working in a nearby hospital and nursing homes.
The group's spokesman, Dominic Adams, called on the victims' neighbors and local politicians "to take an active role in preventing attacks and showing solidarity with people who have been intimidated."
While politicians have issued numerous statements condemning the intimidation, few have campaigned actively in defense of ethnic minorities, who constitute only 1 percent of Northern Ireland's 1.7 million population.
Reports of racially motivated crimes have surged in the past year. Police said they dealt with 299 cases from April to September, compared to 180 during the same period in 2003.
While the trouble has been worst in the poorest Protestant districts of Belfast, tensions have also flared in several towns outside the provincial capital.
Last month alone, Turkish and Indian residents of Comber, a mostly Protestant town southeast of Belfast, had racist slogans painted on their homes and their cars vandalized; in mostly Catholic Dungannon to the west, Portuguese meat-plant workers were assaulted; and in religiously polarized Armagh to the south, three Lithuanians were forced out of their home after a gasoline bomb was hurled at the front door.
Since the late 1990s several thousand immigrants from Portugal and the Baltic states -- Estonia, Latvia and Lithuania -- have immigrated into Northern Ireland and the neighboring Republic of Ireland to work, largely in meat processing plants and on farms. Thousands of Filipino immigrants have arrived to fill staff positions in hospitals.
Latvian Supreme Court upholds sentence for ex-Soviet agent AP WorldStream Thursday, November 11, 2004 6:25:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — The Latvian Supreme Court on Thursday upheld a lower court's ruling last year handing Stalinist-era agent Nikolai Tess a two-year suspended sentence for his role in deporting scores of people to Siberia in 1949.
Prosecutors said the 83-year-old signed the deportation orders for 138 people, 11 of whom died. He had been charged with genocide and crimes against humanity.
Tess acknowledged helping with the deportations, but maintained his innocence. His lawyers argued that his actions were legal according to existing Soviet laws at the time.
Prosecutors in Tess' regional court hearing in December 2003 sought a six-year prison term but the judge handed him a lenient sentence, citing his age, poor health and the fact that he was following orders.
After the Baltic states regained independence in 1991 following five decades of Soviet occupation, they vowed to prosecute those who took part in Stalin-era repression, which included the deportation of more than 100,000 Latvians.
Nearly half a dozen ex-agents have been convicted in Latvia and more than a dozen in neighboring Estonia and Lithuania. The Baltics are the only former Soviet republics that have pursued Soviet-era officials for crimes against humanity.
Most of those convicted have been given suspended sentences.
Moscow has condemned the trials as witch hunts that target the sick and elderly. It has covered the legal costs of some accused, hailing them as heroes of World War II.
Lithuania becomes first nation to ratify EU constitution AP WorldStream Thursday, November 11, 2004 11:46:00 AM
Copyright 2004 The Associated Press
By LIUDAS DAPKUS
Associated Press Writer
VILNIUS, Lithuania (AP) — Lithuania became the first country in the 25-member European Union to ratify the EU constitution on Thursday, but the Baltic state's broad support for the historic document isn't likely to set an example for easy approval in other countries.
Eighty-four members of the 141-seat Seimas, or parliament, voted to ratify the document. Four voted against ratification and three abstained.
"The Lithuanian parliament has now been the first one of the EU parliaments to ratify the constitution and we congratulate them wholeheartedly for that," said EU spokesman Reijo Kemppinen. "It is a very positive development."
The constitution now needs approval from the EU's 24 other members -- nine of which say they will put that decision to the people -- before it can take effect in 2007. If one country -- either in parliament or in a plebiscite -- does not approve the constitution, the entire document will be stopped in its tracks.
"Lithuania, as a new member state, has shamed those older member states that are trying to delay their ratification by trying to rush to the back of the queue," said Andrew Duff, spokesman on constitutional affairs for the Liberal group in the European Parliament:
"All other EU governments should now give the highest priority to bringing the constitution into force so that Europe will be able to stand on its own two feet in world affairs and the Union itself will be better governed in a more democratic way."
Spain's Foreign Minister Miguel Angel Moratinos also congratulated Lithuania, one of 10 new members to join the EU in May, calling it "good news." He said his country would be the first among nine nations to put the charter to a referendum vote, on Feb. 20.
The constitution is expected to face more trouble gaining approval in Euro-skeptical electorates in Britain and Denmark. However, two recent opinion polls in Denmark -- known for its lukewarm support of tighter European cooperation -- showed Danes would approve the new text. No date for a Danish referendum has been set.
In Ireland, where voters in 2001 narrowly rejected the EU's last treaty, the Nice pact outlining EU expansion, the government opted for a reassuring tone. Last month, Prime Minister Bertie Ahern was noncommittal about the timing of an Irish vote, saying it could happen in 2005 and would definitely happen by October 2006.
"We are more interested in having a well-informed debate and see how that turns out during 2005, and see what happens on the international stage," Ahern said.
Because Ireland has a constitution with a section on neutrality, each and every EU treaty must be approved by referendum.
Referendums also planned in France, Luxembourg, the Netherlands, Portugal and the Czech Republic.
Italy had hoped to be the first to ratify the constitution. Hours after the signing of the treaty in Rome on Oct. 29, Premier Silvio Berlusconi's government passed a bill to ratify it -- but it's still awaiting parliamentary approval.
The landmark EU constitution has a long charter of fundamental rights and foresees simpler voting rules to end decision gridlock in a club that grew to 25 members this year and plans to absorb half a dozen more in the years ahead.
The constitution provides for more majority voting to accelerate decision-making, and expands the EU's powers in immigration, judicial cooperation and economic policy. However, foreign and defense policies, taxation, social security and the financing of the EU budget remain subject to national vetoes, according to the constitution.
In Lithuania, some nay-sayers said they worried about their loss of independence. Some said the Baltic state of 3.5 million people was merely exchanging the Soviet bureaucracy for the EU.
"(The) Lithuanian state will cease to exist," said Egidijus Klumbys, a member of the National Progress Party who voted against it. "Our constitution will become a piece of worthless paper."
Others said the decision marked Lithuania's return to the European fold.
"We have always been Lithuanians and will remain Lithuanians," said Irena Siauliene, a Social Democrat. "Our main task now is to become real Europeans."
Lithuania, like Estonia and Latvia, spent more than five decades under Soviet occupation, regaining independence in 1991.
In Estonia, Prime Minister Juhan Parts said Lithuania's quick adoption was "a good and promising sign" for his country.
Estonia plans to discuss the constitution early next year, said Marko Mihkelson, chairman of parliament's foreign affairs committee. "We expect to see a lively but a reasonably smooth debate," he said.
Latvian president rejects broadcasting language bill AP WorldStream Friday, November 12, 2004 10:57:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — President Vaira Vike-Freiberga on Friday rejected a bill passed by lawmakers that would have let the government decide, in some cases, what language would be used in radio and television broadcasts.
Vike-Freiberga opted not to sign into law the bill, passed last week, saying it was too ambiguous as to when the government could use such powers and whether those powers could be used to restrict or support public media in any way.
Partly to counterbalance the imposed dominance of Russian during decades of Soviet rule, Latvia declared Latvian the sole official language after regaining independence amid the 1991 Soviet collapse.
"Of course the government can look after and protect the state language but the law can't restrict free speech or people's human rights," said Vike-Freiberga's spokeswoman, Aiva Rosenberga.
The law now goes back to the parliament for reconsideration.
Latvia has 32 registered radio broadcasters and 28 television broadcasters at the national, regional, and local levels.
The government runs two public networks, LTV1, which is broadcast in Latvian, and LTV2, broadcast in Russian.
Latvia's highest court, the Constitutional Court, struck down a law requiring 75 percent of all commercial broadcasts be in Latvian in June 2003, saying it violated free speech. Many of Latvia's ethnic Russians, who make up about a third of country's 2.3 million residents, said the law was discriminatory.
Rosenberga said that court decision was a significant factor in Vike-Freiberga's rejection of the bill on Friday.
Latvia's outgoing EU commissioner to become ambassador to Belgium AP WorldStream Tuesday, November 16, 2004 4:05:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — Latvia's outgoing European Union commissioner, Sandra Kalniete, has agreed to serve as the country's ambassador to Belgium, an official in her Brussels office said Tuesday.
Kalniete accepted the post as Latvia's ambassador to Belgium but it has not been decided when she will start the post, said Kalniete's spokeswoman, Agnija Rasa.
Kalniete has served as Latvia's EU commissioner since the Baltic state joined the bloc in May.
She was replaced as commissioner by Latvia's outgoing prime minister, Indulis Emsis, who appointed a member of his own Greens and Farmers party, Ingrida Udre, to replace her.
Udre has since been replaced by Andris Piebalgs, Latvia's former ambassador to the EU who has been running Kalniete's Brussels office since May. Piebalgs will take over as energy commissioner.
The politically unaffiliated Kalniete previously served as Latvia's foreign minister and before that as Latvia's ambassador to France.
Kremlin envoy alleges anti-Russian bias ahead of EU-Russia summit AP WorldStream Wednesday, November 17, 2004 5:26:00 AM
Copyright 2004 The Associated Press
MOSCOW (AP) — Russia's envoy to the European Union complained of anti-Russian bias among the bloc's new members in an interview published Wednesday, a week before the EU-Russia summit.
Sergei Yastrzhembsky did not name any specific countries in the interview in Nezavisimaya Gazeta, but the comments showed Russia's continued discomfort with this year's addition to the EU of three former Soviet republics -- Latvia, Estonia and Lithuania -- and five one-time Warsaw Pact countries.
"Part of the political spectrum in the new members of the European Union have a pretty negative attitude in relation to Russia ... the spirit of confrontation and intolerance," Yastrzhembsky was quoted as saying.
"There was not such an atmosphere before people came with their historical grudges, complexes and atavistic ideas about Russia," he reportedly said.
Moscow frequently complains about the status of ethnic Russians in Estonia and Latvia, where many have had difficulty obtaining citizenship and where the use of Russian-language education is being reduced.
Asked whether he was satisfied with the EU's efforts to address these concerns, Yastrzhembsky said: "Really, no. It is one of the questions to which we will constantly bring to the attention of the European Union."
Snow, high winds in Nordics, Baltics AP WorldStream Thursday, November 18, 2004 8:08:00 AM
Copyright 2004 The Associated Press
By JAN M. OLSEN
Associated Press Writer
COPENHAGEN, Denmark (AP) — Northern Europe's first storm of the season brought high winds and snow, knocking down trees and damaging roofs, hampering air and ferry traffic and leaving thousands without power Thursday in Denmark and Sweden.
In Lithuania, five people were killed and one person injured when their minivan struck a bus on an icy road outside the capital of Vilnius, police said.
Late Wednesday night, gale-force winds swept in across the Nordics and Baltics, bringing snow and ice from Oslo to Vilnius.
The gusts caused a temporary blackout in Denmark's third largest city, Odense, 170 kilometers (105 miles) west of Copenhagen. More than 3,800 homes were without power in southern Sweden, which was blanketed by snow.
A central Denmark bridge was temporarily closed and several ferry lines remained docked because of the rough seas, postponing planned trips to Germany and Denmark and Sweden.
Snow caused delays at the airport in Oslo, Norway, and traffic was backed up heading into Oslo. In southern Sweden, sweeping snow caused several traffic accidents, but no injuries were reported.
In Riga, Latvia, the winds and snow caused organizers of the country's independence celebrations to cancel planned flights by a pair of NATO fighter planes and Latvian military helicopters.
The traditional parade of soldiers, however, went on as scheduled. Latvia first declared independence on Nov. 18, 1818, but spent most of the 20th century under Soviet occupation. It regained its independence amid the 1991 Soviet collapse.
In Finland, snowfall blanketed much of the country, including 6 inches (16 centimeters) in the northern part of the country. No injuries were reported in Finland.
The wintry weather was expected to stay over the region through Thursday, but gradually dissipate through Friday and the weekend.
Norwegian fighters to patrol Baltic airspace for NATO AP WorldStream Friday, November 19, 2004 6:33:00 AM
Copyright 2004 The Associated Press
OSLO, Norway (AP) — Norway has agreed to send four F-16 jet fighters to patrol the air space over NATO's new Baltic members at the request of the alliance, the Defense Ministry said Friday.
The Norwegian jets, with ground personnel, will be deployed to patrol the skies over Estonia, Latvia and Lithuania for the first three months of 2005, taking over from British forces.
NATO has agreed to handle so-called "air policing" on a rotating basis for the new members, because they lack the capacity to do it themselves.
Since the Baltics, which border Russia, joined the North Atlantic Treaty Organization earlier this year, Danish, Belgian and British jets have all rotated through the region to patrol the air space.
— — —
On the Net:
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Latvian president begins talks to form new government AP WorldStream Monday, November 22, 2004 5:07:00 AM
Copyright 2004 The Associated Press.
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — President Vaira Vike-Freiberga began separate talks Monday with each of the eight parties represented in the country's parliament to decide on forming a new government.
Vike-Freiberga began by meeting separately with the two largest parties, New Era, with 24 seats in the 100-seat Saeima, or parliament, and the People's Party, with 20 seats.
Both parties have similar pro-business ideologies and expressed hope for creating a coalition government that would include all five of the Saeima's center-right parties.
But the sticking point has been the choice of who to name as prime minister.
Vike-Freiberga has said she would not pick either Einars Repse or Indulis Emsis, who have both served as prime minister since national elections in 2002, as the next government leader.
Emsis' minority government, which occasionally had to rely on the support of left-wing lawmakers to pass legislation, collapsed last month after the People's Party, the largest party in his ruling coalition, refused to back his proposed 2005 national budget, saying the minority government didn't have the support to keep the budget within strict fiscal limits.
Vike-Freiberga said the nomination process could take several days and that she would prefer to pick a candidate that could form a coalition with a legislative majority.
She said she wanted to hear how candidates would resolve problems in the country's health care system and their opinions on the ratification of the European Union Constitution.
Most of the five center-right parties have been tightlipped about their candidates for prime minister. Ainars Slesers, the leader of Latvia's First, which counts 14 seats, said he'd take the post if New Era and the People's Party were unable to agree on a candidate.
Emsis' was the 11th government for the Baltic state of 2.3 million since it regained independence amid the 1991 Soviet collapse.
In Latvia, German president raises issue of border treaties AP WorldStream Tuesday, November 23, 2004 8:41:00 AM
Copyright 2004 The Associated Press
RIGA, Latvia (AP) — German President Horst Koehler, on a three-day tour through the Baltic states to welcome them to the European Union, said the lack of new border treaties with Russia is an issue important to the EU.
Koehler arrived for talks with Latvian President Vaira Vike-Freiberga in the capital, Riga, on Tuesday despite a heavy snowstorm that blanketed the region, which canceled a planned official welcoming ceremony in the square outside Latvia's Presidential Palace.
The two discussed bilateral relations, economic cooperation, Baltic Sea security and environmental issues, and several EU-related issues, including the ratification of the EU constitution.
After the meeting, Vike-Freiberga voiced Latvia's concerns over the disputed Ukrainian elections, saying it was "very important and significant for Europe how Ukraine develops. We are concerned about the results but it's most important that democratic values are defended there," she said.
Koehler said Russia's refusal to sign border treaties with Latvia and Estonia was not just a problem for the two Baltic nations, but for the entire EU. Russia has refused to sign border treaties with either country, citing the perceived mistreatment of their large ethnic-Russian populations, despite their having joined the EU more than six months ago.
The German president later met with Latvia's outgoing prime minister, Indulis Emsis.
Koehler, whose wife Eva Luise accompanied him on the trip, began his Baltic tour on Monday in Lithuania, where he met with Lithuanian leaders and laid flowers at a cemetery to honor Lithuanians who died in a bid for independence from the Soviet Union.
Koehler is scheduled to travel to neighboring Estonia later on Tuesday for Wednesday meetings with Estonian officials.
Lithuania government confirms nuclear unit closure Reuters World Report Wednesday, November 24, 2004 8:55:00 AM
Copyright 2004 Reuters Ltd.
By Darius James Ross
VILNIUS, Nov 24 (Reuters) — Lithuania's government announced on Wednesday that the first of two units of its Chernobyl-style Ignalina nuclear power plant will be shut down by December 31, in line with the terms of the country's EU accession deal.
"Today the government... committed... Ignalina Atomic Electricity Plant to stop operating the first block by December 31, 2004, and to no longer use it for generating electricity," the cabinet said in a statement.
Ignalina is of the same Soviet design as the Chernobyl reactor, which caused the world's worst civil nuclear accident in 1986. To date its two 1,380-megawatt reactors have produced 80 percent of Lithuania's electricity.
The second unit is scheduled to close in 2009.
The closure of the first unit is expected to reduce dramatically Lithuania's electricity exports to neighbouring countries such as Latvia, Estonia, Belarus and Russia's Kaliningrad enclave, which remain linked by a Soviet-era grid.
"Without any doubt we will see a sharp drop in electricity exports due to the closure," said Aurelija Trakseliene, a spokeswoman for state-owned utility Lietuvos Energija, which exports power produced at Ignalina.
She said 2004 exports are expected to be around 7 terawatt hours, but that with the closure the figure could drop to around 2 TWh.
In the run-up to the shutdown of the second unit, periodic maintenance closures could mean that Lithuania would need to import electricity, Trakseliene said.
In August, Lithuania's finance ministry lowered its 2005 GDP growth projection to 6.5 percent from 7.2 percent. It said that experts saw a 0.3-0.4 percentage point reduction in the country's GDP growth due to the Ignalina first-block closure.
As part of its EU membership agreement, Lithuania, a former Soviet republic, pledged to shut down one reactor before 2005 and to set a date for the closure of the other -- probably 2009.
Thirteen of the EU's 25 member states operate nuclear power plants. Among those, Germany and Sweden have decided to gradually phase out atomic energy while Finland has opted to build more nuclear power capacity.
Latvia set for new centre-right PM Reuters World Report Wednesday, November 24, 2004 9:37:00 AM
Copyright 2004 Reuters Ltd.
By Jorgen Johansson
RIGA, Nov 24 (Reuters) — Latvia's president named senior right-of-centre politician Aigars Kalvitis as prime minister on Wednesday, a move set to keep the new European Union member on its previous foreign and economic policy tracks.
Kalvitis, nominated by President Vaira Vike-Freiberga after days of talks with major political parties, now has to fill the vacuum left by the collapse last month of the government of Indulis Emsis, Europe's first Green prime minister.
Kalvitis, head of the parliamentary wing of the People's Party, which has 20 seats in the 100-seat parliament, will now attempt to form a coalition.
Latvia plans to start the process of adopting the euro early next year and join the single currency zone in 2008.
"Now we have to work at trying to put together the best possible government ... I am quite sure it will be a majority government," he told journalists after his appointment.
Analysts said a government formed by Kalvitis, partly educated at the University of Wisconsin, would be right-of-centre and there would be little change in policy.
"Latvia will not change its policy when it comes to the European Union influence, NATO and adopting the euro," said political analyst Karlis Streips.
EURO TIMETABLE
The new government is expected to have at its core the People's Party and another top centre-right group, New Era, the single biggest party in parliament with 24 seats.
Vike-Freiberga said such a union would be needed for the new government to survive.
The former Soviet republic, which regained its independence in 1991, joined NATO and the EU earlier this year.
A key economic goal now is to join the European single currency by 2008 and Kalvitis pledged to stick to this plan.
"I am fully committed to stay with the ERM-2 plans already outlined," he told Reuters, referring to the currency grid which is the waiting room for euro entry.
Latvia has said it plans to re-peg its lat currency to the euro from the start of next year and enter ERM-2 soon after.
"Of course there are some problems with inflation at the moment, so the in-coming government will have to try hard to bring it down," Kalvitis added.
Since winning independence from the Soviet Union in 1991, Latvia's fledgling democracy has develop chaotically -- in common with its Baltic neighbours -- with a rapid succession of governments but a steady, broad pro-Western stance.
The next government will be the 12th in as many years.
Estonia files complaint over alleged air space violations AP WorldStream Thursday, November 25, 2004 10:51:00 AM
Copyright 2004 The Associated Press
TALLINN, Estonia (AP) — Estonia on Thursday filed an official complaint with the Russian ambassador after several alleged air space violations by Russian military planes.
"These air space violations are being closely monitored by the government," Prime Minister Juhan Parts told reporters, adding that none was serious enough to merit intervention by the four NATO fighters that patrol the Baltics' air space.
Several times this year, particularly during the summer months, Russian military cargo planes traveling to the Baltic Sea enclave of Kaliningrad failed to file their compulsory flight plan and flew into Estonian air space for a few minutes, the complaint said.
Most recently, a Russian Tu-154 civilian aircraft was reported to have penetrated Estonian air space twice on Wednesday.
Hoping the incidents were a result of mere negligence of Russian authorities, Parts said there was no actual threat to Estonia's security but he stressed that violations were against "good international practice."
The Russian Embassy in Tallinn didn't immediately return a request for comment about the claims.
Since the Baltic nations, which border Russia, joined the North Atlantic Treaty Organization this year, Danish, Belgian and British jets have all rotated through the region to patrol the air space over Estonia, Latvia and Lithuania.
Earlier this month, Norway said it would send four F-16 fighters to patrol the Baltics from January-March.
EU, Russia Fail to Reach Partnership AP Online Thursday, November 25, 2004 11:40:00 AM
Copyright 2004 The Associated Press
THE HAGUE, Netherlands (AP) — Russia and the European Union failed to complete negotiations Thursday on a "strategic partnership" because of disagreements over security, but said they were confident that final agreement will be reached next year.
The goal of the partnership is to boost ties in four areas: the economy; freedom, security and justice; external security; and research, education and culture.
"We have not reached agreement on all" points, Dutch Prime Minister Jan Peter Balkenende said after meeting with Russian President Vladimir Putin at the EU-Russia summit. "There is still a great deal to be done."
Putin said: "Everyone sees movement forward. ... This work will be accomplished" by May 2005.
The Dutch leader, whose country currently holds the EU presidency, said there would be further talks as the need was for "quality rather than speed."
The summit was overshadowed by the disputed election in Ukraine, a former Soviet republic. The EU and Russia urged Ukraine leaders Thursday to find a nonviolent solution to the election crisis gripping the former Soviet republic.
The proposed "strategic partnership" the EU and Russia discussed is akin to a deal the European grouping has been pursuing with Ukraine. Russia, however, is demanding terms that would reflect its status as a world power.
Balkenende said the two sides could not agree on how to craft closer cooperation on security issues, an area that touches on Russia's relations with Ukraine, Moldova, Belarus and the Caucasus republics.
The EU wants to reach out to its eastern neighbors with economic and political assistance. Moscow, though, is wary of a clash between an expanding Europe and its sphere of influence.
Moscow has complained about what it considers Western Europe's interference on human rights in Chechnya. It also accuses the EU of double standards, saying the treatment of Russian-speaking minorities in the EU's Baltic states of Latvia and Estonia falls short of international and EU standards.
Moscow says human rights or its ties with its neighbors should be discussed at the United Nations or the Organization for Security and Cooperation in Europe -- and not in Brussels.
Bilateral trade between the European Union and Russia amounted to $106 billion in 2003. Russia is the EU's fifth-largest trading partner, after the United States, Switzerland, China and Japan. The EU is Russia's main trading partner, accounting for more than 50 percent of its total trade.
EU, Russia Fail to Reach Partnership AP Online Thursday, November 25, 2004 11:40:00 AM
Copyright 2004 The Associated Press
THE HAGUE, Netherlands (AP) — Russia and the European Union failed to complete negotiations Thursday on a "strategic partnership" because of disagreements over security, but said they were confident that final agreement will be reached next year.
The goal of the partnership is to boost ties in four areas: the economy; freedom, security and justice; external security; and research, education and culture.
"We have not reached agreement on all" points, Dutch Prime Minister Jan Peter Balkenende said after meeting with Russian President Vladimir Putin at the EU-Russia summit. "There is still a great deal to be done."
Putin said: "Everyone sees movement forward. ... This work will be accomplished" by May 2005.
The Dutch leader, whose country currently holds the EU presidency, said there would be further talks as the need was for "quality rather than speed."
The summit was overshadowed by the disputed election in Ukraine, a former Soviet republic. The EU and Russia urged Ukraine leaders Thursday to find a nonviolent solution to the election crisis gripping the former Soviet republic.
The proposed "strategic partnership" the EU and Russia discussed is akin to a deal the European grouping has been pursuing with Ukraine. Russia, however, is demanding terms that would reflect its status as a world power.
Balkenende said the two sides could not agree on how to craft closer cooperation on security issues, an area that touches on Russia's relations with Ukraine, Moldova, Belarus and the Caucasus republics.
The EU wants to reach out to its eastern neighbors with economic and political assistance. Moscow, though, is wary of a clash between an expanding Europe and its sphere of influence.
Moscow has complained about what it considers Western Europe's interference on human rights in Chechnya. It also accuses the EU of double standards, saying the treatment of Russian-speaking minorities in the EU's Baltic states of Latvia and Estonia falls short of international and EU standards.
Moscow says human rights or its ties with its neighbors should be discussed at the United Nations or the Organization for Security and Cooperation in Europe -- and not in Brussels.
Bilateral trade between the European Union and Russia amounted to $106 billion in 2003. Russia is the EU's fifth-largest trading partner, after the United States, Switzerland, China and Japan. The EU is Russia's main trading partner, accounting for more than 50 percent of its total trade.
Baltic presidents say Ukraine must be model for democracy AP WorldStream Fri, November 26, 2004 7:49:00 AM
Copyright 2004 The Associated Press
VILNIUS, Lithuania (AP) — Presidents of the three Baltic states on Friday said Ukraine's people have their support as the political crisis there escalated amid allegations of electoral fraud.
The presidents of Latvia, Lithuania and Estonia, meeting at their annual mini-summit in Vilnius, said in a joint statement that Ukraine, a country of 48 million people, was "seeking to build and strengthen the country in line with a model of European democracy" and could "always count on the solidarity of the Baltic states."
The meeting between Latvian President Vaira Vike-Freiberga, Estonian President Arnold Ruutel and Lithuanian President Valdas Adamkus, was cut short because of the situation in Ukraine.
Adamkus left the meeting and flew to Kiev to help mediate talks between the government and the political opposition, led by Viktor Yushchenko.
"We want that consolidation of democracy to be achieved in a fair and just way," Adamkus told reporters before he left.
The three heads of state toured a NATO facility near Siauliai in northern Lithuania that houses the contingent of troops and pilots who patrol the Baltics' airspace.
They also discussed improving roads and transportation through the three states, as well as border security with neighboring Russia.
All three countries joined the North Atlantic Treaty Organization and the European Union earlier this year.
Estonia, Latvia and Lithuania all regained their independence amid the 1991 Soviet collapse and have maintained a strong pro-West tack.
All five Latvian center-right parties to join new government AP WorldStream Fri, November 26, 2004 1:02:00 PM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Two Latvian political parties announced on Friday they would join the government of Prime Minister-designate Aigars Kalvitis, giving him a coalition made up of all five center-right parties in the country's parliament.
New Era, the largest in the Saeima, or parliament, with 24 seats, and For Fatherland and Freedom will join Kalvitis' government, New Era leader Einars Repse said Friday. Both sat in opposition of the government of outgoing Prime Minister Indulis Emsis, who took power last March.
"We've already taken a difficult step forward in the formation of this government," said Repse.
Kalvitis, appointed this week by President Vaira Vike-Freiberga in the belief he had the best chance of forging a majority government, said Thursday he wanted a four-party coalition.
But the 38-year-old former lawmaker and tractor driver relented Friday after New Era and For Fatherland and Freedom told him if he wanted one party to join his coalition, he'd have to take them both.
Kalvitis said he would give the two parties seven ministerial posts, including defense.
For Fatherland and Freedom leader Janis Straume said his party would be content running just one ministry, meaning New Era will likely get six ministerial posts, an equal number to Kalvitis' People's Party.
With all five center-right parties on board, Kalvitis now leads a coalition with 77 votes in the 100-seat Saeima.
Political analysts said Kalvitis should find it easy to get legislation approved, but warned the coalition could be unwieldy.
"What it would mean is an entirely unwieldy coalition made up of many parties with many different interests," said political commentator Karlis Streips. "On the other hand, one partner could decide to leave without the entire government collapsing."
EU deadlock over biotech products unbroken AP WorldStream Mon, November 29, 2004 7:12:00 AM
Copyright 2004 The Associated Press
BRUSSELS, Belgium (AP) — European Union governments failed to break a deadlock Monday on whether to allow imports of a corn modified by U.S. biotech giant Monsanto Co. to resist rootworms, despite a ruling last month confirming its safety.
A committee of national experts split 8-12 with 5 abstentions, said European Commission spokeswoman Barbara Helfferich. Because of the weighted voting system, neither supporters nor opponents gathered the necessary majority.
The committee has repeatedly deadlocked since the EU ended its six-year moratorium on accepting applications for new genetically modified foods in May. Such products remain controversial across Europe, where many see them as potential health and environmental risks.
The committee's deadlock means the file goes to EU government ministers, who have three months to consider it. If they fail to break the impasse, it goes back to the EU head office, which is likely to approve it.
The European Food Safety Agency has twice reported that the variety of corn considered Monday -- known as MON 863 -- is "unlikely to have an adverse effect on human and animal health, or on the environment."
The agency offered its first backing in April, but Germany had asked for further study before it would consider agreeing to allow the sale of the product in the European Union.
Germany joined Britain, Finland, Sweden, Portugal, Netherlands, France and Estonia in voting to approve the application. Slovenia, Poland, Austria, Malta, Hungary, Luxembourg, Lithuania, Latvia, Cyprus, Italy, Greece and Denmark voted against. Slovakia, Ireland, Spain, Czech Republic and Belgium abstained.
Monsanto had applied for authorization for import and processing of MON 863, such as for animal feed, but not cultivation or human consumption.
New Latvia government vows euro, Iraq continuity Reuters World Report Thu, December 02, 2004 5:36:00 AM
Copyright 2004 Reuters Ltd.
By Jorgen Johansson and Patrick McLoughlin
RIGA, Dec 2 (Reuters) — Latvia's new right-of-centre government won solid parliament backing on Thursday, pledging to keep the Baltic country on course to adopt the euro, maintain Latvia's small contingent in Iraq and improve ties with Russia.
Prime Minister Aigars Kalvitis of the People's Party won a 75-23 majority for his government in the 100-seat house, ending a five-week political vacuum left by the collapse of the cabinet of Indulis Emsis, Europe's first Green prime minister.
That administration fell on Oct. 28 after parliament rejected its budget.
"There will be no changes to policies already adopted by the previous government," Kalvitis told Reuters. Latvia joined the European Union on May 1 and hopes to adopt the bloc's common euro currency by 2008.
The backbone of the new government is the People's Party and New Era, which together command 44 seats. Other parties included are the Greens, the Farmers Union and the Latvia's First Party, giving the coalition 70 seats.
Kalvitis re-appointed party colleague Oskars Spurdzins as finance minister. Spurdzins said his aim would be to keep the country's 2005 budget deficit well within EU limits, part of efforts at fiscal prudence needed to join the euro.
"The most important task for the new government right now will be to finalise next year's budget and make sure it will be within the (EU's) Maastricht criteria," he told reporters.
He said the goal was for a 2005 budget deficit of 1.5 to 1.8 percent of gross domestic product. The EU limit is 3 percent.
Latvia hopes to repeg its lat currency to the euro early next year and then begin preparations to join the "waiting room" for the euro, known as ERM-2.
Countries must spend at least two years in ERM-2 before qualifying for the euro as well as meeting targets on budget deficits, inflation and interest rates.
RUSSIAN TIES
Former prime minister Einars Repse, head of New Era, was named defence minister. Latvia joined the NATO military alliance in March this year.
"There will be full continuation in government policies including the foreign and defence aspects," he told Reuters. "Latvia will continue to support its mission in Iraq. We will do our job, only better." Latvia has 120 soldiers in Iraq as part of U.S.-led coalition forces.
Kalvitis re-appointed Artis Pabriks as foreign minister. Pabriks said EU policy would be complemented by endeavours to improve links with Russia, often strained since Latvia regained its independence from Moscow in 1991.
Moscow has shown little opposition to the three Baltic states joining the EU, but has expressed continued concerns about Russian-speaking minorities there.
EU officials have said Moscow needs to ratify border agreements with Latvia and Estonia and sign an accord on the readmission of illegal immigrants. "It is important to improve relations with Russia," Pabriks told Reuters.
"On December 9 I will meet with (Russian foreign minister) Sergei Lavrov and I believe words will be followed by deeds," he said. "I hope that Russia will soon ratify the border treaty and when I meet him I will ask him why it has taken so long."
European rights court upholds complaint of Farbtuhs AP WorldStream Thu, December 02, 2004 11:02:00 AM
Copyright 2004 The Associated Press
BRUSSELS, Belgium (AP) — The European Court of Human Rights condemned Latvia on Thursday over the prison conditions of a disabled octogenarian convicted of committing genocide during the Soviet occupation of the Baltic country.
Mihails Farbtuhs, 88, was awarded Ç6,000 (US$7,900) in costs and damages by the panel of European judges, which voted six-to-one in his favor. Latvian judge Jautrite Briede was the dissenting voice.
A Latvian court convicted the former police officer of genocide and crimes against humanity in 1999 for his role in the deportation and death of dozens of Latvians in 1940-1941 after Soviet troops invaded the country.
Although severely disabled and suffering from several debilitating illnesses, Farbtuhs began a seven year sentence at Matisa Prison in Riga in June, 2000. After several appeals for release on health grounds, he was set free in March 2002.
"The situation in which he had been put was bound to cause him permanent anxiety and a sense of inferiority and humiliation so acute as to amount to degrading treatment," ruled the court in Strasbourg, France.
The court noted that Farbtuhs was 84 when sent to prison and "paraplegic and disabled to the point of being unable to attend to most of his daily tasks unaided."
In a statement, the court said that for part of his time in prison, Farbtuhs had to rely on care from fellow prisoners. It said Latvia had infringed the European Convention prohibiting degrading treatment of prisoners.
The Latvian government has three months to lodge an appeal.
Sweden, Latvia labour row may test rules of new EU Reuters World Report Fri, December 03, 2004 12:26:00 PM
Copyright 2004 Reuters Ltd.
By Patrick Lannin and Gleb Bryanski
VAXHOLM, Sweden, Dec 3 (Reuters) — A small Latvian building firm operating in Sweden was blockaded by Swedish unionists on Friday in what may become a test case for "old" EU countries' fears of a flood of cheap labour from new EU states.
The conflict broke out when L&P Partners, which is refurbishing a school in this small town near Stockholm, refused to sign a sector national wage deal which would push up pay. The union says all firms in Sweden have such deals.
But L&P says the collective wage deal would have prevented it from winning the school contract. It says the Swedish union simply wants to shut out foreign labour.
"They just want to get rid of us," said Alexander Nogin, one of the 20 Latvian labourers. "This is stopping us from working."
Sweden's government has backed union objections to "wage dumping" from eastern Europe and the case, the first of its kind in Sweden, has soured relations between the two countries and prompted calls for intervention from Brussels.
"They are fully within their rights according to Swedish collective agreements to take strike measures," Swedish Prime Minister Goran Persson told Dagens Nyheter newspaper.
On Friday morning, a small group of union leaders took the latest step in what they see as a fight for the Swedish model of fair labour by launching a "blockade" of the company. This means no union will work with the Latvian firm, effectively stopping it completing its work.
The viewpoint in Riga is different.
"We hope Sweden and the Swedish union will understand they are not right in this case," said Latvian Foreign Minister Artis Pabriks. "Otherwise I may go and talk to my Swedish counterpart or find out what's going on from the European Commission."
L&P uses labourers from Latvia, taking advantage of free movement of labour rules after its May 1 EU entry. Unlike most other EU states, Sweden set no transitional time limits on opening its labour markets to the citizens of the new EU.
Regina Purva, the Latvian firm's project coordinator, said the union wanted wages of 145 crowns an hour, the average for builders in Stockholm, and Latvian workers to pay union dues. L&P is ready to pay 109 crowns, the minimum for the sector.
"We'd never have been able to win this contract if we had to pay such salaries. What they're doing is against EU rules. We also have our own agreement with Latvian unions," she said.
Torgny Johansson, head of Swedish builders union Byggettan, said all other foreign firms signed collective wage deals.
"This is not a question of discrimination. We're simply asking them to do what all companies do," he told Reuters. "We can't allow wage dumping here."
Even if Latvia appeals to the EU, it is not clear whether what the unions are doing is against Community law.
"It is a bit of a novel problem," said Ulf Bernitz, European law professor at Stockholm university. While Sweden must respect EU rules on free movement of labour, the legality of enforcing collective wage agreements had never been tested, he said.
Latvia to open embassies in Japan, Egypt in next two years AP WorldStream Mon, December 06, 2004 5:28:00 AM
Copyright 2004 The Associated Press
By TIMOTHY JACOBS
Associated Press Writer
RIGA, Latvia (AP) — Latvia plans to open embassies in Japan and Egypt in the next two years, Foreign Minister Artis Pabriks said Monday.
The Baltic country of 2.3 million residents joined the European Union earlier this year and is moving to strengthen its ties with Asia and the Middle East and by open embassies there.
Pabriks said the embassy in Egypt — the country's first on the African continent -- would likely oversee Latvian interests in the entire Arab region.
Opening an embassy in Japan, said Pabriks, was "a matter of prestige."
"We are politically in debt to Japan," said Pabriks.
Latvia promised to open an embassy in Japan soon after it regained its independence amid the 1991 Soviet collapse but has been unable to do so because of the steep costs involved, said Pabriks.
Pabriks said the costs of opening and maintaining the embassy in Japan would amount to about Ç1 million (US$1.33 million) in the first year.
Japan has been a generous donor to Latvia in the last decade. Last week, the Latvian Museum of History received a Ç202,000 (US$271,670) grant from the Japanese government.
Latvia's new government, which took office last week, also hopes to open an embassy Latin America in either Mexico, Brazil, Argentina, or Chile but the government may not be able to do so before the next parliamentary elections in late 2006, Pabriks said.
Spain has offered Latvia space to open up an embassy in one of its own in Latin America but the country has not yet been decided on, Pabriks said.
Math skills scores by country AP WorldStream Mon, December 06, 2004 7:04:00 PM
Copyright 2004 The Associated Press
WASHINGTON (AP) — The 2003 math scores from the Program for
International Student Assessment, a test for 15-year-olds.
Countries with avg. scoreScore
significantly higher than U.S.
Hong Kong-China 550
Finland 544
Korea 542
Netherlands 538
Liechenstein 536
Japan 534
Canada 532
Belgium 529
Macao-China 527
Switzerland 527
New Zealand 523
Australia 524
Czech Republic 516
Iceland 515
Denmark 514
France 511
Sweden 509
Austria 506
Germany 503
Ireland 503
Slovak Republic 498
Norway 495
Luxembourg 493
— -
United States and countries with
statistically similar scores
Poland 490
Hungary 490
Spain 485
Latvia 483
United States 483
— -
Countries with avg. scores
significantly lower than U.S.
Russian Federation 468
Portugal 466
Italy 466
Greece 445
Serbia and Montenegro 437
Turkey 423
Uruguay 422
Thailand 417
Mexico 385
Indonesia 360
Tunisia 359
— -
Source: Organization for Economic Cooperation and Development
A Baltic Market Option, THE ST. PETERSBURG TIMES AP WorldSources Online Tue, December 07, 2004 8:39:00 AM
Copyright 2004 The Associated Press
COPYRIGHT 2004 BY WORLDSOURCES, INC.
Copyright 2004 THE ST. PETERSBURG TIMES
A joint stock market for the Nordic region, uniting five stock exchanges in Stockholm, Helsinki, Tallinn, Vilnius and Riga has started functioning under the single name OMX Exchanges. For the first time in history, a number of financial platforms have been joined to create a new technological mechanism for transactions called OMX technology.
Traditionally, the size of stock markets in Nordic countries is much smaller than in central European countries such as Germany, Spain and Switzerland. If the size of the German securities market (indexed) is 1100, the Spanish - almost 800, the Swiss 700, then the figures drop significantly when we consider the Swedish market - 300 and the Finnish one - less than 200. Concurrently, Nordic stock exchanges find themselves under pressure to attract liquidity.
To gain in competition, the idea sprang up to create a single financial space, which will allow investors to work with large numbers of highly liquid shares and other financial instruments.
That's why a merger of, first, Helsinki and Stockholm stock exchanges, and, later on, the joining of Tallinn, Riga and Vilnius stock exchanges, allowed to set up the new initiative for a common stock market: OMX.
According to results from 2003, the revenue from a single trading space amounted to 294 million euros and the number of employees to 1,429. The OMX Exchanges have operations in Australia, China, Estonia, Finland, Italy, Latvia, Lithuania, Norway, Sweden, U.K. and the U.S.
There are 500 listed companies (among them, ABB, Ericsson, NOKIA, Volvo, StoraEnso, Sampo, Ventspils Nafta, TeliaSonera) and 150 trading members (such as Merrill Lynch, Credit Suisse, Citigroup, Goldman Sachs, Deutsche Bank) working on the OMX Exchanges.
Jukka Ruuska, President of OMX Exchanges, says that one of the main achievements since integration has been an increase in efficiency, along with higher liquidity: end user costs keep going down as turnover velocity continues to increase.
Another advantage has been the harmonization of trading hours, the day's structure and an introduction of a new pan-Baltic index.
There lies still more potential for growth. OMX Exchanges come seventh in the ranking of European stock exchanges on the value of cash equity trading (for January-August 2004). With an overall volume of 373 billion euros, it follows the London Stock Exchange, Euronext, Deutsche Borse, Spanish Exchanges, Borsa Italiana and Virt-x in the rankings.
In the meantime, the prospects for the future development of the stock market have already been announced. The year 2004 saw the creation of one trading platform, one access point and one trading rulebook. In 2005, plans include a cross-membership and an integrated index family, and then further on in 2006 - the introduction of a multi-currency order-book, a common list structure and standard listing rules.
The changes will later lead to one settlement system, a single register system, the same level and flow of information and a harmonized regulatory environment, Ruuska said.
Latvia government confident of yes vote on EU Constitution Reuters World Report Tue, December 07, 2004 11:20:00 AM
Copyright 2004 Reuters Ltd.
By Patrick McLoughlin and Jorgen Johansson
RIGA, Dec 7 (Reuters) — Latvia said on Tuesday it would speed up its planned parliamentary vote on the new EU constitution, leading to its probable approval by end-January.
Foreign Minister Artis Pabriks told Reuters the document would be submitted to parliament in a week and he was confident of its approval by the end of January.
"It will go to parliament next week," he said.
When asked if he was confident of ratification he told Reuters: "Yes. During January we will have every chance to gain approval."
Such a decision would make Latvia the second country in the 25-nation European Union to ratify the accord, after neighbouring Lithuania in November.
It would also provide another psychological boost in the expected hard-fought battle for the constitution to gain approval across the bloc.
Latvia's new right-of-centre coalition government, which won parliament's backing last week after the previous administration fell in October, initially timetabled a vote for spring next year (March-May).
The new government has pledged to keep the Baltic country on course to adopt the euro by 2008 and for ex-Soviet Latvia to maintain strong ties with Brussels, seen as key to its future prosperity.
Latvia's decision to speed up the approval process comes after the leader of France's opposition Socialists urged President Jacques Chirac on Monday to hold a referendum on the constitution as soon as possible to increase the chances of it being approved.
Chirac announced last July that he would hold the referendum in the second half of 2005 but has set no date for the vote.
The constituion is intended partly to make it easier for the EU to take decisions following its enlargement to 25 member states last May. It requires the approval of all member states.
But negative public opinion in Britain and resistance in some other key countries is seen as a major impediment to its adoption.
Latvian economy surged 8.5 pct y/y in Q3 Reuters World Report Fri, December 10, 2004 7:42:00 AM
Copyright 2004 Reuters Ltd.
RIGA, Dec 10 (Reuters) — Latvia's gross domestic product rose 8.5 percent in the third quarter compared with the same year-ago period, the central statistics bureau said on Friday.
The surge in growth was due to stronger growth in retail trade, manufacturing and construction, as well as in the transport and communication sectors, the bureau said.
The economy of the small Baltic nation, which joined the European Union this year, grew 7.5 percent last year and by 7.7 percent year-on-year in the second quarter this year.
"Usually the third quarter should be the weak one and this is totally unexpected," said Vadims Zaiceves, analyst with Parex Bank, adding that the bank would raise its full year GDP forecast to above 8.0 percent from the current 6.4 percent.
"We seem to shop till we drop, but we have to be careful and make sure the economy is not overheating. With this growth people might start demanding higher salaries and this could have a negative effect on the already high inflation."
On Wednesday, the statistics office reported Latvian November inflation at 7.2 percent year-on-year.
British jets plan fly over of Estonian capital in commemorative ceremony AP WorldStream Fri, December 10, 2004 9:58:00 AM
Copyright 2004 The Associated Press
TALLINN, Estonia (AP) — Two Tornado F3 fighter jets with the Royal Air Force will stage a fly over above the capital this weekend, part of a ceremony to commemorate the British soldiers killed in the Baltic state's 1918-1920 war for independence.
Weather permitting, the jets, which are part of the NATO-based unit at Zokniai air base in Lithuania, will fly over the capital at 11 a.m. (0900GMT), the Defense Ministry said Friday.
As a part of the ceremony, British ambassador Nigel Haywood and the chief of staff of Estonian defense forces Col. Alar Laneman will lay wreaths at a monument in a military cemetery to mark arrival of the first units of the Royal Navy to Estonia in 1918.
Britain sent hundreds of troops and several ships to help Estonia protect its northern coast during its war for independence from Bolshevik forces. Some 111 British soldiers and sailors were killed in the fighting, which also claimed hundreds of Estonian lives. Ultimately, Estonia gained its independence, but lost it when the Soviet Union occupied the country during World War II.
The Baltic state of 1.4 million regained its independence amid the 1991 Soviet collapse and earlier this year joined the European Union and NATO, both of which Britain is also a member.
Since the Baltic states joined the North Atlantic Treaty Organization, Danish, Belgian and British jets have all rotated through the region to patrol the air space of Estonia, Latvia and Lithuania.
Problems between Russia-EU over partnership are "mainly psychological" AP WorldStream Tuesday, December 14, 2004 11:18:00 AM
Copyright 2004 The Associated Press
By MARIA DANILOVA
Associated Press Writer
MOSCOW (AP) — Russia and the European Union will sign a partnership agreement strengthening security, economic, education and other ties at a summit in May, Luxembourg Prime Minister Jean-Claude Juncker said Tuesday.
Russia and the EU failed to sign a wide-ranging accord at a November summit in The Hague due to disagreements over security and other issues. But Juncker, whose country takes over the EU chairmanship next month, said at a meeting with Prime Minister Mikhail Fradkov Tuesday that the problems between were "mainly psychological," the ITAR-Tass news agency reported.
He pledged that the partnership agreement — boosting economic, security, justice, research, education and cultural ties -- "will be signed on May 10 at 11:20 a.m," ITAR-Tass quoted him as saying.
Earlier Tuesday, Juncker met with President Vladimir Putin to discuss Russia's relations with the European Union as well as the two countries' bilateral relations.
"Russia is a principal actor in Europe — in our view one of the most important," Juncker told Putin at the start of the talks. Juncker said he thought it was necessary to visit Moscow before taking on the rotating EU presidency.
Some US$6.7 billion (Ç5 billion) has been invested in Russia through Luxembourg during the first nine months of this year, Putin said. But he lamented that investments coming directly from Luxembourg totaled only US$29.5 million (Ç22.1 million).
Fradkov also told Juncker that Russia and Luxembourg should cooperate in the high-tech sphere and that trade between the two countries should be much greater.
Juncker said bilateral relations were in keeping with "the feeling of mutual trust and mutual understanding between the leaders of the two countries."
Juncker said he was using his visit to Moscow to discuss and make preparations for the next Russia-EU summit. The event is to take place in May.
"We hope that the EU presidency held by Luxembourg will also serve to improve relations between Russia and the European Union," he said.
Russia and the European Union failed in November to sign a partnership deal, after disagreeing on how to craft closer cooperation on security issues, an area that touches on Russia's relations with former Soviet republics of Ukraine, Moldova, Belarus and the Caucasus countries.
The Kremlin complains about what it considers Western Europe's interference on human rights in Chechnya.
Moscow also accuses the EU of double standards, saying the treatment of Russian-speaking minorities in the EU's Baltic states of Latvia and Estonia falls short of international and EU standards.
Historic Dome Cathedral reopens in Latvia in time for Christmas AP WorldStream Wednesday, December 22, 2004 8:22:00 AM
Copyright 2005 The Associated Press
RIGA, Latvia (AP) — More than six months after it was closed, the Dome Cathedral in Latvia's capital was reopened to visitors on Wednesday.
Janis Vanags, the arch bishop of the country's Lutheran Church reopened the 700-year-old building with a short prayer.
The cathedral was closed to tourists in June because engineers said it was in danger of collapsing.
Built in the 13th century, the red brick Lutheran Dome Cathedral has long dominated the Riga cityscape and has grown to become the largest place of worship in the Baltics. It houses one of Europe's largest organs, with 6,768 pipes, and concerts at the cathedral draw thousands of tourists each year.
It was ordered closed in June because of structural flaws. Two of the eight columns supporting the cathedral's roof are cracked and the ground beneath one of the pillars is unstable and contains an open tomb that needs to be filled, according to French architect Bruno Deslandes, who helped oversee an engineering study on the building.
The Dome Cathedral is one of Latvia's most popular tourist attractions -- more than 100,000 tourists visited it in 2003 -- so the Culture Ministry wanted it open for the Christmas holidays.
Temporary braces were built to support the two unstable columns and hundreds of tiny monitors were placed throughout the cathedral to help gauge its overall stability.
An 8.5 million Lats (US$16 million, Ç12.4 million) renovation project on the cathedral is tentatively set to begin in 2005 and is expected to take up to eight years to finish.
Member of Latvian bobsled team killed in auto accident AP WorldStream Thursday, December 23, 2004 5:23:00 AM
Copyright 2005 The Associated Press
RIGA, Latvia (AP) — A member of Latvia's national bobsled team was killed in an automobile accident, officials said.
Juris Latiss was killed Wednesday in western Latvia while driving from Auce to his home in the capital, Riga, the Baltic News Service reported, citing team coach Janis Skrastins.
According to police, Latiss' car collided with another vehicle on the road, killing him and the other driver.
Skrastins told BNS that Latiss was heading home after helping the team unload its sled. The team had returned from a World Cup competition in Italy.
Latiss — along with Janis Minins — finished 10th at the World Cup bobsled event in Cortina d'Ampezzo, Italy, on Dec. 18 and were ranked No. 9 in the World Cup standings after four of seven rounds.
In the four-man World Cup race held on Dec. 19, Latvia finished sixth.
Latiss, 25, began his athletic career in track and field after finishing high school. He was also studying to be a police officer and was enrolled at the Latvian Police Academy.
Latvia re-pegs to euro, analysts say rate high Reuters World Report Thursday, December 30, 2004 12:42:00 PM
Copyright 2005 Reuters Ltd.
By Jorgen Johansson
RIGA, Dec 30 (Reuters) — Latvia re-pegged its currency to the euro on Thursday, part of its planned road to adopting the European Union's single currency by 2008.
Latvians paid little heed to the change in a currency arrangement which has secured the stability of the lat since the early years of independence from the Soviet Union and into the European Union this year.
But economists said the rate at which it was pegged, which came after several months of appreciation, was fairly high and might hurt importing companies as well as fuel inflation. The central bank played down fears of any negative economic impact.
Latvia pegged the lat at a rate of 0.703 per euro (EURLVL-), the central bank said, swapping from the International Monetary Fund's unit of exchange, the SDR, its peg since 1994, for which the rate was 0.7997 per SDR.
The euro peg is effective from January 1 as December 31 is a public holiday.
The SDR peg has given the lat stability and credibility for 10 years. It has suffered little speculative pressure, even as emerging markets crises hit bigger eastern European nations and during a 1995 banking crisis.
Now the country wants to reinforce its ties with the EU, which it joined on May 1, by eventually adopting the euro.
"We are now on a direct route to being integrated into the euro zone," Economy Minister Krisjanis Karins told Reuters.
Karins saw the switchover as being positive.
"It is obvious for all involved in import and export that there will be some changes. Going into the euro zone means that we are now part of a market much larger than our own," he said.
Central bank spokesman Martins Gravitis said the rate would not cause any surprises. The full rate announced by the central bank was 0.702804.
The bank will keep the lat in a corridor of one percent around the central rate, the same as against the SDR peg.
The rate of the peg was around that at which the central bank was quoting the lat at the time. The calculation was done via a reference to rates of exchange of the SDR, which is a basket of the dollar, the euro, the pound and the yen.
INFLATION WORRY?
"The rate is neither a surprise nor a novelty for the Latvian economy," Gravitis said. "Our economy was growing when the euro was at 0.5 and at 0.7."
But some economists said it was on the high side.
"It will not be favourable for consumers since a lot of consumption is based on imports," said Parex Bank analyst Vadim Zaitsev. "It could boost inflation, but it is too soon to tell."
Unibanka analyst Andris Vilks was quoted by local news agency BNS as saying that although imports would become more expensive, exporting companies would benefit. He said it would take a couple of years before the true impact was seen.
Analysts have also noted the move would remove exchange rate risks for companies doing business with the euro zone.
Ordinary Latvians did not seem to notice the change much.
"I don't know much about it but I suppose it will be good for the economy," said software programmer Rainis Medenis.
"I don't know how it will affect the inflation or the job situation here, but hopefully it will be for the better."
Latvia has said it plans to enter the ERM-2 currency grid early in 2005 and adopt the euro in 2008.
It must spend at least two years in ERM-2 and meet various targets such as keeping inflation within 1.5 percent of the three best-performing euro zone states, have a budget gap below 3 percent of gross domestic product, debt below 60 percent of GDP and sufficiently low interest rates.
Bus crash in Latvia kills nine people traveling from Moscow to Riga AP WorldStream Friday, December 31, 2004 11:01:00 AM
Copyright 2005 The Associated Press
RIGA, Latvia (AP) — A bus bound for the Latvian capital from Moscow overturned early Friday morning, killing nine people and injuring 17 others, rescue and police services said.
The bus apparently struck a patch of ice in the Jekabpils region along the Moscow-Riga highway, some 190 kilometers (118 miles) from Riga, and slid off the road.
State Police spokeswoman Kristine Mezharaupa told the AP that nine people were killed, after initial reports showed 10 had been killed. She said one of the 17 passengers hospitalized in the early morning accident was in grave condition. The other 16 had injuries that were not considered life-threatening.
The bus was carrying 62 passengers, two drivers and a steward, police said. All but two aboard were Russian citizens, Yury Kuteinikov, the consul for the Russian Embassy in Riga, said.
Police said the bus hit a tree before overturning just after 5 a.m. (0300 GMT). The driver was detained by police and a criminal investigation begun.
Mezharaupa said police were also investigating the crash site to see if the bus, operated by Ecolines and registered in Latvia, was speeding when it hit the patch of ice, and to determine if road crews had maintained the area properly. She said the drivers and the steward were given drug tests.
Several passengers aboard the double-decker bus told Latvijas Radio that shortly before they crash, the bus felt like it was accelerating quickly.
"The second level of the bus literally folded like a piece of cardboard," an unidentified passenger told the radio network.
In a statement, the Russian Foreign Ministry said it sent its general consul from the city of Daugavpils to assist its citizens.
Putin Sends Greeting to War Crimes Convict AP Online Saturday, January 01, 2005 9:06:00 AM
Copyright 2005 The Associated Press
MOSCOW (AP) — Russian President Vladimir Putin issued New Year's greetings Saturday to a former pro-Soviet partisan convicted in Latvia of killing civilians during World War II.
Vassily Kononov, 80, was convicted last year of war crimes for ordering the killing of nine civilians, including a pregnant woman, in 1944 when Latvia was occupied by Nazi troops. He was a leader of a small band of partisans fighting the Nazis.
Kononov was sentenced to 20 months' imprisonment, but was freed because he had served that much time in pretrial detention.
Many Russians consider Kononov a legitimate war hero and Moscow criticized the trial as a witch-hunt targeting an ailing, elderly man. Russian-Latvian relations have been tense since the 1991 collapse of the Soviet Union, with Russia expressing strong resentment of Latvia's efforts to spread use of the Latvian language and limit Russian, the mother tongue of about a third of Latvia's people.
"You have defended not only your honest name, but historical justice and the honor of your fighting comrades," Putin said in the greetings statement released by the Kremlin. "From my soul I greet you and your loved ones on the coming New Year."
Hundreds of foreigners killed, thousands missing in tsunami disaster AP WorldStream Monday, January 03, 2005 11:06:00 AM
Copyright 2005 The Associated Press
The tally of foreigners confirmed dead from the quake and tsunamis throughout southern Asia, according to their countries' foreign ministries. Figures also include the most recent available numbers of missing based on the estimates by some government officials and agencies. However definitions of missing vary, with some countries including all tourists who have failed to contact authorities while others only count those known to have been present when the tsunamis hit.
— Germany: 60 dead. More than 1,000 missing.
— Sweden: 52 dead. 2,322 missing.
— Britain: 40 dead. 159 missing.
— Switzerland: 23 dead. 500 missing.
— France: 22 dead. Hundreds missing.
— Japan: 21 dead.
— Italy: 18 dead. 540 missing.
— Norway: 16 dead. 150 missing.
— United States: 15 dead.
— Finland: 14 dead. 183 missing.
— Australia: 13 dead. 78 missing.
— South Korea: 11 dead.
— Singapore: 9 dead.
— Denmark: 7 dead. 69 missing.
— Austria: 7 dead. 468 missing.
— Belgium: 6 dead. 136 missing.
— Canada: 5 dead. Up to 150 missing.
— Philippines: 5 dead.
— Netherlands: 6 dead. More than 200 missing.
— South Africa: 7 dead. 1,144 missing.
— Israel: 4 dead. 3 others feared dead.
— China: 3 dead. 15 missing.
— Brazil: 2 dead.
— New Zealand: 2 dead. 24 missing.
— Taiwan: 2 dead.
— Russia: 2 dead. 80 missing.
— Poland: 1 dead. 39 missing.
— Colombia: 1 dead.
— Czech Republic: 1 dead. 25 missing.
— Turkey: 1 dead. 19 missing.
— Mexico: 1 dead.
— Hungary: 20-30 missing.
— Ireland: About 25 missing.
— Portugal: 8 missing.
— Greece: 7 missing.
— Luxembourg: 3 missing.
— Spain: 3 missing.
— Estonia: 3 missing.
— Latvia: 1 missing.
— Chile: 1 missing.
— Croatia: 1 missing.