Athens News Agency: Daily News Bulletin in English, 00-04-14

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From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] New government faces high expectations � Simitis

[02] Unofficial Greek-Turkish talks on methodology to begin soon, Cem says

[03] Top US foreign policy expert: European security issue solved except for Balkans, Greek-Turkish differences

[04] Greek and Turkish mayors to examine creation of 'Euro-region Evros-Meric'

[05] Bulgarian president awards medal to Greece's ambassador to Sofia

[06] Papantoniou announces tax cuts, higher spending in health, education

[07] Intralot signs contract with Telecom Serbia

[08] Panafon Services forges Hungary-oriented alliance

[09] New step in sluggish Bulgarian telecom sale

[10] Greek stocks end sharply lower, blue chips battered

[11] 'Graphis 2000' exhibition to attract 4,000 retailers

[12] Shephardic Jewish language conference in Thessaloniki

[13] Foreign envoys due in Cyprus in May to push peace process forward

[14] House President holds talks with US ambassador

[15] CoE's Irish presidency pressures Turkey over Loizidou case

[01] New government faces high expectations Simitis

Athens, 14/04/2000 (ANA)

"We have created considerable expectations among the Greek people who will be judging us daily... The significance of our victory is much greater than the figures suggest, for two reasons: First, because we increased our electoral strength (by more than two percent)... and second because we won three consecutive elections (1993, 1996, 2000), which shows the confidence of the Greek people in us," he was quoted as saying.

The first Cabinet session took place after the swearing in of the new government before the President of the Republic Kostis Stephanopoulos. The ceremony was officiated by Archbishop of Athens and All Greece Christodoulos.

The new 43-member Cabinet, announced by prime minister Costas Simitis Tuesday night, kept ministers George Papandreou, Akis Tsohatzopoulos and Yannos Papantoniou in the key posts of foreign affairs, defense and national economy/finance, respectively, Vasso Papandreou as interior and public administration minister, Costas Laliotis as environment and public works minister, Michalis Chrysohoidis as public order minister, and Dimitris Reppas and press and media minister.

Former Athens University rector Michalis Stathopoulos took over the post of justice minister, while former foreign minister Theodoros Pangalos assumed the post of culture minister whose tasks include preparations for the Olympic Games of 2004 and maintaining the momentum in Greece's ongoing campaign to persuade Britain to return the Parthenon Marbles. The average age of the members of the new government is 51.9 years.

Simitis called on his new Cabinet for speedy and tangible results, and pledged that the government would be closer to the citizens, supporting their struggles in their daily lives.

He said Greece was now entering a new, fruitful and historic era, and set out the new government's top goals as the achievement of even higher growth rates, the completion of the welfare state, improved performance in the macroeconomic field and the continuous upgrading of the country's international standing through an outward- looking foreign policy.

Change of guard in government posts: Former ministers handed over their duties on Thursday to the new government appointees in official ceremonies, following Wednesday's announcement of the new cabinet by Prime Minister Costas Simitis.

Former education minister Gerasimos Arsenis handed over the ministry to Petros Efthymiou, noting that the educational reform he began has taken root, despite reactions, stressing that it would be a mistake to measure success in any endeavor by reactions.

He added that the message that a politician who promotes bold changes is not rewarded should resisted. He also made mention of "economic interests" which "fought" against him in efforts to gain control of the way students learn.

On his part, Efthymiou said that his aim was not to make deep and wide changes, adding that the educational reform begun by Arsenis would continue and only when and where necessary there would be improvements, corrections and changes.

New Health and Welfare Minister Alekos Papadopoulos said that he is in full knowledge that he is entering a minefield. He mentioned what he called the "piranhas eating away at the body of public health services," adding that one of his priorities is the medical upgrading for citizens residing on islands of the Aegean.

Former development minister Evangelos Venizelos, in handing over his duties to his successor Nikos Christodoulakis, said that in the 13 months of his tenure in that ministry more was done than in any other sector of the government. Christodoulakis on his part said that he would cooperate with the productive sector of the economy to the benefit of society.

Theodoros Pangalos, who assumed duties as culture minister, said that his priorities would include the repatriation of the Parthenon Marbles, the construction of the Acropolis Museum and the organizing of the "Athens 2004 Olympic Games". Tassos Mantelis, former transport and communications minister, said that he had received an unformed ministry and was now handing over organized enterprises with specific prospects and orientations. On his part, his successor Christos Verelis said that Greek citizens would soon have tangible proof of the work the ministry will undertake.

Michalis Stathopoulos, the new justice minister, said "my principle is to build on what I have found, while new Labor Minister Anastasios Yiannitsis set out the difficulties and importance of the ministry's tasks in the sector of employment, which he stressed was the prime minister's priority.

Finally, former European Commissioner Christos Papoutsis, appointed to the merchant marine ministry, said that the government's aim was to create a powerful Greece, which needs its large merchant fleet. His predecessor Stavros Soumakis reiterated the importance of the Greek merchant marine, which is bound with Piraeus and its port.

[02] Unofficial Greek-Turkish talks on methodology to begin soon, Cem says

ANKARA, 14/04/2000 (ANA - A. Abatzis)

Speaking to journalists of the Turkish NTV television channel Cem expressed his belief that "talks will soon begin between staff members of the foreign ministries of Greece and Turkey over methodological issues on Greek-Turkish differences". He added that during his meeting with Greek Foreign Minister George Papandreou in Luxembourg, earlier this week, he discussed the possibility of a meeting of experts from Greece, Turkey and Bulgaria on cross border trade in Thrace and the Aegean.

He said that he reminded Papandreou that "Turkey is ready for talks on issues regarding the Aegean," stressing that "the Aegean is an issue on which Turkey has several positions and wishes that a solution is arrived at, via talks".

The Turkish minister said that Turkey wanted from the start to keep the Cyprus problem out of the Greek-Turkish rapprochement process.

[03] Top US foreign policy expert: European security issue solved except for Balkans, Greek-Turkish differences

Athens, 14/04/2000 (ANA)

"Problems in European security (west of the eastern Polish border) have been solved, which is an enormous accomplishment for Trans-Atlantic cooperation. This doesn't mean that the United States has no vital interests in Europe, it simply means that American interests aren't threatened," Harvard professor and Rand Corp. special consultant Robert D. Blackwill said in Athens. In an address to a hall of several diplomats, Greek foreign ministry cadres, academics and journalists, the former high-ranking US ambassador and top conventional weapons negotiator outlined what he called Washington's vital interests world-wide, as he views them, including:

Liberalizing the international trade and finance system; stability on the United States' borders, "of which we have no problems now"; no hostile hegemony on the Euro-Asia land mass; external energy security; no weapons of mass destruction (WMD) used against the United States or US forces abroad; assured success of America's military alliances in Europe and Asia, as well as building stable relations with Russia and the Peoples' Republic of China.

Combatting the proliferation of WMDs and relations with Russia and China are an essential part of Washington's strategy, Blackwill quickly emphasized, adding that American leadership's focus will steadfastly concentrate on the Mideast and east Asia in the coming years.

In terms of the Middle East situation, the veteran US diplomat said he recently returned from Israel and the West Bank, where he was received and briefed over the latest Mideast peace process developments by Palestinian leader Yasser Arafat in Ramallah. "Time is running out - if there is no agreement on final status issues he (Arafat) will declare unilateral independence by the end of the year... the Palestinians said they will accept no more interim agreements."

"What will the EU do then?" he asked, "will they recognize unilateral independence or not? The Arab world and developing nations will recognize the independence overnight," he added. In terms of Iran, Blackwill warned that US and western policymakers face a major dilemma in dealing with the Mideast's Farsi-speaking giant, namely, whether to be encouraged by reformers' recent gains in that country - although the latter have no control over Iran's ambitious WMD research and production or its assistance to terrorist groups (Hezbollah, Hamas etc.), as he put it -- or to continue a policy of "containment", which he said has so far failed.

In turning a critical eye to US policy over the past decade, he confessed that "America was too promiscuous in the use of military force in the '90s... it pulled the trigger too quickly," before cautioning: "It's hard, though, to identify what the Europeans consider as worth fighting for outside Europe".

Finally, he answer to a question, the Belfer Lecturer in International Security at Harvard's JFK School of Government said a "Turkish Islamic path would be a catastrophe for US interests," while in terms of Greek-Turkish relations he favored Washington non-involvement as a "middle-man". Blackwill spoke at a lecture organized by the Athens-based Hellenic Foundation for European and Foreign Policy (ELIAMEP) held in a foreign ministry hall.

[04] Greek and Turkish mayors to examine creation of 'Euro-region Evros-Meric'

Athens, 14/04/2000 (ANA)

Cross-border cooperation between local authorities and municipal organizations in European Union member-states has been developed recently on a regional level.

Special agreements have been signed aimed at developing cross-border activity and cross-border infrastructures.

Through the use of the possibilities offered by the institution of EU cross-border regions, the Evros riverbed constitutes a point of reference for the "Euro-region Evros-Meric". The initiative for setting up this "Euro-region" has been undertaken by the municipal cooperative "Evros S.A.".

During the meeting, experts will analyze the parameters, prospects and obligations of the member-agencies of local government. The additional proposals will constitute the text of an agreement, the signing of which will take place by the Greek and Turkish mayors in the near future.

Taking part at the meeting from the Greek side will be the mayors of N. Vyssa, Orestiada, Didymoticho, Trigono, Kyprinos, Metaxades, Orfeas, Soufli, Tyheros, Feres, Traianoupolis, Alexandroupoli and Samothrace.

The prefects of Evros and Edirne will also take part in the meeting.

[05] Bulgarian president awards medal to Greece's ambassador to Sofia

SOFIA, 14/04/2000 (ANA- B. Borisov)

The medal was awarded to the Greek ambassador for his contribution in the development of Greek-Bulgarian relations and on the occasion of his departure.

In statements during the ceremony, the Bulgarian president stressed the importance of the fact that the two countries share common ideas and values, both on a European and regional level.

On his part, the Greek ambassador expressed his conviction that the political and economic relations between the two countries would further develop.

[06] Papantoniou announces tax cuts, higher spending in health, education

Athens, 14/04/2000 (ANA)

Speaking at a ceremony for the incoming and outgoing finance undersecretaries, Papantoniou urged new sworn-in ministers to work efficiently to contain excessive public spending.

Next year's budget will focus on health and education, Papantoniou said.

The government will be more generous in measures to support employment due to its increased budget surplus, he noted.

[07] Intralot signs contract with Telecom Serbia

Athens, 14/04/2000 (ANA)

A company statement said that Yugolot's sales network and partners totals 4,000 sites in the country.

Yugolot was chosen because of its know-how and its experience in developing new telecommunications sales network. Telephone card sales are steadily increasing in Yugoslavia accounting for 90 percent of total sales.

Yugolot operates the online lottery game in Belgrade.

[08] Panafon Services forges Hungary-oriented alliance

Athens, 14/04/2000 (ANA)

Panafon Services has already provided six Greek firms with a similar package, serving 17 million customers.

[09] New step in sluggish Bulgarian telecom sale

SOFIA, 14/04/2000 (ANA-B. Borisov)

The recommendations cover proposals made in the latest stage of negotiations with BTC's prospective buyer - a consortium comprising Hellenic Telecommunications Organization with KPN telecom of the Netherlands.

The two firms were the sole bidders in an international privatization tender whose resolution has been severely delayed by disagreements with the government over terms of the sale contract.

The minister declined to forecast when the complicated negotiations would end. Talks began in March last year.

Endorsement of the working group's recommendations effectively gives the green light to officials of both sides to finalize the main sale agreement and accompanying documents, the head of the government working group told reporters.

The government is to submit to parliament amendments to existing legislation on BTC's operation when privatization is completed.

[10] Greek stocks end sharply lower, blue chips battered

Athens, 14/04/2000 (ANA)

Blue chips were particularly hit as foreign and domestic institutional investors took profits following several rounds of interventions to support the market in the pre-election period. Smaller capitalization stocks, also, lost ground reversing a three-day advance.

National Bank of Greece ended 6.3 percent lower, Alpha Credit Bank fell 4.5 percent, Hellenic Telecoms eased 4.2 pct and Panafon dropped 5.13 percent.

Only a handful of stocks managed to end higher.

The general index ended at 4,724.84 points, off 3.14 percent, off the day's lows of 4,657.80 points.

Turnover was a moderate 169.3 billion drachmas.

The FTSE/ASE 20 index for blue chip and heavy traded stocks dropped 3.24 percent to 2,657.29 points and the FTSE/ASE 40 index ended at 652.66 points, down 4.13 percent. Sector indices ended as follows: Banks: 9,093.20

-3.73% Leasing: 1,016.19 -3.56% Insurance: 3,264.91 -1.66% Investment: 1,978.89 -3.71% Construction: 2,396.36 -4.87% Industrials: 2,828.20

-2.16% Miscellaneous: 4,741.81 -3.41% Holding: 5,407.85 -3.81%

The parallel market index for smaller capitalization stocks ended at 882.66 points, off 6.67 percent.

Broadly, decliners led advancers by 315 to 24 with only one issue unchanged.

Hellenic Telecoms, Commercial Bank, Hellenic Petroleum, Agricultural Life and Lampsa were the most heavily traded stocks.

Leading shares' closing prices (in Drs): National Bank: 23,020 Alpha Credit: 22,740 Commercial Bank: 21,800 Ergobank: 8,200 Eurobank: 1,150 Hellenic Telecoms: 9,390 Panafon: 4,620 Hellenic Petroleum: 4,430 Intracom: 14,300 Minoan Lines: 6,685 Hellenic Bottling: 6,440 Heracles Cement: 9,900 Titan Cement (c): 14,840

Derivatives prices end sharply lower: Derivatives prices ended sharply lower in heavy volume on the Athens Derivatives Exchange on Thursday following steep losses in the two benchmark indices, FTSE/ASE 20 and FTSE/ASE 40.

A total of 1,535 futures contracts were traded on the FTSE/ASE 20 index, with a turnover of 12.4 billion drachmas. The April expiring contract ended at 2,615.25 points, the May at 2,633.50 and the June contract at 2,640 points.

A total of 1,718 futures contracts were traded on the FTSE/ASE 40 index, worth 4.4 billion drachmas. The April expiring contract ended at 650 points, the May at 650 and the June contract at 660 points.

Bonds nose up in light trade: Bond prices in the domestic secondary market edged up in light buy-oriented trade on Thursday with buying interest seen from players at home and abroad.

Demand again included 15- and 20-year paper.

The Greek benchmark 10-year bond showed a yield of 6.12 percent from 6.11 percent a day earlier and 6.08 percent on Tuesday.

The paper's yield spread over German bunds was 90 basis points from 89 basis points in the two previous sessions and 91 basis points on Monday.

Turnover through the central bank's electronic system totalled 36 billion drachmas, the same as the previous day, from 48 billion drachmas on Tuesday and 16 billion drachmas on Monday.

Of Thursday's total, buy orders accounted for the bulk of turnover.

Drachma drops vs. euro, dollar: The drachma on Thursday dropped against the euro and the US dollar in the domestic foreign exchange market.

The Bank of Greece intervened, selling around 120 million euros, but the drachma still finished lower versus the European single currency.

At the central bank's daily fixing, the euro was set at 335.070 drachmas from 334.900 drachmas a day earlier and 334.870 drachmas on Tuesday.

Also at the fixing, the US dollar was set at 350.070 drachmas from 349.810 drachmas in the previous session and 348.550 drachmas on Tuesday.

[11] 'Graphis 2000' exhibition to attract 4,000 retailers

Athens, 14/04/2000 (ANA)

Taking part in the 8th "Graphis 2000" exhibition will be nearly 100 companies which will be provided the use of a 3,000 sq. meter area.

The "Helexpo" organizers of the exhibition have received requests for details from as far as Ukraine, India and Cameroon while many Russian business agents are expected to arrive.

The exhibition will run between 4 p.m. to 9 p.m. for the first day, 11 a.m. to 9p.m. during the weekend, and 11 a.m. to 5 p.m. on Monday.

The National Book Center will hold an event on the modernization of bookstores on Sunday, in the framework of the exhibition.

[12] Shephardic Jewish language conference in Thessaloniki

Athens, 14/04/2000 (ANA)

Former Israeli president Yitzhak Navon will deliver the opening address at the conference and is expected to stress Thessaloniki's role as the capital of Shephardic Jews from the 16th to the 20th centuries.

Specialists from Greece, Italy, Spain, Israel, Germany and Great Britain are expected to address the conference.

[13] Foreign envoys due in Cyprus in May to push peace process forward

NICOSIA, 14/04/2000 (CNA/ANA)

The UN special advisor for Cyprus Alvaro de Soto and Britain's envoy Sir David Hannay are the first to return to the island for contacts with the Greek and Turkish Cypriot communities.

Sir David arrives on May 4 for a brief stay during which he will be received by President Glafcos Clerides and see Turkish Cypriot leader Rauf Denktash.

A few days later, on May 8, Alvaro de Soto arrives for a short visit, when he is scheduled to have meetings with the president and the Turkish Cypriot leader.

De Soto is expected to be here for two or three days and may possibly meet with the two leaders more than once.

The visits take place in view of the resumption of talks, due to start on 23 May in New York but which may move at a location outside the UN seat, and after the so-called elections in the Turkish-occupied part of Cyprus.

[14] House President holds talks with US ambassador

NICOSIA, 14/04/2000 (CNA/ANA)

Kyprianou noted that the US is trying to upgrade the talks on the Cyprus problem, adding that no progress can be made, unless Turkey shifts from its positions.

Speaking after the meeting, Bandler said they "had a general political discussion, an exchange of views" on the political problem of Cyprus, which has been divided since 1974, when Turkey invaded and occupied the northern third of the island.

On his part, Kyprianou said they talked about "what has happened so far and what has to be done", noting that Bandler is "a good listener" and "seems determined to play a constructive role" towards a settlement.

He noted that "there can be no hope for progress, unless Turkey takes the political decision to shift its stance", otherwise "we will continuously be faced with obstacles".

Responding to questions regarding talks held in Turkey by US Presidential Emissary for Cyprus, Alfred Moses, Kyprianou said that "the American administration is trying to secure an upgrading of the talks", adding that "the United States are not talking so much about the form of the procedure, but about negotiations or talks on the substance of the Cyprus problem".

[15] CoE's Irish presidency pressures Turkey over Loizidou case

STRASBOURG, 14/04/2000 (ANA - Ch. Haralambopoulos)

Greek Cypriot Titina Loizidou won a 1996 case against Turkey in the European Human Rights Court, which ruled that Ankara did not afford her the right to peacefully enjoy her property in the Turkish-occupied part of Cyprus, specifically in the port town of Kyrenia.

The verdict further considered Ankara responsible for policies and actions in Cyprus' occupied areas and stipulated that the Republic of Cyprus remained the sole legitimate government of the island republic.

The Irish CoE presidency expressed its regret in a letter to Turkish Foreign Minister Ismail Cem, following the latest decision by the CoE's council of permanent members.

One portion of the letter cites "concern" on the part of the CoE's membership regarding Turkey's commitments vis-a-vis the European charter for human rights. Another part of the letter refers to the future development of institutional relations between the European Union and Turkey, underlining the need for a resolution of the Loizidou verdict, namely, compensation by the Ankara government to the plaintiff.

According to CoE practice, the letter/reprimand comprises a warning to Turkey to implement the ruling's provisions or face further sanctions - including the possibility of expulsion from the organization.

About 200,000 Greek Cypriots were forced to leave their homes when Turkish troops invaded and occupied the northern third of the island republic in 1974.

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