Athens News Agency: Daily News Bulletin in English, 00-11-07

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

CONTENTS

[01] Premier says government aligns itself with new political environment

[02] Three agreements signed between Greece and the Ukraine

[03] Minister says Greece will continue to provide Yugoslavia with electric power and fuel

[04] "Low key policy" Greek-Turkish agreement on maritime transportation tabled

[05] Papazoi to hold talks in Paris on Intergovernmental Conference

[06] Culture minister meets Luxembourg counterpart in Athens

[07] ND leader visits factory in Aspropyrgos, comments on labor relations, state insurance reform

[08] Parliamentarians table motion for Parthenon Marbles return to Athens

[09] Holy Synod to extend signature collection on ID cards outside its jurisdiction

[10] Commemorative plaque unveiled in memory of slain British military attache

[11] Minister addresses Consular Corps dinner in Thessaloniki

[12] Cyprus finance minister says Cyprus ready for EU accession on January 1, 2003

[13] Official report unveils extensive tax evasion in Greece

[14] Commercial Bank of Greece eyes Bulgarian bank

[15] Minister launches Germanos defense plant

[16] Strintzis Lines orders new fast ferries

[17] Plaision Computers in commercial deal with Microsoft

[18] Center for renewable energy gets new president

[19] Greek stocks end sharply lower on ASE

[20] Some responsibility attributed to police over hijacker's death, ministry official says

[21] Thessaloniki Film Festival to begin on Friday

[22] Floridis represents Greece in EU sports ministers' council

[23] Greek Cypriot side displeased with certain UN moves; sources say

[01] Premier says government aligns itself with new political environment

Athens, 07/11/2000 (ANA)

Speaking to a group of PASOK party deputies he received, Simitis said that this alignment was a continual necessity in efforts to express a majority of Greek citizens and to respond to the aspirations of the Greek people".

The premier's statements were made in light of Sundays interview in the Vima newspaper by Defense Minister Akis Tsohatzopoulos who seemed to distance himself from current government policy choices, warning that his attitude within the government could no longer be taken for granted.

In the interview, Tsohatzopoulos did not hesitate in assuming responsibility on the policy, which has been implemented until the April 9 parliamentary elections, which he viewed as a turning point.

On his part the premier on Monday said that PASOK was not a "closed power system", to the contrary, he noted it "expresses a multi-faceted political and ideological current, which has clear and stable social foundations".

PASOK, since its establishment, has been proven as a vehicle of change. Thus we will be able to gain the approval of the Greek people again only to the degree that we reaffirm this dimension of PASOK. So the wager we are called upon to win is to prove, once again, that we are the vehicle of change and renewal Simitis said.

Speaking to the deputies he also said that our modernization effort is not a policy of management and maintenance of existing conditions, rather it is a package of reforms and changes in all the important sectors of political, social, economic and public life.

He noted that to succeed in such an effort, one would need to confront and clash with established interests and attitudes of times gone by, stressing that there was a need for courage and decisiveness in setting the social benefit before the political cost.

Simitis also stressed that the April election victory of PASOK gave the green light to modernization and the development of the country without compromises, wavering or regression.

"We need a tidal wave of exaltation and awakening, which will bring the problems of our country to the center of our efforts, so as to be able to confront unemployment and forge ahead with the structural changes in the economy, to secure real convergence with the developed countries of Europe, to improve the quality of life of the citizens, to combat phenomena of corruption and decadence, to give politics their real meaning," he said.

Reppas: On his part, responding to questions on Tsohatzopoulos' interview, government spokesman Dimitris Reppas said that the defense minister has stated his opinions, as many others before.

"The importance lies in achieving the common goal, to respond to the mandate of the Greek people, implementing the program-me, the policy we have decided within the framework of the governmental and party bodies," Reppas said.

"In the final analysis, we will be judged by the results of this effort as the aim is common and the effort collective," he added.

[02] Three agreements signed between Greece and the Ukraine

KIEV, 07/11/2000 (ANA - D. Konstanta-kopoulos)

Papandreou, who held talks with President Leonid Kuchma, Prime Minister Victor Lusenko and Foreign Minister Anatoly Zlenko, also praised the contribution of Ukraine Greeks both to the history of Hellenism and the Ukraine.

Both Papandreou and Zlenko stressed that great possibilities for economic cooperation between Greece and the Ukraine exist which have not been utilized so far.

Trade exchanges between the two countries amounted to 174 million dollars last year, while during the first half of the current year they totalled 63 million.

Greek investments have been made in the Ukraine, primarily in the shipbuilding industry, amounting to 26 million dollars, according to information by the Ukrainian authorities.

Speaking to reporters, both ministers underlined the excellent level of bilateral relations, while Papandreou said Greece supports the Ukraine's European vocation, adding that he briefed President Kuchma on the situation in the Balkans, Greek-Turkish relations and the Cyprus issue.

Papandreou stressed the Ukraine's role in Balkan issues, reminding of the observer status Kiev has in the Stability Pact.

Zlenko said Papandreou's visit to Kiev is a landmark for bilateral relations, adding that a political dialogue is developing between the two countries and their cooperation in the framework of international organizations is being discussed.

At the end of his talks, Papandreou attended an event during which honorary awards were given to Greek academics.

[03] Minister says Greece will continue to provide Yugoslavia with electric power and fuel

BELGRADE, 07/11/2000 (ANA - M. Mouratidis)

Christodoulakis, who was addressing a press conference, held talks with Yugoslav President Vojislav Kostunica and Serbian Mineral Wealth and Energy Minister Sirboljub Adic, as well as with the federal government's Deputy Prime Minister for Overseas Economic Relations Miroljub Labus.

Christodoulakis also referred to cooperation prospects in the technology, industry, trade and tourism sectors, as well as to great interest shown in the participation of Greek state companies in the denationalization process of corresponding Yugoslav state companies.

On the question of Yugoslavia's debts to Greece (20 million dollars to the Public Power Corporation (DEH) and 10 million dollars to Hellenic Petroleum), Christodoulakis said the two sides are processing a framework for the signing of an agreement in the energy sector which, in essence, will offer the Yugoslav government's guarantee for the paying off of the debts, either through international aid to reach Yugoslavia or with the return of the electric power during the summer months, which was the usual practice so far.

Christodoulakis said Yugoslavia can consider Greece as a country which will do all in its power to promote cooperation at bilateral level and which will be sealed with visits to Belgrade by more Greek ministers, as well as with President Kostunica's visit to Greece very soon.

He also said interest in developing cooperation with Yugoslavia will be sealed by the visit to Belgrade by National Economy Minister Yiannos Papantoniou, who will be accompanied by a group of Greek businessmen, on November 12-13.

[04] "Low key policy" Greek-Turkish agreement on maritime transportation tabled

Athens, 07/11/2000 (ANA)

The first such agreement, anticipating Greek-Turkish cooperation on trade issues, has already been processed and ratified by the Parliamentary Production and Trade Committee.

It is recalled that the members of the committee have called on Parliament President Apostolos Kaklamanis not to promote it for ratification by the plenum until Turkey clarifies its intentions, following its stance during the NATO exercise codenamed "Destined Glory."

However, reports said Foreign Minister George Papandreou has expressed dissatisfaction over this development, but was reassured by Kaklamanis that the nine agreements will be promoted as agreed.

[05] Papazoi to hold talks in Paris on Intergovernmental Conference

Athens, 07/11/2000 (ANA)

Their talks are scheduled to focus on issues concerning the course of the Intergovernmental Conference on the restructuring of European Union institutions, in light of the EU summit in Nice this coming December.

They are also expected to discuss matters related to Cyprus' EU accession course, European-Turkish relations, Balkan issues and issues concerning European common policy on security and defense.

Papazoi will visit Strasbourg on Wednesday to attend a meeting of the Council of Europe's Ministers Committee.

[06] Culture minister meets Luxembourg counterpart in Athens

Athens, 07/11/2000 (ANA)

Among the issues discussed was a planned promotion of Luxembourg filmmaking by Luxembourg's Embassy in Athens and a photography exhibition, as well as a program entitled "Traditional Activities in Europe" that will be presented in Greece in March and April 2001.

Hennicot Schoepges invited Pangalos to visit Luxembourg and the Museum of Modern Art designed by the famous architect I.M. Pei. She also discussed a "music observatory," which Greece has warmly supported in the past.

In statements afterward, Pangalos said the meeting had been constructive and talked about Luxembourg's infrastructure for the arts, pointing out that "they don't have large companies that will impose terms."

New head named for Cultural Olympiad S.A.: The government on Monday announced a replacement for the Cultural Olympiad S.A. head, naming noted poet Titos Patrikios to the position vacated by well-known film director Michael Cacoyannis late last month.

Patrikios was born in Athens in 1928 and studied law, sociology and literature in Greece and France. He was a research fellow at UNESCO's Paris headquarters for several years and has published several collections of poetry as well as translations.

Culture Minister Theodoros Pangalos made the announcement on Monday.

The 78-year-old Cypriot-born director cited "red tape" and an "inflexible structure" governing the organization in his resignation letter.

[07] ND leader visits factory in Aspropyrgos, comments on labor relations, state insurance reform

Athens, 07/11/2000 (ANA)

The steel workers asked Karamanlis to adopt their proposal for retirement after 35 years in service, regardless of age, on the grounds that their work is heavy and unhealthy.

The main opposition leader promised to look into their case and also to consider making a general distinction between heavy laboring jobs and others.

In his statements, Karamanlis said his visit aimed to send a message that his party wanted open and honest dialogue with the workforce. "I do not expect that we shall agree on all points. But we are seeking open dialogue, so that there can be a synthesis of views to meet the aims of workers and society," he said.

The main opposition leader also referred to what he called the "ineptitude and weakness of the government" and the fact that it had delayed discussion on labor relations and state insurance. He said that ND was in favor of a deregulated job market and radical changes to the state insurance systems. He noted, however, that there couldn't be a piecemeal approach to these problems, since they were linked with rapid growth, competitive-ness, combatting unemployment and work and hygiene conditions.

Karamanlis concluded that the liberalist view of the market meant competitiveness, growth, training and employment and added: "we have nothing to hide or disguise."

[08] Parliamentarians table motion for Parthenon Marbles return to Athens

Athens, 07/11/2000 (ANA)

The proposal also noted there are plans to display the traveling exhibition sponsored by the Nana Mouskouri Foundation in the Palais d' Europe in Strasbourg during the next meeting of the Parliamentary Assembly in January 2001.

O'Hara and British MP Tom Cox who are noted supporters of the campaign for the return of the marbles and who are UK government delegates to the CoE said "the argument has shifted from concentration on the question of ownership to the question of where they belong, whoever owns them".

"The argument over ownership may take years to resolve. In the meantime the marbles should be displayed in proximity to the monument to which they belong, whoever owns them," the deputies said in their press release.

[09] Holy Synod to extend signature collection on ID cards outside its jurisdiction

Athens, 07/11/2000 (ANA)

The Church strongly objects to a government decision in May this year to abolish the religious beliefs entry on state-issued identity cards, following a ruling by an independent, state-appointed Data Protection Authority that this was illegal and unconstitutional. The Church is in favor of retaining the entry on an optional basis.

A spokesman for the Holy Synod said the meeting had discussed extending the scope of the petition to the Dodecannese islands, Crete and overseas Greek communities, which fall under the jurisdiction of the Ecumenical Patriarchate at Phanar.

The semi-autonomous Church of Crete, in particular, had decided earlier this year that it would not participate in the Church's petition and had informed the Greek Church of its decision. By responding to local religious groups in this way, the Church of Greece risks a public falling out with the Ecumenical Patriarchate.

The Holy Synod's spokesman denied that the decision was intervention or interference with the internal affairs of another church, and stressed that Archbishop Christodoulos had not raised the issue during a recent visit to Greece by Ecumenical Patriarch Vartholomeos.

With regard to overseas Greeks, the Holy Synod decided that Greeks resident abroad could sign the petition while visiting Greece if they displayed their identity card.

Another issue discussed by the meeting was who should represent the Church of Greece at the Clergy-Laiety Assembly in Phanar November 25-29, again a bone of contention between the Church of Greece and the Patriarchate.

Manos calls for complete separation of Church and State: The leader of the Liberals Party Stephanos Manos, meanwhile, called for the complete separation of Church and State on Monday, and said he would be sending his proposals to the government, main opposition, political parties, the Church of Greece and the Ecumenical Patriarchate to discuss and adopt.

In a press conference on Monday, Manos claimed that the interdependence of the Church and state in Greece "the State cannot solve social issues with equality before the law and respect for individual freedoms and rights."

[10] Commemorative plaque unveiled in memory of slain British military attache

LONDON, 07/11/2000 (ANA)

Among those present at the ceremony were Foreign Secretary Robin Cook and Greece's Public Order Minister Michalis Chrysohoidis.

Addressing the ceremony, Cook said the purpose of the event was to honor the brigadier's contribution and work. He noted that during his visit to Athens last week where he met with Prime Minister Costas Simitis and other government officials, he remained satisfied at the level of cooperation between the two countries in the investigations launched to find the assassins.

Chrysohoidis in his address said he was attending the ceremony to pay tribute to the memory of Saunders, adding that he felt a heavy responsibility and strong emotions towards the British people.

He said "the terrorists did not aim only at the heart of the British brigadier but also at the heart of democracy and civilization."

The minister assured that the Greek government and authorities will continue to exert all efforts to discover and bring to justice the assassins.

[11] Minister addresses Consular Corps dinner in Thessaloniki

Athens, 07/11/2000 (ANA)

Addressing a dinner in his honor by the Consular Corps of Thessaloniki, he stressed that "our aim is to support the efforts of businesses active in the region, universities and non-govern-mental organizations, which implement programs on research, training, humanitarian aid, cooperation aiming to development and the strengthening of the society of citizens".

[12] Cyprus finance minister says Cyprus ready for EU accession on January 1, 2003

NICOSIA, 07/11/2000 (ANA - G. Leonidas)

Klerides said investments made by Cypriot businesses in Greece and by Greek ones in Cyprus are developing at satisfactory rates.

Klerides said the Stock Exchanges of Cyprus and Athens have developed close relations, which are being further strengthened with the listing of Cypriot businesses at the Athens Stock Exchange, starting with the Bank of Cyprus. Cooperation between the two Stock Exchanges, he added, can provide new dynamism to enable them to jointly become regional Stock Exchanges.

He further said the economy of Cyprus is achieving a very satisfactory rate of development, estimated at about 4.8 percent, for the third year. Cyprus, he added, is harmonizing its economy with European Union established practice with speedy rates and that it is preparing itself to be ready for accession on January 1, 2003.

[13] Official report unveils extensive tax evasion in Greece

Athens, 07/11/2000 (ANA)

The report said that the Financial Crimes Squad has found 15.625 cases of extensive tax evasion in a total of 128,142 inspections made in the first nine months of the year, or 12.2 percent.

Tax evasion rates in the production subsidies and the manufacturing sectors totalled 66.7 percent, 50 percent in inventory, 40 percent in non-profit agencies, 36.4 percent in copyright, 29 percent in entertainment and 24.4 percent in tourist services.

Financial crimes squad to target e-commerce, brokerages: The government's financial crimes squad is to step up checks in 2001 on e-commerce, stock brokerages and intellectual property, its secretary, George Kanellopoulos, said on Monday.

Kanellopoulos was addressing an internal meeting of the squad's senior officers, held in the northern town of Alexandroupoli.

Deputy Finance Minister Apostolos Fotiadis, whose ministry supervises the squad, told the meeting that the department had been highly successful in catching tax evaders.

The squad is conducting a "name and shame" campaign, releasing to media lists of celebrities and established professionals who have failed to pay tax.

[14] Commercial Bank of Greece eyes Bulgarian bank

Athens, 07/11/2000 (ANA)

Other firms to express interest are Banca Nazionale del Lavoro, BNP Paribas, Raiffeisen Zentralbank and Hebrosbank of Bulgaria, a government official told Reuters in Sofia on Monday.

It is the government's second attempt to sell the bank after a failed attempt in the summer.

[15] Minister launches Germanos defense plant

Athens, 07/11/2000 (ANA)

The factory, located near the northeastern town of Xanthi, ranks as one of the most advanced of its kind in the world.

The plant will supply the Greek navy and Germany's HDW shipyard.

Germanos SA, a maker of accessories for electrical appliances, is listed on the Athens Stock Exchange.

[16] Strintzis Lines orders new fast ferries

Athens, 07/11/2000 (ANA)

The vessels will be used to ply domestic routes and are due for delivery in 2002, Strintzis said in a statement on Monday.

[17] Plaision Computers in commercial deal with Microsoft

Athens, 07/11/2000 (ANA)

Under the deal, Plaisio Computers will be able to offer its clients Microsoft's latest operational systems (Windows 2000, Millennium Edition) simultaneously with all other major computer manufacturers around the world.

The company is expected to complete a share capital increase plan, worth 4.0 billion drachmas, by November 12. The new capital will be used to fund its investment program for the period 2000-2001.

[18] Center for renewable energy gets new president

Athens, 07/11/2000 (ANA)

Agoris is a board member of the Technical Chamber of Greece and a former board member of the Public Power Corporation.

[19] Greek stocks end sharply lower on ASE

Athens, 07/11/2000 (ANA)

Traders said turnover fell to the lowest levels since August 7, 1998, reflecting disappointment among investors over a new jump in the inflation rate in October, a development raising hurdles in a Bank of Greece's effort to lower interest rates in the country.

Hellenic Telecoms' share price fell to year-lows.

The general index ended 1.70 percent lower at 3,727.49 points, with turnover a low 32.12 billion drachmas.

The FTSE/ASE 20 index for blue chip and heavy traded stocks ended 1.87 percent lower at 2,153.79 points, and the FTSE/ASE 40 index eased 0.69 percent to 447.46 points.

Sector indices ended as follows: Banks: 7,946.69

-1.52% Leasing: 554.43 +0.75% Insurance: 1,839.43

-2.23% Investment: 1,305.85 +0.39% Construction:

1,580.14 -2.11% Industrials: 2,205.12 -1.71% Miscellaneous: 3,279.83 -1.35% Holding: 4,319.45

-3.22%

The parallel market index for smaller capitalization stocks ended 1.76 percent lower at 403.13 points.

Broadly, decliners led advancers by 251 to 83 with another 21 issues unchanged.

Hellenic Telecoms, Alpha Bank, National Bank and Telesis were the most heavily traded stocks.

Leading shares' closing prices (in Drs): National Bank: 14,800 Alpha Bank: 14,250 Commercial Bank:

17,820 Eurobank: 10,600 Piraeus Bank: 5,995 Lambrakis Press: 6,970 Heracles Cement: 4,900 Titan Cement (c): 14,300 Hellenic Telecoms: 6,555 Panafon: 3,215 Hellenic Petroleum: 3,700 Attica Enterprises: 3,040 Intracom: 10,560 Minoan Lines: 2,145 Hellenic Bottling: 5,395

Equity futures end down, tracking Athens bourse: Equity futures traded on the Athens Derivatives Exchange finished lower on Monday, in line with the bourse indices on which they are based.

The FTSE/ASE 20 index closed 1.87 percent down, and the FTSE/ASE 40 ended 0.69 percent lower.

Turnover was 12.5 billion drachmas.

A total of 2,213 contracts were traded on the FTSE/ASE 20 with turnover at 9.6 billion drachmas.

On the FTSE/ASE 40 index, 1,364 contracts changed hands on turnover of 2.7 billion drachmas.

Bond prices slip in scant trade: Bond prices in the domestic secondary market on Monday finished down in very thin trade.

The Greek benchmark 10-year bond showed a yield of 5.939 percent from 5.920 percent a day earlier.

The Greek paper's yield spread over German bunds was 71 basis points from 72 basis points in the two previous sessions.

Turnover through the central bank's electronic system totalled 10 billion drachmas from 135 billion drachmas in the trading day before.

Of the total, sell orders accounted for 6 billion drachmas of trade.

Euro's fall pushes drachma lower against the US dollar: A new ineffective intervention by the European Central Bank in international markets to support the euro currency on Monday, pushed the drachma lower against the US dollar in the domestic foreign exchange market.

The Greek currency fell to 392.030 drachmas per dollar at Monday's fixing, up from 389.450 drachmas on Friday.

The drachma was weaker against the single European currency at 340.010 drachmas per euro, up from 339.890 on Friday

[20] Some responsibility attributed to police over hijacker's death, ministry official says

Athens, 07/11/2000 (ANA)

According to police, Christos Kentiras, 48, committed suicide early Sunday by jumping out of a seventh-story window at police headquarters in Athens. He broke through a window in a room where he was being fingerprinted, just prior to his formal arraignment before a magistrate in the nearby port city of Piraeus.

During a meeting with representatives of the Japanese Tourism Office at the ministry, Efstathiadis said that "some responsibility is attributed to police officers for the suicide of Kentiras and we are certain that those responsibilities would be attributed".

The distraught Kentiras killed his mother-in-law and a neighbor early Saturday morning in a village in the Peloponnese, as he blamed them for his marital woes. He led a tourist coach carrying 35 people, 32 of which were Japanese tourists, on a 10-hour odyssey back and forth across a major southern Greece highway Saturday before surrendering to a television journalist in front of a local TV station in the early evening.

No one aboard the bus was hurt during the standoff.

An investigation into the circumstances surrounding the man's death has been ordered.

Japanese travel agency thanks EOT for assistance after resolution of the hostage crisis: The Japanese travel agency Hankyo Express, which had booked the trip of the Japanese tourists caught up in the weekend's bus hijacking and hostage drama, on Monday thanked the director of the Hellenic Tourism Organization (EOT) Evgenios Yiannakopoulos for the interest shown by EOT and its assistance in resolving the crisis.

The Japanese travel agents conveyed their thanks to EOT for helping to quickly solve practical matters that arose after the hostages were released, with EOT services mobilized to allow the tourists to continue their holidays.

Hankyo Express said that their customers' misadventure would not affect its Greek holidays' program, which annually brings more than 20,000 tourists to the country, and they stressed that no one had cancelled their November bookings to Greece.

Yiannakopoulos announced that a 10-day cruise offered to the 33 Japanese tourists taken hostage could be transferred to the following year, since the tourists would not have an opportunity to take it this year.

[21] Thessaloniki Film Festival to begin on Friday

Athens, 07/11/2000 (ANA)

The cost of the festival totalled 500 million drachmas, funded 50 per cent by the ministry of culture and 50 per cent by private sponsors.

Greek film director Theo Angelopoulos, winner of the Cannes film festival award in 1998, will be honored during the festival with the screening of 14 of his movies along with nine "making of" - behind the scenes - documentaries of his techniques.

[22] Floridis represents Greece in EU sports ministers' council

PARIS, 07/11/2000 (ANA)

The ministers examined a plan aiming to aid the retention of the European distinctiveness in sports before tabling it for adoption at the European Council at Nice, while they also focused on the sector of combatting the use of steroids in sports.

[23] Greek Cypriot side displeased with certain UN moves; sources say

GENEVA, 07/11/2000 (CNA/ANA)

Well informed sources close to the talks believe the Greek Cypriot side is not pleased with certain UN moves which it considers they appease the Turkish Cypriot side in this process, and does not appear willing to facilitate the UN in this course.

The same sources regard Annan's presence here critical to the peace effort the UN started in December 1999 and the latest round of talks which started in Geneva last week and is due to conclude on Friday.

They also note that President Glafcos Clerides' displeasure relates also to significant omissions and unclear references in a non-paper the UN has prepared on the distribution of powers of the central government, including the issuance of passports, immigration and taxation.

The UN however seem to see little wrong with moves they have made and believe these do not aim nor are they actions to facilitate the Turkish Cypriot leader.

It is expected though that de Soto will give further assurances and promises to the Greek Cypriot side on this non-paper, before Annan arrives here.

Meanwhile, at the working breakfast President Clerides had with de Soto on Monday, the president outlined in detail his position and views on what is happening at the talks and on the issue of the distribution of powers.

The president did not receive on Friday a UN non-paper on the distribution of powers because he considers it lacks references to significant matters.

Clerides said he continued to discuss on Monday with de Soto issues relating to the responsibilities of a future central government on the island, during their meeting at the UN office here.

Later on Monday, Clerides was due to preside over a meeting of the National Council, the top advisory body to the President on the Cyprus issue comprising parliamentary party leaders, to discuss Monday's talks.

Earlier on Monday, the UN envoy had a meeting with Turkish Cypriot leader Rauf Denktash.

Denktash claimed that Annan was not the authority "under which we are working" and that the UN chief would be in Geneva later this week just to "have a look" at the ongoing proximity talks on the Cyprus problem.

Speaking after an hour-long meeting with de Soto, Denktash said negotiations were being carried out between "two equal parties for a new partnership."

Asked if he expected the "scenery" to change with Annan's presence in Geneva, Denktash said "I don't know what changing the scenery means.

I don't think he is the authority under which we are working, so he naturally will come and have a look".

Invited to say whether Annan might do or say something to change the picture, the Turkish Cypriot leader said "certainly not, the picture is beautifully set", that is "negotiations between two equal parties for a new partnership".

Replying to questions whether the two sides were responding positively to the process of the talks, Denktash said "naturally, we are responding", but added "whether positive or negative they (UN) will have to decide".

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