In Brief
Commission fine dents cotton growers’ subsidy The European Commission yesterday imposed a fine of 146.7 million euros on Greek cotton growers for exceeding their permitted quota for the 2001/2002 period. As a result, the subsidy per kilo will be limited to between 2.49 and 3.67 cents, against 14.56 cents which the Agriculture Ministry had originally hoped for, reducing the minimum price for growers to 59.28 cents per kilo. The Commission determined that Greek cotton production totaled 1,246,838 tons, which exceeded the Greek government’s reported quantity by 63,838 tons. Greece’s cotton quota, eligible for full subsidy, is 782,000 tons, the EU’s largest. The Cabinet is due to discuss agricultural policy and measures today. Council to seek national plan for improving competitiveness The National Competitiveness and Development Council (ESAA) has assumed the role of formulating a national strategic plan for improving the country’s productive potential, something it desperately needs, Development Minister Akis Tsochadzopoulos said after chairing the first session of the council yesterday. ESAA, which will meet three times a year, will seek the cooperation of other ministries, such as Education, to promote the implementation of comprehensive proposals. Its main targets include improving the quality of goods and services in industry, manufacturing, commerce and particularly tourism, whose net contribution to Greek productivity will hopefully double in the next three years. Improving productivity will also help reduce unemployment, which is the second highest in the EU, Tsochadzopoulos said. The diffusion of new technologies will be another main target of ESAA, which aims to raise the contribution of research and development from 0.4 to 0.7 percent of GDP. Sole bidder The Postal Savings Bank was the only bidder for Commercial Bank’s 17-percent stake in Attica Bank. Sale advisers Bank of Greece, JP Morgan and Investment Bank will evaluate the offer. Last week, the General Bank admitted failure in its attempt to find a strategic buyer for a 15-percent stake in the bank, blaming weak market conditions. The Bank of Attica, currently capitalized at 232 million euros, has a network of 52 branches. Greece-Yugoslavia Yugoslavia’s Deputy Federal Prime Minister Miroljub Labus and Greek Deputy Foreign Minister Andreas Loverdos today will sign in Thessaloniki the agreement for the granting of funds to the neighboring country under the Greek Plan for Balkan Reconstruction. Handris Handris Hotels, owner of Athens’s Metropolitan, plans to be listed on the Athens bourse, expand the chain and build an office complex, management told shareholders. The company expects turnover growth of 6.8 percent to 24.1 million euros this year and 17-percent growth in earnings before interest and taxes (EBITDA) to 8.3 million. Appointment Aspis Bank announced the appointment of Christopher Reeves, member of the board of directors of Merrill Lynch Holdings, as chief executive adviser.
