INTERFAX - Czech Republic & Slovakia Business news report of 09.05.2008

NEWS

Czech foreign trade surplus falls to CZK 8.1 bln in March, below market expectations

MONETARY POLICY

EC gives initial green light for Slovakia to adopt euro as of January 2009

Czech central bank keeps key rate unchanged at 3.75%, as expected

STATISTICS

Slovak industrial production growth slows to 1.8% in March

Slovak construction output decelerates to 7.8% y/y in March

POLITICS

Russia will eventually cooperate on missile defense with NATO – NATO Secretary General

Czech press review 05/05/2008 – Government & Economy

COMPANY NEWS

ENGINEERING

Czech wind/water plant gears producer Wikov MGI posts CZK 729 mln revenues, up 20% y/y

TRANSPORTATION

Czech low-cost Smart Wings to launch first long-distance discount flight from Budapest Airport

Prague-listed car dealer AAA Auto appoints Kamil Ziegler to top management

PHARMACEUTICALS & HEALTHCARE

Czech foods supplement/medication maker Walmark wins contract with U.S. Bristol-Myers Squibb

Prague-listed drugmaker Zentiva to review tender offer for shares by PPF Group

RETAIL & CONSUMER GOODS

PRESS: Prague-listed car dealer AAA Auto to close branches, delays expansion to Russia, Ukraine

Prague-listed AAA Auto doubles share capital to CZK 300 mln

FOOD, BEVERAGE & AGRICULTURE

Czech watchdog fines poultry breeders CZK 14.2 mln for cartel agreement

REAL ESTATE

PRESS: Prague re-sale apartment prices drop by average 5% in April partly on lending slowdown

Austrian developer Soravia to invest EUR 55-60 mln to expand Bratislava’s Shopping Palace

ENERGY NEWS

OIL & PETROCHEMICALS

Slovak refiner Slovnaft net down 16% y/y to SKK 1.2 bln in Q1, partly due to strong crown

Czech retail fuel prices up in week-ending May 9; top-selling Natural 95 at CZK 31.44/liter

PRESS: Czech state in talks to buy 2% stake in TAL crude oil pipeline to boost energy security

Czech state-run oil pipeline operator Mero nets CZK 305 mln in 2007, up 25% y/y

Czech oil storage firm Cepro posts 2007 pre-tax profit of CZK 457 mln, up 345% y/y

GAS

PRESS: Czech Bohemia Energy to offer natural gas deliveries on Czech market as of 2009

COAL

Shares in Czech coal mine owner NWR admitted to Prague Stock Exchange trading as of Friday

Czech coal mine owner NWR launches unconditional trading on London Stock Exchange

IPO Watch: Czech coal miner NWR sets share price at GBP 13.25, offering 7.3 times oversubscribed

Czech coal miner OKD joins national industry body, aims to influence energy policy

HEAT, POWER & SEWAGE

PRESS: Czech power utility CEZ to invest some CZK 50 bln in gas-fired power stations

PRESS: Czech government-appointed independent energy commission under political pressure

IT & TELECOMMUNICATIONS

LANDLINE/MOBILE TELECOMS

Czech unit of T-Mobile ups revenues 7% y/y to CZK 7.94 bln in Q1

BANKING & FINANCE NEWS

BANKING

Czech National Bank grants banking license to subsidiary of First Czech-Russian Bank

EMERGING MARKETS NEWS HIGHLIGHTS

Preventing armed conflicts requires untiring efforts – Russian President Medvedev

Estonia backs U.S. plans to site ABM systems in Europe – PM

FINANCIAL MARKETS

EQUITIES

Prague bourse PX index sheds 1.62% Friday, pulled down by Erste Bank

Prague Stock Exchange (PSE), SPAD trading, 02-09/05/2008

Bratislava Stock Exchange (BSE), Indices, 02-09/05/2008

FIXED INCOME

Bratislava Stock Exchange (BSE) Treasury bonds, Direct trading, 02-09/05/2008

Prague Stock Exchange (PSE) Treasury bonds, Direct trading 02-09/05/2008

CURRENCY

Czech crown stagnates at around EUR/CZK 25.10 on Friday

Czech National Bank foreign exchange rates, 02-09/05/2008

National Bank of Slovakia (NBS) foreign exchange rates, 02-09/05/2008

MONEY MARKET

National Bank of Slovakia, BRIBOR rate fixing, 02-09/05/2008

Czech National Bank, PRIBOR and PRIBID rate fixing – 02-09/05/2008

National Bank of Slovakia official interest rates – 09/05/2008

Czech National Bank (CNB) official interest rates – 09/05/2008

CALENDAR

Czech Republic – calendar of upcoming events, 09/05/2008

Nb: This news report features only the headline of each news