berzNIK - YEAR II - NUMBER 18 -14th APRIL 2008 - (SUPPLEMENT OF TENDERNIK)

MACEDONIAN STOCK EXCHANGE

INSTRUMENTS
OPTIMISTIC FOR NEW FINANCIAL
Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Macedonian Stock Exchange
optimistic for new financial instruments
The Stock Exchange has kept on its feet after the first
stress tests; the correction is the best that can happen to
the capital market; the downward trend will come to an end,
it will stabilize and turn into a bull market, are the optimistic
forecasts of the stock exchange experts, analysts and bro-
kers that took part in the ninth annual Macedonian Stock
Exchange Conference in Ohrid.
-The Stock Exchange is taking its place in the financial
and social life and is constantly in the focus of the public
attention. That makes positive pressure on the companies
and on the other participants on the market during the
everyday business decision-making processes. The fund
industry has finally start-
ed functioning, which will
After the historical plunging of the Macedonian have stabilizing effect on
Stock Exchange Index by 8, 4% in the opening week the weakened price oscil-
of April i.e. on the day when instead of being extend- lations on one hand, and
ed with invitation, we received veto for our NATO on the other hand, it will
accession, or in other words, after the psychological serve as a catalyst for pri-
breakdown grounded on panic, fear and euphoria, mary market develop-
the foreign stock exchange experts also convey opti- ment, which is the miss-
ing link. The new issues
mism for market stabilization in 2008.
of securities by the me-
There is potential i.e. the real values of the sha- ans of public offering and
res and the profit get to see the light of the day-these new stock exchange list-
are the expectations and the forecasts coming from ing seam more and more
the discussion at this year`s stock exchange press- certain. The regional po-
conference. This second-in-row international confer- sitive experience on this
ence that gathers more than 250 stock exchange field won`t avoid the Re-
experts, analysts and brokers from the country and public of Macedonia.
abroad in one place occurred in an extremely sensi- The investors are
tive period on the Stock Exchange. hungry for new financial
The market pulse and turbulences are largely instruments on the Mace-
due to the psychological moment prompted by the donian Stock Exchange,
tensions on the political scene before and after says the head of the Ma-
Kosovo, before and after NATO and now in the eve cedonian Stock Exchan-
of the early elections… ge, Ivan Steriev.
-The world experi-
ence shows the current
financial performances of the companies and their future
perspectives are crucial factors on middle and long terms.
The other occurrences have no direct influence on the
companies` activities, but have influence on the duration
dynamics of the price amplitudes on the market, pointed
out Steriev. In this context, he reiterates that according to
the 2007 statements of success, the aggregated profit of
the listed companies has been increased for more than
120% and that their financial indicators are engaged in
mainly unchanged relations with the companies with the
same business activities that trade on the regional stock
exchange markets. According to Steriev, although the data
from March show net outflow of foreign portfolio investors
i.e. 50% of sales opposite to 20% of buying, the crucial
information is that the foreigners have entered in the capi-
tal structure of all listed companies with 30, 9% compared
with the participation of 16, 3% at the end of the opening
quarter of 2006 and 25, 3% in 2007. Furthermore, the mar-
ket still has lack of portfolio investors coming from outside
the territory of the former Yugoslav republics. Precisely
these two factors, according to Steriev, can mean potential,
dynamics on the market in the following period, especially
due to the fact that we are going through a phase of mar-
ket correction. The stock exchange events are more con-
nected with the events on the regional and global capital
markets.
- We are no longer isolated and lethargic, which in
principle is new and significant feature and an announce-
ment for future imported, external market shocks prompted
by the world and regional turbulences. However, the posi-
tive effects of the increased integration of our market with
berzNIK
3
the foreign ones will be surely felt in near future.
Steriev also pointed out that the situation on the stock
exchange has no chances to return to the positions from
three or four years ago. The level of the average turnover
of around 50 million denars, although significantly smaller
that last year`s average is by far higher than the average
level before last year`s spring stock exchange boom. The
analysis of the euphoric 2007 was precisely the subject on
the panel discussion-Stock Exchange 2008 versus 2007:
Who Will Win?
A debate on which the Director of Euro Broker, Krste
Sajnoski, put forward his view there has been conditions
when the logic of profit will exceed the already established
practice, the securities purchase to be reduced to a lot-
tery…
In 2008, a significant factor for the investors will be
investing in extremely profitable companies, which wasn`t
the case to date.
This means the companies` management will be eval-
uated according to the value of the shares of the compa-
nies they are running with, and out of these reasons, they
will pay much more attention on profit increase.
Analyst Sam Vaknin believes the correction is the best
thing that can happen to the Macedonian Stock Exchange,
since all of the "hot" money and speculative deals that
resulted from the weak economy has been sorted out. He
describes the high inflation, the enormous trade deficit and
the absence of foreign investments are due to the bad
Government policy. His forecasts about the stock exchan-
ge index aren`t optimistic, but, according to him, it doesn`t
mean they are black. Most of the companies from the stock
exchange index are overrated. Nevertheless, the market
will break up with the downward trend, it will stabilize itself,
says Vaknin.
Vaknin`s position was disputed by Snezana K. Milose-
ska from the Ministry of Finance, who disagreed with his
claims for bad economic policy , saying that if we make a
hindsight of what was happening in the past and what was
expected, generally speaking, we have progress on the ca-
pital market in the Republic of Macedonia, especially in the
field of non-banking capital… In this context, the active pol-
icy conducted by the Government in the past period has
made major contribution…
All efforts made for the purpose of resource mobiliza-
tion, improved regulative and attraction of as many as pos-
sible investors. According to Miloseska, the stock ex-
change had played extremely significant role and shows
solid performances, although it had both positive and nega-
tive cycles… She says there is room for market develop-
ment and introduction of new financial instruments and
announcements.
- The market can soon expect increased offer by the
municipality securities that are being intensively worked
on. We all have a common goal, that is to see a solid stock
exchange and interest for listing as many as possible com-
panies.
In this context, the President of Beton`s Board of Di-
rectors, Mikjo Naskovski, says: If we want to liven up the
economy we must give a challenge to the investors, who
are keeping their money in foreign banks, to invest their
money here, on the Macedonian Stock Exchange. They
are the driving force that the home companies should rely
on, while the foreign investors are only additional segment
that is to lively up the stock exchange.
Until the next Monday
Makedonka Baldazarska
BerzNIK editor-in-chief
e-mail: berzNIK@interNIK.com.mk
 4 berzNIK
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
IT EXPERTS COMPLAINED TO THE GOVERNMENT
IT EXPERTS COMPLAINED
TO THE GOVERNMENT
Macedonian ICT companies and the Government
rush forward in implementing new technologies
and services in the IT sector, banks are the only
obstructer
At the moment the information-communica-
tion technologies industry is one of the quickest
growing in Macedonia and it keeps up with the
world IT industries, but there are still certain
problems which the Macedonian companies
and the Government have to find mutual soluti-
ons for. This is how some of the conclusions
looked like on the business meeting of repre-
sentatives of the IT sector with Minister Ivo Iva-
novski, in charge of IT science. At the initiative
of the Chamber for information-communication
technologies within the Union of Chambers of
Commerce of Macedonia, reviewed were many
issues and problems our companies of this sec-
tor face with, and which ask the Government for
possible solutions and suggestions for improv-
ing this state of stagnation in the ICT industry
development in Macedonia.
- Liberalization domains registration,
development of electronic trade, the broadband
internet access, forming National council for
ICT, as well as forming Secretariat for IT-tech-
nology, are the basic issues the IT companies
face with. The Government has already started
some activities and projects on these matters,
but according to the ICT chamber's president,
Vanco Ordanoski, it's obvious that greater
efforts and stronger mutual endeavors are nec-
essary. In the talks the strongest accent was
put on the development of electronic trade in
Macedonia, for which stagnation businessmen
put the blame at the banks and their inefficien-
cy in implementing the reforms and the prepa-
rations for application of the new Law on Elec-
tronic Trade. Although the Law was passed
even five months ago, Macedonian banks ha-
ven't sent any response yet and this is big obs-
tacle for the development of this segment of the
ICT industry. The reason for these obstructions
is the disagreements among the banks them-
selves, as well as the unfavorable offers to the
number 18
companies:
- It's an electronic trade, and in the
trade what's most important is the profit. Banks
want too much of a share from the earning,
practically they come something as our part-
ners, because the commissions they take are
too big, and there are also problems with open-
ing accounts, which are of special type for elec-
tronic trade, in the processing of e-credit cards
and transactions- Ordanoski explained.
For this purpose, he announced meeting
with representatives of the National Bank, thin-
ning that this bank can have influence on the
banks by informing them more specifically on
the advantages the electronic trade can bring
them. According to him, most probably the
banks are not even aware how big is the inter-
est for the so called e-stores, nor that they can
only profit this way.
Minister Ivanovski underlined that it hasn't
happened before the private sector to stay
behind with its preparations after the adoption
of certain law.
- Everywhere in the western countries the
banks are the moving force of economy, which
unfortunately is not the case with Macedonia.
Here, except for one bank, no other has an
option for electronic transaction via internet.
Date 14.04.2008
The banks cannot agree on what percent they
will operate with, what are the services they
offer to the citizens and it is very unclear why
they do this. Even since the preparation of the
Law on Electronic Trade five months ago, on
the meetings with the Chamber the banks were
told that this Government will invest more funds
for development of the electronic trade in 2008,
but there are still no positive responses from
the banks in Macedonia- Ivanovski said.
In relation to monopolizing the IT products
on the Macedonian market, Ordanoski says
that the situation is not that concerning and that
things in this field are moving in positive direc-
tion: - The situation that existed up until one-two
years ago has drastically changed. Certain
competition was created which can mostly be
felt in the mobile telephony, and as ICT compa-
nies we feel it in the internet communications as
well. Now the WiMAX technology comes for
which concessions were granted, so I can say
with pleasure that many things have been
changed for the better- Ordanoski said.
The issue on the domains registration for
the websites raised an interest among the pres-
ent on the discussion. The Government has ta-
ken activities in this direction too, more specifi-
cally measures for transformation of Maknet
network, under which the users names for the
web-sites go, so that they can be given more
easily to all interested in opening a website.
Good news for Macedonian ICT industry is
the newly-opened Secretariat for IT technology,
which is expected to start operating soon and
which announces big plans for development of
the electronic trade of small and middle-sized
enterprises, and it is expected in near future
National council for information-communication
technologies to be formed, which would be very
important being the only communication
between ICT chamber and the Government.
The Secretariat for IT science however, has a
purpose to help the companies promote out of
our country's borders and take their own place
on the foreign market.
K.S
 Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
5
07.04.2008 MONDAY
C O N T E N T S 1. SHORT REVIEW OF EVENTS
INTRODUCTION . . . . . . . . . . . . . . . . . . . . . 3 The optimism returns on the Stock Exchange, is Dnevnik informs that Macedonia is among the co-
the title of the stock exchange analysis of today`s issue untries with most steeping real estate prices in the
IT EXPERTS COMPLAINED TO THE of Vecer. - After many turbulences, the capital market world. The prices of the housing premises last year
rounded up the opening trade week of April with stabili- went up by 13, 8% in average, which puts Macedonia
GOVERNMENT. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 zed stock exchange index, MBI-10, composed of the among the top ten countries in the world by the price in-
top ten most solvent companies. After the psychologi- creases of the housing premises. The average price of
berzNIK, MONDAY, TUESDAY, WEDNESDAY. . . . 5-7 cal pressure last Thursday and the failure of our coun- a square meter in this country is 745 euros. By price in-
try to access NATO, MBI-10 suffered record-breaking crease, we are holding the ninth place in the world after
BASIC METALS MANUFACTURING - daily fall of 8, 4 percent. However, the stock exchange Bulgaria, Singapore, Russia, Poland, Hong Kong, Ice-
SUPPORTING PILLAR OF THE had made a fast recovery and the following day (Fri- land, Canada and Croatia.
MACEDONIAN ECONOMY. . . . . . . . . . . . . . . . 8 - 9 day) the trade went out of the red and the index went According to the data from the British consulting
up 1, 66%. The index appreciation was due to the in- firm Knight Frank, last year the real estate prices had
GORAN KOEVSKI, PROFESSOR AT crease of the price of the shares of the largest Mace- the biggest increase in Bulgaria, by 33, 7%. The ex-
THE FACULTY OF LAW.............. 10-11 donian bank-Komercijalna Banka by around 4.85%, fol- perts on the Macedonian real estate market locate the
lowed by Teteks-Tetovo by 4.21% and Makpetrol by reasons for the price increase in the increased con-
IMF SAYS: ............................................12 around three percent. The overall stock exchange struction expenses and the announcement for NATO
weekly turnover reached around 4, 9 million euros. accession.
AFTER THE STANDSTILL IN MAKSTIL`S This newspaper also carries the story that the oil Vest carries the story that according to the State
on the world markets goes up in price again. In the Statistical Office, Macedonia suffered a external trade
FOUNDRY .............................................12 New York Stock Exchange, a barrel crude oil reached deficit of 414, 8 million dollars in the opening two
$104, 93 going up by $1, 10. On the Asian markets on months of 2008. This is up by 73, 2% in relation with
berzNIK, THURSDAY, FRIDAY, SATURDAY the other hand, the crude oil had hit the price of %105, the opening two month in 2007 when the negative bal-
...............................................13-15 93 a barrel while the European Brent had reached ance was 236, 9 million dollars. The overall trade volu-
$103, 4 a barrel on London Stock Exchange. The oil me of Macedonia for the opening two months of 2008
WEEKLY MAGAZINES...…....................16 price is forecasted to continue going up in price due to has been increased by 42, 2 percent in relation with the
the weakened American economy. same period last year.
PAST WEEK IN THE TAKEN OF... ..............17 Precisely the oil price increase on the world stock Utrisnki informs that a new Group of Investors in
exchange markets is one of the reasons why Josef Small Hydro Power Plants (MHEC) was formed in the
WEEKLY REVIEW OF THE MACEDONIAN Breda, university professor from USA, in the interview Economic Chamber of Macedonia last Friday. Borko
STOCK EXCHANGE. . . . . . . . . . . . . . . . . 18-19 for Dnevnik, says that the Government cannot save us Andreev, director of Mali Hidroeletrkani was elected
from inflation. Should the prices of the imported prod- chairmen and Zoran Kondratenko from Dufenergy and
ucts go up on the international market and the domes- Jandre Zdraveski from Metalec- Prilep for his deputies.
I M P R E S S U M tic prices maintain their level, according to the current The idea was to form a new group that will function
exchange rate, the denar will remain depreciated in within the Macedonian Energy Association (MEA) and
respect with the foreign currencies and that is the real- the companies the were allocated with locations for
ity, states Breda, Advisor of the Minister of Finance. construction of small hydro electric power plants on the
The Macedonian economy is heading towards first tender to organize themselves in this way. The se-
Publishing: INTERNACIONAL NIK AD - Skopje good direction and the government policy should set cond tender is still on, and the Government has plans
Media library and digital archive the course towards war on illegal trade, believes Josef to announce several others tenders so that at the end
Editors office: berzNIK Breda, professor at the state university in Arizona, to be offered 400 locations for locations for constructi-
Address: Square MAKEDONIJA bb, p.box 882 Skopje, 1000, USA, and advisor of Minister of Finance Trajko Slave- on of small hydro electric power plants throughout the
R.Makedonija ski. The occasion of his visit is the current talks with country.
Phone. 02/25.32.800 faks: 02/25.32.839
web: www.interNIK.com.mk;
the IMF mission. As far as the inflation is concerned, The newspaper also informs that about 50 farmers
e-mail: info@interNIK.com.mk Breda shares the opinion of Slaveski that the inflation from Macedonia who are to pay five-day visit to Swe-
is imported and the Government couldn`t do much. The den for the purpose education and adopting the stan-
Executive Director: Zdravko Josifovski non-extended membership invitation on the NATO dards of the cattle breeding in that country. The final
Account Menager: Divna Pesic Summit in Bucharest last week won`t affect the Mace- target of this action, which is organized in our country
Public relations: Natasa Dimovska donian economy, claims Breda. - I do not believe it for the first time, is to stimulate the enforcement of the
Marketing manager: Ivona Josifovska would be a significant impact for the economy or nega- European standards for milk of the Macedonian farms.
Assistent: Stojne Danilova tive effect on the foreign investments. The foreign in- The visit is organized by the Swedish Federation of
Logistics manager: Ana Petrova vestors are well aware why Macedonia wasn`t extend- Farmers in cooperation with S-Farm and Swedmilk Ma-
Finance manager: Gordana Stojanovska ed with invitation in Bucharest. This decision wasn`t be- cedonia.
STOCK EXCHANGE REVIEW OF EVENTS IN THE
cause Macedonia failed to do something.
PRINT MEDIA berzNIK 2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS
berzNIK is founded in year 2007. 1. THE GOVERNMENT CANNOT RELEASE YOU FROM INFLATION (****)
2. NEW GROUP OF INVESTORS OF SMALL HYDROELECTRIC POWER PLANTS (***)
STOCK EXCHANGE REVIEW OF EVENTS IN THE DNEVNIK HYDROELECTRIC POWER PLANTS
PRINT MEDIA berzNIK p.4 THE GOVERNMENT CANNOT RELEASE YOU p.7 OPTIMISM BACK ON THE STOCK EXCHANGE
Number: 18 FROM INFLATION p.7 RUSSIANS AND UKRAINIANS HAVE THROWN
Date: 14.04.2008 p.7 MACEDONIA AMONG THE TOP TEN COUN- THEIR EYES ON THE OHRID RIVERSIDE
TRIES IN THE WORLD ACCORDING TO THE p.7 TWO THOUSAND HECTARES OF SUNFLOWER
IT IS DISTRIBUTED FOR SUBSCRIBERS ONLY RISE IN PRICES p.7 THE OIL PRICE RISES AGAIN
p.7 THERE IS AN INTEREST FOR CREDIT FOR VREME
FRONT PAGE PHOTO: p.1 DO NOT BE AFRAID OF DEVALUATION
CRISTAL BELL AWARD WINNER
SELF- EMPLOYMENT
p.7 AGRICULTURAL SOWN FIELD MAY BE INSURED VEST
Photo: IN ALL INSURANCE COMPANIES p.2 THE 45 MILLION EUROS INTENDED FOR AGRI-
Robert Spasovski UTRINSKI VESNIK CULTURISTS` SUBVENTIONS TO REMAIN
p.8 THE PIVOTAL COMPANIES OF THE RADOVISH UNUTILIZED
Editorial staff of berzNIK ECONOMY ON THEIR KNEES p.3 TRADE DEFICIT INCREASED BY 73 PERCENT
Internet distributive system: p.8 SWED MILK EDUCATES FARMERS TO WORK p.6 PRO PLAYS DOWN THE SALE OF ALUMINA
www.interNIK.com.mk BY EUROPEAN MANNERS NOVA MAKEDONIJA
Editor: Makedonka Baldazarska p.8 LUKOIL OPENED TWO GAS STATIONS IN SKOP- p.1 THE INVESTOR`S COMMUNITY RECOVERED
Journalist: Vaska Mickoska, Kiro Simonovski JE AND IN STIP THE SHOCK IN JUST ONE DAY
DTP: Tatijana Trpkovska p.9 PORSCHE AND VOLKSWAGEN ARE INCREAS- p.5 THE PRICE OF THE PETROLEUM IS INCREAS-
Editorial staff: ING THEIR EMPIRES ING
News Evaluator: Anita Bashoska, R. Tasovska p.9 MILKA FORCAN STILL REMAINS IN DELTA p.5 GORDON BROWN WARNS ON WORLD ECO-
[operators]:Mare Lazarevska, Arslan Skoro, Zoran Stamatovski, HOLDING NOMIC CRISES
Martin Arsovski, Gorge Redzik, Toni Arsovski i Darko Tripunovski p.9 LAST YEAR INCOME OF 4.2 MILLION EUROS p.5 NEW GROUP OF INVESTORS OF SMALL
[translators]: translator's manager Senka Mihajlovska, Angelina p.9 ESTABLISHED THE INVESTORS` GROUP OF HYDROELECTRIC PLANTS
Filipovska, Slobodan Trajkovski, Aleksandar Stamenkovski, Aneta SMALL HYDRO PLANTS p.5 MICROSOFT WITH AN ULTIMATUM TO YAHOO
Menoska, Filip Koviloski, Darko Ivanovski VECER SPIC
Fotoreporter: Robert Spasovski p.6 TRADE EXCHANGE GOING UP p.6 FROM TOMORROW NEW DISCONNECTIONS
p.6 THE VELES POPULATION WILL PROTECT OF THE ELECTRICITY
Marketing, distribucija i proda`ba: THEMSELVES WITH LIVE SHIELD p.6 THERE WILL BE STRAGGLE FOR CONCES-
INTERNACIONAL NIK AD - Skopje p.6 NEW GROUP OF INVESTORS OF SMALL SIONS OF THE MACEDONIAN AIRPORTS
 6 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.04.2008

1. SHORT REVIEW OF EVENTS
The country collected almost 1 billion euros
in taxes from citizens last year, Dnevnik informs.
According to records from of the Public
Revenue Office, 2007 Budget marks income of
around 60 billion denars (986 billion euros) from
taxation. The inflow is 3.3% higher than project-
ed, and 16.3% more than 2006. Officials in PRO
say that there are increased incomes on the
base of all taxes. Largest increase regarding
projections marks personal income tax. There
are 6.9% more incomes, and total inflow
amounts 8.9 billion denars. VAT incomes are
increased 3.5%, and collection of profit tax
marks improvement of 3.7% and excises 0.5%.
Metal producers, biggest exporters in
domestic economy, demand conditions for mar-
ket economy, energy support and state support
in accordance to National Program for
Restructuring of the Steel Industry. Their
demands, conveyed by all papers, were pre-
sented by representatives of Makstil, Feni
Industry and Silmak on yesterday meeting in the
Economic Chamber of the republic of
Macedonia. Considering the fact that last year
export of metals reached almost 40% of the total
export of Macedonian economy, metal produc-
ers point out on the price of electricity as the
major obstacle for more successful production
and export.
ELEM has no money to provide coal for
thermal power plant in Bitola and Oslomej, com-
pany`s announcement reads. The import would
cause price increase for households, and they
decided not to pick the most favorable offer on
the announced tender. Financial results in 2007
of domestic banks show that their profit approx-
imates the level of 20 million euros. Stopanska
Banka Skopje achieved record breaking profit of
18.3 million euros, Komercijalna Banka closed
2007 at 16.5 million euros profit, and third
ranked NLB Tutunska Banka with net-profit of
10.7 million euros. Are these figures result of
their maximum efficient operations, or high inter-
ests and their monopoly position on financial
market, Utrinski Vesnik asks.
Two more news from the banking sector,
interesting for the papers. The first comes from
Stopanska Banka Skopje, bank that extended
its services with credits for micro and small busi-
nesses, which flexibility give control to the user
08.04.2008 TUESDAY
over payment operations.
UNI Bank for its clients, owners of Visa
Classic credit cards provided debiting of cash
without provision from bank`s ATMs.
Promotional period lasts one month, starting
yesterday until 7th of May.
The Government, after last year failure,
sales Veles seated factory for railroad vehicles
Kolska, some daily papers inform. The only fac-
tory in the country for reparation of railway
engines and wagons is sold at 476,610 euros
and potential buyer of the factory would have to
assume last year loss of 272,000 euros and
obligation from 2007 of 1.11 million euros.
Future owner should provide bank guarantee in
amount of 10% of the total projected additional
investments in the offer.
World stock markets bring the news for yes-
terday oil price increase and approximation to
107 dollars per barrel, as a result of dollar`s
value decrease compared to competitive cur-
rencies, but also negative reports on conditions
of American economy.

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. THE IMPORT OF COAL IS CANCELED BECAUSE THE ELECTRICITY WILL
APPRECIATE (*****)
2. KOLSKA FROM VELES ON SALE (***)

DNEVNIK
p.7 OKTA PAID THE MOST VECER
p.7 ONE BILLION EURO COLLECTED FROM TAXES ONLY p.6 THE FARMERS WILL RECEIVE SUBVENTIONS
p.7 ELEM TERMINATES THE COAL IMPORT p.6 CREDITS FOR MICRO AND SMALL BUSINESSES
p.7 KOLSKA FROM VELES ON SALE p.7 METALS ARE PARTICIPATING WITH 40% FROM THE TOTAL
p.8 MBI 08.04.2008 EXPORT
p.8 IMF: ALL GOVERNMENTS WITH JOINT FORCES FOR A SALVA- p.7 ELEM TERMINATES THE TENDER FOR COAL IMPORT
TION OF A GLOBAL CRISIS p.7 THE GOVERNMENT IS SELLING KOLSKA
p.8 YAHOO REJECTED MICROSOFT
p.8 UNSETTLED BILLS TO DISCONNECT RTV`S TRANSMITTERS VREME
p.8 THE METALWORKERS REQUIRE THE STATE TO TAKE CARE p.5 OHIS AND MACEDONIAN BROADCASTING NEXT
OF THEM p.6 OIL PRICE GOES UP AGAIN
p.6 EXPENSIVE POWER MAKES US UNCOMPETITIVE
UTRINSKI VESNIK p.6 SHARES GOING UP

p.9 BANKS WITH FANTASTIC PROFITS VEST

p.9 IT IS UNSURE UNTIL WHEN OHIS AND MACEDONIAN RADIO p.7 THE IMPORT OF COAL IS CANCELED BECAUSE THE ELEC-
BROADCASTING ARE GOING TO HAVE ELECTRICITY TRICITY WILL APPRECIATE
p.9 UNI BANK WILL NOT CHARGE CASH COMMISSION FROM ATM
p.10 ELEM HAS DECIDED NOT TO IMPORT COAL- IT WOULD NOVA MAKEDONIJA
CAUSE EXPENSIVE COSTS p.5 BUCHIM WILL INVEST OVER 4 MILLION DOLLARS IN NEW
p.10 HP PRESENTS THE LATEST SOLUTIONS FOR THE BUSINESS EQUIPMENT
CLIENTS p.5 WITHDRAWING CASH WITHOUT COMMISSION
p.10 BANKS WITH FANTASTIC PROFITS p.5 CREDIT CRISIS EXPANSION ON OTHER MARKET DESTABI-
p.10 KOLSKA FROM VELES ON SALES AGAIN LIZES THE DOLLAR
p.10 MBI 07.04.2008 p.5 INVESTORS ARE CAREFUL, MBI-10 INCREASED BY 0.7 PER-
p.10 MAJOR CONSUMERS COMPLAIN ABOUT THE EXPENSIVE CENT
ELECTRICITY p.5 THE PRICE OF THE PETROLEUM AMOUNTS 107 DOLLARS
p.10 MAKEDONSKI TELEKOMUNIKACII OFFERS NEW PACKAGES PER BARREL
IN SEPTEMBER
 Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
7
09.04.2008 WEDNESDAY
1. SHORT REVIEW OF EVENTS
The news for the audit, assessments and said. by implementation of the most modern and the
the recommendations from IMF team to Mace- Regarding the general economic condition, most actual IT achievements we can be rivals to
donia are dominant on the front pages of to- IMF is pessimistic. - The world gets into the big- the others in the region.
day's editions of the daily newspapers. The In- gest crisis. According to their prognosis, the Utrinski vesnik published that price games
ternational Monetary Fund has praised the eco- chances for global recession are 25 percent. annul the coal import tender. The main reason
nomic growth and progress of Macedonia, but This year the global economy will be marking due to which ELEM has decided to annul the
suggested interests increase and limited budg- an increase of 3,7 percent, which is the small- coal import tender is that the firm this company
et spending. They believe that the measures of est increase of domestic gross-product since favored did not offer the lowest price per ton of
the monetary policy are not enough for dealing 2002 and much lesser than the already predict- coal. Namely, two out of thirteen domestic and
with the inflation, but that the Government ed 4,1 percent. It is thought that the crisis the foreign companies that delivered bids offered
should start intervening in the fiscal policy. IMF world has been covered by will be the biggest, lower price than the favored firm of ELEM, so
recommends: Instead of planning Budget revi- bigger even than the one in 1929. The interest- the plans failed and the Commission for Public
sion to spend more, incomes should be saved. ing thing is that both crises have the same so- Procurements within ELEM was unable adopt
They cannot understand why the state, not the urce, the USA. - International corporations are the decision only one company to get the ten-
companies, pays for the expensive electricity looking for Macedonian partners is the second der.
import. The electricity price in Macedonia is most topical news published in today's edition Biznis informs that the General Assembly of
among the lowest in the region, and the large of the daily newspapers. - We need real part- the Association of Balkan Chambers (ABC),
expenses for electricity import this year will pro- nerships with companies from countries such from Istanbul, Republic of Turkey, has sent me-
bably be much higher than planned. This leads as Macedonia with purpose to support the wide ssage to the EU member countries for consis-
to an increase of the financial losses, therefore, economic development, announced Nick tent application of the agreements for facilitati-
in order to stop the further increase of the pri- Fermor, vice President of the Board of Directors on of the visa regime with regional countries,
ces, the Government has to react in the fiscal of General Dynamics on the first Macedonian which is one of the largest business limitation at
policy and the Central Bank has to react with conference for Suppliers and Investments, or- the moment. The total trade exchange among
the monetary instruments. This is a recommen- ganized by this corporation, the Government, the countries of the Balkan region annually co-
dation of the Chief of the IMF Mission, Mark Gri- and the ambassadors of USA and Great Britain. mes to the number of 1.5 billion dollars. It is ma-
ffits, at the end of the visit, which purpose this The conference was attended by represen- de by over 2 million companies and it is the po-
time was not an assessment of the arrange- tatives of several major multinational compani- tential that should bring maximum advantages
ment, but the current economic conditions. es, such as 3M, Computer Science Corporati- to the regional countries and be basis for their
- While the economic growth remains on, and Hewlett Packard, as well as by 45 Ma- development. Despite such economic potential,
strong, the macro-economic pressures have cedonian companies, their potential partners. the region still has not done a regional product
increased. Within the monetary and fiscal poli- In an interview for the daily newspaper Ve- and regional offer-was the conclusion of the
cy now there has to be steps taken for limiting cer, Aleksandar Pajkovski, director of Duna General Assembly.
any increase of salaries and prices again, in or- Computers, says that the Macedonian IT sector
der the inflation rate to quickly reduce- Griffiths can compete with the world. According to him,
2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS
1.IMF MEMBERS PRAISED US, BUT RECOMMENDED TO TIGHTEN THE BELT! (*****)
2. AMERICAN COMPANIES SEEK FOR PARTNERS IN MACEDONIA (***)
DNEVNIK p.8 GRUEVSKI PROMISES THAT THE GREEK VETO WILL NOT
p.1 IMF: GOVERNMENT TO TRIM ITS SAILS STOP THE REFORMS
p.4 INTERNATIONAL CORPORATIONS ARE LOOKING FOR p.9 FORMER WORKERS OF TEXTILE FACTORIES BILJANA AND
MACEDONIAN PARTNERS POLITEKS DEMAND THEIR MONEY
p.7 TO STOP THE PRICES FROM GROWING THE GOVERNMENT p.9 RADE KONCAR OVERCOMES CRISIS AND REHABILITATES
HAS TO TRIM ITS SAILS VECER
p.7 FOOD PRICE INCREASE CANNOT BE CONTROLLED p.6 THE VETO WILL NOT STOP THE REFORMS
BIZNIS p.6 IMF MEMBERS PRAISED US, BUT RECOMMENDED TO
p.1 WHY SOME SHARES LOSE, AND OTHER EARN TIGHTEN THE BELT!
p.1 THE WORLD TO ENTER THE BIGGEST CRISIS EVER? p.7 MACEDONIAN IT SECTOR CAN RACE WITH THE WORLD
p.1 WITHOUT NATO - WEAK ECONOMY p.7 EVN WILL DISCONNECT OHIS
p.1 MERKEL TO MEET BRANKO AZESKI VREME
p.7 THE COUNTRYS DOORS ARE OPEN p.1 IMF CLAIMS MORE EXPENSIVE ELECTRICITY AND LOWER
p.7 MACRO-ECONOMIC PRESSURES INCREASED SALARIES
p.9 IT`S GETTING WORSER AND WORSER p.6 THE NEW HARVEST STARTED WITHOUT CONTRACTS AND
p.9 THE DOMINO EFFECT WILL BE LEFT ASIDE DETERMINED PRICE
p.13 INTENSIFIED COOPERATION ON CREATING REGIONAL p.6 AMERICANS ARE LOOKING FOR MACEDONIAN PARTNERS
PRODUCT p.6 WE HAVE COAL, BUT THERE ISN'T ANYONE TO BUY IT
p.14 A TRADE VALUE OF 25.284.569, 81 DENARS p.6 FOREIGN EXCHANGE RESERVES OVER 1.5 BILLION EUROS
p.14 MBI-10 DECREASED FOR 0, 30 PER CENT p.7 GOVERNMENTAL ANTI-MARKET MEASURES MADE COMPA-
p.14 MBI 08.04.2008 NIES SHORT SLEEVED
p.15 THE STRATEGY OF INGRA IS DEVELOPMENT OF MAVROVO p.7 LESS SPENDING OF THE STATE MONEY AND EXPENSIVE
p.16 WHY SOME SHARES LOSE, AND OTHER EARN ELECTRICITY
p.17 DINAR CREDITS STILL TOO EXPENSIVE VEST
p.17 CASH WITHDRAWAL WITH VISA CLASSIC FROM THE ATM'S p.6 AMERICAN COMPANIES SEEK FOR PARTNERS IN MACEDO-
WITHOUT COMMISSION NIA
UTRINSKI VESNIK p.7 IMF: THE GOVERNMENT TO SAVE MONEY
p.1 IMF RECOMMENDS WAGES TO REMAIN ON THE CURRENT NOVA MAKEDONIJA
LEVEL p.5 IMF SUGGESTS RISE UP IN THE ELECTRICITY PRICE
p.5 PRICE GAMES ANNUL THE COAL IMPORT TENDER? p.5 STARTED THE CONSTRUCTION OF AMBO
p.6 THE CONTRACTORS DEMAND RECEIVERSHIP FOR BETON p.5 MAVROVO ACCEPTS INGRA`S OFFER
FROM BITOLA p.5 YOU CAN COMBAT INFLATION BY SAVING THE BUDGET
p.7 STOPANSKA BANKA OFFERS SET OF CREDITS FOR MICRO SURPLUS
AND SMALL BUSINESS SPIC
p.8 MICROSOFT CONTINUES INVESTING IN THE COUNTRY p.6 IMF ADVISES ELECTRICITY TO INCREASE IN PRICE
p.8 MALL OF MACEDONIA IN SKOPJE p.6 OHIS ONE HOUR WITHOUT POWER
p.8 THE GOVERNMENT TO DISCUSS WITH ESM-EVN REGARD- p.6 SALTY PATRIOTIC FISCAL BOX CASHES
ING THE DEBT OF OHIS p.6 THE VETO WILL NOT STOP THE FOREIGN INVESTMENTS
p.8 MBI 08.04.2008
 8 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.04.2008

BASIC METALS MANUFACTURING - SUPPORTING PILLAR OF THE MACEDONIAN ECONOMY

SUPPLYING ELECTRICITY ON THE MARKET

- WRONG?
technological line and are prepared to invest
in a third one. It is a matter of a 200 million
dollar investment which would be realized in
18 months; however these activities require
certain preconditions that should be guaran-
teed to the shareholders by someone.

The directors of these companies point

out that the expensive electricity is directly
decreasing the ability to be competitive,
because according to electricity price data,
the major consumers in Macedonia pay the
most expensive electricity. - Silmak was most
affected by the lack of electricity, because it
participates with 50 percent in the end prod-
uct price. After we restarted production, the
night surpluses only meet 8 percent of our
needs, and we have to import the rest. The
best way to see that this is damaging for
Silmak is the fact that the total import togeth-
er with the electricity would cost Silmak
around 25 million euros. At the time when we
were obtaining the electricity from domestic
sources, the import ranged between five and
seven million euros, and the export last year
and this year as well is going to reach a value
of 50 million euros (including the two mounts
this year when the factory was not working)-
he increasing production trend of the vinced that the current manner in which the Svonko Stojanovski, director of Silmak says.

T basic metals in Macedonia, initiated a major consumers are supplying electricity on

few years ago, resulted in a $1.327 bil- their own is wrong. If objective analyses are In addition to the claim that the
lion for 2007, which represents 39.5 percent made so that we could receive cheep night Macedonian metal manufacturers pay the
of the total export. Historically, in the highest electricity, as it was the case until last year, it highest price of electricity, they presented the
real GDP growth of 5.1 percent made last would be much more worthwhile and useful data that the major suppliers are paying 80
year, according to the statistics 2 percent are for the state, compared to the situation now euros per megawatt hour, which is a price
made by this very branch, which has the epi- when we are left by ourselves on the market higher even then the one paid by the produc-
thet of a supporting pillar of the Macedonian - Mihajlo Mihajlovski, CEO of FENI Industry, ers in Italy, which is considered to be a coun-
economy. Because there are no good argu- points out. It would be much more favorable try with the highest price of electricity in
ments by just looking from the numbers, Europe. Actually, as Mitko Kochovski,
these together with the evident expan- director of Makstil, points out the price of
sion of the steel industry world wide were Under the request formulated as creating electricity we buy on the free market
pointed out as fundamental reasons in normal conditions for business and devel- reaches 93 euros megawatts per hour,
the request of the metal manufacturers opment of this branch, representatives of due to the additional expenses created by
for the Government to respect and imple-
ment the National Restructuring Strategy
Makstil, Silmak and FENI actually empha- the process of delivering the electricity to
the major consumers in Macedonia. The
of the Steel Industry. Under the request sized the problem with the energy support consumers in the other countries of the
formulated as creating normal conditions for their production, i.e. they asked the state EU pay between 50 and 60 euros.
for business and development of this to reinvestigate the legal model once again, Therefore, as Kochovski emphasizes,
branch, representatives of Makstil, according to which the major consumers regarding the fact that the production of
Silmak and FENI actually emphasized obtain electricity on the market on their basic metals represents a generator for
the problem with the energy support for own the country's development, we are not
their production, i.e. they asked the state asking the state to give us money, but
to reinvestigate the legal model once energy support for our ongoing current
again, according to which the major con- for these companies to be given around 20 and growing production needs.
sumers supply electricity on the market on percent of the required electricity by the
their own. As pointed out by the Economic state, because this would give them addition- A second problem with the same weight,
Chamber of Macedonia, the concept is al psychological security that someone takes for which solving the state needs to be
wrong and it does not give security in the care of them, takes care of their existence included, is the inappropriate transport infra-
activity and causes hesitation the intention of development and prosperity. This would pro- structure, as presented by the representa-
making further development investments. vide further investments in these capacities, tives of the metal production plant. As we all
help improving the ecological standards, and know, due to the geographic location,
- For progress one needs stability in the the economical development and the export Macedonian companies are handicapped,
operating, regulations and rules of play, of the Macedonian economy would increase because they face additional expenses for
which would have a long lasting effect, i.e. year after year. As Mihajlovski explains, the transport of their products to the nearest
wouldn't be changed too often. I am con- shareholders of FENI invested in a second ports Thessalonica, i.e. Burgas as an alter-
 Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
9
native. Considering that the production of
basic metals increases each year, as an illus-
tration, last year 15.3 thousand tons of fer- Growing export and solid salaries
ronickel were manufactured, than 79 thou-
sand tons of ferrosilicon and over 900 tons of The production of basic metals in 2007 recorded a 34.3 percent growth compared to
rolled metal sheets, it is becoming obvious 2006, and in the first two months this year the increase is 19.8 percent compared to the
that there is a need for these kind of loads to same period last year. Last year the export of products was the following: ferrosilicon of
be appropriately restructured and for the 31.2 million dollars, ferrosilicon manganese of 58 million dollars, which is a ten time
transport to be developed in order for the increase compared to 2006, ferronickel made over 528 million dollars, hot rolled metal
increased quantities to be transported. sheets of 271 million dollars, and cold rolled metal sheets of 72 million dollars… Apart from
However, neither the roadway potential nor these the metal processing factory is important for the country and the number of engaged
the railway meets our current and not to workers. - These companies according to our calculations employ around 5 thousand peo-
speak of our growing needs- ple. If we use the world experiences that each employee in the heavy metallurgy employ-
ees another 5 to 8 workers, this means that indirectly we have around 30,000 workers in
Kochovski concludes. FENI Industry is this line of work - director of Silmak Zvonko Stojanovski explains. This is also confirmed by
also not satisfied with the transport infra- the case of FENI Industry, which employees around one thousand workers, and each day
structure, because although the company the factory together with the mine has another thousand workers employees in Fiord,
has an agreement with Macedonian Vatrostalna, Tehnogas and other small companies, which all together compose a very
Railways 80 percent of the 2 million tons raw dependent and connected chain. Apart from this an important fact is that last year FENI allo-
materials and products both imported and cated 12-13 million dollars for salaries and paid million dollars for gross contributions,
exported to be transported by means of the money which staid in the country and in the City of Kavadarci - Mihajlovski says, adding that
railway, and 20 percent by trucks, in reality the average salary in the company is around 27 thousand denars which is well above the
the ratio is fifty-fifty. The railway is not pre- average in the country.
pared to meet our demands neither with a
sufficient number nor with an adequate type
of railway wagons - Mihajlovski says. - If aimed for research and development on one
there are no investments for improvement of hand and projects which concern the ecology
the transport infrastructure, it would also European ecological issues of these subjects on the other. The
influence the production. What's the point in
production if we cannot transport the prod-
standards use of state aid according to this program in
any other way would mean closing down the
ucts to the nearest commercial destination? companies.
The need to include the state in sup- V.M.
The representatives of these companies porting the power supply and the recon-
agree that the National Restructuring struction of the transport infrastructure is
Strategy of the Steel Industry, which derives inevitable, in order to provide better work-
from the Stabilization and Association ing condition for the companies in this line CORRECTION
Agreement between Macedonia and the EU, of work. A very important moment is that
obliges the state to provide normal market by the adopting of the Law on Envi- We inform all shareholders of RZ
business of this branch, in order to use the ronment, which contains European direc- Institut a.d. that in berzNIK in number 16
price relation on the global market and the tives, we would have to obtain integral from 31.03.2008, page 11, NEWS STOCK
entire global opportunities in this segment ecological permits, operation plans that EXCHANGE, a mistake has been made in
more efficiently. Actually, these companies require acquiring the best available tech- the caption and instead of: "Institut with
are also implying on the Law on State Aid, niques in our branches. That means in a minimal loss compared to the last financial
which according to them, gives the state an king of conjunctional moment like the one year" was supposed to be: "Institut ended
opportunity to assist in surpassing certain now on the global market, we have to cre- the financial year with profit".
problems of the companies, which are of ate economic potentials, to profit and par-
great economic importance. However, as ticipate as much as we could, because it is
Borka Spasovska Gerasimovska from the
Ministry of Economy explains, the national
possible not to be able to work after the
accession in the EU if we do not meet
Last year successful for RZ
program envisages the use of state aid for those criteria - Mihajlovski from FENI Institut
the steel companies, but not for the direct Industry emphasizes.
production process, but for the projects The joint stock company Institut a. d.,
except the bigger difference in numbers in
the part Changes of the stocks of the fin-
ished products and production in
progress, where bigger costs are reported,
Expansion of steel does more significant turbulences are not
noted. Last year the company notes in-
Globally the movements show that the production and use of basic materials are expe- crease of profit form sales of total amount
riencing unseen expansion. The consumption of ferroalloys and steel is increasing. New of 308,895,510,000 denars, contrasted
capacities for the steel industry are being built in China and India and other countries. As with the reported 233,607,142,000 de-
director of Makstil, Kochovski, explains this is another confirmation that steel remains the nars. In the area of operation work report-
sole leading construction material and as long as the global economy has development ed profit of 23,104,053,000 denars, which
ambitions the demand for steel will be great. - The results we have achieved both as quan- is also an increase compared to the last
tities and foreign currency inflow are a confirmation that the manufacturers of basic metals year when it was 15,790,338,000 denars.
are the most influential creators of the macroeconomic aggregates in the country. They In 2007 the company has noted positive
deny all interpretations and opinions of separate structures that this is a production of cer- numbers in more segments, which results
tain past times, that there are more propulsive activities… It is correct that these branches in net profit of 19,431,876,000 denars, an
exist in the structure of the global industry, however we have this and we are trying to effec- amount that is an increase compared to
tuate it in the best possible manner. Therefore our country should consider the presence 2006 when the profit was 14,174,737,000
of the leading metals in its economy as an advantage, and not a handicap - Kochovski denars.
says.
10 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.04.2008

GORAN KOEVSKI, PROFESSOR AT THE FACULTY OF LAW

WE ACCEPT NORMS EASILY - IT'S

MENTALITY WE CHANGE WITH DIFFICULTY
Corporative management (CM) signifies the manner companies are run and controlled by, as well as the relations that are
being established between Supervision committee, management and the shareholders. This actually refers to the way the
persons who provide the company's capital assure themselves that they will gain profit from their investment. The concept
of corporative management in the economy of Macedonia is still new. Nonetheless, millions of new shareholders and thou-
sands of newly privatized companies are concerned with it. As to how much the CM is accepted in Macedonia we are talking
with Goran Koevski, professor at the Faculty of Law and author of the book Corporative Management and the brochure OECD
Instructions for corporative management with state enterprises.

XHow much is the Codex for CM of the joint-
stock companies accepted by the management
structures in Macedonia?
- CM is still in the sphere of what's called
soft law which means recommendation, instruc-
tions, good practices. It's not a code that is bear
by the country, the Parliament, but by well-
known international organizations, OECD, IFC
etc. Why we prefer using this principle? Beca-
use in many transitional countries the people
are still not ready to accept it as a code.
Since the beginning of 2007 the Codex for
CM of the joint-stock companies listed on the
stock exchange was passed here, and as of re-
cently the companies that are on the super-list-
ing have an obligation within their yearly finan-
cial report to give statement
for coordination with the Co-
dex for CM, which is a pha-
se up. But these are only
four companies, which is
surly not enough to say that
this code has been widely
accepted.
XTo what extent is trans-
parency in Macedonia within
the one in the other countries,
or they are more extensive
and wider?
- The reports from our
companies are in scope of
this transparency. We follow
all directives, recommenda-
tions etc. We are pretty res-
ponsive in this segment. We
accept these things quickly.
On the conference for the
countries candidates and
potential candidates for
membership in Brussels,
within which was the focus
of CM, we took the first pla-
ce pointed as country with
the best laws but also as a
country with poor applicati-
on of this codex. However,
it's one thing to accept so-
mething as word as a code,
and another to change
mentality and realize what's
the benefit if you do it. This is exactly the part
we are pretty slow in. When it comes to mentali-
ty the fear appears for the capital's origin in
conditions when the legal institutional country is
not completely built. I'm not saying everything
was done illegally, that was the frame, it was
the way the capital was earned, the intention
was no to make tricks. They played within this
legal frame that was set.
XWhat's the world's practice of CM on domi-
nant and small shareholders relation? They must
be dominant in more companies?
- It's good. But there can be joint compa-
nies. Like the ones we have here. Only that
abroad the supervision is so strong that they
immediately state if this connection is being
abused. Like for example, now in Macedonia
the Law on Payment Operations forbids assig-
nations, compensations, balances… Because
joint companies are being formed so they make
compensations among each other. Here the
country is amnestied because it cannot control
this, and therefore the law forbids it. I think
that's not the idea. This kind of work relation is
allowed everywhere in the world. Meaning,
allow such model of CM to the joint companies
with big banks in the middle, it's a German-
Japanese model, but have capable controllers
who can conduct supervision if they are abus-
ing it or not and punish them. So that you can
give positive example.
XYou mentioned the banks in relation to the
CM. In our country the banks are dominant share-
holders everywhere, unlike in the world where it's
the other way around?
- In America this is forbidden, but not in
Germany. But there is a good supervision. The
new Macedonian Law on Banks is pretty good
in this segment. It forbids controlling participa-
tion in non-financial sector. If one looks into the
NBM's decision on CM, they can see that it is
almost completely dedicated to better Supervi-
sion committee, better control over the Board of
Directors and greater responsibility of its mem-
bers. So, their responsibility it being established
since they realized where the weakest chain is
and legally reacted in that part. This is positive
thing.
XHow much is CM applied globally. To what
extent CM affects on the company's image increa-
se, are sanctions taken if it's not obeyed?
- Corporative management affects the com-
pany's image. One asks the question why after
all scandals in America, Enron, Wrotcom, the ci-
tizens are still investing in shares? Why they
didn't lose the trust? So it means the system
works. And why? Because the key head execu-
tive directors of the biggest embezzlements en-
ded with 25-year imprisonment, without any
right to amnesty before 13 to 15 years of their
time pass. That is why everyone still invests
and will continue investing because the whole
financial system is based on the small share-
holders, their protection.
Unlike the USA, Europe is prone to domi-
 Date 14.04.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
nant shareholders, because that way the coun-
try has greater influence on economy. I'm talk-
ing about continental Europe without England.
Here there's big interference of the country,
which through dominant shareholders in 10 to
15 biggest companies it can lead economic pol-
icy. So, big banks, 10 to 15 big companies are
enough to lead some kind of policy. This hap-
pens in Europe too, not only in our count-
ry. We are just distorted version of it.
XSo Macedonia received high assess-
ment on the legal regulation's adoption. We
have transparency of the companies, in a way
they accept the CM, but there are no new
emissions of securities to collect capital.
The big companies trade internally, which
means that in most of the cases there is over-
flow or concentration from bigger to smaller
number of shareholders?
- Only vinery Popova Kula so far had
a source of new capital in sense of Initial
public offer. This company issued new
shares to collect extra capital. And that's
the "forerunner". Since wine production is
attractive business, the evaluation of ac-
cepting the Initial new emission of shares
was absorbed from the public and in this
specific case it was good. There was inte-
rest. When I discuss on this topic I see
companies in two levels. Companies
which were formed on the basis of trans-
formation and privatization. With few ex-
ceptions, there was almost no transforma-
tion. While with the privatization the own-
er changed nominally, but very few com-
panies had creation of new value. But the
new ones consciously keep the status of
small and middle-sized companies so that
they do not go up, that closed is the mar-
ket. Well now, the Government is making
some steps, according to me pretty unselective-
ly, without an idea. In order to bring external
shareholders, outsiders to these closed share-
holders' groups, the Government annulled the
right to initial purchase of shares from new
emission. It banned it by law, which in my opini-
on was very stupid because this is world stan-
dard. Imagine another situation, a foreigner
who invested 60% in a company and wants to
increase his capital after a while, to be told he
has no priority. This destroys an already establi-
shed structure of relations. So, the Government
wanting to do something good, to break the
structures, bring people from outside, picked a
wrong way. Now there are announcements that
the Government wants to bring it back, since it
is a world standard - Right to initial registration
if the shareholders don't step back. The law de-
prived them from this right. Which in my opini-
on, is bad. Opposite to this move, I think that
the amendments to the Law (in March last year)
which abolished issuing shares to employees,
were good. Restrictively this will apply until
2012. This is good because in a time of this un-
employment, as shareholders the employees
were abused the most: sell me your shares or
I'll fire you. What is going to happen? From the
Fund, they will buy own shares with the compa-
ny's money and give them to the employees.
This provision is good. It will not be abolished
but prolonged to certain period of time until so-
number 18
me things are settled in post- privatization man-
ner. Unfortunately, such model got out of the
game.
Initially, the idea-paid privatization, insider
one, was not that bad and we saw what it
turned into, while the other countries moved for-
ward because they had vouchers that they
gave to Investment funds which played on the
stock exchange, much more professionally and
much more informed.
XDo you think paid insider privatization to the
entire model we applied?
- Initially that was the idea, for the persons
inside with 30% discount etc. But unfortunately,
like everything else in Macedonia, this too got
twisted. Everything that's a good idea in the
beginning gets completely different dimension
at the end.
XIn Croatia and Serbia for example, the coun-
try gave free shares to all citizens. Will we see this
happening in Macedonia as well?
- No, we will not because the "golden
mines" got sold. This is nothing but political
decision. Many parties did this. After evaluation
the capital they realized that politically it pays
off to them to share part of the cookie to the cit-
izens for free. This way one could get a sense
of belonging in certain country, actually that the
country is thinking of you by giving you some-
thing. In our country the purchase price went in
the Budget, out of where one can hardly see the
benefits for the citizens. This way the govern-
ments can win over the citizens with something
small.
berzNIK
11
XThere are examples of big companies, when
they reach certain level of development the owners
share shares to the employees in order for them to
feel the company as their own which increases
responsibility and effectiveness. Are there possi-
bilities of something like this realizing in Mace-
donia too?
- That's a worker's shareholding.
For now it's not the time. In America
people know exactly why this occurs.
When you make a fortune of one billion
dollars it is very easy to become philan-
thropist, to become benefactor and
give shares away. But until you get to
that level and that fortune, it's far from
moral and business ethics or anything
else. So there will be time when people
will feel rich enough to do this.
XYou have attended many education-
al seminars about the animation of Law on
Trade Companies and CM, were part of
these seminars implemented among the
managers, the management structures?
- At the beginning, five to six years
ago the education was carried out with
the top management. Now the people
from the lower level are sent to these
trainings. Unfortunately we had one
project with the Institute open society-
Good ruling and among the other
things the CM was also good. The fe-
edback was very hard to get answers to
our questions, which brought us back
to the beginning- the fear of the unfami-
liar. Why and who is behind all this?
Why this is the way, if something is ga-
ined honorably and legally, why the
fear? There are certain theories and it
is so in Germany, societies of invidious
citizens, where people envy each other, beca-
use of what the personal fortune is never
shown, exactly out of some kind of embedded
mentality- the social concern that we are all
equal. Maybe there is something to it. Like for
example, I have been to Lubeck, above Ham-
burg, in a nursing home that exists since 1200.
Imagine even back then they had a need to ta-
ke care of the helpless, health insurance etc,
this theory too holds water.
So again it's all about the way of gaining
capital. Everyone who has suspicious elements
fears to show their capital, and there is also
another ground- no matter how honorably you
earn something, you are going to be stick a la-
bel, political extortion…
XTo what extent the CM suffers because of po-
licy?
- Political and Corporative management are
two twin sisters, who got separated once but
still have same logic of understanding. And
where comes Macedonia here? It is good, peo-
ple talk about CM, there are trainings, it is being
introduced, but the effect would be successful
story. We are at the beginning but there is no
public promotion. We have no example of suc-
cessful CM story.
M.B.
12 berzNIK
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
IMF SAYS:
SAVE THE COLLECTED MONEY,
DON'T DO BUDGET REVISION
The Government has to save and clearly spend the
budget money, especially in the power sector. The
inflation has to be brought to low, one-figure rate
he economic moment continues. The
T increase of realistic GDP exceeded 5% in
2007, and the increase of industrial pro-
duction exceeded 10% in the beginning of
2008. Nevertheless, the macro-economic pres-
sures increased. Inflation increased to 10% on
yearly basis in March, mostly as result of the
higher world prices of food products and ener-
gy. The bigger import of cars, energy and food
products, as well as the certain reduction of the
private transfers from abroad have increased
the open account's deficit.
- In circumstances like these the
Government has to go with controlled spending
of budget money and clear financing of the
energy sector.
These are the suggestions the IMF gave to
the Government after the one-week mutual
analysis about what has to be taken to stop the
inflation's increase and soften the price shock
for the citizens. Food price will stabilize, but
there has to be price correction of the power,
monetary experts say. The Government has to
save money and clearly spend the budget
money, especially in the energy sector. Inflation
has to be brought to low, one-figure rate.
T
he standstill in the production of the
foundry of AD Makstil will have an effect
on the planned working of RZ Institut AD
Skopje, it is stated in the announcement of this
company submitted to the Macedonian Stock
Exchange. Namely, certain part of the produc-
tion program is meant precisely for the needs of
the Foundry. According to the announcement,
they are to reduce the planned delivery of
torque mass to 75 tons ramming mass a month,
TROSKA conditioner-54 tons a month and
dolomite lime-255 tons a month. The total
reduction of the planned realization for a single
month will cost them around 6 million dollars.
As far as the standstill in the delivery of Al-
Leguri for AD Makstil-Foundry, which is around
40 tons a month, will be sent to other compa-
nies. There is a great demand for these alloys
on the market.
Should the standstill lasts for a longer peri-
od of time, the aggregates that will be out of use
are planned to be utilized as alternative solu-
tions for production of other products for the
market in this metallurgic branch. There is activ-
ities plan for this purpose. In case of shorter
number 18
The mission's chief, Mark Griffiths, sup-
ports the National Bank in its plan to increase
interest rates to 6%, but at the same time to
take over additional measures to reduce the
fast increase of loans, and the Ministry of
Finance to strictly control the emptying of the
overloaded budget:
X Instead of preparing a budget revi-
sion, what's important is these incomes to be
saved now. This should stop the increase of the
open account's deficit, reduce the inflation,
dropping it to low, one-figure level. The unclear
financing of MEPSO and ELEM's losses
caused by the high price of the importing power
is the biggest stroke to the state register and
remains to be risk for the budget. According to
Griffiths, there has to be correction of the elec-
tricity price for the households.
X Electricity price in Macedonia is
among the lowest in the region. Nonetheless,
the high expenses for power import this year
will most probably be much bigger than it was
planned. These losses are supposed to be
directly included in the budget, and the tariffs
for the households to gradually increase in
accordance with the international prices.
Vice-prime minister Zoran Stavreski howev-
er, defending the Government's policy, says
that keeping low price of electricity means pro-
AFTER THE STANDSTILL IN MAKSTIL`S FOUNDRY
RZ INSTITUT TO CUT
DOWN ON PLANNED
DELIVERIES
production standstill, on the other hand, the
same will be used for production capacities
overhaul. There is activities plan for this option.
Part of the employees are most likely to be
sent on vacation, part will be engaged in the
production of aluminum and copper alloys and
part of them may even be sent on forced leave,
however, everything depends on the duration of
the standstill period. We are talking about 15
direct executors in the processes whose pro-
duction will be stopped or reduced. The expert
staff from these processes will be working on
projects for introducing alternative solutions for
new production.
The other organization units- Zavod za
Aluminiumski Leguri, Zavod za Bakarni Leguri
Date 14.04.2008
tection from greater poverty of the citizens:
X As a country we are ready, through
more frequent transfers, if necessary, to pro-
vide enough financial funds so that the finan-
cial liquidity and position of MEPSO and ELEM
is stable. Until the possible early elections we
will go at the speed of 60km/h and afterwards
even faster, Stavreski said.
X Minister of Finance, Trajko Slaveski,
on the other hand, is convinced that the annual
inflation rate will be no more than 5% and that
the prices will stabilize. The prices increase this
period has reached the top and we have been
at the same level for a month, which we expect
to further on turn into reduce of inflation rate. By
the end of this year we expect the inflation rate
not to be over 5%.
In time of increase of macro-economic
challenges, it's necessary to continue the struc-
tural reforms to stimulate growth and reduce
unemployment. The mission again insists the
Government reducing the expenses for work
force. The minimal bases for social contribu-
tions to be reduced and finally annulled. With
these reforms the companies and employees
will get back in the formal economy and reduce
the unemployment rate. The mission also
insists the Government to stick to the time
framework set by the Program for integration of
social contributions payment, as well as to
coordinate their bases using the actual oppo-
site to the agreed salaries.
The mission for the fourth review of the
Government's Program supported by the Fund
was initially planned for June.
and other services will be functioning with
increased dynamics. There will be increased
working dynamics in the organizational unit
Odrzuvanje, which will be constantly engaged
for the current works and the planned overhaul.
RZ Institut AD Skopje expects that the
foundry`s standstill will be short-termed and
won`t prompt major shuffling in 2008 Plan and
undertaking appropriate actions in accordance
with the situation. Should this occurs, the plan
will undergo reprogramming and appropriate
actions that fit the conditions will be taken.
The current working in the opening three
months is going accordance to the plan and
there will be more specific information after the
quarter statement of success of this joint stock
company.
 Date 14.04.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
1. SHORT REVIEW OF EVENTS
The opening of the distributive centre of the
Slovenian pharmaceutical company Krka in
Skopje is top news in today`s papers. According
to Joze Colaric, Macedonian market is of great
importance for the company, because 120 medi-
cines present in our country realized a turnover of
one percent form the total sale of Krka in the world
i.e. around 10 million euros.
Newspapers announce another foreign
investment. It is about construction of the busi-
ness center Megi, an investment of 10 million dol-
lars. Investor of this object is Macedonian -
Bulgarian company Media Investment. From the
total financial construction 50 percent are
Macedonian -Bulgarian company investments and
the other are provided by NLB Tutunska Banka
credit line.
Newspapers also inform about possible coop-
eration with the American and Britain companies,
more employment, investments and import. This
is also the expectations of Vele Samak from the
two-day conference for suppliers and investments
held in Skopje. On the conference organized by
General Dynamics Corporation and the
Government, representatives of more American
companies as well as 50 domestic companies
took part. Some foreign investors announced they
number 18
plan Macedonia as potential destination for their
investments. Newspapers inform about Ernard
Busek, special coordinator of the Stability Pact
according to which investment climate in the
country and the wider region is suitable.
Great decline of Macedonian Stock Exchange
is the headline of the broader analysis of today`s
Dnevnik, who informs that Macedonian Stock
Exchange belongs in the group of regional mar-
kets with greatest decline of the stock turnover in
the first three months this year. The Official data
indicate that the total turnover of Macedonian
Stock Exchange dropped by 65.9 percent in rela-
tion to the same period last year. The biggest
decline records Saraevo Stock Exchange of even
83.65 percent. Zagreb Stock Exchange records
growth of 30.66 percent. The total turnover of
Macedonian Stock Exchange for these three
months this year is 51.9 million euros and accord-
ing to this indicator the country it is the lowest
turnover compared to other Former Yugoslavian
republics.
The thermo power plant Oslomej didn`t make
it to May general repair, inform newspapers. The
lack of electricity is compensated through
exchange with Greece, and ELEM claims that
Oslomej is being disconnected due to prepara-
berzNIK
13
10.04.2008 THURSDAY
tions for the regular annual general repair in May,
not due to burst boiler`s pipe. Company neither
has concrete explanation about the reasons of
this technical operation nor can tell whether it is
usual procedure to stop the production when diag-
nostic of the equipment is performed i.e. detecting
places that can cause problems in the production.
Another news from today`s newspapers is
that the tobacco producers may export tobacco by
the latest amendments of the Law on tobacco
which within 10 days shall be delivered to be
reviewed in Macedonian Assembly. Except the
import`s liberalization the Ministry of Agriculture
will recommend reduction of criteria for receiving
purchase permit. Representatives from Farmer`s
Federation, Union`s Agrarians and minister for
agriculture Aco Spasenoski agreed the amend-
ments of the Law.
The president of the World Bank Robert Zolin
warns that the food will maintain the high price on
a longer period, informs Nova Makedonija. This is
a result of the great demand in the world and the
consumption of biofuels as alternative energy.
The food price increase trend of one hand will
bring benefit to developing countries and their
agriculture sectors, but due to expensive food,
many citizens will be feeling the hunger.

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. KRKA WITH A SUCCESSFUL RECIPE FOR THE MACEDONIAN MARKET (*****)
2. MACEDONIA IS A GOOD OPPORTUNITY FOR THE FOREIGN INVESTORS (****)

DNEVNIK LION EURO

p.7 KRKA WITH A SUCCESSFUL RECIPE FOR THE MACEDON- p.6 STATE SHOULD SPEND LESS FOR NO INFLATION
IAN MARKET p.6 THE TOBACCO MARKET TO BE LIBERALIZED
p.10 TEC OSLOMEJ SWITCHED OFF p.6 THE BANKS ARE STOPPING THE ELECTRONIC TRADE
p.10 SAMAK BELIEVES IN MORE INVESTMENTS p.6 THE PATRIOT FISCAL REGISTERS WILL TAKE AWAY 10 MIL-
p.11 SHARE TURNOVER CUT IN HALF LION EURO
p.11 THE WORLD TO LOSE 1.000 BILLION DOLLARS p.6 BUSINESS CENTRE TO BE CONSTRUCTED IN SKOPJE
p.11 THE OIL PRICE IS EXPECTED TO BE REDUCED VEST
BIZNIS p.6 DEFECT IN OSLOMEJ, WE ARE CONSUMING GREEK ELEC-
p.7 MACEDONIA IS A GOOD OPPORTUNITY FOR THE FOREIGN TRICITY
INVESTORS p.8 THE MACEDONIAN TOBACCO WILL BE EXPORTED UNFER-
p.8 THE ECONOMIC DEVELOPMENT OF THE BALKAN IS OVER MENTED
AVERAGE p.8 BUSINESS CENTER WITH THE BIGGEST CONGRESS ROOM
p.10 GASPROM LOSES THE MONOLOLY!? IN A PROCESS OF CONSTRUCTION
p.14 MBI-10 DROPPED BY 4 PERCENT NOVA MAKEDONIJA
p.14 THE VALUE OF THE OFFICIAL MARKET IS 39.252.457, 05 p.1 THE FOOD WILL BE EXPENSIVE FOR A LONG TIME
DENARS p.4 SCISSORS FOR 20 WATER SUPPLY ENTERPRISES
p.14 MBI 10.04.2008 p.9 BALKANS - GOOD FOR INVESTMENTS
p.15 MICRO-BUSINESS CREDITS` PACKAGE BY STOPANSKA p.9 THE GOVERNMENT WILL HAVE A CONVERSATION WITH
BANKA EVN FOR OHIS DEBT
UTRINSKI VESNIK p.9 MACEDONIA AND KUWAIT SIGNED AGREEMENT ON MUTU-
p.7 LOWER STOCK MARKET TURNOVER IN THE FIRST THREE AL PROTECTION AND ENCOURAGEMENT OF INVEST-
MONTHS MENTS
p.7 THE TRADE CREATED THE BALKAN MAGNATES p.9 THE PRIVATE AND THE PUBLIC SECTOR TOGETHER ARE
p.8 THE TOBACCO PRODUCERS WILL FREELY EXPORT THE JOINING FORCES IN CONSTRUCTING THE LOCAL ECONO-
TOBACCO FROM NEXT YEAR MY
p.8 KRKA OPENED DISTRIBUTIVE CENTER p.9 PRESIDENT OF THE CHAMBER OF COMMERCE AZESKI,
VECER VISITS GERMANY
p.6 THE UNPAID ELECTRICITY DRIED UP THE WATER p.9 THE FOOD WILL L BE EXPENSIVE FOR A LONG TIME
p.6 THEY CAME, THEY SAW THEY LEFT p.9 KRKA OPENS NEW BUSINESS CENTER IN SKOPJE
p.6 TPP OSLOMEJ SHUT DOWN SPIC
p.6 KRKA WITH NEW BUSINESS PREMISES p.6 THE FISCAL REGISTERS WILL REMUNERATE THE PRICES
VREME p.6 WATER SUPPLY ALSO IN DARKNESS
p.1 THE PATRIOT FISCAL REGISTERS WILL TAKE AWAY 10 MIL- p.6 TPP OSLOMEJ SHUTS DOWN
14 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.04.2008

11.04.2008 FRIDAY
1. SHORT REVIEW OF EVENTS

Only a day after the defect that happened in
the Thermal Power Plant Oslomej, REK Bitola
was also disconnected from the network, all daily
newspapers inform.
The reason for this is a defect in boiler`s pipe,
and according to ELEM it is expected to be
repaired within the next 40 hours. It is neither
announced how it will be done and whether addi-
tional power quantities will be required due to the
disconnection of the first block of the REK, nor in
which way that would be recompensed.
Furthermore, ELEM informs that after the two-day
technical repair, as of yesterday TPP Oslomej
started producing power again. The news that the
health institutions around the country were saved
from power disconnection, even though they were
only a step away due to the two-million debt, is
also related to the power distribution.
The news that the Croatian company Ingra
has became owner of 51 percent of the capital of
the Skopje Construction Company Mavrovo is
present in all printed media. In only three days
after the public call on shares` purchase, Ingra
came to the dominant parcel together with the
previously held part. In spite of that, the new own-
ers will not stop the shares purchase and will buy
until there are interested shareholders who want
to sell the shares for the price of 2,500 denars per
security, i.e. until the deadline expires.
In the next few months, business activities
will stagnate due to early parliamentary elections
and a withdrawal of some foreign investors could
also be expected until the situation in the country
stabilizes. This is the comment of the business-
men and investment analysts in today`s Dnevnik.
Despite this, the statement of the Vice Prime
Minister Zoran Stavreski that the economic poli-
cies must continue irrespective of the possible
early elections is conveyed in all newspapers. -
We believe that the economic support and the
improvement of the living standard of the citizens
is a priority for this and any other government.
The intensified implementation of the reforms
must continue - Stavreski states.
However, Macedonian Stock Exchange is the
first to react on the announcement for parliamen-
tary elections with drop of the index MBI-10.
According to the comment by Marjan Ivanov, ana-
lyst in Ilirika Fund Management, in todays`s
Dnevnik, foreign investors will not return on the
Macedonian Stock Exchange soon. Elections indi-
cate uncertainty and increase political instability.
One can already see the effect from the continu-
ous drop of the MSE Index.
The concession allocation procedure for the
airports is still running, although the Government
called the Assembly to vote for parliament dis-
missal - is the news that could be read in the print-
ed media. Yesterday, the Government announced
the public call on selection of concessionaire for
the airports in Skopje and Ohrid, as well as for
construction of the new cargo airport in Shtip.
However, the Government stand about this issue
remained undefined.
Vreme and Spic write about the protest by the
employed in the forwarding companies and serv-
ices of the customs terminal in Strumica against
the decision of the Customs Management to close
this terminal, which is distanced 33 kilometres
from the border passage Novo Selo. According to
them, Strumica economy will be affected the most
and 150 families will be left without a job.
Today`s media announce the beginning of the
Ninth Annual Conference of the Macedonian
Stock Exchange that will take place in Ohrid.
This conference has international character
and will be attended by many experts and speak-
ers of the securities market field.

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. THE FIRST BLOCK OF REK BITOLA OUT OF NETWORK (*****)
2. INGRA OBTAINED DOMINANT PACKET SHARES IN MAVROVO (****)

DNEVNIK SUBVENTIONS
p.7 MALFUNCTION IN THE THERMAL POWER PLANTS CON- p.7 THE FIRST BLOCK DISCONNECTED
TROL p.7 EVN DID NOT DISCONNECT THE HOSPITALS
p.12 MACEDONIAN STOCK EXCHANGE FIRST TO REACT p.7 EASTER`S CREDIT
p.12 THE BUSINESS STAGNATES DUE TO ELECTIONS VREME
p.12 AMONG THE LAST IN THE WORLD ACCORDING TO THE p.3 STOCK EXCHANGE STABILIZES
TECHNOLOGIC DEVELOPMENT p.3 THE EARLY ELECTIONS WILL IMPOVERISH THE ECONOMY
BIZNIS p.6 THE TRADESMEN FURIOUS OF THE PATRIOTIC FISCALIZA-
p.1 OFFICIAL MARKET`S PARTICIPATION OF 81.63 PERCENT TION
p.5 THE GOVERNMENT ANNOUNCED PUBLIC TENDER FOR p.7 THE CUSTOMS TERMINAL IS CLOSING
NEW OWNER OF THE AIRPORTS p.7 A GAP ON PIPE IN REK BITOLA MADE A GAP IN THE BUDGET
p.14 MBI STILL DROPS VEST
p.14 FROM 261 TRANSACTIONS, HAVE BEEN REALIZED 37,7 MIL- p.8 ARROGATED THE CUSTOMS TERMINAL IN STRUMICA
LIONS OF DENARS p.14 OIL PRICES STEADY NEAR $111 A BARREL
p.15 NINTH ANNUAL MACEDONIAN STOCK EXCHANGE CONFER- p.14 GOOGLE AND YAHOO TO SHARE WEB ADS
ENCE p.14 AMERICAN AIRLINES CANCELS MORE THAN 1,000 FLIGHTS
p.15 OFFICIAL MARKET`S PARTICIPATION OF 81.63 PERCENT NOVA MAKEDONIJA
UTRINSKI VESNIK p.1 E-SHOPPING IS PRACTICED VERY LITTLE
p.9 AFTER TWO DAYS OF INTERRUPTION TEC OSLOMEJ AGAIN p.6 MACEDONIAN-BULGARIAN INVESTMENT WORTH 10 MIL-
IN OPERATION LION EUROS
p.9 THE FIRST BLOCK OF REK BITOLA OUT OF NETWORK p.6 PETROLEUM WITH NEW RECORD-BREAKING PRICE -
p.9 INGRA NEW OWNER OF MAVROVO 112.21 DOLLARS PER BARREL
p.9 ANNOUNCED PUBLIC CALL FOR CONCESSION OF THE AIR- p.6 INGRA GETS THE MAJORITY PARCEL OF MAVROVO
PORTS SHARES
p.9 THE HEALTH CARE INSTITUTIONS WERE SPARED FROM p.7 ENTERS AUSTRIAN GRAVE IN THE REAL ESTATE BUSINESS
POWER DISCONNECTION p.7 DOLLAR HITS A RECORD LOW AGAINST THE EURO
p.20 MACEDONIAN - BULGARIAN BUSINESS CENTER MEGI p.7 FIRST BLOCK OF REK BITOLA TO BE DISCONNECTED DUE
UNDER CONSTRUCTION TO DEFECT
p.20 THIRD FLOOR WILL BE UPGRADED ON THE CITY SHOP- p.7 VITAMINKA INCREASED THE EXPORT BY 7 PERCENT
PING MALL p.7 PUBLIC CALL ON GIVING MACEDONIAN AIRPORTS UNDER
VECER CONCESSION
p.6 INGRA OBTAINED DOMINANT PACKET SHARES IN MAVROVO p.7 MBI- 10 CURVED LIKE A SNAKE IN TWO WEEKS
p.6 CIVIL SAVINGS BANK CLOSES SPIC
p.6 THROUGH QUALITY STATISTIC TO GOOD ECONOMY p.8 REK BITOLA- OUT OF ORDER
p.6 ELECTIONS WILL NOT STOP THE HEALTHY ECONOMIC p.8 GRAGANSKA STEDILNICA STOPPED WORKING
POLICY p.8 HOSPITALS WILL NOT BE DISCONNECTED FROM POWER
p.7 THE GOVERNMENT IS LOOKING FOR CONCESSIONAIRE p.8 THE TERMINAL IN STRUMICA TO BE CLOSED
FOR THE AIRPORTS p.8 LONG FISCAL DECREES
p.7 THE PRICE OF THE MILK WOULD BE MAINTAINED WITH
 Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
15
12.04.2008 SATURDAY
1. SHORT REVIEW OF EVENTS

Makedonski Telekomunikacii to sack 500
employees with reimbursement of 900 euros for
each year of working span, regardless their work-
ing position-inform all of the today`s print media
issues. In compliance with the program, this
action will only cover the employees with at least
five years of working span. The company has the
right to denying the request for voluntary leave of
the employees who will be regarded as essential
for the work.
An employ can get EUR 22.500 at maximum,
provided the employ has minimum of 25 years
working span. The decision for voluntary leave
program, which was prepared in cooperation with
the company`s syndicate, was adopted at yester-
day`s extraordinary session of the Board of
Directors.
The overall reimbursement budget is ˆ13 mil-
lion, explains Dnevnik.
The stories from yesterday`s trade on the
Macedonian Stock Exchange are carried by
today`s issue of Vreme. MDI-10 index yesterday
suffered a fall of 2,76%. The Index of Publicly
Held Companies, MBID, plunged by 5, 02% while
Bonds Index, OMB, went 0, 05% down. In spite
of the situation of the indices, the Stock
Exchange made great turnover of MKD 182 mil-
lion i.e. EUR 2,95 million. The company ICN
Farm from Skopje suffered greatest share depre-
ciation, 29, 1%.
However, regardless the downward tenden-
cy marked by the stock exchange indices, the
home experts remained optimistic. At yesterday`s
Stock Exchange annual conference, all of them
shared the position that the interest for the
Macedonian companies` shares will be regained,
but they also expressed doubt whether last
year`s price boom will happen again in near
future and with such intensity.
They ground the optimism on the value and
the profitability of the home companies, but with
a dose of restraint due to the unfavorable influ-
ences from the political events in the country.
According to the Director of the Macedonian
Stock Exchange, Ivan Steriov, there are positive
factors that are promising capital market stabi-
lization. He believes that on middle and long
terms, the current financial performances of the
companies are crucial factors.
- The market segment still hasn`t become
positive. The Stock Exchange has kept on its feet
after the first stress tests-he says. The potentials
of the Macedonian Stock Exchange are stored in
the great financial results of the Macedonian
companies for 2007 and the fact that in spite of
the unfavorable information regarding the non-
extended NATO invitation, the turnover remained
at a relatively high level which, according to him,
has reflected into a more mature phase of the
capital market development.
The Macedonian delegation led by Deputy
Prime Minister Zoran Stavreski and Minister of
Finance Trajko Slaveski took part at the Spring
Meetings of International Monetary Fund and
World Bank in Washington. Stavreski and
Slaveski will meet high representatives of the
international financial institutions as Robert
Zoellick, World Bank President, Takatoshi Kato,
Deputy Managing Director of the IMF and others,
informs Nova Makedonija.
The Macedonian delegation will also have
bilateral meetings with representatives of IMF
and WB member countries, as well as with the
Dutch Deputy Prime Minister
Minister of Finance, Wouter Bos, and it will
also attend the regular meeting of the Dutch
Constituency of World Bank and IMF.
Utrinski Vesnik carries the story that the ther-
mal power plant REK Bitola, after 40-hour stand-
still, was reconnected to the network today. The
malfunction in REK Bitola took place only two
days after the electricity production cut off in TEC
Oslomej, also due to defect of a cauldron pipe,
although the plant`s management and ELEM had
informed they were performing technical repairs
of the equipment. These two capacities suffered
series of defects in the past two months and last
year which resulted into electricity production
standstills. However, to date, no official did find
necessary to take responsibility for the bad con-
dition of the equipment in these two key capaci-
ties.
Vest informs about another disconnection of
the Veles smeltery. Two days ago, MEPSO dis-
connected it at the request of the State inspec-
torate of the Ministry of Economy, after an
inspection that established certain technical
irregularities in the two transformer stations that
supply electricity to Veles smeltery and the facto-
ry for artificial fertilizers in Zgropolci. The Energy
Regulatory Commission had also given green
light for power supply disconnection. The Ministry
of Environment appeals to conciliation.
The disconnection of the smeltery won`t
cause ecological disaster, supplements Utrinski
Vesnik.

2.TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. TELEKOM OFFERS REIMBURSEMENT FOR 500 EMPLOYED (*****)
2. THE MACEDONIAN STOCK MARKET WITHSTANDS TO THE STRESS TESTS (***)

DNEVNIK VEST
p.7 THE INTEREST FOR MACEDONIAN SHARES WILL BE BACK p.5 TELEKOM OFFERS 500 VOLUNTARY SACKS
p.7 TELEKOM OFFERS REIMBURSEMENT FOR 500 EMPLOYED p.6 MEPSO DISCONNECTS THE VELES SMELTERY
p.7 STAVRESKI AND SLAVESKI ON MEETINGS WITH THE IMF p.6 THE FOREIGN INVESTORS ARE STAYING WITH THE STOCK
AND WITH THE WORLD BANK MARKET
UTRINSKI VESNIK NOVA MAKEDONIJA
p.4 THE FAULT IN REK BITOLA IS NOT LEAVING THE COUNTRY p.5 900 EUROS REIMBURSEMENT FOR EACH YEAR OF WORK-
WITHOUT ELECTRICITY ING SPAN
p.6 THE SMELTERY IS LEFT WITHOUT ELECTRICAL CHARGE p.5 OIL FALLS ON WORLD MARKETS
p.7 MAKTEL OFFERS SEND-OFF REIMBURSEMENTS FOR 500 p.5 VDS MAGMA - NEW INSURANCE BROKER
EMPLOYEES p.5 DEPUTY PRIME MINISTER STAVREVSKI AND MINISTER
p.7 MBI 11.04.2008 SLAVEVSKI IN WASHINGTON
p.9 THE MACEDONIAN STOCK MARKET WITHSTANDS TO THE p.6 FOREIGN INVESTORS REMAIN ON MACEDONIAN CAPITAL
STRESS TESTS MARKET
VECER p.6 PRICE OF ELECTRICITY REACHES RECORD BREAKING
p.6 RUSH FOR STOCKBROKER'S LICENSE LEVEL
p.6 RECORD BREAKING PRICES OF THE ELECTRICITY p.6 UNI BANK WITH NON-IMPRESTED CREDIT FOR CITIZENS
p.6 THE APPEAL OF TELEKOM REJECTED SPIC
p.7 MEPSO DISCONNECTS THE VELES SMELTERY p.1 FAULTED TRANSFORMERS, MORE ELECTRICITY
p.7 REIMBURSEMENT FOR 22 500 EUROS FOR OVER 25 YEARS p.5 FAULTED TRANSFORMERS, MORE EXPENSIVE ELECTRICI-
OF PRACTICE WORK TY
VREME p.5 500 EMPLOYEES WILL LEAVE FROM TELEKOM
p.6 REALIZED TURNOVER FROM AROUND THREE MILLIONS OF p.5 THE NEW FISCAL REGISTERS ARE WASTED MONEY
EUROS p.5 TRANSPARENCY: THE ANTICORRUPTION COMMISSION IS
p.6 TO ANNUL THE RESOLUTION FOR FISCAL RECEIPTS SELECTIVE
p.7 WE BORROW ELECTRICITY FROM GREECE AGAIN
16 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
1. SHORT REVIEW IN THE WEEKLY MAGAZINES
KAPITAL
Page 10 GROUP OF INVESTORS IN SMALL HYDRO-POWER
PLANTS ESTABLISHED
Group of investors in small hydro-power plants (MHEC) was yesterday
established in the Economic Chamber of the Republic of Macedonia.
Page 10 BRITISH BUSINESSMEN DO NOT CARE IF MACEDONIA
ENTERS NATO
The first annual Assembly of the British Business Group (BBG), which
sends a message to British businessmen that give no importance to
Macedonian failure to enter NATO, was held last week.
Page 10 MACEDONIAN HUNTING GROUND UNDER CONCESSION
The preparation if the condition for hunting management, according to
which hunting ground will be given under concession, is in process, officials
in the Ministry of Agriculture, Forestry and Water Economy.
Page 10 AUSTRIAN GRAWE ENTERS THE REAL ESTATE BUSINESS
Austrian insurance company Grawe founded real estate company in
Skopje, named Grawe Real Estate.
Page 10 VDS MAGMA - NEW INSURANCE BROKER
VDS Magma Skopje is the name of the new insurance brokerage com-
pany on Macedonian market of insurance services.
Page 11 AUSTRIAN EVN FOUNDED COMPANY FOR MANAGEMENT
SERVICES
Austrian group EVN founded management services company, named
EVN Macedonia Holding this week.
Page 11 LUKOIL OPENS TWO NEW GAS STATIONS
Russian company Lukoil opened new gas station in Stip last week.
Page 11 MACEDONIAN WINES SUCCESSFULLY PRESENTED ON
PROWIEN FAIR IN GERMANY
By the support of USAID AgBiz Program, three Macedonian wineries -
Bovin, Skovin and Popova Kula, took part on the most important fair venue
of wine in Europe.
Page 24 GRANIT`S SUCCESS IS MY PERSONAL CHALLENGE
Straso Milkovski is one of the few managers in Macedonia, who man-
aged to make brand of the name in the public and be recognized by the
name of the company they manage.
Page 31 BALANCE BETWEEN THE PROFIT AND SUSTAINABLE
DEVELOPMENT
Can company from transitional emerging economy, such Macedonian,
be a model to much bigger companies, from much more developed coun-
tries, when it comes to application of principles of corporative social respon-
sibility?
Page 32 HOW DID MAKSTIL BECOME SOCIALLY RESPONSIBLE
COMPANY
The project Steel with Macedonian Sun started in 2000 in order of
increasing of the awareness for the basic values and principles in the frames
of clear environment - utility for all, and in 2001 arrives European Steel Star,
promoted on the Second Working Session for Economic Reconstruction,
Development and Cooperation in the frames of Stability Pact.
Page 36 GREEK VETO DEFLATES THE "BALLOON" FOR SPRING
BOOM ON MSE
In the past three months there was no investor on MSE who hoped that
Macedonian NATO invitation will be crucial for the growth of his shares.
Page 38 MACEDONIA OPENS THE SEASON OF STOCK EXCHANGE
VENUES IN THE REGION!
More than 200 participants from the country and the region are expect-
ed to arrive in Ohrid on the ninth in a row MSE Annual Conference.
Page 43 TOPLIFIKACIJA GAINS 19 MILLION EUROS PROFIT LAST
YEAR
Date 14.04.2008
07.04.-12.04.2008 MONDAY-SATURDAY
According to records of the financial report on last year, Toplifikacija
realized total incomes of around 33 million euros, i.e. 2,024 billion denars.
Page 43 VITAMINKA MAKES 7% EXPORT GROWTH LAST YEAR
Food industry Vitaminka Prilep closed last year at 7% export growth and
sell growth on domestic market of 12%, financial records on company`s
operations established on its web site, shows.
Page 44 MICRO BUSINESS CREDITS FOR SMALL AND MEDIUM
COMPANIES
Recently Stopanska Banka extended its credit products with new credit
line for small and medium companies.
Page 45 AUSTRIANS TO ATTACK ON THE HEALTH INSURANCE
BUSINESS
Austrian Insurance Company Unica Group last week in Skopje
announced the take over of 45.6% of the capital of Albanian Insurance
Holding Sigal, which has daughter-company in Macedonia, and practically
entered the Macedonian market.
Page 47 TRADE DEFICIT IN THE FIRST TWO MONTHS IS 414.7 MIL-
LION DOLLARS - COMPARED TO THE SAME PERIOD LAST YEAR, THE
DEFICIT IS 73% HIGHER
The amount of Macedonian trade in the first two months of 2008 is
42.2% higher compared to the last year trade, State Statistical Office
announced.
Page 48 DELTA BECOMES THE MAIN PARTICIPANT ON THE REAL
ESTATE MARKET
Following the buying of Hotel Continental and Business Apartments
Complex for 149 million euros, Delta Company, owned by Serbian business-
man Miroslav Mishkovic, announces extra investments in reconstruction of
the hotel, which after the renovation was renamed in Crown Plaza
Page 52 IMF AND WB HAVE DIFFERENT FORECASTS ON WORLD
ECONOMY
The absence of strong domino effect following emerging of the financial
crisis in the developed world represents "obvious risk" compared to the past
and shows that China, India and other developing countries start to have
important role on the international market, Robert Zoelick, President of the
World Bank, says.
MAKEDONSKO SONCE
Page 28 AUTOMOBILE SPRING IN MACEDONIA
Quite normally, in such occurrences when domestic public was legiti-
mately oriented towards politics and developments on our NATO accession
(which, unfortunately, did not happened), some events emerged on econom-
ic plan, which were imaginable few years ago.
FORUM
Page 26 DURABLE CAPITAL FOR COMPANIES
Why companies should issue new securities, which are the acquisitions
of collecting fresh capital and what is the practice in the developed market
economies?
Page 29 THE BOOM IN THE CONSTRUCTION INDUSTRY IS YET TO
COME
Few days ago, Skopje old shopping center Tipo was rearranged and
renamed - City Gallery. The most meritorious man is the one who brought
many famous world fashion brands in the country.
Page 31 PSYCHOLOGICAL BREAKDOWN
Macedonian citizens will remember the first stock exchange week in
April by negative outcome following the veto on our accession in the
Assembly, and participants on the capital market by the historic record break-
ing fall of Macedonian stock exchange index ever since its establishment on
the 1st of January.
Page 32 THERE ARE INVESTMENTS EVEN WITHOUT NATO
Failing to receive NATO invitation has no importance for the investors,
because British companies, such as Johnson Matthey, are already here.
 Date 14.04.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
PAST WEEK IN THE TOKEN OF...
The visit of International Monetary Fund's
mission, energy and foreign investors are the
sectors in the country which, because of the
events that were going on in them, were in the
focus of the print media's interest.
The papers reported that monetary experts
commended the economic growth and the
progress of Macedonia, but also that they rec-
ommended increase of interest rates and limit-
ed spending of the budget. They think that to
stop inflation the measures the monetary policy
took were not enough, but that the Government
too should intervene with the fiscal policy. IMF
finds it incomprehensive how the country can
pay the companies' the expensive electricity
import. Electricity price is among the lowest in
the region, and the expenses for its import this
year will most probably be much bigger than it
was planned. This leads to increase of the
financial losses, because of what the
Government has to react with the fiscal policy
and, the Central bank with the monetary instru-
ments to stop the further prices increase. Within
the IMF's visit was also the stay of Josef Breda,
university professor from the USA, who thinks
that the oil price increase on the world's stock
markets is one of the reasons because of which
the Government cannot save us from inflation.
The American professor, who is also advisor of
Finance Minister Trajko Slaveski, thinks that not
getting an invitation for NATO membership will
have no consequences for Macedonian econo-
my nor will negatively affect the foreign direct
The acquisition of Mavrovo by the Croatian
company Ingra is at its end
The members of the board of directors and
the supervisory committee of ADG Mavrovo-
Skopje, who are owners of ordinary shares
issued by the company, are planning to accept
the offer for purchase of ordinary shares made
by the Croatian company Ingra, considering the
experience and the business situation of the bid-
der, which derives from working in similar fields,
the proposed development strategy and the
financial potential of the bidder.
As it is mentioned in the Argument published
on the website of the Macedonian Stock
Exchange, an opinion regarding the Offer for
purchase of ordinary shares was adopted on the
session of the board of directors, held on
07.04.2008. The board of directors of ADG
Mavrovo from Skopje confirms that negotiations
with Ingra from Zagreb were led, regarding the
submission of offer for purchase of 154,210 ordi-
nary shares issued by ADG Mavrovo. The bidder
Ingra submitted an intention for purchase of ordi-
nary shares issued by ADG Mavrovo. The legal-
ly projected documentation for submission of a
request to the Securities and Exchange
Commission of the Republic of Macedonia for
issuing of a permit for purchase offer was pre-
pared in the legally projected deadline. After
obtaining of Solution from the Securities and
Exchange Commission of the Republic of
Macedonia, with which, Ingra is allowed to sub-
mit an offer for purchase of securities, the
number 18
Macedonia is good chance for foreign investors
investments.
The confirmation for this opinion came very
quickly. On the first Macedonian Conference for
Suppliers and Investments, organized by this
corporation, the Government and USA and
Great Britain's embassies, deputy-president of
the Board of Directors of General Dynamics,
Nick Fermor, said that big multinational compa-
nies need real partnerships with companies
from countries like Macedonia in order to sup-
port the wider economic growth. Minister Vele
Samak pointed out that in our engagement for
attracting foreign investments, -we strive in
attracting the biggest production and service
companies. General Dynamics is one of the
four biggest defense industries in the world,
and it also has commercial aspects. In their visit
of Macedonia they saw the long-term interest
with us, so we had mutual activity as to how to
find a way to strengthen Macedonian economy,
together with their investment plans. We saw
mutual interest for mutual promotion, in order to
find solutions both for General Dynamics and
Macedonia.
From the investment sector among the
most covered was the opening of distribution
center of Slovenian pharmaceutical company
Krka, which with its line of 120 medicines pres-
ent in the country, collects about 10 million
euros yearly.
Prospect for purchase of ordinary shares issued
by ADG Mavrovo - Skopje was submitted to the
board of directors of Mavrovo.
Before initiating of the procedure for taking
over of ADG Mavrovo, in accordance with the
Law on taking over Joint Stock Companies, the
bidder Ingra purchased 56,802 shares, which
represent 26.92% of the total number of issued
shares by Mavrovo-Skopje, with which, the bid-
der practices the right of securities in accor-
dance with the Statute of ADG Mavrovo and the
Law on Trade Companies. The board of directors
of ADG Mavrovo supports the bidder Ingra in the
intention for taking over of the company and it
feels that the successful realization of the offer
for purchase will have a positive effect on the
interests of ADG Mavrovo and only positive
implication over the employees in terms of their
personal improving. The strategic plans of Ingra
about ADG Mavrovo are in a direction of devel-
opment of the company and enlargement of the
current business activities.
According to the recent audited report of
ADG Mavrovo-Skopje, in 2006, the company
realized incomes from constructive works and
other incomes in the amount of 2,092,372,000
denars and outcomes of constructive and other
operative outcomes in the amount of
2,086,596,000 denars, leaving the company with
a profit of 5,776,000 denars.
The audit of the financial reports was carried
berzNIK
17
Although it announced tender on coal sup-
ply for the thermal power stations Oslomej and
Bitola, ELEM gave up the election of most
favorable offer. According to them, the reason
was that the import would cause increase of the
electricity price for the households, while
according to some papers canceling the tender
was due to the reason that the company that
was favored to winning the tender didn't offer
lowest price for ton of coal. At the same time,
within only two days, both thermal power sta-
tions went out of the electro-energetic system.
Officially, Oslomej was shut down because of
preparations for the regular annual May repair,
and REK Bitola because of defect, which is
expected to be repaired as soon as possible…
This week was formed the Group of investors of
small hydroelectric power plants, through which
will operate the companies that received loca-
tions for construction of small power stations on
the first tender.
Among the top news this week was also the
news that Croatian Ingra became owner of the
dominant share package of construction com-
pany Mavrovo.
The new owners will continue purchasing
shares as long as there are interested share-
holders who want to sell their securities.
out by Macedonian Audit Center LTD and the
same refrained from an opinion for the consoli-
dated financial reports of the group ADG
Mavrovo.
The total assets in 2006 were 3,875,292,000
denars. The total shareholders' capital and
reserves was 648,141,000 denars.
The accumulated loss was in the amount of
150,660,000 denars, wherewith the total equity
of the company was in the amount of
497,481,000 denars. The bookkeeping value of
ordinary voting shares from 31.12.2006 was
2,358 denars per share.
New members of the Stock
market exchange
Two other members have joined the
Macedonian stock exchange. The terms for
membership in accordance with the Principles
of membership in the Macedonian Stock
Exchange AD Skopje had fulfilled the broker-
age firms MOJ BROKER AD SKOPJE and
PEON BROKER AD SKOPJE, which, on
basis of the decisions for starting using the
principles for membership in the stock
exchange, will start trading on 8 April the fol-
lowing year. The brokerage firm MOJ BRO-
KER AD Skopje will trade through the BEST
system under the code MO, while the broker-
age firm PEON BROKER AD SKOPJE will
start trading through BEST system under the
code PE.
18 berzNIK number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.04.2008

W E E K LY R E V I E W O F M A C E D O N I A N S T O C K E X C H A N G E
period 07.04. - 11.04.2008
Date 14.04.2008 number 18
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
19