Month: December 2008

ARMENIAN FOREIGN MINISTRY DISPROVES INFORMATION ABOUT MEETING OF FOREIGN MINISTERS OF ARMENIA, TURKEY AND AZERBAIJAN AT THE BEGINNING OF 2009

ArmInfo
2008-12-26 15:29:00

ArmInfo. Armenian Foreign Ministry has disproved the information
about the trilateral meeting of foreign ministers of Armenia, Turkey
and Azerbaijan at the beginning of 2009, the head of press-service
of Armenian Foreign Ministry Tigran Balayan told ArmInfo correspondent.

To recall, Turkey’s Ambassador to Azerbaijan Hulusi Kilich said in
Baku that the three ministers will meet in January-February of the
next year.

TURKISH AMBASSADOR TO AZERBAIJAN: TURKISH NATION DID NOTHING TO APOLOGIZE AND WOULD NOT APOLOGIZE TO ANYONE

ArmInfo
2008-12-26 10:24:00

ArmInfo. Turkish nation did nothing to apologize and would not
apologize to anyone, Ambassador of Turkey to Azerbaijan Hulusi Kilic
said at a press- conference in Baku yesterday when commenting on
the campaign of apology to Armenians having been recently launched
in Turkey.

As APA reports, he said those who joined the campaign were
wrong. Touching on the Nagorno Karabakh conflict settlement, Kilic
said Turkey wanted a soonest solution to the Nagorno Karabakh conflict
and would always support Azerbaijan in this issue.

‘CONVERSE BANK’ TO COMPLETE YEAR 2008 WITH PROFIT OF 2.5 BLN DRAMS

ArmInfo
2008-12-26 14:59:00

ArmInfo. ‘Converse Bank’ schedules to assure the balance sheet
profit of 2.5 bln drams upon the results of 2008, with almost 40%
excess of the last-year indicator, Director General of ‘Convesre Bank’
Ararat Ghukasyan said today when replying to ArmInfo question during
a press-conference timed to summing-up of the year results.

He said the bank increased the credit portfolio in 2008 by 36% up to 42
bln drams as of late November. Moreover, the consumer credit portfolio
of the bank grew by 17% to 7.4 bln drams, mortgage portfolio – by 80%
to 5 bln drams. As A. Ghukasyan said, the current year turned out to be
critical as regards increase of the agriculture crediting volumes. So,
the agricultural credit portfolio of the bank has grown by 130% since
the beginning of the year having exceeded 1 bln drams. ‘We managed
to generate the relevant package of tools for financing of small
private economic subjects. In general, 900 mln drams out of the total
agricultural credit volume were granted due to the bank participation
in the international programmes, while credits to 100 mln drams were
extended at the cost of the bank’s own funds’, A. Ghukasyan emphasized.

Moreover, he said, the bank has become more active this year in
crediting of small and medium-sized business (SME) and assured 17%
portfolio growth. ‘We are going to increase the specific weight of SME
credits in the bank’s total crediting portfolio as both at the cost
of participation in international programmes and at the cost of own
resources and the funds of the recently issued bonds’, he said and
added that the bank’s credit portfolio on SME makes up about 5.5 bln
drams. At late December, 2008, ‘Converse Bank’ joined the programme
of the European Bank for Reconstruction and Development valued at $10
mln to be directed to SME financing in the Armenian villages as well.

According to A. Ghukasyan, The European Bank will provide financing
by two equal tranches ($5 mln each), the first of which will be
expectedly received in early, 2009. As the banker said, increase of the
credit portfolio given to SME will allow, first, to more diversify the
crediting spheres that, in its turn, will reduce the risks. Second, it
will lead to increasing of the workplaces and formation of more stable
basis for the economic development of the country. ‘However, we are
not going to tighten the conditions of crediting of small business,
however, SME crediting terms will be more attractive’, A. Ghukasyan
emphasized. He added that changing of the interest rates on credits
and deposits towards increasing by 1-1,5 % was observed during the
year both in the Banking market in general and in the "Converse Bank".

According to the data of ‘Conversee Bank’, the total bank capital
as of November 30 made up 13 bln drams , assets – 64.7 bln drams ,
liabilities – 51.7 bln drams. Converse Bank shareholders are Advanced
Global Investments controlled by Eduard Eurnekyan (95%) and Armenian
Apostolic Church Cathedral (5%), The bank has been operating since
1993.

‘CONVERSE BANK’ DIRECTS 500 MLN DRAMS TO IMPROVEMENT OF THE WORK CONDITIONS AND TECHNOLOGICAL BASIS IN 2008

ArmInfo
2008-12-26 14:58:00

ArmInfo. ‘Converse Bank’ directed 500 mln drams to improvement of
the work conditions and technological basis in 2008. As director
General of Converse Bank Ararat Gukasyan told journalists today,
this sum was directed to repairing of the branch offices and buying
modern equipment and technologies.

‘New servers have been implemented in the bank on the basis of
modern technologies. This gives an opportunity to our clients to
make operations more operatively’, – he said. Converse Bank has
got 25 offices, 13 of which have been functioning in the regions of
Armenia. At the beginning of December the number of cash machines of
the bank amounted to 41, 10 of which in the regions.

The bank has been functioning since 1993. Its shareholders are:
‘Advanced Global Investments’, owned by the Argentinean businessman
Eduardo Eurnekian (95%) and Cathedral Church of Armenian Apostolic
Church (5%).

CONVERSE BANK PLACES FIRST 300 MILLION DRAMS TRANCHE OF OWN BONDS AHEAD OF TIME

ArmInfo
2008-12-26 14:56:00

ArmInfo. Converse Bank has successfully placed tie first tranche
of 10,000 nominal coupon bonds for 300 million drams ahead of
schedule. Converse Bank Deputy Director General Tigran Davtyan told
media Friday the placement launched on 16 December was to be completed
on 14 January 2009.

He said 29 individuals and legal entities have acquired the first
issue of bonds. In general, a total of 1.5 billion drams bonds were
issued that will be placed by 4-5 tranches within 2009. Capital Asset
Management is the underwriter. Maturity of the bonds is 3 years,
the annual yield is 10.64%.

The total number of issued bonds is 50,000 with 30,000 face values
each. The coupon payments will be made once in a quarter after the
placement.

Converse Bank shareholders are Advanced Global Investments controlled
by Eduard Eurnekyan (95%) and Armenian Apostolic Church Cathedral
(5%), The bank has been operating since 1993.

ARMENIAN CASCADE BANK PRESENTS MASTER CARDS TO STUDENTS ON NEW YEAR’S EVE

ARKA
Dec 25, 2008

YEREVAN, December 25. /ARKA/. Armenian Cascade Bank presented Master
Cards to students and the faculty of the Economics Department of
Yerevan State University and all the students of Yerevan Economics
University on the New Year’s eve.

The bank’s press service reports that the cardholders are entitled
to 50% discount in over 150 trade and service centers cooperating
with the bank in the country. They can use the cards also abroad if
they deposit money on the card accounts. The actions will continue
till the end of this year, and all students wishing to obtain plastic
cards of Cascade Bank are welcome to apply to the bank headoffice or
to the branch offices, says the report.

The aim of the action is not only to support students to take advantage
of modern financial services, but also to provide public awareness
about non-cash payment instruments and increase the volume of non-cash
payments, said Executive Director of Cascade Bank Aharon Levonyan.

Cascade Bank Board Chairman Jonathan Stark, in his turn, sad that the
bank is happy to give the presents. Today’s students are tomorrow’s
leaders, he said.

The cards will allow the students receive bursaries in noncash form,
Stark said stressing that the same discounts are applied for these
cards of Cascade Bank as for the others.

When the bank’s new clients complete their education and start working,
the cards will give them additional advantages in receiving credits
and overdrafts, Stark said.

Cascade Bank closed joint stock company was founded on May 26 2005 when
Cascade Capital Holdings purchased 100% of the shares of Emporiki Bank
(Armenia). The Bank cooperates with the EBRD on micro-loan program. In
December 2006, Millennium Challenges – Armenia Fund selected Cascade
Bank for servicing of its account under a $236mln worth five-year
program of U.S. Government’s assistance to Armenia.

As of the end of September 2008, total capital of the bank was 5.1bln
Drams, assets were 13.9bln Drams; the bank’s net profit amounted to
192mln Drams in January-September 2008.

According to the information of ARKA News Agency, Cascade Bank has
the 18th largest assets in the banking system of Armenia and is the
17th in terms of liabilities, total capital and net profit in the
current period.

($1=308.35Drams).

ARMENIAN PRESIDENTIAL SUPERVISORY SERVICE RECEIVES 10,000 COMPLAINTS IN LATTER HALF 2008

ARKA
Dec 26, 2008

YEREVAN, December 26. /ARKA/. The RA Presidential Supervisory Service
received 10,000 complaints in the latter half of this year – 2.5
times as many as in the latter half of last year.

Head of the Service Hovhannes Hovsepyan said that the reason for a
larger number of complaints is not only the efficiency of the Service,
but also the public confidence in the Armenian President.

About 25% of the complaints concern the Yerevan Municipality, 17%
the judicial system, and about 16% deal with social problems.

Hovsepyan also reported that positive decisions were made on 37.1%
of the complaints, which is a good result. Hovsepyan also said that
some of the complaints are ungrounded ones and no legal decisions
case be made on them.

"As a result of inspections conducted in the latter half of this year
the Service revealed violations to the amount of over 1bln AMD, with
several hundred million drams having been transferred to the budget,"
Hovsepyan said.

He pointed out that the Service will continue serving the law to
ensure the rule of law in Armenia.

Hovsepyan said that the Service reports all the facts of violations
to the President, and all the lawbreakers, including officials,
will be punished.

"We do not feel any pressure. Rather, we are trying to help to all
those filing comp laints top us, including the ones about officials,"
Hovsepyan said.

He pointed out that, as a result of the inspections, the heads of a
number of local departments of the Real Estate Register, as well as
the head of the transport department of the Yerevan Municipality and
a number of school headmasters, were relieved of their posts.

The RA Presidential Press Service exercises supervision over the
execution of the President’s decrees and orders, Government’s
resolutions by officials and local government bodies.

ARMENIAN LAWMAKERS AGREE TO INCLUDE AIR TAX IN AIR FARE

ARKA
Dec 25, 2008

YEREVAN, December 25. /ARKA/. Armenian National Assembly amended laws
on state duty and an aviation on Thursday.

Aharon Chilingaryan, deputy chairman of State Revenue committee, said
the amendments imply inclusion air duty in the cost of air tickets.

The duty will be taken by the company selling tickets and sent to
the state budget, if flights are regular.

In the event of not regular flight and flights operated by the foreign
companies having no offices in Armenia, the duty will be taken by
the company exploiting the airport.

The amendments abolished state duty preferences for everybody,
including persons having diplomatic passports.

Instead, lawmakers decided to exempt passengers of short-distance
flights (up to 450 kilometres) from state duty.

Ara Nranyan, member of National Assembly’s economic committee, said
that it was proposed to abolish or reduce the air fee from present
AMD 10,000 to AMD 6,000.

But the MP thinks it would be wrong to do it right now, amid the
financial crisis, especially taking into account that this tax adds
AMD 7 billion every year to the state budget.($1 – AMD 308.35).

ARMENIAN PARLIAMENT GIVES FIRST READING TO BILL ON YEREVAN

ARKA
Dec 26, 2008

YEREVAN, December 26. /ARKA/. The RA National Assembly (NA) adopted the
first reading to the bill on Yerevan’s local government. According to
the RA Deputy Minister of Territorial Administration Vache Terteryan,
the parliament gave the first reading to the bill in December 2007,
but during parliamentary hearings many proposals were made concerning
the bill.

The bill will be given the second reading after adding new articles
to it, he added.

Among major amendments is the removal of the expression "on territorial
administration", Terteryan said, pointing out the amended document
is in line with the European Charter on Local Governments.

MPs have proposed changing principles of calling up standing committees
of the Deans’ Council of Yerevan. The law will be annexed with an
article on Yerevan Mayor’s functions and the protection of public
order.

The bill introduces a new system of local governments and changes the
status of Yerevan, the city changing from a region to municipality. The
document also provides for the principles, bases and authorities of
Yerevan’s local governments and territorial administration.

The bill regulates financial and legal issues related to the
functioning and establishment of local governments.

The city’s administrative division undergoes changes, with 12
administrative regions replacing the current 12 distr icts.

The Mayor appoints heads of administrative regions, with each region
having its Council of Deans. The number of the council’s members will
depend on the number of residential population.

The bill provides for the establishment of a 65-member Council of
Deans in Yerevan. After the adoption of the law, the Council of Deans
is to elect the Mayor.
From: Baghdasarian

CONVERSEBANK TOTAL CAPITAL INVESTMENTS EXCEED $500MLN THIS YEAR

ARKA
Dec 26, 2008

YEREVAN, December 26. /ARKA/. The total capital investments of
Conversebank exceeded $500mln this year, said the bank’s Executive
Director Ararat Ghukasyan.

"The financial means were spent on renovation of the bank’s branches,
as well as on purchase of new equipment and information technologies,"
he told reporters on Friday.

Ghukasyan noted a number of central issues will be settled soon.

"New servers are installed in the bank on the base of new information
technologies which speed up the process of transactions and
operations," he said and expressed his assurance that the customers
have already felt the difference.

The Conversebank CJSC was incorporated in Armenia on December 20, 1993.

Eduardo Ernekyan, an Argentina-based Armenian businessman purchased
the bank’s 95% shares last February. The other 5% is held by the
Armenian Apostolic Church.

The bank’s assets reached 63.9bln AMD this October 31, total capital
13bln AMD, liabilities 50.9bln AMD.

According to ARKA News Agency this Q3 Conversebank is the sixth in
terms of assets, crediting, liabilities, capital, third in terms of
total deposits from individuals and legal entities and the fifth in
terms of profits in Jan-Oct.

Conversebank has 25 branches with eight of them being in Yerevan. ($1 –
308.50AMD).