Author: Kalantarian Kevo

Trade secrets of oldest family firm in US

7 June 2012 Last updated at 00:12

By Kim Gittleson BBC News, Massachusetts
[image: Avedis Zildjian]
Avedis Zildjian, who emigrated from Turkey to the US

Nearly 400 years ago, in 1623, Avedis Zildjian founded a
cymbal-manufacturing company in Istanbul.

Now run by 14th generation family member Craigie Zildjian, along with her
sister Debbie, the company has outlasted empires, survived a move overseas
to the US, and thrived during the economic turmoil of the Great Depression
and two World Wars.

Today, the company controls 65% of the world’s cymbal market, and took in
more than $50m in revenues last year.

But for the Zildjians, it’s more than just a business.

Walking through the halls of the Zildjian factory in Norwell,
Massachusetts, is like getting a front row seat to music history.

The hallways are lined with photos of famous drummers such as Ringo Starr
and Roy Haynes. Jazz drummer Buddy Rich’s drum kit is preserved in full.

Drummers of all stripes often arrive to test the Zildjians’ latest cymbals
– there’s even a special pressurised room that can re-create the acoustics
of concert venues around the country.

Yet musicians are a fickle bunch, and the music industry is constantly in
flux.

So what are the Zildjians’ secrets to staying in business for nearly
four centuries?

First off, there’s the literal secret – the special alloy of copper,
tin, and silver that gives the Zildjian cymbals their world-renowned
sound.
[image: Craigie and Debbie Zildjian stand in front of a photograph of
Avedis Zildjian] Sisters Craigie and Debbie Zildjian now lead the family
business

It’s a proprietary mix that Avedis Zildjian brought over with him from
Turkey and handed down from generation to generation of Zildjians – and
only to Zildjians.

At the Norwell factory, there’s a special room that only a few people have
access to, where the alloy is mixed by a trusted handful – even the
company’s head of research and development doesn’t know what goes into the
mix.

Craigie and Debbie weren’t trusted with the secret until they were in their
mid-30s and deemed sufficiently committed to the company – and they, too,
have decided to keep the secret from their daughters for a few more years.
Family rules

But beyond the legend, there are other tricks and best practices that the
Zildjians say have allowed them to keep the business in the family.

Every Zildjian who wants to work in the family business must get a college
degree, preferably in business. They also must intern while in high school
or college, to get a taste of the company’s standards.
[image: Cymbals being tested at a Zildjian factory] Zildjian makes its
cymbals from a secret blend of metals

But come graduation, don’t expect a job with the company right away, say
Craigie and Debbie.

Another rule requires family members to work elsewhere to get experience
outside the company.

Even once they join the company, as Debbie’s daughter Cady recently did,
strict rules ensure that a family member never reports to another. This,
says Craigie, is simply just best practice – family business or not.

Beyond that, though, there are a few quirky rules that the sisters have
instituted.

“One of the things we’ve always done is we have never had spouses involved
in the business,” says Debbie Zildjian.

She jokingly adds another rule: “We’ve always encouraged our daughters not
to get involved with musicians, especially drummers.”
Global phenomenon

There are more than 20 million family businesses in America,
contributing an estimated $5.9tn to the US economy annually, and
employing more than half of the country’s workforce. [image: Cymbals
being manufactured] Zildjian produces all its cymbals at US factories

Globally, family businesses are extremely prevalent, and contribute an
estimated 70% to global GDP, according to the Family Firm Institute.

Yet despite their prevalence – or perhaps because of it – very few family
businesses last more than three generations. Those that do, however, make
up the lion’s share of some of the world’s oldest companies.

“Only about 16% of all companies that are started last a full generation,”
says Harvard Business School Professor John Davis.

“Most companies that have a good life for a while don’t make it very long.
But of those that do survive beyond one generation most of those are family
companies.”

Future challenges

Still, family businesses in the US tend to be criticised for not focusing
on shareholders and quarterly profits. To a certain extent, the Zildjians
say that’s true.

“That’s one of the advantages of a privately-held business, whether it’s a
family business or not,” says Craigie Zildjian. “You’re allowed to think
long term. You don’t have to play to the market.”

“It’s our name,” adds Debbie, who says it’s not just profits that matter,
but business reputation and identity.

While Zildjian cymbals have been adapted to suit everyone from Ottoman
sultans to the Beatles, their most trying days may be ahead.

Electronic music presents a test for the company, whose business model is
based on acoustic music. To compete, the Zildjians recently introduced a
line of electronic cymbals.

While the move may seem odd to some observers, Debbie and Craigie cite the
company’s history of risk taking.

“[The famous jazz drummer] Gene Krupa told Avedis to make thinner cymbals,”
says Craigie. “That was the emergence of the drum kit as we know it today.
They had to adapt the cymbals to the kit.

“Our name – Zildjian – means son of a cymbal-maker. So that’s what we do –
that’s our name.”

Hillary Clinton promises NATO membership to Georgia

news.am
June 05, 2012 | 13:00

U.S. Secretary of State Hillary Clinton said Washington will continue
assistance to Georgia in the field of security and defense and
supports country’s NATO membership.

The Secretary spoke at the opening of the U.S.-Georgia Strategic
Partnership Commission plenary session in Batumi, Georgia.

Georgia is strategic partner of U.S. as regards the issues of regional
and world security. She stressed that increase in combat readiness of
Georgia and matching it with NATO standards continues within the
framework of agreement reached by both countries’ presidents, Gruziya
Online reports.

`We continue educating and equipping the Georgian army which
participates in the operation in Afghanistan, therefore increasing
combat readiness of Georgia,’ she said.

She reiterated Washington’s support for Georgia’s integration into NATO.

Matthew Bryza to work at SOCAR’s Turcas Petrol company

18:06 – 07.06.2012

Board chairman of the company Erdal Aksoy said that 3 new members were
appointed to the board. One of them is Matthew Bryza: `One of our
members will be former U.S. ambassador to Azerbaijan, Deputy Assistant
Secretary of State for European and Eurasian Affairs Matthew Bryza. We
believe he will contribute to realization of new projects in the near
regions’.

Aksoy noted that the main goals of the company by 2015 – investments
in local and alternative energy, creation of energy bourse,
realization of productive energy projects with the neighboring
countries.

Note that, Turcas Petrol and SOCAR are the founders of Petkim company.
SOCAR has recently bought the shares of Turcas company.

APA, Azerbaijan
June 10 2012

Sergei Lavrov as an example of solving the problems of Syrian pointed
to the Nagorno-Karabakh conflict

[ 10 Jun 2012 00:23 ]

Moscow. Farid Akbarov-APA. “Russia sees no alternative to the `Annan
plan’ on the solving Syrian conflict’, – Russian Foreign Minister
Sergey Lavrov said in a brfing, APA’s Moscow correspondent reports.

He said the only way out of the Syrian crisis is the full
implementation of the Annan Plan “for a peaceful solution to the
conflict we see no other alternative. `What is happening in Syria, the
destruction of the civilian population must be stopped. For this
purpose, foreign players must create conditions for dialogue between
the government and the opposition of Syria”, – he said.

Lavrov said that the war is not the way to resolve such conflicts:
“Such conflicts should be resolved through negotiation and external
players do not have to keep it. On the contrary, they should help to
create a dialogue mode. It is part of the conflict must come to an
agreement among themselves. As an example, we can show the
Nagorno-Karabakh conflict. In the Nagorno-Karabakh the OSCE Minsk
Group supports dialogue between the parties. If the resolution of all
conflicts, foreign players will take the position that they occupy in
the solution of the Syrian conflict, it is well known how this will
end”, – Sergey lavrov said.

Interfax, Russia
June 8 2012

Armed conflict between ethnic Uzbeks and Armenians prevented in Russia’s Urals

YEKATERINBURG. June 8

The police have prevented an armed conflict between members of the
Uzbek and Armenian communities in the town of Kamensk-Uralsky in
Russia’s Sverdlovsk region, local Interior Ministry spokesman Valery
Gorelykh told Interfax.

“Seventy or so people were going to take part in the clashes. The
organizers of this interethnic ‘meeting’ and 18 activists were
detained. It has been established that 50 or 60 other people from the
Chelyabinsk and Kurgan regions were supposed to join the Uzbek group,”
he said.

Bats, radio stations, containers filled with gasoline, as well as
non-lethal and gas weapons and firearms were confiscated from the
suspects.

The conflict started on April 29, when members of the Armenian and
Uzbek communities had their first row at a local cafe. On the
following day, two ethnic Uzbeks were taken to hospital after being
attacked by several unknown people.

An ethnic Armenian was hospitalized with gunshot wounds on June 4.

He told the police that unknown people had opened fire on his car.

“Policemen were informed of the planned riots the next day: a group of
people, citizens of Uzbekistan and Russia, planned to stage mass
disturbances on the territory of the Armenian community,” Gorelykh
said.
tm

`Armenian language and literature’ exam average grade low

news.am
June 10, 2012 | 00:28

YEREVAN. – The average grade on `Armenian language and literature’
exam for state graduation this year is 13.8 out of 20 possible points,
Assessment and Testing Center secretary Gayane Manukyan told Armenian
News-NEWS.am.

Manukyan could not say the number of people who missed the exams and
how the grades were distributed, as 11,792 applicants have already
attended the exams but the process is still on. Overall, 8,954
applicants will pass exam on Mathematics, scheduled on June 12.

As Armenian News-NEWS.am has earlier informed, Armenia kicks off state
graduation and joint exams on June 1st. The number of the applicants
is 18,107, while it was 17,656 in 2010.

US Ambassador to Armenia: 2015 will be opportunity for Turkey to
normalize ties with Armenia

arminfo
Saturday, June 9, 17:42

2015, the centennial of the events of 1915, will be an opportunity for
Turkey to improve relations with Armenia, Ambassador of the United
States to Armenia John Heffern said in an interview to Today’s Zaman.
He added that it will be an important year for both sides.

“Hopefully Turkey and Armenia will find a way to make 2015 an
inclusive affair and part of a constructive process. 2015 will be a
sensitive year. Therefore, it will be an opportunity to bring two
nations together,” said Heffern, adding there was great anticipation
of 2015 in Armenia.

“2015 should be a year of win-win for both countries, not win-lose,”
said the ambassador. In an interview with Today’s Zaman, Heffern
stated that relations between Turkey and Armenia were not important
solely for the sake of the two nations involved but also for the
Unites States. He recommended three tracks to be taken between the two
countries: “The first track is the ratification and the implementation
of the protocols, which is the key and primary track.
The US hopes both sides will ratify and implement the protocols, which
have already been signed.”

“[The United States’] primary goal is to bring about reconciliation
between Turkey and Armenia,” said Heffern, adding the US had not
ceased to support the protocols.

Heffern also touched upon increasing tensions that rose along the
Azerbaijani-Armenian border last Tuesday, resulting in the deaths of
soldiers from both sides. “Nagorno-Karabakh is indeed an important
issue between Armenia and Azerbaijan. The recent clashes along the
Azerbaijani-Armenian border shows that Nagorno-Karabakh is a critical
issue and that the status quo is not acceptable to either side,” said
Heffern.

He stated that the US, through the Minsk Group – a multipartite
platform established to seek a solution to the political and
territorial dispute between Azerbaijan and Armenia – had tried to find
a peaceful solution to the dispute. “There is no other solution than a
peaceful solution. The US believes that diplomacy is the right path to
reconciliation,” said Heffern.

Interfax, Russia
June 9 2012

Azerbaijan informs UN Secretary General about escalating tensions in
Karabakh conflict zone

BAKU. June 9

The Azeri mission to the United Nations has appealed to UN Secretary
General Ban Ki-moon in connection with the latest events in the
Karabakh conflict zone, UN Resident Coordinator in Azerbaijan Fikret
Akcura said.

“The Azeri mission has appealed to Secretary General Ban Ki-moon, but
we do not know what discussions have been held in New York in that
connection,” he said.

Five Azeri servicemen died in an incident involving Armenian soldiers
early on the morning of June 5. “Nobody wants young people to die,”
Akcura said. “Young people have been dying on the frontline for 20
years, the period in which refugees and displaced persons have been
suffering from this conflict.”

Akcura expressed hope that the attempts of the OSCE Minsk Group and
the UN to settle the Karabakh conflict would bring results this year.
“Hopefully, the non-permanent membership of Azerbaijan in the UN
Security Council will also contribute to the settlement of the
conflict,” he said.

The Azeri Defense Ministry said that the national armed forces stopped
an Armenian subversive act early in the morning on June 5. Four Azeri
servicemen died in that attack.

Later on, another serviceman was killed in the gunfire coming from the
Armenian positions, the ministry said.

In turn, the Armenian Defense Ministry reported the prevention of
another Azeri incursion in the northeastern sector of the contact line
on the evening of June 6.
The ministry said that two attempts of Azeri infiltration into the
republic were deterred early in the morning on June 4 and 5.
Another Azeri attack was deterred late on the night of June 5 on the
border of the unrecognized Karabakh Republic. One Karabakh serviceman
died and two were injured, the ministry said.

Russia Increases Military Flights Over Armenia

June 9, 2012

By DAVID M. HERSZENHORN

MOSCOW – Russian fighter jets are conducting an increasing number of
training flights over Armenia, a military spokesman said on Saturday,
sending a clear warning that Russia could intervene at any moment
should violence escalate further in the territorial dispute between
Armenia and Azerbaijan.

The military spokesman, Colonel Igor Gorbul, told the Interfax news
agency that Russian fight jets stationed at a base in Armenia have
conducted about 300 training flights since the beginning of 2012, and
have increased the number of flying hours by more than 20 percent from
last year.

Violence has flared recently along the border of Armenia and
Azerbaijan, the former Soviet republics, which have been at war over
the disputed territory of Nagorno-Karabakh for more than 20 years. At
least eight soldiers – five Azerbaijanis and three Armenians – were
killed in clashes along the border last week.

Russia, along with France, the United States and other countries, has
repeatedly urged a peaceful settlement to the dispute between Armenia
and Azerbaijan. Russia maintains a military base in Armenia and
regularly sells weapons to Armenia.

Colonel Gorbul said Russian fighter pilots were preparing for combat.
`The main emphasis in performing aerobatic elements is made on the
ability to apply them in real-life air combat conditions,’ he said.

The Russian foreign ministry last week said it regarded the border
clashes as `unacceptable’ and would continue to try to broker a
peaceful settlement.

Azerbaijan, which currently holds a seat on the United Nations
Security Council, said that it was also appealing to the United
Nations for help in hopes that international mediators could help
reach a settlement this year.

Armenian Activist Could Face Jail Time

asbarez
Friday, June 8th, 2012

Suren Gazaryan stands next to a sticker that reads Suren Gazaryan and
Evgenii Vitishko/We Are With You/Freedom for the Environmental
Activists. Photo by Karena Avedissian.
BY KARENA AVEDISSIAN
>From Transitions Online

KRASNODAR, Russia – On the afternoon of November 13, environmental
activists Suren Gazaryan and Evgenii Vitishko crept through a forest
preserve on the Black Sea coast, past security guards and toward a
fence surrounding a villa. Their mission was part protest – in spray
paint on the fence, they called the provincial governor a thief and
declared, `This is our forest’ – and part reconnaissance, to see what
was happening on the other side.

When they cut through the fence, they found trees had been illegally
felled, among them endangered Pitsunda pines. A whole complex was
under construction, including a swimming pool and tennis court,
despite a ban on such development in forest preserves.

The activists say the protected land was seized illegally to build the
villa, which records show is owned by Alexander Tkachev, governor of
Russia’s Krasnodar region. The fence surrounding it and a much wider
area of about 7 hectares (17 acres) of forest along the shore also
prevents public access to the land and beach, in violation of Russian
law.

Instead of hearing the activists’ complaints, however, prosecutors
charged Gazaryan and Vitishko with vandalism. Three months later, the
charge was upgraded to `willful damage of property with motives of
hooliganism,’ increasing the potential penalty to five years in
prison.

The case has become a cause not just for environmental activists in
the southern region of Krasnodar but across the country. And it comes
at a time when voices for the environment have become a significant
part of Russia’s growing protest movement.

Last month, Evgenia Chirikova, leader of a group fighting to protect
the Khimki forest northwest of Moscow from a major highway project,
received the $150,000 Goldman Environmental Prize, widely known as the
`Green Nobel.’ Other activists in the Khimki forest fight have been
attacked, including one journalist who was left brain damaged after a
beating and had to have three fingers and his right leg amputated.

In Krasnodar, the activists often run afoul not only of local
bureaucrats and businessmen, but also of some of Russia’s most
powerful figures. The region, which sits on the Black Sea just north
of the Caucasus region, is a major tourist destination, and a popular
site for the second homes of Russia’s elite. It is also home to a
delicate ecosystem that includes the country’s last remaining
Mediterranean pine forests and pistachio trees.

A road under construction through a UNESCO World Heritage forest to a
ski resort built by state oil company Rosneft; a residence for the
head of the Russian Orthodox Church on the Black Sea coast near the
city of Gelendzhik; Prime Minister Dmitry Medvedev’s villa in the
Utrish nature reserve – all occupy public land in Krasnodar and are
patrolled by private security guards.

The activists of Environmental Watch, to which Gazaryan and Vitishko
belong, say corruption is one of the greatest obstacles to stopping
such projects in the region.

`Environmental violations are often allowed by the state structures.
If it’s a private business, then it turns out that the state knows
about it and to condemn it is pointless, because [government
officials] are benefiting,’ activist Dmitri Shestochenko said.

`The governmental structures for environmental protection just don’t
work,’ Anna Mitrenko, another activist, said. `When we inform the
authorities about an environmental problem, they just say, `There is
no problem here.’ Everything is infected with corruption. It’s the
system – it’s a web that the Russian people are caught in.’

Activists say preparations for the 2014 Olympics, which will take
place in the Krasnodar city of Sochi, have made matters worse, with
projects allowed to take priority over environmental regulations. Last
year a toxic spill into the Mzymta river related to drilling for a
road and rail line near the town of Adler polluted drinking water for
residents nearby. No state agencies or companies tied to the spill
were held accountable.

In other cases, when activists have managed to draw attention to
questionable projects, environmental laws are watered down ad hoc.

`Environmental legislation is getting weaker and weaker,’ Gazaryan
said. `Previously it was illegal to cut down endangered species of
trees. When they did that in preparation for the Sochi Olympics, we
went and interfered. Then a month later, the authorities made
amendments to the legislation that allowed it specifically for the
Olympics,’ he said.

In the matter of the Tkachev villa, local officials initially denied
any link between the governor and the territory within the
controversial fence. However, Tkachev said earlier this year that
about 70 percent of the fenced-off land is leased to a private company
called Agrokompleks, of which his father is a shareholder. Activists
contend the tie goes deeper, saying the regional real estate register
lists Tkachev himself as the owner.

Russian law allows forest preserve land to be leased as long as it
remains publicly accessible. It also allows development of the
property, but only with temporary structures made of light materials
such as wood – not with the concrete, brick, and iron that went into
the construction of the villa.

`Anyone familiar with the case knows that the reaction of the
authorities is political,’ said Natalia Dorohina, a journalist with
the Caucasian Knot website who has followed the matter.

The Krasnodar regional administration did not answer repeated requests
for comment on the case, or on Environmental Watch’s claims about the
villa’s ownership.

Like the Khimki forest activists, those in Krasnodar have faced
physical intimidation.

In March, Gazaryan and his lawyer, Viktor Dutlov, were inspecting the
area surrounding Tkachev’s villa when private security guards
handcuffed them, seized Gazaryan’s camera and cell phone, and detained
the men for five hours. When police arrived, they arrested Gazaryan
and Dutlov, who were sentenced the following morning to 10 days in
jail for `resisting police orders.’

News of their arrests spread through Russian Internet forums and
social networks. Within days, a wave of protests swept across dozens
of Russian cities in support of the activists.

Greenpeace Russia has collected more than 22,000 signatures on a
petition demanding that the charges against Gazaryan and Vitishko be
dropped. The campaign was brought to the attention of then-president
Medvedev, who promised to review the cases but did not act. Newly
inaugurated President Vladimir Putin is not expected to take up the
issue.

The activists continue to conduct inspections of Tkachev’s fence and
post information about their findings on Twitter, in blogs, and on the
Vkontakte and Facebook social networking sites, where they also post
news of any new detentions.

`The only way to protect the environment is to increase activism,’
Shestochenko of Environmental Watch said. Since Putin’s United Russia
party came to power in 2007, he added, `it was clear … that the
authorities were counting on our silence – because no one knew about
[their projects] yet. They wanted to do it quietly, but that didn’t
happen.’

In the meantime, crackdowns on protesters continue. Yaroslav Nikolski,
a member of Environmental Watch and the reformist Yabloko Party, was
arrested April 13 after protesting another Tkachev project –
construction of a gubernatorial residence on land that recently
belonged to a kindergarten.

Gazaryan and Vitishko have had two court hearings so far, with most of
their attorney’s motions rejected by the judge. Many observers are
predicting a guilty verdict. The next hearing was set for June 6.

Karena Avedissian is a doctoral researcher at the University of
Birmingham studying social movements in southern Russia.