Alcatel’s Earnings Exceed Expectations, Shares Gain

Alcatel’s Earnings Exceed Expectations, Shares Gain
Bloomberg.com
July 12, 2005
Alcatel SA, the world’s biggest broadband equipment supplier, said sales
and earnings rose more than the company expected in the second quarter,
lifted by demand for Internet-related and wireless phone products.
Sales rose 8 percent to 3.14 billion euros ($3.8 billion), instead of
the predicted 2 percent to 3 percent increase, the Paris-based company
said in a faxed statement today. Operating profit was about 251 million
euros, or more than 8 percent of sales, Alcatel said. The shares climbed
6.5 percent, the biggest gain in more than eight months.
“For once we have a good surprise from Alcatel, which isn’t doing as
badly as we thought,” said Andre Chassagnol, head of research at
Paresco Futures in Paris.
The gain in profitability brings Alcatel, under Chief Executive Serge
Tchuruk, closer to its goal of 10 percent operating margin for the full
year. The company disappointed investors in the first quarter with an
operating margin of 4.1 percent. Tchuruk, facing competition from
companies including Cisco Systems Inc., has sold units and cut more than
40,000 jobs, returning Alcatel to profit in 2004 after three years of
losses.
Shares of Alcatel rose 60 cents to 9.80 euros in Paris, the biggest gain
since Oct. 21. Still, Alcatel stock has declined 13.8 percent this year,
compared with a 12.9 percent increase in France’s CAC 40 index. Since
the beginning of 2000, the stock is down 78 percent, compared with a 25
percent drop in the CAC 40.
Shares of Cisco, the world’s biggest maker of computer networking
equipment, have gained 1.9 percent this year, compared with a 0.5
percent increase in the Standard & Poor’s 500 index.
Increasing Margin
Second-quarter earnings totaled about 13 euro cents per share, lifted by
a tax gain and a “one time capital gain” linked to the sale of an
unspecified investment in central Europe, Finance Director Jean-Pascal
Beaufret said on a conference call. More details of second-quarter
earnings will be provided in a full presentation July 28, he said.
Beaufret said the 8 percent margin in the second-quarter was a “little
bit higher” than expected and the margin would rise in the second half,
boosted particularly in the fourth quarter.
“The results are at the top end of what Alcatel was forecasting for the
year as a whole,” said Franck Hennin, who helps manage $2.2 billion in
assets at Richelieu Finance in Paris. “Its business is quite cyclical
and the second half is better for margins,” he said.
Margin Targin
The company said April 28 that profitability had been hurt by costs of
marketing new mobile-network equipment and the expense of currency
hedges. Alcatel today reiterated its goal of a 10 percent operating
margin for the full year.
Alcatel’s first-quarter operating income rose 27 percent to 107 million
euros from 84 million euros a year earlier. Revenue rose 3.7 percent in
the first quarter to 2.61 billion euros from 2.52 billion a year earlier.
First-quarter net income fell 55 percent to 124 million euros, or 9
cents a share, from 278 million euros, or 20 cents, a year earlier. Last
year’s first-quarter net income included the effect of the sale of
battery maker Saft. Alcatel sold the unit in January 2004 to Doughty
Hanson & Co. for 390 million euros.
Tchuruk, 67, trimmed Alcatel’s workforce by 8 percent last year to about
56,000 at the end of 2004.
To contact the reporter on this story:
Benedikt Kammel in Berlin at [email protected]
or
Simon Packard in Paris [email protected]
;sid=aXA3.zOHDboc

NKR: Humorists From Milli Mejlis

HUMORISTS FROM MILLI MEJLIS
Azat Artsakh – Nagorno Karabakh Republic [NKR]
14 July 05
The election to the Azerbaijani Milli Mejlis (the parliament) is in
November. The struggle for seats in the parliament has flared up. It
looks like the opposition have made up their minds to teach a lesson
to the authorities and win the majority of seats in the
parliament. And, by the way, they look quite confident int heir
victory. This confidence, first of all, emanates from the standpoint
of the West and first of all the United States which unambiguously let
them understand that it will support the opposition. It is enough to
consider the statement of the US ambassador to Azerbaijan during his
trip to Gyandja at the end of the last month. He particularly said
that the US government seeks to cooperate with democratic countries;
therefore, the US will support Azerbaijan in holding the election in
autumn. The ambassador is hopeful that the election will be fair. The
Karabakh proverb says they tell the complete word to the ass. However,
we are concerned about another thing; will the new parliament be as
amusing as the former? Do the Americans and other representatives of
the West, being so far from the Oriental colourful humour, who are
going to supervise the upcoming election, think about this peculiarity
of the Azerbaijani parliament? If not, its a pity. Because in Baku
they joke that there are two theatres of comedy in the capital of
Azerbaijan. One of them is the theatre of musical comedy, the other is
the Milly Mejlis of Azerbaijan. Moreover, it is generally accepted
that the actors of the theatre of musical comedy cannot compare to
their “colleagues” in Milli Mejlis by their professional skills, where
Speaker Murtus Aleskerov himself plays the role of the “fool”. Its a
pity that no tickets for the “performances” of the Azerbaijani
parliament are sold otherwise the inhabitants of Baku known for their
delicate taste for humour would book the tickets beforehand. This is
not exaggerated. Which parliament of the world would complain of the
symbol of justice Themis, more exactly the band around her eyes? What
is more, the meeting when the complaint was lodged was conducted by a
doctor of law. The answer is the Milli Mejlis of Azerbaijan. Four
years ago, discussing the bill on the official symbol of the court of
justice, Member of Parliament Hasan Mirzoyev from the ruling political
party Yeni Azerbaijan stated with a practical air that the eyes and
ears of judges should be wide open in order for them to be objective
in considering the case. In answer to this Member of Parliament
Aliovsat Aghalarov noticed that the eyes of the judges can be open but
their pockets should be buttoned. In this meeting they could not do
without “anti-Armenianism” either. One of the parliamentary
“humorists” did not like the scales in the hand of Themis, which
allegedly resembles the Armenian cross. It was even proposed to
replace the scales with the yataghan of Khatayi Shah. After long
disputes presided by Murtus Aleskerov, who is, as you have already
guessed, the abovementioned doctor of law, the members of parliament
suggested a compromise. They decided that the scales should be left as
it is but at least one of the eyes of the goddess should be
opened. Hopefully, common sense prevailed as it does at the end of all
the comedies. Or in which parliament would the members of parliament
propose to “behead” this or that politician? Again the answer is the
Azerbaijani. A year ago Member of Parliament Jalal Aliev made this
proposal for the leader of Musavat, Isa Ghambar. One more question. In
which parliament of the world can the physical features become a
category for evaluating a politician? The answer again is the
Azerbaijani. At the meeting of the Milli Mejlis the member of
parliament representing the ruling political party Yeni Azarbaijan
Musa Musayev angrily swore at the chairman of the oppositionist
political party of National Independence Etibar Mamedov because the
latter had dared to criticize Ilham Aliev. “Even when sitting Ilham
Aliev is taller than Etibar Mamedov. How can Etibar Mamedov with his
stature ever criticize Ilham Aliev,” shouted Musa Musayev. There is no
end to the oddities of the humorists of the Azerbaijani
parliament. Either they decide on adopting laws on protection of
national moral values and on extremism only because “the Azerbaijani
oppositionists are immoral, ruin the system of national moral values
and are engaged in extremist activities”, or advise their colleagues
to have the mental doctor examine them and even accuse the members of
parliament of being homosexuals And last year the vice speaker of the
Milli Mejlis Ziyafet Askerov made “an epoch-making discovery” for the
Azerbaijani political establishment. He discovered that the leaders of
the Azerbaijani opposition “feel pathological hatred against one
another”. Ziyafet Askerov came to this conclusion after studying their
photos taken during the meeting of the coordinating board. “In the
photos one can see that their smiles are forced, and they hate one
another,” stated the vice speaker with a profound sense of duty. The
present mejlismen were not dignified (but instead they were faithful
to their humorist spirit) when they expressed their opinion on the
activities of the European organizations, particularly the OSCE,
although the official Baku did not join the statement of the CIS
countries criticizing the OSCE. At one of the meetings of the
parliament the members of parliament representing the political party
Yeni Azarbaijan were quite frank saying that the OSCE intended to
stage a coup in Azerbaijan and bring the local opposition to
power. They could not do without blaming the Armenians either. For
example, a mejlisman decided to open the eyes of the Azerbaijanis and
Armenians. “I knew that the OSCE is the “godfather” of the Armenians,
and now I have come to understand that the OSCE is also the
“godfather” of the Azerbaijani opposition,” announced Mr. Know-All. It
turns out that there are close “ties of kinship” between the Armenians
and Azerbaijanis, whereas the naive Armenians could not even imagine
this would be possible However, as it could be expected, Murtus
Aleskerov is full of hatred for European organizations. He openly
announced that the task of the head of the Baku office of the OSCE is
to make enquiries about the disputes taking place in the Milli Mejlis
and inform the Americans. This exotic accusation against the European
diplomat aroused the ironic laughter of the leader of the reformist
Popular Front Ali Kerimli. In the presence of the Baku mass media the
irritated speaker told Ali Kerimli to behave himself (A.G.) and went
on with this statement, “I personally appeal to you, Ali Kerimli. Keep
in your mind that with such oppositionists like you no power will be
ever shared.” Not without success did the performance of the mejlismen
pass after the cancellation of the NATO exercise Cooperative Best
Effort 2004 to have been held in Azerbaijan last September. The
training was cancelled because the Azerbaijani side refused to receive
the Armenian military men. This scandalous fact in the history of NATO
was presented by Member of Parliament Gudrat Hasanguliev as “the great
achievement of the Azerbaijani diplomacy”. And his colleague Ibrahim
Isayev hurried to congratulate the Azerbaijani people on the “historic
victory”. The “cast” of the Milli Mejlis was, as a rule, supported by
the former advisor on foreign affairs Vafa Guluzadeh. The rate of his
anti-Armenian activities is simply impressive. Apparently the former
advisor to Heidar Aliev wants to atone for his sin of close friendship
with the Armenians (in the Soviet times). According to Vafa Guluzadeh,
the legacies in Baku give the governments of their countries wrong
information about the genuine attitude of the Azerbaijanis towards
Armenians, which is outrageous hatred. Bravo, Vafa! Let there be more
similar statements addressed to the European organizations. Let them
understand at last why the Armenians of Karabakh do not want to be
subject to such statesmen as the tragedian Vafa Guluzadeg and the
“clowns” of the Milli Mejlis. Now quite seriously. Every performance
comes to its end. Soon the present “actors” of Milli Mejlis will leave
the stage of the theatre of absurd. We are hopeful that instead of new
“clowns” and Armenophobs they will be replaced by serious people of
sound judgement who will think for the fate of their
people. Otherwise, as the journalist E. Orudjev predicts, the
Azerbaijani people may come to a complete moral decay. God forbid.
ALEXANDER GRIGORIAN.
14-07-2005

Baltika beer will again appear at Armenian market

PanArmenian News Network, Armenia
July 11 2005
BALTIKA BEER WILL AGAIN APPEAR AT ARMENIAN MARKET
11.07.2005 09:04
/PanARMENIAN.Net/ Baltika brewing company of Saint Petersburg has resumed
supplies of its production to Georgia and Armenia, reported the company
press service. `The supplies to Georgia and Armenia were ceased in July 2004
due to causes not dependent on the company. Before export was interrupted,
Baltika had supplied over 136 thousand dals of beer to Georgia and 17
thousand dals to the Armenian market,’ the company noted. Before the yearend
Baltika plans to export over 100 thousand dals of its production to Georgia
and over 30 thousand dals to Armenia. The production grounds of the company
are situated in St. Petersburg, Tula, Khabarovsk, Rostov-on-Don, Samara. The
company produces 36 kinds of beer and 5 soft drinks. At present Baltika
supplies its production to 38 countries of the world. The company export
sales in 2004 increased 14% as compares to 2003 and made 11.3 million dals,
Regnum news agency reported.
From: Emil Lazarian | Ararat NewsPress

Azerbaijan May Be Excluded From EU Neighborhood Program

AZG Armenian Daily #128, 13/07/2005

Neighbors
AZERBAIJAN MAY BE EXCLUDED FROM EU NEIGHBORHOOD PROGRAM
Referring to diplomatic sources, the Baku based Zerkalo stated
recently that Azerbaijan may be excluded from the EU neighborhood
program, if the November 6 parliamentary elections do not keep in line
with the international criteria. Heikki Talvittie, EU Special
Representative, recently visited Baku, met with the Azeri authorities,
the opposition and the representatives of NGOs. The Finn diplomat said
that he will pay two other visits to Baku before the elections.

ANKARA: Armenian Lobby Makes British Deputy to Retreat

Zaman, Turkey
July 9 2005
Armenian Lobby Makes British Deputy to Retreat
By Selcuk Gultasli
European Parliament (EP) British Member Richard Howitt who supported
Armenian allegations in a statement he made together with the
European Armenian Federation defended his stance saying he was not
sufficiently informed about the panel he chaired last month.
A European Armenian Federation (AEF) statement said that Howitt
welcomed the panel without knowing the subject of discussion. The Ari
Movement was blamed for not informing Howitt about the purpose of the
panel in the statement that implied he was deceived by the Ari
Movement.
After the June 15 forum, the American Armenian Lobby sent a
delegation to Brussels to gather support for the AEF and also lobbied
the EP. The Armenian lobby pressurized Howitt in particular and the
Socialist Group that he is a member of. Howitt, who said several
times that he wanted to be known as “Mr. Turkey in Brussels,” related
that they had discussed about another meeting with Howitt after the
forum and negotiated some activities in September. The Ari Movement
issued a statement of condemnation opposing the EAF statement. The
Movement also sent a letter to Howitt and asked for an explanation
about the inconsistency in his remarks. The letter said Howitt’s
remarks were unethical and he should give an official explanation for
that. It was observed that the French members of EP influenced
Howitt’s statement.
Howitt: I am not regretful
The Ari Movement’s statement which claims that Howitt was not
properly informed about the issue is incorrect and he urged the
cooperation should continue. The statement ended with the sentence:
“the reactions of EAF will not affect Ari Movement’s fight to have
the 1915 events evaluated from a different perspective in Europe.”
In a telephone conversation with Zaman, Howitt stressed he did not
regret welcoming and leading the panel and he did not imply that he
was deceived by the Ari Movement. He further said he was one of the
members of EP who supported Turkey’s European Union (EU) bid most and
he did not want to offend Turkey and Turkish people with his remarks.
He said he wanted to send the same message to Armenians by signing
the same statement with them and added that the peace between Turkey
and Armenia will be one of the main issues of Turkey-EU relations.
Meanwhile the Armenian Lobby, which has been busy with heavy lobbying
in Brussels since June 15, the day the panel was organized, made a
similar attempt at influencing the European Policy Center (EPC) but
the Center did not issue any pro- Armenian statement.

Will Venice Commission be pleased

A1plus
21:01:18 | 07-07-2005 | Politics |
WILL VENICE COMMISSION BE PLEASED
Today the draft constitutional amendments were sent to the Venice
Commission, RA NA Vice Speaker Tigran Torosyan reported.
The agreements achieved during the discussions June 23-24 between the
representatives of the Venice Commission and the RA authorities were fixed
in SDF 2005 052 document.
When asked whether the opposition will return to the parliament, Tigran
Torosyan said, `All the issues were settled jointly.’

Following the rules

A1plus
| 20:43:40 | 06-07-2005 | Social |
FOLLOWING THE RULES
Today in Kapan a joint session of the Armenian and Irani borderline
governors has taken place. General issues concerning the Armenian and
Persian drivers, as well as issues about opening a borderline market in
Nurduz have been discussed.
The Irani side called the Armenian to try to correspond to the international
criteria during transit good transportation, the Persian agency `Irna’
reports.

Ararat Brandy Factory Holds Soiree of “5 Senses”

ARARAT BRANDY FACTORY HOLDS SOIREE OF “5 SENSES”
YEREVAN, JULY 1, NOYAN TAPAN. An event entitled “5 senses” dedicated
to 5 human senses – hearing, smell, touch, sight and taste – was held
by the Ararat Brand factory at the Golden Palace Hotel in Yerevan. The
duduk master Jivan Gasparian, saxophonist Didier Malier and guitarist
Patric Miheure performed during the first part “Hearing”. Famous
French perfumer Bertrand Du Chauffour created an aroma of dreams
“Ambroisie” at the request of L’arrisan Parfumeur for “Smell”. Arsen
Avetisian’s sculptural invention specially made for the Ararat Factory
was presented during “Touch”. “Sight” featured Zaven Khachikian’s
exhibition. The guests had a chance to taste unique salads of Nubar
Jivanian during the “degustation” part of the soiree.

Vardavar Holiday Celebrated in Dilijan

VARDAVAR HOLIDAY CELEBRATED IN DILIJAN
YEREVAN, JULY 5. ARMINFO. Yerkir Nairi travelling agency organized a
number of events in Dilijan July 3 to mark the Vardavar holiday.
The objective was to acquaint the foreign guests with Armenia’s
national holidays. The guests were simply amazed with the holiday and
said that Armenia’s culture proved to be far more wonderful than they
could expect. The festivities were held according to the anciet
Armenian tradition. The people made wooden crosses adorned with sweets
and flowers and “kachburs” and “khdums” – wheat ears with multi-colour
threats – the symbol of Vardavar.
All the festivities were accompanied by folk song and dance with the
active involvement of tourists.
The events started at Aghartsin monastery, a complex of three churches
of XII-XIII – Grigor the Enlightener, Mother of God and St. Stepanos –
and proceeded to a one of the Dilijan health care centers.
Vardavar is one of the holidays of the Amenian Apostolic Church dating
back to the pagan times. People pour water on one another to “wash
off” their sins.

Lithuania Prez Reiterates Readiness to Assist Armenia Euro-Integrate

PRESIDENT OF LITHUANIA REITERATES READINESS OF HIS COUNTRY TO ASSIST
ARMENIA IN PROCESS OF EUROPEAN INTEGRATION
VILNIUS, JULY 1, NOYAN TAPAN – ARMENIANS TODAY. Andranik Margarian,
the RA Prime Minister, and a delegation headed by him, being in
Vilnius on an official visit met with Valdas Adamkus, the President of
Lithuania, on June 30. At the meeting, the RA Prime Minister mentioned
the importance of mutual visits at different levels for the
stimulation of the Armenian-Lithuanian relations. In this sense, he
especially emphasized the significance of the mutual visits of the RA
President in June, 2002, and the President of Lithuania in September,
2003 in the issue of the stumulation of the bilateral cooperation. The
Prime Minister expressed confidence that the present visit of the
delegation of the RA Government to Lithuania will also support it. He
mentioned that Valdas Adamkus’ visit to Armenia at the RA President’s
invitation is also looked forward in Armenia with great expectations.
Assuring the inflexibility of Armenia in the choice of the way of the
integration into the European family, formation of a state
corresponding to the European political and economy standards,
Andranik Margarian mentioned that the involvement of Armenia in the
“European Neighbourhood Policy” gives great opportunity for deepening
relations with the EU member countries, including Lithuania. Informing
that on June 16, Armenia officially presented to the observation of
the European Commission the preliminary package of proposals of the
Armenian party of the EU-Armenia Join Actions Plan within the
framework of the European Neighbourhood policy, the Prime Minister
mentioned that Armenia is ready to observe possibilities of the
cooperation with Lithuania within the framework of the Actions
Plan. President Adamkus assured that Lithuania numbers relaions with
countries of the South Caucasus chosen the European way of development,
and with Armenia among them, among primary tasks of its foreign policy
attempting to take a role of a connecting circle among the European
Union and those countries. In this sense, the President of Lithuania
once more reiterated the readiness to assist Armenia in the issue of
overcoming difficulties of the European integration process, to share
its experience gathered on that way. Touching upon problems of the
regional cooperation, the parties attached importance to efforts made
in that direction by international organizations, particularly, by the
EU, OSCE, NATO and CE, which are aimed to strengthening of peace and
stability in the South Caucasus. In this context, Prime Minister
Andranik Margarian emphasized the leading role of Lithuania in the
issue of the 3+3 (Baltic+South Caucasian countries) initiation. In his
turn, President Valdas Adamkus assured that the Lithuanian party will
continue to explain the importance of that initiation to his partners
from Estonia, Latvia as well as Scandinavian countries. The
interlocutors attached importance to making close the cooperation of
the two countries within framework of other international
organizations as well. The current situation and development prospects
of the settlement of the Armenia-Turkey, the Armneia-Russia-Georgia
relations, the Nagorno Karabakh conflict were touched upon from the
viewpoint of strengthening stability and security in the region. The
RA Prime Minister mentioned that he expects the assistance of
Lithuania in the issue of raising the blockade of Armenia by Turkey,
improvement of relations with that country as well as recognation of
the Armenian Genocide by other EU countries. As Noyan Tapan was
informed by the RA Government’s Information and Public Relations
Department, after the meeting with the President of Lithuania, Prime
Minister Andranik Margarian left for the “Antakalnis” pantheon and
laid a wreath to the Monument to Victims for Independence. After a
dinner given on behalf of Lithuanian Foreign Minister Antanas Valionis
and his wife in honour of the RA Prime Minister Andranik Margarian and
his wife, the Prime Minister and members of the RA delegation visited
the Mayor’s Office of Vilnius. Accompanied by the Mayor, they observed
the new building of the Mayor’s Office, got acquianted with
development projects of the city and subconstructions. After midday,
members of the RA delegation went to the Genocide Victims Museum of
the Genocide and Confrontation Research Center where RA Prime Minister
Andranik Margarian left a writing in the honoured guests’ book. In the
evening, in honour of RA Prime Minister Andranik Margarian and his
wife, an official dinner was given on behalf of Lithuanian Prime
Minister Algidas Brazauskas and his wife. The RA Prime Minister’s
meeting with Arturas Paulauskas, the Chairman of the Parliament of
Lithuania is scheduled for July 1.