Author: Vorskanian Yeghisabet

Russians Take Over Armenian Chemical Plant
The Nairit factory has been sold to a foreign investor for a second time.
By Tigran Avetisian in Yerevan and IWPR in London (CRS No. 235, 27-May-04)
Armenia’s giant chemical factory, Nairit, the object of ownership
battles over the last few years, has acquired a new and little-known
Russian owner, in a sale welcomed by both government and workers.
The takeover of one of Armenia’s prize assets follows the acrimonious
departure last year of Ransat, the British-based company that tried
to turn around the factory, but ended up quarrelling with the Armenian
government.
A provisional deal was struck on April 16 by Armenia’s central bank,
which was in de facto control of the company, to sell Nairit to the
Volgaburmash company, based in the Russian city of Samara.
The final details of the deal are still pending as currently an
audit is being carried out to determine the worth of the factory. Its
results will be announced in August.
Nairit produces chloroprene rubber. In Soviet times it had a monopoly
and was the only factory in the USSR making the product. It is still
one of only five factories around the world turning out the synthetic
rubber and has customers in 20 countries. Anil Kumar, general director
of former owner Ransat, told IWPR last year that if the plant operated
well, it would be worth 50 million US dollars.”
Ransat pulled out last May after a row over who was responsible for
the factory’s energy debts. Kumar said he had “spent ten million
dollars before a single ton of rubber was produced” and blamed the
Armenian government for not supporting his plans to turn around the
company. (See “Armenian Chemical Deal Ends in Tears, CRS 177, May 1
2003 )
Kumar said Ransat had promised to invest 25 million US dollars in the
factory over a five-year period and progressively settle its debts,
estimated variously at between 30 and 35 million dollars.
After Ransat pulled out of Armenia, the factory’s shares passed
to Haykapbank and, as the bank did not have enough assets and was
therefore taken under administration by the central bank, effectively
placing it under Armenian government control.
The Armenian government then handed management of Nairit to the Russian
bank Runabank, one of whose major shareholders is the Volgaburmash
holding company. Volgaburmash is owned by Samara businessman Andrei
Ishchuk who is also a member of Russia’s upper house of parliament,
the Federation Council.
The holding company has several factories in Ukraine and Russia that
produce drilling equipment and several factories producing heating
equipment, 11 construction companies and two banks. The Russian news
agency Interfax reported that Volgaburmash had an annual turnover of
200 million dollars.
However as Volgaburmash has not previously dealt in chemicals,
questions are being asked about how and why it acquired Nairit.
“The Yerevan chemical factory is not a prestige project for
Volgaburmash,” Gleb Stolyarov, Samara correspondent of the Russian
business newspaper Vedomosti told IWPR.
Volgaburmash declined to answer IWPR’s questions, but Stolyarov pointed
out that the company’s vice-president Yury Trakhtenberg had told a
press conference that, “the personal connections of the president of
the holding, Andrei Ishchuk, played a role.”
The acquisition of Nairit follows a pattern where major plants
in Armenia have been acquired by Russian companies, while western
companies have experienced significant difficulties in the Armenian
market. The Razdan hydroelectric power station and the Metsamor
nuclear power station are managed by Russian companies.
The Armenian government is enthusiastic about Nairit’s new owner. Karen
Chshmaritian, minister of trade and economic development said that,
“Four or five years ago, no one believed that Nairit would ever be
privatised – first of all, because of its size, and secondly because
of all the problems that had accumulated. But today that has become
a reality.”
Political analyst Aghasi Enokian commented that a big business like
Nairit could not succeed in Armenia without support from top levels
of governmen.
Whatever the politics of the deal are, there is general agreement
that Nairit is now undergoing a revival.
Mikhail Zavetyayev, who represents Volgaburmash, said that 3.5 million
dollars had already been invested in the factory over the past ten
months and that it was already bringing in a profit.
Ruben Saghatelian, the new executive director of the factory, told
IWPR that Nairit was now working at full capacity and that “we have
no more problems with putting out the product”.
Chshmaritian said that thanks to its new owner Nairit had not acquired
any new debts over the past ten months, that the almost 2,000 workers
on the payroll were receiving their wages regularly and that 350,000
dollars worth of back wages had been paid out. Factory director
Saghatelian said that they had worked out a schedule for paying
off debts.
The workers are also pleased with the new management. “We are happy
that finally we’ve started to receive our salaries on time,” Hrachik
Tadevosian, chairman of the trade union representing the factory’s
workers, told IWPR.
But he added, “We are still owed a lot of money. Not only from the
Ransat period but from much earlier.”
“I have no interest at all who owns Nairit or where our rubber
gets sold,” said Sarkis, a 43-year-old worker at the factory.”I am
content now, thank God. “If only they could pay us the money we’re
owed from before.”
Tigran Jrbashian, an economic analyst, said that the situation
at Nairit was now “very promising”. But he said that a lot of the
previous problems plaguing the factory remained. “The problem of
transporting the product still remains very serious and that directly
puts up costs.”
Tigran Avetisian is a journalist for Aravot newspaper in Yerevan.

FORMER PRO-GOVERNMENT POLITICIAN WANTS TRANSITION OF POWER
A1 Plus | 17:58:19 | 27-05-2004 | Politics |
Former head of parliamentary standing commission on foreign affairs
and now Liberal-Progressive Party leader Hovhannes Hovhannisyan said
Thursday he was unhappy about foreign policy pursued by Armenian
leadership.
Hovhannisyan, who was engaged in foreign policy for four years,
voiced alarm at Armenia’s future saying the current authorities’
short-sighted foreign policy put Armenia’s security in danger. He
said the republic was gradually being removed from the EU programs.
Today, Liberal-Progressive Party celebrates 100 days of its
foundation. The party addressed Armenian people and all political
forces urging them to prevent Armenia from becoming Russian interests’
stronghold. Policy must be changed and the republic leadership ousted
from power, the address says.

Zenit News Agency, Italy
May 25 2004
Cardinal Kasper in Jerusalem to Address Problems of Catholics
To Broach the Topic of Visas for Religious
JERUSALEM, MAY 24, 2004 (Zenit.org).- A Vatican official arrived here
to promote relations and resolve problems between Christians and Jews
in the Holy Land.
Cardinal Walter Kasper, president of the Pontifical Commission for
Religious Relations with the Jews, plans to meet with Catholic
communities and representatives of Judaism and the Israeli government
during his visit.
The cardinal will ask about the Israeli authorities’ non-issuance of
visas to Catholic religious, Vatican Radio reported.
“There are political problems, which affect visas and Christian
properties,” he said before leaving Rome today for Jerusalem.
“Christian young people do not yet have great hope, as for many
centuries a great community of Christians has been present in the
Holy Land and, if we go to the Holy Land, we do not want to be
considered only as dead stones but as living stones,” the cardinal
said. “This must all be addressed and discussed.”
Cardinal Kasper said that he will meet with the heads of the other
Churches and Christian confessions, in particular with the
Greek-Orthodox patriarch and with the Armenian patriarch.
“In this difficult situation it is necessary that the Churches
collaborate for peace and the good of the Jewish people, as well as
the Palestinian people,” he said. “They suffer a lot and we are in
solidarity with them.”
“I will also meet, of course, with the Catholic community, which
finds itself in a difficult situation and needs encouragement and a
message of hope,” the Vatican official said.
During his stay in Jerusalem, he will meet with the Latin-rite
patriarch of Jerusalem, Catholic bishops, the Custodian of the Holy
Land, and superiors and members of religious institutes and
congregations.
The Ecumenical Institute of Advanced Theological Studies, of Tantur,
invited the cardinal to participate in a colloquium, organized by
that institution with the University of Notre Dame. Cardinal Kasper
will deliver a talk entitled “Forgiveness and Purification of the
Memory.” The cardinal’s visit ends Friday.

More than 110 foreign firms to attend St Pete Economic Forum
ITAR-TASS, Russia
May 25 2004
ST. PETERSBURG, May 24 (Itar-Tass) — more than 100 foreign firms
will take part in the St. Petersburg Economic Forum to be held in
the middle of June.
A presentation of one of the CIS states – Armenia, Russia’s
Southern Federal District, and, for the first time one of the
European countries, the Czech Republic, will be held at the forum,
the Secretary-General of the Council of the CIS Inter-Parliamentary
Assembly, Mikhail Krotov, said on Monday.
Joint Russian-Czech transport projects are expected to be presented
as well.
The participants in the forum will be able to familiarise themselves
with Czech and Armenian culture works.
Forum organisers hope that not only businessmen but also foreign
leaders and the heads of Russian regions will take part in the forum.

ARMENIAN FOREIGN MINISTER MEETS WITH QATAR AMBASSADOR TO ARMENIA
ArmenPress
May 24 2004
YEREVAN, MAY 22, ARMENPRESS: On May 24 Armenian minister of foreign
affairs Vartan Oskanian received Saleh Ibrahim al-Kuari of Qatar,
who also serves as ambassador to Armenia with residence in Tehran,
Iran. The ambassador presented the duplicate of his credentials to
the minister.
According to Armenian foreign ministry press services, the sides
discussed Armenia’s close cooperation with Arab countries and boosting
cooperation with Qatar as well.
The foreign minister informed that Armenia is interested in developing
relation with countries of Persian Gulf and Qatar in particular. These
relations have set on a new level after Armenian president’s visit
to that country.
The sides also conferred regional situation and developments.

NATO is preparing for major war
Pravda Ru
05/21/2004 17:03
Vice-president of Academy of geopolitical problems, colonel- general
Leonid Ivashov says on NATO approaching Russian borders in Utro
interview. Utro NATO approached Russian borders, but young generations
of Russians doubt if this is a threat to Russia, recent public opinion
surveys demonstrated. Where do you see the threat to Russian security?
Leonid Ivashov As for young people”s opinion, I am teaching at Moscow
State Institute of International Relations and know that students
are given too contradictory and scarce information. Professors have
shortage of textbooks interpreting different doctrines, opinions
and approaches. Young people are confused, they are disoriented and
cannot see the long-term threat. Yes, NATO troops do not shoot and
bomb Russia today, and this creates the impression that the threat
is not real.
One more thing: mass media, especially TV channels, do not create the
“image of the enemy”, and young people do not read newspapers. For
these reasons, it is hard for young people to determine their position
on NATO.
In addition, Western values are being planted in Russia, while its own
historical and cultural roots are coming into oblivion. Currently our
young people see Chechen terrorists are much bigger threat than NATO.
Utro This is all mass media”s fault…
Leonid Ivashov Mass media are a tool not only for expansion in
peaceful period, but also for war. For example, mass media created
demonic image of Slobodan Milosevic and Serbs in Europe and in
America. As a result, the public did not protest when the aggression
against Yugoslavia started in violation of international law. Then the
principle of creating the image of demon was applied to Iraq. This
is informational warfare, and its weapons are so powerful that any
democratic leader loved by his people can be made a monster and demon
in 2-3 weeks.
Let us ask a question – for what reasons is NATO moving Eastward? NATO
is a military machine increasing its potential, having many thousands
of tanks and cannons, more than 5,000 military aircrafts, nuclear
weapons. This machine is near our borders. A question to young people:
why is NATO approaching Russia? For what reasons are the six aerodromes
in the Baltic states being modernized for NATO”s strategic aviation
landing (including aircrafts carrying nuclear weapons)?
Utro Using the military language – for possible military actions in
Eastern regions…
Leonid Ivashov Certainly, and international terrorism is a good excuse
for this. Earlier Communism was this excuse. Why can”t Americans
find bin Laden? He is very convenient for them. Taliban has been
defeated, and if al-Qaida is defeated, there will be no source of
terrorism. Americans need this source.
40 countries are the members of the Council for European Partnership
which is affiliated to NATO. Several years ago one of the NATO generals
was speaking at the Council about the threat for NATO and Europe. The
general named spreading weapons of mass destruction, drug trafficking,
illegal migration and terrorism as the threats, and said that NATO will
concentrate on eradicating them. At that point, I asked a question,
“Could you tell how mechanized division, Air Force and Navy will
fight against spreading nuclear weapons, drug trafficking and illegal
migrants. Could you share your experience of this?” They were confused,
because no military organization will deal with these issues. I asked
again, “70% of all NATO exercises are about starting a big war,
winning domination in air, conducting defense operations and then
attacking. Does your statement mean that you will turn to peace-keeping
operations and fighting drug trafficking now?” No reply again.
We received NATO”s invitation for some of its military exercises, such
as Balttops or the maneuvers in Poland. But all exercises always have
two stages. First – when Navy is capturing terrorists” submarine. By
the way, how can a sub with terrorists appear in the Baltic Sea? After
capturing the sub, the commanders drink Champaign and say good-bye
to the guests. Then the second, real stage of exercises starts –
landing on the seashore with aviation support and destroying enemy”s
objects, taking over settlements, destroying enemy”s aviation. All
this is aimed against Russian Baltic Fleet.
We can also see NATO working on the strategic purpose of controlling
Russian Northern Fleet. Russia has the most powerful Navy carrying
nuclear weapons, in the North. NATO set many radar stations in
Norwegian Spitsbergen islands and in the Baltic States. There is
an idea that at the last exercise of Russian Northern Fleet, Russian
missiles could not be launched because of some electronic interference.
The reaction of Russia is mainly about soothing itself. I believe
that somebody should be prosecuted for undermining our military.
Utro Can you say that so-called “NATO belt” is created around Russia
of the Baltic States, Central Asia and the Caucasus region?
Leonid Ivashov Yes, just draw the line connecting these regions. The
only protuberance there is Belarus. Ukraine has already given its
territory for NATO troops deploying. Georgia allowed NATO to use its
territory and air space.
We saw Chechen terrorists creating their bases, training camps and even
command posts in Georgia. In fact, Georgia is involved in anti-Russian
campaign. Chechen terrorists are not just bandits already, they are
well-organized anti-Russian special force having strategic goals and
using the territory of Georgia.
Americans are analyzing the option of establishing their tactical
military bases and posts in the Caucasus region, in Georgia, Azerbaijan
and later in Armenia. They are unable to have big bases there as
they need many troops in Iraq, but will bring equipment and groups
of specialists to prepare the conditions for quick deploying their
troops in the area.
Utro Media wrote about the CIA report predicting Russia”s
disintegrating into 6-8 states by 2015. Your comments?
Leonid Ivashov I believe that Russia is moving on the way of degrading,
disintegrating and destroying as a state. In this respect, the
long-term strategy has been applied to Russia for decades. Russia is
going to be isolated along its borders, then Northern Caucasus region
will be taken from it. Formally, Russia will own it, but all over the
region Chechnya-like instability will take place. Kaliningrad region
and the Far East will have the same scenario. Powerful strategy
is applied to Russia, and Russian leadership and political elite do
not respond.
What was Defense Minister Ivanov doing in Georgia during the recent
conflict in Adzharia autonomous republic? Was he pursuing Russia”s
interests? Certainly, the war in the area is not in Russia”s best
interests, but negotians should have been arranged for settling the
contradictions between the leaders of Georgia and Adzharia autonomous
republic. Americans are backing Georgian leader Saakashvili, and we
should have backe Adzharian leader Abashidze as Moscow mayor Yury
Luzhkov did some time ago. Earlier, Mr. Luzhkov came to Batumi and
made equal balance of power. Defense Minister Ivanov just overthrew
the elected head of Adzharia, and in this way he pursued the interests
of Americans.
As for American military bases in Central Asia, neither Russia nor
Iran nor China benefit from them. We invited Americans there and
persuaded the Heads of Central Asian countries to allow US troops
to be deployed there temporary. Even in the case of NATO expansion,
we are not protesting, but misleading our own people by saying that
there is no threat. Lately the agreement has been reached that NATO
forces will be deployed in Russia. What next?
Yury Kotenok

Khachaturian Centenary Concert In New York
Soundgenerator.com, UK
May 18 2004
“Homage to Aram Khachaturian”, part of the International Aram
Khachaturian Festival in celebration of the Centennial Year of the
birth of Khachaturian concert will take place on Sunday, May 23rd
2004 at 2:15 pm at Alice Tully Hall.
The concert at New York’s Lincoln Centre is being presented by pianist
Lucy Ishkanian and is only one of a series of events that have taken
place in Yerevan, Moscow, New York and Los Angeles over the past
season. The concert will benefit the Armenian Scholarship Fund at
The Juilliard School.
The program will include the Sonata Monologue for Violin Solo, which
is the New York premiere and will be performed by Stefan Milenkovich;
the Concerto Rhapsody for cello performed by Ani Aznavoorian;
four songs performed by tenor Yeghishe Manucharyan; the Poeme for
piano performed by Lucy Ishkanian; and the Trio for violin, clarinet
and piano performed by Sami Merdinian, Dimitar Moskovsky, and Evan
Solomon. The program will conclude with the New York premiere of
the Suite for Two Pianos from the “Gayaneh Ballet” performed by Lucy
Ishkanian and Jerome Rose.
The Festival, organized and presented by Armen Tertatevosian,
President, Master Classes International, in collaboration with pianist
Lucy Ishkanian, has been officially endorsed by Armenia’s ‘State
Jubilee Committee of the Khachaturian 100th Anniversary’, as well as
by President Robert Kocharian and the First Lady of the Republic of
Armenia, and has been included in UNESCO’s list of Jubilee events.
The International Aram Khachaturian Festival Centenary events began
with a spectacular presentation of the masterpiece ballet, “Spartacus”,
performed by the Yuri Grigorovich Ballet Company on September 19th
and 20th, 2003, at the Pasadena Civic Auditorium.
Future events will continue in February 2005, with the Gala
International World Premiere of a sensational new production of the
“Gayaneh” Ballet by Yuri Grigorovich and his company with new costumes,
scenery, choreography, and libretto, set to the musical score of the
ballet by Aram Khachaturian. This event will take place in Los Angeles,
followed by a US and world tour.
The opening of the ballet in New York is scheduled for March 2005
where the International Aram Khachaturian Festival will present
“Spartacus” and the “Gayaneh” Ballet.
Tickets, which range from $25.00 to $75.00, can be purchased at the
Alice Tully Hall Box Office or at

Caucasus storms Antalya
By Malcolm Pein
THE DAILY TELEGRAPH(LONDON)
May 17, 2004, Monday
THE European Individual Championships have started in Antalya,
Turkey. The tournament has a prize fund of more than 40,000 euros
and 12 guaranteed places in what is described as the 2005-2006 Fide
world championship knockout, but who knows what kind of system will
be in place by then?
The tournament is organised by the Turkish Chess Federation, which
ran last year’s edition at Silviri and cannot be faulted for its
efforts. The problem with the event is that it is not an economic
proposition for most professional players, which is why there are
virtually no western European GMs.
Under the Fide regulations, the players are obliged to stay at the
venue, which, although reasonably priced, makes the prospect of a
profitable stay remote for most. Seventy-two players are competing,
half of them over 2,500 Elo, and the top 15 are ranked in the world’s
top 100 players.
The top seed is Vassili Ivanchuk of Ukraine but he lost horribly
in the first round with White. The winner may well come from the
Caucasus; five members of the Armenian national team are playing,
and there are two of the most gifted young players from Azerbaijan:
the prodigy Teimour Radjabov, who defeated Garry Kasparov at Linares
last year, and the world junior champion Shakhriyar Mamedyarov.
17.g4 is exposed as premature in a very stylish game by the Bulgarian
IM Julian Radulski. Not only does Black get to the open h file first
but with the clever 18b4! he pushed Ivanchuk’s knight out of play
because 19 Ne2 loses the g4 pawn. Then there is a mass invasion down
the h file.
V Ivanchuk – J Radulski
European Ind. Ch. (1.1)
Ruy Lopez
1 e4 e5 2 Nf3 Nc6 3 Bb5 a6 4 Ba4 Nf6 5 0-0 Be7 6 Re1 b5 7 Bb3 d6 8 c3
Na5 9 Bc2 c5 10 d4 Qc7 11 d5 Bd7 12 b3 0-0 13 h3 Nb7 14 c4 Rfe8 15
Nc3 g6 16 Bd2 Bf8 17 g4 h5! 18 Nh2 b4! 19 Na4 hxg4 20 hxg4 Be7! 21
Nb2 Kg7! 22 Kg2 Rh8 23 Rh1 Rh4 24 f3 Rah8 25 Qe2 Qc8 26 Rag1 Qg8 27
Be1 Rh3 28 Nd1 Qh7 29 Bg3 Nxg4! 0-1
Radulski p p p 7 p a p – k c e Y c p o p c p p o b o p o b p b p a
p p b p p b 8 b p A p Z p X l p p ‘ p 6 *
Ivanchuk
Final position after 29Nxg4! and if 30 hxg4 Rxg3+! 31 Kxg3 Qh3+
32 Kf2 Bh4+ wins
Nigel Short is in the line-up for the annual Super Tournament at
Sarajevo which began on Sunday. The full line-up is Alexei Shirov,
Nigel Short, Ivan Sokolov, Viktor Bologan, Sergei Movsesian, Zdenko
Kozul, Suat Atalik, Bojan Kurajica, Emir Dizdarevic and Borki
Predojevic.

Azeri foreign minister, Council of Europe head meet in Strasbourg
Turan news agency
13 May 04
Baku, 13 May: Issues of cooperation between Azerbaijan and the Council
of Europe were discussed in Strasbourg yesterday by Azerbaijani Foreign
Minister Elmar Mammadyarov and Council of Europe Secretary-General
Walter Schwimmer.
The sides exchanged their views on Azerbaijan’s progress in fulfilling
its commitments to the Council of Europe.
The press service of the Azerbaijani Foreign Ministry has told Turan
that Mammadyarov, in the presence of Walter Schwimmer, signed the
protocol on amending the 1977 convention on fighting terrorism.
On the same day, Mammadyarov attended the first part of the 114th
session of the Council of Europe Committee of Ministers.
On the evening of 12 May, Azerbaijani and Armenian foreign ministers
held a meeting at the representative office of France in the Council
of Europe. The meeting was also attended by the co-chairmen of the
OSCE Minsk Group.
Nothing is reported about the details of the meeting.

Herald Sun
Olympics
Bungle crushes lifters
Leo Schlink
13may04
AUSTRALIA’s Olympic men’s weightlifting squad for Athens has been cut in
half in farcical circumstances.
Australia will now have only one male and one female lifter at the Games
after the national team finished second to Nauru at the Oceania
Championships in Fiji last week.
Australian Weightlifting Federation president Sam Coffa last night accepted
part of the blame for an “outrageous” blunder.
The Australian Olympic Committee described the fallout from the comical
selection handling of the weightlifting squad as “unfortunate”.
Australia would have qualified two male lifters for Greece had it won the
Oceania Championships.
But it arrogantly rested a competitor ranked No. 1 in the world because it
assumed the squad would still qualify first.
“What happened was the one or two lifters needed to get us over the line
were left behind,” Coffa admitted. “This was following advice from our
coaching panel that we had enough buffer to take us over the line and it
didn’t prove to be the case. It’s not an embarrassment, but I am completely
outraged. We are all guilty and that includes me.”
Sergo Chakhoyan, who is training in Armenia and is rated world No. 1 in the
85kg class, is the Australian weightlifter told he was not required for the
championships.
Chakhoyan’s bronze medal in clean and jerk at last year’s world titles meant
he’d virtually pre-qualified for Athens. He is expected to be nominated for
the sole spot, subject to AOC approval.
But the bungle has shattered Chris Rae, who won the 105kg-plus class in
Suva. Rae was in line to fill the second spot, pending results at the Games
selection trials in June.
“It’s devastating for me,” Rae said. “It has cost me the chance of making
the Olympics.”