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America has come a long way
Mari-Ann Kelam, Freedom Activist
Tallinn, Estonia
In a few short days, a black man will move from his private residence into a much larger and more expensive one owned not by him but by the taxpayers. A vast lawn, perimeter fence and many well-trained security specialists will insulate him from the rest of us, but the mere fact that this man will live there should make us all stop and count our blessings — because it proves we live in a nation where anything is possible.
Many believed this day would never come. Most of us hoped and prayed that it would, but few of us actually believed we would live to see it. Racism is an ugly thing in all of its forms and there is little doubt that if this man had moved there 15 years ago, there would have been a great outcry — possibly even rioting in the streets. Today, we can all be both grateful and proud that no such mayhem will take place when this man takes up residency in this house.
This man, moving into this house at this time in our nation's history is much more than a simple change of addresses for him — it is proof of a change in our attitude as a nation. It is an amends of sorts — the righting of a great wrong. It is a symbol of our growth, and of our willingness to judge a man, not by the color of his skin but by the content of his character.
There can be little doubt now that the vast majority of us truly believe this man has earned both his place in history and his new address. His time in this house will not be easy — it will be fraught with danger and he will face many challenges. We're sure there will be many times when he asks himself how in the world he ended up here, and, like all who have gone before him, the experience will age him greatly. But in every way a man can, he asked for this. His whole life for the past fifteen years appears to have been inexorably leading this man toward this house. It is highly probable that in the past, despite all of his actions, racism would have kept this man out of this house. Today, we thank the Lord above that we are Americans and live in a nation where wrongs are righted, where justice matters and where truly anything is possible. A nation where O.J. Simpson is finally going to jail.
What, you thought this was about Obama?
Here is an alternative email in case my regular one does not work: mariann.kelam@gmail.com
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Strategic Collapse at the Army War College
Posted By Patrick Poole On January 14, 2009 @ 12:00 am In . Positioning, Israel, Middle East, Politics, US News, World News 139 Comments
If you know your enemy and know yourself, you need not fear the result of a hundred battles.
This famous maxim by the ancient Chinese general Sun Tzu is familiar to every student of military science and strategy. His counsel is simple: understand your enemy, understand yourself. Nearly eight years after the 9/11 terrorist attacks, however, important segments of our military infrastructure dedicated to training and educating the next generation of military leaders have woefully failed to heed Sun Tzu’s advice. Two recent blog posts by Washington Post military correspondent Tom Ricks related to policies and publications by the U.S. Army War College give evidence to this strategic collapse in the War on Terror.
Two weeks ago, Ricks [1] reported on a new [2] publication by Army War College research professor Sherifa Zuhur on Hamas and Israel that informs readers that Hamas has been misunderstood due to the misreporting by “Israeli and Western sources that villainize the group.” Zuhur concludes that Hamas isn’t so bad after all, so we all just need to get along and embrace the terrorist group through negotiations — a view apparently endorsed by the Army War College when it published her defense of Hamas.
A second post last week, “[3] Fiasco at the Army War College: The Sequel,” records an exchange between Ricks and defense expert and author [4] Mark Perry. Assessing the academic state of affairs at the War College, Perry informed Ricks:
It’s worse than you think. They have curtailed the curriculum so that their students are not exposed to radical Islam. Akin to denying students access to Marx during the Cold War.
This is hardly the first complaint that the military has failed to investigate and assess the strategic writings related to radical Islam and Islamic war doctrine. William Gawthrop, former head of the Joint Terrorism Task Force of the Defense Department’s Counterintelligence Field Activity, says in a military intelligence journal article that:
As late as early 2006, the senior service colleges of the Department of Defense had not incorporated into their curriculum a systematic study of Muhammad as a military or political leader. As a consequence, we still do not have an in-depth understanding of the war-fighting doctrine laid down by Muhammad, how it might be applied today by an increasing number of Islamic groups, or how it might be countered. (”The Sources and Patterns of Terrorism in Islamic Law,” The Vanguard: Journal of the Military Intelligence Corps Association, 11:4 [Fall 2006], p. 10)
One effort to remedy this strategic deficiency identified by Gawthrop was undertaken by Joint Chiefs of Staff analyst Stephen Coughlin, who published his finding in his master’s thesis at the National Defense Intelligence University, [5] “To Our Great Detriment”: Ignoring What Extremists Say About Jihad. In his thesis, Coughlin examines texts from multiple schools of Islamic jurisprudence to evaluate the respective traditions on jihad and their contemporary use by Islamic terrorists, concluding that failing to investigate these sources has left our military “disarmed in the war of ideas.”
Coughlin’s thesis had barely seen the light of day before he was [6] sacked from his position with the Joint Chiefs, having running afoul of another Pentagon official, Hesham Islam, a top-ranked Muslim advisor to Deputy Defense Secretary Gordon England, who took issue with Coughlin’s academic analysis.
Another vocal critic identifying this wide gap in our military’s strategic studies is Army LTC Joseph Myers. He has recently voiced his concerns in an [7] interview with Congressional Quarterly and in a [8] review article published in the Army War College journal Parameters, where he argues that understanding the Islamic doctrine of war is a basic necessity for our military leadership:
To understand war, one has to study its philosophy, the grammar and logic of your opponent. Only then are you approaching strategic comprehension. To understand the war against Islamist terrorism one must begin to understand the Islamic way of war, its philosophy and doctrine, the meanings of jihad in Islam — and one needs to understand that those meanings are highly varied and utilitarian depending on the source.
In an [9] assessment published last May, Myers adds that the failure to study the strategy of jihadists leaves our own military strategy aimless and increases our long-term vulnerability to further terrorist attacks:
National security strategy is policy and policy implies a theory — a theory for action. To date we have no concrete theory of action because we have no fully articulated global threat model. We are seven years into a global war with armed combat and many dead and wounded, and yet still lack a common analytic paradigm to describe and model the enemy. It is a stunning failure to propel the country to war without a fully elaborated threat model that clarifies and specifies the enemy and makes clear our true objectives.
The lack of a threat model and a theory for action explains our schizophrenia, our failures, and homeland security shortcomings.
Understanding the enemy — “the threat,” his threat doctrine and the authoritative statements, sources, and philosophy undergirding that doctrine — is a primary duty. That is the first step in developing a threat model. It is the vital step in the [10] Intelligence Preparation of the Battlefield process, to template enemy doctrine by laying it over the terrain: the physical, human, and cultural terrain to understand its manifestations in reality. These are the first relevant questions to be answered for U.S. national security analysis.
This intellectual and strategic groundwork for the “long war” against Islamic terrorism will never be accomplished as long as our senior service schools and military academies continue to neglect this vital area of strategic study. Regardless of what one might think about the relation between Islamic theology and jihadist justifications for terror, it is a fact that they believe they are operating in accordance with Islamic tradition. Islamic war doctrine ought to be studied on that basis alone.
But returning to Sun Tzu’s maxim, perhaps the root of our military’s strategic schizophrenia is not so much about our refusal to understand our enemies as much as it is a failure to understand ourselves. As a nation, we no longer have a sense of who we are, what we believe, or even why we fight. At the height of World War II, would a faculty member at the Army War College have even considered attempting to defend Nazi fascism or Japanese imperialism, as War College professor Sherifa Zuhur has now done with Hamas? That is a fitting testimony of how far we are from both aspects of Sun Tzu’s counsel.
http://pajamasmedia.com/blog/strategic-collapse-at-the-army-war-college/

Studying the Islamic Way of War
At the inaugural conference for the Association for the Study of the Middle East and Africa (ASMEA) back in April, presenter LTC Joseph Myers made an interesting point that deserves further elaboration. Though military studies have traditionally valued and absorbed the texts of classical war doctrine — such as Clausewitz's On War, Sun Tsu's The Art of War, even the exploits of Alexander the Great as recorded in Arrian and Plutarch — Islamic war doctrine, which is just as if not more textually grounded, is totally ignored.
Full report: http://www.meforum.org/article/2050
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Reader comments:
There is a strategic collapse not only at the Army War College, but at the USA itself! But, have we not voted for it?

AB

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Al Qaeda: The Insignificance of bin Laden's Latest Message
Stratfor Today » January 14, 2009 2049 GMT
ANWAR AMRO/AFP/Getty Images
Lebanese women protesting Israel’s military operation in Gaza on the same day Osama bin Laden released a message criticizing the Gaza offensive
Summary
As-Sahab, al Qaeda’s media arm, released an audio recording of Osama bin Laden on Jan. 14. The message is the first from bin Laden since May 2008. However, even if the tape were recorded recently (and there is not conclusive evidence that it was), the threats and warnings issued by bin Laden are neither new nor particularly threatening. Issuing messages appears to be all bin Laden can do lately — hardly indicative of the level of capability needed to maintain recruiting efforts and ensure al Qaeda’s position as the vanguard of the militant Islamic movement.
Analysis
In his first audio message since May 2008, al Qaeda leader Osama bin Laden issued an audio recording through As-Sahab, al Qaeda’s media arm, on Jan. 14. The message comprised statements about the ongoing Israeli operation in Gaza and warnings to U.S. President George W. Bush’s successor about the challenges of inheriting the wars in Iraq and Afghanistan. In the message, bin Laden focuses on Bush and his cooperation with Israel in its operation against Hamas in the Gaza strip, and he urges Muslims to support the mujahideen with “money and men.” He goes on to link the world’s economic troubles to the United States’ missions in Iraq and Afghanistan, saying that if the next U.S. president “withdraws from the war, that would be a military defeat, and if he goes on with it, he’ll drown in economic crisis.”
Related Special Topic Page
The Devolution of Al Qaeda
Bin Laden and the core al Qaeda leadership (known as al Qaeda prime) do not matter much anymore, beyond their symbolic power. The continual release of statements without attacks means that these tapes are falling on deaf ears. Al Qaeda prime has failed to pull off an operation since the London bombings in 2005 — and even that attack appears to have involved only a tangential link to the grassroots jihadist network behind the plot. Even in South Asia, where al Qaeda is active, it relies heavily on local and regional allies for cover. Bin Laden has become an old revolutionary who refuses to retire though his time has passed.
While the tape’s content appears to indicate that it was made recently, it has not yet been confirmed that it is an entirely new communication. From what Stratfor has read of the statement so far, bin Laden does not even mention two of the incidents that have occurred to strengthen al Qaeda since his last message: the Nov. 26 attacks in Mumbai and militants’ gains in northwest Pakistan. Some other strange omissions include the failure to mention U.S. President-elect Barack Obama by name (bin Laden refers only to “Bush’s successor,” although he does reportedly directly quote Vice President-elect Joe Biden) and the absence of the online advertising and hype that usually precede such a release from bin Laden.
The fact that bin Laden spent most of the message railing against the United States and Israel for the actions in Gaza does not mean that the tape is recent. Israel has constantly been involved in Gaza operations, and this subject has been one of bin Laden’s main grievances on which he has spoken frequently. Compared to the message released Jan. 6 by Ayman al-Zawahiri (bin Laden’s deputy), which commented specifically on Obama and on Egypt’s failure to intervene in the Israeli strikes against Gaza, this message appears to go into much less detail.
Regardless of the content of bin Laden’s message, the fact remains that the connection between these tapes and attacks carried out by al Qaeda prime is very weak. This is the seventh tape (counting both audio and video) bin Laden has made since 2007 with no significant attack to back it up. In recent years, al Qaeda prime has really posed a physical threat only to South Asia — an area of operations whose size hardly corresponds to al Qaeda prime’s frequent calls for global jihad.
Without attacks to back it up, rhetoric appears to be bin Laden’s sole remaining weapon. And meanwhile, other militant Islamist groups like Hamas and Hezbollah, and countries like Iran, are gaining much greater prestige as they confront their traditional enemies, like Israel, head-on. Without the street credibility of being a legitimate revolutionary threat, bin Laden and al Qaeda prime lose the ability to attract recruits and money — and bin Laden’s appeal to supporters for both in his latest message is evidence of his declining stature.
Some of the omissions surrounding the tape also indicate al Qaeda prime’s struggle to stay alive. If al Qaeda were healthy, a mention of the Mumbai attacks and the gains militants have made against the government in northwestern Pakistan would have been expected. However, al Qaeda prime’s inability to capitalize on those gains shows just how much U.S. airstrikes have pinned the group down. The failure to advertise the message and hype its release indicates that al Qaeda prime faces a significant risk in getting an original tape from the source and distributing it online. Tipping off the United States that a tape would soon be released could compromise communication networks already worn thin by U.S. strikes in northwestern Pakistan.
Bin Laden (and other al Qadea prime talking heads) will continue to make these tapes and, given that the al Qaeda leader has orchestrated successful attacks in the past, some will continue to listen to him. But without a major action to back up his threats, bin Laden’s influence over the militant Islamist movement will fade. However, this does not mean the militant Islamist movement itself will fade. As the actions of groups like Hamas and Hezbollah (and Hezbollah’s patron, Iran) show, plenty of people are prepared to become the world’s top Islamist militant.
http://www.stratfor.com/
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Al Jazeera Signs Deal to Air Throughout U.S.
Friday, January 16, 2009 7:17 AM
NEW YORK - The Al Jazeera Network plans to announce on Thursday that it has signed a deal to run its news on Worldfocus, a syndicated nightly news program produced in New York and distributed throughout the United States.
The deal would help the international news network, one of the top services in the Arabic-speaking world, broaden its reach in the United States, where it so far has been available to only a limited audience.
Worldfocus, hosted by former NBC News correspondent Martin Savidge, is produced by New York City public broadcaster WLIW and syndicated to a number of Public Broadcasting Service affiliates, as well as other stations in 60 U.S. markets, including 27 of the top 30.
Al Jazeera declined to disclose terms of the deal.
The service's Arabic-language network is available in the United States through the DISH Network Corp. It has been trying to increase the distribution of its English- language network through cable television, but so far is available only in Washington, D.C., Toledo, Ohio and Burlington, Vermont.
One of its English-language programs, "Witness," reaches viewers through the LINK TV network, which is distributed by DISH Network and others.
Al Jazeera also is expanding its presence on the Internet, with a YouTube channel, a Twitter feed on the Gaza war and a free broadcast at an online service called Livestation.
The network, whose English broadcasts appear all over the world through deals with companies such as Singapore's SingTel and Hong Kong's PCCW, has started running ads in papers such as The Washington Post and The New York Times, advertising its Web presence with the slogan, "Find out what you're missing."
Al Jazeera has increased its marketing campaign, particularly during Israel's air-and-ground offensive into Gaza that began about three weeks ago.
It also plans to begin running ads in several weeks that a spokesman said will address misconceptions about the network in the United States. The U.S. government criticized the network for irresponsible and biased news reporting when the United States launched the 2003 war in Iraq.
http://www.newsmax.com/printTemplate.html
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Eastern Europe Faces Freezing Temperatures and Russian Gas Cut-Off
By Stefan Bos Budapest15 January 2009
Bos report - Download (MP3) Bos report - Listen (MP3)
Protesters in Sofia, Bulgaria demonstrate against government over gas cut-off, 14 Jan 2009With freezing temperatures across most of Europe, there was heated anger, especially in Eastern Europe on Wednesday, about the suspension in natural gas deliveries from Russia through Ukraine. The gas crisis comes at a difficult time for leading politicians, especially in Bulgaria, where some 2,000 people demanded the government's resignation on Wednesday over allegations of corruption.
The shortages of natural gas from Russia added to anger of protesters who braved the cold in Bulgaria's capital, Sofia, to demand the resignation of the country's Socialist-led government.
They were upset that Bulgaria remains one of the poorest countries in Europe, despite being a member of the European Union.
What began as a peaceful protest of students, farmers and medical workers in front of the parliament building, turned violent when masked youths threw snow and rocks at police, and vandalized several police vehicles.
Officials say several people were injured, including six police officers. Dozens of protesters were detained.
Bulgarians are not the only East Europeans frustrated during this unseasonable cold winter. There have been reports of people freezing to death across the region, which is heavily dependent on Russian gas via Ukraine.
Russia says neighboring Ukraine is holding up the transport of Russian natural gas to Europe. Moscow cut all gas supplies to the West last week in a pricing dispute with Ukraine. Kyiv blames Moscow for the supply disruption.
In Hungary, where reserves are running low, officials say some 40 people have died this month from frigid temperatures, often because heating systems do not work properly due to a lack of natural gas pressure.
More deaths have been reported across Eastern Europe, where many people are now searching forests for wood to use as heating fuel.
Fearing more deaths, Hungary's government has ordered municipalities and energy companies not to cut off people who do not pay their gas bills.
In Slovakia's capital, Bratislava, people expressed their frustration with their leaders on Slovak television. "They have to give the natural gas to us," one middle aged bus driver said. "Because it is too cold. A lot of people can freeze to death."
Slovakia's Prime Minister, Robert Fico, who visited Moscow on Wednesday, has not ruled out restarting a Soviet-era nuclear reactor despite European Union protests as gas reserves are expected to run out by the end of the month.
People in Bratislava told Slovak television they need energy -- nuclear, if necessary. "We need to have normal temperatures at home this winter," one man said. "So if they want to restart the nuclear reactor and keep the operation within international rules, I think it's okay," he added.
Slovakia, which depends on Russia for nearly all of its natural gas imports, has already declared a state of energy emergency to conserve its gas reserves. That has forced several companies including French and South Korean car makers, to suspend production.
Similar measures have been introduced in Hungary and other East European countries.
http://www.voanews.com/english/2009-01-15-voa5.cfm
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Germany could hold key to gas deal

As Germany prepares to welcome Russian Prime Minister Vladimir Putin, the BBC's Berlin correspondent Steven Rosenberg considers how Germany could broker a deal to end the energy dispute between Russia and Ukraine.
http://news.bbc.co.uk/2/hi/europe/7832481.stm
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Putin Reaps Praise at Home for Freezing Ukraine (Update1)

By Alex Nicholson
Jan. 16 (Bloomberg) -- Russian Prime Minister Vladimir Putin’s standoff with Ukraine over supplies of natural gas may have angered European Union leaders and denied heat to millions; at home, it’s winning him plaudits.
In turning off gas supplies to Ukraine and Europe, Putin showed Russians that he is in charge as a recession looms, and that the West must treat him as a key player in global energy. He also is pushing for higher long-term revenue for state- controlled OAO Gazprom, and has damaged West-leaning Ukrainian President Viktor Yushchenko.
“The more they criticize Putin abroad and the more they fight with Russia, the greater his political weight grows,” said Mikhail Delyagin, an economic adviser to former Russian Prime Minister Mikhail Kasyanov and director of the Institute for Globalization Studies in Moscow.
Russia has invited Ukraine and such gas-starved countries as Bulgaria and Slovakia to meet at an emergency summit in Moscow tomorrow. The stalemate has left parts of eastern Europe without fuel during sub-freezing temperatures. Russia and Ukraine blame each other for a failed Jan. 13 deal to resume gas flows, while EU leaders are struggling to end the crisis.
Putin arrived in Berlin today, where he will face his biggest European customer in meetings with German Chancellor Angela Merkel. The get-together probably won’t be acrimonious, according to Jan Techau, a European and security affairs expert at the Berlin-based German Council on Foreign Relations.
‘Friendly Distance’
“Merkel will maintain her friendly distance from Putin,” Techau said. “There is a consensus in Germany that good relations with Russia are important.”
Still, Merkel herself said yesterday that she saw “a general danger that Russia to a certain extent will lose its reliability if we see very long interruptions in gas deliveries.”
The dispute and Russian state-controlled media coverage of it has spotlighted Putin, 56, more than President Dmitry Medvedev, his chosen successor when he stepped down from the presidency last May. As the former KGB colonel was shown pacing Gazprom’s headquarters Jan. 13 on the Vesti-24 channel, Medvedev hosted a Kremlin banquet to honor parents with large families.
Putin’s approval rating was 83 percent in an October poll published by the Moscow-based Levada Center, and almost 90 percent in September after Russia trounced Georgia in a five-day war condemned by the EU and the U.S. No polls have been released since the gas crisis began earlier this month.
Don’t Mess With Russia
“Putin has again shown to the domestic Russian audience that he is a strong leader,” said Chris Weafer, chief strategist at UralSib Financial Corp. in Moscow. “His message to the people is that nobody should mess with Russia when he is around.”
He has less sway over the economy. It may contract in the first half, plunging Russia into its first recession since 1998, presidential aide Arkady Dvorkovich said last month. The 2009 budget may show its first deficit in a decade, and Urals crude oil has plunged 70 percent from its July high.
The ruble has lost 28 percent against the dollar since the start of August, reaching a record low today as it headed for the biggest weekly decline against the dollar in a decade. Russia’s Micex stock index has tumbled almost 60 percent.
European alternatives to supplies from Gazprom are limited and no final decision has been made on financing the planned Nabucco pipeline, a rival route intended to carry central Asian gas to Europe by 2013.
Long-Term Dependence
“The dependence on Russian gas will remain the European reality for some time,” said Masha Lipman, a political analyst at the Moscow Carnegie Center.
Even if Europe is able to arrange alternatives, Gazprom’s share of the gas market in Europe is unlikely to fall below a quarter in the coming decade, according to Troika Dialog analyst Valery Nesterov.
While the dispute has cost Gazprom $1.2 billion in lost exports since the start of the year, according to Deputy Prime Minister Igor Sechin, the company is poised to benefit in the long run.
It is trying to charge market prices in Ukraine for the first time after allowing discounts that are a relic of the Soviet Union. Had Gazprom received the going rate for Europe last year from Ukraine, it would have garnered an additional $12 billion in revenue, UralSib’s Weafer estimates.
Orange Revolution
In the end, Yushchenko, who has courted the EU since leading the 2004 Orange Revolution with promises to wean Ukraine off its dependence on Russia, may suffer from his anti-Russian views. He has accused the Kremlin of playing a role in the poisoning attempt on his life during the 2004 presidential election. He also sided with Georgia during the August conflict.
“There is also a personal side to all this, as with the war with Georgia,” said Yulia Latynina, a political commentator on the Ekho Moskvy radio station. “What we are seeing now is a war with Yushchenko.”
The EU may have to weigh Ukraine’s aspirations to become a member against ensuring Russia can fill its energy needs.
“Friendship has certain boundaries,” Nesterov said. “Europe won’t sacrifice its gas to protect the interests of Ukraine.”
To contact the reporters on this story: Alex Nicholson in Moscow at anicholson6@bloomberg.net; Last Updated: January 16, 2009 09:13 EST

http://www.bloomberg.com/apps/news?pid=20601085&sid=acVl7OUWloEo&refer=europe#

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Adamkus:Urgent solution needed to Baltic energy security issue
Today, 16:32


Vilnius, January 16 (Interfax) - Special attention should be paid to issues related to the energy security of the Baltic countries, Lithuanian President Valdas Adamkus said at a meeting with Swedish Foreign Minister Carl Bildt on Friday.
"The present situation in Europe once again confirms the need for an urgent solution to energy security issues facing the Baltic nations," the Lithuanian president said.
Adamkus and Bildt discussed the situation in Europe provoked by the ongoing gas dispute between Russia and Ukraine, the presidential press service told Interfax.
"It is increasingly important for Europe to draw all the appropriate conclusions from this situation, to bolster its energy policy and to speak with one voice," the Swedish minister said.
Bildt also said that Europe should find a way to diversify its energy sources.
Addressing a project to build a gas pipeline under the Baltic Sea, Adamkus said that "this project does not reflect the energy interests of all EU states, and it creates numerous ecological problems in the Baltic Sea and other security problems."
http://www.kyivpost.com/world/33505/print
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Lithuania: Police Use Tear Gas On Protesters
January 16, 2009 1424 GMT
Police in Vilnius, Lithuania, on Jan. 16 used tear gas and rubber bullets to disperse a crowd of about 5,000 anti-government protesters who had begun throwing bottles and stones at the Lithuanian parliament building, Reuters reported. The protesters were pushed back after having smashed several windows in the building with stones.
http://www.stratfor.com/

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Police use tear gas to break up Lithuanian demonstration - Summary
Posted on : 2009-01-16 Author : DPA News Category : Europe

Vilnius - Tear gas and baton charges were used in the Baltic states for the second time in less than a week on Friday when the Lithuanian capital, Vilnius, joined the Latvian capital, Riga, as the scene of violent clashes between police and protestors. Around 7,000 people from across Lithuania on Friday gathered outside national parliament and government offices in Vilnius for a union-led demonstration against tax increases, job losses and public spending cuts.
Soon after the official start of the demonstration at midday, some elements in the crowd chanted "Thieves come out!" and pelted the parliament building with a variety of missiles including snowballs, stones, bottles and vegetables, breaking several windows.
An unconfirmed report suggested a shot may have been fired from the crowd through a window.
Soon afterwards, riot police reacted by arresting a group of the most aggressive protestors, who had attempted to break into the parliament building.
Tear gas was then used to disperse the rest of the crowd from the immediate vicinity, before protestors regrouped and made a second attempt to storm the parliament.
Again they were beaten away and teargas was deployed again. Order had largely been restored by around 3 pm.
Around a dozen people were reported to have been injured during the clashes according to a local hospital, but none of them were in a serious condition.
Demonstrators at other locations in Vilnius outside government buildings were less confrontational, contenting themselves with handing in petitions and waving banners. Crowds also gathered in several provincial towns across the country.
Lithuanian President Valdas Adamkus said he was generally satisfied with the authorities' handling of the disturbance and called for cool heads on all sides.
"The dialogue should be lead not by street riots and clashes, but by normal, calm discussions between the people and the government," Adamkus said.
Prime Minister Andrius Kubilius convened an emergency meeting of senior state officials and security services on Friday afternoon to plan his response and ensure public safety overnight.
Political protests in neighbouring Latvia descended into violence earlier in the week and similar scenes were also witnessed in Bulgaria as anger over a bleak economic outlook and political mismanagement threatens to boil over.

http://www.earthtimes.org/articles/show/250977,police-use-tear-gas-to-break-up-lithuanian-demonstration--summary.html#

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Around 7,000 protest anti-crisis measures in Lithuanian capital

16/01/2009 15:54 VILNIUS, January 16 (RIA Novosti) - Some 7,000 people took part in a protest against government anti-crisis policies in the Lithuanian capital of Vilnius on Friday, national media said.
The trade union-organized rally was held in front of the Lithuanian parliament and government offices.
Some 400 police officers were deployed to the protests. Local authorities were concerned that the rally would see violence similar to that which hit protests in the neighboring Baltic state of Latvia on January 13, where more than 40 people were injured in clashes with riot police.
Protesters were demonstrating against anti-crisis policies that have led to tax increases and public spending cuts, and demanded that government officials show solidarity with the people by decreasing their own salaries.
Police were forced to use tear gas at one point as the crowd tried to force its way into parliament. However, there were no injuries and the crowd has now dispersed.
http://en.rian.ru/world/20090116/119629460.html
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Mass riots follow protest- Emergency declared
Jan 13, 2009TBT Staff

What was planned to be a peaceful protest soon turned into a mass mob. Photo: Toms Baugis
RIGA-What began as a calm 10,000 strong protest in Dome Square has turned into a riot. Following the peaceful demonstration, thousands of demonstrators mobbed the parliament building and have destroyed several police cars. Protestors have also broken into a Balzams liquor store and are currently looting the general vicinity around the parliament.
Medics report that eight people have been injured so far, as rioting continues into the night.
A state of emergency has been declared by police as they report that drunk youths are still vandalizing the Old Town of Riga.
Early in the evening, a mob tried to break into the Parliament building by breaking windows and were held back with police tear gas.
With shouts of “Dissolve the Saeima” the protestors attempted to storm into the parliament building.
The rally earlier had been held to protest the Saeima and to demand the dissolution of its current members
http://www.baltictimes.com/news/articles/22098/
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Vilnius protest turns violent
Jan 16, 2009Adam Mullett, VILNIUS
Protesters hurled smoke bombs and rocks at riot police. (Photo by Nathan Greenhalgh

VILNIUS - Police were forced to resort to rubber bullets and tear gas after hooligans hijacked a peaceful protest outside of Seimas (Lithuanian parliament) today.
The protests were against the government’s crisis plan, which included substantial tax hikes.
“We are angry from the policies of the politics and the rise in prices. They should cut more expenses from the budget, not raise taxes. If there is not enough money, you have to cut expenditures – stop building, stop celebrating things and stop raising Seimas salaries,” one student told The Baltic Times.
“They have to make these decisions, but the problem is that they are hurrying a lot. The government has just changed and they have to do everything fast – they are rushing and making mistakes,” he added.
Arturas Zuokas, a member of the ruling coalition, told The Baltic Times that the government has gone too fast with its reforms.
“I think a good message for the ruling coalition is that we need to talk more with people about the situation that exists in Lithuania, and not to do some strange and too quick reforms that have been done in the last months. Its an important part of democracy,” he said.
“I can understand what they are saying and doing. Their main question is how to live and what their future will be like for them.”
The government has raised the tax burden on workers and business owners, which has put many out of work.
ERUPTION
Prior to the first wave of violence, protestors were pelting the Seimas with snowballs and rocks. After riot police arrived, the protestors turned violent and began throwing fireworks, glass and bricks.
Tear gas was fired to disperse the crowd, which then responded by throwing bricks, glass, and fireworks at the riot police.
Directly after the first tear gas attack, one student said, while crying and coughing, “I think this is shit – our parliament works bad – people are without work. There are young people without work – there isn’t any money. We have to pay for cars, but we have no money. I don’t think the police should have acted like this, because we haven’t done anything.”
The fighting escalated when hooligans began destroying construction barricades and rubbish bins. Police fired rubber bullets in response to glass shards broken from the Seimas fountain.
Police pushed the hooligans down Gedimino Avenue to Lukiskes Square where they were dispersed. However, another group of hooligans attacked the Seimas again, but were quickly dispersed.
http://www.baltictimes.com/news/articles/22139/
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N.Y. / REGION January 12, 2009 City Room: Court Stays Demolition of Lithuanian Church

By Sewell Chan

An appellate court has blocked the Archdiocese of New York's effort to demolish Our Lady of Vilnius Church in SoHo, which served the Lithuanian community until it was closed in 2007.
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From: Joanie Gustavson Sent: Monday, January 12, 2009 5:43:58 PMSubject: YouTube - Zuvedra - Brasil lithuanian team dancing in Brazil!!!!1 champions many times overhttp://www.youtube.com/watch?v=Vor_51bXc4w==============================================================
From: Joanie Gustavson Sent: Monday, January 12, 2009 5:48:23 PMSubject: YouTube - Lithuania Latin Formation 2008 James Bond!!!!!!!!!!!! :-))http://www.youtube.com/watch?v=FDd6c5o5V_U&feature=related===========================================================
Astronomy Picture of the Day

http://apod.nasa.gov/apod/ap090112.html
Unusual Light Pillars Over Sigulda, Latvia
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Erection of electricity grid Lithuania-Poland to start in 2010
Petras Vaida, BC, Vilnius, 15.01.2009.
As it has been planned, the erection of the electricity grid interconnection between Lithuania and Poland is intended to be started in 2010. It was confirmed by the LEO LT subsidiary Lietuvos Energija.
On Wednesday, in Warsaw, Lithuanian Prime Minister Andrius Kubilius met with Jaroslav Neverovic, chairman of the board of directors of the company LitPolLink for the implementation project on the electricity bridge, and Wladyslaw Mielczarski, chairman of the supervisory board of the company and coordinator of the project assigned by the European Union, who presented the action plan of the Project, informs ELTA.
During the meeting, participants discussed the progress of the project, directions for the activities foreseen in the action plan such as the preparation of special and technical plans, inclusion of the route into the plans of local self-government in Poland, environmental issues, etc.
According to Neverovic, it is sought to prepare for the erection of the electricity link and comply with all the EU requirements concerning valuable natural objects, since the link would pass along protected objects on both sides.
http://www.baltic-course.com/eng/energy/?doc=8785
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Estonian Laws no longer available for Russian speakers
Jan 07, 2009By Jana Belugina
TALLINN - The Estonian government’s decision to discontinue translation of legal documents and legal acts into the Russian language has angered native Russian speakers in the Baltic country. The unpopular decision, which will deprive about 400,000 people of the possibility to fully understand legislation and their rights as citizens in their native language, has been justified by a state budget shortfall.
http://www.baltictimes.com/news/articles/22053/
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Tuesday, January 6, 2009

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News January 7, 2009


The Mazeika Report January 7, 2009


go to blog link http://mazeikabloginternationalnews.blogspot.com/ for archival reports for the months of November, October, September, August, July and June, 2008Pass this link on to other readers! Breaking stories.....your comments are welcome.... Place this "blog link" into your computer favorites for easy access. =======================================================
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Geopolitical Diary: The Gaza Offensive and Obama's Presidency
January 5, 2009 0256 GMT

Israel’s military offensive against Hamas in Gaza entered its ninth day on Sunday. Israeli forces moved across the Gaza Strip to the Mediterranean, splitting the territory in two, and began gathering around Gaza City. Though Israel has no intention of reoccupying the territory, Israeli officials have made clear that the operation could intensify and be extended for a considerable time — until they are is satisfied Hamas has been dealt a heavy blow. The situation likely will dominate the headlines for some time, but little will have changed on a geopolitical level when it is over. Even assuming that Israel succeeds in crippling Hamas’ military wing and in restoring some of its own deterrent prowess against irregular forces in the region, Hamas will not be eliminated as either a political or militant force in the territory.
But with the U.S. presidential inauguration just days away, it looks as though the Israeli-Palestinian issue will occupy a good deal of Washington’s attention after President-elect Barack Obama takes office Jan. 20 — even though it pales in comparison to a host of critical matters that will be waiting for Obama to address.
Following the Israeli operation in Gaza, the Palestinian territories will remain more or less divided — politically, territorially, economically and militarily — between the Gaza Strip and the West Bank, making the formation of a viable Palestinian state virtually impossible. And Hamas will still be a force in Gaza; the group has extensive social networks in the region and maintains substantial popular support there. Furthermore, Hamas’ rival Fatah is severely internally divided and lacks the ability to impose its influence in Gaza, regardless of how strong or weak Hamas may be. Meanwhile, Israel will continue its policy of divorcing itself from the Palestinian issue, content to have the Palestinians fighting among themselves as long as their militant assets do not threaten Israel proper.
In short, the Gaza operation is not Israel’s end-all offensive against the Palestinians –- merely another chapter in an intractable conflict that will continue to draw the world’s attention from time to time.
The Obama administration faces a number of issues with far more geopolitical significance than the current Israeli offensive. The India-Pakistan crisis is still far from resolved, with officials in New Delhi now in the process of making the case to the international community that elements of the Pakistani state were involved in the Nov. 26 Mumbai attacks. The Indian home minister expected in Washington this week to present evidence on the Pakistani link, and there is no guarantee that Pakistan will be able to evade military action from the Indians unless Islamabad somehow follows through with politically costly demands to purge its intelligence apparatus and crack down on its militant proxies — demands that it may simply lack the capacity to fulfill.
Meanwhile, the situation in Afghanistan shows little sign of improving, as the Taliban continue to strengthen. In Iraq, a number of problems are on the horizon as the Shiite-dominated government in Baghdad and Tehran both exploit constraints placed on U.S. forces by the new Status of Forces Agreement to contain Iraq’s Sunni and Kurdish factions. Meanwhile, Russia has cut off natural gas supplies to Ukraine — just one of many steps the Kremlin intends to take to secure its influence in its near abroad, at the expense of the United States and its Western allies, while Washington remains preoccupied. All of these foreign policy challenges are unfolding against the backdrop of a global financial crisis that is knocking the wind out of the world’s most active economic hubs.
Obama will have to hit the ground running Jan. 20, but the Gaza situation could slow his administration down in the early phase of his presidency. Whether a cease-fire is negotiated, Hamas is crippled or Israel suffers another symbolic defeat, little will change in the Israeli-Palestinian conflict (though any of these outcomes could absorb significant international attention). The effects of a resurgent Russia, a crippling financial contagion or a potential crisis on the Indian subcontinent, however, will be felt long after events in Gaza disappear from the headlines.
http://www.stratfor.com/

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Top 10 Global Risks in 2009
Economic actions by Congress plus key foreign-policy challenges for incoming Obama team
Posted January 5, 2009
Eurasia Group, a global political risk research and consulting firm, puts the "unintended consequences" of government rescue measures in the current economic crisis at the top of its risk areas to watch for global investors.

"It's not hard to paint a negative outlook as we begin 2009, given the political instabilities that naturally emerge from such a serious global economic downturn. But underlying the market volatility over the coming months will be two important structural forces, an understanding of which should provide useful context for a year with unprecedented levels of political risk," Eurasia Group President Ian Bremmer said in a report to clients today.
"First, we'll see more state intervention in the global economy," he said. "Second, that intervention will be both reactive and uncoordinated by a series of local, regional, and national political actors who have decidedly nonglobal (and in many cases nonmarket) views of the cost/benefit equations that attend their policy decisions.
"In short, politics will drive the global economy more directly, and more inefficiently, in the coming year than at any point since World War II."
The following is the summary from Eurasia Group's Top Risks for 2009 report:
1. US financial regulation and the rise of Congress: A stronger Congress is likely to be more assertive in driving the U.S. economic policy agenda, with three broad areas to watch: (1) legislative and regulatory changes in the financial industry; (2) direct government involvement/control over economic enterprises; and (3) fiscal policies meant to spur economic growth. The degree to which political populism plays a role in the response to the financial crisis will have a host of unintended consequences.
2. South Asia security: The security environment in India, Pakistan, and Afghanistan will deteriorate significantly, and the U.S. and Europe will find themselves more directly involved in conflicts in all three states, with little benefit to show for it by the end of 2009.
3. Iran /Israel: Iran is expected to have the capacity to develop a nuclear bomb (if it so chooses) by the end of the year. While the likelihood of US strikes against Iran has diminished considerably, 2009 is the critical year for conflict (both direct and through proxies) between Iran and Israel.
4. Russia : The challenges of the financial crisis are likely to produce increased social unrest in Russia—with nearly zero state tolerance for dissent. Given that the Barack Obama administration will probably not keep quiet during a crackdown in Russia, relations between Russia and the US, as well as Russia's relations with some European nations, are likely to continue to deteriorate. Russia will be a troublemaker in international affairs, though military intervention in Ukraine or a direct conflict over Georgia, NATO enlargement, and missile defense are unlikely.
5. Iraq : The Iraqi government will face a series of political tests that will determine its ability to keep the country united and move it toward stability. President Obama will face pressure to fulfill his promise to withdraw U.S. combat troops within 16 months, but he may have to revise his timetable. The looming prospects of U.S. withdrawal, combined with provincial and the parliamentary elections, will expose Iraq to high risks of renewed unrest, while the unresolved dispute over the oil-rich city of Kirkuk will remain a source of long-term volatility.
6. Venezuela : President Hugo Chavez's plan for a referendum to reform the constitution and abolish term limits is unlikely to succeed. Faced with defeat, Chavez is likely to take an increasingly authoritarian approach, which will raise social and political turmoil domestically.
7. Mexico : Rising violence and corruption scandals associated with narco-trafficking will continue to raise questions about the government's strategy against organized crime. However, growing public concerns will not affect political stability or the government's increasingly aggressive efforts to weaken the drug cartels.
8. Ukraine : Direct military conflict with Russia is unlikely, but battles between Prime Minister Yulia Tymoshenko and President Viktor Yushchenko will continue to divide the government and complicate attempts to deal with Ukraine's economic crisis. Growing unemployment, falling wages, and anger at politicians will increase the risk of social unrest in major cities.
9. Turkey : The fight between secularists—in the judiciary, military, and industry—and the Islamists in government is becoming a serious obstacle to economic advancement and Ankara's bid for EU membership.
10. South Africa: The African National Congress is likely to keep a majority in parliament and Jacob Zuma should prevail as the country's next president. Uncertainty over the government's macroeconomic approach, however, may lead to market pessimism, and the outcome of Zuma's corruption case could pose further challenges.
http://www.usnews.com/articles/news/2009/01/05/top-10-global-risks-in-2009_print.htm

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Important informational link: Combating terrorism Center at West Point
Major institutional resource in the study and monitoring of terrorism at US Army West Point Military Academy, New York.
Tony Mazeika


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Mark Steyn: Gaza has its version of rocket scientists
Westerners seem to expect more civilized behavior from Israel than from its adversaries. Mark Steyn Syndicated columnist http://www.ocregister.com/articles/gaza-israel-think-2272631-hamas-president#slComments
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Estonia clears 'Russian rioters'
An Estonian court has acquitted four ethnic Russians accused of leading riots that shook the capital, Tallinn.
The riots started after the government decided in 2007 to relocate a Soviet-era war memorial, considered a reminder of Soviet occupation by many Estonians.
More than one-third of Estonians are ethnic Russians, who viewed the move to a military cemetery as an insult to Soviet troops killed fighting in WWII.
Public prosecutors said they were likely to appeal against the acquittal.
The four ethnic Russians were cleared of charges including inciting racial hatred and fomenting disorder.
The four accused faced jail terms of up to five years if they were found guilty.
International row
The April 2007 row about moving the statue led to the Russian parliament, the Duma, unanimously condemning what it called the "Neo-Nazi and revanchist mood in Estonia".
Estonian government websites were hit by a cyber-attack that Tallinn blamed on the Kremlin, while Russian nationalists picketed the Estonian embassy in Moscow.
The Estonian foreign ministry said Russia's accusation of "heroising Nazism" was "groundless".
Russia, and many ethnic Russians in Estonia, consider that the monument commemorates those who died to liberate Estonia from Nazi Germany during World War II.
However, the Soviet Union had occupied Estonia before the war, and annexed it again in 1945, so many Estonians regard the statue as a symbol of the country's occupation.
After clashes between ethnic Russian and Estonian activists at the old site of the monument in the centre of Tallinn, the Estonian government decided to move it to a more discreet location at a military cemetery.
Story from BBC NEWS:http://news.bbc.co.uk/go/pr/fr/-/2/hi/europe/7811383.stm
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January 7, 2009
Gazprom Dispute Entangles Europe
By DAVID JOLLY and JULIA WERDIGIER
PARIS — Russia’s gas price dispute with Ukraine escalated Tuesday, disrupting deliveries to the European Union in the midst of a bitter cold spell, with a number of countries reporting that gas supplies had been suspended or reduced, and Germany predicting a possible shortage.
Bulgaria, Romania, Greece, the Czech Republic, Austria and other countries including Croatia, Macedonia and Turkey reported that gas supplies had been suspended or reduced after Gazprom, the Russian gas monopoly, reduced gas shipments through Ukraine.
Aleksandr I. Medvedev, a deputy chief executive of Gazprom, said at a news conference in London that three export pipelines within Ukraine had been shut down early Tuesday morning.
“The flow to Europe through the Ukraine is now about seven times less than the norm and the situation continues to deteriorate,” Mr. Medvedev said. “The Ukraine is in obvious breach of its commitments.”
“We face this challenge together with our European colleagues,” he added. “It’s a question of absolute irresponsibility,” and he called on the European Union to “go after Ukraine.”
Nonetheless, he said, Gazprom is “ready to go to the negotiation table any day, any minute.”
The European Commission and the European Union presidency responded to the Russian move with a statement demanding that “gas supplies be restored immediately to the E.U. and that the two parties resume negotiations at once with a view to a definitive settlement of their bilateral commercial dispute.” They said the E.U. would seek to “intensify the dialogue with both parties so that they can reach an agreement swiftly.”
E.ON Ruhrgas, the German gas company, said its gas supplies via Ukraine at its Waidhaus station had been “massively reduced,” and predicted that deliveries would completely stop in the next few days. E.ON said it would soon be unable to meet demand if supplies were not restored and temperatures remained low.
The Bulgarian Energy Ministry said that its deliveries were suspended early Tuesday, including gas intended for transit to Turkey, Greece and Macedonia. Bulgaria gets the vast majority of its gas from Russia. Bulgarian leaders announced that natural gas supplies would be slashed by two thirds on Tuesday, forcing the nation to rely on reserves in the village of Chiren in central Bulgaria that could last up to two months.
Prime Minister Sergey Stanishev said that the storage facility had reserves of 570 million cubic meters of gas and could provide about 4.5 million cubic meters daily — about a third of the country’s normal consumption.
The Turkish energy minister, Hilmi Guler, on Tuesday told reporters in Ankara that the Russian gas from a pipeline that transits Ukraine had been completely cut. But Turkey is seeking to increase deliveries of Russian gas via a Black Sea pipeline, he said.
In Prague, the Czech pipeline operator RWE Transgas said the flow of gas “delivered by the transit pipe line system through the Ukraine and Slovakia to the Czech republic and other EU countries has dropped significantly.” It said it would increase purchases of Norwegian gas delivered via another pipeline.
The Romanian Economy Ministry also released a statement saying that a pipeline delivering Gazprom gas had been shut down. A second pipeline in the north of the country continues to operate, however.
In Vienna, the Austrian energy company OMV said its supply of Russian gas via Gazprom was down 90 percent Tuesday. Werner Auli, a member of the OMV board said in a statement: “The supply of natural gas to our customers is still secured for the time being.”
In Slovakia, the gas company SPP said in Bratislava that a state of emergency had been called over the situation, and that it might have to restrict gas use by businesses, though households would be protected.
The Polish gas company Polskie Gornictwo Naftowe i Gazownictwo said in a regulatory statement that its deliveries via Ukraine fell 85 percent and that it would ask big industrial customers to reduce consumption.
Gazprom began reducing deliveries Monday for transit through Ukraine to Western European customers, saying it was seeking to make up for gas stolen by Ukraine. The Gazprom chief executive, Aleksei B. Miller, said in a conversation with Prime Minister Vladimir V. Putin broadcast Monday on Russian state television that Gazprom would reduce exports bound for Western Europe through Ukrainian pipes by the same amount that it accused Ukraine of diverting.
Gazprom announced late Monday that it would reduce gas deliveries to the gas transmission system of Ukraine by 65.3 million cubic meters, the amount it says Ukraine removed from its pipelines between Jan. 1 an Jan. 4. Normal volume is closer to 300 million cubic meters.
It said that any countries that suffer shortages as a result should blame Ukraine for not paying a fair price for Russia’s natural gas. Russia and Ukraine, which has a pro-Western government, have been haggling over gas prices for years, in disputes that often carry political overtones. In the current fracas, Ukraine resisted an increase in Russian gas to $250 per 1,000 cubic meters from the current $179.50. Russia then raised the price to $418 for the same volume and again to $450. Oleh Dubina, chief executive of the Ukraine gas company Naftogaz, told journalists in Kiev that he would go to Moscow Thursday to resume talks.
The Russian announcement Monday was, in essence, a partial Russian fuel embargo of Europe, something policy makers in Western capitals have feared for some time as relations with Moscow bottomed out last summer following the war in Georgia.
The announcement took the form of a conversation between Mr. Putin and Mr. Miller during an evening newscast. As they have in the past, the men accused Ukraine of diverting gas from pipelines that send it through Ukraine to Europe, something the Ukrainian government has denied doing.
Mr. Putin asked Mr. Miller how much Ukraine had diverted. About 65.3 million cubic meters of natural gas since Jan. 1, the executive said. “What are you going to do?” Mr. Putin then asked. Mr. Miller responded that he was considering ordering Gazprom to immediately cut exports bound for Western Europe through Ukrainian pipes by this same amount.
He said Gazprom would seek to mitigate shortages by shipping more gas through Belarus and Turkey, and by withdrawing gas from storage. But he suggested that European nations should blame Ukraine for likely deficits of heating fuel. Mr. Putin asked, “How about the supplies to our Western European consumers under long-term contracts?”
Mr. Miller said that Europe would only lack what “Ukraine had stolen.” Mr. Putin then said: “Good, I agree, cut it from today.”
In the days ahead, Mr. Miller added, Gazprom would each day reduce the volume of gas supplied at Ukraine’s border and intended for re-export to Europe by the amount it suspects Ukraine of diverting from the pipelines. Russia diminished the flow of gas to Ukraine on Jan. 1 by about 100 million cubic meters per day. Since then, Russia has accused Ukraine of withdrawing gas from the export pipelines.
Ukraine countered that it was diverting only enough fuel, about 21 million cubic meters, to power compressors. Authorities in Kiev said they were meeting internal demand from reserves and domestic production.
While ostensibly intended to force higher payments on Ukraine, the latest cuts directly affect gas bound for Western markets, something that energy experts said was seemingly designed to drag the European Union into the dispute, forcing it to assume a mediating role, assist Ukraine with payments or face shortages in its member nations’ markets.
In 2006, a similar dispute prompted the European Union to side with Kiev. This time the bloc has urged a swift end to the crisis, but it has so far refused to get involved. “It has to be resolved by the two parties,” said Ferran Tarradellas Espuny, an energy spokesman for the European Commission in Brussels.
The global recession has reduced demand for energy and allowed many countries to salt away stockpiles in national reserves, making any embargo easier to weather than in 2006.
David Jolly reported from Paris, and Julia Werdigier from London. Andrew E. Kramer contributed from Moscow, and Doreen Carvajal from Paris.
http://www.nytimes.com/2009/01/07/world/europe/07gazprom.html?_r=1&hp=&pagewanted=print
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Russia wants warships stationed around the world
Reuters
Sunday, January 4, 2009
MOSCOW: Russia's military leaders approved a plan by the navy on Sunday to station warships permanently in friendly ports across the globe.
Underfunded since the 1991 break up of the Soviet Union, the Russian navy has been reasserting itself over the last year by chasing Somali pirates around the coast of east Africa and steaming across the Atlantic to visit allies in South America.
"The General Staff has given its position on this issue and it fully supports the position of the (Navy's) main committee," deputy chief of staff Colonel-General Anatoly Nogovitsyn told RIA Novosti news agency.
A resurgent navy has become central to a strategy for Russia -- which enjoyed a decade of economic revival from 1998 -- to project itself in foreign affairs.
In August a Russian diplomat said the navy was to make more use of a Syrian Mediterranean Sea port. Last month a Russian warship cruised off Cuba after visiting South America for the first time since 1991.
Nogovitsyn said Russia was directly negotiating with foreign governments to station warships at bases around the world permanently, although he declined to give exact details.
"Nobody can predict where problems could flare up," he said. "What we need are permanent bases, but these are very costly. They need to be considered very carefully."
RIA Novosti wrote that the Russian navy was already in negotiations to build a permanent Black Sea Port in the Russia-backed breakaway Georgian region of Abkhazia.
(Writing by James Kilner; Editing by Charles Dick)
http://www.iht.com/bin/printfriendly.php?id=19069482
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BALTIC BRIEFInsight and information for friends of The U.S.-Baltic Foundation
January 6, 2009, Volume 2, Issue Iwww.usbaltic.orgCompiled by Trevor Dane

The Baltics in the News
Architecture and Light- Vilnius Is Reborn As EU Cultural Capital
E-voting pioneer Estonia plans mobile phone ballots
Turkmen Delegation Learns International Information Communication Technologies Experience in Latvia
Libya, Estonia Establish Diplomatic Relations
Lithuania to Buy Shoes for Afghans

USBF at Work
USBF Co-Sponsors Screening of Red Terror on the Amber Coast at Heritage Foundation: The U.S.-Baltic Foundation along with the Embassy of Lithuania, Victims of Communism Memorial Foundation and The Heritage Foundation sponsored a screening of the new film Red Terror on the Amber Coast, this past Monday evening. Introductory remarks were made by Dr. Lee Edwards, Chairman of the Victims of Communism Memorial Foundation and Lithuanian Ambassador Audrius Bruzga. Following the screening, film writer David O’Rourke and film producer Kenneth Gumbert joined Dr. Edwards and Ambassador Bruzga for a panel discussion.
To purchase copies of the film email: David O’Rourke at dkorop@sbcglobal.net.
USBF Board Of Directors held their annual board meeting on Saturday, December 13 at The Embassy of Estonia. Estonian Ambassador Vaino Reinart welcomed the Board members to the Embassy and discussed the major issues affecting the U.S.- Baltic relationship.
Events
January 9th, 2009, 12pm-1pm: “The Putin Government’s Responses to Increased Xenophobia,” The Woodrow Wilson Center. Click Here for Details
January 13th, 2009, 12pm-1pm: “The Turmoil of Law: Legal Systems in Post-Soviet Space,” Georgetown University. Click Here for Details
January 15th, 2009, 3:30pm-5:30pm: “Youth Movements in Post-Communist Societies: A Model of Nonviolent Resistance,” The Woodrow Wilson Center. Click Here for Details
February 2009: USBF Sponsored panel discussion “President Obama and The Baltics” (details TBD)
Upcoming The Singing Revolution screenings: Wolfville, Nova Scotia Canada, January 21, 2009 Organized by the Toronto International Film Festival Group/Film Circuit. Theater details to come...

For the latest English-language Baltic news on the web, visit The Baltic Times
CLICK HERE to Subscribe to BALTIC BRIEF
Email your news and information to Trevor Dane, or call 202-785-5056

The U.S.- Baltic Foundation in Washington, DC, is a non-political, nongovernmental organization with 501 (c) (3) tax-exempt status. Contributions are tax-deductible to the extent allowed by law.
=================================================================

Lithuania supports EU involvement in solving gas supply to Ukraine
Petras Vaida, BC, Vilnius, 06.01.2009.
It is visible from the information on the progress of events related to gas supply received from Ukraine that the situation is complex, therefore Lithuania supports the idea that the EU should get involved in the solving of this matter, said Lithuanian Foreign Minister Vygaudas Usackas on Monday.
His words were passed to ELTA by Foreign Ministry"s spokesman Rolandas Kacinskas.
As reported, the Russian and Ukrainian gas companies have not reached an agreement yet concerning the gas supply agreement for 2009, because Ukraine disagrees with the new gas prices. On January 1, Russia suspended the supply of gas to Ukraine. On January 4, the Russian gas company Gazprom accused Ukraine that consumers in Europe did not receive 50 million cubic meters of gas due to Ukraine"s fault. Ukraine claims that it is Russia that should be blamed for disarrays and denies having appropriated gas.
"Minister Usackas underlines that it is visible from the information on the progress of events related to gas supply received from Ukraine that the situation is complex, therefore Lithuania supports the idea that the EU should get involved in the solving of this matter," Kacinskas, acting spokesman of the Foreign Ministry, commented to ELTA.
According to the Foreign Ministry spokesman, on 1 January, Foreign Minister Usackas discussed current situation of gas provision to Ukraine with his Ukrainian counterpart Volodymyr Ohryzko, Minister of Foreign Affairs of the Czech EU Presidency Karel Schwarzenberg and member of the European Commission Andris Piebalgs. On Monday, conversations on the role of the EU in the argument between Ukraine and Russia are taking place between the EU ambassadors in the EU in Brussels. They will be continued at the meeting of the EU foreign ministers in Prague on January 8.
"Usackas underlines that the active role of the EU in the solving of the argument on gas supply between Russia and Ukraine would comply with the highlights of the EU Eastern Neighborhood and would contribute to the insurance of energy security in the entire of the EU," claimed Kacinskas.
Reviewers underline that the EU member states have a different opinion on the way to react to the argument between Russia and Ukraine.
http://www.baltic-course.com/eng/energy/?doc=8474&ins_print
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Welcome to Vilnius!
Article By:Marielle Vitureau
Lithuania's capital Vilnius has rung in 2009 as a European Capital of Culture, sharing the title this year with the Austrian city of Linz, with plans for 12 months of concerts, art and multi-media events.
"This puts us back on the European cultural map," says Elona Bajoriniene, events coordinator for the city's special year.
A member of the European Union since 2004, Lithuania was an unwilling Soviet republic until 1990 when it reclaimed its independence and much of its indigenous cultural heritage suppressed by Soviet overlords for half a century.
Founded in the early 14th Century by the Grand Duke Gediminas, Vilnius quickly became a cultural centre in north-eastern Europe, seeing the creation of its university in 1579.
For centuries the city was a meeting point of the Lithuanian, Polish, Russian and Jewish cultures.
With its winding, narrow medieval cobble-stoned streets lined by an impressive mix of Gothic, Renaissance, Baroque and classical-style buildings, in 1994 Vilnius's tourist-magnet old town was declared a UNESCO World Heritage site.
In the year ahead Vilnius promises 900 special events, 60 percent of which will be free of charge and open to the public.
"It's an invitation to rediscover Vilnius," says Bajoriniene.
Organising concerts in a district of Vilnius inhabited by the city's Roma, or gypsies, Augustinas Beinaravicius hopes they will also raise local awareness of and tolerance towards the city's small communities of ethnic minorities.
"I hope that people will become more tolerant towards these kinds of cultural initiatives," he told AFP.
In January a series of concerts is planned paying homage to the celebrated Jewish violinist Jascha Heifetz, born in Vilnius in 1901.
"We want some of the events to become annual ones," says Sandra Adomaviciute, coordinator of several music events, including a street music festival in early May and the Lux festival of light during December, the darkest month of the year.
In June, the National Art Gallery will open an exposition focused on 19th Century Lithuanian composer and painter Mikalojus Konstantinas Ciurlionis (1875-1911) and his contemporaries.
Organisers hope this year's cultural extravaganza will attract three million visitors to Vilnius, population 542 000.
Its tourism and service sectors are expected to boom by at least 15 percent during 2009, a year in which a 4.8-percent contraction of GDP has been predicted after years of robust economic growth.
As the global financial crisis bites, Lithuanian legislators slashed the organising budget for Vilnius culture capital events from 40 to 29 million litas (€11.6- to €7.25-million).
"I hope this year of cultural events will make the outside world get to know our city better," says Sandra, a Vilnius resident who was among the tens of thousands gathered near the city's impressive cathedral to gaze at a spectacular New Year's Eve light show in the night sky by German artist Gert Hof.
"It's a very charming city, with beautiful Baroque architecture and very warm, welcoming locals."
http://travel.iafrica.com/destin/europe/1420923.htm
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Over 5 Million Mobile Phones in Lithuania
­The Lithuanian telecoms regulator has published its quarterly update which has revealed that the country passed the 5 million mobile phone subscriber mark by the end of Q3 '08. The total at the end of last September reached 5.012 million - a one percent rise on the 4.96 million at the end of June 2008.
The country had an estimated population of 3.4 million at the end of 2007.
Over the same time frame, the number of landline subscribers dropped by 0.39 percent to 787,752 at the end of September 2008, while the number of internet subscribers grew by 6.9 percent to 671,976.
The total revenues for telecommunication services grew by almost 3 percent compared with the second quarter to LTL 798.1 million (US$1.59 billion) of which, LTL 344.95 million (US$686 million) was attributed to the mobile telecoms market.
http://www.cellular-news.com/story/35359.php
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Ignalina produced over 9.8bn kWh of electricity in 2008
Petras Vaida, BC, Vilnius, 06.01.2009.
The Ignalina nuclear power plant produced 9.862 billion kWh of electricity in 2008 and sold 9.14 billion kWh.
The Ignalina nuclear power plant.
In December alone, the nuclear power plant produced 953 million kWh of electricity and sold 909 million kWh of electricity, reports ELTA.
In 2007, the Ignalina nuclear power plant produced 9.8 billion kWh of electricity and sold 9.4 billion kWh of electricity. Currently the second block of the nuclear power plant operates with the capacity of 1300 megawatts.
http://www.baltic-course.com/eng/energy/?doc=8486
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Vilnius light show leads 900 events in european culture capital
BC, Vilnius, 05.01.2009.
Vilnius gained the status of European capital of culture in 2009, and the first project of almost 900 was launched as the clock struck midnight on Dec. 31, when the centre of the city burst into laser lights and fireworks, as respectable news service Bloomberg/LETA reported.
German artist Gert Hof fired light shows in the Lithuanian capital's Cathedral Square.
June is the climax, with the opening of a museum of contemporary art, concerts of the London Symphony Orchestra led by Russian conductor Valery Gergiev, and the first International Vilnius Opera Festival. Plans are also going ahead for another new museum designed by Pritzker-winning architect Zaha Hadid.
"This is a chance to put Vilnius back on the map of Europe, as well as the world," Arturas Zuokas, Vilnius mayor from 2000 to 2007, said 'figuratively in an interview.
The city of about 550,000 people shares the Capital of Culture title with Austrias Linz.
Other events under the project include Street Musician Day on May 2, covering everything from rock to classical. In early July, the Millennium Song Festival of local music marks 1,000 years since Lithuania was first mentioned as a state.
As mayor, Zuokas pushed to restore Vilnius's 17th-century old town dominated by Baroque churches, and fostered the growth of a modern financial center. Now, being a a Parliament member from the Liberal and Center Party, he said the budget for the year's cultural events has dropped almost 25% from initial 17 million euros, to 13 million euros ($18.1 million).
"There will be some difficulties to manage the full line-up of events, but we intend to do the maximum possible," said Zuokas, who sits on the Capital of Culture steering committee.
On June 19, the Lithuanian Art Museum opens a branch for contemporary art in a building that once housed a museum about the Bolshevik Revolution.
"Contemporary art has yet to be accepted by the Lithuanian public, which still has strong bonds to traditional culture," said Lolita Jablonskiene, the museum's chief curator. "In 2009, the first generation of people who never knew the USSR will turn 18. Young audiences are usually eager to see contemporary art."
Zuokas is pushing ahead with the design and construction of another museum of contemporary art that may be run jointly with the State Hermitage Museum and Solomon R. Guggenheim Foundation.
In April 2008, Hadid won a competition to design the building. Zuokas said he hopes the Hermitage and Guggenheim will play leading roles. Neither museum has committed, and both are expected to make decisions on participation in the next several months, he said.
http://www.baltic-course.com/eng/baltic_news/?doc=2312&ins_print
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Flat prices in Lithuania decreased by 25% y-o-y
Danuta Pavilenene, BC, Vilnius, 05.01.2009.
In Lithuania, over the year 2008, prices for flats of old construction (up to 2007) decreased very rapidly – from 10% to 25%.
In Vilnius, the prices for flats went down by 23%, in Kaunas – by 15%, in Klaipeda – by 24%, in Siauliai – by 13%, in Panevezys – by 9%, reports ELTA.
Meanwhile, the prices for new flats dropped in a notably slower manner. Over the last year, in Vilnius, the prices went down by 12%, in Kaunas – by 7%, in Klaipeda – by 11%. It was revealed by the data compiled by the real estate advertising website http://www.kapitalas.com/.
It is highly likely that, over the first six months of this year, the flat prices will continue decreasing to equal the prices of the end of 2005 due to the difficult economic situation, whereas they should not change remarkably over the second half-year.
http://www.baltic-course.com/eng/real_estate/?doc=8431&ins_print

Tuesday, November 25, 2008

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News November 25, 2008


Happy Thanksgiving with thoughts of Gratitude and thanks to all!



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VIDEONETDAILY...A major victory for U.S. security

Surprise! See CAIR officials get slapped with summons
Terror-linked Muslim lobby's dinner turns into public relations nightmare
Posted: November 23, 20089:40 pm Eastern
By Joseph Farah© 2008 WorldNetDaily
Nihad Awad, director of CAIR, being served a subpoena
WASHINGTON – When the Council on American-Islamic Relations held its 14th Annual Banquet at the Marriott Crystal Gateway Hotel tonight, it was planning to raise funds and honor some of its supporters, but instead several top officials of the Muslim lobby group were served with a summons and complaint for various civil and criminal offenses.The dramatic surprise, caught on video, was a result of the research work of the Mapping Sharia Project, headed by Dave Gaubatz. He personally served CAIR Director Nihad Awad at the banquet tonight while Democratic North Carolina state Sen. Larry Shaw, a CAIR national board member, was addressing the festivities.
Four CAIR clients have filed a federal civil complaint alleging criminal fraud and racketeering against CAIR, a self-described public interest civil rights law firm. The lawsuit also names CAIR's national leadership as individual defendants. The lawsuit, filed in the United States District Court for the District of Columbia, alleges that Morris Days, the "resident attorney" and "manager for civil rights" at the now defunct CAIR MD/VA chapter in Herndon, Va., was in fact not an attorney and that he failed to provide legal services for clients who came to CAIR for assistance and who had paid for CAIR legal services.
Be sure never to miss another hot WND exclusive like this, again! Sign up right now for FREE WND news alerts right now.While attorney David Yerushalmi represents the four plaintiffs in this particular lawsuit, two of whom are African-American Muslims, the complaint alleges that, according to CAIR internal documents, there were hundreds of victims of fraud scheme by CAIR and Days.According to the complaint, CAIR failed to conduct a background check on Days prior to hiring him and when the group discovered the fraud, it set about a cover-up. The suit charges CAIR officials purposefully concealed the truth about Days from their clients, law enforcement, the Virginia and D.C. state bar associations and the media. When CAIR got irate calls from clients about Days' failure to provide competent legal services, CAIR is charged with fraudulently deceiving clients about Days' relationship to CAIR, concealing the fact that CAIR had fired him for criminal fraud. "The evidence has long suggested that CAIR is a criminal organization set up by the Muslim Brotherhood and Hamas to further its aims of stealth Jihad in the U.S.," Yerushalmi said referring to the fact that CAIR has been named by the federal government as an unindicted co-conspirator in the Holy Land Foundation terror financing trial. "But our investigation and this complaint makes clear that CAIR’s criminal activities know no bounds."Yerushalmi alleges CAIR has engaged in a massive cover-up of a criminal fraud in which hundreds of CAIR clients have been victimized."The fact that CAIR has victimized Muslims and non-Muslims alike demonstrates that CAIR is only looking out for CAIR and its ongoing effort to bilk donors out of millions of dollars of charitable donations thinking they are supporting a legitimate organization," he said.The complaint also alleges that in addition to covering up the Days fraud scheme, CAIR officials in D.C. forced angry clients who were demanding a return of their legal fees to sign a release that bought the client-victims' silence by prohibiting them from informing law enforcement or the media about the CAIR-Days fraud. According to the agreement, if the "settling" clients said anything to anyone about the fraud scheme, CAIR would be able to sue them for $25,000.The four plaintiffs contacted their attorney David Yerushalmi only after they had spoken to Gaubatz, a private researcher who had been investigating CAIR for its connections to the Muslim Brotherhood and its ties to global jihad. The complaint identifies CAIR as a racketeering enterprise under the federal Racketeer Influenced and Corrupt Organizations Act (RICO), which is a criminal racketeering statute that allows victims to sue the defendants in civil court. In addition to damages, the plaintiffs are seeking injunctive relief under this and other statutes to shut down CAIR and to prevent the individual defendants from engaging in public interest legal work in the future.The named defendants are: the Council on American-Islamic Relations Action Network Inc. (dba CAIR); Nihad Awad aka Nihad Hammad, who serves as executive director of CAIR National; Parvez Ahmed, who was the chairman of the board of CAIR National during the relevant time period; Tahra Goraya, who was the national director of CAIR but who has since resigned; Khadijah Athman, who is the manager of the "civil rights" division of CAIR; and Nadhira al-Khalili, Esq., who is in-house legal counsel for CAIR. All were handed subpoenas this evening.According to the complaint, CAIR's in-house Washington, D.C.-based attorney Khalili was directly involved in taking the legal files out of the CAIR Virginia office and concealing them in the D.C. office. Also named as defendants are Ibrahim Hooper and Amina Rubin, CAIR's director of communications and coordinator of communications, respectively. According to the complaint, these two were directly responsible for issuing fraudulent press releases about the Days fraud scheme, thus aiding and abetting the CAIR cover-up.
CAIR officials were not available for comment tonight.Also addressing the dinner was Rep. Keith Ellison, D-Minn., the nation's first Muslim member of Congress. Rep. Ron Paul, R-Texas, reportedly turned down an invitation to address the banquet.As WND previously reported, CAIR allegedly defrauded a number of Muslims recently seeking help with citizenship delays, and then threatened to sue them if they complained to the media, according to a security watchdog group which has obtained internal CAIR documents.The former legal director of CAIR's Maryland/Virginia chapter shook down Muslim hardship cases for thousands of dollars without providing promised services, officials with the Mapping Sharia Project charge.
CAIR, a nonprofit group, promoted the services of the employee, Morris L. "Jamil" Days, whom it publicly described as a civil-rights attorney, even after discovering Days was unlicensed and was fraudulently representing CAIR's clients.CAIR's board allegedly covered up the scandal by paying defrauded Muslim families partial restitution payments while insisting they sign agreements releasing CAIR from legal liability, officials said.Earlier this year, the board also fired Days and closed the chapter's offices in Herndon, Va. The chapter director, Khalid Iqbal, is no longer with CAIR.CAIR refused to respond to the allegations, which came to light only after American Muslims provided evidence to the Mapping Sharia Project."I really don't know anything about this," CAIR spokesman Ahmed Rehab said. He referred questions to CAIR communications director Ibrahim Hooper, who declined comment.Earlier this year, CAIR launched a $250,000 fundraising campaign that included a promotional on its website touting its mission to help Muslims, particularly those confronting citizenship problems."Everyday, CAIR works hard to defend the rights of American Muslims who encounter a delay in gaining citizenship," the group said.In fact, CAIR has "victimized" poor Muslim immigrants, says Gaubatz."CAIR continues to put Muslim Americans at risk through the pretense that they represent them in any way," Gaubatz said. "CAIR is receiving support from big foreign donors, not because of their effectiveness in discrimination cases, but because of their false image in the media."Gaubatz says CAIR, which last year was named an unindicted co-conspirator in a federal terror-financing case involving Hamas, controls some $7 million in real estate assets in Washington through a limited liability holding company that includes silent Middle Eastern investors.He says his group has filed a formal complaint against CAIR concerning the alleged fraud with the District of Columbia.WND has previously reported on CAIR's extensive ties to terrorism and extremism. Although CAIR is a nonprofit organization, it does not disclose complete directories of its staff or advisory boards, and even refuses to make its federal tax filings readily available to the public. But a review of federal criminal court documents, past IRS 990 tax records and Federal Election Commission records detailing donor occupations, reveals that Washington-based CAIR has been associated with a disturbing number of convicted terrorists or felons in terrorism probes, as well as suspected terrorists and active targets of terrorism investigations."Their offices have been a turnstile for terrorists and their supporters," said one FBI veteran familiar with recent and ongoing cases involving CAIR officials.WND has reported that at least 14 CAIR officials have been caught up in terror investigations.Congressional leaders say they are warning lawmakers and other Washington officials to disassociate from the group due to its growing terror ties."Groups like CAIR have a proven record of senior officials being indicted and either imprisoned or deported from the United States," said U.S. Rep. Sue Myrick, R-N.C., co-founder of the House Anti-Terrorism/Jihad Caucus.CAIR itself recently was named as an unindicted co-conspirator in an alleged scheme to funnel $12 million to the terrorist group Hamas. In the Holy Land Foundation case, federal prosecutors also listed CAIR as a member of the U.S. branch of the Muslim Brotherhood, a worldwide jihadist movement that gave rise to Hamas, al-Qaida and other terrorist groups. The government will retry the Holy Land case, which ended in a hung jury."There was a lot of evidence presented at the recent Holy Land Foundation trial which exposed CAIR and others as front groups for the Muslim Brotherhood in the United States," Myrick said.Still, CAIR is lobbying House Judiciary Committee Chairman John Conyers and other sympathetic members of Congress to pressure the Justice Department to expunge its name from the case, arguing the negative publicity has hurt membership and fundraising.The federal judge during the trial refused a written request by the group to strike its name from the list of co-conspirators. The petition is still pending before the court.Here is another brief clip showing the delivery of the legal documents:
CAIR, which runs 33 offices and chapters nationwide, also recently helped defeat an anti-terror plan by Los Angeles police to map the local Muslim community for extremist neighborhoods.Critics counter that CAIR has no legitimate voice to make such complaints, because the group is itself an extremist organization that has employed or appointed to its boards of directors and advisers an inordinate number of radical co-conspirators, suspected and convicted terrorists, and other criminals.

Indeed, the list is long and growing, and includes:
Muthanna al-Hanooti: The CAIR director's home was raided last year by FBI agents in connection with an active terrorism investigation. Agents also searched the offices of his advocacy group, Focus on Advocacy and Advancement of International Relations, which al-Hanooti operates out of Dearborn, Mich., and Washington, D.C.
FAAIR claims to be a consulting firm raising awareness of Sunni grievances in Iraq, but investigators suspect it's a front supporting the Sunni-led insurgency.
Muthanna al-Hanooti, wearing traditional headgarb
Al-Hanooti, who emigrated to the U.S. from Iraq, formerly helped run a suspected Hamas terror front called LIFE for Relief and Development. Its Michigan offices also were raided last September. In 2004, LIFE's Baghdad office was raided by U.S. troops, who seized files and computers.
Al-Hanooti is related to Shiek Mohammed al-Hanooti, an unindicted co-conspirator in the 1993 World Trade Center bombing. He currently leads prayers at a Washington-area mosque that aided some of the 9/11 hijackers.
The FBI alleges al-Hanooti, an ethnic-Palestinian who also emigrated from Iraq, raised money for Hamas. In fact, "Al-Hanooti collected over $6 million for support of Hamas," according to a 2001 FBI report, and was present with CAIR and Holy Land officials at a secret Hamas fundraising summit held last decade at a Philadelphia hotel.
Prosecutors recently added his name to the list of unindicted co-conspirators in the Holy Land case.
Al-Hanooti denies supporting Hamas, although he's praised Palestinian suicide bombers as "martyrs" who are "alive in the eyes of Allah."
Earlier this year, his younger brother, Hamid al-Hanooti, was found dead in Iraq after reportedly being held by local security forces as a suspected terrorist.

Laura Jaghlit: A civil-rights coordinator for CAIR, her Washington-area home was raided by federal agents after 9/11 as part of an investigation into terrorist financing, money laundering and tax fraud. Her husband Mohammed Jaghlit, a key leader in the Saudi-backed SAAR network, is a target of the still-active probe.
Last decade, Jaghlit sent two letters accompanying donations – one for $10,000, the other for $5,000 – from the SAAR Foundation to Sami al-Arian, now a convicted terrorist. In each letter, according to a federal affidavit, "Jaghlit instructed al-Arian not to disclose the contribution publicly or to the media."
Investigators suspect the funds were intended for Palestinian terrorists via a U.S. front called WISE, which at the time employed an official who personally delivered a satellite phone battery to Osama bin Laden. The same official also worked for Jaghlit's group.
In addition, Jaghlit donated a total of $37,200 to the Holy Land Foundation, which prosecutors say is a Hamas front. Jaghlit subsequently was named an unindicted co-conspirator in the ongoing case.

Abdurahman Alamoudi: Another CAIR director, he is serving 23 years in federal prison for plotting terrorism. Alamoudi, who was caught on tape complaining bin Laden hadn't killed enough Americans in the U.S. embassy bombings in Africa, was one of al-Qaida's top fund-raisers in America, according to the U.S. Treasury Department.
Nihad Awad

Nihad Awad: For the first time, wiretap evidence from the Holy Land case puts CAIR's executive director at a Philadelphia meeting of Hamas leaders and activists that was secretly recorded by the FBI. Participants allegedly hatched a plot to disguise payments to Hamas terrorists as charitable giving.
During the meeting, according to FBI transcripts, Awad was recorded discussing the propaganda effort. He mentions Ghassan Dahduli, whom he worked with at the time at the Islamic Association for Palestine, another Hamas front. Both were IAP officers. Dahduli's name also was listed in the address book of bin Laden's personal secretary, Wadi al-Hage, who is serving a life sentence in prison for his role in the U.S. embassy bombings. Dahduli, an ethnic-Palestinian like Awad, was deported to Jordan after 9/11 for refusing to cooperate in the terror investigation.
Awad's and Dahduli's phone numbers are listed in a Muslim Brotherhood document seized by federal investigators revealing "important phone numbers" for the "Palestine Section" of the Brotherhood in America. The court exhibit shows Hamas fugitive Mousa Abu Marzook listed on the same page with Awad.
Omar Ahmad

Omar Ahmad: U.S. prosecutors also named CAIR's founder and chairman emeritus as an unindicted co-conspirator in the Holy Land case. Ahmad too was placed at the Philly meeting, FBI special agent Lara Burns testified at the trial. Prosecutors also designated him as a member of the Muslim Brotherhood's "Palestine Committee" in America. Ahmad, like his CAIR partner Awad, is ethnic-Palestinian.
(Though both Ahmad and Awad were senior leaders of IAP, the Hamas front, neither of their biographical sketches posted on CAIR's website mentions their IAP past.)

Nabil Sadoun: A current CAIR board member, Sadoun has served on the board of the United Association for Studies and Research, which investigators believe to be a key Hamas front in America. In fact, Sadoun co-founded UASR with Hamas leader Marzook. The Justice Department added UASR to the list of unindicted co-conspirators in the Holy Land case.
Mohamed Nimer

Mohamed Nimer: CAIR's current research director also served as a board director for UASR, the strategic arm for Hamas in the U.S.
(Tellingly, CAIR neglects to mention Nimer's and Sadoun's roles in UASR in their bios.)

Rafeeq Jaber: A founding director of CAIR, Jaber was the long-time president of the Islamic Association for Palestine. In 2002, a federal judge found that "the Islamic Association for Palestine has acted in support of Hamas." In his capacity as IAP chief, Jaber praised Hezbollah attacks on Israel. He also served on the board of a radical mosque in the Chicago area.

Rabith Hadid: The CAIR fund-raiser was a founder of the Global Relief Foundation, which after 9/11 was blacklisted by Treasury for financing al-Qaida and other terror groups. Its assets were frozen in December 2001. Hadid was arrested on terror-related charges and deported to Lebanon in 2003.
Siraj Wahhaj
Siraj Wahhaj: A member of CAIR's board of advisers, Wahhaj was named as an unindicted co-conspirator in the 1993 World Trade Center bombing. The radical Brooklyn imam was close to convicted terrorist Sheik Omar Abdel Rahman, and defended him during his trial.
He was also a featured speaker at tonight's dinner.
Randall "Ismail" Royer: The former CAIR communications specialist and civil-rights coordinator is serving 20 years in prison in connection with the Virginia Jihad Network, which he led while employed by CAIR at its Washington headquarters. The group trained to kill U.S. soldiers overseas, cased the FBI headquarters, and cheered the space shuttle Columbia tragedy. Al-Qaida operative Ahmed Abu Ali, convicted of plotting to assassinate President Bush, was among those who trained with Royer's Northern Virginia cell.

Bassam Khafagi: Another CAIR official, Khafagi was arrested in 2003 while serving as CAIR's director of community affairs. He pleaded guilty to charges of bank and visa fraud stemming from a federal counterterror probe of his leadership role in the Islamic Assembly of North America, which has supported al-Qaida and advocated suicide attacks on America. He was sentenced to 10 months in prison and deported to his native Egypt.
Ghassan Elashi

Ghassan Elashi: One of CAIR's founding directors, he was convicted in 2004 of illegally shipping high-tech goods to terror state Syria, and is serving 80 months in prison. He's also charged with providing material support to Hamas in the Holy Land Foundation trial. He was chairman of the charity, which provided seed capital to CAIR. Elashi is related to Hamas leader Marzook.

Hamza Yusuf: The FBI investigated the CAIR board member after 9/11, because just two days before the attacks, he made an ominous prediction to a Muslim audience.
"This country is facing a terrible fate and the reason for that is because this country stands condemned," Yusuf warned. "It stands condemned like Europe stood condemned because of what it did. And lest people forget, Europe suffered two world wars after conquering the Muslim lands."
CAIR, which receives financial backing from Saudi and Emirati royalty, denies charges that it has a secret agenda to Islamize America. But a Muslim Brotherhood document declassified in the Holy Land case reveals that CAIR's parent was among Muslim organizations enlisted in a secret plot to destroy the American system from within and eventually take over the country.
Written early last decade in Arabic, the manifesto lays bare the subversive role of CAIR's forerunner, the Islamic Association for Palestine, and other Muslim groups in America to carry out a "grand Jihad in eliminating and destroying the Western civilization from within and sabotaging its miserable house by the hands of the believers, so that it is eliminated and Allah's religion is made victorious over all other religions."
CAIR's founder Ahmad, while claiming to be a moderate and patriotic American, last decade told a group of Muslims in Northern California that they are in America to help assert Islam's rule over the country.
"Islam isn't in America to be equal to any other faith, but to become dominant," a local reporter quoted him as saying, adding, "The Koran, the Muslim book of scripture, should be the highest authority in America, and Islam the only accepted religion on Earth."
Ahmad insists he was misquoted. However, an FBI wiretap transcript quotes Ahmad agreeing with terrorist suspects gathered last decade at the secret Philly meeting to "camouflage" their true intentions.
He compared it to the head fake in basketball. "This is like one who plays basketball: He makes a player believe that he is doing this, while he does something else," Ahmad said. "I agree with you. Like they say, politics is a completion of war."
What's more, Hooper, CAIR's communications director, also has expressed his wish to overturn the U.S. system of government in favor of an "Islamic" state.
"I wouldn't want to create the impression that I wouldn't like the government of the United States to be Islamic sometime in the future," Hooper said in a 1993 interview with the Minneapolis Star Tribune. "But I'm not going to do anything violent to promote that. I'm going to do it through education."
Though conceding he made the remark, Hooper argues that he's never advocated violence. He says he and Muslims like him should work instead through the media and use "education" to help turn America into an Islamic state.
For media inquiries, e-mail Tricia, or call (910) 270-8966.
http://worldnetdaily.com/index.php?fa=PAGE.view&pageId=81863
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Monday, November 24, 2008
Interviews with Saul Anuzis, Michael Steele
Posted by: Amanda Carpenter at 7:35 AM
I had the chance to sit down with two men running to become Republican National Committee Chairman last week. I wanted to talk to them about why they wanted the job and how they could rebuild the party.
Here is the link to my interview with Michigan Republican Party Chairman Saul Anuzis.================================================================

Obama: First Moves
By George Friedman
Related Special Topic Page
The 2008 U.S. Presidential Race
Three weeks after the U.S. presidential election, we are getting the first signs of how President-elect Barack Obama will govern. That now goes well beyond the question of what is conventionally considered U.S. foreign policy — and thus beyond Stratfor’s domain. At this moment in history, however, in the face of the global financial crisis, U.S. domestic policy is intimately bound to foreign policy. How the United States deals with its own internal financial and economic problems will directly affect the rest of the world.
One thing the financial crisis has demonstrated is that the world is very much America-centric, in fact and not just in theory. When the United States runs into trouble, so does the rest of the globe. It follows then that the U.S. response to the problem affects the rest of the world as well. Therefore, Obama’s plans are in many ways more important to countries around the world than whatever their own governments might be planning.
Over the past two weeks, Obama has begun to reveal his appointments. It will be Hillary Clinton at State and Timothy Geithner at Treasury. According to persistent rumors, current Defense Secretary Robert Gates might be asked to stay on. The national security adviser has not been announced, but rumors have the post going to former Clinton administration appointees or to former military people. Interestingly and revealingly, it was made very public that Obama has met with Brent Scowcroft to discuss foreign policy. Scowcroft was national security adviser under President George H.W. Bush, and while a critic of the younger Bush’s policies in Iraq from the beginning, he is very much part of the foreign policy establishment and on the non-neoconservative right. That Obama met with Scowcroft, and that this was deliberately publicized, is a signal — and Obama understands political signals — that he will be conducting foreign policy from the center.
Consider Clinton and Geithner. Clinton voted to authorize the Iraq war — a major bone of contention between Obama and her during the primaries. She is also a committed free trade advocate, as was her husband, and strongly supports continuity in U.S. policy toward Israel and Iran. Geithner comes from the Federal Reserve Bank of New York, where he participated in crafting the strategies currently being implemented by U.S. Federal Reserve Chairman Ben Bernanke and Treasury Secretary Henry Paulson. Everything Obama is doing with his appointments is signaling continuity in U.S. policy.
This does not surprise us. As we have written previously, when Obama’s precise statements and position papers were examined with care, the distance between his policies and John McCain’s actually was minimal. McCain tacked with the Bush administration’s position on Iraq — which had shifted, by the summer of this year, to withdrawal at the earliest possible moment but without a public guarantee of the date. Obama’s position was a complete withdrawal by the summer of 2010, with the proviso that unexpected changes in the situation on the ground could make that date flexible.
Obama supporters believed that Obama’s position on Iraq was profoundly at odds with the Bush administration’s. We could never clearly locate the difference. The brilliance of Obama’s presidential campaign was that he convinced his hard-core supporters that he intended to make a radical shift in policies across the board, without ever specifying what policies he was planning to shift, and never locking out the possibility of a flexible interpretation of his commitments. His supporters heard what they wanted to hear while a careful reading of the language, written and spoken, gave Obama extensive room for maneuver. Obama’s campaign was a master class on mobilizing support in an election without locking oneself into specific policies.
As soon as the election results were in, Obama understood that he was in a difficult political situation. Institutionally, the Democrats had won substantial victories, both in Congress and the presidency. Personally, Obama had won two very narrow victories. He had won the Democratic nomination by a very thin margin, and then won the general election by a fairly thin margin in the popular vote, despite a wide victory in the electoral college.
Many people have pointed out that Obama won more decisively than any president since George H.W. Bush in 1988. That is certainly true. Bill Clinton always had more people voting against him than for him, because of the presence of Ross Perot on the ballot in 1992 and 1996. George W. Bush actually lost the popular vote by a tiny margin in 2000; he won it in 2004 with nearly 51 percent of the vote but had more than 49 percent of the electorate voting against him. Obama did a little better than that, with about 53 percent of voters supporting him and 47 percent opposing, but he did not change the basic architecture of American politics. He still had won the presidency with a deeply divided electorate, with almost as many people opposed to him as for him.
Presidents are not as powerful as they are often imagined to be. Apart from institutional constraints, presidents must constantly deal with public opinion. Congress is watching the polls, as all of the representatives and a third of the senators will be running for re-election in two years. No matter how many Democrats are in Congress, their first loyalty is to their own careers, and collapsing public opinion polls for a Democratic president can destroy them. Knowing this, they have a strong incentive to oppose an unpopular president — even one from their own party — or they might be replaced with others who will oppose him. If Obama wants to be powerful, he must keep Congress on his side, and that means he must keep his numbers up. He is undoubtedly getting the honeymoon bounce now. He needs to hold that.
Obama appears to understand this problem clearly. It would take a very small shift in public opinion polls after the election to put him on the defensive, and any substantial mistakes could sink his approval rating into the low 40s. George W. Bush’s basic political mistake in 2004 was not understanding how thin his margin was. He took his election as vindication of his Iraq policy, without understanding how rapidly his mandate could transform itself in a profound reversal of public opinion. Having very little margin in his public opinion polls, Bush doubled down on his Iraq policy. When that failed to pay off, he ended up with a failed presidency.
Bush was not expecting that to happen, and Obama does not expect it for himself. Obama, however, has drawn the obvious conclusion that what he expects and what might happen are two different things. Therefore, unlike Bush, he appears to be trying to expand his approval ratings as his first priority, in order to give himself room for maneuver later. Everything we see in his first two weeks of shaping his presidency seems to be designed to do two things: increase his standing in the Democratic Party, and try to bring some of those who voted against him into his coalition.
In looking at Obama’s supporters, we can divide them into two blocs. The first and largest comprises those who were won over by his persona; they supported Obama because of who he was, rather than because of any particular policy position or because of his ideology in anything more than a general sense. There was then a smaller group of supporters who backed Obama for ideological reasons, built around specific policies they believed he advocated. Obama seems to think, reasonably in our view, that the first group will remain faithful for an extended period of time so long as he maintains the aura he cultivated during his campaign, regardless of his early policy moves. The second group, as is usually the case with the ideological/policy faction in a party, will stay with Obama because they have nowhere else to go — or if they turn away, they will not be able to form a faction that threatens his position.
What Obama needs to do politically, then, is protect and strengthen the right wing of his coalition: independents and republicans who voted for him because they had come to oppose Bush and, by extension, McCain. Second, he needs to persuade at least 5 percent of the electorate who voted for McCain that their fears of an Obama presidency were misplaced. Obama needs to build a positive rating at least into the mid-to-high 50s to give him a firm base for governing, and leave himself room to make the mistakes that all presidents make in due course.
With the example of Bush’s failure before him, as well as Bill Clinton’s disastrous experience in the 1994 mid-term election, Obama is under significant constraints in shaping his presidency. His selection of Hillary Clinton is meant to nail down the rightward wing of his supporters in general, and Clinton supporters in particular. His appointment of Geithner at the Treasury and the rumored re-appointment of Gates as secretary of defense are designed to reassure the leftward wing of McCain supporters that he is not going off on a radical tear. Obama’s gamble is that (to select some arbitrary numbers), for every alienated ideological liberal, he will win over two lukewarm McCain supporters.
To those who celebrate Obama as a conciliator, these appointments will resonate. For those supporters who saw him as a fellow ideologue, he can point to position papers far more moderate and nuanced than what those supporters believed they were hearing (and were meant to hear). One of the political uses of rhetoric is to persuade followers that you believe what they do without locking yourself down.
His appointments match the evolving realities. On the financial bailout, Obama has not at all challenged the general strategy of Paulson and Bernanke, and therefore of the Bush administration. Obama’s position on Iraq has fairly well merged with the pending Status of Forces Agreement in Iraq. On Afghanistan, Central Command chief Gen. David Petraeus has suggested negotiations with the Taliban — while, in moves that would not have been made unless they were in accord with Bush administration policies, Afghan President Hamid Karzai has offered to talk with Taliban leader Mullah Omar, and the Saudis reportedly have offered him asylum. Tensions with Iran have declined, and the Israelis have even said they would not object to negotiations with Tehran. What were radical positions in the opening days of Obama’s campaign have become consensus positions. That means he is not entering the White House in a combat posture, facing a disciplined opposition waiting to bring him down. Rather, his most important positions have become, if not noncontroversial, then certainly not as controversial as they once were.
Instead, the most important issue facing Obama is one on which he really had no position during his campaign: how to deal with the economic crisis. His solution, which has begun to emerge over the last two weeks, is a massive stimulus package as an addition — not an alternative — to the financial bailout the Bush administration crafted. This new stimulus package is not intended to deal with the financial crisis but with the recession, and it is a classic Democratic strategy designed to generate economic activity through federal programs. What is not clear is where this leaves Obama’s tax policy. We suspect, some recent suggestions by his aides notwithstanding, that he will have a tax cut for middle- and lower-income individuals while increasing tax rates on higher income brackets in order to try to limit deficits.
What is fascinating to see is how the policies Obama advocated during the campaign have become relatively unimportant, while the issues he will have to deal with as president really were not discussed in the campaign until September, and then without any clear insight as to his intentions. One point we have made repeatedly is that a presidential candidate’s positions during a campaign matter relatively little, because there is only a minimal connection between the issues a president thinks he will face in office and the ones that he actually has to deal with. George W. Bush thought he would be dealing primarily with domestic politics, but his presidency turned out to be all about the U.S.-jihadist war, something he never anticipated. Obama began his campaign by strongly opposing the Iraq war — something that has now become far less important than the financial crisis, which he didn’t anticipate dealing with at all.
So, regardless of what Obama might have thought his presidency would look like, it is being shaped not by his wishes, but by his response to external factors. He must increase his political base — and he will do that by reassuring skeptical Democrats that he can work with Hillary Clinton, and by showing soft McCain supporters that he is not as radical as they thought. Each of Obama’s appointments is designed to increase his base of political support, because he has little choice if he wants to accomplish anything else.
As for policies, they come and go. As George W. Bush demonstrated, an inflexible president is a failed president. He can call it principle, but if his principles result in failure, he will be judged by his failure and not by his principles. Obama has clearly learned this lesson. He understands that a president can’t pursue his principles if he has lost the ability to govern. To keep that ability, he must build his coalition. Then he must deal with the unexpected. And later, if he is lucky, he can return to his principles, if there is time for it, and if those principles have any relevance to what is going on around him. History makes presidents. Presidents rarely make history.
http://www.stratfor.com/
http://www.stratfor.com/weekly/20081124_obama_first_moves/?utm_source=GWeekly&utm_campaign=none&utm_medium=email
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November 24, 2008
Two Presidents Say They Encountered Gunfire
By OLESYA VARTANYAN and ELLEN BARRY
TBILISI, Georgia — Presidents Mikheil Saakashvili of Georgia and Lech Kaczynski of Poland said they were met with machine-gun fire when they visited a Russian checkpoint near the South Ossetian boundary on Sunday. Russia denied the claim.
No one was harmed in the encounter, but Mr. Saakashvili said it should convince Europe that Russia was in “the most extreme violation” of a French-brokered cease-fire. Kakha Lomaya, secretary of Georgia’s Security Council, said on Georgian television that Russia “endangered the life of our head of state and the president of a country that is part of the E.U. and NATO.”
The South Ossetian and Russian authorities denied any shooting had taken place, and said the two presidents intentionally provoked their forces. Grigory Karasin, Russia’s deputy foreign minister, told the Interfax news agency that Mr. Saakashvili’s account of shooting was “one more instance of wishful thinking on the part of Georgia.”
Mr. Saakashvili and Mr. Kaczynski, a passionate supporter of Georgia in its conflict with Russia, had arranged the trip on the fifth anniversary of the Rose Revolution, the wave of pro-Western street protests that brought Mr. Saakashvili to power. They assembled a convoy of officials and journalists to visit refugees in a Georgian-held village, but changed their plans just after 5 p.m. to visit the checkpoint.
Mr. Saakashvili said he had proposed the visit so that Mr. Kaczynski could see the Russian presence firsthand.
Fighting in South Ossetia and a second breakaway region, Abkhazia, broke out between Georgia and Russia in August. As part of a cease-fire, Russia has withdrawn its forces from positions in Georgia outside the two regions.
Maria Stepan, a reporter for Radio Zet in Poland, said as journalists were going to the front of the convoy to photograph the presidents getting out of their car, they heard machine-gun fire, though it was not clear whether it was aimed at the presidents’ car, she said.
At a news conference with the Polish president in Tbilisi, the Georgian capital, Mr. Saakashvili said he was caught “Frankly, I didn’t expect the Russians to open fire,” Mr. Saakashvili said. “The reality is you are dealing with unpredictable people. It seems they weren’t happy to see our guest and they weren’t happy to see me either.”
Mariusz Handzlik, a Polish official traveling with the convoy, said he heard three bursts of machine-gun fire, and that the party turned back.
“Our European colleagues should pay attention to it and draw conclusions before it is too late,” Mr. Kaczynski said at the news conference.
Irina Gagloyeva, a spokeswoman for the South Ossetian government, offered a different account. She said 30 vehicles had approached the border post at the village of Mosabruni, and one person got out and asked permission to cross the border. They were denied, and after a 15-minute conversation, they left, she said. “There were no shots fired on either side,” she said.
Russia’s Defense Ministry said its troops “have opened no fire, least of all in the direction of Georgian territory.”
Olesya Vartanyan reported from Tbilisi, and Ellen Barry from Moscow. Nicholas Kulish contributed reporting from Berlin.
http://www.nytimes.com/2008/11/24/world/europe/24georgia.html?_r=1&em=&pagewanted=print
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Putin offers end to standoff over Eastern European missile systems
Posted on : 2008-11-24 Author : DPA News Category : Europe
Moscow - Russia is prepared to make plans to deploy missiles in its Kaliningrad exclave "disappear" if the United States drops plans to base part of its missile defence system in Poland and the Czech Republic, Russia's prime minister said Monday. If the new administration of US president-elect Barack Obama drops deployment plans for a missile shield in what Russia considers to be within its sphere of influence, then "questions of our retaliatory measures will disappear by themselves," Russian Prime Minister Vladimir Putin told journalists at a forum in St Petersburg.
Putin is considered by many to have the last say on Russian foreign policy.
Washington has failed in multiple rounds of negotiations to calm Moscow's concerns about the missile system it says needs to be based in eastern Europe to protect against threats from rogue state's such as Iran.
Russian President Dmitry Medvedev warned on November 5 that Russia would deploy semi-ballistic missiles to its Baltic Sea enclave of Kaliningrad, bordering NATO members Poland and Lithuania, if US plans went ahead.
Putin added on Monday that Russia was hoping for "more constructive" negotiations on a key nuclear arms treaty set to expire next year.
The comments came as Medvedev eased his tone, saying at an Asia- Pacific forum in Peru that he was open to compromise with the new US administration.
"Dialogue is possible, a change of position is possible," Medvedev was quoted by news agency Interfax as saying in Lima, where current US President George W Bush was also in attendance. Obama has shown signs he may even rescind the shield plans, Medvedev said.
Obama and his advisors have not staked out a position on the missile defence issue ever since a Polish statement was released stating that the matter had been decided. http://www.earthtimes.org/articles/show/243035,putin-offers-end-to-standoff-over-eastern-european-missile-systems.html#
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Official: Russians want to search for oil off Cuba
1 day ago
HAVANA (AP) — Russian oil companies could soon begin searching for oil in deep Gulf of Mexico waters off Cuba, a top diplomat said just days before Russian President Dmitry Medvedev visits the island.
Russian oil companies have "concrete projects" for drilling in Cuba's part of the gulf, said Mijail Kamynin, Russia's ambassador to Cuba, to the state-run business magazine Opciones.
Kamynin also said Russian companies would like to help build storage tanks for crude oil and to modernize Cuban pipelines, as well as play a role in Venezuelan efforts to refurbish a Soviet-era refinery in the port city of Cienfuegos, according the article published this weekend.
Medvedev comes to former Cold War ally Cuba on Thursday, part of a tour of Latin America to strengthen his country's economic and political ties in the region. Kamynin said trade between Russia and the island would top $400 million this year.
Washington's nearly 50-year-old trade embargo prohibits U.S. companies from investing on the island. But Cuba's state-run oil concern has signed joint operating agreements with companies from several countries to explore waters that Cuban scientists claim could contain reserves of up to 20 billion barrels of oil.
Brazilian President Luiz Inacio Lula da Silva visited Cuba in October for the signing of agreements allowing state-run Petroleo Brasileiro SA to invest $8 million initially for a seven-year, deep-water exploration project north of the famed beach resort of Varadero. If reserves are confirmed, Brazil would produce oil and natural gas recovered there over the next 25 years.
Opciones did not give details on what the Russian proposals would entail.
The Soviet Union was communist Cuba's chief economic benefactor until it disbanded, throwing the island's economy into disarray. Cuba-Russia relations soured after that, but warmed when President Vladimir Putin visited in 2000.
http://www.google.com/hostednews/ap/article/ALeqM5ib67DphIFXuGKiaDYSC4gKWqAzwAD94KQEK01
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Russia president, warships to Venezuela to counter U.S.
Sun Nov 23, 2008 2:24pm EST
By Frank Jack Daniel
CARACAS (Reuters) - Warships, nuclear power, arms sales and perhaps cooperation on oil prices -- Russia's President Dmitry Medvedev is in Venezuela this week with an alarming sounding list to wave under Washington's nose.
The U.S. government dismisses the importance of Medvedev's visit on Wednesday to meet Venezuelan President Hugo Chavez and the deployment of several Russian warships for joint military exercises with Venezuelan forces in the Caribbean. It says Russia's weak navy is no threat and downplays its rivals' blooming friendship.
But OPEC-member Venezuela is Russia's first firm ally in the Americas since the Cold War and Moscow sees ties to Chavez as a way to answer U.S. influence close to its borders in the Caucasus.
Russia's aim to grow its Latin American presence may be hurt by falling oil prices and Barack Obama's U.S. election win, which could help the United States regain influence lost in the region during the unpopular presidency of George W. Bush.
Still, Chavez has made a career of opposing the U.S. "empire" and he welcomes a heavyweight partner like Russia as an alternative to ties with his main oil client Washington.
"Compared with Russia, we are territorially a small country, but comparing our reserves of oil and gas we are two giants uniting," Chavez said on a trip to Russia this year.
Although it is Venezuela's main weapons supplier, Moscow was for years wary of Chavez's radical anti-Washington stance. But it warmed to him after the war in Georgia in August and U.S. missile-shield deals with Poland and the Czech Republic.
Since then, Caracas's glitziest hotels have filled with successive delegations of Russian businessmen and politicians, while top Venezuelan officials have tag-teamed in and out of Russia. Chavez has made three trips in 12 months.
Moscow now promises to help Chavez build a civilian nuclear reactor and has set up a $4 billion joint investment fund. In return, Venezuela gives access to gas and gold reserves.
Russian officials say the creation of a joint consortium to further develop Venezuela's Orinoco oil field will be a central issue of Medvedev's visit.
He is also likely to discuss cooperating on oil supply with OPEC, where Chavez is a leading price hawk. Both nations depend on energy exports and are worried by oil's fall to around $50 a barrel from $147 in July.
Chavez chased away many private investors with a spate of nationalizations in the last year, and likes Russian promises to help develop Venezuelan resources.
"UP THE ANTE"
Medvedev will also visit Cuba and Brazil this week after meeting Bush at a weekend summit meeting in Peru. His visit to Venezuela is the first ever by a Russian president and coincides with the joint naval exercises in the Caribbean.
Along with a visit by two bombers to a Venezuelan base in September, the exercises are Russia's first in the Americas since sending missiles and ships to Cuba during the Cold War.
"The Russians are communicating that if we make decisions in Georgia that they find threatening, Russia would be prepared to up the ante in America's backyard," said Dimitri Simes, who heads the Nixon Center in Washington.
The U.S. government has shrugged off Russia's renewed interest in the Americas, sneering at its notoriously accident-prone navy and inviting Moscow to work constructively in the region.
"No one should doubt where the preponderance of military power in the hemisphere lies," State Department spokesman Sean McCormack told reporters.
McCormack wondered if Russia's nuclear powered Peter the Great ship, which suffered an accident killing several sailors some years ago, would "actually make it" across the Atlantic.
In recent weeks, part of U.S. Navy's newly relaunched Fourth Fleet has conducted aid missions in the Caribbean.
Former U.S. National Security Council member Stephen Sestanovich said Moscow's Venezuelan adventure was mostly talk.
"The generals and admirals may get a brief, giddy kick out of their Caribbean cruises and bomber patrols (but) the region doesn't really fit into anybody's definition of Russian strategic priorities," he said. "The reality is that their economic position is worsening by the day."
(Additional reporting by Susan Cornwell in Washington; Editing by Kieran Murray)
http://www.reuters.com/article/vcCandidateFeed2/idUSTRE4AM1Z720081123
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Mercy That Eludes Medvedev
By Masha LipmanThursday, November 20, 2008; A23
MOSCOW -- Nearly 86,000 people have signed a letter asking President Dmitry Medvedev to pardon Svetlana Bakhmina, a former lawyer for Mikhail Khodorkovsky's oil company, Yukos. Bakhmina, who is due to give birth within weeks, is in a prison camp in the province of Mordovia, about 400 miles southeast of Moscow.
Bakhmina's conviction and the entire affair with Yukos and Khodorkovsky, who was once Russia's richest man but has been jailed since 2003, have radically corrupted the Russian justice system. By not pardoning her, Medvedev emerges as a proponent of the Soviet system of justice, which presumed that any ties to an "enemy of the state" were themselves a crime.
The number of signatures attracted by Bakhmina's pardon plea is enormous for Russia's generally apathetic and compliant society. But the inhumanity of Bakhmina's treatment has sparked understandable sympathy. She is the mother of two boys, ages 11 and 7. The charges against her are painfully thin; she was convicted of corporate theft, even though the "injured party" did not claim a loss of funds during her trial.
Bakhmina is no political figure. She is simply suffering collateral damage from the harsh campaign against Khodorkovsky, who through his immense wealth and clout came to be regarded as a serious challenger to the state.
When asserting control over political and public affairs at home, the Kremlin generally opts for subtle manipulation, but in the rare cases in which it resorts to naked repression, it shows no mercy -- and little regard for legal procedure. Bakhmina was initially sentenced to seven years. A higher court then reduced her sentence by six months. Had it been cut six more months, to six years, she would have been eligible for amnesty. The 6 -1/2 -year term conveyed the government's determination to keep her behind bars.
Bakhmina is such a well-behaved prisoner that she was allowed to spend a few days at home with her husband and children this year (which is when she became pregnant). In May, when she had served half of her sentence, she applied for parole. Contrary to routine practice, her request was denied. She applied again but was denied parole a second time. Last month she sought a presidential pardon.
What happened next has yet to be explained: According to prison authorities, Bakhmina withdrew her plea for a pardon. There is no way of knowing why. Bakhmina is not allowed to communicate with the outside world, and prison administrators refused to give explanations. Critical commentators here suggested that Bakhmina was forced to abandon her plea so Medvedev would be spared the need to react.
Russia's first head of state, Boris Yeltsin, used his presidential power to pardon generously because he sought to make up for the inadequate justice system inherited from the Soviet era of state terror and unlawful reprisals. Every year, he dutifully signed thousands of pardons submitted to him by the Pardons Commission, a panel of liberal writers, journalists and academics. Yeltsin offered clemency even to his political enemies: The coup plotters of 1991, as well as those who attempted to overthrow him in 1993, were released not long after they were arrested.
Early in his first term, Vladimir Putin moved to disband the Pardons Commission, and the number of presidential pardons fell sharply. While Yeltsin had viewed part of his mission as showing tolerance and helping his nation overcome the crippling experience of the Soviet regime, his successor apparently did not.
The rule of law is simply not part of the Russian tradition. The attempt made after the collapse of communism to build a system with checks and balances and an independent judiciary has failed. Today, justice is routinely corrupted by executive authority or bribes. In politically sensitive cases -- the Khodorkovsky affair is the most significant example -- court rulings have been bent to the desires of the executive branch in a way that recalls the Soviet courts taking instructions from Communist party bosses. Intolerance and a lack of mercy are other elements of the Soviet legacy in Putin's Russia.
The Russian people in general have limited sympathy for Bakhmina. Tens of thousands might be asking Medvedev to show mercy, but to many Russians, Bakhmina is, first and foremost, someone who worked for Khodorkovsky and is therefore associated with the wealthy, who are broadly regarded in Russia as thieves. Many begrudge Bakhmina the attention she receives from her supporters, and it is not uncommon to hear callous or even contemptuous remarks about this woman who has been kept away from her husband and two sons for four years.
This week, the government suddenly softened its treatment of Bakhmina. Prison system authorities offered little information but said she was transferred to a civilian hospital near Moscow, where she will give birth. She may have even been allowed to see her husband. Rumors have it that she may be released on parole after the child is born.
But even if the government has finally decided to show some humanity toward Bakhmina, state officials' primary concern seems to be that Medvedev must not appear to be bowing to public pressure. As he ignores the humble call for mercy from tens of thousands of Bakhmina's supporters, Medvedev stands personally responsible for her suffering and encourages the intolerance and immorality of those who gloat at her plight.
Masha Lipman, editor of the Carnegie Moscow Center's Pro et Contra journal, writes a monthly column for The Post.
http://www.washingtonpost.com/wp-dyn/content/article/2008/11/19/AR2008111903530_pf.html
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Window on Eurasia: Russians' Experience with Soviet Lines Blocks Rise of Civil Society Today

Paul Goble

Kuressaare, November 21 – Standing in line, which Soviet citizens did from three to eight hours every day, formed "not only the worldview but the behavioral strategy" of Soviet citizens, and that socializing experience continues to shape the attitudes of post-Soviet Russians and thus make the emergence of a civil society there far more difficult.
In a remarkable article in this week's "New Times" magazine, Vladimir Nikolayev examines an activity which he argues had such "a powerful socializing impact" on the Russian people that it continues to affect how they think and act even at a time when lines have become a less prominent feature in their lives (newtimes.ru/magazine/2008/issue092/doc-59795.html).
Lines, the Moscow sociologist says, were where people "formed their ideas about the society in which they lived." It was in them that "an individual understood what his compatriots though about themselves and how he (or she) played a role in this system." And lines communicated to those in them just what kind of a struggle for existence they faced.
And perhaps especially important with regards to its continuing impact on the lives of Russians now, he continues, "standing in line was an activity whose outcome was unclear: the Soviet customer could not be certain than when his turn came there would be something left for him."
But lines not only formed the worldview of those who stood in them, they also dictated "a behavioral strategy." Those standing in line were compelled to use force against others in the line or engage in open deception. And every individual in line had to keep track of who was ahead of him and who was behind, lest his own position be threatened.
Such behavior strategies continue to function now, Nikolayev says, as anyone can see who looks at a line not waiting to buy sausages as in the past but to get a passport or a bus. Moreover, even those who were not born in Soviet times follow this pattern because "the older generation by its behavior gives the young a model for emulation."
On the one hand, that means that the attitudes and behaviors learned in Soviet lines will not die out with the first generation or even the second or third. And on the other, these things helped to explain the specific nature of "'wild Russian capitalism,'" a phenomenon very different than its Western counterpart.
The difference between Russia and the West in this regard, the sociologist suggests, reflects the reality that people in Russia "simply do not know other means of living in a competitive milieu, and in this sense, contemporary Russian capitalism as a way of life is a Soviet and in no way a Western product."
Lines, of course, are "a means of organizing the inter-relationship and interaction of people in concrete situations for deficit goods of a material or symbolic character. The main thing in these interrelationships is how people conduct themselves toward others and how they group themselves and with whom they stand up against competitors."
In Soviet times, family members were terribly important because members of one family often had to stand together in order to be in a position to carry away whatever they hoped to get or alternatively to stand in more than one line for goods that the family need. Thus, lines at that time made the family especially important.
Now, Nikolayev writes, "the character of lines has changed because deficits have changed from something universal to something specific." Consequently, people no longer stand in line for almost everything but rather for things like "heart transplants" or "obtaining a passport or a car." And that has changed some things but far from all.
One thing it has not changed, the sociologist says, is the way in which people view the lines: they are "barricades, on one side of which stands a dependent population and on the others, sellers who [are in a position to] take decisions which are important for the buyers."
In this arrangement, the sellers are hated by the buyers, but at the same time, in the Soviet period, "many wanted to become sellers in order to have the magical possibility of participating in the distribution of deficit goods." Now, the same attitudes inform the Russian population with regard to members of the militia or the FSB.
Lines in Soviet times were thus "a wall which separated the people from the government and in this way defined the status of the individual in the state." The only "path to goods and services for the majority of people lay through a single mechanism: the line," and as a result, the line defined who an individual was.
According to Nikolayev, "the link between the line, the people and goods was so clear that a Soviet man, when seeing a line, would say: 'the people are standing for something.'" That was all the more so because some groups – the party elite and its allies – did not have to stand in line because they got their goods via special stores.
"Soviet life was constructed so that the government [which consisted of these groups] and the people never came into contact," Nikolayev writes. And "in this sense, little has changed." The only difference is that those who did not have to wait in line in Soviet times were part of the nomenklatura, while those who do not have to do so now have money.
And another thing that has not changed, he insists, is the way in which those standing in lines feel toward others. They expend their energy "not in cooperation with one another but in a struggle with one another," and that experience "interferes with the formation of the horizontal ties needed for the formation of civil society."
Indeed, what the line taught in Soviet times and what it teaches now, Nikolayev concludes, is hatred of those in power, hatred of the successful, and the need to behave in whatever way it takes to achieve "egoistic goals." In this sense, he says, "a large part of the Russian population remains Soviet consumers … with all the ensuing consequences."
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HONORING THE VICTIMS OF THE HOLODOMOR 1932-1933
SATURDAY, NOVEMBER, 22, 2008, 75TH COMMEMORATION

"I call upon all who are not indifferent to the feelings of mercy,
compassion and justice, who crave the victory of good over evil,
to light up their own candles of remembrance and to join us in
honoring the victims of the Holodomor." President Yushchenko
*********

Aegis Trust, Laxton, Newark, Nottinghamshire, United Kingdom, Sat, Nov 22, 2008
UNITED KINGDOM - Today is the official day of remembrance marking the 75th anniversary of the Holodomor, the Soviet-made famine which caused the deaths of an estimated four to six million Ukrainians in the period 1932-1933. The Aegis Trust joins with the survivors and the people of Ukraine in mourning the men, women and children whose lives were cruelly taken from them.The Holodomor involved Soviet confiscation of grain and other foodstuffs from most of rural Ukraine, combined with border closures which prevented the starving from fleeing to find food and stopped international aid from reaching them.In 1933, the lawyer Raphael Lemkin urged the League of Nations to recognize such mass atrocities against a particular group as an international crime. He was ignored. A few years later, the Nazi regime murdered six million Jews, including Lemkin’s own family.In 1943, Lemkin created a new word to describe such mass killing. He combined the Greek and Latin words, ‘geno’ (race or tribe) and ‘cide’ (killing). He proposed the United Nations Convention on the Prevention and Punishment of the Crime of Genocide, approved in 1948.According to the Convention:Genocide means any of the following acts committed with intent to destroy, in whole or in part, a national, ethnical, racial or religious group, as such:Killing members of the group; Causing serious bodily or mental harm to members of the group; Deliberately inflicting on the group conditions of life calculated to bring about its physical destruction in whole or in part; Imposing measures intended to prevent births within the group; Forcibly transferring children of the group to another group. The first draft of the Convention included political groups as well as those defined by nationality, ethnicity, race or religion, but following objections from the Soviet Union and several other countries, political groups were left out.It is argued that motivation for Soviet policy to bring about mass starvation in the Ukraine was the destruction of Ukrainian nationalism. However, whatever the motivation in targeting them, the victims were defined by their Ukrainian ethnic identity. The Soviet regime succeeded in its intention to inflict on the group conditions calculated to bring about massive physical destruction. This falls within the definition of genocide provided by the UN Genocide Convention. Lemkin himself described the Holodomor as “perhaps the classic example of Soviet genocide, its longest and broadest experiment in Russification – the destruction of the Ukrainian nation.”Regrettably, the debate over whether or not the Holodomor constitutes genocide often becomes overlaid with political considerations and continues to distract governments and policy makers around the world from simply honouring the memory of its victims – and from reflecting on the lessons it holds for a world in which genocide continues.NOTE: The Aegis Trust is the leading UK-based international genocide prevention organization. Based at the UK Holocaust Centre, it coordinates the All-Party Parliamentary Group for Genocide Prevention and is responsible for the Kigali Memorial Centre in Rwanda. Aegis is at the forefront of the international campaign to end the Darfur crisis. For more information, contact David Brown in the media office at the Aegis Trust on +44 (0)7921 471985, email: david.brown@aegistrust.org, link: http://www.aegistrust.org/. ==========================================================
Permanent news address: http://www.regnum.ru/english/1088461.html

New NPP in Lithuania will not cover demands for energy in all Baltic countries – Estonian expert
Andres Mäe, researcher of the Estonian Foreign Policy Institute, Estonia, answered questions about prospects of energy security and nuclear industry of the Baltic region.
Estonia is taking part in a nuclear power plant construction project in Lithuania, so is nuclear generation considered to be a good and stable source of electricity?
The Estonian government has supported plans of the state-owned energy company (Eesti Energia) to participate in the new nuclear power plant in Lithuania, in order to use electricity produced there to cover some of Estonia’s energy demand in the future.
Estonia has not yet adopted any official position on the development of nuclear energy. Still, individual members of the parliament and the government and scientists have recommended taking into consideration building a nuclear power plant in Estonia.
Construction of a nuclear power plant usually takes much time. In terms of energy security of the region may the Baltic States and Estonia feel lack of electrical energy before the new NPP is constructed in Lithuania?
Yes, there will be a small deficit in electrical energy production in the Baltic states after the closure of the Ignalina NPP. Latvia is already importing one third of electricity from Estonia, Russia and Lithuania, it will have to find another source to replace Lithuania in 2010. Lithuania will cover part of its domestic consumption with Elektrenai thermal power plant working on natural gas but it will also have to start to import electricity from Russia and Belarus. Estonia will cover its base load consumption by itself and will import electricity from Latvia’s hydropower plants to cover its peak load demand as it does nowadays. Estonia has also an opportunity to import electricity from Scandinavia via underwater cable EstLink.
Do you think generation capacity of the new NPP will be enough to meet electricity needs of Estonia in particular and all the Baltic states or other sources of electricity will be needed in a long-term prospect?
The new nuclear power plant in Lithuania will not be able to cover the electrical energy demand of the Baltic states and main reason for that is participation of Poland in the same project. One NPP is simply not enough for all four participants. Yes, there is urgent need for additional power generating capacities in the Baltic states.
Speaking about energy security of the Baltic region, theoretically may the Baltic NPP in the Kaliningrad region also become a source of electricity for the Baltic States and Estonia?
The Baltic NPP in Kaliningrad Region is already planned to produce electrical energy for export to Poland and the Baltic states. The region itself is too small to consume the total amount of electricity produced at the NPP.
http://www.regnum.ru/english/1088461.html?forprint
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Industrial orders growth in Lithuania and in Latvia – the highest in EU in September 2008
Danuta Pavilenene, BC, Vilnius/Luxemburg, 24.11.2008.
In September 2008 compared with August 2008, the euro area (EA15) industrial new orders index fell by 3.9%. In the EU27 new orders declined by 4.6% in September 2008, Eurostat, the Statistical Office of the European Communities, informs.
In September 2008 compared with September 2007, industrial new orders fell by 1.1% in the euro area and by 0.9% in the EU27.
In September 2008 compared with August 2008, new orders for textiles & textile products rose by 0.4% in the euro area and by 0.5% in the EU27. Chemicals & chemical products grew by 0.1% in both zones. Electrical & electronic equipment decreased by 1.1% in the euro area, but gained 0.2% in the EU27. Manufacturing of machinery & equipment dropped by 1.9% and 1.0% respectively. Transport equipment fell by 3.8% in the euro area and by 8.9% in the EU27. Manufacturing of basic metals & fabricated metal products declined by 5.1% and 6.1% respectively.
In September 2008, among the Member States for which data are available, total manufacturing working on orders rose in eight, fell in ten and remained stable in the Czech Republic. The highest increases were recorded in Latvia (+13.9%), Bulgaria (+12.5%) and Romania (+8.2%), and the largest decreases in Germany (-9.4%), Portugal (-4.9%) and Lithuania (-4.2%).
In September 2008 compared with September 2007, new orders for chemicals & chemical products grew by 9.2% in the euro area and by 9.0% in the EU27.
Manufacturing of basic metals & fabricated metal products increased by 4.4% and 3.3% respectively. Electrical & electronic equipment gained 1.2% in the euro area and 0.9% in the EU27. Manufacturing of textiles & textile products fell by 3.5% and 3.6% respectively. Machinery & equipment declined by 3.9% in the euro area, but increased by 1.7% in the EU27. Transport equipment dropped by 14.8% and 13.9% respectively.
In September 2008, among the Member States for which data are available, total manufacturing working on orders rose in nine and fell in ten. The highest increases were registered in Latvia (+48.1%), Romania (+43.1%) and Lithuania (+18.3%), and the most significant falls in Spain (-9.1%), Sweden (-9.0%) and France (-4.9%).
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Baltic Navy commanders to meet in Latvian Liepaja
Today and tomorrow, on November 25, Naval Forces commanders of Estonia, Lithuania and Latvia will meet in Liepaja (south-western Latvia).
Participants in the meeting will be Estonian Navy Marine Commander, Captain Igor Schvede, Latvian Navy Commander, Captain Aleksandrs Pavlovics and Lithuanian Navy Commander, Captain Olegas Marinicius, as well as the Captain-Commander of the Baltic Naval Squadron "Baltron" Eugenijus Valikovas of Lithuania. The navy chiefs will discuss recent minesweeping operations carried out by "Baltron" and the schedule for year 2009.
Among the discussion topics will be also the Baltic Navy headquarters staffing procedure, as the Latvian Navy spokeswoman Iveta Kraukle informed LETA.
Meetings of Baltic States' Navy commanders take place twice a year, the previous meeting was held in July this year in Tallinn, Estonia.
http://www.baltic-course.com/eng/baltic_news/?doc=2076
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Lithuanians and Estonians feel happier than Latvians
Nina Kolyako, BC, Riga, 22.11.2008.
Nordic people are the happiest Europeans, while their least-happy counterparts can be found in the Balkans, a European Union lifestyle survey released Wednesday suggests. Latvia, both regarding residents' life satisfaction at 6 out of 10 and happiness with 6.8 out of 10, ranked fourth from the bottom of the list, behind Lithuania and Estonia.
Danes' ranking of their own happiness came out tops, followed by Swedes, Finns and Norwegians. Bulgarians came bottom of the table, with Macedonians and Turks just ahead of them, reports LETA/AFP.
The European Quality of Life Survey, carried out by the Dublin-based EU research agency Eurofound, reveals that Europeans were generally satisfied with their quality of life – though levels varied considerably across countries.
On average, Europeans rated their life satisfaction at seven out of 10 – and their happiness at 7.5 out of 10. Danes put their happiness at 8.3 out of 10 and their life satisfaction at 8.5, while for Bulgarians the averages were 5.8 and five respectively.
Latvia, both regarding residents' life satisfaction at 6 out of 10 and happiness with 6.8 out of 10, ranked fourth from the bottom of the list, behind Lithuania and Estonia.
Lithuanians evaluate their life satisfaction at 6.3 and happiness at 7.3 points out of 10, whereas for Estonians these figures are 6.7 and 7.4, respectively.
Eurofound conducted more than 35,000 interviews in the 27 EU member states, candidate countries Croatia, Macedonia and Turkey, plus Norway from September 2007 to February 2008 – well before the current economic downturn.
http://www.baltic-course.com/eng/analytics/?doc=7326

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Lithuanian immigrants urged to come home
RONAN McGREEVY
Sat, Nov 22, 2008
THE LITHUANIAN government has begun a recruitment drive to try to encourage some of the estimated 70,000 immigrants living here to return home.
Like Ireland, Lithuania has had some good times, but they have come to a dramatic halt. Economic growth at a respectable 4.5 per cent this year is likely to fall to 0.5 per cent next year. House prices have fallen by 20 per cent and wages, which went up by 15 per cent last year, are static.
However, the government there is hoping the worsening unemployment situation in Ireland and the homesickness many immigrants feel after several years here will persuade them to return home.
There were more exhibitors than prospective returning immigrants at a jobs fair in the Burlington hotel in Dublin last night, but organisers are hoping to attract thousands of Lithuanians at the Burlington hotel today and at the Four Seasons hotel in Monaghan town tomorrow. Monaghan has the highest proportion of Lithuanians, many of whom work in the mushroom industry.
The conference is being run by the International Organisation for Migration on behalf of the Lithuanian ministry of social security and labour. Conference organiser Ieva Búdvytyté said the purpose was as much to give information to returning emigrants as to offer jobs.
"A lot of Lithuanians are now unemployed in Ireland and we are saying it is easier to live in a crisis in your country where you are near to your family and friends," she said.
Recruitment firms for sales, information technology and engineering positions, real estate giant Remax and the Lithuanian police and army are among the exhibitors at the Burlington.
Polivas Kytra of CV Markets, Lithuania's biggest online recruitment firm, said they had about 1,000 jobs available, especially in sales, which is still enjoying a boom despite the economic crisis. Although the average net wage in Lithuania is about €700 a month, he says there is no shortage of expatriates looking to return home.
"In recent months, we have noticed there are more people coming back from Ireland than going there," Mr Kytra said. "The economic crisis might be even bigger in Lithuania, but they tell us they miss the country and especially the good weather."
Marija Bakunaite said she returned from Britain to take up a hotel job in the capital Vilnius in March and had been promoted from receptionist to front-of-house manager. "In Lithuania, you are local - when you are abroad, you are just an immigrant. The wages may be half but it is worth it."
Jacinta Bacuskaite, who has lived in Ireland for six years, said she was prepared to move home although she had a good job working in human resources.
"I'm single and there is nothing here to keep me. I like Ireland, but I miss Lithuania. We have real seasons in Lithuania."
http://www.irishtimes.com/newspaper/ireland/2008/1122/1227293431505_pf.html

Thursday, October 30, 2008

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News October 29, 2008





The Mazeika Report October 28, 2008 go to "blog" link to http://mazeikabloginternationalnews.blogspot.com/ for archival reports for the months of September, August, July and June, 2008Pass this link on to other readers! Breaking stories.....your comments are welcome.... Place this "blog link" into your computer favorites for easy access.
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=============================================================== Please support this unique blog.....Buy your ....Books, Dvds, and CDs on our special link access to Amazon.Com Tony & Danute =====================================================================


Red Terror on the Amber Coast
Completion and Release of Documentary Film
“A Story that needs to be told!”

DVD copies: $20.00 each (plus $2.00 postage)

You Tube trailor preview for
Red Terror...http://www.youtube.com/watch?v=EYET4bk0gvU

Film-maker Ken Gumbert and producer David O’Rourke have announced that their documentary film, Red Terror on the Amber Coast, has been completed and released for distribution, and has been accepted for broadcast on Rhode Island Public Television, at a time yet to be set. The film, in the works for five years, describes the Soviet occupation of the Baltics following the Hitler-Stalin Pact of 1939, the fifty year reign of terror the Soviets imposed on the once free and democratic republics, and the resistance to the illegal takeover. The film’s focus is principally on Lithuania. But the film-makers know that the story they present is the story of all three countries.

Almost by accident in 2001, the team of editor and writer David O’Rourke and documentary film-maker Ken Gumbert came upon photographs of prison and torture abandoned by the KGB when they fled their headquarters in the Lithuanian capital of Vilnius. Startled by the blunt cruelty of what they saw, they decided that the terrible story the pictures revealed had to be told.

In June of 2006 they were able to film interviews with a cross section of people, from President Adamkus and Vytautas Landsbergis to the wives of captured partizanai (freedom fighters) who had to fight just to survive while their husbands were in Soviet prisons. And with the full support of the National Genocide and Resistance Center in Vilnius and the Occupation Museum and Film Archives in Riga they have been able to illustrate the personal narratives with rare archival films and photographs.

At present the film-makers, both Dominican priests, are working with Lithuanian-American groups and others to promote the scheduling of the film on public television, in film festivals, and in local communities. They may be contacted directly by interested people.
kgumbert@providence.edu dkorop@sbcglobal.net Tony@TonyMazeika.com


For more information, contact Tony & Danute Mazeika 949 929-9051

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Breaking news & commentary ....click on active links for multiple photos!


Senate 110th Session of Congress (2007 - 2008)
Click the tabs directly below to see vote descriptions and ACT! for America's positions. Then find the vote in the scorecard below and scroll down to the House or Senate member you're looking for. The percentages on the far right indicate the percent of the time each Member voted with ACT! for America's positions.
http://www.actforamerica.org/index.php/senate-110th-session-of-congress-2007-2008
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George Soros Funds Catholic Left
An organization founded by billionaire investor and Democratic financier George Soros has funded two “left-wing” Catholic groups that support abortion rights, according to Catholic League President Bill Donohue.
Soros “is connected to two apologists for abortion rights: Catholics in Alliance for the Common Good, and Catholics United,” Donohue said in a Catholic League release.
“In 2006, Soros’ Open Society Institute gave Catholics in Alliance $100,000 [double the amount he gave in 2005], and in the same year, Catholics in Alliance listed Catholics United . . . as an organization with which it has a formal relationship.
“John Podesta, who runs the Soros-funded organization Center for American Progress, admits that he works closely with Catholics in Alliance and Catholics United.”
Donohue asks, “Why would any Catholic organization take money from a man like George Soros? . . . And why would Soros have any interest in funding Catholic groups? He doesn’t give the Catholic League any money, and if he offered, I would refuse it.
“The reason Soros funds the Catholic left is the same reason he lavishly funds Catholics for Choice, the pro-abortion group that has twice been condemned as a fraud by Catholic bishops. They all service his agenda, namely, to make support for abortion rights a respectable Catholic position.”
On Oct. 17, Denver Archbishop Charles Chaput accused Catholics in Alliance and Catholics United of doing a “disservice” to the Catholic Church, according to Donohue, who added, “He’s right — and now we know what really makes them tick.”
Chris Korzen of Catholics United sought to counter the criticism from Donohue by asserting that Soros’ organization also contributes to Catholic Charities, Catholic Relief Services, and Catholic Legal Immigration Services.
But Donohue told LifeNews.com, “Unlike the three Catholic organizations cited by Korzen, Catholics United and Catholics in Alliance are apologists for abortion.
“Their passion for abortion rights is so strong that they refuse to endorse the legal ban on partial-birth abortion.”
http://news.newsmax.com/?Z6ODXcSjvM18yhQcOT6Ow3QZkXbzxJRAZ
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We as a society have only ourselves to thank for this insidious situation. What is remarkable is that these Leftist-pro Marxist instructors and professors have now declared themselves publically on the stage of public opinion. When students go to a university without core belief systems cultivated from parents, church, and family, why should we be surprised when our children join the ranks of radicals. The "boomer" generation did a terrible job with their "generation x" children. So what is next in the devastating culture war ravaging this nation? We deserve the cultural and political consequences based upon our choice of the politicians and educators that serve us.
Tony Mazeika


More Than 3,000 Academics Sign Pro-Ayers Petition
Educators signed a petition praising William Ayers as an education reformer whose ties to the domestic terrorist group Weather Underground are just "history."

http://elections.foxnews.com/2008/10/22/academics-sign-pro-ayers-petition/comments/
Reader comments:
"Really outrageous and alarming. All this has been going on for a loooong time and building up. My daughter Kai is the local chapter head of Parents Televisioon Council (PTC) which monitors television programs for suitability for kids and takes action against bad, lewd, violent shows. It is absolutely shocking what is being shown early in the evening. As well as which companies are advertising on these programs. http://www.parentstv.org/PTC/faqs/main.asp God help us all.
Love,"
Mari-Ann

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Geopolitical Diary: The World According to Riyadh
October 24, 2008 0207 GMT
The Organization of Petroleum Exporting Countries (OPEC) will be meeting in Vienna on Friday, a month ahead of schedule. The issue on the table is whether or not to cut OPEC production in light of declining global demand for crude as countries the world over are coming down with the financial flu.
OPEC members like Venezuela, Iran, Libya and Algeria — all of which are pulling their hair out watching oil prices slide down to around $70 a barrel — have been issuing statement after statement over the past week, calling on their fellow OPEC members to cut production so that they can maintain the flow of petrodollars coming into their government coffers. Going by their statements, it seemed as if it was inevitable that OPEC would make a decision to cut production and buoy the price of crude.
But earlier in the week, Stratfor cautioned that an OPEC production cut is anything but inevitable — especially with the Saudis in play.
As the world’s largest oil producer and exporter and the cartel’s undisputed heavyweight champion, Saudi Arabia is the ultimate decider when it comes to the issue of increasing or decreasing OPEC production. Since the Saudis have the most oil, they are the only ones who can take enough crude off the market to make a meaningful difference in price.
Upon arriving in Vienna, Saudi Oil Minister Ali al-Naimi was asked whether his country supports the idea of cutting output when the cartel meets Friday. His answer: “Who said anything about a cut? Prices will be determined by the market.”
We have a feeling a number of leaders in oil-producing countries across the globe nearly went into cardiac arrest upon hearing those words.
Anything can still happen at this OPEC meeting, but Saudi Arabia is very clearly indicating that is in no big rush to prop up the price of oil. On the one hand, you might consider Riyadh crazy not to want to keep the petrodollars flowing at a healthy pace when global demand is sliding. But Saudi Arabia isn’t worried about the cash right now (the Saudis already have a nice cushion of at least US$1 trillion in petrodollars to fall back on.) Riyadh’s plans for OPEC run on a much deeper geopolitical calculus.
The 1973 oil embargo was the first time Saudi Arabia learned what it meant to use oil as a tool of foreign policy. The Venezuelans ultimately knocked the legs out from under the embargo when Caracas decided to fill the gap by increasing its own oil exports. But nonetheless, the Saudis developed a taste for using oil as a weapon. In the 1980s, the Saudis, in private collaboration with the Americans, shifted gears and increased oil production to flood the markets. The Saudi move was one of the variables that helped bring about the collapse of the Soviet Union, allowing the Saudi Arabia to drive a major competitor out of the energy market for a good ten years and dismantle what was at the time the greatest foreign policy threat to the West in one fell swoop.
Since then, the Saudis have used their oil wealth primarily as a means of policy to keep U.S. interests in line with those of Saudi Arabia, particularly when it has come to issues of maintaining Sunni power in Iraq and keeping their Persian rivals in Tehran in check. Now, the Saudis are presented with a situation in which the world’s three major economic centers — the United States, Europe and Asia — are approaching recessions nearly simultaneously. The inevitable global economic slowdown spells bad news for the more-vulnerable oil-producing countries such as Venezuela and Iran, whose regime security is almost wholly dependent on oil prices not taking a deep plunge.
From Saudi Arabia’s point of view, it wouldn’t be such a bad idea to hold out a bit longer and allow the price of crude to drop a few more dollars to drive some select competitors out of the market. For instance, by turning the screws on Venezuela, Saudi Arabia could get payback for 1973 and knock down a major irritant in the U.S. backyard.
The Russians also have reason to be worried. The Saudis do not like the idea of a resurgent Russia, especially when it comes to meddling in the Middle East. With the Russians already suffering from major liquidity problems, draining their oil revenue would help deflate their ambitions even more.
The Iranians, who have most vociferously called for a production cut, are on the top of Saudi Arabia’s geopolitical target list. The Saudis want to prevent the Iranians and their Shiite allies from radically upsetting the regional balance of power that has historically been in favor of the Sunnis. With Iran already under deep economic distress, the Saudis would be more than inclined to knock Iran down a few more pegs.
There are, of course, other side effects to bringing down the price of oil, particularly for countries less hostile to U.S. interests — such as Mexico, Canada and Brazil, which are going to take a hit from a decline in energy revenues. Of most concern for the United States is Mexico, which might require substantial bailouts to prevent the chaos from spilling over onto the U.S. side of the border as the country is already struggling with a fight against powerful drug cartels and a tight fiscal crisis. On the other hand, Saudi Arabia’s major energy clients — including the United States — would greatly appreciate a break in oil prices to help reduce production costs at home and ease the pains of the coming recession.
In any case, it would be foolish to think that the cost-benefit analysis running through Riyadh’s head right now is simply based on short-term income numbers. Major geopolitical opportunities are dancing before the Saudis’ eyes. We’ll see in Vienna just how hard and how seriously the Saudis intend to play.
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Fact Sheet: Extending Travel Opportunities to Our Allies
President Bush Discusses the Visa Waiver Program
Today, President Bush hosted representatives from seven nations that have met the criteria for admission into the United States' Visa Waiver Program (VWP) and six nations on track to be admitted. In about a month, the citizens of the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Slovakia, and South Korea will be able to travel to the United States for business or tourism for up to 90 days without a visa. So-called "roadmap" countries, which are on track to qualify for VWP admission, at today's event were Bulgaria, Cyprus, Greece, Malta, Poland, and Romania.
The 13 countries represented at today's event are close friends and allies whose leaders told the President that their citizens believed it unfair that they had to wait in line and pay for visas to travel to the United States when other allies are allowed to travel visa-free. The President agreed while pointing out that in the post-9/11 world, expanding visa-free travel would be possible only as travel security measures are strengthened.
Today's announcement represents a milestone in the long effort by the Administration to modernize the VWP. During a November 2006 visit to Estonia, the President announced that he would work with Congress to expand opportunities for visa-free travel as we strengthen the security of the VWP. The President appreciates the bipartisan support this initiative received on Capitol Hill. As part of the "Implementing Recommendations of the 9/11 Commission Act of 2007," Congress acted to give the Administration greater flexibility to admit new countries into the VWP provided that they agree to a number of new security enhancements, notably to share information about threats to our people. The law also requires foreign citizens who want to travel under VWP to register through a new online program that screens for potential security threats.
Extending Travel Opportunities To Some Of Our Closest Allies Deepens Our Friendship And Makes All Our Countries Safer
The VWP currently allows the citizens of 27 countries to travel to the United States for tourism or business without obtaining a visa. Nationals participating in the VWP must travel only for business, pleasure, or transit; stay in the United States for 90 days or less; and, if arriving by sea or air, hold a valid ticket for return or onward travel and enter the United States aboard an air or sea carrier designated as a participant in the VWP.
President Bush believes the best foreign policy for America is one that lets visitors get to know this great country firsthand. Throughout history, some of the strongest advocates of freedom have been those who came to America and saw the blessings of liberty with their own eyes. The President is grateful to these 13 countries for seeking to strengthen ties between our citizens and looks forward to an even stronger partnership in the years ahead.
http://www.whitehouse.gov/news/releases/2008/10/print/20081017-15.html
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The Moscow Times » Issue 4018 » News

U.S. Sees Double Hit For Russia's Economy
27 October 2008By Nikolaus von Twickel / Staff WriterRussia will take a double hit from the global financial crisis because it is not isolated from the world and lacks domestic economic stability, a senior U.S. diplomat said.Russia is seeing "the worst of both worlds," David Merkel, deputy assistant secretary of state for Russia, said in an interview Friday.Reiterating the harsh rhetoric that the U.S. administration has adopted since Russia invaded Georgia in August, Merkel blamed the Russian government for the domestic stock market's disastrous performance and a jump in capital flight in the early days of the crisis. Among the government's mistakes, he said, was the "talking down of certain companies." In July, Prime Minister Vladimir Putin attacked mining company Mechel, causing its shares to drop."There was already a downturn when the global downturn began," Merkel said.After the brief August war in Georgia, Russia's stock market spiraled downward. President Dmitry Medvedev has said 75 percent of the drop was caused by global turmoil and 25 percent was because of domestic problems.Merkel said Russia was not that isolated from the global economy. "Russia is not an insulated island outside of the world community," Merkel said. "With globalism, Russia is affected by things that happen outside its borders."Merkel reiterated previous remarks by Secretary of State Condoleezza Rice that the Georgia war had reduced Russia's chances of joining the World Trade Organization. "Russia's actions have put in jeopardy its membership in WTO, its accession to the OECD and others," he said, adding that Moscow would probably not make it into the WTO next year.Asked whether he considered Russia imperialist, Merkel said that although Moscow had cooperated with the United States and Europe in the past, its "recent actions are more in line with a 19th-century imperial country."He also said Moscow needed to comply more fully with a peace plan for Georgia brokered by French President Nicholas Sarkozy and Moscow's decision to recognize South Ossetia and Abkhazia as independent would backfire."I am concerned of what precedent Russia is setting" with regard to other former Soviet republics with ethnic minorities, he said. "I think that is why we did not see anyone in the former Soviet Union pick up Russia's rhetoric and recognize Abkhazia and South Ossetia."Merkel made clear that Washington would not soften its position on NATO expansion, seen as one of the reasons for Moscow's stance on Georgia. NATO membership for Georgia and Ukraine is just a matter of time, he said.Merkel, who served under the national security adviser to President George W. Bush before moving to the State Department in March, did not say which U.S. presidential candidate he preferred but indicated that Russia had been better off with a Republican administration in the past: "When the Bush administration came in [in 2000], what the Kremlin was saying was, 'Oh, thank goodness. We know how to work with Republicans. This will make things very, very straightforward and productive.'" Merkel said he would return to his native Texas when the next president takes office in January. "I have been in Washington for too long," he said.

http://www.moscowtimes.ru/articles/detail.php?ID=371928&print=Y
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TRANSITIONS ONLINE: Our Take: Wrong Time for NATO by TOL24 October 2008
Western allies come to the rescue, but they should resist calls to open the door to membership in the military alliance.
Entire commentary: http://www.tol.cz/look/TOL/article.tpl?IdLanguage=1&IdPublication=4&NrIssue=292&NrSection=2&NrArticle=20100&tpid=10
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October 25, 2008
Despite Crisis, Germany Sees Russia as Land of Opportunity
By JUDY DEMPSEY

From left, Gerhard Schröder of Germany, Vladimir Kotenev of Russia and Thomas Jurk of Germany met last month in Dresden.
DRESDEN — Troubled finances can strain many a relationship. But the marriage of business interests between Russia and Germany is strengthening even as the global financial crisis deepens.
Despite a rapid downturn in both economies, German companies are planning to ramp up long-term investments in Russia, a move likely to increase Germany’s dependence on its largest trading partner.
Nowhere was this growing business connection more apparent than at a top-level gathering last month at a castle overlooking the Elbe River. Many of the hundreds of guests oozed confidence that, despite the conflict in Georgia and the storm in world finance, Russia and Germany would deepen their centuries-old bonds — perhaps even realizing a dream long held by some of binding Russia closer to the West.
“The long-term goal is about integrating the Russian economy with Europe,” said Peter Danylow, director of the East and Central European Association, an independent business body that promotes contacts between Germans and Eastern countries. “We are a long way from that. But Germany is not prepared to give up. There is too much at stake.”
Russia’s vast natural resources and Germany’s engineering skills bring the countries together more often than they drive them apart. Today, the relationship is centered on Germany’s thirst for Russian oil and natural gas, as well as on Russia’s need for capital investment and German manufacturing acumen.
German exports to Russia are vital to the continued flowering of the small and midsize German companies that are the backbone of its export prowess. Their presence in Russia has nearly doubled in five years, to more than 4,600, from 2,500 in 2003, said Peter Schulze, a professor of international politics and a Russia expert at the Georg-August-University in Göttingen. Of these, more than 90 percent are midsize companies known as Mittelstand, which produce things as diverse as machine tools, automobiles and chemicals.
Last year, 3 percent of all German exports went to Russia, and trade volume between the countries reached 57 billion euros, or $73.1 billion. In the first quarter of this year alone, Germany sent 25 percent more goods and services to Russia, according to Klaus Mangold, chairman of the Ost-Ausschuss, an influential group that promotes Germany’s economic interests throughout Russia and the former Soviet bloc.
German companies are also present in the energy sector — although they have been careful not to present a competitive threat to Russian firms. “With some exceptions, the German companies tend to keep away from the big high-profile projects,” Mr. Schulze said.
And many German operations have already ventured far outside the traditional bases of Moscow and St. Petersburg to expand what they see as potentially lucrative opportunities as Russia invests in its future.
“Every fourth Mittelstand company exports to Russia or is planning to increase its market share there,” Mario Ohoven, president of the Federation of the Mittelstand, said.
German businesses are looking at juicy contracts for investments like the Winter Olympics at the Black Sea resort of Sochi, Russia, in 2014. Beyond Sochi, even fatter contracts beckon. “There is a massive need of investments in the infrastructure, whether roads and water, railways and airports and energy,” said Mr. Danylow. “There is a huge need for technological know-how.”
Burckhard Bergmann, a former chairman of the German energy company E.on Ruhrgas, told the gathering that Russia would need to spend an estimated $525 billion through 2030 just to modernize its railway tracks. A further $165 billion is needed by 2012 to upgrade the energy sector, he said.
Some German investors acknowledge that the turmoil in the global financial system has raised new risks. Russia’s stock market, already weakened after its conflict with Georgia, has been among the hardest hit in the world by the crisis. This has forced officials to repeatedly close stock exchanges, prop up the ruble and spend billions to promote liquidity. Oil, which helped Russia flex its political muscle, is now cutting into its income as the price plunges.
The turmoil has also made it harder to pull investments together. “It is not so easy to finance projects now,” Frank Schauff, a German who heads the Association of European Businesses in the Russian Federation, said.
And then there are problems endemic to Russia itself. Other German managers based there pointed to the absence of property rights and the lack of progress against both inflation and corruption, which President Dmitri A. Medvedev has vowed to fight.
But if Germans have doubts about Russia, they tend for the most part to keep them behind closed doors. Privately, for example, German managers say they were rattled by the jailing in 2003 of Mikhail B. Khodorkovsky, the former chairman of the Yukos energy company, who politically challenged Vladimir V. Putin, then president. Publicly, German businesses largely keep quiet about Yukos and say little about the pattern of troubles that other Western oil companies, including Royal Dutch Shell and BP, have run into in Russia since then.
If anything, German politicians and business executives have pursued closer ties with Russia. This bond was highlighted by the attendance of powerful players at the castle on the Elbe, where German managers from Moscow mingled with Russian officials, and East German veterans of Soviet enterprises chatted up younger Russian entrepreneurs.
Gerhard Schröder, a former German chancellor who went straight to the payroll of the Russian energy giant Gazprom after he lost a 2005 re-election bid, spoke supportively of Russia as a reliable energy partner and a stable place to invest — Moscow’s war with Georgia notwithstanding.
Unlike Western companies that have posed threats to Russia’s strategic industrial or political interests, German businesses, at least publicly, have not fallen out with the Kremlin. The longstanding cultural, political and educational ties between Russia and Germany may explain why.
According to government officials, German managers in Russia squirm when the German chancellor, Angela Merkel, criticizes the clampdown on Russian media and dissenters. German companies have not been punished or penalized, despite her outspokenness, according to the Ost-Ausschuss.
In fact, Mrs. Merkel and Frank-Walter Steinmeier, the foreign minister, have suggested that Germany codify its status as a crucial partner to help Russia modernize its infrastructure. Mr. Medvedev, in Berlin in June on his first presidential visit to a Western European capital, was enthusiastic. German business people are merely waiting for the lawyers to draft the agreement.
The investment opportunities sound enticing, but Mr. Schauff, who now heads the Ost-Ausschuss organization from Moscow, sounded a note of caution.
“I think Russian officials underestimate the task and scale of modernizing Russia,” he said. “Look at the reunification of Germany and how much money and planning was needed to modernize East Germany.”
Mr. Schauff said Russia’s $157 billion stabilization fund, created from energy export revenues, could be used for infrastructure projects. “But it is an enormous task,” he said. “It requires immense planning, strategic thinking, identifying concrete projects and following them through.”
http://www.nytimes.com/2008/10/25/business/worldbusiness/25dresden.html?_r=1&oref=slogin&ref=world&pagewanted=print


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Belarus asks for Russian aid
Oct 26, 2008 2:37 PM
Belarussian President Alexander Lukashenko, seeking extra funds to help his ex-Soviet state ride out the global financial crisis, held talks with traditional ally Russia on Saturday.
A delegation from the International Monetary Fund is to arrive in Belarus on Monday to consider its request for a $2 billion (NZD$3.6 billion) loan, and Lukashenko's government has also been offered a loan for the same sum over two years from Russia.
The Kremlin said in a statement Lukashenko held talks with Russian President Dmitry Medvedev at an official residence outside Moscow which touched on the global financial crisis. It gave no details of any agreement.
Market analysts say Belarus has a total debt of $14 billion (NZD$25.1 billion). It also faces the prospect of a sharp hike in the amount it pays for imports of Russian gas in 2009.
Belarus's largely state-controlled economy has suffered little in the global crisis and analysts forecast robust growth. But they say the liquidity crunch means Belarus will struggle to refinance its debt and it lacks the reserves to make debt repayments on its own. A planned Eurobond issue faltered because of the turmoil on world markets.
Belarus's central bank has said it is seeking loans as a "precautionary measure" to ensure problems in neighbouring economies caused by the crisis do not spread to Belarus.
http://tvnz.co.nz/view/page/411366/2232013
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Tunne Kelam: Speeches at the plenary session of the European Parliament on Holodomor, October 22 and 23, 2008
Strasbourg, 22.10. 2008
Artificial, man-made famines were used systematically as a tool by Communist totalitarian regimes to increase their hold on enslaved populations.
75 years ago, Soviet dictator Stalin decided to uproot Ukrainian national identity and Ukrainian resistance by creating a famine in the bread basket of Europe. He not only confiscated all available grain to be used for exports in order to buy Western technology for enforcing industrialization and militarization of the Soviet Union, but he also decided to use the resulting famine to punish millions of farmers who resisted forced collectivisation – the establishment of total state control over their lives and traditional ways of production.
Regions struck by the famine were not merely denied assistance. Even worse, hundreds of villages were cordoned off by the Red Army. Hundreds of thousands of starving people were denied a most elementary human right - the right to escape from certain death. People who tried to flee were hunted down like animals and shot.
Finally today we are reacting to one of the most appalling crimes by the Communist dictatorship – deliberately starving people to death. An authoritative moral and political assessment of such crimes is long overdue.
All victims of crimes against humanity deserve the same status. There cannot be first class victims of Nazism and second class victims of Communism just because Europe still lacks an integrated approach to the totalitarian crimes of the past century and because Europe has hesitated to take a concrete stand on the crimes that took place in the Eastern part of the continent.
We have a duty to learn what happened under Stalin just as well as we know what happened under Hitler.
We need not only to extend our solidarity to the Ukrainian nation, indeed, to all victims of these mass crimes against humanity, but also to pass a moral verdict. Only in this way can we reach the goal of the current debate - to guarantee that this monumental, destructive disregard for human lives and dignity will never again be repeated in any part of Europe.
What we really need is an all-European reconciliation. However, reconciliation can only result from truth and justice. Our duty is to make sure that the famous "Never Again!" will equally apply to the Ukrainian nation.
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Explanation of the vote on Holodomor resolution, adopted by the European Parliament on October 23, 2008.
Today I voted for the resolution on Holodomor – the great Ukrainian famine.
The resolution rightly calls Holodomor an appalling crime against the Ukrainian people and, indeed, against humanity.
However, due to the position taken by certain political groups, the resolution has not used the term “Genocide” that would be fair and appropriate to be used in the case of the Ukrainian national tragedy.
The Ukrainian Parliament and 26 states have defined this crime that caused the deaths of at least four million people as genocide.
Recital B of today’s resolution quotes the United Nations Convention on the crime of genocide from 1948 that unequivocally covers the Ukrainian case.
I hope that in the near future the European Parliament will follow the example of the Ukrainian Parliament and the other 26 states mentioned.
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Russia Must Pull Out Troops From S. Ossetia - Estonia President
Thursday, October 23, 2008 6:54 PM
(Source: Daily News Bulletin; Moscow - English)TALLINN. Oct 23 (Interfax) - Estonian President Toomas Hendrik Ilves said Russian troops stationed in South Ossetia must be pulled back to where they were before August 7 and that international observers must be let into the republic.
"Russia must abide by the obligations assumed under the Medvedev- Sarkozy peace plan and to pull its troops back to the position they were at before August 7," Ilves told German President Horst Koehler in Berlin on Thursday, according to the Estonian presidential service.
"Refugees must return to their homes, and humanitarian aid and international observers must have unrestricted access to the conflict territories, primarily South Ossetia," the Estonian president said.
Ilves also said that the NATO operation in Afghanistan should be continued. "NATO has no right to give up Afghanistan, or to get tired," he said.
"In Afghanistan the Alliance must strengthen the will and increase the role of the states involved in the ISAF operation, which will make our activities more powerful and trustworthy. Their success will demonstrate that NATO should be taken seriously," he said.
Ilves backed NATO's open-door policy, saying that the admission of new members is "the Alliance's independent decision which third countries have no right to veto."
"NATO's doors remain open for those who have opened themselves to democratic reform and law, and who are consistent and successful and want to join NATO," he said.
"NATO today is not opposed to any state. It advocates common values and principles, and democracy," the Estonia president said.
(c) 2008 Daily News Bulletin; Moscow - English. Provided by ProQuest LLC. All rights Reserved.
Window on Eurasia: South Ossetians Want to Be Independent of Russia Too, Moscow Paper Says

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Anti-Kremlin party wins Lithuanian ballot
October 27, 2008
VILNIUS, Lithuania - A conservative party critical of Russia won Lithuania's parliamentary ballot, the Baltic country's election commission said yesterday, signaling the return of a center-right government after seven years of leftist rule.
The Homeland Union led by former prime minister Andrius Kubilius won the first round of the vote two weeks ago and extended its lead in Sunday's runoff to capture a total of 44 seats in the 141-member Parliament, the commission said.
The governing Social Democrats finished in second place with 26 seats, losing their grip on power in the former Soviet republic, which joined the European Union and NATO in 2004.
The conservatives are expected to join forces with three smaller center-right parties to form Lithuania's 15th government since breaking free from the crumbling Soviet empire in 1991.
"We will take the responsibility to form a coalition," said Kubilius, a strong critic of Russia who has been stuck in opposition since leading a short-lived government between 1999 and 2000.
Kubilius said he expected to be nominated as prime minister.
"I do not see a reason why I can't be in the position, which I have already worked in during difficult times," he said.
Earlier yesterday, President Valdas Adamkus said that he would offer the prime minister's job to the party that won the most seats.
Lithuanian voters have been exasperated with scandals surrounding the governing Social Democratic Party. They also fear rising energy dependence on Russia, as their country of 3.4 million people closes a Soviet-era nuclear plant next year under an agreement with the European Union.
ASSOCIATED PRESS
http://www.boston.com/news/world/europe/articles/2008/10/27/anti_kremlin_party_wins_lithuanian_ballot?mode=PF
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Lithuania votes in centre-right coalition - Summary
Posted on : 2008-10-27 Author : DPA News Category : World
Vilnius - Lithuania was set Monday for a new political landscape after centre-right parties triumphed in the Baltic nation's general election Sunday night. According to preliminary results, the right-wing Homeland Union - Christian Democrats secured 44 seats in the country's 141-seat parliament, the Seimas, making it comfortably the largest party.
Rounding out a new four-party ruling coalition will be 16 seats belonging to the Rising Nation Party, 11 seats to the Liberal Movement, and a further eight from the Liberal and Center Union.
Thus, the coalition will control at least 79 seats, while opposition parties will be able to muster a maximum of 62.
Even while votes were still being counted on Sunday night, the leaders of the four centre-right parties had joined to appear before the TV cameras and make clear their intention to work together.
"Lithuania is choosing change - which will be implemented by a centre-right coalition," Andrius Kubilius of the Homeland Union told Deutsche Presse-Agentur dpa.
Kubilius is now set for a second spell as prime minister, after serving previously in the position from November 1999 to October 2000.
The Social Democrats of current Prime Minister Gediminas Kirkilas will be the largest opposition party, having secured 26 seats.
Alongside them will be the Order and Justice Party of former president Rolandas Paksas, taking 15 seats and the Labor Party of Viktor Uspaskich with 10 seats. The remainder will consist of minor parties and independents, whose loyalties are unpredictable, at best.
Once Lithuanian President Valdas Adamkus performs the formality of inviting Kubilius to form a new government, coalition partners will have to agree about who will control which ministries.
The Homeland Union insists it must control the four key ministries of finance, economics, defence and foreign affairs, while the Rising Nation Party is believed to covet the parliamentary speaker position.
Monday morning, the four party leaders formalised their alliance by signing a document stating their willingness to work together to tackle "the challenges Lithuania is facing under the developing conditions of the global financial and market crisis."
http://www.earthtimes.org/articles/show/238774,lithuania-votes-in-centre-right-coalition--summary.html#

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Lithuanian center-right parties agree to form coalition government after winning vote
October 27, 2008 - 07:59 a.m.
VILNIUS, Lithuania (AP) - Four center-right parties in Lithuania have signed an agreement to form a center-right government.
The coalition is led by the conservative Homeland Union, which won the most seats in the Baltic state's parliamentary election.
The agreement stresses that Lithuania is facing an economic crisis and the four parties are prepared to help steer the country of 3.4 million people through the upcoming challenges.
President Valdas Adamkus said Monday that he expect the new coalition would be able to begin reforms as soon as possible.
The center-right coalition won 79 seats in Lithuania's 141-member legislature after Sunday's runoff.
http://www.canadianbusiness.com/markets/market_news/article.jsp?content=D942QS100#adSkip
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Kubilius: the right man for a Lithuanian crisis - Feature
Posted on : 2008-10-27 Author : DPA News Category : Europe
Vilnius Leaders of Lithuania's parties include a stunt pilot who was the first European president to be impeached, a fugitive gherkin magnate and a game show host who was once arrested in connection with a bomb scare. In such a bizarre political landscape, Andrius Kubilius seems unusual for being a professional politician. Kubilius is seen as the country's likely next prime minister after a round of coalition-building wraps up in the wake of recently finished elections.
Born 1956 in Vilnius, Kubilius grew up in communist Lithuania, graduating from the physics faculty of Vilnius University in 1979. He joined the Sajudis Movement, the main centre of political opposition to Soviet occupation, in 1988 and quickly rose through its ranks during the struggle for independence.
After independence from the Soviet Union in 1991, he entered parliament in 1992 as a protege of president Vytautas Landsbergis. In 1993 he was a founding member of the Homeland Union.
Kubilius has already had one brief spell as prime minister, in 1999-2000, during which time he proved to be business-friendly without being tied too closely to vested interests. He played a key role in the liberalization and privatization of key industries such as gas, electricity and the transport sector.
As a result, he has retained more respect than many other politicians who emerged in the first few years after Lithuania regained its independence.
Even Viktor Uspaskich, the aforementioned gherkin magnate, who lies at the other end of the political, personal and social spectrum from the dapper Kubilius spoke in glowing terms of his rival's upright character recently - though that could have had as much to do with trying to get into the good books of the next prime minister as anything else.
Kubilius is a good organizer and established the Homeland Union as an efficient, opposition political machine, complete with a slick website, personal blog and media-friendly attitude.
He gradually built pressure on the government of Gediminas Kirkilas, but resisted overt populism. However, by doing so, opened up the door for the avowedly populist Rising Nation, or "Showbiz" Party, to gather up that vote. They will now likely be Kubilius' main coalition partner.
The future stability of a Kubilius-led government is likely to rest on whether he can develop a good working relationship with Arunas Valinskas, the leader of Rising Nation and a former TV game show host.
But perhaps the real reason for Kubilius' return to the top of the Lithuanian political scene is simply a case of history repeating itself. The Sajudis Movement was a broadly-based right-leaning coalition designed to keep Lithuania intact during a political crisis. This time, Kubilius has managed to assemble another centre- right coalition that will aim to take Lithuania safely through an economic crisis.
Kubilius says he is relishing the challenge and cites Ireland as an example of how a small country can achieve a big turnaround in its fortunes.
"We have a situation which is really challenging. But challenges can mean more interesting times for government than a calm period," he told Deutsche Presse-Agentur dpa.
"My personal experience in government was in the crisis of 1999, so I think this government will be of a similar type. We shall not be afraid of making deep changes. We have the example of Ireland in the middle of the 1980s when, during a crisis, they made a national agreement. That became exactly the basis of the success of Ireland in later years. Perhaps also this crisis is needed for Lithuania to go into the future," he said.

http://www.earthtimes.org/articles/show/238749,kubilius-the-right-man-for-a-lithuanian-crisis--feature.html#
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Vilnius and Riga lagging behind other Baltic Sea region cities
Danuta Pavilenene, BC, Vilnius, 27.10.2008.
Vilnius was considered far behind other cities in the Baltic Sea region in terms of economic development and potential competitiveness according to a survey, published by German researchers in Rostock, Radio Vilnius informed.
Vilnius.
The survey compares nine cities in the region: Kiel and Rostock in Germany, Poland's Gdansk, Vilnius of Lithuania, Riga – Latvia's capital, Tallinn of Estonia, Turku of Finland, Umea of Sweden and Aarhus of Denmark. The evaluation of potential in the study is based on the assumption that competitive advantage not only depends on traditional factors, such as real estate prices, transportation costs and the labor force, but that it also depends on factors with indirect effects on the economy, such as innovation, expertise and openness, reports ELTA.
Based on all these factors, Vilnius, together with Riga and Gdansk, ranked in the group with the worst potential, far behind both the lead group of Turku, Umea and Aarhus and the middle group of Kiel, Rostock and Tallinn.
The survey shows that Vilnius has serious problems in terms of innovation and level of knowledge. Concerning innovation, the authors of the survey emphasize that the investment Vilnius makes into research and technological development, at just 0.76% of gross domestic product (GDP), is less than half of the European Union average of 1.9% of GDP. They also point to the fact that research facilities are poorly funded and scientists earn a pittance, which has led to the loss of intellectual and professional personnel.
According to the survey, Vilnius, with 135 university students for every 1000 residents is well above the EU average, yet the city is falling behind the rest of Europe in terms of people employed in the knowledge economy sector.
The authors value the multi-cultural nature of Vilnius as well as the fact that the number of employed women in the city is above the EU average.
However, the survey states that residents of Vilnius face many challenges when trying to reach a balance between their family and work. According to the research, this fact relates to the poorly developed system of nursery schools and kindergartens in the city.
The research was carried out by the Hamburg Institute of International Economics in cooperation with the Hamburg office of the professional services firm PricewaterhouseCoopers.
http://www.baltic-course.com/eng/analytics/?doc=6536&ins_print
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Wednesday, October 22, 2008

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News October 23, 2008



The Mazeika Report October 22, 2008 go to "blog" link to http://mazeikabloginternationalnews.blogspot.com/ for archival reports for the months of September, August, July and June, 2008Pass this link on to other readers! Breaking stories.....your comments are welcome.... Place this "blog link" into your computer favorites for easy access.
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Red Terror on the Amber Coast
Completion and Release of Documentary Film
“A Story that needs to be told!”


DVD copies: $20.00 each

You Tube trailor preview for Red Terror...http://www.youtube.com/watch?v=EYET4bk0gvU

Film-maker Ken Gumbert and producer David O’Rourke have announced that their documentary film, Red Terror on the Amber Coast, has been completed and released for distribution, and has been accepted for broadcast on Rhode Island Public Television, at a time yet to be set. The film, in the works for five years, describes the Soviet occupation of the Baltics following the Hitler-Stalin Pact of 1939, the fifty year reign of terror the Soviets imposed on the once free and democratic republics, and the resistance to the illegal takeover. The film’s focus is principally on Lithuania. But the film-makers know that the story they present is the story of all three countries.

Almost by accident in 2001, the team of editor and writer David O’Rourke and documentary film-maker Ken Gumbert came upon photographs of prison and torture abandoned by the KGB when they fled their headquarters in the Lithuanian capital of Vilnius. Startled by the blunt cruelty of what they saw, they decided that the terrible story the pictures revealed had to be told.

In June of 2006 they were able to film interviews with a cross section of people, from President Adamkus and Vytautas Landsbergis to the wives of captured partizanai (freedom fighters) who had to fight just to survive while their husbands were in Soviet prisons. And with the full support of the National Genocide and Resistance Center in Vilnius and the Occupation Museum and Film Archives in Riga they have been able to illustrate the personal narratives with rare archival films and photographs.

At present the film-makers, both Dominican priests, are working with Lithuanian-American groups and others to promote the scheduling of the film on public television, in film festivals, and in local communities. They may be contacted directly by interested people. kgumbert@providence.edu dkorop@sbcglobal.net Tony@TonyMazeika.com


For more information, contact Tony & Danute Mazeika 949 929-9051

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Comments from readers:

"Tony:

You really collect the best articles on Russian politics and economics. Your report is better than any of the single journals, because it gathers such good information from all of then - it is a real study in current Russian realities.
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Welcome to the ACT! for America 2008 Candidate Voter Guide
ACT!
for America emailed and mailed our 2008 issues questionnaire to over 1,000 candidates for President, U.S. Senate and U.S. House of Representatives. To see a copy of the questionnaire, click here.
Every effort was made to confirm that the candidates received the questionnaire and were aware of it. Return receipts for surveys both mailed and emailed have been retained. Hundreds and hundreds of phone calls were placed to the campaigns, asking them to return the questionnaires. We also sent an email to our members encouraging them to contact candidates who had not yet completed and returned the questionnaire.
Numerous candidates, including both Senator Barack Obama and Senator John McCain, did not respond to the questionnaire. However, ACT! for America has been able to provide research on how Senators Obama and McCain stand on the issue of terrorism, and there are some clear differences.
To review the research on Senators Obama and McCain please click here. Also, you can review both senators’ voting record on key national security votes going back to 2003 by clicking on our congressional scorecard. There you will also find the voting record of Vice President candidate Senator Joe Biden.
Some candidates emailed or mailed a response in lieu of filling out the questionnaire. Those responses are posted for those candidates. All other candidates who refused to respond in any way are identified with a “Refused to Respond” stamp.
Questionnaires that were returned to us have been posted to our website for your review. The completed questionnaires that you see are precisely what we received, including any comments the candidates wished to make for any of the questions.
If a particular candidate for U.S. Senate you are interested in is listed as “Refused to Respond”, and you would like to contact this candidate’s campaign to find out why, please click here for a list of candidates who did not respond and their contact information.
If a particular candidate for U.S. House of Representatives you are interested in is listed as “Refused to Respond”, and you would like to contact this candidate’s campaign to find out why, please click here for a list of candidates who did not respond and their contact information.
Nothing contained in this voter guide section should be construed as ACT! for America endorsing or not endorsing any candidate, or favoring or not favoring any candidate. The information provided is intended for informational and educational purposes only.
http://www.actforamerica.org/index.php/learn/voter-guide?tmpl=component&print=1&page=

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Geopolitical Diary: Falling Oil Prices Drag Down High Hopes

Stratfor Today »-->October 16, 2008

With the Dow dropping another 700 points and fears of recession setting in, the price of crude oil dropped to US$71 a barrel on Wednesday, its lowest point in more than 13 months.
This is a huge shift from July, when oil prices were more than double what they are now — US$147 a barrel. Back then, prominent leaders like Venezuelan President Hugo Chavez, Russian Prime Minister Vladimir Putin and Iranian President Mahmoud Ahmadinejad were swimming in petrodollars and grinning from ear to ear, planning their geopolitical agendas.
Chavez’s utmost priority is to secure his hold over the country, especially since more and more Venezuelans are growing disillusioned with his Bolivarian vision as inflation keeps climbing and food becomes scarcer. His way of holding onto power is to keep throwing money at his population, as well as his regional allies, through oil-funded social welfare programs and to buy plenty of arms from the Russians for the Chavistas protecting him and his support base. The Venezuelans announced today that they are betting on $60 per barrel oil for their 2009 budget. But with oil prices dropping this fast, Chavez is going to be in for a rude surprise.
Putin’s main priority is first to consolidate Kremlin control at home, then work to consolidate Russian influence in its formerly Soviet periphery. One of the ways to achieve the latter is to use handsome energy revenues to undermine Western influence in places like Latin America and the Middle East and to bully the Europeans, who are dependent on Russian energy, into complying with Russian demands. Though oil prices are dropping, Russia is still much better off since much of its energy comes from natural gas, for which Russia can set the price. But lower oil prices will still give the Russians pause in their actions moving forward.
Ahmadinejad’s main priority is to secure support for himself and the clerical regime at home by keeping the population happy with energy and food subsidies. Next on his list is the need to consolidate influence in Iraq and the wider region through a variety of proxies that need to be armed and paid on a regular basis. But with Iran’s exports falling, its energy industry in disrepair, gasoline imports draining the economy and now oil revenues falling, the country is spiraling further and further into economic turmoil.
A number of geopolitical agendas will need to be revised as oil prices continue falling. But we need to also keep in mind that this drop in oil prices is likely just the beginning.
An economic recession has just barely begun in the United States, and has yet to hit the wider world. The recession in Europe is also just starting, and since Europe’s monumental economic ailments are entrenched in the banking sector, it will be at least another several months before the Europeans can start to recover. Moreover, the slowdown of exports from Asian markets is only just now starting to come to light. The recovery of the Asian states is first dependent on the Western consumer base recovering. In short, what we’re looking at is a protracted decrease in demand lasting from months to years across the globe.
To put that into perspective, in 1997-1998 during the Asian financial crisis, the countries hit by recession were Japan, South Korea and the Southeast Asian countries. Though that economic crisis was more localized, it still resulted in a 10 percent drop in global demand and a three-fourths drop in global crude prices to around $8 dollars a barrel.
Compare that situation to the present day, when the United States, China, all of Europe as well as much as the developing world is getting hit with recession. Oil prices have dropped more than 50 percent in a little more than two months, yet the coming drop in global demand has barely even cut into the price of oil. And to put that into perspective, this drop in price is happening in spite of the “geopolitical heat” already factored into the market price of oil, including threats from Nigerian militants, Israeli war threats against Iran and Russia browbeating the Caucasus. The oil markets are boiling down to the fundamentals, and unfortunately for the big oil-producing states of the world, those fundamentals are acting bearish.
http://www.stratfor.com/

The Geopolitics of Russia: Permanent Struggle
Stratfor Today » October 15, 2008 1847 GMT
Editor’s Note: This is the fourth in a series of monographs by Stratfor founder George Friedman on the geopolitics of countries that are currently critical in world affairs.
By George Friedman
Full report via link: http://www.stratfor.com/analysis/20081014_geopolitics_russia_permanent_struggle
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THE WASHINGTON POST
Oct. 20, 2008
Russia Unromanticized
John R. Bolton
Former secretaries of state Henry Kissinger and George Shultz argued recently on this site that the United States should neither be "isolating" Russia nor drifting toward "confrontation." The Post's Masha Lipman urged us to avoid "Cold War preconceptions and illusions." Unfortunately, these distinguished commentators are aiming at straw men: No serious observer thinks we face a new Cold War or that isolating Russia because of its increasing foreign adventurism is a real solution. U.S. opposition to Russia's recent behavior should not rest on a desire to "punish" Russia but on the critical need to brace Moscow before its behavior becomes even more unacceptable.
Russia has been growing increasingly belligerent for some time. Its invasion of Georgia is only the most recent and vicious indicator of its return not to the Cold War but to a thuggish, indeed czarist, approach to its neighbors. Vladimir Putin gave early warning in 2005, when he called the breakup of the Soviet Union "the greatest geopolitical catastrophe of the 20th century." In the same speech, Putin lamented that "tens of millions of our fellow citizens and countrymen found themselves beyond the fringes of Russian territory." He may now be acting to reverse that "catastrophe," as further demonstrated by Moscow's embrace of Ukrainian Prime Minister Yulia Tymoshenko and other efforts to interfere in that country's elections. Prudence based on history requires us to assess Russia's invasion of Georgia as more than an aberration until proven otherwise.
Russia has repeatedly demonstrated its capacity to threaten American interests: providing cover to Iran's nuclear weapons program by enthusiastically neutering sanctions resolutions at the U.N. Security Council and trying to market reactors to Tehran; selling high-end conventional weapons to Iran, Syria and other undesirables; using its oil and natural gas assets to intimidate Europe; making overtures to OPEC; and cozying up to Venezuela through joint Caribbean naval maneuvers, weapons sales and even agreeing to construct nuclear reactors.
Take the controversy over locating U.S. missile defense assets in Poland and the Czech Republic. We fully informed Russia before withdrawing from the 1972 Anti-Ballistic Missile Treaty that we would create a limited (but geographically national) missile defense system to protect against the handfuls of missiles that might be launched by states such as North Korea or Iran. As anyone can tell from looking at a globe, anti-missile sites in Europe wouldn't defend against the missile trajectories of a Russian strike on America. (That's why the Distant Early Warning Line was in Alaska and Canada, not Europe.) Russia's threats against Poland are aimed at intimidating Western Europe, an all-too-easy objective these days. We have real interests at stake, such as a route to the Caspian Basin's oil and gas assets that does not traverse Russia or Iran. If Moscow's marching through Georgia goes unopposed, marching will look more attractive elsewhere, starting with Ukraine, which has a large ethnic Russian population "beyond the fringes" of Moscow's control. "Legitimate security interests" do not justify invading and dismembering bordering countries.
A rational Russia policy has to escape the persistent romanticism of Moscow in recent administrations and the desire of some Europeans to close their eyes and hope things will work out. Too many Europeans believe they have passed beyond history and beyond external threats unless they themselves are "provocative." Last spring in Bucharest, that mentality led Germany and others to reject U.S. suggestions to put Georgia and Ukraine formally on a path to NATO membership. Moscow clearly read that rejection as a sign of weakness.
Ultimately, what most risks "provoking" Moscow is not Western resolve but Western weakness. This is where the real weight of history lies. Accordingly, attitude adjustment in Moscow first requires attitude adjustment in NATO capitals, and quickly, before Moscow's swaggering leaders draw the wrong lessons from their recent successes.
First, NATO must reverse the Bucharest summit mistake immediately. This is achievable before Inauguration Day on Jan. 20. Admitting Estonia, Latvia and Lithuania into NATO has stabilized a possible zone of confrontation in the Baltics, and moving to bring in Ukraine and Georgia would eliminate a dangerous vacuum in the Black Sea region. Second, we should scale up rapidly in military cooperation with current and aspiring NATO members in Central and Eastern Europe to make it clear that more Russian adventurism is highly inadvisable. Hopefully, other NATO countries will join with us, but we should act bilaterally if need be. Third, we should proceed fully with missile defense plans, on which we have repeatedly offered Russia full involvement and cooperation, to protect us all from rogue-state threats.
Such an approach will not endanger Western security but enhance it. And if Russia takes offense, better to know that now than later, when the stakes for all concerned may be much higher.
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Europe's Message to Moscow
By Dan Hamilton
The European Union has entered diplomatic no-man's-land by deploying more than 200 monitors to areas of Georgia next to the breakaway provinces of Abkhazia and South Ossetia, replacing Russian forces that invaded Georgia in August. The EU's Georgian deployment is a test of its ability to manage relations with a resurgent Russia, and to develop a more credible approach to the volatile "in-between" lands that stretch along EU borders from the Baltic to the Black Sea.
The EU faces some tough challenges. Moscow has not only refused to make good on its commitment to remove its forces from Abkhazia and South Ossetia, it has actually recognized the two Georgian provinces as independent countries, given many of their citizens Russian passports, and deployed a sizable contingent of its own forces. EU efforts to initiate mediation talks in the conflict fell apart in Geneva Wednesday due to disagreement between Georgia and Russia over participation of the two breakaway regions.
In the short term, the EU is well-advised to maintain its position as "honest broker" in the conflict. This allowed it to mediate and engineer the current ceasefire, and despite this week's setback offers an opportunity to work with all sides to tackle the unresolved issues of status for the provinces and security for people across the area.
In the longer term, however, the EU must review its approach to Russia and the region as a whole.
The message to Moscow is straightforward. If Russia continues to bully its neighbors and cling to outmoded spheres of influence, the international community will hold Russia accountable. If it uses its energy wealth to invest in its people, build a more sustainable economy grounded in the rule of law, tackle its truly stunning health and demographic challenges, and build better relations with its European neighbors, the EU and the U.S. stand as willing partners.
The EU's message to smaller neighbors demands more from Brussels. The EU has an interest in preventing violence along its eastern borders. It needs to address wider Europe's remaining conflicts, most of which are labeled "frozen" but are really festering sores that have dragged down small young democracies and blocked their economic development. The EU also has an interest in projecting stability eastward so that instability does not flow westward. It needs to discourage its neighbors from irresponsible behavior and to engage with them in ways that reduce the region's vulnerability to Russian pressure and forge closer links to the EU itself.
EU enlargement has been the bloc's greatest foreign policy achievement. EU leaders remain reluctant, however, to acknowledge that a turbulent Europe without walls and barriers requires vigorous efforts to extend the EU's brand of democratic stability even further eastward. Now that EU forces have been forced to deploy to the eastern shore of the Black Sea, the magnitude of wider Europe's challenge - and the need for a more dynamic response -- may become clear.
Dan Hamilton, director of the Center for Transatlantic Relations at Johns Hopkins SAIS, is the host of Next Europe.
http://newsweek.washingtonpost.com/postglobal/sais/nexteurope/2008/10/europes_message_to_moscow.html
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Mullen Offers Reassurance to Baltic Republics
By Jim GaramoneAmerican Forces Press Service
RIGA, Latvia, Oct. 21, 2008 – Following a meeting this morning in Helsinki, Finland, with his Russian counterpart, the chairman of the Joint Chiefs of Staff traveled here to discuss defense issues with Latvian officials.
Navy Adm. Mike Mullen, accompanied by Latvian Brig. Gen. Juris Maklakovs, the chief of defense, discussed defense and NATO issues with Latvian President Vladis Zatlers, Foreign Minister Maris Riekstins and Defense Minister Vinets Veldre.The Baltic republics – all members of NATO – are nervous following Russia’s invasion of Georgia in August. Latvia, Lithuania and Estonia all want more precise NATO defense plans in the wake of the Russian action in the Caucasus. Mullen said his trip is designed to assuage some of the nations’ concerns.“One of the reasons I am here is to send a very visible message of reassurance,” the chairman said during a news conference with Zatlers. Alliance members are having discussions on the Russian actions and all nations remain committed to staying unified on the Georgia invasion, the chairman said. “It’s been pretty clear across the board that NATO was not accepting in any way, shape or form what Russia has done in Georgia,” he said. “All of us are concerned by the recent invasion into Georgia of Russia,” Mullen said. “In my past experience in NATO, I’ve always tried to understand the views of the Baltic [republics] because of the history and how they view what has happened. Those are part of the conversations we have had today. I think it is very important that … NATO recognizes what the alliance means and the responsibilities and obligations that go with it.”NATO fighters guard the Baltic nations’ airspace and perform the peacetime air defense and air policing function. U.S. Air Force F-15 aircraft based at Lakenheath, England, currently have that mission as part of NATO.The mission over the Baltic republics is an important one, Mullen said. The alliance had a recent exercise of that mission, he noted. All nations realize its importance to the alliance and to the Baltic nations, he said, though he would not go into specifics about air police plans or specific scenarios used to train the NATO flyers.“It is a NATO mission that many nations have stepped up to in the past and will continue, certainly through 2011,” Mullen said. The chairman thanked Latvia for its support in the Balkans and for sending personnel to Afghanistan.
Biographies:Navy Adm. Mike Mullen
http://www.defenselink.mil/news/newsarticle.aspx?id=51591

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Russia, Iran and Qatar discuss gas cartel
The Associated Press
Tuesday, October 21, 2008
TEHRAN, Iran: Iran, Russia and Qatar discussed the formation of an OPEC-style cartel among some of the largest natural gas producing nations on Tuesday, a prospect that has unnerved energy-importing nations in Europe and the United States.
The meeting appeared to be the first serious talks about the creation of such a cartel since Iran's supreme leader, Ayatollah Ali Khamenei, first raised the idea in January 2007.
The prospect has raised concern in the United States and around the 27-nation European Union, which depends on Russia for nearly half of its natural gas imports. Moscow, which controls many of the European pipelines delivering gas from Russia and Central Asia, already has a tight hold on supplies.
Russia has been accused of using energy as a weapon, in particular in its disputes with neighboring Ukraine. European Union leaders have said they would stand against any Russian effort to create a gas cartel, fearing energy prices — and Russia's political clout — could rise further as a result.
Iranian Oil Minister Gholam Hossein Nozari said Tuesday that the three countries with the largest natural gas reserves will "seriously pursue the formation of an organization of gas exporting countries."
Nozari spoke on state TV after a meeting with his Qatari counterpart, Abdulla Bin Hamad al-Attiya, and the head of Russia's state-controlled energy company Gazprom, Alexei Miller.
He said the three parties decided to discuss the cartel further at the next meeting of their foreign ministers.
Many experts say a natural gas cartel that resembles the Organization of Petroleum Exporting Countries group would be tough to achieve.
Unlike oil, which is traded on an exchange that constantly updates the market price based on supply and demand, most gas is sold under tight contracts that allow buyers to lock in prices for up to 25 years. As a result, a cartel would likely have little influence.
The formation of a gas exchange also would be difficult because most natural gas is delivered via pipelines and is not as easily shipped around the world to different buyers as oil. Pipeline infrastructure also requires significant investment that often makes long-term contracts necessary.
Former Russian President Vladimir Putin and Qatar's emir, Sheik Hamad bin Khalifa Al Thani, announced in April 2007 they would explore the creation of a cartel to represent the interests of producer countries in controlling the global market.
Russia and Qatar are two of the world's largest producers of natural gas, and tiny Qatar sits atop the world's single largest gas field.
A leaked confidential study by NATO economic experts in 2006 had warned that Russia may be seeking to build a gas cartel including Algeria, Qatar, Libya, the countries of Central Asia and perhaps Iran, and cautioned that an OPEC-like near monopoly would strengthen Moscow's leverage over Europe.
Because of growing demand and lessening supplies, the United States also has increasingly relied on natural gas imports in recent years.
Weeks after the Russian-Qatari announcement, U.S. Energy Secretary Samuel Bodman spoke out against the formation of a cartel. Appearing at an energy conference in Houston in February 2007, he said initiatives that seek to control the flow of energy supplies and circumvent the role of the market to set prices "are contrary to the long-term interests of both producers and consumers."
http://www.iht.com/bin/printfriendly.php?id=17130808
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Ground is shifting under empires of Russian oligarchs
By Andrew E. Kramer
Saturday, October 18, 2008
MOSCOW: Are the Russian oligarchs going bust?
In the global financial crisis, perhaps no community of the affluent has fallen as hard, or as fast, as the brash Kremlin-connected insiders whose wealth was tied up in the overlapping bubbles of the Russian stock market, commodity prices and easy credit.
Full report via link: http://www.iht.com/bin/printfriendly.php?id=17047280
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Russian ruble crisis costs the Kremlin billions
By NATALIYA VASILYEVA and DOUGLAS BIRCH – 1 day ago
MOSCOW (AP) — Only a few months ago, the Kremlin was talking about pricing its oil in rubles and making the ruble a regional reserve currency, giving it a status closer to that of the euro and the dollar.
But that was before Russian tanks rolled into Georgia, the Russian stock market crashed and the price of oil fell by half.
The ruble has declined steadily since the Aug. 7 start of the five-day war with Georgia, losing some 10 percent to 12 percent of its value against the dollar. Without intervention by the central bank, which began in early September, it might have fallen further, faster.
Anton Struchenevsky, an economist at Troika Dialog investment bank, said Monday the Central Bank was spending $600 million a day to buy rubles and support the currency's exchange rate, for a total of $20 billion in less than two months. Other experts put the cost of defending the ruble as high as $50 billion.
While Russia has more than half a trillion dollars in foreign exchange reserves, Struchenevsky said: "This cannot last forever."
Some analysts think the Central Bank is trying to engineer a soft landing for the ruble — letting exchange rates fall to strengthen Russian industry by raising the costs of competitors' imported goods. The aim would be to let the ruble slide gradually to avoid causing panic.
Andrei Illarionov, a former Kremlin adviser and now a government critic, told reporters Monday that "the Central Bank, to safeguard itself, made a decision to start a devaluation, a soft devaluation of the ruble."
Allowing the ruble to fall too quickly would contradict the Kremlin's official line, which is that the Russian economy remains healthy, vibrant and largely insulated from the impact of any global recession. The currency's strength and stability had until recently been a proud symbol of the country's rise from the ashes of its 1998 economic crisis.
Governments can either set an official exchange rate, sometimes based on another currency, or let their currencies float — let the international currency trading market set the rates.
Russia's Central Bank pegs the ruble to a so-called "basket" of the dollar and the euro, allowing it to float only within a narrow range. The aim is to avoid the economic shock of sudden swings in the currency's value.
A decision to abandon the peg and float the ruble "would doom the banking sector," said Nataliya Orlova, chief economist at Alfa Bank. "There is a nervous mood in the air, but if the ruble loses state support, there will be panic. People would be withdrawing rubles from their deposits and converting them into dollars."
Yegor Gaidar, an economist and former prime minister, last week praised the government's efforts to support the ruble. "This is a smart decision," he said. "We absolutely do not need panic on the currency market."
Until this summer, the ruble had been gaining for several years on the back of higher prices for Russian commodities, especially oil and gas. The ruble strengthened to 23.14 against the dollar in July, its highest level in 9 years.
But the currency's fortunes have reversed dramatically in the past three months. It hit a 20-month low Friday, trading at 26.4 rubles to the dollar. On Monday, it ticked up a hair to 26.3.
Meanwhile, some of Moscow's sidewalk currency exchanges over the weekend were selling dollars for more than 28 rubles — the result, apparently, of whispers that the Kremlin was about to let the ruble float against international currencies.
The Central Bank reassured markets it would continue to support the Russian currency, and introduced measures Monday to limit traders who used currency swaps to profit from the ruble's decline.
Oil prices also rose modestly Monday, further strengthening the ruble.
Some analysts say Russia's economy remains relatively healthy and the currency should show more resilience, but many Russians remember the 1998 currency collapse.
"The ruble has been steadily growing in the past few years on capital inflows, but a large part of people and businesses still have no faith in the ruble," said Evgeny Nadorshin, chief economist at Trust Investment Bank.
A rapid devaluation would not just undermine faith in the currency; it could cause political problems for the Kremlin as well. Many Russian regard the 1990s, a crippling period of poverty and turmoil, as a time of political and economic humiliation.
But Russia was in a much weaker economic position 10 years ago, and no one expects a replay.
Even if the government decided to let the ruble float, Struchenevsky said, there would be no repeat of 1998, when the value of the ruble dropped fourfold and inflation surged to 80 percent.
Besides helping domestic manufacturers, he added, it would allow the government to adopt more flexible economic policies.
Associated Press writers Lynn Berry and Steve Gutterman contributed to this report.
http://ap.google.com/article/ALeqM5gc9QQ79DpD3JRodHliUAZxZuy6_wD93UDJH00
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MOLDOVA AZI > POLITICS > NEWS
http://www.azi.md/news?ID=51597
October 20 2008
European political and religious leaders will back Moldova, Ukraine and Georgia
Nearly 40 political leaders - representatives of the European People's Party - and senior officials from the Orthodox clergy met for an "inter-culture dialog" organized by the Party in Iasi (Romania) last weekend, where they decided to underpin Moldova, Ukraine and Georgia in their European integration efforts.
Adevarul newspaper of Romania wrote that the political and religious leaders decided to create a partnership to the east of the European Union that will include Moldova, Ukraine and Georgia. The European leaders promised to support a message on these states' joining the European Union, the paper wrote.
The said political and religious leaders presume that these three FSU states are members of the European family of nations, and the leaders are positively assessing the countries' efforts aimed at integration into the European Union.
INFOTAG
http://www.azi.md/print/51597/En
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Sources: US To Waive Visa Rules For 7 Countries
(Butler, AP) Friday, October 17, 2008APBy Desmond ButlerThe Bush administration plans to remove visa requirements for the citizens of seven allied countries, congressional aides said Thursday.President Bush will announce Friday that Latvia, Lithuania, Estonia, Hungary, the Czech Republic, Slovakia and South Korea will be added to the U.S. visa waiver program as early as next month, the aides told The Associated Press.The White House would not confirm the list but said Bush is to speak Friday on the visa waiver program. The congressional aides spoke on condition of anonymity because the president will announce the decision.The administration has sought to reward close allies with visa-free travel but has met resistance from some lawmakers who say the visa waiver program could make it easier for terrorists to slip into the United States.The program currently includes 27 countries, including most of Western Europe. Exclusion has been a sore point among some new NATO allies that have supported U.S. operations in Iraq and Afghanistan. Some of those countries, including Poland, did not make Friday's list because they could not meet admission requirements.Negotiations with Greece, which has long sought to join other Western European countries in the program, have faltered, prompting complaints from the Athens government and Greek-American groups that it is being punished because of unrelated political disagreements with Washington over the entry of neighboring Macedonia into NATO.Sen. Joe Lieberman, I-Conn., said he was concerned the administration waived some criteria for admission so the seven countries could be approved before Bush leaves office."I am dismayed the administration has decided to expand the Visa Waiver Program before implementing security measures required by law, a move that could very well jeopardize the security of the United States," Lieberman, a supporter of the program, said Thursday in an e-mail.Congress last year enacted a law to expand the program while requiring that the government implement a system under which visitors from non-visa countries would have to register online with U.S. authorities before their departures and provide some personal information. Lieberman contends that program will not be in place when the new countries join.
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NATO fighters practice air defense over Baltic skies
21/10/2008 12:31 TALLINN, October 21 (RIA Novosti) - NATO fighters started on Tuesday exercises aimed at policing the airspace over the Baltic countries as part of the Baltic air-policing mission, the Estonian defense ministry said.
The Baltic air-policing mission is a NATO air defense Quick Reaction Alert (QRA) in order to guard the airspace over the three Baltic States - Estonia, Latvia and Lithuania.
The current exercise involves up to 15 NATO aircraft from the Baltic States, the U.S., Poland and Denmark. Overall supervision of the exercise will be carried out from a NATO Combined Air Operations Centre in Germany.
Estonian Defense Minister Jaak Aaviksoo said earlier that the exercises would become a routine part of the Baltic air-policing mission.
The Baltic States have a poorly equipped air force and air defense capability, which cannot provide sufficient protection of the airspace and perform the so called air policing function - prevention of airspace violations and landing by aircraft that have gone off course either on purpose or unintentionally.
Since March 2004, when the Baltic States joined NATO, alliance nations have policed the airspace over the region on a three-month rotation basis from Lithuania's First Air Base in Zokniai, near the northern city of Siauliai.
At present this mission is carried out by the U.S. Air Force. The Americans deploy 100 personnel and four F-15C fighters at a Lithuanian airbase in Zokniai.
The current agreement on the protection of Baltic airspace by NATO fighters runs until 2011, but the Baltic States are insisting it be extended until 2018.
http://en.rian.ru/world/20081021/117852508.html
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U.S. pilots take on Lithuania sky duty
By Charlie Reed, Stars and StripesEuropean edition, Saturday, October 4, 2008
England-based fighter pilots deployed to Lithuania this week to police the skies on behalf of NATO.
Four F-15s from the 493rd Fighter Squadron at RAF Lakenheath along with 130 airmen took over from the German air force for a three-month rotation in the Baltic States. The U.S. is one of 13 NATO countries committed to the air policing mission in the region, which also includes Latvia and Estonia.
Pilots are running training sorties every day, although "a majority of the mission is just sitting alert," said Capt. George Downs, a project officer from the 493rd.
The fighter jets will provide air defense for the region, once governed by the former Soviet Union.
This is only the second time the U.S. has taken part in the Baltics mission since its inception in 2004, the year the countries joined NATO and the European Union.
"I think the biggest thing we’ll take away is increased solidarity and confidence in our NATO allies and an understanding that we’re all in this together," Downs said.
The U.S. troops are operating out of Lithuania’s Siauliai International Airport near the northern city of Siauliai. Lithuania was the first Soviet republic to declare its independence in 1990 though Russian troops did not withdraw until 1993, according to the CIA World Factbook.
http://www.stripes.com/article.asp?section=104&article=65039&archive=true
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Source: http://www.istockanalyst.com/article/viewiStockNews+articleid_2679293.html Lithuania As Nato Member Should Fear Confrontation With Russia - U.S. Diplomat
Friday, October 03, 2008 7:57 PM (Source: Daily News Bulletin; Moscow - English) MOSCOW. Oct 3 (Interfax) - U.S. Assistant Secretary for European and Eurasian Affairs Daniel Fried thinks that Lithuania should aspire to establish good relations with Russia at any cost. It is not Lithuania that started confrontation with Russia; it is Russia that created problems by intruding a neighboring country, Fried said on the air of the Lithuanian National TV within the framework of this visit to Vilnius. Lithuania is a NATO member, and NATO is a serious organization, and Article 5 of the North Atlantic Treaty, which provides for collective security, is a serious obligation, the diplomat said. Asked if the Baltic states have a defense plan in case they are attacked, Fried said that this is a standard of NATO to be ready to fulfill Article 5 of the Treaty: there is nothing new, dramatic or scandalous about this. NATO is now authorized to do what it should do: to revise how the Alliance is ready to fulfill its obligations under Article 5. Russia has privileged interests in some regions, Fried told a meeting of the Enhanced Partnership in Northern Europe (e-PINE) in Vilnius on Thursday commenting on a statement by Russian authorities. Russia should assess it forces, which would allow it to do something constructive in the world rather than to intimidate others, the U.S. diplomat said. Russia's statement about rights and spheres of influence is an anachronism inherent to the 20th century, he said, adding that Russia has taken this view and we need take this into consideration. The fact is that we do not recognize Russia's rights to a sphere of influence, and this could create difficulties for Russia, Fried said.
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October 21, 2008
Few in Baltic States Voice Preferences in U.S. Election
Latvians, Lithuanians divided over whether election makes a difference
Estonia
Latvia
Lithuania
USA
Democrats
Election 2008
Elections
Favorability
Leadership
Republicans
Americas
Former USSR
by Ian T. Brown
WASHINGTON, D.C. -- Citizens in the Baltic state of Latvia slightly favor Democratic Sen. Barack Obama over Republican Sen. John McCain in the U.S. presidential election, though a majority do not voice a preference. In Estonia and Lithuania, respondents are split between the two candidates, but even more respondents do not have a preference.
These Gallup Polls were conducted during key moments of the U.S. election season. In Estonia and Lithuania, Gallup surveyed respondents in June and July, shortly after Sen. Hillary Clinton conceded the Democratic nomination to Democratic rival Obama. In Latvia, Gallup polled in July and August, concluding days before the Democratic and Republican National Conventions began.
Access to media is likely not a serious issue for Baltic residents. On the Gallup Communications Index, which measures citizens' connectedness to electronic communications such as telephone and television, Estonia's score of 69 is average for Europe, and Latvia's and Lithuania's scores of 64 and 60, respectively, are not that much lower.
While large majorities in each country do not express a preference for whom they would like to be the next U.S. president, more respondents have an opinion about whether the outcome of the U.S. presidential election makes a difference to their country. Lithuanians and Latvians are more likely than Estonians to say the election makes a difference to their country, but overall are divided as to whether it makes a difference. In Estonia, a majority of respondents (61%) say the election outcome does not make a difference.
In an editorial published by The Baltic Times in July, Joseph Gerzen argues that the presidential election does in fact have significance for Lithuanians, largely because of President George W. Bush's selection of Lithuania as an alternative host country for the missile defense shield. Gerzen maintains that if McCain were elected president, he would continue to push for such partnership, possibly at the expense of Lithuania's relations with Russia. Nonetheless, Gallup finds Lithuanian respondents split equally between McCain and Obama. Gerzen's argument may not mirror how Lithuanians' view their interests with respect to the election.
As a point of comparison to another former Soviet state, Georgian respondents voice a preference for John McCain and a majority do think the election outcome will make a difference to their country. While Georgia needs continued U.S. support for its bid to join NATO, Baltic nations already have well-established economic and political ties to the West, possibly explaining why the election resonances less with Baltic nations' citizens. Energy ties with Russia and the possibility of a new pipeline through the Baltic Sea likely demand more of their attention.
Survey Methods
Results are based on face-to-face interviews with 601 adults in Estonia, aged 15 and older, conducted in June-July 2008; 513 adults in Latvia, aged 15 and older, conducted in July-August 2008; and 506 adults in Lithuania, aged 15 and older, conducted in June 2008. For results based on the total sample of national adults, one can say with 95% confidence that the maximum margin of sampling error is between ±4 and ±5 percentage points. In addition to sampling error, question wording and practical difficulties in conducting surveys can introduce error or bias into the findings of public opinion polls.
http://www.gallup.com/poll/111190/Few-Baltic-States-Voice-Preferences-US-Election.aspx?version=print

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Baltic markets hold steady
Posted on : 2008-10-21 Author : DPA News Category : Business
Riga - The three Baltic stock exchanges continue to trade in a steady range this week, maintaining the trend started at the end of last week. The NASDAQ OMX Tallinn exchange closed down 0.75 per cent Tuesday. Vilnius was down 0.56 per cent, while Riga's exchange, the smallest of the three, rose 5.94 per cent.
That was enough to cause the Baltic Benchmark Index (BBI) which includes data from all three exchanges, to record a modest rise, closing up 0.37 per cent at 332.19.
Despite the general flatness in the markets, there were one or two big fluctuations among individual stocks.
Lithuanian furniture maker Klaipedos Baldai recovered its losses of last week with a big 15 per cent rise in its share price. Latvian fur farmer Grobina headed in the opposite direction with an 11 per cent loss.

http://www.earthtimes.org/articles/printstory.php?news=237967

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Fuel in Lithuania costs less than in other Baltic countries
Danuta Pavilenene, BC, Vilnius, 20.10.2008.
The decreased prices for crude oil affected the prices for oil products in the global market. Last week, a liter of A-95 petrol cost 3.45 litas in Lithuania, 3.58 litas in Latvia, and 3.50 litas in Estonia.
The price for a liter of diesel fuel stood at 3.73 litas in Latvia, 3.79 litas in Estonia and 3.62 litas in Lithuania.

According to Daiva Joksiene, head of the marketing department of Lietuva Statoil, the prices for crude oil dropped because of the continuing crisis in the world"s finance markets, the decreased consumption of oil and its products in the U.S. and other countries, as well as the restored level of the U.S. reserve, which was imbalanced after the month of hurricanes.
http://www.baltic-course.com/eng/transport/?doc=6306&ins_print
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Lithuanian budget to go for debate on Oct. 28
Oct 20, 2008TBT Staff in cooperation with BNS
VILNIUS - A draft Lithuanian national budget for 2009 is set to go to Parliament for debate in 2009.
"The morning session on Tuesday next week will be devoted entirely to the presentation of the draft budget and accompanying legal amendments," Ceslovas Jursenas, the speaker of the Seimas (Lithuania's parliament), told lawmakers on Monday.
The budget, which will include a nearly 3 percent deficit, has received harsh from both local and EU officials.
"No way [it should be signed]," EU Commissioner for Financial Programming and Budget Dalia Grybauskaite told the Baltic News Service after a meeting with President Valdas Adamkus. "I gained solid experience during the critical situation in 1999 and 2000 when all public expenditures were trimmed. By more than 10 percent, and not just 5 percent. Such reserves do exist. The authorities should buy less limousines and should rather think and balance the appetites of individual departments with the economic and fiscal policy, financial resources. They should start there instead of doing harm to people," Grybauskaite said.
The government last Friday sent to the parliament a draft 2009 national budget which envisages that next year's expenditures will exceed revenues by 2.64 billion litas (0.87 billion euros) and targets a fiscal deficit of almost 3 percent of GDP.
As to the draft, the revenues of the national budget (the central government plus municipal budgets), including the EU funds, will total 30.199 billion litas in 2009, up 2.7 percent from the revenue amount envisaged for 2008. Budget appropriations are seen growing by 2.43 billion litas, to 32.838 billion litas.
The Finance Ministry projects that the country's economy will grow by 1.5 percent next year.
http://www.baltictimes.com/print_article/21582/
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Thursday, September 18, 2008

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News September 19, 2008




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Rice to make 'significant' speech on Russia

Sep 17 03:05 PM US/Eastern
US Secretary of State Condoleezza Rice will give "a significant speech" on Thursday about the consequences for Russia over its invasion of Georgia, a senior US official said.
"I would describe it as a significant speech about US-Russia relations as well as about Russia's place within the international system," the State Department official told reporters Wednesday on the condition of anonymity.
The speech will provide "an analysis of how we have gotten to this point, it talks about the kinds of choices Russia had before it and it talks about the international system and its response to Russia," he said.
The official was referring to choices Russia had before it invaded neighboring Georgia on August 7 and recognized the breakaway Georgian regions of South Ossetia and Abkhazia.
When asked if the speech would mention future possible measures or would be limited to the current responses of the international community, the official replied by saying "future possible" measures.
Since mid-August, Rice has hinted at retaliatory steps for Moscow's "disproportionate" military action against Georgia.
Several US officials have since raised the possibility of suspending negotiations for admitting Russia to the World Trade Organization.
They have even talked of excluding it from the Group of Eight leading industrial nations and the Organization for Economic Cooperation and Development.
http://www.breitbart.com/print.php?id=080917190529.6pmgtbo5&show_article=1


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Russian gunboat diplomacy in Crimea?

The Moskva cruiser took part in last
month's blockade of Georgian ports

The row over the future of Russia's Black Sea Fleet in Crimea could become a flashpoint in the already strained relations between Kiev and Moscow, says the BBC's Rupert Wingfield-Hayes, as he goes aboard the Russian flag ship in Sevastopol.
There is a very serious question being posed to the West in the wake of the Georgia conflict.
In the aftermath of Russia's invasion, should Nato move ahead more rapidly with plans to bring both Georgia and Ukraine inside its protective fence?
The argument being made by many Western commentators and politicians is that it should. But sitting in Moscow one cannot help wondering whether those calling for Nato to expand further and faster really understand the complexity and potential dangers involved.
This week I went to Sevastopol on the Black Sea coast of Crimea, Ukraine.

Sevastopol has twice been besieged by invading European powers. Just down the road is Balaklava where the British Light Brigade famously charged to their deaths in 1854. Florence Nightingale set up her hospital nearby. In 1941, it was Hitler's turn to lay siege.
Sevastopol is one of the most delightful cities anywhere. Once-grand neo-classical buildings dot the limestone hills that surround one of the most lovely natural harbours in Europe.
You can immediately see why the Russians chose this spot to build their great naval city.
Today, what is left of Russia's mighty Black Sea Fleet still rides at anchor in the harbour below.
I was taken aboard the flag ship, a huge grey monster called the Moskva (Moscow), an 11,000-tonne missile cruiser built during the Cold War to take on America's aircraft carriers.
The Moskva is now more museum piece than threat to the US Navy. But it, and its sister ships, still have the potential to bring the West and Russia in to conflict once more.
Please turn on JavaScript. Media requires JavaScript to play.
On board with the Russian Black Sea Fleet
The problem is that, by a quirk of history, when the Soviet Union collapsed Sevastopol ended up in Ukraine. Russia has a lease on the naval base until 2017. Then Ukrainian President Victor Yushchenko says the navy must go.
But the Russians have no intention of leaving.
"We built this place more than 200 years ago," Rear Admiral Andrei Baranov, the current commander of Russia's Black Sea Fleet told me. "Its steeped in the history of the Russian Fleet."
'Punishing sword'
If you climb up the slopes behind the naval base you can find some of that history in the thousands of graves of Russian sailors, from humble deck hands, to famous admirals.
We built this place more than 200 years ago. Its steeped in the history of the Russian Fleet Rear Admiral Andrei Baranov head of Russia's Black Sea Fleet
In the naval church high on a hill overlooking the harbour, I met Father Igor.
With his long grey beard and flowing robes he was the very picture of a Russian Orthodox priest. But when it comes to Ukraine joining Nato he is every inch the Russian nationalist.
"The West is always trying to subdue Russia” he told me.
"Russia can remain patient for a long time, but then it will unleash its deadly punishing sword. Russia has already shown it can do it, in Georgia. The West shouldn't provoke it here."
Nato is seen by many Russians as being deeply antagonistic towards Russia. More than 90% of Sevastopol's population is ethnic Russian, and they are absolutely opposed to Ukraine joining the alliance.
'We choose Russia'
Sitting in a Sevastopol street cafe, my ears were suddenly assaulted by the sound of a mass of car horns.
Then up the street came a long line of cars all hooting madly, with huge Russian flags sticking out of their windows.
Far from being annoyed by this spectacle many of the other car drivers joined in the frantic hooting.
The convoy was from a group called "we choose Russia".
"The Ukrainian nationalists in Kiev are trying to push us Russians out of here," said the group's leader, local MP Gennady Basov.
"If this continues, we'll have no choice but to defend ourselves with any means possible."
"Does that include taking up arms?" I ask him. "By whatever means," he repeats.
It sounds like an empty threat. But there is no doubt that Ukraine's Russian minority is as determined as Moscow to stop Nato's expansion further east.
Story from BBC NEWS:http://news.bbc.co.uk/go/pr/fr/-/2/hi/europe/7622520.stm
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Russian trading halted as stocks plunge
Story Highlights
Russia pumps more money into banking sector as trading halts
Earlier RTS and MICEX fall by more than 10 percent
Central Bank: Daily "repo" liquidity fully used by banks for third day in a row
Russian banks face a crunch period in October
MOSCOW, Russia (AP) -- The Russian government pumped more money into an increasingly stressed banking sector Wednesday and the stock exchanges suspended trading amid turmoil that brought back bad memories of the country's financial collapse 10 years ago.
Russia's primary stock indexes, MICEX and RTS, plummeted for a third consecutive day, with banking stocks leading the way, prompting regulators to halt trading at midday. As of 5 p.m. (1300 GMT), trading had still not resumed.
In an emergency measure to shore up liquidity, the government said it would lend the country's three largest banks -- Sberbank, VTB, and Gazprombank -- up to 1.12 trillion rubles ($44.9 billion) for a minimum of three months, said the Finance Ministry in a statement.
"These are market-making banks capable of ensuring the liquidity of the banking system," said the statement.
"Essentially we're counting on them as core banks to be able to lend to small and medium banks," Finance Minister Alexei Kudrin said in televised comments.
The government is racing to restore confidence in the banking sector after a tumultuous few days on the Russian markets, which have been driven down by margin calls and an exodus of buyers.
The moves came a day after Russian stocks plummeted to their lowest level in nearly three years as tumbling oil prices and Wall Street turmoil focused concerns about Russia's commodity-driven economy. Since May, the RTS has fallen by more than 55 percent.
First Deputy Prime Minister Igor Shuvalov said Wednesday everybody needs to "calm down," and have faith in the government, the Interfax news agency reported. He promised more liquidity measures would be announced soon.
Nataliya Orlova, chief economist at Alfa Bank, said the situation was more serious than initially believed.
"The reason is a lack of trust," she said. "A number of banks are trying to estimate which banks are facing losses."
Boutique investment bank Kit Finance was poised to be the first victim in the crisis after the bank confirmed that it had defaulted on some short-term borrowings and was seeking a strategic investor.
Russia's investment climate has faced wider concerns about its health following a damaging corporate wrangle at Anglo-Russian oil venture TNK-BP, Prime Minister Putin's attack on a mining company over allegations of price-fixing and Russia's recent invasion of Georgia.
The Central Bank has pumped in ever-increasing amounts into the banking sector in recent weeks through its twice-daily "repo" auctions. It provided a record 365 billion rubles ($14.3 billion) on Wednesday, topping the previous day's record of 361 billion rubles ($14.1 billion). The Finance Ministry separately provided an additional 150 billion rubles on Tuesday, and said it would provide another 350 billion rubles to banks by Thursday.
The current situation is reminiscent of 1998 when many ordinary Russians saw life savings wiped out. Analysts, however, pointed out that small banking customers are now partially protected by deposit insurance and the government is a much healthier financial state than 10 years ago.
"Is this a repeat of 1998? Definitely no," said Kingsmill Bond, a strategist at Troika Dialog. "In 1998, the government had a lot of debt and very limited reserves. Today the Russian government has no debt and huge reserves."
Still, fears have mounted that the building crisis of confidence among investors and bankers could spread to ordinary Russians, prompting a run on banks.
"This is the most important question," Orlova said. "At the current moment it's fine because Russians are not deeply involved in the financial markets, but I think this is the risk. ... This would be much worse than a confidence crisis between the banks."
Russian stock indexes edged up in early trading, but then resumed their decline. The ruble-denominated MICEX fell by more than 10 percent at one point, before climbing back to a 3 percent decline just before regulators suspended trading on both exchanges at 12:10 p.m. (0810 GMT). The RTS fell 6.4 percent before the suspension.
Shares in Sberbank and VTB fell on MICEX by 9.6 percent and 15.7 percent, respectively.
Regulators had announced that trading would resume by 5 p.m. (1300 GMT), but that deadline came and went without a resumption of trading and no explanation.
Fearing that Russia's economy could face a repeat of the 1998 economic crisis -- which saw the ruble devalued, default on the country's sovereign debt, and widespread bank foreclosures -- the government has promised to pump more money into the banking system.
Russian banks face a crunch period in October, when quarterly value added tax payments are due. They will also have to pay back the short-term money borrowed from the government. Banks have already started to hunker down, closing their doors to many third-tier and some second-tier borrowers.
RIA-Novosti reported that Mirax Group, a large real estate developer building Europe's largest skyscraper on a Moscow river embankment, announced it would put on hold all new projects because of the global crisis.
Banking officials tried to calm investor fears.
"The problem now is of a more psychological nature than a real danger," Garegin Tosunyan, head of the Association of Russian Banks, told Ekho Moskvy radio. "If people begin taking their money and hiding it under the mattress, of course it will have a negative effect on the economy."
Find this article at: http://edition.cnn.com/2008/BUSINESS/09/17/russia.banking.ap

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FINANCIAL TIMES Sept. 17, 2008
Russia lays down the law for a world in need of its wares
Alan Beattie, Charles Clover
Russia has never been big on adopting international standards. While most of Europe had brought in the Gregorian calendar by the end of the 18th century, it took Russia until after the Bolshevik revolution of 1917 to fall into line.
But since last month’s Georgian crisis, Moscow has taken a string of actions that look to many like a deliberate abrogation of international economic rules. In quick succession, it held up streams of Turkish trucks at customs posts, announced it would suspend commitments made as part of its application to join the World Trade Organisation, banned poultry imports from 19 American companies and declared it would “review” the trade privileges it currently extends to Ukraine.
Anders Aslund at the Peterson Institute for International Economics in Washington, a critic of the current Kremlin, says: “Russia has been breaking agreements at the rate of about two a day.”
Ministers insist they are not turning their backs on the world. Dmitry Medvedev, Russia’s president, said this week that Moscow – the only big trading power outside the WTO – still wants to join the club. But trade officials and experts are not confident that Russia is prepared to make the sacrifices necessary. Moscow, they say, has a distinctly mixed record of binding itself with rules that constrain trade and investment dealings with foreigners.
When it emerged from the Soviet era in the early 1990s, Russia rapidly started collecting the badges of international economic respectability. Under Boris Yeltsin, president from 1991 to 1999, it agreed a flurry of bilateral treaties protecting foreign investors and signed the Energy Charter Treaty, which aims to guarantee security of investment and supply for oil and gas. In 1993 Moscow started the long and tortuous process of applying to join the WTO.
But even before Mr Yeltsin was replaced by Vladimir Putin, there were signs that the drive to end decades – indeed, centuries – of relative economic isolation was hitting potholes. The Russian parliament, or Duma, refused to back several of the bilateral investment treaties, including one with the US, and did not ratify the ECT.
Since Mr Putin’s succession, Moscow’s enthusiasm for international trade and investment rules has diminished sharply. Investment treaties tailed off abruptly, while Russia adopted a new model for its treaties that gave foreign investors much less protection than the Yeltsin-era version. The Kremlin also exploited ambiguities in existing treaties to argue that Russia itself has the power to determine whether or not its government’s actions constitute “expropriation” of foreign investors’ interests.
Some irate investors are trying to hold Moscow to account. After the Russian government in 2004 in effect seized the assets of the oil giant Yukos, Europe-based shareholders launched the largest investment arbitration claim in history. Their lawyers argue that according to the rules of the ECT, the treaty applies even though it was not ratified. (US shareholders have no such recourse, since the US is not itself an ECT signatory.
But experience suggests that collecting on any award might prove difficult. After Franz Sedelmayer, a German businessman, had property seized in St Petersburg, an arbitration panel ruled he was owed compensation in 1998. Russia refused to pay and it took nearly a decade of legal wrangling before he got a court to seize Russian government assets abroad. Emmanuel Gaillard, head of international arbitration at the law firm Shearman and Sterling in Paris, represents European shareholders of Yukos. He says: “Russia has a terrible record in compliance . . . They want to get the benefit of treaties without the obligations.”
Russia’s application to join the WTO was encountering problems even before the Georgian crisis. Each of the organisation’s 153 existing members has the right to block new entrants. Trade diplomats say that Tbilisi in particular has been making things difficult, retaliating for blocks that Moscow imposed on Georgian exports two years ago by preventing meetings of the official working party on Russia’s accession.
Mr Putin says that Russia will not join the WTO if the price is too high and has threatened to suspend import quotas of poultry and other produce agreed as part of its accession negotiations.
Moscow has further signalled it might revoke bilateral trade privileges for Ukraine, arguing that since its neighbour recently joined the WTO, all members of the group can use Ukraine’s privileged access to the Russian market as an export platform. There is little that Kiev can do about this. Despite various attempts to bind the former Soviet states into a unified free trade area, Russia and its immediate neighbours are still covered by an ad hoc patchwork of weak trade arrangements. Mr Aslund says that with the exception of Russia’s economic union with Belarus, these deals are “essentially meaningless”. Unlike most bilateral and regional trade pacts, they have little binding force or recourse to dispute settlement through arbitration.
All of this has left international investors and governments singularly short of statutory instruments to stop Russia throwing its weight around in the trade arena. When the EU suggested that it might stop negotiations over renewing a “partnership agreement” with Moscow – an arrangement Mr Aslund dismisses as of mainly symbolic value in any case – Vladimir Chizhov, Russia’s permanent representative to the EU, was blunt. “We don’t need these talks or this new agreement any more than the EU does,” he told reporters. “It is more a self-punishment for the EU.”
High world energy and food prices have put Russia, a big net exporter of both, in a powerful negotiating position. One of the EU’s key demands during Russia’s WTO entry talks is for Moscow to promise not to limit or tax its commodity exports – hardly a sign of strength from Brussels.
Masha Lipman of the Carnegie Moscow Center says: “If we envision Russia’s trading partners saying we are no longer importing from you, and no longer exporting to you, of course Russia would suffer, but this is totally inconceivable.”
Christopher Roberts, senior trade analyst at the law firm Covington and Burling, says: “The Russians have always been a great deal better than the Europeans at interfering in trade. If the Europeans try it, their traders are up in arms.”
Mr Medvedev said this week that Russia had no wish to be an outcast. “We don’t need any confrontation or isolation,” he said. “We had enough of it for decades.” But unless Moscow’s hand is forced by turbulence in its banking system or by a collapse in the demand for oil, the price of acquiring all the badges of international propriety may be more than it wants to pay.
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A Run on Russia

The main stock index is down 55% in four months, banks are starved for capital and teetering on the brink, the currency is at a one-year low and the government is throwing money at the problem. We're not talking about Wall Street.
The current carnage on Russian markets comes amid global market turmoil. But the dive in Moscow began before the wider world cared about AIG's balance sheet, and its chief causes are home-grown. To wit, the bill for eight years of Putinism is coming due. And a Kremlin leadership that only weeks ago brimmed with menacing self-confidence is struggling to slow this financial free fall.
AP
The first sign of trouble came in late July when Prime Minister Vladimir Putin lashed out at a Russian coal and steel company, Mechel, for alleged price gouging and appeared to threaten personally its chief executive. Mechel shares fell by a third, and the incident sent a chill through the market as a whole. Investors woke up to the systemic risk to property rights and the lack of any rule of law in Russia. They did so belatedly, we'd add, considering the attempted or successful expropriation of Yukos, BP and Shell assets and the blatant use of state resources to menace private business.
Another trigger was last month's war in the Caucasus. The Russians routed the Georgian army in four days and annexed -- in all but name -- its provinces of South Ossetia and Abkhazia. Then Russia got routed by the global economy. Since the war started, investors have pulled more than $35 billion from Russian markets. Russian businesses are having trouble getting access to international financial markets, as foreign lenders wonder if they can get paid back. Some $45 billion in foreign debt held by Russian corporates must be refinanced by the end of the year, and the cost of doing so is rising.
Other emerging markets have been hit hard in recent weeks, particularly the natural resource-driven economies. But Russia's is the worst performing market in the world this year. The decline from the all-time high in May wiped out $680 billion in value; Russia's entire GDP was just $1,286 billion as of last year. On Tuesday, the main ruble-denominated index was off 11.2%, the steepest fall since the 1998 ruble crisis. It plummeted yesterday as well, before regulators stopped trading for good at midday.
Each of the past three days, the Russian central bank injected over $10 billion into the money market, and also moved to prop up the ruble. The Kremlin yesterday lent the country's three largest banks $44.9 billion. Thanks to the oil and gas windfall of the past few years, Russia has built up a $573 billion reserve war chest that can tide the financial system over for a while and avoid a rerun of the 1998 crisis.
Not forever, especially if oil prices continue their fall. Russia's economy is hugely dependent on natural resources. In good times, the Kremlin pocketed the billions and didn't worry about pushing economic reforms. The outside investment needed to diversify was discouraged by the Kremlin's backsliding on the rule of law. Now the drop in crude prices is squeezing the country's blue chips and the Kremlin's coffers, even though on the current budget the Russian state will break even with oil at $70 a barrel or above.
Long reluctant to criticize the thin-skinned Putin regime, businesses have started to voice their unhappiness. On Monday Putin sidekick and President Dmitry Medvedev hosted 50 leading businessman at the Kremlin, and acknowledged that the Georgia war contributed to the country's economic troubles. He said Russia didn't want to be isolated, but added, "If they" -- meaning the West -- "try to stop us accessing certain markets there will be no catastrophe for the state or for those sitting here."
As it has turned out, much faster than anyone realized or hoped during the Georgian war in August, Western governments haven't had to do anything to have Russia pay a price for its aggressive behavior. Which is fortunate, considering the weak stomachs in Europe and at the State Department for any serious response to the war. Investors did it for them.
The war has also exposed the fiction that Russia is the next China -- an authoritarian political regime that's stable, predictable and on a path toward becoming a free-market economy. It's authoritarian all right, but it lags China on other counts. After this war, Russia is unlikely to join China in the World Trade Organization. Georgia and Ukraine, another potential target for Russian aggression, are in that club and in a position to block entry. But the bigger hurdle ought to be the WTO's standard that candidates be "market-based" economies ready to respect the commitments and rules of this international organization. By this standard, Russia doesn't belong there, or in the OECD or G-8.
Perhaps the Russian people, who give their leaders high marks in opinion polls, will begin to see the economic toll from Putinism and question whether their country is well-served by this leadership.
http://online.wsj.com/article/SB122169481775149987.html#printMode
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Georgia Says Cellphone Records Are Evidence Russia Started War


By Tara BahrampourWashington Post Foreign Service Wednesday, September 17, 2008; Page A14
TBILISI, Georgia, Sept. 16 -- Georgian authorities on Tuesday released recordings of cellphone calls they say are evidence that significant numbers of Russian troops began moving into the breakaway region of South Ossetia on Aug. 6, a day before war with Russia started.
Earlier, Georgian authorities had said Russian forces came through a tunnel from Russia late on Aug. 7, which the Georgians describe as the act of aggression that triggered their decision to order their own forces into South Ossetia. Russia says its troops came through the tunnel on the evening of Aug. 7, but only after Georgia launched an attack on Tskhinvali, the South Ossetian capital.
Who started the war, and when, has become the subject of heated debate here and in Moscow. Both Russia and Georgia have struggled to portray themselves as acting in self-defense or, in Russia's case, in defense of its smaller neighbor.
The timing of the Russians' entry into the tunnel is significant because it could clarify whether the troop movement was an act of aggression or a reaction.
Georgian officials said that one intercepted call on Aug. 6, released to The Washington Post on Tuesday, was a conversation between Ossetian militia members discussing an Ossetian soldier who had been accidentally wounded by a Russian who came in with a column of Russian troops. "From these Russians, from the Russian army, someone unintentionally fired, and this boy was wounded," an Ossetian is heard saying on the call, which was played on a Georgian commercial network.
In an Aug. 7 call, a man the Georgians identify as a guard at the tunnel says that it is "full" of Russian military vehicles and that the Russians have asked local authorities to come and check it. The New York Times disclosed that call and others from Aug. 7 and 8 on Tuesday.
Georgian President Mikheil Saakashvili told reporters Tuesday that the transcripts of the calls provided "incontrovertible evidence" that Russian forces had entered South Ossetia well before Georgian forces went in.
Russian Foreign Ministry spokesman Andrei Nesterenko called the Georgian claim "not serious," according to the Associated Press, adding that major troop movements would have been tracked by satellites of NATO alliance members.
Georgia's interior minister, Vano Merabishvili, said that after hearing intelligence reports of Russian troop movement on Aug. 6, Georgian authorities spent a day confirming them before responding by moving their own forces toward South Ossetia.
Asked why Georgia did not publicize the Aug. 6 date earlier, Interior Ministry spokesman Shota Utiashvili said the cellphone call recordings were temporarily lost in the chaos of war that followed.
http://www.washingtonpost.com/wp-dyn/content/article/2008/09/16/AR2008091603322.html
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US Senate congratulates Latvia on 90th anniversary, urges Russia to acknowledge occupation
18:38, 17. september 2008RIGA, Sep 17, BNS - The US Senate on Tuesday passed a resolution congratulating Latvia on the 90th anniversary of its independence and urging Russia to acknowledge the Soviet occupation of the Baltic states.
The resolution notes that already in 2005 the US Senate officially called on the Kremlin to issue a clear and unambiguous statement of admission and condemnation of the illegal occupation and annexation by the Soviet Union from 1940 to 1991 of the Baltic countries of Estonia, Latvia and Lithuania.
The Congress "calls on the President and the Secretary of State to urge the Government of the Russian Federation to acknowledge that the Soviet occupation of Latvia, Estonia, and Lithuania under the Molotov-Ribbentrop Pact and for the succeeding 51 years was illegal" the resolution says.
The document underlines that the US never recognized the Baltics as "Soviet republics" and maintained continuous diplomatic relations with these countries throughout the Soviet occupation.
The resolution also notes that the US "recognizes the common goals and shared values of the people of Estonia, Latvia, and Lithuania, the close and friendly relations and ties of the three Baltic countries with one other, and their tragic history in the last century under the Nazi and Soviet occupations."
FOR THE TEXT OF THE RESOLUTION: http://www.opencongress.org/bill/110-sc87/text

Baltic News Service
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10:00 17 September 2008
Yushchenko: Russia wants to destabilize Ukraine
President Viktor Yushchenko accused Russia on Tuesday of trying to destabilize Ukraine by encouraging separatists in the Crimea, as fears grow about Russia's willingness to throw its weight around the former Soviet Union.
In an interview with The Associated Press, Yushchenko sought to tamp down criticism of his leadership in Ukraine after the collapse of his pro-Western coalition raised the possibility of a third parliamentary election in as many years.
Russia's war with Georgia last month rattled Yushchenko's pro-Western government, which like Georgia has pushed for membership in NATO and the European Union. Many Ukrainians wonder whether Ukraine will be the next victim of Russia's drive to stop NATO's expansion to its borders.
Many fear Moscow could lay claim to Crimea, the Black Sea peninsula that once belonged to Russia and is now home to Russia's Black Sea fleet. More than half its residents are ethnic Russians.
Yushchenko said Russia was interested in causing "internal instability" in parts of Ukraine.
"Without a doubt, such scenarios exist," he said.
"For some of our partners, instability in Ukraine is like bread with butter," he said.
Yushchenko said Ukraine was too big and strong to give in to threats from Russia or a repeat of the war in Georgia, which resulted in Russia invading the country, routing its military and occupying large swaths of its territory. Moscow has recognized two breakaway Georgian regions as independent nations.
"Will they repeat the Georgian scenario?" Yushchenko asked. "For sure, no."
"Ukraine is not Georgia," he said. "I think that today to deal with a country like Ukraine in such an inconsiderate manner ... is not a good idea for anyone."
Russia wants to continue leasing the Sevastopol naval base in the Crimea from Ukraine after the current agreement expires in 2017. Yushchenko said the war with Georgia, with Russian warships based at Sevastopol participating, showed again that the Russian navy must leave Crimea.
Ukrainian officials also have accused Moscow of stirring trouble with claims that the Crimea belongs to Russia and by allegedly giving Russian passports to thousands of Crimeans to stoke separatist sentiments.
Yushchenko, who has made NATO membership the central theme of his four-year presidency, promised that Ukraine would eventually join the Western alliance, and he vowed to overcome domestic resistance to NATO. Opinion polls show more than half of Ukrainians oppose membership, with opposition strongest in the Russian-speaking regions in the east and south, including Crimea.
Yushchenko, wearing a striped black suit and red tie, spoke and gestured confidently during the 30-minute interview. His face looked nearly healed of the pock-like scars caused by the dioxin poisoning that briefly knocked him out of the 2004 presidential election race. He has suggested the near-fatal poisoning was masterminded in Russia.
Yushchenko spoke hours after his coalition was declared dead, starting a 30-day countdown for lawmakers to either form a new alliance or call elections.
Yushchenko said the collapse did not threaten the country's tumultuous democracy. He accused his coalition partner Yulia Tymoshenko — the prime minister who was his ally in the 2004 Orange Revolution — of betraying national interests and acting selfishly.
The alliance between the two leaders' parties disintegrated amid infighting ahead of the 2010 presidential election, in which both expect to compete.
Yushchenko's allies pulled out of the coalition after Tymoshenko sided with opposition lawmakers to curtail presidential powers. Yushchenko again accused Tymoshenko of acting on the Kremlin's behalf by failing to condemn the war in Georgia and of seeking to retain power at all costs ahead of the vote.
Tymoshenko said in a statement before the interview that she hoped Parliament would find a way out of the crisis.
Analysts believe that the next coalition may include the Russia-friendly Party of Regions and be more responsive to Moscow's demands.
http://eng.for-ua.com/news/2008/09/17/100015.html
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Baltic States: change in air as reliance on exports grows
Robert Anderson
Sept. 12, 2008
Lithuania, Latvia and Estonia are represented only by 14 companies in the CEE500 - and by just two in the top 100 - but that hardly does justice to their achievement in overcoming tiny home markets to become important niche exporters.
Baltic exporters turned westwards after regaining their independence from the Soviet Union in 1991, but are now increasingly looking east as Russia's economy booms and the eurozone slows down.
Diplomatic spats with Moscow have not stopped Baltic companies such as Parex Bank, Arco Vara real estate, Olympic Entertainment casinos and the IT wholesaler Elko from successfully entering the former Soviet Union, and the current international tension over Georgia so far looks unlikely to change this.
In fact, Baltic companies will have to rely even more on exports over the next few years as their domestic economies enter recession.
Estonia is in technical recession and Latvia is likely to follow before the end of the year, as rising inflation and the collapse of a housing boom depress consumer sentiment and investment.
Companies also face the challenge of improving productivity and keeping wage increases down. Fast wage inflation over the past few years - peaking at close to 30 per cent in Latvia in 2007 - will force many companies that used to rely on their cost advantage to move up to higher value-added production or close.
"A sizeable part of production has been based on low labour costs," says Erkki Raasuke, chief executive of Hansabank, the biggest Baltic bank. "This advantage is now gone."
Baltic companies should be well placed to make these changes as they are small and nimble, accustomed to downturns and rapid changes, and few remain state-owned outside the energy and transport sectors.
Foreign investors - particularly from Sweden - dominate banking and telecommunications, but private local groups have carved out strong positions in many sectors, particularly retail.
"Being small and flexible they will be able to handle this crisis," says Peter Elam Håkansson, chairman of East Capital, a Swedish fund manager that has invested widely in the Baltic states.
Seven of the top CEE500 companies come from Lithuania, the largest of the Baltic states with a population of 3.7m. Lithuania has the biggest domestic market and inherited the strongest manufacturing base from the Soviet period.
Unlike its neighbours it is also expected to avoid recession, though growth slowed sharply to 5.3 per cent in the second quarter.
Mazeikiu Nafta is the largest Baltic company by revenue at number 36, but this is a steep fall from its last ranking of 15, the result of a serious fire at the refinery at the end of 2006. This year Mazeikiu - which was privatised in 2006 to PKN Orlen of Poland, the largest CEE500 company - should climb back up the rankings, boosted by high oil prices.
Maxima is the second largest Baltic company at number 62, demonstrating Lithuania's strength in retailing, derived from its early consolidation of the domestic sector. Maxima, which is part of the locally-owned Vilniaus Prekyba conglomerate, has expanded throughout the Baltics and also into Bulgaria. Along with other Baltic retailers it has benefited from soaring retail sales over the past few years, fuelled by rising wages and easy credit, but it will now have to endure tougher times.
Latvia contributes five companies to the CEE500 and Estonia only two, and these are largely state-owned utilities or foreign-owned retailers and oil companies. Nevertheless, both countries have several interesting smaller companies that are expanding outside their tiny home markets.
Estonia has produced many more of these kinds of companies than its population of just 1.5m would suggest. Its government was the quickest to build a free market economy and it has continued to lead from the front, with liberal economic policies, including low taxes.
Tallink, number 228 in the CEE500, is the third largest Baltic company and the biggest that is listed on one of the area's three tiny stock exchanges. The ferry company has soared up the rankings since acquiring Finland's Silja Line in 2006, a rare example of a Baltic company taking over a western European rival.
Estonia has also produced Hansabank, which is now part of Swedbank of Sweden, as well as the listed companies Olympic Entertainment casinos and Arco Vara, a real estate and construction group.
Latvia can also boast several successful start-ups. Privately-owned Parex Bank, Latvia's second biggest and 46th in the CEE Top 50 Banks ranking, has expanded to become by far the largest independent bank left in the Baltic states. It has also built a profitable asset management and car leasing business in the former Soviet Union. However, it faces not just a depressed domestic market but higher funding costs ,which will constrain its growth.
Elko, an IT equipment wholesaler, is also looking east, increasing sales in Russia by 61 per cent in the first half of this year. Its owners are looking for more private equity investment or a listing to finance its continued expansion into central and eastern Europe.
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Lithuanian government allocated seven times less money than expected for referendum on Ignalina

Petras Vaida, BC, Vilnius, 17.09.2008.
The Government of Lithuania allocated for a referendum regarding prolonging operation of the Ignalina Nuclear Power Plant seven times less funds than the Central Electoral Committee had asked, Radio Vilnius informed.
Ignalina.
The referendum is to be held in October alongside parliamentary election, informs ELTA.
The lion's share of the referendum's budget had to be assigned for salaries to members of the Electoral Committee.
Though five millions euro received will be sufficient for printing out bulletins only; therefore the Central Electoral Committee intends to cover remuneration expenses from the money for organizing the election.
Parliamentary election and consultative referendum regarding the power plant will be held on October 12, 2008.
http://www.baltic-course.com/eng/energy/?doc=5249
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Tens of thousands of pilgrims from Lithuania and beyond descended on Siluva
BC, Siluva/Vilnius, 17.09.2008.
Tens of thousands of pilgrims from Lithuania and beyond have descended on this tiny town to celebrate the "apparition" of the Virgin Mary 400 years ago, predating even the better-known miracles at Lourdes and Fatima.
Historically, Siluva in central Lithuania has been a focal point not only for Roman Catholics but also for Lithuanian national and cultural identity during decades of brutal Russian and Soviet domination, writes ELTA.
The church maintains that in 1608 the Virgin Mary, holding an infant Christ, appeared above a rock to shepherds in a field near the town.
"There was a time when my beloved Son was adored by my people, but today people plow and sow," church teaching says Mary told the shepherds.
Many Lithuanian pilgrims pay homage by coming on foot. Locals say pilgrims have also traveled from neighbouring Poland and as far as the United States for the week-long celebration.
"We see traffic jams on our street, but they are full of people on foot not in cars!" local priest Father Erastas Murauskas told AFP/ELTA. He expects the largest wave of faithful on Sunday for the anniversary's main ceremonies.
The Virgin's legendary apparition predates others revered in Catholicism, notably to a peasant girl in the French town of Lourdes in 1858 – where Pope Benedict XVI will visit Sunday – and to three shepherd children at Fatima, in Portugal, in 1917. The Church holds the Virgin also appeared at Banneux, Belgium in 1933 and in Medugorje, Croatia in 1981.
Deeply devoted to Mary, the late Polish-born pontiff John Paul II visited Siluva 15 years ago on September 7, 1993.
Christianity first came to Lithuania in 1386 when the marriage of Lithuanian Grand Duke Vytautas and Queen of Poland Jadwiga forged an alliance between the two countries. It was the last European country to adopt the Christian faith, nearly four centuries after its neighbours.
Previously, the Teutonic knights, a German Roman Catholic order, had tried but failed to convert Lithuanians by force.
Catholicism became an integral element in the construction of the Lithuanian state and in shaping national identity.
"The defence of faith was regarded as integral to defending Lithuanian identity, culture and and the nation," said Luidas Jovaisa, a Lithuanian academic specialising in the history of religion.
As a province of Tsarist Russia during the 19th century, Lithuania faced a policy of Russification. The Latin alphabet was banned and Roman Catholic churches were either closed or turned into Russian Orthodox churches.
"At this time, the bishop of Samogitia Monsignor Valancius was the first to organise the distribution of clandestine periodicals in Lithuanian, printed in the Latin alphabet in neighbouring Germany," said Jovaisa.
"Later the nationalists used the network to distribute the first Lithuanian newspapers," he said.
It was the same scenario after Lithuania was annexed by the Soviet Union in 1940 until it regained independence in 1990-91.
Under the Soviets, churches were transformed into warehouses or museums of atheism while practising Catholics had to hide their faith.
Lithuanians have not forgotten their struggles for freedom. Some pilgrims here carry Belarus flags to show their support for the opposition in Belarus, disputing the rule of authoritarian President Alexander Lukashenko. Others carry banners with messages of support for Georgia.
"We supported the Georgians in their fight for liberty because we took the same road to freedom. For us, religion was a way to feel free," said another pilgrim Robertas, who declined to give his last name.
http://www.baltic-course.com/eng/baltic_news/?doc=1605&ins_print

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Nine out of ten Lithuanians give bribes
Danuta Pavilenene, BC, Vilnius, 17.09.2008.
Nine of ten Lithuanians deliberately give bribes, and only tiny part of residents become victims of corruption because of not being aware that their behavior is considered to be corruption.
This was study carried out by the Special Investigation Service, informs Lithuanian Radio.
Meanwhile, officials claim that residents are well aware of the fact that giving a bribe is a crime and that they become victims of corruption due to ignorance in very rare cases.
http://www.baltic-course.com/eng/analytics/?doc=5229&ins_print
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Finhill: decrease of oil price will reduce inflation in Lithuania
Danuta Pavilenene, BC, Vilnius, 17.09.2008.
It is likely that the sinking of the oil prices on the world markets will be long-term and will simplify the recovery of national economies as well as reduce inflation, claims Marius Buivydas, head of the analysis and evaluation department of the financial brokering company Finhill. This tendency will favorably influence the Lithuanian economy.
According to the analyst, the oil prices bubble is fading and this is thought to be related to scouted oil resources, decreasing liquidity and thinning belief that China and its neighbors may support economy growth.
"The decrease of oil price will favorably influence the oil consuming countries and affect the oil extracting countries in a negative way. The oil price slump in turn is expected to permit reducing energy costs and reactivate "cooling" economy. The slumping oil price is also to reduce inflation – both via the oil price component and by influencing food prices," the analyst explains. According to him, the analysis shows that the oil prices bubble was growing on speculations.
The analyst"s claims are confirmed by Lithuania"s inflation forecasts. According to the forecasts of the Lithuanian Department of Statistics, the monthly inflation calculated according to the harmonized index of consumer prices (HICP) will reach 0.4% in September this year and the annual inflation will stand at 11.11% compared to August. The average annual inflation should reach 10.74% in September.
According to Jurga Ruksenaite, chief specialist of the methodology and quality department of the Statistics Department, stabilization is forecasted for the petrol market, therefore this group of goods will not affect inflation in September.
http://www.baltic-course.com/eng/analytics/?doc=5226

Thursday, September 11, 2008

Baltic Blog......Security & Intelligence Briefs, International, Baltic & Russia News September 11, 2008




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Let Us Never Forget
Dear Friends,

It seems hard to believe that it’s been seven years since the horrendous attack on America by Islamic terrorists. On the one hand, it seems like ages ago. On the other, I remember exactly where I was and what I was doing, and it seems like only yesterday. As I reflect on that day seven years ago, tears well up in my eyes. Let us never forget the lives and families that were shattered. Let us never forget the courage and the tenacity of the first responders, many of whom were killed or injured. Let us never forget the cost our country endured. Let us never forget how we as a nation pulled together and overcame this tragedy. Let us never forget that we have a sworn enemy who wants us either dead or subjugated. And let us never forget that the price of liberty is eternal vigilance. Always devoted, Brigitte

ACT for America P.O. Box 6884 Virginia Beach, VA 23456
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Plunging Russian Shares Start to Concern Kremlin
Medvedev Forecast Of Rebound Fizzles; Foreign Funds Flee
By GREGORY L. WHITESeptember 11, 2008; Page C2
MOSCOW -- With stock prices plunging to two-year lows, Russian President Dmitry Medvedev sought to boost investor confidence, predicting an impending rebound. But his assurances had little impact amid concerns about the outlook for Russia's economy.
Over the past few weeks, Russian share prices have fallen more than 40% from their May highs, battered by fears about Kremlin pressure on companies as well as the surge in tensions between Moscow and the West after the war in Georgia.
Russia's dollar-denominated RTS index fell 4.4% Wednesday to 1334.33 as foreign funds continued to unload Russian shares in what Ron Smith, a strategist at Alfa Bank in Moscow, described as "capitulation on the country."
Russian officials, including Mr. Medvedev, initially brushed off the past weeks' declines as transitory, driven mainly by weak global markets. But as stock prices and the ruble's exchange rate against the dollar have continued to slide, official concern appears to be growing.
In a meeting with the country's top securities regulator, shown on state TV, Mr. Medvedev called Russian stocks "undervalued" and predicted "the situation will straighten itself out and return to the levels seen at the beginning of the year." Mr. Medvedev endorsed a series of steps proposed by the regulator to shore up the market over the medium term by attracting new domestic investors and issuers.
Though relatively few Russians own stocks or investment funds, market performance is a sensitive political issue beyond the business elite. For years, Mr. Medvedev and other top officials touted the surging market capitalizations of big state-controlled companies such as OAO Gazprom as evidence of Russia's growing might.
The government also pitched shares in state companies such as bank OAO VTB to ordinary Russians in "people's IPOs."
Now, those companies' shares have dropped sharply. Gazprom, whose executives this past spring predicted a $1 trillion market capitalization, is valued at less than $200 billion.
Many investors and analysts share Mr. Medvedev's view that Russian shares are cheap, but they are more cautious about a rebound. "It's probably true, but it might not be until 2011," Alfa Bank's Mr. Smith said. Mr. Medvedev blamed Russia's troubles on the U.S. "Let the Americans solve the problems with their mortgage system," he said. "To put it simply, they let almost everyone else down."
But investors and analysts say that while the Russian market's swoon has occurred in part because of the global credit crunch and weak foreign markets, Moscow's behavior has been a big contributor.
Even before the Georgia crisis, a public attack by Prime Minister Vladimir Putin against a major steelmaker spooked investors, as did a conflict involving BP PLC and its Russian partners in their TNK-BP Ltd. joint venture.
With prices falling for oil, metals and other commodities that are vital Russian exports, analysts question the outlook for the Russian economy. Growth began to slow in the second quarter, according to government data released Wednesday that showed gross domestic product increased at an annual rate of 7.5% over the period.
That was down from 8.5% in the first quarter, a level that had prompted fears the economy was overheating. Data on industrial output from June and July have shown an even deeper slowdown, especially in the red-hot construction sector.
Asia, Europe Pull Back;
Jarkata Slides 3.8%
Falling commodity prices helped drag down Asian stock markets, and Hong Kong's Hang Seng index once again dropped below 20000. Banking stocks were generally weaker as talks between Korea Development Bank, which isn't traded, and Lehman Brothers Holdings were called off, reawakening concerns about the damage the credit crunch has done to balance sheets.
In JAKARTA, the selloff in commodity prices hit stocks particularly hard. The main index fell 3.8% to 1885.04, its lowest close since April 2007. Big decliners included coal miner Bumi Resources, which tumbled 12% and palm-oil company Astra Agro Lestari, down 9.5%.
In SYDNEY, Australia's resource-laden S&P/ASX 200 index shrank 1.5% to 4905.50.
In HONG KONG, the Hang Seng Index fell 2.4% to 19999.78, hurt by Tuesday's big decline on Wall Street. Leading the day's blue-chip declines was property developer China Overseas Land, which skidded 11% to its lowest close since May 2007 after it reported that August property sales had dropped 28% from a year earlier.
In TOKYO, the Nikkei Stock Average shed 0.4% to 12346.63. Inpex Holdings and commodity trader Mitsubishi each fell 2.7% on Tuesday's drop in the price of oil in New York.
In MUMBAI, India's 30-stock Sensitive Index fell 1.6% to 14662.61. Metals, led by steel shares, fell on worries that prices might fall amid a slowdown in global economic growth. A strengthening U.S. dollar also weighed on the sector. Tata Steel fell 5.2%.
In Europe, banking stocks pushed down markets after Lehman Brothers' hefty third-quarter loss reignited worries about the health of the sector. The pan-European Dow Jones Stoxx 600 index fell 0.8% to 277.35. Among the big decliners were Barclays, down 5.3% in London, and Natixis, down 6% in Paris.
In LONDON, shares of Old Mutual fell 3.5% after the insurer said earnings will be hit by a write-down in the value of preferred shares of Fannie Mae and Freddie Mac and by the need to strengthen reserves at its U.S. arm. Miners fell as gold prices tumbled. Kazakhmys dropped 8.8% and Rio Tinto shed 2.7%. The U.K. FTSE 100 index fell 0.9% to 5366.20.
In PARIS, shares of Sanofi-Aventis jumped 7.2% in Paris after the drug maker said Chris Viehbacher, a former GlaxoSmithKline executive, will become its chief executive. The CAC-40 index shed 0.2% to 4283.66.
Write to Gregory L. White at greg.white@wsj.com
'
http://online.wsj.com/article/SB122107452709820381.html?mod=googlenews_wsj



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Brussels vs. Moscow
By ANDRZEJ OLECHOWSKI and PAWEL SWIEBODA FROM TODAY'S WALL STREET JOURNAL EUROPESeptember 9, 2008
The European Union is finally getting a decent grip on its foreign policy, courtesy of Russia's engagement in Georgia. Some commentators said last week's EU summit failed to show enough resolve in the face of Russian aggression. But these critics are missing the point. The meeting in Brussels showed that EU leaders have finally begun to think in strategic terms, recognizing that we face a new problem in Europe: a resurgent nuclear power prepared to use military force in pursuit of its interests.
Much still needs to be done to consolidate European foreign policy given the different traditions, historical experiences, interests and perceptions of EU member states. But last week's summit resulted in the promising beginnings of a common view. For years, Russia was the issue on which EU leaders differed the most. Now they all subscribe to a loud and clear message that calls on Moscow to come to its senses.
The main point is not to prevent Russia from recovering its position as a global power, a position it certainly deserves. The challenge is to convince Moscow that instead of using the barrel of the gun to achieve its goal, it should use the irresistible power of attraction.
Given its vast reserves of natural resources, Russia will of course play a major role in the world. But it has chosen the wrong model, repeating the bankrupt patterns from past centuries: tightly controlling its neighborhood; building spheres of influence; taking unilateral action; and aggressively pursuing national interests, including with the use of force. Russia's anachronistic principles and objectives pose a threat for Europe and the international order.
If Russia succeeds in re-establishing its dominance over much of the former Soviet empire, we will have two competing blocs on the continent. The Russia of Vladimir Putin and Dmitry Medvedev is about a return to the confrontation of the past. To meet this challenge, the EU would be increasingly pressed to contradict itself. It would have to depart from the very policies and principles that are at its core. Instead of seeking cooperation with its neighbors, if not outright enlargement, the EU would have to build new walls. We must stop this bleak outlook.
Former Georgian Foreign Minister Salome Zurabishvili is right when she says it is possible to "win over Russia with the help of intelligence and political experience but not with a demonstration of strength."
What needs to happen is threefold: First, while Europe must continue to talk with Russia, the dialogue cannot be as open and romantic as in the past. We need strategic discipline, distance and caution. The EU should monitor the behavior of Russian enterprises on its markets to ensure they are not pursuing any hidden agendas on behalf of the Kremlin. Brussels must also warn European investors against excessive engagement in Russia and do its homework on energy policy.
Energy security has to be factored into the equation when the EU considers its climate change package, the flagship project of the current European Commission. To achieve Brussels' emissions targets, Europe would have to switch around 430 terawatt-hours, 13% of its energy production, from coal-fired to gas-powered plants, according to Swiss bank UBS. This would enormously increase our dependency on Russian gas.
If the European Union is serious about dealing with Moscow with self-confidence, it needs to introduce safety mechanisms, such as price ceilings and floors, into the emissions trading system. This would prevent an excessive rise of the price of carbon, which would only further fuel the demand for Russian gas.
Second, EU accession must become a credible perspective for our eastern neighbors, especially Ukraine. Only a tangible "Western option" can convince public opinion in the region that their fate is not irrevocably linked to Russia. Such a European perspective does not mean immediate membership but a binding promise of membership once these countries meet all the criteria. Europe's leaders need to make the region a strategic priority and reject the logic of division.
Third, we should edge toward defining a place for Russia in the European architecture. Today we are incapable of conceptualizing a role for Moscow that would be both satisfactory for Russia and useful for Europe. That lack of a concept is one of the reasons for our policy failure.
Without such a concept, Europe has little to offer to Russia, which in turn will find it hard to think of a different role for itself than that of a separate power without any allies. As opposition politician and Putin critic Boris Nemtsov has put it, unless Russia can be embedded in some sort of Western security concept, Moscow will "venture around threatening everybody in search for an enemy."
Much of Russia's resurgent self-confidence is built on a weak foundation. Russia's economic growth is largely based on raw materials. Its infrastructure and industry is in desperate need of modernization. Russia's population is aging rapidly. To solve its problems, Moscow needs cooperation with the West. It can't afford to be isolated and lose its standing in global political and economic institutions and among investors -- as the withdrawal of foreign funds and the fall of Russia's stock market since the invasion of Georgia illustrates.
Russia's self-perception as a country without friends and allies has become a self-fulfilling prophecy. The war in Georgia has led to Moscow's total isolation. No one supported its blitzkrieg.
There is much for Russians and their leaders to reflect upon. A united and principled European Union with a strategy for the whole continent would be able to help Russia choose cooperation over confrontation.
Mr. Olechowski is a former foreign and finance minister of Poland. Mr. Swieboda is president of demosEuropa -- Center for European Strategy.
See all of today's editorials and op-eds, plus video commentary, on Opinion Journal1.

URL for this article:http://online.wsj.com/article/SB122090684786811593.html
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CAIR Attempts to Sabotage Law Enforcement Terrorism Training


September 09, 2008 10:40 AM EST
by Jim Kouri, CPP - (The following is based on material obtained by the National Association of Chiefs of Police.)The Council for American Islamic Relations has been trying in vain to stop a counter- terrorism program in Sarasota Florida, aimed at providing first responders with information on subjects such as building safety, suicide terrorism, technologies against terrorism and more.
This is part of CAIR's program to stop Security Solutions International (SSI) -- an organization that has trained more than 500 Federal, State and Local agencies since 2004. SSI officials, CAIR attempted to stop a training program for cops and security personnel in Seattle last Memorial Day. Fortunately, they failed."As Americans, we can not allow the civil liberties of our great country to be exploited by groups that are intent on creating a fundamentalist Islamic regime here in the USA", says Sol Bradman, CEO of Security Solutions International, the organizers of the Sarasota Sheriffs 3rd Annual Gulf Coast Terrorism conference being held in Sarasota from the 15th to the 19th of September for the benefit of Homeland Security professionals -- coming from as far as Australia to attend what is being called the most innovative terrorism prevention conference in the USA."This is not about incitement against Muslims, as CAIR wants us to believe. Our mission is to protect all Americans against terrorism but also against the abuse of our laws." This is Lawfare against US First Responders and therefore against the USA by the pseudo legal wing of the Global Jihad in America," says Bradman. "The modus operandi is simple; use the freedoms and loopholes of the most liberal nation on earth to help finance and direct the world's most violent international terrorism cells," he added.Daniel Pipes, the Harvard Professor, publisher and head of the Middle East Forum, has consistently pointed out that CAIR is riddled with extremists and has been closely linked to organizations that have been convicted or individuals convicted of terrorism. The group, that claims to represent US Muslims but is cited by many US Muslims as being a thinly veiled cover group for extremists, is losing membership. Nonetheless, they mount campaigns to get training and other valuable help to US First Responders stopped, canceled, delegitimized and several jurisdictions have folded attempts to hold counter terror training. On September 3rd, a Sarasota blog published an article claiming that sources have produced solid information that Morris Days, the Manager for Civil Rights at the CAIR MD/VA chapter, who was widely publicized by CAIR as one of its civil rights attorneys, was in fact not an attorney, and failed to provide services for Muslim American clients who came to CAIR for assistance and who paid for Days' services. Not only has CAIR not revealed the facts about Days and his fraudulent, criminal behavior, but as of yesterday, September 2, 2008, the CAIR National office in Washington, D.C. continued to post articles at its website naming Days as an attorney.The Florida representative of CAIR has been sending everyone in Sarasota pleas to stop the program under the argument that it represents an attempt to stereotype all Muslims as Terrorists. SSI is well known for fair and balanced training at a highly professional level and actively discourages racial and ethnic profiling because this bad counter terrorism practice. Not only was CAIR Florida actively touting the innocence of convicted Terrorist, Sami Al-Arian but CAIR Florida also claimed that two students at South Florida University in Tampa were carrying 4th of July firecrackers in the trunk of their car but later the two admitted to carrying explosives for the purposes of committing terrorist acts. Tampa has often suffered from the effects of Radical Islam.To counter this, SSI is offering a special day: "Allah in America". Speakers such as Andrew Whitehead, the founder of Anti-Cair will attend and speak as a result of his ceaseless dedication in fighting radical extremism in the US,channeled through the Anti-CAIR organization including frequent posts based on investigative reporting that exemplify the very essence of Islamic radicalism, including repeated attempts to threaten our constitutional freedoms. SSI's program, the Threat of Radical Jihadist to the World, prepared by a Muslim counter terror law enforcement officer from California will also be presented with an emphasis on CAIR and other extremist groups that operate under the guise of civil rights. So-called anti-terrorist organizations, aligned with Islamic extremism, blatantly abuse the laws, freedoms and loopholes of the most liberal nation on earth to help finance and direct the world's most violent international terrorism cells.The "Protecting the Homeland" organization charter embodies two main objectives: ceaseless dedication in counter-acting Islamic radicals who repeatedly attempt to threaten our constitutional freedoms, and channeling funds to educate US First Responders through sponsorship of training programs in the USA and Israel.Jim Kouri, CPP is currently fifth vice-president of the National Association of Chiefs of Police and he's a staff writer for the New Media Alliance (thenma.org). In addition, he's the new editor for the House Conservatives Fund's weblog. Kouri also serves as political advisor for Emmy and Golden Globe winning actor Michael Moriarty. He's former chief at a New York City housing project in Washington Heights nicknamed "Crack City" by reporters covering the drug war in the 1980s. In addition, he served as director of public safety at a New Jersey university and director of security for several major organizations. He's also served on the National Drug Task Force and trained police and security officers throughout the country. Kouri writes for many police and security magazines including Chief of Police, Police Times, The Narc Officer and others. He's a news writer for TheConservativeVoice.Com and PHXnews.com. He's also a columnist for AmericanDaily.Com, MensNewsDaily.Com, MichNews.Com, and he's syndicated by AXcessNews.Com. He's appeared as on-air commentator for over 100 TV and radio news and talk shows including Oprah, McLaughlin Report, CNN Headline News, MTV, Fox News, etc. His book Assume The Position is available at Amazon.Com. Kouri's own website is located at http://jimkouri.us
http://www.theconservativevoice.com/article/34361.html#

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How to Manage Savagery
By BRET STEPHENSSeptember 5, 2008
"Islam has bloody borders." So wrote Samuel Huntington in "The Clash of Civilizations?," his 1993 Foreign Affairs article later expanded (minus the question mark) into a best-selling book. Huntington argued that, eclipsing past eras of national and ideological conflict, "the battle lines of the future" would be drawn along the "fault lines between civilizations." Here, according to Huntington, was where current and coming generations would define the all-important "us" versus "them."
At the time of its writing, "The Clash of Civilizations?" had, beyond the virtues of pithiness and historical sweep, something to recommend it on purely empirical grounds. It seemed especially plausible as applied to the "crescent-shaped Islamic bloc" from the Maghreb to the East Indies.
In the Balkans, for example, Orthodox Serbs were at the throats of Bosnian and later Kosovar Muslims. In Africa, Muslims were either skirmishing or at war with Christians in Nigeria, Sudan, and Ethiopia. In the Caucasus, there was all-out war between Orthodox Russia and Muslim Chechnya, all-out war between Christian Armenia and Muslim Azerbaijan, and violent skirmishes between Orthodox Ossetia and Muslim Ingushetia.
In the Middle East, some 500,000 U.S. troops had intervened to expel Iraq from Kuwait. Israel had just endured several years of the first Palestinian intifada, soon to be followed by a fraudulent peace process leading, in turn, to a second and far bloodier intifada. Further to the east, Pakistan and India were at perpetual daggers drawn over Kashmir. There were tensions—sometimes violent—between the Hindu majority and the large Muslim minority in India, just as there were between the Christian minority and the Muslim majority in Indonesia.
For Huntington, all this was of a piece with a pattern dating at least as far back as the battle of Poitiers in 732, when Charles Martel turned back the advancing Umayyads and saved Europe for Christianity. Nor was the pattern likely to end any time soon. "The centuries-old military interaction between the West and Islam is unlikely to decline," he wrote. To the contrary: "It could become more virulent."
As predictions go, Huntington's landmark thesis seemed in many ways to have been borne out by subsequent events. Long before 9/11, and long before George W. Bush came to office, anti-American hostility within the Muslim—and, particularly, the Arab—world was plainly on the rise. So was terrorist activity directed at U.S. targets. Meanwhile, the advent of satellite TV brought channels like al-Jazeera and Hizballah's al-Manar to millions of Muslim homes and public places, offering their audience a robust diet of anti-American, anti-Israel, and often anti-Semitic "news," propaganda, and Islamist indoctrination.
It should have come as no surprise, then, that Muslim reaction to the attacks of September 11, 2001 tended toward the euphoric—in striking confirmation, it would seem, of Huntington's bold thesis. And that thesis would seem to be no less firmly established today, when opinion polls show America's "favorability ratings" plummeting even in Muslim countries once relatively well-disposed toward us: in Turkey, for example, descending from 52 percent in 1999 to 12 percent in 2008, and in Indonesia from 75 percent to 37 percent in the same period (according to the Pew Global Survey). These findings are all the more depressing in light of the massive humanitarian assistance provided to Indonesia by the U.S. after the 2004 tsunami. The same might be said of Pakistan where, despite similarly critical U.S. assistance after the 2005 earthquake, already low opinions of the U.S. have sunk still further.
Read the entire essay via active link: http://online.wsj.com/article/SB122059157681303377.html?mod=opinion_journal_federation

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Russia courts old allies, steps up defiance of the West
President Dmitry Medvedev said Saturday that Russia is 'a nation to be reckoned with.'
By Fred Weir Correspondent of The Christian Science Monitor
from the September 8, 2008 edition
Moscow - Russia is groping for fresh ways to engage with the world after its lightning-fast summer war with Georgia chilled relations with the West and dismayed even some of its closest regional allies.
"We are facing the beginning of a complete review of Russian foreign policy," says Fyodor Lukyanov, editor of Russia in Global Affairs, a leading Moscow foreign-policy journal. "Things have changed and, based on what Russian leaders are saying, our long effort to integrate with Western institutions, to become part of the Western system, is over. The aim now is to be an independent power in a multipolar world in which Russia is a major player."
Analysts here are divided over whether a "new cold war" between Russia and the West is in the offing, but a growing sense of isolation is leading Moscow to circle the wagons closer to home and to revive alliances with former Soviet allies such as Syria and Cuba, and new partners such as Venezuela.
At a State Council meeting with Russian regional leaders Saturday, President Dmitry Medvedev announced that national security will have to be bolstered to counteract unnamed forces "who are trying to exert political pressure on Russia."
In a series of statements over the past week Mr. Medvedev has spelled out what amounts to a Russian version of the Monroe Doctrine, warning that Moscow will intervene to protect its citizens and business interests, particularly in the "near abroad," meaning the former Soviet Union. "The events in [Georgia's breakaway province of South Ossetia] showed that Russia will not allow anyone to infringe upon the lives and dignity of its citizens, that Russia is a state to be, from now on, reckoned with," he told the regional leaders.
The basic message to the West is "don't even think of parking here," says Natalya Narochnitskaya, former deputy chair of the State Duma's foreign relations commission and now an executive of the Moscow-based Institute for Democracy and Cooperation, which is funded by Russian business interests.
After a decade that has seen NATO – a 26-nation Western military alliance – absorb all the former USSR's allies and move to the borders of Russia itself, and the US move to install strategic antimissile weapons in Poland and the Czech Republic, Moscow has had enough. "There is a red line, where Russia cannot accept further pressure on its borders in its traditional geopolitical arena," Ms. Narochnitskaya says.
Multipolar era emerging?
Russian policy-makers say the world order has shifted from the bipolar arrangement of the four-decade-long standoff between the US and the USSR, to a brief period of American preeminence, to an emerging multi-polar era in which many powerful players will have to learn to work out their differences.
"We need new mechanisms for strategic security cooperation, because the old ones are not working," says Andrei Klimov, a member of the State Duma's international affairs committee. "There is a new reality in the world, and we need to discuss it openly."
At the center of the current storm are Georgia and Ukraine, both NATO aspirants that Vice President Dick Cheney visited last week with a message of support that is bound to further antagonize Moscow.
Ukraine, a nation deeply divided between pro-Western and Russified parts that is currently sliding into a renewed political crisis, could face intense Russian pressure if it presses on with its bid for NATO membership. "In many Western countries there are already protests against this crazy idea of getting Georgia and Ukraine into NATO," says Mr. Klimov. "It's a formula for crisis inside NATO."
Narochnitskaya, like many other Russian experts, insists that Moscow probably wouldn't attempt to break up or annex Ukraine if it declared neutrality and became a kind of buffer state between East and West, akin to Finland's unique status during the cold war. They insist that Moscow's objection is to Ukraine joining a military alliance, and not to its economic or political cooperation with the West in general. "The majority of Ukrainians identify themselves as an independent Slavic nation," Narochnitskaya says. "But they don't need to build their national identity on hostility to Russia."
Moscow has been putting out feelers to former Soviet allies, such as Syria and Cuba, as well as emerging partners like Venezuela. A Russian delegation led by Deputy Prime Minister Igor Sechin visited Havana in early July to explore rebuilding Soviet-era economic and security ties. Medvedev discussed sophisticated arms sales and the possibility of the Russian Navy using former Soviet port facilities at Tartus, on the Mediterranean, when Syrian President Bashar al-Assad visited Moscow in late August. The Russian Foreign Ministry expressed "deep satisfaction" last week when another old Soviet crony, Nicaraguan President Daniel Ortega, became the first foreign leader to extend diplomatic recognition to South Ossetia and the other breakaway Georgian territory, Abkhazia.
New contacts a warning to the US
But any talk of reviving the USSR's alliance system may be deliberate disinformation intended to remind Washington of its own regional sensitivities. "Russia doesn't have any resources [to match the US around the world], and no desire to do so anymore," says Mikhail Delyagin, director of the independent Institute of Globalization Problems in Moscow.
But even in its own backyard, Moscow is finding its tough new stance a hard sell. On Friday, at a summit of the Moscow-led, seven-member Collective Security Treaty Organization (which includes Armenia, Belarus, Kazakhstan, Kyrgyzstan, Russia, Uzbekistan, and Tajikistan), Medvedev won backing for Russia's crushing military rebuff of Georgia's attempt to retake South Ossetia, but found not one ally willing to follow Moscow's lead in establishing diplomatic ties with the tiny pro-Moscow enclave.
Experts say Medvedev has received an even cooler response from Russia's traditional Asian friends, China and India. Both nations generously supported Moscow's decade-long effort to suppress its own separatist challenge in Chechnya and backed its angry opposition to Western recognition of Kosovo's self-declared independence earlier this year. At a summit of the influential Shanghai Cooperation Organization last week, where China is a leading member and India an observer, participants would only agree to a tepid statement that expressed "support [for] Russia's active role in facilitating peace and cooperation" in the Caucasus region.
But being a neighbor of Russia has just gotten harder, say experts.
"Russia has demonstrated that it's ready to use force outside its own borders, and this means countries of the region are going to have to take note and choose whom they listen to," on big geopolitical issues, says Mr. Lukyanov.
"The space for maneuvering between East and West [for Russia's neighbors] is definitely shrinking," he says.
French President Nicolas Sarkozy travels to Moscow on Monday with European Commission President Jose Manuel Barroso and European Union foreign-policy chief Javier Solana to encourage Medvedev to comply with a month-old peace plan for Georgia. Meanwhile, Georgia seeks a ruling from The Hague over its claims of human rights abuses against ethnic Georgians in South Ossetia and Abkhazia.


Find this article at: http://www.csmonitor.com/2008/0908/p01s06-woeu.html

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Russia’s “ Russia problem”
by Linas Kojelis
August 17, 2008
In his successful bid to topple incumbent President Gerald Ford in 1976, Governor Jimmy Carter made very effective use of the “misery index.” This index is simply the sum of the unemployment and inflation rates, by which Carter compared and contrasted very simply the results of the Nixon/Ford administrations with those of their predecessors.
In 2008, as the world again recoils at the sight of Russian tanks brutally crushing the hopes and aspirations of a small neighboring country, it’s a good time to consider the concept of an “international misery index” -- the sum of devastation caused by a country to both its neighbors and own citizens. For many international observers, the single obvious champion of such an index is Russia . For the past several centuries that country has won so many gold medals consistently in both categories that its national anthem seems to be on a continuous loop as the Russian bear once again ascends the victory stand.
In considering the category of “The Most Misery Caused Internationally,” let it be said that since the dawn of civilization the world’s been a tough place. First tribes battled tribes then kingdoms battled kingdoms until the 18th and 19th centuries when the consolidation of European nation states and their empires established and defined, for better or worse, the international stage we see today. In terms of the positive and negative social and economic consequences of their rule, one could argue there wasn’t much difference between, for example, Queen Victoria ’s empire and that of her royal Russian cousins.
However, it is striking to contrast the enthusiasm with which her Highness’s former subjects, upon attaining independence, re-established both warm and official relations through the British Commonwealth against the driving desire of states arising from both the royal and communist Russian empires to quickly distance themselves culturally, economically and politically as far as possible from Moscow . Since the collapse of the USSR, every country of the former Warsaw Pact and the Baltic States have joined NATO, perceived by both Russia’s hierarchy and a majority of its citizenry as a Great Satan. In short, it is not illogical to surmise that the Russian occupation of much of Europe in the 20th century was especially brutal and worthy of many medals for “international misery.”
As regards current events in Georgia , the key point of divergence between modern European and Russian mentalities relates to the self-identification of average citizens, i.e., what does it mean to be a “proud Frenchman” or “proud German?” Before 1945, the pounding of Teutonic boots on the streets of Amsterdam and Brussels gave Germans pride. The French took pride in African and Asian colonies, and the British in an empire upon which the sun never set.
But by the 1950’s and 60’s, modern west European states came to realize that national pride comes not from foreign occupation but by building dynamic, successful and generous societies benefiting as many citizens as possible within their own national borders. One can argue that some social programs (ex. French vacation policies, German labor laws or Swedish public health) went too far, but no one can argue that the vast majorities of people in these countries aren’t content, and have no desire to invade their neighbors in the name of “national pride.”
This then is the first part of Russia ’s “ Russia problem.” In the 21st century Russian national pride continues to base itself on brutal domination of its neighbors. It can come in the form of Russians goose-stepping through Georgia . Or it can be more subtle, such as the use of energy policy against Ukraine when it flirts too openly with the West.
Perhaps, and most dangerously, it can take the form of cyber-warfare, as was Russia ’s response to Estonia ’s decision last year to respectfully move the Soviet Bronze Soldier monument from downtown Tallinn to a military cemetery. In this case it wasn’t the Russian military, but an army of Putin-jugend who turned their cyber talents against Estonian-based internet servers. Consider the spam that comes to your computer, and then multiply it by ten thousand. That was Russia ’s tactic.
This attack on the websites of the Estonian parliament, banks, ministries, newspapers and broadcasters was so devastating that NATO ( Estonia is a member) began a substantial review of its entire military doctrine. If the Russians could shut down Estonia , why couldn’t they do the same to France , Norway or even the United States ?
In contrast to the sophisticated strategies and technologies of the international part of Russia ’s misery index rating, the domestic side – the misery Russians exact on each other – is based on crudeness and indifference.
Starting at least with Ivan the Terrible in the 16th century, the Russians people consistently acquiesce to rulers with national sadomasochistic tendencies. This pattern culminated with the reign of Josef Stalin in the 20th century. Stalin orchestrated notorious purges and ethnic cleansings (e.g. state sponsored famine in Ukraine ), which sent untold millions of Soviet citizens to their graves at the hands of their own military and security personnel.
But that’s just the tip of Russia ’s domestic misery index. In contrast to the flourishing capitalist societies in the West, life throughout the vast majority of the largest country in the world was and continues to be miserable. The simplest and most basic health and sanitation needs go unmet for the average Russian. As poor as West Virginia or Pennsylvania coal miners might have been, they never had to make availability of plain soap a strike demand, as their Russian counterparts did in the 1990’s.
Today Russia spends billions of dollars invading tiny neighbors, training its Olympic teams and hiring American image consultants, while alcoholism, smoking, drug abuse, prostitution, STDs, tuberculosis and untold environmental horrors devastate her citizens. At the Woodrow Wilson Center for International Scholars in Washington, Murray Feshbach, America’s leading expert on Russian demographics, predicts that, due to these maladies and low birth rates (especially of healthy babies), “by 2050 Russia's current population of 144 million could fall to 101 million or as low as 77 million if factoring in the AIDS epidemic.”
In short, the second part of Russia ’s “ Russia problem” is that they don’t value their own lives. In 2008, if the Russians really cared about themselves, they wouldn’t invest in foreign invasions and international intrigue, but would tend to their own social, political, health and cultural ailments first, for they are many and multiplying rapidly.
Russia is not a poor country and former President and current Prime Minister Vladimir Putin is given great credit for stabilizing Russia ’s economy. In reality, he has simply ridden a wave of success solely dependent on skyrocketing prices for oil and gas, these natural resources being in great supply in his country.
The Russian “middle class” in Moscow or St. Petersburg is simply a tiny fraction of lucky suckers sipping cream from the Russian energy cow, for that country manufactures nothing – save Kalashnikovs and nuclear power plants – for global consumption. Go a few kilometers beyond the grand boulevards of Russia ’s big cities and you return to almost medieval conditions. Repeating the pattern of preceding centuries, the 21st century Russian elites hold the masses in disdain.
In sum, Russia ’s greatest “problem” is Russia itself. Pogo’s quaint observation, “We have met the enemy and they are us,” is appropriate for the sad Russian people as for few others.
But a handful of other nations have the cultural achievements, grand landscape and bountiful resources of Russia . If only the Russians were more introspective and mindful of their God given gifts and dutiful in meeting the needs of their own people, both their lives and those of their long-suffering neighbors would be much, much improved.
Linas Kojelis served as Deputy Assistant Secretary of State and Special Assistant to the President at the White House during the Reagan Administration, and is a co-founder of the U.S.- Baltic Foundation (http://www.usbaltic.org/). He can be contacted at linas@koco2.com.


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Putin wants a new Russian empire

By Con Coughlin
Last Updated: 12:01am BST 05/09/2008
Have your say Read comments
Just how far is Russia prepared to go in its attempts to build a new Russian empire? As the West struggles to digest the aftermath of Moscow's audacious land grab in Georgia, all the signals emanating from the Kremlin suggest that, far from being cowed by the international condemnation it has received for its dramatic intervention in South Ossetia and Abkhazia, this is just the start of Russia's quest to establish a new era of imperial glory.
That is certainly how senior officials across Whitehall are interpreting the new mood of territorial expansionism that seems to be sweeping through the Kremlin. "The Russians may be able to come to terms with the collapse of the Soviet Union, but they will never get used to the idea that they are no longer an empire," one senior Whitehall official told me this week. "The desire to build a new empire is far stronger than any desire to rebuild the Soviet Union, and that is what is currently driving Moscow's behaviour in the Caucasus."

Vladimir Putin displays his hunter instincts tracking tigers in Russia
There was a time when the mere sight of the American vice-president, Dick Cheney - the éminence grise of the Bush administration - making his considerable presence felt in the Caucasus would be sufficient to bring the Kremlin to its senses. Unlike some of the younger and less-experienced members of President George W Bush's foreign policy team, Mr Cheney is a veteran Cold War warrior who, even after the collapse of the Soviet Union, warned that the threat of resurgent Russian nationalism could never be discounted.
Read more from Con Coughlin
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When Mr Bush said he had looked the former Russian president Vladimir Putin in the eye and got "a sense of his soul" after their first encounter in Slovenia in the summer of 2001, Mr Cheney remained deeply sceptical about Mr Putin's ultimate intentions. This might have been the high point in the thaw in relations between the Kremlin and the White House, but that did not stop Mr Cheney forging ahead with his Nato enlargement agenda, signing up as many of the former Soviet republics for membership as possible, and building a network of oil and gas pipelines linking the West to the vast new energy resources coming on stream in central Asia. For all Moscow's talk of becoming a trusted ally of the West, the hawkish Mr Cheney simply did not trust it to deliver.
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And so it has proved. Whether the Kremlin ordered last month's invasion of Georgia to prevent it from joining Nato, or because it was concerned that the new oil pipeline might jeopardise Russia's stranglehold over the West's energy supplies, what is clear is that Moscow simply could not tolerate the notion that any country occupying what Mr Putin defines as "post-Soviet space" has the right to think and act for itself.
Yesterday Mr Cheney, during his stopover in Georgia, said America remained "fully committed" to Georgia's efforts to join Nato, but it is highly unlikely that it president, Mikheil Saakashvili, can continue with Tbilisi's pursuit of Nato membership while a third of his country remains under occupation by Russian troops.
Indeed, as Mr Cheney will have discovered during his hastily arranged tour of the Caucasus this week, the Kremlin's success in undermining the Georgian government has served only to strengthen Moscow's determination to prevent the West from making any further advances into territory it considers part of its historic sphere of interest.
Mr Putin's lament that the collapse of the Soviet Union was "the greatest geopolitical catastrophe" of the 20th century has often been taken to suggest that Russia, buoyed by its vast oil wealth, is intent on re-establishing the old Cold War boundaries in central Europe. But a more accurate insight to the Kremlin's current thinking is contained in Mr Putin's book First Person, published in 2000, in which he talks about establishing a new Russian empire, rather than resurrecting the Soviet Union.
This would certainly explain Moscow's current preoccupation with the Caucasus, which, under the tsars, was always regarded as a prime target for Russia's expansionist aims and parts of which are now the subject of a sustained campaign of destabilisation by the Kremlin.
Having dealt the Saakashvili government what could still prove to be a lethal blow, Moscow hardly missed a beat before turning its attention towards Ukraine, another post-Soviet state that nurtures aspirations to join both the European Union and Nato. Russia has made no secret of its disdain for the pro-Western government of President Viktor Yushchenko that took office after the 2004 Orange Revolution, at one point turning off the oil and gas supply taps just to demonstrate the extent of Kiev's dependence on Russian goodwill.
Now Moscow can take comfort from the fact that the presence of Russian military hardware in neighbouring Georgia has provoked deep political divisions in Kiev, where Yulia Tymoshenko, Ukraine's strong-willed prime minister, has been accused by Mr Yushchenko of siding with the main pro-Russian opposition leader, Viktor Yanukovich.
Moscow will not always need to rely on military hardware to redraw geographical boundaries in its favour - sometimes all that will be required is clever manipulation of local politics, as is currently happening in Ukraine.
Nor are Russia's imperial ambitions confined to the Caucasus. It has already been active in Central Asia - another favourite imperial hunting ground - where Moscow has established close relations with the deeply unpleasant despots who currently hold power in Tajikistan, Uzbekistan and Turkmenistan. It has taken a keen interest in the separatist movements that are currently active in Moldova and the disputed Azerbaijan enclave of Nagorno-Karabakh. Moscow has also made clear its determination to protect the Russian minorities who remain in the plucky little Baltic states liberated at the end of the Cold War, but which continue to be on the receiving end of Moscow's intimidatory tactics.
Nobody knows whether, lying somewhere in the dark recesses of the Kremlin, there is a map containing a definitive outline of the new Russian empire Mr Putin and his acolytes would like to create. But that is what they are undoubtedly seeking to achieve and there's very little - or so it seems - the West can do to stop them.

http://www.telegraph.co.uk/opinion/main.jhtml?xml=/opinion/2008/09/05/do0505.xml

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Russia’s Oligarchs May Face a Georgian Chill
By LANDON THOMAS Jr.


Alexander Nemenov/Agence France-Presse — Getty Images
Roman Abramovich, a former oil baron, has combined close ties
to the Kremlin with personal and business ties to the West.

LONDON — As Russia’s hot war with Georgia threatens to become a colder, drawn-out conflict with the West, the global ambitions of some of its politically connected, controversial billionaires could suffer a setback.
The oligarchs, as they are widely known, have already paid a price from Russia’s forceful assertion in South Ossetia: the stock market recently hit a two-year low as foreign investors left in droves.
And while the sharpest of stock market swoons would only nick the oligarch’s giant fortunes, of more lasting effect, perhaps, is the notion gaining currency in some financial circles that their close ties to Prime Minister Vladimir V. Putin and his handpicked president, Dmitri A. Medvedev, may elevate the risk of doing business with them.
As the European Union seeks a diplomatic approach to Moscow, some policy makers are starting to suggest that the best way to influence the Kremlin would be to put more pressure on the Russian business community in Europe, particularly here in London, where many of the oligarchs have financial interests.
“This is a big blow, a shock for all these people,” said Anders Aslund, a critic of the Russian government who is an expert in Russian and East European studies at the Peterson Institute for International Economics in Washington. “Relations with the West will be difficult. There will be sanctions, the stock market is down and governance is going down the drain, and it is all Putin’s doing.”
Russia’s clash with the West follows a six-year, commodity-fueled boom that has pumped new life into a once destitute economy and catapulted the country’s business elite to the ranks of billionaires. It also comes as some of the country’s businessmen have begun to expand their international operations and loosen ties to Russia.
Roman Abramovich, the 42-year-old onetime oil baron with close ties to Mr. Putin, has established deep ties in London by turning part of his estimated $23 billion fortune into ownership of the Chelsea soccer club. He has plans to turn a 19th-century apartment residence in London’s Lowndes Square into a mansion with a pool and parking garage. Although he recently sold much of his Russian portfolio and resigned as governor of Russia’s Chukotka region, his ties with the Kremlin have helped him avoid the fate of oligarchs like Mikhail B. Khodorkovsky, the former billionaire owner of the Yukos oil company who sits in a Siberian jail cell after failed efforts to oppose Mr. Putin’s policies.
Another oligarch with close ties to Mr. Putin is Oleg V. Deripaska, 40, an aluminum magnate with a net worth of $28 billion who has also moved beyond Russia’s borders. His holding company, Basic Element, with $27 billion in revenue, has invested in Magna, a Canadian auto parts company. It has purchased large stakes in two construction companies in Austria and Germany and is a large investor in Montenegro. Mr. Deripaska is weighing a public offering of Rusal, the aluminum company that he controls.
For Boris Berezovsky, a billionaire whose once-powerful stature was cut down after Mr. Putin began scrutinizing the nation’s richest men, Russia’s conflict with Georgia opens the door for the West to consider influencing the Kremlin by going after its favored oligarchs — including Mr. Abramovich and Mr. Deripaska. “They are part of his regime,” Mr. Berezovsky said.
“The West plays with the rules of a democrat, but Putin is a gangster,” he declared, sitting at the head of a boardroom table in his London office. “He understands only power.”
Since his 2000 escape to London, where he was granted asylum, Mr. Berezovsky has been a ceaseless (if not perhaps self-interested) scold, calling for the United States and Europe to cut ties with Mr. Putin.
With regard to Mr. Abramovich Mr. Berezovsky does not pretend to be objective. He has filed a £2 billion ($3.5 billion) lawsuit against his former business associate, claiming Mr. Abramovich forced him to sell his shares of the Russian oil company Sibneft and other assets for far less than their real value.
To support his claim that Mr. Abramovich and Mr. Putin are “business partners,” he cites an encounter with Mr. Abramovich in 1999 where he was asked to split the cost of a $50 million yacht for Mr. Putin — an offer Mr. Berezovsky says he refused.
Bankers in Moscow also say there will be lasting results from Russia’s diplomatic estrangement. Raising capital from Western banks, already difficult with the tighten credit markets, will become harder, and securing visas may become more difficult.
Mr. Deripaska has already had a visa to the United States revoked over concerns about his business practices. And last month David Cameron, the British Conservative Party leader, called for a review of his country’s visa policy toward Russia’s elite — without naming names. To some observers, the mere mention of the idea by a leading British politician shows that international attitudes toward Russia’s leading oligarchs may have further to fray.
Spokesmen for Mr. Abramovich and Mr. Deripaska disputed the notion that their expanding business operations would feel the sting of an anti-Putin effort.
Speaking for Mr. Abramovich, John Mann declined to address Mr. Berezovsky’s claims, citing the continuing litigation.
A spokesman for Mr. Deripaska said: “Basic Element maintains normal and constructive relations with Russian authorities.”
According to Mr. Aslund, Mr. Abramovich has the closer relationship to the Russian leadership. He pointed to Mr. Abramovich’s $13 billion sale in 2005 of his stake in the oil company Sibneft to Gazprom, where Mr. Medvedev was a top executive.
For years these cozy links were played down by investors. But the outbreak of war, coming on top of the conflict between the oil company BP and its partners in a Russian joint venture, suggests that in the future the compact between big business and big government in Russia will no longer be looked upon so benignly.
“The risk premium has to be applied more broadly in Russia,” said John-Paul Smith, a strategist for Russia and Central Europe at Pictet, a Swiss asset manager. “You are never sure where private business ends and government starts.”
For the moment, there is little immediate likelihood that Mr. Deripaska or Mr. Abramovich would suffer an indignity here. The breadth and scope of Mr. Deripaska’s and Mr. Abramovich’s businesses should be enough to protect them from any kind of investor strike. Mr. Abramovich and Mr. Deripaska have built strong personal and business ties to the West as well. Mr. Deripaska, for example, has relied on the financial advice of Nathaniel Rothschild, the man in line to be the fifth Baron Rothschild. He is also an investment partner with Peter Munk, chairman and founder of Barrick Gold, in several projects.
“The fact that he is close to Putin is neither a plus or a minus,” said Mr. Munk, who sits on the advisory board of Rusal. “I judge him by his behavior, and my trust in him is complete.”
http://www.nytimes.com/2008/09/05/business/worldbusiness/05oligarchs.html?_r=1&oref=slogin&ref=business&pagewanted=print

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LUKOIL says output growth hinges on more tax cuts
Thu Sep 11, 2008 9:57am EDT
By Tanya Mosolova
MOSCOW (Reuters) - LUKOIL (LKOH.MM: Quote, Profile, Research, Stock Buzz), Russia's second-largest oil producer, cannot guarantee its oil production will grow if the government decides against extending tax breaks to the industry, its vice president said.
Leonid Fedun told the Reuters Russia Investment Summit that the industry needed at least 400 billion roubles ($15.6 billion) in extra tax breaks in addition to the alleviation of 140 billion roubles already approved.
"The state should decide what is more important: Tax stability or growth," Fedun said at the event, held at the Reuters office in Moscow.
"If Russia plans to grow (production) by 1.5 percent we should understand that annual investments in oil production should exceed $100 billion," he said.
"LUKOIL can have an investment programme of $7 billion, $12 billion or $14 billion. Under the first scenario we do not grow, under the second scenario we grow very slowly, under the third we grow faster," he said.
U.S. oil major ConocoPhillips (COP.N: Quote, Profile, Research, Stock Buzz) holds one fifth of LUKOIL's stock.
LUKOIL's production amounts to around one-fifth of Russia's total output, which has been falling since the beginning of the year, making it almost impossible for the country to avoid its first annual output decline in a decade.
Poor oil output performance in Russia, the world's second-largest oil exporter after Saudi Arabia, has become a major concern for the country's government, which depends heavily on oil revenues, as well as for global markets.
Many officials have said a second stage of oil tax reform is needed but Finance Minister Alexei Kudrin, the main fiscal hawk in the government of Prime Minister Vladimir Putin, has said oil firms should not expect further cuts before 2011.
Fedun said the first stage of the tax reform, when the government agreed to cut the mineral extraction tax and introduce tax holidays for depleted and new fields from next year, will allow LUKOIL to invest more in deposits in the Arctic Timan Pechora region and speed up its offshore Caspian fields.
LUKOIL cut its oil output growth forecast for 2008 earlier this year to 1.4-1.7 percent from over 2 percent before. It produced 91.5 million tons (1.8 million barrels per day) last year.
(Additional reporting by Dmitry Zhdannikov, Michael Stott, Robin Paxton and Katya Golubkova; Editing by Jason Neely)
http://www.reuters.com/articlePrint?articleId=USLB1688420080911
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Russian generals should weigh words and not attempt to scare Europe - Polish FM Sikorski


WARSAW. SEPTEMBER 11. INTERFAX CENTRAL EUROPE - Poland will try to build trust and will proceed in a predictable way with regard to a planned U.S. anti-missile shield to be based on Polish territory - but Russian generals should not attempt to scare Europe with harsh rhetoric, Polish Foreign Minister Radoslaw Sikorski in Warsaw Thursday during a joint press conference held with Russian Foreign Minister Sergei Lavrov.
"We've said today that the generals should weight their words a little more in order not to scare Europe," Sikorski said. "Poland will try to build trust and will proceed in a predictable and transparent way."
Russia has long opposed the anti-missile system, elements of which will be installed on Polish and Czech territory.
For his part, Lavrov said that Russia does not see a threat from Poland, but that the shield still poses a risk to Russian security.
"We don't see any threats from PL, but we said there are risks for the security of the Russian Federation that arise as a result of the U.S. infrastructure coming closer to our borders," Lavrov said.
"We appreciate that the Polish side is trying to understand our concerns, as well as what Minister Sikorski said about consultations and building trust and transparency," he added. "We will wait for concrete proposals and on that base we will be holding those consultations."
Lavrov went on to add that Russia sees the missile shield as part of U.S. strategy, noting that parity between the two countries was long regulated by agreements between the U.S.S.R. and the U.S.
"We don't see a threat for the Russian Federation that would come from Poland," Lavrov said. "We cannot ignore, however, that those elements are an integral part of a strategic installation of the U.S.A. - a system that has so far been regulated by agreements between USSR and USA and this was the base of the parity in the military system.
Lavrov said that the U.S. has moved forward on an international missile shield and that it is considering placing elements of the shield in space, which is opposed by some EU countries.
"The U.S. some time ago cancelled the agreement on the missile shield," he added. "At this point they try to install shield systems in various parts of the globe and even plan to place elements of the system to outer space, which is opposed by a number of countries, including some in the EU.
"The U.S. is currently developing a project for a rapid global assault, which is a serious threat for the concept of the parity that used to exist, especially that there are plans for installing non- nuclear warheads on strategic vessels," Lavrov continued. "This is why the authorities of the Russian Federation must take steps to ensure safety."
For his part, Sikorski said that Poland is ready to go the extra mile to reassure Russia regarding the shield.
"We've talked about the Polish-U.S. agreement on antiballistic missiles," Sikorski said. "I've confirmed to the minister our readiness to discuss the tools for building trust. Our deputies will meet soon to discuss details.
"Our deputies will meet by the end of this year to determine the formula."
The Warsaw meeting is Lavrov's first visit to a European Union state following the conflict in Georgia, which saw Russian forces drive deep into Georgia, following Georgiat's attempt to regain control over the breakaway region of South Ossetia in early August.
MS/PS
For further information please e-mail newsroom@interfax.pl or phone (+48) 22 630 83 88.
http://www.interfax.cn/
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Arabians ask to provide land from City of Tallinn for Islamic centre


BC, Tallinn, 08.09.2008.
Representatives of Sheikh Sultan bin Mohammed Al Qasimi are asking the City of Tallinn to provide land for building an Islamic religious and culture centre in Tallinn, the Baltic Business News channel informed, based on information provided by Äripäev.
Sheikh Sultan bin Mohammed Al Qasimi, UAE Supreme Council Member and Ruler of Sharjah, the third largest emirate of the United Arabian Emirates, considers building of the first Islamic centre in Estonia.
The plan was unveiled in March by Jamal Al Taraifi, the Director General of Sharjah Secretariat General for Auqaf, during a meeting with visiting Muft of Estonia Eldar Muhammed Shun.
Al Tarifi said the centre is expected to be built in coordination with the Organisation of Islamic Conference.
http://www.baltic-course.com/eng/baltic_news/&doc=1538
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Realism about Russia
Author: Joschka Fischer, Germany’s Foreign Minister and Vice Chancellor from 1998 to 20058 September 2008 - Issue : 798
Joschka Fischer, Germany’s Foreign Minister and Vice Chancellor from 1998 to 2005, led Germany’s Green Party for nearly 20 years.

Russia’s strategy to revise the post- Soviet order in what it calls its “near abroad” will be pursued with even more perseverance follow ing its victory over Georgia. Europe should have no illusions about this and sh - ould begin to prepare itself. But, as the Euro - pean Union ponders what to do, cold rea - lism, not hysterical overreaction, is in order. Unfortunately, equating the current situation in the Caucasus with the Soviet Union’s invasion of Czechoslovakia in 1968 does not attest to this kind of realism. Neither the West nor NATO constitutes the decisive strategic threat facing Russia, which comes from the Islamic South and from the Far East, in particular the emerging superpower, China. Moreover, Russia’s strength is in no way comparable to that of the former Soviet Union. Indeed, demographically, Russia is undergoing a dramatic decline. Apart from commodity exports, it has little to offer to the global economy. Notwithstanding booming oil and gas revenues, its infrastructure remains underdeveloped, and successful economic modernization is a long way off. Likewise, its political and legal system is authoritarian, and its numerous minority problems remain unsolved. As a result, Russia’s current challenging of the territorial integrity of Georgia might prove to be a grave error in the not-so-distant future. Given this structural weakness, the idea of a new Cold War is misleading. The Cold War was an endurance race between two similarly strong rivals, the weaker of which eventually had to give up. Russia does not have the capacity to wage another struggle of that type. Nevertheless, as a restored great power, the new Russia will for the time being attempt to ride in the slipstream of other great powers for as long as doing so coincides with its possibilities and interests; it will concentrate on its own sphere of influence and on its role as a global energy power; and it will otherwise make use of its opportunities on a global scale to limit America’s power. But it will not be able to seriously challenge the United States – or looking towards the future, China – in ways that the Soviet Union once did. It is now clear that in the future, Russia will once again pursue its vital interests with military force – particularly in its “near abroad.” But Europe must never accept a renewal of Russian great power politics, which operates according to the idea that might makes right. Indeed, it is here that Russia’s renewed confrontation with the West begins, because the new Europe is based on the principle of the inviolability of boundaries, peaceful conflict resolution, and the rule of law, so to forgo this principle for the benefit of imperial zones of influence would amount to self-abandonment. Further eastward expansion of NATO, however, will be possible only against fierce Russian resistance. Nor will this kind of policy in any way create more security, because it entails making promises that won’t be kept in an emergency – as we now see in Georgia. For too long, the West has ignored Russia’s recovery of strength and was not prepared to accept the consequences. But not only Russia has changed; so has the entire world. America’s neo-conservatives have wasted a large part of their country’s power and moral authority in an unnecessary war in Iraq, willfully weakening the only global Western power. China, India, Brazil, Russia, and the Persian Gulf today are the world economy’s new growth centers and will soon be centers of power to be reckoned with. In view of these realities, the threat of exclusion from the G8 doesn’t really feel earth shattering to Russia. Europe’s disunity and impotence underline this image of a West that has partially lost touch with geo-political realities. The response to the return of Russia’s imperial great power politics has nothing to do with punishing Russia, and a lot to do with establishing innately Western – especially European – positions of power. This requires several measures: l a new political dynamism vis-à-vis Turkey to link this country, one crucial for European security, permanently to Europe; l putting a stop to Moscow’s divide-and-conquer politics by adopting a common EU energy policy; l a serious initiative for strengthening Europe’s defense capabilities; l a greater EU commitment to Ukraine to safeguard its independence; l a greater freedom of travel for all the EU’s Eastern neighbors. All of this, and much more, is needed to send a clear signal to Russia that Europe is unwilling to stand idly by as it returns to great power politics. Presumably, none of this will happen, and it is precisely such inaction that is, in large part, the cause of Russia’s strength and Europe’s weakness. At the same time, however, one shouldn’t lose sight of the joint interests linking Russia and the West. Cooperative relations should be maintained as far as possible. It is blatantly obvious that for Russia’s elites, weakness and cooperation are mutually exclusive. Therefore, whoever wants cooperation with Russia – which is in Europe’s interest – must be strong. That is the lesson from the violence in the Caucasus that Europe must urgently take to heart.
http://www.neurope.eu/articles/89602.php
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Baltic tigers face fears of economic jungle
By eNews 2.0 Staff 14:09, September 8th 2008

Three tiny post-communist countries earned the nickname Baltic Tigers with years of spectacular economic growth that made them the envy of the European Union's old economies. But Monday brought new evidence that Estonia and Latvia risk recession amid a worldwide credit crunch and plummeting domestic demand, while Lithuania also faces economic woes. Estonia's gross domestic product (GDP) shrank 1.1 per cent year-on-year in the second quarter of 2008, down from growth of 0.2 per cent in the previous quarter, Statistics Estonia said in revised figures. Latvia's economy grew by 0.1 per cent in the second quarter, down from 3.6 per cent in the previous three-month period, the office of statistics said in second estimates on Monday. Once part of the fastest-growing economy in the European Union, Latvians now face a gruelling winter of rising heating costs and a shrinking labour market. "This will be the year when each Latvian resident will suffer from the economic crisis and there will not be the privileged ones who will suffer less," Latvian President Valdis Zatlers told LNT TV Monday morning. Major employers say Latvians are now less likely to demand higher wages, and less frequently change jobs in the volatile economy. "People more seriously evaluate why they want to change a job and whether this is the right time to do it," human resources manager at Latvia's largest bank Hansabanka Kristine Sneidere told a daily newspaper recently. That is likely to dampen Latvia's high annual inflation which ran at 15.7 per cent in August, compared to 17.7 per cent in May, according to the statistics bureau. The central bank of Latvia has forecast growth this year will be between 2.5 and 3 per cent, though commercial bank forecasts are lower. SEB bank sees growth this year at zero to 0.5 per cent, while Nordea expects an economic contraction of 0.4 per cent this year and 0.7 per cent next year. Not everything is doom and gloom for the Baltics. Latvia's current account deficit, once the largest in the European Union, has been shrinking. "The government has been forced to question the effectiveness of the budgetary spending, to revise the employment figures in the public sector and to listen to the advice from the business community," SEB economist Andris Vilks said in a research note. A slowing economy and dwindling revenues are confronting Baltic governments with tough choices when they present their budgets to their parliaments later this month. The Latvian government last week decided to freeze wages for state employees, putting it under pressure from unions. Unions of police employees and doctors are planning to stage one-day warning strikes this month. International investors pulled their funds out of the Baltic market about one year ago, said Kestutis Celiesius, head of the brokerage unit for Danske Bank in Lithuania. As a result all major Baltic stock exchange indexes have lost 30-40 per cent in a year, he said.

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