Slovenia Times December 2012

Interview: Janez Šušteršič, FINANCE MINISTER

The Slovenia Times, Slovenian Magazine in English Language, volume 9, number 155, EUR 4.80

Winter Edition 2012

Happy New Year Recession Prot General ests, Strike

Pension Reform

State Sovereign Holding

Bad Bank

Referendums

Bailout

In 2013 The Slovenia Times will celebrate its 10th Anniversary.

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CONTENTS 3

Winter Edition 2012

POLITICS

6 6

Editorial: A Problem of Vision Slovenia has a New President

European Union

8

Slovenia Sixth-Healthiest Eurozone Economy

12 14 15

ECONOMY

16 18 20 22 24

Business Partners

Slovenia Officially Back in Recession 2013, 2014 Budgets Passed Odelo Slovenija Named International Lean Company of the Year Foreign Investors Expect a Change in Mindset and Attitude Interview: Janez Šušteršič, Finance Minister Interview: Marjan Hribar, Director General, Tourism and Internationalisation Directorate, Ministry of Economic Development & Technology Valuable partnership Interview: Vojmir Urlep, CEO Lek, d. d., a member of the Sandoz Group, Slovenian Manager of the Year 2012

COMPANY NEWS 26 NLB with loss again in 2012 26 Intereuropa’s Russian Subsidiary Sold to UniCredit

100 95 75 100

DIPLOMATIC SOCIETY

95 25

30

75 5

LIFESTYLE

32

Ljubno in Ljubljana - an Innovative Project Honouring the Slovenian Devils

CULTURE & EVENTS

34 36 38

Interview: Karen Mežek Hunt, Writer The Met: Live in HD from New York to Maribor The Event Guide

SPORT

45 45

EuroBasket 2013: Sporting and Economic Opportunity Now or Never for Maze

46

Every Picture Tells a Story

0 25 5 0

Slo times avgust 230x95 mm 11. junij 2009 10:43:56

Embassy Diaries

Winter Edition 2012

PANORAMA

source: STA, Slovenian Press Agency

Scan the code to browse the daily news at the Slovenia Times web portal

Maribor Mayor, Franc Kangler, announced his intention to step down on 31 December after anger provoked by his decision to set up speed traps and mounting allegations of corruption in Slovenia’s second city sparked a series of protests across the country, culminating in riots in Maribor. Vowing to “continue to fight for the benefit of Maribor”, Kangler accused “backstage godfathers” to be behind the Facebook profile organising protests and calling for his resignation.

The profile generated 33,000 likes. “I hope the backstage godfathers who are behind the Facebook profile will put forward solutions to the problems faced by Maribor in these times of crisis. It’s easy to hide and call for protests but it’s much harder to take responsibility,” Kangler said and pointed

out that some people had used the general economic and social crisis in the country for political sniping, also during the campaign for the recent presidential election, suggesting his mistake might have been that he endorsed conservative candidate, Milan Zver, before the first round of election. He also argued that he had been a target from the beginning of his first term as mayor in 2006 because he was “obviously disturbing to someone as a member of the political right” and because of his success as mayor. His resignation will be effective as of 31 December when he will notify the local electoral commission to call a mayoral by-election. He said that deputy, Milan Mikl, was empowered to run the municipality until a new mayor is elected.

Photo: BOBO

Maribor Mayor Steps Down Under Civil Society Pressure

Forced from Maribor City Hall

Civil Uprising

Natural Disaster

Civil Society Protests Across Slovenia

Autumn Flood Damage over EUR 209m

Editor-in-chief Tilen Majnardi tilen@solutia.si

www.sloveniatimes.com Published every month by DOMUS, založba in trgovina d.o.o.

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Defence Minister, Aleš Hojs, estimates that flood damage exceeds EUR 209m which means that Slovenia would be able to ask the EU for help. According to the Minister, the damage to buildings is estimated at EUR 15m, to national roads EUR 32m and to rivers and creeks at more than EUR 100m. The figures exceed those from the devastating floods of 2010.

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Photo: BOBO

Several thousand protesters gathered in a number of cities across Slovenia in the final days of November and the beginning of December in a continuation of the wave of protests against the political elite. The protests were held in Maribor, Ljubljana, Koper, Celje, Jesenice, Ravne, Kranj, ... The first and second rally held in Maribor attracted more than 10,000 people and saw a heavy attack on the City Hall and clashes. The situation got out of control, first in Maribor, where the protests began against the policies of Mayor Franc Kangler and mounting allegations of corruption in his administration. The protestors also burned an effigy of the hated city speed traps. Police reacted, calling on protesters to leave and sending in reinforcements to deal with a group who continued their attacks on the building and police stationed to guard it. Interior Minister, Vinko Gorenak and the Police Commissioner, Stanislav Veniger, confirmed that police were investigating what they feel was an organised riot at the protest in Ljubljana in front of the Parliament. Furthermore, Veniger announced possible changes to the Act governing public assemblies that would allow preventive steps against hooligans.

Photo: Mediaspeed

4

All uncredited materials printed in the Slovenia Times are either created by the Slovenia Times journalists/photographers or acquired from the author/owner in accordance with the legal terms.

Printed by: SINET, Cesta 1. maja 83, Hrastnik Circulation: 10,000 copies. ©DOMUS d.o.o., 2003. All rights reserved.

Front page by Maja Kaplan

UNDER THE PRESS Corruption

Slovenia Ranks 37th in the 2012 Corruption Perception Index Photo: BOBO

Slovenia ranks 37th among 176 countries in the 2012 Corruption Perception Index compiled by the Berlin-based NGO, Transparency International (TI). Simona Habič of the Slovenian arm of TI, Integriteta, told the press, Slovenia got 61 out of 100 points in the index, with the top ranking countries Denmark, Finland and New Zealand scoring 90 points.

The index however only shows corruption in the public sector, Habič noted. She stressed that only scores and not rankings of countries were comparable due to differing numbers of cooperating countries each year. Habič also noted that this year’s index was not comparable to previous years, as the NGO had changed its methodology. Integriteta expects that politicians, as well as the government, will respond to the low score and accept responsibility for their actions. Similarly, the Commission for Goran Klemenčič, Commission for Prevention of Corruption Prevention of Corruption said in a press release that corruption was a bigger problem than “we are willing to admit” and it was past the time that something is done to address it. The commission moreover said that the fact that officials, “including and foremost the PM and the Ljubljana mayor and leader of the biggest opposition party” were involved in criminal proceedings was harmful to “the credibility of politics”. The bottom of TI’s list is rounded off by Afghanistan, North Korea and Somalia, each with eight points.

“Once we beat this crisis - and we will beat it some day - we will again have the confidence that we had when we established our state and we will be among the stars in Europe, shining as a positive example” Borut Pahor, new President of Republic of Slovenia, STA

“We will be extinct like dinosaurs because we do not know how to adjust to a new reality” Brane Mišič, former member of the ZSSS Trade Union, Slovenske Novice

EuroBasket 2013

Photo: Mediaspeed

The EuroBasket 2013 draw, in the world-famous Postojna Caves, decided the groups for the 2013 European Basketball Championships which will be held in Slovenia in September 2013.

Slovenia will play in group C with Spain, Croatia, Poland, Georgia and the Czech Republic. The balls were pulled out by three Slovenian championship ambassadors: Rašo Nesterović, Ivo Daneu and Peter Vilfan in addition to Aljoša Žorga, Alexander Volkov, Ibrahim Kutluay and Jorge Garbajosa. Taking place in the heart of the famous 20,570m long Karst cave system, the event played host to around 600 guests, including the mayors of the four cities hosting the championship (Ljubljana, Celje, Jesenice, Koper), Sport Minister, Žiga Turk and senior FIBA officials.

Photo: BOBO

Spectacular Draw in Postojnska Jama

“Protests and demonstrations are legitimate but I doubt that the protests encourage any potential foreign investor to come and invest in our country” PM Janez Janša answering questions from MPs at a parliamentary session

“There is something in our parliament and government that chronically and progressively defects the human brain” Poet Alojz Ihan, Finance

First underworld basketball game

European Capital of Culture 2012

European Capital of Culture closing the doors The European Capital of Culture 2012 (ECOC) closes the doors on 15 December. This has been the biggest cultural project of Slovenia since independence and will hopefully have a huge impact on the development of the second biggest Slovenian city. The project resulted in a substantial growth in tourists and visitors to the region. Protests against the Maribor mayor unfortunately forced the organisers to change the plans for the closing ceremony. The event was adjusted due to the security situation in the city. The programme was dispersed around the city, the main part of the event was to symbolically pass the baton to next European Capitals of Culture - Marseilles and Kosice.

“Definitely changes to the referendum legislation should be expected and only then would we maybe get the loans to finance not only the banking sector but current public expenses in general. And we know what this means” Janez Šušteršič (commenting on the demands in the case of applying for a bailout) , Finance Minister, STA Winter Edition 2012

5

A WORD FROM THE EDITOR 6 POLITICS

Presidential Election

by Tilen Majnardi

In recent weeks we have clearly experienced what can happen when the country has no credible and understandable plan for the future, defined goals where it wants to be in 10 years and defined activities to achieve them. Sooner or later people will tell their part of story, on the street with “strong” and “fiery” arguments To be frank Slovenia, we made quite a lot of progress in the last month. We finally adopted pension reform which will be implemented on 1 January 2013. The reform was passed without even one vote against it, opposition MPs surprisingly congratulating the Minister for Social Affairs that he was able to make a compromise with the unions and that this legislation will not be challenged at a referendum. This was almost science fiction considering all the irrational political disputes in the past. Another positive development was the passing of the budgets for 2013 and 2014 that will lower the deficit below the 3% Maastricht line and ensure additional funds for education and social security.

If the story of the past month would finish here we could carelessly start with New Year celebrations. But the story in Slovenia, as usual, goes on.

We have obviously successfully adopted the system of “one step forward, two steps back”. Instead of upgrading the first step toward ending the general crisis in society, politicians proceeded with their destructive logic. Firstly, they intentionally or non-intentionally (which is even worse) misunderstood the message of the civil uprising in Slovenian towns. They obviously think that the ongoing protests in Maribor, Ljubljana, Celje, Jesenice, Kranj and Koper are confined to local unrest against the corrupt mayors who have adapted their style of governance to “wild west” standards. They forget that those local sheriffs were elected by the blessing of all the political parties in Slovenia. They gave them only after protesters threw granite blocks in the direction of their heads. Another rotten thing in our politicians minds is that every event, scene, happening they want to use for their own interests and not look for solutions that would benefit the whole society. On top of that they desperately try to discredit opponents and put all the blame for some deviant actions on them. Emerging public discussion about the possibility that violent riots were paid for from one or other political party is further proof.

We, as a society, forget that times were much tougher in the early 90´s after declaring independence. We were alone, not recognised, with a weak economy, hyperinflation, no foreign exchange reserves, miserable wages... But we had a vision. A vision to get out from the misery of the disintegrating Yugoslav state, to become a member of the EU. In the following years we all - trade unions, politicians, companies gave up many things to achieve this goal. After we crossed the finish line we became smug, invincible, thinking that Europe will take care of us. And this applies to everyone, the general population which forgot that the economy goes down and not just up, trade unions, politicians, managers. We all forgot that we are a community, not just individuals. Maximising our own interests through all possible means will just not bring new development. Uniting on the streets against corruptive political elite is from this perspective maybe the first step toward a new Slovenia with new and more capable leaders with a clear vision.

The former Prime Minister from the Social Democrats party, Borut Pahor, will be the new president of Slovenia following his win in November’s presidential run-off in a landslide against the incumbent, Danilo Türk. Pahor will be sworn in on 22 December.

Photo: BOBO

A Problem of Vision

Slovenia has a New President

The new Slovenian President

Landslide victory

Results from the National Electoral Commission show Pahor won 67.4% of the vote. The turnout was 42%, the lowest on record for a presidential election and six points below that of the first round.

The result is no surprise considering the polls before the run-off, but Türk entered the race in the summer as the clear front-runner with Pahor staging an upset in the first round on 11 November by upending the incumbent on a platform of cross-partisanship.

In his first statement following the release of the exit polls, Pahor reiterated his central message of unity and cross-partisanship, one which he used as a contrast to Türk’s perceived divisiveness.

“We need trust, mutual respect,

tolerance, a readiness to listen. Irrespective of how big the differences among us may be, the things that connect us are even stronger”.

While saying that he was also grappling with many questions, Pahor said that he knew one important answer: “That all the worries, fear and lack of trust among us is accompanied by enough hope, strength and courage”.

Incumbent President with poor tactics

Türk conceded defeat and congratulated Pahor but he refrained from analysing the reasons for the outcome. There are “plenty of qualified people to make political assessments, analysis and polls...I have to be modest, I can’t immodestly assess this election”. Türk said he

POLITICS 7

Run-off between two “left” candidates

The campaigning for the second round was framed by pundits as a battle between the “new left” of Pahor and the “old left” represented by Türk but it also pitted Türk as a critic of government measures and the guardian against government excess versus Pahor’s perceived excessive willingness to accommodate Prime Minister Janez Janša. Türk sharpened his rhetoric while Pahor kept to his message of unity, though he was forced to backtrack somewhat on support for the government.

The final stages of the campaign also coincided with massive protests against the political establishment in general but they appear to have had little effect on the outcome.

Politician who will end traditional divisions?

The first reactions from politicians underline the hope promulgated by Pahor that the “politics

of division” will end and a new era of unity ushered in. PM Janša congratulated Pahor on the “excellent and convincing result”. “I thank him in particular because he talked about things that are not popular but are necessary winning support in spite of that.”

He hinted that with election out of the way, reform would be back at the top of the political agenda, not just economic reform but reform of the political system designed to eliminate blockades.

He said that the “entire political establishment and active citizens” face the challenge in the “crucial weeks ahead” to implement “corrections to the political system” that will enable the elimination of blockades, in particular in the judiciary. Parliamentry Speaker, Gregor Virant, Head of the Citizens’ List (DL) and a supporter of Pahor’s, described the outcome as a win for centre-oriented, moderate and constructive politics.

He feels Pahor’s election will have a calming effect on the situation in the country. New Slovenia (NSi) Deputy Group Leader, Matej Tonin, hopes Pahor will be the president of all, while People’s Party (SLS) President, Radovan Žerjav, said people “consciously stepped beyond partisan and ideological divisions”. The head of the Pensioners’ Party (DeSUS), Karl Erjavec, who had supported Türk said Pahor had the right qualities to be a good president and to bridge the left-right political divide in the country. Igor Lukšič, the head of Pahor’s Social Democrats (SD) said the message of the election was that people recognise Pahor as a person who will unite Slovenia and help it go forward.

Refrendum Madness

Referendum on State Budget?

Prime Minister Janez Janša has issued a dire warning against referendums on the 2013 and 2014 budgets after the trade union of teachers hinted it might resort to that to block public sector wage cuts.

Referendums on budget legislation are “beyond the boundaries of normal.” Such a blockade would hamper the normal functioning of the state. His statement comes after the SVIZ trade union of teachers and scientists said it would hold a general strike on 21 December unless parliament rejects the 2013 and 2014 budgets - parliament passed the budget with a huge majority. SVIZ head, Branimir Štrukelj, consequently said that the union will try to stop the budget adoption procedure “and perhaps force the government to get back to negotiations” by filing the 2,500 signatures to trigger referendum proceedings.

Janša is confident that a referendum will not take place but he noted that the very launch of referendum proceedings would postpone the budgets. He said that the reduction of the public sector wage bill enshrined in the budgets was possible largely through retirement, requiring little adjustment of wages. Furthermore, negotiations with sector trade unions regarding the achievement of the targetsremain open. The prime minister expects that “a lot of things that are causing tension” will have been resolved by then.

Structural Reform

Pension Reform Finally Adopted The National Assembly passed, with 76 votes in favour and none against, the government-proposed pension reform. The reform tightens retirement conditions by raising the retirement age to 65 years or 40 years of pensionable service. It is come into force on 1 January 2013 and is expected to bring in EUR 150m in 2013.

Photo: BOBO

would remain an “active citizen” after his term officially ends on 22 December. “I entered politics five years ago as an active citizen, one of those who care. My commitment remains unchanged”.

The low turnout highlights the apparent loss of trust in politicians that has been raised in a wave of anti-establishment protests currently sweeping across Slovenia. Pahor said that trust in state institutions needed to be restored, arguing that the institutions need to “earn this trust with hard work for the common good.” Türk, meanwhile, said the turnout was “cause for concern”.

Big step for Slovenia, success for the Minister

Important bipartisan support, a positive signal for the EU

All parties underlined in the debate that pension reform was desperately needed. The first attempt at reform failed 18 months ago as the proposal adopted by the previous ruling coalition was defeated in a referendum. The reform has enjoyed bipartisan backing throughout parliamentary passage and opposition parties praised Labour, Family and Social Affairs Minister, Andrej Vizjak, for taking into account their proposals. At the second reading, over 100 amendments were incorporated into the government’s proposal based on an agreement reached in the negotiations between the government, trade unions and employers. A further 20 amendments were endorsed just before the reform was passed.

The deputy of the opposition Social Democrats (SD), Andreja Črnak Meglič, said that the party endorsed the reform because the government crossed out the provisions under which payments not stemming from social contributions would have been removed. Opposition Positive Slovenia’s (PS), Barbara Žgajner Tavš, said that “the Minister acted wisely and listened to serious warnings from the opposition”.

The Coalition Democrats (SDS), the People’s Party (SLS), New Slovenia (NSi) and the Citizens’ List (DL) highlighted the advantages of the reform bill. The DL’s Truda Pepelnik underlined, above all, transparency of pension calculations, while the Pensioners’ Party (DeSUS) highlighted that pensions would be adjusted to pay in 2013. However, this adjustment must not exceed EUR 50m. SLS said that the pension reform could help Slovenia break out of the crisis. “Every year, conditions worsen also for future pensioners because the pension base is cut annually,” said Mihael Prevc. Matej Tonin of NSi said that anybody who would attempt to reject the reform in a referendum or otherwise would be fighting for lower pensions and unsustainable public finances. Romana Tomc of SDS pointed out that the increase in the pensionable age would not happen due to strict regulation but due to incentives promoting that people work longer: “Above all it is important that it no longer misleads people with false expectations regarding the amount of their pensions”.

Winter Edition 2012

8 EUROPEAN UNION

EU

NEWS

source: STA, Slovenian Press Agency; European Commision; European Parliament

Eurozone

Slovenia Sixth-Healthiest Eurozone Economy Slovenia has been ranked the sixth-healthiest eurozone economy in a report compiled by the Brussels-based think tank, Lisbon Council and the German bank, Barenberg. Despite an above-average ranking for its economy, the report highlights a lack of reform drive in the country. of the fundamental health of its economy, the country scores 7.3 points for resilience and only 5.6 for competitiveness and fiscal sustainability. The grade for adjustments is dragged down by a lack of index for reform and labour costs where the country scores 2.7 on a 10 point scale. In addition to the need to boost competitiveness, the report calls for political agreement on key measures needed to shore up the economy, establishing that “fiscal and banking problems should be manageable once political consensus is found.”

Troubles in the banking sector

Banking sector may be the reason for applying for bailout

Still stable but with problematic trends

While saying that the Slovenian economy is highly resilient and dynamic, the Euro Plus Monitor, an annual survey of the economic state of the eurozone, puts Slovenia in tenth place among the 17 eurozone members in terms of measures to deal with the crisis.

Slovenia’s grade for fundamental economic health of 6.1 (of 10) is 0.5 points above the eurozone average, whilst its 4.3 score for adjustment measures stands 0.3 points above the average. In its assess-

ment of the economic situation in Slovenia, the report says that the fundamental health of the economy is shored up by its resilience to financial shocks and strong trend growth.

Excessive regulation

Pointing out that Slovenia still has a relatively low level of public debt, the report warns that the structural debt is of more concern. Furthermore, it warns that the economy is hampered by rising labour costs, below-average level of integration of immigrants and excessive regulation. In terms

Touching on the troubles of Slovenia’s banks, the report says that the country is an example of how “even a relatively small banking sector can get a country into trouble if banking supervision fails”.

It also suggests that the possibility of a need for an EU-sponsored bailout has not been eliminated.

The report concludes that, despite the ongoing recession, the eurozone “is turning into a much more balanced and potentially more dynamic economy” with the help of rapid changes in the countries with serious economic health problems.

This is the second year that the report has been compiled with

EU Commission

EU Welcomes Pension Reform The passage of the pension reform by the Slovenian parliament is a “welcome signal” that Slovenia recognises its challenges in connection to long-term fiscal sustainability, the European Commission said.

It added though, that the implementation of this reform was now crucial. Passage of the pension reform in Slovenia is in line with the recommendations the country received this year in the area of public finances and structural reform, the Commission’s PR office said. Slovenia had been receiving calls from the EU to reform its pension system to enable The Slovenia Times

its sustainability for years. “Now the key point is the implementation,” the Commission said, pointing to the possibility of a referendum as an obstacle for this. The Commission would not comment on the content of the reform act though, saying it was too early to provide a more detailed assessment. The motion that was passed by the National Assembly was based on the government proposal which had been labelled by Brussels as “the first step in the right direction” but more than a hundred amendments were subsequently added to the proposal.

Slovenia scoring slightly less on the fundamental health index (-0.4 points, down one place) and slightly better on the adjustment progress indicator (+0.7, up one place) than last year. The report finds Estonia (7.4 points) to have the most healthy eurozone economy, followed by Luxembourg (7.2) and Germany (7). Interestingly, the latter two are at the bottom in terms of the adjustment index, scoring 1.6 and 2 points respectively. Greece, which has the least healthy economy of the eurozone (3.6), leads in terms of adjustment with a score of 8.2 points. It is followed by Ireland (7.4) and Estonia (6.5). France is singled out by the report ranking 14th out of 17 in the economic health ranking and also at the bottom in terms of adjustment due to its failure to undertake reforms to boost competitiveness. While pointing out that the country has immense potential, the report warns that - much like Slovenia - France’s competitiveness is being held back by high labour costs and a rigid labour market.

Indeed, it points to an “extremely restrictive labour code, which makes hiring and firing more difficult in France than in any other eurozone country except Slovenia”.

10 EUROPEAN UNION EU Summit

EU Bureaucracy

EU Concerned about Referendums in Slovenia

Cut the Red Tape

EU concerned about the political blockade in Slovenia

The EU sees referendums as the biggest threat to Slovenia, Prime Minister Janez Janša told the press after the EU summit confirming unofficial information that Slovenia has received warnings that the bad bank referendum could force the country into asking for international aid. Blockades are the main cause of concern here, Janša told the press. “The problem is not the potential, we have enough of that to get ourselves out of the crisis.

Slovenia’s problem is the blockades.” “There is no decision-maker in the EU who does not know that urgent crisis measures or long-term structural reforms can be blocked in Slovenia simply by collecting 2,500 signatures and launching referendum procedures,” Janša said.

The Economic and Financial Committee (EFC), the body that drafts the agenda for the financial ministerials, talked about Slovenia. The meeting heard serious warnings that referendums might be Slovenia’s ticket to international aid, according to unofficial sources. The EFC discussed a report on Slovenia’s economy that addressed several breaking points, according to unofficial sources: potential bank recapitalisations, the threat of exceeding the deficit level in 2013, uncertainty surrounding the bad bank law, reform of the pension system and labour market and changes to referendum legislation. The unofficial sources also said that the EU had been drafting an aid programme for Slovenia in recent months in case the country’s issue of US dollar bonds had failed. The prime minister underlined that unless Slovenia managed to pass the fiscal measures and structural reforms it promised to implement, it might also lose EU cohesion funds. EU leaders have discussed macroeconomic conditions in negotiations on the 20142020 EU budget. This means that the EU could punish the member states which fail to meet their fiscal and reform goals by freezing their cohesion funds. The possibility that macroeconomic conditions remain in the final version of the budget must be taken seriously, the PM said.

The Slovenia Times

The European Parliament’s Office and the Slovenian Press Ageny held a round table examining crisis measures in Europe, featuring several businessmen and MEPs . Entrepreneurs participating in a panel examining crisis measures in Europe called for less red tape in the EU and the furthering of creativity and innovation. MEPs Mojca Kleva (S&D/SD) and Zofija Mazej Kukovič (EPP/SDS) moreover called for cooperation and the search for synergies. The Director of Seaway, Japec Jakopin, told the debate, hosted by the European Parliament’s Office and STA, that the crisis was not a one-off occurrence but brought lasting change. Given its small size, this change could also mean major opportunities for Slovenia, he noted. “We need to turn Slovenia into something effective and it is clear what talents lead to a bright future,” Jakopin said, mentioning speed, innovation, creativity, responsiveness, knowledge and technology. He argued that Slovenia needs to turn its flexibility and ability to communicate quickly and easily to its advantage. Marjan Batagelj, the head of the operator of the Postojna Cave, touched on the business environment in Europe, saying that there was a lot of standardisation which could undermine creativity. He singled out red tape as a key problem in the EU, saying that it would be “necessary to set up a faculty for the phasing of EU funds”. Tugomir Frajman of the warehousing and storage company, EEC, said companies wanted an open and liberal environment. “While good competition is always welcome, the conditions for operations need to be about the same as with comparable companies,” he said, adding Slovenian companies were worse off and calling for less regulation and more morals and ethics. The CEO of the country’s leading fruit producer, Evrosad, Bostjan Kozole, moreover said that trade unions decided on 80% of economic policy in Slovenia, while 15% is left to the government and 5% to employers. MEPs Kleva and Mazej Kukovič also debated with the entrepreneurs, with Kleva detecting a solution in cooperation - in politics as well as in the economy. “When applying for European projects for instance, more success is recorded by those to apply together since certain synergies are secured”.

EU institutions not adapting to the new global conditions and reality

Economy

source: STA, Slovenian Press Agency; IMAD; SORS; Eurostat

GDP

Slovenia Officially Back in Recession Slovenia’s real gross domestic product (GDP) contracted by 3.3% year-on-year in the third quarter of the year.

Seasonally and working days adjusted, it shrank by 2.9% over the year before and 0.6% compared to the previous quarter.

Plunging domestic demand

Slovenia is formally in recession having posted two consecutive quarters of decline, its second recession in three years as domestic demand continues to weigh down on growth. “The situation in the Slovenian economy remains bad,” according to Karmen Hren, the Head of Macroeconomic Statistics highlighting the contracting domestic demand as well as lower exports. Domestic expenditure plunged 6.6% from the year before, with households as well as the general government trimming spending by 3% as the government continued to consolidate public finances. Gross capital formation, a gauge of investments, plummeted 20.4%, the biggest decline since the early stages of the economic crisis in 2009. “Looking at construction investment, it has dropped by over 50% compared to [pre-crisis year] 2008,” Hren said, noting that it was now at its lowest

level since records began in 1995.

The declining domestic demand has been partially offset by external demand, though that has been falling as well. Exports are down 0.7% and imports fell 5.1%, making for a net contribution of external trade balance to GDP of 3.1 percentage points.

Weakness of main trading partners

The Institute of Macroeconomic Analysis and Development (IMAD), a government think-tank, attributes the decline in exports to “weakness in Slovenia’s main trading partners”. The statisticians also recorded value added dropping across the board, with declines ranging from 10.4% in construction to 4.5% in IT and financial services to 0.6% in manufacturing, making for an overall decline of 3.1%. The Statistics Office projects that if GDP continues to decline at the current pace, the year-end contraction will reach

3rd Quarter (in %) 0 Domestic demand -5

Exports -0.70%

-6.60%

Gros capital formation -20.40%

Source: Statistical Office

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-10

-15

-20

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2.2%, but if the situation declines further it could climb to 2.6%.

The Chamber of Commerce and Industry responded to the data by labelling it as expected, saying that another quarterly drop like that could quickly mean a 2.5% yearly contraction. “We have for a while been pointing

to the serious consequences for GDP of a collapse in the investment market or in construction and the related industrial and service activities. We are moreover highlighting the deteriorating situation on export markets, with both being related to a drop in purchasing power”.

Automotive

Automotive Sector Must Preserve their Competitive Edge The Slovenian automotive industry generated 10% of the country’s GDP in 2011, according to a round table debate marking 40 years of car assembly by Revoz in Novo mesto. To preserve its competitive edge, the sector must continue investing in innovation and development and adapt to the market, the panel agreed. Dušan Bušen, the Director of Slovenia’s Automotive Cluster, said that Slovenia’s automotive industry produced products and services worth EUR 3.2m last year, representing 21% of the country’s exports and 10% of its GDP. The sector has recorded a 15% increase in revenue since 2010.

This year, the increase is expected to reach 3% from 2011, said Bušen.

In order to preserve the sector’s competitive edge, the participants of the debate agreed that Slovenia must resolve several bureaucratic obstacles and shorten various procedures that hinder the development of the automotive and The Slovenia Times

The automotive industry is an important part of the Slovenian economy

other industries. They called on politicians to stop their power struggles and start being more efficient. The government must also become a better manager in state-owned companies.

Bušen believes that automotive companies selling most of their products to European car makers will face problems next year, while the rest of the automotive industry is expected to grow in 2013. The Novo mesto-based Revoz is one of the companies tied primarily to the European market. Revoz CEO, Aleš Bratož, said that companies like Revoz will not only have to preserve their competitive edge but also improve it. Revoz is doing this through investment in a joint project of Renault and Daimler and has invested EUR 40m this year alone into upgrading the production line, according to Bratož. The company has also managed to reach an agreement with trade unions to scale back production to only two shifts until the project kicks off.

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14 ECONOMY

Public Finances

2013, 2014 Budgets Passed

Photo: BOBO

The National Assembly passed austerity budgets for the next two years aimed at reducing the deficit to 2.8% of GDP in 2013 and to 2.5% of GDP in 2014. The budgets also include a cut in the public sector wage bill. The 2013 budget projects revenue of EUR 8.6bn, up EUR 650m compared to this year’s budget and expenditure of EUR 9.6bn, up EUR 600m.

Students force more money for education

The government claims the budgets provide plenty of scope for incentives to businesses aimed at kick-starting growth, whereas the opposition insists they will hamper the recovery with excessive belttightening.

The Slovenia Times

I

n 2014 revenue will drop to EUR 8.4bn and expenditure to EUR 9.3bn. Expenditure has been trimmed across-the-board in order to meet the deficit target, most notably with the requirement that budget users reduce their wage bills by 5%. The figures already take into account the recently adopted pension reform which will kick in next year and produce savings by cutting budget outlays due to stricter retirement conditions and lower indexation to wages; in 2013 alone savings of EUR 150m are expected. Savings will also be made with the reduction of the per capita income tax allocated to municipalities which will drop from EUR 543 to EUR 536 and lower funding for Ljubljana under the Capital City Act. On the revenue side, the government has budgeted a very high inflow of EU funds which the opposition

and economists claim is unrealistic. Furthermore, the introduction of a temporary 50% tax bracket and higher taxes on rental income, student work, capital gains, excise

and taxation of sugary drinks are projected to increase revenue EUR 300m per year. The deficit will be financed with the borrowing of up to EUR 9.14bn over the two-year period, including one billion that will be earmarked for the financing of the bad bank. The government claims the budgets provide plenty of scope for incentives to businesses aimed at kick-starting growth, whereas the opposition insists they will hamper the recovery with excessive belt-tightening. The budgets went through parliament virtually unchanged as hundreds of amendments put forward, mainly by the opposition, were rejected. However, two amendments that increase spending were confirmed under pressure from the education and science sectors which are subject to some of the deepest funding cuts.

MPs thus reinstated EUR 16m for higher education and EUR 23.7m per year for financing food for schoolchildren and students.

The decision came amidst a protest featuring several thousand students and teachers who disparaged austerity in front of Parliament House.

Stabilisation of public finances (Budget deficit) 0

2013

2014

-0.5

-1.0 -1.5 -2.0 -2.50%

-2.5 -2.80% -3.0

ECONOMY 15

Automotive

Odelo Slovenija Named International Lean Company of the Year On 21 November 2012, odelo Slovenija d.o.o., a global supplier of lights for the automotive industry won this year’s International Company of the Year Award in the Total Productive Maintenance category, given annually by the International TPM Institute from Pittsburg, United States. The award is given each year to companies that exemplify excellence in efficiency in accordance with the “lean” methodology. Odelo Slovenija thus continues its rise amongst the best production companies in the world. The long term goal for odelo Slovenija is to actually reach the World Class Manufacturing production level by 2015.

W

ith the successful introduction of the lean philosophy and significant steps in its implementation, odelo Slovenija has demonstrated an exceptional understanding of lean principles and advancement by improving in the areas of quality, cost, delivery and safety.

This places them amongst the most competitive companies in their branch.

This year was really remarkable for odelo. In addition to the TPM award for the successful introduction of lean methods and the Company of the Year award, odelo was also named Foreign Investor of the Year in Slovenia and odelo’s General Manager, Klaus Holeczek, was recognised for his contribution to the development and openness of Slovenian society with this year’s Guest Star Award.

K l au s Hole c z ek, who h a s been General Manager of odelo Slovenija since its inception in 2005 and from October 2012 has also been COO odelo Group responsible for five plants in Slovenia and Germany, has emphasised, that “above all, lean production is not a project that comes to an end with awards.

Winning these awards means that we have reached a certain level of production which we have to maintain and upgrade.

We are half way there - our main goal is to achieve the WCM level of production by 2015. We must now take decisive action to continuously improve conditions quickly and effectively, we have to identify, design and implement innovative improvements to processes and value streams. Upgrade and continuous improvement of production is therefore our priority on our way to being amongst the best” he added.

In 2013 odelo Slovenija is planning sales of more than EUR 120m, a 25% increase from 2012 In 2012 odelo expanded their logistics and production areas from 20,000m2 to 28.000 m2.

The enlargement of production was necessary mainly because of new products planned in the future, to support organisational systems and structures for all processes and to face competitive challenges in today’s global economy.

The move closer toward a culture of lean thinking and continuous improvement must involve everyone in the organisation.

Competitiveness demands constant improvement in every aspect: flexibility of processes, financial flexibility, technology, correct organisation of the flow of materials, smart investment, know-how and know-why exchanges and benchmarking to the best in class. Each of these methods and processes demands accurate organisation which in odelo

involves all employees with their knowledge and skills.

The successful introduction of lean processes is today one of the vital factors for improving the company’s profile on the market. Lean principles, systems and techniques deliver global competitiveness and will guide the company’s aspiration to be competitive in global markets.

Klaus Holeczek is constantly motivating and inspiring others to embrace lean through mentoring others, sharing lessons learnt and best practices, providing tours and workshops. In cooperation with the Slovene German Chamber of Commerce (http:// slowenien.ahk.de/), AKJ Automotive (http://www.akjnet.de/) and GfpM (http://www.gfpm-online. de/) he is the organiser of the annual World Class Manufacturing Workshop conference with prominent lecturers from the German automotive producers: Daimler, BMW, VW; global suppliers, academics and others. The main goal

of the conference is to raise the awareness of the culture and importance of lean manufacturing.

Next year’s conference will take place from 7 - 8 March 2013. For further information contact Ms. Anemari Cilenšek from odelo (anemari.cilensek@odelo.si).

Lean thinking and lean methods are milestones of success and are not only helping to improve the company’s competitive profile but are necessary to also overcome the difficult circumstances and market demands in today’s European markets. The economic situation in the automotive industry can be very unpredictable and successful companies have to be able to manage such circumstances.

Odelo Slovenija has therefore established an intern programme to adjust to the flexibility and rising demands and trends of the automotive industry and to expand their lean thinking to all business processes. Odelo is, as a result, successful at all levels of transformation: lean principles, systems and techniques/tools.

Odelo Slovenia, d.o.o. is an established manufacturer of high quality lights, third brake lights and signal lights for the automotive industry, specifically premium class and has over 700 employees. It’s production facilities are in Prebold, where a textile plant once stood . It produces technologically demanding and advanced lights which are seen on car brands which include Mercedez-Benz, Volkswagen, Audi, Porsche, Bentley, Ferrari, Rolls Royce and others. Odelo operates on five sites in Germany and Slovenia. In 2011 Bayraktarlar Holding, the international conglomerate from Istanbul, became the 100% owner of odelo.

Winter Edition 2012

16 ECONOMY

FDI Summit 2012 Conclusion Paper

Foreign Investors Expect a Change in Mindset and Attitude The Slovenia Times and the Faculty of Economics from Ljubljana presented the Conclusion Paper from this year´s FDI Summit Slovenia 2012 conference. The message was very clear: enough talking, time for action!

A

Despite its size, Slovenia boasts a very strong manufacturing sector, including hidden champions in their fields.

mongst the eminent guest speakers who presented the conclusions of the conference and discussed the urgent measures needed to end the economic stagnation, generate new growth and improve the investment environment in Slovenia were Professor Dušan Mramor, Dean of the Faculty of Economics, Ljubljana and conference programme partner; Christof Droste, Managing Director, Hella Saturnus Slovenija and Slovenia’s Manager of the Year for 2011; Csaba Tóth, TriGránit Country Director for Slovenia & Managing Director of Emonika, d. o. o.; Rudolf Klötscher, Executive Vice President Eastern Europe, BSH Bosch and Sie-

mens Home Appliance Group; and Uroš Rožič, State Secretary, Ministry of Economic Development and Technology.

On the basis of discussions at the conference, four basically simple conclusions which can help define the operational plan for resolving the general “development” crunch were identified: A very important point that should be at the core of our efforts for fighting the crisis is the fact that Slovenia is still one of the most developed countries in the world, with great potential that should be utilised: • The FDI Summit Slovenia 2012 highlighted various compet-

1. As a society, we know what has to be done, at least in the short run but we are just not doing it because of a variety of artificial, political or ideological reasons that exceed the normal level of rationality.

We have developed a kind of “invincibility complex” which is blocking change.

2. As a result of an overdramatisation of every move or step in our society, we have become a negativelyoriented state, caught in a general stagnation spiral at all levels.

3. Our current political elite are just not listening to or hearing the innovative and vital part of our economy: managers, entrepreneurs, business people.

4. We have not developed a clear, simple and operational development strategy to enable us to adapt to changing global conditions and resolve the crisis involving existing consumption concepts, new trends, energy efficiency and sustainable development − a strategy to properly motivate people.

The Slovenia Times

itive advantages present in Slovenia and the fact that FDI inflows would not be affected by the size of the domestic market. Focus was on these competitive advantages, which include Slovenia’s skilled labour force and its EU export potential. The main questions are: what are the current initiatives to promote FDI and how can they be maintained and improved?

• Despite its size, Slovenia boasts a very strong manufacturing sector, including hidden champions in their fields. We need to simply implement already identified policy measures that include labour and tax reform to support this sector.

• Slovenia has strong European partners, such as Germany and Austria, with many locally established firms. We must nourish these partnerships and enhance them further by seeking FDI by, for example, attracting strategic partners in other Slovenian firms.

A number of cases of best practice are available which Slovenia could make use of.

• Slovenia possesses important natural resources such as wood. We can improve the use of such natural resources, thereby

ECONOMY 17 achieving a higher contribution, rather than merely exporting the raw materials.

• We must improve the liaison between our research institutions and industrial corporations to create high level research or design centres and innovation in manufacturing.

• Slovenia is looking at a record year in tourism, with a growth of 3.1% year recorded for the first eight months. We can improve tourist contributions by aiming for higher-end and niche tourism.

• We have a huge FDI reserve from non-traditional partners - FDI from non-European partners − for example, South Korea, Japan, China and a recent surge from Russia.

• We have huge development potential in energ y efficient technology; we can capitalise on Slovenia’s competitive advantage in energy efficient applications, including hydro power and construction.

So, having evaluated Slovenia’s performance, we can put together basic criteria to assess the country performance until the next FDI Summit Slovenia which will take place on 18 September 2013: 1. Solve the problem of the credit crunch in the banking sector

2. Stabilise short term public finances without causing unnecessary social tension, lowering R&D and education expenditure, 3. Adopt a long-term strategy to stabilise public finances including pension reform, adoption of labour market reform to increase labour mobility in accordance with global economic trends and raising the confidence of the work force,

4. Ensure transparency of stateowned asset management with a clear strategy (what, if, when and under what kind of conditions we will privatise assets), 5. Define the key competitive economic sectors for generating growth with clear and simple implementation strategies – an understandable vision of Slovenia for 10 years with defined implementation steps,

6. Operationalisation of the new agency “SPIRIT” for promoting Slovenia – take the approach of “searching for investors” instead of “waiting for them”.

The goal to combine all points is a very important general goal to restore confidence and credibility and create a “problem solving” oriented society.

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Winter Edition 2012

18 ECONOMY

Interview: Janez Šušteršič, Finance Minister

No Realistic Alternative but Saving Finance Minister, Janez Šušteršič, is definitely one of the busiest members of the current government.

At the same time, due to the crisis and austerity measures, he is logically being criticised by the unions and the opposition. They state that austerity measures are too radical, that they hurt the economy and accuse him of a “neoliberal” approach. In recent weeks, Šušteršič has withdrawn the proposal to increase VAT on some services and instead will raise duties on alcohol and tobacco and implement a new law on sweet drinks.

By Tilen Majnardi, M. Sc. Firstly, what is your comment on, to put it mildly “suspicious complications” around the signatures for the two referendums for a “bad bank” and a state holding. This is definitely not helping resolve the ”political crunch“, restore trust between social par t ners and improve the general image of Slovenian politicians.

It is important that the error in trade union signatures was recognised and it is the fact that the error was recognised that should raise, not reduce, the credibility of the authorities - if, of course, a mistake would not be imme-

diately m isused for polit ical charges. How the error occurred and who was responsible for it was under investigation by the competent authorities. However, this is not the main reason for the persistence of the opposition and trade unions for the referendum. The opposition motives are purely political, but trade unions motives are a mixture of fear of privatisation and misunderstanding the laws. The government was always ready for interpretation and compromise but we cannot agree on the requirement that the laws are written from scratch and with a completely different concept.

Will the processes connected to the bad loan problems in the banks and improving the management of the state owned companies somehow continue despite the referendum blockade? How will you do that? Probably you will not just wait for the referendum results and hope that the public will come to their senses and be rational on the referendum day?

The Government isseeking to avoid referendums at the Constitutional Court and if allowed, to convince people in the correctness of the approach. In the meantime we will of course do all we can for the stability of the banking system but our tools for this are very limited.

An important part of very of ten also excessively demagogic criticism, is directed to the alleged sale of state owned companies which, according to the opposition, will follow the adoption of the bad bank and state holding laws. What guarantee do we have that this will not happen?

The law on the ‘bad bank’ is not related to privatisation. The law on SDH would simplify procedures although privatisation

The Slovenia Times

ECONOMY 19 is also possible under the current regime. Above all, the law on SDH defines the required consent by Parliament to sell the state’s shares, which is of course the greatest possible guarantee against irresponsible decisions if they would just be left to the SDH. Until now we just haven’t seen a credible and clear strategy which will define what will potentially be sold, under what conditions, to whom and what the so called strategic sectors are?

This kind of transparency would definitely raise the level of trust between people and credibility amongst foreign investors!

The decision of the government was to first arrange a formal framework (SDH) and then prepare the strategy that you mention. Now we may have to reverse the order and implement the strategy within the existing institutions.

A key part of the Slovenian public agrees that the austerity measures are necessary but still there is a significant opposition who are convinced that the austerity measures are “too radical” despite the fact that although the adopted measures will be super effective, budget expenditure will still exceed revenue by more than EUR 1bn? How can we overcome the current logic that continuous spending exceeding revenue is normal or even good?

It is very simple. We are in a situation where a larger than expected deficit cannot be financed.

If we keep the deficit and the speed of debt rising at the level of previous years, no one will lend us money any more. If, instead of expenditure saving we raise taxes, we would further hurt the already weak economy. Simply there is no realistic alternative but to save.

and on the other they don’t credit good companies, make a business loss and claim that minimal taxation of financial services would push them into bankruptcy. In recent years the banks have made a lot from the financial restructuring of companies that are their biggest debtors but they just did not know how or did not want to do it. Of course, the Bank of Slovenia also failed to deliver since it was unable to force them into active resolution of non-performing loans. Our proposal of a bad bank that takes over the claims of the most problematic borrowers, allows us to address both problems simultaneously - improve bank balance sheets with the acquisition of non-performing assets and at the same time begin the pro-

cess of companies deleveraging with active measures by the bad bank who is now a new dominant creditor.

W hat can ge ne rate ne w growth in Slovenia, which sectors, products, services? We are not just in a temporary crisis, this is the new reality to which we must adapt. What are the new ideas, instruments that will push the economy out of the red, sticking to old recipes will just not work? Do we (not just in Slovenia but the whole EU) understand the scope of the problem and do we have the right solutions?

Searching for new sectors, products, services is not a task of the Finance Minister or the government but of entrepreneurs and owners.

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If we are frank, resolving the “credit crunch” is just the tip of the iceberg in Slovenia. As the new head of Nova Ljubljanska banka said recently the real problem is a “capital crunch” in the majority of the Slovenian companies. Even if banks were in normal shape, the companies (not just state owned) are just not “fit” to get new loans, they don´t have prospective and profitable projects, they are critically undercapitalised, uncompetitive, poorly managed... This is the real problem of Slovenia, do you have a solution for that?

The problem is on both sides and it is not right that the banks keep trying to avoid responsibility for the credit crunch. Nor it is logical that on the one hand they ensure that they have enough money Winter Edition 2012

20 ECONOMY

Interview: Marjan Hribar, M. Sc., Director General, Tourism and Internationalisation Directorate, Ministry of Economic Development and Technology

Let’s Talk About the Quality of Investors, Not the National Origin of Capital Marjan Hribar is a “constant” at the Ministry of Economic Development and Technology. Until this year he primarily worked in tourism promotion and the development of the sector which, despite the crisis, proved to be one of the most solid parts of the Slovenian economy. From this year he is in charge of the Tourism and Internationalisation Directorate and responsible for the overall promotion of Slovenia, foreign investment and internationalisation of Slovenian economy. He established a new concept for the promoting of Slovenia in the framework of the new “SPIRIT” agency that combines tourism, corporate promotion, promotion of entrepreneurship and technological development.

By Tilen Majnardi, M. Sc. T he gover nment recently approved the establishment of a new agency for promoting Slovenia - SPIRIT, which will bring together the existing agencies for tourist promotion (STO), corporate promotion (JAPTI) and technological and innovation promotion (TIA). How will you ensure that this will not be just another cosmetic reorganisation? From past experience it is more than clear that the main problems lay in capability, skill, attitude and not primarily in ineffective organisation?

In this process we want to achieve both greater efficiency and rationalisation. We want to use the good practices from each of the agencies to build a new organisational culture, primarily we want to establish a strong, credible point of entry into the Slovenian economy, this is the key idea.

Will the reorganisation into the SPIRIT agency be supported by a clear and credible strategy, operational projects and understandable content defining what the agency will be able to do? Historically, credibility was the biggest problem of Slovenia, it often happened that we promised or promoted a lot of things, we talked about different projects, strategic partners for some state owned companies etc...

In the majority of cases potential investors lost interest because of excessive politicisation of every project, investment, takeover....

Promotion was just not supported by an operational and politically approved action plan?

The Slovenia Times

We wish, of course, the most direct cooperation and communication between SPIRIT and economic policy, not just government but also with the policies of the real sector. To achieve this we adopted an overall strategic and operational document, “International Challenges 2013”, where representatives of the government and the economy unified about key markets that will be approached next year. SPIRIT will be the key institution for the implementation of these goals and activities. I must emphasize that the expected composition of the agency council will bring responsibility to both, representatives from companies, the real economy and significant responsibility for key ministries involved in the internationalisation of the Slovenian economy.

Will for ming this agency end the ongoing conflict between the Ministry of Foreign Affairs and the Ministry of Economy regarding the “ownership” of the economic diplomacy policy?

From the outside, this dispute seems really strange given that both ministries exist within the government?

The fact is that we have quite a large number of institutions that deal with the internationalisation of the Slovenian economy. SPIRIT will definitely be an implementing institution, not the main coordinator or policymaker. This role will be held by the Strategic Council for Economic Cooperation with Foreign Countries, chaired by the Minister of the Economic Devel-

opment and Technology and attended by the Minister of Foreign Affairs. I think that we came to a good agreement about the role of certain institutions and the system of work. I´m very happy that our colleagues from the Ministry of Foreign Affairs are prepared to do the best they can for the promotion of the Slovenian economy. We have adopted clear project organisation, each project will have an appointed coordinator so there will be no room for misunderstandings.

Short term, Slovenia can boost growth only through penetrating new markets with existing product and service structures. Recently the government adopted short term priorities which include markets like China, Turkey, Kazakhstan.... What will the operational activities be in these markets, how will you organise urgently needed “follow up” activities, traceability, the performance of various visits?

Previously we saw alot of flying around the world with little or no success or results?

Firstly I would like to say that I basically agree with you. In the past we were not very successful in defining the goals and monitoring the results of different projects, activities... Because of that we highlighted six key countries in our “International Challenges 2013 Plan”; we will focus on China, India, Azerbaijan, Turkey, Kazakhstan and the Russian Federation. We assessed that Slovenian companies know very well how to establish cooperation, find busi-

ness contacts in the EU and in the countries of the former Yugoslavia; of course we will not neglect these markets. The criteria why we chose the aforementioned key markets are: size, past and expected growth

ECONOMY 21 and last but not least – those countries are so called “government driven countries” and they need or are used to having a strong public sector or government partner on our side. About responsibility for follow up activities, every ministry will have to play their role and provide clear and updated input about projects, companies, conditions, the latest information... Very important will be the cooperation and the input from the new State Sovereign Holding which will manage the state owned companies.

Will the new agency ef ficiently connecting the promotion of public and private projects, companies, opportunities register all possible project at the local and state level? Until now the promotion of Slovenia has been just too passive or oriented on general promotion, we were waiting for investors instead of searching for them?

Absolutely, this is one of the basic goals of the new agency. The absolute responsibility for the promotion of foreign direct investments will lie with the SPIRIT agency.

From different economic chambers, local communities, state institutions we expect up to date information about all sorts of projects. SPIRIT will become the single entry point, a one stop shop for all investors, greenfield, portfolio...

We talk alot about the credit crunch in the Slovenian banking sector but at the same time as big a problem is the capital crunch.

Companies are critically undercapitalised, they don´t have adequate assets for development projects, new products. Short term they urgently need liquid funds primarily for refinancing old debts. One solution is definitely to attract more foreign capital but, as we know, we still don´ t have a clear operational strategy for attracting and implementing FDI. As a result, we are faced with the constant politicisation and failure of projects. When we will see the strategy which will answer how, what, under what conditions we sell something or what kind of partners we will cooperate with on new projects?

For example, the latest open “political” question is the possible takeover of Ljubljanske mlekarne

by Lactalis. Again we are talking about an undefined “national interest”!

From the point of our jurisdiction I would like to send a very clear message: Slovenia can develop only as an open economy. I think that this theme - do we need or want foreign investors - should not even be open and on the table.

I think that we should talk about the quality of investors, not the

national origin of capital. Personally, I am very happy that such a renowned group as Lactalis decided to enter the Slovenian market, I´m sure that they considered this move very precisely. I´m also sure that they will continue to cooperate with local milk suppliers. I would like to see more of such investors in Slovenia. I must again point out that we must talk about the quality of investors not about the national origin of the capital.

One of the sectors which is statistically in relatively good shape, in spite of the crisis, is tourism. Despite the favourable statistics which count overnights stays, arrivals in the country, etc ..., we see that situation in tourism companies show quite a different situation: a lot of them at borderline liquidity. Our traditionally strongest destinations are in stagnation, development projects are more or less on hold because of a lack of fresh capital, there is little or no comprehensive destination management, innovative thinking, let me list only the most obvious examples: Bovec, Bled, Bohinj, the Slovenian coast ...?

We are aware of these problems, certainly the statistics shows that Slovenia is an increasingly popular destination, also general tourist income shows that tourists spend more and more in our country. But for the better performance of the industry we need to raise efficiency, productivity, innovation, specifically as we face yet another major problem: many companies are owned by financial holding companies, they in fact demonstrate positive revenue growth, cost of labour, materials and depreciation are under control but sky high are the costs of financing! This means that these companies became cash cows for their owners which are draining the accumulation to cover their failed financial investments from the past. Therefore, I strongly disagree with those who say that Slovenian tourism creates a loss in core operations. But it could easily happen that we will see a decline in the future because those companies are just not able to invest in new quality, new services.

In Sl o ve n i a we h ave a problem with the integration of various projects and finding synergies, consequently the development potential is too fragmented around different projects and locations. For example, recently Slovenia signed the contract to build the South Stream Pipeline but due to lack of credible and up to date information it has already stirred many questions in the local community.

Will we use and upgrade this

project with additional projects that will bring additional benefits for the local communities and the economy in general? Will our companies be integrated in this huge building operation. Are we able to define, for example, parallel investments in new road infrastructure, upgrading tourist facilities in Kranjska Gora in conjunction with the Nordic Centre Planica? Someone could even ask why we are not planning to rebuild the railway to this popular Alpine region and further to Italy, will we start a second tube tunnel in Karavanke, build a normal road over the Vršič pass? Are we bold and innovative enough in our plans?

At our ministry we have already prepared a response to the Mayor of Kranjska Gora. As an expert in this field I would just say that I am well aware of the scope of the open issues. We must also all recognise that Slovenia signed the Alpine Convention which is very clear about activities affecting the environment. This project will be approached very carefully from all perspectives, sustainable tourism development, energy, in the economy as a whole we must find a compromise that will satisfy all interests. Surely technology, technical knowledge and know how enables the pipeline to be built underground, as I know that is the basic plan. We estimate that this will be a very good opportunity to derive other projects, infrastructure. This is a unique development opportunity and I am convinced that the South Stream Pipeline can bring a lot of positive things, especially for local communities.

Let me finish with the most recent issue. Just few weeks ago the first stage of the biggest event in Slovenia took place - the draw for the European Basketball Championship in 2013. How will Slovenia use this event for comprehensive promotion?

I´ve followed the project from its initiation when I was only in charge of the tourismpromotion and development in Slovenia. So far we have participated in the candidacy, trying to effectively combine a tourism and sporting event.

But I must point out that often our expectations are too high. For example, the last championship in Poland failed to meet expectations and we must analyse why only Slovenia was prepared to invest in the organisation of this event. Definitely things are not optimal and shiny but I think that Slovenian economy must make the effort on their own to use this event for promotion, for inviting partners and show that Slovenia is a country open for business.

Winter Edition 2012

22 ECONOMy

Polymers

Valuable Partnership In partnership with the City of Akron, the Akron Global Business Accelerator (AGBA), and the Slovenian Government, the Center of Excellence for Polymer Materials and Technologies (CE PoliMaT) announced at the end of November the opening of its U.S. Innovation Headquarters and the formation of the science and technology bridge between Slovenia and Akron, Ohio. These headquarters will enable Slovenian companies to test the U.S. marketplace.

T

he deal brings together the Austen BioInnovation Institute in Akron with the Center of Excellence for Polymer Materials and Technology (PoliMaT).

Leaders from the groups entered a memorandum of understanding to work together on commercialization and job creation in Akron and Slovenia.

The Slovenian initiative is similar to Akron’s BioInnovation Institute, founded by Akron’s three hospital systems, the University of Akron and Northeast Ohio Medical University to promote research, education and job creation focused on polymers and medicine.

“I look forward to us working together on jobs and solutions for both Akron and Slovenia,” said Frank Douglas, chief executive of the BioInnovation Institute.

Slovenia’s polymer companies are strong in the areas of adhesives and paints, said Mateja Dermastia, chief executive officer of CE PoliMaT. By working with the Austen BioInnovation Institute in Akron, “the opportunities to diversify these companies in the medical industry are very strong.”

Visit exchanges

The growing relationship between Slovenia and Akron started in the spring, when Jurček Žmauc, Consul General, Consulate GenThe Slovenia Times

eral of the Republic of Slovenia in Cleveland, toured Akron as part of a group visit from the Chicago International Trade Commissioners Association (CITCA). Northeast Ohio has one of the world’s highest Slovenian populations outside Slovenia.

“The state of Ohio is very important to Slovenia,” Žmauc said.

The positive impression of Akron’s strengths and capabilities brought about an invitation to Akron leaders - Mayor Don Plusquellic, Deputy Mayor Bob Bowman, Councilman Garry Moneypenny, and AGBA Director of Entrepreneurial Services Dr. Anthony Margida - to visit Slovenia in September. The trip resulted in an agreement between the Technology Park Ljubljana in Slovenia and the Akron Global Business Accelerator to work together. The parties also set the foundation for a bilateral science and technology bridge.

“Our goal is to assist Slovenian companies in commercializing their products, which will lead to sales, marketing, distribution, manufacturing and ultimately jobs for our citizens and the same for the citizens of Slovenia,” noted Mayor Plusquellic.

Akron officials have said Slovenia is often overlooked because of its small size but it has one of the highest education rates in the

globe and a strong focus on research and development.

Sealing the existing cooperation

The opening of the office just confirms the work between the partners that’s already been well under way. In recent weeks AGBA conducted a US commercialization workshop for CE PoliMaT and initiated collaborative meetings with the University of Akron

School of Polymer Science and Engineering, as well as holding technically exploratory sessions with Akron General Medical Center, NEOMED, and Children’s Hospital.

“In three years of its operation, Center of Excellence PoliMaT has developed valuable innovations by bringing together the dispersed competencies of its founders and partners, namely institutions and companies from Slovenia engaged in polymer science and technology, as well as partnering institutions from abroad,” said Dermastia.

“The aim to internationalize and expand collaborations has led CE PoliMaT to Akron, Ohio - the world capital of polymers. Our objective is to support the technology bridge between Akron, Ohio and Slovenia, by jointly developing knowledge and seizing the opportunities for economic development of both regions. We look forward to future collaboration with our partners in Akron and would like to express our gratitude for all the support we have received, especially by the City of Akron, Akron Global Business Accelerator, Austen BioInnovation Institute in Akron and University of Akron.”

READY FOR THE SMART CITY In collaboration with Hella Saturnus Slovenia, Envigence d.o.o. is building a network, which represents an important step in building a Smart City.

The basic element of network which will store information is the new street light EN_LED which is a result of Hella’s production. The light which is ready to build a Smart City.

What is a Smart City?

Smart City is the environment supported by state of the art technologies of smart building blocks and artificial intelligence, the environment which is man, nature and technology friendly. The environment which encourages innovation, new social and business challenges, as well as the environment which is an example of a new paradigm – symbiosis between man, society, nature and technology.

What does Smart City bring to its residents?

Smart City adapts to the needs, wishes and characteristics of the individual with a goal of increasing the quality of living. There are many modes of interaction and communication with the Smart City. The most significant connected to the network of smart street lights are the following: Monitoring How much energy do lights consume? How much money have we saved? What is the forecasted consumption for the next days? What is the state of the infrastructure when the sensors on the water supply, sewage and heating network are connected to the network?

EnvIgEnCE EnvIROnMEnTAl MAnAgER. Interaction Reducing brightness around housing, switching motion sensors on and off, sending data about errors and events in the proximity through various devices, as well as communication and management of remote devices connected to the network are only some of the activities that affect an individual in the Smart City.

Interaction influences the operation of the Smart City.

EnvIgEnCE EnvIROnMEnTAl MAnAgER+.

Independent decisions of the system Management and traffic control, where the system automatically carries out optimization, deciding on the most optimal use of energy resources, adapting to the functionality of the user’s wishes, needs and characteristics, predicting the occurrence of complex events, warning of projected errors and problems are only some of the skills of the Smart City.

By integrating smart devices into cognitive network capable of learning, memorizing and reasoning, we’re establishing a city which is not only smart, but is also capable of understanding events.

Envigence Cognitive Infrastructure.

“We are ready, we made a light, which is one of the elements of the Smart City,” say Envigence and Hella Saturnus. “We are ready for the Smart City.”

ENVIGENCE d.o.o.

Velika pot 15a, SI-5250 Solkan info@envigence.com www.envigence.com

Hella Saturnus Slovenija d.o.o., Letališka cesta 17, 1000 Ljubljana Tel.: 01 520 33 33 info@saturnus.hella.com www.hella-saturnus.si

24 ECONOMY

Interview: Vojmir Urlep, CEO Lek, d. d., a member of the Sandoz Group, Slovenian Manager of the Year 2012

We are Getting Closer to Curing Most Diseases At the end of September 2012, the Management Board of the Manager Association awarded Vojmir Urlep, CEO of Lek, a member of the Sandoz Group, the title of the Manager of the Year for 2012.

Slovenia’s pharmaceutical industry, in his opinion, is at the very top on a global scale. Urlep, who turned the Slovenian pharmaceutical company into the largest development centre within Sandoz, accepted the award as a recognition given to all employees and their knowledge and daily efforts. According to him, we are getting increasingly closer to making most diseases curable.

By Blanka Markovič Kocen, Photo: Lek archives What is the business environment globally compared to that in Slovenia? What can we learn from other countries?

That is quite a complex and broad issue. The rules of the game are definitely much more stable and predictable in the international business environment than here. On the other hand, the international business environment allows you to encounter different business practices, cultures, expectations and a different kind of competition and you have to adjust to all that if you want to succeed. In addition to multiculturalism, other countries can teach us that without knowledge and the relevant added value of products you simply cannot compete with rivals on equal terms.

W hat specific knowledge and especially character traits are required for working in one of Europe’s largest companies?

Novartis, similarly to the rest of the pharmaceutical industry, is based on extremely demanding knowledge from the fields of chemistry, pharmacy, medicine, biology and some other disciplines, making the industry increasingly interdisciplinary. The regulatory requirements the industry must comply with are increasingly stringent. Many more studies must be conducted today than several years ago to demonstrate the safety, efficacy and quality of a product. These stud-

ies cover numerous areas that in the past may not have been very present in the industry itself; hence the advent of new knowledge that must be gained and developed if one wants to meet expectations.

You have two master’s degrees, in economics and pharmacy. Which area is closer to you?

It is difficult to say, but given that I have never really worked in my primary profession as a pharmacist, we might say that I’m closer to the field of management and, perhaps, to the area of marketing, within management where I have actually worked for most of my career to date.

What, in your opinion, are the characteristics of a good manager?

First and foremost, a vision. A good manager is able to predict the direction the industry will be taking and know how to translate that into action plans and the very strategy that the company will follow or even the trends it will be dictating.

Where does Slovenia’s pharmaceutical industry stand compared with the rest of the world?

At the very top. Of course, we have to be aware that the Slovenian pharmaceutical industry is restricted to the manufacture, development and marketing of generic drugs, the complexity of which does not lag behind the

In addition to multiculturalism, we can learn from other countries that without knowledge and the relevant value added to products we simply cannot compete with rivals on equal terms.

By decoding the human genome and finding out what role individual genes play in certain conditions and how we can control their functioning, we are getting ever closer to making most diseases curable, although it is difficult to estimate when that will happen.

The Slovenia Times

ECONOMY 25 How do you feel about the Manager of the Year 2012 recognition and what, in your opinion, did you do to earn it?

This is primarily a recognition of all the employees of this company, as without all their knowledge, experience and daily efforts the results, as the basis of this recognition, would not have materialised. I see it as the ultimate recognition of how successful we can be with our own knowledge, even within one of the world’s largest companies and in one of the most demanding industries.

This recognition opens up additional opportunities to share our results with the general public, a relatively tall order in this country, which has of late been more accustomed to hearing bad news about scandals and similar stories.

original drugs when their quality and safety need to be proved.

The fact is that many Slovenian experts move abroad – the so-called brain drain. Is this also happening in the pharmaceutical industry and how can we keep pharmaceutical experts in Slovenia?

This is a two-sided problem. On the one hand there is a spontaneous, uncontrolled outflow of personnel; on the other, if we only look at our own example, there is a planned outflow as professionals take career development opportunities offered by a large globally functioning system such as Novartis. They move to important and challenging positions within the Group where they can gain additional skills and experience. Of course, we hope that most of these people will return to Lek and use their new experience and knowledge to further contribute to the future success of the company.

Are there Slovenian students who have graduated or received their master’s or even doctorate degrees abroad but have returned to Slovenia and have you been contacted by any of them?

Of course, we also have quite a few Slovenian employees who either studied abroad or were looking for job opportunities abroad after completing their studies but have since returned to Slovenia.

In other words, it is not a one-way path that only leads our professionals abroad. However, their return depends on whether Slovenia can offer jobs that are appropriate and sufficiently challenging for them to return from a foreign environment.

Do you, perhaps provide scholarships to Slovenian undergraduate and postgraduate students abroad?

Generally speaking, no. However, I have to say that we have a highly diversified internal education system: as a company, we cover the cost of education of our professionals in various fields abroad, whether as part of Novartis programmes or programmes provided by recognised education providers.

To what do you attribute Lek’s extremely good business performance?

I assess our performance as decent given the circumstances in which the industry, as well as other industries operate: a global financial and economic crisis, which is still in progress and whose end is not yet in sight.

Our performance is based on the unique knowledge and rich experience of our employees and in particular, on the fact that we all understand very well what our goals are and what needs to be done to achieve them.

was still an independent company and I was in the capital, Lomé, where I was a guest of the representative of the former Yugoslav company Genex, through which we were trying to penetrate the African market. One Sunday my host said he had a surprise for me, without giving me any hint about what it was. At the local beach, if you can call it that, in front of a local restaurant I noticed six children with a complexion that was slightly less dark... it turned out that the owner of the restaurant was a Slovene, who had spent 17 years in the Foreign Legion but when he left it, he settled in Togo and married a local woman and I believe I was one of the first Slovenes he met in Lomé.

How far do you think pharmaceutical science will reach?

Will we eventually kiss all diseases goodbye?

If we go back to the vision dimension, then this will probably happen at some point. Not only will we kiss them goodbye but I would say that we will be able to prevent most of them. Medicine will increasingly be moving toward disease prevention. Of course, if preventive measures are not sufficient, there will still be the traditional field of disease treatment but with new insight, such as the decoding of the human genome - by finding out what role individual genes play in certain conditions and how we can control their functioning, we are getting ever closer to making most diseases curable, although it is difficult to estimate when that will happen.

Have you met our fellow countr ymen , perhaps even in leadership positions, on your visits abroad?

I have met Slovenes almost everywhere, not just on my business trips but also on my private journeys, whose destinations have been somewhat more exotic than those of my business trips. I can say that there is almost no place on earth where I would not find a fellow Slovene, even in the most unusual places in the world. I remember Togo many years ago.

It was a business trip, when Lek Winter Edition 2012

26

CompanY

NEWS

source: STA, Slovenian Press Agency

Banking

Logistics

NLB with loss again in 2012

Intereuropa’s Russian Subsidiary Sold to UniCredit

NLB bank Chairman, Janko Medja, stated that Slovenia’s largest bank would post negative results for 2012 as additional impairments are expected. “This means the bank will require certain measures, a recapitalisation or something else”. The bank will maintain its capital adequacy while the “area of liquidity is without doubt... under control”. Weighed down by a portfolio of bad loans, NLB is working hard on addressing the bank’s bad assets, said Medja, who took over in October after serving as NLB’s chief supervisor. He does not see things improving considerably in the near future, but he expressed hope that the bank will be able to bring the situation under control over time. But mopping up the bank’s balance sheet will be considerably faster if a systemic solution is applied, he added. He stressed that the deleveraging of the Slovenian economy could last at least five years, adding that he hoped that businesses would realise that the process will have to be accelerated by looking for fresh capital at home or abroad. Regarding contingent convertible bonds from the last round of recapitalisation, he said he could not guarantee they would not be converted into capital. “It is vital that in December all efforts are invested into capital adequacy”. NLB will be seeking a new EUR 375m capital injection at a shareholders meeting called for 29 December. The bank said the proposal was a “precautionary measure” in case of a negative turn of events “in economic and other areas”. Regarding the poor heath of the Slovenian banking system, Medja said certain things would have to be clarified before things can move on. “This matter will not be forgotten but things will not be done publicly as this hurts the business”. He added that the bank actively cooperated with authorities conducting investigations in the bank. He also commented on the constitution of NLB’s management board which is currently only two members. “I am certain we will find (suitable candidates) and that the entire team will be ready by the end of March 2013”.

Banking/Insurance

NKBM Launching Exclusive Talks on ZM Sale Slovenia’s second biggest bank, NKBM, has decided to start exclusive negotiations for the sale of its 51% stake in insurance company Zavarovalnica Maribor (ZM) with reinsurance company Pozavarovalnica Sava. The deadline to close the deal is 21 December. Pozavarovalnica Sava already holds nearly 49% in ZM and was the only confirmed bidder. Unofficially, Austrian insurer Grawe also vied for the stake in ZM, while Slovenian financial holding KD Group submitted two unbinding bids.

Sava Re, the group around Pozavarovalnica Sava, has said that the acquisition would be funded by internal sources and fresh capital that is to be collected in a recapitalisation. Pozavarovalnica Sava called a shareholders’ meeting for 11 December at which the owners will vote on the proposal to increase the company’s assets by EUR 32.8m to EUR 71.8m.

Up to 7,857,143 fresh registered shares are to be issued priced between EUR 7 and EUR 9. If the deal goes through, Sava Re will become one of the leading reinsurance groups in the Western Balkans, Pozavarovalnica Sava says. The group holds a 100% stake in Zavarovalnica Tilia. But if reached, the deal will have to be approved by the Agency for Insurance Supervision and the Competition Protection Office. By selling the stake in Zavarovalnica Maribor, NKBM will improve its capital adequacy. The goal is to guarantee at least a 2% ratio of Core Tier 1 capital by the end of the year. The bank moreover plans to carry out a capital injection. However, NKBM CEO, Aleš Hauc, stated that if the bank “successfully carries out the sale of Zavarovalnica Maribor and the repurchase of the subordinated debt (through the issue of the CoCo bonds), there will be no need for a fresh capital injection”.

The Slovenia Times

Logistics group, Intereuropa, has sold its Moscow-based subsidiary, Checkovskiy, to Russian company, UCTAM LLC RU, which is owned by Italy’s UniCredit bank. The EUR 45m sale was a major breakthrough for the logistics group as the Russian venture nearly ruined the company due to huge cost overruns. Previous reports suggested that Intereuropa would get EUR 50m from the sale of its stake in Intereuropa East and the Checkovskiy logistics centre, which is EUR 94m less than it spent on the investment. The sale enables the creditor banks to conduct a debt-to-equity conversion on a part of their claim from Intereuropa, which will mark the end of the financial restructuring with the banks becoming the majority owners. Intereuropa labelled the end of the financial restructuring an important step toward securing the financial stability of the group, which

now plans to refocus on providing logistics services to the region of south eastern Europe. The news comes two weeks after the Supervisory Board of the logistics group backed management plans to sell the subsidiary. The sale is “a major step towards the financial restructuring of the company,” Chief Supervisor, Bruno Korelič, told the press. Proceeds from the sale will go to creditor banks, cutting the net financial debt of the logistics group from EUR 162m to about EUR 120m. Intereuropa was hit hard by the economic and financial crisis and posted losses between 2008 and 2011, its balance sheet was additionally weighed down by loans for its Russia venture. It has been forced to restructure, which included selling several foreign subsidiaries and the trucking division. In the first nine months of 2012 it posted EUR 142m in sales, 2% below plan with operating profit of EUR 14m and net profit of EUR 7.2m.

Logistics

Luka Koper Posts EUR 8.3m JanuarySeptember Net Profit The group around port operator, Luka Koper, posted operating revenue of EUR 108.1m for the first nine months of 2012, up 2% year-on-year but 3% below plan. Net profit surged 168% to EUR 8.3m year-on-year and was 18% short of expectations. In the January-September period, the group generated EUR 14.8m in operating profit, down 7% compared to the same period last year. The company attributes the downturn to an increase in operating expenses including higher costs for services and impairments. Based on the nine month results, Luka Koper’s management estimates that economic conditions in key hinterland markets have yet to show signs of improvement.

“2012 may fall short of expectations, particularly in general and break bulk cargo as well as container freight”.

In addition, return on sales will also continue to be impacted by increases in energy costs, in particular diesel, as well as higher maintenance costs.

“These risks are actively managed by marketing activities and efficient cost management”.

COMPANY NEWS 27 Food

Automotive

Mlekodel and Lactalis Fighting for Ljubljanske Mlekarne

Hidria Strikes Cold Ignition Systems Deal with PSA

Mlekodel, a milk trading company, will continue its efforts to obtain a majority stake in the Ljubljanske mlekarne dairy on behalf of Slovenian cooperatives, despite the agreement reached between the dairy and Mlekodel’s French rival, Lactalis.

According to Mlekodel’s Chief Supervisor, Janko Stojkovič, representatives of Mlekodel and Lactalis met last week to discuss the company’s plans for Slovenia’s biggest dairy. “They clearly said that they want to be the sole owner of Ljubljanske mlekarne, that they would be active in the local market...and that they would buy local milk”. Quizzed whether Mlekodel, which published a takeover bid at EUR 6.5 per share on behalf of DBS bank and 35 cooperatives in September, was willing to up its offer, Stojkovič said it was too early to tell as the Lactalis’s bid had not yet been released. “In the event that they publish an offer we will see whether to raise the price,” he noted but added that Lactalis would not include Slovenian producers in the management of the company, while the French dairy also failed to agree to any long-term commitments regarding the purchase of milk. “Considering the fact that they already have companies in Italy and Croatia, it is clear that they need quality resources,” Stojkovič said, but wondered at what price would Lactalis be willing to buy Slovenian milk, which is above EU average in quality. “It’s a fact that they would get the purchase money back from milk prices to ensure adequate profit.” Vrisk, who pointed to the quality of Slovenian milk, moreover expressed doubts that anybody from abroad “would act for the benefit of local people and keep local jobs”. Mlekodel’s September takeover bid for Ljubljanske mlekarne was unsuccessful, as the cooperatives only managed to acquire 4.44% of all shares of the dairy to up its stake to 36.41%. Lactalis meanwhile reached an agreement with the shareholders of Ljubljanske mlekarne for a 50.3% stake in the company.

Industrial conglomerate, Hidria, will start developing cold ignition systems for EURO 6 diesel engines for PSA, one of Europe’s leading car makers.

The components are to be installed in new generation diesel engines used in many popular models by Peugeot and Citroen, as well as Ford, Jaguar and Land Rover. The deal is worth a total of EUR 25m, Hidria’s Car Industry Institute Head, Rudi Kragelj, told the press. He expects the company will triple its production by 2020. CEO, Iztok Seljak, told the press that the cold ignition system being developed by experts at subsidiary Hidria AET is characterised by high energy efficiency and low emissions. “PSA Peugeot Citroen gave us an opportunity in 2004 by entrusting us to develop solutions for the Peugeot 207 steering system. Based on that excellent experience we are now upgrading our cooperation”. Seljak moreover said that Hidria plans to become the leading producer of steering system solutions in Europe within five years. Boštjan Bratuš, the Vice Chairman of the Management Board, told the press that the company had invested around 15% of its annual revenue in R&D over recent years.

Bratuš added that the company’s results reached pre-crisis levels in 2010.

In the next five years the company plans significant investment in the production of engine ignition systems. In January, the company will also launch a technology centre in Koper which will employ some 30 people. The investment amounts to around EUR 3m. This year, the company expects to generate EUR 300m in revenue. In 2012, the company closed deals worth EUR 16m, according to Kragelj. Next year they expect 5%-10% growth.

MEGA WEB PORTAL PRIZE DRAWING

IL’TEsORO (Domžale)

Winter Edition 2012

28 COMPANY NEWS Home Appliances

Bosch Investing in Energy Efficiency

Bosch presented the vacuum cleaner compact class: the stylish MoveOn which has excellent manoeuvrability, more power: new, efficient vacuum cleaner technology for extra thorough cleaning performance, more mobility: the longer cable extends the operating radius by 25%; the 360° ball joint and large back wheels simplify handling, more design: the sporty lines combine with stylish colouring. The new MoveOn from Bosch stands out immediately with its characteristic XXL soft wheels at the rear, the subtly patterned fabric hose and its attractive shape. A power pack with excellent manoeuvrability, the MoveOn is the ideal choice for small to medium-sized homes. Its compact design makes it particularly easy to manoeuvre and whether it’s a threshold or a sharp corner, the Bosch vacuum effortlessly follows its user’s every step. If it has to rotate around its own axis several times in a short period, the 360° ball joint prevents unnecessary tugging on the adapter.

Thanks to its low weight of just 4.6kg, even stairs are child’s play. The operating radius around the socket has expanded by 25% from the previous eight to the current ten metres. And the MoveOn also makes life easier, even after the work is done: its small dimensions mean it can be stored in even the smallest corner of the storage room or cleaning cupboard.

The MoveOn is a big step forward for the Bosch compact class vacuum cleaners. Thanks to the latest vacuum cleaner technology, it operates around 55% more efficiently than its predecessor and delivers an even more thorough cleaning performance whilst consuming some 30% less energy. The Bosch engineers have achieved this by combining the energy-efficient compressorTechnology motor with a specially-designed air duct. On the one hand, the optimised dust chamber facilitates the optimum utilisation of the volume of the dust bag; above all, however, it produces an increased air flow which, combined with the powerful floor nozzle, delivers thorough cleaning results, all at the same time as achieving low energy consumption. This is why it is also part of the Bosch Green Technology programme.

The Slovenia Times

Internet Retail

Energy

Dutch Net Retailer Acquires Slovenia’s Mimovrste

Petrol Aiming to Raise EUR 30M Through a Bond Issue

Dutch internet retailer, Netretail Holding, has acquired Slovenia’s biggest online store operator, Mimovrste. The full acquisition is the biggest investment in the Slovenian online retail sector to date, Mimovrste said. The move comes after Netretail, which runs online shops in the Czech Republic, Poland, Hungary, Slovakia and Slovenia, invested EUR 3m to acquire a minority share in Mimovrste in September last year.

Netretail sees the acquisition as an opportunity to expand its business in Slovenia and the wider region, Mimovrste said, quoting Netretail founder and director, Ondrej Fryc. Mimovrste is the most popular online shopping site in Slovenia according to a recent survey by polling company Valicon. In September, the company said its revenue grew 20% in 2011 compared to the year before when it generated EUR 20m.

Similar or higher rates of growth are expected also in the future.

Energy company, Petrol, has decided to issue EUR 30m-worth of regular five-year bonds to diversify its funding sources and reduce exposure to bank lending. The estimated bond issue comprises 30,000 bonds with a denomination of EUR 1,000, but the company reserves the right to adapt the estimated total nominal value higher or lower. The bonds, which mature in December 2017, will have a fixed annual interest rate of 6% and will be offered mainly to qualified investors.

Footwear

Sport

Footwear Maker Peko for Sale

Elan in Trouble because of State Injection

Peko, the majority state-owned footwear maker, has been put up for sale after the state-run Capital Assets Management Agency (AUKN) reached an agreement with minority shareholders to sell 100% of the company. Expressions of interest are due by 3 December and the entire multi-stage procedure is due to be closed by 19 January, according to the call for expressions of interest. The sale is being rushed to provide much needed working capital for the struggling company and to prevent last year’s EUR 6m capital increase by the state from being classified by the EU as state aid. It is because of that that the prospective buyer will also have to provide EUR 2m in fresh capital but Chairman, Janez Sajovic, hopes for at least EUR 6m to finance emergency investments. Reports suggest five or six potential buyers have already come forward but it remains to be seen how many will respond to the call for expressions of interest, which will be followed by the submission of nonbinding offers. Sajovic told the STA a buyer from the footwear industry would be ideal in order to retain the brand and keep production going.

Peko used to be the market leader in Yugoslavia and a household name but it never fully recovered from the loss of Yugoslav markets in the early 90s. It posted a loss of EUR 2m last year on sales of EUR 17.6m and Sajovic says sales have dropped this year.

Slovenia will dispute the European Commission’s decision that sports equipment maker, Elan, must return EUR 10m from a 2008 state injection that was found by the Commission to have been carried out in violation of EU rules and to have put the company in a favourable position. Slovenia also requested that the European Court of Justice suspend the implementation of the Commission’s decision.

An investigation into the capital injection, which was launched by the Commission in May 2010, found that while the state had majority stakes in all of Elan’s shareholders at the time, a private company operating under market conditions would not have agreed to the 2008 investment.

Since the injection qualified as state aid, according to the Commission, the company was expected to follow EU guidelines and adopt appropriate measures to reduce the impact on the competitive balance on the EU market but Elan failed to do so.

30 DIPLOMATIC SOCIETY

EMBASSY DIARIES French embassy

Finnish embassy

French recognition

Finnish law professor visits Ljubljana

France has decided to honour translator, literary historian and critic, Jaroslav Skrušny, and Aleš Šteger, head of the programme section as part of the European Capital of Culture, with the title Chevalier des Arts et des Lettres for their contribution to the promotion of French culture in Slovenia.

Skrušny received the award for his “outstanding contribution to the development of French-Slovenian relations”, the embassy said. Skrušny translated into Slovenian numerous works by acclaimed French authors, including Jean-Paul Sartre, Andre Malraux, Albert Camus, Georges Bataille, Pascal Bruckner and Stendhal.

For the translation of Stendhal’s “Vie de Henry Brulard”, Skrušny also received the highest prize for translators in Slovenia, the Sovre Prize. Šteger was honoured for “his strong and enthusiastic promotion of French culture” as the programme director of Terminal 12, the international programme section of the Culture Capital, the embassy said.

As an editor at Študentska založba publishing house, Šteger has also promoted the publication of many French authors in Slovenian, the press release added.

The famed Finnish law professor, Martti Koskenniemi, pulled out ducks and rabbits when explaining the interrelationship between international law and politics during his visit to Ljubljana.

“The relationship between international law and politics is the same as the relationship between a duck and a rabbit“, Koskenniemi explained. ”The rabbit and the duck are just in your head! So stop asking yourself whether this is a duck or a rabbit – it is politics and international law at the same time“, Koskenniemi joyfully advised Slovenian diplomats.

On the occasion of the publishing of the Slovene translation of his book The Gentle Civilizer of Nations, Koskenniemi, the leading contemporary international law professional and theorist, visited Ljubljana in November and held lectures at the Slovenian Ministry of Foreign Affairs and at the University of Ljubljana.

In one of the most compelling and important analyses of international law, Koskenniemi combines legal analysis, historical and political criticism of the most dynamic period of international law development from 1870 until 1960 and semi-biographical studies of key figures, including Hersch Lauterpacht, Carl Schmitt and Hans Morgenthau. In March this year, the Slovenian Ministry of Foreign Affairs and Faculty of Social Sciences published the Slovenian translation of his book. The Ambassador of Finland to Slovenia, Pekka Metso, hosted a dinner to honour the professor’s visit with several prominent Slovenian law professionals and academics in attendance.

The Bridge project

Photo: State Department

US embassy The U.S. Embassy supported “The Bridge Project,” an intensive two week workshop on theatre filming, led by the American artists Richard Foreman and Sophie Haviland. Apart from Foreman and Haviland, eight Slovenian actors and one American were part of the project, along with nine technical artists and production team members.

By design, the project includes both professionals and students, so many of the participants worked together for the first time during the project.

Distinguished actors from Mladinsko Theatre, guest directors and workshop leaders cooperated with students on equal terms. However the biggest success was Richard Foreman’s integral role in The Bridge Project despite the fact that he was not able to be physically present at the shooting location. Instead he conducted “video-call directing,” which resulted in a series of very successful takes produced in high grade A/V content.

German Chamber of Commerce Invest in Future At the end of the year the Chamber is happy to reveal its new motto for 2013: “Invest in future”. With this common slogan the Chamber will embrace all its events and other public activities in 2013. In the coming year the chamber will actively cooperate with different external partners to realise numerous projects. Special attention will be paid to different student projects and many workshops such as World Class Manufacturing and Business German Certificates.

The main purpose of all activities joined under the slogan “Invest in future” is to raise awareness of the importance for investment in youth and human resources in companies.

Tomšičeva 3, 1000 Ljubljana Tel.: +386 1 252 88 60 ahk@ahkslo.si, www.dihk.si

The Slovenia Times

French embassy

Festival Director Honoured by France Klemen Ramovš, the founder and director of the Brežice Festival of early music, has been honoured with the French title Chevalier des Arts et des Lettres for his creativity, the French Embassy in Ljubljana said.

The head of the festival, running under the name of SEVICQ Brežice, has shown great enthusiasm and drive for promoting high culture, the explanation writes, adding that Ramovš has also included French artists in the making of the festival.

France wanted to award Ramovš’s artistic creativity, “with which he succeeds in sharing his passion for baroque music with a growing number of listeners”.

British embassy

Low Carbon society in the time of financial austerity In November the British Embassy in cooperation with the Chamber of Commerce and Industry of Slovenia, hosted a roundtable engaging a diverse range of business groups, policymakers and NGO’s. Clare McNeill, a Senior Research Fellow at the Institute for Public Policy Research shared their experience and Alesha De-Freitas, a government policy adviser for climate and energy issues at the Foreign and Commonwealth Office spoke in more detail on the UK approach to green policies.

The Deputy Head of Mission, James Hilton, told the over 60 participants that the UK government firmly believed the low carbon sector provided a strong route toward growth in the EU. He said he was confident that although we lived in difficult economic times, we can face and overcome these tests by looking innovatively into opportunities to pursue a more smart, sustainable and inclusive path to growth for Europe’s economies.

DIPLOMATIC SOCIETY 31 British embassy

Spanish embassy

The Hobbit in Slovenia

Sculpture perfect

The British Ambassador, Andrew Page, attended Slovenia’s premiere of The Hobbit: An Unexpected Journey in Ljubljana’s Kolosej. He welcomed guests and spoke about his fondness for the acclaimed British author, J.R.R. Tolkien. He also shared some movie trivia that the audience may not have known: the music for the film was performed by the London Philharmonic Orchestra and recorded at the Abbey Road Studios in London.

Portuguese embassy

Joint poetry

US embassy

Worldly approach The U.S. Embassy Ljubljana hosted almost 40 World Studies Master’s programme students from the Faculty of Social Sciences. As a part of their module U.S. Studies, students spoke with Ambassador Mussomeli, Political and Economic Section Chief, Martin McDowell, Consular Officer, Nomi Seltzer and Public Affairs Officer, Chris Wurst.

Though the Embassy staff addressed a variety of questions, much of the conversation centered around the U.S. Elections.

Photo: State Department

Anthologies of Slovenian and Portuguese poets of the 20th century have been published as part of a joint project by the 2012 European Capitals of Culture, Slovenia’s Maribor and Portugal’s Guimaraes. The anthology of Portuguese poets in Slovenian language was presented in November as part of the opening of Portugal’s Cultural Embassy in Maribor.

The two anthologies, each featuring 25 renowned 20th century poets, follow in the steps of the unfinished anthologies “Thirteen Slovenian Poets” and “Thirteen Portuguese Voices”, which had been published in Slovenia and Portugal in 2008 and 2009, respectively.

Initiated by Guimaraes, the project was coordinated by Lisbon-based, Slovenian editor, Mateja Rozman and Portuguese poet and writer Casimir de Brito. The anthology presented in Maribor features authors Fernando Pessoa, Sophia de Mello Breyner Andersen, Camilo Pessanha, Mario Sa-Carneiro, Jose Regio, Jose Gomes Ferreira, Jorge de Sena, Carlos de Oliveira, Miguel Torga, Eugenio de Andrade, Mario Cesariny, Vitorino Nemesio, Alexandre O’Neill, David Mourao-Ferreira, Al Berto and Luisa Neto Jorge.

Until 3 January, art lovers will have the chance to enjoy the Spanish sculpture exhibition at the National Gallery (Narodna galerija). The exhibition, which includes a splendid sculpture collection from the 14th to 18th century from the Museo Nacional de Escultura from Valladolid, walks through the heyday of Spanish sculpture.

The exhibition presents 23 sculptures and is divided into six sections: the Medieval World, Castilian Renaissance: Alonso Berruguete, from Renaissance to Baroque; Juan de Juni, and Gregorio Fernández, expansion Baroque in Castile; Gregorio Fernández, Baroque Andalusia; and the early 18th century.

French embassy

In step with the times The French Embassy in Slovenia set up its Facebook page at the end of November. To mark the occasion, the embassy organised a photo competition titled “France in Slovenia - Slovenia in France”. The best photos will receive awards. The competition started on 3 December and will last until 3 January.

Voice of International Business Community American Chamber of Commerce in Slovenia

Finnish embassy

Team Finland – full steam ahead in Slovenia In November the Embassy of Finland organised a successful event for local Finnish companies, Slovenian companies interested in Finland and other partners in the commercial sector.

Esteemed guest speakers at the Finnish Business Club meeting were the Regional Director for Finpro, Jukka Hahlanterä and former Slovenian Ambassador to Finland and the current State Secretary in charge of Economic Diplomacy in the Office of the Prime Minister of Slovenia, Tone Kajzer.

Ambassador Pekka Metso hosted a luncheon which was the opportunity for intensified discussion with Slovenian companies doing business or interested in doing business in Finland and with Finnish companies.

1. Networking 2. Advocacy

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3. AmCham Young Professionals™ 4. International Cooperation For a full list of membership benefits please contact AmCham office: tel. +386 (0)8 205 13 50

. office@amcham.si

Winter Edition 2012

Where excellent marketing and good intentions meet The Slovenia Times

Ljubno in Lj Project Hon Ski jumping is one of Slovenia’s most prominent winter sports. Considered a men-only sport for a long time, recently female ski jumpers are conquering the hearts of Slovenian fans with their numerous successes and their fierce relentlessness. The key breakthrough happened last February when Ljubno ob Savinji hosted the first competition in the FIS women’s ski jumping World Cup. With help from the company, BTC and the extraordinary passion of the locals, the entire country discovered that girls also jump. Without a doubt, such a realisation was also brought about by the superior organisation of this important event.

But the organisers and their supporters will not rest on their laurels. For the coming season, which brings a new World Cup ski jumping competition to Ljubno in February 2013, they have set themselves even greater and bolder goals – as have the Slovenian ski jumpers. An impressive structure acts as a reminder of these goals – a 110m symbolic ski jump which descends from the top of the Crystal Palace building and even from a distance reminds people of the girls’ courage.

Ljubno – the cradle of women’s ski jumping Ljubno is a small town in the Upper Sava Valley located just an hour away from both Ljubljana on one side and Maribor on the other. It is located on the edge of the Alpine foothills and is an entrance to the beautiful valley, Logarska dolina. The town is famous for the untouched nature that surrounds it, attractive tourism offers and hospitable people.

It is also known as the cradle of the rafting trade. The town’s hallmark, known across Slovenia and the rest of the world, is ski jumping which has been a part of the town’s history for more than eighty years.

As the first organiser of the Continental Cup competitions for women, Ljubno has made an extraordinary step toward the recognition of the sport, also at the international level. Countries which are among the most successful in women’s ski jumping chose Ljubno for their first meeting with two goals. First, that women ski jumpers will be able to take part in the World Championships and second, that women will also be able to compete at the Olympic Games. The meeting was successful: women ski jumpers have just started their second World Cup season and will compete at the Olympic Games in Sochi, Russia, for the first time.

“Slovenian Devils” to Fly Even Farther This Year Of course, the ski jumpers themselves have done the most to raise their profile. Slovenians know them as the “Slovenian devils”, reflecting their courage, relentlessness and dedication to the sport. But a part of the credit goes also to BTC who supported last year’s competitions in Ljubno without a moment’s hesitation and plans to do so again this year. Furthermore, BTC, otherwise a long-time sponsor of the Ski and Ski Jump Club Ljubno BTC, took another step to promote the girls, women’s ski jumping and Ljubno – it actually brought Ljubno to Ljubljana.

The Crystal Ski Jump On 1 December lights illuminated the symbolic ski jump which descends from the top of the Crystal Palace building in Ljubljana’s BTC City shopping centre. A 110m long and 90m high ski jump was built (which almost replicates the dimension of the Ljubno ski jump) to show support for the members of the Slovenian national women’s ski jumping team. The symbolic ski jump is also a tribute to Ljubno ob Savinji, a small town of great importance for women’s ski jumping and host of the FIS women’s ski jumping World Cup competitions for the second time on 16 and 17 February 2013.

The people of Ljubno, famous for their hospitality, will tell you that the ski jump itself is not enough to create a nice atmosphere. This is true also of the ski jump in BTC City.

To create a genuinely cheerful atmosphere at the foot of Crystal Palace, BTC has prepared a month full of dynamic activities and events which will bring joy to all generations. The lead-in to the merry month of December was a celebration on 1 December, where the “Mayors of Three Cities” shook hands – the “Mayor” of BTC City, the Mayor of Ljubno, and the Mayor of Ljubljana.

jubljana - an Innovative ouring the Slovenian Devils Magical December in BTC City After an excellent opening event and concert by the band Tabu, the ski jump at Crystal Palace will offer visitors a fascinating programme until the end of 2012: • every day, from 10am till 8pm, visitors may enjoy free sliding with inflatable sleds on the sledding ground and invigorate themselves at the numerous food and drink stands; • adrenaline Wednesdays to challenge the boldest to undertake fun sporting trials between 5pm and 8pm; • lively Fridays with much to offer all types of music lovers with free concerts by popular Slovenian bands between 6pm and 8pm; • family Sundays for our youngest and those young at heart to lose themselves in playful fun between 10am and 12am • The highlight of the holiday season will of course be the traditional arrivals of Saint Nicholas, Santa Claus and Grandpa Frost.

Ljubno in Ljubljana – where marketing and good intentions meet As a sponsor, BTC supports the FIS women’s World Cup competition in Ljubno with marketing and organisation.

Through this support, the company wants to contribute to the further development of the sport. Last year’s World Cup competition in Ljubno saw about 6,000 visitors. In addition, almost half a million TV viewers watched the event on the small screen, comparable to the number of TV viewers of men’s ski jumping World Cup competitions. This year, BTC is trying to upgrade its role as sponsor of the ski jumping event in Ljubno. It has developed a unique and innovative project, a result of the common interest of Ljubno, the organisers of women’s ski jumping competitions, the Slovenian Ski Association, the girls from the Slovenian national ski jumping team and BTC. “As a sponsor of the World Cup event in Ljubno, BTC is proud to contribute to the top-notch organisation of this prestigious event. Since the organisation of the first World Cup event in Slovenia, we have made significant steps in the right direction. If last year we succeeded in our quest to bring this sport closer to the general public with our innovative approach, this year we are making another big step forward with this new and challenging project “Ljubno in Ljubljana”. With this project and the success of our “Slovenian devils” we have proved that we are more than ready for new successes,” says Jože Mermal, President of the BTC Management Board, during the opening ceremony of “Ljubno in Ljubljana”.

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concert Rok'n'Band SAS with guest Neisha Ljubno presents Christmas concert with Santa concert Črna mačka concert Zlatko and friends Dedek Mraz and Cizamo theater Winter Edition 2012

34 CULTURE

Interview: Karen Mežek Hunt, Writer

Rumpole Family is Coming to Slovenia Karen Mežek Hunt is an American writer and a good friend of Slovenia. Her love of our Alpine valleys and lakes dates back to her childhood when she visited for the first time and stayed here in many ways until this very day. The first book “Christmas at Rumpole Mansion”, one of three from the Rumpole series has just been published in Slovene by the publishing house, Ebesede. A Christmas story with a nostalgic touch is the perfect telling of friendship and appreciation that we owe to each other. of detail. Children can look at the pictures over and over and always find something new. In a world with so much sorrow and violence teaching our children to love and appreciate each other is crucial.

Your life is partially connected to Slovenia and you have spent quite some time under the Alps. What brought you to our part of the world?

Surprisingly, I first came to Slovenia when I was ten years old and I loved it and remember it quite well. Growing up, I was fortunate to travel the world as my father is a writer who wanted to give his family the experience of learning about many different cultures. When I was eighteen, my family found ourselves once again at Lake Bled, staying in the camp ground. I really fell in love with Slovenia at this time. Amazingly, I married a Slovene singer and my daughter, Katja, is half Slovene.

You’ve experienced life in Europe and now you live and work in LA. How would you compare the two continents and their lifestyles?

I have lived in England, Slovenia, Switzerland and France and have travelled off the beaten track. I have learnt, no matter where you live, happiness is found within yourself. Having said that, I appreciated the slower European lifestyle, the history and culture, being able to travel short distances and find oneself

Christmas at Rumpole Mansion

Božič v dvorcu Rumpolini

The Slovenia Times

You are becoming known in Slovenia. Would you consider living and working here?

I would absolutely consider living in Slovenia—and definitely want to spend more time there! I visited last year with my daughter and it was wonderful to see so many old friends and family!

At the moment, I am writing a fantasy series called Night Angels which takes place between Los Angeles and your part of the world. The first book is completed, so you never know, perhaps I might have to move there in order to gain inspiration. in a completely different environment. I hate big malls and supermarkets and am quite content with a market down the street, organic garden. I have always loved forests and mountains-although I have to say I especially love the mystery of the desert. My dad’s idea of a vacation was to climb the Sierras carrying backpacks, sleeping on the ground, catching

Karen Mezek Hunt

fish. So I know a little bit about mountains. Since returning to Los Angeles, asides form my daughter who is half Slovene, I have two sons and two grandchildren. One great thing about LA, it’s an international city and my kids have friends of all nationalities. The mix of kids sitting on my sofa can be Persian, Israeli, Mexican, black, there is no distinction, they are all friends.

T h e Sl o ve n i a n t ra n sl a tion of your book “Christmas at Rumpole Mansion” has just bee n published . It par t of a trilogy,featuring a family of mice and their life. Tell us more about it’s meaning.

The stories have a 1920’s kind of nostalgia. The Rumpoles live in a mansion so they are quite snobbish. However, they learn that their Barley friends are well worth knowing and no one person is better than another. In each story there is a message, as in the case of the Christmas book, the joy of giving. The artwork is in watercolors, with a lot

How does the working environment and status of a freelance writer look like in California these days?

Being a freelance writer is never easy, I don’t think it is easy anywhere in the world. But somehow, miraculously, I have managed to live my life as a freelance writer.

In Los Angeles, I was inspired to create a writing program for incarcerated youth called InsideOUT Writers, which is now a nationally recognised program. Last year I received a writing fellowship to the Tyrone Guthrie Centre in Ireland and I used some of my time to research how at-risk youth are treated in Europe, as opposed to in the United States.

You can see the resulting essay, LA to BELFAST: Art, Gangs and the Stiff Kitten, published in the Fall 2012 issue of www.theadirondackreview.com. Life is tough for our children growing up—and it is tough for freelance writers! I am fortunate to be able to do what I love.

You can buy book in all major bookstores and on www.ebesede.si

Miran & Petra Sirk Biljana 38 Si-5212 Dobrovo Brda, Slovenija +386 (0)41 71 17 60 +386 (0)31 33 99 31 bjana@siol.net www.bjana.si ----------------------------Brut Brut Rosé Cuvée Prestige Brut Zero Status

Minister za zdravje opozarja: prekomerno uživanje alkohola škoduje zdravju!

The Met: Live in HD from New York to Maribor

International stars include Roberto Alagna, Marcelo Álvarez, Piotr Beczala, Stephanie Blythe, Olga Borodina, Katarina Dalayman, Diana Damrau, David Daniels, Natalie Dessay, Joyce DiDonato, Renée Fleming, Barbara Frittoli, Elīna Garanča, Marcello Giordani, Susan Graham, Dmitri Hvorostovsky, Jonas Kaufmann, Simon Keenlyside, Mariusz, Kwiecien, Peter Mattei, Karita Mattila, René Pape, Deborah Voigt and Eva-Maria Westbroek Photo: Mediaspeed

About The Met: Live in HD

The Met: Live in HD, the Metropolitan Opera’s award-winning series of live transmissions to movie theatres around the world, will feature 12 productions in the 2012-13 season. The Met: Live in HD, the world’s leading provider of alternative cinema content, is now shown in 54 countries, making the Met the only arts institution with an ongoing global art series of this scale. The Met was the first arts company to experiment as an alternative content provider, beginning on a modest scale in 2006. Since then, its programme has grown every season, with more than 9.6 million tickets sold to date.

The rights for live transmission of the Metropolitan Opera in Slovenia were acquired by the House of Ideas in 2011. Andreja Iljaš, Director of the House of Ideas, said: “With the exclusive rights we realised the idea that we can enjoy from close to home the spectacular layouts and greatest masterpieces of the Metropolitan Opera, with a dash of long-standing traditions, live from Manhattan. We are putting Maribor and Slovenia on the map of the Metropolitan Opera around the world which already includes more than 1,700 theatres.”

The general sponsor of the Metropolitan Opera transfers in SNG Maribor – Telekom Slovenije, with its brand Siol, will use the sponsorship to present its high-definition service.

The partnership, through the content, brings a real win-win combination. The project is actually designed for sponsors who are extremely socially responsible and culturally aware.

Ambassadors Met HD Live, aimed at talented young musicians from socially poor environments to help them get the musical instruments to further develop their potential. Ambassadors of the project are high profile individuals from the Slovenian public and business personalities: Chief Marketing Officer for Telekom Slovenije, Samo Ošina; opera singer and the only Slovenian to have performed with the Metropolitan Opera, Janez Lotrič; Professor of solo singing and popular singer, Darja Švajger; Editor of Daily Finance sections and attachments and Editor of Finance TRENDI, Aleš Čakš; the recognizable European Feguš String Quartet; host of TV-shows and teacher of public per-

Photo: Mediaspeed

With streaming of the Metropolitan Opera, the House of Ideas presents charity project

Team House of Ideas: Andrej Holcman, Production Manager, Andreja Iljaš, CEO, Saša Schwarz, Ambassadors MET HD Live Project Manager, Dejan Pukšič, Communication Advisors

forming skills, Anja Križnik Tomažin; composer and conductor, Mojmir Sepe; Managing Director of the Ypsilon Institute, Žiga Vavpotič; and General Manager of Bisnode and Director of Strategy and Development for Central Europe of Group Bisnode, Maria Anselmi.

Before any direct HD streaming from New York of the 2012/13 season, there will be given a superior instrument to a promising child whose family is unable to provide adequate instruments which will be generously donated by the Music Center Čurin. However, we urge individuals and enterprises to donate for the purchase of instruments for other promising children.

Visit us on www.metopera.si or www.facebook.com/METopera.si.

MET-season: LIVE IN HD 2012/13 in SNG MARIBOR

15 December 2012: Aida – Giuseppe Verdi 5 January 2013: Trojans – Hector Berlioz

19 January 2013: Maria Stuart – Gaetano Donizetti (premier)

16 February 2013: Rigoletto – Giuseppe Verdi 2 March 2013: Parsifal – Richard Wagner Mag. Rudolf Skobe, President of the Management Board of Telekom Slovenije, Andreja Iljaš, CEO of House of Ideas, Danilo Rošker, Managing Director of Slovene National Theater Maribor and Samo Ošina, Chief Marketing Officer of Telekom Slovenije

16 March 2013: Francesca da Rimini – Riccardo Zandonai

27 April 2013: Julius Ceazar – George Frideric Handel

38 EVENTS Photography

Exhibition

Lights of the Future

100 Years of Slovene Art

Fri 21 Sep 2012 – Sun 6 Jan, Ljubljana Castle, Ljubljana The exhibition Lights of the Future brings together photographs depicting children and childhood in the context of the recent past.

The photographs, sourced from the archives of the Slovenian Museum of Contemporary History, were taken in the period between the end of the First World War and the early 1990s.

Fri 30 Nov–Sun 24 Feb, Maribor Art Gallery, Maribor

Sculpture

In the final stages of the European Capital of Culture Maribor 2012 the UGM / Maribor Art Gallery, in cooperation with major Slovenian galleries and museums, presents a review of 20th century art from Impressionism to Retro Avantgarde. Almost Spring also offers an insight into the new practices of 21st century Slovenian visual art with a view into the future. Shall we step towards spring together?

The Sacred Revealed

Festival

Thu 11 Oct–Sun 6 Jan, National Gallery, Ljubljana This exhibition brings together some of the most important pieces of sculpture from the heyday of the Spanish Empire. The exhibited sculptures, 23 in all, are sourced from the collection of the National Sculpture Museum in Valladolid.

The Spanish Empire, whose imperialist ambitions led to its military campaigns in Flanders, Italy and the New World, had a thriving cultural life, inspired by influences from around the world.

The exhibition offers excellent insight into the work of the greatest artists from the 14th to the 18th century.

Illustration

10th Biennial of Slovenian Illustration Tue 13 Nov–Thu 31 Jan, Cankarjev dom, Ljubljana The Biennial of Slovenian Illustration (Slovenski bienale ilustracije) showcases the finest works of Slovenian illustrators created over the past two years. Illustration is presented as a distinctive art discipline with a strong influence on the development of children and young people’s feeling for and understanding of art. Illustration is a form of art which is often underrated but deserves respect for its distinct character.

The Slovenia Times

December 2012 in Ljubljana Mon 3 Dec–Tue 1 Jan, Old city centre, Ljubljana, Free admission

objects from museums in Slovenia and abroad, the exhibition offers an objective yet exciting look at different aspects of chivalry in the Middle Ages and the early Modern Period.

Opera

La Traviata Tue 18 Dec, 7.30pm, Slovenian National Opera and Ballet Theatre of Ljubljana, Ljubljana With La Traviata (1853), Giuseppe Verdi managed to successfully create one of his most enduring works. In the drama The Lady of the Camellias by Alexandre Dumas, Verdi and librettist, Francesco Maria Piave, recognised a timeless theme, extremely attractive for setting to music in an opera. With the selection of a theme concerning a good hearted courtier, Verdi stepped on the toes of the middle class whose expectation of opera was a reinforcement of their false morality.

“Untouched” is a film project integrating intact nature and the beauty of unspoilt snow-covered mountains with an innovative yet always considerate approach – on skis and snowboards. The film presents three Slovenian snowboarders and a skier testing the limits of their talent based on their knowledge gained in organised snow parks, competition experience and their desire to discover something new.

Rock

Bajaga i instruktori Thu 20 Dec, 8pm, Dvorana Tivoli (sports hall), Ljubljana, EUR 23–27

Ballet

The Nutcracker The festively decorated old city centre will see a range of different events intended for people of all ages and different tastes. The festival will traditionally begin with the event entitled Let’s Turn on the Light, People! which includes the switching on of the Christmas street lights. It will culminate on 31 December, in the open air New Year’s Eve celebrations taking place in Ljubljana’s central squares.

Exhibition

The Knight, the Lady and the Dragon Thu 13 Dec–15 Oct 2013, National Museum of Slovenia, Ljubljana This exhibition, showing at the National Museum of Slovenia’s located in the Metelkova Museum Quarter, presents medieval chivalry as it really was, challenging the common conception of knights as noble-minded medieval warriors.

New findings by Slovenian experts in the field reveal a picture of Slovenia’s medieval past that is rather different from that presented in history classes and old history books. Bringing together a wide variety of different

Wed 19 Dec–Thu 20 Dec, Cankarjev dom, Ljubljana, EUR 24–33 The Nutcracker by Piotr Ilyich Tchaikovsky is one of the most popular and most frequently performed ballet pieces in the world. The Slovenian National Theatre - the Opera and Ballet of Ljubljana’s current production of the ballet has been staged by the famous choreographer Youri Vamos, who based the Nutcracker story on Charles Dickens’ tale A Christmas Carol. The story is set in a 19th century London suburb, where a stingy and ruthless money lender named Scrooge at first cannot even bear the thought of festivities, but the cheerful festive atmosphere soon draws him into the whirl of Christmas merrymaking.

Film

Untouched Thu 20 Dec, 9pm, Kino Šiška, Ljubljana, EUR 2

The early part of Bajaga’s career was marked by his work with the band Riblja Čorba, where he started developing his song writing skills. But his excellent storytelling qualities truly came to the fore when he went out into the world on his own, with his band Instruktori (the instructors).

They have been creating some of the most beloved songs from exYugoslavia for almost 30 years and released a new album this year, once again containing songs that are unmistakably Bajaga’s.

Photography

Frozen Dance Thu 20 Dec – Sun 20 Jan, Cankarjev dom, Ljubljana, Free admission Faculty of Arts Ljubljana graduate (sociology of culture and art history), Sunčan Stone (born in 1971 in London) has translated scientific literature and sporadic literary works since 1994. After several years of holiday picture taking, he took up photography more seriously in 2009, suddenly realising that he was reluctant to leave home without his camera: he is mostly inclined towards recording images connected to human creativity, especially concerts, exhibitions, performance events as well as theatre and dance shows.

Our vision is o ffering our territory in a glass In the Ferdinand wine cellar we produce only organic, grape based highquality wines. Since the creation begins in the vineyard, we use no herbicides, artificial fertilisers, boticides, insecticides or acaricides. We only use sulphur and copper based compounds and stable manure. All of our vineyards are grass-covered enabling easy growth and no need for mineral fertilisers.

At Ferdinand we specialise. Instead of a wide range of different wines, we have high-quality wines typical and most appropriate for the area. Each type requires adequate position and we devote alot of our attention to it.

One of our main points of focus is our local rebula. Quality is also provided by thinning in the early phase and during the ripening, making the harvest smaller but ensuring higher quality and stability, even in scarce years.

Ferdinand is the home of Rebula wines that have been with us from the beginning. Our offer contains four wines of this type. Fresh: yellow rebula, barrique: yellow rebula reserva, soaked: MRR and the sparkling Rebolium known as the Sinefinis brand - www.sinefinis.com. In our offer you can also find white cuvee, red cuvee, red reserva, cabernet sauvignon, merlot and grey pinot.

In our vision and approach to winemaking, we like to put our territory in a glass. We try to make wine from grapes which have had as little interference as possible and that’s why the quality of the grapes is so important. Given the fact that there are not many winegrowers around our village that has very special pedo-climatic conditions, we are different from most winegrowers in the highlands. Our approach to culinary art is that instead of giving wine the main role, keep it there to stress, complement and enrich the taste of food.

Our wines are like this and therefore differ from the majority. The reasons can be found in the somewhat higher and cooler position, steep stair-shaped vineyards, typical highland soil - marl and our way of growing. This gives the wines a higher mineral content, freshness and durability. Structure and mineral content are the elements that make reservas more appropriate for prolonged ageing.

In the Ferdinand cellar we also offer reserva and MRR for those who enjoy a slow evening glass, chatting and relaxing with friends.

5211 KOJSKO, SLOVENIA TEL.: 00386 5 30 43 600, FAX.: 00386 5 30 43 601, MOB.:00386 41 62 14 94 SKYPE:mcetrtic, MAIL: info@ferdinand.si, www.ferdinand.si

40 EVENTS Jazz

all over the world, use original approaches to choreography and skating and create re-workings of classic stories and fairy tales remarkable for their unerring dramatic trajectory.

Iva Stanič Sat 22 Dec, 8pm, Hotel Mons, Ljubljana, EUR 24 Iva Stanič first came to the fore in 2005 and has gone from strength to strength ever since.

Considered one of the best-looking female singers around, she also has a very distinctive voice with an impressive range. The setting of Hotel Mons will give her the chance to sink her teeth into some tasty jazz numbers as well as her usual pop and rock songs. She will be accompanied by the Big Band of the Slovenian Radio and Television.

Figure skating

Romeo and Juliet on Ice Wed 26 Dec, 8pm, Dvorana Tivoli (sports hall), Ljubljana, EUR 17–39

Figure skating

Mary Poppins on Ice Wed 26 Dec, 3pm, Dvorana Tivoli (sports hall), Ljubljana, EUR 17–36 A cast of top-class figure skaters will perform a choreography based on the story about Mary Poppins, a magical nanny who helps her two young charges get to know and love the world around them. The Moscow Stars on Ice, who perform Slovenia times 2010.ai

Processions

Circus

Grandpa Frost processions

Cirque Éloize

Wed 26 Dec–Sun 30 Dec, 5pm, old city centre, Ljubljana, Free admission A few days before New Year, Grandpa Frost, the Slovenian counterpart of Santa Claus, will arrive in Ljubljana from the Far North. Riding in his carriage, drawn by genuine white Lipizzaner horses and accompanied by a procession of snowmen, bears, rabbits and other creatures from folk and fairy tales, he will visit the old city centre’s Festive Fair and venues for children’s events.

Pop Shakespeare’s immortal story about the tragic fate of young lovers in Verona will be performed by a cast of top-class figure skaters. The Moscow Stars on Ice ensemble, formed in 1986, consists of former European, World and Olympic champions in figure skating and several circus artistes.

The ensemble is led by Igor Bobrin, a former European figure skating champion.

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RDS-TMC The Slovenia Times

National radio traffic service

The stage circus spectacle Cirkopolis, performed by an unconventional troupe of Canadian circus artistes, will conjure up a surreal stage circus atmosphere through excellent acrobatic acts.

The acts, performed by twelve top-class acrobats of different disciplines, such as diabolo, trapeze, Spanish web, teeterboard, Cyr wheel and group acrobatics, will be accompanied by original music and dream-like decor.

Festivities

Music concerts held New Year’s Eve Celebrations in Kongresni trg Mon 31 Dec, City centre, square Wed 26 Dec–Tue 1 Jan, 8pm, Kongresni trg square, Free admission During the days before New Year’s Eve, Kongresni trg square will host a programme of concerts featuring various pop artists. The artists, performing from 26 December to 1 January 1 will include the likes of Mi2, Neisha, Crvena Jabuka, Adam, Siddharta, Danijela (Croatia), Jasmin Stavros (Croatia), Modrijani, Čuki and many other household names from Slovenia.

Blues Kranj 89,0 Novo mesto 105,5 Maribor/M.Sobota 102,8 Ljubljana 100,8 Bled 100,4 Postojna 107,7 N.Gorica/Ajdovščina 96,7 Tolmin 101,3 Koper 94,6 Trojane 105,5 Ribnica, Kočevje 91,5 Dravska dolina 103,9 MHz in 107,1 Celje 91,1 Krško 93,4 Portorož 102,0 Velenje 104,1 Črnomelj 107,7

Sun 30 Dec–Mon 31 Dec, Cankarjev dom, Ljubljana, EUR 13–34

The Blues Brothers Fri 28 Dec, 7pm, Stožice Sports Park Arena, Ljubljana, EUR 29–46 The famous musical about two men in black suits devoted to blues music is coming to Ljubljana directly from London’s West End. The main characters of the famous West End musical, two brothers wearing black suits, black ties and black sunglasses, are previously known from the late ‘70s TV show Saturday Night Live and the 1980 film The Blues Brothers, starring the unforgettable John Belushi and Dan Aykroyd.

Ljubljana, Free admission

The programme of New Year’s Eve celebrations held in city centre squares is intended for people of all ages and tastes, with lots of different music, various refreshments and all sorts of entertainment to be enjoyed.

A minute after midnight, a fireworks display will set the skies above Ljubljana alight for several minutes and announce the beginning of a new year.

Architecture

Architecture = Contemporary Slovenian Architecture Mon 7 Jan–Sun 3 Feb, Cankarjev dom, Ljubljana, Free admission The project has been devised by the Faculty of Civil Engineering Maribor, AB magazine and Dessa Gallery in cooperation with the European Capital of Culture 2012. The Architecture= exhibition showcases the greatest achievements of Slovenian architectural output of the last five years with the aim of establishing a theoretical and mental framework of contemporary Slovenian architecture. With this in mind, the exhibition’s concept

EVENTS 41 is multi-layered, accentuating the architectural quality inherent in the intellectual structure of a particular building.

Dance

The Other at the Same Time Thu 17 Jan–Fri 18 Jan, 8pm, Cankarjev dom, Ljubljana, EUR 12–18 One of the most prominent Central European choreographers, Matija Ferlin, a native of Pula, works internationally and frequently also in Slovenia. His new SlovenianCroatian production involves an international cast of dancers. The experimental project The Other at the Same Time is based on the system developed in Ferlin’s first show for several dancers whose distinctive trait is the manifest decision to foreground dance as pure movement – devoid of meaning – as well as dance virtuosity.

Classical

The Flying Dutchman Fri 18 Jan – Sat 19 Jan, 7pm,

Cankarjev dom, Ljubljana, EUR 14–30 The oeuvre of Richard Wagner is permeated by an intense desire for love and redemption from a certain curse, as well as duality between passionate sensuality and sublime and pure spirituality.

These leitmotifs also run throughout The Flying Dutchman (1843). The music is marked by romantic sensitivity, while the story is rendered convincing through the forceful and colourful orchestration (the overwhelming force of the ocean can be heard in the overture) as well as the composer’s flair for breaking traditional operatic elements into recitatives, arias, choir and ensembles, thus also forming a more coherent dramatic arc.

Exhibition

Water Tales and Other Paintings Wed 23 Jan–Sun 24 Feb, Cankarjev dom, Ljubljana.

Free admission Born in 1951 in Lienz Austria, Herbert Nussbaumer studied electronics and control engineering

at the Technical University of Vienna, where he has lived since 1969. Since about 1988, he has been intensively engaged in photographic techniques and subsequently in fine art photography. An autodidact influenced by classical fine art photography and abstract painting, he has exhibited since 1993, holding solo shows or participating in group exhibitions in Austria and abroad.

and Wim Plug. Over the last few years, this musical producer trio and DJ collective have made a name for themselves as one of the most renowned electronic music outfits. Alongside names such as Chemical Brothers, Moby and The Prodigy, Kraak & Smaak have been recommended as a ‘must-see act’ by the respected international dance music magazine iDJ.

Tourism Electronic

Alpe-Adria

Kraak & Smaak

Thu 24 Jan–Sun 27 Jan, Ljubljana Exhibition and Convention Centre, Ljubljana

Thu 24 Jan, 9pm, Kino Šiška, Ljubljana, EUR 18–22 Kraak & Smaak are a musical producer trio from the town of Leiden, the Netherlands consisting of Oscar de Jong, Mark Kneppers

The Alpe-Adria: Tourism and Leisure international fair promotes the tourism offer of Slovenia and other destinations within the Alpe-Adria region. Each destination presents its opportunities for leisure activities for diverse types of tourists, from traditional holidaymakers to those with a penchant for adventure travel. Apart from the region’s destinations, the fair presents Slovenian culinary delights and wines. It is held simultaneously with the Boat Show, a nautical fair specialising in sport boats and pleasure craft.

Winter Edition 2012

42 EVENTS Film

Rock

Photography

Ai Weiwei: Never Sorry

Paul Banks

2013 Emzin Photography Competition

Tue 29 Jan, 8pm, Kino Šiška, Ljubljana, EUR 5–6

Ai Weiwei is China’s most famous international artist, and its most outspoken domestic critic. Against a backdrop of strict censorship and an unresponsive legal system, Ai expresses himself and organises people through art and social media. In response, Chinese authorities have shut down his blog, beat him up, bulldozed his newly built studio, and held him in secret detention. Ai Weiwei: Never Sorry is the inside story of a dissident for the digital age who inspires global audiences and blurs the boundaries of art and politics.

The Slovenia Times

Sat 2 Feb, 9pm, Kino Šiška, Ljubljana, EUR 18–22 The front man of last-year guests, the New-York-based indie rock band Interpol, returns to Ljubljana with his solo project and new album “Banks” (Matador Records, 2012). Identity’s a tricky thing in the annals of rock music. Be it David Bowie’s chameleon gender in the ‘70s, Dylan going electric in the ‘60s, or Lou Reed’s perpetual metamorphism, rock thrives on persistent flux in self-presentation.

Where does Paul Banks fit into this equation? As Interpol’s front man, he’s largely been a cipher.

While certainly not lacking in charisma, his steely and sardonic manner combined with a dry sense of humour often polarises and confounds listeners and critics alike.

Tue 5 Feb–Tue 5 Mar, Cankarjev dom, Ljubljana, Free admission An annual pan-Slovenian photo project establishing photography as one of the key elements of contemporary visual communication, encouraging the development of original and press photography, and introducing new Slovenian photographers. An expert jury will award three prizes for original photography and a photo journalism award. Alongside the awarded photos, the works of finalists will also be exhibited.

Comprised of first-rate artists – all natives of Parma –, dedicated soloists as well as chamber musicians, the Trio was formed in 1990 at the A. Boito Conservatory of Music in Parma, Italy. The musicians went on to further their studies with the Trio di Trieste at the Fiesole School of Music in Florence and the Accademia Chigiana in Siena.

Rock

Slash Fri 8 Feb, 9pm, Hala Tivoli, Ljubljana, EUR 39–49

Classical

Trio di Parma Wed 6 Feb, 7.30pm, Slovenian Philharmonic, Ljubljana, EUR 9–20 Celebrated for its vigorous, deeply felt and technically brilliant playing as well as innovative interpretation, Trio di Parma is considered the finest Italian trio.

As the lead guitarist for Guns N’ Roses, Slash established himself as one of hard rock’s finest and most soulful soloists during the late ‘80s, technically adept yet always firmly grounded in the

44 events gritty Aerosmith and Stones licks he loved. Slash was born Saul Hudson on July 23, 1965, in Stoke-on-Trent, England, to artistic parents both involved in the entertainment industry; his mother was a clothing designer and his father designed album art for such artists as Neil Young and Joni Mitchell. The family moved to Hollywood and he eventually joined up with the other members of Guns N’ Roses.

Classical

The RTV Slovenia Symphony Orchestra

Architecture

Architecture – Stocktaking 2010-12 Wed 13 Feb–Thu 7 Mar, Cankarjev dom, Ljubljana, Free admission A biennial overview exhibition of the members of the Association of Architects Ljubljana. The magnitude and strength of a nation have, throughout history, been reflected in architecture. Great sovereigns and leaders were known to build structures as symbols of power and tear down the monuments of their adversaries, thus creating a civilisation and a nation’s identity and annihilating any vestiges of a foreign culture.

Tue 12 Feb, Cankarjev dom, Ljubljana, EUR 6–19 The closing concert of the green subscription will be conducted by the young conductor, Simon Krečič, who was awarded third prize in the competition in Grosseto, Italy, and is on the fast track to becoming one of the new generation of promising Slovenian conductors. Under his guidance, five Slovenian pianists of the younger generation will perform for the audience.

The Slovenia Times

the baton of Loris Voltolini, in the present season Nelson Freire will perform Schumann’s popular Piano Concerto in A Minor.

Rock

The Raveonettes Thu 14 Feb, 8pm, Kino Šiška, Ljubljana, EUR 18–23 The Raveonettes, the Danish music equivalent to Bonnie and Clyde that has been enthralling the underground rock milieu for almost 10 years, is about to release their new album “Observator”. The duo

Metal

Korpiklaani is mostly described as indie rock but their sound is much more than that. Their hypnotic (retro) rock sound effects will be presented live in Ljubljana on 14 February for the audience to observe.

Classical

Slovenian Philharmonic Orchestra Thu 14 Feb–Fri 15 Feb, 7.30pm, Cankarjev dom, Ljubljana, EUR 10–33 Just as he has to audiences throughout the world, in May last year Brazilian pianist, Nelson Freire, offered us “a gentle reminder that decorous piano playing and interpretive depth have an irresistible power all of their own (The New York Times).” Under

Wed 20 Feb, 8pm, Štuk, Maribor, EUR 18–22 Korpiklaani is a folk metal band from Finland who were formerly known as Shaman. While other folk metal bands began with metal before adding folk music, Korpiklaani started with folk music before turning metal. They will be supported by Metsatöll, an Estonian folk metal band.

Much of their material, featuring flutes and other traditional instruments, is based on the wars for independence of the 13th and 14th centuries.

SPORT 45

EuroBasket 2013

Sporting and Economic Opportunity Taking place from 4 - 22 September 2013, the European Basketball Championship is set to become one of the biggest sporting events ever organised in Slovenia.

T

he draw that took place in the spectacular setting of Postojna Cave and featured the first ever basketball game played underground could be a symbol of a different championship. For the first time in modern history, Slovenia was the only candidate to pitch for the championship. It was therefore not difficult to get the organisation but euphoria was soon replaced by real life problems, especially on the back of the tough economic situation.

It soon became obvious that the state would have to intervene and provide assistance paying EUR 6m in fees. The original price tag was EUR 8m but Slovenian officials were able to renegotiate with FIBA Europe.

Initially, Slovenian towns were fighting to host the group part of the event and ambitious plans to build new halls were revealed but

when it became apparent that this would not come cheaply (the hosting fee is around EUR 600,000), only three candidates plus the natural choice of Ljubljana remained. They are Koper, Jesenice and Celje. Instead of building new halls, the existing ones will be renovated and European funds will be provided for this purpose via the state.

Less than eight months ahead of the start it is now time to focus on how to organise a successful and hopefully profitable championship. Following the draw, it is now possible to start working with participating countries. A delegation, led by former NBA star Rašo Nesterović, presented the championship at the World Travel Market in London. According to some estimates around 30,000 fans are expected to visit Slovenia. Tourist officials say that “the demand

has exceeded their expectations and hotels in Koper, for example, are already fully booked”: Peter Vilfan, a former basketball star and a Eurobasket ambassador believes that “this could be one of the cheapest championships, it could show the way for future organisers and it could even generate some profit”.

With Italy playing in Koper, only a stone’s throw away from the border, an Italian invasion is expected. With a large ex-Yugoslav community in Jesenice, the town seems an ideal place for group B which includes Macedonia, Montenegro, Lithuania, Bosnia, Latvia and Serbia. Slovenia will play in Celje against Spain, Croatia, Poland, Georgia and the Czech Republic. Ljubljana also seems apt for the French, British, German,

Photo: Mediaspeed

By Simon Demšar

Belgian, Ukranian and Israeli cosmopolitans.

From the sporting perspective, it is only natural that Slovenia aims at the top, despite little success on previous occasions. An ongoing problem of the national team has been that Slovenia has never been able to put together the best players due to disputes or for other reasons. Although several stars have now ended their careers Goran Dragič, Beno Udrih, Boštjan Nachbar and others could be a fearsome force.

Winter sports

Now or Never for Maze The hopes of Slovenian alpine skiing will, yet again, rest on the shoulders of Tina Maze. The Nordic team is capable of anything.

A

fter years of negotiation and even fighting with the National Ski Association, Tina Maze seems to have found peace and removed the last obstacle toward achieving her goal – winning the overall World Cup. She was fourth in 2010, third in 2011 and second last year. But this year’s start was stronger than ever before: she won the opening two giant slalom events and added a third in slalom, jumping to the top of the world cup standings, way ahead of Lindsey Vonn.

The American was able to close the gap after three wins in downhill and giant slalom but it is now clear that Maze will make defending last year’s trophy harder than ever before. An interesting fact is

that Maze excels in technical disciplines (slalom and giant slalom) while Vonn’s strongest sides are downhill and super G, so it will be a matter of “who loses less in the weaker disciplines”.

Maze has also raised her public image and has become a trademark in her own right. She has been a well-known commercial model; this year she has added her own music video clip with “My Way Is My Decision” which has had more than 800,000 hits on YouTube.

For the rest of the national team, both men and women, it seems they are facing another difficult season. Even the downhill team, led by Andrej Jerman and Andrej Šporn, that has enjoyed great suc-

cess in previous seasons seems to be on a downward trend, not to mention the “technical department”, which will have to settle for top 30 positions.

Things are much brighter and more optimistic in the Nordic team. Jaka Hvala was the surprise and could have become the hero of the opening ski jumping event when he was leading after the first jump in Kuusamo but couldn’t withstand the pressure and finished 24th. Slovenia finished third in the team event.

On the back of two strong seasons, Peter Prevc has come of age. If he makes another step forward it can only mean podium finishes. Theo-

Photo: Mediaspeed

By Simon Demšar

retically, Robert Kranjec should be the leader but he was the weakest link of the opening event. Besides, he prefers ski flying to jumping.

On paper, the biathlon team, led by world champion Jakov Fak, should also produce good results but they were far from the top in the opening events.

Winter Edition 2012

Jonathan Gable, director of BrainJuicer The 14th media trends seminar entitled Get Closer (Connect) was held in Portorož. At this year’s seminar the focus was for the entire region to present the importance of knowledge integration and development.

(Photo: Mediaspeed)

Official dress kit of FC Real Madrid with players’ signatures and Mitja Šeško, member of the Rotaract Club Maribor Traditional charity dinner and auction at Rotaract Club Maribor collected funds that will go to VDC Snail society and Center for Hearing and Speech (Photo: Mediaspeed)

EVERY PICTURE TELLS A STORY

Garry Kasparov, Sevian Samuel, Wheeler Cameron, Zhu Yi and Dr Milan Zver.

The World Junior Chess Championship was completed, with winners in 12 categories. At the closing ceremony, Garry Kasparov presented awards to the best.

(Photo: Mediaspeed)

Vikend gongs is a media award given out by Vikend magazine supplement for the last 14 years. This year’s winners are: Slavko Bobovnik - TV news presenter; Klement Slakonja - television entertainment presenter; Denis Avdić- radio host; Jurij Zrnec - Best Actor; Tanja Žagar – singer; Modrijani – best band; and Lado Bizovičar - award for creativity. (Photo: Mediaspeed)

Sandi Brumen, marketing director at Radgonske gorice d.d. with Andreja Erzetič, Wine Queen of Slovenia 2010 15th Slovenian Wine Festival remains true to its tradition - the promotion of (wine) drinking culture, with presentations by local and foreign wine producers and their wines to all those who have a wine business, passion and love for the drink.

(Photo: Mediaspeed)

Children from Uri-Soča with famous athletes on Ljubljana marathon.

(Photo: Mediaspeed)

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