WBJ #49 2012

New no. 3 bank Regulators have approved the merger of BZ WBK and Kredyt Bank, a tie-up that creates Poland’s third-largest bank

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4.25%

Poland’s main interest rate has been cut for the second month in a row, and economists expect more to come

VOLUME 18, NUMBER 49 • DECEMBER 10-16, 2012 . z∏.12.50 (VAT 8% included) . ISSN 1233 7889 INDEX-RUCH-332-127

LOKALE IMMOBILIA

Since 1994 . Poland’s only business weekly in English

The innovation push COURTESY OF INWESTYCJE W KURORTACH.PL

REAL ESTATE

Despite appearances, Poland has some top-notch innovative firms. The trick is to get businesses, bureaucrats and 12-13 academia to cooperate

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• Winter homes • Heitman offices • Polish Hotel Company 15-17

Tony Blair on Europe 11

In this issue

SHUTTERSTOCK

News . . . . . . . . . . . . . . . . . . . . . . .2-4 Business . . . . . . . . . . . . . . . . . . . .5-7 Interview . . . . . . . . . . . . . . . . . . . .8-9 Opinion & Analysis . . . . . . . . . . . .11 Cover Story . . . . . . . . . . . . . . . .12-13 Finance & Economics . . . . . . . . . .14 Lokale Immobilia . . . . . . . . . . .15-17 The List . . . . . . . . . . . . . . . . . . . . . .19 Markets . . . . . . . . . . . . . . . . . . . . . .20 Sports . . . . . . . . . . . . . . . . . . . . . . .21 Lifestyle . . . . . . . . . . . . . . . . . . . . .22 Last Word . . . . . . . . . . . . . . . . . . . .23

Enter Piechociƒski

As corrupt as last year

The new “analytical” deputy prime minister hasn’t exactly gotten off to an auspicious start

Poland hasn’t improved its position in Transparency International’s annual corruption ranking 3

NEWS

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North Sea disaster Three Poles are missing and presumed dead after two ships collided in the North Sea last Wednesday night. Five bodies, including those of two Poles, were recovered from the sea on Thursday. The accident occurred when the Baltic Ace – a ship carrying 11 Poles, including the captain, along with 13 others – slammed into the Corvus J., a Cypriot-registered container ship, in the North Sea. The Baltic Ace sank as a result and six Poles, including the captain, were rescued, as were seven others. Six crew members, including the three Poles mentioned above, remain missing.

Orlen to buy ExxonMobil concessions PKN Orlen has reached an agreement with ExxonMobil to purchase two shale gas concessions in Poland, reported Puls Biznesu. The purchase will cost the Polish refining giant some several million z∏oty. It will still have to be approved by the Ministry of Environment. Earlier this year ExxonMobil said it would discontinue its search for shale gas in Poland after disappointing results from some of its test wells.

WSE debutants disappoint Only a third of companies that entered the Warsaw Stock Exchange between 2009 and 2012 are now worth more than on the day of their debut, reported Parkiet. Half of the firms whose value has decreased are now worth at least 50% less than on the day of their debut. The most profitable investment turns out to be Bogdanka. Since the miner’s IPO in 2009, its stock price has increased by more than 180%.

Qatar Airways in Poland Qatar Airways officially began regular flights from Doha to Warsaw last Wednesday. Initially, the route will see just four flights per week: on Mondays, Wednesdays, Fridays and Saturdays. The company’s target, however, is to launch daily flights. ●

DECEMBER 10-16, 2012

IN THE SPOTLIGHT

Numbers in the News

Martial law anniversary march

4.25% is Poland’s benchmark interest rate, after the Monetary Policy Council cut it by 25 bps last week.

41st is where Poland ranks in Transparency International’s 2012 Corruption Perceptions Index.

-0.6% was the decrease in Polish industrial producer prices in October – the third largest drop in the EU.

48.2 COURTESY OF WWW.SOLIDARNOSC.GOV.PL

was Poland’s manufacturing PMI reading for the month of November, up from the previous month but still indicating difficulty in the sector.

Quote of the Week Polish tanks on the streets during martial law

After Poland’s Independence Day commemorations on November 11 saw separate marches organized along opposing political lines, so too the 31st anniversary of the introduction of martial law on December 13 is expected to be a divisive political affair. Opposition party Law and Justice (PiS) has announced that it will be organizing a march of “freedom, solidarity and independence” on December 13. It said it wants to protest, among other things, against the threat to “freedom” in Poland today. “Freedom is under threat in Poland today, the situation with solidarity is bad and our independence is being ques-

tioned,” said Jaros∏aw Kaczyƒski, while encouraging people to take part in the march. Prime Minister Donald Tusk has criticized PiS’s decision to organize a march on the anniversary of the introduction of martial law in Poland. “For me December 13 is not a day that should be celebrated by some protest … we have very many sad and happy public holidays. For me December 13 should not be an excuse for patriotic demonstrations but rather a day for reflection on how much dogmatism and a false doctrine can harm people,” said the prime minister. Meanwhile, President Bro-

nis∏aw Komorowski, who is from the same party as the prime minister, will visit the prison where he was held during martial law and will make a speech there. Martial law lasted from December 13, 1981 to July 22, 1983. During this period the then-communist authorities arrested most democratic opposition leaders and drastically restricted the normal everyday movement and activities of ordinary people in an attempt to crush the Solidarity movement led by Lech Wa∏´sa, who was also arrested and interned. As many as 100 people were killed by the military during the period. Remi Adekoya

“PO and PiS are the only two parties that have enough money to professionally hate each other.” Bart∏omiej Biskup, a political analyst, commenting on the current political situation in Poland and the conflict between the country’s two largest parties, in an interview on radio station Tok FM.

Figures in focus Population pie Share of world population, 2010 Rest of the world 9.8%

China

2.8% 3.5%

34.9%

India

4.5% EU27* 7.3% US 17.8%

19.5%

Indonesia Brazil Remaining G20 countries

*provisional

Source: Eurostat

On WBJ.pl Separate budgets Log on to WBJ.pl to find out whether a separate euro zone budget is the answer to the currency union’s problems, and how such an arrangement could be compared to the US’s monetary union.

Company index Aberdeen Immobilien ................15 GTS ..............................................7 Polish Hotel Company ..............16 Aberdeen Marynarska ..............15 Hawe ............................................7 Provident ....................................15 Accession Fund SICAV ..............15 Heitman......................................15 PwC ............................................15 Alior Bank ....................................5 Heitman European Property PZU ............................................20 Arkit ............................................14 Partners IV ................................15 Banco Santander ........................5 Hilton Worldwide........................16 Qatar Airways ..............................2 Bank Millennium ........................5 HSBC ..........................................14 Qualia Development ..................17 Bank Pekao..................................5 i3D ..............................................12

Calendar

Bank Pocztowy ..........................15 IBM Deep Computing ................13 Bank Zachodni WBK..............5, 14 ING................................................5 Boeing ........................................13 InterContinental ........................15

December

Capture Informatikai és

Inwestycje w Kurortach.pl ........17

MILTON H. GREENE PHOTO AUCTION

Event:

Over 100 objects will be up for auction, among them rings, bracelets and watches made in the 19th, 20th and 21th centuries. DESA Unicum auction house, ul. Marsza∏kowska 34-50, Warsaw desa.pl

Event:

Web:

Second and last auction of photos featuring Marilyn Monroe and other celebrities, such as Frank Sinatra, Audrey Hepburn and Marlene Dietrich. DESA Unicum auction house, ul. Marsza∏kowska 34-50, Warsaw desa.pl

YOUNG ART AUCTION

EDF Polska ..................................5 PB Group......................................5

Event:

Ninety-seven works by young artists will be up for auction. Starting prices are as always z∏.500. DESA Unicum auction house, ul. Marsza∏kowska 34-50, Warsaw desa.pl

Euro Hotele ................................16 PBG ..............................................5

FINE ART AND CONTEMPORARY ART AUCTION

Event:

Two auctions in one evening: works by Old Polish Masters (Hofman, Malczewski, Brandt) and by contemporary artists (Sta˝ewski, Nowosielski, Modzelewski). DESA Unicum auction house, ul. Marsza∏kowska 34-50, Warsaw desa.pl

Location:

Web:

Location:

CBRE ..........................................15 IT Polpager ..................................7

Web:

SC Johnson ................................15

Citi Handlowy ..............................5 Jones Lang LaSalle ..................15 Skanska Commercial CMS Cameron McKenna ..........15 Kredyt Bank ................................5 Development Europe ................15 Colgate ......................................15 Kristensen Group ......................17 SMT Software ............................12 Colliers International ................17 LGBS Polska ..............................12 Tebodin ......................................15 Degi International ......................15 LiveSport s.r.o. ..........................12 TK Telekom ..................................7 Deka Immobilien........................15 Narodowe Centrum Sportu ......15 Deloitte ......................................12 Netia ......................................7, 15 TPA Horwath ..............................15 Deutsche Pfandbriefbank..........15 Nintendo ....................................23 TVN ............................................20 Domenomania.pl ......................12 NORIL ........................................12

Location:

Saudi Aramco ............................13

Tanácsadó ..................................12 Inwestycje.pl ..............................12

Salans ........................................15

BRE Bank ....................................5 Internet Shop ............................12 Satoria Group ............................16

JEWELRY AUCTION

Web:

Raiffeisen Bank............................5

Bogdanka ....................................2 InterContinental Hotels Group ..16 Samsung ....................................15

Location:

Rafako ..........................................5

ExxonMobil ............................2, 13 Peter Nielsen & Partners ..........7

UBM......................................15, 16 Univitae ......................................17 VIGO System ..............................12

Foodcare ......................................5 PKL ..............................................7 Vision Hotel Management ........16 Fuhu............................................23 PKN Orlen ................................2, 7 Vola.ro SR ..................................12 Getin Bank ..................................5 PKO BP ........................................5

Warimpex ..................................15

Ghelamco Poland ......................15 PKP ..............................................7 GLL Real Estate Partners ........15 PKP Cargo....................................7

Warsaw Stock Exchange ....2, 5, 7

Griffen Technology ....................23 PKP Energetyka ..........................7 X-Trade Brokers ........................20 Griffin Real Estate......................17 Play ............................................15 Zdrojowa Invest ..........................17

NEWS

DECEMBER 10-16, 2012

www.wbj.pl

Politics

The new number-two in government says Poland needs “more creative politics” Janusz Piechociƒski, the new leader of junior government coalition partner the Polish Peoples’ Party (PSL), has assumed the posts of deputy PM and economy minister. Mr Piechociƒski replaces Waldemar Pawlak, whom he beat out in a battle for PSL’s leadership in November. Prime Minister Donald Tusk made the announcement last week at a highly anticipated press conference, and President Bronis∏aw Komorowski officially appointed Mr Piechociƒski to the post last Thursday. Speculation had been rife for weeks as to whether Mr Piechociƒski would take the deputy PM position (he initially said he wasn’t interested in the job) or whether he would take over the top job in one of the ministries his party controls (he had sent mixed signals on this front).

No other changes

‘Protect jobs’

For now at least, the only change will be Mr Piechociƒski taking over for Mr Pawlak. The two other PSL ministers, Agriculture Minister Stanis∏aw Kalemba and Labor Minister W∏adys∏aw Kosiniak-Kamysz, will keep their positions. Mr Tusk praised Mr Piechociƒski at the press conference last week, saying, “The government has gotten a good deputy PM, economy minister and partner in the coalition.” He joked that due to Mr Piechociƒski’s “analytic” expertise, Finance Minister Jacek Rostowski will now have a “serious challenge before him,” in economic discussions within the government. The prime minister also said Mr Piechociƒski had not requested any changes to the coalition agreement between PSL and the PM’s Civic Platform. During the campaign for his party’s leadership, Mr Piechociƒski had said he would ask for such changes. His stance had fueled speculation about the stability of the coalition.

Meanwhile, Mr Piechociƒski himself said he would be a deputy prime minister who “likes work” and that Poland needed a “better, more creative politics.” He also said he would work to protect jobs as the Polish economy slows down – the country’s GDP grew by just 1.4 percent in the third quarter, the lowest rate in three years. “European economies that got rid of industry have not adjusted themselves to the global market and their societies paid a big price for the crisis, so it is important for us to protect jobs,” Mr Piechociƒski said at the conference. He added that Poland could draw on “huge reserves” of potential by promoting its goods and services outside the country’s borders. Mr Piechociƒski has been an MP for nearly two decades now and has shown a keen interest in transport and infrastructure matters. However, he has never held any leadership position before, and critics say he

REPORTER

Piechociƒski takes on deputy PM, economy minister posts

Mr Piechociƒski (left) and Prime Minister Tusk shake hands at a press conference last week does not have adequate experience to be economy minister. “That was a scandalous [press] conference ... they [Mr Tusk and Mr Piechociƒs-

ki] spoke for an hour without having any idea, any plan, nothing that would result from the new situation when a new person becomes deputy prime minister,” said

Janusz Palikot, leader of the liberal Palikot’s Movement party, adding that during a crisis the economy minister should be somebody “tough.” Remi Adekoya

Smolensk crash

Confusion over reports of TNT on plane wreckage Military prosecutors have been sending mixed messages over whether traces of the explosive were found Confusion arose last week after a military prosecutor seemed to contradict his earlier statements about whether traces of explosives had been found on the wreckage of the plane that crashed in Smolensk, Russia in April 2010, killing President Lech Kaczyƒski and 95 others. In November, daily Rzeczpospolita reported that Polish investigators had found traces of TNT and nitroglycerin on the wreckage of the plane. The article caused a political uproar as Jaros∏aw Kaczyƒski, leader of opposition party Law and Justice and twin brother of the late Polish president, called the “murder of 96 people” a “horrible crime” in reference to the revelations. He also called on Prime Minister Donald Tusk to resign for having botched the investigation into the catastrophe. But that same day, Ireneusz Szelàg, the head of the Military Prosecutor’s Office in Warsaw, which is in charge of the investi-

gation into the crash, denied the newspaper’s claims. “I would like to calm the public. [We] have not found traces of TNT or any other explosive materials [on the plane wreckage],” said Mr Szelàg at a press conference. He went on to add that “chemical substances of a structure similar to high-energy materials like explosive materials have been found but they could be from many other sources,” and that only a “layman” would claim they were traces of TNT.

Article fallout As a result of the prosecutor’s denial, Rzeczpospolita’s editor-in-chief was fired, along with the journalist who wrote the article and two other editors. Then last week Mr Szelàg, while speaking before a judicial parliamentary commission, said that Polish investigator’s equipment had indeed indicated traces of TNT on the wreckage of the plane, fueling yet another round of media speculation on the issue. “Today, we know that traces of TNT were found on the wreckage of the Tu-154

plane ... but from confirming traces of TNT to suggesting an assassination is a long way,” said Justice Minister Jaros∏aw Gowin in an interview on news channel TVN24. However, after Mr Szelàg’s statement to the parliamentary commission, further confusion ensued when the Military Prosecutor’s Office released a communique stating that the “appearance of the word TNT on investigators’ equipment used when examining the wreckage of the plane does not amount to having discovered TNT.” It said that the tests which have been carried out are “insufficient” to draw any final conclusions and complete results would take a few months. But these mixed signals will likely only fuel the fires of the conspiracy theories alleging that the Smolensk crash was in fact an assassination ordered by the Kremlin. A poll taken in November showed 36 percent of Poles believe that Lech Kaczyƒski was “assassinated” in the crash. Remi Adekoya

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NEWS

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Krstic in Polish jail? A Polish court has decided that Radislav Krstic, a Serbian war criminal convicted by the International Court of Justice in The Hague, can serve his sentence in Poland where it is believed the former general will be safe. Mr Krstic was sentenced to 35 years in prison for the massacre of Bosnian Muslims in Srebrenica in 1995. The former general had been serving his sentence in the UK but two years ago, three Muslim fellow prisoners attacked Mr Krstic, nearly killing him. Poland’s justice minister will have the final say.

Polish business schools The Financial Times has published its latest annual ranking of Europe’s best business schools and two of Poland’s schools made the top 80. Poland’s Kozminski University jumped 23 spots to 37th, while the Warsaw School of Economics finished in 76th place. ●

DECEMBER 10-16, 2012

Public sector

Abortion

Poland 41st in corruption ranking Poles grow Transparency International says there is a serious global corruption problem Poland is ranked in joint-41st place in Transparency International’s 2012 Corruption Perceptions Index. The country has held the same ranking in the index for three straight years now. The study, which uses experts’ opinions to rank 176 countries and territories based on the perceived degree of corruption in their public sectors, indicates that corruption is a major threat facing the world, according to its authors. A country or territory’s score indicates the perceived level of public-sector corruption on a scale of 0-100, where 0 means that a country is seen as “highly corrupt” and 100 means it is perceived as “very clean.” Two-thirds of countries scored below 50, indicating a serious global problem with corruption, the organization said. Poland did enough to cross the threshold of 50, sharing a score of 58 points with the Caribbean island-nation of

43 The average corruption score worldwide Dominica. It beat out neighbors including the Czech Republic, Slovakia and Lithuania. Poland’s position is unchanged from a year earlier when 183 countries and territories were assessed. The year before that it also ranked 41st out of 178 countries. “Governments need to integrate anti-corruption actions into all public decision-making. Priorities include better rules

on lobbying and political financing, making public spending and contracting more transparent and making public bodies more accountable to people,” said Huguette Labelle, the chair of Transparency International. The EU was found to be the “cleanest” region, with just 23 percent of countries there scoring lower than 50. Denmark, Finland and New Zealand all share first place, having each been given a score of 90 points. Somalia, North Korea and Afghanistan jointly come in at the bottom of the table, with a score of just eight Gareth Price apiece.

Saints and sinners Selected countries’ rankings and scores in Transparency International's 2012 Corruption Perceptions index Country

Rank

Score

Denmark, Finland, New Zealand Germany

Barbados

Poland

Italy

China

Greece

Somalia, North Korea and Afghanistan 174

Source: Transparency International's 2012 Corruption Perceptions Index

more conservative

Seventy-five percent oppose allowing abortion for “social reasons” Poles appear to have moved to the right on the abortion issue in recent years, with 75 percent of them now against allowing abortion for “social reasons” such as low income, an unwanted pregnancy or a tough personal situation, as opposed to 40 percent who were against it in 1989. The latest survey was carried out by CBOS. It is important to note that under communism abortions were readily available in Poland, and this may have helped shape public opinion in early post-communist Poland. Abortion in Poland is currently allowed only under three sets of circumstances: when a pregnancy threatens the life or health of a mother, when the fetus is irreversibly damaged, and when the pregnancy is a result of rape or incest. Most Poles view abortion as acceptable in these three cases. Eighty-one percent of Poles support allowing abortion when the mother’s life is

in danger and 71 percent when her health is in danger. Also, 78 percent accept a woman’s right to an abortion when a pregnancy is the result of rape or incest, while 61 percent are willing to allow for an abortion when the fetus is irreversibly damaged. The survey comes after a recent political row on the issue. In October, the conservative Solidarna Polska party put forward a petition in parliament to restrict Poland’s current abortion laws. The petition was initially supported by 40 MPs from the ruling Civic Platform party, but most of them withdrew their support after an intervention by Prime Minister Donald Tusk. It also comes after several Polish leaders expressed dismay at a proposal by the UN Committee on the Rights of the Child to ban baby hatches (places where mothers can bring newborn babies and leave them anonymously in a safe place to be found and cared for). The UN is taking its proposal to the European Parliament. Marta Mardosz

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BUSINESS

DECEMBER 10-16, 2012

www.wbj.pl

Mergers & acquisitions

Foodcare buys Blow drink

The Polish Financial Supervision Authority last week approved a merger between Bank Zachodni WBK and Kredyt Bank, paving the way for the creation of the thirdlargest bank in Poland. BZ WBK’s owner, Spanish Banco Santander, and Kredyt Bank’s parent company, KBC, agreed that Santander will hold around 76.5 percent of the merged bank and KBC

roughly 16.2 percent. Other minority investors will hold around 7.1 percent. The merger will likely herald changes for customers of BZ WBK and Kredyt Bank. Santander is one of the biggest banks in Europe, and analysts say it may want to introduce its own services in the Polish market through the newly merged entity. For example, the Spanish bank offers a long-term savings plan of 10 to 15 years, while premerger BZ WBK focused on corporate business and high-

interest cash loans. Kredyt Bank clients, on the other hand, have never been subjected to aggressive marketing and cross-selling of products, which could now be in the offing. Kredyt Bank is known for building long-term relationships with its clients through its long-term savings, investment and mortgage businesses. The new entity will join PKO BP, Bank Pekao, and BRE Bank as one of the fourlargest banks in Poland. Each of them has assets of at least

COURTESY OF BZ WBK

BZ WBK and Kredyt Bank merger approved The new entity will be the third-largest bank in the Polish market

BZ WBK’s headquarters in Warsaw z∏.100 billion. Analysts say the presence of four banking giants in the Polish market will make it harder for another large lender to muscle its way in.

Smaller existing banks in Poland such as ING, Citi Handlowy, Bank Millennium, Getin and Raiffeisen Bank, are also expected to feel the Marta Mardosz squeeze.

IPO

Alior Bank announces share price, IPO date The z∏.2.1 billion debut will be the biggest for a privately held company in the history of the WSE Alior Bank has set the issue price and the final number of shares to be traded in its IPO, which is scheduled for De-

cember 14, the bank announced in a market filing. The debut, set to bring the firm some z∏.2.1 billion, will be the largest IPO of a privately held company in the history of the Warsaw Stock Exchange. The price for both individual and institutional investors was set at z∏.57. In a preferential tranche for indi-

vidual investors, the price was set at z∏.54.20 and in a tranche for entitled entities, the price is z∏.45.60. Subscriptions for individual investors were held between November 22 and December 3, while those for institutional investors were held on December 5-7. “Taking into account the

final sale price and the number of shares in all the tranches, the value of Alior Bank’s public offering will amount to almost z∏.2.1 billion, which makes it the largest public offering of a private company since the start of the stock exchange in Warsaw,” the filing reads. Within a motivational

program, the bank will also transfer 3,714,027 shares to a group of its managers. Alior Bank announced its IPO on November 8 this year, with the intention to improve its capital position. In the first three quarters of 2012, the bank generated a net profit of z∏.222.9 milKamila Wajszczuk lion.

Foodcare, the producer of energy drink Black, has acquired PB Group’s Blow, an energy drink marketed at women. Neither Blow’s producer, nor Foodcare CEO Wies∏aw W∏odarski have revealed the cost of the transaction, Puls Biznesu reported. In 2013, the company plans to expand its production line at a cost of €4-5 million and to improve Blow’s market share from 1.5% to 5%. AC Nielsen reported that, based on its data from November 2011 to October 2012, the Polish energy drink market is worth an annual z∏.825 million.

PBG and Rafako contracts A consortium of PBG and Rafako last week signed four agreements worth a total of z∏.770 million with companies from the EDF Polska energy group. The troubled construction firms will build flue-gas desulfurization installations for combined heat and power plants in Kraków, Gdaƒsk, Gdynia and Wroc∏aw. ●

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BUSINESS

Polish State Railways

PKP revises plans for selling subsidiaries State-owned rail transportation group PKP will sell between 25 percent and 50 percent minus one share in cargo operator PKP Cargo on the Warsaw Stock Exchange, the group’s chief executive Jakub Karnowski told PAP. The railway group expects to use the proceeds from the sale of its subsidiaries to repay about z∏.1 billion of its z∏.4.5 billion debt. PKP Cargo’s IPO is scheduled to take place in 2013. Depending on the market situation and the valuation of PKP Cargo’s shares, PKP will decide on the exact size of the stake to be sold and may even postpone the offering. The group invited several companies to a negotiations process for the sale of PKP Cargo in March 2011, but later canceled the sale after it was unable to obtain a satisfactory offer. PKP is also negotiating the sale of telecommunications firm TK Telekom. “We are in talks with three potential bidders but we will not try to sell TK Telekom at any price. If none of them

COURTESY OF PKP

The rail operator is looking for ways to pare down its z∏.4.5 billion debt

www.wbj.pl

Orlen to invest z∏.22.5 billion Over the next five years Polish refining giant PKN Orlen plans to spend some z∏.22.5 billion on investments, modernization and growth programs. The figures are set out in the company’s latest 20132017 strategy. The plan assumes that the company will keep its leveraging at a “safe” level (below 30 percent), increase investments, and gradually raise dividend payouts. The main goals of the plan are to maximize efficiency while developing the company’s oil and gas production. Some 41 percent of the planned investment spending will go towards oil and gas exploration, as well as energy

production. The firm plans to spend z∏.6.1 billion on crude-oil refining projects, z∏.5.1 billion on upstream (mostly shale gas) projects, z∏.4.7 billion on petrochemical projects, z∏.4.2

billion on power generation and z∏.2.4 billion on its retail operations. The company also has z∏.6.9 billion more that it could release for spending on the MM right projects.

COURTESY OF PKN ORLEN

DECEMBER 10-16, 2012

Orlen is planning to spend z∏.6.1 billion on crude-oil refining projects

Spending on R&D set to grow

PKP is looking to sell at least 25 percent of PKP Cargo on the Warsaw Stock Exchange offers a price that would suit us, we do not rule out withdrawing from this privatization for some time,” Mr Karnowski said. Since September, PKP has been in parallel negotiations over the sale of TK Telekom with telecommunications sector companies GTS, Netia and a consortium formed by Hawe and IT Polpager, which previously held exclusive negotiation rights. If the subsidiary sale plans fail, PKP has said it is prepared to raise funds needed to repay the debt through a bond

issue. PKP plans to publish an invitation for potential buyers of cable car operator Polskie Koleje Linowe (PKL) by the end of 2012. Power supply subsidiary PKP Energetyka will be privatized later. “The are some issues that have to be solved before we start to actively look for investors. This is especially the company’s engagement in several railroad modernization consortia,” Mr Karnowski said. Kamila Wajszczuk

Legal News Contact: Miros∏aw Stefanik ms@pnplaw.pl

Time limits for commercial transaction payments On December 4, 2012, the government adopted a draft act concerning payment deadlines for commercial transactions. One of the aims of the draft is to discipline debtors and to improve the situation of their creditors. The new regulations are to introduce a rule stating that payment deadlines in transactions between entrepreneurs should not exceed 60 calendar days unless the parties agree on a different period that it is not grossly unfair for the creditor. Moreover, a 30-day deadline has been adopted for making payments in uncomplicated transactions between entrepreneurs and public authorities. This means that the term for settling a payment for delivered goods or rendered services cannot exceed 30 days upon the date of receipt of an invoice or a bill. The provisions of the draft act will not relate to consumers.

New act on waste On November 27, 2012, parliament

passed a draft of a new act on waste to the president. The act describes, among other things, the rules concerning waste treatment which are designed to ensure the protection of human life and health as well as environmental protection in accordance with the rules of sustainable development. The aim is above all connected to the prevention of waste production, limiting the quantity of produced waste, diminishing its negative impact on the environment, and preparing for it to be reused and recycled. With some exceptions, the act will become binding 14 days after its publication.

Foreign records In accordance with the recent resolution of the Supreme Court no. III CZP 58/12, vital records (birth certificates, marriage certificates, death certificates) drawn up abroad constitute exclusive evidence of the information contained within those records, in cases when a person has not had his or her details entered into the Polish birth, marriage and death registers. ●

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The amount of money spent by the state on research and development programs in Poland is continuing to rise and will amount to z∏.3 billion in 2013, according to a report by the Polish Information and Foreign Investment Agency (PAIiIZ). PAIiIZ, itself a government body, favors using the money to invest in the automotive, aerospace, telecommunications, IT and biotechnology industries. Foreign companies are also

deciding to open research centers in Poland. PAIiIZ, which provides information and services for foreign entities interested in expanding their business activities in the country, has finalized four such projects so far this year, while 16 others are underway. In 2011 it finalized five such projects. Currently there are 93 research and development centers in Poland, almost 200 industrial clusters, 54 technol-

ogy parks, and 69 centers for technology transfers. The National Center for Research and Development (NCRD), which provides companies with government grants, believes that fastdeveloping industries in which the state should invest include pharmaceuticals, medical engineering, construction, robotics and nanotechnology. Marta Mardosz

INTERVIEW

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Poles increasingly euro-skeptic The proportion of Poles opposed to the adoption of the euro by their country has increased by three percentage points compared to 2011, bringing it to 56%, according to a study by Ipsos Observer. Some 31% of Polish citizens now support the adoption of the common currency. That’s two percentage points more than a year ago. The Polish government has promised that by 2015 it will have fulfilled all the requirements necessary to join the euro zone.

Poland losing star status Poland’s economy ranks 16th out of 27 EU countries in a ranking published by Puls Biznesu based on a European Commission report. Despite this relatively weak position, a few factors are favorable for the country. A weak z∏oty is good for exports, and Poland has a low level of debt relative to other EU states. ●

DECEMBER 10-16, 2012

Europe

Poland’s budget battle Piotr Serafin, secretary of state in Poland’s Ministry of Foreign Affairs, talks to WBJ about the negotiations over the EU budget for 2014-2020 Negotiations over the EU budget for 2014-2020 have ended in stalemate. What are the reasons for this outcome – is it due solely to the economic and financial crisis in the EU, or is it the result of political divisions and national egoism? Reconciling the different interests of 27 member states is no easy task. But the result [achieved by] the European Council is not a stalemate – we see a convergence of views and I am optimistic about a deal early next year. As far as I remember the EU budget negotiations have never been resolved in one go, it always took at least two meetings of the European Council. We are far from a crisis situation. Poland’s negotiation strategy was described as a soft one.

We did not [threaten] to use our veto, yet we did not agree with what was proposed by [President of the European Council] Van Rompuy, namely cutting the budget to €975 billion, which would mean Poland losing about €1.5 billion. What instruments will Poland use in the next round of negotiations, due to be held at the beginning of next year? Every member state has the power to veto, so it’s not threatening to use it that makes your negotiating position better. Poland has been one of the leaders of the friends of the cohesion group and we will keep on working with our partners in this group. It’s also worth mentioning that the Franco-Polish cooperation has been very promising – our common goal is to keep the budgets for the Common Agricultural Policy and cohesion policy untouched. Opposition parties Law and Justice (PiS), the Democratic Left Alliance (SLD) and Palikot’s Movement have accused Prime Minister Don-

ald Tusk of showing weakness during the budget negotiations. What is your reaction to these claims? It is the privilege of the opposition to criticize. As I said, threatening to use the veto doesn’t make your negotiating position better. Using the veto is always a failure, for the member state that takes this step and for the whole community. Prime Minister Tusk has said he received verbal promises from other leaders that the cohesion policy will not be cut. But what are the chances of the EU’s Common Agricultural Policy being cut, and can we be certain that the verbal promises will be kept during the next round of negotiations? During the summit only four member states demanded greater cuts to the budget. But even their proposal excluded agricultural and cohesion policies. It is clear that there will be no agreement if [countries want the] budget of the cohesion or CAP to be decreased. There are plenty of member states who will not accept it.

“Budget negotiations are zero-sum games in terms of arithmetic, but from an economic point of view it is a win-win situation” While the biggest net payers – Britain, Sweden, the Netherlands and Germany – were successful in forming an alliance for cuts, Poland and others looking to defend the cohesion policy were not so effective. How do you see the situation, will it play out the same way during the next round of negotiations? I disagree completely. It is obvious that the net payers are in a better negotiating situation, simply because they pay more into the budget. Moreover, this is the first time that the budget is being negotiated in a time of crisis – which is not helping. In these difficult circumstances the “The Friends of the Cohesion Policy” group has been very successful in highlighting the importance of the cohesion policy. We have shown that the majority of member states, European

institutions, business partners and trade unions deem the cohesion policy as an important tool for exiting the crisis. This was not an easy task given the bad connotations – many decision-makers in the old member states tend to blame cohesion policy for the crisis in Southern Europe. When, in 2005, EU member states negotiated over the budget and the outcome for Poland was very favorable, the EU was economically strong and few predicted the present crisis. Now, by contrast, commentators across Europe are writing about the political weakness of the EU, with some even predicting its collapse. How does this pessimistic mood influence politicians during negotiations? History teaches us that each crisis has made the European

Idea – business – success! Zacznij.biz Zacznij.biz – idea – business – success, is a business competition organized by the Polish Confederation atio on of Private e Employers Lewiatan Lewiattan and Lewiatan e an Business Angels. On December 1, 2012, 2 the third edition of the Zacznij.biz competition was launched. The idea behind the contest is to promote entrepreneurship, trrepren neurship, ass assist s in preparing b sist business usiness plans nss and a attract investors – business angels – to work with the best ideas. The prize for those who enter the best ideas into the competition is to interest potential investors from Lewiatan Business e ess Angels. The e competitions competitio tions itself is a unique opportunity for entrepren entrepreneurs. neurs. A good n idea is a necessary but not sufficient condition to receive funding – the ability to execute, experience, commitment (including ud uding a financial financia al commit commitment), mitment), and a properly written business plan are of o key importance. Many entrepreneurs underestimate the importance of having the idea properly thought through and presented o on paper. Cont Contestants testants nts can take part in several free training sessions and d workshops conducted by experienced experts cooperating with Lewiatan Business Angels. In addition, participants will have a chance ce c to prepare re a comprehensive co business plan and acquire the knowledg knowledge ge and skills g for effective presentation of their business ideas. Zacznij.biz – idea – business – success, is aimed at: • micro- and small enterprises with big growth potential, operating in the hi-tech sector, seeking to raise capital for development opment and opme d implementation imple implemen me tation of new technologies tech echnol nologi ogies e • academics: researchers, graduate students and students of technical universities, who want to commercialize their innovative va vative ive ideas • entrepreneurs with the projects operating in the ICT sector with global growth potential To participate in the competition, register at www.zacznij.biz.pl and fill in the proper form available on the website. Applications ns are ar being ng accepted a from December 1, 2012 to January 31,, 2 2013. 013 The most promising ideas will be presented at the Final Gala in May 2013. Last two editions saw over 300 projects submitted representing different business sectors. The finalists from previous editions are i.e. Homplex plex and d Egzotech. E Organizers of the competition: PKPP Lewiatan The Polish Confederation of Private Employers Lewiatan (PKPP Lewiatan) was established in January 1999 as a nationwide representation of employers to the e sta state tate and trade unions unions. ns. Tod Today day it is an organization of 62 sector and regional associations of private employers and 25 individual members. Thus, in total, about 3,750 companies employing over 700,000 workers rkers ers are a represented represen ented by by PKPP Lewiatan. Le Each association is an autonomous organization that brings together individual enterprises, each possessing its own statute and management. For more information visit: www.pkpplewiatan.pl Lewiatan Business Angels Lewiatan Business Angels (LBA) is the most active Business Angel network in Poland. It was established in 2005 with the use of EU funds under the brand of the Polish Confederation ed deration of Private Emp Employers mote Business A Lewiatan. LBA matches entrepreneurs who have innovative ideas and ambitious development plans with private investors (so called Business Angels). Its main goals are to prom promote Angels investing in Poland, to match private investors with companies seeking funding for growth, to exchange experience and to encourage best practices. For more information visit: www.lba.pl

This Project is co-financed with European Union Funds from European Regional Development Fund.

INTERVIEW

COURTESY OF THE MINISTRY OF FOREIGN AFFAIRS

DECEMBER 10-16, 2012

Piotr Serafin believes it is always a failure when a country uses its veto in EU budget negotiations Union stronger. So I would be more optimistic about the future of the EU. Nevertheless, the financial crisis has had a great impact on the negotiations. Some member states are making difficult [budget] decisions at home so they feel that the EU budget should follow [and be cut]. We disagree with this logic – the EU budget is mainly an investment tool and should therefore be used to stimulate growth. It is an acknowledged fact that the EU is developing at two or even more different speeds, where the euro zone is integrated and the other members are left outside. How could this effect the next round of negotiations over the EU budget? Ideas of a separate budget for the euro zone are not new and should be further explored. Nevertheless, we have all agreed within the EU that the issue of the possible euro zone budget is unrelated to the [EU budget] negotiations. One of the key figures during the negotiations has been UK

Prime Minister David Cameron, with Polish representatives complaining about his stance on the budget. How could this effect Poland’s bilateral relations with Britain? The United Kingdom’s role in the EU has been and still is absolutely fundamental. The single market, for example, was a British idea. So there’s much more to Britain in the EU than just the budget negotiations. Prime Minister Cameron has said on numerous occasions that the UK will not demand cuts for the poorest regions, so we hope he will keep his word. Will these tough negotiations concerning money, and flagrant demonstrations of national self-interest by many EU member states serve to erode the solidarity and noble visions that have bound the EU together, and perhaps deepen divisions between the richer and poorer countries? If you look at the past two, three years, which have been very difficult, you will see that the EU has been gaining in

strength. As I said earlier, crises tend to stimulate further integration within the EU. Although the budget negotiations are highly divisive, the fact that we all share common interests will not change. What outcome would you consider satisfactory for Poland’s development and position in the EU after these budget negotiations? Negotiations in the EU require a kind of intimacy and flexibility. Making our red lines public would not be good for the process. Budget negotiations are zero-sum games in terms of arithmetic, but from an economic point of view it is a win-win situation. The EU funds have played a major role in Poland’s convergence process. We were able to move from 45 percent of the average EU income just after accession to 65 percent today. We believe that with the next long-term budget we will be able to be much closer to the EU average and that finally we will manage to overcome divisions created by the Iron Curtain. ●

Piotr Serafin Born in 1974 in Sul´cin, Piotr Serafin went on to graduate from the Warsaw School of Economics (in economics) and the University of Warsaw (in law). He began working at the Office of the Committee for European Integration (UKIE) in 1998, first as a specialist in EU budget and institutional issues, cooperating with the chief negotiators on Poland’s accession to the Euro-

pean Union. Later, he coordinated and participated in negotiations on the 2007-2013 Multiannual Financial Framework. Piotr Serafin was appointed undersecretary of state in the Ministry of Foreign Affairs after the merger of UKIE and the Ministry of Foreign Affairs. He is married, with two daughters. Source: Ministry of Foreign Affairs

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OPINION & ANALYSIS

DECEMBER 10-16, 2012

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Britain’s European destiny

urope has disturbed and divided British politics for years. But now mainstream politicians from the governing party are openly making the case for Britain leaving the European Union, or radically changing its relationship with it – which may amount to the same thing – with the sympathy of some of our nation’s leaders and far wider support among the public. The reason for this resurgent scepticism and hostility toward the EU is not hard to fathom. Europe is in crisis. The euro’s design flaw – an economic union motivated by politics but expressed in economics – has become manifest. Structural changes to economies that experienced a sharp fall in interest rates when they joined a Germany-dominated currency bloc now must be made quickly, in crisis, and without the luxury of devaluation. With Europe in crisis, being antiEurope is popular. But leadership is not about conceding to short-term politics. It is about managing shortterm politics in the pursuit of the right long-term policy.

Europe’s place in the world In fact, the rationale for the European Union today is stronger, not weaker, than it was 66 years ago, when the project began. But it is different. Back then, the rationale was peace; today, it is power. China has a population that is three times larger than that of the EU and an economy that eventually will be the world’s largest. India has more than a billion people. Indonesia’s population is three times that of the largest European country, and a host of other countries – including Russia, Brazil, Mexico, Vietnam, the Philippines,

and Egypt – have more people today than any EU member state. This is crucial, because, as technology and capital become globally mobile, a realignment of GDP and population will occur: the larger a country’s population, the bigger its economy. The United States remains extraordinarily strong, with its military easily the world’s largest and best equipped, but its status as the world’s only superpower will become untenable. That is the big picture. The case for the EU today is that member countries, including Britain, need its heft in order to leverage power in economics, trade, defense, and foreign policy, as well as to address global challenges like climate change. The EU gives Britain a weight collectively that it lacks on its own. It really is that simple: In a world in which China and India both have populations 20 times that of the United Kingdom, Britain needs the EU in order to pursue its national interest effectively. With it, we count for more; without it, we count for less. And if we want to participate in Europe, we must do so as Europeans, which depends on Britain recognizing not only the strategic rationale for Europe, but also Britain’s strategic interest in being part of it. Here, it is no longer good enough for us pro-Europeans to claim that only atavistic Little Englanders make the case for leaving, or to pretend that, outside the EU, Britain would collapse or disintegrate. Britain could have a future outside of Europe. The question is whether it should – whether leaving would be sensible in terms of Britain’s long-term interests. Let us first demolish one delusion, namely that Britain could be like

COURTESY OF WIKIMEDIA COMMONS

Tony Blair

Former UK Prime Minister Tony Blair Norway or Switzerland. Norway has a population of around 4.9 million and a GDP of $485.8 billion. It also has a sovereign wealth fund currently valued at more than $600 billion and set to rise to $1 trillion by 2020, owing to vast oil and gas reserves. If the United Kingdom, with a GDP of $2.4 trillion, had a wealth fund of roughly $3 trillion, all of the arguments would change. But it doesn’t. And no serious case can be made that Britain could become like Switzerland, a unique case politically and economically.

Leadership role threatened Britain outside the EU would face three major disadvantages. First, it would lose its global leadership role. There should be no illusions about this. The idea that it would then seek new relationships with the likes of China and India is fanciful. Neither country would ever subordinate its relationship with Europe to a rela-

tionship with a non-European Britain. Second, leaving the EU would exclude it from the decision-making process determining the rules of the single market. British companies know this; so do global companies that use the UK as a European base. Finally, Britain would lose the opportunity for cooperation and added strength on issues that it cares about – for example, climate change, trade negotiations, foreign policy, and bilateral disputes – at a time when others are seizing the opportunities offered by regional integration. From the Association of Southeast Asian Nations – now with roughly 600 million people and looking to get a single market underway – to the African Union and South America’s MERCOSUR and UNASUR, countries everywhere are coming together in regional blocs. Will Britain drift away from the one on its doorstep? Let us be clear, too, about “renego-

tiating the terms of membership.” If Britain focuses over the next few years not on how it can help Europe recover and prosper, but rather on how it can change its own relationship with Europe, there should be no doubt about the temper and frame of mind that our current partners will bring to that negotiation. Britain must not go down this path unless it is prepared to follow it all the way to the exit. In 1946, when Europe was debating its first tentative steps toward integration, Winston Churchill delivered his famous speech calling for a United States of Europe, which he believed was the route to peace after the horrors of war. He wished the enterprise well; but he did not intend that Britain would be part of it. So it wasn’t. But Britain spent the next two decades and more trying to join it; and when, eventually, it did, many of the rules and much of the institutional infrastructure were already set in stone. I have no doubt that if we could have foreseen the future in 1946, we would have wanted to be in Europe from the beginning. Europe is a destiny that Britain will never embrace easily. But doing so is absolutely essential to remaining a world power, politically and economically. It would be a monumental error of statesmanship to turn our back on Europe and abandon a crucial position of power and influence in the 21st century. ● Tony Blair was Prime Minister of the United Kingdom, 1997 to 2007. This article is an abridged version of a speech on Europe and the United Kingdom. Copyright: Project Syndicate, 2012. project-syndicate.org

Editorials are the opinions of WBJ’s editorial board. Other opinions are those of the authors alone. Comments, opinions and letters should be sent to editor@wbj.pl. Please include a name and contact information and clearly indicate if they are to be considered for publication.

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COVER STORY

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DECEMBER 10-16, 2012

Innovation

Poland inching towards innovation The 2012 edition of the Technology Fast 50 Central Europe ranking from consultancy Deloitte features an impressive number of Polish companies. In fact, six positions in the top 10 of the list are held by businesses based in Poland. Poland’s top-ranked company, software developer i3D, reported a whopping 2,254 percent growth over the past five years, according to the ranking. Yet a number of reports and statistics show that Poland lags in the innovation stakes compared to the rest of the European Union. The 2012 Global Innovation Index ranking, prepared by the World Intellectual Property Organization, ranked Poland as the EU’s third-least innovative

economy in 2012, with worse results recorded only by Greece and Romania. Eurostat data confirm the disappointing trend – in 2010 the country spent a mere 0.74 percent of its gross domestic product on R&D, much less than the 2 percent spent on average in the EU. The report also reveals that Poland filed eight patents per million citizens to the European Patent Office in 2010, compared with an average of 108 in the entire European Union and 266 in Germany.

A shift to innovation? For the past 20 years, Poland has been very successful at building economic growth through attracting investments such as assembly plants or offshore outsourcing centers. Those, however, require low production and labor costs – but those are gradually app-

COURTESY OF NASA

The country lags behind in innovation, but there are some encouraging signs

Mark Ordon

Poland's VIGO System produced infrared detectors for NASA’s Curiosity rover, which is now exploring Mars

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roaching EU averages in Poland. To compete, Polish companies must therefore focus heavily on innovation. But in his recent book, “The Rebellion of the Net,” Edwin Bendyk, a writer, scientist and head of the Center for Future Studies at Collegium Civitas, criticized the overall lack of interest Polish businesspeople have in innovative activities and in developing lasting relationships between the academic and business worlds. He places blame on the short-term vision of Polish business owners. The country’s private sector has until now been successful at developing simple products and services, in which the creativity of employees has lower priority than, for example, professional discipline or clear procedures.

Why then invest in risky R&D investments when you can still make a decent profit by applying simple, low-risk business models? Mr Bendyk concludes there is no escape from a knowledge-based economy. While we can avert a discussion or difficult decisions, we will sooner or later face the challenges this new reality is bringing.

Succes stories This is not to say, though, that Polish businesses and institutions have no desire whatsoever to develop innovative ideas. Take the case of Polish scientist Miros∏aw Grudzieƒ. Mr Grudzieƒ is owner of VIGO System, a company which produced infrared detectors for NASA’s Curiosity rover, which is now exploring Mars. To get a jump-start on a new project

involving the production of high-tech sensors, the company sought financing from banks. Since part of the loan would be subsidized by funds from the European Union, the relevant government agencies had to agree to the project, which in essence threw a spanner in the works. The procedure took over a year and although VIGO did receive the necessary funds, the time-sensitive project was seriously delayed. Mr Grudzieƒ told Reuters that “civil servants do not care if I get the credit today, in a year or in three years. They do not have a clue that in modern technologies one year of delay in financing can mean defeat.” Dr Zygmunt ¸uczyƒski, the head of the Institute of Electronic Materials Technology (ITME), a state-owned re-

Innovation in Central Europe The fastest growing Central European technology companies, based on the percentage of revenue growth over a five-year period Rank 1 2 3 4 5 6 7 8 9 10

Company Vola.ro SRL LiveSport s.r.o. i3D Inwestycje.pl NORIL LGBS Polska Internet Shop SMT Software Domenomania.pl Capture Informatikai és Tanácsadó

Country Romania Czech Republic Poland Poland Poland Poland Czech Republic Poland Poland Hungary

Sector Internet Internet Software Internet Internet Software Internet Software Internet Software

Growth 17,323% 2,441% 2,254% 1,677% 1,322% 1,251% 1,210% 1,115% 1,029% 1,029%

Source: Deloitte's Technology Fast 50 Central Europe 2012 ranking

COVER STORY

Maybe it’s not so bad after all? Going back to Deloitte’s Fast 50 ranking, what made the differ-

5 4 3 2 1

customers in Poland that it is time for a more modern approach. Even beneficiaries of the company’s laboratory at the Silesian University of Technology admit they were skeptical at first, although today they cannot imagine not having the technology available. Mr WiÊniewski also added that the matter of financing is

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Kudrycka explained. She added that changes in fiscal legislation will be introduced in 2014 to encourage innovation. “We are currently working with the Ministry of Finance on a new system enabling the write-off of 1 percent of corporate income tax to benefit scientific institutions which will provide a guarantee of the appropriate use of the funds,” she explained.

always an issue. Joint projects with academic institutions are financed in part by the company, in part through EU subsidies. Some may require government aid, while in some cases external sponsors are involved. The problem today is that academic institutions in Poland do not have dedicated funding for independent projects and the financial puzzle

Gross domestic expenditure on R&D, 2010 (% share of GDP), selected EU27 countries

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ministry explains that the leap in R&D expenditure comes as a result of recently implemented programs that encourage cooperation between business and academic circles. The ministry itself is also contributing more. In 2010, government expenditure on R&D, along with grants given by the National Science Center and the National Center for Research and Development (the government agency that helps transfer the results of research to industry) came to a total of z∏.1.28 billion. At a press

Lagging behind

hR ep

“Civil servants do not have a clue that in modern technologies, one year of delay in financing can mean defeat.”

can be reconstructed. The company’s recent success can certainly be attributed to the rapid development of virtual reality technologies. The firm is hoping not just to benefit from this, but to set new directions and standards in the field. Of course, the picture isn’t all that rosy, as noted by Marek WiÊniewski, a developer at i3D. The biggest barrier was to convince potential

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But change may be on the way. According to recent data published by the Ministry of Science and Higher Education, business spending on research and development has jumped by over 800 percent this year to z∏.2.19 billion, from a modest z∏.258 million last year. The

ence for the number-one Polish company – i3D? The firm specializes in the development of interactive applications and 3D visualization. One of the founders of the company is Marek Koêlak, who holds a PhD from the Silesian University of Technology. As a result, the development team is made up mostly of the university’s scientists and students and the lines of communication between the academic institution and the company are always open. One of the visible results of this cooperation is the Virtual Reality Laboratory, established at the university in 2007. This one-of-a-kind facility in Central and Eastern Europe is used for academic purposes. The company has also reached beyond the borders of Poland and has now signed a contract with IBM Deep Computing in Houston for joint research and development projects. According to a statement provided by the company’s press office, its involvement in projects for global giants such as Boeing, ExxonMobil or Saudi Aramco helped to build valuable know-how for the construction of objects in virtual reality, a skill which is hard to find among researchers in the region. Application and hardware solutions produced by i3D take users to virtual worlds where historic sites, industrial equipment or even museum exhibits

Light at the end of the tunnel?

conference at the end of October, Science and Higher Education Minister Barbara Kudrycka announced that the government plans to create a venture capital fund which would provide financing for Polish inventions. The program will be called Polish Innovations and aims to focus on providing financial support for private companies and institutions looking to introduce Polish technology to the market. “Our goal is to make investing in the commercialization process more dynamic,” Ms

while the state does not encourage companies to develop their own technology. On top of that, miles of administrative red tape scare off even the bravest of pioneers.

Po la

search center, confirms that he has long wrestled with similar issues. His institute discovered a new method to produce a one-atom thick film of carbon known as graphene, which was classified as one of the nine most interesting findings in the field in 2010-2011 by technology consultancy Future Markets. The material is strong, transparent and conducts electricity, which could make it a perfect material for touch screens for smartphones. Dr ¸uczyƒski told Reuters how his institute has been trying for nearly two years to get state funding for equipment to help research the discovery. He also said his institute was barred by the Economy Ministry, which oversees it, from entering a joint-venture with a foreign investor to commercialize graphene. “It is a choice of the state, whether the things we do have an impact on the economy. For now it seems the state does not really care,” Mr ¸uczyƒski said. The general opinion of experts involved in Polish science is that when Poland made its first steps to becoming a market economy two decades ago, few people were interested in investing in a research project when it was much easier to just import foreign technology. The direct effect is a system that fails to support innovation. Academic institutions do not cooperate well with business,

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Ro ma n

DECEMBER 10-16, 2012

Source: Eurostat

needs to be put together every single time. Yet despite these barriers, the company has no intention of changing its direction and has its plate full of new projects and innovative ideas. The example of i3D shows that despite all the obstacles, innovation is by no means impossible in Poland. ●

FINANCE & ECONOMICS

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RPP cuts interest rates second month in a row z∏oty appreciated. Poland became the only European country to raise rates this year, when the RPP hiked them by 25 bps in May to 4.75 percent. Since then economic indicators have shown a significant weakening of Poland’s economy. After showing GDP growth of 3.6 percent in the first quarter, Poland’s economy slowed to growth of 2.3 percent in Q2 and to 1.4 percent in Q3. Manufacturing indicators have shown the business environment in that sector deteriorating for eight straight months, while unemployment hovers around 12.5 percent, and has

As expected, Poland’s Monetary Policy Council (RPP) cut the National Bank of Poland’s reference interest rate by 25 basis points, to 4.25 percent. The last time rates were this low was in May 2011. Most economists predicted that the RPP would make such a move, since economic data for Poland has continued to surprise on the negative side since November, when the council cut rates for the first time since July 2009. However, some traders had expected the council to cut even deeper, by 50 basis points. As a result, when the decision was announced, the

been persistently higher this year than last year. Economists expect the council to continue to cut rates through early next year. “It is likely that the council will trim rates again by 25 bps in January 2013,” said economists from Bank Zachodni WBK in an e-mailed statement. “We expect further reduction in rates after the release of updated inflation and GDP projections by the central bank in March. Consequently, the reference rate might go down to the record-low of 3.50 percent in April next year,” they added. Andrew Kureth

On the way back down The National Bank of Poland's reference interest rate (%), December 2010-December 2012

DECEMBER 10-16, 2012

Downturn in manufacturing sector continues, but eases Poland’s manufacturing sector is still facing a downturn – one it has been dealing with since April of this year – though it has shown improvements for two months straight, according to the latest PMI readings from Markit and HSBC. Poland’s manufacturing PMI score came in at 48.2 – 0.9 points higher than in the previous month, but still under 50, therefore indicating deterioration. “Central to the overall downturn in the sector was a further fall in new business,” reads the report, released last week. “The current sequence of contraction now stretches to 10

months, the third longest in the survey history. New export business fell at a slightly faster rate than total new work, although the rate of decline in overall new orders was the weakest since July.” Economists said the figures gave reason for both optimism and pessimism. “The November PMI is good and bad depending on the angle one looks from,” said Agata Urbaƒska, an economist for Central & Eastern Europe for HSBC. “It is bad as it continues to show deterioration in the manufacturing sector. It is good as it indicates that the rate of this deterioration has dimin-

ished in comparison to last couple of months.” “We remain cautious then in deriving positive implications for the immediate future but it is a light in the tunnel,” Ms Urbaƒska added. “The PMI index is the strongest in three months, the output index is the strongest in four months, and the new export orders index is the strongest in eight months. ... On balance we are still looking for economic activity to slow this and next quarter but the end of the deterioration in forward looking indicators like the PMI supports expectations of the slowdown bottoming out in AK 2Q13.”

In need of recovery Poland's manufacturing PMI score, November 2010-November 2012

5.0

4.5

4.0 55

3.5 50 Jan . '1 2 Feb . '1 2 Ma r. ' 12 Ap r. ' 12 Ma y '1 2 Jun . '1 2 Jul . '1 2 Au g. '12 Se p. '12 Oc t. ' 12 No v. ' 12 De c. '12

qualifications for a gross salary of z∏.1,500 makes them unprofitable. “A relatively high minimum wage hinders economic activity, especially [for] those most vulnerable, the least productive,” Mr M´cina told Polish Radio. “It’s not only a matter

for young people entering the labor market, but also workers with the lowest skills. Some initiatives have already been implemented and, for example, graduates who enter the labor market receive 80 percent of the minimum wage,” RG he added.

Jan . '1 2 Feb . '1 2 Ma r. ' 12 Ap r. ' 12 Ma y '1 2 Jun . '1 2 Jul . '1 2 Au g. '12 Se p. '12 Oc t. ' 12 No v. ' 12

'11 c.

v. ' 1

'11

t. ' Oc

'11 g.

p. Se

1 . '1 Jul

. '1

y '1 Ma

Jun

r. ' 1

r. ' 1 Ap

1 . '1

. '1

Jan

Feb

v. ' 1

Lowering the minimum wage for the most vulnerable groups in the labor market could help these groups find employment, according to Deputy Labor Minister Jacek M´cina. Mr M´cina said that employers often complain that employing people with no

Deputy minister wants to lower minimum wage

45 0

Source: National Bank of Poland

'10

'11 c.

v. ' 1

'11

t. '

'11 g.

. '1 Jul

. '1 Jun

y '1

r. ' 1 Ap

r. ' 1 Ma

. '1

Feb

. '1

c. De

Jan

'10

3.0

Source: Markit Economics, HSBC

Poles fear rising prices: poll Sixty-four percent of Poles fear that rising prices will mean that next year they will have to limit food purchases, while 65 percent worry they will be able to buy fewer clothes and shoes, according to a poll by CBOS.

Over 1,000 people were polled in the survey, with 97 percent of the respondents saying that the prices of goods and services in Poland are rising. As many as 68 percent of respondents stated that the

price increases are “very large,” with 29 percent saying they are “moderate.” Only one in a hundred respondents said that prices have not changed, and the same percentage said there had been a small drop. RG

The Polish Hotel Company is planning a host of new schemes across Poland

Developers are discovering new second-home destinations in the Polish mountains 16

LOKALE IMMOBILIA

W a r s a w B u s i n e s s J o u r n a l ’s w e e k ly s u p p l e m e n t o n re a l e s t a t e , c o n s t r u c t i o n a n d d e v e l o p m e n t

Skanska touts CEE leasing performance Developer Skanska Commercial Development Europe has announced it has already leased 63,500 sqm of office space in Central and Eastern Europe this year, which, according to the company, is the highest lease level achieved by any developer in the region. The lease deals were signed in Poland, the Czech Republic and Hungary, with the former country accounting for the largest part of the total volume of space commercialized by Skanska in CEE this year. ●

In this issue New Heitman purchase . . . . . .15 IBC changes hands . . . . . . . . . .15 Polish Hotel Company plans . .16 New Hilton project . . . . . . . . . .16 Property-related stocks . . . . . .16 Mountain resort homes . . . . . .17 Griffin’s Warsaw acquisition . .17

Heitman acquires Marynarska Business Park in Warsaw The property is the fourth Polish acquisition by the HEPP IV fund Real estate investment management firm Heitman has announced, on behalf of the Heitman European Property Partners IV (HEPP IV) fund, the acquisition of the Marynarska Business Park office complex in Warsaw. The German open-ended real estate fund Degi International, managed by TPA Horwath-advised Aberdeen Immobilien, was the seller of the property, which is located on ul. Marynarska in the Polish capital’s Mokotów district. The transaction involved the purchase by Heitman of 100 percent of shares in Aberdeen Marynarska, a company holding the asset, after securing the approval of Poland’s anti-monopoly regulator UOKiK. The value of the deal has not been disclosed, with Deutsche Pfandbriefbank having revealed it had provided

€69 million in financing to HEPP IV for the acquisition. Degi International bought the office complex from its developer, Ghelamco Poland, in 2008 for €167 million. Built in 2008, the class-A Marynarska Business Park development offers a total of approximately 45,800 sqm of space. The facility is currently fully leased out, with its tenants including Netia, Play, Colgate, Tebodin and SC Johnson. “Marynarska Business Park is a strong example of our value added strategy of acquiring fundamentally strong properties and enhancing returns through active asset management,” Rob Reiskin, managing director and cohead of Europe at Heitman, said in a statement. Launched in 2008, the HEPP IV fund has €505 million in equity commitments and is now entering its final year of deploying capital across Central and Eastern Europe. Marynarska Business Park is the fourth acquisition AZ of the fund in Poland.

Marynarska Business Park comprises approximately 45,800 sqm of space

Office

International Business Centre in Warsaw changes hands The property was bought for around €148 million Investment funds manager Deka Immobilien has acquired the International Business Centre in downtown Warsaw from the Accession Fund SICAV managed by GLL Real Estate Partners. The value of the transaction amounted to approximately €148 million. The property is located at the intersection of Al. Armii Ludowej and ul. Waryƒskiego, near Warsaw’s Politechnika

subway station, and was developed in two phases which offer a total of 37,000 sqm of office space. Jones Lang LaSalle and Salans represented GLL in the transaction, while Deka, which is now also in the process of concluding the acquisition of the InterContinental hotel in Warsaw from Warimpex and UBM, was represented by CBRE and CMS Cameron McKenna. “The transaction further underlines the liquidity of prime office product in the

Warsaw market seen throughout 2012,” Leon Ballard, associate director in the capital markets department of Jones Lang LaSalle, said in a statement. Tenants at the International Business Centre currently include PwC, Samsung, Provident and Bank Pocztowy. “Due to its quality and location, the International Business Centre has and will continue to attract best-inclass occupiers,” Mr Ballard said. Adam Zdrodowski

COURTESY OF JONES LANG LASALLE

The operator of Poland’s National Stadium was expected to have been earning over z∏.8 million per year from the rental of office space on the property, but Narodowe Centrum Sportu (NCS) has yet to earn a single z∏oty from the arrangement, radio station RMF FM reported. The income from renting out 18,000 square meters of usable office space was expected to cover about a third of the cost of maintaining the facility, but despite ongoing talks with potential tenants, the company has yet to sign a binding rental agreement. Also the vast majority of the VIP lounges remain vacant.

Office

COURTESY OF TPA HORWATH

National Stadium failing to attract tenants

DECEMBER 10-16, 2012, LI 17/49

The International Business Centre

Warsaw Business Journal presents Real Estate weekly newsletter • Know about the newest projects before they’re on the market • Keep up to date on the latest tenders and auctions • Learn the latest trends in Poland’s dynamic office, residential and retail sectors • Find out who’s who in Polish real estate To subscribe: e-mail subscribe@wbj.pl or call +48 22 639 85 68, ext. 201 and sign up for free two-week no-obligation trial subscription

LOKALE IMMOBILIA – REAL ESTATE

www.wbj.pl

DECEMBER 10-16, 2012

Hospitality

Polish Hotel Company planning major development offensive

Ambitious plans The first of those facilities, the Holiday Inn Express Warsaw Airport hotel in the Polish capital, recently held its grand opening. More openings in Warsaw, as well as in the other large Polish cities, are set to take place in the upcoming years.

the park’s co-investor UBM. For the investors and developers of major office complexes, Mr Martins noted, having a hotel partner means diversification and less investment risk. A 5,000-sqm hotel facility which, at least in the initial phase, acts as if it were an office tenant, also helps in the pre-leasing process.

Stable market According to Mr Martins, the situation in the hospitality market in Poland has not changed much over the last few years, with the country continuing to see strong domestic demand for highquality hotel space and services. Asked whether the months after the Euro 2012 soccer championships, which Poland co-hosted earlier this year, saw a drop in hotel visits, Mr Martins pointed out that contrary to common belief it is actually domestic, rather than international clients, that drive the market. For instance, at the Holiday Inn Express Warsaw Airport hotel, which has been in

The company’s first hotel has recently opened in Warsaw operation for more than three months now, Polish clients have so far accounted for around 70 percent of all visits, he said. What has been changing is the fact that clients are now expecting a higher standard and that, at the same time, they are becoming more cost-conscious. More

CEOs are staying at threestar hotels, which would have been hard to imagine several years ago, Mr Martins said. All of which makes him optimistic about the prospects for the budget hotel sector in Poland, especially since the country still lacks modern facilities of this kind. “Many of the existing hotels

in Poland are old and not branded,” Mr Martins said. Businesspeople will continue to travel around Poland and stay at high-standard and affordable hotels. “We see our activities in Poland as part of the overall process of improving the country’s infrastructure,” Mr Martins Adam Zdrodowski added.

Hospitality

Property-related stocks Security

Closing price on Dec 6

% change (week)

52-week low

52-week high

% change (year)

Total shares

Market value (z∏. mln)

BUDIMEX

70.00

12.00

45.85

88.35

-2.85

25,530,098

1,787.11

CELTIC

4.00

6.95

3.74

19.38

-78.95

34,231,466

136.93

DOMDEV

36.00

11.84

23.51

42.80

12.54

24,715,272

889.75

ECHO

5.40

3.85

3.05

5.48

58.36

420,000,000

2,268.00

ELBUDOWA

112.20

-2.26

87.00

120.00

17.73

4,747,608

532.68

ENERGOPLD

0.31

0.00

0.17

2.30

-85.58

70,972,001

22.00

ERBUD

16.76

-1.41

11.33

23.20

0.36

12,677,956

212.48

GANT

4.20

36.36

2.68

9.85

-36.36

20,120,000

84.50

GTC

9.11

6.92

5.20

11.40

-2.04

319,372,990

2,909.49

HBPOLSKA

0.02

0.00

0.01

1.43

-97.47

210,558,445

4.21

JWCONSTR

4.50

7.91

3.26

8.40

-7.22

54,073,280

243.33

LCCORP

1.21

8.04

0.85

1.48

37.50

447,558,311

541.55

MARVIPOL

8.65

-0.35

6.20

11.00

-3.89

36,923,400

319.39

MIRBUD

1.19

-5.56

0.98

2.68

-48.71

75,000,000

89.25

MOSTALWAR

12.30

2.93

11.30

22.21

-40.00

20,000,000

246.00

MOSTALZAB

1.07

-6.96

0.81

1.80

-13.01

149,130,538

159.57

ORCOGROUP

11.33

7.90

6.36

19.55

-25.21

107,840,962

1,221.84

PBG

6.70

10.20

3.36

83.90

-90.00

14,295,000

95.78

PLAZACNTR

1.42

-12.35

1.40

2.94

-28.64

297,181,703

422.00

POLAQUA

3.20

-8.57

3.20

8.18

-54.29

27,500,100

88.00

POLIMEXMS

0.59

-1.67

0.48

2.04

-57.86

521,154,076

307.48

POLNORD

10.75

1.42

10.00

19.85

-24.61

25,633,027

275.56

RANKPROGR

10.84

-7.11

7.10

16.97

21.80

37,183,550

403.07

ROBYG

1.44

-1.37

1.08

1.75

26.32

257,935,500

371.43

RONSON

0.82

1.23

0.61

1.15

-13.68

272,360,000

223.34

TRAKCJA

0.64

0.00

0.64

1.44

-50.39

232,105,480

148.55

ULMA

41.40

-1.43

37.20

74.80

-32.41

5,255,632

217.58

UNIBEP

4.85

-0.61

3.60

6.28

-3.19

34,021,684

165.01

WARIMPEX

3.75

3.88

2.64

4.62

-3.10

54,000,000

202.50

ZUE

5.74

-1.03

5.07

8.50

-22.33

22,000,000

126.28

Hilton announces first twobrand investment in Kraków Two new hotels are scheduled to open for business in the city in 2014 The Hilton Worldwide hospitality chain and Kraków-based Euro Hotele have signed a franchise agreement concerning the construction of the DoubleTree by Hilton Kraków Hotel & Convention Center and Hampton by Hilton Kraków hotels in Kraków, in southern Poland. The hotels will be arranged in one building but will feature separate entrances and lobbies. Two-brand hotel facilities are increasingly popular in Europe and Poland is another country after the UK, Germany and Turkey in which a project of this kind will be built, the company said in a statement. The DoubleTree by Hilton Kraków Hotel & Convention Center and Hampton by Hilton Kraków hotels will respectively offer 224 and 161 rooms, with both facilities scheduled to open for business in 2014 and set to be managed by Vision Hotel Management from the Satoria Group.

COURTESY OF GRAYLING

Hotel developer the Polish Hotel Company is now finishing preparatory work and will launch construction on a new hospitality project in Katowice, in Silesia, in April next year, said Miguel Martins, general manager of the firm. The scheme will be the second of a total of 17 new facilities that the Polish Hotel Company plans to deliver in Poland in the next seven to eight years in partnership with the international hospitality market giant InterContinental Hotels Group.

The development process will be divided into two phases, the first of which will involve the construction of new hotels in the largest Polish cities including Warsaw, Kraków, Gdaƒsk, Poznaƒ and Wroc∏aw, Mr Martins said. In the second phase, the company plans to expand to some of the other major regional Polish cities including Szczecin, Bydgoszcz and Lublin. In the next two to three years, approximately eight new hotels will be opened, Mr Martins added. While some of the planned hotels, which will mostly be targeted at business travelers, may be standalone buildings, the majority will probably be developed within larger office investments, a niche that has a future in the Polish market, Mr Martins said. The already delivered Holiday Inn Express Warsaw Airport hotel, for one, is located within the Poleczki Business Park office complex in southern Warsaw and is the result of the Polish Hotel Company’s cooperation with

COURTESY OF POLISH HOTEL COMPANY

The developer’s plans envision 17 new hotels across Poland within the next seven to eight years

The construction site of the scheme The former scheme will feature more than 2,250 sqm of conference space. “We are convinced that both hotels will significantly contribute to increasing the number of conferences held in Kraków,” said Wojciech Popis, managing director of Vision Hotel Management. Hilton Worldwide, which opened its first Poland hotel, the Hilton Warsaw Hotel & Convention Centre, in 2007, currently has five operating hotels in the country. Within the next few years, that number is expected to increase to 17. Construction is now underway in Poland on a further

seven facilities of the chain in cities including Gdaƒsk, Kraków, ¸ódê and Wroc∏aw, while another 12 are being planned. The recently announced Hampton by Hilton Warsaw will be the largest hotel of the brand in Europe. “The development of our activities in Poland is visibly gaining pace,” said Patrick Fitzgibbon, vice president, development in Europe and Africa, at Hilton Worldwide, pointing out that the number of the company’s hotels in the country will soon more than double. Adam Zdrodowski

DECEMBER 10-16, 2012

LOKALE IMMOBILIA – REAL ESTATE

www.wbj.pl

Mountain resorts

New locations are becoming increasingly popular destinations, the study said Developers are currently selling apartments in 73 completed and under-construction secondhome investments in the Polish mountains, according to a recent report by Inwestycje w Kurortach.pl, an industry website. The most projects of this kind (42) are located in Ma∏opolskie voivodship, mainly in Zakopane, which is followed by Lower Silesia (19) and Silesia (11) where Szklarska Por´ba and Karpacz, and

Ustroƒ and Wis∏a are respectively some of the most popular destinations. In Lower Silesia, 16 facilities are now under construction, while projects including Condo Hotel Nosalowy Dwór and a scheme by Qualia Development, both of them in Zakopane, are in the pipeline. In Lower Silesia’s Szklarska Por´ba, the seven projects on offer include Univitae’s Sun & Snow Resorts and Zdrojowa Invest’s Cristal Resort, while in Karpacz buyers can choose between six schemes including Kristensen Group’s Apartamenty pod Ânie˝kà.

Some of the smaller resorts, like Wis∏a and Szklarska Por´ba, are now catching up with Zakopane. “Developers see a lot of potential in them since they are calmer and at the same time not less attractive for tourists,” said Grzegorz Kosiura, managing director at Inwestycje w Kurortach.pl. The prices of turn-key standard apartments in secondhome developments in the Polish mountains range from z∏.5,600 per sqm in Ustroƒ to z∏.14,500 per sqm in Zakopane. There is a significant interest in such units, but selling them takes much longer than it did a

COURTESY OF INWESTYCJE W KURORTACH.PL

Over 70 second-home projects on offer in the Polish mountains: report

Univitae's Sun & Snow Resorts Szklarska Por´ba development few years ago, the report said. There are hopes that the tempo will speed up once the economy gains steam.

Most of the developers building second-home projects in the Polish mountains tout the leasing revenue potential of

the schemes and offer apartment management services, the study added. Adam Zdrodowski

Griffin acquires major residential site in Warsaw A fund managed by Griffin Real Estate has acquired 5.5 hectares of land in western Warsaw on which up to 90,000 sqm of sellable residential space could be developed. The value of the transaction, in which the company was advised by Colliers International, has not been revealed.

Publication partners:

The site, which Griffin acquired in a bankruptcy auction, is located on ul. Po∏czyƒskiego in the Polish capital’s Bemowo district, within a middle-class residential neighborhood and close to retail amenities including a Tesco-anchored facility and the

Wola Park shopping center. “The Bemowo site is surrounded by completed apartment projects and the property represents the last residential development opportunity of significance in the immediate neighborhood,” Colliers International said in a statement.

The property benefits from a planning decision which envisions a high-density residential development. It also features a building permit for the first phase of the investment which allows for the construction of 18,000 sqm of apartment space. The purchase of the Bemowo

Conference partners:

site marks Griffin Real Estate’s seventh acquisition in 2012. The company’s portfolio of assets under management currently comprises both development land and standing investments with a combined capacity of more than 760,000 sqm. This includes more than

Media patronage:

w w w. b i l a n s . e u

300,000 sqm of leasable office space, 100,000 sqm of leasable retail space and 360,000 sqm of residential space. Griffin plans to increase its investment activity across Poland and double its assets under management within the next two years. Adam Zdrodowski

Strategic partner for Spanish & Chinese editions:

THE LIST

DECEMBER 10-16, 2012

www.wbj.pl

Corporate Services

Direct Marketing Companies

Rank

Ranked by revenue from direct marketing in 2010

Company name Address Tel./Fax E-mail Web page

Revenue from direct marketing Total revenue (z∏. mln) (z∏. mln) 1st half of 2011 / 2010 / 2009 / 2008

Personalized print / Direct mail / Mass mail / E-marketing

Services offered Retail Telemarketing / promotions / Call Center / Loyalty Market programs / research / Fulfillment / Advertising Database agency sale

www.bookoflists.pl

Other

Selected clients

Total number of Ownership: employees / Polish / Year founded in Foreign Poland

Top local executive / Title

Contact Center Sp. z o.o. ul. Muszkieterów 15A, 02-273 Warsaw 22 535-7900/22 535-7910 info@contactcenter.pl www.contactcenter.pl

132.5 276.0 218.6 144.0

✓ ✓ ✓

✓ ✓

✓ ✓ ✓ -

Recording studio; business advisory; virtual contact center

mBank; UEFA; KAPSCH; Makro Cash & Carry; Orange/TP

597 1999

TP Invest None

Cursor SA ul. Poleczki 23, 02-822 Warsaw 22 335-2424/22 335-2425 biuro@cursor.pl www.cursor.pl

41.3 81.9 40.7 30.2

41.3 81.9 53.9 40.9

✓ ✓ ✓

✓ ✓ ✓ -

Shopper marketing; warehousing and distribution of marketing materials; POS systems installation; outsourcing of sales structures; merchandising; backoffice services

Unilever; Sony; KFP; Citi Handlowy

Over 450 2001

OEX Group

International Masters Publishers Sp. z o.o. Al. Niepodleg∏oÊci 69, 02-626 Warsaw 22 541-6100/22 541-6101 katarzyna.gorzkowska-pasek@imponline.com www.imponline.pl

WND 80.0 80.0 80.0

WND WND WND WND

WND

50 1997

WND Alf & Martin Tonnesson

Emerson Polska Sp. z o.o. ul. Belzacka 176/178, 97-300 Piotrków Trybunalski 44 649-0650/44 649-0641 info@emerson.pl www.emerson.pl

WND 35.0 27.5 16.4

WND 170.0 158.0 154.0

✓ ✓ ✓

✓ ✓ -

WND

Lukas Bank; Multimedia Polska; Williams Lea; UPC; PZU

520 1991

WND

Call Center Poland SA ul. Marynarska 11, 02-674 Warsaw 22 444-0444/22 444-0400 info@ccp.com.pl www.ccp.pl

17.5 34.4 36.3 41.8

✓ -

✓ ✓ ✓ -

Multilingual call center

MTU; Canal + Cyfrowy; Volvo; BMW; PZU

146 1997

Internet Group 100% None

Micha∏ Koƒczak

ContactPoint Sp. z o.o. ul. Marynarska 11, 02-674 Warsaw 22 541-9090/22 541-9091 info@contactpoint.pl www.contactpoint.pl

13.9 26.7 18.8 14.0

✓ ✓ -

WND

T-Mobile; Nokia; DAF; Canal + Cyfrowy; Courlux

WND 1997

Internet Group 100% None

WND

Vision SecretClient Sp. z o.o. Al. Karkonoska 10, 53-015 Wroc∏aw 71 799-8959/71 793-0342 polska@secretclient.com www.secretclient.com

17.3 15.7 6.3 7.9

✓ ✓ ✓ ✓

✓ -

✓ ✓ ✓ -

Service quality program; handling competitions

Acer; CA Credit Agricole; Grupa ˚ywiec; Jeronimo Martins Dystrybucja; Mapei Polska

24 1998

Miros∏aw Bartoƒ 99.8% None

Miros∏aw Bartoƒ

MarketShare ul. Owalna 7, 02-467 Warsaw 22 863-9812/22 863-1721 info@marketshare.pl www.marketshare.pl

WND 9.5 11.4 9.5

WND 12.1 12.1 11.0

✓ ✓ ✓

✓ ✓ ✓ ✓

✓ ✓ ✓

WND

Tesco; Coty; SCA Hygiene Products; Seat; Bosh/Siemens

20 1998

WND None

Renata ¸àcka

Trygon Sp. z o.o. ul. Czardasza 16, 02-169 Warsaw 22 212-8061/22 212-5749 biuro@trygon.net.pl www.trygon.net.pl

3.2 6.8 6.2 3.2

✓ ✓ -

✓ -

✓

Competitions; lotteries; motivation programs; marketing consulting

Unilever Polska; Sharp Polska; Zielona Budka; DPD

WND 2006

WND None

Magda Pietkiewicz

3.8 5.8 WND WND

✓ -

✓

✓ ✓ -

WND

SAZ; Canal +; Chartis; Bonprix; Ives Rocher

270 1998

WND

3.3 4.4 3.1 2.0

WND WND WND WND

Grupa Dominanta Base & Direct(1) ul. Canaletta 4, 02-787 Warsaw 12 22 827-7512/22 827-4857 info@dominanta.com.pl www.dominanta.com.pl

WND 2.0 WND WND

WND WND WND WND

✓ ✓ ✓ ✓

✓ ✓ ✓

Monday PR G. Miller, E. Mittelstaedt Sp.j. ul. Czeczota 31, 02-607 Warsaw 13 22 825-3100/22 487-8421 biuro@mondaypr.pl www.mondaypr.pl

0.1 0.1 WND -

2.3 2.6 1.2 0.7

Eniro Polska Sp. z o.o. ul. Domaniewska 41, 02-672 Warsaw NR 22 289-2000/22 289-2001 eniro@eniro.pl www.eniro.pl

WND WND WND WND

Polskie Centrum Marketingowe Sp. z o.o. ul. Poleczki 7, 02-822 Warsaw NR 22 511-9300/22 511-9301 pcm@pcm.pl www.pcm.pl

WND WND 20.5 34.9

WND WND 21.2 36.9

Acxiom Polska Sp. z o.o. ul. Wo∏oska 3, 02-675 Warsaw 10 22 233-2000/22 233-2490 acxiompolska@acxiom.com www.acxiom.pl SARE SA ul. Piasta 12, 44-200 Rybnik 11 32 433-1156/32 433-1156 biuro@sare.pl www.sare.pl

Notes: NR = Not Ranked, WND = Would Not Disclose. Research for The List was conducted in November/December 2011. Number of employees and ownership structure are as of October 2011. All information pertains to the companies’ activities in Poland. Companies not responding to our survey are not listed. Reported in cooperation with the Polish Direct Marketing Association. Footnotes: (1) Consolidated data of Dominanta; Base & Direct and DB&D.

Text-message campaigns; survey research

Oriflame; Link4; Empik

25 2005

Damian Rutkowski - 30.5%, Tomasz Pruszczyƒski 30.4%; Amalfrida Holdings Limited 15.3%; Tomasz Kusy - 4.5% None

✓ -

WND

Marks & Spencer; Hitachi Data System; Google; Bet Clic; Vista Print

5 2004

Agnieszka Waszkiewicz 34%; Tomasz Kostyra - 33% Mateusz Melka 33%

✓ -

Public relations; events

Intel; Asus; Sygnity; Schneider Electric; Huawei

20 2006

Grzegorz Miller 50%; Ewa MIttelstaedt - 50% None

✓ ✓ ✓

✓

✓ -

Geomarketing

WND

900 1992

None Eniro - 100%

✓ ✓ ✓

✓ ✓ ✓ -

WND

Wydawnictwo Wiedza i Praktyka; ITI Neovision; Amplico Life; Treasury Polish Mint; Wydawnictwo Wolters Kluwer Polska

138 1994

Jan Za∏´cki - 99%, Bo˝ena Za∏´cka 1% None

Zbigniew Bia∏y President

Artur Wojtaszek President

Katarzyna Gorzkowska-Pasek General Director

Jerzy Paluch Vice President

President

Managing Director

Agata Szeliga-Staszkiewicz President

Dariusz Piekarski Managing Director

Agnieszka Waszkiewicz Managing Director

Grzegorz Miller CEO

Roger Asplund General Director

Jan Za∏´cki President

To the best of WBJ ’s knowledge, the information is accurate as of press time. While every effort is made to ensure accuracy and thoroughness, omissions and typographical errors may occur. Corrections or additions to The List should be sent, on official letterhead, to Warsaw Business Journal, attn. Monika Brysiak, ul. Elblàska 15/17, 01-747 Warsaw, via fax to (+48) 22 639-8569, or via e-mail to wbjbol@wbj.pl. Copyright 2012, Valkea Media SA. The List may not be reprinted or reproduced in whole or in part without prior written permission of the publisher. Reprints are available.

MARKETS

www.wbj.pl

DECEMBER 10-16, 2012

Stocks report

world stock indices DJIA

NASDAQ

13,021.82 (Dec 6 close)

S&P500

3,012.03 (Dec 6 close)

1.44% (for the week)

FTSE100

1,413.94 (Dec 6 close)

2.92% (for the week)

DAX

5,901.40 (Dec 6 close)

-0.14% (for the week)

0.53% (for the week)

WIG20 mostly resilient

NIKKEI225 7,534.54 (Dec 6 close)

9,545.16 (Dec 6 close)

1.80% (for the week)

1.53% (for the week)

CHANGE: 5.04%

CHANGE: 13.72%

CHANGE: 10.72%

CHANGE: 3.53%

CHANGE: 24.01%

CHANGE: 11.51%

(year to Dec 6)

52-week high: 13,661.90

52-week high: 3,196.93

52-week high: 1,474.51

52-week high: 5,989.10

52-week high: 7,554.51

52-week high: 10,255.20

52-week low: 11,735.20

52-week low: 2,518.01

52-week low: 1,202.37

52-week low: 5,229.80

52-week low: 5,637.53

52-week low: 8,238.96

Andrew Nawrocki WBJ market analyst The Warsaw Stock Exchange’s blue-chip WIG20 reached new annual highs last week, with strong macroeconomic data backed by better investment sentiment pushing the index near 2,500 points. Monday started off strong, with better-thanexpected economic data in both China and the EU propping up equity markets. The WIG20 index powered ahead, closing 0.87 percent higher for the day. The WIG20 continued its push on Tuesday, closing 0.61 percent higher while TVN continued to impress investors. Aside from gaining over 10 percent in the first two days of last week, shares of the media conglomerate have gained over 40 percent in the past month. The WIG20 continued its

Major indices WIG

46,019.97 (December 6 close)

WIG20

2,485.44 (December 6 close)

06.12

05.12

04.12

03.12

30.11

29.11

28.11

27.11

26.11

23.11

22.11

21.11

20.11

06.12

05.12

04.12

03.12

30.11

29.11

28.11

27.11

26.11

2,300

23.11

43,000

22.11

2,340

21.11

43,800

20.11

2,380

19.11

44,600

16.11

2,420

15.11

45,400

14.11

2,460

13.11

46,200

12.11

2,500

09.11

47,000

19.11

52-week low: 2,035.80

16.11

Change year to December 6: 13.28%

15.11

52-week low: 36,653.28

14.11

52-week high: 2,485.44

Change year to December 6: 20.10%

13.11

Change for the week: 3.10%

12.11

52-week high: 46,019.97

09.11

Change for the week: 2.75%

Top 5 GANT ADVADIS BUDOPOL ZAMET AWBUD

Closing 4.20 0.04 0.30 2.65 0.67

% change (week) 52-week high 36.36 9.98 33.33 0.11 20.00 0.97 17.78 2.73 17.54 2.24

52-week low 2.59 0.03 0.24 1.34 0.51

Top 5 TVN PGNIG PZU GTC LOTOS

Closing 9.00 4.74 413.00 9.11 40.19

% change (week) 16.13 9.72 7.24 6.92 6.46

52-week high 12.40 4.75 413.00 11.47 40.40

52-week low 5.90 3.61 290.10 5.13 21.30

Bottom 5 WISTIL REGNON AGROTON ELKOP ALTERCO

Closing 10.05 0.03 8.53 0.15 2.67

% change (week) -34.23 -25.00 -18.76 -16.67 -15.24

52-week low 5.33 0.03 7.29 0.15 0.66

Bottom 5 KERNEL PKNORLEN TPSA PKOBP BHW

Closing 66.60 46.61 11.98 35.35 97.50

% change (week) -2.35 -2.26 0.08 1.00 1.14

52-week high 76.00 47.76 18.34 38.50 99.80

52-week low 51.00 31.44 11.56 30.10 65.35

52-week high 33.02 0.18 24.40 0.42 47.98

Currency report

Central banks dominate

Other indices sWIG80

10,163.14 (December 6 close)

WIG-Banki

06.12

05.12

04.12

03.12

30.11

29.11

28.11

27.11

26.11

23.11

22.11

21.11

20.11

19.11

06.12

05.12

04.12

03.12

30.11

29.11

28.11

27.11

26.11

23.11

22.11

6,100

21.11

33.0

20.11

6,180

19.11

33.4

16.11

6,260

15.11

33.8

14.11

6,340

13.11

34.2

12.11

6,420

09.11

34.6

16.11

52-week low: 5,163.30

15.11

Change year to December 6: 16.53%

14.11

52-week low: 33.18

13.11

52-week high: 6,495.06

Change year to December 6: -19.93%

12.11

Change for the week: 2.67%

09.11

52-week high: 43.83

6,500

Last week was dominated by central banks. Monetary policy meetings provided the necessary impulses investors were waiting for. The European Central Bank kept interest rates unchanged but during a press conference ECB president Mario Draghi stated that a rebound is expected during Q2 next year. That would mean the bank might not cut interest rates anytime soon. We did not have to wait long for markets to react. The EUR/USD collapsed from almost $1.31 all the way to $1.2950 and it looks like the downward movement might last longer this time. In Poland, the Monetary Policy Council (RPP) acknowledged that economic growth is slowing and cut interest rates by another 25 basis points (to 4.25 percent). A rebound is expected next

6,459.60 (December 6 close)

Change for the week: 0.12%

35.0

Adam Narczewski X-Trade Brokers DM SA

06.12

05.12

04.12

03.12

30.11

29.11

28.11

27.11

26.11

52-week low: 8,218.71

23.11

20.11

19.11

16.11

06.12

05.12

04.12

03.12

30.11

29.11

33.22 (December 6 close)

52-week high: 10,536.29

SOURCE: WSE

NewConnect

28.11

27.11

26.11

9,600

23.11

2,300

22.11

9,720

21.11

2,360

20.11

9,840

19.11

2,420

16.11

9,960

15.11

2,480

14.11

10,080

13.11

2,540

12.11

10,200

09.11

2,600

15.11

Change year to December 6: 18.12%

14.11

52-week low: 2,076.52

13.11

Change year to December 6: 15.86%

12.11

Change for the week: 2.08%

09.11

52-week high: 2,561.94

22.11

2,537.66 (December 6 close)

21.11

mWIG40 Change for the week: 1.90%

climb on Wednesday, though losing steam after the Polish central bank decided to cut its base interest rate by a quarter of a percentage point. Shares of PZU led the blue chip pack, gaining 2.7 percent. Thursday saw further increases despite warnings from the European Central Bank regarding the future economic recovery of the euro zone. Investors were not bothered much by ECB president Mario Draghi’s bearish comments, with nearly all major European indices closing higher. The WIG20 closed 0.72 percent stronger. On Friday the WIG20 finished down 1.40 percent while the WIG fell 0.60 percent, due to weak German and British macroeconomic data. ●

year but until then the RPP is expected to continue lowering rates. Quoted Forward Rate Agreements (FRAs) are suggesting at least four more cuts by 25 basis points each. It seems reasonable to expect an eventual interest rate of 3.25 percent, although I believe the size of the cuts should be larger. The z∏oty began discounting such a scenario and already started depreciating last Monday. The EUR/PLN climbed from z∏.4.10 all the way to z∏.4.13 while the USD/PLN after reaching a weekly low of z∏.3.14, quickly advanced to z∏.3.19. This week traders might be closing profitable, short positions on the z∏oty causing the Polish currency to regain some ground. Still, the outlook remains negative and the z∏oty is likely to keep depreciating. ●

currency rates 3.8786 07.12

3.8257 06.12

SOURCE: NBP

3.8496

3.8318

3.8354 03.12

05.12

3.8213 30.11

0.1023

0.1034 07.12

3.5

04.12

PLN-100JPY

4.0

06.12

0.1021

0.1021 05.12

04.12

03.12

0.1022 30.11

3.4031

3.4166 07.12

0.10

0.1019

PLN-RUB

0.12

06.12

3.3956 05.12

3.4010 04.12

03.12

3.4088 30.11

5.0816

5.1236 07.12

3.0

3.4050

PLN-CHF

3.5

06.12

5.0708 05.12

5.0901 04.12

03.12

5.0621 30.11

3.1538

3.1930 07.12

5.0

5.0561

PLN-GBP

5.2

06.12

3.1516 05.12

3.1575 04.12

03.12

3.1585 30.11

4.1247

4.1332 07.12

3.0

3.1498

PLN-USD

3.5

06.12

4.1251 05.12

4.1273 04.12

03.12

4.1064 30.11

4.0

4.1083

PLN-EUR

4.5

SPORTS

Malaysian bowler wins World Cup title COURTESY OF BORUSSIA DORTMUND

Lewandowski set for Manchester United transfer: reports The Polish striker is rumored to be heading to Manchester at the end of the season Borussia Dortmund’s star striker Robert Lewandowski will be transferred to Manchester United at the end of the season, according to reports in both England and Germany. The 24-year-old had scored 14 goals in 20 matches as WBJ went to press, making him one of the hottest striking talents in

Europe. He also scored 30 goals during the 2011/2012 season, helping his side secure a second successive Bundesliga title. The striker’s contract ends in 2014, meaning United could secure a cut-price deal for one of Europe’s most highly rated scoring talents. According to BBC Sport the fee for Mr Lewandowski could be in the region of £12 million, although Borussia Dortmund manager Jurgen Klopp maintains that no deal has been done.

“I’m not afraid he will leave,” Mr Klopp said at a press conference ahead of his side’s Champions League showdown with Manchester City last week. “Manchester United are one of many teams showing interest in him. But the fact remains the contract is with us. … The time when big, rich English clubs tried to take our players from Germany, thank God, is over. In the second half of the season he’ll be with us,” he added. David Ingham

Tenpin bowling

Robert Lewandowski

Soccer

www.wbj.pl

Syafiq Rhidwan Abdul Malek took the 48th QubicaAMF trophy in Wroc∏aw Malaysia’s Syafiq Rhidwan Abdul Malek took the men’s QubicaAMF World Cup tenpin bowling title at the Sky Bowling Centre in Wroc∏aw at the start of December. The 26-year-old captured his first major title following a 2-0 (246-215, 221-191) defeat of the US’s Marshall Kent in the final. In the semifinal he beat Columbia’s Andres Gomez 2-1.

“I came here to create history. When I qualified for the semifinals, I was confident of winning the title,” he told The Malay Mail. “I just kept telling myself I was going to win the title,” he added, before saying that it was a great honor to be the firstever Malaysian to win the prestigious title. In the women’s event Shayna Ng of Singapore claimed the championship with a new arena record of 738 in a 2-1 win over the Dominican Republic’s Aumi Guerra, who failed in her attempt to retain the title she

claimed last year. In a thrilling final match Ms Ng was forced to come from behind after losing the first game 269 to 224, but after a tight second game (267-259) she ran away with the third, easily claiming the title after a 247-169 win. After her victory the sports science student thanked her new coach Remy Ong for his help, saying that working with the former WTBA World Tenpin Bowling Championship winner was a great experience. David Ingham

COURTESY OF QUBICAAMF.COM

DECEMBER 10-16, 2012

The World Cup winners with their trophies

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LIFESTYLE

www.wbj.pl

Ballet

Ania Dàbrowska

A Christmas tale

COURTESY OF WIKIMEDIA COMMONS

Moscow City Ballet Sala Kongresowa Pl. Defilad 1 Warsaw The visit of the acclaimed Moscow City Ballet is now an annual tradition in the capital with this year’s installment set to be one of the best yet, with a performance of the famous festive ballet “The Nutcracker.” With a classic score written by Tchaikovsky, this performance tells the story of Clara and her magical Christmas adventure with the Nut-

Concert

Great Time”) was released earlier this year and follows on from the success of 2010’s “Ania Movie” which contained cover versions of classic tracks including “Across 110th Street” by Bobby Womack and Badly Drawn Boy’s “Silent Sigh.” The singer has referred to her new record as “grown-up pop” with her music and lyrics taking on more adult themes while still maintaining the soul-

ful sound she has become famous for. With a top-drawer live band backing her during this Warsaw gig, fans can expect a quality evening of entertainment including songs new and old from her extensive back catalog. Tickets for the event are priced from zl.55. David Ingham

For more information, log on to palladium.art.pl

COURTESY OF MOSCOW CITY BALLET

Acclaimed Polish singer songwriter Ania Dàbrowska first came to prominence on the TV show “Idol” before going on to achieve major success with her own solo career. Her fifth studio album “Bawi´ si´ Âwietnie” (“I’m Having a

cracker Prince. The story starts on Christmas Eve when Clara falls asleep next to the Christmas tree in her family home only to wake and find that her toys have come to life. We are then introduced to the Sugar Plum Fairy, enchanted swans, evil spirits, the Land of Sweets and many more magical creations. Founded by Victor Smirnov-Golovanov in 1988, the Moscow City Ballet is one of the world’s most popular touring ballet compa-

Moscow City Ballet performing “The Nutcracker”

Polish idol Ania Dàbrowska December 13 Palladium, ul. Z∏ota 9 Warsaw

DECEMBER 10-16, 2012

nies, having already performed for over 100,000 people in Warsaw alone. Describing this latest show Mr Smirnov-Golovanov said, “It’s on me, all the characters live in the ballets, I’m Clara, the Prince, the Mouse King … it’s all in me.” This latest interpretation is said to be one of the company’s best yet, with the New York Times describing it as “brilliant and breathtaking.” David Ingham

For more information, log on to kongresowa.pl

LAST WORD

DECEMBER 10-16, 2012

www.wbj.pl

Tech Eye

Back when Techeye was a lad, Christmas was a time of melancholy. Our family couldn’t afford a real Christmas tree, so instead we’d gather fallen pine needles and stick them to a twig using ear wax that Father had saved up for months. Christmas dinner consisted of “potted meat food product” (main ingredient: sodium erythorbate), deep-fried poultry neck and dust. And presents? Pshaw. The best Christmas present we ever got as a kid was a jigsaw puzzle with 18 pieces missing out of 22. We’d sit for hours, imagining the beautiful picture that puzzle might have shown. Years later we discovered the picture was of a goat chewing on its own tail. Took some of the magic

games. Moreover, these don’t cost a fortune, unlike the apps used by some other tablets we know (*cough* LeapPad 2 *cough*). The Nabi has a seven-inch screen, a nice 1.3 GHz Tegra 3 processor, a 2MP frontfacing camera and a protective, rubberized bumper. Price: approximately $200. And what about presents for bigger kids? Our suggestion is the Nintendo DSi XL handheld gaming system. It’s infinitely better than the game

system Techeye had as a child, which was made of wood and smelled like Brussels sprouts. What about the 3DS, you might be wondering? The DSi XL’s younger sibling is a bit fresher and fancier, true, but the 3D part is also pretty kitschy. The DSi XL, meanwhile, is a girthy monstrosity with dual 4.2-inch LCD screens that cares not a whit for gimmicks. It’s sturdy and won’t give you splinters. It has a huge catalog of reasonably priced games, some of which don’t suck. Battery life is around five hours and the sticker price isn’t massive (around $150-160). In short, the DSi XL isn’t the kind of present that’s likely to disappoint a kid. Unless you accidentally smear Christmas tree earwax on it, of course. ●

The DSi XL

COURTESY OF NINTENDO

The Woogie 2

out of our memories, that did. Anyway, our point is that kids today can expect some pretty nice toys from Santa. Take the Woogie 2 from Griffin Technology, for example. This gadget, described as “part huggable case for your iPhone or iPod” and “part interactive app,” is way cooler than any Christmas presThe Nabi ent Techeye got as a child. At best, hugging our toys resultvision your kids will have when using ed in an aggressive rash. Woogie 2 doesn’t require a whole the tablet and how often they break lot of description. It’s meant for things. If the respective answers are smaller children, aged three and up, “not much” and “frequently,” think and an app comprising a few games twice about delivering an iPad into is included in the roughly $26 price your offspring’s grubby little paws. There are lots of kiddie tablets tag (on Amazon). Other munchkinoriented apps from Griffin are avail- on the market, many of them crap, able on iTunes. Just insert the appro- but the Nabi tablet from Fuhu is priate Apple-branded device, fire up one of the better choices. That’s the app and let the kids play. despite the fact that Nabi and Fuhu For slightly older kids, tablets together sound like something are all the rage this Christmas. The you’d have received penicillin for question is, what kind is best? A during World War II. regular tablet with a protective Never mind that. The Nabi is sleeve? Or a kiddie tablet maybe? Android-based and you can downDeciding which suits your needs load content from a curated app store depends partly on how much super- that has educational content and

COURTESY OF FUHU

COURTESY OF GRIFFEN TECHNOLOGY

Waxing nostalgic about kiddie Christmas presents

Ever had an unorthodox Christmas tree? Let us know: techeye.wbj@gmail.com

Museums, galleries and venues in Warsaw Centre for Contemporary Art at Ujazdowski Castle ul. Jazdów 2 www.csw.art.pl Czarna Gallery ul. Marsza∏kowska 4 www.czarnagaleria.art.pl

Katarzyna Napiórkowska Art Gallery ul. Âwi´tokrzyska 32, ul. Krakowskie PrzedmieÊcie 42/44 and Old Town Square 19/21 www.napiorkowska.pl

Fibak Gallery ul. Krakowskie PrzedmieÊcie 5 www.galeriafibak.pl

Królikarnia National Gallery ul. Pu∏awska 113a www.krolikarnia.mnw.art. Galeria 022, DAP, Lufcik pl ul. Mazowiecka 11a www.owzpap.pl Le Guern Gallery ul. Widok 8, Galeria 65 www.leguern.pl ul. Bema 65 www.galeria65.com Museum of Galeria Appendix 2 Independence ul. Bia∏ostocka 9 Aleja SolidarnoÊci 62 www.appendix2.com www.muzeumniepodleglo sci.art.pl Galeria Asymetria ul. Nowogrodzka 18a National Museum in www.asymetria.eu Warsaw Al. Jerozolimskie 3 Galeria Foksal ul. Foksal 1-4 www.mnw.art.pl www.galeriafoksal.pl Galeria Milano Rondo Waszyngtona 2A www.milano.arts.pl Galeria Schody ul. Nowy Âwiat 39 www.galeriaschody.pl Galeria XX1 Al. Jana Paw∏a II 36 www.galeriaxx1.pl Galeria Zoya ul. Kopernika 32 m.8 www.zoya.art.pl Green Gallery ul. Krzywe Ko∏o 2/4 www.greengallery.pl

Polish National Opera at Teatr Wielki Pl. Teatralny 1 www.teatrwielki.pl

Simonis Gallery ul. Burakowska 9 www.simonisgallery.com State Archaeological Museum in Warsaw ul. D∏uga 52 www.pma.pl State Ethnographic Museum ul. Kredytowa 1 www.ethnomuseum.we bsite.pl Historical Museum of Warsaw Old Town Square 28-42 www.mhw.pl History Meeting House of Warsaw ul. Karowa 20 www.dsh.waw.pl Warsaw Philharmonic ul. Jasna 5 www.filharmonia.pl Warsaw Rising Museum ul. Grzybowska 79 www.1944.pl

Pracownia Galeria Wilanów Palace ul. Emilii Plater 14 Museum and Wilanów www.pracowniagaleria.pl Poster Museum ul. St Kostki Potockiego Rempex Art and 10/16 Auction House www.milanow-palac.pl ul. Karowa 31 www.postermuseum.pl www.rempex.com.pl Royal Castle Pl. Zamkowy 4 www.zamekkrolewski.com.pl

Zachęta National Art Gallery Pl. Ma∏achowskiego 3 www.zacheta.art.pl

To advertise in WBJ’s classifieds section, contact Ms Agnieszka Brejwo, at (+48) 222-577-526 or abrejwo@wbj.pl