berzNIK - YEAR I - NUMBER 5 - 14th JANUARY 2008 - (SUPPLEMENT OF TENDERNIK)
Date 14.01.2008 number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
In berzNIK - room for all
With your Holidays are over… Two weeks of 2008 are
already behind us. Dynamic triviality… tempo…
presentation, and the object of our distributive center berzNIK -
the transfer of printed media information that
through our directly or indirectly refer to the movement of the
job - all capital market are present more and more every
day… There are enough points of view, assess-
interested ments, positions, commentaries, and analyses
on the securities market daily trading to repre-
clients are sent the post New Year`s start of the companies,
a base where the diagrams with upward and
closer to the downward line are drawn… a base with which
the increasing or decreasing trend of the securi-
market… We
ties, indexes, and volume of trade and turnover
work for is going to be compared… Parameters that are
going to enable the perception of the real image
you… You of the movement on the Macedonian market
every week, and every month until the end of the
work for us… year.
The analysis is made precisely through
With joined these parameters according to which the last-
year market movement is considered to be the
efforts closer
great ascent, and for that purpose in this edition
to the users of of the weekly review of berzNIK we publish the
interview with one of the first brokers on the
your and our Macedonian capital market Kiril Mitrovski, as
well as the stock exchange report for the last
services month of the past year.
The digital service berzNIK stores, selects,
classifies all daily news, information, and reports
published in the daily printed media and distrib-
utes them to all interested clients in Macedonian
and English language. Our base, as part of the
digital library newsNIK, keeps growing bigger,
enriched in content and articles regarding every
segment that has any impact on the financial
economic movements in this country. However,
we are ready to store, file and record all your
remarks, constructive ideas, suggestions, and
programmes that are going to enrich our base
with expert opinions, analyses, and commen-
taries.
Therefore, berzNIK is open for all of your
ideas, notes, criticisms, researches, personal
experiences, and everything you consider could
have an impact on the knowledge, approach,
berzNIK
3
exchange, and development of the conscience
of all interested potential participants on the cap-
ital market.
Counting on the great interest of the users
and clients, who have the need, desire, and
interest to inform themselves about what and
how do you work, what and how do you offer,
and what they should do to get an answer to
their questions, berzNIK gives equal space to all
participants on the capital market for individual
representation and gets the public acquainted
with your way and principle of work.
Without partiality, our digital service offers
free-of-charge representation for all brokerage
houses, open and private investment funds,
pension funds, audit agencies, and state institu-
tions that are more or less connected with regu-
lating, observing, and revising the market
events… of course, the representations of all
agents of the foreign branch offices and state
institutional organizations, which are concerned
and follow the financial economic and market
events are also welcomed…
Our goal is - as more as possible, as closer
as possible, and as simpler as possible - to
present to our clients all detailed data that are
going to help and enable them, with OUR help
and together with YOU, to reach their destina-
tion - to become part of the capital market as
well, to trade, develop, and make profit…
This personal representation of yours in front
of the public is just the first step… I hope each
succeeding one will influence the reinforcement
of our cooperation, and increase the users`
interest for your and our services. I hope that
only in this way, with joined efforts, we will com-
plement the base with useful data, assess-
ments, and analyses that reflect the movement
on the Macedonian capital market…
Until the next Monday
Makedonka Baldazarska
BerzNIK editor-in-chief
e-mail: berzNIK@interNIK.com.mk
 4 berzNIK number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.01.2008

WEEKLY REVIEW OF MACEDONIAN STOCK EXCHANGE

period 07. - 11.01.2008 year

Turnover by market segments

Data on MBI-10 shares

Index MBI-10
 Date 14.01.2008 number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
5
08.01.2008 THUESDAY
C O N T E N T S
1. SHORT REVIEW OF EVENTS

Vecer starts this festive week with stock ex- Public`s attention was also attracted by the
change analysis on previous year. According to the news that prices of internet and land-line phone
INTRODUCTION . . . . . . . . . . . . . . . . . . . . . . . . . . 3
article, Macedonian capital market made boom in services will be reduced if wimax-operators for
WEEKLY REVIEW OF THE MACEDONIAN STOCK 2007 with 681 million euros turnover. wireless electronic communications start operating.
EXCHANGE… . . . . . . . . . . . . . . . . . . . . . . . . . . . ...4 There was record breaking turnover on the ca- This service provides use of internet with great
pital market every month until the autumn when the capacity and speed, as well as transfer of data,
berzNIK, TUESDAY, WEDNESDAY, THURS- market stabilized and finish in drastic drop at the voice, sound and image without using of the net-
DAY…..5-7 end of the year. But, this is regular phenomenon work and resources of Makedonski
according to stock market experts, because they Telekomunikacii. Practically, the deadline in which
IINTERVIEW: KIRIL MITROVSKI - consider that the decline of shares value and both future national wimax-operators, Greek
INVESTBROKER AD SKOPJE . . . . . . . . . . . . .8-9 investors` interest should not apply for 2008. But, if Cosmotelko and American Nexcom, expires by the
PRIVATE FUNDS.........................................…..10-11 we take a look at shares` starting prices in 2007 end of the month. Both companies announced to
and prices at the end of December, the margin meet the terms in the public announcement for
IINTERVIEW: KIRIL MITROVSKI - shows that everybody profited in 2007. Beside the receiving of radiofrequencies and start their work
INVESTBROKER AD SKOPJE . . . . . . . . . . .12-13 price correction in October and declined intensity of within six months.
trading in the last two months, yet, almost all Spic informs that the case Makedonska Banka
shares recorded multiple growth compared to the shook Governor`s position. According to the infor-
berzNIK, , FRIDAY, SATURDAY . . . . . . . . . . .14-15 value at the beginning of the year. mation, discussion on Gosev`s vote of confidence
Utrinski Vesnik and Nova Makedonija publish- will be on Assembly`s agenda by mid-January, sin-
WEEKLY MAGAZINES … . . . . . . . . . . . . . . . . . ...16
ed analysis on the first three days long trade week. ce a group of 15 MPs these days submitted initiati-
-There are no drops or growths of shares` value, so ve explaining that he misappropriated his position
MONTHLY STATISTICAL REPORT..............…..17-20 we can not tell if stock exchange`s work is in stag- in the case of liquidation of Makedonska Banka.
nation. This is experts` explanation about MSE`s The demand for Gosev`s responsibility is signed by
work in the first three days of the year. Capital mar- MPs from all parties, except DUI and LDP.
ket worked with reduced turnover. Shares owned Catering and tourism enterprise Popova
I M P R E S S U M by Komercijalna Banka were dominant in the previ- Shapka prepares final documents for the third
ous week according to recorded turnover. Some attempt for sell of this winter tourist center on pub-
daily papers conveyed the news that today man- lic bidding. Two hotels, Slavija and Popova Shap-
agers of big industrial consumers should reply the kawith 240 beds, 11 ski-lifts and rope railway that
Government if they accept the offer to buy electric- connects Tetovo to the ski center are on sale, Vest
ity at the price of 75 euros per megawatt-hour, conveys.
Publishing: INTERNACIONAL NIK AD - Skopje
Media library and digital archive which is almost 20% lower than imported.
Editors office: berzNIK
Address: Square MAKEDONIJA bb, p.box 882 Skopje, 1000,
R.Makedonija 2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS
Phone. 02/25.32.800 faks: 02/25.32.839
web: www.interNIK.com.mk; 1. MAKSTIL AND FERSPED WITH THE BIGGEST PRICE APPRECIATION, 38.5 PERCENT
e-mail: info@interNIK.com.mk
OF THE TURNOVER FOR KOMERCIJALNA (**)
Executive Director: Zdravko Josifovski
Account Menager: Divna Pesic 2. STARTING NEXT MONTH THE INTERNET AND LANDLINE PHONES TO BECOME
Public relations: Natasa Dimovska
Marketing manager: Ivona Josifovska CHEAPER (**)
Assistent: Stojne Danilova
E-business manager: Ratko Projkovski DNEVNIK VEST
Logistics manager: Ana Petrova p.1 STARTING NEXT MONTH THE p.7 POPOVA SHAPKA TO BE SOLD
Finance manager: Gordana Stojanovska
INTERNET AND LANDLINE PHO- FOR THE THIRD TIME
STOCK EXCHANGE REVIEW OF EVENTS IN THE NES TO BECOME CHEAPER p.16 MUNICIPALITY KISELA VODA
PRINT MEDIA berzNIK p.7 STARTING NEXT MONTH THE DOES NOT MEASURE POLLU-
INTERNET AND LANDLINE TION FROM USJE
berzNIK is founded in year 2007.
PHONES TO BECOME CHEAPER NOVA MAKEDONIJA
STOCK EXCHANGE REVIEW OF EVENTS IN THE
PRINT MEDIA berzNIK UTRINSKI VESNIK p.5 THE COMPANIES HAVE THE
Number: 5 p.7 THE STOCK EXCHANGE STILL, FINAL WORD ON THE OFFER OF
Date: 14.01.2008
THE INVESTORS ARE WAITING 75 EUROS PER MWH
IT IS DISTRIBUTED FOR SUBSCRIBERS ONLY p.5 MAKSTIL AND FERSPED WITH
VECER THE BIGGEST PRICE APPRECIA-
FRONT PAGE PHOTO: p.6 FACTORIES TO STATE IF THEY TION, 38.5 PERCENT OF THE
Photo: ACCEPT GOVERNMENT ELEC- TURNOVER FOR KOMERCIJAL-
TRICITY NA
Editorial staff of berzNIK p.7 MSE IS CONSIDERED SPIC
Internet distributive system: TO BE A GAMBLE
www.interNIK.com.mk
Editor: Makedonka Baldazarska
p.6 MAKEDONSKA BANKA CASE TO
DTP: Tatijana Trpkovska REPLACE GOSHEV?
Editorial staff:
News Evaluator: Anita Bashoska
[operators]: Arslan Skoro, Zoran Stamatovski, Martin Arsovski,
Gorge Redzik, Toni Arsovski i Darko Tripunovski *
[translators]: translator's manager Senka Mihajlovska, Angelina
Filipovska, Slobodan Trajkovski, Aleksandar Stamenkovski, Aneta
Menoska, Filip Koviloski, Darko Ivanovski
Fotoreporter: Robert Spasovski

Marketing, distribucija i proda`ba:

INTERNACIONAL NIK AD - Skopje
 6 berzNIK number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.01.2008

1. SHORT REVIEW OF EVENTS
All daily media in their latest editions convey
the news that penalties for imported electricity are
overpriced. In fact, big consumers are going to pay
penalties to transmission operator MEPSO if they
fail to assume or demand predicted large amounts
of electricity in the process of import of power.
Representatives of eight industrial capacities asked
the state owned company to be exempted from pay-
ing penalties for electricity that will be paid by mar-
ket price, because it would represent additional
financial load. Practically, big industrial consumers
should pay five times more than the regular price of
1.7 euros per megawatt-hour for transmitted elec-
tricity that outstrips predicted quantity. If they spend
less than predicted electricity, then the price is dou-
bled. This means that if factory happens to receive
1.000 megawatts from MEPSO more than predict-
ed, than it will cost 8.500 euros instead 1.700 euros.
In case if the plant demands less electricity than
predicted, than the margin costs double of the price.
This proposal is not acceptable for big electricity
consumers because, according to them, they can
not predict the precise amount of power.
Utrinski Vesnik also conveys the decision of the
European Commission that there are no grounds
for penalizing OKTA. This is related to the fact that
refinery OKTA is going to produce fuels with high
concentration of sulphur in the next 18 months and
fuels that does not correspond to recommended
European standards. This is part of the accord that
Macedonian Government reached with OKTA on
the last day of 2007, since International Arbitrary
Court in Paris reached a verdict in favor of Greek
owners.
Almost all printed media inform that the dead-
line for start of work of the two wimax operators,
Nexcom and Cosmotelko, expires on 23rd of
January. If both national wimax operators fail to
start commercial offer of the service, in accordance
to legal regulations, Electronic Communications
Agency will revoke their licenses. It is a matter of
technology that will provide services for land-line
09.01.2008 WEDNESDAY
phone services via wireless network, and become
direct competition to Makedonski Telekomunikacii.
Biznis considers the new three-year agreement
for services concluded between the Assembly and
T-Mobile as bribery. Presented cell phones to MPs
and other high officials are considered as 60.000
euros bribe. Experts do not consider this act as gra-
tuity, nor advertising, but typical case of corruption
that should be investigated and asked responsibili-
ty.
All papers also convey the news issued by
Energy Regulatory Commission that refers to the
new wave of fuels price raise. Fuels are two denars
more expensive and diesel 1.5 denars per litter.
This decision raises the price of refinery and retail
prices of oil derivates in average of 3.66% and
2.69%.
Biznis, Dnevnik and Utrinski Vesnik show
charts of yesterday trade on Macedonian Stock Ex-
change.

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. PETROL RISES IN PRICE FOR TWO, AND DIESEL FOR 1.5 DENARS (****)
2. WIMAX OPERATORS WILL OFFER FIXED TELEPHONY SERVICES AND FAST INTERNET (***)

DNEVNIK VECER
p.5 ASSEMBLY RECEIVES EVIDENCE AGAINST GOSEV p.4 NEXKOM AND COSMOTELCO ARE PREPARED
p.7 PETROL GOES UP FOR 2 MKD p.6 THE GASOLINE MORE EXPENSIVE FOR TWO DENARS
p.8 MBI 09.01.2008 p.6 TOO HIGH PENALTIES FOR IMPORT OF ELECTRICTY
p.8 NEXCOM WITH WIRELESS INTERNET AND TELEPHONY p.6 FOR COSMOFON THE TENDER IS NOT YET OVER
SOON
p.8 MEPSO TO FINE BIG FACTORIES VREME

BIZNIS p.1 GRUEVSKI AND CRVENKOVSKI`S ADVISORS WORK FOR

GOSEV
p.1 THE DEADLINE FOR TRANSACTION ACCOUNTS-UNTIL THE p.3 GRUEVSKI AND CRVENKOVSKI`S ADVISORS WORK FOR
END OF THE MONTH GOSEV
p.1 IS ASSEMBLY SPOKESMAN LJUBISHA GEORGIEVSKI p.3 GOVERNOR FAILED TO REPORT 1 MILLION EUROS PROP-
GOING TO BE ARRESTED? ERTY
p.2 PETROL PRICE JUMPS BY 2 MKD AND DIESEL BY 1.5 MKD p.7 IF THEY CLOSE SILMAK WE WILL MOVE TO SKOPJE
p.2 YES OR NO FOR THE OFFER OF THE GOVERNMENT? p.7 GASOLINE GO UP FOR 2 DENARS, DIESEL FUEL FOR 1.5
p.3 IS ASSEMBLY SPOKESMAN LJUBISHA GEORGIEVSKI DENAR
GOING TO BE ARRESTED? p.7 STARTS THE TOBACCO PAYMENT
p.3 THE DEADLINE FOR TRANSACTION ACCOUNTS-UNTIL THE
END OF THE MONTH VEST
p.5 THE PRICES OF FIXED TELEPHONY AND INTERNET SHALL
DECLINE p.3 PETROL RISES IN PRICE FOR TWO, AND DIESEL FOR 1.5
p.12 LOTARIJA NA MAKEDONIJA RECORDS AN INCREASE OF DENARS
14.68% p.4 THE FREE MOBILE PHONES WERE NOT FREE
p.12 MBI-10 INCREASED FOR 1.47% p.6 MEPSO INCREASES THE PENALTIES FOR THE BIG CON-
p.12 UNIDUO-MASTERCARD AND VISA CLASSIC WITHOUT SUMERS
ANNUAL MEMBERSHIP FEE p.9 WIMAX OPERATORS WILL OFFER FIXED TELEPHONY SER-
p.12 MBI 09.01.2008 VICES AND FAST INTERNET
p.13 TURNOVER OF STOCK EXCHANGE WITH A MONTHLY p.10 MANAGERS SUSPECTED FOR FINANCIAL MALVERSATIONS
DECLINE OF 62.15 PERCENT
NOVA MAKEDONIJA
UTRINSKI VESNIK
p.3 NEW INCREASING OF THE PRICES OF THE FUELS
p.2 THE PRICES OF THE GASOLINE ARE MAKING NEW p.4 THE BIG CONSUMERS WITH THE CHOICE ON THE GOVERN-
RECORDS MENT`S PROPOSAL
p.2 THE EUROPEAN COMMISSION HAS NO BASIS TO PUNISH
OKTA SPIC
p.3 LARGE CONSUMERS DISAPPOINTED FROM THE GOVERN-
MENT`S PROPOSAL p.8 SILMAK DEAF FOR ELECTRICITY, WORKERS IN PANIC
p.8 IN 2008 CHEAPER MILK CANNOT BE EXPECTED p.9 PETROL PRICE JUMPS BY 2 MKD
p.8 MBI 09-01-2008
 Date 14.01.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
1. SHORT REVIEW OF EVENTS
Dnevnik today conveys two interesting inter-
views with foreign businessmen who have posi-
tive opinion on Macedonian economy perspec-
tives. Bernard Koenig, First CEO of Ohridska
Banka-Societe General Group, says that
Macedonian banks are ready for the rapid devel-
opment, and Roger Oscarson, Director of
Swedmilk, says that Macedonia is attractive
investment destination due to intensive modern-
ization.
Koenig considers that relations between
industry and financial sector are set upon market
grounds and there is no room for politics.
Although, the case of politics being involved in
the business is present everywhere. According
to him, it is important ruling and opposition politi-
cians to reach consensus and clear vision for the
future so positive impression about the country
can be presented abroad.
However, Oscarson expects Macedonian
companies to improve their products according
to world standards, because the competition
imposes modernization. Both managers in their
interviews claim that in this moment they face no
problems in making business in Macedonia.
number 5
Dnevnik announces that Macedonian
Government is looking for foreign consultants
that will make analysis on conditions in Ohis and
EMO Ohrid and establish their real value. Their
reports should help to find strategic investors for
these factories and saving 4.000 employees
from bankruptcy.
Daily papers in their today editions convey
companies` position on the means of paying of
the electricity. Some big consumers accept the
price of 75 euros per megawatt-hour, offered by
the Government. Others stressed that it is better
to trade with traders on the open market, not
because of the price, but their flexibility.
These are some of the proposals that were
announced by Government spokesperson after
yesterday meeting of Prime Minister Nikola
Gruevski and Deputy Prime Minister Zoran
Stavrevski with representatives of nine compa-
nies the biggest electricity consumers.
The case of presented sophisticated cell
phones to MPs takes place in all daily media.
These phones are part of benefits that were pre-
sented to the Assembly as big consumer and
part of the contract with T-Mobile and they will be
berzNIK
7
10.01.2008 THURSDAY
returned because they are too expensive. Some
MPs do not use their cell phones because they
are too sophisticated, some of them say that
their old phones satisfy their needs, and third
claim that they keep them at home as orna-
ments.
The news for the official take over of Kuma-
novo Komercijalno-Investiciona Banka by Mile-
stone was also conveyed by all printed media.
Icelandic financial group is practically owner of
75.9% of shares, and the rest of the shares are
owned by 100 other shareholders. Total invest-
ment amounts 10.4 million euros, out of which
4.3 million euros are invested in share purchase,
and there is also reached decision for issuing of
new shares in value of more than 6 million euros.
Jordan Trajkov, one of the owners of vinery
Popova Kula, is appointed as member of
Supervisory Board as Milestone representative
and he will be responsible for the strategy and
additional investments in this sector.
Many papers convey daily trade on MSE,
stock exchange index move and daily turnover
on Macedonian capital market…

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. NEW CELL PHONES TOO COMPLICATED FOR THE MPS (****)
2. MILESTONE WITH CONTROL PARCEL OF SHARES IN KIB (****)

DNEVNIK THE MAJORS

p.1 MACEDONIA IS A DESCENT PLACE FOR BUSINESS p.2 GOVERNMENT OFFERS NONEXISTENT ELECTRICITY TO
p.3 IMPRISONMENT AND SEIZURE OF PROPERTY FOR THE THE MAJORS
OWNER OF SLAVIA p.3 NEW CELL PHONES TOO COMPLICATED FOR THE MPS
p.4 THE MACEDONIAN BANKS ARE PREPARED FOR THE FAST p.7 SDSM: THE LATEST AGREEMENT WITH OKTA IS CRIMINAL
DEVELOPMENT p.7 TEHNOMETAL VARDAR CELEBRATES 60TH ANNIVERSARY
p.4 IT IS INTERESTING IN A COUNTRY OF INTENSE MODERNI- p.7 MBI 10.01.2008
ZATION p.8 ICELANDERS TAKE OVER KOMERCIJALNO-INVESTICIONA
p.6 MBI 10.01.2008 BANKA
p.6 FOREIGNERS TO SAVE OHIS AND EMO FROM BANKRUPT- p.8 NEW SUBSIDIARIES OF IK BANKA IN SKOPJE AND GOSTI-
CY VAR
p.7 MILESTONE ANNOUNCES NEW INVESTMENTS IN KIB VECER
KUMANOVO p.1 MILESTONE TOOK OVER KIB KUMANOVO
p.7 SDSM: GOVERNMENT AND OKTA ARRANGE FUELS PRICE p.2 MPS ON MOBILE PHONE TRAINING?!
INCREASE p.2 THE CONTRACT IS LEGAL
p.7 PART OF THE INDUSTRY REJECTS THE GOVERNMENT p.6 THE AGREEMENT IS CRIMINAL
BIZNIS p.6 THE GOVERNMENT`S ELECTRICITY - RECOVERY FOR SIL-
p.1 FLUCTUATIONS OF THE INDEX TRIVIAL IN RELATION TO MAK AND FENI
LOW TURNOVER p.6 MILESTONE WITH CONTROL PARCEL OF SHARES IN KIB
p.2 MILESTONE IS PLANNING TO EXPAND ITS EQUITY VREME
p.3 THE MPS TO GIVE UP THE PHONES FOR CHARITIES! p.7 NORDIC MILESTONE TOOK OVER KIB KUMANOVO
p.3 VOUCHER - NEW NAME FOR A GIFT? p.7 THE LATEST AGREEMENT WITH OKTA IS CRIMINAL
p.3 THE MOBILE PHONES ARE IN OWNERSHIP OF THE ASSEM- VEST
BLY p.2 ON FRIDAY, OPENING OF THE OFFERS FOR CONCESSION
p.5 NEXCOM AND COSMOTELCO GUARANTEE TIMELY START FOR THE 28TH SMALL HYDRO ELECTRICAL POWER
p.7 THE AGREEMENT WITH OKTA IS HARMFUL AND CORRUP- PLANTS
TIVE p.7 MILESTONE TAKES OVER KIB BANKA IN KUMANOVO
p.11 STOCK BOOKS FOR 536 ACTIVE COMPANIES NOVA MAKEDONIJA
p.12 DECLINE OF THE SHARE INDEX p.2 PAYMENT OF COLLECTED TOBACCO STARTS
p.12 THE SHARES OF KOMERCIJALNA BANKA ARE THE MOST p.9 MBI-10 GOES UP AND DOWN WITH TURNOVER OF AROUND
TRADED SHARES 20 MILLION DENARS
p.12 DIMKO MITREV ENCUMBERED WITH DEBT AT INVESTBAN- SPIC
KA p.7 A RUSH FOR SURPLUS OF ELECTRICITY
p.12 08.01.2008 REPORT p.7 STARTS THE PAYMENT OF THE TOBACCO PRODUCERS IN
p.13 FLUCTUATIONS OF THE INDEX TRIVIAL IN RELATION TO PRILEP
LOW TURNOVER p.7 IK BANKA OPENS NEW SUBSIDIARIES
UTRINSKI VESNIK p.7 SDSM: THE GOVERNMENT IMPUDENTLY GIVES OKTA THE
p.1 GOVERNMENT OFFERS NONEXISTENT ELECTRICITY TO RIGHT TO PROFIT
 8 berzNIK number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.01.2008

INTERVIEW: KIRIL MITROVSKI - INVESTBROKER AD SKOPJE

MACEDONIA OPENED FOR FOREIGN

INVESTMENTS - CLOSED FOR DOMESTIC
INVESTMENT OUTFLOW
The
great growth of the Macedonian
Securities Market in 2007 is going to
be remembered in the circles of the
business - stock exchange elite as most
successful. Increased trading intensity,
double and even triple appreciation of
the share prices, turnover growth,
over 100 percent boost of the stock
exchange index, increasing of the
number of participants on the market,
and above all sudden interest of the
citizens for trading on the Stock
Exchange put it on the pedestal -
most interesting, most analyzed and
most speculated subject out in the
public. Many qualified the growth of
the market as a place for fast
earning and realizing of capital,
while others as a place for
embezzlements, speculations, or
a betting shop for easy money.
Starting from such so-called "he
said she said", and bearing in mind
the numerous detailed explanations
from the competent people who are
directly involved in the operating of
the securities market, in the very
ascent of the stock exchange,
because it marked 2007, we spoke
with one of the first brokers in our
country Kiril Mitrovski, director of the
The state should fight for opening the doors for our investors to have opportunity
to realize their capital in other countries. brokerage house Investbroker.

* What was the thing that marked the secu-
rities market in 2007?
- Last year the capital market was character-
ized with a strong ascent, which in the past 12
years has not been a tendency on the market.
That means that in 2007 the capital market culmi-
nated and went up. At first, an upward trend was
initiated by the foreign investors and the regional
investment funds from Croatia, Slovenia, Serbia,
Bosnia and Herzegovina, and lately from
Montenegro as well. They invested in our country
on the basis of their expert analyses for the
Macedonia market, which according to my deep-
est belief is based on the prices of the shares,
which in the past 12 years was very low, and from
the aspect of the real value of the companies,
which are present on the stock exchange. This sit-
uation was also recorded and analyzed by the for-
eign investors who, compared to us, had a larger
experience and knowledge in that segment, and
what seems stranger is that they even had better
information than we did. In their own channels,
they managed to find a way to acquire correct
information regarding the real value of the compa-
nies and at their own assessment entered on time
with prices that were much lower than the real
level, i.e. under the real market price. Considering
these facts, at the begging of the year (2007) they
intensively entered solid companies, which were,
are at the moment and would remain being solid.
After purchasing large volumes of shares at low
prices, they initiated a process of appreciation.
 Date 14.01.2008 number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
berzNIK
9
This step was realized and afterwards followed by around 130 thousand. All of this is a minimal ratio, the aspect of business deals. Due to the Catholic
the domestic investors. Another thing is that the two to one or three to one and in some cases Christmas, the foreigners withdraw, and it was
domestic investors had bigger confidence in the even four to one. This means that the foreign buy- expected, however a depreciation of that scale
foreign investors, so consequently they followed ers followed the conditions on the Macedonian was not expected. At the end of the year were
their actions. Apart from this, they as shareholders market, made an assessment that the prices of experiencing a stagnation. So this was not the
had the right to an insight in the shareholders' our companies are low. Nevertheless, the inva- time of the drastic fall. It started earlier because
books in the Depositary where they saw that the sion of the domestic investors who were buying the resources of the domestic investors were
foreigners entered with great amounts of money. shares because of the foreign investments, made exhausted. That was the money and the capacity
As we would say, as long as a certain brokerage a fuss, an enormous interest for purchasing they had. They were exhausted, stopped and
house, fund etc, from Slovenia enters it would cer- shares, which eventually had to end. The eupho- waited for the prices to have an upward trend
tainly be a good thing for us to do the same. In ria, which affected our citizens, became "blind once more.
that manner, following the foreigners, our clients shopping", but on the other hand contributed to
drew investment moves on the Stock Exchange. the great price increase at the end of August. * Was there space and expectation for our
Nobody thought at the moment that al this would funds to take part?
* Do you feel that the foreign investors come to an end, the depreciation of the shares is
have (and whether it is needed) a special limited, just like the fall has a limit, and as every- - The open funds were just registered and are
agency that monitors the market, ranks the thing else there is a maximum followed leveling, still collecting finances, however this is not a suf-
companies, evaluates them and perceives and then comes the minimum. Nothing could be ficient capacity. I can see in the media that they
whether the value of a certain share is under- infinitely positive or negative. According to my are telling certain ideas of how to operate, but
estimated or overestimated? assessment, the domestic investors started buy- they do not have a lot of money at their disposal.
ing with a certain delay compared to the foreign- We could not expect for them to liven up the stock
- The foreign investors have special analyses ers, however, all of them entered the market right exchange. The purpose of the funds is to take in
sectors. With the training of the investment advis- after the foreign buyers, and somewhere in April - the inexperienced shareholders, investors and
ers we are also working in this field, however in May made a fantastic profit, which stimulated those who are afraid to made their own decision
our county this is still underdeveloped, and it them to continue buying. on where to invest. The capital that the funds have
would take time for the people to at their disposal is relatively small.
be trained, to practice and so on. Last year's growth of the market is what we have been expecting for years. There are brokerage houses, like
The same thing had happened in Because the capital is present in our country but it is still not correctly distributed, ours, that have higher funds then
their countries as well, and they that is, we still have immobilized capital among the citizens and the enterprises. these investment funds. We are
walked this road too. It is impor- Another reason that there was no investing on the Stock Exchange was the distrust registered with 500 thousand euros
tant that they had the initial data, of the citizens, which actually is a reflection of the financial problems from the past, a long time ago, we have not lost
and certain findings, which we did like the cases of blocked currencies, TAT… our capital, so we have bigger cap-
not know in the right moment, Despite our explanations that the Stock Exchange is not a company that gam- ital now, but still this is as far as we
however we still do not know how bles, or a company that is cheating the rules and regulations and that the money can go. A few yeas back I spoke
they came across such informa- could not be lost - the dilemma amongst the people remained. Luckily, last year's about the thing that happened in
tion. That means that they had the ascent, which happened thanks to the foreign investors, mainly to the regional 2007. I said in the stock exchange
information we could not under- investment funds that also encouraged our domestic investors and they were fol- circles: "Give me five million euros
stand, that is, to discover the con- lowed by an offensive of the citizens as well. and you would see what I am going
tacts of our companies with the to do on the Stock Exchange.
foreign ones. We discovered the information Money is needed but, turnover should be made as
about certain companies that realized larger deals * You are present on the market since the well. The foreign funds had the possibilities
after a certain time. These, if I may say, insiders' very beginning. It seems that in the past the because they are supported by a heavy number of
information important for the share prices or the legal entities appeared more often than to the people who are investing; they were able to par-
negotiations regarding a certain matter, are being citizens. There is a general impression that ticipate on the stock exchange and had the possi-
kept hidden by the Macedonian businessmen lately things have changed, is it so? bility to take chances. They are also purchasing
(maybe for a reason) because they do not want on markets for which they have insufficient infor-
the competition to find out about them, they fear - Although generally we still have no data, mation, but are trying to accomplish something,
undesired consequences, they do not want for the according to the monthly analyses of the stock they are able to increase certain prices, to with-
share price to rise because of that information. exchange, the percentile participation of the citi- draw on certain markets and cause depreciation.
However, unlike the domestic, the foreign compa- zens is growing. That is, they have a dominant Above all they are powerful.
nies work with another methodology and they position compared to the legal entities.
inform and expose their domestic investors on * However could we say that last year our
time. * I do not refer to the people who became market had the greatest growth ever?
shareholders in the course of events, but
* Does this mean that they have access to about the people who did not receive shares Yes. It had the biggest growth because the
the information? during the transformation of the state-owned share appreciation was the greatest. The year
capital. 2006 was also good considering the share appre-
- They do have the possibility; they had an ciation, however not with this dynamics and mag-
infrastructure that enabled them to come to this - It is a matter of new investors, who kept their nitude where almost everything had a 200 percent
information, which by far contributed to successful money "under the pillow", or in a bank for a cer- increase. If we make a comparison, we would see
assessments. A major thing is that they concluded tain low interest. This means that it is not a matter that during the highest level in September com-
that the prices were very low. As a matter of fact of money taken as a loan, because this is a great pared to the begging of the year, the ratio of the
our market is a field where a lot could be earned. risk. Uncertainty is indeed present on the stock single share of "Toplifikacija" is one to four,
This has also been proven by our analyses. Here exchange. "Makpetrol" reached one to four, "Alkaloid" got to
is an example of how the prices of some of our I see certain articles where people, who are 14 thousand, i.e. one to three same as Granit, that
companies moved. In January last year, a singe not of our profession, i.e. are not experts of stock is an increase of 300 percent. We could practical-
share of "Toplifikacija" was worth 4,500 denars. exchange operations, forecast fall or increase of ly say that although this appreciation is three to
With the depreciation in the last few months of last certain stock exchange parameters. Nobody in four times higher is actually represents a real
year, it ended at a price of somewhere around 13 the world could predict this. To be honest I expect- image about the value of the shares. That means
thousand, correction included. Here "Alkaloid" ed, the depreciation that many said was a result of that this value was supposed to be the starting
also had a similar price and ended up at around the unpreparedness of our investors to handle it,
11 thousand denars, "Makpetrol", started with 48 but not with that magnitude and for that long. It is
Continues on pg. 12
thousand, and at the end of the year reached a fact that December is always a dead month from
10 berzNIK
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
PRIVATE FUNDS
MERGENCE OF THE CAPITAL
FOR ACHIEVING JOINT
BUSINESS INTEREST
The investors who merge their finances are accepting the risk of investing. Because of the risk, the
freedom of investment, as well as the absence of strict control of the regulator, these funds are limited
to private centralization of finances, as well as with the minimal paid-in part of 50 thousand euros.
ith the amendments of the Law on
W Investment Funds, which were
adopted in May 2007, Macedonia
got the opportunity of founding associa-
tions for managing the private funds, and
private funds.
Throughout the world, the industry of
private funds develops for over 100 years.
The first financial trusses are founded in
Britain, in the 19th century, and most of
them are still working successfully. The
company Blackstone can be pointed out as
an example, which for decades now is
active on the world markets.
In accordance with the legal regula-
tions, the amount of the initial capital of the
association for management of private
funds is 50 thousand euros (foreign cur-
rency), while for founding a private fund,
the minimal requirement for investing is
500 thousand euros.
Generally speaking, the main differ-
ence between the open and the private
funds is the way in which each of them is
founded.
- The open funds are formed by collect-
ing finances from legal and physical enti-
ties, through a public call for payment of
share.
- The private funds are formed through
a private offer of already well-known
investors for sale of share; during what the
minimal undertaken obligation for payment
of one investor cannot be less than 50
thousand euros.
The duration of the private funds is lim-
ited, opposite of the open ones, where the
deadline is not limited. The minimal dura-
tion of the private fund is eight years. Also,
the number of investors is limited in the pri-
vate funds, and it adds up to 20 legal and
physical entities, opposite of the private
funds where the number of investors is
unlimited.
Otherwise, the open and the private
fund both have not got the function of a
legal entity and are investing in accor-
number 5
dance with the prospect and the Statute of
investment.
The property of the open and the pri-
vate fund are managed separately from
the associations of management and do
not enter in their balances.
The investments of the private fund are
controlled by the investors themselves
through their information regarding the
investments. The private fund is obliged to
submit accounts audited to its investors.
Types of private funds
In practice, the private funds are
investing in different instruments. There
are different kinds of private funds:
- Exchangeable - which invest in
securities of the organized markets, index-
es;
- Immovable - which invest in real
estate and mortgage instruments;
- Equity - which invest dominant capi-
tal in the initial capital of the companies;
- Mixed funds, which represent mix-
ture of all the above mentioned investment
instruments, and other types of funds,
which at the same time, are in accordance
with the prospect of investment accepted
by the investors.
The funds can be formed also for:
- investing in certain industry, so called
industrial funds; \
- Energy fund - funds which invest in
companies connected with the energy
only,
- Information fund - fund which
invests only in companies from the infor-
mation technology,
- Agricultural fund - fund which
invests only in agricultural companies, etc.
In the private fund, the investors are
signing an agreement for managing the
association for management of the private
funds, by which are prescribed the condi-
tions of the prospect with which the joint
Date 14.01.2008
finances are invested.
Formation
The private funds usually are founded
by legal and physical entities who are
amalgamating their capital for achieving
joint business interest. The investors who
merge their finances are accepting the risk
of investing. The risk is defined in the
prospect of the fund, which the investors
are accepting knowingly. Because of the
risk, the freedom of investment, as well as
the absence of strict control of the regula-
tor, these funds are limited to private cen-
tralization of finances, as well as with the
minimal paid-in part of 50 thousand euros.
MAK Assets Management manages the SEE
Invest Fund
The Association for management of
private funds MAK Assets Management
LLC is founded in June 2007. In July, the
same year the first private fund of the
Association SEE Invest Fund started func-
tioning, as well. The fund, in accordance
with its prospect is share-based and
invests in the organized markets in
Macedonia, Serbia, Bosnia and
Herzegovina, and Croatia.
The investments have characteristic
for long term and are invested in such eco-
nomic fields which are considered to be
most perspective in the investing country.
The association for management of the
private funds MAK Assets Management
LLC Skopje analyzes possibilities for form-
ing a fund for investing in small and middle
companies through their purchase or com-
pleted capitalization.
Of course, it will contribute the small
companies to get cheap capital, stable
founder, so after a certain amount of time
they would be attractive for foreign, as well
as for the domestic investors.
Date 14.01.2008 number 5 berzNIK
11
12 berzNIK
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Continuing from pg. 9
one, but this did not happen because there were
no investors. We have an interesting phenome-
non of shareholding companies that date back
from the era of socialism, where the management
structures benefited from showing lower prices of
the shares, in order to purchase them later at a
lowest price. They were interested in gathering as
more percents as possible under these condi-
tions, which is normal when there is nobody to
obstruct their plan. When the shares were appre-
ciating intensively, you recall that there were rec-
ommendations from certain managers. They
reacted that the share prices were growing artifi-
cially. Unfortunately as I believe the reactions
were not appropriate, because they should have
understood, to undertake measures, purchase at
those prices, so we could see whether this action
was the best. Another thing is that the prices
among those who reacted went up anyway. This
means that it was not a speculative, but a real
price appreciation. Unfortunately, certain man-
agers did not want to admit that they underesti-
mated the shares of their companies. Now, these
very companies are active on the market and buy
shares in order to consolidate, however they are
paying more expensive compared to the previous
period.
*Certain analysts consider that some com-
panies, especially major banks are closed,
they fear of foreign investors' entrance?
-Banks as firms and companies are specific
segment of the Stock Exchange. They don't
include physical entities as dominant sharehold-
ers, especially not people management. They
have been formed with big capital so the man-
agers that governed the banks didn`t have the
opportunity to have great percentile participation.
By the way, they had to move forward towards
special legal procedure at buying shares,
because they must have permission from NBRM
for a certain per cent. Banks have another phe-
number 5
nomenon - major companies have the role of
shareholders although this appearance is chang-
ing and they are more interested not to be share-
holders in banks i.e. to sell its capital, because in
the period of transition banks didn`t work with
profitability, they didn`t provide adequate dividend
for the invested money because in order to use
credits they had to be participants with shares in
banks. Now, the interest of the companies is
directed towards selling their shares in the banks
at higher price. The entrance of the foreign
investors who assessed that these prices are low,
shift the prices at upward in ration of 1:3 at almost
every bank. This is where the people joined.
However if we follow banks` shares, they are the
same level for a longer time. Now, despite the
announcements, the external investors choose in
which bank to invest due to the regrouping in
same banks.
*There is another segment that is
launched in public- with the intensive entrance
of foreign investors in the state the nationality
of the banks vanishes. What is the world expe-
rience when the capital of one bank is in dom-
ination of the domestic or foreign investors?
- For every business the nationality, accord-
ing to me is not important because the purpose of
the business is profit. The whole world is function-
ing with foreign banks and I would be very happy
if we have lucky to have domination of the foreign-
ers, in order to continue our work. I would be very
pleased if the other banks brands enter such as
Societe Generale that bought Ohridska Banka,
Deutche Bank, Reifeisen Bank. Our market is
small and it can not function with so many banks.
Rationally, this banking system has to be reduced.
The foreign banking institutions are more organ-
ized than ours. Domestic banks cooperate with
foreign banks, they took training, specialized,
attended seminars, it is about reorganization,
fresh capital and new projects which will change
the manner of work and passive banks should
become active. They should approach aggres-
sively in the economy, to seek to finance projects,
to be initiators of certain projects and to find their
realizers. Now the situation is opposite. Every
businessman enters in bank and roughly speak-
ing pray on his knees to receive money. That`s
the system. For example, Deutche Bank realizes
67 to70 per cent from the incomes on the Stock
Exchange and the currency Stock Exchange,
launches 20% of the assets on projects and 5 per
cent on classical crediting. Hence there the cred-
iting is minor, contrary to us.
* Analogical to this should the banks
appear in future on the Stock Exchange as
share purchasers in certain companies in
order the ratio to be opposite from the current
Investbroker exists since March 1996,
when the Stock Exchange officially began
to operate. On the very beginning there
were about 17 shareholders that formed the
Stock Exchange, several savings bank and
companies, and we, as a brokerage houses
in the frames of the banks, Investbanka,
Balkanska Banka, Tutunska Banka and
Almako.
Date 14.01.2008
situation?
- Banks are still interested in that, but are lim-
ited from NBRM which request a cover for risk
businesses, i.e. they request compulsory reserve
because although they can realized major profits,
still didn`t invest in shares. In this period the time
is not right for the banks to be active in investing;
now the banks invest only in state bonds, treasury
bills where the state as safety is in question. In
order to be competitive they need to change, and
this is only one of many ways by which the banks
should have to invest in order to be market play-
ers. They can invest through the Stock Exchange
in the current and the new companies. They have
to invest initially and if the price increases to sell
the shares and to put the profit in disposal to the
certain company not with a classical loans but
with by purchasing and of shares - shares are
bought, and then sold. It can be noticed through
the Stock Exchange that at the moment the banks
enter, the citizens will start to buy these shares. In
this way banks can realize profit and the compa-
ny can be in the process of development. In
Western countries, major part of the Pension
Funds realizes the profit through buying shares
and real estates. They have wider investment
spectrum. We still have many obstacles that are
hardy to exceed in order to invest in the Stock
Exchange.
*Many citizens understood the Stock
Exchange as gambling house?
-I always say that the Stock Exchange is not
a hazard. When one gambles, one loses definite-
ly. On the Stock Exchange one seldom loses, can
gain or remain as it were. It depends from the pro-
jection where you will invest. It depends on the
assessment, desires, and the character of people.
Another thing is that on the Stock Exchange the
investment is made with free money not with
loans. The loan is a risk. However the Stock
Exchange is a safety place for investment
because it has certain rules of the game. A set of
rules according to which if you invest money you
will certainly get shares. If you sell shares you will
definitely gain money. There are rigorous rules of
the Stock Exchange, brokers and depository
which are on European level. These three seg-
ments are controlled by all EU standards and we
have the same evaluation from EU. So this seg-
ment is totally by EU standards, but our legislation
is not adjusted on European business yet. For
example, we can not purchase shares on the for-
eign Stock Exchanges not as brokerage house
nor as Kiril Mitrovski, nor as a bank… The law on
currency is concise and it should work on liberal-
ization of this part. We are opened for foreign
investors and closed for domestic investment out-
flow. … The money circulation without an instru-
ment of the regulative can not be canalized,
because much money is separated from the state.
They found channels outside. So, the state should
fight for opening the doors for our investors in
order to have the opportunity to realize their capi-
tal in other countries. There are statements for
change of this kind of direction. It remains to see
when and how this is going to be realized….
* Is it needed our brokers to have training
in foreign major markets?
 Date 14.01.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Also, what is needed is the creativity of the managers and the municipalities. They are
constantly complaining of not having assets, but can have them if they invest bonds.
- When I started to work there have been offer
consultants from London to train us, because our
Stock Exchange is in accordance with London
standards. But I refused the offer because our
brokers are prepared enough. The legal base of
Macedonia and England in the past and now is
not the same. It is much easier for them. We need
young, ambitious people and experts. My idea
was to abolish the package trade. It is much differ-
ent where the brokers, i.e. the market`s players
know each other. In other countries although the
system is electronic, still the trading is on one
place, the same as in package. We don`t have
public trace of the trade, which is important for the
promotion of new companies. This is regular prac-
tice on the world Stock Exchanges. In our country
if the major companies are to be sold the quantity
of the work will reduce. New companies should
appear, the perspective is in the fact that should
be a legal relieves. Now according to the Law on
Listing on the Official market the companies that
want to list should have three years experience,
financial reports, and they are all LLC.
* Will the brokerage houses demand liber-
alization in this section, because it is also in
your interest to have new clients?
- A quality material is needed in order to
obtain information that the company that is listed
is in order. Currently LLC can become JSC, but on
the third market. What needs is the creativity of
the manager and municipalities. They are con-
stantly complaining that they have no assets, but
can have them if they invest in bonds. The whole
world is financing on this way, but there has to be
certain project. Everybody waits for the
Government and the mayor to do something
number 5
berzNIK
13
.They have to manage, to face the risk, and the Several years ago I have recommend to regulate
seek further motivations …. The shareholders that the lower limit, but we didn`t do that. Now some
are going to buy those bonds will try to introduce are prepared to work for minimal percents, which
business, because it will be of their interest too, it considers to be developmental component. This
they will also take advantage of. year I plan to alleviate the products not because
of the competition but due to the taxation of the
* Are you satisfied from the business? capital gain of the citizens. The brokers insist this
Can it stand financial? provision not to be conducted now, at the begin-
ning, when our citizens began to trade in massive
-Invetsbroker works 12 years and it is already number on the Stock Exchange. We seek motiva-
profitable brokerage house. Although project`s tions at least until 2010 which will result with big-
hard conditions, last years we worked successful ger entrance of citizens.
and the shareholders are satisfied. The competi- However the turnover and the transactions
tion is strong. Currently there are 23 competitors without 2007 are increased 20 to 30 times… in
and I expect at the end of the year their number to relation to the beginning of the Stock Exchange.
be 30. And in order to receive a piece of the case On order to have financial effects one brokerage
they reduced the provisions. The provision indi- house should realize 15 million euros annual
vidually determines the each house individually. turnover at the least.
LAST YEAR ALL PARTICIPANTS IN THE MARKET HAVE GAINED.
Last year all participants on the market gained. My prognosis is that the maximal
prices from the last year can be corrected now, however without such dynamic.
Good liquid companies normally correct the prices, even if this amount of prices,
which was maximal exceeds, but this is going to happen after 15-20 days. By my cal-
culations the first semester of 2008 will show if this is going to happen, if nothing
else the maximal prices are going to return, because they weren`t pumped up, but
came too quickly on this price level. Last year in September for example, the main
purpose for the sudden and strong price correction was the fact that the foreign
investment funds have directed themselves towards the Croatian Telecom. So, they
didn`t ran away but had a need at the moment to invest in profitable actions.
Unfortunately, the state is not launching Macedonian Telecom. We have a potential
where many citizens can purchase in mass number. I want to say that it is a good
thing that many people neglect the previous attitude that foreign investors have
entered despite this analogy and had courage to take part on the Stock Exchange.
The participation on the Stock Exchange doe not represent great risk, it just needs
good individual assessment - if, where, what, how to purchase and when to sell.
14 berzNIK number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
Date 14.01.2008

11.01.2008 FRIDAY
1. SHORT REVIEW OF EVENTS

The case between the Government and refin-
ery OKTA is not calming, topic that is in details
elaborated by all daily papers in Macedonia.
- The Government resurrected OKTA`s
monopoly with the agreement for settlement that
was signed in the eve of New Year holidays. The
cabinet wants to sell electricity to big consumers
produced in TPP Negotino from heating oil from
OKTA, SDSM Vice President Igor Ivanovski, stat-
ed.
According to him, Macedonia spends in aver-
age 300.000 tons of heating oil without require-
ments of TPP Negotino, and if we include plant`s
consumption of heating oil, the quantity is dou-
bled. That is how the Government and OKTA
made a deal for placement of low quality heating
oil in amount of 600.000 tons. This amount will be
paid by big consumers and citizens. In contrary to
these accusations, Government spokesperson
Ivica Bocevski reminds that all agreements signed
with OKTA can be found on Government`s web
site, which is proves that there are no schemes,
no annexes, no sub-agreements, no tacit agree-
ments. Written agreement renders amendments
in the rulebook for fuels` quality which will improve
their quality. Spokesperson underlines that this
agreement reduces the obligation of 93 million
dollars to, assumed by Crvenkovski`s cabinet, to
40 million dollars.
Papers convey that Agency for Electronic
Communications today will hold public opening of
bids for 3G technology. Fast internet, high speed
data transfer, access to multimedia contents,
video-telephony and television are part of servic-
es offered by this technology. Experts are skepti-
cal and say that 3G technology is not service for
vast population, due to expensive cell phones and
high prices…
Utrinski Vesnik asks if the Government tries
to control Governors`s position. Opposition parties
are assured that ruling structures have intentions
to force Gosev to file his resignation across the
vote of confidence and other forms of public pres-
sure. Government is categorical that NBRM`s
autonomy is respected. Monetary authority in
Macedonia is independent. The Government, as
executive power, acts only in the frames of the
Constitution and laws when it comes to its relation
with monetary power.
Vreme informs that the current owner of
tobacco combine Jaka Tabak from Radovis and
scheme of shifts of its management structure is
unknown although former Directors were detained
under accusation for embezzlement of state
owned tobacco, and the outcome of the affair
related to share sell and purchase is expected.
According to the current situation, employees still
do not know who they are working for. Jaka Tabak
is registered in the Central Securities Depositor as
private owned joined stock company. Pension and
Disability Insurance Fund and shareholders who
own ordinary shares are registered as
owners…This paper also conveys the news that
representatives of the most favorable bidder for
buying the property of Alumina, Israeli company
Gazit Globe, has signed the agreement for
takeover of this former loss-making firm.
Company has paid the deposit of 795 thou-
sand euros and the rest of the deal in amount of
19 million will be paid within 21 days, Aco
Damcevski, liquidator of Alumina, stated.
Vest informs that brickfield in Chaska, owned
by Kiro Kucuk from Veles, will be bought by the
factory for production of building materials Elenica
from Strumica.
After the verdict reached in the case on
Slavija, Dnevnik informs that State Prosecution
will execute the pronounced seizure of 97.6 mil-
lion denars that belong to company`s owner, Kiril
Kocevski. He is sentenced on 6 years of imprison-
ment for breach of duty in the process of privatiza-
tion of this company. Claims of damaged share-
holders and employees in Slavija are settled in
trial procedure. Biznis informs that shares owned
by Evropa record 63% growth on capital market. It
is a matter of sell of small number of shares, 12
shares at the price of 5.000 denars in one trans-
action and other block of 20 shares at the price of
9.990 denars.

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS

1. OKTA DICTATES BOTH RULEBOOKS AND PRICES OF GASOLINE`S QUALITY (****)

2. ANTICORRUPTIONERS PUT CELLS UNDER MAGNIFYING GLASS (**)

DNEVNIK p.8 NONEXISTENT ELECTRICITY FOR SALE

VECER
p.3 SEIZED PROPERTY FROM THE OWNER TO PAY DAMAGES p.4 ANTICORRUPTIONERS PUT CELLS UNDER MAGNIFYING
TO THE STATE GLASS
p.4 OKTA DICTATES BOTH RULEBOOKS AND PRICES OF GASO- p.4 TWO NEW SUBSIDIARIES OPENED
LINE`S QUALITY p.4 GOVERNMENT RESURRECTS OKTA MONOPOLY
p.4 ANTICORRUPTION COMMISSION TO EXAMINE MPS MOBILE p.7 OPENING OF 3G BIDS
PHONES
p.7 MBI 11.01.2008 VREME
p.7 TWO NEW IK BANKA SUBSIDIARIES p.3 WHO IS THE OWNER OF JAKA TABAK?
p.3 ISRAELIS DEPOSIT MONEY FOR ALUMINA
BIZNIS p.7 SILMAK NOT ABLE TO RESTART THE PRODUCTION
p.1 T-MOBILE EXTRICATES ITSELF - COSMOFON TO CONTINUE p.7 THE GOVERNMENT RISES THE MONOPOLY OF OKTA
WITH COMPLAINTS
p.2 THE NEW CONTRACT RESURRECTS OKTA`S MONOPOLY VEST
p.3 T-MOBILE EXTRICATES ITSELF - COSMOFON TO CONTINUE p.9 ELENICA OF STRUMICA WANTS TO BUY KIRO KJUCHUK
WITH COMPLAINTS
p.3 PUBLIC OPENING OF THE OFFERS FOR THE 3G TECHNO- NOVA MAKEDONIJA
LOGY p.1 SILMAK CLOSED, THE WORKERS ON STREET
p.11 MILESTONE TO GOVERN WITH MIXED TEAM IN THE BANK p.3 GOVERNMENT WANTS TO SELL POWER FROM HEATING
p.11 EVROPA SHARES WITH GROWTH OF 63 PERCENTS OIL
p.12 MBI 10.01.2008 p.6 SILMAK CLOSED, THE WORKERS ON THE STREETS
p.11 NON TRADING SHARE TRANSFERS p.6 THE GOLD WITH NEW RECORD ON THE STOCK
EXCHANGES WITH 900 DOLLARS PER OUNCE
UTRINSKI VESNIK
p.1 IS THE AUTHORITY IMPOSING ITS HAND ON THE GOVER- SPIC
NOR`S POSITION? p.5 IVICA BOCEVSKI: NO SCHEMES, EVERYTHING IS TRANS-
p.2 IS THE AUTHORITY IMPOSING ITS HAND ON THE GOVER- PARE
NOR`S POSITION? p.5 SDSM: THE GOVERNMENT IS LUBRICATING ITSELF WITH
p.3 SDSM: THE GOVERNMENT AND OKTA RESURRECT THE THE HEATING OIL FROM OKTA
MONOPOLY
 Date 14.01.2008
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
1. SHORT REVIEW OF EVENTS
In the weekend edition of the daily newspa-
pers dominate three basic news. All editions from
Saturday conveyed the news about the opening of
the bids for the construction of 28 small HPP in
Macedonia. Seven domestic and five foreign com-
panies have submitted 58 bids in the international
tender organized by the Ministry of Economy for
granting concession for production of hydroelec-
tricity. Seven of them are domestic, while the
greatest interest is about the HPP on the rivers
Markova Reka, Bregalnica and Pena. The highest
number of bids come from the Austrian Energie
Zotter Bau which participated in the tender for
construction of 28 small HPP with 24 bids, whilst
the Italian Co-VER submitted eight bids.
The second news conveyed by the printed
media is related to the bids in the tender for 3G
technology, in which the battle will be among T-
Mobile and Cosmofon, the only companies that
applied on the tender. The company that will pro-
vide this service will be announced by the Agency
for Electronic Communication in two weeks.
Moreover, T-Mobile and Cosmofon are competing
for the use of radiofrequencies providing public
mobile communication network and 3G technolo-
gy services.
The case OKTA has remained a subject that
is reported by all the media. The accusations
addressed to the Government in terms of the
diversion from the agreement on debt settlement
are not calming down. The oppositional SDSM
accuses: - Within the agreement on debt settle-
number 5
ment, concluded prior to New Year`s holidays with
OKTA, the Government stated that the refinery
has completed the investments concerning the
installation of the alleged desulfurization unit and
also undertook the liability to issue a permit for
such unit. According to the President of SDSM,
Igor Ivanovski, this is additional evidence that the
Government has agreed in favor of OKTA, instead
of in favor of the citizens. - Besides the fact that
OKTA is not sanctioned due to the violation of the
Macedonian laws, but further more the company
is given the right to produce environmentally
harmful, low-quality and expensive fuels in the
next 18 months due to the postponing of the
enforcement of the Rulebook on Fuels, informed
Ivanovski and asked how much profit OKTA will
make regarding the postponing of the Rulebook
on Fuels in the following 18 months…
Looking at the other news a special attention
is paid to the news released from Vecer about the
instalation of the new transformer station by ESM-
EVN in the free economic zone Bunardzik for the
needs of GA-MA. Thus the gas pipeline company
GA-MA is enabled to operate freely in the devel-
opment of the gas pipeline infrastructure and the
possibility of gas transport. For the complete elec-
trification of the zone the projections include the
installation of new 110 kW transformer station and
110 kW long-range transmission line that will cost
EVN around EUR 6 million.
Utrinski vesnik released the initiative of the
Green Coalition in the municipality of Veles for the
berzNIK
15
12.01.2008 SATURDAY
modification of the general urban planning of the
municipality which is in relation to the location of
the smeltery in Veles. The proposal of this associ-
ation is the smeltery, which was the greatest con-
taminant in the city, to be moved 18 kilometers
south of Veles within the Factory for Artificial
Fertilizers HIV, which was previously integrated in
MHK Zletovo. They claim that the citizens` resist-
ance is growing in regard to the potential sale of
the smeltery and its potential restart in the current
location…
This subject is also covered by Vreme, but for
the location of the chemical giant OHIS. After four
unsuccessful tenders for sale of the chemical
giant OHIS the Government announced that it will
request for foreign consultants who will render
analysis of the conditions in OHIS and thereby
determine its real value. During the three interna-
tional public announcements for sale of OHIS
there was not a serious buyer, while the sale of
the state-owned stocks on the stock exchange
was recently suspended due to the speculative
transactions, which caused appreciation in the
stock prices.
The greatest Macedonian chemical factory
was offered on the last public tender for EUR 8,6
million. In spite of the efforts by the Government
for revitalizing the factory, there are information
circulating in the public which speculate that this
sight is planned for a residential complex.

12 companies bid for construction of

2. TOP NEWS - IMPORTANCE BY NUMBER OF PUBLICATIONS
1. T-MOBILE AND COSMOFON RACE FOR 3G (****)
2. 12 COMPANIES BID FOR CONSTRUCTION OF 28 MINOR HYDROELECTRIC
POWER PLANTS (***)
T-MOBILE AND COSMOFON RACE FOR 3G
Only T-Mobile and Cosmofon submitted bids
for the 3G technology. The Agency for Electronic
Communication will announce in two weeks the
company that will offer these services. In the pres-
ence of the representatives of both mobile opera-
tors, the President of the Commission Mile
Veljanov confirmed that the tender documenta-
tions are complete without thereby revealing any
details. The tender Commission should examine
the bids no later then January 17 and afterwards
prepare a ranking list. Subsequently the Agency
for Electronic Communication will bring a decision
regarding the selection of award of the radiofre-
quency for 3G.
28 minor hydroelectric power plants
On the international tender for construction of
28 minor hydroelectric power plants bided seven
domestic and five foreign companies, which have
submitted 58 offers. Most of the offers are from
the Austrian Company Energy Zotter Bau, which
participates with 24 bids on the tender for con-
struction of minor hydroelectric power plants,
while the Italian Cover has submitted eight offers.
There are four bids from “Purferco Participation
Holding” from Switzerland, and the Slovenian
Company “Poteza”. The companies from Skopje
“Eltek”, “Fidko”, the consortium “Ingmark” and
“Flexpower” have submitted three bids.

DNEVNIK p.7 T-MOBILE AND COSMOFON RACE FOR 3G

p.3 SDSM: GOVERNMENT PROTECTS OKTA p.7 GAMA RECEIVES CONNECTOR IN BUNARDZIK
p.6 MBI 12.01.2008 VREME
p.6 TWO TIMES MORE OFFERS FOR 28 MINOR HYDROELEC- p.6 T-MOBILE AND COSMOFON WILL RACE
TRIC POWER PLANTS p.6 RESTART OF OHIS OR RESIDENTIAL COMPLEX?
p.6 T-MOBILE AND COSMOFON p.7 THE HEADMAN FROM RUSSIA IN PRISON - NO GAS IN
UTRINSKI VESNIK MACEDONIA
p.4 OKTA KEEPS POISONING THE CITIZENS, SDSM ASSERTS p.7 12 COMPANIES BID FOR SMALL HPP
p.7 12 COMPANIES BID FOR CONSTRUCTION OF 28 MINOR NOVA MAKEDONIJA
HYDROELECTRIC POWER PLANTS p.5 FINANCIAL GROUP MILESTONE TAKES OVER 75.9 PER-
p.7 COSMOFON AND T-MOBILE CROSSING SWORDS OVER 3G CENT OF THE SHARES OF COMMERCIAL-INVESTMENT
TECHNOLOGY BANK
p.7 MBI 12.01.2008 p.5 ONLY T-MOBILE AND KOSMOFON WITH OFFERS ON 3G-
p.7 GREEN COALITION REQUESTS DISLOCATION OF TOPILNI- TECHNOLOGY
CA OF VELES p.6 NO OFFERS, NO BUYERS, EVERYONE IS WAITING FOR THE
VECER NEW WAVE
6 THE GOVERNMENT ISSUES PERMISSION FOR DESUL- SPIC
PHURIZATION UNIT p.6 PING-PONG WITH OKTA
p.6 12 BIDDERS HAVE COMPETED FOR 28 HYDROPOWER
PLANTS
16 berzNIK number 4
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
1. SHORT REVIEW IN THE WEEKLY MAGAZINES
GLOBUS
P.29 OFFICIALS MAIN "CUSTOMERS" OF THE FINAN-
CIAL POLICE
SUMMARIZING
Last year, the Financial Police discovered that top state offi-
cials, directors of state organs and public institutions, civil ser-
vants, as well as directors of banks and firms, customs offi-
cers, liquidators etc. were the most frequent perpetrators of
crimes.
? How many crimes did the Financial Police discover this
year?
- During 2007, the Financial Police discovered and proved 76
crimes. It filed 41 criminal charges for 61 persons to the com-
petent public prosecutor`s offices. We discovered and proved
that a damage of about 12.6 million euros was inflicted to the
2007 budget with the perpetrated crimes.
FORUM
P.8 WILL THE GOVERNOR BE GIVEN THE SACK?
In the middle of this month on the Assembly agenda should be
the discussion regarding Governor Petar Goshev`s interpella-
tion. The request of accountability from the NBRM Head was
submitted by 15 MPs of almost all parties in the Parliament
(except DUI and LDP). In the explanation of this initiative with
which Goshev is accused for abuse of the legal regulations is
indicated that the reason is the liquidation of Makedonska
banka, which the interpellation submitters believe to be non-
sense since it is a matter of positive cash flows and profitable
bank at the same time.
P.31 KOMERCIJALNA BANKA SHARE DOMINANT
Dominant share of Komercijalna Banka was realized last
Friday when 3.090 shares were traded, from a total of 0.16%
of the bank`s main capital for an average price of 6.839 MKD
in the three trading days, which is 0.2% price drop in relation
with the last week.
According to the realized profit of 8.9 million MKD, Alkaloid is
a runner up and its share marked 1.18% drop of its average
price.
KAPITAL
P.26 WILL THE GROWTH ON MACEDONIAN STOCK
EXCHANGE BE THE SAME IN 2008?
Usually, the beginning of the year is a period for establishing
the (un)successfulness of all economic institutions the past 12
months, and so of the stock exchanges as well. The worst
result of all regional stock exchanges the past year has shown
the Banja Luka stock exchange, which index of most liquid
companies, BIRS, in spite the slight appreciation in December,
throughout the whole 2007, has realized negative balance of
11.1%.
P.28 MAKPETROL AMONG THE FOUR MOST TRADED
WITH TURNOVER OF 70 THOUSAND EUROS
With turnover of only 4.6 million denars or 73 thousand euros,
the share of Makpetrol joined the four most traded in the
beginning of the year.
The low level of trading is not uncommon for this period of the
year, taking into consideration that the investment funds, as
Date 07.01.2008
31.12.2007-05.01.2008 MONDAY-SATURDAY
the biggest moving force on the stock exchange in 2007, are
settling their balances and getting prepared for new invest-
ments.
P.29 BULGARIAN ALFA FINANCIAL HOLDING BUYS THE
BROKER COMPANY EURO-BROKER?!
According to unofficial information Kapital got hold of, the ini-
tial agreement on taking over 51% of the capital of Euro-bro-
ker by the Bulgarian financial group is already reached. The
current owner of the broker house Dragan Lasik, will apparent-
ly keep ownership of over 49% of the shares and relatively big
control in managing the company.
P.33 MBI-10 STARTS THE YEAR WITH A FALL
In the first three days of trade in the new year, the index of the
Macedonia stock exchange recorded a fall by 1.2 percent. The
shorted stock exchange week did not bring anything spectac-
ular in view of the turnover and the stock prices, which is
expected in the beginning of the year.
P.34 WE DO NOT PLAN TO BUY ANY MORE BANKS IN
MACEDONIA
It is announced that the further capitalization of Nova
Ljubljanska Banka will be in the amount of EUR 300 million.
Which way the capitalization will be conducted and what we
will be the purpose of the provided money?
NLB since 2007 underwent further capitalization amounting
EUR 100 million.
P.37 AGRICULTURAL CREDITS WITH INTEREST OF 4%
Investbanka from Skopje started disposing funds of 8.2 million
euros that the Government has provided, intended for financ-
ing individual farmers and legal entities dealing with agricul-
ture.
P.45 PROCREDIT BANK ISSUES THE FIRST CORPORA-
TIVE BOND
At the end of last year ProCredit Bank issued the first emis-
sion of corporative bond. This is the first emission of corpora-
tive bonds that a bank in Macedonia has issued.
Although issuing corporative bonds is a regular practice in the
other economies from the region and wider, it is not the case
with Macedonia, unfortunately.
P.46 MACEDONIA GOT THE FIRST INVESTMENT ADVI-
SORS
The growth of the potential investors` information about the
conditions on the securities market and the monitoring of the
stock exchange occurrences are part of the investment advi-
sors` responsibilities, who were awarded yesterday diplomas
after the successful completion of the training.
MAKEDONSKO SONCE
P.26 PROFITS MORE ATTRACTIVE THAN RISKS
Although the end of last year brought certain stagnation, the
domestic capital market is expected to become much more
interesting both for the potential foreign and home sharehold-
ers. Actually, all citizens with free assets at their disposal,
instead of putting their money on bank account, can deposit it
in shares in a company at their choice, by buying cheaper and
selling more expensively, so they will make a profit.
Date 14.01.2008 number 5
DAILY STOCK EXCHANGE REVIEW OF PRINT MEDIA EVENTS
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Date 14.01.2008
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