Boarding.no : Estonian Air focuses on developing its core business

The strategy foresees restructuring of the company and discontinuing the uneconomical side activities in order to increase the company s flexibility and adjust to the changes in the aviation market. Estonian Air Bombardier CRJ 900. According to the strategy and restructuring plan approved by Estonian Air s Supervisory Board, Estonian Air will close its Ground Handling Division on 4 May 2009. After this date ground handling services will be provided to Estonian Air by a specialized company. As a result of the decision, nearly 120 employees of the division will be laid off. The company will offer all-round support and assistance to the laid-off employees. Andrus Aljas (estonian air) - The continuing drop in passenger numbers and several airlines leaving Tallinn Airport have considerably reduced the volume of our ground handling services.

Estonia may opt for euro adoption in mid-2010

Estonia is capable of complying with the Maastricht (euro) criteria this year.. July 1, 2010, Andrus Ansip said during a media briefing. Ansip said later this year recession-hit Estonia might ask the European Commission and European Central Bank for an assessment on the country s preparedness to adopt the common currency. He urged lawmakers to draw up a supplementary state budget to bring down the deficit to 3 percent of gross domestic product, the level required for adopting the euro. Estonia is undergoing its steepest recession since independence in 1991. The statistics office announced Wednesday that GDP shrank 3.6 percent last year and 9.7 percent in the fourth quarter, making it the second worst performing economy in the EU after neighboring Latvia. Liechtenstein pledges tax openness Adopting the euro has been a key target for the Estonian government for many years.

Estonian Kroon Not Threatened by Global Financial Crisis

A large number of businessmen establish investment companies in Estonia to run worldwide business because of a favourable tax system and business climate. Moreover, small countries known for flexible administration will adjust to the crisis faster and will therefore recover from the crisis faster as well. This is the case with Estonia, too. Recently commenting on the prospect that the national currencies of the Baltic states could be devalued, Almunia, the EU s Economic and Monetary Affairs Commissioner, cautioned that the situation had to be looked at one country at a time. That s provided that the government will continue applying measures, the commissioner said in an interview with the Estonian daily Eesti Paevaleht. According to Almunia, the currency peg that is part of the currency board system will ensure that the currency is stable even under the conditions of very volatile markets.

Estonian inflation fall raises eurozone entry hopes

Figures from Statistics Estonia confirmed that the consumer price index stood at 3.4 per cent compared to February 2008, the lowest figure since June 2005. As recently as June 2008, Estonian inflation stood at 11.4 per cent. Reductions in fuel and housing costs had a large effect on the index, Statistics Estonia said. The news will be welcomed by Prime Minister Andrus Ansip, who has identified entry to the eurozone as the nation s number one priority. Ansip s government is implementing a tough austerity budget in order to cut costs and kickstart the economy on a more sustainable basis than previously, when a property bubble and huge inflows of foreign capital created large imbalances. The Baltic state missed out on its planned entry in 2007 because of its inability to control inflation, despite meeting all the other Maastricht criteria which act as the rules for Euro adoption.

Estonia: President of the Republic of Estonia called European Parliament elections

I hope that our parties understand the responsibility associated with this change that they only present candidates that will go and work in the European Parliament if elected and thereby justify the trust their voters have placed in them. Those who stand as candidates only to win votes are deceiving the public. Parties and individual candidates who are applying for the support of people also have to focus on issues of importance during their election campaigns. Dear compatriots, let us be attentive when casting votes. Let us remember that we will elect the European Parliament on 7 June and not the Riigikogu or the local council. We have to stick together and see through the attempts to use the European Parliament elections as a warm-up for the elections in autumn. This is why we have to remind all those who only talk about Estonian domestic policies during their election campaign what these elections are really about.

In January 2009 the production of industrial enterprises in Estonia decreased by 27

According to Statistics Estonia, in January 2009 compared to January of the previous year, the production of industrial enterprises decreased by 27. The decrease in industrial production, which had begun in March 2008, deepened in January. When from March to October 2008 the decrease in the production was around 5, in October-November the decrease was about 15 compared to the previous month, then in December the production decreased 22. In January, the production in manufacturing fell 29 compared to January of the previous year. The main reason causing the decline in the production was the insufficient market demand both in domestic and external markets. The decrease in the production of manufacturing was mainly influenced by the production of branches holding the largest share, such as food, wood and metal products. The decrease in the production of food, which is an internal market oriented branch, was the smallest 7. The decline in the production of food was slightly retarded by the stop of increasing of producer prices.

Simm gets 12 years for treason

He was sentenced to 12 years and six months in prison. The case was heard at a closed session under a compromise procedure on Feb. 25. Sven Sillar, the defense lawyer of Heete Simm, 54, Herman Simm s wife, a suspected of accomplice of treason, told BNS that the public prosecutor s office had made no proposal to her concerning an agreement or had informed her of her case being closed. Last September 21, the Harju County Court at an application by the Public Prosecutor s Office issued a warrant for the arrest of Herman Simm, head of the security department at the Defense Ministry on the suspicion of spying for Russia as well as his wife, Heete Simm, lawyer at the Police Board, suspected of being an accomplice to treason. Until November 2006 Herman Simm worked as head of the security department at the Defense Ministry with access to classified information of the state and it was his duty to sign agreements on the protection of classified information with Estonia s partner countries.

Eastern Europe hit hard by downturn

The ratings company said some of Europe s largest banks could be downgraded because of loans to eastern Europe. A continuous downward rating pressure in the area has led to worsening asset quality and western banks reliance on short-term funding, the report said. The recession in eastern Europe will reportedly be more severe on average given the region s generally large macroeconomic imbalances, such as fiscal and current account deficits. Moody s said the scarcity of international funding would force the deficits to contract abruptly, resulting in more significant declines in domestic demand and overall GDP. The report added the vulnerability of countries with large external deficits has therefore increased substantially. Modern banking systems in eastern Europe have only emerged recently, in the past two decades. They are therefore more vulnerable in times of financial turmoil because they do not maintain the same level of maturity as their western European counterparts.

Estonian experts predict 8 economic recession in 2009

Presuming that the capacity of the global economy will remain on the level of the last quarter of 2008, the recession in Estonia could exceed 8 in 2009 and the decrease would continue until 2010, concluded Tartu University professors Raul Eamets and Urmas Varblane, Tallinn University of Technology retired professor Jaak Leimann and Estonian central bank s vice president Märten Ross, as LETA reported, referring to Postimees. The experts have advised the government upon drawing up the negative supplementary budget. According to the four experts, the outlook for Estonian economy for the year 2009 has thus inevitably worsened, and further development is as uncertain as in the rest of the world. As the world economy has worsened in the past six months, the economic growth and inflation have turned out smaller than predicted in 2008 by the Ministry of Finance and the Estonian central bank.

Empire Carnaval - the night of mystery

TALLINN - The winter season is usually not very generous for party people, especially the post-Christmas period, but this year is different. A new, exclusive dance-carnival event that was born on Dec. 13 is now about to enter its second phase. Everyone gets tired of night clubs every once in a while. Everyone has at least thought about dressing up as a princess or pirate, covering their faces with masks and heading to a celebration that would be more than just another party. The same idea has been bouncing around in the head of the father of the Empire Carnaval, businessman Aleksei Pankow. The idea at first was only to celebrate his birthday in a special way, but this quickly became the theme of a full-blown carnival. That party was such a success that soon there wasn t a single person in Tallinn who didn t know about it and would not ask if it would happen again.