Athens News Agency: Daily News Bulletin in English, 02-06-28

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From: The Athens News Agency at <http://www.ana.gr/>

CONTENTS

[01] Greek economy to grow at 3.8 pct this year, 4.0 pct in 2003

[02] All Olympics projects will be ready on time, PM Simitis assures IOC official

[03] Seville 'reversed the situation' on the Euroforce, cabinet told

[04] FM concludes first round of parties' briefing on Seville summit results

[05] Public order minister urges new illegal immigration measures

[06] Deputy DM holds talks with Hungarian deputy FM

[07] Greece and Kazakhstan discuss cooperation in education

[08] Foreign minister to accompany PM on Ukraine visit

[09] Danish PM says Cyprus EU accession process to continue

[10] Defense minister to attend conference on European security in Berlin

[11] Main opposition leader to attend conference on EU in Nice

[12] Main opposition leader meets US ambassador in Athens

[13] Event organized in honor of late premier Andreas Papandreou

[14] Finance minister announces tax reform package

[15] Eurochamber general council agrees expansion drive

[16] Aegean ministry unveils plan of servicing remote islands

[17] Reception ceremony held in light of Eureka initiative

[18] Feta wins induction in the "Appellation controlee" catalogue

[19] Main opposition party unveils alleged misuse of ''spatosimo'' funds

[20] Greek stocks end 1.12 percent higher

[21] Government preoccupied with Olympics' security

[22] Journalists conference to begin in Samothraki on Friday

[23] Conference on native Greek-speakers of southern Italy

[24] New method of copying artifacts, creating exact replicas presented

[25] President: no change in basis of peace talks

[26] Spokesman: talks to continue after UN envoy returns from New York

[27] Cyprus to protest new air violations by Turkey

[01] Greek economy to grow at 3.8 pct this year, 4.0 pct in 2003

Athens, 28/06/2002 (ANA)

In its semi-annual report on "Current developments and prospects of the Greek and international economies", the ministry said that high growth rates of the Greek economy were attributed largely to a decline in interest rates that led to a significant increase in business loans.

The report noted that "the growth rate of private sector's borrowing in 2000, 2001 and in the first four months of 2002 was moving at around 23-29 percent."

Borrowing growth rates were 9.6 percent in 2000 and 7.9 percent in 2001, although it fell to 5.4 percent in the first four months of 2002.

The report said that due to an expected stronger euro parity against the US dollar (at around 0.95-1.0) in the next 12 months, Greek manufacturing products' competitiveness was expected to be negatively affected.

Referring to the domestic market, the report said that the rate of increase in domestically produced goods' prices, although it was slowing down, it remained far bigger in comparison with growth rates in prices of similar products in other European Union member-states.

The rate of increase was 2.7 percent in April in Greece, compared with a 0.6 percent rise in other EU member states. The report noted it was clear that Greek products' competitiveness was steadily declining since 2000.

The finance ministry said that the consumer price index rose more than initial forecasts and that its slowdown begun in May (3.4 percent) from March as it was originally planned.

A rise in the consumer price inflation was attributed to bad weather conditions in December 2001 and in the first two months of 2002, but also to a wave of unjustified price increases in the euro transition period.

The report added, however, the higher inflation in Greece, compared with the EU average rate, was partly attributed to higher growth rates in the country.

The finance ministry expects the inflation rate to fall below 3.4 percent this year.

The report said that the unemployment rate would fall to 10.0 percent of the country's workforce this year and to 9.2 percent in 2003. The finance ministry attributes Greece's relatively high unemployment rates to a shift of workers from the farm sector to other sectors of economic activity and to a very low percentage of part-time workers in the country, compared with an EU average.

The report noted, however, that unemployment could fall more than estimated with the help of corporate tax cuts decided by the government and lower interest rates in the country.

[02] All Olympics projects will be ready on time, PM Simitis assures IOC official

Athens, 28/06/2002 (ANA)

Oswald, accompanied by Athens 2004 Organizing Committee (ATHOC) President Gianna Angelopoulos-Daskalaki met with Simitis on Thursday morning. Culture minister Evangelos Venizelos was also present at the meeting.

According to reliable sources, the premier assured Oswald that all the projects would be ready within the timetable set out and that the preparations would continue at the same intensity.

After the meeting, Venizelos told reporters that ''we're going well''.

He added that, naturally, problems existed that needed attention, chiefly the projects' timetables, but assured that ''we are in control of the situation''.

Venizelos noted that the public works ministry had reassured that the projects at Ellinikon would be ready on time, and disclosed that the IOC was mulling the reduction of certain facilities at Ellinikon, which it deemed were not necessary.

The culture minister further said all sides had expressed satisfaction over the roadworks and on most areas of the Olympic preparations.

IOC mostly satisfied with Olympic progress; budget cuts possible: A handful of delayed venues and a focus on transportation snags were the primary concerns aired here on Thursday by the International Olympic Committee's (IOC) top executive in charge of overseeing the upcoming Athens 2004 Olympics Games, although Denis Oswald was quick to point out that the IOC is generally satisfied with ongoing preparations.

Speaking to reporters at the end of another inspection visit to the Greek capital and following intensive contacts with Athens 2004 organizers (ATHOC) and the government, Oswald reiterated the IOC's leitmotif for the upcoming Games, namely, that there are absolutely no margins for delay in any area of preparations.

On her part, in an eye-raising statement, high-profile ATHOC head Gianna Angelopoulos-Daskalaki emphasized that ATHOC has even foreseen of a possible reduction in the Games' budget of between 190 million to 300 million euros.

Oswald, meanwhile, specifically cited a handful of delayed projects at the seaside Hellenikon site - adjacent to the old Athens airport - as well as a "new problem" in the form of finding another venue to host the final stages of the football (soccer) competition.

A deal to renovate and use the currently antiquated Karaiskaki stadium in a coastal Athens district unexpectedly fell through this past week, causing organizers to pull out alternative plans from the drawer and earning the IOC vice-president mention. Another 'blemish' this week to 2004 preparations emanated from the Council of State, the country's highest administrative court, which agreed to consider a request to block construction of the Olympics-related suburban railway, and after the city of Athens charged that the project did not meet environmental standards.

The Swiss-born Oswald - who took over the commission overseeing the 2004 Games from IOC President Jacques Rogge -- stressed that the Lausanne-based organization will insist on the popular sport's final rounds being played in the host city, instead of in the provinces. Moreover, he indirectly pointed ATHOC and the government towards "refurbishing" existing football stadiums in the city in the two years remaining before the Olympic Games return to their ancient birthplace.

Despite what it perceives as the latest snags in preparations, the IOC -- via Oswald -- again stressed in public that it is satisfied with the commitments given by ATHOC and government that venues sites - including the highly anticipated renovation of the main Olympic Stadium (OAKA) -- along with road and mass transit works and organizational timetables will be met.

"We have received confirmation that necessary road works would be built on as planned and ready on time," he said in reply to press questions during a briefing at ATHOC's new headquarters, a one-time factory transformed into a state-of-the-art administration center.

Oswald did mention that slight delays, following consultations with the relevant international federations, were approved for events scheduled at the Goudi site, in eastern Athens, as well as for the tennis competition.

Asked about a latest round of "cost-cutting" for the expensive Games, Oswald said the IOC was briefed and approved of the measures, noting that his organization does not want "white elephants" with concrete grandstands teaming with spectators during the Games to become auspicious leftovers for the host-city - another "indirect" nod to organizers that pre-fab venues were acceptable as long as "they did not create a problem for the sport" and were of the highest quality.

Finally, Angelopoulos-Daskalaki added that commitments vis-a-vis the hospitality sector in terms of the number of reserved rooms have been met, with the selection of two contractors -- one to coordinate and supply private room lodgings and another for coordinating cruise ships to host visitors and the extended "Olympic Family" - are near completion.

[03] Seville 'reversed the situation' on the Euroforce, cabinet told

Athens, 28/06/2002 (ANA)

''Whereas before the 14 (EU partners of Greece) were in agreement on a text that expressed Turkey's positions but did not take into account our own sensitivities and interests, after lengthy negotiations with the EU presidency and thanks to the efforts of the foreign ministry we achieved an overall agreement of the '15' (EU member-states) that was finally not accepted by Turkey,'' he said.

The onus was now on Turkey to insist on a different settlement of this issue, Simitis added, and it was now forced to reveal its intransigency to the EU member-states.

The premier stressed, however, that this was not a final solution to the problem, which would demand the signature of agreements for a final settlement.

''We have to continue the negotiations, and since we take over the presidency (of European security and defense policy) from July 1, this puts the burden on us,'' Simitis stressed.

The foreign ministry also expressed satisfaction at the results achieved at Seville on Thursday, through its spokesman Panos Beglitis.

Beglitis said that Athens had succeeded in establishing an informal agreement or framework within which the talks on the issue would continue.

"We also succeeded in changing the Ankara document and extracting a statement from our EU partners that protects Greek interests - provided an agreement is finally achieved," he added.

Noting that the EU presidency spoke on behalf of all EU countries, he admitted that the framework of the agreement achieved at Seville had not been formally adopted as yet, but said that it had 'political power'.

Among the changes made to the Ankara text, Beglitis listed an addition to article 2 that outlined the rights and obligations of member-states participating in the EU's Common Foreign and Security Policy (CFSP) and NATO, while stressing the need to respect international law and not resort to the use of force.

In addition, he said that article 12 had been changed and now called for consultations between the EU and Turkey rather than decisions.

[04] FM concludes first round of parties' briefing on Seville summit results

Athens, 28/06/2002 (ANA)

With this meeting Papandreou concluded the briefing of all opposition parties that are represented in Parliament and stated that he will now brief all political parties that are not represented in Parliament.

The foreign minister called unjustified all criticism that was leveled against the government concerning the on time briefing of the political leaders on national issues.

''We gave the text that was signed in Seville to the political leaders, so that they may have a full picture,'' he said, adding that ''the briefing from the foreign ministry is an institutional and not a marginal function. Thus it is an obligation of the parties to respected it''.

Speaking on the Seville summit results he said that the Greek side is fully satisfied, since several basic principles were secured. Those, according the Papandreou were the principle of reciprocity between NATO and the EU; the principle of autonomy in the decision making of the two organizations; the principle of equality and non-preferential treatment of third countries to the detriment of EU member-states; and the principle of the peaceful resolution of differences and the non-use or non-threat of use of violence.

Papandreou called on Turkey to understand that these changes were to the benefit of stability in the region and noted that there was an agreement between the 15 member-states, but that the problem was not resolved.

Papandreou also spoke of the illegal immigration issue, saying that ''we are pressured at our borders by the illegal immigrants and that there should be a regulation in the protocol of deportation to the country of departure that was signed with Turkey."

On her part, Bakoyianni said that she was briefed on the developments of Seville and noted that ND expected the briefing by Prime Minister Costas Simitis, who undertook the initiative to brief DN leader Costas Karamanlis.

''I believe that some specific steps were taken in Seville, which led to the position from which the process should have begun. For such a critical issue ND will have the opportunity to study the text that was presented and then take a stance,'' Bakoyianni said.

During his comments after the meeting, Papandreou also said that on July 1st Greece will undertake the presidency of the European Union on security issues and will continue the negotiations with NATO member-states and especially with Turkey on a new basis.

He added that in response to those that said that nothing changed from the original Ankara text ''I direct them to Turkey's refusal to accept the agreement".

Papandreou also spoke of his meeting with his Turkish counterpart Ismail Cem earlier this week in Istanbul, who, he said, was not ready to provide answers concerning the Seville arrangement and stressed that it would be to the benefit of Turkey to respond, so as to ''close'' this issue soon.

The foreign minister also said that a difficult negotiation will begin on this issue, reassuring that the Greek presidency will deal with it in the ''most European way possible''.

He also clarified that for the Greek side there cannot be a thought of changes to the two texts, which would undermine the basic principles already established.

Following his statements to the press, Papandreou received in his office U.S. Ambassador Thomas Miller, whom, according to sources, he briefed on the Seville summit decisions.

[05] Public order minister urges new illegal immigration measures

Athens, 28/06/2002 (ANA)

Chrysohoidis, who was addressing an inner cabinet meeting, outlined the situation prevailing both inside and outside the country's borders with illegal immigrants and proposed the taking of new measures.

Another measure is a new operational plan prepared in cooperation with the military and aimed at preventing the mass entry of illegal immigrants from the Evros borders.

Continuous meetings are being held between the armed forces and the Greek police on the new operational plan since they will be jointly undertaking to contain the wave of illegal immigrants.

Chrysohoidis told the inner cabinet that expenses incurred by Greece on the issue of illegal immigrants exceed the amount of 80 billion drachmas annually.

He added that the issue should also be brought up with the EU since Greece and Italy are the countries making great expenditures to shield the EU's external borders.

[06] Deputy DM holds talks with Hungarian deputy FM

Athens, 28/06/2002 (ANA)

It is the first visit to Hungary by a Greek official after the election of the new government in the country.

[07] Greece and Kazakhstan discuss cooperation in education

ASTANA, 28/06/2002 (ANA)

Magriotis is accompanying President of the Republic Kostis Stephanopoulos on an official visit to Kazakhstan.

More specifically, the talks focused on the tuition of Greek in Kazakhstan's universities, the transfer of know-how from Greece on issues such as European Law, public administration, tourism and the joint organization of cultural events in the run up to the Athens 2004 Olympics.

Magriotis also referred to the possibility of extending the training program for Kazakhstan's civil servants, while the two sides agreed on the need for a systematic institutional framework for cooperation and the immediate implementation of all fields of possible cooperation in education and culture.

[08] Foreign minister to accompany PM on Ukraine visit

Athens, 28/06/2002 (ANA)

The prime minister will also be accompanied by Deputy Foreign Minister for international developmental cooperation Andreas Loverdos, he added.

While in Kiev, the Greek mission will discuss bilateral relations between Greece and the Ukraine, especially economic and trade relations, developmental cooperation and support for the Ukraine's efforts to join Euro-Atlantic structures.

Other topics will include relations with countries participating in the Black Sea cooperation pact, as well as the latest developments in the Cyprus issue and in Greek-Turkish relations.

[09] Danish PM says Cyprus EU accession process to continue

COPENHAGEN, 28/06/2002 (ANA - M. Spinthourakis)

Rasmussen, who will be European Council president when his country assumes the EU's presidency as of July 1, was speaking to correspondents from Brussels.

He said the issue of Cyprus's accession ''is the biggest problem after Common Agricultural Policy in relation to enlargement'', adding that there is still hope that efforts by the UN secretary general will produce results.

On the question of Turkey, Rasmussen said it does not yet fulfill criteria set at the Copenhagen summit and, consequently, there is no question of accession negotiations beginning, while the time these negotiations will get underway depends on the speed with which necessary political changes will be promoted in this country.

Rasmussen said he is optimistic that the 10 candidate countries will succeed in joining the EU in December and pointed out that a possible delay in enlargement could have disastrous results for all of Europe.

[10] Defense minister to attend conference on European security in Berlin

Athens, 28/06/2002 (ANA)

he conference will be attended by the foreign and defense ministers of European countries both within and outside the European Union and will discuss European security in the framework of globalization, the challenge that southeastern Europe presents to an EU Common Foreign and Security Policy (CFSP), as well as CFSP, the European rapid reaction force and NATO.

[11] Main opposition leader to attend conference on EU in Nice

Athens, 28/06/2002 (ANA)

The conference will be attended by EPP President and former Belgian prime minister Wilfried Martens, former German chancellor Helmut Kohl and the head of the EPP Group at the Convention for the Future of Europe Elmar Brok.

[12] Main opposition leader meets US ambassador in Athens

Athens, 28/06/2002 (ANA)

The meeting also touched on the results of meetings between the main opposition leader and US officials during a recent visit by Karamanlis to the U.S.

[13] Event organized in honor of late premier Andreas Papandreou

Athens, 28/06/2002 (ANA)

Speakers referred to the statesman's political activities which spanned a period of over 35 years and to the main policies he set out in his career.

Parliament President Apostolos Kaklamanis said Papandreou was a brother and tutor for him, adding that he was a leader who succeeded in incarnating and effectively expressing the anxieties, struggles and expectations of generations.

[14] Finance minister announces tax reform package

Athens, 28/06/2002 (ANA)

The measures were presented during Thursday's inner cabinet meeting and will be incorporated in the first tax reform bill to be presented analytically next week.

The measures include the abolition of the attestation of all tax data issued by computer, the attestation of a series of books and lists, as well as the obligation of tax cash registers being kept for a series of business and entrepreneur categories.

The rationalization of fines, the lifting of vagueness in rejecting books and the prolongation of time for submitting periodical VAT statements was also decided.

Christodoulakis said that the second tax reform bill concerning measures for inheritances, parental grants and donations will be announced in mid-July.

He added that the third bill concerning income tax and indirect taxation will be announced in September, while decisions on the living standard index will be announced at the same time.

Christodoulakis clarified that the issue of uniting existing taxes on property and their yielding to local administration will be discussed after the municipal elections in October.

He said measures included in the tax reform will be valid as of January 1, 2003, adding that reform will have two main targets: the simplification of the tax system and the strengthening of labor, enterprise and investments.

Christodoulakis assured that measures under consideration include the abolition of salary earners' and pensioners' obligation of submitting tax statements ''provided certain preconditions exist.''

He said that those for whom this will apply will merely have to submit a simple income registration statement.

The 25 measures include the abolition of the farmers' obligation to issue consignment receipts in certain cases of products being transferred, the monitoring of businesses through a register and the extension of the period required for the submission of company change statements from 10 to 30 days.

ND criticizes government's tax reforms: The main opposition New Democracy party sharply criticized tax reforms announced by the government on Thursday.

''It is clear, both from the government's announcements and the reports of the OECD and the national economy ministry, that the only rule in the government's economic policy is 'tonight we shall improvise','' said ND's economic affairs coordinator George Alogoskoufis.

He said problems in the economy's competitiveness are evident in the unfavorable course of exports and high unemployment, while the announcement of tax measures in installments shows the government's lack of planning and perplexity.

''The economy needs a different policy. A policy which will set free the country's development possibilities and which will inspire security and reliability. Such a thing cannot be done with the present government,'' Alogoskoufis added.

[15] Eurochamber general council agrees expansion drive

Athens, 28/06/2002 (ANA)

Greece was represented by George Kasimatis, chairman of Greece's Central Chambers' Union (KEEE).

The council agreed to set up a confederation of European businesswomen, to operate in the framework of Eurochamber's activities, to include Greece in an "Atlas" community program, in cooperation with Italy. The program covers Latin American countries and support European companies' efforts to gain access in these countries through investments, know-how and joint ventures.

The council also agreed to include, by fall, Byelorussia, Moldova, Ukraine and FYROM to the Eurochamber. Mr. George Kasimatis will handle the project.

Eurochamber also agreed to expand its cooperation with Russia. Mr. Kasimatis will meet with chairman of Russia's Chambers, Yevgeni Primakov, a former prime minister, in 2002 to discuss ways of closer cooperation.

The council also agreed to hold its next meeting, in the spring of 2003, for the first time in Greece at a time when the country will hold the six-month EU presidency.

[16] Aegean ministry unveils plan of servicing remote islands

Athens, 28/06/2002 (ANA)

Under the plan, the Aegean ministry in cooperation with Economy and Finance ministry will spend this money to build eight new ships since shipping companies have shown no interest in investing in these sea lines.

Sifounakis said that the plan would secure state funding through a European Regional Development Fund and a Third Community Support Framework program.

The new vessels will be able to travel at a maximum speed of 25 knots offering a comfortable and safe connection between remote islands in the country.

The plan also envisages that the new ships will be either leased to a group of local authorities and the private sector, or run by local authorities.

Dimitris Erinakis, secretary-general of the ministry, noted the multiple benefits of the plan, such as lower operation and management cost of the new vessels, higher life expectability, increased revenues and more enhanced travel schedules.

[17] Reception ceremony held in light of Eureka initiative

Athens, 28/06/2002 (ANA)

Officials, including 14 ministers, from 32 countries participating in the initiative have been invited to participate in the event.

Tsohatzopoulos welcomed participants during a special event held at the Thessaloniki Concert Hall on Thursday night. During the event, he gave two Eureka awards (Lillehammer and Lynx) to businesses contributing considerably to environmental protection and to those increasing their turnover by 25 percent and improving their competitiveness by participating in Eureka projects.

Friday's session will begin with the ratification of the accession of Cyprus and Yugoslavia as new Eureka member-states. Tsohatzopoulos will then refer to the work of the Greek Eureka presidency.

The Eureka organization was created in 1985 by 17 countries and the European union. It is characterized as a European network for industrial research and development and is considered the framework through which industries, research centers and universities from the EU and other European countries develop and exploit technologies, which are necessary to increase global competitiveness and improve the quality of life.

Eureka's secretariat is headquartered in Brussels. It provides all the information concerning the program, it maintains the database and provides support for the country having the program's presidency.

[18] Feta wins induction in the "Appellation controlee" catalogue

BRUSSELS, 28/06/2002 (ANA - B. Demiris)

Agriculture Minister George Drys defended the Greek positions successfully, in this meeting that took place in Luxembourg.

The council of ministers issued a directive mandating that the Feta cheese name will be entered within three months in a catalogue of products called "appellation controllee" and that Feta cheese can only be named that cheese that is produced in certain regions of Greece.

[19] Main opposition party unveils alleged misuse of ''spatosimo'' funds

Athens, 28/06/2002 (ANA)

ND deputy Athanasios Chimaras, presenting a dossier of figures, said that a total of 138.7 billion drachmas, revenues from Greece's regional airports, were used illegally in the period 1996-1997 to subsidise the ''Athens International Airport'' company, with the prospect of returning the money to their original accounts. ''So far this money has not yet returned,'' Chimaras said.

ND's deputy noted that banks have not offered a legal interest rate on this money, resulting to huge losses for Greek regional airports.

Mr. Chimaras urged the government to offer adequate explanations over the issue.

[20] Greek stocks end 1.12 percent higher

Athens, 28/06/2002 (ANA)

The general index rose 1.12 percent to end at 2,229.81 points, with turnover a moderate 76.9 million euros.

The Insurance sector was the only one to suffer losses (down 0.23 percent). The Textile, Food-Beverage and Bank sectors scored the biggest percentage gains of the day (2.06 percent, 1.83 percent and 1.82 percent, respectively).

The FTSE/ASE 20 index for blue chip and heavy traded stocks rose 1.50 percent, the FTSE/ASE MID 40 index ended 0.95 percent higher and the FTSE/ASE SmallCap 80 index rose 1.02 percent.

Broadly, advancers led decliners by 233 to 75 with another 49 issues unchanged.

The most heavily traded shares in value were Hellenic Telecoms, AXON, Klonatex, Public Power Corporation, Eurobank and Football Pools Organization.

Equity index futures finish higher: Equity index futures on the Athens Derivatives Exchange finished higher on Thursday, with contracts on the high capitalization index showing a slightly higher premium and on the medium cap index decreased their previous discount.

Turnover was 82.6 million euros.

The underlying FTSE/ASE-20 index for heavily traded stocks and blue chips gained 1.50 percent; and the underlying FTSE/ASE-40 for medium capitalization stocks rose by 0.95 percent.

Bond prices down in heavy trade: Bond prices in the domestic secondary market on Thursday finished lower in very heavy trade focusing on ten-year paper.

The Greek benchmark 10-year bond showed a yield of 5.28 percent, and the spread over the corresponding German bund was 31 basis points.

Turnover through the central bank's electronic system totaled 2.1 billion euros.

Sell orders accounted for more than half of trade.

[21] Government preoccupied with Olympics' security

Athens, 28/06/2002 (ANA)

Public Order Minister Mihalis Chrysohoidis presented his ministry's plan for a security umbrella at the Games to the government and the prime minister.

Both the inner cabinet and the IOC's Coordinating Committee President Denis Oswald, who was in Athens for two days, were briefed on the plan.

The public order ministry is also promoting measures to handle the problem of the entry of illegal immigrants into the country, particularly the entry of women and minors for sexual exploitation.

[22] Journalists conference to begin in Samothraki on Friday

Athens, 28/06/2002 (ANA)

The first day will be devoted to the new scene being shaped in the mass media, the quality of news and ethics. The second day will focus on an extensive discussion on Europe and the mass media.

[23] Conference on native Greek-speakers of southern Italy

ROME, 28/06/2002 (ANA - L. Hatzikyriakos)

The conference was organized by the Modern Greek Studies department at Naples university, with the assistance of associations of Greek-speaking native Italians.

The conference will focus on problems in writing the dialect of the Greek-speaking Calabrians with the use of the Greek alphabet and the prospects of reinstating the Greek alphabet.

[24] New method of copying artifacts, creating exact replicas presented

Athens, 28/06/2002 (ANA)

Two such copies were presented during an event of the European initiative Eureka. The two pieces are copper statues of the Hellenistic era, which were presented as gifts to the ministers of energy and the environment from 27 European countries, who were participating in the Eureka events.

The scientists revealed their technique, saying that they used laser beams to ''draw'' the artifacts in a computer with exact precision and then they made a mold with a computer guided lathe, which then produced the exact copies.

In this way the experts said that they can make the necessary copies of artifacts without damaging the originals.

[25] President: no change in basis of peace talks

NICOSIA, 28/06/2002 (CNA/ANA)

The president's comments come in the wake of a public debate about possible discussions in the context of the direct talks of the Belgian constitution, which Clerides is ready to discuss in its entirety and Turkish Cypriot leader Rauf Denktash selectively.

''The basis of the peace talks does not change at all. If Denktash wants to discuss the Belgian constitutional model, he should be ready to talk about it as a whole, not selectively,'' the president told journalists on Wednesday night, replying to questions.

He said at the talks, which began in mid January under UN auspices, Denktash has referred to certain articles of the Belgian constitution and he was told that selective discussion on specific articles was not acceptable.

The president said last Sunday that at Friday's meeting in the context of the talks the two sides will discuss the Belgian model.

He said on Wednesday that he pointed out to Denktash certain provisions of the Belgian constitution, such as the absence of a rotating presidency and the fact that the premier comes from the largest community in the country.

Denktash pushes for rotating presidency and a 50-50 share of the executive. The Turkish Cypriot community makes up 18 per cent of the Cypriot population and the Greek Cypriot community 80 per cent, with the Armenian, Maronite and Latin religious groups comprising the remaining two per cent.

The UN talks are currently at a deadlock and it is unlikely that the two sides would meet the target UN Secretary General set them, to reach agreement on the four core issues under discussion (governance, security, territory and property) by the end of June.

[26] Spokesman: talks to continue after UN envoy returns from New York

NICOSIA, 28/06/2002 (CNA/ANA)

''The last meeting in the context of this round of direct talks will take place on 2 July. After that de Soto will go to New York to brief the Security Council on the course of the negotiations,'' government spokesman Michalis Papapetrou said here on Thursday.

He said talks will resume on 12 July and continue in their normal pattern, of two weekly meetings.

Replying to questions, Papapetrou said the government has no information about the form de Soto's briefing to the Council will take.

There has been speculation that the UN Secretary General Kofi Annan does not intend to present a written report on his good offices in Cyprus, as is normal practice.

The talks, which began in January this year, are facing a deadlock, according to President Glafcos Clerides who represents the Greek Cypriot side at the talks.

The deadlock is the result of demands by Turkish Cypriot leader Rauf Denktash at the negotiating table for two separate sovereign states on the island.

Annan had asked both sides during his May visit here to crack the four core issues by the end of June, an unlikely prospect as things stand at present.

[27] Cyprus to protest new air violations by Turkey

NICOSIA, 28/06/2002 (CNA/ANA)

He said such actions are ''unacceptable'' especially at a time when peace talks are taking place, noting that they undermine the spirit that should prevail at the negotiations.

On Wednesday, two Turkish reconnaissance R-F4 and two F4 jets violated Nicosia FIR.

''These are unacceptable actions, and as always, we protest to the UN and other international organizations,'' Papapetrou said at his daily press briefing, when asked to comment on the illegal flights by Turkish planes.

The spokesman pointed out that especially in times of peace talks, ''such action is not only unhelpful but it also undermines the atmosphere that needs to prevail at the talks in order to help the two sides come to compromises.''

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