In Business News this week: It looks like the national bank will postpone cutting interest rates; Plans to privatise Prague Airport have attracted no small amount of interest; over a quarter of a million foreigners are currently working in the Czech Republic; the insurer Lloyd’s is set to enter into the Czech market, and the discord between piano makers Petrof and their former American distributor continues.
Singer: central bank may postpone cutting interest rates
Prague Airport privatization attracts 65 bidders
Seventy thousand foreigners come to Czech Republic to work in last year
Lloyd’s insurers set to break into the Czech market
Another new arrival to the Czech Republic is set to be one of the world’s most important insurance companies, Lloyd’s, which will start selling its products on the Czech market as of next year. The European manager of the company, Enrico Bertagna, made the announcement on Wednesday. He added that Lloyd’s would apply for a licence in the last quarter of this year. The application should be processed within the following five months. Mr Bertagna said the company would offer above all liability insurance to companies and managers. It might also insure economic risks taken by government institutions in the Czech Republic. Lloyd’s has been present on the Czech market for a number of years, but it has only provided reinsurance so far. It is not clear how much money the insurers want to invest in their Czech business.
Petrof wins legal battle against GIC, but the war continues
The discord between Czech piano maker Petrof and US trading company Geneva International Corporation (GIC) continues, with the Czech firm winning the latest in a series of arbitration cases against its former American distributor. An arbitration court in Hradec Kralové, Eastern Bohemia, ruled that Petrof was right to terminate a year-long contract with its US distributor, after GIC refused to buy the instruments that Petrof was supplying. Following on from the verdict, Petrof’s lawyer Pavel Vidura said the victory showed that the Czech firm may win a similar case currently pending in the United States. GIC has already been forced by an American court to pay the piano producer damages to the tune of 134,000 USD in a dispute over supplied and unpaid for musical instruments in 2006.