In Business News this week: state-owned brewer Budvar will probably not be privatised during the term of the current government, says the minister of agriculture; top managers at ČEZ are set to take home phenomenal amounts under a share option incentive scheme; with a rise in the number of second-hand autos imported, some are suggesting the Czech Republic is Europe’s car graveyard; ČT24 will soon begin broadcasts from the Prague Stock Exchange; and the Czech makers of a hit computer game are bought out by a US firm.
Gandalovič: Budvar privatisation must wait till next government
Huge share option payday for ČEZ bosses
Top managers at the state controlled power giant ČEZ will exercise stock options this month, with CEO Martin Roman set to gain CZK 677 m (over USD 38 m), a record pay-out for an executive of a Czech company. Twelve other managers will receive a combined CZK 620 m under the incentive scheme.
Marked rise in imports of second-hand cars
Stock Exchange hoping TV broadcasts will lead to more small clients
From next month the public TV station ČT24 is planning to broadcast twice daily reports live from a studio at the Prague Stock Exchange. The latter’s general director Petr Koblic hopes the bourse news will attract more small investors; at present only 30,000 to 40,000 people buy and sell stocks in the Czech Republic, far fewer than the 650,000 in similarly sized Austria. But Mr Koblic said there has already been a huge increase in small investors: five years ago they accounted for less than one percent of the stock exchange’s total trades, while today they account for around 20 percent, he told the newspaper Hospodářské noviny.
Czech makers of hit computer game bought out by US firm
The Czech computer games maker Illusion Softworks has been bought by the US company Take-Two Interactive Software. The price has not been disclosed, but Hospodářské noviny reported it could be around USD 20 million. Illusion Softworks, with offices in Prague and Brno, is best known for the 2001 computer game Mafia, which has notched up world sales of two million. Now renamed 2K Czech, it is currently working on a follow-up, Mafia II.