Financial news

According to the preliminary data Bulgaria’s Industrial Production Index, seasonally adjusted, increased by 0.4% in November 2014 as compared to October 2014. In November 2014 working day adjusted Industrial Production Index rose by 0.9% in comparison with the same month of 2013. In November 2014 as compared to October 2014, the seasonally adjusted Industrial Production Index increased in the mining and quarrying industry by 0.9%, in the manufacturing by 0.7% and in the electricity, gas, steam and air conditioning supply by 0.2%. The most significant increases of production in the manufacturing were registered in the repair and installation of machinery and equipment by 26.7%, in the manufacture of leather and related products by 16.9%, in the manufacture of machinery and equipment by 10.6%, in the printing and reproduction of recorded media by 8.1%. There were decreases in the manufacture of chemicals and chemical products by 12.9%, in the manufacture of basic metals by 11.4%, in the manufacture of textiles by 8.1%, in the manufacture of other transport equipment by 5.7%.

According to the preliminary data of Bulgaria’s National Statistical Institute (NSI), in November 2014 the index of production in section ‘Construction’, calculated on the base of seasonally adjusted data, was 0.5% below the level of the previous month. In November 2014 working day adjusted data4 showed an increase by 1.4% in the construction production, compared to the same month of 2013. In November 2014 the construction production, calculated from the seasonally adjusted data, was below the level of the previous month. Index of production of building construction decreased by 0.6% and the production of civil engineering - by 0.4%.

	Mineral Fuels, Tailoring Products, Canning, Perfumery and Cosmetics, Furniture, Meat Products, Wine, Wood-processing Industry

Concessions

The Bansko Municipality seeks to sign a concession contract for the ski zone near Dobrinishte, as well as the new tourism zones delineated in the forthcoming management plan of the Pirin National Park, according to Bansko Mayor Geogi Ikonomov. Ikonomov, as cited by the Bulgarian National Radio, informed Friday that he would submit a proposal with the Environment Ministry next week for awarding a concession contract for the ski zone near Dobrinishte. He suggested that it was a realistic and fair scenario for the municipality and local tourism to be the new concessionaires of the site, thereby avoiding the monopoly position in the ski resort. Ikonomov underscored that there was an option for a union of hotel and restaurant owners and the municipality being awarded the concession contract for the new areas in the ski zone in Bansko and in Dobrinishte. As regards the newly established inter-institutional working group tasked with analyzing the concession contract of the Yulen company for the Bansko ski zone, Ikonomov said that the entity would clear the unresolved problems of the past few years.

Companies

NPP Kozloduy will allocate a considerable sum for repairs of its 5th and 6th power units in 2015. This transpires from the public procurement worth BGN 41.433 million announced in the beginning of December. The funds are a lot more compared to previous years. This is what an inquiry into the public procurements announced by NPP Kozloduy for the annual plans and repairs of the two power units shows. The NPP said that in 2015 the two power units will undergo the necessary repair activities, maintenance of their equipment and systems, as well as refuelling. “Apart from this activities are planned related to the preparation and implementation of measures from the programme for the extension of the lifespan of 5th and 6th power units of NPP Kolzoduy,” representatives of the NPP added. The operating licenses of the two power units expire in end-2017 and end-2019 respectively. The companies that usually win the tenders for repair activities at NPP Kozloduy are a few and quite familiar. In 2014 Enemona won the tender with a total of three offers submitted. Its value was nearly BGN 10 million. In 2013 Energoremont Holding won the tender worth BGN 9.4 million.

Bulgarian privately-owned company Euroautoservice has acquired 23.9% in real estate investment trust (REIT) Delta Credit, the REIT said. Euroautoservice has bought 310,900 shares in the REIT. The acquired shares were entered into the country's commercial register on December 29, 2014, and January 7 this year. Meanwhile, Cyprus-based Kamalia Trading has acquired 144,600 shares, equal to 11.12%, in Delta Credit. The deal was entered into the commercial register on December 29 last year. The value of the deals was not disclosed. Delta Credit's capital consists of 1.3 million shares with a par value of BGN 1 each.

When in the end of 2012 the 58th in a row clinic in Sofia, under the name of City clinic, opened expectation were not big. In a year, though it turned into the sixth in revenues private hospital in Bulgaria with a turnover of over BGN 15.7 million. In 2013 it is assessed to BGN 23 million. The whole group of hospitals includes two diagnostic centers in Sofia and Varna, as well. The company’s plans are huge, too. By 2016 it intends to be the largest chain of hospitals in Bulgaria with revenues over BGN 100 million. To the purpose City clinic plans to invest about BGN 200 million in expansion the present hospital in Sofia, construction of a new hospital in Varna, construction of a modern oncological hospital in Sofia and possible purchase of a working hospital in one of the bigger cities in the country. For one of the new projects, that of the cutting edge oncology clinic, owners of the company has succeeded in attracting the first European funding for a hospital in Bulgaria. The specialized hospital will be opened by the end of October 2015. Two con-investors are attracted for its funding. One of them is the investment fund Empower Capital that distributes money under the line of the initiative JEREMIE.

The Supreme Administrative Court (SAC) rejected the appeal of Bromak over Corporate Commercial Bank (CorpBank). Bromak appealed against a decision of the Bulgarian National Bank (BNB) to appoint Stanislav Lyutov and Elena Kostadincheva as ombudspersons at the bank. The SAC ruled that the appeal was procedurally inadmissible. The SAC is yet to rule on the legality of CorpBank’s license revocation. The next court sitting was scheduled for February 9, 2015.

Europe

The trade balance deficit in Britain shrank more than expected in November, as the drop in imports outweighed the fall in exports. The deficit on trade in goods and services fell to its lowest level since June 2013, according to figures from the Office for National Statistics (ONS) released today. The total trade balance deficit shrank to £1.4 billion below market predictions of it shrinking to £2 billion. The November figure also came out well below last month's deficit of £2.2 billion. The figure represents a deficit of £8.8 billion on goods, partly offset by a surplus of £7.4 billion on services. Figures from the ONS showed the export of goods fell by £0.1 billion while imports fell £1.1 billion. Almost all the fall in fuel imports was attributed to countries outside of the EU which puts the balance of trade in oil in deficit by £0.5 billion in November compared with a deficit of £0.9 billion in October. Brent crude oil dipped to a five and a half year low earlier this week.

America

Coca-Cola says it will cut between 1,600 and 1,800 jobs in coming months to trim costs. The world's biggest beverage maker says it began notifying workers in the U.S. and some international locations Thursday. It said job types are across all parts of its business and include about 500 cuts at its Atlanta headquarters. The company, which makes Sprite, Powerade, Vitaminwater and other drinks, has about 130,600 employees around the world, according to FactSet. In an emailed statement Thursday, Coca-Cola said it will "continuously look for ways to streamline our business," suggesting additional cuts could be announced later. Coca-Cola Co. and rival PepsiCo Inc. have been looking for ways to cut costs as their soda businesses have flagged in North America. In October, Coca-Cola said it planned to slash costs by $3 billion a year through a variety of measures. It said the savings would be used to help fund the stepped-up marketing it believes is needed to drive up beverage sales.

Asia

Japanese automaker Nissan and NASA are teaming up to advance the technology behind cars that drive autonomously. Yokohama-based Nissan Motor Co. and NASA's Ames Research Center at Moffett Field, California, announced Thursday a five-year research-and-development partnership for autonomous vehicle systems so they can eventually be applied to commercially sold cars. Nissan is excited about the potential of self-driving cars, which executives say could lead to improved safety, a pillar for future autos along with low emission technology. NASA researchers will be working with Nissan's research unit in Silicon Valley, they said in a joint statement. The maker of the Leaf electric car and Infiniti luxury models aims to introduce autonomous driving technology to consumers between 2016 and 2020. Ames developed the Mars rover software and robots onboard the International Space Station.

Steneto Natural Reserve

The biosphere reserve Steneto is located in the Troyan mountain, in the upper stream of the Cherni Osam river. It was proclaimed as a natural reserve on April 5 1979. It was established to preserve the nature in the majestic gorge Steneto and is included in UNESCO’s “Man and Biosphere” programme. The reserve is a home of the greatest variety of forest and rock birds on the Balkans. Steneto is also the area most densely inhabited by brown bears in Bulgaria, and Bulgaria has been acknowledged as one of the most important bear areas in Europe. In the past, the bear was one of the most popular big mammals in Stara Planina. The Karst region of the reserve is strewn with many caves, including Kumanitza – one of the longest water caves in Bulgaria (1656 m) and Raychova dupka (377m) – the deepest cave in Bulgaria.

On that day:  Holy Virgin Martyr Tatiana of Rome – January 12