The SPÖ (Social Democratic Party of Austria) and ÖVP (Austrian People’s Party) resumed their talks about a grand coalition on 22 November 2006. Detailed negotiations on specific policy areas have been conducted in joint working groups. The so-called “large rounds” led by SPÖ chief Alfred Gusenbauer and ÖVP Federal Party Chairman Federal Chancellor Wolfgang Schüssel will be responsible for finalising and agreeing on key issues like employment and the labour market, Austria’s position as a business location, finances, women’s affairs, youth, social affairs and external security.
The subjects internal affairs/justice, culture/ sports/media and rural areas/energy have already been dealt with. A consensus has inter alia been reached on the eligibility of foreign mothers for childcare benefit and family allowance. A basic income of 726 euro per month for the recipients of social assistance benefits and pensioners as well as old people who acquired no independent pension entitlements has been guaranteed. A decision on the implementation and financing will be taken on 20 December 2006. ■

With the votes of two large parties and the Alliance for the Future of Austria (BZÖ), Parliament adopted a pension increase for the year 2007 on 29 November 2006. This is based on a decision taken one day earlier in the Budget Committee by the two possible coalition partners SPÖ and ÖVP. Pensions not exceeding the maximum pension insurance contribution basis (1,920 euro) are increased by 1.6%. Higher pensions will be topped up with a fixed amount of 30 euro per month. This pension increase will be granted also in the future. Moreover, stepped one-time payments of 60 and 45 euro, respectively, will be made for pensions up to 1,380 euro and 1,920 euro. 25 euro are paid for higher pensions.
With the votes of all party factions, a motion for a resolution was accepted proposing to increase top-up benefits for minimum pensions from 690 euro to 726 euro for single pensioners and 1,055 to 1,091 euro for married couples with effect 1 January 2007.
Parliament agreed by unanimous vote on a 23% increase of the salaries of public-sector employees.
The SPÖ and ÖVP gave green light for the legalisation of persons providing illegal nursing care. In a first step, illegal carers are exempted from persecution up to mid-2007 under the new Amnesty Act for Carers. ■

This year the Austrian website “Europe is listening” received the German Politics Award – the greatest distinction for achievements in political communication. The award was presented at the “Berlin Politics Days”. on 22 November 2006. As Foreign Minister Ursula Plassnik could not participate in the ceremony due to a technical defect of her AUA plane, Spokeswoman of the Austrian Chancellor Heidi Glück received the award.
The Politics Award was granted in recognition of the Federal Chancellery’s information campaign on the Austrian EU Presidency. It had been conceived by the agency PKP proximity. Its core was the website www.zukunfteuropa.at with the platform “Europe is listening“, where users could voice their opinions on EU subjects. ■

Burgenland’ Regional Parliament celebrated the 85th anniversary of Burgenland’s becoming part of the Republic of Austria in a commemorative session at Landhaus in Eisenstadt on 30 November 2006. The keynote speaker of the ceremony, President Heinz Fischer, praised the development of the past decades and highlighted the constructive coexistence of autochthonous ethnic groups in Burgenland.
The Burgenland was a “well developed, flourishing, indispensable and welcomed part” of Austria, said Fischer. Despite difficult times the years of the Second Republic had also been a “fascinating success story” with unforgettable humanitarian achievements. Twice – in 1956 and in 1989 – the Burgenland had been the “Gate to Freedom”, stressed the Federal President. ■

Foreign Minister Ursula Plassnik departed on 1 December 2006 for a three-day visit to the Middle East. Her destinations were Israel, the Palestinian territories and Jordan.
Plassnik started her diplomatic mission in the Palestinian territories Gaza and West Bank. In Gaza City the Minister met with Palestinian President Mahmud Abbas. Plassnik explained the objective was to give a visible sign of supporting and strengthening President Abbas. She drew attention to the fact that President Abbas had been democratically elected and was ready to engage in talks with Israel. However, Plassnik also appealed to the Palestinians to continue their efforts to form a government of national unity. She reiterated that the EU rejected talks with the radical Hamas as long as it did not recognise Israel’s right of existence. Plassnik presented the host with 500,000 euro for the maintenance cost of ten out-patient clinics, which have been built in the Gaza Strip with Austrian support.
The second day of Plassnik’s Middle East mission in Israel was under the impression of mutual friendship, where she was cordially received by her Israeli counterpart Tzipi Livni. The trip to Israel has above all been motivated by the 50th anniversary of diplomatic relations between the two countries. After a visit to the Holocaust memorial Yad Vashem, the two politicians opened a conference exploring the subject “Israel – Austria: 50 years of diplomatic relations (1956-2006)“ at the Hebrew University of Jerusalem. Foreign Minister Plassnik described the current relations between Austria and Israel as a “lively partnership built on confidence” but also pinpointed the difficult aspects of the relations: “Austria recognises the severity of the legacy of its past. We do what people today can possibly do to understand, to alleviate the pain and to pass on the knowledge about the events of the past”, stated Plassnik. She praised the commitment of individual personalities and also highlighted the measures taken by Austria in the past years for victims of the NS regime, e.g. the establishment of the National Fund and the General Settlement Fund as well as the revision of the Act on Compensation for the Victims of Persecution and the Social Insurance Act.
The Israeli Foreign Minister expressed her appreciation for Austria’s efforts to recognise the past.
Plassnik also held a working meeting with Israeli Prime Minister Ehud Olmert. Their talks focused on the latest developments in the region and possibilities of reviving the Middle East peace process, which had come to a standstill.
Plassnik concluded her diplomatic mission to the Middle East with a meeting with Jordanian Foreign Minister Abdelelah al-Khatib. ■

Montenegro’s President Filip Vujanovic met for official talks with Austrian Federal President Heinz Fischer in Vienna on 27 November 2006. Both sides described the bilateral relations as “very good” and “friendly”. Satisfaction was also expressed about economic cooperation between the two states.
The heads of state also discussed EU issues, especially the EU integration of the country which had achieved independence this year. Montenegro was making good progress on its way to the EU, emphasised Fischer.
On 28 November 2006 President Vujanovic participated in the 40th anniversary celebrations of UNIDO. Montenegro was admitted as the

To mark its 40th anniversary, the United Nations Organization for Industrial Development (UNIDO) conducted a great ceremony at Austria Centre in Vienna on 28 November 2006. Besides the former UNIDO Director-Generals, high-ranking officials from Austria were among the guests of honour. “Today UNIDO is more important than ever before”, said incumbent UNIDO Director-General Kandeh Yumkella in his opening statement. He stated that energy, environment and the diversification of production in the developing countries were the most serious challenges for the future. There was a great need for catching up especially in Africa, said Yumkella. ■

According to statistical data of the United Nations, Austria had made it among the top export nations at global level after previously having been awarded the title “European export champion” explained President of the Economic Chamber Austria (Wirtschaftskammer Österreich /WKÖ), Christoph Leitl, in Vienna on 23 November 2006. “With 13,864 export dollars per capita, Austria ranks 7 in a listing of all exporting countries of the world”, stated Leitl. This means that the Austrian export sector has caught up with leading export nations such as Switzerland or Sweden and “even surpassed Germany, the world emperor in terms of export volume”.
The WKÖ chief perceives the Austrian export success story above all as a result of numerous activities and support measures of the Economic Chamber (Austrian Department for External Trade) and the internationalisation campaign conducted jointly with the federal government. Especially small and medium-sized enterprises had benefited from efforts at international level to promote Austrian companies and market Austrian products, stressed Leitl. In this context, Leitl drew attention to the WKÖ’s more than 100 establishments abroad.
This year another milestone would be achieved and exports would cross the threshold of 100 billion euro. With an expected export growth of 10% for the entire year 2006, 83,000 new jobs would be created in Austria and about 3 billion euro of additional tax revenue would be reaped by the Ministry of Finance, said the WKÖ President. ■

The Organization for Economic Cooperation and Development (OECD) has made a significant upward revision of its growth forecast for Austria. According to the latest “Economic Outlook“, real growth of the gross domestic product (GDP) is expected to climb to 3.2% in 2006 under the impact of strong investments and exports. For 2007 the experts project a slowdown to 2.5%, for 2008 to 2.4%.
In its May forecast the Paris-based organisation had assumed a GDP plus of 2.5% for 2006 and of 2.2% for 2007.
The Austrian Institute of Economic Research (Österreichisches Wirtschaftsforschungsinstitut/ Wifo) and the Institute for Advanced Studies (Institut für Höhere Studien/IHS) recently forecast a real GDP growth of 3.1% for 2006 and of 2.5% (Wifo) / 2.3% (IHS) for 2007. ■

Austria has increasingly stronger capital ties with foreign countries. In 2005 the cross-border capital – assets and liabilities abroad – for the first time exceeded one trillion euro. This is about one fifth about the level of 2004. Austria’s total financial assets abroad rose by 84 billion euro to 487 billion euro, while the liabilities of 525 billion euro 2005 exceeded the prior-year level by 90 billion euro. A significant percentage of the Austrian foreign capital (31%) has been invested in Eastern Europe.
Vienna Stock Exchange contributed “very decisively” to this development, Peter Zöllner, Director of the Austrian National Bank (OeNB), told journalists on 28 November 2006. Vienna Stock Exchange was developing into a competence cluster for business with Eastern Europe and promoted Austria’s growing importance as a regional financial centre for the emerging national economies of Eastern Europe, stressed Zöllner.
Numerous international investors are lured to Vienna Stock Exchange by its special role as a “financial channel to the East”. To date foreign market participants account for more than half of the volume of transactions. In 2005 foreign investors registered share price gains of 9.8 billion euro at Vienna Stock Exchange. The gains of domestic private investors amounted to merely 2.7 billion euro. ■

The listed mineral oil group OMV acquired an exploration licence in Egypt with a view to expanding its capacity in Northern Africa. The group is already active in the exploration of oil wells and oil production in Libya and Tunisia. ■

Journalist and commentator Paul Lendvai was awarded the Austrian State Prize for Cultural Journalism at the Federal Chancellery on 21 November 2006. Lendvai was “not an opinion-maker but an opinion-former, who provides arguments stimulating individual reflection”, said Chancellor Schüssel at the awards ceremony. “He prefers differentiated analysis, the weighting of opinions and evaluation of developments to black-and-white attitudes”, said the Chancellor in his tribute to the prize-winner. The expert on Eastern Europe and the Balkans had familiarised the Austrians “with the world of our neighbours fallen into oblivion”. His activity was especially important to Austria. “Austria’s fate depends on the future of Central Europe. A mid-sized country like Austria has to reach beyond its borders. Reasonable judgment, far-sightedness and thinking in a larger context are crucial“.
Paul Lendvai was born in Budapest in 1929. After completing his law studies, he started to work as a journalist. As a “politically unreliable person”, he had been interned for several months in 1953. He was then out of work for three months due to a prohibition to practice his profession. Since 1957 he has lived in Austria, becoming an Austrian citizen in 1959. He was the correspondent for Eastern Europe of the daily “Die Presse“ and the “Financial Times“ for two decades. In parallel he wrote columns for Austrian, German and Swiss newspapers and radio stations. From 1982 to 1987 he headed the Eastern Europe Department of the Austrian Broadcasting Corporation (ORF). In 1998 he became managing director of Radio Österreich International. Currently he is the head of the ORF’s monthly programme “Europastudio“. Since 1973 he has been the co-publisher and editor-in-chief of the renowned quarterly “Euro-päische Rundschau“. The author of numerous non-fiction works, e.g. among them the classic “Anti-Semitism without Jews. Communist Eastern Europe“ (1988), also published an anthology about religious freedom, human rights and détente (“Religionsfreiheit, Menschenrechte und Entspannung“). His latest work is “Der Ungarnaufstand 1956“. Lendvai also taught as a guest professor at the University of California. ■

The Austrian State Archives store historical documents of the central authorities of the Hapsburg monarchy and the Republic of Austria as well as the supreme bodies of the Holy Roman Empire from the Middle Ages to the present day. Since the history of the Hapsburg monarchy also covers various European regions and overseas countries, the Austrian State Archives boast many treasures and are among the most important archives of the world. The State Archives are divided into five sections: Family, Court and State Archives, Finance and Court Chamber Archives, War Archives, General Administrative Archives, Archives of the Republic). They administer about 180,000 running metres of shelves with archived records. Moreover, their library accommodate about 800,000 volumes of scientific literature.
The new homepage www.oesta.gv.at offers comprehensive information on the history, functions and activities of the State Archives, their sections and the archived material in a clearly structured and visually attractive format. The archives information system SCOPE permits online search in the records of the State Archives, allowing those seeking information to prepare their visits to the premises optimally. For persons without relevant experience, there are numerous tools such as an introduction to the Archives (“kleines Archiveinmaleins“), a menu for use of the Archives and the library as well as research tips and work documents in PDF format. In addition, the table of contents of all issues of the periodical “Mitteilungen des Österreichischen Staatsarchivs“ as well as of the special and supplementary volumes can be found under the menu item “Publications”. An extensive compilation of links makes the website of the State Archives an indispensable information portal for historians and all those interested in history. ■

The “University of Music and Performing Arts” in Vienna enjoys a fine international reputation for its excellent educational level. 47 first-class pianos are procured in an invitation to tender for the “supply of keyboard instruments“. The piano manufacturer Bösendorfer owned by BAWAG was awarded the bid in five out of seven categories. Thus 39 of 47 instruments will be supplied by the Viennese piano manufacturer, whose production site is based in Wiener Neustadt. To ensure that the instruments meet the stringent requirements of use for study purposes, the “Institut für Wiener Klangstil“ (“Institute for Viennese Sound Acoustics”) performed physical measurements and sound analyses on the musical instruments. Other important criteria for awarding the contract to Bösendorfer besides the excellent price-performance ratio were the quality of sound (including tonal beauty), balanced and differentiated sound nuances as well as the touch sensitivity and repetition speed of the piano mechanic. These qualities were judged by a team of eminent university professors. An independent piano maker subsequently appraised the technical quality of the instruments, in particular the materials used, the way they were processed, carefulness of workmanship as well as resistance.
Bösendorfer manager Alfred Zellinger is of the opinion that the clear decision in the tender procedure confirms the quality of the piano and the marked upward trend of the piano manufacturer. Bösendorfer registered a global sales increase of 10% between January and October 2006 compared to the same period of the past year. ■

To celebrate the 125th birthday of the author and translator Stefan Zweig, the International Stefan Zweig Society (Internationale Stefan Zweig-Gesellschaft) opened an exhibition at Salzburger Schüttkasten on 28 November 2006. The show “Stefan Zweig – An Austrian from Europe“ consists of 120 photos, a series of reproductions of manuscripts and recordings of some examples of his lyric poetry. The writer was born in Vienna in 1881 as the son of a Jewish textile industrialist. He lived in Salzburg from 1919 to 1933.
The touring exhibition compiled by literary scholar Karl Huber in 1995 has been remodelled for Salzburg. It had been presented for the first time at Frankfurt Book Fair and has been shown in 30 cities around the globe. 200,000 visitors came to see the Stefan Zweig exhibition in Athens, Budapest, Brussels, Zurich, Jerusalem, Santiago de Chile and Sao Paulo. ■

The Austrian Music Office (AMO) is an association founded in 1996 by Mathias Rüegg. It is responsible for administering and awarding the Hans Koller Prize. Since then prizes have been granted in different categories to outstanding jazz musicians. “Musician of the Year“ is the title bestowed on percussionist Alex Deutsch, e.g. drummer of “Café Drechsler“. JazzWerkstatt Wien became the “Newcomer of the Year“: 60 young musicians explore the borders between free jazz, improvisation and hard bop. The distinction “CD of the Year“ went to the recording “travelling hard“ (ATSRecords) by trombonist Robert Bachner. The jury selected contrabassist Matthias Pichler as the “Sideman of the Year”.
The “European Jazz Prize“ became an additional category of the Koller Prize in 2002. This year the jurors from 23 European countries have decided in favour of Swedish pianist Bobo Stenson. He has been one of the most original musicians of the European jazz scene for three decades. In the beginning of his musical career Stenson accompanied American musicians such as Sonny Rollins, Stan Getz and Gary Burton. His close cooperation with Don Cherry started when the US trumpeter moved to Scandinavia. Stenson’s collaboration with saxophonist Jan Garbarek has become famous. On 2 December 2006 the Stenson Trio with Anders Jormin (bass) and Jon Fält (percussion) was enthusiastically acclaimed at the prize-winners’ concert in the jazz club “Porgy & Bess“ in Vienna. ■

Federal Chancellor Wolfgang Schüssel conferred the Grand Gold Decoration with Star for meritorious service to the Republic of Austria on incumbent President of Nestlé AG Peter Brabeck-Letmathe (born in Villach, Charinthia, in 1944) at the Federal Chancellery on 27 November 2006. “Peter Brabeck-Letmathe stands for a balance between the interests of the staff, the owners and the company. His life and work has been guided by the motto that global enterprises have to find globally valid values without being commonplace“, said Schüssel.
The Federal Chancellor underlined the commitment of the Nestlé group in cultural and sports sponsoring. In this context he drew special attention to a youth programme. “For example, the campaign “tickets for the young” allows young people to obtain inexpensive festival tickets in Salzburg – this is a sustainable investment in the art and culture potential of our youth, whose value-added for the society cannot yet be assessed”. Moreover, Schüssel paid tribute to the innovative spirit of the enterprise in research and development for which the Nestlé group had earned itself a reputation as a trustworthy food, health and wellness company. For these achievements the prize-winner received the Schumpeter Prize in 2001 in addition to many other awards.
In his thank-you statement Peter Brabeck-Letmathe emphasised that he received the award also on behalf of the numerous staff members of his group in Austria. He had had various opportunities of changing his citizenship but this was something one did not discard. “I am proud to be able to contribute to the success of this country within my sphere of responsibility”, said the Nestlé Chairman of the Board & Chief Executive Officer (CEO). “In Austria I did not only receive a good education but also values and a specific culture. If you look around in this world, this should not be taken for granted”, concluded Brabeck-Letmathe. ■

“Thaddaeus Ropac is a great gallery owner and communicator with great contacts, who won renown for his successful activities beyond the borders of Austria. His work of twenty years is a shining example of the mission of communicating art at the highest level. Ropac is the incarnation of distance and passion that gives people enough scope to find themselves reflected”, stated Secretary of State for Art and Media Franz Morak on 23 November 2006 on the occasion of awarding the Gold Decoration for meritorious service to the Republic of Austria to gallery owner Thaddaeus Ropac from Salzburg.
Agnes Husslein, director designate of Österreichische Galerie Belvedere, stressed in her laudatio that this award also symbolised “recognition for and awareness of modern visual arts in Austria”. As far as Salzburg was concerned, it was an achievement of Ropac to turn the spotlight on contemporary visual arts alongside the Salzburg Festival. By establishing a branch in New York and opening a gallery in Paris, he has become one of Europe’s most important gallery owners.
Morak stressed that the life of Thaddaeus Ropac impressively showed how important it was to create a public for art and to be active worldwide. The Secretary of State for Art and Media also reminded of the art fair and gallery subsidies, which have been newly created to strengthen the international presence of Austrian art. ■

On 28 November 2006 Secretary of State for Art and Media Franz Morak presented the Austrian Cross of Honour for Science and Art to architectural photographer Margherita Spiluttini, who was born in Salzburg in 1947 and is among the top ten artists in this branch of photography. In his tribute Secretary of State Morak described her as “one of the founders of Austrian architectural photography, whose works have made a great contribution to the new awareness of architecture in Austria. Her oeuvre does not only express appreciation of architecture but she has become art herself some time ago”. The laudatio was held by Dietmar Steiner, head of the Architecture Centre Vienna. Originally a trained radiologist assistant, Margherita Spiluttini first dedicated herself to photography as an autodidact before becoming a free-lance photographer in 1981. As early as in 1996 she received the Austrian Prize for Achievements in Photography. Between 1999 and 2001 Spiluttini was a member of the advisory board on photography of the Federal Chancellery’s Department for Art. Her internationally acclaimed works have recently been displayed at the Art Fair in Madrid. ■

After the last few weeks had been quite turbulent, good news can again be reported about the application of Salzburg to host the Olympic Winter Games 2014. On the one hand, the Supervisory Board has unanimously approved the budget for the Winter Games. On the other hand, the Budget Committee of the first chamber of the Austrian Parliament has assumed a secondary liability. In this resolution the federal government agrees to cover 40% of 772 million euro in the event that “unforeseeable events outside the control of the organisational committee occur”. Secretary of State for Sport Karl Schweitzer emphasised that the federal government had once more met all requirements. He expressed his hope that the preparations for Salzburg’s application could be continued with the firm commitment of all those involved. “A firm common stance is the best recommendation for Salzburg as a candidate for hosting the Olympic Games”, said Schweitzer. The International Olympic Committee (IOC) will select the venue in Guatemala on 7 July 2007. ■

“2008 – Österreich am Ball“ (literally: “2008 – Austria has the Ball”) is a campaign supported by the Austrian federal government. It was launched to raise public awareness of the importance of the European Football Championship 2008 and to develop the necessary measures and projects. The EURO 2008 to be held in Austria and in Switzerland from 7 to 29 June 2008 is the third-largest sports event in the world – after the Olympic Games and the Football World Cup. The federal government is in charge of the overall coordination of Austria’s accompanying programme for UEFA EURO 2008™ and all the institutions and organisations involved. The general coordinator and official of the federal government is Heinz Palme. His mandate is to make the UEFA EURO 2008™ a top event and to position Austria perfectly. To Austria this large-scale event offers a great opportunity of presenting its athletes, its skills as a host and as an organiser in Europe in the best possible way UEFA EURO 2008™ has a total TV reach of about 8 billion people. The advantages of a significant image effect will also have repercussions on the national economy. UEFA EURO 2008™ offers unique opportunities – not only to sport but also the economy, tourism and culture in general. For Austria the Institute of Advanced Studies in Vienna (IHS) has forecasted value-added effects of almost 375 million euro, purchasing power effects of 250 million euro and about 4,000 new jobs. ■

More than 1.5 million visitors are expected to attend the European Football Championship 2008 in Austria and Switzerland. Therefore EURO 2008 has to be prepared and organised adequately also with a view to ensuring high security standards. It is a challenge to the countries participating and the institutions involved to make EURO 2008 an occasion “to celebrate security in Europe”. To this end, a security conference focusing on the cooperation of international partners was held in Vienna. Representatives of 27 countries, of UEFA, the Austrian Football Federation (ÖFB), the EU and the Council of Europe participated in this conference. Besides the Ministry of the Interior, the Austrian Federal Army will make available a great number of soldiers to provide support in the area of logistics and transport. ■

The jury composed by representatives of wirtschafts¬blatt:online and Sporthilfe selected the former skiing ace and current economic expert Klaus Heidegger as the winner of the business prize “Business Athlete Award 2006“. Heidegger, who had moved to the USA in 1986, succeeds to Peter Schröcksnadel (2002), Niki Lauda (2003), Armin Assinger (2004) and Norbert Teufelberger (2005). ■