12.09.2005
Home Affairs
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Chancellor Schüssel: tax reform leads to tax cuts of 3 billion euro
Thanks to the tax reform, which entered into force on 1 January 2005 and is currently being implemented, companies and employees will pay a total of 3 billion euro less taxes, stressed Federal Chancellor Wolfgang Schüssel after the Ministerial Council on 6 September 2005. Mainly small and medium-sized enterprises would benefit from the tax cuts (about 1 billion euro). The tax savings of large companies totalled between 400 and 500 million euro. Employees would save up to 1.5 billion euro.
This means that the tax ratio had decreased by 3% since 1999 and the expenditure ratio by as much as 4%, stated Schüssel. There were no plans for another tax reform before 2008. A concept for “mid- and long-term planning” up to 2010 was being developed. At the same time structural changes should also be discussed, said the Federal Chancellor. ■

Chancellor Schüssel for stricter immigration rules
The immigration and family reunification quotas for the year 2006 should be reduced to relieve the stress on the labour market, Federal Chancellor Wolfgang Schüssel announced recently. Moreover, there are plans to impose stricter naturalisation rules and to cut the quota of seasonal workers by 10%.
Although the number of jobs had increased by 32,000 from the prior-year level, the number of unemployed also surged by 12,500 – among them 4,500 foreigners, said the Chancellor.
According to data provided by the Ministry of the Interior, the overall immigration quota had gradually been reduced in the recent past. However, the quota for family reunification had remained fairly constant.
No quotas apply to EU citizens benefiting from the free movement of persons. A quota of 7,500 was established for other immigrants for 2005.
The largest share of the total quota has been reserved for immigrating spouses and unmarried children. Under this title 5,460 persons may immigrate this year.
The immigration quota excludes seasonal and crop workers, who were assigned quotas of 8,000 and 7,000, respectively. ■

Flood disaster in Austria: damages total about 500 million euro
The total damages caused by the flood disaster in various Austrian regions are estimated at about 450 million euro. This amount includes damages of the public infrastructure (rail and road).
According to Federal Chancellor Wolfgang Schüssel, the Disaster Fund of the Ministry of Finance had been doubled to 400 million euro. Measures relating to income tax had also been adopted.
The Economic Chamber Austria (WKÖ) provides emergency aid totalling 1 million euro to disaster-hit enterprises in economic distress. Thus a total of about 5 million euro (including the subsidies of the Economic Chambers of the Länder and the Social Insurance Institution of Trade and Industry) is available to companies whose continued existence is threatened. 10,000 euro per claim are granted for removal work and repairs. ■

Federal government approves influenza pandemic plan
On 6 Sep¬tember 2005 the federal government approved the “influenza pandemic plan” to protect Austria against possible global epidemics of influenza. Intensive talks are being held between the competent authorities and the pharmaceutical industry to ensure that the medicines will be available if need arises.
At present there was no cause for alarm, emphasised Federal Chancellor Wolfgang Schüssel. According to experts, the risk of a bird flue epidemic for the human population is currently “very low”. ■

“Palais Niederösterreich“ opened
The “Palais Niederösterreich” (Palace of Lower Austria) was officially opened with a ceremony in Vienna’s city centre on 8 September 2005. The former “Niederösterreichische Landhaus” located at Herrengasse was converted into an administrative centre. In his festive speech Federal Chancellor Wolfgang Schüssel referred to historic rooms “filled with Austrian history“, which would now become a venue of the “European future”. ■

Foreign Minister Plassnik pays official visit to the USA
Foreign Minister Ursula Plassnik met with US Secretary of State Condoleezza Rice in Washington on 9 September 2005. On Plassnik’s official programme was a meeting with the chairman of the Foreign Relations Committee of the Senate, Richard Luger, and the head of the National Security Council, Stephan Hadley.
The talks of the two foreign ministers focused on issues concerning the Austrian EU Presidency in the first six months of 2006 as well as bilateral relations, including the preparations for the visit of US President George W. Bush to Austria, which has been planned for the traditional summit meeting between the EU and US leaderships.
Plassnik reported about “highly positive” talks. The aim of her visit to the US had been to discuss the key items on the agenda of the Austrian EU Presidency in “an early planning stage” and “to enhance the visibility of the transatlantic relations”, stated the Foreign Minister.
One of the common concerns of the US and Austria was cooperation on the Balkans. Other important issues were cooperation at the level of the Middle East quartet (USA, UNO, EU, Russia) as well as the common combat against terrorism.
Plassnik’s visit in Washington was the beginning of a series of visits of members of the Austrian government in the preliminaries of the Austrian EU Presidency in 2006. Besides Minister of the Interior Liese Prokop and Minister of Justice Karin Gastinger, Minister of Economic Affairs Martin Bartenstein and Federal Chancellor Wolfgang Schüssel will also travel to the USA.
Plassnik expressed Austria’s deep sympathy for the victims of the hurricane disaster to Rice. Rice thanked for Austria’s offer to help. ■

EU Enlargement Commissioner Olli Rehn in Vienna
Olli Rehn, the EU Commissioner responsible for enlargement, held talks with Federal Chancellor Wolfgang Schüssel and Foreign Minister Ursula Plassnik in Vienna on 8 September 2005. The main subjects were the preparations for the Austrian EU Presidency in the first half of 2006 and enlargement of the Union.
In a press conference Rehn reaffirmed the European Commission’s position that the goal of the negotiations with Turkey was accession but that the talks were open-ended.
In connection with the Western Balkans, which will be a priority of the Austrian EU Presidency, Rehn expressed his great appreciation for Austria’s expertise and commitment regarding this region. ■

Austria supports a speedy opening of negotiations with Croatia
Austria supports an initiative advocating a speedy opening of EU accession negotiations with Croatia. In a letter to the EU Commission, the Council Presidency and the Member States Federal Chancellor Wolfgang Schüssel and six other heads of government pled for opening negotiations with Zagreb already in September.
At an event in Graz on 7 September 2005 Croatian Prime Minister Ivo Sanader showed himself optimistic: “Not only Croatia needs the EU but the EU also needs Croatia“, explained Sanader. ■

Azerbaijan’s Foreign Minister Mammadyarov visited Austria
Azerbaijani Foreign Minister Elmar Mammadyarov arrived in Vienna on 7 September 2009 for an official visit. He held talks with his Austrian counterpart Ursula Plassnik and met with Federal President Heinz Fischer. Among the issues discussed were the bilateral relations, cooperation within the OSCE, the Council of Europe and the UN as well as the forthcoming parliamentary elections in Azerbaijan and the plan of action for Azerbaijan in the framework of the European neighbourhood policy.
Austria considered it vital that rapid progress was made in the talks between the EU and Azerbaijan. Closer cooperation would have favourable effects on all parties involved, particularly in the economic sector, stressed Plassnik. Minister Mammadyarov referred to “booming” bilateral relations at high political level. ■

voestalpine fully privatised
On 31 August 2005 government control has become a thing of the past for the listed Linz-based steel group voestalpine. Holding still 15% in spring, the state holding company ÖIAG has now sold off all its voestalpine shares. According to the group management, all investors who have subscribed to the convertible bond issued by ÖIAG since September 2003 took advantage of their conversion privilege. This marks the conclusion of the full privatisation of Austria’s largest steel producer. The privatisation of voestalpine had started in 1995 and was implemented in different stages over a period of ten years.
After the withdrawal of ÖIAG, about half of the Voest shares are held by Austrian institutional and private investors. Out of them 10.3% are held by an employee foundation. Other main shareholders of Voest are Raiffeisenlandesbank Oberösterreich (16.4%) and Oberbank (just under 8%). ■

Foreign Minister Plassnik: “fair trade is concrete foreign policy“
“By making buying decisions in favour of products with the “Fair Trade” quality seal, consumers can make a very concrete contribution to improving the living conditions of peasant families in Africa, Asia and Latin America”, said Foreign Minister Ursula Plassnik on 5 September 2005, when the first “Fair Trade” roses were handed over to her by the management of Fair Trade Austria.
The “Fair Trade“ campaign was a successful example of sustainable development cooperation. Fair wages and working conditions allowed peasant families to escape dead-end situations and hopelessness. Austria would continue to support this campaign. The Fair Trade idea would also be promoted at EU level. ■

Asfinag takes over Europass
The domestic motorway financing company Asfinag has taken over the truck toll operator Europass for 208 million euro from the Italian motorway operator Autostrade. Thus, Asfinag will be solely responsible for handling the collection of tolls in the future.
After having been active in Austria for three years, Autostrade will reap a net profit of 129 million euro from this transaction. The deal also makes Asfinag Europe’s third-largest road network operator. Currently, Asfinag is wholly-owned by the Austrian government. Future privatisation is not ruled out. ■

Böhler-Uddeholm anticipating new record year
In the first six months of 2005 the listed special steel producer Böhler-Uddeholm succeeded in boosting its earnings before interest and tax (Ebit) by 78% to 139.8 (from 78.6) million euro. In early September the company announced that the surplus for this period had more than doubled by 111% to 88.6 (from 41.9) million euro, while sales climbed by 31% to 1.19 billion (from 911.8 million) euro. After the record year 2004, Böhler-Uddeholm now also achieved the best half-year results in the corporate history. A new record is expected for the entire year 2005.
By buying the German enterprise Buderus Edelstahl (registering sales of 405 million euro in 2004) in spring, the company had made its largest acquisition since its formation. In July the Swedish welding specialist Avesta Welding was acquired. Böhler-Uddeholm currently employs about 13,800 staff members. ■

Mobilkom wants to become largest mobile phone network operator in the Danube region
The Mobilkom Austria group is not only active in Austria but also in Croatia, Slovenia, Liechtenstein, and quite recently expanded operations to Bulgaria. It increased its sales, results and customer base in all countries during the first six months of 2005. With the market entry into Serbia and Bosnia in 2006 the mobile radio subsidiary of Telekom Austria plans to become the leading mobile phone network operator “between the Danube and the Black Sea” and to boost the number of customers from currently 8 to more than 10 million, announced Mobilkom chief Boris Nemsic in late August.
In the first half of 2005 the total sales of the Mobilkom group rose by 4.2% to 1.062 billion euro, the operating result increased by 12.3% to 238 million euro. ■

Collection of Antiquities of the Museum of Art History reopened
After four years of renovation, 2,300 exhibits now shine more brightly than ever. The Museum of Art History (Kunsthistorisches Museum /KHM) wanted to present “a new image of antiquity“ with the completely revamped Collection of Antiquities, which has been re-opened to the public on 6 September 2005, said Director General Wilfried Seipel.
The exhibition halls were redesigned by architect Hans Hoffer. The objects rearranged on about 1,500 square metres in nine halls are now illuminated. Previously the gems, cameos, sculptures, vases, coins and inscriptions in the Greek, Cypriot, Hellenistic, Etruscan, Roman sections as well as those dedicated to the Migration of the Peoples and to late antiquity could be admired only during the day since this part of the museum had no electricity. In the past four years in which the Collection was closed new electricity lines and stone floors were laid, the windows were renovated and the former offices were moved to enlarge the exhibition surface. By remodelling the Collection, the Museum hopes to revive interest in antiquity, which is one of the foundations of the European identity. ■

Albertina pays homage to Rudolf von Alt in a great anniversary show
To commemorate the 100th anniversary of the death of Rudolf von Alt (1812-1905), Albertina dedicates a large-scale retrospective to the Austrian artist, which will open on 9 September 2005. With the anniversary show, Albertina’s Director Klaus Albrecht Schröder wants to “position von Alt finally also at international level as what he actually is, namely one of the most significant water-colourists, landscape and veduta painters of the 19th century“.
With about 180 landscapes and city views the impressive exhibition documents the oeuvre and development of the artist spanning seven decades. He was a key figure of the avant-garde around Gustav Klimt and a co-founder of the artists’ movement “Wiener Secession” electing him honorary president. The exhibition focuses on a selection of 100 of Albertina’s 250 water-colour paintings and drawings. Moreover, 15 paintings were integrated into the graphic art section.
The show sheds light on his background by presenting Viennese views by Carl Schütz – sketches painted in water colours for art prints illustrating the artistic significance of prints of views in the late 18th century and the boom of painting in nature – and art prints by this father Jakob von Alt, who was Rudolf’s most important teacher. The exhibition arranged in chronological order traces von Alt’s artistic development.
Rudolf von Alt worked from his early childhood until 1848 in the workshop of his father, who had moved to Vienna from Frankfurt in 1810 and became a renowned Viennese veduta painter. Before studying landscape painting at the Academy of Arts for two years, Rudolf learned the fundamentals of water-colour painting by colouring his father’s series of lithographic views. Juxtaposed with the work of his father, which is characterised by a tendency to idealisation, Rudolf von Alt’s early work shows his very specific conception, his realistic approach and good eye for light and atmosphere.
With Rudolf von Alt ordinary veduta painting developed into an independent art. His oeuvre ranges from the early coloured pencil studies from Salzkammergut, the well-known views of Vienna and interiors to the paintings he made for the “Guckkasten“ of the Emperor (a box with a concave mirror into which prints were inserted and illuminated). These are large-size views of the most beautiful places of the Austrian monarchy and bordering countries. Alt also made trips to Italy as well as to the Crimea following an invitation by Czar Alexander II in 1863. His late work is characterised by a free, often impressionist style.
Rudolf von Alt remained a seeker throughout his life. The artist did not receive adequate – financial – recognition for his artistic achievements during his lifetime. ■

Kunstforum: birthday show for Christian Ludwig Attersee
Exclusively new works are put on show in the exhibition “Attersee. Die Liebe - Das Haus - Der Ring“ at Kunstforum BA-CA held in honour of the 65th birthday of Chris¬tian Ludwig Attersee. 80 paintings on canvas and painting cycles created in the recent past are presented to the public for the first time. After having been active as a poet and performer, the multi-talent Attersee has increasingly concentrated on painting for about 20 years. The show spotlights the monumental triptych “Die Liebe - Das Haus - Der Ring“, from which the exhibition title has been derived. It shows the development of the human being on the stage of life from an ironical perspective. Christian Ludwig was born in Bratislava (Slovakia) on 28 August 1940. In 1966 he chose the name “Attersee” alluding to earlier achievements as a yachtsman. As early as in 1951 Attersee had started to write short novels, compose early songs, draw comics and design stage settings. From 1957 to 1963 he studied stage architecture and painting at Vienna’s University for Applied Arts, where he maintained contacts with the group of “Viennese actionists” (Wiener Aktionisten), notably Günter Brus, Hermann Nitsch and Gerhard Rühm. Between 1963 and 1965 Attersee created his first cycles of paintings. Culinary-erotic themes, fashion and decorative objects for people and animals dominate the early work. At a press conference Attersee said that “the initial prettiness of the paintings attracting with a kind of mating call” disappeared at closer inspection. “They revolved around the triangle animal – landscape – human being, which I have always been interested in”. Attersee also explained that art had the task of “showing people freedom. Paintings are walk-in theatre stages“. ■

Essl Collection invites to "Stations of a Journey" with Franz Ringel
To mark the 65th birthday of the artist, the Essl Collection in Klosterneuburg presents 95 exhibits to illustrate Franz Ringel’s oeuvre as a painter spanning almost half a century – from his beginnings at the Crafts School in Graz in 1957 to the recent past. ■

Austrian Gallery presents a portrait of the Second Republic
To supplement the historico-political State Treaty exhibition “The new Austria”, the show “Physiognomy of the Second Republic“ has been inaugurated at Österreichische Galerie (Austrian Gallerey) at Belvedere Palace on 7 September 2005. Partly hardly known portraits of about 220 eminent and very different personalities are shown, who had shaped that epoch (e.g. Julius Raab, Oskar Werner, Marianne Mendt, Bruno Kreisky and Elias Canetti). With sculptures, posters, pictures and photos, this exhibition aims at providing the visitors with an emotional and personal approach to the Second Republic. ■

Bruckner Festival in Linz inaugurated
On 11 September 2005 the Bruckner Festival was formally opened. The festive speech was held by the world famous Austrian quantum physicist Anton Zeilinger, who explained some parallels between music and natural sciences. In his statement Secretary of State for the Arts Morak pointed out that in the capital of Upper Austria a “different” approach to the “classical” in a wider sense had been explored. In Linz one had opted for further developing the notion, embedding it in syntheses and simply removing the barriers between the categories “old” and “new”, between art and applied technology, between classical art and entertainment, emphasised Morak. “The basis is a deep respect for the old and the new.” The Bruckner Festival cultivated the treasures of the past and helped to create time and space for the new, stated the Secretary of State. In three high-class concert weeks music fans will be able to enjoy international and Austrian stars of classical music, e.g. conductors Pierre Boulez and Dennis Russell Davies. The concerts will be held at the Brucknerhaus in Linz and the basilica of the St. Florian monastery. ■

Schottenberg era at Volkstheater ushered in with “Spiegelgrund“
Volkstheater’s new manager, Michael Schotten¬berg, had promised his audience a sensual, entertaining theatre that was at the same time critical, topical and political. “The Volksheater should send out signals that are understood by as many people as possible.“ He successfully realised this concept with the production “Spiegelgrund“ ushering in the new management. Schottenberg entrusted the Carinthian theatre maker Johann Kresnik with the production of a play reminding of the atrocities at the Spiegelgrund clinic in Vienna setup within the NS euthanasia programme. For the text by Christoph Klimke Resnik produced a bold succession of scenes on an inclined plane (stage setting: Bernhard Hammer) showing both children’s coffins and swastika flags as well as an orchestra of naked old people or a girl’s head preserved in ethyl alcohol. With his author Christoph Klimke, Kresnik chose a very concrete approach calling a spade a spade. Files and testimonies as well as songs and poems of the NS period are integrated into the play. Heinrich Gross and other doctors active at Spiegelgrund but also Werner Vogt, who strongly advocated an investigation into these incidents in the 1980s, are presented as stage characters. The focus is on the main character Karl Fuchs representing the victims and based on Friedrich Zawrel. He had succeeded in escaping from Spiegelgrund, later met Gross again, who in his capacity as a court expert wanted to “lock away” the unwelcome witness. This important but difficult topic marks the beginning of a new era at Volkstheater. ■

Viennale 2005 starting in October
Due to a steadily growing audience, this year’s Viennale film festival (14 to 26 October 2005) has added the cinema Künstlerhaus to its traditional venues (Gartenbaukino, Urania, Metrokino, Stadtkino). “Künstlerhauskino” does not only offer beautiful architecture but is also conveniently located in the city centre. The main programme comprises about 100 new feature films and documentaries from all over the world. Festival highlights will be a retrospective of Andy Warhol films (1 to 31 October at the Austrian Film Museum), a tribute to the films of the actress and singer Jane Birkin as well as the myth of the city of Buenos Aires (Buenos Aires Dreams Itself. The cinematographic myths and traces of a magnificent city), a retrospective of the oeuvre of Portuguese film director Pedro Costa as well as an homage to the Chinese silent film star Ruan Lingyu. ■

Austria strongly represented at the Ludwigsburg Short Film Biennale
Austria is represented at the 1st European Short Film Biennale from 12 to 18 September 2005 in Lud¬wigsburg (Germany) with three competition entries and a special programme by the Viennese film company Amour fou. A total of 74 short films from 20 European countries compete for the festival prizes. The films from Austria participating are Siegfried A. Fruhauf’s “Mirror Mechanics“, “Von bis“ by Peter Jaitz as well as Theresia Grösslinger's “Verschlossene Stube“.
The Vienna-based production company presents a number of films successfully launched by it under the motto “Amour fou pour vous“, e.g. Bady Minck’s “Im Anfang war der Blick“. ■

Theatre festival “szene bunte wähne” staged for the 15th time
This festival presenting theatre culture for a young audience is staged for the 15th time (from 29 September to 9 October 2005). The programme offers 19 productions from Austria, Germany, Switzerland, the Netherlands, Belgium and Italy. Performances are given in Horn, Zwettl, Krems (Austria) and Jindrichuv Hradec (Czech Republic). ■

Antonia Rados “Austrian Expatriate of the Year 2005“
Antonia Rados, the internationally renowned Austrian journalist, was selected “Austrian Expatriate of the Year 2005” by the Auslands¬österreicher-Weltbund (AÖWB), the global network of Austrians living abroad. Rados, who comes from Carinthia and has lived in Paris since 1994, received the award at the 54th AÖWB annual meeting in Baden in early September. About half a million Austrians are spread all over the world. The AÖWB magazine “Rot-Weiss-Rot“ informs the members about worldwide activities. ■

Preparations for the 2007 Exhibition of the Land of Lower Austria
Construction work is already underway at the Palace St. Peter in der Au to prepare for the Exhibition of the Land of Lower Austria “Feuer und Erde” (“Fire and Earth”) in 2007. The renaissance palace is re-vamped as an exhibition venue. After concluding the construction work at the palace, a new project comprising the creation of parking space and the rehabilitation of the ponds will be embarked on in 2006. ■

Secretary of State Schweitzer: optimal framework for EURO 2008
The federal government had invested a lot of money into the stadium structures to create an optimal framework for the European Football Championship, stressed Secretary of State for Sport Karl Schweitzer in a panel discussion held on the occasion of the BA-CA Street Soccer Cup 2005. The EURO 2008 should become a national concern. The aim of the project “Challenge 2008“ was to increasingly concentrate on patiently building a competitive national team. Young Austrian talents deserved to be given a fair chance to fully develop by 2008 and to score red-white-red goals, said Schweitzer. ■

Red Bull chief Didi Mateschitz buys second Formula One team
Red-Bull chief Didi Mateschitz acquired Minardi, the smallest private Formula One team with the lowest budget, for a purported sum of 35 million dollars. The base of the second Red Bull team is to remain in Faenza. The question of the team name remains unsolved. In any case the team will be positioned as a “rookie“ team (for young talents). Hence, a bargain promoting a new generation of racing drivers! ■

Silver and bronze at the World Judo Championship
The Austrian Judo Association completed the World Judo Championships in Cairo with a huge success on 11 September 2005. Ludwig Paischer from Salzburg won silver – his first medal in a world championship in the under-60kg-weight category. Sabrina Filzmoser (Upper Austria) earned the bronze medal in the under-57kg event. Thus Austria became 12th in the medal ranking. ■

Beach volleyball: top duo Berger and Doppler separates
In the 2006 season Austria’s beach volleyball duo Nik Berger and Clemens Doppler will separate after four successful years. Due to problems with his knee, Berger felt that his career up to the Olympic Games in Beijing in 2008 was quite insecure and did not want to take a risk. In the future Doppler will compete together with Peter Gartmayer for red-white-red victories, while Berger will become responsible for managing the two. ■

5th Wien Energie Business Run became a great success
With 8,500 participants and about 636 different companies, more runners started at the recent Wien Energie Business Run in Krieau on 1 September 2005 than ever before. Under the motto “run & fun“, the joint experience and joy of running were the main goal of the event also this year! ■

Austria’s dream of participating in the World Championship thwarted
With the 0:0 in Azerbaijan the Austrian national football team gave away its last theoretical chance of participating in the world football championship 2006 in Germany. On 8 October 2005 in England and on 12 October 2005 in Austria against Northern Ireland nothing will be at stake for the team of the Austrian Football Association (ÖFB) but an appeasing result in the championship qualification. ■

Handball: Bregenz wants to score in the Champions League
After four trials, A1 Bregenz qualified for the Champi¬ons League against Vojvodina Novi Sad. This means that Austria is represented in the European top league in men’s handball. Before an audience of about 2,000 in the handball arena Rieden-Vorkloster, the champion of the Handball Association (ÖHB) won a deserved domestic victory of 35:25. ■