DANISH AMERICAN CHAMBER OF COMMERCE NEW YORK
75 ROCKEFELLER PLAZA, 11th Floor NEW YORK, NEW YORK 10019 (212) 245--0424
NEWSLETTER
No. 4 August 19&3 Editors Poul Essemann (212) 697-.5101 Torben Huge-Jensen (212) 807-711.5 Dan Larsen (212) 864-.5107 Erik Norup (212) 7.52-3448 Flemming ~derJund (203) 6.5.5-7483
CARNEGIE SUCCESS and Danish companies the Danish colors were highly visible, and a great number of Danes The Gala Benefit at Carnegie Hall on June joined together to show off Denmark's 8th became a greater success than anybody contribution. involved in the last two weeks of preparation could have hoped for. Tickets The Danish promotion was visible in the were very slow selling but the sale picked following newsmedia: up considerably the last couple of days prior to the evening, and the net result for the NEW YORK TIMES scholarship exchange program for young DAILY NEWS Danish and American dancers was in excess NEW YORK POST of $36.000. CHINATOWN NEWS ST AR LEDGER, NEW JERSEY A literally fuH house enjoyed a tremendously RECORD, NEW JERSEY talented performance by the Soloists of the COURRIER NEWS, NEW JERSEY Royal Danish Ballet, the Martha Graham Dance Co., and Peter Martins. A touching TV COVERAGE ON: moment during the performance came when CHANNEL .5 the Soloists invaded the stage immediately CHANNEL 9 after the Martha Graham Dance Co. had CHANNEL 11 finished dancing "Acts of Light" to music by CHANNEL 13 Carl Nielsen. The Danish dancers, dressed in Royal Danish Ballet sweatshirts, presented as well as cable TV and one of the major each of the American dancers with a flower. networks' morning shows.
The Carrier "The Intrepid" on the Hudson Several radio stations have brought excerpts River was an exotic and exciting frame for from various concerts and especially Aarhus the after-performance dinner dance. 600 Pigegarde has promoted Denmark in an people had a "ball" onboard the ship dancing outstanding way. This great pro111otion shows among aircrafts, missiles and memorabilias how a united front can give great credit to from World War II. The Danish American Denmark. Society who sponsored the event is now planning a fund-raising program so that the On behalf of the Danish American Society foundation for the exchange program can and the Danish American Co-ordinating become operative. Council we congratulate you all.
One anonymous donor has already commi tted THJ $.5.000 annually over the next five years.
NPA DENMARK RACE ON LONG ISLAND SOUND The eighteenth annual Stamford-Denmark HARBOR-FESTIVAL - HOW UNITED DANISH Friendship Sail Race, the largest sail race in EFFORT PAYS OFF the eastern U.S., is scheduled this year for Sunday, October 2, with the first start at The 4th of July "SCANDINAVIAN AMERICAN 0930 hours. SALUTE" was a great Danish success. W~th the help of a united effort by Danish organizations
-1 -2- The first Denmark Race in 1966 was part of company of the Novo group. The com . a week-long commercial promotion by the a world leader in insulin and pany 1$ Danish Consulate General in New York and production. Novo shares are traded enzyme the Stamford Chamber of Commerce. The stock exchanges in Copenhagen Lond at the names of several travelling trophies recall New York (ADRs). It is expe~ted u::' and this background: The SAS Royal Viking Cup, P,lisen will highlight the SUccessful rec t ~r. The Royal Copenhagen Trophy, The Aalborg of the ADRs (American Depository Sha ep:ion Akvavit Trophy, the Tuborg Skaal Bowl and the U.S. financial world. res by for-keeps trophies by Bing & Gr.Sndahl. The Queen of Denmark Cup is sponsored by Carmen-Clairol, and the Prince of Denmark Trophy by Peter F. Heering A/S. Chamber SCANDINAVIAN FURNITURE CHAIN EXPANQi members who wish to enter their yachts, or friends' yachts, in the race which is sailed Scandinavian Design, Inc., the Massachusett on a triangular course on Long Island Sound based contemporary home furni•'-i· s- . "'' ngs starting at mid-sound buoy 32-A, may request company, cont anues to grow. According t an entry form from the Race Committee at Ro~rt W. Darvin, president of the 26-uni~ (212) 933-3969 before September 1'th, 1983. chaan, new stores have recently opened · Manhattan; Huntington, Long Island; Warwicr RI; and Boston,MA with another seheduled for a November 1983 opening in Wayne, NJ. TED MICHAELSEN HONORED The company, which started eighteen years Edward (Ted) H. Michaelsen was appointed ago in a rented room in Natick, MA, is now Knight of the Order of the Dannebrog by the major importer of Scandinavian H.E. Ambassador Otto R. Borch at a furnishings in the United States. Sales for ceremony prior to the Gala Benefit 1983 are projected at over 60 million dollars. Performance at Carnegie Hall on June 8th. Stores throughout New England are called Photo shows Ted Michaelsen addressing Scandinavian Design while those in New York ' Ambassador Borch after the bestowal of the and New Jersey are called Scandinavian order. Gallery.
MEMBERSHIP NEWS
On September 1, 1983, Bent Hansen will transfer from Copenhagen Handelsbank to join Nordic American Banking Corporation as Vice President. He assumes those of Kaj Hermansen's responsibilities which relate to Danish business activities. Throughout the forthcoming year Kaj Hermansen will pursue private interests before he returns to a ·position at the Head Office of Copenhagen Handelsbank on September 1, 1984.
OBITUAK I On June 27 S. Ralph Cohen, a former assistant to the president of SAS and a promoter of Scandinavian cultural programs in the US, died of a heart attack. He was 65 years old.
His work on behalf of Scandinavian culture earned Mr. Cohen knighthoods from both Denmark a'nd Norway and a medal from King Carl XVI of Sweden.
COMING LUNCHEON GUEST SPEAKERS
The Chamber has secured two distinguished guest speakers for the September and November luncheons. On September 29 the President and CEO of Den Danske Bank, Mr. Tage Andersen, will address the members. Mr. Andersen is in the U.S. on the occasion of the annual meeting of the International Monetary Fund (IMF).
On November 30 the speaker will be Mr. Mads P.,lisen, President and CEO of Novo lndustri A/5. Novo lndustri A/5 is the parent -- -3- THE DANISH ECONOMY Fi~lly the balance of pa~nts developme!nt The latte~ year's development . . during the first of 1913 has been vefy 10 half economy ts a classical case ill th~ Danish favorable. The trade balance has virtually an open economy cannot ustrat_ing Why been in balance whefe it ,hawed • political goals without aJ:\~ue its own significant deficit during the sa.me peiod in 1 economic trends in the P ~g to . the 1982. The current balance of payments is economy. Despite the fact th 1nternat1onal expected to show a deficit in 1913 of around · f at the ma· economies ollowed an ant1· . . Jor D.kr. •• billion. The main emphasis on the policy, Denmark tried to dampen ;~nf~t1onary balance of payments has switched lrom the in the unemployment rate the tn~rease trade balance element to the interest elCpansionary fiscal policy. Seen fr roug _an payment~ on foreign debt. Disrega rding · · t f · om a soc10- interest payments the current bal.ance of econom1c pom o view the poJ1"t• • I "bl tea 1 aims payments would show a surplus. were . very p aus1d e, however , ...31tOr t term benef its cause long term · b problems. tm a 1ance The other sjde of the coin is the increasing unemployment. In the beginning of July there were around 291,000 unf!mployed In Denmark The _Conservtatdiv~-Liberal government which corresponding to an unemployment rate of was maugura e 10 5eptember last y ·t m 1·n · ·b· ear saw 11.1 S. This represents an Increase ln the as . _1 s a .. respons_1 11ity to make the unemployment percentage o1 approidmately poltttcal de~mons wh1c_h were required in I ~-point over the past year. order to brmg the Danish economy back track. Th~ gov~rnment•s policy package h~~ There has been a substantial increase In the three maJt~r :i;s, tdo f"r~duce the central money supply. M2 grew by 19~ from May govern~en_ s u get e 1c1t, to reduce the lut year. The money expansion ls partly domestic mterest. rate level and to da mpen caused by the increase in private foreign d the omest1c wage and price development. borrowing which took place after the EMS The ~overnment strongly opposed any realignment in March this year. The money ' suggest1~ns of a de~aluation of the Danish supply is more volatile in an open economy Krone smce a reduction in the value of the and swings should not lead to any immediate Krone would lead to substantial capital concern. Liquidity during most of the second losses on the soaring foreign debt and create quarter was very affluent resulting in uncertainty among Danish export companies. overnight interbank rates around 4-.5%. To Instead the govern~ent is pursuing a strategy prevent an inflationary impact the Central whereby growth m wages and prices is Bank halved the banks' drawing rights for reduced as compared to Denmark's trading the third quarter which has brought the partners, thereby bringing Danish goods in a overnight rates back to 11-12%. more favorable competitive position. Despite the substantial drop in the interest This political course will not have any rates the corresponding fall in inflation has immediate effect, it will not solve all maintained a very high level of real interest Denmark's economic problems here and now. rates in Denmark. The same phenomenon ls It takes time before the pursued strategy observed in the US reflecting the market's works out and consequently Denmark's high uncertainty about the development in fundamental imbalance problems will persist the main economic indicators. A further drop to be major problems for years to come. in Danish interest rates depends on what happens to the US interest rates. However, One could not expect a more positive impact it also depends heavily on the domestic from the new economic course taking into political stability. consideration the short time span in which the policy measures have been in force. During this summer, the Danish Jong term Partly induced by a reduction in the interest rates have exercised a slight international interest rate level, the Danish increase up to around 17%. This increase is long term interest rates were reduced from a caused by uncertainty concerning the Danish record high of 23% during fall last year to a government's political opportunities at the !eve! of 13-14% during spring this year. The coming budget negotiations. Hence, we can interest rate differential between D.kr. and foresee a volatile interest rate development US$ was substantially reduced during this in Denmark in concurrence with the progress period indicating that a major reason for the of the political negotiations. This will remain drop in the interest rates was to be found in until the government's future economic policy the domestic environment. plan has been finally tested during August and September. The Central Bank has The Danish consumer price index has over recently intervened on the bond market to the past year been in line with the support the low interest rate development development in the other OECD countries but it ls not willing to go against the and the last 6 months' development suggests market for very Jong. a yearly inflation rate around 4%. With a prospective inflation rate during 1983 of less The persistent increase in the US interest than .5% private consumption might increase rates has brought the US$ exchange rate to at a faster pace than expected ear lier. record -high levels exceeding 9 1/4 O.kr ./$. Given the present economic environment a Real economic factors indicate a long run growth rate in GNP of 2-2¼% is not drop in the $ exchange rate. The current unrealistic. -4-
Some unions US balance of payments shows an increasing which have many lllembe of work want to put their mone rs 0 ~ deficit, however, as Jong as the US$ is in demand as a reserve currency the exchange wUJ help to create jobs. Others f~~ere lt rate will keep its present level. The profit is the name of the game, a &OOd increasing $ exchange rat«; has helpe~ . to 8-rsen improve Denmark's relative competitive position during 198.3. To conclude this brief analysis, a continued SCANTUFT ENTERS THE US MARKET reduction in Jong term interest rates calls for a stable economic policy. In order to According to 8'rsen, the Danish ca solve Denmark's imbalance problems the manufacturer Scantuft, Holstebro, has .:rt present political course must be maintained breakthrough on the American market T a in years to come. This conclusion does not International Wool Bureau elected it the behe necessarily imply that a restrictive economic wool product on the American contra~! policy is the solution to the industrialized market at the recent Neocon exhibition • countries' economic problems, it merely Chicago. in states the fact that a small open economy cannot pursue its own political goals for long The breakthrough happened after a period of without adapting to the policies of Its main extensive research and investment. trading partners. International economic problems can only be solved through Scantuft Carpets, USA, ls owned by Torben international coopera tlon. Huge..Jensen and Palle Lorentzen, Top Grade and Scantuft, Denmark, and this partnershi; Torben Juul Andersen has paved the way for a new kind of cand. polit., M.B,A. initiative, Rather than selling Danish Asst. Manager, Cltlbank,N.A,, Copenhagen products to the U.S., Scantuft chose to develop new products for this specific market. The result ls the Jutland line which 100 DANISH WIND TURBINES SOLD TO is offered in a total of 26 variations. CALIFORNIA The 100% wool products are shipped from A/S Westas, The West Jutland windmill Denmark to Georgia where backing is added manufacturer, has sold 100 wind turbines to and the merchandise stored until sold and Zond Systems Inc. in the USA for 70 mill. shipped to various parts of the U.S. kr. The turbines "will be erected at Tehachapi next year and their 2,4 MW Scantuft Carpets, USA, also imports carpets capacity will be fed directly into the from H.Sjer Ta!ppefabrik. Californian power supply. This order will provide work for 100 extra employees. THE GLISTRUP CASE California is planning a number of these "wind farms" of 100-200 wind turbines each. Mr. Mogens Glistrup, leader of the Progress They are particularly attractive to California Party and a well-known tax expert, was because of the favorable climactic conditions sentenced this month for tax ·fraud. and available grants. He was sentenced on appeal to three years' Bclrsen/Ber lingske ii;nprisonment, fined a million kr., ordered to Tidende pay 941,000 kr. in back taxes and disbarred indefinitely, and on July 1 the Folketing dismissed Mr. Gllstrup as an MP. DANISH LABOR MOVEMENT TO BUY SHARES Mr, Glistrup was said to have set up thousands of companies which loaned money The labor movement may soon be moving into to each other, enabling the interest on the the share market . to buy influence in loans to be set against his clients' tax, The companies. court which last year sentenced him to four years ln jail and ordered him to pay a Following two peaceful wage agreements and massive fine, found that the companies had only a relative handful of strikes, the unions' no capital, so the loans were fictitious and coffers are full of cash, therefore ill~gal,
It is believed that a special company wlll be Mr, Glistrup maintained the capital_ ,was set up to handle the purchases and that this there and that the trial was purely poht1cal, could pave the way for investment by the He cannot pay the fine or back tax a~d proposed wageearner funds that the unions instead wlll serve an extra six months in and Social Democrats have wanted for so jail. Jong. ~rsen There appears to be a difference of opinion over how the money -initial capital could be about 100 mill, D.kr. - should be invested, - -6- USDA MEAT INSPECTION PROGRAM U.S. PRODUCTS IN SHOWROOM FOR COPENHAGEN our Ousine» Prac tice Cornmit tee had representative al the July 27th COflgre'!.s ~I The auditorium o! the U.S. o!:,~:Sy ar!~ Hearing in Washington, DC. Copenhagen is ava1labl«; for pr k i U.S. f companies mar el ng This preliminary hearing was lo review th seminars or . 11 is available free of products ord se;;;ce~omrnercial Section will u.s.o.A. Meat Inspection Program, In llld in the GAO report "Improved Management , charge, an_ planning for the event. Plea~ 0 assist you in Imported Meat Inspec tion Needed". contact: 'fie w II continue to monitor, and appropriate The American Embassy ac tion wi II be taken as required. Dag Harnrnerskjolds Alie 24 OK-2100 Copenhagen 0 Pl H EXPORTS TO Phone: (OJ) 423144, ext. 271 SAS OPENS "SUN DEL T" OFFICE IN ATLANTA ANO NAMES THR EE TO NEW U~. Danish exports ol fish to the United ta te has increased 70 per cent In the llrat four POSITIONS months of 19&.3. According to Fisheries SAS will open an Area sales office in Counselor Erling Hulgaard, New York, there Atlanta this September to develop a major seems to be no limits to Danish export marketing drive in the "Sunbelt States", the ponibilities in fish here, most dynamic growth region in the U.S. According to ~rsen, the annualized sales of economy, Danish fish in the US will grow about 10 per Background for the expansion is an cent to a D.kr. 550 million export, Today agreement earlier this year between the Denmark has I 3 per cent of the most Scandinavian and U.S. Governments giving important American import market in fish SAS the opportunity to introduce service to (frozen blocks and fillets). other parts of the U.S. Danish export of fish in cans and glass The new Atlanta office, which will cover varies between D.kr. 5 and 20 mi Ilion. Mr. Georgia, Florida, Louisiana, Mississippi, Texas Hulgaard thinks the sale could be much and the Carolinas, will lay the groundwork higher if the producers would cater directly for SAS to evaluate the potential for to specialized markets such as Kosher. opening a direct route to one of the major commercial centers in the region. The Danish Fisheries Counselor is working on Danish export of fresh fish to the American Leading the Sunbelt drive as Area Manager market. Norway has had great success doing in Atlanta will be Stafford Brown, SAS' this. Both exporters and importers are Director of Passenger Marketing and Service participating in tests. in North America. DL Succeeding Stafford Brown effective September 1, 1983 is Jorn Andersen, Director DANISH ARCHITECT HONORARY MEMBER of Passenger Marketing and Sales in SAS OF FAIA Denmark. The Fellow American Institute of Architects J0rn Andersen, 43, first joined SAS in has presented the Danish architect Knud Denmark in 19 57. He spent much of the Friis with an honorary membership of the 1960s with Pan Am and Lufthansa in their dynamic organization. Only 70 foreign Danish sales organizations. Since his return architects have received this honor from to SAS, Mr. Andersen has been in Tokyo their 45.000 American collegues. from 1974 to 1978 as Sales Manager for SAS and Thai International in Japan and Korea, Mr, Friis of Friis &: Moltke, Aarhus, is the and has spent a year in Stockholm as fourth Danish architect receiving this Director of Passenger Sales at SAS Head acknowledgement from FAIA. One of the Office. He assumed his current position .in most recent projects on which he has worked Denmark in 1979. is the Scanticon, Princeton, conference center, He has also taught at American SAS has also announced the appointment of universities. Anders Bjorck as Area Manager, Los Angeles, covering California and the rest of THE DIPLOMATIC WORLD the U.S. Southwest. Mr. Bjorck, 43, and currently Passenger Sales Manager in SAS The Chamber has learned about the following . Sweden, will assume his new post in changes in the immediate future: September, succeeding Andrew Holston who is retiring. The Danish Ambassador to the United Sta tes since 2. 1.1976, Otto R. Borch, will become the Danish Ambassador to the Nort h Atlantic Treaty Organization (NATO) in Brussels. II' - 1-
Ambassador Borch will be succeeded as CH Ambassador in Washington, DC, by the present head of the Dani.sh Ministry for F LL P GE - . OJ> Foreign Affairs, Permanent Under Secretary 0 E H LP P G£ .. S1 00.0'J of State, Eigll J,rgensen. Amba»ador Eigil J,rg~nse~ has headed the Ministry for Foreign Affairs since 2, l. 1974. Prior to that post he was Danish Ambassador to the Federal Republic of Germany, and Permanent Under secretary in the Danish • Prime Mini_1t r '• office.
The change is expected to take p on October 1st, 1983. The U.S. Ambassador to Denmark, °"n R. Loeb, Jr. , wll I be succeeded by the prescs,t u.s. Ambassador to Spain, Tcr n A.. Todman. Ambassador Todman, a rttr diplomat, was born In St. Thoma , Virgin Is!ands.
The change Is expected to take place In September 83.
Consul General William Thune-Andersen has been appointed Danish Ambassador to Egypt. Mr. Thune Andersen has been the Danish Consul General In New York since 9. 1. 1977.
He will be succeeded by the present Ambassador to Lebanon, Villads Villadsen. Mr, Villadsen was Vice-Consul at the Consulate General in New York from 7.1.1957 to 1.1.1960. The change is expected to take place on February 1st, 1984.
Commercial Attache, Vice-Consul Lars Benkert who has been working in the Comme;cial Division of the Danish Consulate General in New York since 9.1.1980, will return to the Ministry. of Industry in Copenhagen on September 1st. Mr. Benkert will be succeeded by Bj,rn Juul Sundbye. Commercial Secretary Jan Jacobsen, who has been with the Commercial Division of the Danish Consulate General in New York since IO. 1. 1980, will be succeeded by Even Gun~e Claussen on October 1st. Mr. Jacobsen will remain in New York as export consultant for 3 Danish exporters.
PE The Chamber has learned that the monthly Danish publication "Q;i December November October September 2-12 - ' Denmark Food Festival 2 or 9 - Peter J~rgensen's 9 - Dinner, DACC, Miami Sunday Brunch, DA Club, Promotion in Los . Angeles Byram 11 - Christmas Lunch, 2 - Stamford-Denmark Friend 11 - Mortens Aften Bingo, 9-10 - Wine & Cheese Party (Andespil), DA Club, Byram DA Club, Byram DA Club, Byram ship Race 15 - Luncheon DACC, LA. 6 - Luncheon, DACC, Miami Speaker: Erik Palsgaard, Danish Tourist Board 16 - Berthe! Thorvaldsen 19 - Annual X-mas Bazaar, -Odin Relief Society I 16,17,18 - White Elephant 20 - "Kings & Citizens" co opens at Jewish Museum, NYC Danish Seamen's Church, I-mas Party I Sale, DA Club, Byram Brooklyn 18 - Danish American 23 - Viking Soccer Teams Kick-Off-Party, DAC, 29 - Annual 5-A-Side 30 - Luncheon, DACC, NYC. Society X-mas Party, NYC Brooklyn (Soccer games between Speaker: Mads 0vlisen, Novo. Danish Companies), DAC, Broo_klyn 28 - Theater Evening "My One and Only", Danish American Society, NYC 29 - Luncheon DACC, NYC Speaker: Tage Andersen, Den Danske Bank In the future the Newsletter Committee will i 1 d " · any Chamber can participate in meetings of th nc ~he g~m1~g Events" from al~ the U_S Chambers of Commerce so· that members of contact the organizing Chamber. e O er am ers. For further information concerning these events, please ► -9- EXHIBITIONS AND FAIRS IN DENMARK 1983-1984 19_B Location rus-:- 20-22 Texpo Bella Center, CPH Home Textiles and Carpeting Aug. 20-23 Luminex Vejle Lightning Fixtures Aug. 22-26 The Civil Service Fair Fredericia Public Procurement Aug. 25-28 Furniture from Denmark Herning Furniture with special section for KDesign-Furniture Sept. 1-4 Scandinavian Fashion Week & Menswear Bella Center, CPH Fair Menswear, Ladies & Childrens Wear plus Accessories and Store Display Sept. 10-11 Shoes Exhibition Bella Center, CPH Sept. 13-17 HI-83 Industries' Technical Fair Herning Sept. 13-17 Danenergy •83 Herning Energy savings equipment Sept. 17-19 Gold, Silver, Watches and -Optical Vejle Fair Bella Center, CPH Sept. 20-24 Scan Grafic '83 4th Scandinavian Trade Fair for ' graphic techniques Vejle Sept. 24-27 Sportex Sports equipment, accessories and sports clothings Bella Center, CPH Oct. 11-14 Hospital •83 4th International Fair for the hospital and public health sector Center, CPH Autoteknik Bella Oct. 13-16 Repair shop equipment and accessories Building for Billions Bella Center, CPH Oct. 22-30 International building exhibition CPH Nordfrimex '83 Bella Center, Nov. 3-6 Stamp exhibition CPH Kem-Tek 6 Bella Center, Nov. 14-18 6th International Fair for plant and equipment for the chemical process industries ~ Camping •84 Bella Center, CPH Jan. 13-22 Caravans & Equipment Agromek Herning Jan. 24-28 International Exhibition for agri cultural mechanization, cattle and pigs. Hest & Pony 1 84 Bella Center, CPH Jan. 27-29 Scandinavian Trade Exhibition or equestrian sports, horse breeding and equipment Bella Center, CPH Feb. 11-19 Copenhagen International Boat Show Bella Center, CPH Mar. 1-4 Scandinavian Fashion Week and Menswear Fair For further information please call the Danish Consulate General, (Jan Jacobsen or Michael J~rgensen), at (212) 697-5101. -