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NORDIC CHAMBER Enewsletter JYSKE GROWS DESPITE SLUGGISH MARKET NORDIC CHAMBER eNEWSLETTER JYSKE GROWS DESPITE SLUGGISH MARKET MAY 2015 he Nordic Chamber will in short time in those markets, while also contributing posi- and earnings CZK 80 million, which is a Tlaunch a new and modernized website. As tively to the company’s environmental impact 14-percent growth year-on-year. The Danish a service to its members the Chamber offers to by more effi cient transport of goods. “The new group established in the Czech Republic in publish press releases or any other company distribution centre will signifi cantly increase 2003; in its latest Annual Report the compa- information on the website and its Facebook our fl exibility and speed in how we reach our ny says it plans to expand its retail network in profi le. The service is free of charge. “Our customers in countries like Poland, Czech Re- the country. (E15) intention is that the Chamber’s new website public, Bulgaria, Romania, but also Russia and will fi ll the role of an information hub for Nor- Scandinavia,” says Magnus Welander, Thule MEET OUR NEW MEMBER dic business news in the Czech Republic, so Group’s CEO and President. (DI) Founded in Sweden in 1963, KGH Customs we are grateful for any contribution from our Services is one of Europe’s major play- members,“ Executive Director Lea Turcarová he media branch of Finance Minister ers within customs services. Our services says. For more information please contact TAndrej Babiš’s Agrofert Holding is, include mainly customs declarations and [email protected]. according to the news server Svobodne Fo- customs consulting. Our independent and rum, fi nalizing negotiations to acquire a 50 customs processes-specialized company has wedish-Swiss ABB has extended its pro- percent-stake in FTV Prima, the Czech Re- Sduction capacity in Brno and Trutnov with public’s second largest private broadcaster. a EUR 46-million investment for air-insulated Sweden’s Modern Times Group paid in medium voltage switchgear, instrument trans- 2010 GES Media Holding, then 100-percent formers and substation automation systems. owned by the Czech media entrepreneur Ivan The new facility in Brno will be one of the Zach, CZK 2.8 billion for a 50-percent share of the broadcaster. The Swedes have earlier denied that they plan to sell their stake in the television station. Currently, Finance Minis- ter Babiš’s Agrofert controls three Czech dai- ly newspapers, one radio station and several web servers. (TBE) offi ces in all the key ports and border cross- ings in Europe and more than 650 staff op- most-advanced plants of its kind in the world, erating in Austria, Belgium, the Czech Re- with specially automated lines. Trutnov is public, Denmark, Finland, France, Germany, home to ABB’s largest European engineering Italy, the Netherlands, Sweden and Norway. centre for substation controls and automation KGH Customs Services Czech Republic s.r.o. and also offers engineering- and project-man- started its activities on January 1st 2015; all agement services. ABB currently employs employees in the Prague offi ce have long ex- more than 3,400 people in eight locations perience within customs administration. We across the Czech Republic. (ABB) are thus able to provide you with high level espite macroeconomic uncertainty in of competence in customs issues, with added he Swedish Thule Group has opened a Dthe global economy the Danish furniture value of geographical coverage which brings Tnew distribution centre in Huta, western manufacturer JYSK Group last year booked cost-effectiveness to the clients. Poland. The centre, which has cost SEK 65 its best result ever, both in terms of turnover million, becomes a logistical hub for Thule’s (EUR 2.8 billion) and earnings (EUR 392 Radovan Šmídl growing sales in Central and Eastern European million). In the Czech Republic the sales in Country Manager markets and enables a better service to retailers JYSK’s 71 stores reached CZK 1.93 billion KGH Customs Services Czech Rep. TOYMAKER LEGO EXPANDS IN KLADNO… FORMER BUSINESSMAN FINNISH PREMIER PRAGUE (CIA) – LEGO Group has opened a new 50,000 m2 hall PRAGUE (TBE) – The opposition Centre Party leader Juha Sipilä is at its production site in Kladno, raising the plant’s capacity by 30 set to become Finland’s next Prime Minister after winning the coun- percent. LEGO estimates that it will create around 600 new jobs in try’s parliamentary elections in April. Sipilä entered Parliament only the Central Bohemian city. Currently around 2,000 people work for in 2011 after ending his successful business career in the IT industry. LEGO in Kladno. The Danish toymaker’s Czech operation provides In the election campaign the former entrepreneur promised to create the basis for packaging of LEGO sets, decoration and assembly of 200,000 new jobs, stating that he has a lot of experience in turning LEGO elements, as well as research and development of packaging companies around and that the country can be managed just like a and decoration technologies. The size of the entire production area company. “The main principle is the same – you must have a clear now equals 22 soccer fi elds. LEGO launched its operation in Kladno vision, a clear target and a plan how to reach it,” Juha Sipilä said. in 2000 with 80 employees. … FACES ATTACKS BY DANISH MEP PRAGUE (TBE) – Member of the European Parliament Christel Schal- demose believes LEGO has violated EU regulations by accepting tax rebates and “DKK 200 million in state subsidies” from the Czech Re- public and Hungary to establish local production while cutting 380 jobs in Denmark. “I’d like to have an evaluation of this practice, so I will ask the EU Commission to check this case out,” MEP Schaldemose told Berlingske Business daily. “It’s problematic if LEGO has received mo- ney for moving from one EU country to another. If the fi nancial support has been given after 1 July 2014, then I believe it’s illegal.” NORDIC CHAMBER eNEWSLETTER YIT STAVO LAUNCHES MILESTONE PROJECT MAY 2015 YIT Stavo, the Czech subsidiary of the Fin- as “Finnish-styled”. Will the Vysočany pro- same area, preferably by walking distance. In nish construction company YIT Group, has ject also offer typically Nordic housing? all markets clients welcome high-quality sales acquired a nine-hectare brownfi eld location This project will defi nitely be in line with our service, openness and transparency. at the border between Prague’s Vysočany and other projects. We consider “Finnish-styled Currently, Czech mortgage rates are re- Hloubětín districts. housing” to be a competitive ad- cord-low. You are not afraid that a reality The project will result vantage through the whole project bubble may emerge in the future? in almost 900 fl ats. YIT development – from design, via the The current situation favours the entire resi- Stavo plans to start the construction process to the custom- dential sector. There is an expectation that the development, which er services we offer. Moreover the mortgages’ interest rates will remain at a low is valued to more than Vysočany project, as YIT’s Czech level at least for the next 1.5 year. At the mo- CZK 2 billion, already pilot area development project, ment we do not expect any threats of a reality this autumn. will offer much more than what we bubble, but as a residential developer operating “We are heading usually develop in other markets – in different markets for many years we have to among the top fi ve homes, shops, sport facilities and count with risks as well. For example, interest residential develop- parks – we are going to create a rates in Finland have been at a minimum level ers in Prague, and complete living environment. for a few years already, but still the economy is this requires that we Do the factors important to Czech not growing due to other economic challenges. also launch bigger, so clients when investing in a fl at dif- Compared to the years before the fi nancial cri- called area development projects,” says Zuza- fer signifi cantly from, say, Scandinavia? ses we clearly see that people are more careful na Martínková, YIT‘s Development Manager Since we operate in seven quite different mar- when investing in property, even though inter- for Central and Eastern Europe. kets we have great knowledge of our clients’ est rates are low in both countries. YIT has so far constructed around 450 preferences, and there are some basic factors At the recent AGM you were elected to the apartments in Prague, so will you manage similar to all markets. The key buying fac- Nordic Chamber’s Board. Do you have any to develop this huge project by yourself? tors not only for Czechs are location, layout special ambitions as Board member? We acquired Euro Stavokonsult in 2008 and and price. However, each country has its I will defi nitely continue strengthening the started our fi rst project under the YIT brand own specifi cs. In Finland a sauna in the fl at awareness and improving the image of the in 2010. Since then we have gradually in- and an energy-effi cient building are a must; Nordic Chamber, being an advocate of busi- creased our construction and sales targets with in the Baltics, the location of the fl at within ness development and helping Nordic/Finnish great results. The area development project in the building is very important while in Russia companies to understand Czech business en- Vysočany is a milestone for YIT that will fur- school and kindergarten must be present in the vironment and vice versa. I also believe I can ther strengthen our position help to attract more new among Prague’s developers.
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