UPA (Utanian Press Agency)
Release: October 27, 300 AP.

Aij Utani sale cancelled after Luka violence

The Kingdom of Elafites and Zufites corporation, Auroro Unuigxo, cancelled negotiations to purchase a stake in the Utanian national airline, Aij Utani, after a UNVCOCN communiqué sparked violence in Luka in late September.

President Okarvits revealed this as he announced the privatisation policy of the previous administration would not be followed by his government. He used the example of the Aij Utani sale to illustrate how the Hope administration had tried to "sell Utanian assets behind the back of the Utanian people."

"The key assets of this country are unsaleable under this administration, and the remaining assets owned by the government will not be sold until such time that this Government has a full understanding of the ramifications of the sale on the economy and the people employed within that organisation."

President Okarvits reported that on September 30th, the Executive of the EKZ-based Auroro United, one of the world's largest companies, cancelled the agreement to sale citing the "potentionally dangerous situation in Utania". A following communique from the President of the Corporation, in response to former Trade Minister Frankel Jurst's communicated disappointment, said: "Investing in a country whose political future is more or less obscure would be very risky and we feel our money is more safe when invested in more stable areas."

When asked whether learning of this communique from the EZK-based corporation would detrimentally affect relations with the Kingdom, President Okarvits scoffed, saying that the communications were with the Auroro Corporation, not the Kingdom authorities. Beside which, he said, "There will be no further talk of sales."

Aij Utani is the estimated Û5.8 billion national airline, having revenues of Û2.8 billion, or 80% of the national domestic market. It employs over 8200 staff, and made a last year profit of over Û500 million. The proposed sale to Auroro was for 50% of the corporation, for an estimated Û3 billion.

The press conference was called to "expose" some of the decisions of the previous administration, including the sending of "peacekeeping" troops to Dignania.

©UPA, 300 AP.

©Mike Ham, 2000. All rights reserved. No reproduction without, at least, tacit approval. ;-)