Successful Busines 6

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Cyprus-Russian Successful Business magazine 6 - 2012

www.cyprusrussianbusiness.com

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, 6 (- 2012)

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ExEcutivE summariEs

This is a special section for businessmen who do not speak Russian. At the end of the magazine there are summaries (in English) of all major articles of the issue.

6

, 6 (- 2012)

- 2012 - 2012 1,904

, , , -

: , , . !

,

Christos Floridis Lawyer,

Chairman Ad Hoc WG Multiannual Financial

Framework (Justice)

. , , Deloitte Cyprus

Pieris M. MarkouPartner,

Tax Practice Leader, Deloitte Cyprus

, -

Panayiotis Loizides Secretary General,

Cyprus Chamber of Commerce and Industry

Soulis MalecosEx-Chairman,

National Associations Council / EACA

Director, Grandad Ltd

-, Grandad Ltd

Loucas LoucaMinister of Justice, Republic of Cyprus

I

F

L M

L

M

Sofoklis Aletraris Minister of Agriculture of

the Republic of Cyprus

A

E

M

, (DEFA)

Costas Ioannou President,

DEFA

, -

Evgenios Evgeniou President,

Cyprus-Russian Business

Association

A

CIPA,-

Christodoulos Angastiniotis President, CIPA,

Vice-president, CCCI

, ,Chrysses Demetriades & Co. LLC

Christos MavrellisPartner,

Head of the Company & Commercial Department

Chrysses Demetriades & Co. LLC

Contributors

C

,Hellenic Bank

Antonis CharitouManager, International

Department, Hellenic Bank

1,756

C

, , Deloitte (Cyprus)

Christis ChristoforouPartner,

Chief Executive Officer,Deloitte (Cyprus)


-

- 2012


, 6 (- 2012)ontributors

, -

Phidias PilidesPresident, Cyprus Chamber of Commerce and Industry

Alekos OrountiotisChairman,

Cyprus Tourism Organization

Vyacheslav ShumskyAmbassador

of the Russian Federation in Cyprus

, Alpha Bank Cyprus

Costas Stylianou Head of International Division,

Alpha Bank Cyprus

Christodoulos VassiliadesAdvocate,

Managing Partner, Christodolous

G. Vassiliades & Co LLC

, ,Christodolous G. Vassiliades & Co LLC

(1988-1993)

George VassiliouFormer President of the

Republic of Cyprus

A-Z

- 2012

2 370

, , Andreas Neocleous & Co LLC

Andreas NeocleousAdvocate, Founder and President of the board,

Andreas Neocleous & Co LLC

S T

P

V V

Roman Starikovich Honorary Consul of

Kazakhstan in Cyprus

SS

P P

S

P

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,-

Antis Nathanael director,

Cyprus Russian Business Association

NN

,

Yuri PianykhPresident,

Association of Russian businessmen in Cyprus

, Ernst & Young Cyprus

Neophytos Neophytou Partner, Head of Tax

Ernst & Young Cyprus

Antonis PaschalidesEx-minister of Commerce,

Industry and Tourism, Senior Lawyer,

Antonis Paschalides & Co LLC

- , , , Antonis Paschalides & Co LLC

, ,PwC Cyprus

Chrysilios PelekanosPartner,

Tax & Legal Services,PWC

,

Andreas Theophanous President,

Centre of European and Internationl Affairs

134,7


, 6 (- 2012)

Successful Business MagazineIssue 6, July-September 2012.

Editorial Board: Natalia Kardash, Andrey Korneev, Igor Nossonov, Andrey Pavelko.

Project Coordinator: Julia Basharina ([email protected])

Contributors: Daria Pisareva, Maria Vetrova, Igor Shlykov, Daria Kalenkova, Julia Avanesova, Anna Voronina, Dmitry Lazarev, Andrianne Philippou.

Printers: CASSOULIDES MASTERPRINTERS.

Circulation: 3,000 copies.

Distribution: free at business forums, conferences, seminars. 1000 selected recipients (in Cyprus and Russia) mailing list.

Subscriptions 2012-2013 five issues 50 euro (delivered by courier service) or 25 euro (mailed).

Website: www.cyprusrussianbusiness.com

A note to readers: the views expressed are the authors' and not necessarily those of SUCCESSfUL BUSINESS Magazine. Authors may have consulting or other business relationships with the companies they discuss.

Copyright: no part of this publication may be reproduced or transmitted in any form or by any means without prior permission of VESTNIK KIPRA or N. G. Cyprus Advertiser Ltd.

6, - 2012

: .., . ., .., ..

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: CASSOULIDES MASTERPRINTERS

: 3000

: -, , , 1000 ( ).

2012-2013 50 ( ) 25 ( ).

-: www.cyprusrussianbusiness.com

: , , . .

: , , .

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General Manager and Editor-in-Chief: Natalia Kardash ([email protected].)

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Te.: (+357) 25 590530

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Our Team

Successful Business



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2012 113 289

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Alpha Bank, Cyprus

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130

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. 2012 1999 30%

|



, , -. - .

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120

2012

932,3 29

Statistics 2012

13CSE Cypriot Members

10Remote Members

15Custodians

25%Percentage of foreign investors in total market capitalisation

251,953Investor share account with securities balances

315,459Investor share account not deactivated

. .


, 6 (- 2012)

100 *

24,1 30%

. - . - - , - . , (), - . , . , - , , .

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Market Cap.No. Listed CompaniesCSE Markets

722 819 6437Main Market

196 172 01214Parallel Market

500 694 34652Alternative Market

63 461 0999Investment Companies Market

193 981 82327Special Category Market

50 840 5425Special Characteristics Market

6 408 631 41520Corporate Bonds

42Government Bonds

.

1996 .

European Securities Exchanges (FESE),

.

Association of National

Numbering Agencies (ANNA), Link-Up Markets,

Target 2 Securities (European Central Bank),

European Central Securities Depositories Association

(ECSDA).

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5 40 ,

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1999 - , .

Market Cap.

No. Listed CompaniesE.C.M. Market

512.092.93910Companies

114.300.1005Corporate Bonds

. .


, 6 (- 2012)

? , -

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2012 144% 53 671

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2012


, 6 (- 2012)

?

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:

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|


, 6 (- 2012)

1:

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3,4%20% 24

5,1%30%14,01 24

8,5%50%8,01 14

10,2%60% 8

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6. 10% .

7. - - .

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2012

276 781

|

96


, 6 (- 2012)

, , , - . : . , , , , , - . . - ? ? ?

, . , . , , - . - ( ), ( ), - ( , - ), , , , , -, .

. , , , - . -.

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, , - . . - , , , . , , - .

, , - , .



57

,, , PwC

, - , - . . . - , , . , .

, - . - , , , - . .

, ,Cyprus Popular Bank

- . , , . -, , .

, .

, 1200 . - . , - - , , -. , (12 ), , .

- Mylos - : .

,,Dynamic Works

- , , - . XII , - . 50-60 , , - . .

1. 2. ,

3.

1

2

3


, 6 (- 2012)

, , Action Global

- . - . - , - . , , - . - , , Avakas Gorge, . , , , .

- The Last Castle, , - . - - , , , . , .

,-, Consulco

, - . , , ( - , ). . , . , , . , , . - . , , .

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1. 2. 3.

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3

2



Successful Business

, . , , .

, . . , , . !


, 6 (- 2012)

. , , , , . , , . . , , - , , . , .

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(CAnO CRISTAlES)

. . , , , .

( ), - 305 120 . , , - , - - -, .

, - , , : , - - ?


, 6 (- 2012)

? , . ? , . ? .

.limassol Sporting Club (): 25 563900famagusta Tennis Club ( ): 25 335952 (, ): 99 619906 leMeridien ( ): 25 862000 Eleon Tennis Club (, ): 22 679923nicosia field Tennis Club (, ): 22 668041Marfin laiki Sporting Club ( , )Tel:22812781Bank of Cyprus Athletic Centre ( )Tel: 22 560222

, . , , . , , - , , - .

,

. , , . , , - , . . -, , , , , . , --. , Le Meridien - , , , , -. . , .

- . , , , , , .

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Amathus

240 1 400



BANK OF CYPRUS ()1-14/7/12

PANCYPRIAN BEACH TENNIS7-8/7/12

PANCYPRIAN BEACH TENNIS21-22/7/12

PARALIMNI ()15-29/7/12

PLATRES ()16-28/7/12

HERODOTOU T.A. PANCYPRIAN18/8-1/9/12

SMASH

()19/8-1/9/12

INTERNATIONAL BEACH TENNIS25-26/8/12

INTERNATIONAL BEACH TENNIS.1-2/9/12

ITF () "APHRODITE CUP"2-8/9/12

ITF ()HERODOTOU JUNIOR9-15/9/12

ITF () AUDI FIELD CLUB16-22/9/12

FAMAGUSTA CLUB PANCYPRIAN23/9-7/10/12

AUDI DEVELOPMENT TOURNAMENT29/9-1/10/12

MARFIN LAIKI "NATIA IACOVOU CUP"8-13/10/12

LARNACA CLUB SENIORS13-20/10/12

HERODOTOU T.A. T.E.U14 20-27/10/12

LARNACA CLUB PANCYPRIAN28/10-11/11/12

CYPRUS MASTERS CUP14/11-1/12/12

ALDIANA SENIORS OPEN19-24/12/12

2012

, , , . , . , , . . -, .

.

, -

- , . .

, , 15 8 . .

240 . , . . , - . Amathus 1400 , Le Meridien . , : , , .

- , . - , ( , ), .

- www.atpcyprus.com www.atlcyprus.com, . , . 10 , .

. -. , . . , , , .

2012 20

10


, 6 (- 2012)

150-300 ATP, 15-20 $1,52

, Hijet Engineering

, ,

, finance (Cyprusltd)

, .. . , , , , .

. , , , . , .

, . . ( ) 1,5-2 . .

. , , 150-300 15-20 . , , , .

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. ? , , , . , . , . , . , , . , , : , !

- . . . , , , .

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. 95 . , . ,

, 150 .

,

, - . , . , :

HEAD Talianos Sports - Evagoras . 5A .

PRINCE Tennis Point . Petrou Tsirou . 6 .

BABOLAT Kyradjis Trading Ltd, .Didimotichou . 4 .

- www.tenniswarehouse-europe.com. - , -. , , , . , .



ATP,


, 6 (- 2012)



, -, .

, .

- www.cyprusrussianbusiness.com - , - -, .


, 6 (- 2012)

- : . - .

. , . , , , , . - , .

- - . , - . , , - , , , . , , - , , , , .

- , . , . , - .

. . - , - . , , .

- .


, Vyacheslav Shumsky, Ambassador of Russia in Cyprus

, , , , American Heart InstituteChristos Petsides, Director, Department of Services and Trade, CCCI, Panos Ergatoudes, General Manager, American Heart Institute

, (1988-1993)George Vassiliou, Former President of the Republic of Cyprus

, , Ernst & Young Cyprus, , , Neophytos Neophytou, Partner, Head of Tax, Ernst & Young Cyprus, Panayiotis Loizides, Secretary General, CCCI

, , , Sofoclis Aletraris, Minister of Agriculture, Natural Resources and Environment, with his spouse

, Alexander Anikin, Consul of Embassyof Russia in Cyprus



, Laurus Services Ltd. Sergey Bondarenko, Director, Laurus Services Ltd. with his spouse

, , - Kypros Chrisostomides, Lawyer, Former Minister of Justice and Public Order

, C , MDM InvestmentsAnna Romanenko, Chairwoman, MDM Investments

, , , , , Yianel, , - Alexey Rogalev, Director, Russian Cultural Centre,Boris Pobedimsky, Publisher, Yianel, Alexey Berezhkov, Head of ITAR-TASS in Cyprus

, , , , , , C , Kanika DevelopmentsAndrey Pavelko, Financial Director, Vestnik Kipra,Taras Yaskevitch, Deputy Chairman, Union of Industrialists and Enterpreneurs of Krasnoyarsk Region, George Karaolis, Group Deputy Chairman, Kanika Developments

, , Cyprus WeeklyAndrianne Philippou, Correspondent, Cyprus Weekly

,, Galina Vishnevetskaya, Professor, Director, Representation Office in Cyprus, Moscow State Open University

, , ,. Christos Floridis, Lawyer, Natalia Kardash,Editor-in-Chief, Successful Business Magazine

, Phidias Pilides, President, CCCI

, , PWC, , , Evgenios Evgeniou, CEO, PWC Cyprus, Alexander Primak, Charge daffaires of Russia, Embassy of Russia in Cypurs

, , Grandad Ltd.Soulis Malecos, Managing Director, Grandad Ltd.

, N.Neo Accounting Services Ltd.Iraklis Neophytou and Neophytos Neophytou, N.Neo Accounting Services Ltd.


, 6 (- 2012)

29-30 -

, , - , . - . - .

- - , (CIPA). - Cyprus Popular Bank, - , Andreas Neocleous Law Office, Deloitte Cyprus, KANIKA Group.

- - . - -, -, , . - - . -- - - , - -.

, , CIPAChristodoulos Angastiniotis, President, CIPA

, Mikhail Kuzichev, Deputy Prime Minister of Krasnoyarsk region

, Mikhail Vasiliev, Chairman, Union of Industrialists and Enterpreneurs of Krasnoyarsk region ,

Igor Stepanenko, Minister of Foreign Affairs, Government of Krasnoyarsk region

, , 97 , -

. , , , . - , , , , . .

: , -

, . , , , - . . - , , . , .

, Elena Pazdnikova,Minister of Culture ofKrasnoyarsk region

, , Pavel Vcherashniy, Acting Rector,Siberian Federal University

, Olga Nikitina, Deputy Minister of Education of Krasnoyarsk region



The participants of the seminar

, ,

Deloitte CyprusPieris Markou,

Partner, Deloitte Cyprus

- -Meeting in the Krasnoyarsk Reginal Innovation and Technology Business Incubator

Interview to local TV

, Vladimir Donskikh, Director of the Krasnoyarsk Branch, Bank of Moscow

, , , Deloitte CyprusVeronica Kuznetsova, Senior Manager, Deloitte Cyprus

, , Cyprus Popular Bank, Panayiotis Aresti, Chief Representative Officer in Russia,Cyprus Popular Bank, Cyprus

, Pavel Pavelko, Senior Deputy Chairman, Bank Kedr

, ,

Andreas Neocleous Law OfficeChristos Florides, Head of Energy and European

Affairs Departments, Andreas Neocleous Law Office

, , Costas Papaconstantinou, Director, European University Cyprus


, 6 (- 2012)

STEP 9 11 -

(STEP). 250 , .

- , , . 80% , . - .

20 - . . , - - . 17 . - , . , - - .

-- -. , .

, - -. PR- . (CIBA), - .

, , Ernst & YoungNeophytos Neophytou, Partner,Ernst & Young

, ,Andreas Neocleous Law OfficeElias Neocleous, Partner, Andreas Neocleous Law Office

, , KPMG, , , Trident Trust, , , Pardini & AsociadosPanicos Loizou, Board Member, KPMG, Petros Livanios, Managing Director, Trident Trust, Juan Francisco Pardini, Partner, Pardini & Asociados

The participants of the Conference

, IBC Limassol, , , CRM, IBC Limassol, Cyprus Popular BankMichalis Michael, Manager, IBC Limassol, Andreas Evripidou, Manager, CRM, IBC Limassol, Cyprus Popular Bank

, , , , ()Vassos Shiarlys, Minister of Finance of Cyprus, Peter Economides, President, Society of Trust and Estate Practitioners (Cyprus)

, , Vyacheslav Shumsky, Yuri Pianykh, Ilya Petrovitch

() Yuri Pianykh, President of the ARBC with new members

, . , Cyprus Fiduciary AssociationGeorge Ioulianos, General Manager, Cyprus Fiduciary Association

, , CIPA

Nicolas Theocharides, Board Member, CIPA



The participants of the Conference

. . .25-27

- - . - -- . .

Deloitte, Nicos Neophytou Law Partners Consulco, - Piraeus European University of Cyprus. - - ( 50 ) , - .

- .

The participants of the seminar

-

View from the window of the conference room.

Surgut centre

Official Meeting in the Municipality Office of the Surgut District

Leader of Cyprus Delegation Nicolas Theocharides with the Vice Mayor of Surgut City Yakov Chernyak

Meeting in the Municipality of the Surgut District

, , Deloitte Cyprus, , , Planus ConsultingAlecos Papalexandrou, Partner, Deloitte Cyprus, Nicos Neophitou, Partner, Planus Consulting

, , Igor Nossonov, President, Association of Russian-speaking Residents of Cyprus Gorizont


, 6 (- 2012)

- :

9 2012 - : . - (CIIM). , Cyprus Popular Bank .

, Le Meridien, -

, .

- , , . - , - .

, Vyacheslav Shumsky, Ambassador of Russia in Cyprus

Guests

, , Finam Ltd.Kumar Dipak, Director,Finam Ltd.

, , Boris Gumeniuk, Ambassador of Ukraine to Cyprus, with his spouse

, ,Cyprus Popular BankMichalis Sarris, Chairman, Cyprus Popular Bank


, 6 (- 2012)

:

24-25 - . , - - -- -.

, - - , - . . , , - , . , - , .

, . -- - , . - -: , , .

- , , - . : . - , . .

- - , , . , - , .

. The participants of the meeting in the Almaty Municipality

, -, CIPAChristos Mavrellis,Vice-President, CIPA

, - Pavlos Pavlou, Vice-President, University of Nicosiaand Murat Kudyshev, Deputy Mayor of Almaty

, Roman Starikovich, Honorary Consul of Kazakhstanin Cyprus

, , -, CIPAMurat Kudyshev, Deputy Mayor of Almaty and Christos Mavrellis,Vice-President, CIPA

, Mastserve Ltd.Maria Elia, Managing Director, Mastserve Ltd.

, , , Piraeus BankDimitris Zisimidis, Manager, International Banking Unit, Piraeus Bank

, , Globalserve Consultants Ltd.

Dinos Antoniou, CEO, Globalserve Consultants Ltd.



, , Andrey Pavelko, Financial Director,Vestnik Kipra Communication Group

, , HLB AfxentiouMarios Hadjihannas, Partner, HLB Afxentiou

. : - , , . Meeting at the Almaty Chamber of Commerce and Industry with the President of Almaty Chamber, Vice-President of Kazakhstan Chamber of Commerce and Industry Mukhtarkhan Byarov, Vice-Director General Shara Akylbaeva

, , Deloitte CyprusPaul Mallis, Partner, Deloitte Cyprus

, Zaytuna Dzhandosova, Vice Chairman, Kazakhstan Association of Banks

, , , . , , - Marios Tsakkis, Deputy Secretary General, CCCI, Natalia Kardash, Editor-in-Chief, Successful Business Magazine, Abdulla Kundakhbaev, Vice-President of Kazakhstan Chamber of Commerce and Industry

, , Chris Tofi Real Estate Agency Ltd.Stevan Kovacevic, Director, Chris Tofi Real Estate Agency Ltd.

, ,Cyprus Universe PROAndrey Korneev, Director, Cyprus Universe PRO

Participants of the Conference

: , , Leptos Estates RussiaOn the right: Andreas Santis, Country Manager, Leptos Estates Russia

, , CIPA , , Baker Tilly CyprusAnita Orphanidou, Marketing Manager, CIPA, and Andreas Philippou, Director, Baker Tilly Cyprus

, 6 (- 2012)

-

9 2012 . VII - , - . .

8- , , , 600 . - - . - - . - , , . , .

- - , 100 . , , : , - . .

- . . . - Panther Club Cyprus. . - , , - .

- . . 18 58 , , .

- , , , -, . , , . , , , , .

23.00 - - .

- . - , - . , , , . - .

, , - , . .




: , - - , , . , , .

- , VII - . . - , . , , .

- - - , : , - , - , . , - , , - - .

(Alpari) (SCF Unicom), Andreas Christou with Principal Sponsors Olga Rybalkina (Alpari) and Nikolay Spichenok (SCF Unicom)


, 6 (- 2012)

7 8 -, . , - . - . - . - , - .

, , Presentation by Neoklis Sylikiotis, Minister of Commerce, Industry and Tourism of Cyprus

The participants of the Cyprus Natural Gaz onference

, , DLA Piper, , ,Kings College London, , Ernst & YoungFredrik Lindlblom, partner, DLA Piper, Nick Butler, Professor, Kings College London, John Avaldsnes, Enrnst & Young

1

1

2

2

3

3

4 4

5

5

6

6

7

7

8

8

Train 3Train 2Train 1

Far FutureFuture2018-2019Year online

555Capacity (mtpa)

Future UpstreamProducers

Future UpstreamProducers

Noble Energy

2nd Licensing Round(potential) Licensees

Gas Suppliers

Asia 50%Europe 50%

Asia 60%Europe 40%

Asia 65%Europe 35%

LNG buyers(contracteddestination)

Independent LNG Plant Company A

(shareholders may besame as owners)





Operator

Governed by a Joint Use and Operating Agreement

6 billion8 billion10 billionTotal Cost (USD)

Japan Crude Cocktail (JCC)

Fuel Oil


Fuel Oil


Fuel Oil Price Marker

TollingTollingTolling Commercial Structure

,



23

180

8

4

17

83

187

41

20

42

231

290

11

18

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( )

-

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(2010 .) ( 3)

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20

40

60

80

100

120

3.46

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14.659.75

3.54 4.44

49.92

15.65

110.43

99.21

52.78

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12.615.96

3.16

2010 . ( 3)

420,63

504,82

179,10 189,03

22%

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4%

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19%

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- (2010 .)

(2010 .)

3370 - (-)

: 28%

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: 32%

-

2035 670 . ( 560 . )

0,166 .

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0,31 . -

0,099 .


, 6 (- 2012)

. .

23 2012 Hilton Park 2- , . , . , . - - . - , .

Moodys

1996 2011 2012

Aa3

Ba1

Ca

A3

B3

Aa2

Baa3

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A2

B2

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200820072006 2009 2010 2011

20280

24453

29016

1610119278 19538

10000

5000

0

20000

15000

25000

30000

35000

20082007 2009 2010 2011

9964

6409

8031

6568

5366

2

0

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4

8

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20082007 2009 2010 2011

11281

1761

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203016522

0

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-85%

20012000 2002 2005 20092003 20072004 20082006 2010 2011

( % )( 2007-08 .)

2

4

6

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-4

8

0



12

- . .

, Yiannakis Omirou, Presindent, House of Representatives

, () , Demetris Christofias, President of Cyprus (right) and Nicos Anastasides, DISY leader

, , , George Vassiliou, Former President of Cyprus, Vyacheslav Shumsky, Ambassador of Russia in Cyprus

, Menha Mahrous Bakhoum, Ambassador of Egypt to Cyprus

, , - Evegenios Evgeniou, President, Cyprus-Russian Business Association

, Rimma and Sophoclis Sophocli, Elsie Christofia

, , , Orpheus TravelRoman Starikovitch, Honorary Consul of Kazakhstan, Elina Koroleva, Orpheus Travel

, , , . , Loucas Luca, Minister of Justice, Natalia Kardash, Editor-in-Chief, Successful Business

, Vassos Shiarlys, Minister of Finance

, -, Yuri Kazakov,Minister Counselor,Embassy of Russia

, Efthemios Flourentzou, Minister of Communications and Works

, 6 (- 2012)


CIBA14 -

CIBA (Cyprus International Businesses Association). - . , CIBA , . - , , - .

, Vassos Shiarlys, Minister of Finance

, , , , , Thomas Kazakos, Director General, Cyprus Shipping Chamber, Chris Koufaris Member of the Executive Committee, CIBA

Presidium

, , , , Frixos Savvides, President, Cyprus International Business Association, Mehran Eftekhar, Founder of the Association

, Efthemios Flourentzou, Minister of Communications and Works

, Philokypros Andreou, Chairman, Limassol Chamber of Commerce and Industry

, , Vassilis Skronias, First Counsellor.Embassy of Greeceto Cyprus

, EVROKO, , , , , Ernst & YoungDemetris Silouris, President, EVROKO, Nicos Nicolaides, EDEK, Neophytos Neophytou, Partner, Ernst & Young

, , Credit Libanais, , . , , K.P. Erotokritou & Co, Hayat Harfouche, Country Manager, Credit Libanais, Natalia Kardash, Editor-in-Chief, Successful Business Magazine, Dinos Erotokritou, K.P. Erotokritou & Co, Dr. Americos Argyrou



21 - - - (CRBA). - 300 , . - , - .

, - , , Andis Nathanael, Director, Cyprus-Russian Business Association, Phidias Pilides, President, CCCI

Vyacheslav Shumsky, Ambassador of Russia in Cyprus, Evgenios Evgeniou, President, Cyprus-Russian Business Association

, , Andreas Neocleous & Co, , , , BarclaysMaria A. Kyriacou, Partner,Andreas Neocleous & Co, Evan Gavas, Country Director,Wealth and Investment Management, Barclays

, , , Alexander Primak, Counselor, Embassy of Russia,Antigone Kapodistria, CTO

, -Alexey Berezhkov, Head of Represenation, Russian News Agency ITAR-TASS

,

Marios Tsakkis,Deputy Secretary

General, CCCI

,

Pandelis Leptos, The Cyprus

Land and Building Developers Association

, , Kanika Developments, , Kanika DevelopmentsGeorge Karaolis, Group Deputy Chairman, Kanika Developments, Diana Khudyakova, Kanika Developments

, USB Bank, , Hellenic BankMarianna Shiarly, USB Bank,Petros Ioannides, Hellenic Bank

, USB BankLidia Guzevich, USB Bank

, , , , Svetlana Kalogera, Branch Manager, Russian Commercial Bank Alexander Anikin, Consul, Embassy of Russia in Cyprus

Presidium

, 6 (- 2012)

Developing Law Firm Strategy

: 9 : CIIM, : CIIM :. +357 22 462209: +357 22 462205Email: [email protected]

Marketing and Business Development for Law Firms

: 10 : CIIM, : CIIM :. +357 22 462209: +357 22 462205Email: [email protected]

Conference on Information and Computer Networks

: 13-14 : Cleopatra Hotel, : Open Learning Society, :Email: [email protected]

Managing Change in todays Business Environment

in the Legal Profession : 17 : CIIM, : CIIM :. +357 22 462209: +357 22 462205Email: [email protected]

Human Resource and Performance Management

in Law Firms: 18 : CIIM, : CIIM :. +357 22 462209: +357 22 462205Email: [email protected]

, . www.cyprusrussianbusiness.com. , -.

, - 2012

3- .

,

: 19 : Saxo Bank, Agias fylaxeos 1. 1st floor: SAXO Bank :. +357 250 21 121

Email: [email protected]

1st International Conference Accounting

and Financial Management AFM

: 25-26 : Palm Beach Hotel, : Perun-Sprint :. (+359) 0898 360972, 0889 719500Email: [email protected]

5th International Conference

FAM Asian Session: 27-28 : Palm Beach Hotel, : Perun-Sprint :. (+359) 0898 360972, 0889 719500Email: [email protected]

East-Meets-West on Innovation

and Entrepreneurship Congress and Exhibition

: 1-4 : University of Cyprus: IMH :: +357 22 505555email: [email protected]

87


Business Seminars and Conferences in CIS Countries

SUCCESSfUl BUSInESS MAGAZInE organizes networking events abroadnext conference Ukraine, Odessa, September 2012

Registration and inquiries: [email protected], tel. + 357 25 590 530, Julia Basharina

: .. 25 590 530 ( [email protected] [email protected])

, , .1. (). , --, . - 500 . 2. . - : , , , -, , . . - - . ( , , , , , , ) . - .

,

, , . - 2012 .

Corporate Governance and Internal Audit for

Co-operative Credit Societies: 18 : Cleopatra Hotel, : PwC :. +357 22 555142: +357 22 555029Email: [email protected]

4th Get the Job Conference

: 22 : BOC Offices Ayia Paraskevi : IMH :: +357 22 505555email: [email protected]

8th Real Estate & Construction

Conference: 26 : Hilton Park Nicosia : IMH :: +357 22 505555email: [email protected]

4th Professional Services

Conference: 27 : Hilton Park Nicosia : IMH :: +357 22 505555email: [email protected]


, 6 (- 2012)



This section of the magazine contains a summary of the most important articles. We have translated them into English for those of our clients and partners who do not speak Russian but want to know more on the content of this issue.

There is a list of upcoming events and a detailed program of those events where SUCCESSfUL BUSINESS or VESTNIK KIPRA are Media Partners. By the way, any of our clients may announce their business events in our forthcoming issues, inviting our readers to their presentations and parties. We are very active in the social life of our community. Our correspondents visit many different events in order to publish reportages. Photos and videos are also placed on our website (www.cyprusrussianbusiness.com).

This is the only business magazine in the Russian language published in Cyprus. It comes out quarterly. In order to keep our readers informed we update our website every day with the most important business news, statistics, analysis, stock exchange results, all kinds of monetary questions and financial market issues. A list of names (people, companies, events) published in the issue will be always placed on the last pages of the magazine. This way anyone can easily trace necessary information.

Please look through summaries provided in this section of the magazine. And if you have questions or you need more information, please do not hesitate to contact us for further details.

Natalia KardashPublisher

[email protected]

Education and carEErs

Higher and professional education in Cyprus, professional development and advanced training, recruiting, head hunting, business psychology. Detailed programs of trainings, seminars, conferences, business forums in Cyprus and abroad.

FinancE and invEstmEnts

Articles on Cyprus banking, insurance, taxation, brokerage and investment fields. World tendencies in finance markets, reports and analysis on oil, gold and currency markets. Insurance, investment in business and property (comparative analysis, statistics, price movement).

Law and taxation

Comments and interpretations on taxation, auditing and accounting. Corporate law. Labour law. Immigration and migration issues.

LiFEstyLE

Independent rating of Cyprus' restaurants, hotels, recreational facilities for business people. Columns on wine, style, business fashion, cars.

TABlE Of COnTEnTS

VESTnIk kIPRA COMMUnICATIOn GROUPVESTNIK KIPRA is a group of companies working with the Russian community of Cyprus. The most important fields of activities are publishing, education, event management, PR and the promotion of Cypriot enterprises in Russia and Ukraine. Well known publications: weekly Russian newspaper VESTNIK KIPRA, MAGAZINI KIPRA (Cyprus Shopping Guide), DOMA i LUDI (Cyprus Property Guide), Russian Yellow Pages. The biggest events: Cyprus-Russian festival, Limassol International Children's festival. NGO: Association of Russian-speaking residents of Cyprus.

Executive Summaries

The Main Thing: Accurate Goals and knowledge of the Case

The Banking Threat to the Eurozone

The Cyprus International Trusts law: Renaissance

How Can Cyprus Improve Its Competitive Advantages?

natural Gas in Cyprus: Explorations, Synergies And Benefits

Cyprus EU Presidency. What Does It Mean?

fresh look at the fiscal framework in the EU

new life of Cyprus Stock Exchange

EU Yacht Registration Cyprus the Preferred location

Advice on Taking Guests Out

Sports not for Everyone

BusinEss and tEchnoLogiEs

News on IT, e-commerce, e-money. New business technologies, innovations. Advertising, PR, business communications.

Practical information on Cyprus and CIS economies, business tendencies, reports and analyses on world economy and its influence on business.

BusinEss and Economy


, 6 (- 2012)

- In September 2011 the new governing body of the Cyprus Securities and Exchange Commission (CySEC) was appointed. We immediately changed the style of communication and began a new policy - the policy of open door. The first action taken by the new Board of Directors was to establish contacts with market participants, study their needs and make a strategic plan for the next five years.- There are many Russian financial companies on the island. Why did they choose Cyprus?- Establishment of a company in Cyprus means that you can conduct transactions with financial instruments throughout Europe and in third countries and benefit immediately from the tax advantages of Cyprus.- How difficult is to obtain a license for operating activities in Cyprus for financial companies?- One of our primary tasks has been an acceleration of the licensing procedure. Under the law, the issuance of a license takes up to six months. In an effort to improve its effectiveness, CySEC takes measures to reduce the time of issuance of the license up to three months, in cases where the company provides all the necessary documentation. - What actions are you planning before the end of 2012?- To accelerate the procedure of examinations for CySEC certificates for individuals and improve its efficiency. At the same time, the Presidency of Cyprus in the EU Council in the second half of 2012 has created a lot of work for CySEC. In close cooperation with the Ministry of Finance of Cyprus, our Commission will be heading the work of 12 EU committees.

Interview with Demetra Kalogirou, Chairman of CySEC

In the last few months we have been observing a paradox with regards to the European Economy. Greece, which represents below 1.2% of the Gross Domestic Product (GDP) of Europe, has been called the Achilles heel of the Eurozone that will jeopardize the existence of euro. The paradox is even greater when Greece is regarded as the threat to the world economy (Greeces GDP is below 0.40% of the worlds economy).The Eurozone leaders need to urgently understand that common policy is more urgent than fiscal union. Stability in Europe is important for the world economy. Eurozone in particular is a key global market player. Both Germany and France should lead the way out of the crisis because they have the resources. The banking crisis has brought the euro to the brink of collapse. There are two ways to deal with this banking crisis:(i) Write off bad debts, recapitalize the banks, rein in public spending and increase taxes, or(ii) Gradually shift the bad debts from the private to the public sector without writing them off.A collapse of the euro area would create a major recession in Cyprus and a systemic threat to the banking sector. There is no doubt that the Central Banks and the governments efforts to recapitalize banks is in the right direction and definitely positive.

The Banking Threat to the Eurozone

There has been a lot of speculation and examination of structures and how these can best be adopted to provide users with the best possible tax planning solutions, thus mitigating their tax liabilities while still remaining commercially feasible and plausible. Recently, Cyprus has played a paramount role in such solutions, in structures which predominantly involved the use of a trust, mostly, but not exclusively, with respect to Very High Net Worth Individuals and Ultra High Net Worth Individuals. (VUNWIs). The trend, with respect to the Cyprus jurisdiction, has demonstrated that the pattern followed by VUNWIs in connection to their group of companies trading, commercial and business activities, is predominantly the use of a Cyprus Holding Company, which is a private limited liability company by shares, incorporated and governed under the Cyprus Companies Law, Chapter 113. In 1992, Cyprus enacted the International Trusts Law. This was done to update and modernise the law and establish Cyprus as a non offshore and financial centre and as a serious trust jurisdiction.The 2012 Law which amended the 1992 law was a long awaited and overdue change. The amendments have reinforced the robustness of Cyprus as a competitive jurisdiction in the field of trusts and have once again positioned Cyprus as a leader in the race of favourable jurisdictions in international tax planning, personal wealth management and inheritance planning.

The Cyprus International Trusts law: Renaissance

Christodoulos Vassiliades,Advocate, Managing Partner, Christodolous G. Vassiliades & Co LLCc

EXECUTIVE SUMMARIES

The Main Thing: Accurate Goals and knowledge of the Case

Costas Stylianou,Head of International Division Alpha Bank Cyprus



The Presidency of the European Union is a responsibility taken by a member state which alternates every six months. Cyprus will take the EU Presidency in the second half of 2012, immediately after the Danish Presidency and before granting the baton to the Republic of Ireland.The Council of the European Union, after the changes brought about by the enactment of the Lisbon Treaty, is the European Parliaments main decision making body in the EU. Among its main responsibilities are Synarmodio, the Council of the European Parliament for the adoption of European legislation, the adoption of the EU budget, while being partly responsible for the coordination of general economic policies of member states, and the implementation of the Common Foreign and Security Policy of the Union.The EU Presidency provides in the Republic the opportunity to develop appropriate actions that will create the framework to reap multiple benefits in the medium and long term, while strengthening its role and voice among partners and consolidating its position internationally.Cyprus is being given an opportunity to promote its own political vision for the future of Europe. Over and above the successful outcome of a political agenda and in the social activities and initiatives, Cyprus will have an excellent opportunity to promote its culture and civilisation at a European level.

Cyprus EU Presidency. What Does It Mean?

Christos Floridis,Lawyer,Chairman WG Schengen Acquis

Antonis Paschalides, Senior Lawyer, Antonis Paschalides & Co LLC

Executive Summaries

Up until now Cyprus was so far losing in the area of Intellectual Property holding companies, (IP) to its main competitors, such as the Netherlands and Luxembourg that had adopted in the last decade a special tax incentive legislation often referred to as IP/Patent/Innovation Box regimes. These tax incentive rules provide for a tax deduction of a deemed expenditure (mostly 80%), or for a reduced rate of income tax on certain qualified IP related activities or both. In order to improve investment climate as well as to keep up with the rising competition in IP segment, Cyprus has recently adopted amendments to the Income Tax Law (ITL), introducing IP Box rules.Proposed incentiveAccording to the proposed new wording of Section 9 (1e) of the ITL (Deductions allowed), the 80% of the profit from the use of the covered intangible assets (e.g. royalties, penalties for improper use), and of the profit upon their disposal, is deemed as expense for the purposes of computation of the Cypriot income tax base for these activities.This deemed expense will decrease the taxable basis in addition to other tax deductible expenditure, such R&D expenses and amortisation.

How Can Cyprus Improve Its Competitive Advantages?

Neophytos Neophytou, Partner, Head of Tax,Ernst & Young Cyprus

On 11th May 2012, the official announcement of the applications regarding the 2nd Round of Licences took place. In fact, 33 applications were submitted. The evaluation procedure is expected to take up to 6 months. Depending on the time needed for this evaluation and for the relevant negotiations (another 6-9 months), the Council of Ministers will decide to whom the first license/s, will be granted by the end of 2012 or in early 2013. The key challenge for the future is to ensure that gas producing countries are ready and open towards exporting gas directly to Europe, which for them may often imply accepting high political risk linked to their geopolitical situation. Cyprus must proceed in all necessary decisions and implementations of the decisions regarding gas and oil exploration, establishing LNG terminal, terminal for liquid fuel with determination and commitment. In 10 years time Cyprus has the golden opportunity to become an Energy exporter, an Energy hub and ideally an Energy Centre providing and offering the complete package of energy goods and services.

natural Gas in Cyprus: Explorations, Synergies And Benefits


, 6 (- 2012)

The overriding concern in the EU today is the specific fiscal policy that is being followed in relation to the broader crisis in a number of Eurozone countries. Fiscal consolidation and the rationalisation of the revenue and expenditure sides of a state budget must be a sine-qua-non in any country. The Greek people today are suffering not only as a result of a corrupt socio-economic and political system but also as a result of one-sided policy prescriptions imposed by the European Union in the last two years. In this regard there appears to be an unprecedented adherence to the philosophy of draconian fiscal discipline without any effort to promote growth policies. The EU must re-examine policy priorities and the results of the philosophy followed so far in relation to the Eurozone which has often run against the provisions of a fiscal union. It is a dangerous misconception to believe that the cost of a presumed exit of Greece from the Eurozone would be minimal. In this regard one cannot rule out that other countries may also leave the Eurozone if their economic conditions further deteriorate. The assumption of the EU Presidency by the Republic of Cyprus in the second half of 2012 provides an excellent opportunity for the government to submit an alternative proposal in relation to the ongoing economic crisis.

- What are the prospects of CSE?- The new EU directive converted the entire system. Previously, the stock exchanges were state monopolies. Now, in every country there are several regulated markets. They constitute a serious competition to unregulated markets. In the frame of high competition the small CSE has to find a way to survive and remain competitive. We have created a strategic plan and now act in accordance with it. Our key advantage is the development of fundamentally new types of exchange services to our customers. The traditional products market is too rich now. New products give us some perspective.Cooperation with Russia- How did the idea of cooperation with the Russian stock exchange arise?- Many Russian companies are using Cyprus as a basis for their operations. It is obvious that one of our priorities is the collaboration with colleagues from Russia.- But what is the benefit for Russia?- Cyprus is a member of the Eurozone, so the Russian company will be listed on the CSE in euros. The small amount of CSE does not allow it to compete with the MICEX-RTS, so Russian colleagues see us as partners.- When would the details of the agreement between stock exchanges be announced?- CSE and MICEX-RTS have already signed several agreements. To start cooperation, we are waiting for the completion of the merger of Russian exchanges. We plan to resume negotiations in September this year.

fresh look at the fiscal framework in the EU

new life of Cyprus Stock Exchange

On the basis of new guidelines issued by the Cypriot VAT authorities the effective VAT rate on lease payments can be reduced to as low as 3.4%. This is increased to 4.42% when taking into consideration the VAT on the acquisition of the yacht.What is a Yacht leasing Agreement?A Yacht Leasing Agreement is an agreement whereby the lessor (the owner of the yacht) contracts the use of the yacht to the lessee (the person who leases the yacht) in return for a consideration. At the end of the lease period, the lessee may opt to purchase the yacht at a fraction of the original price. What is the VAT treatment?No VAT is paid on the acquisition of the yacht. The lease installments are subject to VAT at the VAT rate of 17% but only to the extent that the leased yacht is used within the territorial waters of the European Union (EU). How is the use of the yacht within EU territorial waters calculated?Due to the inherent difficulty of trailing the movements of yachts the Cypriot VAT authorities introduced fixed percentages based on the length and type of the yacht (motor or sailing yachts). Income Tax TreatmentThe total profit from the leasing agreement which amounts to 10% on the initial value of the yacht, will be subject to Income Tax at the rate of 10%.

EU Yacht Registration Cyprus the Preferred location Chrysilios Pelekanos, Partner, Tax & Legal Services,PWC

Interview with Nondas Metaxas, General Director of Cyprus Stock Exchange

EXECUTIVE SUMMARIES

Andreas Theophanous,President, Center for European and International Affairs



Dinos Hadjimiltis, advertising consultantAll work and no play makes Jack a dull boy with that in mind, I recommended to my clients that they should also take the opportunity to spend some leisure time in Cyprus especially when it is their first trip to the island.The uniqueness of Cyprus is that during the period of the year when there is snow in the mountains to go skiing, it is also possible to go for a swim and enjoy the water sports facilities in the Mediterranean Sea. Keen golfers have a choice of golf courses they can choose to play on.Peter G. Economides, fCCA, TEPChairman, Totalserve Management ltdRussians are perhaps the most cultivated and culturally educated people on Earth. Besides strong economic ties, Cypriots and Russians also enjoy cultural and religious ties. Cyprus enjoys a turbulent, yet interesting history that spans thousands of years and may offer culturally inclined guests a wide range of cultural performances and events throughout the year. Most memorable are the Paphos Festival set at the picturesque Paphos Castle by the sea at night and an evening of theater at the ancient Curium Amphitheater in Limassol. A day trip to the islands religious landmarks such as Kykkos monastery, Panayia Forviotissa and other centuries-old monasteries and churches will be most enjoyed by our Russian guests.Costas Mavrocordatos, Partner, Head of Tax & legal, PwC I would suggest to my visitors to begin their day early, driving through Fassouri citrus groves and vineyards, to the ancient City of Kourion, a beautiful and unspoilt spot perched high on a cliff, to enjoy a dazzling view of the ruins and the sea below. Then visit the famous Coral beach of Pafos to enjoy swimming in the crystal clear waters. Lunch in a fish tavern and a nice walk in the beautiful old town of Paphos are strongly recommended.

Michalis Michail, Head of the International Department in limassol, Cyprus Popular BankI would organize the trip to the pearl of Cyprus - the Troodos mountain range. We would stop at the charming village of Omodos where we would learn about the traditions, history, winemaking and general culture of ancient Cyprus. We would walk along picturesque streets with lace, pottery and traditional architecture, enter a unique church. Then we would sit at a coffee shop in the village square and try not only Cypriot coffee, but also traditional Komandaria.Angelos Grigoriou, Director, Dynamic WorksI would take my guests to the inlands and specifically to my favourite area, Pitsilia. A visit to the church of Panayia tou Araka (built in 1192) located at walking distance from the beautiful Lagoudera and Saranti villages would be our first stop. Next, a walk through both villages will give visitors an impression of how Cypriots lived 50-60 years ago; then a traditional souvla lunch served under the Chestnut tree at Saranti. nick Chaloner, General Director, Action GlobalWe start by joining the locals at one of Nicosias fashionable coffee shops for a Cypriot coffee or frappe, before leaving for Paphos. Then we head for the Paphos Mosaics, some of the best examples of Roman floor mosaics discovered to date. After refreshment at Paphos harbour we set off to the Avakas Gorge, a deep, steep-sided gorge cut through the rocks, Grand Canyon it isnt fascinating it is.Mikhail Sobolev, Vice-President, ConsulcoIt depends on what kind of outdoor activities our guests like. There are people for whom the unforgettable moment will be held at the Orthodox shrines. For others, it will be a visit the archaeological sites of the Roman Empire and the Crusaders. Some will be in awe of mountain trails, waterfalls, romantic Venetian bridges, mountain villages, the sunset viewed from the mountains or the sea ...whilst lovers of the sea can be offered diving, scuba, fishing.



In Cyprus you can play tennis all the year round. Cyprus has enough places where you can cross rackets: mainly at tennis clubs, and hotel tennis courts. Where to play is only a matter of taste, habit, and the quality of courts. However, playing at a club is better. First, hotels generally have no more than two courts, they can be occupied by guests and the quality of coverage does not always correspond to the norm. In addition, in the clubs it is easier to find a partner for the game.Lighting on tennis courts is important. For example, at certain places lighting is paid for by the players themselves which means you are bound to play at the time the club is staffed. An annual members card is roughly the same in many venues with little variation, beginning at about 240 euro per year.In Cyprus, there is quite an active tennis lifestyle with many tournaments, both for professionals and amateurs.To participate in a tournament, visit to the following sites atpcyprus.com and www.atlcyprus.com to select the tournament and register as a participant.

Sports not for Everyone

Executive Summaries

Igor Shlykov,Analyst,Successful Business Magazine

Everyone who lives in Cyprus receives and entertains foreign guests. We asked our friends how they entertain visitors.

Useful advice on organizing a day out for a foreign business partner. How to combine a business program with entertainment?

Documents

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