Transcript CEZ

SECTORS OF CZECH ECONOMY
PRIMARY
SECONDARY
TERTIARY
4%
41%
55%
Sectors of Czech economy
Primary (activities connected with farming and mining, employment is low)
Secondary (manufacturing and building industries, employment is higher)
Tertiary (services, banks, insurance, hotels, transport companies, best
employment)
The tertiary sector grew by 30% in the 1990s and by 3% in the 2000s
CEZ
joint stock company, energy industry
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Founded in 1992, Czech state as major shareholder
Main area: production and sale of electricity
Belongs among 10 biggest energy groups in Europe
CEZ Group has activities in Romania, Slovakia, Poland, Hungary
Electricity production in coal fired, hydroelectric and nuclear power plants
Energy from renewable sources: sun, wind, biomass
CEZ foundation has 3 main projects: Orange Playground, Orange Bike,
Regional Support
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CEZ joint stock company was founded in 1992. Major shareholder is the Czech Republic. Focal
point of its activities is production and sale of electricity.
Strategic aim of CEZ energy group is to be best on markets with electricity in Central and Eastern
Europe. It belongs between three biggest producers of heat in Czechia. The base of today's CEZ
was established in 2003. Today it belongs among 10 biggest energy groups in Europe.
CEZ Groups exist in Romania, Poland, Slovakia and also in Hungary.
SOUTH BOHEMIAN REGION
Hydraulic power plant Lipno is part of water power plants on the river Vltava. Lake Lipno is
the biggest artificial lake and there is produced cheap, ecologically clean energy for the state
energetic system.
Nuclear power station Temelin produces electricity in production blocks with compressive
reactor. In spring 2003 power station Temelin became biggest power source of the Czech
Republic.
The company supports the energy from renewable sources such as wind, sun and biomass.
CEZ foundation
It supports science, education, humanitarian activities which are divided into 3 main projects:
Orange playground (sports and children´s playgrounds), Orange bike (people make electrical
energy on a special bike and can devote the amount earned to others), Support of regions
(in the area of health care, social care, education, culture, sport or environment).
biomass
wind
sun
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Škoda Auto
joint stock company, car industry
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Founded in 1905, has more than
20,000 employees, member of
Volkswagen Group
Company develops, makes and
sells cars, original parts and
provides service
One of biggest companies in
Czech Republic; subsidiaries in
Slovakia, Poland, India and Russia
Main types: Fabia, Roomster,
Octavia, Superb, Yeti (autumn
2009)
Sells to more than 100 countries
The number of sold cars in chosen
countries in 2007
70 000
60 000
50 000
40 000
30 000
20 000
10 000
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Fabia – lower class family
car. In 2007 a new
generation of this model
was introduced. It is ideal
for a young family. Its price
is about 10,000 Euros.
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Octavia – middle class
family and corporate car.
With price about 18,000
Euros is perfect for a
typical family, who wants
quality and a big car. In
the autumn 2008 a new
generation of this popular
model was introduced.
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Skoda Auto
Skoda Auto Company is a Czech enterprise with
more than one hundred years tradition in car
production. The brand name Skoda is one of the
oldest ones in the world. This company develops,
makes and sells cars, original parts and provides
service
Skoda Auto Group is one of the biggest companies
in the Czech Republic. Its subsidiaries are Skoda
Auto Germany Inc., Skoda Auto Slovakia Ltd, Skoda
Auto Poland Inc., Skoda Auto India Ltd. and OOO
VOLKSWAGEN Russia
Skoda Auto Group in 2007
It sells to more than one hundred countries in the
world. It sold 630, 032 cars (in the year 2006 it
was it 556, 347 cars)
It had overall income 8,88 billion Euros
It engaged total 24, 461 people
Skoda Auto Poland
Market share in Polish market in 2007 was 11,2 %
and it is the second place in the quantity of sold
cars. New generation of model Fabia won the test
of Polish magazines Car Motor, Sport and Car World
Roomster – lower class
family car. This model is
typical for its space and its
price is about 13,000 Euros.
Superb – higher class
manager car is for drivers,
who want a little luxury. In
the spring 2008 a new
generation of this car was
introduced with price about
30,000 Euros. In the year
2008 it won many awards in
its division.
Skoda Auto Slovakia
It sold 19, 358 cars. The best selling was the new
generation of Skoda Fabia
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Česká spořitelna
joint stock company, banking
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Founded in 1825, now part of Erste Bank
Group
Biggest bank according to number of
clients (5,3 mil)
Leader in the market with payment cards,
mortgages and direct banking
Widest net of cash dispensers in the
country (1,140)
Awards: Most Trusted Bank 2008
Bank of the Year 2008
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Česká spořitelna
Česká spořitelna is a joint stock company and was founded in 1825.
It is the biggest bank according to number of clients (5,3 million) in the Czech Republic.
This bank is leader in the market with payment cards , mortgages and direct banking.
It is part of Erste Bank Group with 17 million clients in eight European states.
History
On 12 February 1825 „Spořitelna česká“ started its activities, the oldest forerunner of today’s bank.
In January 1992 it became a joint stock company. In August 2000 Austrian Erste Bank becomes a
52% shareholder of Česká spořitelna. In 2002 it became part of Erste Bank Group (98%
shareholder).
Present
The bank provides services for small clients, small and middle-sized firms, cities and villages. It
finances also big corporations and provides services in the field of financial market. It issued 3,3
million payment cards and operates the widest net in the country (about 1140 cash dispensers).
Direct banking is used by almost 1,2 million clients. The company employs almost 11, 000 people in
all regions.
Most Trusted Bank 2008
Česká spořitelna got an award The Most Trusted Bank for the fifth time in succession
in the MasterCard competition.
Bank of the Year 2008
It is an award given by The Banker magazine in an annual competition.
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GDP - real and nominal value
(billions of Euro)
Nominal value
140
120
100
80
60
40
20
0
85,9
78,94
93,83
82,47
99,47
87,67
2003
2004
2005
Real value
107,2
93,63
2006
117,67
99,2
2007
The gross domestic product is the total value of all final goods and
services produced in a particular economy in a given year.
Real value is shown in constant prices, isn´t influenced by inflation and its
growth shows the growth of the economy.
Nominal value is shown in current prices (of a given year) and is influenced
by inflation.
The Czech GDP grew steadily in the years 2003-2007.
OUTLINE OF REAL STATE BUDGET DEFICIT
IN BILLIONS OF EUROS
0
2003
2004
2005
2006
2007
-500
-1000
-1500
-1579,2
-2000
-2500
-2623,6
-3000
-2853,2
-2732,8
-2556,4
The state budget is a plan of financial management of the state in one year. It´s
an act which the government suggest and the parliament passes.
Types of the budget: deficit budget (expenses are higher than receipts), balanced
budget (expenses are the same as receipts), budget surplus (receipts are higher
than expenses).
Czechia has a deficit budget due to lower incomes (taxes, duty) and higher
expenses (pensions, unemployment benefits), last budget surplus was in 1995.
Rate of unemployment in %
d
d
Unemployment in CR
12
10
8
10,3
9,5
8,9
7,7
6
6
4
2
0
2003
2004
2005
2006
2007
Unemployment in Czechia decreased steadily in the years 2003-2007. It was
due to the growth of economy and GDP. More products were manufactured, more
people employed, entering the EU helped a lot as well.
Expected 2009 unemployment is 7,5% due to economic slowdown.
Inflation Rate
7,00%
6,30%
6,00%
2003
5,00%
2004
4,00%
2,80%
3,00%
1,90%
2,00%
1,00%
2,50%
2,80%
2005
2006
2007
2008
0,10%
0,00%
Inflation Rate
Inflation shows a general increase in the price level. The change in price
level for a certain period indicates the inflation rate. Then we have a market
basket that can be divided into: food goods,non-food goods, services.
Net inflation calculated by the Czech Statistical Office, as an increase in
prices in the unregulated part of the consumer basket, without indirect taxes
and subsidies. The Czech inflation rate has been increasing, especially
since 2004. Last year it was highest during the past 10 years.
Savings of Czech population in 2003-2008
100%
80%
60%
40%
20%
0%
2003
2004
2005
2006
2007
money held home
demand deposits
time deposits
foreign currency deposits
building savings
pension insurance
life insurance
funds
direct investment in shares
2008
Biggest trading partners
of Czech Republic in 2008
Export
in billions of Euros
30
25
20
15
10
5
0
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Germany
Slovakia
Poland, France
Great Britain, Austria, Italy,
Netherlands
Hungary, Russia, Belgium,
Spain
Sweden, USA, Romania,
Switzerland
Ukraine, Denmark, Finland,
Slovenia
Our biggest export partner is Germany
We export mostly machinery and means of transport e.g.: Škoda Auto, Siemens Group
In 2008 Czech export dropped against last year by 0,7 % in total, import enhanced
only by 0,1%
Export of machinery in total dropped by 20%. The biggest decline concerned road
vehicles (10 billion Czech crowns)
Exported goods in 2008 had value of 98,8 billion € and imported had value of 96 billion
€.
Foreign trade is the base of economical growth of the Czech Republic. The EU is very
important for our export. Turnover of foreign trade has grown roughly fivefold since
1993.
Thank you for your attention
Class 3 B in Škoda Auto, October 2008