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DAILY'S MANAGEMENT SATISFIED WITH PRIVATISATION, UNIONS WEARY

ZAGREB, Oct 17 (Hina) - In a statement to Hina on Friday, the head of the management board of "Slobodna Dalmacija" daily, Srdjan Kovacic, welcomed the government's decision to privatise the Split-based newspaper company, while the daily's two workers unions warned that the decision might be an election move.
ZAGREB, Oct 17 (Hina) - In a statement to Hina on Friday, the head of the management board of "Slobodna Dalmacija" daily, Srdjan Kovacic, welcomed the government's decision to privatise the Split-based newspaper company, while the daily's two workers unions warned that the decision might be an election move. #L# Kovacic believes that the privatisation model as proposed by the government is "brilliant in theory". According to the model, 25 percent of the daily's shares would be allocated to "Slobodna Dalmacija" workers free of charge, five percent of the state portfolio would be retained by the Croatian Privatisation Fund, while part of the portfolio would be offered for sale to workers and investors. The part of the portfolio which will not be offered to small shareholders will be offered for sale on condition the buyer provides additional funds for the recapitalisation of the company amounting to at least 80 million kuna. The chief union commissioner of the daily's journalists' union, Ljubica Vuko, welcomed the government's decision, but added there was a possibility it was an electoral trick of the ruling coalition. She also believes that the privatisation model is "impractical and unattractive" to investors because it requires major investments, without envisaging considerable management rights. The daily's independent journalists' union believes that the government's decision is part of "a hypocritical election game which is aimed at winning votes in Split and Dalmatia" and demands that privatisation be implemented "exclusively according to market principles". (hina) rml sb

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