Russians take the helm (Aftenposten)

Yukos Oil took over direction of the closing stages in Kværner’s efforts to find a solution to its financial crisis. Yukos informed the media of its draft solution long before Kværner publicly confirmed the deal. The Russians also made it clear that Kværner chief executive Kjell Almskog had immediately had to renegotiate his golden parachute. He gives up the two years’ salary he had negotiated, worth NOK 16 million. Today is Mr Almskog’s last day as chief executive.

Saved in the nick of time (Dagsavisen)

There was complete chaos and Kværner had exceeded all its deadlines. The solution came just before 6 pm yesterday. The Norwegian industrial giant had been saved from bankruptcy by the Russian company, Yukos Oil. At the very last minute Kværner’s board of directors, the company’s most important banks, some of its largest shareholders and, not least, Yukos Oil managed to agree on a rescue package. The deal involves a substantial share issue to generate an additional NOK 3 billion in new equity and the conversion of around NOK 4.5 billion of Kværner’s debts into a convertible loan.

Røkke between the devil and the deep blue sea (Aftenposten)

Kværner’s proposed share issue faces Kjell Inge Røkke with a choice between the devil and the deep blue sea. He must stump up NOK 530 million to maintain the size of his stake in Kværner or be left with just five per cent of the company’s shares. Mr Røkke was in aggressive mood yesterday evening. "There are still a lot of people who could overturn the proposed restructuring plan," he warned. Mr Røkke has also maintained his call for an investigation into Kværner’s management. "So much money has disappeared that the employees and the public have a right to know what happened," he said.

Kværner faces break-up (Verdens Gang)

The Russian company, Yukos Oil, has warned that it plans to break up Kværner after it has won the battle for control of the Norwegian industrial giant. Kværner’s employee representatives have been afraid that Kjell Inge Røkke would break up the corporation by selling off important business areas. But Yukos Oil’s plans are just as tough. Yukos’s Norwegian head of corporate communications, Hugo Erikssen, has made no secret of the fact that the Russians are only interested in Kværner Oil and Gas.

Minister for all fish (Aftenposten)

The Ministry of Justice’s legal department has now declared that Fisheries Minister Svein Ludvigsen’s ability to carry out his duties is only to a small degree affected by the fact that his brother, Kåre Ludvigsen, is deputy chairman of the Norwegian Fishermen’s Sales Organization for Pelagic Fish. According to the Ministry’s legal experts, the Fisheries Minister will only rarely be disqualified from handling issues linked to the Norwegian Fishermen’s Sales Organization for Pelagic Fish. "I am now the minister for both pelagic and other kinds of fish," said a relieved Svein Ludvigsen.

Public backing for Norwegian participation in war (Nationen)

Six out of ten Norwegians support the participation of Norwegian soldiers in a Nato-led military operation in the war against terrorism. This is about the same number as before the commencement of air strikes in Afghanistan. Christian Democrat voters, however, are far more positive towards Norwegian participation in the war than they were a month ago. Six out of ten Christian Democrats support Norwegian participation, an increase of 12 per cent compared to September.

Worth Noting

• Bernt Stillulf Karlsen is a strong candidate to take over as chief executive at Kværner, according to sources within Yukos Oil. Mr Stillulf Karlsen is a partner in ProCorp, a consultancy firm which is handling Yukos’s interests in Kværner. (Dagens Næringsliv)
• Kjell Inge Røkke has described the treatment of figures by Kværner’s management as "financial fraud". Yesterday he made it clear that the fight for control of Kværner was by no means over yet. (Dagbladet)
• There was full confusion on the stock market yesterday after Kværner’s major shareholder, Yukos Oil, published at 2 pm a detailed press release outlining a solution to the company’s financial crisis, while Kværner itself remained silent. Kværner’s share price jumped sharply and the Oslo Stock Exchange decided to impose a pause in trading in Kværner’s shares. (Dagens Næringsliv)
• Several of the ministers in the previous Labour government used their private frequent flyer membership cards to earn bonus points on flights taken on official business. They have now been instructed to ask SAS to delete these bonus points. "It is a messy system," said Ågot Valle (Socialist Left), leader of the Storting’s Scrutiny and Constitutional Affairs Committee. (Aftenposten)
• Progress Party chairman Carl I. Hagen has planned to abdicate in favour of an heir apparent on three previous occasions. According to the recently published book, "King Carl", Mr Hagen will hand the crown to Siv Jensen next spring. (Dagsavisen)
• Christian and Muslim leaders in Norway have joined together to condemn the bombing of Afghanistan. Clergymen are ready to use the pulpit to force Prime Minister Kjell Magne Bondevik to open his ears to their protests. (Dagbladet)
• Development Assistance Minister Hilde Frafjord Johnson does not believe a pause in the bombing will save lives in Afghanistan. In her view the number of deaths in the country depends not so much on the bombing raids as on the amount of humanitarian assistance it is possible to give. (Vårt Land)
• Kaci Kullmann Five has no plans to resign as chairman of the Norwegian Trade Council despite being sharply criticized by her own commission of inquiry. The inquiry had been set up to investigate the controversy surrounding the Council’s office in South Africa. (Dagens Næringsliv)
• It was wrong of Centre Party chairman Odd Roger Enoksen to say anything about a possible collaboration with the Labour Party at this time, according to a resolution approved by the national committee of the party’s youth wing. However, this fact is not mentioned at all in the press release published by the organisation’s leader. (Nationen)
• The chairman of the Storting’s Social Affairs Committee, John Alvheim (Progress Party), is opposed to a total ban on smoking in all bars and restaurants. Mr Alvheim, a smoker himself, believes a ban could lead to the closure of a large number of bars and restaurants. (Dagbladet)
• If is the first insurance company to introduce differentiated premiums depending on where you live and what kind of accident record you have. Thousands of home owners will get a shock when their insurance premium demands arrive in the post. "The whole principle of solidarity in the insurance business is being whittled away," said Tom Bolstad, acting head of the Consumer Council. (Dagbladet)

Today’s comment from Aftenposten

Yasir Arafat arrives in Oslo today. But it is a weakened Palestinian leader Prime Minister Kjell Magne Bondevik and other leading Norwegian politicians will meet. On many levels Palestinian self-rule is disintegrating, and Mr Arafat no longer has the authority previously accorded to him by his own people through many difficult periods. The optimism generated by the Oslo Agreement was long ago replaced by pessimism, but the USA’s wide-ranging efforts to build alliances in the fight against terrorism could herald the start of a more constructive phase. Yasir Arafat must bear a large share of the blame for what has gone wrong in the autonomous Palestinian areas. At the same time there is absolutely no doubt that the main problem lies not with the hundreds of thousands of Palestinians who have lived under ruthless Israeli occupation for almost 35 years. It is the occupation itself which is at fault. No one can expect a people to silently accept an occupation which brutally robs them of their rights as a people. We can therefore expect Prime Minister Kjell Magne Bondevik and Foreign Minister Jan Petersen to follow up one of Thorbjørn Jagland’s last pronouncements as foreign minister – and give their unambiguous support for the creation of a Palestinian state.