===========================
The Committee for National Solidarity
Tolstojeva 34, 11000 Belgrade, YU

Subject: MEMORANDUM on Property of Economic Facilities in
Kosovo


MEMORANDUM on Property of Economic Facilities in Kosovo

Since mid June 1999, when Kfor and Unmik entered Kosovo, Yugoslavia has had
no control over 5772 companies, including numerous dependent companies
seated in Serbia and Montenegro whose capital has been privatized and,
therefore, belongs to its owners. Also, the largest number of facilities
dealing with non-ferrous metals, coal production, electricity production,
mechanical engineering, the tobacco industry, agriculture and the textile
industry situated in Kosovo were built after World War II with capital from
Serbia and Montenegro, this having been the investors' own capital or
credits. For this reason, it is of urgent need to determine the position of
the mentioned companies and the competencies of FR Yugoslavia. Presenting to
you the following information, we expect your assistance in the protection
of this property.

With the temporary loss of the FRY's sovereignty over the province of
Kosovo, left without legal control have been the facilities of 5772
companies, the overall strength of which is defined by the following
characteristic magnitudes:


1.  Overall number of companies in FRY  74.430  100%
2.  Number of companies in Kosovo   5.772   7,75%
3.  Number of socially-owned and mixed companies in FRY 8.750   100%
4.  Number of socially-owned and mixed companies in Kosovo  720 8,23%
5.  Number of employees in the FRY economy  1.710.104   100%
6.  Number of employees in the Kosovo economy   94.177  5,5%
7.  Business income in the FRY economy (in millions)    351.138 100%
8.  Business income in the Kosovo economy   11.189  3,18%
9.  Overall loss of the FRY economy (1998)  26.689  100%
10. Overall loss of the Kosovo economy  1.663   6,23%
11. FRY economy's own gross capital (in millions of dinars) 449.140     100%
12. Kosovo's own gross capital  18.601  4,14%
13. Cumulated loss of the FRY economy   123.675 100%
14. Cumulated loss of the Kosovo economy    5.004   4,05%
15. FRY economy's own net capital   341.821 100%
16. Kosovo economy's own net capital    13.579  3,98%
17. FRY economy's long-term obligations 43.094  100%
18. Kosovo economy's long-term obligations  2.305   5,35%
19. FRY economy's overall long-term capital 402.283 100%
20. Long-term capital of the Kosovo economy 17.098  4,25%
21. FRY economy's fixed assets  445.281 100%
22. Kosovo economy's fixed assets   19.726  4,43%
23. FRY economy's negative net working fund -42.998 100%
24. Kosovo economy's negative net working fund  -2.628  6,11%
25. FRY economy's reserves (in millions)    75.008  100%
26. Kosovo economy's reserves   3.793   5,06%
27. FRY economy's short-term credits    46.530  100%
28. Kosovo economy's short-term credits 3.464   7,44%
29. FRY economy's short-term obligations    194.265 100%
30. Kosovo economy's short-term obligations 6.876   3,54%
31. FRY economy's short-term outstanding claims and cash    119.804 100%
32. Kosovo economy's short-term outstanding claims and cash 3.778   3,15%

Belgrade, July 10, 2000
-----------------------------------------------------------------------
Secretary General
Mrs. Jela Jovanovic
Art  historian
===========================

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