Identifier
Created
Classification
Origin
07SOFIA181
2007-02-13 09:44:00
UNCLASSIFIED
Embassy Sofia
Cable title:  

BULGARIA 2007 INVESTMENT CLIMATE STATEMENT

Tags:  EINV EFIN ELAB ETRD KTDB OPIC USTR BU 
pdf how-to read a cable
VZCZCXYZ0002
RR RUEHWEB

DE RUEHSF #0181/01 0440944
ZNR UUUUU ZZH
R 130944Z FEB 07
FM AMEMBASSY SOFIA
TO RUEHC/SECSTATE WASHDC 3191
INFO RUCPDOC/USDOC WASHDC
RUCPCIM/CIMS NTDB WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
UNCLAS SOFIA 000181 

SIPDIS

STATE FOR OFFICE OF INVESTMENT AFFAIRS EB/IFD/OIA AND USTR

SIPDIS

E.O. 12958: N/A
TAGS: EINV EFIN ELAB ETRD KTDB OPIC USTR BU
SUBJECT: BULGARIA 2007 INVESTMENT CLIMATE STATEMENT

Ref: 05 STATE 202943

UNCLAS SOFIA 000181

SIPDIS

STATE FOR OFFICE OF INVESTMENT AFFAIRS EB/IFD/OIA AND USTR

SIPDIS

E.O. 12958: N/A
TAGS: EINV EFIN ELAB ETRD KTDB OPIC USTR BU
SUBJECT: BULGARIA 2007 INVESTMENT CLIMATE STATEMENT

Ref: 05 STATE 202943


1. Bulgaria - 2007 Investment Climate Statement

--------------
Openness to Foreign Investment
--------------

Bulgaria has a liberal foreign investment regime; a top
government priority is to attract foreign investment, especially
American. The government focuses on developing promising sectors
of the economy for foreign investment, including energy,
information technology, transportation, telecommunications, and
agriculture. Bulgaria provides considerable incentives for job
creation. Many municipalities are prepared to grant concessions
or other favorable treatment for significant investments.
Bulgaria has a well-educated workforce, low labor costs, and its
geographic position places it at the crossroads of Europe, the
Middle East, and the CIS. Bulgaria joined NATO in April 2004 and
joined the EU on January 1, 2007.

Investment Trends and Policies
--------------

Continuing economic progress and political stability have
enhanced Bulgaria's ability to attract respected international
investors. The precautionary Stand-by Arrangement with the IMF,
which expires in March 2007, signaled to foreign investors that
the Bulgarian government would pursue a responsible economic
policy in the run-up to EU membership. Bulgaria's international
credit rating is stable and improving, reflecting the country's
positive economic prospects and prudent fiscal policies.

The Investment Promotion Act, last amended in August 2006,
stipulates equal treatment of foreign and domestic investors. It
creates conditions for improved administrative services and
includes an investment incentive package. The law encourages
implementation of investment projects over a period of up to
three years. The law explicitly recognizes intellectual property
and securities as a foreign investment.

Common Forms of Investment
--------------

The most common type of organization for foreign investors is a

limited liability company. Other typical forms are join stock
companies, joint enterprises, business asociations, general and
limited partnerships, and ole proprietorships.

The main controlling bodie of law are: the 1991 Commercial Code,
which reglates commercial and company law, including the
reation and rights of legal entities, and the 1951Law on
Obligations and Contracts, which regulatescivi transactions.
These laws are deemed generaly adequate and neither limits
foreign participaion in legal entities.

The 2003 Law on Special urpose Investment Companies allows for
public inestment companies (SPIC) in real estate and
receiables. Since a SPIC is considered a pass-through
structure, at least 90 percent of its net income ust be
distributed to shareholders, who are taxe on the dividends
received. Prospective U.S. investors should consult appropriate
legal counsel for up-to-date legal information and conduct due
diligence before making any obligations.

Investment Barriers
--------------

Problems most often encountered by foreign investors in Bulgaria
are: government bureaucracy; poor infrastructure; corruption;
frequent changes in the legal framework; low domestic purchasing
power; and a protracted privatization process. In addition, a
weak judicial system limits investor confidence in the courts'
ability to enforce ownership and shareholders rights, contracts,
and intellectual property rights.

EU accession requirements have led to the adoption of a
constitutional amendment which will allow EU citizens and
entities to acquire real property, while all other foreigners
will be able to do so only on the basis of an international
agreement ratified by the Bulgarian Parliament, thereby favoring
EU investors over those from the US. However, there are no legal
restrictions against acquisition of land by locally registered
companies with majority foreign participation.

Privatization
--------------

The Privatization Agency (PA) administers the privatization of

all state-owned companies. The privatization methods include:
public auction, public tender and stock exchange. Foreign
companies, including state-owned ones, may purchase Bulgarian
state-owned firms. The government's stated privatization goals
are to establish transparent, quick, and effective privatization
procedures, providing for equal treatment of all investors. The
program is intended to make the economy more efficient by
divesting state-owned enterprises and to cover the current
account deficit with privatization revenues.

Three major privatization deals were concluded in 2006: the sale
of Boyana Film Studios, Bulgaria Air, Yuri Gagarin BT tobacco
plant and Thermo Power Plant in Varna. The government's
privatization will continue though most of the significant assets
available for privatization have already been transferred to the
private sector

The 2002 Privatization and Post-privatization Act instituted a
Post-privatization Control Agency under the authority of the
Council of Ministers tasked to oversee the implementation of
privatization contracts. This body will attempt to ensure that
non-price privatization commitments (employee retention,
technology transfer, environmental liability and investment) in
the privatization selection criteria are honored. In addition,
creditors are no longer required to claim their receivables
within six months from the start of the privatization. While the
government maintains that the six-month period had discriminated
between creditors, the new policy could endanger the successful
development of privatized companies and lead to lower
privatization prices. However, no such problems have yet
appeared.

Concessions
--------------

Under the new 2006 Law on Concessions, the state is authorized,
on the basis of a concession agreement, to grant private
investors a partial monopoly. Concessions are awarded only on
central and/or local government property. While the law does not
mention specific activities for which concessions can be granted,
it determines three main subject categories: construction,
services, and mining and exploration. Potential fields for
concessions may therefore include the construction of roads,
ports and airports, power generation and transmission, mining,
petroleum exploration/drilling, telecommunications, forests and
parks, beaches, and nuclear installations.

Concessions are awarded on the basis of a tender and are issued
for up to 35 years. The concession period may not be extended
beyond this time limit. The new Concessions Law permits Qbuild-
operate-transfer" deals, giving priority for mineral exploitation
to the holders of exploration licenses, and reconciles
conflicting procedures for privatization and concession.

--------------

2. Conversion and Transfer Policies
--------------

In 1999, Bulgaria replaced much of its outdated and fragmented
foreign currency legislation and liberalized current
international transactions in accordance with IMF Article VIII
obligations. Under amendments to the 1999 Foreign Currency Act,
approved by Parliament in 2003, anyone may take up to BGN 25,000
or its foreign exchange equivalent out of the country without
documentation. However, the export of between BGN 8,000 and BGN
25,000 or its foreign exchange equivalent must be declared at
customs. Export of amounts larger than BGN 25,000 must be
accompanied by a declaration about the source of these funds and
supported by documents certifying that the person does not owe
taxes. No tax certificate is required for foreigners exporting
the cash equivalent of BGN 25,000 or greater provided the amount
is equal to the amount declared (or less) when imported. The
import of more than BGN 8,000 or its foreign exchange equivalent
must be declared at customs.

The law also stipulates that payments abroad may be executed only
through bank transfers. Transfers over BGN 25,000 for current
international payments (imports of goods and services,
transportation, interest and principal payments, insurance,
training, medical treatment, and other purposes defined in
Bulgarian regulations) must be supported by documentation showing
the need and purpose of such payments.

--------------

3. Expropriation and Compensation
--------------

According to Article 17 of the Bulgarian Constitution, private
real property is protected by law. Depending upon the purpose,
expropriation actions may be undertaken by the Council of
Ministers or the regional Governor, provided that the owner is
adequately compensated. Monetary compensation at market price is
the primary method. No tax is levied on the expropriation
transaction. Expropriation actions of the Council of Ministers
can be appealed directly to the Supreme Court on the basis of the
expropriation action, the property appraisal, or the size of
compensation. Regional Governor's expropriation actions can be
appealed to the local court. In its Bilateral Investment Treaty
(BIT) with the U.S., Bulgaria committed itself to international
arbitration in the event of expropriation and other investment
disputes.

--------------

4. Dispute Settlement
--------------


The Judicial System.

Bulgaria's 1991 Constitution serves as the foundation of the
legal system and creates an independent judicial branch. However,
the judiciary has been suffering from systematic flaws, serious
backlog and opaque procedures that hamper the swift and fair
administering of justice, In 2002, the Bulgarian Parliament
passed a series of amendments to the Judicial Systems Act aimed
at improving the quality of the judiciary, increasing the
efficacy of the court system, and preventing corruption in the
justice system. The Constitutional Court declared most of the
amendments unconstitutional in December 2002. As a result,
judicial reform in Bulgaria has been delayed and many key issues
remained un-addressed.

In a new effort to strengthen judicial independence and
accountability the Parliament passed in 2003 amendments to the
Constitution which limited the immunity of the magistrates,
extended the period for getting tenure, and introduced a 5-year
term in office for judicial heads. Further Constitutional
changes, aimed at implementing judicial reform, were passed in
March 2006, although, concerns remained that some of the
provisions' ambiguity might impact the independence of the
judiciary. Parliament is currently considering another set of
constitutional revisions as well as a new Judicial Systems Act,
intended to increase further the efficiency of the court system
and help prevent judicial corruption. Corruption remains a
serious problem with public opinion polls indicating that bribes
are most commonly paid in the justice sector.

There are three levels of courts. 117 regional courts exercise
jurisdiction over administrative, civil, and criminal cases.
Above them, 29 district courts (including the Sofia City Court)
have original jurisdiction in civil cases where claims exceed
10,000 BGN, in serious criminal cases, and in other cases as
provided by law. The district courts are also courts of
appellate review for regional court decisions. The five
appellate courts may review the decisions of the district courts.
On the highest level are the Supreme Court of Cassation and the
Supreme Administrative Court. On issues of law, the Supreme
Court of Cassation has appellate jurisdiction over all civil
cases involving claims over 5,000 BGN and criminal cases. The
Supreme Administrative Court rules on the legality of acts by the
Council of Ministers and the ministries. The Supreme Courts hear
cases in three-judge panels, whose decisions may be appealed to a
five-judge panel of the same court. Decisions by the five-judge
panels are final and binding.

The Constitutional Court is not integrated into the rest of the
judiciary. It issues final interpretations of the constitution,
rules on constitutional challenges to laws and acts, rules on
international agreements prior to Parliamentary ratification, and
reviews domestic laws to determine their consistency with
international legal norms.

Bulgarian law provides for jurors only in criminal cases. Under
Bulgarian procedural law, first-instance civil cases are brought
before one judge in the regional or the district court, depending
on the case. Administrative sanctions may be appealed to the
regional courts and one judge reviews such appeals.
Administrative acts are subject to administrative and court
appeal. The new Administrative Procedure Code, adopted in April
2006, introduced the establishment of 29 courts throughout the
country specialized in reviewing appeals of administrative acts.

Bankruptcy

The 1994 Commercial Code Chapter on Bankruptcy provides for
reorganization or rehabilitation of a legal entity, attempts to
maximize asset recovery, and provides for fair and equal
distribution among all creditors. The law applies to all
commercial entities, except public monopolies or state-owned
companies established by a special law. Bank bankruptcies are
regulated under the Bank Bankruptcy Act, while the 1996 Insurance
Act regulates insurance company failures.

Under Part IV of the Commercial Code, the debtor or creditors can
initiate bankruptcy proceedings. The debtor must declare
bankruptcy within 30 days of becoming insolvent. Once insolvency
is determined, the court appoints an interim trustee to represent
and manage the company, take inventory of property and assets,
identify and convene the creditors, and develop a recovery plan.
At the first meeting of the creditors a trustee is nominated;
usually this is just a reaffirmation of the court appointed
trustee.

Non-performance of a money obligation must be adjudicated (res
judicata) before the bankruptcy court can determine whether the
debtor is insolvent. Additionally, amendments passed in 2003 add
a presumption of insolvency when the debtor is unable to perform
an executable obligation, has suspended all payments or when the
debtor can only pay the claims of certain creditors.

Creditors must declare all debts owed to them within one month of
the start of bankruptcy proceedings. The trustee then has seven
days to compile a list of debts. A rehabilitation plan or a
scheme of distribution (in cases of liquidation) must be proposed
no later than a month after the date on which the court approves
the list of debts. The court must grant approval of the plan by
the creditors within seven days. After creditors' approval the
court endorses the plan and terminates the bankruptcy proceeding.
The lack of trained trustees has been a problem in the past. The
June 2003 amendments provided for examinations for individuals
applying to become trustees and obliged the Ministers of Justice
and Economy to organize annual training courses for trustees. A
Regulation on the procedure for appointment, qualification and
control over the trustees, developed by the Ministries of
Justice, Economy and Finance was published in June 2005.

The methods of liquidating assets were also revised by the June
2003 amendments. The main objective was to establish a legal
framework for selling assets that accounts for the character of
bankruptcy proceedings, thus avoiding the need to apply the Civil
Procedure Code. The new regime includes rules requiring a
greater degree of publicity for asset sales. The amendments
limited the rights to appeal judicial decisions made during
bankruptcy proceedings.

Execution of Judgments
--------------

To execute judgments, a final ruling must be obtained. The court
of first instance must then be petitioned for a writ of execution
(based on the judgment). On the basis of the writ of execution,
a specialized category of professionals, execution agents, seize
the assets or ensure the performance of the ordered action. In
practice, Bulgarian and foreign observers caution that the
proceedings for the execution of judgments and other enforceable
claims under the Code of Civil Procedure remain slow and
unpredictable. A new draft of Civil Procedure Code is currently
being debated in Parliament, which should address these
deficiencies.

Also, the civil servants who are currently responsible for
carrying out execution are viewed as extremely inefficient. Thus,
problems are procedural, as well as systemic. In May 2005,
Bulgaria addressed the systemic issues by adopting the Private
Execution Agents Act, which created a profession of private
execution agents to parallel the state one. Hopes are that these
private professionals will actively seek to protect the
creditor's interest. The new profession became operational in
2006 though it has so far been unable to effectively address the
current problems. In addition, procedural impediments to
execution of judgments still remain to be addressed through
amendments to the Civil Procedure Code.

Foreign judgments can be executed in Bulgaria. Execution depends
on reciprocity, as well as bilateral or multilateral agreements,
as determined by an official list maintained by the Ministry of
Justice. The U.S. does not currently have reciprocity with
Bulgaria; so Bulgarian courts are not obliged to honor decisions
of U.S. courts. All foreign judgments are handled by the Sofia
City Court, which must determine that the judgment does not
violate public decrees, standards, or morals before it can be
executed. There are also cases defined by the Civil Procedure
Code (certain real estate issues and Bulgarian precedents),in
which judgments cannot be executed even if they conform to
Bulgarian laws and morals.

International Arbitration
--------------

Pursuant to its Bilateral Investment Treaty (BIT) with the United
States, Bulgaria has committed to a range of dispute settlement
procedures starting with notification and consultations. Bulgaria
accepts binding international arbitration in disputes with
foreign investors.

The most experienced arbitration institution in Bulgaria is the
Arbitration Court (AC) of the Bulgarian Chamber of Commerce and
Industry (BCCI). Established more than 110 years ago, the AC had
been competent to hear civil disputes between legal persons at
least one of them being seated outside Bulgaria. It began to act
as a voluntary arbitration court between natural and/or legal
persons domiciled, respectively seated in Bulgaria since 1989.

Arbitration is regulated by the 1988 Law on International
Commercial Arbitration, which complies with the United Nations
Commission on International Trade Law (UNCITRAL) Model Law.
According to the Code of Civil Procedure not all disputes may be
resolved through arbitration. Thus, disputes regarding rights
over real estates situated in the country or individual labor
disputes may only be heard by the courts. Additionally, under
the Code of Private International Law of 2005, Bulgarian courts
have exclusive competence over industrial property disputes
regarding patents issued in Bulgaria.

As regards arbitration clauses selecting a foreign court of
arbitration, the Code of Civil Procedure mandates that these
clauses would only be admissible if at least one of the parties
has its seat or residence abroad. As a result, foreign-owned,
Bulgarian-registered companies having a dispute with a Bulgarian
entity can only have arbitration in Bulgaria. However, under the
Law on the International Commercial Arbitration, the arbitrator
himself could be a foreign person. Under the same act, the
parties can agree on the language to be used in the arbitration
proceedings. Arbitral awards are enforced through the judicial
system. The party must petition the Sofia City Court for a writ
of execution. Having obtained a writ however, the creditor needs
then to execute the award using the general framework for
execution of judgments in the country, which, as discussed above,
is rather inefficient. Foreclosure proceedings may also be
initiated.

Bulgaria is a member of the 1958 New York Convention on the
Recognition and Enforcement of Foreign Arbitral Awards and the
1961 European Convention on International Commercial
Arbitration. Bulgaria is also a signatory of the International
Center for Settlement of Investment Disputes (ICSID) convention
and the Convention on the Settlement of Investment Disputes
between States and Nationals of Other States. There is a Court
of Arbitration -- an ADR center for domestic business disputes --
at the Bulgarian Industrial Association (BIA).

Mediation
--------------

Businesses wishing to use mediation to solve their disputes in
Bulgaria may find it difficult to locate experienced mediators.
Mediation as a practice has only recently begun to develop in the
country following the adoption of the Mediation Act in the end of

2004. BCCI and the American Chamber of Commerce (AmCham)
responded promptly by opening commercial mediation centers. The
mediators at these centers have been trained with USAID
assistance.

--------------

5. Performance Requirements and Incentives
--------------

Bulgaria does not impose export performance or local content
requirements as a condition for establishing, maintaining, or
increasing an investment. For most categories of expatriate
personnel from countries outside the EU a work permit is
required. Residence permits are often difficult to obtain. A
1:10 ratio requirement between foreign, non-EU residents and
Bulgarian employees is applied. A June 1999 law regulating
gambling imposes license requirements on foreigners organizing
games of chance.

The Invest Bulgaria Agency (IBA) (www.investbg.government.bg),
the government's coordinating body for investment, provides
information services, individual administrative services and
assessment of qualification to receive investment incentives.
First-class investments (investments over 70 million BGN, about
USD 47 million) are deemed to be priority investment projects.
At the request of investors receiving first-class investment
certificates, IBA can recommend that the competent authorities
grant them free real estate (either state or municipal property).
For first-class investments, the Council of Ministers may provide
state financing for critical infrastructure deemed necessary for
the investment plan's implementation. Additionally, IBA
represents first and second-class investors (investments of USD
27 - 47 million) before all central and territorial executive
authorities and the local self-government authorities, and
processes all administrative documents. Third-class investors
(investments of USD 6.7 Q 27 million) receive customized
information services.

The government policy for promotion of investment is not
applicable to banks and other financial institutions, insurance
companies, investment companies, companies with special
investment purpose, pension and health insurance companies,
gambling companies, or investments made pursuant to the
Privatization Law. Under the latest draft amendments to the law,
real estate and tourism sectors are also excluded from
government's investment promotion policies.

In 2003, the GOB introduced tax incentives for investments in
regions with high unemployment. VAT exemption on imports for
investment projects over 10 million BGN (about USD 6.65 million),
which was introduced in 2004, is still in effect for non-EU
companies.

-------------- ---

6. Right to Private Ownership and Establishment
-------------- ---

The Constitution (Article 19) states that the Bulgarian economy
"shall be based on free economic initiative." Private entities
can establish and own business enterprises engaging in any
profit-making activities, unless expressly prohibited by law.
Bulgaria's Commercial Code guarantees and regulates the free
establishment, acquisition, and disposition of private business
enterprises. Competitive equality is the standard applied to
private enterprises in competition with public enterprises with
respect to access to markets, credit, and other business
operations, such as licenses and supplies.

--------------

7. Protection of Property Rights
--------------

Bulgarian law protects the acquisition and disposition of
property rights. In practice, the protection of property rights
is subject to difficulties of varying degrees. Although
Bulgarian Intellectual Property Rights (IPR) legislation is
generally adequate - and in some cases stronger than in other EU
countries - with modern patent and copyright laws and criminal
penalties for copyright infringement, industry representatives
believe effective IPR protection requires stronger enforcement,
including stricter penalties for offenders. In 2006, a major
revision of the IPR-related legal framework was made. The Law on
Copyright and Related Rights, the Law on Patents and Registration
of Utility Models, the Law on Marks and Geographical Indications,
the Law on Industrial Design and the Penal Code were all amended
or supplemented to harmonize with international standards. As a
major step toward improving the work of the judiciary, a
completely new Penal Procedure Code was adopted by Parliament in
2006, while amendments to the Constitution are still being
considered. The strongly criticized GOB Decree on the Measures
for Protection of IPRs was replaced by EU Regulation 1383/2003
(customs regulation) and is now being directly applied.

Additionally, the government still lacks sufficient institutional
capacity, coordination, and in some cases, the will to address
effectively major enforcement problems, especially in combating
and prosecuting organized crime groups. To improve the
coordination among institutions and push for a more proactive
dialogue with the private sector, in January 2006 an inter-
ministerial Council for Protection of IPRs was set up. The
Council has since initiated and supported most of the amendments
to the IPR-related legislation, and promoted better inter-
governmental coordination and outreach to industry. A few
industrial groups currently have intellectual property disputes
before the government.

In May 2004, Bulgaria was placed on the Special 301 Watch List
for the first time in five years and remains on that list.
Although the sale of pirated optical disc media (ODM) is still an
issue, Internet cyber crimes are turning out to be the greatest
challenge for the GOB and creative industry now. At a rate of 71
percent for a third consecutive year, software piracy is
pervasive both among the end users and system builders. The
government took good steps in 2006 to address IP problems, but
must continue its efforts to reign in piracy.

Bulgaria is a member of the World Intellectual Property
Organization (WIPO) and a signatory to key international
agreements.

Copyrights

The 1993 Law on Copyright and Related Rights protects literary,
artistic, and scientific works. Article 3 provides a full
listing of protected works including computer programs (which are
protected as literary works). The Law distinguishes between
moral and economic rights. The use of protected works is
prohibited without the author's permission, except in certain
instances.

In 2000, the Bulgarian Parliament adopted amendments to the law
extending the copyright term of protection from 50 to 70 years
after the author's death. The new term of protection is
retroactive, i.e., a term of protection that expired at the
moment of approval of the amendments is revived within the
framework of the 70-year term of protection. For films and other
audio-visual works, copyrights are protected during the lives of
director, screenplay-writer, cameraman, or the author of dialogue
or music, plus 70 years. Other amendments to the law enable
copyright owners to file civil claims to suspend the activities
of pirates; provide for confiscation of equipment and pirated
materials; enhance border control over pirated material;
introduce a new neighboring right for film producers; and,
harmonize Bulgarian legislation with the EU Association
Agreement.

The Copyright Office of the Ministry of Culture is responsible
for copyright matters in Bulgaria. The National Film Center is
responsible for enforcing intellectual property rights with
regard to films and videos. Bulgarian legislation provides for
criminal, civil and administrative remedies against copyright
violation, but because of the small number of court judgments and
sentences, law enforcement is still inadequate.

Patents

The Bulgarian patent law has been harmonized with EU law in the
areas of application for European patents and utility models.
Bulgaria joined the Convention on the Grant of European Patents
(European Patent Convention) in 2002.

Bulgaria grants the right to exclusive use of inventions and
utility models for 20 years from the date of patent application.
The term of validity of a utility model registration is 4 years
as of the filing date with the Patent Office. It may be extended
by two consecutive three-year periods, but the total term of
validity may not exceed 10 years.

Inventions eligible for patent protection must be new, involve an
inventive step and be applicable for industrial applications.
Article 6 lists items not considered inventions and utility
models are specifically defined.

The independent Patent Office is the competent authority with
respect to patent matters. The patent law describes the
application procedures and the examination process. Applications
are submitted directly to the Patent Office and recorded in the
state register. Compulsory licensing may be ordered under
certain conditions: the patent has not been used within four
years of filing the patent application or three years from the
date of issue; the patent holder is unable to offer justification
for not adequately supplying the national market; or, declaration
of a national emergency.

Patent infringement is punishable by imprisonment of up to 2
years or fines from BGN 100 to BGN 300. Disputes arising from
the creation, protection or use of inventions and utility models
can be considered and settled under administrative, court or
arbitration procedures. Disputes are reviewed by specialized
panels convened by the President of the Patent Office and may be
appealed to the Sofia City Court within three months of the
panel's decision.

In 1996, Parliament approved the Protection of New Types of
Plants and Animal Breeds Act. This Certificate allows for a term
of protection of 25 years for annual plants and 30 years for
perennial plants and animal breeds, which starts from its date of
issuance by the Patent Office. In 1998, Parliament ratified the
1991 International Convention for the Protection of New Varieties
of Plants (UPOV).

Data Exclusivity

Responding to long-standing industry concerns, the GOB included a
provision to provide data exclusivity (protection of confidential
data submitted to the government to obtain approval to market
pharmaceutical products) in its new Drug Law, which took effect
in 2003.

Trademarks

In 1999, Parliament passed a series of laws on trademarks and
geographical indications, industrial designs and integrated
circuits in accordance with TRIPs requirements and the
government's EU Association Agreement. The Trademarks and
Geographical Indications Act, which was amended in 2006 to comply
with EU standards, regulates the establishment, use, suspension,
renewal and protection of rights of trademarks, collective and
certificate marks, and geographic indications.

Registration is refused, or an existing registered trademark is
cancelled, if a trademark constitutes a reproduction or an
imitation or if it creates confusion with a well-known trademark,
as stipulated by the Paris Convention and the Trademarks and
Geographical Indications Act. Applications for registration must
be submitted to the Patent Office under specified procedures.

Right of priority, with respect to trademarks that do not differ
substantially, is given to the application that was filed in
compliance with Article 32 first. Right of priority is also
established on the basis of a request made in one of the member
countries of the Paris Convention or of the World Trade
Organization. To exercise the right of priority, the applicant
must file a request within six months of the date of original
filing.

A trademark is normally granted within three months of filing a
complete application. Refusals can be appealed before the
Disputes Department at the Patent Office. The decisions of this
department can be appealed before the Sofia Administrative Court
within three months following notification. The right of
exclusive use of a trademark is granted for ten years from the
date of submitting the application. Requests for extension of
protection must be filed during the final year of validity, but
not less than six months prior to expiration. Protection is
terminated if a mark is not used for a five-year period.

Trademark infringement is a problem in Bulgaria for many U.S.
manufacturers. Its categorization as a misdemeanor, subject to a
nominal fine, is not a sufficient deterrent to illegal
activities. While more draconian measures are available, such as
imprisonment of up to 5 years, confiscation or fines of up to
5,000 BGN, their enforcement must be significantly stepped up.

In Bulgaria, trademark and service-mark rights and rights to
geographic indications are only protected pursuant to
registration with the Bulgarian Patent Office or an international
registration mentioning Bulgaria; they do not arise simply with
Quse in commerce" of the mark or indication. Under Bulgarian
law, legal entities cannot be held criminally liable. Similarly,
criminal penalties for copyright infringement and willful
trademark infringement are limited, compared to enforcement
mechanisms available under U.S. law.

--------------

8. Transparency of Regulatory System
--------------

Major Taxation Issues Affecting U.S. Businesses

Bulgaria and the U.S. negotiated a bilateral Treaty to Avoid
Double Taxation in December 2006, which is expected to be signed
early in 2007. This treaty will help spur bilateral economic
relations and increase investor confidence.

Personal income tax rates increase progressively from 22 to 24
percent. There are three income brackets, with a non-taxable
personal monthly income of 200 BGN. The corporate and profit tax
rate is 10 percent, the lowest in the EU. Certain tax
incentives, such as an exemption from corporate tax, apply in
regions of high unemployment. Physical persons, but not legal
ones, in certain trades pay a "patent" tax (presumptive tax),
according to a schedule established by Parliament. Dividends
(and liquidation quotas) distributed by a Bulgarian resident
company to U.S. investors are subject to a withholding tax of 15
percent. While Bulgarian residents face a withholding tax of 7
percent, a tax resident in an EU member state is not subject to a
withholding tax. A 50 percent depreciation rate is applied on
investment in new machinery and other equipment, computers and
computer software.

Employers pay 65 percent of the monthly contributions for social
security insurance and health insurance to an unemployment fund,
but their share of contributions is slated to decline, in phases,
to 50 percent 2010. Employers must contribute for social
security insurance and health insurance: 19.4 percent and 3.9
percent of employees' gross salaries, respectively. Companies
also contribute 1.95 percent of the total wage cost to an
unemployment fund. Foreign persons are required to have the same
insurance and unemployment compensation packages as Bulgarians.

There is a 20 percent single-rate value-added tax (VAT),except
for some tourist services where VAT is levied at 7 percent rate.
VAT registration is mandatory for persons with turnover exceeding
BGN 50,000 over a calendar year, while all others can register
voluntarily. A new VAT regime has been introduced for trade in
goods between Bulgaria and the other EU member countries.

All goods and services are subject to VAT except exports,
international transport, and precious metals supplied to the
central bank. VAT payments are generally rebated when goods are
resold. Exporters may claim VAT refunding within a 30-day
period. Excise taxes are levied on tobacco, alcoholic beverages,
fuels, certain types of automobiles, gambling equipment, coffee,
and tea.

Foreign investors have asserted that widespread tax evasion,
combined with the failure of the authorities to enforce
collection from large state-owned companies, places them at a
disadvantage. However, in conjunction with its IMF agreement,
the government has strengthened tax collection and limited tax
arrears of state-owned enterprises. Another problem underscored
by investors is the frequent revision of tax laws, sometimes
without sufficient notice. After full harmonization of domestic
tax legislation with the EU law, the business environment is
expected to become more transparent and predictable.

Regulatory Environment

An abundance of licensing and regulatory regimes, combined with
arbitrary interpretation and enforcement by the bureaucracy, and
the incentives thus created for corruption, have long been seen
as an impediment to investment.

In 2003, Parliament passed the Restriction of Administrative
Regulation and Control of Economic Activity Act, which
establishes a general and systematized set of rules for
simplifying and implementing administrative regulations. The law
defines 39 operations that must be licensed and introduces two
other simplified regimes, i.e., registration and permit regimes.

From the perspective of regulatory relief, this law is a
milestone. It sets forth firm market principles of regulation,
such as that regulation at all levels of government must be
justified by defined need (in terms of national security,
environmental protection, or personal and material rights of
citizens) and cannot impose restrictions unnecessary to the
stated purposes of the regulation. The law also requires that
the regulating authority take account of the compliance costs to
be borne by business and that no national-level law can be passed
without an impact analysis on the law's economic effect
on the regulated activity. In addition, the law eliminates
bureaucratic discretion in granting applications for routine
economic activities and provides for "silent consent" when the
government has not acted upon an application in the allotted
time. All of these reforms considerably lighten the potential of
regulatory abuse at all levels of government and, when
implemented, should improve the overall business environment.
While the law creates a ground-breaking normative framework, its
practical enforcement is dependent upon movement towards a more
flexible bureaucratic environment.

Energy Regulator

The new Energy Law enacted in 2003 established a transparent and
predictable regulatory environment in the energy sector where the
key regulatory responsibilities are vested with the State Energy
Regulatory Commission - a separate body with regulatory
authorities, with a high degree of autonomy and accountability.

Competition Policy

The 1998 Law on the Protection of Competition (the "Competition
Law") is intended to establish and maintain a competitive
market. The Competition Law forbids monopolies, restraining
agreements, trade restrictive practices, abuse of a dominant
market position, and unfair competition, and seeks to promote
consumer protection. A company is deemed to have a dominant
position if it controls 35 percent or more of the relevant
market. A company with a dominant market position is prohibited
from: certain pricing practices; limiting manufacturing
development to the detriment of consumers; discriminatory
treatment of competing customers; tying contracts to additional
and unrelated obligations; and, the use of economic coercion to
E
cause mergers. The Law prohibits five specific forms of unfair
competition: damaging competitors' goodwill; misrepresentation
with respect to goods or services; misrepresentation with respect
to the origin, manufacturer, or other features of goods or
services; the use or disclosure of someone else's trade secrets
in violation of good faith commercial practices; and, "unfair
solicitation of customers" (promotion through gifts and
lotteries),which may create difficulties for some foreign
enterprises.

The Competition Law was overhauled in 2003, introducing important
provisions that expand the competency of the Commission for
Protection of Competition (CPC),define the prohibition on misuse
of an oligopoly, and impose a single criterion for assessing the
significance of planned concentration: the aggregate turnover of
the enterprises affected by the concentration.

-------------- --------------

9. Efficient Capital Markets and Portfolio Investment
-------------- --------------

Since 1997, the Bulgarian Stock Exchange (BSE) has operated under
a license from the Securities and Stock Exchange Commission
(SSEC). The 1999 Law on Public Offering of Securities regulates
issuance of securities, securities transactions, stock exchanges,
and investment intermediaries. Comprehensive amendments to this
Law (99 in number),which were promulgated in June 2002,
establish significant rights for minority shareholders of
publicly-owned companies in Bulgaria. In addition, they create
an important foundation for the adoption of international best
practices corporate governance principles in public companies.

The infrastructure of the stock exchange has been substantially
improved, including the establishment of an official index
(SOFIX). New trading instruments (government bonds, corporate
bonds, Bulgarian Depositary Receipts, and privatization through
the stock exchange, municipal and mortgage-backed bonds, and
Bulgarian Depository Receipts) have been introduced. As a result
of appreciation of nearly all of the most actively traded issues
on the Bulgarian Stock Exchange, its capitalization more than
doubled reaching 8.4 billion BGN (about USD 5.5 billion) in 2005.
In the first six months of 2006 BSE's market capitalization
increased further reaching 9.9 billion BGN (about USD 6.7
billion). While the stock exchange has become more attractive to
investors Q fed by prospects of EU membership - it is still
facing low liquidity. To boost its liquidity, the GOB has
announced plans to sell BSE to a world-renown capital and stock
market.

The Banking System

The Bulgarian banking system has undergone considerable
transformation since its virtual collapse in 1996 and now
demonstrates both high predictability and client and investor
confidence. There are 33 commercial banks, with total assets of
39.9 billion BGN (about USD 26.6 billion) and an annual growth of
31.3 percent in November 2006 or 87 percent of the projected 2006
GDP. Approximately 34 percent of bank assets are concentrated in
three banks: Bulbank, State Saving Bank (DSK),and United
Bulgarian Bank (UBB).

Bulgaria has completed the privatization of its state-owned banks,
attracting some strong foreign banks as strategic investors.
Foreign investors drawn to the Bulgarian banking industry, include
UniCredito Italiano SpA (UCI),BNP PARIBAS, National Bank of
Greece, Societe Generale, Bank Austria Creditanstalt, American
Life Insurance Company - Consolidated Eurofinance Holdings,
Regent Pacific Group, and Citibank.

Bulgaria's banking system is highly capitalized. Reflecting
expanded lending in recent years, the average capital adequacy
ratio (capital base to risk-weighted credit exposures) for the
banking system has steadily declined from 43 percent at end-1998
to 15.21 percent in September 2006, but still remains above the
Bulgarian National Bank's requirement of 12 percent.

Government Securities

The government finances government expenditures by accessing
capital markets. In 2006, the Ministry of Finance held only
three auctions of Treasury bills - in January, March and
September. The bills are typically short-term (3-month, 6-month
and 1-year maturities). Commercial banks are the primary
purchasers of these instruments, while pension funds and
insurance companies participate mainly in the secondary market.
Foreign banks can participate in the treasury market only through
a Bulgarian bank or the branch of a foreign bank, which is
licensed in Bulgaria. The foreign bank transfers the money,
which is then converted into Leva to make the purchase, which
must be registered with the Ministry of Finance. The foreign
bank must open a Lev account (a "custody account") for
transactions. This Lev account cannot be used as a standard
deposit bank account. A foreign currency account can be opened,
but it is not obligatory.

The Investment Promotion Act defines securities, including
treasury bills, with maturities over 6 months as investments.
Repatriation of profits is possible after presenting
documentation that taxes have been paid.

Political Violence
--------------

There have been no incidents in recent years involving
politically motivated damage to projects or installations.
Rather, violence in Bulgaria is primarily criminally motivated.

Corruption
--------------

Corruption is still perceived to be one of the gravest problems
in Bulgaria's investment climate, despite the Bulgarian
government's numerous advances in laws and legal instruments.
Bulgaria ranks 57th among 159 countries included in Transparency
International's (TI) Corruption Perception Index for 2006, down
two places from 2005.

In reality, the established human trafficking, narcotics, and
contraband smuggling channels that contribute to corruption in
Bulgaria have yet to be broken, and serious efforts and political
will are still needed to carry out much-needed reforms to address
inefficiencies in the judicial system. The Bulgarian public
generally holds the police, the judiciary, customs officials, and
political parties in low regard, due to their perceived
corruption.

Bribery is a criminal act under Bulgarian law for both the giver
and the receiver. Penalties range from one to fifteen years'
imprisonment, depending on the circumstances of the case, with
confiscation of property added in more serious cases. In very
grave cases, the Penal Code specifies prison terms of 10 to 30
years. The 1996 Money Laundering Law also applies to bribes.
Bribing a foreign official is a criminal act. There have been
trials and convictions of enterprise managers, prosecutors, and
law enforcement officials for corruption. While Bulgarian tax
legislation does not explicitly prohibit the deduction of bribes
in the computation of domestic taxes, deductions connected with
bribery and other illegal activities are not allowed under the
tax code.

Bulgaria has a 1998 Law on Measures against Money Laundering and
in 1998 was one of the first non-OECD nations to ratify the OECD
Anti-Bribery Convention. Bulgaria has also ratified the Council
of Europe Convention on Laundering, Search, Seizure, and
Confiscation of Proceeds of Crime (1994) and the Civil Convention
on Corruption (1999).

The GOB's recent anti-corruption agenda included the adoption of
key international anti-corruption instruments, including:
-- signing the UN Convention against Corruption (2003);
-- withdrawing the reservations made in 2001 at the ratification
of the Criminal Law Convention on Corruption;
-- signing and ratifying the Additional Protocol to the Council
of Europe's Criminal Law Convention on Corruption; Bulgaria was
the second state to ratify this Additional Protocol.

Although the Bulgarian government has achieved some successes in
the fight against organized crime and corruption, many observers
believe that corruption and political influence in business
decision-making continue to be significant problems in Bulgaria's
investment climate.

Bilateral Investment Agreements
--------------

As of December 2006, Bulgaria has foreign investment promotion
and protection treaties or agreements with Albania, Algeria,
Argentina, Armenia, Austria, Belarus, Belgium-Luxembourg, China,
Croatia, Cuba, Cyprus, Czech Republic, Denmark, Egypt, Finland,
France, Georgia, Germany, Greece, Great Britain and Northern
Ireland, Hungary, India, Iran, Israel, Italy, Jordan, Kazakhstan,
Kuwait, Lebanon, Macedonia, Malta, Moldova, Mongolia, Morocco,
Netherlands, Poland, Portugal, Romania, Russia, Slovakia,
Slovenia, Spain, Sweden, Switzerland, Syria, Tunisia, Turkey,
Ukraine, the United States, Uzbekistan, Vietnam, Yemen, and
Yugoslavia.

Bulgaria signed a Bilateral Investment Treaty (BIT) with the
United States, which guarantees national treatment for U.S.
investments and creates a dispute settlement process. The BIT
also includes a side letter on protections for intellectual
property rights. The Governments of Bulgaria and the United
States exchanged notes in 2003 to make Bulgaria's obligations
under the BIT compatible with its EU obligations, and finalized
the process in January, 2007.

OPIC and Other Investment Insurance Programs
--------------

In 1991, the Overseas Private Investment Corporation (OPIC)
(www.opic.gov) and the GOB signed an Investment Incentive
Agreement, which governs OPIC's operations in Bulgaria. OPIC
provides project financing to U.S. investors making long-term
investments in emerging markets. OPIC also supports a number of
privately owned and managed equity funds, including a regional
fund for Southeast Europe created in 2005 for investments in
companies in Bulgaria and other Balkan countries.

OPIC provides project financing through direct loans and loan
guaranties that provide medium- to long-term financing to
ventures involving equity and/or management participation by U.S.
businesses. OPIC offers American investors insurance against
currency inconvertibility, expropriation, and political
violence. Political risk insurance is also available from the
Multilateral Investment Guarantee Agency (MIGA),which is a World
Bank affiliate, as well as from a number of private U.S.
companies.

Labor
--------------

Bulgaria's workforce officially consists of 3,281,600 highly
educated and skilled men (53 percent) and women (47 percent).
Adult literacy rate in Bulgaria is 98 percent. A high percentage
of the workforce has completed some form of secondary, technical,
or vocational education. Many Bulgarians have strong backgrounds
in engineering, medicine, economics, and the sciences, but there
is a shortage of professionals with Western management skills.
The demand for skilled managers will increase with the advent of
high technology, innovative and knowledge-based companies from
EU. The aptitude of workers and the relative low cost of labor
are considerable incentives for foreign companies, especially
those that are labor intensive, to invest in Bulgaria. Employer
tax obligations and benefits (clothing allowance, bonuses, etc.)
can add more than 50 percent to the nominal wage.

Bulgaria's Constitution recognizes workers' right to join trade
unions and organize. The National Tripartite Cooperation Council
(NTCC) provides a forum for dialogue among government,
management, and trade unions, such as cost-of-living
adjustments. The current government has substantially
revitalized the Council. A tri-partite pact for social and
economic development until 2009 was signed in 2006.

Bulgaria has two large legitimate representative trade union
confederations, the Confederation of Independent Trade Unions of
Bulgaria (CITUB) and Podkrepa ("Support"). The 2004 trade union
membership census indicates that CITUB has over 350,000 members
and Podkrepa has about 110,000 members. CITUB, the successor to
the trade union integrated with the Communist Party, has long
since severed its ties to the socialists, whereas Podkrepa is an
independent confederation. There are few restrictions on trade
union activity and the confederations operate freely, but the
workforce in smaller firms and elsewhere in the emerging private
sector is often not represented by trade unions.

Under the Labor Code, employer and employee relations are
regulated by employment contracts, which may be agreed upon
through collective bargaining. The Code addresses worker
occupational safety and health issues, establishes a minimum wage
(determined by the Council of Ministers),and prevents
exploitation of workers, including child labor. The Code clearly
delineates employer rights, strengthening management's hand in
disciplining the workforce. Disputes between labor and
management can be referred to the courts, but resolution is often
subject to delays.

Over the last three years, the Labor Code has been amended to
address labor market rigidities and bring labor legislation into
compliance with the EU social policy and employment
requirements. The amendments to the Labor Code simplify
additional work procedures, restrict mandatory leaves, and relax
procedures for implementing collective redundancies. However,
collective labor contracts at the sectoral or branch level remain
binding for all enterprises of the sector or branch. The minimum
annual paid leave is 20 days.
Neither foreign companies, nor Bulgarian companies having
majority foreign-control are exempt from the requirements of the
Labor Code. During 2002-2003, the Ministry of Labor formed the
new QNational Institute for Conciliation and Arbitration" (NICA),
which developed a framework for collective labor dispute
mediation and arbitration. NICA includes representatives from
labor, employers, and the Government, as does the roster of
mediators and arbitrators. Although NICA-sponsored collective
labor dispute resolutions are still few, a number of the
appointed mediators received basic mediation skills training from
the U.S. Federal Mediation and Conciliation Service.

Foreign-Trade Zones/Free Ports
--------------

The 1999 Customs Act renamed the six duty-free zones Qfree
zones." Foreign, including U.S., individuals and corporations,
and Bulgarian companies with 1.0 percent or more foreign
ownership may set up operations in a free zone. Thus, foreign-
owned firms have equal or better investment opportunities in the
zones compared to Bulgarian firms.

There are at present six operational Qfree zones" in Bulgaria:
Ruse and Vidin ports on the Danube; Plovdiv; Svilengrad (near the
Turkish border); Dragoman (near the Yugoslav border); and, Burgas
port on the Black Sea. They are all managed by joint stock or
state-owned companies. The government provided land and
infrastructure for each zone.
-- Plovdiv, the only inland free zone, is the most profitable,
with 24 investment projects.
-- The Burgas FTZ has the largest warehousing and automotive
distribution facilities in Bulgaria and is used by more than 100
foreign and joint venture companies including Samsung.
-- Limited manufacturing is conducted in both the Plovdiv and
Ruse FTZs.

All forms of production and trade activities and services may
take place in the free zones. Foreign, non-EU goods delivered to
the free zones for production, storage, processing, or re-export
are VAT and duty exempt. Bulgarian goods may also be stored in
free zones with permission from the customs authorities. Exports
will become less attractive for EU exporter companies as the new
VAT regime requires full price payment, VAT inclusive, before
selling it into another EU Member State. Convertible foreign
currency may be used and revenues can be transferred abroad
freely without any restrictions. Administrative procedures
relieve the investor from needing to contact local authorities
directly. Production and labor costs are low, with well-trained
and highly qualified labor available. All the zones are located
on strategic trade rail, road, and/or water trade routes.

Free trade zones in Bulgaria have attracted a number of foreign
investors, including Hyundai, KIA Motors, Schwartskopf, Henkel,
Landmark Chemicals Ltd., Group Schneider, and BINDL Energic
Systeme GmbH.

EU integration has encouraged regional authorities to attract
outside investors and spur local economic development. In
partnership with the private sector, they provide resources
(ground, infrastructure, etc.) for the development of industrial
zones and parks, which are different from FTZs as they do not
provide for any form of preferential tax treatment.
International and local investors can use the favorable factors,
such as low-cost and educated labor and easy access to the local
market, to relocate their business. Currently, the most advanced
projects are the industrial zones in Sofia, Rakovski,
Panagyurishte, Stara Zagora, Silistra, Pazardzhik and Ruse.

Foreign Direct Investment Statistics
--------------

Between 1992 and Sept. 2006, total cumulative FDI into Bulgaria
amounted to USD 17.602 billion (about 55 percent of estimated
2006 GDP). FDI in Bulgaria already exceeded $3.5 billion in Sept

2006. Bulgaria's direct investment abroad was a total of USD 258
million at end-September 2006. In the period of January through
September Bulgaria's direct investment abroad increased by USD 58
million.

FDI by Year (millions of U.S. dollars)

1992Q 34.4
1993Q 102.4
1994Q 210.9
1995Q 162.6
1996 256.4
1997Q 636.2
1998Q 620.0
1999Q 818.8
2000Q 1,001.5
2001 812.9
2002 969.7
2003 2096.9
2004 3443.4
2005Q 2,883.7
2006 Q 3,552.2 (Jan-Sep)

Total 17,602.0
(Source: Invest Bulgaria Agency)

FDI by Country of Origin 1992-2006 (Jan-Sep) (millions of USD)

Austria QQ3,018.1
Netherlands Q QQ1,845.4
Greece QQ Q1,598.2
U.K. Q1,350.3
Germany QQ1,206.3
Belgium and Luxemburg Q 898.1
Italy QQ QQ 892.3
USA * Q 782.9
Hungary Q 778.7
Cyprus Q 704.0
Czech Republic QQ 576.1
Switzerland Q 527.9
Ireland Q 355.2
France Q 310.1
Spain Q 277.1
Russia Q 232.1
Turkey Q 225.8
Denmark QQ 176.4
Sweden Q 104.7
Israel 95.7
Japan Q 61.5
Liechtenstein Q 60.1
Malta Q 59.1
Canada Q 56.1
PanamaQ QQ 45.9
SloveniaQ QQ 43.9
RomaniaQ QQ 38.7
(Source: Invest Bulgaria Agency)

* Official GOB investment statistics currently rank the U.S. as
8th in terms of overall investment in Bulgaria for the period
1992-2006 (Jan-Sep). While the Central Bank credits the U.S.
with investments at the rate of $40-$50 million per year in the
last eight years, this data is incomplete as many US investors
establish European subsidiaries to manage their investments in
Bulgaria.

FDI by Sector 1998-2005 (millions of USD)

Financial activitiesQQQQ 2,287.2
Trade and repairsQQQQ 1,695.7
Telecommunications QQQQ 1,621.1
Electricity, gas and waterQQQ 1,033.4
Real estate and business activitiesQ 832.8
Petroleum, chemical, Rubber PlasticQ 612.4
Mineral products (cement, glass)QQ 536.8
Construction QQQQQ 373.6
Food productsQQQQQ 282.9
Textile and clothingQQQQ 253.7
Wood products, paperQQQ 191.8
Hotels and restaurantsQQQ 191.8
Machine-buildingQQQQQ 191.8
Metallurgy and metal productsQQ 166.3
TransportQQQQQQ 131.8
Electrical eng., electronics, computers 135.4
MiningQQQQQQ 84.3
Agriculture, forestry and fishingQ 23.6
Leather and leather productsQQ 22.4
PublishingQQQQQQ 16.5
Vehicles and other transport equipment 9.8

(Source: Invest Bulgaria Agency)

Selected 2005 Foreign Direct Investments

(Investor, Country, Sector, Bulgarian Firm, USD millions)
-- CEZ, Czech Republic, energy, West electricity distribution,
366
-- OTP, Hungary, finance, DSK Bank, 363.7
-- EVN, Austria, energy, Southeast electricity distribution, 352
-- E.ON, Germany, energy, Northeast electricity distribution, 183
--OTE, Greece, telecommunications, Cosmo Bulgaria Mobile, 173.9
-- Sisecam, Turkey, glass industry, Greenfield glass plant, 160--
Pireusbank, Greece, banking, Evrobank AD, 62.6
-- Miroglio, Italy, textile, Miroglio Bulgaria, 50.2
-- Umicore, Belgium, metals, Umicore Med, 48.1
(Source: Invest Bulgaria Agency)

--------------

10. Web Resources
--------------

www.usembassy.bg
www.investbg.government.bg (Invest Bulgaria Agency)
www.opic.gov
www.exim.gov
www.ustda.gov