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Prague privatisation falters as credit crunch bites. Are other deals in danger

The Czech Government is widely reported to be considering suspending the privatisation of Letiste Praha, the operator of Prague Airport, if the sale offer does not reach USD4.86 billion. Worsening market conditions along with simultaneous privatisations of other major airports could reduce proceeds from the sale. The airport sale had been expected to be completed by the 2H09 and is the biggest in the government’s programme through to 2010.

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