10 TO 30MLN. USD TO BE INVESTED IN “DVIN” HOTEL

YEREVAN, JULY 23. ARMINFO. 10 to 30mln. USD are to be invested in the
Yerevan “Dvin” hotel during the first five years, the representative
of the “Caucasian Communication Group” CJSC, which purchased the hotel
this summer, Andreas Ghukasyan told a press conference.

He accounted for the difference of the cost of the investment program
by possible fluctuations of prices for building materials during this
period. Ghukasyan pointed out that a five-star hotel complex will be
constructed on the basis of the “Dvin” hotel. He pointed out that a
specialized operators will be engaged in external management of the
hotel. According to the project, 200 rooms are to be designed instead
of the current 289. The work is to get under way this year, and the
contractor will be selected as a result of a tender. Since 2001 the
hotel has not regularly worked.

Meanwhile, the confrontation between the hotel personnel and its new
owners goes on. Ghukasyan reported that by January 1, 2004, the
hotel’s debts had amounted to 417mln. AMD (about 800,000 USD), arrears
of wages totaling 138mln. AMD. However, Ghukasyan said that 70mln. AMD
of this sum are also groundlessly claimed to be arrears of wages, but
the new owners are not going to pay them. It is noteworthy that 111
hotel staff members applied to courts and most of the claims were
satisfied. According to Ghukasyan, the former management was
deliberately accumulating arrears of wages, and the new owners intend
to appeal the court verdicts. Seventy-nine staff members have already
been dismissed. Ghukasyan reported that the “Caucasian Communication
Group” CJSC is an Armenian resident and was founded by individuals who
are Russian and Armenian citizens.