VZCZCXYZ0005
PP RUEHWEB

DE RUEHVI #3503/01 3411157
ZNR UUUUU ZZH
P 071157Z DEC 06
FM AMEMBASSY VIENNA
TO RUEHC/SECSTATE WASHDC PRIORITY 5742
RUEKJCS/OSD WASHDC PRIORITY
RHEHAAA/WHITEHOUSE WASHDC PRIORITY

UNCLAS VIENNA 003503 
 
SIPDIS 
 
SIPDIS 
 
DEPT FOR EUR/AGS, INR/EU, AND EUR/PPD FOR YVETTE SAINT-ANDRE 
 
OSD FOR COMMANDER CHAFFEE 
 
WHITEHOUSE FOR NSC/WEUROPE 
 
 
E.O. 12958: N/A 
TAGS: KPAO AU OPRC
 
SUBJECT: AUSTRIAN MEDIA HIGHLIGHTS: December 06, 2006 
 
 
No Government until Christmas 
 
Although coalition talks between the SPOe and the OeVP continue 
today, the formation of a government by Christmas is becoming 
increasingly unlikely. A range of issues is still up for discussion, 
including foreign and education policies and the controversial 
Eurofighter deal. On ORF radio, SPOe floor leader Josef Cap said he 
doubted a new cabinet would be presented by the end of the year, and 
blames the OeVP and its decision to suspend coalition talks for 
three weeks in November for the delay. 
Liberal daily Der Standard is reporting a "freeze" between the SPOe 
and the OeVP in the ongoing coalition negotiations. Chancellor 
Wolfgang Schuessel in a recent speech criticized what he called the 
Social Democrats' "make-a-wish" negotiation demands. The SPOe's 
ideas were not financeable, the Chancellor continued, and he was 
"not in possession of a cash cow." The SPOe meanwhile responded that 
it considers Schuessel's statements "completely misplaced." Party 
manager Doris Bures harshly criticized the Chancellor, calling him 
the "coalition bogeyman." Such a sweeping blow, she added, was 
simply "bad form." 
 
 
Haubner Decree to Remain in Place 
 
¶2. The controversial regulation issued by Social Affairs Minister 
Ursula Haubner earlier this year, which denies family benefits to 
the children of some foreign-born women, will not be lifted, despite 
massive criticism. The OeVP and the BZOe announced yesterday that 
the laws forming the basis for the regulation instead will be put to 
Parliament for review and amendment.  Haubner and Health Minister 
Maria Rauch-Kallat said at a press conference that experts would be 
looking at the about 150 hardship cases. 
Like all Austrian media, mass-circulation tabloid Kronen Zeitung 
writes that the OeVP-BZOe government's decision not to overturn the 
Social minister's controversial ruling attracted massive criticism 
from the Social Democrats and the Greens. SPOe party manager Doris 
Bures complained that with the move Chancellor Wolfgang Schuessel 
has "lost credibility. It would have been possible to axe the 
regulation with a mere stroke of the pen," Bures emphasized. The 
SPOe would not "simply stand by and watch the Conservatives and the 
BZOe postpone a solution indefinitely," she added. The Greens 
meanwhile staged protests outside the Chancellery, pointing out that 
in their opinion "every child is equally valuable." 
 
 
EU Presidency to Freeze Turkey Talks 
 
¶3. Speaking in Brussels, Finnish EU Council President Matti Vanhanen 
said he wants to implement a proposal by the EU Commission to put on 
partial hold the Turkish EU membership talks. As Turkey still 
refuses to comply with the so-called Ankara Protocol, which calls 
for the opening of Turkish ports to Cypriot ships and planes, "the 
Commission's proposal now forms a good basis for a Council 
decision," Vanhanen stressed. 
Semi-official daily Wiener Zeitung writes in a front-page report 
that Berlin and Paris have increased pressure on Turkey in order to 
guarantee implementation of the Ankara Protocol. German Chancellor 
Angela Merkel has suggested suspending Turkish membership talks in 
certain areas for 18 months, followed by a vote within the EU on a 
potential continuation of the entry talks. 
According to mass-circulation tabloid Oesterreich, the two major 
Austrian parties, the SPOe and the OeVP, hold equally negative views 
regarding Turkey's EU membership. The Social Democrats and the 
People's Party both argue that Turkish membership should hinge on 
implementation of necessary reforms. Further, the parties say the 
outcome of entry talks with Ankara must remain open, with a 
referendum held on its membership. Should Turkey not join the EU, a 
cooperation agreement should be concluded. 
 
 
NATO Knocking on Austria's Door 
 
¶4. At the NATO summit in Riga the Alliance declared its new Response 
Force ready for deployment. At the same time, however, NATO has been 
urging its member states to provide more troops. Now, the Alliance 
is also said to be planning to approach non-member countries 
unofficially -- reportedly including Austria -- suggesting 
participation in the force. The Austrian Defense Ministry, however, 
said Austria did not plan to take part, though a spokesman noted 
there has been no official invitation yet. 
According to reports by ORF online news and Austrian Press Agency 
APA, NATO may soon offer Austria, as well as Finland and Sweden, a 
role in the Alliance's Response Force, newspaper reports in 
Stockholm and Helsinki suggest. Neutral Austria and Ireland, as well 
as non-aligned Sweden and Finland, have been taking part in NATO's 
Partnership for Peace (PfP) since 1995. Ahead of the Riga summit at 
the end of November, sources said individual NATO states including 
the US planned to offer certain states more extensive cooperation. 
On Tuesday afternoon, however, a negative response came from Vienna 
Defense Ministry spokesman Martin Brandstoetter. He said that "from 
an Austrian point of view there is no plan to take part." In any 
case there had been "no formal invitation."  The NATO Response Force 
(NRF), with a total of 25,000 personnel, has been built up over the 
past four years. The force, with a mobilization time of no more than 
five days, will take over civilian duties, but also classical combat 
missions. Its mobilization time will be no more than five days. 
 
 
 
 
 
Iraq Study Group to Present Report 
 
¶5. In the US, the bipartisan expert group reviewing policy in Iraq 
will issue its report today. The Iraq Study Group of ten former 
senior officials is expected to recommend a gradual withdrawal from 
Iraq of US troops over the next 18 months. The group is also 
expected to support a regional conference on Iraq involving Syria 
and Iran, and call for a comprehensive Middle East peace plan. 
Mass-circulation daily Kurier writes that the group headed by former 
Secretary of State James Baker is trying to present a way for the US 
 
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to get out of the Iraq impasse. While many hope the Commission's 
report will provide some kind of "miracle plan," the Kurier says, it 
is doubtful whether US President Bush will implement the group's 
proposals. According to ORF radio news Morgenjournal, President Bush 
has indicated he will look closely at the recommendations, but not 
necessarily follow them. Centrist daily Die Presse online, however, 
argues that in the face of mounting violence in Iraq, the US 
President is increasingly under pressure to change his strategy. 
 
 
Gates Outspoken on Iraq 
 
¶6. The US Senate's Armed Services Committee voted unanimously to 
recommend Senate confirmation Robert Gates as the next US Defense 
Secretary. At his hearing yesterday, Gates presented a critical 
 
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assessment of the Iraq situation, and told the panel the US was "not 
winning" there. The current situation in Iraq was "not acceptable," 
he said, and urged a change of course in Washington's Iraq policy. 
ORF radio early morning news Morgenjornal quotes Robert Gates as 
stressing that "developments in Iraq over the next year or two will, 
I believe, shape the entire Middle East, and greatly influence 
global geopolitics for many years to come. We need to work together 
to develop a strategy that does not leave Iraq in chaos." According 
to liberal daily Der Standard, the designated Pentagon chief also 
underscored all options were on the table, and that he was "open to 
alternative suggestions." His comments have been welcomed by 
Republicans as well as Democrats, who said Gates' statements were 
"refreshingly" new in tone. Gates' confirmation is considered 
certain. Washington correspondent for centrist daily Die Presse 
Norbert Rief meanwhile argues that Gates' outspoken and realistic 
approach could indicate an imminent change of course in the White 
House's Iraq policy. 
McCaw