VZCZCXRO1564
RR RUEHAG RUEHDF RUEHLZ
DE RUEHRL #0131/01 0291510
ZNR UUUUU ZZH
R 291510Z JAN 10
FM AMEMBASSY BERLIN
TO RUEHC/SECSTATE WASHDC 6415
INFO RHEHAAA/WHITE HOUSE WASHINGTON DC
RUEKJCS/SECDEF WASHINGTON DC
RHEFDIA/DIA WASHINGTON DC
RUEAIIA/CIA WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHINGTON DC
RUCNFRG/FRG COLLECTIVE
RUEHBS/AMEMBASSY BRUSSELS 1970
RUEHLO/AMEMBASSY LONDON 0695
RUEHFR/AMEMBASSY PARIS 1212
RUEHRO/AMEMBASSY ROME 2712
RUEHNO/USMISSION USNATO 1731
RUEHVEN/USMISSION USOSCE 0894
RHMFIUU/HQ USAFE RAMSTEIN AB GE
RHMFISS/HQ USEUCOM VAIHINGEN GE//J5 DIRECTORATE (MC)//
RHMFISS/CDRUSAREUR HEIDELBERG GE
RUZEADH/UDITDUSAREUR HEIDELBERG GE

UNCLAS SECTION 01 OF 06 BERLIN 000131 
 
STATE FOR INR/R/MR, EUR/PAPD, EUR/PPA, EUR/CE, INR/EUC, INR/P, 
SECDEF FOR USDP/ISA/DSAA, DIA FOR DC-4A 
 
VIENNA FOR CSBM, CSCE, PAA 
 
"PERISHABLE INFORMATION -- DO NOT SERVICE" 
 
SIPDIS 
 
E.0. 12958: N/A 
TAGS: OPRC KMDR US AF IR HA EU ECON FR
SUBJECT: MEDIA REACTION: U.S., AFGHANISTAN, IRAN, HAITI, SWIFT, 
GREECE-EU, FRANCE;BERLIN 
 
¶1.   Lead Stories Summary 
¶2.   (U.S.)   State of the Union Address 
¶3.   (Afghanistan)   London Conference 
¶4.   (Iran)   Execution of Opposition Politicians 
¶5.   (Haiti)   Aftermath of Quake 
¶6.   (U.S.-EU)   SWIFT 
¶7.   (Greece-EU)   Bailout Program? 
¶8.   (France)   Clearstream Trial 
 
 
¶1.   Lead Stories Summary 
 
Most print media led with the Afghanistan conference in London (FAZ, 
Sueddeutsche, Die Welt); Financial Times Deutschland dealt with an 
EU rescue plan for Greece.  Other issues were the planned new 
capital requirements for banks (Handelsblatt) and a court ruling 
that declared a minimum wage in the postal sector to be invalid 
(Berliner Zeitung).  Editorials focused on the minimum wage for the 
postal sector, the Afghanistan conference in London, and President 
Obama's State of the Union Address.  ZDF-TV's early evening newscast 
heute opened with a report on the increase in unemployment, and 
ARD-TV's early evening newscast Tagesschau opened with a story on 
the Afghanistan conference. 
 
¶2.   (U.S.)   State of the Union Address 
 
All papers (1/29) carried reports on President Obama's State of the 
Union address.  The reports do not all appear on the front pages but 
some papers carry at least pictures of the President addressing 
Congress. Sueddeutsche headlined: "Back to Start - U.S. President 
Obama Admits Mistakes in his State of the Union Address and Focuses 
on a New Task: Creating Jobs."  Frankfurter Allgemeine reported 
under the headline: "Obama: Our Prime Goal are Jobs," and wrote: 
"New figures from the labor market confirmed on Thursday what 
President Obama turned into the focal point of his State of the 
Union address on Wednesday evening: the creation of jobs is the most 
important task for the political leadership in Washington."  Die 
Welt reported on its front page: "Obama Concentrating on the 
Creation of Jobs." 
 
Many papers and TV media also carried editorials. 
 
Deutschlandfunk (1/28) carried a commentary by its Washington 
correspondent Klaus Remme: "This was not a blow of liberation. 
Barack Obama delivered a speech that was much too long and remained 
below his possibilities.  Since November, [his speechwriters] have 
been working on this address, and after the election defeat in 
Massachusetts, it turned into an unfortunate dichotomy between a 
balance sheet of the work his government has accomplished and a 
political defense.  With respect to contents, Obama did not give up 
a single position.  Good so!  Healthcare reform is important and 
this is right, irrespective of whether the Democrats have 59 or 60 
votes in the Senate.  There was no other alternative than his 
economic policy last year. Everyone knows that the precondition for 
political success of the Democrats in Congress and the White House 
is a revival of the labor market, and it is ridiculous to blame this 
president for the loss of million of jobs...." 
 
Sueddeutsche (1/29) carried an editorial headlined: "The Third 
Obama," and argued: "For more than ten days, Barack Obama has known 
that he cannot make a name for his administration with the Democrats 
alone.  The by-election in Massachusetts has forced him to make 
compromises with a few Republicans and this constraint is getting 
stronger because the Democrats are ailing.  At the latest after the 
presumably horrible Democratic losses in the Congressional elections 
in the fall, the President will have to seek his majorities also 
among opposition politicians - over and over again, for each project 
or bill.  A new "third Obama" is already preparing for this changed 
 
BERLIN 00000131  002 OF 006 
 
 
political environment.  That is why he is admitting to mistakes, 
that is why he is all of a sudden cultivating a well dosed populism 
against banks and large companies.  By warming up the hearts of the 
ordinary people, the President wants to exert pressure on Congress 
and then wriggle out of intensified cooperation with Republicans in 
the name of the people.  This strategy is risky and the coming 
months will tell whether the American people will give Barack Obama 
a second chance.  Only one hour after his State of the Union 
Address, the President already sent a new message via e-mail with 
the subject line: 'I am unable to achieve it on my own.'" 
 
According to Frankfurter Allgemeine (1/29), "a year ago, Barack 
Obama was carried into the White House on a wave of enthusiasm (or 
anger at Bush).  Now a new start of his presidency is necessary. 
Even in 2009, the majority of Americans were more interested in jobs 
than in healthcare reform.  Did he pursue the wrong priorities?  In 
his sober State of the Union Address, in which he pretended to feel 
the people's concerns, and in which he criticized a political 
business of which he is a part, Obama declared the creation of jobs 
the task of the year without giving up healthcare reform.  Again it 
is the economy, and again a President can re-invent himself in the 
center." 
 
Handelsblatt (1/29) expects the Republicans to continue to act as a 
lock-step opposition and judged: "The Republicans cannot refuse to 
accept President Obama's proposals, because these are also their 
main issues and because they do not want to be made responsible for 
the loss of jobs and for a state in which the people are burdened 
with excessive debt.  But even after Obama's State of the Union 
address, there is not a great probability that a turnabout will 
succeed.  For the conservatives the prospects are too tempting to 
continue to appear as the party of 'nay-sayers.'  Over the past few 
months, this attitude resulted in victories." 
 
Berliner Zeitung (1/29) opines that "Barack Obama continues to 
deliver good speeches, but America no longer wants to listen but 
wants to see results.  The economic crisis has turned long ago into 
a crisis of the political institutions and that includes the 
president.  The lack of confidence that Barack Obama addressed in 
his State of the Union address also affects him.  But in his working 
program for his second year in office, he is bringing the priorities 
of his government in line with the problems of the people.   The 
opposition is still profiting from distrust towards Washington, but 
it is not popular.  Obama must now try to turn the blockade of the 
Republicans against the conservatives themselves.  If the economic 
recovery comes, if America sees successes, it will again listen to 
the president." 
 
Regional daily Leipziger Volkszeitung (1/29) is of the opinion that 
"that Barack Obama is trying to shift the focus on new issues.  With 
such an approach he wants to regain the initiative.  More domestic 
instead of foreign policy; this is the slogan.  He is promising the 
U.S. middle class jobs, jobs, jobs.  He is now starting an argument 
with U.S. banks to get populist approval beyond the new rules for 
this industrial sector. There would hardly be another U.S. president 
who would take a different tactical approach.  Obama has now 
definitely turned from a redeemer to a U.S. president who is 
desperately fighting for his agenda." 
 
¶3.   (Afghanistan)   London Conference 
 
All media (1/29) carried prominent reports on the London conference 
on Afghanistan.   Lead headlines included "West promises change in 
Afghanistan" (Sddeutsche), "Afghanistan: support and demands - 
London conference decides on assistance and puts pressure on Karzai" 
(Die Welt), "Westerwelle: The process of transition to the Afghans 
begins now" (Frankfurter Allgemeine).  Several outlets expressed 
skepticism over whether the "new" strategy would improve the 
 
BERLIN 00000131  003 OF 006 
 
 
situation in Afghanistan quickly.  Frankfurter Allgemeine remarks 
that the statements made in London "sound familiar" and Berliner 
Zeitung highlights: "The international community decided on a new 
beginning at the London conference - and some even believe in it." 
 
 
ARD-TV's Tagesthemen (1/28) opined: "London - a conference of 
desperados who want to end the disaster in Afghanistan as quickly as 
possible....  The international community admits that the last eight 
years of the policy on Afghanistan have been a failure.  Because 
they were unsuccessful, they are now trying something else and call 
it a change of strategy.  As often before, the prospect of success 
is uncertain." 
 
Norddeutscher Rundfunk radio of Hamburg (1/29) remarked: "Indeed, 
many decisions made in London now sound more realistic and concrete 
than those of the past...  The most important thing is that Afghans 
are now supposed to take over the responsibility for the future of 
their country.  President Karzai announced a plan to integrate the 
rank and file of the Taliban and to start reconciliation talks with 
their leaders.  This comes late, but it is the only path to create 
peace in the country.  This will be a difficult process." 
 
Ina front-page editorial, Frankfurter Allgemeine (1/29) wrote: 
"Americans and Britons never believed that Afghanistan could be 
pacified with military means alone.  In the south, they faced the 
fact much earlier than the Germans in the north that the enemy is 
also opposed to the civilian reconstruction and the stabilization of 
state structures.  This change of strategy is not as epochal as the 
German government claims it is.  The West has always been pursuing a 
dual strategy." 
 
Sddeutsche (1/29) editorialized: "The threat of withdrawal was 
necessary to get the Karzai government out of its inactivity and to 
make clear that it will soon no longer be under foreign protection. 
 This was President Obama's intention when he noted that 2011 would 
be the year when the withdrawal begins.  However, realism now 
forbids the international community and Germany to give a concrete 
timetable for the withdrawal." 
 
Under the headline "Hope in Afghanistan," Die Welt (1/29) opined on 
its front page: "The London conference on Afghanistan has reached 
results.  The goals agreed are more specific than the smallest 
denominator reached at the Copenhagen climate conference. The 
agreement of the 70 governments on such a complicated issue like 
peace in Afghanistan is in itself valuable.  The question of how 
long the agreement will hold is a different issue....  The London 
conference avoided the question of what should be done if the 
civilian measures fail.  However, we don't yet need the answer." 
 
The editorial in FT Deutschland (1/29) headlined "Attention! Ready 
to Turn!" and highlighted: "The opposition of Germans against the 
mission in Afghanistan has never been greater. The new strategy of 
the German government was therefore overdue - it has finally broken 
its silence." 
 
¶4.   (Iran)   Execution of Opposition Politicians 
 
In an editorial, Die Welt (1/29) noted: "The religious dictatorship 
is lashing out in all directions in its helpless anger and political 
helplessness.  Show trials, death threats against dissidents and 
their families - totalitarianism is now showing its full dimension 
in Iran.  Why?  Because Ayatollah Khomeini's heirs see themselves 
threatened by the greatest threat since the Islamic Revolution in 
¶1979.  This mediocre leadership team around Ahmadinejad spiritual 
leader Khamenei has not only attracted the anger of the street.  The 
Shiite religious leaders also no longer back them....    Opposition 
politician Mehdi Karrubi is predicting that the moderate forces will 
 
BERLIN 00000131  004 OF 006 
 
 
unite and save Iran.  Maybe then the answer to the question about 
who the real enemies of God are will be clarified. 
 
Berlin's tabloid B.Z. (1/29) judged under the headline; "Mullah 
Regime Cornered" that "Iran's leaders feel threatened and will no 
longer stop at anything.  The mass protests have awakened the 
regime, and these protests could be rekindled at any time.  This 
would be fatal right now because the regime will celebrate its 31st 
anniversary in two weeks.  These celebrations should not develop 
into anti-regime protests.  Show trials with death sentences are 
supposed to demonstrate power, but it is questionable whether this 
will succeed.  The hatred against the mullah regime and the longing 
for freedom is too great." 
 
¶5.   (Haiti)   Aftermath of Quake 
 
Frankfurter Rundschau (1/29) editorialized: "The first shock is over 
and the time of miracles will also end soon.  The incredible rescue 
of living victims two weeks after the catastrophe, are the last 
spectacular images of the earthquake.  We were all generous -- the 
Germans, the Europeans and particularly the United States....  In 
Haiti, like elsewhere, occupation and slavery were replaced by an 
economic colonial regime.  The domestic agriculture collapsed under 
the competition of the global market and a WTO prohibition to impose 
punitive tariffs.  Today, the farmers who fled to the slums of 
Port-au-Prince eat imported rice from the United States....  It is 
not impossible to imagine Barack Obama saying at the end of his 
second term in 2016 that his country has learned from Haiti respect 
for the rights of the poor." 
 
¶6.   (U.S.-EU)   SWIFT 
 
Under the headline: "Banking Data on Call," Sueddeutsche Zeitung 
(1/29) argued: "Money can be traced back to terrorists. That is why 
there are good reasons to check suspicious money transfers.  And 
those who do this should not be suspected of violating data 
protection and the rule of law.  But this is what the agreement 
between the United States and the EU on the transfer of data of 
European bank customers is doing.  As long as there are no 
watertight guarantees that the information that is passed on is 
exclusively used for the hunt for terrorists, that third parties 
have no access to them, and that these data will be deleted after 
use, this agreement should not enter into force.  And even if these 
concerns have been removed, it should be ratified only if the 
affected people can rely on clear and reliable laws against the 
spying on of their banking data.  The fact that the United States is 
cultivating a laxer treatment of data protection should not prompt 
the Europeans to give up their standards but to insist on them.  We 
do not ask the Americans too much when we ask them to stick to 
European rules.  The hunt for terrorists will not be impeded in any 
way, but the confidence of the people that their rights will not go 
overboard will be strengthened." 
 
¶7.   (Greece-EU)   Bailout Program? 
 
FT Deutschland (1/29) led with a report under the headline "Germany 
supposed to help Greece - Recue plans of several EU countries - 
German government denies talks."  Die Welt headlined "Greece becomes 
trauma for the euro" and Handelsblatt headlined: "Euro zone fears 
for its economic unity - difference over economic power of Euro 
countries is increasingly widening."  Frankfurter Allgemeine (1/29) 
headlined: "Debt crisis is escalating - Risks of Greece and Portugal 
reaches climax." 
 
Under the headline "Caught in the Tap," FT Deutschland (1/29) 
editorialized: "Greece has plunged the countries of the Euro zone 
into a real dilemma.  They cannot allow the bankruptcy candidate to 
become insolvent - because similar problems might then spill over to 
 
BERLIN 00000131  005 OF 006 
 
 
Portugal and Spain, which also have enormous national deficits. 
This could bust the whole currency union. However, while Europe is 
forced to work out assistance plans, it must avoid the perception 
that it is doing so....  The current insecurity of financial markets 
over the strategy of the Euro Group is hiking the interest rates for 
Greece.  Unlike warnings from European colleagues, this will force 
politicians in Athens to show more discipline.  In addition, the 
Greek government can explain tough measures better if the people 
cannot rely on help from abroad.   Europe's strategy to help Greece 
secretly has only one catch: it seems to be impossible to keep the 
strategy secret and credible." 
 
A front page editorial in Frankfurter Allgemeine (1/29) noted: "Not 
just the Greek misery poses a threat to the currency union.  It is 
therefore important that we do not prematurely look for loopholes 
for Greece.  The way we deal with Greece will be a precedent for 
future cases.  The EU cannot afford to rescue half a dozen member 
states from a looming national bankruptcy.  Minimizing the currency 
union by a few member states is also an absurd idea.  The economic 
consequences would be devastating.  The existing rules must 
therefore be applied accurately.  Not just Greece, also the growth 
and stability pact is facing an acid test.  The fact that it was 
watered down in the past is not a reason to forget it now." 
 
¶8.   (France)   Clearstream Trial 
 
Sueddeutsche (1/29) editorialized under the headline: "End of an 
Unworthy Deal," that [the acquittal for Dominique de Villepin] is a 
legal but also political blow for President Sarkozy.  For de 
Villepin, however, it could be the beginning of a return that could 
lead him to the Elyse Palace.  For the time being, only a verdict 
was pronounced and the prosecutor is likely to appeal the decision. 
The war between the two is likely to last for a long time to come. 
But for France, this trial has been a worrisome lesson: The French 
Republic continues to suffer from affairs that are taking place in 
the grey zone of politics, the economy, and the intelligence 
services.  Nevertheless, the ruling also brings good news for 
France:  The conservative camp now has a second man, in addition to 
Sarkozy, at the top - a potential candidate who is intelligent, able 
to cope with a heavy workload, experienced, and ambitious enough to 
act as a strong president.  If Socialist Dominique Strauss-Kahn 
decides to run in 2012, the left-wing opposition would also have a 
heavyweight candidate.  French voters would then have a real choice 
- a situation which other Europeans could only envy.  But for 
Sarkozy this would not be good news." 
 
"Old Rivals," headlined Frankfurter Allgemeine (1/29) and 
editorialized: "French President Sarkozy did not do himself a 
service by acting as joint plaintiff in the libel trial against his 
former Prime Minister de Villepin.  This ongoing power struggle 
using other means violated the dignity of the highest office in the 
state.  Could a now rehabilitated de Villepin turn into a serious 
rival for Sarkozy?  De Villepin no longer has many supporters in the 
party.  It is questionable whether the inner-party opposition to 
Sarkozy will concentrate on him.  All indications are that time has 
passed over de Villepin." 
 
Berliner Zeitung (1/29) and Frankfurter Rundschau (1/29) had this to 
say under the headline: "Defeat for Sarkozy" that "Now President 
Sarkozy looks like a fool.  This libel suit against his rival did 
not produce the desired result.   De Villepin can now present 
himself to the people as a victim of an overbearing president who is 
currently unpopular among the people.  De Villepin can now return to 
the political stage with his head held high.  The question is 
whether the French want to trust an aristocrat during times of 
crisis.  During this libel suit, politics showed its ugly face, as a 
world full of intrigues and lies.  In the end, both (Sarkozy and de 
Villepin) will feel the French's weariness about this." 
 
BERLIN 00000131  006 OF 006 
 
 
 
MURPHY