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UNCLAS SECTION 01 OF 03 BERLIN 000170 
 
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 IR UP EU
SUBJECT: MEDIA REACTION: IRAN, UKRAINE, EU;BERLIN 
 
¶1.   Lead Stories Summary 
¶2.   (Iran)   Nuclear Program, Opposition 
¶3.   (Ukraine)   Outcome of Elections 
¶4.   (EU)   Deficit Worries 
 
 
¶1.   Lead Stories Summary 
 
ZDF-TV's early evening newscast Heute opened with a story on the 
dispute over nuclear power and ARD-TV's early evening newscast 
Tagesschau opened with a story on the dispute between the CDU and 
SPD over unemployment policy.  Frankfurter Allgemeine and Die Welt 
led with the outcome of the elections in Ukraine.  Berliner Zeitung 
and Tagesspiegel led with stories on the FDP's policy on nuclear 
energy.  Many newspapers led with stories on today's landmark 
decision by the Constitutional Court on social benefits.  Editorials 
focused on the outcome of the elections in Ukraine, the FDP's crisis 
meeting, and the labor market. 
 
¶2.   (Iran)   Nuclear Program, Opposition 
 
ZDF-TV's Heute (2/8) newscast reported that "the nuclear dispute 
with Iran is escalating" after Iran formally told the IAEA it would 
begin producing 20 percent enriched uranium as of today. 
Sddeutsche (2/9) headlined "Iran increases uranium enrichment" and 
noted: "With it, Iran realizes the escalation President Ahmadinejad 
threatened over the weekend."  While the world is looking for 
solutions, Iran is gambling for time and continues its nuclear 
program," ZDF-TV's Morgenmagazin stated.  Die Welt headlined: 
"[Chancellor] Merkel prepared for tougher approach on Iran." 
Handelsblatt headlined "IAEA: Iran can enrich uranium only with 
foreign help," noting: "Tehran's project continues to cause quite a 
stir.  However, experts point out that the mullah regime will face 
technical problems."  Tageszeitung headlined: "Iran wants to enrich 
uranium, giving in still possible," adding in the report: 
"Regardless of the massive criticism by the international community, 
Iran wants to enrich uranium to 20 percent." 
 
Tagesspiegel (2/9) commented: "The Munich Security Conference is 
probably the turning point of Iran's relations with the 
international community.  Until the weekend, Tehran's western 
interlocutors were prepared to believe that Iran was to some extent 
willing to reach a compromise in the dispute over the nuclear 
program.  This phase is over after the game the conciliatory Mottaki 
and the hardliners in the president's office played over the 
weekend.  Apart from China, all powers at the UN Security Council 
now doubt that that the Iranian government is honest and assume that 
they are not interested in the civilian use of nuclear power, but 
want to construct a nuclear bomb.  Quick and tough trade sanctions, 
the establishment of comprehensive missile defense systems in 
neighboring countries and a universal restriction on the freedom of 
Iranian diplomats to travel will be the result.  The Iranian people 
will probably particularly suffer under these measures.  Rulers of 
dictatorships know how to live a sweet life.  However, a war against 
Iran would hit the people even worse, without guaranteeing that such 
an attack could completely destroy the nuclear plants." 
 
Berlin-based tabloid B.Z. (2/9) editorialized: "The Tehran mullahs 
are increasing their aggressive policy unrestrainedly.  First, they 
suppress  the freedom movement with blood and execute its leaders. 
Then, they announce the production of weapons-grade uranium. 
Yesterday, they began to mass produce drones that can reach Israel 
and are, simultaneously, developing an air defense system.  And 
everybody is watching them without taking action: the UN, NATO, the 
U.S. and the EU.  What can the people of Iran hope for?" 
 
¶3.   (Ukraine)   Outcome of Elections 
 
All papers (2/9) carried reports on the outcome of the presidential 
 
BERLIN 00000170  002 OF 003 
 
 
elections in Ukraine.  Frankfurter Allgemeine headlined: "Yanukovich 
Winner of the Presidential Elections in Ukraine."  Sueddeutsche 
carried the headline: "Tymochenko Concedes Defeat," and reported 
that "it is right that Tymochenko wanted to upgrade everything 
Russian, but, in the end, she lacked the necessary votes from 
western Ukraine where Yanukovich fought her very hard.  Many 
disappointed supporters of the orange revolution did not show up at 
the ballots.  According to media in Kiev, Tymochenko failed 
especially because she did not present a plan on how to overcome the 
consequences of the financial crisis."  Die Welt headlined: "Runoff 
Elections in Ukraine: Blue Wins Over Orange," while Financial Times 
Deutschland headlined: "Ukraine Heading For New Power Struggle." 
 
Handelsblatt (2/9) dealt with Ukraine's financial situation and 
argued: "Compared to the mostly home-made problems in Ukraine, the 
concerns about the financial stability of Greece or Portugal are 
almost ridiculous.  The biggest country in Europe is threatened with 
state bankruptcy.  The IMF has stopped the payment of an emergency 
loan until political stability is visible.  And how many private 
donors are now willing to grant a country at the abyss additional 
financial means?  Standard & Poors no longer ruled out a default 
scenario for Ukraine yesterday.  It is everything but certain that 
Ukraine will find greater stability after the elections." 
 
Frankfurter Allgemeine (2/9) focused on the future role of Julia 
Tymochenko and argued: "it is not nice, but also it is not a 
disaster that Julia Tymochenko has now been defeated in a fair 
election campaign by Victor Yanukovich, who wanted to come to power 
four years ago with lies and deception.  Tymochenko would do her 
country a great service if she accepted the defeat and would then 
enter the opposition benches in a constructive way.  But over the 
past few months, Julia Tymochenko's behavior has raised doubts about 
whether she is really ready to pass this test.  It is likely that 
she would be the better president for a democratic Ukraine than 
Yanukovich, but now she must prove that she is the better opposition 
leader." 
 
Sueddeutsche Zeitung (2/9) opined under the headline: "Defeat in 
Orange" that "Victor Yanukovich profited from the fierce lasting 
controversy between the former allies Yushchenko and Julia 
Tymochenko.  Now Yanukovich's moment has come.  He has indicated 
that Ukrainian sovereignty has absolute priority.  It may be 
possible that he will now become an even more uncomfortable partner 
for Russia than Yushchenko and Tymochenko.  The oligarchs behind 
Yanukovich have been trying to move closer to the EU for quite some 
time. 
 
Financial Times Deutschland (2/9) editorialized under the headline: 
"The Lesser Evil," and judged: "As a matter of fact, there is no 
reason for the West to regret the outcome of the presidential 
elections in Ukraine. On the contrary, unlike in 2004, there have 
been no reports on electoral fraud...and many of government leader 
Tymochenko's proposals were evidence of desperate populism rather 
than responsible governance.  At the same time, the many votes for 
Tymochenko demonstrate in an unmistakable way that a great number of 
Ukrainians stand behind the democratization process.  Yanukovich 
still has to show whether he has changed to the camp of democrats. 
As president he must now stick to new rules of the game, including 
the respect for the office of prime minister, and not call for her 
resignation, as he did yesterday.  Europe must be worried only if he 
does more than making such abuses.  But if he respects the balance 
of forces, a representative of the Orange Revolution may have lost 
the election - but not the revolution itself." 
 
According to regional daily Braunschweiger Zeitung (2/9), "the color 
orange which stands for a political new beginning and for reform, 
will fade under the new President Yanukovich.  The pro-Russian 
politician has one advantage:  For him it is not necessary to deal 
with a political superstructure of democratic hopes.  He does not 
 
BERLIN 00000170  003 OF 003 
 
 
emphasize them at all.  He is a declared NATO opponent and for him 
the promise is enough that he will do away with the mess that the 
pro-western forces created.  This could succeed for a brief period 
of time, for a convincing orange line has never been visible." 
 
Regional daily Dresdner Neueste Nachrichten (2/9) wondered: "Is 
Yanukovich the right president?  The new president bears the stigma 
of having manipulated previous elections.  But not even this stigma 
prevented the majority of Ukrainian voters to vote for him.  The 
previous rulers failed and this is too obvious.  A country such as 
Ukraine can find its place only in a balance of interest between the 
West and the East.  Yanukovich is probably the best candidate to 
achieve this goal" 
 
¶4.   (EU)   Deficit Worries 
 
Under the headline: "Confidence is Gone," mass-circulation, 
right-of-center tabloid Bild-Zeitung of Hamburg (2/9) editorialized: 
"The euro is shaking, its exchange rate as soft as wax and that is 
what speculators are waiting for.  The confidence is gone since it 
has become clear that Greece bought its membership with figures that 
were based on lies and deception.  And the euro states are almost 
powerless now.  Billions of fines as the last resort?  The Greeks 
will only smile at such a move.  They are in the red with German, 
French and Swiss banks with almost 170 billion euros.  Now it will 
become clear that the euro zone was extended too fast and too easily 
on countries that are unable to follow its tough course.  This 
should be a lesson for Brussels.  Not everyone who wants the euro 
also deserves the euro." 
 
MURPHY