LOCAL NEWS

MYSTERY HANGS OVER SEPTEMBER 1999 BLASTS

MOSCOW — In the early hours of Sept. 9, some 400 kilograms of explosives ripped apart a nine-story apartment building on Ulitsa Guryanova in southeastern Moscow, killing 94 people.

Five days later, another powerful blast destroyed an apartment building on Kashirskoye Shosse in southern Moscow, killing 124.

The bombings came after a blast outside a five-story apartment building in Buinaksk, Dagestan, killed 64 on Sept. 4, and were followed by a truck explosion outside a nine-story apartment building in Volgodonsk, in the Rostov region, that killed 17 on Sept. 16.

Ten years later, doubts linger about the official version of the atrocities, dubbed the “black September” of 1999.

GRAFT, RED TAPE DENT RUSSIA'S RATINGS

MOSCOW — Despite regulatory reforms, Russia got poor marks in terms of competitiveness and the ease of doing business, with corruption considered the biggest problem, according to two global reports released Tuesday.

Russia ranks 120th in the World Bank’s annual “Doing Business” report, which evaluates laws and regulations that affect business activity in 183 countries.

Plot Thickens Over Israeli PM's Secret Visit to Russia

JERUSALEM — The plot thickened on Thursday over a secret trip by Israel’s prime minister, as his office admitted it had misled the public about his whereabouts but did not deny reports he had stolen away to Russia to discuss arms sales to Iran.

“The prime minister was busy with a confidential and classified activity,” Benjamin Netanyahu’s office said in a statement.

NATIONAL NEWS

ALEXANDRINSKY THEATER TO GET SECOND STAGE

The city’s Alexandrinsky Theater, which boasts one of the largest drama troupes in Europe, will be receiving a new, state-of-the-art second stage within the next few years, said Valery Fokin, the company’s artistic director.

Speaking at the Council for the Preservation of the Historical Legacy of St. Petersburg, Fokin said the construction of the second stage has been tentatively scheduled to begin in 2010. The venue will be equipped with a unique internet studio which will be the only one of its kind in Europe.

“With this new venue, we are really talking about a brand-new, modern cultural center,” Fokin told reporters on Thursday.

CHAVEZ RECOGNIZES BREAKAWAY REGIONS

MOSCOW — Venezuela will recognize Abkhazia and South Ossetia as independent states, President Hugo Chavez announced during a meeting with Dmitry Medvedev in Moscow on Thursday.

“Venezuela joins in recognizing the republics of Abkhazia and South Ossetia as independent states,” Chavez said. “We will recognize these two republics starting today.”

Abkhazian President Sergei Bagapsh expressed his thanks to Chavez on Thursday for recognizing the two republics.

KADYROV'S EUROPEAN PLANS CAUSE STIR

MOSCOW — Chechen President Ramzan Kadyrov caused a stir in some European capitals on Wednesday after his press service announced that Chechnya would open representative offices in six European countries.

Chechnya’s Information Ministry later retracted the statement, saying the republic planned to open cultural centers abroad, not political representative offices, which it said would be unconstitutional.

POLICE SEARCH FOR PULKOVO AIRPORT HOAXER

Police are searching for a person who made a hoax call to Pulkovo airport at around 9 a.m. on Thursday morning claiming that a plane was carrying a bomb as part of a planned terrorist attack.

TESTS OF NEW H1N1 SWINE FLU VACCINE BEGIN

The St. Petersburg Scientific Flu Institute on Thursday began testing a vaccine against H1N1 flu that was developed in St. Petersburg.

On Thursday morning the Institute’s specialists selected 30 volunteers for testing of the vaccine, which was administered through the nose.

YOUNG DRUG USERS CALLED MAJOR THREAT

MOSCOW — President Dmitry Medvedev on Tuesday called drug abuse among young people a threat to national security and ordered the government to craft a program against illegal drugs that would introduce tougher penalties for drug-related crimes.

LOCAL BUSINESS

LONDON'S LORD MAYOR VISITS CITY

The Lord Mayor of the City of London, Alderman Ian Luder, is leading a business delegation visiting St. Petersburg this week with the aim of strengthening business and economic links between Russia and the U.K.

The 15-strong delegation, which began its visit to St.

BY JEFF GREEN, CHRIS REITER AND ANDREAS CREMER

MOSCOW — The economy shrank the most on record in the second quarter as plunging capital investment triggered a slump in industrial production and companies struggled to raise funds, the State Statistics Service said Wednesday.

OPINION

NO MORE GRIST FOR THE DIPLOMA MILLS

For many years, the Soviet Union was considered one of the most educated countries in the world. In 1991, the United Nations Educational, Scientific and Cultural Organization, or UNESCO, ranked higher education in the Soviet Union as the third best. But by 2007, Russia had dropped to 27th place.

INFRASTRUCTURE BONDS: A NEW PANACEA?

Russia’s infrastructure problems are legendary. A few statistics can easily illustrate the problem. Canada, with barely 20 percent of the population, has three times more highways than Russia.

CULTURE

VOICE OF AN EXILE

The contribution of record label owner and radio presenter Leo Feigin to bringing Soviet avant-garde jazz music to both international and Russian audiences cannot be overestimated.

Launched in 1979, his U.K.-based Leo Records label released more than 500 discs by highly innovative artists, including The Art Ensemble of Chicago, Sun Ra and Cecil Taylor, and it was through his label that such groundbreaking Soviet acts as the Ganelin Trio and the late Sergei Kuryokhin became available to the world.

MINI MISHAP

Cafe Mini must be one of the few dining spots in St. Petersburg where, if you get carried away, you can run up a bill of tens of thousands of euros. The temptation comes not from a superlative wine list or luxury fare, but from the shiny Mini Cooper automobiles on display — and available to buy — in the showroom in which the caf? is located.