dragging on its part of the deal. Investors' concerns over the government's attempts to block UniCredito's plans to merge its two units are compounded by growing hostility towards foreign capital from two fringe parties allied with the conservatives in parliament. "Even if the hostility is only rhetoric, it is dangerous," said Roman Rewald, chairman of the American Chamber of Commerce in Poland. "It may discourage new investors who have a choice between Poland and other countries." But Zolnowski played this down. "There are some 12,000 of companies with foreign capital doing business in Poland and only two may be dissatisfied -- Eureko and UniCredito. It is all about privatisation. Other investors are satisfied, even delighted," he told reporters. Eureko has been at loggerheads with successive cabinets over control of top insurer PZU, in which it has a 33 percent stake. It demands that the state keep a promise to sell it a further 21 percent and list the company on the bourse. An arbitration panel ruled in 2005 that Poland broke an international investment treaty by refusing to cede control over PZU. But the conservatives, who took power after September elections, have appealed against the ruling. For the day's main story on Poland and UniCredito, click on ---SP 21 01 Local Time 18 01 GMT
