This year, Luxemburg is marking its centennial anniversary. As this milestone approached, the Luxemburg Centennial Committee has been working to make the occasion one to remember through celebratory events and commemorative activities that include a corn roast, heritage stock car races, music, food, kids games and much more. Events are scheduled to honor a community that is hardworking, committed, progressive and rich in history.

This weekend, there will be a wide variety of events for young and old, celebrating Luxemburg’s past and present. Luxemburg, a village of approximately 2,100 residents, was named for the first settlers who came from the Grand Duchy of Luxembourg. In the past century, Luxemburg has grown from a small settlement to the thriving village that will be on display for the centennial celebration.

During the weekend, people can view antique displays by private collectors, as well as an antique car and tractor display. Following the historical theme, children can play a variety of games and experience toys that were popular a century ago — including Gracies, jacks, hoop and roll, Jacob’s ladder and egg races.

Visitors will also have an opportunity to learn about Luxemburg’s history and settlers during cemetery walks at St. John Lutheran Church Cemetery and St. Mary’s Catholic Church Cemetery. There will be a self-guided walking tour or guided hay wagon tour of 56 sites of the village’s first businesses.

Although Luxemburg is small it has a big reputation for thinking progressively, offering a nice blend of recreation, education and cultural opportunities for the entire family. The Luxemburg Centennial Committee encourages people to learn about this thriving community — its past, present and future.

According to Jean Meyer, the President of the Association des banques et banquiers à Luxembourg, the country is not being adversely affected by the sub-prime financial crisis that is affecting other markets world-wide.

Mr Meyer and the association’s director, Jean-Jacques Rommes, addressed the press yesterday and stated that the operational result for banks in the Grand Duchy for the first six months of the year amounted to 3,244 billion euro which shows a slight drop of 1.8% over the corresponding period last year. While revenue from interest grew by 27% from inter-bank business, the income from commissions fell.

Luxembourg’s head of state, Grand Duke Henri Albert Gabriel Felix Marie Guillaume arrived at the Beijing Capital International Airport on Monday afternoon for the upcoming Olympic Games.

Grand Duke Henri will attend the Opening Ceremony of the Beijing Olympic Games and other relevant activities, according to sources with the Chinese Foreign Ministry.

Luxembourg’s top energy companies recently announced a plan to merge and create a national champion capable of competing with European peers and adapting to the liberalization and consolidation of the sector.

The new company, with annual sales of over 2 billion euros, would be formed through the merger of CEGEDEL CEGK.LU, the Grand Duchy’s main electricity provider, SOTEG, a local gas supplier and Saar Ferngas (SFG), a German gas distribution company.

“Today, only integrated, international operating utilities with a certain scale have the critical mass to survive the sector consolidation and remain independent,” a statement issued by the companies and the Luxembourg government said.

“CEGEDEL, SFG and SOTEG are particularly exposed to these adverse market conditions as the three companies are rather small in size and only serve markets comparatively small in size and volume.”

The main shareholders will be the state of Luxembourg with 28.3 percent, ArcelorMittal with 25.3 percent, Germany’s RWE with 19.8 percent and E.ON with 10.8 percent as well as France’s Suez with 5.1 percent.

The deal requires an unconditional clearance by competition authorities.

Listing activities, the core business of the Luxembourg Stock Exchange, continued to grow at a steady pace throughout the first six months of 2008.

The number of quotation lines at the Luxembourg Stock Exchange reached 48,067 on 30 June 2008. This represented an increase of 5.47% over six months and 11.58% over 12 months. Listings on the regulated market amounted to 43,226 on the EU regulated market, while 4,841 securities were listed on the Euro MTF market.

Listed securities were made up of the following: 32,818 bonds, 297 Luxembourg and foreign shares and certificates (including 229 Depositary Receipts), 7,750 investment funds (including 7,584 Luxembourg funds), and 7,202 warrants.

In an increasingly competitive environment, the Luxembourg Stock Exchange remains the leading centre for the listing of international securities in Europe.

A comprehensive report outlining the European funding landscape, published yesterday (10 July) by the European Fund and Asset Management Association (EFAMA), confirms the disproportionately large share of European funds received by tiny Luxembourg and Ireland in comparison with the size of their national markets for investment funds.

The report finds that while France, Germany, the UK and Italy top the league in terms of size of national markets for investment funds, reflecting the importance of the respective domestic savings markets, Luxembourg leads the way in terms of domiciliation, with 24.4% of the European market share, ahead of France (19.8%), Germany (13.5%), the UK (10%) and Italy (5.1%).

Vodafone has won a key legal battle against the UK tax authority, HM Revenue and Customs, in a judgment that has cast major doubt on the compatibility of the UK’s controlled foreign companies (CFC) regime with European Union law.

Mr Justice Edward Evans-Lombe ruled in the High Court on 4th July that Vodafone does not have to pay UK corporation tax on income attributed to its Luxembourg holding company Vodafone Investments Luxembourg Sarl (VIL). Consequently, he ordered HMRC to shut an ongoing tax inquiry into Vodafone’s tax for the year to March 2001.

Vodafone has estimated that the court victory has saved it more than GBP2bn (USD4bn) in tax and interest that it might have been ordered to pay had the judgment gone against the company. However, the ruling also has ramifications that go much wider than Vodafone’s corporate arrangements, and several UK-based multinationals with subsidiaries in favorable EU tax jurisdictions such as Ireland, Luxembourg and the Netherlands, who are said to be under a similar type of scrutiny from HMRC, are likely to be breathing a sigh of relief as a result.

Royal BAM wins tunnel contract in Luxembourg

Wayss & Freytag Ingenieurbau and Galère - both operating companies of Dutch builder Royal BAM Group nv - have been awarded a joint-venture contract for the construction of the Stafelter road tunnel in Luxembourg. The project value amounts to €88 million, of which 75 percent for BAM. Client is the ministry of Public Works. The construction period will be 48 months. The project is part of the Route du Nord (A7) between Luxembourg City and Mersch.

Luxembourg prime minister Jean-Claude Juncker said Thursday that the financial crisis isn’t over yet, and said he is ‘worried’ about the effects of the poor state of the U.S. economy.

In an interview on French radio station Europe 1, Juncker, who is also chairman of the Eurogroup, said ‘I’m worried. I believe that the financial crisis isn’t over.’

Juncker added that the ‘European economy is doing much better than the American economy.’ Juncker reiterated his view that that the euro is playing a part in protecting Europe’s economy.

‘Europe is withstanding this external shock and it would withstand it less if it didn’t have the common currency. It protects us from external shocks, from the terrible rise in oil prices,’ Juncker said.

‘If the euro didn’t exist…gas prices at the pump would be 20 percent to 30 percent higher,’ Juncker said. As is his habit, Juncker declined to say what level the euro should trade at versus the dollar. Rather he merely expressed the view that ‘exchange rates should better reflect the economic fundamentals’ while criticizing ‘the sharp movements that we’ve seen.’

The euro hit record highs against the dollar in late April of more than $1.60, but has moved sharply lower this week. Thursday morning it was slightly below $1.53.

Luxembourg cyclist Kim Kirchen claimed the biggest win of his career with victory in pouring rain in the Fleche Wallonne classic race in Huy, Belgium, on Wednesday.

The 29-year-old, competing for the High Road team, edged out Cadel Evans of Australia — who was just 0.01 seconds back as runner-up — with a daring late attack on the daunting final climb of the 199.5 kilometer (124 mile) race.

Italy’s Damiano Cunego claimed third ahead of Dutch riders Robert Gesink and Thomas Dekker, and Italy’s two-time champion Davide Rebellin — who all finished 0.02 off the winning pace.

“I tried the same tactic of a late attack in 2005 and I could only take second, but now I’m stronger.” Kirchen, who finished in a time of 4 hours, 35 minutes and 29 seconds, told reporters.

“First I followed Davide Rebellin on the final climb because he always calculates his strength well. I was worried I might have left my attack too late, but it turned out I had calculated just right.”

Kirchen, the first cyclist from Luxembourg to win the event, said he had been boosted before the race by two stage victories in the Tour of the Basque Country earlier this month.

“I was always close last year, but after the Basque Country wins I felt more motivated and sure of my chances,” he said.

Kirchen was part of a 20-strong group which broke away at the midway point in blustery conditions, before Sweden’s Gustav Larsson, Germany’s Fabian Wegmann and then Russia’s Alexandre Efimkin hit the front.

Larsson fell five kilometers from the line, then Wegmann was caught with 500 meters to go on the final climb — a 20 percent gradient — and Kirchen took the chance to bolt into the lead ahead of Evans, the 2007 Tour de France runner-up.

Kirchen, who was seventh in Le Tour last year, added the victory to his wins in the 2003 Paris-Brussels and the 2005 Tour of Poland.

“I did the same as last year, only that this time I was stronger,” said Kirchen, beaten to the line 12 months ago by Italian Danilo Di Luca. Evans remained upbeat despite not winning the race.

“This result proves I am in good condition and that my first part of the season is going very well,” the 31-year-old said.