Czech equities, as measured by the PX Index, were up by 0.5% in the past week and closed at 1,453.5. The overall volume of trading on the PSE reached USD 973.7m, 16.1% below its 12M weekly average of USD 1,161.1m. Erste Bank added almost 7% which was the best performance of the week. Despite better than expected 2Q08 results Komercni banka finished past week lower due to aggressive selling towards the end of the week. The fact that CNB cut interest rates by 25bps to 3.5% was also negative. Ongoing selling pushed Unipetrol’s price below CZK 200. The biggest drop - almost 13% - was seen on developer ECM. Orco declined also after Moody’s cut its rating to Caa1 from B3 with review for further cut. The most actively traded listing CEZ decreased during last week by 2.7%. Zentiva announced quarterly numbers below market expectations, however it closed the weekly session almost 1% stronger. Reporting season continues. There are Unipetrol’s and CEZ’s reports this week. We expect Unipetrol to post net profit of CZK 406m and CEZ should reach net profit of CZK 10.3bn according to our estimates.