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Viewing cable 08SANTIAGO1114, CHILE MEDIA REPORT - DECEMBER 18

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Reference ID Created Released Classification Origin
08SANTIAGO1114 2008-12-18 17:34 2011-08-25 00:00 UNCLASSIFIED Embassy Santiago
VZCZCXYZ0005
RR RUEHWEB

DE RUEHSG #1114/01 3531734
ZNR UUUUU ZZH
R 181734Z DEC 08
FM AMEMBASSY SANTIAGO
TO RUEHC/SECSTATE WASHDC 4151
INFO RUEHAC/AMEMBASSY ASUNCION 3679
RUEHBO/AMEMBASSY BOGOTA 2214
RUEHBU/AMEMBASSY BUENOS AIRES 1192
RUEHBR/AMEMBASSY BRASILIA 0586
RUEHCV/AMEMBASSY CARACAS 1883
RUEHPE/AMEMBASSY LIMA 5859
RUEHMN/AMEMBASSY MONTEVIDEO 4154
RUEHQT/AMEMBASSY QUITO 2034
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHDC
RHEHNSC/NSC WASHDC
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC
UNCLAS SANTIAGO 001114 
 
SIPDIS 
 
STATE FOR R/MR, I/PP, WHA/BSC, WHA/PDA, INR/IAA 
 
E.O. 12958: N/A 
TAGS: KMDR KPAO PGOV ECON PREL SNAR EFIN CI
SUBJECT:  CHILE MEDIA REPORT - DECEMBER 18 
 
Lead Stories 
------------ 
1.  Dailies highlighted the drop in the price of oil, which is 
likely to generate a significant drop in electricity bills and other 
utilities.  Dailies also highlighted a photograph taken of President 
Bachelet during an early morning swim in Brazil, where she was 
attending a regional conference; this reigniting the debate over the 
right to privacy. 
 
U.S.-Related News 
----------------- 
2.  A delegation of three U.S. Congressmen who visited Chile talked 
about the crisis in the automobile industry in the United States. 
Democratic New York Representative Gregory Meeks said that the 
temporary US$14 billion that President Bush authorized for the 
automobile industry will suffice until Congress approves the bailout 
plan.  "It will be enough to give assurance that the industry will 
not disappear and that we will make sure it succeeds," said Meeks. 
The three Congressmen concurred that the American people want a 
prompt solution to the situation of this particular industry. 
"People believe that if the bankruptcy of the automobile industry 
were to occur... it would have wider implications for the economy as 
a whole, which would be very destructive," said Wisconsin Republican 
Congressman Paul Ryan.  As to Congressional approval of the Treasury 
Department's bailout plan, Ryan said, "We felt we needed to prevent 
the collapse of the entire financial system.  But now we are moving 
toward specific industry sectors and companies, which for some of us 
is a concern, because the system was designed for the financial 
system from a wider perspective." 
 
3.  Congressman Meeks emphasized that this is not about bailing out 
all companies at risk, but he underscored that it is important to 
rescue automobile manufacturers because approximately 5 million jobs 
depend on it.  The three Congressmen met with Minister of Interior 
Edmundo Perez-Yoma and with other government officials and business 
representatives.  "We are here because of the great relationship 
that Chile and the United States have and to the success of the Free 
Trade Agreement....  We believe that the relationship between both 
of our countries can serve as an example for all of Latin America," 
said Meeks (Diario Financiero, business and financial, circ. 30,000, 
12/18). 
 
4.  Figures published on Tuesday by the (Foreign Ministry) Economic 
Relations Bureau show that trade between both countries has 
increased 155% since the treaty came into effect. The United States 
is Chile's principal commercial partner, with a 15.2% share of 
Chile's commercial exchange (Diario Financiero, 12/18). 
 
Local 
----- 
5.  Standard & Poor's retained Chile's foreign debt ratings at AA+ 
due to its low fiscal debt and economic flexibility.  This is the 
highest ratings in Latin America (El Mercurio, conservative, 
influential newspaper-of-record, circ. 129,000, 12/18). 
 
6.  National Prosecutor Sabas Chahuan inaugurated the First Latin 
American Summit of Public Ministries against the Trafficking of 
Persons (La Nacion, government-owned, editorially independent, circ. 
4,200, 12/18). 
 
7.  An Ipsos December poll shows that approval for Bachelet is now 
56.8%.  This is 10 points higher than the August poll.  The rate of 
approval for the government, on the other hand, is only 38.8%, and 
the rate of disapproval is 57.6%; 44% believe the country "is moving 
in the right direction," and 48.1% believe it is not.  The daily 
indicates the approval for Bachelet is grounded on the perception 
that the President is "natural," "unassuming" (not ostentatious), 
can relate to people, and has the capability to face an array of 
situations (La Nacion, 12/18). 
 
Cuba 
---- 
8.  OAS Secretary General Jose Miguel Insulza met yesterday with 
Cuban President Raul Castro in Brazil to discuss Havana's accession 
to the Rio Group and possible incorporation into the OAS.  Castro, 
however, was clear in that Cuba would never join the OAS, adding 
that the entity "must disappear" (El Mercurio, 12/18). 
SIMONS