The No. 1 euro glitch so far: Europe needs more of them

Associated Press

ROME — One week later, the photo shop on Paris’ swank Rue du Faubourg Saint Honore had a sign in its window begging customers to use checks and credit cards because it had run out of euros.

So eager were Parisians to get their hands on the new currency that the Photo Service became a de facto currency exchange and couldn’t keep enough of the new money in stock.

"We try every morning to go to the banks ourselves to get more change, but there is always a wait," said branch manager Victor Madelaine. "I simply don’t have the time."

Indeed, the biggest problem one week after the euro’s historic New Year’s debut — glitches, bank lines and one dismissed foreign minister aside — was that there weren’t enough of them to go around.

European Union officials acknowledged the problems but declared the rollout a success. They announced Tuesday that almost three-quarters of all cash transactions in the 12 countries were being conducted using euros, even though old currencies will be valid in many countries for weeks.

Retailers and banks were reporting that their businesses were returning to normal, even with post-Christmas sales starting in many countries, the EU’s executive commission reported.

Also, nearly all automated teller machines had been converted for dispensing euros, lowering the volume of cash withdrawals back to normal levels.

There still were snafus, though.

Italian bank workers upset that they had been overworked during the chaotic first days of the changeover staged another strike Monday, snarling the country’s already lagging conversion process. At Vienna’s Criminal Law Court, a prosecutor was seen kicking the vending machine because it didn’t accept 5-cent coins required for a cup of tea.

But for the most part, over the course of just a few days, europhoric Europeans were embracing the crisp pastel notes and shiny coins, and some even admitted by week’s end they were embarrassed to pay in old cash anymore.

"After nearly a week, it really is time" to switch to the euro, Berlin’s Tagesspiegel wrote in an editorial. "Waving a 100-mark ($46) bill under the nose of a cashier when you only want to buy a newspaper isn’t just embarrassing. It’s outrageous."

Getting ahold of euros, though, was easier said than done — in cities and towns alike.

"There are no problems except there aren’t enough euros," said Arturo Contreras, owner of the El Patas hostel on the edge of the Spanish farming and commuter village of Corral de Almaguer, an hour southeast of Madrid.

"The government probably thought there would be resistance or fear, but people want them."

According to prelaunch surveys, Italians wanted euros more than many other Europeans, but the transition was most problematic in Italy. Lines wound around banks and post offices as pensioners struggled to count their monthly payouts in unfamiliar denominations.

In addition, Italy provided the first euro victim, Foreign Minister Renato Ruggiero, who quit on Saturday after denouncing the government’s lackluster welcome of the new currency.

Italian political analyst Sergio Romano said he wasn’t surprised Italy had some trouble with the euro, and said that considering the cultural hurdles facing Italians, Week 1 didn’t go so badly.

Italians tend to keep a lot of cash at home and rarely use credit cards, he said. As a result, more transactions were carried out last week in cash, which complicated the changeover, he said.

Italian consumer groups also accused retailers of rounding up prices, although EU officials denied any euro-related inflation. A consortium of advocacy groups on Monday published an A-to-Z list of goods and services that had higher prices compared to a week ago, including a 16 percent hike in the cost of a gelato and a similar increase in what prostitutes were charging.

Copyright ©2002 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Business

A closing sign hangs above the entrance of the Big Lots at Evergreen and Madison on Monday, July 22, 2024, in Everett, Washington. (Ryan Berry / The Herald)
Big Lots announces it will shutter Everett and Lynnwood stores

The Marysville store will remain open for now. The retailer reported declining sales in the first quarter of the year.

George Montemor poses for a photo in front of his office in Lynnwood, Washington on Tuesday, July 30, 2024.  (Annie Barker / The Herald)
Despite high mortgage rates, Snohomish County home market still competitive

Snohomish County homes priced from $550K to $850K are pulling in multiple offers and selling quickly.

Henry M. Jackson High School’s robotic team, Jack in the Bot, shake hands at the 2024 Indiana Robotics Invitational.(Henry M. Jackson High School)
Mill Creek robotics team — Jack in the Bot — wins big

Henry M. Jackson High School students took first place at the Indiana Robotic Invitational for the second year in a row.

The computer science and robotics and artificial intelligence department faculty includes (left to right) faculty department head Allison Obourn; Dean Carey Schroyer; Ishaani Priyadarshini; ROBAI department head Sirine Maalej and Charlene Lugli. PHOTO: Arutyun Sargsyan / Edmonds College.
Edmonds College to offer 2 new four-year degree programs

The college is accepting applications for bachelor programs in computer science as well as robotics and artificial intelligence.

FILE — Boeing 737 MAX8 airplanes on the assembly line at the Boeing plant in Renton, Wash., on March 27, 2019. Boeing said on Wednesday, Feb. 21, 2024, that it was shaking up the leadership in its commercial airplanes unit after a harrowing incident last month during which a piece fell off a 737 Max 9 jet in flight. (Ruth Fremson/The New York Times)
Federal judge rejects Boeing’s guilty plea related to 737 Max crashes

The plea agreement included a fine of up to $487 million and three years of probation.

Neetha Hsu practices a command with Marley, left, and Andie Holsten practices with Oshie, right, during a puppy training class at The Everett Zoom Room in Everett, Washington on Wednesday, July 3, 2024. (Annie Barker / The Herald)
Tricks of the trade: New Everett dog training gym is a people-pleaser

Everett Zoom Room offers training for puppies, dogs and their owners: “We don’t train dogs, we train the people who love them.”

Andy Bronson/ The Herald 

Everett mayor Ray Stephenson looks over the city on Tuesday, Jan. 5, 2015 in Everett, Wa. Stephanson sees  Utah’s “housing first” model – dealing with homelessness first before tackling related issues – is one Everett and Snohomish County should adopt.

Local:issuesStephanson

Shot on: 1/5/16
Economic Alliance taps former Everett mayor as CEO

Ray Stephanson will serve as the interim leader of the Snohomish County group.

Molbak's Garden + Home in Woodinville, Washington will close on Jan. 28. (Photo courtesy of Molbak's)
After tumultuous year, Molbak’s is being demolished in Woodinville

The beloved garden store closed in January. And a fundraising initiative to revitalize the space fell short.

Everett Mayor Cassie Franklin, Advanced Manufacturing Skills Center executive director Larry Cluphf, Boeing Director of manufacturing and safety Cameron Myers, Edmonds College President Amit Singh, U.S. Rep. Rick Larsen, and Snohomish County Executive Dave Somers participate in a ribbon-cutting ceremony on Tuesday, July 2 celebrating the opening of a new fuselage training lab at Paine Field. Credit: Arutyun Sargsyan / Edmonds College
‘Magic happens’: Paine Field aerospace center dedicates new hands-on lab

Last month, Edmonds College officials cut the ribbon on a new training lab — a section of a 12-ton Boeing 767 tanker.

Gov. Jay Inslee presents CEO Fredrik Hellstrom with the Swedish flag during a grand opening ceremony for Sweden-based Echandia on Tuesday, July 30, 2024, in Marysville, Washington. (Ryan Berry / The Herald)
Swedish battery maker opens first U.S. facility in Marysville

Echandia’s marine battery systems power everything from tug boats to passenger and car ferries.

Helion Energy CEO and co-founder David Kirtley talks to Governor Jay Inslee about Trenta, Helion’s 6th fusion prototype, during a tour of their facility on Tuesday, July 9, 2024 in Everett, Washington. (Olivia Vanni / The Herald)
State grants Everett-based Helion a fusion energy license

The permit allows Helion to use radioactive materials to operate the company’s fusion generator.

People walk past the new J.sweets storefront in Alderwood Mall on Thursday, July 25, 2024, in Lynnwood, Washington. (Olivia Vanni / The Herald)
New Japanese-style sweets shop to open in Lynnwood

J. Sweets, offering traditional Japanese and western style treats opens, could open by early August at the Alderwood mall.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.