offered his Ukrainian counterpart a deal: Russia will renew the contract and give Ukraine eight years of grace on its arrears to Gazprom for gas already delivered, if Ukraine will give Gazprom management (but not necessarily ownership) of the gas transit system over that period. As a sweetener, Kasyanov hinted that Russia would accept Ukraine’s calculation of the arrears ($1.4 billion), which is well below Moscow’s ($2 billion).

Some in Ukraine, including National Security and Defense Council Secretary