SPIEGEL cover story about the desolate state of Germany's economy, taxes, and the pressing need for economic reforms.

SPIEGEL in-depth interview with German foreign minister Joschka Fischer about the visit by his American counterpart Colin Powell to Berlin, the discussion about a new Iraq resolution at the United Nations, his role in the Green Party and his pleasure in his own office.

"Kosovo Is Part of Serbia"

SPIEGEL in-depth interview with Belgrade's new prime minister Zoran Zivkovic, about the fight against organised crime after the assassination of his predecessor, Djindjic, the hope for Europe's assistance and unresolved border issues:

"What worries us most is the consequences of the Milosevic regime for our country. Our citizens have lost their faith in the state institutions. ... No one is going to convince me that the bombardment of Yugoslavia solved the situation in Kosovo or ousted Milosevic from power. My relationship with the USA is pragmatic. Serbia is small, poor, it has a glorious past - but an uncertain future. So we have to cooperate with the USA and Brussels in our own national interest. ... The international community has not fulfilled even a third of its obligations in Kosovo. There have been no advances in terms of the return of Serb refugees, there is no security for the Serbs living there, nor is the promised decentralisation happening. The situation there is insupportable."

"Lawnmower and Edge Trimmers"

Aviation: For years, Lufthansa was applauded as an example of successful restructuring. But now it is becoming apparent that the carrier with a crane in its emblem is in a deep crisis. Sales are plummeting faster than the group is able to lay up airliners. Now the new board chairman wants to resort to more drastic measures. Working short time and accepting a cut in wages are just the beginning. The worst is yet to come for Lufthansa's 50,000 employees.

"Like an Avalanche"

The strength of the euro is upsetting the German economy. Until now, exports have been the only support for the weak economy in Germany. If they crumble now, says monetary expert Peter Bofinger of the University of Würzburg, "we're in danger of entering into a recession." Currency experts think it unlikely that the dollar will recover in the near future. What reassures large companies is something known as hedging, whereby they protect their expected dollar revenue against losses on exchange. Hedging gives large companies time to react to changes in exchange rates. They can buy more parts for dollars to profit by the low exchange rate, or they can move parts of their production to the United States.

"Osama's Fruit of Terror Continues to Produce New Shoots"

SPIEGEL interview with Al Qaida expert Rohan Gunaratna about the attack in Saudi Arabia, the new structures of Muslim extremism and the dangerous European laxness in pursuing the people operating in the background:

"Al Qaida is the only terrorist group anywhere in the world that is able to carry out coordinated and simultaneous attacks on this scale. ... At the moment, the group is only able to carry out simultaneous attacks on a moderate scale in Asia, the Middle East and Africa. ... The message is clear. Al Qaida is saying: you cannot destroy us and we will continue to bomb the USA and its allies." The war in Iraq "has increased the group's hatred for the West even further and will intensify terrorism. ... We have to take assertive action against terrorism using all the means available to a state under the rule of law."

"Tracks Leading to the Kremlin?"

The German firm SPAG is alleged to have laundered money for the St. Petersburg Mafia. Letter-box companies on the Channel Islands, in Finland and in Lichtenstein belong to the dubious network. The affair is potentially politically explosive: Russia's President Vladimir Putin, formerly the Vice-Mayor of St. Petersburg, served as an advisor to the company up to 1999. Subsequently, a direct line to the Kremlin existed.

"Our Religion Is Called America"

SPIEGEL in-depth interview with US writer Norman Mailer about the mood in his country and about George W. Bush:

"The new justification for the war is now that we had to rid Iraq of a tyrant who tortured and murdered his people in a most atrocious fashion. The newspapers are full of terrible stories about people who were more or less put through a shredder. However we don't take into account that, ironically and perversely, we share the blame for this. ... Seen as a whole, there is a tendency to regard an empire as being a useful means of solving the country's problems. ... That's the American solution to our problems: cover it up with concrete. ... There's something crude about Bush, and that's a surprise. He's vulgar. In view of his dignified, interesting and vital parents, his own vulgarity is a choice he made. He's cynical, enjoys manipulating people. To put it another way, that's how a dry alcoholic manages to control a situation, because he needs the satisfaction of leading a highly active and dynamic life. He knows how to manipulate half of America by constantly waving the Star-Spangled Banner."

"The Unthinkable Simply Does Happen"

Art theft: Bargain hunting in the world's museums - whether in Baghdad or most recently in Vienna, stealing artwork is really in fashion. But it is also made very easy for the well-organised criminals. The trade in stolen artwork is the largest criminal market after drug and human trafficking, ahead of money laundering and arms trafficking. The turnover is estimated at several billion dollars a year, leaving a decent margin for accomplices too. And the borderline between the black market and official art and antique dealers is fluid.

"Sisters without Charity"

Church: Priests and nuns maltreated thousands of children and adolescents who were entrusted to their care in homes around Germany. Now their victims want to clear up the scandal, but they are facing a wall of silence. In the United States and the UK, former victims of Catholic homes have recently demanded an apology and compensation. Should the children who were brought up in German homes decide to do the same they must be prepared for a tough battle with the church institutions. The Vatican has so far been reacting just as coldly as it did ten years ago, when the first accusations of abuse by priests were voiced. And the German Conference of Bishops, the religious orders, and the church's charities and social welfare institutions all claim to have no knowledge of what went on for decades within the sphere of their responsibility.

"Peace Is Boring"

Iraq: The soldiers of the 2nd Brigade from Fort Stewart in Georgia were the heroes of the battle of Baghdad. Now they want to go home, but they are having to stay on and teach yesterday's enemies democracy and capitalism - preferably nice and quick. However, it could be said that the Americans are better at war than at peace. The question is how fighters, of whom George W. Bush's security adviser Condoleezza Rice says that they "certainly weren't trained to build up a civilian society", are supposed to build up a civilian society. How could the government have installed a cowboy like Jay Garner as Bush's governor in Baghdad and thus waste four weeks? Why are institutions like the UNHCR and World Food Program being prevented from doing what they are good at doing, and why does the airport still have to remain so firmly in the hands of the US army that little or no aid is arriving?

"The Magic of Shadows"

Architecture: The German Historical Museum in Berlin is to be extended with the addition of a spectacular building designed by the Chinese-American star architect Ieoh Ming Pei. Ironically, this late work of the ageing Pei is showing the Germans how they might rejuvenate their most venerable architectural tradition, the language of the Bauhaus school.

"Windmills in the Woods"

Energy: Building offshore wind farms off the German coast is driving engineers to more and more daring designs. Now even the forestry industry wants to participate in harvesting wind energy. In some respects, wood is superior to the most commonly used building materials, steel and concrete. Wooden constructions have a life expectancy of at least 100 years. Surprisingly, wooden wind turbines are particularly durable out at sea: while steel towers are corroded by the aggressive salt water, the saline medium actually preserves wood. Within a few years' time, the world's largest wind farms are to be built some 40 kilometres off Germany's coastline. Entire forests of mighty, three-armed turbines are to be linked together to create huge power plants. There are good reasons for moving out to sea: on land, space for wind turbines is becoming scarce, and public resentment is rising.