Number of Russian tour operators will significantly reduce. More than 700 tourist companies are to stop their business this year. Decline of demand and changes in law are the reasons. Amendments to the law "About touristic business" will significantly increase the sum of financial guarantees. This engagement means backup of insurance for tour operators in case of their bankruptcy. In future this saved money must be indemnified by clients. Sum of financial guarantee for touristic companies will go up from 10 to 30-100 mln rubles. The companies listed in the federal tour operators register book are to reissue their financial guarantees up to 1 March, 2009, not waiting for changes in field legislation. But only half of the listed companies reissued their documentation and thereby confirmed possibility of paying new sums. The state duma experts reckon the current situation in the touristic market shows the social and economic necessity to raise level of financial provision for tour operators. It will also protect interests of tour operators clients. The current financial crunch makes paying for financial guarantees problematic for small companies. "30-100 mln rubles is not a large sum of money for big tour operators. But it is quite expensive for companies developing touristic programs for individuals. Moreover it’s difficult to obtain credit nowadays", remarks Igor Vasargin, representative of Neizvestnaya Zemlya. He thinks, it’s inappropriate to raise financial guarantees in the current situation. It’s necessary to distinguish financial risks according to company’s turnover. Analysts say pure profitability of tour operator amounts to 5-10%, agents’ profitability - 3-7%. The indexes are not so high but companies succeed only for account of high turnover and good growth dynamics. Increasing of financial guarantees change income scheme and number of operators. 25-50% decline in demand is expected in touristic business. Number of tourists to Egypt and Turkey can decline one third. Growth of dollar and euro rate will determine raised prices on tickets.