The Occasional Observer

His [Putin's] objectives are clear. They go beyond detaching South Ossetia and Abkhazia from Georgia and absorbing them into Russia. They go beyond destroying the Georgian army, leaving the country at Russia's mercy.

The real objective is the Finlandization of Georgia through the removal of President Mikheil Saakashvili and his replacement by a Russian puppet...

What everyone overlooks in the cease-fire terms is that all future steps -- troop withdrawals, territorial arrangements, peacekeeping forces -- will have to be negotiated between Russia and Georgia. But Russia says it will not talk to Saakashvili. Thus regime change becomes the first requirement for any movement on any front. This will be Putin's refrain in the coming days. He is counting on Europe to pressure Saakashvili to resign and/or flee to "give peace a chance."

The Finlandization of Georgia would give Russia control of the Baku-Tbilisi-Ceyhan pipeline, which is the only significant European-bound route for Caspian Sea oil and gas that does not go through Russia. Pipelines are the economic lifelines of such former Soviet republics as Kazakhstan and Azerbaijan that live off energy exports. Moscow would become master of the Caspian basin.

Subduing Georgia has an additional effect. It warns Russia's former Baltic and East European satellites what happens if you get too close to the West. It is the first step to re-establishing Russian hegemony in the region.