KIEV, April 18 - Poland and Ukraine will host soccer's 2012 European Championship after their joint bid beat favorite Italy, the first time the former Eastern bloc hosted the continental championship since Yugoslavia in 1976.

Poland and Ukraine, which have never qualified to play in the event, are now guaranteed places among the 16 finalists. Michel Platini, the recently elected president of European soccer's ruling body UEFA, made the announcement today in Cardiff, Wales.

Ukrainian President Viktor Yushchenko said: "I am happy that Ukraine and Poland have been honored to host the European football championship in 2012. I am grateful to the UEFA Executive Committee for its decision. All citizens of Ukraine are rejoicing at this wonderful event." "We sincerely and hospitably dedicate Euro 2012 to a united Europe, so that the joy of football should belong to all European nations."

Like the World Cup, the European Championship is held every four years and gives host countries the opportunity to build new stadiums, improve infrastructure and boost tourism. The tournament may be worth as much as $3 billion to the hosts, President Viktor Yushchenko told reporters yesterday in the Welsh capital, according to Bloomberg.

???This is a beautiful moment,??? Polish Finance Minister Zyta Gilowska said at a press conference. ???At last Poland will be helping to organize a sporting showdown, not just political ones.???

The winners also beat out a joint bid from Hungary and Croatia. Poland and Ukraine got five votes to Italy's four in the first round, Hungarian television reported. Croatia and Hungary were eliminated after gaining three. In the second ballot, Ukraine and Poland got eight votes, twice as many as Italy, which lifted the World Cup in 2006.

???This is a horrible defeat,??? former Italy goalkeeper and coach Dino Zoff told Sky Italia.

The opening match will be played in Warsaw, which will also stage a quarterfinal along with Gdansk in Poland and Donetsk and Kiev in Ukraine. The semifinals will take place in Warsaw and Donetsk and the final in Kiev. In all, 12 stadiums will be used. (tl/bb/ez)