valacious:

Sir, It's an open secret that Nnamdi Kanu has violated his bail conditions. The sensible thing to do is get a court order to revoke his bail, simple.
Gentlemen, let's all remember that we are in a democracy, and we should be careful about setting dangerous precedences. Why involve soldiers, when we have a commissioner of police in the state.
I am not pro Biafra, but I am seriously concerned about the approach this matter is being handled, this action may trigger some chain of events that will even be more bigger than the initial problem.
You do not use a gun to kill a fly, you use an insecticide or better still a broom.

It is more than that Bro. Pro Biafra is taking over the control of SE, molestation and intimidation has become order of the day even to common men. Thugs and hooligans are having a field day. Secret army is being formed. If the government refuse to act on time it could be larger than Boko Haram. National security is being threatened. This need to be taking care of as early as possible else you may be playing with full scale war, by giving Kanu enough time to group up. Although any security operation should be done professionally.

sellydion:


It is more than that Bro. Pro Biafra is taking over the control of SE, molestation and intimidation has become order of the day even to common men. Thugs and hooligans are having a field day. Secret army is being formed. If the government refuse to act on time it could be larger than Boko Haram. National security is being threatened. This need to be taking care of as early as possible else you may be playing with full scale war, by giving Kanu enough time to group up. Although any security operation should be done professionally.

How I wish we can do without veering into politics on this forum! SMN case should serve as a lesson.

Intendy:
stock with new 52 week highs

air services #6.50k

no stock with new 52 week lows

Are they (Air Services) the guys that got the NA and MM Airports concessions?

sellydion:


It is more than that Bro. Pro Biafra is taking over the control of SE, molestation and intimidation has become order of the day even to common men. Thugs and hooligans are having a field day. Secret army is being formed. If the government refuse to act on time it could be larger than Boko Haram. National security is being threatened. This need to be taking care of as early as possible else you may be playing with full scale war, by giving Kanu enough time to group up. Although any security operation should be done professionally.

Are you serious? This is becoming scary o....

Please let us NOT discuss politics on this thread.

Interesting read, but sad!! (#Nigeria, we hail thee)

Oando AND IAS 24, WHAT THE LAW CANNOT DO. by @Doubleeph

When you prepare a set of accounts to International Financial Reporting Standards (IFRS), one of the things you are required to do is disclose any ‘related party’ transactions. The accounting standard that covers this disclosure requirement is IAS 24.

Here’s what the IFRS website says about IAS 24:

The objective of IAS 24 is to ensure that an entity’s financial statements contain the disclosures necessary to draw attention to the possibility that its financial position and profit or loss may have been affected by the existence of related parties and by transactions and outstanding balances, including commitments, with such parties.

A related party is a person or an entity that is related to the reporting entity:

A person or a close member of that person’s family is related to a reporting entity if that person has control, joint control, or significant influence over the entity or is a member of its key management personnel.

An entity is related to a reporting entity if, among other circumstances, it is a parent, subsidiary, fellow subsidiary, associate, or joint venture of the reporting entity, or it is controlled, jointly controlled, or significantly influenced or managed by a person who is a related party.

A related party transaction is a transfer of resources, services or obligations between a reporting entity and a related party, regardless of whether a price is charged. If an entity has had related party transactions during the periods covered by the financial statements, IAS 24 requires it to disclose the nature of the related party relationship as well as information about those transactions and outstanding balances, including commitments, necessary for users to understand the potential effect of the relationship on the financial statements.

In other words, if the managers of a company transfer resources to a company that all or one of them is related to, it must be disclosed in the accounts. A simple example of this is the CEO’s wife being awarded a contract to supply food for the company’s AGM. That is a related party transaction.

But notice what the IAS does not say. It does not say such a contract to the CEO’s wife to supply food should not be awarded. Such things are not banned. All that is required is that you disclose them. Why not just ban them since we know such things can cause problems and foster corruption?

This is an example of where the law stops and where human behavior is supposed to take over. If such transactions are banned, the managers of a firm might find new ways to hide them. But by asking them to disclose them in the accounts, it is as if the IAS is trying to prick their conscience to do the right thing. In other words, managers will now be confronted with a question anytime they want to award a contract or transfer resources to a related party – how will this look when it is disclosed to shareholders and the public? What if the press sees that the CEO’s wife got a contract worth N100 million and publishes it, how will this make us look as a firm?

Thus, without banning related party transactions, the requirement to disclose them changes the behavior of the managers of a company. Even if the CEO is tempted to give his wife that contract, he will have to think twice about whether it is worth it.
In theory.

One thing Nigerians like to say is that the country turns established laws on their head such that things that have worked elsewhere fail to work when implemented in the country. What the same Nigerians never explain is why this is so. IAS 24 is a very good example of why such laws don’t work in Nigeria. The simple reason is that the law leaves room for human behavior in the expectation that people will do the right thing for the most part. It is certainly better to design laws this way so that people have a stake in it. Thus, to comply with such a law, companies will design their own internal code of conduct (such as how they verify contractors, legal checks etc) to ensure they do not get into trouble.

But in Nigeria, this is hardly the case. Before IFRS people were behaving in that way i.e. handing out contracts to family members and nothing happened to stop them – shareholders can be bought off with dividends and the press can be bought off with brown envelopes. But the most fundamental point is that it is not illegal to award a catering contract to the CEO’s wife. It’s just not a cool thing to do.

Which brings us nicely to Oando Plc. This is one of Nigeria’s biggest ‘blue chip’ companies with a balance sheet of almost N1 trillion as at December 2016. In any other country, a company like Oando will set standards for corporate governance and others will follow. You can typically measure how business is done in a country by looking at the business practices of its largest and most connected firms.

Come with me to page 66 of the December 2016 Consolidated Financial Statements of the company. This is where the Related Party Disclosures begin. Beginning from subsection vii we get the following:

Other related party transactions include:

Brick House Construction Company provided building construction services worth N89.3 million (2015: N203.9 million). A key management personnel of Oando Marketing Plc (OMP) is a shareholder and director of Brick House Construction Company Ltd.
Broll Properties Services Limited provided facilities management services worth N161.3 million (2015: N146.4million). The GCE has control over one of the joint interest owners of the company.

iii. K.O Tinubu & Co. provided legal services amounting to N2.3 million (2015: nil). K.O Tinubu is controlled by a close family member of the GCE.

Intels West Africa Ltd provided various services worth N1 billion (2015: N1.3 billion) to Oando Energy Services Limited. Intels West Africa Ltd is owned 70% by a joint owner of OODP, the largest shareholder of the Company.
Lagoon Waters Limited, one of the dealers for the sale of petroleum products, purchased petroleum products and liquefied petroleum gas worth N2.31billion (2015: N2.1 billion) from the Group. Lagoon Waters Limited is controlled by a close family member of the GCE.
Noxie Limited supplied office equipment worth N86.3 million (2015: N42.4 million) to members of the Group. A close family member of the GCE has control over the company.

vii. Olajide Oyewole & co. rendered professional services worth N235.6 million (2015: N217.9 million). A close family member of the GCE has significant influence over the firm.

viii. Pine Crest Specialist Hospital provided medical services worth N13.8 million (2015: N9 million). A close family member of the Deputy Chief Executive Officer (DGCE) has control over the company.

Rosabon Financial Services Limited provided transport services worth N27.1 million (2015: N24.2 million) to the Company during the year under review. Rosabon Financial Services Limited is owned by a director of Gaslink Nigeria Limited.
SCIB Nigeria and Co. Ltd. (‚SCIB‛) provided insurance brokerage services worth N1 billion (2015: N0.8 billion) to various members of the Group. A beneficial owner of SCIB is related to the GCE.

xi.Triton Aviation Limited provided management services worth N8.3 million (2015: N656 million) to Churchill C-300 Finance Limited, an indirect subsidiary of the Company. Triton Aviation Limited is owned by the GCE.

xii. Templegate Consultants Ltd. provided architectural services worth N6 million (2015: N26.6 million) to Oando Marketing Plc, during the year. The managing partner of Templegate Consultants Ltd. is related to the CEO of Oando Marketing Plc, a key management personnel of the Group.

xiii. Transport Services Limited (‚TSL‛) provided haulage services to OMP. During the year under review, TSL provided haulage services worth N2.2 billion (2015: N1.2 billion) to OMP. TSL is ultimately controlled by a close family member of the GCE.

xiv. TSL Logistics Limited supplied products and throughput services worth N229.6 million (2015: N2.1 billion) to OMP. The company is ultimately controlled by a close family member of the GCE.

West Africa Catering Nigeria Limited provided catering services worth N281.7 million (2015: N0.3 billion) to Oando Energy Services Limited. West Africa Catering Nigeria Limited is ultimately owned 49.8% by a shareholder of OODP. OODP has controlling share in the Company.

xvi. F.O. Akinrele & Co. provided legal services worth N825,000 (2015: nil). A non-executive director of the Company is the principal partner of the firm.



Nothing illegal has been done. The issue is that IAS 24, which has worked in other countries to change the behavior of managers, has pretty much failed here. The picture this paints is that when the company needs to get something done, the board members get first dibs. It cannot be the case that the company got value for money for these transactions in all cases. And the company is supposedly run for the benefit of its shareholders.

Aviation services contracted to the CEO, billion-naira transport services contracted to a close family member of the CEO, legal and logistics contracts to other family members of the CEO. And so on.

IAS 24 does not say you should not do these things. But it expects you, with a gentle nudge, not to do them. It asks you to disclose them with the hope that you won’t have too many of such things to disclose. It hopes that managers will choose not to disclose this stuff because shareholders will get upset and the press will have a field day with such disclosures.

Instead the managers of the company are running it for their own benefit and disclosing it ‘with their chest’. The law cannot stop you from behaving this way; it can only encourage you not to act in that manner.[/left]

This is Nigeria where things that have worked elsewhere get turned on their head.

Tritri:
@Chibuking81

You worry too much ! .

Is it becos of THIS HARMLESS BIAFRA AGITATION THAT WILL CAUSE WAR??

in the days of MASSOB , MEND ,BOKO HARAM war never even start self.

All this news will be forgotten next week. # TRUTH

Companies will still release there Q3 next mths. # TRUTH

Thank God the Python Dance has finally taken centre stage on NSE and that is a welcome development for some of us.

*ThE OcToPuS*

hotcake:

How I wish we can do without veering into politics on this forum! SMN case should serve as a lesson.

at SMN, forumist were initially blinded with the notion that discussing politics will help in decision making on stocks, thus the thread was ultimately derailed.

Nigeria’s foreign exchange reserves have risen to a 31-month high of $33 billion, the Central Bank of Nigeria (CBN) disclosed Thursday.

It was also positive news for Nigeria from the oil markets where crude prices touched a five-month high, with Brent, the benchmark crude, up one per cent at $55.72 a barrel, after a session high of $55.99, its highest since April 13.

CBN spokesman, Mr. Isaac Okoroafor, spoke on the rise in foreign reserves on the sidelines of a seminar for finance correspondents and business editors in Awka, Anambra State Thursday.

The accretion in reserves, derived mainly from the proceeds of crude oil earnings, represents an increase by $7 billion, compared with the $26 billion at the end of the year.

The Nigerian economy, which recently exited from a debilitating recession, with data from the National Bureau of Statistics (NBS) showing that the economy expanded by 0.55 per cent in the second quarter (Q2) of 2017, was driven mainly by the performance of the oil and three other sectors.

In the second quarter, the oil sector grew significantly by 17.04 percentage points from -15.40 per cent recorded in Q1 2017 to 1.64 per cent, reflecting the relative peace in the Niger Delta, increased oil output from the region and increase in oil prices.

In the foreign exchanges market, however, the naira closed at N360.5 to the dollar on the NAFEX window Thursday, but fell to N367 to the dollar on the parallel market.

The CBN on Monday had intervened with $250 million in the interbank forex market.
Okorafor said with the sustained interventions, the central bank has been able to push forex demand away from the parallel market into the formal regulated market.

According to him, CBN had taken measures to check the activities of speculators and shield the currency from attacks, while also maintaining the value of the naira.

Okorafor maintained that authorised dealers had enough funds to meet the forex needs of customers and urged all to adhere to the extant guidelines on the sale of forex in the Nigerian forex market.

He advised those in genuine need of forex to continue to approach their respective banks for purchase, adding that the CBN remained optimistic that the Nigerian currency will fare strongly against other convertible currencies.

On the convergence target of the Bank, he said the goal would be attained if all stakeholders played by the rules.
On the international oil markets, crude oil prices rose Thursday, with the global benchmark crude, Brent, touching a five-month high, a day the International Energy Agency (IEA) predicated that the oil market would continue to tighten as fuel demand increases.

Brent crude was up one per cent at $55.72 a barrel, after a session high of $55.99, its highest since April 13, while the U.S. West Texas Intermediate was up 1.7 per cent at $50.14 per barrel, its first time to cross the $50 mark since August.
WTI touched $50.50, its highest since May 25, and surpassed its 200-day moving average.

Reuters reported that Brent has climbed more than $10 a barrel in three months and is close to where it began this year.
On Wednesday, the IEA raised its estimate of 2017 world oil demand growth to 1.6 million barrels per day (bpd) from 1.5 million bpd.

The agency said a global oil glut was shrinking thanks to strong European and U.S. demand, as well as production declines in OPEC and non-OPEC countries.

Global oil demand grew “very strongly” year-on-year in the second quarter this year, which prompted the IEA to revise up its growth estimate to 1.6 million bpd for this year.

This is the second consecutive month in which the agency has lifted its demand growth forecast, after it revised up the growth estimate to 1.5 million bpd in August.

Although Hurricanes Harvey and Irma were expected to slow U.S. oil demand growth in the third quarter this year, “OECD demand growth continues to be stronger than expected, particularly in Europe and the U.S.,” the IEA said.

Also supporting oil prices was the fact that OPEC production dropped in August for the first time in five months, following production disruptions in Libya and other OPEC members producing less crude.

OPEC members bound by the pact achieved an 82 per cent compliance rate in August, higher than the 75 per cent in July.
IEA noted that year-to-date, compliance within OPEC stands at 86 per cent.

OPEC and other producers including Russia had agreed to reduce crude output to support prices.

This week’s gains have come despite data showing a big build up in U.S. crude inventories after Hurricane Harvey.
Data from the Energy Information Administration showed a build up in U.S. crude inventories last week of 5.9 million barrels, exceeding expectations.

Subscription for FG’s Sovereign N100b Sukuk Begins
https://www.businesspost.ng/2017/09/15/subscription-fgs-sovereign-n100b-sukuk-begins/

Nigeria’s Inflation Drops to 16.01% in August
https://www.businesspost.ng/2017/09/15/nigerias-inflation-drops-16-01-august/

Market is dancing the Python Dance today. Red everywhere. I hope the tune changes soon.

NIGERIAN ENAMEL PLC Closure of Register for Year Ended 30 April 2017
Proposed Dividend Nil
Proposed Bonus 1 ordinary share for every 5 shares held
Closure Date 18th - 22nd September 2017
AGM Date 5th October 2017
Payment Date N/A
AGM Venue Transcorp Hilton Hotel, Abuja

PharmAlfred:
Market is dancing the Python Dance today. Red everywhere. I hope the tune changes soon.

If they want green FG should take the Python back to the forest.

VETIVA S&P NIGERIAN SOVEREIGN BOND ETF DISTRIBUTION NO. 2 2017

Interim Distribution for the period ended 30th June 2017 Proposed Distribution N2.50k Per unit Qualification Date 13th September 2017 Payment Date 15th September 2017

There is low morale in the market.

More than low morale. We are waiting for good results in October.

jamace:
There is low morale in the market.

PharmAlfred:
Market is dancing the Python Dance today. Red everywhere. I hope the tune changes soon.

Soon ? . But i said it last week KANU bear's .

ihedioramma:
Soo ? . But i said it last week KANU bear's .

We are still in part one, part two will soon take center stage.

soloniger:


Thanks bro.

Oga DeRuggedProf long-time-no-hear you are welcome, were is BullBearMarket?

God bless U.
I lost a cousin and was a bit bizi.
I hope the index did not join me in grief.....

Chibuking81:

We are still in part one, part two will soon take center stage.

TRUTH . Hope FBNH will see me and oga Locodemy @ #3 bus stop and fcmb @#0.78 kobo .

igboboy3:
Please let us NOT discuss politics on this thread.

Politics and Economic goes together, undemocratic government doesn't bring about good environment for development and investment.

OK, you think if our country goes into war, NSE will still be trading, or foreign investors will keep on investing in Nigeria.

Agitation for self governing may last for hundred of years without war when follow up in democratical way, but when it goes the other way, it usher in war.

Back to business, expect heavy bear in the NSE weeks ahead, if our dear president refuses to follow democratically way to solve our country problems.

When he was out of country, his vice tried very well to usher in conducive environment for investment, but immediately he returns, he destroyed the already good established environment.

igboboy3:
Please let us NOT discuss politics on this thread.

You're actually saying we should talk farming without mentioning weather. I acknowledge the need to minimize distractions, but you cannot talk investment without occasionally straying into politics.
Politics and investment are like mother and child, where politics is the mother. It is the greatest influence over your investment and the entire financial markets.
Do you know that the assessment of political risk is the beginning of due diligence for foreign investors, to avoid throwing their money into a political lagoon?
If the situation in the SE is allowed to deteriorate, for instance, it will damage your portfolio far more than the present military deployment somebody is bickering about.
A stitch in time saves nine.

DeRuggedProf:


God bless U.
I lost a cousin and was a bit bizi.
I hope the index did not join me in grief.....

Sorry Prof. I miss you too. You are welcome back.

stocks with new 52 week highs
cutix #2.73k
transcorp hotel PLC #7.21k
international breweries #38.95k
no new 52 week lows

stockbull:
going on a tour for an important assignment but i want to challenge everybody to do something that would make this thread to reach out to large numbers of investors. the daily page views is not impressive at all.........................lets make others to benefit. this is my golden goal

Oga Stockbull, after 4 years I want to thank you for setting this challenge.

I am a learner on this market and this thread has been a wonderful resource and aid on the journey.

I an glad to be able to learn and contribute on a forum with members as insightful as Tritri, PeteRichey, Oga Ewumi and numerous others.

I pray for more profits to us all from the NSE.

Bear or bull market, research, buy wise and sell smart.

God bless you
God bless Seun for Nairaland
God bless us all!

DeRuggedProf:


God bless U.
[b]I lost a cousin [/b]and was a bit bizi.
I hope the index did not join me in grief.....

Sorry about that. Please accept my condolences!

zendi:


You're actually saying we should talk farming without mentioning weather. I acknowledge the need to minimize distractions, but you cannot talk investment without occasionally straying into politics.
Politics and investment are like mother and child, where politics is the mother. It is the greatest influence over your investment and the entire financial markets.
Do you know that the assessment of political risk is the beginning of due diligence for foreign investors, to avoid throwing their money into a political lagoon?
If the situation in the SE is allowed to deteriorate, for instance, it will damage your portfolio far more than the present military deployment somebody is bickering about.
A stitch in time saves nine.

And how will discussing politics here help to solve the problem?
Before we know it, this place will also derail and what kill smn will most likely kill this one too if political discussions is not stopped.

DeRuggedProf:


God bless U.
I lost a cousin and was a bit bizi.
I hope the index did not join me in grief.....

My heartfelt condolences.

.

DeRuggedProf:


God bless U.
I lost a cousin and was a bit bizi.
I hope the index did not join me in grief.....

You are welcome prof.
May the Almighty God bring you comfort in your hour of grief.

Amen.

pluto09:


You are welcome prof.
May the Almighty God bring you comfort in your hour of grief.