South Africa's Bidvest Group profit rises on food business

South African conglomerate Bidvest Group reported an 8.6 percent rise in annual profit on Monday, buoyed by its food service business.

Bidvest, whose business spans auto showrooms, shipping and catering, said diluted headline earnings per share totalled 1,882 cents in year to end-June, slightly better than the mean estimate of 11 analysts in a Reuter’s poll.

Headline EPS is the most widely watched profit measure in South Africa and strips out certain one-off items.

Bidvest is largely insulated from tough economic conditions at home thanks to its large food business in Asia and Europe, where it makes about half of its sales.

Sales rose 11.6 percent to 204.9 billion rand ($15.41 billion).

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S.Africa to impose 10 pct steel import tariff - industry group

South Africa's government will impose a 10 percent import tariff on steel imports to protect the struggling industry, with the possibility of hiking them further, an industry body said on Monday. Cheap imports from China are hurting steel makers in South Africa, which currently does not have import duties on steel. As many as 200,000 jobs are at risk due to a global supply glut of the commodity, ArcelorMittal South Africa has warned.

"The first application for tariffs at 10 percent of the WTO bound rate will be signed off next week with conditions which are not yet finalised," Steel and Engineering Industries Federation of Southern Africa (SEIFSA) said in a statement, without giving a firm date for a tariff hike.

The World Trade Organisation (WTO) allows countries to raise tariffs by up to 10 percent to protect local industries.
The government declined to comment, but said in a statement it was considering "various tariff applications". Chief executives in the steel industry and labour unions also said the government in a meeting on Friday had committed to introducing a 10 percent tariff on imported steel to protect the industry.

One of the conditions for the tariff hike was that the steel industry could not raise the price of steel to "unaffordable levels", SEIFSA said in the statement, without giving details. ArcelorMittal South Africa has warned it could close a plant that employs 1,200 people while smaller rival Evraz Highveld Steel and Vanadium has been placed in the hands of administrators.

"It is a crisis that I have never seen, it's unprecedented in my history in the steel industry," SEIFSA President Ufukile Khumalo told reporters. ArcelorMittal Chief Executive Paul O'Flaherty told Reuters last week the firm was willing to cap its profit margin if the government imposed import duties on imported steel.

Jobs are a sensitive issue in South Africa, where unemployment is around 25 percent, and the government has urged the industry not to shed jobs. In a statement, the trade and industry and the economic development departments urged steel companies to submit anti-dumping applications to South Africa's International Trade Administration Commission, which has the power to raise tariffs.

The government will have a follow-up meeting in about four weeks when companies have submitted their anti-dumping applications.

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Facebook and Airtel are trying to win Africa’s next generation of internet users

It is no secret that Bharti Airtel’s African adventure has not quite gone to plan. But the Indian-based company and the world’s third largest mobile carrier may have found an ace up its sleeve to help spur the company’s business on the continent: Partnering with Facebook.

“We have a strong partnership with Airtel and we continue to roll out internet.org with Airtel throughout Africa. With Airtel, we will be rolling it out in more countries after this month,” Chris Daniels, vice president of product for internet.org at Facebook, said last week.

In its march to grow its users around the world, Facebook, the world’s most popular social networking site, helped launch internet.org, a free mobile internet service, last year in Zambia, Kenya and Tanzania. Accessible via Internet, or as an app via Google Store, the platform makes certain sites available for free through select mobile service providers.

Despite boasting over 100 million users on the continent, this is a mere 10% of the Facebook’s global numbers. For a young continent, where the median age is 19 years old, the demographic typically interested in the social networking platform, the number could easily be higher.

“Africa’s attractiveness to companies such as Facebook is a no-brainer,” Manji Cheto, vice president of Teneo Intelligence, told Quartz. “Yet, the continent’s low internet penetration was always likely to constrain the company’s ability to significantly boost its user numbers.”

But mobile phone penetration stands at 69% and, through internet.org, Facebook is hoping to turn these users into Facebookers. “By partnering with Airtel, Facebook is able to access a much larger market than it may [not] ordinarily be able to do on its own—mobile phone subscribers on the continent are estimated at 650 million and Airtel holds significant share of this market,” Cheto says.

Through internet.org, Airtel customers are able to access, for free, such sites as BBC News, BBC Swahili, Facebook, Messenger, SuperSport and Wikipedia.

“The approach devised—where new users get free access to Facebook and a small amount of Internet content—is bit like a very small version of AOL in the early days of the Internet,” Russell Southwood, chief executive of Balancing Act, a research firm, told Quartz.

Both Facebook and Airtel, are hoping that internet.org is “transitional” for users, meaning that it will convert mobile users into becoming data subscribers. “It is a walled garden and in this instance if you stray outside you start paying data charges,” Southwood says.

There have been critics of Facebook’s internet.org, who argue that this is an attempt to mediate the internet experience for users in the developing world. “[Facebook] is doing its best to make the rest of the internet irrelevant,” The Guardian wrote in 2013. “Facebook is aiming for the one every big tech company tries for: monopoly or oligopoly.”

Not everyone agrees. “While concern that internet.org is ‘controlling access to information’ is somewhat justified, the service must equally be given credit for paving access to the internet,” Cheto says.

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WHO Declares Africa Free Of 'Wild' Cases of Polio

Chalk up a major win for global health: according to the World Health Organization, Africa has been free of wild cases of Polio since July. This comes down to a dedicated vaccination campaign that has advanced the continent towards zero cases.This news doesn’t mean that the continent is completely free if the disease. Africa is still a little ways from zero cases: WHO reports that there’s still some ongoing work in Somalia, Kenya and Ethiopia, but that in each case, the transmission of the illness has been interrupted. On August 11th, 2014, Somalia reported its last case, and in July, according to the WHO, the final country to report zero cases was Nigeria.

The director of the Polio Global Eradication Initiative, Dr Hamid Jafari, Director, indicated that while the continent was free of wild cases of the disease, there are still challenges when it comes to eradicating the disease completely.

The elimination of the disease from much of the world thus far is the product of a dedicated and time-consuming vaccination campaign.

With the introduction of vaccines in 1955, instances of the illness fell to fewer than 10 in the 1970s, and that as of 1979, no cases of Polio have been transmitted within the country’s borders. India was the last major country in the world to report cases in 2011, and around the world, concentrated polio vaccine campaigns have pushed the illness back from human populations.

The goal of the Initiative has been to interrupt the natural transmission (wild cases) of the virus, which seems to be the case so far. The next step, according to WHO, will be to continue to monitor the region for additional cases. If none appear in the next two years, the continent will be certified Polio-Free.

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Mwana Africa returns to diamonds

Pan African mining group Mwana Africa said it would restart underground mining at its Klipspringer diamond mine in South Africa and evaluate the viability of reprocessing residues at the mine after gold production from Zimbabwe stagnated.Overall profit for the year to March fell sharply from $50 million (R636m) to $7m, underlining a difficult year with low gold and nickel prices.

“The past year has proved to be particularly challenging for the Mwana Group as a whole as the prices of our two principal products, gold and nickel, weakened and have continued to fall since the financial year-end,” Mwana Africa executive chairman Yat Hoi Ning said.

This has prompted Mwana Africa to focus on its diamond project in South Africa, the Klipspringer mine.

The company said the recovery of diamonds at the Klipspringer residue treatment joint venture had reached planned capacity, although the capacity was below anticipations.

“Consideration is now being given to the reprocessing of coarser tailings,” it said.

Current projects to “recover fine diamonds from old slimes residues” had continued although the company said the resource from slimes was limited, hence the move to reprocess other residues.

Progress has also been made during the period with restarting its nickel smelter facility and kick-starting the Trojan nickel mine.

Money to restart the projects was secured through a fully subscribed $20m bond issue.

It said resumption of smelting operations would give the company ample capacity to process its own concentrates into nickel leach alloy.

The Trojan nickel mine will focus on extracting ore from higher-grade bodies. The mine had mothballed in recent years owing to low nickel prices that rendered operations unviable. Mwana Africa also runs the Freda Rebecca gold mine, where production stagnated in the past year due to equipment failures and problems in accessing high-grade ore zones.

“These problems have now been rectified and I confidently expect that our underground and surface operations will attain their full potential during the 2016 financial year,” Hoi Ning said. – Tawanda Karombo

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Investors place bets on Africa

From milk churning in Zimbabwe to rose growing in Ethiopia, private equity investments in Africa have returned to pre-crisis levels and should keep rising as funds seek big returns in far-flung markets.Private equity deals in Africa totalled $8.1 billion (R103.1bn) last year, the second highest on record after the $8.3bn posted in 2007, according to the African Private Equity and Venture Capital Association (AVCA).This year could be even bigger as investors tired of low returns in developed markets look to cash in on the rapidly emerging middle-class consumers in Africa.

Private equity deals in Africa between 2007 and 2013 earned 60 percent more than the MSCI emerging market index, AVCA said.

Traditionally private equity buyouts in Africa have been supported by development organisations but there are signs over the last year that global funds are taking more aggressive steps to tap into a continent of 1 billion people.

“The growth story in Africa is compelling,” said John van Wyk, the head of Africa at Actis, an emerging-market focused fund.

“Global funds are realising they need to have some sort of Africa strategy and that hasn’t always been the case,” he added.

Debut entries
Large US private equity firms, including TPG and Kohlberg Kravis Roberts (KKR), have made their first investments in Africa in the last year.

The New York State Common Retirement Fund, one of the largest US pension funds and worth about $180bn, said in April it could invest up to $5bn in Africa over the next five years to boost returns and diversify its portfolio.

TPG said in June it would invest up to $1bn in African companies under a tie-up with Sudanese billionaire Mo Ibrahim’s Satya Capital, which has interests ranging from health care in Nigeria to manufacturing in Tanzania.

Investments are focused on fast-moving consumer goods, financial services, health care and telecommunications.

Bigger funds are looking at infrastructure projects, including filling massive unmet electricity demand across Africa.

KKR last year invested $200 million in Afriflora, a rose farm in Ethiopia, one of Africa’s fastest-growing economies.

Though interest in Africa is rising it comes off a very low base with even large funds raising only about $1bn, a meagre sum compared with developed markets.

More money was raised in India last year than in all the 55 countries in Africa.

Low base
“While there has been more capital raised, its low compared to other geographies,” said Marlon Chigwende, the managing director of Carlyle’s sub-Saharan African business.

High returns are also far from guaranteed. Food and drinks giant Nestlé offered a dose of reality last month, saying it was cutting 15 percent of its workforce in Africa because it had over-estimated the growth of the middle class. Still, middle-class households in 11 key sub-Saharan African countries, excluding South Africa, are set to triple to 22 million by 2030, according to Standard Bank. “Things can take a long time in Africa so people should not expect instant results,” Chigwende added.

Many fund managers believe African investments have longevity because money is increasingly flowing to markets outside South Africa. Nigeria and Ethiopia, Africa’s two most populous countries, are often cited as new opportunity areas. Verod, a small Nigerian private equity firm, earned 15 times its investment this year when it sold its stake in GZI Industries.

While optimism is increasing, major obstacles remain, from huge infrastructure and skills deficits to lingering political instability. “There is risk everywhere. There is risk on Wall Street,” said Muvirimi Kupara, the head of Spear Capital, a Zimbabwean fund with interests in dairy processing.

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Crystal Telecom IPO oversubscribed by 123%

Crystal Telecom’s initial public offering (IPO) has been oversubscribed by 123 per cent, according to a statement by the firm.

The firm was offering about 270.17 million shares which is 20% of MTN Rwanda.

Renaissance Capital, the acting Lead Transaction advisor confirmed that they received over 2300 applications from Rwanda, the East African Region and beyond during the share sale that closed on June 5.

During the two week period, the IPO was at Rwf105 with the minimum share application at 1,000 shares.

The company is expected to begin trading on the Stock Exchange on July 17.

Commenting on the development, Celestin Rwabukumba, the Chief Executive of the Rwanda Stock Exchange (RSE) said that the firm had set the pace as the first full private sector company to utilize capital markets as means to raise finance.

He said as a result, they expect to see growth in the performance of capital markets in coming months.

“We expect to see growth in our sector over the coming months as other companies seek to do the same. We also encourage other businesses in the private sector, large or small, to engage in the capital markets by either listing their companies or investing & trading in listed securities,” Rwabukumba said.

Jack Kayonga, the chairperson of Crystal Ventures Ltd, the parent company of Crystal Telecom said that the firm was upbeat on the uptake of the IPO by both local and international investors.

Crystal Telecom was the country’s third IPO after Bralirwa and Bank of Kigali.

Crystal Ventures has been a shareholder in MTN Rwandancell Limited since 1998.
Source: New Times

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Safarilink: Nairobi Wilson Airport to Vipingo Ridge

Safarilink will later today officially announce the launch of daily services from Nairobi’s Wilson Airport to Vipingo Ridge. Kenya’s premier safari and business airline is breaking new ground when they will reliably link Kenya’s premier coastal golf resort from the 01st of July onwards with the capital without the need to fly via either Mombasa or Malindi. The 1.5 km long hard surface strip near the entrance of the Vipingo Ridge Resort will be able to accommodate single and twin engine light aircraft but also larger turboprops like the Dash 8 which Safarilink operates. Being at near sea level can this type of aircraft take off safely when fully loaded, allowing for golf bags and luggage to be taken along subject to prior arrangements with the airline which normally allows only a 15 KG allowance.

This is good news not just for golf aficionados from Nairobi or further upcountry who would like the play the 18 hole championship course, rated by Jim McCann of ‘Top 100 Golf Courses’ as Kenya’s undisputed best, ahead of Sigona as runner up and followed by longtime leader Muthaiga in third position. It is good news for coast residents from this part of the North Coast too. It is those residents Safarilink no doubt intends to target, as they did when they launched their daily flights to Ukunda many years ago. From there many Diani residents now fly with Safarilink from Ukunda and spare themselves the tiring and time-consuming trip to Moi International Airport, compensating for the slightly higher fares by saving plenty of time and getting into Wilson Airport rather than JKIA which when getting into Nairobi cuts down on time to spend sitting in traffic.

Coast residents from Mtwapa all the way to Kilifi will find it easier and much shorter to drive to Vipingo when a trip to Nairobi is on the cards, and Mike Round Turner, General Manager of Vipingo, during a more recent visit to the resort, made it clear that Vipingo would provide a level of services which could attract such passengers. He spoke of building a passenger shelter, rest rooms and no doubt secure parking will be provided, giving the right incentives to embrace the Vipingo airstrip just as the South Coast community embraced Ukunda years ago. Once getting used to the new daily service Safarilink will have created a new mini hub for local residents who, according to many chats this correspondent had with acquaintances and chance encounters, frankly abhor the thought of flying out of Mombasa considering the long road journey and the often congested roads getting through Mombasa to the airport.

Flying time, depending on the routing, will take between 1.15 hrs to 1.30 hrs but should the aircraft call on other fields enroute would the flying time correspondingly increase.

Watch this space for breaking news of this kind, giving the latest updates from the Eastern African region.

Source: Eturbo News

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World Bank $500 Million Facility and Improving Maternal and Child Health in Nigeria

The Board of Executive Directors of the World Bank Group, last month, approved a $500 million International Development Association (IDA) credit for Nigeria. The IDA is the window of the World Bank which offers grants and low- to zero-interest loans for projects and programmes that boost economic growth, reduce poverty, and improve standard of living. The facility granted Nigeria was designed to bring about significant improvements in maternal, child, and nutrition health services for women and children in the country.

Domestic reforms aimed at improving cogent primary healthcare indicators in the country and engagements with multilateral funding agencies and donors fructified the credit. In 2012, Prime Minister Jens Stoltenberg of Norway and Chelsea Clinton, in her capacity as Board Member of Clinton Health Access Initiative (CHAI), arrived in Nigeria to join President Goodluck Jonathan and (then) Honourable Minister of State for Health, Dr. Muhammad Ali Pate, to launch the Saving One Million Lives (SOML) initiative with support from CHAI. The rationale for the initiative was that in Nigeria, an estimated one million mothers and children die each year from preventable causes. As a result, the Federal Ministry of Health decided to set new goals to improve quality healthcare from 2013 and save the lives of Nigerian mothers and children.

Health sector experts and stakeholders credit Dr. Pate as the initiator of the SOML initiative. He had come into Nigeria's healthcare limelight following his trailblazing work at the National Primary Health Care Development Agency (NPHCDA), where he served as the Executive Director from 2008 to 2011. Prior to his appointment, Nigeria was one of the four polio endemic PAIN countries; the others being Pakistan, Afghanistan and India. Dr. Pate tackled the polio epidemic headlong. By June 2009, he had instigated a grassroots-oriented campaign of engaging respected traditional rulers in the North, under the leadership of the Sultan of Sokoto, to assist with delivery of the immunisation programme messages in combination with the development of an effective primary healthcare system. A decade earlier, the national immunisation programme had suffered severe setbacks, especially in the North.

The effectiveness of the strategic approach adopted by Dr. Pate caught the attention of the international and local stakeholders in less than two years of his appointment. In 2010, incidences of the Wild Polio Virus (WPV) fell to only 11 cases from a staggering figure of 803 in 2008. His work also entailed the consolidation of the National Programme on Immunisation (NPI) into the broader framework of NPHCDA, in line with international best practices. The merger sought to address old issues of structural constraint, fiscal decentralisation, mismatched burden of disease and low quality spending.

This effort resulted in the strengthening of core diagnostics, systems development and human resources capacity development within the new NPHCDA. With the critical arms of the agency thus strengthened, the national Midwives' Service Scheme (MSS) was launched, to mobilise midwives to selected primary healthcare facilities in rural communities to increase the pool of skilled birth attendants and boost delivery of services. The overarching objective of this programme was to significantly reduce high maternal and child mortality and morbidity. The level of work done to achieve the targets of the MSS paved the way for the Saving One Million Lives initiative.

Subsequently, at the time of his appointment as Minister of State for Health by President Goodluck Jonathan in July 2011, Dr. Pate already had a clear focus on what his priorities were, namely continued fight for polio eradication and mobilization of public-private coalition for SOML. Nigeria is now at the verge of being declared polio-free by the World Health Organisation. However, Dr. Pate resigned his appointment in 2013 to take up a professorial chair at the United States' Duke University's Global Health Institute. The position enabled him to serve as Senior Adviser to the Seattle-based Bill and Melinda Gates Foundation (a major player in Nigeria and other developing countries in the fight against major diseases like Polio), among other high-level engagements.

Nevertheless, this high profile exit from Nigeria's health policy sector, raised concerns on continuity of some of the programmes that had begun to gain traction under the purview of Dr. Pate. To address the concerns, he offered to continue to provide his services on part-time basis as chairman of the Presidential Task Force on Polio Eradication and the public-private coalition for Saving One Million Lives initiative, in fulfilment of his previous commitments to “see to conclusion of these important national priorities.”

It becomes obvious that Dr. Pate, a consummate Nigerian health professional, has a strong passion and exceptional commitment to improvements in healthcare delivery in Nigeria, especially to the most vulnerable groups. It always instils confidence when donors are able to associate someone of this quality with a development programme they are giving funding consideration. The $500 million credit will serve as a necessary fillip to the policy drive towards a Nigeria where maternal, child, and nutrition health services for women and children would be significantly improved. Not least because of the existing constraint in the fiscal space as a result of the sharp drop in oil prices.

The healthcare challenges the $500 million credit is supposed to help address are enormous. Nigeria accounts for 14% of all annual maternal deaths worldwide, second only to India at 17%. Similarly, the country accounts for 13% of all global deaths of children under the age of five years, again second only to India at 21%.

To address the challenge of estimated annual 900,000 maternal and child deaths, SOML focuses on increasing the use of high-impact reproductive and child health and nutrition interventions, and improving the quality of these services; strengthening monitoring and evaluation systems and measurement data; encouraging private sector innovation; and increasing transparency in management and budgeting for Primary Health Care (PHC) in the country.

The World Bank Group says it is expected that the new health operation will start implementation on August 1, 2015 and run till December 2019. The Bank's support for SOML will utilize the Programme-for-Results (PforR) instrument to encourage a greater focus on results, increase accountability, improve measurements, strengthen management, and foster innovation. Importantly, the PforR funds will only be disbursed to the Federal and State governments for independently verified improvements in key services such as vaccination coverage among young children, rates of contraceptive use, Vitamin A supplementation, skilled birth attendance, HIV counselling and testing among women attending antenatal care, and preventing new malaria infections among children by using insecticide-treated bed nets. Also, the Federal and State governments will receive incentive payments for effective tackling of governance and management issues in the health sector and for improving the quality of basic health services.

The incoming administration of General Muhammadu Buhari now has the responsibility of successful utilisation of the IDA credit. Based on the passion of the President-elect to serve, there is high hope that the $500 million funding will deliver its objectives, and that further general improvement in healthcare delivery in Nigeria will be realised over the next four years. Appointment of a competent Nigerian with experience in result-based budgeting as Minister of Health will boost the chances of success in the implementation of health policies and foster judicious use of available resources. The need for such a professional to have exposure to the international health policy community and global funding agencies cannot be overemphasized, considering the significant international resources to be mobilized for healthcare under the Sustainable Development Goals which will replace the Millennium Development Goals in 2015.

The WHO asserts that “the enjoyment of the highest attainable standard of health is one of the fundamental rights of every human being.” This means children should have access to healthcare when they need it. It also implies that pregnant women should be able to receive antenatal care and deliver safely with the assistance of skilled birth attendants.

Source: Modern Ghana

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GM celebrates 500 million global milestone

This week General Motors celebrates 500 million vehicles built globally over the past 106 years - the most by any automaker to date.

GM is the first vehicle manufacturer to achieve this milestone and remains focused on being the most valued automaker in the world.

While GM celebrates this achievement, General Motors South Africa (GMSA) is proud to have produced 2.76 million of these vehicles in the country since it started manufacturing operations in 1926.

Ian Nicholls, Vice President GMSA Operations, said GM attributes this momentous milestone to all its loyal customers.

Nicholls emphasized that they could not have reached this milestone had it not been for the customers. "Five hundred million vehicles means 500 million customers.

"We want to build on the solid foundation and the positive contribution GMSA has made to the lives of people since 1926."

Nicholls believes that buying a GM product from a dealer is not just a purchase, it is a memory. This memory is further nurtured by excellent aftersales service and customer support.

"We are committed to providing outstanding levels of service to our Chevrolet, Opel and Isuzu customers through our 200 dealers across Sub-Saharan Africa," said Nicholls.

With a footprint in the region since 1913 when the first Chevrolets were imported, GMSA's long heritage bears testimony to years of experience in sales and after sales service.

Source: Modern Ghana

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Samsung Hopes Galaxy S6 Will Help Reverse 39% 1Q2015 Earnings Slide

Samsung Electronics Co. predicts the new Galaxy S6 devices will help to reverse declining earnings and spark profits from its smartphone and components businesses.

Shares rose on the prediction.

Samsung expressed the coming revival on Wednesday after reporting its fourth straight quarterly drop in net income.

Consumers have been switching to Apple Inc.’s larger iPhones and cheaper Chinese devices as the rising South Korean won makes Samsung products more expensive abroad.

Making chips and screens for its own mobile devices while also supplying rivals may help Samsung blunt the impact of sales gains by Apple, which posted a surge in earnings.

The Galaxy S6 phones, including the more expensive Edge with a wraparound display, were released this month to positive reviews and strong demand said to have prompted an acceleration of curved-screen output.

“The second quarter will be brighter as mobile earnings are expected to improve, largely driven by the increased sales of the S6,” said Greg Roh, a Seoul-based analyst at HMC Investment Securities Co. “The pricier Edge device will take up half of the total S6 shipment from May, and that will give a strong lift to its mobile business.”

Shares of Samsung rose 1.4 percent to 1,385,000 won in Seoul, their first gain in a week. The stock has advanced 4.4 percent this year, compared with the 12 percent increase in the benchmark Kospi index.

Net income, excluding minority interests, fell 40 percent to 4.52 trillion won ($4.2 billion) in the quarter ended March, the Suwon, South Korea-based company said.

Samsung, the world’s biggest chipmaker, said it should capitalize on stronger demand for the semiconductors used in mobile phones and servers.

“In the second quarter, the company expects its overall earnings to increase,” Samsung said. “In 2015, continued growth is expected due to the growth of emerging smartphone markets, such as China and India.”

Operating profit at the mobile-phone unit fell 57 percent to 2.74 trillion won in the first quarter as Apple won high-end customers.

Samsung shipped 83.2 million smartphones in the March quarter, helping it regain the title of world’s biggest vendor after dropping into a tie with Apple in the December period, according to Strategy Analytics. Apple shipped 61.2 million iPhones in the most recent quarter, it said.

Samsung has projected record sales for the high-end S6 smartphones released this month. Samsung will sell 46 million this year, said Kevin Lee, an analyst at Korea Investment & Securities Co.

The phone is among the Samsung products featured in the new “Avengers: Age of Ultron” movie as part of a global partnership with Marvel Entertainment.

Demand for the curved-screen Edge prompted the company to accelerate production, people familiar with the matter have said. The company can make 5 million units a month, they said.

“Edge supply is fast-improving, so the tight supply situation will be eased during the second quarter,” said Park Jin Young, Samsung vice president of mobile communications. “If we look at it over the model’s life cycle, S6 will be the best-seller.”

Apple this week posted a 33 percent jump in profit in the quarter ended in March, driven by strong demand for the iPhone 6 models.

Profit at Samsung’s semiconductor business, which makes both memory chips and application processors, was 2.93 trillion won, compared with 1.95 trillion won a year earlier.

Samsung, which previously relied on semiconductors from Qualcomm Inc. for its mobile devices, switched to its own processor and modem chips for the S6 lineup.

The company also is said to have won orders for the main processors in the next iPhone.

The consumer-electronics division, which oversees TVs and home-appliances, posted a 140 billion-won loss in the quarter from a 190 billion-won profit a year earlier. Samsung expects the unit to have a stronger second quarter on seasonally higher demand for air conditioners and high-end TVs.

Increasing sales of high-margin screens helped Samsung’s panel-making division return to operating profit of 520 billion won in the first quarter.

Samsung Display Co. is expanding sales of its organic light-emitting diode, or OLED, panels from Galaxy devices to Chinese device makers, including Lenovo Group Ltd.

Samsung Display, which is 85 percent owned by Samsung Electronics, is said to have created a standalone team of about 200 employees to work exclusively on Apple products.

Capital spending in 2015 will be similar to the year earlier, though “there is a strong possibility that it may increase,” Samsung said. The company spent 23.4 trillion won last year.

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FMC Technologies, UniPort to Develop Next-Gen Subsea Engineers

FMC Technologies, Inc. announced on Tuesday, collaboration with one of Nigeria’s premiere academic institutions, the University of Port Harcourt, with the intent to create the first Master of Science degree in Subsea Engineering offered in Nigeria.

Program curriculum will be developed in collaboration with industry experts to ensure students are prepared for work in the offshore oil and gas industry.

The University will be accepting enrollment applications for this new program starting in 2015.

“FMC Technologies is dedicated to developing its Nigerian workforce so that an ever-increasing number of technical, leadership and management roles in Nigeria can be performed by Nigerians,” said Michael Hunt, country manager, FMC Technologies. “This collaboration represents a major milestone in furthering the development of a highly skilled Nigerian workforce. These students will play a key role in the future of the oil and gas industry in Nigeria.”

Professor Joseph Ajienka, vice-chancellor of the School, expressed his gratitude and described the event as a major milestone, not only for the University of Port Harcourt, but also for the oil and gas industry in Nigeria. “We are very pleased to cooperate with FMC Technologies in this effort.  Given the facilities and experience of FMC Technologies, we are confident that a Master of Science degree in Subsea Engineering will add tremendous value to our services,” he added.

Upon graduation, program participants will have expanded opportunities to work in the energy industry, including potential employment with FMC Technologies in Nigeria.

FMC Technologies has been contributing to the growth of Nigeria’s vital oil and gas industry for more than 16 years and currently employs approximately 250 personnel in country.

More than 2000 jobs have been created, including its employees and supply chain. Nigerian employees have received more than 70,000 training hours since 2012 to expand their skills and increase the number of job functions that can be executed in Nigeria by locals.

In addition, FMC Technologies is currently providing over 80% of subsea production systems in country.

FMC Technologies, Inc., is the global market leader in subsea systems and a leading provider of technologies and services to the oil and gas industry.

The Company helps its numerous customers overcome their most difficult challenges, such as improving shale and subsea infrastructures and operations to reduce cost, maintain uptime, and maximize oil and gas recovery.

Named by Forbes® Magazine as one of the World's Most Innovative Companies in 2013, the company has more than 20,000 employees and operates 24 production facilities in 14 countries.

Source: Nigeria Communications week

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UNWTO expresses its full support for Kenyan tourism

During a recent visit to Kenya, UNWTO Secretary-General Taleb Rifai expressed the organization’s full confidence in the country’s tourism sector and its capacity to recover (April 25, 2015).

In solidarity with Kenya and its people, and on behalf of the international tourism community, UNWTO Secretary-General Taleb Rifai visited the country to highlight the economic importance of the Kenyan tourism sector, and convey his confidence in its strong resilience.

“Kenya is a true tourism success story and a long-term tourism leader, not only in Africa but globally. Over the years, the Kenyan tourism sector has become a backbone of the national economy and demonstrated a remarkable capacity to recover and regain momentum, which is why I have full confidence in its ability to bounce back even stronger. The world must hear from Kenya now. Kenya, with Africa, will move forward”, said Mr. Rifai.

On the occasion, Mr. Rifai met with the President of Kenya, Mr. Uhuru Muigai Kenyatta, to explore further areas of cooperation between Kenya and UNWTO, as well as the importance of domestic tourism, increased regional cooperation, and the need for more precise travel advisories.

Mr. Kenyatta confirmed the Government’s commitment to keep advancing the tourism sector also in these trying moments, and highlighted the importance of co-existence and working closely with neighboring countries to stabilize and promote East Africa.

“Terrorism is not a Kenyan issue, it is a global issue. We just happen to live on the front line. We will not change our plans but rather work towards eradicating the problem and to protect our people”, said Mr. Kenyatta.

Mr. Rifai also met with the Cabinet Secretary for East African Affairs, Commerce and Tourism, Phyllis Kandie, and the tourism task force, to further explore how UNWTO can assist public and private sector efforts to recover and consolidate Kenya’s tourism sector. At a joint press conference with Mrs. Kandie, Mr. Rifai reiterated UNWTO’s strong support to Kenya:

“Sometimes when we live in a country we do not see how the world sees us. The world has great respect for Kenya, as do the international tourism community. I want to assure you that we will do our part to help restore full confidence in this incredible destination”, concluded Mr. Rifai.

Source: Eturbo News

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Zambia's forest ecosystems contribute $1.3 Billion to national economy

Zambia's forest ecosystems contribute $1.3 billion, roughly 6.3 per cent of gross domestic product (GDP), to the national economy, further highlighting the crucial role forests can play in the global transition to a green economy, according to a new UNEP study.

Commissioned by the Government of Zambia, produced in partnership with the UN-REDD Programme, and released ahead of the High-Level Dialogue on Zambia's Draft National REDD+ Strategy, Benefits of Forest Ecosystems in Zambia and the Role of REDD+ in a Green Economy Transformation takes a wider look at the value of forest ecosystems.

The report goes beyond elements already counted as value added in Zambia's Gross Domestic Product (GDP)—for example, wood products—to consider regulating, supporting and cultural services services such as eco-tourism, erosion control and sediment retention, pollination and carbon storage.

Looking exclusively at these additional services, the study found they are worth $515 million per annum, or around 2.5 per cent of GDP. This means that forest services have been undervalued by between 40 and 68 per cent. The inclusion of these additional services elevates the contribution of forests from 3.8 per cent to around 6.3 per cent of the 2010 GDP.

In addition, Zambia's forests provide about 1.4 million jobs, supporting 60 per cent of rural Zambian households who are heavily dependent upon the use of natural resources to supplement or sustain their livelihoods.

“From providing jobs to regulating water supplies and capturing carbon dioxide, using forests in a more sustainable way is vital to transit to a green economy,” said UN Under-Secretary-General and UNEP Executive Director Achim Steiner.

“At the upcoming climate change summit, the world has an opportunity to limit global temperature rise to 2 degree Celsius and limit the impacts of climate change. We need our forests to achieve this target,” he added. “If we work together under the UN-REDD Programme to reduce deforestation and forest degradation, we can cut greenhouse gas emissions to the atmosphere and boost the sustainable development agenda by safeguarding and expanding the economic benefits of forests.”

According to 2009 figures, Zambia has the second highest per-capita deforestation rate in Africa and the fifth highest in the world. The main direct drivers of deforestation are charcoal production, agricultural and human settlement expansion, and illegal exploitation of timber. The report aims to help change this situation by informing policy decisions on forest management and the implementation of activities under its national REDD+ process.

“This report provides an economic rationale for prioritizing REDD+ implementation by showing the significant economic benefits of doing so,” said Her Excellency Mrs. Christabel Ngimbu, Minister of Lands, Natural Resources and Environmental Protection of Zambia. “Thus, the potential is great for the forestry sector to play a very important role in the country achieving its Vision 2030 goals.”

“It is envisioned that these findings will further strengthen the resolve of the Government of Zambia to address the drivers of deforestation and forest degradation, and to implement the National REDD+ Strategy as part of the country's broader goals to achieve an Inclusive Green Economy,” she added.

The report finds that cost-effective ways of conserving and sustainably managing forests should be implemented to support growth consistent with the green economy, defined by UNEP as ‘an economy that results in improved human well-being and social equity, while significantly reducing environmental risks'.

Ways to reduce deforestation and forest degradation include strengthening and enhancing the management and governance of forests at local levels, introducing measures to reduce urban demand for charcoal, enhancing livelihoods and income generating activities that support or rely upon forest conservation and maintenance, and increasing the sustainability and efficiency of agricultural practices.

REDD+ actions that tackle the drivers of deforestation and forest degradation, and which are verified as part of the UN Framework Convention on Climate Change (UNFCCC) process, could lead to results-based payments. One option that could balance the need for economic growth and development with REDD+ results-based actions= is greater efforts to improve the agricultural productivity of, and value derived from, existing cultivated and degraded areas, rather than expansion into virgin forest areas, as is currently the case in Zambia.

At the global level, the value of forests is well established. A report by UNEP's International Resource Panel Working Group on REDD+ and a Green Economy showed that non-timber forest products can generate four million person-years of employment annually, along with $14 billion in international trade and far more in local subsistence benefits. Additionally, stimulating sustainable management of forests could provide up to 16 million additional jobs globally.

The Zambia forest valuation report is one in a range of country-specific valuation studies that UNEP is carrying out under the UN-REDD Programme to increase momentum for REDD+ implementation at the national level. By highlighting the value added of forest ecosystem services to the national economy and by providing the basis for the country to account for its natural capital in national accounts, including to many private sector actors that form the backbone of the economy, governments are provided with a stronger rationale to use forest resources in a more sustainable way.

Studies have been completed for Kenya and Panama, and UNEP is currently working with the Governments of Tanzania, Nepal, Ethiopia and Indonesia. A synthesis combining the findings of this work will be released later this year.

Source: Eturbo News

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