THE WEEK IN FIVE
TRADE unions threaten Eskom with protest action should the cash-strapped parastatal go ahead with its plans to let go of 7 000 employees in the next five years. The company confirms it intends to reduce the headcount from 48 678 to 41 613 by 2023 across all levels through normal attrition. Eskom is battling a net loss of R2.3 billion and R19bn in irregular expenditure.
THE country’s annual inflation rate accelerates to 5.1 percent in July for the first time since September last year as a result of high fuel prices. This is up from the 4.6 percent recorded in June. Higher global oil prices have resulted in petrol prices growing at their fastest pace in six years in July.
THE Land Bank warns that the contentious land expropriation without compensation policy could bring the organisation’s stability under threat if it is poorly executed. It worries that if investors stop funding the company, it could affect the bank in particular and the agriculture industry in general. The bank has grown its development portion of its loan book to R5.5 billion for the year to end March 31, up from last year’s R4.9bn.
PETROCHEMICALS company Sasol announces plans to spend R68bn in capital expenditure in the next two years as it consolidates its footprint in North America and Africa. A portion of the investment will be channelled to the Lake Charles Chemical Project (LCCP) in Louisiana, US. The LCCP project consists of a 1.5 million-ton-per-year ethane cracker, among other units.
SHOPRITE reports in its annual results for the year to July 1 that diluted headline earnings per share declined by 3.8 percent to 968.7 cents a share. It attributes the decline to the 15 percent VAT increase, record fuel prices and sugar tax. However, the retailer managed to increase total turnover by 3.1 percent to R145.3bn.
Compiled by Luyolo Mkentane