Media Briefing
Issued by the Business Development,
Marketing & Corporate Communications Department
Namibia Airports Company
For further information regarding this release please contact:
Vicky Raimond-Muranda (Media and Communications Officer)
Tel: 061 295 5544
Cell: 081 243 4345
Fax: 295 5578
E-mail: vickyr@airports.com.na
Monday, 28 April 2008
NAMIBIA AIRPORTS COMPANY (NAC) BOARD VISIT TO UNITED STATES
There is an obligation placed upon corporate entities to ensure that the board
members are trained. The Importance of corporate governance and board of
director training is to provide theoretical and practical guidelines on corporate
governance as well as to give guidelines on the role, duties and
responsibilities of directors in terms of the law in relation to the expectation of
the shareholder. Directors are required to develop skills to govern companies
on sound corporate governance, business and ethical principles. The
Company has not provided long-term training but to capacitate directors
during their tenure. The NAC trained during the past few months the
Chairman of the Board on financial training for non-financial people, as with a
Board of only three directors who need to approve budgets, financials and
other investments it was deemed prudent that all directors be comfortable with
understanding the basics of financial principles. It is the Board which needs to
consider and decide upon recommendations from the audit and investment
committee.
Answer: The trip was money spent in line with their duty and the directors
therefore did not “blow” money. This trip was further in execution of a
Cooperation Agreement between NAC and Houston Airport Systems (HAS)
signed on 18 September 2006; as well as to attend the Passenger Terminal
Expo 2008 in Amsterdam, the Netherlands. The Passenger Terminal Expo
2008, in Amsterdam was a platform to exchange with other stakeholders in
aviation industry airports and airlines. Issues for discussions were issues such
as worldwide airport design & development; baggage IT security and
passenger processing; aviation security, threat management and disaster
prepararedness; environmental initiatives and airport sustainability; passenger
experience, customer service and employee training; airport retail and
concessions development. The delegation was also intended to visit airports
of similar size and situation in Saarbrucken and Hahn Airport in the Frankfurt
area. NAC officials attended the Saarbrucken and Hahn Airport Expo in March
2007 and an official further attended the 2008 Expo. The need identified was
to benchmark with other airports as Saarbrucken airport is similar to HKIA.
The trip was a Board initiative in line with their obligations to oversee the
management and operation of airports, and was duly sanctioned by the
Shareholder. This is also per the strategic role the Board is to play.
Yes, it enabled the NAC to commence reaping the fruits of the existent
Cooperation Agreement in the form of the upcoming training for airport
operations.
The travel expensed did not amount to N$ 500 000 as was stated by the
Media. The total cost of the trip was N$ 371 330-47 excluding travel and
subsistence. In addition the s & t for the three officials was N$ 14 887-65.
5. Did the Company pay for the leg of the trip to The Netherlands
and Germany portion, not undertaken?
Credits for legs not undertaken are due from the travel agents and
organisers and amount to N$ 44 642-54. The refund of €4 600 for the
Expo fees was immediately requested upon notification of the refusal of
the visas. The said refund is being awaited.
6. What is the amount all inclusive spent on the directors?
The amount inclusive spent is N$ 290 990-27 and expo fees of 4 600
Euros for which a refund is expected.
2. Was the trip a “golden handshake”?
The visit to HAS can by no means be seen as a “ golden handshake”
as the term of office of the directors is not determined by the Company
but by the Shareholder.
3. Was a “lavish trip” undertaken to Europe and the USA?
The travel and accommodation of the officials and directors were
according to the requirements of the Subsistence, Travel and
Accommodation Policy and can be no stretch of the imagination is
termed as having been “lavish”.
Travel was only to Houston Airport Systems (HAS) in Houston, Texas,
USA and not to Europe due to the lack of the required Schengen visas.
9. Was there anything of a corrupt nature done?
Referring to outline above we strongly object that the Company was
involved in corrupt practices as all procedures were followed.
10. Are there outstanding internal disciplinary hearings based on past
corruption?
The disciplinary hearings for the corruption which occurred in the past
have been finalized by 2006 (please confirm with Mark Kutzner
date).
____________________
Vemunjengua Kavari
Chief Executive Officer
/ENDS/