The Nation Newspaper

Category: Business

  • FAAN to certify Lagos, Abuja airports

    FAAN to certify Lagos, Abuja airports

    IN line with international best practices,the Federal Airports Authority of Nigeria (FAAN) may certify the Murtala Muhammed International Airport, Ikeja, Lagos and Nnamdi Azikiwe International Airport, Abuja before the end of March after their fulfilment of certain requirements.

    The Director of Airport Operations, Captain Henry Omeogwo, said FAAN had started closing all the open items identified in the last airports audit by the International Civil Aviation Organisation (ICAO) in 2006.

    Omeogwu said FAAN was collaborating with the Nigeria Civil Aviation Authority (NCAA) to ensure that the timeline set for the certification airports’ was accomplished.

    He said the government would ensure that all lapses observed in infrastructure were fixed in record time.

    Nigeria, he said, could not afford to have its 22 airports uncertified, as failure to do that could be a disincentive to foreigners who consider Nigeria a good destination to grow their businesses.

    Some of the requirements for airports certification include improved state of airport and air navigation infrastructure; adequate fire cover; standard runway length, width and markings; proper lighting and a comprehensive airport emergency plan, according to ICAO.

    Others are implementation and maintenance of a safety management system, standard operating procedures, which manifest through aerodrome operations manual, aerodrome emergency plan and aerodrome security programmes.

    Omeogwo said the airports’ certification would position the aviation sector as a key driver of socio- economic development.

    He said: “ We need the aviation sector as a key driver of the transformation agenda of the government. It is for this reason that government is carrying out massive infrastructure upgrade at airports across the country, such that the safety of the airports will be used as a fundamental strategy to achieve transformation. When our airports are certified, investors will come in to develop all sectors of the economy.

    “With certification, our airports will become safer, more efficiently run and profitable.”

    In a related development, the Director of Legal Services, FAAN, Mr Mark Jacob, has said the airport authority did not cede land to a concessionaire AIC Hilton Limited to build a hotel near the diplomatic car park of the MurtalaMuhammed International Airport, Ikeja, Lagos.

    Speaking in an interview, with reporters in Lagos, Jacob said FAAN as a responsible organisation would not allow individual interest of businessmen to over ride public interest as far as safety and security around the airports were concerned.

    He said the ‘ illegal action’ of the concessionaire to commence building at the disputed parcel of land is laughable, because the closeness of the land to the runway and tarmac of the airport could compromise the security of the airport and aircraft flying into Nigeria.

  • Sterling Bank’s customers win SUV, cash prizes

    Sterling Bank’s customers win SUV, cash prizes

    Sterling Bank at the weekend gave out a brand new Sport Utility Vehicle (SUV) to one of its loyal customers – Amadi-Nna Homa – the grand prize winner in its savers’ promo.

    The winner’s account is domiciled at the Trans Amadi (Port Harcourt) branch of the bank.

    Other four customers -Enilari Oladipupo, Musa Adamu, Adeleke Olusegun and Nunu-Janet Aduka won N1 million each while Badmus Dauda, Danjuma Ringin, Lawal Kadijat & Maruf and Nkiri Denis among others won N500, 000 each. There were also consolation prizes such as home theaters and refrigerators won by 10 other customers.

    The star prize winner won by saving a minimum of N100,000 for three months; customers that won N1 million saved N50,000 for three months while those that won N500,000 saved a minimum of N25,000 for three months.

    The winners emerged after electronic draws witnessed by Consumer Protection Council (CPC), National Lottery Regulatory Commission (NLRC), the media and members of staff of the bank.

    Sterling Bank’s Head, Retail Markets, Donald Osa-edokpolor said rewarding these customers is a confirmation of the bank’s integrity and commitment to its customers. According to him, the exercise is also part of the lender’s commitment to financial inclusion, which entails reaching the unbanked segment of the population with financial products.

    He said the bank would continue to support its loyal customers in growing their businesses and meeting their personal needs.

    He advised the bank’s customers to cultivate savings culture to enable them save funds for the rainy day.

    The bank’s Group Head, Liability Products and Bancassurance, John Akingbade, said 70 winners have, so far, emerged since the bank commenced the promo about six months ago.

    He said the winners have collected their prizes, adding that the promo has achieved its objective of achieving financial inclusion within the banking sector.

    Chief Planning, Research and Statistics, CPC, Susie Odiete, said all the draws that produced the winners were transparent. She said that the council has insisted on electronic draws because of the transparency of such process adding that all the past winners have been contacted, and they all confirmed, that the have received their prizes.

  • FAAC inflows, matured OMO slash interbank rate

    FAAC inflows, matured OMO slash interbank rate

    The inter-bank rate last week fell by 187 basis points over injections of the monthly Federal Accounts Allocation Committee (FAAC) funds and matured Open Market Operation (OMO) bills. From N567 billion appropriated among the three tiers of government on January 14, N283.65 billion hit the market, in addition to matured OMO bills, to douse rising money market rates.

    Also, the Central Bank of Nigeria (CBN’s) liquidity management remained active and supported by the Monetary Policy Committee’s decision to leave the Monetary Policy Rate (MPR) unchanged at 12 per cent on November 20.

    Fixed Income & Currencies Analyst AT Ecobank Nigeria, Olukunle Ezun said the policy has manifested in the frequency of CBN’s market interventions as seen in the mop up of over N110 billion on January 15 to reinforce its liquidity management efforts, in addition to over N956.8 billion treasury bills and OMO bills sold year to date to ensure price stability.

    Also, call and seven-day money market rates fell 12.7 per cent and 12.9 per cent on January 17 while the three-month Nigeria Interbank Offered Rate (NIBOR) also fell 14 per cent, though fewer activities are done on the tenor. The secured lending (Open Buy Back) fell 12.3 per cent for commercial banks. Mr Ezun explained that with market liquidity of about N450 billion, the CBN is expected to mop up to ensure price stability.

     

    Naira

    The naira fell, extending its worst week against the dollar in nine, on speculation the government spending will rise and as corporate demand for foreign exchange increased after the central bank reduced supply.

    The currency weakened less than 0.1 per cent to N157.1 a dollar and had retreated 0.5 per cent last week, the worst five-day performance since November 16, according to data compiled by Bloomberg.

    “Given the intended liquidity injections and assumption of dollar-naira at N160 in the 2013 budget, the naira might come under pressure due to increased government spending,” analysts said.

    The CBN sold $120.30 million last week at auction, a 38 per cent decline from the previous week, according to data on its website. The regulator sells foreign exchange at auctions on Mondays and Wednesdays to stabilise the naira.

    Also, yields on naira debt due 2022 fell 10 basis points to 11.27 per cent while borrowing costs on the nation’s $500 million of Eurobonds due January 2021 declined two basis points to 3.716 per cent last Friday. Nigeria’s inflation rate eased to 12 per cent in December, from 12.3 per cent a month earlier, the first decline in three months as the effects of flooding that damaged agricultural output began to recede.

     

    Banks’ deposits

    Five out of the 21 banks operating in the country control 53.14 and 51.64 per cent deposits and assets within the sector, CBN Financial Stability Report for June 2012 released last week indicated.

    The report showed that the figure was an improvement from 52.06 and 53.01 per cent deposits and assets respectively recorded at the end of second half, 2011.

    The report endorsed by CBN Deputy Governor, Financial System Stability, Dr Kingsley Moghalu said the market share of the largest bank with respect to assets and deposits, stood at 14.05 and 15.60 per cent respectively. This he said, is also an improvement when compared with 13.84 and 15.15 per cent respectively recorded a year ago.

    “The average market share of assets and deposits of five largest banks stood at 51.64 and 53.14 per cent respectively compared with 53.01 and 52.06 per cent at the end of second half, 2011. The market share of the largest bank with respect to assets and deposits, stood at 14.05 and 15.60 per cent respectively. This compared with 13.84 and 15.15 per cent in 2011,” the report said.

     

    AMCON

    The Asset Management Corporation of Nigeria (AMCON) also recovered 10 landed properties, a vessel and other assets from a firm.

    A statement from AMCON, said the recovery followed a court order granted on October 19, 2012 by Justice Idris of the Federal High Court and executed last Wednesday.

    It explained that counsel to AMCON, Olisa Agbakoba & Associates, secured the court order to take over the movable and immovable properties as well as freeze bank accounts of the debtors, pursuant to provisions of the AMCON Act 2010. The firm and its Managing Director reportedly have an outstanding of about N27 billion in AMCON’s books.

    “The Act empowers AMCON to undertake recovery measures against debtors who have refused to pay up their debts that have become non-performing and inimical to the financial system. The non-performing loan was acquired by AMCON under its mandate to clean up non-performing loans from the Nigerian financial system,” it said.

     

    Banks’ credit

    Credit by Nigerian banks is expected to rise by 20 per cent within the year, Renaissance Capital (RenCap), an investment and research firm has said.

    In an emailed report obtained by The Nation, RenCap said that Nigerian banks excite it most within the Europe, Middle East and Africa (EMEA) banks context in 2013. According to the firm, with its growth expectations for Gross Domestic Product (GDP) of 6.7 per cent, the Nigeria market should benefit from accelerating top-down trends.

    It tipped United Bank for Africa, Access Bank, Zenith Bank and Skye Bank as lenders that could achieve a double-digit Earnings Per Share growth across the board. It also said West to East African banks are also viable performers within the year, with the Kenyan elections a potential headwind.

    RenCap said Equity Bank remains its pick of the bunch on a relative basis. “Within the liquid space, this could be Russian banks’ year. Although we are more conservative with our outlook for the sector at the start of 2013 then we were throughout 2012, market appetite has begun to rise for risk assets,” it said.

    Inflation

    Ahead of today’s meeting of the MPC, analysts have forecast that CBN will leave both the MPR and Cash Reserve Ratio (CRR) unchanged at 12 per cent, until broad-based macroeconomic stability has been achieved.

    MPR is the benchmark rate by which the CBN determines interest rate while CRR is a portion of banks’ deposits kept by banks with the CBN.

    Head African Markets, Standard Chartered, Razia Khan, explained that with the threat of a higher benchmark crude price being adopted in the 2013 budget, there is likelihood that the CBN will today, leave the rates unchanged.

    She said there are a number of interesting points to note about the December inflation figure, which decelerated to 12 per cent year to year from 12.3 per cent earlier. According to her, the key driver of Consumer Price Index appears to have been a rise in core inflation – up to 13.7 per cent year to year in December.

     

    BDCs

    The CBN has warned authorised dealers against patronising 236 Bureau De Change (BDC) operators whose licences were revoked a week ago. In circular to all authorised dealers, BDCs and general public, CBN Director, Trade and Exchange Batari Musa advised that any foreign exchange transaction, including sale to and purchase from the affected BDCs is illegal.

    He also said transfer of funds through the affected BDCs and or on their behalf is no longer allowed. Some of the affected BDCs include A.F.A. BDC, A.I.A. BDC, Acclaim BDC, African Shelter BDC, Afrinvest BDC and All States BDC. Others are AMD BDC, AMX BDC, BTC BDC, Kano Agency BDC and IAS BDC.

    The CBN had on October 2, 2012 published the list of BDCs that were in contravention of 3.5 of the CBN BDC Guidelines, which stipulates that every BDC shall maintain a mandatory caution deposit of $20,000 with the apex bank.

     

    MPR

    An economist, Henry Boyo, has called for a policy shift in the monetary policy stance of the CBN to enable the economy and real sector to experience desired growth.

    He spoke at a roundtable organised by Save Nigeria Group (SNG) with theme, Fiscal and monetary policy crises – Way out. The said the economy is not growing because the apex bank policy has failed to bring inflation and interest rate within a single digit, thereby stifling operations of the productive sector of the economy.

    He said faulty monetary policy stance promotes corruption and weakens the naira because stakeholders involved in the exchange of the dollar allegedly benefit from it.

    However, CBN Director of Research, Charles Mordi, faulted Boyo’s position, saying he is misinforming the public, adding that such economic propositions are not correct.

    He said the CBN agrees there is need for a single interest rate, but it is difficult to have a strong naira, low interest rate and low inflation at once especially in a developing economy like Nigeria.

    According to him, low interest rate is desirable, but so many factors have to be in place to achieve that.

    He said the monetary policy direction of the CBN is in order and has assisted the country in improving its growth trajectory.

     

    GDP

    The Federal Government plans to change its Gross Domestic Product (GDP) base year to 2008 from 1990 will add N400 billion to its nominal GDP, Managing Director, Financial Derivatives Company (FDC), Bismarck Rewane, has said.

    Speaking during the Finance Correspondents Association of Nigeria (FCAN) Roundtable on the Economy in Lagos, he explained that nominal Gross Domestic Product (GDP) is estimated at $273.8 billion.

    According to him, by carrying out the exercise, Nigeria will be emulating Malaysia and South Africa, which rebased their GDPs from 2000 to 2005 each and Ghana from 1993 to 2006.

    He said rebasing the GDP would make the rich richer and the poor poorer while the country’s growth trajectory will nosedive.

     

    Bank to bank report

    Standard Chartered Private Equity and Ashmore has announced that they have invested in GZI, an aluminium can manufacturer based in the country.

    In a statement, Head of Standard Chartered Private Equity in West Africa,Yemi Osindero, said: “We are excited to have invested in a long-term Standard Chartered client that is building a world-class can manufacturing company. From its initial production plant in Nigeria, GZI has followed a very profitable growth path, and established itself as an integral member of Nigeria’s beverage sector.”

    He said the investment will assist in growing GZI into a market-leading, pan-African beverage-packaging firm.

    Ecobank Nigeria has given out cars to star winners in its Win Big promo. The winners include Green James Rose (King Jaja branch), who won the star a Nissan SUV and Margaret Omisakin (Ile-Ife branch), who also won a Nissan Salon car. The winners emerged from 1,519,340 qualified entries for the grand prize.

     

     

  • Importers to Fed Govt: review tariff

    Importers to Fed Govt: review tariff

    The Federal Government has been urged to review port tariff and make the ports attractive for businesses.

    Importers and clearing agents, who spoke with The Nation, said the review became necessary to eliminate arbitrariness and ensure parity with other ports, particularly those of neighbouring countries.

    The National President, Association of Nigerian Licensed Customs Agents (ANALCA), Prince Olayiwola Shittu, said port tariff is not commensurate with the services rendered by terminal operators and it makes the ports uncompetitive.

    Shittu said the terminal operators need to emulate the Nigerian Shippers’ Council that has abolished service charges, bank charge, commission on turnover and concessionaires’ service charge to reduce the cost of doing business in the ports.

    Also, the Managing Director, Folas Motots, Chief Fola Alakija said the council had been implementing the Inland Container Depots (ICDs) project on Build Own, Operate and Transfer (BOOT) basis to bring shipping to the door of importers.

    He said despite the claim by the government that it has reduced its agencies at the ports; some of the agencies are still posing big challenges to port operations.

    The importer said there was need to revive and modernise the railway as a primary mode for long distance haulage of cargo and to free the Lagos ports road from its current poor state.

    According to him, the railway will also reduce the cost of transporting cargo in and out of the ports and create employment for the people.

    Alakija said there was need to embrace single window operation to eliminate human contact and the use of discretion, which has been identified as major as the biggest obstacles to quick cargo clearance from the port.

    He said the single window operation would not only facilitate trade, but it will also eliminate fraud and improve revenue generation.

     

  • Two million drivers face £1,000 fine

    As many as two million drivers could face £1,000 fines for failing to update the photo on their driving licence, according to the Driver and Vehicle Licensing Agency (DVLA).

    The photo on your driving licence needs to be updated every 10 years – and failing to do so would invalidate your licence and could leave you with a £1,000 fine if pulled over by the police.

    But as many as two million have not updated their photo, leaving them vulnerable to a nasty surprise if stopped with an invalid driving licence.

    The DVLA said it sends reminders out two months before a renewal is due.

    A spokesperson for the authority says: “Appearances can change and it is important that photo card licences are updated every 10 years to ensure the police and other enforcement agencies have the best possible photograph to help them correctly identify whether a driving licence is being used fraudulently.

    This, the agency said, helps prevent driving licence impersonation – stopping disqualified and perhaps dangerous drivers taking to our roads.”

  • Wanted: Plantain processors

    Wanted: Plantain processors

    Are you looking for a job? Thousands of jobs are coming in plantain processing. AKINOLA AJIBADE writes.

    LOOKING for jobs? Why don’t you try plantain processing?

    A report entitled: An economic assessment of plantain production in Rivers State, has noted that plantain processing has helped in creating jobs for entrepreneurs, marketers, and farmers, among others.

    The report described plantain processing as a significant economic activity for large and small-scale farmers.

    Plantain processing, it said, has the capacity to create jobs in many areas, if well-managed. It said the country has enough land for planting plantain, advising the unemployed to leverage on this.

    Total production of plantain globally is estimated at over 76 million metric tonnes. Of this, an estimated 12 million tonnes are produced in Africa, with Nigeria as major producer, according to the report.

    About 70 million people in the sub-region, it said, get more than one quarter of their food requirements from plantain, adding that the market is huge for individuals and companies.

    According to experts, plantain processing has the capacity to create over 150,000 jobs in two years. They said people can work as drivers, marketers or machine operators in plantain processing companies. About 200 medium-sized companies can be established in a state with a minimum of 10 employees, the experts added.

    The Managing Director, Best Foods Limited, Mr Emmanuel Ijewere, said plantain processing offers immense job opportunities for people. The firm is into livestock farming. He said many people eat plantain in one form or the other, adding that there is huge market for the product in Nigeria.

    Ijewere said the demand for plantain outstrips its availability, adding that more people must plant plantain to increase the supply.

    He said: “From all indications, people who are planting plantain are not enough. This means that more people must plant plantain either for home consumption or commercial purposes. Through this, the growing demand for plantain would be met in the country. This means job opportunities for the country. Besides, we do not have enough people in plantain processing.

    “Of note is the fact that plantain flour is gaining acceptability in the country. Many eat it as a substitute for amala. Medically, plantain flour is good for diabetic patients. Doctors are advising diabetic patients to eat plantain flour because of its nutritional value. You would notice that plantain market is becoming bigger by the day. This shows that as many people that go into plantain production would make money.”

    He said plantain processing has huge potential, advising people to think of what they can do with plantains for a living. He said plantain can be processed into consumables, offering different sources of making money. The market, he added is huge, noting that more jobs are coming for individuals and companies who go into plantain processing.

    Ijewere said more people would get jobs if plantain is grown quarterly in industrial manners.

    Also, a former banker, Mr Dickson Ayobami, said plantain can be processed into plantain chips to create jobs. He said unripe plantain is spiced and deep-fried to produce crispy chips, which can be packaged and sold as junks at schools and to travellers by vendors. He said fairly ripe plantain can be processed the same way, stressing that it can last for days without addictives if well-processed.

    Ayobami, now into plantain farming, said his plantation in Osun State has created jobs for many people. He said the plantation has helped in employing labourers, farmers, harvesters, drivers, among others. He also said he employed people to market plantain chips in Osun, Oyo, and Ondo states, adding that many people eat plantain chips.

    He said branding is crucial to the growth of the business, urging graduates who intend to go into the trade to brand their products well.

    He said: “A lot of plantain produced is wasted, especially in the southern parts of the country. In some cases, the product is sold at a cheaper price. This is the time for the unemployed to look inward and create jobs for themselves. If the country has 100,000 people producing plantain chips, they are not enough. The educated ones have an advantage over the uneducated. It is compulsory that they should market plantain chips themselves. They can market, and pay them commission.”

    He said plantain flour production has a higher jobs prospect, adding that the plantain processing business involves procurement of matured plantain, peeling, chipping, drying, milling and packaging. He said people are required to work in these areas, adding that the process of producing plantain flour is mechanical, and that the food is recommended for diabetic patients.

    “When many companies go into production of yam flour to meet the needs of diabetic patients across the country, more people would be employed as marketers, and get paid. Those who are educated would benefit because they would be able to convince patients to buy the plantain flour. This will have a multiplier effect on the economy”, he added.

    Ayobami said people who are going into plantain flour production must get a small factory, procure machines, install them, recruit people, and get approval from agencies regulating food production and packaging in the country.

    He said buyers, mostly diabetic patients, would buy the product.

    The Managing Director, Zion Hospital, Ikotun, Lagos state, Dr. John Adanike, said diabetic patients are advised to eat plantain flour to improve their health conditions.

    Adanike said such patients need the food for their health, adding that hospitals offer producers of plantain flours an opportunity to market their product. He said people give higher consideration to anything that has to do with health.

  • NSE introduces internal whistle blowing

    TO have an effective corporate governance regime, the management of the Nigerian Stock Exchange (NSE) is set to introduce an internal whistle blowing for the organisation.

    The Nation learnt that the council has approved the proposal to incorporate the scheme into the staff handbook, adding that the handbook has been given to the staff.

    By last week, notices had been served on staff members, requiring that they endorse a portion of the document signifying compliance by the rules in the book.

    According to investigation, a proper structure needs to be put in place for those interested in using the instrument to take advantage of it. It was learnt that the internal whistle blowing was meant to protect employees.

    “For an effective Corporate Governance, every organisation should have such scheme in place. Management of any organisation that is worth its salt should have a good corporate governance structure where a channel will provide a means of getting the pulse of the staff, rather than from outsiders or through the media.”, the source said.

    It would be recalled that the legal and regulation of the exchange under which the Marketing Surveillance Department operates, recently stated that the whistle blowing scheme for the market will be launched this year.

    The exchange said it would be needed and that they are in the plan.

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

     

  • Drivers spend 99 days stuck in traffic, says report

    DURING their lifetime the average British motorist will jump 87 red lights, drive 269,296 miles, swear 323 times at other motorists and hoot a total of 62 cyclists.

    According to Press Association, they will fill-up with petrol 2,214 times and get stuck in traffic nearly ten thousand times a study has found.

    Researchers revealed over the course of our driving life we will spend 99 days stuck on gridlocked roads, will make 1992 phone calls and will check our smartphone for emails or texts over a thousand times.

    The details of 2000 drivers’ habits emerged in a study commissioned by Skobbler, developers of iPhone sat nav app GPS Navigation 2, and revealed we will get lost 371 times.

    Whilst behind the wheel we spend 384 days listening to the radio and 337 days playing our own music which means on average we sing 4104 times in the car.

    Marcus Thielking, Co-founder of Skobbler said: “There is no excuse for behaviour such as jumping red lights, tailgating fellow motorists or cutting people up.”

    “Being a motorist involves a lot more than just driving and whilst we all try to be sensible drivers it would seem we are all guilty of a few misdemeanours, whether it’s speeding or using our phones illegally.”

    “This research shows we do spend an awfully long time in the car and many motorists will conduct a lot of their other business in their vehicle.”

    The study also found that the typical adult will share 680 kisses in the car and will have sex four times from the age of 17 and upwards.

    But on the contrary the average adult will have a whopping 2974 rows with a partner whilst they are behind the wheel. The kids are bearing the brunt too as they get 5520 tellings off. We will suffer from 2 flat tyres, breakdown twice and tot up a total of 51 speeding tickets in addition to 62 parking tickets.

    The stresses of life have got so much that the average person has resorted to having a good old cry 76 times whilst in their car. And other extra-curricular activities include eating in the car (897 times) and applying make-up (319 times).

    Car maintenance such as checking oil and tyre pressure will take place 233 times and we will top up with screen wash 185 times in our driving life time.

  • Committee on corporate governance constituted

    The Federal Government has inaugurated the  Steering Committee for the development of the country’s National Code of Corporate Governance.

    The committee has six months to submit its report.

    Speaking during the inauguration in Abuja, the Minister of Trade and Investment, Olusegun Aganga, said the Committee would develop a unified Code of Corporate Governance that would enable the FRC to act as the national coordinating body for corporate governance issues.

    He said: “It will also promote the highest standards of corporate governance principles and practices while encouraging sound systems of internal control and information systems control to safeguard stakeholders’ investment and assets of public interest entities, among other things.

    “The need for a comprehensive and mandatory National Corporate Governance Code had become imperative given the multiplicity of Corporate Governance Codes in the country, this new initiative would instill the culture of transparency, accountability and improve the country’s Doing Business Ranking.

    “I must say that this administration views the issuance of a National Code of Corporate Governance as a very important deliverable that can be used to enhance our national competitiveness and address some socio-economic issues, including corruption and lack of independence.

    “It is also an opportunity to raise the bar in the public and private sectors and to ensure that there are stiff penalties and that directors are personally liable for their actions and inactions.”

     

     

     

     

     

  • Mitsubishi Outlander: The last of all

    Mitsubishi Outlander: The last of all

    The 2013 Mitsubishi Outlander represents the final version of the current generation, as a full redesign is due late next year. For 2013, all Outlander models have heated side mirrors, while the SE and GT trims have heated front seats. TAJUDEEN ADEBANJO writes with agency addition.

    he formula for a successful compact crossover is simple: plenty of space for five passengers and their stuff, lots of utility, fuel economy that makes the old Tahoe a distant memory and inoffensive, unremarkable design. The 2013 Mitsubishi Outlander — the end of the line for the current-generation model — nails much of those criteria with the exception of the last. With its sharply creased exterior styling, the Outlander was not designed to slip quietly through the school drop-off area.

    Assertive styling and handling have made the Outlander a solid outside pick in years past, but one expect the redesigned model due in late 2013 to get in step with today’s leading crossovers by offering greater versatility, a nicer cabin and higher fuel economy.

    In the meantime, the Outlander remains a good choice for buyers with performance-oriented criteria, including sporty handling and V6 power. The Outlander is also among the roomiest cargo haulers in its class, and it offers plenty of standard and optional features, including a rear-seat entertainment system as well as a navigation system and 40GB music server.

    The Outlander’s fateful flaw, however, is its cabin, which is functional in a sporty sort of way yet does not offer the premium aspect of the competitors in this class. The Outlander’s puny, rickety third-row seat is another drawback. Although the Outlander is billed as a compact crossover with seating for up to seven passengers, one would never put friends back there unless you wished to end the friendship. The area is cramped and the seat is lightweight and flimsy. Kids will not fare much better, either.

    The Outlander does not get the attention it deserves, though. It is one of a handful of small crossovers to offer a V6 option, which increases towing capacity to 3,500 pounds. Its tail/liftgate combination is surprisingly useful. And the Outlander handles more like its quick-witted Lancer Evolution relative than comparable cushy crossovers.

    At the same time, the Outlander has been outpaced in a segment that evolves quickly. The Honda CR-V and Ford Escape were both recently redesigned, and the Toyota RAV4 should bow later this year with new sheet metal and hardware. The spacious Chevrolet Equinox, the handsome Kia Sorento and new Mazda CX-5 are also all worthy considerations. Overall, we like the Mitsubishi Outlander but we also think the majority of small crossover shoppers will likely be happier with one of the aforementioned rivals.

    When it comes to driving dynamics, the 2013 Mitsubishi Outlander is among the most enjoyable picks in its segment. Its handling limits are noticeably higher than the typical crossover’s, its steering is pleasantly weighted and its suspension is tuned to deliver athletic handling that does not come at the expense of comfort. While the Outlander’s V6 is not as powerful as those in the Kia Sorento or Toyota RAV4, it delivers brisk acceleration. As an added bonus, the all-wheel-drive system ably keeps the car planted on loose road surfaces like sand and snow.

     Body styles

    The 2013 Mitsubishi Outlander is available in three trim levels: ES, SE and GT.

    The entry-level ES is equipped with a four-cylinder engine and comes standard with 16-inch steel wheels, roof rails, heated side mirrors, LED taillamps, air-conditioning, cruise control, remote keyless entry, full power accessories, a leather-wrapped steering wheel with audio controls, cloth upholstery, reclining rear seats and a six-speaker sound system with a CD player and an auxiliary audio input jack.

    The SE adds 18-inch alloy wheels, foglights, turn signals in the mirrors, keyless ignition/entry, upgraded gauges and upholstery, automatic climate control, heated front seats, sliding second-row seats, third-row seats, steering-column-mounted paddle shifters, a six-disc CD changer and the Fuse hands-free link system that integrates voice controls for iPod and Bluetooth devices.

    All Outlander GT models are powered by a 3.0-litre V6 and come with all the above-mentioned features plus automatic xenon headlights, automatic wipers, satellite radio, chrome accents and soft-touch dash and door trim. The AWD GT also includes an active front differential, hill start assist and an advanced AWD mode selector.

    SE models are eligible for the premium package, which adds a sunroof, an auto-dimming rearview mirror, a rearview camera, a nine-speaker Rockford Fosgate premium sound system with satellite radio and the soft-touch interior trim. The Touring package is offered on GT models; it features most of the amenities in the premium package and adds leather upholstery (front- and second-row seats), heated front seats and a power-adjustable driver seat.

    A hard-drive-based navigation system with real-time traffic and digital music storage is available as a stand-alone option for all trims, as are rear parking sensors, LED interior lighting, a tow hitch and harness, a rear entertainment system and remote engine start.

    Powertrains and performance

    The Outlander ES and SE are powered by a 2.4-litre four-cylinder engine that makes 168 horsepower and 167 pound-feet torque. The GT has a 3.0-litre V6 that is good for 230 hp and 215 lb-ft of torque. Four-cylinder Outlanders come standard with a continuously variable transmission (CVT), while the V6-powered GT uses a traditional six-speed automatic. Both have manual-shift capability.

    All-wheel drive is offered as an option on the SE and GT, while the ES is front-wheel-drive only. The AWD system offers different driver-selectable modes to optimise traction in varying conditions. The GT’s all-wheel-drive system features an improved front differential, plus additional driving modes.

    All major safety features are standard on the Outlander, including antilock disc brakes, stability and traction control, front-seat side airbags and full-length side curtain airbags. Whiplash-reducing front head restraints are also standard.

    Interior design and special features

    The Outlander’s cabin feels distinctly austere and masculine, all square lines and clean surfaces devoid of the accents and flourishes seen in rivals striving for a more premium environment. On one hand, the interior’s unadorned utility complements the Outlander’s more rugged, all-weather credentials. Outlander GT models step it up a bit with soft-touch upper instrument panel and door trim, with eye-catching double-stitch accents. But folks considering one of the other, more mainstream trims will wonder why the cabin is not as nice as that seen in a Ford or Kia.

    The Outlander’s steering wheel tilts but does not telescope, something taller drivers should consider. The Fuse system allows you to make phone calls and access your iPod via voice commands, and is relatively intuitive to use.

    SE and GT models come with a third-row seat that works in a pinch, but is too slight and ineffectual for regular use. Small, cramped and located uncomfortably close to the tailgate glass, this mini jump bench is also remarkably ill-padded. On the plus side, the Outlander offers a unique flip-down tailgate capable of supporting up to 440 pounds. With the second- and third-row seats folded, total cargo space measures nearly 73 cubic feet — significantly more than the CX-5 and Escape, slightly more than the CR-V and about even with the RAV4.