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Tag: Benefits

  • What you should know about Defined Benefits Scheme: Part 6

    What you should know about Defined Benefits Scheme: Part 6

    What are the cut-off dates for pure Federal pensioners and state with Federal Share pensioners?

    The cut-off date for the pure federal pensioners under the Defined Benefit Scheme is June 30, 2007 while the cut-off date for the state pensioners with Federal share is  March 31, 2011.

    Also, the state pensioners with Federal Share must have started work on or before March 31, 1976.  

    How do I correct an error in my  slip after I have been verified?

    Send a notification to PTAD attaching a photocopy of the verification print out and the supporting document(s) for the change to be effected.

    Why are monthly pension sometimes delayed?

    A number of reasons may cause delay in receiving Monthly Pension, such as non-availability of funds; change in bank records or account numbering system; failed payments due to technical glitches on the government’s e-payment platform; operational delays by banks (PTAD ensures follow up)

    Is the change of date of birth possible?

    Yes. Only the date of birth recorded at the time of entry into the service is acceptable for processing pension.There is no room for change of information on date of birth as such change does not translate to any possible pension benefit. Requests for change of name should be done in line with the answers under Question Number 47 below.

    How do I correct an error on my verification slip after verification?

    Send a notification to PTAD attaching a photocopy of the verification print out and the supporting documents for the change. See the answer to Question Number 42 above.

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    What are the procedures for change of account or bank by a pensioner?

    The pensioner should forward a formal application letter addressed to the Executive Secretary explaining the reason for the change of account. He should attach the following documents to the application- Statement of account of the old account, statement of account of the new account; BVN slip; and Letter of non-indebtedness from the old bank. Thereafter, he will be required to complete a certificate of indemnity in a prescribed form to indemnify the directorate from any form of liability that may arise from the change of account or bank.

    What are the procedures for change of name?

    The pensioner should forward a formal application letter addressed to the Executive Secretary explaining the reason for the change of name. The application should be accompanied with the following documents-Birth certificate or affidavit of declaration of age, National Identity Card issued by National Identity Management Commission (NIMC), Identity card, newspaper publication, BVN slip,   statement of account; marriage certificate for married women;  certificate of indemnity in a prescribed form to indemnify the Directorate from any liability arising from the change of name.

    What are the likely reasons for change of name by a pensioner?

    The main reasons people change their name are reflect change in- marital status such as marriage, divorce, etc; change of family name.

    What is the relevance of BVN in processing retirement and death benefits?

    The BVN is relevant because it serves as- A direct link between a person and his/her account; the best form of identification. A guide to ensure the right beneficiary is being paid.

    Can a pensioner occupy government house and pay rent or the purchase price with his pension?

    No. Not at the moment. The government does not provide accommodation for its pensioners. Once a public servant occupying government house exits from service, he will be given certain period to relocate so that the accommodation will be transferred to those in service.

  • What you should know about Defined Benefits Scheme: Part 5

    What you should know about Defined Benefits Scheme: Part 5

    • By Iyomere Tuedon

    What are the cut off dates for Pure Federal Pensioners and State with Federal Share pensioners?

    The cut-off date for the pure federal pensioners under the Defined Benefit Scheme is 30th June, 2007 while the cut of date for the State pensioners with Federal share is 31st March, 2011. Also, the state pensioners with Federal Share must have started work on or before 31st March, 1976.

    When are you paying our pension increase since the Salaries of workers have been increased?

    The Federal Government has not approved any increase in pension. Once it is approved and funds are released for the payment, the Directorate will implement the increase for the Pensioners without delay.

    Can spouses who are pensioners use the same or joint account to receive their pension?

    No. Pension is individually based and so cannot be paid into a joint account. See the answer to Question Number 28 above.

    Can a corporate or a business account be used to receive pension?

    No. Pension payment can only be made to the individual’s personal account.

    Is it possible for a pensioner to earn pension from two sources under PTAD at same time?

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    Pensioners are not supposed to have two pay points under the same Government under the Define Benefit Scheme (DBS). They are required to provide letter of transfer of service or merger of service. Those without merger of service or transfer of service will be dropped from one payroll unless they provide any of the two documents mentioned above. This is so because a person cannot be on pension and take up another pensionable appointment.

    When can a break in service be accepted?

    A break in service for the purpose of pursuing a course of study can be condoned (see Circular No. B. 21600/326). The officer seeking condonation of his break in service must submit the application for condonation within three years after he/she returned to Service and the condonation must be approved by the relevant authority before it can take effect.

    What is merger of service?

    An officer’s service can be said to have been merged when the officer leaves a pensionable appointment for another pensionable appointment and applies for the previous service to be merged with the new service. This is done to increase the length of service of the officer for the purpose of computation of pension benefits.

     It is not enough that the pensioner applied for merger, the application must be approved before the service can be merged or recognised.

  • What you should know about Defined Benefits Scheme: Part 4

    What you should know about Defined Benefits Scheme: Part 4

    • By Iyomere Tuedon

    What are the likely reasons for  a pensioner to be taken off the payroll?

    The reasons a pensioner will be removed from the payroll are  inconsistent or incomplete employment records; inconsistent or incomplete bank details; consistent failure of person’s payment for three months; an over payment of Monthly Pension is discovered; non-verification because the pensioner is not eligible; lack of BVN number; receipt of death notification; NOK attaining 18 years (Death in active Service in line with Section 6 of Pension Decree 102 of 1979)

    When will I receive my monthly  arrears?

    The Directorate is treasury funded. We wait for releases from the government and the arrears are paid in batches subject to availability of fund. Once a pensioner is sure that he has submitted therelevant documents, arrears will be paid on completion of the processes and fund is available.

    When am I hoping to be paid my gratuity?

    PTAD must first establish that the pensioner is eligible to receive gratuity. Payment is subsequently batched and made based on the availability of funds for this purpose.

    When are we going to be paid our balance of 33 per cent?

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    The balance of 33 per cent has been paid to pensioners in PTAD except those that were not on the payroll then.

    I was informed that my pension was stopped because I am operating a Joint Account. Please explain.

    It is because the payment of pension should only be made to individual pensioners.  A second or third party is not allowed to have access to your pension. Secondly, in the event that a pensioner dies, the pension should be stopped and having a joint account will mean continuous payment and withdrawal of the pension.

    I am a downsized pensioner and my gratuity was short paid. Where can I lay my complaint?

    Downsized pensioners who were short paid should direct their complaint to the Bureau of Public Service Reform (BPSR) or the Accountant-General’s Office.

  • What you should know about Defined Benefits Scheme (Part 2)?

    What you should know about Defined Benefits Scheme (Part 2)?

    What is the guaranteed period for pension?

    Five years is the guaranteed period for pension under the Defined Benefit Scheme (DBS). A pensioner who retires and he is qualified for pension is to earn pension for life but where the pensioner dies less than five (5) years after his retirement, the balance of five year guaranteed pension will be paid to his Next of Kin (NOK)

    Why is Verification necessary?

    It is necessary for PTAD to carry out Verification Exercise to ascertain the proof of life and create a credible database of all pensioners under the Defined Benefit Scheme (DBS). PTAD did not inherit a credible pensioners’ database. Consequently, there is the need to verify all pensioners under the DBS to enable PTAD respond to and resolve pensioners’ complaints promptly, accurately and conclusively. The verification of pensioners is therefore aimed at –the establishment of an accurate, credible, and digitised database of pensioners under the DBS, for the purpose of achieving prompt complaint resolutions; eliminating duplicate payments and ghost pensioners; regularizing anomalies such as over payments and under payments; obtaining relevant service records to ensure accurate computation of pension payments; and updating the records of the Next of Kin (NOK) for payment of death benefits.

    What are the required documents for the verification of a Pensioner?

    The requirements for pensioner’s verification are Letter/Gazette of First Appointment, Letter/Gazette of Confirmation of Appointment, Letter of Last Promotion; Letter of Retirement; Computation Sheet (for State pensioners with Federal Share), Severance payslip (for downsized pensioners), Statement of Account signed and stamped by the Bank; BVN print out with picture, Birth Certificate or Age Declaration, and Means of identification

    What are the required documents for the verification of the Next of Kin of a deceased pensioner?

    The requirements for the verification of Next of Kin are – Letter/Gazette of First Appointment of the deceased; Letter/Gazette of Confirmation of Appointment of the deceased, Letter Last Promotion of the deceased, Letter of Retirement of the deceased, Death certificate (from Government Hospital/National Population Commission), Bank Statement of the diseased from date of retirement to date. Letters of Administration issued by a Court of Competent Jurisdiction; Computation Sheet of the deceased (for State pensioners with Federal share); Severance payslip of the deceased (for downsized pensioners); Joint account Statement of account of the Next of Kin; BVN print out of the Next of Kin; Recognizable means of identification; Affidavit of Next of Kin; Marriage certificate if it is the wife

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    I’m the Next of Kin (NOK) of a deceased pensioner and I have not received any death benefit payment. When will I be paid?

    You are required to submit a complaint to PTAD together with the necessary documents listed above. Please note that the files of the Civil Servant who died while in service were sent to the Civil Service Pension Office which PTAD inherited. The deceased Departmental file is likely to be in our archive.

    What should I do since I have missed the general verification exercise and I have never received pension?

    You can walk into any of the Directorate’s offices in Abuja or Lagos with all the relevant documents for your verification. The verification is scheduled as follows: Customs, Immigration and Prisons, as well as Parastatal pensioners are treated every Tuesday. Civil Service Pensioners are treated every Wednesday Police pensioners and Parastatal pensioners are treated every Thursday. However, in light of the COVID 19 pandemic, verification is strictly by invitation. Pensioners must send their documents to verification@ptad.gov.ng for review before they are invited for verification.

  • Health benefits of garlic

    Health benefits of garlic

    Whole books have been written about garlic, an herb affectionately called “the stinking rose” in light of its numerous therapeutic benefits. A member of the lily or allium family, which also includes onions and leeks, garlic is rich in a variety of powerful sulfur-containing compounds including thiosulfinates (of which the best known compound is allicin), sulfoxides (among which the best known compound is alliin), and dithiins (in which the most researched compound is ajoene). While these compounds are responsible for garlic’s characteristically pungent odour, they are also the source of many of its health-promoting effects.

    More recent research has identified additional sulfur-containing compounds that are responsible for garlic’s star status as a health-supporting food. These sulfur compounds include 1,2-vinyldithiin (1,2-DT), and thiacremonone. The hydrogen sulfide gas (H2S) that can be made from garlic’s sulfides has also been the subject of great research interest. When produced and released from our red blood cells, this H2S gas can help dilate our blood vessels and help keep our blood pressure under control.

    Finally, when thinking about the sulfur compounds in garlic, it is important to remember that sulfur itself is a key part of our health. Several research studies have noted that the average U.S. diet may be deficient in sulfur, and that foods rich in sulfur may be especially important for our health. In addition to all of the sulfur-related compounds listed above, garlic is an excellent source of manganese and vitamin B6, a very good source of vitamin C, and a good source of selenium.

    Cardiovascular benefits

    Most of the research on garlic and our cardiovascular system has been conducted on garlic powder, garlic oil, or aged garlic extracts rather than garlic in food form. But despite this research limitation, food studies on garlic show this allium vegetable to have important cardioprotective properties. Garlic is clearly able to lower our blood triglycerides and total cholesterol, even though this reduction can be moderate (5-15%).

    But cholesterol and triglyceride reduction are by no means garlic’s most compelling benefits when it comes to cardioprotection. Those top-level benefits clearly come in the form of blood cell and blood vessel protection from inflammatory and oxidative stress. Damage to blood vessel linings by highly reactive oxygen molecules is a key factor for increasing our risk of cardiovascular problems, including heart attack and atherosclerosis. Oxidative damage also leads to unwanted inflammation, and it is this combination of unwanted inflammation and oxidative stress that puts our blood vessels at risk of unwanted plaque formation and clogging. Garlic unique set of sulfur-containing compounds helps protect us against both possibilities—oxidative stress and unwanted inflammation.

    • Source: www.whfoods.com

  • Benefits of artificial intelligence and robotics

    We often hear that technology is the foundation of civilisation, but what is technology? Technology is mainly organised practical knowledge. In this modern era, this knowledge is produced and organised based on scientific principles. These scientific principles have so far been the most robust way to discover knowledge and propagate technology.

    Essentially, the scientific method lets us know that the knowledge is right and thus can be relied upon. This feature of reliability of the scientific method thus allows us to build upon the knowledge as solid foundations and aggregate over time very complex concepts that seem like magic to the layman. It is important for us to understand that modern technology can provide consistent, robust solutions that will help tackle society¼s problems. Bringing this to the Nigerian context, it is that the best way to leverage this technology in the medium and long term is to own it and aim to develop internal capabilities to handle it., we understand technology from first principles and we become original authors and not just recipients and buyers of technology.

    Given the achievements of Nigerians outside the country, the task of developing internal capacities is very possible. By developing internal capabilities, I would love to see a Nigeria that defines itself as scientific. I would love to see a Nigeria in which scientific development is just one more of the great things we are known for. I would love to see a Nigeria where the average citizens can clearly see themselves become scientists, engineers, biologists that invent and contribute original content, who dare to lead and challenge more advanced countries in the science field. Right now, science and technology have a reputation in Nigeria that we need to change. On the international stage, we have proven that the African is capable of self-rule and developing technology. We have already proven that Africans are capable of achieving the highest standards of education.

    This will enable us take our rightful place among the respected civilisations. The benefits of unlocking our potential in technology are enormous. Thus, I am proposing a vision for Nigeria to be the first technologically developed black nation. Under this vision, religion, ethnicity, and anything else that separates us do not matter. All that matters is progress, practical justice and allegiance to this collective vision.

    For this vision to come true, we need to develop home-based technology. For Nigeria to become the first developed black nation, we need a scientific revolution. By scientific revolution, I mean we need to become a society guided by reason and evidence. Since we are a deeply religious nation, I have to mention that we do not necessarily need religion in a way that introduces dogma, narrow-mindedness, and a disregard for reason and common sense.

    We use religion in a very illogical way that is guided more by wishful thinking than by reality. While religion can provide solace and comfort, it is sometimes used as a form of euphemism allowing us to make sense of the miracles of the world. At the very least, even though one may disagree with my view on the way we use religion, it should be clear that we need to put aside our religious differences and transit from believing in myths to working with facts and reason. Often, being religious in this clime is guided by fear of damnation, but this world does not belong to timid souls.

    Instead, we need to be guided by a positive force, truth based on evidence. With truth, we see that regardless of whether there is heaven, hell or nirvana, humans have intrinsic dignity which when respected unlocks their full potential for the benefit of all. So, human rights and many other values monopolised by religion are fundamental human values regardless of religion. By realising this, we remove dogma when relating to our fellow man. We need to be courageous enough to see reality as it really is and not as we wish it to be, and the scientific method can help us in establishing truths. If it doesn’t pass, we refine the assumptions we made about reality and learn from the programme¼s outcomes in a consistent and continuous manner until we get it right.

    We must perceive the world and reality clearly, and our foundation should be the truth. Furthermore, we need to choose, choose because it is entirely up to us Nigerians to prioritise the advancement of our civilisation. Our values need to be that we are for truth and science. We need to give ourselves permission to be a great nation. I firmly believe that we Nigerians are not stupid but are simply misdirected in our value system. If we are being truthful, we will realise that it is not only our leaders who are responsible for the current state of affairs.

    We too, who remain silent and docile, are responsible, if not more so. By remaining silent, we give permission to the unjust. If we are living by the truth, we will realise that justice, peace, zero tolerance for tribalism, intolerance of corruption, hard work, humility all pay good dividends. These are not just theoretical concepts, they work. The west is not made up of magical beings; they are simply consistent practitioners and disciples of these values. The phenomenal transformation of Singapore to one of the greatest countries in the world even though they have no natural resource, wasn’t done by magical beings. They chose to believe in and abide by the principles of freedom, rule of law, and evidence-based governance.

    Let our problem be about achieving near zero per cent malaria outbreak. Let our challenge be at a higher level than mere survival. We need to choose not to be satisfied with the status quo, even though we complain a lot. This is because we mostly do nothing about the status quo, especially those with the ability to make a difference. Those who are in the position to affect changes are for the most part not doing so. They are saying, “my core value is my nonguaranteed personal security and comfort over the chance of lifting up civilisation”.

    I specifically mentioned that personal security is non-guaranteed because all the money in the world will not save a rich man who travels by road from an oil tanker that explodes on the high way, simply because due diligence was not taken by the driver of the tanker. Wealth will not save the rich and powerful from a random explosion by suicide bombers. A part of the scientific revolution I am enthusiastic about is AI and Robotics because it is very achievable since it does not rely on too much infrastructure. At the bare minimum, one only needs a computer, internet, and electricity.

    By robotics, I am referring to the software aspect of Robotics, which includes computer vision, natural language processing, and software process automation. I will use AI alone to refer to both AI and software-based robotics. AI has immerse capabilities to transform across sectors. AI can help in scheduling power load distribution optimally across homes. It can revolutionise marketing, logistics, insurance, legal systems, and power fraud detection. Its benefits are monumental and would help make society run more efficiently.

    The first trillion dollar companies in the world became so because of the power of AI. Again as already mentioned, our best approach in leveraging this opportunity is to develop our own internal capabilities. It is of paramount importance for Nigeria to prioritise developing internal capabilities in these technologies if we are to develop. We can not and must not rely on external technology even though these technologies may seem quicker to deploy. The cost of depending on external technologies is higher in the medium and long run and we must discourage the approach.

    AI is an interesting field because  its implementation depends on local knowledge making Nigerians the perfect candidates to develop the country’s own solution. With the scientific approach already highlighted, we Africans can and ought to become leaders in Artificial Intelligence and Robotics.

     

    • Dr. Ezeh, a Nigerian, is an expert in artificialintelligence and robotics.

  • Benefits of IVF

    Dr Kenneth Egwuda is a Consultant, Gynaecologist and IVF Specialist with 12-year experience in assisted reproduction technology and minimal access surgery. He works at ALPS Hospital and Diagnostics, Rayfield in Jos, Plateau State. In his piece titled Ask Dr. Ken, he speaks on assisted reproduction technology, In-Vitro Fertilisation (IVF).

    IVF is the series of fertility treatment aimed at fertilising the woman’s egg outside the body.

    The conventional way that pregnancy occurs is when fertilisation takes place in the fallopian tube and then implantation in the uterine cavity.

    In IVF, the eggs are retrieved from the ovaries and the sperm of the spouse or partner is used in fertilising the eggs. I will explain the process of IVF in four to five basic steps.

    The first step in IVF is administration of a series of medication that tend to grow a certain number of eggs from the ovaries of a woman.

    This process is called super ovulation and the medications are usually injectable to a large extend. The essence of the injection is to make a woman grow between five and 10 eggs. These eggs are retrieved in the theater and fertilised.

    The second stage of IVF is egg retrieval. After monitoring the eggs and have gotten to the size of about 18-20 millimeters in diameter, the final injection human chorionic gonadotropin is administered 34-36 hours after the egg retrieval is done. The retrieval is usually a minor procedure carriedout in the theatre under mild sedation. The eggs are retrieved using the ultrasound guidance. The procedure will last five to 10 minutes, after which she will be taken to a recovery room where she will stay for a while before going home.

    The third phase of the IVF treatment procedure is the fertilisation itself. The prepared sperm from the partner is added directly to the eggs in a glass ware or injected directly into the eggs with the aid of aspecial microscope. The product of fertilisation is kept in a controlled environment called the incubator where further development occurs.

    The fourth phase is the culturing of the fertilised egg. The fertilised eggs are usually cultured in the incubator. The incubators are special devices that have been programmed to stimulate the conditions that are obtainable in the normal human body. The fertilised eggs are cultured for three to five days as the case may be after which the next process, the embryo transfer is done.

    Usually one, two or three embryos may be transferred into the uterine cavityof the woman. The number of embryos to be transfer depends on a lot of factors. The policy governing assisted production technology in the state, region or country, the wish of the woman, her state of health, age and the possible complication that may arise following transfer of multiple numbers of embryos.

  • Benefits of failure

    In my third year in the university as a student of law, I failed a course –  Law of Torts.  This was a four-unit course and this incident ruined my cumulative grade point.

    I felt like a failure. I do not remember the exam being tough or being difficult. In fact, I remember enjoying writing the paper. So, finding out that I failed was a huge shock. Well, at first, my parents were upset with me, but I will never forget that they took a six-hour drive to see me in school about two weeks after I had gotten the result for this exam. They didn’t come alone. They even came with gifts. This was the most shocking act they had ever done for me at that time.

    They came to encourage me, remind me of my potential and even help me develop strategies on how to do better when I re-sat the exam. This was the first time I ever failed an exam and was asked to re-sit it in all my academic life.

    Throughout the next semester, I made friends with the smartest student in the course I had failed, and every weekend she gave me her notes which I read and used to form my notes till it was time for me to take the exam with my ‘junior’s’

    I matched gallantly into the exam hall, took a seat in front and finished the exam in no time. When the results were released I scored an A in this course I had previously failed, not just this but the fact that I took an extra course added extra units to my total and this singular course revived my previously dwindling cumulative grade point average.

    This experience marked my induction into the hall of fame of failure.

    In this hall you would find many notable people, some you may have heard of like J. K. Rowling – author of the Harry Porter Series, Richard Branson – Founder Virgin Group, Bill Gates – Founder Microsoft, Elon Musk – Founder Tesla and of course my humble self.

    What is it about failure that makes us reject it, and fear it?

    It is simply a matter of perception. Our society has a habit of stigmatising failure and tagging people as failures.

    This stigma has made many of us blind to the benefits of failure, and in our fear of failure many of us have chosen ordinary, mediocre lives, where we are stuck in our comfortable routine. We have decided not to explore our greatness and told ourselves ‘what if I fail’, I say ‘what if you don’t’?  Or better still,  ‘what if you fail and learn from your failures’?

    For our perception on failure to change we must begin to see failure as feedback. It is that simple, failure only teaches us how not to do it, and so it brings us closer to the answer of how best to do it.

    Below are a few benefits of failure

    It encourages innovation: Once upon a time everyone agreed that the only way to cross the Atlantic was through ships, the Wright brothers believed that there were other ways. This belief cost them many painful failures and for every time they failed, they were able to learn something new about how their planes would fly better. What can you learn from your past failures that will change the world?

    It builds resillience: Can you believe that J. K. Rowling, whose books have sold over 500 million copies and movies, have grossed hundreds of millions, got rejected by 12 publishing houses?

    The first Harry Porter book was rejected by 12 publishing houses, one rejection is enough for someone to be tagged a failure but 12?  Rowling remained resilient and refused to give up. At the 13th try, she got a publisher that agreed to publish her work and today she is the acclaimed writer we all know about.

    Gives feedback: Failure is the best, most honest, and rawest form of feedback anyone can get. It is much easier to learn from your failure than to ask other people who don’t know half of what you went through for feedback.

    Embrace your failures, ask yourself what lessons you can learn, what you should have done and what you shouldn’t have done.

    For parents/ guardians

    Kill the insistent need to compare your child with the Joneses. The child already feels bad enough to have fallen short. Your role is not to put him even further down. Instead,  it is to tell him that failure is not the end and doesn’t define him and that he can rise above. Remember the first time the child tried to walk? That exactly is how life is. It’s a game of learning to walk by falling till you can walk perfectly.

     

     

     

     

    FOR TEACHERS: Teach children to be creative by showing them how they can learn from what others may tag a failure, as a teacher you play a nurturing role in unlocking that child’s genius.

    FOR THE ADULTS: Always be on the look-out for lessons, stop embracing mediocrity because you are scared of failure, the fear of failure has killed many dreams. J. K. Rowling said, “It is impossible to live without failing at something, unless you live so cautiously that you might as well not have lived at all – in which case, you fail by default.”

    EMPLOYERS: Try something different by asking that prospective employee to tell you about the time they failed and how they overcame it or the lessons learnt from the experience. You don’t just want to employ someone with head knowledge, be sure to employ those that have the grit and creativity to get the job done.

    I always joke that a good success story is only interesting to hear when it is spiced with trickles of failure, no one really wants to hear how everything went well for you. So if you want to have a good success story, be ready to have a good failure story.

    To know more about how you can get coached on the benefits of failure you can follow me on Instagram @coachgbemz or send a mail to gbemieobadan@gmail.com

    Till next week I wish you all the wonderful and amazing benefits of failure.

     

  • Analysts outline risks, benefits of SAHCO IPO

    Sky Aviation Handling Company (SAHCO) Plc has potential to deliver 28.44 per cent capital appreciation of the current price of its Initial Public Offering (IPO) but investor also must consider downside risks that may impact the performance of the company.

    Analysts at Cordros Securities Limited stated that SAHCO has strong potential to sustain growth in the years ahead given its exposure to long-term expansion of air traffic, improvement in macro environment, relatively under-geared balance sheet and its competitiveness enhanced by IATA Safety Audit for Ground Operations (ISAGO) registration.

    According to the investment analysis, a valuation shows a target price of N5.97 per share for SAHCO in the immediate future, representing an upside of 28.44 per cent on its IPO price of N4.65 per share.

    “We have valued SAHCO using a pure-Discounted Cash Flow (DCF) valuation methodology, evaluating the company’s assets across its ramp and cargo handling business, in addition to future investments. Our positive investment case for SAHCO centres on the fact that the company represents a long-term play on air traffic and aviation industry growth and benefits from high barriers to entry,” Cordros Securities stated.

    The report, however, identified key downside risks to include weaker-than-expected macroeconomic performance, susceptibility of operations to labour action, revenue downside from potential insolvency of some airline customers and regulatory risk.

    SAHCO is offering 406.074 million ordinary shares of 50 kobo each through an IPO at N4.65 per share. The IPO is an offer for sale, implying that the net proceeds of the IPO will go to the existing majority core investor in SAHCO, which is divesting partially to allow retail minority ownerships. Application list for the N1.9 IPO closes on December 19, 2018.

    SAHCO was privatised by the Federal Government in 2009. Sifax Group acquired the entire share capital of the company. The Share Sale Purchase Agreement (SSPA) however,, mandates the majority core investor to divest 49 per cent of the shares of the company to the general Nigerian investing public.

    The report noted that SAHCO has become somewhat of the ‘poster-child’ for privatisation, stemming from its incredible turnaround in performance in a short period since the government’s divestment.

    According to the report, management of SAHCO has stated its intention of sustaining the company’s impressive post-privatisation performance, listing key strategic goals to include expansion of revenue, cost control and reduction, customer satisfaction and stability and sustainability.

    The report pointed out that SAHCO has a positive long-term growth outlook citing the transformation in the Nigerian market, which appears to be promising for SAHCO.

    According to the report, Nigeria’s aviation market is the third largest in Africa. Although relatively cyclical, the sector has a recorded a 10-year GDP CAGR of 9.0 per cent, almost double the national GDP CAGR of 5.0 per cent. Nigeria has huge potential to become an aviation hub for Africa, using its natural advantages such as its central location on the continent, huge population and a growing middle class.

    “As the second largest aviation ground handling service provider in Nigeria, SAHCO is well positioned to benefit from the expected long-term expansion of air traffic growth and demand for travel to, from and over Nigeria and the West African region. With respect to Nigeria air traffic trends, growth is expected to rebound after a more depressed period reflective of macroeconomic development,” the report stated.

    The Nigerian Bureau of Statistics (NBS) expects air traffic growth of 20 per cent for 2018 compared to 2017, on the back of improving business confidence, positive policy reforms – ease of doing business, visa on arrival – as well as development of infrastructure.

    “In our view, the Nigerian market is transitioning, from an economic standpoint – following three challenging years – and 2018 and beyond appear to be promising years for SAHCO to take advantage of. Firstly, we see economic growth benefitting from higher government and private sector spending, both riding on improved revenues from crude oil. Secondly, improved oil earnings should further improve FX liquidity and sustain stability, after the volatile era,” Cordros stated.

  • Relatives kick over exclusion of dead ex-Airways workers from benefits

    SOME relatives of deceased workers of the defunct Nigeria Airways Ltd yesterday protested the exclusion of their relatives as the Federal Government begins final verification for the payment of the entitlements of the former national carrier’s personnel.

    No fewer than 800 former workers of the defunct airline have lost their lives since the airline folded up 14 years ago.

    The family members said at the venue of the verification in Ikeja that the exclusion of over 150 names from benefiting from the N22.6 billion approved by President Muhammadu Buhari was wrong.

    Speaking on behalf of the affected family members, Mr. Seun Wright, said his late mother, Mrs. Oluwadamilola Wright, worked as an engineer with the defunct national carrier before its liquidation in 2004.

    “When the list came out last week, we were surprised that her name was not on it because she received the five years severance package paid by the late President Umaru Yar’Adua in 2008.

    “We later discovered that there are over 150 people whose names were omitted from the list across the country for this new part payment approved by the president.

    “It is unfortunate that the names of most of our parents’ did not reflect on the list.

    “We have approached the union people and they claimed that what is being paid is pension, which is not for life but we know and a lot of people have confirmed to us that this is not a pension payment.

    “It is severance and gratuity payment of people, who served up to the last day of liquidation of Nigeria Airways.”

    Wright appealed to the government, through the Minister of Finance, Mrs. Zainab Ahmed, to urgently look into the issue in order not to deny people their entitlements after serving Nigeria meritoriously.

    However, Mr. Godwin Jibodu, Chairman of the Nigeria Airways Elders Forum, explained that the omission might be connected with the years the affected former workers passed on.

    Jibodu said: “It depends on when their parents died. Like I told them, if your parents died before the liquidation, off course you cannot get anything.

    “Another thing is that the arrears of pension is not being paid now. It is only the pension, 10 years forward that is being paid.

    “So, if somebody’s parent died in 2007, it means the person died during the pension arrears which is to come later.”

    Jibodu, however, hailed the president for coming to the aid of the ex-workers, who had been living in pains because of a lack of money to attend to their health and other issues.

    “You can see that even without collecting the money, people are looking enthusiastic and healthy because there is hope.

    “Once they get this money now, they can take care of themselves and instead of people dying, people will live.”

    Jibodu said the committee would be attending to no fewer than 600 people daily in the Lagos Zone till the exercise is concluded.

    He expressed optimism that the government would keep to its promise of paying the balance of the over N22.4 billion within six months, to end the agitation of the former workers.