NMG Ar 2019 Web 3 PDF

2019
Annual Report
& Financial
Statements
Media of
for Africa
www.nationmedia.com
Media of
for Africa
2019
Annual Report
& Financial
Statements
Maasai community
Found in the Eastern part of Africa,
the Maasai people represent the deep
culture we have as a continent. They
are a symbol of Africa’s cultural identity
and the need to preserve it in the face of
pressure from modernisation.
Nation Media Group is the leading media company with businesses
in print, broadcasting and digital. NMG uses its industry leading
operating scale and brands to create, package and deliver high-
quality content on a multi-platform basis. As the largest independent
media house in East and Central Africa, we attract and serve
unparalleled audiences in Kenya, Uganda, Tanzania, and Rwanda. We
are committed to generating and creating content that will inform,
educate and entertain our consumers across the different platforms,
keeping in mind the changing needs and trends in the industry. In our
journey, nothing matters more than the integrity, transparency, and
balance in journalism that we have publicly committed ourselves to.
NMG journalism seeks to positively transform the society it serves, by
influencing social, economic and political progress.
Copyright © 2020 Nation Media Group

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All rights reserved. No part of this publication may be reproduced,
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stored in a retrieval system or transmitted in any form or by any

means, electronic, mechanical, photocopying, recording or otherwise,
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without the permission of the copyright holder.

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Nation Centre, Telephone:

Kimathi Street +254 20 328 8000
P.O. Box 49010-00100, GPO www.nationmedia.com

Nairobi, Kenya
Browse, download or print our annual report at

https://www.nationmedia.com/wp-content/uploads/2020/06/NMG-AR-2019.pdf
View our 2019 results presentation at

https://www.nationmedia.com/wp-content/uploads/2019/08/Investor-Briefing-Presentation-28TH-AUGUST-2019-v4.pdf
Nation Media Group | 2019 Annual Report & Financial Statements

Company Information
Nation Centre Registered Office Afisi ilioandikishwa

Kimathi Street
P O Box 49010 00100
Nairobi
Hamilton Harrison & Mathews Advocates Wakili

Delta Suites
Waiyaki Way, Nairobi
PricewaterhouseCoopers LLP Auditors Wakaguzi wa

PwC Tower,Waiyaki Way/ Hesabu
Chiromo Road
Westlands, Nairobi
Standard Chartered Bank of Bankers Benki

Kenya Limited, Chiromo
No. 48 Westlands Road, Nairobi
Sekou Owino Interim Company Katibu wa Kipindi

Nation Centre Secretary cha Mpito
Kimathi Street
P O Box 49010 00100
Nairobi
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Africa for
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Media of
for Africa
2019 Annual Report & Financial Statements | Nation Media Group
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Inside the report
Company Notice of Annual

Information General Meeting
Pg 5 Pg 8-9
Corporate NMG’s Future

Governance Outlook
Pg 12 Pg 17-18
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Performance Group Chairman’s fr
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Highlights Statement
Africa for
Pg 20-22 Pg 27-36 7
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Group CEO Sustainability Me
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Statement Report
Pg 39-46 Pg 50-56
Board of Report of the

Directors profiles Directors
Pg 60-64 Pg 66-72
Directors’
Remuneration Executive Team
Report Pg 76-77
Pg 73-75
Statement Independent
of Directors’ Auditor’s Report
Responsibilities and Financial
Pg 80 Statements
Pg 81-124

Notice of Annual General Meeting
Due to the ongoing Covid-19 Pandemic and the resultant directives issued by the Government of Kenya under
the Public Health (Prevention, Control and Suppression of Covid19) Rules, 2020 which restrict gatherings and
congregations of persons , the normal method of holding General meetings by congregations of Shareholders
in person at a single venue and Further in accordance with the Order of the High Court of Kenya issued in
Nairobi Miscellaneous Application No. E680 of 2020 on the 29th day of April, 2020, Notice is hereby given that
the Fifty-Seventh Annual General Meeting of the Shareholders of Nation Media Group PLC will be held on
Friday 26th June 2020 at 3.00 p.m. by electronic communication for the following purposes:
ORDINARY BUSINESS
1 To receive the financial statements for the year ended 31st December 2019, and the chairman’s, directors’
and auditors’ reports thereon.
2 To confirm the payment of the interim dividend of Shs.1.50 per share (60%) and to note the non-payment of
final dividend on the ordinary share capital in respect of the year ended 31st December 2019.
3 To confirm that PricewaterhouseCoopers continue in office as the Company’s Auditors in
accordance with section 721 of the Kenyan Companies Act 2015 and to authorize the directors
to fix the remuneration of the Auditors.
4 To elect and re-elect the following directors:
a) In accordance with Article 96 of the Company’s Articles of Association, Ms. Sumayya Hassan is a director
appointed on 26th September, 2019, who retires and being eligible offers herself for reelection.
b) In accordance with Article 96 of the Company’s Articles of Association, Mr. Al-Noor Ramji is a director
appointed on 27th March, 2020, who retires and being eligible offers himself for reelection
c) In accordance with Article 110 of the Company’s Articles of Association, Dr. Yasmin Jetha, Mr. Wangethi
Mwangi and Mr. Leonard Mususa retire by rotation and being eligible, offer themselves for re-election.
d) In accordance with the provisions of section 769(1) of the Companies Act 2015, the following
directors being members of the Audit, Risk and Compliance Committee be elected to continue to serve
Me as members of the said Committee:
di (i) Mr. Leonard Mususa
(ii) Mr. Anwar Poonawala
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(iii) Mr. Al-Noor Ramji

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5 To authorise the directors to fix the remuneration of the Non-Executive Directors.
8 SPECIAL BUSINESS
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To consider and, if thought fit, to pass the following resolutions as Special Resolutions.
6 “That Dr. W. Kiboro, a director who retires in accordance with Article 101 of the Company’s
Articles of Association and who is over the age of 70 years, shall notwithstanding that fact, be re-elected as
fr a director of the Company for a period of one year.”
7 “That Prof. L Huebner, a director who retires in accordance with Article 101 of the Company’s
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Articles of Association and who is over the age of 70 years, shall not withstanding that fact, be re-elected
as a director of the Company for a period of one year.”
8 “That Mr. A. Poonawala, a director who retires in accordance with Article 101 of the Company’s Articles of
Association and who is over the age of 70 years, shall notwithstanding that fact, be re-elected as a director
of the Company for a period of one year.”
9 That Mr. F.O. Okello being a director who retires in accordance with Article 101 of the Company’s Articles of
Association and who is over the age of 70 years, shall notwithstanding that fact, be re-elected as a director
of the Company for a period of one year.”
10 “That Subject to the approval by the Capital Markets Authority and the Nairobi Securities Exchange PLC
the sum of Kshs. 47,135,572.50 being part of the amount now standing to the credit of the reserves of the
company shall be capitalized and that the same shall be applied in making in full at par for the 18,854,229
Ordinary shares of Kshs.2.50 each in the capital of the company. Such shares shall be distributed as fully
paid up among the persons who are registered as holders of the Ordinary shares in the capital of the
Company at the close of business on 12th June, 2020, at the rate of one new full paid share for every ten
ordinary shares held by such holders respectively and that such new shares shall not qualify for payment
of any dividend for the year 2019 declared at this meeting. “
11 Any other Business for which valid Notice shall have been given.
By Order for the Board
S. Owino
Interim Company Secretary
4th June, 2020

Tangazo la Mkutano Mkuu wa Kila Mwaka
Kutokana na janga tandavu la COVID-19 linaloendelea na masharti yaliyotolewa na Serikali ya Kenya chini ya
Kanuni za 2020 za Afya ya Umma ( Kuzuia, Kusimamia na Kukandamiza), zinazowekea vikwazo mikusanyiko
na mikutano ya watu wengi, njia ya kawaida ya kufanya Mikutano Mikuu ya Mwaka kwa mkusanyiko mkubwa
wa ana kwa ana wa Wenyehisa katika ukumbi mmoja na Hali kadhalika, kuambatana na Amri iliyotolewa na
Mahakama Kuu ya Kenya kwenye Ombi la Kisheria la Masuala Mengineyo la Nairobi, Nambari E680 la 2020
mnamo Aprili, 2020, Ilani inatolewa hapa kwamba Mkutano Mkuu wa Kila Mwaka wa Hamsini na Saba wa
Wenyehisa wa Shirika la Nation Media Group PLC utafanyika siku ya Ijumaa tarehe 26 Juni, 2020 kuanzia saa
9.00 Jioni kupitia kwa njia ya mawasiliano ya kimtandao kwa sababu kuu zifuatazo:
SHUGHULI ZA KAWAIDA
1 Ili kupokea taarifa za kifedha za mwaka uliomalizikia tarehe 31 Desemba 2019, pamoja na ripoti za
mwenyekiti, wakurugenzi wakuu na wakaguzi wa mahesabu ya kifedha baada ya hapo.
2 Ili kuthibitisha malipo ya mpito ya mgao wa Kshs. 1.50 kwa kila hisa (60%) na kuidhinisha hatua ya
kutokuwepo kwa malipo ya mgao wa mwisho wa hisa katika hisa ya kawaida ya mtaji kulingana na mwaka
ulimalizikia tarehe 31 Desemba 2019.
3 Ili kuthibitisha kwamba shirika la PricewaterhouseCoopers litaendelea kuwa ofisini kama Wakaguzi wa
Kifedha wa Kampuni kuambatana na sehemu ya 721 ya Sheria ya Kampuni za Kenya, 2015 na kuidhinisha
wakurugenzi kupangilia malipo ya Wakaguzi wa Kifedha.
4 Ili kuwachagua na kuwachagua tena wakurugenzi wafuatao:
a) Kuambatana na Kifungu cha 96 cha Vifungu vya Ushirika vya Makampuni, Bi. Sumayya Hassan ni
mkurugenzi aliyeteuliwa mnamo mwezi wa Septemba 26, 2019, anayestaafu na kwa kuwa anastahiki
angependa kujitolea kuchaguliwa tena.
b) Kuambatana na Kifungu cha 96 cha Vifungu vya Ushirika vya Makampuni, Bw. Al-Noor Ramji ni
mkurugenzi aliyeteuliwa mnamo mwezi wa Machi 27, 2020, anayestaafu na kwa kuwa anastahiki
angependa kujitolea kuchaguliwa tena.
c) Kuambatana na Kifungu cha 110 cha Vifungu vya Ushirika wa Makampuni, Dkt. Yasmin Jetha, Wangethi
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Mwangi na Leonard Mususa wanastaafu kwa zamu na kwa kuwa wanastahiki, wangependa kujitolea
kuchaguliwa tena.
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d) Kuambatana na masharti ya sehemu ya 769(1) ya Sheria ya Makampuni ya 2015, wakurugenzi wafuatao
Africa for
kama wanachama wa kamati za Ukaguzi wa Kifedha, Hatari na Uzingatiaji wachaguliwe ili kuendelea
kuhudumu kama wanachama wa kamati hizo:
(i) Bw. Leonard Mususa 9
(ii) Bw. Anwar Poonawala
(iii) Bw. Al-Noor Ramji
5 Ili kuwaidhinisha Wakurugenzi kuyapangilia malipo ya Wakurugenzi Wakuu Wasio Watendaji
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SHUGHULI MAALUM di
Ili kuzingatia na, ikiwezekana, kupitisha makubaliano yafuatayo kama Makubaliano Maalum. Me
6 “Kwamba Dkt. W. Kiboro, mkurugenzi anayestaafu kuambatana na Kifungu cha 101 cha Vifungu vya
Ushirika wa Makampuni na ambaye pia amepitipisha umri wa miaka 70, bila ya kuzingatia sababu hiyo,
achagulie tena kama mkurugenzi wa Kampuni kwa kipindi cha mwaka mmoja.”
7 “Kwamba Prof. L Huebner, mkurugenzi anayestaafu kuambatana na Kifungu cha 101 cha Vifungu vya
8 “Kwamba Bw. A. Poonawala, mkurugenzi anayestaafu kuambatana na Kifungu cha 101 cha Vifungu vya
9 “Kwamba Bw.F.O. Okello, mkurugenzi anayestaafu kuambatana na Kifungu cha 101 cha Vifungu vya
10 “Kwamba kwa Kutegemea uidhinishwaji na Mamlaka ya Masoko ya Mtaji pamoja na Kampuni ya
Ubadilishanaji wa Hisa ya Nairobi, jumla ya Kshs. Bilioni 47,135,572.50 ikiwa ni sehemu ya akiba ya fedha
za hifadhi ya Kampuni hiyo, basi zitafanywa kuwa mtaji na kiwango hicho hicho kitatumiwa ili kuonyesha
thamani halisi ya sasa ya Hisa 18,854,229 za Kawaida za Kshs.2.50 kwa kila hisa katika mtaji wa Kampuni.
Hisa kama hizo zitagawanywa kama zilizolipwa kikamilifu kati ya watu waliosajiliwa kama wenyehisa wa
Hisa za Kawaida katika mtaji wa Kampuni kufikia muda wa mwisho wa kazi wa tarehe 12 Juni, 2020, kwa
kiwango cha hisa moja iliyolipwa kikamilifu kwa kila hisa kumi za kawaida zinazomilikiwa na wenyehisa
hao mtawalia na kwamba hisa mpya kama hizo hazitafaulu kulipiwa mgao wowote wa mwaka wa 2019
uliotangazwa kwenye mkutano huu.”
11. Shughuli nyingine zozote ambazo ilani itakuwa imetolewa.
Kwa amri ya Bodi Kuu
S. Owino
Katibu wa Muda
Tarehe 4 Juni, 2020

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Corporate
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Africa for
Governance
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Statue of Mandela
Media of
Mandela is an iconic figure in the liberation struggles
across the continent of Africa. This statue in South
Africa, his home country, symbolizes moving forward
for Africa
together. The stretched arms symbolize embracing all,
regardless of historical injustices and the foot forward
denotes a nation on the move.

Corporate Governance
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he Company is committed to upholding Editorial Committee, which considers
the best international standards of good and advises on the Group’s editorial policy,
corporate governance. the journalistic code of ethics and legal
responsibilities. Mr. F. O. Okello chairs the
The role of the Board is to determine the committee which has Mr. D. Aluanga, Mr. W.
Company’s policies and strategies, to monitor Mwangi, Mrs. S. Hassan and Mr. S. Gitagama as
the attainment of the business objectives and to members.
5
ensure that the Company meets its obligations
to the shareholders. The directors are also Human Resources and Remuneration
responsible for overseeing the Group’s internal Committee, whose primary objective is
control systems. These controls are designed to assist the Group to achieve its goal
both to safeguard the Group’s assets and to of adhering to the best practices in Human
ensure the reliability of the financial information Resources Management and Development. Dr.
used within the business. Y. Jetha chairs the committee, which has Mr. A.
Poonawala, Mr. L. Mususa, Mr. W. Mwangi and
The following were the standing Board committees Mr. L. Otieno as members. The members of the
in the year ended 31st December, 2019:- committee are independent and non-executive
1
directors.
Nominations and Governance Committee,
which is responsible for executive and The Chairman of the Board is a non-executive
non-executive board appointments and director and is elected by the board of directors to
for overseeing the Group’s adherence to good hold office after every three years.
Me corporate governance principles. Prof L. Huebner
di chairs the committee which has Dr. W. D. Kiboro, There is a clearly defined organisational structure
Mr. D. Aluanga, Mr. A. Poonawala and Mr. S. within which individual responsibilities and authority
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Gitagama as members. The members of the limits are set out. The structure is complemented by
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Committee, with the exception of the Group Chief policies and management operates the business in
12 Executive Officer, are non-executive directors. compliance with these policies.
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Audit, Risk and Compliance Committee, The Group Chief Executive Officer chairs the
whose responsibility is to oversee the Executive Team, which comprises the executive
fr effective administration of the Group’s directors and the senior executives of the Group.
systems of internal controls, management of The team is responsible for implementing the
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risk and compliance with applicable regulatory strategy approved by the board and also deals
requirements as well as review of the Group’s with operational matters and co-ordinates
financial plans and reports. Mr. L. Mususa chairs activities across the Group’s various subsidiary
the committee which has Mr. A. Poonawala, Dr. companies and divisions.
S. Kagugube (deceased) and Mr. A. Ramji as
members. The members of the committee are INSIDER DEALINGS
independent and non-executive directors. The board has a documented policy on insider
3
dealings in the Company’s shares.
Strategy and Investments Committee,
which reviews the Group’s medium and CORPORATE GOVERNANCE
long term strategic options and investment Nation Media Group PLC is in compliance with
proposals. Mr. J. Montgomery chaired the the provisions of the Capital Markets Act- Code
committee before he resigned and was replaced of Corporate Governance Practices for Issuers
by Mr. L. Otieno. The committee has Dr. Y. Jetha, of Securities to the Public, 2015. Over one third
Prof. L. Huebner, Mr. S. Dunbar-Johnson, Mrs. of the Board of Directors are independent and
S. Hassan, Mr. A. Ramji, Mr. S. Gitagama, Mr. D. non-executive directors. The membership of the
Aluanga and Mr. R. Tobiko as members. various board committees is listed above.
The role of the Board is to determine the Company’s policies and

strategies, to monitor the attainment of the business objectives
and to ensure that the Company meets its obligations to the
shareholders. The directors are also responsible for overseeing
the Group’s internal control systems.

NMG Corporate Values
Continuous Improvement
& Innovation
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We are a Team
Integrity and Trust
Drive for
Performance

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Overview
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Africa for
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The Great Sphinx of Giza Nile

Media of
The Pyramids of Giza in Egypt, North Africa
are the largest and most recognizable
structures in the world. They were built in the
for Africa
fourth ruling dynasty of Egypt, around 2580
B.C. They are a clear representation of the
fact that Africa is the home of all civilisation.

Overview
Nation
T
he pre-colonial era, particularly the late The Nation was propelled into regional and
50’s and early 60’s, was a key and pivotal international prominence through its meticulous
Media moment for Kenya as she was approaching reportage on the big headlines of the century
Group’s her independence. His Highness the Aga Khan including: Kenya’s independence in 1963,
envisioned the establishment of a nationalist the Assassination of Tom Mboya in 1969; and
story platform where indigenous African voices could the events leading up to the attainment of a
begins in be heard and authentic nationalist stories told multiparty state in the 70s and 80s. Regional
1959 from a Kenyan perspective. readers also enjoyed the Nation’s coverage
of the political events in Uganda as
Nation Media Group (NMG) was they unfolded following President
founded on the bedrock of a Idi Amin’s gag on local media
set of core values to espouse during his tenure as President
independent voices, diversity in Uganda.
and freedom of expression.
Central to these values and the Currently, the Group publishes
purpose for our establishment, the Daily Nation, Business Daily
is a mission to be a trusted Nation Media Group (NMG) was and Taifa Leo newspaper brands
partner to emerging African founded on the bedrock of a in Kenya, The EastAfrican
democracies, a champion of set of core values to espouse regional newspaper; the
the ordinary person in his/her independent voices, diversity Daily Monitor and Enyanda
interaction with the government and freedom of expression. in Uganda, and Mwananchi,
of the day, a voice for the rule Central to these values and the The Citizen and Mwanaspoti
Me of law and respect for human purpose for our establishment, newspapers in Tanzania and a
di rights, and a strong advocate
is a mission to be a trusted
raft of e-papers and the largest
partner to emerging African
for free market economies. portfolio of digital assets. Also
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democracies, a champion of
This mission has remained the ordinary person in his/her in its stable are NTV and Nation
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unchanged over the years. As interaction with the government FM in Kenya, and NTV and Spark
16 we seek to positively influence of the day, a voice for the rule television stations as well as
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society, we shall continue to of law and respect for human KFM and Dembe radio stations
be guided and to stand by the rights, and a strong advocate for in Uganda. It has been quoted on
values of truth, independence, free market economies the Nairobi Securities Exchange
fr fairness, balance and accuracy. since the early 1970s and its
shares are cross-listed at the
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1959
Because of our leading position Uganda Securities Exchange,
in the industry and refusal to Dar es Salaam Stock Exchange
pander to partisan whims, we and Rwanda Stock Exchange.
have and will from time to time
come under attack by interest Without fear or favor, the group
groups attempting to undermine In 1959 His Highness the Aga has remained steadfast in its
our credibility. We pledge to all Khan acquired the then little mission to hold leaders to
known Taifa which was a
our stakeholders that we shall account and be a voice for the
Swahili newspaper. A year later,
1970
remain strong, independent, Nation Media Group’s flagship voiceless through balanced,
steadfast and true to our values. newspaper – Nation – was accurate and bold coverage on
launched with its headquarters matters such as corruption,
Hence, in 1959 His Highness the at the Old Nation House, present human interest stories among
Aga Khan acquired the then little day Tom Mboya Street others.
NMG has been quoted on the
known Taifa which was a Swahili
Nairobi Securities Exchange
since the early 1970s and its newspaper. A year later, Nation The group recognizes the need to
shares are cross-listed at the Media Group’s flagship newspaper – meet our consumers at their point
Uganda Securities Exchange, Dar Nation – was launched with its headquarters at of need with innovative products that resonate
es Salaam Stock Exchange and the Old Nation House, present day Tom Mboya well with their needs. In line with this, the group
Rwanda Stock Exchange. Street. continues to launch products that serve needs of
new age consumers.

Overview
Future Outlook for NMG:

A
s the Group continues to redefine itself keeps them connected and engaged on our
as a modern digital content company, platforms.
we are alive to the challenges facing
media businesses as our consumers The Group is addressing this challenge by
continually shift whole-heartedly to the ensuring we are mobile first, we deliver
digital-social-mobile platforms. quality and differentiated content on multiple
We intend to be
platforms.
relevant in their
We intend to be relevant in their lives by being lives by being a
a provider of unique, high quality content In order to win in this space, it is critical we provider of unique,
at their convenience and in their way. We continue being the first with the truth, deliver high quality content
will aggressively grow our audiences in the superior user experience and create products at their convenience
digital space by providing unique value that that are relevant for our consumer’s lives. and in their way
Our commitment is to give our

consumers highly desirable
content that fits into their
worlds, however, wherever and
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Vision:
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To be the media of Africa for Africa di
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Core values:
Continuous Consumer We are a Integrity & Drive for

Improvement & focus Team Trust performance
Innovation
Our Mission:
Create value for its stakeholders and
positively influence society by providing
media that informs, educates, and entertains
The Group was founded to tell the

African story and today we transformed
ourselves into a media house with not
only African but a global reach

Overview
Strategy and Enablers

Business Objective
ESS CREA
U SIN TIN
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B NE
NT Innovation
TE
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ON
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Val Our
Dig
GROW
ues
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CONSUMER
ita
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We are a content company; our competitive edge will be based on creating new value.
Digital , Innovation & Our values are enablers to achieve the business objective
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Our Footprint
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Kenya, Uganda, Tanzania and Rwanda
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Uganda Brands
• NTV Uganda
Kenya- Brands
• Daily Monitor
• Daily Nation
• Dembe FM
• Business Daily
• The EastAfrican
• NTV
• Ennyanda
• The EastAfrican
• Spark TV
• Taifa Leo
• KFM
• Kenya Buzz
• Nation Forum Uganda and Monitor’s
• Lit 360
Thought Leaders Forum
• Nairobi News
• Nation Leadership Forum
Tanzania Brands
• Kusi Ideas Festival
• The Citizen
• TAG Brand Studio
• Mwananchi
• Nation FM
• Mwana Spoti
• Pishi
• The EastAfrican
• Mwananchi Thought Leadership Forum
Rwanda Brands
• The East African
• Rwanda Today Nation Media Group | 2019 Annual Report & Financial Statements
Overview
Our Digital Footprint
44.6
Total reach
Million users
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Websites
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31.5
News & Epaper Apps Messenger bot & Music

Overview
Perfomance Highlights
Non- Financial Highlights
NiE Numbers Energy Use
53,269 7%
Pupils, 118 schools across 36 Decreased by 7%
counties. 116,000 copies distributed compared to 2018
Waste Management Employees
0.9% 1,578
Decreased by 0.9% Total Number of employees
compared to 2018 across the region
Economic impact Supply chain
5,400 80%
Number of people we impact Of suppliers are SME’s
through employement- dependants
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3,000 21
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Across the country Across the region

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Financial Highlights
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Financial % Growth
Total
19%
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cash
Digital
copy sales 13%
Google
Adsense >100%
Kenya Buzz
contribution >100%
Contract printing
contribution 31%
Kfm Uganda
Contribution 24%
Dembe Fm
Contribution >100%
Capital
Expenditure Shs 184m
Bonus share One new fully paid ordinary
issue share for every ten shares held

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Maelezo ya Jumla
Vidokezo vya Matokeo Muhimu

Vidokezo visivyo vya matokeo ya kifedha
Nambari za Hamasisho la Mradi wa
Matumizi ya Kawi
Newspaper in Education (NiE)
53,269 7%
Wanafunzi, shule 118 katika kaunti Ilipungua kwa kiwango cha 7%
36. Nakala 116,000 zilisambazwa Ikilinganishwa na mwaka wa 2018
Usimamizi wa Taka Wafanyikazi
0.9% 1,578
Ilipungua kwa kiwango cha 0.9% Idadi ya Jumla ya wafanyikazi
Ikilinganishwa na mwaka wa 2018 kwenye ukanda mzima
Athari ya Kiuchumi Wanaotuletea Bidhaa Mbali Mbali
5,400 80%
Za wanaotuletea bidhaa ni
Idadi ya watu tunaowawezesha
Wafanyibiashara Wadogo Wadogo
kupitia kwa ajira - wategemezi
(SME’s)
Me Wauzaji wa Magazeti/ Matuzo

di Wauzaji Magazeti Wadogo
3,000 21
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Kila mahali kwenye ukanda huu

Kila mahali nchini
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Vidokezo muhimu vya matokeo ya kifedha
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Kifedha % Ukuaji
Pesa Taslimu
19%
fr
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za Jumla
Mauzo ya Nakala
za Kidijitali 13%
Mtazamo wa Matangazo
wa Google Adsense >100%
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1960 – 1969
March December
24 PAGES TODAY
Introducing ourselves ,
I
HERE we are -
...
East Africa's newest~· comment is free."
liveliest ·SUnday paper. Our. policy?
That IS explained on Page Four. And It d bu
We am each week. ~
to bring our readers somethi.ng the other
papers do not have . To add lustre to our
ha d J' Ea t
"'e~
~UAUTY
20th 1960 12th 1963

e t we ve secure exc us/ve s
will remain a matter for Page Four, our African rignts to serialise the much-
"Ieader" page every week. For we do talked-about Memoirs of Sir Anthony- SHIRTS
not intend to allow policy to interfere Eden. His fasc'inating and highly «\t3 ~~~:,v:~:,~~
No. 993 Thursday, December 1~!,1963 30 Cents Made in England
RegQtered with the a.p.o. 48 a newspaper with rhe selection and presentation of personal account of the Suez Crisis
MIDNIGHT -and up goes the flag

news. We believe firmly in the old begins today on Page Seven of ourputr-
No. 1 March 20, 1960 Price 50 eents newspaper adage "Facts are' sacred but out magazine supplement, TIME OFF.
14 NEW ARRESTS
~~
IN GHANA
,.
The silent
Kenya gains
child with.
Daily Nation
tragic ey~ . ACCRA, Saturday.
FOURTEEN leaders of the Opposition United A VAST crowd at Nairobi's Independence Arena last
"a~.;.> '
Party on the Ghana-Togolandborder have night roared a welcome to the newest nation of
been detained under the Ghana Preventive Africa ..
Detention Act on charges of planning an out-
b~ of organised violence and civil disturbance Kenya joined the councilf. of the world at one minute past mid-
in certain paris otthe Volta region. night, as the green, red, black and white standard broke where, a
And 12 other men-among them Ghana MP the Rev. moment before, the Union Jack had flown.
I
F. B. Ametowobla - had detention orders issued against The lights~ dimmed sud-
them today. denly at midnight in the
arena.
By .
publishes its independence.

All 12 are in French Togoland - all, excel!.tMr.
Ametowobla - as refugees. If ever they return to Ghana Then two officers lowered the
DAVID BARNm 01 Uhuru Slodium
·
~
each will be liable to five years' jail without trial. Union Jack, in total darkness.
A moment later the Iigh~
The charges against the 14 b I a ze d on again, and thlJ'
Tanganyika Masai
detained men who were arrest,. Kenya Flag was slowly raised Rain had made life miser- ornaments in a bewildering dis- •
AND THAT'S
h
ed yesterday. were made in. its place. able in ~airobi for days but play of colour, sound and
known last night by Ghana's the afternoon was warm and movement.
Home Secretary, Mr. A. E. JUSTWHA~ Seventh sunny, and the grounds around
About 150 Asian dancers
appeal to UN
Inlmmsah. the stadium had begun to dry
By NATION Reporter They
"breakdown"
were
in
plannin,r
the
a
civil
\ TONY DID Kenya had become the
out.
The evening programme be-
performed one of India's most
popular folk dances - Dandiya
Ras, based on the story of Lord
administration to begin the "F9LLOW "at Oi•.•••• seventh country of the British
THERE is only one place last week in March and roon- sar-. And AnIIIIIr Commonwealth to achieve In-
gan with a mammoth display Krishna and Radhl3l.
where 41- year - old tinue until the end of April. By NATION Reporter AI •••••••.••••••••• dependence in Africa since the
of tribal dancing.
Tribute
I
Indu Bassan' (above) Mr. Inkumsahalaimed. Ju8t •••• Ahead." end of the war. More than 1,200 dancers
feels safe - in her uncle's The Minister a!J.epd tlbat
LEADERS of the Tanganyika Mesai ••.• drawing up a flint. Pr ••••• M••• " She is the 34th independent from all over Kenya kept the
arms, with her scarred meetIii1gs bad been held from petition demanding the right to secede 'rom Tanga- teav •• the V•••••••• ,", country Df Black Africa. crowd entertained for the first Another Indian dance was
JOOUla!I'yto Mardi. sometim~ nyika and to link up with their 'ellow tribesmen i~ nieatre, in ,••• ~ Twenty years ago there were two hours and 45 minuter.- "Uhuru," based on a Gujarati
face pressed hard against m after viewinl •••
his chest. French Tqgoland. aDd a.t Kenya. The petition will be presented to the United charity prtllli •••e ••
only Liberia and South Africa. The climax came with all folk-tune, with words by the
Nairobi poet, Suswaran (Mr.
first issue,
other Wnes in Ghana kDl1ltier Nations Commission which is to viSit the Trust Territory HFotlow ttIIIt Girl." Kenya and Zanzibar will 1,200 dancers in the arena at
Sbe is frightened and· silent Itdwns. ",1here plam; were early next month. bring the number of United one time, with their shields, R. Patel) ..
8Dd does not seem to know woIlked 0UIt, whose tr1lm1l card The Prine•••••. _ Nations member-countries to feathers, skins, beads, masks,
fiance. 'Who ••••••••• The words recalled high-
Pritchard 'critical'
tbat her mother. her sister was the ~Olll of ilhe Meanwhile Mr. John Keen 111. cloaks, spears, kilts, robes and lights of Kenya history and
and h':r baby brother are ''undeJWOUnd a.nmr IOf· t1he and M,r. .David Lemomo, ••• "NlllNItion" ••••
paid tribute to Mr. Kenyatta
dead. No one has tried to tell former· Tqto1and Congress." founders of the KenYa Masai ••••• 1NIhiIId. left for •.
The condition of. bearded lriVaIe dinner. and other Kenya leaders.
her. United Front. are contUwina
"beachcom~r" Ian Pritchard,
Armed revolt Two hours after the dancing
Heartiest
their campaign. launched a ~ • The weddinc ~11~
Nqt .•• she know that her night ago, for a similar settle- the Malindi aqua-sports expert. began with the crowd now
f•••• r. PyaraIaJ Me"""" who is now lying in the Infec- on May • Will lie
This putty ronnerly cam- ment to the Masai problem. broadaast and •••••
.•••••••. aged 21. is held In tious Diseaaes Hospital. Nairobi,
"'Iri Prison. ._arled wi_ paigned cainst.1loImer. British They are now touring Masai-
land seeking suPPOrt from their
was ••••• last night· to be YiHd
.• Mr •• ~ ...
iFry, 80In of •••• p~:" ,
TURN TO BACK PAGE
Gle murder of his wife and Togoland becoming an ibtegral ".iliil1 ~." He Ibrolke his
•••••••••• ConBTatulations
two child ••••• wfIO w••.• PaR of Ghana. Following the p8Dple and recruiting members nedt w'bIle water-Elkiing ten cIhocoIate ohief. will ••
5 babes
••
••••• d with PUPS near' formation of the State of ~ their new pa.l"ty which they !lBIYs lIIR\O.
-. Mieri nine dayS ago. Gbma,' dlhe ~ merged into ~ suggested might fight
Indu's unc:e, Mr. Anantram the gene,rail ()PP<&UOll part,y, side· by side with Group-Capt.
the tJnitted Party. Briggs' United Party to protect
born at
Bassan. is taking her back the rights of minorities under
. to Mombasa to bring her up
with his own five young chil~
&med revd..t against
Ghana GOvernment on the eve
the the new Constitution. to the Government and people
dnn. "As soon as we heard . of Ghana's independence was Next WMk businessman Mr •.
Kenya
beilieved ro ihalve been insti- Keen, son of a German taUter.
<if
~ the tragedy my wife
registered as
stadium
gated by tbe Qongress Party. and a Masai mo1fier. and' Mr.
agreed that I must go to
"yeti and bring InOO back." '.lbis 1IDOI1ItIh. sSlid M1'. Lememo, a 8aCIheior of Arts from
graduate of Delli University,
~e said. InkumsaIl, people selected for
plan to travel to Mancklli. Vegetarians and
L. 6. Harris & Co. Ltd.
Sizree he took her from the pa.re~ ttraininir ileft for
Tanganyika, for talks with the
Hyeri Provinclaa. General 1hetrlarindng ground in FrEnch
newly Imstatled Paramount non-regetarians
Hospital IndQ. bas clung to Togoll3l1d.
Chief of the TanganYika Masai. F ,IVE ,babies "arrived" at
at hOlll'
Harris
to him, crying d,:sperately if ~. Edward Kalo. . the . Independence
feel
the hame af
be leaves herJide ..
DIck'. Blue •...... Mr. Keen and Mr. Lemomo.
Stadium, Nairobi. yesterday
"She has said hardly a word
. ~... who secured official registration a6oard ••• - just in time for Uhuru.
the paint brush

Md if any stranger comes . NEW YORK - Satur, .. for their party last Thursday, They were born at a
into the room she goes COIIIl- Smger DICk. Haymes. fo iSSUed a statement amplifying temporary maternity hospi·
pIete:y dUlIll!Q,"Mr. Bassan husband of Rita Hayworth. has their already declared policy tal set up by the Red Cross
with a name ta its handle

.told a New York court that he before setting off ·on their at theKAfl barracks near
TURN TO PAGE TWO I bankru t. recruiting tour. the Independence ~tadium.
Their mothers had come
DOMINATION to Nairobi - despite their
We are proud to have been associated pregnancies - to see the
"The MUF has been mis-
understood on the .subject of its THE.EAA with the progress of Kenya in the
celebrations at the birth of
the new nation.
‘The Nation’.
EASTERN
attitude towards the United
Party," they said. "It has been past and we hope to serve the new The hospital, which has
another five expectant
suggested that we support them,
Kenya for years to come. mothers in confinement, is
but in fact we merely support
the principle that no minori~ CANADAIR! Sole Agents in East Africa:
being run in liaison with
St. dohn A'mbulance Briga ~
I should be dominated. ~
There i. DO fiaer Tourist au. SeI'1'iee to AcIea, ICaradd posts and is open 24
applies tOe all minDriU. aad
not just to the Europe8Dll.,It and Bombay. and the EAA Credit Travel Plan requires oaq
UNITED MARKEUNG a day.
Referring to the treaU. of 10% depoelt. INTERN A TIONAL
1904 and 1911, under which the
Masai gave up the White High- LIMITED
lands of Kenya for. European Fly amoag friencls OD
settlement •. Mr. Lemomo said: World-wide Marketing - -":liliesPromotion and Distribution
"During the Lancaster House
CICXIfereoce • __
peat deal __ vrganisation, P.O. BOl 579, SHAMAS HOUSE, LA TEMA
laid about ~ 1_ The'" . ROAD, NA.IROBI, KENYA.
". ,If"
TURN TO PACE 1WO
1970 – 1979
January January (W
~
Ill\ I) ()
17th 1972 25th 1971

:~~~~ WA TCHIS
The First "SCRATCHPROOF"
IPI'OIITt 2ITII eEl/TURY ClIIlU W.t~h in the world
FOR THE APOLLO WATCH CO.
DISCERNING HOUSEWifE
lea ••••••••
LTD.
NAIROBI HILTO.,
A Be II•.•'" 0' 'H'
II
I . (: I ::o::,,":~:.~:~ No.3205 Tuesday, January 26, 1971 50 Cents. **
No.3506 Friday, January 14, 1972'
Ii... ,,'- (- ~'" ,
<'j\,'j " ;, ,,, c .,
Long list of charges against ousted Obote regime

ARMY OFFICERS OUST GOVT. OF PRIME MINISTER BUSIA
•
Ives ana •
Coup in new
•
ers I
ALL'S WELL THAT ENDS WELL
Coup in AN A,NNOUNCEMENT here this afternoon that
the Army has taken over power from the Govern~
ment of President Milton Obote and that it will
be headed by Maj-Gen. Idi Amin, Commander of
I
Ghana Uganda
ACCRA, Thursday the Armed Forces and of the Uganda Air Force,
THE Army and police in Ghana overthrew Prime was greeted with joy by the people of Kampala.
Minister Kofi Busia today while he was in London. The announcement of the
From NATION Reporter:
A.n Army spokesman announced the coup over take-over came after a KAMPALA, Monday
Ghanll' Radio, accusing Busia of "arbitrary arrests, night and morning of
malpractices and economic mismanagement." shootin~ in the streets Gen. Amin appealed to
which threw the city into Ugandans to remain calm and
In a broadcast, Col. Mike Acheampong? who identI~e~ panic and confusion. to report for duty tOday in
himself as leader of the coup, told Ghanaians Dr. Busta s An announcement on the
the normal manner.
"Government has been dissolved and all political parties The new lIead of state
radio confirming the coup, and also announced that all pali-
banned. " a personal statement a little I iC'al urisoners in the ('ounlry
It said Ghana would now later by Gen. Amin himself and all people jailed for "un-
saying he had taken over as specified and unfounrled"
be governed by an Executive Head of State. soon brolJght ('har!!;es had been released
Committee of military of- people into the deserted fllrthwith.
ficers and civilian advisers. streets . . He said he was a believer
It said "all members of They went wild with j.oy,; in civilian government, free-
Govennment and of Parlia- driving around the citv and Iv elc('ted by the peOple, and
dancing in the streets waving t ha t as soon as the' situ a tion
ment must report to the green branches retolrned to nor'mal a date for
nearest police station for The coup took place during elections would be announced.
their own safety." the absence from the country
In Loodon. Dr. Busia was
said to be "shocked and' sur-
of President
on his way home
Obate, who was
from the Agreement
prised" by the coup. A Ghana Commonwealth Conference in
'High Commission spokesman. Singapore. He was due to have He concluded his announce-
EMPLOYERS TOLD
Press Attache Henry Thomp- arrived in Nairobi at 10 p.m. ,nent with the words: "Long
BOAC . Boeing 747 ••umbo yesterday with a large dele- Live the Republic of Uganda,"
BANCO
son. said Busia is a~aitin2 Mr. Oryemll, in a brief
• Uganda'.~ new Hpad of
Jet services between Ewope more detailed informahon be- gation.
and Nalrobl/.JOhannesburg lMe deddinJl whether to return The announcement of the statement, said: "I, as the State, Maj.-Gen. Amin (right).
are expected to return to home.. take--over contained a warning Inspector-General of police,
TO BACK GOVT. ON
normal In the next 48 hoc8'll and my ('olleague Maj.-Gen. (/ ncf the lnsppctor-Gene'1'o!l of
Busia, 58. arrived there on to foreign governments, telling
after a series of mis- Tuesday for treatment of .an them not to interfere in the [di Amin, Commander of the Police, Mr. Or l/-e'mCI, who hus
fortunes starting with the eye complaint. He is staymg internal affairs of Uganda "for Uganda Armed Forces and
P'OUnding of a dumbo at Air Force, after some discus- pledged his SUPp'Jrt to the new
at the borne of Ghana's High anyone trying to do so will
products
Nairobi Airport on Monday sions this morning, :Januar,y is giving
KENY ANISA TION

Commhjsioner, A. B. Attafua. bE' dealt with properly by our regi.me. The ,latter a
with engine trouble. in the St. John's Wood district strong Army." 25. agreed that from today sign well suited to ues!<'rday's
A spare engine (seen of North.West London. Gen. Amin made his the Army has taken over
above) for the crippled Linder a military Government. events in. KampalCl; however.
In the Accra broadcast. Col. • DR. BUSIA announcement on t~ radio
plane finally arrived In Acheampong saUl he was part a'tter the Inspector-Gerieral of "I and Maj.-Gen. Amin have this pictureo! the two officers
By NATION Reporter who have the economic
KAPWEPWE
Nairobi on Wednesday of the National Liberation Police, Mr. E. W. Oryema. mutually agreed that the
was taken by the NATION's
THE President of the Federa- interests of our country at nllllt abOard another Council, a collaboration of mi- had made a brief announce- G(wernment of Uganda will
tion of Kenya ;Employers. Mr. heart." he added. Boeing 747 whlct\ returned litary a,nd pollee which over- ment pledging support for the be run by the Armed ForceS. Chief Photogrupher, AZHAR BANCO Chair NO.8
C. H. Malavu, yesterday urged
BEA TEN
to London yesterday morn- threw j~ormer President Kwa take-over. I will be responsible for the
"We. therefore, regard last CHAUDHRY, at Entebbe Air--
p
members to co-operate with Ins. me Nkrumab on February 24, Gen. Amin told the nation Uganda Polioe" as Inspe('Jtor-
the Government i.n every week's Government move to 1966. :Nkrumab now lives in General under the command poJrt on August 1. 1969, when
speed up Kenyanisation as a A team of engineers and that, as a professional soldier
UP BY:<GANG
respect and at all times parti- an lnepector of accidents, Guinea. where his friend. Pre- and not a politician, his task of Maj.-Gen. Amin." thel.l went there to see .pope
cularly on the question of logical and necessary follow-
up on the earlier steps already lP8CIaily flown out from sident Ahmed Sekou Toure. would be that of a Caretaker He continued: "I am sincere- Pa1~1 off after his histbric
Kenyanisatlon. London to Rpalr the has named bim "cQo-President." Government pE'nrling frE'sh ly behind Maj.-Gell. Amin
taken in this direction. orlppled plane. started though he does not exercise
Addressing the annual "This move has by no LUSAKA. Thursday elections soon. TURN TO BACK PAGE l'isit to Uganda,
general meeting of the Coast work on It yesterday. '!lIey power. ZAMBIA's former Vice-Presi-
means taken Us by surprise. Acheampong said the "mal-
are expeded to complete dent, Simon Kapwepwe. was
OBOTE'S HOURS OF HELL

branch of the feder!ltlon. Mr. we expected it and we are. as practice and arbitrary dismis- beaten up on a Lusaka street
Malavu noted that the usual. nrepared to co-operatE' their rnls8lon this after-
noon. sals" w:l1ichled to Nkrumah's just before dusk yesterday by
organisation had always fully downfall had continued under
and unhesitatingly supported TURN TO BACK PACE a gang of youths wearine: the
the Government in its efforts multi-coloured shirts of Presi-
Pakistan severs ties

to give priority to Kenya TURN TO BACK PACE den.t Kaunda's ruling party. Mr. W. W. Kalama llnd the
citizens in employment Eye-witness reports said By N AT ION Chief Re- 28 members of the Uganda de.
opportunities throughout thE." Kapwepwe was kic;ked and porter, CYPRIAN FER- legation to the Commonwealth
Republic. beaten with a walkimf stick Conference, boarded the plane.
NANDES, who traveUed
"As our past rec:ord will NEW DELHI, Thursday and that his clothes were torn To bring them to the airPOrt
show. the federation has never
C<>vernmenthad recognJlBedBan~la Desh. off. with Dr. ,Obote on the the Singapore police authorities
for QUALITY
PAKISTAN severed diplo:natic ties today with Bhutan and East Germany, the other two flight from Singapore.
supported any mOVl~or act Poland, Bulgaria and Mongolia in retaliation for Governments that have recognised the Govern- Kapwepwe was abandoned had assigneda carload of rr~k
contrary to Government their recognition of the new Bangia Desh Gov- ment in the former Eastern wing of Pakistan. when. the youths gave chase to security policemen, Dr. Obote
and RELIABiliTY
policies in this rnatt~!r or any ernment in Dacca, Radio Pakistan reported. have no diplomatic ties with Islamabad. his driver, who bad dropped was toasting the ne,ws that boarded the aircraft obviously
other matter or matters in thE." The announcement indicated that Pakistan's Bur:na today became the seventh country him minutes earlier outside a there had been a ~·coup." This Mlrried!. :-lis normally photo·
fteld of labour mallagemE."nt, President Zulfikar Ali Bhutto has d~ided to to recognise BangIa Desh.. grocery store. He staggered to was in Hongkong, about dawn genic fa~e was lost in wrinkles.
industrial relations and em- follow a hardline policy to try to prevent inter- • Despite an announcement by BangIa Desh his feet and fled with a bleed~ yesterday morning: Later I learned that before
ployment. national acceptance of the BangIa Desh Gov- leader Sheikh Mujibur Rahman that' no links ing, swollen face while his At eight o'clock I was on EO Dr. Obote boarded the air·
"I know that we are
regarded by the Government
ernment of Sheikh Mujibur Rahman.
Pakistan broke diplomatic relations with
are possible with' Pakistan, President Bhutto
believes the last word hus not been spoken on
driver also was being beaten.
The incident was the serond
733 headed for Singapore,
where at midday Dr. o bote,
craift he had been in touch
by telephone with Uganda KENYA CASEMENTS LIMITED
as a responsible and important India within hours of Prime Minister Indira the issue, his Press Sec:retary said in Rawal- in a few days involving Kap- aooornpanied by Mr. Sam P.O.Box 90132, Phone 20301/2 Mombasa
part of the Kenya community Gandhi's December 6 announcement that ber pindi. wepwe.. - AP Odaka, his Foreign Minister, TURN TO BACK PAGE
SurMti~y" .
OPEN 7 DAYS LUNCH & DINNER

RESERVATIONS: PHONE 336803
,No. 1346, Sun4ay, ,April 20, _1980 Price 1/80

[,~,nC\
",~M'M"'A c,t IHI
AUOll HuRtM'
April April
0' "AC UI A 100,"
'"
-'THE' STRUGGLE INMURANaA STILL CONTINUES'
1980 – 1989 oup bid
ashed
.
,~.,_.~--f)j.~jl.y\
'-
'~."~"
------=::
''W
• \>.
-"
Pan Africa Insurance

Company Limited
(I).
20th 1980 20th 1981

t
Me
The People
Who Care More
Liberia
No. 6337, Tuesday, A••ril21; 1981
•• OJ 1'"1
~
~
'1"'1 .l.J.I~v
;~~:~C\JLAftOH!;
Price 1/60
RALLY RECORD. BOOKS REWRITTEN Moi hits

out at
e ar's e
'MONROVIA, Saturday
.. ~ 'rebel
Attempted Kenyans
TROOPS disloyal to Liberia's '
nl!w military rulers killed Jhe

.artillery commander of the newly
leaders'
•
PRESIDENT Moi said
established Ruling People's yesterday that Kenyans are
e politically-mature and can-
~ ~i- rIC In
not be dupeCt'by selt-styled
Redemption Council, reports
d
leaders whose ambitions
.were bound to retard
from Liberia yesterday quoted development..
"Wananchi know· what
kind of leadership they
the Liberian News Agency as expected from us and we
'shall only be cheating our-
Shekhar-
saying. selves if we try to misdirect
them in their endeavour to
The agency report, dated Wed-

promote their own living
coup in
R
standards," said thc Presi-
'I?'I
By MULl KYENDO dent.
nesday but not allowed to be sent
WQ
and The President was
I!¥.'~~\;)':';':
'::<',
-~':.'.·.::i'··:.·:'
~':'::':;..; '. /
G/DEON ~ULAK/ addressing a delegation
c:~'~/:~;
road by correspondents in
from Bomet constituency
·
SHEKHAR Mehta made history yesterday
"'~:
0,
-f:-:';:
~
who called on him at his

.".','
(~
'•,'-~Jj~
,,',
•.•.••••..•.•...•••••..•.. <: ..•••. :i•.•••..•..

.•••.•••••..••..••.•..•..•....•..•••
,,, •••••.•••..••••••••.••.•..•.••••••••••••.•.••.•• ':.:"'.:"
'.'•...••.•.. '•.....• '...
'•:.'....
.••...
.'..'.'.'.'"
'< ...
••
.'•••
_'
....
'.•.....
by becoming the first man to perform the Kabarak home to present to

ria until yesterday; quoted l;!~ ,:
~,,~""'.::::_~;:~
, hat-trick in the Safari Rally. L him 267bags ofmaizefor the
U
• :,\ ,'~;:;,~:>::·:,:t~:,;: needypeople.
mmanding General of the
eand
IS on
This was Mehta's third win in a row llnd fourth In the The delegation was led by
the area MP, Mr. Isaac
....•• 29-year history of the world's toughest rally. Salat. who is also an AS8i~-
, me "Forces of Liberia, Thomas ,."
, .
Last year, Mehta had
equalled "Simba" Joginder
_ ••••••• _ tant Minister in the Officeof
the President ..
'.~aiwonkpa, as 'saying Isaac TO:P TEN

Singh's record. This time, he The President praised
went one up and observers say people from Kericho "for
identifyingthe right pattd.
ah was killed,on Monday in it is hi!thly unlikely that any
other driver-car combination I. Nil 7 (Mr'hta/Ollll/(hty, Oat,,"n.
foil ow i n It the Nv ll~(
philosophy". He urged the~
. hush by 36 rebel soldiers.
can perform the feat' in \'iolet GT, 211 points /o.•t): 2. No, .:; to continuein that direction~
future .. (AaltonenlOrp ,'S. OatslI/1 Violet GT, "When I talk about peace,
2241: :I.No. 1·/ (KirklandIHUI/'(/rth.
Liberia Mehta
Mehta .and co-driver Mike I am referring to the role you
; aid Jurwah was killed at
Oat,'"n \'io, et. 291): 4. No. 2
Doughty roared right into (Salonen/Harj. 1I1ne. Oal,,"n Sih'ia. leaders are expected to play
motorsport record books when ·/.IF/I: 5. No. , (Kleint/WanNer. Opel in bringing about u~ity,"
la.in Bong County, adding their Datsun 160J GT Violet
romped home amidst wild
,A.,clI/1a 400, oj ~6): 6. No. I.:; (/.e{"h-
I're/Oro/ferri"r. P"lI/!eot .'ifl./ ('lIlIpr',
.';/2): 7.· Nil. 'I rTwashita/Nakahara.
the President told the dele-
gation.
He reminded the peopleof
erillbersof the rebel troops cheers from a large crowd.
The crowd caused a near-
J>at.wn Sili·. a, 6//): 8. No. 2:1
(Shah/Rahim. (Jatsun PA 10. 6:10); 9.
No. :1 (AmhNHinoIFauehil/e. PruNmt
Kericho of the need to max-
,imise land use by planting
equently were arrested and sta~pede when a smiling
Mehta jumped out of his bat-
tered Datsun at the end of tile
1l0.J ('lIlIpe. 770): 10. No.
(Smith/lJoiJ{, /llIdJ{e Ramcharl!('r. 7M)
IX twice a year and intensify-
ing production of maize,
'ld at the army b'arracks here 5,200-km five-day ordeal.

Mehta snatched the lead
.BACK PAGE - COL. 5
"awaiting c·ourt-martiaL. mid way through the second

leg from Swedish ace Anders.,
The Wednesday reporf by the Kullang and Bn.mo Berlund'
. in their Opel Ascona400.
Agency quoted Quaiwon~pa as rather politicat survivals as we do some administration officers il The Swedes ran their car
not, t a k e Ii g h t1 y the
into a ditch and smashed the
saying the same day that those have some who suffered great Murang'a by way of "bribery' lights and the front part of the
Mike Daughty
B! JOHN
. ESIBI ,'.
car, effectively putting an end
: found guilty in the "counter- Government's reshuffle in the defeat in the last elections, yet and "corruption", the Ministe to the lead they had main-
tained from the start on
TtIE ~mlster~or HIgher ' administration," sllid Mr.

Thursday afternoon.
coup" would be executed they have not given up. warned: The Swedes out of the way
"This is why the struggle con- . "I hope ·the civil servants iJ
the battle was now between
immediately by firing squad. EducatiOn, Mr. Joseph Kamotho who, is the MP for the Datsuns, with the Finnish
veteran Rauno Aaltonnen and
The agency's Wednesd.ay Kamotho, 'has declared his Kangema; . tinues until the rest join hands Muninl~'a, particularly thosewh co-driver LOrtDrews posing a
tOugh chanenge to the cham-
report add'ed that a massIVe with the Government for the happened to have come outsid pion.
intention to run for' Kanu "From what we hear, they did benefit of the people in Murang'a from the district, will by now hav,
It w~ the most gtuelling
. search was under way for the

rally in the 29 years of the
event. Torrential rains had
distrIct chairmimship in 'not take it lightly. But c?me ~hat and Kenya as a whole," he said. learnt their lesson .from las ftooded most of the country
, leader of the insurgents" whom it Murang'a when "the n t ma);', we are ready to fIght It on
forming impassable rivers as'
Me
amed as William Jarboh . . ' .. ex until we make sure that peace . The Minister however noted week's incident where a 'DC we wide 150ft. and 12 ft. deep
in places which forced Safari
W!
ia
win safari rally

~I: he agency quoted party.electlOns. are held. and understanding is restored that the majority of Murang'a ,removed from the office." .Scorecard - Page 12;
PAGE 12 - COL. 1
~uaiwonkpa . as saying the 36 . people' were peace loving and Mr. Kamotho added: "W Other Safari news- Page 13.
ebel soldiers killed Jurwah ip an

"Pol i tica I strug'g Ie iri back in Murang'a." hard working. Stating that the would like to accord to our civ INSIDE Marie Claire...
Murang'a still continues and In an exclusive interview with In' ste p with the tasbion capitals of the world,
. attempt, to de§tabilise the,new
"military government of'Master therefore I would not like to
present· 'political problem had
the SUNDAY NATION (See Page been there for a long time, Mr,
servants as much powers as poss
ble in order to do their wor
eIsraeli guns pound
port - Page 2
~roane•..
••cJaire1P~;~~cc
say that last week's develop- 1.0)Mr. Kamoth.o declared, in the
eGG warns matatu
Sgt. Samuel K. Doe, the ne~ Kamotho said: "This has not without. interference. But Ie ,.;:.;,.J:r)'
drivers - Page 3
di
· .'11 lIght of all thIS, "I make my
HAN.D MADE BY CRAFTSMEN FOR YOU'
eAngola says Cuban

been caused by the people in them not be pocketed by
'ft) and som
A JUBILANT Wa rasaka, the Datsun team manaf{er, raises the hand.~ of the Safari winners 1981 Availabll: from Baa appointed retailers on Moi Aven~e,Kenyatta
d of State. Doe. led a coup me F1 t h as en d e d I t a,' intention quite clear that I will Shekhar Mehta Mike Douf{hty at the finish of the Rally at the Kenyatta Conference
Centre yesterday ...
troops will stay
Page 4
(I; Avenue,lIbma N~na Street and Harambee Avenue, Nairobi.
, , oalllst the regime 61': f:resident , ,JOSEPH KAMOTHO Probably our opponents dId run, for Kanu district chair- Murang'a per se.. It has been politicians. Pictu~e~rAZHAR CI!J;\~p'HRX?~ ~~a~ E~tac~rome
William' Tolbert l!lst SaturdaYJ manship if the current party caused by a few politicians. wh.o "Let the civil servants remai
Violence mars first

._'* ••• ~.-_._---------
leadership is disolved. have. ganged up for their own impartial when dealing wit
"I am confident that if the selfish ends." . public affairs. Let them al,
Kanu leadership is disolved . Accusing the opponents for remain equally impertial whi
today, I will simply walk over to having engaged in the past in handlin~ politicians i
victory as the district Kanu
chairman in Murang'a" .
what he described as "pocketing"
~----,-----------
Murang'a,' he said.
day of in de pen de nee

o
. He rebuked the current party

leadership and c1aillled the
officers carne to power through
~Sanyo ",
"rigged" elections in 1976.
Analysing thepoIitical situa'
tion in Murang'a, the Minister
ment.· I shall certainly be missing observed, "we have some MPs
Guarantee
SALISBURY, Saturday Most of the quarter-million a good friend and counsellor, and while others are simply local
Whites erstwhile rulers of the.
f Africa for
THE first'day in the life of Ininer~l-rich territory and its' so will our independent Zim- . politicians brewipg up trouble in
babweandallitspeople.". " Murang'a". -
ao
a Colourful
Zimbabwe, yesterday was seven, million Blacks; stayed at A few hours before Soames hift,' They have tried to gang up
'marred by two grenade. home as Blacks danced, marched
Six Decades of
Mugabe performed his first with some of thel;ittinll MPs, for
and sang through the streets most
~ ,World ~
explosions in which two official public duty by laying a the sake of their own political,
of the indePendence day holiday. wreath beside thE!independence game. I would not like to term
Blacks were' killed and Police said most revellers were flame" , them political. grouping,' but
more than 30 wounded. - wellbehaved. , .
There were other minor inci- On his last .day in-
dents:, .- .... British Governor '.Lordi So
Bandi~ith
······
..
• Riot police cruising'the flag- supervised last:minute' packing ,.. f·· ...
•• ()f .
I .' ~
: bedecked capital in arrn:oured a't the stately Cape Dutch
ars alsousedte.argiIs and oatons residence that was his headquar-
$4.5 million, ·In·-g~ms
TWO
veral times to b~eak up . ,ters since"December 12 when he
f Afr a for A
evellers celebrating llldep~n- restored" ~ritish - rule after a .

dence after 90 years of WhIte- rebellion by the White-minority
. ' ..
minority rule .. government of Ian Smith to TEL AVIV , S aturd ~y was sealed off,
'Many ofthe~3,OOO employees in
,years
'. Police with dogs also dIsper- entrench minority control in IN toe bi~ges( robbery I~ the exchange were:...d.!llayepin .
sed Black students ~ho had, 1965. Israel's' hIstory, a d.aringreturning home for the" Jew}sh'
thrown stones and smea!ed corn From government house, as it
bandit invaded the head- Sabbath by the exhaustIve
. porridge" a loca! staple diSh, on a is called, Soames - hacked by
wntown SalIsbury statue of 1 300 five-nation Commonwealth q~ are t r ~ 0 f ,s'I r I!~'. ,'~ search. Exchange President Moshe
ecil John Rhodes - the British s~ldiers, a small staff of,advisers dIamond mdustry yes '1'-/Schnitzer refused to place a value
dventurer who symbolised the and the White-led Civil Service
--"-held a ceasefire between 'rival day 'and took gems valued. 'on the stolen gems, but police
lony named 'after him ..
armies after sevenyearj!.,ofbloody llt up to $4.5· million, prov~d~danestimate ..
P Armed prison. guards ha? to
'Jund up 225 prIsoners a",:altmg guerril~ war and ?rgantsed elec-
'd . MIllIons of dollars m transac- r
tions overwhelmlllgly won by P? Ice sal .' .'. tions take place daily in the giant
trial 'on crimiPla} charges ~hp Sh<;>rtlyafter the umden~lfied exchimge and, officials pride
24
broke out of the Ce~tral Robert Mugabe. b~ndlt fled the 13th-floor offICeof themselves,pn the strictest
Salisbury prison demandmg a Before Mugabe and Banana dIamond . merc~l1t ,Menachem security prffcautions .obtainable.
,pardon from their new govern- saw, Soames off before waving , Hershkovltz, polIce sealed off the Schnitzer said that was the first We
- :r.z&. 'crowds and a l1uard.of honour at two-b~ilding comph!x and beglln 'robbery since the exchange was' Guarantee
ine prisoners were still at Rev. Caanan Salisbury, airport searchmg the employees ,one by built in 1968. ' i ' a colourful time at
tge yesterday after .guards
arched the others back to their
'cells. One prisoner, fourid in a
the Prime Minister said of the
governor:
one. -.-', """"' .. The robbery in the secretive,
Police said they wer~not su.r!!if tightly guarded excha~ge led .5AnVO ARm[O LTD '.
ic
"I am: personally indebted to the robber, armed With a pIst?1 some observers to susp\lct the KENYAn A AVENUE NAIROBI P,O, BOX 471 67TEL: 331062/23458
back garden of a suburban house, him for the advice he has con- and a .hand grena?e,. succeeded I.n gunman may have had help from
was delivered to the prison by the stantly given me on the art of escapmg the bUlldmg' before It the inside. ' ~......:.AP
White owner in the trunk of his managing ,the iIffairs of govern-
r.
,,
.' ';),
fr
ica
February 8
1990
FOCUS ON~ANC'
VAIL Y
World-lauds 'historic landmark"
THE STMBO' OF •••• UIY.
liI
'. _/'=::--l
'POSH~=~ ps;:.,IILLERS
A
'101\ MIllo & Hulle •• ooId

1& Serviced al
mcma~OOUd.
,0. Box 43266, Nairobi,
JOHANNESBURG, Friday - ,
~Mandela's fort,hcomingrelease stuns, white~ in ~~

,Tel: 559504
President Frederik de Klerk's an-
BRANCHES:
nouncement of Nelson Mandela's would remain until progresll to-
17th 1990
The newspaper that serves the nation
P.O. Box 2266, E1dotcl
Nelson
pending release and the wards the dismantling of apart-
, P.O. Box 368, Kloumu
unbanning of the ANC brought . -- ..
heid was irreversible.
epA~ s~ys de Klerk's conc~ssionsat:e lI!ea~ingless,

P.O. Box 69, Me",
fri No. 9084,Nairobi, Saturday, February 17,1990
,
Price KSh4/50 .
swift condemnation from the faI
right today.
The far-right official opp-osi-
tion Conservative Party (CP),
btanded the upcoming release
and lifting of a ban on the Afri-
can National Congress as "shock-
ing" and "most revolutionary".
The CP challenged Mr de
Klerk's National Party (NP) gov-
ernment immediately to hold a
general election to "give white
voters the chance to pronounce
on the NP's drastic announce-
ments" and "reject these very
dangerous steps.'
But the ne*s produced an invi-
He cautiously welcomed Presi.
Gent de Klerk's announcement in
Cape Town of far-reaching re-
forms and the imminent release
of black nationalist
Mandela.
"The entire commonwealth
Nelson
will rejoice at the prospect of Nel-

son Mandela's release,. but re-
mained troubled that it is still de-
ferred, he said in a statement
released in London.
"Collective commonwealth ef
forts will need to continue ~
fronts until such progress to-
wards the dismantling of apart-
heid is irreversible," said
1990 – 1999
tation for 71-year-old Mr Ramphal. ,
Robert Mandela
Mandela to visit Britain to meet 'In Cairo~ the current chairman of
Prime Minister Margaret the Organisation of African Uni-
Thatcher. ty, hailed South Africa's decision
In Washington, Presidell:t Mr Bush: "Quite positive" , Mrs ~tc.her: 'Invited MandeIaI Mr Kaonda: "A job well started" today to lift a 30-year ban on the
Arch. :rutu: "Not all I hoped for" African National Congress.
arrived at the murder scene at George Bush hailed South Afn- appearance at a university there: Ortanisation's 'headquarters - in Walter "Sisulu,currently on a visit
ca's decision to free Nelso~ Man- Mr Bush called that announce- eXI'••decll'ned to comment I'mme- t S d the Foreign Ministry said: "We "Egypt sees this action as a
4.41 p.m while Mr Oyugi ar- d h ld US positive and first step towards
rived by helicopter at 5.15 p.m 'dela and sai e wou re~lew. ment "very interesting and I diately
y on the news, saym'g the'y t 0 weI en, said he needed trm'e welcome the steps as positive.
sanctions agams . t P ret ona wI,tt would say quite positive." were studying the full text of the b0 eva uate the removal of the They are an impo~t move to- elimination of apartheid in South
accompanied by the Foreign
wards a peaceful solution in 'Africa," Minister of State for
ca Ouko
Moi sends message of
condolence to fumily
. By CALEB ATEMI
Minister: for Foreign
Affairs and Interna-
tional Co-operation,
Kisumu Town Member of
Parliament were found lying
near the Nyando River at the
foot of the Got -Alila Hill.
The small hill, covered by
Kisumu yesterday afternoon.
First reports told how a 13-
year-old boy had discovered
the body,at around 9 a.m. The
police, were alerted immedi-
Affairs and International Co-
operation Permanent Secre-
tary, Mr Bethwel Kiplagat.
Mr Oyugi said the motive
for the murder was not known
, " but the government will
net the murderers come what
may."
He said the full results of
the investigations would be
made public at a later stage.
When members of the Press
arrived at the scene, they were
barred from viewing the body.
Only Voice-of Kenya journa-
lists were allowed to view the
body and take photographs.
But later when Mr Ovugi ar-
rived, he said pressmen could
view the body but could not
take pictures.
The Assistant Minister for
Labour, Mr Onyango Midika,
and the Minister for Water
Development, Mr Ndolo Ayah .
were also present at the scene.
When local people' were in-
formed of news about the
death outside Dr Ouko's
home, they broke down in
released
'congression81lead!lrs.
the right dir~ction, It is .ce~inly
JOHANNESBURG. Friday
F. W. de Klerk, who announced
South A.frica's most sweeping re-
forms in 40 years today, wlJS '
known as a right-wing cons~rva-
tive until he became PreSIdent
five months ago and began to
chip away at apartheid race laws.
. Product of a prominent Afrika-
ner (Dutch-descended) political
dyanasty, the urbane de K!erk
had a meteoric rise as a Cabmet
..Minister. He ,became Head of
Mr Bush" also repeated invita-
"I think when people move in tions he extended on Thursday
for Mr Mandela and Mr de Klerk
time to revIew all pohcy, Mr to make separate visits to Wash-
Bush told reporters aboard the ington once the ANC's historic
presidential plane on .his way to leader is freed.
Raleigh, North Carohna, for an
The manbehirid- the sweeping reforms

In Lusaka, ANC officials at the
State in September after winning

a power struggle outgoing Presi-
dent P. W. Botha.
The balding, 53-year-old de
.Klerk is a laywyer from Trans-
vaal, the province at the heart of
South African political' power,
"and for years was identified with
the ruling National Party's (NP)
right wing..
'~e
speech ..
Archbishop Desmond Tutu
welcomed the moves, saying:
"My immediate gut-level reaction
is positive, and I want to com-
mend him Coe Klerk;'.
'Former ANC secretary-generai,~
nationalist leaders in a bid to cut

South Africa's sporting isolation.
w~s. reviled by anti-apart-
held actlVlts for supporting racial
segragation of schools when he
was Education Minister.
He remains a believer in the
racial classification of society, the
cornerstone of apartheid segrega-
tion, but has promised reforms in
He once publicly upbraided se-, the next few years to give the
nior officials of the South African 'non-voteless black majority some
.ru~by board for meet,ing black role in government.'
De Klerk: Time
af!it ~es a long time for "news
hke thIS to seep in".
In London the anti-apartheid
movement expressed "delight
tinged with concern" at the
moves..
Norway praised the move and
De Klerk secured the leader-

ship of the NP in February last
year after Botha, party leader
since 1978, had a stroke.
But he was not Botha's choice
and faced continual sniping from
the 73-year-old President, appar-
ently resentful that de Klerk ap-
peared likely to develop and take
credit for political reforms he ini-
tiated in the early 1980s.
He is married with three chil-
dren. (Reuters)
South Africa."
President Kenneth Kaunda of
Zambia, where the ANC is based
offered "hearty congratulations
for a job' well started."
"I think that President de
Klerk has done something very
good indeed," he told journalists
and l!aid .he accepted de Klerk's
explanation for not freeing Nel-
son Mandela immediately.
In London, British Prime Min-
ister Margaret Thatcher, hailing
the decision to release Nelson
Mandela, today immediately in-
vited de Klerk to visit her.
She also said she wants
Mandela to come as soon as he is
free, according to a statement re-
leased by her office.
The statement from Mrs
Thatcher's 10 Downing Street of"
fice said de Klerk's decision to
release Mandela, leader o( the
Foreign Affairs, Boutros Ghali
said in a statement.
move.
"We welcome this move,
eign Minister 'Gaotsiwe ChI
told the Botswana Press age
,
.Botswana welcomed' political
concessions announced by Presi-
dent de Klerk saying the South
African leader had taken a bold
(Bopa). "Personally, I am plea

with de Klerk's bold step
added.
," eGhana also welcomed the lif
ing of a 30-year-old ban on th
African National Congress black
natkionalist movement and a
pledge to free its imprisoned
leader, Nelson Mandela soon.
"The moves are in the right
direction but fall short of Gha-
na's expectations, Ghana's Depu-
ty Secretary for Foreign Affairs,
Mohamed Thn Chambas, said .
African National Congress, was a , Meanwhile, police using tear
"historic landmark on the road to
a new South Africa."
The radical Pan Africanist
,
gas and dogs dispersed hundreds
of blacks who poured into central
Johannesburg today chanting
for reconciliation
bush and shrub, sits facing ately and swung into action.
Dr Robert Ouko, who tears, while others sobbed Congress (PAC) said today re- "Viva ANC" in a spontaneous
found dead from

the banks of River Nyando, Mrs Ouko received the profusely. forms announced by F,' -W. de celebration of reforms announced
went missing on which forms the boundaries news of her husband's death All public places in Kisumu Klerk were meaningless and by President F. W. de Klerk.
Tuesday, was found to Kericho and Kisumu from ae anonymous telephone closed after the seven o'clock pledged to itJt.ensify its fight Police quickly shepherded the
Districts. caller. She fainted at their
has now arrived

murdered in a bush Near the body, was the late Koru farm house on receiving
news on VoK. against apartheId ... crowd onto pavements, where
they continued dancing, ululating
- The discovery of Dr Ouko's Waters Toboti, information dI-
about six kilometres Minister's walking stick, his the call. body brought to a tragic end rector of the Tanzania-based and waving their fists in wha.
from his Koru farm. jacket, a pair of gum-boots
and a Somali sword.
She was later taken to Ki-
sumu's Aga Khan Hospital.
an -,intensive search by Ke- group said it was impossible to peared initially to be a
,A. Mandela come. Home•••
.
The Minister's body was PAGE 5, COt 1 CAPE TOWN, Friday speak' of reforming apartheid 9:nd natured demonstration.
Besides Police Com miss- The scene-of-crime police that de Klerk was marely trymg But student activist David
discovered by a 13-year- sioner Kilonzo, the Perma- Here are excerpts from President F. W. de Klerk's parUamentarr
old schoolboy. The police nent Secretary in the Office of The world is holding its breath for any day now, speech today in which he legalised or lifted restrictions on more tban . to neutralise his OPWIl~II;tlJ. Jammy said four people were in-
arrived on the scene at the President, Mr Hezekiah Nelson Mandela, the conscience of all the black 60 organisations, including the African National Congress, and said , .Commonwealt-h cSecretary- jured after being beaten by riot
10.30 am, Oyugi and the Head of the the ANC's jailed leader Nelson MandeIa will be freed soon. general Shridath ,South Africa poli,ce in _B~aamfon~in,
The body was badly burned CID, Mr Noah arap Too, were
people and others who cherish peace and
equality among the peoples of the world, could .i'lwisl1'"to put it plainly that ...:also Mr'Mandela - have been
but the face was just recogni- flown to the scene yesterday the government has taken a firm advancing over the years as tnelr
sable as that of the former afternoon. be freed after 27 years in jail. But how has decision to release Mr Mandela reason for having resorted to
Minister. His arms and legs Mr Oyugi told reporters: Mandela spent the last years of his life in jail - unconditionally. violence.
had been smashed but there "The body of the Mini,ster
'DAILY
was no indication that any will be left here overnight un- the years that saw events that have made his "The government will take .a "The allegation has been that
struggle took place. til the police have completed release possible? The Sunday Nation brings you a decision soon on the date of hIS the government did not wi,sh to
Police Commissioner Philip their investigations. After release. Unfortunately, a further talk to them and that they were
, fascinating report this wee~end.
prison
short passage of time is unavoid- deprived of their right to normal
NATION
Kilonzo, who flew to the scene that it will be transferred to
yesterday afternoon said: "It Nairobi." Police, armed with able ... in the case of Mr Man- political activity. ,
is a cruel, inhuman and most
bloody murder. We cannot
G3 rifles, guarded the body
.overnight.
Cbildren of tbe .frontline dela there are factors in the way
of his immediate release, of
"Without conceding that vio-
lence has ever been justified, I
sleep until all those concerned He added that the Govern- Also this weekend, the Sunday Nation visits which his personal circumstances _wish to say today to those who
and safety are not the least. He argued in this manner:
SPEED
have been brought to book." ment would leave no stone un- children on the frontline. Those who have seen
Earlier, President Moi had turned until the crime was ,has not been an ordinary prisoner .The government wishes to
confirmed the death of the .solved. pictures of South African anti-apartheid protests for quite some time. Because of talk to all leaders who seek peace.
Minister and he expressed his Three Army and Police and demonstrations have set:nthem, for they are that, his case requires particular eThe unconditional lifting of
GOVERNORS In
cundolences to Mrs Ouko heli-copters, full of senior in- the spearhead of the struggle inside their circumspection." . the 'prohibition on the said or-
.and the family.
The charred remains of the
vestigators, were despatched
to the scene from Nairobi and country. But what has this done to the future ."Our country and !ill I~S ganisations places everybody in a
people have been embro~ed m position to pursue politics freely.
New Era Dawn. SA
leaders and parents of South Africa? With President De Klerk lifting the 3Ol:year.ban on the
5, 6 and 7
conflict, tension an~ ":lOlent eThe justification for violence
The late Dr Robert Ouko See also page 3, ~ Proven 25% fuel economy ~a.ter 01 tbe bone
struggle for decades. It IStIme for
us to break out of the cycle of
which was always advanced, no
longer exists.
Mrican National Congress (ANC) and the Pan African
Congress (pAC), the inevitable has happened. South Africa
- Saitoti
violence and break through to ."Henceforth, everybody's po- is at the dawn of a new era. an era &aught with challenges
This is cruel murder flf Safe
I~~I
& reliable In the small Soviet town of Kurgan in the peace and reconciliation." litical points of view will be tested and hopes that South Africa will be in the not too distant
'IIPrice
."With the st,eps the govel!l- against their rea!ism,.their work- future be a free, non-racial and democratic country.
desolate Siberia region, a surgeon has for years
18,000/- + V.A.T. ment has taken It has proven Its ability and theIr faIrness. The To capiure the mood and set the scenario inside South
By JOB GlTHINJI always put ahead his commit- He expressed abhorence at
now, been performing miracles on thousands of good faith and the table is laid for time for negotiation has arrived." Africa, the Nation brings to you a special series of incisive
The Vice-President and- ment to duty before anything the heinous crime adding that The Econocruise speed governor has people who either want their bones lengthened sensible leader~ to be~ talking ."It is my inten,tion to termi- and captivating special reports, analysis, commentaries,
Minister for Finance, Profes- else and served the nation the Government would leave beon tested and perfected fpr Kenya or shortened, or their fractures mended without about a: new dispensatIon ... '. nate the state of emergency com- personafity profiles and background position papers by ~e
sor George Saitoti, described with dedication. - no stone untumed to uncover the us~al "carpentry." He does it easily using a "Among other things, those pletely as soon as circumstances Key players and personalities in the drama unfolding
Dr Ouko's death as a cruel He observed that Dr Ouko the perpetrators of the das- and can beins'antl, fitted aims include anew, democr'!-tic justify it ... there is still conflict ' tow~ds the inevitable disintegration of apanheid.
murder. also played a key role in the , tardly act. • at our premises or any techOlque that should make other orthopaedic constitution-universal franchlse- which is manifesting itself mainly
These special series include the most detailed and factual
•
In a message of condolen- development matters of t!te Prof Saitoti described the [J Motor Mart branch. experts look like beginners in the business. Read no domination-equality before an in Natal (Province).
ce, Prof Saitoti said that the independent judiciary-the protec- "In addition there are indica- profiles of the ANC's charismatic leader Mr Nelson
nation and highlighted Kanu late Minister as a personal . more about it tomorrow. Mandela, President De Klerk, a histOryof the ANC since its
Government and Kenyans affairs. friend arid a trustworthy arid tion. of minorities as well as of tions that radicals are still trying
had lost one of the most in- "It is difficult to describe reliable Cabinet colleague.. individual rights-freedom of reli- to disrupt the possibilities of ne- formation in 1912, it's military wing Umkhonto we Sizwe
dustrious and committed .the loss that has befallen Dr The chairman of Kanu Ki- gion-a sound e~ono~y pased on gotiation by means of mass (Spear of the nation) and the ANC's programme of action
Ministers, a steadfast Nyayo
person and great lover of this
Duko at this time," Prof 8ai-
toti said.
sii and Nyamira districts, Mr
Lawrence Sagini, described
BURNS & BLANE Wbl.per. proven economl(~ pnnclples and violence." and negotiation platform.
private enterprise-dynamic pro- "I call on the international *********************
country and, above all, a real Above all, Prof Saitoti said, Dr Duko as "one of our ablest ENGINEERING On when teachers get a taste of their own grammes directed at better edu- community to re-evaluate its po-
patriot. the President had lost a loyal and dedicated leaders in our eb BOX 45iOO NI\IROP.!
. medicine. cation, health services, housing sition and to adopt a positive at- Read the special serialisation in the Nation starting today
Prof 8aitoti said Dr Ouko. and trusted worker ... Repu~lic of Kenya'~ TELEPHONE 542043 .,
and social conditions for all. titude toward the dynamic and share WIth us a journey through the history of a people's
Blsley Adver1ISUlQ Ltd ) ."Today's announcements go evolution which is taking place in determination to fight for dignity, equality, freedom and
to the heart of what black leaders .South Africa." (AP) juiltice'-'tomorrow '
History of the ANC Pages 13 and 14
July 9th Daily

A publication of
Nation Media Group October 2nd 2002
2002
No.13079
NMG sets up ‘Nation

Nairobi, Wednesday, July 10,2002 KSh35/00 (TSh600/00 : USh800/00:
*
~~;::ce 32 Kann MPs reject

~h:T~::':::i,"" rampal
strategy '~
0r nrn
2000 – 2010
poll
Formation Aberdare Forest

M'mbernB:r fu,
Change will contest the elections under
.an established party rather than set up a
new one, it was announced yesterday.
The final decision on the group's elec-
tion strategy emerged at the end of a
Delegates must
three-day meeting in Nyeri attended by,
~ among others, Democratic Party chair- pick candidate,
say protesters
, man Mwai Kibaki and Ford-Kenya's
~ Michael Wamalwa.
J A proposal to set up a new party
named the National Alliance Party of
Kenya appears to have been cast aside
of African Fund’, donates Ksh.

By DAVID MUGONYI
in favour of using one of its member
parties. Kanu appeared split yesterday over an
The meeting, which drew up a new
announcement that Local Government
Constitution for the umbrella party, was
Minister Uhuru Kenyatta should be
attended by 38 Alliance members. It
their fIagbearer at the next General
was held at the Aberdare Country Club.
Election.
The Alliance groups the Democratic
Thirty-two MPs rejected the campaign
Party, Ford-K, Ford Asili, Asili Saba
by some of their colleagues to name him
Saba and SPARK.
as President Moi's planned successor.
Kwanza MP Noah Wekesa, who is
They argued the Kanu candidate can
chairman of the NAC co-ordination
be chosen only by the party's presiden-
committee, refused to name the chosen
tial nomination council - and described
umbrella party but sources said it was
recent public pronouncements as "per-
likely to be DP.
sonal views".
"The party will be named in two One of the MPs who issued a protest
weeks when we launch a countrywide
statement, Mr Odeny Ngure, explained:
Union 4.2 million to aid

campaign," he said. "We can't tell you
"All we are saying is bring Uhuru Keny-
which party it is because legal issues are
atta or Jesus Christ on the floor of the
being finalised." national delegates' conference; propose
The meeting ratified a new constitu-
him, let him be seconded, and let's go to
tion for the party. Mrs Charity Ngilu, a
the vote."
key NAC member, did not attend the
The MPs' comments came after a
talks as she is out of the country. She
group of MPs from the Rift Valley, led
was represented by former Minister .
Titus Mbathi were present. Photo/Peter Karun by Cabinet Minister Julius ole Sunkuli,
Officials said the new constitution Mwingi South MP David Musila (right> reads a press statement by 32 Kanu MPs who are opposed to a announced their support for Mr Uhuru
Kenyatta, one of Kanu's four vice
would be a "hybrid" and might include campaign to promote Uhuru Kenyatta as President Moi's successor. The press conference was held at
Parliament Buildings, Nairobi, yesterday. With him is Rarieda MP Odeny Ngure. CONTINUED ON PAGE 2
CONTINUED ON PAGE 3 .-, _
DURBAN SUMMIT
Curtain rises on
INSIDE
conservation efforts
.~,,_ .....
new Africa union
"
•.•.
""
rr-1'2W._~;m
DURBAN, South Africa OAU had declined from its anti-colonial origins
in 1963 and failed to resolve African conflicts or
improve governance.
Africa's new political union was launched
Mr Mbeki, closely backed by oil producer
yesterday with South Africa firmly in the
Nigeria, intends to change all that. He has the
driving seat.
means to do it. South Africa's self-sufficient
At least 40 of the continent's 53 presidents -
economy is bigger than the rest of sub-Saharan
including President Moi - and monarchs were
Africa's combined.
at the port resort of Durban to see the launch
at Aberdare Forest
"There can be no sustainable development
of the African Union (AU) with President
without peace. We must end the senseless wars
Thabo Mbeki as chairman for its first year.
on our continent which have caused so much
"Through our actions let us proclaim to the
suffering to our people and turned many of
world that this is a continent on the rise," Mr
them into refugees," Mr Mbeki told the rally,
Mbeki told some 20,000 people in a sports
where tight security may have limited
stadium before a helicopter fly-past and a
attendance by ordinary Durbanites.
concert by South African musicians.
General News 2-7, Back President Moi, speaking for East Africa,
The AU's first session approved the creation of
a Peace and Security Council that will have
Opinion 8-9 stepped in to remind the world that radical
greater powers to tackle conflicts than its
progress in Africa would require more than a
Letters' 10 predecessor in the OAU.
name change.
A good start would be made at Durban if the
"All too often, some leaders go through the
World 12-15.22,25-26 motions of attending peace conferences while
two key presidents involved in a multi-sided
conflict in Democratic Republic of Congo
Business 16-18 actively fuelling conflicts," he said.
(DRe) accept face-to-face talks.
The AU's 39-year-old parent, the
Parliament 19 Organisation ~f African Unity, had been
Rwandan President Paul Kagame, whose army
supports the biggest rebel group in the DRC,
TV & Radio in Wednesday given a state funeral the previous day, with
full honours but few real tears.
Sport 40-43 Saddled with debts and bureaucracy, the CONTINUED ON PAGE 15
August
President Kibaki displays the Constitution yesterday at Uhuru Park in
Nairobi. At his left is Chief of General Staff Jeremiah Kianga.
Looking on are Betty Murungi, former vice-chairman of the Truth, Justice
July/June December
27th 2010 2010 5th 2013
and Reconciliation Commission (foreground); Betty Mugo, Minister for
Public Health (behind Murungi); and Ida Odinga, wife of Prime Minister
Raila Odinga. ∆∆ Nairobi | December 7, 2013 Ksh60/00 (Tsh1,700/00; Ush 2,700/00 : RFr900/00) www.nation.com.ke No. 17783
Nairobi | August 28, 2010 ∫∫∫∫ Ksh40/00 (Tsh800/00; Ush 1,500/00) No. 16591 www.nation.co.ke
Nairobi | December 7, 2013 KSh60/00 (TSh1,700/00 : USh2,700/00 : RFr900/00) www.nation.co.ke
No. <serialnumber>
JOAN PERERUAN | NATION
Kenya World Cup Death of

2010 – 2019
gets new in South Mandela

constitution Africa
Kenya
reborn
At exactly 10.27 am yesterday President
Nelson Mandela, 1918-2013
Kibaki ushered in the Second Republic
with the stroke of a pen

April • FREEBaal(
write, dill
or telephone'
BRITISH
TUTORIAL
October October . THE NEW :TOPAZ, BAND
They'll make you dance!
They'll let yo'u talk during
your dinner! and there's
no more cover cl:1arge!
16th 1966 13th 1968 16th 1969

COLLE'OE
<lt the
fc::l~p~one 22841
Private Bag Nairobi'
.No. 1723 Saturday April 16, 1966 30 Cents II ABC II ~~;:':.;:": No. 2806 Thursday, October 16, ·1969 40 Cent~ •.
Uganda 50 Cents
Opposition MPs walk out during vote on new Constitution
Dr. Sherma'rke _shot dead while on upcountry tour: Man held
Uganda Kenya Somalia

New President of Federal system in 'Odings's
Not yet
Uganda scrapped policies
EA Appeol Court unwanted' the
,
From NATION Reporter: KAMPALA, Friday
RepOTter
U
By NATION
T
By NATION Reporter
HE EACSO Authority has appointed 8fr
Clement de Le~tang as President of the
GANDA got a new Constitution today when the National
Assembly voted 55 to 4, with the Opposition ·walki~F~ut A SPECIALL Y
Member in the
ELECTED
Lower rains!
House, Mr. Mohamed. Jah~i,
Court of Aooeal for Eastern Africa in succes- and not taking part in the vote, to adopt a new Constitution commenting orl the resignation DR. ABDVLRASHID All SHERMARKE, the 50- Bu NATION Reporter
DESPITE Tuesday night's down·
sion to Mr~'Justice C. D. Newbold who was
appointed President of the Court last Feb- put forward by the Prime Minister, Dr. Milton Obote, after.a of the Vice-President,
Qjp,nga Odinga, said:
Mr.
"Any year-old President of the Somali Republic, was pour in Nairobi. conditions are
not yet sufllclently deveklped"
ruary. three-hour speech. shot dead while visiting the drought-stricken
e
'fMnister finding his own per· to be certain the short rains
Sir Clement, 55. who has been Vice-Presi- sonal views colliding with have started, an ofllcial ot the
dent of the Court of Ap.peal, W;;lS educated
The House, which had earlier heard Dr. Government's declared· poliCY North-Eastern area of his country yesterday. Met.eorological Department said
gets a new
Obote say that the new Constitution
wins first President Dr.

of African Socialism should yesterday. He added: "We
at St. Louis College, Seychelles, and King's J Radio Mogadishu interrupted its pro~ramme at cannot torecast any weather
College London He joined the Middle would do away with the Federal system resign forthwith." ! 5.40 p.m. (Nairobi time) to issue the following announce- development for more than 48
Temple' and was called to the Bar in 1931. in Uganda ("No Federation in Uganda. It He added: "We should not hours,"
like to have Ministers who do ment: .
He was in private practice in the Seychel-
les from 1932 to 1935, before being
will be one people"), later swore Dr.
Obote in as Executive President.
not believe in the poliCY they
are expected to convey to the
. "H~re is a tragic and I
Bv PETER HINCHLIFFE J
Although farmers in some
parts of the country who have
been fortunate in getting rain
appointed Legal Adviser and Crown prose- masses. shockmg announcement. Hi ... will be a lot happier, the pre-
cutor to the Seychelle~ Government in 1936. The new Constitution repl~es the 1962 one, It concerns the President . sentry mto politIcs began sent drought situation continues
which Dr. Obote suspended on February 24 last. "It is therefore good that . '. durmg the World War II years to be of great concern to dairy
In 1939 he was Today's developments climaxed ten weeks of when Mr. Odinga found his of the SomaIl RepubIlc, when he joined the Somali farmers as they watch their
,appointed . Act i n g Constitutional crisis during which the former policies were not wanted by livestock teeds dwindle to
Chief Justice of Sey- his colleagues in the Govern· Dr. Abdulrashid Ali Sher- Youth League. threatenhl& levels.
Pre~ident. Sir Edward Mutesa, was deposed and marke .. As a political leader he was Nairobi had a good shower on
chelles and continued five Uganda Cabinet Ministers were arrested ment he realised he had no ~
in that nost until 1944 alternative but to resign. I "He was shot dead today at wIdely rega~ded for his ability Tuesday night, with Wilson
and charged with intriguing against the Gov- Airport recording 16.5 mm.
when he was appoint- ernment. 'welcome his resignation." , 1 p.m. in Las Anod by a man at compromIse .. Other areu were Nandi 14.'
ed a resident magis - :< The Member for Mombasa wearing a police uhiform. The .I?r. Shermarke. paId a State mm., Kakamega 9.8 mm" and
trate in Kenya. He '1 f>fsland South, Mr. Sammie T. man is now under police cus- VISIt ~o Kenya m July .. 1968. Nakuru 5.6 mm.
became a Puisne SUPREME POWER Omar, said that: he was not sur- tody." SpeakI?g l!t a State luncheon
Judge in 1947. prised to learn of Mr. Odinga'S. Later news broadcasts on gIVen m his honour by Presi:
Dr, Obote said in his speech that, under the resignation.
Bomb scare
He became Federal Radio Mogadishu confirmed dent K~y~tt~, the. SomalI
.Justice of the Sup- new Constitution, Parliament would hold sup- He said: "Since indepen· that the assassin was a DOlice- leade~ saId. 'l}1e ~Isunder-
reme Court of Nigeria reme power. The regions of Ankole. 1'01'0. dence, Mr.' Odinga's views on man named Abdulicadi - Abdi standmgs and dlsappomtments
constitution. Olympic Abdulrashid

in 1956 and served as Buganda ,and Busoga would now be answerable from Kandala. r of t~~ past now belong to his- LONDON, Wednesday - Re-
Chief Justice of the to Parliament on all matters of finance and law. DR. OBOTE TURN TO BACK PAGE
The judiciary would be revised. The final Security forces were patrol- tory .. ports of a bomb threat to an
High Court of Lag03 ling the streets of Mogadishu Sh~rtly after hIS election as Israeli EI AI airliner brought
HURRYr~RUR"YI HUBRYI
.from 1958 until 1964 arbiter on all Constitutional issues would in
future be the Uganda High Court. No alJp~al and a dusk-to-dawn curfe~ PremIer. SherIJ?-arke went on redoubled security precautions
when he was appoint- was imposed. record as saymg: "We are
Seals still OYliloble!

can, therefore, be taken to Britain's Privy when the plane touched down
ed a Justice of the Court of Appeal f~r satisfied subversives will get at London's Heathrow Airport
Eastern Africa. Council. Criminal appeals would be taken to
Sir Clement is married and has a son and
three daughters.
the East African Court of Appeal, thus nullify-
inEIPrivy Council powers in this field also. AT THE 20th CENTURY CINEiMA Six years nowhere in Somalia.
"We are proud of ou~ de-
mocracy and we intend to
today. West German police re-
ported an El AI Boeing was
All financial affairs of the kingdom and di"l- ._ Dr. Shermarke's body was to be attacked while flying
He was recently a member of the JUl1ic:al
Commission which enquired into the allega-
rict administrations would be subject to the
"vi!l;orouscontrol" of Parliament. Definitely 1 Performance only! . being flown back to Mogadi-
shu.
TURN TO BACK PAGE !PRESIDENTSHERMAR'KE
over Britain .
- Reuter
tions made against Uganda's Prime Minister. All international treaties and obligation.;
Priest murdered
GRAND ·CHARITY PREMIERE
M0 RE
would be preserved, Dr. Obote said. Dr. Shermarke became Prime
Dr: Milton Obote, two of his Ministers, Mr. Minister of his country when it
Onama and Mr. Nekyon, and the Deputy A tighter control on citizenship requirements
Army Commander, Col. Idi Amin, by an would also come into effect. Dr. Obote said the UNDER THE PATRONAGE OF
came into being On July 1,
1.960, and served in that office
BUY TICKETS
Government would not in future grant citizel:-
Opposition Member of the Uganda National until June, 1964. WIN PRIZES
Assembly. ~hip to anyone who applied. There would be a
His Excellenc~' The President, •
near lisumu
•
During that time he visited
TURN TO BACK PAGE several Of the wo,rld's capitals.
Mzee Jomo Kenyatta He became President in 1967
DDINSA ·IS SLAMMED OM

for a six-year term.
Gold Medal. Ali Sharmarke

in aid of Kenya. St. John. Ambulance Born on OctOber 16, 1919. of
A ROMAN CATHOLIC priest According to reports in Kisu-
wealtlb,y parents, Shermarke
Wednesday, April ?O at 8.45 p.m. attended private' schOOls. He
worked for the BritiSh from
was murdered in cold blood
and his household robbed at
mu, the priest had arrived in
tKisurou a few weeksa~o on
FEAR CAMPA/SM
By NATION Reporter Mbaga Mission, near Kisumu.
_OUT'
1944 until 1950. At that time relief duty to allow another
on Monday 'ni~ht. His body
K ANU yesterday exposed a the country was' composed of priest to go on leave.
British Somaliland and Italian JoVas discovered on Tuesday The Catholic Secretariat in
"deliberate. programme" by morning by members of the
supporters of Mr. Oginga Odi- SomaHa. Nairobi and the German
After the war he received mission staff.
nga, the former Vice-President, yatta, the party, and Kenya it- "Embassy were both unable to
to plan a .series of resignations left his residence in Nairobi a diploma from the Mogadishu The priest, wtbo died from give any information about the
self. This incident will soon to travel to his home at Kisu-
"so as to create fear and un- pass and life will go on as Institute of Law and Econo- two stab wounds delivered to deceased as he was not known
certainty in the country." mu. Members of his staff said mics and a de~ree with hon- to them. 11h.e Embassy was.
usuaL" he was expected to return to the stomach, was a German
An official spokesman of the ours from Rome University. named as Noribert HOppe. however, making inquiries last
It commented: "It is obvious Nairobi early next week. night.
FOUR FEARED DEAD

ruling political party declared that some of Mr. Odinga's sup-
in a statement: "These tricks porters will try to create ten- The statement continued: Police in Kisumu believe the
should be exposed now So that sion and panic among the "Wananchi must beware of motive to be robbery as a
they know that we know what people "following his resigna- false prophets whose purpose number. Of items from the mis-
they are up to. tion." is to generate emotional fear sion house are believed to be
"Let the public remain firm, and use the wananchi to gain ,4y CYPRIAN FERNANDES passenger were returning with missing. Police are hoping that
The statement was issued personal power.
assassinated.
loyal and faithful to Mzee Ken- shortly before Mr. Odinga A NANYUKI pilot and his him. a housemaid will be able to
"The Luo people must be-
ware lest they are made the HERE COMES E BIGG~~T BOND OF ALL! three passengers were feared
According to the scan'ty in-
throw some light on the matter.
~THUNDBIIBALL"
dead yesterday. The twisted Pol~ce chiefs from Nyanza
Object of hate by other tribes wreckage of their Piper Aztec formation received in Nairobi,
MURUMBI FOR MOMBASA and isolated for the sins of one
person who did not consult
was spotted on .the ground, in
bits and pieces, more than 24
Mr. Swindlehurst took off from
Mandera at about 10.30 on
Province led the massive man-
hunt which went on round the
clock yesterday. Investigations
··e
THE Minist!lr for Foreign ing of the Cheshire Home at every Luo when he committed hours after the aircraft went 'ruestiay mor,ning. It is be-
them. PANAVISION' T f ! HNIC 01 (Hj, Released lhru UNITElil ARTISTS were proceeding but police
Affairs, Mr. Joseph MUfUo Likoni and '10 attend the miSSing on Tuesday afternoon. lieved he crashed at about L30
were unable to comment any
mbi, is expected in Mom~ marriage of the son of Mr. "Nor did every Luo share in Royall Circle: 30/-. Circle: i5j-~&.-20/i- The pilot, Mr. Geoff Swindle-
p.m.
further
aind Mrs. T. d. Inamdar to the benefits and fruits which
basa by train this morni'",g the daughter of Mr. and Mrs. Mr· Odinga has enjoyed. After 'Stalls: 20/-, :l5/~,10/-.• hurst, 43, who runs an air The wreckage was spotted The .body was removed to
BOOK· HOW t
to perfo·rm the official ope'n. charter business from Nanyuki. by a Kenya Police aircraft and
BOOK NOW !
D. Shankardass. the Kisumu New Hospital for
TURN TO PAGE 5 was hired by Barclays Bank confirmed by a Kenya Ajr a post-mortem.
to fly to Mandera - on the Force Caribou. From the air The attack is believed to
Kenya-Ethiopia border - and the position of the wreckage have occurred when Fr. Hoppe
it is understood that a two- was said to be near Nyambeni. went outside the house to
man staff of the bank's Man-
dera hranch and one other TURN TO BACK PAGE TURN TO 'BACK PAGE
March Augus 22 1978 September

27th 1972 Body o Jomo 1978
Queen m
Kenya a s Pope John
m
Elizabeth M whee ed hrough Paul I dies
visits Africa he s ree s o
Na rob on a horse-
drawn carr age
August Dail}' .....--CASID~

• pocket
calculators
Each sold
October January Kn d hun
January
1st 1982
with Guarantee
1985 1986 5th 1986

• desk card
• readerprinter
•r&--r
• cash register
GADD und
• scientific
Vanguard K'M~l~~;:rEET
A B_~ No. 6757,Fri~ay, August 27,1982
"
MIM.I. OF THI
AUDIT BUREAU
OF CIRCULATIONS Price 2/-
REBELS ASK FOR ASYLUM Orengo, Obok

passports
seized
Attempted Kenya Formation EA leaders

By PHILIP WANGAL WA
THE Government has seized
the passport of Ugenya MP
James Orengo and former
Alego MP Luke Obok.
Immigra tion officials
·e
were also said to be *,
searching for the passport of
er IS
Bungoma South MP
Lawrence Sifuna with
instructions to impound it.
And aide to Mr. Orengo
told the Nation over the
telephone that an Immigra-
tion Officer, Mr. Tom
Nyamongo, seized the
passport from the MP at the
law courts yesterday after-
coup in introduces of IGAD meet to

noon.
Mr. Owino Oyiera said
the MP had authorised him
to speak to the Press about
the incident. Asked if Mr.
Orengo had any comment to
make, Mr. Oyiera said:
"None at the moment."
He said Mr. Nyamongo
had given no reason for
taking away the passport.
Mr. Obok told the Nation
his passport was impounded OBOK: ... No explanation.
last Friday. He said he was
d
From OMAR AL-AMOODY in Kenya on ~harges of kidnap- the Tanzanian Parliament. Other prominent persons
in Oar esSalaam ping two senior KAF pilots to Tan· Defence lawyer Francis'Uzanda in the Parliament library at who have so far had their
Thursday zania. They asked for "political argued that under the Tan~anian about 4 p.m. when two passports impounded
immigration officials,
A KENYA Air Force asylum," saying Tanzania was a Extradition Act of 1969, It was
"acting on instructions_from
include the former editor-in-
chief of the Standard, Mr.
"politically stable country". required that such an order be
(KAF) private was to Sur. Sgt. Okumu was testifying tabled in Parliament to give such above," approached him· George Githii, a former
and demanded his passport.
have headed a
Kenya 8-4-4 discuss

in the hearing of an extradition a warrant a legal backing and Vice-President ·of Kenya,
He said no explanation was
Kibisu
case against him and Sur. Pvt. that if it had not been so tabled, Mr. Oginga Odinga, a
people's redemption Ochuka. The two are accused by' the proceedings of the case would
given for the action. former Kenya Film Corpora-
According to other
council if the August the Kenya Government of kid- be invalidated. sources, immigration om-
tion chairman, Mr. Achieng'
Oneko, the MP for Wun-
nappin!( KAF majors Nick ole The magistrate said it was not
1 coup a tt~mpt Leshani and William Jack necessary for such an order to be
lcial were also looking for danyi, Mr. Mwashengu
- goes
the passport of Mr. Sifuna
against the Kenya Marende
August 1.
to Tanzania on tabled if the Justice Minister has and that they might have
Mwachofi, the MP for
published it in the official Kitutu East, Mr. Abuya
Government had The extradition warrant has Gazette.
left Nairobi for Bungoma to Abuya, and the MP for Kilifi
get the passport from the
I . succeeded, a court already been submitted to Tan- Okumu -(30) said he had MP's rural home.
South,
Tsuma.
Dr. Chibule wa
zania and the case is being heard 'worked for the KAF for the last 9~
was told here today. to determine whether there is years and that he fled to Tan-
I A KAF senior sergeant, sufficient evidence to warrant zania after the failure of the coup
Pancras Oteyo Okumu, their repatriation. If the court bid. He said in his 3-hour
MENENGAI
8~E~o~/Yo said he and other KAF
finds the case is of a political testimony that the '.'redemption
in KISUMU character, it may decide against council" had established its
A FORMER Vihiga MP men staged a' coup in extradition. headquarters at the KAF
Kenya and that, if the Okumu denied today on oath Eastleigh base, -Nairobi, by 2
DRAPERS
Peter Kibisu and two
businessmen who had been attempt had succeeded, a that he and Ochuka had kidnap- a.m. on August 1. By 5.30 a.m., he
charged with threateni~g. ped the majors. said, all KAF bases - Embakasi,
senior private, Hezekia Eastleigh and Nanyuki - were
system drought
the peace have been acquit- Okumu was put on the stand
Ochuka, would have
(NRB) LTD.
ted by a Kakamega court. today after chief resident taken over by KAF servicemen.
Kibisu Ibrahim Ambwere chaired a People's magistrate Goodwill Korosso "Nairobi city centre was already
and Law~ence Isigi had been Redemption Council after overruled yesterday's contention full of KAF soldiers armed with
charged that on August 1, at by the defence that the accused !(tins, shooting in the air, at the
taking over the Govern- could not lawfully be extradited time, he said.
Vihiga in Kakamega Dis-
trict they created a distur- ment of President MoL to Kenya as the order of Okumu, who said he worked as
bance in a manner likely to Sm. Sgt. Okumu is one of the reciprocal exchange of accused
cause a breach of the peace two KAF fugitives wanted back persons had not been tabled in I;IACK PAGE - Col. 1 Kimani Court Hotel,
Council to pay tenants

by rejoicing over the abor- P.O. Box 48002, Nairobi
tive coup. Tel. 33126.1.
When the case came for
hearing yesterday the State
Counsel for Nyanza and HOUSE OF FURNISHINGS
Western provinces, Mr. J.
Ndegwa, told a Ka~amega By EDWARD RfHNAA
Senior Resident Magistrate, THE High Court yesterday ordered the Nairobi requiring the council to give vacant possession of LEADING STOCKISTS IN:
Mr. Cyrus Githinji, that he City Council to pay general damages to eight flats to the 10 plaintiffs.
wished to enter nole proseque tenants for breach of a tenancy contract. They also asked for special and general damages Furniture. Wall-to-Wall Carpeting,
Mr. Justice Z. R. Chesoni also ordered judgment for inconvenience to each of them for breach of Rugs, Sunfilter, Fabrics, Dra/o.n
for the State in the case. contract and an order requiring the council to
A teacher at Karoti Girls in favour of Florence Awinja and Rose Musyoka, and other upholstery materials
for"specific performance requiring the council to provide alternativeacco~modation to.tpem;
Secondary School has been . Mr. Justice Chesoni saId the councll s fmlure of
remanded until September enter into tenancv a~reements with them for flats
ica
BBF/213/3 and BBF/212/7, respectively, provided performance was total. SPECIAL OFFER, WALL TO WALL CARPET
, when judgment will be
ven in a case in which he is the two pay the increased tenancy deposit of He said the special damages sought were: Rose
alleged to have behaved in a 1,100/- and rent in arrears from the date·of occupa- Onyango Ongecha 4,600/- for a damaged sofa set; Foam Back Carpet for the office
manner likely to cause a ti= .. Selina Musisi 1,000/- for two. lost watches; and at 250/- a m2
breach of the peace on Consolata Kyalo was awarded 120/- in specIal Consolata Kyalo 120/-for a radIO.
damages for a lost radio. He said that Rose said in her evidence the Luxurious Carpet for home
August I. at 475/- a m2
Bernard Mwangi Kuria Mr. Justice Cheson ordered that the damages be council askaris broke her chairs, wardrobes, a
had appeared before assessed after eight of the 10 plaintiffs accepted or refrigerator and a cooker. ~he judge. said ~he Also branch at Nakuni
Kirinyaga District rejected the alternative smaller accommodation in valuation was done by Mr. Galta, who dId not !(Iye
magistrate Michael the same area. He also ordered that the cost ofthe evidence. He said Rose had not proved her speCial THE MENENGAI CONCERN
Muthuka charged that on suit be paid by the counciL damages ... ,
August I, he was heard Rose Onyango Ongesha, Florence Awinja, Con- He said Florence AwmJa s assessment of dama!(e TRA VEL IN SAFETY AND COMFORT BY R. V.P.
sh solata Kyalo, Selina Musisi, Lorindah. Kakai, was also done by Mr. Gaita and that she also had
not proved her claim. IN THE NEW L~X' iR/OUS BUSES THROUGHOUT KENYA
David Laweck Ssempala, M. Mwangl, 'Rose
Musyoka, Roselina M:angusa and Bernard Chiira For Selina, he said the two watches did not
had filed a SUIt c1almmg speCial performance belong to her.
fr
A
NMG’s Impact in Africa
Africa for
25
f
ao
di
Me
1992 April April 27th ..-
MUTIRITHIA WA .ANDU CO LTD.
~VI'll;) III U IIUNJ\L KI=tUKM . .'. , FOOTBALL RESULr:ES,
The rocky path to a· :·

, 9
P.O.Box 75528, Tel: 212419,
N:AIROBI. SUNDAY CHECKER
WORLD NEWS BACKGROUND
multI-party structure SA awaits de· Klerk's

..•........... CHI=:QUE EMBOSS
WRITERS
Bush troop cut ,

I . PLOTS FOR SALE
i ~!0
Multiparty 10th 1994 1994

Cheap residential plots for sale at The newspaper that serves the nation CALL N':lW ~-
>
T
Githurai Kimbo area. For more details
-.----------------------------
Nairobi: 226844
• ' _ '. proposals, seen as

. Mombasa: 316835 ~
call 212419 or enquire at the he COnfltitutional Kisumu: 4 i 883 ~
*
" amendments made be- tenure is l!lotsYlloJ)ymous with Price KSh20/00
company's office, Kimathi House, 2nd " tween 1964 and 1988 inliependence unless those pro- No. 2073, Nairobi, Sunday, April 10, 1994 COURTESY ~
sIgnal to end apartheId

Floor. . , . produced a repressive 10 our continuing series on constitutipnal reform, KANYI tected by it are independent
and autocratic system KIMONDO analyses the amendments "Which.wintroduced minded.
of government firmly anchored multi-plll"o/ism in the' country.·On Sunday,' he looks at the _ In short, these are the aniend-
Botched
PHASE 3 TITLES in a rigid one-party structure co~it1lti~~na1 franJ.ewQrk of the Kenya Government. ments that re-introduced multi-
bid to keep peace

~:
-'--...•..-----....•-....•--------------
with minute vents for dissent. partyism in Kenya. They are
, The titles for Plot Nos. 50, 51, 66, 102, . The period between 1975 and certainly inadequate. Although PLUS
uniforms
~'
1'15, 123, 172, 177, 187, 188 and 191 1988 was also charaderised· by a
tough cra!:k!iown on dissent for change. ,
there now exists opposition par-
ties in the coulitry, monolithic j~
Kanu to avoid the harsh results :~
are ready. Owners shquldcall at through the use of c:riminallaw,
eSPecially sedition and detention
. Decisive pressure to a rellis~ing of the section. This section
governDlent came eventually
one-party 'systems persist.
There can be no genuine
j~
deal cost
company's'office for collettioo.Please· without trial. from the. elite group .of major
back-p,~ddled multi-partyism be-
cause most of the politicians had multi-party culture 'in this coun- 11
bring your tdentity· Card. The security of tenure for

Judges, the Attorney General,
Western doOnorsstyled the "Paris
Club". Future economic aid was
for long been in Kanu .. try unless ·the ElectOral Commis- &
politics in Genocide End of

Act No.6 of 1992 on the other sion is fully independent and
Shl15m
Auditor and Controller-General pegged 00 the Government's com- severed froOmthe g9vernment of
and officers of the Public Ser-
hlmd, purported, to make the
mitment to plJl,ralist democracy 'presidency widely accepted by the day and operates above Julius SunkuIi By BARRY RENFREW mandate is to protect the whites' By STEVE HOLLAND
vice Commission h/!.d been re- and obserYance of human rights.
requiring that a successful can- bo~d. There i~ '¥'gent need. to
CAPE TOWN (South Africa), interests above all other removal of all 75,000- Soviet
The Constitution Debate
moved leaving no credible Development Bid was suspended reVIew the SOCIetieS Act which
didate gamer at least 25 per cent
checks on the"Exe<:utive. altogether and Kenya was put on
The enactment of section 2A a probation period to accede to
of the votes cast in at least five still inhibits association by vest-
ing arbitrary pow~rs" of discre-
It; GICHURU NJIHIA
Thursday considerations. WASHINGTON, Thursday troops by the end of the year,
of the constitution
Kenya a one-party state was
making the demarids. This, coupled with
the pains of structural adjust-
of the eight provinces. While the
idea of a wide popular baBe is tion on the Registr~ to refuse to
register an associa~ion or politi-
More th an Sh115 million may
have bee n wasted in a botched
President F. W. de Klerk is ex- "He would not interpret his President George Bush's call for Hungary has requested a com-
attempt 10 establish a factory for
acceptable, it does not make a
big cuts in US and Soviet troop plete Soviet pullout of more than
re S ea
firmly in place limiting political ment programmes ofthe Interna-
participation and leaving little tional Monetary Fund and the lot of sense to equaliseall the cal 'party. The Preservation of
Public Security Act and its
making Government staff uni-
pected to outline his plans for re- mandate for reform as a mandate
room for dissent within Kanu. World Bank plus increasing in- provinceS. It has been argued
brother tbe Public Order Act in-
forms.
Machillery was imported even
form on Friday in a speech that to jeopardise the political posi- levels in Europe appeared to be 50,000 troops by this year or
next. m Poland, Solidarity leader
ternal dissent forced the Govern- that Kiambu District in the
The unpopular Queue~voting hibit freedom of exPresSion, con- before tb3 site for the factory had
method in the widely rigged 1988 ment to l'econsider its position.
General Elections' dashed . 'the
"Central Province 'has a bigger
Act No.12 of December 1991 population than whole provinces
science 8l1d as~ciJltion.,· been ide:ltified and then aban-
~any South Africans hope will tion of the white minority or to an attempt to match the dramat-
hopes for gr~rootl> representa- reinstated a multi-party structure in Northern and North Eastern doned 011 an open yard at the
National Youth Service (NYS)
sIgnal the end of apartheid and ,threaten its survival," she said in ic changes that are reshaping Mr Lech Walesa has called for
tion in politics; ... by repealing section 2A or the
constitution that had hitherto
Kenya making the percentage
requirement' mischievous. Freedoms· headquar tars for six years. To
Eastern Europe. early withdrawal of 40,000 Soviet
. Opposition to this state of af-
given Kanu a monopoly on ProviSions for a ron-off elec- date the machines, imported in
set the country on the road to a recent lecture,
fairs started in earnest in 1989 power.
with demands for observance of tion in case of no decisive win- As wiD: be seerl later, these
1988, are not in use.
Accordlngto the Public Ac- peace. But Mrs Suzman said she be- In his state of the Union ad- soldiers.
Kenya in Rwanda apartheid

ners were made by the amend- freedoms are. corner.>t<ln~s ~ the
human rights and limited gov- counts C )mmittee report, tabled
dress, on Wednesday night Presi- "My speculation is the admin-
as
ernment. It could not have hap-
Section
ment. The rIm-off would' be
between the two t9P ~arididates
growth of a true plutlllistlc de-
mocracy in the country. There is
in Parliwoent by the PAC chair-
Expectations are high that 'lieves President de Klerk will end
pened at a better time.
. The collapse of the Berlin
ill the .General Election. The
rules for the runoff were howev-
also need to revi-ew the standing
orders of Parliam~nt which still
man, Mr Kijana Wamalwa, the
Office 01 the President, under
esident de Klerk will at least the worst aspects of the apart- dent Bush proposed each side re- istration is reading events that
Wall and fragmentation of the It also 'amended those sections
iron. curtain bringing political "of the constitution that gave .ef-
er not as clear ..
The amendment also limited
reflect a one-paJjty structure.
Mine u,t'jg-ently pllrhaps is the
which th.l NYS falls, accepted a
firm's prcposal in December 1988
nounce the release of Mr Nel- heid laws that deprive blacks of duce troop levels in Central the Russians are really getting
revolution~ against pommunism
in the former Eastern Europe
.feet t!> silCl:ion 2A such as those
requiring noJDination of parlia-
the, Pre$idel1t's. tepure to. two need, to al:>olis'h tne '.provincial
to start a garment manufacturing
project hr. uniformed Govern-
son Mandela, South Africa's rights and "excise much of the Europe to 195,000, a cut of about ready to pull out and they don't
and the former ·USSR· had a mental"f candidates by Kanu.
domino-like effect 'On theAfri- The amendments also brought
five-year terma. The High Court
has ruled that this rule does not
adminilltrationand ' espeCially
the Chiefs Authority Act which
ment starf without preliminary
studies. best-known black leader, clearing overt brutality inherent in the 65,000 in the American presence want it to happen too terribly
can continell~ .....•.
One-party. structures
: '.' into operation a new section 40
which l:ha~.reqUired"il. Meinberof Pat~
operate retrospeCtively
could thus ,not have affectedan~
and have acted during colonialism
lrl'te1 ~app~ndieel!:to,;~he
The re:>ort says the company
was aW8l'led the contract on sin-
the way for negotiations on re- apartheid system." . in that area and about 370,000 fast because it will disrupt the
had dominated c.entralist gov- lie 0: f.nt to vacate his seat if he
ernments in the communist resi15_1.edfrom the party with
President Moi's candidature
though he had already served
ruling palitY.'·, -, ",
The anchoring of genuine plu- MULINDI (Rwanda),
gle-sourcing basis to. supply gar-
ment m8 nufacturing machinery solving the nation's racial , President de Klerk, who took for the Soviet Union. unity of Nato and the stability of
world were now under siege in whose support he was elected.
three terms by the time of the
1992 General Elections.
ralistic democracy calls for cout-
age of all parli~entary mem- Saturday
at $1,77,),000 without having
identified the site for the build- conflict. office last September, alreadv has The United States would main- the balance of power in Central
West, East and Central Africa. This.new Section 40 ,brought As latter observed, provisions bers~ irr~§IpeC~'ve of party Rebels today launched • New govt selected ings to house the factory.
tain 30,000 troops in Britain, Ita- Europe, Mr Blackwell said.
BUNGALOWS: 4 Bedrooms (Master ensuite), Political and human rights activ-
ists especially the dergy, lawyers
problems 'for llttting Kanu ~il; .'. li~ting thesetvice of a chief- affillEitioll: to re •~ alllegisla-
new attacks a,ainst • Ceasetire rejected
Howevllr, in April 1990 and President de Klerk, who al- removed apartheid legislation
Jounge-cum-dint9B, Garde,",Qr",~wa)', complete who wanted tofol'Ql orjoin op~ ElxeCueiveare good in preventing·
. $ld civic organisations seized on position parties. Those who entrenchment
tion that clutte ..' the path to
Q{ personal rule that ideal. DeiJlo~racy ill· much Rwanda troops m the
without having examined the
first batc: 1 of the machinery de- ready has dented the edifice of President de K1erk ... Vision or Mr Mandela " , . Prisoner or such as laws banning interracial ly and Turkey for a total in A senior administration offi-
rule
kitchen, ServantS Quartel'S'iFrom KShs. 4.38m. the moment to put pressure on crossed the floor had their seats
apg.cults in the long run. a:bout gi.ving, taking, compro- third day of ethnic • Evacuation begins livered, ldditional equipment
courage? marriage and .regulations reserv- . Europe of 225,000 - about 80,000 cial, briefing reporters at the
(HFCKloan iJptOKS~hs.2.88m,,) . the Kenyan government to repeal decla~d vacanl;'by the Speaker. "n is worth noting that the se- mising lmd sacrifiding certain worth Sh:!5 million, said to be for apartheid, has pledged to create a ,facilitator? .
section 2A of the constitution. It A string of cont)ictipg
did not work. 'The government
High curity of tenure for Judges, At- positionEi for the .benefit of the bloodshed that has • Crack troops fly in a washin g plant necessary for
"new dispensation" in South ing jobs for various ethnic below current levels. White House, seemed to allude to
9ramped down on multi-party ad-
Court decisions held the Speaker
had nO such power while others
torney General, Controller and majority of Kenyans, killed more than 1,000
• Bodies pile up
producina garment for export
purposes, was bought from an- trol of the country, unrest is min- must have veto power in any fu- "It is a legitimate and very dra- that possibility, saying that
vgcates detaining Kenneth held he did. In at least one case,
Auditor General were reinstated ..
They should not have been re- - The writer is it lawyer, is as- people. other COD: pany on·the basis of an Africa. Whites and blacks must imal and the African National ture state. groups, He also has freed many
Matiba and Charles Rubia who a Kanu MP who tried to join the
~ere seen.as leading this crusade moved in the first place. Like sociated with the centre for law
Tlie new fighting came less
• UN Council meets introductory letter from the firm.
solve their differences peacefully elderly black opponenta and per- matic proposal said Mr James events in Eastern Europe "were
opposition quickly returned to argued elsewhere, security of and research international. than 24 hours after the Unit- But in February 1991, the. Of
Congress, the main black opposi- Black leaders say President de Blackwell, a military 'specialist running ahead of the negotia-
m~.mummuam~~~&utt
ed Nations announced securi- PlGE 2 - Col 1
ty forces in Rwanda had and avoid what he says could be ~ tion group, admits its military Klerk must meet a number of ba- mitted moderate anti-govern-
with the Centre for strategic and tions" in Vienna.
ex .' .' " '.' ment protests after years of
named an interim govern-
race war that would last for "80
'a ment and agreed to cease fire
years".
campaign against white rule has sic expectations to clear the way
repression, International studies in Washing- He said President Bush's pro-
a
with the rebels in a bid to
restore order to Kigali. been largely ineffective. for talks with the ANC, including ton. "It seems to me an attempt posal of 195,000 troops is a
SEMI-DETACHED' MAISiiNETTES: 4 Be4rooms" Cr'
Cr tr· •. BushB~ake~"e\)t
" ' .... Cr
But a rebel leader said they
But political observers are While President de Klerk does lifting the state of 'emergency But the government has said it
will not desegregate schools, hos-, to steady the pace of events in "number that suits the new situa-
were never consulted about the
(Master ensuite), LOUilge-cum-dining, Driveway, fronF ceasefire. "We are not aware of
warning that President de want to ease tensions, some crit- ' used to suppress dissent, releas-
a pitals and other public facilities ' Eastern Europe." tion, and we think will prevent
garden, Servants Quarters.Fr~nT KShs.3.27m. any such deal, so this is a contin-
(HFCKloan upto KShs. 2.7Sm..) Ix . uation of the war," said vice-
chairman Patrick Mazimhaka of Klerk's speech in Cape Town at ics say the President lacks a defi- ' ing Mr Mandela legalising the Mr Dan Plesch, director of the what otherwise could be kind of a
The size of the Master bedroom and tfielounge has been
revj~ed and substantially enlarged from ih~original design.
a"-~~~
UfLA4"O' -UR S' ·A·'N'D· a
the Rwandan Patriotic
(RPF) in rebel-held Mulindi.
Front
"GOLDEN COW" the start of Parliament on Friday nite plan and is feeling his way, ANC and other outlawed opposi, and there are few signs that many
British American Security Infor- free fall of nobody knowing where
g
won't signal the end of white rule. white South Africans are ready to
g
France, Belgium and the Unit-
WtY I
.•...... ed States have, in the meantime, 250a. playing for time with moderate tion groups and allowing exiled mation Council, said the proposal we are. It is an attempt to draw a
SHOPS-CUM-FLATS: Units containing shops, beKan evacuation plans. There are no signs President de reforms to blunt domestic and in- share power or amenities with
FRAGRANC~ black leaders to return. is "too little, but hopefully not line at a force that we think is the
store On ground floor and a large one-bedroomed flat. The French Foreign Ministry
on first floor. All self-contained. F.rom KShs. 4.3m.
said a military transport plane Klerk intends to surrender power ternational opposition and post- Critics say that President de non-whites.
(HFCKIOElOuptoKShs. 2.52m.)
carrying 43 French left Kigali
or accept the democracy that is Nonetheless, the government too late", and barely keeping pace force that we would like to see in
tr from South ,Afr'ca. b:
Airport on Saturday night and
other expatriates outside the cap- pone any major confrontation. Klerk as leader of South Africa's with events. the coming years.
u-
SALIENT FEATURES ital were heading for the Zairean . the goal of all groups fighting "It has not been shown that Afrikaners cannot give up white apparently hopes a moderate
tr Under a proposal put forth by A White House fact sheet said
and Burundi borders.
Convoys carrying foreigners, apartheid, the country's policies President de Klerk has either the stance would ease political ten-
Cr minority rule and accept black
- Situated on Outer Ring Road next to Kenya Pipeline Housing.
including Americans, were also
President Bush in May, Nato has that even if Soviet forces were
- Excellent access to City's motorways,
- Finished t9 a high standard _ Fully secured
Q'
FLAVOURS
For the Food and Drink Industry tr tr
heading out of the city, according
to a US military spokesman in
and customs of racial segregation. vision or the courage to make this majority rule. The Afrikaners, sion and encourage some black
groups to take a softer line that been seeking to trim US and reduced further, "as we expect,"
Washington. _White rule in South Africa is moment (on Friday) a moment 'whites of Dutch descent, have Soviet troop levels in all of the United States would not want
- Ample Parking - Community Hall - Sw[mmingPool.
atr atr
The presidents of Rwanda and
- Shopping Centre - School & Play Ground - Nursery School
, fRAGRANCES Burundi - both Hutu - were going to collapse like the. Ber- for historic importance," said been ingrained with a sense of could lead to a compromise in
Financed by HFCK For the Cosmelir, Household and Soap ImIustry
killed on Wednesday when their
Wall and the Communist ~ov- which white 'interests will be Europe to 275,000 at negotiations to go below 195,000.
plane was reportedly shot down
Rev. Allan Boesak, a top anti- racial superiority for 350 years in Vienna. The two sides hope to Mr Les Aspin, chairman of the
over the Kigali airport.
A. PACKET ernments of Eastern Europe, ob- safeguarded.
tr ., tr apartheid leader.
Pilot Houses ready for viewing (by appointment). Their deaths ignited savage
that makes it impossible for them reach agreement this year. House Senate Armed Services
tt PRADIP ENTERPRISE LTD~ a
For enquiries & details contact: STOCKIST: fighting in which the mostly
servers say. The quest for a The government also is anx-
L
Hutu presidential guard killed VERY SPECIAL IRISH BUTTER, The Government rejects any to share power with non-whites,
f
TAKEALL "u NEED. Outside of these talks, howev- Committee, said President
a a ious to end or weaken the eco-
the acting Prime Minister and
o kidnapped three Cabinet Minis- II
solution to' South Africa's prob- suggestion of black majority rule , they say.
TYSONS ~ ,... ters. Unconfirmed reports said,
lems is more likely to resemble nomic boycotts imposed by many er, have been calls from Eastern Bush's offer brings the Nato posi-
J
and says the interests of the
,;\,~\
P. o. Box 40798, NAlROrll., KENYA. the Ministers had been killed.
Mrs Helen Suzman, who op-
a- a
::; '-
BIASHARA STREET .
~
~
The ruling Hutus and the mi-
the tortured search for peace in Western nations to protest apart- European Nations for the Soviet tion more in line with the reality
MB Jayne Mugo assists her daughter, Margery Wangui, to read during the Children's Reading
Day activities at the Kenya National Library in Nairobi yesterday •
nority Tutsis have fought for de-
white minority must be ensured. posed the National Party Union to withdraw unilaterally, of change, but he said the United
Tel: 222011,330331, TEL: 338003,221926, FAX:, 211320.
the Middle East and Northern heid. The boycotts, along with
mma-mmmCrCra-amtrtrtraCr
P,O, BOX 40:128, NAIROBI
.see another picture Page s. President de Klerk has given no
Mortgage facilities available to Qualified buyers. Picture by PAUL WAWERU
throughout her 36 years in Par- and at least in some cases Mos- States should not give Soviet
Ireland, they warn. sign of what he wants for the fu- liament, said de Klerk was elect- domestic economic problems,
A PUBLICATION OF have sent the economy into a cow may oblige. Union a reason to keep more
The government is in full, con- ture beyond stressing that . whites ed by the Afrikaners and his
NATION MEDIA GROUP tailspin ..
o
' , Czechoslovakia has demanded troop!! in,Easu;rn Europe.(Reuters)
NO.13963
*
Photo/AP
Ghanaian students celebrate John
www.nationmedia.com Kufuor's victory in Accra Page 11.
Nairobi, December 11, 2004 KSh35/00 (TSh600/00 : USh800/00)
XCEL COCOA 200GB. 'ARCOROC FUMED MUG 'FA SOAP 100 GR. ROSSY TOILET ROLL
Hi names shocker
Top bank·
robbery
suspect
escapes .
in land- ab report
~
.18Iea
24/00 ,3/90
1G/GO 8/00
2004 2007/2008
By STEPHEN MUIRURI
•
A bank robbery suspect has walked KMC CORNED .BEEF MILO 400 GR. ,STA SOFT 1 LT.
ay from custody in highly suspicious
_ cumstances.
Outrage as annexes listing
HONOUR 340, GR. SIX KILLED IN SLUM VIOLENCE
LAVATORYBRUSH ~VC
KIVUITU CALLS FOR PROBE
fam~us
30,people
2004 not released
arun Mwangi Mbugua, alias Gaten-
Daily Nation / Thursday, December I NATIONAL I 7
gu, was being escorted by prison ward- Six people were hacked to death while 16 ECK boss says he was under pressure when
ers to Nairobi's Mathari Mental Hospi- others were injured when violence broke he announced election results and calls for
talon Thursday when he disappeared out in two city slums. BACK PAGE investigations into vote tallying. PAGE 3 and 7
By DAVID OKWEMBAH
Wangari
report which was released,
•••• Kenya Post-

somewhere in the Pangani suburbs
BIg
however.
welcome awaIts Wangarl

~ere the escort had taken a detour.
Three warders - armed with G3 The much-awaited Paul They include the minister for
rifles - who had been assigned to take NdUlig'u report on illegal alloca- Special Programmes Mr. Njenga
Marketing
him to the hospital; called their seniors tion of public land was released Karume.
to inform them that their prisoner had yesterday - but without many Also in the report are MPs
escaped. of the big names that featured Joseph Kamotho, Nicholas ∆ No. 15675
He had left Kamiti Prison handcuffed, during the commission's public Biwott and William Ruto while fJ1.'8t1' ' www.nationmedia.com NAIROBI, THURSDAY, JANUARY 3, 2008 KSh35/00 (TSh800/00: USh1,200)
others are former ministers, MPs
but the handcuffs were found with the hearings.
And outraged human rights and top civil servants in the
A8tI1fO .2a:IJG
~fficers when they went to report the
28/GO COM M E N T
Mathai Nobel election

~cape at Muthaiga police station. organisations immediately pro- administration of former Presi-
42/GO
the answer Save our beloved country

dent MoL
A dangerous man
tested that President Kibaki
should not betray Kenyans by. Mr. Karume is stated to have 44/GO 20/-
The warders were locked up as detec- releasing the report without the illegally acquired more than 149
two annexes which contained acres known as Avondale in the
tives and prison authorities launched
Nobel peace laureate brings home the coveted prize this morning
investigations into how the prisoner the names of all those implicated Nakuru area for Sh397,000 from
escaped. A taxi driver was also held. in land grabbing.
A number of well known peo-
πNo grievance and no cause is worth the innocent blood of Kenyan children.
-says .Kibak
A senior police officer said Mbugua
was a dangerous man "in charge of a ple are named in the main CONTINUED ON PAGE 4 The orgies of looting undermine the moral basis of the politicians’ cause∏
whole battalion of hard-core criminals".
Peace Prize violence

FULL REPORTS ON PAGES 2-10
O
"We were baffled that not a single ur beloved country, the Re-
, bullet was fired from the officers' guns. public of Kenya, is a burnt-
out, smouldering ruin. The
~ The whole saga shows that money
A
economy is at a virtual
changed hands to allow the prisoner to
By ODHIAMBO ORLALE prize. Mr Muihia, a former Gatundu South to wish you happy holidays. Since we left standstill and the armies of
destruction are on the march
on tourism
escape," Kamiti prison chief Charles in the Rift Valley and other places.
Oslo, we have visited Hamburg in Ger-

In the midst of this, leaders — who are
Muraya said yesterday.
~ "It was a well-orchestrated plot to Several traditjonal MP, is also the chairman of the Green the direct cause of this catastrophe — are
issuing half-hearted calls for peace, from
many and New York in the US. We are

the comfort of their hotels and walled
I have the prisoner escape," he added.
dance troupes, musi- Belt Movement's executive board. homes in Nairobi, whence they are con-
~ The trip to Mathari was. organised
A red-carpet reception awaits Nobel
veyed in bullet-proof limousines.
now in London. We are taking a break

It is unbelievable foolishness for Ken-
: because of a mental ailment fei!!ned to
Prof Wangari Maathai receives the Nobel Peace Prize from Norwegian Nobel cians and other enter- Prof Maathai is the founder of .the yans to destroy their economy, their
peace laureate Wangari Maathai at

homes and their entire way of life in the
name of politics and on behalf of people
CONTINUED ON PAGE 2 Committee chairman Ole Danbolt Mjoes in ()slo CitY Hall yesterday.
tainers will join the air- movement, and was honoured by the for a few days before we return to whose lives of comfort and luxury are
going on normally.
Wangari's golden day

Jomo Kenyatta International "Airport, Kenya next week.
The media in Kenya today propose to
INSIDE By NATION Correspondent port celebrations, said Nobel Peace Prize Institute in Oslo,
be forthright and united in confronting
this bloodshed and disunity in the coun-
Nairobi, when she arrives from London

try.
Mr Moses Muihia, the Norway, for her environmental manage- "We thank you for your prayers and Right to life
There is no cause and no right more valu-
Win a PICK-lJP this morning.

able than the right to life.
committee chairman. ment efforts and fight for democracy in support for everything we have been Political leaders on both sides must be
President Kibaki wants greater 1TIarket-

told in no uncertain terms that they are
Clarion call ing asand Nobel prize presented She will be received at the airport's
currently in great danger of losing their
and millions From the airport, • Kenya. doing. We hope that you will have a
credibility in the eyes of Kenyans and the
international community because of sys-
maintenance of hotels to vice-presidential lounge where she will
tematic killing of the innocent sweeping
in cash prizes Prof Maathai will be Prof Maathal She has had a crowded diary since she merry Christmas and a very happy New
Kenya, destruction of the economy and
the spread of disaﬀection throughout
~r<ease
By MUGUMO MU~ENE
tourist flow into the
other.country.
ground. A time when we have to shed our the land.
be met by local dignitaries, led by Vice-

II driven in a procession along Outer Ring, Year."
No grievance and no cause is worth
and Agencies fear and give hope to each That time is
received the award from the.chairman of the innocent blood of Kenyan children.
P
... ,_~_r'"
now. I'm humbled by the recognition and

~e said special
uplifted by theattention
honour," she said. should be
The orgies of looting, burning, rape and
rof Wangari Maathai took to the

ALL BRANCHES
President Moody Awori at 6.45am. Jogoo and Landhies Roads, Haile Selas- the Nobel committee, Mr Ole Danbolt The Nobel prize committee had
wanton, well-orchestrated blood-letting
are undermining the moral basis of the
Prof Maathai, resplendent in a brightly col-
WILL BE OPEN
politicians’ cause.
world:~ pai~moment
stage in a defining to varying
yes- products
oured African print dress to
and ainclude
matching t~e . The reception Those in authority must not have more
organising committee sie and Moi Avenues and City Hall Way Mjoes, at a colourful ceremony beamed booked her on an SN Brussels Airlines
'I
,eneral News 1-7,Bac terday and received the 2004 edition
regard for their — tenuous — grip on
head scarf, accepted the award "on behalf of
ON 12TH ~ 13TH
power than lives and property.
the gold Nobel Peace Prize,envl:onment, sports

of the world's most coveted award, of Kenya andand Africa."culture In 2000Pts
It must be a blind and deaf person
8 the people
)pinion
said to:OOAM-8:00PM
yesterday that it was all systems go to the Kenyatta International Confer- live internationally and keenly moni- flight from London to arrive at JKIA on
who does not hear the cries of the 70,000
at an elaborate Mr Raila Odinga President Kibaki
ceremony in Oslo, Norway .

tounsm.
Norwegian Nobel Committee chairman Ole
fROM CONTINUED ON PAGE 10
With the world'~l

.etters 1 Danbolt Mjoes described Prof Maathai in
as her audience, Prof Maathai
for the Environment assistant minister ence Centre grounds where she will tored by Kenyan television viewers. Tuesday night, but the Muihia team said NEWS 2 - 9, 16, BAC K OP I N I ON 10 -1 1 LE TT E R S 1 2 WO R L D 17-2 0 BU S I N E SS 2 1 SP O RTS 2 8 -3 1
H~J~D~
glowing terms: "You are an extraordinary
Vorld 11-1
"" management "With of the environ-continued
made a clarion call for humanity to turn atten- example for women aggressive
throughout Africa,market-
and
address a public rally organised in her Last week, the laureate sent a good- it would be impossible for most Kenyans
lusiness 13-1
tion to sustainable
ment for the sake of future generations.
the rest in the West. You are a true African who has done Kenya proud by being the
ingcomesand a time further
mother and diversification
a true African woman." of the honour. will message to Kenyans saying: "This is to join the welcome party.
leview 17-~ "In the course of history, there
when humanity is·called to shift to a new level
It was a colourful ceremony attended by Nor- first African woman to win the coveted
~~ ~~ of consciousness, to reach atourism
higher moral products, I am CONTINUED
confident ON PAGE 4that
we can look forward to increase the
Merger talks
growth of the sector. This will in turn
generate jobs for our unemployed
young people," President Kibaki said.
Upgrading facilities
The President spelt the need to build
for two Ford
party groups
more hotels and upgrade existing ones
to ensure they meet international
standards.
He was speaking during the opening A cyclist on Nairobi's
of the five-star Sun N Sand Beach Kenyatta Avenue is By NA nON Correspondent
Resort in Kilifi District yesterday. undaunted by the
The President was accompanied by
heavy downpour that Ford People is in merger talks with
First Lady Lucy, Cabinet Ministers' Ford Kenya, an MP said yesterday.
Raphael Tuju and Najib Balala and pounded the city
Dr HezroR Manduku, the MP for
Sep ember February March

Coast MPs: yesterday afternoon, Nyaribari Masaba, said the two parties
Kenya was yet to realise its full tour- thanks to his umbrella. hoped to merge before the 2007 Gen-
ism potential, he said, although he eral Election.
Residents were caught After love is the Igathe quits Vivo
acknowledged that the sector had The discussions could result in the
improved in the past two years. unawares as they
birth of a bigger Ford family that could
prenup papers P. 2 Polycarp, seen on the right here
with his City Hall former boss Mike
2015 4th, 2020 12th, 2020

Magazine Prenuptial agreements Sonko, leaves tongues wagging after
knocked off from
Wednesday, February 5, 2020 KSh60/00 (TSh1,700/00 : USh2,700/00 : RFr900/00) No. 19939 /dailynation www.nation.co.ke ∫∫∫∫∫∫
resigning from oil marketing firm.
become a formidable force in the politi-
have become quite popular in new
marriages in Kenya; here’s why Where is he heading to next?
International standards work. The usual traffic cal arena, he said, adding that the coali-
President Kibaki asked hotels to jam in such weather tion's mandate would be to steer the
employ. qualified staff in order to meet country.to economic, social and politi-
was not experienced,
international standards .. cal prosperity.
E h op a Death of Kenya
He said Kenya's share of the 500 mil- however, as most . Dr Manduku was speaking after a DANIEL arap MOI | 1924-2020
March 14, 2020 KSh60/00 (TSh1,700/00 : USh2,700/00 : RFr900/00) No. 19977 /dailynation www.nation.co.ke ∫∫∫∫∫∫
lion global tourism market was too low. people are still sports day at Ibacho Green Stadium in
The last
Public health > Almost 80 per cent of virus patients have mild symptoms and recover within two weeks Measures
He said: "At about 500,000 tourists his constituency. He said no party
1
Don’t panic, here is
upcountry where they Temporary suspension
of prison visits for the
realised last year, Kenya's share of the would ever rule Kenya without the sup-
next 30 days.
joined their families
imperial
global tourism market remains low." .port of other parties.
ge s Moi confirms it’s

for Christmas.
a plan to beat virus 2

Tourism is ranked the third foreign However, he said each" party must be All public gatherings,
and events that have
exchange earner after tea and careful when signing memoranda of large gatherings, includ-
president
ing rallies, church crusades,
and meetings of national
horticulture. understanding to avoid future conflicts.

nature, have been banned.
2020
Photo/Joseph Mathenge
This includes BBI rallies.
It was always a matter of when, not if, and now that Kenya has confirmed the first Covid-19 infection, attention
3
Places of worship will
continue to operate as
shifts to preventing spread and taming misinformation that is causing terror across the country Pages 3,4,5,6&7 usual as long
e ec r c first Covid19
they provide hand
sanitisers to their
Safety Guide congregants.
Good man, dirty game: He was not Protecting yourself
GAS COOKERS (NEWl SPECIAL OFFER!

in public places
perfect, neither was he modern in his
EMBAKASI GIRLS' ACADEMY
-
THE WALKING MACHINE
Using public
practice of politics, appreciation of transport safely
4
How to test
Suspension of inter-
human rights and the finer points of
SECONDARY BOARDING SCHOOL - ATHI RIVER
yourself at home
& many more in 3 colours 4 Gas Burners, Gas Oven! Gas Grill
school events like
What to do if you drama and music
economic management but he was a good are infected
Why you are not
festivals. Schools will,
nationalist. Humble and compassionate,

however, remain open.
Warming Compartment,
likely to die
Founded on strong religious morals with an excellent learning environment.

5
Public transport operators
Moi was also a wily, ruthless, self-styled How the virus got here
ra n case
will be required to
Highly qualified teachers.

Stainless Steel Cook-Top ‘professor of politics’ who wore power
regularly clean their
vehicles and provide sanitisers
8 - 4 - 4 Syllabus available. like a tailor-made suit, striding across to passengers.
Computer, all main Science. Arts subjects and Counseling classes available. corridors of state with a self-assurance at
variance with his modest beginnings in
Games facilities. Kurieng’wo village, Baringo County
6
London
TELESALES
Chicago Unless absolutely
Baianced diet. Full coverage on Pages 2,3,4,5,6,7,8,9,10,11,12,48&49 Ohio

necessary, travelling to
affected countries has
Affordable fees.
been banned.
_ Bruce House, Kaunda St, Plus: 32 page Special Pullout

7
Business community
Vacancies in Forms II & III - Interviews going on.
27-year-old
Kenyan living warned against inflating
Adam's Arcade, Ngong Road.

in Ohio, US cost of goods and phar-
Form I intake to be after 2004 K.C.P.E Results are out. travelled home
through Chicago
Nairobi maceutical products.
8
and London. From
Tel; 213143/336027, Nairobi

Abuse social media
the airport she platforms to spread
went to Ongata FRANCIS NDERITU | NATION misinformation that
Tel: 0733-550472, 0722~18144

Rongai on the A matatu conductor from Expresso Sacco, which plies the Kasarani-CBD route in Nairobi, dispenses a hand sanitiser can cause fear and panic
AS llJ/':AL WEDJ)ING f>RESI:'ST!
outskirts of the
city.
solution to passengers on Tom Mboya Street yesterday, hours after Health CS Mutahi Kagwe announced the first criminalised.
P.O. Box 58531- 00200, Nairobi.

case of Covid-19 in the country. Public health and safety will rely greatly on hygiene standards in the coming days.
INDEX News P. 2-13 Opinion P. 14-15,16 Letters P. 18 Weekend P. 19,20,30-33 International P. 34-36 Business P. 38-39 Sport P. 42-48
THE PHYSICAL PLANNING ACT

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MOBILE: 0733 794753 MWAITA K.M. FOR; DIRECTOR OF PHYSICAL PLANNING. Tel: (020) 221289. 2215.l.1. 2299117 P.O. BOX 62647 00200" NRB • KENYA
Me
di
ao
f Afr a for A
26
ic
fr
ica
Dr. Wilfred D.
Kiboro Chairman

Our Leadership
Group Chairman’s Statement
O
Dear Stakeholders, We have activated our Business Continuity
n behalf of the Board of Directors, it gives Management Team that is working around the
me great pleasure to present to you the clock to ensure that the safety and well-being of
Group’s financial performance for the year our employees, partners, customers, suppliers
ended 31st December, 2019. and other stakeholders remains our top priority
We are going through unprecedented times while enabling the business to operate during this We take this opportunity
due to the Coronavirus (COVID-19). It is spreading pandemic. We are working closely with relevant to assure our stakeholders
fast and destabilising all of us. We have seen the Government agencies in monitoring the unfolding and the Governments in
overwhelming burden on health systems; total situation and providing timely information to the East Africa of our continued
and partial lock-downs instituted around the community. support and partnership in
world including major economies such as China, the fight against the spread
India, Russia, USA etc; the closure of international Economic Environment of COVID-19 and affirm our
borders; suspension of air travel; slowing down Year 2019 was characterised by declining public interest mission to
of domestic and international trade; pay cuts and performance in both advertising and circulation provide relevant and timely
information and education
lay-off instituted by companies; closure of schools across the region resulting from a challenging
to the public on the current
redefining education through home schooling and economic environment where revenue authorities pandemic.
major shifts in the work environment with the missed tax collection targets, austerity measures
adoption of working from home. Indeed, the virus instituted by governments in Kenya and Tanzania,
has disrupted our lives, families and business suppressed credit to the private sector, a number
operations in ways unparalleled. Although the of listed companies declared profit warnings and
pandemic may be distressing, it has corporates, including media houses,
drawn all of us together. Indeed, if laid off staff.
ica
there is good to come out of this, it In addition, NMG’s traditional
is that we must all work together print media business was fr
to overcome the challenge. impacted adversely by the
A
In all this, what matters most continued disruption of the
Africa for
is the safety and well-being industry following rapid
of our employees, families, changes in the ways in which 27
partners, customers and other the market prefers to consume
stakeholders across all our
We have activated our media - which has shifted from
markets. Business Continuity the traditional platforms to
f
Management Team that
ao
We take this opportunity to digital alternatives, the value
assure our stakeholders and is working around the customers are prepared to pay Me
di
the Governments in East Africa clock to ensure that the for content in the advent of an
of our continued support and safety and well-being avalanche of ‘freely available’
partnership in the fight against of our employees, alternative sources facilitated by
the spread of COVID-19 and partners, customers, developments of multiple digital
affirm our public interest mission suppliers and other communication channels.
to provide relevant and timely stakeholders remains
information and education to the Financial Performance
our top priority while
public on the current pandemic. Despite the difficult operating
We will continue to be at the
enabling the business environment in the region, the
forefront of reporting about the to operate during this Group posted a turnover of Shs
pandemic and proactively pandemic. 9.1 billion and profit before tax of
drive awareness across all our Shs 1.3 billion, which were 6.3%
platforms to influence behaviour and 20.7% lower than prior year
change and avert stigma. respectively.
We have also taken precautionary measures, in The Group’s performance was adversely
line with the guidelines issued by the Government impacted by a challenging economic environment
such as upscaling hygiene levels at our premises which together with industry specific
and sensitising our staff, partners, customers developments in a leading advertising sector
and other stakeholders on self-hygiene, social precipitated reductions in advertising spend in
distancing, and self-quarantine protocols. We general. The performance of the traditional media
have also instituted measures to secure the safety platforms was further affected by higher prices of
of our teams working from the offices and in the newsprint, its main production input. The adverse
field by equipping them with personal protective impact of the market environment on the Group’s
equipment.

Our Leadership
Group Chairman’s Statement (continued)

overall performance was substantially mitigated strategic journey to transform into a modern
by reduced operating costs realized from digital content company. The Group achieved a
sustained optimization of business operations to number of milestones including; mainstreaming
improve efficiency and productivity. of data and analytics in the business to focus on
continuous understanding of the consumer and
Dividends delivering value to them; establishing a Digital
The Group is making extensive investments in Marketing Agency known as TAG Brand Studio to
innovation to grow new revenue streams and optimise on the digital revenue opportunity and
gradually transition to digital media becoming a deliver new value to advertisers; commenced
significant contributor of its revenue implementation of the paid content
as the scope for growth in the legacy journey aimed at developing a
media business declines globally. single digital brand and growing
The contemplated investments reader revenue and scaled its
will require substantial resources events business particularly in
including material cash reserves the thought leadership space.
to actualize the initiatives.
Considering the above, the NMG Thought Leadership
Directors do not recommend The Group continued Nation Leadership Forums
payment of a final dividend for the to register progress in The forums are a platform
year. Consequently, the interim its strategic journey to created by NMG to support the
dividend of Shs 1.50 (60%) per transform into a modern execution of the Group’s mission
share on the issued share capital digital content company. of positively influencing society.
Me of 188,542,286 ordinary shares The Group achieved a They also offer an opportunity for
di of Shs 2.50 each, paid on 30th number of milestones the Group to champion its core
September 2019, will be the total including; mainstreaming values of standing for human
ao
dividend per share and will be of data and analytics in rights, democracy and free
f Afr a for A
deemed as the final dividend for markets. The series now consists
the business to focus on
28 the year ended 31st December of the Nation Leadership Forum
continuous understanding
ic
2019 (2018: Shs 5.00 per share). (Kenya), Monitor’s Thought

the consumer and Leaders Forum (Uganda), and
Bonus Share Issue delivering value to them; Mwananchi Thought Leadership
fr The Directors recommend, establishing a Digital Forum (Tanzania).
ica subject to approval by the Capital Marketing Agency known The objective of these forums is
Markets Authority, the Nairobi as TAG Brand Studio to to provoke discourse, encourage
Securities Exchange Plc, and optimise on the digital dialogue, shape public opinion,
the Shareholders at the Annual revenue opportunity influence policy and try to find
General Meeting, a bonus share and deliver new value to practical and optimal solutions
issue of one new fully paid advertisers; commenced to the problems facing the
ordinary share for every ten respective countries societies.
implementation of the paid
shares held in the capital of the In addition to serving the core
Company, to the shareholders
content journey aimed purpose, the forums also provide
on the register of members at at developing a single opportunities for diversified
the close of business on 12th digital brand and growing revenue more notably from
June 2020. The new shares shall reader revenue and non-traditional sources such as
not qualify for payment of any scaled its events business organisations primarily engaged
dividend for the year 2019. particularly in the thought in development and related
1.50
leadership space activities.
Share Price and Market
Capitalisation Kusi Ideas Festival
The NMG share price declined from an The Group continued scaling up its events
The interim dividend of Shs average of Shs 68.5 at the end of the previous year business beyond East Africa with establishment of
1.50 (60%) per share on to close at an average of Shs 39.8. This was due to a Pan-African knowledge based product dubbed
the issued share capital the subdued Nairobi Securities Exchange (NSE) Kusi Ideas Festival. The festival seeks to begin
of 188,542,286 ordinary market across the board that was characterised building a “Pan-African ideas transaction market”
shares of Shs 2.50 each, by difficult operating environment leading to to capitalise on opportunities and innovations
paid on 30th September
reduced earnings and foreign capital flight. The available to Africa to help her win in the 21st
2019, will be the total
dividend per share and Group’s market capitalisation was Shs 7.5 billion Century. Recognising the Group’s vision of being the
will be deemed as the final as at 31st December 2019. ‘Media of Africa for Africa’, the objective is to begin
dividend for the year ended proactively shaping Africa’s agenda leveraging on
31st December 2019 (2018: Digital Transformation Journey the Group’s convening power, positioning NMG at
Shs 5.00 per share) The Group continued to register progress in its the centre of driving Africa’s agenda.

Our Leadership
390km
The Group held the first edition of Kusi Ideas In 2019, the Group undertook a special project
Festival under the theme “The Next 60 years in around pollution of the Nairobi River known as
Africa” on 8-9 December 2019 in Kigali, Rwanda, ‘The Toxic Flow’ series. The project took 3 months,
as the highlight event of its 60th Anniversary covered 390 kilometers, collected 49 different
In 2019, the Group undertook
celebrations. The conference attracted 1,600 samples including vegetables, aquatic samples
a special project around
delegates from five continents including co-host and involved significant resources. The research pollution of the Nairobi
President Paul Kagame of Rwanda, President shocked the nation by unearthing the devastating River known as ‘The Toxic
Felix Tshisekedi of the Democratic Republic of impact of heavy pollution with deadly metals found Flow’ series. The project
Congo, African Union Commission Chairperson in the river water, negative impact on the quality of took 3 months, covered 390
Moussa Faki Mahamat and African Union High food cultivated through irrigation along the river kilometers, collected 49
Representative for Infrastructure Development reaching markets, existence of a disease corridor different samples including
& Former Prime Minister of Kenya, Raila Odinga. with hospitals near the river handling waterborne vegetables, aquatic samples
In attendance also were business leaders, policy diseases and a spike in cancer cases in counties and involved significant
makers, diplomats, innovators, researchers, such as Machakos and Makueni where the river resources
young entrepreneurs, students, among others. passes by.
The festival was covered widely by media The research resulted in Government setting
across Africa and also had a large social media up of multidisciplinary team that pursued 1,404
engagement averaging 500 million impressions. companies; 3 companies closed indefinitely
The successful gathering of the presidents, following complaints by residents; 4
top government officials, business companies temporarily shut down
leaders and leading scholars for discharging life-threatening
to kick off discourse on the waste into the river; the
ica
future of the continent, Ministry of Water & Sanitation
reaffirmed the Group’s and Irrigation scaled up fr
convening power, an budget allocation towards
A
important component sanitation services
Africa for
The Group continued scaling up its
in championing and the National
events business beyond East Africa with
Thought Leadership Environmental 29
establishment of a Pan-African knowledge
in Africa. Kusi Ideas Management Authority
based product dubbed Kusi Ideas Festival. The
Festival will become (NEMA) presented
festival seeks to begin building a “Pan-African
the flagship thought a report to Ministry
f
ideas transaction market” to capitalise on
ao
leadership event for of Environment and
opportunities and innovations available di
NMG in the continent Forestry for action.
to Africa to help her win in the 21st Me
and is expected to be Century Following the Toxic Flow
held in different countries Series, the Group received
in Africa going forward. many comments and leads
from the public on pollution
Sustainability Agenda of water bodies including Lake
This year I would like to focus my Victoria. As a result, early this year,
message on environmental sustainability. the Group undertook another special project
Climate change has become the defining issue of dubbed ‘Rotting from the Deep’ that focused on
our time. This is the time to heal our Mother Earth pollution of Lake Victoria, one of the most important
by injecting our collective efforts from all sectors resources for this region. The project, conducted
of society including media. As correctly put by the over a period of 3 months, collected 28 aquatic
United Nations, “climate change is now affecting samples, found 8 metals in the samples including
every country on every continent. It is disrupting lead, mercury, zinc harmful to health of the residents
national economies and affecting lives, costing and involved significant resources. The research
people, communities and countries dearly today found that a number of institutions both public and
and even more tomorrow”. It is on this basis that private have been polluting the lake. This resulted
United Nations Sustainable Development Goals in Government action that audited 255 companies;
(UN SDGs) Goal 13 urges humanity to take urgent building of lagoons for public institutions; closure
action to combat climate change and its impacts. of one of the largest firms in the western region;
It is this firm belief that the Group, in the last leaders seeking immediate action on firms violating
six decades, has been involved in various hard- environmental rules.
fought environmental sustainability initiatives Let me conclude by echoing the call to action of
including saving the Aberdares Forest, Karura the UN Secretary General, António Guterres, that
Forest, Central Park, Uhuru Park, Mau Forest “[T]he climate emergency is a race we are losing, but
among others to protect the region’s water towers it is a race we can win. The climate crisis is caused
and safeguard recreational areas for generations by us and the solutions must come from us. We have
to come. the tools: technology is on our side”. The Group will

Our Leadership

continue to play a critical part to educate and including those of legacy media will radically
raise awareness on adaptation, impact reduction change and be redefined post the pandemic,
and early warning on climate change. disrupting our traditional revenue sources.
Indeed, during this time the performance of print
Board Changes circulation has been adversely impacted while at
Mr. James Montgomery retired from the board the same time there has been a significant growth
during the year and I would like to thank him in online consumption of our content. Hence our
for his valuable contribution as Chairman of focus going forward is to continue upscaling and
the Strategy and Investments Committee. Mrs. accelerating monetisation of our digital content.
Sumayya Hassan-Athmani, who The Group will continue taking
is the CEO of Azure Energy appropriate steps to safeguard
Limited, was appointed to the the safety and health of our
board during the year. The employees alongside ensuring
board will immensely benefit business continuity. Our
from her wealth of experience in commitment is to deliver on
corporate governance. our mandate to positively
transform society, by consistently
Our People creating quality, differentiated
The Group continues to be and engaging content. We are
committed to identifying, cognisant that our relevance
developing, and fostering new depends on understanding
skill sets critical to the business the new age consumers while
The Group continues to be
Me strategy of winning in the remaining faithful to our compass
di digital space. The focus is to
committed to identifying,
developing, and fostering new of truth, independence, fairness
comprehensively build capacity skill sets critical to the business and accuracy.
ao
across all operations and strategy of winning in the I take this opportunity to thank
f Afr a for A
functions in order to accelerate digital space. The focus is to my fellow directors for their
30 the transformation of NMG in comprehensively build capacity support and continued invaluable
across all operations and
ic
to a world class digital media contribution to the board.

organization. functions in order to accelerate Let me also take this
the transformation of NMG in opportunity, on behalf of the
to a world class digital media
Looking Ahead Board to share my deepest
organization.
fr
The outbreak of COVID-19 gratitude to the management
ica
pandemic is already presenting and staff of NMG, our business
an unprecedented risk to the partners, customers and other
global economy including the East stakeholders for their unwavering
African region in 2020 and possibly beyond. support and commitment over the year.
Experts including the World Health Organisation
(WHO) have observed that it is not known how long Ahsanteni sana!
the pandemic will last. In this regard, we expect
2020 to be the most difficult trading year in the
life of the Group as businesses and the economy
continue reeling under the adverse impact of Dr. Wilfred D. Kiboro
COVID-19. Business models, how people work Chairman
and consume products, distribution channels

ica
fr
A
Africa for
31
f
ao
di
Me

Me
di
ao
f Afr a for A
32
ic
fr
ica
Dr. Wilfred D.
Kiboro Mwenyekiti

Viongozi Wetu
Taarifa ya Mwenyekiti
K
Wapendwa Washikadau, Kadhalika tumechukua tahadhari, kuambatana
wa niaba ya Bodi ya Wakurugenzi Wakuu, na miongozo iliyotolewa na Serikali kama vile
nina furaha kubwa sana kuwasilisha kwenu kuimarisha viwango vya usafi kwenye afisi zetu Tunachukua fursa hii ili
matokeo ya kifedha ya shirika ya mwaka na kuwapa mafunzo wafanyikazi wetu, washirika, kuwahakikishia washikadau
uliomalizikia mnamo tarehe 31 Desemba, 2019. wateja na washikadau wengine kuhusu usafi wa na Serikali za Ukanda mzima
Tunapitia kipindi kigumu mno kutokana na janga kibinafsi, kuweka umbali baina yako na mwenzako, wa Afrika Mashariki kwamba
tandavu la Virusi vya Korona (COVID-19). Janga pamoja na kuzingatia kanuni za kujiweka karantini tutaendelea kusaidiana na
kushirikiana katika vita dhidi
hili linasambaa kwa haraka sana na kuvuruga wewe mwenyewe. Kadhalika, tumeweka mikakati
ya usambaaji wa wa janga
shughuli nyingi za kila mmoja wetu. Tumeshuhudia ili kuulinda usalama wa wafanyikazi wetu hili tandavu la COVID-19 na
changamoto kubwa hususan katika mfumo wanaofanya kazi kwenye afisi pamoja na huko kuthibitisha azimio letu la
mzima wa afya; amri kamilifu na za muda mfupi nyanjani kwa kuwapatia magwanda ya kujingia kutoa huduma kwa umma ili
zilizowekwa za kutotoka nje ya eneo la makazi janga hili tandavu la Korona. kuwapatia wateja taarifa kama
duniani kote ikiwa ni pamoja na chumi kubwa kama Tumehamasisha Kikosi chetu cha Usimamizi zinavyotokea na zinazofaa
vile Uchina, India, Urusi, Marekani n.k; kufungwa wa Kuendeleza Biashara zetu kinachofanya kazi pamoja na elimu ya umma
kwa mipaka ya kimataifa; kusitishwa kwa safari za kwa bidii ili kuhakikisha kwamba usalama na kuhusu janga hili tandavu
ndege; kupunguzwa kwa biashara za humu nchini utendakazi bora wa wafanyikazi, washirika, wateja, linalotusumbua kwa sasa
na hata kimataifa; kupunguza kwa mishahara wanaotuletea bidhaa pamoja na washikadau
na kufutwa kazi kwa wafanyikazi kulikoanzishwa wengine wanabakia kupewa kipaumbele huku
na kampuni mbali mbali; kufungwa kwa shule tukijitahidi kuendesha shughuli zetu wakati huu
kumebadilisha mkondo wa elimu kupitia kwa wa janga tandavu la Korona. Tunafanya kazi kwa
mafunzo ya nyumbani na kuwepo karibu sana na mawakala husika wa
kwa mabadiliko makubwa katika Serikali katika kukagua mambo
ica
mazingira ya kazi huku kazi nyingi yanavyoibuka pamoja na kutoa
zikifanywa kutoka nyumbani. taarifa kwa jamii kwa wakati fr
Ama kwa hakika, virusi hivi unaofaa.
A
vimeyavuruga maisha, familia
Africa for
na uendeshaji wa biashara zetu Mazingira ya Kiuchumi
kwa njia mbali mbali. Ijapokuwa Mwaka wa 2019 ulikuwa na 33
janga hili tandavu linaweza Tumehamasisha Kikosi changamoto ya kupungua kwa
kuwa na dhiki nyingi, limetuleta chetu cha Usimamizi wa viwango vya matokeo katika
sote pamoja. Ama kwa hakika, Kuendeleza Biashara zetu vitengo vya matangazo na
f
ao
iwapo patakuwa na uzuri kinachofanya kazi kwa bidii usambazaji kwenye ukanda
wowote utakaotokana na janga mzima, hali hii ikisababisha na
di
ili kuhakikisha kwamba Me
hili tandavu, basi ni kwamba ni mazingira mabaya ya kiuchumi
usalama na utendakazi
lazima tufanye kazi pamoja ili yaliyosababishwa halmashauri
kuangamiza changamoto hii.
bora wa wafanyikazi, za ushuru kukosa kufikia viwango
Katika yote haya, muhimu zaidi washirika, wateja, vyao vya mwaka vya ukusanyaji
ni usalama pamoja na ubora wa wanaotuletea bidhaa wa mapato ya ushuru, hatua
hali ya maisha ya wafanyikazi pamoja na washikadau za kimsingi zilizochukuliwa na
wetu, familia, washirika, wateja wengine wanabakia Serikali za Kenya na Tanzania,
na washikadau katika masoko kupewa kipaumbele huku ilikandamiza mikopo ya sekta
yetu yote. tukijitahidi kuendesha ya kibinafsi, idadi fulani ya
Tunachukua fursa hii ili shughuli zetu wakati huu kampuni zilizoorodheshwa
kuwahakikishia washikadau na wa janga tandavu la Korona zilitangaza tahadhari ya faida na
Serikali za Ukanda mzima wa Afrika pia mashirika, ikiwa ni pamoja
Mashariki kwamba tutaendelea na vyombo vya habari, kufuta kazi
kusaidiana na kushirikiana katika wafanyikazi.
vita dhidi ya usambaaji wa janga hili tandavu la Zaidi ya hivyo, biashara ya uchapishaji wa
COVID-19 na kuthibitisha azimio letu la kutoa magazeti ya Nation Media Group (NMG) iliathirika
huduma kwa umma ili kuwapatia wateja taarifa pakubwa kwa hali mbaya iliyoendelea kuathiri
kama zinavyotokea na zinazofaa pamoja na elimu sekta hiyo kufuatia mabadiliko ya ghafla ya
ya umma kuhusu janga hili tandavu linalotusumbua jinsi wateja wanavyozipokea habari – ambayo
kwa sasa. Tutaendelea kuwa kwenye mstari wa imebadilika kutoka kwa majukwaa ya kawaida
mbele wa kutoa ripoti kuhusu janga hili tandavu na hadi katika njia m’badala za kidijitali, thamani
pia kutoa taarifa za mapema kupitia kwa majukwaa ambayo wateja wako tayari kulipia kwa maudhui
yetu yote ili kushawishi mabadiliko ya kitabia na katika kipindi hiki cha “uhuru wa habari” kutoka
kuangamiza unyanyapaa. kwenye vyanzo mbali mbali vinavyoendeshwa

Viongozi Wetu
Taarifa ya Mwenyekiti (inaendelea)

na maendeleo ya vituo vingi vya mawasiliano ya shirika la Nairobi Securities Exchange Plc, pamoja
kidijitali. na Wenyehisa katika Mkutano Mkuu wa Mwaka,
hisa ya bonasi iliyotolewa kwa hisa moja ya
Matokeo ya Kifedha kawaida na iliyolipiwa kwa kila hisa kumi zilizopo
Licha ya mazingira magumu ya kikazi katika kwenye mtaji wa Kampuni, kwa wenyehisa kwenye
ukanda mzima, Shirika lilizalisha mapato ya jumla sajili ya wanachama kufikia mwisho wa saa za kazi
ya Shs Bilioni 9.1 na faida kabla ya ushuru ya Shs za tarehe 12, Juni 2020. Hisa mpya hazitafaulu
Bilioni 1.3, zilizokuwa 6.3% na 20.7% chini zaidi ya kulipwa mgao wowote wa mwaka wa 2019.
mwaka uliotangulia mtawalia.
Matokeo ya Shirika yaliathirika Bei ya Hisa na Mtaji wa Soko
pakubwa kutokana na changamoto Bei ya hisa ya NMG ilipungua
ya mazingira ya kiuchumi kutoka kwa wastani ya Shs 68.5
ambayo pamoja maendeleo mwishoni mwa mwaka jana na
maalum kwenye sekta kubwa kufikia wastani ya Shs 39.8. Hali
ya matangazo ilisababisha hii ilitokana na kutengwa kwa
kupungua kwa viwango vya Soko la Ubadilishanaji wa Hisa
matangazo kwa ujumla. Matokeo la Nairobi (NSE) katika nyanja
ya majukwaa ya vyombo vya Shirika liliendelea kusajili zote zilizokumbwa na mazingira
habari vya kawaida yaliathirika matokeo mazuri katika magumu ya kufanyia kazi
kutokana na gharama ya juu ya safari yake ya kimkakati ili hatimaye ikipelekea kupungua
uchapishaji, kitengo chake kikuu kuhamia kwenye kampuni kwa mapato pamoja na kupungua
cha uchapishaji. Athatri kubwa ya kisasa iliyo na maudhui ya kwa mtaji wa pesa za kigeni.
Me ya mazingira ya soko kwenye kidijitali. Shirika lilifanikiwa Mtaji wa soko la shirika ulikuwa
di matokeo ya jumla ya Shirika kwa kutimiza malengo fulani Shs Bilioni 7.5 kufikia tarehe 31
kiasi fulani ilikingika kupitia kwa ikiwa ni pamoja; Kuweka Desemba, 2019.
ao
kupunguzwa kwa gharama ya bayana data na utathmini

f Afr a for A
utendakazi iliyopatikana kutoka Safari ya Mabadiliko ya Kidijitali

kwenye biashara ili
34 kwa usawazishaji wa uendeshaji Shirika liliendelea kusajili
kuzingatia uelewa endelevu
ic
wa biashara ili kuboresha matokeo mazuri katika safari

utendakazi pamoja na uzalishaji. kwa wateja pamoja na yake ya kimkakati ili kuhamia
kuwapatia thamani; kwenye kampuni ya kisasa iliyo
fr Migao kuanzisha Kampuni na maudhui ya kidijitali. Shirika
ica Shirika hili linajitahidi kuwekeza ya Mauzo ya Kidijitali lilifanikiwa kutimiza malengo
katika ubunifu ili kuunda njia inayofahamika kama TAG fulani ikiwa ni pamoja; Kuweka
m’badala za mapato na pole pole Brand Studio ikiwa na lengo bayana data na utathmini kwenye
kuhamia kwenye uanahabari la kupata fursa ya kuleta biashara ili kuzingatia uelewa
wa kidijitali na kuifanya kuwa mapato ya kidijitali na kuleta endelevu kwa wateja pamoja na
chombo kikuu cha kuchangia thamani kwa kampuni kuwapatia thamani; kuanzisha
mapato huku upeo wa ukuaji Kampuni ya Mauzo ya Kidijitali
zinazotupatia matangazo;
kwenye biashara ya vyombo vya inayofahamika kama TAG
habari ukipungua kote duniani.
tulianza utekelezaji wa safari Brand Studio ikiwa na lengo la
Uwekezaji unaotarajiwa utahitaji ya makala yaliyolipiwa kwa kupata fursa ya kuleta mapato
rasilimali za kutosha ikiwa ni lengo la kukuza bidhaa ya kidijitali na kuleta thamani
pamoja na hifadhi ya pesa taslimu moja bora ya kidijitali na kwa kampuni zinazotupatia
ili kufanikisha mipango hiyo. pia kuimarisha mapato ya matangazo; tulianza utekelezaji
Kwa kuzingatia taarifa wasomaji na kuboresha wa safari ya makala yaliyolipiwa
iliyopo hapo juu, Wakurugenzi matukio mbali mbali ya kwa lengo la kukuza bidhaa
1.50
hawapendekezi malipo ya mgao kibiashara hususan katika moja bora ya kidijitali na pia
wa mwaka. Kwa sababu hiyo, fursa za kiuongozi kuimarisha mapato ya wasomaji
mgao wa muda wa Shs 1.50 (60%) na kuboresha matukio mbali
kwa kila hisa ya mtaji wa hisa mbali ya kibiashara hususan
mgao wa muda wa Shs. 1.50 iliyotolewa wa 188,542,286 wa hisa katika fursa za kiuongozi.
(60%) kwa kila hisa ya mtaji wa ya kawaida ya Shs 2.50 kwa kila hisa, iliyolipwa
hisa iliyotolewa wa 188,542,286 mnamo tarehe 30, Septemba 2019, itakuwa ndiyo Uongozi Endelevu wa Kifikra wa NMG
wa hisa ya kawaida ya Shs 2.50 mgao wa mwisho kwa hisa na itachukuliwa kama Vikao vya Kiuongozi vya Nation (Nation Leadership
kwa kila hisa, iliyolipwa mnamo
mgao wa mwisho wa mwaka uliomalizikia tarehe Forums)
tarehe 30, Septemba 2019, itakuwa
ndiyo mgao wa mwisho kwa hisa 31 Desemba 2019 (2018: Shs 5.00 kwa kila hisa). Vikao hivi ni jukwaa lililoundwa na NMG ili
na itachukuliwa kama mgao wa kusaidia kuyafanikisha malengo ya Shirika hili kwa
mwisho wa mwaka uliomalizikia Hisa ya Bonasi Iliyotolewa kuihimiza jamii kwa njia chanya. Kadhalika, vikao
tarehe 31 Desemba 2019 (2018: Shs Kwa kutegemea idhini kutoka kwa Halmashauri ya hivyo vinatoa fursa kwa Shirika kuendesha vyema
5.00 kwa kila hisa). Masoko ya Mitaji, Wakurugenzi wanapendekeza, thamani yake ya kimsingi ya kusimamia hali ya

Viongozi Wetu
390km
haki za kibinadamu, demokrasia na masoko huru. Sherehe hii ilitangazwa katika vyombo vyote vya
Sasa, mfululizo wa vikao hivyo unahusisha: Nation habari barani Africa na kadhalika ilitangazwa mno
Leadership Forum (Kenya), Monitor’s Thought kwenye mitandao ya kijamii huku ikiwavutia zaidi ya
Leaders Forum (Uganda), na Mwananchi Thought watu milioni 500 mtandaoni. Kuhudhuria huko kwa
Mnamo mwaka wa 2019, Shirika
Leadership Forum (Tanzania). marais, viongozi wakuu katika serikali, viongozi wa
lilishughulikia mradi maalum
Lengo la vikao hivyo likiwa ni kuchanganua fikra, kibiashara pamoja na wasomi mbali mbali ili kuanza kuhusu uchafuzi wa Mto Nairobi
kuhimiza mazungumzo, kutoa muelekeo wa maoni mazungumzo kuhusu jinsi ya kuendeleza bara la (Nairobi River) iliyofahamika
ya umma, kushawishi masuala ya sera pamoja Afrika, hatua hiyo ilithibitisha uwezo wa Shirika kama mfululizo wa ‘The Toxic
na kujaribu kutafuta suluhu halisi kwa matatizo hili na hicho kikiwa kiungo muhimu sana katika Flow’. Mradi ulichukua muda
yanayokumba jamii husika za mataifa hayo. Zaidi kushughulikia Uongozi wa Fikra za Pamoja barani wa miezi 3, ulitembelea eneo
ya kushughulikia malengo yetu makuu, vikao hivyo Afrika. Sherehe hii ya Kusi Ideas Festival itakuwa la umbali wa kilomita 390, na
hutoa fursa ya mapato anuwai hususan kutoka tukio kubwa la kiuongozi la NMG katika bara zima kukusanya sampli zaidi ya 49
kwa vyanzo ambavyo sio vya kawaida sana kama na tunaposonga mbele, tukio hili linatazamiwa ikiwa ni pamoja na mboga za
vile mashirika yaliyokuwa awali yakishughulikia kufanyika katika mataifa mbali mbali barani Afrika. majani, sampuli za maji na
kuhusisha rasilimali nyingi ili
maendeleo na shughuli nyingine kama hizo.
kufanikisha mradi mzima
Ajenda Endelevu
Kusi Ideas Festival Ningependa kuuelekeza ujumbe wangu wa mwaka
Shirika liliendelea kuimarisha shughuli zake huu katika suala la uendelevu wa kimazingira.
za kibiashara nje ya mipaka ya Afrika Mabadiliko ya tabianchi yamekuwa maswala
Mashariki kwa kuanzisha sherehe muhimu sana ya nyakati hizi. Huu
za Kuchanganua Fikra ambazo ndio wakati muafaka wa kuponya
kwa sasa zinafahamika Ulimwengu Wetu kwa
ica
kama sherehe za Kusi kuweka jitihada za pamoja
Ideas Festival. Sherehe kwenye sekta zote za fr
hizi zinalenga kuanza kijamii ikiwa ni pamoja
A
kujenga “Soko na vyombo vya habari.
Africa for
la Muamala wa Shirika liliendelea kuimarisha shughuli zake za Kama ilivyoelezwa
Mawazo kutoka kibiashara nje ya mipaka ya Afrika Mashariki kwa vyema na Umoja 35
Barani Afrika” ili kuanzisha sherehe za Kuchanganua Fikra ambazo wa Mataifa,
kushughulikia kwa sasa zinafahamika kama sherehe za Kusi Ideas ‘’sasa mabadiliko
fursa pamoja na ya tabianchi
f
Festival. Sherehe hizi zinalenga kuanza kujenga “Soko
ao
ubunifu wa kazi la Muamala wa Mawazo kutoka Barani Afrika” ili yanaathiri kila taifa
unaopatikana kwa katika kila bara.
di
kushughulikia fursa pamoja na ubunifu wa kazi Me
bara hili la Afrika unaopatikana kwa bara hili la Afrika kwa Inavuruga chumi
kwa lengo la kulisaidia lengo la kulisaidia bara hili kushinda za kitaifa na kuathiri
bara hili kushinda katika Karne ya 21 maisha ya watu, huku
katika Karne ya 21. Kwa ikiwagharimu watu, jamii
kuitambua kauli mbiu ya pamoja na mataifa leo hii
Shirika hili kuwa ‘Shirika la na hata zaidi hapo kesho”.
Habari la Afrika kwa Afrika’ (Media Ni kuambatana na hili ambapo
of Africa for Africa), lengo hapo likiwa Malengo ya Maendeleo Endelevu ya
ni kuanza kubadilisha ajenda kuu ya Afrika kwa Umoja wa Kimataifa (UN SDGs) Lengo la 13
kuzingatia uwezo wa Shirika hili, kuiweka NMG kifua linawahimiza watu kuchukua hatua ya haraka ili
mbele katika kushunikiza ajenda ya bara la Afrika. kukabiliana na mabadiliko ya tabianchi na athari
Mnamo tarehe 8-9 Desemba 2019 huko Kigali, zake.
Rwanda, shirika lilianzisha toleo lake la kwanza la Ni kupitia kwa imani hii nzito, Shirika hili katika
Kusi Ideas Festival chini ya kauli mbiu ya “Miaka 60 kipindi cha miongo sita iliyopita, limeshiriki miradi
Ijayo ya Bara la Afrika” kama tukio mojawapo la mbali mbali migumu ya mazingira endelevu ikiwa ni
maadhimisho ya sherehe za miaka 60 ya shirika hili. pamoja na kuhifadhi Misitu ya Aberdares na Karura,
Kongamano hili liliwavutia wajumbe 1,600 kutoka kwa eneo la Central Park, Uhuru Park, na Msitu wa Mau
mabara matano ikiwa ni pamoja na mwenyeji, Rais kati ya miradi mingine ili kulinda vyanzo vikuu vya
Paul Kagame wa Rwanda, Rais Felix Tshisekedi wa maji na pia kuhifadhi maeneo ya kupumzikia kwa
Jamhuri ya Kidemokrasia ya Congo, Mwenyekiti wa vizazi vijavyo.
Tume ya Umoja wa Afrika Bw. Moussa Faki Mahamat Mnamo mwaka wa 2019, Shirika lilishughulikia
pamoja na Muwakilishi wa Maendeleo ya Kimuundo mradi maalum kuhusu uchafuzi wa Mto Nairobi
Msingi katika Umoja wa Afrika na aliyekuwa Waziri (Nairobi River) iliyofahamika kama mfululizo wa
Mkuu wa Kitambo nchini Kenya, Raila Odinga. ‘The Toxic Flow’. Mradi ulichukua muda wa miezi
Wengine waliohudhuria walikuwa na viongozi wa 3, ulitembelea eneo la umbali wa kilomita 390, na
kibiashara, waunda sera, wanadiplomasia, wabunifu, kukusanya sampli zaidi ya 49 ikiwa ni pamoja na
watafiti, wajasiriamali vijana, wanafunzi, kati ya mboga za majani, sampuli za maji na kuhusisha
wengine wengi. rasilimali nyingi ili kufanikisha mradi mzima.

Viongozi Wetu

Utafiti huo ulilishangaza taifa zima kwa kuweka paruwanja Watu Wetu
hali mbaya kabisa ya uchafuzi wa mazingira uliokuwa na sumu Shirika linaendelea kuwajibika katika kutambua, kuendeleza,
ya chuma iliyokuwa kwenye maji ya mto, athari hasi kwenye na kutafuta maarifa mapya ili yawe kiungo kikuu kwenye
vyakula vinavyokuzwa kwa njia ya unyunyiziaji katika maeneo ya mikakati ya kuimarisha biashara ya sekta ya kidijitali. Mkazo
mito hiyo na hatimaye kufikishwa sokoni, kuwepo kwa ushoroba unawekwa zaidi katika kuimarisha uwezo kwenye vitengo vyote
wa magonjwa huku hospitali zilizoko pembezoni mwa mto huo vya utendakazi na uamilifu ili kuongeza kasi ya kuibadilisha
zikitibu magonjwa yanayohusiana na maji na kuongezeka kwa NMG kuwa shirika lenye viwango vya kimataifa la kidijitali.
visa vya ugonjwa wa saratani katika kaunti kama vile Machakos
na Makueni sehemu ambazo mto huu unapopitia. Mustakabali wa NMG
Utafiti huu uliifanya Serikali kuanzisha Kikosi cha Nidhamu Janga tandavu la COVID-19 tayari linaonyesha athari
kilichohusisha mashirika mbali mbali ambacho kilifuatilia ulimwenguni kote ikiwa ni pamoja na uchumi wa ukanda huu
kampuni 1,404; kampuni 3 zilifungwa kabisa kabisa kufuatia wa Afrika Mashariki katika mwaka huu wa 2020 na bila shaka
malalamishi kutoka kwa wenyeji; kampuni 4 zilifungwa kwa kuendelea mbele. Wataalamu wakiwa ni pamoja na Shirika la
muda kwa kumwaga maji taka kwenye mto; Afya Ulimwenguni (WHO) limegundua kwamba
Wizara ya Maji & Usafi na Unyunyiziaji iliongezea haijulikani ni lini janga hili litamalizika. Katika
bajeti yake ili kushughulikia huduma za usafi hali hii, tunategemea kwamba mwaka huu wa
na Mamlaka ya Kitaifa ya Usimamizi wa 2020 utakuwa mwaka mgumu sana kwenye
Kimazingira (NEMA) iliwasilisha ripoti kwa maisha ya Shirika hili kama biashara pamoja
Wizara ya Mazingira na Misitu ili kuchukua na uchumi kuendelea kufanya kazi katika
hatua inayofaa. mazingira ya athari ya COVID-19. Miundo ya
Kufuatia msururu huo wa makala maalum kibiashara, jinsi watu wanavyofanya kazi na
ya Toxic Flow, Shirika lilipokea maoni mengi kutumia bidhaa, njia za kusambaza ikiwa ni
na hoja kutoka kwa umma kuhusu uchafuzi pamoja na tasnia ya vyombo vya habari vya
wa mito ikiwa ni pamoja na Ziwa Victoria. kawaida ambavyo vitabadilika kabisa kisha
Kutokana na hilo, mwanzoni mwa mwaka huu, vichanganuliwe baada ya janga hili tandavu,
Shirika lilianzisha makala mengine mapya Shirika linaendelea kuwajibika likivuruga njia zetu za kawaida za vyanzo vya
yaliyofahamika kama “Uozo kutoka ndani” katika kutambua, kuendeleza, na kuingiza mapato. Ama kwa kweli, katika kipindi
(Rotting from the Deep) yaliyoshughulikia kutafuta maarifa mapya ili yawe hiki matokeo ya usambazaji wa magazeti
uchafuzi katika Ziwa Victoria, mojawapo kiungo kikuu kwenye mikakati ya yameathirika pakubwa na pia pamekuwa na
36 kuimarisha biashara ya sekta ya
ya rasilimali muhimu sana ya ukanda huu. utumiaji mkubwa wa maudhui ya kidijitali.
Makala haya, yalishughulikiwa kwa kipindi cha kidijitali. Mkazo unawekwa zaidi Hivyo basi, mustakabali wetu ni kuimarisha na
katika kuimarisha uwezo kwenye
miezi 3, ilikusanya sampuli 28 za maji, ilipata kuweka kasi ubidhaishaji wa maudhui yetu ya
vitengo vyote vya utendakazi
sumu ya vyuma 8 kwenye sampuli hiyo ikiwa na uamilifu ili kuongeza kasi ya kidijitali.
ni pamoja na risasi, zebaki, zinki, vyote vikiwa kuibadilisha NMG kuwa shirika lenye Shirika litaendelea kuchukua hatua
ni hatari kwa afya ya wenyeji na ilichukua viwango vya kimataifa la kidijitali muhimu ili kulinda usalama pamoja na afya
gharama kubwa. Utafiti huo uligundua ya wafanyikazi wetu na kuhakikisha kwamba
kwamba kuna kampuni nyingi zikiwa zile za biashara yetu inaendelea vyema. Kujitolea
umma na pia za kibinafsi zinazochafua mazingira kwetu kunalenga kuyatimiza malengo yatu ili
ya ziwa. Hii ilisababisha Serikali kuchukua hatua na kukagua kuibadilisha jamii kwa njia nzuri, kwa kudumu kuwapatia habari
kampuni 255; kujenga rasi kwa asasi za umma; kufungwa kwa bora, zilizo na utofauti mkubwa pamoja na maudhui yanayoafiki
mojawapo ya kampuni kubwa zaidi katika eneo la magharibi; matakwa ya wateja wetu. Tunafahamu kwamba umuhimu wetu
huku ikitaka kuchukuliwa hatua za haraka kwa mashirika unategemea pakubwa uelewa wa wateja wa enzi za kisasa
yanayokiuka masharti ya kimazingira. huku tukizingatia dira yetu ya ukweli, uhuru, usawa na usahihi.
Media of Africa for Africa
Wacha nihitimishe kwa kuunga mkono mwito wa Katibu Ninachukua fursa hii kuwashukuru kwa dhati wakurugenzi
Mkuu wa Umoja wa Mataifa, António Guterres, kwamba wenzangu kwa usaidizi wao na mchango wao endelevu kwa
“Dharura ya Kimazingira ni mbio inayotushinda, lakini ni mbio bodi.
ambayo tunaweza kushinda. Athari ya hali ya hewa inasababishwa Kadhalika, wacha nichukue fursa hii, kwa niaba ya Bodi Kuu
na sisi na suluhisho lazima litoke kwetu sisi wenyewe. Tuna kutoa shukrani zangu za dhati kwa usimamizi na wafanyikazi
zana: teknolojia iko upande wetu”. Shirika litaendelea kujitahidi wote wa NMG, washikadau wetu, wateja na wadau wengine
hususan katika masuala ya kuelimisha na kutoa habari kwa usaidizi wao pamoja na kujitolea mhanga kwao kwa muda
muhimu kuhusu marekebisho, kupunguza athari na kuchukua wa mwaka mmoja uliopita.
tahadhari za awali kwenye mabadiliko ya tabianchi.
Ahsanteni sana!
Mabadiliko katika Bodi
Bw. James Montgomery alistaafu kutoka kwenye Bodi Kuu
katika kipindi cha mwaka huo na ningependa kumshukuru Dr. Wilfred D. Kiboro
sana kwa mchango wake mkubwa kama Mwenyekiti wa Mwenyekiti
Kamati ya Mpango Mkakati na Uwekezaji. Bi. Sumayya Hassan-
Athmani, ambaye ni Mkurugenzi Mkuu wa Azure Energy
Limited, aliteuliwa kwenye bodi katika mwaka huo. Bila shaka,
Bodi itanufaika sana kwake kutokana na tajriba yake kubwa
kwenye usimamizi wa kiushirika.

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Africa for
37
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Mr. Stephen Gitagama
Group CEO
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Our Leadership
Group CEO Statement

I
am pleased to present to you Paid Content Project
20%
the business highlights for The initiative aims to monetise
the year ended 31st December our digital audiences through
2019. world class mobile first digital
The East African region platforms backed up by content
faced a number of challenges that users are willing to pay
in 2019 that consequently for. The project comprises of The Group has set up an
affected the overall economic several key phases which will in-house content service
platform business with a
growth and the operating culminate in the rebuild of our
view to developing a new
business environment. The digital assets with the objective revenue stream to capture
results for the Group were of growing user revenue in part of an estimated annual
achieved in the context of a the long term. It is also key sector revenue exceeding
tough business environment in the ultimate development Shs 10 billion and growing at
impacted by adverse weather and monetisation of non-news a CAGR of over 20%.
conditions that affected food content verticals.
production; reduced credit
to private sector despite Scale up of TAG Brand Studio
easing of the interest The Group established
rates cap; increased TAG Brand Studio, an in-
exits of foreign investors The East African region faced house digital marketing
from the stock market number of challenges in 2019 that agency in August 2019
consequently affected the overall
and a continued hostile as one of the initiatives
economic growth and the operating
ica
regulatory environment. business environment. The results for creating new revenue
This difficult operating for the Group were achieved in the streams in digital. The fr
environment led to the context of a tough business Group seeks to evolve TAG
A
restructuring of a number into a leader in the digital
Africa for
environment
of businesses, with some advertising market; build
discontinuing their operations key partnerships; develop new 39
while others announcing profit products that will create unique
warnings. The media sector market positioning and lead
was similarly impacted with expansion into Africa.
f
ao
a number of them posting
significantly reduced revenues Content Service Provision
di
Me
and having to re-organise The Group has set up an
operations. in-house content service
Despite the challenges, the platform business with a
Group progressed on its digital NMG’s strategic view to developing a new
transformation journey through objective is to assume revenue stream to capture
various initiatives: leadership of sub – part of an estimated annual
sector revenue exceeding Shs
Sahara Africa’s mobile
Digital Transformation Journey 10 billion and growing at a
NMG’s strategic objective
publishing landscape compound annual grouth rate
is to assume leadership of in a fashion similar to of over 20%.
sub – Sahara Africa’s mobile our past dominance of
publishing landscape in a the print business in Habari Hub (Digital innovation
fashion similar to our past Kenya. Mobile offers and incubation hub)
dominance of the print business a transformational This is a technology incubation
in Kenya. Mobile offers a opportunity for growth hub that focuses on digital
transformational opportunity in Africa journalism and entrepreneurial
for growth in Africa. The innovation anchored on
technology overcomes barriers content. The hub provides a
of distance, borders and social suitable environment for smart
distinction, reducing Africa, and innovative individuals
and indeed the whole world, willing to collaborate with
to one connected village which Mwananchi Communications
can be served cost-effectively. Limited in Tanzania (MCL) on
In this respect, the Group has digital experimentation and
embarked on a number of key testing of digital innovation
initiatives to accelerate its ideas. MCL Digital has already
digital transformation journey, signed up partners and is jointly
namely;

Our Leadership
Group CEO Statement (continued)

exploring ideas around digital content creation The Group’s turnover declined by 6.3 per cent to
and distribution, application development and Shs 9.1 billion, while total comprehensive income
deployment, institutional collaboration and digital at Shs 0.9 billion was 18.4 per cent lower than
journalism training. last year. The results were adversely impacted
The Group’s commitment to investing in by higher newsprint costs, investment in new
journalism and upholding journalistic values and initiatives aimed at creating new revenue streams
our continuing focus on sweeping digital innovation and expenses arising from the Group’s 60th
has helped us create a sustainable business anniversary celebrations but partly cushioned by
model for news and other programming. As a continued cost reduction resulting from improved
result, it was another exceptional productivity and efficiency in
year for NMG journalism, from business operations.
breaking news coverage of Poison
River on print, Red Alert and Product Development and
Preying Missionaries across the Marketing Initiatives
Group’s print, broadcast, digital A 360-degree brand campaign
platforms. Quality journalism dubbed ‘Just Move’ campaign
continues to strengthen the was rolled out for Daily Nation,
value of our brand as the leading The Group’s commitment NTV, Business Daily, The East
media house in the region. to investing in journalism African and #TambaNayo
The EastAfrican celebrated and upholding journalistic campaign on Taifa Leo. The
25 years in 2019 through values and our continuing main objective was to empower
a campaign named The focus on sweeping digital audiences and readers to make
Me EastAfrican@25 Activation and innovation has helped us better choices with regards to
di a pullout documenting her 25- create a sustainable business their media choices with an aim
year journey. The campaign model for news and other of ensuring retention of current
ao
ran on TV, Print and Digital and programming. As a result, it and growth of new audiences/
f Afr a for A
kicked off concurrently in Kenya, readers.

was another exceptional year
40 Uganda, Tanzania and Rwanda. Numerous brand events
for NMG journalism, from
ic
On-ground activations were also were executed to drive readers’

undertaken and comprised of breaking news coverage of engagement. The key events
vendor branding with the aim of Poison River on print, Red included Career Fair, Seeds of
fr driving visibility and copy sales Alert and Preying Missionaries Gold farm clinics, NMG Property
ica for The EastAfrican. across the Group’s print, Expo and NMG Sacco Expo.
I am delighted that the Nation broadcast, digital platforms Additionally, on ground events
Media Group family has remained for Daily Nation were done with
dedicated throughout this period the aim of engaging current and
of change, with the organization recruiting new readers.
and its staff winning eleven The Business Daily’s Top 100
journalism awards in Kenya, three campaign included a conference
in Tanzania and seven in Uganda. and ended with a gala dinner
21
We are confident about the to award the winners. These
promise that the future holds for campaigns continue to position
the Group and are continuously the brand as a business leader
striving to ensure that we deliver and an enabler for both small
The Nation Media Group family has
on our promise to positively remained dedicated throughout businesses and entrepreneurs.
influence society while operating this period of change, with the MCL through Mwanaspoti
6.3
sustainably and profitably. organization and its staff winning Newspaper, conducted Live
eleven journalism awards in Chat with readers on social
Financial Performance Kenya, three in Tanzania and seven media (Facebook, Instagram
The Group’s profit before tax at in Uganda. and Twitter) to get feedback,
Shs 1.3 billion was 20.7 per cent advice and evaluate the business
The Group’s lower than previous year, as a result performance of the newspaper
turnover declined of declined advertising and circulation volumes. and how to repurpose the content. In addition,
by 6.3 per cent to The shortfall in advertising revenue in Kenya was Swahili Hub, one of our digital platforms was
Shs 9.1 billion,
partly attributable to the reduction of Government recognized as one of the centers that support the
while total
comprehensive advertising, the revocation of licenses of major development of the Swahili language through the
income at Shs 0.9 sports betting companies by the Government of National Swahili Council.
billion was 18.4 Kenya and reduced spend from agencies owing to Taifa Leo and the Newspapers in Education (NiE)
per cent lower budget cuts by various corporates that previously team introduced regional Insha competitions
than last year had relatively large advertising budgets. which improved readership in the various

Our Leadership
Group CEO Statement (continued)

participating schools in the country. The and advertising businesses and to accelerate
competition led to the delivery of 25,650 copies development of mobile-first paid content
from February to October 2019 (Primary Schools business. In this regard, focus will be placed on
- 14,400 copies; Secondary Schools- 11,250 digital content monetisation and scaling up the
305
copies). The NiE project was activated in 305 revenue opportunity and footprint in the market
schools in Kenya, distributing 125,670 newspaper leveraging on TAG Brand Studio. The Group will
copies between February and October 2019 to also exploit business opportunities in the content
both primary and secondary schools. service provision (CSP) space and implement
Monitor Publications Limited (MPL), in a new E-paper platform to drive growth of The NiE project was
partnership with DFCU Bank and Uganda subscription revenue. There will be continuous activated in 305 schools
Investment Authority (UIA) launched the focus on scaling up of events business with the in Kenya, distributing
125,670 newspaper
Rising Woman Business Expo which was aimed roll out of signature events across the region
copies between February
at recognising and celebrating a culture of primarily on Thought Leadership, anchored by and October 2019 to both
mentorship among women in business in Uganda. hosting of Kusi Ideas Festival II and the Nation primary and secondary
MPL also partnered with National Social Security Leadership Forums. We will sustain cost and debt schools
Fund (NSSF) to launch an annual Universities management initiatives and the continued focus
Career Fair aimed at arming university students on operational efficiency across the Group.
with career advice towards making critical In order to deliver the above objectives, the
choices on their careers for the labour Group will require an agile and vibrant team
market after school. with the right skill-sets. As a result,
The last Quarter of 2019 saw we will focus on recruiting and
a significant improvement retaining staff with skills
ica
on NTV Kenya with Kenya necessary to support
Audience Research implementation of fr
Foundation (KARF) digital innovation
A
projecting a growth initiatives while
Africa for
of 2% in November emphasizing
2019 from 4.5% to As we look to 2020, The Group has put in place on putting the 41
6.5%. This period consumer at
comprehensive plans to leverage and exploit
saw NTV Kenya the centre of
launch two new
its current strength in the digital space towards everything that we
f
delivering value both for the new age consumers
ao
TV shows; Pieces do.
of Us and Kaidi, and growing new revenue streams We recognize Me
di
which assisted the the instrumental
brand in gaining contribution of
new audiences. NTV various stakeholders
Kenya has continued of NMG in reinforcing
to engage audiences the Group’s position as
countrywide in partnership the market leader in East
with Churchill Show and through and Central Africa, and I would
the NTV County Editions. In 2020 NTV like to thank you for your support and
Kenya will focus more on attracting female partnership.
audiences and the youth while retaining male I wish to express my sincere gratitude to the
audiences, through impact-led programming for Board of Directors, the Executive team and staff
both news and shows. members across the region for their guidance,
passion, diligence, and unwavering commitment
2020 Strategic Priorities to deliver today as we reposition the Group to win
As we look to 2020, The Group has put in place for tomorrow. I look forward to your support as
comprehensive plans to leverage and exploit its we continue instilling confidence in the Group as a
current strength in the digital space towards sustainable partner of choice and position Nation
delivering value both for the new age consumers Media Group to be the modern digital ‘Media of
and growing new revenue streams. In order to Africa for Africa’.
achieve this, new initiatives are in the pipelines
to reach our existing and new audiences at home
and across the region to sustainably grow the Stephen Gitagama
number of engaged users, grow digital circulation Group Chief Executive Officer

Mr. Stephen Gitagama
Mkurugenzi Mkuu
Me Mtendaji
di
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f Afr a for A
42
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ica

Viongozi Wetu
Taarifa ya Mkurugenzi
Mkuu Mtendaji wa Shirika
N
ina furaha kuwasilisha
kwenu vidokezo muhimu
vya biashara yetu vya
mwaka uliomalizikia tarehe 31
za kimabadiliko kwa ukuaji
barani Afrika. Teknolojia hiyo
inapiku vizingiti vya umbali,
mipaka na utofauti wa kijamii,
20%
Shirika limeanzisha
Desemba 2019. na pia kulipunguza bara la Afrika jukwaa la kibiashara la
kushughulikia uundaji
Ukanda mzima wa Afrika la kulifanya kuwa dogo, na bila
wa maudhui mbali mbali
Mashariki ulikumbwa na shaka hata ulimwengu mzima, kwa lengo la kuanzisha
changamoto kadhaa mnamo na kuufanya kuwa kijiji kidogo mkondo mpya wa mapato ili
2019 na kwa sababu hiyo kilichounganishwa na ambacho kuchangia katika makadirio
uchumi wa jumla uliathirika kinaweza kuhudumiwa kwa ya mwaka ya sekta ya
pakubwa pamoja na mazingira gharama ndogo. Katika hali mapato yanayozidi Shs 10
ya uendeshaji wa biashara. hii, Shirika hili limeanzisha Billion na inayokua katika
Matokeo ya Shirika mipango kadhaa ili kuongezea CAGR ya zaidi ya 20%
yalifanikishwa katika kasi mipango yake ya safari
muktadha wa mazingira ya mabadiliko ya kidijitali,
magumu ya kibiashara inayatambulika kama;
yaliyoathiriwa na hali
mbaya ya kimazingira Ukanda mzima wa Afrika Mashariki Mradi wa Maudhui
ambayo pia iliathiri ulikumbwa na changamoto kadhaa Yanayolipiwa
ica
pakubwa uzalishaji mnamo 2019 na kwa sababu hiyo Mpango huu unalenga
wa chakula; kupungua uchumi wa jumla uliathirika
pakubwa pamoja na mazingira ya
kuzalisha pesa kutoka fr
kwa mikopo kwenye kwa wateja wetu wa
A
sekta ya kibinafsi licha ya uendeshaji wa biashara kidijitali kupitia kwa
Africa for
kupunguzwa kwa viwango huduma za kimataifa za
vya riba; kuondoka kwenye soko jukwaa la kidijitali la simu 43
la hisa kwa wawekezaji wengi wa kwanza linaloungwa mkono
kimataifa pamoja na kuendelea na maudhui ambayo watumiaji
kuwepo kwa mazingira magumu wanaweza kupenda kuyalipia.
f
ao
mno ya kisheria. Mazingira Mradi huu unahusisha awamu
haya magumu ya kufanyia kazi nyingi muhimu zitakazofikia
di
Me
yalisababisha kubadilisha hali hatma ya kujenga upya amali
ya baadhi ya biashara zetu, huku yetu ya kidijitali huku lengo kuu
baadhi ya biashara zikisitisha la muda mrefu likiwa ni kukuza
utendakazi wake na zingine Lengo la Mkakati wa NMG kiwango cha mapato yetu kutoka
zikitangaza maonyo ya faida. ni kuongoza katika ukanda kwa watumiaji. Kadhalika,
Kadhalika, sekta ya vyombo mzima wa Afrika pamoja mpango huu ni muhimu kwa
vya habari iliathirika pakubwa maendeleo na uzalishaji wa
na jangwa la Sahara
huku baadhi ya vyombo hivyo fedha kwenye maudhui ya
vikitangaza matokeo yaliyokuwa
kwenye mazingira ya kibiashara ambayo hayahusiani
na mapato ya chini na hatimaye uchapishaji wa mtandao kabisa na masuala ya habari.
kusababisha kubadilishwa wa simu tena katika
utaratibu wa kiusimamizi. mtindo sawa na ule wa Kuimarisha biashara ya TAG
Licha ya changamoto hizo, awali kwenye biashara ya Brand Studio
Shirika liliendelea vyema katika uchapishaji nchini Kenya. Mnamo mwezi Agosti 2019,
safari yake ya kubadilisha Mtandao wa simu unatoa Shirika lilianzisha TAG Brand
mfumo wake wa kidijitali kupitia fursa za kimabadiliko kwa Studio, kampuni tanzu ya
kwa mipango mbali mbali: ukuaji barani Afrika uwakala wa matangazo ya
kidijitali kama mojawapo ya
Safari ya Mabadiliko ya Kidijitali mipango maalum wa kuanzisha
Lengo la Mkakati wa NMG ni vyanzo m’badala vya kuunda
kuongoza katika ukanda mzima mapato mapya katika sekta
wa Afrika pamoja na jangwa ya dijitali. Shirika linaazimia
la Sahara kwenye mazingira kufanya TAG kuwa kiongozi
ya uchapishaji wa mtandao wa katika soko la matangazo
simu tena katika mtindo sawa ya kidijitali; kujenga ubia
na ule wa awali kwenye biashara maalum; kuandaa bidhaa mpya
ya uchapishaji nchini Kenya. zitakazounda soko jipya na
Mtandao wa simu unatoa fursa ukuaji mkubwa barani Afrika.

Viongozi Wetu
Taarifa ya Mkurugenzi Mkuu

Mtendaji wa Shirika (inaendelea)
Utoaji wa Huduma za Kimaudhui Kampeini hiyo ilitangazwa kwenye Runinga, Gazeti
Shirika limeanzisha jukwaa la kibiashara la na jukwaa la dijitali na ilianza kwa usanjari katika
kushughulikia uundaji wa maudhui mbali mbali mataifa ya Kenya, Uganda, Tanzania na Rwanda.
kwa lengo la kuanzisha mkondo mpya wa mapato Kadhalika, mahamasisho ya nyanjani yalifanyika na
ili kuchangia katika makadirio ya mwaka ya sekta yalishirikisha kuwavisha wauzaji magazeti mavazi
ya mapato yanayozidi Shs 10 billion na inayokua ya gazeti hilo kwa lengo la kujipigia debe kwa
katika CAGR ya zaidi ya 20%. wateja pamoja na mauzo ya nakala za magazeti ya
. The EastAfrican.
Habari Hub (Ubunifu wa Kidijitali na Nina furaha kwamba familia ya
Kituo cha Kukuza Talanta) Nation Media Group imejitolea
Hiki ni Kituo cha Kiteknolijia waziwazi katika kipindi hiki
Kinachokuza Talanta na cha mabadiliko, huku shirika
kinachozingatia uanahabari pamoja na wafanyikazi wake
wa kidijitali pamoja na ubunifu wakijishindia matuzo kumi na
wa kiujasiriamali unaoegemea moja ya uanahabari nchini kenya,
zaidi katika maudhui. Kituo tatu nchini Tanzania na saba
hicho kinatoa mazingira faafu Wajibu wa Shirika wa kuwekeza huko Uganda. Tuna uhakika
ya watu wabunifu na werevu katika uanahabari na kuzingatia kuhusu ahadi tunayoitarajia
walio tayari kushirikiana na thamani ya uanahabari pamoja hapo mbeleni na tunaendelea
Mwananchi Communications na kuendelea kutilia mkazo kujitahidi ili kuhakikisha
Limited nchini Tanzania (MCL) ubunifu wa kidijitali umetusaidia kwamba tunaitimiza ahadi yetu
Me hususan katika sekta ya kidijitali kuunda mfumo wa biashara ya kuifahamisha jamii na huku
di kuhusu majaribio na uchunguzi endelevu kwa habari na tukifanya kazi kiuendelevu na
wa mawazo bunifu ya kidijitali. programu nyinginezo. Kutokana kwa lengo la kupata faida.
ao
MCL Digital tayari imeingia ubia na hilo, huu ulikuwa ni mwaka

f Afr a for A
na mashirika na kwa pamoja Matokeo ya Kifedha

mwingine wa kipekee kwa
44 wanafanya tafakuri za kimawazo Faida ya Shirika kabla ya ushuru
uanahabari wa NMG, kutoka
ic
kuhusu uundaji wa maudhui ya wa Shs Bilioni 1.3 ilikuwa asilimia

kidijitali na usambazaji, uundaji kwa ripoti za makala maalum ya 20.7 chini ya mwaka uliotangulia,
wa programu na usakinishaji habari za hivi punde za Poison hii ilitokana na kupungua kwa
fr wake, ushirika wa kiasasi pamoja River kwenye gazeti, Red Alert viwango vya matangazo na
ica na mafunzo ya uanahabari wa pamoja na Preying Missionaries usambazaji. Kupungua kwa
kidijitali. katika magazeti yote ya mapato ya matangazo nchini Kenya
Wajibu wa Shirika wa kuwekeza NMG, kitengo cha utangazaji, kulichangiwa na kupunguzwa kwa
katika uanahabari na kuzingatia majukwaa ya kidijitali matangazo ya Serikali, Serikali ya
thamani ya uanahabari pamoja na Kenya kubatilisha kabisa leseni
kuendelea kutilia mkazo ubunifu za kampuni kuu za bahati nasibu
wa kidijitali umetusaidia kuunda na pia kupungua kwa matumizi
mfumo wa biashara endelevu kwa kutoka kwa mawakala kutokana
habari na programu nyinginezo. na kupunguzwa kwa bajeti kwenye
Kutokana na hilo, huu ulikuwa asasi mbali mbali ambazo awali
21
ni mwaka mwingine wa kipekee zilikuwa na bajeti kubwa ya
kwa uanahabari wa NMG, kutoka matangazo.
kwa ripoti za makala maalum ya Mapato ya jumla yalipungua kwa
habari za hivi punde za Poison asilimia 6.3 hadi Shs Bilioni 9.1,
6.3
River kwenye gazeti, Red Alert Familia ya Nation Media Group huku mapato kamilifu ya jumla
pamoja na Preying Missionaries imejitolea waziwazi katika kipindi ya Shs Bilioni 0.9 billion yalikuwa
katika magazeti yote ya NMG, hiki cha mabadiliko, huku shirika ya asilimia 18.4 chini ya mwaka
kitengo cha utangazaji, majukwaa pamoja na wafanyikazi wake uliotangulia. Matokeo yaliathiriwa
ya kidijitali. Uanahabari bora wakijishindia matuzo kumi na moja pakubwa na gharama kubwa
Mapato ya jumla
ya uanahabari nchini kenya, tatu
yalipungua kwa unaendelea kuimarisha thamani ya makaratasi ya kuchapishia
nchini Tanzania na saba huko Uganda
asilimia 6.3 hadi ya bidhaa yetu kama shirika kuu magazeti, uwekezaji wa mipango
Shs. Bilioni 9.1, la habari katika ukanda huu. mipya iliyolenga kuanzisha njia
huku mapato Gazeti la The EastAfrican m’badala za kuingiza mapato pamoja
kamilifu ya jumla lilisherehekea miaka 25 mnamo mwaka wa na gharama za matumizi yaliyotokana na sherehe
ya Shs. Bilioni 0.9
2019 kupitia kwa kampeini iliyofahamika kama za maadhimisho ya miaka 60 lakini iliyopunguzwa
billion yalikuwa
ya asilimia 18.4 Hamasisho la miaka 25 ya The EastAfrican (The makali ya kupunguzwa kwa gharama kutokana na
chini ya mwaka EastAfrican@25 Activation) na jarida lililofafanua uzalishaji ulioimarika pamoja na utendakazi bora
uliotangulia kwa utondoti kuhusu safari yake ya hiyo miaka 25. katika uendeshaji wa biashara.

Viongozi Wetu

Uendelezaji wa Bidhaa na Mipango ya Matangazo huku zikisambaza nakala za gazeti 125,670 kati ya
Kampeini ya mfumo wa 360-degree kuhusu mwezi wa Februari na Oktoba 2019 kwa shule za
bidhaa zetu zote ilifanyika na kufahamika kama msingi a zile za upili.
305
kampeini ya ‘Just Move’. Kampeini hiyo ilihusisha Monitor Publications Limited (MPL), iliingia ubia
bidhaa kama vile Daily Nation, NTV, Business Daily, na Benki ya DFCU na Halmashauri ya Uwekezaji
The East African na #TambaNayo kwenye Taifa ya Uganda (UIA) ilizindua onyesho la kibiashara la
Leo. Lengo kuu hapa ikiwa ni kuwahamasisha Rising Woman Business Expo lililolenga kutambua
walengwa na wasomaji wetu ili kufanya maamuzi na kusherehekea tamaduni ya ulezi mwema Mradi wa NiE ulifanya
yanayofaa hususan kuhusu maamuzi yao ya kwa wafanyibiashara wanawake nchini Uganda. mahamasisho kwa shule
vyombo vya habari kwa lengo la kuhakisha wateja Kadhalika, MPL ilishirikiana na Hazina ya Kitaifa 305 nchini Kenya, huku
zikisambaza nakala za
waliopo wamebakia na kuwasaka wateja wapya/ ya Usalama wa Kijamii (NSSF) ili kuzindua
gazeti 125,670 kati ya
na wasomaji wa magazeti yetu. Onyesho la Kila Mwaka la Stadi Mbali Mbali za mwezi wa Februari na
Matukio mengi ya bidhaa mbali mbali Vyuo Vikuu lililokuwa limelenga kuwawezesha Oktoba 2019 kwa shule
yalifanyika ili kumshirikisha zaidi msomaji wetu. wanafunzi wa vyuo vikuu kwa ushauri kuhusu za msingi a zile za upili
Matukio makuu yalikuwa ni pamoja na Career stadi wanazopendelea na kuwasababisha kufanya
Fair, maonyesho ya kilimo ya Seeds of Gold, NMG maamuzi muhimu kwenye stadi zao kwa soko la
Property Expo na NMG Sacco Expo. Kwa kuongezea, kazi baada ya kumaliza shule.
katika matukio ya Daily Nation yaliyofanyika Robo ya mwisho wa mwaka wa 2019
nyanjani, yalifanywa kwa lengo la ilionyesha ukuaji mkubwa kwa NTV
kuwashirikisha na kuwahusisha Kenya huku shirika la kitafiti la
wasomaji wapya na wale Kenya Audience Research
ica
waliokuwepo. Foundation (KARF)
Kampeini ya The likikadiria ukuaji wa fr
Business Daily’s 2% mnamo Novemba
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Top 100 ilihusisha 2019 kutoka 4.5%
Africa for
kongamano na hadi 6.5%. Kipindi
kumalizikia na hiki kilifanya NTV 45
tafrija mchapwalo Kenya kuzindua
Wakati tunapouangazia mwaka wa 2020, tayari
ili kuwazawidi vipindi viwili vipya
w a s h i n d i .
Shirika hili limeandaa mipango mathubuti ya vinavyofahamika
f
kuwekea mizani na vipimo, uwezo wake katika
ao
Kampeini hizi kama; Pieces of
zinaendelea sekta ya jukwaa la kidijitali ili kutoa huduma Us na Kaidi, vipindi Me
di
kulifanya gazeti hili zenye thamani kwa wateja za enzi hizi na vilivyosaidia sana
kuwa na matao ya kukuza njia m’badala za kuimarisha kituo hicho kupata
juu katika magazeti mapato watazamaji wapya.
yanayoandika masuala NTV Kenya imeendelea
ya kibiashara na kuwa kuwashirikisha watazamaji
na mafao makubwa kwa kote nchini kwa ushirikiano
biashara ndogo ndogo pamoja na kipindi maarufu cha Churchill
na wajasiriamali. Show pamoja na kupitia kwa matoleo
MCL kupitia kwa gazeti lake la Mwanaspoti, ya nyanjani ya NTV County Editions. Mnamo
waliendesha majadiliano mubashara na wasomaji mwaka wa 2020 NTV Kenya itaangazia zaidi katika
kwenye mitandao mbali mbali ya kijamii kama vile kuwavutia watazamaji wanawake pamoja na vijana
(Facebook, Instagram na Twitter) ili kupata majibu, huku tukiwashughulikia watazamaji wanaume,
ushauri na kuyatathmini matokeo ya kibiashara ya kupitia kwa programu zenye uhondo mwingi wa
gazeti pamoja na jinsi ya kuyabadilisha maudhui habari pamoja na vipindi vya kuvutia.
hayo. Zaidi ya hivyo, Swahili Hub, mojwapo ya
majukwaa yetu ya kidijitali ilitambulika kama kituo Vipaumbele vya Mikakati ya 2020
kinachotoa usaidizi wa makuzi ya lugha adhwimu Wakati tunapouangazia mwaka wa 2020, tayari
ya Kiswahili kupitia kwa Baraz a Kitaifa la Kiswahili. Shirika hili limeandaa mipango mathubuti ya
Kikosi kizima cha Taifa Leo pamoja na mradi kuwekea mizani na vipimo, uwezo wake katika
wa Newspapers in Education (NiE) kilianzisha sekta ya jukwaa la kidijitali ili kutoa huduma
mashindano ya Insha ya sehemu zote nchini zenye thamani kwa wateja za enzi hizi na kukuza
ambayo hatimaye yaliimarisha usomaji wa gazeti njia m’badala za kuimarisha mapato. Ili kuyafikia
la Taifa Leo katika shule mbali mbali zilizoshiriki malengo haya, mipango mipya inaandaliwa ili
nchini. Shindano hilo lilisaidia kununuliwa kwa kuwafikia haraka wateja waliopo na wale wapya
nakala 25,650 kutoka Februari hadi Oktoba 2019 hapa nchini na katika ukanda mzima ili kuendeleza
(zikiwa ni nakala 14,400 kwa shule za msingi; na uongezekaji wa idadi ya watumiaji waliofikiwa,
nakala 11,250 kwa shule za upili). Mradi wa NiE kukuza usambazaji wa kidijitali na biashara ya
ulifanya mahamasisho kwa shule 305 nchini Kenya, matangazo na pia kuendeleza kasi ya ukuaji wa

Viongozi Wetu

biashara ya maudhui ya malipo ya mfumo wa simu- utekelezaji wa mipango ya ubunifu wa kidijitali
kwanza. Katika hali hii, uzingatiaji utaegemezwa huku tukisisitiza kwa kumfanya mteja kuwa kitovu
zaidi kwenye ubidhaishaji wa maudhui ya kidijitali cha kila kitu tunakichofanya.
na kukuza nafasi za mapato pamoja na kuwacha Tunatambua mchango wa kipekee wa asisi za
alama katika soko kwa kutilia pondo TAG Brand washikadau wa NMG katika kuthibiti nafasi yake
Studio. Kadhalika, Shirika litatafuta njia m’badala ya shirika kama kiongozi kwenye soko la Afrika
katika utoaji wa huduma za nafasi ya maudhui Mashariki na kati, na ningependa kuwashukuru
(CSP) pamoja na utekelezwaji wa jukwaa jipya la sana kwa usaidizi pamoja na ushirikiano wenu.
gazeti la mtandaoni la E-paper ili kuimarisha ukuaji Ningependa kutoa shukurani zangu za dhati
wa mapato ya kujisajili. Kutakuwa kwa Bodi Kuu ya Wakurugenzi,
na muendelezo wa kuboresha Kikosi cha Wakurugenzi Wakuu
biashara za maonyesho kwa pamoja na wafanyikazi kutoka
kuanzisha kwanza kabisa kwa ukanda mzima wa eneo kwa
ukusanyaji wa sainikatika mwongozo wao, shauku, bidii ya
sehemu zote, hususan Uongozi mchwa, na uwajibikaji usiopimika
Uliopevuka, ukisimamiwa na utakaofikishwa leo hii wakati
Kusi Ideas Festival II na Nation Ningependa kutoa shukurani tunapojipanga kwenye kikosi
Leadership Forums. Bado ili kushinda kwa ajili ya kesho.
tutaendelea kubakiza gharama
zangu za dhati kwa Bodi Kuu Ninategemea pakubwa usaidizi
na kuwepo kwa mipango ya ya Wakurugenzi, Kikosi cha wako wakati tunapoendelea
usimamizi wa mikopo pamoja Wakurugenzi Wakuu pamoja kujaliza imani kwenye shirika
Me na kuendelea na uzingatiaji wa na wafanyikazi kutoka kwa kama mshirika endelevu na fursa
di ubora wa kiusimamizi katika ukanda mzima wa eneo kwa iliyopo ya Nation Media Group
shirika lote. kukumbatia mfumo wa dijitali ya
mwongozo wao, shauku, bidii
ao
Ili kuyatimiza malengo yaliyoko kisasa yenye kauli mbiu inayosema

ya mchwa, na uwajibikaji
f Afr a for A
hapo juu, Shirika hili litahitaji ‘Media of Africa for Africa’.

46 kikosi chenye ubunifu, wepesi usiopimika utakaofikishwa
leo hii wakati tunapojipanga
ic
wa kazi na utaalamu unaofaa.

Matokeo yake, ni kwamba kwenye kikosi ili kushinda
tutaangazia katika hali ya kuajiri kwa ajili ya kesho Stephen Gitagama
fr na kubakiza wafanyikazi walio na Mkurugenzi Mkuu Mtendaji wa
maarifa faafu ili kuunga mkono Shirika
ica

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Sustainability
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Media of
Empowering future leaders for Africa.

for Africa
Sustainability Report
The Group
has embarked
on a critical
efforts to create
shared value
by identifying
and expanding
the connections
between societal
and economic
progress
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fr Sharmearke Jamal of Al Hikma Primary School reads through a copy of the Juniorspot Magazine
ica during a school newspaper in education activation in Donholm.
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he success of any business lies in creating It is in this regard, that the Group enjoined as a
economic value in a way that also creates member of Shared Value Initiative whose mission
value for society by addressing its needs and is to bring together businesses and business
challenges1. Indeed, the principle of shared value communities from across Africa with a common
is reflected in the Nation Media Group’s mission to purpose to build the African economy to become
positively transform society whose centrality is the most economically viable, and bring about
in the very essence of its existence as change at scale. NMG is the only media
a voice for the voiceless, a trusted house in the continent to join this
partner to African democracies, initiative, demonstrating its
a champion of the ordinary commitment to play a leading
person in his/her interaction role in driving sustainability
with the government of in its operations.
the day, and a strong The Group seeks
advocate for free market to primarily focus on
economies. improving literacy levels.
The Group has This will ensure that NMG
embarked on critical plays a leading role in
1
The business concept of Shared
Value was first given its name
efforts to create shared achieving the UN SDG Goal
and a defined structure in the value by identifying and 4 of ensuring inclusive and
foundational Harvard Business expanding the connections quality education for all and
Review article by Prof Michael
Porter and Mark Kramer in 2011. between societal and economic promote lifelong learning. Other
The Shared Value approach progress. We are alive to the key pillars within which the Group
reconnects business success realisation that this will involve a long seeks to have impact include Health,
with social progress, positing
that it is not only possible but term learning curve to embed shared value in Environment and Community Sponsorships.
indeed preferable from a business decisions and opportunities to generate innovation
perspective to focus business on
creating both economic value for
and growth for the business and also greater Our sustainability approaches have had the
its shareholders and for society benefits for society. following impact:

Education
Hope Mwende,a Pupil at Solidarity Day and Boarding Primary School Ruai in Nairobi County contributing
at their School during the launch of the Juniorspot reading club.
Kenya
The Newspapers in Education (NiE) The Group continued its
program (a Nation Media Group education programme through
initiative that seeks to increase textbook donations to schools in
the level of literacy within primary various counties. The programme
schools through the provision of is delivered in consultation and
53,269
newspapers as supplementary partnership with a broad range of
reading aids) continued to be stakeholders including, the County 51
the Group’s signature education Governments, development partners
initiative with over 116,400 copies of and independent bodies. In 2019, the
Daily Nation and Taifa Leo distributed Group distributed books in Murumba Over 116,400 copies
to 188 schools across the country Primary School, Siaya county, of Daily Nation and
Taifa Leo distributed
impacting 53,269 students’ access to Laikipia Rescue & Rehab Centre,
to 188 schools
reading material. Laikipia county, Kiwandani Primary across the country
One year after the introduction of School, Kilifi county, Natwana impacting 53,269
Juniorspot, an engaging, informative Primary School, Uasin Gishu County, students’ access to
and entertaining 12-page weekly pull Mama Fatuma Children’s Home reading material
out, NMG introduced the concept of and Mum’s Love Children’s Home,
reading clubs in primary schools. in Nairobi county. These donations
These are teacher and student led benefitted more than 2,000 pupils.
clubs that take a creative, tailor-made
approach to education and reading
to support the implementation of the
new curriculum. In the first month
alone, the Group launched these
One year after
clubs in schools in Kitale, Nakuru,
the introduction
of Juniorspot, an Nairobi, Machakos and Samburu
engaging, informative and on boarded 36 schools by
and entertaining December 2019. In addition to these,
12-page weekly pull the program conducted multiple
out, NMG introduced teacher trainings and school
the concept of reading activations across the country to
clubs in primary create awareness about the use of
schools. These are newspapers in a classroom setting.
teacher and student The NiE program is conducted in
led clubs that take a
partnership with alumni groups, staff
creative, tailor-made
approach to education members, corporates, individuals
and reading to support and schools to increase access Pupils of Natwana Primary School in Uasin Gishu County display books contributed
the implementation of to easily accessible and relevant by NMG as part of its education program to improve literacy levels in schools across
the new curriculum reading material for the children. different counties.

Uganda
Monitor Publications Limited and
National Social Security Fund
(NSSF) collaborated with key
stakeholders in Uganda to raise
over Shs 8 million in a period of
Education
3 years to improve the learning

conditions in public schools. In
2019, the campaign achieved its
target and handed over the funds
to the management of Kampala
Capital City Authority (KCCA) and
over 6 schools have benefitted
across the country.
8 million
Monitor Publications Limited and National
Tanzania
Mwananchi Publications rolled out Newspapers
Social Security Fund (NSSF) collaborated with in Education (NiE) initiative, using Mwananchi
key stakeholders in Uganda to raise over Shs newspaper in 2019 and impacted seven schools
8 million in a period of 3 years to improve the including; Twibhoki Primary school in Serengeti
learning conditions in public schools Mara and Changa Primary School in Tanga.
52
Health Uganda
The MPL staff participated in a blood
drive to boost the countrywide shortage
of blood. This initiative was in partnership
with National Social Security Fund (NSSF)
who worked closely with the media and
Uganda Blood Transfusion Services (UBTS)
to create awareness for blood donation. The
campaign managed to mobilize thousands

of people countrywide, collecting a total of
5,898 units of blood within a week above its
target of 4,000 units. It further led to several
organizations taking up the responsibility to
organize blood drives to save more lives.
5,898
The campaign managed
to mobilize thousands
of people countrywide,
collecting a total of 5,898
MPL staff participated in a blood drive to boost the countrywide shortage of blood. This initiative was in partnership units of blood within a
with National Social Security Fund (NSSF) who worked closely with the media and Uganda Blood Transfusion week above its target of
Services (UBTS) to create awareness for blood donation. 4,000 units

Health
Kenya
In June 2018, the Kenya National of 149,000 units. In 2019, NMG
Blood Transfusion Service partnered with the KNBTS for a
500,000
(KNBTS) through its Director blood donation drive targeting its
Josephine Gathiga announced staff members stationed at the
that the agency had failed to hit its headquarters – Nation Centre
collection target for the year ended through the “Show Your Love”
December 2017. Kenya requires campaign which rallied staff to Kenya requires approximately 500,000 53
approximately 500,000 units of support the initiative by donating units of blood against KNBTS’s
blood against KNBTS’s collection blood to save a life. collection of 149,000 units
Environment Media of Africa for Africa
The Group recognizes environmental management as a critical business

imperative that seeks to create value for the business, people and the
planet and is committed to promoting environmental management,
focusing on environmental conservation as one of the top management
priorities. A passion for the environment remains at the heart of everything
we do. We conduct our activities professionally and responsibly, carefully
managing the effects of our operations on the natural environment.
In our operations, we use manufacturing processes that reduce
The Group recognizes environmental the impact on the environment, including developing and improving
management as a critical business operations and technologies to minimize waste, prevent air, water, and
imperative that seeks to create value
other pollution to minimize health and safety risks and dispose of waste
for the business, people and the
planet and is committed to promoting safely and responsibly.
environmental management, focusing The Group, is determined to help create a higher quality of life for all
on environmental conservation as one people, and to do our part to help ensure that progress continues within
of the top management priorities the communities in which we operate.

At the printing press, the use of energy These cost savings have been made
is closely monitored to ensure efficient possible by reducing the amount
use, to promote sustainable use of of energy consumed by deploying
energy and to contribute to the overall more energy-efficient technologies
reduction of the carbon footprint and alternative energy solutions.
in the operations of the Group. A Energy use is monitored real-time To reduce electric
Energy use
hybrid of clean renewable energy using software which sends alerts energy consumption,
and traditional energy is employed to whenever high peaks are reached. solar lighting
mitigate the negative impact on the This has helped in the control of technology has been
surroundings arising from energy use electricity use especially during heavy incorporated in the
in the production processes. demands. We check our performance design to supplement
To reduce electric energy against our own internal checks and electricity use.
consumption, solar lighting technology against the environmental laws and This has drastically
has been incorporated in the design regulations. This is done annually reduced electricity
consumption for
to supplement electricity use. This via external environmental audits by
lighting during the day
has drastically reduced electricity experts.
consumption for lighting during the day.
Energy use in Kwh
2019 2018 2017

1,063,678 1,148,834 1,175,011
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Waste Management
Our waste management process generated by our operations, the
ensures that waste generated by our Group is committed to efficient waste
operations do not negatively impact management and fully abides by
on the environment. The largest raw legal requirements regarding waste
material consumed by our operations generation, handling and disposal.
is newsprint. The Group works with NEMA certified In 2019, efficient
In 2019, efficient newsprint waste waste handling and disposal partners newsprint waste
management remained a key focus. to ensure that all waste generated management remained
Newsprint consumption was lesser from our processes, including waste a key focus. Newsprint
vis-à-vis 2018 consumption partly that is categorised as hazardous consumption was
lesser vis-à-vis 2018

due to efficient newsprint waste waste, is managed in accordance and
consumption partly due
management during production. compliance to existing environmental to efficient newsprint
To reduce negative To reduce negative environmental regulations, thus contributing waste management
environmental impacts of toxic and other waste positively to the environment. during production
impacts of toxic
and other waste
generated by our Energy Consumed decreased Waste Management
operations, the
Group is committed 2017-2018 2017-2018
2% 13%
to efficient waste
management and
fully abides by
legal requirements
regarding waste 2018-2019 2018-2019
generation, handling
and disposal 7% 0.9%

Community Sponsorships of the outcomes, has been delayed due to the

changes in the business environment and as
Uganda such, the next phase will be covered in 2020-2021.
In partnership with KFM listener’s family, NMG
Uganda donated assorted baby items to Mother Training
Tereza Orphanage in Namasuba. The homes takes In-house Training
care of orphans as well as abandoned babies. Most of the training across the Group was aimed at
developing skills in specified functional areas and
Tanzania also in leadership. The 8th cohort of Nation Media In partnership with
MCL worked closely with relevant organizations Group’s Media Lab, was launched in August 2019 KFM listener’s family,
on various issues affecting Tanzania. In in partnership with Aga Khan Graduate School NMG Uganda donated
December 2019, MCL partnered with UNICEF of Media (AKGSM). The curriculum was jointly assorted baby items
to host a discussion that created awareness developed by NMG and AKGSM and focused on to Mother Tereza
on the challenges affecting the Rights of the preparing our talent for deployment to all strategic Orphanage in Namasuba.
The homes takes care
Child at The National Council for areas of the business in print, digital
of orphans as well as
Technical Education (NACTE). and broadcast. The program was abandoned babies.
The discussion addressed for five (5) months and had 16
the overall child deprivation, students, 12 from Kenya, 2 from
poverty rates, children living in Tanzania and 2 from Uganda.
multi-dimensional poverty and Other trainings included
solutions that can improve the 63 staff members attended
situation across the country. the Leadership Excellence
MCL worked closely with Acceleration and Leadership
Human Capital relevant organizations on Development Programmes
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various issues affecting facilitated by Strathmore
Following the digital disruption Tanzania. In December Business School; 84 staff were fr
in the media industry, the Group 2019, MCL partnered with taken through Health and Safety
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embarked on measures to training; 410 staff attended data
Africa for
UNICEF to host a discussion
review our structures to align and gender journalism training;
that created awareness on
our operations and people to and 99 staff attended training on 55
the changes in our business
the challenges affecting libel as a measure to reduce libel
environment. This is to ensure the Rights of the Child at cases.
that we are efficient and effective The National Council for Two (2) managers in MCL
f
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in the delivery of content on all Technical Education (NACTE) were enrolled on the Wan-Ifra
platforms. Recruitment of talent Media Management Accelerator
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with the right skill set seeks program which aims at
to ensure that NMG’s human developing full digital spectrum
capital continues to position knowledge (From Digital
the business to win in the revenue creation, strategy and
transformation journey of being a diversification to innovation and
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modern digital content company. integrating a start-up culture).
This is so even while keeping The program will last between
alive our values of continuous 9-12 months.
improvement and innovation in Seven (7) of MCL’s journalists
content ideation, generation, 84 staff were taken through underwent a 6 months
curation and delivery. Health and Safety training; 410 sponsorship program offered
staff attended data and gender by Bloomberg Media Initiative
journalism training; and 99 staff
Corporate Culture Values attended training on libel as a
Africa. The program aims at
and Change Program - measure to reduce libel cases improving business reporting
Update skills on data and financial
analysis.
As part of the change management
program a number of initiatives were undertaken External Training
across the Group including employee led networks In 2019, the group sponsored two (2) managers
were put in place to enhance teamwork; employee to attend Program for Management Development
survey – Your Voice Survey was conducted in (PMD) which covered learning through
August 2019 to establish engagement and internationally acknowledged business case
satisfaction; Between October to November 2019 studies and exposure to Gordon Institute of
teams reviewed their team feedback to determine Business Science (GIBS) in South Africa.
critical areas for intervention. The implementation

Awards and Recognition
T
he Group and the staff continued to receive a Local Awards
number of international, regional and local
awards. This was a continued recognition of Kenya
its exemplary work and the stellar performance 8th Annual Journalism Excellence Awards 2019
Me of our staff. (AJEA)-
di The highlight of the awards was NTV Kenya • Devolution Reporting
Senior Reporter, Rose Wangui’ s international • Governance Reporting
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recognition and celebration for telling stories with • Sports Reporting

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a strong sense of purpose to tackle unique and • Health Reporting

56 taboo stories that usually get buried in headlines. • ICT Reporting
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Her stories were selected because of the impact • Gender Reporting

on society and the communities. • Business Reporting
fr International Awards Sanaa Theatre Awards

• Best Theatre, Art and Culture Magazine
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Kenya and Uganda
The following individuals and teams were Uganda (MPL, KFM & NTVU)
recognized internationally:- Media challenge initiative (Funded by the US
• Rose Wangui-Senior Reporter was the winner Embassy & Deutsche Welle)
of Knight International Journalism Award for • Kyamagero Andrew, Best Female English
2019 awarded by The International Centre for News Anchor
Journalists (ICFJ) • Farida Nakazibwe, Best female Luganda News
• Elias Makori – Editor, Sports- African Media Anchor
Personality of the year awarded by the • Frank Walusimbi, Best male Luganda news
Voice Magazine in conjunction with the Voice anchor
Achievers Award
• Eunice Amollo – Reporter – Africa Media Uganda Bankers Association and the Institute of
Health Network (AMHN) Excellence in Health Financial Services
Journalism Award 2019 by Africa Network on • Outstanding Financial and Business Reporter
Health.
The Group and the • Frederic T. Musisi-Reporter was the winner Uganda Press Photo Awards (UPPA)
staff continued to of the Editors and Publishers International • Uganda Press Photo awards
receive a number Association Award for best Business
of international, Reporting. Tanzania
regional and local • Michael J. Ssali-Reporter was the winner Excellence in Journalism Awards Tanzania
awards. This of ICHAD and SMART in Washington DC (EJAT) in 2019
was a continued University in St. Louis (Missouri State) for • Health Category
recognition of its
research case study on empowering HIV/AIDS • Education Category
exemplary work
and the stellar infected and affected orphans and inculcating
performance of a saving culture into the vulnerable children in Tanzania Editors Forum (TEF and UNICEF
our staff Masaka Region - Central Uganda. Tanzania)
• Children Reporting

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Media of
Africa Renaissance monument
This 49-meter-high bronze statue in the capital Dakar in
West Africa symbolizes Africa’s rennaissance, the triumph
for Africa
of African liberation. It marks the rebirth of the continent
after years of colonial rule. It is a reflection of Africa
Rising - culturally, financially and geopolitically.

Our Leardership
Board of Directors
W D Kiboro Chairman (Kenyan)
S Gitagama Chief Executive Officer/ Managing Director (Kenyan)
D Aluanga (Kenyan)
S Dunbar-Johnson (British)
S Hassan (Kenyan) Appointed on 26th September 2019
L Huebner (American)
Y Jetha (British)
S Kagugube (Ugandan) Deceased 15th February 2020
J Montgomery (British) Resigned on 31st March 2019
W Mwangi (Kenyan)
L Mususa (Tanzanian)
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L Otieno (Kenyan)
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A Poonawala (Swiss)
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A Ramji (British) Appointed on 27th March 2020
fr R Tobiko (Kenyan) Appointed 1 March 2019

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J C Kinyua Secretary (Kenyan) Resigned on 1st February, 2020
S. Owino Interim Company Secretary (Kenyan)

FINANCIAL STATEMENTS
Our THE
FOR Leardership
YEAR ENDED 31 DECEMBER 2019
Board of Directors Profiles
Dr. Wilfred Kiboro (75) holds a Bachelor Mr. Stephen Gitagama (53) holds an MBA
of Science (Civil Engineering) from the and a Bachelor of Commerce (Accounting)
University of Nairobi. He retired from NMG from the University of Nairobi and is a
as the Group Chief Executive Officer on 31st Certified Public Accountant of Kenya. He is
October 2006 after working for the Company the Group Chief Executive Officer and was
for thirteen years. He was appointed a appointed to the Board in March 2008. He
non-executive director in December 2006 previously worked as a Finance Director
and was elected the Chairman of the Board with East African Breweries Limited. Mr.
in September 2009. Dr Kiboro was awarded Gitagama is an executive director and
an honorary Doctor of Philosophy degree is a director of the Group’s Subsidiary
by Kenyatta University in December 2015. Companies and is a member of the Strategy
He is a non-executive director and is a and Investments, the Nominations and
member of the Nominations and Governance Governance and the Editorial Committees.
Committee. Dr. Kiboro is the Chancellor
of Riara University and the Chairman of
Family Bank Limited and Wilfay Investments
Limited, a family owned enterprise. 61
Mr. Dennis Aluanga (52) holds an MBA Mr. Stephen Dunbar-Johnson (57) is
from the University of Edinburgh (United a graduate of Worth School and Kent
Kingdom) and is a Certified Public University in the United Kingdom. He
Accountant of Kenya. He was appointed to has attended an Executive Management
the board in March 2009. He is a Partner program at the Wharton School, University
at Helios Investment Partners, an Africa of Pennsylvania (USA) and has undertaken
focused private equity firm. He was the Sulzberger program at the Colombia
previously the Chief Operating Officer at School of Journalism (USA). He is the
Industrial Promotion Services (East Africa) President, International of the New York
and has also worked at NMG as the Group Times Company and is responsible for the
Finance Director and the Chief Operating oversight and strategic development of the
Officer. He is a non-executive director of company’s international digital and print
Telkom Kenya Limited and Vivo Energy business. Previously, he was the Publisher
Kenya Limited. Mr. Aluanga is a non- of the International Herald Tribune. He was
executive director and is a member of the appointed to the Board in April 2018 and is
Nominations and Governance, Strategy and a member of the Strategy and Investments
Investments and the Editorial Committees. Committee.

Our
FOR THE YEAR ENDED 31 Leardership
DECEMBER 2019
Board of Directors Profiles (continued)
Mrs. Sumayya Hassan (46) holds a Master Prof. Lee Huebner (79) holds a Ph.D and
of Laws(LL.M) degree from the university an MA from Harvard University and a BA
of Bristol and a Bachelor of Laws (LL.B) from Northwestern University (USA) and is a
degree from Lancaster University. She is Professor of the School of Media and Public
an Advocate of the High Court of Kenya and Affairs at The George Washington University
has a Postgraduate diploma in law from the in Washington, D.C. (USA). He was formerly
Kenya School of Law. Mrs Hassan is also a professor at Northwestern University
a director at Takaful Insurance of Africa and has also served as the Chief Executive
Limited. She was previously the Managing Officer of the International Herald Tribune in
Director and Chief Executive Officer if the Paris for fourteen years. He joined the board
National Oil Corporation of Kenya. She was in December 1995. Prof. Huebner is a non-
appointed to the Board as an Independent executive director and is the Chairman of the
Non-Executive director in September, 2019 Nominations and Governance Committee
and is a member of the Editorial Committee and is a member of the Strategy and
and the Strategy and Investments Investments Committee.
Committee.
62
Mr. Leonard Mususa (66) is a Fellow of the Association Mr. Francis Okomo Okello (70) holds a Bachelor of Laws
of Chartered Certified Accountants (UK) and the Certified Degree from the University of Dar es Salaam, Tanzania and is
Public Accountants of Tanzania. Currently a Private an Advocate of the High Court of Kenya. He is an Albert Parvin
Management Consultant, he was the Country Senior Fellow of Princeton University, Woodrow Wilson School of Public
Partner of PricewaterhouseCoopers in Tanzania until and International Affairs (USA) as well as a Fellow of the Kenya
his retirement in June 2014. He also served in other Institute of Bankers (FKIB). He joined the board in December
roles, including Head of Assurance Risk and Quality 1995. Mr. Okello is an Independent Non-Executive Director of
of the PwC Africa Central Region for three years and Absa Group Limited (formerly Barclays Africa Group Limited)
Head of Risk, Independence and Quality in the PwC East and the immediate former Chairman of Absa Bank Kenya PLC (
African Market area for two years. He was appointed formerly Barclays Bank of Kenya PLC). He is the Chairman of TPS
to the NMG board as an independent non-executive Eastern Africa Limited (Serena Group of hotels and lodges). He
director in March 2015. He is the Chairman of the is a member of the Advisory Board of the Strathmore Business
Audit, Risk and Compliance Committee, a member of School, Strathmore University and is also a member of the
the Human Resources and Remuneration Committee Advisory Committee of the Aga Khan University, Faculty of Arts
and the Chairman of Mwananchi Communications and Sciences- East Africa. He is the Executive Director in charge
Limited in Tanzania. He is also a director of NMB Bank of Legal and Corporate Affairs at Industrial Promotion Services
PLC (Tanzania), Tanzania Breweries PLC and Reliance (East Africa). Mr Okello is a non-executive director and is the
Insurance Company (Tanzania) Limited. Chairman of the Editorial Committee.

Our THE
FOR Leardership
YEAR ENDED 31 DECEMBER 2019
Dr. Yasmin Jetha (67) holds a masters degree Mr. Wangethi Mwangi (67) holds a Masters of Business
in Management Science from Imperial College Administration degree in Strategic Management from
(London), and is a Fellow of the Chartered Institute Strathmore University and a Bachelor of Arts in Literature in
of Management Accountants. She was awarded an English and Political Science from the University of Nairobi, a
honorary Doctor of Laws degree by the University of Post Graduate Diploma in Mass Communication and a Certificate
Leicester in 2005, and was made an honorary Fellow in Professional Mediation. He is a media professional with more
of the University of Bedfordshire in 2011. She is than 30 years’ experience in journalism. He previously worked for
currently a non-executive director of The Royal Bank NMG rising to the position of Group Editorial Director.
of Scotland Group Plc and also Guardian Media Group He is currently serving as a senior advisor to the African Media
in the United Kingdom. During her executive career, Initiative, a Pan African organization which seeks to strengthen
she was the Chief Information Officer at Bupa and the media section to support national and continental efforts
prior to that Chief Operating Officer at the Financial to achieve economic growth, democratic governance and
Times. Dr Jetha joined the board in September social development. He has served as a member of the Media
2009 as an independent non-executive director and Complaints Commission of Kenya and remains a member of the
is the Chairperson of the Human Resources and Kenya Editors Guild, which he helped set up.
Remuneration Committee, and a member of the Mr Mwangi was appointed to the board as a non-executive
Strategy & Investments Committee. director in July 2017 and is a member of both the Editorial and 63
Human Resources & Remuneration Committees.
Mr. Louis Otieno (55) holds Master of Business Mr. Anwar Poonawala (73) holds a Master of
Administration and Bachelor of Science degrees from Long Science (Industrial Engineering) and an MBA
Island University and Mercy College (NY, USA), respectively. from the University of Iowa (USA). He joined
Mr. Otieno began his ICT professional career in the USA, rising the board as a non-executive director in June
to the position of Assistant Vice President at EEC Financial 1989. He has been associated with the Aga
Services in New York. He then joined Microsoft Corporation in Khan Development Network for over thirty
1997, leading its expansion across Africa in various capacities years and retired in 2006 as the director
for over 20 years. He has served on advisory basis to various of Industrial Promotion Services based in
African governments as well as being a member of the boards Paris, France. Mr. Poonawala is a director
of Kenya Vision 2030 and the COMESA Business Council. of AKFED. He is a member of the Audit,
He has also served on various private and public company Risk and Compliance, the Nominations and
boards, giving guidance on digital transformation initiatives. Governance and the Human Resources and
He is a non-executive director at Absa Bank Kenya Limited. Remuneration Committees.
He is the Chairman of the Board of Absa Asset Management
Limited. Mr. Otieno was appointed to the board as an
independent non-executive director in July 2017. He chairs the
Strategy & Investments Committee and is a member of the
Human Resources and Remuneration Committee.

Our
FOR THE YEAR ENDED 31 Leardership
DECEMBER 2019
Mr. Al-Noor Ramji (64) is the Group Chief Digital Mr. Richard Tobiko (46) holds an MBA from
Officer for Prudential PLC where is he responsible Warwick Business School, University of Warwick
for developing and executing an integrated long- (UK) and a Bachelor of Commerce (Accounting
term digital strategy for the group. Before joining Option) degree from the University of Nairobi.
Prudential PLC, he worked at Northgate Capital, a He is a Certified Public Accountant (CPA - K)
venture capital firm in Silicon Valley where he run and a member of the Institute of Certified Public
technology focused funds. Prior to that he worked Accountants of Kenya (ICPAK). He has previously
at BT Group PLC as Chief Information Officer, Qwest worked with several local and global organizations
Communications, Dresdner Kleinworth Benson in the manufacturing and services sector; most
and Sweiss Bank Corporation. He is the founder of notably KETRACO where he was General Manager,
Webtek Software Pvt Ltd. Mr. Ramji is on the board Finance and Strategy, General Electric (GE) as
of Virtusa Corp., Netnumber.com Inc., iSoftStone Centre Leader for Sub Saharan Africa shared
Holdings Ltd. and Argo Group International Holdings services hub and African Development Bank as
Ltd. He received an undergraduate degree from the a Financial Management Consultant. He was
University of London. He is a member of the Audit appointed Group Finance Director in October 2018
Risk & Compliance Committee and the Strategy & and joined the Board as an Executive Director on
64 Investments Committee. 1 March 2019 and he is a member of the Strategy
and Investments Committee.
Sekou Owino (47) is currently the Interim

Company Secretary and Head of Legal &
Training at Nation Media Group PLC and he
has been with the company for 15 years. He is
the holder of Bachelor of Laws (LL.B) degree
from the University of Nairobi, a postgraduate
Diploma from the Kenya School of Law, and
is an Advocate of the High Court of Kenya
and a Certified Public Secretary in addition
to being a certified Corporate Governance
Trainer. Prior to joining Nation Media Group
PLC, Mr. Owino worked at Hamilton Harrison &
Mathews Advocates as a Legal Assistant, and
also at EABS Bank (now Ecobank Limited). He
was appointed Interim Company Secretary in
February 2020.

FOR THE YEAR ENDED 31 DECEMBER 2019
65

REPORT OF THE DIRECTORS

The directors have pleasure in presenting their report and the audited financial statements for the year ended 31 December
2019, which disclose the state of affairs of Nation Media Group PLC (the “Company”) and its subsidiaries (together the “Group”).
PRINCIPAL ACTIVITIES
The principal activities of the Group are the publication, printing and distribution of newspapers, radio and television broadcasting
and digital online products, in the East African countries of Kenya, Uganda, Rwanda and Tanzania.
BUSINESS REVIEW
Kenya experienced a challenging economic environment with declining domestic demand, missed tax collection targets, reduced
credit available to the private sector and staff layoffs by several corporates during the year. A number of listed companies on the
Nairobi Securities Exchange issued profit warnings, while others reported reduced earnings as a result of the harsh business
environment.
In Uganda, the macro environment was fairly stable since the beginning of the year with the Central Bank Rate (CBR) remaining
constant most of the year at 10% and dropping to 9% in October 2019. The highest headline inflation rate was 3.6% in December
2019. In Tanzania, growth was moderate driven by increased infrastructure development, agriculture, transport and low inflation
at 3%. Despite the positive growth in these economies, the impact was not felt across many businesses.
The Group’s performance was mainly impacted by reduced advertising spend on traditional media platforms partly attributable
to changes in the regulatory environment and budget cuts by major advertisers as the challenging economic environment
continues to suppress resources available for businesses. The performance was also dampened by higher newsprint costs and
investment in new initiatives aimed at creating alternative revenue streams for the Group. Overall performance was substantially
cushioned by reduced operating costs focused on optimizing current operations.
Group turnover at Shs 9.1 billion was 6.3% lower than prior year while total comprehensive income at Shs 0.9 billion was 18.4%
below the previous year.
66
The results of the Group for the year are set out in the Group statement of comprehensive income on page 84.
KEY PERFORMANCE HIGHLIGHTS
2019 2018 2017 2016 2015

Shs m Shs m Shs m Shs m Shs m
Performance
Revenue 9,050.9 9,660.6 10,624.9 11,324.8 12,339.5
Profit before income tax 1,296.4 1,634.0 1,954.6 2,460.0 2,823.2
Total comprehensive income for the year 862.6 1,056.7 1,350.9 1,634.7 2.071.1
Financial position
Non-current assets 5,184.7 4,770.0 5,009.2 5,010.8 5,171.8
Net current assets 3,338.3 3,137.6 3,190.4 3,707.3 3,933.8
Non-current liabilities (725.5) (30.0) (33.3) (15.2) (151.9)
Non-controlling interest (63.9) (56.7) (51.0) (47.0) (48.4)
Equity holders funds 7,733.6 7,820.9 8,115.3 8,655.9 8,905.3
Profit before tax as a percentage of revenue (%) 14.32 16.91 18.40 21.72 22.88
Earnings per share (Shs) 4.50 5.90 6.92 8.94 11.79
Dividends per share (Shs) 1.50 5.00 10.00 10.00 10.00
Dividends cover (times) 3.00 1.18 0.69 0.89 1.18
Capital expenditure – Excluding ROU Assets 183.5 276.9 417.6 370.8 1,525.9

REPORT OF THE DIRECTORS (continued)

PRINCIPAL RISKS AND MITIGATING STRATEGIES
The Group’s principal risks are set out below. These risks have been assessed considering their potential impact and likelihood
of occurrence, and the resultant residual risk based on management controls and actions put in place to mitigate the residual
risk.
Principal risks Mitigating strategies

1. Reputation risk • Improved consumer service training for staff.
Damage to NMG’s reputation as a result of actions, • Create awareness among staff on NMG’s key reputational risks.
behaviour or performance that falls short of stakeholder
expectations. • A “Ready for Regulation” strategy to ensure compliance with regulatory
issues.
• Develop an escalation matrix within the Group for escalating
reputational issues.
• Improve the editorial gatekeeping function and compliance with
editorial policy.
• Develop a communication protocol for the Group including a social
media policy.
• Continuous scanning of the social media and responding appropriately.
• Robust stakeholder management.
2. Concentration risk • Exploring new revenue streams.

Heavy reliance on print media and circulation revenue as • Fully entrenching the digital/mobile first digital model and embedding
the primary source of revenue. the digital culture in the organization.
• Focus on developing or acquiring unique, relevant content.
3. Litigation risk • Establishing and implementing robust internal controls within the 67
company to prevent such occurrences.
Defamatory content/information/message about an
individual or company published or aired by the Group • Putting in place disciplinary measures for offenders.
exposes Nation Media Group PLC to increased legal suits
from persons impacted by the Group’s content. • Enforcing strict adherence of the editorial policy.
• Proactive training of staff on new media laws and regulations to comply
without compromising product quality.
• Robust management of legal cases.
4. Default risk • Strict credit control and vetting credit clients/transactions.
Failure of a counterparty to a financial transaction to
fulfill its financial obligation to Nation Media Group PLC. • Review debt collection continuously.
• Engage debt collectors where applicable.
• More judicious approval of credit to clients.
• Requirement for providing bank or insurance guarantees.
5. Regulatory and compliance risk • Continuous engagement with a wide set of stakeholders in the industry.
Changing regulations threaten NMG’s competitive • Strict enforcement of Editorial Policy and Guidelines as a tool to ensure
position and its capacity to efficiently conduct business. quality journalism.
• Performing regular regulatory development assessment.
• Regular training on changing regulatory requirements.
• Ensuring compliance with all relevant laws, regulations and standards.

REPORT OF THE DIRECTORS (continued)

DIVIDENDS
The Group is making extensive investments in innovation to grow new revenue streams and gradually transition to digital media
becoming a significant contributor of its revenue as the scope for growth in the legacy media business declines gradually. The
contemplated investments will require substantial resources including material cash reserves to actualize the initiatives.
Considering the above, the Directors do not recommend payment of a final dividend for the year. Consequently, the interim
dividend of Shs 1.50 (60 per cent) per share on the issued capital of 188,542,286 ordinary shares of Shs 2.50 each, paid on 30th
September 2019, will be the total dividend per share and will be deemed as the final dividend for the year ended 31 December
2019 (2018: Shs 5.00 per share).
BONUS SHARE ISSUE
The Directors recommend, subject to approval by the Capital Markets Authority, the Nairobi Securities Exchange Plc, and the
shareholders at the Annual General Meeting, a bonus share issue of one new fully paid ordinary share for every ten shares held
in the capital of the Company, to the shareholders on the register of members at the close of business on 12th June 2020. The
new shares shall not qualify for payment of any dividend for the year 2019.
DIRECTORS
The directors who held office during the year and to the date of this report are set out on page 60.
Mrs. S. Hassan was appointed to the Board on 26th September, 2019 in accordance with Article 96 of the Company’s Articles of
Association.
Mr. A. Ramji was appointed to the Board on 27th March, 2020 in accordance with Article 96 of the Company’s Articles of Association.
Dr. Y. Jetha, Mr. L. Mususa and Mr. W. Mwangi are directors who retire by rotation in accordance with Article 110 of the Company’s
68 Articles of Association and being eligible, offer themselves for re-election.
Dr W. Kiboro, Prof. L. Huebner, Mr. F.O. Okello and Mr. A. Poonawala are directors who being over the age of 70 retire in
accordance with Article 101 of the Company’s Articles of Association and offer themselves for election as directors of the
Company for a further period of one year.
By order of the Board
S Owino
Interim Company Secretary
17 April 2020

69

Ripoti ya Wakurugenzi Wakuu

Wakurugenzi Wakuu wana furaha ya kuwawasilishia ripoti pamoja na taarifa za kifedha zilizokaguliwa za mwaka uliomalizikia
mnamo Desemba 31, 2019, taarifa inayoweka bayana hali halisi ya shughuli za Nation Media Group PLC (“Kampuni”) na
mashirika yake tanzu (kwa pamoja yakiitwa “Shirika”).
SHUGHULI KUU
Shughuli kuu za Shirika hili ni pamoja na machapisho, uchapishaji na usambazaji wa magazeti, redio na utangazaji wa runinga
pamoja na bidhaa za mtandao wa kidijitali, katika ukanda mzima wa mataifa ya Afrika Mashariki, mataifa hayo yakiwa ni Kenya,
Uganda, Rwanda na Tanzania.
TATHMINI YA KIBIASHARA
Kenya ilikumbwa na changamoto ya mazingira ya kiuchumi huku pakiwa na upungufu mkubwa wa uhitaji wa bidhaa zetu
katika ukanda huu, kukosa malengo yaliyopangwa ya ukusanyaji wa ushuru, kupungua kwa njia za kupatikana kwa mikopo
kwenye sekta ya kibinafsi na kufutwa kazi kwa wafanyikazi na mashirika mengi ya kibinafsi katika mwaka huo. Kampuni nyingi
wanachama wa Shirika la Ubadilishanaji wa Hisa la Nairobi zilitangaza onyo na tahadhari ya faida, huku kampuni nyingine
zikiripoti mapato ya kiwango cha chini kutokana na mazingira magumu ya kibiashara.
Huko Uganda, mazingira ya kiuchumi kwa ujumla yalikuwa na afadhali kutoka mwanzoni mwa mwaka, huku Viwango vya Benki
Kuu ya Uganda (CBR) vikibakia katika 10% kwenye kipindi chote cha mwaka na pia kupungua hadi 9% mnamo mwezi Oktoba
2019. Kiwango cha juu zaidi cha mfumuko wa bei kilikuwa 3.6% mnamo mwezi Desemba 2019. Huko Tanzania, ukuaji ulikua
wa kiwango wastani ukizingatia kuongezeka kwa maendeleo ya kimuundo-msingi, kilimo, uchukuzi na kiwango cha chini cha
mfumuko wa bei wa 3%. Licha ya uchanya wa ukuaji huo kwenye chumi hizi, athari haikusikika katika nyanja zote za kibiashara.
Matokeo ya kibiashara ya Shirika hili yaliathirika pakubwa kutokana na kupungua kwa viwango vya wateja wanaotangaza
biashara zao katika vyombo vya kawaida vya kutangazia huku hali hiyo ikichangiwa na mabadiliko kwenye mazingira ya sheria
za kiushirika. Kadhalika, hii ni pamoja na kupunguzwa kwa bajeti za matangazo kutoka kwa mashirika yanayotupatia biashara
hususan wakati huu ambapo changamoto za mazingira ya kiuchumi zinapoendelea kubana rasilimali za kibiashara. Matokeo
70 haya pia yalidumazwa na gharama ya juu ya uchapishaji pamoja na uwekezaji wa mikakati mipya inayolenga kuunda njia
m’badala za mapato ya Shirika hili. Matokeo ya jumla yalisaidiwa kiasi kutokana na kupungua kwa gharama ya kiutendakazi
huku yakizingatia zaidi kushughulikia hali halisi ya sasa ya biashara yetu.
Mauzo ya jumla ya Shirika ya Shilingi Bilioni 9.1 yalikuwa chini ya 6.3% ya mwaka uliotangulia huku mapato ya jumla ya Shilingi
Bilioni 0.9 yakiwa chini ya 18.4% ya mwaka uliotangulia.
Matokeo ya mwaka ya Shirika yameelezewa kwa kina kwenye taarifa ya Shirika ya mapato ya jumla katika ukurasa wa 84.
VIPENGELE MUHIMU VYA MATOKEO
2019 2018 2017 2016 2015

Matokeo
Mapato 9,050.9 9,660.6 10,624.9 11,324.8 12,339.5
Faida kabla ya ushuru wa mapato 1,296.4 1,634.0 1,954.6 2,460.0 2,823.2
Mapato yote ya jumla ya mwaka mzima 862.6 1,056.7 1,350.9 1,634.7 2.071.1
Hali halisi ya kifedha
Uwekezaji wa mali wa muda mrefu 5,184.7 4,770.0 5,009.2 5,010.8 5,171.8
Mali iliyopo kwa sasa 3,338.3 3,137.6 3,190.4 3,707.3 3,933.8
Madeni ya muda mrefu (725.5) (30.0) (33.3) (15.2) (151.9)
Asilimia ndogo ya usimamizi wa kibiashara (63.9) (56.7) (51.0) (47.0) (48.4)
Hazina ya umiliki kwenye uwekezaji 7,733.6 7,820.9 8,115.3 8,655.9 8,905.3
Faida kabla ya ushuru kama asilimia ya mapato (%) 14.32 16.91 18.40 21.72 22.88
Mapato kwa kila hisa (Shs) 4.50 5.90 6.92 8.94 11.79
Migao ya kila hisa (Shs) 1.50 5.00 10.00 10.00 10.00
Migao ya mapato (times) 3.00 1.18 0.69 0.89 1.18
Matumizi ya mtaji – Bila ya kuhusisha Mali ya ROU 183.5 276.9 417.6 370.8 1,525.9

Ripoti ya Wakurugenzi Wakuu (inaendelea)

HATARI KUU PAMOJA NA MIKAKATI YA KUPUNGUZA HATARI HIZO
Athari kuu za Shirika zimeelezewa hapo chini kama ifuatavyo. Hatari hizi zimetahminiwa kwa kuzingatia kuwepo kwa uwezekano
wa athari zake, pamoja na matokeo ya hatari zitakazojitokeza kulingana na uthibiti pamoja na hatua za kiusimamizi zilizowekwa
ili kupunguza matokeo ya hatari hizo.
Hatari Kuu Mikakati ya Kupunguza Hatari

1. Hatari ya sifa • Kuimarika kwa mafunzo ya huduma ya watumiaji kwa wafanyikazi.
Uharibifu wa sifa za Shirika la NMG kutokana na • Kuunda ufahamu kati ya wafanyikazi wa shirika la NMG kuhusu hatari kuu.
maamuzi, tabia ama matokeo ambayo hayatimizi
matarajio ya mshikadau. • Mkakati wa “Tayari kwa Usimamizi” ili kuhakikisha uzingatiaji wa masuala ya
kisheria.
• Andaa kitariki cha kubainisha ndani ya Shirika kwa kuyaweka wazi masuala
ya sifa.
• Imarisha jukumu la uongozi wa uhariri na uzingatiaji wa sera za uhariri.
• Andaa itifaki ya mawasiliano ya Shirika ili kushirikisha sera ya mtandao wa
kijamii.
• Utambazaji unaoendela wa mtandao wa kijamii na kutoa majibu kwa njia
inayofaa.
• Usimamizi mkubwa wa washikadau.
2. Mkusanyiko wa hatari • Kutafuta njia nyingine za mapato mapya.

Utegemezi mkubwa wa vyombo vya uchapishaji
pamoja na mapato ya usambazaji kama vyanzo vya • Kujihusisha kikamilifu kwenye mfumo wa kidijitali/simu za rununu na
msingi wa mapato. kupachika tamaduni ya kidijitali kwenye Shirika hili.
• Zingatia katika kuandaa au kupata taarifa iliyoko ya kipekee na inayofaa.
3. Hatari ya kimashtaka • Kuanzisha na kutekeleza mifumo thabiti ya usimamizi wa ndani katika 71
kampuni ili kukinga matokeo kama hayo.
Taarifa iliyopo ya kashfa/habari/ujumbe kuhusu mtu
ama kampuni iliyochapisha ama kutangazwa na • Kuanzisha mikakati ya kinidhamu kwa ajili ya wakoseaji.
Shirika inaliweka wazi au kuanika Nation Media Group
PLC kwa kesi nyingi kutoka kwa watu walioathirika na • Kuhakikisha kwamba pana ufuatiliaji wa sera ya uhariri.
taarifa au habari hiyo ya Shirika. • Kufundishwa mapema kwa wafanyikazi kuhusu sheria na masharti mpya za
vyombo vya habari ili kuzingatia bila ya kuchujusha ubora wa bidhaa.
• Usimamizi mkubwa wa kesi za kisheria.
4. Hatari ya chaguo-msingi • Usimamizi wa mikopo mikali na kukagua wateja wa mikopo/miamala.

Kushindwa kwa ubia wa mashirika katika muamala
wa kifedha ili kutimiza jukumu kwa Nation Media • Mara kwa mara, tathmini ukusanyaji wa madeni.
Group PLC. • Washirikishe wakusanyaji wa madeni kila panapofaa.
• Uidhinishaji wa kihekima wa mikopo kwa wateja.
• Mahitaji ya kutoa mahakikisho ya benki pamoja na bima.
5. Hatari ya kisheria na uzingatiaji • Hali ya kuendela kushirikiana na washikadau mbali mbali kwenye sekta hii.
Mabadiliko ya kisheria yanatishia hali ya ushindani wa • Kutekeleza kikamilifu Sera ya Uhariri pamoja na Miongozo kama chombo
kibiashara wa NMG na uwezo wake wa kuendesha cha kuhakikisha kuwepo kwa uanahabari bora.
biashara yake vyema.
• Kufanya utathmini wa maendeleo ya mara kwa mara ya kisheria.
• Mafunzo ya mara kwa mara kuhusu mahitaji ya kisheria
yanayobadilikabadilika.
• Kuhakikisha uzingatiaji wa sheria zote husika, masharti ya kisheria pamoja
na viwango vya ubora.

Ripoti ya Wakurugenzi Wakuu (inaendelea)

MIGAO
Shirika hili linawekeza zaidi katika ubunifu ili kukuza njia m’badala za kuzalisha mapato na kuhamia pole pole katika mfumo wa
kidijitali ambao kwa sasa umekuwa kichangiaji kikuu cha mapato yake huku viwango vya ukuaji wa kibiashara wa vyombo vya
kawaida vya habari ukididimia pole pole. Uwekezaki uliotarajiwa utahitaji mtaji wa kutosha ikiwa ni pamoja na akiba ya pesa
taslimu ili kuifanikisha mipango hiyo.
Kwa kuzingatia maelezo yaliyopo hapo juu, Wakurugenzi hawapendekezi malipo ya mgao wa mwisho ya mwaka huo. Kwa sababu
hiyo, mgao wa kipindi cha mpito wa Shs 1.50 (asilimia 60) kwa kila hisa ya mtaji uliotolewa wa hisa za kawaida 188,542,286 za
Shs 2.50 kwa kila hisa, zilizolipwa mnamo tarehe 30 Septemba 2019, utakuwa ndio mgao kamili kwa kila hisa na utachukuliwa
kuwa ndio mgao wa mwisho wa mwaka uliomalizikia mnamo tarehe 31 Desemba 2019 (2018: Shs 5.00 kwa kila hisa).
HISA YA BONASI ILIYOTOLEWA
Wakurugenzi wakuu wanapendekeza, kwa kutegemea uidhinishaji wa Mamlaka ya Masoko ya Mtaji, Shirika la Ubadilishanaji
wa Hisa la Nairobi, na wenyehisa katika Mkutano Mkuu wa Kila Mwaka, hisa ya banasi iliyotolewa ya hisa moja ya kawaida
iliyolipiwa kikamilifu kwa kila hisa kumi zilizopo kwenye mtaji wa Kampuni, kwa wenyehisa walio kwenye sajili ya wanachama
kufikia mwisho wa muda wa biashara tarehe 12 Juni 2020. Hisa mpya hazitastahiki kufikia kiwango cha malipo ya mgao wowote
kwenye mwaka wa 2019.
WAKURUGENZI WAKUU
Wakurugenzi waliokuwa afisini katika kipindi hicho cha mwaka na mpaka tarehe ya kuandaliwa kwa ripoti hii kama ilivyoelezewa
bayana kwenye ukurasa wa 60.
Bi. S. Hassan aliteuliwa kwenye Bodi mnamo tarehe 26 Septemba, 2019 kuambatana na Kifungu cha 96 cha Sheria ya Vifungu
vya Ushirika wa Kampuni.
72 Bw. A. Ramji aliteuliwa kwenye Bodi mnamo tarehe 27 Machi, 2019 kuambatana na Kifungu cha Sheria cha 96 cha Vifungu vya
Ushirika wa Kampuni.
Dkt. Y. Jetha, Bw. L. Mususa na Bw. W. Mwangi ni wakurugenzi wanaostaafu kwa zamu kuambatana na Kifungu cha 110 cha
Sheria ya Vifungu vya Sheria ya Ushirika wa Kampuni na kwa kuwa wanastahili, wanajitolea ili kuchaguliwa tena.
Dkt. W. Kiboro, Prof. L. Huebner, Bw. F.O. Okello na Mr. A. Poonawala ni wakurugenzi wanaostaafu kuambatana na Kifungu
cha 101 cha Sheria ya Ushirika wa Kampuni na ambao wana umri wa zaidi ya miaka 70, na kuambatana na Kifungu cha 110
cha Sheria ya Vifungu vya Sheria vya Ushirika wa Kampuni na wanajitolea wenyewe ili kuchaguliwa tena kama wakurugenzi wa
Kampuni kwa kipindi cha mwaka mmoja.
Kwa amri ya Bodi Kuu
S Owino
Katibu wa Kipindi cha Mpito
17 Aprili 2020

DIRECTORS’ REMUNERATION REPORT
INFORMATION NOT SUBJECT TO AUDIT
Annual Statement and Statement of company’s policy on directors’ remuneration
The Nation Media Group PLC non-executive directors’ remuneration is recommended by the Human Resources and Remuneration
Committee to the board. The non-executive directors’ fees were held at similar levels to the previous year. Their remuneration
is not pegged on performance.
The executive directors comprise of the Group Chief Executive Officer, the Group Finance Director and the Editor in Chief who
resigned in 2018. Their remuneration is approved by the Chairman of the Board. They have performance targets for the year and
there is an approved bonus policy for the executive directors which is in line with the rest of the employees.
The Group does not run any share option schemes.
Contract of service
The non-executive directors are appointed under a three year contract and are subject to retirement by rotation and are eligible
for re-election at the Annual General Meeting (AGM). Those non-executive directors above the age of 70 are required to retire at
each AGM and are eligible for re-election.
The executive directors are employees who are on permanent and pensionable terms of employment.
Statement of voting at general meeting
During the AGM held on 28 June 2019, the shareholders unanimously authorised the board to fix the remuneration of the non-
executive directors.
73
Summary of the remuneration policy in respect of Non-Executive Directors (NEDs)
The following are highlights of the Board remuneration policy for the Group:
1. All fees of NEDs are fixed and are reviewed after every two years to take into account factors such as the prevailing rate of
inflation and the competitive environment to attract and retain suitably qualified individuals.
2. The fees are paid quarterly and those NEDs who need to allocate more time than the norm are compensated through
payment of sitting allowances.
3. Different rates apply to the Board members, the Chairmen of the various Board Committees and the Board Chairman,
proportionate to the services and responsibilities rendered.
4. NED’s are reimbursed for all business expenses relating to airfare, accommodation, taxis, visa fees incurred on Company
business on actual basis supported by official receipts.
5. The NED’s remuneration is approved by the shareholders in conformity with the Company’s Articles of Association and the
Capital Markets Authority Regulations.
6. The Company had in place a policy for payment on retirement for long serving NEDs. This policy was discontinued in 2012
and there are now only four NEDs, who were appointed prior to September 2008 eligible for such payment on retirement.

DIRECTORS’ REMUNERATION REPORT (continued)

INFORMATION SUBJECT TO AUDIT
The following table shows a single figure remuneration for the executive, Chairman and non-executive directors in respect of
qualifying services for the year ended 31 December 2019 together with the comparative figures for 2018.
The aggregate directors’ emoluments are shown under Note 31(vi).
For the year ended Salary Fees Bonuses Expense Long term/ Total
31 December 2019 allowances terminal
benefits
Shs m Shs m Shs m Shs m Shs m Shs m

Stephen Gitagama 38.8 - - 0.1 2.6 41.5
Richard Tobiko 20.0 - - - 1.2 21.2
Wilfred Kiboro - 5.2 - 0.1 - 5.3
Francis Okello - 2.6 - 0.1 - 2.7
Anwar Poonawala* - 1.7 - - - 1.7
Lee Huebner - 2.3 - - - 2.3
Yasmin Jetha - 2.3 - - - 2.3
Dennis Aluanga - 2.9 - - - 2.9
Sumayya Hassan - 0.4 - - - 0.4
Simon Kagugube - 2.2 - - - 2.2
James Montgomery - 0.6 - - - 0.6
Leonard C Mususa - 2.3 - - - 2.3
Louis Otieno - 1.9 - - - 1.9
Wangethi Mwangi - 3.5 - - - 3.5
74 Stephen Dunbar Johnson - 1.7 - - - 1.7
Totals 58.8 29.6 - 0.3 3.8 92.5
*Payment with respect to services provided by Anwar Poonawala was paid to Aga Khan Fund for Economic Development (AKFED).

DIRECTORS’ REMUNERATION REPORT (continued)

INFORMATION SUBJECT TO AUDIT (CONTINUED)
For the year ended Salary Fees Bonuses Expense Long term/ Total
31 December 2018 allowances terminal
benefits
Shs m Shs m Shs m Shs m Shs m Shs m
Joe Muganda 5.2 - - 0.1 0.2 5.5
Stephen Gitagama 37.4 - - 0.1 2.3 39.8
Tom Mshindi 35.7 - - 0.4 2.4 38.5
Wilfred Kiboro - 5.8 - 0.2 - 6.0
Francis Okello - 2.5 - 0.1 - 2.6
Anwar Poonawala* - 1.7 - - - 1.7
Lee Huebner - 2.3 - - - 2.3
Yasmin Jetha - 2.3 - - - 2.3
Dennis Aluanga - 3.0 - - - 3.0
Olive Mugenda - 1.7 - 0.2 - 1.9
Simon Kagugube - 2.1 - - - 2.1
James Montgomery - 2.9 - - - 2.9
Leonard C Mususa - 2.1 - - - 2.1
Louis Otieno - 1.7 - - - 1.7
Wangethi Mwangi - 3.4 - - - 3.4
Stephen Dunbar Johnson - 1.3 - - - 1.3
Totals 78.3 32.8 - 1.1 4.9 117.1

75
*Payment with respect to services provided by Anwar Poonawala was paid to Aga Khan Fund for Economic Development (AKFED).
On behalf of the Board
Chairperson,
Human Resources and Remuneration Committee
17 April 2020

Our Leardership
Executive Team
Stephen Gitagama Richard Tobiko

Group Chief Executive Officer Group Finance Director
76
Tony Glencross Monicah Ndung’u

Managing Director, Head of Broadcasting, NTV
Nation Media Uganda
Rachel Wanyoike Francis Nanai

Head of Risk and Compliance Managing Director,
Mwananchi Communications Limited

OurYEAR
FOR THE Leardership
ENDED 31 DECEMBER 2019
Executive Team (continued)
Mutuma Mathiu Francis Munywoki

Group Editorial Director Managing Director,
Nation Newspapers Division
77
Clifford Machoka Sekou Owino

Head of Corporate & Interim Company Secretary &
Regulatory Affairs Head of Legal
Caroline Githii
Head of Marketing

WE ALWAYS
MEAN BUSINESS
78
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Nation Media Group | 2019 Annual Report & Financial Statements www. thecitizen.co.tz
Financial
Statements 79
Media of
for Africa
STATEMENT OF DIRECTORS’ RESPONSIBILITIES

The Kenyan Companies Act, 2015 requires the directors to prepare financial statements for each financial year which give a true
and fair view of the financial position of the Group and Company at the end of the financial year and of their financial performance
for the year then ended. The directors are responsible for ensuring that the Group and Company keep proper accounting records
that are sufficient to show and explain the transactions of the Group and Company; disclose with reasonable accuracy at any
time the financial position of the Group and Company; and that enable them to prepare financial statements of the Group
and Company that comply with prescribed financial reporting standards and the requirements of the Kenyan Companies Act,
2015. They are also responsible for safeguarding the assets of the Group and Company and for taking reasonable steps for the
prevention and detection of fraud and other irregularities.
The directors accept responsibility for the preparation and presentation of these financial statements in accordance with
International Financial Reporting Standards and in the manner required by the Kenyan Companies Act, 2015. They also accept
responsibility for:
i. Designing, implementing and maintaining internal control as they determine necessary to enable the preparation of financial
statements that are free from material misstatements, whether due to fraud or error;
ii. Selecting suitable accounting policies and then applying them consistently; and
iii. Making judgements and accounting estimates that are reasonable in the circumstances.
Having made an assessment of the Group’s and Company’s ability to continue as a going concern, the directors are not aware
of any material uncertainties related to events or conditions that may cast doubt upon the Group’s and Company’s ability to
continue as a going concern.
The directors acknowledge that the independent audit of the financial statements does not relieve them of their responsibility.
Approved by the board of directors on 17 April 2020 and signed on its behalf by:
80
Dr. W D Kiboro R Tobiko

Chairman Group Finance Director

INDEPENDENT AUDITOR’S REPORT TO THE

SHAREHOLDERS OF NATION MEDIA GROUP PLC
Report on the audit of the financial statements standards are further described in the Auditor’s responsibilities
for the audit of the financial statements section of our report.
Our opinion
We are independent of the company in accordance with the
We have audited the accompanying financial statements of International Ethics Standards Board for Accountants (IESBA)
Nation Media Group PLC (the Company) and its subsidiaries International Code of Ethics for Professional Accountants
(together, the Group) set out on pages 84 to 124, which (including International Independence Standards) (the IESBA
comprise the Group and Company statements of financial Code) together with the ethical requirements that are relevant
position at 31 December 2019 and the consolidated and to our audit of the financial statements in Kenya. We have
company statements of comprehensive income, changes in fulfilled our other ethical responsibilities in accordance with
equity and cash flows for the year then ended, and the notes to the IESBA Code.
the financial statements, including a summary of significant
accounting policies. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our opinion.
In our opinion, the accompanying financial statements
of Nation Media Group PLC give a true and fair view of the Key audit matters
financial position of the Group and the Company at 31
December 2019 and of their financial performance and cash Key audit matters are those matters that, in our professional
flows for the year then ended in accordance with International judgement, were of most significance in our audit of the
Financial Reporting Standards and the requirements of the consolidated financial statements of the current period. These
Kenyan Companies Act, 2015. matters were addressed in the context of our audit of the
consolidated financial statements as a whole, and in forming
Basis for opinion our opinion thereon, and we do not provide a separate opinion
on these matters. 81
We conducted our audit in accordance with International
Standards on Auditing (ISAs). Our responsibilities under those
Key audit matter How our audit addressed the key

audit matter
Judgement in the estimation of expected credit losses on trade We performed the following audit
receivables. procedures:
The measurement of trade receivables involves the use of significant • We assessed the Group’s
judgements and assumptions in the estimation of the expected credit accounting policies for
losses. As described in note 3 (i) (a) of the financial statements, significant compliance with IFRS 9;
judgements and assumptions are applied in the following areas: • We assessed and tested key
(i) The estimation of the credit risk parameters i.e. probably of default modelling assumptions for
(PD), loss given at default (LGD) and exposure at default (EAD) for trade reasonableness, including the
receivables; and expected payment pattern for
government advertising debt;
(ii) The definition of default, determination of probability of default matrix
• We validated key inputs into
and identification of customers’ accounts with significant deterioration in the ECL model against source
credit quality. documents and reports and
(iii) Determination of expected future payment pattern for government checked for mathematical
advertising debt. accuracy; and
The disclosures on the application of IFRS 9 in the determination of • We checked the financial
expected credit losses are in note 4(b) of the financial statements. statement disclosures for
compliance with IFRS 9.

INDEPENDENT AUDITOR’S REPORT TO THE SHAREHOLDERS

OF NATION MEDIA GROUP PLC (continued)
Other information Auditor’s responsibilities for the audit of the financial statements
The other information comprises the company information, the Our objectives are to obtain reasonable assurance about
corporate governance statement, the chairman’s statement, whether the financial statements as a whole are free from
the directors’ profiles, the report of the directors, the material misstatement, whether due to fraud or error, and to
statement of directors responsibilities, the non-auditable part issue an auditor’s report that includes our opinion. Reasonable
of the directors’ remuneration report, the notice of the annual assurance is a high level of assurance, but is not a guarantee
general meeting, and the report of principal shareholders that an audit conducted in accordance with ISAs will always
which we obtained prior to the date of this auditor’s report, and detect a material misstatement when it exists. Misstatements
the rest of the other information in the Annual Report which can arise from fraud or error and are considered material
are expected to be made available to us after that date, but if, individually or in the aggregate, they could reasonably be
does not include the financial statements and our auditor’s expected to influence the economic decisions of users taken
report thereon. The directors are responsible for the other on the basis of these financial statements.
information. Our opinion on the financial statements does not
cover the other information and we do not and will not express As part of an audit in accordance with ISAs, we exercise
any form of assurance conclusion thereon. professional judgement and maintain professional skepticism
throughout the audit. We also:
In connection with our audit of the financial statements, our
responsibility is to read the other information identified above ● Identify and assess the risks of material misstatement of
and, in doing so, consider whether the other information is the financial statements, whether due to fraud or error,
materially inconsistent with the financial statements or our design and perform audit procedures responsive to those
knowledge obtained in the audit, or otherwise appears to be risks, and obtain audit evidence that is sufficient and
82 materially misstated. appropriate to provide a basis for our opinion. The risk
of not detecting a material misstatement resulting from
If, based on the work we have performed on the other fraud is higher than for one resulting from error, as fraud
information we have received prior to the date of this auditor’s may involve collusion, forgery, intentional omissions,
report, we conclude that there is a material misstatement of misrepresentations, or the override of internal control.
this other information, we are required to report that fact. We
have nothing to report in this regard. ● Obtain an understanding of internal control relevant to
the audit in order to design audit procedures that are
When we read the rest of the other information in the Annual appropriate in the circumstances, but not for the purpose
Report and we conclude that there is a material misstatement of expressing an opinion on the effectiveness of the
therein, we are required to communicate the matter to those Group’s internal control.
charged with governance.
● Evaluate the appropriateness of accounting policies used
Responsibilities of the directors for the financial statements and the reasonableness of accounting estimates and
related disclosures made by the directors.
The directors are responsible for the preparation of financial
statements that give a true and fair view in accordance ● Conclude on the appropriateness of the directors’ use of
with International Financial Reporting Standards and the the going concern basis of accounting and, based on the
requirements of the Kenyan Companies Act, 2015, and for audit evidence obtained, whether a material uncertainty
such internal control as the directors determine is necessary exists related to events or conditions that may cast
to enable the preparation of financial statements that are free significant doubt on the Group’s ability to continue as a
from material misstatement, whether due to fraud or error. going concern. If we conclude that a material uncertainty
exists, we are required to draw attention in our auditor’s
In preparing the financial statements, the directors are report to the related disclosures in the financial
responsible for assessing the Group’s ability to continue as statements or, if such disclosures are inadequate, to
a going concern, disclosing, as applicable, matters related to modify our opinion. Our conclusions are based on the
going concern and using the going concern basis of accounting audit evidence obtained up to the date of our auditor’s
unless the directors either intend to liquidate the Group or to report. However, future events or conditions may cause
cease operations, or have no realistic alternative but to do so. the Group to cease to continue as a going concern.

INDEPENDENT AUDITOR’S REPORT TO THE SHAREHOLDERS

OF NATION MEDIA GROUP PLC (continued)
Auditor’s responsibilities for the audit of the financial statements (continued)
● Evaluate the overall presentation, structure and content extremely rare circumstances, we determine that a matter
of the financial statements, including the disclosures, should not be communicated in our report because the adverse
and whether the financial statements represent the consequences of doing so would reasonably be expected to
underlying transactions and events in a manner that outweigh the public interest benefits of such communication.
achieves fair presentation.
Report on other matters prescribed by the Kenyan
● Obtain sufficient appropriate audit evidence regarding Companies Act, 2015
the financial information of the entities or business
activities within the Group to express an opinion on the Report of the directors
Group’s financial statements. We are responsible for
the direction, supervision and performance of the Group In our opinion the information given in the report of the
audit. We remain solely responsible for our audit opinion. directors’ report on pages 66 to 68 is consistent with the
financial statements.
We communicate with the directors regarding, among other
matters, the planned scope and timing of the audit and Directors’ remuneration report
significant audit findings, including any significant deficiencies
in internal control that we identify during our audit. In our opinion the auditable part of the directors’ remuneration
report on pages 74 to 75 has been properly prepared in
We also provide the directors with a statement that we accordance with the Kenyan Companies Act, 2015.
have complied with relevant ethical requirements regarding
independence, and to communicate with them all relationships
and other matters that may reasonably be thought to bear on 83
our independence, and where applicable, related safeguards. Certified Public Accountants
Nairobi
From the matters communicated with the directors, we
determine those matters that were of most significance in 17 April 2020
the audit of the Group’s financial statements of the current
period and are therefore the key audit matters. We describe CPA Bernice Kimacia, Practising certificate No. 1457
these matters in our auditor’s report unless law or regulation Signing partner responsible for the independent audit
precludes public disclosure about the matter or when, in

Statements of Comprehensive Income

for the year ended 31 December
Group Company
Notes 2019 2018 2019 2018
Shs m Shs m Shs m Shs m
Revenue 5 9,050.9 9,660.6 6,922.3 7,523.5
Cost of sales (1,814.1) (1,808.0) (1,342.0) (1,323.8)
Gross profit 7,236.8 7,852.6 5,580.3 6,199.7
Distribution costs (318.2) (330.7) (225.6) (239.9)
Administrative expenses (4,274.0) (4,349.4) (3,069.1) (3,035.3)
Net impairment losses on financial assets 202.1 (102.8) 198.8 (76.0)
Other expenses (1,735.5) (1,756.9) (1,376.1) (1,560.0)
Operating profit 6 1,111.2 1,312.8 1,108.3 1,288.5
Finance income 8 197.6 243.5 164.8 212.5
Finance costs 8 (84.4) - (70.3) -
Share of profit after income tax of associate 17 72.0 77.7 - -
Profit before income tax 1,296.4 1,634.0 1,202.8 1,501.0
Income tax expense 9 (440.4) (516.5) (403.7) (497.2)
Profit for the year 856.0 1,117.5 799.1 1,003.8
Other comprehensive income:
Items that may be subsequently reclassified to profit or loss
Currency translation differences 22.1 (31.8) - -

Other comprehensive income from associate 17 (15.5) (29.0) - -
6.6 (60.8) - -
84 Total comprehensive income for the year 862.6 1,056.7 799.1 1,003.8
Profit for the year attributable to:
Owners of the parent 849.3 1,112.2 - -
Non-controlling interest 6.7 5.3 - -
856.0 1,117.5 - -
Total comprehensive income attributable to:
Owners of the parent 855.4 1,052.9 - -
862.6 1,056.7 - -
Basic earnings per share (Shs) 10 4.5 5.9 - -
Diluted earnings per share (Shs) 10 4.1 5.4 - -

Statements of Financial Position

at 31 December
Group Company
Notes 2019 2018 2019 2018
CAPITAL EMPLOYED
Attributable to the Company’s equity holders
Share capital 11 471.4 471.4 471.4 471.4
Other reserves 12 (134.9) (136.4) 99.5 102.1
Retained earnings 7,397.1 6,826.0 5,550.2 5,031.3
Proposed dividends 27 - 659.9 - 659.9
7,733.6 7,820.9 6,121.1 6,264.7
Total equity 7,797.5 7,877.6 6,121.1 6,264.7
Non-current liabilities
Deferred income tax 13 27.3 27.6 - -
Lease liabilities 16 692.2 - 571.3 -
Post-employment benefit obligation 26 6.0 2.4 6.0 2.4
725.5 30.0 577.3 2.4
Total equity and non-current liabilities 8,523.0 7,907.6 6,698.4 6,267.1
Non-current assets
Land and buildings 14(a) 595.2 617.3 426.2 444.4
Plant and equipment 14(b) 1,710.0 1,999.8 1,349.6 1,606.8
Right of Use Asset 16 871.6 69.3 702.2 42.3
Intangible assets 15 191.6 225.8 167.7 198.8 85
Investment in associate 17 1,422.6 1,373.8 94.6 94.6
Investment in subsidiaries 18 - - 702.8 774.3
Deferred income tax 13 282.6 309.8 206.0 219.4
Other assets 19 111.1 174.2 111.1 174.2
5,184.7 4,770.0 3,760.2 3,554.8
Current assets
Inventories 20 656.7 1,116.2 508.9 873.8
Receivables and prepayments 21 3,623.0 3,156.5 2,874.1 2,752.8
Cash and cash equivalents 22 1,039.0 867.1 817.3 591.5
Short-term investments 23 1,520.0 1,288.2 1,362.0 1,131.6
Current income tax 73.3 - 40.5 -
6,912.0 6,428.0 5,602.8 5,349.7
Current liabilities
Payables and accrued expenses 24 2,906.0 2,729.5 2,046.0 2,090.6
Provisions 25 537.9 527.2 515.1 506.3
Lease liabilities 16 129.8 - 103.5 -
Current income tax - 33.7 - 40.5
3,573.7 3,290.4 2,664.6 2,637.4
Net current assets 3,338.3 3,137.6 2,938.2 2,712.3
Total assets less current liabilities 8,523.0 7,907.6 6,698.4 6,267.1
The financial statements on pages 84 to 124 were approved and authorised for issue by the board of directors on 17 April 2020
and signed on its behalf by:
Dr. W D Kiboro R Tobiko

Chairman Group Finance Director

Group Statement of Changes in Equity

Attributable to equity holders of the Company
Non-
Share Other Retained Proposed controlling Total
Notes capital reserves Earnings dividends Total interest equity
Shs m Shs m Shs m Shs m Shs m Shs m Shs m
Year ended 31 December 2018
At start of year, as previously reported 471.4 (72.5) 6,302.3 1,414.1 8,115.3 51.0 8,166.3
Impact of initial application of IFRS 9 - - 349.6 349.6 2.4 352.0
At start of year, as adjusted 471.4 (72.5) 6,651.9 1,414.1 8,464.9 53.4 8,518.3
Profit for the year - - 1,112.2 - 1,112.2 5.3 1,117.5
Other comprehensive income, net of tax
Currency translation differences - (30.3) - - (30.3) (1.5) (31.8)
Transfer of excess depreciation - (6.5) 6.5 - - - -
Deferred income tax on transfer - 1.9 (1.9) - - - -
Share of comprehensive income in associate - (29.0) - - (29.0) - (29.0)
Total other comprehensive income - (63.9) 4.6 - (59.3) (1.5) (60.8)
Total comprehensive income for the year - (63.9) 1,116.8 - 1,052.9 3.8 1,056.7
Transactions with owners
Dividends:
- Final for 2017 - - - (1,414.1) (1,414.1) - (1,414.1)
- Interim for 2018 paid 27 - - (282.8) - (282.8) - (282.8)
- Proposed final for 2018 27 - - (659.9) 659.9 - - -
86 - Dividends paid to Non-controlling interest - - - - - (0.5) (0.5)
Total transactions with owners - - (942.7) (754.2) (1,696.9) (0.5) (1,697.4)

At end of year 471.4 (136.4) 6,826.0 659.9 7,820.9 56.7 7,877.6

Group Statement of Changes in Equity

for the year ended 31 December (continued)
Attributable to equity holders of the Company
Non-
Share Other Retained Proposed controlling Total
Notes capital reserves Earnings dividends Total interest equity
Shs m Shs m Shs m Shs m Shs m Shs m Shs m
At start of year 471.4 (136.4) 6,826.0 659.9 7,820.9 56.7 7,877.6
Profit for the year - - 849.3 - 849.3 6.7 856.0
Currency translation differences - 21.6 - - 21.6 0.5 22.1
Transfer of excess depreciation - (6.5) 6.5 - - -
Deferred income tax on transfer - 1.9 (1.9) - - -
Share of comprehensive income in associate - (15.5) - - (15.5) - (15.5)
Total other comprehensive income - 1.5 4.6 - 6.1 0.5 6.6
Total comprehensive income for the year - 1.5 853.9 - 855.4 7.2 862.6
Dividends:
- Final for 2018 - - (659.9) (659.9) - (659.9)
- Interim for 2019 paid 27 - - (282.8) - (282.8) - (282.2)
Total transactions with owners - - (282.8) (659.9) (942.7) - (942.7)
At end of year 471.4 (134.9) 7,397.1 - 7,733.6 63.9 7,797.5
87

Company Statement of Changes in Equity

Share Other Retained Proposed
capital reserves earnings dividends Total equity
Notes Shs m Shs m Shs m Shs m Shs m
At start of year, as previously reported 471.4 104.7 4,635.6 1,414.1 6,625.8
Impact of initial application of IFRS 9 - - 332.0 - 332.0
At start of year, as adjusted 471.4 104.7 4,967.6 1,414.1 6,957.8
Total comprehensive income
Profit for the year - - 1,003.8 - 1,003.8
Transfer of excess depreciation - (3.7) 3.7 - -
Deferred income tax on transfer - 1.1 (1.1) - -
Total other comprehensive income - (2.6) 2.6 - -
Total comprehensive income for the year - (2.6) 1,006.4 - 1,003.8
Dividends:
- final for 2017 paid 27 - - - (1,414.1) (1,414.1)
- interim for 2018 paid 27 - - (282.8) - (282.8)
- proposed final for 2018 27 - - (659.9) 659.9 -
Total transactions with owners - - (942.7) (754.2) (1,696.9)
At end of year 471.4 102.1 5,031.3 659.9 6,264.7

88
At start of year 471.4 102.1 5,031.3 659.9 6,264.7
Total comprehensive income
Profit for the year - - 799.1 - 799.1
Transfer of excess depreciation - (3.7) 3.7 - -
Deferred income tax on transfer - 1.1 (1.1) - -
Total other comprehensive income - (2.6) 2.6 - -
Total comprehensive income for the year - (2.6) 801.7 - 799.1
Dividends:
- final for 2018 paid 27 - - - (659.9) (659.9)
- interim for 2019 paid 27 - - (282.8) - (282.8)
Total transactions with owners - - (282.8) (659.9) (942.7)
At end of year 471.4 99.5 5,550.2 - 6,121.1

Statements of Cash Flows

Group Company
Notes 2019 2018 2019 2018
Operating activities
Cash generated from operations 30 1,967.8 1,142.2 1,881.8 1,066.5
Income tax paid (519.4) (566.6) (471.2) (517.9)
Net cash generated from operating activities 1,448.4 575.6 1,410.6 548.6
Investing activities
Interest received 8 197.6 243.5 164.8 212.5
Purchase of property, plant and equipment 14 (161.6) (129.6) (93.2) (66.8)
Purchase of intangible assets 15 (21.9) (147.3) (20.4) (147.1)
Proceeds from sale of property, plant and equipment 6.0 24.6 4.6 21.8
Dividends received from associate 17 7.7 5.5 7.7 5.5
Dividend received from subsidiary - - 18.7 33.6
Long-term deposit 19 63.1 (13.2) 63.1 (13.2)
Short-term investments 23 (231.8) 325.7 (230.4) 482.3
Net cash generated from / (used in) investing activities (140.9) 309.2 (85.1) 528.6
Financing activities
Dividends paid to non-controlling interest - (0.5) - -
Dividends paid to shareholders of the Company (942.7) (1,696.9) (942.7) (1,696.9)
Payment of lease liabilities 16 (213.2) - (157.0) -
Net cash used in financing activities (1,155.9) (1,697.4) (1,099.7) (1,696.9)
Net increase/(decrease) in cash and cash equivalents 151.6 (812.6) 225.8 (619.7) 89
Movement in cash and cash equivalents
At start of year 867.1 1,692.6 591.5 1,211.2
Increase/(Decrease) in cash and cash equivalents 151.6 (812.6) 225.8 (619.7)
Exchange gains/(losses) on cash and cash equivalents 20.3 (12.9) - -
At end of year 22 1,039.0 867.1 817.3 591.5

Notes to the financial statements

1 General information a) IFRS 16 Leases
b) Annual improvements 2015-2017 Cycle
Nation Media Group PLC (the “Company”) is incorporated in c) IFRIC 23 Uncertainty over Income Tax Treatments
Kenya under the Kenya Companies Act as a public limited d) Prepayment Features with Negative Compensation –
liability company, and is domiciled in Kenya. The address of its Amendments to IFRS 9
registered office is: e) Long-term Interests in Associates and Joint Ventures –
Amendments to IAS 28, and
Nation Media Group PLC f) Plan Amendment, Curtailment or Settlement –
Nation Centre Amendments to IAS 19.
Kimathi Street
P O Box 49010 - 00100 The Group had to change its accounting policies as a result
Nairobi of adopting IFRS 16. The Group elected to adopt the new
rules using the modified retrospective approach where
The Company’s shares are listed on the Nairobi, Kampala, Dar the cumulative effect of initially applying the new standard
es Salaam and Kigali Stock Exchanges. resulted in recognition of a right of use asset and lease liability
of Shs 950.8million (Company – Shs 761.5 million). The other
For Kenyan Companies Act reporting purposes, the balance amendments listed above did not have any impact on the
sheet is represented by the statement of financial position and amounts recognised in prior periods and are not expected to
the profit and loss account by the statement of comprehensive significantly affect the current or future periods.
income, in these financial statements.
IFRS 16 Leases
2 Summary of significant accounting policies
Until the 2018 financial year, leases of property, plant and
The principal accounting policies adopted in the preparation equipment were classified as either finance leases or
of the Company and consolidated financial statements are set operating leases, under IAS 17.
out below. These policies have been consistently applied to all
years presented, unless otherwise stated. The Group has adopted IFRS 16 Leases retrospectively from 1
January 2019, but has not restated comparatives for the 2018
90 (a) Basis of preparation reporting period, as permitted under the specific transition
provisions in the standard. The details of the changes in
The financial statements are prepared on a going concern accounting policy are disclosed below:
basis and in compliance with International Financial Reporting
Standards (IFRS). The financial statements are presented in a) Definition of Lease
Kenyan Shillings (Shs m), rounded to the nearest one tenth of a
million.The measurement basis used is the historical cost basis Previously, the Group determined at contract inception
except where otherwise stated in the accounting policies below. whether an arrangement was or contained a lease under
IFRIC 4 Determining whether an Arrangement contains a Lease.
Under the historical cost basis, assets are recorded at the At inception of a contract, the Group now assesses whether
amount of cash or cash equivalents paid or the fair value of a contract is or contains a lease based on the definition of a
the consideration given to acquire them at the time of their lease. A contract is, or contains, a lease if the contract conveys
acquisition. Liabilities are recorded at the amount of proceeds the right to control the use of an identified asset to a customer
received in exchange for the obligation or, in some cases, at for a period of time in exchange for consideration.
the amounts of cash or cash equivalents expected to be paid to
satisfy the liability in the normal course of business. b) The Group as a Lessee
The preparation of financial statements in conformity with As a lessee, the Group leases various assets, mainly office
IFRS requires the use of certain critical accounting estimates. space. These lease contracts are typically made for fixed
It also requires directors to exercise judgement in the process periods of 1 to 6 years, but may have extension/termination
of applying the Group’s accounting policies. The areas options. The Group previously classified leases as operating
involving a higher degree of judgement or complexity, or where or finance leases based on its assessment of whether the
assumptions and estimates are significant to the financial lease transferred significantly all of the risks and rewards
statements, are disclosed in Note 3. incidental to ownership of the underlying asset to the Group.
Under IFRS 16, the Group recognises right‑of‑use assets and
Changes in accounting policy and disclosures lease liabilities for the qualifying leases (i.e. these leases are
on statement of financial position).
(i) New and amended standards adopted by the Group
Contracts may contain both lease and non-lease components.
The following standards and amendments were introduced for At commencement or on modification of a contract that contains
the first time for the annual reporting period commencing 1 a lease component, the Group allocates the consideration in
January 2019: the contract to the lease and non-lease components based

Notes to the financial statements (continued)

2. Summary of significant accounting policies (continued) vii. Short-term leases and leases of low value are excluded in the
b) The Group as a Lessee (continued) computation of lease liabilities and right of use assets.
on their relative stand-alone prices. However, for leases of real (ii) Leases previously classified as finance leases under IAS 17
estate for which the Group is a lessee, it has elected not to
separate lease and non-lease components and instead accounts The Group does not have any finance leases as a lessee under
for these as a single lease component. IAS 17 or IFRS 16.
Lease terms are negotiated on an individual basis and contain c) Impact on Financial Statements
a wide range of different terms and conditions. The lease
agreements do not impose any covenants other than the security The impact of adoption of IFRS 16 to the statement of profit
interests in the leased assets that are held by the lessor. Leased or losss and statement of financial position is as follows. The
assets may not be used as security for borrowing purposes. net impact on retained earnings on 1 January 2019 was not
significant and therefore no adjustment was made to opening
(i) Leases previously classified as operating leases under IAS retained earnings.
17
i. Amounts recognised in the statement of comprehensive
On adoption of IFRS 16, the Group recognised lease liabilities income
in relation to leases which had previously been classified as
‘operating leases’ under the principles of IAS 17 Leases. These Group Company
liabilities were measured at the present value of the remaining 2019 2018 2019 2018
lease payments, discounted using the lessee’s incremental Shs m Shs m Shs m Shs m
borrowing rate as of 1 January 2019. The weighted average
Depreciation on right of use
Group’s incremental borrowing rate applied to the lease liabilities
assets 146.6 - 100.2 -
on 1 January 2019 was 10%
Interest on lease liabilities 84.4 - 70.3 -
Right-of-use assets are measured at either: Total 231.0 - 170.5 -
• Their carrying amount as if IFRS 16 had been applied since Amounts recognised in the statement of financial position 91
the commencement date, discounted using the Group’s
incremental borrowing rate at the date of initial application; Group Company
or 2019 2018 2019 2018
• An amount equal to the lease liability, adjusted by the amount
Right of use assets 804.2 - 661.3 -
of any prepaid or accrued lease payments. The Group applied
this approach to all its leases. Lease liability (822.0) - (674.8) -
Net Liability (17.8) - (13.5) -
The Group has used a number of practical expedients permitted
by the standard when applying IFRS 16 for the first time to (ii) New and amended standards adopted by the Company
leases previously classified as operating leases under IAS 17. In that had no material impact on financial statements
particular:
The following new and revised IFRSs were effective in the
i. Applying a single discount rate to a portfolio of leases with current year and had no material impact on the amounts
reasonably similar characteristics. reported in these financial statements.
ii. Relying on previous assessments on whether leases are I. Annual Improvements 2015-2017 Cycle
onerous as an alternative to performing an impairment review
– there were no onerous contracts as at 1 January 2019. IAS 12 Income Taxes - The amendments clarify that the
income tax consequences of dividends are linked more
iii. Accounting for operating leases with a remaining lease term directly to past transactions or events that generated
of less than 12 months at 1 January 2019 as short-term distributable profits than to distributions to owners.
leases.
Therefore, an entity recognizes the income tax consequences
iv. Excluding initial direct costs for the measurement of the of dividends in profit or loss, other comprehensive income or
right-of-use asset at the date of initial application. equity according to where it originally recognised those past
transactions or events.
v. Using hindsight in determining the lease term where the
contract contains options to extend or terminate the lease. An entity applies the amendments for annual reporting
periods beginning on or after 1 January 2019, with early
vi. A lease item (contract) that can be leased separately is application permitted. When the entity first applies those
considered low value if it is below the threshold of USD 5,000 amendments, it applies them to the income tax consequences
(Shs 500,000). of dividends recognised on or after the beginning of the


2. Summary of significant accounting policies (continued) income, provided that the contractual cash flows are ‘solely
payments of principal and interest on the principal amount
(ii) New and amended standards adopted by the Company outstanding’ (the SPPI criterion) and the instrument
that had no material impact on financial statements is held within the appropriate business model for that
(continued) classification.
I. Annual Improvements 2015-2017 Cycle (continued) The amendments to IFRS 9 clarify that a financial asset
passes the SPPI criterion regardless of an event or
earliest comparative period. Since the Company’s current circumstance that causes the early termination of the
practice is in line with these amendments, they had no contract and irrespective of which party pays or receives
impact on the financial statements of the Company. reasonable compensation for the early termination of
the contract. These amendments had no impact on the
IAS 23 Borrowing Costs - The amendments clarify that an financial statements of the Company.
entity treats as part of general borrowings any borrowing
originally made to develop a qualifying asset when IV. Amendments to IAS 28: Long-term interests in associates
substantially all of the activities necessary to prepare that and joint ventures
asset for its intended use or sale are complete.
The amendments clarify that an entity applies IFRS 9 to
The entity applies the amendments to borrowing costs long-term interests in an associate or joint venture to which
incurred on or after the beginning of the annual reporting the equity method is not applied but that, in substance,
period in which the entity first applies those amendments. form part of the net investment in the associate or joint
An entity applies those amendments for annual reporting venture (long-term interests). This clarification is relevant
periods beginning on or after 1 January 2019, with early because it implies that the expected credit loss model in
application permitted. Since the Company’s current IFRS 9 applies to such long-term interests.
practice is in line with these amendments, they had no
impact on the financial statements of the Company. The amendments also clarified that, in applying IFRS
9, an entity does not take account of any losses of the
II. IFRIC Interpretation 23 Uncertainty over Income Tax associate or joint venture, or any impairment losses on
92 Treatment the net investment, recognised as adjustments to the net
investment in the associate or joint venture that arise
The Interpretation addresses the accounting for income from applying IAS 28 Investments in Associates and Joint
taxes when tax treatments involve uncertainty that affects Ventures. These amendments had no impact on the
the application of IAS 12 Income Taxes. It does not apply financial statements of the Company as the associate is
to taxes or levies outside the scope of IAS 12, nor does it being accounted for using the equity method.
specifically include requirements relating to interest and
penalties associated with uncertain tax treatments. The V. Amendments to IAS 19: Plan Amendment, Curtailment
Interpretation specifically addresses the following: or Settlement
• Whether an entity considers uncertain tax treatments The amendments to IAS 19 address the accounting when a
separately plan amendment, curtailment or settlement occurs during
• The assumptions an entity makes about the examination of a reporting period. The amendments specify that when a
tax treatments by taxation authorities plan amendment, curtailment or settlement occurs during
• How an entity determines taxable profit (tax loss), tax the annual
bases, unused tax losses, unused tax credits and tax
rates reporting period, an entity is required to determine the current
• How an entity considers changes in facts and circumstances service cost for the remainder of the period after the plan
amendment, curtailment or settlement, using the actuarial
An entity has to determine whether to consider each assumptions used to remeasure the net defined benefit
uncertain tax treatment separately or together with one or liability (asset) reflecting the benefits offered under the plan
more other uncertain tax treatments. The approach that and the plan assets after that event. An entity is also required
better predicts the resolution of the uncertainty needs to to determine the net interest for the remainder of the period
be followed. The Company applies significant judgement after the plan amendment, curtailment or settlement using
in identifying uncertainties over income tax treatments. the net defined benefit liability (asset) reflecting the benefits
The interpretation did not have an impact on the financial offered under the plan and the plan assets after that event,
statements of the Company. and the discount rate used to remeasure that net defined
benefit liability (asset).
III. Amendments to IFRS 9: Prepayment Features with
Negative Compensation These amendments had no impact on the financial
statements of the Company as it did not have any plan
Under IFRS 9, a debt instrument can be measured at amendments, curtailments, or settlements during the
amortised cost or at fair value through other comprehensive period.


2. Summary of significant accounting policies (continued) Inter-company transactions, balances and unrealised gains
on transactions between Group companies are eliminated.
(b) Consolidation Unrealised losses are also eliminated unless the transaction
provides evidence of an impairment of the asset transferred.
i. Subsidiaries Accounting policies of subsidiaries have been changed where
necessary to ensure consistency with the policies adopted by
Subsidiaries are all entities (including structured entities) the Group.
over which the group has control. The group controls an entity
when the group is exposed to, or has rights to, variable returns Investments in subsidiaries are accounted for at cost less
from its involvement with the entity and has the ability to affect impairment in the separate financial statements. Cost is
those returns through its power over the entity. Subsidiaries adjusted to reflect changes in consideration arising from
are fully consolidated from the date on which control is contingent consideration amendments. Cost also includes
transferred to the group. direct attributable costs of investment.
The Group uses the acquisition method of accounting to (a) Changes in ownership interests in subsidiaries without
account for business combinations. The consideration change of control
transferred for the acquisition of a subsidiary is the fair values
of the assets transferred, the liabilities incurred and the equity Transactions with non-controlling interests that do not result in
interests issued by the Group. The consideration transferred loss of control are accounted for as equity transactions – that is,
includes the fair value of any asset or liability resulting from as transactions with the owners in their capacity as owners. The
a contingent consideration arrangement. Identifiable assets difference between fair value of any consideration paid and the
acquired and liabilities and contingent liabilities assumed in relevant share acquired of the carrying value of net assets of the
a business combination are measured initially at their fair subsidiary is recorded in equity. Gains or losses on disposals to
values at the acquisition date. non-controlling interests are also recorded in equity.
The Group recognises any non-controlling interest in the (b) Disposal of subsidiaries
acquiree on an acquisition-by-acquisition basis, either at
fair value or at the non-controlling interest’s proportionate When the Group ceases to have control, any retained interest
share of the recognised amounts of acquiree’s identifiable net in the entity is re-measured to its fair value at the date when 93
assets. Acquisition-related costs are expensed as incurred. control is lost, with the change in carrying amount recognised in
profit or loss. The fair value is the initial carrying amount for the
If the business combination is achieved in stages, the acquisition purposes of subsequently accounting for the retained interest
date fair value of the acquirer’s previously held equity interest as an associate, joint venture or financial asset. In addition,
in the acquiree is remeasured to fair value at the acquisition any amounts previously recognised in other comprehensive
date through profit or loss. Any contingent consideration to income in respect of that entity are accounted for as if the
be transferred by the Group is recognised at fair value at the Group had directly disposed of the related assets or liabilities.
acquisition date. Subsequent changes to the fair value of the This may mean that amounts previously recognised in other
contingent consideration that is deemed to be an asset or liability comprehensive income are reclassified to profit or loss.
is recognised in accordance with IFRS 9 either in profit or loss
or as a change to other comprehensive income. Contingent ii. Associates
consideration that is classified as equity is not remeasured, and
its subsequent settlement is accounted for within equity. Associates are all entities over which the Group has
significant influence but not control, generally accompanying
The excess of the consideration transferred, the amount of any a shareholding of between 20% and 50% of the voting
non-controlling interest in the acquiree and the acquisition- rights. Investments in associates are accounted for by the
date fair value of any previous equity interest in the acquiree equity method of accounting. Under the equity method, the
over the fair value of the identifiable net assets acquired is investments are initially recognised at cost, and the carrying
recorded as goodwill. If the total of consideration transferred, amount is increased or decreased to recognise the investor’s
non-controlling interest share of the profit or loss of the investee after the date of
acquisition. The Group’s investment in associates includes
recognised and previously held interest measured is less than goodwill identified on acquisition.
the fair value of the net assets of the subsidiary acquired in
the case of a bargain purchase, the difference is recognised If the ownership interest in an associate is reduced but
directly in the income statement. significant influence is retained, only a proportionate share of
the amounts previously recognized in other comprehensive
Goodwill is initially measured as the excess of the aggregate income is reclassified to profit or loss as appropriate.
of the consideration transferred and the fair value of non-
controlling interest over the net identifiable assets acquired The Group’s share of its associates’ post-acquisition profits
and liabilities assumed. If this consideration is lower than or losses is recognised in profit or loss, and its share of
the fair value of the net assets of the subsidiary acquired, the post-acquisition movements in other comprehensive income
difference is recognised in profit or loss. is recognised in other comprehensive income, with a
corresponding adjustment to the carrying amount of the


2. Summary of significant accounting policies (continued) Freehold land is not depreciated. Depreciation on other assets
is calculated on the straight line method to write off the cost of
(b) Consolidation (continued) each asset, or the revalued amounts, to their residual values
over their estimated useful life. The annual rates used for this
(ii) Associates (continued) purpose are as follows:
investment. When the Group’s share of losses in an associate Buildings 40 years

equals or exceeds its interest in the associate, including any Plant and equipment 5 – 15 years
other unsecured receivables, the Group does not recognise Computers and software 3 – 5 years
further losses, unless it has incurred legal or constructive Motor Vehicles 3 – 5 years
obligations or made payments on behalf of the associate. Leasehold land Over the remaining lease term
The Group determines at each reporting date whether there is The assets’ residual values and useful lives are reviewed, and
any objective evidence that the investment in the associate is adjusted if appropriate at each statement of financial position
impaired. If this is the case, the Group calculates the amount date. An asset’s carrying amount is written down immediately
of impairment as the difference between the recoverable to its estimated recoverable amount if the asset’s carrying
amount of the associate and its carrying value and recognises amount is greater than its estimated recoverable amount.
the amount adjacent to ‘share of profit/(loss) of an associate’
in the statement of comprehensive income. Property, plant and equipment are periodically reviewed for
impairment. Where the carrying amount of an asset is greater
Profits and losses resulting from upstream and downstream than its estimated recoverable amount, it is written down
transactions between the Group and its associate are immediately to its recoverable amount.
recognised in the Group’s financial statements only to the extent
of unrelated investor’s interests in the associates. Unrealised Gains and losses on disposal of property, plant and equipment
losses are eliminated unless the transaction provides evidence are determined by comparing proceeds with their carrying
of an impairment of the asset transferred. Accounting policies amounts and are taken into account in determining the profit. On
of associates have been changed where necessary to ensure disposal of revalued assets, amounts in the revaluation reserve
consistency with the policies adopted by the Group. relating to that asset are transferred to retained earnings.
94
Dilution gains and losses arising from investments in (d) Segment reporting
associates are recognised in profit or loss.
Operating segments are reported in a manner consistent with
Associates are stated at cost in the separate financial the internal reporting provided to the chief operating decision-
statements of the Company. maker (CODM). The executive management team, which is
responsible for strategic decision, allocating resources and
c) Property, plant and equipment assessing performance of the operating segments, has been
identified as the CODM.
All categories of property, plant and equipment are initially
recorded at cost. Freehold land and buildings are subsequently All transactions between business segments are conducted
shown at market value, based on valuations that are conducted on an arm length basis. Income and expenses associated with
at least every five years by external independent valuers, each segment as included in determining business segment
less subsequent depreciation. All other property, plant and performance.
equipment is stated at historical cost less depreciation.
(e) Revenue and income recognition
Historical cost includes expenditure that is directly attributable
to the acquisition of the items. Subsequent costs are included The Group recognises revenue for direct sales of goods and
in the asset’s carrying amount or recognised as a separate rendering of services. Revenue is recognised as and when
asset, as appropriate, only when it is probable that future the Group satisfies a performance obligation by transferring
economic benefits associated with the item will flow to the control of a product or service to a customer. The amount of
Group and the cost of the item can be measured reliably. All revenue recognised is the amount the Group expects to receive
other repairs and maintenance are charged to profit or loss in accordance with the terms of the contract, and excludes
during the financial period in which they are incurred. amounts collected on behalf of third parties, such as Value
Added Tax (VAT).
Increases in the carrying amount arising on revaluation
are credited to a revaluation reserve. Decreases that offset Circulation revenue from the sale of newspapers is recognised
previous increases of the same asset are charged against the on delivery of the newspapers to appointed distributors
revaluation reserve; all other decreases are charged to profit based on approved allocation list, net of returns of unsold
or loss. Each year the difference between depreciation based newspapers. Advertising revenue is recognised on publication
on the revalued carrying amount of the asset (the depreciation or airing of the related advertisement. Contract printing
charged to profit or loss) and depreciation based on the asset’s revenue recognition is based on the performance of the
original cost is transferred from the revaluation reserve to service agreed with the customers.
retained earnings.


2. Summary of significant accounting policies (continued) e) All other financial liabilities are classified and measured at
(e) Revenue and income recognition (continued) amortised cost.
The Group recognises revenue at a point in time or over time Financial instruments held during the year were classified as
depending on the nature of goods and services and mode of follows:
fulfilling performance obligations.
• Demand and term deposits with banking institutions, trade
Interest income is recognised using the effective interest method. and other receivables, and short term investments were
classified as at amortised cost.
Dividends are recognised as income in the period the right to
receive payment is established. • Trade and other liabilities were classified as at amortised
cost.
(f) Inventories
(i) Initial measurement
Inventories are stated at the lower of cost and net realisable value.
Cost is determined on a weighted average principle. Net realisable On initial recognition:
value is the estimate of the selling price in the ordinary course
of business, less the costs of completion and selling expenses. • Financial assets or financial liabilities classified as at fair
Goods in transit are stated at cost. Specific provisions are made value through profit or loss are measured at fair value.
for obsolete, slow moving and defective inventories.
• Trade receivables are measured at their transaction price.
(g) Financial instruments
• All other categories of financial assets and financial liabilities
(i) Initial recognition are measured at the fair value plus or minus transaction
costs that are directly attributable to the acquisition or issue
Financial instruments are recognised when, and only when, of the instrument.
the Group becomes party to the contractual provisions of the
instrument. All financial assets are recognised initially using the (iv) Subsequent measurement
trade date accounting which is the date the Group commits itself 95
to the purchase or sale. Financial assets and financial liabilities after initial recognition
are measured either at amortised cost, at fair value through
(ii) Classification other comprehensive income, or at fair value through profit or
loss according to their classification.
The Group classifies its financial instruments into the following
categories: Exchange gains and losses on monetary items, interest income
and dividend income are recognised in profit or loss.
a) Financial assets that are held within a business model whose
objective is to hold assets in order to collect contractual cash Fair value is determined as set out in Note 4(e). Amortised
flows, and for which the contractual terms of the financial cost is the amount at which the financial asset or liability is
asset give rise on specified dates to cash flows that are solely measured on initial recognition minus principal repayments,
payments of principal and interest on the principal amount plus or minus the cumulative amortisation using the effective
outstanding, are classified and measured at amortised cost. interest method of any difference between the initial amount
and the maturity amount and, for financial assets, adjusted for
b) Financial assets that are held within a business model whose any loss allowance.
objective is achieved by both collecting contractual cash flows
and selling financial assets, and for which the contractual (v) Impairment
terms of the financial asset give rise on specified dates to cash
flows that are solely payments of principal and interest on the The Group recognises a loss allowance for expected credit
principal amount outstanding, are classified and measured at losses on debt instruments that are measured at amortised
fair value through other comprehensive income. cost or at fair value through other comprehensive income. The
loss allowance is measured at an amount equal to the lifetime
c) All other financial assets are classified and measured at fair expected credit losses for trade receivables and for financial
value through profit or loss. instruments (Note 4(b)) for which: (a) the credit risk has
increased significantly since initial recognition; or (b) there is
d) Financial liabilities that are held for trading, financial guarantee observable evidence of impairment (a credit-impaired financial
contracts, or commitments to provide a loan at a below-market asset). All changes in the loss allowance are recognised in
interest rate are classified and measured at fair value through profit or loss as impairment gains or losses.
profit or loss. The Company may also, on initial recognition,
irrevocably designate a financial liability as at fair value through Lifetime expected credit losses represent the expected
profit or loss if doing so eliminates or significantly reduces a credit losses that result from all possible default events over
measurement or recognition inconsistency. the expected life of a financial instrument. Expected credit
losses are measured in a way that reflects an unbiased and


2. Summary of significant accounting policies (continued) comprehensive income or directly in equity. In this case, the tax
is also recognised in other comprehensive income or directly in
(g) Financial instruments (continued) equity respectively.
(v) Impairment (continued) The current income tax charge is calculated on the basis
of the tax enacted or substantively enacted at the reporting
probability-weighted amount determined by evaluating a range date. Management periodically evaluates positions taken in
of possible outcomes, the time value of money, and reasonable tax returns with respect to situations in which applicable tax
and supportable information that is available without undue regulation is subject to interpretation. It establishes provisions
cost or effort at the reporting date about past events, current where appropriate on the basis of amounts expected to be
conditions and forecasts of future economic conditions. paid to the tax authorities.
(vi) Presentation Deferred income tax is recognised, using the liability method,
on temporary differences arising between the tax bases of
All financial assets are classified as non-current except those assets and liabilities and their carrying values in the financial
that are held for trading, those with maturities of less than 12 statements. However, if the deferred tax liabilities are not
months from the reporting date, those which management has recognised if they arise from the initial recognition of goodwill;
the express intention of holding for less than 12 months from deferred income tax is not accounted for if it arises from initial
the reporting date or those that are required to be sold to raise recognition of an asset or liability in a transaction other than a
operating capital, in which case they are classified as current business combination that at the time of the transaction affects
assets. neither accounting nor taxable profit or loss. Deferred income
tax is determined using tax rates and laws that have been
All financial liabilities are classified as non-current except enacted or substantively enacted at the end of reporting period
those held for trading, those expected to be settled in the and are expected to apply when the related deferred income
Group’s normal operating cycle, those payable or expected tax liability is settled.Deferred income tax assets are recognised
to be paid within 12 months of the reporting date and those only to the extent that it is probable that future taxable profits
which the Group does not have an unconditional right to defer will be available against which the temporary differences can
settlement for at least 12 months after the reporting date. be utilised.
96
(vii) Derecognition Deferred income tax is provided on temporary differences
arising on investments in subsidiaries and associates, except
Financial assets are derecognised when the rights to receive where the timing of the reversal of the temporary difference is
cash flows from the financial asset have expired, when the controlled by the Group and it is probable that the temporary
Group has transferred substantially all risks and rewards of difference will not reverse in the foreseeable future.
ownership, or when the Group has no reasonable expectations
of recovering the asset.Financial liabilities are derecognised Deferred income tax assets and liabilities are offset when there
only when the obligation specified in the contract is discharged is a legally enforceable right to offset current tax assets against
or cancelled or expires. current tax liabilities and when the deferred income taxes assets
and liabilities relate to income taxes levied by the same taxation
When a financial asset measured at fair value through other authority on either the same taxable entity or different taxable
comprehensive income, other than an equity instrument, entities where there is an intention to settle the balances on a
is derecognised, the cumulative gain or loss previously net basis
recognised in other comprehensive income is reclassified from
equity to profit or loss as a reclassification adjustment. For (i) Intangible assets
equity investments for which an irrevocable election has been
made to present changes in fair value in other comprehensive (i) Goodwill
income, such changes are not subsequently transferred to
profit or loss. Goodwill represents the difference between the aggregate of
(i) the value of the consideration transferred (generally at fair
(viii) Offsetting value), (ii) the amount of any non-controlling interest (NCI),
and (iii) in a business combination achieved in stages, the
Financial assets and liabilities are offset and the net amount acquisition-date fair value of the acquirer’s previously-held
reported in the statement of financial position only when there equity interest in the acquiree, and the net of the acquisition-
is a legally enforceable right to set off the recognised amounts date amounts of the identifiable assets acquired and the
and there is an intention to settle on a net basis, or realise the liabilities assumed.
asset and settle the liability simultaneously.
Goodwill on acquisition of subsidiaries is included in intangible
(h) Current and deferred income tax assets. Goodwill on acquisition of associates is included in
investment in associates. Goodwill is tested annually for
The tax expense for the period comprises current and impairment and carried at cost less accumulated impairment
deferred income tax. Tax is recognised in profit or loss except losses. Goodwill is allocated to cash-generating units for
to the extent that it relates to items recognised in other purposes of impairment testing.


2. Summary of significant accounting policies (continued) present value of the defined benefit obligation and related service
(i) Intangible assets (continued) costs is determined using the ‘projected unit credit method’,
which sees each period of service as giving rise to an additional
(i) Goodwill (continued)
unit of benefit entitlement and measures each unit separately in
The allocation is made to those cash generating units or groups building up the final obligation. The defined benefit obligation is
of cash-generating units that are expected to benefit from the calculated every five years by independent actuaries.
business combination in which the goodwill arose and are
identified according to operating segments. (ii) Other entitlements
(ii) Computer software The estimated monetary liability for employees’ accrued annual
leave entitlement at the reporting date is recognised as an
Acquired computer software licences are capitalised on the basis expense accrual.
of the costs incurred to acquire and bring to use the specific
software. The costs are amortised over their estimated useful (iii) Termination benefits
lives (three to five years). Costs associated with developing or
maintaining computer software programmes are recognised as Termination benefits are payable when employment is terminated
an expense incurred. Costs that are directly associated with the by the group before the normal retirement date, or whenever an
production of identifiable and unique software products controlled employee accepts voluntary redundancy in exchange for these
by the Group, and that will probably generate economic benefits benefits. The group recognises termination benefits at the earlier
exceeding costs beyond one year, are recognised as intangible of the following dates: (a) when the group can no longer withdraw
assets. Direct costs include the software development employee the offer of those benefits; and (b) when the entity recognises
costs and an appropriate portion of relevant overheads. Acquired costs for a restructuring that is within the scope of IAS 37 and
computer software and computer software development costs involves the payment of termination benefits. In the case of an
recognised as assets are amortised over their estimated useful offer made to encourage voluntary redundancy, the termination
lives (not exceeding three years). benefits are measured based on the number of employees
expected to accept the offer. Benefits falling due more than 12
(iii) Transmission frequencies months after the end of the reporting period are discounted to
their present value.
Acquired transmission frequencies are capitalised on the 97
basis of the costs incurred to acquire and to bring them to use. (iv) Profit-sharing and bonus plans
Transmision frequencies are tested annually for impairment and
carried at cost less accumulated impairment losses. The group recognises a liability and an expense for bonuses and
profit-sharing, based on a formula that takes into consideration
(j)Employee benefits the profit attributable to the company’s shareholders after
certain adjustments. The group recognises a provision where
(i) Post employment benefit obligations contractually obliged or where there is a past practice that has
created a constructive obligation.
The Group operates a defined contribution retirement benefit
scheme for its employees. For defined contribution plans, the (k) Functional currency and translation of foreign currencies
group pays contributions to publicly or privately administered
pension insurance plans on a mandatory, contractual or voluntary (i) Functional and presentation currency
basis. The Group has no further payment obligations once the
contributions have been paid. The contributions are recognised Items included in the financial statements of each of the
as employee benefit expense when they are due. Prepaid Group’s entities are measured using the currency of the primary
contributions are recognised as an asset to the extent that a cash economic environment in which the entity operates (‘the
refund or a reduction in the future payments is available. functional currency’). The consolidated financial statements
are presented in Kenyan Shillings (Shs), which is the Company’s
The Company and all its employees also contribute to the functional currency.
National Social Security Funds in the countries which they
operate, which are defined contribution schemes. The Group’s (ii) Transactions and balances
contributions to the defined contribution schemes are charged
to profit or loss in the year to which they relate. The Company Foreign currency transactions are translated into the functional
has no further obligation once the contributions have been paid. currency using exchange rates prevailing at the dates of the
transactions or valuation where items are re-measured. Foreign
In addition, the Group operates a gratuity scheme where the exchange gains and losses resulting from the settlement of such
group makes contributions to a special purpose vehicle that transactions and from the translation at year-end exchange
is administered independently. The employees are entitled to rates of monetary assets and liabilities denominated in foreign
specified benefits as per the scheme’s rules. The gratuity scheme currencies are recognised in profit or loss. Foreign exchange
is a defined benefit scheme. The liability or asset recognised in gains and losses that relate to borrowings and cash and cash
the statement of financial position in respect of defined benefit equivalents are presented in profit or loss within ‘finance income/
plans is the present value of the defined benefit obligation at the costs’. All other foreign exchange gains and losses are presented
end of the reporting period less the fair value of plan assets. The in profit or loss within ‘other income’ or ‘other expenses’.


2. Summary of significant accounting policies (continued) (o) Cash and cash equivalents
(k) Functional currency and translation of foreign currencies ash and cash equivalents includes cash in hand, deposits held
(continued) at call with banks, other short term highly liquid investments
with original maturities of three months or less, and bank
(iii) Group companies overdrafts.
The results and financial position of all the Group entities (p) Provisions
(none of which has the currency of a hyperinflationary
economy) that have a functional currency different from the Provisions for legal claims are recognized when (1) the Group has
presentation currency are translated into the presentation a present legal or constructive obligation as a result of past events;
currency as follows: (2) it is probable that an outflow of resources will be required to
settle the obligation; and 3) the amount has been reliably estimated.
• assets and liabilities for each statement of financial position Provisions are not recognized for future operating losses.
presented are translated at the closing rate at the end of the
reporting period; Where there are a number of similar obligations, the likelihood
that an outflow will be required in settlement is determined by
• income and expenses for each income statement amount are considering the class of obligations as a whole. A provision is
translated at average exchange rates (unless this average is recognized even if the likelihood of an outflow with respect to any
not a reasonable approximation of the cumulative effect of one item included in the same class of obligations may be small.
the rates prevailing on the transaction dates, in which case
income and expenses are translated at the dates of the Provisions are measured at the present value of the expenditures
transactions); and expected to be required to settle the obligation using a pre-tax
rate that reflects current market assessments of the time value of
• all resulting exchange differences are recognised in other money and the risks specific to the obligation. Any increase in the
comprehensive income. provision due to passage of time is recognised as an expense.

When a foreign operation is partially disposed off or sold,
98 exchange differences that are recorded in equity are recognised 3 Critical accounting estimates and judgements
in profit or loss as part of the gain or loss on sale.
Estimates and judgements are continually evaluated and are
Goodwill and fair value adjustments arising on the acquisition based on historical experience and other factors, including
of a foreign entity are treated as assets and liabilities of the experience of future events that are believed to be reasonable
foreign entity and translated at the closing rate. under the circumstances.
(l) Impairment of non-financial assets (i) Critical accounting estimates and assumptions
Assets that have an indefinite useful life are not subject to The Group makes estimates and assumptions concerning the
amortisation and are tested annually for impairment. Assets future. The resulting accounting estimates will, by definition,
that are subject to amortisation are reviewed for impairment seldom equal the related actual results. The estimates and
whenever events or changes in circumstances indicate that assumptions that have a significant risk of causing a material
the carrying amount may not be recoverable. An impairment adjustment to the carrying amounts of assets and liabilities
loss is recognised for the amount by which the asset’s carrying within the next financial year are addressed below.
amount exceeds its recoverable amount.
a) Impairment losses on financial assets
The recoverable amount is the higher of an asset’s fair value
less costs to sell and value in use. For the purposes of assessing The measurement of the expected credit loss allowance for
impairment, assets are grouped at the lowest levels for which financial assets measured at amortised cost is an area that
there are separately identifiable cash flows (cash-generating requires the use of models and significant assumptions
units). about future economic conditions and credit behaviour (e.g.
the likelihood of customers defaulting and the resulting
(m) Dividends losses).A number of significant judgements and estimations
are also required in applying the accounting requirements for
Dividends on ordinary shares are charged to equity in the period measuring ECL, such as:
in which they are declared. Proposed dividends are shown as a
separate component of equity until declared. • The application of IFRS 9 risk parameters i.e. probably of
default (PD), loss given at default (LGD) and exposure at
default (EAD) to trade receivables; and
(n) Share capital
• The definition of default, determination of probability
Ordinary shares are classified as equity. of default matrix and identification of exposures with
significant deterioration in credit quality.


3 Critical accounting estimates and judgements 4 Financial risk management
(continued)
a) Impairment losses on financial assets (continued) The Group’s and the Company’s activity expose it to a variety
of financial risks comprising market risk (including foreign
• Determination of expected future payment pattern for exchange risks, interest rate risk and price risk), credit risk and
government advertising debt. liquidity risk. The Group’s overall risk management programme
focuses on the unpredictability of financial markets and seeks to
b) Provision for claims and other liabilities minimise adverse effects on its financial performance within the
options available in East Africa to hedge against such risks.
The Group faces exposure to claims and other liabilities arising
in the normal course of business. There is uncertainty as to how Risk management is carried out by management under
present and future claims and other liabilities will be resolved policies approved by the Board of Directors. Management
and therefore significant judgement is required in assessing identifies, evaluates and mitigates against financial risks.
the likely outcome and the potential liability for such matters. The Board provides principles for overall risk management,
Management in consultation with the legal advisers estimates a as well as policies covering specific areas such as foreign
provision based on past precedents. exchange risk, interest rate risk, credit risk and investing
excess liquidity.
c) Useful lives of property, plant and equipment
(a) Market risk
The Group’s management determines the estimated useful
lives and related depreciation charges for its property, plant and (i) Foreign exchange risk
equipment. This estimate is based on projected product lifecycles
for its assets. It could change significantly as a result of technical The Group and the Company make significant purchases of raw
innovations and competitor actions in response to severe industry materials in foreign currency, principally newsprint, inks and
cycles. Management will increase the depreciation charge where plates used in newspaper production, and TV programming used
useful lives are less than previously estimated lives, or it will in broadcasting. This exposes the Group and the Company to
write-off or write-down technically obsolete or non-strategic foreign exchange risk arising from various currency exposures,
assets that have been abandoned or sold. primarily with respect to the US dollar.
99
d) Impairment of non-financial assets Management manages this risk by making the significant foreign
currency purchases within periods when the exchange rates are
Critical estimates are made by management in assessment of favourable. Foreign exchange risk arises from future commercial
impairment for non-financial assets. Significant estimates relate to transactions, recognised assets and liabilities and net investment
the determination of the projected cash flows and the discount rate. in foreign operations.
e) Income taxes At 31 December 2019, if the shilling had weakened/

strengthened against the US dollar and Euro by 5%, with
The Group is subject to income taxes in various jurisdictions. all other variables held constant, the consolidated post tax
Significant judgment is required in determining the Group’s profit for the year and equity would have been Shs 1.5 million
provision for income taxes. There are many transactions and higher/ lower for the US dollar whereas the Euro effect would
calculations for which the ultimate tax determination is uncertain have been Shs 0.1 million higher/ lower (2018: Shs 1.6 million
during the ordinary course of business. The Group recognises for the US dollar and Shs 0.1 million for the Euro) higher/
liabilities for anticipated tax audit issues based on estimates of lower mainly as a result of foreign exchange gains/losses on
whether additional taxes will be due. Where the final tax outcome translation of US$ and Euro-denominated trade payables and
of these matters is different from the amounts that were initially bank balances.
recorded, such differences will impact the income tax and deferred
tax provisions in the period in which such determination is made. (ii) Price risk
f) Lease term and discount rates determination on adoption of The Group and the Company do not hold any investments subject
IFRS 16 to price risk.
Critical estimates are made by management in determining lease (iii) Interest rate risk
terms in lease contracts. Specifically in determining which leases
will be extended and renewed on expiry of the non-cancellable The Group and the Company do not hold any borrowing and
lease term. Estimates are also made on the discount rate. therefore not subject to interest rate risk.
(ii) Critical judgements in applying the entity’s accounting (b) Credit risk and expected credit losses
policies
Credit risk arises from cash and short term investments as
In the process of applying the Group’s accounting policies, well as trade and other receivables. The Group has policies
management has made judgements in determining the in place to ensure that sales are made to customers with an
classification of financial assets and whether assets are impaired. appropriate credit history. The credit controllers assess the


4. Financial risk management (continued) For the Government advertising debtors, management uses
the Government debt collection trends in the past to determine
(b) Credit risk and expected credit losses(continued)
the expected cash flows from these debts and discounts them
to the present value to determine the provision. For the other
credit quality of each customer, taking into account its financial advertising debtors, management determines probabilities
position, past experience and other factors. For banks and of default (PD) using collection trends in the past adjusted
financial institutions, only reputable well established financial for forward looking economic variables by a management
institutions are accepted. For trade receivables, the credit multiplier. The average PDs are then used to determine the
controllers assess the credit quality of each customer, taking provision.
into account its financial position, past experience and other
factors. The utilisation of credit limits is regularly monitored. For circulation and subscription debtors, management
determines the portion of the debt not secured by a bank
The amounts that represent the Group’s maximum exposure guarantee and applies a PD based on average collection
to credit risk is equal to the carrying amount of financial trends in the past adjusted for forward looking economic
assets in the statement of financial position. variables on this unsecured portion to compute the provision.
Dormant accounts are fully provided for.
The Group has adopted the Expected Credit Losses (ECL) model
to determine the impairment of trade receivables. The Group Related party receivable balances are assessed for impairment
opted to adopt the simplified approach of determining the based on the counterparty’s ability to settle on demand.
impairment provision. This model includes some operational Cash balances and long-term deposits have been assessed
simplifications for trade and other receivables because they for credit loss based on the credit rating of the financial
are often held by entities that do not have sophisticated credit institutions holding the assets.
risk management systems. These simplifications eliminate
the need to calculate 12-month ECL and to assess when a
significant increase in credit risk has occurred.
Using the simplified approach, management has segmented

their accounts receivable balances into Government
100 advertising debtors, other advertising debtors, and circulation
and subscription debtors.


The amount that best represents the Group’s and Company’s maximum exposure to credit risk at 31 December is made up as
follows:
Trade and other receivables Group Company

2019 2018 2019 2018
i) Trade receivables (Note 21)
Trade receivables 4,396.8 4,648.0 3,318.7 3,534.8
Expected credit losses (2,449.6) (2,683.4) (1,566.8) (1,765.6)
Carrying amount 1,947.2 1,964.6 1,751.9 1,769.2
Neither past due nor impaired 490.1 449.5 370.0 365.3
Past due but not fully impaired 1,889.4 2,202.8 1,426.1 1,790.4
Impaired (fully provided for) 2,017.3 1,995.7 1,522.6 1,379.1
ii) Related parties receivables (Note 21)
Past due but not impaired 3.7 8.8 214.7 177.6
Impaired (fully provided for) - - 322.2 298.4
iii) Other receivables
Past due but not impaired 1,672.1 1,183.1 907.5 806.0
The overall reduction in the provision for Expected Credit Losses (ECL) results from lower Loss Given Default (LGD) rates on
application of IFRS 9 particularly with respect to government debt.
Shs 238.6 million was held as collateral in the form of bank guarantees for trade receivables as at 31 December 2019 (2018: Shs
225.1 million). The stated bank guarantee amounts approximate their fair value.
101
Bank deposits and short term investments Group Company
2019 2018 2019 2018
Neither past due nor impaired Shs m Shs m Shs m Shs m
Deposits with banks (Notes 19, 22 & 23) 1,848.0 1,064.3 1,222.3 762.3
Other short term investments (Note 23) 822.1 806.0 822.1 806.0
2,670.1 1,870.3 2,044.4 1,568.3
(c) Liquidity risk
Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. Ultimate responsibility for
liquidity risk management rests with the board of directors, which together with management, closely monitor the Group’s and
Company’s short, medium and long term funding and liquidity management requirements. The Group manages liquidity risk by
maintaining adequate cash reserves, and by continuously monitoring forecast and actual cash flows and matching the maturity
profiles of financial assets and liabilities.
The table below analyses the Group and the Company’s financial liabilities that will be settled on a net basis into the relevant
maturity groupings based on the remaining period at the statement of financial position date to the contractual maturity date.
The amounts disclosed in the table below are the contractual undiscounted cash flows. Balances due within 12 months equal
their carrying balances, as the impact of discounting is not significant.

Group Company
2019 2018 2019 2018
Liabilities less than 1 year Shs m Shs m Shs m Shs m
Payables and accrued expenses (Note 24) 2,906.0 2,729.5 2,046.0 2,090.6
Lease liabilities (Note 16) 129.8 - 103.5 -


4. Financial risk management (continued)
(d) Capital management
The Group’s and Company’s objectives when managing capital are to safeguard the Group and the Company’s ability to continue as a going
concern in order to provide returns for shareholders and to maintain an optimal capital structure to reduce the cost of capital. In order to
maintain or adjust the capital structure, the Group and the Company may adjust the amount of dividends paid to shareholders, issue new capital
or sell assets to manage capital.
The capital structure of the Group and Company consists of equity attributable to equity holders, comprising issued capital and retained earn-
ings. The Group and Company had no borrowings at year end (2018: Nil).
(e) Fair value estimation
The different level of fair value measurement hierarchy is described as follows:
• Quoted prices (unadjusted) in active markets for identical assets (level 1);
• Inputs other than quoted prices included within level 1 that are observable for the asset, either directly (that is, as prices) or
indirectly (that is, derived from prices) (level 2); and
• Inputs for the asset that are not based on observable market data (that is, unobservable data) (level 3).
The fair value of financial instruments traded in active markets is based on quoted market prices at the year-end date. A market
is regarded as active if quoted prices are readily and regularly available from an exchange, dealer, broker, industry group and
those prices represent actual and regularly occurring market transactions on an arm’s length basis. The quoted market price
used for financial assets held by the Group is the current bid price. These instruments are included in level 1.
102 The fair value of financial instruments that are not traded in an active market is determined by using valuation techniques
such as discounted cash flow analysis. These valuation techniques maximise the use of observable market data where it is
available and rely as little as possible on entity specific estimates. If all significant inputs required to fair value an instrument
are observable, the instrument is included in level 2.
If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.
The carrying amounts of all assets and liabilities at the year-end date approximate their fair values.
The following table shows an analysis of financial and non- financial instruments measured at fair value by level of the fair value
hierarchy:
Group Level 1 Level 2 Level 3 Total

At 31 December 2019
Non- financial assets
Freehold land and buildings - 595.2 - 595.2
At 31 December 2018
Company
At 31 December 2019
At 31 December 2018
Land and buildings are categorised under Level 2 fair value hierarchy as their value is based on inputs other than quoted prices,
or inputs that are observable for the asset or liability, either directly as prices or indirectly as derived from prices. There were
no transfers between the various levels during the year.


5. Segmental information
Management has determined the operating segments based on the various products or section’s performance that are used
by Executive Management Team that are used to make strategic decisions. The Group considers the business from a product
perspective;
(i) Newspapers and Digital

(ii) Broadcasting
Newspapers and Digital – Incorporating sale of newspapers, advertisements published in the newspapers, advertisements in
the digital platforms and subscriptions of e-paper.
Broadcasting – Incorporating advertisements and other content aired on television.
The Executive Management team considers the East African countries in which the Group operates as one geographical
segment because of similarities in the risks and returns in the four countries.
Other Group operations mainly comprise courier operations and third party printing services. Neither of these constitute a
separately reportable segment and have therefore been included as part of Newspapers, and Digital on the basis that the said
operations are closely related and have similar economic characteristics.
There are no significant transactions between the two reportable segments.
Entity-wide information
The Group derives revenue from the transfer of goods and services at a point in time in the following major product lines;
Group Company
2019 2018 2019 2018 103
Advertising revenue 6,010.6 6,528.7 4,576.4 5,077.1
Circulation revenue 2,392.4 2,603.1 1,844.1 1,973.0
Other 647.9 528.8 501.8 473.4
Total 9,050.9 9,660.6 6,922.3 7,523.5
Timing of revenue recognition:
- At a point in time 9,050.9 9,660.6 6,922.3 7,523.5
Segment performance
Nation Media Group is domiciled in Kenya. The revenue attributed to Kenya was Shs 6,922.3 million (2018: Shs 7,523.5 million)
while the revenues attributed to all foreign countries in total from which the entity derives revenues was Shs 2,128.6 million
(2018: Shs 2,137.1 million). The Group does not derive revenues in excess of 10% of the total Group’s revenue from any individual
customer except the Government of Kenya.
Segment assets comprise primarily property, plant and equipment, inventories and receivables. They exclude operating
cash, intangible assets, income taxes and investments. Segment liabilities comprise operating liabilities. Capital expenditure
comprises additions to property, plant and equipment and intangible assets


5. Segmental information (continued)
Statement of comprehensive income
Newspapers
Broadcasting Unallocated Total
and Digital
2019
Revenue 7,588.6 1,462.3 - 9,050.9
Cost of sales (1,415.3) (398.8) - (1,814.1)
Gross profit 6,173.3 1,063.5 - 7,236.8
Depreciation (484.1) (139.0) - (623.1)
Amortisation (50.5) (1.9) - (52.4)
Provision for impairment of receivables 166.6 35.5 - 202.1
Other operating costs (4,401.8) (900.8) (434.0) (5,736.6)
Total operating expenses (4,769.8) (1,006.2) (434.0) (6,210.0)
Operating profit 1,403.5 57.3 (434.0) 1,026.8
Finance income - - 197.6 197.6
Share of results of associate - - 72.0 72.0
Contribution 1,403.5 57.3 (164.4) 1,296.4
2018
Revenue 8,096.1 1,564.5 - 9,660.6
Cost of sales (1,347.8) (460.2) - (1,808.0)
Gross profit 6,748.3 1,104.3 - 7,852.6
104 Depreciation (387.6) (137.0) - (524.6)
Amortisation (39.7) (2.8) - (42.5)
Provision for impairment of receivables (96.0) (6.8) - (102.8)
Other operating costs (4,633.9) (960.7) (275.3) (5,869.9)
Total operating expenses (5,157.2) (1,107.3) (275.3) (6,539.8)
Operating profit 1,591.1 (3.0) (275.3) 1,312.8
Finance income - - 243.5 243.5
Share of results of associate - - 77.7 77.7
Contribution 1,591.1 (3.0) 45.9 1,634.0


5. Segmental information (continued)
Statement of financial position
Newspapers
Broadcasting Unallocated Total
and Digital
2019 Shs m Shs m Shs m Shs m
Current assets
Inventories 606.0 50.7 - 656.7
Receivables and prepayments 1,183.6 1,608.9 830.5 3,623.0
Other assets - - 2,632.3 2,632.3
1,789.6 1,659.6 3,462.8 6,912.0
Non-current assets
Property, plant and equipment 1,959.8 343.1 2.2 2,305.1
Right of Use Asset 713.2 91.0 67.4 871.6
Investment in associate - - 1,422.6 1,422.6
Other assets - - 585.4 585.4
2,673.0 434.1 2,077.6 5,184.7
Total assets 4,462.6 2,093.7 5,540.4 12,096.7
Current liabilities
Payables and accrued expenses 564.8 2,772.0 (430.8) 2,906.0
Lease liability 114.9 14.9 - 129.8
Other liabilities - - 537.9 537.9
679.7 2,786.9 107.1 3,573.7
Lease liability 612.5 79.7 - 692.2 105
612.5 79.7 33.3 725.5
Total liabilities 1,292.2 2,866.6 140.4 4,299.2
Capital expenditure 116.8 66.7 - 183.5
2018
Current assets
Inventories 999.0 48.9 68.3 1,116.2
Receivables and prepayments 1,999.3 888.4 268.8 3,156.5
Other assets - - 2,155.3 2,155.3
2,998.3 937.3 2,492.4 6,428.0
Non-current assets
Property, plant and equipment 1,755.2 297.3 564.6 2,617.1
Investment in associate - - 1,373.8 1,373.8
Other assets - - 779.1 779.1
1,755.2 297.3 2,717.5 4,770.0
Total assets 4,753.5 1,234.6 5,209.9 11,198.0
Current liabilities
Payables and accrued expenses 1,156.0 732.7 840.8 2,729.5
1,156.0 732.7 1,401.7 3,290.4
Total liabilities 1,156.0 732.7 1,431.7 3,320.4
Capital expenditure 225.5 51.4 - 276.9


6. Expenses by nature
Group Company
2019 2018 2019 2018
The following items have been charged/(credited) in arriving at operating profit: Shs m Shs m Shs m Shs m
Profit on disposal of property, plant and equipment (6.4) (0.7) (4.6) (13.7)
Employee benefits expense (Note 7) 3,396.6 3,341.7 2,480.5 2,410.2
Trade receivables-provision for impairment (Note 21) (202.1) 102.8 (198.8) 76.0
Depreciation of property, plant & equipment (Note 14) 474.7 524.6 368.5 416.5
Amortisation of leases (Note 16) 148.5 1.9 101.6 1.5
Goodwill impairment (Note 15) 4.0 - - -
Amortisation of intangible assets (Note 15) 52.2 42.5 51.5 40.0
Consumption of inventories 1,357.4 1,327.3 992.6 968.1
Provision for inventory - (25.4) - (24.8)
Auditors’ remuneration 25.2 25.6 16.3 12.8
Repairs and maintenance expenditure on property, plant and equipment 21.3 31.4 9.9 19.8
7. Employee benefits expense
Salaries and wages 3,217.4 3,182.9 2,368.7 2,299.3

Defined contribution benefit scheme 95.5 92.9 89.3 88.3
National Social Security Fund 64.2 46.7 3.7 3.4
Post employment benefit obligation (Note 26) 19.5 19.2 18.8 19.2
3,396.6 3,341.7 2,480.5 2,410.2
106
The number of persons employed by the Group at the year end was: 2019 2018
Number Number
Full time 1,112 1,126
Part time 466 444
1,578 1,570
8. Finance cost and income
Group Company
2019 2018 2019 2018
Finance income:
Interest income 197.6 243.5 164.8 212.5
Finance costs:
Interest on leases (84.4) - (70.3) -
9. Income tax expense
Current income tax:

- Current year charge to profit of loss 403.6 695.7 390.3 586.6
- Under/(over) provision of current tax in prior years 9.9 (0.4) - -
Deferred income tax (Note 13): 26.9 (178.8) 13.4 (89.4)
Total income tax expense 440.4 516.5 403.7 497.2


9. Income tax expense (continued)
The tax on the Group and Company’s profit before income tax differs from the theoretical amount that would arise using the tax
rate of the home country as follows:
Group Company
2019 2018 2019 2018
Tax calculated at the statutory tax rate of 30% (2018:30%) 388.9 490.2 360.8 450.3
Tax effect of:
- Income not subject to tax (80.8) (54.4) (59.2) (31.1)
- Expenses not deductible for tax purposes 105.2 81.0 102.1 78.8
Under/(over) provision of deferred tax in prior years 17.2 0.1 - (0.8)
Under/(over) provision of current tax in prior years 9.9 (0.4) - -
Income tax expense 440.4 516.5 403.7 497.2
The statutory tax rate in all the countries in which the Group operates is 30%.
10. Earnings per share
a) Basic earnings per share
Basic earnings per share is calculated by dividing the profit for the year attributable to equity holders of the Company by the
weighted average number of ordinary shares in issue during the year
Group
2019 2018
Net profit attributable to shareholders (Shs million) 849.3 1,112.2 107
Weighted average number of ordinary shares in issue (million) 188.5 188.5
Basic earnings per share (Shs) 4.5 5.9
b) Diluted earnings per share
Diluted earnings per share is calculated by dividing the profit for the year attributable to equity holders of the Company by the
weighted average number of ordinary shares in issue and bonus shares recommended for issue. The Directors recommend,
subject to the approval of the shareholders, the Capital Markets Authority and the Nairobi Securities Exchange, a bonus issue
at the rate of one fully paid ordinary share for every ten ordinary shares held in the issued and paid up capital of the Company
as at 12 June 2020.
Group
2019 2018
Net profit attributable to shareholders (Shs million) 849.3 1,112.2
Weighted average number of ordinary and bonus shares recommended for issue (million) 207.4 207.5
Diluted earnings per share (Shs) 4.1 5.4
11. Share capital
Group & Company

Number Ordinary
of shares shares
(million) Shs m
Authorised (par value of Shs 2.5 per share) 240.0 600.0
Issued and fully paid:
31 December 2018 188.5 471.4
31 December 2019 188.5 471.4


12. Other reserves
Revaluation Transactions
reserve on with controlling Currency
buildings interest translation Total
Group
As at 1 January 2018 182.2 (24.9) (229.8) (72.5)
Share of comprehensive income from associate - (29.0) - (29.0)
Currency translation differences - - (30.3) (30.3)
Transfer of excess depreciation (6.5) - - (6.5)
Deferred income tax on transfer of depreciation 1.9 - - 1.9
(4.6) - - (4.6)
Balance as at 31 December 2018 177.6 (53.9) (260.1) (136.4)
As at 1 January 2019 177.6 (53.9) (260.1) (136.4)

Share of comprehensive income from associate - (15.5) - (15.5)
Currency translation differences - - 21.6 21.6
Transfer of excess depreciation (6.5) - - (6.5)
Deferred tax on transfer of depreciation 1.9 - - 1.9
(4.6) - - (4.6)
Balance as at 31 December 2019 173.0 (69.4) (238.5) (134.9)
Revaluation
reserve on
108 buildings Total
Shs m Shs m
Company
As at 1 January 2018 104.7 104.7
Transfer of excess depreciation (3.7) (3.7)
Deferred tax on transfer of depreciation 1.1 1.1
(2.6) (2.6)
Balance as at 31 December 2018 102.1 102.1
Revaluation
reserves on
buildings Total
Shs m Shs m
As at 1 January 2019 102.1 102.1
Transfer of excess depreciation (3.7) (3.7)
Deferred tax on transfer of depreciation 1.1 1.1
(2.6) (2.6)
Balance as at 31 December 2019 99.5 99.5


13. Deferred income tax
Group Company
2019 2018 2019 2018
At start of year, as previously stated (282.2) (254.2) (219.4) (272.3)
Initial application of IFRS 9 - 150.8 - 142.3
At start of year, as adjusted (282.2) (103.4) (219.4) (130.0)
(Credit) to profit or loss (Note 9) 26.9 (178.8) 13.4 (89.4)
Charge/ (credit) to the statement of comprehensive income - -
At end of year (255.3) (282.2) (206.0) (219.4)
Presented by:
Deferred income tax liabilities 27.3 27.6 - -
Deferred income tax assets (282.6) (309.8) (206.0) (219.4)
At end of year (255.3) (282.2) (206.0) (219.4)
Deferred income tax assets and liabilities are attributable to the following items:
Charged/ Charged/
(credited) (credited)
Group 1.1.19 to P&L to OCI 31.12.19
Year ended 31 December 2019 Shs m Shs m Shs m Shs m
Deferred income tax liabilities
Property, plant and equipment 226.8 (72.0) - 154.8
Revaluation of buildings 75.7 (0.2) - 75.5 109
Currency translation differences 6.5 (0.2) - 6.3
Overprovision / Underprovision in prior year - 17.2 - 17.2
Unrealized exchange gains 4.4 (1.8) - 2.6
313.4 (57.0) - 256.4
Deferred income tax assets
Provisions (563.5) 69.0 - (494.5)
Tax losses (2.2) - - (2.2)
Unrealized exchange losses (29.9) 14.9 - (15.0)
(595.6) 83.9 (511.7)
Net deferred income tax (asset)/ liability (282.2) 26.9 - (255.3)


13. Deferred income tax (continued)
Initial Charged/ Charged/

application (credited) (credited)
Group 1.1.18 of IFRS 9 to P&L to OCI 31.12.18
Year ended 31 December 2018 Shs m Shs m Shs m Shs m Shs m
Property, plant and equipment 294.9 - (68.1) - 226.8
Revaluation of buildings 77.6 - (1.9) - 75.7
Unrealized exchange gains 1.8 - 2.6 - 4.4
374.3 - (67.4) - 306.9
Provisions (609.9) 150.8 (104.4) - (563.5)
Tax losses (2.2) - - - (2.2)
Unrealized exchange losses (22.2) - (7.7) - (29.9)
(634.3) 150.8 (112.1) (595.6)
Currency translation differences 5.8 - 0.7 - 6.5
Net deferred income tax (asset)/ liability (254.2) 150.8 (178.8) - (282.2)
Charged/ Charged/
Company (credited) (credited)
Year ended 31 December 2019 1.1.19 to P&L to OCI 31.12.19
110 Property, plant and equipment 210.7 (59.0) - 151.7
Revaluation of buildings 43.3 - - 43.3
Unrealized exchange gains 7.5 (3.5) - 4.0
261.5 (62.5) - 199.0
Provisions (471.2) 61.0 - (410.2)
Unrealised exchange losses (9.7) 14.9 - 5.2
(480.9) 75.9 - (405.0)
Net deferred income tax (asset)/ liability (219.4) 13.4 - (206.0)
Initial Charged/ Charged/

Company application (credited) (credited)
Year ended 31 December 2018 1.1.18 of IFRS 9 to P&L to OCI 31.12.18
Property, plant and equipment 271.8 - (61.1) - 210.7

Revaluation of buildings 44.4 - (1.1) - 43.3
Unrealized exchange gains 3.2 - 4.3 - 7.5
319.4 - (57.9) - 261.5
Provisions (589.7) 142.3 (23.8) - (471.2)
Unrealised exchange losses (2.0) - (7.7) - (9.7)
(591.7) 142.3 (31.5) - (480.9)
Net deferred income tax (asset)/ liability (272.3) 142.3 (89.4) - (219.4)


14(a) Land and buildings
Freehold land Buildings Total

Group Shs m Shs m Shs m
As at 1 January 2018
Valuation 9.1 806.9 816.0
Accumulated depreciation - (170.0) (170.0)
Net book value 9.1 636.9 646.0
Opening net book value 9.1 636.9 646.0
Additions - - -
Disposals - - -
Depreciation charge - (22.0) (22.0)
Currency translation differences - (6.7) (6.7)
Closing net book value 9.1 608.2 617.3
Currency translation differences - 0.1 0.1
As at 31 December 2019
Valuation 9.1 803.9 813.0
111
Freehold land Buildings Total

Company Shs m Shs m Shs m
Additions - - -
Disposals - - -
Valuation 9.1 570.8 579.9
Valuation 9.1 570.8 579.9
The Group’s freehold land and buildings were revalued in 2017 by independent professional valuers. Valuations were made
on the basis of open market value for existing use. The book values of the revalued assets were adjusted to the revalued
amounts. Increase/ (decrease) arising on the revaluation was recognised in other comprehensive income and accumulated in
the revaluation surplus.


14(a) Land and buildings (continued)
If the buildings were stated on historical cost basis, the amounts would be as follows:
Group Company
2019 2018 2019 2018
Cost 560.7 560.7 411.0 411.0
Accumulated depreciation (201.4) (179.3) (170.2) (152.0)
Net book value 359.3 381.4 240.8 259.0
14(b) Plant and equipment
Plant and Motor

equipment vehicle Total
Group Shs m Shs m Shs m
Cost 8,378.9 562.2 8,941.1
Accumulated depreciation (6,109.2) (433.6) (6,542.8)
Net book value 2,269.7 128.6 2,398.3
Opening net book value 2,269.7 128.6 2,398.3
Additions 106.1 23.5 129.6
Disposals (4.9) (4.9) (9.8)
Depreciation charge (444.6) (58.0) (502.6)
112 Currency translation differences (14.9) (0.8) (15.7)
Closing net book value 1,911.4 88.4 1,999.8
Additions 150.8 10.8 161.6
Disposals (0.1) - (0.1)
Currency translation differences 1.2 - 1.2
Cost 8,630.8 530.6 9,161.4
Net book value 1,656.4 53.6 1,710.0


14(b) Plant and equipment (continued)
Plant and Motor

equipment vehicle Total
Additions 48.4 18.4 66.8
Disposals (3.8) (4.4) (8.2)
Cost 6,555.9 431.3 6,987.2
Net book value 1,532.6 74.2 1,606.8
Additions 70.7 22.5 93.2
Disposals (0.1) - (0.1)
Cost 6,596.8 453.8 7,050.6
Net book value 1,295.0 54.6 1,349.6 113
15. Intangible assets
Computer Transmission
Goodwill software frequencies Total
Group Shs m Shs m Shs m Shs m
Cost 187.9 567.3 27.2 782.4
Impairment/ accumulated amortisation (160.9) (473.4) (27.2) (661.5)
Net book value 27.0 93.9 - 120.9
Opening net book value 27.0 93.9 - 120.9
Additions - 147.3 - 147.3
Amortisation - (42.5) - (42.5)
Currency translation differences - 0.1 - 0.1
Closing net book value 27.0 198.8 - 225.8
Opening net book value 27.0 198.8 - 225.8
Additions - 21.9 - 21.9
Amortisation - (52.2) - (52.2)
Impairment (4.0) - - (4.0)
Currency translation differences - 0.1 - 0.1
Closing net book value 23.0 168.6 - 191.6
Cost 187.9 736.6 27.2 951.7
Impairment/ accumulated amortisation (164.9) (568.0) (27.2) (760.1)
Net book value 23.0 168.6 - 191.6


15. Intangible assets (continued)
The goodwill arose from the historical acquisition of various entities and is allocated to the newspaper and broadcasting
segments. The directors monitor goodwill impairment at the level of the acquired entity, being the cash generating unit (CGU).
The recoverable amount of the cash generating unit (CGU) is determined based on value-in-use calculations which require the
use of assumptions.
A segment-level summary of the goodwill allocated is presented below:
Operating
Segment 2019 2018
Shs m Shs m
Monitor Publications Limited (MPL) Newspapers 23.0 23.0
Radio Uhuru Limited (RUL) Broadcasting - 4.0
23.0 27.0
Movement in goodwill 2019 2018
Shs m Shs m
At start of year 27.0 27.0
Impairment of goodwill allocated to MCL - -
Impairment of goodwill allocated to RUL (4.0) -
At end of year 23.0 27.0
Significant estimates : key assumptions used for value-in-use calculations
The group tests whether goodwill has suffered any impairment on an annual basis. The recoverable amount of goodwill has
been determined based on value-in-use calculations. These calculations use pre-tax cash flow projections based on financial
budgets approved by management covering a five-year period. Cash flows beyond the five-year period are extrapolated using
114 the estimated growth rates stated below. The growth rate does not exceed the long-term average growth rate for the media
industry in which the CGU operates.
The following table sets out the key assumptions for those CGUs that have significant goodwill allocated to them;
2019 and 2018 Monitor Publications Limited
Pre-tax Discount rate 22%

Long term growth rate 6%
Gross profit margin 77%
Management has determined the values assigned to each of the above key assumptions as follows;
• Pre-tax Discount rate - reflects the specific risks relating to the relevant segments and the countries in which they operate.
The rate is consistent with the investors expected returns (the weighted average cost of capital) bearing in mind the country
risk premiums.
• Long term growth rate - is the weighted average growth rate used to extrapolate cash flows beyond the budget period. The
rates are consistent with forecasts included in industry reports eg inflation rate.
• Gross profit margin - is based on past performance and management’s expectations for the future.
The goodwill relating to Radio Uhuru Limited has been fully impaired.


15. Intangible assets (continued)
Computer Transmission
software Frequencies Total
Cost 503.3 27.2 530.5
Accumulated amortization (411.6) (27.2) (438.8)
Net book value 91.7 - 91.7
Opening net book value 91.7 - 91.7
Additions 147.1 - 147.1
Amortisation (40.0) - (40.0)
Closing net book value 198.8 - 198.8
Cost 650.4 27.2 677.6
Opening net book value 198.8 - 198.8
Additions 20.4 - 20.4
Amortisation (51.5) - (51.5)
Closing net book value 167.7 - 167.7
Cost 670.8 27.2 698.0 115
16. Leases
(i) Right of Use Assets
Plant and Motor

Land Buildings Equipment Vehicle Total
Group Shs m Shs m Shs m Shs m Shs m
At start of year 69.3 - - - 69.3
Adoption of IFRS 16 - 919.5 12.5 18.8 950.8
Amortisation for the year (1.8) (135.9) (4.4) (6.3) (148.4)
Currency translation differences (0.1) - - - (0.1)
At end of year 67.4 783.6 8.1 12.5 871.6
Plant and Motor

Land Buildings Equipment Vehicle Total
Company Shs m Shs m Shs m Shs m Shs m
At start of year 42.3 - - - 42.3
Adoption of IFRS 16 - 749.0 12.5 - 761.5
Amortisation for the year (1.4) (95.8) (4.4) - (101.6)
Currency translation differences - - - - -
At end of year 40.9 653.2 8.1 - 702.2


16. Leases (continued)
(i) Right of Use Assets (continued)
Prepaid lease rentals

Group Company
Shs m Shs m
At start of year 72.3 43.8
Disposal - -
Amortisation for the year (1.9) (1.5)
Currency translation differences (1.1) -
At end of year 69.3 42.3
(ii) Lease liabilities
Group Company
2019 2018 2019 2018
Current 129.8 - 103.5 -
Non-current 692.2 - 571.3 -
At end of year 822.0 - 674.8 -
17. Investment in associate
Group
116 2019 2018
Shs m Shs m
At start of year 1,373.8 1,330.6
Share of profit before income tax 101.7 103.9
Share of income tax expense (29.7) (26.2)
72.0 77.7
Dividends received (7.7) (5.5)
Share of other comprehensive income (15.5) (29.0)
At end of year 1,422.6 1,373.8
Investment in associate is carried in the consolidated statement of financial position at amounts that reflect the Group’s share
of the net assets of the associate and includes goodwill on acquisition.
Other comprehensive income from associate relates to the net fair value (loss)/gain on financial assets (quoted and unquoted
investments).
Key financial information on the associate, which is unlisted, was as follows:
Country of % interest Profit/ Other Comprehensive

incorporation held Assets Liabilities Revenues (loss) income
Year 2019
Property Development and
Management Limited Kenya 20% 10,157.0 2,654.6 1,178.0 360.2 (77.4)
Year 2018
Property Development and
Management Limited Kenya 20% 10,163.9 2,903.7 773.3 388.4 (144.9)
There were no changes in the interest held in the unlisted associate during the year. The initial investment in associate carried
in the Company’s statement of financial position is Shs. 94.6 million (2018: Shs. 94.6 million).


18. Investment in subsidiaries
The Company’s interest in its subsidiaries, all of which are unlisted and all of which have the same year end as the Company,
were as follows as at 31 December 2019 and 2018:
Company
Country of incorporation Holding 2019 2018
% Shs m Shs m
Trading subsidiaries:
Nation Marketing & Publishing Limited Kenya 100.0 0.5 0.5
Monitor Publications Limited Uganda 83.3 75.1 75.1
Mwananchi Communications Limited Tanzania 100.0 569.3 569.3
Nation Holdings Tanzania Limited Tanzania 100.0 150.4 150.4
Africa Broadcasting Uganda Limited Uganda 100.0 347.7 347.7
Nation Holdings Rwanda Limited Rwanda 100.0 8.3 8.3
Kenya Buzz Limited Kenya 51.0 2.0 2.0
1,153.3 1,153.3
Non trading subsidiaries:
Nation Carriers Limited Kenya 100.0 3.0 3.0
Nation Infotech Limited Kenya 100.0 1.5 1.5
East African Televisions Network Limited Kenya 100.0 - -
Africa Broadcasting Limited Kenya 100.0 - -
Nation Newspapers Limited Kenya 100.0 - -
Nation Carriers Uganda Limited Uganda 100.0 - -
Nation Carriers Tanzania Limited Tanzania 100.0 - -
Africa Broadcasting Tanzania Limited Tanzania 100.0 - -
117
Nation Printers and Publishers Limited Kenya 100.0 - -
Radio Uhuru Limited Tanzania 100.0 20.5 20.5
1,178.3 1,178.3
Provision for impairment on investment in:
Mwananchi Communications Limited (416.8) (349.3)
Africa Broadcasting Uganda Limited (17.5) (17.5)
Radio Uhuru Limited (20.5) (16.5)
Nation Holdings Rwanda Limited (8.3) (8.3)
Nation Holdings Tanzania Limited (12.4) (12.4)
(475.5) (404.0)
Net investment in subsidiaries 702.8 774.3
The company tests whether investment in subsidiaries has suffered any impairment whenever indicators are noted. As a
result of decline in performance, the Directors performed a valuation exercise on Mwananchi Communicatons Limited. The
recoverable value of the entity has been determined based on value-in-use calculations. These calculations use pre-tax cash
flow projections based on financial budgets approved by management covering a five-year period. Cash flows beyond the five-
year period are extrapolated using the estimated growth rates stated below.
The following table sets out the key assumptions:
Mwananchi Communications Limited

2019 2018
Pre-tax Discount rate 17.9% 17.5%
Long term growth rate 3% 3%
Gross profit margin 68% 68%


18. Investment in subsidiaries (continued)
Management has determined the values assigned to each of the above key assumptions as follows;
• Pre-tax Discount rate - reflects the specific risks relating to the entity and the countries in which the subsidiary operates. The
rate is consistent with the investors expected returns (the weighted average cost of capital) bearing in mind the country risk
premiums.
• Long term growth rate - is the weighted average growth rate used to extrapolate cash flows beyond the budget period. The
rates are consistent with forecasts included in industry reports eg inflation rate.
• Gross profit margin - is based on past performance and management’s expectations for the future.
Following the above excercise, an additional provision for impairment of Shs 67.5 million (2018: Shs 176.3 million) was made on
the Company’s investment in Mwananchi Communications Limited.
19. Other assets
Group & Company

2019 2018
Shs m Shs m
Long-term deposits 111.1 174.2
The balance relates to long-term deposits held with a bank as back up funds for staff mortgage scheme. The long-term
deposits are carried at amortised cost.
20. Inventories
118 Group Company

2019 2018 2019 2018
Raw materials 553.5 914.6 429.6 745.5
Engineering spares 226.1 230.0 201.3 202.1
Other stock 60.4 154.9 59.1 107.3
Gross inventory 840.0 1,299.5 690.0 1,054.9
Less: provision for obsolete stock (183.3) (183.3) (181.1) (181.1)
656.7 1,116.2 508.9 873.8
Inventories are held at cost. The cost of inventories recognised as an expense and included in the consolidated ‘cost of sales’
amounted to Shs 1,357.5 million (2018: Shs 1,327.3 million).


21. Receivables and prepayments
Group Company
2019 2018 2019 2018
Trade receivables 4,396.8 4,648.0 3,318.7 3,534.8
Less: provision for impairment (2,449.6) (2,683.4) (1,566.8) (1,765.6)
1,947.2 1,964.6 1,751.9 1,769.2
Due from related parties (Note 31) 3.7 8.8 536.9 476.0
Less: provision for impairment - - (322.2) (298.4)
3.7 8.8 214.7 177.6
Other receivables and prepayments 1,672.1 1,183.1 907.5 806.0
3,623.0 3,156.5 2,874.1 2,752.8
Movement on the provision for impairment of trade receivables is as follows:
Group Company
2019 2018 2019 2018
At start of year 2,683.4 3,083.4 1,765.6 2,163.9
Initial application of IFRS 9 - (502.8) - (474.3)
Charge for the year (202.1) 102.8 (198.8) 76.0
Debt write off (31.7) - - -
At end of year 2,449.6 2,683.4 1,566.8 1,765.6
119
The carrying amounts of the above receivables approximate their fair values.
22. Cash and cash equivalents
For the purposes of cash flow statements, cash and cash equivalents comprise cash and bank balances and term deposits
held with banks, maturing in less than 90 days from origination. The year end cash and cash equivalent comprise the following:
Group Company
2019 2018 2019 2018
Cash and bank balances 322.5 459.2 246.0 329.0
Fixed deposits with banks 716.5 407.9 571.3 262.5
1,039.0 867.1 817.3 591.5
23. Short-term investments
Fixed deposits with banks 697.9 482.2 539.9 325.6

Other short-term investments 822.1 806.0 822.1 806.0
1,520.0 1,288.2 1,362.0 1,131.6
The short term investments include term deposits, treasury bills and other short term investments with maturity more than
90 days but less than one year. Included in the other short term investments is a commercial paper and fixed deposits with a
related parties. Refer to Note 31 (vii) for further details.
The weighted average effective interest rate on the bank deposits during the year was 8.1% (2018 : 8.5%) and that of the other
short term investments was 9.9% ( 2018: 9.9%). The carrying amounts of the above short term investments approximate their
fair values


24. Payables and accrued expenses
Group Company
2019 2018 2019 2018
Trade payables 571.8 798.8 378.4 472.8
Due to related parties (Note 31) 17.6 4.1 36.4 13.1
Accrued expenses 1,173.6 1,106.2 944.6 936.4
Other payables 1,143.0 820.4 686.6 668.3
2,906.0 2,729.5 2,046.0 2,090.6
The carrying amounts of the above payables and accrued expenses approximate their fair values.
25. Provisions for claims and other liabilities
Group Company
2019 2018 2019 2018
At 1 January 527.2 477.6 506.3 453.3
Payments in the year (56.5) (81.0) (55.9) (61.0)
Charge for the year 67.2 130.6 64.7 114.0
At 31 December 537.9 527.2 515.1 506.3
The Group makes specific provisions for claims and other liabilities arising in the normal course of business. Specific provisions
120 are made for estimated claims and other liabilities to the extent that the Group considers it probable that there will be an
outflow of economic benefits and the amount can be reliably estimated. Any insurance reimbursements in relation to claims
and other liabilities are only recognized when the Group is certain of reimbursement. Typically this will only occur when a
reimbursement claim is accepted by the insurer.
Due to the nature of these provisions, management is unable to estimate the timing of their settlement with certainity. The
impact of discounting on the provision is not considered to be material.
26. Post-employment benefit obligation
The Group maintains a gratuity scheme under which qualifying employees are entitled to receive remuneration equal to the sum
of two weeks pay for every year of service completed upon leaving the Group.
The amount included in the statement of financial position arising from the post employment benefit obligation is arrived at as
follows:
Group and Company

2019 2018
Shs m Shs m
Opening balance 2.4 7.4
Payments in the year (15.9) (24.2)
Credit to P&L 19.5 19.2
Closing balance 6.0 2.4
Present value of funded obligations (111.1) (107.7)

Fair value of plan assets (fixed term deposit) 105.1 105.3
Deficit on funded plan (6.0) (2.4)


26. Post-employment benefit obligation (continued)
The scheme was last valued by an independent actuary as at 31 December 2015. The significant actuarial assumptions were
as follows;
2015
Discount rate 14%
Inflation rate 6%
Current service cost ( % salary) 1.6%
Assumed retirement age 55 years
A slight increase or reduction in the actuarial assumptions does not result in a material change in the liability and the Group
adopted the most conservative resultant liability.
27. Dividends
During the year, an interim dividend of Shs 1.5 per share, amounting to Shs 282.8 million was paid (2018: Shs 282.8 million). At
the annual general meeting to be held on 26June 2020, no final dividend in respect of the year ended 31 December 2019 will be
proposed. The total dividend for the year is therefore Shs 1.5 per share (2018: Shs 5.0), amounting to Shs 282.8 million (2018:
Shs 942.7 million).
28. Commitments
Capital expenditure
Commitments for capital expenditure at the reporting date are as follows:
Group
2019 2018 121
Shs m Shs m
Contracted for but not provided for 27.8 34.1
Operating leases
The future minimum lease payments under non-cancellable operating leases are as follows:
Not later than 1 year - 167.3
Later than 1 year and not later than 5 years - 665.6
- 832.9
29. Contingent liabilities
The Group is a defendant in various claims brought against the Group in the normal course of business. The Group has made
provisions which were deemed appropriate in line with group policy and legal advice. In the directors’ opinion after taking
appropriate legal advice, no significant additional liability will arise from the resolution of these matters beyond what has been
provided for in the financial statements.


30. Cash generated from operations
Group Company
2019 2018 2019 2018

Reconciliation of profit before tax to cash generated from operations
Adjustments for:
Depreciation of property, plant and equipment (Note 14) 474.7 524.6 368.5 416.5
Amortisation of leases (Note 16) 148.5 1.9 101.6 1.5
Amortisation of intangible assets (Note 15) 52.2 42.5 51.5 40.0
Goodwill impairment 4.0 - - -
Profit on sale of property, plant and equipment (6.6) (0.7) (4.6) (13.7)
Impairment of subsidiary (Note 18) - - 71.5 176.3
Interest income (Note 8) (197.6) (243.5) (164.8) (212.5)
Lease finance cost (Note 8) 84.4 - 70.3 -
Share of result after tax of associate (Note 17) (72.0) (77.7) - -
Dividend received from associate (Note 17) - - (7.7) (5.5)
Dividend received from subsidiary - - (18.7) (33.6)
Post employment benefit obligation (Note 26) 3.6 (5.0) 3.6 (5.0)
Changes in working capital:
- inventories 459.5 (478.6) 364.9 (385.9)
- receivables and prepayments (466.5) (391.3) (121.3) (420.2)
- payables and accrued expenses, and provisions 187.2 136.0 (35.8) 7.6
122
Cash generated from operations 1,967.8 1,142.2 1,881.8 1,066.5
31. Related parties
Aga Khan Fund for Economic Development, S.A (AKFED) incorporated in Switzerland is the principal shareholder of the
Company. There are various other companies which are related to the Group through common shareholdings and directorships.
Group Company
i) Sale of goods and services 2019 2018 2019 2018
Subsidiaries:
Monitor Publications Limited - - 11.8 12.6
Mwananchi Communications Limited - - 25.3 27.4
Other related parties:
Property Development and Management Limited 1.5 - 1.5 -
TPS Eastern Africa Limited 15.2 10.4 1.6 1.8
Jubilee Holdings Limited 8.0 6.8 5.5 5.0
24.7 17.2 45.7 46.8
ii) Purchase of goods and services
Subsidiaries:
Property Development and Management Limited 166.4 161.7 166.4 161.7
444.6 393.2 424.1 411.5


31. Related parties (continued)
Group Company
iii) Outstanding balances from transactions with related parties 2019 2018 2019 2018
Amounts due from related parties Sh m Shs m Shs m Shs m
Subsidiaries:
Nation Infotech Limited - - 0.9 0.9
Radio Uhuru Limited - - 4.9 4.9
Nation Marketing and Publishing Limited - - 36.9 36.9
Nation Holdings Rwanda Limited - - 285.3 261.5
Kenya Buzz Limited - - 10.5 6.9
Nation Holdings Tanzania Limited - - 18.0 6.3
TPS Eastern Africa Limited 3.1 8.2 - -
3.7 8.8 536.9 476.0
Provision for impairment
Nation Holdings Rwanda Limited - - (285.3) (261.5)
Nation Marketing and Publishing Limited - - (36.9) (36.9)
3.7 8.8 214.7 177.6
Amounts due to related parties
Subsidiaries:
123
Africa Broadcasting Uganda Limited - - 29.3 10.3
Monitor Publications Limited - - - -
Nation Marketing and Publishing Limited - - - -
Nation Holdings Tanzania Limited - - - -
Property Development and Management Limited 0.7 0.6 0.7 0.6
Jubilee Insurance 14.2 2.4 5.2 1.6
17.6 4.1 36.4 13.1
iv) Loans to executive directors
At start of year 2.4 - 2.4 -
Loans advanced during the year 1.5 3.0 1.5 3.0
Loans repaid during the year (3.9) (0.6) (3.9) (0.6)
At end of year 0.0 2.4 0.0 2.4
Loans to executive directors are on terms similar to those applicable to other employees and are included in other receivables.
v) Key management compensation
Key management includes executive directors. The compensation paid or payable to key management for employee services
is shown below.
Group Company
2019 2018 2019 2018
Salaries and other short term employment benefits 283.6 286.5 255.6 252.9
Post-employment benefits (Defined contribution) 18.6 18.3 15.4 14.5
302.2 304.8 271.0 267.4


31. Related parties (continued)
vi) Directors’ remuneration
Group Company
2019 2018 2019 2018
Fees for services as director 29.6 32.8 27.4 30.7
Salaries and other short term employment benefits 58.8 78.3 58.8 78.3
Other benefits 4.1 6.0 4.1 6.2
92.5 117.1 90.3 115.2
vii) Other related party transactions
Included as part of short-term investments (Note 23) are the following balances with related parties:
Group and Company

2019 2018
Shs m Shs m
Term deposit with Diamond Trust Bank Kenya Limited 567.5 313.9
Short term note investment with Industrial Promotion Services (K) Limited 400.0 400.0
967.5 713.9
The short term investment note with Industrial Promotion Services (K) Limited is for a duration of 3 months each (renewable),
attracting interest rate of 9.3% per annum for 2019 and 9.3% per annum for 2018.
124

Principal Shareholders and their respective Shareholding

at 31 December 2019
No. Name of shareholder No. of shares held %
1 THE AGA KHAN FUND FOR ECONOMIC DEVELOPMENT (AKFED) 84,198,343 44.66
2 ALPINE INVESTMENTS LIMITED 19,136,566 10.15
3 KIMANI JOHN KIBUNGA 4,438,433 2.35
4 STANBIC NOMINEES LIMITED 2,864,065 1.52
5 STANDARD CHARTERED KENYA NOMINEES LTD A/C KE002382 2,588,000 1.37
6 STANDARD CHARTERED NOMINEES RESD A/C KE11450 2,283,828 1.21
7 THE JUBILEE INSURANCE COMPANY OF KENYA LIMITED 2,266,818 1.20
8 KENYA COMMERCIAL BANK NOMINEES LIMITED A/C 915B 2,266,033 1.20
9 STANDARD CHARTERED NOMINEES RESD A/C KE11401 2,130,717 1.13
10 KENYA COMMERCIAL BANK NOMINEES LIMITED A/C 915A 1,889,389 1.00
Distribution of Shareholding
At 31 December 2019
No. of shares No. of shareholders No. of shares held % of shareholding
1 - 500 4,990 892,071 0.47
501 - 5,000 4,791 9,812,859 5.20
5,001 - 10,000 863 6,504,423 3.45 125

10,001 - 100,000 925 23,847,875 12.65
100,001 - 1000,000 83 19,855,389 10.53
Over 1,000,000 13 127,629,669 67.69
TOTAL 11,665 188,542,286 100.00
Directors Shareholding
Name No. of shares held % of Shareholding
Yasmin Jetha 15,175 0.0080
Wangethi Mwangi 5,058 0.0027
Stephen Gitagama 1,296 0.0007

Notes
PROXY FORM
I/We_______________________________________________________________________
________________________________________________________being a member of Nation media Group Limited,

hereby appoint _____________________________________________________________________
of_________________________________________________________________________and failing him_________

__________________________________________________, the Chairman of the meeting as my/our proxy to vote
for me/us and on my/our behalf at the Annual General Meeting of the Company to be held on the 26th June 2020
and at any adjournment thereof.
As witness my hand this ______________________________________________________
Signature___________________________________________________________________
IMPORTANT NOTES
1. If you are unable to attend this meeting personally, this form of proxy should be completed and returned
to the Secretary, Nation Media Group Limited, P.O. Box 49010 – 00100 Nairobi, to reach him not later than
48 hours before the time appointed for holding the meeting.
2. A person appointed to act as a proxy need not be a member of the company.
3. If the appointer is a corporation, this form of proxy must be under seal or under the hand of an officer or
attorney duly authorised in writing. 127

FOMU YA UWAKILISHI
Mimi/Sisi________________________________________________________________
________________________________________________________ kama mwanachama wa kampuni ya Nation

Media Group Limited, ninamteua ___________________________________________________________________
kwa________________________________________________________________________na
kumkosa___________________________________________________________, mwenyekiti wa mkutano huu
kama mwakilishi wangu/wetu, ili anipigie/atupigie kura na kwa niaba yangu/yetu katika Mkutano Mkuu wa Mwaka
wa Kampuni hii unaofanyika tarehe 26 Juni 2020 na siku nyingine yoyote ile iwapo utaahirishwa.
Kama shahidi mkono huu ______________________________________________________
Sahihi___________________________________________________________________
MAELEZO MUHIMU
1. Iwapo hutaweza kuhudhuria mkutano huu kama mtu binafsi, fomu hii ya uwakilishi inafaa ijazwe na
kurejeshwa kwa Katibu, Nation Media Group Limited, S.L.P 49010-00100 Nairobi ili imfikie katika muda
usiozidi saa 48 kabla ya wakati ulioratibiwa wa kuanza mkutano
2. Si lazima mtu aliyeteuliwa kuwa mwakilishi awe mwanachama wa kampuni hii
3. Iwapo anayetaka kuwakilishwa ni shirika, analazimika aitie muhuri fomu yake au iwe na mkono wa afisa
128 ama wakili ili aiidhinishe kwa maandishi.

Notes
129

Notes
130

TAMBA NAYO
Soma Taifa Leo Unufaike Pakubwa
PA P E R MOBILE WEB
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taifaleo.nation.co.ke matao makubwa duniani. Kila nchi inapigania kukifunza au
kukisoma Kiswahili. Usiachwe nyuma, kakamaa, jikaze, fanya
hima ya kukitumia ili upate uhondo kamili wa lugha.
Kwa taarifa zaidi wasiliana

nasi kupitia 0721 527 878
#TambaNayo @Taifa_Leo
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5 To authorise the directors to fix the remuneration of the Non-Executive Directors.

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4th June, 2020

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