RE: CENTRAL BANK OF NIGERIA ADVERTORIAL
Our attention has been drawn to the Advertorial published by the Central Bank of Nigeria (CBN) in national daily newspapers, on Wednesday the 19th day of August 2009. This Advertorial states, that Oando PLC (‘Oando’) has total ‘non-performing’ loan facilities in the sum of Seven Billion, One Hundred Million, Five Hundred and Seventy- Four Thousand Naira (N7,100,574,000) with Oceanic Bank Plc and constitutes one of the largest debtors to the Bank.
In no way can our relationship with Oceanic Bank be deemed non-performing. As part of our on-going commercial relationship with Oceanic Bank PLC, we had different credit balances on our deposit account and other debit balances on our advised loans as at May 31, 2009. For the avoidance of doubt, none of these debit balances represented a past due obligation. The table below lists the balances as at May 31 and August 14, 2009.
In addition, the Bank served as issuing house for a N5,500,000,000 (Five Billion, Five Hundred Million Naira) Commercial Paper which has since been settled on June 28, 2009 in line with pre-agreed terms.
We have demanded that the CBN and Oceanic Bank correct the erroneous impression that has been created by this advertorials.
Oando is a Public Limited Company and any sensitive publication such as this could have a material impact on local/international shareholders, prospective investors and debt providers’ confidence in the organization.
Oando is a responsible entity and continues to be committed to proper financial management practices.
