/ 29 July 1997

Transnet loss-makers to be sold

TUESDAY, 11.00AM

TRANSPORT parastatal Transnet’s loss-making parcel delivery service PX and its road transport operator Autonet are to be 100% privatised, Transport Minister Mac Maharaj said on Monday.

Transnet has been forced to absorb PX’s whopping R500-million deficit, and is likley to report huge losses next week as a result.

Maharaj’s announcement has angered labour however. The SA Railway and Harbour Workers’ Union is opposed to a piecemeal sell-off of Transnet subsidiaries, and prefers to negotiate a holistic strategy for all Transnet subsidiaries, with the possible exception of SA Airways.

BUSINESS BRIEFS

KWV MAN QUITS KWV executive Jannie Retief has resigned from the wine co-operative to pursue business interests. Retief was one of the KWV managers who allegedly authorised a fraudulent scheme to sell local sparkling wine in the US disguised as French champagne. He has denied his resignation has anything to do with the allegations.

WATER BOND LISTED THE SA Bond Exchange on Monday granted water utility Umgeni Water Board’s R1-billion UG65 bond. The issue, the price of which will be determined at auction on September 3, will carry a 13% coupon payable semiannually and wiull mature on June 1 2010.