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Briefing on prasa audit report and turnaround strategy

 

The Acting Group CEO Collins Letsoalo hosted a media briefng session this afternoon at PRASA Corporate Office and addressed the following issues.

 

As PRASA we are happy to announce that we have received an unquali ed Audit opinion from AGSA for the nancial year 2015/16.

 

The consolidated and separate nancial statements “present fairly”, in all material respects, the nancial position of PRASA and its subsidiaries as at 31 March 2016 and their nancial performance and cash ows for the year then ended, in accordance with the SA Statements of GAAP and the requirements of the PFMA. Although there are matters of emphasis; the AGSA has not modi ed its opinion. These matters of emphasis pertain to issues around litigation, re- statement of corresponding gures, material impairments and material capital commitments. PRASA has reduced its de cit from 1053,2 million to 312,4 million.

 

The AGSA has also audited our performance information and found it to be useful and reliable as well as presented in accordance to the National Treasury annual reporting principles. They further found that the performance was consistent with the planned objectives on both usefulness and reliability. We have achieved in this regard 47% of our annual targets. In this nancial year we are busy implementing key initiatives to improve both PRASA nancial and operational performance. Some of the key initiatives includes the improvement of our rail services.

 

The reduction in operational costs, improving revenue, and aligning PRASA to effectively deliver on its primary and secondary mandate. In this regard we anticipate by the end of October 2016 to release PRASA’s turnaround strategy which will go further into detail and elaborate on the above matters.

 

The Acting Group CEO expressed his con dence in 17 000 capable men and women at different levels within Prasa working very hard some even at extremely dif cult situations where it matters the most for the organization - dealing with angry customers daily and still remain committed to serve. In his address he emphasized that Prasa staff should never take illegal instructions from anyone as we journey together in delivering our core mandate. “It is my wish that the fascination about Prasa be the future and our ability to gain the market share. I am con dent that when we all bring our part and do what we are here for - the Prasa tomorrow will be a better place than yesterday”, said Collins Letsoalo.

 

We therefore call on all our stakeholders, in the main staff and our commuters, to work with us as we nalise this strategy in order to ensure that we deliver a digni ed rail services to all our people.



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