17 June 2001
The Minister notes with concern, recent media report which state that he was responsible for the decision to convert Coleman Andrews' share option into cash, and was responsible for the early termination of Andrew's contract, including the determination of his termination package. These statements in the media are incorrect. The Minister wishes to state categorically, that the decision to convert Mr. Andrews' shares into cash was taken at a SAA Board level and that the Minister was only informed of this after such a decision had been taken. Secondly, the Minister was only informed of the extent of the severance package for Mr. Andrews after such an agreement was reached between Mr. Andrews and the SAA Board. Further, Transnet has informed the Minister that the share conversion into cash and the conditions of premature termination of Mr. Andrews' contact was done in accordance with the legally binding employment contract that was previously entered into with Mr. Coleman Andrews. The Boards of Transnet and SAA are therefore best positioned to explain these matters further. The Minister therefore rejects any statement that he has been involved in these issues, as factually incorrect.
Enquiries:
Fani Zulu
Director: Communications
Ministry of Public Enterprises
082 451 0457