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S&V Weekly Newsletter Vol.5 No.27, July 8, 2019

This Newsletter is sponsored by SAFLIA

2019 IS HALF WAY THROUGH! LET'S REDOUBLE OUR EFFORTS TO MAKE IT A REALLY GOOD YEAR!

Please note: Click on any ad to go to the advertiser’s website

 

Retail last week

Comment from 5 retailers on Saturday
"It's been a bit quiet because of school holidays - a lot of our clients go away. We're a destination store both on the shoe repair side, where we are known for quality repairs, and on the comfort footwear side, where we sell branded men's and women's footwear. Our business is more-or-less evenly split between those divisions. The year so far has been quiet. People hold on to their money in uncertain times." - Dipak Parbhoo, member, Durasole, Cape Town, W Cape, SA. Independent, 1 store.

"Not bad. I'm happy with trading this week. The year so far has been tough. You have to box clever." - Shiraaz Mohamed, director, Ebbie's Fashion House, Kimberley, N Cape, SA. Independent, 1 store, men's outfitter.

"From November last year to May there were strikes on the mines, which affected trade. Since June, business has definitely picked up. Winter hasn't been strong because of the warm weather. By the time it got cold, the chains had put their winter merchandise on sale, which doesn't help us." - Mohammed Hoosen Laher, proprietor, Textile Wholesalers, t/a Best Shop, Ebony, M&H and Melz, Carletonville, NW Province, SA. Mini-chain, 6 stores, family footwear.

"It's been a bit quiet this week because of school holidays, and overall it hasn't been good for a couple of years. It's quiet, but it's not disastrous." - Muhammad Seedat, member, Ebsons, Johannesburg, Gauteng, SA. Independent, 4 stores, family footwear and schoolwear specialist.

"It's not what it was years ago, but we're paying our expenses and making a living." - Faizal Hajat, member, Economic Outfitters, Johannesburg, Gauteng, SA. Independent, 1 store, men's outfitter and schoolwear specialist.

 

 

D-Day for ostrich industry

Pretoria, Gauteng, SA – The Competition Tribunal will hear final arguments today in the application by Mosstrich and Klein Karoo International to merge after the Competition Commission earlier this year rejected their application.
       In a release last Monday, the tribunal said:
Two of the largest companies in the ostrich industry are approaching the Tribunal this week in a bid to have a decision by the Commission – to prohibit their merger – reconsidered.
       The Commission earlier prohibited the merger between Mosstrich (Pty) Ltd and Klein Karoo International (Pty) Ltd, after finding that the merger would result in a near monopoly in the market for ostrich meat and feathers. The Commission also found, among others, that the merger was aimed at eliminating competition between the two companies and that they would control the entire value chain of the ostrich industry if the merger was approved.
       However, the companies argue that the proposed transaction is an attempt to stabilize the ostrich industry which is in a state of decline. They submit that there is no incentive for them to exploit the local market. They maintain that the case, on the whole, does not make out a case for prohibition. They also submit, among others, that the proposed merger will aid the survival of the ostrich industry and create jobs.
       The Tribunal is hearing evidence from various witnesses this week including the two companies, competitors/farmers, retailers and economic experts. The matter has been scheduled for hearing this week and final arguments will be heard next Monday, 8 July 2019. 

 

 

Lanxess mine strike 'not expected to affect global supply'

Johannesburg, Gauteng, SA – Chemical company Lanxess, one of the major suppliers globally of chrome used in tanning, told S&V last week that the strike at its Rustenburg chrome mine had ended on June 27 and that production is expected to resume this week.
       It said it "did not expect that the strike would result in a shortage of supply, in South Africa or internationally."

 

Truworths responds to Sky News report

Cape Town, W Cape, SA – In a release via the Stock Exchange News Service (SENS) on July 2, Truworths said:
Truworths noted a media report by Sky News, a British news organisation, on Monday, 1 July 2019 wherein it was stated that, inter alia, the Group's United Kingdom ("UK") subsidiary, Office Holdings Ltd. ("Office"), has appointed advisors to consider restructuring options. The Group would like to respond to this media report as follows:

       Office has circa GBP45 million of debt which is due to be repaid with a significant portion of the debt to be settled through a lump sum payment at maturity in December 2020. In light of the depressed retail trading environment currently being experienced in the UK, Office has entered into discussions with the relevant lenders regarding potential debt restructuring options. To assist in this regard, Office and the lenders have appointed Alvarez & Marsal Europe LLP and Deloitte LLP, respectively, as their professional advisors.
       Though it is expected that the UK and Office will continue to experience a difficult trading environment in the medium term, the company's management and the board of directors believe that the discussions with the lenders and any resultant debt restructuring will not have a material impact on the Group's operations in South Africa and the rest of Africa.

 

Movements

Durban, KZN, SA – Former Mr Price Sport footwear and equipment buyer Rodney Rens emigrated at the end of last month. The new buyer is André du Toit.

Johannesburg, Gauteng, SA – Fems Footwear and former Naked Feet agent Ebrahim 'Briggs' Mohamed died on June 27 aged 76.

Johannesburg, Gauteng, SA – JSE-listed AVI Ltd, which owns A&D Spitz and Green Cross Manufacturers among other businesses, has appointed Alexandra Muller to its board as an independent non-executive director with effect from 1 July 2019. She is a chartered accountant and until recently was a partner at PricewaterhouseCoopers where she headed up the governance, risk and internal audit practice in the financial services assurance division since 2014.

 

They Said It

"Phew!  It’s chaotic." - Gale Rice of Courteney Boot in Bulawayo, Zimbabwe in response to S&V's request for comment on the situation there, particularly with the change in that country's currency regulations.

"If you think Eskom is a problem wait until you visit Zimbabwe for just a few days with our Zesa (Zim Eskom) - horrendous load shedding of up to 18 hours a day, every day, and all during daylight hours. Then you will thank God for Eskom.  We expect the problem to get worse and already affecting production and no respite until possibly April next year." - Bev Jack, retired former director of LAIFEZ in Harare, Zimbabwe.

 

S&V Directory - Order now

The directory is ready. On sale for R450. The online version is also available at R450 for 12 months' access.

 

2019 Trade Fairs Another essential service from S&V

Please note that we have put a list of the 2019 trade fairs and conferences on our website, linked to their websites: http://www.svmag.co.za/events

 

Exchange rates

Source: http://www.x-rates.com/calculator/

 
  Euro € GBP £ US $ Yuan Renminbi ¥
05/01/2019 R15.94 R17.79 R13.99 R2.03
12/01/2019 R15.86 R17.76 R13.83 R2.04
19/01/2019 R15.76 R17.85 R13.87 R2.04
26/01/2019 R15.52 R17.97 R13.60 R2.01
02/02/2019 R15.26 R17.42 R13.32 R1.97
09/02/2019 R15.46 R17.66 R13.65 R2.02
16/02/2019 R15.90 R18.15 R14.09 R2.08
23/02/2019 R15.90 R18.32 R14.04 R2.09
02/03/2019 R16.17 R18.77 R14.22 R2.12
09/03/2019 R16.22 R18.79 R14.43 R2.14
16/03/2019 R16.31 R19.15 R14.40 R2.14
25/03/2019 R16.31 R19.02 R14.42 R2.14
30/03/2019 R16.26 R18.90 R14.49 R2.15
06/04/2019 R15.80 R18.36 R14.09 R2.09
13/04/2019 R15.76 R18.24 R13.95 R2.08
20/04/2019 R15.86 R18.33 R14.10 R2.10
27/04/2019 R16.03 R18.56 R14.37 R2.13
04/05/2019 R16.08 R18.88 R14.34 R2.13
11/05/2019 R15.91 R18.40 R14.16 R2.07
18/05/2019 R16.09 R18.32 R14.41 R2.08
25/05/2019 R16.15 R18.32 R14.41 R2.08
01/06/2019 R16.28 R18.41 R14.57 R2.11
08/06/2019 R16.95 R19.03 R14.94 R2.16
15/06/2019 R16.61 R18.65 R14.81 R2.14
22/06/2019 R16.30 R18.24 R14.32 R2.08
29/06/2019 R16.01 R17.88 R14.08 R2.05
06/07/2019 R15.91 R17.74 R14.17 R2.05
Note: For previous rates, see HERE

 

 

 

ABSA Agri Trends 05/07: Hides & skins prices

Hides: This week the calculated average hide price increased by 0.5% week-on-week. The current hide price is 76.3% lower compared to prices a year ago. Hide prices seem to have stabilized at these low levels.. NB* Hide prices are determined by the average of the RMAA (Red Meat Abattoir Association) and independent companies. Dorper skins: R25.00/skin. Merino skins: R38.57/skin.

Hide & skin price progression
Date Hides/Kg Dorper/Skin Merino Skin
18/01/2019 3.94 33.75 81.67
25/01/2019 2.89 31.11 92.78
01/02/2019 2.83 30.63 87.50
05/02/2019 2.53    
13/02/2019 2.95    
15/02/2019 2.95 25.83 62.01
19/02/2019 2.01    
22/02/2019 2.00 31.88 49.21
26/02/2019 2.04    
01/03/2019 2.04 30.00 45.21
14/03/2019 1.63    
20/03/2019 1.60    
27/03/2019 1.67    
10/04/2019 1.68    
24/04/2019 1.78    
26/04/2019 1.49 32.50  
03/05/2019 1.82    
17/05/2019 2.05 34.00  
21/05/2019 1.72    
24/05/2019 1.72 36.67  
28/05/2019 1.74    
31/05/2019 1.74 32.50 48.75
10/06/2019 1.68 41.90  
14/06/2019   25.83 38.57
18/06/2019 1.68 25.83  
28/06/2019 1.66    
01/07/2019 1.67    
For previous prices, see HERE
 

  

08/07/1950: Sam Muller, BEC Safety, Port Elizabeth.
09/07/1942: Cecil Fenwick, Saddler Belts & Leathercraft, Durban.
09/07/1949: Bryn Proctor, ?, formerly Crown Footwear, Pinetown.
09/07/1958: Johan Kriel, retired, formerly Bolton Footwear, Great Brak River.
09/07/1969: Hein Jonker, Ostrich Products SA.
09/07/1975: Gian-Paolo Bresolin, left the industry, formerly Andreoli Shoes [closed], Pinetown.
10/07/1940: Erwin Metzger, Sanata Footwear, Durban.
10/07/1945: Colin Symons, retired, formerly Elco Plastics, Cape Town.
10/07/1970: Shelley Zhang, left the country, formerly Lavanda Shoes, Randburg.
10/07/1972: Annah-Mae Blair, The New Shoe Company, Durban.
10/07/1976: Johan Venter, Rolfes Leather, Boksburg.
11/07/1945: Maureen Liebenberg, retired, formerly Barker Footwear, Cape Town.
11/07/1964: Hafiza Shaikh, left the industry, formerly Amshu Distributors (closed), Greytown.
11/07/1975: Cassim Dawjee, Moola’s Fashion House, Newcastle.
12/07/1970: Guy Blake, agent, Cape Town.
13/07/1954: Peter Handley, Coventry Shoes, Durban.
14/07/1969: Veronica Clausen (nee Haupt), Clicka Heels, Johannesburg.
14/07/1971: Laurence Lotzoff, Dale Footwear, Johannesburg.

 

In Memoriam this week

09/07/2015: Mahomed Ebrahim Haffejee (b.18/08/1930), Capri Bag, Durban.
10/07/2002: Rodger Brewitt (b. 25/11/1947), Bata Zimbabwe/Futura Footwear, Port Shepstone.
10/07/2014: Terry Thomas (b. 12/05/1935), agent, Durban.
12/07/2015: Hessen Bernado (b. 19/07/1959), Bagshaw Footwear, Port Elizabeth.

Have you let us know about your birthday, or the birthdays of your colleagues? Our readers love this section, so please become part of it. This also applies to the In Memoriam section. Help us remember former colleagues.

 

Have a look at these links

We invite businesses to send us links to websites, Facebook pages and the like which they feel would be of interest to others. The links below are from our database:
Bagazio Promotions, promotional gifts and items, Cape Town, W Cape, SA: http://facebook.com/bagaziopromo
Ballet Barre, retail ballet specialist, Pretoria, Gauteng, SA: http://www.balletbarre.co.za/

 

Contact us

News & Classifieds: Tony Dickson, +27 (0)31 209 7505, tony@svmag.co.za

Next newsletter: July 15, 2019.

SAFLIA enquiries: Tel 0800SAFLIA * Email info@saflia.co.za * Website http://www.saflia.co.za

Should you wish to subscribe email tony@svmag.co.za
Our website www.svmag.co.za

 

 

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