We cannot be bystanders while Transnet is drawn into a squabble that has nothing to do with us
The editorial "There is no smoke without a bonfire" refers. You make a number of misguided and inaccurate observations against Transnet.
You take exception to Transnet’s focus on financial details when updating stakeholders about its performance for the interim period to September 30 2016. Absent from the matchbox analysis is the other pillars that Transnet reports on. Transnet has a constellation of stakeholders that includes its bankers, investors and bond holders, employees, the shareholder and society at large.
Transnet does not need to be listed to be an effective organisation — especially as we raise capital on the strength of our balance sheet, and without government guarantees.
You find it problematic that Transnet is intensifying its investment efforts into the general freight business and are of the view that this is in vain because we are failing to "regain sufficient traffic from the roads". That net profit would be under strain in a heavy investment period, especially when the economy is not growing, can be expected. It is not a sign of decline. We constantly review our investment decisions to ensure that capacity is created ahead of validated demand. The general freight business was previously an area of huge underinvestment in our business.
Regarding the public protector’s state capture report, our initial assessments are that there are no adverse observations against Transnet.
Last, our decision to terminate the contract with Regiments Capital, which authorised Trillian to execute a contract on its behalf, was undertaken to preserve our reputation. We cannot be bystanders while Transnet is drawn into a squabble that has nothing to do with us.