Meikles Limited issued an Interim Management Report on 15 August 2013 in which reference was made to the Funds held on deposit with the Reserve Bank of Zimbabwe (RBZ).
A further report on very recent developments relating to these funds is considered essential.
The rate of interest to be accrued on these funds has now been agreed with the RBZ and the date from which interest will accrue to the Company at the agreed rate has also been determined.
The total adjusted sum now on deposit will be included in the Group interim financials for the period ending 30 September 2013. The agreement reached is so recent that exact calculations of the sum are still to be finalised. However, the increase in the sum on deposit is anticipated to be significant.
The Company has been informed by the RBZ that it is considering a methodology whereby the Company will be able to access these funds. This will enable the Group to restructure its local short term borrowings and provide sufficient capital for the furtherance of future strategic objectives, including an appropriate dividend policy. It is expected that the roadmap to achieve these objectives, will be in place in the near term.
The Company expresses its sincere appreciation for the proactive and very helpful manner in which this matter has been dealt with by the Governor and his team at the RBZ.