Crowe Horwath TM African Footprint Issue 13 - October 2014 Technical Newsletter of the Crowe Horwath International African firms Inside This Issue: Zimbabwe Geography and demography Zimbabwe is a landlocked country situated in Southern Africa with a total land area of 390,580 square kilometers. The country is bordered by Mozambique to the east, South Africa to the south, Botswana to the west and Zambia to the north and northwest. It is divided into 10 administrative provinces and 62 districts. The capital city is Harare and other major cities include Bulawayo, Gweru, Kadoma, Kwekwe, Masvingo and Mutare. The population of Zimbabwe is estimated to be 13.3 million (according to the 2012 Census) with 52 percent being female and 48 percent being male. Of the total population, just over 49 percent is under the age of 17. The major ethnic groups are Shona and Ndebele. Zimbabwe 1 Visit by our international leadership 5 A foreign Will for foreign assets 5 Unlocking the Mystery of Hotel Management Agreements: Part 3 7 New offensive against tax optimization companies 9 Private Equity Investments in Africa 9 Extract from the World Economic Survey 2014/2015 10 Economic trends Zimbabwe's economy has experienced severe challenges over the past decade, reaching crisis proportions in 2007 and 2008. Gross Domestic Product (GDP) is estimated to have contracted by: a cumulative ? 50.3 percent with official inflation rate at 231 million percent in July 2008; capacity utilisation in industry fell below 10 percent by January 2009; ? poverty remained widespread with infrastructure having deteriorated ? since 2000; the economy has become more informalized; and ? severe food and foreign currency shortages were experienced, ? particularly in 2008 when supermarket shelves where virtually empty. Feedback from our Readers! Should you wish a specific topic to be covered in our next issue, please let us know by emailing your request to our editor kent.karro@crowehorwath.co.za Audit Tax Advisory 1 Crowe Horwath TM Key Statistics for Zimbabwe (2013) GDP (current US$) GNI per capita, Atlas method (current US$) Population, total Poverty headcount ratio at national poverty line (% of population) 7 474 000 000 460 13.3 MILLION 73.9 Life expectancy at birth, total (years) 48 Literacy rate, adult total (% of people ages 15 and above) 92 External debt stocks (% of GNI) 71.8 Merchandise trade (% of GDP) 84.3 Unemployment rate (%) 94 Source: International Organization for Migration (Zimbabwe Country Profile 2013) The adoption of a multicurrency payments system in February 2009 marked a significant shift in economic policy in Zimbabwe. This was reinforced by the crafting and implementation of the Short Term Economic Recovery Programme (STERP), its implementation instrument, the 100 Day Plan, and a revised 2009 National Budget denominated in US Dollars. These policy measures provided an antidote to the scourge of hyperinflation, and a holistic macroeconomic framework for economic recovery. The economy responded positively to these initiatives, with GDP growing by 5.7 percent in 2009 while the year-on-year inflation was (-7.7) percent as of December 2009. Industrial capacity utilisation improved from about 10 percent at the beginning of 2009 to between 35 and 60 percent by December of that year. Other significant macroeconomic changes include price liberalization, removal of surrender requirements on export proceeds, removal of exchange restrictions, the end of Grain Marketing Board (GMB) monopoly, imposition of budget constraints on Parastatals, and the reform of monetary and fiscal policy frameworks and institutions such as the Reserve Bank of Zimbabwe (RBZ). 2 Crowe Horwath TM Why you should invest in Zimbabwe Zimbabwe's overall investment environment offers you a market-driven economy with the following attributes: 1 2 3 4 5 6 7 8 Abundant natural resources especially in the mining, agriculture, tourism and energy sectors. Availability of educated and competitive labour. Well developed infrastructure. Access to Regional and World markets. Security of Investments. Treaties and Bilateral Investment Protection Agreements. Free movement of investment capital. Attractive investment incentives. Investment Opportunities Areas In Zimbabwe Sector Opportunity MANUFACTURING Textiles Cotton ginning, spinning, weaving, finishing textiles and knitting products. 100 Clothing & Footwear Wearing apparel and footwear. 100 Chemicals Fertilizers, insecticides, pesticides, paints, varnishes, soaps, detergents, inks, glues, polishes, pharmaceuticals, industrial chemicals, petroleum products, rubber and plastic products. 100 Wood & Furniture Saw milling, wooden products, furniture and fixtures. 100 Metal& Metal products Machinery and equipment, radio and communication equipment. 100 Technology Information processing, computer assembly, solar technology and consumer electronics. 100 MINING Mining Prospecting and mining of various minerals including gold, coal, diamond, granite and platinum (of which Zimbabwe has the second largest reserves in the world after South Africa). Opportunities also exist in the beneficiation of the minerals e.g. cutting and polishing of diamonds, jewellery manufacturing and tile manufacturing. Quarrying and mineral exploration 49 TOURISM Infrastructure Development Contruction of hotels and lodges in designated Tourism zones. 49 Tourism services Running and operating tourist facilities e.g. in the South East of the country. 70 Agroprocessing Zimbabwe is an agro-based economy and opportunities abound for investment in value addition in the agriculture sector, for instance, meat processing, fruit juices, horticulture and floriculture, processing of cotton lint, sugar milling and timber processing. 49 Agro-forestry Primary production of food and cash crops, primary horticulture, game, wild life ranching, livestock, poultry farming, fishing and fish farming. 35 Construction Medium priced residential accommodation, commercial and industrial buildings (industrial parks, factory shells & office accommodation) 70 Infrastructure Development of Toll roads, building and upgrading of airports, construction of dams and bridges, building of power generators & transmission facilities, construction and upgrading of telecommunication facilities 70 Transport Road haulage, tourist transport, car hire and taxis 35 AGRICULTURE SERVICES Maximum foreign Ownership (%) 3 Crowe Horwath TM Welsa International Chartered Accountants WELSA offers cost-effective and substantial benefits to clients by delivering practical and professional solutions to achieve quality improvement and to develop systems to both achieve and maintain optimal productivity for its clients. WELSA offers professional Auditing, Accounting, Risk Management, Taxation, Forensic Accounting, Forensic Auditing, Fraud Investigations and other business advisory services with strength in corporate finance. WELSA is led by wellknown, resourceful personalities, who have collectively accumulated a variety of professional experience over the years. The Firm's vision is to be the preferred firm of auditors and providers of other professional accounting and related advisory services in Zimbabwe, Africa and the Globe. This vision is to be realized through the fulfillment of its mission, which in summary, is to serve the market with integrity, professionalism and independence. WELSA International provides the following services to a variety of clients operating in various industry sectors: Accounting Based Advisory Services; ? Auditing (external and internal); ? Risk management and risk profiling; ? Forensic accounting, Forensic audit and Fraud examination services; ? Corporate finance and business advisory; ? Corporate recovery including liquidations, curatorship and judicial management; ? Human resources consultancy; and ? Other advisory services ? - Administration of deceased estates; Company secretarial services; Corporate governance and legal advisory services; IT reviews and consultancy; Management consultancy; Tax advisory services; and Acting as Trustees. The firm is headquartered in Harare -Zimbabwe and has associate offices in Lusaka – Zambia and Blantyre – Malawi. The firm has four partners who are registered Auditors and two non-audit partners. They have a total staff complement of 29. Welsa International Chartered Accountants has recently been admitted as a member of Crowe Horwath International. Dr Wesley Sibanda (Managing Partner) is a Chartered Accountant, duly appointed by the Public Accountants and Auditors Board of Zimbabwe (PAAB) in terms of the Public Accountants and Auditors Act (Chapter 27:12), as a Public Accountant and Auditor. He has over 30 years experience in accounting, auditing, taxation and other advisory services including special investigations (including forensics), corporate finance, risk management, liquidations, judicial management and related services. The Managing Partner is in charge of quality assurance and control on all assignments. Dr Sibanda is the current Chairman of the PAAB, the regulator of Public Accountants and Auditors in Zimbabwe. Dr Wesley Sibanda Welsa International Chartered Accountants Zimbabwe 4 Crowe Horwath TM Visit by our International Leadership It was an exciting couple of days around the Crowe Horwath South Africa offices in July, with the Crowe Horwath International CEO, Kevin McGrath as well as the regional Director for Europe, Middle East and Africa, Bernard Delomenie being hosted at our offices in Johannesburg and Cape Town. This was a courtesy visit in order to gain further insight into the South African operations and to see how we can further expand the network in Southern Africa. South Africa is one of 22 key economic centres identified by Crowe Horwath International around the world and therefore plays an important part in the International network. From left: Peter Katz (Horwath Leveton Boner), Terence Hatzkilson (Horwath Forensics), Kevin McGrath (Crowe Horwath International) Our guests also paid a courtesy visit to one of the Johannesburg office’s major clients. A great visit by our International leadership to South Africa! Mark Watson Horwath Leveton Boner Johannesburg, South Africa From left: Bernard Delomenie (Crowe Horwath International), Mark Watson (Horwath Leveton Boner), Stephen Bernstein (Horwath Leveton Boner) A foreign Will for foreign assets - An international dilemma If an individual owns foreign (offshore) assets, the question arises as to whether more than one Will is required. The reason for this, is that the provisions in a Will made in one jurisdiction may not necessarily be recognised in another jurisdiction where the offshore assets are registered. Also, even though one Will could be used, there may be practical advantages in having more than one Will. For example, a South African Will would not be effective to deal with a house in Jersey unless the necessary formalities of having read the Will out loud and witnessed by a notary public had been observed. Another example involves civil law jurisdictions, such as those found predominantly in mainland Europe, where those jurisdictions have statutory rights (forced heirship) for certain family members to inherit, regardless of what is stipulated in a Will. Therefore, depending on the foreign jurisdiction, a South African Will may not remove the effect of forced heirship where the offshore assets are located in a civil law jurisdiction. Another common query is why an offshore Will is necessary at all if the executor has the authority provided by South African letters of executorship. The answer is that the majority of asset holders registered outside of South Africa will not recognise letters of executorship and will request a local probate (court authority) or a local notarial declaration (depending on the jurisdiction) before they will allow an executor to administer the asset. 5 Crowe Horwath TM Broadly speaking, the options for dealing with offshore assets are: a single Will, which governs the worldwide estate, a Will limited to the jurisdiction where the offshore asset is situated or a Will dealing with worldwide assets outside the country of domicile (permanent residence). Each of these options has its own advantages depending on the nature of the offshore assets and in which jurisdiction they are situated. The starting point for analysing how the Will(s) should be structured is to consider what formalities will have to be followed in the foreign jurisdiction to facilitate the succession. This analysis will be illustrated with the following examples: 1 Case for one worldwide Will The first example is where an individual is domiciled in South Africa and the only offshore asset is a bank account registered in England. In this instance, the Will draftsman should consider what the formalities will be, if the testator passes away, to administer the bank account in England. Each bank in England has their own threshold in which they will release the funds without wishing to see an English court authority and, on average, this is approximately £10,000. So if the funds are over the bank's relevant threshold, an English court authority will be required. In these circumstances, there is a fast track procedure called “resealing” whereby the English court could formally recognise and give effect to the South African letters of executorship. So in this case, the Will draftsman may consider that one worldwide Will is appropriate. The only drawback is that the South African administration and English administration cannot be conducted simultaneously. Before the letters of executorship can be resealed, court sealed and certified copies of the letters of executorship will first have to be obtained, which may take many months. However, the draftsman may consider that the slight delay in administering the English account is not worth the trouble of preparing two Wills. 2 Case for a domicile Will and Will outside of the jurisdiction The second example is that of an individual who is domiciled in South Africa, but also owns unit trusts in Jersey, a bank account in the Isle of Man and stocks and shares in England. In this example, the assets are located in four different jurisdictions. Preparing four Wills could be quite a messy and dangerous exercise and not appropriate in these circumstances. A practical solution would be to have the domicile (home) Will, limited to South Africa only. In addition, there should be an offshore Will, which applies to all jurisdictions outside of South Africa. The offshore Will could then be used to administer the assets in Jersey, Isle of Man and England. 3 Case for a worldwide Will and separate Will limited to one jurisdiction A third example is where an individual is domiciled in South Africa, an Italian national, and owns a holiday home in Italy, which is a civil law jurisdiction. In this example, alarm bells should be ringing for the Will draftsman in South Africa as there may possibly (depending on the family) be forced heirship issues to consider. Also, where immovable property (such as land and houses) is owned abroad, an offshore Will is almost always advisable and, where forced heirship might arise, necessary. This may be because the foreign jurisdiction will only recognise a local Will to dispose of property in their jurisdiction or because an offshore Will can be given authority and used in a more timely fashion, which will then enable the executor to deal with the property more efficiently. In this example, it would be appropriate for the South African Will draftsman to prepare a worldwide Will excluding Italy and, at the same time, advise the client that they must have an Italian Will dealing with their Italian estate only. 6 Crowe Horwath TM Obtaining advice Cross-border estates require careful planning and it is always recommended that a professional is consulted to advise on the most appropriate Will structuring. Where you own immovable property abroad, it is ? almost always essential to have a local Will in place to deal with the succession of the property. In this case, it is usual practice to obtain advice from a lawyer in the jurisdiction where the property is situated. Tips for individuals ? Remember that if you are a foreign national of a Always advise a Will draftsman if you own foreign ? assets. Do not assume that a South African Will can adequately dispose of foreign assets in the way that you wish. civil law jurisdiction, there may be forced heirship (compulsory shares to family members) to consider. When an offshore Will is signed in South Africa, ? Always advise a Will draftsman if you already have ? an offshore Will. If you do not mention this, a later Will may accidentally revoke your offshore Will, which is already in existence. Look carefully at which jurisdiction your assets are ? registered. For example, remember that the United Kingdom comprises England, Wales, Scotland and Northern Ireland only. The Republic of Ireland, Isle of Man, Jersey and Guernsey are separate jurisdictions. So it is no good asking for a Will limited to the United Kingdom when you hold assets in one of the Channel Islands, such as Jersey or Guernsey. depending in which jurisdiction the offshore Will is to be used, there are specific signing formalities that need to be followed and a professional should advise on these formalities. Kent Karro Horwath Zeller Karro Cape Town, South Africa Reproduced with the permission of the author Mr Oliver Phipps Solicitor Lester Aldridge LLP Solicitors Russell House, Oxford Road BOURNEMOUTH BH8 8EX England Unlocking the Mystery of Hotel Management Agreements: Part 3 In the previous issues of the African Footprint, we shared Part 1 and Part 2 of this three part paper published by my colleague Matt Gebbie, of the Horwath HTL office in Jakarta Indonesia, which aims to assist clients demystify the peculiarities of the hotel management agreement. In this edition of the African Footprint, we share the final part of this three part paper. I trust you might find the explanations that follow of some of the key commercial terms that form the backbone of a typical hotel management agreement of interest. Terminology: Hotel Management Company HMC Hotel Management Agreement, made between HMC and Owner HMA General Manager GM Finance Director FD Furniture, Fixtures and Equipment FF&E RevPAR Revenue Per Available Room Owner’s Right to Terminate: What are my rights as an owner if I wish to terminate the agreement? In a typical HMA, there are a few options available for an owner to terminate including material breach, bankruptcy, sale of the property and a 'performance test'. A performance test requires the HMC to achieve certain annual performance targets as set out in the HMA. Failure to achieve these targets in consecutive periods and failure to remedy the situation gives the owner the right to terminate the HMA. Typically these will not apply in the first few years of operation to allow the property time to stabilise performance. Performance targets could include the following: achieved ? RevPAR is lower than a specified minimum percentage of the achieved average RevPAR of an agreed competitive set; and/or achieved GOP is lower than a specified minimum percentage of budgeted GOP. ? 7 Crowe Horwath TM How are the owners' interests protected, particularly in longer HMAs? Often the performance test will include the right on the part of the HMC to cure a failure of the performance test by paying the shortfall amount to the owner. An owner often limits the number of times an HMC can do this during the operating term. Pro-forma Profit & Loss (P&L) Statement: What is the basic definition of gross revenue and gross operating profit (GOP)? There are typically 4 main revenue categories; Rooms, Food & Beverage, Other Operated Departments (spa/health club, business centre, valet, guest laundry, parking, telecoms etc) and Rentals and Other Income (space leasing, commissions etc). The sum of all 4 revenue categories is known as Total Revenue or sometimes Gross Revenue. Expenses are categorised as either Departmental Expenses (Rooms, Food & Beverage and Other Operating Departments) or Undistributed Operating Expenses (Administration & General, Sales & Marketing, Property Operations and Maintenance, and Utilities). Total Revenue less Total Departmental Expenses is known as Total Departmental Income. Gross Operating Profit (GOP) is calculated by subtracting Undistributed Operating Expenses from Total Departmental Income. What owner expenses can be booked above GOP? Typically, all owners' expenses are considered below GOP (i.e. do not reduce GOP). Non-Competition: How can I stop the HMC managing another property next door to mine? Depending on market and hotel category, there may be a non-competition or area of protection clause in the HMA which provides that the HMC may not operate another hotel within a specified geographic area surrounding the subject hotel during a specified period from the signing of the HMA and/or the opening of the hotel. This is typically brand specific and does not apply across all brands the HMC may operate. The idea behind this clause is to ensure: (i) the HMC does not operate other hotels that may capture demand from the subject hotel; and (ii) the HMC's undivided attention within that geographic area. Brand Standards: Brand standards are often a major stumbling block in negotiations between owners and HMCs. The FAQs outlined below are an introduction only to some of the discussed issues. Why is the construction cost per room higher with some domestic / international operators? Typically HMCs will require certain construction standards be met, vis-à-vis fire, life safety, security, materials, access and finishings. The more standards, the more likely construction cost per room will increase. In many cases, such as fire, life safety and security these will not be negotiable. Why are some HMCs more flexible on room count and room size than others? Certain brands require certain facilities and this dictates the acceptable room count range and room size range. Such things are integral to the DNA of the brand and HMCs guard the integrity of their brands very carefully. At the end of the day, the integrity of the brand is what an owner is paying for and what a guest expects. Typically there is some flexibility with both room count and room size although there are limits. For example, if the acceptable range for room size for a particular brand may be 24-30sqm, the HMC is unlikely to accept 18sqm for the same brand. Why do some HMCs require the inclusion of food & beverage and meeting space when others don't care? Similar to room size, brand DNA often dictates the inclusion of certain F&B outlets, meeting space, gym, spa etc. There is always some flexibility for negotiation and different HMCs and different brands will have different requirements dependant in part on local market characteristics. Why can't I choose the name of the hotel? Typically an HMC will accept only their brand and the location in the hotel name. They will very rarely share the limelight and include the owner's name. Michelè De Witt Horwath HTL Cape Town, South Africa 8 Crowe Horwath TM New offensive in Reunion against tax optimization companies The socialist Member of Parliament will suggest new measures, partly inspired by those not approved last year They would like to propose many measures against tax optimization of large companies under the budget 2015 introduced this fall. A key provision will be subject to a vote: intensification of the sanction for the default in the presentation of documentation relating to transfer pricing. It is only one technical provision but the impact may be very costly for some companies. Above a particular size, these companies are required to pass documentation to the administration about their policy on transfer pricing (prices at which the entities of the same company in different countries charge for goods or services, perhaps to reduce the tax burden). After another aborted attempt in the supplementary budget this summer, politicians will probably make new proposals. The idea is to base the sanction on the amount of the internal transactions of the group, and not, as now, on the amount of any recovery of taxes. Other topics may also emerge during the debate, like the idea of forcing lawyers to report to the tax authorities their advice in regard to the tax optimization for their clients - a subject on which the socialist M.P. Karine Berger may make proposals. The real problem is not the statements, but the burden of proof (which now falls to the tax authorities), she explains. I will make proposals if the political situation allows. The reform of the notion of abuse of law, also adopted then rejected by the Constitutional Council in late 2013, could reappear. Abdoullah LALA Crowe Horwath Fiduciaire des Mascareignes Reunion Private Equity Investments in Africa On 25 and 26 September 2014, the Board of Investment in Mauritius, organized its fourth annual conference on “Private Equity Mauritius”, with a clear focus on Africa. The scale of investment in Africa has increased significantly. FDI inflows to Africa rose for the second year running, up 5 per cent to 50 billion USD (3.7 per cent of global inflows). FDI inflows peaked at close to 60 billion USD in 2008, but fell during the postcrisis period. Given the general trend over the last few decades, the discovery of extractive resources, post-downturn recovery and the gradual narrowing of Africa's infrastructure gap, FDI is expected to surpass 60 billion USD yearly in the next decade. France is the highest contributor of FDI at over $6 billion, followed by the United States at just over $5 billion. France's investment has diversified beyond its colonial ties, expanding investment into mining and oil operations. US investment has been more concentrated in finance and holding companies. In 2012, 2.5 per cent of total FDI inflows to Africa came via Mauritius and has doubled to over 5 per cent in 2013. Mainly its African tax treaty network and low tax rates are the drivers behind the use of Mauritius as a hub towards Africa. As an international financial center, the next Mauritian government will developed a “Think Africa – Think Mauritius” brand to encourage FDI in Africa by using the regulatory framework and connections Mauritius has already in place. Studies show the main M&A opportunities are likely to be in industries like agriculture, manufacturing, utilities, consumer goods, ICT, finance and business services. On the list of countries with the highest market opportunities in Africa, we find countries like Nigeria, South Africa, Egypt, Angola, Ethiopia, Morocco, Sudan, Congo (DRC), Tanzania, Ghana, Equatorial Guinea, Uganda, Mozambique, Kenya, Tunisia, Namibia and Zambia. African countries with an average annual growth rate of 6-8 per cent will see their economies grow with more than 50 per cent by 2020! But one also has to bear in mind that the “no risk – no reward” quote remains alive in many African countries and therefore many investors demand an annual ROI of a minimum of 18 per cent in such countries. Thus, the importance of profound risk analysis, in-depth due diligences, local representation and hands-on expertise becomes a must for each foreign investor. That is where our Crowe Horwath African network comes in and we invite you to join us… Ajay Sewraz SG Financial Services Limited Jiri Vanhuynegem International Tax & Legal Consultant 9 Crowe Horwath TM Extract from the World Economic Survey 2014 /2015 Once again the World Economic Forum have released their Global Competiveness Index for the 2014/2015 years. The survey was conducted on 144 participating countries and includes a variety of different categories. The table below includes some of the more important indicators for our firms represented in the African region and are presented for information purposes only with no negative intent meant for any country listed. The figures are a good indicator of some of the challenges facing our member firm countries. I have also listed for comparison purposes the United States of America, United Kingdom and Germany as three of the major entities from the first world countries. Country Algeria Angola Botswana Cote d`Ivoire Egypt Ghana Kenya Madagascar Mauritius Mozambique Namibia Nigeria Rwanda South Africa Tanzania Tunisia Uganda Zambia Zimbabwe Germany United Kingdom United States Strength of Ethical Quality of audit and behaviou educational reporting r of firms system standards 14-15 14-15 14-15 vs vs vs 13-14 13-14 13-14 134/141 100/138 114/133 141/147 144/145 142/144 43/48 39/39 82/65 80/94 93/95 80/83 117/122 69/57 141/145 101/78 77/90 59/46 68/86 73/78 30/44 104/114 120/133 115/117 25/24 37/41 42/37 110/111 130/124 124/129 34/30 53/53 107/118 88/106 132/131 122/113 63/65 22/24 50/51 1/1 35/37 140/146 119/127 116/122 109/100 78/84 75/65 68/71 114/118 83/98 78/82 67/72 66/51 36/38 38/39 106/83 43/42 23/23 16/15 12/14 16/16 14/12 23/26 32/36 33/32 27/25 Number Soundness Business of days to of banks impact of start a HIV business 14-15 14-15 14-15 vs vs vs 13-14 13-14 13-14 101/97 133/140 118/118 134/137 115/128 143/141 132/134 43/46 139/142 39/108 77/57 109/94 39/25 110/125 1/40 69/57 97/73 92/113 112/108 54/67 125/135 39/34 119/108 87/91 21/16 15/16 70/80 69/63 84/77 134/136 134/136 36/23 137/145 109/114 78/106 108/117 2/5 82/83 98/110 90/82 6/3 136/143 105/99 107/114 131/134 57/54 12/131 6754 1112/12 83/78 141/139 31/76 59/56 129/138 137/139 136/137 126/132 74/70 55/64 29/26 62/63 89/105 21/25 14/16 49/58 75/86 (The 2013/2014 report had 148 participants versus the 2014/2015 report which had 144 participants). It is interesting to note the lack of representation in the top 10 of the rankings bar. A few exceptions have been highlighted in bold. The effect of HIV on business in Africa continues to be an extremely negative factor. The quality of education appears fairly varied although still needs to improve dramatically in many countries in order to produce well educated individuals to feed into the labour market. The full report is available on the internet and makes for some very interesting reading. reports.weforum.org/global-competitiveness-report-2014-2015 Mark Watson Horwath Leveton Boner Johannesburg, South Africa 10 Crowe Horwath TM Our African Network Contact Information Algeria Mauritius Hamza & Associés Tele: +213 20 508188 Email: h.tarek@hamza-dz.com Crowe Horwath (Mur) Co Tele: +230 208 8684 Email: contactus@crowehorwath.mu Angola Morocco Horwath Angola - Auditores e Consultores, Lda Tele: +244 925 289207 Email: carlos.florencio@crowehorwath.ao Horwath Maroc Audit Tele: +212 537 77 46 70 Email: benbrahim@horwath.ma Cote d’Ivoire Nigeria Uniconseil Tele: +225 08212520 Email: soraya_toure@yahoo.fr Horwath Dafinone Tele: +234 1 545 1863 Email: duvie@dafinone.com Cameroon Reunion Audit & Financial Consultants Tele: +237 33 42 1969 Email: njc.calvin@gmail.com Crowe Horwath Fiduciaire des Mascareignes Tele: +262 2 6290 8900 Email: a.lala@fdm.re Djibouti South Africa - Cape Town Crowe Horwath Djibouti Sarl Tele: +253 2135 7517 Egypt Crowe Horwath Dr A M Hegazy & Co Tele: +202 376 00516 Email: dramhegazy@crowehorwath.eg Ethiopia Yeshanew Gonfa & Co Tele: +251 0 118693141 Email: ygandcompany@gmail.com Kenya Horwath Erastus & Co Tele: +254 20 3860513 Email: erastuscpa@kenyaweb.com Libya Ahmed Ghattour & Co Tele: +218 21 444 4468 Email: aghattour@ghattour.com Madagascar Cabinet Genevieve Rabenjamina Tele: +261 202 221121 Email: cce@moov.mg Horwath Zeller Karro Tele: +27 21 481 7000 Email: contactus@crowehorwath.co.za Horwath HTL (South Africa) Tele: +27 21 527 2100 Email: capetown@horwathhtl.co.za - Johannesburg Horwath Leveton Boner Tele: +27 11 217 8000 Email: info@crowehorwath.co.za Tanzania Horwath Tanzania Tele: +255 22 2115251 Email: chris.msuya@crowehorwath.co.tz Tunisia Horwath ACF Tele: +216 71 236000 Email: noureddine.benarbia@crowehorwath.com.tn Zimbabwe Welsa International Chartered Accountants Tele: +263 772 294 913 Email: wssibanda@gmail.com Mali Inter Africaine d’Audit et d’Expertise (IAE-SARL) Tele: +223 20 286675 Email: iaecpt@orangemali.net Crowe Horwath EA, Crowe Horwath (Mur) Co, Crowe Dr A M Hegazy & Co, Crowe Horwath Djibouti, Horwath Zeller Karro, Horwath Leveton Boner, Horwath Maroc Audit, Horwath Dafinone, Hamza & Associés, Horwath Angola, Uniconseil, Audit & Financial Consultants, Cabinet Genevieve Rabenjamina, Yeshanew Gonfa & Co, Inter Africaine d’Audit et d’Expertise (IAE-SARL), Horwath ACF, Fiduciaire des Mascareignes, Horwath Erastus & Co, Ahmed Ghattour & Co, Horwath Tanzania and Welsa International Chartered Accountants are separate and independent members or business associates of Crowe Horwath International, a Swiss verein (Crowe Horwath). Each member or business associate firm of Crowe Horwath is a separate and independent legal entity and is not responsible or liable for any acts or omissions of Crowe Horwath or any other member or business associate of Crowe Horwath and specifically disclaims any and all responsibility or liability for acts or omissions of Crowe Horwath or any other Crowe Horwath member or business associate. 11