PRESS STATEMENT

FOR IMMEDIATE RELEASE

JOSPONG GROUP OF COMPANIES RESPONSE TO ALLEGATIONS

OF WRONG DOING IN WASTE BIN DISTRIBUTION CONTRACT
ACCRA; August 31 2017: Our attention has been drawn to reports on JOY FM and its
other sister stations since Monday 28th August 2017, imputing wrongdoing in the
award of contract to some subsidiaries of the JOSPONG GROUP with particular
reference to the fact that the quoted sum of $74,040,000 is inflated. The inaccurate
report carried by the Multimedia Group on its various platforms purported to be an
investigation by your reporter Manasseh Azure Awuni is unfortunate.

We respond to the specific allegations as follows:

1. Allegation of Inflated price

That the price is inflated is misconceived and misleading. Firstly, this
agreement is a Pre Financing and Credit Sale contract. The total number
of waste bins to be supplied under the initiative is 1,000,000 at a supply rate
of $60 per piece (to be paid at the prevailing Bank of Ghana interbank
exchange rate) plus 900,000 (nine hundred thousand) pieces of
Biodegradable Bin Liners at $15.60 per piece. The total contract sum of
74,040,000 United States Dollars was to be pre financed by the companies,
which therefore allowed the Government of Ghana flexibility payment
terms for a period of 24 months. Definitely a cash sale has different terms
as compared to a credit sale.

i. Further to the production cost involved in the above, a major

component of the contract is the transportation and distribution of the
 bins to households within the 216 districts in Ghana by the
companies involved which has additional cost implications, and
same was factored into the pricing.
ii. It should be noted, contrary to claims, the bins are durable; coming
with a replacement warranty and a competitive price to the
international market price.

2. Allegation of payment of the contract sum.

i. It must be placed on record that none of the five companies has
supplied any item under the contract and neither has any payment
been made by the Ministry of Local Government to the said
companies.

3. The reports and statements in the Multimedia Group, authored by Manasseh

Azure Awuni, to the effect that the contract price has been inflated in excess of
one hundred and thirty million Ghana cedis (GH130,000,000.00) is, therefore,
grossly misleading and unfortunate to say the least. Clearly, there was no
wrong doing in the procurement or award of the contract.

4. Splashing pictures of waste bins

We wish to state categorically that the references made to waste bins in the
district with pictures displayed online by Joy FM were meant to mislead the
public that, because some assemblies have not distributed existing bins, there
was no need for distributing the bins as required by the contract is unfortunate.

It should be noted that, The One million Bins Distribution Programme is meant to
ensure that households in Ghana have bins to enhance waste management,
disposal and collection in all communities. Currently, the lack of such bins in
houses is leading to poor waste disposal and indiscriminate dumping of waste
generated daily.
On the face of the evidence, we deem the publication in question by the Joy FM and
Manaseh Azuri Awuni as malicious and calculated to tarnish the hard-won reputation
of the Jospong Group, the Chief Executive and its subsidiaries.

Accordingly, we call on Joy FM and its sister stations to retract the defamatory
statements made against the Jospong Group and the Chief Executive of the Jospong
Group, Dr. Joseph Siaw Agyepong, within three days upon receipt of this rejoinder,
failing which the company may be constrained to take any further action that it deems
appropriate without further recourse to the Multimedia Group.

You may kindly contact the undersigned for further clarification

Sophia Lissah

SIGNED

Group Head of Communication

Jospong Group of Companies
slissah@jospongroup.com

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