…2007, 2008 reports presented
IN convening the 16th and 17th Annual General Meetings (AGMs) for the years 2007 and 2008, Chairman of the Guyana National Newspapers Limited (GNNL), Mr. Keith Burrowes, indicated his disappointment with the fact that these meetings were not held earlier. At a ceremony to present the reports, last Wednesday at the Sleepin International Hotel on Brickdam, the Chairman assured that the financial statements for 2009 and 2010 were already with the auditors. He expressed hope that these would be completed as early as possible.
The meeting saw three representatives of the majority shareholders in attendance, who raised a number of issues, for which answers were adequately provided.
Reading the auditor’s report for 2007 was GNNL’s General Manager, Nandkumar Puran.
The report said that chartered accountants Bisheswar, Seebarran and Company had audited the financial statements of GNNL for the year ended December 31, 2007. It was conducted in accordance with the Audit Act 2004. It said the audit was conducted in accordance with generally accepted auditing standards, including those of INTOSAI.
According to the Chairman’s Report, the company’s performance in 2007 was exceedingly favourable, compared with the previous year. GNNL made a profit of $26.2M before tax, an increase of $13.1M or almost 100%. The increase was mainly due to increased advertising revenue, as well as a reduction in expenditure.
The total expenditure for the year was $339.7M (2006 – $364.2), a decrease of $24.5m or 7.2%. Raw materials and employment cost accounted for 64% (2006 67%) of total expenditure, while electricity/fuel cost was 7% (2006 – 6%).

2008 Report
According to the Chairman’s Report, the company made a loss of $7.3M before tax for the year 2008. This loss was a combination of a decrease in revenue and an increase in expenditure.
Revenue for the year amounted to $341.9M, compared with $365.9M in 2007, a decrease of $24M or 6.6%, and comprised advertising – $64.9%, newspaper circulation – $27%, job printing – 6.2% and other income – 1.9%.
Total expenditure for the year was $349.2M, as against $339.7M in 2007, an increase of $9.5M or 2.8%. This was mainly due to higher prices for newsprint and other production materials, over which the company has no control. Raw materials and employment costs accounted respectively for 23 % and 41% of total expenditure, while fuel and electricity – 6% and other costs – 30% accounted for the remainder.
Total revenue earned by the Business Unit was $27.8M, or 8.1% of total revenue for the year. This represented an increase of 9.9% over the previous year’s earnings of $25.3M.
According to the Auditors’ Report, Chartered Accountants Bisheswar, Seebarran and Company audited the financial statements of GNNL for the year ended December 31, 2008. The audit was conducted in accordance with the Audit Act 2004.
Meanwhile, the Chairman noted that there was a need to expand the business unit so that more revenue could be generated. He further expressed satisfaction with the ‘Mastermind Quiz Game’ which he said is going “excellent.”
According to him, the online game now sees over 100 children from both local and overseas residences participating, with over four presentations made thus far. Apart from those parents who are already appreciative of the game, Mr. Burrowes urged other parents to encourage their children to participate.
In closing, the Chairman informed the meeting that he had voluntarily submitted his resignation to government for all of the positions he occupied. He made it clear that this decision was more to do with a general principle in which, ‘whenever there’s a change in government, public officers for on-state boards and other entities should resign in order to allow the new administration to determine the changes it would wish to make.’
Subsequent to his announcement, both board and staff members expressed concern at that development, and petitioned Mr. Burrowes to reconsider his decision.