Nawaz Sharif's statement: PSO's clarification

[Lahore_Real_Estate]

KARACHI (May 27 2010): Further to comments made by PML (N) leader, Nawaz Sharif, and subsequent news circulating in certain sections of media with respect to PSO's financial standing, the management would like to clarify that the PML (N) leader appears to be misinformed about current company performance. The leading energy provider has announced very strong results heralding a prosperous last quarter and sound financials backed by its many initiatives.

During the period under review, PSO's sales revenue touched Rs 627 billion as compared to Rs 540 billion during the corresponding period last year. Earnings after tax for the third quarter were Rs 2.5 billion, accumulating to Rs 7.5 billion for the nine-month period.

The Board of Directors along with the Ministry of Petroleum have recognised the efforts of current PSO management in transforming the largest public sector organisation into a viable and profitable entity amidst the ongoing circular debt. As on May 26, 2010, PSO's receivables stand at an alarming Rs 120 billion and it has had to resort to heavy borrowings, resulting in its incurring high financial charges.

PSO is working closely with the Government of Pakistan and would categorically deny the comments made by Nawaz Sharif, who in his zeal to project his point of view, has resorted to factually incorrect statements.

PSO and its management remain committed to values of transparency and good corporate governance as evident through our recent initiative of on boarding Transparency International Pakistan (TIP) to help PSO adopt best business practices and ensure compliance to standard operating procedures.-PR