MED-VIEW AIRLINE PLC UNAUDITED MANAGEMENT ACCOUNT 30 SEPTEMBER, 2017

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1 UNAUDITED MANAGEMENT ACCOUNT 30 SEPTEMBER, 2017

2 STATEMENT OF FINANCIAL POSITION AS AT THE PERIOD ENDED SEPTEMBER 30, 2017 Jan- Sept Jan-Dec ASSETS Notes Property, plant and equipment 9 7,877,733 7,851,847 Investment property , ,500 Intangible Assets 11 1,790,856 1,890,000 Available for sale financial assets 12 32,585 32,585 Security deposit 13 1,242,314 1,573,593 Deferred tax asset 61,541 61,541 Non-current assets 11,275,529 11,680,066 Inventories 14 15,932 15,932 Trade and other receivables 16 3,822,594 3,074,820 Prepayments , ,640 Cash and cash equivalents 17 2,371, ,879 Current Assets 6,990,951 3,753,271 Total Assets 18,266,479 15,433,337 Equity and liabilities Equity Issued share capital 18 4,875,325 4,875,325 Retained earnings 2,746,216 1,549,152 Total Equity 7,621,541 6,424,477 LIABILITIES Borrowing ,434 Non-current liabilities - 322,434 Trade and other payables 20 9,636,267 7,488,642 Current income tax payable 8 395, ,484 Borrowing , ,300 Current liabilities 10,644,938 8,686,426 Total equity and liabilities 18,266,479 15,433,337 Approved by the Board of directors on October 27,2017 and signed on its behalf by: Muneer Bankole Chief Executive Officer (FRC/2015/ICEN/ ) Adedayo Olaniyan Executive Director, Finance & Account (FRC/2016/ICAN/ ) 2

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4 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE PEROD ENDED SEPTEMBER 30, 2017 Jul-Sept Jan-Sept Jul-Sept Jan-Sept Notes Gross Revenue 1 15,312,693 28,772,142 10,724,726 19,442,709 Operating Cost 4 (13,343,556) (24,223,329) (8,913,757) (16,612,678) Gross Profit 1,969,137 4,548,813 1,810,969 2,830,031 Other Income ,809 6, ,287 Administrative expenses 5 (1,211,318) (3,080,641) (1,041,636) (1,300,978) Finance Costs 7 (29,550) (188,653) (78,908) (182,294) Profit/(loss) before tax 728,319 1,362, ,822 1,450,046 Tax expense 8 (90,886) (165,264) (85,437) (175,904) Profit/(loss) for the year 637,433 1,197, ,385 1,274,142 Other Comprehensive Income for the period, Total comprehensive income 637,433 1,197, ,385 1,274,142 Earnings Per Share Basic(kobo)

5 STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED SEPTEMBER 30, 2017 Issued share capital Retained earnings Capital Reserve Total Equity As at 1 January ,900, , ,971 4,969,354 CHANGES IN EQUITY 2016 Increase in share capital 665, ,354 Adjustments in retained earnings 16,918 16,918 Transfer to share capital 309,971 (309,971) - Total comprehensive income for the period - 772, ,851 As at 31 December, ,875,325 1,549,152-6,424,477 CHANGES IN EQUITY 2017 Increase in share capital Total comprehensive income for the period - 1,197,064 1,197,064 As at 30 Sepember,2017 4,875,325 2,746,216-7,621,541 4

6 STATEMENT OF CASHFLOWS FOR THE PERIOD ENDED SEPTEMBER 30, 2017 Jan-Sept Jan-Dec Profit before tax 1,362, ,033 Non- cash adjustments: Depreciation charge 241, ,225 Revaluation surplus (55,500) Amortization 97, ,000 Finance Charges 188, ,937 1,889,987 1,408,695 Working capital adjustments Decrease /(Increase) in inventories - 146,482 Decrease/(Increase) in trade and other receivable (747,774) (247,345) Increase/(Decrease) in Current Prepayments (644,445) (136,640) Increase /(Decrease) in trade and other payables 2,147,625 3,171,666 Increase/(Decrease) in borrowings (354,377) (710,688) Net cashflow from operating activities 2,291,015 3,632,170 Investing activities Purchase of properties, plant and equipment (267,392) (2,419,106) Movement in Security Deposits 331,279 (1,191,813) Tax paid during the year (28,270) (20,000) 2,326,632 1,251 Financing activities Increase in share capital - 975,325 Capital Reserve changes - (309,971) Dividends (292,519) Finance Charges (188,653) (193,937) (Decrease)/Increase in borrowings (554,357) Net increase in cash and cash equivalent 1,845,460 (81,689) Cash and cash equivalent at 1 January 525, ,568 Cash and cash equivalent at 30 September 2,371, ,879 3

7 1 TURNOVER Jul-Sept Jul-Sept Hajj Operations 8,133,798 5,538,328 Domestic Operations 3,689,763 2,869,199 International Operations 3,489,132 2,317,199 15,312,693 10,724, OTHER INCOME Jul-Sept Jul-Sept Miscellaneous Income 30 5,412 Insurance Claims Interest Income ,397 Miscellaneous income represents income from excess bank charges as well as from third party use of training facility 3. EXCHANGE GAIN AND LOSSES Jul-Sept Jul-Sept Exchange Gain OPERATING COST Jul-Sept Jul-Sept Aircraft lease - Hajj Operation 1,952,309 2,227,627 Aircraft lease - Local Operation 919,874 16,366 Aircraft Maintenance 1,739,373 98,198 Aviation fuel -ATK 4,454,031 3,047,106 Handling charges 667, ,210 Catering 433, ,470 Statutory Charges (NCAA/FAAN/NAMA) 1,466,064 1,016,648 Over flight /navigation charges 300, ,197 Hotel Accomodation 274, ,662 Insurance and aircraft inspection 109, ,041 Govt. Agency/ Royalty - NAHCON 573, ,593 Weighing charges - 19,000 Flight attendants allowance 93,177 41,189 Commission 270, ,267 Depreciation: Aircraft 91, ,183 13,343,556 8,913,757 5

8 5. ADMINISTRATIVE EXPENSES Jul-Sept Jul-Sept Advertisement 55, ,123 Business Development 42, ,684 Fuel( PMS/AGO) 6,765 9,997 Insurance 735 5,163 Motor Vehicle expenses 8,627 6,454 Printing & Stationery 16,445 4,131 Office Rent 42,854 17,364 Staff Cost/Medical/Training/Welfare 517, ,829 Transport 17,484 16,114 Telephone /Communication 2,942 1,670 Courier Services & Postages 19,715 14,219 Entertainment 3,013 3,031 Electricity 1,966 14,325 Office Repairs & maintenance 1,417 1,157 Depreciation: Charge for the year 20,778 11,476 Amortization of intangible assets 97,500 65,000 Subscription charges 60,953 23,577 Security services 16,830 12,340 Professional fees 73,174 6,800 Bank Charges 68,642 28,445 Legal & Other Consultancy fees 17,981 16,407 Operational expenses - Hajj 98,988 48,330 Other repairs and maintenance 18,701 - Bad debts - - Exchange Loss 614-1,211,318 1,041,636 6

9 6. AUDITORS' REMUNERATION The analysis of auditors' remuneration is as follows: Fees Payable to the Companys' auditor for the audit of the company's annual account FINANCE COST Jul-Sept Jul-Sept Interest on loan 47,103 25,421 Interest on overdraft 2,969 8,916 50,072 34, TAXATION Current Income Tax Payable The movement on income tax payable account during the year was as follows: Jan-Sept Jan-Dec Per income statement Income tax Prior year under provision - - Income tax 138,017 68,638 Education tax 27,247 13,728 Per Statement of financial position - 15, ,264 67,182 Balance brought forward 230, ,118 Charged 165,264 82,366 Paid (20,000) Balance carried forward 395, ,484 Deferred tax Balance brought forward (61,541) (46,357) (Write back)/charged - 15,184 (Asset)/liability carried forward (61,541) (61,541) The charge for taxation is based on the provisions of the companies Income Tax Act C21 LFN 2004 as amended to date, Education Tax Act E 4 LFN 2004 and IAS 12. 7

10 9. PROPERTY, PLANT AND EQUIPMENT Cost or valuation LAND & MOTOR COMPUTER PLANT/OFFICE &COMMUNICA TION FURNITURE, FITTING & CAPITAL WORK-IN - BUILDING VEHICLES EQUIPMENT EQUIPMENT PARTITIONING AIRCRAFT PROGRESS TOTAL As at January 1, , ,702 73,138 87,520 74,416 5,711,132 2,281,854 8,648,055 Additions 84, ,644 8,082 33, , ,392 Reclassification As at 30 September, , ,702 90,782 95, ,825 5,711,132 2,405,230 8,915,447 Depreciation As at January 1, ,706 65,294 41,248 43,333 41, , ,209 Adjustments Charges 5,050 15,639 8,157 9,544 9, , ,506 Impairment Losses As at 30 September, ,756 80,933 49,405 52,877 50, ,207-1,037,715 At 30 September, ,419 67,769 41,376 42,724 57,290 4,927,925 2,405,230 7,877,733 At 31 December, ,587 83,408 31,890 44,187 33,389 5,121,531 7,851, Capital Work-in-progress This represents the amount expended in acquiring a property toward the financial year end and stock of spare parts for the aircrafts. 9.2 Comitment Financial commitments The following properties were used as collateral for properties enjoyed by the company from financial institutions ( i) TLM over property located at 23 Olowu str., Ikeja, Lagos with OMV of N230,000,000 as at 17/09/2013 as value by Ajayi Patunola & Co (ii) Legal Mortgage over property located at 2/3 Samota Falola Street, Olowu Ikeja, Lagos with OMV of N195,500,000 as at 17/09/2013 as valued by J. Ajayi Patunola & Co 9.3 Capital commitments Capital expenditure commitments at the year -end authorized by the Board of Directors comprise: Approved and contracted - - Approved but not contracted - - 8

11 10. Investment properties Jan-Sept Jan-Dec Balance brought forward 270, ,500 Additions - - As at September , , Financial Commitments The property located at 23 Olowu Str., Ikeja, Lagos with OMV of N230,000,000 as at 17/09/2013 was commited to facilities enjoy from financial institution as at year end. Jan-Sept Jan-Dec 11. INTANGIBLE ASSETS As at January 1,890,000 1,890,000 Amortisation (99,144) - Additions - - As at September 30 1,790,856 1,890,000 Intangible assets represents the licenses which authorises the company to operate as an airline and also the designations It also includes the Software acquired by the company The intangible assets are made up of the following licences: a. Airline Operating Certificate b.iata Licensed Travel Agent c. IATA Operational Safety audit certificate d.air Transport Licence e. Tour Operators Licence f.air Carriers Permit g. Route Designation Licence h. Vidcom Reservation System Software i. Sage 50 Quantum Accounting Software 12. Investments Available for sale financial assets Jan-Sept Jan-Dec As at January 1 32,585 32,585 As at September 30 32,585 32,585 9

12 13 Security Deposit Jan-Sept Jan-Dec As at January 1 1,133,640 1,573,593 During the year 108,674 Reclassified from Investment - As at September 30 1,242,314 1,573,593 An amount of N1,189,231,921 of the security deposit represents forward option to Central Bank of Nigerian (CBN) in respect of Form A for the purchase of foreign currency This amount was booked on December 23, 2016 for the next 90 days. 14 Inventories Jan-Sept Jan-Dec Spare parts for aircraft 15,932 15,932 15,932 15,932 This refers to the company's consumable spare parts relating to the aircrafts 15 PREPAYMENTS Jan-Sept Jan-Dec 781, , Trade and other receivables Jan-Sept Jan-Dec Trade receivables 2,429,023 1,258,697 Other receivables 378, ,607 Intercompany receivables ,015,438 1,059,516 3,822,594 3,074, These represent balances outstanding in respect of settlements made by the company on behalf related entities and Med -View International Travels and Cargoes Limited Bad and Doubtful Debts Provision: Provision for doubtful debts is made only for debts that are above 365 days and above due While 100% provision is made for debts that are overdue by 91 days and more. Despite making provision for the overdue debts, the company still makes efforts to collect the outstanding debts. Only debts that have been provided for which cannot be collected after exhausting all debts recovery efforts are eventually written off as bad debts. Credit Policy It is the policy of the company to subject sales agents to credit worthiness test. The credit worthiness of each agent is assessed by considering the history of their business transactions. Credit limits are set for each agents based on their volume of transactions. Corporate entities are granted credit after considering their credit worthiness 10

13 Jan-Sept Jan-Dec 17. Cash & cash equivalents Cash Balances 2,442,790 1,692,885 Bank Balances 1,387, ,744 3,830,532 2,164,629 Bank Overdrafts (1,459,193) (1,638,750) 2,371, , Share Capital Share Capital comprises: Authorized: Jan-Sept Jan-Dec As at January 1 12,000,000,000 ordinary shares of 50k each 6,000,000 6,000, ,000,000,000 ordinary shares of N50k each 6,000,000 6,000,000 Issued & Allotted: As at 1 January 4,875,325 4,875,325 Additions As at 30 September 4,875,325 4,875,325 Jan-Sept Jan-Dec 19. NON CURRENT LIABILITIES Long-term borrowings Opening Balance 1,289,734 2,554,781 Addition during the year 391,013 Less Repayments (676,811) (1,656,060) 612,923 1,289,734 Less: Amount due within one year (612,923) (967,300) Amount due after one year - 322,434 Finance lease liabilities are secured by the assets leased. The borrowings are a mix of debt with repayment periods not exceeding four years. variable and fixed interest rate.the weighted average interest rates paid during the year were: % % Bank Overdraft Finance lease

14 20 Trade and other payables Notes Trade payables 5,581,037 4,397,027 Other payables & accruals 3,358,284 1,246,353 Intercompany balance , ,645 Directors' current accounts 668,220 1,006,617 9,636,267 7,488,642 ## These represent balances outstanding in respect of settlements made on behalf of the company by related entities Med-View Konsult Limited Trade and other payables principally comprise amounts outstanding for trade purchases and on going costs. The average credit period taken purchase is sixty days. The directors consider that the carrying amount of trade payables approximates their fair values. 21 Short-term borrowings Current Portion of long term: Jan-Sept Jan-Dec Note Borrowings , , , ,300 Borrowings refer to the current portion loans repayable within the next one year 22 COMMITTMENT AND CONTINGENT LIABILITIES (i) Commitment Financial Commitments The Company did not charge any of its assets to secure liabilities of third parties other than those stated in the note 15.1 of this financial statement. The Directors are of the opinion that all known liabilities and commitments have been taken into account in the preparation of these financial statements. (ii) Contingent Liabilities There are contingent liabilities in respect of legal actions against the company amounting to N43,794,000 (there were no contingent laibilities in the previous year).management has not made provision for this liability as consultations with the Company's external solicitors has indicated that the likely outcome of the legal actions may favour the Company. 23 RECLASSIFICATION OF BALANCES Certain comparative balances have been reclassified to ensure proper disclosure and uniformity 13

15 with the current year's presentation. 13

MED-VIEW AIRLINE PLC UNAUDITED HALF YEAR MANAGEMENT ACCOUNT FOR 2017

MED-VIEW AIRLINE PLC UNAUDITED HALF YEAR MANAGEMENT ACCOUNT FOR 2017 UNAUDITED HALF YEAR MANAGEMENT ACCOUNT FOR 2017 STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE PEROD ENDED JUNE 30, 2017 Jan-June Jan-June Notes Gross Revenue 13,007,374 8,748,732 Operating