GreenN Shoots Special Edition to Q2 2014

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Word from Group CEO

Agenda: Semi-Annual Strategy Meeting

The Art of Battling Giants

10 Rules of Success

Media Coaching Sessions

Highlights from OpCos

Keynote & Closing Ceremony

Event Highlights

Have Your Say

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Wafik Shater, Group CEO, opened LAP GreenN’s fourth semi-annual meeting with a warm welcome. LAP GreenN hosts a company event every six months, in which it brings together members from the Group and executives from each of its four operations. Shater expressed his enthusiasm for this event in particular, due to its focus on training and development for the Company’s Executives. LAP GreenN is committed to training its staff and enabling them to further enhance their careers.

Shater moved on to provide an update on the Group’s performance to date. He proudly shared that in 2013, LAP GreenN reported its first ever operating profit. This is a major achievement for LAP GreenN, whose current management team inherited the company with massive amounts of debt and claims when they were appointed in October 2011. He continued by highlighting that subscribers, which declined in 2013 due to regulator-imposed SIM registration processes, have since recovered, reaching the pre-customer purge levels in Q1 2014. Most notably, the Group reduced its EBTIDA losses by 38% year-over-year since 2011. This is a testament to the hard work of each individual.

Shater then went on to provide the team with more general updates from the Group. He said that despite challenging conditions, the Group achieved a number of victories during the first quarter of 2014. He specifically cited two further settlement agreements for historical debt, dating as far back as 2007, and major strides in other claims and litigations. Since the new management team came on board, LAP GreenN has proven its dedication to settling all

outstanding debts, achieving five settlement agreements with longstanding vendors. Shater also reemphasized to the team that the shareholder continues to offer their full support to LAP GreenN, despite fluctuating instability in Libya.

Shater then invited Michelle Hirst, Manager of the CEO Office, to introduce the theme of this semi-annual event. For every semiannual meeting, LAP GreenN chooses a theme relevant to the business to discuss with the larger Group. This event’s theme was titled “The Art of Battling Giants,” which is especially relevant to LAP GreenN, whose main competitors are large telecom players. Hirst explained that corporate giants do in fact have many weaknesses, which make them less agile and less innovative than smaller players. This includes - but is not limited to – heavy red tape and legacy. Specifically, there is often a cumbersome approval process, which results in missed opportunities or late market entry. Large players also become complacent towards new competitors. For example, Nokia didn’t think of Apple and Google as competitors until it was too late.

Hirst went on to discuss two examples of “underdogs” that used winning strategies to take over the leadership position in their respective industries. Specifically, she discussed the Netflix and Blockbuster case.

The floor was then handed back over to Shater, who commended each OpCo’s CEO and executive team for their individual achievements during the period, including substantial subscriber growth and reduction in EBTIDA losses.

WORDFROM

GROUPCEOCEOWAFIK SHATER

TABLE OF CONTENTS | SEMI-ANNUAL STRATEGY MEETING


As April drew to a close this year, LAP GreenN hosted its fourth Group-wide strategy meeting titled “The Art of Battling Giants.” Over a three day period, Group members and top management across all operations gathered to present their accomplishments from the past year and discuss company’s future direction. The vibrant event brought together executive team members from LAP GreenN Group and from their OpCos Uganda Telecom, Gemtel, Green CI, and Oricel. The first day was dedicated to an update from the Group CEO Wafik Al Shater as well as updates from OpCo CEOs. This was followed by a discussion with Charles Barbain from Sofrecom on the meeting’s theme of “Battling Giants” and a presentation from motivational speaker David Crane on the ten rules of success. The first day was topped off with a team building exercise, where ten teams of five competed against each other in friendly bowling matches.

On the second day, the event focused on training for the C-levels of the OpCos, with sessions for the enhancement of both personal and company growth. C-level members also took part in strategy sessions, where they focused on a number of collective challenges facing the companies and the best ways to create opportunities.

The third and final day concluded with the CEO of each OpCo taking the floor to summarize their achievements and review their business plans (the initial presentation of business plans took place on Day 1). The Group PR executive provided another opportunity for team members to receive media training.

Throughout the three days, there was abundant opportunity for attendees to socialize and perform team-building exercises. The strategy meeting wrapped up with a well-attended closing dinner at the Meydan Hotel. Guest speaker Harri Koponen, the former COO of Rovio Entertainment Ltd., the creator of the famous Angry Birds app, the current chairman of Tecnotree, and an adviser to LAP GreenN, addressed the meeting’s theme of ‘Battling Giants.’ He discussed how to focus on personal success in the service of company achievements.

AGENDA: SEMI-ANNUAL STRATEGY MEETING

AGENDA:SEMI-ANNUAL

STRATEGYMEETING

Charles Barbarin, a consultant from Sofrecom, was invited to contribute to LAP GreenN’s winning battle strategies against telecom giants, implemented by small operators throughout Africa’s telecom market. Sofrecom is a consultancy frim and an orange subsidiary with 47 years of experience dedicated to assisting mobile and fixed operators.

Beginning with the local context, Barbarin emphasized that Africa is growing at an increasing rate, with 75% mobile penetration last year. Nevertheless, there is a large, untapped market in sub-Saharan Africa. Telecom giants dominate the sub-Saharan market and are quite dynamic, with an 11% growth in subscribers. This growth is not experienced in terms of revenue (as is the case in most other markets) but rather, is experienced through multifaceted trends:

» Growing subscriptions does not necessarily mean growing revenues. Mobile banking is becoming essential in Africa, especially in locales where the banking industry’s penetration is quite low. Mobile banking requires a number of different partnerships

and therefore is not easy to implement, in terms of offering or delivering services on the ground. There are other breakthroughs, including micro-finance, which create a whole set of new propositions that will soon complement the basic offering.

» The growth of mobile broadband. There is a huge demand for Internet access in Africa delivered by mobile operators. However, there is a substantial challenge in proposing local content to accompany this growth.

» Operating mobile - Africa is truly showing the way to the rest of the world with its low prices. It is more difficult to be profitable in Africa, with the pressure on operating margins. This is why more is happening in Africa in regards to cost control and operational efficiency. It is also the reason many regional operators are implementing shared services with a unique platform serving multiple countries. Operators entering the market are developing specific strategies to achieve very low cost. There are also numerous operators selling their sites to tower companies, which are becoming larger each year.

» Broadband from mobile operators operating on the WiMax network are taking advantage of 4G to launch and compete on the same ground as other operators.

Barbarin discussed two case studies. The first case involves a government owned telecom operator that was launched in 1998 and then decided to expand internationally. It now has 63 million customers and a 20% annual growth rate in revenues, with a total monopoly over the network and low operating costs.

The telecom operator chose to capture the market by expanding to rural parts of the country with no network coverage. The challenge in this case is the cost to roll out the network infrastructure.

In Barbarin’s second case study, the telecom company applied two strategies to distinguish itself. The first strategy was to focus on value proposition, specifically with the launch of mobile broadband serving a specific target segment. The second strategy was applied through its operating model, with very low cost network implementation and a cost effective staff.

These two case studies illustrate the multifaceted approaches that telecom operators use to enhance revenue growth and promote overall business success.

GIANTSTHE ART OF BATTLING


To break the ice and energize the team, LAP GreenN decided to kick off its 3-day semi-annual meeting with life coach David Crane. Crane, a motivational speaker, is a former BBC journalist based in the Middle East for over 20 years. He has worked in media in 127 different countries and now works on a number of TV shows, amongst other engagements.

Crane was invited to provide a motivational exercise to energize the team. He began the exercise by explaining that the ability to achieve goals is the result of many years of experience, so it is very important to have goals and to know how to reach them.

Crane advised individuals to focus on their strengths in order to do well, feel good, and achieve results. He explained that when a person focuses too much on their weaknesses, they will only be able to achieve a limited amount of success.

Crane then presented the 10 rules of success, using videos, questions, and humor to engage the audience. He shared the following guidelines, which are applicable to both personal and professional situations:

10 RULES OF SUCCESS

Reframe the ‘New You’by asking yourself better questions and changing the way you process your thoughts. Constant adaptation and improvement are essential to success.

Your life is your responsibilityNobody is responsible for your life except for you. So take ownership of your life, examine it, and change it for the better.

There are no failuresFailure is never permanent and learning from failure is part of the journey to success.

There are no mistakesMistakes are never mistakes if you learn from them. Learning from a mistake transforms the mistake into an opportunity for success.

Your experiences are uniqueAll of our experiences are unique and shape our own, subjective versions of reality. Your experiences are not the same as everyone else’s experiences; therefore, your reality is not the same as the reality of anybody else. Keep this in mind when interacting with others.

The worst experiences in your life can be the bestWhat matters is how you react to these experiences. Bad experiences are challenges that can shape you into a better person if you learn from them. Being able to overcome the hardships caused by your worst experiences propel you to success.

You are what you thinkYou are exactly what you think you are and your life will reflect this. Think better of yourself and notice immediate improvements in your life.

Life is a blessingAlways make the most out of your life. Your life is a blessing that is not to be squandered.

You cannot change anybody elseJust as only you can change yourself, others can only change themselves. Do not waste time trying to change somebody else.

You get out what you put inThe output of any endeavor is equal to the effort you put in to it. Exert more effort and enjoy improved results.

Crane’s effective and engaging session received positive feedback from the team. The session revitalized the team and was a great way to kick off the 3 days.

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In an effort to share LAP GreenN’s growth story and achievements, media coaching sessions were one of the focuses of the event.

Ahmed Aduib, LAP GreenN Group PR Executive, led the Media coaching sessions. The main purpose of these sessions was to enhance the ability of corporate executives to communicate confidently and persuasively. The program’s focus was on delivery, the use of key messages in storytelling, planning, and preparing for interviews in all types of media formats. In addition, the sessions focused on controlling the interview, techniques to bridge key messages during the interview, and handling difficult questions. At the end of each session, individual interviews were conducted with the participants, to practice what was just learned.

MEDIA COACHING SESSIONS

Grant Vernon, senior Trainer from the Telecom Academy, Informa was invited to conduct a training sessions for Senior Executives, focusing on Finance, Leadership & Competitive Advantage as well as business simulation and assessment. The business simulation concept was team-based, intended to use the theory taught during the training session to create a practical strategic plan to apply in the OpCos. Grant said he was very happy with the excellent teamwork and the results produced. The teams came up with very strong ideas and interesting innovations. He said that although he has worked with many large telecoms across Africa and the Middle East, he has never encountered the unique spirit of LAP GreenN. He believes that the African telecom giants will be truly tested for greatness if we maintain this spirit.

Members from each team were then awarded by Wafik Shater for their participation at an award ceremony held during the keynote dinner.

TRAINING SESSION


the new LAP GreenN management, Gemtel was able to provide site maintenance despite crisis and focus on field activities in selected areas to increase activation, while continuously coordinating the security of staff across the country. Gemtel continues to record significant successes, in both financial and commercial performance. In South Sudan today, the newest country in the world, Gemtel is a quickly growing and a well-respected brand.

Highlights from GreenN CI

The CEO of GreenN CI Abdulghani Ramadan opened his presentation with a brief overview of the company’s history. GreenN CI emerged from the takeover of Oricel by LAP GreenN in 2008, after a successful first year, GreenN CI began to face numerous challenges. Ramadan reiterated that regardless of these challenges, the team continues to epitomize a positive, can-do attitude.

Ramadan then touched on a number of the dedicated team and staff’s focus areas; primarily network, revenue, and subscriber growth. He noted that GreenN CI is insuring that money spent on marketing directly results in revenue. The company has successfully secured an increase in active subscriptions.

Ramadan expressed his gratitude to the Group, which has provided guidance and knowledge to the local team and help to create a business that will become the benchmark in the local industry. He assured that with the support of the Group and its colleagues in the other OpCos, GreenN CI will give their competitors a run for their money.

Highlights from UTL

The CEO of UTL Ali Amir explained that 2013 was a challenging year in Uganda, with a number of internal changes and a highly competitive telecommunications market. Yet the company was able to meet their set KPIs for the first quarter, as the team and staff have been working diligently to increase their subscribers and provide better service. Mr. Amir and his management team have instituted multiple changes spanning from governance, key policies, and protocols, to cost reduction and customer service improvements. Since then, large strides were made in regards to several of the team’s key achievements. For the first time in four years, UTL achieved revenue projections and subscriber growth is at an all-time high. In comparison to the results of the previous three years, the business outlook for Uganda Telecom is more positive now. Together with the support of the new board and group, the management team aims to deliver results that are underpinned with corporate governance standards that maintain financial, legal and regulatory compliance alongside integrity that all stakeholders can be proud of. The company now has a restructured and efficient workforce with clear targets and the motivation to meet 2014’s challenges.

Highlights from Gemtel

Mohamed Ghadfi opened with an overview of the challenges facing South Sudan, such as civil war and fighting between major factions. Gemtel has had its fair share of challenges but continues to be a strong operator in the country. Historically, Gemtel was seen as a low budget operator that held monopoly over the young nation. Since then, a number of new competitors entered the market with very aggressive launch strategies. Faced with these challenges, Ghadfi initiated a revamping plan that focused on network quality and coverage to reach all ten states in remote areas of South Sudan. This enabled customers to communicate with their loved ones during difficult times. Ghadfi, along with his team, are focused on expanding the business. Despite the challenges facing South Sudan, they have implemented a new marketing strategy and launched new services.

Gemtel has seen itself grow into one of the most trusted telecom service providers in independent South Sudan, with a highly skilled team dedicated to providing affordable, secure, and reliable telecom services. People are the key factor in Gemtel’s operations, and the business has been sustained even during difficult times. With the support of

H I G H T L I G H T S F R O M O P C O S


LAP GreenN hosted a closing ceremony on the final day of the semiannual event. All staff, along with their spouses, were invited to attend.

At the dinner held during the ceremony, Wafik Shater welcomed guest speaker Harri Koponen, who gave the keynote address. Koponen is the former COO of Rovio Entertainment Ltd., the creator of the famous Angry Birds app, and the current Chairman of Tecnotree. He has held senior positions in other leading communication companies, including Swedish Tele2 and National Mobile Telecommunications Company K.S.C. (Wataniya Telecom).

Koponen opened his address by asserting that everyone should have a dream or vision of his or her goals. When you want something, you should focus on being the best, not the second best. He recommended that goals be written down on paper, to transform these goals from dreams into reality. Alongside his emphasis on the importance of individual goals, he also stressed the importance of being a team player, noting that people like to work with individuals who give credit to the team.

Koponen encouraged each OpCo to believe that they will be #1 in their market, to have passion, dedicate themselves to clients, and develop a strategy to tackle the weaknesses of giant competitors. He highlighted the importance of setting very high targets in order to push boundaries. He also remarked that it is essential to keep

the team motivated and to apply lasting values, such as transparency and integrity.

Koponen closed his speech by encouraging everyone to smile more and exude positive energy.

After the keynote, LAP GreenN held an award ceremony for staff performance during the training session held the previous day. Wafik Shater and Amal Hussein, LAP

GreenN’s Human Resources Advisor, presented trophies to the four winning teams. The teams were required to prepare a presentation on a turnaround strategy to a panel of judges.

The dinner ended with Wafik Shater thanking everyone for their continued effort and expressing his anticipation of reviewing their further success at the next semiannual meeting

GUEST SPEAKER & CLOSING CEREMONY


HIGHLIGHTS FROM EVENT HIGHLIGHTS FROM TEAM BUILDING EXERCISE


Salem EtorkiGroup Commercial Manager

It was, truly, one of the greatest events, the best organized, most thorough and most focused - practically focused – meeting that I proudly attended, this meeting provided a tremendous opportunity for all the group team to come together in one place at one time, It was a great opportunity to meet with all our brilliant colleagues, share best practices, ideas and thoughts.

Didier MahillionGroup Director Financial Planning & Analysis

Again, a great and productive event! Nothing replaces face-to-face interaction.

The timing was also perfect for welcoming our new CFOs in Uganda and the Ivory Coast, and hitting the ground running.

The full day of training, with ideas to take back to our workplace, was a fantastic addition. To be repeated for sure.

Abdel NouhoGreenN CI CFO

I have been very happy to be part of this exciting meeting. The theme itself resonated very strongly with everyone. Any achievement starts with a dream. We have to believe that together, everything is possible, and we have to be part of this dream. The active involvement and enthusiasm of the entire team has been a good indicator throughout all these days.

Thanks to the group staff for the event’s flawless organization.

Jeren AllaghiPA to the Group CEO

As one of the organizers, I know that there is a lot of hard work that goes into planning and setting up these events. We are constantly trying to improve for future events. It is great to hear that the overall feedback has been positive. I hope everyone will be leaving not only feeling that the event was very valuable, but also feeling motivated and energized.

Ibrahim AliTripoli Office manager

I participated in the first, second, and third semiannual meetings. Each time, there was progressively better organization and teamwork. This is what makes me happy to work with LAP GreenN and its team.

HAVE YOUR SAY

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Editorial committee:

GreenN Shoots Special Edition is a semi-annual newsletter prepared by Michelle Hirst, Ahmed Aduib and Hend Abdulwahed from LAP GreenN.

Editorial committeeGreenN Shoots Special Edition is a semi-annual newsletter prepared by Michelle Hirst, Ahmed Aduib and Hend Abdulwahed from LAP GreenN.

For any inquiries or to send your feedbakc, please contact: [email protected]