Archive for nigeriang

South African miners strike at Exxaro

South African miners strike at Exxaro

More than 600
workers at Exxaro’s mineral sands unit in South Africa went on strike
on Monday, a union said, while 1,700 planned to do the same at a Rio
Tinto-BHP Billiton joint venture.

The National Union
of Mineworkers (NUM) said workers at Exxaro’s KwaZulu Natal sand units
were demanding a 14 percent rise in wages. The company has offered an 8
percent increase.

“Our strike is
indefinite. With us, you either deliver on our demands or you go fry
eggs,” Bhekani Ngcobo, the union’s regional coordinator for the
province, said in a statement.

Trevor Arran, the
head of Exxaro’s mineral sands and base metals businesses, said the
company would ask the union to drop its wage demand as it was higher
than the below 8 percent pay settlements at its other units and core
businesses.

“We certainly think it is unrealistic,” Arran said.

Arran said the
strike would not impact Exxaro’s operations as production at the mines
had been suspended before the strike and the company also had enough
stockpile of slag, used to produce titanium dioxide, at the units with
a 200,000 tonnes annual slag output capacity.

Ngcobo said the
union was demanding that Exxaro phases out a certain grade in which
workers’ monthly net pay was 5,800 rand and place them in a grade of
over 7,000 rand.

“We further demand
that the company should ban the usage of labour brokers and offer a
housing allowance of 2,000 rand a month,” Ngcobo said.

NUM also said it
would on Tuesday give 48 hours’ notice to strike at the BHP-Rio Tinto
Richards Bay Minerals joint venture if Rio Tinto did not agree to its
demands by the end of Monday.

The union is demanding a 10 percent pay rise on a one-year deal. Rio Tinto has offered an 8 percent rise on a three-year deal.

The NUM is also demanding a rise in housing allowance to between 4,000 and 6,000 rand, depending on the employee group.

Rio Tinto said it would comment later on the planned strike.

South Africa, the
continent’s biggest economy, has been hit by a wave of strikes and
strike threats in both the private and public sector, which have led to
above-inflation settlements and stoked fears that the cost of living
will rise.

South Africa’s inflation rate slowed to 4.2 percent in June.

Shares in Exxaro were up 1.48 percent at 114.88 rand by 1349 GMT, compared with a 1.83 percent rise on the JSE’s Top-40 Index.

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Nigeria, Japan collaborate on gas

Nigeria, Japan collaborate on gas

The Nigeria National Petroleum Corporation and LNG Japan Corporation have began discussion on strategic collaboration on the Brass Liquefied Natural Gas (BLNG).

This followed the visit of the LNG Japan Corporation team led by its President and Chief Executive Officer, Yasunori Takagi, to the corporation in Abuja.

The collaboration would provide the world’s most competitive finance and gas marketing opportunity in Asia, the petroleum managing director, Austen Oniwon, said on Thursday.

“This is part of efforts to fast track the exploration of the abundant gas resources in the country to increase Federal Government’s revenue from the oil and gas sector,” he said.

Mr Oniwon expressed the willingness and readiness of the NNPC to collaborate with LNG Japan Corporation in the value chain.

He also urged LNG Japan to expedite action as the Federal Government had given the NNPC a timeline for the Final Investment Decision (FID) on the LNG projects.

“Japan LNG Corporation is welcome into Nigeria and NNPC as a major stakeholder in all the LNG projects in the country, is willing to partner with you and do business that will be of mutual interest to both parties,” Mr Oniwon said.

He said when the Petroleum Industry Bill currently before the National Assembly is passed into law, the Corporation will transmute into a ring fenced organisation that will play in the international hydrocarbon market like other National Oil Companies.

He urged Japan LNG Corporation to serve as a vehicle that will help link the NNPC to other gas markets in the Asian Continent noting that there was room for expansion up to train 7.
Mr Oniwon congratulated the Japanese chief executive on his appointment and encouraged Mr Yasunori to brace for the challenges in the hydrocarbon industry.

Also speaking, the Group Executive Director (Gas and Power), Voka Mukoro, said NNPC is prepared to ensure the smooth take off of the transaction.

He called on LNG Japan to be frank and open as the business framework was being developed for the mutual benefit of Nigeria and Japan.
Earlier, Yasunori Takagi had lauded NNPC for selecting LNG Japan Corporation as a strategic investor.

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Stock Exchange cuts a third of its staff

Stock Exchange cuts a third of its staff

The Nigerian Stock
Exchange said on Thursday, that it was cutting a third of its staff,
three weeks after, its director general was removed amid governance
concerns and auditors were called in to assess its state of health.

The Securities and
Exchange Commission (SEC) appointed a former top Deloitte accountant as
interim manager and appointed accountancy firm KPMG to audit the books
earlier this month, after removing Ndi Okereke-Onyuike, the director
general.

“In furtherance of
its goal to restore investor confidence in the Nigerian capital market,
the council of the Nigerian Stock Exchange (NSE) decided to reduce the
exchange’s staff strength by 32.5 per cent from 292 to 197 staff
members,” the bourse said in a statement signed by its spokesman Sola
Oni.

The new head of the
SEC, Arunma Oteh, who took over in January, has pledged tighter
regulation and surveillance as part of an overhaul of Nigeria’s capital
markets.

The SEC said
Okereke-Onyuike’s removal was aimed at restoring confidence amid
worries about inadequate market oversight, allegations of financial
mismanagement, ongoing litigation, and an unclear succession plan for
its leadership.

Ms Oteh said in May the reforms would ultimately involve the
demutualisation of the stock exchange, which would turn it into a
listed company, making it more globally competitive and giving it a
larger incentive to bring in profitable new products such as
derivatives or exchange-traded funds.

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US gives $45m funding for Tanzania power project

US gives $45m funding for Tanzania power project

The United States
will provide financing of $45 million for a power project in mainland
Tanzania and Zanzibar, the U.S. embassy said in a statement on
Thursday.

The funding is part
of a $698 million grant to the East African country by the United
States in 2008 under the Millennium Challenge Corporation to fund
water, energy, and infrastructure. A total of $206 million has been
allocated for energy projects.

“The work involves
the construction and rehabilitation of 24 power substations throughout
the mainland and on Unguja (the main island of the Zanzibar
archipelago),” said the statement.

The financing agreement is scheduled to be signed in Tanzania’s commercial capital, Dar es Salaam, on Friday.

The contract has been awarded to a joint venture between the U.S. firm, Symbion Power LLC, and French company, Areva.

The agreement will
finance the manufacture and installation of a new 100 megawatt
submarine power cable between mainland Tanzania and Zanzibar, according
to the U.S. embassy.

In April, the
United States and Zanzibar signed a $28 million package to finance a
power project aimed at alleviating frequent electricity outages in the
semi-autonomous islands.

Erratic power
supply is the bane of the economy of the Indian Ocean archipelago,
which relies on tourism for more than 25 percent of its gross domestic
product and 70 percent of its foreign exchange.

Electrical power was restored to Zanzibar on March 8, three months after the islands were plunged into darkness.

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‘Hello, doctor, your patient calling’

‘Hello, doctor, your patient calling’

Ever
since the introduction of Global System for Mobile Communication (GSM)
in 2001 in Nigeria, mobile phones have become ubiquitous that they
permeate every area of people’s lives.
But
the latest innovation is a novel one facilitated in South Africa by
Nokia, a global mobile phone manufacturer renowned for its user
friendly phones. Phone technology will become more innovative as
reported in the African Business August/September edition.
“A
South African-designed mobile application for smartphones is diagnosing
ailments via mobile technology aided by a panel of doctors,” the report
said.
It
was conceived by 20 four Labs’ Werner Erasmus, who won the first
position in Nokia’s Calling All Innovators Africa 2009 competition with
a prize money of $85, 000. The mobile application, called ‘Afridoctor’,
was designed as an alternative information service for people who have
limited access to health care.

Only smartphones can do this
An
engineer, Olusola Teniola, while commending this innovation, however,
expressed concern about the kind of phones that can perform such
serious operation.
In
an email, the chief operating officer of Phase3 Telecoms Ltd. said,
“The ability to identify innovative solutions that address local
problems is a probable cause for this clever application that can
reside on an open-platform operating system. Unfortunately, this is
limited to high end smart phones running a specific release of the
Symbian operating system.
“Any
application like this becomes so important, in the sense that it helps
the average man on the street to do what he wants to do in a most
convenient manner,” added Mr Teniola.
Chandra
Prakash, a radiologist at the Lagos State University Teaching Hospital
(LASUTH), Ikeja, Lagos, also commended the innovation.
“I
think this is a good idea, as it is a way of communication between
patients and doctors; but there are limitations,” Mr Prakash said.
“For
instance, it affects the privacy of the doctor and his duties at
hospitals and the service would not be good for some emergency cases,
where the patients would have to come in personally to see the doctors
and needs immediate attention.
“The
benefit is that it would definitely save the patients’ time waiting in
the hospital for minor routine cases and allow the doctors to focus on
important cases. Appointment to see a doctor might take a long time, so
that can be narrowed down through the use of this application,” added
Mr Prakash.
Rasaq
Giwa-Osagie, an estate agent and a Nokia mobile phone user, equally
commended it saying, “The innovation is a brilliant idea, but it is not
exactly better than going to the hospital for diagnosis. But it serves
as a substitute way for busy individuals to access their health
issues.”
Unfortunately,
no Nokia official in Nigeria was willing to comment on the application
or whether there is a possibility that it would be available in Nigeria
in the future.

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Banks woo shareholders on recapitalization

Banks woo shareholders on recapitalization

The eight rescued
banks have started reaching out to its minority shareholders to support
the recapitalisaiton plans of the Central Bank of Nigeria (CBN).

The board and
management of Finbank met with various shareholders groups in Lagos
yesterday to forge a common ground. In the last few weeks, similar
meetings were held by Intercontinental Bank and Oceanic Bank. The bank
promised shareholders that they would have the final say on those that
would be approved as new investors in the banks.

Suzanne Iroche,
Group Managing Director and Chief Executive of Finbank, said there was
need to recapitalise the bank as quickly as possible. “If CBN takes
away the forbearances without adequate capital and liquidity,
immediately, we are failed institutions and we can’t afford that,” she
said. “An institution that operates negative capital is an institution
which loses value over time.”

State of the banks

She added that the
bank cannot continue to operate with negative capital as 88 per cent of
its loans are currently not performing. “We have taken deposits and
shareholders fund up to N88 billion which is yielding nothing for us
but that is costing us money,” she said. “We have to resolve this as
quickly as possible.” Mrs Iroche also explained that the bank’s toxic
assets is about N156 billion, while insider related loans totals about
N25 billion, out of which only N2.7 billion has been repaid since
August. She subsequently expressed the need to support the
recapitalisation plans of the Central Bank so that the institutions can
get new lease of life.

Shareholders who
spoke said the intervention by the CBN was timely as it saved the banks
from the brink. The Chairman of Onitsha Zone Shareholders’ Association,
Goodluck Akpore, said the intervention by the CBN is what has kept the
banks afloat. “What CBN has done is to save my investment and that is
why we pray for Lamido Sanusi,” he said.

Minority interest

Nona Awoh, another
shareholder, said the banks should make sure that the interest of
minority shareholders are taken into consideration. Mr Awoh said beyond
taking equity positions, the incoming investors must be made to make
long term commitments to the banks. “The new core investors should take
long term positions by also taking debenture,” he said. “It is
important for the board to reach an arrangement that would be in the
interest of the bank.”

Emmanuel Ikwe, the Chairman of Coordinating Committee of Zonal
Shareholders Association, said the shareholders would resist any
underhand negotiation that would hand over the banks to persons of
questionable character. “If you want us to support you, we need to know
those who are going to be the core investors,” he said. “You have to
find out as a board the credibility of these people. CBN has taken a
decision that is good.” Sunny Nwosu, the National Coordinator,
Independent Shareholders Association of Nigeria, however said only the
initial shareholders have a right to determine those that will
recapitalise the banks. “The Central Bank said it has guaranteed
depositors. So we say give our banks to us since you have guaranteed
depositors let us recapitalise it because we are risk bearers,” he
said, adding that the way the CBN was going about the recapitalisation
plans was in the manner of taking institutions away from those who have
toiled to build them over the years.

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Oyo lawmaker abandons group

Oyo lawmaker abandons group

One of the recently
reinstated members of the Oyo State House of Assembly, Nafiu Baale, has
dissociated himself from the actions of his group and expressed a
desire to work with the leadership of the assembly.

Mr Baale, in a
letter addressed to the office of the speaker on Thursday, said he will
not participate in any further actions by those with whom he was
suspended on June 8.

Meanwhile, the
speaker, Olawale Atilola, has threatened to sanction the remaining
eight members if they miss the next plenary on Tuesday.

Speaking on the
floor of the house yesterday, Mr. Atilola said three of the reinstated
lawmakers were sighted in their offices before the sitting but they
deliberately refused to attend the plenary. He however did not specify
what sanction he will employ.

The eight members,
together with Mr Baale, were suspended by the House over a failed
attempt to remove the speaker on June 8. The development also led to
the assault on some of them by political thugs. However,

reprieve came their
way last week when an Oyo State high court, sitting in Ibadan, declared
their suspension null and void, and ordered their immediate
reinstatement.

Since the court’s
pronouncement, the lawmakers have not been able to join their
colleagues for business despite many promises to do so.

Shifting posts

Initially, they
alleged that they could not come to the floor of the house because of
their inability to get copies of the judgment that reinstated them.
They added another twist on Wednesday when they alleged that there were
threats to their lives.

Ademola Adejumobi,
the de facto leader of the group, told journalists that the speaker
called them on phone to warn them against coming to resume as earlier
planned, saying their safety could not be guaranteed. The speaker has
since denied this.

Speaking with journalists yesterday, Mr Adejumobi said the
reinstated lawmakers would, hopefully, join their colleagues next week
after all necessary arrangement on their safety have been put in place.

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Infighting in Ondo opposition parties

Infighting in Ondo opposition parties

Scores of members
of the Ondo State chapter of the Action Congress of Nigeria (ACN),
yesterday, protested what they termed the ‘marginalisation’ of some
members by the chairman of the party, Sola Iji.

The
placards-carrying members almost disrupted the meeting of the state
executive council held in Akure, if not for the timely intervention of
security operatives.

The politicians,
who came in two 18-seater buses, invaded the party secretariat located
along the popular Oyemekun Road, Akure, and insisted that the meeting
would not hold as scheduled unless they were part of it.

The protesters, who
were led by the chairmen of Ondo east and west local government
chapters, Temitope Akintunde and Adebayo Ayodeji, vowed that they would
not allow the crisis that led to the death of the defunct Action
Congress (AC) in the state to swallow the newly established ACN.

“We, aggrieved
members of the party, wrote a letter to the chairman around 2008 and
said the executive of the party in Ondo west and east local governments
had been dissolved. Since then, he said they have not been attending
the state executive council meeting until the Mrs Jumoke Anifowose-led
reconciliatory committee directed that all suspensions, caretaker
committees, and factional offices should be dissolved.”

Sequel to the
directive, he said he came with the secretary of his party at the local
level to attend the state executive council meeting and was prevented
by suspected thugs posted to the party secretariat.

Mr Akintunde later
said his group would leave the venue of the meeting because some
leaders of the party had persuaded them to leave. The quick arrival of
the combined team of the men of State Security Service and regular
policemen also prevented the crisis from degenerating.

All attempts to reach the chairman for comments failed as all his mobile lines were switched off.

However, the
publicity secretary of the party, Rotimi Agbede, said the executive
council of the party would come out with a position on the grievances
of the members.

Aggrieved Labour supporters

In another
development, hundreds of aggrieved members of the Labour Party from
Ilaje area of the state yesterday protested the alleged hoarding of
forms for nomination of delegates towards the congress of the party,
scheduled to hold next month.

The protesters, who
barricaded the secretariat of the party in Akure, carried placards of
various inscriptions, such as ‘LP is not a personal party’; ‘Where are
nomination forms’; ‘Absence of Internal Democracy killed Parties’; to
register their displeasure.

They specifically
alleged that the state commissioner for environment, Omolebi Adepiti,
the newly elected house of assembly member, Kunle Odidi, and one Imisi
Ogungbure, a commissioner in the Teaching Service Commission (TESCOM),
hijacked the nomination forms for the constituency.

This, they said, was done in order to influence the delegates list for their selfish ambition.

But the party’s
director of publicity, Seyi James, defended those accused by the
protesters, saying, “nobody is hoarding the forms.”

Mr James, who noted
that the party would send more forms as soon as it is available, said
the party was aware of the shortage of the forms.

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Police remand two over threat to Otedola

Police remand two over threat to Otedola

Two suspects have
been remanded in police custody over a possible assassination attempt
on the chairman of African Petroleum (AP), Femi Otedola. On the 25th of
July, Mr. Otedola, two directors and four members of his security
detail, were trapped on the first floor of the executive elevator of
the AP Plaza located in Lagos Island for two hours, prompting an
investigation by the Nigeria Police Force.

The men, Celestine
Omonobi and Moses Oluremi, were the elevator operators in the building
at the time. Both men deny any wrongdoing and police say there may be
further arrests as investigations continue. At the time, the
businessman and son of a former Lagos State governor, was on his way to
attend an emergency meeting of the AP board. NEXT investigations
revealed that Mr. Otedola was so highly discomfited by the incident,
that he required first aid services.

Briefing
journalists at the police headquarters yesterday, Deputy Inspector
General (DIG) John Hamza Amodu, said police are looking into a possible
assassination attempt on the businessman. “If not for the intervention
that was timely, the incident would have been tragic,” he said.

Foul Play

According to the
police, Mr. Otedola was ushered into an empty elevator with his team
which included two AP directors, Segun Senbanjo and Chris Adeyemi, and
four bodyguards. However, soon after the men entered, the elevator
stalled, trapping them inside for over two hours. An investigation
conducted by three elevator engineers discovered that the lift’s safety
control switch was pressed down. Once the switchboard was properly
placed, the executive elevator, which was installed by OTIS in 2009,
started working again.

Conflicting claim on load

The maintenance
unit of the plaza said the lift may have been overloaded. However, the
engineers disputed these claims, saying the mechanism would have
alerted the passengers and the doors would not have closed. Further
investigations by NEXT showed that the elevator was on a 625 KVA
generator at the time, and so could not have been affected by
electricity fluctuations. “It was obvious that the elevator was
tampered with,” said Mr. Amodu, “This led the Lagos State Police
Command to suspect foul play, bearing in mind the crucial decisions to
be taken at the meeting.”

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‘PDP is the party to beat in Kano’

‘PDP is the party to beat in Kano’

His decision to dump ANPP

As a member of a
minority party in the National Assembly, one of the major problems we
have is that it is difficult to get leadership positions of key
committees that can be useful to our people.

For example, the
chairman of the committee on Agriculture is from Gombe State; and also,
the chairman of the committee on water resources is a senator from the
south-south. These are committees that are really very important to the
growth of Kano State.

Now, you would
realise that as a politician, if you agree that the essence of coming
into politics is to uplift the standards of living of your own people,
there is no need clinging on to the opposition party. That is why I
felt I should move out of the ANPP to achieve the objective.

A second reason is
that there is no internal democracy in the ANPP. Right now, the ANPP
has already made up its mind on who is going to be their governorship
candidate here in Kano in 2011. This is surprising because internal
democracy is one of the things that is responsible for the development
of democracy in its entirety. But when you impose candidates on them,
you would definitely face all kinds of difficulties.

In Kano, when you
look at the ANPP and the PDP, you discover that nobody has come out of
the PDP to tell anybody to stop campaigning for any seat. This is
against what we are witnessing today in the ANPP in Kano. These are
some of the things that motivated me to move from the ANPP to the PDP.

His governorship ambition

Up till now, even
in the ANPP, there are people who are still hopeful of emerging the
candidate of the ANPP. I do know that Kabiru Gaya is in the race. Like
I told you, it is not easy to defeat somebody who is an incumbent
governor. But you cannot say that the essence of moving to a political
party is purely because of a particular ambition; it is extremely
difficult to do that.

Like I said earlier
on, it is easier to develop your state when your state has a similar
political platform with that of the federal government. From my
experience, it has not been easy attracting federal projects to Kano as
a member of the opposition. So, it is not about governorship of Kano
because I don’t see it as a do or die affair. This thought is
inconsequential to the calculations that I am making.

His refusal to join others in CPC

All of us know that
Buhari is a very strong person, and he was very influential to the
formation of the ANPP administration in Kano in 2003. We all know that
he worked hard to achieve that feat. But the ANPP kept losing grips in
almost all the states. I have tried to identify the problem, but I have
not been able to put my finger on any reason. As part of the solution,
Buhari pulled out of the ANPP to form a political party. But you see it
is not easy to form a political party within two years and win the
elections, particularly in an area where majority of the people are not
educated.

I remember during
the PRP time, when people come to vote, all they ask you is that where
is the sign of the key; they don’t even know anything about the PRP.
The problem now is that out of the 56 political parties in the country,
how easy is it going to be for the people here to identify the symbol
of the CPC and get acquainted with it within the next 6 months? It is
not going to be an easy affair.

Don’t forget that
most of the people in the CPC were those who left the ANPP. What has
happened in essence is that they have already weakened the ANPP. So,
the moment they weakened the ANPP, they succeeded in strengthening the
position of the PDP in Kano. The Action Congress (AC) is back to the
PDP. If you make a simple mental calculation, you would observe that
the PDP has won the elections, even before the elections are conducted.

So, it is not an
issue of being sentimental or emotional about Buhari. There is nobody
that would be greater than Buhari in this country because he is a just,
fair and honest person. But politics is an entirely different ball game
because I want a platform that can enable me serve my people. I would
also want to be called the Buhari of Kano.

If Muhammed Bello
is moving from one political party to the other, it is for the sake of
the people. I am concerned about my people and I want to be responsive
to their needs. The issue is not about the person, but about the
political will.

Fear of Nigeria becoming one party state

It is really
difficult to have a one party state unless all the states are
controlled by one political party, which is not possible in Nigeria. If
you look at the trend going on in the south west and the south east,
you would realise that there is no way Nigeria is going to be under one
political party. If you take a look at the north west, Kano is the only
state that is not a PDP state. But the PDP had lost some states in the
south-east at the last poll. So, it is not going to be easy to have a
one party state in Nigeria.

Influence of the Kwankwasiya group within PDP

There is a lot of
fear about Kwankwaso and the Kwankwasiya group, but when you look at it
in practical terms, the issue is that was there an election to choose
the members of the executives of the party? Everybody saw that members
of the party’s executive contested election and the Farouk Iya led exco
won. So where is the fear of dictatorship? I cannot see that. It is
just speculations.

When you are
talking about the overbearing influence of Kwankwaso being the reason
for the failure of the PDP, I don’t agree with such views. There is no
single individual that can be responsible for the success of a party at
the polls. What is happening within the party now is an in-house
fighting over control of the party machinery.

His relationship to
the Kwankwaso, who lost power seven years ago, has worked hard to be
able to sustain people in the PDP. What is even surprising me is not
the top level; I have discovered that almost about 80 percent of the
entire state, including virtually all the wards, identify with
Kwankwaso. What you call Kwankwaso structure is a PDP structure. If
members of the exco identify with Kwankwaso, it is because he has
worked hard enough for them to be there and you cannot deny them that.

I recall that when
we wanted to vie for elective positions in 2007, people who identified
with Buhari had his posters pasted all over the state. But immediately
Shekarau became the governor, nobody was using Buhari’s pictures again.
Instead they were using Shekarau’s pictures.

His relevance to the people

If you look at the
trend of my activities as a politician, right from when I was chairman
of the ANPP in Kano, what bothers me on a daily basis is how I can use
my office to assist people.

As a senator, I have been able to assist about 25,000 people in Kano
with eye problems. I have been able to provide glasses for those of
them in need of this intervention. I know people who have lost their
eyesight simply because they could not afford N15, 000. And these are
the kind of things that prick my conscience and make me go out to look
for power.

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