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NATIONAL BLO OD SERVICE ZIMBABWEANNUAL REPORT 2010

S a f e B l o o d S a v e s L i f e . .

NATIONAL BLO OD SERVICE ZIMBABWE

N A T I O N A L B L O O D S E R V I C E Z I M B A B W E A N N U A L R E P O R T 2 0 1 0

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CONTENTS

Vision and Mission Statement 2

Quality Policy 2

Corporate Governance and Organisational Structure 3

Chairman’s Statement 4

Medical Director’s Report 8

Chief Executive Officer’s Review of Operations 10

Audited Financial Statements 22

List of Blood and Blood Products 40

Branch Network 41

N A T I O N A L B L O O D S E R V I C E Z I M B A B W E A N N U A L R E P O R T 2 0 1 0 N A T I O N A L B L O O D S E R V I C E Z I M B A B W E A N N U A L R E P O R T 2 0 1 0

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VISION STATEMENT

To be recognised internationally as the institution of excellence in the procurement, processing, storage and distribution of blood and blood products through innovative and contemporary technology in compliance with international standards.

MISSION STATEMENT

To serve the nation by the provision of a cost effective service that ensures adequate, low risk blood and blood products to all those in need, through commitment, dedication and care.

QUALITY POLICY

The goal of NBSZ is to be the leader in provision of high-quality safe blood and blood products and related services that provide the best clinical value for our customers and patients. We will accomplish this by providing products and services that meet or exceed the expectations of our customers today and tomorrow through total commitment to continual improvement in everything we do. ISO 9001:2000 shall form the foundation of the Quality Management System encompassing Health, Safety and Environmental concerns. We are committed to compliance with legislation applicable to our products and services. Our operational values are based on the quality and strategic objectives, which are integrated in the quality policy.

NBSZ Management and staff shall continually align our Mission and Goals to ensure adequate quality safe blood and related services “from vein to vein”.

National Committee

The Chairman Justice L G Smith (Rtd.)

Vice Chairman Dr B Nyathi

Harare Elected Members Mr M Southall; Mrs C Shaamano; Mr A Mandisodza; Mr P M Ndoro;

Bulawayo Elected Members Dr P Moyo; Mr M Esat

Co-opted Members Mrs S Sanyanga; Dr T Magure; Mrs E. Kundishora

Government Co-opted members Mr T A Zigora; Mr L Mabande

NBSZ Management Mr D A Mvere; Dr M E Chitiyo; Mr N M Muchineuta

Pledge 25 Club Mr S Munjeri

Executive Committee

Chief Executive Officer Mr D. A. Mvere

Medical Director Dr M. E. Chitiyo

Bulawayo Branch/Laboratory Services Manager Mr. N. M Muchineuta

Finance and Administration Manager Mr Z. Musekiwa

Laboratory, Quality and Safety Manager Ms L Marowa

Blood Procurement and Public Relations Manager Mr E. Masvikeni

Assistant Blood Procurement and Public Relations Manager Sr J. J. Parirewa

Executive Officer - Research, Development and Data Management Mr T. Mapako

Worker’s Committee

Harare Mr C.Timire, Mr D Kwenda , Ms W.J.Gondobwe,

Bulawayo Ms Sitho Ndlovu, Mr. A. Moyo

Gweru Mr C. Hove

Mutare Mr. J. Masamba

Masvingo Mr N Kanougwere

CORPORATE GOVERNANCE


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Introduction

The conducive operating environment prevailing in the country improved the donor recruitment and retention and the implementation of blood drive activities throughout Zimbabwe. Through resource partner support, the Service managed to source critical products for its core operations from within and outside Zimbabwe. The stable political situation translated into a stable and motivated donor base, and consequently a significant increase in blood collections was recorded.

An improvement in the health care system also stimulated demand for blood and blood products compared to previous years where NBSZ was compelled to reduce collection in sympathy with the depressed hospital activities. NBSZ reintroduced credit facilities to hospitals and together with the grant to hospitals from UNFPA targeting blood product needs of maternity patients contributed to increased requests for blood products.

Management of the National Committee (NATCOM) and Branch Committees

Branch committees were successfully established in Gweru and Masvingo. In order to make the NATCOM more representative, it was agreed to incorporate the Chairpersons of the branch committees into it. We have had 2 meetings to date as such. However, there is need to change the constitution so that their participation is within the terms of the constitution.

I also attended the annual general meeting of all the branches during the year. During these occasions, donor awards were given. It was most pleasing to note that in all the branches the number of Pledge 25 Club members who had fulfilled their pledges and even doubled it in many cases exceeded all other class of donors.

The management team is doing all it can to encourage school leavers to join the Club and to support members and activities of the Club at all branches in order to secure the future donor population. I have thus every confidence in the future growth of the donor population in Zimbabwe.

Blood Collections and Distribution

Total blood collections during the year under review amounted to 58,930 units, an increase of 40% compared to 42,074 units in 2009. All branches recorded significant increases: Harare 28%, Bulawayo 35%, Gweru 58%, Masvingo 70% and Mutare 33%. This is very much commendable and the performance of Masvingo was astounding. A stable staff complement, good vehicle fleet and availability of basic consumables contributed to the overall good performance.

Though not consistently supplied, there was an improvement in the provision of incentives. 19% (10,925 units) of the total collections were from static clinics and the remainder from the six mobile teams which were operational during the period under review.

There were marginal differences in sero - positive discards compared to 2009 . HIV went down from 0.77% to 0.74%, HBV from 1.03% to 0.97% and slight increases for HCV and Syphilis up from 0.19% to 0.31% and 0.58% to 0.68% respectively.

The St George’s clinic which was more centrally placed was relocated to a new site which is slightly out of the Central Business District (CBD). The previous location was no longer congenial for blood donation activities as there were other commercial activities that compromised blood donation activities.

Although the new premises offer better facilities to blood donors, collections plummeted due to the change of venue. In March 2010, a static clinic operating from the Hwange Colliery Hospital facilities was established. In an effort to improve public access to blood donation, two sites were also opened in Harare, one at the Chitungwiza Town Centre on 28th June and the other along 1st Street Mall in the Harare city centre.

Collections at all these new centres are still to reach their planned targets but indications are that as the economy and socio - political situation improves walk-in donors will have easier access to these sites. New panels were opened in schools of nursing, independent colleges and the tertiary institutions of learning.

Despite an improvement in blood collections during 2010, blood shortages were experienced over the festive period due to increased demand from hospitals. The improvement in health delivery system, the support by UNFPA through providing funds to enable hospitals to procure blood for maternal cases and the resuscitation of hospital accounts contributed to this.

Analysis of 2010 Audited Financial Statements

Basis Of Preparation Of Financial Statements

The financial statements are prepared in accordance with International Financial Reporting Standards (IFRS). The financial statements reflect United States dollars. The amended IFRS 1 has been adopted. This has had the effect in the current year financial reporting of disclosing three statements of financial positioning together with the related notes. The statement of financial position cover the opening position at 1 January 2009 with deemed US dollar amounts, the closing balances as at 31 December 2009 and the closing balances as at 31 December 2010.

Economic Overview

The year under review was characterized by improved stability of the economic operating environment despite the challenges posed by tight liquidities.

Abridged Financial Results US$

(i) Turnover 5 316 134 (ii) Net surplus 393 054 (iii) Total Assets 4 330 238 (iv) Receivables 820 218 (v) Payables 2 435 897

CHAIRMAN’ S STATEMENT

The conducive operating environment prevailing in the country improved the donor recruitment and retention and the implementation of blood drive activities throughout Zimbabwe.


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Revenue

Revenue from operations is up by 78% due to increased human blood distributions. Donations and grants increased by 39%. Notable donors were the Expanded Support Programme -$582,046, and the National Aids Council -$459,235. A government grant of $355,000 was also received.

Costs

Operating expenses increased by 20% due to increased blood collections. Administration expenses increased by 16% due to increases in services and utility charges. We continue to collaborate with our suppliers in an effort to encourage cost effectiveness.

Operating Results

A $393,054 surplus was posted. This reflects a 168% increase compared to 2009. This is attributed to an increase in capacity utilization and cost control.

Statement Of Financial Positioning And Cash Flow

Total Assets grew by 127%. This is attributed to revaluation of buildings, trade receivables and cash in bank deposited for the PEPFAR project. Cash flow from Operating activities increased by 329% to $859,431.

OUTLOOK

Though the country’s economy is projected to grow, the health sector environment still remains uncertain due to liquidity problems of the Government of Zimbabwe; which is a major player in the health sector.

PROJECTS

The Service is engaged in a number of projects partnering with different organizations. NBSZ managed to successfully apply for a Funding Opportunity Announcement on blood safety from CDC/PEPFAR. This is a five year project

which commenced in October 2010 and expires 2015. USD 1,800,000.00 per year has been pledged by CDC and future allocations will be based on the success of the annual progress reports. Five strategic goals have been set and the work plan for year one has been approved.

These are: To improve equity and access to safe blood and blood products; To develop sustainable Quality Management Systems; To educate health care workers on blood safety and rational use of blood; To provide appropriate Infrastructure and human resources; To provide Monitoring and Evaluation mechanisms.

Swiss Red Cross has approved a project targeting the improvement of information and data management. Under the new project, a new database software (e-Delphyn) from Hemasoft has been recommended to replace the current Progress software. Hardware and other communication tools have been provided under the agreement. Major logistics have been completed in terms of procurement and a project steering committee has been put in place to see through the whole project.

The Ministry of Local Government and Housing has approved the request to change the remainder piece of land adjacent to NBSZ headquarters to put up research buildings in conjunction with BRTI. Resource mobilization for the building is in progress.

SPECIAL EVENTS

Donor Awards

A total of 196 donors received awards for attaining different milestones as donors at respective branch General Meetings. Awards for Masvingo and Gweru branches are awarded periodically relative to Harare, Bulawayo and Mutare who hold their meetings annually.

Stakeholders Meetings

Nationwide stakeholders meetings were held in all Provinces. In attendance were different stakeholders including headmasters, doctors, hospitals administrators Provincial Medical Directors, media and blood donors. The purpose of the meetings was to offer our stakeholders an opportunity to understand the operations and challenges of the NBSZ and for management to better understand the needs of the stakeholders. Although the cost of blood to the hospitals was a major issue it was clear that the participants better understood the cost drivers and how NBSZ continued to seek relief from government and other resource partners.

World Blood Donor Day and Shield PresentationsGweru branch hosted the World Blood Donor Day commemoration at Regina Mundi High School, the winners of the Provincial Schools Blood Donor Shield award in the Midlands Province. Net-One maintained its sponsorship of the Provincial Schools Blood Donor Shield Award.

ACKNOWLEDGEMENTThe service received test kits, blood bags and reagents from the Ministry of Health and Child Welfare under the Expanded Support Programme (ESP) amounting to US$459,235.00 and additional test kits from

National Aids Council (NAC) worth $582,046. Net-One donated a caravan worth ZAR131, 500.00 for the mobile team. Net-One procured a second caravan for use during mobile blood drives. Delta Beverages continued their donation of soft drinks for blood donors. TN Financial Holdings sponsored the Gweru stakeholders’ meeting. The NBSZ Trust Fund has been dormant for most of the year. NBSZ recognises the important role communities and commercial companies can play in supporting NBSZ activities and such support reduces the cost of obtaining a safe unit of blood. In this context NBSZ will be appointing a Public Affairs and fund raising manager to spearhead this aspect.

CONCLUSION

In conclusion, I would like to express my deepest appreciation to the members of Committees at national and branch level for their contribution and support to the management in ensuring the success of the NBSZ. I also wish to thank Man-agement and the rest of staff for the job well done.

Justice L.G. Smith (Rtd) CHAIRMAN

June 2010


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Blood SupplyThere was a 40% increase in blood collections, this being an indication of the improved socio – economic situation in the country. Peer Promotions programes, the Pledge 25 Club, Ladies Gala and Men’s Splash all contributed to the improvement in blood collections reaching 95% of set target. The opening of the Hwange centre brought to attention the need to review the Malaria policy in place. For example the collection and distribution of blood at risk for transmission of Malaria from a Malaria endemic area into non-endemic area.The issue of Malaria in donated blood is scheduled for discussion by the newly formed Medical Scientific Committee (MSC) in early 2011.

The Apheresis UnitThree patients with Guillain Barre Syndrome were successfully treated with plasma exchange procedures. However one patient had to be evacuated to South Africa because of respiratory paralysis. This complication was reversed in South Africa.

169 single donor platelets were collected, an increase of 30% over 2009. All the collections were in Harare because the Bulawayo aphaeresis equipment was cannibalized to keep the Harare unit working.

Donor CounselingWhile pre-donation counseling was carried out on all donors only a disappointing 99 of 515 (19%) presented themselves for post-donation counseling. The NBSZ is reviewing the donor notification and counseling policy as the current notification policy has, in the last few years, been compromised by the changes in the number and capacity of the counseling partner organizations to provide counseling support to blood donors.

Failed Copper Sulphate TestsThere were 2580 temporary and 361 permanent deferrals due to low Haemoglobin. Supplement Ferrous sulphate tablets normally given to such donors were not available on the market .

It would appear that the diets of many of our donors are low in iron as shown by high deferrals following copper sulphate haemoglobin failures.

Recipient Adverse EventsDuring this year there were 28 adverse events in recipients involving whole blood (20), Packed Cells (3), Platelets (4) and FFP (1). A better appreciation of adverse recipient/donor events will be possible when haemovigilance and Hospital Transfusion Committees (HTCs) come into being. The aim of HTCs is to promote a high standard of transfusion practice. This is an important role in medical audit. In order to function properly some training is required and under the CDC-PEPFAR project NBSZ has requested funds for this purpose. Provincial Medical Directors have identified a focal medical officer to be trained to become the provincial officer responsible for promoting safe and appropriate blood transfusion supported by an HTC at each hospital.

Paternity/Maternity TestsThese tests are done in South Africa and the Service only acts as a facilitator. There were 47 cases attended to, of which 29 were paternity non-exclusions, 15 paternity exclusions, 1 maternity confirmed and 1 relationship not confirmed. There was one failed kidney match.

ISBT Congress in BerlinThe Medical Director is grateful to the NBSZ and Abbott Diagnostics for the sponsorship to the Berlin Congress from 26 June to 2 July 2010

In order to improve stakeholder involvement in the decision making processes, it was agreed to establish a Medical and Scientific Committee (MSC) as a subcommittee of the National Committee.

Among the topics for the MSC are:

Safety of the blood supply. The need for NAT testing technology. A review of the Malaria policy of the NBSZ.

Strategy to recruit spouses of pregnant women as blood donors. A research proposal will be developed to ascertain the feasibility of this idea.

Dr. M.E. Chitiyo MEDICAL DIRECTOR

MEDICAL DIRECTOR REPORT


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REVIEW OF OPERATIONS

IntroductionBlood collections increased by 40% from 42,074 units to 58,930 units. Compared to 2009, this was a significant increase that was attributable to the availability of resources that enabled an improvement in the donor recruitment drive countrywide. An improvement in the socio-economic environment created a modicum of stability in the country that also contributed to the successes recorded in the donor recruitment and retention since there was improved access to mobile sites and donors could come forward to donate. Donor retention year on year (2009/2010) increased to 36% from the previous figure of 26% in 2008/9). Of significance to note was the increase in donor retention of the Pledge 25 Club members,(69%) compared to 33% retention of non Pledge 25 members. This shows that the goal of promoting the Pledge 25 Club is critical to the overall increase in blood collections and donor retention.

A lot of work needs to be done to recruit donors to fixed donation sites as only 14% of total collections were from these sites yet the donor retention rate in fixed sites remains the highest at 49%. To this end, management is looking for strategies to increase collections at these sites. One such strategy is to increase fixed collection sites at strategic places so that donors can easily access such sites.

Blood processing was affected by the shortage of critical supplies during the year 2010. The NBSZ is dependent on the procurement processes of the National Aids Council (NAC) and inter alia UNICEF for its critical supplies so much that delays in the procurement of these critical supplies, has ripple effects on the organisation’s service delivery system. Less than 50% of whole blood collections were processed into packed cells and fresh frozen plasma. As a result, clinicians did not receive the products they specified for in their requisitions.

There was a significant decrease in the number of ABO and Rhesus discrepancies from 869 in 2009 to 715 in 2010. Discrepancies are discovered during transfer of donor test results to the donor data base and in most of the cases they are largely identified on repeat donations of first time donors in cases involving ABO subgroups (with missing or weak antigens) and weak Rhesus phenotypes. An automated blood grouping machine was purchased and it is anticipated that the sensitivity of the machine coupled with a considerable reduction in human error will go a long way in reducing the discrepancies further.

A new Transfusion Transmissible Infection (TTI)algorithm covering all sero-markers (HIV1/2 Ag/Ab) was adopted in 2010. However, its implementation has been delayed due to the unavailability of a second line testing method that is in compliance with international standards

The HIV sero-prevalence rate among the 16-20 years age group remains a cause for concern. There is need to ascertain the underlying causes to this and to come up with the best way to educate and screen these donors.

NBSZ originally targeted this age group as a safe source of blood but it has turned out to be a cause for concern with regards to national HIV prevention strategies. Overally, TTIs such as HIV, HCV, HBV and Syphilis have contributed to around 4% of the units that were discarded during the period under review.

Sixteen (16) State Certified Blood Bank Technicians (SCBBTs) completed their 2 year training course and will receive their certificates early next year. Through the support from CDC-PEPFAR, plans are underway to acquire new laboratory equipment for Masvingo and Gweru laboratories so that some of the blood component preparation can be decentralised to these centres. The availability of SCBBTs , equipment and refurbishment of the facilities will enable these centres to resume processing of blood; an activity that had been stopped in the last 5 years due to lack of equipment and staff.

The NBSZ has received the CDC-PEPFAR award for the management of blood supplies in Zimbabwe. The annual award is $1.8m and, depending on the successful implementation of agreed activities and availability of funds; it will be renewed for the next 5 years. Financial challenges experienced in the last 5/10 years have resulted in the deterioration of infrastructure and equipment so much that the PEPFAR support could not have come at a time better than this. The funds will go a long way in refurbishing laboratory facilities and in improving the capacity of NBSZ to increase blood collections, improve processing and distribution of blood and blood products countrywide.

The Swiss Red Cross (SRC) awarded NBSZ some funds to the tune of $250,000 for the purchase of a new commercial blood bank software and essential hardware to replace the current software that has been in use since 1994. The new software; the e-Delphyn is a customised solution to the NBSZ needs and is marketed by Hemasoft, of Spain.

The National Aids Council (NAC) continued to support NBSZ through the procurement of critical items such as blood bags and test kits using it’s own resources and donor funds from the HSSP-ESP and HIV/AIDS support to the MoHCW. The

total support from NAC and from ESP for 2010 was $459,235. and $582,046 respectively. The MoHCW also provided a grant to NBSZ of $400,000. Together, this tremendous support from resource partners and government has enabled NBSZ to turn around the Service and meet its target collection and distribution figures for 2010 without compromising on the aspect of blood safety. The NBSZ appreciates the support it is receiving from all the funders and resource partners.

On the aspect of quality, the organization maintained momentum in ensuring continual improvement of its quality management system. The Service is building on the gains of ISO 9001 quality system which is spread throughout the organization. The management adopted the ISO 15189:2007 quality management system which is to be the mainstay management system for its laboratories. ISO 15189 was chosen because accreditation to it will demonstrate the competence of NBSZ’s laboratories to perform particular tests, which is a key ingredient in ensuring safety of blood and blood products produced by NBSZ. With this new arrangement, it was decided that certification to ISO 9001:2008 be deferred to mid-2011 to allow time to build up a quality system based on the two standards. Accreditation to ISO 15189 has been targeted for the year 2012.

I am pleased to present below detailed reports of various activities.

CHIEF EXECUTIVE OFFICER

Blood collections increased by 40% from 42,074 units to 58,930 units compared to 2009.


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Collections HIV % HBV % Syphilis %OVERALL 58930 436 0.74 569 0.97 403 0.68BranchHarare 22182 133 0.60 187 0.84 134 0.60Bulawayo 9347 77 0.82 64 0.68 66 0.71Gweru 8295 83 1.00 67 0.81 56 0.68Mutare 8978 76 0.85 103 1.15 86 0.96Masvingo 9871 65 0.66 146 1.48 59 0.60VenueFixed Clin-ics

9654 49 0.51 31 0.32 43 0.45

Factories/Community

11813 177 1.50 157 1.33 145 1.23

Schools/col-leges

37463 210 0.56 381 1.02 215 0.57

SexFemales 25541 240 0.94 167 0.65 138 0.54Males 33389 196 0.59 402 1.20 265 0.79Age Group16-20 40130 215 0.54 390 0.97 207 0.5221-29 10045 112 1.11 103 1.03 68 0.6830-39 4398 71 1.61 56 1.27 37 0.8440-44 1329 19 1.43 10 0.75 19 1.4345+ 3016 19 0.63 10 0.33 72 2.39Risk Cat-egoryI (low) 23137 42 0.18 60 0.26 85 0.37II 20761 176 0.85 292 1.41 178 0.86III 3485 44 1.26 28 0.80 38 1.09IV (High) 10784 174 1.61 189 1.75 102 0.95Pack TypeTriple 14744 64 0.43 87 0.59 71 0.48Single 32647 159 0.49 304 0.93 172 0.53Dry 11352 213 1.88 178 1.57 160 1.41Apheresis 170 0 0.00 0 0.00 0 0.00Donor Type (R-Code) R1 (regular, >=2)

12232 18 0.15 12 0.10 37 0.30

R2 (regular = 1)

15152 57 0.38 62 0.41 68 0.45

R3 (lapsed) 5046 56 1.11 50 0.99 43 0.85

R4 (new) 25742 305 1.18 445 1.73 255 0.99

Operational Performance Highlights

Blood Collection and Safety

Adolescents (16-20 years) continue to play a pivotal role in ensuring adequacy of blood nationwide as evidenced by them contributing 68% of the total collections. There was a 40% increase in the total number of blood collections. In 2009; 42,074 units were collected.

The HIV sero-prevalence among the blood donor population posted a slight decrease from 0.77% in 2009 to 0.74 % in 2010.

It is noteworthy that since 2005 the blood collections were on a decline until 2009. The HIV seroprevelance was on the increase from 2007 to 2009. The year 2010 provided a turning point.The major troughs coincide with school holidays since school children contribute the bulk of the blood that is collected. It is interesting to note

Table 1 Blood Collections and TTI Statistics FIgure 2 Monthly Blood Collections Patterns (2002, 2008-2010)

Despite a slight decrease from 1.03% in 2009 to 0.74 % in 2010, the overall sero-prevalence of HBV is still high especially among the donors in the 30-39 years age group.

Table 1 shows the blood collection and testing results data. Figure 1 shows the trends in blood collections and HIV sero-prevalence and Figure 2 shows monthly blood collections patterns.

Figure 1 Blood Collections / HIV trends 1995-2010

that despite the historical nature of this curve, some interventions measures in the form of Youth Donor Days (YDDs) were put in place to mitigate blood shortages during school holidays. The month of December is a typical example of a success project in this regard and it is anticipated that such measures will continue to be in place.


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Blood Donor Profiles

There was a 31% increase in the number of donors from 31,366 in 2009 to 41,213 donors in 2010. Their distribution by centre is shown in Table 2. New donors accounted for 61% of the total number of donors.

Donor Retention

Donor retention is one way of ensuring blood safety and despite many efforts to achieve this goal; it still remains a challenge the world over.

OVERALL Donors %

41213 100

Branch

Harare 15754 38

Bulawayo 6694 16

Gweru 5762 14

Mutare 6412 16

Masvingo 6470 16

Gender

Females 18597 45

Males 22616 55

Site

HQ 5877 14

Mobile 35335 86

Age Group

16-‐20 29299 71

21-‐29 6800 17

30-‐39 2623 6

40-‐44 759 2

45 + 1724 4

Donor Types

Regular 10651 26

Lapsed 4859 12

New 24948 62

Blood Groups

O 21404 52

A 10322 25

B 7945 19

AB 1493 4

Donor Counselling

Pre-donation counselling was carried out on all prospective blood donors but it is unfortunate that the number of donors who present themselves for post-donation counselling still remains a worrying static.

Out of a total of 515 donors referred to NBSZ for counselling, only 99 (19%) of them turned up. Data from counselling partners was not forthcoming and this is attributed to lack of capacity among most of the counselling partners as revealed in the Donor Notification and Counselling study carried out in 2010. It is anticipated that this will be addressed through embracing a new system that takes on board the recommendations made in the study.

A three day counselling refresher course was conducted for Bulawayo and Gweru nursing staff. Some of the recommendations of the workshop were incorporated in the counselling and post donation notification study that was conducted in 2010.

Of the 31,366 donors who gave blood in 2009, 11 241 (36%) came back to donate in 2010. Figure 3 shows trends in donor retention.

Pledge 25 Club

The Club held its Annual General Meeting from 8th to 10th August at Maleme Safari Camp in Matopos. A new executive led by Mr Spicer Munjeri was elected into office. Six new Pledge 25 satellite branch panels were opened in Plumtree, Shurugwi, Gokwe, Torwood, Chimanimani and Chipinge.

During December, the Youth Donor Month (YDM) a total of 2,338 units were collected nationwide. This was a 36% increase from the figure that was got in 2009. Overally, the Pledge 25 contributed a total of 6,329 units (11% of the total blood collections).

Figure 3 Donor Retention

Table 2 Blood Donor Profiles


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Public Relations and Special Events

Donor Awards

A total of 196 donors received awards for attaining different milestones as donors at respective branch General Meetings. Awards for Masvingo and Gweru branches are awarded periodically relative to Harare, Bulawayo and Mutare who hold their meetings annually.

World Blood Donor Day and Shield Presentations

Gweru branch hosted the World Blood Donor Day (WBDD) commemorations at Regina Mundi High School, which are the 2009 winners of the Provincial Schools Blood Donor Shield award in Midlands. Net-One maintained its sponsorship of the Provincial Schools Blood Donor Shield Award. The award winners are tabulated in Table 3.

Laboratory Services

Overally there was a general increase in the number of blood and blood products that were stocked and supplied. This was consistent with an increase in the number of blood collections.

Blood products stocked Figure 4 shows the number of blood and blood products stocked.

Blood supplies Figure 5 shows blood and blood products supplied in 2010

Testing equipment performance Machine performance was reasonably well

Province School Bulawayo Metropolitan Premier High Harare Metropolitan Mabelreign Girls High Mashonaland East Waddilove High Mashonaland Central Visitation High Mashonaland West Ngezi High Manicaland Anderson Mutiweshiri High Masvingo Dewure High Midlands Regina Mundi High (National winner) Matebeleland North John Tallach High Matebeleland South Minda High

as compared to the previous year (2009). In as much as the TTI section practically used one machine for the greater part of the first half of the year, it is worth noting that there were very few, if any incidents where no testing was done due to both machines being down. An approximate total of 129 hours 30 minutes was lost as a result of machine downtime involving both machines over the whole year.

Blood Cold Chain A computer based temperature monitoring system was piloted to monitor the performance of cold rooms, fridges and freezers.

Figure 4 Blood and Blood Products Stocked in 2010

Figure 5 Blood and Blood Products Supplied

Key: WB - whole blood, PC-packed cells, FFP - Fresh Frozen Plasma, PLTs - Platelets, Paed packs - paediatric packs, CRYO - Cryoprecipitate

Regina Mundi High School, are the 2009 winners of the Provincial Schools Blood Donor Shield

The Pledge 25 contributed a total of 6,329 units (11% of the total blood collections)

Table 3 Provincial School Blood Donor Shield

Award for 2009


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Quality Management Systems

Eight members of staff who constitute the steering committee for implementing ISO 15189:2007 received training in July 2010. System re-documentation commenced in August 2011.The laboratory resumed its participation in the UK NEQAS Microbiology Scheme for HIV, Hepatitis B, anti-HCV and Syphilis. To date, the pass rate has been 100%.The laboratory continued its participation in the Zimbabwe National Quality Assurance Programme (ZINQAP) and South African National Blood Service (SANBS) Proficiency Test. Pass rates ranged from 50% to 100% (average of 96.3%) and 85% to 100% (87.5% on average) for ZINQAP cross-match and blood grouping respectively.For SANBS PT which involves cross matching and antibody identification and/or titration, the pass rates ranged from 97 – 100% (average of 97.4%) and 33 – 100% (average of 81.7%) for cross-matches and antibody identification respectively.

Human Resourses

Staffing

A total of 11 employees joined the Service in 2010 and appointments were mainly in the departments of Finance and Administration, Blood Procurement and Public Relations and Laboratory.

The recruitment which was done in the middle of the third quota was in line with the PEPFAR project. In comparison with 2009, recruitments for 2010 were done for critical positions only. Some of the posts were postponed to year 2011.Only four employees out of a total of 172 left the Service and this translates to a staff turnover of 2.3%. With the stability rate of 2.3%, it clearly reflects how much the organization retains its staff. The aim of an effective Human Resources Management strategy is to reduce the level of staff turnover wherever possible. There was a positive development on disciplinary issues in year 2010 in which no employee was dismissed.

Purchasing and Supply

Routine Purchases

National Bio-products Institute (NBI) experienced an unprecedented demand for various immunoglobulins by South African customers to the extent that they had to suspend exports of plasma derived medical products such as prophylactic anti D (Rhesugum) to all countries in the SADC region. This has severely affected our supply of these products to Hospitals. The Service also experienced shortages of triple bags and test kits in 2010 due to logistical delays in the procurement process by UNICEF. The Service received test kits, blood bags and reagents from Expanded Support Programme (ESP) to the tune of $582,046. First line test kits worth US$459,235.00 were obtained from the National Aids Council (NAC). Net One donated a Caravan worth ZAR131, 500.00 for mobile teams.

Supplier Evaluation

Supplier evaluation was carried out in the first quarter of 2010 and 125 local suppliers and 5 foreign suppliers were approved. During the year, 31 suppliers were prequalified representing 19, 25% of the suppliers.

Infrastructure

The Service managed to replace computers, erect a durawall and construct a driveway at Harare branch. Other operations include opening three Static Clinics equipping them with furniture, renovations and maintenance of cold chain equipment.

Research, Development and Data Management (RDDM)

Research Activities

The following research activities were undertaken: The donor notification and counselling study was successfully implemented and results will be disseminated in Q1 of 2011. Dry pack policy study was completed. Results indicated that it is important to maintain the dry pack policy for safety concerns. A joint KAPB study for healthcare workers was developed with CPCPZ and awaits funding. Several student researches were supported by the Service in 2010

Data Management

Essential data forms were developed for all departments and generic forms for branches. This greatly improves information management within the Service.

Strategic Planning

The Service’s 5-year strategic plan (2006-2011) expires in 2011 and a process to craft a new strategic plan has been instituted.

Wednesday Seminars

These were re-launched in April 2010. All branches have successfully launched their programmes. DVDs of Harare Seminars were produced and evaluated. The programme is being continuously monitored and reviewed through M&E forms designed for this program. Despite the fact that the attendance is optional the attendance remains consistently over 50% and at branches it’s around 100%. All the organising committee members and attendees are thanked for making this programme a success.

Stakeholders Meetings

The nationwide stakeholders meetings were conducted at all provinces. Reports of the outcomes are available which are being consolidated into a national summary report.

Partnership with BRTI

The Ministry of Local Government approved NBSZ application to change land use on a remainder piece of land where two joint research buildings will be constructed. Resource mobilisation is in progress.

National Strategic Meetings

NBSZ participated at the following national forums MRCZ reviewers forum ZNASP II workshop NAC Research priority areas meeting UNAIDS feedback meeting on modes of HIV transmission in Zimbabwe.

EU Research Project

The NBSZ has been favoured with a Fellowship program under the EU Research Project consortium (FP7 Grant) on “Building sustainable capacity for research for health in Africa” abbreviated as T-REC. The research priorities formulated at the African Blood Transfusion Directors workshop held in Mombasa (September 2008) formed the basis of grant application and the award. NBSZ has been selected as a partner in this consortium. There are three research training work packages of PhD support, In-service research training and scholarships for undergraduate/masters students to undertake blood transfusion research activities. The project is expected to start in 2011.


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International / National Congresses, Conferences and Trainings ISBT Berlin 2010

The NBSZ participated (Dr M. E. Chitiyo, Mr D. A. Mvere and Mr. T. Mapako) at the 31st ISBT Congress held in Berlin, Germany from June 24 – July 3, 2010. An oral presentation titled “Duration from first donation to permanent deferral due to TTI sero-positivity among blood donors in Zimbabwe” was successfully presented. According to the ISBT Final Programme booklet, about 1,300 abstracts were submitted to the congress. Only about 100 were selected for ORAL presentation. The tough competition should enable the Service to pride itself in having managed to have a scientific abstract accepted for the oral presentation. Discussions were held with other delegates to explore collaborating opportunities. Several contacts were made with exhibitors on laboratory equipment and IT systems. AABB Conference

Two scientific papers were developed and presented at AABB meeting in USA (October) by three delegates from NBSZ (Mr D. A. Mvere, Mr N. Muchineuta and Sr. J. Parirewa)

Annual Medical School Research Open Day

NBSZ attended the scientific meeting which was held at Rainbow Towers. There is opportunity for NBSZ to present papers at this forum. UZ-UCSF Annual Scientific Conference, HICC

NBSZ was invited to attend and make presentation on HIV/HBV situation in Zimbabwe.

PEPFAR Project

The Service managed to succcesfully apply for funding Opportunity Announcement on blood safety from CDC/PEPFAR. The 5-year project commenced in October 2010 and has a total budget of USD $1,800,000 per annum. Five strategic goals are being followed and the work plan for FY1 was approved. NBSZ attended an induction meeting for new partners that was organised by USAID/CDC.

Financial Performance

The abridged financial statements are shown in Table 4.

Description US$Turnover 5,316,134Net surplus 393,054Total Assets 4,330,238Receivables 820,218Payables 2,435,897

Table 4 Abridged Financial Results

NB The full financial statements are presented on page 26 - 39

Conclusion

I trust that all the stakeholders will find this report useful. Additional information will be available on request from NBSZ offices.

D. A. Mvere Chief Executive Officer

MANAGEMENT TEAM

Mr D.A Mvere CEO NBSZ

Mr N Muchineuta Dr M.E .Chitiyo Mr.T Mapako BULAWAYO BRANCH MANAGER MEDICAL DIRECTOR EXECUTIVE OFFICER RESEARCH DEVELOPMENT AND DATA MANAGEMENT

Ms L.M.Marowa Mr.E.M.Masvikeni Mr Z.Musekiwa LABORATORY SERVICES, BLOOD PROCUREMENT AND FINANCE AND ADMINISTRATION QUALITY AND SAFETY MANAGER PUBLIC RELATIONS MANAGER MANAGER


Page 23Page 22

Content Page

National Committee’s responsibility and approval of financial statements 24

Auditor’s report 25

Statement of financial position 26

Statement of comprehensive income 27

Statement of changes in funds 28

Statement of cash flows 29

Statement of accounting policies 30 - 35

Notes to the financial statements 36 - 39

These financial statements are expressed in United States Dollars (USD).

Financial Statements31 December 2010

NATURE OF BUSINESS: Provision of blood, blood products and related services.

NATIONAL COMMITTEESmith L. G. Justice (Rtd.) (Chairman)Nyathi B. Dr (Vice Chairman)Mvere D. A. Mr. (Chief Executive Officer)Chitiyo M. E. Dr.Mandisodza A. Mr.Moyo P. Dr.Musekiwa Z. D. Mr.Ndoro P. M. Mr. Shaamano D. C. Mrs.

SECRETARY Mvere D. A. Mr.

REGISTERED OFFICEMazoe street NorthP.O. Box A 101AvondaleHARARE

AUDITORSGrant Thornton CamelsaChartered Accountants (Zimbabwe)135 Enterprise RoadHighlandsHARARE


Page 25Page 24

Auditors’ Report

To The Members Of National Blood Service Zimbabwe We have audited the accompanying financial statements of National Blood Service Zimbabwe 26 to 38, which comprise the statement of financial position as at 31 December 2010, and the statement of comprehensive income, the statement of changes in funds and the statement of cash flows for the year then ended, and the notes to the financial statements, which include a summary of significant accounting policies and other explanatory notes.

National Committee’s Responsibility For The Financial Statements The National Committee is responsible for the preparation and fair presentation of these financial statements in accordance with International Financial Reporting Standards ( IFRS ) and in the manner required by the Companies Act [Chapter 24:03] and the relevant statutory instruments. This responsibility includes: designing, implementing and maintaining internal controls relevant to the preparation and fair presentation of financial statements that are free from material misstatements, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditor’s Responsibility Our responsibility is to express an opinion on these consolidated financial statements based on our audit. We conducted our audit in accordance with International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance whether the financial statements are free from material misstatements.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our opinion, the financial statements present fairly, in all material respects, the financial position of National Blood Service Zimbabwe as at 31 December, 2010, and its financial performance and its cash flows for the year then ended in accordance with International Financial Reporting Standard and complied with the Companies Act [Chapter 24:03].

Grant Thornton Camelsa 21 June 2011 Chartered Accountants (Zimbabwe) Harare

National Committee’s Responsibility And Approval Of Financial Statements For The Year Ended 31 December 2010 To The Members Of National Blood Service Zimbabwe

It is the National Committee’s responsibility to ensure that the financial statements fairly present the state of affairs of the Association. The external auditors are responsible for independently reviewing and reporting on the financial statements.

The National Committee has assessed the ability of the association to continue as a going concern and believe that the preparation of these financial statements on a going concern basis is still appropriate. However, the National Committee believes that under the current economic environment, a continuous assessment of the ability of the association to continue to operate as a going concern will need to be performed to determine the continued appropriateness of the going concern assumption that has been applied in the preparation of these financial statements.

The financial statements set out in this report have been prepared by management in accordance with generally accepted accounting practice. They are based on appropriate accounting policies which are supported by reasonable prudent judgements and estimates.

The association’s internal and accounting control systems are designed to provide reasonable assurance as to the integrity and reliability of the financial statements and to adequately safeguard, verify and maintain accountability of its assets. Such controls are based on established written policies and procedures and all employees are required to maintain the highest ethical standards in ensuring that the association’s business practices are conducted in a manner which in all reasonable circumstances, is above reproach. Issues that come to the attention of the National Committee have been addressed and the National Committee confirm that the system of internal control and accounting control is operating in a satisfactory manner.

The association’s annual financial statements which are set out on pages 21 to 38 were, in accordance with their responsibilities, approved by the National Committee on 21 June 2011 and are signed on its behalf by:

Smith L. G. Justice (Rtd.) Mvere D. A. Mr Chairman Secretary


Page 27Page 26

Statement Of Comprehensive Income For The Year Ended 31 December 2010

2010 2009 Notes USD USD

Revenue 2 3 323 293 1 863 646

Donations and grants 3 1 414 827 1 015 234

Other income 4 578 014 743 971

Total income 5 316 134 3 622 851

Operating expenses 5 (2 006 670 ) (1 682 950)

Administrative expenses 6 (2 916 410 ) (2 514 862)

PROFIT/(LOSS) FOR THE YEAR 393 054 (574 961)

Other comprehensive income: - -

Other comprehensive income for the year, net of tax - -

TOTAL COMPREHENSIVE INCOME/(LOSS) FOR THE YEAR 393 054 (574 961)

Statement Of Financial Position For The Year Ended 31 December 2010

2010 2009 1 Jan 2009 Notes USD USD USD

ASSETS Non-current assets

Property and equipment 7 2 088 846 961 449 972 836

Current assets

Inventories 8 396 571 264 471 208 138

Trade and other receivables 9 820 218 487 989 26 735

Cash and cash equivalents 10 1 024 603 196 616 28 945

2 241 392 949 076 263 818

Total assets 4 330 238 1 910 525 1 236 654

EQUITY AND LIABILITIES

Equity and reserves

Non-distributable reserve 866 561 866 561 866 561

Donated assets reserve 41 012 27 813 -

Revaluation reserve 1 168 675 - -

Retained loss (181 907) (574 961) -

Total equity 1 894 341 319 413 866 561

Current liabilities

Trade and other payables 11 2 435 897 1 591 112 370 093

Total equity and liabilities 4 330 238 1 910 525 1 236 654

Smith L. G. Justice (Rtd) Mvere D. A. Mr. Chairman Secretary


Page 29Page 28

Statement Of Cash Flows For The Year Ended 31 December 2010

2010 2009 Notes USD USD

Cash flow generated from operations

Profit/(loss) for the year 393 054 ( 574 961)

Adjustment for: Depreciation 81 565 75 749 Realisation on donated assets ( 7 238) ( 3 785) Loss on disposal of assets 11 594 -

Operating cash flows before working capital changes 478 975 ( 502 997)

Net effect changes in working capital 12 380 456 703 432

Cash generated from operating activities 859 431 200 435

Cash flows from investing activities Proceeds from sale of assets 31 922 - Purchase of property and equipment ( 63 366) (32 764)

Cash flow generated from investing activities (31 444) (32 764)

Cash flows from financing activities - -

Net increase in cash and cash equivalents 827 987 167 671

Cash and cash equivalents at beginning of the year 196 616 28 945

Cash and cash equivalents at the end of the year 10 1 024 603 196 616

Statement Of Changes In Equity For The Ended 31 December 2010

Derived Revaluation Donated Retained Total equity reserve asset (loss) reserve USD USD USD USD USD

Balance at 1 January 2009 866 561 - - - 866 561

Donated assets - - 31 598 - 31 598

Realisation of donated assets reserve - - ( 3 785) - ( 3 785)

Total comprehensive income for the year - - - ( 574 961) ( 574 961)

Balance at 31 December 2009 866 561 - 27 813 (574 961) 319 413

Balance at 1 January 2010 866 561 - 27 813 (574 961) 319 413

Donated assets - - 20 437 - 20 437

Realisation of donated assets reserve - - (7 238 ) - ( 7 238)

Revaluation surplus - 1 168 675 - - 1 168 675

Total comprehensive income for the year - - - 393 054 393 054

Balance at 31 December 2010 866 561 1 168 675 41 012 (181 907 ) 1 894 341


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Comparative financial information

The financial statements comprise three statements of financial position, two statements of comprehensive income, changes in equity and cash flows as a result of the early adoption of the Amendments to IFRS1.

Reconciliation of previously prepared to IFRS compliant financial statements

In preparing its opening IFRS statement of financial position, the Association has not adjusted amounts previously determined in accordance with the Guidance on Change in Functional Currency of 2009. As amounts have not changed, reconciliations have not been presented.

1.2 Revenue recognition

Revenue comprises the fair value of the consideration received or receivable in the ordinary course of the Association’s activities. Revenue is recognised as follows:

1.2.1 Rendering of services

Revenue from the sale of goods and services is recognised when the amount of revenue can be reliably measured and it is probable that future economic benefits will flow to the entity. Revenue is shown net of value-added tax, returns, rebates and discounts and when the risks and rewards of ownership have been transferred to the customer.

1.2.2 Sale of goods

Sale of goods are recognised when products have been delivered to the customer, the customer has accepted the products and the collectibility of the related receivables is reasonably assured.

1.2.3 Interest income and expense

Interest income and expense for all interest-bearing financial instruments are recognised within interest income and finance cost in the statement of comprehensive income on a time-proportion basis using the effective interest rate method.

1.2.4 Donations, grants and government grants

Donations and grants are brought to account on receipt.

1.3 Property and equipment

All property and equipment was accounted for by establishing fair values in United States Dollars. These fair values were determined based on current prices in an active market for similar property and equipment in the same condition.

Statement Of Accounting Policies For The Year Ended 31 December 2010

1 Summary of significant accounting policies

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

1.1 Basis of preparation

Statement of compliance

The Association’s financial statements have been prepared in accordance with International Financial Reporting Standards, (IFRS) and the International Financial Reporting Interpretations Committee, (IFRIC) interpretations. The financial statements are based on statutory records that are maintained under the historical cost convention as modified by the revaluation of property, plant and equipment.

Transition to IFRS

The Association is resuming presentation of IFRS financial statements after early adoption of Revised IFRS1 First-time Adoption of International Financial Reporting Standards issued on 20 December 2010. The Association failed to present IFRS financial statements for the financial year ended 31 December 2009 due to the effects of severe hyperinflation as defined in Revised IFRS1.

The effect of the application of this amendment is to render the opening statement of financial position, prepared on 1 January 2009 (date of transition to IFRS) IFRS compliant. The opening statement of financial position was reported in the prior year as not being compliant with International Accounting Standard (IAS) 21 The Effects of Changes in Foreign Exchange Rates and IAS 29 Financial Reporting in Hyperinflationary Economies. The Association’s previous functional currency, the Zimbabwe dollar (ZWD), was subjected to severe hyperinflation before the date of transition to IFRS because it had both of the following characteristics:

(a) A reliable general price index was not available to all entities with transactions and balances in the ZWD; and

(b) Exchangeability between the ZWD and a relatively stable foreign currency did not exist. The Association changed its functional and presentation currency from the ZWD to the United States dollar (USD) with effect from 1 January 2009.

Deemed cost exemption

The Association elected to measure certain items of property, and equipment, trade and other receivables, inventories and trade and other payables at fair value and to use the fair value as the deemed cost of those assets and liabilities in the opening IFRS statement of financial position.


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Comprehensive Income

Comprehensive income for a period includes profit or loss for that period plus other comprehensive income recognised in that period. The components of other comprehensive income include:

1.8.1.7 changes in revaluation surplus (IAS 16 "Property, Plant and Equipment" and IAS 38 "Intangible Assets").

1.8.1.8 actuarial gains and losses on defined benefit plans recognised in accordance with paragraph 93A of IAS 19 "Employee Benefits".

1.8.1.9 gains and losses arising from translating the financial statements of a foreign operation (IAS 21 "The Effects of Changes in Foreign Exchange Rates").

1.8.1.10 gains and losses on remeasuring available-for-sale financial assets (IAS 39 “Financial Instruments:Recognition and Measurement”).

1.8.1.11 the effective portion of gains and losses on hedging instruments in a cash flow hedge (IAS 39 “Financial Instruments: Recognition and Measurement”).

1.9 Comparative financial information

The National Committee has not presented comparative information as required by IAS 1 (Revised) “Presentation of Financial Statements” because they believe they are misleading due to limitations in financial reporting.

1.10 New Standards and Interpretations in issue

A number of new standards, amendments to standards have been applied in preparing these financial statements.

1.11 Foreign currency translations and transactions

Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the statement of comprehensive income.

1.12 Property and equipment

All property and equipment is stated at valuation less accumulated depreciation and impairment losses. Subsequent costs are included in the asset’s carrying amount or are recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Association and the cost can be measured reliably. All other repairs and maintenance are charged to other operating expenses during the financial period in which they are incurred.

Land and buildings held for use in the supply of goods or services, or for administrative purposes, are stated in the statement of financial position at their revalued amounts, being the fair value at the date of revaluation, less any subsequent accumulated depreciation and any subsequent impairment losses. Revaluations are performed with sufficient regularity such that the carrying amount does not differ materially from that which would be determined using fair value at the reporting date.

1.4 Inventories

Consumables were stated at their current replacement cost in United States Dollars. Current factors such as new duty and exchange rates were not applied to existing inventories.

1.5 Liabilities

Liabilities were evaluated for obligations serviceable in foreign currency.

1.6 Cash and cash equivalents

Cash and bank balances were carried at amounts stated in bank statements. Balances denominated in Zimbabwe dollars were carried at nil values.

1.7 Trade and other receivables

The value of trade and other receivables denominated in United States dollars was determined using the recoverable values that had previously been separately recorded in USD and agreed with debtors. Payments subsequently received were verified.

1.8 Standards and amendments adopted by the Association

Standards, amendments and interpretations issued that are effective and have been adopted by the Association include:

1.8.1 IAS 1 Presentation of Financial Statements (Revised)

The application of the revised IAS 1 changed the format of the financial statements but did not fundamentally change the reported financial position or performance.

The main changes require that an entity must:

1.8.1.1 Present all non-owner changes in equity (that is, 'comprehensive income') either in one statement of comprehensive income or in two statements (a separate income statement and a statement of comprehensive income). Components of comprehensive income may not be presented in the statement of changes in equity.

1.8.1.2 Present a statement of financial position (balance sheet) the beginning of the earliest comparative period in a complete set of financial statements when the entity applies an accounting policy retrospectively or makes a retrospective restatement.

1.8.1.3 Disclose income tax relating to each component of other comprehensive income.

IAS 1 changes the titles of the financial statements as follows:

1.8.1.4 balance sheet' to 'statement of financial position'

1.8.1.5 income statement’ to ‘statement of comprehensive income

1.8.1.6 ‘cash flow statement’ to ‘statement of cash flows’


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Committee’s best estimate of the expenditure required to settle the obligation at the reporting date, and are discounted to present value where the effect is material.

Employee entitlements to annual leave and long service leave are recognised when they accrue to employees. A provision is made for the estimated liability for annual leave and long service leave as a result of services rendered by employees up to the reporting date.

1.16 Employee benefits

1.16.1 Pension obligations

Retirement benefits for staff are provided under a defined contribution plan administered by Old Mutual. The Association’s contributions are charged to the statement of comprehensive income in the year in which they relate.

1.16.2 National Social Security Authority Scheme The Association and all employees must contribute to the National Social Security Authority (NSSA) statutory pension and benefits scheme, which is a defined contribution scheme.

This scheme was promulgated under the National Social Security Act of 1989. The Association’s obligation under the scheme is limited to specific contributions as legislated from time to time, which are presently four per cent of pensionable emoluments.

1.17 Reporting currency

These financial statements are expressed in United States Dollars, which is the functional and reporting currency.

1.12 Property and equipment (continued)

Any revaluation increase arising on revaluation of such land and buildings is credited to the property revaluation reserve, except to the extent that it reverses a revaluation decrease for the same asset previously recognised in the statement of comprehensive income, in which case the increase is credited to the statement of comprehensive income to the extent of a decrease previously charged to the statement of comprehensive income. A decrease in carrying amount arising on the revaluation of such land and buildings is charged to the statement of comprehensive income to the extent that it exceeds the balance, if any, held in the property revaluation reserve relating to a previous revaluation of that asset.

The gain or loss arising on the disposal or retirement of an item of property and equipment is determined as the difference between the sale proceeds and the carrying amounts of the asset and is recognised in the statement of comprehensive income.

1.12.1 Depreciation

Depreciation is provided for using the straight line method at the following rates per annum, to allocate the historical cost or valuation of property and equipment over their estimated useful lives:

Buildings 5% Motor vehicles 15% Furniture and fixtures 10% Computer equipment 10% Land -

Non-current assets are revalued periodically, on the Gross replacement cost basis, as and when the National Committee considers the value of such assets to be materially different to their book values.

1.13 Leased assets

Leased assets are assets whereby the lessor conveys to the lessee, in return for a payment or a series of payments the right to use the asset for an agreed period of time.

The operating lease for land is written off on a straight line basis through the statement of comprehensive income.

1.14 Inventories

Inventories are stated at the lower of cost and net realisable value. The cost of inventories are assigned using the weighted average cost formula. Net realisable value represents the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.

1.15 Provisions

Provisions are recognised when the association has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligations, and a reliable estimate of the amount of the obligations can be made. Provisions are measured at the National


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Notes To The Financial Statements For The Year Ended 31 December 2010 Continued

2010 2009 USD USD

6 Administrative expenses

Audit fees 13 826 11 000 Bank charges 22 852 6 890 Buildings maintenance and repairs 60 228 30 522 Business allowance - 2 080 Computer expenses 23 987 11 652 Consultancy expenses 23 212 18 018 Depreciation 81 565 75 749 Depreciation on disposal 12 634 Electricity and rates 62 558 12 471 General expenses 26 836 31 571 Insurance 25 360 30 942 Internet and e-mail 17 514 6 567 Library and reference books 668 543 Loss on disposal of asset 11 594 - Medical aid 68 561 49 578 Penalties 93 652 - Pension 197 245 196 626 Postage 39 011 19 059 Powertel leased lines 6 172 4 529 Printing and stationery 34 729 13 618 Protective clothing 1 254 3 587 Rent - Chitungwiza office 18 606 - Salaries and wages 1 863 463 1 842 892 Security 55 190 30 139 Staff and educational expenses 3 760 1 673 Telephone and fax 82 789 67 588 Telephone rentals 5 298 10 967 Training and seminars 2 449 75 Transport 27 020 27 655 Water 34 377 8 871

2 916 410 2 514 862

Notes To The Financial Statements For The Year Ended 31 December 2010

2010 2009 USD USD

2 Revenue

Human blood products 3 286 870 1 838 537 Imunoglobulins 36 423 25 109

3 323 293 1 863 646

3 Donations and grants

Organisation Ministry of Health and Child Welfare 355 000 200 220 United Nations International Child Emergency Fund (UNICEF) 582 046 669 488 Swiss Red Cross (SRC) 7 759 42 912 Delta Beverages 7 387 - National Aids Council 459 235 - Other donations 3 400 102 614

1 414 827 1 015 234

4 Other income

Exchange gains 586 19 070 Other medical tests 570 068 720 91 Interest income 122 204 Realisation of donated reserve 7 238 3 785

578 014 743 971

5 Operating expenses

Blood procurement expenses 464 068 294 483 Branch visits 9 908 6 933 Canteen expenses 60 974 64 053 Cleaning 7 090 8 997 Discount allowed 10 356 - Co-ordination expenses 51 402 60 141 Entertainment and presentation 150 292 Fuel 185 430 130 243 Incidentals 509 1 402 Incineration and waste disposal 27 001 24 992 Laboratory expenses 1 016 814 696 584 Linen administration 4 846 784 Motor vehicle repairs and maintenance 107 823 90 925 Other incentives 56 217 292 686 Quality assurance 4 082 10 435 2 006 670 1 682 950


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Notes To The Financial Statements For The Year Ended 31 December 2010 Continued As at As at As at 31 December 31 December 1 January 2010 2009 2009 USD USD USD

8 Inventories

Consumables 78 189 132 923 208 138 Finished goods 949 5 845 - Raw materials 317 433 125 703 -

396 571 264 471 208 138

In 2010, a total of USD608 of inventories was included in profit and loss resulting from write down of inventories

9 Trade and other receivables

Trade 790 889 464 514 26 735 Other 29 329 23 475 -

820 218 487 989 26 735

10 Cash and cash equivalents For the purpose of the statement of cash flows, cash and cash equivalents comprise the following:

Cash in hand - 443 26 167 Cash in bank 1024 603 196 173 2 778

1024 603 196 616 28 945

11 Trade and other payables

Trade 265 614 216 965 370 093 Other 2170 283 1 374 147 - 2435 897 1 591 112 370 093

The carrying values of trade payables are considered to be a reasonable approximation of fair value.

12 Net effect changes in working capital

Increase in inventory (132 100) (56 333) - Increase in trade and other receivables (332 229) (461 254) - Increase in trade and other payables 844 785 1 221 019 -

380 456 703 432 -

Notes To The Financial Statements For The Year Ended 31 December 2010 Continued

7 Property and equipment

Land and Furniture and Computer and Motor Total Buildings fittings Equipment vehicles USD USD USD USD USD

As at 1 January 2009 Cost / valuation 711 000 38 036 42 800 181 000 972 836 Accumulated depreciation - - - - -

Carrying amount 711 000 38 036 42 800 181 000 972 836

Year ended 31 December 2009 711 000 38 036 42 800 181 000 972 836 Donations - - 1 980 29 618 31 598 Additions 4 300 13 189 10 955 4 320 32 764 Depreciation charge ( 35 158) (4 355) (4 843) (31 393) (75 749)

Carrying amount 680 142 46 870 50 892 183 545 961 449

As at 1 January 2010 Cost / valuation 715 300 51 225 55 735 214 938 1 037 198 Accumulated depreciation ( 35 158) (4 355) (4 843) (31 393) (75 749)

Carrying amount 680 142 46 870 50 892 183 545 961 449

Year ended 31 December 2010 Opening carrying amount 680 142 46 870 50 892 183 545 961 449 Additions - 34 828 28 538 20 437 83 803 Disposals - - - (56 150) (56 150)Revaluation 1 214 700 - - (46 025) 1 168 675 Depreciation on disposal - - - 12 634 12 634 Depreciation charge (35 765) (7 588) (7 948) (30 264) (81 565)

Carrying amount 1 859 077 74 110 71 482 84 177 2 088 846

At 31 December 2010 Cost / valuation 1 930 000 86 053 84 273 133 200 2 233 526 Accumulated depreciation (70 923) (11 943) (12 791) (49 023) (144 680 )

Carrying amount 1 859 077 74 110 71 482 84 177 2 088 846

N A T I O N A L B L O O D S E R V I C E Z I M B A B W E A N N U A L R E P O R T 2 0 1 0

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Range Of Products And Services

1. Whole Blood2. Autologous donations3. Red cell concentrates •Redcellconcentratesinadditivesolution,buffycoatremoved •Leucocytespoorredcellconcentrates •Redcellconcentrates,washed •Redcellconcentrates,paediatric4. Frozen blood products •Freshfrozenplasma •Cryoprecipitate5. Platelets •Plateletsconcentrates–singlerandomdonor •Plateletsconcentrates–aphaeresis6. Viral inactivated plasma derivatives •Immunoglobulins •Albumin •FactorVIII •FactorIX7. Donor sample testing •BloodGroupserology •Compatibilitytesting •Transfusiontransmissibleinfectionstesting8. Therapeutic Services •Therapeuticvenesection •Therapeuticaphaeresis9. Paternity Studies10. HLA / Tissue Typing11. Any other related services as deemed appropriate by the Service or Ministry of Health & Child Welfare

NATIONAL BLO OD SERVICE ZIMBABWE

Harare, National HeadquartersMazoe Street North Next to Parirenyatwa Hospital P.O. Box A101, Avondale Telephone: +263-4-707801- 4Fax: +263 – 4 - 707820E-mail: [email protected]

BulawayoCentral Hospital GroundsKhumalo BulawayoCentral Hospital GroundsKhumaloTelephone: +263-9-232454E-mail: [email protected]

GweruGweru Show GroundsTelephone: +263-54-63976E-mail: [email protected]

Mutare 27 George Silundika StreetTelephone:+ 263-20-62789/63397 E-mail: [email protected]

Masvingo Corner Hayles St/Emsle Close Telephone: +263-30-63573 E-mail: [email protected]

Website: www.bloodbank.co.zw

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