business@tribunemedia.net
MONDAY, DECEMBER 3, 2018
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BRIAN MOREE QC
Bahamas needs more than laws for dispute centre By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas must do much more than just pass laws if it is to realise a 20-year ambition to become “this hemisphere’s arbitration centre”, a well-known QC has warned. Brian Moree QC, senior partner at McKinney, Bancroft & Hughes, told Tribune Business that “a holistic approach” requiring technical, administrative and marketing skills was essential if this nation is to turn an improved legislative platform into a much-needed new business opportunity. While praising the Government for recently bringing two arbitrationrelated bills to Parliament, Mr Moree said much now depended on its “sustained commitment” to treating the issue as a “high priority” and allocating the necessary resources to finally establish such facilities in The Bahamas. The Government tabled the Arbitration (Amendment) Bill 2018 and International Commercial Arbitration Bill 2018 just 24 hours after Mr Moree himself, addressing a Chartered Institute of Arbitrators luncheon, urged The Bahamas to end “20 years of talk” on whether it can realise its potential as a commercial dispute resolution centre. Speaking to this newspaper following the Minnis administration’s move, Mr Moree suggested The Bahamas seek out partnerships with existing arbitration centres such as the Permanent Court of Arbitration in the Hague as a way to obtain essential expertise and resources. Citing numerous “synergies” with The Bahamas’ existing financial services and maritime industries, he argued that an arbitration centre would also have “a very positive domestic impact” by reducing the amount of litigation currently over-burdening the court system. Mr Moree, though, warned that success would require hard choices such as an immigration policy that minimised “bureaucracy and red tape” for foreign arbitrators, technical experts and witnesses coming into The Bahamas to conduct proceedings. A supporting IT platform, together with case and document management systems, is also essential if The Bahamas is to “deliver” the swift
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BOB chair: ‘Peanut’ profits make dividend premature By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
B
ANK of The Bahamas (BOB) chairman says it is “premature” to discuss resuming ordinary shareholder dividend payments when profits todate have been “kind of peanuts”. Wayne Aranha told the BISX-listed institution’s annual general meeting (AGM) that both Board and management were focused on returning the troubled lender to sustainable profitability, and higher returns for a bank of its size, before looking at capital returns to investors. He added that BOB needed to “get running on a V8 engine” following years of sustained multi-million
• ‘We need to get running on V8 engine’ first • Bank ‘plagued’ with high staffing turnover • Moving to change ‘aging systems’ dollar losses that have left it with a $137.593m accumulated deficit, forcing it to be rescued via two government bail-outs and a rights issue entirely financed by Bahamian taxpayers. Confronted with a question about when payments might resume, Mr Aranha replied: “It’s premature to talk about when we will pay a common share dividend... I know everybody is anxious about when we will get to that point of paying a dividend. It would be premature to guess. “We, as seen from the level of provisioning, are not yet running on a V8 engine - assuming it’s a V8
and not a V12. I’m hesitant to look to the future to say when we will get a common share dividend.” Mr Aranha said he thought BOB last paid a dividend in either 2012 or 2013, the years just prior to the first Bahamas Resolve transaction in which $100m worth of government bonds were injected into the bank’s balance sheet in exchange for loans owed by 13 delinquent borrowers. Rather than dividends, the BOB chairman said board and management focus needed to be on sustaining - then growing - BOB’s bottom line following its recent return to
profitability, and generating shareholder returns at a level consistent with a bank of its size. “The concentration now must be on sustainable profitability,” Mr Aranha told shareholders. “We look now and say we made $1.966m [in the 2019 first quarter] compared to $658,000, but after this $15m payment to preference shareholders (see other article on Page 1B) we will have $150m in capital. A $1m profit on that is kind of peanuts. “The board must clearly focus the bank to that point
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BOB ‘reputation’ boost from $15m repayment By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net BANK of The Bahamas believes it will boost its “reputation and creditworthiness” by repaying its last $15m in preference share debt, and declaring an interest dividend, before year-end 2018. Wayne Aranha, the BISX-listed institution’s chairman, told shareholders at its annual general meeting (AGM) that the repayment - besides boosting the bank’s standing with capital markets investors - will also “eliminate high cost funding”. He disclosed that Bank of The Bahamas (BOB) primary regulator, the Central
* Pref investor payout, dividend, before year-end * Bank ‘still short of returns investors expect’ * Finding lending opportunities tough Bank, has approved both the principal repayment to holders of Series A and B preference shares plus the declaration of interest on them via a dividend payment. BOB’s sustained eightfigure annual losses from 2014-2017 resulted in the suspension of preference share dividends in December 2016, and their effective resumption through the year-end payment depends on the bank having generated sufficient profits to finance the payment.
Mr Aranha said the outstanding interest needed to be paid as it effectively represented a potential “claim” the preference shareholders may have against BOB, although he emphasised the dividend’s declaration was not yet a certainty due to the conditions imposed by the Central Bank. “On September 28, 2018, the bank obtained the approval of the Central Bank to redeem outstanding and issues preference shares amounting to $15m,” the BOB chairman
revealed, adding that the required 90 days’ redemption notice was immediately given to investors. He added that the regulator had also given approval to pay the interest dividend “on condition that the bank generates a profit from which dividends can be paid”. The date for both the principal and interest payment is December 27, 2018. “The board intends to declare payment of a dividend,” Mr Aranha said.
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GOWON BOWE
Accountants await business licence regulation change By NATARIO MCKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net THE Government is expected to “reverse” by mid-December its requirement for certified bank statements to accompany business licence renewals, a top accountant has revealed. Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, told Tribune Business: “There have been several meetings and conversations on the issue. I think they [the Government] have indicated that they intend to reverse what was recently put into play. There has been a commitment that between now and the middle of December the necessary amendment to roll the requirements for audited bank statements will be addressed.” This newspaper understands that KP Tunquest, deputy prime minister and minister of finance, will likely meet with the managing partners of Bahamian accounting firms this week to resolve the controversy that erupted over the requirements set out in the business licence regulations. Mr Turnquest confirmed to Tribune Business that informal talks were being held over the issue, and that the Government would be making a statement on the matter “in due course”. The amended regulations, which were put into
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Bahamas urged: ‘Heed’ fiscal council warning By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas would be “very wise to heed” findings that a new fiscal watchdog’s credibility will be enhanced the more independent it is from the Government. Matt Aubry, the Organisation for Responsible Governance’s (ORG) executive director, told Tribune Business that this nation does not yet match up to the criteria set out for best-performing Fiscal Responsibility Councils in a recent Inter-American Development Bank (IDB) report. The report, entitled Fiscal Councils: Evidence, common features and lessons for the Caribbean, zeroes in on The Bahamas and Grenada as the two smallest countries to establish such bodies.
* ‘Not fully there’ with IDB findings * Bahamas smallest in world to have body * More effective with greater independence It says the most effective Fiscal Councils are those with the greatest operational and financial independence from their governments, and that it is “preferable” that their scrutiny go beyond just the central government to include state-owned enterprises (SOEs) and local government authorities. The Bahamas’ Fiscal Responsibility Council, whose five members are supposed to be appointed in time for the 2019-2020 budget next May, will only be focused on the central government with SOEs and so-called public-private partnerships (PPPs) excluded from their remit. In addition, ORG has
consistently called for the council to have a “more proactive role” in contributing to fiscal policy, and to be able to enforce their recommendations and decisions - something the Government did not accede to in the recently-passed Fiscal Responsibility Act. Responding to the IDB report’s findings, Mr Aubry said: “I think that we are not there in the full capacity... We’d be very wise as a country to heed these points. “We’ve started to take the path down that road. It’s a progression. We’re moving on the pathway to more open government, more transparency, more accessibility and through
the Ministry of Finance there’s been greater access to information.” Some 37 countries had established Fiscal Councils by end-2015, and the IDB report said: “Since 2017, two Caribbean countries — Grenada followed by The Bahamas — have created fiscal councils. They are the smallest countries (by population) in the world to put such agencies in place. “In The Bahamas, Sections 17 to 22 of the Fiscal Responsibility Bill [now Act] 2018 prescribe the establishment, functions and constitution of a Fiscal Responsibility Council (FRC). The FRC’s mandate is to assess compliance with the [Act’s] general
principles, fiscal responsibility requirements and fiscal objectives. “This mandate also includes a requirement to advise on broader fiscal and budgetary matters, including the fiscal strategy report, annual budget, midyear review, pre-election economic and fiscal update, annual accounts, reports on any potential deviations from fiscal responsibility requirements, and the Government’s fiscal adjustment plan in response to deviations.” With Caribbean countries emerging as “the latest frontier” for fiscal councils, the IDB report said The Bahamas and other nations needed to “tailor their institutions to the specific characteristics and needs of their countries” given their vulnerability to natural
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THE TRIBUNE
Coral restoration firm boosts nation’s brand Since signing on to the 20/20 Challenge that commits a country to ensuring 20 per cent of its marine environment is protected, The Bahamas has already reached at least half-way. Michael Pintard, minister of agriculture and marine resources, said: “It places us in a rare category of countries who, despite economic challenges, we believe it is absolutely important to protect our environment because, at the end of the day, development depends on what extent we, in a very responsible way, benefit present generations while not compromising the future of future generations.” Mr Pintard was the keynote speaker during ground breaking ceremonies for the construction of the world’s first land-based commercial Coral Farm Education and Research Centre, in east Grand Bahama on November 29, which is expected to be managed by Coral Vita, a company dedicated to growing corals to restore dying reefs. Using methods developed by advisors at the Mote Marine Lab and Hawaii Institute of Marine
DEPUTY prime minister, K Peter Turnquest, second from left, and minister of agriculture and marine resources, Michael Pintard, left, joined principals of Coral Vita in the official ground breaking ceremonies for the establishment of the world’s first landbased commercial coral farm, education and research centre. Photo: Lisa Davis/BIS Biology, Coral Vita boasts particularly in Grand of the ability to grow corals Bahama. “No doubt, you are up to 50 times faster while strengthening their resil- adding to what is already a iency to climate change very powerful brand in The Bahamas as a country that is threats. The company’s commer- on the cutting edge of concial land-based farming servation in marine and life model offers a viable solu- sciences,” said Mr Pintard. “You are indeed a part tion for the large-scale reef of an initiative by the Govrestoration crucial to pre- ernment to ensure that we serving coral reefs for future behave in a responsible generations. manner, and we are a role In welcoming the prin- model for other countries in cipals of Coral Vita, the region.” Mr Pintard said the GovMr Pintard added that ernment was honoured The Bahamas just recently they chose to carry out their received the Marine Stewproject in The Bahamas, ardship Council designation,
which is significant for the country’s marine sector, as the Bahamas is one of the major exporters of lobsters. The minister said the Government’s goal was to ensure it does not lose this prestigious designation, because it demonstrates to the world, as well as multi-national companies who may purchase products from The Bahamas, that the country will responsibly harvest marine products, ensure they are processed responsibly and that The Bahamas is making sure that they are not depleting any species of its marine life. K Peter Turnquest, deputy prime minister, said: “The prime minister just recently returned from Washington, where he attended a high-level meeting with the International Monetary Fund, World Bank and the Inter-American Development Bank, talking about climate resilience and how we can build infrastructure to protect our environment,” said DPM Turnquest. “This project, to me, seems to be a natural option to that, along with the regeneration of the
AIRLINE GOES ‘CASHLESS’ IN THE FAMILY ISLANDS AMERICAN Airlines has announced that it will be going cashless at North Eleuthera, George Town and Marsh Harbour airports with effect from December 10. Passengers will be required to use a credit or debit card to make any transactions at the airport, including purchasing tickets and paying for checked baggage. “American has transitioned to a cashless airport environment at many locations around the world, allowing our team members to assist our customers in a faster and more efficient manner,” said Caroline Hollingsworth, American Airlines’ country manager for The Bahamas. “Moving away from cash
transactions also reduces the complexity of work for our agents who will no longer have to worry about handling cash, finding exact change or closing out a cash drawer at the end of the day. This is positive news for our customers and for our team members at the airport.” American Airlines currently offers non-stop service to Eleuthera, George Town and Marsh Harbour from its hub at Miami, and Saturday service to George Town from its hub at Charlotte, North Carolina. Beginning on December 22, 2018, American Airlines will offer seasonal service to Eleuthera and Marsh Harbour from its hub at Charlotte.
mangroves. These natural defences, while they may seem outlandish or scientific from the outset, will provide us with natural defences and cost-effective defences to protect what we have in our country.” With the Coral Vita project set to be constructed and operated out of east Grand Bahama, Mr Turnquest said that he hopes the project could cause some rejuvenation in the East End community in
terms of educational, touristic and economic opportunities. “This is in line with the Government’s objective with respect to economic development – to diversify our economy and take advantage of the blue economy. This year, we have committed $500,000 towards further exploring opportunities in the blue economy and this project certainly fits within all of that,” he added.
THE TRIBUNE
Monday, December 3, 2018, PAGE 3
‘BLURRING OF THE LINES’ WEAKENS CIVIL SERVICE By NATARIO MCKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net THE Bahamian public service has failed to attract quality talent due to a “blurring of the lines” over how is intended to function, a top accountant says. Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, responding to a recently-published InterAmerican Development Bank (IDB) assessment that gave The Bahamas a score of only 19 out of 100 for civil service development and quality, agreed that there was a need for more qualified persons
within the sector. “I think that what we have knows is that, unfortunately, while there are many competent persons within the civil service there is a recognition by both the policy makers and the general public that there are quite a number of bad apples that lead to spoiling the bunch in terms of reputation,” he said. “When we look at the complexities of government today, and look at the Westminster system, really the civil service - and particularly the permanent secretary rank which they are very critical of - was effectively those persons that ran the Government.
“I think if you look at the way the Westminster system was designed, policymakers are the persons who devise the strategy and the civil servants, led by the permanent secretary, are the ones required to carry out the actual strategy and put in place the actual policies and procedures.” Mr Bowe added: “I think what we have seen certainly is an element of blurring that line where we often see legislation and operation that is reposed in the hands of the minister, and because of that we have seen a reduction in the quality of civil servants because the persons attracted to the civil service are going to be
changing because, if there is no ability to affect change, implement policy, if you were to exhibit professional skills, you are not likely to want to take on that role if it were to simply follow orders from a minister. “I think over time what you have is several initiatives which have taken place. One is that the political directorate have unfortunately used it as a dumping ground for their constituents in terms of political favours, and the lack of responsibility and delegation has led to the deterioration of the calibre of persons being attracted to the service.” The IDB report, The state of the civil service in The
Bahamas, revealed that only Suriname’s civil service is performing worse than this nation’s public sector, which was ranked behind Jamaica, Barbados, Trinidad & Tobago and even Guyana on performance qualify. “A score of 19 out of 100 shows that The Bahamas has significant room for improvement,” it concluded. Benchmarked against seven main performance indicators, The Bahamas came close to 50 percent on just one - merit - which assesses how professional the civil service is in practice, and its ability to remain free from corruption and political influence.” “Whilst we have some
persons with the necessary calibre of qualification in the various ministries, we don’t have enough. I think we try to compensate for that by bringing in more people, but the reality is that having more of the wrong skill set does not compensate for the right skill-set,” Mr Bowe said. “Right now I think we lack the right skill set in terms of those areas where we have tried to compensate by throwing more bodies at it, and that has been a detriment because it has bloated the size of the civil service, stifled growth in the service and has stifled the productivity of the service.”
NAD manager wins top regional award A NASSAU Airport Development Company (NAD) executive has become the first recipient of the Airports Council International Latin American-Caribbean’s (ACI-LCA) young airport professional award. Jonathan Hanna, NAD’s manager of airport solutions, attended the ACI-LAC annual assembly in Miami where he accepted the award recognising outstanding young talent in the airport and aviation industry. ACI Latin-America Caribbean represents the interests of airport operators from the Latin American and Caribbean region. It currently has 65 members, operating over 270 airports including Lynden Pindling International Airport (LPIA). Javier Martinez Botacio, director-general of ACI-LAC, congratulated Mr Hanna and said: “This award serves to honour and recognise the young and outstanding talent in the Latin American and Caribbean airport industry.
JAVIER MARTINEZ BOTACIO, director-general, Airports Council International, Latin America and Caribbean, left, presenting Jonathan Hanna, centre, manager of airport solutions at NAD, with the ACI-LAC Young Airport Professional Award for 2018 along with Héctor Martinez, human resources manager at Aeris Costa Rica and vhair of the ACI-LAC human resources committee at the ACILAC annual assembly, conference and exhibition in Miami. Mr Hanna joined solutions, he is responsi“Mr Hanna’s research commercial revenues was paper on innova- chosen by the panel of NAD as a duty supervisor ble for maintaining airport tive approaches for judges as the research paper in May 2014. In his current certifications, ensuring regmaximising airport with the highest score.” role as manager of airport ulatory compliance with the
Bahamas Aviation Safety Regulations Schedul,e and identifying staff training needs to ensure compliance with local and international regulations. Vernice Walkine, president and chief executive at NAD, said: “We are very proud of the work that Jonathan does as a member of our management team here at LPIA. He is passionate about the aviation industry and has demonstrated his ability to focus on providing innovative solutions to our overall operations. We congratulate him on this achievement.” A graduate of the Florida Institute of Technology, Mr Hanna earned a bachelor of science in aviation management and a master of science in airport development and management. He obtained his Federal Aviation Authority (FAA) Dispatcher’s License in August 2014, and holds ACI certifications in Airport Emergency Planning and Apron Management.
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THE TRIBUNE
Bahamas needs more than laws for dispute centre FROM PAGE ONE and just dispute resolution services its arbitration centre must promise to international clients. “I regard it as a positive and constructive step, and hopefully it does signal the commitment of The Government to now move in a substantive way towards establishing an arbitration centre in The Bahamas,” Mr Moree told Tribune Business of the two bills’ tabling.
“It does seem to me that it’s going to take a sustained commitment to actually launch this arbitration centre, and it’s going to involve an allocation of resources in order to support it, both in the technical sense and in the administrative sense. “I’m convinced that, given the level of commitment, we are capable of doing this. It’s now just a question of the political directorate making it a high priority and resourcing it in
an appropriate way to get this project off the ground.” International arbitration, and Alternative Dispute Resolution (ADR), have become increasingly popular as methods for resolving commercial disputes. They are perceived as avoiding the lengthy delays and costs associated with court litigation, and also provide the parties with greater confidentiality. ADR/arbitration clauses are often being inserted into contracts, especially
by companies conducting multinational or cross-border business, as well as the financial services industry’s private client. The Bahamas has harboured ambitions to become a recognised international arbitration centre for more than a decade but, while numerous building blocks to achieve this goal - including an experienced and large legal services industry seem to be in place, progress to achieving the overall objective has been slow. Mr Moree, while praising the Government for tabling upgraded arbitration legislation, said this was “one of the easier steps” for The Bahamas to take. “The introduction of the two bills is a significant enhancement of our legislative platform, and I would regard it as an important pre-requisite to formally launching an arbitration centre in The Bahamas to service the region and possibly this hemisphere,” he added. “I applaud the Government, and specifically the minister of financial services, for getting to this point and dealing with the legislative platform, but I would say that while that has taken a lot of work and effort, it is in a sense one of the easier steps that has to be taken to establish and launch an arbitration centre, and promote its utilisation by the international community. “It’s going to require a significant consultation with the international community to try and establish partnership agreements with other major arbitration centres. I would hope the Government would look at the viability of entering into some sort of formal affiliation with the Permanent Court of Arbitration in the Hague, who I think could provide us with a great deal of technical assistance.” Mr Moree said launching a Bahamian commercial arbitration centre, even “in a modest way”, did not need to take a long time, but much depended on “the political will and the level of priority that the Government gives this project”. “It will certainly take several years for it to develop into a major centre that is being utilised by major institutions,” he told Tribune Business, “but it doesn’t
need to take that long to launch in the first place and start the journey. “I think the objective to move forward, establish and launch the arbitration centre is very synergistic with our financial services industry. There are many benefits that cross over to the arbitration centre, which we already have in respect of the financial services industry, and it would introduce an alternative product into the overall development of The Bahamas as a major business hub for the hemisphere.” Mr Moree continued: “There’s a lot of synergies we can get from bolting on to the financial services industry an arbitration/ ADR component. Private clients very often include in documents arbitration clauses for trust structures. “The other major synergy is our maritime industry. We have a significant footprint in that industry, which offers real opportunities to establish The Bahamas arbitration centre as a way in which disputes are resolved. “It will also have a very positive domestic impact if it can be established and provide a formal structure for an ADR mechanism to try and resolve some of the high volume of litigation in the courts.” The McKinney, Bancroft & Hughes senior partner likened domestic and international arbitration to “two parallel paths that need to be developed concurrently”, and this is what the Government’s upgrades are intended to do. The Arbitration (Amendment) Bill 2018 is intended to replace the Arbitration Act 2009, making it The Bahamas Domestic Arbitration Act and focusing it on resolving disputes that originate in this nation. It is accompanied by the International Commercial Arbitration Bill 2018, which addresses Bahamian and external calls for dispute resolution legislation to incorporate the United Nations (UN) model law on international trade, UNCITRAL. However, the Government’s move to table two bills - and in effect create separate regimes for domestic and international support - have not met with universal support either in The Bahamas or internationally.
Professor Sandra Rajoo, director of the Kuala Lumpur Regional Centre for Arbitration (KLRCA), told Tribune Business earlier this year: “It’s better to have one Act and one arbitral regime for both international and domestic arbitration. If not you can have confusion and resources will be dissipated.” She was backed by former Bar Association president, Dr Peter Maynard, who added: “Right now there is a bill here which will introduce the UNICTRAL model law, but will create a centre for international arbitration, and the old Act will still be in existence for domestic arbitration. There should be no separation between the two. There should be one centre and one Act, and that’s what I have been advocating. “What’s been said so far is The Bahamas is going to have an international commercial arbitration Act under the jurisdiction of the minister of investments, and domestic arbitration under the jurisdiction of the attorney general. That is really a waste of resources.” Mr Moree, meanwhile, detailed the multiple actions and reforms necessary if The Bahamas is ever to realise its arbitration centre plans. “There’s a marketing component to this,” he told Tribune Business. “We have to get out there and convince the major players that The Bahamas is open for business. “And, most importantly, that we can administer and operate the arbitration centre in a way that complies with best practices in the industry... This is where we need a comprehensive immigration policy, where people come in for these international disputes with a minimum of red tape and bureaucracy to resolve these matters. “We need a holistic approach, pull the pieces together, get it on the road and sell it, and live up to our billing because the industry will ultimately judge us on performance,” Mr Moree, describing IT platforms, document and case management and administrative support staff as essential elements in running an arbitration centre.
THE TRIBUNE
Monday, December 3, 2018, PAGE 5
BOB ‘reputation’ boost from $15m repayment FROM PAGE ONE “It is envisioned such payment will be made on December 27, 2018, concurrent with the redemption of the remaining issued and outstanding preference shares.” Explaining the consequences, he added that BOB will no longer have preference shares among its balance sheet capital, which will be reduced as a result of the principal repayment. The chairman, though, later adopted a more cautious tone on the interest dividend payment during the AGM’s “question and answer” period with shareholders. “There’ll be no more principal for certain. I was cautious in my statement that we’ll likely be declaring a dividend on the same date,” Mr Aranha said, having earlier explained that “dividends remain outstanding and have to be paid” since they represented a potential investor “claim” against BOB. With the Series A and B preference shares priced at Prime plus two percent, and carrying a 6.25 percent interest coupon, the BOB chairman said repaying the institutional and high net worth investors who hold them will eliminate an expensive funding source for the still-recovering commercial bank. “The bank’s reputation and creditworthiness, in the view of the board and management, will effectively be
enhanced by the repayment and redemption of the preference shares,” Mr Aranha concluded. BOB unveiled similar action at its year-end 2017 AGM, when it announced the $6.4m principal repayment to holders of its Series D and E preference shares to avoid a default caused by missing three consecutive interest dividend payments. Mr Aranha, meanwhile, said the “cautious optimism” shown at last year’s BOB AGM had been justified by the institution’s return to profitability in 2018 and for the 2019 first quarter, with total comprehensive income for the latter period up by 199 percent or near-tripling to $1.966m. He conceded, though, that multiple risks still faced the troubled institution which will ultimately cost taxpayers more than $300m to rescue via the two Bahamas Resolve-led bail-outs and a $40m rights issue. Mr Aranha, conceding that the profits delivered thus far “fall short of the returns shareholders expect”, added that loan portfolio growth - “so significant to our results” - had been elusive and caused a build-up of cash and cash equivalents equalling $176m at the end of the 2019 first quarter. BOB’s liquid asset capital ratio was more than double the Central Bank’s 100 percent requirement at both year-end 2018 and end-September, and the
chairman said: “We need to lay-off some of this money in loans, investments. We’ve been able to place those funds, when we’ve not been able to lend, into Treasuries [Bills].” The bank’s 2018 annual report disclosed that net loans and advances to customers for the 12 months to end-June fell by $96.6m or 21.56 percent, down from $448.1m to $351.5m. This credit portfolio slipped by a further $20m during the 2019 first quarter to $331.315m. Mr Aranha added that BOB also took a $4.7m equity hit at the beginning of its 2019 financial year due to the adoption of new accounting standards, which require itself and other banks to now assess potential loan losses on a forward-looking basis as opposed to when they actually occur. This, though, has been partially offset by the profits generated during the three months to endSeptember 2018 - a result which, Mr Aranha said, justified the “cautious optimism” shown at year-end 2017 as “warranted”. Yet he was quick to point out: “The board remains prudently watchful of the risks that confront the bank, and the results while positive - fall short of the returns shareholders expect. We believe we’ve taken the first steps on the path to sustained profitability and a return to shareholder value.”
Thousands march in Germany to demand quick exit from coal BERLIN Associated Press THOUSANDS of people marched on Saturday in Berlin to demand that Germany speed up its exit from coal-fired power plants, a day before the opening of a UN climate summit in neighbouring Poland. The protest in the German capital and a simultaneous march in the western city of Cologne were organised by environmental groups.
Many demonstrators carried flags with slogans like “Stop Coal!” and “The future is coal-free”. Some were dressed as burning trees or storm clouds to highlight the more frequent forest fires and fierce storms generated by a warmer climate. German news agency dpa quoted police estimating the number of protesters in Berlin at about 5,000 and about double that in Cologne. The summit opening yesterday in Katowice, Poland,
seeks to build on the landmark 2015 Paris accord, when countries agreed to try to limit global warming to 1.5 degrees Celsius (2.7 degrees Fahrenheit) by the century’s end. German officials had hoped to present a blueprint for phasing out the country’s use of coal over the coming decades, demonstrating the government’s commitment to cutting Germany’s greenhouse gas emissions, which have stalled in recent years.
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VACANCY NOTICE
Broadcast IP Video Specialist Cable Bahamas Limited is seeking to employ an experienced Broadcast IP Video Specialist. The successful candidate must be a highly motivated person, organized and detailed oriented. SUMMARY The position of Broadcast IP Video Engineer will be responsible for the installation and maintenance of all video equipment within the Headend and at field locations. This position is responsible for troubleshooting activities for outages in conjunction with the technical teams, and ensuring acquisition routing and quality control of incoming and outgoing video feeds. The position also requires occasional extended work in and around a typical data center, telecommunications facility, and/or Central Office. These environments may include loud machinery/fan noise, chilled temperatures and wind, and lowered humidity working with and around highamperage AC and DC power. JOB DESCRIPTION • Configuration, installation and management of Core Video Multiplexers, Edge Video Switches, Routers, IP Video Modulators; • Configuration and Management of IPTV, OTT, ATSC and all IP related video equipment. • Ensure the integrity of video and encoding hardware and software; • Perform analysis, diagnosis and troubleshoot root cause of issues/ outages related to IP video content; • Assessing the impact of content issues that arise as part of daily operations; • Review current IP video environment, product requirements, and determine gaps; • Liaise with new equipment vendors and middleware service providers; • IP Video Headend system monitoring and management; • Troubleshooting of all alarms in relation to IP video broadcast generated from the Headend monitoring systems; • Work closely with IP Engineers and Headend Technicians to identify and resolve issues that impact the IP video network; • Development of MOPs, Testing Procedures, Labs with ticket creation; • Meticulous documentation of video network infrastructure; • Liaising with internal and external clients to deliver new products and initiatives; • Working within a team with a focus on delivering the company’s yearly objectives; • Help facilitate new network projects ensuring minimal disruption to live services; • Ensuring the video network infrastructure is fit for effective and efficient service delivery and aligned with the company’s objectives; • Assisting in the maintenance and tracking of hardware and software owned by the company; • Perform all other Headend related duties as determined and assigned by management. SKILLS & QUALIFICATIONS REQUIRED • A bachelor’s degree in Computer Science/Engineering, Electrical Engineering or equivalent; • Two or more years of strong understanding and experience working with MPEG-2 and MPEG-4 (H.264) compression, MCPC and IPTV platforms, video transmission/reception equipment, video monitoring equipment and ancillary video equipment; • Two or more years of strong experience working with multicast and next-generation Video delivery technologies (IPTV, ABR HLS, Smooth Streaming, etc.); • Two or more years exposure with various test equipment, including: MPEG analyzers, optical power meters, RF signal level meters, RF spectrum analyzers; • Must have knowledge of and experience with a wide range of technologies including routers, multiplexers, switches, RF uplink and downlink hardware, and associated redundancy hardware; • A fundamental understanding of Linux command line; • Comprehensive understanding of IP Video Technologies and Network Environments; • Networking and IP multicast routing; • CCNA/CCNP, Comp TIA Network +; • IP transport of MPEG-TS over UDP/RTP multicast; • Strong understanding and experience working with TCP/IP technologies desired, including IPv4, addressing/subnetting, IP unicast routing and IP Multicast routing and associate technologies; • Able to Diagnose Network Connectivity Issues; • An understanding of digital modulation technologies (QPSK – 256 QAM) is desirable; • Working knowledge of RF systems, including: general understanding of the EIA spectrum, general understanding of RF performance requirements in a QAM environment, basic RF troubleshooting techniques, Working knowledge of the OSI model, specifically layers 1, 2 & 3; • Knowledge of multi-vendor middle-ware software such as Imagine, Arris, Builtwrite, Minerva, Anevia and TiVO/ROVI; • Ability to effectively use engineering NMS tools such as Solarwinds, Wireshark etc.; • Experience with MS Office and MS Visio; • Ability to isolate problems and troubleshoot issues down to the hardware level. PERSONAL COMPETENCIES • Ability to exercise judgement within broadly defined practices and select methods and techniques for obtaining solutions; • Excellent attention to detail and methodical approach; • Ability to self-motivate and work independently; • Strong decision-making & analytical skills; • Customer service orientated approach; • Strong oral & written communication skills; • Ability to manage multiple tasks and priority levels; • Proactive approach to changing technologies; • Be able to work outside normal work hours; • Be able to travel periodically to perform work/maintenance at all digital Headend sites in The Bahamas and United States; • This position requires on call support (Tier 2/3) and off-hours maintenance activities (weekends, weeknights and/or Holidays); • Possess personal traits: Friendly, mature, factual, honest, meticulous, self-starter. Qualified applicants should submit Resumes on or before Tuesday, December 11, 2018, to the Director of Human Resources, PO BOX CB-13050, Nassau, Bahamas or send electronically with Ref: Broadcast IP Video Specialist to humanresources@cablebahamas.com.
PAGE 6, Monday, December 3, 2018
THE TRIBUNE
BOB chair: ‘Peanut’ profits make dividend premature FROM PAGE ONE where it makes a return reasonable for a bank of our size. Whether it’s eight to ten percent or not, I don’t know, but it’s clearly not 1 percent. That’s where our concentration is.” Mr Aranha’s message to investors, and the wider capital markets, is that BOB’s recovery will be a long-haul despite its taxpayer-financed return to profitability, and it is likely to be many quarters - even years - before the bank owned 82.6 percent by the Government will be in a position to resume dividend payments. The BOB chairman said the bank’s loan portfolio was key to its sustained profitability, because that “is where the money’s to be made”, yet to acknowledged that “it’s a very competitive market” for
credit in The Bahamas. BOB’s loan book quality, with 28.92 percent or $101.648m of the net portfolio in default at end-June 2018, still represents the greatest obstacle to the bank achieving consistent profitability given that this percentage remains more than double the commercial banking industry average despite the shedding of its worst performing business credit. BOB’s AGM, unlike in previous years, was relatively sparsely attended with just 30-40 of the 3,000 minority shareholders in attendance. The bank had placed several notices in the paper advertising the wrong date, giving December 30 instead of November 30, although this was subsequently corrected. Mr Aranha also apologised after the proxy materials mailed to shareholders inadvertently
omitted Phaedra MackeyKnowles, the National Insurance Board’s (NIB) investments chief, and the social security system’s board representative, from this list of those standing for election as BOB directors. The meeting was also temporarily delayed for several minutes at the start while checks were made to ensure that the Public Treasury, which holds the Government’s majority interest in BOB, was represented so that a proper shareholders’ quorum was present. Mr Aranha, meanwhile, revealed that BOB “has also been plagued with a relatively high turnover of staff”, although it hoped that the appointment of a new executive team headed by managing director, Kenrick Braithwaite, will help resolve this problem. He added that fast-paced change in the banking
industry meant “BOB needs to move beyond its legacy challenges and retool itself”, and “restore” both its brand and customer trust in the bank. The BOB chairman, though, said the bank will not expand its branch network in the Family Islands and elsewhere unless the venture will be profitable, breaking with how the Government has used it in the past. Mr Aranha added that BOB would look to technology-driven solutions for under-served Bahamian communities, adding: “We’re trying to see if there is a solution resulting in the unbanked and under-banked areas having access to banking facilities without putting a physical plant there with a branch and facilities as it’s just too costly.” Referring to pleas by Long Island MP, Adrian Gibson, for BOB to establish a branch in his constituency, he continued: “I’m sure he’s not the only one of the political directorate who’d like to see a bank in their island, but we can’t do it at a loss to the shareholder.” Mr Aranha gave a broad outline, rather than any
specific details, on BOB’s turnaround plan and did not identify any markets or niche opportunities it plans to target to reverse a loan book that has declined to just $321m at end-September 2018. He said a “strong risk management culture” and improved sales and customer service remained key elements of the revival, although BOB’s new banking system will “take many months to implement” and only be ready at some point between July 2019 and June 2020. “One of the issues is that we need to get up to scratch where our systems are reliable,” Mr Aranha added. “It’s like running an old car. At some point the bearings wear out, and you have to change them or change the car. “We’re at a point where some of our systems are aging and changing them, unfortunately, it doesn’t work like a new board comes in and they change. Executives get angry when you say why is it so slow. The answer, which is quite good, is they say they want to do it right. “Part of the resources we’re putting into infrastructure is to improve
service delivery. We have to strike the balance between delivery of the service and doing it in a cost effective way. It we promise service at a certain level we must be able to deliver and the system changes are part of that.” Mr Aranha said BOB wanted to be “a bank that looks after the interests of customers and shareholders regardless of a change in the political directorate”, something he described as vital to the bank’s brand. “Premises is an area that needs attention and we will get to that,” he told shareholders. “It’s important not to spend money too early on premises before you get on the path to sustainable profitability. We’re going to have to look at physical premises.” Shareholders earlier approved changes to BOB’s memorandum and Articles of Association to bring the bank into line with “best practice”, consolidating into them previously attached amendments that allowed directors representing the minority shareholders to be appointed to the board and the conversion of unissued preference share classes to ordinary shares.
Bahamas urged: ‘Heed’ fiscal council warning FROM PAGE ONE
COMMONWEALTH OF THE BAHAMAS IN THE SUPREME COURT
2018/CLE/Qui/433
Common Law and Equity Division N THE MATTER OF ALL THAT piece parcel or tract of land situate in the Settlement of Salt Pond in the Island of Long Island one of the islands of the Commonwealth of the Bahamas comprising 50.38 acres being a portion of the tract of land known as “Armstrong” now claimed by the Estate of Charles Alexander Fox which said Estate comprises a portion of original Crown Grant D-182 to Alice Thompson and also a portion of an original Crown Grant D-156 to Martin Jollie and bounded approximately Eight Hundred Feet (800) feet off the Eastern Side of The Queens Highway in the said settlement of Salt Pond in the island of Long Island which said piece parcel or tract of land has such position boundaries shape marks and dimensions as are on a survey plan and thereon coloured Pink. AND IN THE MATTER OF the Quieting Titles Act, 1959 (Chapter 393) AND IN THE MATTER OF the Petition of MARK ANTHONY FOX NOTICE OF PETITION The Petition of MARK ANTHONY FOX of the Settlement of Salt Pond in the Island of Long Island one of the islands of the Commonwealth of the Bahamas, in respect of: ALL THAT piece parcel or tract of land situate in the Settlement of Salt Pond in the Island of Long Island one of the islands of the Commonwealth of the Bahamas comprising 50.38 acres being a portion of the tract of land known as “Armstrong” now claimed by the Estate of Charles Alexander Fox which said Estate comprises a portion of original Crown Grant D-182 to Alice Thompson and also a portion of an original Crown Grant D-156 to Martin Jollie and bounded approximately Eight Hundred Feet (800) feet off the Eastern Side of The Queens Highway in the said settlement of Salt Pond in the island of Long Island. Mark Anthony Fox claims to be the owner in fee simple of the said piece parcel or tract of land free from encumbrances and has made application to the Supreme Court of the Commonwealth of The Bahamas under Section Three (3) of the Quieting Act 1959 (Chapter 393) to have his title to the said piece parcel or tract of land investigated and the nature and extent thereof determined and declared in a Certificate of Title to be granted by the Court in accordance with the provisions of the said Act. NOTICE IS HEREBY GIVEN that any person having dower or right to dower or an adverse claim or a claim not recognized in the Petition shall no later than the 30th day after the final publication in the newspapers of this Notice file Notice in the Supreme Court in the City of Nassau in the Island of New Providence aforesaid and serve on the Petitioner or the undersigned a statement of his or her claim in the prescribed form verified by an Affidavit to be filed therewith. Failure of any such person to file and serve a statement of his or her claim within the time prescribed will operate as a bar to such claim.
disasters and economic shocks. “While most fiscal councils currently focus on the general government, one country has expanded this scope of coverage to include local and regional governments, as well as state-owned enterprises and other entities with implications for budgetary resources. In this context, the broadest coverage for which data are available would be preferable,” the report found. “The degree of independence with respect to the operations and budgeting also varies widely across countries. Those entities with the greatest legal and operational leeway are likely to perform best as independent watchdogs of the budgetary process. “Some councils provide
only positive analyses of policies, with limited ability to bind fiscal authorities to their recommendations. At the other end of the spectrum, some countries have empowered their councils to produce alternative fiscal forecasts and recommendations, and to enforce action on their proposals. In this context, it would seem that capacity is a key factor in determining the degree to which a council’s recommendations and projections should be incorporated into budgets.” Drawing its conclusions, the IDB report added: “In the seven decades since fiscal councils began to emerge, the experience overall has been positive, albeit highly dependent on the design, resourcing and mandates underpinning these institutions. “Those that are most insulated from government influence, with the greatest
ACCOUNTANTS AWAIT BUSINESS LICENCE REGULATION CHANGE FROM PAGE ONE effect almost unnoticed on May 30 amid the general outcry over the budget’s VAT hike, require companies with an annual turnover of $10m or more to provide audited financial statements that will confirm their prior year earnings. But for those businesses earning between zero to $10m, the regulations stipulate that “a financial statement” confirming their turnover must be supplied to the Department of Inland Revenue (DIR). This, though, must also be accompanied by “a certified bank statement” covering each bank account held in the business’s name and any other accounts “that are used in transactions” on its behalf. Many accountants and
private sector executives view the new regulations as “overkill” and an incursion into corporate privacy, especially since business licence fees are currently calculated based on just one indicator: Top-line turnover. Accountants verify this, with businesses submitting such attestation along with their filings and payment by end-March every year. There have been some suspicions - vehemently denied by the Government - that the increased information demanded by the new regulations, which will apply for the first time to 2019 business licence filings, is akin to a “trojan horse” paving the way for corporate income tax’s introduction. Mr Bowe added: “The final wording in terms of what will be required with regards to information and
Copies of the filed plan may be inspected during normal working hours at the Registry of the Supreme Court, The Office of the Administrator, Long Island Bahamas, The Office of Local Government, Grays Long Island Bahamas and at the Chambers of Messrs. Fox Law Chambers situated at #48 Village Road, Nassau Bahamas during normal business hours. DATED this 30th day of November A.D, 2018
FOX LAW CHAMBERS Counsel & Attorneys #48 Village Road (North) Nassau, Bahamas Attorneys for the Petitioner
flexibility in terms of staffing and resourcing, and that are able to anchor recommendations in quantitative objectives (fiscal rules) seem to be associated with stronger fiscal outcomes and improvements in the credibly of government with respect to fiscal and debt sustainability. “Developing countries that are now contemplating the creation of their own councils stand to benefit greatly, while also facing unique challenges in terms of ensuring that these entities are optimised to their circumstances in terms of design, and provided with adequate capacity to produce high-quality analyses and recommendations. Emerging evidence suggests that not doing so may compromise the effectiveness of these institutions and potentially undermine broader efforts to enhance economic and fiscal institutions.”
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the level of attestation is one that we still need to just see in what I’m going to call ‘black and white’. It is not simply a case of leaving the Ministry of Finance or Department of Inland Revenue exposed without the comfort that they require, but making it more practical for the businesses that have to report as well. “For the profession there needs to be very clear standards that have to be followed. There is a commitment by the Government to ensure that takes place. We need to ensure that as the professional accountants we are being balanced to ensure that the language of any amendment, repeal or otherwise is not just seen as a desire to maintain the status quo but a desire to ensure a practical but effective piece of legislation.”
THE TRIBUNE
Monday, December 3, 2018, PAGE 7
Espionage, ID theft? Myriad risks from stolen Marriott data NEW YORK Associated Press THE data stolen from the Marriott hotel empire in a massive breach is so rich and specific it could be used for espionage, identity theft, reputational attacks and even home burglaries, security experts say. Hackers stole data on as many as 500 million guests of former Starwood chain properties over four years including credit card and passport numbers, birthdates, phone numbers and hotel arrival and departure dates. It is one of the biggest data breaches on record. By comparison, last year’s Equifax hack affected more than 145 million people. A Target breach in 2013 affected more than 41 million payment card accounts and exposed contact information for more than 60 million customers. But the target here — hotels where high-stakes business deals, romantic trysts and espionage are daily currency — makes the data gathered especially sensitive. The affected reservation system could be extremely enticing to nation-state spies interested in the travels of military and senior government officials, said Jesse Varsalone, a University of Maryland cybersecurity expert. “There are just so many things you can extrapolate from people staying at hotels,” he said. And because the data included reservations for future stays, along with home addresses, burglars could learn when someone wouldn’t be home, said Scott Grissom of LegalShield, a provider of legal services. The affected hotel brands were operated by Starwood before it was acquired by
Marriott in 2016. They include W Hotels, St Regis, Sheraton, Westin, Element, Aloft, The Luxury Collection, Le Méridien and Four Points. Starwood-branded timeshare properties were also affected. None of the Marriott-branded chains were threatened. Email notifications for those who may have been affected begin rolling out on Friday and the full scope of the breach was not immediately clear. Marriott was trying to determine if the purloined records included duplicates, such as a single person staying multiple times. Security analysts were especially alarmed to learn of the breach’s undetected longevity. Marriott said it first detected until Sept 8 but was unable to determine until last week what data had possibly been exposed — because the thieves used encryption to remove it in order to avoid detection. Marriott said it did not yet know how many credit card numbers might have been stolen. A spokeswoman said on Saturday that it was not yet able to respond to questions such as whether the intrusion and data theft was committed by a single or multiple groups. Cybersecurity expert Andrei Barysevich of Recorded Future said on Saturday he believed the breach was financially motivated. A cybercrime gang expert in credit card theft such as the eastern European group known as Fin7 could be a suspect, he said, noting that a dark web credit card vendor recently announced that 2.6 million cards stolen from an unnamed hotel chain would soon be available to the online criminal underworld.
“We will have to wait until an official forensic report, although, Marriott may never share their findings openly,” he said. Marriott said the stolen credit card information was encrypted but the hackers may have obtained the “two components needed to decrypt the payment card numbers”. It said it cannot “rule out the possibility that both were taken”. For as many as twothirds of those affected, the exposed data could include mailing addresses, phone numbers, email addresses and passport numbers. Also dates of birth, gender, reservation dates, arrival and departure times and Starwood Preferred Guest account information. The breach of personal information could put Marriott in violation of new European privacy laws, as guests included European travelers. Marriott set up a website and call center for customers who believe they are at risk. The FBI would not say whether it is investigating, but said in a statement that anyone contacted by Marriott should “take steps to monitor and safeguard their personally identifiable information and report any suspected instances of identity theft to the FBI’s Internet Crime Complaint Center at www.ic3.gov”. Passport numbers have previously been part of a hack, though it’s not common. They were among records on 9.4 million passengers of Hong Kong-based airline Cathay Pacific obtained in a breach announced in October. Combined with names, addresses and other personal information, passport numbers are a greater concern than stolen credit card
HOTEL MANAGERS PENSION FUND NOTICE Pensioners of THE BAHAMAS HOTEL INDUSTRY MANAGEMENT PENSION FUND are asked to visit the Fund’s Office at Hotel’s Centre, Second Floor, Fort Nassau which is directly adjacent to the British Colonial Hilton Hotel, Number One Bay Street from 10:00am to 4:00pm on the following dates for verification: Surnames
Dates
A-C
Monday and Tuesday December 10th and 11th
D-F
Wednesday December 12th
G-I
Thursday December 13th
J-L
Friday December 14th
M-N
Monday December 17th and Tuesday 18th December
O-Q
Wednesday December 19th
R-S
Thursday December 20th
T-Z
Friday December 21st
For more information on the Bahamas Hotel Industry Management Pension Fund you may visit our website at: www.bhimpf.com. Please call us at (242) 322-8381/4 if you have any questions. Please present a Government issued identification for verification. The Chairman and Trustees for the Fund wish all hotel pensioners a safe and joyous holiday season.
numbers because thieves could use them to open fraudulent accounts, said
analyst Ted Rossman of CreditCards.com. The data purloining
highlights just how dangerous hotels can be for people worried about their privacy.
PAGE 8, Monday, December 3, 2018
THE TRIBUNE
US, CHINA PUT BRAKES ON TRADE DISPUTE WITH CEASE-FIRE BUENOS AIRES Associated Press THE United States and China reached a 90-day cease-fire in a trade dispute that has rattled financial markets and threatened world economic growth. The breakthrough came after
a dinner meeting between President Donald Trump and Chinese leader Xi Jinping at the Group of 20 summit in Buenos Aires. Trump agreed to hold off on plans to raise tariffs Jan 1 on $200bn in Chinese goods. The Chinese agreed to buy a “not yet agreed upon, but very substantial amount of
agricultural, energy, industrial” and other products from the United States to reduce America’s huge trade deficit with China, the White House said. The truce, reached after a dinner of more than two hours on Saturday, buys time for the two countries to work out their differences in a
dispute over Beijing’s aggressive drive to supplant US technological dominance. “It’s an incredible deal,” Trump told reporters aboard Air Force One, adding, “if it happens it goes down as one of the largest deals ever made.” Trump said: “What I’ll be doing is holding back on tariffs. China will be opening up, China will be getting rid of tariffs. ... China will be buying massive amounts of products from us.” In a long-sought concession to the US, China agreed to label fentanyl, the deadly synthetic opioid responsible for tens of thousands of American drug deaths annually, as a controlled substance. And Beijing agreed to reconsider a takeover by US chipmaker Qualcomm that it had previously blocked. The White House announcement framed a victory for Trump and his unflinching negotiating tactics, securing a commitment from China to engage in talks on key US economic priorities, with little obvious concession by the US Notably, however, the White House appears to be reversing course on its previous threats to tie trade discussions to security concerns, like China’s attempted territorial expansion in the South China Sea. “It’s great the two sides took advantage of this opportunity to call a truce,” said Andy Rothman, investment strategist at Matthews Asia. “The two sides appear to have had a major change of heart to move away from confrontation toward engagement. This changes the tone and direction of the bilateral conversation.” The Trump-Xi meeting was the marquee event of Trump’s whirlwind two-day trip to Argentina for the G-20 summit after the president canceled a sit-down with Russian President Vladimir
PRESIDENT Donald Trump meets with China’s President Xi Jinping during their bilateral meeting at the G20 Summit on Saturday in Buenos Aires, Argentina. Photo: Pablo Martinez Monsivais/AP Putin over mounting tensions between Russia and Ukraine. Trump also cancelled a Saturday news conference, citing respect for the Bush family following the death of former President George HW Bush. Trump said Bush’s death put a “damper” on what he described as a “very important meeting” with Xi. The United States and China are locked in a dispute over their trade imbalance and Beijing’s tech policies. Washington accuses China of deploying predatory tactics in its tech drive, including stealing trade secrets and forcing American firms to hand over technology in exchange for access to the Chinese market. Trump has imposed import taxes on $250bn in Chinese products — 25 percent on $50bn worth and ten percent on the other $200bn. Trump had planned to raise the tariffs on the $200bn to 25 percent if he couldn’t get a deal with Xi. China has already slapped tariffs on $110bn in US goods. Under the agreement reached in Buenos Aires, the two countries have 90 days to resolve their differences over Beijing’s tech policies. If they can’t, the higher US tariffs will go into effect on the $200bn in Chinese imports.
Small Manufacturing Company is seeking candidates to fill positions of:
Commission sales RepResentatives Age: 30 – 45 years
Qualifications: Minimum three (3) BGSE’s/GCE’s (Math and English included) Experience: At least four (4) years experience in a progressive sales position Interested persons should submit resumes to: salespositionsm@gmail.com
US officials insist that the American economy is more resilient to the tumult than China’s, but they remain anxious of the economic effects of a prolonged showdown — as Trump has made economic growth the benchmark by which he wants his administration judged. A full-blown resolution was not expected to be reached in Buenos Aires; the issues that divide them are just too difficult. Growing concerns that the trade war will increasingly hurt corporate earnings and the US economy are a key reason why US stock prices have been sinking this fall. Joining other forecasters, economists at the Organization for Economic Co-operation and Development last week downgraded their outlook for global economic growth next year to 3.5 percent from a previous 3.7 percent. In doing so, they cited the trade conflict as well as political uncertainty. The US and China also made progress on the regulation of fentanyl, which is 50 times more powerful than heroin. US officials for years have been pressing the Chinese government to take a tougher stance against fentanyl, and most US supply of the drug is manufactured in China. White House press secretary Sarah Sanders said China’s decision to label the drug as a controlled substance means that “people selling Fentanyl to the United States will be subject to China’s maximum penalty under the law”. The White House also said that China’s government is “open to approving” the purchase of Dutch semiconductor manufacturer NXP by American chipmaker Qualcomm. China nixed the proposed takeover earlier this year, citing antitrust concerns, after US and European regulators approved the deal. China’s decision came amid a period of heightening tensions between the US and China over trade and intellectual property issues.
THE TRIBUNE
Monday, December 3, 2018, PAGE 9
UK’S LABOUR WILL TRY TO TOPPLE MAY IF BREXIT DEAL REJECTED LONDON Associated Press BRITAIN’S opposition Labour Party ramped up the pressure on Prime Minister Theresa May yesterday, saying it will call a no-confidence vote if Parliament rejects her Brexit deal on Dec 11. May is battling to persuade skeptical British lawmakers to back the deal her government and the European Union reached last month. Rejecting it would leave the UK facing a messy, economically damaging “no-deal” Brexit on March 29. Labour Brexit spokesman Keir Starmer said it’s “inevitable” that Labour will bring a motion of no-confidence in the government if Parliament rejects the Brexit agreement. “If she’s lost a vote of this significance after two years
of negotiation, then it is right that there should be a general election,” Starmer told Sky News. If May’s government lost a no-confidence vote, it would have two weeks to overturn the result with a new vote by lawmakers. If that failed, Britain would hold a national election. Politicians on both sides of Britain’s EU membership debate oppose the agreement May has struck with the bloc — Brexiteers because it keeps Britain bound closely to the EU, and pro-EU politicians because it erects barriers between the UK and its biggest trading partner. With opposition parties and dozens of the prime minister’s fellow Conservatives against the deal, May’s chances of winning the vote in Parliament appear slim. But Environment Secretary Michal Gove said, “I
NOTICE APO INVESTMENT LTD. N O T I C E IS HEREBY GIVEN as follows: (a) APO INVESTMENT LTD. is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000. (b) The dissolution of the said company commenced on the 26th November 2018 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P.O. Box N-3023, Nassau, Bahamas Dated this 3rd day of December, A. D. 2018 _________________________________ Bukit Merah Limited Liquidator
LEGAL NOTICE International Business Companies Act (No. 45 of 2000) OO Investments Fund Ltd. (the “Company”) In Voluntary Liquidation Notice is hereby given that, in accordance with Section 138 (4) of the International Business Companies Act, (No.45 of 2000), OO Investments Fund Ltd. (the “Company”) is in Dissolution. The date of commencement of the Dissolution is the 27th November, 2018. Luciane Ribeiro Moreno is the Liquidator and can be contacted at Rua Afonsa Braz, 747, AP 41D, Vila Nova Conceição, CEP 04511-011, São Paulo – SP, Brazil. All persons having claims against the above-named Company are required to send their names, addresses and particulars of their debts or claims to the Liquidator before the 27th December, 2018.
Luciane Ribeiro Moreno Liquidator
VACANCY FOR
ABACO LAW FIRM Major law firm is immediately seeking a detail oriented, hands-on individual to fill the position of Legal Secretary in Abaco. The successful candidate must be an exceptionally motivated, hardworking and dynamic individual having at least 5 years’ previous legal experience in the commercial and real estate practice area. Required qualifications, skills, knowledge: • Experience in the preparation of agreements for sale, conveyances and mortgages, and other relevant documents; • The ability to use initiative, multi task, work accurately under pressure, possess exceptional organisational and communication skills and be able to work overtime and weekends; • Computer literacy, including advanced proficiency in the use of Microsoft applications; • Pleasant and able to work in a small environment Compensation: Commensurate with qualifications and experience; excellent benefits Only short-listed applicants will be contacted. Reply in confidence to: abacovacancy@gmail.com
BRITAIN’s Prime Minister Theresa May speaks during a press conference after the G20 Leader’s Summit in Buenos Aires, Argentina, on Saturday. Leaders from the Group of 20 industrialised nations met for two days in Buenos Aires. Photo: Gustavo Garello/AP believe that we can win the argument and win the vote.” “I know it is challenging,” he told the BBC yesterday. “One of the things that I hope people will have the chance to do over the next nine days is to recognise that we should not make the perfect the enemy of the good,” Gove said. “We have got to recognise that if we don’t vote for this, the
alternatives are no deal or no Brexit.” Before the Dec 11 vote, Labour is also trying to force May to publish confidential advice from the country’s top law officer about the Brexit deal. Under opposition pressure, the government promised last month to show Parliament the legal advice from Attorney General Geoffrey Cox “in full”.
Now, however, it says only that Cox will make a statement to Parliament. Starmer said Labour would accuse the government of being in contempt of Parliament if it does not release all of the attorney general’s input. A refusal to publish the text could trigger “a historic constitutional row that puts Parliament in direct conflict with the executive,” he said.
A key legal issue is how Britain can get out of a “backstop” provision that would keep the country in a customs union with the EU to guarantee an open border between the UK’s Northern Ireland and EU member Ireland. Pro-Brexit lawmakers say the backstop could leave Britain tied to the EU indefinitely, unable to strike new trade deals around the world.
PAGE 10, Monday, December 3, 2018
THE TRIBUNE
A look at what happened at the G-20 summit in Argentina BUENOS AIRES Associated Press
NAFTA After two years of negotiations, Trump signed a revised North American trade pact with the leaders of Canada and Mexico on the sidelines of the summit. The deal is meant to replace the North American Free Trade Agreement, which Trump long denigrated as a “disaster”. The new pact won’t take effect unless approved by the legislatures of all three nations, and there are questions about the pact’s prospects in the US. Congress, especially now that Democrats will control the House. Democrats and their allies in the labor movement are already demanding changes. But Trump said on the way back to Washington that he plans to formally terminate NAFTA, so Congress will have to choose between accepting the new pact or going without a trade accord.
LEADERS of the world’s largest economic powers have agreed to overhaul the global body that regulates trade disputes, but they faced resistance from President Donald Trump over the Paris accord on climate change. Here are some of the main developments at the Group of 20 summit, which wrapped up Saturday: WORLD TRADE ORGANIZATION All G-20 leaders called for reforming the World Trade Organization and the issue will be discussed during the group’s next summit in Osaka, Japan, in June. The gathering’s final statement, however, did not mention protectionism after negotiators said the US objected to the wording. Trump has criticised the WTO and taken aggressive trade policies targeting China and the European Union. US-CHINA TRADE WAR Financial markets will be cheered by the US announcement that Trump and Chinese President Xi Jinping agreed at a dinner after the summit to have a 90-day truce in their trade battle. Trump agreed to hold off on plans to raise tariffs Jan 1 on $200bn in Chinese goods. Xi agreed to buy a “not yet agreed upon, but very substantial amount of agricultural, energy, industrial” and other products from the United States to reduce America’s huge trade deficit with China, the White House said. The cease-fire will buy time for the two countries to work out their differences in a dispute over Beijing’s aggressive drive to
LEADERS and their partners pose for a group photo prior to a gala dinner at the Colon Theater in Buenos Aires, Argentina, on Friday. Leaders from the Group of 20 industrialised nations are meeting in Buenos Aires for two days starting today. Photo: G20 Press Office/AP supplant US technological dominance. PRINCE UNDER PRESSURE There were some awkward moments for Saudi Crown Prince Mohammed bin Salman as some leaders called him out over the gruesome October killing of dissident Saudi newspaper columnist Jamal Khashoggi at the country’s consulate in Istanbul. French President Emmanuel Macron was captured on video seemingly lecturing bin Salman, at one point being heard saying “I am worried”, “you never listen to me”, and “I am a man of my word”. Macron said the crown prince only “took note” of his concerns. British Prime Minister
Theresa May also said she pressed bin Salman. President Recep Tayyip Erdogan of Turkey said Canadian Prime Minister Justin Trudeau was the only G-20 leader to raise the issue during the official session. Erdogan called bin Salman’s response — that the crime had not been proven — “unbelievable” and complained that Saudi authorities have been uncooperative. But it wasn’t all bad for bin Salman. He was not shunned, and on the gathering’s first day, he and Russian President Vladimir Putin engaged in a hearty grip-and-grin as the two seemingly reveled in their shared status as relative outcasts. US intelligence agencies
concluded the Saudi prince was behind the killing. Saudi Arabia denies he played a role. UKRAINE CONFLICT Western leaders confronted Putin over Russia’s recent seizure of Ukrainian naval vessels and crews, but the diplomatic pressure didn’t seem to bring either side closer to solving the conflict. Russia and Ukraine have accused each other of being responsible for the standoff. Trump cited Russia’s actions as the reason that he canceled a planned meeting with Putin on the sidelines of the summit. EU Council President Donald Tusk sharply criticised “Russia’s aggression” against Ukraine.
MARKET REPORT THURSDAY, 29 NOVEMBER 2018
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BISX ALL SHARE INDEX: CLOSE 2,028.69 | CHG 0.02 | %CHG 0.00 | YTD -34.88 | YTD% -1.69 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.50 4.90 1.10 0.52 3.92 9.30 6.60 4.93 12.50 2.74 1.78 8.21 6.30 13.20 6.98 4.49 13.50
52WK LOW 3.50 19.17 7.00 3.32 0.90 0.16 2.25 8.60 6.10 3.54 9.00 2.30 1.50 7.25 6.00 10.10 5.67 3.25 12.50
1050.00 1000.00 1000.00 1000.00
1000.00 1000.00 1000.00 1000.00
PREFERENCE SHARES
1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01
1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.00
SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson
Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class E Commonwealth Bank Class J Commonwealth Bank Class K Commonwealth Bank Class L Commonwealth Bank Class M Commonwealth Bank Class N Fidelity Bank Class A Focol Class B
CORPORATE DEBT - (percentage pricing) 52WK HI 100.00
52WK LOW 100.00
SYMBOL LAST CLOSE AML 4.45 APD 17.43 BPF 7.00 BWL 4.90 BOB 1.10 BBL 0.52 CAB 2.30 CIB 9.30 CHL 6.16 CBL 4.14 CBB 12.42 CWCB 2.55 DHS 1.78 EMAB 8.13 FAM 6.30 FBB 12.99 FIN 6.75 FCL 3.62 JSJ 13.01 CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB
SECURITY Fidelity Bank Note 22 (Series B) +
SYMBOL FBB22
Bahamas Note 6.95 (2029) BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y
BAH29 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407
BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
MUTUAL FUNDS 52WK HI 2.18 4.16 2.02 182.41 158.55 1.59 1.71 1.67 1.10 6.99 8.54 6.15 10.52 11.46 10.46 10.00 8.69 11.79
52WK LOW 1.67 3.04 1.68 164.74 116.70 1.52 1.68 1.61 1.08 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20
1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00 LAST SALE 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
CLOSE 4.45 17.43 7.00 4.90 1.10 0.52 2.30 9.30 6.16 4.14 12.42 2.48 1.78 8.24 6.30 12.85 6.75 3.62 13.01
CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.07 0.00 0.11 0.00 -0.14 0.00 0.00 0.00
1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
CLOSE 100.00
CHANGE 0.00
107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund Colonial Bahamas Fund Class D Colonial Bahamas Fund Class E Colonial Bahamas Fund Class F
VOLUME
2,000
4,156
VOLUME
EPS$ 0.214 0.932 -0.306 0.317 0.059 0.000 -0.588 0.700 0.441 0.154 0.627 0.102 0.209 0.000 0.670 0.701 0.578 0.277 0.631
DIV$ 0.100 1.260 0.000 0.240 0.000 0.010 0.000 0.710 0.220 0.120 0.620 0.060 0.060 0.084 0.280 0.500 0.150 0.130 0.600
P/E 20.8 18.7 N/M 15.5 N/M N/M -3.9 13.3 14.0 26.9 19.8 24.3 8.5 N/M 9.4 18.3 11.7 13.1 20.6
YIELD 2.25% 7.23% 0.00% 4.90% 0.00% 1.92% 0.00% 7.63% 3.57% 2.90% 4.99% 2.42% 3.37% 1.02% 4.44% 3.89% 2.22% 3.59% 4.61%
0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%
INTEREST Prime + 1.75% 6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%
NAV 2.18 4.16 2.02 182.41 158.55 1.59 1.71 1.67 1.09 7.41 8.57 6.55 10.68 11.65 10.62 9.92 8.69 11.79
YTD% 12 MTH% 2.90% 4.07% 0.44% 4.38% 1.70% 2.35% 2.08% 3.47% 3.35% 5.94% 3.67% 4.43% 0.73% 0.96% 2.88% 3.53% -0.53% 0.27% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69% -0.71% 0.16% 3.96% 7.75% 8.34% 14.88
MATURITY 19-Oct-2022 20-Nov-2029 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022 NAV Date 30-Sep-2018 30-Sep-2018 28-Sep-2018 30-Sep-2018 30-Sep-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 31-Oct-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018
MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings
YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful
TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225
Putin tried to convince Trump and the leaders of France and Germany that Russia’s actions were justified — even pulling out a piece of paper and drawing a map of the disputed area to make his point. CLIMATE CHANGE The final communique signed by all 20 member nations said 19 of them reaffirmed their commitment to the Paris climate accord. The only holdout was the US, which has withdrawn from the pact under Trump. Still, environmental groups praised the statement as welcome news. “That G20 leaders signed up to the Paris Agreement reaffirmed their commitment to its full implementation in the resulting communique is important,” the World Wildlife Fund said. “It is also a reflection of the Argentinian government rightly making climate an important topic on the agenda.” Greenpeace said that “the necessity of the US being part of the effort to fight climate change cannot be denied, but this is a demonstration that the US is still the odd one out.”
LOW EXPECTATIONS, LOW OUTPUT Even the host country had lowered expectations ahead of the summit, saying before the gathering started that it might not be possible to reach a consensus for a final statement. After sleepless days of round-the-clock talks by diplomats, a communique was produced, but analysts said leaders merely signed a watered down statement that skirted trade and other contentious issues. “The G20 veered all over the road” at the summit and the leaders failed to fix trade, which is widely seen as a priority for boosting growth in jobs and economies, said Thomas Bernes, a distinguished fellow at the Centre for International Governance Innovation who has held leading roles with the International Monetary Fund, the World Bank and Canada’s government. “Leaders buried their differences in obscure language and dropped language to fight protectionism, which had been included in every G-20 communique since the leaders’ first summit. This is clearly a retrograde step forced by United States intransigence,” Bernes said.