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THURSDAY, MARCH 3, 2022
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Fears of $205m hit in BPL fuel hedge woe
Gov’t’s $206.5m deal with Goldman ‘speaks volumes’
By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net
FEARS were raised yesterday that Bahamas Power & Light (BPL) customers could suffer a $200m-plus hit if the fuel hedging strategy that the Davis administration met in place was not renewed. Multiple well-placed sources, speaking to Tribune Business on condition of anonymity, warned that Bahamian households and businesses could face a massive increase in their electricity bills over the next two years if current global crude oil prices hold around yesterday’s $113$114 per barrel mark. BPL’s fuel charge, which is based on global oil prices, is passed on 100 percent to its customers, and this newspaper was told that
• Bahamians to ‘bear brunt’ of oil price surge • Concern electricity costs will start soaring • Pintard challenges hedge ‘cancellation’ all Bahamians are likely now at the mercy of volatile commodities markets rocked even further during this past week due to Russia’s invasion of Ukraine - due to the Government’s failure to follow through and execute on the strategy left for them. This newspaper was told the hedging strategy left in place would have addressed all BPL’s 2022 fuel “needs”, with 1.6m barrels of oil “hedged” at a price of $40
- almost 65 percent less than prevailing market prices - for the period from February 1, 2022, to October 31, 2022. A contact said savings for February alone would have amounted to almost $8m compared to market prices. For the subsequent 12 months, some 1.45m barrels were hedged at $40 until end-October 2022 and, for the period November 1, 2023, to March 2024,
MICHAEL PINTARD another 430,000 barrels were included in the hedge. Had this structure been maintained and executed, one source said, it would have generated collective savings for BPL’s consumers of $134m over the next two years based on a $93 per barrel global oil price.
SEE PAGE 12
Bahamian hotel owner defeats lender’s probe By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A BAHAMIAN asset manager’s bid to probe more deeply into a Nassaubased resort owner’s alleged $7.5m-$9m insolvency has been thwarted for a second time by the judicial system. The Court of Appeal, in a unanimous verdict, upheld an earlier decision by Justice Ian Winder not to grant Sterling Asset Management, headed by prominent developer David Kosoy, an Order mandating the Courtyard by Marriott Nassau’s owner to release more
documents and potential evidence. Sunset Equities, which was recently said to have defaulted on its debt to another lender, and be in the process of selling the West Bay Street hotel to London Regional Hotels, a UK-based resort group, in a deal that was due to close on February 22, was initially loaned $12.5m by Sterling to acquire the property via a series of credit facilities. Sterling took a 15 percent equity interest in Sunset Equities, with the majority 70 percent stake held by New York-based developer,
SEE PAGE 8
Blame all around over $535m BPL bond ‘gut’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Opposition’s leader last night admitted “we’re not completely blameless” as he challenged the Government’s effort to “gut” Bahamas Power & Light’s (BPL) mammoth $535m refinancing,. Michael Pintard told Tribune Business that the former Minnis administration, in which he served as a Cabinet minister, should have proceeded with the state-owed energy monopoly’s Rate Reduction Bond (RRB) as he challenged the Government over how it
planned to deal with BPL’s “cash crunch”. “BPL is cash-strapped to the extent that reports say that several vendors have stopped providing services due to non-payments for works already completed, and they have entered payment arrangements with their largest vendors, and that the money required to conduct both needed maintenance and to proceed with planned capital development is simply not there,” he said. “Additionally, given BPL’s cash crunch, they were also not able to carry out all of the muchneeded winter maintenance
SEE PAGE 7
THE Ministry of Finance’s top official yesterday asserted that the Government’s $206.5m “repurchase” deal with Goldman Sachs “speaks volumes” to the credibility of its fiscal and economic plans. Simon Wilson, the financial secretary, told Tribune Business that such a transaction with the “crème de la crème” of global investment banking “sends a very strong message” about the Government’s standing despite its $10.3bn-plus direct debt. Speaking after the ministry unveiled the repurchase or “repo” agreement, which saw the Government transfer almost $236m worth of its US bond holdings to Goldman Sachs in return for $206.5m in cash, he said an institution of its stature would not do business with any country
SIMON WILSON considered to be “heading for bankruptcy”. Thousands of so-called “repos” take place daily in the global capital markets, monetising assets into cash, although such instruments are used less commonly in The Bahamas. The assets transferred to Goldman Sachs, which is effectively now holding them in escrow for two years, represent US Treasury bonds previously held in government-established “sinking funds”.
SEE PAGE 9
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THE QUALITIES NEEDED TO UNLOCK ENTREPRENEURSHIP W hy entrepreneurship? While the journey to entrepreneurship is likely to be filled with sacrifices, obstacles and challenges, the reward for the same is far greater. With the right amount of knowledge and guidance, it is indeed possible for anyone to venture out into the world of entrepreneurship. An entrepreneur is an innovative and creative individual who is willing to take significant risks, and overcome numerous challenges, to start their own business. Here are a few top reasons why you may decide to pursue a career in entrepreneurship. Entrepreneurs have the freedom to choose their own
path: They have the opportunity to create their own ideas and develop profitable business ventures. No Age Limit: Anyone can become an entrepreneur as long as they have the courage, passion and perseverance to do so. Create something valuable: One of the most exciting things about becoming an entrepreneur is the opportunity to create something of value that benefits an entire society. Valuable skills: Not every entrepreneur is skilled in all areas of business. In fact, entrepreneurship can be viewed as a learning opportunity in numerous aspects of business, marketing and finance and, accordingly, the development of appropriate
skills in all the relevant fields. Role model: Entrepreneurs do not just build a business. They also build a legacy for their family and industry, paving the way for other potential entrepreneurs to create exciting ventures. Ultimately, building a business takes time, money and other relevant resources. It may take months, and even years, for your business to grow and attain a positive status. Furthermore, you must understand that, as an entrepreneur, you are no longer an employee. Being the face and decision-maker of your entity may require long hours and advanced thinking for that reason, so
it is necessary to put in the proper effort to take your vision and make it reality. Entrepreneurs must exude confidence and believe in themselves, as an apprehensive approach will yield sub-par results. It is unrealistic to think everything will go as planned and, even if you have every detail of your business plotted out, you still must always brace for unexpected headwinds. Being flexible with your plans and expectations will aid with planning, and adapting, to any unforeseen circumstances. And never forget that business owners must become accustomed to taking risks … to become comfortable with being uncomfortable. It will not always be roses and unicorns. At some point, you will run into difficulties, lose customers and have financial constraints. It is at this point
that you may need to get back on the horse and take another risk, whether it is in the form of a new product, marketing campaign or customer recruitment strategy. Sometimes it takes a person who thinks differently than the herd to start something new and defy the odds. Entrepreneurs must be able to pivot. If something is not working, changing your approach, your business model and your plans to make it work is the power of the pivot. Become adaptable despite what is thrown at you. Until we meet again, fill your life with memories rather than regrets. Enjoy life and stay on top of your game. NB: Columnist welcomes feedback at deedee21bastian@gmail.com ABOUT COLUMNIST: Deidre M. Bastian is
By
DEIDRE
BastiaN a professionally-trained graphic designer/brand marketing analyst, author and certified life coach with qualifications of A.Sc. B.Sc. M.Sc. She has trained at institutions such as: Miami Lakes Technical Centre, Success Training College, College of The Bahamas, Nova Southeastern University, Learning Tree International, Langevine International and Synergy Bahamas.
GOV’T DIRECTORS MEET PM TO DISCUSS BTC THE Bahamas Telecommunications Company (BTC) directors who represent the Government’s 49 percent stake have met with the Prime Minister Davis to discuss matters involving the company. BTC’s deputy chairman, Valentine Grimes, confirmed that the recent $24.5m dividend received from BTC was the first capital return on the Government’s investment since 2016 when the last Christie administration was in office. The February 23 meeting was said to be the first of many that are planned between the Prime Minister and the Government’s BTC
Board members. These are intended to ensure both the Government, and Liberty Latin America, which ultimately owns the controlling 49 percent interest in BTC, remain accountable for their promises.
Other directors present at the Board meeting were attorney Parkco Deal; accountant Peter Cartwright; and human resources strategist, Daphne Simmons.
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Thursday, March 3, 2022, PAGE 3
GOV’T TO INVEST $1.2M IN RIGHTING ATHLETE WRONG By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net A CABINET minister yesterday said the Government will invest $1.2m in installing infrastructure to the homes of ten Bahamian Olympic gold medallists. Alfred Sears, minister of works and utilities, explained that the Golden Athletes subdivision will be focused on a select group of Olympic medalists that includes Debbie Ferguson, Tonique Williams, Pauline Davis-Thompson, Chandra Sturrup, Eldeece ClarkeLewis, Savatheda Fynes, Chris Brown, Demetrius Pinder, Ramon Miller and Michael Matthieu. The infrastructure works come almost 22 years after the women’s 4x 100 metre Olympic relay won gold at the 2000 Sydney Olympics. The five members, Debbie Ferguson, Pauline DavisThompson, Chandra
Sturrup, Eldeece ClarkeLewis and Savatheda Fynes, were rewarded with plots of land in the Tropical Gardens subdivision that was developed by the Government. However, the Government never put in place any roads or utilities, such as electricity and water, to enable the athletes to develop their own homes. This was the dilemma confronted by Ramon Miller who, after building his home, had to dig a well for water and provide his own generator for power. Mr Sears, moving to correct the situation, thanked the athletes for drawing attention to their plight. “I think it’s only appropriate that, on behalf of the Government, we extend an apology for conveying the land and failing - for up to now 20 years - to install the infrastructure,” he added. The selected contractor began work at the
SEATED from left: The Hon. Mario Bowleg, Minister of Youth, Sports and Culture; Charles Stubbs, contractor; the Hon. Alfred Sears, Minister of Works and Utilities; and Bacchus Rolle, Parliamentary Secretary. Standing from left: Luther Smith and Eugene Poitier, Permanent Secretaries; Eldece Clarke-Lewis, Ramon Miller and Pauline DavisThompson, Olympians.
5.23 acre site in Tropical Gardens last week, and is scheduled to be completed by November this year. Mr Sears said: “The scope of works will include site investigation and surveying, design of utility infrastructure and civil works. Setting out the works site clearance, earthworks and installation of
CRUISE PORT HANDLES ‘RECORD’ SIX VESSELS By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net THE Nassau Cruise Port yesterday handled a “record-breaking” six cruise ships that brought some 10,000 passengers to downtown Nassau and other New Providencebased attractions. Marques Williams, the port’s operations manager, said the facility’s ability to handle six ships that docked simultaneously showed it was “ready to receive the biggest and best cruise lines”. Based on the more than 10,000 passengers on
those combined ships, Mr Williams suggested that the Government had collected $180,000 in taxes alone. He added: “This means a lot for the Nassau Cruise Port. The Bahamas government has a head tax of about $18. That’s what the Government receives for every one of those passengers.” A further 15,000 cruise passengers will be arriving next Wednesday, and Mr Williams said: “We have another couple of six-ship days coming for the month of March, so we should see this happening a couple of more times.” As to Prince George Wharf’s ability to handle six cruise ships at a time, he added: “It all depends on
the size of the vessels and the configuration. But we’re looking at six very large ships at one time. Bigger ships are coming on board, and we expect the largest ship in the world to be coming in a few days, the Wonder of the Seas.” “The number of passengers just keeps growing and growing as we come out of this pandemic situation. We at Nassau Cruise Port want to be the catalyst for the growth and rebirth of downtown Nassau. So I think this is now sending a clear message to the homeowners and business owners of downtown that we are investing in this redevelopment, and we want to see Nassau grow again.”
utilities. That is Water and Sewerage, electricity and also telecommunications, asphalt paving and striping, proper drainage, sidewalk and landscaping. “The price of the contract is $1.228m and there is a completion date of 270 days. We will also liaise very closely with the utility companies, that is BPL
(Bahamas Power and Light) and the Water & Sewerage Corporation, as well as the telecommunications company, to ensure there is no further slip between the cup and the lip.” Charles Stubbs, owner/ operator of Stubbs Heavy Equipment, and lead contractor for the works, said his company began last
week. “We started the base work for this subdivision, and we are in contact with Bahamas Power & Light and the Water and Sewerage Corporation on the timeframe of when we could put in the necessary infrastructure,” he said. The project is a “design build” contract, and the responsibility will be with the contractor to design the project as he goes along, said Francis Clarke, senior engineer at the Ministry of Works.
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Tourism moves on GB airfares By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net
TOURISM officials have already reached out to American Airlines over the relatively high airfares that are making Grand Bahama uncompetitive, Tribune Business was told yesterday. Carmel Churchill, director of marketing services for the Grand Bahama Island Tourism Promotion Board (GBITB), said the organisation was already working with newlyappointed acting director of aviation, Dr Kenneth Romer, to get more affordable flights into Grand Bahama. She said: “We can use American Airlines as an example. So, he (Dr Romer) has reached out immediately to the American Airlines representative, who just returned
a response to us on Monday morning and they did detect that something in their system was showing that airfare was quite high, and they don’t seem to know why that’s the case, but they are taking a closer look at it. “Then there are instances where, when you compare with Nassau, Grand Bahama is coming up at almost double the price. So they have made a commitment to take a look at it a lot more closely, and they have also made a commitment to work with us on an ongoing basis to improve both airlift as well as cost of coming to the destination.” Airline ticket prices are determined by supply and demand, with load factors (passenger numbers) and flight frequency driven by how many persons are attracted to the tourism destination being served as well as the number of hotel rooms that are available.
With just one of the Grand Lucayan’s three properties still open, which has been the situation ever since Memories/Sunwing pulled out in late 2016, Grand Bahama’s room inventory - especially for leisure tourism - has shrunk to the bare minimum. With leisure travel demand virtually “nonexistent”, in the words of one Grand Bahama hotelier, airlines such as American Airlines have greatly reduced flight frequency and capacity in line with the much-lower passenger numbers. Magnus Alnebeck, the Pelican Bay resort’s general manager, earlier this week told Tribune Business that it is “impossible to build a tourist destination” on Grand Bahama when airline ticket prices fluctuate between $3,000 and $150 within a timespan of barely several days.
Asserting that such volatile swings make it virtually impossible to build sustainable airlift to Grand Bahama, he added that the island simply lacks the airlift capacity, infrastructure and hotel rooms to cope with “the peaks and valleys” created by the Grand Bahama Shipyard. Mr Alnebeck confirmed that, on days when a ship’s crew is being flown out, all the outbound seats on the flight to Miami are taken, raising prices for a one-way ticket as high as $3,000. But, on days when there is no such business, the Pelican Bay chief said aircraft load factors drop as low as 10 percent with tickets falling to $150 for the same journey. Ms Churchill yesterday responded: “There are a number of variables that determine the price of airfares. However, between the Ministry of Tourism’s focused attention on
marketing Grand Bahama and the partnership with the Promotion Board, very shortly you would start to see some promotional efforts focused on messaging for Grand Bahama, driving persons to the destination and ultimately increasing demand for the destination. “So, therefore, we should start to see better frequency in flights to the destination, as well as competitive airfares. There’s all these variables that are taken into consideration. What we are very disappointed in - and I know that the Tourism Board as well as the office members and direct chair subscribe to this particular view - is the fact that there’s a very limited amount of flights coming into Grand Bahama. “American Airlines is currently operating one flight per day out of Miami, which leaves our passengers in a position that if they’re
coming from the north-east, they must overnight and, in most cases, if they overnight in Miami before coming on to Grand Bahama, then in some instances their flight flying time can be in excess of 16 hours to get to the destination which is very hard to accept.” Ms Churchill added: “What is good for us, or what we are encouraged by, is the fact that there are persons seeking to come to the destination, a considerable amount. Particularly we’ve seen an uptick in persons coming from the Boston area that want to come into Grand Bahama.” These persons are typically family-oriented with over six people per group, and they are “comfortable” with the accommodations and activities for them on the island.
Law reforms to aid trading standards By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net TWO key laws will be upgraded to enable The Bahamas to meet the standards set by rules-based trading regimes and agreements, it was revealed yesterday. Dr Renae FergusonBufford, the Bahamas Bureau of Standards and Quality’s (BBSQ) director, said the Standards Act and Weights and Measures
Act - both of which became law more than 15 years ago - are being modernised to ensure they comply with current international trade frameworks. Addressing at a Standards Bureau webinar yesterday, she said the agency has recently completed redrafting both laws to bring them into line with the likes of the World Trade Organisation (WTO) and the Economic Partnership Agreement (EPA) with the European Union (EU).
Dr Ferguson-Bufford said: “In conjunction with our various regional and international partners, like our affiliates here today, the CARICOM Regional Organisation for Standards and Quality, better known as CROSSQ, we have been able to bring resources like technical and financial assistance to our own development. “The European Union, through CROSSQ and the Dominican Republic’s Institute for Quality, CARIFORUM and the German
Metrology Institute, has facilitated several aspects of this very important journey through the assistance of the 11th European Development Fund (EDF)’s” initiative that is designed to help small nations overcome technical barriers to trade. Dr Ferguson-Bufford added: “The mandate for the Bureau is to establish and implement a quality infrastructure, which provides many benefits to our industry stakeholders in the facilitation of trade. Metrology, which is the study of weights and measurements, shows us accuracy, reliability and traceability in measurements, which helps to facilitate fair trade within the region and internationally. “It also provides the ability to determine length, mass, volume, time and temperature, and is especially beneficial in helping
the region to achieve these benchmarks regarding our trade component together.” The Standards Bureau has established several committees that help provide the technical support required to analyse its work for the wider public. “The BBSQ has continued at a rapid pace toward putting standards in place, setting up national technical committees and generally seeing to the infrastructure to make sure the health and safety of our citizens are protected,” Dr FergusonBufford said. “To-date, the Bureau has declared 34 Bahamas national standards. We have established ten technical committees that are currently in session.” Nineteen more regional and international standards are “under review for adoption”. Amid the COVID-19 pandemic, the Bureau is
also developing standards for hand sanitizers. She added: “I believe we also have the beauty standard. The beauty industry standard is also in development now. The work of standards can continue successfully when the Bureau has buy-in from all stakeholders. “All of these systems, along with accreditation and awareness, are the stepping stones to building a strong economy, to increasing business nationally as well as regionally. “It also speaks to the fact that if the aforementioned systems are strong and assessable, others in the region will look to The Bahamas for services that may not yet be available in their own countries. That’s opening doors for increased opportunities to build our economy, whilst at the same time building our quality infrastructure.”
THE TRIBUNE
Thursday, March 3, 2022, PAGE 5
MINISTER TARGETS GREATER AGRICULTURE ‘INNOVATION’ A CABINET minister says he aims to bring greater “innovation” to the agriculture sector following his attendance at an international conference in Dubai. Clay Sweeting, minister of agriculture, marine resources and Family Island affairs, said he planned to pursue international connections forged at World Expo 2020’s Agriculture Week to boost food security in The Bahamas. “We can use vertical farming, aquaponics, but we can also build relationships between farmers and distributors,” he said. “There is a client here that has created an app, which helps to facilitate distributors and suppliers and actual farmers to integrate their network, which is an area that we are having a challenge within The Bahamas. “We are so excited to know that there is actually an app to facilitate this because we can now bring this innovation to The Bahamas. There is a lot of innovation that can work within the sector. We are going to bring back some samples of new fertilizers that can be distributed over one hectare of farmland with minimal amount of space in regards to shipping and logistics challenges.” Mr Sweeting led a delegation of representatives to the conference from his ministry, the Bahamas Agriculture & Marine Science Institute (BAMSI), the Bahamas Agricultural
and Industrial Corporation (BAIC), the Bahamas Agricultural Health Food Safety Authority (BAHFSA) and the Departments of Agriculture and Marine Resources. He participated in the inaugural Food for Future Summit and Expo as a guest speaker, and also as a panelist on the World Leaders Symposium. Mr Sweeting also took part in the first ministerial meeting for Agriculture Innovation Mission (AIM) for Climate, and attended numerous other meetings with international leaders. “Israel is looking to do aquaculture technology, whereby you can farm in the actual ocean; something that is innovative and cost effective. The Bahamas is the perfect place for creating this type of opportunity,” he said. “When we met with Saudi Arabia, they are looking at technology and innovation, and how they can assist us in that sector as well. The US, our neighbour, has been assisting us with the sector and will hopefully enhance their contribution to innovation and technology in The Bahamas. “We will continue to meet with other countries. I was able to meet with the minister for climate change and environment, Mariam Alheri. We were able to chat a bit, and hopefully we will be able to work with them as well to bring innovation and technology to our country,
which will positively impact our agricultural sector.” Mr Sweeting said many countries are practicing vertical farming, which he would like to see more of in The Bahamas. “I think new technology in terms of vertical farming, aquaponics and all those other technologies that can help grow our agriculture definitely will be pushed by me,” he added. “It falls in line with my vision of what farming can be in The Bahamas – how we can make it inclusive, how we can make it attractive to commercially farm in our country, and encouraging them to do backyard farming. “But what is important for us is that we actually find ways to feed ourselves; that we actually grow where we live and eat what we grow, and that’s one of our mantras. We must be serious about it. I think that these expos facilitate easy discussions, and present the
opportunity to meet with countries and agencies who can assist our country,” Mr Sweeting continued. “But once we leave these facilities, we must enact change and we bring the knowledge that we’ve gained here to facilitate our farmers at home so that they realise that our time here was not wasted, and that we will bring innovative change, policy initiatives to the sector in our country.” Assessing the Agriculture Week event, Mr Sweeting added: “As a
small, developing country, sometimes The Bahamas isn’t taken seriously enough. But to come here and be invited to be on the global stage, and to be invited out of ten countries to speak at the symposium out of all the global leaders, I think that speaks to us as a country, as a nation and as a people of how other people view us. They see us as a country that can make a real impact, be innovative and one that can bring real change, and I am excited to be a part of that.”
CLAY SWEETING, minister of agriculture, marine resources and Family Island affairs, led a delegation to Dubai for Agriculture Week. The group included representatives from the Ministry, Bahamas Agriculture & Marine Science Institute (BAMSI), Bahamas Agricultural and Industrial Corporation (BAIC), Bahamas Agricultural Health and Food Safety Authority (BAHFSA) and the Departments of Agriculture and Marine Resources. Photo:Stephen Hanna
JOB VACANCY Leading Law Firm Seeking
FILING CLERK
Responsibilities Include: Creating Client files and filing documents. Digitization, maintenance and updating of case and client records. General filing duties. Requirements: Experience in the desired post, Competence with the Microsoft Office Suite and an ability to work with legal software. Outstanding time-management, excellent attention to detail and strong communication skills.
Please apply by email attaching current resume and cover letter outlining your suitability and salary expectations to
Legalhrm242@outlook.com
on or before 7th March, A. D. 2022. Only short listed candidates will be contacted.
Small/Medium Resort is searching for a
Head Chef
The ideal candidate must be knowledgeable in culinary arts, detail-oriented and self-motivated with excellent interpersonal and communication skills. Core Competencies: • Ability to execute duties with accuracy and proficiency • Demonstrate a keen eye for details • Manage small food and beverage operations within budget guidelines and to the highest standards • Lead F&B team by attracting, recruiting and training talented personnel • Design F&B menu, purchase inventory and manage food cost while providing exceptional customer satisfaction. • Must be hands on, very practical and must be able to work well with others • Must be knowledgeable in culinary and bartending. • Must comply with all health and safety guidelines of the Resort. • Oversee the day-to-day operations of all food outlets on property. • Overseeing the maintenance of all kitchen and restaurant equipment, organizing repairs when needed. • Must be able to prepare local and international cuisines. Required Qualifications: • 5+ years’ experience • Salary commensurate with experience • Must have own transportation
email: info@sandyport.com P.O. Box SP-63162 Nassau, Bahamas
PAGE 6, Thursday, March 3, 2022
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Sand Dollar hits new heights with bank clearing integration THE Central Bank yesterday said the Bahamian digital currency had hit another milestone after its initial integration with the Automated Clearing House (BACH) system was completed. The regulator, in a statement, explained that this established connectivity between the Sand Dollar and the clearing house used by Bahamian commercial banks to process fiat transactions and payments. It means Sand Dollars can now be transferred from customers’ digital wallets to any deposit account held at a clearing bank. John Rolle, the Central Bank’s governor, said: “This pass-through link between Sand Dollar wallets and deposit accounts provides essential connectivity of the digital
currency infrastructure to the banking system. We are that much closer to achieving a seamless ecosystem between the digital and physical versions of the Bahamian currency. “After months of beta testing, troubleshooting and refining the transaction process, we launch this phase with confidence in the integrity of the system that we have created. What we are saying, especially for businesses that we will be enticed to adopt the Sand Dollar, is that as they look to the near to medium-term, the deposit of their register receipts can increasingly be made through a secure electronic transfer rather than a logistically challenging transportation of physical cash.” To enable BACH transfers, users holding Sand
Dollar mobile apps will link the wallet to a single deposit bank account of their choice. Users will be able to make transfers that will be concluded during the ACH’s daily operating hours between 8.30am and 4.30pm, Monday through Friday. The Clearing Banks Association (CBA) added: “The integration of Sand Dollar with BACH marks an important milestone in the journey towards increased adoption and use of the Central Bank digital currency in The Bahamas. “We are confident this integration with the banking system will prove beneficial for personal and business users, who will now enjoy the benefits of a seamless link between fiat cash and digital currency.
CENTRAL BANK OF THE BAHAMAS “The CBA supports the Central Bank in its effort to promote efficiency in the domestic payments space, and looks forward to working together to further promote financial access and inclusion.” Mr Rolle continued: “We view Sand Dollar as complementary to physical cash, in that Bahamian currency can move between physical and digital spaces without losing any value. Sand Dollar is, in fact,
adding value to the marketplace by providing non-discriminatory access to payment systems without regard for geography, and strengthening The Bahamas’ reputation as a leader in central bank digital currencies. “At present, statistics are showing pleasing promise for our digital currency. With this launch of phase one BACH integration, we anticipate an uptick in Sand Dollar adoption as more
merchants and consumers grasp the benefits and ease of utilising a digital version of the Bahamian dollar.” Phase two of the Sand Dollar-BACH integration will allow users to top-up their digital wallets through third-party bank transfers from the linked deposit account. Work continues on this phase, and the Central Bank said it expects this facility to be available during the 2022 second quarter of the year.
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Thursday, March 3, 2022, PAGE 7
AUDITOR GENERAL DISCLOSES ONGOING CO-OPERATION WOE By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net
THE Auditor General (AG) says the willingness of government ministries, departments and agencies to provide his staff with access to their files is still “not where we want it to be”. However, Terrence Bastian, speaking at the Office of The Prime Minister’s weekly press briefing, said compliance by public sector bodies when it comes to providing
requested information for audits is “improving.” He added that the only thing missing now is “accountability” from the Government sector. “A part of the role of the Auditor General is to ensure that we get good governance,” Mr Bastian said. “That’s going to trickle down to where good governance means that there must be transparency and accountability. “Accountability would mean that, if someone is responsible for doing something right, they’re commended, and if they are
BLAME ALL AROUND OVER $535M BPL BOND ‘GUT’ FROM PAGE ONE activities on their generation assets in preparation for summer 2022. BPL’s dire legacy financial challenges was the motivation for the execution of the rate reduction bond. I regret that our administration did not complete the bond offering while we were in the chair. We should have done so.” Expanding on these points, Mr Pintard said BPL’s fuel hedging “and cash-strapped nature” were related issues. Executing the former, he added, would have saved Bahamian households significant sums on their electricity bills, and “in the tens of millions of dollars is what they are going to be exposed to” in terms of additional fuel charge costs (see other article on Page 1B). And, speaking out on BPL’s proposed $535m RRB, after Alfred Sears QC, minister of works and utilities, said the bond was unlikely to proceed under the structure inherited by the Davis administration, Mr Pintard told Tribune Business: “Either the Government or BPL has to provide money for its operations. “The RRB was a means by which this could be accomplished. This government seems minded not to proceed with the RRB. I concede upfront we really should have proceeded with it, and at the time we were voted out of office we had not done so. We’re not completely blameless on this matter, but we do believe the Government has to move on this.” Mr Pintard, in a statement, said Citi and CIBC FirstCaribbean international Bank had been involved in structuring BPL’s bond, which would have allowed it to retire $320m-plus in legacy debt and move forward with capital works that would have meant vast improvements in both power generation and transmission and distribution. “Where will the Government get that money from? In the event that BPL is not allowed to raise rates in a reasonable manner, where will the administration find the money to bail BPL out?” he asked. “What is the plan? If not the Rate Reduction Bond, then what? With what funds? What structure? The bottom line on this is
money.” Despite leading passage of the RRB legislation when deputy prime minister in the last Christie administration, now-prime minister Philip Davis has argued that launching the $535m refinancing will impose too great a burden on Bahamians. Mr Davis, shortly after his election, said the “20 percent” rise in electricity costs - which will be produced by customers having to service the bond debt via their monthly light bills “cannot be justified” given that so many businesses and households are struggling to recover from COVID-19’s devastating fall-out. However, BPL’s Board under the former Minnis administration pushed back against the bid to kill-off the $535m refinancing by defending it as the “optimal solution”. They reiterated that fuel price reductions and electricity generation efficiencies stemming from the bond’s placement will - “within three years” - produce savings that outweigh the costs imposed on BPL customers from this refinancing. Pointing out that BPL’s $321m legacy debt is not going anywhere, and represents a “significant burden” to the utility’s cash flow worth $2m in monthly interest costs, the statement affirmed that the Government (meaning Bahamian taxpayer) is having to pump cash into the state-owned monopoly to keep afloat because it is unable to borrow funds by itself. The outgoing Board argued that removing this debt by paying it back through the RRB proceeds, which will remain off BPL’s balance sheet, would leave the utility free to finance transmission and distribution and other key infrastructure developments while persisting with a hedging initiative said to have already reduced customer fuel costs by between 38-44 percent. Describing the RRB bond’s placement as critical to unlocking cheaper electricity prices and stable, more reliable, energy supply, the departing directors said the $535m raise was also a critical component in their plan for BPL to achieve “an annual operational profit of 5 percent to 7 percent of gross revenues”. The RRB was to be structured such that the new
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responsible for doing something that they shouldn’t do that they get what they get.” Mr Bastian, in a rare public appearance, has served as Auditor General across multiple administrations dating back to the Hubert Ingraham-led administration between 1992-2002. The position of Auditor General, unlike like most senior public service jobs, is a position of tenure and the office holder cannot be forced out of office or transferred to another department without their consent as mandated by the constitution.
$535m debt was to be kept off BPL’s balance sheet by having it issued through a special purpose vehicle (SPV), the Bahamas Rate Reduction Bond Company Ltd. This would have allowed BPL to start afresh with a debt-free balance sheet, enabling it to invest in upgrading its own infrastructure without the need for taxpayer support. BPL customers, via a new charge added to their monthly bills, would be responsible for servicing the interest due on the RRB debt to investors who had purchased the bonds.
Speaking of the Auditor General’s powers to hold persons accountable, Mr Bastian said: “The Auditor General can only go so far and report. That comes to the proper authorities to make sure whatever is set down is followed. We only could report the facts and then the relevant authorities take it from there.”
When it came to auditing pandemic spending, Mr Bastian said: “That’s a must. We are looking at it and, as I stand here, we have been requesting information from the beginning, such as we have some files in office now that we would have requested on the food programme. “So, we are checking into, and it’s our duty to make
sure, you know, exactly how the money is spent. So, we are looking at that. The next audit reports to be released are on the Meteorological Office, Bahamas Technical and Vocational Institute (BTVI) and the Port Department, Mr Bastian said, as well as one on the Customs Department, which he indicated is completed and ready for release.
PAGE 8, Thursday, March 3, 2022
BAHAMIAN HOTEL OWNER DEFEATS LENDER’S PROBE FROM PAGE ONE Yaron Hershco. The 15 percent balance was owned by Parris Jordan. The Bahamas-based asset manager then offered a further $1.83m to finance the former Nassau Palm Resort’s redevelopment into the Courtyard by Marriott, with a portion of the funds also intended to facilitate Sunset Equities’ repurchase of Sterling’s 15 percent stake. The offer was executed and signed by Mr Hershco. However, just over one month later, on August 16, 2016, Sunset Equities entered into a new financing deal with a New York-based investment house, Stabilis Capital Management. A September 29, 2016, letter from its attorneys, Valentine Grimes & Company, asked the Central Bank’s exchange control department to approve a $12.848m loan from Stabilis. Sterling alleged that this deal, which ultimately provided $23.5m in financing and was used to partially
repay the credit it had advanced, breached the terms of its $1.83m loan. It also alleged that Sunset Equities was insolvent, and began proceedings to wind the hotel owner up. Based on a series of appraisal reports, Sterling alleged that the Courtyard by Marriott’s “current value” was between $27.343m and $28.9m. This, it argued, was exceeded by $36.348m in liabilities, creating a solvency ‘gap’ of between $7.5m and $9m. Besides the $23.5m owed to Stabilis, the liabilities also included $12.848m in “outstanding shareholder loans”. Sunset, in its initial April 6, 2017, winding-up petition called for the Supreme Court to appoint EY (Ernst & Young) duo, Roy Bailey and Igal Wizman, as liquidators of Sunset Equities. And it also sought an Order requiring Sunset Equities to hand over the Courtyard by Marriott’s profit and loss statements plus monthly, quarterly and annual reports.
COURTYARD MARRIOTT HOTEL Ross Brennan, Sterling Asset Management’s vicepresident of credit, alleged in an affidavit that Stabilis is overseeing the Courtyard by Marriott’s sale, and that the deal will likely be complete by the time the full winding-up petition was heard. “The Courtyard Marriott hotel, the main asset of the
respondent, will likely be sold to a third party by the time the petition is heard on March 31 and April 1, 2022,” he asserted. “I understand that the Courtyard Marriott Hotel is being sold under a power of sale by the lender.... I am advised by my attorneys that this is one of the reasons why discovery and inspection is needed.” The Court of Appeal, in its verdict written by president Sir Michael Barnett, said “Sterling has no right to discovery” because the obligations imposed by the
Supreme Court’s rules do not apply to winding-up proceedings. Discretion is thus left to the judge under the case management rules set out by the Companies Liquidation Rules. “The judge, in refusing to order discovery, determined that it was not necessary for determining the issue raised by the winding-up petition. If Sunset was insolvent as Sterling alleges, then Sterling, as a contributory, has no tangible interest in its winding-up,” Sir Michael wrote.
THE TRIBUNE
“If Sterling is seeking discovery to prove that Sunset is insolvent, then it is an abuse of process, as Sterling has no interest as a contributory in windingup an insolvent company. If Sterling is seeking information to show that it is a creditor, or that Sunset and its directors have acted oppressively toward it, the judge was right to refuse discovery because that was not an issue raised on this petition.” Finding that Sterling wanted to prove Sunset Equities is insolvent, Sir Michael concluded: “The judge has set out his reasons for refusing to order discovery. In my judgment, those are valid reasons. The judge is clearly of the view that the discovery application was a transparent effort to further hold this petition over the head of Sunset. “Sterling never sought to pursue the information sought through a section 68 application, pursuant to the IBC (International Business Companies) Act. This court should not set aside the exercise of that discretion unless it can be shown that it contained some error of principle or is plainly wrong.”
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GOV’T’S $206.5M DEAL WITH GOLDMAN ‘SPEAKS VOLUMES’ FROM PAGE ONE Those “sinking funds” were set up to accumulate assets that will be used to repay future foreign currency bond principal when those issues mature, and the “repo’s” terms ensure the Government retains ownership of the transferred bonds. The Government will also collect any interest paid by its US counterparts on the bonds, which will help to narrow/offset the fees and interest charged by Goldman Sachs on the deal. After 24 months, Goldman Sachs is obligated to sell the bonds back to the Davis administration at the same $206.5m price for which it originally purchased them. Describing the arrangement as “the cheapest form of financing we can get”, Mr Wilson said the Government was “very confident” it will be able to meet the $206.5m price to buy the US Treasuries back given that it was “not a bullet repayment” and did not have to be paid all at once. Repayments could be spread out over the two years. “The main thing is that Goldman Sachs is the crème de la crème of investment banking,” the financial secretary told Tribune Business. “The fact they are interested in doing a transaction with The Bahamas sends a very strong message. “We could have done a transaction with a number of institutions. The fact that Goldman Sachs wanted to be the counter-party sends the right message to the market that have the right person that believes in our strategy.” Suggesting that the “repo” counters multiple naysayers, who have argued that investors are seeking to reduce their exposure to the Bahamas government, which is having difficulty fully placing its debt issues, Mr Wilson added: “This does not signal any type of financial stress. It’s the next step in our fiscal strategy, the next transaction. “Over the last couple of months we’ve heard that the Government is desperate, scrapping. Do you think Goldman Sachs would put their name behind a country headed for bankruptcy? The sinking funds were established over 20 years ago. “This was us being prudent, ultimately, and the fact Goldman came along and entered into a transaction with the Government of The Bahamas speaks volumes as to what they think of us, and how well regarded we are internationally. It speaks volumes for us, and that’s a very important thing. The counter-party is very important.” The Ministry of Finance statement said the funds received from Goldman Sachs, which it is
understood to have been talking to since last year, will be employed for “general budgetary purposes during the 2021-2022 fiscal year”. So-called “repos” are often used to provide bridge financing, but Mr Wilson said providing US dollar funding until the Government can place a longer-term international bond was not the main purpose of the transaction. Pointing out that the Government is entering into “a high period for revenue”, he added: “This is the cheapest form of financing we can get. Any interest earned on the bonds still belongs to the Government. Under the repo, the bonds are still our bonds, so we receive the interest on them.” He added that this income stream will partially offset the fees/interest charged by Goldman Sachs, so “the net effect, the actual expense to the Government”, will be very small although no details or figures were provided on this. “It’s not a bullet repayment, so we’re very confident we can do it,” Mr Wilson said of the $206.5m that has to be repaid in 24 months’ time. “The repayment schedule will be disclosed in our future debt reports.” Revealing that this was not the first time that the Government has entered into such a “repo”, he indicated that Goldman Sachs had encouraged it to make full disclosure because “it sends a good signal to the market”. “They felt it was very important to signal to the market the relationship they have with the Government, and they thought it would be a benefit to us. We agreed,” Mr Wilson said. Based on the Government’s 2021-2022 half-year fiscal report, virtually all assets contained in the sinking funds have been included in the Goldman Sachs transaction. “During the period, contributions made to the sinking funds established to retire future debt obligations totalled $30m,” the report said. “At end-December 2021, the three arrangements earmarked for scheduled retirement of external bonds held a cumulative value of $236.5m, while the funds set aside for the two local arrangements stood at $13.4m.” The Ministry of Finance, in unveiling the February
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28, 2022, transaction with Goldman Sachs, said the deal would boost shortterm cash flow and liquidity. It added: “Under the terms of the agreement, the Government sold and transferred to Goldman Sachs International a $235.9m nominal amount of US Treasuries in consideration for a purchase price of $206.459m from Goldman Sachs. “It is intended that the purchase price received by the Government from Goldman Sachs will be used by the Government for general budgetary purposes during the 2021-2022 fiscal year. The designated Treasuries are part of the sinking funds managed by the Central Bank of The Bahamas on behalf of the Government. “During the term of the repo, subject to the Government complying with its obligations under the repo, Goldman Sachs is required to transfer to the Government amounts equal to any interest payments received on the Treasuries,” the release continued. “On the scheduled repurchase date for the repo (24 months from the purchase date), Goldman Sachs is required to sell and transfer the treasuries (or equivalent assets) back to the Government against payment by the Government of the repurchase price of $206.459m (subject to such amount being reduced by any amortisation payments made by the Government) and the compliance with all other obligations under the repo.”
Thursday, March 3, 2022, PAGE 9
PAGE 12, Thursday, March 3, 2022
Fears of $205m hit in BPL fuel hedge woe COMMONWEALTH OF THE BAHAMAS IN THE COURT OF APPEAL COMMONWEALTH OF THE BAHAMAS Industrial Tribunal Civil Appeal Side IN THE COURT OF APPEAL COMMONWEALTH OF THE BAHAMAS Industrial Tribunal Civil Appeal Side IN THE COURT OF APPEAL BETWEEN Industrial Tribunal Civil Appeal Side
FROM PAGE ONE But, amid increasing uncertainty over whether the Davis administration 2021 has No. 48 2021 No. 48 2021
No. 48
BETWEEN
BETWEEN
ISLAND HOTEL COMPANY LIMITED ISLAND HOTEL COMPANY LIMITED ISLAND HOTEL AND COMPANY LIMITED AND
Appellant Appellant Appellant
AND KENDERICK ANDERSON KENDERICK ANDERSON KENDERICK ANDERSON
Respondent Respondent
Respondent NOTICE TAKE NOTICE that by way of NoticeNOTICE of Appeal Motion filed in the Court of Appeal on the 1 day of April, A.D. 2021, IslandNOTICE Hotel Company Limited has lodged an appeal of TAKE NOTICE that by way of Notice of Appeal Motion filed in the Court of Appeal on st
the Decision of Her Honour, Mrs. Marilyn L. Meeres, Vice-President of the Industrial of April, 2021, Hotel Company Limited lodged of an appeal on of the 1st day TAKE NOTICE thatA.D. by way ofthIsland Notice Appeal Motion filed inhas the day ofofMarch A.D., 2021. The saidCourt Notice Appeal of Appeal Tribunal, delivered on the 16 the Decision of Her Honour, Mrs. Marilyn L. Meeres, Vice-President of the Industrial st of April, A.D. 2021, Island Hotel Company Limited has lodged an appeal of the 1 day Motion seeks an Order that:th dayMarilyn of March A.D., 2021. The said Notice Appeal Tribunal, delivered the 16Mrs. the Decision of Her on Honour, L. Meeres, Vice-President of the of Industrial Motion seeks an Order that:th Tribunal, the 16be day of March A.D., 2021. The said Notice of Appeal i. Thedelivered aforesaid on Decision set aside in its entirety; Motion seeks an Order that:ii. The action be dismissed against the Appellant as the Respondent was not i. The aforesaid Decision be set aside in its entirety; wrongfully dismissed; ii. The aforesaid action beDecision dismissed against the i. The aside in its Appellant entirety; as the Respondent was not iii. The Appellant’s appealbe beset allowed; and wrongfully dismissed; ii. The against Appellant as the was just not iv. Thereaction mightbe be dismissed such further and orthe other relief which the Respondent Court may deem iii. wrongfully The Appellant’s appeal be allowed; and dismissed; and equitable. iv. The There might be such further and orand other relief which the Court may deem just iii. Appellant’s appeal be allowed; and equitable. TAKE FURTHER that it was the which 17th day ofCourt February, iv. There mightNOTICE be such further andordered or otheron relief the may A.D., deem2022 just
by the and Court of Appeal that the service of the aforesaid thNotice of Appeal Motion be equitable. TAKE FURTHER NOTICE that it was ordered on the 17 day of February, A.D., 2022 effected on you by way of this Advertisement. by the Court of Appeal thatthat theitservice of the on aforesaid Appeal Motion be TAKE FURTHER NOTICE was ordered the 17thNotice day ofof February, A.D., 2022 effected on you by way of this Advertisement. by the Court of Appeal that NOTICE the service of the the hearing aforesaidofNotice of Appeal be PLEASE TAKE FURTHER that the said Notice Motion of Appeal effected on you way on of this th Motion will takebyplace the 6Advertisement. day of April A.D., 2022, at 10 o’clock in the forenoon PLEASE TAKE FURTHER NOTICE that the hearing of the said Notice of Appeal before the Court of Appeal sitting virtually and at Claughton House, Shirley & Motion will take FURTHER place on theNOTICE 6th day ofthat April 2022,ofatthe 10 o’clock in theofforenoon PLEASE TAKE theA.D., hearing said Notice Appeal PLEASE NOTICE that the said Notice of Appeal Motion and the CharlotteTAKE Streets,FURTHER Nassau, The Bahamas. before the Court of Appeal sitting virtually and at Claughton House, Shirley & th Motion will take place on the 6 day of April A.D., 2022, at 10 o’clock in the forenoon Appellant’s Submissions in support thereof can said be collected from the Chambers of the PLEASE TAKE FURTHER NOTICE that the Notice of Appeal Motion and the Charlotte Streets, Nassau, The Bahamas. PLEASE TAKE FURTHER NOTICE that the Notice offrom Appeal Motion and before the Court ofas Appeal sittingthereof virtually and at Claughton House, Shirley & Appellant’s Counsel setin out below. Appellant’s Submissions support cansaid be collected the Chambers of the the Charlotte Streets, Nassau, The Bahamas. Appellant’s Submissions in support thereof can be collected from the Chambers of the Appellant’s Counsel as set out below. Appellant’s Counsel as set out below. DATED the 3rd day of March, A.D., 2022 DATED the 3rd day of March, A.D., 2022 DATED the 3rd day of March, A.D., 2022
HARRY B. SANDS, LOBOSKY & COMPANY Magna Carta Court LOBOSKY & COMPANY HARRY B. SANDS, HARRY B. SANDS, 18 Parliament Street LOBOSKY & COMPANY Magna Carta Court Magna Carta Court Nassau, Bahamas 18 Parliament Street 18 Parliament Street Nassau, Bahamas Nassau, Bahamas Attorneys for the Appellant Attorneys for the Appellant Attorneys for the Appellant
2 2 2
THE TRIBUNE actually followed through on this, they added that, if oil prices stick at $110 per barrel, this could add a total $205m to The Bahamas’ energy costs at a critical time in the country’s postCOVID recovery. Michael Pintard, the Free National Movement’s (FNM) leader, yesterday demanded that the Davis administration “come clean” and identify “who made the ill-advised decision to essentially cancel” the BPL fuel hedging strategy that it inherited after being elected to office on September 16, 2021. In a statement, he suggested that the Ministry of Finance was to blame for the strategy’s non-continuation, and asserted that the mechanism had saved BPL’s customers a collective $55m on their fuel charges between June 2020 and January 2022. Sources spoken to during Tribune Business’ inquiries backed the savings stated by Mr Pintard, and added that the failures to execute the quarterly hedges that came due in September and December 2021 now threaten to cost Bahamian businesses and consumers dearly in their struggle to rebound from COVID-19’s devastation. Asserting that there were predictions last September, well before Russia’s conflict with Ukraine emerged as an issue, that global oil prices would breach the $100 mark by March 2022, they argued that it is now almost impossible for BPL and the Government to obtain a good fuel hedging deal beyond June 2022 because the markets are reeling from events in eastern Europe. And, outside of fuel hedging, they argued there is little the Government can do to ease BPL’s fuel charge, which typically accounts for 50-60 percent of customer bills. They explained that
it would be a breach of the Electricity Act 2016, which was passed into law by the former Christie administration, led by then-deputy prime minister Philip Davis, for the Government to intervene by subsidising fuel prices. The Act, they explained, while mandating that BPL calculate its fuel charges accurately, and that these by reviewed by the Utilities Regulation and Competition Authority (URCA), stipulates that all costs must be passed to the consumer. “There’s nothing the Government can do,” one sourced added. “If they do, they will be in violation of the fuel pass through. “These guys have painted themselves into a significant corner, and I don’t know how they are going to get out of it because of bad, illadvised decisions that were made. It’s been nothing but a disservice to the Bahamian people. There’s no way to correct this. Bahamians are going to have to bear the brunt of it. “It’s one of those things that, if you don’t do certain things in a certain time, there is no way to go back and fix it. It’s unfortunate what has happened, and extremely unfortunate for the Bahamian people. Trying to hedge now given what is going on in Ukraine, you’ll never get a good deal. The commodities markets are too uncertain.” Alfred Sears QC, minister of works and public utilities, could not be reached for comment before press time despite numerous phone calls being made and messages sent. Clint Watson, the Prime Minister’s press secretary, contacted in Belize at the CARICOM summit, was provided with details of this newspaper’s inquiries at his request but did not respond before press time. Simon Wilson, the Ministry of Finance’s financial secretary, declined to be drawn into a political row with the FNM on the basis that he is a civil servant and therefore apolitical. However, he reiterated that himself and the Ministry of Finance both support fuel hedging, and pledged to work with BPL on implementing any strategy that would result in predictable, stable electricity costs. “For BPL, I support fuel hedging,” he said. “We are here at the ministry to assist them. If they ask us for assistance, we are here to facilitate that. We all want stable fuel prices, we all want lower energy costs.” However, Tribune Business sources backed Mr Pintard in suggesting that the Davis administration’s “reticence” to continue the fuel hedging initiative may cost Bahamian consumers and the wider economy dearly. They argued that, following the general election, Ministry of Finance officials were sceptical of the hedging strategy left in place, and queried whether the structure would generate optimal results. It was also suggested that the Davis administration viewed it as “a subsidy for the large hotels” and “a subsidy for rich people” even though all Bahamians rich and poor - are impacted by BPL. Mr Sears’ comments on November 23, 2021, picked up on by Mr Pintard yesterday, suggested there was some truth to this as he said the Government was discussing whether the scope of BPL’s fuel hedging should be “narrowed” to assist only “vulnerable” households. This newspaper, meanwhile, was told that, under the Minnis administration, that BPL’s fuel hedging initiative was structured as a options where, if global oil prices went lower than the hedge, the state-owned energy monopoly simply bought at market costs.’ “It’s no easy thing to do,” one source said of BPL’s fuel hedge. “If you get it wrong, you can easily lose money. With BPL’s finances in the drain, there was no easy way to get a credit line.” As a result, the former administration elected to work with the Inter-American Development Bank (IDB), which has a unit with expertise in setting up fuel hedging structures. BPL and the Government were also able to “piggy back” on the latter’s existing lines of credit with the IDB to “back stop” the hedge. Tribune Business understands that BPL had been seeking to hedge its fuel costs, in a bid to deliver stable, consistent energy prices, as part of the proposed 25-year Power
Purchase Agreement (PPA) with Shell North America. The utility established a hedging committee, and strategy and rules to govern the practice. Deloitte & Touche, the accounting firm now hired by the Davis administration to determine BPL’s approach to fuel hedging, was employed as a consultant under the former government to look at fuel prices, determine the hedge deals available and the fuel types involved. Once the then-BPL Board approved the hedging recommendation, it was sent to the Ministry of Finance and IDB for their approval, before going to the Minnis Cabinet for final sign-off. The hedging strategy was reviewed on a quarterly basis. However, with the last hedging strategy executed on June 2021, this newspaper was told that the next quarterly review and sign-off - scheduled for September 2021 - became caught up in the election held that month and subsequent transition to the Davis administration. No approvals for the September and December were forthcoming. Tribune Business was told that BPL’s outgoing Board “advised the new Board of what hedging was about, and that it needed to be reviewed quarterly and executed as necessary”. They added that Mr Sears was also briefed on the matter, but the delay in acting “meant that by the time BPL had agreed a price on the extension the price had moved”. “BPL had these layered contracts,” another added. “Some of those started to expire, and because nothing happened in September and December, there was no way to backstop it. Once those contracts expire, there is nothing to backstop them with.” It was also suggested that BPL’s now-aborted plan to raise its fuel charge by 30 percent, or 3.2 cents per kilowatt hour to 13.7 cents, reflects the fact that excess reserves previously built up by favourable hedging positions may have been depleted to a negative position. The utility now needs to bring this account back into balance, hence the proposed increase that was rejected. Mr Pintard, meanwhile, called for the Davis administration to provide a full explanation for why BPL’s planned fuel charge increase was pulled at the last minute. Referring to the hedging strategy, he said: “Why did the Prime Minister allow the Ministry of Finance to overrule the decision by the Board and executive of BPL, and no doubt the minister, that the hedging programme be continued? “This must be explained, especially in the face of rising fuel costs, which must ultimately be passed on to consumers. Who was it that made the ill-advised decision to essentially cancel the programme, resulting in a comedy of errors that has embarrassed the minister and the administration?” The Opposition leader continued: “We call on the administration to come clean and explain to the Bahamian public the fate of the unprecedented fuel hedging programme left in place at BPL by the FNM administration, which has been definitively demonstrated to have saved Bahamians and the public purse about $55m to-date as projected when the programme was initially put in place. “The Davis administration must come clean and tell the Bahamian public if the usual quarterly hedging trades were executed after the last trade that was conducted in June 2021 by the FNM administration. If subsequent hedging transactions were not executed by BPL and the Ministry of Finance, who gave the order to cancel these hedge transactions and on whose authority was this order given? “By July 2021, the average residential customer bills were down by 24 percent versus June 2018 due mostly to the sustained reduction in the fuel cost underpinned by the fuel hedging programme. BPL reported that from August 2020 to July 2021, customers and the Public Treasury saved $15m as a result of the fuel hedge programme. “In fact, BPL executives were confident that if the current trend continued, the company could project savings of about $50m to customers and the Public Treasury from August 2021 to January 2022.”
THE TRIBUNE
Thursday, March 3, 2022, PAGE 13
GAS prices are advertised at over five dollars a gallon Monday, Feb. 28, 2022, in Los Angeles. Photo:Marcio Jose Sanchez/AP
UKRAINE WAR UPENDS BIDEN’S AGENDA ON ENERGY, CLIMATE CHANGE By MATTHEW DALY Associated Press WASHINGTON (AP) — As Russian troops move deeper into Ukraine, President Joe Biden is taking steps to rein in rising energy costs even if those moves run counter to his agenda for addressing climate change. Biden announced on Tuesday that he is releasing 30 million barrels of oil from U.S. strategic reserves as part of a 31-nation effort to help ensure that supplies will not fall short after Russia’s invasion of its European neighbor. The release follows ones ordered in November that also were coordinated with U.S. allies. “These steps will help blunt gas prices here at home,’’ Biden said in his State of the Union address. The U.S. stands ready to do more if necessary to protect American businesses and consumers, he said. The focus on high gas prices and increased oil flow is a far cry from Biden’s pledge to wean Americans off oil and other fossil fuels and cut planet-warming emissions in half by 2030. Still, it reflects political realities. Russia’s invasion of Ukraine has shaken markets worldwide. Oil prices have soared, with U.S. benchmark crude surpassing $110 per barrel — the highest price in a decade. Biden’s $2 trillion social and environmental policy bill, which includes about $550 billion for climate change efforts, has been stalled for months in the evenly divided Senate. It remains unclear when or if the bill will come up for a vote or what would be included in it. Biden’s hourlong speech Tuesday night touched only lightly on climate and offered no new policy initiatives to address global warming. The omission was especially notable coming days after a new U.N. report warned that climate change is about to get significantly worse and will likely make the world sicker, hungrier, poorer, gloomier and far more dangerous. The White House says all tools remain on the table, but harsh U.S. sanctions against Russia do not target its energy sector, despite bipartisan calls to ban Russian oil imports, at least temporarily. Banning Russian imports could restrict global oil supplies and “raise prices at the gas pump for Americans,’’ White House spokeswoman Karine Jean-Pierre said Wednesday. “That’s something that we’re very aware of.’’ “If there was ever a time to be energy independent, it is now,’’ countered Sen. Joe Manchin, D-W.Va., chairman of the Senate Energy and Natural Resources Committee and a prominent supporter of fossil fuels such as coal and natural gas that are crucial to his energyproducing state. In 2021, the U.S. imported roughly 245 million barrels of crude oil and petroleum products from Russia — a one-year
increase of 24%, according to the U.S. Energy Information Administration. “It makes no sense at all for us to rely on energy from a country that is actively engaging in acts of war against a freedom-seeking democracy — Ukraine — when we are blessed with abundant energy resources right here in America,’’ Manchin said Tuesday in comments that were echoed across the political spectrum. Liberal Sen. Ed Markey, D-Mass., a longtime climate hawk, introduced legislation to ban imports of Russian oil and petroleum products. “We cannot criticize Europe for its reliance on Russian energy as we pour dirty oil money into Russia,’’ Markey said. Republicans, seizing the political advantage, clamored for Biden to immediately reverse policies that they said have slowed U.S. energy production — including cancellation of the Keystone XL pipeline from Canada and a moratorium on new oil and gas leases on public lands and waters. “Biden must end his war on American energy production so the United States and our allies can have access to affordable, secure energy,” said Louisiana Rep. Steve Scalise, the second-ranking House Republican. He and other Republicans urged severe sanctions on Russian energy production to take away leverage and funding that Russian President Vladimir Putin used to attack Ukraine. “America’s energy dominance is our strongest weapon against Putin,’’ said Republican Reps. Bruce Westerman of Arkansas and Cathy McMorris Rodgers of Washington state. The pair introduced a bill Tuesday that would require Biden to make an “energy security plan” within 30 days and force him to “unleash America’s oil and natural gas production to offset Russian imports” that would be banned under the legislation. Westerman is the top Republican on House Natural Resources Committee while McMorris Rodgers is the senior GOP member on House Energy and Commerce Committee. Some Democrats, seeking ways to ease pain at the pump and nervous about a potential voter backlash in the November elections, are pushing Biden to temporarily suspend the federal gas tax. A bill to do that is cosponsored by Democratic Sens. Mark Kelly of Arizona and Maggie Hassan of New Hampshire, both in tight races for reelection. The White House has yet to state a position on a gas tax holiday, but a spokesman said officials are “coordinating actively with major energy consumers and producers,” with the goal of providing “relief at the gas pump for American households and businesses.’’ Gas prices averaged nearly $3.65 a gallon on Wednesday, up 93 cents from a year ago, according to the AAA motor club. It was just last fall that Biden’s boasted of historic progress on addressing global warming at a U.N.
climate conference in Scotland. Now, the Ukraine war “seems likely to consume bandwidth that administration officials might otherwise devote to energy transition,’’ said Kevin Book, an energy analyst and managing director at ClearView Energy Partners.
PAGE 14, Thursday, March 3, 2022
THE TRIBUNE
SITE SUPERVISOR
IN this photo provided by the New York Stock Exchange, traders Ben Tuchman, left, and Colby Nelson work on the floor, Wednesday, March 2, 2022. Wall Street took another sharp swing Wednesday, this time back to rally mode, as stocks and Treasury yields rose even as oil prices continued to climb. Photo:Allie Joseph/AP
WALL STREET ROARS BACK TO RALLY MODE, EVEN AS OIL RISES ANEW By STAN CHOE AND ALEX VEIGA AP Business Writers
NEW YORK (AP) — Wall Street took another sharp swing Wednesday, this time back to rally mode, as stocks and Treasury yields rose even as U.S. crude oil
prices climbed to the highest level in more than a decade. The S&P 500 rose 1.9%, recouping its losses from earlier in the week, after Federal Reserve Chair Jerome Powell said he supports a more modest rise in interest rates this month than some investors had feared. He also said he still expects inflation, which is at its highest level in 40 years, to moderate through the year. “Although we’ve had some Fed governors lately saying ‘Oh my God, this is such a huge crisis,’ the conventional wisdom is slow and steady wins the race right now,” said J.J. Kinahan, chief strategist with TD Ameritrade. The comments helped drive the market higher, adding to modest gains from earlier in the morning. Other areas of the market also gained ground a day after worries about Russia’s invasion of Ukraine sent the S&P 500 tumbling 1.5% and prices soaring for all kinds of commodities. Treasury yields climbed after falling sharply earlier this week as investors clamored for safety. Gold receded, and a measure of nervousness among stock investors on Wall Street eased after swinging sharply in recent days. “We’ve seen wild swings, but not major changes in the indexes,” said Jeff Kleintop, chief global investment strategist at Charles Schwab. “Geopolitical conflicts can be very unsettling, but you don’t tend to get bear markets from these, just periods of volatility.” Markets have been spinning wildly as investors try, sometimes blindly, to gauge how high Russia’s attack on Ukraine will push prices for oil, wheat and other commodities where the region is a major producer. On top of that are worries about what upcoming hikes in interest rates by the Federal Reserve and other central banks around the world will do to the economy and inflation. Powell said in testimony to Congress that the Fed is set to raise its key interest rate for the first time since 2018. But he also said the attack on Ukraine may have muddied conditions, with its impact on the U.S. economy “highly uncertain,” adding that “we’re never on autopilot.” The Fed is balancing a tightrope where it needs to raise interest rates enough to rein in the highest inflation in generations but not so much that it pushes the economy into a recession. All the while, higher interest rates tend to put downward pressure on stocks and most other investments. The yield on the 10-year Treasury leaped to 1.89% from 1.72% late Tuesday, while the two-year Treasury surged to 1.53% from 1.31%. Yields, though, remain well below where they were before Russia’s invasion. The 10-year yield was above 2% last month, before it plunged as investors plowed into
investments seen as safer amid worries about war. The price of U.S. oil jumped another 7% to $110.60 per barrel, the highest level in just over a decade. Brent crude, the international standard, climbed 7.6% to $112.93 per barrel. Leaders of OPEC and other major oil-producing countries decided Wednesday to stick with their plan to gradually increase oil production. The OPEC+ coalition of oil producers, made up of OPEC members led by Saudi Arabia and non-cartel members led by Russia, chose to increase oil production by 400,000 barrels per day in April. The move follows a perhaps less impactful decision by the United States and other major governments in the International Energy Agency to release 60 million barrels from strategic reserves to boost supplies. “Markets dismissed the notion that 60 million barrels of strategic reserves released will be consequential to the risks of Russian supply jeopardized,” Tan Boon Heng of Mizuho Bank said in a report. “Russia pumps more than that in just six days.” In the stock market, all the uncertainty about oil prices and inflation has led to big swings not only by the day but also by the hour. The S&P 500 swung between gains of 0.4% and 2.2% Wednesday. It closed 80.28 points higher to 4,386.54. The Dow Jones Industrial Average rose 596.40 points, or 1.8%, to 33,891.35, while the Nasdaq composite gained 219.56 points, or 1.6%, to 13,752.02. More than 90% of stocks in the S&P 500 rose, with technology, financial and health care companies accounting for a big share of the rally. Bank stocks led the gainers, climbing 2.6%, as higher longer-term interest rates can mean bigger profits for them making loans. Energy stocks also helped lift the index as they rode higher energy prices. Ross Stores climbed 6.1% after the retail chain reported stronger profit for its last quarter than analysts expected. Ford jumped 8.4% after it said it was accelerating its transformation into an electric-vehicle company and split its EV and internal combustion operations into two individual businesses. Stock markets around the world were mixed. France’s CAC 40 rose 1.6%, Germany’s DAX returned 0.7% and Japan’s Nikkei 225 fell 1.7%. Russia’s central bank said stock trading on the Moscow exchange would remain closed Wednesday for a third day, though trading of currencies and precious metals would resume for the first time this week. Late Tuesday, President Joe Biden announced he was joining U.S. allies in closing the country’s air space to Russian aircraft, the latest in a set of sanctions and other measures meant to isolate Russia.
PAGE 16, Thursday, March 3, 2022
By DASHA LITVINOVA Associated Press
Russians start feeling the heat of Ukraine war sanctions
MOSCOW (AP) — In the days since the West imposed sanctions on Russia over its invasion of Ukraine, ordinary Russians are feeling the painful effects — from payment systems that won’t operate and
THE TRIBUNE problems withdrawing cash to not being able to purchase certain items. “Apple Pay hasn’t been working since yesterday. It was impossible to pay with it anywhere — in a bus, in a cafe,” Moscow resident Tatyana Usmanova told The Associated Press. “Plus, in one supermarket they limited the amount of essential goods one person could buy.” Apple announced that it would stop selling its iPhone and other popular products in Russia along with limiting services like Apple Pay as part of a larger corporate backlash to protest the invasion. Dozens of foreign and international companies have pulled their business out of Russia. Major car brands halted exports of their vehicles; Boeing and Airbus suspended supply of aircraft parts and service to Russian airlines; major Hollywood studios halted their film releases; and the list will likely keep growing. That’s on top of the United States and other Western nations hitting Russia with sanctions of unprecedented breadth and severity. They have thrown major Russian banks off the SWIFT international payment system, limited high tech exports to Russia and severely restricted
Moscow’s use of its foreign currency reserves. Russians in Moscow and other cities talked to The AP about how those moves have played out in their daily lives, pointing to problems with converting rubles into foreign currency, long lines at ATMs and certain bank cards failing them. Irina Biryukova in Yaroslavl, in a city about 250 kilometers northeast of Moscow, said she could only deposit a limited amount of money into her bank account through the bank ATMs. “The majority of ATMs (of this bank) don’t work to deposit (money),” Biryukova said. Food prices, according to some businesses, have started soaring, too. “All the main ingredients we prepare our products from have gone up in price by 30-40%,” said Ilya Oktavin, who runs delivery service at a Perm sushi bar. Certain goods are also harder to come by because of actions by companies like Nike, which on Tuesday night halted online sales with a statement on the company’s website saying it “can’t guarantee delivery of the goods to shoppers in Russia.” On Wednesday, H&M announced suspending “all sales” in the country.
PEOPLE stand in line to withdraw money from an ATM in Sberbank in St. Petersburg, Russia, Friday, Feb. 25, 2022. In the days since the West imposed sanctions on Russia over its invasion of Ukraine, ordinary Russians are feeling the painful effects — from payment systems that won’t operate and problems withdrawing cash to not being able to purchase certain items. Photo:Dmitri Lovetsky/AP
NOTICE MARKET REPORT www.bisxbahamas.com
WEDNESDAY, 2 MARCH 2022
BISX ALL SHARE INDEX: BISX LISTED & TRADED SECURITIES 52WK HI 6.70 40.15 2.05 2.90 2.60 6.05 10.05 3.60 9.02 3.10 7.15 13.00 2.71 10.10 11.06 10.75 15.00 4.00 10.00 16.50
52WK LOW 4.50 32.12 1.46 2.20 1.30 5.50 6.00 2.82 4.25 2.27 5.00 9.75 1.99 6.50 9.50 8.40 13.10 3.42 8.00 15.50
SECURITY AML Foods Limited APD Limited Benchmark Bahamas First Holdings Limited Bank of Bahamas Bahamas Property Fund Bahamas Waste Cable Bahamas Commonwealth Brewery Commonwealth Bank Colina Holdings CIBC FirstCaribbean Bank Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank (Bahamas) Limited Focol Finco J. S. Johnson
PREFERENCE SHARES 1.00
1.00
1000.00 1000.00 1000.00 1000.00
1000.00 1000.00 1000.00 1000.00
1.00 10.00 1.00
1.00 10.00 1.00
Bahamas First Holdings Preference Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Fidelity Bank Bahamas Class A Focol Class B
CORPORATE DEBT - (percentage pricing) 52WK HI 100.00 100.00
52WK LOW 100.00 100.00
SECURITY Fidelity Bank (Note 22 Series B+) Bahamas First Holdings Limited
CLOSE
CHANGE
%CHANGE
YTD
YTD%
2246.37
-0.40
-0.02
18.13
0.81
SYMBOL AML APD BBL BFH BOB BPF BWL CAB CBB CBL CHL CIB CWCB DHS EMAB FAM FBB FCL FIN JSJ BFHP CAB6 CAB8 CAB9 CAB10 CHLA FBBA FCLB SYMBOL FBB22 BFHB
BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 102.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.98 100.00
104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 96.71 93.97 94.12 91.00 90.95 89.02 89.62 89.00 90.24 90.73
MUTUAL FUNDS 52WK HI 2.50 4.67 2.20 207.86 207.68 1.72 1.83 1.81 1.05 9.37 11.83 7.54 16.64 12.84 10.77 10.00 10.43 14.89
52WK LOW 2.11 3.30 1.68 164.74 116.70 1.68 1.73 1.75 1.01 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20
Bahamas Note 6.95 (2029) BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-7Y BGRS FX BGR106036 BGRS FX BGR117037 BGRS FX BGR118037 BGRS FX BGR125238 BGRS FX BGR127139 BGRS FX BGR127149 BGRS FX BGR129249 BGRS FX BGR131249 BGRS FX BGR132249 BGRS FX BGR136150
BAH29 BG0107 BG0207 BG0130 BG0230 BG0307 BG0330 BG0407 BSBGR1060361 BSBGR1170376 BSBGR1180375 BSBGR1252380 BSBGR1271398 BSBGR1271497 BSBGR1292493 BSBGR1312499 BSBGR1322498 BSBGR1361504
LAST CLOSE 5.30 39.95 2.04 2.31 2.49 6.05 9.50 3.30 7.99 2.82 7.15 13.00 1.91 10.06 11.37 10.75 15.00 3.94 9.85 15.50 1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00 LAST SALE 100.00 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 89.62 100.00 100.00 100.00
CLOSE 5.30 39.95 2.04 2.31 2.49 6.05 9.50 3.30 7.99 2.82 7.15 13.00 1.95 10.06 11.37 10.75 15.00 3.93 9.85 15.50 1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00
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
VOLUME
100
25,600
0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
CLOSE 100.00 100.00
CHANGE 0.00 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 89.62 100.00 100.00 100.00
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 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 Leno Financial Conservative Fund Leno Financial Aggressive Fund Leno Financial Balanced Fund Leno Financial Global Bond Fund RF Bahamas Opportunities Fund - Secured Balanced Fund RF Bahamas Opportunities Fund - Targeted Equity Fund RF Bahamas Opportunities Fund - Prime Income Fund RF Bahamas International Investment Fund Limited - Equities Sub Fund RF Bahamas International Investment Fund Limited - High Yield Income Fund RF Bahamas International Investment Fund Limited - Alternative Strategies Fund Colonial Bahamas Fund Class D Colonial Bahamas Fund Class E Colonial Bahamas Fund Class F
MARKET TERMS
CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.04 0.00 0.00 0.00 0.00 (0.01) 0.00 0.00
(242) 323‐2330 (242) 323‐2320 EPS$ 0.239 0.932 0.000 0.140 0.070 1.760 0.369 -0.438 0.140 0.184 0.449 0.722 0.102 0.467 0.646 0.728 0.816 0.203 0.939 0.631 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
VOLUME
DIV$ 0.170 1.260 0.020 0.080 0.000 0.000 0.260 0.000 0.000 0.120 0.220 0.720 0.434 0.060 0.328 0.240 0.540 0.120 0.200 0.610 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
INTEREST Prime + 1.75% 6.25% 6.95% 4.50% 4.50% 6.25% 6.25% 4.50% 6.25% 4.25% 5.40% 5.20% 5.22% 5.00% 5.00% 5.50% 5.55% 5.60% 5.65% 5.69%
NAV 2.50 4.67 2.20 204.67 199.97 1.72 1.83 1.81 1.01 9.37 11.79 7.54 15.94 12.47 10.74 N/A 10.43 14.89
YTD% 12 MTH% 0.34% 4.30% -0.06% 5.21% 0.21% 2.72% 1.37% 3.18% 8.18% 14.94% 0.26% 2.76% 0.36% 2.37% 0.28% 2.51% -1.31% -3.43% -0.02% 10.36% -0.33% 18.23% 0.22% 3.05% -3.89% 14.76% -1.04% -2.57% 0.81% 4.20% N/A N/A 3.00% 25.60% 7.90% 48.70%
P/E 22.2 42.9 N/M 16.5 N/M N/M 25.7 -7.5 57.1 15.3 15.9 18.0 19.1 21.5 17.6 14.8 18.4 19.4 10.5 24.6 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000
YIELD 3.21% 3.15% 0.98% 3.46% 0.00% 0.00% 2.74% 0.00% 0.00% 4.26% 3.08% 5.54% 22.26% 0.60% 2.88% 2.23% 3.60% 3.05% 2.03% 3.94% 0.00% 0.00% 0.00% 0.00% 0.00% 6.25% 7.00% 6.50%
MATURITY 19-Oct-2022 30-Sep-2025 20-Nov-2029 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2022 26-Jun-2045 15-Oct-2022 4-Aug-2036 14-Jul-2037 13-Oct-2037 15-Oct-2038 15-Jan-2039 15-Jan-2049 15-Apr-2049 15-Jul-2049 15-Oct-2049 21-Apr-2050
NAV Date 31-Jan-2022 31-Jan-2022 28-Jan-2022 30-Sep-2021 30-Sep-2021 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Mar-2021 31-Mar-2021 31-Mar-2021
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
NOTICE is hereby given that LUIS EMILLO CABRERA of Nassau Village, Nassau, Bahamas, is applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 24th day of February, 2022 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.
NOTICE NEW GUIDE GROUP LIMITED (a) NEW GUIDE GROUP LIMITED 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 2nd March, 2022 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 March, A. D. 2022 _______________________________ Bukit Merah Limited Liquidator
NOTICE BLESSINGS FORTUNE HOLDINGS LIMITED (a) BLESSINGS FORTUNE HOLDINGS LIMITED 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 2nd March, 2022 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 March, A. D. 2022 _______________________________
TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | CORALISLE 242-502-7525 | LENO 242-396-3225 | BENCHMARK 242-326-7333
Bukit Merah Limited Liquidator
PAGE 20, Thursday, March 3, 2022
THE TRIBUNE
ILLINOIS' EX-HOUSE SPEAKER CHARGED IN $3M BRIBERY SCHEMES By MICHAEL TARM AND JOHN O'CONNOR Associated Press CHICAGO (AP) — Michael Madigan, the former speaker of the Illinois House and for decades one of the nation's most powerful legislators, was charged with a nearly $3 million racketeering and bribery scheme Wednesday, becoming the most prominent politician swept up in a federal investigation of entrenched government corruption in the state. Madigan, 79, is charged in the 22-count indictment with racketeering conspiracy, using interstate
facilities in aid of bribery, wire fraud and attempted extortion. Madigan, who resigned from the Legislature a year ago, was the longest-serving state House speaker in modern U.S. history and was nicknamed the "Velvet Hammer" for his insistence on strict party discipline. A procession of senior Illinois politicians, including three governors, was charged during his tenure, but politicians long believed the savvy Madigan would never be among them. The 106-page indictment alleges Madigan used not just his role as speaker, but various positions of power
to further his alleged criminal enterprise, including his chairmanship of the Illinois Democratic Party. It also accuses Madigan of reaping the benefits of private legal work illegally steered to his law firm, including from firms with matters before the state or the city of Chicago. It refers to the alleged, decade-long conspiracy as "The Madigan Enterprise," saying its purpose was "to preserve and to enhance Madigan's political power and financial well-being" and to "reward Madigan's political allies," including by using his stranglehold over the legislative process.
Madigan, in a written statement, "adamantly" denied the accusations. "I was never involved in any criminal activity," he said. A statement from his lawyers added: "Neither the law nor the facts support these baseless charges, and the evidence will prove it." The indictment puts the value of the alleged schemes, in bribes and illegal transactions, at at least $2.8 million. The filing includes alleged communications in which Madigan appeared agree to pay-to-play proposals. In one instance in 2018, Madigan met with an
unnamed Chicago alderman who asked Madigan for help in landing a state board appointment that paid $100,000 a year in exchange for sending legal work in the alderman's ward to Madigan's law firm. "Just leave it in my hands," Madigan told him, according to the indictment. In 2020, the Chicago Democrat was implicated in a long-running bribery scheme involving the state's largest electric utility, ComEd, a key focus of Wednesday's filing. Court filings at the time didn't name Madigan directly but made it clear he was the person in documents
THE WEATHER REPORT
5-Day Forecast
TODAY
ORLANDO
High: 84° F/29° C Low: 60° F/16° C
TAMPA
SATURDAY
SUNDAY
MONDAY
Partly sunny with a shower or two
Partly cloudy with showers around
Mostly sunny and increasingly windy
Strong winds gradually subsiding
Mostly sunny and windy
Sunshine with winds subsiding
High: 80°
Low: 70°
High: 80° Low: 71°
High: 81° Low: 71°
High: 81° Low: 72°
High: 82° Low: 70°
AccuWeather RealFeel
AccuWeather RealFeel
AccuWeather RealFeel
AccuWeather RealFeel
AccuWeather RealFeel
AccuWeather RealFeel
81° F
67° F
82°-68° F
81°-69° F
83°-71° F
86°-71° F
The exclusive AccuWeather RealFeel Temperature® is an index that combines the effects of temperature, wind, humidity, sunshine intensity, cloudiness, precipitation, pressure and elevation on the human body—everything that affects how warm or cold a person feels. Temperatures reflect the high and the low for the day.
almanac
E
W
ABACO
S
N
High: 76° F/24° C Low: 70° F/21° C
7-14 knots
S
High: 81° F/27° C Low: 69° F/21° C
7-14 knots
FT. LAUDERDALE
FREEPORT
High: 80° F/27° C Low: 70° F/21° C
E S
E
W
WEST PALM BEACH
W
uV inDex toDay
FRIDAY
N
N
| Go to AccuWeather.com
TONIGHT
High: 84° F/29° C Low: 64° F/18° C
High: 79° F/26° C Low: 66° F/19° C
MIAMI
High: 80° F/27° C Low: 70° F/21° C
6-12 knots
KEY WEST
High: 79° F/26° C Low: 71° F/22° C
ELEUTHERA
NASSAU
High: 80° F/27° C Low: 70° F/21° C
Forecasts and graphics provided by AccuWeather, Inc. ©2022
N
The higher the AccuWeather UV IndexTM number, the greater the need for eye and skin protection.
tiDes For nassau High
Ht.(ft.)
Low
Ht.(ft.)
Today
8:10 a.m. 8:33 p.m.
3.1 2.9
1:58 a.m. -0.6 2:30 p.m. -0.6
Friday
8:53 a.m. 9:17 p.m.
3.0 2.9
2:46 a.m. -0.5 3:11 p.m. -0.5
Saturday
9:35 a.m. 10:01 p.m.
2.8 2.8
3:32 a.m. -0.4 3:51 p.m. -0.4
Sunday
10:16 a.m. 10:44 p.m.
2.5 2.7
4:18 a.m. -0.2 4:30 p.m. -0.2
Monday
10:58 a.m. 11:29 p.m.
2.3 2.6
5:04 a.m. 5:10 p.m.
0.0 0.0
Tuesday
11:42 a.m. -----
2.1 -----
5:52 a.m. 5:53 p.m.
0.3 0.1
Wednesday 12:17 a.m. 12:31 p.m.
2.4 1.9
6:45 a.m. 6:40 p.m.
0.5 0.3
sun anD moon Sunrise Sunset
6:31 a.m. Moonrise 6:13 p.m. Moonset
7:20 a.m. 7:21 p.m.
First
Full
Last
New
Mar. 10
Mar. 18
Mar. 25
Apr. 1
CAT ISLAND
E
W
High: 79° F/26° C Low: 73° F/23° C
N
S
E
W
6-12 knots
S
6-12 knots Shown is today’s weather. Temperatures are today’s highs and tonight’s lows.
Statistics are for Nassau through 1 p.m. yesterday Temperature High ................................................... 77° F/25° C Low .................................................... 72° F/22° C Normal high ....................................... 78° F/26° C Normal low ........................................ 65° F/18° C Last year’s high ................................. 84° F/29° C Last year’s low ................................... 67° F/19° C Precipitation As of 1 p.m. yesterday ................................. 0.00” Year to date ................................................. 4.34” Normal year to date ..................................... 2.98”
High: 78° F/26° C Low: 72° F/22° C
referred to as "Public Official A." The indictment names Michael F. McClain, Madigan's close friend, as a co-defendant. It alleges they arranged for businesses including ComEd to make payments to Madigan's associates for their loyalty to Madigan. McClain served with Madigan in the House in the 1970s and early 1980s before becoming a lobbyist. One of his clients was ComEd. According to the new indictment, McClain in 2016 sent an email pressuring two associates to resolve a dispute over a legal bill Madigan would want paid.
ANDROS
SAN SALVADOR
GREAT EXUMA
High: 79° F/26° C Low: 73° F/23° C
High: 79° F/26° C Low: 74° F/23° C
N
High: 79° F/26° C Low: 70° F/21° C
E
W S
LONG ISLAND
tracking map
High: 79° F/26° C Low: 74° F/23° C
7-14 knots
MAYAGUANA High: 80° F/27° C Low: 73° F/23° C
Shown is today’s weather. Temperatures
CROOKED ISLAND / ACKLINS
are today’s highs and tonight’s lows.
RAGGED ISLAND High: 79° F/26° C Low: 74° F/23° C
H
High: 79° F/26° C Low: 74° F/23° C
GREAT INAGUA High: 82° F/28° C Low: 74° F/23° C
N
E
W
E
W
N
S
S
7-14 knots
8-16 knots
marine Forecast ABACO ANDROS CAT ISLAND CROOKED ISLAND ELEUTHERA FREEPORT GREAT EXUMA GREAT INAGUA LONG ISLAND MAYAGUANA NASSAU RAGGED ISLAND SAN SALVADOR
Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday:
WINDS NE at 7-14 Knots ENE at 8-16 Knots NE at 6-12 Knots ENE at 8-16 Knots ENE at 7-14 Knots ENE at 10-20 Knots ENE at 7-14 Knots NE at 8-16 Knots NE at 7-14 Knots ENE at 10-20 Knots ENE at 7-14 Knots ENE at 8-16 Knots NE at 6-12 Knots ENE at 8-16 Knots NE at 8-16 Knots NE at 8-16 Knots ENE at 7-14 Knots ENE at 8-16 Knots NE at 7-14 Knots ENE at 8-16 Knots ENE at 7-14 Knots ENE at 8-16 Knots NE at 7-14 Knots ENE at 8-16 Knots NE at 7-14 Knots ENE at 8-16 Knots
WAVES 3-5 Feet 3-5 Feet 0-1 Feet 1-2 Feet 3-6 Feet 3-6 Feet 2-4 Feet 2-4 Feet 3-6 Feet 4-7 Feet 1-3 Feet 1-3 Feet 1-2 Feet 1-2 Feet 2-4 Feet 2-4 Feet 1-3 Feet 2-4 Feet 3-6 Feet 3-6 Feet 1-3 Feet 2-4 Feet 2-4 Feet 2-4 Feet 1-3 Feet 2-4 Feet
VISIBILITY 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 8 Miles 8 Miles 9 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 8 Miles 7 Miles 10 Miles 6 Miles 10 Miles 8 Miles 6 Miles 10 Miles 8 Miles 6 Miles 10 Miles 5 Miles
WATER TEMPS. 76° F 76° F 77° F 77° F 78° F 78° F 79° F 79° F 77° F 77° F 77° F 77° F 78° F 78° F 80° F 80° F 79° F 79° F 78° F 78° F 77° F 77° F 79° F 79° F 78° F 78° F