03072018 business

business@tribunemedia.net

WEDNESDAY, MARCH 7, 2018

$4.45

$4.59

$4.41

$4.63

Cable ‘turning corner on plan’ despite $31m loss

Chamber chief: ‘Not right time’ for extra BPL debt charge

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

C

able Bahamas’ top executive yesterday said Aliv and its Florida investments will “turn the corner on plan” within the next 12-18 months despite a near-$31 million half-year loss.

Anthony Butler, the BISX-listed communications provider’s chief executive, told Tribune Business that the group was “exactly on target” in executing its growth strategy and “pretty upbeat on the future over the next 24 months”.

His comments came as Cable Bahamas unveiled

* CEO: ‘We’re upbeat on future over next 2 years’ * BISX-listed firm ‘bang on target’ to deliver returns * Current liabilities exceed assets; cash pile halves a 57.9 per cent year-overyear increase in half-year losses for the six months to end-December, which rose from $19.467 million for the last six months of 2016 to $30.736 million.

Around 50 per cent, or $15.547 million, of this ‘red ink’ was generated by Cable Bahamas’ 48.75 per cent minority stake in Aliv, the new mobile operator, which is still in ‘growth mode’ and incurring costs to acquire

SEE PAGE 5

FINCO PROFITS NEAR-DOUBLE ON 50% LOAN PROVISION FALL

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net FINANCE Corporation of the Bahamas (FINCO) profits near-doubled in 2017 due to a more than 50 per cent drop in loan loss provisions, even though bad credit increased to $121 million.

Royal Bank of Canada’s (RBC) mortgage arm, in financial statements released yesterday, unveiled an improved financial performance even though

* BUT STILL HAS OVER $120M IN ‘BAD CREDIT’ * TROUBLED LOANS INCREASE AS PORTFOLIO % * STAFF COSTS DROP 35% FROM RBC INTEGRATION impaired (non-performing) loans increased slightly as a percentage of its total gross credit portfolio.

SEE PAGE 5

BAHAMAS LEADS CARIBBEAN ON BROADBAND INTERNET COSTS

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net CABLE Bahamas is arguing that this nation has the lowest monthly fixed broadband Internet charges in the Caribbean, coming in at just 0.7 per cent of average household income.

The BISX-listed communications provider cited this and other data to support its argument that the Utilities Regulation and Competition Authority (URCA) does not need to regulate the broadband

* CABLE: FEES LOWEST AS INCOME PERCENTAGE * COMPETITION JUSTIFIES END TO WHOLESALE OVERSIGHT * JOINS BTC IN SAYING NO REQUEST IN 8 YEARS Internet market at the supplier (wholesale) level.

It suggested alreadyintense competition with the Bahamas Telecommunications Company (BTC)

SEE PAGE 4

CABLE Bahamas headquarters.

THE Chamber of Commerce’s chief executive is arguing that “now is not the right time” for Bahamas Power & Light (BPL) to add additional charges to customer bills.

Edison Sumner told Tribune Business in a recent interview that BPL needed to focus on improving system reliability and reducing costs before seeking to implementing a debt servicing fee to finance its nine-figure restructuring.

Suggesting that the utility monopoly cannot “just add on fees to bills” without first talking to its customers, Mr Sumner said Bahamian

* UTILITY ‘CAN’T JUST ADD FEES TO BILLS’ * NEEDS TO FIRST FOCUS ON RELIABILITY, COST * GOV’T CHANGES ‘INTERRUPTING PROGRESS’ businesses were already “struggling under the weight of bills and taxes” in a high-cost economy thus making BPL’s proposal especially ill-timed.

He was responding after BPL chairman, Darnell Osborne, recently revealed that the utility will be adding a debt servicing

SEE PAGE 7

PM’s one-time nemesis blasts ‘really egregious Oban missteps’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Prime Minister’s former political nemesis yesterday slammed the Government’s “really egregious missteps” over the Oban Energies project, branding it “a very fishy deal”.

Loretta Butler-Turner, who led the ‘coup’ to oust Dr Hubert Minnis as Opposition leader pre-general election, told Tribune Business that “desperation” to spark greater economic growth may have clouded the Government’s judgment over the proposed

$5.5 billion oil storage terminal/refinery project.

Pointing out that Dr Minnis had “lambasted” his predecessor, Perry BUTLERChristie, for TURNER the exact same failings, Mrs Butler-Turner questioned why the Government “had the gumption to move forward” in giving final approvals when the two previous administrations had not.

She expressed doubts over whether Oban Energies will be able to raise the

* LORETTA: $5.5BN PROJECT ‘VERY FISHY DEAL’ * SAYS ‘DESPERATION’ CLOUDED JUDGMENT * SHOWS GOV’T JUST LIKE PREDECESSOR necessary financing, and queried why the developer had chosen to send Peter Krieger, its non-executive chairman, to sign the Heads of Agreement when details of his previous legal troubles were easily accessible on the Internet.

Mrs Butler-Turner called for the Government to conduct a thorough “review” of the east Grand Bahama project before proceeding any further, adding that its seeming lack of due

diligence and transparency to-date made it appear little different from the Christie administration.

“To be quite honest with you I’m truly, truly disappointed and surprised at the missteps that have taken place over this whole Oban situation,” the former Montagu MP told Tribune Business.

“They’re [the Government] really desperate to

SEE PAGE 7

PAGE 2, Wednesday, March 7, 2018

THE TRIBUNE

Film industry generates $5m boost for Bahamas

STUDENTS at the University of the Bahamas attend the Movie Masters conference.

Photos: Kemuel Stubbs

CONFERENCE FOCUSES ON REPOSITIONING BAHAMAS THE Bahamas Financial Services Board (BFSB) combined its annual Summit with the regular Bahamas Briefing that sells international intermediaries on this nation’s benefits as an international financial centre (IFC).

More than 170 persons attended this year’s International Business & Finance Summit (IBFS), where local speakers were joined by international counterparts from the United Kingdom, Canada, Miami and Singapore.

This summit was held under the theme of Hitting the Reset Button, focusing on how the Bahamas proactively reposition itself in an

environment demanding tax transparency.

Antoinette Russell, BFSB’s chairman, said: “As we hit the reset button, practitioners and regulators alike must move away from describing our financial sector as offshore.

The reality is that our business model is far better described as international.

“Therefore, we must remove offshore from our lexicon, which is justified in light of the preponderance of exchange of information agreements before and after CRS and the Bahamas’ commitment to these initiatives, including BEPS. Once we acknowledge how far we have come then we can focus on

the way forward.” Brent Symonette, minister of financial services, trade and industry and Immigration, gave remarks on the state of the industry. John Rolle, the Central Bank of the Bahamas’ governor, addressed international developments impacting the country, the global regulatory environment and the institution’s response.

He also spoke to reshaping domestic policy and the importance of having an international voice.

Sarah Venables, of Deloitte UK, spoke on the topic ‘Tax Strategies for the Bahamas as an IFC’.

She provided an insight into the current global environment; tax strategies

employed by other IFCs; the potential impact of corporate tax and policy considerations; and the next steps for the Bahamas as a compliant jurisdiction.

Philippe May, of Singapore-based Arton Capital, spoke on the world’s programmes for investor residence and citizenship, while Susan Fulford of Dynamic Legacy in Canada spoke about Bahamian trusts and Family Offices.

Don Stubbs, of Scotia Wealth Management in Miami, spoke to the role of the Government, financial services providers and professionals in defending the wealth management sector and maintaining the Bahamas as a reputable IFC.

THE Bahamas generated $5 million in revenue from the 247 film and TV-related projects attracted to this nation last year, the Ministry of Tourism revealed yesterday.

Its Bahamas Film and Television Commission said these projects included The Bahamas Life with HGTV, a 13-episode show shot in New Providence, Grand Bahama, Eleuthera, Exuma and Abaco.

Others were Cooper’s Treasure, a treasure hunt TV series seen on Discovery Channel, which was filmed on Grand Bahama; a full season of Ex on the Beach, a reality show seen in the UK and Sweden; numerous documentaries on marine life and deep sea diving; and photo shoots with the likes of Sports Illustrated’s Swimsuit Edition, Victoria’s Secret, Marks & Spencer and H&M. “Films have an economic value as they provide employment and new revenue for our country. The Bahamas Film and Television Commission, a department in the Ministry of Tourism and Aviation, takes the lead on this,” said Travis Robinson, parliamentary secretary in the Ministry of Tourism and Aviation.

He added that while the Bahamas was happy to receive business from the international film industry, the Government was looking forward to local filmmakers showcasing their work.

The Bahamas Film and Television Commission has already hosted a Movie Masters series in partnership with the University of the Bahamas. The event brought together local and international filmmakers

TRAVIS ROBINSON, parliamentary secretary at the University of the Bahamas, addresses students.

A POSTER from HGTV’s Bahamas Life series. and directors to share knowledge about the industry, and provide lessons to budding Bahamian filmmakers.

“We are pleased that the local television and film industry has found its way here to help move in that direction. We are also grateful for our visiting producers, and our more prolific Bahamian producers who have agreed to assist others and knowledge through this forum,” Mr Robinson said.

“We look forward to full and fruitful relationships with the University of the Bahamas in this regard. I hope our filmmakers will create more compelling content and distribute it to the world.”

Commission officials are continuously looking to bring major feature films to the Bahamas. Among films previously shot in the Bahamas are Casino Royale, two Pirates of the Caribbean films, Scooby Doo, After the Sunset and Why Did I Get Married Too.

THE TRIBUNE

Wednesday, March 7, 2018, PAGE 3

Construction regulation moves one step closer

ELEUTHERA residents have “had to improvise” to facilitate movement between the island’s north and south after the “vital commercial link” of the Glass Window Bridge was closed by high swells.

Ivan Ferguson, the Family Island administrator for North Eleuthera, told Tribune Business: “As a result of the closure of the bridge, and also as a result of the huge cavity that separates North and Central Eleuthera, the local government practitioners initiated along with the Member of Parliament - the idea to create a makeshift dock from the Glass Window restaurant, which is immediately north of the Glass Window Bridge.

“That restaurant has become a commercial hub for persons who are

INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000)

GALA CONSTRUCTION LTD. In Voluntary liquidation

The date of commencement of dissolution is the 28th day of February, 2018.

Mr. Tewi Fauster of 38 Ybbstrasse #13 Wien, 1020 Austria Liquidator

Legal Notice

NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000)

SUZIN INTERNATIONAL INC. In Voluntary liquidation

Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000), SUZIN INTERNATIONAL INC., has been dissolved and struck off the Register according to the Certificate of Dissolution issued by the Registrar General on the 7th day of February, 2018.

Mr. Roland Francois Felicie of Revolution Avenue, Mahe, Seychelles Liquidator

DESMOND BANNISTER, minister of works. shoddy workmanship by so-called ‘cowboy contractors’ - something that

has been a frequent complaint among residents.

ELEUTHERA ‘IMPROVISES’ WITH DOCK AS GLASS WINDOW SHUT

By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net

NOTICE

“Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000). GALA CONSTRUCTION LTD., is in Dissolution.”

By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net THE Bahamian construction industry is moving closer to having regulatory oversight, after the Bahamian Contractors Association (BCA) resubmitted its nominees for the Contractors Board.

That Board will oversee enforcement of the Construction Contractors Act, with the BCA revising its nominees after the initial slate was deemed not sufficiently diversified to represent all the sector’s different trades and professions. Desmond Bannister, minister of works, yesterday said: “They have resubmitted their names.

I will take it to Cabinet ,and once Cabinet approves it we will make the appointments.”

Mr Bannister had previously told this newspaper that while the BCA is supposed to nominate six members from various disciplines within the construction industry, its only prior submission lacked the necessary variety. Confirming a pledge by the BCA’s president Leonard Sands, the Minister said the BCA had resubmitted its nominees.

The Act, when implemented, will introduce a system of licensing and self-regulation, where Bahamian contractors are certified according to their qualifications and scale/scope of work they are capable of undertaking.

This would place them on a ‘level playing field’ with foreign contractors, enabling them to better compete for multi-million dollar contracts on foreign direct investment (FDI) projects that come to the Bahamas because their capabilities are certified.

The Act also includes provisions giving Bahamian consumers means of redress, and protection, against

Legal Notice

embarking from there to go to Gregory Town, where they disembark and go about their business.”

Mr Ferguson added: “That dock is almost completed and is facilitating transportation of workers, passengers, tourists and anyone wishing to traverse between North and Central or South Eleuthera. A ferry service has now been initiated also. Local boaters from Gregory Town, The Current and neighbouring communities are now transporting persons. We have absolutely had to improvise.”

He said the historic Glass Window Bridge is a vital commercial link between the northern and southern parts of Eleuthera, and added: “Many of the workers employed on Harbour Island, and even in the government service, are employed in businesses north of the bridge.

“It does impact those persons who work on Harbour Island and mainland

North Eleuthera. Due to the fact that the weather conditions are still prevailing and we have no idea when it will subside, we took this course of action.”

Desmond Bannister, minister of works, yesterday said the Government is considering the construction of a new bridge to replace the Glass Window Bridge. This, he added, could cost $30-$40 million.

He added that engineers in Eleuthera have reported that the “shocking conditions” experienced over the weekend have resulted in extensive damage to the bridge and connecting roadways.

The Glass Window Bridge had to be closed on Sunday, with residents of North Eleuthera being advised by the National Emergency Management Agency and Family Island officials, to stay away from the area due to large and dangerous swells.

PAGE 4, Wednesday, March 7, 2018

THE TRIBUNE

Bahamas leads Caribbean on broadband Internet costs FROM PAGE 1 had caused its revenue per giga byte (GB) to fall by around 87.5 per cent over five years, dropping from almost $8 in 2011 to $1 in 2016.

Cable Bahamas also produced data purporting to show that its monthly $49 subscription charge was among the lowest in the Caribbean, and only bettered by providers in Jamaica, the Dominican Republic and Barbados.

Suggesting this showed Bahamian consumers were enjoying the benefits of competition, Cable Bahamas used the data to support its argument that URCA does not need to implement ‘ex-ante’ regulation - remedies that seek to anticipate, and prevent, market distortions - at the broadband Internet supplier level.

“The retail broadband market is clearly competitive,” Cable Bahamas

argued in response to URCA’s preliminary findings.

“This confirms that the ex-ante regulation of the associated upstream wholesale broadband access market is therefore no longer necessary.

“This market is currently subject to strong infrastructure-based competition between two well-established network operators, Cable Bahamas and BTC. Cable Bahamas argues that the existence of these two infrastructure owners is sufficient to ensure effective retail competition in the Bahamian broadband market, and therefore urges URCA to withdraw current regulation from the wholesale broadband market as it is no longer required.”

URCA is proposing to regulate the ‘offers’ or terms at which other providers can rent BTC’s and Cable Bahamas’ networks to provide rival Internet services.

The regulator, in unveiling its review of the ‘resale’ obligations imposed on BTC and Cable Bahamas in 2010, noted there had been “no take-up of these resale broadband offers over the course of the last eight years”.

It added that “several industry players have informally raised concerns about the nature of the current offers”, implying rival niche providers were suggesting BTC and Cable Bahamas were using their Significant Market Power (SMP) to squeeze them out of the market by offering terms that rendered their services economically non-viable.

Yet Cable Bahamas, in its response, said it had received no requests from other companies to use its network to provide Internet services.

“Regulatory remedies should never be based on unverified claims from ‘more than one’ survey responses,” the BISX-listed operator argued. “Since

NOTICE

NOTICE is hereby given that ODRICK LOUIS of Poitier Avenue of Boyd Subdivision in Greater Chippingham, P.O. Box GT2785, New Providence, 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 28th day of February, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, Bahamas.

NOTICE

NOTICE is hereby given that PHILDENO ALBURY of Windsor Place, Crystal Way, New Providence, 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 28th day of February, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, Bahamas.

2010, Cable Bahamas has a published wholesale offer for the provision of resale cable broadband access services to retail customers on the network of Cable Bahamas.

“However, until today, there has not been any request from service providers to make use of such service. The overall market in the Bahamas is limited in size and prices are highly competitive among the existing operators as shown above.

“In light of this non-existent demand for wholesale services, the obligation to prepare an updated resale offer every six months seems highly disproportionate. URCA may consider a revised obligation, which only requires the development of an updated resale offer, in case of a reasonably serious request from another service provider.”

Backing its rival’s stance, BTC said: “Both BTC and Cable Bahamas have offered a resale broadband

NOTICE

NOTICE is hereby given that RASHAAD RENARDO RIDDLE of General Delivery, Governor’s Harbour, Eleuthera, 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 7th day of March, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, Bahamas.

NOTICE

NOTICE is hereby given that GUERLINE CHARLES of Key West Street, New Providence, 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 7th day of March, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, Bahamas.

MARKET REPORT TUESDAY, 6 MARCH 2018

BISX ALL SHARE INDEX: CLOSE 2,038.80 | CHG -1.36 | %CHG -0.07 | YTD -24.77 | YTD% -1.20 52WK LOW 3.50 17.43 8.19 3.32 0.90 0.12 3.50 8.40 6.00 3.15 9.00 2.18 1.40 7.75 5.83 8.78 5.67 3.35 12.01 10.00

SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson Premier Real Estate

1050.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Commonwealth Bank Class Fidelity Bank Class A Focol Class B

PREFERENCE SHARES

1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 105.00 100.00 100.00 10.00 1.00

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ PRE

E J K L M N

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00 100.00

52WK LOW 100.00 100.00

CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 18 (Series E) + Fidelity Bank Note 22 (Series B) +

SYMBOL FBB18 FBB22

Bahamas Note 6.95 (2029) BGS: 2015-1-3Y BGS: 2014-12-5Y BGS: 2015-1-5Y BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-3Y BGS: 2015-6-5Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-3Y BGS: 2015-10-5Y BGS: 2015-10-7Y

BAH29 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

MUTUAL FUNDS 52WK HI 2.13 4.14 1.99 178.69 153.40 1.54 1.70 1.62 1.10 6.99 8.54 6.15 10.52 11.46 10.46

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.48 1.62 1.57 1.04 6.41 7.62 5.66 8.65 10.54 9.57

has Board and management control.

“From a supply-side perspective, both BTC and Aliv have 4G/LTE networks in place that cover the vast majority of the population of the Bahamas,” BTC said in its submission to URCA. “These networks provide not only extensive coverage but also transmission speeds and data capacity that are competitive with and, in some cases, even superior to fixed broadband networks. It is important to also recognize that 5G mobile technology is on the horizon which will provide even greater speeds and capacity. “Therefore, unlike the situation in 2010, BTC considers that mobile broadband services are now clearly substitutable with fixed broadband services from both a demand and supply-side perspective and, therefore, fall into a single relevant product market including both fixed and mobile wireless broadband services.”

NOTICE

NOTICE is hereby given that JACKSON WILFRED DALAS of Marsh Harbour, Abaco, 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 26th day of February, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

HALCROW BAHAMAS LIMITED __________________________________________ NOTICE IS HEREBY GIVEN that an Extraordinary General Meeting of the Shareholders of HALCROW BAHAMAS LIMITED is hereby called to be held in Englewood, Colorado, on the 31st day of March, 2018 at 12 o’clock in the forenoon. The object and purpose of said meeting is to have laid before the Shareholders of the Company the accounts of the Liquidator, Delano Aranha, showing the manner in which the winding up of the Company has been conducted and also to hear any explanation that may be given by said Liquidator.

t. 242.323.2330 | f. 242.323.2320 | www.bisxbahamas.com

BISX LISTED & TRADED SECURITIES 52WK HI 4.38 19.17 9.09 3.76 1.64 0.18 4.60 8.70 6.30 5.30 11.87 2.59 1.56 9.70 6.10 10.55 10.90 4.50 12.51 11.00

service for eight years now, and throughout this time there has been no serious demand for it.

“More importantly, the PD [URCA determination] provides no evidence-based rationale for the need for mandated resale broadband as far as the retail market is concerned - i.e., based on an assessment of the potential competition problems and consumer harm absent the proposed wholesale ex-ante remedies in the retail broadband services market.”

In similar responses, BTC and Cable Bahamas said URCA had failed to account for market changes since 2010 while ignoring the “strong competition” for retail consumers that made wholesale regulation unnecessary.

In particular, they argued that the regulator had omitted the impact of mobile Internet services which were launched last year by both BTC and its rival, Aliv, for which Cable Bahamas

LAST CLOSE 3.90 17.43 9.09 3.34 1.00 0.18 3.60 8.70 6.10 4.65 9.87 2.58 1.50 7.83 6.10 10.10 6.40 4.47 12.51 10.00

CLOSE 3.90 17.43 9.09 3.34 1.00 0.18 3.60 8.70 6.10 4.64 9.87 2.56 1.50 7.78 6.10 10.10 6.40 4.47 12.51 10.00

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.01 0.00 -0.02 0.00 -0.05 0.00 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

LAST SALE 100.00 100.00

CLOSE 100.00 100.00

CHANGE 0.00 0.00

109.41 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.02 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

109.39 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund FG Financial Preferred Income Fund FG Financial Growth Fund FG Financial Diversified Fund FG Financial Global USD Bond Fund Royal Fidelity Bahamas Opportunities Fund - Secured Balanced Fund Royal Fidelity Bahamas Opportunities Fund - Targeted Equity Fund Royal Fidelity Bahamas Opportunities Fund - Prime Income Fund Royal Fidelity Int'l Fund - Equities Royal Fidelity Int'l Fund - High Yield Fund Strategies Fund

VOLUME

134,750

500

VOLUME

49 NAV 2.13 4.12 1.99 178.69 153.40 1.54 1.69 1.62 1.09 7.16 8.40 6.29 11.28 11.60 10.21

EPS$ 0.475 0.932 -0.306 0.281 -1.133 0.000 -1.462 0.638 0.583 0.171 0.631 0.102 0.330 0.000 1.129 0.743 0.484 0.298 0.543 0.000

DIV$ 0.080 1.130 0.000 0.230 0.000 0.000 0.000 0.320 0.220 0.120 0.690 0.060 0.050 0.083 0.300 0.500 0.150 0.120 0.570 0.000

P/E 8.2 18.7 N/M 11.9 N/M N/M -2.5 13.6 10.5 27.1 15.6 25.1 4.5 N/M 5.4 13.6 13.2 15.0 23.0 0.0

YIELD 2.05% 6.48% 0.00% 6.89% 0.00% 0.00% 0.00% 3.68% 3.61% 2.59% 6.99% 2.34% 3.33% 1.07% 4.92% 4.95% 2.34% 2.68% 4.56% 0.00%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0

0.00% 0.00% 0.00% 0.00% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 6.25% 7.00% 6.50%

INTEREST 6.00% Prime + 1.75% 6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25% YTD% 12 MTH% 0.31% 4.30% 0.16% 5.93% 0.17% 2.36% 4.66% 3.89% 5.58% 6.65% 0.36% 4.29% -0.15% 3.50% 0.23% 3.89% -0.34% 4.66% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69%

MARKET TERMS BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00 52wk-Hi - Highest closing price in last 52 weeks 52wk-Low - Lowest closing price in last 52 weeks Previous Close - Previous day's weighted price for daily volume Today's Close - Current day's weighted price for daily volume Change - Change in closing price from day to day Daily Vol. - Number of total shares traded today DIV $ - Dividends per share paid in the last 12 months P/E - Closing price divided by the last 12 month earnings

4 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225

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

Delano Aranha LIQUIDATOR of HALCROW BAHAMAS LIMITED

MATURITY 31-May-2018 19-Oct-2022 20-Nov-2029 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022 NAV Date 31-Jan-2018 31-Jan-2018 26-Jan-2018 31-Dec-2017 31-Dec-2017 31-Jan-2018 31-Jan-2018 31-Jan-2018 31-Jan-2018 30-Nov-2017 30-Nov-2017 30-Nov-2017 30-Nov-2017 30-Nov-2017 30-Nov-2017

LAFINA ASSOCIATES LIMITED (In Voluntary Liquidation)

Pursuant to the Provisions of Section 138 (4) of the International Business Company Act 2000, Notice is hereby given that: (a) LAFINA ASSOCIATES LIMITED is in involuntary dissolution; (b) The dissolution of the said Company commenced on 27th February, 2018 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said Company is BF COMPANY LIMITED of 51 Frederick Street, P. O. Box N-4853, Nassau, Bahamas.

Dated this 5th day of March, 2018 BF COMPANY LIMITED Liquidator LAFINA ASSOCIATES LIMITED (In Voluntary Liquidation)

THE TRIBUNE

Wednesday, March 7, 2018, PAGE 5

Cable ‘turning corner on plan’ despite $31m loss FROM PAGE 1 subscribers and build-out its network. The BISXlisted provider is also coping with similar start-up and infrastructure buildout costs associated with its Florida investments, with the two combining to act as a ‘drag’ on its shortterm performance prior to generating increased returns and profitability for shareholders.

Mr Butler said Cable Bahamas was “continuing to execute” against this strategy, as he sought to reassure investors and the wider Bahamian capital markets that their patience would start to pay-off within the next one to two years.

“We’re seeing growth in market share in wireless [Aliv] in the Bahamas, broadband and fixed-line continue to grow, and video remains strong,” he told Tribune Business. “Over the next 12-18 months the

strategy with the new businesses will turn the corner on plan. We’re exactly on plan, on strategy. The Cable Bahamas group is on target and we’re pretty upbeat on the future over the next 24 months.”

Mr Butler added that Cable Bahamas was “still in growth mode in Florida”, but pledged: “Florida is exiting from the startup phase, and you’ll see that over the next year to year-and-a-half.

“It’s on target, as plan.

We’re very upbeat for the business over the next 12-24 months. The strategy is bang on plan.”

Mr Butler’s comments, and Cable Bahamas’ halfyear results, come amid rumblings of shareholder disquiet and concerns over the heavy losses being sustained as the company seeks to execute on its longterm growth strategy.

A letter recently sent to Tribune Business under the pseudonym of ‘A

concerned investor’ suggested that Aliv’s recent need to tap the capital markets “is of paramount interest to Cable Bahamas’ common shareholders”.

The writer wrote: “Cable Bahamas points to Aliv as its future growth engine, and Cable management has said they would resume dividend payments to shareholders in fiscal year 2019. Aliv’s continuing losses raise significant doubts about their ability to do that. “In fact, Cable will very likely post their sixth straight quarter of multimillion-dollar losses within the next few days. Perhaps this will be the trigger for shareholders to finally demand a full and frank accounting for the Florida and Aliv operations, including...... realistic timelines for a return to profitability and dividend payments.”

Companies typically forego dividend payments to shareholders as a means to conserve capital when

undertaking major expansion projects.

Cable Bahamas has been preaching ‘patience’ to investors over the Aliv and Florida build-outs, but there are indications this is starting to wear thin with some accustomed to regular dividends and instant returns.

With Aliv and the Florida operations now starting to emerge from start-up mode, the key is whether Cable Bahamas can execute and ensure increased revenue drops to the bottom line, returning the group to profitability, and the timing of when this takes place.

Mr Butler yesterday declined to comment on the fact that Cable Bahamas’ current liabilities exceeded current assets at year-end 2017. Current assets worth some $73.756 million were equivalent to 87 per cent of the company’s $84.757 million in current liabilities, which include $72.101 million in ‘accounts payable and accrued liabilities’.

Cable Bahamas’ current assets dropped by more than $25 million or 32.3 per cent during the half-year, falling from $108.96 million to $73.756 million as its balance sheet cash more than halved.

‘Cash and cash equivalents’ dropped from $55.915 million at end-June 2017 to $23.93 million at year-end.

Cable Bahamas’ balance sheet, though, showed it still finished 2017 with $86.501 million in ‘net equity’ or worth due largely to the $429.586 million value ascribed to ‘property, plant and equipment’ - mainly its fibre-optic infrastructure.

The balance sheet, though, shows Cable Bahamas is carrying a $387 million debt burden featuring $154.821 million in long-term bank financing and $232.235 million in outstanding preference shares.

The increased first half losses for a year that ends on June 30, 2018, were largely driven by a

near-$11.5 million increase in depreciation and amortisation. Mr Butler said the increased charge was related to Cable Bahamas’ enlarged infrastructure network, stemming directly from the build-outs of Aliv and Florida. The depreciation increase, from $18.618 million to $30.054 million, saw Cable Bahamas’ operating losses more than triple year-over-year jumping from $4.41 million to $15.831 million.

While the communications provider’s revenues jumped by 11.5 per cent, from $92.635 million to $107.284 million, operating expenses rose by a similar amount to leave gross income ‘flat’ year-over-year.

Cable Bahamas’ second quarter results, though, provided some signs of improvement as net losses were effectively the same as the prior year, standing at $15.5 million compared to $15.343 million the year before.

FINCO profits near-double on 50% loan provision fall FROM PAGE 1 The BISX-listed entity, 75 per cent majority-owned by RBC, saw little change in loan book health during the 12 months to end-December 2017, with ‘impaired’ loans - those 90 days or more past due - increasing in value from $119.414 million to $120.87 million.

“Loans and advances classified as impaired represent 14.44 per cent (2016: 13.95 per cent) of the total loans and advances

portfolio,” FINCO’s financial statements, audited by PricewaterhouseCoopers (PwC), said.

“The allowance for impairment losses represents 8.92 per cent (2016: 8.01 per cent) of the total loans and advances portfolio, and 61.73 per cent (2016: 57.39 per cent) of the total impaired loans.”

While ‘impaired’ and current loans were little changed from 2016, FINCO saw a jump in credit slipping into the ‘past due but

not impaired’ category, which rose by 26.5 per cent - from $66.946 million to $84.657 million.

As with most commercial banks, the high ‘bad loan’ hangover from the 2008-2009 financial crisis continues to act as a drag on FINCO’s financial performance.

However, loan loss provisions fell by 50.1 per cent year-over-year - from $25.017 million to $12.477 million accounting entirely for the mortgage

lender’s improved bottom line performance.

Total comprehensive income jumped by 91.3 per cent, rising from $11.604 million to $22.193 million, with the improved showing prompting FINCO’s Board to reward shareholders for their patience with the payment of an early January dividend and $0.10 per share ‘special dividend’.

Interest income and net interest income were both down against 2016 comparatives, with total income

almost $3 million lower year-over-year, dropping 5.7 per cent to $48.779 million.

FINCO’s results, though, were bolstered by a 5 per cent decline in non-interest expenses, which fell by more than $700,000 year-over-year to $14.349 million.

Much of this decrease came from a more than $800,000 drop in staff costs, which were cut by 34.5 per cent year-over-year from $2.58 million to $1.69 million, as FINCO reduced

headcount and was more deeply integrated within RBC’s other operations.

On the balance sheet side, FINCO’s net equity or ‘worth’ rose from $179 million to $201 million, with total impairment allowances standing at $74.614 million.

FINCO continues to pay significant ‘technical service and license’ fees to its RBC parent, which totalled $71.42 million in 2017 compared to $6.012 million the year before.

COMMONWEALTH OF THE BAHAMAS IN THE SUPREME COURT Common Law & Equity Division BETWEEN

2016 CLE/GEN/000443

FINANCE CORPORATION OF BAHAMAS LIMITED

Plaintiff

AND

Passionate about customer service, Keen attention to detail, Ability to multi-task, Excellent communication skills

EDISON H. M. ALBURY

If you possess these qualities, we invite you to apply for the position of:

First Defendant

and

ON CALL CUSTOMER SERVICE REPRESENTATIVE (ABACO)

ROCHELLE ALBURY (nee BAIN)

Second Defendant

Main Duties and Responsibilities: • Executes and processes all non-credit banking transactions for customers of the bank • Custody of cash to facilitate customer deposits, withdrawals, money transfers and loan/ credit card payments • Posting of transactions and fees • Scanning of transactions • Sales of products and services by making referrals for the Client Account Representative and the Personal Banking Representative • Ensures strict observance of Exchange Control Regulations • Refers clients to the Personal Banking Officer or Client Account Representatives for loans and other services • Participates in special sales event

Main Duties and Responsibilities: • High school diploma or equivalent vocational training • Minimum 2 years experience in the Financial Services Industry, Hospitality Industry or as a cashier • Must have excellent communication skills (verbal and written) • Proficient at Microsoft Office Suite programs • Ability to work in a self motivated environment with little supervision • Ability to manage the administration of multiple tasks at one time • Bilingual with fluency in Creole a plus

PLEASE SUBMIT BEFORE March 9th, 2018 to:

HUMAN RESOURCES Re: Customer Service Representative careers@fidelitybahamas.com

ABSOLUTELY NO PHONE CALLS

A competitive compensation package will be commensurate with relevant experience and qualification. Fidelity appreciates your interest, however, only those applicants short listed will be contacted.

TO:

Edison H. M. Albury and Rochelle Albury (nee Bain)

TAKE NOTICE that an action has been commenced against you in the Supreme Court of the Commonwealth of The Bahamas by Finance Corporation of Bahamas Limited, Nassau, New Providence, Bahamas, in which the Plaintiff ’s claim is set out in the Writ of Summons filed in this action on the 31st day of March, A.D. 2016 (as renewed by an Order of the Court dated 23rd day of May, A.D. 2017) claiming against you inter alia judgment for the sums due and owing to the Plaintiff pursuant to a loan granted by the Plaintiff to you on or about the 5th day of May, A.D. 2006 AND THAT application has been made by Summons filed herein on the 29th day of June, A.D. 2017 supported by affidavit filed herein on the 26th day of October, A.D. 2017 for an order that the Plaintiff be at liberty to enter judgment against you AND THAT it has been ordered that service of all further process in the said action be effected on you by way of advertisement.

The application will be heard before Mrs. Camille Darville-Gomez, Deputy Registrar of the Supreme Court, at the Swift Justice Centre, Bank Lane, Nassau, Bahamas on Wednesday, the 28th day of March, A.D. 2018 at 11:00 o’ clock in the forenoon, on which day you are to appear, and if you do not appear either in person or by your Attorney at the time and place abovementioned, such Order will be made as the court thinks just.

A copy of the said Writ of Summons, Summons, Affidavit in Support and Order may be obtained from the Supreme Court Registry, Judicial Complex, East Street North, Nassau, Bahamas, or from the Attorneys of the Plaintiff below mentioned.

Dated the 7th day of March, A.D. 2018

HIGGS & JOHNSON Ocean Centre Montagu Foreshore East Bay Street Nassau, New Providence, The Bahamas Attorneys for the Plaintiff

PAGE 6, Wednesday, March 7, 2018

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THE TRIBUNE

Wednesday, March 7, 2018, PAGE 7

Chamber chief: ‘Not right time’ for extra BPL debt charge FROM PAGE 1 charge to customer bills to help it repay investors that buy into its Rate Reduction Bond (RRB) financing. This will refinance BPL’s legacy debts, million pension deficit and other liabilities, previously estimated at a collective $650 million, and remove them from BPL’s balance sheet, thereby enabling it to raise new funds for long-delayed infrastructure and network upgrades that cannot be put off any longer.

However, Mr Sumner told Tribune Business: “Right now I’m not sure this is the appropriate time to be talking about increasing rates based on the RRB that the Government is currently looking at.

“Energy costs have always been at the top of the private sector’s list of

concerns when it comes to the cost of doing business in the Bahamas, and the ease of doing business in the Bahamas.

“People don’t mind paying for services if they get the service they’re paying for.. Before we talk about adding fees to people’s bills, how do we improve the system we have? How do we improve the reliability and efficiency of energy? How do we cut the cost of energy?” the Chamber chief continued.

“How do we introduce new forms of energy, so customers can decide if they want to stay on the grid or get off the grid? There has to be discussion and regular dialogue. You can’t just add on fees to bills. The cost of business is still exorbitantly high, especially for small and medium-sized enterprises.

“Before we talk about adding on to bills, let’s improve cost, efficiency and

operations, and improve reliability and competitiveness. We’re struggling under the weight of bills, struggling under the weight of taxes, and trying to keep our doors open having to compete with international operations, especially in the online world.”

While most Bahamians and businesses will likely be vehemently opposed to any additional BPL fees, especially given there many challenges with the Government-owned utility, it is possible they may have to endure short-term pain and increased energy costs - for long-term gain and reduced power bills.

For unless BPL can refinance and invest in vital network infrastructure upgrades it will likely find it impossible to improve system reliability and reduce costs. It is currently weighed down by around $350 million in debt; a $100 million pension fund deficit;

and environmental and other liabilities, with annual losses over the past decade usually coming in at around $20-$25 million.

The RRB charge will likely be relatively small compared to consumers’ overall bills, and BPL may be able to offset this fee if it can extract savings elsewhere - especially on fuel supply costs and long/shortterm generation reform.

Mrs Osborne said recommendations on the winning bids for both contracts are currently before Cabinet, adding that BPL had held off on the RRB plan to enable it to both focus on obtaining $100 million in short-term financing and find savings to minimise the burden on Bahamians.

The BPL chairman said the Board had recommended proceeding with the RRB plan, but pledged that it would the extra debt servicing fee “manageable and palatable for

the Bahamian people”.

“The Board has made its recommendation to the Government in terms of needing that RRB done,” Mrs Osborne told Tribune Business. “We’ve not given a specific figure.

“In a few months we will be able to advise the Government on how much we need in terms of the percentage on to the bills.

We’re hopeful with the savings we’re able to effect that it will be manageable and palatable to the Bahamian people. We’re trying to make the landing as soft for Bahamians as possible.”

Mr Sumner, meanwhile, said the Bahamas’ “progress is always interrupted by politics”, pointing to the fact that no political party had enjoyed two consecutive terms in office since the first two Ingraham administrations in 1992-1997 and 1997-2002.

“Our progress is always interrupted by politics,”

he told Tribune Business.

“We’ve changed government every five years for almost the past 20 years.

When that change happens it tends to retard progress made by the previous administration and work done by the private sector.”

Government legislative and policy priorities vary from administration to administration, and Mr Sumner said this helped explain why, for example, the Bahamas’ progress in fully embracing renewable energy had been so ‘stop-start’.

He added that the private sector was “the critical element” in ensuring economic policy continuity, and added: “We have to push the Government to meet the goals and objectives set for the country.

“Governments change or amend plans and policies, and when that happens it interrupts growth and progress.”

PM’s one-time nemesis blasts ‘really egregious Oban missteps’ FROM PAGE 1 have foreign direct investment, something of a sizeable nature, to offset the lack of growth and economic stagnation in the country. That does not preclude the fact that one has to have due diligence and persons in place.

“The reality is this: We all want something great for our Bahamas, but we want to know we have a government that’s different from the one we’ve just kicked out of office, and without questions and dark shadows hanging over it.”

Mrs Butler-Turner said the Government had permitted Mr Krieger, who described as “someone of questionable background”, to enter the Prime Minister’s Office and sign a

multi-billion dollar Heads of Agreement despite apparently knowing of his previous legal troubles.

She said Dr Minnis’s disclosure two days later, where he confirmed the Government knew Mr Krieger had pled guilty to criminal charges, and settled civil ones, over the alleged misuse of investor monies, suggested that the Bahamian people had been ‘kept in the dark’.

“The Prime Minister has lambasted Perry Christie and them for exercising bad judgment in office, and here we are,” Mrs Butler-Turner blasted. “You have a man of questionable character in the Office of the Prime Minister executing the first real, substantial deal. As far as I’m concerned: Who is Peter Krieger? “If it’s such a

huge project, when does the principal behind this send a non-executive to sign on their behalf? There’s something about this that doesn’t pass the smell test. It’s a very fishy deal.”

Mr Krieger previously described his role as “more like an ambassador”, and suggested he would be stepping away from his role as Oban Energies’ public face now that the Heads of Agreement has been signed - a process the recent controversy appears to have accelerated.

Tribune Business sources suggested Mr Krieger was acting as the representative for a major investor in Oban Energies, with much of the company’s funding thought to be coming from his wife’s family and father-in-law.

Mrs Butler-Turner, though, joined the ranks of those questioning whether Mr Krieger signed the Heads of Agreement on behalf of Satpul Dhunna, Oban Energies president, whose name is printed on the document. Mr Dhunna was not present for the signing, and is understood to have been in the UK. And the former MP, who was unable to remove Dr Minnis as FNM leader, also challenged the Government’s decision to sign the Heads of Agreement before conducting an Environmental Impact Assessment (EIA).

“There certainly does not seem to be an escape clause for the Government even if we have a negative EIA,” Mrs Butler-Turner told Tribune Business.

“There are a lot of questions around this project, and it seems like somebody really needed it to happen.

It looks like it was executed without due diligence and just put out to the Bahamian people.

“The reason I’m surprised is because when a decision of this magnitude has to be made it has to be made collectively as a Cabinet. To have that many people sitting around the Cabinet table, and to come out with a document such as that with all these glaring missteps, I’m very surprised. “You have the Attorney General, who is not new to Cabinet, Brent Symonette, a former deputy prime minister, and one or two others with Cabinet history besides the Prime Minister,” the ex-MP

continued. “It goes back to the level of due diligence and commitment to the Bahamian people. It almost seems as if they are as callous as the previous administration.

“It’s sad, the impact this is going to have on the community, if it goes through.

It’s a very poor reflection on our government. The steps that have happened since...

Oh my God, it’s really egregious.

“What is it about this Cabinet that so uniquely qualifies them to determine that a project two previous administrations did not have the gumption to move forward with; what qualifies them to say this is a good project? Before the Government moves further forward, this needs to have an absolute review.”