Issuu

business@tribunemedia.net

TUESDAY, APRIL 24, 2018

$4.40

$4.63

Water Corp chair warns: Restructuring is coming

‘We’ll lose the plot’ if EU/WTO dictate taxation reforms

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

he Water & Sewerage Corporation will likely follow other utilities in right-sizing its workforce through voluntary separations, its chairman revealing yesterday: “All options are on the table.” Adrian Gibson told Tribune Business that while the Corporation had yet to reach this point, there was “no doubt” it will have to restructure and reorganise in a bid to align its staffing and cost base with revenues and future needs. Unveiling some of the Corporation’s plans for advancing beyond the highly-publicised findings of its recent forensic audit, Mr Gibson said part of this strategy involved closer collaboration with other

* ‘All options on table’, including VSeps * Targeting cut to customer billing/pay cycles * ‘Stay tuned’ for recourse on 91% cost overrun * Corp can’t be ‘place where cronies are stacked’ utilities - especially Bahamas Power & Light (BPL). He disclosed that the Corporation’s Board held a joint meeting with its BPL counterpart on December 7 last year, with others to follow, as the two sides discussed ways to improve efficiencies and generate customer savings. Mr Gibson said some of the areas explored included repair works co-ordination; a shared “one-stop” customer service centre; collaboration on the installation of automated meters; and the potential for facilities and infrastructure sharing.

ADRIAN GIBSON The Long Island MP said the Corporation was also aiming to slash its billing cycle from three months to two, in a bid to tackle

its long-standing accounts receivable problems caused by delinquent and non-paying customers. Pledging that areas with high customer defaults will be targeted for disconnections, Mr Gibson said the Corporation’s forwardlooking focus does not mean it has forgotten - or can forget - the past. He reiterated assertions by Desmond Bannister, minister of works, that the findings of Ernst & Young’s (EY) ‘forensic’ audit into the Corporation’s recent past would lead to legal

SEE PAGE 4

THE Bahamas will have “lost the plot” if it allows external pressures to dictate tax reform, a top accountant yesterday warning against any “knee jerk” changes. Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, told Tribune Business that this nation must avoid reform merely for the sake of complying with demands from the likes of the World Trade Organisation (WTO) and European Union (EU). He argued that tax reform should instead be driven by the Bahamas’ national interests and how it “wants to play in the global village” for trade and financial services created by these regimes. Calling for the Bahamas to “look out 25 years”

* BICA CHIEF WARNS AGAINST ‘KNEE JERK’ CHANGE * URGES REFORMS TO ‘LAST A GENERATION’ 25 YEARS * BAHAMAS MUST DECIDE ‘HOW IT WILL PLAY’ and enact tax reforms that will last for a generation, Mr Bowe said any changes needed to be governed by economic competitiveness, bolster this nation’s ability to attract foreign direct investment (FDI) and ensure the Government has sufficient revenues to provide necessary public services. The BICA president warned against simply

SEE PAGE 3

DPM TELLS BANKS: ‘DO FAR BETTER’ ON DIGITAL EDUCATION ROYALSTAR By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Deputy Prime Minister yesterday admonished the commercial banking industry to “do a much better job” in preparing Bahamians for the digital financial services age. K P Turnquest, driving home a message he delivered last week, told Tribune Business that Bahamas-based commercial banks had “not paid enough attention” to addressing consumer concerns in their haste to drive clients to electronic/digital banking. He argued that too little was being done to combat mistrust of new technology, and educate Bahamians on the benefits of going ‘digital’, which they will ultimately have to embrace to keep up with a fast-changing financial services market. This, Mr Turnquest added, was key to solving ‘financial inclusion’ woes created by the withdrawal of physical bank branches from the Family Islands that threatens to undermine access to financial services. Describing access to mainstream financial services as “a pressing issue” for the Minnis administration, the Deputy Prime Minister said the lack of ‘financial inclusion’ on islands such as Acklins was inhibiting their growth and contribution to the Bahamas’ gross

* Sector ‘not paying attention’ to vulnerable * Out Island financial inclusion ‘pressing issue’ domestic product (GDP). “The banks have been pushing along but have not given enough attention to ensuring the most vulnerable are made aware of the facilities available,” Mr Turnquest told Tribune Business of the digital banking ‘push’, which has been driven by the three Canadian-owned banks in particular. “Those not having access to a computer, how they might be able to use their phone as most people have access to smart phones, how they can access their account through ATMs and generally increasing financial literacy and knowledge. “The banks can do a much better job sensitising the Bahamian people, and bringing people along with this new age of banking. It’s in everyone’s interests, including theirs.” Mr Turnquest, echoing sentiments expressed last week in his speech to a Miami anti-money laundering conference, said “the lack of financial inclusion” in many Family Islands meant those communities were unable to properly develop and exploit available economic opportunities. “Without access to good, reliable financial services it really limits

those communiAndros and Long ties’ ability to take Island threatens to advantage of the leave those locaglobal economy and tions without a natural environfull-service physiment they have,” cal bank presence, the Deputy Prime and Mr Turnquest Minister explained. said “creative solu“It’s an impeditions tailored” to ment that will not the Bahamas’ geoonly affect the graphical make-up growth and GDP are required. contribution from “It’s a pressing those islands, but issue given the posit affects the entire ture of the banks KP TURNQUEST country.” The with respect to absence of jobs downsizing in terms and entrepreneurial opportuni- of a bricks and mortar presence,” ties in these islands, Mr Turnquest Mr Turnquest told Tribune Busiadded, was leading to their depop- ness of ‘financial inclusion’. “We ulation and flow of persons to don’t anticipate there’s going to be Nassau that “puts a strain on ser- a reversal of that trend in any way, vices” and results in the capital’s so we have to meet the challenge overcrowding. and go forward. Recent commercial bank branch “That’s almost as hard as finding closures in the Family Islands the right technology solution. A threaten to further exacerbate lot of people are distrustful of this this trend and problems of ‘finan- technology. We’re no different. cial inclusion’ for all Bahamians, It’s going to be a real education while driving home the urgency for push from us for Bahamians to this nation to move to digital bank- understand the security around the ing channels such as mobile and technology, the efficiency of the the Internet. technology, how to use it properly Royal Bank of Canada’s (RBC) impending exit from both North SEE PAGE 2

A BAHAMAS-based ‘Fintech’ firm that offers consultancy services for potential Bitcoin and cryptocurrency investors has seen a “tremendous increase” in business since late 2017. Island Crypto, a Bahamian-based company focused on cryptocurrency and blockchain technology, is aiming to become a leading provider in cryptography and distributed systems in the Bahamas. Island Crypto, and its parent company, Fintegic Group, were founded by Tevin Wilkinson, its chief executive, along with Fabian Williams and Wheatly Wilson. They opened for business in March 2017. “Business has tremendously increased from the last quarter of 2017,” said Mr Wilson. “We have noticed that persons, especially millennials, are seeking new ways to invest their money. “With safeguarding our clients’ data and information, we can say that Island Crypto has had clients from all walks of life - from those considered as the elite

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

and upper class to those just getting by but seeking a way to secure their future. “While there are risks involved with any investment, the cryptocurrency market tends to be extremely more volatile. When we meet with potential clients we urge them not to only think of volatility as something bad because it can be positive and work in your favour.” Mr Wilson added that the Fintegic Group develops and delivers both software and hardware solutions for businesses, governments and individuals to securely move an asset across a blockchain, as well as purchase and accept cryptocurrencies in any business. “The expertise of The Island Crypto/ Fintegic Group ensures successful, easy, fast, secure and cost-effective connectivity to the blockchain and the world of cryptocurrency. We pledge to be the leading provider of blockchain technologies, on the forefront of work in cryptography and distributed systems in the Bahamas,” said Mr Wilson. “We utilise the technology of the blockchain to allow companies to successfully

ROYALStar Assurance’s chairman has warned Bahamian insurance consumers to brace for “hardening” premium prices, following a storm-free 2017 in which its profits more than quadrupled. Sir Franklyn Wilson, writing in the property and casualty insurer’s annual report, warned that the Bahamas was not immune from the $50 billion worth of Caribbean insurance claims stemming from hurricanes Irma and Maria despite this nation largely escaping their wrath. The global reinsurance market’s share of these losses meant that Bahamian insurers such as RoyalStar, who purchase coverage from this sector, will be faced with increased costs as companies seek extra compensation to cover the increased risk and 2017 losses. “Due to substantial global losses in 2017, we believe that 2018 will be the start of a ‘hardening’ insurance market cycle where reinsurance capacity will continue to be available, however, at a higher price,” Sir Franklyn wrote. “This will present RoyalStar with new opportunities to grow the insurance business in selected markets.” Global reinsurers tend to treat the Caribbean as a single market, grouping the Bahamas with the entire region and Florida, which means insurance premiums here will feel the impact of Irma and Maria’s Category 5 winds throughout 2018. Bahamian insurers have not choice but to purchase huge quantities of reinsurance annually, as their multi-million dollar capital bases pale into comparison to the multi-billion dollar

SEE PAGE 2

SEE PAGE 3

Bahamian firm targets ‘forefront’ of blockchain By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net

PROFITS QUADRUPLE AMID PREMIUM ‘HARDENING’

PAGE 2, Tuesday, April 24, 2018

THE TRIBUNE

Tourism website wins ‘Best in Class’ award THE Bahamas’ official website has earned the destination the highest honour in the Interactive Media Awards. Bahamas.com, which is the official Bahamas Ministry of Tourism and Aviation (BMOTA) website, has won the ‘Best In Class’ award for the category of travel and tourism. Ministry officials rely heavily on data collected by the website to drive decision making. The Ministry has established a digital dashboard to see real time statistics such as traffic to Bahamas.com and engagement on all social channels. The website’s dashboard also measures website visitors’ clicks on booking deals, as well as converting those clicks to leads for hotel properties. Recently, officials added a commission-free, hotel booking direct engine on Bahamas.com, powered by a company called JackRabbit. For the period of December 1, 2017, to February 28, 2018, the ‘book now’ links from individual hotels listed on Bahamas. com generated 5,040 leads directly for industry partners. “This shows that we are moving in the right direction,” said Joy Jibrilu, director-general of tourism.

DPM TELLS BANKS: ‘DO FAR BETTER’ ON DIGITAL EDUCATION FROM PAGE 1

“The islands of the Bahamas have benefited greatly from our online presence, and the world is certainly taking notice. We are going to continue with this trend to show the world what we have

to offer and why it is better in the Bahamas.” Bahamas.com has seen significant increases in unique visitors and page views, according to officials, and plans are being made to enhance the ability for

visitors to search for places to stay in this nation. The website will also expand individual property listings with larger imagery, videos, a map, relevant activities and Trip Advisor reviews.

and safeguard their information and accounts. “It’s a big component, and part of the effort we’re going to have is to step up the education campaign so that persons understand electronic banking. The Central Bank is working on a number of initiatives we hope will provide some relief in the medium to longer term,” the Deputy Prime Minister continued. “This whole idea of financial inclusion is going to require a lot of creativity on the part of all stakeholders, and it’s going to require some innovative solutions that may be tailor-made for the Bahamas’ given our geographical makeup and technology that we have or do not have in some of our Family Island communities.”

Bahamian firm targets ‘forefront’ of blockchain FROM PAGE 1 digitise their assets and safely transact them over the Internet – making the Bahamas safer, simpler and more efficient, improving the day-to-day ease of doing business in the Bahamas. “Our task is to solve problems that undermine trust in today’s financial and peer-to-peer systems.

We provide a range of turnkey solutions, software and hardware solutions, and expert professional services to companies deploying new block-chain/cryptocurrency-based networks.” Mr Wilson added that while the Internet allows for the digitisation of information, and its transfer globally, it lacks a solution to do this securely. “We want to power interoperable

markets that are fair and accountable,” he said. “Openness, accountability and public ledgers should be the norm, and should not require users to sacrifice privacy. We seek to empower users with trustworthy and secure financial mechanisms via public auditability of their transaction history, without disclosing more than is necessary for the integrity

of the person. “When someone in a business network requests a transaction, the transaction is deployed to other computers in the network. When this happens the network validates and confirms the transaction using cryptographic algorithms,” Mr Wilson continued. “Once the transaction is combined with other transactions it creates a

new block of data for the ledger, and the new block is added to the network’s blockchain in a way which is permanent. Looking from a business perspective, it’s helpful to think of blockchain technology as a type of next-generation business process improvement software. “The blockchain promises the ability to improve any business processes that occur between

companies, radically lowering the ‘cost of trust’. For this reason, it may offer considerably higher returns for each investment dollar spent than traditional internal investments. It’s hard getting the return by yourself; you must be willing and able to collaborate with customers, suppliers and competitors in ways that you have never done before.”

MOBILE

APP

Take us with you Everywhere you go!

THE TRIBUNE

Tuesday, April 24, 2018, PAGE 3

‘We’ll lose the plot’ if EU/WTO dictate taxation reforms FROM PAGE 1 increasing the 7.5 per cent Value-Added Tax (VAT) rate to cover the near-$200 million in import tariff revenue likely to be lost in a “realistic scenario” for WTO accession, describing this as a “knee jerk”. He said the details, as yet unknown, in the report that produced the $200 million estimate required careful study, and praised the Ministry of Finance’s efforts to establish a Tax Working Group - comprised of all relevant stakeholders - to review the Bahamas’ tax reform options. “I wouldn’t say external forces are making us change our tax structure,” Mr Bowe told Tribune Business. “What’s happening externally is saying how do we want to play in the global village. “There’s no forcing of us. We have to decide what our identity will be, and how we’re going to play in the village. We have to have a tax structure that makes us competitive.” The BICA president, though, suggested that the Bahamas will have less time to phase-in import tariff cuts/eliminations upon joining the WTO when compared to the Economic Partnership Agreement

(EPA) with the European Union (EU), as the latter provided for a longer transition. Mr Bowe said the WTO provided for an average three to five-year tariff transition, but he argued that compensating for foregone Customs duties and the liberalised trading regime’s demands should not be the sole or dominant factor driving Bahamian tax reform. He added that the same applied to the EU, and suggestions that the Bahamas should adopt low-rate corporate taxation to protect its financial services industry and shed the ‘tax haven’ label. This, Mr Bowe said, was one of several key consideration, with both WTO and EU-related issues deserving equal weighting alongside the need to ensure the Government has sufficient revenue to cover expenses and provide essential services. “Our lethargy has forced us into more rapid decision-making, but that’s our history of waiting till crunch time to make decisions,” Mr Bowe told Tribune Business. “That has forced us to look at things more holistically and in a more rapid manner. “But if we bow to external forces we’ve lost the

plot. It’s our decision, and our decision to play in the global arena. We should at least be looking 25 years out, so at least it [tax reform] carries us through generational change. We need to see what our tax structure is for the future, so that it’s not a knee-jerk reaction to WTO concerns, the EU or both.” Mr Bowe credited the creation of a Working Group to assess the tax reform options as “the most appropriate approach”, given the “multiple issues” bound up with tax reform. He added that while the estimate of $200 million in foregone import tariff revenues would trigger discussion, the report giving rise to this estimate needed to be released in its entirety. “While the report indicates that by reducing tariffs we will need to replace a significant amount of revenue, the details in the report are going to be critical as the devil is in the details,” Mr Bowe explained. “We have to look at compliance rates, tax incentives for foreign direct investment and our competitiveness as a jurisdiction for financial services and investment. “Whatever we do is not going to happen overnight.

The accession is supposed to be in 2019, and the only way to immediately replace that revenue is to increase the VAT rate,” the BICA president added. “That’s a knee jerk. “If we don’t have a strategic plan for the medium and long-term, the knee-jerk reaction is to increase taxation, which will be VAT. That will send mixed messages about VAT, when we say we’re trying to reduce the burden at the same time as using it as a lever to replace import duties. “We shouldn’t be reacting to one policy issue. We should be collating all of them, and then sitting down and making sure we methodically work through.” Mr Bowe said tax reform needed to be handled especially carefully, given how emotional Bahamians are over the subject. “Bahamians are emotional about tax,” he told Tribune Business. “If you speak to them about income tax, the lines are drawn. But if you say to them that tax rates are 22 per cent of GDP now, and we’re looking to keep them there while shifting the burden and looking for compensating revenue, and making it more progressive, the reaction is largely without objection.”

NOTICE Pursuant to the provisions of Section 138 (8) of the International Business Companies Act, 2000, notice is hereby given that:SIGWELL INC. has been dissolved and struck off the Register pursuant to Certificate of Dissolution issued by the Registrar General on 23rd February, 2018. C.B. Strategy Ltd. Liquidator

ROYALSTAR PROFITS QUADRUPLE AMID PREMIUM ‘HARDENING’ FROM PAGE 1 risks they underwrite. This effectively makes them a ‘price taker’ from reinsurers, which cover the bulk of these risks. Anton Saunders, RoyalStar’s managing director, said the year-over-year decline in the insurer’s net written premiums was due to it choosing not to renew coverage on risks where “pricing pressure” has pushed premiums below its target underwriting margins. Writing in the same annual report, he said: “Net Written Premium (NWP), after deduction of catastrophe and excess of loss reinsurance costs, was $15.912 million, a reduction of $765,900 compared to 2016. “The reduction in NWP was mainly due to the group not renewing business where pricing pressure reduced premium levels below the group’s underwriting margins.” RoyalStar’s 2017 financial performance highlighted the swings in property and casualty industry profitability, which typically peaks in years when the Bahamas avoids a major hurricane impact. The underwriter’s ‘bottom line’ quadrupled or increased more than fourfold, from $1.009 million in 2016 to $4.607 million, due almost entirely to the near-$4 million drop in net claims incurred. These fell to $5.873 million from $9.709 million the year before, when RoyalStar and its competitors were dealing with claims payouts stemming from Hurricane Matthew. Gross written premiums increased from $64.728 million to $69.573 million, a 7.48 per cent increase, although net premiums earned were flat year-overyear at just over $21 million due to reinsurers taking a greater share. Mr Saunders said RoyalStar’s 2017 profits included both underwriting and investment returns, an improvement upon the previous year when Matthew drove it to an underwriting loss. “The RoyalStar Group of Companies produced a very strong result of $4.607 million, which is comprised of an underwriting and investment profit of $2.656 million and $1.951 million, respectively,” he said. “This is compared to prior year, which produced a result of $1.008 million comprised of an underwriting loss and investment profit of ($91,100) and $1.1 million respectively.

“The current year results were in line with our budget projections. Our total equity as at December 21, 2017, was $47.191 million, which produced a Return on Equity (ROE) applicable to ordinary shareholders of 11.29 per cent compared to the prior year of 0.98 per cent.” Sir Franklyn, meanwhile, said RoyalStar’s corporate restructuring, which saw the creation of RoyalStar Holdings as the parent company owning 100 per cent of the underwriter, will enable the group to diversify “and assess profitable investment opportunities as they become available”. “Through the creation of RoyalStar Holdings (RSHL), the group is now in a position to maintain consistent underwriting and investment results in the future,” he added.

RoyalStar’s financials, meanwhile, reveal that in January 2018 it contributed $659,758 to pay off a $7 million loan from CIBC FirstCaribbean International Bank (Bahamas) to an affiliate in which it has a 19 per cent equity stake. That affiliate is Luxury Homes (Bahamas), the real estate holding company that owns a 100-acre plus tract opposite St Andrew’s School at Yamacraw. Some of that land was sold to BISX-listed AML Foods, and is now the site for its Solomon’s Yamacraw outlet. Luxury Homes (Bahamas) other shareholder is Arawak Homes, an affiliate of Sunshine Holdings, which holds most of the equity in RoyalStar Holdings’ 53.05 per cent majority shareholder, SunStar Ensure Ltd.

“During January 2018, the directors of Luxury Homes decided to repay the outstanding loan balance due to FirstCaribbean,” RoyalStar said. “This required a capital injection by the company in the amount of $659,758, which represents the company’s obligation of the outstanding loan balance.”

NOTICE

MAP DIRECTIONS

Pursuant to the provisions of Section 138 (8) of the International Business Companies Act, 2000, notice is hereby given that:DUMFRIES LONG ISLAND LTD. has been dissolved and struck off the Register pursuant to Certificate of Dissolution issued by the Registrar General on 23rd February, 2018. C.B. Strategy Ltd. Liquidator

Eastern Road Entrance House on the corner orange and white

PUBLIC AUCTION LOT 22 BLACKBEARD’S TERRACE SUBDIVISION.

EASTERN ROAD

NOTICE Pursuant to the provisions of Section 138 (8) of the International Business Companies Act, 2000, notice is hereby given that:PINK DUSK LTD. has been dissolved and struck off the Register pursuant to Certificate of Dissolution issued by the Registrar General on 23rd February, 2018. C.B. Strategy Ltd. Liquidator

NOTICE

ANY PRICE OR ANY OFFER WILL BE CONSIDERED To be sold by Public Auction pursuant to the Writ of Execution of the Honourable Madam Registrar of the Supreme Court of the Commonwealth of The Bahamas, dated the 22 November 2017 in Supreme Court Action number CLE/gen/00041 of 2017. Description: 3-4 Bedrooms 3 Bathroom, Just off Eastern Road, Recently Built Home. (Details without guarantee) The above particulars and any further particulars that may be given with regard to the Property and Home at Lot 22 Blackbeard’s Terrace Subdivision are and will be given in good faith, but no responsibility and/or liability will be accepted for their accuracy. Purchasers must make their own independent enquires. All Bids may be submitted in a Sealed Envelope by Monday 30 April 2018: To Rolle & Rolle, No 13, Seventh Terrace West, Centreville, Nassau, Bahamas, by hand delivery. (Same Street as Xerox) The winning bidder must present Twenty-five (25%) of the purchase price/deposit at the time of the winning auction. The balance is to be paid within Twenty-one (21) days thereafter. All deposits are non- refundable. Price analysis for homes in Blackbeard’s Terrace Subdivision can be obtained from reputable Real Estate Agents. The Provost Marshall reserves the right to reject any and all bids.

PAGE 4, Tuesday, April 24, 2018

THE TRIBUNE

Water Corp chair warns: Restructuring is coming FROM PAGE 1 action. Declining to provide details, Mr Gibson told Tribune Business to “stay tuned”, pledging that the Corporation will “seek recourse for any losses incurred” on a Gladstone Road Wastewater Treatment Plant that is still to be completed despite already suffering a 91 per cent cost overrun. Describing that project as “an albatross” for the Corporation, the chairman said it could no longer be a refuge for politicians and others to “stack cronies and ignore basic business principles.” With the Water & Sewerage Corporation having accumulated more than $150 million in total net losses during its history, and annual taxpayer subsidies reaching as high as $30 million in recent years, Mr Gibson indicated tough decisions will ultimately have to be taken to make it profitable.

“The reality is that as we move forward we will have to restructure and reorganise Water & Sewerage. All options are on the table on that,” he told Tribune Business. “Consideration will likely be given to voluntary separation packages (VSeps), no doubt.” Mr Gibson, though, emphasised that “we haven’t come to that point yet”, with the Corporation and its Board focused instead on “trying to get operations streamlined and more efficient, and improve the customer experience”. To achieve the latter, the chairman said the Corporation was targeting better customer call management and responses; improved revenue measures and collection enforcement; being more proactive in dealing with, and managing, delinquent payers and accounts receivables; and “improved adherence to financial systems and procurement controls”. “I’m putting policies in place with respect

HELP WANTED

Administrator/Receptionist required for a small Offshore Company. Must be proficient in Excel & Word, with a basic knowledge of accounting. A working knowledge of QuickBooks would be an asset. Must have excellent communication skills, and the ability to manage the office. Previous experience in the financial industry an asset but not a must. Email resume to:”employ2018@outlook.com”

to anti-corruption, a new procurement and tendering policy, and any number of policies we’re currently working on,” Mr Gibson said, adding that improved due diligence on vendors and contractors will also be required. Despite sharing a common owner in the shape of the Government, Bahamian utilities have often been criticised for failing to work together - something which, according to Mr Gibson, the Minnis administration plans to change. Pointing to the close business and friendship links between BPL and Water & Sewerage Corporation Board members, Mr Gibson said a follow-up joint Board meeting will likely be held soon after the inaugural event on December 7. Among the obvious potential collaborations identified by Mr Gibson is the co-ordination of repair work by the utilities so that the same stretch of road is not dug up repeatedly, causing frustration and extra costs for the Bahamian public. “We are taking a collaborative approach to working together to try and co-ordinate where and when work is being done,” he explained, suggesting that the utilities could seek to share road resurfacing and equipment rental costs to cause “less stress for the Bahamian people”.

NOTICE

NOTICE is hereby given that MAXIN PIERRE 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 24th day of April, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

Mr Gibson revealed that other shared interests identified at the initial BPL/Water & Sewerage Board meeting included the creation of a “one-stop customer service centre” and sharing the costs of installing automated meters as both utilities are “going down this road”. “While these things were only spoken to and have yet to materialise, they are all conversations for exploration and further discussion,” he added. “These synergies make sense.” Sharing fuel, and related shipping costs, in relation to supplying Family Island operations were identified as another potential area for BPL/Water & Sewerage co-operation. And, with the Corporation “considering the attributes of solarising” many reverse osmosis plants in the Family Islands, the possibility exists to supply excess energy back to the BPL grid. In the meantime, Mr Gibson said Water & Sewerage Corporation customers can look forward to “improved services and timely billing”, revealing that it was seeking to cut the existing billing period from three to two months. “The lengthy period between when bills come out and persons pay, we’re going to close that gap,” he told Tribune Business. “We’re going to have a renewed focus on particular areas of New Providence

NOTICE

is having to pay a non-completion ‘penalty’ to Baha Mar by supplying it with heavily discounted water to irrigate the Cable Beach development. “The Gladstone Road plant and the issues connected there-to have been one of the greatest tragedies for the Water & Sewerage Corporation,” Mr Gibson told Tribune Business yesterday. “It’s been an albatross, but it has so much potential in terms of how sewage is treated and also the benefits to the Corporation’s bottom line. “In the coming days you’ll hear more with regards to the Board’s position in respect of getting some resolution with respect to the Gladstone Road plant, and legal action arising out of the audit report. “At this point I’m not going to say more, but I can tell you we will address it and we will seek recourse for any losses incurred. I would say: Stay tuned.” Pointing to politicallymotivated interference as the root cause of the Corporation’s problems, Mr Gibson added: “Water & Sewerage needs to be run like a business. It shouldn’t be a place where cronies are stacked and basic business principles are ignored for the sake of expediency. “For any business to survive it must move to right-sizing, streamlining and profitability.”

LEGAL NOTICE

NOTICE is hereby given that NTHAWA BENNET of Lumumba Lane, P.O. Box N-9668, 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 April, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

MARKET REPORT MONDAY, 23 APRIL 2018

and the Family Islands where there are delinquencies, and where such things arise they will be disconnected because of lack of payment. “The Corporation has to function.... You’re talking about an entity with an accumulated deficit of $150 million. We’re trying to reduce that deficit and move the Corporation to profit. There are various avenues we are going to explore.” But, amid the future focus, Mr Gibson said the Corporation will not forget the EY audit findings, especially those on the Gladstone Road treatment plant whose costs have soared from an original $9.6 million budget to $18.3 million at last count. Further capital investment is required to complete the plant, which is supposed to treat Baha Mar’s wastewater and return it to irrigate the $4.2 billion project, and was highlighted by the audit as an example of how politically-motivated interference and mismanagement have cost the Corporation and Bahamian taxpayers millions of dollars. Besides the capital loss on the wastewater plant’s construction, every day it remains unfinished costs the Water & Sewerage Corporation significant revenue and operating losses. This is because the Corporation

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

BISX ALL SHARE INDEX: CLOSE 1,974.27 | CHG -0.02 | %CHG 0.00 | YTD -89.30 | YTD% -4.33

FINAL NOTICE Pursuant to the provisions of Section 138 (8) of the International Business Companies Act, 2000, notice is hereby given that:NARTEX INC. has been dissolved and struck off the Register pursuant to Certificate of Dissolution issued by the Registrar General on 4th, APRIL 2018. Dillon Dean LIQUIDATOR

BISX LISTED & TRADED SECURITIES 52WK HI 4.31 19.17 7.50 3.76 1.64 0.19 4.50 8.80 6.60 5.30 11.50 2.59 1.56 9.25 6.10 10.55 8.10 13.67 12.51 11.00

52WK LOW 3.50 17.43 7.50 3.32 0.90 0.12 3.30 8.40 6.00 3.15 9.00 2.18 1.40 7.30 6.00 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

LAST CLOSE 4.25 17.43 9.09 3.34 1.00 0.18 3.35 8.80 6.10 4.13 10.07 2.86 1.50 7.72 6.10 10.44 6.43 4.29 12.51 10.00

CLOSE 4.25 17.43 9.09 3.35 1.00 0.18 3.35 8.80 6.10 4.13 10.07 2.82 1.50 7.71 6.10 10.44 6.43 4.29 12.51 10.00

CHANGE 0.00 0.00 0.00 0.01 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.04 0.00 -0.01 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

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

110.26 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.07 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

110.19 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

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 Sub Fund Royal Fidelity Int'l Fund - High Yield Fund Royal Fidelity Int'l Fund - Alternative Strategies Fund

VOLUME

1,000

VOLUME

EPS$ 0.361 0.932 -0.306 0.281 -1.133 0.000 -1.465 0.638 0.573 0.171 0.631 0.102 0.330 0.000 1.129 0.743 0.832 0.293 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 0.084 0.300 0.500 0.150 0.120 0.570 0.000

P/E 11.8 18.7 N/M 11.9 N/M N/M -2.3 13.8 10.6 24.2 16.0 27.6 4.5 N/M 5.4 14.1 7.7 14.6 23.0 0.0

YIELD 1.88% 6.48% 0.00% 6.87% 0.00% 0.00% 0.00% 3.64% 3.61% 2.91% 6.85% 2.13% 3.33% 1.09% 4.92% 4.79% 2.33% 2.80% 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

0.0 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%

NAV 2.13 4.12 1.99 178.69 153.40 1.54 1.69 1.62 1.09 7.16 8.22 6.39 11.30 11.67 10.19

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

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 29-Mar-2018 29-Mar-2018 29-Mar-2018 29-Mar-2018 29-Mar-2018 29-Mar-2018

LEGAL NOTICE INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000) BLUE STARS SECURITIES FUND LTD. Notice is hereby given that, in accordance with Section 138 (8) of the International Business Companies Act, No. 45 of 2000, the Dissolution of BLUE STARS SECURITIES FUND LTD. IBC no. 174437 B (the “Fund”) has been completed, a Certificate of Dissolution has been issued and the Fund has therefore been struck off the Register. The date of completion of the dissolution was the 28th day of March, 2018.

Juan Jose Moratorio Liquidator

INTERNATIONAL BUSINESS COMPANIES ACT 2000

BREEN ENTERPRISES LTD. In Voluntary Liquidation

Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act, BREEN ENTERPRISES LTD. is in Dissolution. The date of commencement of the dissolution was 19th April, 2018. Mr. Isal Moises Campo Tejeira of Residencial Camino Real, Edificio Karina, Apartamento No. 4, Frente Al Rest. Marco Polo, Panama is the Liquidator of BREEN ENTERPRISES LTD. Isal Moises Campo Tejeira Liquidator