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FRIDAY, MAY 3, 2019

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JOHN ROLLE

Governor calls for ‘more aggression’ over loan arrears By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Central Bank is pushing the banking sector to “speed up” resolving its remaining $742m loan arrears so that it can better fuel economic growth, its governor said yesterday. John Rolle said the industry regulator was seeking “firmer direct interventions” by its commercial bank licensees to eliminate the “drag” bad loans are having on their ability to issue new credit and stimulate a faster expansion of the Bahamian economy. He called for “more aggressive write-offs and recognition of losses” on credit that will prove difficult to recover, as well as the rapid sell-off of foreclosed properties and further restructurings with borrowers who still have some ability to pay. “For the private sector, commercial banks experienced further reduction in loans delinquencies during the first quarter,” Mr Rolle said during a press conference called to discuss economic developments during the first three months of 2019. “However, this is still occurring at very gradual pace, and with month-to-month changes that sometime show no improvement. “The more considerable reductions in recent years have still been from the bulk sales of delinquent loans to private investors and to the government’s Resolve entity. A growing

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Tribune Business Reporter

nmckenzie@tribunemedia.net THE Central Bank’s governor yesterday said he is aiming to reduce “exchange control interference” with the approvals process for real estate deals involving foreign investors. John Rolle, responding to Tribune Business inquiries, said: “For us one of the areas where we would like to see some reforms possibly later this year - is the interaction between exchange control and the real estate market in terms of how we process and approve those type of transactions. “It is a conversation that we are having with the Ministry of Finance. From a data point of view we still need to know what’s happening. There are some points in the system where improving the information collection could serve our purpose, and it could allow more of the private transactions in the real estate space to take place without as much of the exchange control interference. That’s an area where we do expect to see some developments this year. I’m talking more the residential side.” Tribune Business

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Taylor Industries insolvent by $1m By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

AYLOR Industries is insolvent by $1m after racking up a combined $1.856m in losses during the four-and-a-half years prior to its January 8 closure, it has been revealed. Andrew Davies, the Crowe Bahamas accountant, disclosed that the failed 74 year-old electrical retailer and contractor’s trade and unsecured creditors will recover none of the debts owed to them due to the massive solvency gap. Appointed as the company’s liquidator by the Supreme Court, his first

• Suffered $1.856m in losses since 2014 • Employees won’t receive all termination pay • Trade and unsecured creditors to get nothing • Family pays NIB so staff get jobless benefits report on the company’s affairs reveals that only the government (VAT and taxes) and the 43 former Taylor Industries staff will recover any money from the firm’s winding-up. The report, obtained by Tribune Business, shows the Shirley Street-based business had more than $600,000 in total assets when owners and management decided to close its doors just a week into the New Year.

The company’s own financial records pegged these at $601,848, while Mr Davies’ review attributed a slightly higher value of $615,599. However, the liquidator is estimating that just 46.8 percent of the latter sum - some $288,189 - will be recoverable during Taylor Industries’ winding-up. As a result, given that total claims liabilities against the company amount to some $1.289m, Taylor Industries’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A $25M INTER-AMERICAN Development Bank (IDB) loan is aiming to reverse an 85 percent rejection rate on small business financing applications, it was revealed yesterday. Unveiling the strategy developed with the government and private sector for unlocking the growth potential of micro, small and medium-sized enterprises (MSMEs), the IDB said some $22m of this sum will be injected into a Credit Enhancement Facility (CEF) overseen by the Small Business Development Centre (SBDC).

reported last year the complaints from multiple realtors, attorneys and others about how exchange control “red tape” had dramatically slowed approvals for real estate deals involving foreign investors, and was threatening to undermine investor confidence in this nation. They argued then that The Bahamas was “shooting ourselves in the foot” by causing multi-month delays that was resulting in “uncertainty and anxiety” among the foreign investor community, with many “wanting to get out” of this nation. The requirement for a conveyance that has been lodged with the Registry of Records, and proof this has been done, as confirmation of sale was adding four to six weeks to the Central Bank approval process. And the requirement for board minutes and resolutions was also said to have been contributing to delayed approvals, with clients and attorneys viewing this as unnecessary and possibly beyond the remit of the Exchange Control Regulations Act. Mr Rolle, in a January 2018 interview with Tribune Business, said the Central

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Some 77% of Bahamian bank lending on ‘personal loans’ This mechanism is designed to overcome the reluctance of commercial banks to extend loans to Bahamian MSMEs, especially those overseen by the SBDC who are “unable to meet collateral requirements”, by providing at least partial loan guarantees. Besides incentivising banks and others to expand their MSME portfolio through this extra security coverage, the IDB said the project will also help make inroads into lending practices where 77 percent of

credit issued in The Bahamas goes to personal loans - not the productive sectors of the economy, such as housing (mortgages) and commercial loans. The IDB’s paper on its MSME “credit enhancement” project, which has been obtained by Tribune Business, said the “enabling environment for private sector investment” is one of the key structural weaknesses that The Bahamas must address to achieve higher GDP growth rates. Linked directly to this is entrepreneur and MSME

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URCA releases Internet Exchange oversight regime By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

access to capital, a longstanding deficiency that continues to hold job creation and business expansion back, especially since 98 percent of Bahamian companies fall into this category. Suggesting that the Credit Enhancement Facility’s creation was well-timed with the Bahamian economy poised to rebound, the IDB said: “In order to improve productivity and reverse a decline in external competitiveness, the government needs to address structural impediments, particularly an enabling environment for private sector investment.

REGULATORS yesterday moved to create the supervisory framework for Bahamas-based Internet Exchange Points (IXPs) in a bid to lower local access costs. The Utilities Regulation and Competition Authority (URCA), in releasing its consultation paper on the form an IXP regulatory regime should take, said the absence of such facilities in The Bahamas meant Internet Service Providers (ISPs) had to routinely route locally-designed and targeted content through other countries. This, it added, merely increased costs for the likes of the Bahamas Telecommunications Company (BTC), Cable Bahamas and both ISPs subscribers, with the prices for their international routing circuits between six to 17 times’ greater than their local ones.’ IXPs are points, facilities or infrastructure on the Internet where ISPs and content distributors connect with each other on the Internet. They are seen as key components of a country’s digital infrastructure, serving as “centralised clearing houses” for the exchange of Internet traffic between technology-based companies.

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creditors face a massive $1m solvency gap in attempting to recover what is owed to them. The liquidator’s report lists the $28,060 in VAT owed to the government, and collective $682,096 in termination pay due to Taylor Industries’ former staff, as “preferential claims”. This means that all the $288,189 in recoverable

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$25m initiative to reverse 85% small firm credit rejection

Central Bank eyes ‘less interference’ on property deals By NATARIO MCKENZIE

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PAGE 2, Friday, May 3, 2019

HEN we speak of workplace literacy, we are referring to the mix of skills employees need to complete everyday tasks at work. Employees need these skills to communicate with customers, understand health and safety information, keep accurate records, follow production schedules and many other vital tasks and assignments. We often take for granted the large percentage of employees who are not able to function with even basic literacy skills. There are certain clues that signal reading and writing deficiencies, such as:

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WRITING CLUES • Take reports home to complete • Get co-workers to fill out forms • Have trouble filling out a time sheet • Have trouble with grammar and spelling • Have trouble expressing themselves in writing

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THE TRIBUNE • Written messages are difficult to understand READING CLUES • Do not follow written instructions correctly • Have not read the safety manual • Get hurt even though there are signs indicating danger • Mix chemicals together that should not be mixed • Say they forgot their glasses and get others to read for them OTHER CLUES • Have expressed an interest in employee development in the past • But do not participate in meetings • Are worried about the implementation of computers in their specific jobs • Are nervous about being trained on new equipment • Have been employed in the same position for the past 20 years and not given any indication that they would like to advance.

Progressive companies are proactive in trying to address these learning deficiencies among their staff. Here are a few suggestions we make to bring all team members along: 1. Conduct a skills audit with all staff to determine exactly where team members are in relation to financial literacy, numeracy, general literacy, computer proficiency and any other crucial skills needed in the workforce. 2. Develop a budget for educational programmes that will help staff get the training they need 3. Assign a talent development co-ordinator to fill the skills deficiency gap 4. Customise programmes that will specifically allow employees to benefit from the training and learning opportunities 5. Have all leaders model reading and engaged learning practices

IAN FERGUSON BY

• NB: Ian R Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organsations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at iferguson@bahamas.com

BTC touts doubling of internet speeds THE Bahamas Telecommunications Company (BTC) says it has doubled Internet speeds for all customers on its newlyextended Fibre to the Home (FTTH) residential network infrastructure. Access to high-speed broadband internet has been expanded to BTC customers in the Cable Beach, Ridgeland Park, Pinewood Gardens and Ardastra Gardens communities, and in George Town, Exuma, as the carrier seeks to upgrade network and service quality. Garry Sinclair, BTC’s chief executive, said: “We’re giving our

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GARRY SINCLAIR customers what they really want in their homes - faster broadband speeds for more and better connected devices. Almost 4,000 customers have had their services upgraded from regular DSL services to high speed broadband as a result of our extensive upgrades.” BTC’s fibre service previously produced a minimum

of 25 megabits per second (mbps) in speed. Customers with the top-tier broadband internet package are now experiencing speeds of over 300mbps. “There is so much more that’s now available to our customers as a result of this upgrade,” Mr Sinclair added, “including ‘smart home’ applications like security monitoring devices; energy conservation tools like smart light bulbs you can control and monitor with your mobile device; and remote control of appliances such as air conditioning units, water heaters, refrigerators and audio-visual equipment all from your mobile device.” Besides the smart home functions, customers with FTTH services can also get BTC’s next generation television service, Flow TV, and its more than 200 channels.

“Last week, we title sponsored the National Family Island Regatta, and we showcased our blazing speeds and Flow TV product in Exuma,” Mr Sinclair said. “Since the start of the year, we’ve gone directly to neighbourhoods and held community events. “We’ve used the opportunity to provide white glove treatment to our customers, going to their homes and ensuring that their existing services are working well, and telling them about new services that they can take advantage of. The initiative has been well received and we intend to continue it.” Eastern New Providence, Lucaya, West End and Eight Mile Rock in Grand Bahama have already been blanketed with FTTH and Flow TV services.

THE TRIBUNE

Friday, May 3, 2019, PAGE 3

GOVERNOR: ‘LITTLE JOY’ IN GROWTH FORECASTS By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE Central Bank’s governor yesterday said there was “not much joy” in The Bahamas’ mediumterm growth projections, and called for more focus on “improving” the country’s GDP potential. John Rolle said that while the economy was currently benefiting from a strong tourism industry performance, it could not afford to ignore forecasts that its medium and longterm GDP growth will dip from 2019’s projected 2.1 percent to an average around 1.5 percent. “The economy is strong,” Mr Rolle said. “You’re working with what you got. You want much more. To see a 20-something percent jump in estimated revenue from the tourism

JOHN ROLLE

sector, that’s happening because we just had a huge amount of rooms added, and because there is a takeoff in interest in vacation rentals. “To continuously see that kind of growth would mean someone is continuing to add a large amount of capacity. You’re adding the airlift and you’re having the port facilities to keep up with the traffic volumes.” Yet he added: “Based on how the infrastructure is set today, everything that we look at says once you’ve gotten over this adjustment you’re growth rate is averaging slightly below the two percent range. By most measures that’s not considered a satisfactory or pleasing projection for The Bahamas. “In terms of our growth potential I think there is not much joy or thrill in The Bahamas. In terms of where

we are today, the transition that is happening in the economy is a very strong transition because of the momentum from tourism. “The longer and medium term focus really is to make certain that that 1.5 percent potential growth improve, which means that on a yearly basis you’re looking at either investments or ways of being productive that are generating good revenue growth.” When asked about the government’s nine-month “fiscal snapshot, and VAT revenue yield for the yearto-date, Mr Rolle said: “I’m not concerned so much about how the economy adjusts in the very near term when the government makes adjustments in its policies. “What is more important is what the adjustments mean for the economy three, five and ten years

out. When you increase taxes, by definition there is going to be some adjustments in demand, but if it is being carried in the context where other forces and momentum are propelling the economy higher, those will dominate eventually.” The Central Bank governor added: “We also expect that the sort of improved health in the public finances is going to have its own set of benefits and rewards. What we have to always appreciate in The Bahamas is that some difficulties that exist, there are some painful measures and there are many more tough decisions from a policy point of view that might come up. “In all of those cases you would find that once you make the decision there may be a bit of an adjustment upfront that gives you sort of a mixed message.”

NAD AND LUCAYAN DEALS DROP RESERVES TO $1.4BN By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE Bahamas’ foreign currency reserves fell to $1.4bn at end-March 2019 due, in part, to the Grand Lucayan purchase and Nassau Airport Development Company (NAD) refinancing. John Rolle, the Central Bank’s governor, said the year-over-year decline was not unexpected with the government continuing to draw down on the $750m US dollar bond it placed with international investors towards the end of 2017. “Then also there were two bulky transactions in 2018 that drew down on the reserves,” he added. “One of those transactions was the purchase of the Grand Bahama hotel, and also some refinancing activity that took place by the Nassau Airport Development Company. “Both of those collectively would have

contributed to an almost $130m difference in terms of the level of foreign reserves which we currently hold. In terms of the international measures of months of non-oil imports that reserves could pay for, however, The Bahamas remains well above the considered minimum comfort level of three months.” The NAD refinancing accounted for a $69.5m drawdown on the external reserves, as foreign currency was needed to pay-off former investors, while the initial capital investment required for the Grand Lucayan was $60m. Notes attached to the Central Bank’s 2019 first quarter presentation said the pending sale of the Grand Lucayan to the ITM/Royal Caribbean joint venture would “reverse almost half of this drawdown”. Mr Rolle, meanwhile, said the commercial banking industry’s liquidity position had improved

during the 2019 first quarter in line with seasonal foreign currency inflows. “However, this also reflected continued reduction in outstanding credit to the private sector, which was most pronounced in consumer loans,” he added. “Credit to the government also contracted, but this was because some of the government’s debt shifted out of banks and into the private sector holdings. Also, the net amount the government owed to banks decreased after the government received the transfer of the unclaimed deposits that were identified during the reform of the dormant account system in late 2018.” Turning to the proposed Credit Bureau, Mr Rolle said: “Right now, the selected provider is going through the licensing process and they are providing all of the additional information to complete the licensing process.

Chamber chief: Politics retarding GDP growth By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net POLITICAL “polarisation” has contributed to the stagnation of Bahamian economic growth, the Chamber of Commerce’s chief executive yesterday saying: “Look where it’s gotten us.” Jeffrey Beckles, pictured, addressing the Rotary Club of West Nassau, argued that for the past five to six decades “everything done in this country has been wrapped in political polarisation”. “In The Bahamas it is one thing to encourage people to think creatively,” he said. “It

is another thing to cause Bahamians to think futuristically. Until we begin to have apolitical conversations we are not going to grow. It’s that simple. “For 50 to 60 years everything that has been done in this country has been wrapped in political polarisation. Look where it has gotten us. Our conversations, then, have to be apolitical. When The Bahamas’ name is called it is not our individual names; it is all of us. If The Bahamas is viewed as not being ready that is all of us.” Mr Beckles added that the current record record growth in tourism numbers that The Bahamas is

experiencing must translate into increased economic impact and jobs. “It is one thing to talk about the uptick in recent times, but the true measure is going to be years down the road because have to be able to sustain it,” he explained. “Let’s not just talk about the recent improvement; let’s try to drill down a bit more so we understand why, what have we done and what’s the plan to sustain that success. “The other question to be asked is how are these increases that we talk about affecting the average Bahamian? How are they affecting the restaurant, the straw market and transportation? If they aren’t feeling it then we are simply talking about a number.”

LPIA AIRPORT “We believe that will be concluded in the next few months, and that they will be on the ground beginning their operation. There is already some outreach that has begun in terms of the interaction with the potential provider and the industry. We expect that that outreach will intensify once they have completed the licensing process.” He added that the bank expects to begin its digital Bahamian dollar pilot project this year, with Exuma having been selected as the island testing ground. “Taken altogether, the Central Bank still does not see any evolving trend that would pose any nearterm risk to the external

THE GRAND LUCAYAN RESORT reserves, and therefore the underlying support for the Bahamian dollar,” Mr Rolle said. “There is no need to adjust our current relaxed posture towards potential credit growth in the near term.”

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PAGE 4, Friday, May 3, 2019

THE TRIBUNE

Taylor Industries insolvent by $1m FROM PAGE ONE assets will go to them, and the trade and unsecured creditors owed a total $579,706 in accounts payables are unlikely to receive a cent. The liquidator’s report reveals there are 37 Bahamian business/trade creditors owed a collective $80,713, with balances ranging from $16,116.50 down to $19.50. “The average local trade creditor balance equates to $2,181,” Mr Davies wrote. “The liquidator has been in communication with the largest local trade creditor but has had limited interaction with other creditors.” Overseas creditors are owed $244,310, most of it due to three main suppliers. They are likely to be covered, though, by their trade insurance. And, with the government’s VAT for the 2018 fourth quarter leading the creditors’ queue, Tribune Business calculations suggest that the company’s former staff are likely to receive “cents on the dollar” rather than the full amount they are owed. The figures suggest they could get around 38 cents of every $1 owed, but even this will probably end up being much less because the liquidator has to cover his and his attorneys’ fees from the remaining assets. “Based on the liquidators’ estimate of the estimated receipts and subsequent available funds to disburse in the winding up the company, there will be no assets left to distribute to this class of creditor,” Mr Davies warned of the unsecured creditors. “In order to save on costs and maximise returns for the preferential creditors, the liquidator proposes he seeks the approval of the courts to minimise time spent responding to these creditors and permission to forego running a formal claims process for this creditor group as would usually be required.” The report also reveals that Taylor Industries’ former staff were initially unable to claim unemployment benefit from the National Insurance Board (NIB) because the company had become delinquent on its contributions. This was

resolved when its majority owners, the Taylor family, paid the outstanding sum from their own personal funds. “Management notified the liquidator that as a result of cash flow restrictions NIB contributions for the company had not been made for the months September 2018 to December 2018 inclusive, and the first week of January 2019,” Mr Davies revealed. “The failure of the company to pay these contributions impacted the terminated employees’ ability to claim unemployment benefit from NIB. The amounts owed to NIB were subsequently paid directly by the Taylor family from personal funds in the first week of liquidation.” Taylor Industries’ sudden closure came as a surprise to many but the company had been in financial difficulties for some time. The financials published with the liquidators’ report show it had consistently incurred net losses, mostly in the six-figure range and spread between a low of $77,793 and high of $748,408, during the four years to end-April 2018. The business lost a further $443,746 in the eight months and one week leading up to its closure, and the liquidator’s report said: “Total comprehensive losses for this four-year period amounted to $1.412m with a corresponding reduction in total assets from $2.068m as at April 30, 2015, to $1.205m as at April 30, 2018. “Total revenue between the year ended April 30, 2015, and April 30, 2018, declined by 36 percent [but] staff and related benefits remained constant over the same period [at between $1.3m to $1.4m].

“For the financial period May 1, 2018, to the commencement of liquidation (January 8, 2019) the company’s financial records showed... a further reduction in total assets by $602,891. By the commencement of liquidation the company’s financial records show the company was still solvent based on the balance sheet definition of solvency, albeit the total assets were only $22,142 greater than the total liabilities. Management informed the liquidator that the company had last declared a dividend in 2012.” Mr Davies, though, said the financial records did not account for the $682,000 termination pay that is now owed to all staff. The figures show a business that failed to align costs with falling revenues by downsizing and reducing its workforce, with the termination costs for employees - many of whom are long-serving - exceeding $70,000 in one individual case. The termination sums were seen as cost prohibitive for a business losing such significant sums of money, creating an obstacle to downsizing and saving the business that proved impossible to overcome. Taylor Industries’ major shareholders, the Taylor and Mabon families, would have been reluctant to inject such capital given the real risk it would never have been recovered. “Taylor Industries’ staff demographic contained many long-standing employees who, under Bahamian labour law, would have been entitled to significant termination pay for which the company did not have the cash reserves to meet as part of a restructuring exercise,”

Mr Davies wrote. Other sources of turnaround/restructuring financing proved equally hard to come by. The inability to raise commercial bank financing to fund “a reduction in head count” was cited by the liquidator’s report as one factor leading to Taylor Industries’ demise, while CIBC’s withdrawal of its overdraft facility further reduced working capital available to fund new inventory purchases. The report added that there was also “a lack of non-core assets... that could have been divested to fund a reduction in head count in line with the reduced level of sales”. Taylor Industries did not own its real estate, which included a Dunmore Street warehouse as well as the Shirley Street headquarters, meaning “sale and leaseback” deals to raise capital were not available to it. Both properties are owned by the Taylor family via another company, meaning Taylor Industries was essentially an operating business that owned few physical assets. Its insolvency means another long-established brand new in the Bahamian retail industry is no more, much like John S George and City Markets, and raises as to how many other Bahamianowned businesses of similar size are going through the same struggles in a bid to survive. The liquidator’s report echoes Taylor Industries’ previous comments to Tribune Business about the reasons for its closure, citing a perfect storm of internal and macroeconomic factors. Some observers, though, felt it had become a tired brand that failed to adjust to the

transformation in how retail commerce is conducted especially the transition to online shopping. This was cited as one factor behind Taylor Industries’ end, together with the VAT rate increase to 12 percent; having to still pay business licence fees despite making substantial losses; the reduction in electrical contracting work due to the economic slowdown; and a reduction in working capital resulting from the consistent net losses. Detailing the potential sources of recovery for creditors besides cash left in Taylor Industries’ bank account with CIBC FirstCaribbean International Bank (Bahamas), Mr Davies is estimating that just $75,000 or 39.5 percent of the company’s outstanding accounts receivables will be recovered in the liquidation. This represents monies owed to the electrical contractor/retailer at the date of its closure, but Mr Davies suggested that more than $113,000 of this $189,851 sum would either be impossible or too expensive and time consuming to recover, thereby representing an unjustifiable drain on already scarce resources. “Efforts have already been made to obtain payment from customers who owe Taylor Industries for services or products provided prior to the commencement of liquidation,” Mr Davies wrote. “As at the commencement of the liquidation, management provided the liquidator with an accounts receivable listing that showed a total amount owing of $189,851. “Of this total, $85,287 were over 90-days past due and $27,949 were for amounts less than $500. Due to the cash flow issues the company had been experiencing, management had been making a concerted effort to collect their receivables with varying results. “As at the date of this report, the liquidator has managed to get in $1,647 of this receivable balance since the commencement of liquidation. As many of the amounts owed are very old or relatively small, the Liquidator should be mindful of the time, costs and corresponding expense involved in pursuing smaller debts for a net loss to

the liquidation estate.” Mr Davies added that he would only pursue legal action against Taylor Industries’ attorneys if advised by his attorneys at Lennox Paton that “he has a very strong case, the amounts owed are of sufficient quantum, and any judgments that may be won are considered recoverable”. Taylor Industries’ remaining inventory of appliances and electrical parts is identified as the best source of creditor recoveries, but even here the liquidator estimates that the $314,515 worth of product shown in the company’s accounts will only realise around one-third of this sum at sale. Separating the inventory into retail products and electrical/repair parts, Mr Davies is forecasting that he will recover between $100,000 to $125,000 for creditors. “With respect to the retail products, the liquidator proposes the implementation of a twoto-three day liquidation sale that is widely advertised to the public with deep discounts in order to sell as many of the retail items as possible,” Mr Davies wrote. “Any remaining retail items can be offered on a wholesale basis to any suitable retail outlet that the liquidator can identify. A sale to the public would not be suitable for inventory that is generally purchased by electrical contractors and repair companies. “For these items the liquidator recommends they are sold on a wholesale basis to other retail or wholesale outlets who are pre-selected and have expressed an interest in buying in bulk. Sales of these items would go to the highest bidder with offers backed by non-refundable deposits for those whose bid is successful.” Taylor Industries’ sevenstrong vehicle fleet had a collective $53,000 insurable value, and $48,549 depreciated value, at the time of the company’s January 8, 2019, closure. Mr Davies is forecasting that he will realise $40,000 from their sale via a sealed bid auction, with non-refundable deposits required to “dissuade buyers who aren’t serious or lack the financial capacity to complete the deal”.

THE TRIBUNE

Friday, May 3, 2019, PAGE 5

$25m initiative to reverse 85% small firm credit rejection FROM PAGE ONE “The Bahamas continues to lag most Caribbean peers in terms of distance to the frontier in the World Bank’s Ease of Doing Business Index, particularly due to onerous administrative processes, high costs of trading across borders, and low access to credit.” It added: “One of the main constraints to private sector growth is access to finance. The Bahamas ranks 144th out of 190 countries, and 22nd among IDB borrowing countries, on an ‘ease of getting credit’ indicator, which is based on the absence of an established credit bureau and weak legal rights. “According to another study, less than one-fourth of companies undertaking investment projects in The Bahamas have been funded by private banks, and access to credit is particularly harder for SMEs, which report rejection rates as high as 85 percent (higher than Barbados at 35 percent, Jamaica at 55 percent, and Suriname at 27 percent).

As a result, Bahamian MSMEs had to rely heavily on internal funding sources and retained earnings, along with so-called “angel” investors and other financing forms. Some 50 percent of Bahamian MSMEs need such financing to expand their operations. However, risk averse Bahamian commercial banks have tended to shy away from commercial loans, especially where MSMEs are concerned. This is despite the six institutions, including the three Canadian-owned banks, possessing a total $12.2bn in assets and solid liquidity and capitalisation, with the average capital adequacy ratio standing at 33.3 percent. “Notwithstanding the high liquidity and capitalisation, credit to the private sector has been falling, particularly loans, with a decline of 5.6 percent over the last year [to September 2018] after annual decreases of 2.2 percent on average between 20142017,” the IDB paper said. “The commercial banking sector typically does not prioritise MSMEs,

preferring mortgages and consumer loans. Observing the sectoral distribution of credit in the banking system, 77 percent is categorised under personal loans, albeit some of these may include those destined for small business purposes. “The financial sector’s restraint from lending to MSMEs stems from two main problems; the lack of collateral, and lack of information and financial statements from the firms, which substantiate banks’ appetite for other instruments with lower capital allocation. The trend for lower risk had been reinforced recently by the legacy of the prolonged recession and the non-performing loans it produced.” While The Bahamas possesses a higher proportion of MSMEs than the Caribbean average, the IDB paper said they provided jobs for just under half this nation’s workforce - slightly less than the Caribbean average. “In The Bahamas there are close to 17,000 business licenses, and it is estimated that MSME form 98 percent of them and hire

47 percent of all employees,” the IDB said, drawing on SBDC data. “This reflects a strong dichotomy between a very small number of large companies in tourism-related activities and financial services that make a very significant contribution to economic activity, and a large number of smaller firms. “According to one study, most firms tend to have less than 10 employees and engage in wholesale and retail trade and services, such as transport and storage, construction, personal and business services, communication, education and health. Also, the vast majority of agricultural and fishery producers are small.” Still, the IDB said increased economic activity is set to “gradually improve the flow of bank credit”, with both the SBDC and impending creation of the Credit Bureau set to improve the enabling environment. The Credit Enhancement Facility (CEF), which will receive $22m of the project’s $25m in total funding,

FACEBOOK BANS ‘DANGEROUS INDIVIDUALS’ CITED FOR HATE SPEECH SAN FRANCISCO Associated Press AFTER years of pressure to crack down on hate and bigotry, Facebook has banned Louis Farrakhan, Alex Jones and other extremists, saying they violated its ban on “dangerous individuals”. The company also removed right-wing personalities Paul Nehlen, Milo Yiannopoulos, Paul Joseph Watson and Laura Loomer, along with Jones’ site, Infowars, which often posts conspiracy theories. The latest bans apply to both Facebook’s main service and to Instagram and extend to fan pages and other related accounts. Decried as censorship by several of those who got the ax, the move signals a renewed effort by the social media giant to remove people and groups promoting objectionable material such as hate, racism and anti-Semitism. Removing some of the best-known figures of the

US political extreme takes away an important virtual megaphone that Facebook has provided the likes of Jones, Yiannopoulos and others over the years. But it does not address what might be done with lesser known figures and those who stay on the margins of what Facebook’s policies allow. Critics praised the move but said there is more to be done on both Facebook and Instagram. “We know that there are still white supremacists and other extremist figures who are actively using both platforms to spread their hatred and bigotry,” said Keegan Hankes, senior research analyst for the Southern Poverty Law Center, which tracks hate groups in the US. Dipayan Ghosh, a former Facebook executive and an internet policy expert at Harvard, said the ban isn’t as big a step as Facebook appears to be painting it — it’s just enforcing its existing policy. “There will always be

more purveyors of hate speech that try to come on these platforms,” he said. “Will advocates have to push year after year just to

get (a handful of) individuals off? At this rate it seems likely. And this doesn’t address the problem of what happens at the margins.”

LEGAL NOTICE

NOTICE WAU INVEST LTD. NOTICE is hereby given as follows: (a) Wau Invest Ltd. is in Voluntary Dissolution under the provisions of Section 138(4) of the International Business Companies Act 2000. (b) The Dissolution of the said Company commenced when the Articles of Dissolution were submitted to and registered by the Registrar General of the Commonwealth of The Bahamas.

is designed to boost MSME lending by addressing bank concerns over sufficient collateral by providing sufficient financial guarantees to underwrite their credit. “Banks have initially confirmed their interest in participating based on the operating mechanism contemplated, which among other issues assures automatic drawdown from the CEF after a certain period of non-payment, and the improved information and skills of the MSME given SBDC support,” the IDB added.

“Financial institutions and end-beneficiaries of the loans will be established in the operating regulations. The target beneficiaries are credit constrained MSMEs with viable projects that have received advisory support from SBDC.” The remaining $3m will go to expanding the business advisory services, mentorship and incubation services offered by the SBDC, which has already registered some 1,868 firms. The initiative is scheduled to launch this year.

LEGAL NOTICE

N O T I C E GLANDUFF HOLDINGS LTD. ________________

Pursuant to the Provisions of Section 138 (8) of the International Business Companies Act 2000 notice is hereby given that the above-named Company has been dissolved and struck off the Register pursuant to a Certificate of Dissolution issued by the Registrar General on the 17th day of April, 2019. Brendan Hynes Liquidator of GLANDUFF HOLDINGS LTD.

LEGAL NOTICE

N O T I C E CRIONNA LIMITED ________________ Pursuant to the Provisions of Section 138 (8) of the International Business Companies Act 2000 notice is hereby given that the above-named Company has been dissolved and struck off the Register pursuant to a Certificate of Dissolution issued by the Registrar General on the 17th day of April, 2019.

(c) The Liquidator of the said Company is Beatus Limited, P.O. Box N7776-348, N.P., Bahamas. Dated 3rd day of May, 2019. Beatus Limited Liquidator

Brendan Hynes Liquidator of CRIONNA LIMITED

PAGE 6, Friday, May 3, 2019

THE TRIBUNE

Governor calls for ‘more aggression’ over loan arrears FROM PAGE ONE economy will also generate the employment income necessary to push the credit delinquency rate lower. “However, to eliminate the drag that defaulted loans have on new lending credit, the Central Bank is continuing to promote firmer direct interventions by commercial banks to speed up resolution of bad debts,” he continued. “It means a more aggressive push to sell-off foreclosed properties, and more sustained efforts to restructure some debts, as well as more aggressive write-offs and recognition of losses on loans that are difficult to recover. These interventions are needed to position financial institutions in a healthier state for future negative shocks, which eventually do occur.” The Central Bank’s analysis for the 2019 first quarter reveals that, while it has taken a decade, total loans in arrears - both those that are non-performing and ones between 31 to 90 days past due - are now below the $800m level they hit in March 2009 at the peak of the recession. Non-performing loans, at just under $600m or 9.1 percent of all outstanding credit, remain higher than ten years ago, though. With 4.1 percent in short-term arrears, some 13.2 percent of all outstanding Bahamian private sector credit remains at least one month past due,

although this is down yearover-year compared to the 15.2 percent ratio achieved in the 2018 first quarter. Still, private sector arrears edged up by $1.4m in March 2019, with the rise in loans between 31-90 days past due “negating the improvement” in non-performing loans. “An analysis of arrears by the various buckets showed that short-term delinquencies rose by $14.4m (6.6 percent) to $232.3m, and by 27 basis points to 4.1 percent of total private sector loans,” the Central Bank said. “In contrast, non-performing loans contracted by $13m (2.5 percent) to $510.1m, and by 20 basis points to 9.1 percent of total private sector loans.” However, over the full first quarter the Bahamian commercial banking industry’s loan arrears fell by $67.4m or 8.3 percent. “A breakdown of the various categories showed broad-based improvements, as mortgage arrears contracted by $49.5m (9.9 percent), owing to declines in both the shortterm and non-performing loan components by $35.8m (21.9 percent) and $13.7m (4.1 percent), respectively,” the Central Bank said. “Similarly, consumer arrears fell by $21m (9.1 percent), reflecting a $23.4m (24.5 percent) decline in short-term arrears, which negated a $2.5m (1.9 percent) increase in non-performing loans.

NOTICE

However, commercial delinquencies edged up by $3m (3.7 percent), as a $4.4m (9.2 percent rise in the long-term category outpaced a $1.4m (4.1 percent) reduction in the short-term component.” Elsewhere, Mr Rolle said the strength of the Bahamian economy could be measured by the 14 percent rise in foreign exchange purchased by the commercial banks from the private sector during the 2019 first quarter. “On a net basis, the increase in foreign reserves during the first quarter benefited from almost $300m in net flows though the private sector,” he revealed. “Compared to the first quarter of 2018, commercial banks’ total foreign exchange purchased from the private sector rose by 14 percent to about $1.5bn. “From these receipts, commercial banks fully accommodated higher spending by businesses and consumers on goods and services from abroad, and then sold a larger residual to the Central Bank that funded the increase in external reserves.” Mr Rolle added that the tourism industry’s performance “still contains a sizeable one-time lift from Baha Mar, which did not have all its rooms available for sale in the first quarter of 2018”. However, sales and pricing at major properties still increased. “Stopover data from

the Bahamas Hotel and Tourism Association revealed that in the two months through February, estimated room revenues improved by 44 percent on sustained occupancy and pricing advances,” the Central Bank said. “Healthy trends were also noted in the growing nonhotel based segment of the market, typically characterised by short-term vacation rentals. An analysis of data obtained from AirDNA showed that the total number of room nights sold firmed by 24.3 percent to 78,160 in March, as bookings for ‘entire place’ listings rose by 22.8 percent and for hotel comparable listings by 37.3 percent. “Over the first quarter, total room nights booked firmed by 24.7 percent, underpinned by a 22.4 percent expansion in ‘entire place’ bookings and a 42.6 percent rise in the hotel comparable segment. Moreover, all of the significant markets tracked experienced quarterly sales expansions, as room bookings for Exuma firmed by 51.5 percent, New Providence by 26.9 percent, Abaco by 21.4 percent, and Grand Bahama by 2.1 percent. “Further, the average daily rate (ADR) firmed slightly by 0.7 percent to $141.97 for hotel comparable listings, while the rate for entire place listings softened by 1.5 percent to $341.49.”

NOTICE

NOTICE is hereby given that GARTH VALENTINE BRADY of Jubliee Garden, P. O. BOX CR-56284, Nassau, 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 twentyeight days from the 26th day of April, 2019 to the Minister responsible for Nationality and Citizenship, P. O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE is hereby given that SERGE SIMON of Spring City, 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 3rd day of May, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

MARKET REPORT THURSDAY, 2 MAY 2019

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

BISX ALL SHARE INDEX: CLOSE 2,143.78 | CHG -9.30 | %CHG -0.43 | YTD 34.33 | YTD% 1.63 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.00 5.50 2.50 1.98 3.35 10.60 6.16 4.64 12.50 2.74 1.96 9.02 6.63 15.60 7.25 4.25 14.00

52WK LOW 3.50 19.17 4.90 3.50 1.00 0.19 2.00 8.80 6.11 3.54 10.00 2.30 1.50 7.25 6.10 10.10 6.20 3.01 12.51

1000.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 103.00 100.00 100.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.00

SECURITY AML Foods Limited APD Limited Bahamas Property Fund Bahamas Waste Bank of Bahamas Benchmark Cable Bahamas CIBC FirstCaribbean Bank Colina Holdings Commonwealth Bank Commonwealth Brewery Consolidated Water BDRs Doctor's Hospital Emera Incorporated Famguard Fidelity Bank Finco Focol J. S. Johnson Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class E Commonwealth Bank Class J Commonwealth Bank Class K Commonwealth Bank Class L Commonwealth Bank Class M Commonwealth Bank Class N Fidelity Bank Class A Focol Class B

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00

52WK LOW 100.00

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 ##########

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

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

SECURITY Fidelity Bank Note 22 (Series B) +

SYMBOL FBB22

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

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

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

LAST CLOSE 3.87 17.43 6.00 5.39 2.47 1.98 2.05 10.50 6.16 4.47 10.64 2.58 1.79 9.29 6.60 15.57 7.25 3.50 14.00

CLOSE 3.88 17.43 6.00 5.39 2.47 1.98 2.01 10.50 6.16 4.47 10.00 2.57 1.79 9.12 6.60 15.57 7.25 3.50 14.00

CHANGE 0.01 0.00 0.00 0.00 0.00 0.00 -0.04 0.00 0.00 0.00 -0.64 -0.01 0.00 -0.17 0.00 0.00 0.00 0.00 0.00

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

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

CLOSE 100.00

CHANGE 0.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

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

LAST SALE 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

VOLUME 1,600

4,500 2,000 4,100

1,300

VOLUME

EPS$ 0.167 0.932 -0.306 0.323 0.098 0.000 -0.431 0.708 0.480 0.154 0.627 0.102 0.209 0.000 0.636 0.834 0.950 0.205 0.631

DIV$ 0.130 1.260 0.000 0.240 0.000 0.020 0.000 0.710 0.220 0.120 0.620 0.068 0.060 0.328 0.240 0.500 0.200 0.090 0.600

P/E 23.2 18.7 N/M 16.7 N/M N/M -4.7 14.8 12.8 29.0 15.9 25.2 8.6 N/M 10.4 18.7 7.6 17.1 22.2

YIELD 3.35% 7.23% 0.00% 4.45% 0.00% 1.01% 0.00% 6.76% 3.57% 2.68% 6.20% 2.65% 3.35% 3.60% 3.64% 3.21% 2.76% 2.57% 4.29%

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

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

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

INTEREST Prime + 1.75% 6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%

MATURITY 19-Oct-2022 ############### 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

MUTUAL FUNDS 52WK HI 2.20 4.24 2.04 184.51 158.55 1.61 1.75 1.70 1.14 6.99 8.54 6.15 10.52 11.46 10.46 10.00 8.69 11.79

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.55 1.68 1.64 1.08 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

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

NAV 2.22 4.22 2.04 184.51 147.81 1.61 1.75 1.70 1.14 7.54 8.73 6.65 10.66 11.79 10.48 9.92 8.69 11.79

YTD% 12 MTH% 0.58% 3.94% -0.39% 1.53% 0.43% 2.52% 3.26% 3.26% -3.65% -3.65% 1.15% 4.41% 0.59% 4.31% 0.92% 4.16% 2.79% 4.80% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69% -0.71% 0.16% 3.96% 7.75% 8.34% 14.88

NAV Date 28-Feb-2019 28-Feb-2019 22-Feb-2019 31-Dec-2018 31-Dec-2018 31-Mar-2019 31-Mar-2019 31-Mar-2019 31-Mar-2019 28-Feb-2019 28-Feb-2019 28-Feb-2019 28-Feb-2019 28-Feb-2019 28-Feb-2019 30-Sep-2018 30-Sep-2018 30-Sep-2018

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

YIELD - last 12 month dividends divided by closing price Bid $ - Buying price of Colina and Fidelity Ask $ - Selling price of Colina and fidelity Last Price - Last traded over-the-counter price Weekly Vol. - Trading volume of the prior week EPS $ - A company's reported earnings per share for the last 12 mths NAV - Net Asset Value N/M - Not Meaningful

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225

CENTRAL BANK EYES ‘LESS INTERFERENCE’ ON PROPERTY DEALS FROM PAGE ONE Bank was “ceasing” its demand for proof that title has been recorded via the transaction being entered into the Registry of Records as well as the request for foreign-owned corporate entities, which are selling/purchasing Bahamian real estate, to provide Board approvals and resolutions relating to the deal. However, another key concern raised at the time revolved around the Approved Investment Status granted to foreign investors, and how the Central Bank has changed processes and procedures in this area. When it came to Bahamians purchasing from foreigners, the Central Bank has traditionally given exchange control approval in advance of the sale. However, it was said to have been requiring that a stamped copy of the conveyance first be produced, adding a four-six week delay on something that is outside the foreign vendor’s control. As for deals involving foreign vendors and buyers, foreign currency sales proceeds have traditionally been remitted without prior approval provided the purchaser then seeks Approved Investment Status. Tribune Business, though, was informed that the Central Bank was requiring the vendor to seek approval to receive these monies which, in turn, is conditioned on the purchaser gaining their approvals - again adding weeks to a deal’s closing. It is unclear whether these issues have subsequently been addressed. Mr Rolle, meanwhile,

yesterday said exchange control liberalisation should not be rushed. While acknowledging that further relaxation will be forthcoming, he added: “The only qualification is that we always want to pace the reforms alongside how well we can absorb the change. “With what we have recently done there, Bahamians have more access to make investments aboard. We’re seeing more use of the investment currency. I can’t quote a number but it is up considerably from previous years. There is also increased use of the other facilities. Even with those we haven’t seen any interference with the net inflows to the foreign reserves.” In February 2018, exchange control liberalisation affecting both capital investment and current account trade transactions took effect. Bahamian-owned businesses are now allowed to maintain operating deposit accounts, with up to $100,000 in foreign currency, at domestic commercial banks without Central Bank permission. Also taking effect was the reduction in the premiums on investment currency purchases and sales to five percent and 2.5 percent, respectively, from the previous levels of 12.5 percent and ten percent. As opposed to paying with investment currency, Bahamians can now fund residential purchases abroad of up $0.5m at the official exchange rate, granted that the properties are for their direct or immediate family usage. Temporary residents, who have resided and worked in The Bahamas for at least three years, are allowed up to B$1m from B$400,000 to

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL The Public is hereby advised that I, ASHLEY ELMORE NAIRN of San Salvador, Bahamas intend to change my name to ASHLEY ELMORE PINDER. If there are any objections to this change of name by Deed Poll, you may write such objections to the Chief Passport Officer, P.O.Box N-742, Nassau, Bahamas no later than thirty (30) days after the date of publication of this notice.

NOTICE NOTICE is hereby given that JENNIE CEPOUDY of Charles Saunders Highway , 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 26thday of April, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE NOTICE is hereby given that RACHELLE NORCIN ADDERLEY of Taylor Street, Nassau Village, Nassau, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/ naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 26th day of April, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE NOTICE is hereby given that CRYSTAL ALICIA SWEETING of Infant View Road, 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 3rd day of May, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

THE TRIBUNE

Friday, May 3, 2019, PAGE 7

URCA releases internet exchange oversight regime FROM PAGE ONE But, while Caribbean rivals such as Barbados, the British Virgin Islands, Jamaica, Trinidad & Tobago and even Cuba all have their own IXPs, The Bahamas has yet to make such a move despite its ambitions to develop a “technology hub” in Grand Bahama. “Currently, there are no IXPs in The Bahamas,” URCA confirmed. “As a result, local ISPs routinely route locally-generated Internet traffic destined for local users through intermediary networks and digital infrastructure in another country. In this case, the traffic exits The Bahamas through an intermediary network or a switching facility in Florida and then re-enters The Bahamas. “This practice, often referred to as ‘hair-pinning’, ‘tromboning’, or ‘boomerang’ routing (due to the path’s shape) is known to be inefficient, adds costs to the operations of ISPs and content distributors/aggregators, and has the potential to stifle development of a local content sector. “Hair-pinning local Internet transmission outside a country also gives rise to privacy or data protection concerns in countries that excessively depend

on digital infrastructure and enterprises in another country.” Providing evidence to support its high-cost assertions, URCA added: “The high cost of international transmission links reinforces URCA’s view that demand exists for local IXPs in The Bahamas. The practice of routing local Internet traffic outside a country adds costs to the operations of ISPs and content aggregators, and helps to keep end-user pricing for access and usage high. “URCA’s assessment of leased circuits pricing finds that there is a significant cost differential between local and international bandwidth. URCA finds that BTC’s international leased circuits pricing can be 10.42 to 14.19 times their equivalent local costs. “Similarly, Cable Bahamas’ international circuits pricing can be 5.92 to 17.33 times their equivalent local costs. Alongside this is the fact that a significant amount of Internet traffic is already routed externally over expensive international transport links.” Calls for The Bahamas to establish its own IXP are nothing new, and date back to at least 2014 when thenBTC chief executive, Leon Williams, warned that the country was falling behind its regional rivals by failing

LEGAL NOTICE

to develop such infrastructure for itself. “Many countries in the Caribbean have already created local IXPs; we are falling behind. The IXP, like our regulating body URCA, should be created by the providers,” Mr Williams added. “Having this structure will save money for the ISPs and the consumer, as the bandwith to send data to the US and back would no longer be required. Furthermore, it is more secure, so the data from our country stays in country. The major benefit is national security.” These calls were recently renewed by the steering committee for the Grand Bahama technology hub. Its chairman, Dr Donovan Moxey, told Tribune Business last year that ISPs were reassessing the IXP idea once again amid suggestions that such a facility be owned by a consortium. “Each local Internet Service Provider (ISP), and mobile and fixed line telecommunications company, should provide detailed information on their current network capacity and plans for expansion/ upgrade over the next five or ten years,” the steering committee’s early 2018 report urged. “A number of the key submarine cables in the

Bahamas are nearing endof-life, and the Government needs to engage service providers to ascertain their plans for investing in new cables to replace the older cables.” As for an IXP in the Bahamas, the report added: “Each major private sector connectivity provider (ISP) will make an internal decision regarding the possible business case for implementation of an IXP that will be responsible for deterministic routing of local (Bahamas) as well as global Internet traffic. “The companies will decide if it is in their best interest to establish a consortium of local Internet connectivity and data centre services providers, or if each provider will build and manage IXPs individually. A key question that needs to be answered is what role will URCA play for IXP facilities that may be located in Freeport.” URCA yesterday said an IXP would help the government realise its ambition of increasing the number of Bahamians who use e-government services by 70 percent come 2025. It added that in 2017 some 40,000 tax payments and 1,308 business registrations; 43,360 National Insurance Board (NIB) benefits claims; 50,000

LEGAL NOTICE

NOTICE

KERZNER CONCEPTS LIMITED

INTERNATIONAL BUSINESS COMPANIES ACT (No.45 of 2000)

____________________________________________

Pursuant to the provisions of Section 138 (8) of the International Business Companies Act 2000, notice is hereby given that the above-named Company has been dissolved and struck off the Register pursuant to a Certificate of Dissolution issued by The Registrar General on the 17th day of April, 2019. Dated the 3rd day of May A.D., 2019.

FHMVOFF Fund Ltd. (the “Company”)

Notice is hereby given that, in accordance with Section 138 (8) of the International Business Companies Act, No.45 of 2000, the Dissolution of FHMVOFF Fund Ltd. has been completed, a Certificate of Dissolution has been issued and the Company has therefore been struck off the Register. The date of completion of the dissolution was the 5th day of February, 2019.

KIRVY FERGUSON Liquidator of KERZNER CONCEPTS LIMITED

Mr. Alceu Rodrigues Vasone Liquidator

LEGAL NOTICE

driver’s licence renewals; 31,200 birth certificates; 22,900 deeds searches; 7,530 ‘letters of good standing’; and 4,989 “other companies services” were handled by non-digital means. “Collectively the

YOUR

Registrar General’s Department, National Insurance Board and Road Traffic Department dealt with between 50,000 to upwards of 60,000 transactions for key services manually,” URCA said.

CHOICE FOR THE FAMILY WWW.FACEBOOK.COM/JOYFM1019

LEGAL NOTICE

NOTICE MANE-S.A. Company Management Ltd. (In Voluntary Liquidation)

Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, MANE-S.A. Company Management Ltd. is in Dissolution as of April 30, 2019. Reinaldo Pinilla Moreno situated at Calle 91 N 9-16 Apt 504, Bogota D.C., Colombia is the Liquidator.

LIQUIDATOR ______________________

LEGAL NOTICE

NOTICE

FILBY LIMITED

NOTICE

PAVAROTTI LIMITED

SABEDORIA LIMITED

N O T I C E IS HEREBY GIVEN as follows: (a) FILBY LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000. (b) The dissolution of the said company commenced on the 1st May, 2019 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Leeward Nominees Limited, Akara Building, 24 de Castro Street, Wickhams Cay 1, Road Town, Tortola, British Virgin Islands. Dated this 3rd day of May, A. D. 2019 _________________________________ Leeward Nominees Limited Liquidator

LEGAL NOTICE

NOTICE EBONY COVE LIMITED

N O T I C E IS HEREBY GIVEN as follows:

(a) PAVAROTTI LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(a) SABEDORIA LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(b) The dissolution of the said company commenced on the 1st May, 2019 when the Articles of Dissolution were submitted to and registered by the Registrar General.

(c) The Liquidator of the said company is Leeward Nominees Limited, Vistra Corporate Services Centre, Wickhams Cay 11, Road Town, Tortola, British Virgin Islands.

(c) The Liquidator of the said company is CST Administration (Bahamas) Limited, The Bahamas Financial Centre, Shirley and Charlotte Streets, Nassau, Bahamas

Dated this 3rd day of May, A. D. 2019

_________________________________ Leeward Nominees Limited Liquidator

_________________________________ CST Administration (Bahamas) Limited Liquidator

LEGAL NOTICE

NOTICE

LUSITANO LIMITED

WALNUT INTERNATIONAL LIMITED

N O T I C E IS HEREBY GIVEN as follows:

(a) EBONY COVE LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(a) LUSITANO LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(b) The dissolution of the said company commenced on the 1st May, 2019 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P.O. Box N-3023, Nassau, Bahamas Dated this 3rd day of May, A. D. 2019 _________________________________ Bukit Merah Limited Liquidator

(b) The dissolution of the said company commenced on the 1st May, 2019 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Dizame Consulting S.A., P.O. Box 3149, Pasea Estate, Road Town, Tortola, British Virgin Islands. Dated this 3rd day of May, A. D. 2019 _________________________________ Dizame Consulting S.A. Liquidator

N O T I C E IS HEREBY GIVEN as follows: (a) WALNUT INTERNATIONAL LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000. (b) The dissolution of the said company commenced on the 1st May, 2019 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P.O. Box N-3023, Nassau, Bahamas Dated this 3rd day of May, A. D. 2019 _________________________________ Bukit Merah Limited Liquidator

PAGE 8, Friday, May 3, 2019

THE TRIBUNE

Energy, tech companies help pull US stocks broadly lower By ALEX VEIGA Associated Press ENERGY stocks led a broad slide on Wall Street yesterday as oil and gas prices fell, handing the market its second straight loss. Losses in technology and communications stocks also helped power the sell-off, offsetting gains in health care and real estate companies. Banks also rose, getting a boost from rising bond yields, which allow lenders to charge higher interest on loans. The market’s downward tilt came as investors continued to weigh remarks on Wednesday by the head of the Federal Reserve that appeared to dim prospects for an interest rate cut this year. “You got a continuation of what you saw yesterday,” said Willie Delwiche, investment strategist at Baird. “You saw stock market weakness, you saw bond yields rising and you

saw the Fed funds futures continuing to shift away from pricing in a rate cut in the near future.” The S&P 500 index fell 6.21 points, or 0.2%, to 2,917.52. The Dow Jones Industrial Average dropped 122.35 points, or 0.5%, to 26,307.79. The Nasdaq composite, which is heavily weighted with technology companies, slid 12.87 points, or 0.2%, to 8,036.77. Smaller company stocks fared better. The Russell 2000 index rose 6.27 points, or 0.4%, to 1,582.65. Major indexes in Europe finished mostly lower. The S&P 500 index is up 16.4% for the year and notched three straight alltime highs before finishing lower on Wednesday after the remarks by Federal Reserve Chair Jay Powell. In those remarks, Powell played down the possibility of an interest rate cut this year and restated the central bank’s message that there will likely be no rate hikes in 2019.

Those comments made it seem like investors had a “less supportive Fed” than they anticipated, said Brad McMillan, chief investment officer for Commonwealth Financial Network. McMillan noted that a pullback in stocks was likely because they have been gaining so much over the last few weeks. “We ran up to new highs again and I think the markets are getting a little bit nervous about that,” he said. The US stock market has been riding high this year as it’s made its way back from a nosedive at the end of 2018. The Fed spurred the market’s recovery earlier this year when it signaled that it would take a patient approach to raising interest rates. Yesterday, a slide in crude oil prices helped drag down energy stocks. The sector fell 1.7%, more than triple the declines in the technology and communications sectors. Benchmark US crude

fell 2.8% to settle at $61.81 per barrel. Brent crude, the international standard, dropped 2% to close at $70.75. Marathon Oil dropped 6.1% after the company reported revenue that fell short of estimates. Technology stocks, the biggest gainers this year, also weighed on the market. Cognizant Technology Solutions led the sector’s decliners, losing 7.7%. Microsoft fell 1.3%. Among media companies, Fox Corp and Discovery Inc each fell more than 5%. Investors were treated to a mostly mixed batch of corporate earnings reports yesterday. Fluor was the biggest loser in the S&P 500. The engineering and construction company plunged 24.1% after it reported a huge quarterly loss and issued an earnings forecast that was far below what analysts were expecting. Sports apparel company Under Armour gained

3.5% after it reported first quarter results that beat Wall Street forecasts. It also raised its profit forecast for the year. Online games maker Zynga climbed 5.6% after raising its revenue forecast for the year. Earnings reporting season is more than a third of the way through and the results have been better than investors had expected. Analysts had been predicting a slump in profits and their worst fears have not materialised. The market seemed to approve of Tesla’s decision to attempt to raise more than $2bn in a stock and debt offering. The electric car maker reported a shrinking balance sheet and falling sales during the first quarter and CEO Elon Musk had suggested it might need to raise more money. The stock rose 4.3%. Traders also proved hungry for Beyond Meat, which soared in its stock market debut. Shares in the

maker of plant-based burgers and sausages zoomed more than twofold above their opening price of $25 each. The company is the latest in a string of high-profile IPOs this year, including Slack, Lyft and Zoom. Bond prices fell. The yield on the ten-year Treasury note, which influences mortgages and some other loans, rose to 2.54% from 2.51% late Wednesday. In other commodities trading, wholesale gasoline fell 2.2% to $2.02 per gallon. Heating oil slid 0.8% to $2.08 per gallon. Natural gas dropped 1.2% to $2.59 per 1,000 cubic feet. Gold fell 1% to $1,272 per ounce, silver lost 0.8% to $14.62 per ounce and copper slid 0.8% to $2.78 per pound. The dollar weakened to 111.50 Japanese yen from 111.61 yen late on Wednesday. The euro dropped to $1.1175 from $1.1194.

HOUSE Speaker Nancy Pelosi, D-Calif, speaks at an event to introduce the “Climate Action Now Act”, at the Capitol in Washington on Wednesday as, from left, Rep Kathy Castor, D-Fla, who will chair the House Select Committee on the Climate Crisis, Rep David Trone, D-Md, House Energy and Commerce Chairman Frank Pallone, D-NJ, and Science, Space and Technology Chairwoman Eddie Bernice Johnson, D-Texas, listen. The Democraticcontrolled House has approved legislation that would prevent President Donald Trump from following through on his pledge to withdraw the US from a landmark global climate agreement.

REBUKING TRUMP, HOUSE VOTES TO KEEP US IN PARIS CLIMATE PACT WASHINGTON Associated Press THE Democratic-controlled House approved a bill yesterday that would prevent President Donald Trump from fulfilling his pledge to withdraw the United States from the landmark Paris climate agreement and ensure the US honours its commitments under the global accord. The bill falls far short of the ambitious Green New Deal pushed by many Democrats, but it is the first significant climate legislation approved by the House in nearly a decade. The measure was approved, 231-190, and now goes to the Republican-run Senate, where it is unlikely to move forward. Trump has said he will veto the legislation if it reaches his desk. Rep Kathy Castor, D-Fla, head of a House select committee on climate change, said passage of the bill sent an important signal that Democrats are prepared to act on global warming after reclaiming the House majority in last year’s elections. Senate Majority Leader Mitch McConnell, R-Ky, called the House bill a “futile gesture to handcuff the US economy through the illfated Paris deal” and said it “will go nowhere here in the Senate”. Trump pledged in 2017 to withdraw from the Paris agreement as soon as 2020, dealing a major blow to worldwide efforts to combat global warming and distancing the US from its closest allies. Trump said he was “elected to represent the citizens of Pittsburgh, not Paris”. The White House said in a statement this week that the House bill “is inconsistent with the president’s commitment to put American workers and families first, promote access to affordable, reliable energy sources and technologies and improve the quality of life for all Americans”. The White House also asserted that the bill would interfere with Trump’s constitutional authority to conduct

foreign policy, including the power to withdraw from an executive agreement that Congress has not ratified. The Paris agreement, signed in 2015 by more than 190 counties, is a United Nations initiative intended to bring the world together in the fight against climate change. Signed by President Barack Obama, the pact commits the United States to cut greenhouse gas emissions by more than 25 percent below 2005 levels by 2025. The US also pledged $3bn to a fund that helps developing countries fight climate change. Democrats said the bill showed that the US will remain a leader on climate issues. “America does not cut and run. America keeps its commitments,” Castor said. Castor noted that she and her family boarded up and fled their Florida home during Hurricane Irma two year ago, and said she understands the urgent need to act on climate change. The House bill “will help us carry out our moral obligation to future generations to tackle this crisis now,” she said. Republicans derided the bill as a largely symbolic effort that would harm the American economy while doing little or nothing to reduce greenhouse gas emissions that contribute to global warming. Louisiana Rep Steve Scalise, the number two House Republican, said the bill would “wreck the economy” and cost as many as 2.7 million American jobs that he said would go to China, India and other countries that do not have to meet goals under the Paris accord until 2030. “We don’t want to lose the great economic gains we have achieved, and we don’t want to lose the reduction in carbon emissions that we’ve been able to achieve over the last 19 years because of ... great innovation in technology that America has always been known for,” Scalise said at a news conference. “Let’s not yield those kinds of gains to countries like China and India who emit five times more carbon than we do.”