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WEDNESDAY, JUNE 15, 2022

$6.35

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$6.97

‘Put money with mouth’ to escape IMF clutches By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas must “put our money where our mouth is” and prove to global investors why it will not require an International Monetary Fund (IMF) programme to escape its economic and fiscal woes, a top banker said yesterday. Gowon Bowe, Fidelity Bank (Bahamas) chief executive, told Tribune Business the country must show the ability to make “the tough decisions” by itself amid reports that some participants in the world bond markets have been urging the Government to seek IMF financial assistance as a means to create a “policy anchor” for fiscal and economic turnaround. Warning that The Bahamas is “facing a tornado” due to increasingly unfavourable economic and capital market conditions internationally, he added that the Government and its advisors will have to become “more innovative” to both maintain access to debt financing and keep debt servicing

• Bahamas must make ‘tough decisions’ by itself • Price, yields still sliding despite $385m success • Suggestions some bond investors want IMF (interest) costs for taxpayers at manageable levels. Mr Bowe, who headed the Coalition for Responsible Taxation (CRT) when VAT was implemented in January 2015, spoke after an article by Global Capital, an online news site that has covered the global markets for three decades, yesterday sparked much interest in Bahamian financial, business and political circles by voicing concerns over this nation’s just-placed $385m bond offering

Opposition: ‘Shore up’ investors’ confidence By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE BAHAMAS is “not doing anything to shore up” the confidence of investors who are “rightly concerned” about the country’s economic and KWASI THOMPSON fiscal prospects, the Opposition’s finance spokesman asserted yesterday. Kwasi Thompson, ex-minister of state for finance in the Minnis administration, told Tribune Business that “no one wants us to go down that road” of requiring International Monetary Fund (IMF) assistance after capital markets investors quoted in an online news article suggested some bond holders would prefer such an outcome (see other article on Page 1B). The piece by Global Capital, an online news outlet that has covered global financial markets for three decades, also quoted investors as suggesting that last week’s dual-tranche $385m Bahamas bond issue was overly-complicated in its structure despite being partially underwritten by a $200m Inter-American Development Bank (IDB) guarantee. While the issue was ultimately “oversubscribed”, and hailed by the Government as a sign of investor confidence in its economic and fiscal projections and post-COVID turnaround strategy, Mr Thompson said the views raised in the Global Capital piece “confirm a lot of the concerns and fears already raised by the Opposition”. “If the revenue projections are unrealistic as to their terms and cannot be met, that puts the entire deficit in danger,” he argued. “Again, I think investors are troubled and investors are concerned, and rightly so. This Budget does not do anything to shore up the concerns of investors. “I think what is required is for the Government to stick to their targets that were

SEE PAGE 8

and its wider fiscal and economic condition. Data from the Frankfurt Stock Exchange shows that discounts and yields on existing and listed Bahamas government debt issues had continued to trend south despite the successful $385m bond offering. The $825m bond, placed at 8.95 percent at the height of the COVID-19 pandemic’s fallout, is now trading at a near-29 percent discount to face value and a 14.9431 percent yield. Both

GOWON BOWE indicators have deteriorated, indicating investors are pricing in increased risk. The $300m bond placed prior to that at 6.95 percent, before both Hurricane Dorian and COVID-19, was showing better stability at a 26 percent discount to face value and 12.8097 percent yield. However, sources said the signals from both listed bond issues suggest many in the global capital markets see The Bahamas as a “default risk down

SEE PAGE 5

CRYSTAL CRUISES SERENITY

Arrested cruise ships fetch $128m in sale By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net TWO cruise ships that have been under arrest in Bahamian waters for more than four months were yesterday sold for a combined $128m via auction, Tribune Business was told. Richard Horton, attorney and partner at Alexiou, Knowles and Company, who represented the Crystal Serenity and Crystal Symphony’s secured financier, confirmed to this newspaper that the vessels were sold for $103m and $25m respectively.

“For the Serenity, the total amount paid for the vessel was $103m. The buyer was a company called CDE Ltd,” Mr Horton, who acted for DNB Bank, revealed. “For the Symphony, the amount agreed was $25m for the vessel, and the purchaser’s name was CSY Ltd.” Tribune Business understands that CSE Ltd and CSY Ltd are likely special purpose vehicles (SPVs) or entities specifically created to acquire, and hold, the two now-former Crystal Cruises vessels, with CSE standing for “Crystal Serenity” and CSY for “Crystal Symphony”.

• Admiralty marshal gets funds for Crystal vessels • Ultimate buyer’s identity unknown; SPVs used • Bahamian court to decide proceeds ‘carve up’ Well-placed sources, speaking on condition of anonymity, suggested both SPV’s were beneficially owned by a London-based entity but Mr Horton said he was unable to confirm this. Both purchasing entities are represented by the same Bahamian attorney, Aisha Ferguson, McKinney, Bancroft & Hughes’ resident

SEE PAGE 4

$6.13 Disabled crane operators lose Weather Dept tornado claims By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THREE former Freeport Container Port operators have lost their bid to claim damages from the Government over disabilities and “extensive psychological trauma” resulting from the March 2010 tornado that devastated the firm’s operation. Kevin Archer, Samuel Swann and Harrison Moultrie all named the attorney general as a defendant in their respective legal actions, alongside their former employer and its Hutchison Ports (Bahamas) parent, on the grounds that the 2009 decision to close the Freeport Weather Services station meant it was impossible to obtain early warning of “hazardous weather” conditions that could cause injury or death. But Justice Petra HannaAdderley, in a May 20, 2022, verdict agreed with government attorneys that the three crane operators’ claim was “statute barred” and the attorney general (as minister responsible for the Meteorology Department) be dismissed as a defendant to the action. She reached this decision on the grounds that the Limitation Act, which sets deadlines by which legal actions must be brought, only gave the three crane operators 12 months from when the tornado occurred to bring their claims. This, she added, gave them until March 28, 2011, but their writs against Freeport Container Port and Hutchison Port Holdings were only filed on March 5, 2013. And it took a further year, until March 3, 2014, for the trip to add the attorney general, as minister responsible for the Meteorology Department, as a defendant. As a result, it took the former crane operators almost three years - instead of the legally-mandated one - to bring their claim against the Government. Justice Hanna-Adderley’s ruling occurred more than 12 years after the tragic tornado, which resulted in three deaths at Freeport Container Port and six injuries, two of which were described by health and safety investigators at the time as serious. It was also released more than nine years after the ex-crane operators initially filed their claim, and over eight years since the Government was added as a defendant. Their claims against the Freeport Container Port

SEE PAGE 4

Brewery succeeds in $1.2m tax challenge By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net COMMONWEALTH Brewery has revealed it successfully challenged a $1.156m tax demand by the Government and is now awaiting its response to the arbitration ruling. The Kalik maker, in its justreleased 2021 annual report, disclosed that the Department of Inland Revenue had sought to claim that taxes were owing on what it described as “stock transfers” between entities in the Commonwealth Brewery group that took place in 2016 and 2017. “As of December 31, 2020, Commonwealth Brewery and its group of companies were contingently liable to the Department of Inland Revenue

COMMONWEALTH BREWERY upon assessment of intra-company stock transfers between its subsidiaries for Business Licence purposes,” the annual report said.

“The group was assessed $596,003 in 2016 and $560,403 in 2017, which required the issuance of a bank guarantee. The company successfully challenged the matter in arbitration

and is currently awaiting further response by the Government of The Bahamas.” No indication was given of when this would be forthcoming. Meanwhile, Jurgen Mulder, the vertically integrated brewer, wholesaler and retailer’s managing director, reiterated to shareholders that the company’s fully recovery from the ravages of the COVID-19 pandemic is unlikely to be completed until next year. “Although our financial results varied quite a bit from month to month, and revenue has yet to be fully recovered, we managed to post strong results for the year,” he said of the year to end-December 2021. “We were able to

SEE PAGE 5

PAGE 2, Wednesday, June 15, 2022

THE TRIBUNE

PM HAILS VAT BOOST VIA 70% SOLD CONDO PROJECT THE Prime Minister yesterday hailed the VAT revenues generated by sales at an 11-storey Cable Beach condominium complex that is now 70 percent sold despite remaining under construction. Philip Davis QC and members of his Cabinet toured Aqualina to view progress on the high-end development that will create 100 construction posts over the project’s lifetime, as well as 60 permanent full-time jobs upon completion. Aristo Development, the project’s developer, says it will offer “unrivalled luxury and amenities” to attract buyer who want to make The Bahamas their home. Jason Kinsale, its president, said: “The greatest change in the luxury real estate market in The Bahamas may not be visible to the naked eye, but the experiences that accompany the physical assets.”

His latest development is adjacent to Aristo’s already-completed ONE Cable Beach project. With a record-setting price tag of more than $10m for the penthouse, Aqualina is also offering the availability of a boat and captain; beach picnic; snorkeling and dive experiences; and a chance to visit a nearby island. “What we want to offer at Aqualina is a total lifestyle package where you can revel in the pleasure of your home or get away for a day at an island you always wanted to visit,” said Mr Kinsale. “The decision to move in this direction was based on our research that showed a demand for the highest quality of construction, overall size and comfort, attention to detail and unique lifestyle features. “It used to be enough to offer a waterfront view, storm-rated doors and windows, high ceilings and highest-quality kitchen

PRIME Minister Philip Davis and members of his Cabinet tour the Aqualina construction site. cabinets, but today’s standards are even more demanding. Now, that’s just a starting point, and you ask yourself, where do we go from here?” Matthew Marco, Aristo’s marketing director, added: “So, when we were designing Aqualina, we asked ourselves: ‘What can we offer that makes this property so special, so desirable that a potential

buyer anywhere in the world, from Switzerland to North America to the deepest border of South Africa, will look at the brochure or video and say: ‘That’s it. ‘That’s where I want to be’. We wanted to create more than a luxurious residence. We wanted to create magic.” Aqualina residences range from 3,200 to 5,100 square feet, with the

penthouse coming in at 7,600 square feet. Each of the 27 residences in the 11-storey building is accessed by a private elevator. The lobby and welcome area is staffed round-the-clock seven days per week with a concierge, and the complex has three private beach villas overlooking the infinity pool, vast deck and hot spa pool. “We know that most people who will live at Aqualina will want a boating experience without the hassle of owning and maintaining their own vessel year-round, so we created a membership club for boating and some 12 different experiences which will continue to evolve,” said Mr Marco. “Whether a couple wants a private beach picnic day or they want to take guests to Exuma to swim with the pigs, there will be a boat and a trip available.” Just eight of 27 residences remain available for sale even though Aqualina’s

construction completion is still more than a year away. Asked whether he was surprised at the extent of buyer demand, Mr Kinsale said: “Not at all, there’s never been anything like Aqualina on Cable Beach. The market is steaming hot for the finest in luxury and, given that, we want to be the leaders in ease of doing business.” The Prime Minister said of Aqualina: “They will be employing at least 100 persons or more through this project, and then thereafter, there would be at least 60 permanent employees or more... What we see is a win-win situation for The Bahamas.” “It’s already having its impact. As you have heard, 60 percent of the condos have already been sold. What does that mean? It means that we were getting our VAT on those sales. We hope to see those purchasers visiting and putting heads in beds here.”

Bahamas First executive achieves Caribbean first A BAHAMAS First executive has been named as a goodwill ambassador by the Chartered Insurance Institute (CII), the UK-based body dedicated to building public trust in the insurance and financial planning professions. Carla Rolle-Stubbs, a senior underwriter, becomes the first person in the Caribbean to hold this position and will help the international CII team to promote its qualifications and professional standards.

“I am delighted to assist the Chartered Insurance Institute, as a goodwill ambassador, in its drive to connect with Caribbean-based insurance professionals and advocate for the importance of obtaining globallyrecognised professional qualifications,” said Mrs Rolle-Stubbs. “I am passionate about professional development and lifelong learning, and so this partnership is an authentic collaboration of efforts to

CARLA ROLLE-STUBBS build the credibility and expertise of our industry.” A chartered insurer and experienced general

Bahamian elected vice chair of UN food body

insurance executive, Mrs Rolle-Stubbs entered the industry in 2005. She holds underwriting, reinsurance and risk management responsibilities. A member of the CII’s Society of Underwriting Professionals, she holds an advanced diploma in insurance and an associate degree in business management. “I cannot think of a more appropriate person for this role than Carla, and I couldn’t be more proud of her,” said Bahamas First’s senior vice-president of

underwriting, V. Keith Rolle. “Carla joined us in 2021 and is regarded by her peers in the underwriting department, and by our business partners, as an invaluable part of our team. Her new responsibility within the CII is an acknowledgment of her ability as a leader and influencer in the profession. Isaac Olubitan, CII’s jnternational manager for the Americas, Caribbean and Europe, said: “I am delighted that Carla is joining CII’s group of goodwill

ambassadors as the first for the Caribbean region. This appointment is timely, as we are seeing professionals and organisations in the region recognising the value of obtaining knowledge and technical skill to aid their career progression, ultimately raising professional standards and delivering the best customer outcomes. Carla has a track record of supporting professionals and is a great addition to the team.”

THE BAHAMAS’ ambassador to the United Nations’ Food and Agricultural Organisation (FAO) has been elected to serve as vice-chairman of its council based in Rome, Italy. Winston Pinnock’s election thus makes The Bahamas only the second country in the Englishspeaking Caribbean to hold such a high-level post since the FAO’s creation in 1945. The move follows his nomination at the Latin America Regional and Caribbean Countries (LARC) session held in Ecuador in March. Mr Pinnock’s nomination was put to the floor for

approval during the 170th session of the FAO Council in Rome this week, and was unopposed. Climate change impacts, and promoting The Bahamas’ efforts to enhance food production, will be among his key objectives. “I am grateful to Almighty God, and secondly to our Prime Minister, Phillip ‘Brave’ Davis, for having the confidence in me by giving me such a crucial assignment in dealing with the food security issues of our country at this critical time,” he said. “I am also thankful to my colleagues from Latin America and the Caribbean

region for supporting my nomination to this post. I am committed to using this platform to continue the advocacy of our Prime Minister on the issue of climate change, which poses an existential threat to our country The Bahamas.” The last English-speaking country to hold such a post at the FAO council was Trinidad and Tobago. While in Rome, Mr Pinnock is being accompanied by the deputy permanent representative from The Bahamas’ mission in Geneva, Switzerland, Frank Davis.

AMBASSADOR of the Food Agricultural Organization (FAO) H.E. Winston Pinnock has been unanimously elected as Vice Chairman of the UNFAO.

EBAJ-iA. i,.:

SECURITIES COMMISSION OF THE BAHAMAS JOB OPPORTUNITIES The Securities Commission of The Bahamas, a statutory agency responsible for the oversight, supervision

and regulation of the Investment Funds, Securities and Capital Markets, in or from The Bahamas, as well

as the supervision of Financial and Corporate Service Providers, invites applications from qualified

individuals to fill the following positions:

SENIOR OFFICER- EXAMINATIONS DEPARTMENT OFFICER- EXAMINATIONS DEPARTMENT APPLICATIONS:

Full details of the job opportunities, guidelines for the submission of applications and general information

about the Securities Commission of The Bahamas may be obtained from the Commission's website at

www.scb.gov.bs under Career Opportunities. The closing date for applications is June 25, 2022.

THE TRIBUNE

Wednesday, June 15, 2022, PAGE 3

DPM: ‘TIME HAS COME’ FOR COVID ENTRY TEST DECISION By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net THE deputy prime minister yesterday said “the time has come” for the Government to decide whether to eliminate the COVID19 testing requirement to enter The Bahamas. Chester Cooper, also minister of tourism, investments and aviation, said that while he is supports removing the mandate for all incoming visitors to obtain a negative test within 72 hours of travel it was ultimately up to the Davis Cabinet to make the decision. Acknowledging that the COVID testing requirement is an impediment to travel, and thus a hindrance to tourists visiting The Bahamas, Mr Cooper added that he believed any change can be announced “fairly swiftly”. “I’ve contemplated in earnest the elimination of the Travel Visa as a requirement to come to the country and, on this, I’ve been advised that we need five to seven days to ensure that it’s properly communicated. Again, this is a decision for the Cabinet. But I believe the time has come for us to make a

determination on the way forward for the Travel Visa itself,” the deputy prime minister said. “We’ve heard from Bahamians travelling abroad that it’s very difficult to get tests on a timely basis. Let’s not forget the requirement is a test within 72 hours. I’ve gotten complaints from people even in Florida, sometimes, to my surprise, that they cannot find a testing location or they tested but don’t have their results in time for the flight.” The Government ended the Health Travel Visa requirement for returning Bahamians and residents last December, but left it in place for tourists. Mr Cooper added: “We anticipate that if you can just jump on a flight and travel, rather than having to get a $40, private health visa or a $200 test, if you eliminate those two steps it will be a lot easier to travel and this is what we are seeking to do.” The Ministry of Tourism wants to exploit The Bahamas’ proximity to the US and, once again, capture the “impulse traveller” eyeing a short day-trip to The Bahamas. Mr Cooper said: “I support further relaxation of the requirements without a doubt. As minister of tourism, I believe that this is

going to be a positive outcome for tourism numbers. There is a balance that needs to be had. We are in a competitive business and when you spend $1 today, remember that .65 cents of it comes from tourism. We ought not to take our competitiveness lightly.” Bahamian tourism operators earlier this week urged the Government to follow the US, which eliminated its own requirement for international travellers and US citizens to produce a negative COVID test taken within 24 hours of travel with effect from midnight on Sunday. Robert Sands, the Bahamas Hotel and Tourism Association’s (BHTA) president, said this was required to maintain the momentum of the sector’s post-COVID recovery as well as its competitiveness. He warned that The Bahamas “stands out like a sore thumb” over its continued measures after the US action, and told Tribune Business the country “cannot be the last man standing” by still demanding that all visitors produce a negative COVID test taken within 72 hours of travel when multiple Caribbean rivals have eradicated all such restrictions.

Describing the longanticipated US move as “welcome news” for the tourism industry, Mr Sands said the decision by the Centres for Disease Control and Prevention (CDC) was “an indisputably clear indication that testing requirements are falling away on a global scale” and urged the Government to follow suit. “The Bahamas cannot be the last man standing in this regard,” he said. “Therefore we strongly urge our Government to make a swift and decisive move to eradicate our own testing requirements for Bahamians and visitors wanting to enter The Bahamas. “Not only will this achieve bilateral parity with our US counterparts; this will immediately put us in line with regional competitors such as Jamaica, Aruba, Bonaire, St.Lucia, Turks and Caicos, Grenada, US Virgin Islands, Mexico and Costa Rica who have already removed the majority of testing requirements to enter their tourism destination.” Asked how critical it was for The Bahamas to now respond to the US move, Mr Sands told Tribune Business: “It is extremely important because we do not need to put in place

impediments to travel, and also impediments that give our competitors a distinct competitive advantage over us. “The bigger issue, certainly from a US perspective, is that trying to find a COVID test to come to Nassau in many of our source markets is becoming increasingly difficult and, more importantly, increasingly more expensive. As an example, I was in Philadelphia last week travelling back to Nassau, and a rapid antigen test cost me $121. Before it was less than $50. The cost has more than doubled, and for a family of four that’s a significant additional expense.” Dr Michael Darville, minister of health and wellness, confirmed that while the Government wanted to “do away with” all COVIDrelated travel restrictions and impediments - including the Health Travel Visa - it will only do so “in a responsible and phased manner”. The Davis administration, he added, is especially concerned to avoid Jamaica’s recent experience where it eliminated the COVID mask mandate only to have to reinstate it due to a rise in infections. Asserting that The Bahamas had made “the right

decision” at that time to keep its own mask mandate, Dr Darville said the reduction in local infections over the past week - as well as the US ending its own COVID entry test protocols - will bring further local easing to the forefront. The Government is seeking to “open up completely”. The 2022-2023 Budget indicates it is planning to do away with the Health Travel Visa early in the new fiscal year. Just $8m in spending has been allocated in the Ministry of Tourism’s budget for health travel visa-related spending for 2022-2023, compared to $37m for the current fiscal year. Similarly, the Government is forecasting that it will earn just $8m, in revenues from the scheme in the upcoming fiscal year compared to $40m for the current 12-month period. Based on the percentages, it would thus appear that the Davis administration is planning to eliminate the Health Travel Visa - which it much criticised while in Opposition - by September/October 2022. Dr Darville told Tribune Business that the end “may even be before that”, adding that: “I cannot say exactly when we’re going to do it.”

Gov’t invests $1.5m in housing infrastructure By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net A CABINET minister yesterday said the Government is spending $1.5m on infrastructure for its low-cost housing subdivisions during the upcoming 2022-2023 fiscal year. Jobeth Coleby-Davis, minister for housing and transport, during her contribution to the Budget debate in the House of Assembly affirmed that her ministry will also launch a “rent to own” initiative along with facilitating the construction of 240 new homes in the Renaissance subdivision in the Carmichael area. She said: “We have allocated $1.5m to the Department of Housing to assist with the development of infrastructure for our subdivisions. Beginning with New Providence, in Carmichael we have the Renaissance, which will consist of 365 residential and commercial lots in four phases.” The Government signed a $20m loan with Simplified Lending and Proven

JOBETH COLEBY-DAVIS Wealth Management in May this year to finance the Renaissance’s development, but the Government’s infrastructure outlay was unknown until yesterday. Mrs Coleby-Davis added: “For infrastructure, phase one has already been completed. We are currently

commencing the completion of phase two of the infrastructure work. The homes will be built in two phases. The first phase will consist of 200 affordable homes, which will include single family homes, condo styles and multi-family

homes. There will also be a number of commercial lots. “The second phase of roadworks, water and sewer works, electrical work and survey works will be commenced this week. This subdivision is aptly named Renaissance because it represents a revival of the affordable housing market with high quality, referencing a new level in affordable housing in New Providence.” Mrs Coleby-Davis said the planned “rent to own” scheme has made progress, and the new Dignity Gardens subdivision will be the prototype for the initiative. “The Department of Housing will be assisted by an advisory council comprised of distinguished individuals from both the private and public sectors. This advisory council assists with the drafting of policy for the rent to own.” A small down payment will be required from participants, with monthly payments spread out no longer than 18 months. Mrs

Coleby-Davis voiced optimism this will become a “national programme”. Mrs Coleby-Davis said her ministry has also

handed out 280 new taxi plates, but is remaining “careful” not to “saturate” the market.

PAGE 4, Wednesday, June 15, 2022

ARRESTED CRUISE SHIPS FETCH $128M IN SALE FROM PAGE ONE

Freeport partner, but she did not return a call seeking comment before press time last night. Senior Commander Berne Wright, the Port Department’s acting controller, and who as admiralty marshal has been responsible for arresting and detaining both cruise ships in Bahamian waters since early February 2022, told Tribune Business that the purchase price for both vessels has been deposited with himself. “Yes, that is accurate,” he replied, when asked if the vessels’ sale had closed yesterday. “I do a report to the [Supreme] Court, and I have since done that. A final report will be made to the court. There is a final process where there will be a hearing as to who gets what. I have sight of both sales, and the funds have been deposited. Once that is done, as it has been done, then as admiralty marshal I would have no further dealings with the ships.” Mr Horton, providing an insight into how the sale proceeds will be split between Crystal Cruises’ various creditors, said: “It

will depend on what the court decides the priority will be. Normally what happens is that the admiralty marshal’s fees and expenses come off the top, and then you have the legal costs of the arresting parties and the selling party. There are two parties to the arrest of the vessel, and the party that sold. “Those costs normally come out, and then you have the standard lien holders; the standard maritime lien holders, and the bank normally comes after them. Unsecured creditors rank below the bank. That [splitting proceeds between creditors] wouldn’t happen for at least 30 days, and I’m not sure of the precise timeframe. That’ll depend on who makes the application, when they make the application and what the court determines.” Thus work remains for Freeport-based Justice Petra Hanna-Adderley, who is handling the Supreme Court case. Among the Crystal Cruises creditors seeking to recover what is due to them from the same is the Nassau Cruise Port, which provided berths and other facilities to the Genting-owned cruise

line when it used Prince George Wharf for home porting amid the resumption of cruising in summer 2021. The arrest, and subsequent work-out and auction, has also embroiled multiple Bahamian maritime and commercial attorneys in the fall-out. Besides Mr Horton, Kenra Parris-Whittaker at ParrisWhittaker is representing the Miami court-appointed assignee handling Crystal Cruises liquidation in the US, while Dr Peter Maynard of Peter Maynard & Company is representing the crew of both vessels in their claim for unpaid salaries, benefits and other compensation. Robert Adams QC is acting for Crystal’s former Miami-based shipping agent, SMS, while Stephen Turnquest, the Callenders & Company partner, represents Peninsula Petroleum Far East, a Singaporebased shipping fuel supplier claiming to be owed some $2.1m for outstanding bunkers provided to the Crystal Cruises vessels. The Delaney Partners law firm, headed by ex-attorney general John Delaney QC, is

understood to be acting for other creditors. Dr Maynard, speaking to Tribune Business yesterday, confirmed of the vessels’ sale: “The closing was scheduled to take place today [yesterday], and so we expect it to have gone according to schedule. Bank drafts will be deposited with the admiralty marshal. “By 30 days he will make his report, and then the priorities. The crew will rank as first priority and payments to maintain the vessel. It will be determined how to allocate the proceeds upon receiving the report of the admiralty marshal. There was a court hearing yesterday [Monday] with some of the parties.” This newspaper was told that, with the sale closed, both Crystal Cruises vessels could leave Bahamian waters as early as today. It is understood that the auction almost did not take place according to schedule due to the need to remove movable items off both vessels, as these did not belong to DNB Bank, and a Supreme Court order was issued giving the Miami assignee until midnight

LEGAL NOTICE

International Business Companies Act (No. 45 of 2000)

JLAP INVESTMENT LTD

GVZ Investment 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 JLAP INVESTMENT 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 6th day of May, 2022.

Notice is hereby given that, in accordance with Section 138 (8) of the International Business Companies Act, No.45 of 2000, the Dissolution of GVZ Investment 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 9th day of March, 2022.

Luciane Ribeiro Moreno Liquidator

MARKET REPORT www.bisxbahamas.com

TUESDAY, 14 JUNE 2022

BISX ALL SHARE INDEX: BISX LISTED & TRADED SECURITIES 52WK HI 6.70 53.00 2.12 2.61 2.60 6.10 10.05 3.89 9.02 3.10 8.00 16.60 2.65 10.28 11.25 10.85 15.80 4.00 11.00 16.50

52WK LOW 5.30 32.12 1.54 2.20 1.30 5.75 6.96 2.82 4.25 2.27 5.95 9.75 1.99 7.05 10.02 9.55 13.10 3.50 8.19 15.50

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

PREFERENCE SHARES 1.00

1.00

1000.00 1000.00

1.00 10.00 1.00

Bahamas First Holdings Preference Cable Bahamas Series 6 Cable Bahamas Series 9 Colina Holdings Class A Fidelity Bank Bahamas Class A Focol Class B

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

52WK LOW 100.00 100.00

SECURITY Fidelity Bank (Note 22 Series B+) Bahamas First Holdings Limited

CHANGE

%CHANGE

YTD

YTD%

2445.42

-0.27

-0.01

217.18

9.75

SYMBOL AML APD BBL BFH BOB BPF BWL CAB CBB CBL CHL CIB CWCB DHS EMAB FAM FBB FCL FIN JSJ BFHP CAB6 CAB9 CHLA FBBA FCLB SYMBOL FBB22 BFHB

BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.66 100.71 100.53 100.43 100.34 100.23 100.00 100.00 100.98 100.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00 99.98 100.26 100.28 100.43 100.04 100.00 89.62 89.00 90.24 90.73

MUTUAL FUNDS 52WK HI 2.52 4.69 2.22 207.86 212.41 1.73 1.83 1.82 1.05 9.37 11.83 7.54 16.64 12.84 10.77 10.00 10.43 14.89

52WK LOW 2.11 3.30 1.68 164.74 116.70 1.68 1.73 1.75 0.99 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

Bahamas Note 6.95 (2029) BGS: 2014-12-7Y BGS: 2015-1-7Y BGS: 2014-12-30Y BGS: 2015-1-30Y BGS: 2015-6-7Y BGS: 2015-6-30Y BGS: 2015-10-7Y BGRS FL BGRS71023 BGRS FL BGRS68023 BGRS FL BGRS70022 BGRS FL BGRS75022 BGRS FL BGRS81037 BGRS FL BGRS88028 BGRS FX BGR129249 BGRS FX BGR131249 BGRS FX BGR132249 BGRS FX BGR136150

BAH29 BG0107 BG0207 BG0130 BG0230 BG0307 BG0330 BG0407 BSBGRS710237 BSBGRS680232 BSBGRS700220 BSBGRS750225 BSBGRS810375 BSBGRS880287 BSBGR1292493 BSBGR1312499 BSBGR1322498 BSBGR1361504

LAST CLOSE 5.35 39.95 2.04 2.35 2.47 6.10 9.75 3.89 8.15 2.82 8.00 16.00 2.66 10.26 11.63 10.85 15.20 3.98 10.00 15.50 1.00 1000.00 1000.00 1.00 10.00 1.00 LAST SALE 100.00 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 99.98 100.26 100.53 100.54 100.34 100.00 89.62 100.00 100.00 100.00

CLOSE 5.35 39.95 2.11 2.35 2.47 6.10 9.75 3.89 8.15 2.82 8.00 16.00 2.56 10.26 11.22 10.85 15.80 3.98 10.00 15.50 1.00 1000.00 1000.00 1.00 10.00 1.00

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

VOLUME 715 3,475

2,000

250

0.00 0.00 0.00 0.00 0.00 0.00

CLOSE 100.00 100.00

CHANGE 0.00 0.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 99.98 100.26 100.53 100.54 100.34 100.00 89.62 100.00 100.00 100.00

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

FUND CFAL Bond Fund CFAL Balanced Fund CFAL Money Market Fund CFAL Global Bond Fund CFAL Global Equity Fund Leno Financial Conservative Fund Leno Financial Aggressive Fund Leno Financial Balanced Fund Leno Financial Global Bond Fund RF Bahamas Opportunities Fund - Secured Balanced Fund RF Bahamas Opportunities Fund - Targeted Equity Fund RF Bahamas Opportunities Fund - Prime Income Fund RF Bahamas International Investment Fund Limited - Equities Sub Fund RF Bahamas International Investment Fund Limited - High Yield Income Fund RF Bahamas International Investment Fund Limited - Alternative Strategies Fund Colonial Bahamas Fund Class D Colonial Bahamas Fund Class E Colonial Bahamas Fund Class F

MARKET TERMS

CHANGE 0.00 0.00 0.07 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (0.10) 0.00 (0.41) 0.00 0.60 0.00 0.00 0.00

(242) 323‐2330 (242) 323‐2320 EPS$ 0.239 0.932 0.000 0.140 0.070 1.760 0.369 -0.438 0.140 0.184 0.449 0.722 0.102 0.467 0.646 0.728 0.816 0.203 0.939 0.631 0.000 0.000 0.000 0.000 0.000 0.000

VOLUME

DIV$ 0.170 1.260 0.020 0.080 0.000 0.000 0.260 0.000 0.000 0.120 0.220 0.720 0.434 0.060 0.328 0.240 0.540 0.120 0.200 0.610 0.000 0.000 0.000 0.000 0.000 0.000

INTEREST Prime + 1.75% 6.25% 6.95% 4.50% 4.50% 6.25% 6.25% 4.50% 6.25% 4.25% 4.53% 4.62% 4.50% 4.43% 4.87% 4.33% 5.55% 5.60% 5.65% 5.69%

NAV 2.52 4.69 2.21 197.44 202.39 1.73 1.82 1.82 0.99 9.37 11.79 7.54 15.94 12.47 10.74 N/A 10.43 14.89

YTD% 12 MTH% 0.99% 4.22% 0.36% 5.78% 0.67% 2.74% -2.97% -2.35% -4.72% 6.04% 0.83% 2.82% -0.18% 3.72% 0.76% 3.55% -3.55% -3.85% -0.02% 10.36% -0.33% 18.23% 0.22% 3.05% -3.89% 14.76% -1.04% -2.57% 0.81% 4.20% N/A N/A 3.00% 25.60% 7.90% 48.70%

P/E 22.4 42.9 N/M 16.8 N/M N/M 26.4 -8.9 58.2 15.3 17.8 22.2 25.1 22.0 17.4 14.9 19.4 19.6 10.6 24.6 0.000 0.000 0.000 0.000 0.000 0.000

YIELD 3.18% 3.15% 0.95% 3.40% 0.00% 0.00% 2.67% 0.00% 0.00% 4.26% 2.75% 4.50% 16.95% 0.58% 2.92% 2.21% 3.42% 3.02% 2.00% 3.94% 0.00% 0.00% 0.00% 6.25% 7.00% 6.50%

MATURITY 19-Oct-2022 30-Sep-2025 20-Nov-2029 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2022 26-Jun-2045 15-Oct-2022 22-Oct-2023 21-Jul-2023 29-Jul-2022 7-Sep-2022 26-Jul-2037 26-Jul-2028 15-Apr-2049 15-Jul-2049 15-Oct-2049 21-Apr-2050

NAV Date 31-Mar-2022 31-Mar-2022 25-Mar-2022 31-Mar-2022 31-Mar-2022 31-Mar-2022 31-Mar-2022 31-Mar-2022 31-Mar-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Jan-2022 31-Mar-2021 31-Mar-2021 31-Mar-2021

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

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | CORALISLE 242-502-7525 | LENO 242-396-3225 | BENCHMARK 242-326-7333

Tuesday (yesterday) morning to effect this. “There’s now going to be a battle over priorities of claims,” one source told this newspaper. “I think there’s going to be a fight there. It’s exactly the way it goes. Once the sale is confirmed by the admiralty marshal, everyone gets around the table to begin to carve it up and decide who gets what and when.” The two Crystal Cruises vessels were initially arrested upon the filing of a Supreme Court action by Peninsula Petroleum Far East, but Tribune Business understands it ultimately passed this responsibility over to DNB Bank, hence Mr Horton’s reference to two arresting parties. Financial strife at its immediate parent caused Crystal Cruises, which pioneered home porting in The Bahamas alongside Royal Caribbean, to initially suspend operations until at least April 29, 2022. This was to allow management to assess the company’s business, and determine its future options, with its parent set to run out of cash by end-January, but all rescue efforts proved futile

THE TRIBUNE

and the cruise line is being wound up. Genting Hong Kong’s woes, and Peninsula Petroleum’s securing of US arrest warrants, saw both Crystal Serenity and Crystal Symphony cut their last Caribbean cruises short by calling at Bimini, where all passengers were forced to disembark and either fly back to south Florida or take the Balearia Express ferry. That move proved only a temporary respite for the two Crystal vessels as Peninsula Petroleum subsequently issued legal proceedings in The Bahamas on the fuel supplier’s behalf during the first week of February 2022, with the cruise line’s treatment of passengers provoking numerous complaints and costing it much goodwill. Bimini was also selected as the disembarkation point because of the presence of Crystal’s affiliate, Resorts World Bimini, whose dock it used. Resorts World is owned by a separate Genting company, and is unaffected by the bankruptcy of its fellow Hong Kong subsidiary, which owned the conglomerate’s cruise business.

DISABLED CRANE OPERATORS LOSE WEATHER DEPT TORNADO CLAIMS FROM PAGE ONE and Hutchison Ports (Bahamas) for “negligence” and “breach of statutory duty” were not dealt with by the latest ruling, in which Justice Hanna-Adderley wrote: “The plaintiffs allege that, as a result of the storm and tornado activity on March 29, 2010, the cranes that they were operating at the time collided with another crane and, as a result of the collision, suffered physical injuries. “They also allege that witnessing the collapsing of another crane resulting in the death of those persons operating the same subsequently caused them extensive psychological damage.” Health and safety investigators, in a report on the tragedy, wrote: “One crane was pushed over 100 metres and four other 1,000 ton cranes were sent crashing together into the last crane at the end of the gantry tracks, toppling it to the ground.” Mr Archer, in his evidence, alleged he was suffering from posttraumatic stress disorder (PTSD) as a result of the tornado tragedy. He produced a psychiatric report from Dr Jean Turnquest to confirm this, and said he was both disabled and

required ongoing medical treatment as a result. Both Mr Swann and Mr Moultrie produced National Insurance Board (NIB) benefit contributions showing they had been left 40 percent and 30 percent, respectively, “permanently disabled for life” due to the resulting industrial accident. However, Franklyn Williams, now-director of public prosecutions, argued on the Government’s behalf that the Limitation Act’s section 12 bars any claims being brought against a public body, in the execution of its lawful duties, if actions are not initiated within a year of the events complained of. He successfully argued that the attorney general was only added as a defendant “some three years out of time”, adding that the deadline to initiate legal proceedings was March 28, 2011 - one year after the tornado strike. Despite the arguments of the crane operators’ attorney, Osman Johnson, Justice HannaAdderley agreed that the action was “well outside of the prescribed limitation period” and therefore the attorney general should be struck out as a defendant.

NOTICE

NOTICE is hereby given that CLARENS BAPTISTE of Sea Breeze Lane, New Providence, The 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 8th day of June, 2022 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas. LEGAL NOTICE

International Business Companies Act (No. 45 of 2000)

LC Business Investment 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 LC Business Investment 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 7th day of March, 2022.

Luciane Ribeiro Moreno Liquidator

THE TRIBUNE

Wednesday, June 15, 2022, PAGE 5

‘PUT MONEY WITH MOUTH’ TO ESCAPE IMF CLUTCHES FROM PAGE ONE the road” as the $385m bond’s placing should have caused “a bump” in the other direction. Besides suggesting that the bond’s two-tranche structure was “overly-complicated” and confusing, even though it enjoyed backing from a $200m Inter-American Development Bank (IDB) guarantee (see other story on Page 1B), the article also voiced concerns that the Davis administration’s fiscal turnaround strategy was based on “hope” with unrealistic revenue and gross domestic product (GDP) growth projections that are unlikely to be achieved. And, finally, the piece suggested that some bond market players have been urging the Government to enter into an IMF financial assistance programme so as to provide a “policy anchor” for the fiscal reforms that are required. Describing The Bahamas’ financing needs as significant, capital markets players said this nation was resistant to approaching the IMF because it would mean new and/or increased taxes, spending cuts and likely public sector lay-offs. Kate Moreton, emerging market fixed income analyst

at Columbia Threadneedle Investments, was quoted as saying: “I think there is a willingness to pay in The Bahamas, but they are struggling fiscally. At the moment they are trying to fix that in-house, and have several ideas of how they might look to raise revenue, but the tough thing is that it relies on growth. Also, as an importer of basically everything, they are dealing with severe inflation.” She described IMF support as the “ideal position” for foreign investors holding Bahamian debt, but added: “They are afraid of the social repercussions [of a programme].” And with good reason, due to the likely consequences. However, the widely-circulated article appeared to strike a chord with Bahamians spoken to by Tribune Business yesterday as it aligned with many of the fears they harbour about the country’s economic and fiscal position. Senator Michael Halkitis, minister of economic affairs, appeared to largely dismiss the concerns raised by the article in a messaged response to this newspaper. Noting that it was published at close to 10pm on Thursday, June 9, prior to the results of The Bahamas’ “oversubscribed”

$385m bond offering being released, he asked: “Did you see the results of the offering?” Simon Wilson, the Ministry of Finance’s financial secretary, could not be reached for comment via phone or message. Both he and Mr Halkitis, since the Davis administration took office last September, have repeatedly hammered the message to investors that The Bahamas has never defaulted on its debt repayment obligations and has no intention of doing so despite a national debt that stood at $11.843bn at endMarch 2022. However, Mr Bowe yesterday argued that The Bahamas must prove to the international markets that it has “the capacity” not to require IMF assistance and can resolve its fiscal headaches through its own actions. This, he added, has to be demonstrated beyond the annual Budget and Fiscal Strategy Report via a medium and long-term consolidation plan with multiple realistic targets, which can easily be measures to show The Bahamas is hitting them. “I think with that one, every time we take the position we won’t come into an IMF programme, I go back to the Bahamian saying:

‘Mouth can say anything’,” Mr Bowe told Tribune Business. “We have to put our money where our mouth is and demonstrate why we will not be there. “The very short-term targets we set out in the Budget and Fiscal Strategy Report don’t back up ‘hard mouth’, as Bahamians say, on the issue of an IMF programme. But bond holders would say: ‘Get the IMF in’. It protects them. We have to recognise they have select interests. “If we want to be independent of that, we have to demonstrate the capacity to do so. Notwithstanding Jamaica went into an IMF programme, all the tough decisions were made by the Government and people themselves. The Bahamas can make the same tough decisions without being in an IMF programme, and demonstrate hard mouth and that it is not mouth saying anything, but that money really buys land.” Mr Bowe agreed with the Global Capital article that The Bahamas is disadvantaged by its non-appearance in indices such as the JP Morgan emerging markets bond index (EMBI), which would create a floor for its bond yields by enabling better comparisons with developing country peers.

BREWERY SUCCEEDS IN $1.2M TAX CHALLENGE FROM PAGE ONE reduce debt from $9m to $5m, and to contain costs at $95.5m, a manageable 8 percent increase. Gross revenue increased by 22 percent for the year, and reported net profit was $8.2m. “The pandemic is not over and we expect that it will take until 2023 for the Bahamian economy and Commonwealth Brewery to fully recover. However, we’re in far better shape than a short time ago, and we’re poised for growth.” He was backed by the BISX-listed firm’s chairman, ex-Central Bank governor Julian Francis, who added: “At the beginning of 2022, there are clear signs that The Bahamas’ economy is on a recovery path. Apart from steady improvements in tourism, foreign direct investment activity has strengthened noticeably, and the Government’s short-term fiscal performance and outlook has been improving – a reliable positive economic indicator. “I have made the point in the past that

Commonwealth Brewery’s business performance can be a faithful indicator of the country’s underlying economic reality. The company’s return to a significant level of profitability in 2021, apart from reflecting effective management of the business during an unprecedentedly difficult time, strongly suggests a rekindling of the economic support on the ground, without which business cannot develop and grow. “There is still considerable recovery necessary before our business returns to normal levels and further growth. However, we can be cautiously optimistic that the worst of this recent period is behind us. I am convinced that Commonwealth Brewery is better prepared than ever to benefit from the full economic recovery when it comes.” Commonwealth Brewery previously warned that product shortages and price hikes are “inevitable” due to continued supply chain disruptions post-COVID, despite generating $1.3m in profits for the 2022 first quarter.

“Commonwealth Brewery continued to experience strong growth in net revenue during the period ending March 31, 2022, of plus-20 percent when compared to the same period of 2021. Key drivers for the continued growth were a further easing of COVID19 related restrictions and continued economic recovery, led by a rebound of the tourism and hotel sector,”

the company previously said in a statement. “Operating expenses increased to $24m for the period, up 14 percent, which is driven by increased sales and increased supply costs. There were continuous disruptions to the global supply chain that lead to higher input costs for the company. “Commonwealth Brewery continues to show

Mr Wilson, too, has made similar comments and said The Bahamas needs to increase the size of its bond issues to make them more attractive to a larger pool of investors. “We sit in no man’s land,” Mr Bowe told Tribune Business. “One of the major holders of our bonds, who has conversations with me from time to time, indicated we are hurt by that. “We tend to be viewed as a developed country so our credit is compared to developed countries rather than compared to peers in developing markets. Sometimes we don’t put ourselves in position to market ourselves to the best of our ability. Ultimately, we need to make sure we put ourselves in the most advantageous position.” One source, speaking on condition of anonymity, took a dimmer view. With listed Bahamas government debt continuing to trend downwards on global stock markets, they said of the $385m bond: “The markets don’t see this as a sign of fiscal stability. They see it as one-off activity, and not a sustained fiscal recovery, without commitment to broad fiscal reform to explain what we’re doing on the revenue and expenditure side.

“The Government is increasing expenditure without explanation. What the markets are working on is the assumption that we are a default risk down the road. They are more comfortable with us going into an IMF programme as that will impose the discipline required. They still have tough sledding ahead.” However, The Bahamas still has several cards and tools in its arsenal that can be deployed before the risk of a debt default looms large. The annual Budget, and much of the fiscal focus to-date, has been on the Government’s equivalent of an ‘income statement’, which reflects its projected annual revenues (tax and non-tax) and both recurrent and capital spending. This, though, does not give any insight into the Government’s balance sheet in the absence of accrual-based accounting. This is where its assets and liabilities would be listed, and it can still leverage its Crown Land holdings and entities such as state-owned enterprises (SOEs) should the need arise, although a so-called ‘fire sale’ of public assets in a fiscal emergency would not be the desired outcome.

profitability with net profit of $1.3m in comparison to the net loss of $0.3m for the comparative period of 2021,” the statement added. “Commonwealth Brewery remains cautiously optimistic as local COVID economic recovery progresses. “Management is also closely monitoring its business strategies and taking additional measures to limit the impact of the global supply chain. Still, price increases and out-ofstocks will be inevitable.

Commonwealth Brewery will continue to invest in its brands, technology, people and the community as part of its long-term strategy.” The BISX-listed brewer’s revenues leapt by almost $5m during the 2022 first quarter, rising from $24.244m the year-before to $29.029m. Operating expenses increased by almost $3m, jumping to $24.49m compared to $21.521m. This followed a 2021 full-year in which revenues rose by 22 percent year-over-year.

Share your news The Tribune wants to hear from people who are making news in their neighbourhoods. Perhaps you are raising funds for a good cause, campaigning for improvements in the area or have won an award. If so, call us on 322-1986 and share your story.

HIRING NOW Human Resource Officer Duties: • Support the development and implementation of HR initiatives and systems • Provide counseling on policies and procedures • Be actively involved in recruitment by preparing job descriptions, posting ads and managing the hiring process • Create and implement effective onboarding plans • Develop training and development programs • Assist in performance management processes • Support the management of disciplinary and grievance issues • Maintain employee records (attendance, other data etc.) according to policy and legal requirements • Review employment and working conditions to ensure legal compliance

Skills and Degree Requirements: • Must have 2+ years of proven experience as HR officer, administrator or other HR position • Knowledge of HR functions (pay & benefits, recruitment, training & development etc.) • Understanding of labor laws and disciplinary procedures • Proficient in MS Office; knowledge of HRMS is a plus • Outstanding organizational and time-management abilities • Excellent communication and interpersonal skills • Problem-solving and decision-making aptitude • Strong ethics and reliability • BSc/BA or MA in Business Administration or Human Resources. If you meet the above requirements, please forward your resume to chinainvestment1969@hotmail.com or apply online at wbusbahamas.com under “jobs”.

Arrow-words are like crosswords, but inside squares onTHE theTRIBUNE grid. Write blank squares in the direction ind

PAGE 6, Wednesday, June 15, 2022

wordSEarch

JUDGE PARKER

CARPE DIEM

Daily Express Thursday, April 21, 2022

Puzzles

MARVIN BLONDIE

S V M W I Y K M O U N T A I N

L B O R E L C Y C I R T A R B

H U T U A M G Q U A D F Y A O

Y A O G R C N A U Y V F B B U

D L R O T R I C K S H A W E E

R Z A X D L D N E J U P T T S

O D K M K Y L N G A U W U L I

C Z F C R B O U X F K O I B C

Y V Q N A M F L D A T B W Q R

C H F J N R E L E C T R I C E

CRUSADER PRIZE CROSSWORD

HAGAR THE

TIGER

across 1 Former president on vessel, showing outdoor ability (9) 6 Employed American journalist (4) 10 About inclination to be a pain (5) 11 Environmental meter, say, for fruit (9) 12 Random when wandering miles inside (7) 13 Fellow recorded as punished (7) HORRIBLE 14 Like a needle to be in a precarious state (4,2,1,6) 17 Struggle with weariness and shell shock (6,7) 21 Listen to everything and hare off? Unacceptable (4,3) 22 Get back concerning insurance (7) 24 Offer is expected, first, to soften (9) 25 Curt during later sermon (5) 26 New unusually red anorak (4) 27 Bungling mother and boy performing trio (9)

CALVIN & HOBBES

Find all the terms listed belo

1 2 3 Down Solution tomorr 1 Support each terrible pain (8) 2 Many insects are small and● BMX ● ELECTRI BALANCE 10 affectionate (5) FOLDING ● HYDROCYCLE ● M 3 Thoroughly reliable ● QUAD ● RACIN policemanMOUNTAIN reached the bed (6-8) ROAD ● TANDEM ● TOURI 12 4 Noble, a sporting venue (7) 5 Time flew backwards, the TRICYCLE ● UNICY endless bit (7) 7 Scooby-Doo, say, putting 14 15 friend first? Long story (6,3) 8 Daughter scans fears (6) 9 A French servant on date 17 turned out wild (14) Quick wordSEarch 15 Easy question, and not 20 croSSword about bear in trouble (2-7) E A L U C Y L O 21 16 Sweet air circulated when L I P B Q G Z B across: 1 Also; 3 Attitude; least energetic 8 Turf; 9 (8) Windpipe; 11 Field O K L G Y K O W 18 Element, large 13 one, hitout; out glasses; Cut with hesitation (7)17 Incisiveness; C E T P P P W E 14 Ardour; 24 G N S E E N L M 19 Mammal 20spreading Estrange; fleas 21 Lair; N D E E Z P N around22 ancient city (3,4) Tendered; 23 Clue. I R P W L I U down: it 1 Artifice; 20 Reject taking back for2 Surfeit; Triple; 5 Indiscreet; invalid 4 (4-2) K U T Q F M D Z 26 6 Unite; 7 Eden; 23 Six right to leave a sign (5) T M J F S Y Y Y

YESTERd

10 Adjudicate; 12 Preserve; 15 Overall; 16 Single; 18 Not in; 19 Pest.

P S U K E Y

W M M X K L

U I W A C A

S M V V R D

N B V V J Y

R B X N A B

O E B K C I

C Z Z E K R

THE ALPHABEAT

TARGET

oG i Po l loY

● The Target uses words in the main body of Chambers 21st Century Dictionary (1999 edition)

targEt thE cAn you crack the Alphabeater? Each grid alph

number represents a letter – or black square.Colesl lifEguard across: As in ague Alphapuzzle, every letter alphabet adieu argue argued auger auldof the Sequin, Javelin is used. Butdual youduel have to complete the gridLad, too! Elke direful drug earful failure (clue), feud feudal figure figuredand flueblack fluid squares Orifice, Attend use the given letters below fraud frugal fudge fuel furl‘rotationally Polygamy. the grid to start. the fugal grid is furled gaud gaudier glue glued gruel down: Catacom symmetrical’ – in other words, it looks the *C guard guide guild guilder guile gulf Lexicon, Stipen samelaud if you the page upside ireful lieuturn LIFEGUARD luge lure down. Whoa, Empathy Solution lured lurid tomorrow rude rued rule ruled ugli Gangrene. uglier urea urge urged

A 36 33 38 25 25 39 13 26 20 B HOW many words of four letters or C 6 18 15 18 32 24 11 38 40 more can you make from the letters D shown here? E 23 1 18 14 28 6 27 12 29 in making a word, each letter may be F used once only. Each must contain the centre letter and there must be at G 32 13 26 23 17 30 34 5 5 least one nine-letter word. no plurals. H Verb forms ending in s permitted’. I 3 38 7 7 28 12 20 18 12 J TODAY’S TARGET Good 12; very good 18; excellent 24 K 38 39 16 18 37 19 15 22 9 (or more). Solution tomorrow L M 33 26 4 18 35 31 19 31 36 call 0907 181 2585 N for today’s target solution Best described O 22 as38 2 25 39 40 17 in 40 4 a number crossword, the task Kakuro *Calls cost 80p per minute plus your telephone is to fill allPof the empty squares, using numbers 1 to 9, so company’s network access charge. Q each 20 horizontal 9 37 block 18 equals 4 27 32 15to its 1 the sum of the number left, and the R sum of each vertical block equals the number on its top.SNo in the18same 10number 18 may 35 be27used25 21block 34more 16 than once. T The difficulty level of the Conceptis Kakuro increases Ufrom Monday to Sunday. 18 12 32 31 17 6 31 16 31 FIND where the fleet of ships shown is hidden V in the grid. The numbers to the right of and W 25 18 14 36 31 19 34 19 37 below the grid indicate how many of the squares in that row are filled in with ships or Yesterday’s X Yesterday’s parts of ships. The ships do not touch each Y 8 6 29 30 23 4 2 9 10 other, even diagonally. Some squares haveSudoku Answer Kakuro Answer Z

DENNIS THE MENACE Sudoku is a number-placing puzzle based on a 9x9 grid with several given numbers. The object is to place the numbers 1 to 9 in the empty squares so the each row, each column and each 3x3 box contains the same number only once. The difficulty level of the Conceptis Sudoku increases from Monday to Sunday

BATTLESHIPS

CRYPTIC PUZZLE 1 It cuts down the light coming from headlamps (9) 8 Any about to depart may give hurt (5) 9 Revolutionary means of getting power (7) 10 After new cuts firm goes to the wall (6) 11 Sell small company making musical instruments (6) 12 A superintendent too poetic about poetry (8) 15 You won’t care if you lose it (8) 18 Alarm caused by our sea becoming rough (6) 20 Corrects a conclusion in writing (6) 21 Dim-sighted king in bed (7) 22 Alec’s unusual ties (5) 23 Token of sincerity - and nervousness (9)

2 Take advantage of employment (5) 3 Not the only sort of

analysis? (7) spoiled (9) 11 Very well, do better friend

eaten (6) 17 Chemical evidence of cannabis smoking? (6) 19 Meat and chips we hear (5)

Down 2 Quickly (5) 3 Take office (6)

9 Fewness (7)

4 Advantage (8)

10 Tightly sticking mollusc (6) 11 Sensitive

5 Negligently inert (6) 6 Guilty party (7) 7 From start

to touch (6)

Across: 1 Landing, 4 Put on, 7 Tall, 8 Foregone, 10 Pinpointed, 12 Breach, 13 Issued, 15 Out of order, 18 Fallible, 19 Look, 20 Yearn, 21 Elapsed.

Across: 1 Modicum, 4 Own up,

12 To speed up (8)

7 Gale, 8 Handicap, 10 To the

15 Mirth (8)

point, 12 Formal, 13 Ardour,

18 Risky (6)

13 Observe (8)

15 For all time, 18 Heavenly,

20 Scamp (6)

14 Chase (7)

Down: 1 Let up, 2 No longer, 3 Ground, 4 Pretension, 5 Took, 6 Needled, 9 Conclusion, 11 Outdoors, 12 Briefly, 14 Collie, 16 Raked, 17 Plea.

Down: 1 Might, 2 Dilatory,

21 Break

16 Physical

19 Snap, 20 Waken, 21 Cavalry. 3 Meadow, 4 Ordinarily, 5 Nice, 6 Popular, 9 Get a move on, 11 Notional, 12 For show, 14 Garlic, 16 Empty, 17 Rank.

down (4,3) 22 Authoritative command (5) 23 To quarrel (4,5)

to finish (3,3,3) 11 Unreasonable demand (4,5)

condition (6) 17 Manage with what exists (4,2) 19 Was able (5)

4 x submarine

8 Customary (5)

2 x cruiser

1 Grasping (9)

3 x Destroyer

Across

1 x Battleship

Yesterday’s Easy Solution

Yesterday’s Cryptic Solution

dateline (8) 16 Is hard perhaps but may be

9 10

13 Involved in forming a new 14 Time of strain (7)

(9)

7 He pretends their copy is

6 Said to be undergoing

14 15

4 Pass over a few being 5 Holiday break for Teresa (6)

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KEIJO 1 1

THE TRIBUNE

Wednesday, June 15, 2022, PAGE 7

US PRODUCER PRICES SOAR 10.8% IN MAY AS ENERGY COSTS SPIKE

By CHRISTOPHER RUGABER AP Economics Writer U.S. producer prices surged 10.8% in May from a year earlier, underscoring the ongoing threat to the economy from inflation that shows no sign of slowing. Tuesday's report from the Labor Department showed that the producer price index — which measures inflation before it reaches consumers — rose at slightly slower pace last month than in April, when it jumped 10.9% from a year earlier, and is down from an 11.5% yearly gain in March.

On a monthly basis, producer prices climbed 0.8% in May from April, above the previous month, when they increased 0.4%. Energy prices, led by gas, rose 5% just in May from April. Another big driver of the price gains last month was a sharp 2.9% increase in the cost of truck freight hauling, a sign that supply chain problems still aren't fully resolved. Food costs were unchanged. The figures indicate that rising prices will continue to erode Americans' paychecks and wreak havoc on household budgets in the coming months. Inflation has created major political

headaches for President Joe Biden and congressional Democrats and has forced the Federal Reserve into a series of rapid interest rate hikes intended to slow the economy and cool price increases. On Friday, the government reported that inflation — as measured by the consumer price index — jumped to a new 40-year high of 8.6% in May, a surprise gain that disappointed expectations that price increases might be slowing. Gas and food costs rose sharply, pushed higher by Russia's invasion of Ukraine, but the costs for rent, new and used cars,

medical care, and clothing also rose, evidence that inflation is spreading more broadly through the economy. The Federal Reserve is expected to hike its short-term interest rate by three-quarters of a point on Wednesday, the largest increase since 1994, as it ramps up its efforts to rein in higher prices. The producer price data captures inflation at an earlier stage of production and can sometimes signal where consumer prices are headed. It also feeds into the Federal Reserve's preferred measure of inflation,

the personal consumption expenditures price index. Strong consumer spending has pushed up demand for a range of goods and services, which has in turn overwhelmed supply chains, creating shortages in some cases and pushing up prices. Greater demand for travel this spring and summer has also sent hotel and airfare prices soaring. How long that consumer demand will last is a key question for the economy going forward. Millions of Americans have enjoyed solid pay raises in the past year, including lower-income workers

THE WEATHER REPORT

5-Day Forecast

TODAY

ORLANDO

High: 92° F/33° C Low: 76° F/24° C

TAMPA

FRIDAY

SATURDAY

SUNDAY

Mostly sunny and pleasant

Mainly clear and warm

Partly sunny and pleasant

Partly sunny and beautiful

Mostly sunny and nice

A morning shower; mostly cloudy

High: 87°

Low: 79°

High: 88° Low: 78°

High: 88° Low: 77°

High: 87° Low: 78°

High: 88° Low: 77°

AccuWeather RealFeel

97° F

87° F

99°-86° F

97°-84° F

99°-86° F

98°-86° F

The exclusive AccuWeather RealFeel Temperature® is an index that combines the effects of temperature, wind, humidity, sunshine intensity, cloudiness, precipitation, pressure and elevation on the human body—everything that affects how warm or cold a person feels. Temperatures reflect the high and the low for the day.

almanac

ABACO

High: 85° F/29° C Low: 79° F/26° C

6-12 knots

High: 91° F/33° C Low: 78° F/26° C

6-12 knots

FT. LAUDERDALE

FREEPORT

High: 89° F/32° C Low: 79° F/26° C

E S

WEST PALM BEACH

uV inDex toDay

THURSDAY

| Go to AccuWeather.com

TONIGHT

High: 93° F/34° C Low: 81° F/27° C

High: 87° F/31° C Low: 78° F/26° C

MIAMI

High: 90° F/32° C Low: 78° F/26° C

4-8 knots

Statistics are for Nassau through 2 p.m. yesterday Temperature High ................................................... 86° F/30° C Low .................................................... 78° F/26° C Normal high ....................................... 87° F/31° C Normal low ........................................ 74° F/23° C Last year’s high ................................. 90° F/32° C Last year’s low ................................... 68° F/20° C Precipitation As of 2 p.m. yesterday ................................. 0.00” Year to date ............................................... 25.72” Normal year to date ................................... 10.92”

ELEUTHERA

NASSAU

High: 87° F/31° C Low: 79° F/26° C

High: 86° F/30° C Low: 78° F/26° C

KEY WEST

High: 88° F/31° C Low: 81° F/27° C

High: 85° F/29° C Low: 78° F/26° C

7-14 knots

8-16 knots

ANDROS

Shown is today’s weather. Temperatures are today’s highs and tonight’s lows.

tiDes For nassau High

Ht.(ft.)

Low

Ht.(ft.)

Today

9:02 a.m. 9:36 p.m.

2.6 3.7

3:15 a.m. -0.4 3:07 p.m. -0.7

Thursday

9:58 a.m. 10:30 p.m.

2.7 3.6

4:08 a.m. -0.4 4:03 p.m. -0.6

Friday

10:55 a.m. 11:25 p.m.

2.7 3.4

5:03 a.m. -0.4 5:00 p.m. -0.4

Saturday

11:55 a.m. -----

2.6 -----

5:58 a.m. -0.3 6:00 p.m. -0.1

Sunday

12:21 a.m. 12:56 p.m.

3.2 2.6

6:54 a.m. -0.1 7:03 p.m. 0.1

Monday

1:18 a.m. 1:59 p.m.

3.0 2.6

7:50 a.m. 8:09 p.m.

0.0 0.3

Tuesday

2:17 a.m. 3:02 p.m.

2.8 2.7

8:45 a.m. 9:15 p.m.

0.0 0.5

sun anD moon Sunrise Sunset

6:20 a.m. Moonrise 8:01 p.m. Moonset

9:46 p.m. 7:17 a.m.

Last

New

First

Full

Jun. 20

Jun. 28

Jul. 6

Jul. 13

SAN SALVADOR

GREAT EXUMA

High: 85° F/29° C Low: 78° F/26° C

High: 85° F/29° C Low: 79° F/26° C

High: 84° F/29° C Low: 80° F/27° C

W S

LONG ISLAND

tracking map

High: 86° F/30° C Low: 78° F/26° C

The higher the AccuWeather UV IndexTM number, the greater the need for eye and skin protection.

CAT ISLAND

at restaurants, hotels, and warehouses. Consumers also have greater savings than is typically the case from government stimulus checks and because they weren't able to spend as much on travel and entertainment in the past two years. Those savings are supporting ongoing spending even amid high prices. Yet prices are rising at a faster pace than wages, on average, suggesting that eventually consumers may have little choice but to pull back on spending.

7-14 knots

MAYAGUANA High: 86° F/30° C Low: 81° F/27° C

Shown is today’s weather. Temperatures

CROOKED ISLAND / ACKLINS

are today’s highs and tonight’s lows.

RAGGED ISLAND High: 85° F/29° C Low: 79° F/26° C

GREAT INAGUA High: 87° F/31° C Low: 80° F/27° C

High: 85° F/29° C Low: 79° F/26° C

10-20 knots

8-16 knots

marine Forecast ABACO ANDROS CAT ISLAND CROOKED ISLAND ELEUTHERA FREEPORT GREAT EXUMA GREAT INAGUA LONG ISLAND MAYAGUANA NASSAU RAGGED ISLAND SAN SALVADOR

Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday: Today: Thursday:

WINDS SE at 6-12 Knots ESE at 4-8 Knots E at 7-14 Knots ESE at 6-12 Knots E at 8-16 Knots E at 7-14 Knots E at 8-16 Knots E at 8-16 Knots E at 7-14 Knots E at 6-12 Knots S at 4-8 Knots ESE at 6-12 Knots E at 8-16 Knots E at 8-16 Knots NE at 8-16 Knots ENE at 8-16 Knots E at 8-16 Knots ENE at 8-16 Knots E at 8-16 Knots E at 8-16 Knots E at 7-14 Knots ESE at 7-14 Knots E at 10-20 Knots E at 8-16 Knots E at 7-14 Knots E at 7-14 Knots

WAVES 1-3 Feet 2-4 Feet 0-1 Feet 0-1 Feet 2-4 Feet 2-4 Feet 2-4 Feet 1-3 Feet 2-4 Feet 2-4 Feet 0-1 Feet 0-1 Feet 1-2 Feet 1-2 Feet 2-4 Feet 1-3 Feet 2-4 Feet 1-3 Feet 3-6 Feet 3-5 Feet 1-2 Feet 1-2 Feet 2-4 Feet 1-3 Feet 1-2 Feet 1-2 Feet

VISIBILITY 10 Miles 10 Miles 8 Miles 10 Miles 10 Miles 10 Miles 10 Miles 6 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 8 Miles 5 Miles 10 Miles 10 Miles 10 Miles 7 Miles 10 Miles 10 Miles 7 Miles 10 Miles 10 Miles 10 Miles

WATER TEMPS. 83° F 84° F 87° F 87° F 82° F 82° F 81° F 81° F 82° F 83° F 86° F 87° F 84° F 84° F 81° F 81° F 82° F 82° F 81° F 81° F 84° F 84° F 82° F 82° F 82° F 83° F

PAGE 8, Wednesday, June 15, 2022

THE TRIBUNE

OPPOSITION: ‘SHORE UP’ INVESTORS’ CONFIDENCE FROM PAGE ONE laid out and they committed to in their Fiscal Strategy Report, which they have failed to do. That is the purpose of the Fiscal Strategy Report, the laying out of fiscal targets, and by law it requires the laying out of fiscal targets, and they have failed to adhere to those targets. I believe that is what has caused major concern.” Some analysts and investors suggested bond market players wanted The Bahamas to go into an IMF assistance programme, which would serve as a “policy anchor” for fiscal consolidation, but the Davis administration was not surprisingly resistant to this because of the dire economic and social consequences that will result from new and/or increased taxes, reduced spending and public sector downsizing. “We obviously do not want to go down that road, and the Government has to adhere to those principals in the Fiscal Responsibility Act,” Mr Thompson said, referring to the IMF. “No

one wants us to go down that road.” Many would argue, though, that successive PLP and FNM administrations are equally responsible for the fiscal crisis that The Bahamas now faces. Meanwhile, Gowon Bowe, Fidelity Bank (Bahamas) chief executive, said he took the article’s criticisms of The Bahamas’ $385m bond issue “with a grain of salt” given that they seemed to be coming from disgruntled investors unhappy about their inability to participate in the Series A portion of the offering. This was the tranche underwritten by the IDB, and it was revealed that the entire $135m made available had been purchased by Goldman Sachs. The global investment banking giant was also the $385m bond’s sole global co-ordinator and bookrunner for the Series A tranche, and served as joint bookrunner for the unsecured $250m Series B portion with Oppenheimer & Company. The $135m Series A proceeds will also be used

to refinance, and payout, the $206.5m “repurchase” deal that the Government entered into with Goldman Sachs some two months ago in March 2022. Effectively, what the $385m bond has enabled Goldman Sachs to do is swap short-term Bahamas government debt with a longer-term variety, with the latter now underwritten by the $200m IDB guarantee and thus providing it with excellent investment security. Mr Bowe said other potential and existing investors thus felt the bond’s benefits were weighted towards Goldman Sachs. He added that he had spoken to several persons who attended the “roadshows” and presentations where the $385m bond was marketed to investors, and said: “They felt it was quite positive, but very much led by the benefits to Goldman Sachs.” The $385m bond’s twotranche structure has been questioned, with some querying why The Bahamas did not follow Ghana’s example by leveraging the World Bank guarantee it obtained

through a single bond issue. The IDB guarantee this nation obtained, though, was critical to ensuring the Government can still access US dollar financing in the international markets at reasonable costs to the taxpayer at a time when conditions are moving against The Bahamas. With the Federal Reserve set to raise interest rates by up to three-quarters of a percentage point this week, according to analysts, as the battle with inflation intensifies, the emerging market spreads - the difference between US interest rates and those countries such as The Bahamas can obtain on US dollar financing - will also increase. This will mean this country has to pay more for foreign currency debt should it have to go to market again, with debt servicing (interest costs) to be paid by the Bahamian taxpayer likely heading into double digit territory through a conventional bond issue. The Ministry of Finance, in a statement earlier this week, said the $200m

guarantee provided by the IDB had kept the “allin” yield or interest cost associated with the $385m two-bond series “substantially inside The Bahamas’ secondary market curve”. The IDB guarantee secures the repayment of principal and interest for the $135m Series A bond, which carries a 3.85 percent interest coupon. The unsecured $250m Series B tranche, which carries a higher 9 percent interest rate to reflect the increased risk, will only benefit from the guarantee if “a residual portion equal to or greater than $2m” is left once the Series A notes have been repaid. The two bond tranches carry different maturities, with the unsecured Series B set for principal repayment in June 2029, and the guaranteed (underwritten) $135m due to be redeemed seven years later in June 2036. The offering shows how eager the Government is to minimise debt servicing (interest) costs in a tough capital markets climate.

Noting that market conditions post-COVID have moved against The Bahamas, the Ministry of Finance said: “In recent times, market conditions have not been favourable for emerging market countries like The Bahamas. The combination of increasing US Treasury rates, widening emerging market credit spreads, uncertainty regarding the outlook of inflation globally, rising commodity prices, among other considerations, have materially reduced market access for non-investment grade rated issuers globally.” “The [IDB] guarantee, alongside the international market’s recognition of the ongoing recovery in the Bahamian economy and the Commonwealth’s commitment to responsible fiscal and debt management strategies, helped to catalyse investor demand for the dual-tranche offering, which was driven primarily by investors located in the US and continental Europe.”

Stocks dip deeper into bear market ahead of big Fed news By STAN CHOE AND DAMIAN J. TROISE AP Business Writers MOST stocks on Wall Street dipped Tuesday in their first trading after tumbling into a bear market on worries that high inflation will push central banks to clamp the brakes too hard on the economy. The S&P 500 fell 14.15, or 0.4%, to 3,735.48 as investors braced for the Federal Reserve’s announcement on Wednesday about how sharply it will raise interest rates. It wobbled between losses and gains through the day after a couple big companies flexed financial strength with stronger profits and payouts to shareholders. The Dow Jones Industrial Average fell 151.91 points, or 0.5%, to 30,364.83. The Nasdaq composite rose 19.12, or 0.2%, to 10,828.35 after swinging between a a loss of 0.7% and a gain of 1.1%. Despite the swings, trading across markets was still calmer than during Monday’s worldwide rout, which sent the S&P 500 down 3.9%. Stocks fell more than 1% in Tokyo and Paris but rose that much in Shanghai. A measure of nervousness among investors on Wall Street eased, even as Treasury yields again pierced their highest levels in more than a decade. “No one’s going to take meaningful positions today ahead of what could be a rip-roaring day” with the Fed’s announcement, said Katie Nixon, chief investment officer for Northern Trust Wealth Management. Cryptocurrency prices continued to swing. They’ve been among the hardest-hit in this year’s sell-off for markets as the Federal Reserve and other central banks raise interest rates to rein in inflation and forcefully turn off the “easy mode” that helped prop up markets for years. Bitcoin was down nearly 5% in afternoon trading and sitting at $22,201, according to CoinDesk. It earlier fell to nearly 70% below its record of $68,990.90 set late last year. Offering some support to the market was a report that showed inflation at the wholesale level was a touch lower in May than expected, though it remains very high. It could be an indication that wholesale inflation peaked in March, according to Jack Ablin, chief investment officer at Cresset Capital Management. But economists said the data won’t keep the Federal Reserve from raising its key interest rate on Wednesday by a larger-than-usual amount. Investors are now mostly expecting the

PRESIDENT Joe Biden speak at the AFL-CIO convention in Philadelphia, Tuesday, June 14, 2022. Photo:Susan Walsh/AP

Biden focuses on workers as high inflation remains a risk TRADERS work on the floor at the New York Stock Exchange in New York, Tuesday, June 14, 2022. Wall Street is wobbling between gains and losses Tuesday in its first trading after tumbling into a bear market on worries about a fragile economy and rising rates. Photo:Seth Wenig/AP biggest increase since 1994, a hike of three-quarters of a percentage point, or triple the usual amount. A week ago, such a mega-increase was seen as only a remote possibility, if one at all. But a market-bludgeoning report Friday on inflation at the consumer level has seemingly pinned the Fed into getting more aggressive. It showed inflation for the consumer price index got worse in May, instead of slowing as hoped. “It’s really a split decision in terms of the market as to whether that will be a good thing or a bad thing,” Nixon said of a big rate increase. “It certainly opens the door to additional big hikes in the future.” Treasury yields continued to climb, with the two-year yield touching its highest level since November 2007, before the financial crisis, according to Tradeweb. The 10-year yield during the day reached its highest level since April 2011. They also had a relatively reliable warning signal of recession in the bond market flashing on and off. In afternoon trading, the yield on the 10-year Treasury had climbed back above the two-year yield, at 3.47% versus 3.41%. That’s typically how things look in the bond market. In the unusual circumstances where the two-year yield tops the 10-year yield, some investors see it as a sign that a recession may be hitting in about a year or two. It’s called an

“inverted yield curve,” and it briefly flashed earlier in the day. On Wall Street, Oracle soared 10.4% after it reported stronger revenue and earnings for its latest quarter than analysts expected. FedEx jumped 14.4% after it boosted its dividend payout by more than 50%. It was the first trading for U.S. stocks after the S&P 500 closed Monday at 21.8% below its record set early this year. That put it in a bear market, which is what investors call a drop of 20% or more. At the center of the sell-off is the Federal Reserve’s effort to control inflation by raising interest rates. The Fed is scrambling to get prices under control and its main method is to raise rates, but that is a blunt tool that could slow the economy too much and cause a recession. “The real calm in today’s market is driven very significantly by the focus on this week’s Fed decision.” said Greg Bassuk, CEO of AXS Investments. “Today’s is either the calm before the storm or the calm that will hopefully represent an extended period of calm.” Other central banks worldwide, including the Bank of England, have been raising rates as well, while the European Central Bank said it will do so next month and in September. The war in Ukraine is sending oil and food prices sharply higher, fueling inflation and sapping consumer spending, especially in Europe.

By DARLENE SUPERVILLE AND JOSH BOAK Associated Press PRESIDENT Joe Biden told the largest federation of labor unions on Tuesday that he’s working to rebuild the U.S. economy around workers, an attempt to draw a contrast with Republicans who have increasingly attracted blue-collar votes. “We should encourage unions,” Biden said. “I’m not just saying that to be pro-union. I’m saying it because I’m pro-American.” The speech before the AFL-CIO convention in Philadelphia was the president’s attempt to reset the terms of the debate on the economy as the president’s own approval ratings have slid while consumer prices and the cost of gasoline have surged. Inflation at a more than 40-year high has caused voters to sour on the economy, despite a recovery after the pandemic-induced downturn that has led to robust hiring and a healthy 3.6% unemployment rate. The president on Tuesday tried to remind his audience of the food lines and layoffs during the coronavirus pandemic that preceded his presidency, contrasting that with the improvements in household balance sheets under his watch. But even as the economy has quickly amassed

RAILROAD TALKS STALL, SO BIDEN LIKELY TO PICK REVIEW BOARD By JOSH FUNK AP Business Writer RAILROAD contract talks remain deadlocked after more than two years of negotiations, so President Joe Biden will likely soon have to appoint a board to help settle the dispute. The National Mediation Board determined Tuesday that mediation isn’t working in the joint talks that cover roughly 140,000 workers

in 13 unions at the biggest freight railroads. They deliver the raw materials many companies rely upon, as well as the cars, chemicals and containers full of consumer goods the companies make. The federal law that governs the contract talks says arbitration is the next step, but both sides have to accept that and the unions have said they won’t. That means Biden is expected to appoint

a Presidential Emergency Board to investigate why the two sides haven’t been able to reach a deal and make recommendations. The unions are optimistic that a board appointed by a self-described pro-union president will be sympathetic to their side, while helping bring the two sides closer together. That board’s recommendations are likely to trigger a new round of negotiations.

But the workers are also frustrated after not getting any raises since 2019 and enduring increasingly strict attendance policies that BNSF and Union Pacific have imposed. They want to be compensated for keeping the railroads running during the pandemic and they want their pay to increase enough to offset inflation. Plus, they have seen nearly one-third of the union jobs eliminated at

the major freight railroads in recent years as railroads overhauled their operations. The unions also vehemently oppose railroad proposals to cut rail crews from two people down to one. “The railroads have still refused to make an offer remotely close to what their employees would consider ratifying,” said Dennis Pierce, the national president of the Brotherhood of

jobs, inflation has left many workers feeling worse off as wages have not kept up with the costs of living. The Labor Department said Friday that average hourly earnings, after adjusting for inflation, have fallen 3% over the past year. Inflation has left Biden and Democrats’ control of the House and Senate vulnerable in the upcoming midterm elections. Republican lawmakers have blamed the president’s $1.9 trillion coronavirus relief package for causing inflation to start rising last year. GOP lawmakers also say the Biden administration has been too restrictive on domestic oil production. “Working families’ budgets took a back seat to the far-left’s wish list,” Senate Republican Leader Mitch McConnell of Kentucky said in a Monday speech. Biden says the GOP is focused on cutting taxes for companies and the wealthy. Republicans argue that their 2017 tax overhaul created a firmer base for growth by reducing corporate tax rates, making U.S. companies more competitive. They say enabling companies and individuals to hold on to more of what they earn will boost growth, while Biden counters that laws enabling unionization and boosting child care benefits for families will lead to growth through a stronger middle class.

Locomotive Engineers and Trainmen. The unions say the tough workplace rules that BNSF and Union Pacific adopted without negotiating make it difficult to take any time off. Rutgers University professor Todd Vachon, who teaches classes about labor relations, said the railroad contract dispute predates the recent spate of strikes, but the ongoing labor shortages may have the unions feeling more emboldened about pressing their complaints.