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FRIDAY, JULY 14, 2017

$4.15 GOVT’S ‘FINAL WORD AWAITED’ ON $70M ALIV INTEREST SALE By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net ADVISERS are “still awaiting” the Government’s final go-ahead on the $70 million sell-of its majority interest in the Aliv mobile operator, with the terms unlikely to change. Gowon Bowe, one of those working on the placement, told Tribune Business that “everything is lined up” for the disposal of the Government’s 100 per cent interest in HoldingCo, the entity that holds a 51.75 per cent equity stake in Aliv. He indicated that a decision was likely imminent, given that the Government had summoned HoldingCo’s directors to a meeting that was likely to be held next week. “We still haven’t got any final word from them,” Mr Bowe told Tribune Business of the Minnis administration. “They have called for a meeting with the Board of Directors from HoldingCo,

Adviser: ‘Everything lined up’

A TOP accountant yesterday said it will be one of the Minnis administration’s “crowning achievements” if it can introduce accrualbased accounting to the Government’s finances before the next election. Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, told Tribune Business that public sector accounting reform was “of the greatest importance” to restoring credibility and trust in the Government’s financial reporting and projections. Speaking in the wake of the threatened Moody’s ‘junk’ downgrade, Mr Bowe

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

Terms thought unlikely to change and believe this is scheduled for next week. “So we’re hoping that at some point we will get a final decision. Everything is lined up with the professional advisers and investors provided the position remains the same; that this was a transitory arrangement and the goal is to dispose of all of or the majority of it. All indications are that we are proceeding on the same basis.” The Minnis administration could realise a muchneeded revenue windfall, given its precarious fiscal position, should HoldingSee PG B4

$4.19

$4.02

Govt told: Boost debt transparency via BISX

HoldingCo Board to meet Govt next week

Public finance reform can be Minnis Govt’s ‘crowning achievement’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

$4.19

KEITH DAVIES

BISX’s chief executive yesterday said the Government needs to list its $3 billion-plus local debt on the exchange “sooner rather than later” to boost financial transparency. Keith Davies told Tribune Business that the Bahamas International Securities Exchange (BISX) provided a ready-made platform through which the

Government could meet the demand for more openness in its financial dealings. Suggesting that the listing and trading of Bahamas Government Registered Stock (BGRS) on BISX would “heighten” the Government’s standing locally and internationally, Mr Davies said the exchange could also facilitate the Minnis administration’s privatisation plans. The Prime Minister See PG B5

Exchange chief: List debt ‘sooner, not later’ Move would ‘heighten’ Govt’s standing Offers ‘value-added’ privatise avenue

Economy to get ‘worse before it gets better’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas Motor Dealers Association’s (BMDA) president yesterday warned that the economy “will get worse before it gets better”, with a turnaround still “a year or more away”. Fred Albury, speaking

after half-year sales trends “unsettled” new auto dealers, told Tribune Business that reviving the Bahamian economy would not be as easy as “turning on a light switch”. He urged the Government to incentivise private sector expansion through Business License fee cuts and other concessions, emphasising that he and other

entrepreneurs needed to “see a glimmer of light” before they would be willing to invest. And the BMDA chief said the Bahamas “might as well dig a plot and bury” its offshore financial services industry, describing the sector as “done”. Giving a somewhat pessimistic near-term outlook See PG B4

BMDA chief: Recovery ‘year or more away’ Calls for ‘glimmer of light’ for business Describes financial services as ‘done’

Accrual accounting ‘of greatest importance’ BICA chief estimates 3-5 years for reform Urges Govt: ‘Flip switch’ before election encouraged the new government to follow through with the reform process set in train by its Christie administration predecessor during the 2015-2016 fiscal year. Without accrual-based accounting, the BICA See PG B5

Abaco outages ‘dampen a very strong summer’ By NATARIO MCKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net ABACO resorts yesterday said frequent power outages have “really put a damper” on what is shaping up as “an extraordinarily strong summer”, saying many frustrated guests have vowed to never return. Molly McIntosh, general manager of the Bluff House Beach Resort and Marina, said Abaco’s tourism sector had suffered a tremendous hit as a result of Bahamas

Power & Light’s (BPL) outages, telling Tribune Business: “The disruptions in power have had a big effect on our business. “Bluff House had a group in last weekend and it was a group of private pilots. They arrived and were so excited to be here, some of them on the first trip to the Bahamas. We didn’t know what to say as we had no information. We looked like a bunch of bumbling idiots because we didn’t know what to tell them. See PG B2

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PAGE 2, Friday, July 14, 2017

PLANS TO STAMP OUT WORKPLACE CORRUPTION CORRUPTION seems to be the ‘buzz word’ in our political, corporate and social environment today. Even Bahamians have seemingly lost a sense of integrity regarding their dealings with people, and what belongs to others. The dictionary offers a simple definition of corruption as “dishonest or fraudulent conduct by those with power, typically involving bribery”. Many will argue that corruption is so pervasive, and has taken such deep roots, that it is nearly impossible to completely remove it from our every day existence. The real issue is that after many years of dishonest ‘domestication’, our values have shifted and our moral compass is so skewed that

many (if not most) see blurred lines between right and wrong. Our response has to include leaders viewing all matters of corruption through a non-partisan lens. There are global standards of unethical behaviour that clearly articulate when employees and others have crossed the line. The consequences of continuing to permit the blatant violation of these standards is a deepening spread of the cancer that erodes every facet of our social and moral fabric. Do not mis-judge or take for granted the task ahead of trying to address corruption. Many will resist (sometimes for their own selfish reasons), and others will turn a sympa-

thetic ear towards offenders. While we must always be tender-hearted and forgiving to those who have remorse, it is necessary to hold people accountable for their actions - both positive and negative. Here are a few points to consider when addressing corruption in the workplace:

Make sure the person is actually involved in the crime. While your gut instincts may be correct, it is always a good idea to do some research. So before getting involved in drama, ‘double check’ your suspicions. Sometimes guilty offenders will cry ‘witch hunt’, but let the chips fall

where they may. Look objectively at the evidence and make the right decision. Do not allow your biased, discriminating eye or heart lead you down a judgmental path. Allow justice to prevail.

Make sure there are internal controls in place to discourage employees from engaging in such behaviour. Some of these might include: Segregation of duties, to prevent one person from undertaking an entire transaction alone; clearly established lines of delegated authority and responsibility; position descriptions that clearly represent the jobs people actually do;

job rotation (wherever possible) for those in key positions of trust; staff awareness, education and training to ensure all are aware of, and can recognise, the signs of possible fraudulent or corrupt behaviour; adequate protective measures for safeguarding, assets, processes and data; and a work environment where people feel comfortable in raising concerns and are not penalised for doing so.

* NB: Ian R. Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has

THE TRIBUNE

IAN FERGUSON served organisations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at tcconsultants@coralwave.com.

BANK INCREASES DONATIONS FOR THE ‘EMERGING LEADERS’ Bahamas First to stage

COMMONWEALTH Bank has increased support for its ‘Emerging Leaders’ scholarship programme at the University of the Bahamas this week with a donation of $50,000. It was the seventh consecutive year that the BISXlisted bank lent its support to the programm it created, taking total donations to $350,000. The funds endow scholarships for students who show leadership potential and choose to study economics, finance or other disciplines that prepare them for business, social or political decision-making positions. “This is the seventh time we have donated to the ‘Emerging Leaders’ programme, and just as the institution has evolved from college to university, we have watched, with satisfaction, the respect for leadership training gain significance in higher education,” said Denise Turnquest, Commonwealth Bank’s senior vice-president of credit risk. “We are extremely grateful for Commonwealth Bank’s commitment to higher education and this

“The day they got here the power was off for almost 12 hours. They managed to have fun but we could tell they didn’t believe us when we told them on Saturday that this was not normal for the power to go off for such long periods twice in two days.” Ms McIntosh added: “We also had very unhappy boaters and other rooms. One couple said that they have not had a vacation in

is dealing with economic challenges, health issues, climate change or consequences of social change, that true leadership is tested. “We do not want to be found wanting. We want to ensure that there is a generation of leaders who are ag-

for ice and had to purchase ice for drinks. People are really furious about this. I’m not trying to bash anyone, but I just think we need to take this very seriously and get it fixed. We might as well close our doors if we have no electricity, water or Internet. No one can stand this heat without air conditioning, and when the power goes off the water goes off, so people can’t flush the toilets or take a shower.” Stephen Kappeler, the Treasure Cay Resort Marina and Golf Course’s general manager, said Abaco’s power woes had “really put a damper on an extraordi-

narily strong summer and a lot of traffic we worked hard to get here”. “It’s really hard to walk around the resort and not get your head taken off,” he added. “The guests are obviously upset because this is not the standard where they come from. Our own staff that have to serve the guests have no power. “The resort has back up power but the marina doesn’t. Not a lot of guests are leaving, probably considering how much they paid to get here, but they are mad, uncomfortable and this is wrecking their vacation.” Dr Larry Carroll, owner of the Sandpiper Inn, told Tribune Business: “Thank God for a generator. It is difficult to try to run a business with power being so unreliable.” BPL yesterday acknowledged it was having challenges with its generation and distribution network in Abaco, adding that copper theft continues to be a “significant problem” re-

sponsible for a number of prolonged outages. The company, in a statement yesterday, said it was working constantly to resolve issues responsible for the recent periods of supply interruption. “While challenges impacting the generation and distribution network are to blame, theft of copper from BPL’s infrastructure continues to be a significant problem and has been responsible for a number of outages and the duration of each,” BPL said. The utility said it continues to address the challenges, and reiterated its commitment to supplying Abaco and the cays with consistent electricity. “BPL sincerely apologises to its residential and commercial customers who have been impacted by these outages, and assures them that it is working to find immediate solutions to this problem and long-term strategies to prevent a recurrence,” BPL said.

COMMONWEALTH Bank donated another $50,000 to the University of the Bahamas (UB) recently, its seventh instalment on the $500,000 pledge to endow ‘Emerging Leaders’ scholarships. Pictured L to R: Peter Mitchell, acting director, development and alumni relations, UB; Anthea Cox, vice-president of human resources and training, Commonwealth Bank; Dr Rodney Smith, president, UB; Denise Turnquest, senior vice-president of credit risk, Commonwealth Bank; and Joe Stubbs, director of student leadership, UB. endowed scholarship programme,” said Davinia Blair, UB’s vice-president of institutional advancement and alumni affairs. “When the bank partners with us in this way, it reaps tangible benefits for the scholars and the country. We cannot build the Uni-

Abaco outages ‘dampen a very strong summer’ From pg B1

versity of the Bahamas in isolation. We are developing an expanse of skills and talents that will fuel our economy, and supporters of higher learning are vital in that regard.” Mrs Turnquest emphasised: “It is in the challenging times, whether it

ile, and well-educated, who approach decision-making with careful balance and analysis, and can communicate their decisions effectively. That is a tall orde, and we are very pleased to be working with the University of the Bahamas to make it a reality.” Support for the university level program is part of Commonwealth Bank’s commitment to education. For the past decade, it has partnered with the Ministry of Education in numerous initiatives, including backto-school events, parenting workshops and supplying school supplies and backpacks for tens of thousands of students throughout the islands. In 2016, its donations reached the highest amount ever – more than $830,000, with emergency assistance following Hurricane Matthew accounting for nearly $400,000. The bank also supports youth development and makes annual contributions toward its $500,000 pledge to the Cancer Society of the Bahamas Cancer Caring Centre.

eight years, and had heard such good things about Abaco, Green Turtle Cay and Bluff House, and they left early very disappointed, while another boater said that there is no way they were staying and paying to be hot, uncomfortable and with no Internet, no water and no power. “One of our ice machines was affected by a power ‘brown out’ and doesn’t make ice now. We couldn’t keep up with the demand

hurricane prep seminar BAHAMAS First will hold a free public education seminar, Hurricane Prep 101, next Tuesday at 6 pm at the British Colonial Hilton. The event will feature a presentation on hurricane preparedness by the Bahamas Red Cross, followed by a panel discussion. The panel will include representatives from the Bahamas Contractors Association, Technical Adjusters Bahamas, Bahamas First and NUA Insurance Agents & Brokers. Attendees will be given tips on how to maintain their homes and property to best withstand and recover from a storm; how to speed up and simplify the claims process in the event of a loss; and learn about the key benefits and terms of homeowners insurance. Reflecting on lessons learned from Hurricane Matthew, Bahamas First said: “We want to do our part to ensure that our clients are in the best state possible to protect their families and homes, and minimise their risk in the event of a hurricane this year. “This forum is about providing practical advice and solutions, and also creating an opportunity for the public to get answers from subject matter experts on not only insurance topics but also home maintenance, disaster relief and other related issues.” Bahamas First paid out a record 2,800 Matthew-related claims, and said many clients were not completely knowledgeable about key aspects of their coverage and policies. In some cases, this impacted their ability to fully recover their losses. “We see ourselves as partners with our clients and, following last year’s significant event, we want to leverage that experience to ensure that our clients are well-informed, have adequate coverage and are best positioned to recover and move on with their lives in the unfortunate event of a loss,” the insurer added.

THE TRIBUNE

Friday, July 14, 2017, PAGE 3

Govt urged: ‘Restore faith of Bahamians’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A LEADING financial analyst yesterday said the Minnis administration appeared “acutely aware” that it needed to restore Bahamians’ faith and confidence in the Budget and other government institutions. Kenwood Kerr, Providence Advisors’ chief executive, told Tribune Business that the Government’s public statements showed it understood the urgent need to generate greater GDP growth rates and more jobs. Suggesting that execution

on its strategies remains the key challenge, Mr Kerr said: “The Government is aware of what these challenges are, and based on the pronouncements the Prime Minister enunciated in the Budget, there’s a drive to address these things. “I think they’re cognisant of all these issues - to grow the economy, create jobs, pay down the debt, create sustainable energy policies and programmes. These things are recognised. I think they’re acutely aware of what the challenges are. It’s now execution. “They have to create a policy thrust in the Budget,

and restore the faith of the citizenry in what is happening.” Mr Kerr said economic growth and job creation needed to be the Minnis administration’s priorities, but acknowledged that it will “have its hands full this month” with the visits of the International Monetary Fund (IMF) and two credit rating agencies. One of the latter, Moody’s, has placed the Bahamas on ‘review’ for a potential downgrade to ‘junk’ status - the second such downgrade of this nation’s sovereign creditwor-

GALLERIA’S FREEPORT LOCATION RESUMES ‘USUAL BUSINESS’ By NATARIO McKENZIE Tribune Business Reporter nmckenzie@tribunemedia.net GALLERIA Cinemas’ Freeport location will return to “business as usual” today, its attorney confirmed to Tribune Business yesterday, indicating that the issues behind its temporary closure have been resolved. “All of the issues which led to the temporary closure of Galleria Freeport have been resolved. Management is getting everything ready for reopening this Friday. Fifteen employees will be able to return back to work and, as of Friday, it will be business as usual,” Galleria Cinemas’ attorney and former Marco City MP, Greg Moss, said. Mr Moss last week affirmed the company’s intention to remain in Freeport, and indicated to Tribune Business that this week “or shortly thereafter” it had expected to resolve the issues that caused a temporary closure of the East Mall Drive outlet. He added that those issues were of an “economic dimension” and, while not elaborating on the exact

details, acknowledged that due to the sluggish Grand Bahama economy, the cinema operator had to make some reorganisation decisions. Galleria late last month closed its JFK Drive location permanently, with its president, Chris Mortimer, telling this newspaper that the decision was driven by economic and industry conditions and would impact five jobs at most. He added that the company would focus on “retooling” its main Mall at Marathon site. The Galleria president also acknowledged the development of an IMAX cinema off Gladstone Road, but did not indicate it was a factor in the JFK Drive location closure. The JFK Drive cinema opened in 1999 under RND Holdings. Galleria acquired its cinema operations in 2004 after its competitor ran into financial difficulties created by multi-million dollar losses and an excessive debt burden. RND Holdings retained ownership of the cinema’s real estate, but Jerome Fitzgerald, former minister of education, ultimately sold his majority ownership to the A.F. Holdings (Colina) group.

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thiness within eight to nine months. Mr Kerr said: “The new administration must demonstrate quickly that it is serious about its budget proclamations, and not only paying lip service.” He suggested that between now and August it needed to show it will “continue to improve the collection of VAT, Business License fees and real property taxes”, while making hard decisions about the 6,500 persons added to the civil service by the former Christie administration. Based on average annual

salaries of between $14,300 to $20,000 per persons, the Providence Advisors chief estimated these hirings could have added an estimated $130 million to the Government’s annual wage bill. Mr Kerr said the Government had to ensure publicprivate partnerships (PPPs) did not create liabilities for itself, and added that energy reform and refinancing of BEC’s legacy debts would both boost the economy and cut the national debt. He also called on the Central Bank to support efforts to reduce the inter-

est rate spread and expand the capital markets. Besides opening Baha Mar, Mr Kerr added that the Government needed to focus on land registration and reform; creating a Credit Bureau; and divide the Supreme Court into civil and criminal divisions. He suggested that all three initiatives would contribute to the ‘ease of doing business’, as well as the “modernization of bankruptcy laws to allow for court-supervised reorganisations” and the creation of a “modern digital infrastructure”.

PAGE 4, Friday, July 14, 2017

Economy to get ‘worse before it gets better’ From pg B1 following “erratic” sales data for the 2017 first half, Mr Albury said: “Until we see this economy pick up, I anticipate sales being where they are. “A lot of the vehicles being sold are going out to the Government on lease programmes or to rental car companies who have fleet operations. It’s still rough out there. I think we’re in for a rough ride for another

year or more before we see a turnaround out there.” The BMDA chief added: “The economy is not going to turn on like a light switch. It’s going to take time to get this economy going. I think it’s going to get a little worse for the economy before it starts to get better. “The public service is overweight and needs to be cut, and the Government has to create some incentives for the private sector

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THE TRIBUNE to expand business. I’m not going to expand if I don’t see a glimmer of light out there. I’ve been sitting defensively for the last couple of years, trying to reduce expenditure and keep my head above water.” Mr Albury joined widespread private sector calls for a reduction in the Business License fee rate, describing this as “a very regressive tax” due to being calculated on gross turnover. It can often exceed a company’s annual profits, and be the difference between reaching ‘the black’ or making a loss. The BMDA chief said annual Business License fees for his Auto Mall group typically ranged from $300,000 to $500,000, and added: “If I didn’t have to deal with that, I’d be able to look at expanding the business; I’d have something to put into it.” Mr Albury then told Tribune Business that this nation needed to “start thinking out of the box” to

revive the ‘two pillars’ that have historically been most responsible for the Bahamas’ economic advances - tourism and financial services. “Banking is dead. It’s done. They might as well dig a plot at Ebeneezer [Methodist Church] across the road and bury it,” Mr Albury said, in remarks set to spark a lively debate. The BMDA chief made clear he was referring to the Bahamas’ international financial services sector, which has been hard hit by an ever-changing regulatory landscape since 2000 as the major industrialised countries sought to crack down on perceived tax evasion. Former prime minister, Hubert Ingraham, whose government was responsible for implementing the controversial laws that removed the Bahamas from the Financial Action Task Force’s (FATF) ‘blacklist’, last year said that move had merely bought this nation

GN1916

some time. He told local media that the Bahamas had lost its traditional private banking business as a result, and this country had yet to ‘see the worst’ in terms of financial services contraction. However, the industry is far from “dead” based on the latest data from the Central Bank, which shows the Bahamas remains home to 248 banks and trust companies. Yet it is also clear that the sector is now growing, given that the number of jobs it generates fell by 110 or 2.5 per cent in 2016, following a 5.1 per cent fall the prior year. Brent Symonette, who now has ministerial responsibility for financial services, and industrial professionals have all agreed that the Bahamas needs to reposition its international financial centre (IFC) and develop a new business model. In particular, Deloitte & Touche’s UK arm was last year engaged to conduct a study on whether the Bahamas should shift from a ‘no tax’ to a ‘low tax’ structure, and determine if this was a more appropriate model given the international regulatory changes. As for tourism, Mr Albury said the Bahamas needed to focus on the

vacation rental by owner (VRBO) model as a way to attract a new visitor market and spread wealth across the middle class. “The VRBO model is the way to go,” he told Tribune Business, adding that he was “getting ready” to convert his own properties in Hope Town and Abaco, and place them online. “That would give the middle class person out there extra money, and it’s where the market is going,” the BMDA chief said. “Big mega resorts will be a thing of the past somewhat.” Mr Albury said reduced unemployment was key to restoring business and consumer confidence, adding that the auto industry was already “pretty much at rock bottom”. “It’s made a better person out of me,” he said of economic conditions, “managing a business to try and keep it alive. When things are good you put stuff on the backburner, but not any more. “You have to get lean and mean. I have a machete to chop out the expenses as much as I can. That ends up impacting other businesses.”

Govt’s ‘final word awaited’ on $70m Aliv interest sale From pg B1 Co’s full $70 million private placement be taken up by Bahamian institutional investors. It is likely one of the quickest ways for the Government to generate a significant one-off cash flow, and aid its bid to keep the 2017-2018 fiscal deficit below the $323 million outlined in the Budget. “That’s one that will be a positive contributor,” Mr Bowe told Tribune Business yesterday, “and we have to look at other areas to ensure the Government is maximising its return on assets they have. “Identify tax-generating assets to ensure we maximise revenues, and restrict them to previous spending patterns.” The HoldingCo investment was effectively a ‘bridge financing’ arrangement by the Government to ensure that Aliv’s network roll-out was not delayed by the wait for private investors to come in. Its exit was always planned, apart from any minority interest the Government may want to retain

as an income asset. The $70 million potentially generated by sellingoff HoldingCo would also enable the Government to, finally, realise the proceeds from the $62.5 million spectrum license paid by Cable Bahamas. Those funds were immediately injected back into Aliv as HoldingCo’s share of its infrastructure build-out costs. HoldingCo holds the majority 51.75 per cent equity stake in Aliv, with Cable Bahamas owning the remaining 48.25 per cent. The BISX-listed communications provider has Board and management control. HoldingCo was initially conceived as a vehicle that would pool Bahamian capital for investment in a variety of infrastructure-based developments throughout the country, with Aliv designed to be just its first holding. The institutions eyed as its first investors have been targeted because they represent the broadest possible spectrum of Bahamian ownership through their members. They are pension funds, credit unions and mutual funds.

THE TRIBUNE

Friday, July 14, 2017, PAGE 5

previous administration started it, and hopefully one of the new government’s crowning achievements will be to flip the switch on accrual accounting by the time the next election comes up.” Moody’s cited a lack of trust in the credibility of the Government’s fiscal projections and accounting as a key factor in its decision to place the Bahamas on ‘downgrade review’, which could result in this nation losing its’ investment grade’ status and being dropped to ‘junk’. Apart from the Minnis administration’s $722 million borrowing require-

ment, the rating agency was also spooked by the $500 million deficit projected for 2016-2017 - a $150 million increase on the previous government’s estimates just two months earlier. A properly-installed and used accrual-based accounting system would help to restore some of the Government’s lost credibility, while also ending the “recurring debates” over which administration was responsible for incurring certain liabilities whenever power changed hands. “We know accrual accounting will stop this melee as to why expenditure was incurred, and we would have a true position at any point in time of our current assets and liabilities,” Mr Bowe told Tribune Business. “Truly, we have had this finger pointing every five years for the last 25 years. The new government says they met the cupboard bare, says that the previous administration incurred a whole raft of obligations. When we start talking about addressing our fiscal challenges, we have to know what spending drops to the bottom line and has

an overall impact on liabilities.” BICA representatives, including former Ernst & Young managing partner, Philip Stubbs, sit on the International Public Sector Accounting Standards (IPSAS) Task Force created by the former government, together with officials from the Ministry of Finance, Public Treasury and the international agencies. Mr Bowe said it was vital that the Task Force’s work continue, with BICA having formed its own Public Sector Advisory Committee to assist the Government in reforming its accounting and fiscal processes. “It’s of the greatest importance,” Mr Bowe said of the need to end cash-based accounting. “The reason being is several-fold. We currently have only financial information that speaks to revenue and expenditure, but no information on the Government’s assets and liabilities. “That’s the balance sheet of the Government. It’s a significant element of the financial position and performance of the country.” Mr Bowe said the Government’s assets included

its status as the Bahamas’ largest landowner, with vast holdings of Crown and Treasury land. Also excluded from current fiscal calculations are infrastructure assets such as roads and docks. As a result, he argued that it was impossible for the Government and Bahamian taxpayer to determine whether public assets are being used properly and if the former is maximising returns on its annual capital expenditure. “Businesses look to see if their assets are being utilised properly or not,” Mr Bowe explained. “What is as important as understanding the obligations the Government has is whether it is maximising its assets. “Suppose the Government is constructing a building. Why not rent out a part of the building to cover the costs of construction?” He also suggested that user fees be implemented for assets such as docks and bridges. “The asset side of the balance sheet is never spoken about, but it’s an integral part of fiscal management,” the BICA president told Tribune Business.

create, and spread, wealth and ownership of key economic assets among Bahamians. “There is no better way to achieve that than by listing securities and having them traded on the exchange,” he added. “This is a valueadded avenue we believe we can put in place to achieve the necessary goals in this day and age.

“There’s the Government side, the investment side and the investor side. We have a national stock exchange. It’s prepared, tested and has shown it can work. It’s just a small market, and we need to diversify investment opportunities for Bahamians and put a lot out there for people to access.” Mr Davies, meanwhile, said BISX anticipated that

investment funds - as opposed to main Board listings and initial public offerings (IPOs) - would likely be the exchange’s main source of listings for the foreseeable future. “That’s what we forecasted a year ago for the next two-three years. That still seems to be the case,” he revealed. Mr Davies added that

capital-raising trends had evolved from large-value public listings to persons seeking smaller sums, via private equity-type and investment pool fund-raisings, for the short and medium-term. Preference shares and corporate debt, such as bonds, are now the preferred securities rather than equities.

Public finance reform can be Minnis Govt’s ‘crowning achievement’ From pg B1 president warned that it will be impossible to get a grip on the Government’s true financial position, while also setting up the now-regular “melee” when a new administration takes office every five years. The Government currently operates a cashbased accounting system, which only recognises revenues when they come in and expenditures when they become due for payment. It fails to capture spending commitments that the Government may have entered into, but which have yet to fall due, meaning that the current public sector accounting system does not reveal the full extent of its liabilities. This is what an accrual-based system will correct. Emphasising that public sector accounting reform “is not an overnight implementation” project, Mr Bowe said it would likely

take between three-five years to properly install the necessary changes across government. “Bearing in mind that we’re starting from cashbased accounting and budgeting, to move to full accrual, the typical timeline has been anywhere between three to five years,” the BICA president told Tribune Business. “The inventory of assets, the inventory of liabilities, the system and changes in policies and procedures is a gradual shift....... “It is a comprehensive system change, and most private sector organisations will tell you it takes place over two years. “With the Government, that’s magnified because of divergent systems that do not speak to one another. We would expect it to be a two-three year period,” Mr Bowe added. “There has to be consistency, and it has to line up with the political cycle. The

Govt told: Boost debt transparency via BISX From pg B1 confirmed during the recent Budget debate the Government’s intention to sell-off its majority interest in Aliv, the new mobile operator, and a 9 per cent stake in the Bahamas Telecommunications Company (BTC). Backing these plans as “sound policy”, Mr Davies said BISX would provide “a value-added avenue” to assist the Government with raising capital and spreading the wealth among Bahamian investors. BISX is already home to 15 domestic Government debt tranches, which were listed and placed during the Christie administration’s time in office. However, the Bahamas Government Stock (BGS) programme was suspended almost as swiftly as it had begun, with responsibility for managing and issuing government debt returned to the Central Bank. Conceding that the Minnis administration’s intentions are currently unknown, Mr Davies told Tribune Business: “The Government of the Bahamas has been urged by the Chamber of Commerce, and any number of professionals, that it needs to become more transparent in its finances. “The way to achieve that is by listing and trading those securities on the exchange. That’s our position, it needs to happen sooner rather than later. ‘It does nothing to diminish the Government, and heightens their standing locally and internationally. We’re ready, willing and able to do it. We’re trading government securities and corporate debt today. It’s not an issue of capacity. We’re happy to get involved with that.” Successive administrations, though, have been reluctant to hand over is-

suance, pricing and trading of their BGRS issues to BISX’s market-based mechanisms. The then-Ingraham’s failure to follow through on promises to list government debt was one of the factors behind the stock exchange’s early financial struggles. BISX had also ‘ramped up’ its initial business in anticipation of the Bahamas Telecommunications Company’s (BTC) privatisation, which took another 11 long years to complete and remains the only sell-off of a state-owned asset to-date in the Bahamas. Mr Davies said BISX was willing to assist on this aspect of the Minnis administration’s agenda, emphasising that the listing of securities in privatised companies would broaden and deepen the Bahamian capital markets by increasing investment options. “Government, when BISX started, was talking about privatisation and getting out of the business of owning companies,” he told Tribune Business. “It’s a sound policy, and ought to happen in a controlled fashion. “There are positive signs coming out of the Government, indicating its desire to lead. They have mentioned offerings of Aliv and BTC. I’d be interested to hear what they’re planning, and will help to ensure their success.” K P Turnquest, minister of finance, in the recent Budget debate said stateowned enterprises (SOEs) will suck up $429 million in taxpayer subsidies during the 2017-2018 Budget year. Describing this as unacceptable, he said the Government would explore privatisation and running these entities more efficiently as solutions for easing the burden on Bahamians. Mr Davies said the listing of privatised companies on BISX would also help to

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GOWON BOWE

PAGE 6, Friday, July 14, 2017

THE TRIBUNE

NEW SENATE GOP HEALTH CARE BILL TEETERS ON THE BRINK By ERICA WERNER AND ALAN FRAM Associated Press

WASHINGTON (AP) — Republican leaders unveiled a new health care bill Thursday in their increasingly desperate effort to deliver on seven years of promises to repeal and replace “Obamacare.” They immediately lost two key votes, leaving none to spare as the party’s own divisions put its top campaign pledge in serious jeopardy. President Donald Trump declared a day earlier that failure would make him “very angry” and that he would blame Majority Leader Mitch McConnell, R-Ky. But talking with reporters aboard Air Force One en route to France, Trump also acknowledged the challenges lawmakers face. “I’d say the only thing more difficult than peace between Israel and the Palestinians is health care,” Trump said. “But I think we’re going to have something that’s really good and that people are going to like.” The reworked bill McConnell presented to fel-

low Republicans aims to win conservatives’ support by letting insurers sell lowcost, skimpy policies. At the same time, he seeks to placate hesitant moderates by adding billions to combat opioid abuse and help consumers with skyrocketing insurance costs. But it was not clear whether the Republican leader has achieved the delicate balance he needs after an embarrassing setback last month when he abruptly canceled a vote in the face of widespread opposition to a bill he crafted largely in secret. Moderate Sen. Susan Collins of Maine told reporters she had informed McConnell she would be voting against beginning debate on the bill, citing in part cuts in the Medicaid health program for the poor and disabled. Sen. Rand Paul of Kentucky, who has repeatedly complained that McConnell’s efforts don’t amount to a full-blown repeal of Obamacare, also announced he was a “no.” That means McConnell cannot lose any other Republican senators. With Democrats unanimously

opposed in a Senate split 52-48 in favor of the GOP, he needs 50 votes, with Vice President Mike Pence breaking the tie, to get past a procedural hurdle and begin debate on the bill. The showdown vote is set for next week, though McConnell could cancel again if he’s short of support. He and other GOP leaders are urging senators to at least vote in favor of opening debate, which would open the measure up to amendments. And GOP leaders express optimism that they are getting closer to a version that could pass the Senate. “It’s in the best shape it’s been in so far,” said Sen. Roy Blunt of Missouri. “Now that members actually have paper in their hand they can look at what is likely to be very close to the final bill we’ll be voting on and move forward.” McConnell said the 172page legislation is the senators’ opportunity to make good on years of promises. “This is our chance to bring about changes we’ve been talking about since Obamacare was forced on the American people,” he said.

SENATE Majority Leader Mitch McConnell of Ky. leaves the Senate chamber on Capitol Hill yesterday, after announcing the revised version of the Republican health care bill. (AP Photo/J. Scott Applewhite)

PANEL CALLS ON FDA TO REVIEW SAFETY OF OPIOID PAINKILLERS By CARLA K. JOHNSON Associated Press AN expert panel of scientists says the U.S. Food and Drug Administration should review the safety and effectiveness of all opioids, and consider the real-world impacts the powerful painkillers have, not only on patients, but also on families, crime and the demand for heroin. In a sweeping report

NOTICE

TUCAPEL INVEST LTD.

International Business Companies Act No.45 of 2000

NOTICE is hereby given that in accordance with the relevant provisions of the International Business Companies Act, 2000, Tucapel Invest Ltd. has been dissolved and struck off the Register according to the Certificate of Dissolution issued by the Registrar General on the 30th day of June, 2017.

Dijon Global 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 Colmar Global 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 15th day of June, 2017.

Dated the 12th day of July, 2017. Beatus Limited Liquidator

Daniela De Castro Martins Liquidator

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

BISX ALL SHARE INDEX: CLOSE 1,864.34 | CHG -0.02 | %CHG 0.00 | YTD -73.87 | YTD% -3.81 BISX LISTED & TRADED SECURITIES 52WK HI 4.38 17.43 9.09 3.60 4.70 0.13 6.50 8.60 6.10 10.60 14.49 2.72 1.60 6.00 10.00 11.00 10.00 6.90 12.51 11.00

52WK LOW 3.65 17.43 8.19 3.50 1.47 0.12 3.80 8.35 5.83 10.05 10.00 2.18 1.45 5.80 8.75 8.56 7.90 6.35 11.92 10.00

1000.00 1000.00 1000.00 1000.00

900.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 106.00 100.00 106.00 105.00 105.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 105.00 100.00 100.00 10.00 1.01

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 Famguard Fidelity Bank Finco Focol ICD Utilities J. S. Johnson Premier Real Estate 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 100.00 100.00 100.00

52WK LOW 100.00 100.00 100.00

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

SECURITY Fidelity Bank Note 17 (Series A) + Fidelity Bank Note 18 (Series E) + Fidelity Bank Note 22 (Series B) +

SYMBOL FBB17 FBB18 FBB22

Bahamas Note 6.95 (2029) BGS: 2014-12-3Y 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 BG0103 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330 BG0403 BG0405 BG0407

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

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

MUTUAL FUNDS 52WK HI 2.07 3.95 1.96 170.77 146.34 1.49 1.67 1.58 1.10 6.99 8.54 6.15 10.52 11.46 10.46

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.43 1.64 1.54 1.04 6.41 7.62 5.66 8.65 10.54 9.57

LAST CLOSE 4.27 15.85 9.09 3.60 1.47 0.12 4.00 8.60 6.00 10.48 10.01 2.54 1.56 6.00 9.75 8.10 9.75 6.90 12.50 10.00 1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.01 LAST SALE 100.00 100.00 100.00 108.53 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

CLOSE 4.27 15.85 9.09 3.60 1.47 0.12 4.00 8.60 6.00 10.48 10.01 2.52 1.56 6.00 9.75 8.10 9.75 6.90 12.50 10.00

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.02 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.40 100.00 100.00 100.00 10.00 1.01

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 100.00 100.00 100.00

CHANGE 0.00 0.00 0.00

108.53 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

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

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

VOLUME 2,850

VOLUME

NAV 2.07 3.95 1.96 170.77 146.34 1.49 1.64 1.58 1.07 6.92 8.03 6.15 10.52 11.46 10.01

EPS$ 0.444 0.932 -0.510 0.383 -0.340 0.000 -0.760 0.587 0.190 0.540 0.570 0.102 0.455 0.753 0.763 0.330 0.830 0.600 0.697 0.000

DIV$ 0.080 1.000 0.000 0.210 0.000 0.000 0.000 0.300 0.220 0.360 0.570 0.060 0.060 0.290 0.450 0.000 0.340 0.140 0.620 0.000

P/E 9.6 17.0 N/M 9.4 N/M N/M -5.3 14.7 31.6 19.4 17.6 24.7 3.4 8.0 12.8 24.5 11.7 11.5 17.9 0.0

YIELD 1.87% 6.31% 0.00% 5.83% 0.00% 0.00% 0.00% 3.49% 3.67% 3.44% 5.69% 2.38% 3.85% 4.83% 4.62% 0.00% 3.49% 2.03% 4.96% 0.00%

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

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

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

INTEREST 7.00% 6.00% Prime + 1.75%

MATURITY 19-Oct-2017 31-May-2018 19-Oct-2022

6.95% 4.00% 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%

20-Nov-2029 15-Dec-2017 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

YTD% 12 MTH% 1.92% 4.53% 0.82% 2.80% 0.95% 2.49% 3.95% 3.95% 6.77% 6.77% 1.45% 4.17% -1.59% 0.17% 0.49% 2.72% 1.29% 2.00% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69%

NAV Date 30-Jun-2017 30-Jun-2017 30-Jun-2017 30-Jun-2017 30-Jun-2017 30-Apr-2017 30-Apr-2017 30-Apr-2017 30-Apr-2017 31-May-2017 30-May-2017 30-May-2017 30-May-2017 30-May-2017 30-May-2017

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

NOTICE

NOTICE is hereby given that PATRICK FRANCOIS of #41 Lobster Ave. off Blue Hill Rd, 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 14th day of July, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

MARKET REPORT THURSDAY, 13 JULY 2017

Thursday, the National Academies of Sciences, Engineering and Medicine pushed the FDA to bolster a public health approach that already has resulted in one painkiller being pulled from the market. Last week, the maker of opioid painkiller Opana ER withdrew its drug at the FDA’s request following a 2015 outbreak of HIV and hepatitis C in southern Indiana linked to sharing needles to inject the pills. “Our recommendation is for a much more systematic approach, integrating public health decision-making into all aspects of opioid review and approval,” said Dr. Aaron Kesselheim of Harvard Medical School, a member of the report committee. “It would be an ambitious undertaking.” The report details how two intertwining epidem-

ics — prescription painkillers and heroin — led to the worst addiction crisis in U.S. history and provides a plan for turning back the tide of overdose deaths. Prescribed, legal drugs are a gateway to illicit drugs for some, the report says. Other users start with pills diverted to the black market. Crush-resistant pills and other restrictions have unintended consequences, shifting use to heroin and illicit fentanyl. The epidemic’s broad reach into rural and suburban America “has blurred the formerly distinct social boundary between use of prescribed opioids and use of heroin and other illegally manufactured ones,” the report says. The authors say it will be possible to stem the crisis without denying opioids to patients whose doctors prescribe them responsibly. But long-term use of opioids by people with chronic pain should be discouraged because it increases dangers of overdose and addiction.

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

NOTICE is hereby given that DARLINE CHARLES of Podoleo Street, P.O Box N-9897, New Providence, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 7th day of July, 2017 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

THE TRIBUNE

Friday, July 14, 2017, PAGE 7

YELLEN CALLS RISKS OF INFLATION ‘TWO-SIDED’ By MARTIN CRUTSINGER Associated Press

WASHINGTON (AP) — Federal Reserve Chair Janet Yellen on Thursday said she believed the risks concerning inflation are “two-sided,” stressing that price gains could both accelerate or slow down. Testifying for the second day before Congress, Yellen sought to expand on remarks she had made Wednesday before the House Financial Services Committee in an apparent effort to adjust views in financial markets. In her House comments, Yellen discussed the possibility that a recent slowdown in inflation could persist longer than the Fed expects. The comments helped trigger a big market rally, with the Dow Jones industrial average hitting a record high. Investors saw the remarks as a signal that the Fed, which has raised interest rates three times since Decem-

FEDERAL Reserve Chair Janet Yellen testifies on Capitol Hill yesterday, before the Senate Banking Committee. (AP Photo/Pablo Martinez Monsivais) ber, might slow the pace of future interest rate increases. But on Thursday, Yellen said that she believed it would be “premature” to conclude that a

recent slowdown in price gains meant that the Fed would not be able to achieve its goal of 2 percent annual inflation. While prices have backtracked

a bit in recent months, the economy is still operating with tight labor markets, she said. That is likely to generate bigger wage gains in the future, which would push inflation higher. She noted that after discussing the issue the Fed at its last meeting in June had decided to go ahead and raise its key policy rate for a third time, pushing the federal funds rate to a range of 1 percent to 1.25 percent. After keeping its key policy rate at a record low near zero for seven years, the central bank began raising rates gradually with one quarter-point hike in December 2015, another one last December and two more in March and June of this year. Many economists believe the Fed will raise rates one more time this year, in either September or December. Some senators asked Yellen whether she believed the Trump administration’s goal of lifting economic growth to 3 percent

is realistic. President Donald Trump has pledged to boost growth through a combination of tax cuts, regulatory relief and tougher enforcement of trade laws. Yellen said hitting 3 percent growth in the next five years “would be wonderful ... But I think it would be challenging.” On a regulatory matter, Yellen said that the Fed had the power to remove directors of banks, but she did not give a specific commitment to do so when pressed by Sen. Elizabeth Warren. Warren, D-Massachusetts, wants to see those directors of San Francisco-based Wells Fargo replaced if they were responsible for the bank’s creation of fake accounts. Yellen described the actions at Wells Fargo as “unacceptable” but she said the Fed needed to conduct a further investigation before deciding what other penalties to impose.

US stock indexes move higher in afternoon trading; oil rises By ALEX VEIGA Associated Press TECHNOLOGY companies and banks led U.S. stock indexes modestly higher in late-afternoon trading Thursday, extending gains from the day before. Big retail chains and other consumer-focused stocks were among the gainers. Investors were making moves ahead of the next corporate earnings reporting season, which ramps up Friday. KEEPING SCORE: The Standard & Poor’s 500 index gained 4 points, or 0.2 percent, to 2,447 as of 3:15 p.m. Eastern time.

The Dow Jones industrial average rose 20 points, or 0.1 percent, to 21,552. The Nasdaq composite added 10 points, or 0.2 percent, to 6,271. The Russell 2000 index of smaller-company stocks dipped less than 1 point to 1,423. EARNINGS AHEAD: Investors were also looking ahead to Friday, when Citigroup, JPMorgan Chase and other big banks kick off the second-quarter reporting season. The market expects earnings per share growth of about 7 percent from companies in the S&P 500. “Markets are really biding their time until we get

Legal Notice

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

CARVELA RIVER LIMITED In Voluntary liquidation

Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000), CARVELA RIVER LIMITED, has been dissolved and struck off the Register according to the Certificate of Dissolution issued by the Registrar General on the 20th day of June, 2017.

Alison Rochat-Spechter, 15, Les Pralies, 1263 Crassier, Switzerland Liquidator

NOTICE STRATEGIC INVESTMENT CONSULTING (BAHAMAS) LIMITED In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, STRATEGIC INVESTMENT CONSULTING (BAHAMAS) LIMITED is in dissolution as of July 12, 2017

into tomorrow’s more robust earnings releases,” said Eric Wiegand, senior portfolio manager for Private Wealth Management at U.S. Bank. FED TALK: Federal Reserve Chair Janet Yellen testified for a second day before Congress. She spoke about the dual risks of inflation: prices rising too slowly and prices accelerating too quickly. Her comments appeared to be an effort to modify the impact of her comments before a House committee on Wednesday. The House remarks were seen as signaling that the Fed might slow the pace of rate hikes if inflation does

keep falling below the Fed’s 2 percent target. Those remarks assuaged concerns among some traders that the Fed was raising interest rates too quickly in the face of stalling inflation and sluggish U.S. economic growth, setting off a broad market rally. TECH SURGE: Technology companies were up the most. EBay gained 48 cents, or 1.3 percent, to $36.51. NetApp rose $1.21, or 3 percent, to $41.38. RETAIL RALLY: Several retail chains were notching gains. Macy’s rose 88 cents, or 4.2 percent, to $22.12. Gap added $1.24, or 5.7 percent, to $22.81. Tar-

NOTICE Genam Invest & Trade Limited In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, Genam Invest & Trade Limited is in dissolution as of July 4, 2017 International Liquidator Services Inc. situated at 3rd Floor Whitfield Tower, 4792 Coney Drive, Belize City, Belize is the Liquidator. LIQUIDATOR ______________________

NOTICE JANKA INVESTMENT LTD. In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, JANKA INVESTMENT LTD. is in dissolution as of July 12, 2017

get climbed 4.5 percent after it raised its second-quarter forecasts and said sales and customer traffic grew. The stock gained $2.27 to $53.14. FINANCIALS CLIMB: Banks and other financials stocks rose. Morgan Stanley added 50 cents, or 1.1 percent, to $45.46. T. Rowe Price Group added $3.56, or 4.7 percent, to $79.14. BIG GAINER: NRG Energy climbed 5.8 percent a day after the company disclosed plans to raise up to $4 billion through asset sales in order to lower its debt. The stock climbed $1.23 to $22.32. TURBULENT QUAR-

TER: Delta Air Lines was down 1.7 percent after the company reported a smaller profit and less revenue than analysts expected. The stock shed 95 cents to $54.54. BONDS: Bond prices fell. The yield on the 10year Treasury note rose to 2.35 percent from 2.33 percent late Wednesday. ENERGY: Benchmark U.S. crude gained 59 cents, or 1.3 percent, to settle at $46.08 per barrel on the New York Mercantile Exchange. Brent crude, used to price international oils, added 68 cents, or 1.4 percent, to close at $48.42 per barrel in London.

Legal Notice NOTICE IMAGINATIVE CREATIONS LTD. NOTICE IS HEREBY GIVEN as follows: (a) Imaginative Creations 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 on the 12th July, 2017 when its Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said Company is Shareece E. Scott of Deltec Bank & Trust Limited, Deltec House, Lyford Cay, P.O. Box N-3229, Nassau, Bahamas. Shareece E. Scott Liquidator Legal Notice NOTICE IBIS MANAGEMENT CORPORATION NOTICE IS HEREBY GIVEN as follows: (a) Ibis Management Corporation 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 12th July, 2017 when its Articles of Dissolution were submitted to and registered by the Registrar General.

International Liquidator Services Inc. situated at 3rd Floor Whitfield Tower, 4792 Coney Drive, Belize City, Belize is the Liquidator.

LIQUIDATOR ______________________

Shareece E. Scott Liquidator

NOTICE Fortak Corp In Voluntary Liquidation

NOTICE NOMESIDE COURT INC. In Voluntary Liquidation

ASSURA ANNUITY LTD. Company No. 310494 (In Voluntary Liquidation)

Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, Fortak Corp. is in dissolution as of July 12, 2017

Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, NOMESIDE COURT INC. is in dissolution as of July 12, 2017

NOTICE is hereby given pursuant to Section 204 (1)(b) of the BVI Business Companies Act, 2004 that ASSURA ANNUITY LTD. is in voluntary liquidation. The voluntary liquidation commenced on 28th day of June, 2017 and RAHEL RUTH KIEBER at Dorfstrasse 7A, 9495 Triesen, Principality of Liechtenstein has been appointed as Sole Liquidator.

International Liquidator Services Inc. situated at 3rd Floor Whitfield Tower, 4792 Coney Drive, Belize City, Belize is the Liquidator. LIQUIDATOR ______________________

(c) The Liquidator of the said Company is Shareece E. Scott of Deltec Bank & Trust Limited, Deltec House, Lyford Cay, P.O. Box N-3229, Nassau, Bahamas.

Dated this 28th day of June, 2017 Sgd. RAHEL RUTH KIEBER Voluntary Liquidator

PAGE 8, Friday, July 14, 2017

THE TRIBUNE

CALIFORNIA GOVERNOR SCRAMBLES FOR SUPPORT ON CLIMATE DEAL By JONATHAN J. COOPER Associated Press SACRAMENTO, Calif. (AP) — Gov. Jerry Brown warned Thursday of a California ravaged by forest fires, disease and mass migration if lawmakers fail to renew the state’s signature program to fight climate change, which he called “a threat to organized human existence.” California’s longestserving governor, who has spent most of his life in and around public service, told lawmakers “this is the most important vote of your life.” Brown, 79, even warned lawmakers it’s them, not him, who will be around to experience the worst devastation wrought by global warming. “A lot of you people are going to be alive,” he said, turning to a room packed with lobbyists and advocates on both sides of the debate. “And you’re going to be alive in a horrible situation that you’re going to see mass migrations, vector diseases, forest fires, Southern California blowing up. That’s real, guys.” The urgency of Brown’s pitch comes as he scrambles to line up support to renew California’s cap and trade

program in the face of opposition from conservatives who warn about costs and liberals who say it doesn’t do enough to protect the environment and clean dirty air. The legislation cleared a Senate committee on Thursday but faces a bigger hurdle next week, when it’s scheduled for a vote in the full Assembly and Senate. Cap and trade puts a limit on carbon emissions and requires polluters to obtain permits to release greenhouse gases. The governor touts the program around the world as an effective way to affordably address climate change, but its legal authorization expires in 2020. The current proposal would expand the program until 2030. Brown punched back against critics who suggest he’s pressing the issue for personal gain. “I’m not here about some cockamamie legacy that some people talk about,” he said. “This isn’t about me. I’m going to be dead.” But passage of the bill isn’t coming easy. Environmental justice advocates say concessions Brown made to the oil industry and other polluters will harm the environment. The bill prohibits local air quality districts from further restricting car-

CALIFORNIA Gov. Jerry Brown, left, flanked by Senate President Pro Tem Kevin de Leon, D-Los Angeles, urges members of the Senate Environmental Quality Committee to approve a pair of bills to extend state’s cap and trade program, yesterday in Sacramento, Calif. (AP Photo/Rich Pedroncelli) bon emissions of stationary sources like oil refineries. It also allows for some pollution permits to be distributed for free. “It does not get us to the real, rapid emission reductions that our planet and our communities desperately need,” said Amy Vanderwarker, executive director of the California Environmental Justice Alliance.

Brown and legislative leaders looked to address those concerns with companion legislation that aims to monitor and improve air quality around major sources of pollution, but the bill has not swayed environmental justice advocates. Brown has been openly courting Republicans, and the legislation includes tax provisions they favor, in-

cluding tax exemptions for power companies and the repeal of a fire-prevention fee. But early Thursday, Assembly GOP Leader Chad Mayes said none of his caucus members are currently supporting the legislation as the GOP seeks to sweeten the deal. Republicans want to see more tax cuts and regulatory relief, he said.

Eleven of 13 Senate Republicans signed a letter saying they oppose extending cap and trade. Legislative leaders had originally hoped to vote Thursday on the legislation, but have pushed a vote off until Monday. They suggested negotiations on housing legislation may now be part of the mix. The delay “will also allow our discussion on long-term housing affordability solutions in California to catch up to the climate effort,” Senate President Pro Tem Kevin de Leon and Assembly Speaker Anthony Rendon said in a joint statement. In the past, Brown has vetoed bills to fund subsidized housing, saying he prefers to axe regulations that slow and increase the cost of housing production. Brown’s eagerness to pass a cap-and-trade bill could give lawmakers leverage to strike a deal with him on affordable housing funding. Democratic Sen. Scott Wiener, who wrote one of the major housing proposals, said he hopes several bills to address both funding for affordable housing and streamlining of housing construction will advance in the legislature in a package as early as next week.

US, MEXICO EYE CLOSER ENERGY TIES AS NAFTA TALKS LOOM By GUSTAVO MARTINEZ CONTRERAS Associated Press MEXICO CITY (AP) — The United States and Mexico are looking to boost energy ties as the two countries prepare for the renegotiation of the North American Free Trade Agreement, officials said Thursday. U.S. Energy Secretary Rick Perry, who met in Mexico with his counterpart, Pedro Joaquin Coldwell, called the United States’ southern neighbor “a very, very important partner” on energy. Joaquin Coldwell said his country plans two new pipelines to import U.S. natural

gas in addition to the 17 that already exist. Mexico’s energy sector was wholly state-run for decades until a 2013 energy overhaul allowed some private-sector activity, and Perry noted that NAFTA did not cover energy when the trade pact was implemented in 1994. “I’m very supportive of the renegotiation,” Perry said. “To renegotiate this is good for all participants, particularly in the energy sector.” The talks, expected to begin about a month from now, will also include Canada, NAFTA’s third partner. Perry said he expects to start

exchanging letters on NAFTA with his counterparts in the coming weeks and hopes a new trade deal will allow for a North American energy strategy that “will make the entire region a powerful energy source for the world.” Mexico is the United States’ second-largest partner in energy trade, with 58 percent of U.S. gas exports and 40 percent of U.S. oil exports crossing the border. President Enrique Pena Nieto’s office said in a statement that he met privately with Perry and both parties agreed to cooperate on energy security and market integration.

U.S. Energy Secretary Rick Perry, left, and Mexico’s Secretary of Energy Pedro Joaquin Coldwell, talk after making a joint statement in Mexico City yesterday. (AP Photo/Eduardo Verdugo)

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