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‘Total package’: Downtown arrives on new political look

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE DOWNTOWN Nassau Partnership’s (DNP) co-chair yesterday said optimism about the city’s future has hit a 30-year high with “White Knight” politics eliminated and the cruise lines no longer “calling the shots”.

Charles Klonaris told Tribune Business that successive administrations now have “a different look” at Bay Street and the surrounding area where they recognise its “economic value” and no longer treat it as “a separate entity” from the rest of The Bahamas.

Asserting that almost three decades’ worth of work to “lay the foundations” for the city’s revival is now starting to pay off, he added that the improving product coupled with Nassau Cruise Port’s $322.5m transformation and The Bahamas’ US proximity means this country can now offer “the total package”

and better “bargain” with the cruise industry for improved economic terms.

Mr Klonaris told this newspaper it was now vital to lock-in these gains, and develop the basis for further progress, by working out a viable management structure for downtown Nassau to ensure the city functions properly. The Government has said it is drafting the Downtown City Management Bill to do precisely that, but the DNP co-chair said it will be critical that whatever

authority emerges has the necessary legal power to raise revenues necessary to finance its operations.

“The atmosphere has changed dramatically from even 10 years ago, 20 years ago,” Mr Klonaris said of downtown Nassau today.

“The focus is on the city, which I think is very important not just for the merchants downtown but the entire Bahamian economy. It’s like an engine in and of itself.

“Today, one of the big differences is that the

BTC: No Bahamian jobs outsourced to Pakistan

Government is not looking at it totally in a political view. They are now past that stage where they realise and understand the importance of the city, its economic value in creating jobs and that it’s part of the total Bahamas. It’s not a separate entity.

“One time it was looked at as the ‘White Knights’ controlled the city. It’s now a different look and a different feel. The politics that were

SEE PAGE B5

Electric car dealer eyes eventual IPO

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A BAHAMIAN electric car dealer will likely seek to go public within the next five to seven years if planned expansion targets are hit, its new 35 percent minority shareholder revealed yesterday.

Michael Anderson, RF Bank & Trust’s president, told

Tribune Business that Easy Car Sales, the company that represents the first equity investment for its Strat Equity Fund, is aiming to grow its market share to “somewhere between” 15-20 percent of all vehicle sales in The Bahamas within the next several years. Voicing optimism that the private equity-style fund’s first investment will “surpass expectations”, he explained

that Easy Car Sales “ticked a number of boxes” for RF as a growing company with the prospect of generating increased profits in a sector the investment bank has long sought to become involved insustainable development. The RF chief told this newspaper that market trends, such as the reduced cost of electric

‘Serious predicament’ with low lobster price

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net

FAMILY Island fishermen were yesterday said to be facing a “serious predicament” with margins squeezed by low lobster prices and high fuel costs

Darin Bethel, the North Andros Chamber of Commerce president, told Tribune Business thatwith crawfish season now entering just its third day - the starting $7 per pound price for lobster is creating a “major challenge” for fishermen. This price is barely higher than the island’s $6.60 per gallon diesel price, meaning fishermen will spend between

$264 to $330 on fuel per trip alone.

“I did some rounds and spoke with some of the fishermen, and the challenge this year is not the catch. They have been catching relatively normal numbers for this time, for opening of the season, but the major challenge that they’re facing is the price and lack of buyers,” he explained.

“Right now, gas is at about $6.60, near $7, and the buyers are paying $7 a pound. On average, each boat uses about 40 to 50 gallons of fuel. And so that leaves the fishermen in a serious predicament.”

Mr Bethel said fishermen have been left “stunned”

SEE PAGE B5

Health premiums drop $15m on COVID travel cover end

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

BAHAMIAN health insurers suffered a near$15m year-over-year decline in group premiums last year due to the Government ending COVID-19 protection plan for visitors.

The Insurance Commission of The Bahamas (ICB), in its just-released 2022 annual report, disclosed that life and health insurers collectively saw a modest $3.2m increase in their net income last year to $36.7m despite the fall-off in group health premiums.

“Group health premiums decreased by $14.8m

(6.1 percent) to $227.9m. This reduction is largely due to the elimination of the Government’s COVID19 Travel Protection Policy in June 2022. Individual health insurance premiums written increased by $18.5 million (34.6 percent) during the year to $71.7m,” the regulator disclosed.

“Individual life premiums totalled $134.1m, reflecting minimal growth of less than 1 percent, while group life premiums grew by $1.1m (7.1 percent) to $16.2m at the end of the year. Net income for the year amounted to $36.7m (2021: $33.5m), a moderate growth of $3.2m

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE BAHAMAS Telecommunications Company (BTC) yesterday asserted it “has not outsourced any Bahamian jobs” from its customer service contact centre amid staff and union fears these posts are being lost to Pakistan.

The communications provider, which is 49 percent owned by the Bahamian government, responded to Tribune Business inquiries by stating it plans to expand the contact centre locally through the recruitment of “more Bahamian talent” having already increased the unit’s workforce last year.

However, the presidents of both BTC trade unions yesterday told this newspaper they have been informed by their members and other employees that Bahamians are being asked to train the Pakistani workers who will take over their jobs. Describing themselves as “very concerned” by the situation, each

CHARLES KLONARIS

BTC HEADQUARTERS

MICHAEL ANDERSON

‘BAD BOSSES’ NOT SOLE FACTOR DRIVING EMPLOYEE DEPARTURES

We have all heard the phrase “employees leave bad bosses, not companies”. Well, it does hold some truth. In fact, research has shown that 57 percent of employees leave their jobs mainly because of their boss. So much of what we consider common wisdom is actually a case of “enough people have said it enough times, so it must be true”. This is especially the case when something sounds reasonable and makes sense, yet it is worth noting that the biggest proponent of the idea that “people leave bosses rather than companies” may be considered subjective. While it is important for companies to reduce staff turnover rates, and

keep them at a minimum, they must first recognise the main reasons for why workers leave. Considering

how we view the business world, so many things look like management problems. But, as Abraham Maslow said in 1966: “I suppose it is tempting, if the only tool you have is a hammer, to treat everything as if it were a nail.” Therefore, is it even true that good employees leave bad bosses? There is some truth, for research has found that:

1. Employees do leave bad managers, but it is not the number one reason they leave a company.

2. In “good” companies, managers make a difference.

3. In “bad” companies, good or bad managers make little to no difference to an employee’s decision to leave.

While this research is continuing, there are more specific reasons within a workplace that may prompt a resignation letter. What does this mean for companies? Some employees blame managers for lack of career progression when they should be blaming the system. There are a few approaches that a company can take to create an engaging environment, which managers cannot undertake alone.

*If employees are consistently leaving your company, examine whether the workplace is truly creating an environment that promotes meaningful development and growth.

* Pursue effective managers who are able to make a sizable difference

in retention. If such persons are unavailable, then removing the manager will probably not help the high turnover rate.

* Workers who feel disconnected from development opportunities, management or the company’s values are more likely to leave, and there is a good chance many of your workers feel the same way as well. Managers matter, but not nearly as much as leadership and advancement opportunities.

Yes, employees do leave bad bosses, but it is not the only reason why exit a company’s workforce. In “good” companies, managers make a difference. In “bad” companies, good or bad managers make little to no difference to an employee’s decision to leave.

Bahamas needs 4 years for corporate income tax

THE MINISTRY of Finance’s top official says a corporate income tax will take at least four years to implement once The Bahamas decides to move in this direction.

Simon Wilson, the financial secretary, gave his prediction on the execution timeline at a recent conference held by RF Bank & Trust. He based his estimate on the time required

to establish the necessary record-keeping and tax collection systems, drawing parallels to the process of introducing VAT in The Bahamas.

Mr Wilson spoke in response to inquiries about the OECD/G-20

Inclusive Framework’s 15 percent global minimum corporate tax proposal for multinational corporations generating annual turnovers

of 750m euros or greater. This was agreed upon by 137 member countries, including The Bahamas, with the OECD setting a deadline of 2024 for countries to implement these reforms.

Kevin Moree, partner at the McKinney, Bancroft and Hughes law firm, echoed Mr Wilson’s projections. He said the absence of an existing framework for corporate taxes in The Bahamas

necessitates cautious and thorough planning.

Mr Wilson, meanwhile, emphasised the importance of not rushing the implementation, citing the country’s delicate fiscal situation and substantial foreign debt. He warned that hasty execution could lead to capital flight with potentially irreversible consequences for The Bahamas.

The financial secretary also stressed the need for The Bahamas to remain competitive with other jurisdictions that are also considering introducing a corporate income tax. Striking a balance by timing the roll-out of any reforms to coincide with those of The Bahamas’ competitors was deemed crucial.

Concerns were raised during the summit regarding potential repercussions or penalties for missing the OECD’s mandated deadline. Attendees speculated about the potential ‘blacklisting’ of the country. Jim Wilson, RF Bank & Trust’s

vice-president of corporate finance, who moderated the discussion, acknowledged these concerns and urged participants to actively engage in providing feedback to the Government on its corporate income tax proposal.

The panel discussion was preceded by a mid-year

The bottom line is that many workers also leave their jobs to pursue personal growth opportunities, better pay, an improved work environment and life balance. Likewise, if they feel their contributions are overlooked, or they are not receiving adequate recognition, job satisfaction and even self-worth can take a hit. Until we meet again, fill your life with memories rather than regrets. Enjoy life and stay on top of your game.

global economic recap by Steve Edwards of Morgan Stanley, and a local market review by David Slatter, RF’s vice-president and head of investments. Both acknowledged a slowing of US markets and potential recession in the near future.

Cruise port signs deal to help disaster relief

NASSAU Cruise Port has partnered with the Ministry of Disaster Risk Management to work together on providing relief to Bahamians in the aftermath of natural disasters.

The two sides have signed Memorandum of Understanding (MOU) that sets the framework for a seamless and co-ordinated response to natural disasters by facilitating the Ministry of Disaster Risk Management’s access Nassau Cruise Port’s piers and docking facilities when needed.

When hurricanes, storms or other disasters threaten, Prince George Wharf’s facilities will be made available for the swift and effective deployment of humanitarian aid, medical supplies and essential resources to the affected islands of The Bahamas.

“Nassau Cruise Port is deeply committed to being a reliable partner to the Government, and a vital resource for the Bahamian people during times of distress,” said Mike Maura, Nassau Cruise Port’s chief executive. “The country relies on partnerships in times of crisis. Those partnerships, when they are effective, planned properly and work for the interest of the country, serves the people best.

“We recognise the importance of collective efforts in disaster relief and recovery, and this MoU with the

Ministry of Disaster Risk Management is the pledge of Nassau Cruise Port’s commitment to stand ready for the call and to do what is needed to support the people of The Bahamas.”

By partnering with the Ministry of Disaster Risk Management, Nassau Cruise Port said it is aiming to strengthen the overall disaster preparedness and response capabilities of The Bahamas. The port’s strategic location and welldeveloped infrastructure make it a potential hub for emergency operations, enabling the efficient delivery of aid to impacted communities across The Bahamas.

Carl Smith, the Ministry of Disaster Risk Management’s permanent secretary,

added: “This partnership with Nassau Cruise Port is a significant step forward in strengthening our nation’s disaster response capabilities. This is a step forward in planning for disasters before they happen, and this MoU allows the Ministry of Disaster Risk Management to move more efficiently and effectively. We applaud the port’s dedication to the Bahamian people and their willingness to offer their facilities and resources during times of need.” Nassau Cruise Port said its humanitarian efforts extend beyond disaster relief, with ongoing initiatives to support education, the economy and environmental preservation in The Bahamas.

L to R: Jim Wilson, vice-president of corporate finance at RF Bank & Trust; Kevin Moree, partner at McKinney, Bancroft & Hughes; and Simon Wilson, financial secretary.

MIKE MAURA, Nassau Cruise Port’s chief executive, and Carl Smith, permanent secretary in the Ministry of Disaster Risk Management, sign a Memorandum of Understanding (MoU) strengthening their partnership and enabling an efficient and effective response to natural disasters.

Abaco Chamber pressing for abandoned building tear down

By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net

ABACO’S Chamber of Commerce president yesterday warned that the business advocacy group will press the Government to tear down Dorian-devastated properties unless their owners demolish or renovate them first.

Daphne Degregory-Miaoulis told Tribune Business she has been speaking with the

landlords of buildings abandoned in Hurricane Dorian’s aftermath as part of a drive to clean-up Marsh Harbour. “We will be writing a letter to all of the landlords of those dilapidated buildings in Marsh Harbour formally requesting that they respond to our request to have them demolished or renovated,” she added.

“If they don’t respond to us, we will present our case to the Government to take steps to have those buildings torn down.” Businesses have continued to re-open

in Marsh Harbour. Bay Breeze Marina and Storage

Yamaha reopened its new facilities last week, while Maxwell’s Hardware Store has bought an old property and rehabilitated it for its new premises.

“Maxwell’s is right in the city centre. They have completely renovated an old building and it’s nicely done,” Mrs DegregoryMiaoulis added. “We still have people who have abandoned buildings that are a real eyesore, and are a problem, or the people that have rebuilt and the people

who are trying to improve the city, they are still affected by the people who are not doing anything.”

The Abaco Chamber has requested that the Government move to tear down dilapidated and abandoned buildings down, but it “has not made any move in that regard”.

Mrs Degregory-Miaoulis said: “I have asked some of the landlords on a oneon-one basis, but maybe the Chamber should write a formal letter to these landlords and property owners asking them what

their intentions are? I have personally asked, but it has not been official. If they don’t respond, or if they don’t have anything positive to say, then we can tell the Government that we reached out and ask them to use force.”

The Government is currently using a similar strategy for the downtown Nassau revitalisation where it is working with the Downtown Nassau Partnership in demolishing abandoned buildings on Bay Street.

DEBTORS BLAME INFLATION AND TAXES FOR REPAYMENT STRUGGLE

By YOURI KEMP

SOARING living costs

and higher taxes are increasingly being blamed by struggling borrowers for why they cannot meet their obligations, debt collection agencies disclosed yesterday.

Rory Higgs, managing director of Apex Management Services, told Tribune Business that his company is distinguishing between credit delinquents who are unable to fulfill their commitments and those who can pay but simply choose not to.

“One of the problems that we face as a debt collection agency is there are always persons out there who are willing but unable to pay, and we can work with those persons who are unable because of whatever hardships they face,” he said.

“But you still have a pocket of the market, or the

community, that are able to pay but they’re unwilling, and those are the ones we warn that if you don’t come in and co-operate, we will use every possible means to get you to fulfill your obligations.”

“A lot of times credit is granted without proper documentation or due diligence and, in a lot of cases, we have persons who don’t have proper contact information for the persons who owe them. They don’t have proper contractual agreements with the persons who owe them. It’s a rush to grant credit in a lot of cases, or to allow persons to owe, but if the necessary documentation is not in place it makes it difficult for a collection agency to operate or do what they need to do effectively,” Mr Higgs added.

“Most times credit is granted in good times and you don’t make proper provisions for the back end in the event of a delinquency. So without doing proper due diligence or screening

at the front end, you suffer at the back end because you’re not paying too much attention to the downside.

“We have a substantial uptick in recoveries, but we’re still faced with persons who are now complaining about the inflation that is prevalent in the country. Although persons are now back to work they are still faced with having to stretch their dollar so they can meet all of their obligations.”

Higher taxes are another factoring behind persons being unable to pay their debts as disposable income is dwindling. “We find that taxes are also something that eats into disposable income. So, for us to get paid, there are certain obligations that are more of a priority than unsecured debt,” Mr Higgs said.

Samantha Williamson, managing director at Optimum Management Services Limited, said: “Persons are still in delinquency trying to maintain their payments. But you also have variations

of prioritising debt, as some persons take the opportunity of settling. Sometimes clients allow customers to settle at a lower rate rather than taking a payment plan option and paying over a long period of time.”

The “bottom line” for debt recovery agencies is that people decide to neglect their obligations and do things other than repay their creditors. “Bahamians just decide to spend their money where they want to and forget about who they owe. It’s the mentality of the people,” Ms Williamson continued.

“Taxes have been there for years and it’s not like they just popped up all of a sudden. We should be used to the taxes, but the cost of living has gone up and, if that has gone up and people’s salaries have remained the same, then of course there will always be a challenge in paying their bills.

“I don’t think the taxes are affecting their debt ratio in terms of collections. It’s just that sometimes

persons have different circumstances. Some people lose their jobs and, a lot of times, persons just relocate and once the bank is not able to reach them they stop making payments.”

Many people have been “in transition” as a result

of COVID-19, especially in Grand Bahama and Abaco due to the additional impact of Hurricane Dorian. Ms Williamson said banks are being “more reserved” in who they lend to and are trying to “clean up bad debt accounts”.

pledged to “fight this” and “do what we have to do to protect our members and the Bahamian public”.

Sherry Benjamin, the Bahamas Communications and Public Officers Union’s (BCPOU) president, questioned why BTC and its controlling shareholders, Cable & Wireless Communications (CWC) and Liberty Latin America, would decide to outsource contact centre functions and jobs overseas instead of to a Bahamian third-party contractor.

Cheaper labour will likely be the primary reason why a country such as Pakistan is chosen. Meanwhile, Kenny Knowles, the Bahamas Communications and Public Managers Union’s (BCPMU) president, said the outsourcing of local jobs is “something we will not accept because BTC is a Bahamian brand”. He reserved further judgment, though, until the union meets with BTC chief executive, Sameer Bhatti, this Friday to discuss the issue. BTC, in its statement late yesterday, said: “The Bahamas Telecommunications Company (BTC) has not outsourced the job of any Bahamian employed in its contact centre On the contrary, BTC has consistently onboarded new colleagues and last year increased its contact centre complement to meet the growing demands of our customers.

jobs outsourced to Pakistan

“The contact centre remains an integral part of the BTC business, and the company is focused on onboarding even more local talent to provide bestin-class customer care. We also have plans to onboard young, Bahamian talent through our graduate programme. BTC is currently working on several digital projects and initiatives to modernise its customer care platforms to make them more accessible to customers at their convenience.”

However, Ms Benjamin blasted: “They are supposed to be outsourcing a portion of the jobs that are done by our contact centre. They are supposed to be outsourcing that, or have outsourced it, to a vendor that is based in Pakistan. When I learned about it I made contact with the chief executive and asked him to rethink that plan, but it doesn’t seem as if that’s something he wishes to do.

“They appear to be proceeding with their plans to do that, so we have to proceed with our plan to do what we have to do to protect our members and the Bahamian public. Right now, all I can say is that we are on top of the situation and going to handle it as best we can to protect our members and the contact centre at BTC.”

Questioning why BTC was seeking to outsource jobs to a foreign vendor rather than a Bahamian, Ms Benjamin

said she had also been “told by members” that the Pakistanis they are training to take over these roles “are being given Bahamian names” to mask their identities - an allegation that not be confirmed prior to press time.

Providing further details on her talks with Mr Bhatti, the BCPOU chief added: “He said there will be no loss of jobs based on what they’re doing. He said right now it’s just a What’s App function dealing with customer complaints. However, I’m told that the Pakistani team are getting access to our system that has nothing to do with complaints made via What’s App. They’re obviously doing some technical work.”

Ms Benjamin said the union had been told that What’s App will be “the first point of contact” for BTC customer complaints, and that any issues the Pakistani team is unable to resolve will be advanced to contact centre staff in The Bahamas. “The access being given is not required by tier one persons,” she added, referring to those who would be handling What’s App complaints.

“The access being given is more technical, and some of our people locally do not have that access or it will be in ‘read only’. Those people are gaining read and write access.” Ms Benjamin also alleged that BTC was using “junior staff” to train the

Pakistanis even though they were not expected to fulfill this role.

“I’m on compassionate leave and I’m fighting this, so you know I’m very concerned,” she told Tribune Business. “My members are concerned, and if they are concerned then I am concerned. Very concerned. I can tell you that, from top to bottom, concerns are being expressed across the company..”

Ms Benjamin estimated that BTC’s contact centre has around 50-60 employees, but added that many of them are contract workers who have been with the company for three-five years without being made permanent. “They can find ways to hire vendors outside the company instead of using that money to pay local staff members what is due to them and make them permanent, and then they can go to the bank and live their lives with some surety,” she said. “A lot of the staff members are getting sick with hypertension and stress. They’re getting stress from customers because when services are out and they feel they are not being repaired in a timely manner, they take it out on the contact centre staff who are the first point of contact. They’re getting stress from the customer and stress from the job, so there’s no peace.” Mr Knowles, the management union president,

confirmed that his union had also been informed of the Pakistan outsourcing plan. “We’re very concerned about that. Very concerned about that for obvious reasons. That’s Bahamian jobs, employees,” he told Tribune Business. “That’s something we will not accept because BTC is a Bahamian brand.

“The company that purchased it had a purchase agreement to turn it around and make it a profitable area, and to make sure employees benefited and it delivered services to the Bahamian people. We’ve written to the chief

executive for an urgent meeting. I’m waiting to get details from the chief executive. A meeting has been set for Friday, and after that meeting we will be in a better position to get a clear understanding of what their position is and what they’re trying to do.

“Our employees are indicating they’re being made to train Pakistanis to do their jobs, which makes no sense. I want to hear from the chief executive, and once we hear from him we will be in a better position to determine what the union is going to do.”

‘TOTAL PACKAGE’: DOWNTOWN ARRIVES ON NEW POLITICAL LOOK

there 20-30 years ago are not there now. Whatever government is in now is looking out for the future of the city,” the DNP co-chair added.

“The politics that once deterred the progress of the city and how it moved forward is not there. They’re looking at it in its proper perspective. It’s part of the whole country, part of the whole economy of the island. We have up to 30,000 passengers coming off the cruise ships in one day. It can create significant revenues for the country.”

With downtown Nassau having shed the ‘Bay Street Boys’ stigma, Mr Klonaris said upgrading Prince George Wharf and its cruise port facilities had long been viewed as the “number one” priority for rescuing the city because its crumbling infrastructure - coupled with a then-deteriorating visitor product - had given

the cruise lines sufficient ammunition to wring evergreater tax breaks from the Government.

“The port was falling apart completely. The cruise ships were demanding and getting whatever they wanted in terms of tax breaks from the Government,” he recalled of conditions prior to Nassau Cruise Port’s redevelopment. “We have now created a city where the Ministry of Tourism and Ministry of Finance can sit down and bargain with the cruise ships.

“Before that, that was not possible. They called the shots. We now have a product that is close to the US, and a destination close to the US which is perfect for the three and four-night cruises increasingly favoured by the cruise lines. We have the full package they are looking for. We’ve come a long way. It’s taken more time than

we had hoped, but we have finally arrived.”

Mr Klonaris said past conversations, when he and other downtown Nassau stakeholders were asked “what decade are you guys looking to for change to take place”, were now in the past. He added that he had received unconfirmed reports that some property owners are exploring the conversion of their real estate into condominiums, which would align with his personal vision for a living ‘city’ where locals are attracted to reside.

“That is where the actual real progress and real impact will happen in the city,” the DNP co-chair said, “where it becomes a living downtown Nassau. That will have a much greater impact that anything else right now.”

Backing the Government’s clean-up efforts, and drive to demolish abandoned and unsafe buildings where owners failed to remediate

the problems, he added that the US embassy’s construction completion and opening will also provide a further boost.

“There’s a huge, huge improvement from a couple of years ago; even preCOVID,” Mr Klonaris asserted. “I give credit to the Government. They’re focused on the right things for the revitalisation of the city of Nassau. It’s up to the merchants, the property owners whether they want to convert their properties to condos or retail relevant to the tourist trade. They have to focus on what works now.

“What worked in the 1950s, 1960s and 1970s, it’s different now. They have to sharpen their pencil, analyse what’s taking place in the tourist trade and move forward. It’s really on the plate for them, the store owners, the property owners, to look at what works best for their developments to be successful.”

Mr Klonaris said the next step in downtown Nassau’s progress is to agree and implement a proper management structure and authority for the city, with the latter possessing the necessary powers to raise revenue that will cover its operating costs and finance development activity.

“I feel the management of the city will be the next phase in the development of the city,” he told this newspaper. “I think that will be an important part of ensuring the city functions.

I’m sure the Government will be looking at it and determining how the management functions.

“I think that’s going to be part of the negotiations with the Government. What the Government is willing to give up and the type of revenue it will take to run and manage the city itself.” Senator Randy Rolle, the Ministry of Tourism, Investments and Aviation’s global relations

‘Serious predicament’ with low lobster price

FROM PAGE B1

with the sudden drop in price, as the 2022 season opened at $12 per pound and the 2021 at $13. He noted that this year’s opening price is the lowest in more than five years.

“The crawfish price at $7 is the lowest it’s been in over five years. Last season, the price opened at $12 per pound. Year before last it opened at $13-$14 per pound, and last year fishermen were disjointed with the $11-12 [per pound] opening prices; they wanted $15,” the North Andros Chamber president said. “And I have a lot of fishermen stunned as to how it is that the buyers can open the season and set the price so low.”

Mr Bethel explained that the low trading price could be due to buyers trying to

“manipulate” the market or wholesalers still having a large stock of catch from last year. “The buyers could be trying to manipulate the market. However, sometimes these prices are set by the wholesalers. They base their pricing on how the fish sold in the off season and they usually have heavy inventory going into the off season,” he added.

“So if that inventory hasn’t sold out, the price is low. Just like if they are low on inventory at the opening, price is high.”

Mr Bethel said fishermen have decided to stockpile their catch and will attempt to sell it in bulk later in the season. This decision, however, has left a feeling of “depression” among many as they were relying on the income to begin Back to School preparations.

He added: “The fishermen have decided to hold on to their catch, and come together and sell in bulk, hoping to get a better price later on - maybe in the next week or two. And so right now, they aren’t selling, so they’re not making the money.

“You know, Back to School is coming up. A lot of families depend on the opening of the season to be able to get their children ready for school. And so there’s a little bit of a depression on the ground.”

Mr Bethel said fishermen are also faced with high electricity bills due to having to continuously run their freezers during the season. Although North Andros experienced numerous power outages last month, due to a fire at the Bahamas Power & Light (BPL) plant, fishermen have seen their bills

increase by more than 300 percent.

He said: “They are also challenged, right, because they normally have their freezers off in the offseason and they turn on their double freezers or their larger freezers to be able to store more inventory. They are very concerned about these high light bills.

“Our power was out almost 50 percent of last month, but one particular guy told me that his light bill is inflated more than 300 percent. He said he usually have a light bill of about $180 a month on average. His light bill for this month is over $600. It seems like BPL is punishing, rather than rewarding or compensating, the residents for the challenges that they face and the burden and of the power station.”

Mr Bethel said fishermen have reported catching a

“normal” amount of lobster and have not encountered any poachers for the season thus far. He added that due to the high fuel costs many fishermen have not ventured into the areas that poachers frequent.

He said: “Overall, most of the guys are saying that they have been getting some normal numbers in the catch and they don’t

consultant, recently said the Davis administration is working on just this legislation through the Downtown City Management Bill although no details have yet been made public.

The DNP has, over the past decade, presented draft legislation to transform downtown Nassau into a Business Improvement District (BID) but the initiative was not acted upon by successive administrations. “We’ve still got a long way to go,” Mr Klonaris conceded. “It’s a long marathon and will keep evolving. This is not something that’s static. I cannot tell you what will be the most important thing five years from now because the technology is moving so fast. It’s been 30 years in progress, and what we are witnessing right now is a combination of all of our efforts. Many decisions have brought us to this point. This is not just something that took place now.”

have too much experience as yet with poaching.

“However, most of the areas that they may experience poaching are the further areas, and because of the situation right now with the gas price, a lot of guys are not going out so far. They are pulling mostly their traps that are closest to home and they usually go down in those areas later in the season. So, you know, they may find that they have been fished already later on down in the season.”

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Electric car dealer eyes eventual IPO

vehicles and associated import duty concessions granted by the Government within recent years, combined with rising energy and gasoline costs would help drive Bahamian consumers to this segment.

“I think the duty concessions that the Government announced over the last few years have made it much more attractive for people to buy electric vehicles than previously,” Mr Anderson said, with gasoline costs still well above $5 per gallon. He added that it would cost electric vehicle drivers just $1.50 to travel the same distance as an ordinary car using $5.50 of gasoline.

“It’s a lot cheaper for people to drive these fuel efficient cars, and the price points they are bringing them in at, you can now get electric vehicles for $40,000,” the RF president said. “Ongoing maintenance costs and less, and the cost of fuel is less, so as people become more knowledgeable about electric vehicles you will have more people buying them.

“You’re going to see more cars coming to market. It takes a while to build-up what cars come to market with multiple suppliers, but my sense is that Easy Car Sales has a good supply and getting a greater variety of offering including trucks.

“They are starting to get a lot more traction in terms of sales,” Mr Anderson continued. “They are between 5-10 percent of the total market now, and are looking to get to somewhere between 15-20 percent of the market. The market size is somewhere between 1,500 and 2,000 cars sold per year, so if they can get themselves up to 15 percent that will be 300 cars. Somewhere between 300 to 400 cars is where they’re looking to get to in the next couple of years.

“The timing is really good for them to be in the market now with duties down and people looking for longer-term solutions for themselves. Easy Car Sales is well-positioned to take advantage of trends in the market.”

Private equity funds, such as the Strat Equity Fund, work differently from how traditional mutual and investment funds have operated in the domestic Bahamian capital markets. While the latter acquire shares in companies, these tend to be firms that are publicly traded and listed on the Bahamas International Securities Exchange (BISX), with positions often held for the long-term.

In contrast, private equity funds acquire shareholdings in private companies with the goal of turning these firms around, generating

returns for their investors by making them more profitable and efficient before recovering the initial principal outlay by seeking an exit route for their investment. This is often done by taking the firm public via an initial public offering (IPO), and the Strat Equity Fund will typically seek an exit after five to seven years.

Mr Anderson, confirming that the Strat Equity Fund has acquired a 35 percent minority equity interest in Easy Car Sales, while declining to reveal the purchase price paid, disclosed that an IPO is likely to occur eventually with Easy

Car Sales in line with the fund’s ambitions.

“The expectation, the agreement we have with Easy Car Sales is they would probably look at taking the company public within a five to seven-year period, which is consistent with what the intentions of the fund are,” he told Tribune Business.

“When we invest in these businesses, there’s this expectation that everyone has, so I’m really hoping this investment surpasses our expectations. We believe there’s a greater opportunity than we thought when we first had discussions with them; that

there’s an opportunity far greater than what we had initially planned. I think there’s a huge opportunity for the company, and for the company to realise this opportunity and strategise how it goes about it.”

Mr Anderson said auto financing, leasing and second hand car sales were among potential opportunities that Easy Car Sales is either eyeing or can exploit outside its core business, along with maintenance and supplying electric vehicle batteries.

He added that RF is hoping to add “at least two more companies” to the Strat Equity Fund’s portfolio within the next three to six months, and is talking to three potential targets at the moment although he declined to name them.

“We’re looking to maybe get ten investments in the fund at any one time,” Mr Anderson said. “We’re not rushing to get investments. We’ll be very selective with who we take on. We want the fund to be very successful and do well, so we’ll be very selective on who comes into the fund.”

Pia Farmer, partner at Easy Car Sales, told this newspaper earlier this week that the tie-up with the Strat Equity Fund will “accelerate” the company’s growth, enable it to relocate to a new head office and expand its workforce, and also allow it to relaunch

its in-house financing and vehicle leasing operation “in the next few weeks’.

“It’s a great benefit to Easy Car Sales to have RF show such confidence in our plans, in our vision and in our product, and also have so much faith in our team to deliver profits for investors and benefits to people who invest in the Strat Equity Fund,” she told Tribune Business. “For us, it’s significant in terms of an injection not only of capital but knowledge and experience from RF. They have a lot of expertise and tools to help us advance more rapidly......

“It’s going to help us to grow. We have already outgrown our current location. One of the plans is an expansion to a new location, headquarters and showroom. We’ve just added an additional brand in Jac Motors, and we need more space and we need more team members. It’s going to help us expand physically on what we’re able to do.”

Confirming that this involves a move from Easy Car Sales’ current site on Gladstone Road, Ms Farmer declined to identify its new home on the basis that the real estate transaction is “still being closed”, but added that it will be to “a major location” on New Providence.

ESTATE OF DUSTON CECIL BABB

TAKE NOTICE that anyone having a claim against the Estate of DUSTON CECIL BABB late of Golf Course Boulevard, Sea Breeze Estates, New Providence Bahamas, who died on the 25th day of March, 2020, may submit such claim in writing to the law frm of MAILLIS & MAILLIS, Chambers, Fort Nassau House, Marlborough Street, Nassau, Bahamas, tel: (242) 3224292/3, fax: (242) 323-2334 ON OR BEFORE the 31st August, A.D., 2023.

L to R: Ian Johnson, Easy Car Sales general manager; Altermize Missick-Russell, Easy Car Sales financial controller; Pia Farmer, Easy Car Sales managing partner; Jontra Harvey, RF investment banking regional manager; Michael Anderson, RF president; John Farmer, Easy Car Sales executive director; and Jim Wilson, RF investment banking vice-president.

Health premiums drop $15m on COVID travel cover end

FROM PAGE B1

(9.5 percent), as net policyholder benefits declined by $8.8m (2.7 percent), while expenses increased by $5.4m (3.8 percent).

The long-term market experienced a combined loss ratio of approximately 107.49 percent.”

The Bahamian life and health insurance market is dominated by Colina and Family Guardian, both of which are BISX-listed companies, plus BAF Financial. “The underwriting results for the long-term market are buttressed by investment returns,” the Insurance Commission of The Bahamas added.

“The long-term market earned an investment return of 4.1 percent (2021: 4.6 percent) during the year. Total investments increased by $130.7m (10.5 percent)

to stand at $1.38bn. Despite this growth in invested assets, investment income - which amounted to $54m (2021: $58.9m) for the year - declined by $4.9m (8.4 percent) due to unrealised losses in foreign denominated securities.

“Government securities, which comprise 53.7 percent of invested assets, grew by $113.7m (18 percent) to stand at $742.3m. Cash and deposits increased by $62.3m to $177.3m, and mortgage loans declined $4.3m (4 percent) to $116.8m. Total assets for the market grew by $54.6m (3.6 percent) to $1.6bn (2021: $1.5bn),” the regulator added.

“Total insurance liabilities increased by $36.4m (3.8 percent) to $1bn. Technical reserves increased by $25.6m (3.5 percent) to $750.1m, and other

The Mega Millions jackpot has soared to $1.25 billion.

NEW YORK

Associated Press

THERE'S no shaking it. Your chances of winning the lottery are extremely slim.

After no big winner Tuesday night, the Mega Millions jackpot climbed to an estimated $1.25 billion. If someone wins it all on Friday, when the next Mega Millions drawing takes place, the prize would one of the largest in U.S. lottery history.

But don't plan on entering a new tax bracket anytime soon. The odds of winning a Mega Millions jackpot — no matter the size — stand at about 1 in 302.6 million. And chances of taking home a top prize for Powerball, which had an estimated jackpot of

$95 million Wednesday, are near 1 in 292.2 million.

Because of the almost impossible chance of winning big, experts stress that you shouldn't spend all your money on lottery tickets. If you choose to play, it's important to be mindful of what you can afford — and maybe consider other places to put your money, even if it's just a few dollars at a time.

Lottery tickets are "definitely not good investments," Matthew Kovach, an assistant professor in Virginia Tech's economics department told The Associated Press last month. "They're not even investments ... there's an expectation you will always lose money."

There's a long list of rare events that are more likely

insurance liabilities grew by $10.8m (4.5 percent) to $252.2m. Other liabilities, which account for 9 percent of total liabilities declined by $10.6m (9.7 percent) during the year, resulting in a net increase in total liabilities of $25.7m (2.4 percent) to $1.1bn (2021: $1.08bn).”

Meanwhile, describing the Bahamian external insurance market as “static”, the Insurance Commission of The Bahamas said: “Although there was an increase in the number of captive cells during 2021, the net premium remained relatively stable, totaling $69.5m, a 1.1 percent increase over the prior year. Premiums related to the increase in the number of captive cells were offset by the cancellation of one captive insurance company.

“Gross premiums in the captive insurance market for 2021 rose by $1.9m (2.5 percent) to $78.6m. The majority of registered captives are cell captives which utilise reinsurance pooling arrangements for risk distribution. Reinsurance premiums assumed and ceded, of $37.2m and $46.3m, respectively, changed by less than one percent from the prior year.

“Net income in the captive market increased by $6.6m (10.4 percent) to $70.1m, as claims and expenses declined by 23.4 percent and 4.1 percent, respectively, while investment income improved by 30 percent to $21.2m, including unrealised gains,” the regulator added.

“Invested assets in the captive market expanded by $24.3m (6.3 percent)

to $408.9m, and total assets increased by $19.1m (3.3 percent) to end the year at $592m. The primary asset categories for this market were receivables (23 percent), cash and deposits (21 percent) and listed equity securities (18 percent). “The non-captive market, which consists predominantly of insurers providing variable life insurance, generated net income of $3.5m, an increase of 2.1 percent over the prior year. Assets in this market increased slightly by 1.7 percent, totalling $1.4bn, with approximately 90 percent of the assets being maintained in the separate accounts of variable life insurance policies.”

Turning to agent and broker intermediaries, the Insurance Commission said it received 26 complaints

during 2022 from consumers relating to policy lapses, denials of policy reinstatement, and allegations of “misrepresentation and non-disclosure”. Sanctions were issued in just one matter.

“Of these complaints, 10 were resolved and 16 remained under review at the end of the year,” the regulator added. “During the year, 11 adverse reports against salespersons were received. These included allegations of misappropriation of client funds, failure to submit premiums on behalf of clients and falsification of client documents and signatures.

“Six matters remain under active investigation, one matter has been successfully resolved with a sanction issued, and four require further information to proceed.”

THE AWNINGS of a store advertise the sale of lottery tickets, including Mega Millions, Jan. 11, 2023, in New York. Your chances of winning the lottery are extremely slim. After no big winner Tuesday night, the Mega Millions jackpot climbed to an estimated $1.25 billion. If someone wins it all on Friday, when the next Mega Millions drawing takes place, the prize would one of the largest in U.S. lottery history.

on the trip to buy your ticket than you are to win," he said.

Of course, both Mega Millions and Powerball offer a handful of tiers below the top jackpots — with the lowest prizes starting at $2 and $4, respectfully. For both games, the odds of winning any prize stand at about 1 in 24.

than winning the Mega Millions or Powerball jackpot.

A common comparison is the odds of getting struck by lightning once in your lifetime, which stand at about one in 15,300. Even if you bought a lottery ticket for every drawing over 80 years — two times a week for Mega Millions and three times a week for Powerball — you would still be far less likely to win than to be struck by lightning one

ESTATE OF ERNIE WILLIS PINDER

TAKE NOTICE that anyone having a claim against the Estate of ERNIE WILLIS PINDER late of 19th Street, Spanish Wells, St. George’s Cay, Bahamas, who died on the 2nd day of November, 2022, may submit such claim in writing to the law frm of MAILLIS & MAILLIS, Chambers, Fort Nassau House, Marlborough Street, Nassau, Bahamas, tel: (242) 322-4292/3, fax: (242) 323-2334 ON OR BEFORE the 31st August, A.D., 2023.

time in your life, Syracuse University mathematics professor Steven Diaz said. "A slightly darker example," Kovach added, is comparing the odds of winning the lottery to getting into a fatal car accident on the way to a store. "Imagine you have to drive half a mile to buy your lottery ticket, so you have a 1 mile round-trip. It's about 4 times as likely that you die in a car accident

Winning the lottery has become harder in recent years, causing jackpots to grow bigger and bigger — and that's by design.

Such big jackpots comes down to math and more difficult odds. In 2015, the Powerball lottery lengthened the odds of winning from 1 in 175.2 million to 1 in 292.2 million. Mega Millions followed two years later, lengthening the odds of winning the top prize from 1

in 258.9 million to 1 in 302.6 million. The largest lottery jackpots in the U.S. have come since those changes were made. When someone wins a lottery jackpot in games like Powerball or Mega Millions they have two options: an annuity that is distributed over 29 years or a (significantly smaller) cash payout. The estimated $1.25 billion jackpot seen for Mega Millions' Friday drawing, for example, is the annuity option — and the cash value for this prize is nearly half that, standing at $625.3 million. Most jackpot winners opt for the cash. Federal and state taxes will also lower the money you take home, with deductions depending on where you live.

Photo:Seth Wenig/AP

The US government's debt has been downgraded. Here's what to know

By CHRISTOPHER RUGABER AP Economics Writer

LATE Tuesday, Fitch

Ratings became the second of the three major creditrating firms to remove its coveted triple-A assessment of the United States government's credit worthiness, a move that spurred debate in Washington about spending and tax policies.

Fitch cited the federal government's rising debt burden and the political difficulties that the U.S. government has had in addressing spending and tax policies as the principal reasons for reducing its rating from AAA to AA+.

Fitch said its decision "reflects the expected fiscal deterioration over the next three years, a high and growing general government debt burden, and the erosion of governance" compared with other countries with similar debt ratings.

The downgrade may have little impact on financial markets long-term or on the interest rates the U.S. government will pay. Here's what you need to know:

Fitch's move comes just weeks after the White House and Congress resolved a standoff on whether to raise the government's borrowing limit. An agreement reached in late May suspended the debt limit for two years and cut about $1.5 trillion in spending over the next decade. The agreement came after negotiations approached a cutoff date after which Treasury Secretary Janet Yellen had warned the government would default on its debt.

The Biden administration reacted angrily to the move.

Yellen said Wednesday that Fitch's "flawed assessment is based on outdated data and fails to reflect improvements across a range of

indicators, including those related to governance, that we've seen over the past two and a half years."

"Despite the gridlock, we have seen both parties come together to pass legislation to resolve the debt limit," Yellen said.

But Douglas Holtz-Eakin, president of the American Action Forum and former director of the Congressional Budget Office, said that Fitch's decision was the right one, given that there are few efforts in Washington to address the government's longstanding budget deficit. "This is about a fundamental mismatch over the long term between our spending growth and our revenue capabilities," he said.

Standard & Poor's removed its coveted tripleA rating of U.S. debt in 2011, after a similar standoff over the borrowing limit.

Fitch said that the ratio of U.S. government debt relative to the size of its economy will likely rise from nearly 113% this year to more than 118% in 2025, which it said is more than two-and-a-half times higher than is typically the case for governments with triple-A and even double-A ratings. Ratings agencies like Fitch and its counterparts, Standard & Poor's and Moody's Investors Service, rate all kinds of corporate and government debt, ranging from local government bonds to debt issued by huge banks.

In general, when an issuer of debt has its credit rating downgraded, that often means it has to pay a higher interest rate to compensate for the potentially higher risk of default it poses.

Many pension funds and other investment vehicles are required to only hold investments with high credit ratings. If a city or state, for example, sees its credit rating fall too low, those investment funds would have to sell any holdings of those bonds. That would force the government issuing those bonds to pay a higher interest rate on its future bonds to attract other investors.

ENVIRONMENTALISTS SUE TO STOP UTAH POTASH MINE THAT PRODUCES SOUGHT-AFTER CROP FERTILIZER

By SAM METZ Associated Press

ENVIRONMENTAL-

ISTS

filed a lawsuit on Monday to prevent the construction of a new potash mine that they say would devastate a lake ecosystem in the drought-stricken western Utah desert.

The complaint against the Bureau of Land Management is the latest development in the battle over potash in Utah, which holds some of the United States' largest deposits of the mineral used by farmers to fertilize crops worldwide. Potash, or potassium sulfate, is currently mined in regions including Carlsbad, New Mexico and at Utah's Bonneville Salt Flats, where the Bureau of Land Management also oversees a private company's potash mining operations.

The Southern Utah Wilderness Alliance argues in Monday's complaint that, in approving a potash mining operation at Sevier Lake — a shallow saltwater lake about halfway between Salt Lake City and Las Vegas — the Bureau of Land Management failed to consider alternatives that would cause fewer environmental impacts. They say the project could imperil the regional groundwater aquifer already plagued by competing demands from surrounding cities, farms and a nearby wildlife refuge.

"Industrial development of this magnitude will eliminate the wild and remote nature of Sevier Lake and the surrounding lands, significantly impair important habitat for migratory birds, and drastically affect important resource values

NOTICE

NOTICE is hereby given that WADSON SAINT-FORT of P.O. Box N-3961, Mount Tabor Estates, 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 3rd day of August, 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

INTERNATIONAL BUSINESS COMPANIES ACT, 2011

LEGAL NOTICE

CAMOGLI MANAGEMENT LIMITED (In Voluntary Liquidation)

TAKE NOTICE is hereby given that by a resolution passed on the 01st day of Aug, 2023 the above-named Company was put into voluntary liquidation.

AND FURTHER TAKE NOTICE that Raynard Rigby of BCS Corporate Group Ltd., Cumberland House, 15 Cumberland Street, P.O. Box SS-6836, Nassau, Bahamas was appointed voluntary liquidator of the Company. AND TAKE NOTICE that any creditors having debts or claims against the Company are required to send particulars to the Liquidator of the said Company and in default thereof they will be excluded from the beneft of any distribution made by the Liquidator.

Dated this 3rd day of August, 2023.

Raynard Rigby Liquidator

including air quality, water quality and quantity and visual resources," the group's attorneys write in the complaint. The Bureau of Land Management's Utah office did not immediately respond to a request for comment.

The complaint comes months after Peak Minerals, the company developing the Sevier Lake mine, announced it had secured a $30 million loan from an unnamed investor. In a press release, leaders of the company and the private equity firm that owns it touted the project's ability "to support longterm domestic fertilizer availability and food security in North America in a product." Demand for domestic sources of potash has spiked since the start of the

war in Ukraine as sanctions and supply chain issues disrupted exports from Russia and Belarus — two of the world's primary potash producers. As a fertilizer, potash lacks of some of climate change concerns of nitrogen- and phosphorous-based fertilizers, which require greenhouse gases to produce or can leach into water sources. As global supply has contracted and prices have surged, potash project backers from Brazil to Canada renewed pushes to expand or develop new mines.

That was also the case in Utah. Before the March announcement of $30 million in new funds, the Sevier Playa Potash project had been on hold due to a lack of investors. In 2020, after the Bureau of Land Management approved the project, the mining

company developing it pulled out after failing to raise necessary capital.

Peak Minerals did not immediately respond to request for comment on the lawsuit.

In a wet year, Sevier Lake spans 195 square miles (506 square kilometers) in an undeveloped part of rural Utah and is part of the same prehistoric lakebed as the Great Salt Lake. The lake remains dry the majority of the time but fills several feet in wet years and serves as a stop-over for migratory birds.

The project is among many fronts in which federal agencies are fighting environmentalists over public lands and how to balance conservation concerns with efforts to boost domestic production of sought-after minerals for goods ranging from agriculture to

batteries to semiconductors.

The Southern Utah Wilderness Alliance opposed the project throughout the environmental review process, during which it argued the Bureau of Land Management did not consider splitting the lake by approving mining operations on its southern half and protecting a wetland on its northern end.

DoorDash hits record for orders, revenue in second quarter

By DEE-ANN DURBIN AP Business Writer

DOORDASH set records for total orders and revenue in the second quarter as its grocery and convenience deliveries accelerated and it improved driver efficiency.

The San Francisco-based delivery company said Wednesday that its total orders rose 25% to 532 million for the April-June period. That was ahead of Wall Street's forecast of 521 million, according to analysts polled by FactSet. Revenue rose 33% to $2.1 billion, which was in line with analysts' forecasts.

DoorDash raised its fullyear forecast Wednesday. The company said it now expects gross order values between $64.2 billion and $65.2 billion for the year, up from the $63 billion to $64.5 billion previously forecast. DoorDash expects adjusted

pretax earnings between $750 million and $1.05 billion, up from a range of $600 million to $900 million.

DoorDash's shares rose 5% in after-hours trading.

DoorDash Chief Financial Officer Ravi Inukonda said the company is continuing to see growth in users and those customers are ordering more frequently. The 10-year-old company still delivers primarily from restaurants, but added grocery delivery in 2020 and convenience store delivery in 2021. Deliveries from sporting goods stores, pet stores and florists are also driving growth. The company delivered more than 200,000 flower orders during Mother's Day week.

"We have become more of a utility and habit," Inukonda said. "This is a small treat that still delights people. That's what's driving growth in the business."

DashPass subscribers __ who get most deliveries free for a $9.99 monthly fee __ rose to a new high during the quarter, Inukonda said. The company won't reveal how many DashPass subscribers it currently has, but said it had 15 million at the end of last year.

Inukonda said innovation __ including making it easier for customers to search for products on the DoorDash app __ is another reason the company continues to gain market share in all the markets in which it operates. And the company said improved logistics are helping driver efficiency.

The company spent less than it expected on acquiring and retaining delivery drivers. Inukonda said college students are helping boost the company's driver ranks in the summer. And a newly launched system that lets drivers choose whether

to make an hourly rate or be paid by delivery could also help retain drivers.

Still, DoorDash __ which has never earned an annual profit __ continues to invest heavily in other areas. Research and development costs were up 30% for the quarter, while marketing costs rose 12%.

DoorDash offered summer deals to its DashPass customers and worked to gain share overseas.

DoorDash narrowed its net loss to $172 million in the second quarter, from a loss of $263 million in the

same period a year ago. The company lost 44 cents per share, which was higher than the 41 cent per-share loss Wall Street forecast, according to FactSet.

Inukonda said that higherthan-expected loss was due to the cost of absorbing employees from Wolt Enterprises, the Finnish delivery service DoorDash acquired in the second quarter of 2022. The results reported Wednesday didn't include Wolt's contribution.

In a letter to investors

Wednesday, DoorDash CoFounder and CEO Tony

Xu said the company may continue to post losses as it invests in new delivery partnerships, international markets and advertising. But he said he remains confident in the company's long-term plans.

"I think the world only tends to want to go faster. Customer expectations tend to only go in one direction when it comes to something like delivery, whether that's with food or other types of items," he said. "There's a lot of work and the roadmap ahead is quite lengthy."

THE DOORDASH app is shown on a smartphone on Feb. 27, 2020, in New York. DoorDash reports their earnings on Wednesday, Aug. 2, 2023.

Photo:AP

Info@tacticalinvestigators.com | (242) 394-3082

NOTICE is hereby given that DAYANA PHAREL of East Street, New Providence, The Bahamas 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 27th day of July 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that PAUL JUSTIN of P.O Box EE-15849 Sunrise Road, New Providence, The Bahamas 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 27th day of July 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE is hereby given that NIXON JONASSAINT of First Street, Coconut Grove, 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 3rd day of August, 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that DIOMENE TIMOTHEE OXILIEN of Podoleo Street, Cordeaux Avenue, 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 3rd day of August, 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that EMMANUELLA JEAN BAPTISTE of #160 Kemp Road, Nassau, The Bahamas 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 3rd day of August 2023 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

Wall Street tumbles to its worst loss in months

By STAN CHOE AP Business Writer

WALL Street tumbled to its worst drop in months on Wednesday as its torrid rally that critics called overdone lost more momentum.

The S&P 500 sank 1.4% for its sharpest tumble since April. It was the second straight loss for the index after it hit a 16-month high last week.

The Dow Jones Industrial Average dropped 348 points, or 1%, while the Nasdaq composite fell 2.2%.

Prices were mixed in the bond market after Fitch Ratings cut the credit rating of the U.S. government.

The repeated standoffs in Congress about whether to allow a default on the U.S. debt were just some of the reasons for Fitch's cut. The downgrade strikes at the core of the global financial system because U.S. Treasurys are considered some of the safest possible investments.

Fitch's move follows a similar one by Standard & Poor's in 2011, one that coincided with a European debt crisis to help cause stocks and bonds around the world to swing violently. So far, this most recent downgrade has caused less drama across markets.

While the downgrade highlights how much debt the U.S. government has and the big challenges it faces in how to pay for Social Security, Medicare and other expenses, none of that is news for investors.

"Fitch's downgrade is much ado about nothing," said Brian Jacobsen, chief economist at Annex Wealth Management.

"Yes, it's good to call out the fiscal situation, but when a country only issues debt in its own currency, the credit rating is irrelevant. Every investment fund I've looked at specifies that US Treasury securities are allowed investments, regardless of what a credit rating agency might think."

The big issues for Wall Street remain whether the economy can avoid a longpredicted recession, as hoped, and what's happening with corporate profits. And reports on both those questions came in mixed on Wednesday.

That offered fodder for critics who say investors were too quick to buy the belief that a soft landing is surely ahead for the economy. They've been saying Wall Street rallied too much, too quickly this year. Analysts said some of Wednesday's selling could be investors locking in profits made during the S&P 500's 19.5% run for the year through July.

One report suggested hiring in the private sector remains much stronger than economists expected, even if it slowed slowed from the prior month.

A job market that remains solid could keep a lid on worries about a possible recession. But investors also fear a too-strong reading, which could persuade the Federal Reserve too much upward pressure still exists on inflation.

The Fed has already yanked its federal funds rate higher at tremendous speed in hopes of undercutting inflation. High rates do that by slowing the economy bluntly, but that risks causing a recession and hurts prices of investments along the way.

Inflation has been cooling since last summer's peak, and the rising hope on Wall Street had been that the Fed won't hike rates anymore and could even begin cutting them next year.

Wednesday's strongerthan-expected jobs report from ADP could be a signal of what Friday's more comprehensive report from the

U.S. government will say.

Fed Chair Jerome Powell has highlighted Friday's numbers as a big influence on the central bank's next move in September.

Higher rates tend to hurt technology and other highgrowth stocks in particular, and Big Tech stocks helped drag the market lower. Microsoft, Nvidia and Amazon all fell more than 2.5% and were some of the heaviest weights on the S&P 500.

Generac Holdings, which sells generators and other power products, tumbled 24.4% for the biggest drop in the S&P 500 after it reported weaker profit for the spring than analysts expected.

SolarEdge Technologies dropped 18.4% after reporting weaker profit and revenue growth than forecast. It said higher interest rates are pressuring U.S. residential customers.

Most companies this reporting season, though, have been topping profit expectations. That's usually the case, and expectations were quite low coming into this reporting season. Analysts were forecasting a third straight quarter of weaker earnings per share for S&P 500 companies.

On the winning side of Wall Street was CVS Health, which rose 3.3%. after it reported a milder drop in results than expected. Humana climbed 5.6% after it topped expectations for the latest quarter.

They were among the relatively few stocks to rise. Only about a quarter of the stocks in the S&P 500 climbed.

All told, the S&P 500 fell 63.34 to 4,513.39. The Dow dropped 348.16 to 35,282.52, and the Nasdaq sank 310.47 to 13,973.45.

Photo:J. David Ake/AP