08072020 BUSINESS

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FRIDAY, AUGUST 7, 2020

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‘Budget for survival’ on new cruise delay

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

B

AY Street merchants and other cruise ship-dependent sectors were yesterday urged to “budget for survival” until at least 2020 year-end after the industry further delayed its return to November.

Charles Klonaris, the Downtown Nassau Partnership’s (DNP) co-chair, told Tribune Business that the longer the cruise industry delays the resumption of sailing the more likely “the natural phenomena” of increased business failures

• Industry’s return now pushed to November • Fears of ‘more bankruptcies and jobless’ • Port chief: Downtown ‘almost abandoned’

A DESERTED Frederick Street off Bay Street.

Photo: Terrel W Carey Sr/Tribune Staff

and rising unemployment becomes.

He spoke out after Cruise Lines International Association (CLIA), which represents the major cruise lines such as Carnival and Royal Caribbean, confirmed that its members had decided to extend their voluntary suspension of sailing from US ports until at least October 31.

That represents a further month’s delay to the Centres

SEE PAGE 5

Insurer expands to US Virgin islands

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A BAHAMIAN insurer has expanded into the US Virgin Islands (USVI) to further its goal of reducing reliance on this nation to just 60 percent of its total business portfolio.

Anton Saunders, RoyalStar Assurance’s managing director, told Tribune Business that the property and casualty underwriter began insuring business in the US Virgin Islands last month as it bids to “make sure all eggs are not in the same basket in The Bahamas”.

He disclosed that RoyalStar is aiming to deepen its Caribbean territorial diversification such that The Bahamas drops from its present 75 percent share of the insurer’s total business

• Part of RoyalStar’s bid to cut Bahamas’ reliance to 60% • Joins Bahamas First in having AM Best affirm ratings • Local underwriters expecting minimal Isaias claims portfolio to some 60 percent, thereby ensuring that no-Dorian strength storm can wipe-out its entire book.

“The one thing we did two years ago was that we looked at diversifying into different territories, and secured some of our distribution channels,” Mr Saunders told this newspaper. “We are a Bahamian company that does business in six other territories, and have just concluded a licence agreement in the US Virgin Islands.”

Besides The Bahamas and US Virgin Islands, RoyalStar Assurance also writes business in the Turks

Retailer says curb side ‘very hard to execute’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A MAJOR Bahamian hardware retailer yesterday said its online sales were equal to just 20 percent of those generated in-store, describing curb side sales as “very difficult to execute”.

Brent Burrows, CBS Bahamas (Commonwealth Building Supplies) general manager, told Tribune Business that it was pushing customers to online purchasing via its website as curb side pick-up was “not as easy” as many customers believe.

“The online sales are going quite well. Of course it’s not as good as when the store is open. It’s up and down,” he said of the company’s website sales, “but online is maybe around 20 percent of what we do normally. It’s nowhere near when the store is open. It’s growing, and at least it’s something coming in and helps to cover the bills. ‘‘The curb side thing is very difficult to execute. It’s not as easy as one may think.

As a customer comes in and wants 50 screws, it’s not easy to execute. That’s why we’ve been trying to encourage

SEE PAGE 4

More firms facing ‘death sentence’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

GRAND Bahama’s Chamber of Commerce president last warned that more and more businesses are being “handed a death sentence” as the island’s COVID-19 lockdown was extended to August 19.

Greg Laroda told Tribune Business that The Bahamas needed to “find a way to add more companies” to the list of essential businesses and industries permitted to open under the necessary health

protocols so that something of an economy is preserved.

Grand Bahama, which was already under a twoweek lockdown until today to counter the latest COVID-19 surge, saw this extended by a further 12 days to August 19 to bring it into line with that subsequently imposed on the rest of The Bahamas.

“I guess it’s almost beyond speculation in terms of how it’s going to impact businesses,” Mr Laroda told this newspaper. “We just have

SEE PAGE 4

& Caicos Islands; British Virgin Islands; the Cayman Islands and Anguilla. “We wanted to diversify away from The Bahamas; there’s only so much business you want to write in any territory,” Mr Saunders added.

“We look for countries that are stable and give us hard currency, making sure all eggs are not in one basket in The Bahamas. I am sure if any other opportunities arise we will look at them.”

Mr Saunders said RoyalStar started writing business in the US Virgin Islands via a broker last month, and disclosed: “It took us a

year-and-a-half to clear all the hurdles in the US Virgin Islands. That’s a different jurisdiction for us; we’re used to British common law, and that’s US. “We have a learning curve there but we believe the opportunity will be a good one for RoyalStar Assurance.... We have to learn the territory first. We creep before we walk, then run.

We have to learn the territory and the people first.”

The US Virgin Islands move is part of a broader expansion/diversification strategy by RoyalStar that

SEE PAGE 4

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Supply disruption may cause ‘10% hit’ for contractors

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

BAHAMIAN contractors may suffer up to “a ten percent bottom line hit” due to supply chain disruption during the COVID-19 lockdown, an ex-Bahamian Contractors Association (BCA) chief said yesterday.

Leonard Sands, pictured, told Tribune Business that contractors will have to “absorb” any loss of productivity caused by late building material deliveries to job sites as a result of the restricted opening hours and sales mechanisms imposed on hardware stores.

While the government has allowed the construction industry to operate from 7am to 5pm on weekdays, and for a half-day on Saturdays, hardware stores have only been allowed to offer their services on Monday, Wednesday and Friday via the Internet, curb side pickup and delivery.

This, Mr Sands conceded, had resulted in supply chain delays, but he added that he did “not want to make too much of the issue” given that contractors were just grateful that the government had continued to allow the sector to function during the second national COVID-19 lockdown.

Emphasising that any cost increases would be borne by the contractor, and not result in price hikes for developers and clients, Mr Sands said of the supply chain: “There is impact. If I want a delivery done it can only be done those days they [hardware stores] are open. I can only receive the delivery; I cannot have persons on the road.

“I don’t want to make the situation sound worse than

it is, as all of us appreciate that construction is open.

The industry is incredibly appreciative. But on the procurement side we can all appreciate there’s a disruption that impacts the bottom line.

“If things take longer to get to the site they take longer to get used because of the delay in getting here.

Contractors can expect to spend more money on manpower costs to get the job done, but it’s still way better than not having any work at all. We are still more fortunate than other industries by far.”

Mr Sands told Tribune Business that the construction industry will “readjust quickly” to the new supply chain realities, and argued that the impact to contractor revenues and profit from the delays and lost productivity was likely to be minimal.

“I don’t think they will take on more than ten percent,” he added. “I don’t see a more than ten percent hit to the bottom line. They’ll adjust quickly to bulk orders. There will be a loss of productivity but it will not be significant.

“The job will not cost more. It is the contractor that will lose more money from their bottom line. It’s a front-loaded cost. He’s

SEE PAGE 4

PAGE 2, Friday, August 7, 2020

THE TRIBUNE

GB small business How to cope with wins travel award lockdown stress THE Tripadvisor travel platform has honoured a Grand Bahama-based selfservice yogurt shop with its 2020 Travelers’ Choice Award for outstanding customer reviews.

Paul and Kimberley Brown, owners of Island Yogurt, said: “We are elated to earn the Tripadvisor Travelers’ Choice Award,and are grateful to customers who shared outstanding reviews about their Island Yogurt experience.

“Their feedback is invaluable and thoughtfully contributed towards our recognition. We are grateful to our dedicated staff who have gone above and beyond for us to be recognised in the top ten percent of hospitality businesses around the globe.

This is an incredible accomplishment for all of us, and we are blessed and deeply honoured.”

The award was based on a full-year of Tripadvisor reviews, prior to any changes caused by the pandemic.

Award winners are selected on the basis of consistently receiving strong customer feedback, placing them in the

PAUL and Kimberley Brown, Island Yogurt owners. top ten percent of hospitality businesses worldwide.

Mr Brown added: “As we emerge from the devastation of Hurricane Dorian and now seek to manage the impact of COVID-19, this award reminds us to maintain our focus on delivering a quality product, offer excellent customer service and tell our story through social media.

“We are contributing to the economic revitalisation and sustainability of Grand Bahama, and this award is a glimmer of hope to stay the course.”

Kanika Soni, Tripadvisor’s chief commercial officer, said: “Winners of the 2020 Travelers’ Choice Awards should be proud of this distinguished

recognition. Although it’s been a challenging year for travel and hospitality, we want to celebrate our partners’ achievements.

“Award winners are beloved for their exceptional service and quality.

Not only are these winners well deserving, they are also a great source of inspiration for travelers as the world begins to venture out again.”

Ms Brown concluded: “We know that it is a tough time throughout The Bahamas and the world, but Grand Bahama is our home and we remain committed to its success. We look forward to celebrating this accomplishment with our customers when it is safe to do so, and deeply thank them for supporting Island Yogurt.”

THE past five months have been a difficult time for businesses and employees as they grapple with reduced hours, pay, work and customer engagement due to COVID-19.

These losses have resulted in stress which, for many, has become distress. Large numbers of employees in both the private and public sectors are overwhelmed and perplexed when looking to the future.

Traditionally, when people’s lives become chaotic, many run to their biological or church families for refuge. COVID-19 has even removed some of these opportunities, leaving many without these supporting pillars.

Our emphasis today, then, is to share ways for coping with the depression that may be looming, and overcoming the struggles that isolation, lockdown or perhaps quarantine might bring.

Here are nine suggestions for remaining positive and productive during lockdown:

IAN FERGUSON BY

1. Work. In addition to financial reasons, working can be important for your self-esteem and it adds to your social identity.

Stay active and do something meaningful. If you are blessed to still have a job during all of this, do not take that for granted.

Get busy and show your employer why they need to keep you employed.

2. Tell a trusted coworker.

Knowing that someone accepts your condition can be comforting, and it may reduce any anticipatory anxiety about having a panic attack at work. Do not struggle with depression alone. Let someone know you are feeling down. It is fine to ask for help. Later you can return the favour to someone who has helped you through a rough patch.

3.

Educate yourself.

Learn to recognise the symptoms of your disorder and how to handle them.

Depression and anxiety are real illnesses that can lead to serious and lasting conditions.

4. Practice time management. Make “to-do” lists and prioritise your work.

Schedule enough time to complete each task or project. The stress that often becomes distress is as a result of the chaos we cause on ourselves. Organise your life and start to de-stress by removing the clutter. Plan and prepare for every assignment that you have, and remember to be realistic. Set mini-deadlines for yourself. Anticipate

problems and work to prevent them.

5. Avoid toxic co-workers and environments. Try to ignore negativity and gossip in your workplace.

Pessimistic people who want to speak ill of their company leadership, the government and anything or anyone else should be avoided at all costs when your emotional immune system is running low on fuel. It is true. Misery loves company.

6. Take breaks. A walk around the block or a few minutes of deep breathing can help clear your head.

This may be a good time to visit the Family Islands on vacation. A change of scenery may work well for you. Go out in the back yard and set up your office there. Take an online cooking course. Shake it up a bit.

Break the monotony.

7. Set boundaries. Do not bite off more than you can chew. Follow basic rules, such as not checking your work e-mail or voice mail after hours. Communicate and speak up, calmly and diplomatically, if you have too much to handle. Your supervisor may not realise you are overextended.

8. Take advantage of employer resources and benefits. Your workplace may offer an Employee Assistance Program (EAP), discounts to gyms, or skillbuilding courses. Learn what is available to you.

You are not abnormal for feeling the way you do. Talk to a professional. It is really OK. 9. Be healthy. Eat healthy, get enough sleep, exercise regularly, and limit caffeine and alcohol. Try to keep your body and mind in shape to handle challenging situations.

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

IDB loans $200m to aid business climate THE Inter-American Development Bank (IDB) yesterday said it has approved a $200m loan to boost the business climate through increased productivity, innovation and greater diversification.

The multilateral lender said the initiative would support the governmentappointed Economic Recovery Committee’s work by aiming to foster the so-called “Blue Economy”, which features sea-based industries such as coastal tourism, fisheries and maritime transport.

The funding, the IDB added, is also designed to support micro, small and medium-sized enterprise (MSME) continuity, while also modernising the institutional and legal framework to protect The Bahamas’ natural resources.

An IDB paper, outlining the rationale for the loan, said: “The Bahamas is an open, undiversified economy that has experienced stagnating growth over the past decades. It is reliant on imports, which averaged 40 percent of GDP over the past five years, of which a third are food and fuel.

“Average real GDP growth has fallen over the past 30 years, reaching 0.8 percent in 2019.

A declining trend in total factor productivity (TFP) has contributed to lowering potential output.” The report added that COVID19 represents the second major economic shock in the past 12 months, following the estimated $3.4bn worth in losses and damage inflicted by Hurricane Dorian.

Using a now-dated estimate of the pandemic’s

likely economic impact, the IDB said: “Estimates show that a 75 percent loss in tourism activity between April and December could lead to 26.2 percent loss in GDP in 2020, relative to pre-COVID-19.”

Explaining the initiative’s focus on the so-called ‘Blue Economy’, the IDB added: “The Bahamas’ Exclusive Economic Zone covers 260,000 square miles, of which five percent is land and 95 percent is sea, representing the largest development space for the country. This marine environment, with its biodiversity, has potential for economic diversification through the Blue Economy.

“The Blue Economy is defined as the simultaneous promotion of economic growth, environmental sustainability,and strengthening of ocean ecosystems by optimising the value and exploitation of marine resources.

“In The Bahamas, ‘Blue Economy’ encompasses traditional areas (fisheries, maritime transport and coastal tourism). Although there are no distinct procedures to measure the size of the Blue Economy, it is estimated that The Bahamas is one of the largest fish exporters in the Caribbean and contributes to one percent of the world’s freight shipping.”

The IDB report continued: “Fostering the ‘Blue Economy’ enables diversification into emerging ocean-based activities, including marine aquaculture, safety, biotechnology and renewable energy.

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THE TRIBUNE

Friday, August 7, 2020, PAGE 3

LANDSCAPERS: TWO-DAY OPENING ‘IS NOT WORKING’

By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net

LANDSCAPERS yesterday said the exemption allowing themselves and pool maintenance companies to operate two days per week during the COVID-19 lockdown “didn’t work then and is not working now”.

Conray Rolle, interim chairman of the Bahamas Landscaping Association, told Tribune Business: “Considering that it just started that is going to affect my business tremendously. It is very ambiguous and I don’t think there was a lot of forethought that went into it.”

The “essential workers” of landscaping and pool maintenance companies have been allowed to operate on Tuesdays and Thursdays, from 7am to 5pm, but Mr Rolle said this

exemption “didn’t work then and it is not working now”.

He explained: “We will make the adjustment the best way we can by the laws of the land, but when you have a company that has 40 to 50 service contracts it’s impossible to do them all in two days and, at the same time, we account for a considerable part of the local economy.

“There has been no known cases of the virus affecting our industry. We work outdoors so we are not in any proximity to each other or any other persons, but yet at the same time you have allowed work to continue under construction, and landscape development is a part of construction.

“So, as with carpentry and masonry and underground utilities, that’s what we do. We have a few

construction projects we have ongoing right now, and forget the deadline part of it; we are a part of construction.”

Talking to the wider COVID-19 exemptions, Mr Rolle added: “Then you have wording saying that you are allowing concessions to people who run nurseries and plants, but that’s what maintenance does: We are for plants. It’s a bit conflicting with the information, so we’re just making adjustments as we go on.

“Yesterday morning we had a situation where it is public knowledge that the emergency orders said landscaping is allowed on Tuesday’s and Thursday’s, and one of my vehicles got stopped and they were asked to produce a letter. They are in my company vehicle in uniform

with company identification, and the officer is asking for a letter from the company allowing them to work.

How asinine is that?”

Mr Rolle said the fate of landscape-support businesses, such as hardware stores, is “another issue”.

He added: “I can’t go to the hardware store on the days that I need my supplies because they are scheduled to be closed, so I just think there should have been more private sector/public collaboration as to what are some of the hot points needed to be considered during the restrictions.”

“We support the whole national effort in trying to control what we are dealing with, but at the same time it’s like taking a sledgehammer to kill a mosquito. You will break up the table. That makes no sense. Everyone is thinking along the same

FOOD retailers yesterday confirmed that major wholesale suppliers have been allowed to restock their stores on Tuesday’s and Thursday’s amid the latest COVID-19 lockdown.

Cyril Carey, general manager of Kenneth’s Food Store on Prince Charles Drive, told Tribune Business: “Business was great.

The crowd was good on Wednesday. I think this would be OK for the next two weeks. I know we have the ability to replenish the stock on Thursday, which makes it a whole lot easier when you have staff and customers in and out.”

Wholesale suppliers were initially left off the list of exempted, essential businesses able to operate during the lockdown, which resulted in the Chamber of Commerce and other private sector executives calling for their inclusion.

Mr Carey said he expects suppliers will come and replenish his inventory every Tuesday and Thursday moving forward, and added: “They have agreed to try to get to the stores on those days and make deliveries.

“I know they were putting out to which stores were willing to open and take the deliveries, and I was one of those stores that agreed, because what I had placed for Wednesday didn’t show up, so I have

to get that in for Thursday, hopefully,” he added.

“I have all of the major wholesalers on the island.

I have Asa H Pritchard, Bahamas Food Services and the D’Albenas Agency, and they all agreed to come to me on Thursday.”

Bradley Rolle, Centreville Food Market’s general manager, said: “The traffic was even flow. It wasn’t burdesnsome, and people were just doing what they had to do before Thursday, which is the non-shopping day. We didn’t have the large volume like Super Value; we had regular traffic.”

Mr Rolle said Asa H Pritchard, D’Albenas, Thompson Trading and Lightbourne Trading were all expected to arrive and

open on Monday, Wednesday and Friday, so it is like we need to go to the bank but the banks are closed.

“So it is posing some challenges here and there, and trying to get our schedules accomplished. Then we do a lot of hurricane preparedness and things like tree trimming, and stuff like that, and technically it is putting a lull in our operations to get the work completed.”

The landscaper also said “all of the support businesses” that they depend on being closed is posing a challenge as well, especially hardware stores that are only open on Monday, Wednesday and Friday.

They added: “Our days are completely different from their days, so we are not open on those days to do what we are able to do and what is needed to be done.”

Barbers, salons: ‘No one talking of closing’

Suppliers able to restock retailers

By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net

lines, but I think more and more people need to speak up, and they need to engage more and more from a commerce perspective and say what ideas can we put forward to help create the balance and still achieve what we are trying to achieve, but still yet allowing the economy to roll.

“Even if it is rolling slowly we can still have some movement in our economy and allow people to feed their family and make some things happen. I don’t think there has been enough of that going on.”

Another landscaping company, speaking under condition of anonymity, said: “It’s not been good.

Two days really doesn’t give us any time to do much, and we find that we are having other challenges where we are open on Tuesday and Thursday but the banks are

By YOURI KEMP Tribune Business Reporter ykemp@tribunemedia.net replenish his stock yesterday, with the process going “smoothly”.

Atwell Ferguson, general manager of Golden Gates Supermarket, said: “Everything went pretty average on Wednesday. It wasn’t slow and it wasn’t busy; it was just basically average.”

Mr Ferguson said there was no issue with overcrowding and all customers paid attention to the social distancing guidelines, adding: “We got some stock in on Wednesday, and we may get some in on Thursday, but we wouldn’t be open. We will be here to receive the stock. We only have the D’Albenas (Agency) coming to us on Thursday.”

BARBERS, hair salons and spas have vowed “to cope” with their latest COVID-19 lockdown as one industry representative revealed: “No one is saying they are going to close down.”

Dellarese Taylor, the Bahamian Cosmetologists and Barbers Association’s president, told Tribune Business: “Some people have just been calling me and wondering if we are on a lockdown or not, because some people were under the impression that we would still be open on the days you could move about and go to the store, but no.

I had to tell them better.

“Everybody is trying to cope and no one is saying that they are going to close down for good, so that is

good. The COVID-19 training is just about completed, and it is online if anyone else needed to do it, but for the most part everyone has completed the training.”

Ms Taylor added: “Spas come under us, too, because it is a part of the beauty industry field. Everything is intimate with what we do because everything in our profession is with close contact with our customers.”

Philip Auguste, owner/ operator of 4 Aces Barber Shop, said: “There is nothing happening right now.

We are just closed. We are back to square one. We will be home for two weeks and just wait and see how this thing plays out.”

He added that he is not getting any unemployment assistance from the National Insurance Board (NIB), but will look into it considering what has happened.

PAGE 4, Friday, August 7, 2020

THE TRIBUNE

Insurer expands to Retailer says curb side US Virgin islands ‘very hard to execute’ FROM PAGE ONE

late last year saw it team with one of its shareholders, Trinidad-based Guardian Holdings, to acquire Fidelity Bank’s Cayman-based insurance broker. The Bahamian insurance industry has been one of the few to expand beyond this nation’s borders into territories such as Cayman and Turks & Caicos.

“We have always wanted to diversify where we have a 60/40 split, with The Bahamas being the 60 and the rest the other territories,” Mr Saunders told Tribune Business. “We are presently at 75/25. For us, when we talk about split, we are talking on a net basis or net premium basis.”

He spoke out as AM Best, the global insurance industry’s credit rating service, maintained RoyalStar’s “A” (Excellent) financial strength rating and the long-term issuer credit rating of “A”. The carrier’s “outlook” was also maintained at “stable” despite the twin effects of nine-figure Dorian claims payouts and COVID-19.

Mr Saunders hailed this as “a great achievement in trying times”, adding that RoyalStar’s ability to maintain the highest ratings an insurer can achieve showed there was “enough strength and diversity in the balance

Supply disruption may cause ‘10% hit’ for contractors FROM PAGE ONE

going to absorb it. All in all it’s not that bad. It could have been worse.”

Mr Sands, describing construction as the “third pillar” of the Bahamian economy,

sheet” to overcome developments such as the recent sovereign downgrades suffered by The Bahamas at the hands of Moody’s and Standard & Poor’s (S&P).

The RoyalStar chief added that claims stemming from last weekend’s hurricane/tropical storm Isaias were “not going to be anything major”, saying: “It’s probably going to be a minimal event for the industry.”

However, RoyalStar was not the only property and casualty underwriter to enjoy an AM Bestrelated boost. For its rival, Bahamas First, saw its own A- (Excellent) financial strength rating and long-term issuer credit ratings of “A-” reaffirmed with a stable outlook.

Patrick Ward, Bahamas First’s president and chief executive, described the assessment as “a huge boost” for the company given the backdrop of COVID-19 and recordsetting Hurricane Dorian claims payouts.

“It comes on the back of Hurricane Dorian claims, which were the biggest catastrophic event companies in The Bahamas have had to deal with, and subsequently on the back of COVID-19 uncertainty in terms of the real economic impact to the country, global marketplace and what that means for the insurance industry in particular,” he added.

“We’re happy to see the rating affirmed at the current level, and the outlook is stable, which means having come through two significant tests we’re still in a good place. That gives our client base the assurance they’re dealing with a company that has the wherewithal to cope with a natural and other disasters and still be able to discharge its obligations from a claims standpoint.”

Mr Ward said Bahamas First, too, was not expecting much claims activity as a result of Isaias. “We’ve been notified of a handful of claims, but have not been able to verify them as we have not been able to see them,” he added. “We have confirmation that we have adjusters available in Nassau and Grand Bahama, and to travel to other locations as needed.”

Expressing confidence that Bahamas First will be able to process such claims electronically amid the latest COVID-19 lockdown, Mr Ward said: “Most people have become accustomed to doing things online in terms of renewals, business transactions and even claims.

“Even if we’re working remotely we think if claims are coming through, as with the most recent hurricane/ tropical storm, we will still be able to deal with those in a timely manner.”

reiterated that it was vital the sector continued to operate as it soaked up both semi-skilled and unskilled labour while providing weekly pay cheques that were spent directly in multiple communities via “Mom and Pop” stores.

“There are a number of large projects going on that need to keep going on and rolling, and bringing in income and paying salaries to generate direct spending,”

Mr Sands added. “We need money to keep going back into the domestic economy, and that happens every seven days. It’s critical given where we are now.”

To advertise in The Tribune, contact 502-2394

FROM PAGE ONE people to use the website.

Curb side ordering is mainly for contractors with the job sites being open.

“With the online shopping we have separate portals for existing customers, and it’s very helpful for contractors as they can go in and place orders and pick up or have them delivered on designated days.”

Some retailers have elected not to open for curb side services, seemingly believing that the costs involved outweigh the benefits. Kelly’s Home Centre, via its Facebook page, has confirmed it is closed for the duration of the two-week lockdown, saying: “We have received an overwhelming amount of responses to the post indicating closure of Kelly’s House & Home.

“Please be advised that Kelly’s House & Home is currently closed due to the

Government’s mandate of a minimum two-week lockdown.” However, many other hardware stores have joined CBS Bahamas in opening on the days permitted under the government’s COVID-19 lockdown restrictions.

Builder’s Mall, which includes FYP, Tile King and the Paint Centre, said in an e-mail: “Builders Mall is open for pick up and delivery Monday, Wednesday and Friday through the current lock down from 7am to 4pm. When arriving at Builders Mall, enter the drive through and please stay in your vehicle and wear a mask.

A Builders Mall associate will be out to greet you.

“We thank you for your support and understanding during a rapidly evolving situation as we make every effort to support our customers, associates, and the communities we serve.”

Mr Burrows, meanwhile, confirmed that CBS

More firms facing ‘death sentence’ FROM PAGE ONE

to wait and see what the fallout is. I’m sure that for a lot of businesses it will be devastating. Again, we understand from a safety standpoint what the government is trying to accomplish but we cannot be locked down for ever.....

“The businesses we say

are non-essential, the longer this goes on, you are really handing them a death sentence. We need to find a way to add more businesses to the essential list.”

The GB Chamber president questioned whether the latest lockdown would fully eliminate the current COVID-19 wave, as “you cannot shut everything down” and there were

Bahamas plans to keep all staff employed for the next two weeks after it was granted permission to restock on Tuesday and Thursday. “It’s a bit disappointing that we had to get back to the stage we’re at now,” he told Tribune Business of the latest lockdown.

“I guess it’s something they [the government] had to do and we have to live with it, and hopefully we will get businesses back open in a couple of weeks. Fortunately for us our contracts division is not affected as the construction sites are open, so that is a big plus for us.

“We somehow have got to figure out how we’re going to live with this thing [COVID19] because it’s not likely to go anywhere any time soon.....

It’s a lot of uncertainty, trying to keep staff calm. Everyone’s unsure what’s happening.

Fortunately, we’re able to do a bit. I’ve got a lot of friends completely shut down and no income coming in.” multiple opportunities for persons to come into contact with asymptomatic virus carriers at food stores, pharmacies, water depots and gas stations.

He also suggested that the reduced shopping days and hours were again leading to longer store queues, further increasing the risk of COVID-19’s ‘community spread’.

Mr Laroda also called on the Government to extend the lockdown by a week at a time, so that it could assess its effectiveness, rather than going the full duration in one go.

He spoke out after Senator Kwasi Thompson, minister of state for Grand Bahama, confirmed the island’s two-week lockdown had been extended for a further 12 days in a bid to slow and control community spread of the pandemic.

Three hundred and thirtysix confirmed cases were recorded for Grand Bahama as of Wednesday, with the island now falling under the same lockdown order as the rest of the country.

“The Grand Bahama Food Task Force will continue to provide food for those residents in need during the extended lockdown,” said Mr Thompson.

“To date, we have distributed 5,366 vouchers assisting thousands of Grand Bahamians. Today, we have distributed 1,202 vouchers to Grand Bahamians.”

THE TRIBUNE

‘Budget for survival’ on new cruise delay FROM PAGE ONE for Disease Control and Prevention (CDC) imposed ‘no sail’ order, which is currently due to expire on September 30, as the CLIA warned that the industry’s restart hinges on COVID-19 conditions in a US market that supplies most of its members’ passengers.

“Despite the valuable alignment between CLIA’s previous voluntary suspension to 15 September and the CDC’s current ‘no sail’ order date of September 30, we believe it is prudent at this time to voluntarily extend the suspension of US ocean-going cruise operations to 31 October,” the CLIA said.

“This is a difficult decision as we recognise the crushing impact that this pandemic has had on our community and every other industry. However, we believe this proactive action further demonstrates the cruise industry’s commitment to public health and willingness to voluntarily suspend operations in the interest of public health and safety, as has occurred twice prior.

“CLIA cruise line members will continue to monitor the situation with the understanding that we will revisit a possible further extension on or before September 30, 2020.

At the same time, should conditions in the US change and it becomes possible to consider short, modified sailings, we would consider an earlier restart.”

The Bahamian economy’s fate ultimately hinges on whether a US market that provides 82 percent of annual stopover visitors can get its COVID-19 outbreak under control. That appears unlikely, at least in the short term, as the US now has over 5m cases and some 162,000 deaths.

Florida yesterday reported 7,650 new COVID-19 cases per day.

Friday, August 7, 2020, PAGE 5 Meanwhile, the cruise industry’s restart push back to November also means that Nassau Cruise Port’s developer/operator will not realise the forecasts presented to investors during its recently-successful $150m bond issue. The company had predicted an October resumption, with some 635,000 passenger arrivals to come in during the 2020 fourth quarter - an expectation that will now not be met.

Michael Maura, Nassau Cruise Port’s chief executive, told Tribune Business that the missed forecast is “not a material impact on the business” as it continued to focus its shortterm attention on exploiting the COVID-19 pandemic to accelerate the $284m redevelopment of Prince George Wharf.

However, he acknowledged that the cruise industry’s delayed return was inflicting real hardship on the industries, businesses and employees that rely upon it for their livelihoods, and that “the pain is very hard”.

“I was walking downtown yesterday to a meeting with the Ministry of Tourism, and it was surreal,” Mr Maura told this newspaper. “The only way to describe it is it’s almost as you were in or watching a movie. To walk downtown, a place that has centuries of history, centuries of stories and experiences, and that today it’s just almost abandoned.

“These are very difficult times. It’s very real, and the pain is very hard. People don’t have months to wait, and I know every day is a very difficult day, but the only thing we can do in our company is work as fast as we can to be ready and create a new waterfront experience that helps promote demand for Nassau and puts us in a position other regional destinations will have a difficult time competing with.”

As for Nassau Cruise Port’s missed projections, Mr Maura responded: “This pandemic is full of twists and turns and surprises..... It’s [October] not a material impact on the business. Our principal focus is construction and development, and we continue to be contacted on a routine basis by all the cruise lines for November, December and 2021 on berthing availability.”

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL The Public is hereby advised that I, NARISSA OLIVIA NEWBOLD of Emerald Gardens off St. Vincent Road of New Providence, The Bahamas, intend to change my name to NARISSA OLIVIA TAYLOR. If there are any objections to this change of name by deed poll, you may write such objections to the Chief Passport Officer, P.O. Box N-742, Nassau, New Providence, Bahamas no later than Thirty (30) days after the date of the publication of this notice.

Asked whether he was concerned that the cruise ship industry may not resume sailing until well into 2021, he added: “You use the word ‘concern’. I’m not going down that road.... 2020 continues to be a tough year for the cruise industry but I do believe 2021, in the very early stages, you will see a healthy return of cruise traffic.

“All I can tell you is we keep getting phone calls from the cruise lines. I can only base that on the cruise lines still contacting us and asking for berth availability. There’s a chance they will return this year, and we have to prepare for that. We also have the reality of the COVID19 pandemic, and the global circumstances are out of our control. We are ready for that day the cruise lines return.”

The Downtown Nassau Partnership’s Mr Klonaris, meanwhile, said he had always anticipated it would take longer for the cruise lines to meet the CDC’s COVID19 health and safety protocols due to the nature of its business and previous evidence showing ships were a breeding ground for the virus.

With the timing and strength of the sector’s return uncertain, Mr Klonaris said the likes of Bay Street retailers, restaurants and bars, plus tour operators; excursion and attraction providers; taxi drivers; straw vendors; hair braiders and others that rely on the cruise ships should not brace for “a big rush” as passenger confidence will likely take some time to recover.

As for the consequences for Bahamian businesses, he added: “It’s a very difficult stretch between now and November; very difficult for this country. We’ve just got to hold tight... It gets worse the more prolonged the cruise industry’s restart actually is.

“It’s not just the uncertainty but the ability for so many small businesses to survive.

The longer this wait goes on, the more bankruptcies and unemployment we will have.

The city of Nassau is not going to see any activity until that happens, and the more they keep pushing it out, the more difficult it becomes for small businesses to survive.

“At what point do they throw in the towel and say: ‘We cannot survive’? Most

businesses should be budgeting their operational expenses to survive between now and December. That’s the main thing they should be looking at if they want to survive and not having normal income coming in between now and December. Hopefully they may get something in December, but at least budget for that time.”

To advertise in The Tribune, contact 502-2394

NOTICE NOTICE is hereby given that FONTANE BERNARD, Miami Street, P.O.Box CB-11928 Nassau, New Providence, The Bahamas is applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 31st day of July 2020 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

MARKET REPORT www.bisxbahamas.com

(242) 323-2330

THURSDAY, 6 AUGUST 2020

(242) 323-2320

ALL SHARE INDEX: CLOSE: 2,096.57 | CHG: -0.06 | %CHG: 0.00 | YTD: -135.03 | YTD%: -6.05 BISX LISTED & TRADED SECURITIES 52WK HI 4.10 22.65 2.00 1.79 2.50 6.00 6.75 5.47 8.59 4.50 6.16 12.77 3.64 5.49 10.88 8.44 16.99 4.25 9.40 15.21

52WK LOW 3.13 20.91 0.67 1.79 1.67 5.40 5.39 2.00 5.05 3.62 5.60 11.05 2.71 2.64 9.60 7.10 13.04 3.20 8.00 13.90

PREFERENCE SHARES 1.00

1.00

1000.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

1.00 10.00 1.00

1.00 10.00 0.90

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

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

52WK LOW 100.00 100.00

115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 102.00

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

SYMBOL LAST CLOSE AML 3.35 APD 17.43 BBL 1.62 BFH 1.79 BOB 1.67 BPF 6.00 BWL 6.75 CAB 2.99 CBB 5.10 CBL 3.79 CHL 6.10 CIB 11.26 CWCB 2.51 DHS 5.30 EMAB 10.06 FAM 8.44 FBB 14.30 FCL 3.99 FIN 8.97 JSJ 15.20 BFHP CAB6 CAB8 CAB9 CAB10 CHLA FBBA FCLB

CLOSE 3.35 17.43 1.62 1.79 1.67 6.00 6.75 2.99 5.10 3.79 6.10 11.26 2.51 5.30 9.99 8.44 14.30 3.99 8.97 15.20

1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 0.90

1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 0.90

CHANGE 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 -0.07 0.00 0.00 0.00 0.00 0.00

1,536

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

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

SYMBOL FBB22 BFHB

LAST SALE 100.00 100.00

CLOSE 100.00 100.00

CHANGE 0.00 0.00

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

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

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

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

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

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

VOLUME

EPS$ 0.239 0.932 0.000 0.000 0.070 1.760 0.369 -0.438 0.140 0.184 0.449 0.722 0.102 0.467 0.646 0.728 0.816 0.203 0.939 0.631 0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

VOLUME

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

P/E 14.0 18.7 N/M N/M N/M N/M 18.3 -6.8 36.4 20.6 13.6 15.6 24.6 11.3 15.5 11.6 17.5 19.7 9.6 24.1

YIELD 5.07% 7.23% 1.23% 0.00% 0.00% 0.00% 3.85% 0.00% 0.00% 3.17% 3.61% 6.39% 17.29% 1.13% 3.28% 2.84% 3.78% 3.01% 2.23% 4.01%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

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

INTEREST Prime + 1.75% 6.25%

19-Oct-2022 30-Sep-2025

6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.50% 6.25% 3.50% 4.25%

20-Nov-2029 30-Jul-2018 16-Dec-2019 30-Jul-2020 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2018 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2022

MATURITY

MUTUAL FUNDS 52WK HI 2.34 4.41 2.11 198.39 168.29 1.69 1.85 1.77 1.24 8.34 10.26 7.08 12.15 12.71 10.81 10.00 8.98 11.79

52WK LOW 2.11 3.30 1.68 164.74 116.70 1.64 1.77 1.72 1.07 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

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

NAV 2.34 4.41 2.11 196.40 163.60 1.69 1.81 1.77 1.07 8.30 9.90 7.08 11.27 12.71 10.23 N/A 8.93 11.27

YTD% 12 MTH% 2.13% 4.00% 0.91% 2.59% 1.04% 2.39% 0.65% 2.50% -1.88% 3.33% 1.88% 3.90% -2.26% 2.49% 0.76% 3.56% -11.03% -8.03% -0.45% 8.36% -3.20% 11.46% 2.10% 5.15% -6.17% 3.54% 2.92% 5.55% -4.66% -3.81% N/A N/A -4.20% 0.20% -8.60% -2.90%

MARKET TERMS

BISX ALL SHARE INDEX - 19 Dec 02 = 1,000.00

YIELD - last 12 month dividends divided by closing price

52wk-Hi - Highest closing price in last 52 weeks

Bid $ - Buying price of Colina and Fidelity

52wk-Low - Lowest closing price in last 52 weeks

Ask $ - Selling price of Colina and fidelity

Previous Close - Previous day's weighted price for daily volume

Last Price - Last traded over-the-counter price

Today's Close - Current day's weighted price for daily volume

Weekly Vol. - Trading volume of the prior week

Change - Change in closing price from day to day

EPS $ - A company's reported earnings per share for the last 12 mths

Daily Vol. - Number of total shares traded today

NAV - Net Asset Value

DIV $ - Dividends per share paid in the last 12 months

N/M - Not Meaningful

P/E - Closing price divided by the last 12 month earnings

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

NAV Date

30-Jun-2020 30-Jun-2020 26-Jun-2020 30-Jun-2020 30-Jun-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 31-May-2020 30-Jun-2020 30-Jun-2020 30-Jun-2020

PAGE 6, Friday, August 7, 2020

GN-2414

THE TRIBUNE

THE TRIBUNE

Friday, August 7, 2020, PAGE 7

CREDIT SUISSE TRUST LIMITED Notes to Consolidated Financial Statements Year ended December 31, 2019 (Expressed in United States dollars)

1. General information Credit Suisse Trust Limited ("the Group") was incorporated on June 3, 1999 as a wholly owned subsidiary of Credit Suisse Trust Holdings Limited (“the parent Group”). The ultimate parent Group is the Credit Suisse Group whose headquarters are located in Zurich, Switzerland. The Group is incorporated under the laws of The Commonwealth of The Bahamas and is licensed by the Ministry of Finance to conduct the business of a trust Group.

Affiliates/related parties include the parent Group, subsidiaries and associates of the parent Group and employees of the Group.

The registered office of the Group is located in the Bahamas Financial Centre, Shirley and Charlotte Streets, Nassau, Bahamas.

2. Basis of preparation and summary of significant accounting policies (a)

Statement of compliance These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The accounting policies set out below have been applied consistently to all periods presented in these consolidated financial statements.

(b)

Basis of measurement The consolidated financial statements have been prepared on the historical cost basis.

(c)

Basis of consolidation Subsidiaries are entities controlled by the Group. The Group controls an entity when it is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power over the entity. In assessing control, potential voting rights that presently are exercisable are taken into account. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases.

Intra-Group balances, and any realized/unrealized income and expenses arising from intra-group transactions, are eliminated in preparing the consolidated financial statements.

These consolidated financial statements include the accounts of the Group and the following wholly owned subsidiaries (together, “the Group”):

CREDIT SUISSE TRUST LIMITED

Triangle Administration Limited (“Triangle”) Notes to Consolidated Financial Statements Sfera Limited (“Sfera”) Circle 31, Corporate Year ended December 2019 Services Limited (“Circle”) Cerchio Limited (“Cerchio”) (Expressed in United States dollars) Causeway Management Limited (“Causeway”) Octagon Management Limited (“Octagon”) Triangle and Circle incorporated under accounting the laws of The British Virgin Islands on 2. Basis of preparation and were summary of significant policies (continued) December 6, 1999 to serve as directors and corporate officers of companies managed (c) Basis consolidation (continued) by theofGroup and are otherwise inactive. However, they are continued under the laws of The Commonwealth of The Bahamas. Sfera and Cerchio were incorporated under the laws of The Commonwealth of The Bahamas on September 19, 2000 to serve 4 as nominee companies and are otherwise inactive. Causeway was incorporated under the laws of The Commonwealth of The Bahamas on January 15, 2004 to provide registered office agent services and is otherwise inactive. Octagon was incorporated under the laws of The Commonwealth of The Bahamas on January 11, 2001 to serve as directors and corporate officers of companies managed by the Group. (d)

Foreign currency translation Functional and presentation currency Transactions included in the consolidated financial statements of the Group are measured using the currency of the primary economic environment in which the Group operates (the functional currency). The consolidated financial statements are presented in United States dollars, which is the Group’s functional and reporting currency as the Group’s share capital is denominated in United States dollars, a significant amount of the Group’s transactions are carried out in United States dollars and the majority of the Group’s assets are held in this currency.

Transactions and balances Assets and liabilities maintained in foreign currencies are translated into United States dollars at the rates of exchange prevailing at the reporting date. Income and expense transactions are translated into United States dollars at the rates of exchange prevailing at the dates of the relevant transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the consolidated statement of comprehensive income as a part of total profit.

Exchange gains and losses are reflected in the determination of net income in the consolidated statement of comprehensive income.

(e)

Use of estimates and judgements The preparation of the consolidated financial statements in accordance with IFRS

CREDIT SUISSE TRUST LIMITED requires management to make estimates, judgements and assumptions that affect the

Notes to Consolidated Financial Statements application of accounting policies and the amounts reported in these consolidated financial statements and the accompanying notes. These estimates are based on Year endedrelevant December 31, 2019 available at the reporting date and, as such, actual results could information (Expresseddiffer in United dollars) from States these estimates.

CREDIT SUISSE TRUST LIMITED Consolidated Statement of Financial Position

December 31, 2019, with corresponding figures for 2018 (Expressed in United States dollars) Note

2019

2018

11

1,005,217 80,058 1,085,275

1,803,921 145,197 1,949,118

3, 11

7,600,000

5,800,000

6, 11

449,110 79,086 12,229 171,637 9,397,337

278,505 72,916 12,644 12,325 8,125,508

Assets Cash and demand deposits: Affiliate Other

$

Time deposits – affiliate Accounts receivable, net of $5,844 (2018: $77,039) for allowance for expected credit losses Prepaid expenses and other assets Due from affiliate Property & equipment

6,11 5 $

The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, and the 2. Basis results of preparation of making significant policies (continued) of which and formsummary the basis of the accounting judgments about carrying values of assets and of liabilities thatand arejudgements not readily(continued) apparent from other sources. Actual results could (e) Use estimates differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting 5 estimates are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

In particular, information about significant areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the consolidated financial statements are described in notes 2(h), 2(i) 2(n), 4 and 5. (f)

The Group commonly acts as trustee and other fiduciary capacities that result in the holding of assets or placing of assets on behalf of individuals, trusts and other entities.

These assets and the income arising thereon are excluded from these consolidated financial statements, because they are not assets and income of the Group and are held in a custodial capacity. (g)

Liabilities Fees billed in advance Accounts payable and accrued liabilities Due to affiliates Other liabilities

11 11 6, 11 11

$

Shareholder's Equity Share capital: Authorized, issued and fully paid: 1,000,000 shares of $1.00 each Additional paid-in capital Retained earnings

10 10 10

Commitment

7 $

37,425 178,475 5,300,852 10,022 5,526,774

232,929 212,349 1,060,507 12,127 1,517,912

1,000,000 1,000,000 1,870,563 3,870,563

1,000,000 1,000,000 4,607,596 6,607,596

9,397,337

8,125,508

See accompanying notes to consolidated financial statements.

These consolidated financial statements were approved on behalf of the Board of Directors on July 31, 2020 by the following:

3

Fiduciary accounts and assets under administration

New and amended standards and interpretations

The Group has adopted IFRS 16 Leases from January 1, 2019. Previously, the Group determined at contract inception whether an arrangement was or contained a lease under IFRIC 4 Determining where an Arrangement contains a Lease. The Group now assess whether a contract is or contains a lease based on the definition of a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contact conveys the right to control the use of an identified asset, the Group uses the CREDIT SUISSE LIMITED definition of a TRUST lease in IFRS 16.

Notes to Consolidated Financial Statements The Group does not own the office spaced that is occupied. A lease agreement that Year endedincludes December 2019 the 31, office space occupied by the Group is signed by an affiliate, who serves as (Expressedthe in lessee.

United The States dollars) affiliate did not sub-lease to the Group. However, the Group reimburses the affiliate a portion of the total lease expense based on the square footage occupied by the Group. In the absence of a sub-lease and legal right to control the use of the premises, the arrangement doesof notsignificant meet the definition of apolicies lease under IFRS 16.

2. Basis of preparation and summary accounting (continued) (h)

Financial Instruments (i)

Recognition and initial measurement

Accounts receivables and due from affiliates are initially recognised when they are originated. All other financial assets and financial liabilities are initially recognised when the Group becomes a party to the contractual provisions of the instrument.

A financial asset (unless it is a receivable without a significant financing component) or financial liability is initially measured at amortised cost or fair value plus, for an item not at fair value through profit and loss (“FVTPL”), transaction costs that are directly attributable to its acquisition or issue. A receivable without a significant financing component is initially measured at the transaction price.

6 (ii) Classification and subsequent measurement Financial assets

A financial asset (unless it is a receivable without a significant financing component) or

and asset management services. Fee income is recorded in the consolidated statement THE TRIBUNE of comprehensive income as “Fees and commission income” and is generally recognized on the accrual basis when the service has been provided.

PAGE 8, Friday, August 7, 2020 financial liability is initially measured at amortised cost or fair value plus, for an item not

at fair value through profit and loss (“FVTPL”), transaction costs that are directly attributable to its acquisition or issue. A receivable without a significant financing component is initially measured at the transaction price. (ii)

Classification and subsequent measurement

Financial assets On initial recognition, a financial asset is classified as measured at amortised cost.

Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model.

A financial asset is measured at amortised cost if it meets both of the following conditions and is not designated as at FVTPL: (i) (ii)

Interest income is recognized when earned. Expenses are recognized when incurred.

CREDIT SUISSE TRUST LIMITED (k) Employee benefits

Notes to Consolidated Financial Statements In general, employee benefits are recorded as an expense in the period in which Year endedservices December 31, employee 2019 by the are rendered. A liability and an expense are recognized for (Expressedvacation in United States dollars) days, vacation pay, bonuses and other short-term benefits when the employees render service that increases their entitlement to these benefits.

The Group participates in a non-contributory defined contribution group pension plan 2. Basis (“the of preparation policies Plan”) forand thesignificant benefit ofaccounting its employees and(continued) the Plan is administered by an unrelated party.

A defined contribution plan is a pension plan under which the Group (k) Employee benefits (continued) pays fixed contributions into a separate entity. The Group has no legal or constructive obligation to pay further contributions10if the Plan does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

The Plan requires employees to contribute 3% of their basic monthly salary and the Group contributes the other 7%. Employees may contribute more than 3% but this excess is not matched by the Group. The Group’s contributions to the Plan are charged to the consolidated statement of comprehensive income in the year to which they relate, and no further obligation exists once the contributions have been paid.

it is held within a business model whose objective is to hold assets to collect contractual cash flows; and its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

CREDIT SUISSE TRUST LIMITED The Group makes an assessment of the objective of the business model in which a

Notes to Consolidated Financial Statements financial asset is held at a portfolio level because this best reflects the way the business is managed, and information is provided to management.

Year ended December 31, 2019 (ExpressedFor in United States dollars) the purposes of this assessment, 'principal' is defined as the fair value of the financial asset on initial recognition. 'Interest' is defined as consideration for the time value of money and for the credit risk associated with the principal amount outstanding a particular of time and for policies other basic lending risks and costs (e.g.

2. Basis during of preparation and period significant accounting (continued) liquidity risk and administrative costs), as well as a profit margin. (h) Financial Instruments (continued) In assessing whether the contractual cash flows are solely payments of principal and interest, the Group and considers the contractual terms of the instrument. This includes (ii) Classification subsequent measurement (continued) assessing whether the financial asset contains a contractual term that could change the Financial assets (continued) timing or amount of contractual cash flows such that it would not meet this condition.

Financial assets at amortized cost: These assets are measured at amortized cost using the effective interest method. The amortized cost is reduced by impairment losses.

Interest income and impairment are recognized in profit or loss. Any gain or loss on derecognition is recognized in profit or 7 loss. As at December 31, 2019, the following financial assets were measured at amortized cost: cash and demand deposits, time deposits, accounts receivables, net, prepaid expense and other assets and due from affiliate.

Financial liabilities Financial liabilities are classified as measured at amortized cost using the effective interest method. Interest expense are recognized in profit or loss. The Group’s financial liabilities include fees billed in advance, accounts payable and accrued liabilities, due to affiliates and other liabilities. (iii) Derecognition Financial assets The Group derecognizes a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the rights to receive the contractual cash flows in a transaction in which substantially all of the risks and rewards of ownership of the financial asset are transferred or in which the Group neither transfers nor retains substantially all of the risks and rewards of ownership and it does not retain control of the financial asset.

(l)

A related party is a person or entity that is related to the entity that is preparing its financial statements (referred to in IAS 24 Related Party Disclosures as the “reporting entity”). (a)

(b)

The Group recognizes loss allowances for expected credit losses (“ECL”) on financial assets measured at amortized cost.

The Group measures loss allowances at an amount equal to lifetime ECLs. Lifetime ECLs are the ECLs that result from all possible default events over the expected life of a financial instrument.

8 When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Group considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Group’s historical experience and informed credit assessment and including forward-looking information.

(c) A related party transaction is a transfer of resources, services or obligations between the reporting entity and a related party, regardless of whether a price is charged.

11 Related parties include the shareholders, related companies, directors and key management personnel who have the authority and responsibility for planning, directing and controlling the activities of the Group. (m) Taxation At the reporting date, the Government of the Commonwealth of The Bahamas did not impose any taxes on the income or capital gains of the Group, nor does it levy a withholding tax on dividends paid to the shareholder of the Group. The Group’s operations do not subject it to tax in any other jurisdictions. (o)

ECLs are a probability-weighted estimate of credit losses. Credit losses are measured as the present value of all cash shortfalls (i.e. the difference between the cash flows due to the entity in accordance with the contract and the cash flows that the Group expects to receive).

Property & Equipment

Property & equipment are comprised of furniture, fixtures, equipment and leasehold improvements. Property & equipment are stated at cost, net of accumulated depreciation and impairment losses, if any. Expenditures are capitalized only when they increase the future economic benefits embodied in the property and equipment.

All other expenditures are recognized in the consolidated statement of comprehensive income as an expense when incurred. Depreciation is charged to the consolidated of TRUST comprehensive income on the straight-line basis at rates based on the CREDITstatement SUISSE LIMITED estimated useful lives of the respective assets as follows: Notes to Consolidated Financial Statements Furniture, fixtures and equipment 5 years Year ended December 31, 2019 Computer equipment 3 years (Expressed in United States dollars) Leasehold improvements 5 to 10 years

2.

Property & equipment are periodically reviewed for impairment. Where the carrying amount of an item of fixed asset is greater than its estimated recoverable amount, it is down immediately to its recoverable Basiswritten of preparation and significant accountingamount. policies (continued)

(o)

The maximum period considered when estimating ECLs is the maximum contractual period over which the Group is exposed to credit risk.

Measurement of ECL

An entity is related to the reporting entity if any of the following conditions applies:

The entity and reporting entity are members of the same Group (which means that each parent, subsidiary and fellow subsidiary is related to the others). (ii) One entity is an associate or joint venture of the other entity (or an associate or joint venture of a member of a Group of which the other entity is a member). (iii) Both entities are joint ventures of the same third party.

One TRUST entity is aLIMITED joint venture of a third entity and the other entity is an CREDIT(iv) SUISSE associate of Statements the third entity.

Notes to Consolidated Financial (v) The entity is a post-employment benefit plan for the benefit of employees of either the reporting entity or an entity related to the reporting entity. If the Year ended December 31, 2019 entity is itself such a plan, the sponsoring employers are also (Expressed in Unitedreporting States dollars) related to the reporting entity. (vi) The entity is controlled, or jointly controlled by a person identified in (a). (vii) A person identified in (a)(i) has significant influence over the entity or is a 2. Basis of preparation and significant accounting policies (continued) member of the key management personnel of the entity (or of a parent of the entity). (l) Related parties (continued)

On derecognition of a financial liability, the difference between the carrying amount 2. Basis extinguished of preparation accounting policies any (continued) andand thesignificant consideration paid (including non-cash assets transferred or (iv) Impairment of finacial assets

has control or joint control over the reporting entity; has significant influence over the reporting entity; or is a member of the key management personnel of the reporting entity or of a parent of the reporting entity.

(i)

Notes to Consolidated Statements The Group Financial derecognizes a financial liability when its contractual obligations are discharged, cancelled or expire. The Group also derecognizes a financial liability when Year endeditsDecember 2019 and the cash flows of the modified liability are substantially terms are31, modified (Expresseddifferent, in UnitedinStates dollars) which case a new financial liability based on the modified terms is recognized at fair value.

liabilities is recognized Financialassumed) Instruments (continued)in profit or loss.

A person or a close member of that person’s family is related to the reporting entity if that person:

(i) (ii) (iii)

Financial liabilities CREDIT SUISSE TRUST LIMITED

(h)

Related parties

Gains and&losses on disposals are determined by comparing proceeds with the carrying Property Equipment (continued) amount and are recognized in the consolidated statement of comprehensive income.

Depreciation methods, useful lives and residual values are reassessed at each reporting date.

3. Time Deposits Time deposits − affiliate earn interest at the rate of 1.44% − 2.33% at December 31, 2019 (2018: 1.98% − 2.32%) and mature within three months from the reporting date.

4. Accounts receivable, net

ECLs are discounted at the effective interest rate of the financial asset.

As of 31st December, accounts receivable consists of:

The Group uses the general approach to measure ECL for accounts receivable.

Forward looking information and macroeconomic factors such as consumer price index, real gross domestic product, unemployment rates, etc. are used as inputs into the ECL calculation. These inputs, information about past events, current economic conditions and reasonably forecasted future events is considered when measuring the ECL. Qualitative adjustments or overlays may be made as temporary adjustment using management’s judgement.

9

carrying amount of the financial asset. The Group expects no significant recovery from the amount written off. (i)

Impairment on non-financial assets The carrying amounts of the Group’s non-financial assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. An impairment loss is recognized if the carrying amount of an asset exceeds its recoverable amount.

Up to 30 days 31 to 60 days 61 to 180 days More than 180 days Expected credit losses

$

$

– 128,450 163,727 – (5,844) 286,333

2018 13,904 42,421 58,279 74,747 (77,039) 112,312

The movement during the year in the allowance for expected credit losses is as follows:

CREDIT SUISSE TRUST LIMITED Notes to Consolidated Financial Statements Beginning balance Write-offs/recoveries Year ended December 31, 2019 Increase in expected credit losses (Expressed in United States dollars) Ending balance

2019 $ $

77,039 (71,195) – 5,844

Computer equipment

Leasehold improvements

2018 5,073 (42,019) 113,985 77,039

5. Property & Equipment Property & equipment are comprised as follows: Furniture, fixtures and equipment 13 $ 39,634 2,250 41,884 324 $ 42,208

The recoverable amount of an asset is the greater of its value in use and its fair value less costs to sell. In assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset.

Cost: December 31, 2017 Additions December 31, 2018 Additions December 31, 2019

Impairment losses recognized in prior periods are assessed at each reporting date for any indication that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss had been recognized.

Accumulated depreciation December 31, 2017 $ Charge for the year December 31, 2018 Charge for the year December 31, 2019 $

6,485 – 6,485 – 6,485

104,883 – 104,883 175,727 280,610

Total 151,002 2,250 153,252 176,051 329,303

22,656 6,903 29,559 6,828 36,387

6,485 – 6,485 – 6,485

104,883 – 104,883 9,911 114,794

134,024 6,903 140,927 16,739 157,666

Furniture, fixtures and equipment

Computer equipment

Leasehold improvements

Total

Income and expenses Fee income arises on financial services provided by the Group including trust services and asset management services. Fee income is recorded in the consolidated statement of comprehensive income as “Fees and commission income” and is generally recognized on the accrual basis when the service has been provided.

Net book value: December 31, 2019 December 31, 2018

Interest income is recognized when earned. Expenses are recognized when incurred. (k)

2018 189,351 1,884 164,309 355,544 (77,039) 278,505

2019

Impairment losses are recognized in the consolidated statement of comprehensive income.

(j)

$

292,177 6,195 156,582 454,954 (5,844) 449,110

The age profile of trade accounts receivable is as follows:

Notes to Consolidated Financial Statements ECL for financial assets measured at amortized cost is deducted from the gross carrying amount of the assets.

Year ended December 31, 2019 (ExpressedWrite-off in United States dollars) The gross carrying amount of a financial asset is written off when the Group has no reasonable expectations of recovering a financial asset in its entirety or a portion The Group a policyaccounting of fully provisioning the gross carrying amount when 2. Basis thereof. of preparation and has significant policies (continued) the financial asset is 180 days past due based on historical experience. Thereafter and (h) Financial Instruments (continued) with approval from Those Charged with Governance, management writes off the gross Write-off (continued)

$

Expected credit losses

Presentation allowanceLIMITED for ECL in the consolidated statement of financial position CREDIT SUISSEofTRUST

(iv) Impairment of finacial assets

2019

12

Trade receivable VAT receivable Staff loans

Employee benefits In general, employee benefits are recorded as an expense in the period in which

6.

$

5,821

–

165,816

171,637

$

12,325

–

–

12,325

Related party transactions In addition to the related party transactions disclosed elsewhere in the consolidated financial

December 31, 2019 THE TRIBUNE

$

5,821

–

165,816

171,637

December 31, 2018

$

12,325

–

–

12,325

6.

CREDIT SUISSE TRUST LIMITED

Related party transactions In addition to the related party transactions disclosed elsewhere in the consolidated financial statements, the following significant transactions occurred between the Group and other affiliated companies during the year ended December 31, 2019 and 2018: 2019

Fees and commission expense (a) Computer service cost (b) Head office charges (c) Accounting services (d) CREDIT TRUST LIMITED RechargesSUISSE (e) Notes to Consolidated Financial Statements Dividends (f)

high rate of recoverable receivables. Most debtors has liquid assets that can be used7, to 2020, pay off PAGE 9 Friday, August outstanding debts and all debtors as at the reporting date has paid off all receivable balances; thereby eliminating credit risk. Nevertheless, the2% rate was used to calculate ECL at the reporting date which factored in forward looking indicators.

$

159,389 292,556 1,225,856 74,840 257,280 4,000,000

2018 152,804 281,081 1,312,944 125,736 252,071 –

Year(a) ended 31, 2019 TheDecember Group pays to the parent Group 75% of the first year's fees generated for the (Expressed in United States dollars) incorporation and administration of the structures referred to the Group by the parent Group during their first year of existence. During the year, the Group paid $159,389 (2018: 152,804) for referral fees for the structures (new clients) referred by the parent Group.

6. Related party transactions (continued) (b) Under the Service Level Agreement 14 which took effect June 30, 1999, the affiliate provides information technology and communications facilities to the Group. The agreement is subject to annual re-negotiation. During the year, the Group paid $292,556 (2018: $281,081) to the affiliate.

(c) During the year, the Group was charged $1,225,856 (2018: $1,312,944) to the parent Group as reimbursement for various administrative charges. (d) A Service Level Agreement and an outsourcing agreement were entered by the Group and an affiliate on June 2, 2014. The agreements provide to delegate the trust accounting services to process all accounting matters for and on behalf of the Group’s clients to the affiliate. The agreement can be terminated by either party by giving not less than six months’ notice in writing to the other party. During the year, the Group was charged $74,840 (2018: $125,736) for the services. (e) Recharges represents cost paid to affiliates for use of security storage, use of premises and electricity. (f) The Group declared dividends in the amount of $4,000,000 (2018: $nil) of which $4,000,000 (2018: $ nil) is payable as at the reporting date.

Due to affiliates are accruals for related party transactions described in 6(b), 6(c) 6(d), and 6(f) in the amount of $5,300,852 (2018: $1,060,507).

Due from affiliates of $12,229 (2018: $12,664) are accruals for interest income earned on term deposits held at the reporting date. Interest income earned on time deposits with affiliate is $147,008 (2018: $125,453). Time deposit held with affiliate at the reporting date is $7,600,000 (2018: $5,800,000).

Included in salaries and related expenses in the consolidated statement of comprehensive income are salaries, benefits (short-term, long-term and post-employment) and bonuses paid to key management personnel in the amount of $658,334 (2018: $779,988).

Accounts receivable include $156,582 (2018: $164,309) due from staff personnel.

7. Pension The Group participates in a non-contributory defined contribution group pension plan for eligible employees. The allowance for pension plan costs charged to salaries and related expenses during 2019 was $68,607 (2018: $88,144). The Group's liability is restricted to the amount of the contribution.

CREDIT SUISSE TRUST LIMITED 8. Fair value of financial instruments Notes to Consolidated Financial Statements

The carrying values of cash and demand deposits, time deposits, accounts receivable, prepaid Yearexpenses ended December 2019 due from affiliate, fees billed in advance, accounts payable and and other31, assets, (Expressed United States dollars) accruedinliabilities, due to affiliates and other liabilities approximate their fair value due to their relatively short periods to maturity.

9. Fiduciary activities The Group is engaged in significant trust and Group management activities. No account is 15 taken in these consolidated financial statements of assets held or liabilities incurred by the Group as trustee, nominee or in a fiduciary capacity.

10. Capital Management

The tableFinancial providesStatements information about the exposure to credit risk and ECLs for trade Notes to following Consolidated receivables as at December 31, 2019.

Year ended December 31, 2019 (Expressed in United States dollars)

Loss rate

Up to 30 days 2% 31 to 60 days 11. Financial instruments and associated risks (continued) 2% 61 to 180 days 2% Credit risk (continued) More than 180 days 100% Expected credit loss assessment (continued)

Gross carrying amount

$

$

– 128,450 163,727 – 292,177

Expected credit losses

– 2,569 3,275 – 5,844

17 The following table provides information about the exposure to credit risk and ECLs for trade receivables as at December 31, 2018.

Loss rate

Up to 30 days 31 to 60 days 61 to 180 days More than 180 days

2% 2% 2% 100%

Gross carrying amount

$

$

13,904 42,421 58,279 74,747 189,351

Expected credit losses

278 848 1,166 74,747 77,039

Cash, demand deposits and term deposits The Group held cash and demand deposits of $1,085,275 (2018: $1,949,118) and time deposits of $7,600,000 (2018: $5,800,000). 99% of these balances are held with an affiliate who has a strong credit rating of A1 as released by Moody’s. The Group considers that its cash have low credit risk based on the external credit ratings of the counterparties. Further, all term deposits have already matured and collected subsequent to the reporting date Staff loans The Group staff loans were $156,582 (2018: $164,309). The Group considers that its staff loans have low credit risk because the loans are individually of low value. In addition, payments are deducted from staff monthly salary until the staff loan is fully paid off. All unpaid amounts will be deducted from the staff final payout should the staff be terminated or resigned from the Group.

Liquidity risk Liquidity risk is the risk that the Group will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Group’s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, incurring unacceptable losses or risking damage to the Group’s CREDIT SUISSE without TRUST LIMITED reputation.

Notes to Consolidated Financial Statements The Group aims to maintain the level of its cash at an amount in excess of expected cash Yearoutflows ended December 31, liabilities.

2019 on financial The Group also monitors the level of expected cash inflows (Expressed in United dollars) rendered together with expected cash outflows on expenses on financial assetsStates and services incurred and liabilities.

The following are the remaining contractual maturities of financial assets and financial 11. Financial instruments and associated risks (continued) liabilities at the reporting date. The amounts are gross and undiscounted.

Liquidity risk (continued)

2019: Assets: Cash and demand deposits Time deposits – affiliate Accounts receivable, net Due from affiliate Liabilities: Accounts payable and accrued liabilities Due to affiliates Other liabilities

$

$

18 On demand

Up to 1 Year

Total

1,085,275 – – – 1,085,275

– 7,600,000 449,110 12,229 8,061,339

1,085,275 7,600,000 449,110 12,229 9,146,614

– – – –

178,475 5,300,852 10,022 5,489,349

178,475 5,300,852 10,022 5,489,349

On demand

Up to 1 Year

Total

1,949,118 – – – 1,949,118

– 5,800,000 278,505 12,644 6,091,149

1,949,118 5,800,000 278,505 12,644 8,040,267

– – – –

212,349 1,060,507 12,127 1,284,983

212,349 1,060,507 12,127 1,284,983

$ $

There were no changes in the Group’s approach to capital management during the year.

The Central Bank of the Bahamas requires all licensees to maintain a capital adequacy ratio of at least 8 percent of its risk-weighted assets at all times. The minimum capital for licensed trust companies is $1,000,000. The capital adequacy ratio is calculated by dividing the Group’s eligible capital base by its risk-weighted exposures. The Group uses regulatory guidelines as the basis for the calculation of the ratio.

At December 31, 2019 and 2018, the Group was in compliance with capital requirements.

As at December 31, 2019 and 2018, the Group’s eligible capital is as follows: 2019

2018 1,000,000 1,000,000 4,607,956 6,607,959 1,926,214

Share capital Additional paid-in capital Retained earnings Total Eligible Capital

$ $

1,000,000 1,000,000 1,870,563 3,870,563

Risk-weighted assets

$

2,449,117

Capital ratios Total regulatory capital expressed as a percentage of total risk-weighted assets

158%

343%

11. Financial instruments and associated risks The Group has exposure to the following risks arising from financial instruments: (i) credit risk; (i) liquidity risk; and

CREDIT SUISSE TRUST LIMITED

(ii)tomarket risk. Financial Statements Notes Consolidated Risk management framework Year ended December 31, 2019 The Group's boardStates of directors (Expressed in United dollars) has overall responsibility for the establishment and oversight of the Group’s risk management framework. The management is responsible for developing and monitoring the Group’s risk management policies.

The Group’s risk management policies are established to identify and analyze the risks, to set 11. Financial instruments and associated risks (continued) appropriate risk limits and controls and to monitor risks and adherence to limits. The Group, Risk management (continued) through its trainingframework and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and 16 obligations.

Credit risk Credit risk is the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its contractual obligations and arises principally from the Group’s receivables from customers.

The carrying amounts of financial assets represent the maximum credit exposure.

Trade accounts receivables The Group’s exposure to credit risk is influenced mainly by the individual characteristics of each debtor. However, management also considers the factors that may influence the credit risk of its customer base.

The Group does not require collateral in respect of accounts receivables, nevertheless, given the nature of the industry, it the norm for the customers to have funds on account. The Group does not have accounts receivables for which no loss allowance is recognized because of collateral.

At December 31, 2019 and 2018, the gross carrying amount of the exposure to credit risk is $292,177 (2018: $189,351).

Expected credit loss assessment IFRS 9 allows an entity to use a simplified “provision matrix” for calculating expected losses as a practical expedient (e.g. for trade receivables), if consistent with the general principles for measuring expected losses. The Group used the Provision Matrix in the calculation of its ELC. Calculation of the Group’s “provision matrix” is based on a rate of 2% which is the Group’s historical default rate over the expected life of the trade receivables that includes an adjustment for forward looking indicators (real GDP and CPI). The Group has a significantly high rate of recoverable receivables. Most debtors has liquid assets that can be used to pay off outstanding debts and all debtors as at the reporting date has paid off all receivable balances; thereby eliminating credit risk. Nevertheless, the2% rate was used to calculate ECL at the reporting date which factored in forward looking indicators.

The following table provides information about the exposure to credit risk and ECLs for trade receivables as at December 31, 2019.

2018: Assets: Cash and demand deposits Time deposits – affiliate Accounts receivable, net Due from affiliate Liabilities: Accounts payable and accrued liabilities Due to affiliates Other liabilities

$

$

$ $

Market risk CREDIT SUISSE TRUST LIMITED

Notes to Consolidated Financial Statements Market risk is the risk that changes in market prices - e.g., interest rates and equity prices will affect the Group’s income or the value of its holdings of financial instruments. The Year ended December 31, 2019 objective of market risk management is to manage and control market risk exposures within (Expressed in United States dollars) acceptable parameters, while optimizing the return.

Market risk is the risk that future changes in market conditions may make an instrument less valuable orinstruments more onerous.

It embodiesrisks the potential for both losses and gains and includes 11. Financial and associated (continued) price risk, interest rate risk and currency risk.

Market risk (continued) Currency risk The Group may invest in financial instruments and enter into transactions denominated in currencies other than its functional currency. Consequently, the Group may at times be 19 exposed to risks that the exchange rate of its currency relative to other foreign currencies may change in a manner that has an adverse effect on the value of that portion of the Group’s assets or liabilities denominated in currencies other than United States dollars.

Substantially all of the Group’s assets and liabilities are denominated in United States dollars.

Accordingly, there is minimal foreign currency exposure at the reporting date.

Interest rate risk Interest-bearing financial assets mature in the short-term, no longer than three months from the reporting date. As a result, the Group is subject to limited exposure to interest rate risk due to fluctuations in the prevailing levels of market interest rates.

Interest rate risk positions are monitored by management, which uses time deposits to manage the overall position arising from the Group’s non-trading activities.

An increase in market interest rates by an average of 100 basis points (“bp”) for the next twelve months (assuming a constant financial position) would increase equity and net income by approximately $76,000(2018: $58,000). A decrease in market interest rates by an average of 100 bp for the next twelve months would have the equal but opposite effect on equity and net income, assuming that other variables remain constant.

Price risk Price risk is the risk that the value of an instrument will fluctuate as a result of changes in market prices, whether caused by factors specific to an individual investment, its issuer or all factors affecting all instruments traded in the market.

As the Group’s financial instruments are not subject to price changes, the Group is not exposed to price risk on its financial instruments.

12. Subsequent Events The Group has evaluated subsequent events from the reporting date to the date at which the financial statements were available to be issued and determined there are no other items to be disclosed other than the below note.

A novel strain of coronavirus (COVID-19) that first surfaced in China was classified as a pandemic by the World Health Organization on March 11, 2020, impacting countries globally. The potential impacts from COVID-19 remain uncertain, including, among other things, on economic conditions, businesses and consumers. The extent of these impacts on the Group are not expected to be material and management does not expect it to adversely affect its businesses, results of operations, and financial condition.

This is a non-adjusting event and an estimate of the financial effect cannot be made at the point in time as the situation remains a rapidly evolving one. There were no adjusting subsequent events that need to be disclosed or reflected in the consolidated financial statements.

20

THE TRIBUNE

Friday, August 7, 2020, PAGE 11

New York attorney general seeks to dissolve NRA NEW YORK Associated Press NEW York’s attorney general sued the National Rifle Association yesterday, seeking to put the powerful gun advocacy organisation out of business over claims that top executives illegally diverted tens of millions of dollars for lavish personal trips, no-show contracts for associates and other questionable expenditures.

Attorney General Letitia James’ lawsuit, filed in Manhattan state court, highlighted misspending and self-dealing claims that have roiled the NRA and its longtime leader, Wayne LaPierre, in

recent years — from hair and makeup for his wife to a $17m post-employment contract for himself.

“It’s clear that the NRA has been failing to carry out its stated mission for many, many years and instead has operated as a breeding ground for greed, abuse and brazen illegality,” she said at a news conference. “Enough was enough. We needed to step in and dissolve this corporation.”

Simultaneously, Washington DC Attorney General Karl Racine — like James, a Democrat — sued the NRA Foundation, a charitable arm of the organisation that provides programmes for marksmanship and firearm safety, accusing it of diverting

funds to the NRA to help pay for lavish spending by top executives.

In a statement, NRA President Carolyn Meadows labeled James a “political opportunist” pursuing a “rank vendetta” with an attack on its members’ Second Amendment rights.

“You could have set your watch by it: the investigation was going to reach its crescendo as we move into the 2020 election cycle,” said Meadows, who announced a countersuit in federal court in Albany that could set the stage for a drawn-out legal battle lasting well past November’s election.

The New York lawsuit made only civil claims, but

James said the investigation was ongoing and any criminal activity discovered would be referred to prosecutors and the Internal Revenue Service.

The NRA’s financial troubles, James said, were long cloaked by loyal lieutenants but became public as deficits piled up. The organisation went from a nearly $28m surplus in 2015 to a $36m deficit in 2018.

The organisation’s prominence and cozy political relationships, James said, enabled a culture where nonprofit rules were routinely flouted and state and federal laws were violated. Even the NRA’s own bylaws and employee handbook were ignored, she said.

Though headquartered in Virginia, the NRA was chartered as a nonprofit in New York in 1871 and is incorporated in the state.

Republican Arkansas Gov Asa Hutchinson defended the NRA, tweeting that if New York doesn’t want it, the organisation should “move south, where people respect and value the Second Amendment. Arkansas would be a natural home.”

The Washington DC attorney general has been investigating the NRA Foundation for more than a year.

It said its investigation determined that low membership and lavish spending left the NRA with financial problems and so it exploited the

THE WEATHER REPORT

5-Day Forecast

TODAY

ORLANDO

High: 92° F/33° C Low: 74° F/23° C

TAMPA

TONIGHT

SATURDAY

SUNDAY

MONDAY

TUESDAY

Mostly sunny, stray thundershower

Mainly clear

Clouds and sun with a thunderstorm

Partly sunny

Mostly sunny, a stray t‑storm

Sunshine

High: 89°

Low: 79°

High: 88° Low: 80°

High: 88° Low: 77°

High: 88° Low: 77°

High: 88° Low: 77°

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

100° F

89° F

99°-88° F

100°-85° F

99°-85° F

99°-84° F

High: 93° F/34° C Low: 79° F/26° C

almanac

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ABACO

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High: 85° F/29° C Low: 80° F/27° C

4‑8 knots

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WEST PALM BEACH High: 90° F/32° C Low: 77° F/25° C

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FT. LAUDERDALE E

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High: 90° F/32° C Low: 80° F/27° C

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High: 89° F/32° C Low: 80° F/27° C

MIAMI

High: 91° F/33° C Low: 79° F/26° C

3‑6 knots

KEY WEST

High: 90° F/32° C Low: 83° F/28° C

Statistics are for Nassau through 2 p.m. yesterday Temperature High ................................................... 90° F/32° C Low .................................................... 82° F/28° C Normal high ....................................... 89° F/32° C Normal low ........................................ 76° F/24° C Last year’s high ................................. 93° F/34° C Last year’s low ................................... 80° F/27° C Precipitation As of 2 p.m. yesterday .................................. trace Year to date ............................................... 35.05” Normal year to date ................................... 20.82”

ELEUTHERA

NASSAU

High: 89° F/32° C Low: 79° F/26° C

Forecasts and graphics provided by AccuWeather, Inc. ©2020

High: 85° F/29° C Low: 80° F/27° C

N

tiDes For nassau Low

Ht.(ft.)

Today

11:09 a.m.

11:24 p.m.

High

Ht.(ft.)

2.8 3.0

5:09 a.m.

5:16 p.m.

0.5 0.7

Saturday

11:51 a.m. ‑‑‑‑‑

2.8 ‑‑‑‑‑

5:47 a.m.

6:00 p.m.

0.6 0.9

Sunday

12:04 a.m.

12:35 p.m.

2.8 2.7

6:25 a.m.

6:47 p.m.

0.7 1.0

Monday

12:45 a.m.

1:22 p.m.

2.6 2.7

7:05 a.m.

7:38 p.m.

0.8 1.2

Tuesday

1:31 a.m.

2:12 p.m.

2.5 2.7

7:48 a.m.

8:33 p.m.

0.9 1.3

Wednesday 2:21 a.m.

3:06 p.m.

2.3 2.7

8:37 a.m.

9:33 p.m.

0.9 1.3

Thursday

2.3 2.8

9:29 a.m. 0.9 10:32 p.m. 1.2

3:17 a.m.

4:02 p.m.

sun anD moon Sunrise Sunset

6:40 a.m.

7:50 p.m.

Moonrise Moonset

10:38 p.m.

10:04 a.m.

Last

New

First

Full

Aug. 11

Aug. 18

Aug. 25

Sep. 2

CAT ISLAND

E

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uV inDex toDay

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

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

N

tax-exempt foundation to remain afloat.

“Charitable organisations function as public trusts — and District law requires them to use their funds to benefit the public, not to support political campaigns, lobbying, or private interests,” Racine said in a statement.

His lawsuit sought not to have the NRA destroyed, but to have a court-appointed monitor supervise its finances and a trust created to recover money diverted from the foundation.

High: 86° F/30° C Low: 81° F/27° C

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ANDROS

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

SAN SALVADOR

GREAT EXUMA

High: 86° F/30° C Low: 79° F/26° C

High: 86° F/30° C Low: 80° F/27° C

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High: 87° F/31° C Low: 81° F/27° C

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LONG ISLAND

tracking map

High: 86° F/30° C Low: 80° F/27° C

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MAYAGUANA High: 87° F/31° C Low: 80° F/27° C

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

CROOKED ISLAND / ACKLINS RAGGED ISLAND High: 86° F/30° C Low: 81° F/27° C

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GREAT INAGUA High: 88° F/31° C Low: 81° F/27° C

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High: 86° F/30° C Low: 80° F/27° C

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8‑16 knots

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

Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday: Today: Saturday:

WINDS NE at 4‑8 Knots NNE at 4‑8 Knots NE at 4‑8 Knots E at 6‑12 Knots ENE at 4‑8 Knots ESE at 6‑12 Knots E at 7‑14 Knots E at 8‑16 Knots ENE at 4‑8 Knots E at 4‑8 Knots ENE at 4‑8 Knots ENE at 4‑8 Knots E at 6‑12 Knots E at 6‑12 Knots E at 8‑16 Knots E at 8‑16 Knots ENE at 7‑14 Knots E at 7‑14 Knots E at 6‑12 Knots E at 8‑16 Knots ENE at 4‑8 Knots E at 4‑8 Knots E at 8‑16 Knots E at 8‑16 Knots NE at 4‑8 Knots E at 6‑12 Knots

WAVES 1‑3 Feet 1‑3 Feet 1‑2 Feet 1‑2 Feet 1‑3 Feet 1‑3 Feet 1‑3 Feet 2‑4 Feet 1‑3 Feet 1‑3 Feet 1‑2 Feet 0‑1 Feet 1‑2 Feet 1‑2 Feet 1‑3 Feet 2‑4 Feet 1‑2 Feet 1‑3 Feet 1‑3 Feet 2‑4 Feet 1‑2 Feet 1‑2 Feet 1‑3 Feet 2‑4 Feet 1‑2 Feet 1‑2 Feet

VISIBILITY 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 7 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles

WATER TEMPS. 86° F 86° F 87° F 88° F 87° F 88° F 85° F 85° F 86° F 87° F 84° F 85° F 86° F 87° F 85° F 85° F 85° F 85° F 85° F 85° F 86° F 86° F 85° F 85° F 86° F 86° F

PAGE 12, Friday, August 7, 2020

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THE TRIBUNE

Trump targets Canada, reimposing tariffs on aluminum WASHINGTON Associated Press PRESIDENT Donald Trump, pictured, said Thursday that the United States is reinstating a 10% import tax on Canadian aluminum, raising tensions with an American ally just weeks after his trade pact with Canada and Mexico took effect.

Canada quickly vowed to respond in kind.

Trump originally imposed the tariffs on aluminum imports in 2018. He then lifted them last year on Canadian and Mexican metals to smooth the way for the US-MexicoCanada Agreement, which replaced the North American Free Trade Agreement.

The USMCA took effect July 1 and was expected to bring stability to North American trade.

Instead, Trump declared yesterday that he is reimposing the tariffs on Canada. Speaking at a Whirlpool plant in Ohio, the president said that Canada had promised that “its aluminum industry would not flood our country with exports and kill all of our aluminum jobs, which is exactly what they did’’.

The Office of the US Trade Representative said the tariffs will take effect Aug 16.

Canadian Deputy Prime Minister Chrystia Freeland called the tariffs “unwarranted and unacceptable” and said Canada intends to swiftly impose dollar-fordollar countermeasures.

“In the time of a global pandemic and an economic crisis, the last thing Canadian and American workers need is new tariffs that will raise costs for manufacturers and consumers, impede

the free flow of trade, and hurt provincial and state economies,” Freeland said in a statement.

Trade lawyer Daniel Ujczo with Dickinson Wright PLLC in Columbus, Ohio, predicted that Canada will retaliate with tariffs of its own — unless US and Canadian negotiators can reach a truce before the tit-for-tat import taxes begin.

Ujczo said the tariffs appear designed to win Trump election year support from voters in Ohio, an industrial state. But the tactic, he said, might not work during an economic crisis brought on by the coronavirus pandemic.

“Voters here in Ohio were willing to give the president a long leash on tariffs when the economy was strong’’ and Trump was using the sanctions as leverage to get a North American trade deal, Ujczo said. But “the dealmaker in chief already got his win with Canada and Mexico. These folks will see it as nothing more than a political tool in a time of economic hardship.’’

Aluminum imports from Canada rose sharply from February to March but have since leveled off and actually dropped 2.6% from May to June, according to the Aluminum Association trade group.

“Claims of a ‘surge’ of primary aluminum imports from Canada are simply not accurate,’’ said Tom Dobbins, the association’s president. He added: “Especially now, the US should be focused on getting the manufacturing economy going again in the region – not picking battles with USMCA trading partners.’’