08092019 BUSINESS

business@tribunemedia.net

FRIDAY, AUGUST 9TH, 2019

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Business slams 500% Customs burden rise

By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

T

HE government yesterday promised that Customs’ new system will “smooth out” after furious Abaco businesses blasted a “400-500 percent” increase in the goods clearance workload.

Ken Hutton, the Abaco Chamber of Commerce’s president, estimated this was the increase in delays and bureaucracy associated with clearing imports through the Customs Department’s Electronic Single Window (ESW) system that was installed on the island within the last

• Abaco blasts new system delays, cost increases • DPM pledges ‘smooth out’ following transition • Ditching ‘antiquated’ methods costing revenue

KEN HUTTON

couple of weeks.

Abaco’s business community was described as “extremely upset” over “delays and added expenses” created by the transition to the new digital process. Mr Hutton warned that, unless rectified, these issues will increase the cost of clearing goods and, ultimately, the cost of living as any price rises will be passed on to consumers.

“We reached out to the government about a

week-and-a-half ago,” he told Tribune Business. “We have been in regular communication with Customs and the Ministry of Finance.

They are working to help us work through all the issues, but there are a tremendous amount of issues still being worked on.

“We are very concerned about this. We received feedback from the customs brokers, other importers

SEE PAGE 4

PM urged: ‘Take a knife and slice red tape apart’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE prime minister was yesterday warned he must urgently “take a knife and slice through the red tape” otherwise investors will “simply say goodbye” to The Bahamas.

Fred Smith QC, the Callenders & Co attorney and partner, bluntly told Tribune Business in the wake of complaints by Compass Point’s owner that “money goes where it makes money; it doesn’t have to fight to stay in The Bahamas”.

Arguing that The Bahamas had suffered such a “fate for many, many decades”, Mr Smith said it appeared as if “the government bureaucracy has taken Cabinet ministers hostage” over their much-publicised efforts to improve the

• QC: Otherwise investors will say ‘goodbye’ • Says: ‘Money doesn’t have to fight to be here’ • Business shouldn’t ‘hit head against brick wall’

FRED SMITH QC

SEE PAGE 2

Fidelity pledges no ‘false euphoria’ on planned stock split

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net FIDELITY Bank (Bahamas) yesterday pledged that its proposed early 2020 stock split will guard against the “false euphoria” that such moves sometimes provoke in local shareholders.

Gowon Bowe, the BISXlisted commercial bank’s chief financial officer, told Tribune Business that previous stock splits in the Bahamian capital markets had sometimes sparked big swings in a company’s share price that were “not based on fundamentals” such as its earnings and profit performances.

Emphasising that Fidelity Bank (Bahamas) was determined to prevent this, Mr Bowe said it planned to undertake an “education process” to ensure shareholders fully understood how a stock split would impact their investment.

Revealing that the bank’s board and management had been mulling the move for more than a year, he added that it was “highly unlikely” to happen before year-end given that it is currently focused on concluding the sale of its 50 percent ownership in former investment bank affiliate,

SEE PAGE 5

BPL crisis: What else can we say?

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE Chamber of Commerce’s chief executive yesterday said there is “not much else to say” over the Bahamas Power & Light (BPL) crisis other than “hope resolution is in sight”.

Jeffrey Beckles told Tribune Business that a solution to BPL’s now-daily load shedding and blackouts on New Providence needed to be “found sooner rather than later” given the

ease of doing business by improving processes and eliminating unnecessary obstacles.

Emphasising that he wanted The Bahamas “to succeed”, the well-known QC called for “everyone to raise the alarm” both domestically and internationally as this often seemed to be the only way to provoke government action.

In a week when Leigh Rodney, Compass Point’s owner, warned that he will close the resort for good - and put 60 Bahamians out of work - at the next

disruption to both the private sector and Bahamian citizens.

While crediting the government-owned monopoly for seeking to minimise load shedding in business areas during the day, in a bid to cause as little interruption to commerce as possible, Mr Beckles said many in the private sector - especially those without generators - remained “unnerved” in the absence of a solution to BPL’s generation woes.

SEE PAGE 3

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Customs warns: No ‘short cuts’ on new system

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Customs Department yesterday apologised to Abaco’s private sector for difficulties caused by its new system, but warned that previous “short cuts” are now no longer possible.

In a statement to Tribune Business responding to concerns raised by that island’s business community, Bahamas Customs and Excise reassured that issues with its new electronic single window (ESW) platform will “smoothen out” and that it has been working closely to address their concerns.

“The feedback from business stakeholders is most welcomed as we know that with any major change process it takes time to learn the new system and to become comfortable,” Customs said. “Any inconvenience and increase in workload is partially due to the fact that businesses are still learning the system.

“However, some of the short cuts that were allowed by the old system are no longer possible. The Customs Department apologises for any inconvenience to the businesses community. We assure our stakeholders that based on the experience in other islands and in Nassau that operations will smoothen out once everyone becomes familiar with the new system and accustomed to the high standard of compliance that is being expected of everyone, including Customs officers.”

Customs added: “The phased Family Island roll-out has been taking place over the past seven months with Customs moving systematically from island to island, conducting training with businesses and stakeholders

and making necessary improvements based on user feedback.

“Inagua, Exuma, Eleuthera and Cat Island are some of the Family Islands that are already operational on the new system. In fact, in Abaco, Customs officers have been stationed there since July 1 to assist in training stakeholders.

Customs has even embedded officers within private organisations to provide a personalised training as a way of facilitating businesses in the transition process.”

According to Customs, under the new system all importers will be operating by the same rules and regulations. Processes that used to involve physical Customs officers will now be automated, including payment which will soon be available online in a bid to add convenience and increased efficiency to the process of importing and exporting.

“The new system will have tighter controls and risk management to reduce corruption, and new measures to protect government revenue,” Customs said. “This benefits all taxpayers. The new system will also provide accurate statistical information for more effective policy making and real time information to assist government with budget planning.

“These benefits were simply not available in the old system. We encourage the business community to partner with us as we modernise Customs into a 21st century administration. Customs and the Ministry of Finance are in the final stages of preparation to launch a public education campaign to inform the public about the Bahamas Electronic Single Window, which has been officially named, Click2Clear.”

PAGE 2, Friday, August 9, 2019

Controversy will ‘force BTC to perform better’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bahamas Telecommunications Company’s (BTC) ultimate parent has “almost been forced to do better” by its chief executive’s controversial comments, a trade union leader said yesterday.

Bernard Evans, the National Congress of Trade Unions (NCTU) president, suggested to Tribune Business that the furore sparked

by Balan Nair’s criticisms of BTC workers’ productivity and work ethic had left Liberty Latin America with no choice but to “make up” and deliver on promises of new investment in The Bahamas.

“If they make the improvements they say they’re going to make, and deliver on the commitments they’ve promised to do, we can really be optimistic,” Mr Evans said of BTC and the parent that owns just over 49 percent of its equity.

“They’re pretty much forced to do better. It’s almost like they want to make up and put a better product out here in The

Bahamas. All the negative talk, and Mr Nair’s apology to the Prime Minister, something like this was needed to ensure there was a refocus back on The Bahamas and give BTC all it deserves.”

Tribune Business revealed earlier this week that BTC suffered a $13.6m revenue decline for the 2019 first-half, as its top-line dropped by 11.4 percent year-over-year to $106.1m compared to $119.7m the year before.

The top-line declines appear to have been driven by a further 9,300 net loss of mobile subscribers during the 2019 second quarter, which challenges the optimism expressed by Garfield “Garry” Sinclair, BTC’s chief executive, that market share declines were starting to “plateau” in his recent interview with Tribune Business.

However, Mr Evans, the immediate past president of the Bahamas Communications and Public Officers Union (BCPOU), said he anticipated the “levelling of the playing field” amid signs that the “haemorrhaging”

THE TRIBUNE

PM urged: ‘Take a knife and slice red tape apart’ FROM PAGE ONE

BERNARD EVANS of mobile subscribers to Aliv was now slowing.

Data provided by Liberty Latin America showed that a modest gain of 700 postpaid mobile subscribers was more than offset by the loss of another 10,000 prepaid customers during the three months to end-June 2019, but Mr Evans said the former represented the higher-yielding “market to go after”.

He suggested that postpaid subscriber margins were four times’ those for pre-paid consumers, who are more of a volume business. Mr Evans said revenues from the latter category, in particular, had declined due to the expansion of Wi-FI and What’s App use, and he called on BTC to also focus on its Internet bandwidth and TV product.

“I’m a little closer to the ground, and have some data that shows customer movement and whether BTC’s offering a better package than Aliv,” he added.

“The tide has settled and is beginning to pull back in the original direction of BTC.

“If URCA gave out its information you’d see people going back to BTC, maybe not in droves, but having had experience of Aliv they’re realising the grass is not greener on the other side of the fence.

BTC will remain strong with 200,000-plus subscribers and Aliv will probably not make 200,000.”

BTC had some 213,500 mobile subscribers as at June 30, split between 188,000 pre-paid customers and 25,500 post-paid subscribers. BTC’s subscriber numbers showed virtually no positive improvement elsewhere. Customer numbers excluding mobile fell by 2,900 during the 2019 second quarter, with TV/ video and Internet subscribers declining by 500 apiece and fixed-line telephone customers down by 1,900.

While BTC’s infrastructure passes some 128,900 Bahamian homes, it had just 6,100 TV/video and 25,700 Internet customers at end-June 2019. Telephone customers totalled 44,400, bringing BTC’s nonmobile revenue generating units to 76,200.

general election unless the government makes good on addressing his concerns and improving the ease of doing business, Mr Smith said businesses “hitting their head against a brick wall” were fully entitled to move elsewhere.

“I am a Bahamian citizen; I hold no other passport,” Mr Smith told Tribune Business. “I want to do everything possible in The Bahamas for the benefit of all of us who are living here.

I don’t criticise the government or cause alarm just to be negative. I do it out of a sense of frustration, as a Bahamian citizen, as someone who thinks, and as someone who knows, it can be better.

“For some reason, and I don’t know why, the government bureaucracy seems to have held the Cabinet ministers hostage with red tape. When I speak to Cabinet ministers about these challenges they are experiencing themselves, either personally or through their friends and family, they lament the difficulty in doing business and they are pulling their hair out.

“I call on the prime minister to take a very sharp knife and slice through the red tape quickly and effectively, because otherwise we will see people not coming to The Bahamas, and we will seen a reduction in business initiatives and the closure of businesses,” Mr Smith continued.

“Money goes where it can make money. It doesn’t have to fight to stay in The Bahamas, and when the struggles and challenges become too much it simply says goodbye. That has been the regrettable fate of The Bahamas for many decades where red tape, lack of response, government negligence and ignorance, and sometimes obstinance and arrogance, has cost opportunities for Bahamians who need a job.”

One such example was the loss of the captive insurance industry, a sector in which The Bahamas was a market leader, to Bermuda in the late 1960s and early 1970s following changes in this nation’s regulatory regime. This country has not won that business back ever since.

Mr Smith, who last month said he “would not advise anybody to do business in The Bahamas right now” because of the “strangulation” caused by excessive red tape and client due diligence, yesterday said the advertisement

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published by Compass Point’s owner - together with the e-mails and letters he had received in response - showed “everyone is pulling their hair out”.

“I’m available to help the government, and want to see The Bahamas succeed, but I’m not going to stop criticising,” he added.

“People have criticised me for criticising my own party who I helped to get in. I want to help my political party to do better so they can win the next election and continue in office to create a better Bahamas.

“I urge everyone else to raise the alarm domestically and internationally.

That seems to be the only way the government finally reacts and makes changes.

If someone cannot do business here, frankly they should close shop and go somewhere else. No one likes to be hitting their head against a brick wall while their hands are tied behind their back.”

Enacting major reforms to facilitate the smooth conduct of commerce by removing unnecessary bureaucracy and “red tape”, thereby improving The Bahamas’ 119th ranking in the annual World Bank standings, was a major thrust of the FNM government’s election campaign and appeal to the private sector.

It has already touted several achievements, including a reduction in business licence processing time to 48 hours and the introduction of provisional licences. The Delivery Unit in the Prime Minister’s Office said the time for approving and renewing business licences has been reduced by 37 percent and 77 percent respectively.

The Unit’s annual report also hailed a 44 percent reduction in the time taken to register a property conveyance, along with a 12 percent cut to the time taken to obtain construction permits. The latter, though, was challenged

by Gustavus Ferguson, the Institute of Bahamian Architects (IBA) president, who said he knew no one who obtained a building permit in less than six months.

Despite the professed improvements, and progress in some areas that should be built upon by the government’s digitisation reform roll-out, the evidence to-date still suggests that not enough persons on the ground are feeling the benefits.

The reform drive also appears to have eased in recent months. Lynn Holowesko, chair of the government-appointed ease of doing business committee, told a recent accountants’ conference that it was disappointed more of its recommendations were not incorporated into the 2018-2019 budget.

THE TRIBUNE

Friday, August 9, 2019, PAGE 3

Top Works officials in ‘resignation’ bust-up

By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net TWO senior Ministry of Works officials were yesterday embroiled in an extraordinary bust-up that saw one publicly call for the other’s resignation - a demand that was quickly dismissed.

Melanie Roach, director of works, brushed aside the calls by Omar Archer, registrar of contractors, telling Tribune Business: “I have the people’s work to do.”

Mr Archer, formerly a controversial political activist, could not be reached

by Tribune Business for further comment after he accused Ms Roach of giving preferential treatment to certain unnamed contractors.

He added that he “cannot stand back as registrar and allow this woman to continue to act in this capacity that is detrimental.... The time has come for Ms

OMAR ARCHER Roach to literally be fired from public works”.

Mr Archer claimed that if this did not occur, the Free National Movement would lose the next general election. Ms Roach, though, vehemently denied his claims and said she had no authority over the selection of contractors for government work. She was also backed by Desmond

MELANIE ROACH

Bannister, minister of works.

“I don’t pay attention to what’s out there on social media,” Ms Roach said. “I don’t want to know what he said, and I’m not interested in what he said. The only response I had is I have been in the Ministry of Works for 28 years and I have never heard such a thing.

“Never once has my integrity been called into question. I have never had anybody say anything to me like that. I am a busy woman and I have the people’s work to do.”

Mr Archer’s comments hint at a power struggle behind the scenes at the Ministry of Works, and an attempt to force Ms Roach out. His appointment as

registrar of contractors coincided with allegations

by Leonard Sands that Mr Archer had demanded his resignation as Bahamian Contractors Association (BCA) president.

Asked by Tribune Business who had told the BCA Board he needed to be removed, Mr Sands replied: “It is Omar Archer, a political hack. He had no prior

idea or knowledge of the BCA beforehand, didn’t know anything about the construction industry or the Act at all.

“He’s going on the last 30 days of knowledge of being in the job, and determined the BCA president must be removed. It’s very dangerous, unprecedented, the way he sought to have a president removed.

“The communication the Board had with him was: Don’t call me again until you have his resignation in hand. That’s dictating.

The last communication he made was: If it’s not received by 12pm today [yesterday], he will communicate with the press that the construction industry will move forward without the BCA’s contribution.

Mr Archer at the time denied Mr Sands’s claims of government/political interference, saying he had no influence over the BCA’s internal workings.

“That’s news to me,” he said of the resignation.

BPL CRISIS: WHAT ELSE CAN WE SAY? BAHAMAS AMONG NOMINATED BUTTERFIELD TRUST SUBSIDIARIES FROM PAGE ONE

THE Bahamas is among the jurisdictions where Butterfield has been shortlisted in the Citywealth International Finance Centre (IFC) Awards 2020.

The bank has been nominated for Trust Company of the Year in four categories: Switzerland; Hong Kong and Singapore; The Bahamas, Bermuda and Cayman; and Guernsey.

Paul Hodgson, managing director of Butterfield Trust (Guernsey), has received

an individual shortlisting for trustee of the year – Channel Islands & Isle of Man. Butterfield has also received a nomination for Private Bank of the Year – Channel Islands and Isle of Man. The Citywealth IFC awards highlight excellence and strong performances among advisers and managers in the private wealth sector.

Michael Collins, Butterfield’s chairman and chief

LEGAL NOTICE

Science Parks Development Limited Company No. 649859 (In Voluntary Liquidation) NOTICE is hereby given pursuant to Section 204 (1)(b) of the BVI Business Companies Act, 2004 that Science Parks Development Limited is in voluntary l iquidation. The voluntary liquidation commenced on 1st August, 2019 and DR. CHRISTIAN GEISSELMANN of Landstrasse 33, 9490 Vaduz, Principality of Liechtenstein, has been appointed as the Sole Liquidator.

Dated this 2nd day of August, 2019 Sgd. DR. CHRISTIAN GEISSELMANN Voluntary Liquidator

executive, said: “It is gratifying to, once again, have Butterfield businesses and professionals recognised by Citywealth through shortlistings in their prestigious International Financial Centre awards.

“These nominations reflect Butterfield’s reputation for expertise and the respect our teams have earned in the industry in the provision of bespoke banking and trust services for international clients.”

“Generally speaking there’s still a bit of concern,” the chamber chief told this newspaper. “For the most part they’ve been trying to do this load shedding in the evening so they mitigate against the vast majority of businesses being impacted, but they’re still being affected.

“Unless there’s a reasonable solution found to this, which I’m sure they’re working on, the mood is going to continue to be cautious and unnerved. It’s something we’re going to have to live through until it’s resolved.

“We all hope for a more speedy resolution, and give them credit for working on it, but there’s not much else we can say. People have already expressed their frustration from a business and consumer standpoint.

What more can we say other than hope a resolution is in sight. We’ll all be beneficiaries in that.”

All signs, though, indicate that BPL’s generation woes will continue throughout the summer months into the fall and, possibly, winter 2019 until its $95m investment in 132 megawatts (MW) of new Warstila turbines comes online.

But even that has encountered delays after BPL had to repour the concrete floor at the Clifton Pier power plant station that will house the new generation units, which will ultimately be rolled into the new multifuel power plant to be financed, constructed and operated by Shell North America.

Meanwhile, Mr Beckles said the private sector’s attitude was focused more on achieving better energy solutions than having suffered damaged confidence

LEGAL NOTICE

NOTICE CINETA LIMITED In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, CINETA LIMITED is in dissolution as of August 7, 2019 International Liquidator Services Inc. situated at 3rd Floor Whitfield Tower, 4792Coney Drive, Belize City, Belize is the Liquidator.

LIQUIDATOR ______________________

JEFFREY BECKLES as a result of the frequent power outages.

“I don’t think it’s one of confidence; it’s more finding a solution and one where business owners hope there is a reasonable conclusion,” he added. “We’re hopeful a solution is found sooner

rather than later.

“It’s good to know they’re trying to do as much load shedding in the evening as they can. Not everyone is free from outages, but at least consideration is being given to keeping the bus9ness community on at a time when they do most of their business.”

Mr Beckles conceded that the downside was the power outages experienced

by New Providence’s residential areas at the same time. “What can we do?’ he reiterated. “We can only hope that a solution is in sight and can be sooner rather than later.

“Obviously everybody would love to see us make progress in energy generation and consistency in delivery whether for businesses or consumers. I don’t think anyone wants to see us in this state much longer.”

LEGAL NOTICE

NOTICE NEW ERA GENERAL INVESTMENTS INC. In Voluntary Liquidation Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, NEW ERA GENERAL INVESTMENTS INC.is in dissolution as of August 6, 2019.

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

LIQUIDATOR ______________________ LEGAL NOTICE

PAPILLON UNITED S.A. Company No. 1783917 (In Voluntary Liquidation) NOTICE is hereby given pursuant to Section 204 (1)(b) of the BVI Business Companies Act, 2004 that PAPILLON UNITED S.A. is in voluntary liquidation. The voluntary liquidation commenced on 26th July 2019 and CHRISTOPH HUBER of Kirchstrasse 1, 9490 Vaduz, Principality of Liechtenstein has been appointed as the Sole Liquidator.

Dated this 30th day of July 2019 Sgd. CHRISTOPH HUBER Voluntary Liquidator

PAGE 4, Friday, August 9, 2019

THE TRIBUNE

FROM PAGE ONE and many of our chamber members on Abaco and the Cays. The feedback has been fairly robust.”

K Peter Turnquest, deputy prime minister, in a statement issued to Tribune Business last night said all parties - Customs, brokers and the private sector - had “to raise their standard” in moving away from an “antiquated” customs system responsible for major revenue losses and leakages.

While acknowledging that the ESW’s arrival had created “a learning curve” for all involved with the importation of goods into The Bahamas, Mr Turnquest said the experience on less populated Family Islands showed the transition would “smooth out” once everyone became familiar with the new system.

“With the transition to the new system, there is no denying that everyone has to raise their standard of operations, and that means the Department of Customs and our business stakeholders,” said Mr Turnquest.

“We are transitioning from an antiquated system that had ineffective controls to a new system that follows international best practices and requires a higher level of compliance. It requires more detailed information from businesses so we can have more accurate records and properly account for government revenue. With every new system there is a learning curve, and the new customs portal is no different.”

Describing the ESW as one element in a “major modernisation effort” designed to bring customs on to an online platform, the deputy prime minister added: “The weaknesses in the old system, quite frankly, are responsible for much of the leakage we see in government revenue, so we are committed to working with our stakeholders to make this work.

DPM K PETER TURNQUEST

Business slams 500% Customs burden rise “Our experience in the Family Islands, as in Nassau with air cargo operators, has shown that once businesses become familiar with the new system and accustomed to the online process, operations smooth out.”

Mr Turnquest continued: “That being said, I am pleased to see customs has been proactive in responding to the feedback provided by businesses and is engaging business stakeholders directly.

“I know they met with

LEGAL NOTICE

NOTICE ENROSIA MANAGEMENT LTD (Voluntary Liquidation)

Notice is hereby given that, in accordance with Section 138 (4) of The International Business Companies Act 2000 the above-named Company is in dissolution, which commenced on the 2nd day of August, 2019. The Liquidator is Kim Thompson of Nassau Bahamas.

Kim Thompson (Liquidator)

The Bahamas Chamber of Commerce on Wednesday and have been in regular contact with the Abaco Chamber of Commerce ever since their specific concerns were brought to the forefront. This is a partnership and we will work closely with businesses to address their individual and collective needs when it comes to transitioning to the new system.”

Mr Hutton, meanwhile, said the major concern was the extra workload associated with clearing imported goods through the ESW. “It’s the added workload that is causing the delays and added expense,” he explained.

“There are still significant delays clearing goods, and there are issues still yet to be dealt with properly.

The biggest issue is that the actual workload in clearing goods has increased between 400-500 percent.”

The chamber president

continued: “It’s definitely affecting the clearance of goods out of the port and, based upon how much extra time and work it’s taking to do these entries on the ESW system, I can foresee that the cost of clearing goods is definitely going to increase and that’s going to increase the cost of living in Abaco. An entry that would normally take three hours is now taking a dayand-a-half. An entry that used to cover one page on a C13 now covers 15 pages or more.”

Lance Pinder, operations manager at Abaco Big Bird, told Tribune Business: “The business community is very upset. Brokers are working until midnight. We do our own brokerage at the farm so we know. It’s really time consuming and unclear.

It was put into effect with almost no warning.

“I have talked with other business people and we expect it will raise prices

PUBLIC NOTICE

around five percent. People are having to hire more staff. People in Green Turtle Cay are having issues because their stuff can’t be cleared in time to catch the weekly mailboat, so it’s stuck in Marsh Harbour for a week. It’s really putting a mental and physical strain on people here in Abaco.”

Mr Pinder added: “We are in an extra mess here at the farm because duty free permits take four to six weeks or longer to process through agriculture, so we are left in a position of not being compliant with customs rules and timelines for clearing our items or pay duties on farm supplies.”

One broker told Tribune Business: “It’s an extremely cumbersome process. It’s not an issue of people being resistant to change. We understand what the ESW is all about.

I just don’t think it was rolled out properly. It’s

a major headache right now.”

The ESW platform is intended to reform and modernise the Customs Department’s operations, facilitating one point of access for brokers and businesses within The Bahamas through its connection to various government agencies.

However, fears are already being raised about how the transition on New Providence will go once the roll-out begins on the most-populated island.

One posting to The Tribune’s website yesterday said: “Y’all think it’s bad now? Wait till the new customs single window hits Arawak Cay in Nassau in September like it did Abaco two weeks ago.

People working night, day, weekends and holidays just to get freight off the dock.”

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL

INTENT TO CHANGE NAME BY DEED POLL

NOTICE

NOTICE

The Public is hereby advised that I,DANIEL VANDYKE AVROM THOMPSON of South Ocean Blvd, P.O.Box SP-60094 New Providence, Bahamas intend to change my name to AVROM THOMPSON. If there are any objections to this change of name by Deed Poll, you may write such objections to the Chief Passport Officer, P.O.Box N-742, Nassau, Bahamas no later than thirty (30) days after the date of publication of this notice.

NOTICE is hereby given that Sonette JoSeph of Poitier Ave Chippingham Nassau, Bahamas. is applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/ naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 9th day of August, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

The Public is hereby advised that I, SHAWNIECE REBECCAH ALEXIS GIBSON of South Beach, New Providence, Bahamas intend to change my name to SHAWNIECE REBECCAH ALEXIS FORBES. If there are any objections to this change of name by Deed Poll, you may write such objections to the Chief Passport Officer, P.O.Box N-742, Nassau, Bahamas no later than thirty (30) days after the date of publication of this notice.

NOTICE is hereby given that ADNER ARCHANGE of Soldier Road Nassau, Bahamas. is applying to the Minister responsible for Nationality and Citizenship, for Registration Naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 9th day of August, 2019 to the Minister responsible for Nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

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THE TRIBUNE

Friday, August 9, 2019, PAGE 5

Fidelity pledges no ‘false euphoria’ on planned stock split FROM PAGE ONE RoyalFidelity Merchant Bank & Trust.

Mr Bowe said the plan, which was discussed with Fidelity Bank (Bahamas) shareholders at last week’s annual general meeting (AGM), was likely to take the form of a ‘three-forone’ stock split based on the bank’s current $15.45 per share price.

This means that existing shareholders would receive two additional shares for each current one they hold, reducing the share price to around $5.15 per share based on current market values.

Tribune Business understands that several Fidelity Bank (Bahamas) shareholders have been pushing for a stock split to occur for some time, and Mr Bowe said the bank - while focused on its underlying profitability and investor returns - was willing to accommodate them.

“What we disclosed was we had actually considered this a year and some ago,” he said of the AGM stock split discussions. “We had number of transactions taking place with Fidelity Bank (Bahamas) and its divestiture of RoyalFidelity, and we also had some transactions taking place in Cayman. It was a distraction, a stock split, so we deferred it.

“When it was raised at the AGM we said it’s coming to the end of the transactions, so we can look further at administrative tools to perform a stock split. There’s s number of steps and processes that have to be taken.

“It’s highly unlikely to take place before the beginning of next year,” Mr Bowe continued, “as we have RoyalFidelity to close before the end of this quarter or early fourth quarter.

We have an extraordinary dividend to deal with, and we have some plans in terms of the balance sheet and financing, and are looking at the end of this year to clean that up.

“We’ll look at a stock split in the first quarter of next year. It would be based on the share price at the time. If it stands at the $15.45-$15.47 it was at last week you’re looking at a three-for-one split on the basis of getting us into the $4-$6 per share price range.”

GOWON BOWE Mr

Bowe’s reference to an “extraordinary dividend” is the $7.5m one-time gain that Fidelity Bank (Bahamas) anticipates to earn from the sale of its RoyalFidelity equity interest to a management-led buyout. Those funds, to be received from a deal that is still awaiting regulatory approval in multiple jurisdictions besides The Bahamas, are due to be paid out in their entirety before year-end to Fidelity Bank (Bahamas) shareholders.

Stock splits are nothing new to the Bahamian capital markets, with Commonwealth Bank, Cable Bahamas and FOCOL Holdings all BISX-listed companies that previously implemented this strategy. The latter two both used the same “three-forone” split that Fidelity Bank (Bahamas) is mulling.

They are typically done to make a stock in demand more affordable to investors, as well as broadening liquidity, boosting trading volumes and expanding the investor base. Sir Franklyn Wilson, FOCOL Holdings’ chairman, said his company’s 2017 move was designed to make the stock more accessible to retail investors who were potentially intimidated by the high price.

Mr Bowe, though, yesterday expressed scepticism over some of the perceived benefits created by stock splits.

Suggesting that there were “misconceptions” over the perceived advantages, he explained that while the share price was reduced there was no change in the value of a shareholder’s investment.

“I think it is more for persons who say they have a lower investment threshold and need a certain amount of shares,”

Mr Bowe told Tribune Business. “It’s in effect a sentimental move that says when the stock achieves a certain price level there’s a mental block in terms of value for the price. It’s really just a call for shares; it doesn’t change the value; it doesn’t change the underlying fundamentals.

“But we live in the real world, and as a public company have to take this into consideration. If there’s increasing requests to consider it [a stock split], management will do so.

Ultimately there’s a belief that it increases liquidity in the shares, but personally in reality I don’t think a stock split actually does that.”

Mr Bowe added that Fidelity Bank (Bahamas) Board and management were very conscious that other companies’ stock splits had caused an immediate surge in the share price due to the belief that it was cheaper, only for it to fall back when shareholders realised there had been no change in the underlying profitability and prospects of the business.

Revealing that the bank was keen to avoid a repeat, he explained: “Previous stock splits created euphoria where the share price increased substantially only to come down in three to four months’ time as the increase was not based on fundamentals; it was based on excitement.

“We don’t want to create that type of false exuberance. We want to make sure the market doesn’t overreact and build up value not based on fundamentals.

We are mindful as a financial institution, and with a management and Board that are former accountants and auditors, that it’s done in very modest fashion and we don’t create the false impression of a change in value as a result of the stock split.

“It’s more heeding these requests and, if they don’t contradict with our fiduciary responsibilities, we have no objection to doing so. Earnings per share, return on equity do not change because of a stock split. Ultimately, our performance is what we’re focused on.”

Fidelity Bank (Bahamas) is 75 percent majority-owned by its parent, Fidelity Bank & Trust International.

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PUBLIC NOTICE TAKE NOTICE THAT pursuant to the Conveyance dated 3rd November 1998 between ANCO Trust Corporation Ltd. of the first part, CAPS A.A. trust Co. Ltd. of the second part and Nihon Landholdings Limited of the third part, the said Nihon Landholdings Limited is the sole legal and beneficial owner of the property formerly owned by Isiah Fisher and which is described in the said Conveyance as Parcel 14 having such position shape boundaries, marks and dimensions as shown in the Plan below and recorded in Grant Book B-1 at page 19 at the Department of Lands & Survey.

PAGE 6, Friday, August 9, 2019

THE TRIBUNE

China imports from US fall 19% in July amid trade war BEIJING Associated Press CHINESE imports of American goods plunged in July as a tariff war with Washington intensified.

Imports of US goods fell 19% from a year earlier to $10.9bn, customs data showed yesterday, though that was an improvement over June’s 31.4% fall.

Exports to the United States declined 6.5% to $38.8bn.

Beijing has retaliated for US tariff hikes in a dispute over trade and technology by imposing its own punitive duties and suspending purchases of American soybeans and other goods.

The latest data follow President Donald Trump’s threat last week to extend punitive duties to an additional $300bn of Chinese imports.

China’s total exports rose 3.3% over a year earlier to $221.5bn, rebounding from June’s 1.3% contraction amid weakening global consumer demand. Imports shrank 5.6% to $176.4bn, an improvement over the previous month’s 7.3% decline.

“Shipments in and out of China held up better than expected last month, but a sustained turnaround still looks unlikely in the near-term,” said Julian Evans-Pritchard of Capital Economics in a report.

China’s central bank rattled global financial markets this week by allowing its yuan to weaken to an 11-year low against the US dollar. That would make Chinese goods less expensive abroad but the currency’s 5% decline this year against the dollar is too small to completely offset US tariffs of 25% percent.

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TUGBOATS manuever a container ship at a port in Qingdao in eastern China’s Shandong province. Chinese imports of American goods plunged in July as a tariff war with Washington intensified.

China’s global trade surplus widened by 60% over a year ago to $45.1bn.

The surplus with the United States was little changed but stood at $28bn, a level that might fuel American pressure for Chinese concessions in trade talks.

Imports of US goods were down 28.3% in the first seven months of 2019 compared with a year earlier, according to the General Administration of Customs of China.

Washington and Beijing are locked in an increasingly costly tariff war over US complaints China steals or pressures companies to hand over technology. The United States and other Chinese trading partners complain Beijing’s plans for government-led

development of global competitors in robotics and other fields violates its market-opening commitments.

Trade has weakened since Trump started hiking tariffs on Chinese goods last June.

Beijing retaliated with its own penalties and ordered importers to find non-US suppliers.

The fight has battered exporters on both sides and disrupted trade in goods from soybeans to medical equipment.

Trump and President Xi Jinping agreed in June to resume negotiations but talks last week in Shanghai ended with no sign of agreement. Envoys are due to meet again next month.

Economists warn the truce is fragile because the two sides still are separated by the disagreements

that caused talks to break down in May. Trade weakness has added to pressure on Xi’s government to shore up economic growth and avoid politically dangerous job losses.

Beijing agreed last year to narrow its trade surplus with the United States by buying more American natural gas and other exports but scrapped that plan after one of Trump’s tariff hikes. The Chinese government said in June that any purchases must be at a reasonable level, suggested Beijing was becoming more cautious about making big commitments before it sees what Washington offers in exchange.

Chinese leaders express confidence their economy can survive the tariff fight.

Importers of American soybeans and other goods are trying to switch to Brazilian, Russian and other sources, but supplies are limited and costs are higher.

Farmers who use soybeans as animal feed have been told to switch to other grains.

While American exporters have been hit hardest, Chinese industries including electronics that Beijing sees as its economic future have suffered double-digit declines in sales to the United States, their biggest market.

Economists say even if a settlement with the US is reached, China’s exports this year will be lackluster due to weak global demand, putting pressure on manufacturers that support millions of jobs.

To advertise in The Tribune, contact 502-2394

THE TRIBUNE

Friday, August 9, 2019, PAGE 7

PAGE 8, Friday, August 9, 2019

THE TRIBUNE

MARKET REPORT www.bisxbahamas.com

(242) 323-2330

THURSDAY, 8 AUGUST 2019

(242) 323-2320

ALL SHARE INDEX: CLOSE: 2,179.93 | CHG: 0.13 | %CHG: 0.01 | YTD: 70.48 | YTD%: 3.34 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.00 5.92 2.60 2.00 3.00 11.75 6.17 4.64 12.50 2.74 2.41 10.00 7.10 15.60 9.00 3.75 14.00

52WK LOW 3.50 19.17 4.90 4.02 1.00 0.19 2.00 9.17 6.13 3.54 8.53 2.35 1.75 7.51 6.10 11.25 6.20 3.01 13.00

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

SYMBOL AML APD BPF BWL BOB BBL CAB CIB CHL CBL CBB CWCB DHS EMAB FAM FBB FIN FCL JSJ

1000.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

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

CAB6 CAB8 CAB9 CAB10 CHLA FBBA FCLB

PREFERENCE SHARES

1.00 10.00 1.00

1.00 10.00 1.00

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00

52WK LOW 100.00

115.92 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

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

SECURITY Fidelity Bank Note 22 (Series B) +

SYMBOL FBB22

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

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

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

LAST CLOSE 4.19 17.43 6.00 5.92 2.46 1.80 2.18 11.05 6.16 4.11 9.02 2.79 2.40 10.16 7.00 15.45 9.00 3.41 14.00

CLOSE 4.19 17.43 6.00 5.92 2.46 1.80 2.18 11.05 6.16 4.11 9.02 2.81 2.40 10.31 7.00 15.45 9.00 3.41 14.00

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.02 0.00 0.15 0.00 0.00 0.00 0.00 0.00

1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00

1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00

LAST SALE 100.00

CLOSE 100.00

CHANGE 0.00

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

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

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

VOLUME

5,000 200 1,000

VOLUME

EPS$ 0.240 0.932 1.760 0.323 0.098 0.000 -0.438 0.708 0.480 0.184 0.627 0.102 0.467 0.000 0.611 0.743 0.939 0.203 0.631

DIV$ 0.160 1.260 0.000 0.250 0.000 0.020 0.000 0.720 0.220 0.120 0.000 0.068 0.060 0.328 0.240 0.540 0.200 0.120 0.600

P/E 17.5 18.7 N/M 18.3 N/M N/M -5.0 15.6 12.8 22.3 14.4 27.5 5.1 N/M 11.5 20.8 9.6 16.8 22.2

YIELD 3.82% 7.23% 0.00% 4.22% 0.00% 1.11% 0.00% 6.52% 3.57% 2.92% 0.00% 2.42% 2.50% 3.18% 3.43% 3.50% 2.22% 3.52% 4.29%

0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.000 0.000 0.000 0.000 0.000 0.000 0.000

0.0 0.0 0.0 0.0 0.0 0.0 0.0

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

INTEREST Prime + 1.75%

MATURITY 19-Oct-2022

6.95% 4.00% 4.25% 4.25% 4.50% 4.50% 6.25% 6.25% 4.00% 4.25% 4.50% 6.25% 3.50% 3.88% 4.25%

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-2020 26-Jun-2022 26-Jun-2045 15-Oct-2018 15-Oct-2020 15-Oct-2022

MUTUAL FUNDS 52WK HI 2.25 4.29 2.06 191.61 158.55 1.62 1.76 1.70 1.15 7.72 8.97 6.77 11.25 12.14 10.63 10.00 8.69 11.79

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.56 1.68 1.64 1.08 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

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

NAV 2.25 4.29 2.06 191.61 158.33 1.62 1.76 1.70 1.15 7.72 8.97 6.77 11.25 12.14 10.57 9.92 8.68 11.38

YTD%12 1.86% 1.25% 1.35% 3.85% 7.12% 1.57% 0.99% 1.32% 3.22% 3.25% 3.82% 2.59% 8.44% 3.87% 1.84% -0.71% 7.40% 10.20%

MTH% 3.97% 4.23% 2.73% 6.28% 2.08% 4.58% 4.25% 4.12% 5.64% 6.65% 8.36% 4.81% 0.78% 4.17% 2.29% 0.16% 2.70% 1.30%

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

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

TO TRADE CALL: CFAL 242-502-7010 | ROYALFIDELITY 242-356-7764 | FG CAPITAL MARKETS 242-396-4000 | COLONIAL 242-502-7525 | LENO 242-396-3225 | BENCHMARK 242-326-7333

NAV Date 30-Jun-2019 30-Jun-2019 28-Jun-2019 30-Jun-2019 30-Jun-2019 30-Apr-2019 30-Apr-2019 30-Apr-2019 30-Apr-2019 30-Jun-2019 30-Jun-2019 30-Jun-2019 30-Jun-2019 30-Jun-2019 30-Jun-2019 30-Mar-2019 30-Mar-2019 30-Mar-2019

Uber posts biggest quarterly loss ever after stock payouts NEW YORK Associated Press UBER lost $5.24bn in the second quarter — its largest quarterly loss ever — after making huge stock-based payouts in the months following its initial public offering.

The ride-hailing giant said on Wednesday it paid $3.9bn in stock-based compensation and expenses during the quarter. It also paid $298m in stock and cash to drivers to show appreciation in connection with its IPO. The loss per share including those expenses totaled $4.72 while revenue jumped 14% to $3.17bn. Analysts surveyed by FactSet expected a loss of $2.03 per share on revenue of $3.31bn, on average, but those analysts typically exclude one-time expenses such as IPO-related costs.

Uber continued to spend heavily on sales and marketing, which includes costly promotions designed to attract riders and drivers.

Those expenses grew to $1.22bn, up 71% compared to last year. The cost of price wars and retaining drivers while competing with rivals such as Lyft has been a strain on its ability to turn a profit.

“We could push the company to break even if we wanted to, frankly, but I think what you will see from us is...lower losses going forward while at the same time we aggressively invest in new growth levers,” said Uber CEO Dara Khosrowshahi in a conference call with reporters. “But there’s no doubt in my mind that eventually the business will be a break even and profitable business.”

Khosrowshahi said he expects 2019 to be the company’s peak loss year and for the losses to be smaller over the next two years.

Khosrowshahi said he’s

confident in the scale of Uber’s ridesharing business and its technical capabilities.

He does not expect the Eats food delivery business to be profitable next year or the year after, but said “I think what we have is a great combination of a ride business that is going to turn more profitable over the next couple years, that will allow us to invest aggressively in the Eats business and also carry a bottom line that improves.”

Uber Technologies Inc.’s shares fell 6% in after-hours trading.

Uber saw double-digit revenue growth in the US, Europe, Middle East, Africa and Asia Pacific regions, but revenue fell 24% to $417m in Latin America.

Gross bookings, which is the total dollar value of rides and Uber Eats meals and the amount paid by freight shippers, reached $15.76bn, up 31% — or 37% in constant currency — compared with the same time last year.

The number of monthly active Uber Eats users grew more than 140% compared to last year, and more than 40% of new Eats customers had never used Uber’s platform before. The Eats business is booming in Japan, Khosrowshahi said.

Revenue for the Uber Eats service rose 72% to $595m, while ridesharing revenue grew just 2% to $2.35bn because of the one-time driver appreciation payments, the company said.

California lawmakers are pushing a bill to classify ridesharing drivers as employees. Khosrowshahi, on a conference call with investors, said he believes there’s a better path forward, where drivers could be given minimum earnings, benefits and a voice in decisions that affect their livelihood.