11142018 BUSINESS

business@tribunemedia.net

WEDNESDAY, NOVEMBER 14, 2018

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‘Overkill’: Govt hit over bank account demands

Organisation for Economic Co-Operation and Development (OECD) - the two entities he and fellow Cabinet ministers met with last week to update them on The Bahamas’ compliance with their anti-corporate tax evasion drive.

The 29 (soon to be 28) member EU, in particular, is demanding the elimination of “ring fencing”, or preferential tax regimes for non-resident entities and foreign investors, which are not offered to their Bahamian counterparts.

Many in the financial services industry have warned that The Bahamas needs

THE Water & Sewerage Corporation’s main supplier was warning of “immediate shortages” that could have “significant ramifications” for Baha Mar and the Government as early as July 2018.

Rick McTaggart, president and chief executive of Consolidated Water, warned the Corporation and two Cabinet ministers this summer that the BISX-listed company would be unable to supply the corporation unless the latter settled a debt that then stood at $14.632m.

Without resolution “in short order”, Mr McTaggart wrote in a July 23, 2018, letter that Consolidated Water would be unable to pay the fuel and electricity bills for its Blue Hills and Windsor reverse osmosis plants resulting in their shut down.

The two plants, which produce 12m gallons of water per day, supply the bulk of the corporation’s New Providence water supply - including the water provided to the $4.2bn Baha Mar resort - and “any cessation of production will result in immediate shortages of water”.

Mr McTaggart warned that the “reputation” of both the corporation and Bahamian government was at stake, suggesting that Consolidated Water may have little choice but to disclose the debts owed to it in its financial results filings with the Securities & Exchange Commission (SEC) as early as August 2018.

The BISX-listed water supplier made good on its threat three months later in its November 2018 results filings, the contents of which

SEE PAGE 5

SEE PAGE 5

* Companies ‘scratch heads’ over business licence regs * Asking: ‘When’s it going to end and business get easier?’ * Some compare information sought to ‘a police state’ statements that will confirm their prior year earnings.

For those businesses earning between zero to $10m, the regulations stipulate that “a financial statement” confirming their turnover must be supplied to the Department of Inland Revenue (DIR).

This, though, must also be accompanied by “a certified bank statement” covering each bank account held in the business’s name and any other accounts “that are used in transactions” on its behalf.

Mr Maura said that while

legitimate businesses appreciated the Government’s efforts to crack down on tax dodgers and cheats, the enhanced business licence reporting requirements threatened to further overburden the private sector and Department of Inland Revenue with unnecessary bureaucracy.

“For those that work very hard to be compliant and operate under the legal framework, we expect the Government to ensure as best as possible that

SEE PAGE 4

‘Concessions necessary’ in meeting EU demands

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

SEE PAGE 4

By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net AROUND 50 percent of potential Grand Lucayan buyers have gained access to the “data room” holding details on the property, the Minister of Tourism revealed yesterday.

Dionisio D’Aguilar said he remains “hopeful” a buyer will found for the island’s last “mega resort” property, while admitting that “Freeport continues to be very vexing for us”.

Mr D’Aguilar, while addressing a Bahamas Institute of Chartered

Accountants (BICA) seminar, said: “I think we got 22 people who expressed an interest. I think we got maybe ten or 11 that filled out the non-disclosure form and have gotten access to the data room.

“There seems to be a lot of interest. I know Grand Bahamians are tried of hearing that, so when the fat lady sings and the money is in the bank I will say it’s done.

Until then I remain hopeful.

My gut is telling me there is interest.”

The Grand Lucayan resort features three properties:

SEE PAGE 3

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THE Bahamas may have “underestimated” cruise passenger spend in Nassau and Freeport, a Cabinet Minister admitted yesterday, following reports of a 59 percent increase since 2015.

Dionisio D’Aguilar, pictured, minister of tourism, told Tribune Business that an economic impact study commissioned by the Florida-Caribbean Cruise Association (FCCA) had reinforced his ministry’s

belief that visitors were “spending a bit more” than they are letting on in “exit surveys”.

“We typically allow between $70-$80 for destination spend by cruise passengers, and they’re at $132,” he said of the FCCA study. “We are of the belief, and yet to confirm it, but maybe this report takes us down the journey of confirming that they are spending a bit more.”

While the Ministry of Tourism had calculated its

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Bahamas ‘underestimated’ cruise visitors spending

BRIAN MOREE

$100 J OHN

KP TURNQUEST

whether there were provisions that protected International Business Companies (IBCs) and other non-resident entities already enjoying such tax breaks, Mr Turnquest replied: “Yes, but concessions were necessary to meet the standard set by the international bodies.”

He did not detail the “concessions” or “international bodies” he was referring to, although these are likely to be the European Union (EU) and

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THE Deputy Prime Minister yesterday revealed that unspecified “concessions were necessary” to meet European and OECD demands for The Bahamas to end so-called “ring fencing”.

KP Turnquest, in messaged replies to Tribune Business’s questions, said the Government has allowed for the “grand fathering in” of foreign investors already enjoying preferential tax incentives in draft legislation that eliminates such advantages.

Asked by this newspaper

* DPM notes on ‘ring fencing grandfather’ * ‘Approach agreed’ on permanent residency * QC says ‘details’ will be critical for industry

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By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

1 CASH GRAB DRAW

MICHAEL MAURA

His concerns were expressed amid growing unease over the increased demands for financial information in the amended business licence regulations, which were brought into effect on May 30 this year but are only now attracting heightened scrutiny as the 2019 payment deadline approaches.

The Government, in a bid to ensure it collects every due cent in business licence fee revenue, wants companies with an annual turnover of $10m or more to provide audited financial

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

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HE Bahamian private sector yesterday slammed business licence-related demands for their bank account details as “overkill”, and asked: “When’s it going to be easier to do business?”

Michael Maura, the Bahamas Chamber of Commerce and Employers Confederation’s (BCCEC) chairman, told Tribune Business that the new business licence regulations had left many businesses “scratching their heads and wondering what’s next” in terms of the “red tape” they must overcome.

Nassau water ‘shortage’ alert sounded from July

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By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

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PAGE 2, Wednesday, November 14, 2018

THE TRIBUNE

FROM left: BMA chairman, Denise Lewis-Johnson; deputy prime minister, K Peter Turnquest; minister of transport and local government, Renward Wells; and acting managing director and BMA chief executive, Captain Dwain Hutchinson during the ribbon cutting ceremony.

Bahamas targets Japan with maritime presence THE Bahamas Maritime Authority (BMA) is aiming to make further inroads into the Japanese shipping market through the opening of its new office in the heart of Tokyo’s Minato district.

KP Turnquest, the deputy prime minister, was joined by Renward Wells, minister of transport and local government; Cora Bain-Colebrooke, the ministry’s permanent secretary, and both the

To advertise in The Tribune, contact 502-2394

BMA’s chairman and deputy chairman, Denise Lewis-Johnson and Peter John Goulandris, for the opening.

Captain Dwain Hutchinson, the BMA’s acting managing director and chief executive, said: “As the second largest ship owning country of dead-weight tonnage, we recognise the strategic importance and integral role Japan plays in the global maritime sector.

“This dedicated office will allow us to enhance our service delivery with exclusive BMA staff, who will continue to be supported by our regional classification societies and nautical inspectors. We look forward to strengthening our relationship with the Japanese maritime cluster through our Tokyo office.”

The Bahamas’ shipping registry already features more 1,500 ships, representing some 64

million gross tons, and this nation remains a nontargeted flag from a port state perspective within the Asia/Pacific region and Paris Memorandum of Understanding (MOU).

The Bahamas is also a US Coast Guard QUALSHIP 21 flag state and, as a most favoured nation (MFN) in relation to ships trading with Chinese ports, is beneficial for Japanese ship owners trading regionally and internationally.

MINNESOTA MAN TO PAY $140K FOR SNOOPING, INSIDER TRADING

profit from insider trading, according to regulators.

The Securities and Exchange Commission sued James Hengen for allegedly stealing information about two pending UnitedHealth acquisitions, The Star Tribune reported . The complaint alleged Hengen used the information to

make about $60,000 from buying and selling stocks, and to provide information to his brother and three co-workers, who used the pending deal information to buy shares.

Hengen has agreed to pay about $140,000 to resolve civil charges stemming from the allegations.

MINNEAPOLIS (AP) — A Minnesota man snooped in his wife’s work papers and used information about UnitedHealth Group’s upcoming acquisitions to

THE TRIBUNE

Wednesday, November 14, 2018, PAGE 3

‘Overwhelming’ response to Small Business Centre

By NATARIO MCKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

DAVINIA BLAIR

MORE than 1,500 persons have registered with the Small Business Development Centre (SBDC), its executive director said yesterday, describing the response as “overwhelming”.

Addressing the Bahamas Institute of Chartered Accountants (BICA) seminar, Davinia Blair, said: “We have 1,533 persons registered for the Small Business Development Centre. The response has

been overwhelming.”

She added that the Centre, branded as the Access Accelerator, serves as an incubator, offering advisory services to small and medium-sized enterprises (SMEs) as well as mentorship and monitoring of their progress.

“A lot of individuals are coming to just access credit but genuinely want to understand their business,” Ms Blair said. “We believe that the SME sector is the backbone of the Bahamian economy and it is showing up in the numbers.

“Ninety eight percent of

businesses registered in this country are SMEs, and they employ 47 percent of all the employees in the country.

Unfortunately, as a whole, they produce 20 percent of the turnover. As a whole the SMEs are a force to be reckoned with and we should support them.”

Ms Blair added that, todate, roughly six groups of about 15 individuals have graduated so far from the SBDC’s start-up course.

She said there are now plans to develop a database of small businesses.

With the Government committing $5m per annum

for the next five years to small business development, Ms Blair said: “What we are hoping to do with the first $5m is leverage it so that financial institutions, investment houses, private investors, some of the offshore and onshore companies have all started talking about how they could more support small business.

“At the end of the day that $5m will yield around $8m for small business development, and all of that will be invested before June 30. Come July 1, the clock resets.”

MINISTER SAYS TOURISM SPEND LEAK ‘PATHETIC’

By NATARIO MCKENZIE

Bahamas and go through Atlantis. I implore private sector companies to come up with ideas to engage these foreign visitors and get them to experience what is uniquely Bahamian.”

The minister said Bahamian businesses must figure out how to engage visitors and allow them to experience

Tribune Business Reporter

nmckenzie@tribunemedia.net THE MINISTER of tourism yesterday expressed dismay at what he described as a lack of creativity among Bahamian businesses in enhancing the visitor experience, slamming the tourism dollar leakage as “pathetic”.

Dionisio D’Aguilar, addressing the Bahamas Institute of Chartered Accountants (BICA) seminar, said: “Based on my own private sector experience I must say that I’m a little dismayed, and I say it all the time at how un-creative a lot of Bahamian businesses are in keeping our visitors excited about whatever it is they are offering.

“We have become a little lazy. It is inconceivable to me, the high level of cruise passengers that come to The

Memories, the 500-room Breaker’s Cay and Lighthouse Pointe. The hotel closed in October 2016 for repairs after it suffered damage from Hurricane Matthew. Lucayan Renewal Holdings, the Governmentowned special purpose vehicle (SPV), now owns the Freeport resort as the government seeks a buyer.

Mr D’Aguilar said increased airlift to the island is largely dependent on the Grand Lucayan’s revival.

“Grand Bahama suffers from a lack of scale. I asked my team what is the total amount of rooms we are

Development Corporation to assist - not financially - businesses with getting off the ground, tapping into the tourism industry and creating linkages. Eighty-five cents of every dollar we make is going out of the country. We haven’t improved that number and it’s pretty pathetic that we haven’t.”

NOTICE

IN THE ESTATE OF SIMEON HARRIS ROLLE, SR, late of Stapledon Gardens on the Island of New Providence, The Bahamas, deceased.

DIONISIO D’AGUILAR

‘Data room’ entry for 50% of Grand Lucayan buyers FROM PAGE ONE

what is uniquely Bahamian.

He lamented that many of this nation’s “best and brightest” are not returning home to create these businesses within the sector.

“These are the people we have to attract to come up with creative ideas and tap into these 6.4m visitors.

I have created a Tourism

trying to fill and, when you look at it, it’s 775 rooms there,” he revealed.

“That’s why Sunwing could only bring in 6,436 passengers. Their initial plan was to bring 40,000 passengers over the summer. The key is that the airlift has to be in conjunction with the Grand Lucayan being open, which is about 1,800 rooms.

“Freeport continues to be very vexing for us. It’s a vexing issue. You need someone to come into the Grand Lucayan, to put in a substantial investment, to redevelop that site and create a destination to go to. That’s what we are trying to do; find someone who will provide that.”

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Notice is hereby given that all persons having any claim or demands against the above named Estate are required to send their names, addresses and particulars of said demands or claims duly certified in writing to the undersigned on or before the 14th Day of November, A.D., 2018, and if required, to prove such debts or claims or in default, be excluded from any distribution having regard only to the proved debts or claims of which the Administrators shall then have notice.

And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the above mentioned date.

SIMEON H. ROLLE, JR., ANDREW ROLLE, JOAN ROLLE and PATSY R. WILSON Nassau, Bahamas Phone: (242)3240302 P.O.Box N-9831 Nassau, Bahamas

PAGE 4, Wednesday, November 14, 2018

THE TRIBUNE

‘OVERKILL’: GOVT HIT OVER BANK ACCOUNT DEMANDS Bahamas ‘underestimated’ cruise visitors spending FROM PAGE ONE

the business community is adhering to the law,” he told Tribune Business.

“The challenge we have, hearing from our business community, is that this is just another level of red tape to doing business in The Bahamas.

And, notwithstanding the admirable objectives of the Government, the Department of Inland Revenue has its own challenges in trying to keep up with the amount of red tape.”

Mr Maura said the Government’s main revenue collection agency was in danger of being over-burdened by extra responsibilities, given that the Business Licence regulations require it to inspect more documentation at exactly the same time as the National Health Insurance (NHI) Authority wants it to help “police” business compliance with contributions to the new healthcare scheme.

He added that this was likely to impair the Department of Inland Revenue’s efforts to treat the private sector as “partners”, and implement efficient tax payment and filing systems that facilitated Bahamian businesses.

“I believe the Department of Inland Revenue wants to do exactly that,” the Chamber chief said. “I don’t believe they show up to work every day to challenge business.

“Yet we have all these layers of red tape to ensure the private sector is paying, and paying what it’s supposed to be paying, but I wish the Government would have made an undertaking to ensure compliance with its own rules and objectives.

“It’s extremely frustrating to businesses. I think the business community, in many cases, are scratching their heads, wondering what’s next and when will it end. When will it actually be easier to do business?”

Pointing out that VAT filings had given the Government “a better view” into the level of commerce being conducted in The Bahamas, Mr Maura added: “Sometimes I feel like people are sitting around a table wondering what they can do now when they haven’t produced and effected an efficient process that actually encourages business.”

Others went further in their criticism of the bank account information demands. Rick Lowe, an executive with the Nassau

Institute think-tank, told Tribune Business: “That’s [bank account details] none of their business.

What is this? A police state?

“Come on. They just keep making it more and more difficult by piling on more regulations. If the odd person has committed an offence then punish them, but don’t make everyone suffer for what they might perceive is happening. There’s enough regulation already.”

Gowon Bowe, the Bahamas Institute of Chartered Accountants (BICA) president, told this newspaper that much of the information sought by the new Business Licence regulations “seems like overkill” given that the fee is based on just one item - a company’s annual turnover or top-line revenue.

He added that the use of different terms in the regulations, such as “audited financial statements” and “financial statement”, had created confusion given that some were not recognised or defined by International Financial Reporting Standards (IFRS).

BICA is in the midst of preparing a “position paper” on the regulations, with Mr Bowe revealing

FROM PAGE ONE

GOWON BOWE that the Department of Inland Revenue had admitted it should have consulted the accounting body first before moving ahead.

“The first thing is that when you look at tax systems around the world, audit is the highest level of attestation, and usually only begins when you believe there is an erroneous or fraudulent filing and you are investigating the business,” the BICA chief explained.

Yet the Business Licence regulations call for such a procedure to be applied to businesses with a $10m annual turnover or greater at the front-end, rather than after filing and payment has occurred, which Mr Bowe described as the global norm.

He added that “financial results” are not defined by IFRS standards, and said: “That’s the uncertainty or lack of clarity. Is that financial statements? Financial statements means balance sheets, income statements and cash flow statements.

“That’s a full set. Are you really meaning that?

That’s not required to support the information for a simple tax charged on a revenue basis. If there’s a desire to have assurance, is that threshold not too high? And do you have a right to that type of information [bank accounts] from a company when the tax is actually based on revenue? Is it getting information beyond what is necessary? That is a very confidential set of documents.”

Mr Bowe said small and medium-sized enterprises (SMEs) often used their owners’ bank accounts to conduct business, while loans, dividend payments and capital investments often went through the accounts of larger companies.

Such information is not required for Business Licence calculation and reporting, but the BICA president warned that under the regulations “that type of proprietary information will be made public by being filed with the Government” even though The Bahamas has no corporate or income taxes.

“The main thing is not to put businesses in a panic,” Mr Bowe told Tribune Business, with BICA and the Department of Inland Revenue now locked in “critical one-to-one discussions” to resolve the issue. The Prime Minister has also publicly acknowledged the concerns generated by the regulations.

$70-$80 per capita cruise passenger spend from surveying visitors as they returned to their ships, Mr D’Aguilar said it was likely that many “are not minded to disclose the nature of substantial purchases such as watches and other luxury goods.

The FCCA survey said the 59 percent jump in per capita cruise passenger spending between 2015 and 2018 was “heavily driven” by watches and jewellery, with the period also coinciding with the introduction of value-added tax (VAT) and the associated tax refund programme for visiting tourists.

That initiative, operated by Global Blue, may have captured data showing that cruise passenger spending in Nassau and Freeport is much higher than previously allowed for and helped to produce the FCCA study’s figures.

“Global Blue, the company the Ministry of Finance has contracted with to perform VAT refund, has been providing us with a lot more data on what people are spending,” Mr D’Aguilar said. “For them to give a refund they have to receive a receipt, and Global Blue has data on which company they’re spending it with and how much they’re spending.

“We are minded to think they’re spending a little more than the exit surveys reveal, but whether it’s $132 I don’t know.

We were underestimating the numbers, and its encouraging that they’re spending more than we thought.

“The numbers we were working with since I came to office was $70 per cruise passenger, which was the estimated spend. We felt that that number was kind of low just based on the VAT refunds people were claiming through Global Blue. We were seeing a lot of high-end items being purchased in the jurisdiction.

We felt that people were not revealing their actual spend in the Ministry of Tourism exit surveys so we could determine what their spend was.

“Along comes the Florida Caribbean Cruise Association (FCCA) and they say its $132.

I don’t know what they based that on; maybe they spoke to their passengers. Obviously it’s not a precise science.

You’re asking people to indicate what they spent and use that as a basis to formulate the number you would attach to every cruise passenger.”

Mr D’Aguilar said the Ministry of Tourism planned to “reach out” to the FCCA to understand the methodology behind its survey, and how it came to its findings.

Tribune Business revealed yesterday that the FCCA’s study showed cruise passenger spending in Nassau and Freeport soared by 59 percent over the past three years, making The Bahamas the third highest-yielding destination in the Caribbean.

Comparing 2015 results with those for this year, the report said: “The change in the average per passenger spend ranged from an increase of 59 percent in The Bahamas - heavily driven by watches and jewellery purchases - to a decrease of 26 percent in St Maarten.”

The FCCA report - produced by Business Research and Economic Advisors (BREA) - showed per capita spending rising from $82.83, a low to average sum in comparison to the rest of the Caribbean, to $131.95 just three years later - an almost $50 increase.

Only the Dominican Republic’s 32.9 percent spending growth rate over the same period came close to matching the runaway Bahamas, which now only lags St Maarten and the US Virgin Islands when it comes to per capita cruise passenger outlay in the Caribbean.

The increased per capita yield also resulted in a near one-third increase in total cruise passenger spending in Nassau and Freeport, with this sum said by the FCCA report to have grown from $243.5m in 2015 to $322.57m this year - a rise of almost $80m.

“The Bahamas was second of all Caribbean destinations with just nearly 2.9m onshore passenger and crew visits,” the report said. “With an average per passenger spend of $131.95, The Bahamas had the second highest total of passenger spending, $322.6m.

“The Bahamas also had the second highest level of total crew spending, $28.9m, and the highest level of cruise line spending ($54.2m). Combining all direct expenditures, the cruise sector generated $405.8m in expenditures.

These expenditures, in turn, generated an estimated 5,256 direct jobs paying $91.3m in direct wage income during the 2017-2018 cruise year.”

The FCCA report added that the cruise industry was estimated to support 9,004 direct and indirect jobs in The Bahamas, “paying wage income of $155.7m, with total wages being the highest among the 36 destinations.

“Thus, in The Bahamas, every $1m in direct cruise tourism expenditures generated 22 jobs throughout the island’s economy which paid an average annual wage of about US$17,300.”

LEGAL NOTICE

INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000) EMERALD TURTLE LIMITED In Voluntary liquidation “Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000). EMERALD TURTLE LIMITED, is in Dissolution.”

The date of commencement of dissolution is the 7th day of November, 2018.

Richard L. Broughton, No. 6 Bosham Close, Camperdown Heights P. O. Box SP 63801, Nassau, Bahamas Liquidator

THE TRIBUNE

Wednesday, November 14, 2018, PAGE 5

Nassau water ‘shortage’ alert sounded from July FROM PAGE ONE were exclusively revealed by Tribune Business last Friday.

Consolidated Water subsequently attempted to backtrack from its SEC filing, accusing Tribune Business of “misinterpreting” its results and producing an “inflammatory” report. However, Mr McTaggart’s letter validates this newspaper’s report as “bang on” in terms of the potential disruption to New Providence’s water supply unless its bills are paid in accordance with an agreed payment plan.

The letter, obtained by Tribune Business, warns that Consolidated Water’s Bahamian subsidiary is having to carry an “unsustainable burden” by financing renovations to the Windsor plant from its own resources at a time when its cash flow is impaired by the corporation’s failure to pay its bills in full and on time.

Mr McTaggart, writing to the corporation’s executive chairman, Adrian Gibson, said the company would have “difficulty meeting payroll” for its 20 employees “within weeks” unless the situation was rectified.

The letter, which was also sent to KP Turnquest, deputy prime minister, and Desmond Bannister, minister of works, said the

accounts receivables owed by the corporation to Consolidated Water had been “growing for months” and placed the state-owned agency in breach of the two parties’ contract.

“This directly contravenes Water & Sewerage Corporation’s obligations under its contracts with the company, and it is simply not a sustainable burden for the company to bear, especially in light of the company’s obligation to complete an overhaul of its Windsor plant within a matter of weeks,” Mr McTaggart said.

“Unless resolved in short order, Water & Sewerage Corporation’s extraordinary delinquencies in payment will have significant ramifications not only for Water & Sewerage Corporation but also potentially for the Government of The Bahamas.”

Mr McTaggart pointed to the corporation’s obligation to pay Consolidated Water within 30 days of invoice receipt, and said: “Since November 2017, Water & Sewerage Corporation has consistently failed to make payments in accordance with these contractual terms and is therefore in default under both [plants] contracts.

“In addition to the contractual ramifications of Water & Sewerage Corporation’s consistent failure to settle invoices in a timely

‘Concessions necessary’ in meeting EU demands FROM PAGE ONE to be especially careful in how it responds to the “ring fencing” issue, which the Government plans to do through the Removal of Preferential Exemptions Bill.

This is because existing investors already have a legitimate expectation of enjoying such preferential incentives, such as the 20-year stamp tax regime for IBCs and flat $300 business licence fee for nonresident entities. Abruptly ending them, and failing to “grandfather” them into the new regime, would not only shatter investor confidence in The Bahamas but could also prompt lawsuits from these investors.

Tribune Business sources, speaking on condition of anonymity, told Tribune Business that “the latest draft” of the Removal of Preferential Exemptions Bill “did contain these

grandfather provisions to some extent” - although not all the existing tax incentives are apparently covered.

Michael Paton, a former Bahamas Financial Services Board (BFSB) chairman, told last month’s Nassau Conference: “The big issue is ring fencing. We have to address this. Under the new criteria you cannot have advantages offered to non-residents only in respect of transactions between other non-residents, and we can’t have those advantages ring fenced from the domestic taxes.

“How do we eliminate preferences and ring fencing without causing irreparable, catastrophic damage to The Bahamas as an IFC? As I and others see it, the two primary issues we are facing is stamp tax and business license.”

And Ryan Pinder, a former financial services minister, told Tribune Business earlier this year that The Bahamas “could kiss the entire IBC market goodbye”

LEGAL NOTICE

INTERNATIONAL BUSINESS COMPANIES ACT (No. 45 of 2000) MILLETT ENTERPRISES LIMITED In Voluntary liquidation “Notice is hereby given that in accordance with Section 138 (4) of the International Business Companies Act (No. 45 of 2000). MILLETT ENTERPRISES LIMITED, is in Dissolution.”

The date of commencement of dissolution is the 7th day of November, 2018.

Thomas BRUNHART, Langacker 49, L I-9491Ruggell Liquidator

fashion since November 2017, this default has required the company to deplete its cash on hand to settle its expenses.

“The most substantial day-to-day expenses are in respect of the electricity and fuel required to keep the Blue Hills and Windsor plants in operation. Neither BPL nor Sol Petroleum Bahamas are prepared to provide supplies to the company unless their invoices are paid in full,” Mr McTaggart continued.

“Should the company be unable to pay either BPL or Sol Petroleum Bahamas, or both, both plants would immediately be unable to produce potable water for the island of New Providence. In as much as the plants collectively provide 12m imperial gallons of water per day to Water & Sewerage Corporation, which in turn supplies Baha Mar as well as thousands of residential and commercial consumers, any cessation of production will result in immediate shortages of water.”

This is exactly what Tribune Business reported on Friday, and Consolidated Water subsequently disputed. Mr McTaggart’s letter, besides warning about the payroll impact, said the BISX-listed provider was also unable to pay vendors working on the Windsor

plant’s upgrade - a development that could impact the facility’s commissioning.

“The company will shortly be unable to pay other operational bills which permit us to maintain the plants in the condition required for the production of water,” he added. “We also anticipate difficulty with meeting payroll for our 20 employees within a matter of weeks under current circumstances.

“Finally, as the company is now endeavouring to complete the construction of the updated Windsor plant per the December 2016 agreement with Water & Sewerage Corporation, the continued cash shortfall requires the company to withhold payments to suppliers.

“Unless these overdue payments can be made in short order, the works required to complete the Windsor plant cannot be completed and its commissioning will be delayed.”

Windsor was commissioned last month, but Tribune Business understands that another dispute may be brewing - this time over whether or not the completion date was hit, and who was responsible.

Mr McTaggart’s letter than forewarned the corporation of the action Consolidated Water would ultimately take this month,

suggesting it would soon have no choice - given its obligations to make timely disclosures of material events to shareholders and the capital markets - but to reveal the “extraordinarily high receivables”.

“In the event the company... concludes that such provision must be made, not only will this negatively impact their financial circumstances, but it is possible that it will negatively impact the reputation of Water & Sewerage Corporation and that of the Government of The Bahamas as well,” Mr McTaggart said, which is understood to have not gone down well with the latter.

“We have endeavoured to discuss a payment programme to address the receivables with Water & Sewerage Corporation senior management, including yourself, in our recent meeting on June 28, 2018, as well as in communications from our general manager to the acting general manager of Water & Sewerage Corporation,” he told Mr Gibson.

“However, notwithstanding recent payments totaling $2m, Water & Sewerage Corporation has not informed us how it intends to bring down the sky-high receivables. In light of the gravity of the situation in which we now find ourselves, we are copying this letter

to the minister responsible for Water & Sewerage Corporation and the minister of finance in order to ensure that they are fully apprised of the circumstances.”

Mr Gibson yesterday declined to comment on the contents of Mr McTaggart’s letter, other than to repeat his call for “good faith actors” on both sides to resolve the situation.

He added that the payment plan demanded by Consolidated Water was “in train” from that June 28 meeting, where he informed the BISX-listed water supplier that the corporation would “make good” the debts owed once the 20182019 budget was approved and its $25m subsidy released.

“They were informed in no uncertain terms that the corporation was awaiting the budget, and the arrears would be made good once the budget cleared,” Mr Gibson told Tribune Business.

“The $2m payments from the overdraft accounts were good faith payments agreed by me after meeting with them, where this was brought to my attention.

We formulated alternatives just to demonstrate good faith and understanding. I directed that payments from these accounts be made.”

if it gets its response to Europe’s “ring fencing” demands wrong, branding it a “make or break” issue.

Mr Turnquest, meanwhile, told Tribune Business yesterday that he and his two fellow Cabinet ministers Carl Bethel QC, the attorney general, and Brent Symonette, minister of financial services - “were able to agree on an acceptable approach” with the OECD to addressing its concerns over The Bahamas’ economic permanent residency regime.

This nation’s key investment product was listed among regimes deemed vulnerable to potential abuse by tax evaders, and therefore posing a risk to the integrity of the OECD’s Common Reporting Standard (CRS) for global automatic tax information exchange.

Mr Turnquest, though, said a key objective of the meeting was “to discuss the permanent residency by investment programme and advise that we do not issue citizenship by investment”.

Revealing that he was “very confident” The Bahamas will avoid any further EU or OECD “blacklist”, the deputy prime minister

nevertheless cautioned: “Circumstances change, and thus we have to be vigilant and proactive.

“Our overall objective was to update the OECD and EU on our progress on tax information exchange systems, and confirmation that we met our September deadlines in that regard; that we have met our commitments in respect to our previously-communicated implementation timelines and agenda; to introduce our legislation passed and that being drafted for comment by their technical team before finalising and laying in Parliament... In all spheres our discussions were productive, and we feel we accomplished our objectives.

Mr Turnquest added that the tabling, and passage, of four Bills that the Government wants to pass through Parliament this month do not depend on OECD and EU approval, telling Tribune Business: “We are set to go”.

Apart from the Removal of Preferential Exemptions Bill, these also include the Commercial Entities (Substance Requirements) Bill; Register of Beneficial Ownership Bill; and the Non-Profit

Organisations Bill.

“The general observation from both the OECD and EU is that we have made significant progress, and they are satisfied with our commitment at the highest levels of government. They were pleased with the draft legislation following a walk through with the technical team,” Mr Turnquest told Tribune Business.

“While we are on track with our commitments, our point to them is simply that the practical limitations to our fiscal and systemic and human resources must be taken into account in setting timelines and the effect any dramatic shift in policy will have on our economic structure.”

Brian Moree QC, senior partner at McKinney, Bancroft & Hughes, yesterday praised Mr Turnquest for driving home the economic price that The Bahamas is paying for repeated “blacklisting” threats from both the EU and OECD. He added, though, that “the details” from the Government delegation’s meetings were critical and eagerly awaited by industry.

“The initial reports coming

out of the meeting are positive and sound promising, but we’ll have to see what the details are,” Mr Moree told Tribune Business. “It appears as if drafts of those four Bills were submitted without any major push back on any of the major issues.

Industry will be eager to see the latest drafts and see whether there’s any changes as a result of these meetings.

“It was very helpful to read that apparently the deputy prime minister did address the negative impact these persistent threats of blacklisting have on the economy of The Bahamas and the investment climate.

“I would applaud the deputy prime minister for putting that on the agenda and discussing that. It has caused considerable anxiety and some degree of dislocation in our sector when these threats of blacklisting are made.”

Mr Moree said “a more collaborative and co-operative” approach by the EU and OECD towards The Bahamas, which avoided threats of sanctions and “blacklisting”, would be “a major accomplishment for the Government” if it can be achieved.

NOTICE

TEVIN INVESTMENT MANAGEMENT INC.

In Voluntary Liquidation

Notice is hereby given that in accordance with Section 138(4) of the International Business Companies Act. 2000, TEVIN INVESTMENT MANAGEMENT INC. is in dissolution as of October 30, 2018 International Liquidator Services Inc. situated at 3rd Floor Whitfield Tower, 4792 Coney Drive, Belize City, Belize is the Liquidator.

LIQUIDATOR ______________________

NOTICE In the Estate of Georgiana Matilda Ellis aka Georgina Matilda Ellis late of Matthew Town, in the Island of Inagua one of the Islands of the Commonwealth of The Bahamas, deceased.

NOTICE is hereby given that all persons having any claim or demand against the above-named Estate are required to send the same to the undersigned on or before the 28th day of November, A.D. 2018 and if so required by notice in writing from the undersigned to come in and prove such demand or claim in default thereof be excluded from the benefit of and distribution made before such debts are provided.

AND NOTICE is hereby given that all persons indebted to the said Estate are requested to settle their respective debts at the chambers of the undersigned on or before the date hereinbefore mentioned.

Dated the 13th day of November, A.D. 2018 Mangra & Co. Suite 12 Bayparl Building Parliament Street Nassau, The Bahamas

LEGAL NOTICE

LEGAL NOTICE

LEGAL NOTICE

NOTICE

NOTICE

NOTICE

HERITIERE LUMIERE LIMITED

WELLTAMED HOLDING LTD.

HEAH SM LIMITED

N O T I C E IS HEREBY GIVEN as follows:-

N O T I C E IS HEREBY GIVEN as follows:-

N O T I C E IS HEREBY GIVEN as follows:-

(a) HERITIERE LUMIERE LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(a) WELLTAMED HOLDING LTD. is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(a) HEAH SM LIMITED is in voluntary dissolution under the provisions of Section 138 (4) of the International Business Companies Act 2000.

(b) The dissolution of the said company commenced on the 6th November, 2018 when the Articles of Dissolution were submitted to and registered by the Registrar General.

(b) The dissolution of the said company commenced on the 6th November, 2018 when the Articles of Dissolution were submitted to and registered by the Registrar General.

(c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P.O. Box N-3023, Nassau, Bahamas

(c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P. O. Box N-3023, Nassau, Bahamas

(b) The dissolution of the said company commenced on the 6th November, 2018 when the Articles of Dissolution were submitted to and registered by the Registrar General. (c) The Liquidator of the said company is Bukit Merah Limited, The Bahamas Financial Centre, Shirley & Charlotte Streets, P.O. Box N-3023, Nassau, Bahamas Dated this 14th day of November, A. D. 2018 _________________________________ Bukit Merah Limited Liquidator

Dated this 14th day of November, A. D. 2018 _________________________________ Bukit Merah Limited Liquidator

Dated this 14th day of November, A. D. 2018 _________________________________ Bukit Merah Limited Liquidator

PAGE 6, Wednesday, November 14, 2018

THE TRIBUNE

Energy companies lead US stocks lower after oil price plunge

By ALEX VEIGA Associated Press The steepest drop in oil prices in more than three years put investors in a

selling mood yesterday, extending a losing streak for the S&P 500 index to a fourth day.

Energy stocks led a lateafternoon sell-off on Wall

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL The Public is hereby advised that I, BERNARD DALTON RUSSELL of Queens Highway, Andros, P.O. Box N-7306, Nassau, Bahamas, intend to change my name to BERNARD CHRISTOPHER BROWN. 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.

Street after the price of US crude oil plunged 7.1 percent to $55.69 a barrel, the lowest level since December 2017.

Oil has now fallen for 12 straight days, driven by worries over rising oil production around the world and weakening demand from developing countries.

“You have fears associated with the drop in the price of oil probably moving into the equity market,” said Willie Delwiche, investment strategist at Baird. “There’s a knee-jerk reaction when you see oil down that it signals economic weakness.”

The S&P 500 index fell 4.04 points, or 0.1 percent,

to 2,722.18. The Dow Jones Industrial Average lost 100.69 points, or 0.4 percent, to 25,286.49, half of which was attributable to a drop in Boeing.

The Nasdaq composite was little changed at 7,200.87.

The Russell 2000 index of smaller companies gave up 3.99 points, or 0.3 percent, to 1,514.80.

Oil prices have been declining as the market adjusts to a drop in demand from emerging markets coupled with expectations for increased supply from the US and OPEC. “It’s very possible for oil to continue to shoot in either direction until you get that equilibrium,” said Tom Hainlin, global investment strategist at US Bank Wealth Management.

President Donald Trump has been pressing Saudi Arabia and OPEC not to cut production. Saudi Arabia said this week that the oil cartel and allied crude producers will likely need to cut supplies, perhaps by as much as one million barrels a day.

OPEC estimated that production increases from Saudi Arabia, United Arab Emirates and Russia, have made up for more than twice the loss of production out of Iran, according to Ritterbusch and Associates, an oil trading advisory firm.

The firm expects that US crude oil will continue to decline to about $55.25 a barrel.

Yesterday’s slide in oil prices weighed on energy sector stocks.

Halliburton dropped 5.5 percent to $32.27.

Stocks appeared headed for a rebound early yesterday after a steep market sell-off a day earlier. Traders drew encouragement from a published report out of China saying that country’s top economic adviser might visit Washington ahead of a planned meeting between Chinese President Xi Jinping and Trump at this month’s

MARKET REPORT TUESDAY, 13 NOVEMBER 2018

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

BISX ALL SHARE INDEX: CLOSE 2,006.18 | CHG -0.48 | %CHG -0.02 | YTD -57.39 | YTD% -2.78 BISX LISTED & TRADED SECURITIES 52WK HI 4.50 20.91 7.50 4.46 1.22 0.52 3.92 9.30 6.60 4.97 12.50 2.74 1.78 8.21 6.30 13.20 6.79 4.49 13.50

52WK LOW 3.50 19.17 7.50 3.32 0.90 0.16 2.25 8.60 6.10 3.54 9.00 2.30 1.50 7.25 6.00 10.10 5.67 3.25 12.50

1050.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

PREFERENCE SHARES

1.00 103.00 100.00 106.00 105.00 103.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.00

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 Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A Commonwealth Bank Class E Commonwealth Bank Class J Commonwealth Bank Class K Commonwealth Bank Class L Commonwealth Bank Class M Commonwealth Bank Class N Fidelity Bank Class A Focol Class B

CORPORATE DEBT - (percentage pricing) 52WK HI 100.00

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 ##########

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

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

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 4.45 17.43 9.09 4.46 1.01 0.52 2.30 9.30 6.16 4.00 12.42 2.68 1.78 7.97 6.30 12.98 6.41 3.63 13.01

CLOSE 4.45 17.43 9.09 4.46 1.01 0.52 2.30 9.30 6.16 4.00 12.42 2.64 1.78 7.99 6.30 12.98 6.41 3.62 13.01

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 -0.04 0.00 0.02 0.00 0.00 0.00 -0.01 0.00

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

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

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

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

LAST SALE 100.00 107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

VOLUME 115 1,000

1,500

1,896

90

VOLUME

EPS$ 0.214 0.932 -0.306 0.317 0.059 0.000 -0.588 0.700 0.441 0.154 0.627 0.102 0.209 0.000 0.670 0.701 0.578 0.277 0.631

DIV$ 0.100 1.260 0.000 0.240 0.000 0.010 0.000 0.710 0.220 0.120 0.620 0.060 0.060 0.084 0.280 0.500 0.150 0.130 0.600

P/E 20.8 18.7 N/M 14.1 N/M N/M -3.9 13.3 14.0 26.0 19.8 25.9 8.5 N/M 9.4 18.5 11.1 13.1 20.6

YIELD 2.25% 7.23% 0.00% 5.38% 0.00% 1.92% 0.00% 7.63% 3.57% 3.00% 4.99% 2.27% 3.37% 1.05% 4.44% 3.85% 2.34% 3.59% 4.61%

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

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

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

INTEREST Prime + 1.75% 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%

MATURITY 19-Oct-2022 ############### 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 2.18 4.16 2.02 182.41 158.55 1.58 1.70 1.66 1.10 6.99 8.54 6.15 10.52 11.46 10.46 10.00 8.45 11.20

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.52 1.68 1.61 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 2.18 4.16 2.02 182.41 158.55 1.58 1.69 1.66 1.09 7.36 8.47 6.53 11.32 11.67 10.54 9.93 8.45 11.20

YTD% 12 MTH% 2.90% 4.07% 0.44% 4.38% 1.70% 2.35% 2.08% 3.47% 3.35% 5.94% 3.22% 4.22% -0.38% 3.34% 2.39% 4.01% -0.38% 0.53% -1.08% 1.77% -5.96% -3.05% 1.90% 4.59% 7.24% 11.96% 2.77% 3.88% 3.94% 4.69% -0.61% 0.75% 1.13% N/A 2.95% N/A

NAV Date 30-Sep-2018 30-Sep-2018 28-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Sep-2018 30-Jun-2018 30-Jun-2018 30-Jun-2018

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

Group of 20 gathering in Argentina.

The US and China have raised tariffs on billions of dollars of each other’s goods in a dispute over US complaints about Beijing’s technology policy. The longfestering trade dispute and the added costs it has begun to cause companies have stoked investors’ worries about the future growth of corporate profits.

“There is some good optimism that there is progress on trade at the G-20 meeting later this month,” said Craig Birk, chief investment officer at Personal Capital.

That optimism didn’t hold in the face of the steep tumble in oil prices, however.

“We had overnight strength and strength this morning that then invited more selling,” Delwiche said.

“And it’s all in the context with what’s going on with oil, which is making people perhaps more jittery than they would have been otherwise.”

Losses in health care companies and consumer goods stocks outweighed gains in banks and industrials yesterday.

Boeing fell 2.1 percent to $349.51 following published reports saying the aircraft manufacturer didn’t tell airline pilots about features of a new flight-control system in its 737 MAX that reportedly is a focus of the investigation into last month’s deadly crash in Indonesia.

Tyson Foods dropped 5.6 percent to $58.17 after the meat producer’s quarterly earnings beat analysts’ estimates, but revenue fell short.

The company also issued a weak outlook, noting that it faced higher labor and freight costs.

Financial sector stocks moved higher a day after posting big losses. Unum Group added 2.7 percent to $38.01.

Advance Auto Parts

vaulted 10.6 percent to $184.72 after the retailer reported strong quarterly results and raised its forecast.

General Electric jumped 7.8 percent to $8.61 after disclosing that it will sell up to a 20 percent stake in Baker Hughes. GE, which has been struggling with sagging profits, aims to raise about $4bn in cash from the sale.

DR Horton rose 2.4 percent to $34.69 after the homebuilder agreed to buy Westport Homes, which builds homes in Indiana and Ohio.

Bond prices rose. The yield on the ten-year Treasury note fell to 3.14 percent from 3.19 percent late Friday.

Bond trading was closed on Monday for Veterans Day. The dollar held steady versus the yen at 113.86 yen.

The euro strengthened to $1.1268 from $1.1240.

The price of gold slipped 0.2 percent to $1,201.40 an ounce. Silver also lost 0.2 percent to $13.98 an ounce.

Copper rose 0.4 percent to $2.69 a pound.

In other energy trading, Brent crude, used to price international oils, dropped 6.6 percent to close at $65.47 a barrel in London. Heating oil fell 4.3 percent to $2.06 a gallon and wholesale gasoline dropped 5.7 percent to $1.54 a gallon. Natural gas jumped 8.3 percent to $4.10 per 1,000 cubic feet.

European markets closed higher yesterday.

Germany’s DAX gained 1.3 percent, while France’s CAC 40 added 0.9 percent. London’s FTSE 100 was flat.

In Asia, Tokyo’s Nikkei 225 fell two percent. Sydney’s S&P-ASX 200 declined 1.8 percent. Hong Kong’s Hang Seng gained 0.5 percent.

Seoul’s Kospi gave up 0.4 percent and India’s Sensex added 0.4 percent.

PUBLIC NOTICE

INTENT TO CHANGE NAME BY DEED POLL The Public is hereby advised that I, KETRA KANESHA WARD, of Seven Hills, P.O. Box CR-55333, mother of RODNEY PEDRO JOHNSON, a minor, intends to change his name to JUDE ALEXANDER RAHMING. 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 NOTICE is hereby given that DENLEY PEDRO TYNES, of Prince Charles Drive, Pine Barren Road, 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 twentyeight days from the 14th day of November, 2018 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Povidence, The Bahamas.

NOTICE Notice is hereby given that RODNY ISRAEL of Home Stead Street, Nassau, 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 signed statement of the facts within twenty-eight days from the 7th November, 2018 to the Minister responsible for Nationality and Citizenship, P.O.Box N7147 Nassau, The Bahamas

THE TRIBUNE

Wednesday, November 14, 2018, PAGE 7

ITALY’S DOESN’T BUDGE IN CLASH WITH EU OVER BUDGET DEFICIT MILAN Associated Press ITALY’S populist government maintained its controversial 2.4 percent budget deficit in responding to EU demands for changes, but made tweaks during a late-night Cabinet meeting yesterday, including adding plans to sell off some government real estate.

Deputy Premier Luigi Di Maio told reporters in Rome that the government was not changing the ambitious social spending plans in its draft budget because “it is our conviction that this manoeuvre is what the country needs to relaunch”.

The government has insisted that the spending is necessary to promote growth after years of austerity.

A letter to Brussels being prepared by Economics Minister Giovanni Tria would outline plans to raise cash through the sale of secondary real estate, which Di Maio said would have an impact on Italy’s stubbornly high public debt. He didn’t specify what would be sold, but said it would not include

ITALIAN deputy Premier and Labour Minister Luigi Di Maio smiles as he talks to reporters at the end of a cabinet meeting on Italy’s budget, outside Rome’s Chigi Palace government headquarters yesterday. Italy’s populist government has proposed a budget that would see its deficit bloat to 2.4 percent of gross domestic product, more than three times the target of the previous government.

Photo: Andrew Medichini/AP “the family jewels”.

Di Maio also suggested there would not be a safeguard clause that would trigger spending cuts in the event the deficit target was overshot, as Italian media had reported. He said the government was committed

to staying within the 2.4 percent of GDP deficit target.

“We won’t play sly foxes with the deficit,” he said.

“But at the same time we will maintain commitments to Italians made in the government contract. There will be all the cuts of waste,

CNN sues Trump, demanding return of Acosta to White House NEW YORK Associated Press CNN TOOK its access battle against the Trump administration to court yesterday, demanding the reinstatement of correspondent Jim Acosta’s White House credentials because their revocation violates the right of freedom of the press.

Besides seeking an injunction to let Acosta return immediately, CNN is launching a case that will test the ability of government officials anywhere to freeze out a reporter who displeases them.

The White House, never shy about picking a fight with CNN, says bring it on.

“This is just more grandstanding from CNN, and we will vigorously defend against this lawsuit,” said White House press secretary Sarah Sanders.

The administration stripped Acosta of his pass following President Donald Trump’s contentious news conference last week, during which Acosta refused to give up a microphone when the president said he didn’t want to hear anything more from him.

Sanders initially explained the decision by accusing Acosta of making improper physical contact with the intern seeking to grab the microphone. But that rationale disappeared after witnesses backed Acosta’s account that he was just trying to keep the mic, and Sanders distributed a doctored video that made it appear Acosta was more aggressive than he actually was.

Trump called Acosta a “rude, terrible person”, and Sanders yesterday accused Acosta of being unprofessional by trying to dominate the questioning at the news conference.

For its part, CNN believes the White House is trying to silence a reporter.

Trump has made CNN and its reporters a particular target of his denunciation of “fake news” and characterisation of the media as an enemy of the people.

CNN CEO Jeff Zucker, in a letter to White House chief of staff John Kelly, called Trump’s attitude toward CNN a “pattern of targeted harassment”.

“Mr. Acosta’s press credentials must be restored so that all members of the press know they will remain free to ask tough questions, challenge government officials and report the business of the nation to the American people,” said Theodore Olson, former US solicitor general and one of CNN’s lawyers on the case.

The White House Correspondents’ Association backed the lawsuit, filed in Washington, DC, district court.

“The president of the United States should not be in the business of arbitrarily picking the men and women who cover him,” said Olivier

CNN journalist Jim Acosta does a standup before a new conference with President Donald Trump in the East Room of the White House in Washington. CNN sued the Trump administration yesterday, demanding that correspondent Jim Acosta’s credentials to cover the White House be returned because it violates the constitutional right of freedom of the press.

Photo: Evan Vucci/AP Knox, president of the correspondents’ group.

CNN would seem to be on strong legal ground, said Katie Fallow, senior staff attorney at the Knight First Amendment Institute.

During the Nixon administration in the 1970s, the Secret Service tried to deny credentials to a reporter from the Nation magazine because he had been involved in physical altercations, but was overruled by the DC circuit court, she said.

“I think it’s important, particularly as the president continues to push back on the role of an independent press, to stake out the legal rules that should govern this and not let the president block people from speaking based on their viewpoint,” Fallow said.

CNN said Acosta was given no warning of the action, and no recourse to appeal it. Acosta traveled to Paris to cover Trump’s visit there this weekend and, although given permission by the French government to cover a news event, the Secret Service denied him entrance, the company said.

Because of this, CNN also has a strong argument to overturn the White House stance based on due process grounds, said Jeff Robbins, a lawyer who focuses on media issues for the firm of Saul, Ewing, Arstein & Lehr in Boston.

“Pick your poison — it’s the Fifth Amendment or the First Amendment,” Robbins said.

Legalities aside, the president has never been afraid to fight the media, believing the stance resonates with his supporters.

And Acosta is one of the reporters they dislike the most. Former White House press secretary Ari Fleischer, who worked for President George W Bush, last week dismissed the supposed physical contact with an intern as a reason for banishing Acosta, but said he doesn’t belong in the press room because he’s essentially like an opinion columnist instead of a journalist.

Acosta is a “left-wing activist” more interested in

disrupting the president than in asking serious questions, said Brent Bozell, president of the conservative media watchdog Media Research Center.

cuts of useless military spending and there are the social measures to give back social rights to Italians.”

European officials have staunchly opposed the 2.4 percent deficit, which is more than three times the target of the previous

government, and at a level that would keep Italy from reducing its debt load as it had promised.

Italy’s debt is currently around 130 percent of GDP, far above the EU limit of 60 percent and the second highest in Europe after Greece. The big concern is that doubts about Italy’s debt could rekindle financial turmoil as well as questions about the future of the euro.

The European Union rejected Italy’s draft budget, saying it broke the rules, and gave the government until midnight lastnight to submit a new version. The Italian government could face sanctions if it does not comply.

The plan to sell real estate was unlikely to persuade Brussels, especially since the positive impact is not assured. Selling government properties was also a hallmark of the technical government of Mario Monti, which had forecast in 2011 raising as much as 30 billion euros by 2020 with the sale of government properties.

The standoff has unsettled investors, who have

sold off Italian debt in recent months, pushing up the country’s borrowing rates. That could be dangerous because higher rates can hurt Italy’s public finances, reinforcing investor concerns, in a vicious cycle.

Such a scenario could require the government to make cuts during a moment of economic uncertainty.

“This could transform a slowdown into a recession,” the International Monetary Fund said in its report, a regular review of the Italian economy released yesterday.

It recommends Italy tighten its public finances instead and predicts that the government will miss its own targets, with the deficit hitting an estimated 2.7 percent next year.

The International Monetary Fund warned the Italian government that its plan to sharply increase spending carries “substantial” risks and would leave the country vulnerable to market turmoil. It urged Italy “to put to rest any concern about public debt sustainability, which recently has resurfaced”.

PAGE 8, Wednesday, November 14, 2018

THE TRIBUNE

Amazon goes bicoastal: will open HQs in New York, DC suburb NEW YORK Associated Press AMAZON has set its sights on two of the nation’s largest and most powerful metro areas, announcing yesterday it had chosen a buzzy New York neighborhood and a suburb of Washington for its new East Coast headquarters.

The online shopping giant ended its 14-monthlong competition for second headquarters by selecting Long Island City, Queens, and Arlington, Virginia, as the joint winners. Both are waterfront communities away from overcrowded business districts, giving Amazon space to grow.

Amazon could have picked a city looking to be revitalised, like Newark, New Jersey. Instead, it decided to be in two of the nation’s centres of power.

The reason Amazon gave: they are best suited to attract the high-skilled workers the company wants.

The two sites will each get 25,000 jobs that Amazon said will pay an average of $150,000 a year.

The company will receive more than $2bn in tax credits and other incentives.

New York is forking over more than $1.5bn, while Virginia and Arlington are offering about a third of that — $573m. The hope is that Amazon will attract other companies and ultimately boost the local economies.

But while many see it as an opportunity, not everyone is sold on the idea.

“Offering massive corporate welfare from scarce public resources to one of the wealthiest corporations in the world at a time of great need in our state is just wrong,” said New York State Sen Michael Gianaris and New York City Councilman Jimmy Van Bramer,

A SEA gull flies off holding fish scraps near a former dock facility, with “Long Island” painted on old transfer bridges at Gantry State Park in the Long Island City section of the Queens Borough in New York. Amazon announced yesterday it has selected the Queens neighbourhood as one of two sites for its headquarters.

Photo: Bebeto Matthews/AP Democrats who represent the Long Island City area, in a joint statement.

Amazon, which started as an online bookstore two decades ago, has grown to a behemoth that had nearly $180bn in revenue last year.

It now owns well-known brands, including grocer Whole Foods and online shoe-seller Zappos. It also makes movies and TV shows, runs an advertising business and offers cloud computing services to corporations and government agencies.

The company has more than 610,000 employees worldwide, making it the second largest US-based, publicly-traded employer behind Walmart.

But it was the prospect of 50,000 jobs that led 238 communities across North

America to pitch Amazon on why they should be home to the next headquarters.

New York is the nation’s financial and media powerhouse and has been working to attract technology companies. Google already has more than 7,000 workers in the city and, according to media reports, is looking to add 12,000 more in coming years.

Arlington is directly across the Potomac River from Washington. Large government contractors have offices and lobbying operations there. However, many of its 1980s-era office buildings have vacancies after thousands of federal employees moved elsewhere.

Being near the nation’s capital could help Amazon with lobbying efforts as the company

faces rising scrutiny from politicians.

Amazon said it will spend $5bn between both locations on construction and other projects.

The new outposts won’t appear overnight. Amazon said hiring at the two headquarters will start next year, but it could take a decade or more to build out its offices.

Its New York location will be in a neighbourhood of Queens that sits directly across from midtown Manhattan. Once a bustling factory and freight-moving area, many of Long Island City’s plants and warehouses closed as manufacturing left New York. The empty warehouses drew artists looking for affordable rents and businesses followed. Today, the neighbourhood is made up of expensive, high-rise

condos, with many more under construction.

Amazon’s Virginia offices will be in a part of Arlington that local politicians and Amazon are calling National Landing, an area around Reagan National Airport that encompasses Crystal City and Potomac Yard. Large parts are made up of vacant ‘70s and ‘80sera office buildings. Among other challenges, Crystal City has fought to overcome a reputation for outdated architecture.

Virginia state Sen Adam Ebbin, a Democrat who represents the area where Amazon’s new headquarters will be located, said that affordable housing may become an issue, but the announcement is a welcome development that will help increase the area’s tax base

to help ease overcrowding in schools and address other pressing needs.

“I would say it’s a double-edged sword,” said Margo Williams, who lives in nearby Alexandria, Virginia. She said more workers in the area would increase tax revenues and bring better services for the community, but she worries traffic could get worse and the Metro more crowded.

Amazon said it will refer to the new locations as headquarters, even though with 25,000 jobs each, they would have fewer workers than its Seattle hometown, which houses more than 45,000 employees.

Seattle will remain one of Amazon’s three headquarters, and the company said that senior executives will also be based in the two new locations. It plans to hold company-wide events at the new locations, including shareholder meetings.

There were early signs that Amazon had its sights set on New York and northern Virginia. Among its 20 finalists, the company had selected two locations in the New York metro area and three in the DC area.

Plus, CEO and founder Jeff Bezos has a home in Washington DC, and he personally owns The Washington Post newspaper.

While it didn’t win the main prize, Nashville, Tennessee, won’t go empty handed. Amazon said the finalist city will be home to a new Amazon office with 5,000 jobs, focused on customer delivery and supply chain. Those jobs will also be paid an average of $150,000 a year, Amazon said.

“You know, this is a huge win,” said Republican Tennessee Gov Bill Haslam.

“When we got this news, I think all of us were really, really excited about it.”