12172020 BUSINESS

business@tribunemedia.net

THURSDAY, DECEMBER 17, 2020

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$1.5bn debt repayment in a year? ‘No problem’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

T

HE Ministry of Finance’s top official yesterday said he “foresees no challenge” over the government meeting almost $1.5bn in debt principal repayments coming due within the next 12 months.

Marlon Johnson, the acting financial secretary, told Tribune Business there would “be no issues” when it came to The Bahamas meeting its sovereign obligations even though almost 18 percent of the government’s outstanding debt principal is to be redeemed over the next year.

The details were laid out in the 2020 Fiscal Strategy Report, tabled in the House of Assembly, which revealed that a substantial chunk of the government’s borrowings - $3.318bn or some 40.5 percent of the total $8.191bn - is due for repayment over the next five years.

The report revealed that much principal repayment is

• Top Finance official ‘foresees no challenges’ • Over 40% of govt principal matures in 5 years • Bahamians told: High unemployment prolonged

MARLON JOHNSON front-loaded at a time when the government’s revenues are down by as much as 50 percent due to COVID-19’s devastating impact on tourism and the Bahamian economy, thus severely impacting its cash flow.

A graph showing “forecasted redemptions” of the government’s medium and long-term debt revealed that principal worth $880.6m, $682m, $405.9m, and $774.5m is due for repayment in 2021, 2022,

Web patrons, utility customers warned to brace for pain

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net WEB shop patrons and Bahamasair passengers will be the first feel to feel the pain of tax and fee increases sparked by COVID-19’s economic devastation, a Cabinet minister revealed yesterday.

Senator Kwasi Thompson, the newly-appointed minister of state for finance, told the Senate that the government plans to finally implement the long-anticipated levy on gaming patron winnings from New Year’s Day onwards.

And he argued that it was “imperative” for the government to accelerate long

DESMOND BANNISTER overdue reform of loss-making state-owned enterprises (SOEs) such as Bahamasair and the Water & Sewerage Corporation given the combined $408m drain they have imposed on Bahamian taxpayers this year in the form of subsidies - a figure that is expected to sharply increase due to COVID-19.

Mr Thompson revealed

SEE PAGE 5

Developer’s offering to ‘regain momentum’

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net A BAHAMIAN resort community yesterday said it would use the proceeds of a newly-launched preference share offering to “regain momentum” lost to the COVID-19 pandemic.

Sir Franklyn Wilson, pictured, chairman of Jack’s Bay Developers, told Tribune Business there was no set closing date or target amount that the Eleutherabased project was seeking to

raise from investors via an offering priced at 6.25 percent and with a minimum $50,000 investment.

“We’re doing whatever we can to accelerate the pace

SEE PAGE 7

2023 and 2024 respectively.

This collectively totals $2.743bn, and the Fiscal Strategy Report makes clear these figures do not include $736.8m worth of shortterm Treasury Bills, which typically carry between 91 and 182-day maturities, as well as $208.2m in “notes” that mature in 30, 90 and 180-terms.

But despite the seemingly grim near-term debt repayment horizon, Mr Johnson yesterday voiced confidence that the government will still meet all its obligations despite the dramatic COVID-19 and Dorianinduced cuts to its income.

He argued that The Bahamas’ status as “a good payer”, never having missed a repayment in its history, would stand it in good stead with creditors and investors should it need to refinance or extend existing debt issues.

Mr Johnson said the Ministry of Finance’s planned Debt Management Unit, which is aims to have operational by year-end 2021, will be tasked with optimising the government’s debt structure to prevent the build-up of large principal repayments in any one year and “term” these out over a longer period of time.

“We don’t foresee any challenges with that at all,” he told Tribune Business of the near-$1.5bn coming due over the next 12 months.

“We had substantial redemptions this year on top of our borrowing.

“Refinancing existing debt is relatively straightforward if the country is a good payer. For right now we don’t foresee any issues at all. As has been signalled several times, the Ministry is working on activating and

SEE PAGE 5

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Govt targeting $200m spending cuts by June

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net SOME $75.8m in unplanned COVID-19 assistance and previous lockdowns have forced the government to target $200m in extra spending cuts over the next six months, it was revealed yesterday.

Senator Kwasi Thompson, the newly-appointed minister of state for finance, told the Senate that the Minnis administration is aiming to slash $100m apiece from both its capital and recurrent (fixed cost) spending after 2020-2021 first quarter revenues came in $68m below projections while spending soared.

Explaining that the cuts were essential to keep the government on track for a record $1.327bn deficit, as forecast in the May budget, Mr Thompson pledged: “For the remainder of this fiscal year and over the immediate term, the government will seek to maintain its current budget deficit target of no more than $1.3bn.

“To facilitate this against the expected decline in revenue, and to meet our fiscal targets without having to incur additional debt, the

SEN KWASI THOMPSON government has tasked agencies to scale back recurrent expenditure by $100m and capital expenditure by $100m between now and June.”

He did not detail the areas being targeted for spending cuts, which are deeper than those outlined in the 2020 Fiscal Strategy Report that was tabled in Parliament yesterday. The report’s figures only showed a $104.3m spending cut, not the $200m outlined by Mr Thompson, with that reduction coming as a response to August revenues falling $51m below forecast due to COVID-19 lockdowns.

When challenged about the discrepancy by this newspaper, Marlon Johnson, the Ministry of Finance’s acting financial

SEE PAGE 6

PAGE 2, Thursday, December 17, 2020

THE TRIBUNE

Baha Mar re-opening a ‘monumental occasion’ BAHA Mar’s top executive has hailed today’s re-opening of the mega resort as a “monumental occasion” following the “hardship and uncertainty” caused by the COVID-19 pandemic.

Graeme Davis, speaking

ahead of the Grand Hyatt’s re-opening and return of 1,800 Baha Mar staff to work, said: “Today marks a significant milestone in the revitalisation of international travel and return of our guests to The Caribbean and The Bahamas.

“When faced with uncertainty and hardship this year, the Baha Mar team looked forward towards a bright future, and because of their perseverance and strength we are opening our doors today and welcoming travellers back to the

BAHA MAR RESORT

Happy Holidays from our family to yours!

Thank you for your patronage during what has been an unusual year for all of us.

While 2020 may not have been the year any of us could have imagined, we’re proud of the way the Bahamian Community has come through it.

Our Holiday Hours are as follows...

December 24:

Closed at 1:00pm

December 25 – January 3:

Closed

January 4:

Normal business hours resume (9:00am – 5:00pm)

We look forward to serving you again in 2021!

beloved Bahamas. We are humbled by the tremendous support of our guests, and look forward to honoring this monumental occasion with the entire Baha Mar community.”

Baha Mar, in a statement, reaffirmed that its Rosewood and SLS properties remain on track to re-open in early 2021. Mr Davis, the Cable Beach property’s president, previously said the two hotels were aiming for a February return.

To celebrate its re-opening, the Grand Hyatt is introducing a Bahamian Staycation Package starting at $199 for locals to come and enjoy the resort during

the Christmas holidays and beyond.

Among the amenities that will be open are Baha Mar’s 100,000 square foot casino; dining options including restaurants such as Katsuya; Filia; Pizza Lab; 3 Tides Fish House; Stix Noodle Bar; Drift and Carna by Dario Cecchini.

Jack Nicklaus’ signature golf course, Royal Blue, and the nine-court racquet club will also re-open along with Mini Blue, the new 18-hole championship miniature golf course. The ESPA spa; Explorer’s Club offering children’s activities; The Current Galleryl; and new retail partnerships with

brands including Montblanc, Tory Burch, Hackett of London, Satchel and Co and Carlo Milano.

Baha Mar will also from December 20 accept nonhotel guests for lunch and dinner at its signature restaurants, or for a round of golf and game of tennis. All non-hotel guests will be required to book reservations online for restaurants and obtain a negative COVID-19 antigen test within five days of arriving at the resort.

The resort has also introduced a flexible cancellation policy, allowing for trip cancellations up to 24 hours before a guest’s arrival.

THE TRIBUNE

Thursday, December 17, 2020, PAGE 3

Govt hopes for 40% Govt targets $125m via BOB liabilities slash Aliv, solar SPV offerings

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Bank of The Bahamas (BOB) bail-out vehicle believes it can slash the taxpayer’s potential liability by “at least 40 percent” through recovering a portion of the toxic loans transferred to it.

The government’s Fiscal Strategy Report, tabled in the House of Assembly yesterday, acknowledged the potential further strain that could be imposed on the Public Treasury when the $167.7m promissory note injected into BOB’s balance sheet in exchange for that distressed commercial credit becomes due for payment in August 2022.

This means that the note, effectively a bond on which BOB has been receiving interest payments, matures at that date and has to be replaced with cash from the government. The interest is supposed to have been paid from the proceeds of loan recoveries by Bahamas Resolve, the special purpose vehicle (SPV) to which the BISX-listed institution’s toxic loans were transferred to prevent its collapse.

Tribune Business records show Bahamas Resolve has not always been able to meet these due interest payments, periodically forcing the government to step in and make them. However, the Fiscal Strategy Report yesterday struck a much more optimistic tone over the SPV’s prospects for recovering and realising the proceeds from these distressed loans.

Suggesting that Bahamas Resolve could recover up to $67m of the promissory note sum, the Fiscal Strategy Report said: “The outstanding second promissory note of Bahamas Resolve to the Bank of The Bahamas becomes due in August 2022, and

represents a fiscal cost to the government which has been incorporated in the forecasts.

“Although Resolve has been able to make this semi-annual payment on the promissory note, which is $5.878m quarterly, it estimates being able to meet at least 40 percent of the $167.7m liability through loan recoveries. Therefore, the government has provisioned in the estimates for 2022-2023 an additional outlay of $100m.

“The government continues to work with Resolve to establish greater operational transparency through regular financial reporting and publication of asset sales information. The first audited financial statements, covering activities for the years 2014 through 2018, is scheduled to be released in December 2020.”

This follow recommendations made by the International Monetary Fund (IMF), which in its 2019 assessment of the Bahamian financial services sector urged the government to eliminate Bahamas Resolve’s “currently opaque status” and enhance its accountability to the Bahamian people by completing its first audit of the toxic asset-holding SPV in 2019.

Tribune Business previously reported that the bad loans transferred to Bahamas Resolve were worth just 37.6 percent of the $267.7m paid for them, and which subsequently became liabilities for the Bahamian taxpayer.

Noting that the two BOB bail-outs had left Bahamian taxpayers on the hook for a sum equivalent to 2.2 percent of the economy’s total output, the fund also urged the government to conduct “a strategic review” of Bank of The Bahamas, develop “a reform plan”

and strengthen its governance to prevent a repeat of the “poor lending practices” that almost led to its demise.

“The bank is the only case of significant instability in the banking system the past 15 years,” the IMF’s financial assessment said of Bank of The Bahamas.

“BOB’s difficulties began to build as revealed in 2011 when the Central Bank discovered material operational weaknesses.

“A subsequent examination noted an outsized level of lending to politically exposed persons (PEPs), among other deep problems in commercial lending.

Negative publicity led to liquidity tightness in late 2012 and early 2013, with large depositors withdrawing their funds.”

Describing Bank of The Bahamas’ bail-out as “twostaged”, the IMF said of the Christie administration’s $100m effort: “After the restructuring, the share of regulatory capital increased to about 47 percent of risk-weighted assets and government control went from 65 percent to 79 percent.

“Justifications for the bailout were the potential for instability, the lack of funding in the DIC to cover insured depositors ($120m in insured deposits with less than $40m in the DIC), and the large government deposits placed at BOB.” The fund added: “A second transfer of $176m in gross book value of problem assets (purchasing distressed assets at gross book value is not in line with good international practice) was initiated in August 2017, similar in terms to [the first time].

About this time the promissory notes issued during 2014 were redeemed by the government.”

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE government is aiming to raise $125m over a two-year period by selling its ownership in the Aliv mobile provider and a solar energy financing vehicle to Bahamian investors.

The Fiscal Strategy Report, tabled in the House of Assembly yesterday, confirmed the government is aiming to receive the muchneeded “one-off” boost from these two initial public offerings (IPOs) that are currently scheduled to take place between the 20222023 and 2023-2024 fiscal years.

“Assumptions for the forward years include several one-off transactions that will have a positive impact on the deficit, namely the contemplated sale of the government’s shares in Aliv by the 2022/2023 fiscal period and the monetisation of the government’s proposed solar special purpose vehicle (SPV) in 2023-2024,” the report said.

“Together, these transactions are targeted to generate approximately $125m in additional resources to the government for use in reducing financing requirements in these years.”

The breakdown of what it expects to earn from each transaction was not provided.

The timeline for the government to exit its 51.75 percent majority Aliv stake, and the solar SPV, remains the same as that given in the 2019 Fiscal Strategy Report, which said then that the government was seeking to raise at least $73m from the transaction.

“In fiscal year 2022-2023, the government’s prospective sale of its shares in Aliv is expected to reduce financing requirements by at least $73m - the initial purchase cost of these

assets. In fiscal year 20232024, sale proceeds from the proposed solarisation SVP (special purpose vehicle) are expected to lessen borrowing requirements,” last year’s report said.

Aliv has long represented one of the most obvious opportunities for the government to realise a one-off injection of significant capital to narrow its annual fiscal deficit, as occurred in 2011 with the Bahamas Telecommunications Company (BTC) privatisation.

The former Christie administration had sought to exit the government’s majority stake in HoldingCo, Aliv’s parent, via a private placement to Bahamian institutional investors such as pension funds, credit unions and mutual funds.

This was intended to ensure the greatest possible number of Bahamians participated, and benefited from Aliv’s future earnings, via their membership and financial involvement with such institutions. However, the Minnis administration scrapped this model in favour of an IPO that would give Bahamian retail and institutional investors the chance to hold HoldingCo shares directly, rather than through another entity.

For an IPO to take place, Aliv has to establish a performance track record via audited financial statements. Carl Bethel QC, the attorney general, previously indicated that an IPO will not take place until the mobile operator achieves profitability and, while it has emerged from its growth phase and is making progress towards this milestone, it has yet to hit this target.

There was no mention in this year’s Fiscal Strategy Report, though, of any plans by the government to reduce or exit its 49 percent BTC stake via the same IPO model. The last

Ingraham administration aimed to do this in tranches, but the idea has never been revived since it exited office in 2012.

The Inter-American Development Bank (IDB), meanwhile, earlier this year confirmed that Bahamian investors will ultimately be given the opportunity to own the government’s $170m renewable energy financing vehicle through a public share offering.

It revealed that “the final aim” is for “small-scale” investors to buy in via an IPO into an entity that will be formed to channel funds lent by the bank into utility-size and roof-top solar investments.

The IDB, revealing that the proposed SPV is the Ministry of Finance’s brainchild, says it will initially be 100 percent governmentowned until it “builds capacity” to own, operate and manage the renewable energy assets it will finance.

“In subsequent operations, the REE (renewable energy entity) can evolve as the renewable energy market matures as well as financing opportunities from other donors and the private sector,” the IDB paper said.

“Eventually, the final aim is for the REE to undergo an Initial Public Offering (IPO) to incorporate Bahamian small-scale shareholders and, as such, create further local participation and local retention in this new energy sub-sector.”

To advertise in The Tribune, contact 502-2394

PAGE 4, Thursday, December 17, 2020

THE TRIBUNE

Digital provider sorry Website relaunch to boost tourism for travel visa delays related servers, and initiated our internal safety protocols that limit access or activity across our systems,” the digital payments provider said.

“This feature is designed to protect our systems from any irregularities until the issue can be resolved while maintaining data integrity.”

Pledging that its system has been “fully restored and remains operational”, Kanoo added: “We are conducting a thorough analysis and review to ensure that this issue will not occur in the future.

“We apologise to all the affected persons, particularly the many Bahamians coming home and visitors traveling to The Bahamas, regarding the processing of payments for travel health visas and the anxiety this may have added to their travel.

“We are proud to report that every traveller impacted has either already been, or will be, contacted by our operations and customer support departments with all issues being successfully addressed and resolved for their original travel date.”

THE Ministry of Tourism & Aviation has relaunched its Bahamas.com website in a bid to improve the ease with which tourists can plan and book their vacation in a COVID-19 environment.

In a statement, the Ministry said the new, user-friendly interface is targeted at all market segments, such as romance, meetings and events and adventure.

“We are excited to bring the new and improved Bahamas.com to consumers right now and provide them with a streamlined way to plan their next trip to The Bahamas,”

PwC opens digital wallets for all staff

Bahamian digital economy.

“The Sand Dollar digital currency is the first of its kind in the world to have been fully deployed by a central bank,” he said.

“As a firm, we wanted to take the lead to ensure our people were fully engaged and active participants in the digital revolution.”

PwC said it views the digital wallets as an opportunity to support the work the Central Bank of The Bahamas has done to implement a digital payments system in The Bahamas. ​Myra Lundy-Mortimer, PwC Bahamas risk assurance partner, a​dded: “PwC globally has invested significantly in new technologies and the digital upskilling of all staff, and encourages

them to embrace this new form of digital technology as we would with our clients, especially during this pandemic.”

Since COVID-19 struck, the accounting firm has been using more digitallyenabled services to help clients address concerns and navigate the challenges associated with the new reality created by the pandemic.

Kevin Cambridge, PwC Bahamas advisory partner​ , said the company has been engaged in numerous projects locally as well as across the Caribbean within both government and the private sector.

Carlton Cartwright Junior, PwC Bahamas digital assurance leader, said​ : “In the aftermath of

THE Bahamian digital provider handling COVID-19 health travel visa payments yesterday apologised for processing delays caused by “technical difficulties” with its main database server.

Kanoo and its parent, CaribPay (Bahamas), confirmed in a statement that the problems interrupted “transaction services for an extended period” that began on Sunday, December 12.

“This technical difficulty caused the degradation of services across Kanoo’s

PRICEwaterhouseCoopers (PwC) Bawhamas has facilitated the opening of digital wallet accounts for all of its employees as part of its digital transformation drive.

Prince Rahming, pictured, PwC Bahamas’ territory leader, said​: “This year we wanted to give our people something more meaningful. During this time of year we normally host our annual Christmas party.

“Due to the COVID-19 protocols, we decided to repurpose those funds to open digital accounts for all of our employees and give them the gift of digital wallets to show our appreciation for all of their efforts and hard work throughout the year.”

Mr Rahming added that it was particularly important for PwC to ensure its staff were at the forefront as participants in the emerging

said Dionisio D’Aguilar, pictured, minister of tourism and aviation. “The new features will help future travellers discover the hidden gems of our islands.”

The Ministry of Tourism said travellers can use the Bahamas.com itinerary planner to plan their trip. Using the trip planning software, HipTraveler, potential visitors will be able to select their favourite hotels, restaurants and attractions.

The website also has a “discover your next adventure” function, which highlights experiences similar to their interests. This

is designed to to encourage visitors to explore more of The Bahamas’ islands and cays. There will also be blog content providing an inside look at the experience or destination.

Fishing, diving, culture and historical landmarks will also be featured so potential travellers can learn more about activities specific to their interests and add those experiences to their itineraries.

“Bahamas.com provides consumers with a first look at all that our islands have to offer,” said Joy Jibrilu, the Ministry of Tourism’s director-general. “We are thrilled to introduce the relaunched site and share our islands and stories with the world.”

COVID-19, embracing digital tools and technologies is no longer a luxury but, rather, a necessity. PwC has implemented various digital initiatives internally, with our clients and within the broader Bahamian community.”

He added that in addition to using digital tools to manage and deliver more efficient audits, PwC Bahamas is also providing digital and data analytics support to their clients including an ongoing project with the government.

“We took a manual consolidation process of COVID-19 results and, through the use of a digital tool used by the firm, substantially reduced the time to generate valuable insights

from the data,” Mr Cartwright said.

He added that PwC is also investing in the future of digital entrepreneurs through its corporate social responsibility initiatives.

“We have implemented multiple curricula based around teaching high school students entrepreneurial and technological skills, including blockchain fundamentals,” Mr Cartwright said.

“Digital technology continues to enable us as a firm to provide a more efficient means to help our clients solve their most important problems, and our people are at the very heart of this transformation” said Mr Rahming.

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THE TRIBUNE

Thursday, December 17, 2020, PAGE 5

$1.5bn debt repayment in a year? ‘No problem’ FROM PAGE ONE developing a debt management unit that will look at these things - options for reorganising and repaying debt, and terming it out.

“The Ministry will be much more actively engaged in liability management so we term out debt in a way that is suitable. That is going to be part of the remit of the Debt Management Unit. That will be set up over the next year, and by the time we get to the end of next year we will have the unit set up and running.”

One factor working in the Government’s near-term favour is that $1.384bn, or 92 percent, of the almost$1.5bn coming due within the next 12 months represents Treasury bills and bonds held by Bahamas-domiciled domestic investors such as banks, pension funds, insurance companies and high net worth individuals.

“The share of debt maturing in one year is 17.9 percent - of which 92 percent is attributable to the dominance of domestic Treasuries and bonds,” the Fiscal Strategy Report said.

“To limit the refinance risk inherent in Treasuries, the Government has embarked on a strategic annual exercise to convert, over time, a

segment of these into bonds.

“The share of the debt maturing in the one to five years band was 22.6 percent, with the largest share of 59.5 percent in the over five years maturity bucket. The distribution of forecasted redemptions between 2021 and 2040 indicated the dominance of the local bonds in the portfolio mix.”

Noting that this was to the Government’s advantage, the report added: “These are held mostly by commercial banks, the public corporations, and institutional investors, who tend to refinance issues given the lack of alternative investment instruments in the domestic space.

“The projected spike in external loans in 2022 is explained by the maturity of the previous [$246m] BEC loan assumed by the Government, with external bond redemptions commencing in 2024 through 2033.”

The Fiscal Strategy Report, which gives a clear insight into the scale of the fiscal and economic crisis caused by the combination of Hurricane Dorian and COVID-19, and the extent of the adjustments that The Bahamas must now make, said some $61m of $80m in Treasury Bills “budgeted for conversion” into longerterm debt underwent this process in the 2018-2019 fiscal year.

Web patrons, utility customers warned to brace for pain FROM PAGE ONE that the government has approved the Bahamasair Board’s “recommendation to undertake, in short order, the necessary fare adjustments and operational changes that will eliminate the need for reliance on government subsidies over time. This will allow the airline to become more competitive as it pursues full cost recovery”.

Similar demands, which will likely involve price/tariff increases for consumers, are also being made of the Water & Sewerage Corporation, which Mr Thompson said has not enjoyed a fee increase for more than 20 years dating back to the last century.

Underscoring the increased taxes and fees Bahamian businesses and consumers will likely have to bear as a result of the fiscal and economic blow-out created by COVID-19, Mr Thompson said the government will start with a levy that is already on the books.

“To help counter the revenue losses, starting on January 1, 2021, the government intends to implement the gaming tax on winnings, passed in the House of Assembly in 2019 as part of the Gaming House Operator Amendment Regulations,” he revealed.

The new winnings tax is projected to generate between $10m-$15m annually in extra revenue for the Public Treasury. While a relatively small sum in the overall fiscal scheme of things, it will certainly shrink gamblers’ winnings at a time when they will be hoping to land every cent possible due to COVID-19 related high unemployment and income cuts.

The new winnings tax will see five percent paid on winnings up to $1,000, and 7.5 percent on anything greater than $1,000. Dionisio D’Aguilar, minister of tourism and aviation, said previously that just 45 percent of web shop gaming activities will attract the new patron “winnings” tax with online casino spins remaining untouched “for now”.

He added that the government had decided to focus this levy solely on lottery/ numbers operations because it was too “complicated” to calculate the winnings from online casino spinning, indicating that Bahamian gamblers had got off relatively lightly.

The minister said the comparable winnings tax rates in Jamaica and Barbados are 15 percent and 20 percent, respectively. In the US, he added that the federal tax rate was 25 percent, with state and local taxes on top of that.

Meanwhile, Tommy Turnquest, Bahamasair’s

chairman, declined to provide details on the nature of the “fare adjustments” and operational changes being planned at the national flag carrier. “We’re just discussing with the government when to roll them out,” he added, also declining to give a date.

“I wouldn’t want to say until we finalise the day we will roll them out, but it should be in fairly short order.” However, some insight into what may be coming for Bahamasair passengers was given by Mr D’Aguilar in the 2020-2021 budget debate, when he detailed recommendations from PricewaterhouseCoopers (PwC), the accounting firm.

He said then that Bahamasair was being “implored” by the COVID-19 crisis to increase revenues by $7.5m annually through the levying of “nominal” ticket price rises and baggage fees, as it had not increased fares for eight years.

Mr D’Aguilar said PwC had called for the airline to better align pricing with the cost of service on its domestic routes between Nassau and the Family Islands. A $20 per return ticket increase was recommended to boost Bahamasair’s revenues by $3m per year, along with “ancillary revenue streams” that levy a charge for carrying passenger bags - a common practice in the industry.

Desmond Bannister, deputy prime minister, yesterday said the Water & Sewerage Corporation was “one of the worst” lossmaking SOEs after Mr Thompson told the Senate the utility has “required significant and unsustainable outlays from the public purse for a long time”.

The senator added: “This is largely as a result of policy decisions that essentially limited the Corporation from adjusting its fees for over 20 years. We will be requiring the board to provide a plan to achieve a proper cost recovery model that allows users of the service to substantially cover the costs of operations.

“This may include - and is not limited to - adjustments in rates, while protecting those most in need. It will also likely include a shift to a monthly billing cycle for all customers. The corporation will also be required to pursue operational efficiencies by improving use of technology and rationalising its cost base.”

With consumers now put on notice about forthcoming water price increases, Mr Bannister said: “We are looking at how we can make all these state-owned enterprises (SOEs) more efficient, and how we can drive costs down.”

The document indicates that the Government is relying heavily, as it often does, on economic growth to lift The Bahamas out of a postCOVID depression as well as keep its debt ratios and other fiscal indicators in check.

Using International Monetary Fund (IMF) data, the Fiscal Strategy Report projects that following this year’s 16.2 percent contraction in real gross domestic product (GDP) and a modest 2 percent pick-up in 2021, economic activity will rebound by 8.5 percent in 2022 in anticipation of a worldwide COVID-19 vaccine roll-out that ends the pandemic.

This is to be followed by projected real GDP growth of 4 percent in 2023, and 3.7 percent in 2024. Defending these forecasts against

assertions that they were too optimistic and aggressive, Mr Johnson argued: “The growth numbers are taking us back to pre-pandemic. It’s not from March; it’s from a baseline of the economy being down 16.2 percent.

“Unless we have some other catastrophic event, the pace of recovery will pick up slowly but once we get a full vaccine rolled out it won’t be completely catching up, but we will eventually. It [the GDP projections] get us back to pre-COVID. “We took a very conservative stance that allows the economy to get back to prepandemic levels over the next three years. It’s a steep climb, but a climb that will get us back to normality.”

However, again drawing on IMF figures, the Fiscal

Strategy Report delivered a stark warning that high unemployment levels will persist through 2023 with almost one in six Bahamians looking for work unable to find it.

“The restoration in employment conditions is expected to lag the pace anticipated for economic growth. The IMF’s latest projections show the unemployment rate remaining elevated in the near-term, gradually levelling-off from its COVID-19 peak estimate of 25.4 percent for 2020, to 16.1 percent by 2023, but not attaining the pre-crisis rate within the medium-term forecast period,” the report said.

“This trajectory is partially explained by the phased reopening of the large hotel properties, the likely longer recovery

horizon for smaller businesses from the financial fragility caused by the COVID-19 shock, and the delay in the return of cruise ship activity until the first half of 2021, which will limit the rebound in the employment numbers over the near term.”

Many Bahamians will likely argue that the 25.4 percent unemployment rate cited by the IMF in its latest Article IV visit could be about half the true level of joblessness.

The Ministry of Finance subsequently pointed to data showing the unemployment rate progressively reducing from 24 percent next year to 12.5 percent in 2025, but the latter is still in excess of the 10.7 percent rate cited by the Department of Statistics in late 2019.

PAGE 6, Thursday, December 17, 2020

THE TRIBUNE

Govt targeting $200m spending cuts by June FROM PAGE ONE

secretary, explained that the government had been forced to seek deeper cuts due to incurring unplanned spending on COVID-19 related food and unemployment assistance, plus almost $21m in extra taxpayer subsidies to save loss-making state-owned enterprises (SOEs) from collapse.

The Fiscal Strategy Report ultimately did acknowledge that the Ministry of Finance’s initial estimates have been “adjusted to reflect the new spending requirements and further expenditure savings measures to lessen the impact on the overall budget”.

It added: “Among the unbudgeted expenses are an additional $45m for the unemployment assistance programme though end-December 2020, increased funding of $10m to support the Rapid Food Distribution Task Force to end-December 2020, and increased support to the state-owned enterprises (SOEs) in the amount of $20.8m.

“To assist with the increasing pressures exerted by the lower-than-forecasted revenue performance, the government has signalled its intention to pursue adjustments to both recurrent and capital expenditure with due consideration to ensuring the continuation of priority projects.”

These priority projects were not identified, and the decision to subsequently extend the unemployment and food assistance to end-January means the government faces additional unplanned COVID-19 assistance, hence Mr Thompson’s announcement of a further $200m in spending cuts.

The Fiscal Strategy Report also revealed that the government’s revenues are on track to come in some $184.2m below their 2020-2021 full-year budget target of $1.762bn if first quarter trends persist throughout the remainder of the year through to end-June.

The Ministry of Finance last night confirmed that revenues for the three

PROFESSIONAL OPPORTUNITY A prominent company is seeking a suitable candidate to serve as:

HUMAN RESOURCES OFFICER

The Human Resources Officer will facilitate the daily administrative responsibilities of the Human Resource Department and support/liaise with the Senior Managers.

Required Qualifications: • At least two (2) years’ experience as HR officer, administrator or other HR position.

• Sound knowledge of HR functions (pay & benefits, recruitment, training & development etc.).

• In-depth understanding of labor laws and disciplinary procedures.

• Proficient in MS Office; knowledge of HRMS is a plus.

• Great organizational and time-management abilities.

• Excellent communication and interpersonal skills.

• Problem-solving and decision-making aptitude.

• Strong ethics, confidentiality and reliability.

Education: • BSc/BA in Human Resources, Business Administration or relevant field; further training will be a plus.

• HR Credentials (e.g. PHR from the HR Certification Institute) Interested qualified applicants should forward their respective CV to humanresources.recruit19@gmail.com, on or before December 22nd, 2020.

JOB VACANCY NOTICE

months to end-September, a period marked by lockdowns, curfews and restrictions on normal commerce, had come in some $68m below the expectations laid out in May’s Budget.

“Since the preparation of these forecasts, the government’s imposition of more restrictive lockdown measures in the opening quarter of the fiscal year, in response to the sharp increase in the number of domestic COVID-19 cases, had a larger than anticipated impact on the revenue outturn,” the Fiscal Strategy Report said.

“First quarter revenue loss was placed at nearly $184.2m relative to the baseline budget, with the contraction in the month of August deviating from the original projections by approximately $50.9m or 56.9 percent.”

The ministry subsequently clarified that the $184.2m figure related to how much revenues may be off for the full-year, not the first quarter, after Tribune Business again questioned the government’s figures.

Meanwhile, the revised November 2020 fiscal projections, as laid out in the Fiscal Strategy Report, show revenues down by some $114m at $1.658bn for the full 2020-2021 fiscal year. To keep the deficit at the original $1.327bn, capital spending was cut by $86m to $429.5m with recurrent spending dropping by a more modest $18m.

However, COVID-19’s continued savaging of the Bahamian economy has forced the government to seek deeper spending cuts amid the ongoing debt and deficit blow-outs. The latter is still projected to be a massive $954.6m in 2021-2022, and is now only projected to reach its 0.5 percent of GDP target - as set by the Fiscal Responsibility Act

- in the 2024-2025 budget year.

And bringing the debtto-GDP ratio back to the 50 percent targeted by the same Act is forecast to take a whole decade, exposing just how much the government’s finances and the wider economy have been set back by COVID-19.

“Consistent with the projected overall balance outcomes, the debt is expected to increase in 2020-2021 to approximately $9.5bn or 83 percent of GDP, and grow incrementally to an estimated 85 percent of GDP in 20212022,” the Fiscal Strategy Report said.

“With the reduction in the overall deficit and the increasing primary surplus position in the outer years of the medium-term framework, it is envisaged that the debt would taper off to 73.7 percent of GDP by 2024-2025.

“Given the already aggressive and policyweighted path to fiscal consolidation, it is unlikely that the government would achieve the 50 percent debt target by 2028-2029 as projected in the 2019 fiscal adjustment plan,” the report continued.

“The government, therefore, envisages a more reasonable target date of 2030-2031 - a further extension of two years - for achieving the debt target. This is predicated on the assumption that the accumulation of primary surpluses in the intervening years would reduce the need for borrowing.”

The government’s fiscal measures and priorities largely reflect what it has already announced, with a focus on compliance, enforcement and administration on the revenue side, and limiting growth in public sector employment except in areas such as health and specialist roles.

While there was no explicit mention of new and/ or increased taxes, there can be little doubt they will be coming. “The forecast years assume that the tax-to-GDP ratio will rise from a low of 14.5 percent in 2020-2021 to a high of 20.5 percent in 2024-2025, which is necessary to support the overall fiscal and debt consolidation objectives under the recently revised medium-term fiscal framework, and the government’s corresponding economic and social priorities,” the Fiscal Strategy Report said.

“Given the likelihood that this outcome will not be achieved by economic growth alone, the government intends to pursue a combination of improved tax administration to increase the revenue yield and continued tax policy reforms, in addition to the expected unwinding of the existing incentive schemes necessitated by the two recent external shocks.”

As for spending, the Fiscal Strategy Report added: “Early in fiscal year 2021/2022, the government will undertake a comprehensive assessment of expenditures to ensure.. the effectiveness of budgetary spending controls and management of associated fiscal risks; the proper alignment of budget planning and execution with the government’s priority objectives; efficiency in the delivery of services; and that the government is receiving value for money.”

To finance the increasing digitisation of government services, the report said: “Approximately $11.4m is budgeted for these activities in 2020-2021, an additional $13.5m in 2021-2022, and $10.8m in 2022-2023. By delivering enhanced operational efficiency and effectiveness, these activities will have a growing positive impact on the country’s competitiveness, innovation and Bahamians in general.”

MAJOR LAW FIRM – FREEPORT OFFICE POSITION - LEGAL SECRETARY A major law firm is looking for a Legal Secretary who has experience working in transactional and real estate. This position will provide support to its Freeport, Grand Bahama Office. The Legal Secretary must maintain positive contact with clients, Attorneys and staff and observes confidentiality of all client matters.

Legal Secretary Responsibilities:

• Prepares correspondence, memoranda and other legal documents from written and oral drafts, drafts standard correspondence and other documents.

• Transcribes dictation as needed.

• Reads and sorts incoming mail. Ensures that outgoing mail is delivered in a timely manner. If necessary, routes mail to specific delivery service and follows up on timely delivery Prepares client invoices, cheques and daily deposits.

• Establishes and maintains calendar and deadline reminder systems.

• Opens new files, maintains all client and general files.

• Conducts periodic review, in consultation with reporting Attorney, for possible storage of older files; prepares files to be closed.

• Receives clients and visitors; maintains good public relations with clients; observes confidentiality of attorney-client relationship.

• Makes appointments for Attorney.

• Ensures that Attorney time sheets are prepared on a timely basis.

Legal Secretary Knowledge, Skills & Abilities:

•

• • •

•

Working knowledge of preparing routine office

correspondence and Memos.

High degree of professional ethics and integrity.

Possess excellent interpersonal communication skills.

Excellent organizational and planning skills, and the ability to prioritize and multitask.

Ability to proofread typed material for grammatical,

typographical and spelling errors.

• Proficient in Microsoft Office software.

Legal Secretary Requirements:

• •

• •

Associates Degree in Secretarial Science; or Certified Professional Secretary/Certified Administrative Professional Certification; or Paralegal Certificate from Institute of Legal Executives; and Three (3) to Five (5) years’ experience as a Legal Secretary.

Please submit your resume to profcareers242@gmail.com on or before Thursday, December 31, 2020. Only qualified applicants will be contacted.

To advertise in The Tribune, contact 502-2394

THE TRIBUNE

Developer’s offering to ‘regain momentum’ FROM PAGE ONE

of development,” he told this newspaper. “We’re in a position where today, as soon as this COVID-19 pandemic thing is behind us, we can do what we want to do.

The more funding we can raise, the more we can do in the interim. We’re using the down time to make the place better to come to.

“Whatever quantum we get we will put to productive use. All we want to do is accelerate the pace of activity, and accelerate the pace of activity in terms of sales.” Sir Franklyn confirmed that the funds raised will be used to construct additional villas and amenities in a bid to make Jack’s Bay more attractive to the “40 founder” real estate purchasers it is seeking.

Confirming that them development had “tamped down” its marketing initiatives due to COVID-19, and the restrictions imposed on travel and tourism, he added: “We think it’s better to get to the stage where our target audience has a degree of confidence that COVID19 is behind us.

CFAL, the Bahamian investment management and advisory company, is

Thursday, December 17, 2020, PAGE 7

ENTRANCE sign at Jack’s Bay on Eleuthera. the broker for the Jack’s Bay preference share offer.

“Along with competitive pricing, our shares also offer short-term and long-term benefits,” said Tommy Turnquest, deputy chairman of Jack’s Bay Developers, said in a statement.

“With a fixed rate of return of 6.25 percent, there is also the option to convert to ordinary shares once the company goes public as expected by 2024, and those shares are listed on the stock exchange (BISX).

“Your investment is secured by $70m in equity, 1,200 acres of land, no bank debt, a signed Heads of Agreement with the Bahamas government, and a skilled and experienced management team that is passionate about this project.”

Sir Franklyn added: “What we are doing at Jack’s Bay is bringing to the stunning topography of Eleuthera a business model that has proven abundantly successful throughout the world, on New Providence and other Family Islands.

Yet we are bringing top-tier luxury living to Eleuthera in a way that rivals any comparable offering worldwide.”

Jack’s Bay, built on 1200 acres with 2.5 miles of Atlantic Ocean beach frontage,

said it features five Blue Holes, an inland lake, varied dining options, outdoor adventures, luxury amenities and a golf course designed

by Tiger Woods.

Other shareholders include the likes of Royal Bank of Canada (RBC); Sunshine Holdings; the Bahamas Communications & Public Officers Union’s pension fund; John Bull; BA Financial; the estates of the late Billy Lowe and the late John Morley, and Eleutherabased investors such as Lawrence Griffin and Rock Sound Properties (1976) Ltd. Thomas Sands, Rock Sound Properties chief executive and Eleuthera Chamber of Commerce chief, said his investment in Jack’s Bay was an investment in the development of The Bahamas.

“There are many discussions about Bahamians pooling resources to drive the economy of our country while creating world-class products. Jack’s Bay is an example of not just lip service but of the execution by exceptional leadership, which has been supported by a list of significant domestic and international investors who have consolidated their resources,” he added.

PAGE 8, Thursday, December 17, 2020

THE TRIBUNE

Bitcoin surges past $20,000, erasing three years of deep losses CHARLOTTE Associated Press THE price of bitcoin rose above $20,000 for the first time yesterday, as the speculative digital currency topped its previous peak reached shortly after it became tradable on Wall Street three years ago this month.

Like other instruments

used to store value in times of uncertainty, bitcoin has benefited from the pandemic that has pushed other commodities like gold, silver, platinum to multiyear highs. Because of bitcoin’s structure, few coins are being created anymore and there is relative scarcity.

Here’s a brief look at bitcoin: HOW BITCOINS WORK Bitcoin is a digital

currency that is not tied to a bank or government and allows users to spend money anonymously. The coins are created by users who “mine” them by lending computing power to verify other users’ transactions. They receive bitcoins in exchange. The coins also can be bought and sold on exchanges with US dollars and other currencies.

Some businesses also accept

PROFESSIONAL OPPORTUNITY

A BITCOIN logo is shown is displayed on an ATM in Hong Kong. The price of bitcoin rose above $20,000 for the first time yesterday as the speculative digital currency reached levels not seen since when bitcoin became tradable on Wall Street three years ago this month. Like other instruments used to store value in times of uncertainty, bitcoin has benefited from the pandemic which has push other commodities like gold, silver, platinum up to multi-year highs. But despite its high price, the currency remains a niche investment for most of the public, and remains extremely volatile.

Photo: Kin Cheung/AP

A prominent company is seeking a suitable candidate to serve as:

EXECUTIVE ASSISTANT

The Executive Assistant will support the CEO. The successful candidate will be professional, detail-oriented, maintain a positive attitude, while effectively managing all aspects of their assigned duties. The Executive Assistant must have an extreme sense of urgency and an ability to deal with sensitive information – keeping information confidential.

bitcoin, but its popularity has stalled out in recent years.

WHAT HAPPENED? Bitcoins got their big Wall Street debut in December 2017, when bitcoin futures became tradable on the Chicago Mercantile Exchange and the Chicago Board of Trade. The fervour and interest in bitcoin heading into its trading debut pushed the digital currency to record highs. The currency, which was worth less than $1,000 at the beginning of 2017, climbed up to $19,783 by the end of the year.

But once the trading began, bitcoin futures fell sharply over the course of several months. A year later, the currency was worth less than $4,000. Investors and bitcoin enthusiasts at the time said the 2017 jump was largely caused by speculative interest and media attention.

HOW MUCH IS IT NOW WORTH? One bitcoin is worth roughly $20,700, according to Coinbase, a major digital currency exchange that also trades other tokens and currencies.

But the value of bitcoin is volatile and moves

Required Qualifications: • At least two (2) plus years administrative experience with at least one (1) year spent working with executives • Assignment requires a detailed knowledge of organization’s operations, organizational procedures, and personnel.

• Demonstrate ability to work with high impact executives.

• Work well with cross-functional teams • Excellent writing, research, multi-tasking, prioritizing and time management skills • Demonstrate ability and temperament to work with sensitive / confidential information.

• Must have great interpersonal skills and proficiency in business vocabulary to effectively represent the leadership team and the company to outside organizations, clients, vendors, employees etc.

• Demonstrate excellent attention to detail and decision-making skills to respond to high-pressure situations.

• Demonstrate time management skills to plan, manage, and coordinate executive’s activities and major functions Education: • A Bachelor’s degree in business and/or certification in secretarial related field.

• Proficient in Microsoft Word, PowerPoint, Excel.

Interested qualified applicants should forward their respective CV to humanresources.recruit19@gmail.com, on or before December 22nd, 2020.

MARKET REPORT www.bisxbahamas.com

WEDNESDAY, 16 DECEMBER 2020

BISX ALL SHARE INDEX:

CLOSE

CHANGE

2055.02

-35.49

%CHANGE

YTD

YTD%

-1.70 -176.58

-7.91

(242) 323-2330 (242) 323-2320

BISX LISTED & TRADED SECURITIES 52WK HI 4.11 33.05 2.00 1.79 2.39 6.00 6.75 4.10 8.01 4.50 6.16 12.77 3.64 6.50 10.88 8.44 15.35 4.25 9.26 15.21

52WK LOW 3.13 22.65 0.67 1.62 1.67 5.00 6.00 2.70 4.75 3.50 5.90 11.06 2.10 3.96 9.60 7.50 13.00 3.25 8.15 14.00

PREFERENCE SHARES 1.00

1.00

1000.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

1.00 10.00 1.00

1.00 10.00 0.90

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

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

Bahamas First Holdings Preference Cable Bahamas Series 6 Cable Bahamas Series 8 Cable Bahamas Series 9 Cable Bahamas Series 10 Colina Holdings Class A RF Bank & Trust Limited Class A Focol Class B

BFHP CAB6 CAB8 CAB9 CAB10 CHLA FBBA FCLB

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

52WK LOW 100.00 100.00

115.92 100.00 100.00 100.00 100.00 100.00 100.00 102.00

104.79 100.00 100.00 100.00 100.00 100.00 100.00 100.00

52WK HI 2.37 4.43 2.13 198.39 176.73 1.69 1.85 1.77 1.24 8.39 10.26 7.23 12.80 12.81 10.81 10.00 8.98 11.79

52WK LOW 2.11 3.30 1.68 164.74 116.70 1.65 1.79 1.75 1.05 6.41 7.62 5.66 8.65 10.54 9.57 9.88 8.45 11.20

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

SYMBOL FBB22 BFHB

BAHAMAS GOVERNMENT STOCK - (percentage pricing)

MUTUAL FUNDS

MARKET TERMS

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

BAH29 BG0107 BG0207 BG0130 BG0230 BG0307 BG0330 BG0407

LAST CLOSE 4.11 32.12 1.62 1.78 1.67 6.00 6.61 2.95 4.75 3.62 5.90 11.26 2.37 6.50 10.52 8.40 14.24 3.80 8.25 15.20

CLOSE 4.11 32.12 1.62 1.78 1.67 6.00 6.61 2.95 4.75 3.50 5.90 11.26 2.39 6.50 10.46 8.40 13.00 3.71 8.25 15.20

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 (0.12) 0.00 0.00 0.02 0.00 (0.06) 0.00 (1.24) (0.09) 0.00 0.00

1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00

1.00 1000.00 1000.00 1000.00 1000.00 1.00 10.00 1.00

LAST SALE 100.00 100.00

CLOSE 100.00 100.00

CHANGE 0.00 0.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00

107.31 100.00 100.00 100.00 100.00 100.00 100.00 100.00

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

VOLUME

138,100

2,000

1,000 6,000

0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000 VOLUME

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

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

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

NAV 2.37 4.43 2.13 198.36 173.98 1.69 1.79 1.77 1.05 8.39 9.88 7.23 12.33 12.80 10.20 N/A 9.28 11.86

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

P/E 17.2 34.5 N/M N/M N/M N/M 17.9 -6.7 33.9 19.0 13.1 15.6 23.4 13.9 16.2 11.5 15.9 18.3 8.8 24.1

YIELD 4.14% 3.92% 1.23% 0.00% 0.00% 0.00% 3.93% 0.00% 0.00% 3.43% 3.73% 6.39% 18.16% 0.92% 3.14% 2.86% 4.15% 3.23% 2.42% 4.01%

0.000 0.000 0.000 0.000 0.000 0.000 0.000 0.000

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

INTEREST Prime + 1.75% 6.25%

MATURITY 19-Oct-2022 30-Sep-2025

6.95% 4.50% 4.50% 6.25% 6.25% 4.50% 6.25% 4.25%

20-Nov-2029 15-Dec-2021 30-Jul-2022 15-Dec-2044 30-Jul-2045 26-Jun-2022 26-Jun-2045 15-Oct-2022

YTD% 12 MTH% 3.76% 4.43% 1.54% 2.56% 2.12% 2.59% 1.65% 2.39% 4.34% 9.82% 1.65% 1.95% -3.06% -2.22% 0.80% 1.17% -12.30% -11.81% 0.64% 0.98% 1.19% -3.63% 4.20% 5.04% 2.63% 7.68% 3.68% 3.93% -4.89% -4.62% N/A N/A -0.50% 3.70% -3.80% 4.10%

hundreds or even thousands of dollars in the course of a week. A month ago, it was worth less than $17,000 and a year ago it was worth less than $7,000.

Bitcoin is a highly speculative investment and has not performed as well as more traditional forms of investing, like stocks or bonds, unless a buyer was in the currency years before it caught on. For example, three years ago The Associated Press bought $100 worth of bitcoin to keep track of the currency and to possibly build stories about how businesses were accepting it. That portfolio only broke even this month.

WHY BITCOINS ARE POPULAR Bitcoins are basically lines of computer code that are digitally signed each time they travel from one owner to the next. Transactions can be made anonymously, making the currency popular with libertarians as well as tech enthusiasts, speculators — and criminals.

Bitcoins have to be stored in a digital wallet, either online through an exchange like Coinbase, or offline on a hard drive using specialised software. While the bitcoin community knows how many bitcoins exist, where they all are is anyone’s guess.

WHO’S USING BITCOIN? Some businesses have jumped on the bitcoin bandwagon.

Overstock.com accepts payments in bitcoin, for example.

The currency has become popular enough that more than 300,000 transactions typically occur in an average day, according to bitcoin

wallet site blockchain. info. Still, its popularity is low compared with cash and credit cards, and most individuals and businesses won’t accept bitcoins for payments.

HOW BITCOINS ARE KEPT SECURE The bitcoin network works by harnessing individuals’ greed for the collective good. A network of techsavvy users called miners keep the system honest by pouring their computing power into a blockchain, a global running tally of every bitcoin transaction.

The blockchain prevents rogues from spending the same bitcoin twice, and the miners are rewarded for their efforts by being gifted with the occasional bitcoin.

As long as miners keep the blockchain secure, counterfeiting shouldn’t be an issue.

HOW BITCOIN CAME TO BE It’s a mystery. Bitcoin was launched in 2009 by a person or group of people operating under the name Satoshi Nakamoto. Bitcoin was then adopted by a small clutch of enthusiasts. Nakamoto dropped off the map as bitcoin began to attract widespread attention. But proponents say that doesn’t matter: The currency obeys its own internal logic.

In 2016, An Australian entrepreneur stepped forward and claimed to be the founder of bitcoin, only to say days later that he did not “have the courage” to publish proof that he is. No one has claimed credit for the currency since.

NAV Date 31-Oct-2020 31-Oct-2020 30-Oct-2020 30-Sep-2020 30-Sep-2020 31-Oct-2020 31-Oct-2020 31-Oct-2020 31-Oct-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020 30-Sep-2020

YIELD - last 12 month dividends divided by closing price

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

Bid $ - Buying price of Colina and Fidelity

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

Ask $ - Selling price of Colina and fidelity

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

Last Price - Last traded over-the-counter price

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

Weekly Vol. - Trading volume of the prior week

Change - Change in closing price from day to day

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

Daily Vol. - Number of total shares traded today

NAV - Net Asset Value

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

N/M - Not Meaningful

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

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

15th, December 2020

14th, January 2021

PAGE 10, Thursday, December 17, 2020

THE TRIBUNE

RETAIL SALES FELL 1.1% IN NOVEMBER, BIGGEST DROP IN SEVEN MONTHS NEW YORK Associated Press AMERICANS held back on spending during the start of the holiday shopping season, a troubling sign for retailers and the state of the US economy.

US retail sales fell a seasonally adjusted 1.1% in November, according to the US Commerce Department.

It was the biggest drop in seven months, and a steeper decline than Wall Street analysts had expected.

The report points to a weak start to the allimportant holiday shopping season, which can usually

early, with Amazon, Best Buy, Walmart and others offering holiday deals in October.

Black Friday was also a bust. Typically one of the busiest shopping days of the season, shoppers mostly stayed home after health officials warned people not to shop in person, and retailers followed suit by putting their best deals online. Half as many people shopped inside stores this Black Friday than last year, according to retail data company Sensormatic Solutions.

Economists expect retail sales to fall again this month as virus cases spike and

A PARKING lot nearly empty of the cars of holiday shoppers is shown at the Mall of New Hampshire in Manchester, NH. Retail sales fell 1.1% in November, the biggest drop in seven months, a sign that Americans held back on spending during the start of the holiday shopping season.

Photo: Charles Krupa/AP account for a quarter or The Commerce Departmore of a retailer’s annual ment yesterday also revised sales. It is also another sign October’s report, saying that the pandemic is slowing that retail sales fell 0.1% the US economy as retail- that month, instead of ers face tighter restrictions rising 0.3% as it previously and people stay away from reported. Retailers had stores. tried to get people to shop

states add more restrictions.

“It will take a miracle to keep retail sales positive in December,” said Chris Rupkey, chief financial economist at global financial group MUFG. The US economy has stalled after rebounding this summer following a spring shutdown. Many Americans have cut back on spending after losing a $600 weekly boost to unemployment checks that expired over the summer. Millions remain unemployed and hiring growth slowed last month.

And in a sign Americans are less willing to spend, consumer confidence fell in November.

THE WEATHER REPORT

5-Day Forecast

TODAY

ORLANDO

High: 64° F/18° C Low: 41° F/5° C

TAMPA

FRIDAY

SATURDAY

SUNDAY

MONDAY

Sunshine mixing with some clouds

Partly cloudy with a shower late

Windy with considerable cloudiness

Partly sunny and nice

Nice with partial sunshine

Times of sun and clouds

High: 80°

Low: 68°

High: 77° Low: 65°

High: 76° Low: 66°

High: 78° Low: 68°

High: 80° Low: 66°

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

AccuWeather RealFeel

84° F

69° F

74°-61° F

76°-64° F

81°-68° F

84°-66° F

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

N

almanac

E

W

ABACO

S

N

High: 79° F/26° C Low: 66° F/19° C

7-14 knots

S

High: 79° F/26° C Low: 51° F/11° C

8-16 knots

FT. LAUDERDALE

FREEPORT

High: 82° F/28° C Low: 54° F/12° C

E

W S

E

W

WEST PALM BEACH

N

uV inDex toDay

TONIGHT

High: 64° F/18° C Low: 43° F/6° C

High: 79° F/26° C Low: 61° F/16° C

MIAMI

High: 82° F/28° C Low: 55° F/13° C

8-16 knots

KEY WEST

High: 77° F/25° C Low: 62° F/17° C

ELEUTHERA

NASSAU

High: 80° F/27° C Low: 68° F/20° C

Forecasts and graphics provided by AccuWeather, Inc. ©2020

N

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

tiDes For nassau High

Ht.(ft.)

Low

Ht.(ft.)

Today

9:36 a.m.

10:00 p.m.

3.3 2.4

3:12 a.m. -0.6 4:08 p.m. -0.4

Friday

10:26 a.m.

10:54 p.m.

3.1 2.3

4:04 a.m. -0.3 4:59 p.m. -0.2

Saturday

11:17 a.m.

11:49 p.m.

2.9 2.3

4:57 a.m.

5:50 p.m.

0.0 0.0

Sunday

12:08 p.m.

-----

2.6 -----

5:53 a.m.

6:40 p.m.

0.2 0.1

Monday

12:46 a.m.

1:00 p.m.

2.2 2.4

6:51 a.m.

7:31 p.m.

0.5 0.2

Tuesday

1:43 a.m.

1:53 p.m.

2.2 2.3

7:51 a.m.

8:20 p.m.

0.6 0.2

Wednesday 2:38 a.m.

2:46 p.m.

2.3 2.1

8:52 a.m.

9:08 p.m.

0.6 0.2

sun anD moon Sunrise Sunset

6:49 a.m.

5:24 p.m.

Moonrise Moonset

9:40 a.m.

8:36 p.m.

First

Full

Last

New

Dec. 21

Dec. 29

Jan. 6

Jan. 12

CAT ISLAND

E

W

High: 82° F/28° C Low: 70° F/21° C

N

S

E

W

4-8 knots

S

4-8 knots Shown is today’s weather. Temperatures are today’s highs and tonight’s lows.

Statistics are for Nassau through 1 p.m. yesterday Temperature High ................................................... 81° F/27° C Low .................................................... 65° F/18° C Normal high ....................................... 79° F/26° C Normal low ........................................ 67° F/19° C Last year’s high ................................. 83° F/28° C Last year’s low ................................... 74° F/23° C Precipitation As of 1 p.m. yesterday ................................. 0.00” Year to date ............................................... 67.20” Normal year to date ................................... 39.12”

High: 82° F/28° C Low: 69° F/21° C

The Commerce Department said sales were down sharply at all types of retailers last month, including clothing, electronic and furniture stores. The biggest drop was at department stores, down 7.7%. Restaurant sales fell 4%.

The few bright spots were online sales, which rose 0.2%, supermarket sales, up 1.9%, and sales at home improvement stores, which were up 1.1%.

Yesterday’s report covers only about a third of overall consumer spending.

Services such as haircuts and hotel stays, which have been badly hurt by the pandemic, are not included.

ANDROS

SAN SALVADOR

GREAT EXUMA

High: 82° F/28° C Low: 70° F/21° C

High: 81° F/27° C Low: 73° F/23° C

N

High: 82° F/28° C Low: 70° F/21° C

E

W S

LONG ISLAND

tracking map

High: 83° F/28° C Low: 71° F/22° C

4-8 knots

MAYAGUANA High: 82° F/28° C Low: 74° F/23° C

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

CROOKED ISLAND / ACKLINS

tonight’s lows.

RAGGED ISLAND High: 82° F/28° C Low: 73° F/23° C

High: 82° F/28° C Low: 73° F/23° C

GREAT INAGUA High: 84° F/29° C Low: 74° F/23° C

N

E

W

E

W

N

S

S

4-8 knots

6-12 knots

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

Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday: Today: Friday:

WINDS SW at 8-16 Knots N at 8-16 Knots S at 4-8 Knots NNE at 8-16 Knots S at 4-8 Knots NNW at 6-12 Knots E at 6-12 Knots NE at 7-14 Knots SSW at 4-8 Knots N at 8-16 Knots WSW at 7-14 Knots N at 8-16 Knots S at 4-8 Knots NNE at 7-14 Knots NE at 6-12 Knots NE at 7-14 Knots SE at 4-8 Knots NNE at 6-12 Knots E at 6-12 Knots NNE at 6-12 Knots S at 4-8 Knots N at 12-25 Knots SE at 4-8 Knots NNE at 7-14 Knots S at 4-8 Knots N at 7-14 Knots

WAVES 3-6 Feet 3-6 Feet 1-2 Feet 2-4 Feet 2-4 Feet 2-4 Feet 2-4 Feet 2-4 Feet 3-5 Feet 3-6 Feet 2-4 Feet 3-5 Feet 1-2 Feet 1-2 Feet 2-4 Feet 2-4 Feet 1-2 Feet 1-2 Feet 3-6 Feet 3-5 Feet 1-2 Feet 2-4 Feet 1-3 Feet 1-3 Feet 1-3 Feet 2-4 Feet

VISIBILITY 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles 10 Miles

WATER TEMPS. 77° F 77° F 77° F 78° F 79° F 79° F 81° F 81° F 78° F 78° F 79° F 80° F 79° F 79° F 81° F 81° F 81° F 81° F 80° F 80° F 78° F 78° F 80° F 80° F 78° F 78° F