06172016 business by tribune242

FRIDAY, JUNE 17, 2016

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Airport woes threaten 1.7m passenger boost By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net THE Family Islands will be unable to capitalise on a projected 2.4 per cent annual growth rate in air passengers over the next 17 years unless $160 million is invested to bring their airports to “the highest possible” standards. A newly-released InterAmerican Development Bank (IDB) report warns that these islands cannot improve their tourism and economic competitiveness without a major overhaul of their 28 airports, which have “lacked investment for some time”. The report, which has been obtained by Tribune Business, outlines the proposed ‘Airport Infrastructure Programme’, which will be financed by a $35

Impact of 2.4% annual growth blunted for Out Isles $35m IDB project aims to unlock tourism potential Proposing NAD-type PPPs to get $160m invest million loan from the IDB to the Government. The project aims to identify the Family Island airports best-suited to a replication of the ‘NAD model’, which has overseen the transformation of

Lynden Pindling International Airport (LPIA) via a $409.5 million public-private partnership (PPP). Under that model, the Government has retained 100 per cent ownership of LPIA and all its assets, while handing over the airport’s daily operations and management to Nassau Airport Development Company (NAD), part of Vantage Airport Group. The IDB-financed project will assess 13 Family Island airports to determine whether they are suitable for a NAD-type PPP, and also develop the best structure for agreements between the Government and the private sector relating to their ownership and financing. The bulk of the monies, some $33 million, will be spent on financing the Government’s share of the investment re-

quired to upgrade the airports suitable for PPPs. “The 28 Family Island airports in the Bahamas have been in need of investment for some time and require a wide range of aviation and infrastructure upgrades to improve their regional and global integration,” the IDB report said. “The airports require maintenance and improvements in operating conditions, and also protection of the airside and its operation protected zones.” The IDB report continued: “It has been projected that in the next 20 years, the passenger demands on the Family Island airports would increase by 2.4 per cent annually to reach 1.7 million passengers by 2033. “For the Family Islands to capitalise on this opportunity, and to have a strong market See PG B4

Businessman supports Activists demand BEC GBPA ‘strong arming’ management deal’s disclosure By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

A VETERAN Freeport businessman believes the Government may have to “strong arm” the Grand Bahama Port Authority (GBPA) and its owners to revive the city’s moribund economy. Jeffrey Butler, the former Butler’s Food World operator, told Tribune Business that while he was not totally convinced that the Government’s Memorandum of Understanding (MoU) with the GBPA is the best route to take, “something has to be done”. “A lot of it is fine,” he said of the MoU. “They are strong-arming the Port Authority, but that may be necessary. The Port has been a dead issue for 12-13 years. “Something has to be done; I don’t know what the most diplomatic avenue is. They wanted the families [the Haywards and St Georges] out.” Freeport’s economy has

Butler: ‘We need new blood here’ Says families ‘don’t have a grip’ on Port, Freeport Disputes Gov’t assertion of Freeport ‘deficit’

generally been moribund since 2004, the year that Hurricanes Frances and Jeanne struck, and the Royal Oasis resort closed. That was followed by the passing of Edward St George, and the legal battle that erupted within first his estate, and then the wider GBPA ownership interests. Amid the legal wrangling, investment and new business flows to Freeport slowed to a trickle and, deSee PG B5

Pre-paid meter solution to BPL ‘cut-off trap’ By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net BAHAMAS Power & Light (BPL) has been urged to accelerate the roll-out of pre-paid electricity meters, an outspoken businessman arguing that it would help low income Bahamians avoid the “cut-off trap”. Dionisio D’Aguilar, who sat on the Bahamas Electricity Corporation (BEC) Board under the former Ingraham administration, said the reliance on post-paid meters was “onerous” for poor Bahamians. He told Tribune Business that these allowed households to run-up huge energy bills they had no ability to pay, resulting in BEC (now BPL) cutting them off for non-payment. And, given the relatively high cost of electricity, coupled with high unemployment and the struggling economy, Mr D’Aguilar said many low income Bahamians were unable to afford what was necessary for their supply to be restored. This resulted in families being cut-off for months, even years, and the Superwash president said pre-paid meters would instead enable them to manage their energy consumption to the point where they would only use See PG B4

Poor Bahamians run up big bills, can’t get back on Ex-BEC director sees ‘conservation’ solution New operator indicates open to new technology

$4.15 $4.20 $4.21

$4.21

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net ENVIRONMENTAL activists are seeking a Supreme Court Order that will force the Government to disclose the management agreement signed with PowerSecure International for Bahamas Power & Light (BPL). The Coalition to Protect Clifton Bay, in a June 6, 2016, summons, wants the court to also Order the production of numerous documents related to BPL/BEC’s oil pollution mitigation efforts at Clifton Pier, and contracts with various environmental consultants. However, top of the Coalition’s list is the February 9, 2016, management services agreement between the Government and PowerSecure “for the management, operational control and responsibility for all electricity generation, transmission, distribution, procurement, and the safe and reliable operation of the BEC facilities”. Neither that agreement, nor PowerSecure’s business plan for BPL, the Bahamas Electricity Corporation’s (BEC) newly-formed operating subsidiary, have been disclosed as yet to the Bahamian public and business

Clifton Coalition seeks Supreme Court Order Implies Gov’t stalling on document discovery Wants host of pollution mitigation contracts divulged community. BPL had called a press conference to discuss its business plan, but this was cancelled just days before its proposal for a ‘base rate’ increase which the Christie government subsequently rejected - was leaked out. Legal documents obtained by Tribune Business suggest that the Coalition and its attorneys, Callenders & Co, filed the June 6 summons after becoming frustrated at what they perceived as ‘stalling’ by the Government over document discovery. Deidre Henfield, a Callenders & Co legal assistant, alleged that the Coalition filed a May 3, 2016, notice asking to inspect, and obtain copies See PG B5

CABLE BAHAMAS HEAD OFFICE

Cable readies $30m pref share offering Proceeds to ‘fund expansion’ in Bahamas, US Broken in $20m B$, $10m US components Will likely assist second mobile operator roll-out By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net CABLE Bahamas is again preparing to tap the Bahamian capital markets for a further $30 million in preference share financing, which will help fund the roll-out of this nation’s second mobile provider. The BISX-listed communications provider has issued term sheets to select institutional investors and their advisers, in a bid to both whet their appetite and inform them to keep liquid capital on hand, for an offering it wants to launch in late June. Tribune Business can reveal that the proposed $30 million issue is broken down into tranches, with investors set to be offered $20 million worth of Bahamian dollar-denominated preference shares, while the $10 million balance will be in US dollars. The term sheets, which have been seen by this newspaper, reveal that the $20 million Series 11 tranche will be used to finance both Cable Bahamas’ operating expenses and capital investments. “The proceeds will be used to fund the company’s capital expenditures and operating expenses, as well as to facilitate further expansion in both the Bahamian and US markets,” the Series 11 term sheet reads. The term sheet for the $10 million US dollar tranche, to be called Series 12, states that the funds will only “be used to meet operational funding requirements”. The offering is private, and Bahamian public investors should not seek to participate. Cable Bahamas’ latest capital call is thus See PG B4

PAGE 2, Friday, June 17, 2016

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Making education everyone’s business TODAY marks the end of another school year. Most educational institutions in the Bahamas would likely describe this year as a challenging yet successful one. We know, and research bears out, that quality education systems are those where students, parents, teachers and

the administrative system work together in ensuring that no child is left behind. A key factor in improving the success rate of academic institutions is the level of local corporate support they receive throughout the course of the school term. When businesses under-

stand that they, too, have a crucial role to play in the development of healthy young minds, our school system and society as a whole benefits tremendously. Here, then, are seven quick tips for businesses on how to keep students engaged during the school year and on

summer breaks:

Create meaningful after-school care programmes. These can be activity-based programmes that may not be as structured as the regular school day, but allow students to explore their specific interests and hobbies.

Hire as many students for meaningful summer employment. There are many companies who secure a sizeable budget to hire as many students during their break period. A little goes a long way in this regard.

Create a ‘Support the A’s’ programme or type of incentive system that rewards students for great academic performance.

Deploy and assign professionals to schools in your business district to make the learning process more relevant to real life and actual business experiences. Every senior executive should have some presence in a school as a

means of paying it forward.

Provide and donate furniture, technology and money to support the many programmes schools struggle to make happen each term. Schools should be focused on providing top quality education for students, and not burdened with trying to raise funds for trips, computers and the like.

Volunteer to be part of the curriculum design. This strategic approach to help the entire school system is vital to the long-term, sustained development of our children’s growth and development.

Enact programmes and policies that encourage parents to be engaged and involved in the life of the school. Having them attend parent-teacher conferences. Participating in reading programmes and school shadowing processes can only help the system. Our new mantra as a society must become: ‘ Education is everyone’s business’. A strong, vibrant and healthy

IAN FERGUSON society is an educated one, where even they youngest among us possess the ability to think critically and act responsibly. Let us all do our part. • NB: Ian R. Ferguson is a talent management and organisational development consultant, having completed graduate studies with regional and international universities. He has served organsations, both locally and globally, providing relevant solutions to their business growth and development issues. He may be contacted at tcconsultants@ coralwave.com.

Marketplace to give 100 vendors ‘Tru’ showcase IN a ‘Tru Tru’ example of public-private sector partnership (PPP), the Ministry of Tourism and the Bahamas Hotel and Tourism (BHTA) have teamed up to create an inaugural showcase for authentic Bahamian products. The ‘Tru Tru Bahamian Marketplace’ targets the wholesale market, particularly businesses who are in

or connected to the hospitality industry. The two-day event, which opens today at Atlantis, will bring together Bahamian entrepreneurs and potential wholesale purchasers; hotel owners, operators and executives; restaurant owners and management; chefs; retailers; destination management companies; event planners; and marketing companies.

The BHTA, in 2015, embarked upon an initiative dubbed ‘The Tru Tru Bahamian Movement’, with a mandate to support, promote and bring unique, indigenous Bahamian culture to the forefront of our tourism product. These aspects included food, heritage, culture, customs and traditions, arts and craft, music See PG B3

FRONT row, L to R: Maurice Butler, second vice-president; Gowon Bowe, first vice-president; Darnell Osborne, president; Talia Sweeting, assistant secretary; Lawrence Lewis, treasurer BACK row, L to R: Jasmine Davis, council member; Shaneska Kemp, council member; Dionne Comery, council member; Chandrice Ferguson, assistant treasurer; Cecile Greene, council member; Natishkah Barrett, council member; Pretino Albury, assistant registrar.

BICA: Full practice monitoring roll-out by this summer THE Bahamas Institute of Chartered Accountants (BICA) told members attending its recent annual general meeting (AGM) that practice monitoring will be full rolled-out this summer. The Institute, which is celebrating its 45th anniversary, said the practice monitoring was part of legislative upgrades designed to bring it into compliance with the International Federation of Accountants (IFAC) membership requirements. Darnell Osborne, BICA’s president, told the AGM that despite the short Council year, it was able to successfully draft and implement the new legislation that brings it in compliance with IFAC. The year also saw the completion and publication of BICA’s Statement of Membership Obligations (SMO) Plan ahead of schedule. BICA was also represented on several national committees and working groups, consulting with the Caribbean National

Regional Technical Assistance Centre (CARTS), the International Monetary Fund (IMF), the Ministry of Finance and the Public Treasury. BICA’s Council has now been charged with preparation of a strategic plan; increased dialogue with key stakeholders in the various government departments;greater enforcement of the renewal of licensing requirements; attracting new members and encouraging active participation by all current ones; and continuous assessment of the administrative and technical capacity of the Secretariat. Mrs Osborne said: “BICA must remain at the forefront through strong and decisive leadership and collaboration with the Government, regulators and other key stakeholders. “We must not only embrace change, but champion it. BICA must continue to be a united body with a strong commitment to a common objective.”

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Road Traffic ‘fraud’ passed to the police By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net THE Auditor General’s findings of multi-million dollar losses at the Road Traffic Department due to “collusion” and “fraud” have been turned over to the Royal Bahamas Police Force for investigation, a Cabinet minister said yesterday. Glenys Hanna-Martin, minister of transport and aviation, said new “internal controls” have been implemented at the Department following the release of the damning report. “The Controller, who has day to day oversight, has given a full analysis of the report, and has now shared the pertinent information provided by the Auditor General with the Royal Bahamas Police Force to investigate findings of alleged malfeasance,” said Mrs Hanna-Martin “Additionally, the Controller has introduced new internal controls based upon recommendations contained in that report. He has updated the Department’s Procedures Manual and implemented internal

Force to probe Auditor-General findings Department implements ‘new internal controls’ control procedures to improve accountability and improve revenue collection. “The Department will implement additional measures at its headquarters’ site as well as the two additional sites in New Providence.” Terrance Bastian, the Auditor-General, in a report that covered the three-year period to June 30, 2015, warned of a severe lack of order and control over the assets and revenue collection at the Road Traffic Department, revealing millions in losses from vehicle license revenue due to employees and motorists “circumventing rules and regulations”. At a minimum, it is believed some $10 million in vehicle license revenue is being uncollected. Mr Bastian

also highlighted instances of apparent fraud and “collusion” involving inspectors, writers and cashiers as they carried out daily tasks. Mrs Hanna-Martin said: “The Road Traffic Department is a critical agency as a revenue generator to the Public Treasury, and for the establishment of standards for ground transport in the Bahamas. It is an agency, however, that has received little investment for an extended period of time, and as a consequence operates with antiquated systems and in a deteriorated environment.” Mrs Hanna-Martin said the Auditor General’s findings could easily have described the Department’s condition five or 10 years ago. “What the current Auditor General’s report notes, but omitted in previous reports, is that there has not been a vehicle register for many years in that Department according to my advice,” she added. “This observation, that is the absence of a vehicle register, as far as we have been able to ascertain, is for the first time ever mentioned in any report.

“This observation also formed the basis of a forecast of loss of revenue of some $10 million based on an extrapolation founded upon assumptions,.” Mrs Hanna-Martin said the Road Traffic Department was being modernised to improved efficiencies, enhance customer experience and produce greater accountability in the collection of public revenue, as well as the avoidance of fraud. “This will be the case not only in New Providence but throughout the country,” she added. “This is known as the Ministry of Transport and Aviation/Road Traffic Department modernisation process for drivers licenses and motor vehicle registration, which is soon to be officially launched. “Vehicle licensing will begin roll-out at the beginning of October, and drivers license at the beginning of December. The roll-out will be completed by February 2017.” Mrs Hanna-Martin said the production of license plates was also being addressed. “We have been ahead of this concern, and have completed a request

GLENYS HANNA-MARTIN for proposal (RFP) process that was published on January 25. Two companies submitted proposals to the Tenders Board on February 19, 2016,” she added. “Following the submission, an evaluation committee made up of personnel from the Ministry of Finance, the Bahamas Cor-

rectional Service and Road Traffic met and completed the evaluation process. “The selected submission will be shortly submitted to the Tenders Board, and thereafter be submitted for Cabinet approval. The estimate cost $800,000 to $1 million.”

Post Office set for ‘fundamental reform’ 28-month timetable for aircraft registry By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net A CABINET Minister yesterday outlined what she described as “fundamental reforms” to the General Post Office’s operations, disclosing that it planned to launch new products. Glenys Hanna Martin, minister of transport and aviation, said the Post Office has been plagued by “many chronic issues, including the physical condition of the General Post Office building on East Hill Street. “The Government has now identified a solution to this long-standing problem, with the relocation of those operations to be undertaken to the former City Market Shopping Centre situated on the East-West Highway junction with the Tonique Williams Highway, and plans are now under review and timelines being developed for each phase of the relocation,” said Mrs

Hanna Martin during the 2016/2017 Budget debate. She added that the the Auditor-General’s audit of the Post Office Savings Bank had highlighted deficiencies in the system, and possible malfeasance and fraud. A police investigation is currently underway. The audit of the Government’s 2013-2014 accounts, which has been tabled in the House of Assembly, also called for the Post Office to be restructured and “immediate actions” taken where there was evidence of theft and fraud by staff. The Auditor General warned of an “alarming amount of alleged theft” at the Post Office, with at least one of its practices branded “a breeding ground for improprieties”. “The most critical issue is that the computerised records crashed in 2008, causing for a manual system to be implemented,” Mrs Hanna Martin said. “I believe it is because of this that the Auditor Gen-

Marketplace to give 100 vendors ‘Tru’ showcase From pg B2 and dance. The ‘Tru Tru Movement’ also seeks to enhance the infusion of all things Bahamian into the tourism product, so visitors and the local population can experience a “sense of place” when they are in Bahamian hotels, restaurants, airports and public spaces. This resulted in the first Tru Tru Bahamian Festival, held on the historic grounds of the John Watlings Distillery in November 2015. Following the festival, a number of opportunities to connect vendors with the tourism industry were presented. During the Caribbean Travel Marketplace, held in the Bahamas in January 2016, a connection was made between the minister of tourism, Obie Wilchcombe, and Bahamian merchants who were showcasing their products at the travel show. After meeting the merchants and hearing their stories, and viewing the quality

Share your news The Tribune wants to hear from people who are making news in their neighbourhoods. Perhaps you are raising funds for a good cause, campaigning for improvements in the area or have won an award. If so, call us on 322-1986 and share your story.

of their products, Mr Wilchcombe asked the Ministry of Tourism and the BHTA to create today’s ‘Tru Tru Bahamian Marketplace. “I know that Bahamianmade products can compete with the best in the world,” Mr Wilchcombe said. “This innovative marketplace will give Bahamian entrepreneurs the amazing opportunity to showcase their high quality goods, their creativity and the best that the Bahamas has to offer to key players in the industry here and abroad. “It is time that more Bahamians start benefiting directly from our robust tourism industry.” To date, 100 vendors

eral stationed at the General Post Office two of his officers to conduct daily reviews of operations but, despite this, vulnerabilities persisted, which highlights the stubborn weaknesses inherent in manual accounting systems, which are widespread and complex. “The Ministry engaged an accounting firm which has, for several months, been involved in the meticulous process of digitising accounts and preparing accounts for full digitisation,” Mrs Hanna Martin added. “With these fundamental reforms underway, the Post Office will now seek to strengthen its human resource complement by additional staffing and comprehensive training. New products are lined up, including a proposed partnership with an internationally-established fast mail company so as to create modern products within the operational capability of the Post Office.” showcasing every possible type of Bahamian-made product have signed up for the event, in a bid to open up markets that have not been open to them in the past. The Ministry of Tourism and BHTA are also seeking to create a web portal for Tru Tru Bahamian merchants, which will allow them to sell to the wholesale market in a sustainable, quality conscious manner. “This is an exciting opportunity, and the Tru Tru Bahamian Marketplace event has huge potential for all stakeholders involved,” said Stuart Bowe, the BHTA’s president. “We are pleased to partner with the Ministry of Tourism on this initiative as we work to further expose Bahamian culture to the world”.

NOTICE The public is hereby notified that all entrances to and exits from the Mall at Marathon which are situated on all those pieces of parcels and tracts of land situated in the Eastern districts, island of New Providence at Northwest corner of the intersection of Marathon Road and Robinson Road shall be closed to the public from midnight (0001 hours) June 19th, 2016 in order to preserve the private properties rights and to prevent the acquisition by the public of any rights of way or other easements. Signed The Mall at Marathon Limited & Kelly’s Home Centre Limited

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net GOVERNMENT consultants have recommended that the Bahamas proceed to estabish an international aircraft registry, and outlined a 28-month implementation timetable. Glenys Hanna-Martin, minster of transport and aviation, told the House of Assembly yesterday: “We have now in hand the final report with recommendations from consultants engaged to study the feasibility of such an initiative within the context of the Bahamian economy. “The ICF report recom-

mends that the Bahamas enter the aircraft mortgage registration business, and has recommended an implementation plan spanning 28 months.” Mrs Hanna Martin said that to successfully implement the plan, the Bahamas must modify its legal and tax framework by ratifying the Cape Town Convention, or enacting legislation that mirrors it, to provide aircraft owners and financiers with the necessary protection for the interest in their assets. The Bahamas will also have to waive or eliminate the 10 per cent Customs duty on the importation of new aircraft, and update

the current fee schedule for aircraft registration. The current fees are insufficient to cover the existing registry’s costs, and will create a large deficit with an expanded registry. The report also called for the Bahamas to develop robust registration processes, and partnerships and relationships with stakeholders such as the Bahamas Financial Services Board, Ministry of Tourism, business and commercial aviation networks and the Bahamas Maritime Authority. “The Government must now make a decision on when and how we will proceed to implementation,” said Mrs Hanna-Martin.

PAGE 4, Friday, June 17, 2016

Cable readies $30m pref share offering From pg B1 intended to provide the company with financing that will be deployed to fund the roll-out of the Bahamas’ second mobile player, NewCo, whose launch is now thought to be imminent. The Government’s Cellular Liberalisation Task Force, acting upon Prime Minister Perry Christie’s Budget speech, confirmed that it had instructed sector regulator, the Utilities Regulation and Competition Authority (URCA) to issue NewCo with its 15-year license. Several formalities remain to be completed before the Bahamas Telecommunications Company’s (BTC) first-ever mobile competitor can start to build-out its network and launch services to the Baha-

mian public, which should happen on New Providence and Grand Bahama before year-end. NewCo must cover 99 per cent of New Providence’s population, and 80 per cent of Grand Bahama’s, within three months of its launch, and reach 75 per cent of Abaco, Exuma, Eleuthera, Bimini and Andros in six months. Cable Bahamas will have a 48.25 per cent equity stake in NewCo, coupled with Board and management control, The $30 million preference share issue will likely help cover its share of NewCo’s $62.5 million spectrum fee and infrastructure build-out investment. Cable Bahamas executives declined to comment when contacted on the preference share offering by Tribune Business yes-

Airport woes threaten 1.7m passenger boost From pg B1 presence in a very competitive Caribbean tourist industry, it is crucial that the island gateway airports offer the highest possible level of safety and quality of aviation services.” The IDB report said the 28 Family Island airports had bucked the general trend of reduced seating capacity in the Bahamian aviation market over the decade to 2013. “Based on the Official Airline Guide (OAG), The Bahamas in 2013 offered 6.5 million seats (national and international), a decrease of 1.6 per cent since 2004,” the report revealed. “Most of these cuts were on the international routes (-10.9 per cent per annum), compared to a smaller reduction on the domestic market (-2.4 per cent per annum). “However, the 28 Family Island airports (all airports except LPIA) have seen their market marginally but steadily increasing, and by 2013 they accounted for

23 per cent of the seating capacity in the Bahamas. Since 2003, this seating capacity has increased annually by 0.4 per cent.” The IDB report warned that the aviation industry was “critical to the health” of Family Island tourism, as it represented the main means of access for higheryielding stopover visitors to these destinations. The sector was also “pivotal” in providing Family Island residents with access to goods and services in New Providence and abroad, and “the only reasonable option available to isolated island communities for the movement of people and goods across significant distances”. A previous report by the Canadian consultants, Stantec, estimated that a collective $160 million investment was required to bring all main 28 Family Island airports into line with international regulatory standards and best practices. The IDB project, and $35 million, is intended to build

Pre-paid meter solution to BPL ‘cut-off trap’ From pg B1 what they could afford. Mr D’Aguilar said this would also help drive a reduction in BPL’s near-$120 million accounts receivables, and the need for the Government and energy monopoly to subsidise delinquent consumers to help them get back on the grid. “It’s my firm belief that if you switch to pre-paid meters, the need to assist the poor will diminish because it will drive home energy conservation,” Mr D’Aguilar told Tribune Business. “It’s human nature. “The present system is so onerous on poor people. It allows them to use power, they get cut off, can’t get back on, and their trapped.

They can be cut off for two years. “BEC traps them by letting them run up a big bill, and then they get cut off and can’t get back on. There are tens of thousands that are in that category.” Mr D’Aguilar said he raised the issue of pre-paid metering at this week’s Bahamas Chamber of Commerce and Employers Confederation (BCCEC) breakfast meeting with Pam Hill, the newly-arrived BPL chief executive. He told Tribune Business that she seemed receptive to the idea, saying: “They’re certainly rolling that process out and are going to do it.” Pre-paid metering had been discussed under the

NOTICE IN THE ESTATE of LEROY EDWIN KNOWLES late of the Eastern District of the Island of New Providence, one of the Islands of The Commonwealth of The Bahamas, deceased. 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 the same duly certified in writing to the undersigned on or before the 27th day of June A.D., 2016, and if required, prove such debts or claims, or in default be excluded from any distribution; after the above date the assets will be distributed having regard only to the proved debts or claims of which the Executor shall then have had Notice. And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the aforementioned date. MICHAEL A. DEAN & CO., Attorneys for the Executor Alvernia Court, 49A Dowdeswell Street P.O. Box N-3114 Nassau, The Bahamas

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terday. This newspaper understands that company is working to finalise the $30 million issue’s details, and is still working to obtain exchange control approval from the Central Bank of the Bahamas, which is required for US dollar component. However, the two term sheets show that both preference share tranches are due to be redeemed after 10 years. Investors in the $20 million Bahamian component will be paid a 6.25 per cent interest dividend semi-annually, with the return on the US dollar tranche likely to be slightly higher at between 7.25-7.5 per cent. The term sheet says the preference share issue is due to launch on June 27, and close on July 8, but Tribune Business understands these dates may be subject to slight changes. Cable Bahamas’ latest capital raising comes just

over one month after it revealed a $14.371 million net loss for 2015, driven by a one-off $20.5 million accounting ‘write down’ associated with its US operations. The BISX-listed communications unveiled a more than-$25 million year-overyear swing ‘into the red’ for the 12 months to end-December 2015, as a ‘goodwill impairment’ at its recentlyacquired Florida business came into play. That ‘one-off’ $20.499 million charge accounted for around 80 per cent of the ‘bottom line’ reversal, with the other decisive factor being a 63.3 per cent year-over-year increase in preference share dividends. With some $189 million worth of preference share debt issued over the past two years, Cable Bahamas’ dividend payments to these investors rose by more than $4.2 million - from $6.696 million in 2014 to $10.936 million last year.

Cable Bahamas has sharply increased the amount of debt (bank financing and preference shares) on its balance sheet to fund both its $100 million worth of US acquisitions, and their expansion, and its mobile growth opportunity at home. The company is effectively investing for projected future gains and shareholder returns tomorrow, and these have yet to materialise. In the meantime, increased payments associated with the new debt financing are weighing on Cable Bahamas’ financial performance. The key now is for the company to execute, and deliver the expected profits increase and returns from these investments. The increased preference share dividends continued to weigh on Cable Bahamas during the 2016 first quarter, during which net income fell by 49.3 per cent year-over-year - from

$3.044 million in 2015 to $1.53 million now. Almost $1 million of this decline stemmed from the increased preference share dividends, which more offset the slight growth in Cable Bahamas’ gross income to $14.685 million. Should the latest $30 million preference share issue be fully subscribed, Cable Bahamas will have almost $233 million in these debt securities on its balance sheet, and some are questioning how much more it can rely on debt financing. Sir Franklyn Wilson recently suggested that Cable Bahamas had “reached its peak” in terms of debt financing through preference shares, saying: “How much more preference shares can they take on their balance sheet? “They’ll need equity at some point. They’ll need common, ordinary shares. You can’t keep financing deals on debt.”

upon this work and facilitate that actual physical upgrades that are necessary. However, acknowledging that the Government’s strained fiscal position made it impossible for the Christie administration to finance the full $160 million, the IDB said it was essential that private capital be attracted to these infrastructure improvements. “The solution to the Family Islands air transport issue is to invest in the improvement of the infrastructure required to make these airports compliant with international aviation requirements,” the IDB said. “In the current economic climate, there is a need for fiscal and economic prudence, and given the significant investment needed to upgrade, operate and maintain all of the airports, this operation will support the Government of the Bahamas to design and implement a Public-Private Partnership (PPP) that would allow for private investment in select airport(s) with the most potential, while maintaining public ownership and oversight. “The financing under this operation will provide

for the upgrade of selected airports, and provide the necessary technical and legal support to tender the concessions of the upgraded airports through a PPP mechanism.” Stantec’s report divided the Family Island airports into Tier 1, 2 and 3 facilities, based on their relative importance, level of aircraft activity and passenger volumes. The Marsh Harbour, Georgetown (Exuma), North Eleuthera, San Salvador, Bimini and Governor’s Harbour airports were placed into the Tier 1 category. And the Rock Sound (Eleuthera), Deadman’s Cay (Long Island), New Bight (Cat Island), Fresh Creek (Andros), Matthew Town, Great Harbour Cay (Berry Islands) and San Andros all found themselves in Tier 2. These 13 will now be assessed by a consultancy firm hired under the IDB project to determine whether they may be suitable for a PPP ownership/operation model, and attractive enough for private sector capital to invest in the infrastructure upgrades.

The IDB will lend the Government some $33 million to finance its share of the upgrades, and the report added: “This component will finance investment needed to upgrade the Family Island airports to comply with international aviation standards, and would also contribute to the attractiveness of the facilities for PPP schemes. “These include, but are not limited, to air and landside investments in infrastructure and equipment, including those for security and mitigation of climate change risks. Investments would be made in runway, taxiway and parking aprons to cater for projected traffic and climate resilience; runway lights, markings and fencing for safety; and security compliances and terminal works to equip the airports with infrastructure capable of handling passenger numbers while providing energy efficiency and being resilient to climate change.” The IDB said the project, and its associated investments, would boost aviation connectivity “in a country that is highly dependent on tourism, while also attract-

ing “increased foreign direct investment” via the private sector’s share of PPP financing. Dissecting the Bahamian aviation market further, the IDB report said this nation was serviced by 17 international and five domestic carriers, with Nassau enjoying non-stop connectivity to 21 destinations in the US, Caribbean, Canada and the UK. And of the Bahamas’ 53 licensed airports, 18 serve as international gateways; eight act as domestic commercial airports; and the remaining 27 are secondary destinations for general aviation. “LPIA in Nassau is the main international gateway and domestic hub of the Bahamas, concentrating over two-thirds (68 per cent) of the available domestic and international seats,” the report said. “Grand Bahama International Airport (GBIA) in Freeport is second in importance with 11 per cent of capacity. Marsh Harbour, George Town and North Eleuthera follow, each with around 4 per cent. The remaining airports account for 9 per cent.”

former BEC structure, and the Bahamas Telecommunications Company (BTC) has been facilitating experiments with this technology in Spanish Wells and other Eleuthera communities to determine its viability for wide-scale use. BEC’s last audited financial statements, for the year to end-September 2014, exposed just how heavily

non-paying customers are weighing on its cash flow and profitability. The private sector (households and businesses), at end-September 2014, collectively owed BEC a net $82.379 million in light bill arrears. The gross figure was $178.703 million, but BEC had already provided for $96.324 million of this sum.

A further $37.357 million was owed by the Government and its various ministries and departments, taking BEC’s total accounts receivables to almost $120 million. Mr D’Aguilar said that when he served on BEC’s Board, the issue of whether to cut-off large delinquent customers proved a major distraction from the main focus, which was “how to

deliver power cheaply and efficiently”. “You’re focused on should I cut off this hospital, this school, this hotel,” he explained. “All the time you waste dealing with them is a major challenge. They never pay, but you couldn’t turn them off. “Pre-paid meters would make such a huge difference. The business model would be so much better.”

NOTICE

NOTICE is hereby given that BASUALDO FRANCOIS of Marsh Harbour, Abaco, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/ naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 10th day of June, 2016 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that MARISHA SAINVIL of Bacardi Road, New Providence, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/ naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 10th day of June, 2016 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

THE BVI BUSINESS COMPANIES ACT, 2004 P PEN FINANCE LTD. Incorporation No 1447669 (IN VOLUNTARY LIQUIDATION)

FOR SALE To: Mr. Edwin Pierre: Please note that the items listed below, will be sold /removed within ten (10) days on Monday 20th June, 2016 from units # 9 & 10 Market Street and Poinciana Avenue. 2 Television sets, 1 Pool Table, 1 Glass front beverage Frigidaire, Seven chairs etc. If not removed by then, all items will be sold to cover costs of overdue rent.

Contact: Mrs. D. Rolle Telephone #364-6224. LEGAL NOTICE

REX PROPERTIES LIMITED (In Voluntary Liquidation)

We, being the Director of the Company, hereby confirm that:(1) the principal place of business of the Company is situated at Trident Chambers, P.O.Box 146, Road Town, Tortola, British Virgin Islands. (2) the Company has not commenced business since the date of incorporation. (3) the Company opened a bank account with Credit Suisse for the purpose of investing funds. The said bank account was closed on May 25, 2016 for the purpose of liquidating the Company. (4) the Company has no assets, liabilities and creditors.

Octagon Management Limited Director

Notice is hereby given in pursuance of Section 138(8) of The International Business Companies Act, 2000 (as amended), the Dissolution of the above-named company has been completed, a Certificate of Dissolution has been issued and the above-named company has therefore been struck off the Register. The date of the completion of the dissolution was the 6th day of June 2016.

Bennet R. Atkinson Liquidator

THE TRIBUNE

Friday, Friday, June June 17,17, 2016, 2016, PAGE PAGE 5 5

Activists demand BEC management deal’s disclosure From pg B1 of, numerous documents referred to in affidavits sworn by BEC and government officials. Ms Henfield alleged that the Government respondents to the Coalition’s Judicial Review action had seven days in which to respond, stating which documents could be inspected, and where and when, and listing those it objected to producing. The Attorney General’s Office first asked for an extension of the time to respond to May 23, which the Coalition agreed to. It then requested another extension to May 30, on the grounds that it ‘has drafted a response’ and was awaiting ‘approval for formal submis-

sion’. The Coalition, Ms Henfield alleged, agreed to the second extension, but warned that if the May 30, 2016, deadline was not met, it would likely seek the Supreme Court’s assistance “to progress the discovery application”. May 30 came and went, she claimed, without a single document being produced. Among the documents being sought are the Government’s November 17, 2015, contract with CH2M Hill/ Halcrow (Bahamas) for an assessment about how oil that has leaked from BPL’s Clifton Pier plant can be remediated and recovered. David Cates, an under-secretary in the Ministry of the Environment and Housing, said in an April 15, 2016, af-

Businessman supports GBPA ‘strong arming’ From pg B1 spite pockets of positive news from the city’s major industrial conglomerates, an economic revival has proved elusive. The Government has now used the leverage provided by Freeport’s expiring real property tax, income and capital gains exemptions to negotiate the MoU with the GBPA, which provides for fundamental reforms to the city’s governance and investment approvals framework. Generally supportive of the Christie administration’s actions, Mr Butler told Tribune Business: “We need new blood here. “I don’t like to agree to much with what the PLP does, but in this instance somebody has to do something with this group. The St Georges have turned down numerous reasonable offers.” With both Mr George and Sir Jack Hayward now departed, Mr Butler said their respective heirs lacked the qualities necessary to revive Freeport and man-

age the GBPA. “They’ve never had a handle on the Port Authority. They don’t really have a grip on the Port Authority,” he added of the Haywards and St Georges. “None of the children from both sides ever had a clue what to do with Freeport. Now they’ve been given a public ultimatum. They don’t have a choice but to respond. It’s how they respond.” The Government stopped short of trying to force the Haywards and St Georges to sell in the MoU negotiations, although they did commit to using their “best endeavours” to attract new investment into both Freeport and the GBPA. The Prime Minister said earlier this year that talks between the two GBPA shareholding families and Mediterranean Shipping Company (MSC) for the latter’s purchase of their interests continues, although little progress appears to have been made in recent months. “We’ve had no growth

fidavit: “CH2M was engaged to develop a budgetary estimate for a cost-effective site assessment plan based on a conceptual strategy for the on-site source....” The Coalition wants to evaluate CH2M’s assessments and subsequent recommendations, and its budgetary estimates. It is also seeking Supreme Court permission to access the 2014 contract between the Government and Overseas Marine Group for the installation of oil containment booms and other services, and the agreement with G&N Environmental Solution for inspection of the pollution mitigation efforts. Further contracts between the Government and Morgan Oil Bahamas, RACREMPEITC CARIBE, and Coastal Systems International are also deemed worthy of viewing by the Coalition.

CALL 502-2394 TO ADVERTISE TODAY!

here, nothing,” Mr Butler told Tribune Business. “I’m not sure if this is exactly the right path the Government is advancing on, but something has to be done. “The point is they’re [the Government] forcing their hand. If DEVCO has to pay real property tax on all that barren land that’s a big one, a bargaining chip. The Government’s basically saying you’ve got to do something in Freeport or get out.” The MoU appears to have exempted the Grand Bahama Development Company (DEVCO), which is jointly owned by the GBPA/Port Group Ltd and Hutchison Whampoa’s real estate affiliate, from paying real property tax on its undeveloped 74,000 acres - at least for the moment. Mr Butler, meanwhile, disputed the Government’s assertion that it runs a ‘deficit’ in Freeport by spending more than it earns in revenue, and said the Hawksbill Creek Agreement Review Committee’s report had “left out a lot of things”. “When you look at Freeport and Grand Bahama, you can’t combine the two,” he added, “as Freeport always produced positive revenue for the Government.”

Italy firms ink nearly 5 billion euro ship deal with Qatar ROME (AP) — Italian ship-builder Fincantieri signed a 3.8 billion euro ($4.3 billion) contract Thursday with Qatar's navy to build seven ships as part of the biggest naval deal ever inked by aItalian firms. The overall agreement, valued at nearly 5 billion euros, also includes the provision of missile systems and radar for the ships as well as training of Qatari crews by Italian forces. "In this moment with ISIS, there is a very strong sense of danger in these countries, which are mostly very small," Defense Minister Roberta Pinotti said after signing the accord with her Qatari counterpart, Khalid bin Mohammed Al Attiyah. She said the "magic for-

mula" to winning the contract was providing not only technical quality but also "showing that there is a government that supports this work and can train the crews." The deal calls for Fincantieri to build four 100-meter-plus long corvettes, an amphibious Landing Platform Dock and two patrol boats. Italian missile builder MBDA will provide the missile systems, maintenance and training, while Leonardo-Finmeccanica is to provide the radar and integrated combat systems. Fincantieri chief executive Giuseppe Bono said it was the biggest naval deal signed in Italy's history and said it would provide work in Italian shipyards for at least six years. The Italian proposal beat

out one headed by French firm DNCS, Italian news reports said.

Microsoft to work with cannabis compliance tech firm Kind LOS ANGELES (AP) — Microsoft is dipping its toe in the legal marijuana business. The giant tech company is partnering with a startup that makes software for the booming legal cannabis industry. Los Angeles-based Kind Financial said Thursday that Microsoft will help it market its software to local and state government agencies that monitor marijuana growers or distributors for compliance with regulations governing pot production and sales. Microsoft Corp. is best known for making software for personal computers. But as PC sales have declined,

the company has been building a "cloud computing" business that provides online services for big businesses and organizations, including software that runs in Microsoft's data centers. Kind's software will run on Microsoft's "Azure Government" cloud, a network that provides online services for public agencies. Marijuana sales aren't allowed under U.S. federal law, but states are taking the matter into their own hands: Colorado, Oregon and Washington state have all legalized marijuana and a handful of others, including California, are voting to potentially do the same this fall.

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PAGE 6, Friday, June 17, 2016

THE TRIBUNE

Global markets drop as Bank of Japan stands pat on stimulus MANILA, Philippines (AP) — Global stocks fell Thursday after the Bank of Japan kept its monetary policies unchanged and as investors turned their attention to next week's "Brexit" vote on whether Britain should exit the European Union. KEEPING SCORE: Britain's FTSE 100 fell 0.7 percent to 5,927 and Germany's DAX dropped 0.9 percent to 9,520. France's CAC 40 was down 0.7 percent to 4,143. U.S. futures indicate a tepid start on Wall Street, with Dow futures off 0.4 percent and S&P futures down 0.5 percent. BANK OF JAPAN: Japan's central bank once again foiled speculation it might further ease monetary policy to help the faltering recovery. The Bank of Japan is pumping about 80 trillion yen (about $769 billion) into the economy each year with purchases of Japanese government bonds and other assets. Meanwhile, Japanese officials warned they may have to intervene if the yen jumps too much. A strong-

er yen, which hurts profits of exporters, tends to pull share prices lower. THE FED: The Federal Reserve said Wednesday it was keeping interest rates unchanged in light of an uncertain job market, offering no hints of when its next rate hike might occur. With the jobs situation and Britain's status obscuring the outlook, the Fed said in a statement that it needs a clearer economic picture before resuming the rate hikes it began in December. ANALYST'S VIEWPOINT: "The Bank of Japan also left policy unchanged again today, also putting themselves in the 'wait and see' camp and subsequently directing a wave of capital into the Japanese yen and out of Japanese equities," Chris Weston of IG said in a commentary. BREXIT OUTLOOK: Investors are bracing for a tight race in the British vote on June 23 on whether to leave the EU. The Bank of England, which kept its rates on hold as well on Thursday, said a vote to leave would likely see the pound drop sharply and

hurt spending and investment. It also warned that the uncertainty could affect confidence in the global economy. ASIA'S DAY: Japan's Nikkei 225 fell 3.1 percent to 15,434.14. Hong Kong's Hang Seng index sank 2.1 percent to 20,038.13. China's Shanghai Composite Index was down 0.5 percent at 2,872.82. Australia's S&P ASX 200 was nearly flat at 5,146.00 and South Korea's KOSPI slid 0.9 percent at 1,951.99. The Philippines Stock Exchange index closed 0.8 percent up, while other Southeast Asian bourses were lower. OIL: U.S. crude lost 72 cents to $47.29 a barrel in electronic trading on the New York Mercantile Exchange. It fell 48 cents on Wednesday. Brent crude, used to price international oils, shed 73 cents at $48.24. Its price fell 86 cents on Wednesday. CURRENCIES: The dollar fell to 104.33 yen from 105.98 the previous day. The euro lost early gains and was down to $1.1188 from $1.1268.

A WOMAN cycles past the electronic board showing financial index including Japnan’s Nikkei stock index, center top, in Tokyo, yesterday. Asian markets were mostly lower Thursday and Tokyo’s benchmark dropped as the yen surged after the Bank of Japan chose to keep its monetary easing policies unchanged. (AP Photo)

Average US 30-year mortgage falls to 3.54 percent WASHINGTON (AP) — Long-term U.S. mortgage rates fell this week for a second straight week amid continued global economic concerns. The average rates touched their lowest points in 52 weeks. Mortgage buyer Freddie Mac said Thursday the average 30-year fixed-rate mortgage dipped to 3.54 percent from 3.60 percent last week. That is well below its level a year ago of

4.00 percent. The average rate on 15year fixed-rate mortgages declined to 2.81 percent from 2.87 percent. Deepening doubt about the strength of the U.S. economy and concern that Britons could vote to leave the European Union in a referendum next week are stoking the malaise. Worries over a possible British exit from the 28-nation bloc helped depress the U.S. stock market for five straight days.

Proponents of Britain remaining in the EU say a vote to leave could bring economic calamity to the country. It likely would roil global markets. Bond prices have remained high, keeping yields low. Bond investors say the uncertainty about the expected close British vote has forced European investors to buy up U.S. government bonds in a search for security, pushing bond yields to their lowest levels in years.

Mortgage rates often move in sync with longterm bond yields. The yield on the benchmark 10-year Treasury note dropped to 1.57 percent Wednesday from 1.70 percent a week earlier. It fell further to 1.52 percent Thursday morning. As expected, the Federal Reserve's policymakers decided at their meeting this week to keep interest rates unchanged at 0.25 percent to 0.50 percent. In their announcement

MARKET REPORT THURSDAY, 16 JUNE 2016

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

BISX ALL SHARE INDEX: CLOSE 1,924.45 | CHG 1.55 | %CHG 0.08 | YTD 100.50 | YTD% 5.51 BISX LISTED & TRADED SECURITIES 52WK HI 3.30 17.43 9.09 3.50 4.70 0.18 8.34 8.25 5.84 10.60 15.50 2.57 1.60 5.80 7.55 11.00 7.40 6.90 12.25 11.00

52WK LOW 2.20 17.43 9.09 3.00 4.70 0.12 5.32 7.25 5.50 6.85 14.50 1.94 1.27 5.51 6.00 9.90 6.01 5.25 11.75 10.00

PREFERENCE SHARES 1000.00 1000.00 1000.00 1000.00

1000.00 1000.00 1000.00 1000.00

1.00 105.50 100.00 100.00 100.00 105.00 100.00 10.00 1.01

1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.01

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 Famguard Fidelity Bank Finco Focol ICD Utilities J. S. Johnson Premier Real Estate 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 100.00 100.00 100.00

52WK LOW 100.00 100.00 100.00

SECURITY Fidelity Bank Note 17 (Series A) + Fidelity Bank Note 18 (Series E) + Fidelity Bank Note 22 (Series B) +

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

LAST CLOSE 3.30 15.85 9.09 3.50 5.22 0.12 6.56 8.20 5.84 10.60 14.50 2.42 1.50 5.80 7.55 9.90 7.30 6.36 11.93 10.00

CLOSE 3.30 15.85 9.09 3.50 5.22 0.12 6.56 8.20 5.84 10.60 14.50 2.47 1.50 5.80 7.55 9.90 7.30 6.36 11.93 10.00

CHANGE 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.05 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CAB6 CAB8 CAB9 CAB10 CHLA CBLE CBLJ CBLK CBLL CBLM CBLN FBBA FCLB

1000.00 1000.00 1000.00 1000.00 1.00 100.00 100.00 100.00 100.00 100.00 100.00 10.00 1.01

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

SYMBOL FBB17 FBB18 FBB22

LAST SALE 100.00 100.00 100.00

CLOSE 100.00 100.00 100.00

CHANGE 0.00 0.00 0.00

114.11 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

113.95 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

-0.16 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

VOLUME

2,000

144,817

1,000

VOLUME

EPS$ 0.304 1.351 1.086 0.220 -1.134 0.000 0.185 0.551 0.508 0.541 0.528 0.094 0.166 0.510 0.612 0.960 0.650 0.703 0.756 0.000

DIV$ 0.090 1.000 0.000 0.160 0.000 0.000 0.187 0.260 0.200 0.360 0.610 0.060 0.040 0.240 0.275 0.000 0.280 0.120 0.640 0.000

P/E 10.9 11.7 8.4 15.9 N/M N/M 35.5 14.9 11.5 19.6 27.5 19.5 9.0 11.4 12.3 10.3 11.2 9.0 15.8 0.0

YIELD 2.73% 6.31% 0.00% 4.57% 0.00% 0.00% 2.85% 3.17% 3.42% 3.40% 4.21% 2.43% 2.67% 4.14% 3.64% 0.00% 3.84% 1.89% 5.36% 0.00%

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 7.00% 6.00% Prime + 1.75%

MATURITY 19-Oct-2017 31-May-2018 19-Oct-2022

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

20-Nov-2029 15-Dec-2017 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

BAHAMAS GOVERNMENT STOCK - (percentage pricing) 115.03 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

113.70 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00

Bahamas Note 6.95 (2029) BGS: 2014-12-3Y 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

BAH29 BG0103 BG0203 BG0105 BG0205 BG0107 BG0207 BG0130 BG0230 BG0303 BG0305 BG0307 BG0330

MUTUAL FUNDS 52WK HI 1.97 3.82 1.91 160.64 138.35 1.43 1.64 1.53 1.05 6.67 8.16 5.81 10.66 10.12

52WK LOW 1.67 3.04 1.68 164.74 116.70 1.37 1.51 1.45 1.03 6.11 6.93 5.55 10.37 8.65

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 Bah Int'l Investment Fund Principal Protected TIGRS, Series 5 Royal Fidelity Int'l Fund - Equities Sub Fund

NAV 1.97 3.83 1.91 164.74 133.64 1.43 1.64 1.53 1.05 6.67 8.01 5.81 10.66 8.65

YTD% 12 MTH% 1.35% 4.06% 1.43% 6.57% 0.70% 3.23% 1.67% 5.13% 0.66% -3.41% 1.23% 3.88% 0.55% 8.17% 0.86% 5.37% 1.07% 1.61% -0.14% 9.15% -1.87% 15.62% 0.83% 4.82% 70.00% 2.80% -6.29% -13.65%

NAV Date 30-Apr-2016 30-Apr-2016 29-Apr-2016 31-Mar-2015 30-Sep-2015 30-Apr-2016 30-Apr-2016 30-Apr-2016 30-Apr-2016 29-Feb-2016 29-Feb-2016 29-Feb-2016 29-Feb-2016 29-Feb-2016

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

Wednesday, the Fed officials said that while U.S. economic activity continues to strengthen, "the pace of improvement in the labor market has slowed," a reference to employment reports for April and May that were weaker than expected. To calculate average mortgage rates, Freddie Mac surveys lenders across the country at the beginning of each week. The average doesn't include extra fees, known

as points, which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount. The average fee for a 30-year mortgage was unchanged from last week at 0.5 point. The fee for a 15year loan also was steady at 0.5 point. Rates on adjustable fiveyear mortgages averaged 2.74 percent this week, down from 2.82 percent last week. The fee remained at 0.5 percent.

NOTICE

NOTICE is hereby given that ROSS OMAR DOWNES of King’s Court, Marshall Road, New Providence, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twentyeight days from the 17th day of June, 2016 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that BASUALDe FRANCOIS of Marsh Harbour, Abaco, Bahamas is applying to the Minister responsible for Nationality and Citizenship, for registration/ naturalization as a citizen of The Bahamas, and that any person who knows any reason why registration/naturalization should not be granted, should send a written and signed statement of the facts within twenty-eight days from the 10th day of June, 2016 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE IN THE ESTATE OF JAMES USTIN WALLACE, late of #15 White’s Subdivision off Kemp Road in the Eastern District of the Island of New Providence, 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 Estate are required to send their names, addresses and the particulars of their debts or claims duly certified in writing to the undersigned on or before the 30th June, A. D. 2016, after which date the Executrices will proceed to distribute the assets having regard only to the proved debts or claims of which notice have been given. And Notice is hereby given that all persons indebted to the said Estate are requested to make full settlement on or before the date herein before mentioned. EDWARD B. TURNER & CO. #10 Petrona House Fowler Street off East Bay Street Nassau, Bahamas Attorneys for the Executrices of the Estate of the late James Ustin Wallace

THE TRIBUNE

Friday, June 17, 2016, PAGE 11

Applications for US unemployment aid rise to still-low level data suggests. Businesses cut back sharply on hiring in April and May. Employers have added an average of only 116,000 jobs in the past three months, half last year's average of 230,000. Yet the low level of applications for jobless aid is a sign that companies aren't laying off workers. And fewer applications are also consistent with steady hiring over time, according to research by Michael Feroli, an economist at JPMorgan Chase. Applications tend to decline when workers who lose their jobs can more quickly find a new one. KEY DRIVERS: The economy slowed to a crawl in the first three months of this year, which likely prodded many employers to slow hiring. Growth was just 0.8 percent at an annual rate in the first quarter.

But most data since then suggests growth picked up in the April-June quarter. Americans have stepped up their spending at retail stores and restaurants in the past two months. Home sales and construction have also improved. Economists now forecast growth will pick up to a 2.5 percent pace in the second quarter. Still, the economy wasn't strong enough to prompt the Federal Reserve to lift the short-term rate it controls during its two-day meeting this week. Fed chair Janet Yellen noted the slowdown in hiring during a press conference Wednesday. But she also pointed to the low level of unemployment benefit claims as evidence that job gains could rebound.

OECD forecasts stronger US growth in 2017

post-World War II period. But it's still stronger than other major economies in Europe and Japan, which have lagged behind the United States in job creation and growth. The OECD attributed the slow growth in the United States to a variety of factors including the severity of the recession. While growth has been slow, the recovery has now pushed output above pre-recession levels. The OECD said the risks of a new recession over the next couple of years were minimal, but it did cite a number of low-probability risks that could, if they occurred, jeopardize the expansion. Those threats ranged from a financial market meltdown to political gridlock that could raise the risks of a default on the government's debt. Heightened geo-political tensions or terrorist threats could also undermine consumer confidence.

WASHINGTON (AP) — The number of people seeking U.S. unemployment benefits rose last week, but to a low level that indicates employers are still cutting relatively few jobs. THE NUMBERS: Weekly applications rose 13,000 to a seasonally adjusted 277,000, the highest in four weeks. The less volatile four-week average declined slightly to 269,250. Applications are a proxy for layoffs and have remained below 300,000 for 67 straight weeks, the longest such streak since 1973. Just 2.15 million Americans are receiving benefits, 4 percent lower than a year earlier. THE TAKEAWAY: The figures are a reassuring sign that the job market may be healthier than other recent

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WASHINGTON (AP) — A Paris-based international group is forecasting that the U.S. economic expansion, celebrating its seventh birthday this month, should remain on track over the next two years with growth strengthening in 2017. The 34-nation Organization for Economic Cooperation and Development said Thursday that U.S. growth, as measured by the gross domestic product, should slow this year to 1.8 percent but accelerate slightly in 2017 to 2.2 percent. The OECD puts the risks of a U.S. recession as a "low-probability prospect" but did point to a number of long-term challenges facing the country. It recommended well-designed investments in innovation, infrastructure and improving job skills as a way to combat a prolonged period

of weak growth in worker productivity. The increased spending on investments would attack the slowdown in productivity and also help to alleviate other problems such as rising income inequality, the report said. "Seven years after the financial crisis, the United States is making a comeback," the OECD said. "The U.S. economic recovery, while modest by historical standards, has been one of the strongest in the OECD." The 2007-2009 Great Recession, which included the worst financial crisis since the 1930s, ended in June 2009. The economy has expanded since that time but at modest annual rates that have averaged around 2.1 percent over the past seven years. That's the weakest economic growth since the

Chinese ride-hailing service raises $7.3 billion BEIJING (AP) — Chinese ride-hailing service Didi Chuxing, the main local competitor for Uber Technologies Ltd., said Thursday it has raised $7.3 billion from investors, adding to intensifying rivalry in the market. Investors in the latest financing round include Apple Inc. and China Life Insurance Co., Didi Chuxing said. The total includes a $1 billion investment by Apple that was announced in May and made the U.S. company a strategic investor alongside Chinese e-commerce giant Alibaba Group and Tencent Holdings Ltd., an online games and entertainment service.

China's ride-hailing industry has grown rapidly, with competitors spending heavily to subsidize rides to capture market share. Didi Chuxing, previously Didi Kuaidi, operates in some 400 Chinese cities. It said the company completed 1.4 billion rides in 2015. In September, the company and Lyft of the United States agreed to link their services to allow travelers to use them in each other's markets. In December, their alliance added India's Ola and Southeast Asia's GrabTaxi. Didi Chuxing described the latest investment as one of the world's largest private equity funding rounds.

The total includes $4.5 billion in equity from Apple, China Life, China's Ant Financial and others, a syndicated loan arranged by China Merchants Bank for up to $2.5 billion and a 2 billion yuan ($300 million) investment by China Life in long-term debt, the company said. It said the investment raises the amount of cash the company has to $10.5 billion. The proceeds will go to technology upgrading, big data research and operations and exploration of new lines of business, Didi Chuxing said.

PAGE 12, Friday, June 17, 2016

THE TRIBUNE

Stocks stage late-day comeback to end five days of losses NEW YORK (AP) — Stocks in the U.S. staged a late afternoon rally to close moderately higher on Thursday, ending a five-day losing streak. The Dow Jones industrial average rose 92.93 points, or 0.5 percent, to 17,733.10. It had been down more than 100 points earlier in the day. The Standard & Poor's 500 index rose 6.49 points, or 0.3 percent, to 2,077.99 and the Nasdaq composite rose 9.98 points, or 0.2 percent, to 4,844.91. Investors continued to focus on next week's vote on whether Britain would remain a member of the European Union. Overseas, Japanese stocks plunged 3 percent after the Bank of Japan decided not to increase its economic stimulus efforts. Traders are bracing for a tight race in the British vote on June 23 on whether to leave the EU. The Bank of England, which kept its rates on hold as well on Thursday, said a vote to leave would likely result in the pound dropping sharply. It would also hurt spending and investment. "This is going to be a big event. Up until a few weeks

TRADERS PETER TUCHMAN, left, and David O’Day work on the floor of the New York Stock Exchange, yesterday. Stocks are opening lower as the market’s losses continue for the sixth day in a row. (AP Photo) ago, the markets were pricing in a probability of the U.K. leaving the EU at around 20 percent. Now the chance is roughly 42 percent," said Richard Turnill, BlackRock's global chief investment strategist. "We are going to see significant

volatility ahead of the U.K. referendum." As a result, investors have been shifting money into assets considered less risky in times of volatility. High-dividend utility stocks rose nearly 1 percent. Gold also rose nearly 1 percent

and U.S. government bond yields remain at lows not seen in four years. "Everyone is focused on the vote. It's all about derisk right now, taking chips off the table," said Rob Bernstone, a managing director and head of trading at

Credit Suisse. Entertainment conglomerate Viacom jumped sharply in the last hour of trading, closing up $2.85, or 6.8 percent, to $45.05, after Sumner Redstone's National Amusements said it had replaced five of Viacom's 11 directors, including CEO Philippe Dauman. The move came as the mental competency of Redstone, Viacom's controlling shareholder, is being challenged in court. Meanwhile, drugmaker giant Merck rose $1.41, or 2.5 percent, to $57.50 after the company said it had positive results in a medical study for its cancer drug Keytruda, which could result in higher sales of the drug. Japan's central bank once again voted not to further ease monetary policy to help the country's faltering recovery. The Bank of Japan is pumping about 80 trillion yen ($769 billion) into the country's economy each year with purchases of Japanese government bonds and other assets. The yen jumped nearly 2 percent against the U.S. dollar, reaching its highest level in two years. Japanese

officials have said they may intervene in currency markets if the yen appreciates too much. Japan's economy is heavily reliant on exports, which are hurt when the yen rises sharply in value against other currencies. As a result of the Bank of Japan's actions, the U.S. dollar fell sharply against the yen, trading at 104.31 yen compared with 105.98 the previous day. The euro fell to $1.1236 from $1.1268. The price of benchmark U.S. crude oil sank $1.80 to $46.21 a barrel on the New York Mercantile Exchange. Brent crude, used to price international oils, shed $1.78 to $47.19 a barrel in London. Energy stocks fell along with the price of oil. Transocean, Marathon Oil, and Murphy Oil, all drilling or oil exploration companies, fell 3 to 4 percent each. In other energy trading, heating oil fell 5 cents to $1.42 a gallon, wholesale gasoline fell 4 cents to $1.47 a gallon and natural gas fell 2 cents to $2.58 per 1,000 cubic feet. Gold rose $10.10 to $1,298.40 an ounce, silver rose 10 cents to $17.61 an ounce and copper fell 4 cents to $2.05 a pound.

The average rate on 15year fixed-rate mortgages declined to 2.81 percent from 2.87 percent. Deepening doubt about the strength of the U.S. economy and concern that Britons could vote to leave the European Union in a referendum next week are stoking the malaise. Worries over a possible British exit from the 28-nation bloc helped depress the U.S. stock market for five straight days. Proponents

of Britain remaining in the EU say a vote to leave could bring economic calamity to the country. It likely would roil global markets. Bond prices have remained high, keeping yields low. Bond investors say the uncertainty about the expected close British vote has forced European investors to buy up U.S. government bonds in a search for security, pushing bond yields to their lowest levels in years.

the Fed officials said that while U.S. economic activity continues to strengthen, "the pace of improvement in the labor market has slowed," a reference to employment reports for April and May that were weaker than expected. To calculate average mortgage rates, Freddie Mac surveys lenders across the country at the beginning of each week. The average doesn't include extra fees, known as points,

which most borrowers must pay to get the lowest rates. One point equals 1 percent of the loan amount. The average fee for a 30-year mortgage was unchanged from last week at 0.5 point. The fee for a 15year loan also was steady at 0.5 point. Rates on adjustable fiveyear mortgages averaged 2.74 percent this week, down from 2.82 percent last week. The fee remained at 0.5 percent.