10242024 BUSINESS

THURSDAY, OCTOBER 24, 2024

Sarkis ally: Ouster like ‘loan to own’ scheme

By NEIL HARTNELL Tribune Business Editor

nhartnell@tribunemedia.net

A FORMER Baha Mar director is arguing that Sarkis Izmirlian’s ouster resulted in the multi-billion dollar Cable Bach mega resort project becoming akin to a ‘loan to own scheme”.

Dionisio D’Aguilar, who sat on Baha Mar’s Board under the original developer, told Tribune Business he “has to believe that was not the intent” when China Export-Import Bank and China Construction America (CCA) first partnered with Mr Izmirlian around 2010 to, respectively, finance and construct the project.

However, when the dispute erupted between Mr Izmirlian and CCA after the project’s agreed March 27, 2015, completion date was blown, he added that the contractor knew China

Export-Import Bank was bound to side with it as both entities are owned and controlled by the same Beijing government. The two Chinese state-owned entities, as confirmed in last week’s New York State Supreme Court verdict, united to push Baha Mar’s original developer out after his Chapter 11 bankruptcy protection bid was dismissed

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE BAHAMAS leads the Caribbean and Central America in extracting an annual $655m economic boost from the cruise industry despite consistently ranking in the bottom 40 percent on key visitor satisfaction metrics.

The Florida-Caribbean Cruise Association (FCCA), releasing the first post-COVID study of the sector’s economic impact on the region, ranked this nation as number one for total passenger spending and local employment with 13,846 Bahamian jobs and a combined $250.16m annual wage bill said to be reliant on the industry.

Direct spending by the cruise lines themselves in The Bahamas was also said to be the highest out of all 33 countries surveyed at $160.2m annually, with the majority of this sum devoted to the payment of port fees, taxes and surveys. However, beyond the region-leading figures and headline numbers, other data revealed by the FCCA-commissioned study revealed a combination of weakness and untapped potential for this nation.

In particular, the report by Business Research and Economic Advisors (BREA) disclosed that the statistics show almost 20 percent or one in five cruise visitors never left the ship when docked in The Bahamas. And, when it came to cruise

Contractors

Cruise vessel employees, in particular, may elect to remain on the ship because the frequency with which their vessels call on Nassau may lead them to believe they have seen everything there is to experience in the destination.

ship crew, some 70 percent also remained on board for the duration of their visit.

Both ‘stay-on-board’ categories represent spending sources that never benefit Bahamian businesses.

However, of more concern to The Bahamas is the report’s revelation that per capita cruise passenger and crew spending in this nation have both declined in the six years since the last FCCA survey was conducted pre-COVID in 2018. Passenger expenditure per person fell by 8 percent, or more than $11, from an

eye 10-15% time slash via inspection outsource

By NEIL HARTNELL Tribune Business Editor nhartnell@tribunemedia.net

THE Bahamian Contractors Association’s (BCA) president yesterday predicted the time required to complete construction projects could be slashed by between 10-15 percent through outsourcing building inspections.

Leonard Sands told Tribune Business that contractors frequently complain to the BCA that they have “to wait months” sometimes for Ministry of Works inspectors to visit the project site and approve the latest phase that has been completed - wait that costs the industry and its clients both time and money. Without an inspector’s sign-off, he explained that financial institutions and other project financiers will not release the next “stage

‘Mind blowing’: Watchdog finds stores selling expired products

By FAY SIMMONS Tribune Business Reporter jsimmons@tribunemedia.net

THE Consumer Protection Commission’s chairman yesterday asserted it was “mind blowing” that the watchdog verified complaints about expired grocery products on store shelves are correct.

Senator Randy Rolle said the findings from store visits by Commission staff uncovered that several products were either past or nearing their sell-by dates. He added that food store operators, who were not identified, said their staff are supposed to check the shelves on a daily basis for

goods nearing expiration, but some were overlooked.

“It actually was mind blowing, because we’re finding out that the concerns and consumer complaints are legitimate,” said Mr Rolle. “We had an

LEONARD SANDS

TOURIST traverse The Nassau Cruise Port on March 12, 2024.

Photo:Dante Carrer

SENATOR RANDY ROLLE

PM is lead speaker for Cat Island conference

PRIME Minister Philip Davis KC will be the lead speaker at next Thursday’s fourth annual Cat Island Business outlook conference.

The event, which is being held in his constituency on October 31 at the Eris

Moncur Resource Centre & Library, will take place under the theme, ‘Future Cat Island: Branding the national identity, planning for success’. It will focus on enhancing the economic future for Cat Island, Rum Cay and San Salvador.

Besides the Prime Minister, the other speakers will include Latia Duncombe, director-general at the Ministry of Tourism, Investments & Aviation; Tracey Boucher, vice-president of engineering at Rev/Aliv; Anthony Christie, Bahamas

Power & Light’s (BPL) chief operating officer; Ayla Isaacs, assistant general manager for Family Island operations at the Water & Sewerage Corporation; Tameka Hanna, project manager at E R Hanna Construction; and

Agatha Marcelle, executive chairman of the National Training Agency. The resort and tourism industry will be represented by Yvonne Rolle, owner of Rollezz Beach Villas; Gregor Eble, owner of Shannas Cove Resort; Sherrie Cleare, general manager of Orange Creek Inn; Kisha Hanna, general manager at Fernandez Bay Village; and Pauline Vaz Branco, general manager at Greenwood Beach Resort.

Aviation industry attendees include Sarah Swainson, private charters and business development manager at Makers Air; Ricardo Wilson, general manager of Western Air; Nikita Sheil-Rolle, estate agent at Christie’s International Real Estate; Rowena Poitier-Sutherland, culture consultant and founder of the Bahamas Artist Movement; and Dwight Gibson, director of operations and product development at the Tourism Development Corporation.

“We are excited to gather such a distinguished group of industry leaders who share a vision for the future of Cat Island, San Salvador and Rum Cay. This event is an opportunity to discuss innovative solutions and conceive some creative strategies that will help to drive sustainable growth in this particular region of

our archipelago,” said Joan Albury, president of the Bahamas Business Outlook conference series.

“In four short years, we’ve witnessed measurable growth of our Cat Island Business Outlook. And this year we plan to continue leveraging our collective expertise to address major challenges and really capitalise on the unique opportunities which are available in this region. We’re looking forward to an enriching conference in Cat Island this year.” Sustainable infrastructure, affordable housing, climate change, workforce readiness, real estate, hotel management, entrepreneurship and financial inclusion are among the topics that will be discussed at next week’s Business Outlook event.

PHILIP “BRAVE” DAVIS KC

Chatbots are future of customer service

In the fast-paced world of digital interaction, businesses are constantly seeking ways to enhance customer service while managing operational efficiency. One tool that has revolutionised customer support in recent years is the chatbot. These AI-driven assistants have become a pivotal part of the customer experience, offering timely, accurate and scalable support to millions of users around the globe. But how exactly are chatbots improving customer support, and what does this mean for both businesses and consumers?

Gone are the days when customers had to wait for regular business hours to get their issues resolved. Chatbots operate around the clock, providing realtime assistance whenever customers need it. This level of availability is particularly beneficial for businesses with a global customer base, where time zones can create challenges in offering consistent

service. By handling queries at any hour of the day, chatbots reduce customer frustration and improve overall satisfaction.

One of the most significant benefits of chatbots is their speed. Unlike human agents who may have to search for information or consult with colleagues, chatbots can access databases instantly to provide accurate answers to common questions. This efficiency reduces the average handling time for queries, thereby allowing customers to obtain solutions faster, whether it is tracking a package, resetting a password or learning about a product feature. During peak times, such as holiday shopping seasons or product launches, businesses often experience a surge in customer queries.

Chatbots excel at managing high volumes of requests without compromising on response times. They can handle multiple conversations simultaneously, unlike human agents who may be

overwhelmed by the influx. This ensures no customer is left waiting in a queue, which is often a major pain point in traditional customer service channels. For businesses, hiring and training large customer service teams can be a significant investment. Chatbots provide a cost effective alternative, reducing the need for extensive human resources. While they are not a replacement for human agents, chatbots can handle routine, repetitive tasks, freeing up customer service representatives to focus on more complex issues that require a human touch. This hybrid approach balances efficiency with personalised service, ultimately improving the overall customer support strategy. Modern chatbots are powered by sophisticated algorithms that allow them to personalise interactions. Through machine learning, they can analyse past interactions, preferences and customer data to tailor

responses that meet individual needs. This level of personalisation mimics the kind of service customers would expect from a human agent, enhancing the user experience and fostering stronger customer relationships.

Despite their many benefits, chatbots are not without limitations. They may struggle to handle complex or nuanced queries, leading to frustrations when customers feel they are not being understood. Additionally, the lack of emotional intelligence in bots means they cannot provide empathy, which is crucial in certain customer service situations. This is why many businesses are adopting a hybrid model, where chatbots handle the initial interaction and human agents step in when the issue requires more detailed attention.

As technology advances, chatbots will only become more integral to customer support operations. Natural language processing (NLP)

and artificial intelligence (AI) continue to evolve, allowing chatbots to understand and respond more intuitively to human emotions and context. In the future, we can expect even greater synergy between chatbots and human agents, with AI driving proactive support plus identifying and resolving issues before customers even realise they have a problem. For consumers, this means more efficient, personalised and seamless customer service experiences. For businesses, it offers a pathway to more cost effective and scalable support systems. The rise of chatbots in customer support is not just a trend; it is the future of customer service, one that promises to enhance satisfaction and streamline operations across industries.

By embracing this technology, companies can remain competitive in a market where customer experience is the ultimate differentiator. The chatbot

HOPE FOR MORE AUTONOMY FOR LOCAL GOVT WHEN BILL IS TABLED

By FAY SIMMONS Tribune Business Reporter

JEREMY Sweeting, chief councillor of Hope Town District, said he is “cautiously optimistic” that the Local Government Act, set to be tabled in Parliament next week, will allow Family Island local governments to have more autonomy as they conduct their duties.

“I was very excited, and I am still excited that this local government bill will be introduced to Parliament next week,” said Mr Sweeting.

“I’m very curious to see what is in it. I just hope that it truly brings more autonomy to the family Islands, which is desperately needed for us to effectively carry out our duties and responsibilities and to effectively bring the services needed to our constituents.”

Speaking to Tribune Business, Mr Sweeting, who has served in local government for 19 years, said allowing them to have revenue generating powers would beneficial as the budgets given to them by central government is not adequate to perform infrastructural repairs and maintenance.

“If it’s done right, and if they give us broad power raise revenue, I think it could be something that is beneficial to the district councils and to local government bodies,” said Mr Sweeting.

“However, a lot of the taxes that are on the books

now, I feel that they should allow local government to play a role.”

He explained that in the 2015 fiscal budget, then Prime Minister Perry Christie amended the Local Government Act to allow them to assist in the collection of real property tax and the Department of Inland Revenue agreed to give them a rebate on funds collected.

However, Mr Sweeting said DIR never issued those rebates although the Hope Town District collected over $1m in real property tax.

“We signed an agreement with the Department of Inland Revenue, and we had a legally binding agreement with them to collect real property tax, and it also spelled out the terms on the rebate that we would get back,” he explained.

“That first year that we collected over $1m, $600,000 of that was taxes that were in arrears, and that was in our small district of Hope Town. Sadly, we worked really hard that year, collected that money, but until today, the government has yet to give us our rebate. So after one year, we decided not to waste any more time energy and resources and trying to collect more property tax when the agreement wasn’t honoured by the Department of Inland Revenue, and we’ve sought to get that rebate paid to our Council and to our district several times through various administrations.

“We’ve yet to receive this rebate, the monies from

that rebate were to do infrastructural improvements within our communities. This is why I am cautiously optimistic with the bill that’s being presented to Parliament. I’ve seen this movie played out before, because central government is very leery and giving local government more autonomy, and I have to see it to believe it.”

Mr Sweeting, who works in the real estate industry, said central government collects $13-15m from real estate annually, but local government is only budgeted about $500,000 to operate.

He said the amount budgeted for the district is “crumbs and pennies” when compared to the revenue generated and is not enough to operate efficiently.

“Public treasury receives from our district on the VAT for the real estate commission almost $700,000

our budget is $508,000. So just the VAT on the commission made by agents is more than what our annual budget is for the year,” said Mr Sweeting.

“The VAT on [real estate] sales in our district is $11m and so with the VAT on legal fees, sales and real estate commissions, we’re talking about probably $13m to $15m from that industry going to the public treasury annually. That’s not including VAT on other items and the duties paid in our district for other industries like construction which contributes a lot.

“It’s unbelievable the amount of revenue that gets contributed from our district, versus the little bit of crumbs and pennies that we receive in our budget and the amount of $508,000 we should get more than we get. I mean, the $508,000 is just not efficient and

revolution is well underway, and its role in shaping the future of customer support is undeniable.

nowhere near efficient, in order to run our district.”

Mr Sweeting said the Hope Town district still has many infrastructural projects to undertake since Hurricane Dorian and would like funds available to repair roads, improve public parks and restore the historic building that previously housed the post office, police station and local government office that was destroyed by the storm. He said currently those projects have not began due to their funds being “strapped down” by maintenance contracts and it is “very sad” given the amount of revenue collected from the district.

“Believe it or not, we just want to be able to fix our streets from potholes and stuff and we are struggling right now with our budget to be able to do repairs to our streets

“We’d like to improve our public parks. We still have a lot of needs since Hurricane Dorian, our main council office, in Hope Town is still borrowing our library to operate. Prior to Dorian, we had our miniature government complex, an historical building there that was over 100 years old that we’d like to see put back. The foundation still there, and five years later, it hasn’t been put back and that building housed the police station, the local government office, and the post office.

“There are just countless things that that are needed to be done within our district, but sadly, we don’t have the funds. Our budget is basically strapped down with contracts for garbage collection and the cleaning of the roads, bridges and public bathrooms. We have no extra money to be able to take on infrastructural improvements in our district and it’s very sad, given what our district contributes.

Sarkis ally: Ouster like ‘loan to own’ scheme

by the Delaware court. The bank called in its loan security, appointed Deloitte & Touche as receivers and ultimately sold the project to Hong Kong-based Chow Tai Fook Enterprises (CTFE).

Agreeing that the outcome had the hallmarks of a ‘loan to own’ type scheme, Mr D’Aguilar told this newspaper: “I don’t know if that was the intent at the beginning. I have to believe that it was not. But I guess the players in the construction company always knew the bank would be on their side.

“The construction people, knowing they would not be able to complete on time, sought to convince everyone it was Sarkis’ fault when it was their fault. The fact they sent 700 workers home, the fact they sent their main scheduler to work on a project in Panama, made an emergency claim for money they had no intention of using on the project [the $54m that the court found was instead used to acquire the British Colonial].

“When the decision was made to do that, I don’t know if it was a loan to own scheme at the outset but that was how it turned out.”

Mr D’Aguilar said Judge Andrew Borrok’s verdict, which comprehensively found for Mr Izmirlian

in awarding him $1.6m in combined damages and interest, was “a lot more scathing” than even Baha Mar’s original developer had anticipated.

The former director said the New York judge’s ruling was “easy to follow and digestible”, and clearly showed what had happened in the run-up to Baha Mar’s 2015 failure by identifying when, where and how CCA’s contract breaches and frauds had occurred.

“He came to the conclusion that Sarkis lost his entire investment because of the duplicity of the Chinese,” Mr D’Aguilar told Tribune Business. “It was quite remarkable that no one else knew they [CCA] were talking out of both sides of their mouth in the sense they were saying the March 27 deadline was achievable yet they were clearly not in any position to meet that deadline.

“Where the fraud occurred more than ever, having no plan to complete the project, they tried to turn it on Sarkis Izmirlian and his team... They didn’t have the manpower, didn’t have the resources to complete when they missed the deadline because they didn’t have the technical, financial and manpower required.”

Judge Borrok in his ruling found that Tiger Wu, CCA Bahamas’ executive vice-president, voted as the

contractor’s director representative “to authorise a Baha Mar board resolution” confirming the March 27, 2015, opening date publicly “without any plan in place to achieve it”.

And, at the same time, he was persuading Ning Yuan, CCA’s president, to write to the contractor’s parent, China State Construction and Engineering Corporation (CSCEC), to demand that it immediately dispatch 450 personnel in early 2015 otherwise “the completion target of the Bahamas project will not be achieved, and the consequences will be disastrous”.

Judge Borrok found this was one of numerous ways in which Mr Wu breached his and CCA’s investors’ agreement with Mr Izmirlian and his BML Properties vehicle, which required him to act in the Baha Mar project’s best interests at all times.

“I remember that Board meeting,” Mr D’Aguilar told Tribune Business. “I remember everyone being questioned, I remember Tiger Wu being there and saying, yes, we can finish on that date. Yes, you can go out and start marketing, yes you can go out and start training your staff, yes you can sign agreements with restaurant partners and those who will help run your hotels and casinos.

“They really unscrupulously led him down

Yields down as Bahamas tops region in $655m cruise boost

average $131.95 in 2018 to $120.93 for the 12 months to end-April 2024. Crew spending per person, meanwhile, dropped by 21 percent over the six-year period from $54.90 in 2018 to just $43.26 this year. Yet total cruise passenger spending in The Bahamas was shown to have increased by more than $150m during that period, jumping from $322.57 per annum in 2018 to $473.32m this year, and representing an increase of 47 percent.

The increase in total spending, while per capita passenger yields and returns fell, was driven entirely by higher visitor arrivals to further affirm that cruise tourism is the ‘volume’ segment of The Bahamas’ tourism market. Total crew

spending in The Bahamas, though, declined by 27 percent over the same six-year period from $28.94m per annum to $21.24m - a drop of some $7.7m.

And, despite leading the Caribbean and Central America on total cruise industry spending impact, the FCCA-commissioned study showed The Bahamas ranked consistently in the region’s bottom 14, either 20th or lower, on guest satisfaction metrics or what would likely be termed key performance indicators for the 33 countries surveyed.

For example, The Bahamas was rated 28th out of 33 for average length of visitor hours ashore, with passengers spending some 4.2 hours off the ship - more than our hour less than regional leader, Aruba. This nation also finished in 23rd spot when cruise passengers

were asked “how satisfied” they were with their visit to the country, again finishing more than one full point behind top-ranked Key West.

When it came to meeting visitor expectations, The Bahamas finished in 22nd spot, although it fared somewhat better when cruise passengers were asked “how likely” they were to return for a resort or land-based vacation as it finished 13th out of the 33 destination.

Yet The Bahamas, according to the BREA report, fell to 20th and 22nd spot, respectively, when passengers were asked to state their satisfaction with the “shoreside welcome” and tour they had purchased. The Bahamas also ranked 25th for tour value for money; 24th for the variety of activities to

the garden path and then screwed him.... Ning Yuan, CCA’s president, was in The Bahamas on March 27, 2015, staying at the Atlantis resort. Never once did he call Sarkis. The day just passed without him saying a word.

“When we pressed them [CCA] for when they would get it done, and the project would be completed, their response was: ‘Pay us $140m and we’ll let you know’. Then they got parties in the Government to help perpetuate this story that said it was Sarkis’ fault, that he was not paying the money, was not putting more money in. The project failed and the bank called in the loan.”

The then-Christie administration sought to broker a resolution that involved both CCA and Baha Mar contributing $75m each, with the China ExportImport Bank providing the $150m balance of the $300m initially estimated as required to complete Baha Mar. This, though, also required Mr Izmirlian to provide a personal guarantee - something he did not do given the total breakdown in trust with CCA.

The original developer than filed for Chapter 11 bankruptcy protection in Delaware - a move the Christie administration appeared to interpret as going behind its back - and almost a personal betrayal

participate in when in-destination; and 23rd for visitor satisfaction with museums and historical sites.

The Bahamas also enjoyed a similar rating, 23rd, for the prices and costs that cruise passengers encountered. The rankings support previous calls by both Chester Cooper, deputy prime minister and minister of tourism, investments and aviation, and Michael Maura, Nassau Cruise Port’s chief executive, for Bahamian entrepreneurs to develop fresh, innovative activities and excursions for visitors to do.

The FCCA-commissioned study, though, also signals the level of influence that the cruise lines have over their customers’ in-destination activities. For example, although just 47 percent of disembarking cruise passengers in The Bahamas purchase a tour or excursion, some three-quarters or 75 percent of these are booked and paid for via the cruise lines. Just 4 percent book directly with the local provider, with travel agents accounting for the 21 percent balance.

- while it was seeking to find a solution that would get Baha Mar open in the quickest possible time and boost its 2017 general election prospects. The then-government quickly sided with CCA and China Export-Import Bank to oppose Mr Izmirlian’s application for recognition of the Chapter 11 process in the Bahamian Supreme Court. This they were ultimately successful in doing, as then-justice Ian Winder found the application was technically flawed and that Baha Mar’s creditors had legitimate expectations that any dispute would be dealt with in The Bahamas.

This ruling, and the Bahamian government’s stance, convinced the Delaware judge to dismiss Mr Izmirlian’s Chapter 11 protection on jurisdictional grounds as nothing he decided would be accepted in this nation. The Government then petitioned for Baha Mar to be placed into provisional liquidation, paving the way for the bank’s receivers to take over the project and facilitate the sale to CTFE.

Mr D’Aguilar argued that all this, when set against Judge Borrok’s ruling, meant the Christie administration was “complicit” in Mr Izmirlian losing control of Baha Mar because it sided with the party, CCA, which has now been found to have committed multiple

“Based on data collected from the Ministry of Tourism, 4.808m cruise passengers arrived aboard cruise ships during the 2023-2024 cruise year,” the FCCA report said of the 12 months to end-April 2024.

“Of these, an estimated 3,913,970 passengers (81 percent) disembarked and visited The Bahamas.

“Utilising additional data provided by the Bahamas Ministry of Tourism and visiting cruise lines, 1.615m crew were aboard the cruise ships and an estimated 30 percent, or 490,995 crew, disembarked and visited the destination. Passenger arrivals are up about 60 percent from the last study in 2017-18.

“These passenger and crew visits, along with additional expenditures by the cruise lines, generated a total of $654.8m in cruise tourism expenditures in The Bahamas during the 2023-2024 cruise year.... The Bahamas led all destinations with $655m, followed by Cozumel with $483 million. The US Virgin Islands ($258m), Dominican Republic ($251m) and St.

frauds and breaches of contract against the original developer.

Describing this as “the ultimate error in judgment by the Bahamian government”, he added: “In hindsight, the decision by the Government to side with the Chinese against Sarkis has proved to be a disastrously wrong decision....

“The Government supporting the liquidation in The Bahamas versus the bankruptcy in the US was ultimately the wrong decision. Had they had the bankruptcy in the US, Sarkis could have reorganised, fired the contractor, got a new contractor and completed the project.

“Bahamian law has no bankruptcy protection, only receivership and liquidation. That put the nail in the coffin of the project. By the time the government changed, the project had gone through liquidation and been sold to new owners. That would have been extremely hard to unwind and the Government had to keep the project open,” Mr D’Aguilar said.

“The decision to follow the liquidation as opposed to the bankruptcy was the nail in the coffin for Mr Izmirlian prevailing and retaining control of the project, and the Government was complicit in that.”

Maarten ($238m) round out the top five destinations.”

The study added that the $473.3m total spend in The Bahamas for that 12-month period accounted for 15 percent of all expenditure by cruise passengers over that 12-month period across all 33 regional destinations. As for crew, it found:

“With the highest number of onshore crew visits (491,000), The Bahamas had the second highest total expenditure among the 33 participating destinations, $21.2m.

“Crew spent an average of $43.26 during their onshore visit in The Bahamas. Crew expenditures in The Bahamas were concentrated on food and beverages, followed by clothing and personal products. These three categories accounted for 76 percent of total crew spending in The Bahamas.”

As for the cruise industry’s direct impact on Bahamian job creation, the FCCA report added: “The Bahamas had the second highest level of direct jobs supported by the cruise industry.

“The Bahamas’ $655m in direct expenditures supported an estimated 7,400 direct jobs paying $134m in direct wage income during the 2023-2024 cruise year. One direct job was supported for every $88,000 in direct cruise tourism expenditures. The $134m in wages represents approximately 20 percent of the direct spending.”

And in total impact: “The Bahamas had the highest level of total jobs supported by the cruise industry. The Bahamas’ $655m in direct expenditures supported an estimated 13,846 total jobs paying $250m in direct wage income during the 2023-2024 cruise year. As a total, one job was supported for every $47,000 of direct cruise tourism expenditures in The Bahamas.”

ATLANTIS SPA IN TOP REGIONAL HONOURS

AN ATLANTIS spa has been named as North America’s industry leader for the third consecutive year by Haute Grandeur - a ranking that serves as a stamp of excellence in the hospitality industry.

The Haute Grandeur award, first captured by the Mandara Spa at Atlantis in 2022, is the latest in the company’s sweep of global honours. In February 2024, Mandara Spa at Atlantis and the Spa at Four Seasons Ocean Club were voted among the top 32 spas in the world by the editors of Elle magazine, the fashion and lifestyle publication with 33m readers monthly.

The spa, in a statement, said that when Elle tested its services, senior content strategist Carine Lavache confessed the experience made her want to extend her stay in The Bahamas.

“Those are the words we love to hear; that an experience at Mandara was so extraordinary it made a guest want to extend or return to The Bahamas as a vacation destination of choice,” said Mandara’s regional vice-president, Youlanda Deveaux.

Michael Perez, vicepresident of resort spas for Mandara’s parent company, One Spa World, called The Bahamas-based spas “stars in the galaxy of resort luxury amenities”. He added: “Mandara never

fails to win rave reviews and wow clients.” Mandara Spa, along with the Atlantis resort, has also been recognised by Conde Nast Traveller for the travel publication’s recommended Choice awards.

Russell Miller, executive vice-president of hotel operations at Atlantis, said: “Mandara Spa at the Cove is one of the shining stars of the Atlantis experience.

We offer our warmest congratulations on Mandara’s latest in a string of awards that would make any hotel property proud. The spa’s commitment to excellence is reflected in what our guests share as their memorable and glowing reports of their experiences.”

Ms Deveaux credited the spa’s success to teamwork that does not happen by accident. In 2023, she

vowed that in a country of 90 percent water, every staff member at Mandara should be a certified swimmer. She brought in a coach and, in a few months, even those who had never put their head underwater before could swim 10 laps in an Olympic size pool.

New ideas for teambuilding are never far away. “One of our managers thought it would be cool to

go for a walk as a group,” said Ms Deveaux, who lent the idea full support. What emerged was a walk around Paradise Island under the stars.

“Before we knew it, residents and visitors were joining the Mandara team,” she laughed. “It was great fun, a night we will always remember.... We never tire of hearing guests say that the people of Mandara are

the most important ingredient of their menu of services. It’s the Bahamian personality shining through, warm and friendly without being intrusive - gentle, warm and welcoming.”

Disclosing what also makes Mandara stand out, Ms Deleveaux said: “It’s the authenticity of Bahamian bush tea, and now we have added native sorbet. We have it made fresh daily from whatever fruit is in season,” she said, noting that physical improvements lie ahead. The spa is scheduled for a major transformation, the first in more than a decade. The new look will embrace a light, bright, airy and contemporary style.

“At Mandara Spa, our journey is one of constant evolution, always growing, learning and striving to become better than yesterday. Our team’s continued dedication, passion and vision to seamlessly deliver an extraordinary guest experience will drive us toward a remarkable close to 2024, and pave the way for an even brighter 2025,” promised Ms Deleveaux. Jesus Padilla, senior vice-president of resort spa operations, added: “We are so proud and so honoured to win these awards and we pledge to continue to deliver the excellence in service that made us a winner.”

Airline expands flights to Abaco and Nassau

AN AIRLINE yesterday unveiled expanded services to both Abaco and Odyssey Aviation’s Nassau-based fixed base operation (FBO) from its Palm Beach Atlantic Aviation base.

Tropic Ocean Airways, a private charter, scheduled flights and yacht transfer airline, said in a statement that the service expansion follows swiftly behind this summer’s launch of

scheduled services from Palm Beach. “Tropic Ocean Airways is excited to expand its footprint of scheduled flights to The Bahamas. As we take a closer look at passenger trends and interests, we’re seeing a desire for more unique travel options from Palm Beach, creating demand for our team to increase operations and seamlessly connect

travellers to beautiful island destinations,” said Rob Ceravolo, Tropic Ocean Airways’ founder and chief executive.

“With high season approaching in the coming months, we’re excited to offer scheduled services from Palm Beach to Nassau and Abaco, exceptional customer service and the convenience of flying

semi-private to even more passengers in the market.”

Scheduled service from Palm Beach Atlantic Aviation to Odyssey Aviation in Nassau will begin on November 20. Flights will be offered on Wednesday, Thursday, Sunday and Monday, with prices starting at $450 per seat. Travellers in the Greater Fort Lauderdale area can also book this route, starting their

journey with a flight out of Fort Lauderdale Sheltair on selected days. And scheduled flights by Tropic Ocean Airways from Palm Beach Atlantic Aviation to Abaco have now doubled in frequency. Flights will be offered every Wednesday, Thursday, Sunday and Monday. Pricing starts at $450 per seat. Travelers in the Greater

Fort Lauderdale area can also book this route.

Passengers flying with Tropic Ocean Airways are able to arrive only 30 minutes prior to international departure. Guests also have access to a private lounge, plus free parking/valet at both Atlantic Aviation and Sheltair. Tropic Ocean Airways permits a baggage allowance of 50 pounds per person.

MANDARA Spa at Atlantis has been named Best Resort Spa in North America for the third consecutive year by Haute Grandeur.

Mandara’s regional vice-president, Youlanda Deveaux, left of centre, is pictured with team members who helped earn awards by ELLE and Conde Nast Traveler as Mandara continues its sweep of global honours.

Contractors eye 10-15% time slash via inspection outsource

payment” to the contractor, leading to potential cash

flow problems that impact payments to both sub-contractors and workers and which can render a development “not commercially viable to complete”.

Mr Sands, hailing the announcement by Clay Sweeting, minister of works and Family Island affairs, that the Building Regulation Act is to be amended to permit licensed, qualified and registered engineers and architects to conduct building inspections, he told this newspaper that it is “impossible” for the ministry’s own inspectors to keep up with the amount of construction development taking place throughout The Bahamas.

Confirming that the BCA teamed with both the Institute of Bahamian Architects (IBA) and Bahamas Society of Engineers

(BSE) “some three years ago” to form a committee to push for inspection outsourcing to third-party, private sector professionals, Mr Sands said: “When you recognise the amount of construction going on it’s impossible for the few persons in the inspectorate at the Ministry of Works to carry out all the inspections across the Commonwealth of The Bahamas.

“There’s only one inspector attached to Abaco, one inspector attached to Eleuthera. They don’t have inspectors for the southern islands, and they have to get persons to fly there from Nassau to conduct them.

Contractors complain to our office all the time that they wait months to get inspectors down to them so that they can get paid by financial institutions.

“They have to wait for the inspection to happen from the Ministry of Works before they can request

‘MIND BLOWING’: WATCHDOG FINDS STORES SELLING EXPIRED PRODUCTS

payment for that stage they have completed. It creates an unfair duration for their payment, which often leads to loss of money and time and, in some instances, it doesn’t turn out to be commercially viable for them to complete the project,” Mr Sands continued.

“This is welcome. It’s very encouraging. We would hope it results in faster construction. It really can only mean faster construction. It could maybe have an impact on 10-15 percent of the overall time of construction. You can lose as much as a week or two weeks waiting on an inspection. That’s on every phase.”

With five inspection phases - foundation, floor, columns, belt and roof -plus electrical, plumbing and the issuance of the occupancy certificate, Mr Sands added: “If you lose a week or two weeks on every stage that could easily be two months.

FROM PAGE B1

opportunity to speak with some of the providers, and most of them have shelf staff that are supposed to - on a daily basis - check products that are outdated and remove them from

If we can expedite a project that’s a great deal.”

Nick Dean, engineer and principal of Integrated Building Services (IBS), told Tribune Business that the outsourcing of building inspections is “an excellent idea” given the Ministry of Works’ personnel constraints and lack of qualified in-house professionals to keep up with the sheer volume of construction taking place across The Bahamas.

“It does hamper the pace of work on construction sites,” he explained about the lack of timely inspections. “It will allow inspections to be performed by persons highly qualified to do them. It’s good that they finally pulled the trigger.

“It does also put the onus on the cost side on the developer and builder, not on the ministry. It [the inspection] should be a cost of doing business for the

the shelves, but some of them caught in between products.”

Mr Rolle explained that the Commission is concerned about stores selling expired goods as this poses a potential health risk to the Bahamian public and violates the Food Safety and Quality Act. He added that several pensioners have mistakenly purchased expired goods when doing their monthly grocery shopping, thus creating a food safety hazard for a vulnerable population segment and eating into their fixed budget.

“Our concern is especially for senior citizens who collect their pension cheques at the end of month and they go do their shopping. We want to make sure that they’re getting value for money,” said Mr Rolle.

“Our role as consumer protection is to look out for the rights of consumers, straight across the board. One of the eight consumer rights is protection of safety. We make checks on that basis to ensure that we can still keep an eye out on things, as these things have the potential to make people sick and that’s concerning.”

Mr Rolle said the Commission will work with

developer and shouldn’t be a tax burden for the Bahamian public.”

Calling for the Government to establish a policy for who exactly will be allowed to conduct these building inspections, Mr Dean added: “There are more than enough engineers to see an improvement in the pace of works almost immediately; as soon as they implement that they will see an uptick in completions, especially getting inspectors into some of the remote cays in the Family Islands.

“Getting Ministry of Works personnel to some of these cays can be a challenge, but if you are paying an engineer to go out and do the inspections they are on the plane tomorrow. There are no issues with me on this. My only question is: ‘What took you so long?’ This should have been done years ago.”

grocery stores to ensure they take consumer complaints seriously, and will continue to educate the public on their rights so retailers can he held accountable when they violate them.

“We have regular updates with the grocery stores. We will be in communication with management to try and see how best we can get them to keep the concerns of the consumers at the forefront of everything they do,” said Mr Rolle.

“It’s going to take building relationships with these providers, and continuing to educate consumers on their rights; what they should look out for, provide safety tips and ask them to read the fine print.”

Mr Rolle said during the visits it was also noted that some store scales were not calibrated correctly, leading to incorrect weight measurements on purchases. “We looked at some stores, and we saw that some scales that were off. For example, you could go in a store and they say two pounds of grapes are for $6, but it’s only really one pound,” he added.

“We’re asking consumers to check for these things, and the more we work on educating consumers, I think the better it’s going to

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Mr Sweeting, on Tuesday, said the new Building Code will introduce independent inspectors, allowing registered architects and engineers from the private sector to assist with inspections. He added that the changes will benefit developers by improving inspection flexibility and turnaround times.

“Amendments to the Building Regulation Act include third party inspectors. A proposed amendment will introduce independent inspectors, registered architects and engineers to assist with inspections,” said Mr Sweeting.

“This will allow for more flexibility in inspection times, including after hours and weekends, benefiting developers and ensuring that construction is done much quickly. This initiative is currently under review by the Attorney General’s Office.”

be for everyone involved. We want smart consumers who know their rights.”

Mr Rolle said the Commission will continue to work with other government agencies, such as the Ministry of Health and Bahamas Bureau of Standards and Quality (BBSQ), to ensure consumers have a positive shopping experience especially as the Christmas holidays draw near.

“Price control is another part of Consumer Affairs, which has been doing an excellent job in terms of their checks as it relates to pricing concerns and bread basket items We’re going to continue to work closely with them,” said Mr Rolle.

“We’re going to continue to work closely with the health department, food and safety, BBSQ in terms of quantity and quality, just to make sure that together, we dialogue. We’re going to continue to work with our sister agencies to make sure that, together, we work to give customers a better experience, especially coming closer to the holidays and at the end of month, when many people get paid and go to the grocery store.”

US HOME SALES SLOWED AGAIN IN SEPTEMBER, FALLING TO WEAKEST ANNUAL PACE IN NEARLY 14 YEARS

By ALEX VEIGA AP Business Writer

SALES of previously occupied U.S. homes slowed in September to the weakest annual pace in nearly 14 years even as mortgage rates eased and the supply of properties on the market continued to climb.

Existing home sales fell 1% last month, from August, to a seasonally adjusted annual rate of 3.84 million, the National Association of Realtors said Wednesday. That marks the second straight monthly decline and the slowest annual sales pace since October 2010 when the housing market was still in a deep slump following the late-2000s real estate crash.

Sales fell 3.5% compared with September last year. On a regional basis, sales fell in the Northeast, South and Midwest last month from a year earlier, but rose in the West.

Overall, the latest home sales were short of the 3.9

million pace economists were expecting, according to FactSet.

"The factors that would drive higher home sales —- such as mortgage rates meaningfully lower now compared to one year ago, inventory beginning to increase and, of course, jobs continuously being added to the economy —- and yet home sales are stuck at low levels," said Lawrence Yun, the NAR's chief economist. Despite the slower sales pace, home prices increased on an annual basis for the 15th consecutive month. The national median sales price rose 3% from a year earlier, to $404,500.

While the rate of price growth has been slowing, the latest median sales price is 49% higher than it was five years ago, before the pandemic. By comparison, wages grew 25% in the same period, Yun noted.

Years of soaring home prices have helped put homeownership out of reach of many Americans, making housing a key

political issue for voters in next month's election.

The U.S. housing market has been in a sales slump dating back to 2022, when mortgage rates began to climb from pandemic-era lows. Existing home sales sank to a nearly 30-year low last year as the average rate on a 30-year mortgage surged to a 23-year high of nearly 8%, according to mortgage buyer Freddie Mac.

Mortgage rates mostly eased since July in anticipation of last month's move by the Federal Reserve to cut its main interest rate for the first time in more than four years and to signal further cuts through 2026. While the central bank doesn't set mortgage rates, its policy pivot cleared a path for mortgage rates to generally go lower.

The average rate on a 30-year mortgage fell to 6.08% four weeks ago — its lowest level in two years — but has edged higher since then, reaching 6.44% last week.

"Falling mortgage rates in July and August were expected to bring more buyers into the market, but some home shoppers may be holding out for rates to fall further," said Lisa Sturtevant, chief economist at Bright MLS. "Others may be taking a wait-and-see approach in the lead up to the presidential election."

Economists generally expect mortgage rates to remain near their current levels, at least this year.

Fannie Mae projects the rate on a 30-year mortgage will average 6.2% in the October-December quarter and decline to an average of 5.7% in the same quarter next year.

As sales have slowed, the inventory of homes for sale has kept ticking higher.

There were 1.39 million unsold homes at the end of September, up 1.5% from August and 23% from September last year, NAR said. That translates to a 4.3month supply at the current sales pace, up from a 3.4month pace at the end of September last year. Traditionally, a 5- to 6-month supply is considered a balanced market between buyers and sellers.

Another factor helping lift the inventory of homes on the market: Properties are taking longer to sell than a year ago.

Homes typically stayed on the market for 28 days last month before they were sold, up from 21 days a year earlier.

"Even with the recent increase in inventory one can say that's helping loosen up the market, but it's still far short of what would be considered a more normal inventory level," Yun said. Still, in a plus for home shoppers, fewer homes are receiving multiple offers. Some 20% of the homes that sold last month were bought for more than their original list price, down from 26% in September last year.

By WYATTE GRANTHAM-PHILIPS

AP Business Writer

A FEDERAL regulator on Wednesday ordered Apple and Goldman Sachs to pay a combined $89 million for deceiving consumers and mishandled transaction disputes of Apple Card customers.

The Consumer Finance Protection Bureau orders point to "customer service breakdowns and misrepresentations" around Apple and Goldman's credit card partnership. Apple failed to send tens of thousands of Apple Card disputes to Goldman, and when such customer disputes were reported, the investment bank did not follow federal requirements for investigating, the agency said.

As a result, many consumers faced long waits to get their money back from disputed charges and, in some cases, saw incorrect negative information added to their credit reports, the CFPB added.

Apple and Goldman were also accused of misleading people who purchased iPhones and other Apple devices about interest-free payments for

the credit card. The CFPB found that many customers thought they would automatically get interest-free financing when buying an Apple device with Apple Card, for example, but were instead charged that interest, while Goldman misled consumers about some refund applications.

In a statement, Apple said it learned about the "inadvertent issues" years ago and address them along with Goldman Sachs, adding that it strongly disagrees with the CFPB's characterization of its conduct. The California tech giant added that "Apple Card is one of the most consumer-friendly credit cards available, and was specifically designed to support users' financial health."

Goldman spokesperson Nick Carcaterra echoed that sentiment, noting the investment bank was proud to develop the credit card product with Apple, and said it was pleased to reach a resolution with the CFPB. Both companies also maintained that they had already worked to help impacted customers.

Wednesday's CFPB action orders refunds for consumers and penalties for

both companies. Apple is required to pay a $25 million penalty, the CFPB said, and Goldman a $45 million penalty and at least $19.8 million in redress.

The agency is also barring Goldman, which is already struggling with its wider consumer banking business, from launching another new credit card unless it can prove the product "will actually comply with the law."

"These failures are not mere technicalities. They resulted in real harm to real people," CFPB Director Rohit Chopra said in prepared remarks, noting hundreds of thousands of Apple Card users were impacted overall. In a separate statement, he added that "Big Tech companies and big Wall Street firms should not behave as if they are exempt from federal law."

Apple partnered with Goldman to launch the Apple Card in 2019. The now-popular credit card runs on the Mastercard network and is deeply embedded into Apple Pay. It is designed primarily to be used on devices like the iPhone or Apple Watch.

The CFPB suggested that Apple and Goldman launched Apple Card prematurely, pointing to third-party warnings about

technological issues prior to the card's launch. Goldman's venture into consumer banking has been far from smooth sailing. The Wall Street firm recently ended its credit card partnership with General Motors — with Barclays coming forward as its replacement just last week.

A SALE sign stands outside a home on the market Thursday, Oct. 17, 2024, in the east Washington Park neighborhood of Denver.

Photo:David Zalubowski/AP

IN this March 25, 2019, file photo, Jennifer Bailey, vice president of Apple Pay, speaks about the Apple Card at the Steve Jobs Theater in Cupertino, Calif.

Photo:Tony Avelar/AP

EFFORTS BY RUSSIA, IRAN AND CHINA TO SWAY US

VOTERS MAY ESCALATE, NEW MICROSOFT REPORT SAYS

By ALI SWENSON Associated Press

FOREIGN adversar-

ies have shown continued determination to influence the U.S. election –- and there are signs their activity will intensify as Election Day nears, Microsoft said in a report Wednesday.

Russian operatives are doubling down on fake videos to smear Vice President Kamala Harris' campaign, while Chinese-linked social media campaigns are maligning down-ballot Republicans who are critical of China, the company's threat intelligence arm said Wednesday. Meanwhile, Iranian actors who allegedly sent emails aimed at intimidating U.S. voters in 2020 have been surveying election-related websites and major media outlets, raising concerns they could be preparing for another scheme this year, the tech giant said.

The report serves as a warning – building on others from U.S. intelligence officials – that as the nation enters this critical final stretch and begins counting ballots, the worst influence efforts may be yet to come. U.S. officials say they remain confident that election infrastructure is secure enough to withstand any attacks from American

adversaries. Still, in a tight election, foreign efforts to influence voters are raising concern.

Microsoft noted that some of the disinformation campaigns it tracks received little authentic engagement from U.S. audiences, but others have been amplified by unwitting Americans, exposing thousands to foreign propaganda in the final weeks of voting.

Russia, China and Iran have all rejected claims that they are seeking to meddle with the U.S. election.

"The presidential elections are the United States' domestic affairs. China has no intention and will not interfere in the US election," the Chinese Embassy said in a statement.

"Having already unequivocally and repeatedly announced, Iran neither has any motive nor intent to interfere in the U.S. election; and, it therefore categorically repudiates such accusations," read a statement from Iran's mission to the United Nations.

A message left with the Russian Embassy was not immediately returned on Wednesday.

The report reveals an expanding landscape of coordinated campaigns to advance adversaries' priorities as global wars and economic concerns raise

the stakes for the U.S. election around the world. It details a trend also seen in the 2016 and 2020 elections of foreign actors covertly fomenting discord among American voters, furthering a divide in the electorate that has left the nation almost evenly split just 13 days before voting concludes.

"History has shown that the ability of foreign actors to rapidly distribute deceptive content can significantly impact public perception and electoral outcomes," Clint Watts, general manager of the Microsoft Threat Analysis Center, said in a news release. "With a particular focus on the 48 hours before and after Election Day, voters, government institutions, candidates and parties must remain vigilant to deceptive and suspicious activity online."

The report adds to previous findings from Microsoft and U.S. intelligence that suggest the Kremlin is committed to lambasting Harris' character online, a sign of its preference for another Donald Trump presidency.

Russian actors have spent recent months churning out both AI-generated content and more rudimentary spoofs and staged videos spreading disinformation

are critical of China. Meanwhile, Iranian actors who allegedly sent emails aimed at intimidating U.S. voters in 2020 have been surveying election-related websites and major media outlets, the tech giant said.

about Harris, Microsoft's analysts found.

Among the fake videos were a staged clip of a park ranger impersonator claiming Harris killed an endangered rhinoceros in Zambia, as well as a video sharing baseless allegations about her running mate Tim Walz, which U.S. intelligence officials also attributed to Russia this week. Morgan Finkelstein, national security spokeswoman for the Harris campaign, condemned Russia's efforts.

Another Russian influence actor has been producing fake electionrelated videos spoofing American organizations from Fox News to the FBI and Wired magazine, according to the report.

China over the last several months has focused on down-ballot races, and on general efforts to sow distrust and democratic dissatisfaction. A Chinese influence actor widely known as Spamouflage has been using fake social media users to attack downballot Republicans who have publicly denounced China, according to Microsoft's analysts.

Candidates targeted have included Rep. Barry Moore of Alabama, Sen. Marsha Blackburn of Tennessee, and Rep. Michael McCaul of Texas, all of whom are running for reelection, the report said. The group also has attacked Sen. Marco Rubio of Florida.

All four politicians sent emailed statements condemning China's aggression against American political candidates and its efforts to weaken democracy.

In its statement, the Chinese embassy said U.S. officials, politicians and media "have accused China of using news websites and social media accounts to spread so-called disinformation in the US. Such allegations are full of malicious speculations against China, which China firmly opposes." Iran, which has spent the 2024 campaign going after Trump with disinformation as well as hacking into the former president's campaign, hasn't been stymied by ongoing tension in the Middle East, according to the Microsoft report.

Quite the opposite, groups linked to Iran have weaponized divided opinions on the Israel-Hamas

War to influence American voters, the analysts found. For example, an Iranian operated persona took to Telegram and X to call on Americans to sit out the elections due to the candidates' support for Israel.

Microsoft's report also said it observed an Iranian group compromising an account of a notable Republican politician who had a different account targeted in June. The company would not name the individual but said it was the same person who it had referenced in August as a "former presidential candidate." The report also warned that the same Iranian group that allegedly posed as members of the far-right Proud Boys in intimidating emails to voters in 2020 has been scouting swing-state election-related websites and media outlets in recent months. The behavior could "suggest preparations for more direct influence operations as Election Day nears," Watts said. Iran's mission to the United Nations said in a statement that the allegations in the report "are fundamentally unfounded, and wholly inadmissible."

THE MICROSOFT logo in Issy-les-Moulineaux, outside Paris, France, April 12, 2016. The company said Wednesday that Russian operatives are doubling down on fake videos to smear Vice President Kamala Harris’ campaign, while Chinese-linked social media campaigns are maligning downballot candidates who

Photo:Michel Euler/AP

STRIKING BOEING WORKERS ARE VOTING ON A NEW CONTRACT OFFER AS THE COMPANY REPORTS A $6 BILLION LOSS

By DAVID KOENIG and MANUEL VALDES Associated Press

BOEING factory workers were voting Wednesday whether to accept a contract offer that includes big pay raises but lacks a traditional pension plan, or to continue a strike that has crippled the company's airplane production for nearly six weeks.

Voting began just hours after Boeing reported losing $6.2 billion in the third quarter, largely because of huge write-downs in both its aircraft and defense businesses.

Members of the International Association of Machinists and Aerospace Workers voted at union halls in Washington state, Oregon and California on a Boeing offer that would raise wages by 35% over four years, pay a one-time ratification bonus of $7,000 per worker, and restore annual productivity bonuses worth several thousand dollars apiece.

Before the doors opened at a hall near Boeing's factory in Renton, Washington, workers joined a snaking line outside, where there were scattered calls to keep the strike going.

"It's going to be a split vote," predicted Brian Hatcher, who has worked at

Boeing for 15 years and said he voted to reject the offer mostly because it would not bring back pensions that were frozen a decade ago. Theresa Pound, a 16-year Boeing veteran, also voted against the deal. She said the health plan has gotten worse, with higher premiums and more outof-pocket expenses, and her expected pension benefits would not be enough, even when combined with a 401(k) retirement account.

"I have put more time in this place than I was ever required to. I have literally blood, sweat and tears from working at this company," the 37-year-old said. "I'm looking at working until I'm 70 because I have this possibility that I might not get to retire based on what's happening in the market."

Frederic Scholter, a flightline inspector who has spent 48 years at Boeing and been through six strikes, voted yes.

"I think if Boeing is giving us good money to invest on our own, it's up to you to plan your retirement that way," he said. "It was not a good contract at first. I think this contract meets us halfway."

The union said it expected to announce the outcome of the vote Wednesday night. Union leaders, who were burned

NOTICE

ROMAGNOLI & LOPES GROUP LTD.

Incorporated under the International Business Companies Act, 2000 of the Commonwealth of The Bahamas. Registration number 205676 B (In Voluntary Liquidation)

Notice is hereby given that the above-named Company is in dissolution, commencing on the 23rd day of October A.D. 2024. Articles of Dissolution have been duly registered by the Registrar. The Liquidator is MR. CRESIO VICTOR ROMAGNOLI, whose address is Rua Shigueu Kuroda, 15, Jardim Portal Do Lago, CEP: 86802-067, Apucarana, Brazil. Any Persons having a Claim against the above-named Company are required on or before the 22nd day of November A.D. 2024 to send their names, addresses and particulars of their debts or claims to the Liquidator of the Company, or in default thereof they may be excluded from the beneft of any distribution made before such claim is proved.

Dated this 23rd day of October A.D. 2024.

CRESIO VICTOR ROMAGNOLI LIQUIDATOR

BOEING employees on strike enter a voting location to cast their ballots on a new contract offer from the

23, 2024, at the Angel of the Winds Arena in Everett, Wash. (AP Photo/Lindsey Wasson

“I think if Boeing is giving us good money to invest on our own, it’s up to you to plan your retirement that way. It was not a good contract at first. I think this contract meets us halfway.”

Frederic Scholter

last month when they supported an earlier offer that members voted 94.6% to reject, did not endorse the latest proposal but said it merited consideration.

If the contract is approved, the 33,000 Boeing employees on strike would return to work between Friday and Oct. 31.

The strike, which began Sept. 13, has served as an early test for Boeing CEO Kelly Ortberg, who became chief executive in August.

In his first remarks to investors, Ortberg said Wednesday that Boeing needs "a fundamental culture change," and he laid out his plan to revive the aerospace giant after years of heavy losses and damage to its reputation.

Ortberg repeated in a message to employees and

on the earnings call that he wants to "reset" management's relationship with labor "so we don't become so disconnected in the future." He said company leaders need to spend more time on factory floors to know what is going on and "prevent the festering of issues and work better together to identify, fix, and understand root cause."

Ortberg, a Boeing outsider who previously ran Rockwell Collins, a maker of avionics and flight controls for airline and military planes, said Boeing is at a crossroads.

"The trust in our company has eroded. We're saddled with too much debt. We've had serious lapses in our performance across the company, which have

NOTICE

INTERNATIONAL BUSINESS COMPANIES ACT, 2000

Stratgen Company Ltd. (IN VOLUNTARY LIQUIDATION)

NOTICE IS HEREBY GIVEN that in accordance with section 138(4) of the International Business Companies Act, 2000, as amended, Stratgen Company Ltd. is in dissolution.

The dissolution of the said Company commenced on October 9th, 2024, when the Articles of Dissolution were submitted to and registered with the Registrar General in Nassau, The Bahamas.

The sole liquidator of the said Company is Kim D Thompson of Equity Trust House, Caves Village, West Bay Street, P O Box N 10697, Nassau, Bahamas.

Kim D Thompson Sole Liquidator

disappointed many of our customers," he said.

But Ortberg also highlighted the company's strengths, including a backlog of airplane orders valued at a half-trillion dollars.

"It will take time to return Boeing to its former legacy, but with the right focus and culture, we can be an iconic company and aerospace leader once again," he said.

In recent weeks, Ortberg announced large-scale layoffs — about 17,000 people — and a plan to raise enough cash to avoid a bankruptcy filing.

Boeing hasn't had a profitable year since 2018, and Wednesday's numbers represented the second-worst quarter in the manufacturer's history. Boeing lost $6.17 billion in the period ended Sept. 30, with an adjusted loss of $10.44 per share. Analysts polled by Zacks Investment Research had expected a loss of $10.34 per share.

Revenue totaled $17.84 billion, matching Wall Street estimates.

The company burned nearly $2 billion in cash, in the quarter, weakening

its balance sheet, which is loaded down with $58 billion in debt. Chief Financial

Officer Brian West said the company will not generate positive cash flow until the second half of next year.

Shares of The Boeing Co. fell 2% in regular trading Wednesday.

Boeing's fortunes soured after two of its 737 Max jetliners crashed in October 2018 and March 2019, killing 346 people. Safety concerns were renewed this January, when a panel blew off a Max during an Alaska Airlines flight. Ortberg needs to convince federal regulators that Boeing is fixing its safety culture and is ready to boost production of the 737 Max — a crucial step to bring in much-needed cash. That can't happen, however, until the striking workers return to their jobs.

Boeing has held firm in resisting a union demand to restore a traditional pension plan that was frozen in 2014. However, workers who were covered by that plan would get a slight increase in their monthly pension payouts under the latest offer.

company, Wednesday, Oct.

Financial cooperation and BRICS expansion are on the table as Putin hosts Global South leaders

KAZAN, Russia

Associated Press

RUSSIA'S President Vladimir Putin on Wednesday hosted China's Xi Jinping, India's Narendra Modi and other world leaders at a summit of the BRICS bloc of developing economies, part of the Kremlin's efforts to challenge Western global clout.

Putin said the agenda covered the deepening of financial cooperation, including the development of alternatives to Western-dominated payment systems, as well as settling regional conflicts and moving to expand the BRICS group of countries.

"The BRICS strategy in the global arena conforms with the strivings of the main part of the global community, the so-called global majority," Putin said at the start of Wednesday's meeting. "This approach is especially relevant in the current conditions when truly radical changes are underway across the globe, including the shaping of a multipolar world."

The alliance that initially included Brazil, Russia, India, China and South Africa has expanded to embrace Iran, Egypt, Ethiopia, the United Arab Emirates and Saudi Arabia. Turkey, Azerbaijan and Malaysia have formally

applied to become members, and several other countries have expressed interest in joining.

The three-day summit in the city of Kazan that began Tuesday is attended by 36 countries, highlighting the failure of U.S.-led efforts to isolate Russia over its actions in Ukraine.

The Kremlin touted the summit as "the largest foreign policy event ever held" by Russia.

The Kremlin has cast BRICS as a counterbalance to the Western-dominated global order and redoubled its efforts to court the countries of the Global South after sending troops into Ukraine in February 2022.

Russia has specifically pushed for the creation of a new payment system that would offer an alternative to the global bank messaging network SWIFT and allow Moscow to dodge Western sanctions and trade with partners.

Speaking at the summit, Putin accused the U.S. of "weaponizing" the dollar and described it as a "big mistake."

"It's not us who refuse to use the dollar," he said. "But if they don't let us work, what can we do? We are forced to search for alternatives."

He also proposed creating a new BRICS investment platform, saying

NOTICE

NOTICE is hereby given that JUSTIN PAUL , of Balfour Avenue, Miami Street New Providence, Bahamas 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 17th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

that it could "become a powerful tool for supporting our economies, and would also provide financial resources to countries of the Global South and East."

In a joint declaration, the summit participants voiced concern about "the disruptive effect of unlawful unilateral coercive measures, including illegal sanctions" and reiterated their commitment to enhancing financial cooperation within BRICS. They noted the benefits of "faster, low-cost, more efficient, transparent, safe

and inclusive cross-border payment instruments built upon the principle of minimizing trade barriers and non-discriminatory access."

Putin and Xi had announced a "no-limits" partnership weeks before Russia invaded Ukraine in 2022. They already met twice earlier this year, in Beijing in May and at a Shanghai Cooperation Organization summit in Kazakhstan in July.

On Wednesday, Xi emphasized the bloc's role in ensuring global security. "We must work together to build BRICS

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NOTICE is hereby given that ALETHIA ATKINSON, of Cowpen Road, Nassau, The Bahamas, 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 24th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

into a primary channel for strengthening solidarity and cooperation among Global South nations and a vanguard for advancing global governance reform," he said.

Xi noted that China and Brazil have put forward a peace plan for Ukraine and sought to rally broader international support for it.

Ukraine has rejected the proposal.

"We must uphold the three key principles: no expansion of the battlefields, no escalation of hostilities, and no fanning flames and strive for swift deescalation of the situation," Xi said of the Ukrainian conflict.

Russia's cooperation with India has also flourished as New Delhi sees

Moscow as a time-tested partner since Cold War times despite Russia's close ties with India's main rival, China. Western allies want India to be more active in persuading Moscow to end the fighting in Ukraine, but Modi has avoided condemning Russia while emphasizing a peaceful settlement.

"We support dialogue and diplomacy, not war," Modi said during Wednesday's BRICS meeting in remarks carried by the Indian foreign ministry. Modi's visit to the summit marked his second trip to Russia in three months.

"As a diverse and inclusive platform, BRICS can play a positive role in all areas," Modi said.

Putin on Wednesday met on the sidelines of the summit with Iranian President Masoud Pezeshkian, hailing "truly friendly" ties between Moscow and Tehran and noting that they should be further cemented by a "comprehensive strategic partnership treaty" to be signed during Pezehskian's planned trip to Moscow. The date for that visit hasn't been set yet, but Kremlin foreign affairs adviser Yuri Ushakov said it could happen soon.

On Thursday, Putin was set to meet Thursday with U.N. Secretary-General Antonio Guterres, who has repeatedly criticized Moscow's actions in Ukraine and is making his first visit to Russia in more than two years.

NOTICE

NOTICE is hereby given that JOADNER MORETTE, of Farrington Road, Nassau, The Bahamas, 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 24th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that ASHLEY ARRIANNA JACKSON of P. O. Box GT-2555, #76 Barbados Street, Golden Gates #2, 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 17th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, Bahamas.

NOTICE

NOTICE is hereby given that ROBINSON ROCK, of Rockcrusher, Carmichael Road, New Providence, Bahamas 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 17th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

NOTICE

NOTICE is hereby given that QUINCY LADDEUS, of Golden Gates, New Providence, Bahamas 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 17th day of October, 2024 to the Minister responsible for nationality and Citizenship, P.O. Box N-7147, Nassau, New Providence, The Bahamas.

FROM left: Ethiopian Prime Minister Abiy Ahmed, Egyptian President Abdel Fattah el-Sisi, South

African President Cyril Ramaphosa, Chinese President Xi Jinping, Russian President Vladimir Putin, Indian Prime Minister Narendra Modi, United Arab Emirates President Sheikh Mohammed bin Zayed Al Nahyan, Iranian President Masoud Pezeshkian and Brazilian Foreign Minister Mauro Vieira pose for a family photo prior to the BRICS Summit plenary session in Kazan, Russia, Wednesday, Oct. 23, 2024.

Photo:Maxim Shipenkov/AP

Tesla posts surprise

$2.17 billion third-quarter profit, up 17.3% from a year ago

By TOM KRISHER AP Auto Writer

TESLA'S third-quarter net income rose 17.3% compared with a year ago on stronger electric vehicle sales, and an optimistic CEO Elon Musk predicted 20% to 30% sales growth next year.

The strong performance changed the trajectory of the year for the Austin, Texas-based company, which had seen sales and profits decline in the first two quarters.

In its letter to investors, Tesla predicted slight growth in vehicle deliveries this year, better than the 1.8 million delivered worldwide in 2023.

Tesla said Wednesday that it made $2.17 billion from July through September, more than the $1.85 billion profit it posted in the same period of 2023.

The earnings came despite price cuts and lowinterest financing that helped boost sales of the company's aging vehicle lineup during the quarter.

It was Tesla's first yearover-year quarterly profit increase of 2024, a year plagued by falling sales and prices.

Revenue in the quarter rose 7.8% to $25.18 billion, falling short of Wall Street analysts who estimated it at $25.47 billion, according to FactSet. Tesla made an adjusted 72 cents per share, soundly beating analyst expectations of 59 cents.

Shares in Tesla Inc. soared nearly 12% in trading after Wednesday's closing bell.

On a conference call with analysts, Musk said the profit increase came despite a challenging environment for auto sales with still-high loan interest rates. "I think if you look at EV companies worldwide, to the best of my knowledge, no EV company is even profitable," he said.

Musk qualified his prediction that Tesla would post 2025 vehicle sales growth of 20% to 30% by saying it could be changed by "negative external events."

Earlier this month Tesla said it sold 462,890 vehicles from July through September, up 6.4% from a year ago. The sales numbers were better than analysts had expected.

The letter said that Tesla is on track to start production of new vehicles, including more affordable models, in the first half of next year, something investors had been looking for. The new vehicles will use parts from its current models and will be made on the same assembly lines as Tesla's current model lineup, the letter said.

The new vehicles were not identified and the price was nebulous. Musk has said in the past the company is working on a car that will cost about $25,000, but said Wednesday that a new affordable vehicle would cost under $30,000 including government tax incentives.

Earlier this month, the company showed off a purpose-built two-seat robotaxi called "Cybercab" at a glitzy event at a Hollywood movie studio. Musk said it would be in production before 2027 and cost around $25,000.

By using parts from existing models and the current manufacturing system, Tesla won't reach cost reductions that it previously expected using a new manufacturing setup.

Tesla said it reduced the cost of goods per vehicle to its lowest level yet, about $35,100.

The company's widely watched gross profit margin, the percentage of revenue it gets to keep after expenses, rose to 19.8%, the highest in a year, but still smaller than the peak

WALMART AGREES TO PAY $7.5 MILLION TO SETTLE CALIFORNIA LAWSUIT OVER DISPOSAL OF HAZARDOUS WASTE

By OLGA R. RODRIGUEZ Associated Press

WALMART has agreed to pay $7.5 million to settle a lawsuit filed by California officials that alleged the retail giant illegally dumped batteries, aerosol cans of insect killer, toxic cleaning supplies, electronic waste, latex paints and other hazardous waste in municipal landfills throughout the state.

California Attorney General Rob Bonta announced the settlement Tuesday, saying the company will also be required to hire an independent, third-party auditor to conduct three waste audits each year at its facilities throughout California during the next four years. The audit results will have to be shared with the attorney general's office, the state's Department of Toxic Substances Control, and the district attorneys of the 12 counties involved in the lawsuit. As part of the settlement, Walmart agreed to continue operating and maintaining its hazardous waste programs and make modifications necessary to comply with changes in California's Hazardous Waste Control Law.

"The fact that the settlement agreement requires Walmart to "maintain" our pre-existing waste compliance program is a testament to the strength of the compliance program we have built, and the settlement agreement itself recognizes

of 29.1% in the first quarter of 2022.

During the quarter, Tesla's revenue from regulatory credits purchased by other automakers who can't meet government emissions targets hit $739 million, the second highest quarter in company history.

Musk said Tesla's "Full Self-Driving" system is improving and would drive more safely than humans in the second quarter of next year. Despite the name, Teslas using "Full Self-Driving" cannot drive themselves, and human drivers must be ready to intervene at all times.

The company, he said, is offering an autonomous ride-hailing service to employees in the San Francisco Bay Area, but it currently has human safety drivers. It expects to start a robotaxi service for the public in California and Texas next year, he said.

Musk also conceded that it may not be possible to reach autonomous driving safety levels with older editions of "Full Self-Driving" hardware. If it can't do that, Tesla will upgrade computers in the older cars for free, he said.

The self-driving claims come just five days after U.S. safety regulators opened an investigation into the system's cameras to see in low-visibility conditions such as sun glare, fog and airborne dust. The probe raised doubts about whether the system will be ready to drive on its own next year.

that Walmart's program is extremely effective at keeping allegedly hazardous waste out of public landfills," Walmart said in a statement.

Walmart will have to pay $4.3 million in civil penalties and $3.2 million in reimbursements if the settlement is approved by an Alameda County Superior Court judge, according to the settlement.

"Walmart's illegal disposal of hazardous and medical waste not only violated California laws, but, if left unchecked, posed a threat to human health and the environment," Bonta said. "This settlement will ensure that Walmart takes the necessary steps to ensure that its hazardous waste is handled and disposed of as required by law."

The California Department of Toxic Substances Control and the district attorneys of Alameda, Fresno, Monterey, Orange, Riverside, Sacramento, San Bernardino, San Diego, San Joaquin, Solano, Tulare, and Yolo counties joined the attorney general's office in filing the 2021 lawsuit.

The state did 70 inspections from 2015 to 2021 of waste that Walmart stores sent to municipal landfills and found thousands of containers of toxic aerosols and liquid wastes, including spray paints, rust removers, bleach, pesticides, and medical waste, such as overthe-counter drugs.

A TESLA Cybertruck passes as the sun sets behind SpaceX's mega rocket Starship, on Oct. 12, 2024, in Boca Chica, Texas.

Photo:Eric Gay/AP

Wall Street slumps to a rare 3-day losing streak

By STAN CHOE AP Business Writer

U.S. stocks fell Wednesday as more steam came out of Wall Street's huge, record-breaking rally.

The S&P 500 sank 0.9% for its first three-day losing streak since early September. It was coming off two small losses since setting an all-time high on Friday, and the pullback follows a superb run where the index had rallied to six straight winning weeks, its longest such streak of the year.

The Dow Jones Industrial Average dropped 409 points, or 1%, while the Nasdaq composite tumbled 1.6% after Nvidia and other Big Tech stocks were among the market's heaviest weights.

Momentum has reversed for stocks this week as pressure has increased from rising Treasury yields.

Higher yields can make investors less willing to pay high prices for stocks, which critics say already look too expensive after they rose faster than corporate profits.

"Slowly, then suddenly," stock investors have been

noticing the moves in the bond market, along with the rally for the U.S. dollar's value against other currencies, according to Jonathan Krinsky at BTIG. McDonald's helped pull the market lower and dropped 5.1% after federal health officials linked its Quarter Pounder burgers with an E. coli outbreak that's affected at least 49 people in 10 states. Investigators are still trying to find what specific ingredient is contaminated, and the Centers for Disease Control and Prevention said McDonald's stopped using fresh slivered onions and quarter pound beef patties in several states while the investigation is ongoing. Coca-Cola fell 2.1% even though it reported stronger profit and revenue for the latest quarter than analysts expected. The company benefited from higher prices for its products, but a lot of focus was on how much product the company shipped during the quarter, and that fell short of some estimates. Boeing slipped 1.8% in what could be one of the most consequential days in years for

the troubled aerospace manufacturer.

The company reported a loss of more than $6 billion for the latest quarter, as it waited to see the results of a vote by machinists later in the day that could end a production-crippling strike. Boeing stock has lost nearly 40% this year. The market's most impactful losses came from Big Tech stocks. They have been battling criticism for a while that their

prices soared too high amid Wall Street's frenzy around artificial-intelligence technology. Nvidia's 2.8% drop and Apple's 2.2% fall were the two heaviest weights on the S&P 500. Helping to limit the losses for indexes was AT&T, which rose 4.6% after reporting stronger profit for the latest quarter than analysts expected Texas Instruments climbed 4% after the

semiconductor company reported stronger profit and revenue than analysts expected. While revenue from industrial users declined from the prior quarter, CEO Haviv Ilan said all other end markets grew.

Northern Trust rallied 7% after likewise topping analysts' estimates for profit and revenue in the latest quarter.

A

All told, the S&P 500 fell 53.78 points to 5,797.42. The Dow dropped 409.94 to 42,514.95, and the Nasdaq composite fell 296.47 to 18,276.65.

In the bond market, the yield on the 10-year Treasury rose again to 4.23% from 4.21% late Tuesday and from just 4.08% Friday. Treasury yields have been climbing after a raft of reports have shown the U.S. economy remains stronger than expected. That's good news for Wall Street, because it bolsters hopes that the economy can escape from the worst inflation in generations without the painful recession that many had worried was inevitable.

Traders are now largely expecting the Fed to cut its main interest rate by half a percentage point more through the end of the year, according to data from CME Group.

MARINE FORECAST

Photo:Peter Morgan/AP

WHAT TO KNOW ABOUT E. COLI AND THE MCDONALD’S OUTBREAK

By JONEL ALECCIA AP Health Writer

A food poisoning outbreak tied to McDonald's Quarter Pounders was caused by a common type of E. coli bacteria that can cause serious illness and death.

Particularly vulnerable are young children, older people or those with weakened immune systems.

About 50 people have fallen ill in the McDonald's outbreak, and one has died, with ages ranging from 13 to 88, according to the Centers for Disease Control and Prevention.

A preliminary investigation suggests raw slivered onions served on Quarter Pounders are a likely source of the outbreak.

Here's what to know about the dangerous germ: What is E. coli?

E. coli is a type of bacteria found in the environment, including water, food and in the intestines of people and animals. There are many kinds of harmless E. coli, but a few types can make people seriously ill. The McDonald's outbreak is caused by E. coli

O157:H7, which produces a toxin that causes dangerous diarrhea and can lead to kidney failure and other serious problems, according to the CDC.

How is it spread?

People can get sick from E. coli poisoning when they consume contaminated foods or through contact with animals, the environment or other people who are infected. Health officials initially focused on fresh slivered onions and beef patties as the possible sources of the McDonald's outbreak. But the beef patties are an unlikely source because of federal requirements for testing meat and McDonald's protocols that call for cooking it to a temperature that kills the bacteria. The onions are served raw. What are the symptoms of E. coli poisoning?

Symptoms occur quickly, within a day or two of eating contaminated food, and typically include fever, vomiting, diarrhea or bloody diarrhea and signs of dehydration — little or no peeing, increased thirst and dizziness. The infection can cause a type of serious kidney injury, especially in kids younger than 5. E. coli poisoning in young children requires immediate medical attention.

How often does E. coli make people sick?

The type of bacteria implicated in this outbreak causes about 74,000 infections in the U.S. annually, leading to more than 2,000 hospitalizations and 61

deaths each year, according to the CDC. In general, E. coli infections were lower in 2023 than in recent years and cases of severe kidney injury caused by the bacteria remained stable, according to latest federal data.

What other germs can cause food poisoning?

Food poisoning sickens at least 48 million people in the U.S. each year, including 128,000 who are hospitalized and 3,000 who die. E. coli poisoning is only one cause of such infections. Other germs can make people sick, too. The most common is norovirus, a group of viruses that cause between 19 million and 21 million cases of food poisoning in the U.S. each year, according to the CDC. Salmonella bacteria in food sickens about 1.3 million people. Listeria bacteria cause fewer illnesses, about 1,600 each year, but are responsible for about 260 deaths.

A MCDONALD’s Quarter Pounder hamburger and fries are shown in this photograph, in New York’s Times Square, Wednesday, Oct. 23, 2024. Photo:Richard Drew/AP

PEOPLE 50 AND OLDER SHOULD GET PNEUMOCOCCAL VACCINE, U.S. HEALTH OFFICIALS

RECOMMEND

By MIKE STOBBE AP Medical Writer

U.S. health officials on Wednesday recommended that people 50 and older get a shot against bacteria that can cause pneumonia and other dangerous illnesses.

The recommendation was made by a scientific advisory panel and then accepted by the Centers for Disease Control and Prevention. The decision lowered — from 65 — the minimum recommended age for older adults to get the shot.

"Now is a great time to get vaccinated against pneumococcal disease in preparation for the winter respiratory season," CDC Director Dr. Mandy Cohen said in a statement Wednesday night.

The advisory committee voted 14-1 to make the change during a meeting earlier in the day in Atlanta. The guidance is widely heeded by doctors and prompts health insurers to pay for recommended shots.

Pneumococcal shot recommendations are sometimes called the most complicated vaccination guidance that the government issues. The CDC currently recommends shots for children younger than 5 and adults 65 or older, as long as they have never been vaccinated against pneumococcal disease. Officials also recommend the shots for children and adults at increased risk for pneumococcal disease, such as those with diabetes, chronic liver disease or a weakened immune system.

There are more than 100 known types of pneumococci bacteria, which can

cause serious infections in the lungs and other parts of the body. Each year, the U.S. sees roughly 30,000 cases of invasive pneumococcal disease, which includes blood infections, brain and spine inflammation, and other illnesses. About 30% of cases are among 50- to 64-year-olds. The first pneumococcal vaccine was licensed in the U.S. in 1977, and since then pharmaceutical companies have been coming up with newer versions that target a dozen or more types in a single shot. Different vaccines have fallen in and out of favor, including Pfizer's Prevnar 13, which was once a top-seller but is no longer available.

There are four vaccines now in use. The U.S. Food and Drug Administration this year approved the newest — Merck's Capvaxive, which can cost around $300 a dose and protects against 21 types, including eight not included in other pneumococcal vaccines. A Merck spokesperson said it was specifically designed to help protect against the bacteria types that cause the majority of severe disease in adults aged 50 and older.

The CDC advisory panel in June recommended the vaccine as an option for adults at higher risk. At the time, the committee also talked about the possibility of lowering the age recommendation for older adults. They noted that illnesscausing infections peak at age 55 to 59 in Black Americans — a lower age than what's seen in white people. But the committee put off that decision until this week's meeting.

Some concerns: A booster shot may prove to be necessary, perhaps in about 15 years. And there are some new vaccines in development that could force another update to the recommendations. "Pneumococcal has been a very confusing recommendation for many, many years and it's hard to have a new recommendation every two or three years," said Dr.

THIS electron microscopic image provided by the Centers for Disease Control and prevention depicts two, round-shaped, Gram-positive, Streptococcus pneumoniae bacteria.

Photo:Janice Haney Carr/AP

Jamie Loehr, chair of the committee's pneumococcal working group. He was the only person to vote against the proposal.