Petro Caribe to fund port

[Don1]

bad move...
PAJ should Get private investment from shipping lines to further develop the port.. GOJ should use this fund on social capital development. Myopia of our leadership continues.

In Chavez the Port Authority trusts
Port Authority turns to Chavez's PetroCaribe deal for financial assistanceBy Al Edwards
Friday, August 08, 2008

In order to facilitate the expansion of the country's ports and its operations, the Port Authority of Jamaica is now seeking funding at advantageous terms and has taken the decision to broker a deal with the PetroCaribe fund, Caribbean Business Report has learnt.
Noel Hylton Initially the Port Authority had turned to a private placement memorandum for US$100 million fixed rate government-guaranteed amortising notes due in 2020, prepared by international investment house Merrill Lynch and FirstCaribbean International Bank (Jamaica) who co-piloted as co-placement agent. Pan Caribbean Financial Services (PCFS) was to serve as trustee, registrar and paying agent.
According to Senator Don Wehby, minister without portfolio in the Ministry of Finance, his technical people found Merrill Lynch's indicative rates too high and sought funding elsewhere.
"The Port Authority of Jamaica has decided to withdraw this offer primarily as a result of an alternative financing opportunity being identified recently which is more attractive and in line with the company's strategic objectives," said Minister Wehby. "Potential investors were advised on July 29, 2008 that the Port Authority transaction was withdrawn, as more cost-effective financing was identified."
Highly placed sources have conveyed that the Port Authority will be looking to the PetroCaribe deal to secure financing for its expansion operations. Under the PetroCaribe deal, Venezuelan president Hugo Chavez has offered many countries in the region advantageous deals for oil, social and infrastructural programmes as he broadens his sphere of influence.

more
http://www.jamaicaobserver.com/magaz...TY_TRUSTS_.asp

[Muadib]

Pity Bobby P is not around to lead us in the right direction.

Wonder why the Port is the position it is... strange..

[Don1]

Pity Bobby P is not around to lead us in the right direction.

Wonder why the Port is the position it is... strange..

What position would that be? trying to raise capital?
They are continually in that position because they are continually profitable and expanding...

Of course you will now point out the negatives undoubtedly the fault of the previous PNP regime... let's hear it.

[Muadib]

So you believe this financing they are seeking is for expansion.. ?

Heh, heh.

You never fail as a source of amusement.

"The Port Authority of Jamaica's (PAJ) debt burden is overpowering its balance sheet, and the agency is predicting that the situation will worsen this year with expectations that its long-term loans will shootup by almost $10 billion or 46 per cent, from $21.8 billion to just under $32 billion."

I wonder how long the Banana Republic will continue to waste this asset...

"Ruling in Hell".. must be a required course at the Intellectual Ghetto.

[Don1]

Opposition thinking

You never let facts get in the way of your politically skewed opinions do you?

[quote=Maudib;119948]So you believe this financing they are seeking is for expansion.. ?

The article clearly states that the funds are for expansion:

In order to facilitate the expansion of the country's ports and its operations, the Port Authority of Jamaica is now seeking funding at advantageous terms and has taken the decision to broker a deal with the PetroCaribe fund, Caribbean Business Report has learnt.


quote Maudib "The Port Authority of Jamaica's (PAJ) debt burden is overpowering its balance sheet, and the agency is predicting that the situation will worsen this year with expectations that its long-term loans will shootup by almost $10 billion or 46 per cent, from $21.8 billion to just under $32 billion."

I wonder how long the Banana Republic will continue to waste this asset...



Your favoured party is now in charge of the "banana republic" as you term it and the PAJ... are you now criticizing their policy to "continue to waste this asset" .. very refreshing!
or do you think that the JLP is still the opposition party? LOL!!

The PAJ is a profitable enterprise but with a heavy debt load ...I don't favour more debt for the PAJ... unlike the current regime with this policy of increasing indebtedness.
I favour inviting private capital to fund expansion... and also as equity partners in the existing asset stock to ease the debt burden and cement ties with the fickle shipping lines.

Why has this course not been changed yet? Try to remember that the JLP has power now.

[Muadib]

What constituency did Noel Hylton run in ?

[Don1]

What constituency did Noel Hylton run in ?

dunno... Newport West?? Gordon Cay? Fort Augusta??


how about directly addressing the points that this is now the JLP regime's policy that is continuing the "banana republic" path? that the funds are for expansion? that long term debt is to be increased 50% in one year under this regime to fund expansion?

[Muadib]

JLP Regime Policy ???

LOL !!

How long the Port Authority been around under Hylton ?

How long the JLP regime been in power ?

It look like seh yuh was asleep for the last 20 years.

Yuh believe is ABRA CADABRA dis name ?

You underestimate the power of the dark side.

Don't worry though.. slowly but surely wi killing the termites..

[Don1]

JLP Regime Policy ???

LOL !!

How long the Port Authority been around under Hylton ?

How long the JLP regime been in power ?

It look like seh yuh was asleep for the last 20 years.

Yuh believe is ABRA CADABRA dis name ?

You underestimate the power of the dark side.

Don't worry though.. slowly but surely wi killing the termites..

termite??

The Port Authority is a statutory corporation established by an act of Parliament... so it is controlled by the government currently in the hands of the JLP. Mike Henry oversees that body (PAJ) and his ministry sets its policy through the board they control.

Hylton serves at the pleasure of the government... they have wisely chosen to retain his employment.

Hylton is widely recognized in the transshipment business as a visionary, partly responsible for Jamaica having the largest container terminal in Western Hemisphere apart from Los Angeles/Long Beach and for Jamaica having a thriving shipping industry.

The JLP does not have to be in power more than a few weeks to terminate Hylton or stop the PAJ from incurring further debt for expansion.

Your argument holds no water.. try another tack.

[Muadib]

Visionary...

LOL !

Ah Bwoy... first Bobby Pickersgill.. now Noel Hylton.

Maybe I am being a bit too hard on the Banana Republic.. I suspect for a Banana Republic, Hylton would be recognized as a 'visionary' and Bobby Pickersgill an Icon...

Maybe if mi nevah si how di real world operate, I too could be in awe.

Poor mi.

By the way.. what yuh tink bout Butch Stewart ?

[Don1]

Visionary...

LOL !

Ah Bwoy... first Bobby Pickersgill.. now Noel Hylton.

Maybe I am being a bit too hard on the Banana Republic.. I suspect for a Banana Republic, Hylton would be recognized as a 'visionary' and Bobby Pickersgill an Icon...

Maybe if mi nevah si how di real world operate, I too could be in awe.

Poor mi.

By the way.. what yuh tink bout Butch Stewart ?

Butch is a great businessman... a visionary in his own right...no question.

Not in awe of Hylton... just recognize his achievements and am aware of his industry rep.

But deal with the facts. Doesn't the government control the Port Authority?
Why are they continuing these policies if they (the policies) are as backward as you seem to believe? Why retain Hylton? He doesn't own the PAJ... the state does. Why support more debt and not private capital? Didn't you say privatization is on the cards?