Champions T&T Red Force are weary of a dangerous spin attack when they meet Guyana Jaguars in the first semi-final of the NAGICO Super50 Tournament at the Queen’s Park Oval today.

Captain Jason Mohammed yesterday admitted that his batsmen will have to step-up if they are to defeat the persistent Jaguars and remain on course to retain their title.

However Mohammed appears undaunted by the bowling threat posed by Guyana and says his outfit has adequate “ammunition” to counter Guyana’s spinners.

“I think the batting department is going to be the most difficult part of it. We see that the pitch is spinning a lot and they have some quality spinners but in saying that we have some quality batters in our team as well well,” said Mohammed.

“So I think we have the ammunition to counteract the Guyana bowlers and hopefully we will come out on top tomorrow in terms of the batting and the bowling will take care of itself”.

In the preliminary phase of the tournament, Guyana posted four wins and suffered two defeats while T&T Red Force registered four wins and one loss.

Mohammed says despite their three wicket defeat against Barbados Pride on Sunday, the mood remains high among his players.

“I think the mood is still good yes we lost a game. It’s the only one we lost in the tournament and what’s important we topped the group,” the captain said.

“It’s going to be a tough game at the end of the day we have to enjoy it as cricketers. This is the moment we cherish when we beat the best team and we come up good against the best team and the best bowlers”.

The match will be a repeat of last year’s Grand Final, when the Red Force—inspired by a hundred from Mohammed and spell-binding bowling from Sunil Narine—completed a comprehensive, 135-run victory to take the title.

“I don’t think the guys will be thinking a lot about it (revenge),” declared Leon Johnson, the captain of the Guyana Jaguars.

“I think it will be a negative…us losing last year in the finals to Red Force …but we will probably have it a little bit in the back of our minds”.

Mohammed will be looking to find form to spur his side into the Grand Final on Saturday for the third straight year.

Johnson, his opposite number, will be looking to make his presence felt, after he missed last year’s tournament, due to the West Indies Tour of South Africa.

“We just have to go out and play the game hard,” he said.

“They will have a lot of crowd support obviously and we normally get good support here in Trinidad as well so we are looking forward to a good game”.

Teams

T&T Red Force: Jason Mohammed (captain), Narsingh Deonarine, Rayad Emrit, Kyle Hope, Akeal Hosein, Darren Bravo, Denesh Ramdin, Jon Russ Jagesar, Steven Katwaroo, Imran Khan, Evin Lewis, Kjorn Ottley, Yannick Ottley and Marlon Richards.

Guyana Jaguars:  Assad Fudadin; Kevon Boodie; Shivnarine Chanderpaul; Leon Johnson (Captain); Vishaul Singh; Christopher Barnwell (Vice Captain); Raymon Reifer; Anthony Bramble; Steven Jacobs; Veerasammy Permaul; Gudakesh Motie; Paul Wintz; Romario Shepherd and Royston Crandon.

Phantom Flipper ticks enough boxes to justify serious support in the Maiden Stakes over six furlongs of Chelmsford polytrack tonight and it will be a massive disappointment if Richard Hannon’s charge doesn’t make it tenth time lucky under stable jockey Kieren O’Neill.

On this occasion Phantom Flipper will be blinkered for the first time, which is somewhat surprising given this Bahamian Bounty colt achieved a ‘career-best’ twelve days ago when a close fourth, beaten less than two lengths by The Commendatore, over a similar distance of Lingfield “poly.”

O’Neill has ridden Phantom Flipper the last twice and is enjoying a successful spell which wont be lost on the 2014 champion trainer during the coming months.

Our old “pal” Burmese Whisper has also proved vexing, no wins from nine outings to date; he’ll be “on the premises” but my time-handicap suggests this Approve colt will be hard-pressed to cope with our confident nap selection, Phantom Flipper.

Ertidaad comes out clear “best-in” for the five-runner 3-y-o handicap over six furlongs of Southwell fibresand; just a question of whether this Kodiac colt, trained by Emma Owen, will cope with the notorious ‘deep stuff!’

This has to be mentioned because several trainers/jockeys stated it was “riding deep” earlier this week due to being rolled as against harrowed; realistically this unique surface is a law unto itself but, hopefully, we can guess right and watch Ertidaad gain an elusive victory at the eleventh attempt. 

One to follow whatever transpires under Tom Queally.

Kelvin Hall is one of ten “decs” for the 3-y-o Maiden Stakes over a mile; should win, by default but, again, “if” is at issue! 

SELECTIONS

8.40 Ertidaad

10.20 Kelvin Hall

2.40 Phantom Flipper 

Former national team winger Leonson Lewis has given credit to the Secondary Schools Football League for helping shape his career from his early teenage days as a player.

Lewis was a standout with Naparima College and San Fernando Technical Institute but recalls how he first entered St Benedict’s College before transferring to “Naps”. At that time in the early 80s he played for the “Naps team that was managed by David John-Williams, the current President of the TTFA. Lewis was among players honoured by the League last Saturday as one of the top players of the 1990s alongside the likes of Russell Latapy, Shaka Hislop, Dwight Yorke, Marvin Faustin, Hutson Charles, Anthony Sherwood, Shawn Boney, Marvin Oliver, Wesley Webb, Angus Eve, David Nakhid, Garth Pollonais, Timothy Haynes, Clint Marcelle and Neil Williams

“It means a lot for me to be recognised because I came from an era where there a lot of great players. Not everyone could be chosen but it had players like Todd Willis, Andrew Ali as a goalkeeper, Russell Sutton and so many others. There were so many good players, so that to recognized as one of the best players is a huge honour.

“I think it would be with San Fernando Tech where I had my best memories because we won everything that year. We only draw one game with Shaka Hislop and the St Mary’s College and they got on like they had won the World Cup,” Lewis laughed.

“For Naparima College, it was the time that really built me as a player. I remember one game when we had beaten ‘Tech’ with all their stars as one of the top moments. This period in Secondary Schools really shaped my career. This was where it all started. I had a lot of friends in St Benedict’s before I transferred but then I had a lot of fans when I went to Naps. At Naps is when I made up my mind that I wanted to be a professional footballer,” Lewis added.

“David John Williams was my manager when I was at Naparima College. He did whatever we needed in the team and it’s funny that now he is the President of the TTFA. I know he will focus a lot on youth development and he means well for the development of the game locally.”

Hislop expects John Williams led TTFA to deliver

Former National Team goalkeeper and current ESPN pundit Shaka Hislop is placing faith in President David John-Williams and his executive at the Trinidad and Tobago Football Association to build on a framework to take the local game forward.

Hislop spoke on the weekend about his hopes for the new administration, expressing confidence in its ability to govern the game as it should be.

“I’ve known President John-Williams for some time and have had the opportunity to work with him on a number of football related activities in the past, so maybe I’m biased,” Hislop said.

“I have a lot of respect for the President and his administration, as I did with Mr (Raymond) Tim Kee. I feel that with the right people in place, and the right support our football will continue to move forward.

“A lot of the heavy digging that was needed to get us out of the hole that our football had found itself in was done by the last administration under Mr Tim Kee, the challenge now build a framework that will continue to take our game forward,” Hislop stated.

Hislop was honoured as one of the best goalkeepers of the Secondary Schools Football League over its 50 years of existence.

“I maintain, I have never enjoyed my football as much as playing for St Mary’s College in the SSFL. I look back on those days with fondness, as the time where I truly fell in love with all the game has to offer. To this day I remain as huge fan of CIC and an advocate of the SSFL. As a result, being honored as one of the all time great goalkeepers means more than the most can imagine. Being recognized for doing something that means as much to me as SSFL does is humbling,” said the former Newcastle and West Ham United custodian.

Hector playing again

National team midfielder Hughtun Hector is back on the playing field. The former DirecTV W Connection player has resumed full training and has taken part in preseason matches with Vietnam top tier team Hanoi T&T

Hector ruptured an Achilles tendon in 2015 which required surgery and sidelined him for the rest of the year. It also ruled him out of the 2015 CONCACAF Gold Cup.

“I’ve resumed full training and I’ve already played in a few training matches. The season starts in a week,” Hector said.

“The most important thing for me is to regain full fitness and to be at my bet again. It has been a frustrating period but I’ve come back stronger mentally and now I’m looking to resume playing again.

“I’m really anxious to be back. My aim is to get back on the national team and be part of the effort to qualify for the 2018 World Cup,” Hector added.

Hector will no doubt be keeping a close eye on T&T’s upcoming World Cup qualifiers against St Vincent/Grenadines on March 25th and 29th. Orlando City midfielder Kevin Molino is also back in training and is currently with the club for its preseason campaign.

De Leon ready to play for T&T

American-born DC United midfielder Nick DeLeon is ready to play for Trinidad and Tobago if the call comes, according to his father Leroy De Leon. Currently efforts are being made to obtain his Trinidad and Tobago passport.

“Definitely he’s ready to play. He really wants to come here. He feels slighted because his younger sister has played for the Women’s youth team. He’s a hard working guy and I think he will be a good addition to the team. I don’t know what Mr Hart is looking for but I think he will be a good help in a lot of ways. Right now we are trying to secure his passport,” De Leon, the former T&T great said.

The 25-year-old De Leon is also eligible to play for the United States. During the MLS media day this week, the player said he would make a decision soon.

n EDITOR’S NOTE: Shaun Fuentes is the Director of Communications of the TTFA. shaunfuentes@yahoo.com

Former national stand-out Leroy De Leon was named the Player of the Past Half Century in the sport of football by the Secondary Schools Football League during its 2015 awards ceremony which took place at Naparima College, Auditorium, San Fernando. 

De Leon, a former St Benedict’s College star player was joined in the spotlight by Everard “Gally” Cummings of Fatima College fame and former coach of the T&T Strike Squad, Jan Steadman (St Benedict’s) Warren Archibald (St Benedict’s) Steve David, Bobby Sookram and Wilfred Cave (ST Benedict’s College), Dr Alvin Henderson and Ian Bain (CIC) together with Roger Duprey (Fatima) and Ellis Sadaphal and Rolph Clarke of QRC were honoured for period reviewed in the SSFL’s history.

In his acceptance remarks, De Leon said, “It is with great humility that I accept this award. It was a hard road. My dad never wanted me to play sports. He wanted me to be like a doctor, whatever. That wasn’t in my DNA at all. There was an old movie, The Sound of Music and there was a line by Julie Andrews which went like this: For somewhere in my youth and childhood, I must have done something good.”

The event was to mark the SSFL 50th anniversary and De Leon used the opportunity to urge the nation’s young athletes to allow their pursuits of higher education and excellence in sport be the match made in heaven.

“Please fulfill your dreams academically. You have to marry the two: books and sports. It will never leave you. Dedication, respect for yourself, respect others and most of all enjoy what the heck you do.”

Former national skipper and ex-Manchester United striker Dwight Yorke was honour for his sterling contribution to the league in the 80s, alongside former national coach Russell Latapy, as well as retired national players Leonson Lewis, Hutson Charles and Marvin Faustin.

Clayton Morris, another former national captain was the toast for his contribution to the SSFL during the 70s under the John Donaldson Technical Institute banner, while ex-Malick Secondary Comprehensive’s Arnold Dwarika was reward as one of the star’s during the 90s. 

SSFL 50th ANNIVERSARY AWARDS

Female Players from 2000 to 2014

Kerdie Johnson (St. Aug), Kayla Taylor (Debe), Maria Shade (Debe) Karyn Forbes (Signal H), Avanell Isaac (St. Aug), Nadia James, (Malick) Anastasia Prescott, (Malick) Maylee Attin Johnson, (D/Martin C) Allana Burgen, (Malick) Ayans Ruussell, (El Do E) Dernell Mascall (Moruga) Cecile Hinds (P/ville), Stephinie Beam (Debe), Ahkeela Mollon, (UCB) Analise Cummings (ST. Aug), Naomi Guerra (ST. Aug), Patrice Superville (P/ville), Patrice Campbell (Eldo), Kennya Cordener (Signal Hill)

Goalkeepers—Linfah Jones (Debe), Candice Edwards, (Signal Hill) Kimika Forbes (Scarborough),

BOY COACHES OF THE 50 YEAR PERIOD

Bertile St. Clair Signal Hill Secondary—14 titles

Nigel Grosvenor St. Anthony’s College—12 titles

Muhammad Isa San Fernando Technical Institute—9 titles

Kenneth Franco Malick Secondary 9 titles

Kenny Thomas St Augustine 6 titles

Leonard Curtain Queen’s Royal College 5 titles

Michael Grayson St. Augustine 5 titles

GIRL COACHES OF THE 30 YEAR PERIOD

Stephen Smart Malick Secondary 15 titles

Arnold Murphy Debe Secondary 12 titles

Desiree Sargeant St. Augustine 6 titles

Six Pioneer Schools who started the Colleges League which became the Secondary Schools Football League in 1976 are:

North South

St. Mary’s College St. Benedict’s College

Queen’s Royal College Naparima College

Fatima College Presentation College

SSFL NATIONAL OFFICERS LONG SERVICE AWARDS

Roy Jagroopsingh—President, & Vice President —eight years (posthumous)

Ormond Gabriel—General Secretary Treasurer —20 years (posthumous)

Ewing Davis—President—17)years (longest serving president)

Azaad Mohammed Khan—General Secretary Treasurer twenty 23 years

Anthony Creed—President & Vice President—19 years

1960s: Leroy De Leon (St. Ben), Warren Archibald (St. Ben), Steve David (St Ben),Bobby Sookram (St. Ben), Wilfred Cave (St. Ben) Dr. Alvin Henderson (CIC), Ian Bain (CIC), Everard Cummings (Fat), Roger Duprey (Fat Col), Ellis Sadaphal (QRC), Jan Steadman (ST. Ben) Rolph Clarke (QRC)

1970s: Richard Chinapoo (Trin Col), Wayne Lewis (Belmont BS), Ron La Forest (Belmont BS), Garnet Craig (Fat Col), Leroy Spann (Sando Tech), Vernon Skinner (Trin Col), Ian Clauzel (E. Mucurapo S), Luciano Woodley (CIC), Clayton Morris ( John Don Inst), Peter Mitchell (Sando Tech) Neil Williams (CIC).

1980s: Russell Latapy (Tranquility Government/ San Fernando Tech), Garth Pollonais (St. Aug S), Dwight Yorke (Signal Hill S), Timothy Haynes (Arima Sec), David Nakid (CIC), Angus Eve (E Muc Sec), Clint Marcelle (E Muc Sec), Hutson Charles (E Muc Sec), Marvin Faustin (San Fern Tech), Leonson lewis 

(San Fern Tech),

1990s: Arnold Dwarika (Malick S), Mickey Trotman (Arima S), Carlos Edwards (St. Anth), Anthony Sherwood (Pres S/F), Wesley Webb (St Ben), Shawn David (Malick), Jeron Nixon (St Aug), Ivan Sampson (St Ben), Shaun Boney (El Do E), Marvin Oliver (San Juan N), Cornell Glenn (E Muc), Gary Glasgow (Malick) Kerwyn Jermott (Malick) Stern John (El Do E) 

2000s: Ataullah Guerra (E Muc), Shahdon Winchester (Naparima Coll), Devorn Jorsling (Malick Secondary), Kenwyn Jones (St Anth), Nkosi Blackman (St Benedict’s), Jerol Forbes (Naparima College), Kevin Molino (East Mucurapo Secondary), Elijah Manners (San Juan North), Jamal Gay (El Dorado East), Elton John (St Augustine), Kevon Neaves 

(St Anthony’s)

It was a memorable year for eight-year-old chess player Rayden Rampersad. 

The Under-8 national champion added lustre to his name not only by the breadth of his participation in the sport but, more impressively, by the records that he has set at his level of the game. 

To begin with, Rayden emerged the Under-8 absolute National Junior Champion and, in doing so, he earned a FIDE rating of 1448, becoming the youngest player in the country with such a distinction.

In August he set another indelible record in the Under-8 section of the CAC Youth Chess Festival held in Trinidad, gaining the title of Candidate Master, the youngest ever T&T chessist to gain such status. 

At the same time he won a silver medal for placing second overall on the tie-break. 

For his age, young Rampersad has shown an enormous appetite for the royal game, playing in tournaments at home and abroad. 

The reason for this, no doubt, is the coaching and competitive spirit he has experienced as a member of the GMPS Chess Club run by David Martin, former President of the T&T Chess Association.

At the Caribbean Chess Carnival held at the Queen’s Park Oval, Rayden again distinguished himself placing second in the Under 10 category. 

He was also able to hold his own in the rapid-play arena, taking seventh place in the Under 12 section of the AIB tournament, sixth spot in the same category of the Indian Arrival Day One-Day contest, sixth again in the First Flight Air Ambulance Invitational One Day Rapid Play and fifth in the Central Vikings One Day event. 

In most of these contests he played in categories higher than his own and had to meet a number of stronger players. He was back in winner’s row in the Paladins Primary School Individual Competition, playing in the Under 10 group. 

In his sojourns abroad, representing T&T, Rayden also enjoyed good results. 

He placed 15th among 52 players in the Under 8 class of the Pan Am Youth Tournament and seventh overall among the Under 8s in the Carifta Youth Contest. Although the youngster failed to get the Player of the Year nomination from a selection committee appointed by the T&TCA, Rayden should be pleased with his performance at home and abroad. 

He has set records in the sport that will remain on the history books forever, records that should mark not only his youthful talent but also as a future national champion of T&T. However, David Martin, coach of the GMPS Chess Club, admits frankly that he lacks the expertise to take his charges beyond the 1600 level and certainly not in the IM class. 

“The sport as a whole is stifled by the lack of higher level training,” he noted. 

“That is the reason why our outstanding players prefer to pursue higher level education than continue their chess careers.”

Most likely that is the course that Rayden would take, he added. Now, however, the youngster is a model member of the GMPS club even assisting him in teaching newcomers in the fundamentals of the game. 

“Chess is Rayden’s first love,” says Martin. 

“He has an enormous potential for the sport with a bright future in it, but I think he will eventually have to follow the pattern set by other outstanding players.”

The T&T Guardian is running a two-part series that explores the viability of the steelband movement and of the Carnival staple, Panorama. Today, music critic and analyst Nigel A Campbell looks at how the pan movement can develop other sources of revenue and stop its dependence on government funding. 

PART 1 

The annual ritual of the steelband Panorama competition has begun in T&T, and continues apace through the stages culminating on Carnival Saturday with the finals. With the financial cutbacks in all areas of the economy including Carnival, there is a recognition that the sum of the parts have to be efficient and excellent to make the whole better.

The holistic view taken by some commentators and pundits—of Panorama being in need of “fixing”—has raised the question of why has this analysis not been done and implemented before this recession, and why, even in these times, does the State still pump money in the millions into Carnival and its events such as Panorama.

A simple answer could be that Panorama represents the apotheosis of the national instrument. That reasoning was supplied by steelpan researcher Dr Kim Johnson, who spoke to the T&T Guardian about the idea of the continuation of the state-funded event within the context of moribund standards for the industry of steelpan throughout the year.

Johnson noted the history of Panorama: “Panorama was the PNM government of the 1960s taking control of the steelband movement, what they saw as national culture. The strategy included making it more lucrative to play in Panorama because of prize money and appearance fees than to play in parties and fêtes.” 

The intrigue continues with the assertion that the early Panorama became the antithesis of the existing Bomb competition with opposing class and racial groups challenging for control and influence—the new governing elite insisting that calypso be played versus the working class playing classical music—and critically voter support. 

“PNM had no organised masses like a union, so panmen represented a structured link to the voting masses,” said Johnson. 

The link between political fate and culture control is observed in countries in the region like Cuba, and even here when calypso lyrics were subject to censors speaks of a kind of continued control. Nowadays, the State spends millions on the continuation of Carnival both as catharsis and economic input via tourism and the economic multiplier effect of trade at that time. In 2016, $270 million is allocated to the National Carnival Commission (NCC), which effectively runs Carnival, of which Pan Trinbago got $30 million. Pan Trinbago head Keith Diaz says his organisation requested $45 million from the government, but Culture minister Dr Nyan Gadsby-Dolly said, “The current economic conditions have forced the Government to cut back.” Efforts to get a statement from the minister in relation to the question of the rationale and policy for state funding of steelpan proved futile. 

The people’s representatives in the Parliament, during Joint Select Committee (JSC) hearings in 2012, looking into the management of the NCC, reported their findings in a report that spoke about financial and management matters at the organisation, and conclusions from this report provide some answers to questions of the viability of the Panorama event and the spin-off projects like the disputed Greens, a separate area in the Savannah that was developed for patrons who want to be in the Savannah for a party but not necessarily for the pan. The report specifically noted congestion of the masquerade on Carnival Tuesday, and only touched on the stalled construction of the Pan Trinbago headquarters—at least $5.8 million spent and unfinished since 2002—and the movement away from T&T of the steelpan industry. Any notions of a long Panorama event—an assertion made by some to recommend fixing—were not concluded as a problem. 

When challenged by former senator Emmanuel George to justify the Greens space as a simultaneous “fete” when the focus should be on pan at Panorama, Clarence Moe, then NCC CEO responded that, “There is a push at present to tell the interest groups (Pan Trinbago in this case), your events and activities must be viable. That you must be able to at least increase the levels of revenue, because the shows and the events that you put on have the potential for raising higher revenues...this year has generated the greatest level of revenue that we have ever seen, indeed it was almost doubled.” 

Economics trumped all other considerations. Despite some pull-out from party organisers and promotions companies, companies are organising their crews for the Savannah Party on Sunday. 

Pan Trinbago vice president Bryon Serrette, in 2014, justified the existence of the Greens by noting that “while a lot of the younger generation members are playing with the steelbands, their peers have not been supporting the event...they would prefer not to sit in one spot for hours listening to the bands....Pan Trinbago, therefore, took the decision to accommodate these patrons by giving them a space in which they would be comfortable, and at the same time contribute to the revenues we are expected to generate from the event.” 

Keith Diaz, Pan Trinbago president reiterates, “Pan Trinbago is not the Pan Trinbago of yesteryear. We are now a business-driven enterprise.” 

It must be noted that nearly 90 per cent of the NCC’s budget comes via government subvention. Pan Trinbago’s money is a mix of public and private funding with a very small portion of revenue coming from gate receipts and rentals. But Panorama is not only about money, it is about performance and increasingly about broadcast and intellectual property exploitation. 

The recent example of the marathon International Soca Monarch semi-finals has shone a new spotlight on the idea of broadcasting and live streaming of Carnival events and the production values expected of those broadcasts. The idea of broadcasting festival type events has precedence in the BBC broadcasts of Glastonbury and state television stations in Europe broadcasting jazz festivals like Estival in Lugano, Switzerland, and Jazzaldia in San Sebastián, Spain, as international examples. Snapshots or even sets by acts support a television broadcast that is distributed worldwide. 

The local preference to position a camera or a bank of cameras on unprepared singers or eight minute bursts of steelpan performance sandwiched between 20 minutes of transition time between bands creates a bad television experience and a product that isn’t viable for live pay per view audiences. 

At the 2012 JSC hearings, the NCC admitted failure to further exploit broadcast rights citing “the lack of proper technology” and also spoke about their inability to collect accreditation fees from international photographers. 

It’s clear that T&T is behind the learning curve of modern technology and trends, and the slow buy-in to the notion that local audiences’ expectations have increased and they expect the international standards seen in foreign productions. 

Panorama satisfies an ageing demographic, which can not sustain it as a popular music and it continues because the state seeks to maintain support, financially and otherwise for a “national” culture. Panorama continues because its owner, Pan Trinbago, has made it the acme of the instrument and the industry. 

Nestor Sullivan, who has been involved in pan for many years, suggests, “Panorama seems to be the ‘definition of steelpan’ but as a catalyst for annual music practising and development, it is not doing that.” 

Johnson meanwhile believes that, “steelband is modern instrument that preserves the ancient idea that music is participation.” 

These two ideas suggest that the annual rite of passage that is Panorama may be in need of fixing, but it can only be fixed when the steelband movement and the society at large recognises that this requires a drastic paradigm change.

The idea and word “recession” may be on lips and minds all over the country, but it was notably absent from the Kalypso Revue tent on Saturday night at SWWTU Hall on Wrightson Road, Port-of-Spain. Instead there were celebration, excess and triumphalism in audience and the show. 

A sold-out audience included the eminent personages of the Prime Minister Dr Keith Rowley, who received a hero’s welcome; his long-time sidekick Minister Fitzgerald Hinds; and, the PM’s doppelganger, Jack Warner, who received a number of backhanded compliments through the night. In fact, the most restrained element of the show was the MC, Sprangalang, who was decidedly low-key, not always a wise choice in a calypso tent, but it worked well for him amidst the waves of ebullience. 

The overarching theme of the evening clarified explicitly mid-way into the show with Skatie addressing the Prime Minister (who sat at the foot of the stage): “We back on track again / with Rowley driving the train” because of which he saw, “A light on the horizon.” 

Naturally this was all against a backdrop of last year’s election, wherein “we” got rid of “termites and parasites,” who took the majority of licks. Skatie also had a few words for Mr Warner, which he was able to direct to him face to face, as Mr Warner was seated a few feet away from the Prime Minister: “Everybody know he spend Fifa money by the million…but when the time came, “the cabal know it was time to get rid of this jackass.” Mr Warner took it with all the humour that could be expected of a man embroiled in extradition proceedings. 

And so it went—from the biblical to the legalistic to the civic, from moral outrage to sly barbs delivered by Chalkdust (When Trini Get Vex) and Pink Panther (The Election Over). Thirteen of the 26 singers put their mouths from a variety of angles on the previous government. 

Marlon Edwards, whose Bun Dem from last year is still on my mind, invoked biblical mythology and historical destiny to welcome the PNM back: “The forces of hell put us to the test...Dr Williams, Ellis Clarke were architects of our country…we were forged from the fires of liberty” conflating biblical with historical nationalist sentiments to confront the notion of the UNC. He was echoed by Devon Seales’ Respect God Voice, throwing back at the Opposition Leader her own words: “The voice of the people you say is the voice of God / the people have made they choice, respect they voice.” 

In less ecclesiastical terms, Wendell Goodridge sang Lock Dem U” with a kind word for Mr Warner, who, when the previous government’s “ministers play hide and seek / thanks to Jack we get a peek …They think we chupidee / they try to mamaguy we.” 

The Original Tempo’s In mih lawyers hands went for extended metaphor, casting the 2010 to 2015 government of the country as the citizenry’s marriage to a deceitful woman. He also managed to load in there the “Fifa money that finance the UN,” and that under the last government, “African eh get no land only Cepep wuk” because “it was always they plan / to mash up the land…after they vandalise the treasury / to fix they self and they family.” 

Also clear early on was an interesting theme lurking around the corners of the evening: the opposition of UNC against “we” Trinidadians. But that’s as far as it got—no open racial expatiation—and it wasn’t just about acrimony. There was praise for two PNM ministers. Michelle Henry’s Ask Yourself was a paean to Colm Imbert facing down the Opposition on the finance committee with his blunt style: “Ask yuhself who have the country in misery…who drain the overdraft hiring lawyers.” 

Makeda Darius paid a more conventional tribute to Tobago MP and Minister of Tourism Shamfa Cudjoe, enjoining her with reeducating Kamla, rewriting history, and correcting memory, to wit: “my history you want to switch, you son of a bitch...all the fabric she tear Rowley must repair,” and so forth. 

Alana Sinette managed to be less pedestrian with her clever Moron / Oxymoron, showing the difference between one and the other, to wit, vote for the UNC, you’re a moron; putting UNC and honest in the same sentence, oxymoron—illustrations ranged from Sepp Blatter to Roodal Moonilal and Gary Griffith and the word “quiet.” 

Away from these big themes of triumphalism and un-subtle PNM celebration, were the subtler themes of rewriting history and creating new memories, or re-framing the memories of the PNM’s constituency. If only there were sociologists, historians, and/or anthropologists studying this. 

The rest of the show focused in traditional areas—nation building, humour, social issues and so forth. But by far the most fascinating performance of the evening came from Sugar Aloes, now something of a hero/martyr, who kept the Revue alive during the dark PP years. A relaxed, almost seigneurial Aloes delivered his two songs, Collaboration and Why do the Heathen Rage, whose (the latter’s) message was captured in its first line: “What goes around comes around,” —cliché, but representing hard-earned wisdom. 

Starr George sang in tribute to Jit Samaroo and Kitchener, and Malaika Ballantyne’s Trini Vibe was the typical “nation building” calypso. In a more pointed vein, Mahalia Regis examined Too much race talk, an account of the PNM/urban black constituency’s desires and understanding of racism: apparently most of the race and racism talk is directed against Africans by guess who? If only it would stop and we’d all just get along. 

Also on the topic of simplistic racial rapprochement Bevon St Clair came out in a Indian bridegroom’s wedding groom outfit. He wants to see the rainbow, but his understanding of history and how it evolved were fairly monochromatic, conforming to the standard “Creole” Afrocentric narrative. Still, the desire for rapprochement is not to be sneezed at. 

There was the statutory visitation of violence to women, in Tenielle Cooper’s Something Wrong. She raised the interesting point that some women’s whole lives are punctuated by violence (licks from granny, from daddy, etc), so in later life they expect to be beaten as a sign of care: “I always associate love with licks.” Continuing on the theme was Marissa Ransome’s Shoulda Invest Time, about parenting, single mothers, and the fate of black children. Warrior Empress’s line in Black and Ready led in from the PNM’s “Red and Ready” elections tag, to despair at the black population’s seeming inability to get out of the mire of underachievement. 

All in all, a most entertaining night, satisfying for the PNM constituency, and gratifying for the government, and the calypso was pretty good too. Also revealed were the usual insights into the PNM’s constituency’s view of the world, of race, of itself. Having looked at it for a number of years, it appears that worldview is changing—there is a creeping realisation of self-sabotage in profligate breeding and bad parenting, and CEPEP culture. Hopefully, the PM, who was addressed directly by many of the performers, took notes.

We’re not in a recession, we’re in denial—which might be the best mode for handling daily life in sweet T&T. So while some party poopers are adamant that the bottom has dropped out of the oil barrel, true patriots (that word always reminds me of Samuel Johnson’s definition of patriotism: “The last resort of a scoundrel” and Oscar Wildes’s equally apposite “The virtue of the vicious”) and supporters of we culture will point out that we doing so good that we can afford to leave skyscrapers and housing units empty and the all-inclusive fete business booming, so doh dig no horrors. 

What I do know is that over the course of these first weeks in January, my grocery bill has risen by ten per cent, but that’s small change in Trinichachacha where millions of dollars of public funds are entirely unaccounted for. Doh worry widat; de Original Doc heself say “Money no problem” and who is de current Doc tuh contradick de Fadder of de Nashun? Hmm wha kina disrespeck iz dat? An toobesides kanaval comin oui, an even jackass does know how we does mek millions from all dem Hawaians and Hong Kongolese flyin een, not tuh menshun de Syrian an Chinee winee who takin a lil ease up from starvation or barrel bomb or playin refugee or stand dong time from Isis beheading duty an ting, or messin wit too much of noodle. 

An whoever say de kanaval is a drain on we sauces damn well lie an iz nutten more dan a neemakaram neocolonialist an should stick wit de Oscars, or be sentenced tuh two nighta hard wine in gunshot fete, followed by compulsory attendance at Canboulay an hard labour an lash in de TTPS J’Ouvert band—All o we Teef Missin. Ah done talk. Me eh no illegal alien, iz jes some of me paperwuk slip troo hands dat doh hole onto nutten unless dem grease up wit a few gyro, Shanghai noodle, or ranging rover. 

Mih hadda be a troo troo patriot, which might mek mih a scoundrel, buh Ah tellin allyuh, dis boat eh sinkin. An eef pushin come tuh ramjam doh worry wit dat pardna, some smartman go buy some of dem selfsame life jacket de Turk an dem sellin dem chupid fugees tuh drown een–an someone go mek a truckload of solid liquid cash. An dat had was tuh be good for de economy, not so? 

Casin dem lookin tuh deport me, iz bess Ah hush mih mout oui. As the paranoid said to the schizophrenic—You can’t be too careful who looking. If I wasn’t a total scoundrel, I might declare this meeting ‘the Dark Hour’—like in that poem by that dead Guyanese poet Martin Carter. But then I’m a patriot, so things looking up, like when you’re lying in the gutter looking at the stars. 

Although much given to the absurd (which is definitely a criteria for being a Trini), occasionally I do appreciate a stiff dose of level-headedness, which hits you far harder than a double shot of puncheon. 

Impossible to proceed here without mentioning my long time horsey Shadow’s brilliant song about the effects of puncheon. I recently received 95,000 words full of level headedness from my esteemed colleague and fellow ol’talker Dr Roydon Salick, who unlike other scoundrels has the edification of the nation close to his bosom. 

His magnum popus, Getting It Right, a compendious guide to current usage of English-and all who sink, stink or drown in her- is both erudite and entertaining and should be compulsory reading in all institutions, media houses, PR departments, advertising agencies and let’s not forget Parliament, where they probably need to do a daily two-hour session, carefully studying the part on how to talk human rather than hog—a section I haven’t stumbled across yet, but I’m sure is included in this voluminous volume. 

Quite apart from putting you and me right on how to write the date—correctly, pronounce Thames—correctly and exactly when and where to place the colon and even the dreaded semi-colon, what endears me to this gargantuan effort, is the old Royster Doyster’s languid to stale Trini humour, which I have sat and admired during many deeply philological disquisitions and even disputes, at one of the most charming and authentic watering holes to grace our first capital, San Jose de Oruna. 

It’s difficult to combine weighty knowledge with a lightness of wit, making the learning experience entertainment rather than drudgery. Who said we have no work ethic in T&T? I propose Dr Salick as an exemplar par excellence. 

A man who can knock up thousands of words like Chris Gayle does balls (let’s leave the blushing babes out of this please, along with the unintended homophobic associations) gives every man jack and jack spaniard hope, or as the dustman sang in Eliza Dolittle or even less: “The Lord above made man to scrape and shovel, but with a little bit of luck someone else will do the blinkin lot.”

Let me get right into our discussion. What are some of the plans for Fete Royal 2016, scheduled for Saturday evening at the college?

This is the third year since we took over the reins of the fete and I can assure you that this year is going to be an unforgettable year for our patrons. Our theme is Welcome to Royalty and we intend to treat our patrons as such; from the time they arrive to the time the event is over. We have added to our food menu, which our patrons raved about in the last two years, and have increased the size of our food court making it even more accessible. And to top it off we are having a Queens and Kings Chambers where women and men will be treated like royalty in these two royal pavilions.

So what has caused you to make these changes? 

We have to keep tweaking the product, we want our patrons to have a new experience every year. We are still in our rebranding phase and as such, the 2016 event is the first of our five-year story. Our patrons must leave the College feeling ‘wow what an experience’. This will ensure the event is a success financially and once that is achieved, we can continue to meets the College’s demands for assistance to improve the overall experience at the College for the students.

What are these needs?

Queen’s Royal College requires our assistance if it is to continue producing well-rounded students and scholarship winners. For Fete Royal 2014, the QRC OBA along with the principal, Mr Simon, were instrumental in getting the computer lab totally upgraded. We could not cover this expense alone, so through the kind assistance of Republic Bank the Lab was completed. The OBA works silently all year round assisting the College in many ways through financial support for ongoing co-curricular activities and request for assistance for the College. Our next major investment in the college is helping to generate the funds needed for the renovation of the Science Block. This we are working on with other stakeholders such as the Local School Board and the PTA. The science block is now 76 years old, yes 76 years old, and in dire need of repairs. So funds derived from the profits of Fete Royal 2016 Welcome to Royalty will go towards this project.

What is the relationship between the Old Boys’ Association and the PTA? 

The QRC OBA is in its 82nd year, which means we are the longest serving stakeholder to the College. The PTA is the other major stakeholder of the College so we work together for the common good of the College and its students’ population.

We are constantly in contact and we share information. We communicate with all parents and from the response this year to Welcome to Royalty, its looks as if we will be a sold out event. I urge patrons, especially those who were at the last two years’ events, to get tickets now before it’s too late. 

Let’s talk fete now; what about the entertainment?

The bands are Kes the Band featuring Kees Dieffenthaler, Asylum Vikings, featuring Bunji and Fay-Ann, followed by Roy Cape, featuring Blacks and Ricardo Dru. Olatunji Yearwood adds to our “Royal” theme as he’s the King of Groovy. We also have a special ‘young’ man making an appearance to keep the vibes alive. In addition, Lyrikal has been added to the cast. Our DJs are two of the best, Alicia d Duchess and Nuphoric. 

It seems that QRC has really transformed itself on its return to the Fete scene?

Yes we have and that’s why we are appealing to our past supporters and new supporters to come and have a new and exciting experience. We want our patrons to have a great time, enjoy their drinks, the great music and the variety of foods and go home feeling satisfied. We want to exceed their expectations. Royalty has reigned.

Secured parking arrangements are in place around the venue at Tatil Car Park and we take this opportunity to ask patrons to park their vehicles in a responsible manner to avoid any unnecessary wrecking.

Young professionals should invest in a pension plan early in their careers rather than waiting until they get older. That’s the advice from newly appointed managing director of Assuria Life T&T Ltd, Christopher Henriques.

He explained that pension plans and annuities are not affected by recession, so they are better than having a deposit in the bank. 

“Remember you are looking at getting your money down the line.”

The idea behind pension plans is that the customer must be making continuous payments, even if those payments are reduced, Henriques said.

“If you buy a pension plan when you are 25 years old and you pay $200 every month, 40 years later when you are retiring that $200 is big money. It is a huge amount because the interest compounds. Anybody who is in a pension plan now, do not give it up.”

In the event of retrenchment, Henriques explained, workers with pension plans can ask their provider for a hold on payments, so when they get another job, they can resume payments.

“People are cashing in their pension plans saying that things are real bad. Things don’t get better when you cash in your pension. When it comes to retirement you will have even less money.”

Pension plan premiums can be as little as $200 a month, said the insurance executive, whose advice is for a worker to put aside at least 10 per cent of salary.

“If you use Assuria, we contribute five per cent and the employee contributes five per cent and it ends up being the pension plan. What you are contributing is five per cent.

“What you need to do is take five per cent of your regular salary that you take home and put it there, so what you are getting is 15 per cent which over 20 years, 25 years adds up to a good pension.”

Depending on investment returns, that individual can take early retirement, Henriques said.

It is up to the individual to decide the highest contribution that can be made to the pension plan, he said, but tax relief stops at $50,000.

Not worried about recession

Assuria came into the T&T market last March after acquiring 77 per cent shareholding in Mega Insurance Company—15,791,682 of that company’s issued shares.

Henriques said the Assuria Group, which is celebrating its 25th anniversary this year, expects to achieve 10 per cent growth in this market. The company wrote just under $30 million in life insurance premiums in T&T this year, adding to the US$150 million in premiums written across the Assuria Group.

He said the focus is currently on providing improved customer service since the company wants to become a “boutique” insurer offering products must match their client’s needs.

Henriques, who sat down for an interview with the Business Guardian at company’s offices at 49 Dundonald Street, Port of Spain, gave an insight into their strategic direction.

He said the recession will not affect Assuria. While commercial banks are offering their clients less than one per cent on deposits, Assuria’s pension plan customers are getting between 2.5 per cent and three per cent interest.

Henriques highlighted the savings aspect of a life insurance policy.

“You buy a life insurance policy to cover your life, then you can put money into the investment side and we invest it. That money is accumulated into your fund.”

When that customer dies, the company pays the life insurance plus the money in the investment.

He said: “Buying at 40 and accumulating your money from 40 to 60 is not enough time. Not only that, at 40 to 60 your children are going to school. You need money for them. Your biggest expense is them. 

“Your lowest expenses are when you are 20 to 30: you are not married, you are at home. When you are 50, when the kids leave, you have free money again.”

Overall Henriques said there are “great” opportunities to be made in recessions. 

Brand recognition, a major goal

One of the main goals of the company is greater brand recognition and confidence in the company, especially by the younger members of the workforce in T&T.

Henriques said Assuria has less than one per cent of the T&T’s market but wants to increase its share to three per cent. 

“The first thing we want to do is change the company’s culture. We are vibrant. We are going to that next level. We are going to be here for the long haul.”

There are plans to re-open the Arima branch, located at Shops of Arima, as a service centre.

“We will be going into that kind of operation where we would have service centres throughout the country.”

Henriques added: “If things go better than expected we will actually be hiring internal staff. Definitely we will not be laying off. We will be maintaining the staff that we have.”

In 2016, five managers will be retiring from the company. 

Money laundering laws

Henriques expressed concern that the requirements in current money laundering laws are over regulated. 

“We have 20,000 clients so we had to post out 20,000 letters asking them to come in and fill out these forms. It costs $5 a letter to post, so you are talking about $100,000. Not looking at the money but the paper usage; that’s not good for the environment.”

He said every insurer in the market has to do the retroactive checking—updating customer files—every three years but the process has gone overboard.

In terms of date on the insurance sector, Henriques said the situation is “getting better”, with data coming from the Central Bank, the Association of T&T Insurance companies and sometimes the Central Statistical Office. 

However, he is recommending a review of the method by which the data was collected.

Dr Terrence Farrell, a respected economist, has advised that the exchange rate be allowed to depreciate to ensure it does not discourage exports and effective import substitution. This is in the context of a “real effective appreciation” of the T&T currency over the past 20 years, since our economy has been inflating faster than that of the US, our main trading partner. 

There are two concerns here. The first is that were we to depreciate the exchange rate, would it really continue to encourage exports and effective import substitution? The general economic theory supports Dr Farrell’s position. However, the Central Bank of Barbados Governor, Dr DeLisle Worrell, looks a bit closer at economies like ours: small open economies. In the circumstances of our severe reduction in foreign exchange (FE) being now earned, he does not recommend a devaluation/depreciation of our currency since it will not help with the fundamental problem of our economy; ie our economy cannot respond quickly to this fall in FE income by producing increased exports nor is it capable really of effective import substitution. 

Note that the energy sector brings in normally some 80-90 per cent of the FE earned. Hence stabilisation of the economy in the short term is more about reducing aggregate demand on shore as opposed to asking the private sector to expand exports or create substitutes for imports. Aggregate demand reduction can be done more directly if focussed on specific imports via fiscal measures.

Also, some 75 per cent of the FE available in the T&T market place is due to the energy sector exporters who earn FE, changing some to pay for local goods and services. If the exchange rate were to depreciate whatever little they now put into the market would be reduced assuming local goods/service rates remain the same.

Secondly, Prof Michael Porter warns that it is insufficient to focus on the macroeconomic inflation-based measure—the real effective exchange rate (REER)—when looking at the production in an economy since competitiveness is really a measure of the country firms’ productivity, which they have to relentlessly improve. This is not via the depreciation of their home currencies but by acts of innovation, including new technologies and new ways of doing things and anticipating global needs. 

The major exporters of T&T are in the energy sector and who source their competitiveness from cheaper natural resources and foreign technology. Our on-shore exporters who are in the main assemblers—importing much of their inputs—are not innovative. 

Hence attempting to evaluate the competitiveness of our economy by looking at the national measure, REER, is to answer the wrong question (according to Porter). We need to look at specific industries and segments if we require the correct answer, which is to diversify the economy into high productive sectors via innovation.

Dr Farrell gave the example of local tomatoes which are more expensive locally than those imported. Devaluation may reverse this situation. There are two problems here. The first is that agriculture in the US benefits from subsidies and this is well known as a brake on developing countries being able to build lucrative agricultural industries. 

Further, in T&T, agriculture is not far removed from the kitchen-garden type and does not benefit from scale, advanced technology or high productivity. Couple to this the culture of the private sector of import-markup-sell and particularly when imported vegetables are cheaper than the local products. If we wanted to control the import of vegetables then the fiscal measures of VAT/duty/taxes on such imports would clearly be a more vectored approach.

Mary K King

via e-mail

Jane Smith* is a single mother of a teenaged daughter and a middle manager at First Citizens. In 2013, she purchased 5,000 shares in the bank’s initial public offering (IPO). Although the shares were offered to the public at $22 a share, the Government—which owned 96.5 per cent of the bank before the IPO—decided that employees of the bank would pay $19.80, a ten per cent discount to the offer price. In addition, Jane took up the bank’s offer of an interest-free loan to partly finance the purchase of the shares.

Each of the 5,000 shares that Jane bought at the First Citizens IPO for $19.80 were worth $35 on Friday. That means that the 5,000 shares she purchased for $99,000 in September 2013 were worth $175,000 in January 2016. It means that Jane’s investment in the bank that she has worked at for more than 20 years is worth $76,000 more than what she paid for it. In technical language, the capital value of Jane’s investment has increased by 77 per cent in the two years and four month that she has held the shares.

But that is not the only way that Jane has benefitted from the Government’s privatisation programme. 

In the period since the IPO, First Citizens has made four dividend payments: $0.57 in May 2014; $0.61 in December 2014; $0.58 in May 2015 and $0.74 last December. Those dividend payments mean that Jane has received $2.50 in income. This translates into $12,500 in dividend payments.

If the dividend income and the capital gains are added together, Jane’s investment in her bank is today worth: $187,500.

Samuel Williams* is also an employee of First Citizens. He is a shop steward at one of the bank’s branches and, as such, defends the interests of his fellow employees as an elected representative of the First Citizens trade union—the Banking, Insurance and General Workers Union (BIGWU).

He listened to the video on YouTube in May 2013 titled, “Selling the people their own shares” in which the union’s leader, Comrade Vincent Cabrera said: “This word “privatisation,” you never could have found it in a dictionary before Ronald Reagan and Margaret Thatcher. Nobody knew what it was to privatise. We knew what it was to nationalise. Where, in a lot of the countries of the world, the State found it necessary to expropriate property from private capital. 

“In Cuba, Castro told them that you are lucky to be leaving with the shirts on your back. In the case of Trinidad, Eric Williams used the oil money to buy it. But whether you just took it from them, or you bought it from them, the State took over the shares on behalf of the people. They coming now and telling you they are selling shares to the people. So, if the State owes it on behalf of the people, how could you be selling the people their own shares?” 

In support of BIGWU’s policy on privatisation, Samuel took a decision not to purchase shares in the First Citizens IPO in 2013. 

Mainly as a result of his savings habit and the BIGWU’s ability to negotiate a 17 per cent wage increase for employees of the bank in the period January 2009 to December 2011, Samuel had $100,000 in savings. This was divided between two deposit accounts at the bank: one that paid 0.2 per cent a year and the other that paid 0.78 per cent. At an average rate of 0.49 per cent, Samuel received about $1,143 in interest in the 28 months between the IPO and today.

Samuel was fortified in his decision not to support the IPO when he attended the sixth biennial conference of delegates of the BIGWU in October 2014 and heard the union’s president Vincent Cabrera say: “The policy of the BIGWU does not support privatisation. We will not participate in the dismantling of the State sector. In the long run, privatisation through divestment leads to increasing levels of inequality.”

Samuel would also have been fortified in his decision not to buy shares in the First Citizens IPO by the statement in the Negotiations Report submitted to the sixth conference of BIGWU delegates that the union was in “the vanguard of the trade union movement during the review period in combating the scourge of privatisation of state enterprises, particularly in the financial services sector, and which experience has shown, invariably, leads to job losses, reduced benefits for workers and enrichment of private sector interests.”

By January 2016, Jane would have received $12,500 in dividend payments and the value of her investment would have increased from $99,000 to $175,000. Samuel, on the other hand, would have earned $1,143 in interest on his $100,000 in savings. 

Contrary to the experience cited in the BIGWU report, no jobs appear to have been lost at First Citizens as a result of privatisation and it does not seem that benefits have been reduced. In fact, as 1,073 of the bank’s employees did buy shares at a discounted price in the First Citizens IPO, it can be argued that those employees received a significant benefit from the IPO and they were among the “private sector interests” who were enriched by it. 

But why would only 65 per cent of the employees in the majority state-owned bank participate in an exercise that was almost destined to put money in their pockets? 

If only 1,073 First Citizens employees participated in the IPO, and the prospectus discloses that, as at March 2013, the bank had 1,664 employees, that would mean 35 per cent of the bank’s employees (about 600) decided they would not participate in the IPO. This is despite the fact that those First Citizens employees who bought shares in their own bank would have received a ten per cent discount on the price of the shares and an interest-free loan to purchase the shares.

Were some of them persuaded by the anti-privatisation stance of the representative trade union? Or was it a case of some of the bank employees at the lower end of the salary scale not being able to afford to purchase the bank’s shares? Did the management of the bank do enough to educate its employees about the long-term benefits of owning shares in the company that employs them?

At the end of the IPO process, employees of the bank subscribed to a little more than half of the shares allocated to them. A total of 48,495,665 shares were available to the investing public and the employees were allocated a block of 15 per cent of the IPO, which would have amounted to 7,274,350 shares. What does it say that the bank’s employees only subscribed to 7.8 per cent of the total allocation?

If each of the bank’s 1,664 employees had purchased the 5,000 shares that they were given the opportunity to buy at the discounted price of $19.80 and with an interest-free loans, the employees would have spent $164.73 million. Those shares would be worth $291.20 million today and the employees would have shared $20.8 million in dividend income.

Is the First Citizens IPO a rare and isolated case?

Employees of TSTT, NFM and Tringen who purchased shares in National Enterprises Ltd (NEL) at $4 a share at its IPO in 2001 and at $4.75 a share in its secondary offering in 2002 would also have received significant benefits from owning the stock over the last 15 years. It closed at $15.97 on Friday.

The T&T NGL IPO last year will eventually prove to be very profitable for shareholders, who will experience a sharp increase in the demand for the stock when its product prices improve. The outsized future dividend stream should attract shareholders to it. 

Do T&T workers benefit from privatisation? 

*Not their real names. 

Used for illustration purposes.

Carla Parris

Last week I suggested that in the attempt to diversify the economy, Carnival should be looked at with focused attention on the ability to sell broadcast rights to international audiences in the diaspora and elsewhere in the world where T&T’s indigenous products are used and valued.

The majority of responses to this perspective on Facebook, email and otherwise agreed that we should seek to sell rights to certain events and to also sell documentaries, film and TV packages of the best of Carnival. They have also suggested that, at this moment, attention needs to be paid to producing market ready products that can be captured on film. 

This week I wish to focus on the fact that though all events are not suitable for broadcast purposes and while this may not be the aim of an event producer, if the level of sponsorship for Carnival events continues to drop at the rate that it has this year, there may come a time when we do not have the plethora of events to choose from, either to broadcast or to simply enjoy as consumers of the product. Event producers therefore need to focus attention on the value of the sponsorship rights that they offer to prospective sponsors and investors of events. 

Reports coming in from event producers this year are grim. The injection of sponsorship capital from corporate, governmental and other sponsors has been reduced, no doubt due to the current projections for the economy. As such, some promoters have chosen not to produce some of their events and some have chosen to cancel outright midway through the production cycle due to lack of sponsorship funds. 

The impact of this is felt, not only on the income of the event producer, but in reduced job opportunities for service providers such as caterers, bar staff and companies that provide infrastructure such as stage erection, lighting, decor and other aspects of the production. 

Many of these jobs have been lost. I am of the view that after this season ends, event producers should re-group and focus their energies on ways in which they can increase the level of their offerings to retain and attract new sponsors and new investors in the years ahead.

Sometimes it seems like we are a people stuck in yesterday, resistant to the fact that our market is no longer as unsophisticated as it used to be in years gone by. Just as the tastes of patrons at events have evolved and they now demand value for money in the kinds of events they patronise, so too have the needs of corporate sponsors who are bombarded with sponsorship requests year round. They want more value for the sponsorship capital requested. 

What are some of the legal and business issues involved in sponsorship deals?

Typically, event promoters seek to entice sponsors with the promise that, in exchange for the injection of capital, certain sponsorship rights will accrue. Some of these rights are, for example, the right to erect branded paraphernalia, set up concession stands, or even to capture footage at events. 

However, in the age of social media where companies now have access to brand promotion opportunities on sites such as Facebook, Twitter and Instagram, the promise of traditional branding tools such as flags, banner ads and concessions stand is no longer as attractive as it was before. 

Many sponsors complain that they do not see a return on their investment in events because promoters fail to deliver on the sponsorship rights promised.

Some of the ways event promoters can improve on the delivery of sponsorship rights are by ensuring sponsors can do site visits well in advance of the actual day of the event so they have ample time to set up concessions stands and erect the branded paraphernalia they were promised. 

Many sponsorship deals has been lost because sponsors were unable to erect their branded material in a way that suited their needs and were denied the opportunities to get value from the monetary investment. The loss of potential income at concession stands increases the number of unsatisfied sponsors because placement in an area of the event where few patrons will view the booth can severely hamper opportunities to generate revenue if one is selling food or other branded items.

Gone are the days when a sponsor is satisfied simply to inject capital into an event on the basis of a promoter’s friendship with the artistes who promise to perform. More and more sponsors are want proof of the artiste’s obligation to perform at the event and require copies of contracts entered into with performers. 

Given the fact that in many cases the sponsorship money requested varies dependent on the level of artistes carded to perform, the fact that a promoter can actually produce a written and signed contract which demonstrates an artiste’s contractual obligation to the event can go a very long way in reassuring a hesitant sponsor that he or she is entering into an arrangement with a promoter who will honour commitments.

Clarifying the ownership of intellectual property rights in a sponsorship arrangement is another area where attention needs to be given well in advance of the event date. Many times, due to the capital invested and the efforts spent on marketing the event, questions arise as to ownership of material created to promote and publicise the event. Lack of clarity in these matters together with the current financial situation and the general informality with which these sponsorship deals are proposed have caused many sponsors to pull out of this year’s events. 

The onus is now on event promoters, who are no doubt operating in an extremely competitive environment, to set themselves apart by elevating the negotiation process and demonstrating to prospective sponsors or investors a level of business sophistication that is not currently the norm. The ability to provide documentary evidence of relationships with artistes, service providers and other parties whose involvement is required to produce the event is therefore crucial. 

Promoters ought to also consider creative new offerings apart from the traditional branded paraphernalia and perhaps offer statistical data which provides projected income, as well as market research on the audience and demographics of the event so sponsors can be more informed on the value of investing in one event over another. 

(Carla Parris is an entertainment and sports attorney (LLB, LLM) with 12 years practical experience in the creative sector with a client base spanning the music, film, fashion, broadcast and sport sector. Apart from running her law practice, she has participated in more than 12 local and regional conferences in intellectual property law and the creative sector and has appeared on local TV and radio stations discussing the importance of intellectual property law and creative industry development.)

Agostini’s Ltd had an eventful year in fiscal 2015. The year started with the completion of its debt refinancing exercise in early October 2014. After forming Caribbean Distribution Partners Ltd (CDP), that entity then bought 40 per cent of a Guyanese company, Desinco Ltd in January 2015. In February 2015, CDP bought Barbados-based Facey Trading Ltd.

On July 1, 2015, CDP Ltd acquired Hanschell Inniss Ltd (Barbados), Independent Agencies Ltd (Grenada), Coreas Distribution Ltd (St Vincent) and Peter and Company Ltd (St Lucia). In addition, Agostini’s Ltd transferred 100 per cent of Hand Arnold Trinidad Ltd to CDP. Then, Goddard Enterprises Ltd received a 50 per cent stake in CDP and US$11.6 million (from AGL).

Facey Trading was absorbed into Hanschell Inniss. Under accounting rules, Hand Arnold is deemed to be controlled by Agostini’s Ltd and thus the CDP operations are included in AGL’s results. The rationale for the formation of CDP was predicated on the need to improve operational efficiencies and to provide a focussed platform for future growth and expansion throughout the region.

Let us now look in some greater detail as to its performance for the year ended September 2015.

Changes in financial position

Helped by acquisitions, total assets rose to $1.51 billion from $955.4 million as at September 2014. With few exceptions, all major line items exhibited increases. Long-term assets grew from $423.4 million to $615.9 million. Here, property, plant and equipment increased to $379 million from $248 million. The major change was recorded under land, buildings and improvements, which advanced to $325.9 million from $209.3 million.

Intangible assets climbed to $125.1 million from $78 million. The major increase was generated by the transfer into Caribbean Distribution Partners Ltd of Hanschell Inniss Ltd, Independent Agencies Ltd, Coreas Distribution Ltd and Peter and Company Ltd; all these companies were formerly part of Goddard Enterprises Ltd.

Current assets rose from $531.9 million to $897.7 million. Inventories expanded to $414.4 million from $279.1 million. Due to the nature of most of its businesses, the bulk of this ($361.6 million) represented finished goods.

In a similar vein, trade and other receivables expanded to $341.4 million from $218.1 million. Cash at hand and in bank rose strongly to $137.3 million from $31.5 million as at September 2014. However, after allowing for overdrafts ($43.4 million) and bankers’ acceptances ($38.4 million), the net cash position closed at $55.5 million; this was a huge improvement over the negative $1.4 million as at year-end 2014.

Total liabilities rose to $766.3 million from $400 million. Total borrowings climbed by more than 100 per cent to $365.4 million from $180.3 million. The long-term portion advanced to $221.5 million from $129.1 million while the current portion rose to $143.9 million from $51.2 million.

In the case of the long-term borrowings, the portion that matures over 5 years stood at $107.4 million up from $60.3 million as at September 2014; this is a sign of confidence in the company. The company obtained new financing of $275 million at more favourable rates and flexible terms of which $184 million was used to settle existing loans and the remainder used to finance its expansion activities.

In line with its larger operating base, the other major increase saw trade and other payables increase to $372.5 million from $200.1 million. The higher figure includes $101.9 million (or B$31.9 million) due to Goddard Enterprises Ltd.

Equity improvements

Total equity rose to $747.4 million from 2014’s $555.3 million. The major change was recorded under non-controlling interests, which climbed to $160.3 million from $1.2 million. This was a direct result of the formation of CDP.

Stockholders’ equity advanced to $587 million from $554 million. The most notable change was recorded under retained earnings.

This component improved to $368.6 million from $335.6 million. The current year’s profit of $80.6 million was reduced by dividends of $32.3 million, comprehensive loss of $5.6 million and changes in the composition of the group totalling $9.7 million. With 58,704,219 shares outstanding, each share had a book value of $10.00 (September 2014: $9.44).

Income and profits

Total revenues advanced by 25.5 per cent to reach $1.7 billion from the comparative 2014 outturn of $1.36 billion. 

The cost of sales climbed disproportionally by 26.9 per cent, moving from $1.04 billion to $1.31 billion. This restrained the gross profit growth to 21.2 per cent, as it registered at $392.6 million from 2014’s $323.8 million.

Other operating income increased to $31.9 million from $28.1 million, thus boosting total net income to $424.5 million. This was 20.6 per cent greater than the $351.9 million recorded for 2014.

The largest component, handling fees, relates to the recovery of expenses incurred by foreign pharmaceutical representatives. Rental income rose to $6.2 million from the previous level of $5 million. (Unfortunately, these items are not adequately grouped in the financial report.)

Total expenses rose to $300.2 million from $228.2 million, or by 31.5 per cent. The increases were concentrated under the other segment, which climbed by $43.9 million or 33.1 per cent to reach $176.4 million from the previous year’s $132.5 million.

Administration expenses reached $89.4 million from 2014’s $61.7 million; this represented a climb of 47.3 per cent. However, marketing and distribution costs declined to $34.4 million from $35.1 million. Helping this reduction was lower advertising costs, which fell to $9.8 million from $16.7 million.

These changes resulted in an operating profit of $124.3 million; this was marginally higher than the $123.7 million recorded for the previous year. Notably, in line with expectations, finance costs fell by $4 million to $12.58 million from $16.58 million. In addition, the share of profit from its new associate, Desinco, contributed $2.14 million; that is a good return on the purchase price of $11.66 million.

These changes boosted pre-tax profit to $113.8 million from last year’s $107.1 million.

A higher effective tax rate of 27.8 per cent (2014: 24.8 per cent) pulled down profits to $82.18 million from 2014’s $80.55 million.

Of this sum, $1.6 million related to non-controlling interests, leaving shareholders with $80.58 million (2014: $79.9 million).

These net results translated into 2015 diluted EPS of $1.37 compared with $1.36 for 2014.

Segment performance

2015’s relatively disappointing results were constrained by a number of one-off events and transactions, most of which will not be repeated in the current period.

Penalties paid on the debt restructuring exercise, legal and other expenses related to the new regional investment, legal and arbitration costs concerning the outstanding matter with the Housing Development Corporation ($9.3 million). In addition, higher taxes regionally and now locally will continue to be a feature of business life.

The strongest performer was pharmaceutical and personal care, which includes Smith Robertson distributors and SuperPharm retail outlets. Both these business units are expected to continue to do well. Both revenues and after-tax profit exhibited growth.

Resulting from the formation of CDP, sales in the fast moving consumer goods category expanded robustly. Operating profit growth was not as strong, especially at Hand Arnold, but was helped by the contribution from its associate, Desinco, while taxes were less severe. The other five CDP operating subsidiaries experienced start-up and one-off challenges, all of which are being systematically addressed.

The industrial, construction and holdings segment experienced strong sales, which were driven by Agostini Marketing’s interior contracts and the higher sales of building materials. At the other extreme, Rosco Petroavance’s performance directly suffered from lower energy prices. The start of distribution of a range of lubricants from ExxonMobil should help improve the latter’s performance in 2016.

Dividends and share price

For its 2015 fiscal year, AGL paid dividends totalling $0.56 compared with $0.55 for 2014.

In 2015, the share price reached as high as $18.20 on September 21, 2015. Following the release of these mixed results, the price declined and was recently traded at $16.95.

At that price, the dividend yield is 3.30 per cent.

Future prospects

The new joint venture, CDP, only started life in July 2015, which comprised three months of last year’s results. The synergies and benefits of this initiative should become more apparent as changes are implemented incrementally over the course of the current year.

Property rationalisation will continue to feature as it moves to increase tenancy at its Nelson Street property; this property is still up for sale. At Chootoo Road, it purchased the Kimberly Clark property. During 2016, SuperPharm’s office and warehouse will move to that location, while surplus space will be rented.

These changes would bring in additional funds, which can be used to further expand its core businesses. Even in the face of slower economic growth and higher costs on a variety of fronts, AGL’s prospects for this year seem reasonably good. Its first quarter results, which are due in February, should give us our first indication about its 2016 trajectory.

Next week, we will look at the other CDP partner, Barbados-based, Goddard Enterprises Ltd.

Along with bank runs and market crashes, oil shocks have rare power to set monsters loose. Starting with the Arab oil embargo of 1973, people have learned that sudden surges in the price of oil cause economic havoc. Conversely, when the price slumps because of a glut, as in 1986, it has done the world a great deal of good. The rule of thumb is that a 10 per cent fall in oil prices boosts growth by 0.1 to 0.5 percentage points.

In the past 18 months, oil prices have fallen by 75 per cent, from US$110 a barrel to less than US$27. This time, though, the benefits are less certain. Although consumers have gained, producers are suffering grievously. The effects are spilling into financial markets and could yet depress consumer confidence. Perhaps the benefits of such ultra-cheap oil still outweigh the costs, but markets have fallen so far so fast that even this is no longer clear.

The world is drowning in oil. Saudi Arabia is pumping at almost full tilt. It is widely thought that the Saudis want to drive out higher-cost producers from the industry, including some of the fracking firms that have boosted oil output in the United States from five million barrels a day in 2008 to more than nine million barrels a day now. 

Saudi Arabia also will be prepared to suffer a great deal of pain to thwart Iran, its bitter rival, which this week was poised to rejoin oil markets as nuclear sanctions were lifted, with potential output of between three million and four million barrels a day.

Despite the Saudis’ efforts, however, producers have proved resilient. Many frackers have eked out efficiencies. They hate the idea of plugging their wells only to watch the wildcatter on the next block to reap the reward when prices rebound. They will not pack up so long as prices cover day-to-day costs, in some cases as low as US$15 a barrel.

Meanwhile oil stocks in the mostly rich-country Organisation for Economic Cooperation and Development stood at 267 days’ net imports in October, almost 50 per cent higher than five years earlier. They will continue to grow, especially if demand slows by more than expected in China and the rest of Asia. Forecasting the oil price is a mug’s game—The Economist once speculated about $5 oil—but few expect it to start rising before 2017. Today’s price could mark the bottom of the barrel, but some are predicting a trough of as low as US$10.

The lower the better, you might say. Look at how cheap oil has boosted importers, from Europe to South Asia. The euro area’s oil-import bill has fallen by two per cent of GDP since mid-2014. India has become the world’s fastest-growing large economy.

The latest lurch down also is a source of anxiety, however. Collapsing revenues could bring political instability to fragile parts of the world, such as Venezuela and the Persian Gulf, and fuel rivalries in the Middle East. Cheap oil has a green lining, because it drags down the global price of natural gas, which crowds out coal, a dirtier fuel. In the long run, though, cheap fossil fuels reduce the incentive to act on climate change.

Most worrying of all is the corrosive new economics of oil.

In the past cheap oil has buoyed the world economy because consumers spend much more out of one extra dollar in their pocket than producers do. Today that reckoning is less straightforward than it was. American consumers may have been saving more than was expected. Oil producers are tightening their belts, having spent extravagantly when prices were high. After the latest drop in crude prices, Russia announced a 10 per cent cut in public spending. Even Saudi Arabia is slashing its budget to deal with its deficit of 15 per cent of GDP.

Cheap oil also hurts demand in more important ways. When crude was over US$100 a barrel, it made sense to spend on exploration in out-of-the-way provinces, such as the Arctic, west Africa and deep below the saline rock off the coast of Brazil. As prices have tumbled, so has investment. Projects worth $380 billion have been put on hold. In America spending on fixed assets in the oil industry has fallen by half from its peak. The poison has spread: The purchasing managers’ index for December, of 48.2, registered an accelerating contraction across the whole of American manufacturing. In Brazil the harm to Petrobras, the national oil company, from the oil-price drop has been exacerbated by a corruption scandal that has paralysed the highest echelons of government.

The fall in investment and asset prices is all the more harmful because it is so rapid. As oil collapses against the backdrop of a fragile world economy, it could trigger defaults.

The possible financial spillovers are hard to assess. Much of the US$650 billion rise in emerging-market corporate debt since 2007 has been in oil and commodity industries. Oil plays a central role in a clutch of emerging markets prone to trouble. With GDP in Russia falling, the government could well face a budgetary crisis within months. Venezuela, where inflation is above 140 per cent, has declared an economic state of emergency.

Other oil producers are prone to a similar, if milder, cycle of weaker growth, a falling currency, imported inflation and tighter monetary policy. Central banks in Colombia and Mexico raised interest rates in December. Nigeria is rationing dollars in a desperate, probably doomed effort to boost its currency.

There are strains in rich countries too. Yields on corporate high-yield bonds have jumped from about 6.5 per cent in mid-2015 to 9.7 per cent today. Investors’ aversion spread quickly from energy companies to all borrowers. With bears stalking equity markets, global indices are plumbing 30-month lows. Central bankers in rich countries worry that persistent low inflation will feed expectations of static or falling prices, in effect raising real interest rates. Policy-makers’ ability to respond is constrained because rates, close to zero, cannot be cut much more.

The oil-price drop creates vast numbers of winners in China and India. It gives oil-dependent economies such as Saudi Arabia and Venezuela an urgent reason to embrace reform. It offers oil importers, such as South Korea, a chance to tear up wasteful energy subsidies—or to boost inflation and curb deficits by raising taxes.

However, this oil shock comes as the world economy is still coping with the aftermath of the financial crash. You might think that there could be no better time for a boost. In fact, though, the world could yet be laid low by an oil monster on the prowl. The Economist

The case

Pricilla, 38, owns and operates a seven-seater taxicab and tour service. The loan that she borrowed to finance this vehicle was repaid two months before time. Last year, she inherited a house from her grandmother but it is in dire need of repairs and could cost up to $350,000. 

Loans officer Billy, pleased with her track record, is willing to provide mortgage financing for a period of 25 years at a rate of six per cent per annum. The only condition is that she provides a term life insurance policy for at least $200,000 to cover a part of the loan, in the event of an untimely death. 

Pricilla approached her cousin Betty who works at an insurance brokerage firm. Betty advised Pricilla that she could get a $200,000, 25-year term policy with a monthly premium of $125. Betty reiterated that the only downside with the plan was that when it matures, she has nothing to get back. Pricilla was not impressed with that feature and asked if there was another policy that provided cash back in the future. 

Betty then took the opportunity to do an illustration of a plan that would provide the same level of coverage the bank required but would also refund all of her premiums at maturity as part of a guaranteed cash payout $200,000 plus a bonus of $150,000. If she dies anytime before the plan matures, the company will pay $200,000 plus a refund of the premiums paid as at that date. 

If she becomes disabled for more than six months, the company will keep the policy in force until she recovers or until maturity; whichever was sooner. If, for any reason, she cancels the policy before the end date, a projected cash surrender value will be paid, less any accumulated debt on the account. 

Pricilla was excited that she really had nothing to lose and shared the policy benefits with Billy to see if he would accept the alternative as collateral. Billy agreed but expressed his concerns as to why the same coverage was costing $689 more per month and wondered if she could have found a better use for the extra premium. 

Pricilla knows the term is cheaper because she has nothing to get back but she cannot evaluate if the extra cost would provide value for money down the road. She is now undecided as to which policy to select and is seeking our guidance. 

Nick’s assessment and advice

The policy that Betty has put on the table sounds very good especially the part about getting back all of the premiums whilst still enjoying the insurance coverage of $200,000 for the duration of the plan. In a way she is actually getting free protection if she keeps the plan in force for the contracted period. Even if she cancels the plan, there is something to get back. How much that would be is another question. 

The only thing that is a little difficult to come to terms with is the monthly payment of $814 ($689 + $125), which we will discuss below. 

Purpose of insurance

In the world of personal finances, it is sometimes easy to deviate from the real purpose of a particular financial instrument. Insurance’s primary function is to offer protection against the financial loss that could occur if a certain peril materialises. It is uncertain why the banker requested only $200,000 coverage for a $350,000 debt. Maybe the bank has its own plan in place that covers part of the debt or maybe Pricilla already has another policy for $150,000. 

Be that as it may, Pricilla’s confusion really started when Betty raised the point o.f “getting nothing back.” Pricilla’s attention shifted completely from the primary objective to that of saving and investment. 

If her objective were savings and investment, then the cash value policy would have to be evaluated alongside other scenarios or instruments that are comparable in order to make an informed decision. 

Savings and investment

This policy has a very tempting future value of $200,000 plus a bonus of $150,000. Of course, this is not free money because Pricilla still has to pay for it and the total cost of doing so is $244,200 ($814 x 12 months x 25 years). She will earn a profit or gain of $105,800 ($350,000 - $244,200). This amount would be even more impressive if we removed the monthly cost of a pure protection plan, that is, the term life premium of $125.

Whilst from an actuarial standpoint this may not exactly be the accurate approach, it might still be helpful for the sake of a rough comparison. 

Excluding the term premium component, Pricilla would have invested $206,700 ($689 x 12 months x 25 years) to obtain the same future value of $350,000, giving her a profit or gain of $143,300 ($350,000 - $206,700). 

Return on investment 

Looking at this return through the lenses of a financial practitioner, the first question is: what was the return on this investment over the period? 

When we plug in the numbers using time value of money calculations (monthly payments of $689, period of 25 years and a future value of $350,000) we find that the effective annual interest rate was 3.92 per cent (only if she stays for 25 years); not bad in a world where rates on guaranteed investments is less than half that figure. 

The use of the words “guarantee” and “investment” in the same sentence has the power to allay many fears from an investor’s mind. However, guarantees can also be secure in financial scenarios other than the usual savings and investment instruments. 

The real value of money

Looking back, it is not too far fetched to imagine that the cost of living can double (100 per cent) every 10 years; the equivalent of a rate of inflation of about seven per cent (6.95 per cent) per annum. This also means that the value of money is moving in the opposite direction of that rate. 

A good example is the cost of a loaf of bread. Ten years ago it was $6, today it is certainly more than $12. This means that $6 today would only be able to purchase half (50 per cent) of a loaf of bread. 

Applying this concept to the policy’s guaranteed future value we would find that in 25 years, the buying power of $350,000 would be just under $65,000 ($61,276) in today’s terms. What will Pricilla do with that money in 25 years time? 

The better use of money?

If Pricilla’s world only consisted of a cash value insurance policy that yielded 3.92 per cent per annum, a piece of real estate that could yield upwards of five per cent per annum; a mortgage interest rate (hopefully fixed) of six per cent per annum and an annual inflation rate of 6.95 per cent, then we could decide on a better use of the extra premium dollars she has to pay. 

Whilst it may be impossible to reduce inflation and impractical to buy or improve real estate in monthly installments; it would be sagacious to accelerate the repayment of her mortgage by the extra $689 per month and hopefully without penalty. She could even choose to rework the mortgage installment up front to include the $689.

A 25-year mortgage of $350,000 at six per cent would work out to $2,255 monthly. If she decided to pay $2,944 ($2,255 + $689) the term would be reduced to 181 months or 15 years. If she was prepared to live without this installment for 25 years, then she should be able to save it for the remaining 10 years of her investing time horizon, which is a total of $353,280 not including interest. If we applied a conservative annual interest rate of 1.96 per cent (3.92% / 2) she would see a future value of $389,928. 

Additionally, because she would have paid off her mortgage in only 15 years, the interest saved would be $146,580 (see table above). Also, the fact that she only needs the insurance for 15 years, the term policy for $125 could be discontinued after the debt is repaid saving a further $15,000 ($125 x 12 months x 10 years). 

Nicholas Dean (CertFa) is a qualified independent financial adviser and is the managing director of The Financial Coaching Centre Ltd. If you have any questions or need advice on today’s subject please email: nickadvice@gmail.com or visit Web site: www.FinancialCoachingCentre.com