Sagicor prepared to ride out storm
SAGICOR FINANCIAL CORPORATION is backing Government’s effort to restructure the economy, despite taking a US$43 million hit from the debt exchange programme.
The group’s president and chief executive officer Dodridge Miller, and group chief operating officer Ravi Rambarran, said they could withstand this blow to their profits considering that Sagicor operated in 21 other countries.
Sagicor holds about US$337 million in Government debt, of which
US$278 million is domestic Barbados-dollar denominated.
The US$43 million provision covers both the domestic and foreign currency portions.
Speaking at a breakfast media briefing at Sagicor’s Wildey,
St Michael headquarters, Miller said that based on the group’s experience across its various markets, he expected “an outcome that would be positive to Sagicor shareholders and its policyholders”.
“We have seen the Government taking steps that we believe are in line with what would be expected to restructure the economy, would stop haemorrhaging of the excessive debt overload, and we remain confident that the outcome will be positive for the country, for Sagicor, the policyholders and shareholders,” he said.
“We will show a reduction on net income based on the provision for the Government debt exchange, but we will still be showing very strong results for 2018.
“Even before [the debt exchange] was announced, the financial institutions had already started to meet to prepare themselves for such an event,” Miller said. ( SC)