Sagi­cor pre­pared to ride out storm

UK Barbados Nation - - NEWS -

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)

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