PM 'optimistic' about Baha Mar

Fri, Oct 23rd 2015, 09:20 PM

Despite a winding up hearing looming on November 2 and yesterday's dismissal of 2,000 Baha Mar employees due to the "perilous financial position on the companies", Prime Minister Perry Christie yesterday told diplomats that he looks forward to the stalled project opening "in the not too distant future" and remains optimistic following discussions with stakeholders on Thursday night. It was unclear if Baha Mar CEO Sarkis Izmirlian took part in those talks.

During an address at Diplomatic Week: 'The Bahamas, 2015 Diplomacy and the Post 2015 Development Agenda' at the Atlantis Resort, Christie said with so much at stake, a resolution must come.

"Throughout last evening and this morning (Friday) we have been involved in meetings with representatives of the parties and the People's Republic of China," Christie said.

He added, "I happen to have the responsibility for the reputation of the [government of The] Bahamas and because I am aware of the commitment of the government of the People's Republic of China to ensure the just outcome comes about in this matter, I am speaking with great optimism.

"And notwithstanding the dark clouds that have emerged, they will soon shift. And even those people who were employed and who face [difficultly] in their present situation will find that the Government of The Bahamas will not desert them."

Christie pointed out to delegates that a single large investor can, when he or she runs into difficulties, throw an entire country "out of whack".

"To the west of here, you would have seen the soon to be completed Baha Mar Resorts, the opening of which has been stalled due to reasons that have been well explained to the public," Christie said. "The delay in its opening has been a setback, there can be no doubt. But we look forward to its opening it the not too distant future."

Christie went on to speak about the government's preparations to facilitate Baha Mar's and The Pointe's opening.

The Pointe is China State Construction America's $250 million downtown resort now under construction.

"The goal with Baha Mar is to increase visitor arrivals, occupancy rates and room rates and to further target the Chinese tourism market, as well as high net worth Chinese nationals in cities like Vancouver, London, Toronto and New York," Christie said.

"Investments such as the new Lynden Pindling International Airport (LPIA), which was opened in 2013 and is operated to world class standards, allows us to support the growth anticipated from Baha Mar Resorts as well as updating of airports on Family Islands.

"The Bahamas is also looking forward to a new development called The Pointe Nassau, which is a waterfront destination in downtown Nassau and scheduled to open in 2017."

The resort will boast 110 condo units, a 200-room hotel, 14 restaurants, movie theater and marina.

"Our marketing continues to evolve as we seek to broaden our messages and extend our audiences," Christie said.

In a letter to employees on Thursday, the joint provisional liquidators said following a review of the financial affairs of the companies it became clear that the companies could not meet all operating costs, including existing staff levels.

The provisional liquidators gained approval from the Supreme Court to implement a redundancy plan due to the "perilous financial position of the companies". Izmirlian expressed disappointment about the latest development. Christie also expressed disappointment with the redundancies in a statement on Thursday.

According to the provisional liquidators, external funding is being sought but has not been identified to date and negotiations among the stakeholders toward a resolution to facilitate the resort being completed and opened are ongoing. On November 2, Supreme Court Justice Ian Winder is scheduled to hear the winding up petitions brought against Baha Mar by the attorney general. Christie has said that November 2 is a crucial date to be avoided without resolution.

Click here to read more at The Nassau Guardian

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