PLP Responds to FNM Statement on the Sale of 51% of BTC

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PLP Responds to FNM Statement on the Sale of 51% of BTC

The Government’s statement on the proposed sale of the majority of the shares of BTC (51%) is yet another attempt to mislead and misdirect the public’s attention from the central issues concerning this matter of national importance.

Those issues are that majority ownership of an important national asset is to be sold to a regional telecommunications company (Cable and Wireless) which has an established reputation for aggravating its workforce; that the net price, taking into account the assumption of over $60 million in BTC ‘s pension liabilities is considerably less than the $210 million being touted; and above all, the Unions and the majority of the people in the country are against the sale of BTC to CWC.  The attempt to draw comparisons to Bluewater, one of the first projects to be assaulted by the, “stop, review and cancel policy”, is as lamentable as the “voodoo valuation” to support its case.

Suffice it to say that when a company is sold, the new owner assumes all the assets (cash, accounts receivable, fixed assets etc.) as well as the liabilities (accounts payable, debts etc.)

Notwithstanding, it is foolish to  suggest that the Privatization Commission would have recommended that the Government of The Bahamas sell BTC for $260 Million leaving $130 Million Cash in the when just two years earlier, this same Privatization Commission recommended that  the government not sell for $130 Million.
And therefore, the attempt to use selected items of the balance sheet (bank balances) and not others (payables) lacks the necessary analytical rigor needed for such an important national exercise.

Indeed, it might be more useful and transparent to the public if an independent expert was immediately engaged to make the comparisons between the two offers as opposed to the self-serving, poor excuse for analysis contained in the statement.

Rather that waste its energies on looking back at its error by terminating a promising deal with Bluewater and BTC, the government should find the time and answer:

The Prime Minister should explain to the people of the Bahamas, who on his team is collecting a finder’s fee for the telephone giant; particularly when we know Cable and Wireless was never around the bidding table in the initial privatization exercise?

The Prime Minister should also answer the Bahamian people and put to rest concerns whether or not hundreds of jobs will be lost at BTC upon the sale of the Corporation to Cable and Wireless?

The Prime Minister should also tell the people why is he selling BTC’s majority stake of 51% control for far less money that which was offered for a minority stake to Bluewater?

The real however issue is that the majority of Bahamians do not like the deal and the government is turning a deaf ear to their legitimate cries of concern.  It is the Bahamian blues, not Bluewater that ought to be urgently addressed.

8 COMMENTS

  1. Eagle,you are so right. Why sell to a company formed for the sole purpose of buying BTC. Who were the principals behind Bluewater? This talk is sheer nonsense that Bluewater is history. They had to be paid because of the poor decision made by the former government to sell. That deal was not made public and no one is saying anything about. This one is and looks like all hell breaking loose. What a time…..

    • If you can’t sell to a company that’s bigger than BTC, then it makes no sense selling it at all. The whole idea was to sell to a strategic partner with a telecommunication background to introduce new technology, expertise and capital. Anything less would have defeated the purpose. I can’t believe the PLP is still touting this Bluewater non-sense.

  2. It really is this: Many workers at BTC have been slapped in the face with the reality that the “slackness era” is over. You will now be working for a private company that can and will fire you if you do not perform. No quasi government job protection – that gone. So, if you slack or you rude or you miss work or carry attitude you gone too! About time. Yes BTC that stale train of slackness and privilege you been riding is now off the tracks. Now, BEC and ZNS is next..but they already been thru ZNS.

  3. Greentea Shell companies do exsist and are legal.I got this defination from the dictionary.A company not operating for itself:a company that has no independant assets or operation of its own,but is used to conduct specific business dealings or maintain control of other comapies,non trading firm formed as a vihicle to takeover or act as a front for a business.That is why we had to pay Bluewaters our hard earned tax dollars.while it is a legal company and do exsist it was a front in the telecomunication business.

    • If I was Papa I would sell BTC, Bahamasair, ZNS, BEC and most of the worker at a buy one worker get 2 free deal, because most of them dont worth shi…..t, they are lazy and ful of slackness, love handouts. get real we are in 2010, the world has change forever. The politicains are to blame for the current state of BTC. to many political hiring at election time. PAPA grab the axe and do a general weeding OK

      • It’s people like you with that slave mentality that is so detrimental to the progress of a people. Just listen to yourself.”If I was Papa”. Are you a Bahamian? If you are, then express your thoughts in an intelligently, and stop playing the fool. Please, for heavens’ sake, do you part to raise the level a stop being a lackey for politians.

  4. The PM is trying to make the demonstration yesterday political. The union made a number of statements and asked a number of questions – nothing I heard from them question Bluewater – so why is the PM focusing on the PLP and Bluewater. Also, if Bluewater is/was a shell company – why take $2 million dollars of our money and pay to a shell company.

    Mr. Pm answer the workers of BTC and forget about the PLP right now.

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