Jamaicans abroad upset at sale of Air J

[evanovitch]

Re: So TG u read di PNP warning to di govt re using caution

U figet di Iran sugar deal ... Millions mek pon dat one

[Tuff Gong]

Re: So TG u read di PNP warning to di govt re using caution

One reason why I would become a member of the JLP they all corrupt Comrades to own the debate even while they sit and what their Leader get taken down by all kinds of spurious, dishonest, fly-by-night arguments.

I remember when I first became member of a Jamaican Themed BB you could not mentioned God Menlie name without getting a torrent of threats and pages of pro-menlie spam....this happened right up until 2007, by numbers of so-called Jamaicans some who are still here now and have basically left the debate.

In all that time you could count the number of Labourites on one hand, that would offer a whimper of rebuttal and then is was mostly weak sauce, even worse than Comrades Propaganda at castigating Edward Phillip George Seaga.

Now the Labourites are in power and can you tell?
Just like the DemoCraps here in the States they have allowed the few defeated and disgraced loud mouths to virtually own the public message both Mr. Gelding and Barry has come off as weak vacillating shrinking violets in the face of an unceasing, relentless assault by shrieking, semi-literate, idiotic, confused, noisemakers.

[blugiant]

Re: So TG u read di PNP warning to di govt re using caution

Secure Air Jamaica sale or delay deal, says IMF

Published: Thursday | January 28, 2010

THE BRUCE Golding administration has less than 48 hours to finalise plans to deal with Air Jamaica or risk a further delay in its proposal to ink a deal with the International Monetary Fund (IMF) for a US$1.25 billion stand-by arrangement by next week.

The IMF yesterday told The Gleaner that while its executive board was scheduled to consider Jamaica's request on February 4, it expects that by tomorrow the Government would provide it with key information.

"The debt exchange should yield the intended interest savings and extension of maturities; and a plan for Air Jamaica should be outlined," Andreas Adriano, IMF spokesperson, told The Gleaner.

Adriano said the decision to delay the executive board's discussion of Jamaica's request was made last week, when it was realised that it would not be possible to get the results of the debt exchange in time for a January 27 meeting of the board.

"We, therefore, made the decision to delay the meeting to the following week, and the particular date (February 4) was chosen, based on available openings in the board calendar," said Adriano.

Late-night submission

However, Adriano noted that the executive board will only consider the request from Jamaica, "Provided the prior actions agreed by the Jamaican government are completed".

The IMF executive board was expected to rule on Jamaica's request yesterday, but in a late-night submission to the House of Representatives on Tuesday, Finance Minister Audley Shaw announced a delay.

"We are not talking about weeks of extension, we are talking about days," Shaw told the House, as he closed the debate on the govern-ment's economic programme.

Shaw admitted that the Jamaica Debt Exchange (JDX) - a swap of more than $700 billion high-priced domestic debt for low cost instruments with longer maturity - has to be finalised before the IMF agreement.

He said The Ministry of Finance is to submit its preliminary results on the JDX to the IMF for circulation to the executive board shortly.

The finance minister claimed that the January 26 deadline, which was announced for the JDX, was for the Government to get an indication of who would participate in the physical debt swap, which has an expected settlement date of February 16.

[RichD]

Re: So TG u read di PNP warning to di govt re using caution

so how much dem getting for airjamaica?

[X]

Re: So TG u read di PNP warning to di govt re using caution

and when its sold.. Portia and di rest a di penny section will meck sure that the minions blame Bruce..

[Tuff Gong]

Re: So TG u read di PNP warning to di govt re using caution

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: xKs</div><div class="ubbcode-body">and when its sold.. Portia and di rest a di penny section will meck sure that the minions blame Bruce.. </div></div> don't leave out the IMF who is just trying to get their money forward!

[Xavier]

Could Mobay route be cut? Should hotel owners worry?

CAL, Air Jamaica merger

Source: NewsDay Trinidad
Writer: Vernon Khelawan
Published: Thursday, January 28 2010

WITH the Caribbean Airlines takeover of Air Jamaica’s operations imminent either via a merger or an outright buy out, several questions arise. A most important one is the “open skies” bilateral agreement between the United States and Jamaica.

Ian Bertrand in a discourse recently at the University of the West Indies raised the issue saying, the Jamaica-US bilateral air service agreement states specifically that any carrier – in this case Air Jamaica – benefitting from the “open skies” policy must be “substantially owned and effectively controlled” by a Jamaican entity.

He reminded his audience at the civil aviation forum organised by the Sir Arthur Lewis Institute of Social and Economic Studies (SALISES) and which dealt with the challenges facing the Caribbean Aviation industry, he had spoken in the past about forming a regional grouping to formulate an “open skies” agreement with the United States, but only Jamaica had taken up the option.

Caribbean Airlines must be reminded that when Jamaican hotelier Gordon “Butch” Stewart took over operations of Air Jamaica some years ago, Jamaica, almost immediately, lost its Category One status.

<span style="font-weight: bold">Another point which Bertrand also raised at the Forum was whether Caribbean Airlines, as the new owner of Air Jamaica, would be allowed to select the more profitable routes and not be burdened by any demands from the Jamaican government about the preservation of its tourism routes.</span>

Whether this is part of the deal remains unknown, but speaking last week in Kingston, Jamaica’s Finance Minister, Audley Shaw stated categorically, “We are seeking to divest Air Jamaica on the best terms available and to ensure that we have the seat-lift capacity from all of those cities for which we have tourism and Jamaican market travellers. We want to ensure we preserve those markets.”

Divestment of Air Jamaica is one of the conditions of the agreement with the International Monetary Fund (IMF) for a loan facility of (US)$1.25 billion and which was expected to be signed yesterday. It would be fair therefore to conclude that the Caribbean Airlines-Air Jamaica deal would have had to be signed by then.

Although the deal is being referred to in Jamaican government circles as “friendly”, Jamaicans generally are not of the same view since it is expected that 70 percent of the current Air Jamaica staff will be retrenched. As a matter of fact Jamaica’s Finance Minister Audley Shaw said in Kingston last week that during the negotiations, Caribbean Airlines had already signalled that on signing there would be need to reduce the complement of pilots, flight attendants and maintenance personnel.

Read the rest at NewsDay Trinidad

[Tuff Gong]

Re: Could Mobay route be cut? Should hotel owners worry?

All of the above does not matter one way or the other what matters is the bottom line. Jamaica cannot afford Air Joke in no way, shape or form. Either the GOJ sell or country be driven under further by the operational costs and historical debts of the failed Airline.

[RichD]

Re: Could Mobay route be cut? Should hotel owners worry?

well seems to me theay have got rid of the airline but kept the historic debt....i don't see the upside.

ETA...those Trinis are real suckers eh

[Tuff Gong]

Re: Could Mobay route be cut? Should hotel owners worry?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: RichD</div><div class="ubbcode-body">well seems to me theay have got rid of the airline but kept the historic debt....i don't see the upside.

ETA...those Trinis are real suckers eh </div></div>You still can't/won't explain why would a company take over debts that is enough to cancel the value of 100% of the assets?

[RichD]

Re: Could Mobay route be cut? Should hotel owners worry?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Tuff Gong</div><div class="ubbcode-body"><div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: RichD</div><div class="ubbcode-body">well seems to me theay have got rid of the airline but kept the historic debt....i don't see the upside.

ETA...those Trinis are real suckers eh </div></div>You still can't/won't explain why would a company take over debts that is enough to cancel the value of 100% of the assets? </div></div>

I would not expect them to ...but why would you give away an asset? ..why not just wrap it up then?

ets: one story said that the measure in place have moved the airline to a position where it could be profitable (or at least break even) if it was not burdened with the historical debt...so you move it to that point then you keep the debt and give away the now potentially profitable portion?

[Tuff Gong]

Re: Could Mobay route be cut? Should hotel owners worry?

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: RichD</div><div class="ubbcode-body">I would not expect them to ...but why would you give away an asset? ..why not just wrap it up then?

ets: one story said that the measure in place have moved the airline to a position where it could be profitable (or at least break even) if it was not burdened with the historical debt...so you move it to that point then you keep the debt and give away the now potentially profitable portion? </div></div>

You would not expect them to that takes the Trinidadians out.
The position of the Jamaican Government who owns and operate Air Joke is this.
The Airline is burdened by historical debts which has to be service plus normal operating cost plus any Redundancies and Pensions due to qualified staff.

Getting rid of the Airline in a sale will preserve the Airline, some routes and some staff, leaving GOJ to deal with the other exigencies. I really cannot see what is so difficult to overstand and why the new owners are been blamed for wanting the assets minus the other crippling items?

<span style="font-family: 'Arial Black'">A forced wrap up the Airlines means more, debts, posible defaults and zero routes!</span>

[RichD]

Re: Could Mobay route be cut? Should hotel owners worry?

nobody is blaming the other owners (unless you are?) any good business person would take any opportunity offered. What i'm suggesting is that the decision being made is not the best one.

[rufian]

Re: Could Mobay route be cut? Should hotel owners worry?

Ah the Caribbean unity. Just when Jamaica catapult off the Caribbean map, BWI come to the rescue. But seriously, it is better for Trinidad to help out than real real foreigners, no?

[Dr.Dudd]

Re: Jamaicans abroad upset at sale of Air J

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: TonyRoyal [/quote</div><div class="ubbcode-body"> Doc would you continue to operate your practice if you continuously loose money? </div></div>
Good question.
But the more appropriate question would have been this one.
Should teh government stop offering teh services of health care to teh population, because they people can't afford to pay, and make it unprofitable?
You see a country is not a person organization or business. .

Unlike persons, organizations and businesses, countries have to invest in loss leaders to facilitate the profitable industries they support.
This is not the case with any other type of entity.
Now if you can justify that the loss incurred by the country due it's ownership and operation of the airline does not result in profit for teh country, greater than that loss.Then your question about the operation at a loss.
Then your question is appropriate.
Do you believe that every investment a country make, creates profit withing the project the country invests?
If you believe that, you need to a quick study on the subject of government.
Everybody want Jamaica to be Singapore, but they don't want the tools that they use to achieve the ends.
Not one of the media houses, or prattlers, that are touting Singapore, would accept the Jamaicans government applying those policies, that is used to achieve it.
Everybody can have an opinion because it is Jamaica. If it was in Singapore, you finish the statement in prison if it is not in line with the government's views.