Jamaicans abroad upset at sale of Air J

[jah_yout]

Re: Grave insult:Open letter to the nation of Trinidad and T

sign of the times...
jamaican pride & prestige will take a blow without air j...
it may be a matter of economics but the psychological impact will be great...
especially because it's trinidad...
if it was guyana we probably wouldn't care

in any case in my eyes it's a sad day when air j pass on....

the first airplane i ever flew on

i hope my trini friends go easy on me if/when the sale goes thru...
we will surely be the butt of many more jokes

[Leddih]

Jamaica Observer Sale of AJ Poll


Jamaica Observer Poll (Near Right Center of Page)

[evanovitch]

please merge wid existing article couple posts down re Air J

we need continuity so all can see wat the poll is in regards to...tonx in advance to Moderators

[Dr.Dudd]

Re: Jamaica Observer Sale of AJ Poll

Yes it would be alright if it was being sold to colonialists.

They ware against it being sold to Trinidad, and was against it being sold to China, but was hollering for it to be sold to foreign entity all thes years.

That is why i don't rely on polls for anything, but sociology. <div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Leddih</div><div class="ubbcode-body">
Jamaica Observer Poll (Near Right Center of Page) </div></div>

[Tuff Gong]

Re: Grave insult:Open letter to the nation of Trinidad and Tobag

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: evanovitch</div><div class="ubbcode-body">u need to read di post down in Politricks dat hint at di deals he has made....di Chinese coming bak n even di homegrown ones gwine to get a run fi dem money from dese new incomers....

dem gwine sweep dem monopoly pon commercial sector BIG time </div></div>

<span style="font-family: 'Arial Black'">Chinese coming back?</span>
We have had diplomatic ties with China since 1938 I think.

<span style="font-family: 'Arial Black'">They are going to sweep their monopoly on the Commercial Sector?</span>
How so?

[Tuff Gong]

Re: Grave insult:Open letter to the nation of Trinidad and Tobag

In the end only these facts matter:

<span style="font-size: 14pt">Results of Meeting with the Prime Minister of Jamaica </span>

<span style="font-family: 'Arial Black'">Economy </span>

<span style="color: #990000">* The bauxite industry accounted for over 50% of our total exports and essentially collapsed - 3 of the 4 factories shut down
* Forward sale of bauxite itself not bad, sometimes forward sales are good but criticized the lack of a clause to increase price - fixed price ended up being lower than cost of production and govt. owned 45% so Alcoa reaping profits on their 55% at market rates but Jamaican Govt. selling at 2005 prices
* Since new govt., they have had to find US$176 million to pay for losses - have to borrow
* The consequent loss of foreign exchange earnings lead to borrowing to cover the difference
* The economy contracted and so more money had to be borrowed to pick up the slack
* &quot;There have been months where the Minister of Finance calls me, normally 'round about the 20th to the 21st of the month to say that &quot;I can't meet the wage bill&quot;. This has been our experience for the last 4 or 5 months </span>

<span style="font-family: 'Arial Black'">IMF</span>

<span style="color: #660000">&quot;We entered into negotiations with the IMF. We developed a programme that is not a cakewalk.&quot;

&quot;I don't say that it is our programme because it is cute. It is our programme because with or without the IMF that is what we would have to do. It's just that the IMF allows you to do it in a way that you probably wouldn't be able to do it without the IMF&quot;</span>

<span style="font-family: 'Arial Black'">Critical Elements </span>

<span style="color: #CC0000">* Debt exchange - focused on local debt because that is what was &quot;killing us&quot;
* Avg. rate of external debt is about 7%
* Of the J$700+ billion in local debt, about J$240 billion was fixed rate (rates ranged from 12.25% to 28.25%) and so there would be no benefit from lower interest rates
* Maturities extended up to 2039
* &quot;Can't blame the market for the interest rate because (a) Govt. had a perennial habit of spending more than it had, (b) Govt. over-reliance on borrowing so the market knows it has the upper hand because the Govt. needs the money
* 334 bonds were in the market and they had to stress test all the holders. Looked carefully at the pension funds and securities dealers - 6-7 months work
* Citicorp out of NY advised the Govt.
* IMF required 90% take-up of the debt exchange offer BEFORE signing the letter of intent and he chose to tell the country that 100% was the goal
* 92% take-up to date - the most successful ever in the world when compared to Seychelles (last week celebrated 89% take-up), Argentina, Uruguay, Dom. Rep., Turkey and others
* Expect 97% - all institutional investors have taken up offer
* He was advised the first time around to abandon the debt exchange because of fears of downgrades and he used to be very scared of those
* &quot;The then Governor of the Bank of Jamaica was violently opposed to it. Meeting after meeting he warned against it. We could not have done it if he remained in charge of the Bank of Jamaica&quot; </span>

<span style="font-family: 'Arial Black'">Other Info </span>

<span style="color: #990000">* Michael Lee Chin came to see him this morning and pointed out that NCB and Advantage will lose J$8.9 billion in total and he felt it was necessary and would give a better horizon
* Expect IMF approval next week, &quot;We've cleared all the hurdles&quot;
* Medium term framework targets were cautiously set - for example, they did not factor in ANY recovery of the bauxite sector
* IMF monitoring mechanism includes information to be sent daily, weekly and monthly with quarterly performance tests
* Internal system setup with bi-weekly reports to PM, headed by Minister of Finance
* Focused on early detection of deviation from targets
* &quot;If we are going to ask the people to bear the kind of burden we are asking them to bear, we have to give them a covenant that we are going to do our part&quot;</span>

<span style="font-family: 'Arial Black'">Privatisation Programme </span>

<span style="color: #990000">&quot;We are embarking on a very aggressive privatisation programme and this time it is for real&quot;

* Air Jamaica
* All government stakes in the ENTIRE bauxite industry
* Norman Manley Airport and tying it into another major investment
* Port of Kingston - 2 serious expressions of interest right now</span>

<span style="font-family: 'Arial Black'">Highway 2000</span>

<span style="color: #CC0000">*
Heading to China to try to get deal to have them build out the rest of the highway, China does not refinance debt as a rule. Aim to get investment to build out highway and refinance govt's portion of debt.

Don't start to earn revenue until 2013 and only if traffic level reaches a certain level. Borrowing money in meantime to pay US$30 million per year debt </span>

<span style="font-family: 'Arial Black'">Air Jamaica</span>

<span style="color: #CC0000">* J$1.3 billion in debt to date
* Losses from April to December 2009 = US$107 million
* Expected losses for FY09/10 = US$135 million
* First week of this month Air Jamaica came in and said they needed US$14 million by tomorrow otherwise we cannot fly a plane to the US, they would seize them - happens every couple of months
* IMF has said to govt. that if they can afford to continue subsidizing an airline which is not the only means of getting to Jamaica, then you don't need our money, go somewhere else - They made Air Jamaica a deal breaker
* &quot;They said one of two things: Either you have a firm agreement for the sale of Air Jamaica or there will be an announcement by the Prime Minister himself setting a firm date by which Air Jamaica will be wound up&quot;

Indigo Partners deal was close many times but they kept adding new demands. They demanded the Air Jamaica building on Harbour Street but the final straw was the requirement to maintain the NY office for the next 4-5 years at the cost of US$9 million per year.

Indigo Partners also was only willing to give govt. 20% ownership of Jamaican operations, no shares in entire Spirit Airlines.

Next best bidder was Caribbean Airlines

* Not a deal made in heaven - Jamaicans apprehensive about Trinis and Trinis apprehensive about Jamaicans
* Original proposal did not include flights to MoBay and had lower frequency
* Modified proposal after govt. was speaking with Indigo but govt. already signed exclusive negotiating agreement with Indigo
* Most of issues resolved
* No exchange of cash
* Stake in overall Caribbean Airlines, not just Jamaican operations - still going back and forth on percentage at govt. to govt. level
* Govt. taking up all the debt
* CA flew 200,000 passengers last year while Air Jamaica flew 180,000 on the routes they want - bringing real value to CA
* Routes to remain: Fort Lauderdale, Toronto, NY (JFK), Baltimore, Philadelphia
* Not prepared to fly to: Nassau, Orlando, Chicago, Havana
* Raised Havana route because critical to allow Americans who want to visit Cuba because they cannot fly from America to Cuba
* Would be run with a staff complement of 350 in Jamaica (Air J has 7 planes and 1200 staff)
* Pilots did not make a proposal when it was advertised because they say that they did not realize that the govt. was prepared to absorb the legacy debt
* Contractor General has raised issue about pilots not responding to the advertisement and now possibly getting audience
* Pilots have not actually secured financing, their partners are waiting to get letter of undertaking on a govt. of Jamaica letterhead and then start going to every bank
* Govt. does not believe that Air Jamaica can survive as a standalone entity based on their due diligence and the losses being sustained by many larger airlines (AA, Delta, Japan Air, etc.)
* Pilots proposal does not envisage retrenchment of staff - no indication of cutting staff
* Pilots saying that they will ask workers to convert redundancy into shares in Air Jamaica and no staff member would do that if they were being laid off so the plan must be for them to stay on
* Govt.'s goal is to make sure that Jamaicans will be able to fly to most of the routes they currently fly
* CA advantage over EVERY other airline is that Trinidad is an oil producing country and there is an agreement for CA to purchase oil at a FIXED PRICE OF US$45 per barrel and the Jamaican operations will enjoy that benefit as well </span>

<span style="font-family: 'Arial Black'">Public Sector </span>

<span style="color: #990000">Will be reshuffled and in fact will have to hire in some areas where they have identified shortages. Not sure of how many will be cut.

I asked the PM about the Diaspora Bond and he said that they had to put it on pause because of the recession but they can soon move forward with it. The ideal first place would be to focus on a bond for education in Jamaica.</span>

[X]

Re: Jamaica Observer Sale of AJ Poll

there u go.
So the anst may not be because Air J is bein sold, but because its being sold to Trinidad.
Its an ironic shame that these misedumacated creators of letters to &quot;the people of Trinidad&quot; from &quot;the people of Jamaica&quot; dont realize that its reations like this that only make Jamaica look trivial and mediocore. It sends the message begging the mercy of the &quot;EVIL TRINIS&quot; and the imperial Privy council. Now THATS (not) a great little nation.

The power that we need to show is financial power. We need to show tenacity and creativity on this issue. If the Airline means so much to so many, then cough up the cash, cough up a plan, make a proposal..
Doesnt seem many concerned that even if the deal evaporates but Air J doesnt settle its tab with the US authorities, the planes (flying into the states)likely to be seized regardless.
Once again, I'm as proud as a peacock when I see a air J plane, but the time is now to come up with a real fix, not emotional gibberish..

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Dr.Dudd</div><div class="ubbcode-body">Yes it would be alright if it was being sold to colonialists.

They ware against it being sold to Trinidad, and was against it being sold to China, but was hollering for it to be sold to foreign entity all thes years.

That is why i don't rely on polls for anything, but sociology. <div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Leddih</div><div class="ubbcode-body">
Jamaica Observer Poll (Near Right Center of Page) </div></div> </div></div>

[Dr.Dudd]

Re: Jamaica Observer Sale of AJ Poll

It is not by accident that Jamaica does so well in sports.

It is not by accident that Jamaica does so well in Music.

It is not by accident that Jamaica does so well in Tourism.

It is not by accident thatJamaica produces more than it's share of leaders in other countries.
And it is not by accident that Jamaica is an economic mess.

If and when the decision is made, it can change as well. Since Jamaica was never always at the pinnacle of the areas, where it has made it's mark.
Ther was a decision and strategies put in place to achieve them.
It is all about 'the powers that be' find it more favourable to be the big fish in a small pond, than to allow the pond to get so big, that they lose control of it. <div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: xKs</div><div class="ubbcode-body">there u go.
So the anst may not be because Air J is bein sold, but because its being sold to Trinidad.
Its an ironic shame that these misedumacated creators of letters to &quot;the people of Trinidad&quot; from &quot;the people of Jamaica&quot; dont realize that its reations like this that only make Jamaica look trivial and mediocore. It sends the message begging the mercy of the &quot;EVIL TRINIS&quot; and the imperial Privy council. Now THATS (not) a great little nation.

The power that we need to show is financial power. We need to show tenacity and creativity on this issue. If the Airline means so much to so many, then cough up the cash, cough up a plan, make a proposal..
Doesnt seem many concerned that even if the deal evaporates but Air J doesnt settle its tab with the US authorities, the planes (flying into the states)likely to be seized regardless.
Once again, I'm as proud as a peacock when I see a air J plane, but the time is now to come up with a real fix, not emotional gibberish..

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Dr.Dudd</div><div class="ubbcode-body">Yes it would be alright if it was being sold to colonialists.

They ware against it being sold to Trinidad, and was against it being sold to China, but was hollering for it to be sold to foreign entity all thes years.

That is why i don't rely on polls for anything, but sociology. <div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: Leddih</div><div class="ubbcode-body">
Jamaica Observer Poll (Near Right Center of Page) </div></div> </div></div> </div></div>

[evanovitch]

Diaspora and Air J, urban farms, students, Haiti

Diaspora and Air J, urban farms, students, Haiti

Franklin Johnston


Friday, February 05, 2010


The diaspora has good people who decided to live, work and contribute abroad - not in their birthland. We rejoice that they &quot;made it&quot; but they must not burden us with duty waivers, conferences or be self-serving dictators in our lives. They can serve their birthland by using their leverage to get Cabinet to do things to benefit poor people, as locals are often ignored. The diaspora must not pursue their own agenda, ego trips or empowerment, but the agendas of us natives who suffer without respite. Their views on our Commonwealth, dual citizens' vote and Senate seats are poorly researched. Their homelands are the US, UK and Canada and we expect them to use the First-World tools, methods - a Stone poll to check the views of locals then an expert study on the issues - as done abroad. But they &quot;shoot from the lip&quot; just like &quot;quashie&quot; who never saw May Pen clock. When Harold Macmillan went to negotiate UK entry to the Common Market, President De Gaulle made two demands - they must end special relations with the US and abandon the Commonwealth - and he refused. Principled!

As a Jamaican, I voted in Canada and the UK and was asked to run for elected office, all based on Commonwealth status. We don't have this privilege in the US. Our athletes work in Europe under the Commonwealth banner as do our peacekeeping forces abroad. This brand has meaning. Their take on Air Jamaica is unworthy of people who live and work in cutting-edge nations. Do their analyses show that the airline's 40-year losses could have eradicated poverty here? Do they take expert advice which abound in their homelands? If they want to help the Jamaica Airline Pilots’ Association, they must join in a consortium, match the Trinidad and Tobago bid and with the local know-how they will win. Anything less is “ginnalship” hiding behind our flag. To be useful, the diaspora must address our priorities, not their jobs and concessions. We suffer victimisation and die. They live abroad beyond the reach of “evil powers” and they must be our voice to Cabinet or butt out! Here are priorities they should put before the Cabinet:


*Party reform, to recruit the brightest and best people as prospective MPs.


GOLDING... the diaspora must see that he does what he can do.
GOLDING... the diaspora must see that he does what he can do. 1/1

*End political victimisation and delink benefits and jobs from party. Your birthland should vote, live and work as freely as you do in your comfy homeland. Agree?

*Ask Cabinet for targets for economic growth and poverty reduction and monitor them.

*Curbing crime and violence is job one, so we can live, settle down and build the country.

Mr Golding has the power to do the first three items by himself and the diaspora must see that he does so. Be warned: <span style="font-weight: bold">to jockey for a senator's post can divide the diaspora and damage your reputation in your birthland</span>. Be careful what you wish for!





<span style="font-style: italic">Dr Franklin Johnston is an international project manager with Teape-Johnston Consultants, currently on assignment in the UK</span>.

[email protected]

[X]

Re: Diaspora and Air J, urban farms, students, Haiti

ok.. who owns JPS? (yeh wi &quot;light n power company&quot

[RichD]

Re: Diaspora and Air J, urban farms, students, Haiti

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: xKs</div><div class="ubbcode-body">ok.. who owns JPS? (yeh wi &quot;light n power company&quot </div></div>well the amrican did own it...den dem sell it to the japanese...who sell off part of it to Abu Dhabi..all di while dem have profit guarantee given by the gov

[X]

Re: Diaspora and Air J, urban farms, students, Haiti

<div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: RichD</div><div class="ubbcode-body"><div class="ubbcode-block"><div class="ubbcode-header">Originally Posted By: xKs</div><div class="ubbcode-body">ok.. who owns JPS? (yeh wi &quot;light n power company&quot </div></div>well the amrican did own it...den dem sell it to the japanese...who sell off part of it to Abu Dhabi..all di while dem have profit guarantee given by the gov </div></div>

ok suh the company that provides energy to the island is ownd by people from the middle east, yet there was no outcry when the most essential utilty was being by a fariners..

[RichD]

Re: Diaspora and Air J, urban farms, students, Haiti

i cant reacall what the outcry was at the time (2001)

[X]

Re: Diaspora and Air J, urban farms, students, Haiti

Ok.. since it seems most people emotionally blinded by this, meck mi meck a suggestion.

Obviously the fear is that TT will dissolve the company and keep the planes /routes.
Good.

Since we have the &quot;money&quot; to buy it, INSTEAD of buying a entity that is indebted, why not sell the planes, but keep the name and the designs.

Why not sell the planes and the &quot;business&quot; (and the large debt) to Trinidad, then use the resources that have been mobilized (well I'd hope all this chat from the dispora and the pilots not just been mouth talk) to create a new lean mean Air Jamaica airline???

Why cant the dispora suggest to Bruce that he construct a deal that sells Trinidad the &quot;debt&quot; but keep the prize? (The name, the designs, etc)
The name, the designs, some of the routes and what ever else needed and can be kept to keep the uniqueness.
Create a new entity, partner that new entity with a phylontropis, / investor/ money bags and recreate a airline that is debt free, lean and once again a pride of Jamaica.
A new entity that will soar..

People just need to think creative... &quot;Selling&quot; Trinidad the debt may just be a way to sock it to (what is seems many feel is ) &quot;the evil Trinis &quot;

[RichD]

Re: Diaspora and Air J, urban farms, students, Haiti

my issue is they keeping the debt