BAHA MAR announced on Thursday morning that its 15 affiliated entities that commenced Chapter 11 cases before the United States Bankruptcy Court in Delaware on June 29 have filed their Plan of Reorganisation.
"The filing of the Chapter 11 plan is an important step in Baha Mar’s restructuring efforts," a statement from the stalled Cable Beach resort read. "The plan presents a viable framework for Baha Mar’s emergence from Chapter 11 and the expeditious resumption and completion of the construction of Baha Mar. Most notably, the plan provides that valid claims of Bahamian creditors and the Government of the Bahamas will be unaffected by the Chapter 11 and, upon implementation of the plan, would be paid in the ordinary course of business.
“Baha Mar’s priority is to complete the resort’s construction properly and open successfully as soon as possible. The plan is structured to enable Baha Mar to achieve this objective. Once completed, Baha Mar is projected to generate nearly 5,000 new jobs in The Bahamas and have an annual payroll in excess of $130 million, representing nearly 12 per cent of the GDP of The Bahamas.”
Full story and analysis in The Tribune tomorrow
Comments
MonkeeDoo 8 years, 7 months ago
Well, well, well. ! Perhaps we should have just let them get on with it, and maybe even supported them a little. Maybe our Sovereignty ( as in debt ) would have remained in tact.
Zags 8 years, 7 months ago
As I posted over a month ago:
There is a difference between being bankrupt/insolvent and filing for Chapter 11 Bankruptcy Protection. Bankruptcy protection simply means that a person, or an entity, is protected from its creditors while being given the time to restructure. For some unknown reason this difference seems to be lost on the majority of people here in The Bahamas… Did American Airlines, for example, stop flying after it filed for Chapter 11 Bankruptcy Protection?
If Baha Mar's Chapter 11 bid had not been refused, by now they would have been well on the way to completing the resort, and much closer to repaying their creditors.
A lot of time has been wasted because of The Bahamas government's [and its judiciary's] myopia.
MonkeeDoo 8 years, 7 months ago
And these people are in control of our destiny !!! Beyond scary !
BDN 8 years, 7 months ago
Stronger Bahamas campaign. Basically means stronger at teifing.
shortpants 8 years, 7 months ago
No we believe was easy .They got that right at the polls ,We believe and know for sure Bahamians was going to put them in power . Because most lousy ,lazy Bahamians like handouts .They don't like change ,road works were for the betterment of all ,trust me if the roads were still the way they were ,we would have had about two hundred murders or more .
MtlTrader 8 years, 7 months ago
Drama continues....the Bahamas government really dealt with this matter in a unprofessional manner, regardless of the emotions that were displayed....does not present itself as a nation displaying confidence and security for investors....Government actions are almost destroying its own economy for personal slights,,,,shameful
Wall Street Journal BAHA MAR By STEPHANIE GLEASON Aug. 27, 2015 2:26 p.m. ET The structure of the proposed plan swaps the ownership of Baha Mar for new financing, meaning whoever finances the project will end up owning the Bahamian resort, a key driver of the island nation’s economy. The plan also issues replacement debt to the resort’s current lender and unsecured creditors. So far, the project has been largely funded by China’s Export-Import Bank, which is already owed $2.4 billion. However, the new round of financing in Baha Mar’s proposal is theoretical at this point, with no lender or amount named in court documents. Baha Mar has estimated that it will require at least $300 million to complete the project.......... ....The company called the plan “a viable framework for Baha Mar’s emergence from chapter 11 and the expeditious resumption and completion of the construction of Baha Mar,” in a statement Thursday that also noted that any claims owed to the Bahamian government would be unharmed by the restructuring. Notably, the proposal pushes China Construction, a subsidiary of state-owned China State Engineering Corp., out of the project by rejecting the company’s contract and canceling its current $150 million equity stake.
Wideawake 8 years, 7 months ago
So Sarkis, once again, is the "Man with the Plan".
The Bahamas government meanwhile, languishes and drifts aimlessly, seemingly without a plan or an exit strategy, after initiating a poorly planned, ill-advised, "splapdash", procedurely flawed legal maneuvour, that stalled Baha Mar, left the future of 2,500 Baha Mar workers looking bleaker by the day, ruined the international credibility of The Bahamas, exposed the sordid underbelly of Baha Mar "deals within deals", and made this PLP government the laughing stock of the region!
MonkeeDoo 8 years, 7 months ago
As a now departed friend of mine used to say "What you 'spect" Surely it cannot get any worse than this ! / ?
MonkeeDoo 8 years, 7 months ago
The matter of the Government paying the Bahamian employees may end up being settled in the courts, but as far as I can tell the Bahamas Government MUST still pay for the Roadwork without deduction. As I for one do not want to pay any part of the staff payroll costs, I would suggest that some legal mind ( Fred Smith ) should sue the Cabinet Members collectively for recovery of this money. If they don't have to pay they'll do the same shit again tomorrow.
Well_mudda_take_sic 8 years, 7 months ago
Re-post: Until the FNM replaces Minnis with someone like Peter Turnquest, most Bahamians really can't blame Christie for not resigning in shame. The PLP will hands down win the next general election if Minnis remains the leader of the FNM. Minnis is nothing but a corrupt "all for me" politician who believes, in his small warped disingenuous and dishonest mind, that the laws of the land do not apply to him. Notice how you no longer hear him or any of the other FNM MPs speaking out loudly against the serious conflicts of interest that Christie and Maynard-Gibson have involving their immediate family members and Baha Mar. Minnis has not only permanently compromised himself as a result of his own blatant and illegally undisclosed conflict of interest involving the Public Hospital Authority, but he has also compromised all of the other sitting FNM MPs. Until Minnis is removed as leader of the FNM, no one in the opposition will have a leg to stand on when it comes to speaking out against or calling for a special commission of enquiry to investigate the many corrupt conflicts of interest that exist within our government from the parliamentarian level right on down! Bradley Roberts alone will see to that!!
Sign in to comment
Or login with:
OpenID