IntenseDebate - Policyholders

12 years ago @ http://trinidadexpress... - Bourse to host seminar... · 0 replies · +1 points

The CLICO POLICYHOLDERS GROUP will be hosting our seminar entitled the “CLICO Investment Fund explained - What the others would not tell you" on SUNDAY 25th NOVEMBER 2012 at 10.00 a.m. at Capital (formerly Crowne) Plaza Hotel, Wrightson Road, Port of Spain.

N.B. Limited seating is available. Kindly e-mail us at clico.policyholders@gmail.com or call 642-2023, 622-8624 to make reservations.

It's A MUST ATTEND EVENT! See press for further details.

13 years ago @ http://trinidadexpress... - Policyholders must sho... · 0 replies · +17 points

We caution however, that the only way to truly ensure a fair market price for policyholders, regardless of the size of your bond holdings, is to leverage the Group’s combined numerical strength and the value of our collective bond holdings. In other words [the larger the Group] = [the larger our collective bond holdings] = [the easier it will be to negotiate a better price on your behalf].

Accordingly, the CPG is advising policyholders who have decided to accept the offer that once you have submitted your application forms and received your allotment letters, please do NOT to sell your bonds before contacting us at 622-8624 or clico.policyholders@gmail.com Please also note that the CPG will be convening a meeting in the not too distant future to update policyholders on this strategy going forward.

Clico Policyholders Group

13 years ago @ http://trinidadexpress... - Policyholders must sho... · 0 replies · +17 points

The CPG views this as encouraging since we are advised that $0.80 should only be considered a base price or a guide for determining a fair market price for these bonds, particularly when one takes into account the current Central Bank bond yield curve, the extremely low interest rate environment and huge excess liquidity overhang in the system. In this regard, we are reminded of a recent media interview with Scotiabank's MD, Richard Young when he opined “…it is a challenge for banks right now…a lot of money was under-utilized- around $4 billion available for lending, but there was a lack of loan demand. We have tonnes of money sitting there unutilized. You can utilize it two ways – either in investments, and there is a lack of investments, or you can lend for loans …”

13 years ago @ http://trinidadexpress... - Policyholders must sho... · 0 replies · +17 points

With regard to the bonds from years1-10, the MoF has estimated that these bonds will be worth approximately 80 percent of the value or 80 cents on the dollar, if a person chooses to cash them in all at once. Interestingly, since the announcement of the payout ANSA Merchant Bank, RBC Royal Bank, Scotiabank and state-owned First Citizen Bank (FCB) have already signaled their interest in the bonds via paid newspaper advertisements. It is noteworthy that FCB has gone one step ahead of the others by including in its advertisement that “bonds will be cashed at the average price of $0.80 for years 1-10.”

13 years ago @ http://trinidadexpress... - Policyholders must sho... · 0 replies · +17 points

For persons who decide to accept the offer, each policyholder will be paid an initial amount of TT$75,000 per policy and the balance in 20 one-year zero coupon (interest) bonds of maturities ranging from 1–20 years. For example: a person with a policy of $475,000 he/she will be paid an initial $75,000 and the balance in 20 zero coupon bonds each valued at $20,000. Bonds with maturities from 11-20 years may be exchanged dollar for dollar within the next year, for units/shares in an entity called NEL 2. According to the Ministry of Finance this investment vehicle will have as its primary assets CLICO’s shareholdings in Republic Bank Limited.

We have already placed on record our concern and disappointment that the Government has not seen it fit to issue a NEL 2 prospectus to policyholders. Nonetheless, the CPG is at this time, advising policyholders to hold their 11-20 year bonds at least until the NEL 2 option becomes available within the next year, so that a proper assessment could be made and the appropriate guidance given.

13 years ago @ http://trinidadexpress... - Policyholders must sho... · 0 replies · +17 points

Dear Policyholders:

Yes, the payout of Government’s revised offer to CLICO EFPA policyholders has begun and from the onset, the Clico Policyholders Group (CPG) wishes to make it clear that we do not propose to tell policyholders whether to accept the offer or not, as we are persuaded that given what is at stake here this decision should only be made by each individual after carefully taking in to account his/her own unique set of financial and other circumstances at this time. However, whichever way you decide we are here to support and give you guidance. It should be noted that June 30, 2012 is the closing date for applications.

13 years ago @ http://trinidadexpress... - Permell hopes CLICO en... · 0 replies · +7 points

4) Clico’s unquoted investments were given a value of $5.6 billion. This includes a value of $4.4 billion that was assigned to Clico’s 56.5 per cent stake in Methanol Holdings (Trinidad), a value of $381 million placed on Clico’s 43 per cent stake in Home Construction Ltd, a value of $407 million placed on Clico’s 42 per cent stake in CL World Brands and a value of $256 million placed on Clico’s 55 per cent stake in Methanol Holdings (International). These valuations assume no impairment but are expected to become much more valuable in 2012 when the company becomes debt free.

Mr. Dookeran therefore needs to come clear and come clean otherwise this issue might come back to haunt him just like the recent revelations in scandalous appointment of the the unqualified Reshmi Usha Ramnarine as SIA Director. Just a word to the wise.

13 years ago @ http://trinidadexpress... - Permell hopes CLICO en... · 0 replies · +6 points

2) Of Clico’s total liabilities of $22.7 billion, the amount due to the holders of resident short-term investment products (EFPA’s) and the 225,000 traditional Clico insurance policies is $11 billion and $6 billion respectively totaling $17 billion. However, if the non-resident holders of the short-term investment products are also included this figure increases to $18.4 billion. This is partially covered by the $12.2 billion of assets in the statutory fund. This leaves a short fall or deficit of the $6.2 billion in the statutory fund.

3) A $4.5 billion market value as at February 12 on Clico’s publicly listed equity portfolio. This includes Clico’s 32.3 per cent stake in Republic Bank, which was then worth $3.8 billion, its 32 per cent stake in Angostura worth $462 million and its 23 per cent stake in One Caribbean Media, the holding company for the Trinidad Express and TV-6, worth $268 million;

Cont'd...

13 years ago @ http://trinidadexpress... - Permell hopes CLICO en... · 0 replies · +7 points

For the benefit of the public, the Credit Suisse/Milliman Report is a 68-page document prepared by a consortium of Credit Suisse and a US firm of actuarial consultants called Milliman who were chosen in December 2009 by Clico, with the approval of the Central Bank, from among five bidders to undertake a financial restructuring study of Clico and British American. The 11-member team delivered its report on March 2, 2010, and included former PNM Finance Minister, Wendell Mottley, now advisor to the current PP Minister of Finance, Winston Dookeran as one of three project leaders. The report reveals inter alia the following:

1) As at the time of its preparation, February, 2010, Clico’s pro-forma assets were equal to $20.4 billion. This includes the $3.1 billion in Government bonds disbursed to the company in February. The company’s liabilities were equal to $22.7 billion, leading to a balance sheet deficit of $2.3 billion. The deficit of $2.3 billion estimated by Credit Suisse/Milliman contrasts sharply with the Minister of Finance statement during his Budget presentation in Parliament that Clico’s assets were $16.5 billion and its liabilities were $24 billion, leaving a gap of $7.5 billion.

Cont'd...

13 years ago @ http://trinidadexpress... - CLICO group: Where is ... · 0 replies · +6 points

Editorial Cont'd.

Whatever the case, this mode of conduct cannot continue. The Central Bank’s Financial Stability Report, released this week, notes an “overall climate of uncertainty regarding business and employment prospects.” Such uncertainty will persist so long as the Government continues to be stingy, or dodgy, with information about the economy and about its policies and plans. Bad news is better than no news, since data and definite policy allow planning by the private sector, both individual and corporate.
Finance Minister Dookeran needs to communicate more, and more regularly, and more accurately, on the dimensions of the T&T economic predicament.

The End.

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