General — 25 February 2014 — by Adele Ramos

BBL books GOB for $42 mil for Universal Health Services debt

BCB Holdings Limited (BCBHL), the parent company of the Belize Bank – the largest, full-service commercial and retail banking operation, today reported a net loss from operations of US$4.8 million for the nine months ended December 31, 2013, contrasting with net income of US$4.7 million for the same period of 2012.

Consequently, the company reported a net loss per ordinary share of US$0.05, contrasting with net income of US$0.05 per share in 2012.

BCBHL also reported a net loss from operations of US$2.7 million for the three months ended December 31, 2013, while it reported US$2.1 million net income for the same time in 2012.

This has meant a loss of US$0.03 per ordinary share for the last three months. For the last three months of 2012, BCB Holdings reported net income per share of US$0.02.

In perusing the financial details, Amandala observed that Government of Belize securities held with the Belize Bank were upped from US$31 million to US$33.5 million.

Furthermore, the financial statement claims a receivable from Government of Belize of US$20.9 million, which the company says is linked to a 2007 loan note arbitration award by the London Court of International Arbitration (LCIA).

The company explains in its 2013 annual report that: “On March 23, 2007, a loan note was issued to BBL by GOB under the terms of a settlement deed entered into by BBL and GOB on the same date (‘2007 Loan Note’). The 2007 Loan Note had been rendered by the GOB in order to satisfy the GOB’s liability under a 2004 guarantee for debts and liabilities owed to BBL by Universal Health Services Company Limited [now Belize Healthcare Partners].”

It added that, “On January 16, 2013, a LCIA tribunal issued a Final Award in the 2007 Arbitration in favor of BBL. It declared that the 2007 Loan Note was valid and binding and ordered the GOB to pay BBL the sum of US$18.4 million plus interest and costs.”

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