Can B.S.C.F.A. find the cash for B.S.I.?

Alfredo Ortega

According to Ortega, now that B.S.I. has a one year extension, there is less pressure to accept the Banco Atlantida proposal, which means that the B.S.C.F.A. and the other interested investors have more time to put financing together. But Ortega maintains that the association still has not been provided with the documents from B.S.I. that are needed to complete their buyout package.

Alfredo Ortega, Chairman, Committee of Management, B.S.C.F.A.

“The prime minister yesterday said that Banco Atlantida is not the only one at this point. There are five, according to them, there are five different groups including us at the B.S.C.F.A.  But one of the things is that we, as the B.S.C.F.A., and myself I’m acting based on the authority that was given to the committee of management by the two different general meetings that were held. In that relation, we have been seeking and we have presently at this point Sterling Group from Mexico that has found the American Funds, which has presently available for us forty-two point five million dollars that is awaiting so that this issue can go on. But when we had the last meeting with the prime minister, he said that it is not just the thirty million, it is now to an amount of sixty-five million because the syndicated group that has loaned for the BELCOGEN plant, that they would also want to pull the plug. That is where the issue comes that we need to develop our plan, we need the information from CIFI so that we can clearly understand what is the amount really that B.S.I. owes, to who they owe and what are the commitments they have, what agreements they have with these people so that we can develop this sound and clear plan so that we can go to these people that will loan this money to the cane farmers and know what size of loan were looking for, for the immediate, medium and long term investment within the mill.  What would happen if the B.S.C.F.A. is not given the opportunity to become majority shareholders? Then, if that is so what we are to do is to negotiate with whatever group being given the opportunity better terms and conditions for the farmers. We are not saying that we’re blocking the way for any group.”

As for the upcoming crop season, Ortega says that American Sugar, the corporation, which bought over Tate and Lyle, is expected to advance seven point five million dollars to B.S.I. so that they can start the crop and make the third payment to farmers.