The Liming House

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Several months ago, I bemoaned T&T’s “apparent lack of reporters who actually understand business, finance, law”.

The absence of sufficiently qualified finance and business reporters from the halls of T&T’s newsrooms is even more galling now, as the global financial crisis deepens.

And make no mistake, it is a crisis - one that few people in the Caribbean seem to have heard of, and even fewer to understand.

A recent post over at Media Watch provides a compelling example of this disconnect. In it, the author of the blog - “Martine” - is taken to task by a reader over her description of the recent declines in the US stock market as a “crash”.

Good. Because while American equity markets have gyrated wildly in recent weeks, and have fallen quite preciptiously from their historic highs, they have not crashed.

But Martine makes two additional errors in that post.

First, she refers to her recent posts on the “US stock market crisis.”

There is no US stock market crisis. There is a global financial crisis - every equity market in the world has been hurt by the fall-out from what started as a meltdown in the US housing market. And the problems are not confined to equities (stocks) - credit (debt) markets have also been seriously affected.

Second, and more serious still, is this statement:

We hope Curtis Rampersad of the Express will take to heart your point as well, since he also referred to the issue as a crash in his story on the AIG bailout in the Wednesday edition.

“There will be no immediate fallout but the crash in the US financial system and a global recession may inevitably affect investors and consumers in Trinidad and Tobago, a financial expert has suggested.”

Rarely do I defend Express reporters, but Mr Rampersad did no such thing.

Rather, Martine is wrongly conflating two entirely separate issues - events that may be reasonably be described as having caused a “crash in the US financial system” and a panic in the US stock market, which is only a small part of the whole.

Mr Rampersad’s article as a whole does a decent job of summarizing a complex topic, and I will comment on it here (my comments are in brackets):

Monday’s New York trading also saw the American International Group, the world’s largest insurer, scrambling to raise capital to stay afloat.9

(Good, but context.Why did it need capital? What happened to its billions of dollars in assets? Also no mention that AIG is the parent company of Algico)

Ramkissoon said during a telephone interview yesterday that this was not the first time large institutions failed in the world.

(True, but not since the Great Depression in the US have so many failed so swiftly, and back in 1929 the world was neither so complex nor so interconnected)

At times like this, he said it was useful to take a long-term view as it would not last forever. He noted that falling stock prices could actually benefit investors once the market had bottomed out.

(Statements like this piss me off. Why is it useful? How could investors benefit? When will the market ‘bottom’? What about the interim?)

With regard to the current financial meltdown, Ramkissoon said: “I see this as a correction phase and when you take the long view, there comes a time when you have to roll with the punches.”

(If by rolling with the punches he means, “be spectacularly bailed out by the US government”, sure. The man is clearly a Keynesian - in the long run, we are all dead and what not)

Local investors and depositors at local commercial banks should not be worried “right now” as their investments were safe because financial institutions here did not engage in some of the risky ventures Wall Street firms executed.

(Tricky. How does he know that? And take RBTT - recently bought out by Canada’s RBC - how does you know that RBC has not engaged in risky ventures? There’s no evidence to back up this statemen, and therefore no way to judge its veracity)

He said people’s money was safe but cautioned that the global economic situation would affect locals through recessionary problems.

(Again, really? What about people who have invested in the stock market, which is always a risk? What about people who have invested in funds linked to the performance of overseas stock markets? What, exactly, are “recessionary problems”?)

The fall in prices for commodities like crude oil, the rise in global food prices, plus the negative effects on travel and tourism could affect countries like T&T, he added.

American Chamber president Eugene Tiah was also concerned yesterday about the financial troubles in the US.

“Clearly now there is a complexity in terms of investments. Companies and countries invest in complex ways and one area of concern may be how they are linked” to companies in the US, he said in a telephone interview from his Phoenix Park Gas Processors office at Pt Lisas.

(Now that’s a good quote)

These subjects are not easy to write about, by any means. But they are far too important to get wrong.

Related posts

• T&T needs better reporters
• The T&T Guardian needs more than a cosmetic change
• Says who? (or, why bylines matter)

And no, I’m not talking about Armageddon as induced by the Large Hadron Collider or Sarah Palin becoming president of the United States of America.

I’m talking about the incredible series of events unfolding as I write this, events that have shaken Wall Street, the City of London and the global financial system to its very core.

Unless you’re intimately involved in finance (or regularly read the Financial Times or the Wall Street Journal), your knowledge of what’s been happening in the financial markets over the past year or so may be limited to certain mainstream media friendly buzzwords - “subprime crisis” “credit crunch” “possible US recession” “probable US recession” “dead certain US recession”. And so on, and so forth.

You might think - if you live in the Caribbean, for instance - that what’s happening “out there” might not affect you.

You would be completely wrong.

As I write this, Lehman Brothers is hurtling toward a bankruptcy filing and Merrill Lynch is in advanced merger discussions with Bank of America. AIG - one of the world’s largest insurers, and the parent company of T&T’s ALGICO - is finalising plans to sell assets in order to raise enough money to fend off a crisis of its own.

These names may mean nothing to you, but the significance of these events is inescapable. Wherever you are, whatever you’re doing, you will be affected by the billions of dollars of losses being incurred by the pillars of the world’s financial markets; by the reshaping of the global financial system; by the subsequent job losses; by the inevitable slowdown in global growth.

Thousands of people have already lost their jobs, and thousands more will wake up tomorrow to find that their jobs (and their companies) have ceased to exist.

And those numbers do not at all reflect the job losses across industries like airlines, tourism, manufacturing and construction.

Stop, think, (re)assess. Think more carefully about the way you spend, about whether your lifestyle would be sustainable if the bank decided to raise the interest rate on your credit cards or loans (because it will happen, and sooner than you think).

No one knows what’s going to happen next - not the people on Wall Street or in the City of London or in Hong Kong or Sydney or Tokyo; not the governments; not the the Central Banks; not the regulators; and certainly not the media (this reporter included).

But two things are certain: this will not be over quickly, and you will not enjoy this.

And I, for one, do not feel fine.

Related posts

• This is not the time to not know what you’re talking about
• T&T needs better reporters
• On being the change I wish to see (and freaking out about it)

(Pace India.Arie)

I started growing my locs five years ago. Since then, I’ve fielded a host of questions from friendsfamilyclassmatescolleaguesrandomstrangers, including but not limited to:

- Do you wash it?

- How do you wash it?

- Can I touch it?

- Does it itch?

- Is it real?

- Does it hurt?

- Don’t you miss your real hair?

- Are you a Rasta?

- Why did you do it?

This last question, now as then, is the hardest to answer. My responses have varied, depending on the questioner, the context of our relationship and how I felt that day. I lacked a substantive, definite, “because.” I didn’t have “the answer” that the questioner - and I - was looking for.

Then I read this response to a column by Steven “Freakanomics” Levitt on the economic disadvantages of “sounding black” and of having a “black” or “Asian” name:

But if you’re intelligent and hard working, shouldn’t your resume get you in the door no matter what name is at the top? No, you’re saying. The world doesn’t work like that. But couldn’t it be said that the more HR people who encounter intelligent, hardworking people with names like Shaniqua Keisha Jones, the more people will stop pre-judging people with names like Shaniqua Keisha Jones.

Ditto “sounding black,” having a southern accent or a clearly Asian name. Deleting these things could be construed as self-hate, denial or disingenuousness. Is it better to be sneaky, calculating and take a “by any means necessary” approach in the workforce? Is “sounding black” something people need to apologize for? Do the people who “sound black” need to “invest in” the ability to sound more white? How best to bust a stereotype? By playing into it? Or defying it?

My hair is about defying stereotypes. To plagiarize myself,

I’m a twenty-something overachieving chick with dreadlocks and a predilection for wearing Converse to work

So there it is. I am my hair. I am challenging, I am defiant, I do not apologize.

And the next time some Wall Street multimillionaire or Oxbridge-educated middle-aged perpetually entitled white British editor encounters a twenty-something <insertracehere> woman from the Caribbean, or someone with locs, he will pause.

He will pause because he will remember someone else who was more than the stereotype.

Someone who was more than just her hair, or her ancestry, or her age, or her gender, or her accent, or her taste in shoes.

Related posts

• Thoughts on the “Bill of Rights for Racially Mixed People”
• This old house
• On being the change I wish to see (and freaking out about it)

There are many, many things about Trinbagonian media in general, and our newspapers in particular, that make me want to pull my hair out.

I am continually bemused by our haphazard approach to errors and corrections, for instance.

But it is our apparent lack of reporters who actually understand business, finance, law and (the non bacchanalist aspects of) politics that is most worrying.

These are complex, multi-layered, specialist subjects, and to successfully cover them requires, in no particular order:

- Knowledge of/training in the subject areas, either academic or professional
- A commitment to keeping abreast of changes and developments in the field
- A significant amount of research and reporting, often on a daily basis
- A solid and informed network of sources and contacts

And even more so than in other areas of journalism, those charged with covering these beats must be able to explain often complicated concepts in a manner that can be grasped by non-specialists.

From my obsessive perusal of the major dailies, I’d say all of the above are lacking - or at least not evident.

There are exceptions: Camini Marajh of the Trinidad Express is an excellent business reporter.

Ms Marajh broke the story of RBC’s $2bn offer for RBTT, scooping the international news media who took days to catch up

Her coverage of the deal should be framed and used as a model by editors and reporters in other newsrooms:

In what is likely to be the biggest takeover deal in the Caribbean in recent times, Royal Bank of Canada (RBC) is getting ready to buy out local banking giant, RBTT, in an acquisition priced at well over US$2 billion.

Sources report that an acquisition agreement is close to sign off by the Peter July-led Board of RBTT Directors.

Perfect. She leads on the significance and size of the deal, and immediately backs it up with reference to her sources.

She continues:

The RBC offer is said to contain a mix of cash and stock in a buyout that sources say has already secured the approval of key shareholders, among them the National Insurance Board (NIB) which has a 22 per cent interest, Guardian Holdings Ltd, a 14 per cent stakeholder and business tycoons Arthur Lok Jack, Richard Azar and Imtiaz Ahamad, who are listed among the largest individual stakeholders.

A crucial bit of information, although she could have explained why this important: if RBTT’s major shareholders were opposed to the deal, it would be unlikely to succeed.

And while the Peter July board has refused to say anything more than the bank is having “strategic discussions with other parties”, the Sunday Express understands that RBC, the latest in a series of Canadian suitors to knock on RBTT’s door, is the favoured partner for a takeover deal.

Both have financial incentives to see the deal through, according to financial sources. RBC, Canada’s largest bank is flush with acquisition dollars, assets of Can$563 billion and a market capitalisation of Can$69 billion.

Wonderful. Wonderful. And it gets better:

It is also trailing behind rivals Bank of Nova Scotia and First Caribbean International Bank (FCIB),a subsidiary of Canadian bank, CIBC in its Caribbean operations.

RBTT, Trinidad’s largest bank with assets of US$7 billion, has stumbled in recent years on issues related to management, flat earnings and growth limitation.

The RBC offer, comprising 60 per cent cash and 40 per cent RBC stock, if approved by shareholders, would give RBTT stockholders a much-needed boost with an option of cash and RBC shares - Can$55.26 at the close of trade on the Toronto Stock Exchange on Friday.

These paragraphs establish why the deal would be beneficial to both parties, are neatly hedged (”if approved by shareholders”) and give relevant financial details.

Still to be worked out, however, is the price of RBC shares which are to be listed on the local Stock Exchange under the depository receipt system used on the Nasdaq and other major Exchanges where a specified number of shares of foreign companies are issued and traded.

Sources say the listing of a big international bank like RBC on the TT Stock Exchange would be a major coup for this country and could well catapult Trinidad centre stage and a step closer to the Prime Minister’s dream of making this country the financial capital of the Caribbean.

When I got to this point in the story, I was tempted to applaud. Ms Marajh clearly had spectacular sources on this one, because details like that are gold dust. She explained, clearly and concisely, the concept of depositary receipts and gave still more context on why the deal would be important for T&T.

Financial analysts say if 20 per cent of the cash or $TT1.6 billion from the RBTT sale goes back into the local market, it could help the recovery process of the stock market which has been in the doldrums in recent time.

Speculation of a takeover has seen RBTT stock climb from the start of September by $3 closing at the end of trade on Friday at $34.01.

GHL, a substantial shareholder in RBTT, has also benefitted from the market speculation, closing at $25 on Friday after starting September at $20.02.

This story had everything - the interested players, the context of the negotiations, and crucially for an acquisition story, all the important numbers given in context.

But this story was exceptional. Too often, our media fail to get the basics, the fundamentals right.

More on that soon.

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Trinidad’s internet elite have a new rallying cry: Save the Boissiere House.

There’s even a Facebook group and an online petition devoted to the cause, so you know they mean business.

Boissiere House, located at 12 Queen’s Park West in Port of Spain, is one of the last remnants of a dying breed: a beautiful piece of creole “gingerbread” architecture, characterised by intricate and elegant fretwork.

The house is being offered for sale - asking price US$10m - but as Nicholas Laughlin points out (via Newsday):

Any private buyer willing to pay that will almost certainly bulldoze it and build an office block or posh condominiums to recoup their investment.

He’s right, of course.

And since Boissiere House does not enjoy the status of a heritage site, said property developer would be immune from legal challenge.

And if this old house is destroyed, it would not be the first time art, architecture and history would have been sacrificed to progress, and not least in this country.

I am a big believer in conserving and celebrating Trinidad’s architectural heritage, and I’m not just referring to landmarks like Boissiere. Because all over Trinidad - from Aripita Avenue to Vistabella - beautiful old houses languish in disrepair, or are broken down in order to construct office blocks or social housing.

Land in this country is not yet so scarce as to make such destruction anything but wanton; and our contempt for our built enviornment reeks of nouveau riche incivility.

Architecture matters. Consider Jeremy Taylor’s recent post over at Notes from Port of Spain, in which he declaims the the “dirty concrete” of the Central Bank, and the “ramshackle dockfront.”

Says he:

The buildings are dramatically out of scale and out of style with the rest of the city, and they speak of money, power, and facelessness, a truly ominous combination. They say that someone in this mad little island aspires to make us like Miami or New York by building skyscrapers; someone has the wild idea that development can be represented by size.

And have you really looked at the architecture of these buildings? It is so bad, so impersonal and anonymous, that truly these buildings could be set down in any city in the world, and it really wouldn’t matter which. There is not a shred of Caribbean in them, not the faintest echo of Trinidadian-ness: no awareness of a tropical, almost equatorial climate, no thought of energy saving, no anxiety about the sea rising and spilling over the waterfront.

They are just big, blank, anonymous, unimaginative, uncreative. In a word, gross. Without taste, without elegance, without grace. Just big. Just expensive.

Exactly. As architect Rudlynne Roberts told Newsday:

The worth of [Boissiere] is in its architecture. Its method of construction, design and layout tells us how people lived during that time.

And more than that, the building is beautiful - unlike the unrelenting concrete monoliths local developers and government seem to equate with progress.

Nicholas Laughlin wants to “persuade the government that the Boissiere House is a crucial and irreplaceable part of our national heritage, that it must be bought by the state, restored, and put to appropriate public use.”

He also offers a list of practical suggestions, including:

- Tell people the Boissiere House is in danger.
- Forward this blog post to everyone you know who might be concerned.
- If you have a blog, write your own post there, or link to this.
- Write a letter to the editor.
- If you work in the media, try to get your newspaper or station to run a story.
- If you own a camera, stop by 12 Queen’s Park West, take some photos, post them online, or just forward them to friends.
- If you know someone in the Ministry of Culture, tell them you’re concerned and ask them to speak to their superior about saving the Boissiere House.
- Call Town and Country and urge them not to give planning permission for a new building on this site.
- Call the National Trust and ask what you can do to help.
- If you know a politician of any party on any level, tell them you’re concerned and ask them to talk to their party leadership.
- Read about the history of the house in Olga Mavrogordato’s book Voices in the Street, or John Newel Lewis’s book Ajoupa, and share this with others.
- Come to the event we’re planning at Alice Yard next week Friday to discuss why this and other historic buildings are worth preserving.
- Email me (my address is in the sidebar to the right) and tell me you’d like to be on a mailing list to hear about further efforts. A website is on its way, also an online petition.
- If you know a member of the Boissiere family that owns the house, ask them to consider putting a no-demolition clause in the sale contract, or to negotiate with the government to arrive at a reasonable sale price that might make it easier to save the building.
- And if you are a multi-millionaire property developer, consider doing something truly enlightened: buy the house, pay to have it restored, put it to some use that will not damage its fabric.
- Finally: ask yourself if you’d be willing to stand in the hot sun with a placard, if it comes to that.

It may well come to that.

Related posts

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• For shame

When I first left home, six years ago, I was resolved not to come back.

Why should I? Trinidad, I declared, held nothing but bacchanal and botheration.

I felt stifled there, and bored. I didn’t fit in. I needed to leave.

So I left, and like so many other West Indians abroad, discovered that I didn’t quite fit in anywhere else either.

But at least here - France, the UK, the US - I was challenged and stimulated and free.

And now I’m going back.

Because I’ve spent the past half a decade evangelizing about the need for Caribbean nationals to return to our home countries and give back to the islands that so desperately need our talent, intelligence and experience.

Because I don’t want to be one of those outraged expats who opines on everything and changes nothing.

Because I’m tired of the cold.

Because my love is there.

But I’m terrified.

Because my work, which I utterly adore, is here. Because here I have achieved, and scaled heights otherwise impossible to conceive.

Because my life, for the past six years, has been here.

And because I’m not sure I can change anything, really. And I’ll probably feel stifled there, and bored.

Because, as Miss Melanie Johncilla wrote in a letter to the editor (via Jumbie’s Watch), of “the complacency of a society, the sheer acceptance that comes along with ‘the Trini way.’”

We sit as a people and just accept. We accept poor customer service because “that’s what you go get in this country.” We accept spates of violence, we accept fear, we accept pedantic “medical researchers” who prolong petty spats for the sheer sake of it.

We accept domestic violence, we accept sexism, we accept old white man a the father, we accept our position as developing and we accept inferiority.

We are a nation of lazy acceptors. If the waitress is talking on her cellphone while serving me, “that’s just how things are in this country; we not in America, you know.”

But kick up a fuss and try to educate and move this beloved Trinidad forward—I dare you. Because all you get in response is: “Oh gosh, relax nah lady. We in Trinidad. Calm yuhself. That’s how things does be.”

And yes, those are some of the factors that pushed me to leave. Those “narrow minds” that continue to insist that we “are not old enough, not old-school enough, and not ‘Trini’ enough.”

Isn’t that an irony? They feel they cannot affect change as they would want to because “it’s Trinidad, nepotism rules, is who you know and what hue you have.”

And that attitude is pervasive, and pernicious. The TrinBago Blog also reproduced this letter, which prompted “ponnoxx” to retort:

Trinidad and Tobago’s laid back mentality is that which makes us unique. However, I must admit that there are departments which need to be tightened such as healthcare but our society is what others aspire to reach. Trinbago’s society heads towards happiness and not towrds efficiency like the US. It is not necessarily a bad thing. The reason why we are experiencing so much crime is (assumingly) as a direct result of deportation. Criminals who are seasoned in a more rigid efficient society. They literally brought back more efficient criminals into our society. Brain Drain for us and they have a Criminal drain straight in our frontyard. I Love my country just how is.

Sigh.

It’s the same for Jamaicans abroad, according to a young lady who wrote to the Jamaica Gleaner (via Francis Wade’s blog):

During my studies overseas, I also encouraged my fellow Jamaicans, who were in various graduate fields all over the United States, to return home after completing their studies, as their skills would be very beneficial to Jamaica’s development.

This was done in an effort to help secure Jamaica’s future, as I am very passionate about my country and its success, and I am hoping to become intimately involved in the future of Jamaica.

They, however, expressed that they had no desire to return home with the escalation of crime and violence and economic turmoil. They also strongly believe that with their educational background, Jamaica would not be able to offer them suitable jobs and compensation.

So, when are we going to do something about this increasing epidemic of our educated Jamaican people who have no desire to return home because of this lack of jobs and compensation? When are statements such as, “You are overqualified for the position”, going to be obsolete? Are we forever to remain in the shadows of developed countries and continuously lose our educated and skilled people to them?

I have very high hopes and dreams for Jamaica, but how can I be of assistance if I am not given the opportunity to do so? How can I effectively convince my fellow educated and qualified Jamaicans to return home and help to develop our home if I cannot even get job interviews?

Yes. Yes. Exactly.

But I’m going back, and taking it one baby step at a time.

We’ll see how it goes.

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It started with a phone call.

“Yuh hear about the terrorists? Some Trinidadians and a Guyanese wanted to blow up JFK.”

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