Jul 2012 Financial News

Disappointing financial performance continues for Almond Resort Incorporated

Jul 09, 2012

THE disappointing financial results of the Almond Resort Incorporated (ARI) have continued.

The results for the half year to March 31, 2012, show ARI which sold one of its properties recently, incurring net losses of $15.5 million, compared to $2.7 million for the same period ended March 2011.

This is in spite of the fact that revenue was higher in the review period to March this year than that to March last year. ARI posted revenue of $33.8 million up from $32.0 million.

These results came at the same time ARI officials are saying that the final outcome of the divestment decisions and the settlement of payables to suppliers and receivables from Tour operators will also impact on the net equity position for eventual distributions to shareholders.

Chairman Arthur Lok Jack and his Deputy Gervase Warner, said the ARI results for the six months to March 2012, reflect the continued deterioration in the financial performance of the company.

“The closure of Almond Beach Village generated the most significant entry in the financial statements,” they said in a report reviewing the group’s financial performance.

The two officials stated that a Business Closure provision of $12.5 million respresenting redundancy costs, contract penalties and working capital impairment was booked in both the Income Statement and the Balance Sheet. They noted as well that the cost associated with the closure of Almond Beach Village will be incurred in the second half of the financial year and that a provision for these changes was made in March 2012.


Source:
Barbados Advocate
Monday July 9, 2012

http://www.barbadosadvocate.com/newsitem.asp?more=business&NewsID=25786