JULY 30, 2009
INTRODUCTION
AS IS THE CORPORATE CUSTOM,I BEGIN WITH THE “SUNSHINE ROLL OF HONOR” AS WE PRAY FOR THE SOULS OF THOSE GIANTS WHO WOULD HAVE CONTRIBUTED SO MIGHTLY TO THE STORY TO BE OUTLINED AS TRIBUTE IS PAID TO TODAY’S HONOREE- MR. A. BISMARK COAKLEY.

ABOUT FORTY YEARS AGO, BISMARK COAKLEY DECIDED THAT THE POLITICAL CHANGE INHERENT IN THE EVENTS OF JANUARY , 1967 WOULD BE OF LIMITED IMPACT IF THEY WERE NOT ACCOMPANIED BY SIGNIFICANT CHANGE IN THE ECONOMIC CLIMATE WHICH EXISTED AT THE TIME.

FROM INTERACTION WITH A NUMBER OF HIS PEERS, BISMARK CAME TO REALIZE THAT HE WAS NOT ALONE IN THIS VIEW AND THEREFORE JOINED A GROUP, WHICH THE MEDIA QUICKLY CHARACTERIZED AS THE SUNSHINE BOYS.
 
NOT LONG AFTER BISMARK ACCEPTED THE INVITATION OF HIS COLLEAGUES TO ALSO SERVE AS AN EXECUTIVE DIRECTOR – THE SOLE ONE AT THE TIME. THUS, NOT ONLY WAS HE AN INVESTOR LIKE EVERYONE ELSE WITHIN THE GROUP, BUT IN THIS ADDITIONAL ROLE HE ASSUMED PRIMARY RESPONSIBILITY FOR THE EFFECTIVE EXECUTION OF THE PLANS AND STRATEGIES OF THE GROUP.

TODAY, WE CELEBRATE SUCCESS, BASED ON THE PREMISE THAT SUCCESS HAS THREE KEY ELEMENTS:

THE ESTABLISHMENT OF A GOAL
THE DILIGENT PURSUIT OF THE GOAL
THE PRODUCTION OF RESULTS WHICH, AT LEAST, MEET
THE ORIGINAL GOAL.

THE GOAL WAS:  “TO PROVE THAT BAHAMIANS OF HUMBLE ORIGINS COULD COOPERATE TO OWN AND MANAGE BIG BUSINESSES.”

IT IS SIGNIFICANT THAT THE GOAL WAS ESTABLISHED BEFORE POLITICAL INDEPENDENCE, A FULL GENERATION BEFORE THE ADVENT OF A STOCK EXCHANGE AND WHEN CONCEPTS LIKE “PRIVATE PLACEMENT” REPRESENTED MORE THAN A FOREIGN LANGUAGE BECAUSE, AT LEAST, AT THE TIME, THERE WERE LOCAL SCHOOLS TEACHING FOREIGN LANGUAGES BUT AS FAR AS IS WIDELY KNOWN NONE WERE TEACHING HIGH FINANCE.
 
THE INITIATIVE ALSO CAME WITHIN THE CONTEXT OF COUNTLESS STORIES ABOUT WHAT SOME CALLED THE DISEASE OF ‘CRABITIS” –A CHRONIC INABILITY FOR PERSONS OF HUMBLE ORIGINS TO GET TOGETHER AND REMAIN TOGETHER IF MONEY WAS INVOLVED.

THESE REALITIES, COMBINED WITH THE LACK OF A SUPPORTIVE PUBLIC POLICY, RESULTED IN A CLIMATE WHERE:

RELATIVELY FEW LARGE BUSINESSES WERE BEING MANAGED BY BAHAMIANS EXCEPT FOR THOSE CONNECTED TO POLITICALLY POWERFUL FAMILIES, VERY FEW OF THE BUSINESSES, WHICH WERE MANAGED BY BAHAMIANS, WERE ALSO OWNED BY BAHAMIANS.

ONE NOTABLE EXCEPTION WAS THE PEOPLE’S PENNY SAVINGS BANK LIMITED.  BISMARK AND HIS COLLEAGUES WOULD HAVE DEEPLY ADMIRED THE COURAGE AND VISION OF THE TWENTY MEN WHO FOUNDED THAT BANK, AND CONSEQUENTLY, THE NEW CHALLENGE WAS SEEN AS A SORT OF GENERATIONAL ADVANCE OF THE EXACT SPIRIT WHICH WOULD HAVE GIVEN RISE TO THAT BANK. THUS, FOR EXAMPLE, SIR CLEMENT MAYNARD AND LEROY PEMMY HANNA WERE FOUNDERS OF THE PENNY BANK AND THEIR SON AND SON –IN –LAW, JULIAN MAYNARD AND GEORGE BETHEL RESPECTIVELY WERE FOUNDERS OF THE SUNSHINE BOYS.

THE OVERALL GOAL OF PROVING THAT PERSONS OF HUMBLE ORIGINS COULD COOPERATE TO OWN AND MANAGE BIG BUSINESSES HAD THREE SUB-GOALS:
THE NEED FOR STABILITY;
THE NEED FOR GROWTH;
THE NEED TO DO IT FOR A LONG ENOUGH PERIOD TO MAKE THE POINT SELF EVIDENT AND TO EFFECT GENERATIONAL CHANGE.
 BISMARK AND HIS COLLEAGUES APPRECIATED THAT THE PURSUIT OF THE GOAL WOULD BE AIDED BY A CONCENSUS ON CORE VALUES AND CLEAR STARATEGIES.

THE CORE VALUES BECAME:
INVESTING IN DIVERSE ENTERPRISES IN SECTORS WHICH ARE IMPORTANT TO THE WELL BEING OF THE BAHAMAS.
EARN AND MAINTAIN THE RESPECT OF BUSINESS PARTNERS AS BEING RELIABLE AND THE CONFIDENCE OF CREDITORS AS BEING TRUSTWORTHY.
MAKING MEANINGFUL CONTRIBUTIONS TO THE COMMON GOOD OF ALL BAHAMIANS.
INVESTING IN THE TRAINING OF COMPETENT EMPLOYEES AND RELEVANT TECHNOLOGIES TO ENSURE THE DELIVERY WITH EXCELLENCE OF ALL OF OUR PRODUCTS AND SERVICES.
INCREASING OUR SHAREHOLDER’S VALUE BY BEING SUSTAINABLY PROFITABLE.

THE STRATEGIC PILLARS BECAME:

NOTE THAT “GETTING RICH QUICK” WAS NEITHER A VALUE NOR A STRATEGY. NOTE ALSO THE CONCENTRATION ON NATIONAL PROGRESS—A SENSE OF PATRIOTISM REALLY. FOR BISMARK AND HIS COLLEAGUES THIS INITIATIVE WAS NEVER ABOUT ‘ALL FOR US”. THUS , FOR EXAMPLE, THE CORE VALUE WHICH  SPEAKS TO “INCREASING SHAREHOLDERS VALUE”  LED DIRECTLY TO A STRATEGY TO RETAIN EARNINGS RATHER THAN PAYING OUT HEFTY DIVIDENDS OR FACILITATING LARGE LOANS TO DIRECTORS. THIS COMMITMENT TO INCREASING LEVELS OF EARNINGS RETAINED, WOULD HELP TO SUPPORT MORE AND MORE GROWTH,-- OF JOBS AND OPPORTUNITIES.

THE PROCESS OF CRYSTALIZING ALL OF THESE VALUES AND STRATEGIES WAS ITSELF AN INTELLECTUALLY STIMULATING PURSUIT, MADE MORE PLEASURABLE BECAUSE WE WERE FRIENDS AND WE ENJOYED BEING TOGETHER. THUS FOR EXAMPLE, BOARD MEETINGS WERE A HEALTHY MIX OF BUSINESS AND SOCIAL. BISMARK HAS ALWAYS BEEN A GRACIOUS HOST SO FOOD AND DRINK WAS ASSURED. A BIT OF NOSTAGLIA FROM THE EARLY DAYS --- TYPICALLY THE FOOD WAS SANDWICHES, CHOICE OF TUNA OR CORNBEEF, AND SWITCHER, ALL MADE BY THE OFFICE STAFF.

AS BISMARK DEMITS FROM THIS ROLE AS AN EXECUTIVE DIRECTOR, LET’S LOOK AT THE THIRD ASPECT OF THE SUCCESS MATRIX – THAT BEING A BRIEF REVIEW OF THE RESULTS OF THE OVERALL EFFORT.  THE REVIEW MUST RECOGNIZE THAT THE SUCCESS OF BISMARK’S INDIVIDUAL GOAL IS INEXTRICABLY LINKED TO THE RESULTS OF THE GROUP’S OVERALL EFFORT.

THE GROUP’S FIRST BUSINESS VENTURE WAS THE CARMICHAEL DRIVE IN THEATRE.TODAY, WHILE SUNSHINE HOLDINGS GROUP REMAINS A PRIVATELY HELD ENTITY, IT HAS MORE ORDINARY SHAREHOLDERS EQUITY THAT ALL BUT A VERY FEW OF ALL COMPANIES LISTED ON BISX.

THE CORPORATE INVESTMENT PROFILE IS AS FOLLOWS.

THIS REFLECTS THE INITIAL CONCEPT OF DIVERSIFICATION – CREATING DIFFERENT REVENUE STREAMS.

EACH STREAM RESTS ON A STRONG FOUNDATION. IN THE INTEREST OF TIME,I WILL ILLUSTRATE THIS BY REFERENCE TO JUST ONE OF THE SUBSIDIARY COMPANIES

• HAS DEVELOPED MORE HOMES THAN ANY OTHER COMPANY IN THE HISTORY OF THE COUNTRY.
• ALONE OR IN CONCERT WITH PARTNERS, THE SUNSHINE GROUP  HAS PIONEERED CONCEPTS WHICH HAVE BEEN VITAL TO THE  SPREAD OF THE BENEFITS OF HOME OWNERSHIP THROUGHOUT THE COUNTRY.  FOR EXAMPLE, THE IDEA OF REDUCING THE CASH DOWN PAYMENT TO 5% RESULTED FROM THE COLLABORATION OF  FINCO,  ROYAL STAR ASSURANCE AND THE SUNSHINE  GROUP.   IN CONCERT WITH SCOTIABANK, SUNSHINE  GROUP LED IN  THE ABANDONMENT OF WHAT THE MORTGAGE INDUSTRY KNEW AS “THE 30/40 RULE”, SO THAT A FAR LARGER NUMBER OF BORROWERS COULD QUALIFY.

TO COMPLETE THE REVIEW OF RESULTS IN COMPARISON TO THE ORIGINAL EXPECTATIONS LETS TURN BRIEFLY TO THE MATTER OF STAYING TOGETHER LONG ENOUGH TO EFFECT GENERATIONAL CHANGE.

WITHIN THE GROUP TODAY THERE ARE TEN POSITIONS WHICH CARRY A LEADERSHIP ROLE AS PRESIDENT OF A SUBSIDIARY, MANAGING DIRECTOR OF AN AFFILIATE OR KEY SUPPORT FROM THE CORPORATE LEVEL. EACH OCCUPANT OF EACH OF THESE OFFICES HAS AN ACADEMIC GROUNDING TO THE MASTERS DEGREE LEVEL OR AN APPROPRIATE PROFESSIONAL CERTIFICATION.THE AVERAGE AGE OF THESE TEN PERSONS IS WELL BELOW 50. ONLY ONE OF THE TEN WAS IN THE WORK FORCE WHEN THE GROUP STARTED AND TWO WERE STILL IN ANGEL HEAVEN.THE AVERAGE TENURE OF THESE PERSONS WITH THE GROUP IS EXCESS OF TEN YEARS.IN SUMMARY, THEY ARE YOUNG,PREPARED,AND EXPERIENCED. THAT’S CHANGE WE CAN ALL BELIEVE IN.

THUS AS BISMARK RETIRES AS AN EXECUTIVE DIRECTOR, THE RECORD SUPPORTS THE CONCLUSION THAT THE ORIGINAL EXPECTATIONS OF STABILITY AND LONGEVITY HAVE BEEN MET AND THE ORIGINAL EXPECTATION ON GROWTH HAS BEEN EXCEEDED – IN SUMMARY, THE ORIGINAL GOAL HAS BEEN ACHIEVED.

THIS REALITY HAS MADE IT NECESSARY FOR THE GROUP TO UPDATE ITS MISSION – TO PURSUE EVEN BIGGER DREAMS. TODAY THAT MISSION IS TO BUILD ON THE LEGACY OF THE COMPANY’S FOUNDERS TO BE AND REMAIN A BLUE CHIP COMPANY FROM THE BAHAMAS.

BUT EVEN WITH THIS NEW MISSION, IT IS SIGNIFICANT THAT BISMARK AND HIS COLLEAGUES HAVE NOT ONLY CREATED THIS EXCEPTIONALLY STRONG FINANCIAL ENTITY BUT, HAVE CRAFTED A LEGACY WHICH GROUNDS A CORPORATE CULTURE WHERE, FOR EXAMPLE:

• THE GROUP SEEKS TO RECRUIT PERSONS WHOSE BACKGROUND SUGGEST THAT THEY CARE ABOUT OTHERS
• MANAGERS ARE ENCOURAGED TO MANAGE SO AS TO KEEP STAFF TURNOVER LOW,
• THE ENTIRE GROUP CAN BE JUDGED BY THE COMPANY IT KEEPS – FOR EXAMPLE, SUNSHINE INSURANCE BEING THE STRATEGIC PARTNER OF MARSH, THE WORLD’S NUMBER ONE INSURANCE BROKERAGE; COTTON BAY DEVELOPERS BEING AFFLIATED WITH STARWOOD HOTELS, THE WORLD’S PREMIER HOTEL MANAGEMENT GROUP, FOCOL BEING THE DISTRIBUTOR FOR SHELL; ONE OF THE BEST KNOWN CORPORATE BRANDS IN THE WORLD.

THE CEO OF DELOITTE IN THE UNITED STATES RECENTLY OFFERED THE VIEW THAT THERE ARE FOUR KEYS TO A SUCCESSFUL CAREER IN BUSINESS AND EACH IS INEXTRICABLY LINKED TO THE OTHERS:

• HAVE PASSION
• MAKE SMART CHOICES
• BE A PEOPLE PERSON
• BE ORIGINAL

SO TO BISMARK, I SPEAK ON BEHALF OF ALL STAKEHOLDERS ON WHOSE BEHALF, AS AN EXECUTIVE DIRECTOR OF A COMPANY STEEPED IN A RICH LEGACY, YOU HAVE WORKED LONG AND HARD. I CONCLUDE WITH THE SIMPLE JUDGEMENT -- “WELL DONE”.