Pan-Jam chalksup $293m in profits an-Jamaican Investment Trust posted a net profit $293.1 million for the financial year ended December 31, 2000, representing an increase of 51.6 per cent over 1999. The profit in 2000 was the highest ever. In its 2000 annual report, the group attributed its performance last year to their business strategy of acquisition and merger to deepen core areas of competence and drive cost efficiencies, as well as an equal determination to exit non-competitive business. Gross operating revenue was also at its highest in 2000, amounting to $3.521 billion. This represented an increase of 22 per cent over 1999. Group profit before tax increased by 47 per cent to $342.8 million compared with 1999, while profit attributable to stockholders was $208.1 million, an increase of 62 per cent over 1999. Earnings per share of $1.29, represented an increase from 81 cents in 1999. Group turnover from the insurance, property, and merchant banking business of Pan-Jamaican Investment Trust accounted for $2.148 billion or 61.4 per cent of gross income, while trading accounted for the remaining $1.375 billion compared to $1.275 billion in 1999. During 2000, Pan-Jamaican Investment Trust saw its balance sheet strengthened by $150 million, which came from the proceeds of a 10 per cent redeemable cumulative preference share offer at $14 a share, as well as from good operating performance, the company said. As a result, current assets as at December 31, 2000 stood at $582.9 million from $187 million in 1999, while shareholders' equity grew by $356.2 million to $1.669 billion. In 2000, Pan-Jamaican paid 16 per cent of its profit in dividends. This included dividends of 8.5 cents per stock unit authorised and a recommended final dividend of 12 cents per share less income tax, together totalling 20.5 cents per share on the company's ordinary shares of 10 cents each. In 2000, Pan-Jamaican anno-unced a dividend policy of a minimum of 10 per cent of net profits attributable to stockholders. Meanwhile, First Life Insu-rance Company reported Group after tax profit of $265.8 million, up 24.9 per cent on 1999. In addition, First Life paid capital distribution and interim dividend of $18 million, as well as a final dividend of $25.5 million. The resulting $222.33 million, which when added to unappropriated profits of $904.8 million from the previous year, less $15.48 million which has been transferred to the reserves account, leaves the company in the enviable position of carrying forward $1.111 billion of unappropriated profits. Earnings per share was $0.89 compared with $0.68 in 1999. Total income in 2000, increased by 29.85 per cent over 1999, to $2.092 billion. Insurance income increased by 32.5 per cent over 1999, to $1.622 billion, while property investment and management brought in $288.8 million from $245.1 million in 1999, and merchant banking $201.5 million from $139.6 million in 1999. Chairman of First Life, Ric-hard Byles said in the company's 2000 annual report that all major objectives had been achieved, including absorbing and preserving the employee benefits portfolios purchased from FINASC, deepening of their investment in banking, maintaining a high occupancy level in their commercial properties and providing shareholders with improved earnings. Mr. Byles attributed the performance of First Life to the contribution made by all main profit centres as has been the case since 1977. He said group insurance, individual life, pensions management, and subsidiaries, Caribbean Merchant Bank and Jamaica property company all made positive and improved contributions to the Group's operating profits. However, Trafalgar Develop-ment Bank (TDB), an associated company of First Life made substantial losses in the last quarter of 2000. As a result, First life consolidated $21.2 million in losses based on its 29 per cent shareholding in TDB. Pan-Jamaican Investment Trust is the majority shareholder of First Life Insurance Company with over 220 million shares. The remaining nine shareholders own the remaining 30, million shares.
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