Chairman’s Report: results at 31, December 1996
Dyoll has, like many other companies in Jamaica, been affected by the Government’s economic policies. Government must be commended on the dramatic reduction in inflation but the methods used to achieve this, together with other policy measures, has left the local financial sector in a weakened condition.
In 1996, a consolidated loss of $211,339,183.00 after tax was recorded. This represents a loss per share of $4.71. This compares to a profit of $70,699,579 after tax or $1.58 per share in 1995.
The major cause of the loss was continuing operating losses in Dyoll Life and a decision by the Board not to bring any further unearned income from real estate to account in Dyoll Life. Another contributor to the loss was as a result of the revaluation of the Jamaican dollar and arose in our general insurance companies’ operations in the Cayman Island and the Bahamas.
During the year under review, steps were taken to control expenses and rationalise the staffing and operations of all the companies in the group, with particular attention given to the group office and Dyoll Life Ltd. At the 31st December 1996, the group office was reduced from 27 members of staff to 11. Many of the functions performed by the Group have been transferred to the member companies.