On 3rd July 1924 Clarence Birdseye founded “the General Seafood Company” later to become “Birdseye Frozen Foods”.

As a young scientist working in the Arctic on behalf of the US Government Clarence Birdseye wasn’t surprised to note that freshly caught fish placed on the ice and exposed to the wind, immediately froze solid. What did surprise him was that when he thawed out and cooked the fish several weeks later (a dangerous experiment if they had “gone off” he would probably have died) the fish tasted almost the same as if they had been cooked from fresh and with the same texture.

This discovery was to create a new food industry and make Birdseye a millionaire.

Birdseye realised that the combination of ice, wind, and low temperatures resulted in such quick freezing of certain foods that it kept large crystals from forming. Slow freezing attempts had resulted in the formation of large crystals, transforming the food so that it could never be eaten. But if the freezing was accomplished quickly enough, there was no damage to the cellular structure of the food.

Birdseye knew that he had discovered something very important, but he wasn’t certain what. All he knew for sure was that he had the beginnings of what could be a very profitable business. A careful man, he continued to work in various government departments from 1917 to 1925, while perfecting his freezing methods to retain freshness, texture and taste.

The Final Secret

After years of experimentation Birdseye finally discovered the secret to freezing food safely. By wax-packing dressed fish and other foods in cartons then freezing them between two flat, refrigerated surfaces under pressure the food quickly froze solid with almost no damage at all to the cellular structure. Foods packaged and frozen in this new way were almost exactly the same when thawed weeks or months later. Birdseye quickly applied for, and was granted, a patent on the exclusive method.

Birdseye knew he had found the answer to safely preserving foods for an indefinite time, an answer that could make him a fortune. With this new technique safely patented, and with the backing of some rich partners who believed in his process, he formed the General Seafood Corporation.

This was the beginning of a food industry that has since become massive. A look in the refrigerated section of any supermarket will reveal an amazing variety of delicious frozen foods. There will be many types of fish, the food that started it all, and dozens of meat and poultry foods as well as French fried potatoes, milkshakes, and complete breakfasts and dinners. There are even pizza combinations and other specialty frozen foods waiting for consumers. Recently, chain hamburger and hot dog companies began supplying their products in frozen form to supermarkets.

This huge industry began with the discoveries of Clarence Birdseye.

Following this year’s Caribbean Investment Forum meeting in Port of Spain (Trinidad & Tobago) on the 11th and 12th June, several countries have announced that they too want to turn themselves into tax havens.

So why the sudden rush? Well the countries involved: Trinidad & Tobago, Jamaica and the Dominican Republic don’t exactly have what could be called vibrant economies. In fact they are not far off being basket cases. So when the Forum reported the huge financial success of other Caribbean tax haven states like the Bahamas, the Cayman Islands and the British Virgin Islands, these poor countries saw the answer to their problems – become tax havens themselves.

Trinidad & Tobago

The success of their neighbours has prompted the Trinidad & Tobago Islands to plan to open an International Financial Centre (also known as an International Business Centre (IBC) or an Offshore Tax Haven in September, specifically targeting Panama as their main competition for business.

Trinidad’s Minister of Finance, Karen Nunez-Tesheira, was in New York a couple of weeks ago to meet with investment banks and credit agencies trying to accomplish this and accountancy giant PriceWaterhouseCoopers are advising the government how to change their tax structure in order to compete with the popularity of Panama’s bustling Offshore International Financial Centre.

Jamaica

Just last week it was reported that Jamaica also wants to get into the International Financial Centre business but as yet specific plans have not been announced.

The Dominican Republic

Plans here seem a bit more advance and local press reports are stating that the intention of the Dominican Republic to move into the offshore financial business was proceeding.

Will they succeed?

Well it’s one thing to announce your intention but quite another to carry out your plans to a successful conclusion. The problem for these aspiring financial centres is the very weakness of their economies and, particularly in the case of the Dominican Republic, the weak banking regulation, default on loans, and  unsophisticated local financial market.

Be that as it may, some people are taking the announcements seriously and it is noteworthy that Economist Conferences, in association with the Commercial Banking Association of the Dominican Republic plans to have a Regional Financial Forum on the topic: “Harmonizing financial regulations in Central America and the Dominican Republic” on July 31st and August 1st this year.

Watch this space – but in the meantime until we see how things progress I see no reason to desert the traditional offshore tax havens like the Bahamas, the British Virgin Islands, the Turks & Caicos Islands, the Caymans, Panama, Belize, Costa Rica, St Vincent & the Grenadines, Antigua, Anguilla, Barbados, Bermuda, Grenada, Netherlands Antilles, Nevis, St Kitts, or St Lucia. They all have advantages and disadvantages and some are better suited to certain types of business than others. If you’d like to find out more about a particular tax haven just drop me an email: james@jamesgreenandco.co.uk

In the definition of the “City Code” persons acting in concert are persons who, pursuant to an agreement or understanding (formal or informal) actively cooperate through the acquisition by and of them of shares in a company, in order to obtain or consolidate control of that company.

The “City Code” presumes that, unless otherwise proven, certain categories of person (human or corporate/legal) act in concert. Though the definition is especially important in relation to the application of “Rule 9″ (the “mandatory bid rule”) all bidders should address who may be acting in concert with them, especially in respect of any stakebuilding excercise.

The Accounting Standards Board is UK standard-setting organisation that makes, amends and withdraws accounting standards. It is a subsidiary of the “Financial Reporting Council”. Its aims are to improve standards of financial accounting and reporting for the benefit of users, preparers and auditors of financial information.

www.asb.org.uk

It really is a bewildering language for those of us who haven’t been taught what terms like “green shoe” or “MiFID”, or “Top Slicing” actually mean.

The use of acronyms has become so confusing that it takes longer to check what they mean than for a speaker – or writer – to spell it out in full.

A year or two ago I was at a meeting of an EU (European Union) monitoring committee where one speaker kept talking about the “BCC”. Sitting on one side of me was the then President of the British Chambers of Commerce (BCC) and I asked her “What’s this to do with us”? (I was a representative of the BCC on the committee. “Nothing” she said. On the other side of me there was the CEO (Chief Executive Officer) of the Birmingham Chamber of Commerce (BCC). “What’s this got to do with you?” I asked. “Nothing” came the reply “I haven’t a clue what they are talking about”.

Nothing ventured – and being the sort of guy who doesn’t mind admitting he doesn’t know what someone is talking about, I asked the Chairman “Who or what is the BCC?”. “I don’t know”, he said and looked quizzically at the speaker, who frowned and gave us all a look as if to say “what a lot of idiots” and said “Birmingham City Council”. Silence, then a man a few seats to my right said “Ah, I wondered if it was us”. Sad really.

Anyway. Over the next few months this post, whilst not dealing with issues such as who or what the BCC is (or are), will give short definitions of many of the “buzz words” acronyms or jargon used in the City of London, the Stock Exchanges worldwide, including London, Frankfurt and New York, and provide links to sites where you can find further information and more in-depth definitions.

I’m going to post the definitions in - vaguely - alphabetical order. However if you want to know what any piece of jargon means more urgently do post a question on our “Any Answers” page and I’ll do my best to give you a speedy answer.

I hope this helps.

James Green