ALCOA/RII will sell its US$68 million in preference shares in the Aroaima Bauxite Company (ABC) to the government for US$1 before the end of next year, Head of the Privatisation Unit, Winston Brassington asserted yesterday.

"We have clear agreements. There is no uncertainty on the matter. All that remains is for Alcoa to set a date which must be by the end of next year and the sale price is $1," Brassington said.

The only way Alcoa/RRII would be able to derive any value from its US$68 million preference shares in ABC is if the company is wound up before the sale is effected.

Mr P.Q. de Freitas, a financial consultant, had in a letter recently questioned the issue of preference shares to Alcoa as being a contradiction of the original indication that Alcoa would be selling all their shares to the government for US $l.00 but Brassington said yesterday that the agreement executed on November 8 provides for the sale of those preference shares to the government.

"Contractually, there is no ambiguity on this matter or any conditions not disclosed that would affect this," Brassington stated.

He said that nothing in Prime Minister Sam Hinds' statement on the issue is inconsistent with this position.

He noted that Hinds had said that RII may derive a return on the preference shares if the company is liquidated or the company declares a dividend.

The privatisation unit head said it was unfortunate that persons saw fit to continuously criticise Hinds on the issue of ABC arguing that Prime Minister Sam Hinds has been the key person to find ways to keep ABC alive.

"The Prime Minister deserves much credit for this" Brassington said.