Left: Bernard Henry, CEO of FIMI Wireless, says the company's Honduras operations were shuttered Tuesday.Antonia Graham, Digicel Group head of public relations, says the company is hoping for a quick restoration of political stability. - File photos
Digicel Group said Tuesday it was keeping a watchful eye on events in Honduras but had not to date seen any interruptions in business in the Central American nation where soldiers and civilians have been clashing in the streets.
Dozens have reportedly been injured in the confrontations.
"So far, everyone is at work", said Digicel spokesperson Antonia Graham. "There is no impact whatsoever on our operations there at this time," she told Wednesday Business.
Similarly, FIMI Wireless, a partner to Digicel, which operates in Central America through an associate company, The Cell Zone, says its operations have not been touched by the violence, but is playing it safe.
A bloodless coup
"We were open up to (Monday), but decided to close today. I need to ensure that my workers are safe and that they will be able to go back home easily and safely," FIMI chief executive Bernard Henry said Tuesday.
"What is happening there is just a bloodless coup and things will be returning to normal quickly. Even though they are having some protests on the street, people are still walking around."
The Cell Zone operates 25 stores throughout Honduras and employs more than 100 people.
The country was thrown into turmoil Sunday after the military reportedly plucked president Manuel Zelaya from the palace in Tegulcigalpa and sent him into exile in Costa Rica.
Overthrown
Zelaya immediately denied claims he had resigned, saying he was overthrown in a coup and forced to leave the country.
Digicel, the largest tele-communications operator in the Caribbean, first entered the Central American market through its 2006 acquisition of the El Salvador operation Digicel Holdings Limited - an unrelated company at the time.
It won the licence to operate in Honduras in December 2007, and after a year formally launched operations with much fanfare in November 2008.
The Irish company, which recently passed the 500,000 subscriber milestone in the Central American country, says it has over 500 stores nationwide, generating around 450 direct jobs, and another 3,000 indirectly through its dealer network and other partnerships.
Digicel, whose investments in Honduras reached US$450 million over the past six months, said it hopes to achieve complete coverage by August, even though there is widespread concern that investor enthusiasm might diminish.
"We are very happy with our progress to date in Honduras," Digicel said in a statement in response to queries by Wednesday Business.
"We have already built a state of the art network which provides first class service to our rapidly growing subscriber base there."
The coup in Honduras has been roundly condemned globally by individual governments, including Jamaica, Venezuela and the United States.
On Tuesday the 192-member United Nations also by acclamation, called on the return of Zelaya to power and agreed that no other government will be recognised.
Risking arrest
Zelaya, a wealthy rancher, said he would return to his country this week, but the man named by the Honduras Congress as interim president, Roberto Micheletti, indicated on Tuesday that Zelaya would risk arrest if he returns, saying the courts "have issued arrest orders" against him.
Still investors are hoping for a quick resolution and a return to normality.
"Though we would of course welcome a quick return to political stability, we are hopeful that that will be achieved in the near future."
Outside of mobile phone service, Digicel also won a 2.5 GHz spectrum licence for WiMAX service in Honduras, last August, on a US$2 million bid.
Digicel anticipates 60 per cent wireless broadband coverage by 2010.
mark.titus@gleanerjm.com