In the former US base Panama is building a new city the size of the actual city of Panama, but with new economic laws to favour the companies that want to invest and have all close airport, ports, connection, chic residential areas all the benefits of a well planned city. Wellcome to Panama.

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PANAMA PACIFIC SPECIAL
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ECONOMIC AREA
Panama Offshore Center
Aware of a historic
Why Panama?
opportunity for progress and
Offshore Incorporation renewal after the former
Canal Zone was transferred to
BVI Companies
Panama in 1999, the Republic
Foundations of Panama launched an
ambitious economic
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modernization program and
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legal reforms, affecting laws
Nevis IBC's
related to production, labor, maritime affairs, tourism, and allowing
Other Jurisdictions for the privatization of state-owned companies and assets. Various
investment incentives were created through these groundbraking
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changes.
Real Estate - Panama
Offshore Realtors Corp Under these reforms, the Government of Panama´s Agency of the
Investments Panama-Pacific Special Economic Area is now seeking to develop
Opportunities
Howard with private sector participation. A former U.S. Airforce Base
Public Bid Specialist endowed with substantial real estate assets and modern
infrastructure, Howard is expected to become an economic and
Immigration
employment generator. With this goal in mind, Panama is investing
the required resources and making long-term commitments to
Banking Services
investors to enhance their success.
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Copyright, Trademark, Howard is located on the west bank of the Panama Canal, the
Patent Registration fastest growing area of Panama City. The conversion of the former
air force base into a civilian area was carefully designed by the
Maritime
Government of Panama, with advice from the International Financial
Taxation
Corporation (member of the World Bank Group) and leading
consultants. The objective is to combine world-class logistics and
Litigation
telecommunications infrastructure now available in Howard with
Virtual Office Panama´s expertise in the business, financial and service sectors.
This combination will make Howard into one of the most successful
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business hubs in the Americas and strengthen Panama´s regional
Telephone answering leadership as a sea and air transport center.
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Howard now has the status of a special economic area, providing an
ideal regulatory and business environment to investors. For
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example, companies investing in Howard enjoy special regulations
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that allow them to operate 24 hours a day, 365 days a year in a
modern and efficient labor environment.
Our Contacts
Some of the best investment opportunities include the establishment
Address :
of:
GLOBAL BANK TOWER
50th Street - 11th Floor 1. Companies engaged in light manufacturing, such as
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(Besides Credicorp Bank) assembly plants related to electronic business.
2. Storage/logistics businesses dealing with trade and traffic
P.O.BOX 0823-03979
to/from the Pacific coast.
Panama, Rep. of Panamá
3. Companies specialized in information, communications and
technology, such as call and internet data centers. Join
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4. Residential installations.
Tels: (507) 340-3420
(507) 340-3421

2. Fax: (507) 340-3422 Howard has extensive and renovated commercial and residential
properties and important transportation and utility assets. Area:
2,005 hectares (5,000 acres) Buildings: Seventeen, 3,000 m2
(32,292 ft2) administrative buildings, 706 housing units, schools,
gym, theater. Airport: International airport with a 2,591x45 meter
runway; passenger terminal; and four, 8,800-10,700 m2 hangars
(95,000-115,000 ft2).
Utilities: Electricity, water, sanitary services, telecommunications,
utilities in good working order with the capacity to serve a self-
contained city of 10,000 inhabitants.
REGULATIONS
According to Law 41 of 20 July, 2004, companies starting business
within the AEEPP zone will benefit from the following:
ONE STOP OFFICE
Agency integrated by representatives from several
government institutions such as Immigration, Labor
Department and Customs, to handle and take care of all
formalities and transactions in situ, under new and expedite
procedures.
FISCAL TREATMENT
Exemption of direct and Indirect taxes, contributions, rates,
duties and local taxes, with the exception of the following:
Taxes over earnings, which are: dividend revenue,
complimentary and remittance or money transfer
overseas.
Import and ITBM (tax on transfer or movable
property and services) taxes for services related to
liberal professions.
Importation taxes, ITBMS and selective tax over
consumption for retail sales.
Earnings from the following activities will be tax exempted:
Offshore services
Sale and transfer of shares of companies established
within the AEEPP.
Transfer of goods and services between companies
in the area, developer and/or operator or between
these and companies established in other zones
with special regulations.
Sale of goods and services offered to visitors,
passengers or crew members in transit to other
country or vessels crossing the Panama Canal or
aircrafts using ports in Panama with destination
elsewhere overseas, unless the sale is made by the
manufacturer himself or a company of the same
economic group.
Services or activities related to aviation and airports,
transportation, cargo handling and storage,
maintenance, repair, aircraft overhauling, parts
and/or aircraft parts.
Manufacture of high technology products.
Multimodal and logistic services.
Call centers; capture, processing, storage,
exchange, transmission of data and digital
information; radio signal, television, audio, video
and or data links, administration of offices to users
within the area or outside the Panamanian territory;
research and development of resource and digital
applications to be used in intranet and internet
networks.
LABOR TREATMENT
The Labor Code applies with the exception of special treatment
regulations for the AEEPP area which are:
Only 25% fixed surcharge for overtime.
Work performed in mixed shifts and night shifts, paid based
on actual worked hours.

3. Flexibility of arranging shifts. Only 50% fixed surcharge for
working on a weekly day off.
Possibility to establish the day off in a day other than
Sunday.
Possibility to negotiate when to use the time of vacation.
Decrease of sales and/or demand of services due to market
fluctuations, are considered justified reasons for termination.
If the reason for termination is of economic nature, the
labor authorities will have 15 days to rule, when lack of
ruling, termination will be considered justified.
IMMIGRATION TREATMENT
Special visas for expatriate in the area and for investors, investing
not less that B/250,000 in risk capital of the companies. Beneficiaries
of the visas for technical workers or specialists, and investors visas
can import domestic use goods for up to B/.100,000.
CUSTOM TREATMENT
Automated system of movement of goods, based on inventory audits
instead of physical controls.
ALLOWED ACTIVITIES
AEEPP companies can carry out any activity not prohibited or
restricted legally, except:
Display or show rooms will not be allowed of products that
are internationally merchandised in other free zones.
Importation temporary restrictions for re-exportation of
wholesale products that are not transformed in the area is
not permitted, with the exception of the following:
Products leaving the area via air.
Importation and re-exportation made by
manufacturing companies of complementary
products of the ones manufactured by those
companies in the area or products manufactured by
those companies in any other place.
Products related with maintenance, repair,
conversion and reconversion of aircrafts and related
activities.
Products related to petroleum free zones operating
within the area.
Provision of vessels and aircrafts.
Logistics and transport activity (including
transportation, handling and storage, goods,
handling of information, logistics advisory, and of
foreign trade).
*This ban is temporary.
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Copyrigth Molina & CO.