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Wednesday, December 17, 2003
IMF
maintains 4.0 pct 2003 GDP forecast for Philippines, ups 2004 forecast
Philippine
banks end-Oct total loans at 1.43 trln pesos, up 0.8 pct yr-on-yr
Philippine
NextStage trading suspension request approved - PSE
Philippines
sticking to 2004 GDP growth target of 4.9-5.8 pct yr-on-yr - Neri
Manila shares
close flat on consolidation
Philippines'
Chinabank 247,600 shares change hands in cross sales - PSE
Manila
shares lower in late trade on consolidation
Philippines'
iPeople to acquire 70 pct of Pan Pacific Computer Center
Philippines'
PLDT forms partnership with PC game-maker
Philippines'
Mondragon asks CDC to pay 470 mln pesos in back rental - report
Philippines'
Fil-Estate suspends rent payment on Camp John Hay - report
German
court wants Philippines to extradite head of kidnap group - report
Philippines'
November budget deficit seen below 10.0 bln pesos - source
Philippine
panel accepts Global Infrastructure offer for National Steel
Philippine
Treasury raises 3.5 bln pesos via 7-year, zero-coupon T-bond issue
Philippines'
Treasurer sees full-year budget deficit below 200 bln pesos
Tuesday, December 16, 2003
Bank
of Philippine Islands 2003 net profit to exceed 2002 level - official
Philippine
CADP Group affiliate closes acquisition deal with Jardine Davies
Manila
shares close mixed; key index up on positive earnings outlook
Philippines'
Philex Mining appoints Brown new chairman/CEO
STOCK
ALERT - Philippines' Meralco A and B weaker on profit-taking
Philippines'
Metrobank declares additional 0.40 pesos cash div
Philippine
ABS-CBN Broadcasting clarifies to cut debt by 2.1 bln pesos in 2004
Philippine
San Miguel, Asian Terminal near deal on grains terminal purchase
Malaysia's
MBf Holdings says IPVG, MBf Inc merger to complete in Q1 2004
Philippines'
Euro-Med Laboratories declares 10 pct stock dividend
Philippine
Stock Exchange declares 2.00 pesos/share cash dividend
Moody's
representatives begin Philippine ratings review - report
Philippines'
Napocor seeks power rate hike in new petition to ERC - report
Philippine
govt to raise additional 1.5 bln pesos revenue from tariff hikes
Manila
Water to impose 'less than 1.0 pct' tariff hike effective Jan 1
Philippines
Nov BoP surplus 26 mln usd, Jan-Nov surplus 185 mln usd
Forex
- Philippine peso weakens on year-end short-covering
Monday, December 15, 2003
Philippine
economic chief sees better labor market conditions in Q4, 2004
Philippine
Stock Exchange to re-impose transaction fees from January
Manila
shares close firmer on Saddam's capture, window-dressing
Philippines'
Oct overseas workers' remittances up 10.9 pct yr-on-yr
Philippines'
Metrobank to pay 0.40 pesos cash div not later than Jan 15
ST0CK
ALERT - Philippine Stock Exchange shares jump on listing
STOCK
ALERT - Philippines' Globe Telecom firmer following PLDT gains
STOCK
ALERT - Philippines' PLDT firms further on earnings outlook, ADR gains
Manila
shares extend gains after news of Saddam's capture, window-dressing
Philippines'
Bacnotan Consolidated appoint new chairman
Philippines
Oct unemployment rate 10.1 pct vs 12.6 in July, 10.2 pct year ago
LNM
Holdings hikes price offer for Philippines' National Steel
Philippines'
Aboitiz Equity sells 35 pct stake in Mindanao Container
FedEx
to expand Philippine-based regional hub - report
Philippines'
San Miguel sees 10 pct yr-on-yr rise in 2003 net profit
Philippines
approves hike in withholding tax on highly-paid professionals
Philippine
foreign minister dies in Taiwan hospital
Philippine
opposition to choose single candidate to challenge Arroyo
December 10 -12
December 8 - 9
December
3 - 5
December
1 - 2
| IMF maintains 4.0 pct 2003 GDP forecast for Philippines, ups 2004 forecast |
MANILA (AFX-ASIA) - The International Monetary Fund said it is maintaining its 2003 GDP growth forecast of 4.00 pct for the Philippines, and is upgrading its 2004 GDP growth outlook to 4.25 pct - from an earlier projection of a 4.00 pct growth - on the back of a widely-anticipated global economic recovery. The government is aiming for 2003 GDP growth of 4.20-5.20 pct after 4.40 pct expansion last year, and 4.90-5.80 pct in 2004. IMF senior adviser Masahiko Takeda, who heads the mission to Manila, said the Philippines will be staying under its post-program monitoring, which was supposed to end this year. He said the IMF still sees the need for continued policy dialog with the government, but denied that the Philippines is trying to secure a loan from the Fund. "We have come to an agreement. It is a mutual comfort level," Takeda said in a news conference. In a statement, the IMF mission said periodic financial market pressures pose a continuing challenge to macroeconomic policies, citing a series of events since the July 27 failed military mutiny as leading to renewed pressure on the peso, sovereign bond spreads and domestic interest rates. "Inflows of foreign direct investments have been constrained by competition from within the region, as well as concerns about the business environment," the IMF mission said. It added implementing fiscal measures that will reduce public sector deficits and indebtedness should be prioritized. "It would also be crucial to privatize the power sector and further strengthen the banking system. These structural reforms are needed to boost competitiveness and enhance the prospects for future growth," the IMF mission said. Meanwhile, it welcomed the improvement in the country's fiscal performance, noting "this reflects significant efforts to strengthen (the) tax and customs administration, but also substantial expenditure restraint." The country's budget deficit is expected to settle below 200 bln pesos, lower than the target of 202 bln pesos which the government had set for the year. Economic managers have attributed improving fiscal discipline to higher revenues and managed spending among government agencies. cecille.yap@afxasia.com |
| Philippine banks end-Oct total loans at 1.43 trln pesos, up 0.8 pct yr-on-yr |
MANILA (AFX-ASIA) - The Outstanding loans of commercial banks in the Philippines grew 0.8 pct year-on-year to 1.43 trln as at end-October on a sustained rise in borrowings extended to the agriculture, transportation and social and personal services sectors, the central bank reported. Bank lending has registered year-on-year growth for 14 consecutive months to October. However, outstanding loans as at end-October declined 2.7 pct from 1.47 trln pesos as at end-September. "The moderation in the growth of commercial bank loans was accompanied by a decline in manufacturing firm's capacity utilization," the central bank said in a statement. The National Statistics Office earlier reported that the average capacity utilization of manufacturing firms in September came in at 77.5 pct, lower than the 78.6 pct in August. The presence of spare capacity contributed, in part, to the subdued demand for bank financing by firms, the central bank noted. (1 usd = 55.50 pesos) cecille.yap@afxasia.com |
| Philippine NextStage trading suspension request approved - PSE |
MANILA (AFX-ASIA) - The Philippine Stock Exchange said it has approved the request by cement producer NextStage Inc for an indefinite trading suspension of its shares effective Dec 19. The company is implementing a quasi-reorganization aimed at wiping out its deficit, which amounted to 184.15 mln pesos as of end-2002. The company, formerly known as Pacific Cement Co Inc, has applied for a decrease in capital with the Securities and Exchange Commission via a reduction of its par value to 0.20 pesos from 1.00 peso. The suspension will remain until the company has secured and subsequently disclosed the Securities and Exchange Commission's approval of its amended articles of incorporation and certificate of decrease of capital. "The said trading suspension will facilitate the reduction in the number of its listed shares. As a result of which, trading of NextStage shares shall be based on the adjusted and reduced number of shares upon lifting of the said trading suspension," the PSE said in a circular for brokers. (1 usd = 55.50 pesos) cecille.yap@afxasia.com |
| Philippines sticking to 2004 GDP growth target of 4.9-5.8 pct yr-on-yr - Neri |
MANILA (AFX-ASIA) - The Philippines is maintaining its 2004 gross domestic product growth target of 4.9-5.8 pct year-on-year on an expected surge in exports and a better performance of the agriculture sector, Economic Planning Secretary Romulo Neri said. The gross national product (GNP), or GDP plus income from abroad, is targeted to grow 5.2-6.0 pct year-on-year. "We're sticking to our growth forecasts," Neri told AFX-Asia. In an interview on ABS-CBN News Channel, Neri said the government is also pinning much of its hope on the recovery of the agriculture sector, which accounts for a fifth of the Philippines' domestic growth. The weather conditions in the country are expected to improve substantially next year in the absence of the El Nino phenomenon. Neri is also optimistic the Philippines will continue to attract foreign investments, especially for the call center business and the special economic zones. "They are promising areas of the economy. We just need to keep investors' confidence up and not destroy it," Neri said. However, in theory, the country's GDP needs to expand 6.0-7.0 pct for "the people to feel" the economic growth, he added. The government has set its sights on achieving 2003 GDP growth of 4.2-5.2 pct. The Philippines' GDP grew 4.40 pct year-on-year in the third quarter, exceeding the government's forecast of 3.80-4.30 pct. cecille.yap@afxasia.com |
| Manila shares close flat on consolidation |
(Updating with analyst comments, share prices) MANILA (AFX-ASIA) - Share prices ended flat in sluggish trading as the market consolidated, with profit-taking on selected stocks offsetting gains generated from traditional year-end window-dressing by fund managers, dealers said. The 30-company composite index was down 0.87 points or 0.06 pct at 1,398. 56 on 273.55 mln shares worth 613.03 mln pesos. It traded between 1,389.73 and 1,401.39. Gainers beat losers 28 to 22, with 54 stocks unchanged. Chinabank was top-traded, up 10.00 pesos at 670 on 270,950 shares, with turnover boosted by cross sales. Second most active Philippine Long Distance Telephone Co shed 20 to 880 on 129,140 shares. Dealers expect the market to move sideways in the remaining sessions of the year, with volatility and turnover expected to get thinner as the year ends. "With just five trading days before the end of the year, the mood has lightened. Everyone is on a pre-Christmas holiday mood," Citiseconline.com analyst Mark Alan Canizares said. However, dealers remain optimistic the market will end the year above the major psychological resistance level of 1,400, with fund managers expected to beef up the stocks they are holding ahead of next year. "Window-dressing is still possible. It may still happen given the positive prospects of the economy next year. (But) if anything, the upcoming elections may somehow dampen any strong or major window-dressing," Accord Capital Equities analyst Lawrence de Leon said. Presidential hopefuls and other politicians interested in seeking government positions have until Jan 2 to declare they wish to run for office. Globe Telecom was up 10.00 pesos at 805 on 73,910 shares. Ayala Corp gained 0.10 to 5.20 on 10.73 mln shares, while unit Ayala Land shed 0.20 to 5.90 on 1.3 mln shares. Manila Electric B, open to foreigners, was up 0.50 at 24.25 on 2.19 mln shares. Meralco A ended flat at 14.75 on 94,700 shares. Meralco's parent firm First Holdings was up 0.25 at 627,700 shares. Jollibee was up 0.50 at 17.25. The all-shares index closed down 0.91 at 846.38. The commercial-industrial index gained 2.17 to 2,100.95. Property was down 8.81 at 559.63, and mining shed 22.29 to 1,602.77. Oil was unchanged at 1.23. Banking and financial services gained 2.78 to 437.13. (1 usd = 55.50 pesos) cecille.yap@afxasia.com |
| Philippines' Chinabank 247,600 shares change hands in cross sales - PSE |
MANILA (AFX-ASIA) - China Banking Corp's 247,600 shares worth 165.71 mln pesos were sold in several cross transactions in late trade, according to data from the Philippine Stock Exchange. The shares were sold at 660 and 670 pesos each and the transactions were handled by Abacus Securities Corp and RCBC Securities Inc. At 11.56 am, Chinabank was top-traded on volume 270,950 shares and closed up 10 pesos at 670. No other details were available. (1 usd = 55.30 pesos) cecille.yap@afxasia.com |
| Manila shares lower in late trade on consolidation |
MANILA (AFX-ASIA) - Share prices were lower in late anemic trade, led by Philippine Long Distance Telephone Co, as the market consolidated in the absence of fresh leads, dealers said. Investors are said to have either cashed out ahead of the Christmas holidays or have stayed on the sidelines awaiting further developments on the political front. Presidential hopefuls have until Jan 2 to submit their bids to become candidates. At 11.02 am, the composite index was down 7.84 points or 0.56 pct at 1, 391.59 on volume of 170.48 mln shares worth 158.37 mln pesos. It has so far traded between 1,389.73 and 1,401.39. Losers beat gainers 20 to 11, with 40 stocks unchanged. PLDT was top-traded, down 5.00 pesos at 895 on 43,620 shares. Dealers said investors discounted reports that the government has posted a lower-than-ceiling budget deficit for the month of November, expecting the government to easily meet its budget deficit goal for the full-year. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| Philippines' iPeople to acquire 70 pct of Pan Pacific Computer Center |
MANILA (AFX-ASIA) - iPeople, Inc said its board of directors has approved the acquisition of a 70 pct stake, valued at 2 mln pesos, in information technology (IT) service provider Pan Pacific Computer Center Inc. In a disclosure to the stock exchange, iPeople said the acquisition will be effected through the swap of Pan Pacific shares in the hands of Great Pacific Life Assurance Corp with iPeople shares to be taken out of its unissued capital. Pan Pacific is a domestic corporation primarily engaged in a wide range IT services, including data center and operations management, IT infrastructure management, document management services and others. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| Philippines' PLDT forms partnership with PC game-maker |
MANILA (AFX-ASIA) - Philippine Long Distance Telephone Co said it has gone into a partnership with Anino Entertainment, the Philippines' first PC game development company, to gain a stronger foothold in the content development industry. "This is part of our aggressive efforts to diversify our fixed line business and move towards content development and support content development initiatives," PLDT senior vice president and head of business development Ariel Roda said in a statement. "We decided to get together because we share a common vision -- to think ahead, to pioneer when others fear the risk, and to build when others fear potential failure," he added. PLDT assisted Anino Entertainment in the launch of the first Filipino-made PC game, called "ANITO." Particularly, the telecom firm provided Internet connections to Anito's creative team when it launched the game recently. The company also assisted in publishing 1,000 copies of the computer game as a special PLDT edition. In exchange, this version of the game will be bundled with PLDT's ongoing promotion under which customers are offered a personal computer, Internet link and game content in one "affordable" package. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| Philippines' Mondragon asks CDC to pay 470 mln pesos in back rental - report |
MANILA (AFX-ASIA) - Mondragon Leisure and Resorts Corp has asked state-run Clark Development Corp to pay as much as 470 mln pesos in back rentals for the alleged unauthorized use of certain assets at Mimosa Leisure Estate in the former Clark airbase in Pampanga province, the BusinessWorld newspaper reported. CDC took over the operations of the 25-hectare resort after Mondragon failed to pay its rental arrears amounting to 450 mln pesos. "Mondragon submitted proof that, since December 1999, CDC has been utilizing Mondragon's property in the way of movable assets without legal authorization. As such, compensation would have to be accorded," Mondragon chairman and chief executive officer Jose Antonio Gonzalez said in a disclosure to the Securities and Exchange Commission. Gonzalez also asked CDC to include Mondragon when scouting for new investors to help turn around the 25-hectare leisure estate. Mimosa was taken over in 1998 after Mondragon failed to settle its obligations to CDC, the Philippine Amusement and Gaming Corp and the Bureau of Internal Revenue. Mondragon also owes creditors some 7.0 bln pesos. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| Philippines' Fil-Estate suspends rent payment on Camp John Hay - report |
MANILA (AFX-ASIA) - The Fil-Estate Group, developer of Camp John Hay in Baguio City, northern Philippines, has suspended rent payment and talks on the settlement of its obligations to the Bases Conversion Development Authority (BCDA) to protest a Supreme Court ruling that nullified its tax privileges, the Philippine Daily Inquirer reported. In a December 12 letter to BCDA, Fil-Estate chairman Robert John Sobropena said withholding all payments was a contractual remedy to the court's October 28 ruling. The court ruling reversed Proclamation 420, which former President Fidel Ramos issued, granting locators of the Camp John Hay economic zone full tax exemption and privileges. The court ruled only Congress can grant such tax immunities. "The decision certainly comes as a total shock to Camp John Hay Development Corp inasmuch as the existence of the case was never disclosed by BCDA during the pre-bid and bidding process or anytime thereafter, (not) even during the three years of negotiations to the signing of the memorandum of agreement," Sobropena said. Earlier, the Fil-Estate Group and BCDA signed an agreement on the restructuring of the property firm's 1.2 bln pesos in unsettled lease payments for Camp John Hay. Under the deal, Fil-Estate will pay 720 mln pesos, or 60 pct of the payments, over a 12-month period. The balance will be paid over the next nine years. The agreement, reached after two years of negotiations, also requires Fil-Estate to pay 500 mln pesos of the 720 mln in cash, giving the company an option to settle the balance through payment in kind. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| German court wants Philippines to extradite head of kidnap group - report |
BERLIN (AFX) - A German court wants the Philippines to extradite the recently captured head of a militant Islamic group, which kidnapped 21 mainly European hostages in 2000 and held them for several months, Der Spiegel magazine reported on its website. The court in Goettingen wants to try the Abu Sayyaf leader for his role in kidnapping a local family, part of the group of hostages kept on Jolo island in the southern Philippines. Officials have called on the German foreign ministry to ask the Philippines to extradite Galib Andang, better known under his nom de guerre Commander Robot. Andang was arrested by the Philippine army on Dec 7 in a major blow to the group, effectively neutralizing Abu Sayyaf which has carried out numerous kidnappings and deadly bombings against Christian and foreign targets in the overwhelmingly Catholic country in the last decade. The group is also suspected of killing two US hostages. The foreign ministry in Berlin could not confirm the information, saying it should contact the court, which in turn was unreachable. Der Spiegel said the court and the ministry were not sure that the extradition request would be successful as no extradition treaty exists between Berlin and Manila. Abu Sayyaf claimed at its foundation in the early 1990s that it was fighting for an Islamic state but analysts said the group -- which is also suspected of ties with Osama bin Laden's al-Qaeda -- had become a loosely organized band of criminals. |
| Philippines' November budget deficit seen below 10.0 bln pesos - source |
MANILA (AFX-ASIA) - The country's budget deficit for the month of November stood at roughly less than 10.0 bln pesos, lower than the ceiling of 17.8 bln pesos for the month, a government source said. The actual budget deficit data will be announced tomorrow afternoon. The better-than-expected performance in November was attributed to higher revenues and lower government spending. The Bureau of Internal Revenue said it had collected a total of 42.25 bln pesos in November, exceeding its target of 41.309 bln. The Bureau of Customs (BoC) has already exceeded its full-year collection target of 100.056 bln pesos, as total revenue reached 100.205 bln as of Dec 10. The BoC said its collections from Jan 1 to Dec 10 were 4.85 bln pesos higher than the target figure for the period. The Bureau of Treasury was also expected to have met its monthly goal. The source said the government was also able to contain its spending in November, which is seen "around 7.0 bln pesos lower" than the 72.2 bln target spending limit for the month. National Treasurer Sergio Edeza earlier said the country's full-year budget deficit is expected to settle below 200 bln pesos, lower than the target of 202 bln pesos which the government had set for the year. (1 usd = 55.51 pesos) cecille.yap@afxasia.com |
| Philippine panel accepts Global Infrastructure offer for National Steel |
MANILA (AFX-ASIA) - The management committee of the National Steel Corp (NSC) has accepted the improved offer of Indian firm Global Infrastructure Holdings Ltd to rehabilitate and operate the steel firm, said the Securities Exchange Commission-appointed NSC liquidator, lawyer Danilo Concepcion. The committee "agreed to submit to their (NSC creditor-banks') respective boards the improved terms and conditions for approval." Concepcion declined to give details about the improved offer from Global Infrastructure. Local newspaper reports last week said Global Infrastructure had increased its upfront payment offer for NSC to 1.0 bln pesos from 655 mln. Global Infrastructure is now reportedly willing to pay a total of 12.25 bln pesos for the debt-saddled firm's re-opening, up from its previous price offer of 11.905 bln. Another bidder, London-based LNM Holdings NV, also decided to improve its offer to rehabilitate NSC. LNM general manager Eric Tiere earlier said the company had increased its original bid of 7.0 bln pesos and was willing to pay around 2.0 bln up front. "We have decided to make all the terms offered by Global confidential because there are other bidders that are waiting for the lapse of the 90-day exclusivity period (for the acceptance of the offer)," Concepcion said. afxmanila@afxasia.com |
| Philippine Treasury raises 3.5 bln pesos via 7-year, zero-coupon T-bond issue |
MANILA (AFX-ASIA) - The Bureau of Treasury fully auctioned off 3.5 bln pesos worth of seven-year, zero-coupon Treasury bonds, with the yield set at 11.125 pct. Tenders totaled 6.675 bln pesos. Net proceeds of the bond issue stood at 1.9 bln pesos, after the government paid the interests in advance. Earlier, National Treasurer Sergio Edeza said the bond issue was intended to meet the demand by government-owned and controlled corporations for alternative investment instruments. The bonds, which will mature in 2010, will be subject to a 20.0 pct withholding tax. Proceeds from the auction will be used to finance the government's remaining funding requirements for the year. (1 usd = 55.54 pesos) cecille.yap@afxasia.com |
| Philippines' Treasurer sees full-year budget deficit below 200 bln pesos |
MANILA (AFX-ASIA) - National Treasurer Sergio Edeza said the country's full-year budget deficit will likely settle below 200 bln pesos, lower than the target of 202-bln pesos which the government had set for the year. He cited the government's higher revenues as well as its managed spending for the expected lower budget shortfall. No other details were provided. As of end-October, the deficit stood at 163.875 bln pesos, below the ceiling of 171.88 bln. (1 usd = 55.54 pesos) cecille.yap@afxasia.com |
| Bank of Philippine Islands 2003 net profit to exceed 2002 level - official |
MANILA (AFX-ASIA) - Bank of the Philippine Islands (BPI) will book a 2003 net profit exceeding last year's level of 5.2 bln pesos, aided by lower operating expenses and slightly higher interest income, bank executive vice president Aurelio Montinola III said. Net profit of the country's second largest bank was estimated to be already "around 5.2 bln pesos" as of end-November, he said. "We will slightly surpass the net income we have in 2002. It is around 5. 2 bln pesos as end-November," he told reporters. In the nine months to September, BPI posted a net profit of 4.2 bln pesos, up 6.00 pct from a year earlier, translating to a return on equity of 11.00 pct. For 2004, he said the target is a 5-10 pct growth in net profit. BPI's nonperforming loans ratio is expected to ease to 8.2 pct by year-end from the end-2002 level of 9.8 pct, he added. He said the bank plans to sell 5-10 bln pesos worth of idle assets next year either through a public bidding or negotiated sale. (1 usd = 55.55 pesos) afxmanila@afxasia.com |
| Philippine CADP Group affiliate closes acquisition deal with Jardine Davies |
MANILA (AFX-ASIA) - Sugar producer CADP Group Corp said affiliate Marina Trading Corp has closed a deal for its acquisition of 84.2 mln common shares of Hawaiian-Philippine Co (HPCo) from Jardine Davies Inc. Marina Trading and Jardine Davies have executed a Deed of Sale for the said shares, CADP told the stock exchange. Jardine Davies Inc earlier disclosed it had agreed to sell its 84.2 mln common shares, representing a 99 pct stake, in Hawaiian-Philippine Co to Marina Trading for 561.02 mln pesos. CADP is a subsidiary of another listed firm, Roxas Holdings Inc. CADP gave no further details of the transaction. (1 usd = 55.55 pesos) edelacruz@afxasia.com |
| Manila shares close mixed; key index up on positive earnings outlook |
MANILA (AFX-ASIA) - Share prices closed slightly higher in a mixed and sluggish session, supported by buying in select stocks with positive earnings prospects, dealers said. The market is now consolidating ahead of the year-end, they added. Investors turned cautious on a lack of fresh leads to sustain yesterday's rally, with Wall Street failing to get any sustained support from the weekend capture of former Iraqi leader Saddam Hussein, they said. The composite index closed up 4.20 points or 0.30 pct at 1,399.43 on volume of 373.88 mln shares valued at 558.07 mln pesos. It traded between 1, 391.25 and 1,399.43. In the broader market, losers led gainers 26 to 19 while 44 stocks were unchanged. "The market is consolidating and what you saw today is what you can expect to see until the year ends," DA Market Securities president Nestor Aguila said. "Prices moved sideways as investors locked in recent gains in select stocks and continued to buy into future earnings of other issues," he added. Elena Ponceca, head of research at Unicapital Securities said: "Wall Street's overnight decline, after a rally on Saddam's capture, gave investors reason to play it safe for now and cash in on recent gains." Top-traded Philippine Long Distance Telephone closed unchanged at 900 pesos on volume of 142,760 shares. Ayala Land was up 0.30 at 6.10 on 15.97 mln shares. Parent Ayala Corp rose 0.10 to 5.10 on 6.48 mln shares. Manila Electric B, available to foreign investors, was down 0.50 at 23.75 on 2.74 mln shares while Meralco A was unchanged at 14.75. PLDT affiliate Pilipino Telephone extended gains, up 0.01 at 0.89 on 23.1 mln shares. Globe Telecom was down 5.00 at 795. China Bank was down 5.00 at 660. Bank of the Philippine Island was up 1.00 at 46.50. The all-shares index closed down 7.94 at 847.29. The commercial-industrial index fell 4.58 to 2,098.78. Property was up 11.35 at 568.44, and mining up 15.8 at 1,625.06. Oil was unchanged at 1.23. Banking and financial services gained 1.99 to 434.35. (1 usd = 55.55 pesos) edelacruz@afxasia.com |
| Philippines' Philex Mining appoints Brown new chairman/CEO |
MANILA (AFX-ASIA) - Philex Mining Corp said it has appointed Walter Brown as new chairman and chief executive officer effective January 1. Besides replacing Gerard Brimo, who retires on December 31, Brown will continue to serve as the company's acting president, it added. edelacruz@afxasia.com |
| STOCK ALERT - Philippines' Meralco A and B weaker on profit-taking |
MANILA (AFX-ASIA) - Manila Electric Co A and B shares fell midmorning as investors locked in recent gains, dealers said. They said investors turned cautious on the lack of fresh leads to sustain yesterday's rally, which was largely due to the weekend capture of former Iraqi leader Saddam Hussein. Top-traded Meralco B, which is available to foreign investors, was down 0. 50 peso at 23.75 on volume of 1.1 mln shares and Meralco A down 0.25 at 14.50. "Wall Street's overnight decline, after a rally on Saddam's capture, gave investors reason to play it safe for now and cash in on recent gains," said Elena Ponceca, head of research at Unicapital Securities. "Investors will continue to monitor the performance of the US markets in the absence of fresh strong leads locally," she added. (1 usd = 55.55 pesos) edelacruz@afxasia.com |
| Philippines' Metrobank declares additional 0.40 pesos cash div |
MANILA (AFX-ASIA) - Metropolitan Bank & Trust Co said its board of directors has passed a resolution declaring an additional cash dividend of 0. 40 pesos per share. The company did not announce the payment and record dates as it has yet to receive the approval of the central bank. In a disclosure, Metrobank said the dividend represents 2.0 pct of its total outstanding capital stock. Yesterday, Metrobank said it will pay not later than Jan 15 a 0.40 peso cash dividend per share to shareholders on record as of December 30. The previous cash dividend was declared as early as April 24 last year, but it is unclear as to why it has been delayed. Metrobank said it re-submitted for approval on Dec 2, 2003 the cash dividend proposal to the central bank, which had no objections to the move. The cash dividend amounts to a total of 653.46 mln pesos. (1 usd = 55.545 pesos) cecille.yap@afxasia.com |
| Philippine ABS-CBN Broadcasting clarifies to cut debt by 2.1 bln pesos in 2004 |
MANILA (AFX-ASIA) - ABS-CBN Broadcasting Corp has said it will retire 2.1 bln pesos and not 12.9 bln worth of maturing debts next year to reduce its debt level to 3.7 bln pesos. Chief finance officer Randolph Estrellado had, in an earlier interview with reporters, said the broadcasting firm planned to fork out 1.9 bln pesos in 2004 to cuts its debt level to about 4.0 bln pesos. The company, which posted strong advertising revenue growth in the first nine months of 2003, is fully hedged against debts falling due in 2004, despite indefinitely deferring its bond offering. The company postponed its planned 150 mln usd global bond issue due to the Philippines' uncertain political climate, which it felt could have an impact on pricing. As at end-September, ABS-CBN's total debt stood at about 6.0 bln pesos and it will decline to 5.8 bln at the end of the year, he said. (1 usd = 55.49 pesos) cecille.yap@afxasia.com |
| Philippine San Miguel, Asian Terminal near deal on grains terminal purchase |
MANILA (AFX-ASIA) - Food and beverage conglomerate San Miguel Corp expects to complete soon a deal to acquire the Bataan-based Mariveles grains terminal of port operator Asian Terminals Inc for over 2.0 bln pesos, San Miguel president Ramon Ang said. "I heard two days ago from the seller that they've worked out the legal issues regarding the land (of the terminal), therefore, we can finish the transaction soon," Ang told reporters. Asian Terminal owns the contract to develop and operate the most modern bulk handling facility in the country until 2013. The contract is renewable for another 20 years under the agreements ATI signed with the state-run Philippine Ports Authority and the Bataan provincial government. San Miguel earlier said it plans to invest over 5.0 bln pesos to improve and modernize the terminal. Meanwhile, Ang said San Miguel will set aside 10 bln pesos in capital expenditures for 2004, which would include its budget for a planned regional expansion in four priority countries -- Thailand, Malaysia, Indonesia and Vietnam. (1 usd = 55.545 pesos) cecille.yap@afxasia.com |
| Malaysia's MBf Holdings says IPVG, MBf Inc merger to complete in Q1 2004 |
KUALA LUMPUR (AFX-ASIA) - Financial services group MBf Holdings Bhd said in a statement that the Securities and Exchange Commission of the Philippines (SEC) has approved the merger of IPVG Corp and MBf Inc, and the companies are working towards concluding the exercise by the first quarter of next year. No further details were given in the statement. MBf Inc is listed on the Philippines stock exchange. afxklumpur@afxasia.com |
| Philippines' Euro-Med Laboratories declares 10 pct stock dividend |
MANILA (AFX-ASIA) - Euro-Med Laboratories Philippines Inc said its board of directors has approved the declaration of a 10 pct stock dividend equivalent to 200 mln pesos, which will be taken from its unrestricted retained earnings as of Dec 31 this year. The dividend declaration is subject to shareholders' approval at the annual meeting next year. The dividend will be payable to stockholders after all the necessary approvals shall have been obtained from the Securities and Exchange Commission and the Philippine Stock Exchange, the company said. The company's board also approved the issuance of 200 mln shares with a par value of 1.00 peso each from its authorized and unissued capital stock. Euro-Med is engaged in the manufacture of pharmaceutical products, including intravenous fluids. (1 usd = 55.49 pesos) edelacruz@afxasia.com |
| Philippine Stock Exchange declares 2.00 pesos/share cash dividend |
MANILA (AFX-ASIA) - Newly-listed Philippine Stock Exchange said it will pay a cash dividend of 2.00 pesos per share to all stockholders on record as of Jan 7 next year. Payment is set for Jan 8. PSE shares made their debut yesterday on the local bourse, closing at 240 pesos against a listing price of 100. (1 usd = 55.49 pesos) edelacruz@afxasia.com |
| Moody's representatives begin Philippine ratings review - report |
MANILA (AFX-ASIA) - Representatives of Moody's Investors Service are in Manila to review the Philippines' debt ratings, BusinessWorld reported. Moody's representatives and officials of the central bank and the Department of Finance have reportedly begun meetings, with discussions focused on the country's economic and fiscal indicators. Last month, Moody's announced that it had placed on review for possible downgrade the Philippines' long-term foreign and local currency ceilings and ratings. It warned that heightened political uncertainties in the run-up to the May elections had begun to have adverse consequences for the government's financial position and the overall economy. The review will involve the Philippines' Ba1 foreign currency rating for government bonds and long-term foreign currency country ceiling for bonds, the Ba2 long-term foreign currency ceiling for bank deposits and the Baa3 local currency rating. Moody's has had a negative outlook on all of the Philippines' long-term ceilings and ratings since September. edelacruz@afxasia.com |
| Philippines' Napocor seeks power rate hike in new petition to ERC - report |
MANILA (AFX-ASIA) - State-owned National Power Corp has sought an increase in electricity generation rates in a new petition filed recently with the Energy Regulatory Commission, the BusinessWorld newspaper said, citing an unidentified Napocor official. The company is seeking a rate hike under the so-called generation rate adjustment mechanism or GRAM, which allows it to recover fuel costs and foreign exchange adjustments once every three months. The report did not say how much of a rate hike is being sought by Napocor, which distributes electricity to retailers, including Manila Electric Co. edelacruz@afxasia.com |
| Philippine govt to raise additional 1.5 bln pesos revenue from tariff hikes |
MANILA (AFX-ASIA) - The government expects to raise some 1.5 bln pesos in additional revenue annually with the imposition of higher tariffs on select raw materials local manufacturers use to produce finished goods, the Department of Trade and Industry said. The additional revenue is on top of the 1.3 bln pesos the government will generate from higher tariffs placed on certain finished products effective October 2003. The presidential palace has approved the recommendation of the government's tariff committee to raise tariffs on 627 locally produced products. (1 usd = 55.49 pesos) edelacruz@afxasia.com |
| Manila Water to impose 'less than 1.0 pct' tariff hike effective Jan 1 |
MANILA (AFX-ASIA) - Manila Water Co Inc said it will increase its tariff rates by "less than 1.0 pct" effective January 1 due to inflation and the peso's weakness. The Ayala Corp unit announced in newspaper advertisements that the rate increase will amount to 2.0 pesos per month for the average residential customer consuming 30 cubic meters of water per month. Manila Water supplies potable water to metropolitan Manila's "east zone" under a concession agreement with the government. The company also announced it will invest 19 bln pesos to construct or rehabilitate its facilities between 2004 and 2008. (1 usd = 55.49 pesos) edelacruz@afxasia.com |
| Philippines Nov BoP surplus 26 mln usd, Jan-Nov surplus 185 mln usd |
MANILA (AFX-ASIA) - The country's balance of payments (BoP) yielded a surplus of 26 mln usd in November and 185 mln usd for January-November period on fresh borrowings by the national government, the central bank said. The November and 11-month BoP surplus levels, however, were lower compared to the surplus levels of 152 mln usd and 564 mln usd posted in the comparative periods last year. No other details were immediately available. The country recorded a BoP surplus of 942 mln usd in October and 159 mln usd for January-October also due to foreign borrowings during the period, the central bank earlier said. edelacruz@afxasia.com |
| Forex - Philippine peso weakens on year-end short-covering |
MANILA (AFX-ASIA) - The peso closed weaker against the dollar as banks covered short positions on the US unit ahead of the year-end, dealers said. The peso did not enjoy a boost even when the dollar weakened against major currencies in the afternoon after the US currency's early morning highs that followed news of Iraqi ex-dictator Saddam Hussein's capture. The peso closed at its intraday low of 55.490 to the dollar after trading at a high of 55.415 on volume of 63 mln usd. It closed at 55.470 on Friday. "There's year-end short-covering," a commercial bank dealer said. A second dealer said unless the central bank moves to prop up the peso to ensure a stronger close by the end of the year, the local unit is unlikely to recover lost ground in coming days. They said more remittances from Filipinos working abroad are expected to flow into the local market in the coming days, but these will not be strong enough to give the peso much of a boost. The market is now forward-looking, keeping in mind the political uncertainties as May elections draw near, they added. "The consensus of the market is for the peso to weaken further until after the elections," the second dealer said. The peso could weaken further to 55.700 levels before the close of the year, the first dealer said. edelacruz@afxasia.com |
| Philippine economic chief sees better labor market conditions in Q4, 2004 |
MANILA (AFX-ASIA) - The Philippines is likely to see more jobs generated this quarter and in 2004, particularly in agriculture and information technology sectors, Economic Planning Secretary Romulo Neri said. "Labor market conditions are expected to improve in the fourth quarter of 2003 and in 2004 as the economy strengthens further," he said in a statement, issued after the National Statistics Office released today the preliminary results of a labor force survey for the August-October period. The unemployment rate dropped to 10.1 pct in October from 12.6 pct in July and 10.2 pct in the same month last year, the NSO said. In absolute terms, some 3.55 mln of the country's workers were unemployed as of October, compared with about 4.4 mln in July and 3.42 mln in the same month last year, it said. Neri attributed the better prospects in the labor market to the expected growth in agriculture due to normal weather conditions and government support, a boost to export demand from the recovery in the global economy, as well as growth in the information technology sector. He said the favorable data in the latest labor force survey is a reflection of a pick-up in economic activity in the third quarter as all sectors generated net new jobs. He said the economy generated 1.27 mln net new jobs during the period of the survey, with the service sector posting the largest number of new jobs at 633 ,000, followed by agriculture with 364,000 and the industry sector with 272,000. edelacruz@afxasia.com |
| Philippine Stock Exchange to re-impose transaction fees from January |
MANILA (AFX-ASIA) - The Philippine Stock Exchange said it will re-impose transaction fees to boost its revenues from January. The PSE stopped collecting the fees from 1995, when brokers wanted to generate more earnings while the market was enjoying huge volumes. The transaction fee will be equivalent to 0.5 basis points for each buy or sell order, it said, which means it can generate 50,000 pesos in incremenal income from turnover of 500.0 mln pesos in a single day. Some brokers said they may pass on the additional costs to clients since they are already shouldering a lot of expenses. PSE president Ernest Leung said the transaction fees could boost the exchange's annual revenues by 6.0-12.0 mln pesos, assuming an average daily market turnover of 250.0-500.0 mln pesos. The PSE incurred a net loss of 300,000 pesos in the first nine months of the year after booking net profit of 28.0 mln pesos in 2002 and 18.3 mln in 2001. It currently generates revenues from listing fees and its fixed income investments. (1 usd = 55.45 pesos) afxmanila@afxasia.com |
| Manila shares close firmer on Saddam's capture, window-dressing |
MANILA (AFX-ASIA) - Share prices closed firmer, but off highs, as news of the capture of former Iraqi leader Saddam Hussein helped to sustain portfolio window-dressing activities ahead of the year-end, dealers said. Investors remained focused on companies with good earnings prospects led by Philippine Long Distance Telephone and Globe Telecom. Investors are expecting further upside on Wall Street tonight on Saddam's capture, following gains on Friday, which kept the Dow above the psychologically-important 10,000-point level. The composite index closed up 11.91 points or 0.86 pct at a five-week high of 1,395.23 on volume of 750.89 mln shares valued at 630.88 mln pesos. It traded between 1,389.94 and 1,402.58. It is the index's strongest finish since Nov 10, when it closed at 1,409. 34. In the broader market, gainers led losers 27 to 19, while 33 stocks were unchanged. "The market's upside was sustained after it broke resistance at 1,380 last Friday and the capture of Saddam, which was also cheered by some of the region's markets this morning," Westlink Global Equities chairman Rommel Macapagal said. "We expect the US market to also react positively tonight to Saddam's capture." The former Iraqi dictator's capture is widely expected to help to ease international security concerns. Dealers, however, said the market has reached overbought levels, and trading in the coming days is likely to be sideways, with investors possibly staying on the sidelines for the rest of the year. Top-traded PLDT was up 20 pesos at 900 on volume of 143,120 shares, extending gains as investors accumulated more of its shares on expectations its strong earnings performance will extend beyond the end of the year. Buying interest in PLDT was also sustained after a hefty 0.73 usd gain in its American Depositary Receipts in New York on Friday to 15.97. "PLDT is still cheap, relative to its price-to-earnings ratio. We have a target price of 1,000 pesos for the stock up to the first quarter of next year," Accord Capital Equities research consultant Ron Rodrigo said. PLDT expects to book net profit of 9.0-10.0 bln pesos this year, triple last year's 3.1 bln, on sustained strong gains in its wireless business. Globe Telecom was up 20 at 800 on 154,890 shares, following hefty gains posted since last week in rival PLDT. "Globe Telecom, like PLDT, underwent a technical correction recently. But with PLDT now trading at its new highs (its highest levels in almost three years) on strong earnings expectations, Globe is catching up," Westlink's Macapagal said. Like PLDT, Globe has also been enjoying strong gains from its wireless business. Ayala Corp capped the market's upside, as it closed down 0.10 at 5.00 on 24.7 mln shares. Manila Elecric B, open to foreign investors, was up 0.25 at 24.25 on 4.37 mln shares, while Meralco A fell 0.25 to 14.75. Ayala Land was up 0.10 at 5.80 on 7.01 mln shares. Metrobank was up 0.50 at 27.00 on 724,400 shares. It said it will pay not later than Jan 15 a 0.40 pesos per share cash dividend to its shareholders, on record as of Dec 30. SM Prime Holdings was up 0.20 at 6.40 on 2.26 mln shares. The Philippine Stock Exchange was up 140 at 240.00 on its debut, against a listing price of 100.00, as investors looked for the shares' real market value. PLDT affiliate Pilipino Telephone was up 0.03 at 0.88 on 14.1 mln shares. The all-shares index was up 6.98 points at 855.23. The commercial-industrial index rose 19.51 to 2,103.36. Property was up 12.21 at 557.09. Mining and oil were down 29.51 at 1,609.26 and 0.13 at 1.23, respectively. Banking and financial services shed 3.02 to 432.36. (1 usd = 55.45 pesos) edelacruz@afxasia.com |
| Philippines' Oct overseas workers' remittances up 10.9 pct yr-on-yr |
MANILA (AFX-ASIA) - Remittances from Filipinos working overseas rose 10.9 pct to 673 mln usd in October from 607 mln a year ago, the central bank said in a statement. This brought the cumulative amount of remittances to 6.3 bln usd in the first 10 months of the year, up 5.7 pct from about 6.0 bln a year earlier. The central bank is projecting a 6.0 pct increase in remittances from Filipinos abroad this year. These inflows remain a critical component in both the national income accounts and the balance of payments. The central bank expects the seasonally-strong remittances during this time of the year to boost the value of the peso versus the US dollar by year-end. edelacruz@afxasia.com |
| Philippines' Metrobank to pay 0.40 pesos cash div not later than Jan 15 |
MANILA (AFX-ASIA) - Metropolitan Bank and Trust Co said it will pay not later than Jan 15 a 0.40 peso per share cash dividend to its shareholders, on record as of Dec 30. The bank had declared the cash dividend as early as April 24 last year, but it was unclear why it was delayed. Metrobank said it re-submitted the cash dividend proposal to the central bank on Dec 2 this year for approval, with the latter having no objections to it. The cash dividend amounts to 653.46 mln pesos. (1 usd = 55.40 pesos) edelacruz@afxasia.com |
| ST0CK ALERT - Philippine Stock Exchange shares jump on listing |
MANILA (AFX-ASIA) - Shares of Philippine Stock Exchange (PSE) were sharply firmer on their debut against a listing price of 100 pesos per share in thin trade as investors sought to discover their real market value, dealers said. PSE shares were up 150 pesos at 250 in mid-trade on volume of 2,000 shares. "The 100 pesos listing price was imposed arbitrarily. The PSE has decided that the price ceiling of 150 pct up (from the listing price) be lifted to determine the real market value of the shares," a local brokerage analyst said. PSE president Ernest Leung said the book value of PSE's shares could be computed by dividing the PSE's net worth of close to 1 bln pesos with the 9.2 mln total issues shares. Manuel Tordesillas, president of PSE's financial advisor ATR-Kim Eng Capital Partners, said the PSE's book value was computed to be about 105 pesos per share. PSE's listing was done through introduction mode or a listing without undertaking an initial public offering. The listing is expected to reduce PSE member-brokers' ownership of the bourse to a maximum of 20 pct from 100 pct. (1 usd = 55.45 pesos) edelacruz@afxasia.com |
| STOCK ALERT - Philippines' Globe Telecom firmer following PLDT gains |
MANILA (AFX-ASIA) - Globe Telecom Inc was firmer in late morning trade following hefty gains posted since last week in rival Philippine Long Distance Telephone Co (PLDT), dealers said. Globe was up 10 pesos at 790 on volume of 117,900 shares. "Globe Telecom, like PLDT, underwent a technical correction recently. But with PLDT now trading at its new highs (in almost three years) on strong earnings expectations, Globe is catching up," Westlink Global Equities chairman Rommel Macapagal said. Like PLDT, Globe has also been enjoying strong gains from its wireless business. Globe, a unit of Ayala Corp and Singapore Telecom, booked a 70 pct year-on-year surge in net profit to 7.50 bln pesos in the nine months to September, after recording its highest-ever quarterly wireless subscriber take-up in the third quarter. (1 usd = 55.45 pesos) edelacruz@afxasia.com |
| STOCK ALERT - Philippines' PLDT firms further on earnings outlook, ADR gains |
MANILA (AFX-ASIA) - Philippine Long Distance Telephone was firmer in early trade, extending gains as investors accumulate more of its shares on expectations its strong earnings performance will extend beyond 2003, dealers said. Buying interest in PLDT was also sustained after a hefty 0.73 usd gain in its American Depositary Receipts in New York on Friday to 15.97. PLDT was up 25 pesos at 905 on volume of 63,850 shares. "PLDT is still cheap relative to its price-to-earnings ratio. We have a target price of 1,000 pesos for the stock up to the first quarter of next year," Accord Capital Equities research consultant Ron Rodrigo said. PLDT expects to book a net profit of 9 to 10 bln pesos this year, triple last year's 3.1 bln, on sustained strong gains in its wireless business. The projection already takes into account one-off charges. (1 usd = 55.45 pesos) edelacruz@afxasia.com |
| Manila shares extend gains after news of Saddam's capture, window-dressing |
MANILA (AFX-ASIA) - Share prices extended their gains in early trade as investors window-dressed their portfolios ahead of the year-end, with buying supported by an upbeat mood in the region following the capture of former Iraqi leader Saddam Hussein, dealers said. Investors are anticipating a further upside on Wall Street tonight on Saddam's capture, following gains on Friday which kept the Dow above the psychologically important 10,000-point level. At 10.02 am, the composite index was up 15.44 points or 1.12 pct at 1,398. 76 on volume of 33.68 mln shares valued at 228.75 mln pesos. It has traded between 1,397.83 and 1,402.58 so far. In the broader market, gainers led losers 19 to 2 while 12 stocks were unchanged. "We're seeing a reaction to Saddam's capture, which should help ease international security concerns," Accord Capital Equities research consultant Ron Rodrigo said. But looking at the technical indicators, he said the market is already at overbought levels, and a pullback is expected. Gains in Philippine Long Distance Telephone again led the market's upside, with the stock gaining 25 pesos to 905 on 38,380 shares following a hefty 0.73 usd rise in its American Depositary Receipts in New York on Friday to 15.97. (1 usd = 55.47 pesos) edelacruz@afxasia.com |
| Philippines' Bacnotan Consolidated appoint new chairman |
MANILA (AFX-ASIA) - Bacnotan Consolidated Industries Inc said its board of directors has appointed Oscar Hilado as chairman replacing Ramon del Rosario Sr. Del Rosario Sr. has been appointed chairman emeritus. Ramon del Rosario Jr. will replace Hilado as company vice chairman and president. Bacnotan Consolidated is a holding company engaged in the production, distribution, marketing and sale of clinker, cement, and concrete products. It also has interests in steel manufacturing, banking and financial services, and property development. edelacruz@afxasia.com |
| Philippines Oct unemployment rate 10.1 pct vs 12.6 in July, 10.2 pct year ago |
MANILA (AFX-ASIA) - The unemployment rate in October dropped to 10.1 pct from 12.6 pct in July and 10.2 pct a year ago, the National Statistics Office (NSO) said. The October estimates are still subject to change, the NSO said in a statement. In absolute terms, some 3.55 mln of the country's labor force were unemployed as of October compared with about 4.4 mln in July and 3.42 mln a year ago. The labor force participation rate stood at 67.1 pct as of October versus 67.0 pct in July and 66.2 pct a year ago. edelacruz@afxasia.com |
| LNM Holdings hikes price offer for Philippines' National Steel |
MANILA (AFX-ASIA) - LNM Holdings NV has improved its offer to rehabilitate the Philippines' mothballed National Steel Corp, company general manager Eric Tiere said. He said the London-based LNM Holdings has increased its original bid of 7 bln pesos and is willing to pay around 2 bln up front. Local newspaper reports last week said Indian firm Global Infrastructure Holdings Ltd had increased its up-front payment offer for NSC's rehabilitation and operation to 1 bln pesos from 655 mln. The report quoted Land Bank of the Philippines president Margarito Teves as saying Global Infrastructure was willing to pay 1 bln pesos up-front and that the new offer was now being discussed by NSC creditors, which include LandBank. Global Infrastructure is now reportedly willing to pay a total of 12.25 bln pesos for the debt-saddled NSC's re-opening, up from its previous price offer of 11.905 bln. LNM also offered to invest 50 mln usd for working capital and raw materials requirements of NSC, and 20 mln usd to upgrade its technology and equipment. afxmanila@afxasia.com |
| Philippines' Aboitiz Equity sells 35 pct stake in Mindanao Container |
MANILA (AFX-ASIA) - Conglomerate Aboitiz Equity Ventures Inc (AEV) said it has agreed to sell its 35 pct stake in Mindanao Container Co for 26.95 mln pesos as part of its program to dispose of non-core assets. The company said it has signed a memorandum of agreement with an undisclosed buyer of its 50,000 shares in Mindanao Container for the shares at 539 pesos each. The transaction will give AEV a gain of 13 mln pesos. "The sale is in line with AEV's strategy of selling non-core assets for value and deploying the gains from such sale to its core businesses in order to maximize share worth," the company told the stock exchange. (1 usd = 55.47 pesos) edelacruz@afxasia.com |
| FedEx to expand Philippine-based regional hub - report |
MANILA (AFX-ASIA) - Federal Express has reserved a 50-hectare property in Clark Special Economic Zone in the central Philippines as the site for the courier services provider's "complementary hub", the Philippine Daily Inquirer reported. The report said Clark International Airport Inc president and chief executive officer Edelberto Yap denied recent talk that FedEx plans to transfer its regional hub to China from the Philippines. FedEx has been looking for a site for its "complimentary hub" as it does not have room for further expansion in Subic Bay Freeport Zone, Yap said. edelacruz@afxasia.com |
| Philippines' San Miguel sees 10 pct yr-on-yr rise in 2003 net profit |
MANILA (AFX-ASIA) - San Miguel Corp expects its 2003 net profit to rise 10 pct year-on-year from 6.63 bln pesos, company president and chief operating officer Ramon Ang said. The Philippines' largest food and beverage conglomerate plans to invest around 10 bln pesos in 2004 as it sticks to its regional expansion program that covers seven markets. It sees revenue growing 25 pct next year on the back of a pick-up in consumer spending in an election year. Ang noted that San Miguel's sales have been growing about 15 pct across product lines, except for Coca-Cola Bottlers Philippines Inc. San Miguel's third quarter to September net profit rose 15 pct year-on-year to 1.79 bln pesos on sales growth of 9 pct to 35.9 bln pesos. Ang also confirmed that San Miguel is in talks with the Indofood group of Indonesia. San Miguel has approached PT Indomarco Adi Prima, a trading unit of the world's largest noodle maker, PT Indofood Sukses Makmur, to distribute food and beverage products in Indonesia, Indofood deputy chief executive officer Cesar dela Cruz said last week. But Ang told reporters: "If ever, we do a deal with anybody in the region it will purely be (for) an acquisition. We don't want to get into distribution." San Miguel's expansion program covers such markets as Thailand, Vietnam, China, Indonesia, Australia, Malaysia and Taiwan. It intends to invest 100 mln usd in these markets to boost its annual revenue by 300 mln usd. (1 usd = 55.47 pesos) edelacruz@afxasia.com |
| Philippines approves hike in withholding tax on highly-paid professionals |
MANILA (AFX-ASIA) - The Department of Finance said it has approved a revenue order to increase to 15 pct from 10 pct from Jan 1, 2004, the withholding tax imposed on professionals earning at least 720,000 pesos a year. The Bureau of Internal Revenue will issue the revenue regulation imposing the new rate within this week. (1 usd = 55.47 pesos) edelacruz@afxasia.com |
| Philippine foreign minister dies in Taiwan hospital |
TAIPEI (AFX-ASIA) - Philippine Foreign Minister Blas Ople died in a Taiwan hospital after he fell critically ill while on a flight between Tokyo and Bangkok, officials said Sunday. Ople, 76, died after emergency treatment at Minsheng General Hospital in northern Taiwan's Taoyuan county, said Lin Sung-huan, head of the East Asian and Pacific Affairs Department of Taiwan's foreign ministry. He took ill late Saturday while on a Japan Asia Airways flight to Bangkok and the flight was diverted to Taiwan, the ministry said. "The plane was forced to make an emergency landing at Chiang Kai-shek airport at around 10:30 pm (1430 GMT Saturday)," foreign ministry spokesman Richard Shih told Agence France-Presse, declining to provide details of the illness. Taiwan's state-run Central News Agency said Ople had not shown any signs of life when a doctor at the airport was called to the aircraft. A Filipino official and sources close to Ople's family said he had suffered a heart attack but this was not confirmed. A chain smoker, Ople had a mild stroke in 1994 and had a weak heart since. His body was flown to Manila where it arrived late Sunday in a flag-draped casket. The foreign minister had been on his way to Bahrain ahead of a visit by President Gloria Arroyo when he "experienced difficulty in breathing and subsequently lost consciousness," his family said in a statement. He had died of natural causes "in the service of his country" after efforts to revive him both on the plane and at the hospital failed, the statement said. Arroyo, who was on a brief visit to Hong Kong Sunday before heading to Bahrain, said in a statement released in Manila: "The nation mourns the death of a great Filipino. We were awed by the vision and indomitable wit of Secretary Blas Ople." "He was an architect of foreign policy in the finest tradition of enlightened and pragmatic diplomacy, a champion of peace, human rights, collective security and the rule of law," she said. Ople was a journalist turned international statesman who pushed for stronger Philippine-US relations. At the time of his appointment by Arroyo in July last year, he was serving in the Senate, where he held positions on several committees. In 1999, he sponsored the Senate resolution ratifying a visiting forces agreement with the United States that allowed for the resumption of large scale joint military exercises. The accord was to eventually lead to the deployment of hundreds of American forces to help train Filipino soldiers against the Muslim Abu Sayyaf separatist rebels in the southern Philippines as part of an emerging global war on terrorism. Ople framed the country's labor code and worked to promote labor rights as a minister during the dictatorial rule of Ferdinand Marcos, who was ousted by a popular revolt in 1986. |
| Philippine opposition to choose single candidate to challenge Arroyo |
MANILA (AFX-ASIA) - Two opposition candidates for May's presidential elections in the Philippines said they agreed at a secret meeting on Saturday that only one of them would stand against President Gloria Arroyo. Movie star Fernando Poe and former national police chief Senator Panfilo Lacson agreed in a "one-on-one" meeting to take steps to unify the opposition, they said in a joint statement. Poe, a top movie star with no experience in politics, was named last week as the presidential candidate of a coalition of opposition parties but Lacson has refused to drop his own candidacy and threatens to split the opposition. The two agreed to meet again and with other opposition leaders to "seek ways and means of unifying the opposition." Lacson, an arch-critic of Arroyo, said the next meetings would focus on creating a selection process to choose either Lacson or Poe as the sole opposition candidate against Arroyo. A recent survey put Poe ahead of all declared presidential candidates, followed by independent candidate former education secretary Raul Roco and then Arroyo and Lacson. |
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