PHILIPPINE National Bank is looking to improve its return on equity.
PHILIPPINE National Bank (PNB) wants to double its return on equity (RoE) within three years as it plans to put more focus on consumer finance and upgrade its subsidiaries in the coming years.
In a media briefing late Tuesday, PNB President and CEO Jose Arnulfo A. Veloso said the bank wants to increase its RoE to seven percent by the end of 2019 and to 12% in a span of three years from the six percent recorded at end-June.
“Our CFO and head of strategy are confident that we can hit seven percent. Seven percent…by the end of the year. The highest in the industry is 10%… I know 10% is really a stretch but…as far as I’m concerned, I’m telling them 12% is your target, shoot for the stars and land on the moon,” Mr. Veloso told reporters in a mix of English and Filipino.
RoE is the ratio of net profit to average capital. It measures how much shareholders make for every peso they invested in a company.
PNB’s quarterly report said its RoE was at 6.04% in the second quarter, lower than the 8.89% posted in the same period last year and the 7.70% in December 2018.
PNB is also looking to improve the leasing businesses of its subsidiaries, with Mr. Veloso saying there is huge untapped potential in the sector.
“Now is the time where I’m also focusing on the subsidiaries. So naka-focus ako ngayon sa leasing, ang laki pala ng opportunity natin dito sa leasing di natin ginagawa… Ang daming pumapasok sa leasing na hindi nacu-cultivate (I’m now focused on leasing. There’s a huge opportunity there. Many enter the leasing business but fail to cultivate it),” he said.
Mr. Veloso said PNB focused on improving its communication strategies in the first quarter, while the second quarter revolved around “understanding the rest of the operations of the branches.”
He added that PNB is currently building a team focused on understanding data.
“Data is going to be an important part of how we can do our business altogether… The consumer finance business, if done scientifically, is actually a data-reading business disguised as a lending institution,” he explained.
The bank chief likewise said the lender will also focus on wealth management amid the growing number of Filipinos interested in savings accounts.
The bank posted a P2.067-billion net profit in the second quarter, lower than the P3.974 billion booked in the same period last year.
PNB shares closed at P47.85 apiece on Wednesday, up five centavos or 0.10%. — Beatrice M. Laforga
VARYING smartphone brands barely affect the mobile network experience of phone users in the Philippines, but high-tier units beat mid- and low-tier ones in terms of network speed.
A new report by Opensignal found that Apple and Samsung users in the country experience the same range of download speed at around 11-12 megabits per second (Mbps). This puts Huawei users approximately 1.5 Mbps behind at 10 Mbps.
However, when classified based on high, mid- and low-tier handsets, smartphone owners in the Philippines see a declining download speed at 18.3 Mbps, 10.1 Mbps and 7.6 Mbps respectively.
“Because high-tier smartphone users have models with more mobile network capabilities such as the ability to combine five or more radio carriers…this class of users is more sensitive to mobile network improvements deployed by the world’s mobile operators,” it said.
“As they add new network technologies, these users will be the first to experience the benefits,” the report added.
The Opensignal study looked at 23 million devices from Apr. 1 to Jun. 30 focusing on Apple, Samsung and Huawei, as these three smartphone brands have the biggest shipment volume.
Despite the stark differences in network experience based on a smartphone’s tier, the report noted that Apple, Samsung and Huawei handsets each lead a tier in terms of network speed.
In the high-tier category, Samsung phones record the best download speed at 26.6 Mbps. Apple phones lead the mid-tier at 16.5 Mbps, while Huawei handsets trump the two for low-tier phones at 12.1 Mbps.
Classified under Samsung’s high-tier phones are Samsung Galaxy S8, S9, S10, Note 8, Note 9; which beat Huawei P20 Pro, P30 Pro, Mate 10, 20 and iPhone Xs.
In the mid-tier for Apple are iPhone XR, X, 8, 7 and 6s, which Opensignal noted are around the same price range of Samsung’s and Huawei’s high-tier phones. Competing against these on this level are Samsung M40, A80 and A6s, and Huawei P30 Lite, Enjoy 9e, and Y6.
Huawei’s primary low-tier handset is the Huawei Nova 2, which beat Samsung’s A2 Core and J4 Core and Apple’s iPhone SE and 6.
Opensignal noted Apple’s recent focus on facial recognition, camera innovation, long battery life and fast application processors and graphics may leave it behind in terms of network capability.
“While all Samsung and Huawei flagship models for the last couple of years have featured so-called “gigabit” capable modem designs…only the iPhone XS and XS Max have such capability. Even the current iPhone XR includes a less-capable LTE Category 12 modem…,” it said.
It noted high-tier smartphones represent the kind of mobile network experience that could be reached by a country, and in the Philippines, high-tier smartphones are 2.4 times faster than low-tier ones.
“[H]igh-tier smartphone users are a leading indicator of what level of mobile network experience is currently possible in a country. And, as mobile network capabilities trickle down to mid-and low-tier handset models over time, the current experience of high-tier users’ also indicates the direction for the overall future mobile network experience for the population of a country,” Opensignal said.
WE KNOW it’s still Ghost Month, but it doesn’t hurt to do a bit of planning before this year’s Mid-Autumn Festival, scheduled to fall a month from now on Sept. 13.
Today we’re presenting some hotels with early-bird promos — or early availbaility — for Mid-Autumn festival planning.
The festival has been celebrated since the rule of the Shang Dynasty (1600-1046 BCE). It marked successful harvests during what was believed to be the biggest moon of the Autumn season. In later years, the festival would be used to honor the moon goddess Chang’e, who drank an elixir of immortality meant for her hero husband, Hou Yi. The elixir caused her to float up, up into the sky, all the way to the moon, separating her from her husband and effectively leaving her in exile. It is believed that when the moon was at its biggest, as it is during the Mid-Autumn Festival, Chang’e was closest to her husband.
It is a tradition to eat mooncakes during the festival. One mooncake is meant to be divided into four — either for reasons of scarcity back then, or due to its high caloric content (about 890 calories per mooncake) — but then there’s a legend that it was once used during the Ming revolution to pass on messages stamped on the cakes’ pastry skin, to be assembled later as a puzzle.
MARCO POLO ORTIGAS
In celebration of Marco Polo Ortigas Manila’s fifth anniversary, its Cantonese restaurant Lung Hin will showcase a limited edition bag which guests can gift to loved ones and friends along with its featured mooncakes.
Lung Hin’s authentic mooncakes are created in, and imported directly from, Hong Kong. This season’s treasures are available individually at P798, in boxes of four at P2,888, and boxes of six at P3,888. The Marco Polo Ortigas Manila Limited Edition bag is available with a set of four mooncakes for P4,888.
This year’s featured flavours are red bean with double egg yolks and white lotus seed with double egg yolks.
NEW WORLD MANILA BAY HOTEL
New World Manila Bay Hotel marks the start of Mid-Autumn Festival with a selection of handcrafted mooncakes. Guests may avail of mooncakes in different flavors such as red bean, red lotus, white lotus, and Five Seeds.
They are available at Li Li for P688 per piece or take home a box of four at P1,888 from now until Sept. 13.
Early birds get a 10% discount for orders made from now until the end of the month, Aug. 31. A bulk purchase discount of 10% applies to a minimum order of 30 gift sets, which comes with free delivery within a three-kilometer radius from the hotel. Club Epicure members can enjoy a 10% discount on orders.
SHANGRI-LA AT THE FORT
Shangri-La at The Fort’s Canton Road marries classic and contemporary flavors in its selection. The traditional flavors include pineapple, white lotus with salted egg yolk, red bean and pine nuts, mixed nuts, and black sesame while the contemporary flavors include matcha, ube macapuno and apple cinnamon. Prices for individual mooncakes starts at P388++ per piece.
Canton Road also introduces the Stellar Snow Skin Collection — soft, delicate and custard-filled mooncakes available in mango, salted egg yolk cream, and ube macapuno at P388++ per piece.
The mooncakes are also available in customizable mooncake hampers. Prices may vary depending on the content of the hampers.
The mooncake counter at the hotel lobby already offers custom Shangri-La boxes of four regular mooncakes (P2,888++), eight miniature mooncakes (P3,088++), and 12 miniature mooncakes (P4,088++). Guests may also purchase individual mooncakes and pick-up box and hamper orders at the counter too.
Orders are accepted until Sept. 12, with pick-up until Sept. 13. A seven-day lead time is required for bulk orders of 10 boxes or more. Golden Circle members can avail of 10% off on all mooncake boxes until Sept. 13.
GRAND HYATT MANILA
The Grand Hyatt is offering a selection of Mid-Autumn treats specially created by Master Chef Carson Luo of No. 8 China House and Pastry Chef Saban Cavlak. The selection includes familiar favorites along with unique takes on the mooncakes.
There are traditional mooncake flavors like taro and lotus paste, and more unusual ones like Red Velvet and calamansi. The hotel also has pralines in lotus, red bean, matcha, mandarin, and lemon ginger created just for the festival. Available are boxes of two mooncakes (P1,388), four (P1,988), and four mooncakes with a bottle of wine (P2,988). Pralines are available at P988 for a box of nine pieces, and P1,988 for a box of 25.
Advanced orders are accepted until Aug. 31 with a 10% discount. They are available from Aug. 16 to Sept. 15.
TRAVELLERS International Hotel Group, Inc. (TIHGI), the developer and operator of Resorts World Manila (RWM), is planning to delist from the stock exchange.
In a disclosure to the stock exchange, TIHGI said its board of directors approved the voluntary delisting of the company’s common shares at the main board of the Philippine Stock Exchange.
It also approved the conduct of a tender offer of up to 1.58 million common shares, which are held by shareholders other than Alliance Global Group, Inc. (AGI), Megaworld Corp., First Centro, Inc., Adams Properties, Inc., Star Cruises Philippines Holdings B.V., Asian Travellers, Ltd., Premium Travellers, Ltd., and the members of the board of directors.
TIHGI is a joint venture of tycoon Andrew L. Tan’s AGI and Genting Hong Kong Limited.
“The conversion from a public entity into a private company will allow the Company to timely address evolving market demands and rapidly changing customer needs without compromising its business strategies to competition,” TIHGI said.
The company said upon completion of the tender offer, at least 95% of its total listed and outstanding common shares should collectively be held by the non-public shareholders.
TIHGI requested the stock exchange for a voluntary trading suspension of all its listed shares in order to protect the investing public — particularly shareholders in different time zones — and to allow market participants to “process and appreciate” its disclosure.
For the first semester of 2019, TIHGI saw its attributable net income halved to P844.71 million, even as gross revenues surged 50% to P16.57 billion due to the increase in gaming capacity at the RWM complex. — VVS
MANULIFE Philippines has appointed a new president and CEO.
THE LOCAL UNIT of Canada-based Manulife Financial Corp. has appointed a new top official.
In a press release on Wednesday, Manulife Philippines appointed Richard Bates as its new president and chief executive officer, effective Aug. 5.
He replaced Ryan Charland who is stepping down from his post after a five-year stint in the country. Mr. Charland has been assigned to Manulife’s Indonesia unit.
According to the press release, Mr. Bates is a finance veteran, with a background in advancing insurance penetration in emerging markets in Asia.
Before he was appointed to head Manulife Philippines, Mr. Bates was responsible for Asian operations of a private equity fund focusing on start-ups.
“With its young and dynamic population and its promising economic growth prospects, the Philippines is one of Asia-Pacific’s most exciting markets for life insurance and investments,” the statement quoted Mr. Bates as saying.
BEIJING/HONG KONG — ByteDance, the owner of short-video app TikTok, has launched a new search engine in China, entering a sector currently dominated by Baidu Inc.
Beijing-based ByteDance is moving beyond its core businesses in news and video and into work-place messaging and music streaming, competing with Tencent Holdings and other Chinese tech firms.
The domain for the new search engine, Toutiao Search, sits within the company’s flagship product — Chinese news aggregator Jinri Toutiao.
ByteDance, which according to sources familiar with the matter was valued at $78 billion in its last financing round in 2018, declined to comment.
The company said on social media last month it was looking to hire people to work with its search engine team, and had hired technical experts from Google, Baidu and Bing.
It said the search engine would offer content from ByteDance-owned apps, including Jinri Toutiao and the Chinese version of TikTok, as well as the wider web.
Toutiao Search offers censored results like other Chinese search engines, according to searches conducted by Reuters.
A search for “June Fourth,” a term associated with the violent suppression of pro-democracy demonstrations in Beijing’s Tiananmen Square in 1989, the search engine showed results from the People’s Daily and other official news websites.
Baidu has been the dominant search engine in China since 2010, when US search engine giant Google retreated from the Chinese market after it declined to comply with a government request to filter its search results.
Baidu in 2018 accounted for 66% of desktop searches and 71% of mobile searches in China, according to market researcher StatCounter.
Baidu, which reported its first quarterly loss in May since its 2018 initial public offering, has shrugged off the threat from ByteDance.
“We have estimated that there are about two new players emerging in the search engine market each year,” Ping Xiaoli, general manager of Baidu App, told reporters last week when asked about Bytedance’s search engine.
“We have been dominating the market over the past two decades,” Ping added. — Reuters
AS TIME is a limited resource, travelling for pleasure may sometimes be considered a luxury. Often, the choice of destination could spell the difference between a memorable vacation and a bungled opportunity. Carefully selecting one’s getaway is the first order in planning.
The typical tourist will likely pick the popular cities and include the “touristy” areas in their itinerary. The more adventurous, meanwhile, will be prefer the crowded and unspoiled surroundings. Those planning a trip to South Korea will have the capital city of Seoul as their first stop. But for this writer, who has been to the Land of the Morning Calm more than 10 times in the last seven years, there are other equally, if not more enticing places to experience the ultimate in Korean culture.
For the Korean Tourism Organization Manila, promoting other provinces and cities and their unique charms is high on its agenda. One of these “unexplored” regions is Chungcheong — recognized as Korea’s bastion of Catholicism, an exciting artistic mecca, and an emerging attraction for those fascinated with Korean quirkiness.
Chungcheong, located in the southwest of the country, was one of the eight provinces formed during the Joseon Dynasty. The name was derived from Chungju and Cheongju, two of its main cities.
A recent summer escape provided the opportunity to see the sights of Chungcheong, particularly spots in the Daejeon, Cheonan, and Dangjin areas. Should you choose Chungcheong as your next Korean province, the seven attractions below will make visit worth your while.
1. Nonsan Sunshine Land — K-drama fans should include Nonsan Sunshine Land on their list of not-to-be-missed places. Officially opened on Nov. 1, 2018, it was the filming location of the period Korean drama Mr. Sunshine, starring multi-awarded actor Lee Byung Hun and young actress Kim Tae. Nonsan Sunshine Land has several sections, including the Sunshine Studio, where around 70% of the scenes were shot; a 1950s open film set, and even a survival game and military experience center. Nonsan is an acknowledged military city, with a government army center in its jurisdiction.
According to the studio’s management, Nonsan Sunshine Land attracts an average of 30,000 visitors, no small thanks to the drama’s huge following, and they expect to have more tourists with the expansion of the facility. It took a year to build the complex but more sections are being added, presumably to make it more comparable with other similar but bigger outdoor studios such as the Yongin MBC Daejanggeum Park, formerly MBC Dramia, which this writer was also able to visit on a recent Korea trip.
Entrance to Sunshine Land is free but there is a 7,000 Korean Won (KRW) (about P350) fee to explore the Sunshine Studio.
The people behind Sunshine Land skillfully replicated the look and feel of 1900s Joseon. A shop rents out hanbok (the Korean national costume) and visitors can walk through the area and feel like they traveled back in time. Staff manning Sunshine Land are also in costume and constantly in character, contributing to the one-of-a-kind vibe. There is a café inside the Glory Hotel, which serves refreshments to guests, like the character of Eugene Choi does in the series.
2. Daejeon City treats — Daejeon is the home of several Korean celebrities such as actress Song Joong Ki of Descendants of the Sun, actress-singer UEE of After School, and Kwak Dong-yeon, who played Park Bo Gum’s sidekick in Love in the Moonlight, and TV host Park Ji Min.
But this quaint city is more famous for its treats. For over 60 years, local and foreign visitors alike have flocked to Daejeon to enjoy the sweet creations of Sungsimdang Bakery. It offers a wide array of breads and pastries, chocolates and cookies, steamed buns, and its cake boutique has made-to-order and pre-made cakes. Double-decker French macarons are fast becoming best sellers although the runaway winner is the KRW 3,000 ciabatta, which was what Pope Francis ate during his 2014 visit. A personal favorite are the piping hot buns, which have different fillings such as squid, beef, and chicken. For KRW 1,500, one can choose from the various levels of sweetness and spice.
The patisserie also has a restaurant at the second floor with a selection of Korean and Italian-inspired dishes.
There are several Sungsimdang branches in downtown Daejeon but the main store is just a stone’s throw away from the Daeheung Catholic Church. For the uninitiated, it may be just another bakeshop chain, however, there is an inspiring story behind the patisserie. The original owner, Im Gil Soon, fled North Korea in the 1940s and started his new life in the South with only two bags of flour.
Aside from Pope Francis, many personalities have visited the pride of Daejeon City, including President Moon Jae In. In an interview, he even said that Mr. Im was with his father in the same evacuation ship from Pyongyang.
3. Portraits at Daecheong Lake — It may be something unusual on a travel itinerary but a photoshoot with a famous local photographer is certainly worth the effort to set an appointment and thereafter, to patiently wait your turn.
At Daecheong Lake there is a former warehouse for rice and grain that was transformed into a photography studio. The owner, who is simply known as Mr. Pea, has been running the place since 2017.
“In this modern era, people ‘lose’ themselves. Taking photographs is a way of ‘preserving’ themselves, only if only through portraits,” said Mr. Pea, through a translator, tourist guide Eugene (@eugeneaan).
And Mr. Pea has been successful in capturing his subject’s personality — so much so that he has made a name for himself in and outside of district. On his wall there are portraits of families and children, engaged couples in their pre-nuptial sessions, and intricately arranged concept photos. Clients also have the option to take portraits themselves using a remote control. The studio takes care of the lighting and the set.
As the demand for Mr. Pea’s services is increasing, clinching an appointment may be difficult. Many are willing to wait at the café next door — which he also owns — while he works his magic at the studio. Perfection takes time and patrons are aware of this.
4. Uineungjeongi Cultural Street — Uineungjeongi Cultural Street has the same feel as Insadong in Jongno, Seoul. It is vibrant and busy and has a shopping district, albeit at a scale smaller and more modest than Myeongdong.
It is best to experience Uineungjeongi at different times of the day. There is an eat-all-you-can rice cake chain, Dukki Tteobokki Buffet Restaurant, where lunch comprised of tteobokki, odeng (fish cakes), and ramyon (ramen) can be enjoyed hot pot-style.
Dinner can be had at Dasong Restaurant, which serves seok galbi — Korean rib meat marinated in sweet sauce.
At night, tourists can check out the Sky Road, which showcases a light show projected on the ceiling of a busy shopping street. In between shows, there are various RTW, cosmetics, and other outlets to explore as well as coffee shops and ice cream stores to try.
Anime lovers should make time for Nolsoop, a cartoon and book café, where enthusiasts can spend hours on end enjoying a wide array of titles. Most paperbacks and hard covers are unfortunately in Korean although customers are free to lounge around the private nooks, complete with soft mats and pillows. It can be an alternative hangout for tired tourists, as it also has a massage chair as one of it amenities.
5. Asan Marina Village — The Asan Marina Village is a Mediterranean enclave in Chungcheong. Its white buildings with blue and red rounded rooftops give it a Europe-like atmosphere. The community was formed after Samsung moved a part of its operations to the area from the Samsung Digital City in Suwon, another bustling South Korean city.
Prior to the trip to the Asan Marina Village, we visited the Myeongjae Old House, where we witnessed a traditional tea ceremony. Madam Yoon Gyeung Nam, the daughter a great tea master and herself recognized as an expert in her craft, taught the intricacies of preparing and serving Korean tea.
In Asan, the impressive architecture has attracted a lot of affluent Koreans, who have since made it their home.
Laidback yet modern, many have converged in the posh Blue Crystal Village, which is at the heart of Asan. Several establishments have sprouted in the village, including the restaurants such as the Yookpung Barbecue Restaurant, which serves some of the best Korean pork bellies and as such. It is always fully packed.
There are plenty of parks and art installations and first-time visitors will likely enjoy the relaxed ambience. Collectors can also visit the many art shops selling trinkets and knick-knacks while appreciating the residents and shop owners’ small gardens. For more diverse flora, there is also the nearby Oeam Folk Village, where one can also try one’s hand at hand-painting a traditional Korean fan.
6. Pilgrimage to Cheonan’s shrines — Although Christianity is not the dominant religion in Korea, it has a good percentage of practicing Catholics. Although not very popular yet, many pilgrims have included Cheonan as part of their pilgrimage.
The Shinri Holy Ground, for instance, is a sacred place where St. Daveluy, the 5th bishop of Joseon diocese lived. The French saint served in Korea for 21 years until his martyrdom in 1866. Shinri was then the largest Catholic village in Korea and a refuge of foreign missionaries. It played an important role in the evangelization of Korea and is also called the Korean Catacomb.
The Shrine of Solmoe, meanwhile, is the birth place of Korea’s first Catholic priest, St. Andrew Kim Dae-gun. The place is name “Solmoe” as the pine trees (“sol” in Korean) are clumped and appear like a hill (“moe”). Since the establishment of the Korean Catholic Church in 1784, the place has been the residence of martyrs of four generations.
Called the “Bethlehem of Korea,” St. Andrew Kim, who was beatified by Pope Pius XI in 1925 and canonized as a saint by then Pope John Paul II in 1984, discovered his vocation here early in his youth.
Travelers, as part of their religious journey, may also dine at a near Kil Mok Restaurant and order the lunch set of Pope Francis.
7. Ami Art Museum — Ami is a private art gallery in Dangjin that used to be a school. The owners transformed the classrooms into workshops and exhibition spaces.
Ami’s entrance fee is reasonable at KRW 5,000 for adults and KRW 3,000 for children considering the exhibit areas and workshops open to the public. At the time of our visit, there was a display of what appeared to be watercolor paintings in one room and an installation of ropes of various colors and with different designs in another.
Ami has an open field with benches which is a perfect playground for children or a resting area for weary visitors after exploring the gallery. A lot of greenery surrounds the museum, which are in full bloom during spring and exploding with colors during autumn. There are also several art pieces outdoors for its clientele to enjoy.
Bustling with enthusiasts even on weekdays, Ami likewise has a café, which also has many conversational antiques on display.
Upon our return to Seoul, there were new discoveries, places that we have not seen in previous visits. Starfield Coex, a huge shopping complex, launched the Byeol-Madang (which literally means “star ground”) in June 2016. The 2,000-square-meter library has two-storey (13 meters) high bookshelves. The Starfield library has more nearly 50,000 books and more than 600 magazine titles.
Foodies will enjoy Zapangi Café, which offers designer ice creams featuring various figures such as edible sugar mermaids and unicorns as centerpieces. Harry Potter enthusiasts should not miss the 943 King’s Cross Café which has all the references to the J.K. Rowling series — but sadly without displaying the copyrighted characters. The nearby Moca Radio Café is also touted as the best café in Seoul with its superb home-made desserts complementing its coffees and teas.
Even quick stops at BT21 Line Friends and Kakao Friends Shop will induce shoppers to shell out for cute merchandise with characters from popular mobile applications Line and Kakao.
As in every journey, the choice of destination lies with the traveler. It is not the most popular option, but choosing Chungcheong could be the best decision a Korean sojourner could make.
CHELSEA Logistics and Infrastructure Holdings Corp. posted a 24% decline in earnings in the second quarter due to losses in its shares in 2GO Group, Inc.
The listed Dennis A. Uy-led firm reported a net profit of P186.5 million in the April to June period, lower than the P245.6 million in the same period last year.
Revenues increased by 24% to P1.9 billion, outpacing the 42% rise in cost of sales and services to P1.3 billion.
Chelsea’s share in associates dropped 26% to P33.4 million, dragged by the weaker profit of 2GO during the period.
In the six months to June, Chelsea’s net profit stood at P308.4 million, a 15% drop from a year ago.
Consolidated revenues went up 28% to P3.5 billion, as its shipping business generated P3.3 billion in revenues, up 26% from a year ago. Revenues from its logistics business also grew by 75% to P223 million.
“[W]e are optimistic that these numbers will only improve — first with the turnaround in the 2GO net income…and second, the Group’s expansion programs,” Chelsea President and Chief Executive Officer Chryss Alfonsus V. Damuy said in a statement.
He noted the company’s acquisition of new vessels is expected to improve operations and raise earnings moving forward. Chelsea is also building a 2.5-hectare warehouse in Taguig City which will be operational next year. — Denise A. Valdez
THE VIDEO GAME industry — responding to criticism that in-game purchases can amount to gambling or tempt kids into overspending — is changing its policies.
Gaming-device makers Sony Corp., Microsoft Corp. and Nintendo Co. will now disclose the probability that a buyer will obtain a desired item after a purchase. Game publishers such as Activision Blizzard Inc. and Electronic Arts Inc. will make the disclosures as well. Companies had already agreed to include labeling that told consumers there would be opportunities to buy things within games, according to the Entertainment Software Association, a trade group.
Console makers are looking to adopt the new policies in 2020.
In-game purchases have been a huge source of revenue for the industry, which frequently charges extra for new characters, missions or weapons. Often the content is hidden inside what’s called a “loot box,” so buyers don’t know exactly which items they’ll be getting when they purchase the box.
Regulators around the world have grappled with whether that constitutes gambling. The approach also has led kids to spend more on games than their parents intended.
The new policies were announced the same day the US Federal Trade Commission hosted a workshop on the issue that included 14 speakers, many of them consumer advocates.
In May, a bipartisan group of senators introduced a bill that would ban loot boxes in games aimed at players under 18. Belgium also has declared them illegal, and in addition to the FTC, regulators across Europe are looking at the issue. — Bloomberg
EAST WEST Banking Corp. (EastWest Bank) booked higher earnings in the second quarter, driven by higher income from fees and commissions, trading gains, and lower credit costs.
In a disclosure to the local bourse on Wednesday, the bank said it posted a P1.41-billion net profit in the second quarter, climbing from the P1.279 billion it earned in April-June 2018.
The bank return on equity stood at 12.3% as of June versus last year’s 11.1%.
Net interest income climbed to P4.99 billion last quarter from the P4.77 billion booked in the same period last year on higher earnings from service charges, fees and commissions and an increase in trading gains as well as trust income.
Income from service charges, fees and commissions climbed to P1.41 billion from P1.064 billion in the comparable year-ago period, while trading gains amounted to P198.46 million, up from the previous year’s P80.72 million. Trust income rose to P15.16 million from last year’s P11.9 million.
Meanwhile, total operating expenses grew to P4.71 billion in the three-month period from P4.65 billion last year.
EastWest Bank’s first-semester net income stood at P2.7 billion, 21% higher than the P2.23 billion posted in the same period in 2018.
Net interest margin was at 6.5% for the semester.
“For the second half of 2019, we anticipate our net interest margins to recover as the liquidity situation improves and interest rates to normalize,” EastWest Bank President and Deputy CEO Bobby S. Reyes said in a statement.
“Last quarter, we mentioned that due to tight liquidity and higher funding costs, our margins were ‘squeezed’. We are slowly seeing improvement on this and anticipate a better second half for 2019,” Mr. Reyes added.
The bank’s capital adequacy ratio stood at 13% at end-June, while its common equity Tier 1 ratio was at 10.3%.
Total assets stood at P389.5 billion as of June 30 growing by 22% from the same period last year.
As of June 30, EastWest Bank had a total of 390 stores, with 212 of these stores in Metro Manila. Its total automated teller machine (ATM) network was at 583, composed of 399 on-site ATMs and 184 off-site ATMs.
EastWest Bank shares went up two centavos or 0.17% to P11.54 each.
DAVAO CITY — Lugang Café of China’s Bellagio Group of Restaurants has opened its first branch in Mindanao at the SM City Ecoland here and several more are planned in other cities in the island.
Jonathan Kevin J. Bangayan, Lugang Café Davao operations manager, said two other branches are targeted to open in Davao before the end of the year and by 2020. They will be located at the Ayala Abreeza Mall and SM Lanang Premier.
The other target cities are Cagayan de Oro (CDO), Tagum, and General Santos.
“I have friends in CDO who also urged us to open there because people there are looking for it, maraming Chinese doon pero walang mahanap na (there are many Chinese living there but one cannot find) Taiwanese or Chinese food,” said Mr. Bangayan, referring to both Filipino-Chinese and Chinese nationals.
“But no tangible date, maybe in the next three to five years pa,” he added.
Mr. Bangayan, whose family bagged the Lugang Café franchise for the entire Mindanao, said their decision to bring the chain here is to fill the unmet need for an upscale Chinese restaurant and his mother’s love of the cuisine.
“What you are lacking here in Davao is a good fine dining Chinese restaurant… (and) my mom loves Chinese food and she always goes to Lugang Café in Manila,” he said in an interview during the restaurant’s “Feast All You Can” promo which is being offered in time for the ongoing Kadayawan Festival.
“She looked at Davao and thought that it is appropriate already to open Lugang. We talked to the owners, and the rest is history,” he said
A Chinese chef from Lugang has been brought in to oversee the kitchen and ensure adherence to the restaurant chain’s standards.
Mr. Bangayan said some of the ingredients they use are sourced locally, but most other items, such as the seasonings, come from China.
“When you look at Taiwanese food, it’s more of less sauce and the use of ginger and basil. A lot of general Taiwanese cuisine usually comes from Lugang, Shantou. This is where most of the food comes from,” he said.
“If we do change our ingredients to the ones available here, baka maiba ’yung lasa (it might change the taste),” he said. — Maya M. Padillo
ONE OF President Rodrigo Duterte’s signature decisions that earned him more respect and adoration from the vast majority of the people (including myself) was when he temporarily closed the country’s most famous tourist island resort, Boracay — a move that was unprecedented in more ways than imagined. Boracay was an income generating avenue for the government, and this move to rehabilitate an island that our president made notorious when he called it a “cesspool” was one of the gutsiest choices ever made by a leader.
So on April 26, 2018, Boracay island was shut to non-residents and started an ambitious six-month-long rehabilitation. The revenue loss was estimated to be between P15-30 billion, with hundreds of establishments shut down because of environmental violations and thousands of jobs lost in the process. The island was reopened to tourists on Oct. 26 last year, with several new regulations imposed, including limiting the number of tourists, checking for confirmed hotel bookings (no more backpackers sleeping on the beaches), no more fire eaters, fire dancers, masseuses, vendors, and, of course, no more drinking of alcohol beverages within five meters of the beach areas, riverbanks and public parks.
THEN AND NOW
I have been going to Boracay since 1998. Two decades ago, it was really like paradise on earth, with a certain charm and allure that even seemed magical. This was not the case when I returned to the island earlier this decade, prior to the rehabilitation. Not only was Boracay losing its shoreline and much of its cleanliness because of vast commercialization and uncontrolled tourism overflow, but it had lost the previous enchanting and diverse demographics of the people — both residents and tourists that used to occupy the island.
Gone were the days where a small Italian restaurant owner would cook authentic pasta meals for you, or a French restaurateur would serve you genuine crème brulee. Instead Station 1 and Station 2 are now hubs for big chains like Jollibee, McDonald’s, KFC, Shakey’s, Yellow Cab, Starbucks, 7-11, etc. — so no more unique food and beverage experience.
Gone were the days, too, when you’d see more Caucasians from Europe and North America. Instead, we see mostly mainland Chinese and Koreans. They seemed to even outnumber Filipino tourists. Chinese and Korean restaurants dominate the scene outside of the big chains. Most establishments — from hotels to restaurants — have both Chinese and Korean translation on their menu as an obvious indication of the times.
THE NEW BAR SCENE
OM, Nigi Nigi Nu Noos Bar, Summer Place, Epic Club, and Paraw Club were some of the most happening drinking sanctuaries in Boracay before the shutdown and rehabilitation, but when I was there just last week, even on a Saturday, none of these places were full. Before the rehabilitation, these bars were all jampacked and standing room only. Granted that there was inclement weather last week, still, every single flight to Caticlan, other than a few that got delayed, from Philippine Airlines and Cebu Pacific to AirAsia, were fully booked. I had a chance to see each and every one of the bars I listed above when I was strolling from Station 1 to Station 2 at night.
My chitchats with the waiters and security guards of these establishments revealed that the bar business in Boracay is indeed down — way below compared to the levels prior to the temporary closure. Bars are now asked to close by midnight, too, so it is no longer possible to see people drinking silly and getting wasted till the wee hours of the morning, like it was before. There are also police, both on foot and in patrol vehicles, monitoring the bars at the stations.
Even the wine shops on the island have experienced lower sales after the island was reopened to tourists. While wine shops are not directly affected by the curfew on bars, the shop keepers say that it is the kind of tourists they have now who are not buying as much as the ones before. Caucasians are known to be bigger alcohol consumers generally than Asians. Even the quality of alcohol is down. Local spirits are selling much more than imported spirits. When it comes to wines, expensive wines priced above P1,000 per bottle are almost non-existent now. People buy wines at P500 per bottle and below only.
Locals however tell me that there is a way around the midnight curfew on drinking. The easiest is obviously to buy from 7-11 or Budget Mart and bring the alcohol back to your hotel rooms to get further inebriated, or buy beers at the 24-hour convenience stores and drink inside the store. Some locals even suggested that sari-sari stores will welcome drinking after midnight — but this offer is only good for Filipino tourists. In both cases (convenience stores and sari-sari stores) only beers are allowed past midnight, not wine nor spirits. Alcohol consumption in general is way down because of the curfew, the restricted number of the incoming tourists, the “no drinking in beach” policy, and the absence of the Caucasian tourists.
ROADS NEED TO IMPROVE
While the beach front has indeed shown much improvement, with trash rarely seen, and people more disciplined with their personal garbage disposal, the roads are, however, still pretty bad.
The main road, the Boracay Highway Central, has long stretches where it is barely passable even on one lane. I also did not get to see ongoing construction work during my four-day visit, and this should not happen even if it was raining. Instead I saw a bulldozer, an excavator, and a couple of dump trucks just taking road space. If you stay in Station 2, you may not get to see the bad roads, but if you stay in Station 1 and further to the north in hotels like Alta Vista, Movenpick, Crimson, and the like, the ride to the main commercial hub will be very rocky and wobbly every time. It is such a huge eyesore for the island so the DPWH better get the roads done with no further delay.
I have to admit that Boracay is not as appealing to me as it was before, even after the reopening. However, I am still 100% in agreement with our president on his decision to stop the cancer within Boracay, and rehabilitate it despite the economic and perhaps even political implication of such a tough but wise decision. Now that Boracay is once more open to tourists, the rehabilitation should continue, the discipline and new regulations should be followed, and the roads should all be fixed as planned. There is no turning back now, even if it means me drinking less alcohol when I am in Boracay.
The author is a member of UK-based Circle of Wine Writers. For comments, inquiries, wine event coverage, and other wine-related concerns, e-mail the author at protegeinc@yahoo.com. He is also on Twitter at twitter.com/sherwinlao.
