GCash to help WWF Philippines on reforestation of Ipo watershed

June 13, 2019 | 12:04 am

By Vincent Mariel P. Galang, Reporter

MOBILE money platform GCash has committed to help reforest 300 hectares of the 7,236-hectare Ipo watershed in Norzagaray, Bulacan.

On June 10, GCash signed an agreement with World Wide Fund for Nature (WWF) Philippines for the reforestation, protection, and management of the adopted area.

GCash will be sponsoring the planting of trees in the area. For three years, WWF Philippines will monitor and report the status of these trees, which is the average period in order to see in an area being rehabilitated or reforested.

“As a company, we are constantly looking for ways to help build a better, stronger, more environmentally secure nation. Through this project, we hope to contribute to water security, as well as the creation of sustainable cities and communities in the Philippines,” Anthony Thomas, president and chief executive officer of Mynt or Globe Fintech Innovations, Inc., said in a statement.

Mynt is the operator of GCash.

The Ipo watershed was declared by the Department of Environment and Natural Resources (DENR) as a protected area, but its forest cover has drastically dropped to 40% from 85% for the past years due to illegal activities such as illegal logging, charcoal-making, and slash-and-burn farming.

If these activities continue, a water crisis may likely occur. Ipo is part of the Angat-Umiray-Ipo watershed system, which supplies 98% of Metro Manila’s water.

Watersheds need trees since they absorb rainwater which it channels into streams, rivers, and dams where people source their water.

The reforestation of the watershed will also involve the DENR and the Biodiversity Finance Initiative (BIOFIN) Philippines. More details about the partnership will be announced on June 25, which is noted to be the first in the Philippines.

“The most important aspect on the partnership with GCash is their platform. Millions of Filipinos use their platform, and since it’s a financial platform it can make it a lot easier for people to help us in our work for the environment,” Paolo B. Pagaduan, project manager of WWF Philippines, told BusinessWorld after a forum by GCash on Tuesday.

“Primarily, one is providing the funds, but the platform that will be launched in raising awareness and educating the people, and eventually, tracking the progress of what they are donating,” Mr. Pagaduan said.

Anabelle E. Plantilla, project manager of BIOFIN, told BusinessWorld that BIOFIN’s partnership with GCash raises awareness on biodiversity conservation.

“At the same time, (the partnership with GCash) mobilizes resources for priority actions indicated in our Philippine Biodiversity Strategy and Action Plan. The results of this partnership will contribute to the Philippine commitment to the United Nations Sustainable Development Goals 15 (Life on Land) and 17 (Partnerships for the Goals),” she said.

Therapy in the office: Big banks take mental health fight in-house

June 13, 2019 | 12:03 am

LONDON — In Billions, a US television show set in the world of hedge funds, traders at the fictional Axe Capital regularly attend sessions with an in-house psychiatrist.

In real life, finance professionals are rarely so open about seeking psychological help.

On Wall Street and in the City of London, hyperambition and an ‘always on’ attitude are richly rewarded and people are often wary of revealing something that could be perceived as a weakness.

Two out of three people working in financial services have experienced mental health issues as a result of work or where work was a related factor, according to a 2018 survey, broadly in line with the wider workforce. The Mental Health at Work poll questioned over 4,600 British employees from a range of industries.

Many don’t tell their bosses for fear of damaging their careers.

“Stigma definitely still exists,” said Beth Robotham, an executive director at Goldman Sachs in London.

“Legislation is supposed to protect people from that kind of discrimination and employers are trying much, much harder but it would be naïve of me to say that that wasn’t an issue any more.”

Robotham experienced anxiety attacks when she was in charge of recruiting bankers focused on the healthcare sector for Goldman in Europe, the Middle East and Africa (EMEA) in 2010. It took her months to tell her managers and seek help.

“I just assumed that people like me must just fall out of ‘the system’, and therefore I should just keep quiet or else I will be pushed out,” she said.

Robotham, deputy chair of the City Mental Health Alliance, which promotes good mental health among London’s financial workforce, is one of a growing group of executives choosing to speak publicly about their problems to reassure others they are not alone.

SUFFER IN SILENCE
People can experience anxiety, depression and other mental health issues regardless of their job.

But punishing schedules can pile on extra pressure. All-nighters and 100-hour work weeks are not unusual in investment banking, particularly when working on deals or public offerings of debt or equity.

Some 44% of banking employees said they felt under excessive pressure to perform in their work, according to a survey of over 70,000 people carried out by Britain’s Banking Standards Board last year. A quarter said that working at their firm was bad for their health.

In recent years, banks have tried to lighten workloads, relax dress codes and give staff more time to focus on life outside the office to retain talent and avoid costly burnout.

But bankers with mental health problems, especially those still early in their careers, are often reluctant to flag them in case their bosses think they can’t hack the pace.

Matt Evans, global head of investment bank recruiting and head of firmwide recruiting for EMEA at JPMorgan, said he spent nearly 20 years concealing his struggle with depression until the bank’s ‘This Is Me’ campaign in 2017 prompted him to share his experiences.

“There’s been no downside for me in telling my story. The support I’ve had has been significant,” he said. “I got promoted to MD after disclosing my condition.”

Evans was recently diagnosed with bipolar disorder and took three months off last year. He was phased back into work in December and says he is “100% convinced” the break will have no impact on his professional prospects.

But not everyone shares his confidence around attitudes to mental health.

While it is illegal for employers to discriminate against people for having mental health problems, more than half of 2,000 UK workers surveyed by health-tech firm Mynurva feared telling their manager would hinder their chances of promotion, while 57% believed disclosure would harm relationships with colleagues.

Mynurva, which provides online counseling, also reported a surge in demand from financial executives who are bypassing their employers’ services because they fear the consequences.

“The findings show the fear and embarrassment employees have when disclosing their condition to their employer. And it explains why professionals would rather suffer in silence than seek the necessary help,” said Dr Zain Sikafi, CEO of Mynurva.

MENTAL HEALTH FIRST AIDERS
One in four people will be affected by mental or neurological disorders at some point in their lives and the annual cost to the global economy is estimated at $1 trillion in lost productivity, according to the World Health Organization.

Brian Heyworth, global head of client strategy at HSBC and chairman of the City Mental Health Alliance, wants his bank and others to help employees before they become seriously ill.

“In an organization of 235,000 people, some will be having suicidal thoughts but many more will be sliding along the spectrum towards that point. We want to anticipate and prevent that,” he said.

HSBC is considering hiring on-site counselors as part of its ‘Healthiest Human System’ initiative, the brainchild of CEO John Flint.

JPMorgan’s first UK-based on-site counselor is due to start work at the bank’s offices in London’s Canary Wharf this summer.

The bank already has full-time counselors in nine US locations, including New York, Delaware, Chicago and Texas and also offers a Resilience App providing stress management tips.

Goldman Sachs is planning to train dozens of UK staff as mental health first aiders so that they can spot signs that colleagues may be starting to spiral due to stress or anxiety — including changes in appearance, working habits or social patterns, Robotham said.

Goldman has also launched a paid internship program in the United States for people who identify as ‘neurodiverse’. Neurodiversity covers a wide range of neurological differences including autism, dyslexia, developmental disorders and mental health conditions.

As the public profile of mental health grows, employers in Britain who fail to show adequate mental wellbeing provision for staff could be sued under the Management of Health and Safety at Work Regulations Act 1999, which compels employers to assess the nature and scale of health risks at work, including stress.

“The harm and detriment to an employer stemming from these kinds of issues are not solely financial, they can inflict greater damage to reputation, public image, productivity and retention,” said Matthew Cole, partner at law firm Prettys.

Cole said he had not seen any significant rise in the number of staff seeking damages from employers due to stress-related conditions but said companies were very sensitive to the risk.

“If an employee ends up with a psychiatric condition which prevents them from working in an environment where they might have otherwise earned six figures, that can amount to some significant liabilities.”

Prevention is much cheaper. Britain’s Mental Health Foundation estimates that mental health support in the workplace could save UK businesses up to 8 billion pounds a year.

The charity puts the cost of providing information and advice on mental health online and via workshops at around 80 pounds per employee per year.

Heyworth has grappled with anxiety and depression since childhood and was hired by HSBC after a period of leave from Bank of America. He knows that he is one of the lucky ones, both banks knew of his mental health problems and were supportive.

“Make no mistake, we are still in the foothills on this journey,” he said. “The positive thing is that more people are now asking for help, but we also need to accept that there are probably more people who need help too. The next phase of the challenge is creating the conditions where we can reverse that trend.” — Reuters

Campari to hold Negroni Week later this month

June 13, 2019 | 12:03 am

ITALIAN chic is captured in every glass of Negroni. The drink was first mixed in Florence with gin, vermouth, and Campari liqueur, requested by a count from his bartender (the drink was eventually named after the count, whose last name was Negroni).

As for Campari, the centuries-old brand was founded in Novara by Gaspare Campari — 49% of the company is still owned today by members of the Campari family. Today the Campari Group owns over 50 brands, including Aperol, SKYY Vodka, and Wild Turkey.

Orson Welles liked negronis well enough, so why shouldn’t you? “People who drink negronis are people who are more daring,” said Symphony Loo, Campari’s brand ambassador.

Ms. Loo was in town last week at The Peninsula’s Salon de Ning to promote the company’s Negroni Week, which will span from June 24 to 30. While it has made appearances in the country in the past, this will be its biggest celebration yet.

The promotional activity began in 2013 as a partnership between Campari and Imbibe magazine. Only one or two bars from the Philippines joined in the few years past, but Ms. Loo wants something big this year. To do that, a bar or a restaurant has to sign up at the website https://negroniweek.com/. The restaurant can give a negroni recipe, and a required $25 donation. In return, Campari will lend marketing support, the publication of the establishment’s negroni recipe, and then three complementary bottles of Campari.

The event, which had 10,000 partners last year, has raised about $2 million for charity since 2013. — JLG

Planemakers race for wide-body orders in Asia showdown ahead of Paris Airshow

June 13, 2019 | 12:03 am

AIRBUS and Boeing are battling for wide-body aircraft orders worth well over $10 billion as the clock ticks towards next week’s Paris Airshow, industry sources said.

The contests include a fight for business at Philippines budget airline Cebu Air as Airbus seeks a new foothold for its slow-selling A330neo airliner in the face of competition from Boeing’s 787 Dreamliner.

The budget carrier is leaning towards breaking its exclusive ties with Airbus by selecting the Boeing 787 for its requirement for up to 16 wide-body jets to be delivered in 2020 and 2021, but negotiations are set to go down to the wire, the sources said.

None of the parties agreed to comment on any confidential aircraft negotiations.

Airbus is urgently looking for at least two new buyers for the upgraded A330neo model, while wrestling with some glitches and delays in production for the 250-300-seat aircraft.

Cebu Air has eight older versions of the A330 wide-body and a fleet of smaller A320-family aircraft.

Airbus is close to signing a deal to sell A330neo jets to Virgin Atlantic, Reuters reported last week.

Asian carriers are looking to renew their long-haul fleets as passenger demand remains robust despite a decline in cargo traffic amid global trade tensions.

Boeing looks set to win an order for its upcoming 777X long-haul jet from Korean Air, industry sources said.

The South Korean flag carrier declined to comment.

Korean Air Chief Executive Walter Cho said last week a decision on the future of the carrier’s wide-body fleet would be made “imminently,” but declined further comment.

Airbus has, meanwhile, poached a senior air finance executive from a unit of General Electric (GE) to oversee the reorganization of its sales financing operations in the latest evidence of a shake-up under new management, people familiar with the matter said.

Paul Meijers, until recently president of PK Air Finance, a debt financing unit of GE’s aviation leasing arm GECAS, will be responsible for an enlarged operation combining the key areas of asset management and leasing market operations.

Airbus declined to comment. Mr. Meijers, who had previously worked for the European planemaker, could not be reached for comment. — Reuters

Baht, rupee firm; most trade sideways

June 13, 2019 | 12:02 am

A MAN counts a stack of Thai baht and Indian rupee notes.

ASIAN CURRENCIES traded narrowly on Wednesday, with the Thai baht and Indian rupee firming as investors looked to data that could raise prospects of an early cut in US interest rates.

Economic indicators in the United States have been a point of focus for emerging markets, given that sustained weakness in the economy could prompt immediate action from the Federal Reserve and drive money to regional currencies.

Sino-US trade tensions, meanwhile, kept markets cautious as US President Donald Trump hardened his stance on trade talks with China.

Trump said on Tuesday he was holding up a trade deal with China and had no interest in moving ahead unless Beijing agrees again to four or five “major points,” but he did not specify.

“Expect investors to remain antsy with US Commerce Secretary expecting no major breakthrough deals, while official rhetoric from China continues to harden,” OCBC’s Emmanuel Ng said in a note.

The Thai baht led gains for the day, rising about 0.15% to the dollar. The currency has outperformed its peers this year, gaining about 4.2% so far.

While Thailand’s strong economic fundamentals, such as a robust current account surplus, have bolstered the baht, headwinds from global trade are expected to weigh. This has already become apparent with a steady decline in its surplus this year.

The Indian rupee rose about 0.06% to the dollar. The currency has benefited from a recent drop in oil prices, as India imports a vast majority of its crude requirements.

Retail inflation in the country is expected to have accelerated in May, according to a Reuters poll, but will likely remain below the Reserve Bank of India’s target, providing it with more room to ease policy after shifting to an accommodative stance last week. The official reading is expected later in the day.

Indian industrial output data for April is also due later in the day.

Elsewhere, the Chinese yuan edged about 0.07% lower against the dollar. It gained on Tuesday following the central bank’s plans to issue bills in Hong Kong later in June that analysts believed were aimed at preventing the currency from declining further.

The Philippine peso saw limited trade with markets closed for a public holiday. — Reuters

IKEA teams up with Ori on robotic furniture to help you save space

June 13, 2019 | 12:02 am

ALMHULT, SWEDEN — IKEA has teamed up with US start-up Ori for the development of a robotic piece of furniture aimed at helping people make more efficient use of tiny living spaces.

The world’s biggest furniture brand unveiled last week the moving room divider that, depending on needs throughout the day, doubles as bed, walk-in closet or sofa, or frees up a separate work space.

A commercial launch is set for 2020, in densely populated Hong Kong and Japan to begin with, the company said.

“With robotics, you transform space, especially for those who live in extremely small spaces. It’s a need that they have and why not use the technology that’s out there,” Seana Strawn, product developer for innovations at the furniture group’s range development leg IKEA of Sweden.

Strawn said in an interview that IKEA had been working with Ori on the product, which is operated through a touchpad, for two years.

The piece is built on a robotic platform developed by Ori, which already sells shape-shifting furniture in the United States under its own brand and which is eyeing a broader customer base through IKEA’s budget-price strategy and global footprint.

“This is technology, robotics and design coming together to solve a problem that needs to be solved: As living spaces become smaller and smaller we can’t keep using all the same furniture we’ve been using for many years,” Ori CEO Hasier Larrea said.

“We need to think of a new generation of furniture. You can almost call it furniture with superpowers,” he told Reuters. — Reuters

Philippines on track to complete migration to DTT by 2023 — DICT

June 13, 2019 | 12:02 am

THE Department of Information and Communications Technology (DICT) said the country is on track with the plan to completely migrate to digital terrestrial television (DTT) in four years, as TV networks continue works on launching DTT devices.

DICT Acting Secretary Eliseo M. Rio, Jr. told reporters Sunday there is enough time to push through with the 2023 deadline set by the government for the switching off of analog television systems, which it announced when it launched the Digital Terrestrial Television Broadcasting Migration Plan in 2017.

“2023 pa naman ’yun. So far wala namang major complaint o nagsasabi na hindi doable. So talagang on track tayo [That’s still 2023. So far there’s no major complaint, or anyone saying it’s not doable. So we’re really still on-track],” he said.

Just this month, ABS-CBN Corp. launched a portable DTT device called ABS-CBN TVplus Go, which allows the streaming of free-to-air channels via mobile phones and devices. This is on top of its ABS-CBN TVPlus boxes that it launched in 2015 and so far saw sales of 7 million units as of February.

Rival network GMA Network, Inc. is also scheduled to launch by the second half of the year its own DTT device MyGMA Go, which works similar to ABS-CBN TVplus Go by acting as a dongle attachable to mobile phones to receive signals for watching free-to-air channels.

The DTT shift started as soon as the early 2000s for other countries in other parts of the world, and the Netherlands, Germany and Luxembourg were some of the early adopters. But Mr. Rio said the delay for such initiative from television networks in the Philippines is due to the non-availability of digital-ready television units in the past.

“Ang problema kasi talaga ’yung television set, kung ’yan ay digital na. Eh ang available sa market hindi pa eh. So sinong manonood ng digital [The problem was the television sets, if they were digital-ready. What were available in the market then were not. So who would watch through digital]… (But now) so far walang nagrereklamo. Kasi halos lahat na ng TV na mabibili digital-ready na [But now no one is complaining. Because all televisions sets you can buy are digital-ready],” Mr. Rio said, referring to the transition of networks to digital TV.

The shift to digital television is expected to improve picture clarity and to deliver a crisper sound, thereby improving television services in the country.

Once the DTT migration plan is completed, the DICT expects to free up some very high frequencies held by television networks, as they would be reassigned ultra high frequencies comprising channels 14 to 51. — Denise A. Valdez

The perfect punch for a Gay Pride Party combines vodka and rosé

June 13, 2019 | 12:02 am

THIS MONTH marks the 50^th anniversary of the Stonewall Riots, an event widely regarded as the catalyst for the modern gay rights movement — and for those in the LGBTQ+ community as well as their allies, a prime time to celebrate. The five decades have brought tremendous progress from the decriminalization of homosexuality in many parts of the world, through the AIDS crisis to marriage equality in the US and beyond. Yet, there remain miles to go, especially when it comes to transgender rights.

With that in mind, may we suggest — for your own pride parties — a toast to trailblazer Marsha P. Johnson?

A black transgender activist and member of the Hot Peaches, a performance group, Johnson was one of the instigators of the Stonewall uprising and was a fierce advocate for LGBT liberation until her death in 1992. The “P” in her name stood for “Pay It No Mind,” a rallying cry for unapologetic, radical self-expression. New York is honoring her and fellow trans activist Sylvia Rivera with a permanent monument, one of the world’s first for transgender people.

For your own tribute: an approachable pink and fruity, yet-powerful punch. Think of it as a celebratory riff on the low-cal vodka soda that’s so ubiquitously drunk by folks as to be nicknamed “gay water.”

The peach tea infusion might seem daunting at first, but it’s a low-effort, high-impact way to add a layer of flavor to drinks, and neutral vodka is the perfect base for it. (From there, feel empowered to experiment with additional tea/spirit combinations such as green tea and gin — or black tea and bourbon, if your tastes lean more that way.) To this, you’ll add fresh lime juice, for bright acidity, and pink sparkling wine, for color and an additional layer of flavor. Rather than go all-in on the bubbly, use sparkling water as way to add length to the drink and keep your guests from getting too rowdy.

As a nod to the flowers Johnson often wore in her hair, edible orchids are available online. They are very much worth the splurge for this 50-years-in-the-making celebration.

PAY IT NO MIND PUNCH

Serves 10-15

• 750 ml. chilled peach tea-infused vodka (below)

• 10 oz. simple syrup

• 8 oz. fresh lime juice

• Ice1 750 ml. bottle chilled rosé sparkling wine

• 1 liter chilled sparkling water

• Edible orchids, for garnish

Pre-chill all ingredients for at least four hours before serving. Combine tea-infused vodka, simple syrup, and lime juice in a punch bowl with four cups of ice cubes or, preferably, a few medium-sized blocks of ice (they can be made in deli containers or Tupperware food savers) to reduce melting and dilution. Top with the rosé sparkling wine and sparkling water. Garnish with edible orchids.

For peach tea vodka

• 10 grams or 5 bags peach tea (such as Harney & Sons)

• 1 750 ml. bottle vodka

Combine tea and vodka in a nonreactive container; let steep for 10 minutes and strain. The yield will be slightly less than you started with, but it will work with the recipe above. The infusion can be prepared up to one week in advance.

FOR SIMPLE SYRUP

Combine equal parts sugar and water in a small pot over low heat, stirring occasionally until all the sugar is dissolved. Let cool before using. Keep in the refrigerator in an airtight container for up to one week. — John deBary, Bloomberg

Manulife wields Amazon Prime, chatbot to battle large lenders

June 13, 2019 | 12:01 am

MANULIFE FINANCIAL Corp., Canada’s largest life insurer, is taking on the country’s large lenders with a new package of banking products designed to win over digitally savvy millennials.

The insurer’s Manulife Bank has unveiled a banking package with perks aimed at appealing to a younger set: a one-year subscription to Amazon.com Inc.’s Amazon Prime service, a mobile app with artificial-intelligence features such as a chatbot and spending insights, a network of 3,500 bank machines including ones at Circle K stores, and monthly fees waived when savings are increased by C$100 ($75) a month.

“We want to be the best alternative to the big banks and attract millennial customers to help feed Manulife’s growth within Canada,” Manulife Bank Chief Executive Officer Rick Lunny said in an interview at the insurer’s Toronto headquarters. “What this does is attract younger customers to the Manulife brand.”

Manulife Bank’s All-In Banking Package — which includes an everyday banking account, high-interest savings account, travel insurance and a no-fee, cash-back Visa card, for C$10 a month unless the fee is waived — marks what Lunny calls “a natural evolution” for the company. All the products can be initiated online within four minutes, according to Manulife. Its previous banking products such as mortgages have been sold through financial advisers targeting more “financially mature” clientele, Lunny said.

The move targets younger customers banking with dominant lenders such as Royal Bank of Canada as well as internet banks including Tangerine and Simplii Financial, owned by Bank of Nova Scotia and Canadian Imperial Bank of Commerce, respectively. Lunny estimates that 80% of millennials have their accounts with the big domestic banks.

LARGER RIVALS
Manulife, which gets most of its earnings from insurance and wealth-management businesses at home and abroad, has much larger rivals in the banking industry. Manulife Bank had C$25.5 billion of total assets as of March 31, compared with about C$1.4 trillion each at Royal Bank and Toronto-Dominion Bank, the nation’s two largest lenders; C$41.3 billion at Tangerine; and C$26.3 billion at Equitable Bank, an digital lender owned by Equitable Group Inc., according to Canada’s banking regulator.

Manulife Bank started in 1993 as a branchless lender and the first federally regulated bank opened by an insurance company in Canada. Its products include a high-interest savings and checking account, credit cards and an all-in-one mortgage and banking product.

Canadian banks, alternative lenders and financial-technology firms have been seeking novel ways to woo consumers with mobile offerings and other perks in a mature domestic-banking environment, with most growth coming from stealing rivals’ market share.

US banks also are chasing the younger set — with mixed results. JPMorgan Chase & Co. is closing its digital-only bank, Finn, a year after rolling out the brand nationally. It found that millennial customers don’t necessarily want a separate digital experience.

To build its product, Manulife looked overseas for some of the best examples of digital banking, finding inspiration in Monzo Bank Ltd. in the UK, N26 in Europe and DBS in Asia, adding the best ideas it found to its own in-house innovations.

“This is a major step forward in the digital evolution of Manulife,” Lunny said. — Bloomberg

Shares may move sideways on lack of catalysts

June 13, 2019 | 12:01 am

By Arra B. Francia, Senior Reporter

SHARES may move sideways for the rest of the week as investors take profits amid a lack of leads.

The benchmark Philippine Stock Exchange index (PSEi) slumped 0.17% or 14.41 points to close at 8,030.98 on Tuesday, ending a three-day winning streak for the market.

Turnover was valued at P7.78 billion in the previous session, while net foreign inflows stood at P244.02 million.

The market was closed on Wednesday, June 12, as the country celebrated its 121^st Independence Day.

“For the remainder of the week, we may still see some profit taking at around 8,100 level may also continue the sideways movement within the range of 7,900-8,100. No market-moving catalyst as of this moment — thus, investors might be in accumulation mode resulting to sideways movement,” Philstocks Financial, Inc. Research Associate Piper Chaucer E. Tan said via text.

Unicapital Securities, Inc. Technical Analyst Cristopher Adrian T. San Pedro also noted the PSEi may move sideways in the short term.

“I see the index to remain sideways between 7,800 support and 8,140 resistance in the short term with the possibility of testing 8,214 and 8,300 resistance levels if it stays above 7900,” Mr. San Pedro said in a separate message on Tuesday.

Philstocks’ Mr. Tan added that the market may get a boost from the increase in investment pledges recorded by the Board of Investments (BoI).

The BoI said on Tuesday that the value of projects pledged from January to May totaled P290.6 billion, 40.1% higher than the same period a year ago. Power-related investments accounted for 63.8% of this figure, as pledges for the sector alone grew 74% year on year.

The Philippine Statistics Authority also reported on Tuesday that the country’s trade deficit slimmed by 5.4% to $3.7 billion in April. The decline for the month, however, was not enough to offset the increase in year-to-date trade deficit, which stood at $13.26 billion, 12.4% higher year on year.

Overseas, investors may also see a bright spot as the United States moves to iron out its trade disputes with China and Mexico. US President Donald J. Trump recently said he is preparing to meet Chinese President Xi Jinping during the G20 Summit in Japan later this month, although the latter has yet to confirm his participation.

“The US also is considering trade deals with China and Mexico as investors remain hopeful for this moment,” Mr. Tan said.

Wall Street indices on Tuesday, however, ended with not much changes. The Dow Jones Industrial Average went down 0.05% or 14.17 points to 26,048.51. The S&P 500 index dipped 0.03% or 1.01 points to 2,885.72, while the Nasdaq Composite index decreased 0.01% or 0.6 point to 7,822.57.

Nokia winning 5G contracts despite delivery delays, chief executive says

June 13, 2019 | 12:01 am

NOKIA OYJ is winning contracts “quite handsomely” in new 5G telecom networks as the top three suppliers go head-to-head for the emerging business, Chief Executive Officer Rajeev Suri said.

“We compete quite favorably with Huawei, with or without the current security concerns,” Suri said in an interview with Bloomberg TV’s Caroline Hyde on Monday, referring to issues raised by the US and elsewhere about China’s Huawei Technologies Co., the world’s largest network equipment manufacturer.

Against fellow Nordic competitor Ericsson AB, “we win two-thirds of the time,” Suri said, “compared to one-third of the time that they swap us out.”

The CEO is rebutting concerns from some analysts and executives that Nokia has fallen behind in the early phases of delivering products for the fifth generation of mobile networks. A few weeks of delays “is not really much” in the context of a 15-20 year cycle, Suri said. In the first quarter, the Finnish company struggled to book revenue from the contracts it had signed — 42 globally thus far — but now expects to start recognizing revenue “soon.”

He dismissed the idea that security concerns in Europe — which have prompted some governments to tighten oversight of Huawei — could delay the rollout of 5G in the region. The technology is immune to macroeconomic downturns as “you absolutely have to invest” in 5G, he said.

INDUSTRIAL INTERNET
Customers are choosing Nokia because it can supply a full system of hardware, or what it calls end-to-end networks, complete with software and services, Suri said. About 35% of its pipeline consisted of end-to-end orders a year ago, and that’s now up to about 49%, he said, while about half of Nokia’s 5G contracts announced to date go beyond just 5G radio.

Industrial clients want to “buy the system” and don’t care where various components come from, Suri said. Nokia already has about 1,000 such enterprise customers and adds another 150 to 200 a year, he said.

Business from companies using private networks for the internet-of-things (IoT) “will be fairly significant,” Suri said. “We see the big opportunities in manufacturing, logistics, supply chains, utilities, mining, all kinds of energy companies, water, wind farms, transportation, you name it.”

Suri estimated that there will be 15 million industrial sites that will require wireless connectivity over the next 10-plus years, in a subsequent Bloomberg interview. That compares with about 7 million base stations globally for phone carriers, currently. Countries leading the way include the US, Japan, Germany and China, he said.

Nokia gets about 5% of its revenue from the enterprise unit that includes industrial IoT and expects double-digit sales growth this year, up from a rise of 9% in 2018, the executive added. — Bloomberg

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BusinessWorld Online

GCash to help WWF Philippines on reforestation of Ipo watershed

Therapy in the office: Big banks take mental health fight in-house

More US millennials subscribe to video games than traditional pay TV

Campari to hold Negroni Week later this month

Planemakers race for wide-body orders in Asia showdown ahead of Paris Airshow

Baht, rupee firm; most trade sideways

IKEA teams up with Ori on robotic furniture to help you save space

Philippines on track to complete migration to DTT by 2023 — DICT

The perfect punch for a Gay Pride Party combines vodka and rosé

Manulife wields Amazon Prime, chatbot to battle large lenders

Shares may move sideways on lack of catalysts

Nokia winning 5G contracts despite delivery delays, chief executive says