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Dashboard (01/10/18)

Aston Martin DB11

Aston Martin 2017 sales its best yet

ASTON Martin announced it sold 5,117 cars in 2017, citing “sell-out demand” for its DB11, Vanquish Zagato and Vantage GT8 as factors for the result.

Company President and Chief Executive Andy Palmer said the brand’s performance is “ahead of expectations, both in terms of financial performance and in meeting our targets for the DB11 and special vehicles.”

“This strong sales performance shows that our Second Century transformation plan is building momentum. Phase Two of the program will be largely completed in 2018 with the introduction of the Vanquish replacement and production of the new Vantage, contributing to continued sustainable profitability at Aston Martin,” Mr. Palmer said.

The company noted it achieved its highest full-year sales volumes in nine years, driven by rising demand in North America, the UK and China. It added that part of its Second Century Plan is to expand its UK manufacturing footprint.


Isuzu introduces Airwash tech

Isuzu Airwash

A NEW device for cleaning the air-conditioning systems of the Isuzu Mu-X SUV and D-Max pickup has been introduced by Isuzu Philippines Corp. (IPC).

The company said the Isuzu Airwash will make the models’ air-conditioning units cleaner, cooler and better breathing. IPC added one of the advantages of Airwash is its specially formulated washing liquid, which has been “proven to deliver thorough cleaning.” The Airwash machine also has a camera that can go inside parts of the air-conditioning system, showing the progress of the cleaning process.

Airwash cleaning services are available at Isuzu dealerships in Alabang, Makati, Pasig, Batangas, Bulacan, Cabanatuan, Cavite, Isabela, Naga, Pampanga, San Pablo, Tuguegarao, Bacolod, Bohol, Cebu City, Iloilo, Mandaue, Butuan, Cagayan de Oro, Davao, Dipolog and General Santos. Prices for the service are set at P3,400 for the D-Max and P6,515 for the Mu-X.

SEC urges caution when investing in initial coin offerings

THE COUNTRY’S corporate regulator is asking the public to be cautious against initial coin offerings (ICO), noting the virtual currencies involved in such transactions are not guaranteed by any central bank nor backed by any commodity.

In an advisory posted Monday, the Securities and Exchange Commission (SEC) told the public to be vigilant when investing in ICOs.

“If a promoter, issuer, broker, or salesman guarantees returns, if a potential investment sounds too good to be true, or if you are pressured to act hastily, please exercise utmost caution and diligence and be wary of the risk that your investment might be lost,” the SEC said.

ICOs are typically used by start-ups to raise capital. Here, the company issues a percentage of the virtual currency it holds to interested buyers in exchange for fiat currency, another virtual currency, or another asset or security.

Virtual currencies, meanwhile, are described by the SEC as a “digital representation of value issued and controlled by its developers and used and accepted among the members of a specific community of users.”

Popular virtual currencies include bitcoin, valued at $15,056 by Tuesday afternoon, ethereum ($1,211), and ripple ($2.39).

The SEC said virtual currencies transacted in ICOs have a “strong possibility” to fall under its jurisdiction, as per Section 3.1 of the Securities Regulation Code (SRC) which defines what items are considered as securities.

With this, companies undergoing an ICO should register with the SEC and file the necessary disclosures to protect the interests of the investing public.

“Where the scheme involves the sale of securities to the public, the SRC requires that the said securities offered are duly registered and that the appropriate license and/or permit to sell securities to the public are issued to the corporation and/or its agents, pursuant to the provisions of Section 8 and 28 of the SRC,” the commission said.

Aside from the company, entities acting as salesman, brokers dealers, or agents of the ICO must likewise register with the commission.

The advisory comes after the SEC said that it will be probing the ICO of KROPS, an online marketplace for farm produce headed by Joseph H. Calata, chairman of now delisted agribusiness firm Calata Corp. The ongoing ICO for KROPS has so far sold 37% or 2.35 million of the total 6.4 million tokens to be issued.

In 2017, Mr. Calata gave stockholders of Calata the option to trade their shares for virtual currencies as an alternative once it is delisted by the PSE. Some shareholders, however, opposed this shift, demanding instead to either replace Calata’s board of directors or for the company to buyback its shares from investors. — Arra B. Francia

AboitizPower subsidiary streamlines ownership in two Bataan projects

ABOITIZ POWER Corp. is transferring the ownership of two power generation projects from offshore units to a subsidiary that houses the company’s coal-fired plants, the listed company told the stock exchange on Tuesday.

It said Therma Power, Inc. (TPI) is streamlining its share ownership structure in GNPower Mariveles Coal Plant Ltd. Co. and GNPower Dinginin Ltd. Co., the project companies behind two big power projects in Bataan.

“The restructuring involves the transfer of direct ownership of GNPower-Mariveles and GNPower-Dinginin from the offshore subsidiaries of TPI to TPI and the eventual dissolution and liquidation of the offshore intermediary subsidiaries that own the GNPower-Mariveles and GNPower-Dinginin shares,” it said.

“As a result TPI will directly own 66.01% partnership interest in GNPower-Mariveles and 50% partnership interest in GNPower-Dinginin,” it added.

GNPower-Mariveles is a partnership among Therma Mariveles Holdings, Inc., and Therma Mariveles Camaya B.V., both AboitizPower subsidiaries, with Mariveles Coal Project GP Corp., Power Partners Ltd. Co., and AC Energy Holdings, Inc.’s affiliates Arlington Mariveles Philippines GP Corporation, and Arlington Mariveles Netherlands Holdings B.V.

GNPower-Mariveles owns a subcritical coal-fired power plant, including associated and auxiliary assets. The plant has two units each with a capacity of 345 megawatts (MW).

The unit is one of two plants acquired by TPI in late 2016 in line with AboitizPower’s target to increase its “attributable” capacity — or its corresponding share in the power facilities it built with partner companies — to 4,000 MW by 2020.

The other acquired plant, GNPower-Dinginin, is developing supercritical coal-fired power plant with two identical units each with a net capacity of 668 MW. It is expected to start commercial operations in 2019.

On Tuesday, shares in AboitizPower slipped by 1.32% to P41 each. — Victor V. Saulon

Stocks soar to 8,900 level on positive sentiment

STOCKS soared on Tuesday, pushing the main index to another all-time high as it tracked the gains of international markets.

The bellwether Philippine Stock Exchange index (PSEi) jumped 2.04% or 178.60 points to finish at 8,923.72, bouncing back from its decline in the previous trading day.

Yesterday’s close is the PSEi’s fourth all-time high for 2018, just five trading days into the new year.

The broader all-shares index also climbed 1.43% or 72.86 points to 5,138.63.

“After a mild sell-off yesterday (Monday), Philippine markets retained the upward trajectory with a new record level once again,” Regina Capital Development Corp. Managing Director Luis A. Limlingan said on Tuesday.

“I think the local stock market is just following the global equities’ record close following higher global growth,” IB Gimenez Securities, Inc. Head of Research Joylin F. Telagen said in a text message.

Wall Street logged record highs in previous days before taking a pause on Monday as it gave up 0.05% or 12.87 points to 25,283. The S&P 500 index and Nasdaq Composite index continued their climb, closing 0.17% or 4.56 points higher to 2,747.71 and 0.29% or 20.83 points up to 7,157.39, respectively.

Most Southeast Asian stock markets also rose on Tuesday, tracking broader Asian peers, with Singapore extending gains to touch a 32-month high.

Japanese markets, which were closed on Monday for a national holiday, were up, with the Nikkei share average hitting a 26-year high.

Singapore added 0.50%, its highest since April 2015, on broad-based gains.

Thai shares rose as much as 0.30%, with materials and financials pushing the index higher, before paring gains.

Indonesia fell marginally, snapping three straight sessions of gains. An index of the country’s 45 most liquid stocks fell 0.30%.

Vietnam climbed as much as 1%, its highest since November 2007, while Malaysia fell 0.10%.

IB Gimenez’ Ms. Telagen added that the government’s tax reform and infrastructure programs continued to boost investor sentiment.

All sectoral indices moved to positive territory, with property leading the charge with a 2.4% or 96.97-point increase to 4,137.94; financials followed with a gain of 2.24% or 50.32 points to 2,292.52; holding firms climbed 1.72% or 154.98 points to 9,130.42; industrials added 1.17% or 135.14 points to 11,664.14; mining and oil gained 1.01% or 116.55 points; while services increased 0.82% or 13.18 points to 1,613.91.

Value turnover was recorded at P8.36 billion on Tuesday, higher than Monday’s P7.07 billion, which 709.37 million issues changing hands.

The market saw 118 names advance versus 93 that declined, while 47 remained unchanged.

Foreign investors continued to place their funds in the country, as net foreign inflows climbed to P1.42 billion from P1.2 billion logged on Monday. — Arra B. Francia with Reuters

Tiger Resort sues former chiefs for perjury, estafa

By Minde Nyl R. Dela Cruz

TIGER Resort, Leisure and Entertainment, Inc. (TRLEI), the company behind Okada Manila, has filed separate perjury and estafa complaints against Japanese gaming tycoon Kazuo Okada.

The complaint filed Dec. 6, 2017, by Hajime Tokuda, director and chief operating officer (COO) of Universal Entertainment Corporation (UEC), alleged that Mr. Okada illegally disbursed company funds amounting to $3 million, supposedly for his consultancy fees and salaries as chief executive officer (CEO) of the company, through Takahiro Usui, then TRLEI president and COO, who was also named respondent in the complaint.

TRLEI said there was no Board resolution approving the disbursement of funds.

The company said: “Mr. Okada, taking advantage of his power and influence, as then most senior officer of TRLEI, fraudulently received TRLEI’s corporate funds (of at least $3,158,835.62) as supposed salaries and consultancy fee, which were not authorized, much less approved, by TRLEI’s Board of Directors. As said corporate funds were wrongfully received or acquired by Mr. Okada without authority and through fraud, he holds the $3,158,835.62, by operation of law, in trust for, and thus, under legal obligation to return the same to, TRLEI.”

TRLEI stated that Messrs. Okada and Usui “upon demand, failed to account for and return the $3,158,835.62.”

“When property is delivered even by mistake, the recipient has the obligation to return it. If he refuses to do so despite demand, he is guilty of estafa (by embezzlement),” TRLEI stated.

A second estafa case involved a $7 million contract awarded to Azure Philippines Manufacturing, Inc. (APMI) to supply LED fixtures to Okada Manila.

Mr. Okada, who owns APMI, and former TRLEI chief technology officer (CTO) Kengo Takeda allegedly conspired and insisted that TRLEI give the contract to APMI.

However, the LED fixtures were found to be defective and it was found that APMI was not authorized to manufacture lighting materials.

“The influence and intercession of Mr. Okada and Mr. Takeda pushed Complainant TRLEI to engage Respondent APMI’s services,” the complaint stated, adding that “any gains and benefits derived by APMI redounded to Mr. Okada’s personal benefit and advantage.”

In the perjury complaint, on the other hand, TRLEI alleged that Messrs. Okada and Usui made false statements under oath.

In questioning their ouster from Okada Manila, the two respondents claimed that TRLEI did not submit an updated General Information Sheet for 2017 before the Securities and Exchange Commission (SEC) and that the company implemented a mass layoff.

However, TRLEI countered such claims, saying it submitted the documents to the SEC on July 3, 2017, and that there was no mass layoff. As opposed to Messrs. Okada and Usui’s statements, TRLEI said it is hiring more workers and not forcing shops at Okada Manila to close.

TRLEI added that as Messrs. Okada and Usui were both removed from office on June 2017, they have “no personal knowledge” of the resort’s operations.

“Respondents [Okada and Usui] have had no personal involvement in the management of Okada Manila since their removal, and thus, have no personal knowledge about Okada Manila’s present operations. Yet, Respondents willfully and deliberately made the foregoing false statements, fully aware that they have no personal knowledge thereof or supporting documents therefore, as, indeed, these statements are completely perjurious,” the complaint noted.

EU raises concerns with Suu Kyi over detention of Reuters reporters

YANGON — The European Union’s (EU) envoy to Myanmar has raised concerns about the arrest of two Reuters journalists in a letter to the country’s leader, Aung San Suu Kyi, describing the situation as “serious intimidation” and calling for their immediate release.

The Reuters journalists, Wa Lone, 31, and Kyaw Soe Oo, 27, were detained on Dec. 12. They are being investigated on suspicion of breaching the Official Secrets Act, a little-used law that dates from the days of British colonial rule.

They had worked on coverage of a crisis in the western state of Rakhine, where a military crackdown that followed militant attacks on security forces in August led to an exodus of more than 650,000 Rohingya Muslims to refugee camps in Bangladesh.

The two are due to appear in court on Wednesday. It will be their second appearance in court and the prosecutor could request that charges are filed against them.

“This situation amounts to a serious intimidation against journalists in general and from Reuters in particular,” said Kristian Schmidt, representative in Yangon of the EU’s 28 states, said in the letter dated Jan. 8.

“Journalists should … be able to work in a free and enabling environment without fear of intimidation or undue arrest or prosecution,” he said.

“We therefore call on your government to provide the necessary legal protection for these two journalists, to ensure the full respect of their fundamental rights and to release them immediately.”

Wa Lone and Kyaw Soe Oo were detained after they were invited to meet police for dinner in Yangon.

The Ministry of Information has cited the police as saying they were “arrested for possessing important and secret government documents related to Rakhine State and security forces.” It said they had “illegally acquired information with the intention to share it with foreign media.”

Government officials from some of the world’s major nations, including the US, Britain and Canada, as well as top UN officials, have called for their release.

Reuters President and Editor-In-Chief Stephen J. Adler has called for the immediate release of the two.

“As they near their hearing date, it remains entirely clear that they are innocent of any wrongdoing,” Mr. Adler said in a statement on Monday.

Authorities have blocked access to media seeking to cover the military crackdown in the north of Rakhine State. — Reuters

Mababaw ang kaligayahan

Mababaw ang kaligayahan loosely means easy to please. The recent Pulse Asia performance and trust ratings of President Rodrigo Duterte, which remain impressively high, are an example of this. But rather than cast doubt on the intelligence of the survey respondents or the integrity of the public opinion polls (which poor losers usually do when ratings are not to their liking), I think credit should be given to Duterte for his uncanny ability to titillate and please his constituents.

In this regard, Duterte is certainly superior to US President Donald Trump who has had to constantly pat himself on the back to satisfy his starvation for praise. Trump’s latest self-praise was his description of himself as a political genius. Said one sarcastic CNN commentator: “Trump has to call himself a genius, since nobody else will.”

But to go back to Duterte’s high performance and trust ratings, it certainly would have given us a better appreciation of the value of the Pulse Asia survey if the questionnaire used had also been published along with the results. That would have given us an idea of how in-depth the study was and how incisive have been the conclusions.

At any rate, let’s assume that Pulse Asia did try to get a better-than-superficial reading of the perceptions and attitudes of the Filipino populace.

The results also do say something about our people’s remarkable ability to make do with what they are served, to see the positive in it, and, in the words of a wise man, “to make lemonade when life gives them lemons.”

Of course, this doesn’t say much about our people’s NACH or “need for achievement,” a term that human resource specialists use to describe a person’s aspirations and upward strivings.

At any rate, if one were to appraise Duterte’s first year in office, based on the survey ratings, one would be inclined to say that he is arguably the best president that this country has ever had and that the Philippines has never had it so good.

In fact, a friend of mine who is a Duterte supporter, to drive home this point, e-mailed me the comparative ratings of Duterte and our immediate past chief executive, Benigno S. C. Aquino III. Needless to say, the latter suffered by comparison.

But then, that comparison with Aquino inevitably begged for a further comparison of our country with our neighbors in Asia, to get a better view of how well the Philippines has fared under Duterte.

Along with the news about the Pulse Asia ratings, Duterte’s Communications Secretary, Martin Andanar, declared in a media interview that out of five presidential campaign promises that Duterte had made, the president has already fulfilled four, leaving only his promise to effect a change to federalism unfulfilled.

The four “fulfilled” promises, according to Andanar, were solving the problems of crime and illegal drugs, government corruption, poverty and peace and order.

In the context of “mababaw ang kaligayahan,” Andanar’s claim would be reason for rejoicing for the Filipino people.

Unfortunately for Andanar, unlike the responses in the Pulse Asia survey, the facts do not confirm his claim. For one thing, most of the thousands of extrajudicial and vigilante killings committed during Duterte’s first year in office remain unsolved and the drug problem continues to plague the country, including Duterte’s bailiwick of Davao.

Secondly, Andanar’s claim of lowered poverty incidence was based on 2015 data, before Duterte’s incumbency (the 2017 figures are still being tallied). Furthermore, recent surveys, specifically one conducted by SWS, also indicate increased poverty among our people.

Thirdly, only someone who is deaf, dumb and blind will believe that the problem of government corruption has been solved. And, with respect to peace and order, the threat posed by the NPA, the Muslim secessionists and ISIS, not to mention China’s encroachment on Philippine territory, still hang over our collective heads.

But what is even more revealing is how the Philippines compares with our neighbors in Asia in terms of economic development, foreign direct investments, unemployment, per capita income and poverty, infrastructure, bureaucratic competence, and corruption. And, oh yes, that other claim that “It’s more fun in the Philippines.”

It’s pretty much like comparing our year-long basketball tournaments in the Philippines with those of the NBA in the US. With due respect to our Filipino players, they are pretty good. But to say that they are a match for the stratospheric ball handlers in the US would be a stretch.

It would be rubbing it in if we were to quote the numbers put out by international and regional bodies tracking the indices of good governance and national progress.

Ironically, even with such indicators as corruption, where Thailand beats the Philippines hands down, our country also bites Thai dust in terms of tourist revenues, economic development and foreign investments.

A further irony is the fact that for a country as rich in tourist attractions, history and culture, coupled with some of the most beautiful people in the world, we are absolutely no match to Singapore, an island nation whose tourist offerings are mostly man-made (such as gigantic musical trees).

But then, perhaps, surveys conducted by Pulse Asia and SWS don’t dare to touch on these issues in an incisive manner for fear of opening a Pandora’s box of unflattering insights.

After all, what’s the point in comparing the Philippines with Thailand, Singapore, Malaysia, Indonesia, and Hong Kong when most Filipinos are happy enough with their blissful ignorance. Mababaw ang kaligayahan.

It’s so much safer to ask them what they think of the quality of governance of Philippine officials — mostly in a vacuum, with no comparisons or points of reference — and passing off the responses as proof of high performance and trust.

There’s a saying that comes to mind: In the land of the blind, the one-eyed is king.

 

Greg B. Macabenta is an advertising and communications man shuttling between San Francisco and Manila and providing unique insights on issues from both perspectives.

gregmacabenta@hotmail.com

Duterte orders suspension of logging concessions

PRESIDENT Rodrigo R. Duterte has “ordered the suspension of several logging concessions in Zamboanga Peninsula,” Presidential Spokesperson Herminio Harry L. Roque, Jr. announced in a press briefing on Tuesday, Jan. 9. “This after he was apprised of concerns of indigenous populations that they have been displaced by logging operations of some companies. And he also observed that it is widespread logging that is responsible for the flash floods that Mindanao experienced only this month of December with two typhoons,” Mr. Roque said. The President issued the order at the Cabinet meeting in the Palace on Monday. — A.L. Balinbin

Art & Culture (01/10/18)

A winner’s first showcase

FRESH from winning in the annual Metrobank Foundation’s MADE (Metrobank Art and Design Excellence) grand prize for oil/acrylic category, Paul John Cabanalan showcases his talent in his first solo exhibition, Dorog, which is currently on view. A licensed architect, the Ilonggo artist also joined other art competitions including Shell National Student Art Competition, Vision Petron, Philippine Art Awards, GSIS Art Competition, among other art contests. Art Verité Gallery is at 2nd floor Serendra, Fort Bonifacio Global City, Taguig City. The exhibit runs until Jan. 18

Gayborhood cabaret

FILIPINO-BRITISH Sam Reynolds, Pineapple Lab’s artist-in-residence — a live artist and alternative cabaret performer in London — will be hosting a series of workshops entitled, Gayborhood Cabaret (T)werkshop and Showcase on queer performance, bringing together a group of artists to devise their own individual cabaret pieces which can be playful, provocative, political, or just downright fun, culminating in a charged variety-style showcase. Everyone — drag artist, burlesque artist, circus artist, or art enthusiast — is welcome to attend the four-day workshops on Jan. 28, Feb. 4, 10, and 11. The workshops are for 18-year olds and above, and all genders and sexualities are welcome. Mr. Reynolds is Pineapple Lab’s first Artist-in-Residence of 2018. Pineapple Lab is at 6071 Palma Street, Brgy. Poblacion, Makati City.

Group show at Picasso

ON VIEW until Jan. 21, artists Karl Sandoval, Karl Tan, Ku Romillo, Maria Margarita Aurora Chavez, Ralph Layaon, Sara Concepcion, and Trisha Silo show us their different points of view of what Primal Instinction means. Altro Mondo Picasso is at the The Picasso Boutique Serviced Residences, 119 L.P. Leviste St., Salcedo Village, Makati City.

Questioning perfection

ARTINFORMAL GALLERY

WHAT is the best art? Should it rejoice in its simplicity or it must be complex? Is there a perfect art or every artwork is a product of chance? These are the questions the curator Tony Godfrey asks of the eight artist in Chance, Perfection, Simple, or Complex on view until Jan. 27. The artists on exhibition are Pablo Capati III, Nona Garcia, Kawayan de Guia, Nilo Ilarde, Geraldine Javier, Donna Ong, Christina Quisumbing Ramilo, and Zhao Renhui, show us the meaning of art while exploring their imagination and senses on what, how, and why art is more than meets the eye. Curator Mr. Godfrey came from Britain to Asia in 2009 and now lives and works in the Philippines as teacher, writer, and curator. For many years he ran the MA (Contemporary Art) at Sotheby’s Institute London. Artinformal Gallery is at 277 Connecticut St., Mandaluyong City.

From actor to artist

FROM MODELING, fencing, acting, and trying local politics, Richard Gomez has also gotten himself in visual art. In his first solo exhibition, Surface, on view until Jan. 18, he showcases his abstract paintings that use freehand, and paint splatters and drippings, among his techniques. The exhibit is about more than what you see on the surface, or on screen as Mr. Gomez lends his artistry to the audience. The proceeds of his show will go to the children of Ormoc City. Pintô Art Museum is in 1 Sierra Madre St., Grand Heights, Antipolo, Rizal.

Water-based abstractions

THE EXHIBITION of three female artists Monica Delgado, Michelle Perez, and Atsuko Yamagata titled Form out of Material, Material out of Form,is extended until Jan. 15. Curated by Nilo Ilarde, the new breed of artists take their canvases up a notch to make engaging abstractions that thread new grounds. They are different, but the artists share the same preference for water-based mediums like ink and acrylic. Galleria Duemila is at 210 Loring, Pasay City. For more information, visit www.galleriaduemila.com/beta, call 831-9990 or 833-9815 or e-mail art@galleriaduemila.com.

Multiplicity of meanings

A GROUP exhibition that aims to subvert the ideas of “counterfeit” and “monochromes” with a conscious poker face that leads to multiplicity of meanings is what Counterfeit Monochromes is all about. The disciplines and techniques of the 19 artists challenge how a medium should be treated, celebrated, and looked at. Curated by Carina Evangelista, the group show is on view until Jan. 14 at MO_Space. The participating artists are Poklong Anading, Martha Atienza, Ringo Bunoan, Felix Bacolor, Bea Camacho, Roberto Chabet, Lena Cobangbang, Pardo De Leon, Carina Evangelista, Marc Gaba, Nilo Ilarde, Sol Lewitt, Paul Mondok, Mawen Ong, Gary-Ross Pastrana, Yola Johnson, Gerardo Tan, MM Yu, and Alvin Zafra. MO_Space is at MOs Design Bldg., B2 9th Avenue, Bonifacio Global City, Taguig City.

DoTr wants you to arrive for work within 35 minutes

The Department of Transportation (DoTr) is on a roll, kicking off 2018 like a possessed government agency that’s racing against time. Well, time is indeed running out after the President himself proclaimed that Metro Manila would be dead in 25 years. A prognosis that is down mostly to traffic congestion and overpopulation.

And so, DoTr Secretary Arthur P. Tugade and his team wasted no time in getting the ball rolling for the New Year.

On January 5th, a ceremony was held in Marilao, Bulacan, to commence pre-construction activities for Phase 1 of the DoTr’s Philippine National Railways (PNR) Clark project. The segment will connect Tutuban in Manila to Malolos in Bulacan via a 38-kilometer railway system consisting of 10 stations. Our transport officials are claiming that some 340,000 passengers will be served daily by this PNR train network.

The grand plan is to extend this railway system all the way to Tuguegarao in Cagayan. For now, Phase 2, a 70-kilometer stretch from Malolos to Clark in Pampanga, is also in the works, its budget already approved by the National Economic and Development Authority.

And then, on January 8th, the DoTr formally broke ground for the construction of the Southeast Metro Manila Expressway (SEMME), otherwise known as the C6 Expressway Project. The real work will begin in April.

SEMME is a 34-kilometer, six-lane highway from FTI in Taguig City to the Batasan Complex in Quezon City. Once finished, the thoroughfare will subsequently be connected to the North Luzon Expressway by way of Balagtas. The first phase of the project is set for completion by 2020, although knowing how our government operates, we had all better manage our expectations.

Anyway, one thing struck me about these projects. In its press statement, the DoTr says that the PNR Clark project will enable commuters to travel from Tutuban to Malolos in 35 minutes. In another press document, this time for the SEMME project, it is asserted that travel time from Bicutan to Quezon City will be reduced to just, um, 35 minutes.

What’s with 35 minutes? Is there psychology behind this figure? Did the DoTr engineers conduct an actual study or field survey that yielded the specific time period? Or are our transport officials just throwing around baseless numbers to make themselves sound credible? Perhaps if they can dangle a desirable public-transport scenario before our traffic-weary eyes, nobody will question the budget they now have at their disposal.

Very curious about the significance of “35 minutes” within the context of transportation, I searched online for potentially related articles or theses. I did find something.

In May 2015, the Université de Montréal in Canada published a study about how commuting time can contribute to burnout among employees traveling to and from work. “The risk of burnout increases significantly when a commute lasts more than 20 minutes,” the article postulates. “Above 35 minutes, all employees are at increased risk of cynicism toward their job.”

Thirty-five minutes. That’s the general mental threshold for humans, apparently, before we start getting restless sitting in traffic — after which we begin wondering about the meaning of life, the inadequacy of our salary, the vileness of our boss, and the idiocy of our transportation officials.

“The effects of the duration of a commute on a person’s mental health vary according to the type of transport used and the profile of the area where the person works,” the article points out. That’s the troubling part. It looks like 35 minutes is the psychological brink in developed countries, where buses and trains are clean and orderly, where roads are excellent, and where traffic management is first-class. With the poor motoring conditions that we have in the Philippines, I imagine it takes just five minutes on the road before we snap. Which explains the daily road rage-related incidents we read about in the news.

Is the DoTr aware of such findings? Is this the reason they keep mouthing off “35 minutes?” I don’t know. I doubt it. I’m almost sure they just rolled dice every time they needed to cite estimates for the travel times. Of course, I’d love to be proven wrong. I would love for any DoTr official to tell me that their “35 minutes” has solid foundation — that they arrived at those digits after careful research work.

Because if I can be convinced that the Department of Transportation is meticulous enough to validate even something as seemingly harmless as a travel time estimate, I will be more inclined to believe that the above-mentioned projects will turn out okay. Until then, everything else sounds PR to me. Nothing more, nothing less.

T-Wolves humming

For a while there, it looked as if the Timberwolves would be wallowing in mediocrity. After having a busy offseason that saw them acquire All-Star Jimmy Butler, would-be starters Jeff Teague and Taj Gibson, and supersub Jamal Crawford, they boasted of promise. Finally, the already-formidable combine of Karl-Anthony Towns and Andrew Wiggins had support that looked to get them crowding the top of the stacked West. Far from hit the ground running, however, they sputtered at the start of their 2017-2018 campaign, performing well enough to stay above .500 but nowhere close to projections.

From the outside looking in, the Timberwolves’ up-and-down beginning stemmed as much from requisite adjustments as from systemic infirmities. They knew it wouldn’t be easy dealing with a heavy roster turnover; three members of the First Five were newcomers, never mind the familiarity of Butler and Gibson with head coach Tom Thibodeau’s taskmaster-like approach to pregame preparations. More importantly, they found difficulty employing the defensive intensity that became the hallmark of the latter’s stint with the Bulls.

Fast forward a month, and it looks like the Timberwolves will be meeting lofty goals, after all. Yesterday, they presided over a thorough whipping of the highly touted Cavaliers; led by the usual suspects, they all but wrapped up the match by the middle of the first quarter. And they did it on both ends of the floor; no doubt, Thibodeau was pleased that they prevented their opponents from reaching the century mark for the seventh consecutive time.

So, yes, the Timberwolves are humming. They’re firmly in contention, just three and a half games removed from the second seed, and, their so-so January aside, improving by leaps. And once they latch on to consistency, watch out; they shouldn’t be losing to the likes of the Nets and the Suns, and, in time, they’ll learn not to play down to the level of the competition. Meanwhile, they deserve to acknowledge their advances; yesterday, they compelled All-World LeBron James to absorb the worst plus-minus mark of his career. It’s no mean feat, and, hopefully, motivation to do much, much more.

 

Anthony L. Cuaycong has been writing Courtside since BusinessWorld introduced a Sports section in 1994. He is the Senior Vice-President and General Manager of Basic Energy Corp.

Investors poured $235 billion into emerging stocks, bonds in 2017

FOREIGN INVESTORS poured $235 billion into emerging markets as they rallied strongly last year, allowing developing countries to add more than $130 billion to their hard-currency reserves, the Institute of International Finance (IIF) said on Monday.

The $235 billion “portfolio flow” figure was the best in three years and roughly a third higher than the $152 billion seen in 2016, the IIF data showed.

Emerging market (EM) debt was the clear favorite, attracting more than $170 billion of the total foreign capital inflow, versus $99 billion in 2016. Asia was the top pick regionally, accounting for roughly half of the total figure.

“EM portfolio flows have had the best year since 2014,” the finance industry group said in a new report.

“It was the first calendar year since 2012 without a single month of combined equity and debt outflows — in line with the ultra-low volatility seen throughout the year across global markets.”

Emerging markets enjoyed one of their best performances on record last year with MSCI’s 24-country EM stocks index adding a third to its value and local currency EM debt returning almost 15% in dollar terms.

The Washington DC-based IIF said net outflows from China, a figure that includes all forms of capital flows, should also be modest at around $60 billion, compared to $640 billion in 2016. But outflows of close to $25 billion in November pointed to a weaker end to the year, it added.

Broader emerging markets also experienced net capital outflows of $12 billion in November, following three months of solid inflows.

“Despite the tepid pace of inflows in the second half, 2017 was a year free of any of the major reversal events that have plagued prior years,” the IIF said.

It also estimated that emerging market central banks accumulated more than $132 billion of hard currency reserves in 2017, marking a sharp improvement from massive reserve losses in 2015 and 2016.

Aided by currency valuation effects, reserves rose by $30 billion to over $5.6 trillion in November, marking the 11th straight month of gains.

While reserves are at a more than two-year high, some countries’ may still be inadequate, the Washington-based IIF warned, naming Ukraine, Turkey, Hungary and Chile.

Calculations also suggest China’s official international reserves would be inadequate if capital controls, which currently prevent money large sums of money leaving the country, were to become “ineffective.”

“This concern may be behind the recent introduction of new capital controls to cap overseas withdrawals using domestic Chinese banks to around $15,000 per year,” the IIF said. — Reuters