4 ASEAN countries sign deal on free movement of investment advisors

October 12, 2018 | 8:13 pm

MALAYSIA, the Philippines, Singapore and Thailand signed a memorandum of understanding (MOU) to facilitate cross-border movement of investment advisers which would give regional investors greater access to professional services, the Securities and Exchange Commission (SEC) said on Friday.
The signing took place at the 2^nd ASEAN Capital Market Conference (ACMF). The agreement introduces the ACMF Pass allowing licensed professionals to provide advisory services with participating jurisdictions within the Association of Southeast Asian Nations, with fast-track registration and no additional licensing requirements.
The initiative was hosted by the Monetary Authority of Singapore in collaboration with the Asian Development Bank (ADB).
The ACMF also launched ASEAN Social Bonds Standards (ASEAN SBS), and ASEAN Sustainability Bond Standards (ASEAN SUS),following the ASEAN Green Bond Standards launched in November 2017. These all give ASEAN a “complete suite of standards” to drive sustainable finance development in the region.
The SEC said that the ASEAN SBS were developed based on the International Capital Market Association’s (ICMA) Social Bond Principles, and proceeds from this will be used to finance projects that are socially beneficial.
Meanwhile, proceeds from the sustainability bonds will go to a combination of green and social projects, which environmental and social benefits, respectively, can be reaped off.
According to the SEC, these two complement the ASEAN Green Bond Standards which have earned “encouraging traction” after five issuances by Malaysia and Singapore under the ASEAN Green Bond label.
Meanwhile, the first sovereign sukuk instrument in ASEAN issued by Indonesia has been aligned with the ASEAN Green Bond Standards. A sukuk is an Islamic financial certificate that complies with Sharia law, which does not permit the charging of “riba” or interest.
A sukuk is not structured as a debt but as share of an asset that generates earnings for the investor
The SEC said that these standards aim for uniformity of ASEAN green, social and sustainability bonds, leading to reduced due diligence costs.
The ACMF is currently chaired by the Securities Commission Malaysia, and will be next chaired by SEC Thailand. — Reicelene Joy N. Ignacio

Vivant units sell 48% stake in renewable energy firm

October 12, 2018 | 8:09 pm

CEBU-BASED Vivant Corp. said on Friday that two of its subsidiaries sold their shares in a northern Luzon renewable energy company that has an independent power producer (IPP) administrator contract with the government.
In a disclosure to the stock exchange, Vivant said its subsidiaries Vivant Energy Corp. and Vivant Renewable Energy Corp. sold their respective stakes in Vivant-Sta. Clara Northern Renewables Generation Corp.
The stakes, equivalent to 48% of Vivant-Sta. Clara, were sold to Northern Renewable Energy Corp.
“Vivant will continue to develop and explore new opportunities in power generation, including renewable and conventional technologies that are viable and designed to adapt to the changing needs of energy consumers,” said Vivant Chief Operating Officer Arlo A.G. Sarmiento in a statement.
Vivant-Sta. Clara is the administrator of the 70-megawatt (MW) capacity Bakun hydroelectric power plant in Bakun, Alilem, Ilocos Sur.
Shem Jose W. Garcia, Vivant assistant vice-president for corporate communication, said in a text message that the new owner is different from a similar-sounding entity that the company used to own.
“We can disclose that our own partners have also sold their stake so the new owners now own 100% of the project,” he said.
He declined to disclose details of the ownership of Northern Renewable “as it is not our own company or publicly-listed.”
Mr. Garcia described the move to unload the shares as having taken place “in the normal course of business.”
“[A] good offer was presented to us and we said yes,” he said. — Victor V. Saulon

DBP, Metrobank sign property tax payment tieup

October 12, 2018 | 8:02 pm

THE Development Bank of the Philippines (DBP) said it tied up with Metrobank Card Corp. (MCC) in an electronic-payments venture to facilitate Taguig and Valenzuela real property tax payments.
In a statement sent to reporters on Friday, state-owned DBP said the tieup with MCC, a unit of Metropolitan Bank & Trust Co. (Metrobank), hopes to boost tax collection in the two cities.
“Residents of Taguig City and Valenzuela City may opt to pay either in cash or using their Metrobank cards to settle their real property taxes on installment basis via the DBP point-of-sale terminals deployed in the said LGUs (local government units),” DBP President and Chief Executive Officer Cecilia C. Borromeo was quoted as saying in the statement.
She added that the DBP-MCC Real Property Tax Payment program hopes to demonstrate to LGUs a more efficient way of collecting real property taxes.
According to the Philippine Statistics Authority, Taguig and Valenzuela have estimated populations of 805,000 and 620,000, respectively. Taguig has more than 7,000 registered commerical and industrial establishments, while Valenzuela has over 15,000.
Ms. Borromeo said the project furthers DBP’s aim of helping build a financial payments infrastructure for the public sector.
“DBP is aiming to become known as the ‘Digital Bank of the Philippines’ in terms of providing seamless and innovative banking and payment solutions to the Filipino public,” she added.
Aside from the e-payment program, MCC will offer its cardholders a balance conversion facility that breaks up real property tax payments into monthly installments.
DBP booked a P2.76-billion net profit in the first half of the year, up 4% from a year earlier. — Karl Angelo N. Vidal
The state-owned lender was the eighth-largest commercial bank in the country in asset terms as of the end of June with P617.5 billion. — Karl Angelo N. Vidal

BSP signs cooperation agreement with Czech central bank

October 12, 2018 | 8:02 pm

THE Bangko Sentral ng Pilipinas (BSP) has signed a memoradum of understanding (MoU) on cooperation with the Czech National Bank covering information exchange and regulatory cooperation.
In a statement sent to reporters on Friday, the BSP said the agremeent with the Czech central bank, signed in Bali Friday on the sidelines of the IMF-World Bank annual meetings, will serve as a framework “for closer coordination and beneficial cooperation” between the two entities.
The framework will be in accordance with the Basel Core Principles for Effective Banking Supervision.
“The MoU provides in greater detail the two financial reulators’ commitment to foster greater information exchange and cooperation on regulatory systems, supervisory procedures, including licensing, as well as capacity-building programs on areas of mutual interest,” the BSP said.
Deputy governor Chuchi G. Fonacier, asked to comment on the agreement, said “the parties agree to establish and facilitate cooperation in various mutually beneficial ways and through channels such as sharing experience through regular exchange of info, policy dialogue and technical cooperation (such as joint seminars and workshops, training programs, staff visits by experts) in areas of mutual interest and within the scope of competence of the respective parties.
The Basel Core Principles for Effective Banking Supervision encourage cooperation and collaboration among domestic authorities and foreign supervisors as “these arrangements work in practice, where necessary.”
The BSP has been signing agreements with other monetary authorities to improve ties and exchange and promote innovation in the financial system.
In December, it signed a bilateral agreement with the Bank of Thailand to promote “greater infomation and cooperation” in terms of banking supervision under the ASEAN banking integration framework.
The BSP and Bank Negara Malaysia also have an agreement in place that would allow three banks from each nation to operate in the other.
In November, the BSP also signed with the Monetary Authority of Singapore a financial technology (fintech) cooperation agreement, enabling the central banks share to emerging technologies and “refer promising fintech firms to each other.” — Karl Angelo N. Vidal

Peso closes higher after mild US inflation report

October 12, 2018 | 8:01 pm

THE peso strengthened on Friday after the US reported milder-than-expected inflation data and as hopes were raised for progress on the US-China trade dispute.
The peso ended the week at P54.13 against the dollar, after finishing at P54.18 on Thursday.
The peso was stronger the whole day, though trading in a narrow range, opening at P54.10. The high was P54.03 and the low was P54.13.
Trading volume rose to $776.1 million from $665 million the previous day.
A foreign exchange trader said the peso appreciated “after the release of unexpectedly softer (US) consumer inflation data…”
Consumer prices in the US rose less than expected in September driven by slower growth in rents and falling energy prices, Reuters reported, even amid a robust labor market.
Another trader added that inflation was the main factor while corporate demand for pesos also provided a boost.
“Due to large corporate demand, it was lifted to close at P54.13,” she added.
The first trader also noted that China and US are both attending the G20 summit in Argentina, rasing the possibility of trade talks on the sidelines, weighing on the dollar.
“As the International Monetary Authority mainly cited the ongoing US-China trade war as a major risk for global economic growth slowdown, this news of possible trade talks sparked some optimism in the markets,” the trader said in an e-mail.
UnionBank chief economist Ruben Carlo O. Asuncion said the rangebound trading intraday signals how the market “is just waiting for drivers.” — Karl Angelo N. Vidal

Bargain hunt makes PSEi bounce back above 7,000

October 12, 2018 | 8:01 pm

THE MAIN INDEX clawed its way back above the 7,000 mark on Friday from Thursday’s worst year-to-date finish on bargain hunting and signs that Sino-US trade tensions could ease.
The Philippine Stock Exchange index (PSEi) increased by 120.39 points or 1.74% to close 7,004.77 — though Friday marked the fifth straight weekly fall, by 0.95% from Oct. 5’s 7,072.20 finish — while the all-shares index rose 60.55 or 1.42% to end 4,301.8.
PSEi ended Friday 18.15% down from end-2017’s 8558.42 closing and 22.67% lower than the last record-high finish of 9,058.62 on Jan. 29.
“After yesterday’s global sell-off, the Philippine market rallied on bargain-hunting today in tandem with other Asian markets,” RCBC Securities, Inc. said in a Stock Market Weekend Recap attributed to research analyst John Paolo D. Ayson.
“The PSEi started the day in the red, taking its cue from Wall Street’s losses last night, but bargain hunters immediately jumped in as the market was already at oversold levels,” he added, noting that index heavyweights SM Investments Corp. (SMIC); Ayala Corp., Ayala Land, Inc. (ALI); and SM Prime Holdings, Inc. as well as top gainer Universal Robina Corp. (URC) cumulatively added 73.18 points to PSEi.
Sought for comment, First Grade Finance, Inc. Managing Director Astro C. del Castillo noted that “[s]omehow, we saw a relief rally for the market today.”
“I guess all investors were really focused on the attractive valuation at hand. At this prices, it’s really a bargain for most.”
Reuters reported that Wall Street indices continued their slide on Thursday as investors worried about rising interest rates and a trade war. The Dow Jones Industrial Average slashed 2.13% to end 25,052.83, the S&P 500 lost 2.06% to 2,728.37 while the Nasdaq Composite Index dropped 1.25% to finish 7,329.06.
Asia, however, recovered from a recent sell-off, with Japan’s Nikkei 225 and TOPIX Index gaining 0.46% and 0.03%, respectively, while Hong Kong’s Hang Seng Index, South Korea’s KOSPI index, the Shanghai Composite Index, the blue-chip Shanghai-Shenzhen CSI 300, the Jakarta Composite Index and FTSE Bursa Malaysia KLCI increased by 1.96%, 1.51%, 0.91%, 1.49%, 1.31% and 1.20%, respectively.
In a mobile phone message, Regina Capital Development Corp. Managing Director Luis A. Limlingan said: “Asian shares, including the Philippines, experienced a bounce on a possible Xi-Trump meeting that would possibly end the trade tension.”
“Overnight news circulated that (China) President Xi (Jinping) will be meeting (US) President (Donald) Trump at the upcoming G20 meeting in Buenos Aires late next month. Beijing yesterday urged dialogue to resolve the conflict and said it’s ready to resume discussions for an investment treaty,” Mr. Limlingan said.
“In other market-making news, the US Treasury department’s staff has advised Secretary Steven Mnuchin that China isn’t manipulating the yuan as the Trump administration prepares to issue a closely watched report on foreign currencies, according to two people familiar with the matter. The conclusion, if accepted by Mnuchin, would avert an escalation of the US-China trade war and remove a source of anxiety for emerging markets. Mnuchin could issue a different finding.”
Locally, all six sectoral indices gained amid thinned trading, although overseas investors remained predominantly pessimistic.
Mining & oil led Friday’s gains with a 224.92-point or 2.63% surge to 8,775.43, followed by industrials’ 230.58-point or 2.22% increase to 10,575.37, services’ 27.73-point or 1.89% climb to 1,488.1, property’s 56.58-point or 1.65% hike to 3,479.81, holding firms’ 106.21-point or 1.58% rise to 6,796.92 and financials’ 15.56-point or 1.01% increment to 1,549.86.
In contrast to Thursday, stocks that advanced were more than double those that declined 127 to 56, while 47 others ended flat.
Friday’s list of most active stocks showed only three that lost: Globe Telecom, Inc. which retreated by 2.23% to close P2,100 apiece; Aboitiz Equity Ventures, Inc. which gave up 1.07% to P46.05 and Bank of the Philippine Islands which dropped 0.85% to finish P81.20 each.
Notable among stocks that gained was third major telco hopeful Now Corp., which surged by 28.67% to finish P5.61 apiece. RCBC Securities’ Mr. Ayson noted that “Now Corp. spiked after its board of directors approved the conversion of advances into equity and the participation of the company in a consortium to bid for the third telco player spot”.
The others that increased included URC, by 7.03% to P137; SSI Group, Inc., by 6.94% to P2.62; Security Bank Corp., by 5.78% to P140.90; Megawide Construction Corp. by gained 5.55% to P15.60; Jollibee Foods Corp., by 3.15% to P262; SMIC, by 2.47% to P871.50; PLDT, Inc., by 2.64% to P1,400.00; ALI, by 2.08% to P39.30; Ayala Corp., by 2.04% to P900 and SM Prime, by 1.48 to P34.20 each.
Trading volume thinned to 636.862 million shares worth P5.283 billion from Thursday’s 1.031 billion issues worth P5.427 billion.
Net foreign selling persisted, though 16.3% lower at P720.773 million from Thursday’s P861.128 million as gross sales dipped 2.62% to P3.216 billion from P3.303 billion and gross acquisitions grew 2.2% to P2.496 billion from P2.442 billion. — Reicelene Joy N. Ignacio

From the Front Page: Rice imports ‘unimpeded’, FDIs surged, Inflation peaked?

October 12, 2018 | 6:45 pm

By SparkUp Team
Following a fresh nine-year high logged in September, top officials are conflicted over whether we’ve seen the peak for inflation this year. Both the central bank and President Duterte’s economic team believe we’ll be seeing prices of basic goods rise no higher than 6.7 percent. But some analysts hold that external factors could still see the inflation pick up before year-end.
In a bid to stem the effects of inflation on staple goods, President Duterte ordered “unimpeded” importation of rice, a key contributor to the nation’s surging inflation rates. Presidential Spokesperson Harry L. Roque described the request as a “full liberalization” of the market, with no approvals necessary for the importation of rice.
Meanwhile, net inflows of foreign direct investments (FDI) reached $914 million in July, more than double the $344 million received in July 2017. Observers believe the surge shows that the Philippines remains a “legitimate investment destination” in the region. FDIs infuse additional capital for the Philippine economy, in turn creating more jobs and spurring domestic activity.
S&P Global Ratings assured that the Philippine economy stands on solid ground due to recent reforms and “the strength of steady inbound remittances from Filipinos working abroad,” keeping the country resilient to external shocks. The economy is seen to grow by 6.7% this year, lower than the government’s 7-8% target, though still among the fastest in the region.
Four local firms and one foreign company, Norway’s Telenor Group, have firmed up their interest in joining the “third telco” auction, aimed at breaking up the country’s telecommunications duopoly. The National Telecommunications Agency was surprised by the first-day turnout, sharing that even more firms are expected to purchase bid documents before Nov. 7.

WB mulls $100-million loan for Mindanao’s agriculture

October 12, 2018 | 6:38 pm

By Elijah Joseph C. Tubayan, Reporter
THE World Bank is considering a $100-million loan to boost agricultural productivity and integration of small farmers and fisherfolk in value chains in Mindanao.
“The proposed project would consist of three components over six years with a currently proposed funding envelop of $100 million which would address the main identified challenges of productivity improvements, business development and value chain linkage and convergence,” the Washington-based lender said in a concept paper dated October 11.
The remaining $50-million funding requirement will come from the government.
The project would include agriculture production and marketing support; agriculture enterprise development and value chain linkage; and institutional support and convergence.
Among key outcomes the multilateral lender expects include: increased income from agricultural production activities; increase in yields and quality of produce of targeted products; increase in marketed outputs of targeted products; and wider access for agricultural assets and services.
The Autonomous Region in Muslim Mindanao (ARMM) is the poorest region in the Philippines, with poverty incidence of 53.7% in 2015, more than double the national average of 21.6%. Eight of the top ten poorest sectors are in Mindanao, and farmers and fisherfolk are the poorest among the basic sectors.
Agriculture accounts for 60% of Mindanao’s economy and about 57% of its jobs account for 60%., and only 16% of farmers in Mindanao generate profits, compared to 25% in Luzon.
“The agricultural labor market in Mindanao is characterized by high underemployment, low wages and short work hours,” according to the World Bank.

DTI, manufacturers agree to hold bread, flour prices

October 12, 2018 | 6:38 pm

By Janina C. Lim, Reporter
THE Department of Trade and Industry said it has convinced some bread and flour manufacturers to stall price increases until the holiday season.
Trade Secretary Ramon M. Lopez said the commitment was undertaken by members of the Philippine Baking Industry Group.
This means Pinoy Tasty will remain at P35 per 450-gram loaf and Pinoy Pandesal at P21.50 per 250-gram pack.
Meanwhile, Harinang Pinoy, the flour used for the production of these bread brands, will be kept at P670-680 per bag.
“Our mandate is to make sure that manufactured products are kept at reasonable prices. We assure the public that they will always have affordable options for staple items like bread and flour,” Mr. Lopez said in a statement Friday.
PhilBaking members include the producers of Gardenia, French Baker, Uncle George and Tiffany bread.
Meanwhile, Harinang Pinoy is a project with the Philippine Association of Flour Millers (PAFMIL).
PAFMIL Executive Director Ricardo M. Pinca confirmed the group’s yielding to the DTI’s request.
He added that the cutthroat competition in the domestic stage “is tempering upward price movements as the mills fight for market share.”
“There are 21 mills trying to elbow each other out for their piece of the market,” Mr. Pinca said in a text message.
With more affordable options, bread companies have restrained from hiking prices of their brands to maintain their market share, according to the DTI.
As such, bread products like Pinoy Tasty and Pandesal have been declining in price.
In Oct. 2011, a loaf of Pinoy Tasty stood at P38.50 and Pinoy Pandesal, at P25.
Meanwhile, Harinang Pinoy started in 2012 at an original price of P750 per bag.
“The prices of Pinoy Tasty, Pinoy Pandesal, and Harinang Pinoy are even decreasing. I urge the consumers to always choose quality, yet more affordable options when buying products,” Mr. Lopez said.

159 Boracay establishments cleared for operation

October 12, 2018 | 6:38 pm

By Reicelene Joy N. Ignacio
THE Department of Environmental and Natural Resources announced on Friday that it has already issued Certificates of Conditional Approval (CCAs) to 159 establishments in Boracay.
Establishments issued with CCAs are allowed to proceed to the Department of Interior and Local Government for assessment of permits, then to the Department of Tourism for final accreditation and clearance to operate when Boracay opens on Oct. 26.
These are establishments that have complied with all requirements of the DENR, apart from the setting up of sewage treatment plants (STPs) which are still undergoing construction.
The DENR also lifted the suspension of environmental compliance certificates (ECCs) of establishments that have already complied with the requirements.
“In view of the upcoming opening of the island on Oct. 26, 2018 after its closure for 6 months, the EMB (Environmental Regional Bureau) Regional Office 6 is hereby authorized to lift the suspension of ECCs of all complying hotels and establishments in said island,” DENR Secretary Roy A. Cimatu said in a memorandum addressed to his agency’s regional directors in Western Visayas.
Mr. Cimatu also ordered the regional office to continuously monitor the compliance of those establishments and submit regular monitoring reports.
“Likewise, the EMB Regional Office 6 shall continue to monitor establishments despite such lifting of suspension of their respective ECCs, and monitor all establishments issued with Certificate of Non-Coverage (CNC) to ensure their compliance with environmental laws and assure that no violation against the same is committed,” according to Mr. Cimatu.
CNCs are issued to proposed projects which are unlikely to cause adverse environmental impact on the tourist island.

Mindanao projected to need 10,200 MW additional capacity by 2040

October 12, 2018 | 6:38 pm

DAVAO CITY — Energy officials said more investors are needed in the power supply sector, particularly for Mindanao, to meet the island’s projected 10,200-megawatt (MW) additional capacity requirement by 2040.
Department of Energy (DoE) Assistant Secretary Redentor E. Delola, speaking at the 2018 Mindanao Energy Investment Forum held here Oct. 11, said that while a 1,400-MW surplus power for the southern mainland is expected within the medium term, more generation plants are needed for the long term.
“This surplus will, however, not last for very long considering Mindanao’s growth. There is a need for more power plants and more sources of energy to avoid a repeat of the Mindanao power crisis four years ago,” he said.
A total of 1,332.43 MW of committed power projects are expected to enter the grid between 2018 to 2025.
Mr. Delola said they are also hopeful that another 1,937.28 MW of proposed power projects will push through before 2025.
Mindanao currently has a capacity of about 2,400 MW, based on data from the National Grid Corporation of the Philippines (NGCP).
The NGCP’s Mindanao-Visayas Interconnection Project (MVIP), which will loop in Mindanao to the linked Visayas-Luzon grids, is also underway and targeted for completion by 2020. The MVIP will pave the way for a nationwide sharing of supply.
The Mindanao Development Authority (MinDA), meanwhile, said the guiding policy is to put premium on renewable energy investments to achieve a balanced mix of 50-50 with fossil fuel sources.
The present mix in Mindanao is 60% fossil fuel, mainly from coal-fired plants, and 40% green energy.
“We want to make renewable energy as attractive to investors….What we want in the future is essentially to make renewable energy as attractive as conventional energy,” MinDA Assistant Secretary Romeo M. Montenegro said at the forum.
“Our target is to have a diversified mix of energy source but we put a premium on renewable energy,” he added.
Mr. Montenegro, who also heads the technical working group of the Mindanao Power Monitoring Committee, said they are glad to see the emergence of generation assets located at load points which decentralizes sourcing and minimizes supply disruptions.
There are currently 33 embedded power plants and 20 grid-connected plants in Mindanao. — Carmencita A. Carillo

Locsin appointed next DFA chief

October 12, 2018 | 6:38 pm

By Camille A. Aguinaldo, Reporter
PERMANENT Representative to the United Nations (UN) Teodoro L. Locsin, Jr. is the next Foreign Affairs Secretary.
At a press conference in Bali, Indonesia on Friday, President Rodrigo R. Duterte said he has asked Mr. Locsin if he could succeed Foreign Affairs Secretary Alan Peter S. Cayetano, who will run for Taguig representative in the 2019 midterm elections.
“I don’t know if I have to… I do not have his permission. Mahirap kasi (It’s difficult because) if I give out his name tapos tatanggapin niya (then he’ll take it). Bong (referring to Special Assistant to the President Christopher Lawrence T. Go), tawagan mo nga si Teddy Boy Locsin, sabihin mo kung pwede bang i-mention niya pangalan dito? Okay raw sabi niya (call Teddy Boy Locsin and ask him if I can mention his name here? It’s okay, he said),” Mr. Duterte said.
Responding to inquiries on Twitter on Friday, Mr. Locsin said, “I was asked I said yes.”
Mr. Locsin, a lawyer and veteran journalist, was press secretary and speechwriter of President Corazon C. Aquino. He also served as Makati representative from 2001 to 2010.
Mr. Cayetano said he believes Mr. Locsin will do a better job as the country’s top diplomat. He also urged the department’s personnel to support the next Secretary.
“I truly believe in my replacement, Ambassador Teddy or Teddyboy Locsin. I know him personally. I’ve worked with him in Congress. Hindi kami pareho parati ng pag-iisip. May mga issues na magkaiba kami pero (We don’t always think similarly. There are issues where we differ but) he listens,” he said in his farewell speech during flag ceremonies at the Department of Foreign Affairs’ (DFA) ASEAN office.
“He’s done a good job in the United Nations. On Monday, I will sit down with him. We’ll brief him on all the reforms. I think he will even do a better job than I did but he needs your support,” he added.
Mr. Cayetano also noted the reforms introduced in the DFA on his watch, which included the launching of the e-payment system, the Passport on Wheels program, and the portal for first-time Overseas Filipino Workers (OFW) and the additional consular offices nationwide.
For her part, Senator Loren B. Legarda, chairperson of the Senate committee on foreign relations, welcomed Mr. Locsin’s appointment as DFA secretary.
“His stint as Philippine Permanent Representative to the United Nations seemed to have foreshadowed his appointment as the country’s top diplomat. I am certain he will not waver in protecting our people and our nation’s interests,” she said in a statement.
“As Chair of the Senate Committee on Foreign Relations, I will work with him in advancing the Philippines’ diplomatic relations with other nations and upholding the four pillars of Philippine foreign policy,” she added.