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CROSS Presents 2017 Star Wars™ Limited-Edition Collection

CROSS proudly presents its newest Star Wars collaboration, the Star Wars™ Limited-Edition Collection. This collection commemorates fan favorite characters from the Star Wars saga: Chewbacca, Han Solo, and Boba Fett.

Each writing instrument is crafted with impeccable character detail etched into the finish and topped with a brilliant faceted Swarovski® crystal, bringing the spirit of these characters to life. Showcased in a keepsake luxury gift box containing a character-themed decorative sleeve, Certificate of Authenticity signed by the Cross-design artist and a black acrylic pen stand to prominently showcase the pen.

This striking collection is the epitome of luxury, and with gifting season around the corner, is a must-have for any serious Star Wars™ fan or collector.

Highlights of the Limited-Edition Star Wars™ Collection include:

Cross Townsend featuring Star Wars™ Boba Fett™
Featuring impeccable character detail into the finish and a unique conical top, reminiscent of the character’s weapon. Semi-gloss Army Green lacquer with polished black PVD appointments this writing instrument is perfect for the true fan on your gifting list.

Cross Townsend featuring Star Wars™ Han Solo™
The Han Solo pen is crowned with a brilliant faceted Swarovski® crystal. This writing instrument features Gunmetal Gray PVD plating and polished rhodium plated appointments, making it the perfect bounty for anyone on your gifting list.

Cross Townsend featuring Star Wars™ Chewbacca™
An eternal fan favorite, Cross is proud to pay tribute to the mighty and trustworthy sidekick Wookiee. This pen is highlighted by a Translucent Mahogany Brown lacquer and finished with 23 KT gold-plated appointments. From the die-hard fan to the hip parent, stylish colleague and beyond, this writing instrument will be a sure roar this holiday season.

Each Star Wars pen by Cross is limited to a run of 1,977 units of each writing technology, paying homage to the release year of the original Star Wars™ film, they are available for purchase at select retailers and range in price from Php 35, 190- Php 44, 890.

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About CROSS

The story of the CROSS brand begins in 1846 when artisan Richard Cross, in partnership with his son Alonzo Townsend Cross, revolutionized fine writing instruments. Their early mark of entrepreneurial excellence included tools refined through more than 100 patents and accented by the spoils of the California gold rush. Still positioned to set the bar for what it means to symbolize achievement, human potential and usable luxury, CROSS seeks to provide those possessing extraordinary vision and a strong entrepreneurial spirit with the tools needed to make their mark.

Star Wars™ and related properties are trademarks and/or copyrights, in the United States and other countries, of Lucasfilm Ltd. and/or its affiliates. © & TM Lucasfilm Ltd. In the Philippines, Cross fine writing instruments is exclusively distributed by Newtrends International Corporation.

Available at:

Rustan’s-Makati, Shangri-la, ATC and Cebu / Select National Book Store outlets/ Noteworthy Greenbelt 5 and Podium/ Select Scribe Writing Essentials stores

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Consumer self‑care packet: Holiday Cheer

As a special Christmas edition, this consumer self‑care packet celebrates the love and light that the holiday brings. While material things bringing temporary happiness abound, this list highlights things that come at a price, but still carry a heart. After all, we all deserve a little indulgence, at least during the season of Christmas bonuses. Reel in the yuletide cheer with these self‑care suggestions.

Art Samantha Gonzales

Tis the season of carbs, and there is no better month to indulge in pan de sal than December. After a full year of subsisting on avocado toast, embrace the classic Filipino favorite. Pan de Manila is pushing it a notch higher. This year, their limited edition paper bags and gift packs will feature the painting of Antipolo‑based artist Noel Mahilum.

The delicacies of the bread chain, of course, are art forms in themselves. Crisply toasted on the outside and soft and chewy on the inside, the piping hot pan de sal is a bed of wheat that is best appreciated with a thin spread of butter. Dip it in a cup of Caffe Mocha, and you’re bound to hear the angels singing alleluia.

Drop by the nearest Pan de Manila store in your neighborhood and follow Pan de Manila Official on Facebook and Instagram.

Art Samantha Gonzales

St. Ives Apricot Scrub is iconic, and pretty old. Not that old isn’t good. Old is classic. And the scrub has been tried and tested. But here’s a little twist. St. Ives released an update to their legendary scrub. And it’ll stun you.

Say hello to St. Ives Coconut Oil Scrub and St. Ives Apricot Oil Scrub. This new formula combines the exfoliating properties of a scrub with the gentle nourishment of oil. The antioxidant‑rich face scrub uses 100% grapeseed oil mixed with walnut shell powder, a natural exfoliant.

Unlike the previous version, this has a separate set of directions. You scrub a small amount onto dry skin, rubbing and massaging it gently. After some time, you add a little water and massage further until the oil emulsifies into a milky white substance. After that, you rinse and pat your skin dry.

Sold at ₱399 per bottle, St. Ives Apricot and Coconut Oil Scrubs are available in stores nationwide. For more information, visit www.stives.com.

Art Samantha Gonzales

We know you’re counting down the cups of coffee until you get that planner, but hear us out. Nyx just created a Lippe Countdown Advent Calendar that puts any other kind of day‑telling device to shame. Why? Because every day from one to 24 corresponds to a lipstick. Yup. You punch through each number to pick up soft and silky glosses and velvet smooth lip creams. With one lipstick per day until Christmas, you’re gonna be ready to kiss Santa Claus. The Nyx Lippie Countdown Advent Calendar is available at ₱2,900 at www.lazada.com.phand www.beautymnl.com. Gift it to your girlfriend or buy it for yourself. It’s a gift that keeps on giving.

Weekend Watch: Ballet Manila’s Snow White

Folk tales, fairy tales included, are like templates of fanciful dreams and ideas that inspire our youth. Since we learned these tales at a young age, we already have certain expectations on what should be a part of every retelling. And we can accept these retellings as long as these expectations are addressed.

In the words of prima ballerina and CEO of Ballet Manila Inc., Lisa Macuja‑Elizalde, ballet is a perfect art form to retell fairy tales. “I’ve always believed that fairy tales and ballet go hand‑in‑hand,” Macuja‑Elizalde said in the choreographer’s note to Ballet Manila’s rendition of Snow White. “Ever since the first ballets were created, they all centered around a kind of storytelling that involved heroes and villains, friends and foes, love and betrayal, conflict between classes—and always, the triumph of good over evil—which are the staple ingredients of dreams and make‑believe.”

Lisa Macuja‑Elizalde’s Snow White is the third performance in Ballet Manila’s 22nd Performance Season entitled Flights of Fantasy, following Gerardo Francisco’s Ibong Adarna last August and ballet staple Swan Lake last October. Snow White will run from November 27 to December 2. A classic fairy tale about a kind and beautiful princess who ends up living with a group of seven dwarfs after her evil stepmother tries to kill her out of jealousy, Ballet Manila’s take on it borrows heavily from the 1937 Disney movie with a few additional characters to flesh out the main plot.

As I watched the show premiere surrounded by children who squealed with delight as the dwarfs entered and exited the stage through the audience area, I realized that these story changes are probably for the best. The Brothers Grimm’s rendition of Snow White has a lot of violent scenes that may not be suited for young audiences, like when Snow White ordered the Evil Queen to wear red hot iron shoes and dance at her wedding. Ballet Manila and Disney also cut off the parts about the Queen, disguised as a hag, offering Snow White a comb and a sash before that whole thing about the apple, which saves a lot of time. The Disney movie might be criticized nowadays for wasting too much time on the dwarfs’ antics, but it was those scenes that taught children about the importance of washing your hands before every meal, falling in line and whistling while you work.

The ballet adds five new characters: the huntsman’s wife and son, and a family of deer. All of them help flesh out the characters of the Huntsman and the Prince. They also help impart lessons to children in the audience. It’s the Huntsman’s love for his family that prevents him from killing Snow White, and it’s the Prince’s kindness to animals that leads him to Snow White in the end.

The choreography directed by Macuja‑Elizalde fits perfectly with the music that’s a little bit of Disney, a little bit of classical music, and one version of the Eensy‑Weensy Spider. Feel free to mentally sing along with all the Disney songs that we know you have memorized, you ’90s kid you. You can also tell which dwarf is which by his costume and individual actions, though it’s a bit difficult when it comes to Bashful and Happy. The dancers are as expected of Ballet Manila: they are talented, precise, and seemingly weightless like in a dream.

The costumes are breathtaking, especially those of the Evil Queen and the animals. Every sway of the Queen’s hips, accented by white tights under a see‑through black skirt, reminds you that why yes, she does deserve the title of formerly most beautiful woman in the land. And how did they make those bunnies and deer look so adorable and fluffy despite the dancers wearing tights?

The scene transitions are also masterfully smooth. It was clever to use the Magic Mirror as both an important character in his own right and a device that shows the audience what the Queen has in store for her darling step daughter. The woods are alive, the dwarf cottage is adorable, and seriously the animal characters are just add so much life to a story that we already know by heart.

So Ballet Manila once again manages to make ballet accessible to young and old alike with their shows for children. Because it is a fun and wholesome play that would probably be most appreciated by your younger siblings. But parents, ’90s kids and Disney fans would also have something to look forward to, with it’s refreshing take on a timeless classic.


Lisa Macuja‑Elizalde’s Snow White will have two more shows on December 2 and 3 at the Aliw Theater. For more information visit www.balletmanila.com.ph.

Bad day? Here’s how you can show up fresh for work tomorrow

Emotional turbulences take a toll on the face. When you feel happy, your face blooms. And when you feel crappy, it shows.

If you find it humanly impossible to find inner peace, why not start from the outside and pull the glow in?

Kiehl’s has a wonderful elixir for that: the Midnight Recovery Concentrate, a formula of pure essential oils and distilled botanicals. It is among the Kiehl’s x Kate Moross Holiday Collection that includes specially designed versions of the Ultra Facial Cream (₱1,575) and the Calendula Herbal‑Extract Toner (₱2,425) which is perhaps the gentlest alcohol toner around.

Its promise: only three drops of this powerful concentrate at midnight “fixes” your skin by morning.

Because midnight is the most curious hour of the night.

How many times have you spent that glorious hour pulling an all‑nighter, running a chat marathon, or rewinding all your ex’s BS? Midnight is a magical hour, and if you really love your face, it will do you better to put yourself to sleep with this oil formula.

I tried it out for a week.

At midnight, I pinched the sleek dropper and carefully put one, two, three drops on my face, spreading the oil ever so lightly that it felt like I was giving myself a mini facial massage. The scent of the oil concentrate puts you in the mood to relax. It feels strange to put oil on your face—because we’ve been taught that oil is the enemy. But this potion of botanicals and oils is something you never have to question.

The first morning, I woke up to smooth, matte, taut, fresh baby skin—a total contrast to the muddle of hormonal bullcrap that sat in my mind. Pardon the French, but it makes you radiate an after‑sex glow (minus the sex).

When you wake up radiant, you feel less worse about spending the night by yourself.

Apparently, the secret of this serum is Lavender Essential Oil and Evening Primrose Oil and Squalene.

According to Kiehl’s website, Evening Primrose Oil is said to contain essential fatty acids that the body cannot produce on its own, thus repairing the skin barrier from “daily aggressors,” while improving firmness and elasticity.

Lavender Oil, on the other hand, soothes inflamed and irritated skin while helping reduce blotchy skin for a more even tone. The calming oil is said to create brighter, healthier‑looking skin.

Finally, Squalene, “a signature Kiehl’s ingredient,” restore’s skin’s moisture balance to keep it soft and supple. Don’t ask me how—it’s a string of words that includes “botanical lipids” and “molecular structure” and I got a C‑ in Chemistry.

The most important thing, though, is that it doesn’t lie. The more I use it, the silkier and more hydrated my face feels. And despite the burden of everyday life that I carry on my shoulders, my face feels light. My foundation glides on more smoothly, and by the seventh day, I understood why despite the ₱3,895 price tag for a 50ml jumbo bottle, this concentrate has become one of Kiehl’s bestsellers.

I wouldn’t advise using it in the morning though—although you technically can, under a moisturizer—because it would be too greasy. The deeper reason is that this facial serum is magic, and you need to free yourself from the oil in order to experience its benefits.


A custom gift‑wrapping service with Limited Edition Kiehl’s x Kate Moross gift boxes is available at Kiehl’s freestanding stores worldwide and select specialty retailers.

Spot Kiehl’s at Greenbelt 5, Mall of Asia, Alabang Town Center, TriNoma, Powerplant Mall, Shangri‑La, SM Aura, Ayala Center Cebu, SM City North EDSA, SM Megamall, SM Makati, Robinsons Magnolia, and UP Town Center. For more information, visit www.facebook.com/KiehlsPhilippines and via Instagram at @KiehlsPhilippines

NFA eyes 350,000 MT rice imports

By Janina C. Lim
Reporter

THE National Food Authority (NFA) has proposed to import 350,000 metric tons of rice before 2018’s first harvest in order to beef up government stocks, an official of the state grains agency said yesterday.

‘Yung import volume, nag-request kami ng 350,000 (MT) which is under consideration ngayon sa… food security committee” that checks domestic grains stock levels, NFA Grains Marketing Operations Division Director Rocky L. Valdez said, adding that the agency submitted the recommendation to the NFA Council on Nov. 22.

The council’s membership includes Bangko Sentral ng Pilipinas (BSP) Governor Nestor A. Espenilla, Jr.; Finance Secretary Carlos G. Dominguez III; Trade and Industry Sec. Ramon M. Lopez; Socioeconomic Planning Sec. Ernesto M. Pernia and Executive Sec. Salvador C. Medialdea, among others. Alternate members include BSP Deputy Gov. Diwa C. Guinigundo, National Treasurer Rosalia V. de Leon, Trade and Industry Undersecretary Teodoro C. Pascua as well as National Economic and Development Authority Assistant Sec. Mercedita A. Sombilla.

“Hopefully, by next week, meron na silang evaluation to import or not to import,” Mr. Valdez said in a telephone interview.

Kung papayagan (If approved, the shipments will arrive) January to February; bago anihan ipaparating namin ito (before the harvest). At kahit dumating naman ng harvest, di naman namin ilalabas ito sa market. Naka-standby lang ang mga ito ng lean months sa (And even if shipments arrive amid harvest, we will not release them in the market. They will be on standby for the lean months of ) May, June, July, August,” he added.

The Philippine Statistics Authority (PSA) reported on Nov. 21 that it expects unmilled rice output to increase by 2.58% year-on-year to 4.533 million MT in 2018’s first quarter.

Mr. Valdez said that current inventory at the NFA “has thinned,” sufficient for just six days — well below requirements. This is expected to decline further to three- to four-day levels by the end of the year.

The NFA is required to maintain a buffer stock good for at least 15 days at any time and keep its inventory levels sufficient for 30 days during the lean periods that peak in the third quarter.

The 350,000 MT volume requested is expected to add 11 days to government stocks.

The national rice inventory, however — including stocks in households and commercial warehouses — is good for 61 days, according to Mr. Valdez.

For this final quarter alone, the PSA expects palay production to increase by 6.26% annually to 7.45 million MT, as yield improvement offsets a contraction of harvest area.

That, plus the arrival between Dec. 20 and Feb. 28 next year of about 805,200 MT that was bought by private-sector traders, should help buoy the country’s rice buffers.

Last year, government approved the importation of 500,000 MT but brought in just half of that volume.

Banks in the Philippines to remain resilient — Fitch Ratings outlook

FITCH RATINGS has given a “stable” outlook for Philippine banks for 2018, with lenders expected to remain on solid footing as they receive a boost from a rapidly growing economy that will support brisk lending activity.

“Fitch has stable rating outlooks on all privately owned rated banks in the Philippines. This reflects our view that the banks will maintain their resilient credit profiles amid a favorable operating environment,” the debt watcher said in its 2018 Outlook for Asia-Pacific Banks published yesterday.

“The supportive environment, together with banks’ steady loss-absorption buffers, should help to offset potential risks from recent rapid credit growth.”

Robust economic growth is seen sustained next year on the back of “resilient” consumer spending and a steady stream of remittances, coupled with rising investments as the government’s ambitious infrastructure spending plans are rolled out, Fitch said.

In turn, upbeat economic activity will drive increased credit demand, which has been growing by double-digit rates as of the last few months.

Bank lending grew by 21.1% as of September, according to the Bangko Sentral ng Pilipinas (BSP).

Philippine gross domestic product (GDP) expanded by 6.9% in the third quarter, beating market expectations. This pulled the nine-month pace to 6.7%, putting the government’s 6.5-7.5% target for the entire year within reach, especially as GDP growth is expected to pick up even further in 2017’s last three months.

For 2018, economic managers expect growth to pick up to between 7-8%, triggered by increased infrastructure spending seen in turn to lure more private investments.

“Sustained rapid credit expansion may diminish banks’ capital ratios, but the rated banks generally have a good track record of raising additional common equity to support growth aspirations,” Fitch added.

Philippine lenders continue to hold more than enough funds to support loan growth, with liquidity seen to remain “healthy” for the coming year even as the firms will be subject to tighter liquidity buffers, as prescribed by the BSP in keeping with the international Basel 3 regime.

The regulator is expected to keep liquidity conditions “balanced” despite plans to cut the 20% reserve standard which is among the highest in the world, the credit rater added.

Freeing up these idle funds kept with the BSP will also enable banks to deploy them for productive investments.

Local lenders are likewise seen to enjoy healthy balance sheets, which would boost creditworthiness while also building additional buffers against potential shocks. “Over-exposure to riskier segments, such as real estate or unsecured project finance, would weigh on banks’ ratings if their loss-absorption buffers do not grow in tandem,” the debt watcher said of Philippine banks.

Across the region, Fitch expects robust economic growth across Asia-Pacific economies given improving trade flows, investment and demand for credit.

The Philippines holds a “BBB-” rating — the minimum investment grade status — with “positive” outlook from Fitch. — Melissa Luz T. Lopez

Bicameral budget talks start amid differences

BOTH CHAMBERS of Congress yesterday began meeting in a bid to ensure Dec. 19 enactment of next year’s proposed P3.767-trillion national budget, amid major differences between their versions.

“We set parameters for talks, schedule, timetable…” Senator Joseph Victor “JV” G. Ejercito, a member of the Senate panel and a vice-chairman of his chamber’s Finance committee, told reporters in Filipino, adding that the bicameral conference committee will break up into sub-units so “it will be easier to discuss specific issues.”

Ang target is Dec. 19 — the date set by Malacañang for the signing of the 2018 national budget. We have about two weeks to work…”

Davao City Rep. Karlo Alexei B. Nograles (first district), chairman of the House of Representatives Appropriations committee, told reporters, however, that it may not be smooth sailing for next year’s proposed spending plan.

Hindi ganun kadali (It will not be that easy),” Mr. Nograles said.

“Remember, we finished this early as far as the House of Representatives is concerned [last Sept. 26]. We submitted it to them (Senate) early on and it took them how many months, weeks, for them to finish their version of the budget, and now suddenly tatapusin nila na malapit nang matapos ang taon, tapos ibibigay nila sa amin na ganito karami ang (they approve it close to yearend and give it to us with many) adjustments for us to start studying all of these na gano’n-gano’n na lang (just like that).”

Congress is scheduled to take a Christmas-New Year break from Dec. 16 to Jan. 14.

Major differences between the versions of the two legislative chambers include a P68.7-billion cut by the Senate in the proposed budget of the Department of Public Works and Highways. The total amount consists of an P18-billion lump sum and P50.7 billion for project with right-of-way (ROW) issues. “Hindi mo pa nga na-settle ‘yung dadaanan ng kalsada, paano ka magtatayo ng kalsada? (How will you build a road if you have not secured right of way through the area on which the road will be built?),” said Senator Panfilo M. Lacson, a vice-chairman of the Senate Finance committee.

Senate Finance committee chairman Sen. Loren B. Legarda said some P1.4 billion for an anti-narcotics drive were also realigned to military and police housing (P1.35 billion) and for the acquisition of police body cameras (P50 million). — Arjay L. Balinbin with Minde Nyl R. Dela Cruz

Uy group to undertake P62-B reclamation project

By Krista A. M. Montealegre,
National Correspondent

THE dealmaking rush continues for Davao-based businessman Dennis A. Uy after his consortium was awarded a P62-billion reclamation project in Pasay City.

Udenna Development Corp. (UDEVCO), Ulticon Builders, Inc. and China Harbour Engineering Company Limited submitted an unsolicited proposal to reclaim and develop 265 hectares of foreshore and offshore areas of Manila Bay located at the western part of Pasay City, Lawrence G. Velasco, project development director of the Public-Private Partnership (PPP) Center, said in the second Philippine Construction Congress on Tuesday.

Sought for comment, Pasay City Chief Legal Officer Severo C. Madrona, Jr. said in an e-mail on Wednesday the city government and the consortium signed on Nov. 8 the contractual joint venture agreement, which was ratified by the Sangguniang Panlungsod on Nov. 10.

Both parties sealed the deal after the Pasay City Public Private Partnership Selection Committee received no counter-offer to challenge the unsolicited proposal of Pasay Harbor City Consortium, which was submitted on March 6, Mr. Madrona added.

The Pasay City government published an invitation for competing proposals last September.

Before the consortium could proceed with the project, it would have to go through several government agencies for evaluation, including the National Economic and Development Authority (NEDA) upon recommendation of the Philippine Reclamation Authority (PRA).

Mr. Madrona said the new reclamation project is situated in a different area from that of the 300-hectare reclamation project of the SM Group, which sealed an agreement with the city government in 2013 but has yet to clear all regulatory hurdles.

Based on the terms of the agreement, the Pasay Harbor City Consortium will shoulder the entire cost of the project, which will be completed within four years from issuance of the notice to proceed.

As part of its proposal, the consortium will allocate at least 135.15 hectares or 51% of the area to be reclaimed, including roads and open spaces, for the Pasay City government or PRA.

“Reclamation deals in the Bay area are attractive for companies because it commands a certain premium in terms of unobstructed view of the Manila Bay,” Claro dG. Cordero, Jr., head of Jones Lang LaSalle’s research, consulting and valuation advisory services, said in a mobile phone message.

“The relatively low density of developments in reclaimed areas is also an added feature that certain businesses/companies are looking for,” Mr. Cordero said.

The Bay Area has seen increased activity with the opening of several multibillion integrated resort and casino projects at the Entertainment City, a gaming hub organized by the Philippine Amusement and Gaming Corp. to rival Macau and Las Vegas.

UDEVCO, which is developing its own $300-million integrated resort and casino in Cebu, is owned by Mr. Uy, while Davao-based Ulticon Builders is owned by Carlos “Charlie” S. Gonzalez.

A known friend of President Rodrigo R. Duterte, Mr. Uy has been on an aggressive acquisition binge to expand his business beyond Phoenix Petroleum Philippines, Inc.

This year alone, Mr. Uy secured a license to develop the first integrated resort and casino outside Manila, acquired Bonifacio Global City-based school Enderun Colleges, purchased the company developing a 177-hectare logistics hub in Clark and took over the local operator of FamilyMart convenience stores.

His logistics company Chelsea Logistics Holding Corp. made its debut on the stock exchange last June, using the proceeds of the offer to expand his fleet and further acquire more shipping companies.

Metrobank president, officials to be suspended for fraud case

By Melissa Luz T. Lopez,
Senior Reporter

AT LEAST 12 executives and officers at Metropolitan Bank & Trust Co. (Metrobank) will be suspended over the P1.75-billion internal fraud case unearthed last July, which includes a three-month sanction for the bank’s president.

A well-placed source familiar with the matter said Metrobank President Fabian S. Dee as well as Philippine Savings Bank President Vicente R. Cuna, Jr. will serve 90-day suspensions as part of the sanctions imposed by the Bangko Sentral ng Pilipinas (BSP) on officials who “failed to perform adequate oversight” that led to the embezzling of P1.75 billion by a bank officer.

Prior to his secondment to the thrift banking unit, Mr. Cuna served as head of Metrobank’s Institutional Banking Sector and Corporate Banking Group.

Initial reports pegged the amount pocketed from the scheme at P900 million from fake loans using the name of the Gokongwei-led Universal Robina Corp. — one of the bank’s long-time clients — in multiple tranches worth P30 million.

This was reportedly crafted by former bank vice-president and corporate service management head Maria Victoria S. Lopez, who has been arrested for multiple criminal raps back in July.

A heftier 120-day suspension has also been meted out to another bank officer who handled the opening of bank accounts where the proceeds of the fictitious business loans were transferred to, the source said.

It is up for the bank to decide when the concerned officers will serve their respective suspensions, but this must be implemented in one uninterrupted period.

Sought for confirmation, Metrobank Vice-President and Head of Investor Relations Joey T. Mapa said: “The individual details of the sanctions were not publicly released by the BSP, thus we cannot disclose anything beyond the official statement.”

The Ty-owned lender has also been required to “enhance” protocols to improve corporate governance, credit administration, internal controls and audit, risk management, and customer onboarding and monitor within a year to prevent a repeat of the case.

The BSP has also ordered Metrobank to add P4.45 billion to its reserves to cover for “higher operational risk” following the incident. This would be on top of other capital buffer allocations such as the reserve standard at 20% of total asset base, and will only be lifted once the regulator sees that the lender has installed “adequate” controls.

In a disclosure on Tuesday, Metrobank said that their senior management has “accepted command responsibility” over the case and will implement the BSP’s sanctions, even as the lender maintained that the bank remains “safe and sound.”

Metrobank is the second-biggest lender in the country with a P1.99-trillion asset base as of end-September. The listed lender reported P15.7 billion in consolidated net income for the first nine months, up from P14.3 billion booked during the same period last year.

Lenders back BSP plan to slash reserve ratio

LEADING LENDERS have expressed their support on central bank’s plan to reduce the reserve requirement ratio (RRR), saying this will release more liquidity into the market, giving them more cash to use in their core businesses.

In a statement, BDO Unibank, Inc. Treasurer Pedro M. Florecio III said the lowered RRR will improve the lending capacity of the banks.

“Lowering the RRR will allow banks to boost its lending capacity providing a continuous supply of credit for consumers and businesses,” Mr. Florecio said, adding that it will open more opportunities for banks to reach to out to more clients and enhance financial inclusion.

Meanwhile, Bank of the Philippine Islands Treasurer Antonio V. Paner addressed the uncertainties on the inflationary effects the RRR decrease might bring.

“At the current condition, there will be minimal inflationary effect because the reduced cost of funds will help reduce cost push inflation,” Mr. Paner noted.

“We are confident that the BSP (Bangko Sentral ng Pilipinas) is equipped to manage the impact on price changes as there are other monetary tools that can be used.”

In October, BSP Governor Nestor A. Espenilla, Jr. said the regulator plans to gradually reduce the RRR of big banks from the current 20% to a single-digit level, adding that this will inject around P700 billion of idle cash in the medium term.

The move received a nod from the International Monetary Fund, with the agency noting that this should be done gradually and be driven by data to avoid sending too much liquidity in the economy.

The reserve requirement ratio is the amount of depositors’ balances the banks need to keep with the BSP in the form of cash and other liquid assets. The 20% RRR for big banks is considered to be one of the highest in the region. — KANV

San Miguel to bring SEC to court over P770-million penalty

SAN MIGUEL Corp. said it will bring the Securities and Exchange Commission (SEC) to court over the P769.3-million fine slapped on the conglomerate, saying the amount is “excessive and unreasonable.”

SMC was referring the SEC en banc’s Nov. 21 decision imposing the massive penalty for the company’s late filing of additional documents on its acquisition of a stake in Manila Electronic Co. (Meralco) in 2012.

“Good governance is an integral part of how we do business and we are committed to operating with the highest standards of ethical behavior. With the SEC’s decision, we will be constrained to seek relief from the court. Hopefully, the court will understand and appreciate the position of the company,” SMC President and Chief Operating Officer Ramon S. Ang said in a statement.

The SEC alleged the diversified conglomerate failed to file SEC Form 23-A, or the Initial Statement of Beneficial Ownership of Securities, as well as SEC Form 23-B, or the Statement of Changes in Beneficial Ownership of Securities, in a timely manner.

As per the Securities Regulation Code, both forms must be filed within 10 days after a  company becomes a beneficial owner. SMC’s filing of Form 23-A, however came 191 days late, while Form 23-B was submitted 165 days past the deadline, as stated in SEC’s decision.

However, Mr. Ang noted the company disclosed the details of the transaction through SEC form 17-C, which is used for current reports and required to be filed within five days of the transaction. He added this disclosure had allowed investors enough time to digest the impact of the transaction on SMC.

“SMC committed no violation since all the transactions were disclosed in a timely manner to the PSE and to the SEC through letters and through SEC Form 17-C. However, the SEC disregarded our timely reports and imposed the onerous penalty and computed it based on a percentage of the value of the transaction,” Mr. Ang said.

He added that SMC’s communication with the SEC and the Philippine Stock Exchange (PSE) through letters and SEC Form 17-C indicated that the conglomerate had no intention to withhold information from the public and regulatory bodies regarding the Meralco transaction.

Further, SMC called out the corporate regulator for the size of the P769.3-million fine, which is the highest penalty the SEC has imposed in recent history.

“The penalty is highly disproportionate to the infraction attributed to the company considering that the disclosures made by SMC to both SEC and PSE were extensive enough to prevent market speculation and other similar fraudulent acts,” Mr. Ang said.

The computation for the fine was based on 1% of the amount of the transaction, plus an additional P100 for each day that the filing was delayed for Form 23-A. Penalties for Form 23-B is 2% of the transaction size added with P200 for every day the company delays the disclosure.

Shares in SMC were up by 30 centavos or 0.27% to close at P111.80 apiece on Wednesday, a day after news of the SEC’s penalty against the company broke. — Arra B. Francia

Phoenix Petroleum opens Singapore office in push to secure fuel supplies

SINGAPORE — Fuel retailer Phoenix Petroleum Philippines Inc has set up a trading office in Singapore, expanding in the region as it pushes to secure refined fuel to sell in its local market, a senior company executive said.

The Singapore office, which had its “soft opening” in the first week of November, has hired 7 people so far including three traders and will be the sole supplier of refined fuels to Phoenix in the Philippines, said Joseph John Ong, the firm’s chief finance officer.

The company in 2018 will require 2 billion liters, or about 12.6 million barrels, of fuels including liquefied petroleum gas (LPG), up from the 1.7 billion liters this year and 1.5 billion liters in 2016, he said.

Phoenix Petroleum Philippines currently purchases its fuels from oil traders in the region who in turn procure supplies from refiners. The company hopes its Singapore office will be able to cut out such middlemen by buying directly from refiners.

“What we envision is because Phoenix Singapore will be a full trading outfit, it will not only supply to Phoenix Philippines… it will also sell to other parties in the Philippines and also in the region,” said Mr. Ong.

“That will allow it (economies of) scale and allow it to expand and deal directly with refineries.”

There are over 100 independent companies in the Philippines’ deregulated fuel market that Phoenix hopes to target with sales.

Meanwhile, the company is aiming to next year add another 30 to 50 retail stations to the over 500 it has in the Philippines, Mr. Ong said.

The Philippines is one of Asia’s fastest expanding economies with a 6.5% to 7.5% growth target for 2017, which is expected to boost spending and should drive consumption of fuels.

Double-digit growth in automotive sales, as well as more infrastructure projects and airport expansions are also expected to boost appetite for refined fuels.

Phoenix will continue to look out for assets to acquire next year, Mr. Ong said. Earlier in 2017, it acquired the liquefied petroleum gas business of Petronas Dagangan in the Philippines.

“We still need to look for ways to expand our reach and the fastest way to increase market share would be to acquire existing players,” Mr. Ong said. Reuters