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Ayala, Yuchengco groups in talks to merge education units

By Krista A. M. Montealegre,
National Correspondent

THE AYALA and Yuchengco groups have initiated talks to merge their education businesses, allowing the unified entity to expand its reach and offer a complete education cycle.

In a joint statement, Ayala Corp. (AC) and House of Investments, Inc. (HI) announced they have executed a non-binding term sheet for the potential merger of AC Education, Inc. (AEI) and iPeople, Inc., which have a combined population of over 40,000 students.

AC and HI agreed to an exclusivity period to complete due diligence. The terms and conditions of the merger are expected to completed within the first quarter of 2018, with iPeople as the surviving entity.

Yuchengco-led iPeople controls Malayan Education System, Inc., which is operating under Mapua University, a leading private engineering and technical university in the country. Mapua has two subsidiaries, Malayan Colleges Laguna and Malayan Colleges Mindanao.

iPeople’s other unit is Pan Pacific Computer Center, Inc., which services the information technology-related requirements of the Yuchengco group and selected clients, according to a regulatory filing.

AEI, on the other hand, owns University of Nueva Caceres, one of the oldest and largest universities in Bicol, and APEC Schools, the largest stand-alone chain of private high schools in the country.

“The Yuchengcos going with the Ayalas is a big news regardless of what they are coming together for,” Rens V. Cruz II, analyst at Regina Capital Development Corp., said in an interview.

Mr. Cruz said the deal is complementary since AC is into basic education through APEC Schools, and iPeople is engaged in higher education through Mapua University.

“The potential merger completes an education cycle for both parties so it is a perfect synergy. We have yet to see if it translates to a substantial impact on bottom line or if it creates clamor for further retail investments in education stocks,” he said.

iPeople surged 8.61% to end at P14.88 per share, a new 52-week high. HI shed 0.13% to P7.69 apiece, while AC lost 0.75% to P1,057 each.

“A merger will provide the proponents a larger scale and reach, and will raise standards (of education),” PNB Securities President Manuel Antonio G. Lisbona said in a mobile phone message.

Mapua is a world-ranked Quacquarelli Symonds (QS) three-star university, which is defined as nationally popular, and may have also begun to attract international recognition. Three-star institutions also maintain “a reputable level of research and its graduates are attractive to employers.”

The school has the most Commission on Higher Education Centers of Excellence in Engineering.

A new player in the education sector, the Ayala group is taking advantage of the window of opportunity presented by the shift to the Kinder to Grade 12 program with APEC Schools, which has established 23 branches in less than three years of operation.

“Mapua’s reputation as a leading private engineering and technical university in the country, together with AEI’s ability to provide quality education leading to enhanced employability, at an affordable price, would enable the Yuchengco Group of Companies and Ayala Corporation to jointly contribute to the improvement of the quality of education in the Philippines, for the benefit of all sectors of society,” HI Chairperson Helen Y. Dee was quoted in the statement as saying.

“We are very pleased about this opportunity to partner with the Yuchengco Group of Companies to help build our nation through education. Our belief is that the potential combination of iPeople and AEI would create significant synergies that would enable us to better equip students for compelling futures,” AC Chairman Jaime Augusto Zobel de Ayala said.

The terms and conditions of the proposed merger will be presented for approval by the parties’ respective boards of directors and stockholders. The deal is subject to the requisite regulatory approvals as well.

More towns get access to financial services

By Melissa Luz T. Lopez,
Senior Reporter

OVER A THIRD of towns in the Philippines remained unbanked as of June 2017, although more areas gained access to formal financial channels compared to a year ago, results of a recent central bank survey showed.

Some 571 local government units (LGUs) remained without banks as of the first semester, or 34.9% of 1,634 cities and municipalities. This improved from 589 unbanked areas in June 2016, the Bangko Sentral ng Pilipinas (BSP) said in a statement.

Progress has been slow, with the decline in unbanked LGUs averaging at 0.9% annually from 2011 to 2016.

A total of 11,343 bank offices and 19,500 automated teller machines (ATMs) are operating nationwide as of end-June, with branches growing by an annual average of 4% over the last six years.

These platforms are “concentrated” in Metro Manila, Calabarzon, and Central Luzon, while the Cordillera Administrative Region and the Autonomous Region in Muslim Mindanao remained lagging, the BSP said in its latest Financial Inclusion report.

Access to banking offices remained limited in some areas, with 89 towns being served by micro-banking offices alone. These small bank outlets offer a limited array of services such as releasing small-scale loans, serving as bills payment centers and selling microinsurance products.

There are 44.4 million depositors holding 55.3 million bank accounts worth P10.998 trillion as of June 2017, against an estimated 101 million Filipinos. Of the number, 40% of the accounts are located in Metro Manila, accounting for two-thirds of total deposits.

Over 60% of bank accounts are considered low-value, with deposits at P5,000 or lower.

On the other hand, loans granted by banks reached P7.3 trillion as of end-June, with average annual growth at 17% over the past six years, the BSP said. Metro Manila borrowers took 85% of the outstanding credit.

Compared to regional peers, the Philippines stood in the middle of the pack in terms of access to banking, but is on the low end in terms of the number of accounts.

“In terms of usage, the number of deposit accounts per 10,000 adults in the Philippines was lower than most of our peers except Cambodia, Lao PDR, and Myanmar,” the central bank said.

NON-BANK OUTLETS
Meanwhile, non-banks stood as alternatives for areas in need of financial services with over 61,000 outlets, the BSP said, with the fastest expansion seen among electronic money agents.

“Pawnshops, cooperatives, and microfinance NGOs (non-government organizations) had wider presence than banks and were the most common financial service providers in unbanked areas,” the central bank said, noting that only a tenth of LGUs remain unserved if non-banks are taken into account.

Pawnshops have a wider presence compared to banks, as these outlets are available in 73% of the country’s towns and cities.

REFORMS
The BSP is counting on its recently approved guidelines for “branch-lite” units to broaden financial inclusion in the Philippines.

The rules approved in December essentially allow banks to set up dressed-down branches in provinces and non-business districts, which is expected to remove the intimidating vibe of the usual brick-and-mortar bank offices.

A measure that will allow banks to offer basic deposit accounts is likewise being prepared by the regulator, which will relax maintaining balances, dormancy charges, and identity documents. This is seen to serve as the entry point for unbanked Filipinos to finally get aboard the formal financial system.

The National Baseline Survey on Financial Inclusion released by the central bank in 2015 showed that only 43% of Filipino adults had savings, with 68% of them opting to keep their money at home rather than placing them as bank deposits.

The BSP will release the results of its second baseline survey within this quarter.

UBS looks to buy stake in China securities JV

UBS GROUP AG is in discussions to acquire a majority stake in its Chinese securities joint venture, Chief Executive Officer  Sergio Ermotti said, as global banks rush to take advantage of Beijing’s pledge to further open its financial markets.

UBS has started talks with its local partners on taking a 51% stake in the venture, Ermotti said in an interview in Shanghai on Monday with Bloomberg Television’s Tom Mackenzie. He also said UBS is ahead of its plan to double headcount in China over a five year period, saying the Zurich-based bank may have 1,200 staff in the country by the end of this year.

“So we are in line with our plans to grow our business, regardless of the stake,” Ermotti said. “But of course if we can have a more rounded financial participation in our business here, we do welcome that,” he added. He said the discussions on a 51% stake could be concluded in “a matter of months.”

Other global securities giants such as Morgan Stanley and Goldman Sachs Group Inc. have already signaled a desire to take majority stakes in their Chinese ventures, following the government’s announcement in November it would relax foreign ownership restrictions. China said it plans initially to allow 51% stakes before abolishing the cap completely after another three years.

The Swiss bank announced in early 2016 it planed to add about 600 people in China across wealth management, investment banking, equities, fixed income and asset management businesses over a five-year period.

It’s the first time UBS has confirmed talks on taking a majority stake in its China venture, over which it already has management control.

Before the government announcement, UBS had been working on a plan to boost its stake in its local venture to 49%, up from 25% at present. The four Chinese companies in the venture are Beijing Guoxiang Asset Management Co., China Guodian Capital, COFCO Group and a Guangdong transport company.

Goldman Sachs has quietly been laying the groundwork for taking control of its onshore securities business in China, holding discussions with its local partner Fang Fenglei, people familiar with the matter said in November. Morgan Stanley has already raised its stake in its local securities joint venture to 49% from one third, and aims to hold a majority once China gives details on how the rule change will be implemented.

However, Ermotti noted that a majority stake for UBS would be less significant because of its management control. “Honestly, strategically speaking it doesn’t really change at lot because we have been in full control from the managerial standpoint” in China, he said.

Recent hires in China were across the board, and included new staff for the bank’s risk management and technology functions. “So we are also developing knowledge and know-how that we export for the rest of the group from China,” he added. He welcomed extra clarity on Basel capital requirements but said it’s “premature” to make any announcement on share buybacks by UBS. He expects financial market volatility to increase.

“If I look into 2018, I do expect probably a more normalizing environment for volatility than the ones we saw in the last few quarters,” he said. He declined to comment on UBS’s relationship with HNA Group Co. — Bloomberg

Maynilad tapping Megawide, Toshiba’s UEM for P2-B project

ENGINEERING conglomerate Megawide Construction Corp. has secured a contract worth over P2 billion to design and build Maynilad Water Services, Inc.’s water treatment facility, allowing the company to diversify its portfolio.

In a disclosure to the stock exchange on Monday, Megawide said the Las Piñas Water Reclamation Facility is set to deliver 88 million liters per day (MLD) of potable water. Maynilad said its first water reclamation engineering project could support the requirements of 88,000 households.

“The Megawide construction business will continue its expansion this year, starting with Maynilad’s 88 MLD Las Piñas facility. We are actively seeking more projects outside the residential and commercial types to expand our portfolio,” Megawide Chairman Edgar B. Saavedra said in a statement.

The listed firm has partnered with Toshiba Group’s UEM India Pvt. Ltd. and LinkENERGIE Industries Co., Inc. for the project. 

The UEM group is an international firm based in India that provides services ranging from engineering and design to construction and installation of water, wastewater, and domestic waste treatment facilities, according to its Web site. The company was consolidated into the Toshiba group last 2015.

Meanwhile, LinkENERGIE is a local company that offers products and services primarily for the water sector.

“We partnered with UEM and LinkENERGIE to ensure delivery of the highest quality standards. UEM brings solid international experience in creating water treatment facilities and we are looking forward applying their world-class standards to this project,” Mr. Saavedra said.

The design and pre-construction work for the Las Piñas facility will start this month.

Megawide noted the Maynilad water facility is the first of many projects it has yet to unveil for the first quarter of 2018.

“Our construction business is off to a great start this year. We have a number of exciting new projects that we will announce very soon,” Mr. Saavedra said.

The Megawide executive further said they are looking at more projects similar to that of Maynilad’s, as part of a five-year diversification plan to accelerate its growth.

Unveiled in 2016, Megawide announced its strategy to enter four core businesses, namely construction, airport operation, transport, and power generation focused on renewable energy sources within the next five years.

For power, Megawide has acquired Citicore Power, a renewable energy firm committed to produce 1,000 megawatts of clean energy through solar, biomass, wind, and hydropower sources.

In airport operation, Megawide’s consortium with India’s GMR Infrastructure was recently awarded the contract to build a new passenger terminal for Clark International Airport in Pampanga. Megawide had the lowest bid for the project at P9.36 billion, around 25% lower than the ceiling price of P12.55 billion.

For transport, Megawide has a 35-year build-transfer-and operate contract for the Integrated Transport System-Southwest Project signed in 2015.

The listed company recorded a 5.7% growth in attributable profit for the first nine months of 2017 to P1.38 billion, against the P1.31 billion recorded in the same period a year ago. Revenues, meanwhile, climbed 4% to P14.5 billion during the period.

Shares in Megawide dropped eight centavos or 0.45% to close at P17.70 apiece at the Philippine Stock Exchange on Monday. — Arra B. Francia

Palace to appeal CA ruling in Ortega case

By Arjay L. Balinbin

MALACAÑANG ON Monday, Jan. 8, said it will exhaust all legal remedies to reverse the Court of Appeals’ (CA) decision releasing former Palawan governor Mario Joel T. Reyes, the main suspect in the 2011 murder of broadcaster and environmental activist Gerardo “Gerry” V. Ortega.

“We will exercise all legal options to reverse this decision of the Court of Appeals,” Presidential Spokesperson Herminio Harry L. Roque, Jr. said in a press briefing. “The President remains the chief implementer of the laws. The case was filed by the Executive. We have gotten a decision from the Regional Trial Court that the evidence against former governor Joel Reyes is strong, which prompted the court to dismiss the petition of bail.”

Mr. Roque, himself a lawyer like Mr. Duterte, also pointed out that he was allowed by the President to comment on the case in his individual capacity.

“So I have expressed consent to comment, and my comment is: it is not true that the case was a miracle. The case, true, is a ‘kababalaghan’(phenomenon), but it’s really a travesty of justice.”

The spokesman, who used to be a private legal counsel for Mr. Ortega’s family, also said: “I only left the case June 30, 2016 when I took my oath as member of the 17th Congress. At that time, we had concluded presentation of all evidence for the prosecution, and the defense had also concluded its presentation of evidence; and there was already a decision of the lower court that evidence of guilt was strong against former Governor Joel Reyes.”

Describing the CA’s decision as “alarming,” Mr. Roque also said it “overruled an earlier Supreme Court decision” and “arrogated its own judgment for that of the Regional Trial Court that had the opportunity to physically accept the evidence, observe the demeanor of the witnesses and concluded that there was in fact probable cause.”

“This is a very sad development for freedom of the press in this country, given that the murder of Gerry Ortega is a classic case of extralegal killings since Gerry Ortega was both a member of the journalism profession — he was a journalist and he’s also an activist. EO 35 classifies the killing of both journalist and activist as extralegal killings,” Mr. Roque said.

He explained that “the only issue in the petition is whether or not there was probable cause to charge former [governor] Joel Reyes. There was already a prior Supreme Court decision, with Justice Marvic Leonen as ponente ruling on the validity of the second panel created to investigate and determine probable cause against Joel Reyes, and which panel concluded there was probable cause. And the Supreme Court, in that case, said that pursuant to the Crespo ruling which is Mark Jimenez, it is now up to the lower court, the Regional Trial Court to determine the existence of probable cause.”

Mr. Roque said the government will file first a motion for reconsideration, adding he will soon meet with Solicitor General Jose C. Calida and Justice Secretary Vitaliano N. Aguirre II to discuss the case.

Peso slumps to P50:$1 level anew on stable US unemployment data

THE PESO plunged against the dollar on Monday, returning the P50 level, due to strong US unemployment data released last week.

The local currency closed the session at P50.15 against the greenback yesterday, 28.5 centavos weaker than the P49.865 close on Friday.

Monday’s finish was also the peso’s worst close in two weeks or since it ended at P50.24-to-the-dollar last Dec. 21.

The peso opened the session slightly stronger at P49.86 against the dollar, while its intraday high was seen at P49.81. However, the peso weakened in afternoon trading to close at its worst showing for the day.

Dollars traded climbed to $797.1 million from the $715.7 million that changed hands the previous session.

“[Yesterday], the dollar continued to firm up. The peso broke above the P50 figure in the afternoon, and it feels like some of the market players were triggered on that level, so the dollar rallied sharply near the close,” a trader said by phone.

Another trader said the dollar’s strength can be attributed to the “stable US unemployment data released last week despite the weakness of the US non-farm payrolls data.”

Unemployment in the US remained unchanged at the 17-year low of 4.1%. However, the country only generated 148,000 jobs in December, well below the non-farm payroll expectations of 190,000 and the revised November data of 252,000.

The fewer generated jobs in December was mainly due to the retail sector, which lost 20,000 jobs in the said period.

A third trader, meanwhile, said there were “a lot of offshore institutions buying the dollar” against the peso during the afternoon session, causing the local currency to return to the P50 level.

“This is likely due to the dollar strengthening against the regional currencies, especially against the Korean won.”

The trader added that the Bangko Sentral ng Pilipinas likely intervened before the closing to offset the weakness of the local currency.

“It could have been higher but there were aggressive offers from agent banks near P50.15, so that’s where we closed,” one trader noted.

For today, two traders expect the peso to move between P50 and P50.30, another gave a slimmer range of P50.05 to P50.25.

“The peso is expected to further weaken [today] amid bets of stronger inflation figures from the US after the effectivity of latest corporate tax cuts this year,” the first trader said. — Karl Angelo N. Vidal

FNI to reduce size of follow-on offering

By Krista A.M. Montealegre,
National Correspondent

GLOBAL FERRONICKEL Holdings, Inc. (FNI) has slashed anew the size of a long-delayed follow-on share sale that will raise a maximum of P1 billion to prepay debt.

Global Ferronickel — formerly Southeast Asia Cement Holdings, Inc. and served as the backdoor listing vehicle of Platinum Group Metals Corp. (PGMC) — filed an amended registration statement for an offer size of up to 250 million common shares at a price of up to P4 apiece, the nickel producer said in a disclosure on Monday.

The new issue size is a far cry from the maximum amount of P31.03 billion that the miner had initially intended to raise when it filed an application with the SEC in December 2014 and lower than the roughly P2.025-billion offer that was approved by the Securities and Exchange Commission (SEC) in March last year.

The new offer price is also half the previous indicative price of P8.10 per share.

Abacus Capital and Investment Corp. was tapped as underwriter of the deal that will fund the prepayment of an existing loan, Global Ferronickel Executive Vice-President Dante R. Bravo said in a mobile phone message.

The timing of the equity offer will depend on when the company will secure the green light from the SEC and the Philippine Stock Exchange, Mr. Bravo said.

“We remain hopeful that this would be a better year for the mining industry,” he said.

Global Ferronickel is the second largest nickel producer in the Philippines and the largest single lateritic mine exporter in the world.

In November, FNI sealed an agreement with Vi Holding, LLC., a member of an international investment and industrial group from Russia, for the implementation of joint business projects in the processing of lateritic ores.

The government’s intensified crackdown on miners has cast a cloud of uncertainty over the mining industry, forcing several companies to shelve their capital-raising plans.

Canadian miner TVI Pacific, Inc. put on hold a planned P1.515-billion initial public offering of its affiliate TVI Resource Development Philippines, Inc. that would have funded the capital expenditure requirements of a gold-silver project in Zamboanga del Sur, as well as development of the company’s other projects.

Distrust in Sereno peaks in survey

PRESIDENT Rodrigo R. Duterte continued to enjoy majority approval and trust ratings in a December poll by Pulse Asia, whereas Chief Justice Maria Lourdes P.A. Sereno, the subject of an impeachment move by Mr. Duterte’s allies, obtained the highest disapproval and distrust ratings from that survey.

“Among the top Philippine government officials, it is Supreme Court Chief Justice Sereno who obtains the highest disapproval and distrust ratings “(26% and 33%, respectively). In contrast, Filipinos are least inclined to disapprove of and distrust President Duterte (7% and 6%, respectively),” Pulse Asia said of its noncommissioned survey, conducted on Dec. 10 to 15 and 17 last year among 1,200 respondents.

Distrust in Sereno peaks in survey

Ms. Sereno’s most conspicuous disapproval rating rose by 5 points from 21% in September, and her distrust rating by 10 points from 23% in the previous survey.

On the other hand, Mr. Duterte has kept his lead as the most approved and trusted government leader, with his 80% approval unchanged from a previous poll and his 82% trust, two points higher than September’s.

Vice-President Maria Leonor G. Robredo had a 59% approval (from 57% in September) and 58% trust from 50%, while Senate President Aquilino L. Pimentel III obtained 57% (from 55% last September) and 53% in trust (from 52%).

House Speaker Pantaleon D. Alvarez obtained a 42% approval rating, 9 points higher than his September rating. His trust rating rose to 37% from 31%.

Across geographic areas and socioeconomic classes, Mr. Duterte succeeded in scoring majority approval ratings (72% to 93% and 77% to 85%, respectively) and trust figures (74% to 94% and 78% to 85%, respectively).

Ms. Robredo posted majority approval and trust scores in nearly each geographic area (59% to 68% and 55% to 65%, respectively) and socioeconomic grouping (58% to 64% and 58% to 63%, respectively). The exceptions are those residing in Metro Manila and those in the best-off Class ABC who continue to withhold majority approval and trust ratings from the Vice-President (both 46% in Metro Manila and both 48% in Class ABC).

Mr. Pimentel received majority approval ratings in all geographic areas and socioeconomic groupings (53% to 61% and 56% to 59%, respectively). In terms of trust, the Senate leader enjoyed majority figures in virtually all areas (54% to 57%) and every socioeconomic class (53% to 56%) but failed to gain the trust of most Visayans (47%).

The only majority score Mr. Alvarez obtained is his 53% approval rating in Mindanao. He logged the same approval and indecision ratings in the other areas (37% to 41% versus 34% to 40%) and all classes (40% to 47% versus 34% to 38%). With respect to his trustworthiness, indecision is the plurality sentiment in Class D (43%) while essentially the same trust and indecision levels are recorded across geographic areas (34% to 42% versus 39% to 47%) and in Classes ABC and E (40% to 43% versus 34% to 46%).

As for Ms. Sereno, public opinion concerning her work and trustworthiness is split three-ways in Class ABC (30%, 38%, and 30% performance ratings and 28%, 33%, and 38% trust ratings). Visayans and Mindanaoans are also divided in their assessment of her trustworthiness (31%, 39%, and 29% in the Visayas and 32%, 35%, and 28% in Mindanao) while those in the rest of Luzon are split relatively evenly as regards her performance (29%, 39%, and 29%, respectively).

In Metro Manila, the Supreme Court Chief Justice got the same disapproval and indecision ratings (33% versus 40%) as well as distrust and indecision scores (37% versus 40%).

Ms. Sereno likewise registered nearly or exactly the same approval and indecision figures in the Visayas (33% versus 43%), Mindanao (both at 37%), and Class E (33% versus 43%). Ambivalence is the plurality opinion in Class D (38%). As for her trustworthiness, practically the same percentages in the rest of Luzon and Class D say either that they distrust her (36% and 34%, respectively) or that they are undecided on the matter (38% and 37%, respectively). A big plurality in Class E (41%) cannot say if they trust or distrust the chief justice.

Pulse Asia has also noted that “only House Speaker Pantaleon D. Alvarez and Supreme Court Chief Justice Maria Lourdes A. Sereno experience notable changes in their performance and trust ratings between September and December 2017.”

Approval for Mr. Alvarez’s quarterly performance became more pronounced at the national level during this period (+9 percentage points). Similar movements occur in the rest of Luzon (+12 percentage points), Class D (+8 percentage points), and Class E (+12 percentage points). Also, ambivalence toward the lawmaker’s work eases not only at the national level (-10 percentage points) but also in Class D (-10 percentage points).

In the case of Ms. Sereno, disapproval for her performance became more pronounced in Metro Manila (+14 percentage points). With regard to her trust ratings, the only marked movement is the decline in Metro Manila (-13 percentage points). Indecision on the matter of trusting or distrusting the Supreme Court Chief Justice becomes less manifest in Mindanao (-13 percentage points). As for her distrust scores, they go up in the Philippines as a whole (+10 percentage points) and in Metro Manila (+18 percentage points), Class ABC (+19 percentage points), and Class D (+10 percentage points).

Sought for comment, political science professor Edmund S. Tayao of the University of Santo Tomas said in a phone interview that the significant increase in Ms. Sereno’s disapproval and distrust ratings is due to the “pending impeachment case” filed against her.

“Sereno has been going around defending herself because of the pending impeachment case filed against her. Perhaps, she was not able to defend herself substantially from the accusations. She limited her defense mainly on 1.) her personal defen(se) against her fellow justices and 2.) the administration being against her.”

In a statement, Ms. Sereno’s camp said it is bracing for a “possible escalation of the vilification campaign” against her, “after efforts to pin her down on numerous charges failed during the several hearings conducted by the House Committee on Justice last year.

“It is our position that if there is a strong case against the Chief Justice, it should have long been elevated to the Senate for trial,” said lawyer Jojo Lacanilao, one of Sereno’s spokespersons.

The statement also said: “(Mr.) Lacanilao, meanwhile, maintained that the report about the 10 justices testifying at the impeachment hearing was part of a ‘psywar campaign’ to condition the mind of the public and make it appear that the Chief Justice is losing support among her colleagues in the high tribunal.”

“Given the possible nature of their testimonies, it is unfair to conclude that the justices who are invited to the coming hearings are testifying against the Chief Justice,” Mr. Lacanilao said. — with Arjay L. Balinbin

LTFRB reminds PUV operators: No unauthorized fare increases

By Patrizia Paola C. Marcelo
Reporter

THE LAND Transportation Franchising and Regulatory Board (LTFRB) has warned public utility vehicles (PUVs) against raising fares without government authorization.

LTFRB Board Member Aileen Lourdes A. Lizada issued a statement following a social media post of a UV express service going from Meycauayan, Bulacan, to Quezon Avenue, raising its fare to P50 from P45, citing the Tax Reform for Acceleration and Inclusion (TRAIN) law which is set to increase excise taxes on fuel.

“It has come to our attention that some public utility vehicles (PUVs) are increasing their fare rates on their own without authority from the Board. Let this be a warning to all public utility vehicle operators: you need (to go) through the process of a fare hike before any increase can be granted,” Ms. Lizada told reporters in a message.

Ms. Lizada noted that there are currently no pending fare-hike petitions from any UV express operator.

Violations for unauthorized fare changes are a fine of P5,000 for the first offense; P10,000 and impounding of vehicle for 30 days for the second offense; and P15,000 plus cancellation of certificate of public convenience (CPC) where the unit is authorized, for the third offense.

As of October 2017, there are 20,998 total franchises and 22,645 total units for UV express services nationwide. Transport providers have been announcing intentions to raise fares with the impending increase in fuel prices from higher excise taxes on fuel.

Ride-sharing company Grab Philippines (MyTAXI.PH, Inc.) last week filed a petition for a 5% fare increase in response to the expected increase in excise taxes for fuel, among others, under the new tax reform program.

The Philippine National Taxi Operators Association (PNTOA) also wants to hike its flag down rate to P50 but has yet to petition the LTFRB.

Transport group Pasang Masda also recently said it would seek an additional P4 on top of the P8 base jeepney fare, citing higher excise tax for oil products.

Excise taxes are estimated to increase by P2.50 per liter for diesel, and P7 per liter for gasoline.

Ms. Lizada said last week there would be “no automatic fare hikes” and all requests by transport groups or operators must file their petitions with the LTFRB and go through the process of evaluation.

Hollywood stars declare war on sexual misconduct at Globes

LOS ANGELES — Hollywood spoke with one voice at the Golden Globes on Sunday to declare war on the film industry’s culture of sexual harassment and abuse, as it kicked off its annual awards season on a rare serious note.

Crime drama Three Billboards Outside Ebbing Missouri was the big winner of the night with four trophies, giving it momentum ahead of the all-important Oscars in March.

But the awards podium played second fiddle at times to the clarion call coming from numerous stars about the need to heal and move forward.

“Speaking your truth is the most powerful tool we all have,” actress and media powerhouse Oprah Winfrey told the audience at the Beverly Hilton as she accepted a lifetime achievement award. (See story on this page. — Ed.)

“For too long, women have not been heard or believed if they dare speak the truth to the power of those men. But their time is up. Their time is up!” she added, earning a standing ovation.

The industry’s elite turned the red carpet black for the Globes, eschewing bright colors in a fashionable repudiation of disgraced mogul Harvey Weinstein and others ensnared in allegations of misconduct.

And the overall message at the Hollywood Foreign Press Association’s champagne-drenched annual prize-giving was a call for continued change.

“People are aware now of a power imbalance. It’s led to abuse in our industry… It’s everywhere,” Meryl Streep, who was nominated for a Globe for her work in media drama The Post, said on the red carpet.

Seth Meyers, making his debut as Globes host, opened the show with joke after joke about Hollywood’s post-Weinstein reckoning.

“It’s 2018, marijuana is finally allowed and sexual harassment finally isn’t. It’s going to be a good year,” the late night NBC funnyman said.

“For the male nominees in the room tonight, this is the first time in three months it won’t be terrifying to hear your name read out loud.”

WOMEN DIRECTORS SNUBBED
Leading the pack by the end of the night was Three Billboards, Martin McDonagh’s searing film about a mother who battles local authorities to solve her daughter’s murder.

It picked up trophies for best drama, screenplay, actress for Frances McDormand and supporting actor for Sam Rockwell. “The women are not here for the food, they’re here for the work,” McDormand said to applause, noting the “tectonic shift in our industry’s power structure.”

But McDonagh lost out in the directing category to Mexican filmmaker Guillermo del Toro, whose fantasy romance The Shape of Water came in as joint runner-up alongside coming-of-age film Lady Bird with two awards each.

There were no nominations at all for female filmmakers, prompting withering remarks from presenters Natalie Portman, Jessica Chastain and Barbra Streisand.

“Did I hear it right — I was the only woman to get the best director award. And, you know, that was 1984? That was 34 years ago? Folks, time’s up,” Streisand said of her victory for Yentl.

While many fields were wide open, James Franco (The Disaster Artist) was always a shoo-in to win best actor in a musical/comedy movie.

Franco — who also directed the film about Tommy Wiseau’s flop-turned-cult-hit The Room — gave a shoutout to his brother and co-star Dave, telling the gathered celebrities: “I love him more than anything. Thanks to my mother for giving him to me.”

Saoirse Ronan (Lady Bird) pipped Margot Robbie (I, Tonya) in the much closer best actress race, and Ronan was back on stage again alongside her director Greta Gerwig when the coming-of-age fable won best comedy movie.

Gary Oldman, acclaimed for virtually disappearing into the role of British wartime prime minister Winston Churchill in Darkest Hour, took home best actor in a drama.

BIG NIGHT FOR ‘BIG LITTLE LIES’
On the small screen, HBO’s Big Little Lies scooped up a rare trio of acting awards for Nicole Kidman, Alexander Skarsgard, and Laura Dern, and another trophy for best limited TV series.

“I hope we can elicit change through the stories we tell and the way we tell them,” said Kidman, who portrayed an abused wife in the show.

Dern urged Hollywood to support survivors of abuse and to promote restorative justice.

“May we teach our children that speaking out without the fear of retribution is our culture’s new North Star,” she said.

Ewan McGregor picked up his first Golden Globe in one of the night’s most star-studded categories, best actor in a limited series or TV movie, for his work on Fargo.

The Handmaid’s Tale followed up its Emmys night glory, when it won four statuettes, by beating perennial awards juggernaut Game of Thrones to the Globe for best TV drama series.

Its star Elisabeth Moss also took home the prize for best actress in a drama, and thanked Margaret Atwood, who wrote the best-selling dystopian novel on which the Hulu series was based. — AFP


And the winner is…

LOS ANGELES — Here is the list of winners for the 75th Golden Globe Awards, which were handed out on Sunday in Beverly Hills:

FILM

• Best film, drama: Three Billboards Outside Ebbing, Missouri

• Best film, musical or comedy: Lady Bird

• Best director: Guillermo del Toro, The Shape of Water

• Best actor, drama: Gary Oldman, Darkest Hour

• Best actress, drama: Frances McDormand, Three Billboards Outside Ebbing, Missouri

• Best actor, musical or comedy: James Franco, The Disaster Artist

• Best actress, musical or comedy: Saoirse Ronan, Lady Bird

• Best supporting actor: Sam Rockwell, Three Billboards Outside Ebbing, Missouri

• Best supporting actress: Allison Janney, I, Tonya

• Best screenplay: Martin McDonagh, Three Billboards Outside Ebbing, Missouri

• Best foreign language film: In the Fade

• Best animated feature: Coco

• Best original score: Alexandre Desplat, The Shape of Water

• Best original song: Benj Pasek and Justin Paul, “This Is Me” from The Greatest Showman

TELEVISION

• Best drama series: The Handmaid’s Tale

• Best drama actor: Sterling K. Brown, This is Us

• Best drama actress: Elisabeth Moss, The Handmaid’s Tale

• Best musical or comedy series: The Marvelous Mrs. Maisel

• Best musical or comedy actor: Aziz Ansari, Master of None

• Best musical or comedy actress: Rachel Brosnahan, The Marvelous Mrs. Maisel

• Best limited series or TV movie: Big Little Lies

• Best limited series or TV movie actor: Ewan McGregor, Fargo

• Best limited series or TV movie actress: Nicole Kidman, Big Little Lies

• Best supporting actor in a series, limited series or TV movie: Alexander Skarsgard, Big Little Lies

• Best supporting actress in a series, limited series or TV movie: Laura Dern, Big Little LiesAFP

Soldier, five rebels dead in southern PHL clash — army

FIVE MUSLIM rebels and a soldier were killed during a weekend ground and air assault by Philippines security forces on militants supportive of the Islamic State (IS) group in a restive southern region, the military said Monday.

The Philippine army pounded some 50 militants with artillery in a five-hour attack on the island of Mindanao Saturday, according to regional military spokesman Captain Arvin Encinas.

One soldier and at least five members of the rebel Bangsamoro Islamic Freedom Fighters (BIFF) were killed in the clash, he said, adding that while small and fragmented the militant group was a threat in the region.

“They have enough people to conduct atrocities, and they are actively recruiting,” he said.

The Muslim minority of the mainly Catholic Philippines considers Mindanao as its homeland. Decades of armed rebellion in the region has claimed more than 100,000 lives by official estimates.

Last year another group pledging allegiance to IS occupied the Mindanao city of Marawi and fought a bloody conflict with US-backed Philippine government forces for five months, leaving more than 1,100 people dead.

In response to that violence, President Rodrigo Duterte put Mindanao under martial law until the end of 2018.

But sporadic fighting has continued as a network of rebel groups operating on the island splinters, even after the main militant organization the Moro Islamic Liberation Front (MILF) engaged in peace talks. — AFP

‘Blackout’ on Globes red carpet for sexual harassment victims

LOS ANGELES — Usually at the Golden Globes, the red carpet is awash in color.

This year, it was a total blackout.

Hollywood’s A-listers on Sunday turned out en masse in black — a sartorial show of force to draw attention to sexual harassment in showbiz and other industries, a culture of abuse revealed in the downfall of mogul Harvey Weinstein and others.

Women and men alike strutted into the Beverly Hilton for the gala event in their finest, the wide majority of them in basic black, with only the slightest hints of color.

Many men wore pins supporting the Time’s Up initiative launched by hundreds of prominent women in Tinseltown to shine a light on sexual misconduct — starting with Sunday’s “blacklash.”

“People are aware now of a power imbalance. It’s led to abuse in our industry… It’s everywhere,” Meryl Streep, who was vying for a Globe for her work in media drama The Post, told E! network on the red carpet.

The women behind the Time’s Up initiative have called special attention to their “sisters” in less than glamorous blue-collar jobs.

Streep — who has come under fire over her denials that she knew about Weinstein’s misconduct — brought Ai-jen Poo, the head of the National Domestic Workers Alliance, as her plus one.

The three-time Oscar winner said Hollywood’s men and women now felt “emboldened to stand together in a thick, black line.”

Indeed, the men of Hollywood took some flack ahead of the gala for saying they too would wear black, with some remarking that they would have worn tuxedos anyway.

But many donned black shirts as well, and offered their impassioned support for the movement.

Nominee Denzel Washington pointed out: “It’s important tonight but it’s important to follow through. It’s important to see what’s going to happen a year from tonight.”

David Thewlis, who starred in last year’s box-office smash Wonder Woman and wore a Time’s Up pin, said the initiative had launched a vital dialogue and admitted he had not been aware of the scale of the problem.

“As a father, as a husband, why wouldn’t you be 100% in support of this?” Thewlis told AFP on the red carpet.

‘AWAKENING’
Streep was not the only actress who walked the red carpet with an activist.

Michelle Williams (All The Money in the World) arrived with Tarana Burke, the creator more than a decade ago of the “Me Too” movement that exploded on social media in the wake of the revelations about Weinstein as women recounted their experiences online.

Amy Poehler entered with Restaurant Opportunities Center United president Saru Jayaraman.

The protest movement did not preclude Tinseltown’s finest from making fashion statements.

Oscar winner Catherine Zeta-Jones, who starred in last year’s hit TV series Feud: Bette and Joan, opted for a daring sheer lingerie-inspired black gown with plenty of artfully placed sequins — and emerald green earrings.

Alicia Vikander’s gown had a rather Victorian buttoned-up bodice with full coverage, sheer sleeves — and a bare back.

For the most part, the pops of color were minor — a streak of bright green eyeshadow here, a snippet of white fabric at a neckline there, or an orange sash at the waist.

But Meher Tatna — the president of the Hollywood Foreign Press Association, which organized the event — caused a stir when she appeared in a bright red ensemble with metallic accents.

A source close to the HFPA said: “She supports the women here tonight. As part of her Indian culture, she chose to wear a red dress.” — AFP