Facebook Instagram Linkedin X Youtube
Home Blog Page 12890

Hot money leaves PHL in February

MORE foreign funds left the Philippines in February compared to a year ago, reversing from January’s net inflows, in the face of uncertainties in the global market, the Bangko Sentral ng Pilipinas (BSP) reported on Thursday.

Foreign portfolio investments posted a $545.14-million net outflow last month, bigger than the $409.01 million that left the country in February 2017 and reversing from January’s $162.16-million net inflow, the central bank said in a statement.

These funds are also called “hot money” since they enter and leave the country with ease at any news that affects investor sentiment.

February ended three straight months of net inflows.

The central bank attributed February’s bigger outflows “to profit taking as well as investor reaction to news of possible rate increases by the US Federal Reserve due to an expected surge in inflation amid implementation of the US government’s tax cuts.”

Then newly seated Fed Chairman Jerome H. Powell had hinted in remarks to US lawmakers that the central bank will stick to its path of gradual rate increases.

Foreign investors put in $1.029 billion in February, 4.8% more than the year-ago P981.2 million but 36.64% less than January’s $1.623 billion.

At the same time, February saw bigger outflows of $1.574 billion, 13.2% more than the year-ago $1.390 billion and 7.7% more than January’s $1.461 billion.

Around 81% of placements went to companies listed on the Philippine Stock Exchange, mostly to holding companies; property firms; banks; food, beverage and tobacco firms; as well as casino and gaming companies.

The remainder went to government-issued peso-denominated debt notes, the BSP said.

Year-to-date, hot money settled at $795.16-million net inflow, turning around from the $168.41-million net outflow recorded in 2017’s first two months.

Investors had been generally bullish as the year opened, with optimism fueled by the implementation of Republic Act No. 10963, or the Tax Reform for Acceleration and Inclusion Act that is the first of up to five planned overhauls of the country’s taxation system in order to make it fairer and yield more collections.

Additional taxes imposed starting Jan. 1 are expected to offset foregone revenues from personal income tax cuts and generate P82.3 billion for 2018. This, in turn, will help fund the P1.1-trillion infrastructure budget programmed for the entire year.

Investors from the United Kingdom, the United States, Malaysia, Hong Kong, Luxembourg and Singapore were the biggest sources of hot money last month.

About 73.8% of funds that left the Philippines went back to the US.

The BSP expects $900 million in net outflows this year, more than four times the $205.03 million that actually left the country in 2017. — Melissa Luz T. Lopez

Sunsets, holy springs, and shopping: so much to do in Bali

Text and photos by Cathy Rose A. Garcia,
Associate Editor

Bali is best known for its beaches and surfing spots, but this popular Indonesian island destination has so much more to offer. The tropical paradise also has centuries-old temples, a rich culture, stunning sunsets, picturesque rice terraces, relaxing spa treatments, and safari parks. It’s no wonder then that Bali accounts for 40% of the total foreign visitor arrivals in Indonesia.

The world-famous Kuta Beach is where it all started for Bali. Throngs of people gather at the beach by late afternoon to catch the famed Bali sunset over the Indian ocean.

“Bali started with Kuta. Then Sanur, Seminyak, and Legian. We want to bring Kuta back to its glory days. Let the world know that here is where it all started,” Dario Orsini, general manager of the Sheraton Bali Kuta Resort, told BusinessWorld.

AirAsia Philippines earlier this month brought group of journalists and bloggers to Bali. The budget carrier started direct flights from Manila to the Indonesian island in January.

The group stayed at the Sheraton Bali Kuta, the only five-star resort on Kuta Beach. If you’re staying at a suite with a private balcony, you can even enjoy the breathtaking sunset without leaving the hotel.

“We are able to offer an oasis of relaxation, coupled with good service that Sheraton is known for… Kuta is like the heart of the city. You have everything here, everything is walking distance,” Mr. Orsini said.

Sheraton Bali Kuta’s Bene restaurant gets quite a crowd on Fridays for its “Seafood Martini Friday.” Guests can pig out on grilled seafood, an Italian-inspired buffet, and free-flowing drinks, including 10 different martinis, house wine, and mocktails.

At the hotel’s Shine Spa, we got a foot massage while enjoying the ocean view, while others tried out a traditional Balinese massage at a private room.

Next door is the Beachwalk Shopping Center, an open-air mall with a wide range of retailers, local restaurants, and global fastfood chains. Zara, H&M, and TopShop can be found alongside small shops selling Indonesian souvenirs, beauty products, snacks, beachwear, and accessories.

Mr. Orsini, who has lived on the island for 11 years, noted the influx of tourists continues for Bali.

“There used to be a peak season, but now Bali is pretty much all year round. Normally, June, July, and August are the peak and the crazy peak is December and January. Pretty much all year round,” he said.

In 2017, a total of 5.65 million tourists entered Indonesia through Ngurah Rai International Airport, falling short of the six million target. Tourism was affected when the airport had to be shuttered for several days in November after Mount Agung’s volcanic eruption.

CULTURAL HEART OF BALI
Our next stop was Ubud, which would be familiar to anyone who has read Elizabeth Gilbert’s book Eat, Pray, Love. But unlike the quiet streets depicted in the film version starring Julia Roberts, Ubud is a busy town with a lively arts scene, cute cafés, and spas.

According to Insight Guides Bali and Lombok, the name Ubud comes from the Balinese word for medicine “ubad” because of the medicinal herbs and plants found around the area.

“Here in Ubud, you have to go to Neka Gallery. The gallery is full of their arts and crafts, the batik, the fabric. It’s very rich in the cultural fabric and the art of batik,” AirAsia Philippines Chair Marianne “Maan” Hontiveros, who has been to Bali numerous times, said in an interview.

Ms. Hontiveros also suggested visiting studios of master wood carvers, as well as shops selling high-quality ceramics.

“There are master wood carvers here. Bring home a piece of art from Bali, whether it is a wind chime or something. They work with the indigenous materials very well,” she said.

In Ubud, our group were the first guests at the Element by Westin Bali Ubud, which is scheduled to formally open this month.

“We have a big wellness component here. We have complimentary yoga in the morning and evening, meditation. We will have a third-party nutritionist on appointment. Ubud is a lot about wellness, activeness, and healthy lifestyle. The Element brand fits quite nicely in with Ubud,” Stephan Faessler, Element by Westin Bali Ubud general manager, said in an interview.

The Ubud hotel is the first under the Element by Westin brand in Indonesia, and only the second in Asia Pacific after Kuala Lumpur.

Aside from the complimentary yoga and aquarobic activities every day, Element also has a Pancamaya Wellness spa. Spa packages feature natural facials, Balinese massage, Hatha yoga, and healthy juices.

The hotel is located along Jalan Raya Andong — known as handicraft street. Here you can find stores selling wooden furniture, glass lamps, stone carvings, giant dreamcatchers, ukeleles, and trendy rattan bags.

Ubud Market is just a short bike ride from the hotel. The market has a wide selection of handicrafts, silver jewelry, cotton sarongs, wicker bags, and crochet dresses, but the quality varies from stall to stall.

Haggling is a must at the market. Like the Filipino language, you can say “mahal” if you think an item is expensive, and “mura” if it’s cheap. Don’t forget to say terimah kasih (thank you) after getting a good deal.

EAT, PRAY, SHOP
KKday, an online travel platform specializing in local tours, organized a half-day trip to some must-see places in the Tampasiring area, near Ubud.

The Tegalalang Rice Terrace is where the long-stemmed indigenous Balinese rice is grown. Our tour guide explained the rice terraces involved the traditional Balinese cooperative irrigation system called subak. We had some iced coffee and banana fritters while enjoying the view. For the more adventurous, you can hop on a swing over the rice terraces.

The next stop was the Pura Tirtha Empul (Holy Water Temple). The Balinese believe the holy springs were created by the Hindu God Indra, and many locals go here for ritual purification.

Before entering the temple, you need to wear a sarong as a sign of respect. It’s better to bring your own sarong, especially if you’re going to take a dip in the pool. There are sarongs you can borrow from the entrance office but you are not supposed to get them wet.

The holy springs gush out through 30 waterspouts into two pools, where people line up for the purification ritual. Bathers start from the left side to wash themselves under the first spout, and go on until they finish all the waterspouts. Under each fountain, you should say a little prayer, whether its for health or peace of mind. Make sure though you don’t use the 11th and 12th fountains because these are only meant for the dead.

The water is extremely cold, but on a hot day it is a very refreshing experience. We were told not to take a bath after the ritual to ensure that we make the most of the waters’ “healing powers.” Personally, I felt like my skin got smoother after the bath at the temple.

We also stopped by the Goa Gajah or Elephant Cave, which is believed to date back to the 11th century. The cave’s facade is covered with menacing figures, including one which is thought to be an elephant, hence the name.

A thousand-year-old statue of the demonic goddess Hariti is also found next to the cave. Hariti is believed to have once eaten children, but converted to Buddhism and became their protector.

The final stop was at a restaurant serving a local speciality called “dirty duck” or simply crispy duck.

With a view of lush rice fields, we sampled the traditional Balinese smoked duck with rice, vegetables, Balinese satay, sambal, and kropek.

As locals would say, “Enak sekali” — a very delicious end to a short but fun trip to Bali.

AirAsia Philippines offers four flights a week between Ninoy Aquino International Airport Terminal 3 and Bali Ngurah Rai International Airport.

Higher tax rates bite into Feb. auto sales

SALES of automobiles declined in February, as the new tax regime that raised excise taxes on vehicles continued to bite particularly the passenger car segment.

Sales of automobiles fell 3.2% to 26,176 units last month from 27,040 a year ago, according to a joint report from the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and Truck Manufacturers Association (TMA).

Vehicle sales were flat in the first two months of 2018, squeezing out a gain of 0.6% to 57,821 units from 57,465 units in the same period last year.

Another domestic auto industry group, the Association of Vehicle Importers and Distributors, reports its member companies’ sales separately.

Car Sales

“The slight decrease in February sales compared to the same period last year suggests that the market is still adjusting to the new excise tax regime. Sales prospects remain positive as demand continues to be strong,” Rommel R. Gutierrez, president of CAMPI and a first vice-president at Toyota Motor Philippines (TMP), was quoted in a statement as saying.

Signed into law by President Rodrigo R. Duterte in December, Republic Act No. 10963 or the Tax Reform for Acceleration and Inclusion Act increased excise tax rates on automobiles, among other items, when it took effect on Jan. 1.

With the higher excise tax rates, vehicle sales in January started to display signs of weakness, growing by a slower four percent following a spike in December when industry sales surged 33.4% before the new tax rates took effect.

The passenger car segment was the worst hit, with February sales dropping by a tenth to 8,192 units from 9,114 units. Year-to-date sales declined 10.5% to 17,982 units from 20,098 units.

Commercial vehicle sales, which account for the bulk of industry sales, was roughly flat at 17,984 units last month. This brought the full-year sales to 39,839 units, up 6.6% from 37,367 a year ago.

February sales of Asian utility vehicles slid 4.6% to 5,463 units from 5,725 units, dragging the year-to-date sales by 4.1% to 11,274 units from 11,751 units the year before.

Light commercial vehicles — mostly pickups and sport utility vehicles — remained positive, with sales rising 4.7% in February to 11,540 units from 11,025 units. Total sales for the year reached 26,758 units, up 14.5% from 23,365 units.

Sales of light trucks went down 41.3% to 413 units from 703 units, with year-to-date sales declining at the same pace to 799 units from 1,333 units.

In the first two months of 2018, Toyota Motor maintained its dominance with a market share of 39.84%. It was followed by Mitsubishi Motors Philippines Corp. with a share of 22.17%. Ford Motor Company Philippines, Inc. came out third with a 7.95% share.

Honda Car Philippines Inc. and Nissan Philippines, Inc. round out the top five with shares of 7.16% and 6.59%, respectively. — Krista Angela M. Montealegre

Overtourism and the big chill: travel trends in 2018

BERLIN — The tourism industry is booming as travelers find ever more intrepid ways of exploring the globe and receding security fears revive old favorites.

But as industry professionals descended on Berlin for the ITB fair last week, the world’s largest travel trade show, the news isn’t all good.

Some of the most popular destinations are becoming victims of their own success, leaving the sector scrambling to respond to concerns about overcrowding and environmental damage.

MIDDLE EAST COMEBACK
Egypt, Tunisia and Turkey all suffered steep drops in visitor arrivals in recent years after a series of terror attacks and bouts of political instability. But a period of relative calm has tempted tourists to set their fears aside and rediscover these classic destinations, lured by the promise of sun, sea, and rock-bottom prices.

In Egypt alone, arrivals more than doubled in 2017, according to the World Tourist Organization.

Tunisia, badly shaken by a museum attack and beach shooting in 2015 that together killed 60 people, saw tourist arrivals jump by more than a third last year.

The Palestinian territories are tipped as an up-and-coming destination, while Israel, despite a tense security situation, has seen a spike in bookings following a no-expenses-spared promotion campaign.

WINTER IS COMING
Some of this year’s hottest destinations are also the coldest, with growing numbers of holidaymakers prepared to shiver to experience the otherworldliness of Lapland, Greenland, or Antarctica, or the breathtaking color show of the Northern Lights.

Iceland owes its unprecedented tourism boom in part to Game of Thrones fans eager to explore the wild landscapes that featured in the television show. In 2017, the country with fewer than 340,000 residents welcomed a staggering 2.5 million visitors.

OVERTOURISM
While the money they bring may be welcome, the hordes of tourists in places like Iceland has sparked a backlash among locals, who complain that their nation’s pristine locations are being overrun.

The grumbles have been even louder in perennially popular places like Barcelona, Amsterdam and Venice, where residents are increasingly fed up with the crowds, the strain on public infrastructure, and unaffordable rents as city center flats become Airbnb holiday lets.

Authorities have started to take notice, vowing measures to curb the influx — and posing fresh challenges to the travel industry.

“So-called overtourism has become a major problem this year,” the IPK International tourism consultancy said in a recent report. “The industry urgently needs to find answers.”

MIXING BUSINESS WITH PLEASURE
Flexible working hours and jobs that can be performed anywhere with wi-fi have blurred the lines between traveling for business or leisure.

These so-called “bleisure” travellers, mainly aged 18 to 34, are free to book a beach escape on a whim or tag a few extra days onto a business trip to do some sightseeing — so long as their tech needs are met.

Thailand, determined to tap into these affluent digital nomads, has embarked on a major push to boost its high-speed Internet infrastructure, including on its most remote and picturesque islands.

EVERY DROP COUNTS?
Hotel guests have long been used to the little cards in the bathroom asking them to reuse their towels. But as environmental pressures grow, hotel chains and tour operators are going a step further, bringing eco-friendly travel into the mainstream.

To encourage responsible water use, it is becoming increasingly rare to find large baths in hotel rooms, even in luxury establishments, according to the specialist magazine Travel Weekly.

In drought-hit South Africa, hotels have taken action to reduce their laundry loads by switching to paper napkins and washing the linen less frequently.

In Norway, the government is planning tough new restrictions on cruise ships entering its spectacular fjords in a bid to lower harmful emissions and crack down on pollution. — AFP

Trade woes, Russia tensions pressure emerging stocks, FX

LONDON — Emerging stocks struggled higher and currencies were mixed on Thursday amid mounting concerns over trade tensions and a worsening diplomatic row between Britain and Russia.

MSCI’s broader emerging market index climbed 0.1% higher, but the gains masked diverging performances across major bourses with Asian equities across export-oriented economies such as Taiwan and Malaysia suffering.

Concerns over possible trade wars came to the fore again after the administration of US President Donald Trump pressed China to cut its trade surplus with the world’s largest economy by $100 billion.

Solid global trade in recent years has been a driver for sustained and broad-based economic growth, lifting many markets to record highs and with emerging markets have been some of the best performing assets in recent months.

“The main risk that could undermine this positive outlook for emerging markets is the potential for full-scale trade wars,” said Rabobank strategist Piotr Matys.

“That would definitely undermine prospects for the emerging markets. Another risk factor is the faster pace of tightening of the Fed.”

Market expect at least three hikes over the course of the year from the US Federal Reserve, and rinsing US interest rates will push up borrowing costs for emerging markets.

Meanwhile, the premium demanded by investors to hold emerging market hard currency debt over safe-haven US Treasuries has risen steadily over the week, adding 11 basis points and revisiting a near-four month high.

Rising diplomatic tension between London and Moscow after an attack with a nerve agent on British soil could also cast a shadow.

Prime Minister Theresa May pointed the finger firmly at Russian President Vladimir Putin as she outlined retaliatory measures in parliament on Wednesday. This was followed by more harsh condemnation from the U.S. at the United Nations while the European Union and NATO also backed Britain.

For the most part Russian markets seemed to shrug off the developments. Stocks gained and the rouble firmed against the dollar by 0.4 percent, though this followed three days of losses for the currency.

“The market seems to be aware that it’s going to be potentially difficult for the West to penalise Russia for allegedly trying to poison a former Russian spy,” said Rabobank’s Matys. “There are no signs of panic.”

But Russian dollar-bonds showed signs of pressure despite clawing back some of Wednesday’s losses. The average yield premium demanded by investors over U.S. Treasuries rose to as much as 173 basis points — its highest level in 2018.

Meanwhile, currencies suffered in Turkey and South Africa — two economies seen as sensitive to US interest rate moves — despite the dollar treading water.

Turkey’s lira weakened 0.4 percent and hit a fresh 3-1/2 month trough.

“It’s mainly driven by domestic factors: persistently high inflation, widening current account deficit,” said Matys, adding some though the economy had overheated at a time when interest rates were not sufficiently high. — Reuters

SMC core profit up 11% in 2017

By Krista A. M. Montealegre,
National Correspondent

SAN MIGUEL Corp. (SMC) chalked up a double-digit growth in recurring earnings last year on the back of the strong performance of its traditional businesses coupled with the positive results of its power and oil segments.

In a statement on Thursday, the diversified conglomerate reported its   recurring profit grew by 11% to P54.7 billion last year from P49.4 billion in 2016.

The core income excludes the impact of foreign exchange translation and the one-time gain from the sale of its telecommunications business last year.

San Miguel has been refinancing its dollar-denominated debt to temper foreign exchange losses, as the peso continues to weaken and interest rates go up.

The higher earnings was supported by a 21% improvement in consolidated revenues to P826 billion from P685 billion, as sales across all businesses improved.

San Miguel Brewery, Inc. realized a 17% uptick in net profit to P20.7 billion from P17.7 billion due to favorable economic conditions and strong marketing and integrated sales initiatives. Revenues rose 17% to P113.3 billion from P97.2 billion, following a 13% growth in volumes to 260 million cases.

Ginebra San Miguel, Inc. sustained its recovery for the fourth straight year, with net income rising 67% to P602 million from P361 million. Revenues reached P20.9 billion, up 12% from 2016, as sales volume increased by a tenth to 27.7 million cases, driven by double-digit growth of flagship brand Ginebra San Miguel and Vino Kulafu.

Favorable selling prices, a better sales mix, and lower costs for some major raw materials pushed the earnings of San Miguel Pure Foods Co., Inc. by 16% to P6.9 billion from P6 billion in the previous year.

San Miguel Yamamura Packaging Group rode on the continued growth in its Australian operations and higher sales from its glass, metal and plastics businesses to boost revenues by 17% to P32.1 billion from P27.4 billion.

SMC Global Power Holdings Corp. saw its net income “significantly increase” to P8.2 billion on the back of lower unrealized forex losses and a 6% growth in revenues.

Petron Corp. enjoyed a 30% expansion in net profit to P14.1 billion from P10.8 billion as a result of its focus on high-value segments and robust sales volumes from both domestic and Malaysian operations.

Meanwhile, SMC said its board of directors on Thursday approved the company’s subscription to the $650 million in redeemable perpetual securities to be issued by its subsidiary SMC Global Power.

The diversified conglomerate told the stock exchange the amount will be used by SMC Global Power “to partially finance the acquisition of the Masinloc power assets.”

The issuance follows the approval on Feb. 23 by the Philippine Competition Commission of SMC Global Power’s acquisition of the equity shareholders of the 630-megawatt (MW) Masinloc coal-fired power plant in Zambales.

In December last year, SMC Global Power reached a share purchase agreement with the two equity holders of the power plant’s owner, Masin-AES Pte. Ltd., in a deal worth $1.9 billion.

Shares in SMC lost 70 centavos or 0.5% to close at P140.50 apiece on Thursday. —with Victor V. Saulon

Revolution Precrafted expands into Myanmar

REVOLUTION Precrafted Properties Philippines, Inc. has secured a $1.2-billion deal to build residential projects for Myanmar’s KT Group, as the company sets its Asian expansion.

In a statement issued late Wednesday, the supplier of prefabricated structures said it has signed a non-exclusive agreement with the KT Group to build residential units for the latter’s mixed-used riverfront estate called the Okkyin City in Yangon.

Okkyin City is set to house a sports hotel, retail and commercial components, a school, student accommodations, among others. Under the deal, Revolution Precrafted will deliver 36-square meter (sq.m.) and 23-sq.m. prefrabricated units to KT Group, which the company looks to complete in three to six months.

“Myanmar is an emerging economy with 53 million people. We want to take advantage of this sizable market and make it a cornerstone of our regional expansion, especially now that the country is also opening itself to global trade and investments,” Revolution Precrafted Founder and Chief Executive Officer Jose Roberto R. Antonio said in a statement.

KT Group is a private firm in Myanmar with core interests in real estate and property development. Since its establishment in the 1950s, the company has managed to expand its investments in the energy, trading, investments and agriculture sectors, also widening its footprint to include Bangalore, India and Kunming, China.

“The people of Myanmar are looking for a new approach when it comes to their homes.   They are looking for personalized spaces that are sophisticated, functional, but affordable. We are very excited to partner with Revolution Precrafted, the leading maker of elegant, branded prefabricated homes in the world,” the statement quoted KT Group Chief Executive Officer Jonathan Kyaw Thaung as saying.

Revolution Precrafted is also in talks with the KT Group for the development of the company’s other properties in Yangon. It noted that the partnership with KT Group will allow it to enter other markets in the Indochina region.

Prior to the Myanmar project, Revolution Precrafted has also entered into a $3.2-billion deal with Dubai’s Seven Tides International, where it will supply prefabricated condominiums and hotels for nine out of the latter’s 300 artificial islands off the coast of Dubai.

Locally, the company is expanding its footprint through the $1.1-billion Batulao Artscapes project in Nasugbu, Batangas where it will supply and construct 8,250 houses, and the $345-million Revolution Flavorscapes that will feature 7,100 houses in Pampanga.

Established in 2015, Revolution Precrafted is bullish on growth prospects as it targets to be present in 20 countries in the next 24 months. The company is also mulling the conduct of an initial public offering in Singapore or Europe two years from now. — Arra B. Francia

DoubleDragon targets P3-billion sales from Fort Bonifacio hotel

By Arra B. Francia, Reporter

DOUBLEDRAGON Properties Corp. targets to book P3.01 billion in sales from its Hotel101 project in Fort Bonifacio, Taguig City.

The listed property developer unveiled Hotel101-Fort to investors late Wednesday, putting the hotel’s 609 rooms worth P4.95 million each up for sale. The 33-storey hotel will be built on a 1,224-square meter lot in Fort Bonifacio, touted as the country’s rising financial district next to Makati central business district.

The sale of the units will fund the construction of the hotel, which is due to start within the year.

“For the Hotel 101, it’s a very unique business model because we pre-sell the units during the construction period. So it’s low capex on our part, because the proceeds of the selling activities actually fund the construction,” DoubleDragon Chief Investment Officer Hannah M. Yulo said during the a press launch for the hotel in Taguig City on Wednesday.

Once the hotel starts operations, DoubleDragon will remit 30% of the rooms’ gross revenues to their owners, providing investors a steady stream of income. The company will then oversee the management and day-to-day operations of the hotel.

Hotel101-Fort forms part of DoubleDragon’s plan to have 5,000 rooms under its hospitality portfolio by 2020. Of this, 4,000 will carry the Hotel101 brand, while the remaining 1,000 will have the Jinjiang Inn brand.

The hotel is one of four projects under the Hotel101 brand, with the other three in Manila, Boracay, and Davao City currently in different stages of construction.

Asked on how the ongoing cleanup of Boracay will affect the company’s project there, Ms. Yulo is confident it will not delay construction.

“I believe its a six-month cleanup and so we’re still in the planning and design stages so that also takes time on finalizing our plans and securing the permits, so it wouldn’t delay construction,” Ms. Yulo said.

DoubleDragon is currently in the planning stages of Hotel101 Resort-Boracay, which is expected to be the country’s largest hotel in terms of room count at 1,001.

This comes amid the government’s plan to shut down the entire island between June and September to give the Department of Tourism and the Department of Environment and Natural Resources enough time to rehabilitate the island. President Rodrigo R. Duterte had earlier tagged Boracay as a “cesspool,” prompting authorities to conduct the cleanup.

The company looks to open the Boracay hotel by 2020. “In fact, it’s very good for us when it reopens because we’re going to come back with a stronger, more world-class island,” Ms. Yulo said.

DoubleDragon grew its consolidated net income by 71.8% to P2.53 billion in 2017, with recurring revenues surging to P1.31 billion from P347.6 million in 2016 as the company benefited from higher rental revenues.

Shares in DoubleDragon dropped 4.63% or P1.65 to close at P33.95 apiece at the Philippine Stock Exchange on Thursday.

HOOQ launches first original series, more in the pipeline

VIDEO-ON-DEMAND services have steadily moved on from just being distributors of content to actually creating content with Netflix and Amazon Studios at the forefront of this change.

On the Asian front, both HOOQ and iflix have ventured into producing their own content, with iflix launching Hoy! Bibig Mo, it’s first Filipino original comedy series in late 2017, while HOOQ deciding to enter the fray with its first Hollywood original, The Oath.

The series, created by Joe Halpin (the Hawaii Five-O reboot in 2010, and Secrets and Lies in 2015) is set in Los Angeles and “dives deep into a world of gangs made up of those sworn to protect and defend,” said a press release.

Starring Sean Bean and Arlen Escarpeta, among others, the crime drama is said to tread “where most cop dramas don’t [thus] shedding light on corruption and ‘police gang’ culture.”

All 10 episodes of The Oath were released on March 8.

“What you’re seeing now is one of the new things we’re promising our subscribers moving forward — we’re going to build up our HOOQ Originals. These are content that can only be found in HOOQ,” HOOQ Philippines country manager Sheila Pail told BusinessWorld in an interview on March 7 in their offices in Bonifacio Global City, Taguig.

She added that the company is working with “mostly independent studios” in order to “put out series and movies that would normally not be able to land on TV because they are groundbreaking, because they are very different and unique and do not follow the free-TV pattern.

“We’re aiming to be the home of Asian originals, it’s something we’re doing in all the markets we’re in,” she said before adding that Thailand and Indonesia already released their first original movies.

HOOQ Indonesia’s Marlina: The Murderer in Four Parts, directed by Mouly Surya, was screened as part of the Director’s Fortnight in the 2017 Cannes Film Festival.

Meanwhile, the follow-up to Erik Matti’s crime drama OTJ (On the Job), which was announced last year as a HOOQ Original, has finally gone into production. The sequel to the 2013 film will include a full-length film which will act as a sequel to the first film, and a prequel to the series which will have five episodes.

Also held last year was the first part of the HOOQ Filmmakers’ Guild which called for series scripts, the best of which will be turned into full series. The finalists — Bhak from India, Aliansi and Heaven and Hell from Indonesia, Suay from Thailand, Haunt Me and How to be a Good Girl from Singapore — all received $30,000 to produce their series pilot episode. The best of the pilots will be turned into a full series.

“It’s all about scripted entertainment, we’re not looking yet at other formats but the genres will be those that will identify the most with the audience,” said Ms. Pail, who added that while they are not closing their doors on reality-TV entertainment like iflix’s stand-up comedy shows, they prefer to focus more on scripted entertainment. — Zsarlene B. Chua

Nestlé opens P2-billion malt plant in Batangas

NESTLÉ Philippines has launched a P2-billion plant that produces malt extract for its popular Milo drink in Lipa, Batangas.

In a statement, Nestlé Philippines said the 5,400-square meter malt production facility is only the fourth such Nestlé plant in the world, after ones in Singapore, Nigeria and Australia.

“The launching of our malt production plant is a happy start to our 107th year in the Philippines. This latest investment is aligned with our long-term commitment to contribute to the growth of the economy and participate in the development of the country, living the Nestlé purpose of enhancing quality of life and contributing to a healthier future,” Nestlé Philippines Chairman and CEO Jacques Reber was quoted as saying in the statement.

The Nestlé facility uses barley and cassava as raw materials in producing the malt extract, a key ingredient for Milo products. It currently imports cassava from Thailand.

However, Nestlé said it is looking at sourcing cassava from local farmers. The company is now qualifying local cassava farmers, and hopes more farmers will be able to supply Nestlé’s long-term requirements.

“The malt plant’s capacity is expected to increase considerably in three to four years, with potential for exporting some of its output to other Nestlé companies abroad. The plant will enable Nestlé Philippines to develop new types of malt extract to address the evolving needs of Filipino consumers,” the company said.

The malt facility is the third plant at the 29-hectare Lipa factory complex. The two other plants manufacture Milo and breakfast cereal products.

With audiences in free fall, do award shows need to change?

NEW YORK — The Oscars, Grammys and Emmys have for decades served as staples of US television award ceremonies that kick off the year and shape the pop culture conversation.

But ratings are in free fall for many possible reasons — audiences now have plentiful other options outside of traditional broadcasts and the hours-long award shows may be too much of a slog for viewers, who could also be put off by the growing politicization of the awards.

Nielsen, which has been tracking the shows’ audiences since 1974, has never seen fewer viewers for the Oscars, the most glittering of the galas, than this year.

Some 26.5 million people in the United States watched the Oscars last week, a drop of nearly 20% from just a year earlier.

The right wing led by President Donald Trump has been quick to gloat at the declining audience, seeing it as evidence that the American heartland is rejecting a cultural elitism represented by the entertainment industry.

Trump was vigorously mocked at last year’s awards shows while the latest Oscars celebrated women’s empowerment and the #MeToo movement in the wake of abuse scandals in Hollywood’s ranks.

The shows, stung by criticism over white artists’ domination, have also moved to ramp up representation of African Americans.

“Some of us love music without the politics thrown in it,” Nikki Haley, the US ambassador to the United Nations, tweeted during the Grammys after a skit skewered Trump and featured a cameo by Hillary Clinton.

Dom Caristi, a professor of telecommunications at Ball State University in Indiana, doubted that politics had much of an impact in reducing viewership, saying there was no hard evidence to make the case.

For many experts, the award season’s struggles have more to do with the diffusion of the small screen, with streaming services such as Netflix and Hulu offering advertisement-free entertainment on-demand.

Robert Thompson, founding director of the Bleier Center for Television and Popular Culture at Syracuse University, said that for audiences in 2017 the ceremonies “go way too long.”

The Oscars lasted three hours and 47 minutes “and, on top of that, all of the good, exciting stuff didn’t happen until the last 45 minutes,” Thompson said.

After a marathon show in 2002 that went on for four hours and 20 minutes, the Academy of Motion Picture Arts and Sciences, which runs the Oscars, reduced the number of statuettes that are handed out during the ceremony.

But for Thompson, the issue is not only the length but the content.

“Some of the best actors in the country, in the world — they bring them up in their beautiful clothes and they read this copy that sounds like it was churned out by an accountant, read in an incredibly stilted way,” Thompson said.

BLOCKBUSTERS CAST ASIDE
In another possible pitfall for the Oscars, Gabriel Rossman, a sociologist at the University of California, Los Angeles, said that many award-winning films were simply not popular.

Recent winners of Best Picture such as Moonlight and The Artist enjoyed critical acclaim but niche appeal.

In the 1990s, the top prize went to box-office smash hits such as Titanic and Forrest Gump.

“Generally, you’ve seen a decline in middle-range movies. Movies now are either absolutely tiny or they’re really expensive comic book films. And there’s very little in between,” he said.

After a controversy in 2009 when Batman film The Dark Knight failed to be nominated for Best Picture, the Academy raised the number of movies in competition for the top prize from five to 10.

But Rossman said that the impact was limited with only two films nominated for Best Picture this year — Get Out and Dunkirk — finding major success at the box office.

Neither was a favorite to win the award, which went to the dark romantic fantasy The Shape of Water.

Thompson, however, said that the film industry inevitably did not always consider blockbusters to be the year’s best films.

“If you want to know the award for the most popular film, we’ve already got that award. It’s called the box office,” he said.

NO EASY FIX
The Grammys, which draw fewer viewers than the Oscars, have also faced controversy for its selections but tend to recognize bigger-name artists.

Album of the Year in the past three shows went to Bruno Mars, Adele, and Taylor Swift, all of them arena-filling stars.

Few experts see quick solutions, with radical changes to the format risking even further alienating regular viewers.

Thompson said that the Oscars could announce even more awards off-screen.

“The Oscar broadcast looks stodgy and old-fashioned and very much the same it has for a long time because the Academy in many ways has insisted that it stays that way. They are very protective of their brand,” he said.

But he also put the decline in perspective. Even with falling viewers, the Oscars are “still the highest-rated non-sports event of the year.” — AFP

The Crown star’s pay reignites debate on gender inequality

NEW YORK — Gender equality may be the hot topic at Hollywood red carpets and press conferences but Claire Foy’s pay on The Crown demonstrates that, beyond the rhetoric, progress remains painfully slow.

Producers admitted this week that Matt Smith, Prince Philip on the hit Netflix drama, had negotiated a better deal than Foy — the star of the show as Queen Elizabeth II — because of his perceived higher profile.

They did not reveal either salary but said Smith’s 2010-2013 starring role on the BBC’s Doctor Who had been the decisive factor.

Variety magazine last year put Foy’s pay at $40,000 an episode.

The revelation made headlines around the world but can hardly have been a surprise to anyone following the rankings of Hollywood’s highest paid actors, tabulated annually by Forbes magazine.

Emma Stone placed top of the female earnings list last year, but the inconvenient truth for progressive Hollywood is that she would have ranked a paltry 15th had the chart included men.

Treatment of women in show business has been in the spotlight since the Harvey Weinstein sexual misconduct scandal last year touched off a deluge of allegations that brought down powerful men in public life.

Companies, government agencies and even the US federal court system have been forced to re-evaluate sexual harassment policies, while bosses have been confronted with the unfairness of actresses’ pay.

‘CHANGE-MAKING’
One corollary of a painful period of soul searching has been the lifting of the taboo against discussing pay in public. Stories of unfairness have begun to surface with increasing regularity.

“You were not supposed to talk about salary, which is why all these conversations about pay equity in Hollywood are so refreshing, because it’s not something that was shared,” says Melissa Silverstein, founder of the Women and Hollywood website.

Oscar-nominated All the Money in the World hit the headlines in January when Mark Wahlberg and Michelle Williams were called back to reshoot scenes expunging Kevin Spacey, who was sacked over allegations of sexual abuse.

It emerged that Williams had been paid less than $1,000 for the extra work while Wahlberg got $1.5 million, a bonus he ended up giving away to the Time’s Up women’s movement as the furor blew up.

While Wahlberg’s gesture was considered noble and generous, pundits objected that it didn’t address the inherent unfairness.

Silverstein told AFP, however, that the simple fact that people were beginning to notice and talk about the issue was “change-making.”

“To understand why it’s so exciting and revolutionary that people are actually sharing salaries now is because it pierces the silence,” she said.

Television has traditionally boasted a more progressive approach to pay, in no small part thanks to the stars of hit 1990s sit-com Friends, who set the standard by negotiating as a team for the same salaries.

‘GAME OF CHICKEN’
The lead cast of The Big Bang Theory and Game of Thrones followed suit and all earn the same — estimated at a shade under $1 million an episode for the sit-com and $500,000 for Thrones. Gray’s Anatomy heroine Ellen Pompeo also got in on the act when she renegotiated her contract to boost her pay to $20 million a year, or $575,000 per episode.

A star’s value to Hollywood, says Silverstein, is determined not by his or her talent or even commercial potential but by what is known as their “quotes” — whatever amount of money they earned on their last project.

Foy, 33, was already making a name for herself in British costume drama, with roles in Upstairs Downstairs and Wolf Hall, when she was tapped to play the queen but her star profile was slightly lower than Smith’s.

Critics argued on Twitter that the pay discrepancy should only have shown up in the first season, before Foy was garlanded with awards and acclaim.

“This is how TV works. People who are getting a break and don’t have quotes make less than people who do,” Judd Apatow, the veteran filmmaker behind more than 40 movies, tweeted in reaction to the Foy story.

He described pay negotiations as “a scary game of chicken” and said Foy’s pay would have been determined by “her willingness to walk away if the rate offered is not acceptable to her.”

“It is usually not about gender. It is often illogical,” the veteran producer of The Big Sick, Trainwreck, and Bridesmaids added.

“She should have gotten that raise for (the) second season, for sure. They always make you fight an ugly battle for it.” — AFP

1...12,88912,89012,891...14,238Page 12,890 of 14,238
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube