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Banking industry outlook is ‘improving,’ says Fitch

REUTERS

THE PHILIPPINE BANKING industry’s revenue prospects are seen to further improve this year amid strong lending growth and an expected delay in policy easing, Fitch Ratings said.

In a commentary, Fitch said that it revised its outlook on the Philippine banking sector to “improving” from “neutral.”

“We expect banks to be able to preserve their record-high net interest margins (NIM) for longer due to a delay in policy rate cuts,” it said. “This, coupled with a sustained rise in higher-yielding consumer lending and rollout of key infrastructure projects, is likely to buoy banks’ revenue prospects for the rest of 2024.”

The Monetary Board has kept its key policy rate steady at a 17-year high of 6.5% since October 2023. Bangko Sentral ng Pilipinas (BSP) Governor Eli M. Remolona, Jr. previously signaled the first rate cut could be done as early as August.

Fitch expects the BSP to begin its policy easing cycle this year but noted that the “gradient of normalization is gentler than we previously forecast.”

“We believe the extension in higher interest rates will have a manageable impact on the sector’s asset quality given the resilient economy, with Fitch projecting GDP growth of 5.8% in 2024,” it said.

Fitch said higher interest rates will allow banks to maintain asset yields for most of the second semester.

“Meanwhile, the sustained expansion in higher-yielding unsecured lending should result in incrementally better NIM, which we now project to expand by about 7 basis points (bps) for the year, reversing from a 7-bp contraction previously,” Fitch said.

It said there is “upside potential” for the forecast if the BSP further cuts the banks’ deposit reserve requirements this year.

Mr. Remolona has also signaled that he is seeking to reduce the reserve requirement ratio to 5% from the current 9.5%.

The credit rater also said it expects Philippine banks’ loan growth and business volume to remain “healthy” this year. It raised its credit growth outlook to 11.5% from 9.8% previously amid a robust economic outlook.

Latest data from the central bank showed that bank lending grew by 9.6% to P11.91 trillion as of end-April from P10.87 trillion a year ago, its fastest pace of growth in 12 months. This was attributed to sustained credit card lending and increased loans to the construction and transportation sectors.

“Demand for credit card and unsecured personal lending is less sensitive to policy rate movements and we expect the implementation of more infrastructure projects with private-sector participation to further prop up loan growth in the coming months,” Fitch said.

Meanwhile, Fitch said asset quality risks are still manageable despite the elevated interest rate environment.

“The rising share of riskier consumer lending points to inherently higher credit risks on the banks’ loan portfolio, but the healthy economy and job market prospects should help to limit the increase in impairment on the banks’ consumer loan books in the near term,” it said.

“Most large corporates also continue to hold comfortable financial buffers over projected debt-servicing needs.”

The Philippine banking industry’s nonperforming loan ratio rose to 3.45% in April, its highest level in 11 months. Bad loans jumped by 12.3% to P480.648 billion from P427.881 billion a year earlier. — Luisa Maria Jacinta C. Jocson

New vehicle sales rise by 5.5% in May

Vehicles are stuck in traffic along the northbound lane of EDSA Guadalupe. — PHILIPPINE STAR/WALTER BOLLOZOS

By Justine Irish D. Tabile, Reporter

PHILIPPINE AUTOMOTIVE SALES rose by an annual 5.5% in May, amid “good consumer demand,” according to an industry group.

A joint report by the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and the Truck Manufacturers Association (TMA) showed vehicle sales jumped by 5.5% to 40,271 units in May from 38,177 units in the same month last year.

Month on month, sales increased by 7.9% from the 37,314 units sold in April.

Auto Sales (May 2024)CAMPI President Rommel R. Gutierrez said month-on-month vehicle sales have started to recover in May. Vehicle sales had posted month-on-month declines of 1.6% and 0.4% in March and April, respectively.

“Improvements in supply and good consumer demand, coupled with an increase in automotive financial schemes and extensive sales activities, helped boost sales on a month-on-month basis,” Mr. Gutierrez said in a statement.

Sales of commercial vehicles, which accounted for 72.8% of the total in May, inched up by 3.2% to 29,304 units from 28,385 units a year ago.

Month on month, commercial vehicle sales went up by 7.6% from 27,245 units in April.

Broken down, light commercial vehicle sales slipped by 3.8% year on year to 21,572 units, while sales of Asian utility vehicles (AUV) jumped by 32.8% to 6,769 units.

Sales of light-duty trucks and buses went up by an annual 19.9% to 531 units, while medium trucks rose by 7.3% to 369. Heavy-duty truck sales dropped by 22% to 63 in May.

Meanwhile, passenger car sales increased by 12% to 10,967 units in May from 9,792 units sold in the same month in 2023. Month on month, car sales rose by 8.9% from 10,069 units sold in April.

For the first five months of the year, vehicle sales increased by 12.7% to 187,191 units from 166,104 units a year ago.

Passenger car sales jumped by 17.6% to 49,247 units, while commercial vehicle sales increased by 11% to 137,944 units.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the Philippines’ vehicle sales and production were among the fastest growing in the Association of Southeast Asian Nations (ASEAN) region in recent months.

“This reflects the further recovery of many businesses and industries towards pre-pandemic levels,” said Mr. Ricafort in a Viber message.

“The (growth in car sales) also reflects the continued double-digit growth in the country’s consumer loans due to improved economic fundamentals and favorable demographics, despite relatively higher inflation and interest rates that increased borrowing costs recently,” he added.

Data from the Bangko Sentral Pilipinas showed that consumer loans increased by 25.3% to P1.35 trillion in April from P1.08 trillion in the same month last year.

In particular, motor vehicle loans grew by 29.3% to P762.19 billion in April from P589.53 billion a year ago.

The BSP has kept interest rates at a 17-year high of 6.5% since October 2023 to tame inflation.

Mr. Ricafort attributed the month-on-month increase in vehicle sales to “seasonality,” as consumers took advantage of better weather conditions to travel.

Toyota Motor Philippine Corp. remained the market leader with sales of 86,257 units in the January-to-May period, up by 11.7% from 77,194 units a year ago. Toyota sales accounted for 46.1% of the market.

Mitsubishi Motors Philippines Corp. ranked second with a market share of 18.8%. Mitsubishi sales jumped by 16.4% to 35,146 units in the first five months from 30,200 units last year.

In third spot was Ford Motor Company Phils. Inc., whose sales went up by 10.2% to 12,241 units with a market share of 6.5%. 

Rounding out the top five were Nissan Philippines, Inc., which saw a 6.9% increase in sales to 11,559 units, while Suzuki Phils., Inc. posted a 13.1% rise in sales to 7,975 units.

For this year, CAMPI set a sales target of 468,300 units.

Last year, the industry sold 429,807 units.

JV of Meralco unit, PhilTower faces ‘more in-depth’ PCC scrutiny

THE Philippine Competition Commission (PCC) on Tuesday said it has started a “more in-depth assessment” of a proposed joint venture (JV)  between independent tower companies Phil-Tower Consortium, Inc. (PhilTower) and Miescor Infrastructure Development Corp. (MIDC).

“On May 4, the Commission directed the PCC Mergers and Acquisitions Office to open a Phase 2 review of the transaction due to limited information to fully assess the impact on competition after the Phase 1 review,” the antitrust body said in a statement.

The Phase 2 review will encompass several critical areas, according to the PCC. It will validate the nationwide distribution of passive towers, essential for supporting wireless communication equipment leased by mobile network operators.

At the same time, it will examine regulatory monitoring processes and evaluate the duration and terms of contracts between independent tower companies and mobile network operators.

The review will also assess the timeliness, sufficiency, and likelihood of competitors entering the tower leasing market.

It also aims to verify whether the proposed transaction will result in conglomerate effects.

The antitrust body noted that it is empowered by The Philippine Competition Act of 2015, ensuring that such deals do not substantially lessen competition in the relevant markets and harm consumer welfare.

On Feb. 21, PTCI Holdings Pte. Ltd. (PTCI), Connect Infrastructure (Philippines) Pte. Limited (CIP), and Meralco Industrial Engineering Services Corp. (MIESCOR), a subsidiary of power company Manila Electric Co. (Meralco), formally informed the PCC of their intended partnership, the antitrust body said.

The transaction involves the establishment of a joint venture through the acquisition of shares in a newly formed entity named Pylon Holdings, Corp. (Pylon).

PTCI holds ownership of PhilTower via PTCI Assets Holdings, Inc., its domestic holding entity.

Similarly, CIP and MIESCOR jointly manage MIDC, an independent tower company registered with the Department of Information and Communications Technology that provides tower construction, site acquisition, site permitting and erection of towers, and tower management services to telecommunications companies.

The proposed arrangement aims to transfer complete ownership of both PhilTower and MIDC to Pylon.

“In their notification to the PCC, the parties emphasized the complementary nature of PhilTower and MIDC’s businesses,” the agency said.

“By combining their geographic footprints and diverse capabilities, the new entity would be able to offer mobile network operators a broader network coverage of towers,” the PCC added.

In a disclosure in February, Meralco said the partnership seeks “to meet the growing demand for 4G and 5G mobile network infrastructure across the Philippines.”

“MIDC cannot make a comment on the PCC decision at this time while Phase 2 review is still ongoing,” the tower company said in a statement on Tuesday.

“We, at MIDC, are committed to following regulatory procedures and working with the PCC to ensure a thorough review,” it added.

PhilTower was also asked to comment.

Meralco’s controlling stakeholder, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — J.I.D. Tabile

SMC firm on double-digit growth target for 2024 — Ramon Ang

REUTERS

SAN MIGUEL Corp. (SMC) President and Chief Executive Officer Ramon S. Ang said the conglomerate is sticking to its double-digit growth target for the year despite economic uncertainties.

“As you can see in the first quarter results of San Miguel Group, we are growing double-digit on revenue and operating income,” Mr. Ang said during a virtual annual stockholders’ meeting on Tuesday.

“We will stick to the target of continuing to grow at least double-digits for year 2024,” he added.

For the first quarter, SMC’s attributable net income fell by 94% to P509 million, mainly due to foreign exchange losses.

Its consolidated revenue improved by 13% to P392.7 billion, while operating income increased by 15% to P40.5 billion.

Mr. Ang also said that SMC’s Metro Rail Transit Line 7 (MRT-7) project is already about 80% complete.

MRT-7 will have 14 stations. It will run from Quezon City to San Jose del Monte, Bulacan, and is projected to carry 300,000 passengers daily in its first year, and up to 850,000 passengers daily in its 12th year.

SMC is financing the construction and will operate the 23-kilometer commuter rail system after signing a 25-year concession agreement with the government.

Last year, the Transportation department said that MRT-7 would begin operations by 2025.

Mr. Ang added that SMC will assume operation of the Ninoy Aquino International Airport (NAIA) by September.

“We are supposed to take over the operation of NAIA on Sept. 18,” Mr. Ang said.

In March, the consortium led by SMC and the Philippine government signed a concession agreement for the P170.6 billion NAIA rehabilitation project that will improve the airport’s capacity by 77% to 62 million passengers annually.

The consortium, comprised of San Miguel Holdings Corp.; RMM Asian Logistics, Inc.; RLW Aviation Development, Inc.; and Incheon International Airport Corp., has been given a 15-year concession that can be extended for another 10 years.

Mr. Ang also said the construction of SMC’s New Manila International Airport Project in Bulacan “is progressing very well.”

The Bulacan airport project will have at least four parallel runways, a terminal and a modern and interlinked infrastructure network that has expressways and railways. — Revin Mikhael D. Ochave

Empire East eyes further acquisitions for future development projects

LISTED Empire East Land Holdings, Inc. said it is open to acquiring additional properties for development to bolster its already substantial 426 hectares of land holdings.

“We possess 426 hectares of land and remain open to acquiring more properties for development, ensuring sufficient projects for the next five to seven years,” Empire East President and Chief Executive Officer Anthony Charlemagne C. Yu said during the company’s virtual annual stockholders’ meeting on Tuesday.

 “The company is constructing 11 towers as of Dec. 31, 2023, and will commence construction on four more, totaling 15 towers in simultaneous construction,” he added.

He said the company’s projected capital expenditure of at least P25 billion over the next four to five years underscores its confidence in the Philippine market, which is “rich with opportunities for expansion.”

He also advised consumers to consider buying real estate, highlighting its ability to protect against inflation through benefits like increasing property values.

“While inflation is present, it is relatively controlled compared to previous years, allowing for optimism about economic stability. Real estate property is a very good hedge against inflation. It is really time to buy,” he said.

 “By staying responsive to evolving market demands, we sustain our competitive edge and drive sustainable value for the residential segment we cater,” he added.

The country’s inflation rate rose to 3.9% in May from 3.8% in April due to faster price increases of housing, water, electricity, gas, other fuels, and transport.

For the first quarter, Empire East recorded a 14.7% increase in consolidated net income to P236.1 million as consolidated revenue rose by 5.9% to P1.4 billion.

The company is engaged in building mid-cost housing developments, including condominiums, house and lot units, and commercial properties. So far, it has finished constructing 118 condominium towers in Metro Manila and multiple subdivisions in South Luzon.

Some of its projects include San Lorenzo Place, The Paddington Place, Kasara Urban Resort Residences, and Pioneer Woodlands.

Empire East shares were unchanged at P0.143 apiece on Tuesday. — Revin Mikhael D. Ochave

MWSS, concessionaires complete P3.17-B tunnel at Ipo Dam

By Sheldeen Joy Talavera, Reporter

METROPOLITAN Waterworks and Sewerage System (MWSS) and its concessionaires have finished a tunnel excavation as part of the Angat Water Transmission Improvement Project (AWTIP), paving the way for rehabilitating other tunnels, company officials said on Tuesday.

The 6.40-kilometer-long raw water conveyance tunnel is the fifth tunnel  in Norzagaray, Bulacan. It will carry raw water supply of approximately 1,642 million liters per day (MLD) from Ipo Dam to the Bigte basin.

“The benefit of our Tunnel No. 5 is we will be able to increase delivery [of water] to La Mesa [Dam] and prevent leakages. That is one of the [issues] that we are addressing, to be able to recover leakages from old tunnels,” MWSS Administrator Leonor C. Cleofas told reporters in Filipino on Tuesday. 

MWSS and its concessionaires, Maynilad Water Services, Inc. and Manila Water Co., Inc., led a ceremonial tunnel boring machine breakthrough for the AWTIP on Tuesday.

Maynilad and Manila Water equally shared the project cost of P3.17 billion.

The AWTIP will provide operational flexibility to the raw water transmission system during the maintenance or repair of the existing tunnels, especially Tunnel No. 1 that was constructed in 1939.

The project also aims to improve reliability, operational flexibility, and water security in the Umiray-Angat-Ipo-La Mesa raw water conveyance system.

The system is serving 90% of the 20 million population in the whole service area of MWSS, Ms. Cleofas said.

She said that once the tunnel boring machine is removed, there will be the construction of an intake structure to transport water from Ipo Dam to Bigte basin.

“We need to have redundancy and to meet the increasing demand of water in Metro Manila,” she added.

MWSS and its concessionaires selected China International Water and Electric Corp. as the project contractor and DOHWA Engineering Co., Ltd. as the consulting firm.

Patrick Lester N. Ty, chief regulator at the MWSS Regulatory Office, said that the project is already included in the rate-rebasing and will not cause additional charge in water bills.

In 2022, the MWSS board approved the implementation of higher rates on a staggered basis for five years starting in January 2023.

Mr. Ty said that the rehabilitation of Tunnel Nos. 1, 2, and 3 will begin once the reliability of Tunnel Nos. 4 and 5 have been determined.

“Of course, this is worth it… What if we would have a problem in one of our tunnels, we would need to fix that… Our tunnels are already more than 50 years, these need to be rehabilitated,” he said in Filipino.

The 6.3-kilometer Tunnel No. 4 was completed in 2020 and was able to carry 1,600 MLD of water into the delivery system.

WATER ALLOCATION
Ms. Cleofas said that MWSS is requesting 52-cubic-meter-per-second (cms) water allocation for June 16 to June 30 from the National Water Resources Board (NWRB).

“We want to be assured that there will be no water interruption. But even if we would be given 50 [cms], there would be no water interruption,” she said.

The NWRB has approved the 51 cms water allocation for June 1 to June 15. MWSS normally draws 50 cms from Angat Dam.

“Because it’s already the rainy season, even though we would be given 50 [cms], if the water is too much, we are the one requesting not to release water from Angat because we want to save the water from Angat,” she said.

PLDT inches closer to finalizing $1-B data center sale — Pangilinan

PLDT Inc. is now proceeding with the sale of 49% of its data center business to a foreign company for more than $1 billion, the company’s chairman said.

“We are talking to the final bidder at this stage; we have agreed the valuation with them,” PLDT Chairman and Chief Executive Officer Manuel V. Pangilinan told reporters on the sidelines of the company’s annual stockholders’ meeting on Tuesday. 

“There are a few issues, and there are still a number of open points to be negotiated and agreed upon,” he added.

To recall, PLDT has been in talks to sell up to 49% of its data center business, ePLDT, Inc., to Japan’s Nippon Telegraph and Telephone (NTT), which valued its data center at $1 billion.

“I can’t disclose the name, but somebody you know,” Mr. Pangilinan said.

He said the company is expecting to settle some negotiations with the company and finalize the agreement by July.

“In the next few weeks, we should be able to finalize and convert those discussions into a binding term sheet. By July, we should  have a binding term sheet with this particular investor,” he said. 

With this development, the company will not proceed with its planned real estate investment trust (REIT) listing for ePLDT. 

In May, Mr. Pangilinan said its data center unit might opt for a REIT listing if its negotiations with a foreign entity for its data center sale would not push through. 

To date, PLDT, through its subsidiary ePLDT, has 11 data centers, including the 50-megawatt hyperscale data center in Sta. Rosa, Laguna, which is expected to be completed by July.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — A.E.O. Jose

Cebu Pacific says it will operate largest turboprop fleet in PHL

BW FILE PHOTO

BUDGET CARRIER Cebu Pacific, operated by listed Cebu Air, Inc. (CEB), has received its turboprop aircraft, marking its sixth aircraft delivery for the year.

“This aircraft delivery brings our turboprop fleet to 15, and we will be receiving our sixteenth ATR turboprop in October,” Cebu Pacific Chief Executive Officer Michael B. Szücs said in a media release on Tuesday.

“With this, CEB will be operating the largest turboprop fleet in the Philippines, enabling us to serve more passengers across the country,” he added.

A turboprop is an aircraft powered by a gas turbine engine that drives a propeller, offering high fuel efficiency and reliability for short-haul and regional flights.

For the year, Cebu Pacific is expecting to receive 17 aircraft, which would help boost the company’s operations, it said.

The ATR 72-600 arrived at the Ninoy Aquino International Airport on June 5, the budget carrier said, adding that this new aircraft will strengthen the company’s inter-island travel.

The ATR 72-600 aircraft can carry around 78 passengers. It is said to be used by many airlines as a regional aircraft because it can access short, narrow, and unpaved runways, Cebu Pacific said.

Cebu Pacific said the ATR 72-600 is one of the latest generations of twin-engine turboprops produced by the Italian aircraft manufacturer Avions de Transport Régional (ATR).

The budget carrier operates a diversified commercial fleet composed of eight Airbus 330s, 39 Airbus 320s, and 21 Airbus 321s.

To date, it flies to 35 domestic and 24 international destinations in Asia, Australia, and the Middle East. — A.E.O. Jose

A production for a new generation

ALICE REYES Dance Philippines’ corps de ballet dancing Carmina Burana.

ARDP’s Carmina Burana and ‘Dugso’ get rare restaging

NATIONAL Artist for Dance Alice Reyes encourages the public to first listen to the music of Carl Orff’s Carmina Burana before they attend a performance of Alice Reyes Dance Philippines’ (ARDP) latest staging of its dance interpretation of the piece.

“People should listen to the music before they come to watch, so they know just how grand it is. Then they can also see the differences of the live piece from the recorded music,” said Ms. Reyes, whose passion for Carmina Burana has never wavered even after staging it multiple times over the decades.

A cantata, the piece is inspired by medieval poetry set to a majestic score. It tells of the joys of life, drinking, and love, through exuberant, erotic, and pagan movements.

One of ARDP’s iconic pieces — most recently staged in 2022 — this version is set to be the largest. It will feature live music by the Philippine Philharmonic Orchestra (PPO) and the Philippine Madrigal Singers (Madz), with guest soprano soloist Lara Maigue. The production will also feature the Kilyawan Boys Choir and dance trainees from the University of the East’s Silanganan Dance Troupe.

At open rehearsals held in the first week of June at the Metropolitan Theater in Manila, Ms. Reyes told BusinessWorld that she simply can’t get enough of the piece. Even while watching the dancers prepare for a run-through, she waxed poetic about the brilliance of Carmina Burana.

“We’ve been working in a small studio downstairs, so when you sit back and see the dancers up there [on the main stage] finally pouring their heart out to the audience, it moves you. It’s quite an experience. You see the kinesthetic energy of the dancers, how technical the dance is. So you can imagine how amazing it will be with full costumes, lights, and the set, the magic of theater,” she said.

The sets and costumes for Carmina Burana were designed by the late National Artist for Theater Design Salvador Bernal, which makes the production a collaboration between two National Artists. It also explains in part why it takes so much effort to put up, with only seven stagings so far since it first premiered in 1975.

“Another reason I tell people to catch it is because it’s so hard to do. It’s hard to get the company and the sets prepared, plus the PPO and the Madz and the Kilyawan altogether. So don’t waste it,” said Ms. Reyes.

For younger audiences who have not encountered it before, Carmina Burana is a “magnificent musical piece to start with,” she added. “When translated into dance, it provides the story and atmosphere of the period that the composer was writing about.”

“It’s not a boring thing. It will move them.”

A LOT ON THEIR PLATE
Also featured in the dance program are Norman Walker’s “Summer’s End,” August Damian’s “After Whom,” and Ms. Reyes’ “Dugso.”

The latter work is particularly interesting, inspired by rituals performed by the tribes of Bukidnon, Mindanao, and set to National Artist for Music, Dr. Ramon Santos’ choral piece “Ding Ding nga Diyawan.” First performed in 1972, the groundbreaking collaboration was last staged in 1990. This makes the upcoming performance the first for a new generation of audiences.

“‘Dugso’ was so long ago. What’s difficult about it is that it wasn’t archived properly, so the video recordings were unclear. I had to fill in gaps in the choreography with the help of Dr. Santos who did the music,” Ms. Reyes said.

While the open rehearsals that day were mainly for ARDP’s Independence Day performance at Manila’s Rizal Park — which was held on June 10, ahead of the actual celebration — they also practiced excerpts from Carmina Burana and “Dugso.”

“They actually have a lot on their plate,” said Ms. Reyes of her dancers for the free Independence Day production. “The dancers have 12 numbers in all for this Independence Day piece, and they have to do it non-stop. They go off to change into costumes and are back in. It’s a lot.”

This is where her love and pride for the ARDP company shines through. Amid rehearsals, she steps in to ensure the dancers snack on hard-boiled eggs and drink Berocca multivitamins to keep energized. Only then are they able to perform to the best of their abilities.

“When it comes to dance, you get to see through their movements what the music is all about, whether it’s Carl Orff’s cantata or Ramon Santos’ choral piece,” she said.

“Even to me, I still go ‘wow’ when I see my brilliant dancers onstage.”

Carmina Burana will be staged on June 14 at 7:30 p.m. and on June 15 at 2 p.m. and 7:30 p.m. at the Samsung Performing Arts Theater in Circuit, Makati. Tickets are available via TicketWorld and the Cultural Center of the Philippines’ Box Office. — Brontë H. Lacsamana

The Sandbox Collective stages Little Shop of Horrors

IN 1960, director Roger Corman fulfilled a dare to make a film in two days by coming up with the black-and-white horror comedy Little Shop of Horrors. That short span of time gave birth to an iconic quirky world where a Skid Row flower shop raises a strange carnivorous plant.

It was later adapted into an Off-Broadway show, with music by Alan Menken and lyrics by Howard Ashman (a duo known for their work with Disney). But it really achieved worldwide success when it was turned into a musical film in 1986.

The story follows Seymour Krelborn, a down-on-his-luck flower shop assistant, who discovers a mysterious plant with an insatiable appetite for human blood. As the plant, named Audrey II, grows and gains fame, Seymour finds himself tangled in a web of love and moral dilemmas.

Theater director Toff De Venecia believes it’s about time to revisit this unique story, which The Sandbox Collective was supposed to do in 2020, but which was derailed when the pandemic hit.

“I’m so happy that this finally happened. I got to direct this musical in 2011 for Ateneo Blue Repertory, and it was very special to me because, while I was sort of familiar with it, I didn’t realize just how beautiful this musical was. In that show I discovered my voice as a theater director, that I have an affinity for absurdist works and themes of grief. For this 2024 version, we wanted to retain a lot of that spirit and essence, but of course on a bigger scale,” said Mr. De Venecia at a June 5 press conference for the musical.

The very first time he saw the show was in 2004, when Repertory Philippines staged it at Onstage Greenbelt. A few weeks after being awestruck by the musical, his sister died in a house fire.

“It was then that I pondered a lot about death, grief, and the absurdity of the world that we live in, and somehow that made its way into the kind of stuff we choose for Sandbox and the kind of material that we gravitate to,” he said.

Little Shop of Horrors, opening in July, is part of The Sandbox Collective’s 10th anniversary season. The audience can expect to hear memorable songs such as “Suddenly, Seymour” and “Somewhere That’s Green,” which have become iconic in the musical theater canon.

FULL CIRCLE MOMENTS
The cast will feature a mix of people who have done the musical before and those who will be working on it for the first time.

It features Reb Atadero and Nyoy Volante alternating in the role of the lovelorn Seymour, Sue Ramirez and Karylle Tatlonghari sharing the role of the unlucky-in-love heroine Audrey, Markki Stroem and David Ezra alternately playing the villainous dentist Orin, Audie Gemora as the flower shop proprietor Mr. Mushnik, and OJ Mariano as the bloodthirsty plant Audrey II. Mikee Baskiñas, Abi Sulit, Paula Paguio, and Julia Serad play the Street Urchins.

“We were more intentional about the text, the choices, and we just had more tools at our disposal to explore, to create a crazy surrealist playground for the actors to play in. I see myself more as an orchestrator than a director to the cast,” Mr. De Venecia said.

For Mr. Atadero, who was in the 2011 production, it was a no-brainer to take the chance to revisit the material.

“I was in high school at the time!” he said. “Coming from Rent, we’re fatigued and tired of course, but what carries us through is the amazing opportunity to be part of yet another iconic musical.”

Those familiar with the show can also expect to see something different visually this time around, according to scenographer Mio Infante.

“I actually did the set for the Little Shop of Horrors staged by Rep in 1989, my second professional show. I was also still in high school. So, it’s interesting to do something different with it after 35 years. You’ll see something unique for this one, a totally new take that you have to see for yourself,” he said.

One of the things to watch out for is the puppetry by Kayla Teodoro, known for her work in the West End in London. She’s one of the people on the team who are having a full circle moment in this production, having interned with The Sandbox Collective in 2014 before she became a professional puppeteer.

Musical director EJ Yatco reminisced on the use of minus ones in the 2011 production. “Now we’re going to do it with a live band. I’ve been dreaming about that for a decade. Toff and I have grown together, so our life experiences have prepared us for this version,” he said.

A STRONG CAST
Little Shop of Horrors is known for its quirky cast of characters, this time brought to life by faces old and new. Audrey, for example, is played by actresses who are known for their television work.

“I had to unlearn everything, everything. In theater you’re encouraged to make mistakes, unlike in TV where it’s fast-paced and you have to do things in one take. The rehearsals have been fun because we’ve all been making mistakes and improving as we go,” said Ms. Ramirez. This is her first stint in theater.

While she may be a newbie in this particular line of work, her voice wowed the audience at the short press preview. “I love singing and I’m learning a lot about theater, but I still have a lot more to go,” she said.

Ms. Tatlonghari, on the other hand, has had more experience, plus a lifelong obsession with the musical.

“I had a laser disc of Little Shop of Horrors back then. I always thought I was the only one who liked this show; I could even sing the whole thing from top to bottom! I later ended up liking Disney movies like The Little Mermaid, Aladdin, Beauty and the Beast, and it turns out the same musical genius duo of Howard Ashton and Alan Menken also did them,” she said.

Mr. Volante, who plays Seymour, noted that a lot of fellow actors from television are now excited to go into theater and vice versa.

“That’s a thing that’s happening now — people crossing over from one medium to the next. It’s something to encourage. Please support the shows because we want to see more of the entertainment industry coming together,” he said.

GEN Z SENSIBILITIES
In the villainous role of Orin are Markki Stroem and David Ezra, the latter coming from playing leading man-type roles in Disneyland. The two actors, each playing eight roles in the musical aside from Orin, observe that Gen Zs will resonate with the intelligent way the story tackles toxic relationships.

“The younger generation, in this day and age, have started to really call out abuse and red flags. This will definitely showcase that,” said Mr. Stroem.

More than anything, the cast is excited about adding another title to the many theatrical experiences lined up this year. Audie Gemora, who will take on Mr. Mushnik, invited everyone to watch as many shows as possible. “I’m happy because theater is so alive. I don’t know if you noticed but Gen Zs are so lucky. There are shows all year round, and they’re all selling very well!”

Mr. De Venecia added that the staging of Little Shop of Horror, now more intentionally, will lean into mental health as a theme.

“It wasn’t really a thing in 2011 when I did it last, even less so when the musical was first made. But there are actually lines from the show that say, ‘oh I’m depressed,’ showing depression as the status quo. There’s a lot of that, so we just really leaned into it a bit more, to make it a communal experience,” he said.

“That’s the ethos of Sandbox, now that we’re 10 years in the industry. We want to create a space where people can lean into this stuff.”

Little Shop of Horrors will run on weekends from July 6 to 28 at the Globe Auditorium, Maybank Performing Arts Theater, Bonifacio Global City, Taguig. There will be shows at 3 and 7:30 p.m. on Saturdays and Sundays, and 8 p.m. on Fridays. — Brontë H. Lacsamana

P606.53-M  Bohol port project awarded to Cebu-based construction firm

THE Philippine Ports Authority (PPA) has awarded the P606.53-million Port of Tapal expansion project to BNR Construction and Development Corp.

In a notice dated May 31, the PPA said that the project has been awarded to the Cebu-based construction company for submitting the lowest bid.

The Port of Tapal, one of the major and busiest ports in the country, is situated in Barangay Tapal, Ubay town in Bohol.

“Pursuant to the provisions of the bid documents, you are hereby instructed to formally enter into a contract with us and to post the required performance security in the form and amount stipulated in the Instructions to Bidders, within 10 days from the receipt of this notice of award,” PPA General Manager Jay Daniel R. Santiago said.

The PPA said that if the contractor fails to finalize the contract or furnish the required performance security, it may result in the cancellation of the award.

Ten companies competed in the bidding process for the Tapal Port expansion project, including BNR Construction, Marra Builders, Inc., Octagon Concrete Solutions, Inc., Khan Kon Chi Construction and Development Corp., Sunwest, Inc., WTG Construction & Development Corp., Goldridge Const. & Devt. Corp., MAC Builders Corp., and UKC Builders, Inc.

According to the PPA, BNR Construction was identified as the bidder with the lowest calculated bid for the project, and the company successfully met the technical and financial prerequisites assessed during the evaluation conducted on May 23-24. — Ashley Erika O. Jose

The Church’s teachings on sustainable mining: The common good

FREEPIK

(Part 2)

The recent Palawan Mining Stakeholders Congress showed the very important influence of the Catholic Church and other religious organizations on public opinion about the desirability of large-scale mining investments in provinces of the Philippines that are rich in mineral ores, especially copper, nickel, and iron and not to mention coal reserves.

Although the majority decision of the stakeholders to declare a moratorium on the issuance of new permits is not legally binding, the Governor of Palawan said that such a consensus will be considered as a major factor for the provincial government’s future policies on mining because it reflected the sentiments of the people.

It would be wise for the top officials of mining companies and LGU heads who recognize the positive contributions of mining income, employment, and poverty alleviation to know very well what the teachings of the Catholic Church are on the issue of sustainable mining. There have already been some notable cases where, in cooperation with LGU heads, Catholic bishops and clergy have influenced the constituents to vote for a no-mining policy, such as in Oriental Mindoro. Although rich in mineral resources, Oriental Mindoro is even richer in very productive agricultural lands and an abundance of water resources that the province can make do with without having to depend on their mineral resources for the livelihood of its population.

That is why, in the many other provinces where mining can make a significant contribution to generating income and employment for the local communities, especially for indigenous tribes, it is of the utmost importance for the investors and other pro-mining supporters to understand where the Church and other religious groups are coming from when they have strong reservations about mining.

As the Apostolic Vicar of Puerto Princesa, the Most Rev. Socrates Calamba Mesiona, explained in great detail during the Palawan Stakeholders Congress, a most important social teaching of the Church is the “universal destination of all the goods of this world.”

It is the Creator’s will that the earth and all which belongs to it be destined for all peoples. It goes against both distributive and social justice that the earth’s goods would only be for the few and powerful, depriving the less privileged people of their use. Pope Francis, quoting from the Second Vatican Council document Gaudium et Spes, defines the common good (as it is also defined in the Philippine Constitution of 1987) as the “sum of those conditions of social life which allow social groups and their individual members relatively thorough and ready access to their own fulfilment.” Rather than the utilitarian principle of the greatest good for the greatest number, the common good is respect of the human person as such, endowed with basic and inalienable rights in order to fulfill his or her integral development.

Then Bishop Mesiona walked the talk, going from principle of reflection to criteria for judgment, and all the way to guidelines for action. He did not stay at the level of motherhood statements but got down to brass tacks by describing the many gifts of nature, other than mineral ores, of the Province of Palawan. Waxing lyrical, he noted that we do not need to go somewhere else to marvel at God’s beautiful creation — our beautiful Province of Palawan (indeed, Palawan has been voted by international tourism groups as the “Best Island Resort in the World”). Bishop Mesiona presented a litany of the gifts of creation to his province: Palawan is blessed with rich natural resources and highly diverse flora and fauna found in both land and sea… Its coastal and marine ecosystems include coral reefs (379 species of corals), seagrass meadows (12 species), and mangroves (31 species, distributed in 44,500 hectares of mangrove forests, the largest remaining mangrove cover left in the Philippines). It also harbors several marine species such as marine turtles, dugong, and whale sharks.

Bishop Mesiona presented ample reasons why Palawan is referred to as the “last ecological frontier.” He described the characteristics of terrestrial and freshwater ecosystems of the province as diverse. It is composed of old growth and second growth tropical rainforest which are very difficult to replicate even with the best intentioned and meticulously planned tree planting programs or reforestation. There is karstic limestone, forest over ultramafic rocks, casuarinas and beach forests…These serve as habitats to freshwater fish (a total of 18 Philippine endemics), amphibians (26 Philippine endemics), reptiles (69 species), birds (279 species), migratory birds, and terrestrial mammals (58 species, among which 16 are endemic to Palawan). Even the best mining practices would not be able to avoid wreaking havoc on some of these treasures of nature found in Palawan.

Bishop Mesiona did not completely ignore the blessings that mining can bring to a region that still has a high rate of poverty, which is the fact in Palawan — there are districts where the poverty incidence is even higher than the national average of 22%. He does admit that there are those who support mining in their respective localities because they believe in tangible benefits, such as those in Bataraza town where the Nickel Asia Mining Corp. has mining operations, or the community surrounding MacroAsia Mining Corp. He asked, however, a rhetorical question: “But who are really the main beneficiaries of the so-called ‘development’ and at what price when our mineral resources are extracted, exploited, and brought somewhere else and can never be replaced for the next generation of Palawenos to also see, enjoy, and even behold?”

Referring to Pope Francis, who has written a whole social encyclical entitled “Laudato Si” on the issue of sustainable development, the Bishop reminded us that development must be considered from the inter-temporal point of view. Present development cannot be at the cost of future generations. Pope Francis insists that the common good also extends to future generations: “We can no longer speak of sustainable development apart from intergenerational solidarity… which is not optional, but rather a basic question of justice, since the world we have received also belongs to those who follow us.”

Here, we learn of another kind of commutative justice, which is giving our equals their due. The “others” to which intergenerational solidarity refers are not our contemporaries but generations to come. We cannot try to promote our welfare today by completely disregarding the welfare of future generations. This should be especially felt by parents with children, grandchildren, and those with greater longevity, great-grandchildren.

Bishop Mesiona did not stay only at the level of “principles for reflection” and “criteria for judgment” which constitute the components of the social doctrine that the Teaching Authority of the Church has the obligation to impart to the Catholic faithful. There must be the final “guidelines for action,” walking the talk so to speak.

In this regard, the Bishop gave the audience a reminder that the harsh reality in the Philippines is that good intentions of state regulators are not enough. Often, the best-laid plans of the Department of Environment and Natural Resources (DENR) cannot prevent serious environmental destruction by unscrupulous investors. Indeed, when DENR Secretary Yulo-Loyzaga was asked in a joint session of the committees on local government and environment, natural resources, and climate change about lapses in the issuance of environmental compliance certificates (ECC) to projects in protected areas, she replied: “We are not fully in control of these areas, as you know, given the kind of manpower that we have. The local governments are our partners in the protection of the environment. This is not DENR’s sole job — this is the job of everyone.”

Prudence would then dictate that until the various government agencies can get their act together in truly protecting the environment from irresponsible mining, there should be a moratorium in issuing new permits.

(To be continued.)

 

Bernardo M. Villegas has a Ph.D. in Economics from Harvard, is professor emeritus at the University of Asia and the Pacific, and a visiting professor at the IESE Business School in Barcelona, Spain. He was a member of the 1986 Constitutional Commission.

bernardo.villegas@uap.asia