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Asian Terminals’ income soars 82% to P978M

Asian Terminals, Inc. (ATI) saw an 82.1% increase in its attributable net income to P977.92 million for the second quarter from P537.02 million a year ago, amid higher revenues.

From April to June, the company’s topline reached P3.7 billion, reflecting a 15.3% growth from the P3.21 billion booked in the same period last year.

Costs and expenses during the period reached P1.6 billion, a 10.5% increase from the P1.45 billion incurred last year. The figure does not include the government’s share in revenues, which was P627.91 million in the second quarter of this year.

ATI’s other expenses declined in the second quarter to P172.33 million, which is 62.3% lower than the P457.02 million booked a year ago.

For the first semester, ATI’s attributable net income reached P2.15 billion, reflecting an 89.2% jump from the P1.14 billion recorded last year.

Revenues from operations were also higher in the first six months of the year at P7.45 billion, 22% higher than the P6.10 billion booked in the same period of 2022.

ATI said that the rise was due to the increase in revenues from South Harbor international containerized cargo, Batangas Container Terminal and ATI Batangas.

ATI’s costs and expenses were P3.21 billion for the six months that ended in June. This showed a 13.3% rise from the P2.83 incurred in the previous year.

Meanwhile, the government’s share in revenues amounted to P1.28 billion from January to June, an increase of 15.5% from P1.11 billion last year.

Total other expenses were 83.4% lower at P106.61 million in the first half from P659.91 million in the corresponding period a year ago.

At the stock exchange on Monday, shares in ATI declined by six centavos to P14.44 apiece. — Justine Irish DP. Tabile

New leases lift CREIT income to P316M

Citicore Energy REIT Corp. (CREIT) registered an attributable net income of P316.08 million for the second quarter, 5.1% higher than the P300.81 million last year, boosted by higher revenues for the period.

In a stock exchange disclosure, the company said it saw its gross revenue for the second quarter expand by 27.7% to P423.53 million from P331.79 million last year.

Its gross expense for the April-to-June period fell by 4% to P26.83 million from P27.94 million in the same period last year.

Lease revenues for the second quarter went up to P799.98 million from P663.58 million a year ago, the company said in a separate media release.

Of these leases, about 17% came from the contribution of new leases after the company signed new contracts for land acquisition using proceeds from its ASEAN green bond issuance.

To recall, the company had received the approval of the Securities and Exchange Commission allowing it to sell its maiden P4.5-billion ASEAN green bond offering.

“We remain committed to CREIT’s vision of delivering a sustainable investment platform, both from a financial and environmental perspective. Rest assured that we will continue to focus on adding green and value-accretive assets to our portfolio to drive long-term growth and shareholder value creation,” Oliver Y. Tan, president and chief executive officer of CREIT, said in a stock exchange disclosure.

The company said the newly acquired properties in Batangas and Pampanga expanded the company’s land area to 5,960,000 square meters as of June, further growing its land holdings.

For the January-to-June period, the company’s attributable net income rose to P621.04 million, up by 3.3% from P601.14 million last year.

Its gross revenue for the period went up to P799.98 million, marking a 20.6% increase from P663.58 million previously.

For the first semester, however, the company’s gross expense increased by 26% to P60 million from P47.62 million year on year.

At the local bourse on Monday, shares in the company gained two centavos or 0.79% to end at P2.56 apiece. — Ashley Erika O. Jose

D.M. Wenceslao net income up by 4% 

Property developer D.M. Wenceslao and Associates, Inc. reported on Monday an attributable net income of P387.29 million for the second quarter, 4% higher than the P372.23 million a year ago, boosted by higher residential earnings.

“In spite of prevailing challenges in the Philippine property landscape, promising opportunities are steadily emerging. Notably, office space requirements across traditional and emerging industries ramped up significantly, boosting our office leasing activities,” Delfin Angelo C. Wenceslao, chief executive officer of DMW, said in a statement.

For the second quarter, the listed company saw its gross revenue climb by 22.6% to P977.04 million from P796.88 million in the same period last year.

“As an integrated property company, D.M. Wenceslao is well-positioned to seize opportunities across the entire real estate spectrum,” Mr. Wenceslao said.

For the January-to-June period, the company’s attributable net income contracted to P912.95 million, lower than the P1.33 billion recorded last year.

In the first half, the company’s gross revenues declined to P2.09 billion, down by 12.9% from P2.4 billion in the same period last year.

Broken down, residential revenues climbed 54% to P704 million amid more sales take up, continued construction progress and incremental units qualified for revenue recognition, the company said.

Its rental revenues, which include rentals from land, building and other revenues, went up 6% to P1.2 billion, accounting for 58% of the company’s combined revenues.   The company attributed the growth in rental revenues to new land and building leases.

For the first half, DMW failed to secure land sales even after putting about 1,790 square meters of land on sale. The company, however, noted that land sales are not part of its long-term revenue mix.  To date, DMW has about 4,200 square meters of land available for sale.

At the local bourse on Monday, shares in the company gained two centavos or 0.33% to end at P6.03 apiece. — Ashley Erika O. Jose

Iti Mapukpukaw, Rookie are top winners at the 19th Cinemalaya

CAST and crew of Iti Mapukpukaw with the Cinemalaya Organizing Committee.

A FILM on the effects of childhood trauma as felt by a man without a mouth made history as the first animated film to be part of — and win — the main competition of the Cinemalaya Philippine Independent Film Festival, which just concluded its 19th edition.

Carl Joseph Papa’s Iti Mapukpukaw bagged the Best Film award at the festival’s awarding ceremony on Aug. 13 at the Philippine International Convention Center (PICC). It also won two more awards: the Network for the Promotion of Asia Pacific (NETPAC) award and Best Supporting Actress for Dolly de Leon.

The Filipino-Ilocano rotoscope animated film follows Eric, a mouthless man who lives a seemingly normal life working as an animator. His story then takes twists and turns upon the arrival of a familiar alien.

“[Iti Mapukpukaw won Best Film] for boldly taking on the challenges of technology in crafting a very engaging narrative of a young man confronting the demons of his past, and for its overall cinematic excellence,” the award citation read.

Gusto ko ibigay ito sa lahat ng mga Eric na inalisan ng bibig at hindi nakakapag salita. Para sa inyo ito. Nandito kami, nakikinig (I would like to dedicate this to all the Erics who cannot speak because their mouths have been sealed shut. This is for you. We are here, listening),” Mr. Papa said in his acceptance speech.

The other big winner of the night was Samantha Lee’s Rookie, which also received three awards including Best Actress for Pat Tingjuy, Best Editing, and the Audience Choice award.

The romantic comedy follows Ace, who joins the school volleyball team where she falls for the team captain Jana. The film is about “the moments in our life that shape us… about how the lessons and the people from our younger days come together to help make us into a person,” said Ms. Lee.

Ms. Tingjuy won for “her refreshing portrayal of a young girl coming to terms with her sexual identity as she comes of age in the exciting world of volleyball,” the award citation read.

For the short feature film category, Januar Yap’s Sibuyas ni Perfecto took home the Best Short Film prize.

The short follows an aging man who realizes he missed doing one very important thing while delivering his spices and vegetables.

“[Sibuyas ni Perfecto won Best Short Film] for its quiet but coruscating take on social iniquity and how the poor’s exploitation by the rich is driven by their own denigration and self-abasement,” the citation read.

This year’s Cinemalaya was held at the PICC because of the ongoing extensive renovation of its regular venue, the Cultural Center of the Philippines’ main building. The festival showcased 20 films in competition this year, with 10 full-length features and 10 short feature films.

The Film Development Council of the Philippines (FDCP) announced that it will continue to fund the production of new films for next year’s festival. FDCP Chairperson Tirso Cruz III said that the full-length films for next year’s Cinemalaya will receive P1 million each and the short feature films will receive P100,000 each. — Brontë  H. Lacsamana

And the winner is….

FULL-LENGTH FEATURE FILMS
• Best Film: Iti Mapukpukaw by Carl Joseph Papa
• Best Direction: Ryan Espinosa Machado for Huling Palabas
• Best Actress: Pat Tingjuy for Rookie
• Best Actor: Mikoy Morales for Tether
• Best Supporting Actress: Dolly de Leon for Iti Mapukpukaw
• Best Supporting Actor: Bon Andrew Lentejas for Huling Palabas
• Best Screenplay: Jopy Arnaldo for Gitling
• Best Cinematography: Martika Ramirez Escobar for When This Is All Over
• Best Production Design: Kaye Banaag for When This Is All Over
• Best Editing: Ilsa Malsi for Rookie
• Best Original Music Score: Kindred for When This Is All Over
• Best Sound: Gian Arre for Tether
• NETPAC Jury Prize: Iti Mapukpukaw by Carl Joseph Papa
• Special Jury Prize: Ang Duyan ng Magiting by Dustin Celestino
• Audience Choice Award: Rookie by Samantha Lee

SHORT FILMS
• Best Short Film: Sibuyas ni Perfecto by Januar Yap
• Best Direction: Mike Cabarles for Makoko sa Baybay
• Best Screenplay: Alvin Belarmino and Kyla Romero for Hinakdal
• NETPAC Jury Prize: Hinakdal by Alvin Belarmino
• Special Jury Prize: Hm Hm Mhm by Sam Villa-Real and Kim Timan
• Audience Choice Award: Hinakdal by Alvin Belarmino

Alliance Select’s net loss widens

Alliance Select Foods International, Inc. (ASFII) on Monday saw its attributable net loss for the second quarter widen to $330,622 from $226,302 in the same period last year due to higher expenses.

Although the company’s net sales rose by 31% to $11.80 million during the quarter, its cost of sales climbed by 33% to $10.98 million, based on its quarterly financial report.

Selling and administrative expenses totaled $892,612, higher by 12.6% from $792,755 in the same quarter in 2022.

Gross profit reached $822,044, up 9.54% from $750,474 previously.

“We are pleased by the increased production efficiency that is helping our top-line growth. Despite the ongoing market and economic concerns, we are optimistic that the various projects we have in place will help to address them,” ASFII President and Chief Executive Officer Jeoffrey P. Yulo said in a media release.

“We will continue to prioritize the implementation of our operational and marketing strategy initiatives,” he added.

Meanwhile, the company’s first-half attributable net loss has been trimmed to $547,327 from $620,217 in 2022.

“Higher finance costs and the impact of currency translation reduced the bottom line,” the company said.

Net sales reached $25.52 million, up  65.57% year on year from $15.41 million, which it attributed to the higher selling prices and increased sales to customers in Europe and Asia.

Likewise, in the six months to June, cost of sales rose by 68.50% to $23.85 million from $14.16 million last year.

“General and administrative expenses increased by 10% because of the increase in marketing expenses and other expenses that is directly correlated with higher sales and production volume,” the company said.

The company’s gross profit went up 32.5% to $1.67 million during the first half from $1.26 million in the previous year.

Earnings before interest, taxes, depreciation, and amortization remained stable at $300,000.

On Monday, shares of Alliance Select Foods went down by P0.01 or 1.92% to close at P0.51 apiece. — Sheldeen Joy Talavera

Even celebrity realtors feel the pinch as mansion sales fall in Los Angeles

ALONSO REYES-UNSPLASH

HIGHER interest rates and a new tax on luxury home sales in Los Angeles are weighing on even the celebrity real estate agents who show off their million-dollar listings on TV.

Mauricio Umansky, chief executive officer of the Agency and star of the Netflix series Buying Beverly Hills, said his company’s transaction volume, though better than average, is down about 25%. The housing market, he said, “is in a recession.”

Jason Oppenheim, president of the Oppenheim Group and star of two other Netflix programs, Selling Sunset and Selling the OC, also expects to sell fewer homes this year.

“This is when agents get defined — in difficult times,” he said.

The nation’s second-largest city, a perennial hot spot for real estate, is wrestling with higher interest rates that make homes less affordable and a new tax that went into effect in April. The city imposes a 4% levy on properties selling for over $5 million and 5.5% on those over $10 million, with the money going to fund affordable housing. Meanwhile, strikes by Hollywood writers and actors have shut down TV and film production, putting further pressure on the market.

In the first half of the year, sales of homes priced over $10 million in the greater Los Angeles area fell 44%, according to the brokerage firm Compass. Total volume declined 40% to $3.2 billion. The LA market still led the US in sales of homes above $10 million, with 160 properties trading in the first half of 2023.

Home sales to the merely rich have also tumbled. In Brentwood, where the median home price in June was $3.1 million, property sales fell 63%, according to broker Douglas Elliman. In Beverly Hills, which as a separate city isn’t subject to the LA mansion tax, the number of properties sold slumped 43%.

Unlike Hollywood writers and actors, who have been on strike for better pay and benefits, reality stars like Mr. Umansky and Mr. Oppenheim can continue to work on their TV shows.

The downturn in the market may even make for better television.

“We highlight the struggles and the very real part of what it’s like to go through a transaction,” said Alexia Umansky, who is featured in her father Mauricio’s show. “It’s not always easy.”

In a difficult market — where a lack of supply means it is hard to find listings — the TV agents say their notoriety helps bring them business. The number of for-sale listings fell 29% from a year earlier, according to the California Association of Realtors.

“We are able to market someone’s property far more broadly and globally because of the show,” Mr. Oppenheim said.

Not all high-end brokers think the TV exposure is worth the effort, however. The husband-and-wife team of Branden and Rayni Williams, who have bought and sold houses for Bruce Willis and Jennifer Lopez, said the clients they work with often prioritize privacy when selling homes, something not conducive to reality TV. 

“We don’t have time to play pretend,” Branden said. “We’re too busy doing real deals.”

Aaron Kirman, who appeared on CNBC’s Listing Impossible for one season, said the amount of time it took to film transactions cost him millions of dollars, because he couldn’t fit potential clients into his schedule.   

The Agency’s Mr. Umansky agrees that it takes extra time to promote a home on TV, from setting up the lighting to coordinating with crews. Where he might have one showing on the day of filming, Mr. Umansky can show up to 10 houses on a day when he’s not on set.

“The reality is I have two jobs,” he said. — Bloomberg

Inspirational, uplifting films the focus of CinePanalo Film Festival

PUREGOLD has launched a film festival which welcomes both up-and-coming and experienced film directors who want to showcase their talents. It started accepting entries on Aug. 8.

“CinePanalo aims to leave audiences with the warm and fuzzy feeling that truly great cinema can inspire. On this note, we look forward to seeing the wonderful stories our local directors will earnestly share with the public,” said festival director Chris Cahilig at the launch of the supermarket chain’s first film festival.

Puregold will be giving production grants to help fund the works of selected filmmakers whose concepts follow the theme “Ang Kwentong Panalo ng Buhay” (The Winning Stories of Life). The deadline for pitches is on Oct. 27.

Five directors will be given P2.5 million each to produce a feature film for the festival. Twenty-five student filmmakers will be given P100,000 each to create shorts.

The competition films must reflect “timeless Pinoy values about love, family, and hope,” said Mr. Cahilig. A selection committee, the members of which Puregold will reveal in the coming weeks, will sift through all applications.

A three-day festival at the Gateway Cinemas in Quezon City will showcase the completed films from March 8 to 10, 2024. The short films will also be posted on Puregold’s official social media pages, including the Puregold Channel on YouTube.

“It’s exciting because Puregold is very keen on pursuing ‘retailtainment,’ as seen by its recent online series GV Boys, Ang Babae sa Likod ng Face Mask, and Ang Lalaki sa Likod ng Profile, which have garnered millions of views online,” Mr. Cahilig said.

He added that the festival will prove that films of high quality need not be gritty and harrowing — they can also be heartwarming and hope-filled stories.

Although there will be some brand intervention, it does not have to stick out like a sore thumb like other movies with product placements.

“For the most part, the filmmaker need not think about the brand too much,” said Mr. Cahilig.

Vincent Co, president of Puregold Price Club, Inc., said in a statement that CinePanalo aims to “uplift the spirits of young and gifted filmmakers who are just waiting for a break.”

Interested participants may e-mail thesecretariat@cinepanalo.com to receive the materials needed to apply. All applications and requirements must be in by Oct. 27. A shortlist of directors will be posted by Nov. 6. — Brontë H. Lacsamana

Tariff rates should be lowered to help poor Filipinos

FREEPIK

(This is the Management Association of the Philippines’ “Position Paper on the Comprehensive Review of the MFN Tariff Structure.”)

In the midst of the ongoing move by the Tariff Commission (TC) and the National Economic and Development Authority (NEDA) to review and reform the tariff structure of the Philippines, the Management Association of the Philippines (MAP) calls on the government to move towards achieving a tariff structure that:

1. Supports food security for Filipinos, especially accessibility and affordability of competitively priced food, via low tariffs on food products;

2. Strengthens sustainable agri-food value chains, especially domestic agricultural value-adding enterprises including processing, storage, and logistics, through a rational tariff structure where tariff rates on inputs do not exceed those on finished products;

3. Is neutral across industries and avoids distortions and unwarranted protection arising from tariff peaks, currently seen primarily in agricultural products; and,

4. Reduces incentives and opportunities for corruption and smuggling by unifying Minimum Access Volume (MAV) and non-MAV tariff rates, and keeping tariffs relatively low and uniform across all goods (with a maximum 10% to 15%) to keep food prices affordable, especially to the poor.

Filipino families have historically been burdened with higher food prices than consumers in other countries across the ASEAN and beyond. The burden is worsened by relatively lower incomes, the bulk of which must be spent on food because food prices are higher than elsewhere. Worse, lower-income families are forced to purchase food products of low nutritional value, leading to a worsening vicious cycle of poverty, hunger and poor nutrition, lowered human capacity, hence persistent and further deepening poverty.

Yet Philippine tariffs on agricultural and food commodities are higher than those applied to goods in general. The TC reports that the simple average of tariffs applied on agricultural products is 12%, while the average for all products is 8%. Trade-weighted averages show the same pattern, with 9% for agriculture, nearly double that for all goods at 5%.

Agricultural tariffs have remained high because these have been generally excluded from tariff adjustments over the past decades, with agricultural products deemed “sensitive” levied the highest statutory rates of up to 65%. In 2015, two-thirds or 66% of Philippine agricultural output by value was shielded from foreign competition by MFN tariffs of 40% or more. The 2018 Philippines Trade Policy Review, jointly undertaken by the Philippine government and the World Trade Organization, showed that the majority of commodities have MFN tariffs ranging from zero to 20%. However, about 6% of lines have tariffs significantly above 20%, reaching up to 65%.

The Trade Policy Review also observed that the tariff peaks translate into a reduced incentive for domestic value adding. For example, high tariffs on corn at 40% dampen incentives to manufacture livestock and aquaculture feeds within the country, which are vital in the meat and fishery industries that provide the protein needs of Filipinos.

This exceptional level of protection has dampened the impetus for government and agricultural producers to achieve higher levels of productivity, hence lower costs and prices, to be comparable to and competitive with that of our neighbors. The long-term and lasting solution to attain food security for Filipinos is to implement game-changing reforms for productivity improvement, such as farm consolidation, better water management, and effective extension systems.

Maintaining high import tariffs will only remove the urgency to pursue these.

Most of the agriculture commodities with very high tariffs are food products (sugar, meat, fish, rice) or inputs to local manufacturing and value addition (corn, meat, fish, sugar, etc.). These commodities are prominent and crucial in family food consumption, food security, and general inflation.*

The Bangko Sentral ng Pilipinas (BSP) reports that on average, food and agricultural items have accounted for 38% of inflation since 2017. The recent and disheartening episodes of inflation on specific food items, such as pork, fish, sugar, garlic, and onions, highlight the disproportionate impact of high tariffs that underlie high domestic food prices.

Trade enhances food security. It improves access to food, lowers food costs, mitigates supply shocks, reduces inflationary pressures, and ultimately strengthens economic and social prosperity. High tariffs have long been shown to be counter-productive, and lead to reduced investment, low or stagnant wages, and higher rates of malnutrition. Using protective trade policy to help farmers causes unwanted collateral damage to the much wider mass of consumers, especially the poor who suffer the long-term consequences of high-priced food.

But the positive economic gains of greater trade must be accompanied by effective implementation of focused adjustment and assistance measures carefully aimed at adversely affected sectors, especially small farmers. Government must refocus its support and assistance to farmers from high levels of trade protection to effective improvement of productivity and competitiveness.

In sum, removal of existing peaks and achieving low uniform rates in a tariff structure that provides equal incentives across domestic industries will encourage more and wider agricultural processing and value-adding, help control inflation, and enhance the country’s food security. We urge the TC and NEDA to move the Philippine economy in this direction.

*Annex A accompanying this position paper can be found here:

MAP Insights - Position Paper on the Comprehensive Review of the MFN Tariff Structure

Benedicta Du-Baladad is the MAP president. Cielito F. Habito is the governor-in-charge (GIC) of the MAP Cluster on Resilience and Recovery, and the GIC of the MAP Campaign Against Malnutrition and Child Stunting (CAMACS) Team ENCOURAGE.

Apex Mining net income falls 7% to P848M

Apex Mining Co., Inc. on Monday reported an attributable net income of P848 million in the second quarter, down 7.6% from P917 million, amid higher expenses and cost of production.

In a disclosure to the stock exchange, the mining firm said combined revenues in gold and silver reached P3.11 billion, higher by 22.65% than the P2.53 billion in the same quarter last year.

Gold and silver revenues amounted to P2.99 billion and P124.24 million, respectively.

However, general and administrative expenses during the period rose by 45% to P55.98 million from P38.59 million.

Of the total increase, personnel costs and professional fees amounted to P29.15 million, taxes and licenses to P4.82 million, and other administrative expenses to P22.01 million.

The cost of production, likewise, went up by 48.4% to P1.81 billion from P1.22 billion last year.

Materials and supplies totaled P659.29 million or 36% of the total costs.

In the six months ending in June, the company reported an attributable net income of P1.4 billion, down 10.7% from P1.57 billion previously.

Combined revenues from gold and silver increased by 19% to P5.68 billion from P4.77 billion a year earlier. Of the total, gold revenues were at P5.46 billion while silver revenues were at P228.79 million.

The cost of production in the first half increased by 41% to P3.39 billion while general and administrative expenses rose by 58.6% to P118.82 million.

Tons milled in Apex Mining’s Maco mine decreased by 3% to 378,564 tons while its Sangilo mine milled a total of 71,275 tons, up 34%.

“The higher average realized gold price of $1,953 per ounce during the year (versus $1,901 per ounce in 2022) pushed the revenues up by 19% in [the first half] of 2023,” the company said.

“Ore gold grades averaged 1% lower at 3.93 grams per ton compared to the [first half] of 2022 at 3.95 grams of gold per ton,” it added.

Apex Mining is primarily engaged in mining, milling, buying, and selling all kinds of ores including gold, silver, and copper.

At the stock exchange on Monday, its shares fell by six centavos or 2.38% to close at P2.46 apiece. — Sheldeen Joy Talavera

PJ Tri-Gon to build high-end subdivision in Samal island

MAYA M. PADILLO

ISLAND GARDEN CITY OF SAMAL — PJ Tri-Gon Realty Corp. last week unveiled a high-end residential project, which is expected to be the first of its kind in Island Garden City of Samal, Davao del Norte.

Samal Shores Residenza, a 31-hectare residential estate located in Barangay Limao, will offer 500 lots.

Lorelli S. Randa, sales director, said 25% of the available lots have already been sold.

“We are here to unveil not just any high-end development but a subdivision that will redefine the very notion of luxury living,” said Anna Mae Escalante, project director.

Celedonio A. Pile, Jr., PJ Tri-Gon vice-president and managing consultant for special projects, said the company is confident there is a market for a luxury development like the Residenza.

Mr. Pile said the Residenza is ideal either as a primary home or a second home.

The company is now building a clubhouse, which is expected to be completed within the year. The clubhouse will have facilities for social gatherings, as well as an infinity pool.

Samal Shores Residenza is part of Phase 1 of the 150-hectare township development Samal Shores. Samal Shores is the flagship project of PJ Tri-Gon and is said to be the first of its kind on the island.

“Why this particular site? Because this is one of the closest distances between Davao City and Samal Island,” Mr. Pile said.

Hotel and resort operator Discovery World Corp. opened the five-star resort hotel Discovery Samal last month.

“Discovery Samal is a testament to the quality standard of PJ Tri-Gon,” Mr. Pile said.

The Samal Shores township is expected to be completed in 15 years.

PJ Tri-Gon is a real estate affiliate of Ulticon Builders, Inc., a construction company. — Maya M. Padillo

Music labels sue Internet Archive over digitized record collection

UNIVERSAL MUSIC GROUP, Sony Music Entertainment, and other record labels on Friday sued the nonprofit Internet Archive for copyright infringement over its streaming collection of digitized music from vintage records. The labels’ lawsuit filed in a federal court in Manhattan said the Archive’s “Great 78 Project” functions as an “illegal record store” for songs by musicians including Frank Sinatra, Ella Fitzgerald, Miles Davis, and Billie Holiday.

They named 2,749 sound-recording copyrights that the Internet Archive allegedly infringed. The labels said their damages in the case could be as high as $412 million.

Representatives for the Internet Archive did not immediately respond to a request for comment on the complaint.

The San Francisco-based Internet Archive digitally archives websites, books, audio recordings, and other materials. It compares itself to a library and says its mission is to “provide universal access to all knowledge.”

The Internet Archive is already facing another federal lawsuit in Manhattan from leading book publishers who said its digital-book lending program launched in the pandemic violates their copyrights. A judge ruled for the publishers in March, in a decision that the Archive plans to appeal.

The Great 78 Project encourages donations of 78-rpm records — the dominant record format from the early 1900s until the 1950s — for the group to digitize to “ensure the survival of these cultural materials for future generations to study and enjoy.” Its website says the collection includes more than 400,000 recordings.

The labels’ lawsuit said the project includes thousands of their copyright-protected recordings, including Bing Crosby’s “White Christmas,” Chuck Berry’s “Roll Over Beethoven,” and Duke Ellington’s “It Don’t Mean a Thing (If It Ain’t Got That Swing).”

The lawsuit said the recordings are all available on authorized streaming services and “face no danger of being lost, forgotten, or destroyed.” — Reuters

Universal healthcare to be set back by gov’t priorities

FREEPIK

In his second State of the Nation Address on July 24, President Ferdinand Marcos, Jr. touched on several issues that I have mused about many times in this column. Due to space limitation, I was able to comment only on his tourism program. My commentary today is on the President’s plans regarding the nation’s healthcare system.

Said he on July 24: “Our healthcare system is undergoing structural changes. Public health facilities are being increased, both in number and in capability. Last year, more than 3,400 projects were completed. To improve capacity for specialized medical treatment, specialty centers in various fields are being established and integrated into our government hospitals.”

His political allies in both chambers of Congress applauded. I joined them for laudable are those accomplishments.

He went on to say: “In the last year, [an] additional 60 specialty centers have been opened to the public. Just last week, we inspected the site of what will soon be a five-hectare multi-specialty center in Pampanga, which will specialize in pediatrics, cardiology, kidney, and cancer treatment.”

Louder applause and seemingly recorded cheers immediately followed the boast. I sat back and mused. The claim of 60 additional specialty centers sounded incredible to me. I take “specialty” to mean a particular area of complex and state-of-the-art medical care. A specialty center conjures for me the image of the Philippine Heart Center where they perform open-heart surgeries or the image of the National Kidney and Transplant Institute, where they do kidney transplants as its name says.

The establishment of 60 new specialty centers in just the President’s first year is impossible, given the work ethic of government officials and the meager budget for the country’s healthcare system. The President may have been referring to dialysis centers. Technically they are specialty centers, but in the context of his entire speech, where there is also mention of the multi-specialty center in Pampanga which will specialize in cardiology, kidney, and cancer treatment, dialysis centers are not specialty centers. The President may have been overstating his accomplishments.

Speaking of that multi-specialty center, the President’s brag about it turned my initial elation over his program for the country’s healthcare system into dejection. There goes the budget for universal healthcare (UHC) for the next five years, I sighed. The full implementation of UHC will be set back by five more years.

The estimated cost of the multi-specialty center is P10 billion. That huge sum of money can build thousands of 20- to 30-bed primary care hospitals in congressional districts with no healthcare facility. The Universal Healthcare Act or Republic Act No. 11223, which was enacted in 2016, mandated that all Filipinos get the healthcare they need, when they need it.

It was meant for people whose lives can be saved or whose good health can be maintained if they receive timely medical attention, without ruining them financially. Complications of the leading diseases in the Philippines like bronchitis, influenza, chicken pox, diarrhea, and respiratory tract infection can be prevented if the patient receives preventive, curative, rehabilitative, and palliative health services. But the elderly, women, rural and poor Filipinos cannot avail themselves of those services because there are no facilities that render those services in their area.

In places where there are hospitals, many patients are turned away because the hospitals are overcrowded most of the time, if not all the time. Some inpatients are made to lie on benches in waiting areas, others just have to be treated on visitor chairs. There are instances when two patients share a bed. Such instances occur during the dengue season, when many of those infected are children.

Per World Health Organization recommendation, there should be 20 hospital beds per 10,000 population. Almost all the regions have insufficient beds relative to the population. Poor folks denied admission just go home to their shack or hut, treat themselves with herbal remedies, or consult the community arbolaryo. Hundreds of thousands of people in the rural areas and coastal towns die because of the lack of the most basic healthcare. How many lives will be saved by the multi-specialty center in Clark?

The President said people from the northern provinces need not go all the way to Quezon City where the specialty hospitals are. But Quezon City is just a one-hour ride from Clark. By locating the multi-specialty center in Clark, folks from Regions I, II, and III will have saved just one hour of travel time. Locating the center in Pangasinan or in La Union would make a more significant difference.

Even then, the multi-specialty center, wherever it may be, will not be an alternative for the poor folks living in rural areas and coastal towns. Service in the Philippine Heart Center and in the Kidney Institute is not free. The farmers and fishermen of Pampanga, Bulacan, Bataan, Tarlac, and Nueva Ecija will not dare seek treatment or medical advice in the multi-specialty center in Clark.

The President also said, “We are working for a more direct, efficient delivery of services, through integrated primary care providers and networks, in partnership with the LGUs and our partners in the private sector. These shall of course be supported by what is now a better and more efficient PhilHealth.”

But hundreds of towns in remote provinces do not have primary care providers. PhilHealth is not a healthcare provider, it is an insurance company. Its function is to compensate for the medical expenses of members.

RA No. 11223 enrolled all Filipino citizens in PhilHealth. But according to a group of researchers from the Philippine Institute for Development Studies (PIDS), PhilHealth members still pay out of pocket in spite of universal healthcare. They said, “Despite modest improvements in health outcomes, inequities continue to exist due to unresolved challenges in access to healthcare. This includes the physical constraints due to lack of health facilities.”

Members are forced to seek treatment in private hospitals. Most of those were established for profit. They are independent of the strict guidelines observed in government-owned hospitals. As the physician-stockholder of private hospitals enjoys full discretion in using the hospital’s facilities, his practice is influenced by the incentives available to him. He may recommend more diagnostic tests, longer hospital confinements, and surgeries much more than necessary. For every procedure, for every service, the physician charges a fee.

Universal healthcare means that lives can be saved if people receive timely medical attention without ruining them financially. And universal healthcare will work only if there are sufficient primary care providers. Almost all regions of the country suffer from the insufficiency of primary care providers. The P10-billion multi-specialty project in Clark, Pampanga will siphon the funds for the establishment of primary care facilities.

The project is expected to be completed in 2028, the last year of President Marcos’ term. Only then will the multi-specialty center begin to save lives. But it will cause the loss of many more lives, if it is not already doing so, by delaying the establishment of acutely needed primary care facilities.

 

Oscar P. Lagman, Jr. is a retired corporate executive, management professor, and business consultant. He had extensive exposure to the healthcare field in each of those three capacities.

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