PHL to begin trade deal discussions with UAE

December 12, 2021 | 12:07 am

THE PHILIPPINES has agreed with the United Arab Emirates (UAE) to undertake preliminary activities ahead of formal discussions for a trade deal, the Department of Trade and Industry (DTI) said.

In a statement Thursday, the DTI said Trade Secretary Ramon M. Lopez met with the UAE’s Ministers of State and Foreign Trade, Ahmed bin Ali Al Sayegh and Thani bin Ahmed Al Zeyoudi, respectively, on Dec. 8 during the Global Business Forum ASEAN hosted at Expo 2020 Dubai.

Following the meeting, the DTI said the UAE has agreed to start scoping discussions with the Philippines on a possible comprehensive economic partnership agreement (CEPA).

“Both governments recognize the large potential to expand bilateral trade and investment relations and are working towards the finalization of key agreements that will pave the way for the start of the broader CEPA negotiations,” Mr. Lopez said.

Asked to comment, Mr. Lopez told BusinessWorld by mobile phone that trade talks between the two countries should begin by February.

“Trade talks to start by February. (There’s) a possibility to complete (talks) within three months,” Mr. Lopez said.

Mr. Lopez said the CEPA will build on a proposed Memorandum of Understanding (MoU) on Economic and Technical Cooperation and an Investment Promotion and Protection Agreement (IPPA), talks for which are ongoing.

“Given our economic complementarities and the strong ties between our peoples, we are optimistic that the proposed CEPA with UAE will redound to mutual benefits and will play an important role in accelerating the growth trajectory of the Philippine economy,” Mr. Lopez said.

The MoU allows for the creation of a joint economic commission which will facilitate the implementation of cooperation initiatives on trade and investment, particularly in areas such as agribusiness, manufacturing, renewable energy, real estate development, logistics, transportation, communication, tourism, technology, and innovation.

“In addition, the Philippines-UAE IPPA is expected to further deepen economic relations between the two countries by creating favorable conditions for investments and stimulating business initiatives while ensuring that the interests and sensitivities of both parties are protected,” Mr. Lopez said.

According to the DTI, the IPPA seeks to promote and facilitate UAE investment in the Philippines in key sectors like agribusiness, energy efficiency technologies and renewable energy, infrastructure, information technology and business process management (IT-BPM), oil & gas, and tourism.

Meanwhile, DTI said net foreign direct investment from the UAE during the first nine months of 2021 totaled $2.43 million, against the $1.18 million tallied for 2020.

It added that the UAE is the second-largest destination of overseas Filipinos in the Middle East, after Saudi Arabia.

“The UAE hosts known Philippine franchise brands and over a thousand Filipino-owned businesses, covering diverse sectors of food and beverage, trading and logistics, consultancy and other creative services, education and training, and hospitality services, among others,” the DTI said. — Revin Mikhael D. Ochave

Nobel Peace laureate Muratov says war between Russia and Ukraine possible

December 10, 2021 | 10:25 pm

OSLO — People in positions of power in Russia are actively promoting the idea of war, and conflict with Ukraine is now distinctly possible, Nobel Peace Prize laureate Dmitry Muratov said on Friday.

Receiving his award at Oslo City Hall, Mr. Muratov said it was common in Russia to think that politicians who avoided bloodshed were weak, while threatening war was “the duty of true patriots”.

Mr. Muratov, editor-in-chief of Russian newspaper Novaya Gazeta, won the 2021 award jointly with Maria Ressa of the Philippines, co-founder of news site Rappler, in recognition of their fight for freedom of expression.

“The powerful actively promote the idea of war,” he said. “Moreover, in (the) heads of some crazy geopoliticians, a war between Russia and Ukraine is not something impossible any longer.”

US officials have said Russia could soon invade Ukraine following a build-up of troops near the Ukrainian border. Moscow has denied it is planning an invasion.

Mr. Muratov also said journalism in Russia was going “through a dark valley,” with over a hundred journalists, media outlets, human rights defenders and non-governmental organizations having been branded as foreign agents.

“In Russia, this means ‘enemies of the people,’” Mr. Muratov said, dedicating his prize to all investigative journalists, and to colleagues at Novaya Gazeta killed because of their work.

Mr. Muratov’s co-laureate Ms. Ressa reiterated her call for reform of social media platforms.

“Our greatest need today is to transform that hate and violence, the toxic sludge that’s coursing through our information ecosystem, prioritized by American internet companies that make more money by spreading that hate and triggering the worst in us,” she said.

“For the US, reform or revoke section 230, the law that treats social media platforms like utilities.”

Ms. Ressa and Mr. Muratov are the first journalists to receive the Nobel prize since Germany’s Carl von Ossietzky won the 1935 award for revealing the Nazis’ secret rearmament program.

Ms. Ressa noted in her speech that Von Ossietzky was never able to collect his award as he was held in a concentration camp and died in custody.

“By giving this to journalists today, the Nobel committee is signaling a similar historical moment, another existential point for democracy,” she said. — Reuters

Trade deficit balloons to $4.02 billion in October

December 10, 2021 | 7:59 pm

THE COUNTRY’S trade-in-goods deficit widened in October as merchandise import growth outpaced the growth in exports, the Philippine Statistics Authority (PSA) reported on Friday.

Preliminary PSA data showed the value of merchandise exports grew by 2% to $6.41 billion.

The October reading was a turnaround from the 0.9% drop in the same month last year, albeit slower than the 6.4% growth seen in September 2021.

Meanwhile, the country’s merchandise imports rose by 25.1% to $10.43 billion in October. This marked a reversal from the 15.9% contraction in October 2020 but slightly faster than the 24.9% import growth in September 2021.

This brought the trade-in-goods deficit to $4.02 billion in October, wider than the $2.05-billion shortfall recorded in the same month last year, as well as the $4 billion gap in September.

Year to date, the trade balance ballooned to a $33.21-billion deficit, from a $20-billion gap during the same period in 2020.

For the 10-month period, exports and imports jumped by an annual 16.1% (to $62.10 billion) and 29.7% (to $95.31 billion), respectively. These surpassed the Development Budget Coordination Committee expects exports and imports to rise by 10% and 12% this year.

By commodity group, exports of manufactured goods – which accounted for 82% of the total overseas sales in October – dipped by 0.2% to $5.26 billion. Exports of electronic products, which made up 57% of total merchandise exports that month, rose 1.7% year on year to $3.65 billion. Semiconductors, which accounted for 72.3% of electronics, declined by 0.4% to $2.64 billion.

Exports of petroleum products tanked by 95.6% to $252,060 in October from $5.71 million.

Offsetting these decreases were higher exports of mineral products (by 20.5% to $551.78 million), agro-based products (10.9% to $456.18 million) and forest products (0.6% to $35.68 million).

Meanwhile, imports of mineral fuels, lubricant and related materials grew by 163.7% to $1.65 billion, followed by raw materials and intermediate goods (23.5% to $4.18 billion), consumer goods (11.1% to $1.54 billion), and capital goods (4.5% to $2.99 billion).

“This positive development despite global trade challenges is… attributed to the decision of the Inter-Agency Task Force on the Management of Emerging Infectious Diseases (IATF) not to disrupt exporters’ operations by allowing 100% capacity even during the Enhanced Community Quarantine (ECQ) and stricter Alert Levels. This, thus, boosted the performance of the sector and allowed them to fulfill their commitments to the global market,” Department of Trade and Industry (DTI) Secretary Ramon M. Lopez said in a statement.

For the Trade chief, the coronavirus disease 2019 (COVID-19) pandemic has underscored the need to actively seek new markets and diversify export products in building a “resilient and agile export industry.”

The DTI noted more than 3,700 exporters accessed new markets. It also recorded new exports in 32 product lines.

Meanwhile, ING Bank NV Manila Senior Economist Nicholas Antonio T. Mapa noted in an e-mail that firms are “restocking drawn down inventories as they remain confident of the recovery efforts.”

The economist added the growth in exports was weighed down by the mainstay electronics component which managed to expand marginally while the growth of imports was “bloated” by the more expensive crude oil.

“However, despite the supersized trade deficit, the peso has managed to steady and will likely take its cues more so from the financial market flows set to be dictated by the pace of the [US Federal Reserve] taper and rate hikes,” Mr. Mapa said.

“Gains of imports of capital goods remain shallow, managing a modest pickup, suggesting that potential output will remain curtailed for now. Meanwhile, concerns that the peso would rise rapidly to P53 [to a dollar] are likely to fade now.”

JPMorgan Chase Bank N.A. Singapore Branch economist Nur Raisah Rasid said the results were “slightly higher” than what was expected.

“New [coronavirus] cases continued to decline through October leading to a broad relaxation in mobility restrictions last month, thus we expect investment activity to pick up more discernibly in the coming months,” she said in a research note.

Ms. Rasid also expects consumer goods imports to recover as the economy gradually reopens.

“All told, we continue to look for a wider current account deficit next year of 2.3% of GDP (gross domestic product) from 1.1% of GDP ($4.3 billion) this year. As the [savings-investments] gap narrows alongside the broader recovery, the second-order effects from a growth-led currency weakness and impact on financial and price stability could set the stage for policy normalization in [the fourth quarter of 2022], or possibly earlier should the pace of growth recovery be faster than anticipated,” she said.

In an e-mail, Asian Institute of Management economist John Paolo R. Rivera said supply constraints persist despite a pickup in demand amid the relaxation of lockdown restrictions in October.

“This might continue until supply constraints are eased,” he said.

Nevertheless, Mr. Rivera expects exports to “slowly catch up” given the improvements in the COVID-19 pandemic situation notwithstanding the threat of its potentially more contagious Omicron variant.

In a separate e-mail, Security Bank Corp. Chief Economist Robert Dan J. Roces said he expects the trade deficit to to continue widening in the next few months given the economy is in recovery mode.

“However, risks remain with the Omicron variant and a slowdown in China’s economy,” he said. – Abigail Marie P. Yraola with inputs from Marielle C. Lucenio

September FDI inflows lowest in 4 months

December 10, 2021 | 7:57 pm

Net inflows of foreign direct investments (FDI) climbed to $660 million in September, although this was the lowest in four months as the elevated number of coronavirus disease 2019 (COVID-19) cases dampened investor sentiment.

Data released by the Bangko Sentral ng Pilipinas (BSP) on Thursday showed FDIs increased 30.4% year on year to $660 million in September from $506 million.

However, this was down 23.8% from the $866 million in August and the lowest since the $448 million inflows seen in May.

The year-on-year increase in FDI net inflows reflected the low base effect and the improvement in economic activities as restrictions were gradually relaxed, said Ser Percival K. Peña-Reyes, associate director at the Ateneo de Manila University Center for Economic Research and Development (ACERD).

“Compared to a year ago, understandably we were coming from the pandemic and the low base comparison. Also, the economy has been reopening,” he said in a phone call.

However, Mr. Peña-Reyes said COVID-19 cases remained high in September, and there was uncertainty over efforts to contain the surge.

“It’s only now that we are seeing numbers improve,” he said.

He added the country’s lower ranking in a digital competitiveness index during the month may have also made it less attractive to foreign investors.

According to IMD business school’s World Digital Competitiveness Ranking 2021, the Philippines fell two spots to 57th place due to lower scores in future readiness, technology and knowledge.

BSP data showed foreign investments in debt instruments surged 60.2% to $538 million in September from $336 million during the same month a year ago.

Reinvestment of earnings also went up 25.2% to $89 million during the month from $71 million a year earlier.

On the other hand, FDIs in equity capital slumped 67.4% to $32 million in September from $99 million. Placements dropped 22.3% to $88 million from a year earlier, while withdrawals surged by nearly four times to $56 million.

Investments in equity and investment fund shares likewise shrank 28.5% to $121 million from $170 million in September 2020.

For the first nine months, FDI inflows stood at $7.288 billion, rising 43.8% from the $5.068 billion a year ago.

Ateneo’s Mr. Peña-Reyes flagged the Omicron variant, which is said to be more transmissible, as a main threat to investor sentiment.

“We still don’t know how big its impact will be. But if we are able to succeed in terms of pandemic management because we are already here for two years and if we can master [virus] containment strategies, it will be good for FDIs,” he said.

In a briefing, central bank officials on Friday said it now expects FDIs to reach $8 billion this year. It previously expected $7-billion FDI inflows for the full year. — Luz Wendy T. Noble

BSP revises current account, BOP forecasts as global economy rebounds

December 10, 2021 | 7:54 pm

MANILA – The Philippine central bank on Friday released revised projections for the current account and balance of payments this year and for 2022, reflecting it said the global economy’s recovery as well as lingering pandemic-related risks.

The Bangko Sentral ng Pilipinas (BSP) now expects the country’s current account this year to post a deficit of $4 billion, or 1% of gross domestic product, revising its projection from a surplus equivalent to 0.9% of GDP.

For next year, it projected a current account deficit of $9.9 billion, or 2.3% of GDP, wider than its previous deficit forecast equivalent to 0.3% of GDP.

The balance of payments (BOP) is now projected to yield a narrower surplus of $1.6 billion, or 0.4% of GDP, this year, compared with a previous estimate of 1.1%.

The BOP surplus in 2022 is expected to be even narrower at $700 million, or 0.2% of GDP, from a previous forecast equivalent to 0.4% of GDP.

“The latest BOP assessment for 2021 factors in pockets of optimism amid encouraging economic outturns in recent months on the one hand, and the continued high uncertainty from pandemic-related challenges on the other hand,” the BSP said in a statement.

But overall, it said the latest set of projections took into account a global economic recovery that is broadly on track and indications that the spread of the highly transmissible COVID-19 Delta variant has been contained domestically.

The BSP, however, trimmed its year-end projections for gross international reserves to $111 billion and $112 billion next year, from $114 billion and $115 billion, respectively, to factor in some foreign loan repayments.

Cash remittances by Filipinos overseas, a key pillar of the consumption-driven domestic economy, were expected to grow 6% this year and 4% next year, reflecting rising demand for Filipino workers. — Reuters

Meralco rates go up in December

December 10, 2021 | 7:51 pm

Meralco_MANDALUYONG_05_VARCAS_020621 — Manila Electric Co. on Friday said overall power rates will rise this month. -- Photo by Michael Varcas, The Philippine Star

Residential customers of Manila Electric Co. (Meralco) will see higher electricity bills in December as generation charges increased.

In a statement on Friday, Meralco said the overall rate for a typical household went up by P0.3143 per kilowatt-hour (/kWh) to P9.7773 per kWh, from last month’s P9.4630 per kWh.

Residential households consuming 200 kWh will see a P63 increase in their monthly power bills, while households consuming 300kWh, 400kWh, and 500kWh, will see an increase of P94, P126, and P157 in their bills, respectively.

Meralco said the generation charge for December jumped by P0.1997 per kWh to P5.5343 per kWh.

“This month’s charge already includes first of the four monthly installments covering the deferred costs from the November bill,” it said.

The Energy Regulatory Commission (ERC) ordered Meralco to defer the collection of part of the suppliers’ generation costs. These costs will be collected from customers on a staggered basis from December 2021 to March 2022.

Meralco Head of Regulatory Management Office Atty. Jose Ronald V. Valles said the power rate adjustments would have been higher if not for the ERC directive and cooperation of its suppliers.

Charges from power supply agreements (PSA) also went up by P0.2142/kWh due to the rise in international coal prices and lower dispatch of some PSAs.

In contrast, charges from the Wholesale Electricity Spot Market (WESM) dropped by P.0669/kWh, as the power supply situation eased in Luzon alongside a decline in demand.

Charges from Independent Power Producers (IPPs) also slipped by P0.1541/kWh as the gas supply from Malampaya resumed and Sta. Rita and San Lorenzo plants improved dispatch.

In November, PSAs, IPPs, and WESM accounted for 45.7%, 38.2%, and 16.1%, respectively, of Meralco’s energy requirement, the company said.

Meralco said the transmission charges for residential customers jumped by P0.0460/kWh due to higher Ancillary Service charge. It noted that taxes, system loss and other charges also added P0.0686/kWh.

“This month’s residential rate includes a -P0.0053 rate for the Power Act Reduction (PAR) provision of Meralco’s current PSA with Power Sector Assets and Liabilities Management (PSALM), as provided for by the Republic Act 9136 covering supply from the National Power Corporation (NPC),” the power giant said.

Meralco is still not collecting the universal charge-environmental charge of P0.0025/kWh, as it remains suspended by the ERC.

ERC ACTION SOUGHT

Meanwhile, consumer advocacy group Laban Konsyumer Inc. urged the ERC to stop the utility giant from collecting the deferred generation costs.

“We had written this second letter to the commission requesting for moto propio hearings on the Meralco added costs and pending said hearings, to immediately issue a provisional authority to stop the collection of the deferred generation costs to ensure consumers are no longer made to incur these costs arising from the persistent gas restrictions and shutdowns of the Malampaya Deepwater Gas-to-Power Projects,” Laban Konsyumer President Victorio Mario A. Dimagiba said in a letter dated Dec. 7.

Mr. Dimagiba said the group submitted the first letter to the Department of Energy on November 14 and was referred to the regulatory commission.

ADDITIONAL SUPPLY

At the same time, Meralco said it was preparing to secure additional supply to ensure there will be no power interruptions during the national elections in May.

“We are closely coordinating with the DoE and National Grid Corporation of the Philippines so we rely on their outlook forecast, but on our part, we are preparing for this by proposing to undertake a competitive selection process (CSP) for a 170MW of supply,” Meralco Vice President and Head of Utility Economics Larry S. Fernandez said on Friday during a virtual press conference.

Meralco said they are just waiting for the DoE’s response to this proposal and will proceed accordingly once awarded.

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. — Marielle C. Lucenio

September wholesale price growth of general goods nears 7-year high

December 10, 2021 | 7:48 pm

forgoods_MARKET_03_VARCAS_091120 — The country’s general wholesale price index (GWPI) increased by 2.8% from a year earlier in March. -- Photo by Michael Varcas, The Philippine Star

Nationwide bulk prices of general goods rose to its highest level in nearly seven years in September due to higher fuel prices and the low base effect.

Preliminary data from the Philippine Statistics Authority (PSA) on Friday showed the country’s general wholesale price index (GWPI), which monitors the wholesale trade sector and serves as a basis for price adjustments in business contracts and projects, picked up to 3.3% in September from 3.2% in August and 2.2% in September 2020.

It was the highest reading in 82 months or almost seven years since the 3.7% growth recorded in November 2014, the PSA data showed.

The statistics agency attributed the surge that month to the following commodities: mineral fuels, lubricants and related materials (22.8% from 19.4% in August); beverages and tobacco (5.3% from 4.7%); food (1.3% from 1%); manufactured goods classified chiefly by materials (5.8% from 5.6%); miscellaneous manufactured articles (0.5% from 0.3%; and machinery and transport equipment (1.2% from 1%).

Slower growth rates were recorded in chemicals including animal and vegetable oils and fats (4.3% in September from 5.3% in August) and crude materials, inedible except fuels (21.6% from 29.6%).

By island group, Luzon reflected the national level’s pace as its GWPI climbed by 3.4% in September, higher than the 3.2% in August and 2.3% in September last year.

The GWPI of the Visayas and Mindanao, meanwhile, eased to 0.4% (from 1.1% in August) and 4.9% (from 5.2%), respectively.

The oil price increases in September triggered the higher GWPI print, Cid L. Terosa, senior economist at the University of Asia and the Pacific School of Economics, said in an e-mail interview.

“Base effects were at play aside from higher prices of production inputs such as mineral fuels due to supply chain disruptions, bottlenecks, and rigidities,” Mr. Terosa said.

Price adjustments for gasoline, diesel, and kerosene increased by P15.10, P12.95, and P10.65 per liter, respectively, data from the Energy department as of end-September showed.

The rise in wholesale prices can trigger an increase in retail prices, which can pull back the economic growth momentum, he added.

“Towards the end of the year, the annual GWPI will rise faster than last year as demand continues to pick up due to the easing of pandemic-related restrictions. Also, supply bottlenecks can add upward pressure on wholesale prices,” Mr. Terosa said. — Bernadette Therese M. Gadon

Figaro pushes back IPO to January

December 10, 2021 | 7:44 pm

By Keren Concepcion G. Valmonte, Reporter

Figaro Coffee Group, Inc. is pushing back its initial public offering (IPO) to January next year.

In a listing notice on Friday, the Philippine Stock Exchange (PSE) said it received a letter from the Figaro IPO’s joint issue managers, joint lead underwriters, and joint bookrunners to revise the timetable.

Figaro will now make its stock market debut on Jan. 24, 2022, instead of its planned New Year’s Eve debut.

The offer period will now run from Jan. 10 to 14, instead of the original schedule or Dec. 16 to 22.

The Figaro IPO price will be set on Dec. 22, instead of Dec. 10.

Abacus Capital & Investment Corp., China Bank Capital Corp., and PNB Capital and Investment Corp. said the IPO has been delayed “in deference to the upcoming holiday season, specifically to ensure the timely completion of the documentary requirements of the investing public for the offer.”

In an interview with the ABS-CBN News Channel’s Market Edge on Friday morning, Figaro chairman and director Justin T. Liu was asked if he was worried that Medilines Distributors, Inc.’s 30% plunge on its market debut would cloud Figaro’s own IPO.

“It is a bit concerning but we see that we’re different companies,” Mr. Liu said.

“We feel that each company has their own intricacies and we cannot really say that whatever happens to other shares that list will also happen to us.”

Figaro is the company behind brands such as Figaro Coffee, Angel’s Pizza, Tien Ma’s Taiwanese Cuisine, TFG Express, and Café Portofino. The company has an optimistic outlook for the food-and-beverage (F&B) industry.

“We’re looking at [a] longer point-of-view, we see the F&B industry, the Philippine industry growing very well and we feel that whatever happens to the IPO, the future is very bright,” Mr. Liu said.

Figaro is planning to offer 1.26 billion common shares for as much as P1.28 per share, with an overallotment option of 126 million shares.

The company received the go signal from the PSE for its P1.77-billion IPO on Monday.

It plans to use net proceeds from the offer to fund future store launches and renovation of existing stores, commissary expansion, debt repayment, IT (information technology) infrastructure developments, and potential acquisitions.

Jollibee set to open in Scotland, Kuala Lumpur

December 10, 2021 | 7:41 pm

Jollibee Foods Corp. (JFC) is planning to open its first Jollibee stores in Scotland and in Kuala Lumpur, Malaysia next year, the company said on Friday.

“We look forward to bringing the joy of eating to more and more people in different parts of the world, sustaining our growth momentum as we enter 2022,” JFC Chief Executive Officer Ernesto Tanmantiong said in a statement.

The company did not provide details on the exact location of its upcoming store in Scotland, which is part of the United Kingdom (UK).

In the UK, Jollibee currently has seven stores as of end-September, mostly in England. It opened a Jollibee store in Wales in July.

Meanwhile, Jollibee Kuala Lumpur will be located at a popular shopping mall — Sunway Pyramid.

Earlier this year, JFC unit Golden Plate Pte. Ltd. and Beeworks Investment Pte. Ltd. have created a joint venture to launch 120 stores in Malaysia in the next decade.

Jollibee will also set up its 150th store in Vietnam by early next year “in a popular location,” without disclosing further details. Vietnam is said to have the largest Jollibee store network outside of the Philippines.

“Despite the challenges of the pandemic, we continue to open more Jollibee stores and are glad to see the community’s support wherever we open,” Mr. Tanmantiong said.

The company is counting on its international businesses to drive growth. JFC operates in 34 countries through over 5,800 stores of its eight wholly-owned brands, six franchised brands, as well as through its majority-ownership in Coffee Bean and Tea Leaf and in the SuperFoods Group.

JFC shares at the exchange declined 2.59% or P6.20 on Friday, closing at P233.20 apiece. — Keren Concepcion G. Valmonte

SEC approves fundraising plans of AREIT, Cityland

December 10, 2021 | 7:39 pm

The Securities and Exchange Commission (SEC) on Friday said it “considered favorably” the bond offering of AREIT, Inc. and the commercial papers of Cityland, Inc.

In a statement, the regulator said the Commission En Banc approved the registration statements of AREIT for the shelf-registration of its P15-billion debt securities program and Cityland’s P500-million commercial papers in its Dec. 9 meeting.

However, this is still subject to both firms’ compliance with other requirements, the SEC said.

AREIT may issue the shelf-registered bonds within three years. Its initial tranche will consist of up to P3-billion fixed-rate bonds due 2023.

AREIT may net up to P2.9 billion from the first tranche, which will be used to refinance debt and to partially finance its acquisition of mixed-use commercial development The 30th in Pasig City.

According to the latest timetable AREIT submitted to the SEC, the Ayala-led company plans to conduct the offer from Dec. 13 to 16. The bond listing at the Philippine Dealing & Exchange Corp. (PDEx) is slated on Dec. 23.

AREIT tapped BPI Capital Corp. and BDO Capital & Investment Corp. as joint lead underwriters and bookrunners for the offer.

Meanwhile, Cityland is planning to offer P500-million worth of commercial papers to the public.

Cityland may net up to P496 million for the offer, which will be used to pay project-related costs, maturing loans or notes, and interest expense.

Proceeds may also be used to partially fund the construction of its 27-story commercial and residential condominium project in Las Piñas City, One Premiere. — Keren Concepcion G. Valmonte

AirAsia Philippines restores 30% of pre-pandemic capacity

December 10, 2021 | 7:37 pm

Philippines AirAsia, Inc. said it has restored 30% of its pre-pandemic capacity, as it increased local flights to meet the stronger demand amid the holiday season.

In a statement on Friday, the low-cost carrier said it doubled and tripled frequencies for most of its domestic destinations, and resumed flights to Hong Kong and Singapore.

“We are banking on ‘revenge travel’ for a very strong 2022 recovery. People now have the confidence to plan for their future trips as reflected in the forward bookings from 31-120 days,” Philippines AirAsia Spokesperson Steve F. Dailisan said.

All of its flying crew is vaccinated against the coronavirus disease 2019 (COVID-19), while its company-wide vaccination rate stands at 99.34%. The company also said employees who are eligible for a booster shot have signed up for one at their respective local government units.

AirAsia has flights from Manila to Puerto Princesa, Cagayan, Iloilo, Caticlan, Tacloban, Tagbilaran, Cebu, Davao, Zamboanga, and General Santos.

It also offers flights from Manila to Singapore once a week and to Hong Kong once every two weeks.

To commemorate AirAsia’s 20th anniversary, the company is holding a P20 base fare promo for those booking flights between Dec. 6 to 20. The travel period is up to Sept. 30, 2022.

The promo covers flights from Manila to Cebu, Puerto Princesa, Iloilo, Cagayan de Oro, Davao, Kalibo, General Santos, Zamboanga, and Bacolod.

Philippines AirAsia said it also has a 20% off promo for hotel stays that runs until Dec. 20. — Keren Concepcion G. Valmonte

Over 6 million COVID-19 jabs administered in SM malls

December 10, 2021 | 7:35 pm

SM-Vaccine — SM Supermalls partnered with local government units to host vaccination sites in its 71 malls. -- Courtesy of SM Supermalls

Over six million coronavirus disease 2019 (COVID-19) vaccine doses have been administered through the SM Supermalls network around the country.

SM Supermalls partnered with local government units to host vaccination sites in its 71 malls.

“We continue to show strong support to the national recovery agenda in boosting vaccination rates nationwide. Our malls are accessible and offer a safe venue to make these collective health goals a reality,” SM Supermalls President Steven T. Tan said in an e-mailed statement on Friday.

The company said its malls are have also become pediatric vaccination sites to accommodate eligible minors.

It said 66 SM Supermalls joined the government’s three-day vaccination drive last Nov. 29 to Dec. 1.

SM Investments Corp. (SMIC) procured over 500,000 doses of COVID-19 vaccines to cover for its employees and “in support of national needs.” The group has inoculated 130,000 of its employees to date, representing 96% of those eligible for a COVID-19 jab.

SM Supermalls also assisted the vaccination of its micro, small, and medium enterprises partners through their respective local government units.

“Vaccination efforts overall help shield our people and support the revival of the economy. With the reopening of the economy, we strive to move forward, stronger, and healthier together,” SMIC President and Chief Executive Officer Frederic C. DyBuncio said. — Keren Concepcion G. Valmonte