Facebook Instagram Linkedin Twitter Youtube
Home Blog Page 5915

RCR secures highest issuer credit rating

By Keren Concepcion G. Valmonte, Reporter  

RL Commercial REIT, Inc. (RCR) on Thursday said it has secured the highest issuer credit rating from Philippine Rating Services Corp. (PhilRatings), which allows it to raise its borrowing limit.  

In a statement, RCR said it received a credit rating of PRS Aaa (corp.) with a stable outlook from PhilRatings.  

“The investment-grade issuer credit rating allows RCR to increase its leverage limit from 35% to 70% of the total value of its deposited property, according to the REIT Implementing Rules and Regulations,” the Gokongwei-led company said.   

“This gives RCR greater financial flexibility to support its organic and inorganic growth for long-term sustainability,” it added.  

Under the country’s REIT IRR, companies are only allowed to have financial obligations or borrowings worth 35% of the value of assets included in their portfolio unless it has a publicly disclosed investment-grade credit rating by an accredited rating agency.  

The PRS Aaa rating is the highest rating assigned by the domestic credit rating agency, which means it has a “very strong capacity” to meet financial commitments compared to other corporates in the country.   

A stable outlook means the company is expected to keep the same rating within the next 12 months.   

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the rating would allow RCR to borrow more to fund its investments or expansion projects.   

“These also allow it to borrow at lower interest rates and also at better terms,” Mr. Ricafort said in a Viber message on Friday.  

RCR is the real estate investment trust (REIT) sponsored by Robinsons Land, Corp. (RLC). It is the largest REIT in the Philippines with a market capitalization of P64.2 billion, a property valuation of P73.9 billion, and an initial portfolio consisting of 14 assets with a combined 425,315 square meters (sq.m.).  

“The rating likewise considered the properties’ strong financial track record and proven resilience amidst the COVID-19 pandemic, as well as the Company’s zero-debt status which gives RCR significant headroom to lever up to fund its future expansion,” RCR said.  

Subject to market conditions and regulatory approval, Robinsons Land is expected to infuse one or two assets every year into RCR. RCR said the rating was also achieved because of its management team and because of “solid backing” from its sponsor firm, RLC.  

“We are also very much open to acquiring property from unrelated third parties. We are also looking into redeveloping existing assets to optimize land use and achieve higher valuations,” RCR President and Chief Executive Officer Jericho P. Go told BusinessWorld in an Aug. 13 e-mail interview.   

RCR shares at the stock exchange went up by 0.16% or one centavo on Thursday to close at P6.45 each.  

PXP Energy settles dispute with Australia’s Karoon

Listed upstream oil and gas firm PXP Energy Corp. said on Friday that its units have entered into a settlement with Australia’s Karoon Energy Ltd., which is required to pay $9.6 million in cash over an exploration dispute in offshore Peru. 

PXP Energy owns majority or 53% of Pitkin Petroleum Ltd. (PPL), which has a 25% participating interest in Peru Block Z-38 through its wholly-owned subsidiary, Pitkin Peru. Meanwhile, KEI (Peru Z-38) Pty Ltd. Sucursal del Peru (KEI Peru), a wholly-owned unit of Karoon Energy, is the operator of the Peru block. 

Pitkin Peru previously determined that KEI Peru will not take any action to extend the license contract for the exploration of hydrocarbons in Block Z-38 located in offshore Peru, and this includes going into the “fourth exploration phase.” Because of this, the Peru government terminated the license.  

Pitkin Peru also claimed that KEI Peru did not fulfill its obligations when it did not give notice on or before June 27 whether it would enter into the fourth exploration phase, embark on activities required in drilling a second exploratory well, and shoulder all of Pitkin Peru’s expenses in the drilling works. 

In its latest regulatory filing to the local bourse on Friday, PXP Energy said that KEI (Peru Z-38) Pty Ltd. (KEI), which fully owns KEI Peru, is due to pay a settlement fee of $9.6 million or approximately P479.29 million. 

“Under the deed, KEI has agreed to pay US$9.6 million in cash to PPL in full and final settlement of all claims by Pitkin Peru and its associates in connection with Block Z-38. The said deed will be effective upon the receipt of the settlement sum by PPL within 3 business days upon signing of the deed,” PXP Energy said in a disclosure on Friday. 

Shares of PXP Energy in the local bourse shed 2.41% or 15 centavos to finish at P6.06 apiece on Friday.  

PXP Energy is a unit of Philex Mining Corp., which in turn is one of the Philippine units of Hong Kong-based First Pacific Co. Ltd, the others being Metro Pacific Investments Corp. and PLDT Inc. 

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has interest in BusinessWorld through the Philippine Star Group, which it controls.  — Angelica Y. Yang  

SM says 94% of employees vaccinated so far

PHILIPPINE STAR/ MICHAEL VARCAS

SM Investments Corp. (SMIC) said on Friday that its coronavirus disease 2019 (COVID-19) vaccination program has covered 94% of its employees so far.   

The program is a joint effort of SMIC, SM Prime Holdings, Inc., SM Retail, Inc., BDO Unibank, Inc., and China Banking Corp. as well as 2GO Group, Inc., Atlas Mining & Development Corp., and Goldilocks Bakeshop.  

“Our goal is to support broad vaccination efforts and not just to focus on our own people or those connected with our business,” SMIC President and Chief Executive Officer Frederic C. DyBuncio said in a statement.    

“We made our assets accessible to all, both to the public and private sectors, and enabled our partners to secure much-needed vaccination,” he added.   

The company said over 3.3 million COVID-19 jabs have been administered in its malls, which were used as make-shift vaccination sites by local government units. SM Development Corp. also conducted vaccination drives in 12 locations across properties in Mandaluyong, Parañaque, Pasig, and Quezon City.   

Meanwhile, its 2GO vessels on dock also served as vaccination venues for ship crew members.   

SM also worked with Go Negosyo’s “A Dose of Hope” program as it launched shared vaccination sites via its malls for nearly 300 micro, small, and medium enterprises (MSME) to inoculate over 170,000 of their employees.  

SM also offered its other work sites, such as in Toledo City of Cebu, to vaccinate other employees of MSME partners and government stakeholders.  — Keren Concepcion G. Valmonte  

600 thousand doses of AstraZeneca arrive

REUTERS

The Philippines on Friday took delivery of 661,200 more doses of the coronavirus vaccine made by AstraZeneca, Plc. This as the health department announced in its daily bulletin that there are 20,336 new coronavirus cases.

The shipment was paid for by local government units and the private sector, vaccine czar Carlito G. Galvez, Jr. said in an interview with the state-run People’s Television Network.

Mr. Galvez said 80% of the new batch of vaccines will be given to local government units, while the remaining 20% will go to the private sector.

Meanwhile, Mr. Galvez said 190,000 doses of Russia’s Sputnik V (Component 2) may arrive in the country this weekend or early next week.

“This shipment of Sputnik V vaccines shall be used for the second dose,” he said separately in a statement.

The Philippines is also set to take delivery of about one million doses of the single-shot Sputnik V Light, Mr. Galvez said.

More than 14.89 million doses of coronavirus vaccines are expected to arrive in the country in the coming weeks.

The Philippines has received more than 58 million vaccine doses since February.

Authorities on Thursday said more than 40 million coronavirus vaccines had been given as of Sept. 15. About 17.7 million people or 22.91% of the country’s adult population had been fully vaccinated against coronavirus diseases 2019 (COVID-19), they said.

NEW CASES

Meanwhile, health authorities on Friday reported 20,336 new coronavirus cases, bringing to 2.32 million the total number of cases since the pandemic started.

The country’s coronavirus death toll rose to 36,328 after 310 more patients died, while recoveries increased by 10,028 to 2.1 million, the Department of Health (DoH) said in a bulletin.

There were 188,108 active cases, 87.6% of which were mild, 8.1% were asymptomatic, 1.3% were severe, 2.49% were moderate, and 0.6% were critical.

The DoH said 53 duplicates were removed from the tally, 41 of which were reclassified as recoveries. It added that 176 recoveries were reclassified as deaths. Four laboratories failed to submit data on Sept. 15.

IVERMECTIN

Meanwhile, Health Undersecretary Maria Rosario S. Vergeire maintained that there is still not enough evidence to prove that the anti-parasitic drug ivermectin can treat COVID-19 or prevent deaths from the illness.

This, after the British Ivermectin Recommendation Development Group asked the Philippine government to adopt the use of ivermectin for COVID-19 patients.

“We reiterated the PSMID (Philippine Society for Microbiology and Infectious Diseases, Inc.) guidelines which states that based on the current evidence from randomized controlled trials, we do not recommend the use of ivermectin for the treatment of COVID-19,” Ms. Vergeire said in a virtual news briefing, noting that the anti-parasitic drug has not been proven to “significantly reduce mortality nor to improve other clinical outcomes.” — Kyle Aristophere Ateinza

Don’t ignore killing of South Cotabato lawyer says IBP

THE INTEGRATED Bar of the Philippines (IBP) said Friday that the murder of South Cotabato lawyer Juan G. Macababbad cannot be ignored as more lawyers nationwide are being killed. 

“Our country cannot attain true independence and freedom when conformity is extracted by fear and criticism silenced by force,” IBP said in a statement. 

The group called for a nationwide effort to protect lawyers and judges and said it would work with law enforcement authorities to swiftly address these attacks and implement measures to improve the security of law professionals. 

Meanwhile, lawmakers from the Makabayan bloc filed House Resolution 2223 on Thursday calling for the Committee on Human Rights to condemn and investigate the killing of Mr. Macababbad. 

“It is imperative of Congress as representatives of our people to defend the rights of our people and check on excesses and violations, especially in this time of crisis,” says the resolution. 

Mr. Macababbad was shot outside his home in Surallah, South Cotabato by two unidentified individuals on Wednesday. He was the 58th lawyer killed during the Duterte administration, according to the National Union of Peoples’ Lawyers. 

On Sept. 13, two days before Mr. Macababbad was killed, business groups called on Congress to pass a law creating a Judicial Marshal Service to strengthen the security of judiciary members and all court proceedings.  — Russell Louis C. Ku 

Philippines adds 4 countries to COVID-19 travel ‘red list’

The Philippines will bar the entry of travelers from Grenada, Papua New Guinea, Serbia, and Slovenia in the latest update of the so-called red list for travel.  

“This new classification shall take effect on Sept. 19, 2021 until Sept. 30, 2021,” Palace spokesman Herminio L. Roque, Jr. said in a statement. 

Countries on the red list are considered to be “high risk” for the coronavirus.  

Meanwhile, Mr. Roque said that the following places are now on the “green list”: 

  • China 
  • Hong Kong 
  • New Zealand 
  • American Samoa 
  • Burkina Faso 
  • Cameroon 
  • the Cayman Islands 
  • Chad 
  • China 
  • Comoros 
  • the Republic of the Congo 
  • Djibouti 
  • Equatorial Guinea 
  • the Falkland Islands (Malvinas) 
  • Gabon 
  • Hungary 
  • Madagascar 
  • Mali 
  • the Federated States of Micronesia 
  • Montserrat 
  • New Caledonia 
  • Niger 
  • Northern Mariana Islands 
  • Palau 
  • Poland 
  • Saba 
  • Saint Pierre and Miquelon 
  • Sierra Leone 
  • Sint Eustatius 
  • Taiwan 
  • Algeria 
  • Bhutan 
  • Cook Islands 
  • Eritrea 
  • Kiribati 
  • Marshall Islands 
  • Nauru 
  • Nicaragua 
  • Niue 
  • North Korea 
  • Saint Helena 
  • Samoa 
  • Solomon Islands 
  • Sudan 
  • Syria 
  • Tajikistan 
  • Tanzania 
  • Tokelau 
  • Tonga 
  • Turkmenistan 
  • Tuvalu 
  • Vanuatu 
  • Yeme. 

Fully vaccinated people from green or low-risk countries are allowed to enter the Philippines. They are required to undergo a seven-day facility-based quarantine, Philippine authorities earlier said.  

“All other countries/territories/jurisdictions not mentioned are on the Yellow List,” Mr. Roque said.   

The Philippine government updated its rules for inbound passengers amid the increasing number of coronavirus infections in the country. — Kyle Aristophere Ateinza 

Pharmally delivered 2M surgical masks without request from DBM-PS; test kits with limited shelf life delivered

FREEPIK

THE GOVERNMENT’S largest medical supplier delivered two million surgical masks “in advance” without a request from the budget department’s procurement service, said Senator Ana Theresia N. Hontiveros-Baraquel on Friday.

Ms. Hontiveros, speaking at the Senate blue ribbon committee hearing, presented a text message from Pharmally regulatory affairs head Krizle Grace Mago to a former staffer of the Procurement Service of the Department of Budget and Management (PS7-DBM) saying that Pharmally had delivered two million face masks. The PS-DBM employee replied in surprise, noting that the company supposedly only had 900,000 in stock.

The senator said that this occurred before the request for quotation had been given, as well as the notice of award.

Raymond A. Abrea, a certified public accountant and the President of the Abrea Consulting Group, said that after auditing Pharmally’s financial statements, “some accounts did not add together.”

Senator Francis Pancratius N. Pangilinan noted that the company’s records were “opaque” and confusing because, as presented by Mr. Abrea, not all documents were included. The Senate body on Friday moved to subpoena Pharmally’s books, account ledgers, and other financial records.

In the text exchange, Ms. Mago also said she was only told to deliver the goods by a certain “boss.”

Ms. Mago, the regulatory affairs head who replied to the text messages for Pharmally, said that she took her insructions from Pharmally Director Linconn Ong and co-owner Mohit Dargani, who both said they could not recall the two million mask advance transaction. — Alyssa Nicole O. Tan

TEST KITS

Meanwhile, the blue ribbon committee also learned that P5-billion worth of test kits were procured and accepted by both the health department and the budget department’s procurement service despite having a shelf life below the required specifications.

Budget inspector Mervin Ian D. Tanquintic, who signed three inspection reports for this delivery, confirmed that based on the terms of reference, they would normally reject transactions inconsistent with required specifications.

Senator Pangilinan said that the test kits were procured from Pharmally within two months. These kits were set to expire after six to 10 months, but based on the Department of Health’s requirements, the procured test kits should have a shelf-life of 24 to 36 months, he added.

“It was determined that the kits would be consumed prior to the expiration date,” said Mr. Tanquintic in the meeting Friday.

“It would have been very irresponsible if we didn’t accept the supply,” Health Secretary Francisco T. Duque III said at the hearing in English and Filipino, “because we know that we’ll be able to make use of all of them”.

The secretary added that “the situation was really dire, the supply was scarce, if almost none, the demand was really acute and overwhelming, so it was very difficult.” — Alyssa Nicole O. Tan

House probe sought on proposed limited face-to-face classes

QUEZON CITY Rep. Alfred D. Vargas has filed a resolution seeking a House inquiry into plans for limited face-to-face classes in the country.

House Resolution 2204, filed on Tuesday, directs the House Committee on Basic Education and Culture to look into the proposed implementation of blended and distance learning options, specifically limited face-to-face classes in schools.

The resolution noted the Department of Education’s (DepEd) proposed pilot run of limited face-to-face classes in 120 public and private schools. The classes will follow strict health protocols and will be subject to the approval of the President.

The resolution also noted that concerns have been raised by teachers and educational groups on the need for more technology-based training and support, especially in teaching for senior high school students.

“It is the duty of the government to ensure that quality and accessible education is delivered, and that our graduates are equipped with sufficient knowledge… to take part in nation-building amidst the challenges brought about by the COVID-19 (coronavirus disease 2019) pandemic,” said the resolution.

The DepEd said in a House budget briefing Tuesday that they need an additional P37 billion for laptops and internet service allowance to assist teachers in distance learning.

As of Wednesday, DepEd has recorded 26.30 million students enrolled for this school year, surpassing last year’s 26.22 million. — Russell Louis C. Ku

Spiders in the Cargo: Customs finds 827 spiders smuggled in air postal parcels

Over 800 spiders and spiderlings were found smuggled in three air postal parcels at the Central Mail Exchange Center at the Ninoy Aquino International Airport on Sept. 14.

The Bureau of Customs Port of NAIA, along with the Environmental Protection Compliance Division, found 809 spiderlings and 17 adult spiders concealed small plastic vials in packages which were supposed to contain figurines and medicine said the Customs bureau in a statement released on Friday.

The three parcels came from Poland and were addressed to residents of Pasay City, Parañaque City, and Batangas.

“The spiderlings and spiders were immediately turned over to the Department of Environment and Natural Resources Wildlife Traffic Monitoring Unit (DENR WTMU) pursuant to Customs Administrative Order No. 10-2020,” said the statement.

The DENR is building a case against the importer and co-conspirators for violation of RA 9147, aside from seizure and forfeiture proceedings “for violation of Section 1113 in relation to Section 117 and RA 9147.” The Bureau of Customs, meanwhile, “shall conduct parallel case build-up for possible prosecution of violation of Section 1401 of the CMTA (Customs Modernization and Tariff Act).”

Globe reaches 1M fiber-to-the-home lines target

Globe Telecom, Inc. has reached its target of laying one million fiber-to-the-home lines ahead of its year-end deadline. 

Part of Globe’s P70 billion in capital expenditures for the year, the fiber lines were rolled out to meet rising demand for fast internet while people work from home during the pandemic. 
 

“With rollouts in full swing, we expect to sustain the momentum until the end of the year,”  Globe Senior Vice President for Program Delivery, Network Technical Group Joel R. Agustin said. 

“All of our regional teams delivered big numbers especially in Luzon that helped reach our aspiration despite the continuing challenges of the pandemic.” 

The telco has been reaching out to Globe At Home customers connected to old facilities and plans to upgrade their lines. 

Fiber connection improves internet speed compared to copper lines. 

“Fiber provides high-speed internet allowing customers to send data at much higher bandwidths, download or upload large files faster, stream high-definition videos and webinars, and use multiple online programs to run simultaneously to name a few of its benefits and advantages,” Globe said. — Jenina P. Ibañez 

Cebu Pacific requires COVID tests for HK-bound travelers

Company handout

Budget carrier Cebu Pacific, operated by Cebu Air, Inc., on Friday rolled out its Test Before Boarding program for Hong Kong-bound travelers.  

This comes after Hong Kong’s 14-day ban on Cebu Pacific from transporting passengers from Manila ended on Sept. 16. Separate bans were placed on both Cebu Pacific and Philippine Airlines after some passengers tested positive for the coronavirus disease 2019 (COVID-19) upon arrival. 

Cebu Pacific will now require all passengers to be tested and receive negative results at the airport before being allowed to travel. The airline in a statement on Friday said it will shoulder the antigen test costs until Sept. 30. 

“Antigen test results will be released within 30 minutes, and only passengers with negative results may proceed to the check-in area,” the airline said.  

Passengers who are not able to take the test or those who receive a positive COVID-19 result will not be allowed to check in. Those guests may rebook, store money in a travel fund, or request for a refund. 

Antigen testing for Hong Kong-bound travelers is available from 1:30 a.m.-3:30 a.m. six times weekly. 

Passengers travelling to Hong Kong must also submit negative RT-PCR test results done within 72 hours before the scheduled departure time. — Jenina P. Ibañez 

BSP fully awards 28-day bills

THE BANGKO SENTRAL ng Pilipinas (BSP) fully awarded its offer of short-term bills on Friday even as banks asked for higher yields following the increase in US Treasury rates ahead of the Federal Reserve’s policy review. 

The BSP raised P110 billion as programmed via its offer of 28-day bills on Friday, with tenders reaching P135.8 billion. However, the demand was lower than the P137.82 billion in bids seen last week. 

Accepted rates ranged from 1.7% to 1.74%, a slightly narrower margin compared to the 1.7% to 1.7415% band logged during the previous auction. This caused the average rate of the bills to increase by 0.09 basis point (bp) to 1.719% from the 1.7181% quoted previously. 

The BSP bills and the term deposit facility are used by the central bank to gather excess liquidity in the financial system and guide market rates.  

Rates for the BSP’s one-month bills inched up to track US Treasury yields’ ascent ahead of the Federal Open Market Committee meeting next week, Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said. 

The yield on the 10-year US Treasuries on Thursday increased 2.9 bps to 1.333%, while the rate of the 30-year paper inched up 1.2 bps to 1.881%, Reuters reported.  

The Fed will review its policy settings on Sept. 21 to 22. The market is waiting for more hints regarding the timeline of their plan to wind down asset purchases. 

Following its July meeting, the Fed said it will keep rates low until the US economy has achieved maximum employment and inflation settles at 2% over the longer run. 

Mr. Ricafort said the higher yields sought by banks for the BSP bills reflects how the retail dollar bond (RDB) offering of the national government “siphoned off some of the excess liquidity in the financial system”. 

The Bureau of the Treasury on Wednesday raised an initial $866.2 million through its maiden sale of RDBs. It borrowed $551.8 million from the five-year notes and $314.4 million via the 10-year RDBs during the price-setting auction. — L.W.T. Noble 

1...5,9145,9155,916...12,662Page 5,915 of 12,662
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin Twitter Youtube