BSP chief says no drastic change in monetary policy

August 24, 2021 | 12:31 am

MANILA — The Philippine central bank governor said on Monday there is no urgency to change policy rates, currently at record lows, as he vowed to support efforts to sustain the country’s economic recovery.

The Southeast Asian nation’s path to recovery is facing a renewed hurdle from a surge of coronavirus infections, partly driven by the Delta variant, prompting the government to impose tighter curbs that will restrict economic activity.

“We will continue to be patient and supportive of the efforts to sustain the recovery process,” Bangko Sentral ng Pilipinas (BSP) Governor Benjamin E. Diokno told the ABS-CBN News Channel. “There will be no drastic change in current monetary policy.”

The economic recovery remained fragile, Mr. Diokno said.

This year’s growth target has been cut to 4% to 5%, from 6% to 7% expected previously. But the downgrade was still a significant improvement from last year’s record contraction of 9.6%.

The central bank kept the rate on the overnight reverse repurchase facility at 2% for a sixth straight policy meeting on Aug. 12.

Monetary authorities, which review key rates every six weeks, will hold their next meeting on Sept. 23. — Reuters

PAL returns 2 planes, postpones new deliveries

August 24, 2021 | 12:12 am

PAL Holdings, Inc., the listed operator of flag carrier Philippine Airlines (PAL), said it returned two aircraft to the lessor in July and delayed the deliveries of new aircraft, as the airline company continues to suffer from a decline in cash inflows amid the global health crisis.

“In July 2021, two aircraft were returned to its (PAL’s) lessor,” PAL Holdings said in its second-quarter report released on Monday.

“PAL’s aircraft delivery schedule was revised to align with the forecasted recovery of travel demand. 2020 and 2021 aircraft deliveries were postponed and rescheduled for delivery in 2026-2030,” it added.

The company also said that it is embarking on a financial restructuring plan to ensure business continuity.

On Aug. 10, global aviation data and analytics company Cirium said in an article posted on FlightGlobal, an aviation news and information website, that PAL’s “filing for US Chapter 11 bankruptcy protection has been further delayed after one of the banks providing financing for the process backed out.” Cirium cited two lessors “with exposure to the airline.”

The company said the health crisis and the measures taken by the Philippine and foreign governments disrupted its passenger operations, resulting in the temporary suspension and limited operations of both domestic and international flights.

“Consequently, the decline in revenue and cash inflows has put significant strain on the group’s liquidity position and on its compliance with certain loan covenants,” PAL Holdings added.

The listed company trimmed its second-quarter attributable net loss to almost P8 billion from a loss of P11.5 billion in the same period last year.

Revenues for the quarter from passenger, cargo, ancillary, and other business segments increased 106.4% to P9.7 billion from P4.7 billion in the same period in 2020.

However, expenses remained almost the same at P13.6 billion.

For the first half of the year, PAL Holdings cut its attributable net loss to P16.6 billion from a loss of P20.9 billion in the previous year.

Total revenues for the first six months dropped 51.1% to more than P18 billion from P36 billion in the same period a year earlier.

First-half expenses decreased 48.7% to P26.8 billion from P52.2 billion in the previous year.

PAL Holdings’ total capital deficiency was at P86.15 billion as of June 30, up by 26.5% “primarily due to the increase in deficit by 18.6% brought about by the consolidated total comprehensive loss for the first half of 2021.” — Arjay L. Balinbin

DMCI Power allots P3.5B for Masbate, Palawan plants

August 24, 2021 | 12:11 am

DMCI Power Corp., the off-grid unit of listed conglomerate DMCI Holdings, Inc., is investing around P3.5 billion to develop two off-grid projects with a total capacity of 27 megawatts (MW) in Masbate and Palawan.

In a regulatory filing on Monday, DMCI Holdings said majority of the amount or P2.7 billion will go to the construction of a 15-MW thermal power plant in Narra, Palawan, while P800 million will fund the development of a 12-MW hybrid solar-diesel power plant in Cataingan, Masbate.

“Target commercial operation of the 12-MW plant [in Palawan] is first quarter of 2022 while the 15 MW [in Masbate] is set to go online by second quarter of 2023,” the Consunji-led firm said.

Once online, the two power plants will increase DMCI Power’s installed capacity in the electricity missionary areas to 163.72 MW from 136.42 MW.

As soon as the Palawan plant is up, it will help lower the cost of power in the area, according to DMCI Holdings.

“These investments are in response to the government’s mandate to accelerate the exploration, development and utilization of renewable energy and indigenous fuel resources, thus decreasing our dependence on imported fuel,” DMCI Power Chief Operating Officer Antonino E. Gatdula, Jr. said in the filing.

DMCI Holdings fully owns DMCI Power, which was established to power up remote and off-grid islands in the Philippines.

DMCI Holdings earlier reported a second-quarter net income attributable to equity holders of P5.23 billion, up by more than threefold from P1.42 billion a year earlier, after registering higher earnings from its business segments.

Shares in DMCI Holdings shed 1.79% or 11 centavos to finish at P6.05 apiece on Monday. — Angelica Y. Yang

Cebu Landmasters increases stake in techno-hub developer

August 24, 2021 | 12:10 am

Mingmori_Central-Park — SOBERANO-led company expects to ‘streamline’ role in the P20-billion Minglanilla Techno-Business Park. — BW FILE PHOTO

LISTED Cebu Landmasters, Inc. (CLI) on Monday said it is increasing its stake in the developer of the 100-hectare reclamation and techno-hub project in Cebu.

The listed company said it had acquired 80% of Ming-Mori Development Corp.’s (MMDC) shares, up from a previous 20% stake.

The move is expected to “streamline” CLI’s role as developer and project manager of the P20-billion Minglanilla Techno-Business Park (Ming-Mori).

“CLI is giving its full commitment to this significant undertaking which has wide-ranging benefits for Minglanilla and the southern growth corridor of Cebu,” Jose R. Soberano III, president and chairman of both CLI and MMDC, said in a statement on Monday.

In June, MMDC received approval from the Philippine Reclamation Authority (PRA) for the project after a five-year review, which includes the issuance of an environmental compliance certificate.

It was explained in a briefing by the listed company in June that the Ming-Mori project is an “island type” of reclamation. The 100-hectare area will be divided into two islands, the in-land filling of which will be sourced from the mountains of Minglanilla.

CLI said it submitted engineering designs to the PRA and is expecting to receive a notice to proceed from the agency before yearend.

“To ensure viability over the long-term, Ming-Mori’s master plan draws a balance between an urban mixed-use development, light industrial land use and environmental stewardship,” Mr. Soberano said.

The project will also “reflect the learnings and successes” of Singapore-based urban infrastructure consulting firm Surbana Jurong Consultants.

The Ming-Mori estate is within Metro Cebu. The company is aiming to make the project be home to light manufacturing and technology-driven industries as current industrial parks within Mactan and Cebu City are fully occupied.

“As early as now, we already have big companies interested as locators,” Mr. Soberano said.

The project is anticipated to generate thousands of jobs and help boost revenues of the local government and nearby areas. Its industrial zones will also have nearby residential and commercial areas, as well as provisions for schools, churches, and commercial areas.

“We foresee that Ming-Mori will transform this area of Cebu into a dynamic economic zone,” Mr. Soberano said.

Ming-Mori will be the listed company’s third large-scale township project after its developments in Davao City and Cagayan de Oro.

On Monday, shares of CLI at the local bourse improved by 3.28% or 10 centavos to close at P3.15 each. — Keren Concepcion G. Valmonte

Megawide signs ‘supply and build’ contract for Pampanga housing project

August 24, 2021 | 12:09 am

MEGAWIDE Construction Corp. said it signed a new contract with PHirst Park Homes, Inc. for a housing project in Magalang, Pampanga.

“The new contract covers the supply and build agreement for 1,079 housing units using precast materials, marking the two companies’ seventh venture together,” Megawide said in a disclosure to the stock exchange on Monday.

In a statement to BusinessWorld, the company said that for the “build” aspect of the agreement, it will only be “putting up the housing unit shells” using the materials.

The client is responsible for the roof and other furnishings, it added.

“For Megawide, this brings the total housing units, including the initial and additional orders, to 12,437 under contract with PHirst Park Homes,” the listed company told the local bourse.

The company sees its partnership with PHirst Park Homes further growing as the latter continues to expand its presence in Luzon.

PHirst Park Homes, a project of Century Properties Group, Inc. and Mitsubishi Corp., launched its eight developments in General Trias, Cavite in July, while three more projects will be rolled out in Luzon this year.

“Currently, the two companies are working together to build communities in seven different locations — Lipa and Batulao, Batangas; Calamba and San Pablo, Laguna; Tanza, Cavite; Pandi, Bulacan; and Magalang, Pampanga,” Megawide noted.

Megawide shares closed 1.48% higher at P6.19 apiece on Monday. — Arjay L. Balinbin

Streaming platform iQiyi sees growth for Chinese entertainment in SE Asia

August 24, 2021 | 12:08 am

STREAMING platform iQiyi saw growth in viewership for Chinese entertainment in South East Asia, according to a 2021 online survey conducted via Pollfish.

Founded in China in 2010, iQiyi International is an on-demand video streaming service providing pan-Asian entertainment. It offers ad-supported and VIP subscription services, streaming drama series, movies, variety shows, and animé, all with local languages and subtitles. iQiyi is currently available in 191 countries with more than 106 million subscribers worldwide.

“Appetite for Chinese language content is growing steadily worldwide and iQiyi is paving the path forward. We are truly encouraged by the number of global users who want and are willing to watch Chinese dramas,” Kuek Yu-Chuang, iQiyi’s Vice-President of International Business, said in an online press conference with Southeast Asian media on Aug. 20 held via Zoom.

Conducted across 26 countries between Aug 4 to 15, the survey had 5,200 respondents and showed that 76% of global respondents started sampling Chinese dramas within the past two years, with 43% watching this content on streaming platforms. One in two of those surveyed claimed to enjoy watching Chinese dramas (C-dramas) and said they would recommend C-dramas they like to others. Most respondents enjoying Chinese content were from Thailand (80%), Singapore (70%), and Malaysia (71%). More than 40% consider it important for a streaming service to offer Chinese language content.

Survey results from the Philippines revealed that 76% of the respondents started watching Chinese language dramas within the last two years, while 46% have established a regular habit of watching Chinese content.

“In the two coming quarters we will have exciting content, in addition to being your authoritative home for pan Asian content. We want to make sure that the Chinese content we bring to you is best in class,” Mr. Keuk said.

A GHOST STORY
With the growth in viewership for Chinese entertainment, iQiyi also launched its first Chinese-language Southeast Asian Original series, The Ferryman: Legends of Nanyang. The story follows the protagonist Xia Dong Qing (played by Lawrence Wong) as he, along with his trusty partners Zhao Li (Qi Yuwu) and Xiao Ya (Kate Kinney), communicates with and help distressed souls wandering in the mortal world with their unfinished business.

It premieres on iQiyi on Aug. 24.

“Even though ghosts come at him since he was young, he still finds the urge to help them and fulfill their wishes to help them move on to their afterlife,” Mr. Wong said of his character.

For Mr. Wong, The Ferryman is not just a horror series.

“There is so much more depth in it like every episode, through Xia Dong Qing’s experiences with different souls. You learn so much more things about friendship, about love, about life in general, that is never just about scaring you,” he said.

“I feel like I am reminded of so much more things about life that I might have forgotten as I was busy working in the production.”

“[It is] very rare to see such a large collaboration between Singapore and Malaysian cast and crew,” said Qi Yuwu, who plays the role of Zhao Li, the grim reaper.

“Every story in The Ferryman had human elements, and I enjoyed being able to convey these feelings through Zhao Li,” he added.

The Ferryman: Legends of Nanyang is also iQiyi’s first international Original available in Dolby Atmos.

Another upcoming series is Danger Zone, which tells the story of a series of homicides in a coastal town. With no hard clues to follow, rookie criminal investigator Ren Fei (played by Berant Zhu) one day receives an anonymous tip from within the prison. iQiyi’s first original Chinese language prison series, Danger Zone premieres on Sept. 3.

To premiere later this year is Rainless Love in a Godless Land. The story follows an unlikely romantic relationship between a tour guide and the God of Rain which blossoms in parallel with an unexpected Armageddon. It stars Chiao Chiao Tzeng, Paul Fu, and Kenny Yen. — MAP Soliman

AC Energy clears sale of 3 power barges

August 24, 2021 | 12:08 am

AC Energy Corp. said its executive committee had approved the sale of three power barges to two buyers in a deal that the Ayala-led firm expects to complete in the fourth quarter.

In a disclosure on Monday, AC Energy said its board had greenlit the sale of its power barge 101 to Prime Strategic Holdings, Inc. or its designated affiliate or subsidiary; and power barges 102 and 103 to SPC Power Corp. or its designated affiliate or subsidiary.

It said the transactions are still subject to applicable regulatory approvals.

“Power Barge 101 is an operating power plant while Power Barges 102 and 103 are non-operating. The sale of the power barges is expected to be completed in the fourth quarter of 2021, subject to satisfaction of agreed conditions precedent, including obtaining the applicable regulatory approvals,” AC Energy said.

In the same filing, the Ayala group’s energy platform said its executive committee had approved the revision of power administration and management agreements with its wholly owned units CIP II Power Corp. (CIP II), Bulacan Power Generation Corp. (BPGC), and One Subic Power Generation Corp. (OSPGC).

The amendments include a requirement to update the fixed capacity fees billable to AC Energy, and the inclusion of a variable capacity fee billable by CIP II and BPGC.

AC Energy said the amendments are effective as of July 1.

CIP II owns and operates a 21-megawatt (MW) diesel plant in Bacnotan, La Union. BPGC owns and operates a 52-MW diesel plant in Norzagaray, Bulacan. OSPGC leases a 116-MW diesel plant in Subic Bay’s Freeport area.

Shares in AC Energy improved 1.79% or 16 centavos to finish at P9.11 apiece on Monday. — Angelica Y. Yang

Black Widow helps Disney collect $125 M in online revenue

August 24, 2021 | 12:07 am

black-widow-2021 — MARVEL.COM/MOVIES/BLACK-WIDOW

WALT Disney said in a court filing on Friday that it has garnered $125 million in online revenue from the Marvel superhero film Black Widow, three weeks after getting sued by its star Scarlett Johansson. The actress last month sued Disney alleging that the company breached her contract when it offered the movie on streaming at the same time it played in theaters. The entertainment company, in the filing, has countered Ms. Johansson’s request for a civil trial in Los Angeles by asking for the suit to be sent to arbitration in New York. Ms. Johansson’s suit, filed in Los Angeles Superior Court, argued that the dual release strategy of Black Widow had reduced her compensation. Disney had said there was “no merit” to the lawsuit, adding that online release of the film “significantly enhanced her (Johansson’s) ability to earn additional compensation on top of the $20 million she has received to date.” The outcome of the suit could have wider ramifications in the entertainment industry as media companies try to build their streaming services by offering premium programming to attract subscribers. — Reuters

Boulevard Holdings maintains ‘no bank debt’ and buy-hold strategies

August 24, 2021 | 12:07 am

BOULEVARD Holdings, Inc. (BHI) said the company and its resort properties in Boracay and Puerto Galera will continue to be under a “no bank debt stance,” while it will apply a buy-and-hold strategy for its Cavite properties.

On Monday, the company published a lockdown and typhoon damage report addressed to shareholders covering how it is coping with the “hard economic times, the long lockdown for tourism, and during this typhoon season.”

“We maintain both resort properties and BHI itself under a no bank debt stance, which would have been a great risk to our assets with tourism locked down for almost [one and a half] years,” BHI Chairman and Chief Executive Officer Jose Marcel E. Panlilio said.

Its resorts are said to have “mere current suppliers debt” and updated real property and business taxes.

The company’s 1.4-hectare Fridays Boracay resort property got damaged after the onslaught of Typhoon Fabian, which lasted from July 16 to July 24. The restaurant front was damaged, BHI said.

“Our in-house security guards partially rectified the damaged tiles on Aug. 17… caused by subsequent high tides from the storms,” Mr. Panlilio said.

BHI said it assigned a contractor to professionally repair the damage after the lockdown, with estimated costs from at least P100,000 to P400,000.

Meanwhile, the company said it continues to advance cash for its Fridays Puerto Galera, Inc.’s weekly costs worth P120,000. Employees are paid 30% their compensatory rate.

“They are ready to take in guests from Metro Manila once the lockdown ends,” the company said. “Breakeven sales during operation of this hotel are P1.7 million, adding working capital and full pay.”

The company said it is hoping to make sure both resorts are ready to welcome guests once international tourism reopens.

Meanwhile, for its land bank in Ternate, Cavite, BHI said it is adopting a buy-and-hold strategy while looking for resort partners “because prices have been going up with thousands passing through daily to Nasugbu, Batangas.”

In March, BHI paid over P39 million to the Cavite province to update its real property taxes. The company said it is “surely ready for any growth opportunity” for the segment.

On Monday, shares of BHI at the stock market went up by 3.92% or P0.004 to close at P0.106 apiece. — Keren Concepcion G. Valmonte

Singer Josephine Baker to be buried in Paris’ Pantheon

August 24, 2021 | 12:06 am

Josephine_Baker_1950 — Baker in Havana, Cuba, in 1950 — EN.WIKIPEDIA.ORG/

PARIS — Josephine Baker, the famed Black French-American singer and dancer, will be buried in Paris’ Pantheon mausoleum — one of France’s highest honors — said government minister Agnes Pannier-Runacher on Sunday. “This is a great lady, who loved France, who will enter the Pantheon. Thank you to @EmmanuelMacron for this tribute,” wrote Pannier-Runacher on Twitter, confirming earlier media reports. Ms. Baker was born in Missouri in 1906 but went on to find much of her fame after arriving in Paris in the 1920s, as many Black Americans stayed on in the French capital after World War I and brought over with them American jazz culture. Ms. Baker also served in the French Resistance during World War II. She died in 1975 and is currently buried in Monaco. Her remains will be re-buried at the Pantheon on Nov. 30, meaning Ms. Baker will lie alongside other French national icons in the mausoleum such as authors Emile Zola and Victor Hugo, the philosopher Voltaire and politician Simone Veil. — Reuters

Premiere Horizon net loss widens to P31M

August 24, 2021 | 12:06 am

PREMIERE Horizon Alliance Corp. (PHA) reported on Monday a second-quarter net loss of P31.03 million, more than three times higher than its P8.99-million loss incurred in the same period last year.

In a regulatory filing, it said its topline declined by 29% to P81.4 million from P115.4 million, with mining-related activities contributing more than the company’s real estate business.

Revenues from mining services contributed P73.75 million, but lower by nearly 13% from P84.61 million last year. Meanwhile, real estate sales dipped by 75% to P7.65 million from P30.79 million.

For the first half of the year, the company trimmed its net loss by 10% to P43.41 million from P48.39 million year on year. Revenues inched up by 4.5% to P184.23 million from P176.34 million.

“In June 2020, mining services revenue accounted for 72% of the revenue with more than P120 million. This year, mining services [contributed] only 43% at P83 million due to limited operations because of the COVID-19 (coronavirus disease 2019) restrictions in Dinagat Island,” Premiere Horizon told the stock exchange.

While some of its mining projects are delayed because of lockdown restrictions, the company said it is confident that subsidiary Premiere Georesources and Development, Inc. will continue normal mining operations by the second half of the year.

Meanwhile, real estate sales in the six-month period doubled to P100.77 million from last year’s P49.79 million, “signaling an improvement in the real estate sector.”

The company said its North Luzon-based property unit Goshen Land Capital, Inc. will be launching a vertical project within Baguio City’s commercial business district this month, while its tourism development subsidiary West Palawan Premiere will begin working on a residential beachside development in Puerto Princesa City.

“It is important to note that PHA’s financial position has greatly improved in the first half of 2021 despite the losses with the equity infusion from the new investor group,” the company said.

Premiere Horizon’s total equity stood at P1.48 billion as of end-June, 22% higher than its end-December figure at P1.21 billion. Its debt-to-equity ratio improved to 1.54x from 2.21x in December last year, as current ratio also improved to 0.83 from 0.76.

The company anticipates its financial position to further pick up in the coming quarters with a P378.7-million debt-to-equity conversion, the fold-in of SquidPay Technology, Inc., and the equity infusion from the put option agreement with LDA Capital Ltd.

Premiere Horizon shares at the stock market closed unchanged on Monday at P1.10 apiece. — Keren Concepcion G. Valmonte

Everly Brothers’ Don Everly, 84

August 24, 2021 | 12:05 am

DON Everly, whose close-harmony singing with his brother, Phil, generated dreamy, chart-topping hits about teen romance in the late 1950s and early ’60s and influenced groups from The Beatles to Simon and Garfunkel, has died, the Los Angeles Times reported on Sunday. He was 84. Mr. Everly, whose hits with his brother included “Wake Up Little Susie” and “Bye Bye Love,” died on Saturday at his home in Nashville, Tennessee, a family spokesperson told the newspaper. His brother died in 2014 at age 74. The New York Times once described the brothers’ voices as “dipped in country sugar,” and it was said that “if they sing country in heaven, then there’s a good chance the angels sound like the Everly Brothers.” “Perhaps even more powerfully than Elvis Presley, the Everly Brothers melded country with the emerging sound of Fifties rock & roll,” said Rolling Stone magazine in putting the brothers at No. 33 on its list of the “100 Greatest Artists.” The Everlys’ success faded in the 1960s amid the advent of guitar-driven rock, tension between the brothers and drug problems. They split up for 10 years but their harmonies proved timeless. — Reuters