CDO Foodsphere celebrates its 46th year

June 25, 2021 | 7:00 am

CDO Foodsphere stands out as one of the enterprises that have been actively helping the country during the COVID-19 pandemic. The company serves as a beacon of hope and an example of how an organization can turn challenges into opportunities and reap the rewards along the way.

CONQUERING CHALLENGES

CDO Foodsphere is not new to challenges. Part of its history is how it has risen from the ashes after its original factory was totally gutted down by fire in 1987. “The fire happened when CDO was still in its fragile stage” shares Jerome Ong, Foodsphere President & CEO, “The little business that our parents built with their hard-earned savings, along with the livelihood of our workers seemed impossible to bring back to life. But they were determined to pick up the pieces, rise from the ashes, and in just two days, the factory started humming again.”

“The wonderful thing about my parents is that they always had a heart for people, more than anything. It was not just about making a profit. If they were daunted with the difficulties of starting up again, the thought of people losing their jobs overshadowed any fear they had. In the same way, they endured all the sacrifices to provide a better future for their own children, they wanted to make sure our employees work and be able to provide a better life to their family.” Jerome said.

SETTING PRIORITIES

The company faced many challenges such as the Taal volcano eruption, the effects of the African Swine Fever (ASF), continuing challenges in raw materials, & the grave continuing impact of the pandemic. To be more efficient, President & CEO Jerome Ong simplified things by identifying key priorities for the company, which were their employees, their customers & business continuity.

CDO Foodsphere knew the importance of timely and accurate information, especially during a crisis. “From the top and across the leadership team, we made sure we all communicated effectively. “During the lockdowns when our mobility and physical presence were hampered, we saw it as an opportunity rather than a hindrance. We used all available technology – virtual meetings, social media channels, and messaging apps – to keep on talking to our people. I addressed the whole organization every week and as often as needed. More than providing means to keep the business going, it was a shining moment for us to show our people to know how much we care for them, and that we got their backs. We told our leaders that this pandemic is a rare opportunity for us to earn the highest level of trust and respect from our people. Let us not waste it. ”

Constant communication led to programs that helped Foodsphere thrive. Crisis management plans were updated, health protocols were established early on and strictly observed, and support was provided by the management to their teams like temporary living quarters, free meals and vitamins, shuttle services, bike loans, and even daily allowances to augment additional expenses.

“All told, the costs were staggering. But we have a mission to serve, to continue making our products available, and we can only do it with driven and committed people who know that they are taken care of.”

Aside from the thousands of employees, who were fondly called “Ka-Republikas” by Foodsphere co-founder and long-time Chairman, the late Jose J. Ong, Jerome credits the stellar business performance to the Leadership team. “Our family is truly blessed to have a very talented & hardworking management team. To begin with, they’re very good, a combination of homegrown talents and professional managers who truly work as a Team. In the midst of the pandemic, they took their game a notch further and really delivered. We are extremely grateful.”

STRONGER PARTNERSHIPS

The company’s business partners have proven to be strong allies to CDO Foodsphere during the past year. They made it possible for the food processing giant to keep its commitment of ensuring ample food supply. The partners also allowed for help to be extended to those who need them.

One of these is the Million Meats Program where one million cans of meatloaf was produced by the company combining the donations of their trade partners and suppliers both here and abroad. It has benefited thousands of families in the past month and helped to make sure that there was food on the family table during meal times.

The CanDO project is a feeding program done with several food communities in social media, who cooked and delivered to front liners, organizations, and families in need in various locations the food donations given to them by CDO Foodsphere. It has served more than 800,000 meals since the pandemic began.

To date, the company continues to extend help and support to communities through Odyssey Foundation, Inc. which serves as its humanitarian arm. OFI has launched projects in solid waste management, community vegetable gardens and soon will be once again kicking off its annual nutrition programs.

REAPING REWARDS

CDO Foodsphere is the recipient of the ASEAN Category award for the Large Family Business Enterprise in the 2020 ASEAN Business Awards which happened in Vietnam in November last year. This recognition affirms the sustainability and strength of the business in the years to come.

They also became the first recipient of the Safety Seal Certification to be awarded by the Department of Labor & Employment (DOLE), and the seal was personally installed by Secretary Silvestre H. Bello III.

Foodsphere is a strong advocate of vaccination. In collaboration with GoNegosyo, the company was part of the first multilateral agreement for the private sector to procure COVID-19 vaccines for its employees. “Aside from continuously practicing the minimum health standards, vaccination is the key in protecting our people and their families, and allow them to soon enjoy their normal lives”, Ong said.

It is a promising future for CDO Foodsphere and brighter days are expected ahead. As they celebrate their 46th year this month, under the leadership of Jerome D. Ong, together with siblings Charmaine & Jason and the guidance of its founder Corazon D. Ong, the company reaffirms its commitment to provide food that brings people home.

Happy 46th anniversary, Foodsphere.

BSP keeps policy rate at record low

June 25, 2021 | 12:34 am

THE BANGKO Sentral ng Pilipinas (BSP) kept its key interest rate at a record low for a fifth straight meeting on Thursday, as it vowed to maintain an accommodative stance to support economic recovery.

The BSP left the rate on the overnight reverse repurchase facility at 2%, as widely expected by 14 of 16 analysts in a BusinessWorld poll last week.

Interest rates on the overnight deposit and lending facilities were also kept at 1.5% and 2.5%, respectively.

“The Monetary Board also observed that economic activity has improved in recent weeks, but the overall momentum of the economic recovery remains tentative as the threat of COVID-19 (coronavirus disease 2019) infections continues,” BSP Governor Benjamin E. Diokno said at a briefing on Thursday.

“Downside risks to the inflation outlook continue to emanate from the emergence of new coronavirus variants, which could delay the easing of containment measures and temper prospects for domestic growth,” he added.

Headline inflation has averaged at 4.4% as of May, still above the central bank’s 2-4% target.

The central bank reiterated its support for the Philippine economy “for as long as necessary to ensure its strong and sustainable recovery.”

“The Monetary Board believes that sustained monetary policy support for domestic demand should help the economic recovery gain more traction, especially as risk aversion continues to temper credit activity despite ample liquidity in the financial system,” Mr. Diokno said.

Banks remain risk-averse while many businesses avoided incurring new loans amid uncertainty.

The economy contracted by 4.2% in the first quarter. The investment component or capital formation — shrank by 18.3% — a segment that could be boosted by credit activity.

“It is important to keep the policy stance accommodative to provide continued stimulus to credit and to private sectors spending activity. The space is there for accommodation for as long as necessary to support economic activity until we see stronger and sustainable signs of economic recovery,” BSP Deputy Governor Francisco G. Dakila, Jr. said.

FASTER INFLATION
Meanwhile, Mr. Dakila said the central bank raised the inflation outlook for this year to 4%, from the previous forecast of 3.9%. This matches the upper end of the BSP’s 2-4% target.

If realized, this would be much faster than 2.6% in 2020.

“The factors that led to the revisions in the inflation forecast include higher global crude oil prices as well as a more favorable global growth outlook,” Mr. Dakila said.

Factors that could slow down inflation include the lower-than-expected May inflation and the peso’s strength, he added.

Mr. Dakila said inflation is expected to average 3% for 2022 and 2023.

In May, headline inflation stood at 4.5% for the third straight month, beyond the target but still lower than 4.7% in February. Inflation for the first five months of the year was 4.4%.

Analysts think the BSP will keep record low rates until next year given the uncertainty surrounding the economic recovery.

“Looking further ahead, the BSP is likely to be one of the last central banks in ASEAN to start normalizing policy, as the Philippines probably will achieve herd immunity later than most. All told, expect the overnight reverse repurchase rate to remain at 2% until the end of next year,” Pantheon Macroeconomics Senior Asia Economist Miguel Chanco said in a note.

“With price pressures fading and inflation set to slide back within target in the coming months, we expect BSP to extend its pause for the balance of the year with a possible rate hike by the middle of next year,” ING Bank N.V. Manila Senior economist Nicholas Antonio T. Mapa said.

The central bank will have its next policy setting on Aug. 12. — L.W.T.Noble

S&P sees PHL economy growing by 6% this year

June 25, 2021 | 12:32 am

Antipolo-Skyline — PHILIPPINE STAR/ MICHAEL VARCAS

S&P GLOBAL RATINGS lowered its 2021 growth forecast for the Philippines to 6% on Thursday, as low public mobility amid the coronavirus pandemic continues to be a drag on recovery.

The latest forecast is significantly lower than the 7.9% gross domestic product (GDP) growth estimate S&P gave in March, and matches the low end of the government’s 6-7% target for the year.

“Downside risks around our forecasts remain higher than normal. Uncertainties around the extent and duration of low public mobility due to the pandemic will continue to be the primary concern for growth,” S&P said in a note on Thursday.

The Philippines’ 2021 GDP outlook is faster than S&P’s estimates for Indonesia (4.4%), Malaysia (4.1%), Thailand (2.8%) but is slower than expectations for Vietnam (7.3%) and Singapore (6.2%).

Meanwhile, S&P raised its Philippine GDP estimate for 2022 to 7.5% from 7.2%. This is well within the government’s 7-9% growth projection for next year.

While lockdown measures have been gradually relaxed and daily coronavirus cases in Metro Manila and nearby provinces have decreased, S&P noted that public mobility “remains very low.”

Private consumption, which makes up roughly 70% of the Philippine economy, has remained muted as public transportation continues to operate on a limited capacity.

In the first three months of the year, household spending continued to shrink by 4.8%, a slight improvement from the 7.3% contraction in the fourth quarter of 2020.

The Philippine economy contracted by a record 9.6% in 2020. In the first quarter, GDP shrank by 4.2%.

S&P said the sluggish rollout of COVID-19 vaccines will also weigh on the country’s growth prospects.

“The vaccination effort is picking up but remains slow. As such, a good chunk of the substantial base effects that we had expected to boost domestic demand growth have likely been diminished, leading us to revise our growth forecast down to 6.0% from 7.9%,” S&P said.

It also noted that impending rate hikes by the US Federal Reserve might spill over into financing costs for local companies, “further eating into the domestic demand recovery.”

The US Federal Reserve last week signaled it may raise interest rates as early as 2023.

The credit rater expects the Bangko Sentral ng Pilipinas (BSP) to start hiking interest rates next year by 25 basis points to 2.25%. The overnight reverse repurchase rate is gradually expected to continue increasing to 2.75% and to 3% by 2023 and 2024, respectively.

On the other hand, S&P said the recovery in exports might help support economic growth.

Merchandise exports in April surged by 72.1% to $5.71 billion, based on latest data from the Philippine Statistics Authority. It increased by 19% to $2.37 billion in the first four months of 2021 from a year earlier.

Meanwhile, S&P expects headline inflation to hit 4.5% this year, beyond the BSP’s 2-4% target, before easing to 2.2% by 2022.

“We expect Philippine inflation to fall in the second half of the year, with some key transitory factors easing by then. Inflation in the first half was driven by one-off increases in food prices, driven by a shortage in pork, as well as a low base in oil-related prices from last year,” S&P economist Vincent Conti said in an e-mail.

In May, S&P maintained its “BBB+” investment grade rating for the Philippines, citing expectations of a healthy economic recovery that is seen to help the country improve its fiscal standing that was affected by the pandemic. The stable outlook was kept, suggesting the rating will be unchanged for the next 18 to 24 months. — Luz Wendy T. Noble

PHL ranks 67^th on index measuring value-added of ‘elites’ to society

June 25, 2021 | 12:31 am

PHL-flag — PHILIPPINE STAR/ MICHAEL VARCAS

THE PHILIPPINES ranked 67^th out of 151 economies in a political economy index that measures the contribution of the so-called “elites” in wealth creation and the development of society.

The 2021 edition of the Elite Quality Index (EQx) by Singapore Management University (SMU), the Switzerland-based nonprofit organization Foundation for Value Creation (FVC), and the University of St. Gallen looks at the extent to which elites enable or hinder the economic and political growth of their respective societies by assessing whether their policies and business models create value (“high quality”) or extract it from the economy (“low quality”).

The study has 107 indicators, which in turn, is grouped into two subindices — power, which is the capacity to “enforce one’s preferences” and value, which looks at the outcome of productive activities.

The study defines elites as “narrow, coordinated” groups that run the largest income-generating business models in an economy and those which successfully accumulate wealth. They include “economic interest groups” as well as “decision-makers of the political arena.”

Among the nine Southeast Asian countries, the Philippines was sixth, ahead of Cambodia (73^rd overall), Laos (83^rd), and Myanmar (120^th). Singapore had the highest “elite quality” in the region, and the world.

The Philippines ranked relatively lower in the power subindex (81^st place). Compared with regional peers, the country was ahead of Laos (127^th), Myanmar (130^th), and Cambodia (136^th).

It ranked higher in the value subindex (62^nd), but was only ahead of Myanmar (107^th) in the region.

“The coordination capacity of elites develops and allocates society’s resources and human capital. However, not all elites use their coordination capacity to enlarge the economic pie available to the whole of society. Instead, some enlarge their own slice at the expense of growing the rest of the pie, exploiting the non-elites and leaving them with an unfair allocation,” the FVC said in the index’s Frequently Asked Questions portion on its website.

“In short, elites — on aggregate — in certain countries are better than elites in other countries, as measured by the extent to which they benefit and bring value to society at large,” it added.

In an e-mail, SMU sociologist Alwyn Lim said the Philippines’ elite quality is in the “middle band” of all the countries the index has ranked.

“While elite value creation in the Philippines is not exceptionally high, the elites there nevertheless still create more value for society compared with the ‘middle quality’ or ‘lagging elites’ for countries lower in the ranking,” said Mr. Lim, who is also one of the research partners in the study.

“In terms of the economy, there appears to be a high concentration of the country’s GDP (gross domestic product) in Filipino billionaires while it is also difficult for firms to enter the local market. On the other hand, the Philippines has done comparably well in the areas of collective bargaining, social mobility, and the gender wage gap,” he added.

The sociologist pointed out the country’s low power sub-index ranking, which indicates the country’s elites “have a higher potential for value extraction” as they have more political and economic influence compared with countries that have a higher power sub-index ranking.

“Despite this higher potential for value extraction, however, Filipino elites’ business models have managed to create a higher ranking on the economic value sub-index,” Mr. Lim said.

Moreover, Mr. Lim noted the Philippines’ low ranking on political corruption, press freedom, control of corruption and institutional quality.

“This is an area of concern as these indicators reflect what previous research has suggested about political patronage in the Philippines in the context of its market liberalization measures in recent decades,” he said.

In a separate e-mail interview, Ateneo de Manila University economist and associate professor Philip Arnold P. Tuaño said the results “fairly reflect” the behavior of the country’s economic elite.

“If we examine the level 3 pillars of the Index, the country ranks relatively high in terms of ‘giving income,’ ‘taking income’ and ‘unearned income,’ reflecting the fact that there is an extensive system of corporate philanthropy at least among big businesses, which the elite own… However, the country ranks lower in terms of economic value, including ‘producer value’ and ‘capital value’ which reflects also the fact that many of the businesses that the elites are in are in sectors that are less competitive (mainly in the services industry) and produce a lower level of value added…,” Mr. Tuaño said.

Mr. Tuaño also agreed with one of the assessments in the report, which stated that “higher quality” elites tend to perform better in protecting their countries from the coronavirus disease 2019 (COVID-19) pandemic.

“To some extent, this is true. The performance of the business elite and especially how they value public welfare also affects a country’s response to economic, social and health disasters like the COVID-19 pandemic. The fact that the business sector has contributed by providing food and other emergency assistance to many marginalized areas of the country, and also have asked government that they procure vaccines for their employees and contribute to the public pool of these vaccines show their regard in terms of the public good,” he said.

“But the continuing increase in COVID cases, especially outside of Metro Manila at present, also shows the weaknesses of the government’s response and the fact that the policy makers seem not to have a clear strategic response to the COVID-19 pandemic and a clear idea of what the role of the private sector is in this area,” he further noted.

Asked how the country can improve its ranking, the economist hopes the country’s elite would invest more in industries that would increase the economy’s competitive advantage.

“[T]his requires providing capital in terms of research and development, upscaling the level of technology in the country, and strengthening training and education systems,” Mr. Tuaño said.

“While many big businesses are already participating in the National Government’s infrastructure program, investments in the ‘soft’ areas of infrastructure are needed,” he added. — Nadine Mae A. Bo

Villar gears up for REIT, AllDay listings this year

June 25, 2021 | 12:10 am

PSE Trading Floor — COURTESY OF PHILIPPINE STOCK EXCHANGE, INC.

By Keren Concepcion G. Valmonte

THE Villar group is preparing for the initial public offering (IPO) of AllDay Marts, Inc. and the listing of its real estate investment trust (REIT) this year but details have yet to be decided, their owner said on Thursday.

“We’re launching two projects this year, the IPO of AllDay and the REIT,” Manuel B. Villar, Jr., chairman of Vista Land & Lifescapes, Inc., said in a media briefing on Thursday.

AllDay supermarket’s IPO will be scheduled as early as October but final details will be dependent on market conditions. The company aims to raise as much as P6 billion from offering primary shares.

Meanwhile, the planned REIT portfolio will feature office spaces, much like the offerings of Filinvest Land, Inc. and Megaworld Corp.

Proceeds from the REIT offering will be used for office expansions and for the company’s plan for a development consolidating AllHome, AllDay, and Coffee Project stores, Mr. Villar said.

AllHome, AllDay, and Coffee Project all performed well despite the pandemic, which is why the group is now considering a new project that would combine the three into one mall.

VIsta Land & Lifescapes shares at the stock market went up by 2.75% or 10 centavos to close at P3.73 each. Meanwhile, shares of listed AllHome Corp. rose by 0.13% to end at P7.82 apiece from P7.81.

Surge seen in Philippine data centers

June 25, 2021 | 12:09 am

By Jenina P. Ibañez, Reporter

THE Philippines is attracting expansive data center interest in anticipation of further e-commerce demand, business leaders said at a forum on Thursday.

The lockdowns declared in response to the coronavirus disease 2019 (COVID-19) pandemic has led to increased online shopping from consumers working from home. Representatives from technology and professional services firms said at the Asia CEO forum that they expect heightened demand to continue.

“Some companies now in the Philippines are in the process of building mega-data centers in Manila, in the Philippines — anticipating the surge in demand for data driven by increased e-commerce activities,” PwC Philippines Vice-Chairman and Assurance Managing Partner Roderick Danao said.

The Philippines, he said, is still lagging behind countries like Vietnam in terms of e-commerce value.

John Gonzales, vice-president and head for enterprise digital solutions at PLDT Enterprise, said that there are growth opportunities in the country given its consumer-centric economy.

“The good thing about where technology is today is it’s actually easy to access now primarily because we do have a lot more options,” he said. “There’s actually a lot of platforms already that are available, that will provide you that kind of digital services that a lot of these businesses require.”

Local consumers and business owners should become more aware of the accessibility of such technology, he added.

“We’re building mega-data centers primarily because a lot of these international platform providers are actually coming into the Philippines providing e-commerce solutions and other digital related solutions,” he said.

Various firms have recently announced plans to build data centers in the Philippines. Alibaba Cloud said it would start to build its first data center in the country by the end of this year, while Converge ICT Solutions, Inc. announced that it would construct a P1-billion data center in Cebu.

Steve Sy, founder and chief executive officer of Great Deals E-Commerce Corp., said that shopping through livestream and instant commerce will become the next trends in online selling.

“Delivery in less than an hour… that would be a major trend that will come up,” he said.

SEC approves IPOs of Tarlac power utility, Aklan hospital

June 25, 2021 | 12:08 am

THE Securities and Exchange Commission approved of the initial public offerings (IPO) of Tarlac Electric, Inc. and Asia Pacific Medical Center (APMC)–Aklan, Inc., both of which will be offered over the counter.

The registration statements of Tarlac Electric, which covers 5.75 million common shares, and of AMPC-Aklan with 240,000 common shares, have been rendered effective by the commission en banc on June 24.

Tarlac Electric will offer 1.75 million common shares priced at P380 each over the counter.

It expects to net P642.52 million from the IPO. Proceeds will be used to pay for short-term loans, finance its capital expenditure projects, and for its general working capital.

These shares will not be traded at the local bourse.

Tarlac Electric’s offer is made available to comply with Republic Act No. 10795 or the electricity provider’s franchise, requiring the company to offer to the public 30% of its outstanding shares.

The offer must be made on or before the fifth year since it started its operations. Its offering is also being done pursuant to Republic Act No. 9136, or the Electric Power Industry Reform Act.

For the IPO, the company assigned Penta Capital and Investment Corp. as the sole underwriter.

AMPC-AKLAN
Meanwhile, AMPC-Aklan will be offering 35,420 shares equivalent to 3,600 blocks or 10 shares per block. Its offer price will range between P250,000 to P350,000 per block.

The shares will also be traded over the counter, with medical specialists and their relatives as the company’s target market.

AMPC-Aklan expects to net P983.03 million from the offer, which will be used to construct a seven-story hospital.

Aside from earning dividends, medical specialists who will subscribe to the shares will qualify them to practice at the hospital, subject to pre-qualification procedures.

The company is currently building a P1.3-billion, 216-bed health care facility, which will feature doctors’ or dentists’ clinics, an office area for the health maintenance organization, an administration office, parking lots, a commercial area and waiting areas for patients.

The hospital project is expected to be completed by the second quarter of 2023. — Keren Concepcion G. Valmonte

Delivery of MRT-7 train cars expected this year

June 25, 2021 | 12:07 am

By Arjay L. Balinbin, Senior Reporter

THE train cars for the Metro Rail Transit Line-7 project have been completed and may start arriving in the Philippines this year, San Miguel Holdings Corp. said on Thursday.

“We are happy to report that all the required 108 cars for the MRT-7 project have already been manufactured. Shipping will start after the factory acceptance test of these cars,” San Miguel Holdings Chief Finance Officer Raoul Eduardo C. Romulo said at an online forum organized by the Joint Foreign Chambers of the Philippines.

Mr. Romulo said the conduct of a factory acceptance test has been “greatly affected” by the travel restrictions caused by the global health crisis.

“However, if everything goes according to plan, we expect some of the rolling stock of the MRT-7 to arrive in the country this year,” he added.

San Miguel bought the trains from South Korea Hyundai Rotem, with the national rail manufacturer, Korea Railroad Corp., as its adviser.

The MRT-7 — a flagship project that is being implemented by SMC Mass Rail Transit 7, Inc. — involves the financing, design, construction, testing, commissioning, and operations and maintenance of an integrated transport system that aims to reduce travel time from Bulacan to Metro Manila.

The P63-billion project has three major components: a 24.7-kilometer mass rail transit system from North Avenue, Quezon City to San Jose del Monte, Bulacan, which is composed of 14 stations; an intermodal transportation terminal that will serve as a transportation hub catering to other types of public transportation; and a 19-kilometer highway from San Jose del Monte to Bocaue, Bulacan.

It is expected to accommodate up to 850,000 passengers daily and cut travel time between Quezon City and Bulacan from four hours to 34 minutes.

“As of April 2021, the MRT-7 project is halfway finished, with a total completion rate of 54.87%,” Mr. Romulo said.

“Our target at the moment is to be able to operate by December 2022. This, however, is subject to several constraints. Foremost of which is the right-of-way delivery,” he added.

Private aviation firm Yugo pursuing growth in PHL

June 25, 2021 | 12:06 am

Gulfstream-G200-Yugo — Gulfstream G200 Yugo

PRIVATE aviation company Yugo announced on Wednesday the expansion of its destinations in the Philippines, saying it increased its customers in the country in less than a year.

“Currently, Yugo has been expanding in the Philippines and has been growing its local Filipino customers in less than a year amid the ongoing health crisis,” the company said in an e-mailed statement.

Yugo Private Aviation provides private flights by helicopters and business jets through its air mobility platform.

The company said Yugo is the first air mobility platform that connects Southeast Asia to the whole of Asia-Pacific.

“With only a few clicks and based on their preferences, users are able to request or search flight of private jets and helicopters from a curated inventory of available flights and routes,” it noted.

It currently serves 150 destinations in Asia with over 50 aircraft from Gulfstream, Bombardier, Cessna Textron Aviation, and Dassault Aviation, among others.

“The jets and helicopters are selected for the comfort and privacy of Filipino and Asian passengers from Dubai to Boracay, Cebu to Bali, Davao to Shanghai, El Nido to Johor Bahru, and Tuguegarao to Subic who are traveling for business or leisure,” Yugo said.

Yugo Chief Executive Officer Jim Baldy said the global health crisis has “greatly tested” the resilience of the company.

“We have adjusted our value proposition as well as our hospitality and butler services to best serve our customers in the most flexible, safe and secured way possible. And with all the obstacles and difficulties we faced due to the pandemic, we had to find ways to innovate and move forward through 2020 and 2021,” Mr. Baldy explained.

According to the company, some of the most popular services among its Filipino customers are on-demand helicopter flights, helicopter tours, airport transfers, transfers to private islands, cross-border medical flights, in-country emergency evacuations, and cross-border business jets flights.

“Our mission is to provide the possibility for our customers to fly private anywhere, anytime, by helicopters or private jets,” Yugo Commercial Operations Manager Camille Ngo said. “We are evolving together with the industry towards a more sustainable approach to improve aviation as a whole, taking into account environmental aspects and societal responsibility.” — Arjay L. Balinbin

Diverse Filipino stories told at Italian film fest

June 25, 2021 | 12:06 am

1 of 3

STORIES about a fan meeting her idol, a young man turning to prostitution to make ends meet, and a tribesman who starts school at 40 will be told in Italy’s Far East Film Festival (FEFF) in Udine from June 24 to July 2. The hybrid festival, which will have both in-person and online showings, will also show a selection of Eddie Garcia films.

The FEFF is the largest festival in Europe specializing in Asian Cinema and is a contributor to the commercial distribution of Asian films across European and Italian markets.

For its 23^rd edition this year, the Competition section features the award-winning film Fan Girl directed by Antoinette Jadaone, which will have its international festival and online worldwide premiere, while multi-awarded director Joel Lamangan’s Anak Ng Macho Dancer will have its Italian and online worldwide premiere.

Fan Girl follows an obsessed teenage fan of actor Paulo Avelino who unexpectedly gets to spend the night with him.

Anak ng Macho Dancer revolves around Inno who resorts to prostitution during the pandemic and tries to get away from the cruelty of his drug addicted father.

Meanwhile, Grace Simbulan’s documentary, A is for Agustin, will be part of the Out of Competition section and will have its European and online worldwide premiere. The documentary tells the story of 40-year-old tribesman Agustin who never had the opportunity to learn to read or write. Upon learning that his boss has been cheating him out of his wages, Agustin returns to the province and begins his education in Grade 1.

With the inclusion of the documentary in the film festival, Ms. Simbulan hopes that it creates more conversations around the topic of access to education.

“I hope that it lands on our policy-makers… I hope that it could push more policies for better education specially for the indigenous people,” Ms. Simbulan said during an online press conference on June 21 via Zoom.

In honor of the late television and film actor Eddie Garcia, the special tribute “Eddie Garcia: Life as a Film Epic” under the Retrospective section presents four feature films and one short film.

The restored version of Ishmael Bernal’s debut film Pagdating sa Dulo and Jun Robles Lana’s Bwakaw will both have their Italian premieres, online worldwide, and offline screenings. Joel Lamangan’s Rainbow’s Sunset, Raymond Red’s Cannes Palme d’Or for Short Film recipient Anino, and Sinasamba Kita by Eddie Garcia will have their Italian and online only worldwide premiere.

“We decided to go for the movies that could underline [Eddie Garcia]’s big talent,” FEFF festival director Sabrina Baracetti said. “In this way, we wanted to give a clear idea of what he did in his career.”

Ms. Baracetti had met the late actor at a Manila film festival.

The festival has been a platform for more Filipino filmmakers to be exposed on a global platform.

“We have a mission to try to promote as much as we could, a lot of movie history in many different countries in Asia,” Ms. Baracetti said.

The 23^rd FEFF, organized by Centro Espressioni Cinematografiche, will screen 63 films from South Korea, China, Hong Kong, Japan, Malaysia, Taiwan, Thailand, Indonesia, Macau, Myanmar, and the Philippines.

For more information on the participating films in the FEFF, visit https://www.mymovies.it/ondemand/23feff/. — Michelle Anne P. Soliman

Chowking to offer Taiwan’s Milkshop bubble tea

June 25, 2021 | 12:05 am

JOLLIBEE Foods Corp. (JFC) and its subsidiaries have entered into a licensing deal with Milkshop International Co., Ltd. to sell in local stores popular Taiwanese bubble tea brand Milkshop or Milksha.

“We are thrilled to bring Milksha to Filipino consumers through the stores of our brands in the Philippines,” Tony Tan Caktiong, founder and chairman of JFC, said in a statement on Thursday.

The license agreement will give exclusive rights to JFC, Fresh N’ Famous Foods, Inc., and Mang Inasal Philippines, Inc. to sell and market Milkshop products. However, the brand will be offered first in Chowking stores.

Milksha, also known as Milkshop in Taiwan, first set up shop in Tainan in 2004. It now has over 260 outlets, 235 of which are in Taiwan while 34 others are in Singapore, Australia, China, Canada, and Japan.

The Suntec City Singapore flagship is the brand’s first outlet in Southeast Asia, which opened in 2019.

Milkshop Founder and Chairman Kevin Lin said his team is “proud” to be working with JFC to bring the milktea brand to the Philippines.

“We admire JFC’s passionate commitment to delivering great tasting food at great value for money,” Mr. Lin said.

JFC as of the end of May is operating 3,209 restaurant outlets in the country, under the following brands: Jollibee, Chowking, Greenwich, Red Ribbon, Mang Inasal, Burger King, PHO24, Panda Express.

Overseas, it operates 2,606 stores, which include Yonghe King, Hong Zhuang Yuan, Dunkin’ Donuts, Tim Ho Wan, Jollibee, Red Ribbon, Chowking, Highlands Coffee, PHO24, Hard Rock Cafe, Smashburger, and the Coffee Bean and Tea Leaf.

The company’s global store network stands at 5,815 stores.

On Thursday, shares of Jollibee at the local bourse went up by 0.19% or 40 centavos to close at P210.80 each. — Keren Concepcion G. Valmonte

BIR lists transactions qualified for tax perks under FIST Act

June 25, 2021 | 12:05 am

BIR-taxpayers-041619 — PHILIPPINE STAR/KRIZ JOHN ROSALES

THE BUREAU of Internal Revenue (BIR) has identified the kinds of transactions that will be eligible for tax perks under the Financial Institutions Strategic Transfer (FIST) Act.

The BIR issued Revenue Regulations No. 11-2021 on Thursday to implement the tax exemption and incentive provisions under Republic Act No. 11523 or the FIST Act. The law allows banks to offload their bad loans, which have climbed due to the coronavirus pandemic’s impact on the economy.

The law, which was signed on Feb. 16, exempts certain transactions from documentary stamp tax (DST), capital gains tax, value-added tax (VAT), and creditable withholding income taxes, whichever is applicable.

The BIR issuance said transactions entitled to tax perks are: the transfer of nonperforming loan (NPL) and real and other properties acquired (ROPA) by the bank to a FIST corporation (FISTC), and selling these acquired assets by FISTC to an individual or a third party.

Dation in payment of an NPL to either a bank a FISTC, where the borrower or a third-party offers another mode of payment to settle the loan, is also exempted from taxes. The individual transferring the NPL or ROPA to a third-party likewise does not have to pay taxes.

Meanwhile, FISTCs that will acquire the soured assets transferred by banks and other financial institutions are also entitled to additional tax exemptions.

FISTCs do not have to pay DST as well as income tax on net interest income they earn from the new loans they acquired as authorized by the law from Feb. 18, 2021 to Feb. 18, 2023.

Documents used to prove a FISTC’s capital infusion to the business of the borrower whose bad loans it acquired will also be exempt from DST.

These additional tax perks will be valid for five years upon the acquisition of the NPLs.

“A FISTC claiming any of the tax exemptions and privileges under the act on other transactions shall upon request provide the appropriate COE (certificate of eligibility) to the Commissioner of the BIR or his duly authorized representative for purposes of examining any taxpayer and the assessment of the correct amount of tax. This is in addition to such other documentary requirements,” the bureau said.

The BIR warned that taxpayers that availed of the tax perks when they are not eligible will have to pay back the government twice as much as the amount of their tax savings plus a 12% interest rate annually until the amount is fully settled. — B.M. Laforga