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EV stakeholders told to brace for impact of ‘One Big Beautiful Bill’

A PHOTO of an agenda with the words “One Big Beautiful Bill Act” printed in Washington, DC, May 21, 2025. — REUTERS

By Justine Irish D. Tabile, Reporter

THE DEPARTMENT of Trade and Industry (DTI) on Wednesday warned that the Trump administration’s “One Big Beautiful Bill (BBB) Act” may have a negative impact on Philippine enterprises involved in electric vehicle manufacturing and supply-chain operations.

The US Senate on Tuesday approved the massive tax cut and spending bill by the narrowest of margins, advancing a package that would slash taxes, reduce social safety net programs and boost military and immigration enforcement spending while adding $3.3 trillion to the national debt. (Related story: “Trump risks voter blowback as ‘One Big Beautiful Bill’ advances”)

The legislation now heads to the House of Representatives for possible final approval. US President Donald J. Trump has said he wants to sign it into law by the July 4 Independence Day holiday.

“Noting that the Philippines is part of the electric vehicle (EV) supply chain, the BBB’s proposed changes may have an effect on the demand for the country’s green metals that feed into the EV supply chain in the US,” DTI said.

The US measure includes provisions terminating federal tax credits for new and used electric vehicles and restricting the eligibility for clean vehicle tax incentives.

“The DTI advises all relevant industries and stakeholders — particularly those involved in EV manufacturing, supply-chain operations, and financial services — to consider conducting an early assessment of potential impacts and prepare appropriate risk mitigation strategies,” it added.

The DTI cited Section 112002 of the House-approved version of the bill, which will terminate the tax credit of up to $7,500 that US taxpayers can claim for electric vans, sport utility vehicles, and pickup trucks with a manufacturer’s suggested retail price of $80,000.

“The tax credit is set to expire on Dec. 31, 2032. However, if BBB is passed, the incentive will be terminated by Dec. 31. Further, only manufacturers that have not sold 200,000 units of new clean vehicles can qualify for the tax credit,” it added.

The BBB will also remove the tax credit of up to $7,500 that can be claimed for clean commercial vehicles that were placed in service within the year.

Under Section 112003 of the BBB, the incentive will expire this year, with only clean commercial vehicles ordered or purchased before the expiration eligible for the credit.

Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said the proposed removal of the incentives on EVs could impact global supply chains.

“This could slow down sales and demand for EVs in the US and would have an adverse impact on global supply chains, including those in the Philippines, which are suppliers or exporters of parts and components for these EVs,” he said in a Viber message.

However, he said that the law could also “lead to some increase in demand for internal combustion engine vehicles.”

“That could benefit supply chains worldwide, including suppliers from the Philippines,” he added.

Meanwhile, Philippine Institute for Development Studies Senior Research Fellow John Paolo R. Rivera said the proposed BBB Act may “have indirect but strategic implications” for the Philippines.

“As the US aims to reduce reliance on China and secure its biotech supply chains, it could redirect investments and sourcing to allied countries like the Philippines through friendshoring strategies,” he said in a Viber message.

“Key Philippine sectors that may benefit include electronics, information technology-enabled services, pharma support services  and chemical manufacturing,” he added.

However, he said the country should strengthen its value chain, regulatory standards and investment incentives to take advantage of opportunities.

“On the flip side, if the act leads to tighter tech and intellectual property controls, it could also limit Philippine firms’ access to certain US-led biotech partnerships or funding,” he said.

“Policy readiness, talent development, and deeper US-Philippines economic cooperation will be critical to maximize gains,” he added. — with Reuters

Del Monte Pacific’s US subsidiary files for bankruptcy, seeks buyers

Bugo cannery workers in Cagayan de Oro — DELMONTEPACIFIC.COM

By Revin Mikhael D. Ochave, Reporter

CAMPOS-LED Del Monte Pacific Ltd. (DMPL) said its United States subsidiary Del Monte Foods Holdings Ltd. (DMFHL) has filed for Chapter 11 bankruptcy and is seeking buyers for its assets.

DMFHL and certain subsidiaries began voluntary Chapter 11 proceedings in the bankruptcy court for the District of New Jersey on July 1, granting access to $912.5 million in financing to support their operations, DMPL said in a local regulatory filing on Wednesday.

DMFHL’s board will also pursue a sale of “all or substantially all” of the assets of the company and certain subsidiaries as part of the Chapter 11 proceedings.

On May 5, a special shareholder group formed by certain lenders of DMFHL appointed a majority of directors to the boards of DMFHL and its subsidiaries following a litigation settlement. The lenders also secured 25% of DMPL’s equity in DMFHL.

“The newly constituted board of DMFHL has determined to pursue a value-maximizing sale process. The company has been advised that DMFHL has entered into a restructuring support agreement (RSA) with a group of its term lenders holding certain of DMFHL’s secured debt,” DMPL said.

“The RSA contemplates a sale of all or substantially all of the assets of DMFHL and certain of its subsidiaries, among other strategic transactions to be implemented through Chapter 11 proceedings in the US,” it added.

Chapter 11 is a US legal process for a company’s financial and operational restructuring. It allows the debtor to formulate a plan to address existing liabilities and related obligations, during which creditor debt collection efforts are generally halted by a moratorium for the duration of the proceedings.

DMFHL’s subsidiaries outside the US are not included in the Chapter 11 proceedings and continue their operations.

“The company has been advised that this filing is part of DMFHL’s overall strategic plan aimed at maximizing value for its business operations and those of its subsidiaries,” DMPL said.

“Throughout this process, DMFHL and its operating subsidiary, Del Monte Foods Corp. II Inc. (DMFC), will continue normal business operations,” it added.

In a separate disclosure, DMPL said it is also studying the effect of deconsolidating DMFHL from the group.

“The company is in the process of assessing the financial impact that its deconsolidation of DMFHL might have on the DMPL Group. Updates on such financial implications will be provided in due course,” DMPL said.

As of end-January, DMPL’s net investment value in DMFHL was $579 million, while DMPL and its affiliates have $169 million in net receivables from DMFHL and its subsidiaries.

“The value to be impaired will be determined after the audit. Updates on the financial impacts will be provided in due course,” DMPL said.

DMPL said its Asian and international businesses, led by subsidiary Del Monte Philippines Inc. (DMPI), continue to perform well with resilient consumer demand, supported by a strong and stable supply chain.

“The company is confident in its ability to maintain uninterrupted business operations going forward,” DMPL said.

AP Securities, Inc. Research Head Alfred Benjamin R. Garcia said in a Viber message that it is still possible for DMPL to meet its goal of financial recovery for fiscal years (FY) 2026 and 2027 amid the bankruptcy filing of its US business.

“It’s possible. The US business has long been a drag on DMPL, while their Philippine business has been doing quite well by comparison. For sure we’ll see a huge impairment loss for DMPL once the audit is finalized, but this still depends on how much they will get for their stake in the company after the creditors take their share,” he said.

“DMFHL has been losing money since before DMPL acquired it in 2014, and DMPL has largely failed to turn it around since. They acquired it for $1.675 billion in 2014 and, based on their filing, the investment is now worth only $579 million,” he added.

Unicapital Securities, Inc. Research Head Wendy B. Estacio-Cruz said in a Viber message that the possible deconsolidation of DMPL’s US business could reshape the company’s financial outlook.

“While it removes a major revenue stream, it may also remove a segment that’s been consistently dragging down overall performance, potentially improving the profitability of the remaining core businesses in Asia,” she said.

“If executed well, this move could accelerate DMPL’s path to profitability by FY26–27. However, near-term risks remain due to restructuring uncertainties,” she added.

For the third quarter of its fiscal year ending April, DMPL said its net loss widened by 24% to $35.9 million as DMFC’s net loss increased to $40.5 million during the period due to higher costs and increased interest expenses.

DMPL shares rose by 0.63% or two centavos to P3.17 per share on Wednesday.

Petron completes P32-B retail bond sale

PETRON.COM

LISTED oil giant Petron Corp. said on Wednesday that it has completed the offering of up to P32 billion worth of fixed-rate retail bonds.

The offering consists of up to P25 billion in retail bonds, with an oversubscription option of up to P7 billion, Petron said in a stock exchange disclosure.

The retail bonds will be drawn from the bond shelf registration, which was rendered effective by the Securities and Exchange Commission and remains valid until September this year.

The bonds were offered from June 24 to 30 and are set to be issued by July 7, or “such other date as the issuer and the joint lead underwriters and joint bookrunners may agree in writing.”

The bonds will also be listed on the Philippine Dealing & Exchange Corp.

PNB Capital and Investment Corp. acted as the sole issue manager for the offer, while Bank of Commerce, BDO Capital & Investment Corp., China Bank Capital Corp., First Metro Investment Corp., Land Bank of the Philippines, Philippine Commercial Capital, Inc., and PNB Capital and Investment served as joint lead underwriters and joint bookrunners.

Proceeds from the issuance were allocated for the repayment of Series D Bonds and Series E Bonds, both maturing in October this year; repayment of existing debt; repayment of short-term loans used to fund working capital requirements; and general corporate purposes.

In 2021, the oil refiner raised about P18 billion from the first tranche of its P50-billion shelf registration.

Amid market challenges and uncertainties, Petron reported a 2% increase in its net income to P4.03 billion for the third quarter from P3.95 billion in the same period last year.

“We continue to operate in a volatile and unpredictable market. As we navigate through these setbacks, we remain committed to enhancing our efficiency and strengthening our performance to sustain our market leadership and further our role as a nation-builder,” said Petron President and Chief Executive Officer Ramon S. Ang.

Petron emerged as the leading oil industry player with a market share of 24.9% as of June 2024, data from the Department of Energy showed.

The company has a combined refining capacity of nearly 270,000 barrels a day. It operates about 50 terminals in the region and has around 2,700 service stations where it sells gasoline and diesel. — Sheldeen Joy Talavera

Discovery Hospitality adopts digital strategy to stay competitive

DHC Senior Vice-President and Head of Sales and Operations Lynette Q. Ermac — DISCOVERY HOSPITALITY CORP.

By Beatriz Marie D. Cruz, Reporter

DISCOVERY HOSPITALITY CORP. (DHC) said it is boosting its use of digital tools while continuing to offer its signature Filipino-style service amid global travel challenges.

“Part of future-proofing our business is investment in business intelligence. That will give us leverage in understanding the market and the trends that are happening,” DHC Senior Vice-President and Head of Sales and Operations Lynette Q. Ermac said in an interview with BusinessWorld.

“We invest in programs that allow us to personalize — to get to know our guests better, to reach out to them, and to create personalized messages based on guest history,” she said.

Ms. Ermac added that the company has been using artificial intelligence to identify optimal pricing for accommodations.

“It’s not enough that we have a fixed price,” she said. “We have to know what’s going on with our competitor, with the world, and know how we optimize our sales conversion through revenue management.”

Launched in 2011 as The Discovery Leisure Company, Inc., DHC sought to bring Filipino hospitality across its homegrown portfolio of hotels and resorts nationwide.

As the property management arm of listed hotel and resort developer Discovery World Corp. (DWC), DHC manages several brands: Discovery Resorts, Discovery Suites, Discovery Primea, Kip&Kin, and the Manami Resort under its Signature Collection.

Ms. Ermac noted that geopolitical shocks caused by overseas wars, as well as the growing preference for other Asian destinations such as Japan and Korea, have impacted bookings.

“Definitely, in terms of the number of guests, the size of the pie has gotten smaller,” she said.

The Philippines welcomed about 2.1 million tourists as of end-April, according to data from the Department of Tourism. However, this remains significantly lower by 26% compared to pre-pandemic arrivals.

The company also emphasized the need to be agile in its distribution strategies to reach more customers both locally and internationally, Ms. Ermac said.

“We have to be present globally and identify new markets. We have to start marketing in Singapore, Hong Kong, to attract those new markets that would decide to stay with us,” she noted.

DHC has also expanded its bookings via online travel agencies to appeal to international travelers, especially millennials and Generation Z.

‘DEEPLY FILIPINO SERVICE’
DHC’s philosophy of providing “Service That’s All Heart” has driven the company to maintain its hyper-personalized and experiential services amid external shifts, according to Ms. Ermac.

“A service that’s from the heart transcends any trends, any new digital developments,” she said. “Because it is about how our guests want to be seen and felt.”

Ms. Ermac likened DHC’s signature management style to visiting a Filipino household.

“You will know that you’re visiting a Filipino home because they bring out the best towels, the best food,” Ms. Ermac said.

“They would even ask you, ‘What’s your favorite food?’ And they will cook that for you,” she added.

Amid the high cost of living and stagnant wages, Ms. Ermac noted that many travelers are still willing to pay for a premium hotel experience.

“We have guests, both global and local, who would still and would continue to pay premium for service,” she said. “As far as Discovery Hospitality is concerned, we will continue to be that place which the premium pricing market would choose.”

Likewise, DHC’s mid-range brand Kip&Kin, which has pipeline projects in Palawan and Siargao, targets cost-conscious travelers, she said.

Ms. Ermac, who began her career as a hotelier for another local brand, said working for a homegrown company provides a different kind of fulfillment.

This also means that a local firm like DHC is able to create promotions and packages without being constrained by the guidelines of a foreign entity, she added.

“In general, the trends may be changing, but we will always root our future service on who we are as a Filipino brand,” Ms. Ermac said.

“But we will be cognizant of the global shifts in terms of digitalization and also towards the needs and wants of our guests.”

DigiPlus sets September launch for Brazil operations

DIGIPLUS.COM.PH

LISTED digital entertainment company DigiPlus Interactive Corp. is set to launch its operations in Brazil this September as the company eyes international growth.

DigiPlus Brazil will introduce a fresh lineup of livestreamed games, slots, table games, and exclusive self-developed digital entertainment content, which will be delivered through its technology infrastructure strengthened by its migration to Amazon Web Services, the company said in an e-mail statement on Wednesday.

“We are excited to bring world-class entertainment to new markets, bringing the strengths and expertise that we have established in the Philippines,” DigiPlus Chairman Eusebio H. Tanco said.

“Our entry into Brazil is part of our strategic expansion program to usher DigiPlus’ next phase of growth,” he added.

DigiPlus is the provider of platforms such as BingoPlus, ArenaPlus, and GameZone, widely known for interactive gaming and sports entertainment.

The company said it already has a dedicated local team in place, ensuring that DigiPlus Brazil delivers popular global games as well as high-quality local experiences and responsible gaming.

In March, the company tapped industry specialist Graham Tidey as country manager for its Brazil operations.

Citing a report by LCA Economic Consulting, DigiPlus said that Brazil has an estimated market size of $4.6 billion for iGaming, making it one of Latin America’s fastest-growing gaming markets. Brazil has a population of over 200 million and an internet penetration rate of nearly 90%.

In 2024, the Brazilian government approved regulations for both online betting and gaming, providing clear guidelines for licensed operators, consumer protections, and fair taxation, allowing the entry of international players such as DigiPlus.

“This milestone is part of DigiPlus’ strategy to expand its market leadership beyond Southeast Asia by combining secure technology, highly immersive games, and an unwavering commitment to safe, fair, and responsible digital entertainment,” DigiPlus said.

DigiPlus shares dropped by 10% or P5 to P45 per share on Wednesday. — Revin Mikhael D. Ochave

AboitizPower unit eyes operations of P18.6-B solar project by 2029

STOCK PHOTO | Image by Michael Pointner from Unsplash

NORTHERN SUN POWER, Inc. (NSPI), a subsidiary of Aboitiz Power Corp. (AboitizPower), is eyeing the development of an P18.6-billion solar power project in Currimao, Ilocos Norte, which is targeted for commercial operations by the first quarter of 2029.

The Currimao Solar Power Project is expected to generate 351.436 megawatts of direct current electricity and will be equipped with a 337.8 megawatt-hour battery energy storage system, NSPI said in a document submitted to the Department of Environment and Natural Resources.

“The proposed solar power project is fully aligned with the Philippines’ renewable energy transition, directly supporting the national shift toward cleaner, more sustainable energy sources,” the company said.

Spanning a total area of 244.0723 hectares, the project will straddle two towns in the province.

Construction of the project is scheduled to commence in the second quarter of 2027 and will be energized by the third quarter of 2028.

“The Proponent (NSPI) is deeply committed to advancing the country’s renewable energy goals, ensuring that the project is fully integrated with the Philippine Energy Plan and national development strategies,” the company said.

AboitizPower is the Aboitiz Group’s investment arm for power generation, distribution, and retail electricity, as well as related energy solutions.

To date, the company has a power generation portfolio of 5 gigawatts (GW), of which 1.8 GW are renewables.

The company is targeting an expansion of its total attributable net sellable capacity to 9.2 GW by 2030, with a 50:50 balance between renewable and thermal energy sources.

For 2025, AboitizPower has earmarked P78.1 billion in capital expenditures, with 66% allocated to its renewable energy initiatives.

Among the other solar projects in the company’s pipeline are the 212-megawatt-peak (MWp) Olongapo Solar Power Project in Zambales and the 89-MWp San Manuel Solar Project in Pangasinan. — Sheldeen Joy Talavera

Stable. Strong. Strategic.

BSP’s role in building a more inclusive, resilient Philippine economy

Amid global headwinds and domestic pressures, the Bangko Sentral ng Pilipinas (BSP) continues to reaffirm its role as one of the country’s most trusted institutions.

In 2024 and 2025, the BSP launched bold reforms that made the Philippine economy more resilient, more digital, and more inclusive.

Navigating with precision

Monetary policy was calibrated to ease from a peak of 6.5% in October 2023 to 5.25% by June 2025. This timely easing helps stimulate business activity and consumer confidence while keeping inflation in check.

The country’s gross international reserves (GIR) stood at US$105.46 billion as of May 2025, providing an ample buffer to cover the country’s import and external debt service requirements.

A banking system that delivers

The Philippine banking system continued to expand. As of April 2025, the total resources of the banking sector reached ₱26.9 trillion, reflecting a 5.5% year-on-year growth. During the same period, total loans rose to P15.3 trillion, marking a 10% growth, while total deposits reached ₱19.8 trillion, with a 4% growth.

Lowering the reserve requirement ratio helped ease financial market distortions and support credit expansion. Financial inclusion surged, with deposit accounts topping over 150 million, up 19% year-on-year as of March 2025. Digital bank deposits jumped 33 percent, while rural and cooperative bank deposits posted 19% growth.

Digitalization that works

Digital innovation lies at the core of the BSP’s transformation agenda. From pioneering cashless transport to securing digital wallets, the BSP is building the rails for a frictionless and resilient financial system.

Digital payments surged from just 1% of retail transactions in 2013 to 52.8% in 2023, thanks to deliberate policy and regulatory reform. More Filipinos now rely on digital platforms for bills, salaries, remittances, and everyday spending.

PESONet transfers now clear higher-value transfers more quickly, complementing InstaPay’s real-time services for lower-value transactions. Bills Pay PH, an interoperable bill payment platform, simplifies paying bills across institutions.

Through the Nexus Project, the BSP is helping build the ASEAN region’s first cross-border real-time payment network. Soon, Overseas Filipino Workers could send money home in 60 seconds, straight to any local account—via apps already in their hands.

Currency that is smarter and greener

In December 2024, the BSP introduced the First Philippine Polymer Banknote Series. The notes are smarter, cleaner, and stronger. Designed to resist counterfeiting and withstand everyday wear, they offer both durability and savings on replacement costs.

Goodbye, grey list

Another milestone came with the Philippines’ exit from the Financial Action Task Force grey list. The BSP played a key role in a coordinated national effort that restored global trust in the country’s anti-money laundering and counter-terrorism financing framework.

No one left behind

The BSP’s push for inclusive finance took root in real places—public markets, transport hubs, and fishing villages. Paleng-QR Ph Plus was rolled out to 178 LGUs, raising account openings from just 5,500 in July 2022 to over 182,000 in Q4 2024. Today, 26.2 million Filipinos, many of whom were previously unbanked, now hold basic deposit accounts.

Financial literacy initiatives like Fish N’ Learn, KITA Mo Na!, and the Youth Financial Inclusion Initiative are empowering citizens to take charge of their financial future.

Small businesses were not left behind. Lending to micro, small, and medium enterprises (MSMEs) rose by 11% to P545.2 billion in Q4 2024. The BSP waived burdensome loan documents for microenterprises and startups and rolled out a simplified loan application form.

At 32, the Bangko Sentral ng Pilipinas is advancing, evolving, and anchoring the nation’s financial future with agility, integrity, and credibility.

Term deposit yields go down on BSP cut bets

BW FILE PHOTO

TERM DEPOSIT YIELDS dropped further on Wednesday as the offer fetched strong demand and amid bets that the Bangko Sentral ng Pilipinas (BSP) will continue its easing cycle as June inflation likely remained within target despite a likely uptick due to the Middle East conflict.

Total bids for the central bank’s term deposit facility (TDF) reached P211.651 billion, well above the P130 billion placed on the auction block and the P112.339 billion in tenders seen last week for a P100-billion offer. The central bank fully awarded its term deposit offering.

Broken down, tenders for the seven-day term deposits stood at P117.092 billion, almost double the P60 billion placed on the auction block and higher than the P65.808 billion in bids seen last week for a P50-billion offer. The BSP made a full P60-billion award of the one-week tenor.

Banks asked for yields ranging from 5.2% to 5.295%, narrower than the 5.1% to 5.385% margin seen last week. This caused the average rate of the one-week term deposits to go down by 2.53 basis points (bps) to 5.276% from 5.3013% a week ago.

Meanwhile, the 14-day papers attracted bids worth P94.559 billion, above the P70 billion auctioned off by the BSP and the P46.531 billion in tenders fetched for the P50 billion on offer last week. The central bank fully awarded P70 billion worth of the two-week tenor.

Accepted rates were from 5.2% to 5.39%, lower and tighter than the 5.25% to 5.53% range recorded a week ago. As a result, the average yield of the 14-day deposits went down by 6.93 bps to 5.3424% from the 5.4117% fetched last week.

The BSP has not auctioned off 28-day term deposits for nearly five years to give way to its weekly offerings of securities with the same tenor.

The TDF and BSP bills are used by the central bank to mop up excess liquidity in the financial system and to better guide market yields closer to the policy rate.

“The BSP TDF average auction yields again declined amid the continuing effects of the latest 25-bp BSP rate cut on June 19 and signals of another 25-bp cut for the rest of 2025,” Rizal Commercial Banking Corp. Chief Economist Michael L. Ricafort said in a Viber message.

Mr. Ricafort noted that the TDF average rates seen on Wednesday are now closer to the 5.25% policy rate.

The BSP last month slashed the target reverse repurchase rate by 25 bps to 5.25%. The Monetary Board has reduced borrowing costs by a cumulative 125 bps since it kicked off its easing cycle in August last year.

BSP Governor Eli M. Remolona, Jr. said they could deliver another 25-bp cut this year. The Monetary Board’s remaining policy meetings this year are scheduled for Aug. 28, Oct. 9, and Dec. 11.

Further rate cuts are likely to be supported by the continued decline in global oil prices after Iran and Israel agreed to a ceasefire last month, Mr. Ricafort said, with domestic inflation expected to remain benign despite an expected uptick in June.

A BusinessWorld poll of 17 analysts yielded a median estimate of 1.5% for the June consumer price index, up from 1.3% in May but still below the BSP’s 2-4% annual target. This would also be slower than the 3.7% print in June 2024 and is within the BSP’s June forecast of 1.1% to 1.9%. — A.M.C. Sy

Unified IT asset management platforms may help PHL organizations cut costs

IBM FACEBOOK PAGE

INTERNATIONAL Business Machines Corp. (IBM) is optimistic on the growth of artificial intelligence (AI)-driven asset management solutions in the Philippines as companies look for cost-effective ways to track their information technology (IT) assets throughout their lifecycle.

“The objective is to reduce the total cost of ownership, and that aligns with our single platform effort where we try to provide maximum benefits using the same application across different asset classes,” Neeraj Gupta, principal asset management sales leader at IBM Technology, Asia Pacific, said in a briefing on June 26.

“It also aligns with the overall goal of the organization to reduce their carbon footprint, so we manage and maintain emissions.”

Many industries find it challenging to manage varied asset classes amid technological advancements, the company said.

IT asset management can also be affected by unexpected downtimes and integration and compatibility issues, it added.

One of IBM’s key products, the IBM Maximo Application Suite, is a unified platform that streamlines the maintenance, inspection and reliability of companies’ critical equipment and infrastructure by leveraging generative AI, advanced analytics and the Internet of Things (IoT).

Launched in 1985, the company has integrated AI solutions by enabling real-time monitoring, forecasting asset conditions, and ensuring sustainable operations.

According to Mr. Gupta, the product’s key benefits include improved asset utilization, real-time data-driven decisions, workforce efficiency and safety, predictive and prescriptive maintenance, lower ownership costs, and sustainability and ESG (environmental, social, and governance) alignment.

At present, IBM Maximo is being used by over 20 companies in the Philippines, mainly in the power generation and transportation industries, Mr. Gupta told BusinessWorld on the sidelines of the briefing.

“So, we do see opportunity from a market standpoint in the manufacturing and renewables [sectors],” he said.

“We want to maximize in our presence [in the Philippine market], even catering to small to medium enterprises through our software-as-a-service version of Maximo,” Mr. Gupta added.

A 2023 study by the International Data Corp. commissioned by IBM showed that IBM Maximo can extend the lifespan of company assets by over 17% and reduce maintenance and operations costs by $243,000.

It also reduced unplanned downtimes by 47% and increased workforce productivity by 26%, according to the study. — Beatriz Marie D. Cruz

SSI Group, Inc. to hold virtual Annual Meeting of Stockholders on July 24

 

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East Asian pizza east of Manila

EAT PIZZA reveals a new limited edition flavor, Sisig, a Korean pizza take on a classic Pinoy favorite.

Bonchon franchiser opens 4th branch of K-pizza brand

KOREAN pizza brand Eat Pizza proves that 10 inches is not too small when it comes to pizza.

According to Scott Tan, managing director of Scottland Food Group Corp., — which brought Eat Pizza here late last year and is also behind the franchise of Korean fried chicken chain Bonchon — the pizza’s relatively small size and rectangular shape was developed during the pandemic in South Korea, in 2021. That year, people were reluctant to share food due to the fear of the COVID-19 virus. The brand decided to develop a rectangular pizza, slightly bigger than a regular slice that people can eat alone and while moving about.

“It’s a new twist on how we share and eat pizza,” Mr. Tan said in an interview during the opening of the pizza outfit’s fourth branch in the Philippines, at SM City East Ortigas on June 24.

TRYING IT OUT
We had the Korean Sausage pizza (P179), with a side of Sweet and Spicy Corn Cheese (P129). While it had sweet and savory notes, the pizza’s slight tinge of heat isn’t easy to ignore, and we asked for seconds of our iced tea. For an easy (not light) snack, this is a good place to spend about P250 in.

Does the square shape add anything else beyond novelty and portability? Cooked in a rectangular pan, “It heats up the sides also,” said Mr. Tan. That does give the pizza a crunchier bite around the very thin, almost imperceptible crust (as opposed to the doughy ones we like to discard).

The new store only measures between 35 and 45 square meters, a standard across its Philippine stores. Mr. Tan says, “We really want to show people that our pizza is so easy to eat.” Limited seating and the small counter tell customers to grab and go.

“Price was very cheap, starting at P99. No issue in terms of price, so easy to buy, easy to try,” said Mr. Tan.

EXPANSION PLANS
Eat Pizza in Korea, according to Mr. Tan, has 120 stores, while its branches in Singapore number about nine. They opened in the Philippines in the last quarter of last year and in less than a year, already have four outlets (the others are in SM North EDSA, SM Grand Central, and SM Mall of Asia).

“We’re really planning a big expansion here in the Philippines. I can’t give exact numbers yet, but we have a lot of stores lined up throughout the year,” he said. This number would play out in the 20s: “Hopefully, we reach that; and we’re on track.”

The question is if Scottland can repeat Bonchon’s success in the Philippines. It has 180 stores in the country, and according to a previous interview with Mr. Tan, the model they used here was so successful it has become the model for Bonchon franchises across the world.

With us noting that they have some leeway over the menu (Eat Pizza has an item with sisig topping), he said, “They know us because of our stint with Bonchon. We’re kind of famous in Korea.”

“That’s why they gave [the franchise] to us, and they know our capability, especially in the R&D department,” he said.

“With the influx of the Korean craze — K-pop, the K-dramas — Korean food has become a big staple here in the Philippines; not just Filipino food, or Chinese food,” he said.

“This,” he said of the pizza brand, “is so much easier to expand. It has a smaller footprint,” he noted, so it is “definitely easier to open multiple stores simultaneously.” — Joseph L. Garcia

Filinvest Hospitality to renovate 60 rooms at Crimson Mactan

CRIMSONHOTEL.COM

GOTIANUN-LED Filinvest Hospitality Corp. (FHC) said it is looking to open 60 refurbished rooms at its five-star Crimson Resort and Spa Mactan in Cebu this year.

“Our two phases of room renovations should be finished by the end of this year. So, we’re looking at about, if I’m not mistaken, 60 rooms,” FHC Senior Vice-President Francis Nathaniel C. Gotianun said during a media briefing on Thursday.

“We’re working to elevate the Crimson brand across all our properties. So, we’ve been reinvesting in the room experience, the customer experience, and the dining experience.”

FHC manages seven hotels with a total of 1,800 rooms under brands like Crimson and Quest.

Properties under the Crimson brand include Crimson Resort and Spa Boracay, Crimson Resort and Spa Mactan, and Crimson Hotel Filinvest City Manila.

By yearend, the company is also scheduled to open the 256-room Grafik Hotel Collection Baguio. It also plans to break ground on its 300-room Crimson Clark Hotel in Pampanga within the year.

The company has maintained its goal of opening about 2,000 new rooms by 2029, Mr. Gotianun said earlier.

FHC is also looking to further integrate tech-related services such as AI (artificial intelligence) chatbots into its operations, Mr. Gotianun said.

“We have been reworking our whole tech staff across the hotel business so that we can work more intelligently, put people where we really need them, and let the technology do the rest of the groundwork,” he said.

Meanwhile, the Philippines’ expected rise to upper middle-income status next year is seen to bolster the domestic tourism sector, Mr. Gotianun said.

“This is a big thing for the country because that means we will start moving into a stronger consumption economy… that means that domestic tourism should continue to be strong.”

The government is optimistic that the country will reach upper middle-income status next year. This comes amid trade uncertainties caused by the United States’ tariff policy, as well as conflicts in the Middle East and Europe. — Beatriz Marie D. Cruz

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