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Disney pushes Mulan to August

LOS ANGELES — Walt Disney Co. postponed the debut of live-action movie Mulan until Aug. 21, the company said in a statement on Friday, a blow to theater operators who want blockbuster movies to draw audiences from their homes in the middle of a pandemic. Mulan was scheduled to debut in March but was postponed until July 24 when the coronavirus outbreak forced theaters around the world to close. “While the pandemic has changed our release plans for Mulan and we will continue to be flexible as conditions require, it has not changed our belief in the power of this film and its message of hope and perseverance,” Alan Horn and Alan Bergman, co-chairmen of Walt Disney Studios, said in a statement. Mulan is a $200-million live-action remake of Disney’s animated classic that stars Yifei Liu in the title role. Movie theater owners had been hoping to offer Mulan and director Christopher Nolan’s thriller Tenet in July to help lure audiences back to cinemas. Both films are now pushed into August, with Tenet, from AT&T, Inc.’s Warner Bros., scheduled for Aug. 12. — Reuters

Globe enters into loan deal again to finance capex

GLOBE Telecom, Inc. on Monday said it has signed a new term loan facility to finance its capital expenditures (capex).

In a statement, the Ayala-led telecommunications company said it recently “signed loan facility with China Banking Corporation for P3 Billion.”

“The loan shall be used to finance the company’s capital expenditures, refinancing of maturing obligations, and general corporate requirements,” it added.

For the same reasons, Globe also signed in February loan facilities with Bank of the Philippine Islands and Metropolitan Bank & Trust Co. for P5 billion and $95 million, respectively.

The company has committed to spend P63 billion in capex this year, which includes spillover of capex commitments from the previous year.

Globe said its capex for the second quarter will “likely be lower by at least P2 billion” from the first quarter’s spend.

The company reported last month that it was able to spend P10.7 billion in the first quarter, “22% higher than last year and representing 29% of gross service revenues.”

Bulk of the capex spending went to data-related requirements.

“Although plans to ramp up spending once operations normalize are in place, the full impact on the planned 2020 capex is currently being reevaluated,” Globe said.

The company also announced on Monday its plans to “aggressively” build cell sites in the third quarter of the year .

“The major cell site builds will start in July covering several areas in Metro Manila, North and South Luzon, Visayas and Mindanao,” Globe said in a statement.

“Globe customers in the areas in which the projects will be implemented are being advised in advance that they may experience temporary service disruptions such as loss of signal or internet connectivity for at least an hour anytime during the day,” it added.

On Monday, shares in Globe fell 1.97% to close at P2,088 apiece. — Arjay L. Balinbin

Gov’t hikes T-bill award to P26B

THE GOVERNMENT upsized the volume of Treasury bills (T-bills) it awarded on Monday as strong demand pulled rates below the two-percent level following the surprise easing move by the central bank last week.

The Bureau of the Treasury (BTr) raised P26 billion in T-bills on Monday, higher than the programmed P20 billion. The short-term debt papers attracted bids worth P131.451 billion, making the offer more than six times oversubscribed.

To take advantage of strong demand, the BTr also opened the tap facility to offer another P10 billion in 364-day T-bills.

Broken down, the Treasury awarded P7 billion in 91-day papers, higher than the P5-billion program, out of total bids worth P28.74 billion. The three-month T-bills fetched an average rate of 1.746%, down 32.2 basis points (bps) from the 2.068% logged in last week’s auction.

Meanwhile, it made a full award of P5 billion in 182-day T-bills out of P32.173 billion in tenders. The average rate of the six-month papers also declined by 26.7 bps to 1.892% from 2.159% previously.

For the 364-day securities, the BTr hiked the awarded volume to P14 billion from the P10-billion program as total bids hit P70.538 billion. The one-year T-bills were quoted an average rate of 1.98%, dropping by 42.8 bps from the 2.408% last week.

A bond trader said in a Viber message that the strong demand and lower yields were due to the central bank’s move to slash benchmark interest rates by 50 bps last week to bring them to new record lows.

Rates on the central bank’s overnight reverse repurchase, lending and deposit facilities now stand at 2.25%, 2.75 and 1.75%, respectively.

The Bangko Sentral ng Pilipinas (BSP) has cut rates by a total of 175 bps so far this year to help mitigate the impact of the coronavirus disease 2019 (COVID-19) pandemic on the economy.

While the domestic market is evidently awash with cash, National Treasurer Rosalia V. de Leon said via Viber that the government also wants to avoid crowding out private sector issuances.

She said they decided to offer longer tenors in its borrowing program this month to accommodate investors looking for higher returns.

“We are stretching maturity as investors search for better yields,” she said.

In its July borrowing program, the BTr will offer P30 billion via seven-year Treasury bonds (T-bonds) on July 7 and another P30 billion via 10-year papers on July 21.

Asked if the government will consider issuing retail Treasury bonds (RTB) again, Ms. De Leon said: “RTB is always an option for us to raise funding and for small investors to deploy funds in supporting government priorities at this time particularly [in battling] against the COVID-19 [pandemic].”

The government has set a P205-billion borrowing program for July and will offer P145 billion in T-bills via weekly auctions and P60 billion in T-bonds to be auctioned off every other week.

It borrows from local and foreign lenders to plug its budget deficit seen to hit 8.4% of gross domestic product this year. — B.M. Laforga

DMCI Homes to deliver units at Sheridan Towers in July

DMCI Homes is set to start turning over units at the second building of its Sheridan Towers project in July.

The turnover was originally scheduled in May, but was deferred due to the implementation of the Luzon-wide lockdown.

In a statement, DMCI Homes said units from the 28th floor to the penthouse will be turned over in July, while the turnover of units from the 2nd floor to the 27th floor will begin in August.

The delivery of the 43-storey North Tower marks the completion of the two-tower project located in the boundary of Pasig and Mandaluyong cities.

The North Tower is located in Barangay Highway Hills, Mandaluyong while the South Tower, which was turned over in September 2017, is in Barangay Pineda, Pasig City.

“Aside from observing strict physical distancing and health protocols, we will also maximize the use of digital channels and online payment options to ensure the safety of our unit owners,” DMCI Homes Vice-President for Project Development Dennis Yap said in a statement.

DMCI Homes said all of Sheridan Towers’ units, ranging from one-bedroom to three bedrooms, are already sold out.

Margot Robbie to star in female-centric Pirates of the Caribbean

LOS ANGELES -— The Pirates of the Caribbean are getting ready to set sail in a whole new direction, with Australian actress Margot Robbie starring in a new version of one of Disney’s biggest film franchises. Robbie, the star of Suicide Squad and I, Tonya, is to head a female-driven Pirates movie which is in the early stages of development, a source with knowledge of the project said on Friday. It marks the latest bid by Hollywood to re-imagine classic movies by casting women in the lead roles, including the 2016 reboot of Ghostbusters starring Melissa McCarthy and 2018 comedy heist Ocean’s 8 that starred Sandra Bullock and Cate Blanchett. No plot details were available but the story is being written by Britain’s Birds of Prey screenwriter Christina Hodson and produced by longtime Pirates filmmaker Jerry Bruckheimer, the source said. The Hollywood Reporter said the movie was a separate project from a new Pirates of the Caribbean movie that was announced as in development last year. — Reuters

Global coronavirus deaths top half a million

SYDNEY/BEIJING — The death toll from COVID-19 surpassed half a million people on Sunday, according to a Reuters tally, a grim milestone for the global pandemic that seems to be resurgent in some countries even as other regions are still grappling with the first wave.

The respiratory illness caused by the new coronavirus has been particularly dangerous for the elderly, although other adults and children are also among the 501,000 fatalities and 10.1 million reported cases.

While the overall rate of death has flattened in recent weeks, health experts have expressed concerns about record numbers of new cases in countries like the United States, India and Brazil, as well as new outbreaks in parts of Asia.

More than 4,700 people are dying every 24 hours from COVID-19-linked illness, according to Reuters calculations based on an average from June 1 to 27.

That equates to 196 people per hour, or one person every 18 seconds.

About one-quarter of all the deaths so far have been in the United States, the Reuters data shows. The recent surge in cases has been most pronounced in a handful of Southern and Western states that reopened earlier and more aggressively. US officials on Sunday reported around 44,700 new cases and 508 additional deaths.

Case numbers are also growing swiftly in Latin America, on Sunday surpassing those diagnosed in Europe, making the region the second most affected by the pandemic, after North America.

On the other side of the world, Australian officials were considering reimposing social distancing measures in some regions on Monday after reporting the biggest one-day rise in infections in more than two months.

The first recorded death from the new virus was on Jan. 9, a 61-year-old man from the Chinese city of Wuhan who was a regular shopper at a wet market that has been identified as the source of the outbreak.

In just five months, the COVID-19 death toll has overtaken the number of people who die annually from malaria, one of the most deadly infectious diseases.

The death rate averages out to 78,000 per month, compared with 64,000 AIDS-related deaths and 36,000 malaria deaths, according to 2018 figures from the World Health Organization.

CHANGING BURIAL RITES
The high number of deaths has led to changes to traditional and religious burial rites around the world, with morgues and funeral businesses overwhelmed and loved ones often barred from bidding farewell in person.

In Israel, the custom of washing the bodies of Muslim deceased is not permitted, and instead of being shrouded in cloth, they must be wrapped in a plastic body bag. The Jewish tradition of Shiva where people go to the home of mourning relatives for seven days has also been disrupted.

In Italy, Catholics have been buried without funerals or a blessing from a priest. In New York, city crematories were at one point working overtime, burning bodies into the night as officials scouted for temporary interment sites.

In Iraq, former militiamen have dropped their guns to instead dig graves for coronavirus victims at a specially created cemetery. They have learned how to conduct Christian, as well as Muslim, burials.

Public health experts are looking at how demographics affect the death rates in different regions. Some European countries with older populations have reported higher fatality rates, for instance.

An April report by the European Centre for Disease Prevention and Control looked at more than 300,000 cases in 20 countries and found that about 46% of all fatalities were over the age of 80.

In Indonesia, hundreds of children are believed to have died, a development health officials have attributed to malnutrition, anemia and inadequate child health facilities.

Health experts caution that the official data likely does not tell the full story, with many believing that both cases and deaths have likely been underreported in some countries. — Reuters

Eton Properties sees business resilience despite pandemic

ETON Properties Philippines, Inc., the real estate firm of tycoon Lucio C. Tan, is expecting to maintain a “strong performance” this year despite the effects of the coronavirus disease 2019 (COVID-19) pandemic to the economy and the property sector.

In a statement Monday, the property developer said it posted an 83% surge in net income to P900 million last year, attributable to the robust performance of its office and residential segments.

Total revenues stood at P3.3 billion, boosted by a 14% increase in lease revenues to P1.7 billion. This is on the back of a strong demand for office space which the company met through the opening of Eton WestEnd Square in Makati City and Eton Square Ortigas in San Juan.

Its serviced residence project The Mini Suites also booked increased occupancy in 2019, contributing P181 million in revenues to jump 95% from the previous year. Real estate sales likewise added P1.4 billion to the company’s topline.

Eton Properties said this growth is expected to be sustained this year despite disruptions brought by the COVID-19 pandemic. It said it had rolled out cost-saving initiatives such as deferring capital expenditures for projects to survive the crisis.

“We implemented health and safety protocols in all our buildings, enforced social distancing, and enhanced our digital access for our clients. Coupled with our efforts to optimize our portfolio to meet customer demands while enhancing shareholder value, we are confident that we can achieve sustainable growth,” Eton Properties Chief Operating Officer Karlu Tan Say said in the statement.

The company has also adjusted its tenancy mix to favor “pandemic-resistant” tenants, which it believes will help sustain its revenues through the pandemic.

The completion of office building Cyberpod Five in Quezon City and the topping off of 36-storey Blakes Tower in Makati City last year are among the expected drivers of growth for Eton Properties.

It is also continuing construction for the first phase of the 4.3-hectare Eton City Square in Laguna and the NXTower I in Ortigas. “All these are expected to positively impact the company in the years ahead,” it said.

Eton Properties is under listed LT Group, Inc., which reported a 41% growth in 2019 earnings to P6.21 billion. Shares in LT Group at the stock exchange shed 18 centavos or 2.23% to P7.90 each on Monday. — Denise A. Valdez

Renewable fund to raise $2.5B for region’s recovery from pandemic

A RENEWABLE-ENERGY fund will invest more than $2.5 billion in Southeast Asian renewable energy projects to support the region’s recovery from the pandemic, with a focus on the Philippines, Vietnam and Indonesia.

In a statement issued Monday, the South East Asia Clean Energy Facility (SEACEF) said it will offer high-risk venture capital-type funding initiative to “fill the gap” in financing early-stage clean energy projects in the region.

“Many potentially viable projects in Vietnam, Indonesia, the Philippines and other parts of Southeast Asia would not happen without such early-stage funding, as most private sector investors are unwilling to get involved until early-stage development risks are successfully mitigated,” SEACEF said.

The initiative, managed by Singapore fund management firm Clime Capital, is supported by private foundations like Bloomberg Philanthropies and London-headquartered Children’s Investment Fund Foundation (CIFF).

Early-stage investment will support the development of solar and wind facilities and energy storage, as well as technologies accelerating low carbon transition, such as energy efficiency and clean-energy transmission infrastructure.

Currently, an initial $10 million has been injected into SEACEF, with an additional $40 million due shortly.

“The launch of this new fund comes at a critical moment, with the COVID-19 (coronavirus disease 2019) crisis shrinking traditional sources of finance, dedicated towards bending the curve of climate change,” Imraan Mohammed, head of Impact Investing at CIFF, said.

“The opportunities for renewable energy investment remain significant, so this high-risk capital is a cornerstone at a time of great uncertainty, which can catalyse the significant funding required to turn proposals into major clean energy projects,” Mason Wallick, managing director of Clime Capital, said.

The International Energy Agency is projecting a 20% decline in global energy investment this year to $400 billion. — Adam J. Ang

Overseas Filipino Bank launches fully digital system

OVERSEAS FILIPINO Bank (OFBank) has launched its new, fully digital system on Monday, which aims to expand its reach to Filipinos around the world through online banking.

OFBank said in a statement on Monday that it is the first branchless digital Philippine government bank that can offer banking services to Filipinos “anytime and anywhere across the globe.”

The lender, a fully owned subsidiary of Land Bank of the Philippines (LANDBANK), said it uses a digital onboarding system with artificial intelligence or what it refers to as DOBSAI in processing new account applications through its mobile banking application.

“Despite the global health crisis besetting the country today, our government remains true to its commitment of upholding the welfare of all Filipinos abroad and their families. The launch of OFBank today as a digital-only, first branchless Philippine bank is a testament to this,” LANDBANK President and CEO Cecilia C. Borromeo, who also chairs OFBank, was quoted as saying.

OFBank said overseas Filipino workers (OFWs) and their beneficiaries can apply to open an account and submit all requirements online through the mobile application.

“As the OFBank becomes fully digital, we aim to better serve the banking and financing requirements of our kababayans abroad, as well as their families here in our country. Rest assured that OFBank will continuously work on providing safe, reliable and secure digital banking,” OFBank President and CEO Leila C. Martin said.

The bank said opening an account online is “safe and secure,” noting the application has “advanced encryption and security technology that protects sensitive information.”

To open a new account, applicants will have to take a picture of themselves and OFBank will compare it with the valid ID submitted for verification.

OFBank offers three types of accounts: the OFBank Visa debit card both for Filipinos abroad and OFWs; the OFBank Visa debit card for beneficiaries; and the OFBank debit card for beneficiaries who are under 18 years old.

It said these accounts are “interest-bearing peso savings accounts” which need to have at least P500 in daily balance to earn interest.

The accounts do not require maintaining minimum initial deposit and monthly average daily balance and do not have a dormancy fee, the bank said.

OFBank added that holders of the OFBank Visa debit card can access real-time fund transfer services through Visa Direct.

“The reintroduction of OFBank as a digital-only, branchless Philippine bank is extremely timely when Filipinos are becoming more digital, and our research also shows that close to 80% of Filipinos are interested to use services from a digi-bank,” said Dan Wolbert, Visa country manager for the Philippines and Guam.

Meanwhile, all OFBank account holders can transfer funds to other OFBank and LANDBANK accounts through the mobile application without any charges.

However, it said interbank transfers will be charged a P25 service fee for transactions via InstaPay and P15.00 for PESONet. — B.M. Laforga

Fleeing Chinese buyers leave HK office market lifeless

HONG KONG’S distinctive Lippo Centre — twin glass-fronted octagonal towers whose facade some say resembles koala bears climbing a tree — has long been a gauge for the health of the world’s most expensive office market.

Right now, it’s barely showing a pulse.

In a market where buying and selling individual floors, or even just suites in a building, can lead to quick profits, just three deals have been done in the Lippo Centre this year, with the average price dropping 17% from a year earlier. The number of deals is down from as many as 18 in the first half of 2017 — the most active of recent years.

There’s no shortage of reasons for the downturn. Hong Kong is in its deepest economic funk on record as last year’s investment-chilling anti-government protests were followed by the coronavirus shutdowns. Now disquiet over China’s national security laws has rattled the city anew, stoking concern it will lose its status as a regional financial hub and drawcard for expats.

“It’s been very quiet,” said Daniel Siu, a sales director at Centaline Property Agency Ltd. whose district covers Admiralty where the Lippo Centre is located. “When everything is uncertain both politically and economically, buyers are very conservative.”

The dearth of activity augurs poorly for the broader office market, where these strata-title transactions for a portion of a building typically account for about 40% of all deals by value. Office valuations in the city may slump as much as 20% this year, according to Jones Lang LaSalle Inc.

Prices have already fallen for the few deals in the Lippo Centre, with the average price at HK$27,380 ($3,533) per square foot, data from Midland Holdings Ltd. show.

With vacancy rates in premium buildings in Hong’s Kong Central hub reaching a 12-year high of 5% in May, according to JLL, investors are also wary of buying office space when there’s no guarantee they will find a tenant.

The Lippo Centre’s strata-title structure, which allows individuals to own part of a property, along with its prime location and long-term tenants including the Taiwanese, Mongolian and Brunei embassies, make it popular with property speculators. They can play the market without having to put together multi-billion dollar deals needed to buy entire buildings.

Yvonne Lui, the former girlfriend of tycoon Joseph Lau, turned a HK$55 million ($7 million) profit in 2018 by flipping two office units in the Lippo Centre less than two years after buying them, local media reported at the time.

The lack of transactions in the Lippo Centre this year is being replicated across the market. The city is set for the lowest strata-title transactions by both value and volume since the data was first collated in 2007, according to Real Capital Analytics.

A key reason for the downturn is the retreat of mainland Chinese investors, who have kept away since anti-government protests broke out more than a year ago, said Benjamin Chow, an analyst at Real Capital Analytics. Chinese buyers had been a major force behind the market’s run-up in 2018, he said.

“Following the extended political unrest, Hong Kong’s strata office market has quietened down dramatically,” Chow said. “Part of this is due to the withdrawal of cross-border investors, including those from mainland China.”

The last strata office investment in Hong Kong by an overseas investor was struck just over a year ago, he added.

While Chinese buyers have disappeared from the sales market, some financial firms are active in leasing space. CMB International Capital Corp., and China Minsheng Banking Corp. recently expanded their footprint in Central, according to people familiar with the matter. They joined tech giants ByteDance Ltd. and Alibaba Group Holding Ltd., which took up more space in Causeway Bay.

With few strata deals being done, Centaline’s Siu said he would focus on leasing to get through the downturn.

“There’s barely four deals a month,” he said. “That isn’t enough to feed our team; we just have to cross over to do everything from office leasing to home sales.” — Bloomberg

Gunmen attack Pakistani stock exchange, 6 killed

KARACHI, Pakistan — Four gunmen attacked the Pakistani Stock Exchange building in the city of Karachi on Monday but security forces killed them all, police said.

Two other people were also killed, the military said, adding that security forces were conducting a sweep for any remaining attackers.

The gunmen attacked the building, which is in a high security zone that also houses the head offices of many private banks, with grenades and guns, said Ghulam Nabi Memon, chief of police in Pakistan’s biggest city and its financial hub.

“Four attackers have been killed, they had come in a silver Corolla car,” Memon told Reuters. There was no immediate claim of responsibility.

The gunmen initially threw a grenade at security men posted outside the stock exchange compound then opened fire on a security post. The four were killed when security forces posted there responded.

Pakistan has long been plagued by Islamist militant violence but attacks have become less frequent in recent years after military operations against various factions in strongholds along the Afghan border.

The Pakistan Stock Exchange did not suspend trading during the attack, its managing director, Furrukh Khan, said.

A Counter-Terrorism Department official told Reuters the attackers were carrying significant quantities of ammunition and grenades in backpacks.

Apart from Islamist militants, Pakistan has also had to contend with separatist insurgents in Balochistan and Sindh provinces.

Separatists were responsible for an attack on the Chinese consulate in Karachi in 2018.

This month, three explosions on the same day claimed by a little-known separatist group killed four people including two soldiers in the southern province of Sindh, of which Karachi is capital. — Reuters

Some monsters you imagine, but horror is real

By Jessica Zafra

MOVIE REVIEW
El espíritu de la colmena
(The Spirit of the Beehive)
Directed by Victor Erice

THE first thing you notice about The Spirit of the Beehive is its silence. It has a physical presence. You are always aware of it, because silence is the point: the things we don’t say, the truths we will not utter.

Victor Erice’s 1973 debut begins with the arrival of a traveling cinema in a little town in Spain. It is 1940, and the movie is James Whale’s Frankenstein. Two little girls, Isabel and her wide-eyed little sister, Ana, are in the audience, enraptured.

In their once-grand house, their father tends to his apiary. He writes a letter musing on the frantic activity within the glass beehive — what is it for? Their mother writes to someone she has not seen since the civil war. She rides her bicycle to the station to catch the mail train, whose black-wreathed screams puncture the silence. Their manner is furtive, as if any sudden movement would shatter the inertia.

No one has a conversation, with the exception of the girls, who whisper in their bedroom. Why are they whispering? Who will hear them? I’ve seen Frankenstein’s monster, Isabel claims, in the empty farmhouse with the well. And like many little girls in countless fairy tales, Ana goes to find the monster.

The Spirit of the Beehive is set just after the end of the Spanish Civil War, and the house is paralyzed with sorrow, or fear, or both. Franco the dictator was still alive when the film came out, but maybe it was too enigmatic to incur the ire of the censors. Or else the censors counted on the audience not getting it. Today it is hailed as a masterpiece, its eerie quiet the appropriate soundtrack for a nation traumatized by war.

That trauma would continue long after Franco’s death in 1975, when the leaders of Spain agreed that to make the shift to democracy as smooth as possible, they would simply not talk about the war or prosecute war criminals. It was only in the 1990s, when a new generation demanded to know what had happened to their grandparents, that this “Pact of Oblivion” ended.

Art, especially cinema, was one of the ways the survivors could process the horror of civil war. Erice was expected to be at the forefront of this reckoning, but in the next four and a half decades he made only four more films. Cinematographer Luis Cuadrado, whose images of ruined buildings, empty rooms, dark forests and open fields have the quality of memento mori, went blind.

Without words, it is the images that speak of disorientation, loss, isolation. The characters are rarely in the same frame. They sit down to a meal, but everyone is separate and alone. The geography of the town is as much a mystery to us as it is to Ana. Hidden indoors from an invisible fiend, we recognize ourselves in this solitude. In an arresting scene, townspeople armed with torches search for Ana in the night, like the villagers hunting Frankenstein’s monster.

Guillermo del Toro, whose films The Devil’s Backbone and Pan’s Labyrinth are direct descendants of Erice’s, described it as a film that had seeped into his soul. To watch The Spirit of the Beehive is to return to childhood, when life was a mystery to be investigated, when we dreaded the monsters in the shadows that the world would show us soon enough.

El espíritu de la colmena (The Spirit of the Beehive) is one of the films included in Instituto Cervantes de Manila’s Clásicos contigo / Classics with You, a film cycle of Spanish film classics shown for free through the Instituto Cervantes Vimeo channel during the weekends of July. The five movies The Spirit of the Beehive (1973) and The South (1983) directed by Víctor Erice; The Holy Innocents (1984) by Mario Camus; La vaquilla (1985) by Luis García Berlanga; and The good star (1997) by Ricardo Franco will be shown over five weekends, one film per weekend, each title available only for 48 hours. For further information and updates on this film series, check out http://manila.cervantes.es or Instituto Cervantes’ Facebook page: www.facebook.com/InstitutoCervantesManila.