BusinessMirror January 01, 2019

DEPT. OF SCIENCE AND TECHNOLOGY

PHILIPPINE STATISTICS AUTHORITY

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Tuesday, January 1, 2019 Vol. 14 No. 83

Exporters reeling from port-congestion losses E

By Elijah Felice E. Rosales

@alyasjah

XPORTERS are demanding that the government and shipping lines resolve the problem of empty containers in ports, a situation that is slowing down cash flow and causing delivery problems on both imports and exports.

In a statement, the Philippine Ex porters Confederation Inc. urged the government to stop denying there is port congestion and instead address the problem headon. Philexport President Sergio R. Ortiz-Luis Jr. said short-term

and long-term measures must be implemented.

“This is an issue that needs to be solved first in the short term and eventually with institutionalized long-term measures. The government should accept that

this is a real problem that is causing very serious cash flow and delivery problems on micro, small and medium enterprises [MSMEs], especially exporters,” Ortiz-Luis argued.

Designs Ligna Inc., a furniture

“This is an issue that needs to be solved first in the short term and eventually with institutionalized long-term measures.

The government should accept that this is a real problem that is causing very serious cash flow and delivery problems on micro, small and medium enterprises [MSMEs], especially exporters.”—Ortiz-Luis

exporter and local retailer, has been experiencing delays in the delivery of its imports.

Designs Ligna President Nicolaas de Lange said this takes a toll on his firm’s production and cash flow.

See “Exporters,” A2

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HILIPPINE abaca output in 2018 may increase by 6 percent to over 76,000 metric tons, from the estimated 72,000 MT volume in 2017, according to estimates of the Philippine Fiber Industry Development Authority (PhilFida).

PhilFida Executive Director Kennedy T. Costales attributed the rise in production to higher buying prices, which are now at an “all-time high,” due to supply shortage.

This, Costales noted, encouraged farmers, especially those producing copra, to harvest more abaca to take advantage of the profit.

“The demand for abaca is so high, and the prices are high at the same time [which would drive production to increase]. Also, we are now campaigning for the production of good-quality fibers, which are being bought at better prices compared to copra now,” he said in an interview.

“You can earn as much as P120 per kilogram in abaca now, which is a clear at least P1,000 income for every 10 kilos harvested per day,” he added.

Costales said some copra farmers have now shifted to abaca as their primary crop instead of it being just an intercrop.

See “Abaca,” A2

RACE FOR TIME Stranded passengers at the Araneta Center bus terminal line up to get precious seats, hoping to reach their hometowns in time for the New Year, as authorities gave the go-ahead for travel after the passage of Tropical Depression Usman, which brought days of rains that flooded some highways. NONOY LACZA

‘Flooded Matnog got zero budget for floods’

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HE serious property and infrastructure damage— not to mention loss of lives —wrought by Tropical Depression Usman in the Bicol region has given House of Representatives leaders new ammunition in their inquiry into questioned flood-control funding in the 2019 budget.

“At least 19 villages in Matnog, Sorsogon, are now submerged in

PESO EXCHANGE RATES n US 52.7240

flood water. Yet, despite its vulnerability to flood, Matnog did not get a single centavo in the billions of pesos allocated by the DBM [Department of Budget and Management] for flood-control projects in Sorsogon under the 2019 National Expenditure Program,” said Majority Leader Rolando G. Andaya Jr. at the weekend.

“Worse, a huge slice of the budget

allocated by the DBM for Sorsogon flood-control projects in 2019—a total of P325 million—will go to Casiguran town where an in-law of Sec. Diokno is seeking reelection as mayor,” Andaya pointed out, as authorities tallied the death toll and damage from Usman.

Andaya said this matter will be part of the questions raised at See “Flooded Matnog,” A8

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PHL did quite well in 2018 Manny B. Villar

THE ENTREPRENEUR

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BELIEVE we did quite well as a nation in 2018, despite a more challenging global economic environment. This is evident in the 6.3-percent GDP expansion in the first three quarters.

While the growth was below expectations, the Philippine economy remained one of the fastest growing in Asia, along with Vietnam and China. The doomsday scenario predicted by critics did not happen after all.

Continued on A6

Usman farm damage climbs to ₧195 million

By Jasper Emmanuel Y. Arcalas

O

Abaca output seen rising as overseas demand soars

2017 EJAP JOURNALISM AWARDS

@jearcalas

VER 7,800 farmers in three regions have incurred losses amounting to some P195.36 million due to damage brought by Tropical Depression Usman over the weekend, according to initial assessment of the Department of Agriculture (DA).

This, as the death toll from the weather disturbance climbed to 68 as of Monday, largely because of landslides in the Bicol region. See related story on page A8.

A report released by the DA Disaster Risk Reduction and Management (DRMM) Operations Center on December 30 evening showed that damage to the farm sector due to Usman grew by P192.63 million, from the previous reported P2.73 million.

“The increase in overall values is attributed to the reports in rice, corn and high-value crops in Quezon, Albay, Camarines Norte, Camarines Sur, Catanduanes, Masbate and Sorsogon,” it said in the report, which was updated as of 5 p.m. of Sunday.

The DA report noted that Usman damaged 9,836 hectares of farms with an estimated volume loss of about 8,495 metric tons (MT). It affected around 7,871 farmers.

The report showed that rice farmers in Calabarzon, and Regions 5 and 8, suffered the brunt of Usman’s damage.

Losses in the rice sector reached P177.41 million with an estimated volume of 7,352 MT in 8,844 hectares of farm.

About 6,318 rice farmers in the provinces of Quezon, Albay,

₧177.41M Losses accounted for by the rice sector, with an estimated volume of 7,352 metric tons in 8,844 hectares of farm

Camarines Norte, Camarines Sur, Catanduanes, Sorsogon and Samar were affected, according to the DA report.

Damage to high-value crops was valued at P16.97 million with an estimated production loss of about 1,132 MT in 428 hectares in Albay, Camarines Sur, Masbate and Sorsogon.

Furthermore, some 276 corn farmers lost 11 MT of produce planted in 563 hectares in Albay, Camarines Sur and Masbate, which was valued at P976,267.

The figures are still up for validation, according to the DA. The DA has already prepositioned seed reserves for rice, corn and high-value crops in various regions.

In Region 5, the DA prepositioned 1,735 bags of rice seeds, 2,303 bags of hybrid seeds, 2,000 bags of genetically modified organism (GMO) yellow corn seeds, 2,405 bags of open-pollinated variety white corn seeds, 1,700 bags of white corn seeds and 556.02 kilograms of OPV vegetable seeds.

In Region 6, 1,410 bags of OPV white corn seeds, 533 bags of OPV yellow corn seeds, 1,125 bags of conventional hybrid seeds and 2,769 bags of GMO hybrid corn seeds were prepositioned by the DA for affected farmers.

n JAPAN 0.4751 n UK 66.7328 n HK 6.7344 n CHINA 7.6773 n SINGAPORE 38.4706 n AUSTRALIA 37.0702 n EU 60.3110 n SAUDI ARABIA 14.0545

See “Usman,” A2

Source: BSP (28 December 2018 )

News

BusinessMirror

A2 Tuesday, January 1, 2019

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3-M visually impaired Pinoys gain from treaty

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By Elijah Felice E. Rosales

@alyasjah

ANILA has acceded to the Marrakesh Treaty that secured it wider access to published materials in accessible formats for more than 3 million visually impaired Filipinos.

The Intellectual Property Office of the Philippines (IPOPHL) has signed up the country to the Marrakesh Treaty to Facilitate Access to Published Works for

Persons Who Are Blind, Visually Impaired or Otherwise Print Disabled. This will provide visually impaired Filipinos a more open access to novels, textbooks and

other printed materials limited in distribution and production by copyright law.

The IPOPHL has been pushing for the country’s accession to the Marrakesh Treaty in a bid to accelerate trade in published materials in accessible formats and institutionalizing freer production and distribution. The agency began its campaign to accede the Philippines in 2013, when it was adopted in a diplomatic conference in Morocco.

An accessible format is a copy of a work in an alternative manner or form which gives a beneficiary person access to the work, including to permit the person to have access in the same way as

a person without visual impairment or other print disability.

Publications in the Braille format and audio books count as accessible format copies.

“With increased access to textbooks, novels and other printed materials, the blind, visually impaired and otherwise print disabled persons are given an opportunity to further their education and cultural appreciation,” IPOPHL Director General Josephine R. Santiago said.

“The spirit and intent of the Marrakesh Treaty will not only help reduce the ‘book famine’ experienced by these individuals, but will significantly empower them to seize opportunities that access to

Take your job seriously, stop joking–labor to DU30

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COALITION of over 40 of the biggest labor groups in the country said their New Year’s wish for President Duterte is for him not to take his governance as a joke and instead perform his functions seriously and be a dependable leader.

The Nagkaisa Labor Coalition issued the statement in the wake of criticisms hounding the President over his recent remarks on his confession to a priest that he abused his own maid when he was young and his new tirades against the Catholic Church, including calling the Holy Trinity doctrine “silly.”

Nagkaisa also advised Presidential Spokesman and Chief Presidential Legal Counsel Salvador S. Panelo to tell the President that “his jokes are no longer jokes” but “statements downgrading women and mocking religious beliefs offensive to Catholics and other Christians.”

“The Nagkaisa Labor Coali-

tion, the broadest alliance of trade unions and workers associations in the country, calls on Secretary Panelo to tell President Rodrigo Duterte to take governance not as a joke but with with some seriousness. It will be unfortunate if his administration will look like as if it is a ‘Joker’ administration. In a Batman movie, Joker was a psychopathic mass murderer with a sadistic sense of humor,” Nagkaisa Chairman and Federation of Free Workers President Jose Sonny G. Matula said in a statement. “We call on Duterte to be a dependable leader. To make regular jobs as the norm not as joke.”

Instead of making “offensive and unproductive jokes,” Nagkaisa urged the President to use his “residual power” to persuade the Senate to expedite the passage of SB 1826 or the proposed legislation strengthening the right to security of tenure and ending endo, the catch-all term for work arrangements that

DENR. . .

Continued from A8

The signing of the order will complement the enactment of the Expanded National Integrated Protected Areas System (E-Nipas) Act, she said.

Both policies will strengthen the protection and conservation of the country’s rich biodiversity through the protected management system, and ensures that the country will benefit from whatever economic gains from the exploitation and sustainable development and utilization of the country’s natural wealth without compromising its ecological integrity.

The copy draft Executive Order on Accessand-Benefit Sharing obtained by the BusinessMirror revealed that it will promote scientific research that will tap into the country’s rich biodiversity for purposes of, among others, developing life-saving drugs, beauty and wellness products and ensuring that the country and the community where they are found will have fair and equitable share from their benefits.

The E-Nipas law gives more teeth to the law meant to protect and conserve the country’s rich biodiversity, imposes stiffer penalty and fine, encourages a more active local government units’ role in the management of PAs and increases the number of protected areas covered by legislation from

Abaca. . .

Continued from A1

The PhilFida executive said there is a supply shortage of at least 25,000 MT in demand which the Philippines, the top producer of the natural fiber, is trying to fill up.

Around 90 percent of the country’s abaca output are being exported abroad as raw fiber and other products, according to Costales.

“The momentum in demand is there, hence, prices would not drop in 10 to 20 years time,” he said.

circumvent the norm of regularizing workers who make the cut after their six-month probationary period.

“We call also for higher penalty for violation on the prohibition on ‘labor-only’ contracting and other abusive forms of contractualization. Otherwise, his election promise will become a joke. Other than regularizing the employees, he ought to highlight that the existing law [Art. 303 of Labor Code] provides fines for violation of prohibited acts which ranges from a dismal P1,000 to P10,000 only,” Matula said.

The House of Representatives has already passed the counterpart bill, HB 6908 in January 2018, sponsored by Akbayan and Trade Union Congress of the Philippines Party-List.

“Duterte had already certified SB 1826 as urgent but it appears the Senate is taking his certification as a joke. The senators are foot-dragging to delay its passage,” he said.

13 to 107, ensures that the country, particularly the communities that help protect the country’s rich biological diversity, will benefit from the genetic resources derived from their exploitation.

The Philippines is rich in biodiversity and its unique species of wildlife—both plants and animals—have active ingredients that could be developed into life-saving drugs or medicine, health and wellness products or even for food processing.

It was learned that the Office of the Executive Secretary is not keen on supporting the EO but is focused more on the passage of a bill on Access-and-Benefit Sharing of Philippine Genetic Resources filed by Occidental Mindoro Rep. Josephine Ramirez-Sato.

“We are still hoping for the [signing of the] EO because although there’s already a bill filed in the House of Representatives, sometimes, it takes years before it becomes a law,” Teh said.

“Right now, what we need is to start coordinating with various national government agencies to start working on ABS. Unfortunately, we don’t have the mandate to do that without the EO,” she said.

Teh said an important component of the EO is the conduct of a national inventory of the country’s genetic resources to protect them from piracy.

Through Cimatu, Teh said the DENR will continue to push for the signing of the draft EO on ABS.

“Everybody right now, most especially the First World countries, are conscious of the environment and are looking for substitutes petroleum-based products. And they are looking for abaca,” he added.

Costales is optimistic that the local abaca sector would hit the production target this year under the Philippine Abaca Roadmap 20172022 of about 76,385 MT. The country’s abaca output rose by 4.5 percent to 49,802.6 metric tons in January to September, from last year’s 47,644.2 MT, PhilFida data showed.

The coalition also said Panelo’s explanation that the “anecdotes” were only jokes or “inimitable allegorical” or “hyperbole” were “specious and hollow.”

Matula added, “We see these alleged jokes as not at all laughable.” Nagkaisa also noted that although the “laughable anecdote” of the President on the abuse of maid to highlight the “sexual abuse” on him of a priest can no longer be considered a crime as this was covered by prescription—having happened many years ago— the President should still “not flaunt it with alacrity.”

“As the country enters 2019, we wish Duterte to make governance not as a joke but respectfully urge him to perform his official functions in accord with his oath of office, that is: “preserve and defend its Constitution, execute its laws, do justice to every man, and consecrate myself to the service of the Nation.”

Bernadette D. Nicolas

Exporters. . .

Continued from A1

“We have been experiencing delays of an average of two weeks on our imports. For us MSME-exporters who rely on imported raw materials, it heavily affects our schedule and cash flow,” de Lange said.

Government in denial

THE government, exporters lamented, has been denying all this time that there is port congestion, even as meetings at the Export Development Council, which include truckers and container yard operators, confirmed there is.

Truckers and container yard operators pointed out there is a need for shipping lines to build their own yards to park these empty containers. In the short term, they said shipping lines have to send sweepers to remove these empty containers to decongest the ports and container yards that are at their full capacity.

However, shipping lines have not reportedly made any such move so far, presumably due to cost issues, container yard operators revealed. De Lange said that MSMEs are being charged by shipping lines about $275 for container imbalance fees, and said “this should be enough for them to move their empty containers out.”

Container imbalance fees are charged for relocating large numbers of empty containers between countries where there is trade imbalance.

The Philexport said it is coordinating with the government, particularly the Department of Trade and Industry, Bureau of Customs, Philippine Ports Authority, Association of International Shipping Lines, Philippine Chamber of Commerce and Industry and container yard operators in coming up with a solution to this issue.

The latest data released by PhilFida showed that the Bicol region remained the top producer of the natural fiber as it accounted for 31.3 percent of the nine-month output. However, production in the region declined by 13.2 percent to 15,584 MT, from 17,962 MT recorded a year ago.

Davao region was the secondlargest producer of abaca, accounting for 19.9 percent of total output. The other top producers of the fiber during the period were Eastern Visayas and Caraga, which both recorded a 12.4-percent production share.

Output in the Davao region grew by 18.5 percent to 9,921.2 MT from 8,371.5 MT, while production in Eastern Visayas and Caraga expanded by 4.5 percent and 22.6 percent, respectively.

PhilFida data also showed that Northern Mindanao posted the fastest increase in terms of production during the nine-month period.

Abaca production in the region expanded by 34.5 percent to 3,757.4 MT, from 2,792.9 MT recorded a year ago. Northern Mindanao accounted for 7.5 percent of total output. Jasper Emmanuel Y. Arcalas

information has opened, and pave the way for a more inclusive society,” she added.

T he accession per mits the Philippines to export and import copyrighted works in accessible formats to and from other countries that are signatories to the agreement. There are 47 countries presently parties to the Marrakesh Treaty.

The accession also compels the government to provide some exceptions and limitations as to national copyright laws to allow the conversion of published works to formats accessible to the visually impaired.

Republic Act 10372, the latest amendment to the Intellectual

Propert y Code of the Philipp i ne s , h a s a d o p t e d f l e x i bl e measures for conversion of published works to accessible formats, according to the IPOPHL. The IPOPHL also submitted to Congress a draft bill that widens copyright limitation provision in a bid to enhance access. The provision expanded the scope of copyright limitation not just to the blind and visually impaired, but also to those unable to hold or manipulate a book, to focus or move the eyes to the extent normally acceptable for reading.

“This will go a long way to enhance access to information if approved by Congress and the President,” Santiago added.

‘Listen to the youth, journey with them in the digital world’

By Bernadette D. Nicolas

P

@BNicolasBM

RIESTS must listen to the young even when at times they criticize the clergy, Lingayen-Dagupan Archbishop Socrates B. Villegas said at the transition between the old and new years.

In a pastoral letter for the 2019 Year of the Youth in the Archdiocese of Lingayen-Dagupan, Villegas pointed out that the youth can also teach the elders the power of digital world and “be at the forefront of using the power of the Internet to “spread true information, promote sociopolitical engagement according to the Gospel values and be good citizens of the nation.”

“When the young criticize us priests, I encourage you, my brother priests, to listen to their young voices as the voice of Christ himself calling us to conversion and renewal.

All young people are in God’s heart even if some of them do not share our visions of life. An attitude of humility and willingness to listen will open new avenues of renewal for us,” said Villegas, the former head of the Catholic Bishops’ Conference of the Philippines.

“Our youth need to teach us the power of the cyberspace digital world while we their elders in turn must accompany them in this daily reality of their young lives…

In entering cyberspace with the young, we their elders can protect them from the dark web of isolation, manipu l at ion, e x ploitat ion, cyberbullying and pornography,” he added.

The letter was issued as the Catholic Philippines observes 2019 as the Year of the Youth looking forward to the 500th anniversary of the first baptism and first m a ss i n t he Ph i l ippi nes and the 100th anniversary of the Diocese of Lingayen in 2028.

In 2019, we dream of the Church in Lingayen-Dagupan as young Jesus among the young, Villegas said.

Usman. . .

Continued from A1

Around 11,070 kilograms of hybrid rice seeds, 173,124 kilograms of OPV corn seeds and 100 MT of inbred rice seeds were secured at the regional field office

“Our youth need to teach us the power of the cyberspace digital world while we, their elders, in turn, must accompany them in this daily reality of their young lives.... In entering cyberspace with the young, we their elders can protect them from the dark web of isolation, manipulation, exploitation, cyberbullying and pornography.”

—Villegas

In walking together with the youth, he urged the priests to renew their appreciation for three very important interlinked institutions—the family, the school and the parish.

“The youth must be given avenues to participate in the mission of evangelization in the parish. It has been said that the face of God is mercy. Today, we say that at the forefront of the Church of mercy are the faces of the young. Let us give the Church a young face. Let us give the youth a space to be heard because true love listens. The first step to walking with the youth is listening to them,” he said.

The restlessness among the youth can inject greater dynamism to parishes which often favor the status quo more than the missionary passion.

“I encourage our priests and educators, parents and guardians to allow the youth to express this creative restlessness with an encouraging welcome and a respectful accompaniment. Oftentimes, we Church elders engender impatience among the youth because of our slow, domineering and dragging pastoral approaches,” he said.

“To the parents, teachers and priests: The young Jesus is among the young.

Let the young teach us as we teac h t hem. L et t he young show us the face of Jesus as we keep on trying to love them like Jesus. To the young: Show us Jesus and be our guide to see Him more clearly, to love Him more dearly, to follow Him more nearly,” he added. of DA in Region 8.

T he DA h a s a l so pre positioned 160,000 k i log rams of inbred rice seeds, 16,542 kilograms of GMO hybrid white corn seeds, 79,740 kilograms of OPV white corn seeds and 2,917 kilograms of vegetable seeds in Region 8.

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All was not lost for the opposition in 2018

By Butch Fernandez

@butchfBM

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LL was not lost for the political opposition despite failed efforts to derail the Duterte administration’s additional tax burdens under the Tax Reform for Acceleration and Inclusion (TRAIN) Act, according to Liberal Party (LP) Sen. Francis N. Pangilinan, claiming they also scored “some wins.”

In a statement, Pangilinan cited, among others, the courts’ convictions of former First Lady Imelda Marcos for graft and ex-Col. Jovito Palparan for kidnapping University of the Philippines students Karen Empeño and Sherlyn Kadapan.

Pangilinan also added the aborted arrest of opposition Sen. Antonio F. Trillanes IV to their win column.

“Even as 2018 started with the TRAIN law implementation that proceeded with high rice prices, the removal of Supreme Court Chief Justice Lourdes Sereno, Bong Revilla’s plunder acquittal, killings of Rep. Rodel Batocabe, priests, mayors and regular folk, we had some wins,” Pangilinan said on Monday.

The opposition senator also expects that the year 2019 will give them “a chance to make fair the fight against high prices, unjust tax increases, hunger, calamities and traffic.”

“We have eight senatorial candidates who will fight for better chances and dignity for the Filipino family,” Pangilinan said, referring to their window of opportunity in the upcoming senatorial elections.

He likened the LP bets’ strong chances of winning to a local card game. “Similar to the dealt cards in the popular game of tong-its, all eight are good as each has the unquestionable ability to serve our country,” Pangilinan said, referring to LP senatorial bets Gary Alejano, Bam Aquino, Chel Diokno, Samira Gutoc, Pilo Hilbay, Romy Macalintal, Mar Roxas and Erin Tañada.

Editor: Vittorio V. Vitug • Tuesday, January 1, 2019 A3

Beijing lifts suspension of visa processing of Pinoy tour groups

By Ma. Stella F. Arnaldo

@akosistellaBM Special to the BusinessMirror

A

LL’S well that ends well.

Filipino groups traveling to China may now apply for a group visa to facilitate their entry into said destination.

In a letter dated December 28, 2018, China Tee International Travel Service Co. Ltd. informed its local partners and tour operators that the Beijing government has resumed the processing of group visa applications from Philippine tourists.

“After working hand in hand with the Chinese Embassy in the Philippines and the Chinese Government, and through the diligent efforts by the Philippine Travel Agency Association [PTAA], Philippine travel agents and airlines, we are delighted to announce that group

visa issuance for Philippine passport holders has resumed starting 28 December 2018,” the Chinese travel firm said.

It also specifically thanked the Chinese Immigration Department “for their prompt response on the matter.”

Beijing had terminated the processing of group visas starting on December 25, ostensibly due to the sudden disappearance of five Filipino tourists on December 22 after arriving in Shanghai.

Their trip to China was apparently arranged by an unlicensed travel agent there. (See, “China stops processing visas of PHL tour groups,” in the BusinessMirror, December 27, 2018.)

In a brief interview with the BusinessMirror, incumbent PTAA President Marlene Dado-Jante expressed satisfaction over the “quick resolution of the issue. We’re happy that group visa processing can now proceed.”

Official sources said that when the Philippines asked officials from the Chinese Embassy in Manila about their government’s move to stop the group visa processing, “they didn’t know about it and said they would check with Beijing.”

Subsequent follow-ups with the Department of Foreign Affairs in Manila also failed to yield any significant information on the matter.

China Tee said in its latest letter it “will do its best to make the necessary adjustments and proper arrangements” for group departures that had been affected by Beijing’s action from December 25 to 28. For those departing December 29 onward, China Tee advised its local clients to contact the travel agency directly for more clarifications.

The Chinese travel agency also enjoined its local partner travel agents “to please pay more attention on identity verification and background checks of clients.”

According to the Ministry of Culture and Tourism, the Philippines ranked ninth among the top source countries for tourists of China, accounting for 2.7 percent of total visitor arrivals in 2017, or about 3.7 million.

In contrast, visitor arrivals from China grew by 43.3 percent to 968,447, making it the second top source market of tourists for the Philippines in 2017, next to South Korea.

China accounted for 14.63 percent of the total market share of arrivals in the Philippines that year. Many lawmakers suspect that most of the Chinese tourists arriving in the Philippines go to work in the online gaming industry, with several government agencies issuing different types of work visas to Chinese tourists. (See, “Government task force formed to check ‘Pogo’ workers,” in the BusinessMirror, November 26, 2018.)

PSA: Fertilizer average retail prices rose by 18.53 percent in November

By Jasper Emmanuel Y. Arcalas @jearcalas

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HE average retail price of four fertilizer grades rose by as much as 18.53 percent in November compared to year-ago levels, according to the Philippine Statistics Authority (PSA).

“The monthly average dealers’ prices of the four fertilizer grades at the national

level went up in November 2018 compared [to] their levels in the previous month and in November 2017,” the PSA said in its monthly report, titled “Updates on Fertilizer Prices.”

The average retail price of urea in November rose to a 32-month high of P1,102.05 per 50-kilogram bag, 18.53 percent higher than the P929.80 per bag quotation recorded a year ago.

“The country’s monthly average dealers’

price of urea at P1,102.05/sack in November 2018 was higher by 2.43 percent from its level in the previous month,” the report read.

“Compared with October 2018, the average dealers’ price of urea during the month went up in all regions except Mimaropa,” it added.

The PSA observed the highest price of urea in the Autonomous Region in Muslim Mindanao at P1,350 per bag, while the lowest

price was recorded in Ilocos region at P1,030 per bag.

“Relative to a year-ago level, all regions posted higher prices this month,” the PSA said.

The average retail price of complete fertilizer in October was pegged at P1,128.89 per bag, according to the PSA. The fertilizer cost P1,120.68 per bag in October and P1,089.19 per bag in November 2017.

Philippine Navy expands presence with missile, blue-water capability

By Priam Nepomuceno

cated and powerful weapons systems and capabilities,” he said.

Zata said the PN will gain more capability to operate modern naval weaponry with the arrival of the Pohang-class frigate next year, “equipped with a better weapons system that the Navy can already use as it prepares for the delivery of the two purposely built frigates starting 2020.”

The Pohang-class frigate is equipped with a primary and secondary gun system, sensors and torpedoes for anti-submarine as well as sensors for anti-air operations, Zata said.

Philippine News Agency

T

HE year 2018 may be considered a banner year for the Armed Forces of the Philippines (AFP), especially the Philippine Navy (PN), as it formally entered the missile age and demonstrated its capability to sail beyond its territorial waters during deployments to the United States, South Korea and Russia.

This is aside from projected deliveries of new assets for 2019, such as the AgustaWestland AW-159 “Wildcat” helicopters and the “Pohang”class frigate donated by South Korea to the Philippines.

The PN’s formal entry to the missile age took place off Lamao Point, Limay, Bataan, on November 21, when three of its multipurpose assault craft (MPACs) fired the newly acquired and installed Rafael Advanced Defense Ltd. Spike-ER (extended range) surface-to-surface missile during a capability demonstration witnessed by Defense Secretary Delfin N. Lorenzana and Navy Flag Officer in Command Vice Adm. Robert Empedrad.

During the exercise, the MPACs fired two Spike-ER missile rounds, which hit two surface targets. The craft also utilized remote-controlled .50 caliber machine guns to neutralize another target.

An AgustaWestland AW-109 attack helicopter armed with 2.75-inch high-explosive rockets also provided air support to the MPACs by firing its weapons. “Impressive. Not one [missile] round was wasted,” Lorenzana said in describing the Spike-ER capability demonstration, which he witnessed aboard the BRP Davao Del Sur (LD-602).

This is no mean feat considering that the seas were quite rough at the time, he said. “[Modern] technology has come to the Navy, and we will use this technology to protect our seas.”

A single Spike-ER missile round costs about P10 million, which makes accuracy for the PN a virtue.

The first test-firing of the SpikeER missile took place on August 9 in the same location.

The weapon was fired from one of the PN’s three Spike-ER armed MPACs. The MPACs were constructed by

THE BRP Tarlac is welcomed in Vladivostok, Russia on October 1. PHOTO BY DND/PNA

the Subic-based Propmech Corp. and activated on May 22, 2017.

The PN MPAC Acquisition Project entered into a contract with Rafael, through Sibat of Israel Ministry of Defense, for the supply and integration of the weapons systems to three Mark III MPACs. On April 15, 2017, Lorenzana approved the Notice to Proceed.

The Spike-ER system, which arrived in the country last April, is the PN’s first missile weapon capable of penetrating 1,000 mm (39 inches) of rolled homogeneous armor and has a range of 8 kilometers.

More missile-armed MPACs needed Empedrad, meanwhile, said missile-armed MPACs can be utilized to defend Philippine waters through the so-called swarming tactic, where such craft can engage larger and more capable ships posing a threat to the country’s waters.

The PN chief said the Navy needs 42 more MPACs to further enhance its capabilities. “Based on our matrix, [we should have] 42 of these type of vessels, [the] MPACs. [We only have] nine, [with another] three coming over next year with the same missile capability. So, [if these ships will operate simultaneously], when we are under siege, I think this will do harm to any threat whether internal or external,” Empedrad said last November 21 aboard the strategic sealift vessel BRP Davao Del Sur. MPACs are high-speed naval craft capable of speeds in excess of 40 knots and can be utilized for a variety of naval missions like patrol and fire

support missions for troops. They may also be armed with machine guns, missiles and a variety of other weapons.

Lorenzana said the Spike-ER missile system acquisition will be followed by big-ticket items like frigates and corvettes, to be armed with more powerful and longer-range missiles.

Besides deterring intruders, the PN’s brand-new MPACs are also ideal for suppressing pirate threats in Sulu waters, the defense chief added.

Empedrad said the MPAC’s secondary weapon, the remote-controlled .50 caliber machineguns, are ideal for fighting pirates.

And when it comes to using the expensive Spike-ER missiles, Empedrad said that they have a doctrine to use when its comes to the usage of the weapon. “For the missile, we have a doctrine [to follow] when to fire the missile because it’s [worth] P10 million. Of course, we won’t fire a missile that is worth P10 million on a banca. It’s uneconomical,” he added, in a mix of English and Filipino.

In the pipeline

WITH the successful integration of the Spike-ER surface-to-surface missile in the PN’s MPAC squadron, more capable and powerful missile weaponry are now in the pipeline for the Navy, according to PN spokesman Commander Jonathan Zata. “[Yes]. It [Spike-ER] ushered the Navy and the AFP to the missile age and also prepares for the forthcoming acquisition of a more sophisti-

Missile-armed frigates

THE construction of the first missile-armed frigate by South Korean shipbuilder Hyundai Heavy Industries (HHI) is proceeding smoothly, Empedrad said, and it may arrive in February or March of 2020. The second one will be in 2021.

The Philippines and HHI signed a P16-billion contract for two missilearmed frigates with another P2 billion set aside for its weapon systems and munitions.

“The [keel laying] ceremony was conducted at the building dock number 6 of the Special and Naval Shipbuilding Division of HHI. Three blocks of the first PN frigate [with HHI Project Number 159] was installed on the dock,” Capt. Sergio Bartolome, the PN officer supervising the project, earlier said.

Blue-water capability

FOR the first time in its history, two PN ships, the BRP Davao Del Sur and BRP Andres Bonifacio (FF-17), joined the 2018 Rim of the Pacific, or Rimpac, exercises, in Hawaii on June 27, ending on August 2.

Also deployed were around 700 sailors and marines.

Rimpac is the world’s largest joint and combined naval exercise.

The Rimpac exercises included helicopter cross-decking, live-fire exercises, a special operations training, ground-air-integration and replenishment-at-sea.

Lorenzana said international exercises like Rimpac will greatly boost the naval service for prolonged operations at the seas, and allow “our personnel to experience planning and execution of combined naval

operations as well as establish the Navy’s capacity for prolonged operations overseas.”

Meanwhile, Rimpac also proves that despite lacking modern ships and weapons, the PN has proven itself capable of operating with its more modern naval counterparts.

“It [the exercise] also validated the age-old principle that it’s always the men behind the guns that will ultimately make the difference. That in spite of the current capabilities of the Navy we were still able to perform very well and on a par with our more modern partners,” Zata said.

The Navy also made history with BRP Tarlac (LD-601) making the first-ever port visit of a Filipino warship to Vladivostok, Russia.

The ship and its 300-man contingent aboard left Manila South Harbor last September 21 and arrived in time for her scheduled October 1 to 6 port visit.

In Russia, the ship and the contingent participated in several activities with their Russian counterparts.

PN personnel toured the Kiloclass diesel-electric submarine Komsomolskna-Amure 877 and the Russian Marine Firing Range.

Another Navy milestone, in terms of overseas deployment, is the participation of BRP Dagupan City (LC551) and the 200-man contingent aboard her in the first-ever AseanChina Maritime Exercise (Acmex) in Zhanjiang in Guangdong, China, from October 21 to 28.

The participation of the PN had greatly addressed interoperability issues between the participating navies. “It’s good that our naval ships can now communicate with China and other Asean navies) so it’s a good exercise and we hope we’ll have more of this in the future,” Empedrad said.

Despite the handicaps, the PN chief said the crew of the BRP Dagupan City showed their skills and resulted in the PN winning the communication drill exercise.

The Acmex 2018 was an exercise hosted by the Republic of Singapore Navy and the China People’s Liberation Army Navy that aimed to promote regional cooperation between Asean member-states navies and focused on maritime safety and search and rescue at sea with emphasis on the use of Code of Unplanned En-

counter at Sea (CUES).

Earlier, DND Spokesman Arsenio Andolong said the proposal for a joint Asean and Chinese naval exercise was submitted during the Asean Defense Ministers Meeting in Singapore last February.

Anti-submarine choppers

WITH the impending arrival of the Navy’s first two AgustaWestland AW-159 “Wildcat” anti-submarine helicopters by the first quarter of 2019, the PN will now have the capability to detect and engage underwater targets.

“It is a big leap essentially [because] with this capability, we now have this tool [capable] of securing not only the surface waters that we have but also underwater,” Zata noted.

Before the AgustaWestland AW159 “Wildcat” anti-submarine helicopter was acquired, the PN had no capability to detect and engage subsurface threats.

The AW-159 will be based aboard the two new frigates being constructed by Hyundai Heavy Industries.

The PN spokesman said the aircraft will be fitted with sensors and weapons capable of neutralizing subsurface threats.

The aircraft were acquired for P5.4 billion, including munitions, mission-essential equipment and integrated logistic support.

The AW-159 (previously called the Future Lynx and Lynx Wildcat) is an improved version of the Westland Super Lynx military helicopter.

The AW-159 can also be armed with rockets, machine guns, missiles, torpedoes and depth charges.

Meanwhile, the PN’s surveillance and monitoring capability was boosted with the formal donation of the Japan Maritime Self Defense Force of three more Beechcraft King Air TC-90 patrol aircraft last March 26.

The TC-90, which is part of the Beechcraft King Air aircraft family, was offered by Japan shortly after the Agreement Concerning the Transfer of Defense Equipment and Technology was finalized on February 29, 2016.

The first two TC-90s were delivered to the Philippines on March 27, 2017, while the last three aircraft were handed over to the PN last March 26.

A4

The World BusinessMirror

Tuesday, January 1, 2019

www.businessmirror.com.ph

Stormy quarter for oil draws to a close

O

IL’S set for its biggest quarterly drop since 2014, marking the end of a turbulent 2018 during which prices tumbled into a bear market only weeks after reaching a four-year high.

A plunge of almost 38 percent this quarter is dragging futures in New York to their first annual loss since 2015, with a volatility gauge soaring 100 percent over the past three months. Investors are unsure if output cuts pledged by the Organization of the Petroleum Exporting Countries (Opec) and its allies will be able to counter booming American production.

Meanwhile, a trade dispute between the US and China as well as the Federal Reserve’s monetary policy are stoking concerns over economic growth.

While a US plan to reimpose sanctions on Iranian oil drove prices to a four-year high in October, the Trump administration’s surprise decision to grant waivers from its restrictions to some nations sparked a collapse in crude. As Opec and its partners, including Russia, prepare to cut 1.2 million barrels a day of output from January to stabilize the market, they face a challenge from American drillers who are pumping at record levels.

“Trump has reigned as the ultimate controller of oil prices this year because everything from sanctions against Iran, the trade war with China and even tensions with Saudi Arabia, he’s been involved,” Sungchil

Will Yun, a commodities analyst at HI Investment & Futures Corp., said by phone. “While prices won’t fall further from here, the pace of increase will also be quite gradual next year.”

West Texas Intermediate (WTI) for February was at $45.84 a barrel on the New York Mercantile Exchange, up 51 cents, at 12:26 p.m. in Singapore. Prices are on track for a 24-percent decline this year after climbing more than 60 percent in the previous two years. Total volume traded was about 9 percent below the 100-day average.

Brent for March settlement added 61 cents to $53.82 a barrel on the London-based ICE Futures Europe exchange. The February contract expired on Friday after closing 4 cents higher at $52.20. The global benchmark crude has lost 35 percent this quarter, and is headed for a 19.5-percent annual drop. It’s trading at a premium of $7.69 to March WTI. In recent weeks, oil’s been hit by a wider financial market rout, spurred by volatility in equities, global central banks’ tighter monetary policy, political turmoil in Washington and uncertainty over America’s trade spat with China. The outlook for next year’s economic growth has dampened after a slew of downbeat

FEARS of a glut and slowing growth drove crude’s plunge in 2018.

economic data across the globe.

While Opec and its partners have reached a deal to trim output to clear a glut, their pact has only resulted in the worst post-cut price decline in a decade. Investors remain skeptical even after the producer coalition signaled its willingness to extend or deepen its production curbs as

the specter of growing US supplies haunts the market.

In America, more than 100 additional oil rigs have been deployed across the country this year, with overall crude production remaining at record levels of over 11 million barrels a day.

Crude stockpiles at the key US

storage hub in Cushing, Oklahoma, have surged to the highest level since January, while nationwide inventories are near a oneyear high, according to Energy Information Administration data.

Other oil-market news Hedge funds are keeping their cool in the most tumultuous end of the year

for oil since the 2008 financial crisis, betting on better days ahead.

While the US continues to add oil and natural gas drilling rigs despite the recent swoon in crude prices, Canada’s count in the past two weeks has dropped from 174 to just 70—the lowest since June 2016. Bloomberg News

NoKor leader expected to ring in 2019 with big policy speech Europe’s 5 presidents: Euro

K

IM JONG UN will be keeping North Korea watchers busy on New Year’s Day, when he is expected to give his annual address laying out the country’s top priorities for the year ahead.

The speech, which is normally broadcast on North Korea’s staterun television network, is often the best gauge of what the country’s leadership is focused on, and what tone it will take in its dealings with the outside world.

For 2019, it will be parsed carefully for clues about Kim’s thinking on denuclearization talks with Washington and a second summit with United States President Donald J. Trump, relations with South Korea and Pyongyang’s efforts to get out from under international sanctions as it tries to build up its domestic economy.

A look at Kim’s plate for the coming year:

The economy

THIS is Kim’s primary concern. He made that clear in his 2018 News Year’s address, and his government has been hammering it home ever since.

In his first televised speech, at a military parade in 2012, Kim vowed the nation would never again have to tighten its belts—a reference to the economic hardships it has faced, including a disastrous famine in the 1990s.

While they remain isolated and unable to travel or experience foreign media freely, North Koreans are aware of the yawning prosperity gap between themselves, South Korea and China. Kim has tried to address that by initiating infrastructure projects in major cities, building up the capital and allowing, if not overtly supporting, the spread of the market economy.

What’s not clear is how far he is willing to go with the kind of fundamental, systemic reforms needed to really ensure sustainable growth.

guarantees and sanctions relief.

The bottom line is that North Korea hasn’t given up much since Singapore. And it doesn’t think Washington has, either.

Trump has said a second summit could be held soon. The New Year’s speech gives Kim a golden opportunity to set the goalposts and to try to further detach his US counterpart from his advisers.

still needs work 20 years on

The South

NORTH Korea’s Kim Jong Un is expected to give his annual speech laying out his country’s top priorities for the year ahead. KOREAN CENTRAL NEWS AGENCY/KOREA NEWS SERVICE VIA AP, FILE

North Korea has hinted it wants to join the World Trade Organization and be more a part of the global economic community. But that would also require some risky moves, like increased transparency and commitment to global rules and norms. A big question is how much control Kim is willing to relinquish in exchange for prosperity.

North Korea is entering the fourth year of a five-year economic plan that Kim announced with great fanfare at a rare congress of his ruling party in 2016. If precedent is any indication, he will go into some detail outlining, sector by sector, the country’s successes so far and emphasizing what remains to be done. This part of the speech is usually couched in deliberately vague, broad or aspirational language and is directed at the domestic party leadership.

But if Kim is serious about change, this could be where he drops some important hints:

The nukes

NORTH Korea is still standing firmly behind the agreements it made with Trump at the Singapore summit.

The problem is that North Korea’s interpretation of the items they had decided upon is different with that of the Trump administration.

Kim never agreed to unilaterally throw away his hard-won nuclear arsenal, which he maintains is a necessary deterrent to the threat of an attack by the US. The North’s moratorium on nuclear tests and long-range missile launches also is not part of the summit agreement, and there is no explicit promise in the Singapore joint statement that the North won’t continue producing or developing its missiles.

So while the missiles have stopped flying for now, there’s still a lot up in the air.

Kim agreed the North would “work toward the complete denuclearization of the Korean Peninsula.” But from the North’s perspective, it must include the removal of what it has always claimed the reason it has nukes in the first place: the threat of a US nuclear attack.

While not directly criticizing Trump, a tactic it is likely to stick with until it sees the overall process as seriously off the rails, the North has tried to play him against his advisers while it pushes for security

IN contrast to Pyongyang’s dealings with Washington, relations between North and South Korea have seen a major thaw.

With three leaders’ summits in 2018 and dozens of other meetings, the Koreas have opened a liaison office in the border town of Kaesong, created border buffers and no-fly zones to reduce military tensions, and jointly surveyed North Korea’s outdated railways and roads with the goal of connecting them with the South. They even vowed to make a bid to jointly host the 2032 Summer Olympics.

But Seoul cannot proceed without the removal of US-led international sanctions. While President Moon Jae-in sees inter-Korean reconciliation as a crucial part of nuclear diplomacy, his enthusiasm for engagement has caused discomfort in Washington.

Pyongyang, meanwhile, has a lready beg un ex pressing its frustration with the slowdown in inter-Korean projects and demanded that Seoul break from Washington’s lead.

Some analysts expect Kim to further try to drive a wedge between the allies with a nationalistic call for stronger inter-Korean cooperation, while painting Washington as a bad-faith actor who refuses to take corresponding measures to the North’s unilateral dismantlement of a nuclear test site as well as the suspension of nuclear and long-range missile tests. AP

EUROPEAN Commission President Jean-Claude Juncker delivers the State of the Union address

T

HE five presidents of the European Union (EU) used the euro’s 20th birthday to praise the single currency’s successes, while warning that the job isn’t yet complete.

The continent’s monetary union, one of the biggest economic experiments of the modern era, has grown to 19 members from its initial 11 and now covers 340 million citizens.

The shackling together of nations as diverse as Germany, Italy and Greece, however, also created strains that led to a debt crisis which continue to fuel political flare-ups.

Here’s a collection of comments from the EU’s political and monetary heads, a day before the January 1 anniversary: Jean-Claude Juncker, president of the European Commission: The euro has become a symbol of unity, sovereignty and stability.

It has delivered prosperity and protection to our citizens and we must ensure that it continues to do so.

This is (the reason) we are working hard to complete our Economic and Monetary Union (EMU), and boost the euro’s international role further.

Antonio Tajani, president of the European Parliament: For Europeans to benefit fully from the jobs, growth and solidarity that the single currency should bring, we must complete our EMU through genuine financial, fiscal and political union. This will also allow Europe to better shield its citizens from poten-

tial future crises.

Donald Tusk, president of the European Council: Despite crises, the euro has shown itself resilient, and the eight members that joined the original 11 have enjoyed its benefits. As the world keeps changing, we will keep upgrading and strengthening our EMU. Mario Draghi, president of the European Central Bank: After 20 years, there is now a generation who knows no other domestic currency.

During that time, the European Central Bank has delivered on its main task of maintaining price stability.

But we also contribute to the wellbeing of euro-area citizens by developing safe, innovative banknotes (while) promoting secure payment systems (as well as) supervising banks to ensure they are resilient and overseeing financial stability.

Mario Centeno, president of the Eurogroup: The euro and the close economic cooperation that it entails has evolved over time, overcoming challenges in its way. It has come a long way since the start, and it has seen important changes in the wake of the crisis to help us leave the hardship behind.

But this work is not yet finished; it requires continuous reform efforts in good times as in bad times.

There can be no doubts of our political will to strengthen the EMU. We need to be prepared for what the future may hold. We owe that to our citizens. Bloomberg News

www.businessmirror.com.ph

The World BusinessMirror

Editor: Angel R. Calso • Tuesday, January 1, 2019

A5

Data abuses prompt calls for overseer to bare teeth

L

AST spring, soon after Facebook acknowledged that the political consulting firm Cambridge Analytica had improperly obtained the data of tens of millions of the social network’s users, a top enforcement official at the Federal Trade Commission (FTC) drafted a memo about the prospect of disciplining Facebook.

FACEBOOK Chief Executive Mark Zuckerberg testifies before the US Senate on Capitol Hill in Washington on April 10, 2018. A regulator with the Federal Trade Commission is under attack for what critics say is a systemic failure to police tech giants and their vast appetite for personal data. TOM BRENNER/THE NEW YORK TIMES

Lawmakers, consumer advocates and even former commission officials were clamoring for tough action against the social media giant, and argued it had violated an earlier FTC consent decree barring it from misleading users about the manner their information was shared.

But enforcement official James A. Kohm took a different view.

In a previously undisclosed memo in March, Kohm—echoing Facebook’s own argument—cautioned that the latter was not responsible for the consulting firm’s reported abuses. The social network seemed to have taken reasonable steps to address the problem, he wrote, according to someone who read the memo, and most likely had not broken its promises to the FTC. The Cambridge Analytica data leak set off a reckoning for Facebook and a far-reaching debate about the tech industry, which has collected more information about more people than almost any other in history. At the same time, the FTC, which is investigating Facebook, is under growing attack for what critics say is a systemic failure to police Silicon Valley’s giants and their enormous appetite for personal data.

Almost alone among industrialized nations, the United States has no basic consumer privacy law. The FTC serves as the country’s de facto privacy regulator, relying on more limited rules against deceptive trade practices to investigate Google, Twitter and other tech firms accused of misleading people about how their information is used.

But many in Washington view the agency as a watchdog that too rarely bites. In more than 40 interviews, former and current FTC officials, lawmakers, Capitol Hill staff members, and consumer advocates said that as evidence of abuses has piled up against tech companies, the FTC has been too cautious.

Now, as the Trump administration and Congress debate whether to expand the agency and its authority over privacy violations, the Facebook inquiry looms as a referendum on the FTC’s future.

“They have been asleep at the switch,” said Senator Richard Blumenthal, D-Conn., the ranking member of the subcommittee charged with overseeing the agency. “It’s a lack of will even more than paucity of resources.”

Even if the agency does not penalize Facebook over the Cambridge incident—and some former FTC officials disagree with Kohm’s reasoning—the commission could punish the company for other offenses. Former officials say they’ve been told that its inquiry has expanded to include recent security and privacy breaches as well as Facebook’s secretive data-sharing deals with Amazon, Netflix and other companies. Facebook declined to comment on the inquiry.

The agency, overseen by five commissioners—three of them typically from the president’s party, is habitually tight-lipped. FTC Chairman Joseph Simons declined to comment on the Kohm memo.

A cautionary tale

AS the federal government’s main consumer protection and antitrust authority, the FTC has pursued carmakers, drug companies, illegal robocallers and bloggers who fail to disclose corporate sponsors.

But it is hampered by its relatively small size: about 1,100 employees—roughly a quarter the staff of the Securities and Exchange Commission—and broad mandate. Guarding consumer privacy online, just one part of its mission, can raise complex technical issues.

The agency’s enforcement arm, led by Kohm, does not have its own tech experts, and instead borrows them from other agency units. The job of chief technologist, an adviser to the FTC chairman, has been vacant since April. And the armies of attorneys employed by tech giants outnumber its lawyers.

“They have considerably less staff than they had in the 1980s, and more responsibility,” said Justin Brookman, a former FTC official under the Obama administration who now works at the Consumers Union.

FTC officials said privacy and data security cases had gotten more attention than any others over the past decade.

Still, all five commissioners agreed at the November Senate hearing that the agency needed more money and greater regulatory authority to keep up with big tech.

In 2013 for example, FTC commissioners overruled a staff recommendation to sue Google for abusing its dominance in search to harm rivals. Three years later, when Google began merging data collected by several of its services, including Gmail and the ad technology platform DoubleClick, consumer groups filed

a complaint with the FTC calling the practice “highly deceptive.” The agency took no public action.

Nor did the FTC penalize Facebook after it began acquiring phone numbers and other data from users of its WhatsApp subsidiary, which broke promises it had made when it acquired the messaging service. By contrast, the European Union’s antitrust chief fined

Facebook $122 million last year for making misleading statements about the WhatsApp acquisition.

The social network said it had notified users of the change with new terms of service and had allowed them to opt out of aspects of how the platform used the data.

The FTC has defended its record on privacy, and pointed for instance to a

$22.5-million fine imposed on Google in 2012 for bypassing privacy settings in Apple’s Safari browser in violation of a consent agreement. The fine was the largestcivilpenaltyintheagency’shistory.

Former officials say the agency struggles to enforce privacy within its traditional definition of deceptive or abusive business practices.

New York Times News Service

A6 Tuesday, January 1, 2019 • Editor: Angel R. Calso

Opinion BusinessMirror

www.businessmirror.com.ph

editorial

Cool change

M

ILLENNIALS might not believe this, but there was a time in Metro Manila when those who went to Simbang Gabi had to wear coats, not just for porma (to look good) but to really keep warm from the cold that could fog up the breaths of Mass goers.

Indeed, there was a time one need not go all the way to Tagaytay or Baguio City to see morning fog creeping up the streets, because Manila had it during the holidays, even as early as “ber” months.

The contrast between past and present weather is quite noticeable, even with the refreshing bursts of cold wind we get from amihan season. It has gotten hotter certainly, and not just in Metro Manila. Even Baguio, where one once needed to be wrapped up like an Eskimo because of its biting cold all year round, has been known to disappoint at certain times for being not as cold as before.

This year hot, dry weather was front-page news around the world, as well.

Heat waves broke out in Europe, Asia, North America and northern Africa. We saw destructive wildfires in California, Greece and Sweden.

The year 2018 was on pace to be the fourth-hottest year on record, according to the United Nation’s specialist weather agency, the World Meteorological Organization.

Climate-change studies have found that global warming has increased heat records everywhere. But our country cannot simply blame climate change for the hot weather, as if there is not much we can do about it, because the reality is there are more than a few things we could do.

For instance, we could build more parks and other “green spaces” to help keep our cities cool. We have plenty of examples that could serve as models—cities and countries that have successfully expanded green areas even as they urbanized and achieved significant economic progress.

For example, Singapore’s public spaces not only make sure people have enough space for recreation but also function as gardens that feature the best of its flora and fauna.

According to the New York Times, Singapore’s population has doubled in the last 25 years and yet its green cover has increased from a third of the city-state’s area to nearly half.

Compare that to Metro Manila, which, according to scientific estimates, only has about 13-percent green cover left, losing its greenery as it became the most densely populated city in the world, with over 42,000 inhabitants per square kilometer and a population estimated at 21.3 million.

Just a few decades ago, Metro Manila had more parks, trees and plazas than buildings, malls and condos, and classes were rarely suspended due to flash floods. Now it is one of the lowest-ranked cities in the Asian Green City Index, a measurement of the environmental performance of 22 cities across the region by the Economic Intelligence Unit.

It is no coincidence that nowadays even short, sudden downpours can cause floods and chaos on the streets.

We can still turn the clock backward and reshape Metro Manila and our other urban centers into green havens. More than one-third of the country’s wealth circulates around Metro Manila. It certainly has the fiscal strength to invest in green infrastructure and ecological projects. It is also blessed with natural endowments like the Manila Bay, the Pasig River and the few remaining parks and open spaces, mostly owned by the government, like the Arroceros Forest Park, Luneta, the Ninoy Aquino Parks and Wildlife Center, the Quezon Memorial Circle and others.

All these must be rehabilitated and preserved. The few remaining green spaces should no longer be allowed to be turned into high-rise condominiums, commercial buildings, concrete flyovers, even squatter colonies.

The Duterte administration’s national infrastructure-development program “Build, Build, Build” supposedly has a “Green, Green, Green” component that aims to support city governments in building public open spaces, with a P2.5billion budget for things like forest parks and botanical gardens, upgrading streets and waterfronts, revitalizing plazas, tree planting and other “green” activities.

This program needs to be implemented urgently—and without corruption.

We would like to see not only its success but its continuation in succeeding administrations. We certainly need more trees, parks, gardens and recreational spaces in our cities.

Industrialization, modernization and economic development should not automatically lead to congestion, overpopulation and pollution. The government can choose a better way by pursuing revitalization and urban-renewal projects that promote health, sustainability and social responsibility, and these would have positive effects not only on the climate but on the economy, too.

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THE ENTREPRENEUR Continued from Page 1

B

ANGKO Sentral ng Pilipinas (BSP) Deputy Governor Diwa C. Guinigundo explained that several reforms propelled the economy to an impressive streak of 79 consecutive quarters of uninterrupted growth.

What started as a challenging year amid the global anxieties turned out to be not that bad. Not even the stock-market slump, the sharp rise in petroleum prices, the realignment of the European Union with the impending exit of the United Kingdom, the trade war between the US and China and the currency crisis in several countries could temper business confidence in the Philippines.

US online news site Business Insider in fact ranked the Philippines at the top of the list of 20 best countries to invest in this year.

What happened in 2018 showed the resilience of the Philippine economy amid all the external challenges. Although the inflation rate, or the movement in consumer prices, hit a nine-year high of 6.7 percent in October, it eventually softened to 6 percent in November, with all indications pointing toward further

deceleration in the coming months.

Oil and rice prices, the biggest contributors to the consumer price index, began to stabilize. Once the rice tariffication measure takes effect, inflation is expected to moderate further.

This is complemented by appropriate monetary policy. The BSP raised the overnight borrowing rate by a total of 175 basis points in five consecutive Monetary Board meetings to 4.75 percent to contain inflation, but chose to halt the rate hike in its last meeting on December 13 on indications of moderating prices.

The peso depreciated around 6 percent against the US dollar this year, mainly a result of a generally strong greenback as President Donald Trump tried to reinvigorate the US economy.

Remittances from Filipinos working overseas grew 3.1 percent in the

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PHL did quite well in 2018

I

OUTSIDE THE BOX

T offends me when the performance of the stock market is used as a propaganda tool by the government when prices are higher, and by the opposition when the market goes down.

This is not unique to the Philippines. However, it is sillier here since the impact of share price movement is almost meaningless to nearly all of 110 million Filipinos.

While most pundits probably could find the Philippine Stock Exchange building, their actual knowledge of our stock market does not go much beyond knowing what the abbreviation “PSE” means.

For example, the New York stock market registered a historic one-day point move last week. This was partially the result of up to $64 billion in buying from the pension funds.

About 40 percent of US listed shares are held by pension funds and individual retirement accounts.

The California Public Employ-

ees’ Retirement System manages pension benefits for more than 1.6 million public employees and retirees with a $330 billion portfolio.

Fifty-percent is invested in US and foreign stock markets.

By comparison the Philippine Government Service Insurance System with around a P900-billion portfolio has less than 20 percent in both local and foreign equities. Likewise, the Philippine Social Security System that is holding about P450 billion puts less than 25 percent of its assets in equities.

Therefore, if specific US government policies can be pointed to as helping or hurting stock prices, it is a valid concern. While it is not the government’s job to facilitate

first 10 months to $23.1 billion, supporting the country’s balance of payments (BOP). The BOP, however, yielded a $4.74-billion deficit in the first 11 months, mainly because of strong imports that now amount to $8 billion to $10 billion a month. The economy’s strong demand for capital goods and raw materials to support the “Build, Build, Build” infrastructure program of the government is fuelling the robust import growth.

While the gross international reserves declined $5.7 billion since the start of the year to $75.49 billion as of November, they remain at a healthy level, enough to cover 6.9 months’ worth of imports of goods and payments of services.

Fortunately, the oil market has stabilized, with Brent prices now below the $60-a-barrel mark. This would hopefully put less pressure on the peso and help tame the inflation rate.

The stock market, meanwhile, appeared to have bottomed out in November. The market has strongly recovered after losing 11.6 percent from the start of the year.

Fitch Ratings, one of the three major global debt watchers, affirmed the Philippines’s investment-grade score of “BBB” with a stable outlook, saying growth prospects remain favorable.

“The Philippines is less vulnerable to large outflows compared with some of its neighbors in the region, given lower nonresident holdings of domestic debt and equities, although

foreign outflows are likely in 2019 as global monetary conditions continue to tighten,” Fitch said.

The Philippines may even see a record net inflow of over $10 billion in foreign direct investments this year. Data from the BSP show that FDI net inflows in the first three quarters climbed 24.2 percent to $8 billion from $6.5 billion a year ago, as investors continue to prefer the Philippines as one of the best places to put their capital.

Fitch said the recent passage of the 11th Regular Foreign Investment Negative List could further ease restrictions on foreign investment and contribute to the economic expansion.

“Inflation pressures now appear to be easing, partly due to recent monetary policy tightening and easing of some supply-side pressures.

We forecast GDP growth to remain strong in 2019 and 2020 at around 6.6 percent, supported by robust private consumption and public investment,” Fitch said.

GDP per capita is expected to reach $3,179 by the end of 2018, according to Fitch’s estimates, putting the Philippines among middleincome economies.

To recap, it looks like we have weathered the crisis. Considering what is happening in the world, we did quite well. I believe that 2019 will put us back to an even stronger growth trajectory.

in moving the market, the direction the stock market goes has a broad impact on the US economy.

Not so here in the Philippines.

The Philippine Stock Exchange Composite index (PSEi) fell 12.76 percent, and the All Shares index was down 9.46 percent in 2018, barely a price correction. Some economic and stock-market experts were quick to blame Philippine government policies. That may or may not be true. But the reach of the Duterte administration must be incredibly far and wide.

Tokyo is down 10 percent this year with the Frankfurt, Germany, market off nearly 20 percent, London has declined more than 14 percent and Paris 13 percent. China has fallen 15 percent.

The regional results show many of the stock markets down, these by the following amounts: Malaysia, 11 percent; South Korea, 18 percent; Indonesia, 5 percent; Singapore, 11 percent; and Thailand, 8 percent.

Higher inflation, slowing economic growth and externals, such as the US/China trade dispute and increasing US interest rates are all factors in the PSEi decline.

However, the 800-pound gorilla

on the stock-market trading floor is foreign money and foreign selling.

Since January, foreign selling has been constant, and it has only been in December that we have seen a meaningful slowing down of foreign money leaving the PSE. Billions of dollars have been removed from the “emerging stock markets”—also known as the “not-pure-white-skin markets”—regardless of factors, such as economic growth.

The PSE “lost” $1 billion, but who can blame these investors when inflation skyrocketed due to economic “overheating” and certainly not high oil prices or new taxes.

And how can anyone invest in a country in complete political chaos despite its president having a net approval rating of 60 percent, with 74 percent of adult Filipinos being “satisfied”?

However, local stock-markets investors are—in my 44 years of experience—shrewd and smart. Let the foreigners sell down and cautiously buy from them as prices go lower and at the bottom. When inflation soon is well within government targets and as economic growth is still one of the highest in the world, that foreign money will return.

Happy New Year to all!

Opinion BusinessMirror

www.businessmirror.com.ph

Trump’s China strategy isn’t working

A real public servant to watch

By Anne Stevenson-Yang | Bloomberg Opinion

T

HE Trump administration’s willingness to push the Chinese harder on trade has struck a bilateral chord. Beijing is listening. So far, so good. Now the question is what the US wants to achieve. Answer: the total destruction of China as a competitor.

That isn’t a trade goal, and the demands being made contradict one another. This aim also unnecessarily awakens Beijing’s deepest nationalist fears.

Unsure what to offer next—and convinced that the US effectively persuaded Canada to take an executive at Huawei Technologies Co. hostage—China is falling back on familiar jingoistic strategies and rhetoric. Things are likely to get much worse from here.

Meanwhile, the US economy is incurring pain that the Trump administration seeks to alleviate with a $12-billion bailout program to aid farmers. Pain may be worth enduring if something is being accomplished. But the only likely outcome is a reduction in trade and more expensive Chinese products.

In other words, fat taxes on the American consumer.

Over the past few months, Chinese imports from the US have dropped sharply, declining 25 percent in November, even as its exports to the US continued to rise.

The big falloff started in July, after Washington implemented the first list of China-specific tariffs.

The majority of US firms polled by the American Chamber of Commerce in Shanghai reported that the trade war has hurt their profits and that non-trade barriers have increased.

The policies, if anything, have supported more offshoring: 31 percent of the respondents said they were looking to assemble or source components outside the US. There is no evidence that cybersecurity or intellectual-property protections have improved for US companies.

That’s a big turnaround in sentiment from years past. So why the change of heart?

China started its economic opening with an all-fronts offensive to charm foreign businesses.

Politburo members were told to doff Mao suits and put on ties and jackets. Beijing and Shanghai built luxurious hotels at the end of highways that led straight from their airports: Foreign investors never needed to encounter the inconveniences of China proper.

By the 1990s, every third-string corporate delegation from the US hoping to manufacture ball bearings or Barbie dolls in China was given an audience with the top political leadership, and those of us working there met constantly with government representatives.

It’s no wonder that American corporations believed the country was on a trajectory toward better market access, more transparency and fairer competition.

A key turning point came when China discovered public markets.

The decade between 2000 and 2010 was a heyday for Chinese Initial public offerings—especially for state-owned enterprises, for which public markets seemed like a bottomless and benevolent well of cash. After Hu Jintao assumed leadership in 2003, he dispensed with all the government meetings for foreigners.

Another decisive moment was 2008, when the nation’s measures to secure an optically triumphant Olympics established the machinery for tighter information control. That came in handy as the global financial crisis hit. With infrastructure stimulus appearing to rescue the economy, Beijing became convinced of the country’s exceptionalism—a hubris that only affirmed the success of China’s authoritarian model, and led to a new era of assertiveness.

In this way, China lost the support of foreign businesspeople, who have become disillusioned with the

market, tired of the pollution and now fear for their physical safety.

(The detention of three Canadians in retaliation for the Huawei arrest looks like pure thuggery.)

Initially, it was startling and encouraging that a US administration was finally willing to call China’s bluff. Problems in bilateral trade genuinely run deep, and Beijing has a coordinated strategy of stealing US technology and evading American export-control laws. Market access has in many ways deteriorated since the country joined the World Trade Organization in 2001 and made sweeping commitments to open up. The country subsidizes industries that then gain unfair advantages against competing foreign products.

But the Trump administration’s attempt to address these problems isn’t working. Its trade positions conflict with one another, and despite various theories, no one is entirely sure who speaks for the US. President Donald J. Trump started off by demanding that China reduce its trade surplus with the US by $200 billion and threatened a series of tariffs on its goods. The US trade representative is pushing forward a Section 301 action to address IP theft, while also claiming to be working to encourage “reshoring”

by US firms.

The Department of Defense is focused on cyber-strategy; the Department of Commerce on export controls; and the Federal Bureau of Investigation on nontraditional espionage. In other words, there is a litany of complaints whose basic target is the whole Chinese economic and political system.

Many of these goals are incompatible. Enforcing US export controls will necessarily decrease its shipments to China and, therefore, increase the trade deficit. US tariffs, and the inevitable retaliation, are a disincentive to reshoring, as they raise costs. Enforcing IP laws promotes import substitution. None of this is to say that the laws shouldn’t be enforced; the administration just needs to be clear on its goals.

There are a few ways the US could adopt a constructive approach without relinquishing (most of) its goals.

Focus on IP theft: Drop demands about the trade deficit and firmly pursue IP enforcement and marketaccess demands. US Trade Representative Robert Lighthizer is by far the most experienced and capable negotiator on the US side. Treasury Secretary Steven Mnuchin, Commerce Secretary Wilbur Ross and Trump should step out of the process.

Go after China’s red aristocracy: The high-alarm reaction to Huawei Chief Financial Officer Meng Wanzhou’s arrest is a clear sign that the country’s blooded elite are the third rail of diplomacy. A more active Treasury Department focus on Chinese money laundering; more stringent enforcement of export controls; and swift sanctions on the country’s sales to Iran and North Korea are important pressure points.

Strengthen Committee on Foreign Investment in the US: The US needs to trade access to its own market for entry to China’s, especially in financial services. More stringent investment reviews via the CFIUS can be used as leverage.

China’s political leadership rules at the pleasure of its military and security forces, a fact poorly appreciated in the US. Beijing’s more regressive and nativist powers are held at bay when the country demonstrates strength, and even bellicosity. The Trump stance could easily trigger a backlash for which the US is ill-prepared.

Tuesday, January 1, 2019 A7

Cecilio T. Arillo

DATABASE

I

AM referring to Sen. Panfilo “Ping” M. Lacson Sr., whose endearing quality as a real public servant brims the records of the country’s contemporary history and captured the imaginations of the millennial and his generations. With God’s will, he’s the man to watch in the political scene in the coming years.

In my 54 years as a journalist, having started out at the age of 22 in 1964 as a police reporter in the Times-Mirror-Taliba chain of publications and later as a defense reporter and writer of historical events in the fields of social and behavioral sciences (in particular, sociology, politics, economics, national security and public safety), largely woven into hundreds of articles and six books, all published

by Amazon, one of the world’s largest publishing houses, I have not seen a politician in more than four decades now who remained uncorrupted with exceptional record of integrity and decency in public service.

Has a strict guidance of what’s has right and wrong instilled by his late disciplinarian mother (Maxima), which he passed on to his siblings and became his personal credo in life: “What is right must be kept right; what is wrong must be set right.”

Matching his motto with exemplary action, Lacson surprised the nation when he promptly returned his P200-million-a-year Priority Development Assistance Fund (PDAF) allocations to the National Treasury, the only lawmaker to do so, and saved the government P2.4 billion in 12 years, when he was elected to the Senate in 2001 and remains until today the only politician with no record of involvement in porkbarrel scams.

Exactly a decade before the multibillion-peso scandal involving Janet Lim-Napoles surfaced and run its outrageous course, Lacson in a privileged speech exposed in detail the temptation to pocket taxpayers’ money that subsequently linked presidents, senators, congressmen, budget

of f icers a nd nongover nment agencies to the PDAF (pork barrel) scams.

With scandals of every size, make and shape breaking out one after the other involving high public officials, Lacson, famously known for his uncompromising nature against lawless elements, stood alone as a crusader against the multibillion-peso pork-barrel funds, whose insatiable correlation to political patronage, favoritism and corruption is known to everyone.

He has authored and cosponsored scores of bills that were enacted into laws to suppress criminality and protect citizens from all types of predation. The details of this and other important historical facts are in my next column.

Before entering politics, Lacson served in various law-enforcement positions and finally as Director General of the Philippine National Police from 1999 to 2001. Upon assuming office as its head, he remarkably spread 85 percent of the PNP multibillionpeso budget to regional, provincial and other frontline units, retaining only 15 percent at the police headquarters in Camp Crame.

He imposed a strict discipline on the force, with he himself setting an example, refusing bribes and declining “rewards” from rescued kidnap-for-ransom victims.

He also rid the organization of the deeply rooted “ kotong [extortion] culture” prevalent in the streets, highways and in PNP offices where contractor and suppliers do business and, thus, ranked the PNP for the first time in decades from negative to a high 58 -percent public-acceptance rating, while he himself scored 78-percent approval rating.

Because of his solid reputation, Lacson, a product of the elite Philippine Military Academy, Class 1971, became a magnet for envy and a target for demolition by some peers and ambitious politicians threatened by his endearing qualities and popularity among the masses and intelligent voters, persecuting him at every turn and subjecting him to prejudgment of guilt.

Kuratong Baleleng case

CURIOUSLY in 2003, the Supreme Court ordered the Quezon City Regional Trial Court to try Lacson and 33 other police officials allegedly linked to the killing of 11 members of the ruthless and dreaded Kuratong Baleleng gang in Quezon City.

For lack of probable cause, however, the trial court dismissed the criminal case, but the special prosecuting team later moved for a new trial, again before the Supreme Court remanded the case to the trial court on a flimsy “new evidence” against Sen. Lacson.

The high tribunal, in an en banc decision on November 13, 2012, consequently denied the motion to revive the case.

Dacer-Corbito murder case

CONTROVERSIAL PR man Salvador “Bubby” Dacer and his driver, Emmanuel Corbito, were abducted in Makati on November 24, 2000.

Si x months later their burnt corpses were found at a creek in Indang, Cavite.

The Department of Justice f i led double mu rder c ha rges against P/Senior Supt. Michael Ray Aquino, P/Senior Supt. Cezar Mancao II, P/Senior Supt. Glenn Dumlao and other officers, all members of Presidential Antiorganized Crime Task Force then headed by Lacson.

They were kidnapped and killed at the height of an active plot to oust President Estrada from power while he was visiting Singapore at that time, with this writer one of those covering him.

Months later, Estrada fell from power and Vice President Gloria Macapagal-Arroyo took over the presidency in a power grab. I wrote a book later with the same title, detailing how Estrada was yanked out from power in a conspiracy.

While the plotters were setting

The story of 2018 was climate change

By David Leonhardt The New York Times

O

UR best hope may be the weather.

For a long time, many people thought that it was a mistake to use the weather as evidence of climate change. Weather patterns contain a lot of randomness. Even as the Earth warms and extreme weather becomes more common, some years are colder and calmer than others. If you argue that climate change is causing some weather trend, a climate denier may respond by making grand claims about a recent snowfall.

And yet the weather still has one big advantage over every other argument about the urgency of climate change: We experience the weather. We see it and feel it.

It is not a complex data series in an academic study or government report. It’s not a measurement of sea level or ice depth in a place you’ve never been. It’s right in front of you. And although weather patterns do have a lot of randomness, they are indeed changing. That’s the thing about climate change: It changes the climate.

I wanted to write my last column of 2018 about the climate as a kind of plea: Amid everything else going on, don’t lose sight of the most important story of the year.

I know there was a lot of competition for that title, including some more obvious contenders, like President Donald J. Trump

I often want to ask these officials: Deep down, do you really believe that future generations of your own family will be immune from climate change’s damage? Or have you chosen not to think very much about them?

and Robert Mueller. But nothing else measures up to the rising toll and enormous dangers of climate change. I worry that our children and grandchildren will one day ask us, bitterly, why we spent so much time distracted by lesser matters.

The story of climate change in 2018 was complicated—overwhelmingly bad, yet with two reasons for hope. The bad and the good were connected, too: Thanks to the changing weather, more Americans seem to be waking up to the problem.

I’ll start with the alarming parts of the story. The past year is on pace to be the Earth’s fourthwarmest on record, and the five warmest years have all occurred since 2010. This warming is now starting to cause a lot of damage.

In 2018, heat waves killed people in Montreal, Karachi, Tokyo and elsewhere. Extreme rain battered North Carolina and the Indian state of Kerala. The Horn of Africa suffered from drought.

Large swaths of the American West burned. When I was in Portland,

Oregon, this summer, the air quality—from nearby wildfires—was among the worst in the world. It would have been healthier to be breathing outdoors in Beijing or Mumbai.

Amid all of this destruction, Trump’s climate agenda consists of making the problem worse. His administration is filled with former corporate lobbyists, and they have been changing federal policy to make it easier for companies to pollute.

These officials like to talk about free enterprise and scientific uncertainty, but their real motive is usually money. Sometimes, they don’t even wait to return to industry jobs. Both Scott Pruitt and Ryan Zinke, two now-departed pro-pollution Cabinet secretaries, engaged in on-the-job corruption.

I often want to ask these officials: Deep down, do you really believe that future generations of your own family will be immune from climate change’s damage? Or have you chosen not to think very much about them?

As for the two main reasons for hope: The first is that the Trump administration is an outlier. Most major governments are trying to slow climate change. So are many states in this country, as well as some big companies and nonprofit groups. This global coalition is the reason that the recent climate summit in Poland “yielded much more,” as Nat Keohane of the Environmental Defense Fund said,

the stage to grab power as an added attraction, Dumlao implicated Estrada and Lacson in the DacerCorbito murder case. Both Estrada and Lacson promptly denied their involvement.

Much later, after Estrada was ousted and a case was still pending with the Supreme Court against the plotters, another unlikely witness surfaced. This time it was P/Senior Supt. Cezar Mancao II, implicating Lacson as the mastermind of the murders of Dacer and Corbito. In an affidavit, Mancao claimed that Lacson gave the hit order to then-P/Senior Supt. Aquino.

Lacson denied the allegation, stating that the Office of thenPresident Macapagal-Arroyo had pressured Mancao to sign the affidavit. Mancao himself later confirmed this in a media interview when he apologized to Lacson and Estrada for linking them in the Dacer–Corbito murders, admitting that he had no personal knowledge on the supposed involvement of the two and that he was forced by the MacapagalArroyo administration to implicate them.

Tipped on an active hit on him, Lacson quietly left the Philippines for Hong Kong on a Cathay Pacific flight before charges against him were filed at Branch 18 of the Manila Regional Trial Court, which issued an arrest warrant for him.

As if on cue by the Philippine government, the Interpol subsequently issued a Red Notice for Lacson, who was spotted in Hong Kong and Rome, where Interpol had offices.

On February 3, 2011, the Court of Appeals withdrew the murder charges against Lacson, citing Mancao, who by then curiously escaped from the National Bureau of Investigation custody and became a fugitive, not a credible witness, prompting the Supreme Court to affirm the Court of Appeals’s ruling on the case.

On his return to the country after the high court cleared him, Lacson said he’s not nursing resentment against his political enemies as he continued his crusade against the pork barrel and other wrongdoings.

To reach the wr iter, e-mail cecilio.arillo@gmail.com

“than many of us had thought might be possible.”

The second reason for hope is public opinion. No, it isn’t changing nearly as rapidly as I wish. Yet, it is changing, and the weather seems to be a factor. The growing number of extreme events—wildfires, storms, floods and so on— are hard to ignore.

Only 40 percent of Americans called the quality of environment “good” or “excellent” in a Gallup Poll this year, the lowest level in almost a decade. And 61 percent said the environment was getting worse.

In an NBC News/Wall Street Journal poll, 66 percent of Americans said they wanted to see action to combat climate change. Some polls even suggest that Republican voters are becoming anxious about the situation.

The politics of climate change remains devilishly hard, especially because so many people around the world feel frustrated about their living standards. France’s gilet jaune (yellow vest) protests, after all, were sparked by a proposed energy tax. Compared with dayto-day life, the effects of climate change have long felt distant, almost theoretical.

But now those effects are becoming real, and they are terrifying. To anyone who worries about making a case for climate action based on the weather, I would simply ask: Do you have a better idea?

2nd Front Page BusinessMirror

A8 Tuesday, January 1, 2019

www.businessmirror.com.ph

Usman death toll climbs to 68; 19 missing

T

By Rene Acosta

@reneacostaBM

HE death toll from Tropical Depression Usman has risen to 68 as disaster and rescue personnel continue to assist victims affected by flooding and landslides, the National Disaster Risk Reduction and Management Council (NDRRMC) reported on Monday.

40,000

The number of people affected

by Usman in more than 36 barangays in Bicol and Eastern Visayas regions Based on the report released by the NDRRMC on Sunday night, 57 people died in the Bicol region while 11 others were also reported killed in Region 8. Most of the victims died from landslides

and flooding.

NDRRMC Spokesman Edgar Posadas said 19 others were also still missing.

Usman af fected at least 40,000 people in more than 36 barangays in Bicol and Eastern Visayas regions.

The NDRRMC said at least 121 areas and barangays in the two regions were also flooded and at least 65 road sections and three bridges were also closed to traffic due to landslides and flooding.

Power outages were also reported in 67 barangays in Regions 4A, 4B and 5.

Over 3,000 aliens excluded by Immigration in Jan-Oct

By Recto L. Mercene

T

@rectomercene

HE Immigration bureau’s airport unit has barred more than 3,000 foreign nationals in the first 10 months of 2018, having deemed that their presence could be detrimental to national interest.

The bureau’s port operations division chief, Grifton Medina, said in a year-end report to Commissioner Jaime Morente that a total of 3,528 aliens of varying nationalities were denied entry by international air-

ports across the country.

Medina said the majority of the aliens were turned away at the Ninoy Aquino International Airport (Naia). The rest were intercepted at Mactan-Cebu International Airport, Clark International Airport, Kalibo, Aklan and Davao.

“These aliens were turned back following secondary interrogation by our immigration agents,” he said, adding “the travelers were properly assessed and thereafter were found to be unfit for admission into the country.”

Morente, meanwhile, commended

the airport immigration personnel for thwarting the entry of undesirable aliens. He exhorted them to remain vigilant in the discharge of their duties as border control officers.

He warned foreigners who have ulterior motives in coming to the Philippines to think twice, as “they will not escape the watchful eyes of our immigration officers and agents in every port of entry.”

It was gathered that 1,508 Chinese nationals topped the list of the excluded aliens, followed by India with 262; Americans at 151

and Koreans at 138. Among those barred from entry were registered sex offenders, wanted fugitives, suspected international terrorists, blacklisted foreigners and previously deported aliens.

Statistics also show that about three-fourths of the excluded aliens were seen as public charges “or persons without visible means of support and whose purpose in coming here are suspect.”

Among those who were turned back were rude, drunk or rowdy foreigners who showed disrespect toward the immigration officers.

BOC seizes pen ink cartridges with liquid marijuana

A

T least 51 pieces of what looked like pen ink cartridges but which contained liquid marijuana were intercepted by Customs agents at the Central Mail Exchange Center (CMEC). And, guess what? They were claimed by a minor.

The hot items came from San Diego, California.

Customs at the Ninoy Aquino

International Airport (Naia) seized the liquid marijuana declared as “Pen Ink Cartridges.” Having discovered the contents of the parcel earlier, the customs agents waited three days until it was claimed by someone.

The claimant was turned over to the Philippine Drug Enforcement Agency (PDEA) and, being a minor, subsequently to the

Pasay Youth Home under the Pasay City Government and Department of Social Welfare and Development for supervision.

Marijuana is classified as a dangerous drug and possession is punishable under Republic Act 9165 , or the Comprehensive Dangerous Drugs Act of 2002.

Importation of the drug is prohibited by RA 10863, otherwise

known as the Customs Modernization and Tariff Act (CMTA).

Port of Naia district collector Mimel Talusan said the Customs Naia has had a record- breaking 29 drug busts since March 2018.

She said the customs agents are “continuously protecting the borders against entry and exit of anti-social and prohibited goods in the country.” Recto L. Mercene

DENR pitches EO on genetic resources NORTHEAST MONSOON AFFECTING THE REST OF LUZON TAIL-END OF A COLD FRONT AFFECTING BICOL REGION as of 4:00 pm - December 31, 2018

By Jonathan L. Mayuga @jonlmayuga

A

N official of the Department of Environment and Natural Resources (DENR) is pushing for a national policy to ensure fair and equitable sharing of the benefits derived from Philippine genetic resources.

A final draft executive order, titled “Strengthening the National Policy on Access- and Benefit-Sharing from the Utilization of Philippine Genetic Resources and for Other Purposes,” or ABS, has been endorsed by the Cabinet Cluster on Climate Change led by DENR Undersecretary Analiza Teh to Malacañang and is now being evaluated by the Office of the Executive Secretary.

The draft EO on ABS has been reviewed and subjected to inputs from key national line agencies before its submission to Malacañang.

It is expected to be one of the Duterte administration’s policy legacies that focus on upholding the country’s interest in protecting, securing and benefiting from its genetic resources.

Teh, the DENR’s undersecretary for Climate Change, acts as head of the Secretariat of the Climate Change Adaptation, Mitigation and Disaster Risk Reduction Cabinet Cluster upon Environment Secretary Roy A. Cimatu’s designation.

Teh expressed hope that the Office of the President will find the draft EO meritorious of President Duterte’s approval.

See “DENR,” A2

Farm damage climbs

MEANWHILE, an initial assessment by the Department of Agriculture (DA) showed 7,800 farmers in three regions have incurred losses amounting to some P195.36 million due to damage brought by Usman.

See related story on farm losses on page A1.

A report released by the DA Disaster Risk Reduction and Management (DRMM) Operations Center on December 30 evening showed that damage to the farm sector due to Usman grew by P192.63 million, from the previously reported P2.73 million.

“The increase in overall values is attributed to the reports in rice, corn and high-value crops in Quezon, Albay, Camarines Norte, Camarines Sur, Catanduanes, Masbate and Sorsogon,” it said in the report which was updated as of 5 p.m. of Sunday.

The DA report noted that Usman damaged 9,836 hectares of farms with an estimated volume loss of about 8,495 metric tons. It affected around 7,871 farmers.

The report showed that rice farmers in Calabarzon, Regions 5 and 8 suffered the brunt of Usman’s damage.

LT GROUP EYES WATER BIZ EXPANSION, RESTART FOR BIODIESEL IN 2019

LUCIO K. TAN JR.

E

MPHASIZING a thrust to participate and develop clean and renewable energy projects “for our sustainability,” Tanduay Distillers Inc. President and COO Lucio K. Tan Jr. announced the revival of Asian Alcohol Corp.

(AAC) next year.

“Our thrust [is to] reduce our carbon footprint to underscore our commitment to help mitigate the effects of climate change,” Tan Jr. said in his customary yearend message last week.

It was also in that message that the younger Tan revealed plans to revive the operation of the Bacolod-based facility that was “temporarily suspended” in 2010.

“Kapitan [Lucio Tan Sr.] made a strategic move to take one step backward in the hope of moving forward, a strategy that teaches us how to realize our future by our sacrifices of today. Next year, [AAC] will begin its biofuel production,” he said. “Like Absolut Distillers Inc. [ADI], it will blaze new paths and return to its old glory.”

Located on a 10-hectare plant, AAC was the second-largest distillery in the Philippines. The plant houses alcohol aging and wastewater treatment facilities, which converts distillery waste into biogas energy for its power requirements. It used to have a daily rated capacity of 210,000 liters of ethyl alcohol.

With this development, Tan Jr. said AAC is expected to be patterned after the success of ADI in Batangas, which has made more than P880 million from its bioethanol operations since 2015.

He also revealed that ADI “has commissioned a 6-effect evaporator as part of its continuous improvement and wastewater treatment upgrade.” Next year, a pot still distillery will be added to its operation together with a small mill, Tan Jr. said.

He added that Tanduay Distillers is expected to sell 20 million cases next year. Part of the growth plans are Tanduay’s more aggressive operations in pursuing the Luzon market and continued exploration of markets outside the country.

“I cannot wait to find out how we will fare against the best of the best,” he said. “Tanduay will grow its assets to compete and be even more relevant in the liquor industry.”

He also divulged that one of the companies under the group, Macroasia, will be going into “full blast” next year.

“Macroasia is going full blast with our thrust to address the future of water...our Chairman [Tan Sr.] has already been building dams to compliment the farmers with their harvest up north,” he added. “We are now investing more on this valuable liquid.”

“I believe this is incumbent upon us as a responsible corporate entity, where we can invest in technologies that will unravel economic opportunities for the group and our employees,” he said, encouraging his company executives to develop an ability to “go on offensive business mode”to adapt to a changing world, advocating technologies that are environmentally responsible and help ease the impacts of climate change.

Flooded Matnog. . . the inquiry to be conducted by the House Rules committee in Naga City on January 3, where the House has summoned DBM officials.

“Malinaw na may problema ang DBM sa budget allocation nila [The DBM clearly has a problem with the way they allocate budgets]. For 2019, zero budget for flood control in Matnog. But a whooping P325 million allocated for Casiguran, which has no threat of flooding now or in the next 25 years,” Andaya, who is from flood-ravaged

Continued from A1

Camarines Sur, pointed out.

“What is really the basis of allocating public funds for floodcontrol projects? Is it really climate change or affinity to the DBM Secretary?” Andaya asked aloud, in a mix of English and Filipino.

“Note this: just one tow n, that hasn’t even been flooded, gets an a share of 0.3 percent of the P114.4-billion total national budget allocated by the DBM for flood-control projects next year.

Wow!” Andaya stressed.

Editor: Efleda P. Campos

Companies BusinessMirror

Tuesday, January 1, 2019

B1

SBMA turns to outsourcing firms to comply with govt rule vs COS

By Henry Empeño | Correspondent

S

UBIC BAY FREEPORT—Outsourcing companies that will provide janitorial, ground maintenance, building security and housing security services are expected to absorb hundreds of workers hired through contract of service (COS) scheme by the Subic Bay Metropolitan Authority (SBMA).

SBMA Senior Deputy Administrator for Support Services Ramon Agregado said the government agency will outsource the services of workers starting February 2019 in order to comply with the national government directive to end contractualization in government service.

Agregado said a huge chunk of

these workers maintained by the agency will be absorbed by the outsourcing firms for SBMA. He said a total of 307 contractual personnel will be covered by the February outsourcing while a total of 655 workers hired through contract of service will be retained possibly until December 31, 2020. That date is the new government deadline for

government agencies to terminate hiring under COS or job orders.

A joint resolution passed by the Civil Service Commission (CSC), Commission on Audit and the Department of Budget and Management (CSC-COA-DBM JR 1, Series of 2017) states that COS workers are to be terminated by December 31, 2018.

Agregado announced this on December 28 during a general assembly at the SBMA gym here wherein agency officials discussed outsourcing and position reclassification procedures with concerned personnel who were first notified in writing in April.

“This is a requirement of the government—of the DBM,” Agregado said. “We are simply complying with the requirement.”

The agency established in 1992 has been the subject of a House Resolution (1916) of the 17th Congress, which called for a probe on the “rampant contractualization

of employment” in the SBMA. Agregado said the DBM had recommended the outsourcing of security, janitorial and ground maintenance positions as early as September 2013.

“Please bear in mind that we are doing our best in order for you to keep your jobs,” he said on Friday.

Meanwhile, Agregado said the SBMA hopes to hire the remaining 655 qualified personnel for plantilla positions once the agency’s proposed restructuring plan gets approved by the DBM. He said that in the meantime, the SBMA has begun reclassifying COS positions and salary grades so that these workers may eventually fit into the new organizational structure, assuming they obtain the requisite eligibility. The outsourcing and position reclassification procedures, SBMA officials said, actually serve as safety nets to avert financial ruin for workers affected by the order to end contractualiza-

tion in government service. SBMA Deputy Administrator for Administration Ruel John Kabigting noted that the SBMA had been called out at the House of Representatives for having some of the most number of contractuals among government agencies.

He added that other free ports like Clark and Bataan had since outsourced their personnel accordingly.

Kabigting recalled that under Joint Circular No. 1 issued on June 15, 2017 by the CSC, COA and DBM, government agencies were allowed to renew contracts of service or job orders only until December 31, 2018.

He said that, while another joint circular dated November 9, 2018, extended the deadline to December 31, 2020, the DBM had directed the SBMA in a September 2013 memorandum to refrain from hiring personnel under contract of service and instead fill up its regular plantilla positions “to have semblance

of continuity in service.”

He added that in 2015, the Office of the President required the SBMA to reduce its manpower complement from COS to 3 percent per annum, while the DBM in October 2016 again directed the SBMA to outsource janitorial and security services “as a matter of policy.”

Kabigting said the SBMA Board of Directors approved the outsourcing scheme on April 12, 2018 and the program underwent the processes of notification, bidding and endorsement until the contract was awarded to winning service providers early this month. According to the SBMA Human Resources Management Department, the outsourcing scheme will provide job security in the private sector to the affected workers, as well as holiday pay, 13th month pay, overtime pay, and benefits from Social Security System, Pag-IBIG and PhilHealth that they don’t otherwise enjoy as contracthired workers of the government.

After hurdling 2018’s regulatory crisis, power industry players are ready for Year of the Pig

By Lenie Lectura @llectura

T

HE country’s power supply remained stable for the past 12 months despite a crippled Energy Regulatory Commission (ERC) that left the agency “powerless in making decisions critical to the energy sector.”

“We were able to surpass all challenges. There were difficult times but we just kept on going,” commented Alfonso G. Cusi, secretary of the Department of Energy (DOE).

Industry players also view 2018 as challenging, given the country’s power sector regulatory crisis, but are grateful nonetheless that they all hurdled the rough patches.

“As expected, we had enough supply reserves. There was no major power outage incident, as far as I can recall. There was a delay in some of the power projects that were supposed to come online so that resulted a little bit elevated spot market rates,” AC Energy President Eric Francia noted.

T he power a r m of Aya l a Corp. wants to achieve 5 gigawatts (GW) from a balanced mix of renewables and thermal assets by 2025.

Francia said the company is currently “in a nice position, close to 50-50.”

Conglomerate San Miguel Corp.

(SMC), which has 3,000 megawatts (MW) of power generating capacity, representing 22 percent of the Luzon grid and 17 percent of the national grid, is “grateful for the year that was.”

“It’s been a good 2018. While our country faced some challenges on the economic front, the Philippines remains strong. I believe there’s more than enough reason to be optimistic and bullish about the coming year,” said SMC President Ramon Ang in an interview.

2 suspensions

FOUR ERC commissioners—Josefina Patricia Magpale-Asirit, Geronimo Sta. Ana, Alfredo Non and Gloria Victoria Yap-Taruc—were twice suspended by the Office of the Ombudsman within a seven-month period after they were administratively held liable for allegedly failing to fulfill their duty to protect the interests of consumers.

The suspension resulted in a backlog of crucial paperwork for power supply agreements (PSAs) and projects in an energy-starved country.

As a collegial body, the presence of at least three ERC commissioners is needed to constitute a quorum to enable the commission to adopt any ruling, order, resolution, or decision in the exercise of its quasi-judicial and quasi-legislative functions.

The ERC was able to overcome its problematic situation even as two of the four commissioners reached retirement age. The commission was complete again following the appointment of renewable-energy advocate Catherine Maceda and Davaobased lawyer Alexis Lumbatan. They replaced Non and Yap-Taruc.

With the regulatory body’s membership back at normal levels, ERC Chairman Agnes VST Devanadera said the commission is eager to work on eliminating its backlog of 480 cases, including pending PSAs. “The important thing is that we have a quorum now. We have to double our efforts,” commented Devanadera.

‘Good 2018’

IN looking back on what he considers “a good 2018,” SMC president Ang said in an interview that SMC continues to leverage on the positive trends. And, despite a few challenges, its businesses were able to deliver strong results.

Alsons Power Group, the energy business of the Alcantara family, said the Duterte administration was able to create an environment where investments in power generation can actually take place and prosper.

Alsons Power Vice President for Project Development Joseph Nocos also noted the efforts exerted by the DOE and the ERC to foster renewable-energy projects. “The DOE has been helpful in creating a regulatory environment within which our projects can be expeditiously implemented. We did not experience any problems in securing our permits and as far our RE projects are concerned.

This is a concrete way of attesting this administration’s commitment to RE development,” said Nocos.

Alsons Power, Mindanao’s first and most experienced independent power producer, currently operates four power facilities in the island with a total generating capacity of

RAMON ANG

AGNES DEVANADERA

ERIC FRANCIA

JOSEPH NOCOS

Dinginin coal plant—around 300 MW, per Delola—and the 335-MW Masinloc plant, there will be enough supply for the expected growth.

Delola said the 2019 forecast peak demand in Luzon is considered a “normal growth.”

The DOE official said, “If we will have problems next year, there won’t be a red alert, only yellow alert.”

A yellow alert notice means operating reserves have dropped below the required 647-MW contingency in Luzon, or equivalent to the largest unit in Luzon, the 647-MW coal-fired power plant in Sual, Pangasinan.

A red alert notice is issued by the grid operator when the power reserve left on the grid is regulating reserve or equivalent to 4 percent of the current demand. Power interruption may occur.

In the Visayas, Delola said peak demand is expected to hit 2,300 MW in 2019 from 2,100 MW this year.

The DOE expects Therma Visayas Inc.’s (TVI) 340-MW power plant in Toledo, Cebu, to become operational within the year, “plus HVDCC [High Voltage DC Coupled Charging].”

In Mindanao, Delola said peak

demand could hit 2,200 MW. The department expects some 1,400 MW of excess power.

Luzon is the biggest power user, with a peak demand that is fivefold that of the Visayas and Mindanao.

Of the three major grids, “the biggest growth is happening in Mindanao. But they have a smaller base, so in terms of capacity, [the increase is bigger] in Luzon and in the Visayas,” explained Delola.

“It’s really [the] influx of economic development and we’re looking at the possible effects of the electrification program because if we will be able to serve more areas then consumption will increase, as well.”

Francia agreed with the DOE’s forecast, saying the power sector is expected to “maintain equilibrium” because of the new power plant projects coming in.

“We could experience tightness for summer for the first half of 2019, but then in the second half, once these plants come online, there will be additional capacity that could be worth two years of Luzon’s growth,” said Francia.

363 MW, serving key cities such as Cagayan de Oro, Davao, Iligan, General Santos and Zamboanga.

It is also entering the RE sphere through run-of-river hydroelectric power projects with a total hydro capacity potential totaling more than 145 MW in Negros Occidental, Sarangani, Davao Oriental, Zamboanga del Norte, the two Agusan provinces and Surigao del Sur.

‘Key policies matter’

WHILE 2018 was generally favorable for power industry players, AC Energy would like the ERC to immediately implement three policies aiming to lower electricity rates and foster healthy competition.

Top of my mind, said Francia, “is the CSP [competitive selection process]. I believe there are active hearings, at least, on the side of ERC. We hope that this is expedited.”

The DOE and the ERC are working to harmonize their respective CSP rules. While this has yet to be finalized, power firms are having a difficult time in contracting power capacity from suppliers. “I think it’s critical for the CSP rules to be clarified and implemented soon. It should be a top priority,” noted Francia.

The two other key policies are the RPS (Renewable Energy Portfolio Standards) and RCOA (Retail Competition and Open Access).

“On RE, the impact of RPS is really for 2021-2022. So, there is no rush to build RE given oversupply situation. Last, but not least to me, is RCOA. I am still hopeful the TRO [temporary restraining order] gets resolved soon. So, those are the three key policies that will matter a lot in this industry,” said Francia.

RCOA basically allows consumers to select from where and what kind of electricity to purchase.

This is expected to drive down electricity costs and promote transparency in the energy sector. It has yet to be fully enforced,

BUSINESSMIRROR FILE PHOTO

mainly on account of the TRO pending before the Supreme Court.

Meanwhile, RPS mandates generators, distribution utilities, and suppliers to source a specified portion of their electricity requirements from eligible RE resources.

Outlook

JUST like in 2018, energy officials expect adequate power supply in 2019, given an additional capacity of about 2,375 MW that will come from new power projects across the country.

“The DOE is confident in our projections for 2019, that we will be able to meet the demand considering the incoming capacities in Luzon, the Visayas and, of course, Mindanao,” said DOE Assistant Secretary Redentor Delola.

For Luzon, he said peak power demand is expected to reach 11,200 MW, from the 10,800 MW recorded in May last year. Delola said Luzon could experience tight supply because the 650-MW Malaya thermal plant in Rizal province is no longer designated as a must-run unit.

But with additional capacity coming from the first unit of GN Power

Continued on B2

B2

Companies BusinessMirror

Tuesday, January 1, 2019

PSE STOCK QUOTATIONS

December 28, 2018

Net Foreign Stocks Bid Ask Open High Low Close Volume Value Trade (Peso) Buy (Sell) FINANCIALS

ASIA UNITED 59 59.3 58.1 59.3 58.1 59.3 26040 1537765 644340 BDO UNIBANK 130.6 130.8 129.7 132.4 129.5 130.8 4058540 528483356 89670283 BANK PH ISLANDS 93.9 94 93.55 94.5 92.95 94 1526340 143418893 6175578.5 CHINABANK 27 27.1 27.25 27.25 26.95 27.1 83500 2259145 -316085 EAST WEST BANK 11.66 11.9 11.5 11.9 11.5 11.9 1471300 17398834 -1351802 METROBANK 80.05 80.95 80 80.95 79.5 80.95 3407500 274629150 101795946.5 PB BANK 11.98 12.48 11.92 11.98 11.9 11.98 4500 53648 PHIL NATL BANK 42.7 42.75 42.5 43 42.5 42.75 92600 3963490 562825 PSBANK 62.3 62.95 62.2 62.8 61.8 62.3 12900 803558.5 PHILTRUST 109.5 145.2 130 145.2 128 145.2 9370 1348671 RCBC 28.5 28.6 28.2 28.5 28 28.5 205500 5773585 -302735 SECURITY BANK 155 156 156.7 158 154.1 155 250060 39033383 -8730664 UNION BANK 63.9 63.95 65.35 65.4 63.95 63.95 12770 817805 -547137 BRIGHT KINDLE 1.43 1.49 1.5 1.5 1.42 1.5 134000 193340 BDO LEASING 2.17 2.19 2.2 2.2 2.19 2.19 15000 32880 COL FINANCIAL 15.9 16.24 15.6 16.24 15.6 16.24 271100 4346770 FIRST ABACUS 0.61 0.72 0.67 0.72 0.67 0.72 740000 508390 -259439.9999 FERRONOUX HLDG 4.46 4.47 4.65 4.78 4.47 4.47 592000 2691480 14100 IREMIT 1.39 1.53 1.53 1.53 1.53 1.53 1000 1530 MEDCO HLDG 0.46 0.465 0.46 0.48 0.46 0.465 340000 159450 9600 MANULIFE 770 825 760 760 750 750 100 75400 NTL REINSURANCE 0.88 0.91 0.91 0.91 0.89 0.91 218000 198260 PHIL STOCK EXCH 177.6 180 178.6 180 178.5 180 970 173935 41245 SUN LIFE 1801 1849 1800 1800 1800 1800 170 306000

INDUSTRIAL ALSONS CONS 1.24 1.28 1.28 1.29 1.24 1.28 97000 124540 ABOITIZ POWER 35.05 35.1 35.45 35.55 34.75 35.1 2202200 77370160 -52498275 BASIC ENERGY 0.24 0.25 0.25 0.25 0.238 0.24 370000 88940 FIRST GEN 19.96 19.98 19.8 20.2 19.8 19.98 2055300 41052307 1033198 FIRST PHIL HLDG 64.05 64.75 64.8 64.85 64.25 64.75 194240 12576612.5 4039183.5 MERALCO 380 390 394.4 394.4 380 380 280020 108307986 13269212 MANILA WATER 27.85 28.25 27.7 28.25 27.15 28.25 1161000 32534055 2762325 PETRON 7.7 7.71 7.78 7.78 7.69 7.71 3644700 28137263 -18308626 PETROENERGY 3.49 3.6 3.9 3.9 3.5 3.5 2965000 10679110 43220 PHINMA ENERGY 1.13 1.15 1.15 1.16 1.11 1.15 7981000 9,067,920( 1,793,999.9997) PH RESORTS GRP 5.2 5.45 5.21 5.45 5.2 5.45 87600 465595 166000 PHX PETROLEUM 10.58 10.74 10.8 10.8 10.58 10.74 116700 1250892 PILIPINAS SHELL 47.75 48 47 48 46.95 47.75 409200 19453730 739555 SPC POWER 5.44 5.45 5.5 5.5 5.44 5.44 79600 433587 -2740 AGRINURTURE 16.72 17 16.74 17.08 16.62 17 846900 14357232 38502 CENTURY FOOD 15 15.2 14.82 15.2 14.82 15.2 293800 4435368 -68170 DEL MONTE 6.2 6.38 6.2 6.38 6.2 6.38 103600 643037 -581037 DNL INDUS 10.98 11 10.78 11 10.74 10.98 7051400 76680108 -14750942 EMPERADOR 7.1 7.11 7.1 7.2 7.08 7.11 3081700 21909994 -1784778 SMC FOODANDBEV 81 82 81.1 82 80 82 395550 32,293,322( 14,502,471.9996) ALLIANCE SELECT 1.05 1.06 1.02 1.08 1.02 1.06 11139000 11771890 15360 GINEBRA 25.05 26.75 25.05 26.75 25 26.75 31100 781555 122500 JOLLIBEE 291.8 294 295 299.8 291.8 291.8 425440 125709488 54016912 MACAY HLDG 8.55 9.68 8.53 9.7 8.5 9.68 21100 180828 MAXS GROUP 10.26 10.3 10.26 10.34 10.22 10.26 168400 1730446 -37980 MG HLDG 0.175 0.18 0.172 0.18 0.172 0.176 870000 154170 PEPSI COLA 1.33 1.34 1.35 1.35 1.31 1.34 1052000 1394650 -182860 SHAKEYS PIZZA 11.9 11.96 11.78 11.98 11.68 11.9 668800 7950946 -4640540 ROXAS AND CO 1.91 1.98 1.96 2.02 1.95 1.98 542000 1092010 RFM CORP 4.82 4.89 4.8 4.89 4.6 4.89 309000 1448350 ROXAS HLDG 2.67 2.79 2.67 2.67 2.67 2.67 12000 32040 SWIFT FOODS 0.123 0.126 0.125 0.125 0.125 0.125 110000 13750 UNIV ROBINA 127 127.1 128.5 128.5 126.3 127 386430 49144674 -18699104 VITARICH 1.98 1.99 1.91 1.99 1.9 1.99 24950000 49009530 3251650 VICTORIAS 2.33 2.44 2.33 2.33 2.33 2.33 41000 95530 CEMEX HLDG 1.89 1.9 1.8 1.95 1.8 1.9 17915000 33864740 -1990610 DAVINCI CAPITAL 6.49 6.5 6.92 6.93 6.5 6.5 376000 2483263 -2063 EAGLE CEMENT 15.4 15.46 15.5 15.5 15.16 15.46 530200 8187476 7145094 EEI CORP 7.94 7.95 8 8.1 7.95 7.95 331800 2651000 -585358 HOLCIM 5.76 5.8 5.8 5.9 5.76 5.8 81700 477208 -426400 MEGAWIDE 18 18.5 18.28 18.6 17.9 18.5 7271200 133421060 -43162126 PHINMA 8.49 9.09 8.8 9.2 8.8 9.09 95100 862047 TKC METALS 0.83 0.85 0.85 0.85 0.85 0.85 2000 1700 VULCAN INDL 1.6 1.62 1.66 1.66 1.58 1.6 7775000 12553850 101510 CROWN ASIA 1.77 1.8 1.77 1.8 1.73 1.8 129000 231260 204780 EUROMED 1.5 1.69 1.7 1.7 1.7 1.7 2000 3400 LMG CHEMICALS 4.28 4.37 4.3 4.3 4.3 4.3 46000 197800 MABUHAY VINYL 3.18 3.3 3.18 3.3 3.18 3.3 7000 22380 PRYCE CORP 5.75 5.8 5.8 5.8 5.79 5.8 143000 829399 CONCEPCION 37 37.85 37 37.9 37 37 71100 2632480 -382269.9997 GREENERGY 1.99 2.01 2.02 2.02 1.97 1.99 5972000 11956100 1861609.9997 INTEGRATED MICR 10.6 10.72 10.72 10.96 10.56 10.6 1822600 19558098 5910662 IONICS 1.8 1.81 1.86 1.86 1.8 1.81 298000 540820 -32760 PANASONIC 5.73 5.84 5.88 5.88 5.71 5.85 3900 22648 SFA SEMICON 1.4 1.43 1.38 1.41 1.35 1.41 141000 195410 -14100 CIRTEK HLDG 30.9 30.95 31.05 31.6 30.95 30.95 402100 12456275

HOLDING & FRIMS ABACORE CAPITAL 0.6 0.61 0.61 0.62 0.6 0.61 14885000 9063810 -660 ASIABEST GROUP 25.8 26 26 26.3 25.4 26 60200 1550840 -62400 AYALA CORP 900 906 910 914 900 900 382040 345382560 -86407605 ABOITIZ EQUITY 55 55.5 55.8 55.8 54.65 55 663970 36572110.5 4129994.5 ALLIANCE GLOBAL 11.88 11.9 11.98 12 11.74 11.9 3413200 40571036 -22495400 ANSCOR 6.5 6.54 6.5 6.5 6.5 6.5 11000 71500 71500 ATN HLDG A 1.42 1.43 1.39 1.45 1.39 1.42 26463000 37856990 ATN HLDG B 1.42 1.43 1.4 1.46 1.4 1.42 5764000 8252090 -238200 COSCO CAPITAL 6.71 6.75 6.83 6.83 6.7 6.71 582600 3915504 -1578172 DMCI HLDG 12.6 12.78 12.56 12.78 12.5 12.78 1706300 21705184 2155260 FILINVEST DEV 11.8 12.28 12.4 12.88 11.8 11.8 257100 3105382 210460 FJ PRINCE A 4.04 5.3 5.1 5.3 5.1 5.3 35000 181500 FJ PRINCE B 5.19 5.2 5.1 5.19 5.1 5.19 12000 61380 FORUM PACIFIC 0.203 0.219 0.202 0.219 0.202 0.219 120000 25940 GT CAPITAL 974 975 955 975 955 975 67230 65147955 29054405 HOUSE OF INV 5.77 5.83 5.84 5.84 5.83 5.83 25600 149418 JG SUMMIT 55.7 55.75 55.9 55.9 54.75 55.7 2679310 149247279.5 20688548 JOLLIVILLE HLDG 5.55 6.78 5.57 6.78 5.55 6.78 102600 683250 KEPPEL HLDG B 4.91 5.99 4.91 4.91 4.91 4.91 11000 54010 LODESTAR 0.54 0.55 0.54 0.56 0.54 0.56 54000 29200 LOPEZ HLDG 4 4.05 4.1 4.1 4 4 1917000 7740820 -4572990 LT GROUP 16.5 16.6 16.74 16.88 16.58 16.6 896500 14954910 1771908 MABUHAY HLDG 0.58 0.6 0.62 0.62 0.58 0.59 352000 206860 61660 MJC INVESTMENTS 2.56 3.47 2.56 2.56 2.56 2.56 10000 25600 -25600 METRO PAC INV 4.63 4.64 4.7 4.76 4.64 4.64 13847000 65055420 -3000000 PACIFICA 0.036 0.037 0.038 0.038 0.036 0.037 3200000 119600 PRIME ORION 2.37 2.41 2.42 2.42 2.37 2.37 498000 1187950 -23700 PRIME MEDIA 1.18 1.22 1.17 1.23 1.17 1.23 350000 413900 REPUBLIC GLASS 2.51 2.65 2.5 2.62 2.5 2.62 12000 30710 SOLID GROUP 1.3 1.32 1.33 1.34 1.3 1.32 52000 67690 SM INVESTMENTS 917 917.5 925 926 915 917.5 316700 290906070 -44574890 SAN MIGUEL CORP 147 147.8 148.2 149 147 147 843500 124,369,215( 7,243,423.9996) SOC RESOURCES 0.74 0.78 0.74 0.74 0.74 0.74 40000 29600 SEAFRONT RES 2.25 2.6 2.57 2.6 2.57 2.6 32000 83000 TOP FRONTIER 247 249.8 250 250 247 249.8 1580 394674 -117320 WELLEX INDUS 0.242 0.247 0.243 0.247 0.242 0.247 4270000 1039480

PROPERTY ARTHALAND CORP 0.95 0.96 0.89 0.98 0.84 0.96 19492000 17948410 ANCHOR LAND 11 11.46 11.46 11.48 11.46 11.46 500 5732 AYALA LAND 40.6 40.85 41.1 42 40.6 40.6 11717100 479096625 -40699955 ARANETA PROP 1.72 1.73 1.73 1.73 1.73 1.73 44000 76120 -22490 BELLE CORP 2.31 2.33 2.3 2.35 2.28 2.31 4972000 11,540,860( 4,767,849.9997) A BROWN 0.78 0.79 0.8 0.8 0.78 0.78 949000 747370 CITYLAND DEVT 0.86 0.88 0.87 0.87 0.87 0.87 36000 31320 CROWN EQUITIES 0.235 0.237 0.239 0.243 0.233 0.235 1250000 295580 -24000 CEBU HLDG 6.05 6.37 6.37 6.37 6.37 6.37 600 3822 CEB LANDMASTERS 4.08 4.14 4.08 4.14 4.04 4.14 1474000 6083700 -789890 CENTURY PROP 0.42 0.43 0.415 0.43 0.415 0.43 6650000 2807150 CYBER BAY 0.38 0.39 0.39 0.39 0.38 0.38 180000 68700 -19000 DOUBLEDRAGON 17.84 17.96 17.8 17.96 17.8 17.84 419900 7512128 -1942574 DM WENCESLAO 7.79 7.8 7.75 7.85 7.75 7.8 958100 7484832 -3379395 EMPIRE EAST 0.48 0.485 0.49 0.495 0.485 0.485 530000 259950 132300 FILINVEST LAND 1.41 1.42 1.43 1.44 1.41 1.41 5302000 7512520 -4091280 GLOBAL ESTATE 1.12 1.13 1.07 1.13 1.05 1.13 5072000 5592210 74020 8990 HLDG 8.05 8.1 8.02 8.17 8.02 8.1 2045700 16606955 805835.9998 PHIL INFRADEV 2.2 2.25 2.26 2.27 2.19 2.25 7044000 15649870 494310 MEGAWORLD 4.75 4.77 4.7 4.78 4.69 4.75 10000000 47430280 10431420 MRC ALLIED 0.445 0.45 0.46 0.465 0.435 0.45 39880000 17762050 325150 PHIL ESTATES 0.455 0.47 0.46 0.47 0.455 0.47 140000 65300 PRIMEX CORP 3.54 3.55 3.59 3.6 3.54 3.54 203000 720830 71100 ROBINSONS LAND 20.15 20.5 20.4 21.1 20.15 20.15 1661000 33921640 -12951505 PHIL REALTY 0.42 0.425 0.42 0.43 0.42 0.425 800000 338400 ROCKWELL 2 2.01 2 2.01 1.99 2.01 106000 211590 -19900 SHANG PROP 3.07 3.12 3.06 3.12 3.06 3.12 109000 336930 -37200 STA LUCIA LAND 1.24 1.25 1.24 1.25 1.23 1.25 1556000 1920020 -22320 SM PRIME HLDG 35.8 35.9 35.9 36.05 35.5 35.8 9044100 323672280 48300340 STARMALLS 5.4 5.65 5.65 5.7 5.4 5.4 338100 1879308 -46075 SUNTRUST HOME 0.72 0.74 0.7 0.74 0.7 0.74 66000 48280 -740 PTFC REDEV CORP 36.05 41 39.95 40 39.95 40 1600 63975 VISTA LAND 5.37 5.41 5.31 5.46 5.31 5.41 13893300 75004659 -45980832

SERVICES ABS CBN 19.92 20 20.05 20.05 19.9 20 65100 1301276 GMA NETWORK 5.43 5.44 5.49 5.49 5.41 5.44 115000 624682 MANILA BULLETIN 0.365 0.37 0.315 0.405 0.315 0.37 1400000 521800 MLA BRDCASTING 16.32 18.98 16.26 16.26 16.26 16.26 1000 16260 GLOBE TELECOM 1900 1905 1900 1919 1896 1900 26285 49973060 -14149335 PLDT 1125 1128 1150 1150 1125 1125 110775 125333535 -20595870 APOLLO GLOBAL 0.039 0.04 0.04 0.04 0.039 0.039 10100000 395300 DFNN INC 6.51 7.69 7.5 7.69 7.1 7.69 75600 550220 IMPERIAL 1.87 1.96 1.87 1.87 1.87 1.87 11000 20570 ISLAND INFO 0.128 0.129 0.134 0.135 0.125 0.129 11920000 1550320 12700 ISM COMM 6.03 6.04 6.15 6.15 6.01 6.03 6120000 37070621 -2867708 JACKSTONES 3.14 3.39 3.12 3.39 3.12 3.39 59000 184960 NOW CORP 3.44 3.45 3.39 3.59 3.38 3.44 2876000 10061040 495340 TRANSPACIFIC BR 0.435 0.44 0.46 0.46 0.43 0.44 40970000 18168100 328300 PHILWEB 3.22 3.24 3.17 3.34 3.15 3.22 2828000 9194410 351520 2GO GROUP 13.78 13.8 13.4 14.08 13 13.78 352900 4794812 24840 ASIAN TERMINALS 13.52 13.88 13.88 13.88 13.5 13.88 214100 2937236 2794950 CEBU AIR 73.2 74 73.55 74.1 72.85 73.2 114330 8410377.5 -2952957 CHELSEA 6.45 6.46 6.54 6.64 6.46 6.46 1684700 10962973 INTL CONTAINER 98.5 100 98.25 100.1 98 100 734990 72942014 22001600 LBC EXPRESS 14.14 14.8 14.02 14.1 14.02 14.1 300 4214 LORENZO SHIPPNG 0.8 0.82 0.8 0.82 0.8 0.8 169000 135760 MACROASIA 16.78 17 17 17.08 16.7 17 2017900 34224170 -5975376 METROALLIANCE A 1.98 2.09 1.96 2.09 1.9 2.09 390000 769010 PAL HLDG 8 8.33 8.33 8.33 8.33 8.33 1000 8330 8330 HARBOR STAR 2.94 2.95 2.95 3 2.94 2.95 1104000 3273420 -74250 ACESITE HOTEL 1.35 1.4 1.32 1.4 1.32 1.4 174000 236310 WATERFRONT 0.69 0.7 0.7 0.71 0.69 0.7 726000 506650 IPEOPLE 11.4 12.28 11.2 11.2 11.2 11.2 200 2240 1120 STI HLDG 0.78 0.79 0.8 0.81 0.77 0.79 12127000 9487290 -598220 BERJAYA 4.49 4.5 4.4 4.55 4.35 4.5 4890000 21863860 22190 BLOOMBERRY 9.41 9.44 9.41 9.64 9.4 9.41 5235800 49598523 -1398632 PACIFIC ONLINE 9.82 9.99 9.82 9.99 9.82 9.99 6300 62053 LEISURE AND RES 3.25 3.26 3.38 3.45 3.26 3.26 1494000 4980040 -44830 PREMIUM LEISURE 0.79 0.8 0.8 0.83 0.79 0.8 5067000 4094500 PHIL RACING 9.47 9.48 7.5 9.49 7.5 9.48 15700 121918 TRAVELLERS 5.3 5.31 5.28 5.32 5.28 5.31 271300 1438561 METRO RETAIL 2.49 2.5 2.55 2.55 2.45 2.49 1121000 2816680 -49800 PUREGOLD 43 43.05 43.45 43.45 42.85 43 6067300 260906935 -139899905 ROBINSONS RTL 80 80.5 78.5 80.9 78.35 80 1093370 87015393 -32214923.5 PHIL SEVEN CORP 117.5 124 114 124 113 124 92120 10884925 5506460 SSI GROUP 2.37 2.38 2.4 2.4 2.35 2.38 2509000 5974950 142570 WILCON DEPOT 12.6 12.62 12.6 12.6 12.5 12.6 7374000 92757118 53100890 APC GROUP 0.405 0.42 0.415 0.42 0.405 0.405 840000 347250 41500 EASYCALL 14.92 14.98 15.5 15.5 14.2 14.92 111700 1656164 17820 GOLDEN BRIA 317.2 325 315.4 325 315.4 325 3090 1003764 IPM HLDG 7.77 8.2 7.8 8.2 7.5 8.2 269200 2175440 PAXYS 3.19 3.49 3.5 3.5 3.25 3.25 3000 10050 PRMIERE HORIZON 0.32 0.33 0.32 0.33 0.32 0.325 550000 176300 SBS PHIL CORP 7.49 7.5 7.5 7.55 7.5 7.5 216300 1624080

MINING & OIL ATOK 14.44 15.38 15.5 15.5 14.54 15.48 3200 47852 APEX MINING 1.66 1.67 1.68 1.68 1.64 1.67 1431000 2383590 1670 ABRA MINING 0.0019 0.0021 0.002 0.0021 0.0019 0.002 634000000 1252200 62000 ATLAS MINING 2.56 2.6 2.53 2.65 2.53 2.56 173000 442760 -63609.9998 BENGUET A 1.25 1.5 1.48 1.5 1.48 1.5 694000 1039800 BENGUET B 1.5 1.55 1.35 1.5 1.35 1.5 258000 382800 COAL ASIA HLDG 0.29 0.305 0.295 0.3 0.29 0.3 830000 246200 5800 CENTURY PEAK 2.07 2.08 2.07 2.08 2.04 2.08 2807000 5801640 DIZON MINES 7.26 7.3 7.32 7.33 7.21 7.27 2500 18160 FERRONICKEL 1.66 1.67 1.66 1.68 1.66 1.66 40857000 67923990 138610 GEOGRACE 0.201 0.206 0.205 0.206 0.201 0.206 440000 88570 LEPANTO A 0.106 0.112 0.109 0.112 0.104 0.112 8570000 911560 LEPANTO B 0.109 0.115 0.114 0.115 0.113 0.115 1660000 189570 MANILA MINING A 0.0066 0.007 0.007 0.007 0.007 0.007 10000000 70000 MARCVENTURES 1.18 1.19 1.23 1.24 1.18 1.18 509000 611800 NIHAO 1.01 1.06 1.01 1.08 1.01 1.08 101000 102080 NICKEL ASIA 2.2 2.21 2.25 2.25 2.19 2.2 2794000 6162670 1314170 OMICO CORP 0.6 0.61 0.6 0.61 0.6 0.6 161000 96620 ORNTL PENINSULA 0.93 0.95 0.95 0.99 0.94 0.94 208000 198910 PX MINING 3.09 3.1 2.97 3.22 2.96 3.09 6463000 20206000 109990 SEMIRARA MINING 23.05 23.45 23.6 23.6 23 23.05 1366100 31778585 -4724805 UNITED PARAGON 0.0056 0.0059 0.0055 0.0055 0.0055 0.0055 3000000 16500 ORNTL PETROL A 0.012 0.013 0.012 0.013 0.012 0.013 8500000 106300 PHILODRILL 0.012 0.013 0.013 0.013 0.012 0.013 45300000 543900 PHINMA PETRO 3.18 3.37 3.17 3.37 3.17 3.37 5000 16060 PXP ENERGY 15.2 15.26 15.2 15.3 15.14 15.2 693800 10550664 -837840

PREFFERED HOUSE PREF A AC PREF B1 DD PREF SMC FB PREF 2 FGEN PREF G GLO PREF P LR PREF PNX PREF 3A PCOR PREF 2B SFI PREF SMC PREF 2C SMC PREF 2D SMC PREF 2E SMC PREF 2F SMC PREF 2G SMC PREF 2H SMC PREF 2I

95 451 96 980 100 461.4 1 99 990 1.09 76 71.55 72.8 74.2 71.35 71.1 72.6

PHIL. DEPOSITARY RECEIPTS GMA HLDG PDR

5.25

96 456 98.8 997.5 101.2 480 1.02 100 1490 2.18 76.5 74.95 73 75 74.9 74.5 73.5

96 450 98.8 980 101.2 480 1.02 100 1490 2.15 76.2 74.5 73 74.5 73.7 74 73.5

96 450 98.8 997 101.2 480 1.02 100 1490 2.15 76.2 74.95 73 75 74.9 74.5 73.5

96 445 98.8 980 101.2 480 1.02 100 1490 2.15 76 74.5 73 74.5 73.7 73.7 73.2

96 445 98.8 997 101.2 480 1.02 100 1490 2.15 76 74.95 73 75 74.9 74.5 73.5

200 10000 10 1000 310 520 5000 500 5 1000 16240 15100 500 516310 14100 4470 517930

19200 4465830 988 991900 31372 249600 5100 50000 7450 2150 1234808.5 1131700 36500 38473232.5 1055970 332807 38067555

-1064245 -

5.36

5.27

5.36

5.25

5.36

50100

263502

-

WARRANTS LR WARRANT

1.94

SMALL & MEDIUM ENTERPRISES ITALPINAS 4.83 XURPAS 1.71

1.95

1.97

1.99

1.95

1.95

274000

535750

-

4.85 1.72

4.65 1.68

5.04 1.82

4.65 1.68

4.85 1.72

2531000 28513000

12343180 50248260

-28770 1783950

EXHANGE TRADE FUNDS FIRST METRO ETF

111

111.5

111.5

112

111.5

111.5

3170

354193

-

Editor: Efleda P. Campos

Ex-housing exec extends ₧50-M credit line to Philab

F

By VG Cabuag

@villygc

ORMER housing executive Januario Jesus Gregorio Atencio III has extended some P50 million in credit line to publicly listed Philab Holdings Corp. to boost the company’s dengue health kits that will be sold to the public and possibly exported to the other countries in the region.

Atencio said he extended some P30 million for the receivables of Philab Holdings subsidiary Philab Industries Inc.’s and another P20 million for the product development and marketing for LABit, the maker of dengue-testing kits. LABit is a subsidiary of Philab Industries.

In return, Philab has signed a five-year licensing agreement with Atencio’s holding firm Januarius Holdings Inc. (JHI) for the manufacture and distribution of the testing kit all over the country.

“This is a great product, very sim-

ple to use. It works and it saves lives,” Atencio said. “That’s why Januarius Holdings is part of this product.”

Atencio is the former CEO of mass-housing developer 8990 Holdings Inc. and spent about three decades in the mass-housing industry.

He retired from the company in 2017 and started supporting start-ups and other firms including Philab, which he owns an 8-percent stake.

Philab Industries President Paolo Cagalingan said the company may export its testing kit to other countries that have dengue incidents, such as

MBC plops ₧160M for higher stake in owner of Feliz Hotel

R

ADIO station operator Manila Broadcasting Co. (MBC) said it secured a deal with its affiliate Elizalde Hotels and Resorts Inc. to increase its stake in the hotel operator.

The company, which has its own radio stations as its main business, said it purchased 160,000 common shares at Elizalde Hotels for P1,000 apiece or a total price of P160 million.

“The price was determined based on the par value per share of EHRI. The closing of the transaction shall be subject to the completion of all customary closing conditions as stated in the agreement,” the company said. With the acquisition, MBC now owns 80 percent of Elizalde Hotels.

“The acquisition aims to maximize MBC stockholders’ returns by investing in the high growth industry of hotel and resort business,” it said.

“This acquisition will increase the MBC’s income through dividends and capital gains that will be beneficial to MBC stockholders.”

Elizalde Hotels was incorporated on March 18, 2015, primarily to acquire, construct, manage, own, lease, maintain, operate and/or engage in the business of hotels, resorts, private clubs, restaurants, cocktail bars and other allied business necessary. It owns Feliz Hotel Boracay Inc., which is still on their preoperating stage and there have not started their commercial operations. Elizalde Hotels and Feliz Hotel have incurred net losses of P1.79 million and P5.65 million, respectively, in 2017.

MBC was incorporated on September 30, 1947, to engage in the radio broadcasting business. MBC expanded its operations to embrace both broadcasting and organizing special events. The company’s current business model provides advertisers with a combination of benefits—the traditional appeal of MBC’s AM and FM networks plus the exposure generated by special events. VG Cabuag

After hurdling 2018’s regulatory crisis, power industry players are ready for Year of the Pig Continued from B1

Ang expects a better 2019 for SMC. “We are hoping for an even better and more robust business environment for 2019. We look forward to continue doing our part to bring about progress for our nation, and serving our countrymen in many aspects of their lives.”

TRAIN 2’s challenge

There’s a challenge, meanwhile, from the second tranche of this administration’s tax reform program, to be implemented in 2019. It is expected to increase power rates by an estimated P0.1111 per kWh. Another hike, expected at P0.1311 per kWh, is due in 2020.

The first phase of the Tax Reform for Acceleration and Inclusion law already raised electricity prices by P0.0904 per kWh. The Independent Electricity Market Operator of the Philippines (Iemop), operator of the wholesale electricity spot market (WESM), said the numbers are based on the assumptions of Manila Electric Co. (Meralco) related to its sourcing power mix.

“This study was done when the TRAIN law was just new, [includ-

ing] incremental tax that will be imposed under that law, and these are the figures based on certain assumptions. We made use of Meralco assumptions of their supply portfolio and their sourcing between bilateral and WESM,” said Iemop President Francis Saturnino Juan.

“So, these are the incremental amounts, but of course if the price of fuel itself will increase, then that will add to this incremental increase in 2019 and 2020 because of the staggered increase in the implementation of the law,” Juan said.

WESM, he pointed out, is an indication of the capacities needed to meet the country’s growing demand for power. “These projections were taken from DOE for Luzon, which has a 4.9 percent growth rate that is forecasted. If no additional capacity will be put online by 2022, you will see now that supply margin reducing and you can expect that there will be an increase in WESM prices,” he said.

At bottom, the DOE foresees adequate supply in 2019, but consumers and industry players nonetheless would rather not assume that everything will be fine. To them, the Year of the Pig may bring its own surprises for the country’s power sector, and they’d rather be ready for anything.

Sri Lanka, Papua New Gunea and Malaysia. Philab’s laboratory business, he said, is seen to triple its revenues to P75 million in 2017, from the expected P25 million in 2018, on cashflow challenges stemming from government contract-collection delays.

“Also, the opening of JHI credit line to fund account receivables and purchase orders addressed various operational issues, which would enable the sales team to fulfill and serve product orders without delay,” Cagalingan said.

The company aims to continue to update and expand its credit lines to be able to present a more innovative turnkey platform to various clients.

These include turning laboratories into Smart Labs, implementation of predictive maintenance for laboratory equipment and the use of internet of things-enabled hardware.

LABit has also signed a nationwide distribution deal with cold chain pharma distribution company which would allow more efficient access to various sales channels such as doctors’ clinics, pharmacies, hospitals and wholesale sub-distributors.

Philab earlier said it is expecting a strong growth in 2019 as it contin-

MUTUAL FUNDS

ues to expand its businesses, while the injection of fresh funds unlocks bottlenecks in sales and operations.

“We expect revenues of subsidiary Philab Industries Inc. alone to more than quadruple to P118.3 million next year from the expected P28 million to be generated in 2018,” Philab Holdings Chairman and CEO Hector Thomas A. Navasero said.

The surge in revenues will come on the back of better distribution of its dengue testing kits by LABit, as well as the medical laboratory business of Philab Industries, Navasero said.

He added they also expect the company to turn around next year and book almost P28 million in profits as it aims for a 30-percent growth to P13 million in net income for LABit and 20 percent to P15 million for the laboratory equipment business.

Navasero said the company will continue to pursue new acquisitions, as well as new products and technology that will have strategic importance to Philab’s existing businesses.

These include the recently announced investment in High Garden, the acquisition of Life Data Systems and the joint venture with BF Corp. for the National Institute of Health.

December 28, 2018

NAV ONE YEAR THREE YEAR FIVE YEAR Y-T-D

PER SHARE RETURN* RETURN STOCK FUNDS ALFM GROWTH FUND, INC * 252.07 -13.38% 0.59% 2.96% -14.03% ATRAM ALPHA OPPORTUNITY FUND, INC.* 1.4262 -10.94% 7.22% 3.17% -10.68% ATRAM PHILIPPINE EQUITY OPPORTUNITY FUND, INC.* 3.9056 -14.26% 2.11% 1.26% -14.96% CLIMBS SHARE CAPITAL EQUITY INVESTMENT FUND CORP.* 0.8908 -11.97% N.A. N.A. -12.41% FIRST METRO CONSUMER FUND ON MSCI PHILS. IMI, INC. * ********* 0.8227 N.A. N.A. N.A. N.A. FIRST METRO SAVE AND LEARN EQUITY FUND,INC.* 5.2643 -11.68% -0.1% 2.17% -12.45% MBG EQUITY INVESTMENT FUND, INC. * ****** 117.97 N.A. N.A. N.A. N.A. ONE WEALTHY NATION FUND, INC.* 0.8351 -15.24% N.A. N.A. -15.88% PAMI EQUITY INDEX FUND, INC.* 49.3338 -11.63% 1.62% N.A. -12.52% PHILAM STRATEGIC GROWTH FUND, INC.* 515.03 -11.62% 0.47% 2.32% -12.48% PHILEQUITY DIVIDEND YIELD FUND, INC.* 1.2564 -9.79% 2.16% N.A. -10.53% PHILEQUITY FUND, INC.* 36.6902 -10.01% 2.59% 4.91% -10.72% PHILEQUITY PSE INDEX FUND INC.* 4.9704 -11.72% 2.31% 4.76% -12.4% PHILIPPINE STOCK INDEX FUND CORP.* 830.36 -11.51% 2.07% 4.9% -12.2% SOLDIVO STRATEGIC GROWTH FUND, INC. * 0.861 -10.15% 0.02% N.A. -10.97% SUN LIFE PROSPERITY PHILIPPINE EQUITY FUND, INC.* 4.0643 -10.59% 1.83% 3.17% -11.26% SUN LIFE PROSPERITY PHILIPPINE STOCK INDEX FUND, INC.* 0.9565 -11.84% 2.11% N.A. -12.51% UNITED FUND, INC.* 3.5002 -8.63% 3.48% 4.07% -10.12% EXCHANGE TRADED FUND FIRST METRO PHIL. EQUITY EXCHANGE TRADED FUND, INC.* ***110.9856 -11.19% 3.22% 5.97% -11.89% ATRAM ASIAPLUS EQUITY FUND, INC.** $0.9256 -14.9% 1.43% -0.6% -16.48% SUN LIFE PROSPERITY WORLD VOYAGER FUND, INC.* $1.0903 -13.48% N.A. N.A. -13.82% BALANCED FUNDS PRIMARILY INVESTED IN PESO SECURITIES ATRAM DYNAMIC ALLOCATION FUND, INC.* 1.6537 -10.67% -1.78% -0.98% -11.26% ATRAM PHILIPPINE BALANCED FUND, INC.* 2.2096 -9.54% 1.1% 1.06% -10.07% FIRST METRO SAVE AND LEARN BALANCED FUND INC.* 2.5423 -7.66% -1.83% -0.98% -8.22% GREPALIFE BALANCED FUND CORPORATION* **** 1.3061 -9.86% N.A. N.A. -10.23% NCM MUTUAL FUND OF THE PHILS., INC* 1.8446 -6.6% 0.98% 2.42% -7.42% PAMI HORIZON FUND, INC.* 3.5357 -8.95% -0.19% 1.65% -9.76% PHILAM FUND, INC.* 15.9137 -8.62% -0.14% 1.48% -9.36% SOLIDARITAS FUND, INC.* ******** 2.0715 -7.24% 1.07% 2.9% -7.61% SUN LIFE OF CANADA PROSPERITY BALANCED FUND, INC.* 3.6542 -8.09% 0.6% 1.65% -8.56% SUN LIFE PROSPERITY DYNAMIC FUND, INC.* 0.9212 -8.96% -0.28% N.A. -9.71% PRIMARILY INVESTED IN FOREIGN CURRENCY SECURITIES COCOLIFE DOLLAR FUND BUILDER, INC.* $0.03519 -2.49% -0.18% 1.65% -2.52% PAMI ASIA BALANCED FUND, INC.* $0.9254 -11.78% 1.63% -1.33% -11.61% SUN LIFE PROSPERITY DOLLAR ADVANTAGE FUND, INC.* $3.296 -9.44% 2.18% 0.61% -9.76% SUN LIFE PROSPERITY DOLLAR WELLSPRING FUND, INC.* $1.0056 -9.3% N.A. N.A. -9.58% BOND FUNDS PRIMARILY INVESTED IN PESO SECURITIES ALFM PESO BOND FUND, INC.* 343.38 1.94% 2.14% 1.86% 1.86% ATRAM CORPORATE BOND FUND, INC.* ******* 1.8568 -2.4% -0.69% -0.49% -1.88% COCOLIFE FIXED INCOME FUND, INC.* 2.9702 5.4% 5.35% 5.25% 5.25% EKKLESIA MUTUAL FUND INC.* 2.1303 1.35% 1.78% 1.35% 1.34% FIRST METRO SAVE AND LEARN FIXED INCOME FUND,INC.* 2.2089 - 0.23% 0.13% 0.29% -0.33% GREPALIFE FIXED INCOME FUND CORP.* P 1.5639 -2.82% 0.08% -0.71% -2.83% PHILAM BOND FUND, INC.* 3.9198 -2.96% -0.17% -0.06% -3.21% PHILEQUITY PESO BOND FUND, INC.* 3.5135 0.41% 0.86% 0.48% 0.25% SOLDIVO BOND FUND, INC. * 0.8925 -3.02% -0.76% N.A. -3.33% SUN LIFE OF CANADA PROSPERITY BOND FUND, INC.* 2.7647 -0.49% 1.35% 0.73% -0.44% SUN LIFE PROSPERITY GS FUND, INC.* 1.5389 -0.65% 0.85% 0.24% -0.7% PRIMARILY INVESTED IN FOREIGN CURRENCY SECURITIES ALFM DOLLAR BOND FUND, INC. * $448.26 0.61% 2.35% 3.07% 0.52% ALFM EURO BOND FUND, INC. * Є212.61 -0.52% 1.04% 1.58% -0.52% ATRAM TOTAL RETURN DOLLAR BOND FUND, INC.** $1.1253 -0.82% 0.95% 1.89% -0.78% FIRST METRO SAVE AND LEARN DOLLAR BOND FUND, INC.* $0.0249 - 0.4% 0.82% N.A. -0.4% GREPALIFE DOLLAR BOND FUND CORP.* $1.6904 -4.43% -0.39% 1.12% -4.58% MAA PRIVILEGE DOLLAR FIXED INCOME FUND, INC. N.S. N.S. N.S. N.S. N.S. MAA PRIVILEGE EURO FIXED INCOME FUND, INC. ЄN.S. N.S. N.S. N.S. N.S. PAMI GLOBAL BOND FUND, INC* $1.0338 -3.21% -0.65% -2.37% -3.7% PHILAM DOLLAR BOND FUND, INC.* $2.1709 -3.44% 0.92% 2.66% -3.56% PHILEQUITY DOLLAR INCOME FUND INC.* $0.0569919 -0.75% 0.92% 1.86% -0.36% SUN LIFE PROSPERITY DOLLAR ABUNDANCE FUND, INC.* $2.8716 -4.53% 0.42% 1.66% -4.69% MONEY MARKET FUNDS PRIMARILY INVESTED IN PESO SECURITIES ALFM MONEY MARKET FUND, INC.* 120.82 2.78% 1.89% 1.57% 2.73% PHILAM MANAGED INCOME FUND, INC.* 1.1815 2.08% 0.66% 0.51% 2.08% SUN LIFE PROSPERITY MONEY MARKET FUND, INC.* 1.2186 2.66% 2.27% 1.59% 2.79% PRIMARILY INVESTED IN FOREIGN CURRENCY SECURITIES SUN LIFE PROSPERITY DOLLAR STARTER FUND, INC.* ***** $1.0156 1.67% N.A. N.A. 1.69%

* - NAVPS AS OF THE PREVIOUS BANKING DAY ** - NAVPS AS OF TWO BANKING DAYS AGO *** - LISTED IN THE PSE.

**** - RE-CLASSIFIED INTO A BALANCED FUND STARTING JANUARY 1, 2017 (FORMERLY GREPALIFE BOND FUND CORP.).

***** - LAUNCH DATE IS NOVEMBER 6, 2017 ****** - LAUNCH DATE IS JANUARY 08, 2018 ******** - RENAMING OF THE FUND WAS APPROVED BY THE SEC LAST APRIL 13, 2018. ********* - BECAME A MEMBER SINCE APRIL 20, 2018. ******* - ADJUSTED DUE TO CASH DIVIDEND ISSUANCE LAST JANUARY 29, 2018

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DBP, BCDA solidify ₧9.5-B deal for New Clark City project

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TATE-OWNED Development Bank of the Philippines (DBP) recently signed a P9.5-billion loan agreement with the Bases Conversion and Development Authority (BCDA) to partially fund their joint venture for the construction and development of Phase 1-A of the National Government Administrative Center (NGAC) in New Clark City, Pampanga.

According to the DBP, the loan will comprise 75 percent of the P13billion budget to construct the initial phase of the NGAC. This phase involves the development of disasterresilient backup offices of various

agencies and embassies of various countries, a world-class sports stadium with 20,000 seating capacity, an aquatic center, a village for athletes, government housing and support service facilities.

Meanwhile, the DBP also recently granted Camarines Sur a P1.6-billion loan facility that would finance critical infrastructure projects and public facilities, and improve social services to local residents, a top official said.

DBP President and CEO Cecilia C. Borromeo said the bank granted a P1.485-billion loan to the provincial government of Camarines Sur that would partly finance more than 170 infrastructure projects including the construction of farm-to-market roads and bridges, as well as the repair and maintenance of existing road networks.

“DBP continues to promote sustainable development in Camarines Sur with its latest funding assistance to the provincial government which showcases the synergy between DBP and the local government unit in catalyzing economic growth in the countryside,” Borromeo said in statement. Rizal Raoul S. Reyes

5 money tips for 2019 I Carissa Patag T’S that time of the year when you have to assess and review your financial life so far and how you can improve it this New Year.

While there is no magic formula to follow, you can do the following steps to help you manage your finances and gain more control over your personal finances.

Here are the five steps you can take: n Know your goals in life You have to know where you want to go and what you want to reach in your financial life. Write your goals so it is easier to analyze and review them.

Once you know your goals, know the time horizon when you expect to reach them. Set up your short-term, mediumterm and long-term goals by prioritizing which goals are more important for you to reach in a given amount of time. This will also help you prioritize which goals are most important for you.

For example, short-term goals could be paying off your credit cards, saving for Christmas gifts or even cutting down on your daily cup of coffee.

Your long-term goals, on the other hand, could be: buying a new home, changing careers or planning for an early retirement.

Doing this exercise will help you gain direction for your financial life. n Create a road map to financial freedom Having made a list of your financial goals, you can now start fleshing it out by creating a financial plan. This plan will help you see directions on how you can reach your goals.

A good financial plan includes budget

PERSONAL FINANCE building, milestones setting and continuous assessment.

A simple budget details how much income you want to earn and how much expenses you plan to spend. This budget helps you know where your money is going to.

When you have a plan, you will have a clearer grasp of how much money you want to have on hand, how you will spend it on and how much surplus or deficit you will have by end of the day. n Monitor your budget Detailing your budget can give you greater discipline and knowledge on where you spend your hard-earned savings and how you plan your future spending to ensure that you achieve your financial goals.

Remember, it is so easy to spend more than what you make. So, keep an eye on your budget constantly. n Pay off your debt Once you have taken control of your budget, you have to start prioritizing your debt payments.

The most common debt you can have is credit card debts. Having a credit card debt isn’t necessarily bad for your finances. Actually, you can even use this to your advantage by taking advantage of credit card promos like 50-percent off discounts on restaurant meals, hotel

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accommodations, retail and wholesale purchases or even some household and appliance purchases.

What’s bad is, if you can’t keep up with the payments anymore that you need to borrow in order to pay off your borrowings.

If you are in this situation, what you can do is to start paying more than the minimum amount due per month. It will take you 10,000 years to pay off a debt if you just pay for the minimum amount per month. n Consult a financial planner Understanding your saving and spending habits can help you prepare to make your money grow through investments, insurance and retirement plans.

It is good to seek advice from a competent financial planner, preferably a registered financial planner, who can help you achieve your wealth-building objectives.

A financial planner will go over your financial goals and advise you on how to tailor a financial plan that can match your financial goals and time horizon using the investment vehicles available to help you reach your goals as quickly as possible. Remember, it is not the money you earn that ultimately determines your wealth; it is how much you saved and invested.

Carissa Patag is a registered financial planner of RFP Philippines. To learn more about personal/financial planning, attend the 74th RFP program this January.

To inquire, e-mail info@r fp.ph or tex t <name><e-mail><RFP> to 0917-9689774.

Officials rely on prudence in borrowing for ‘Build, Build, Build’

By Rea Cu

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@ReaCuBM

HE Duterte administration’s national development blueprint, dubbed Philippine Development Plan (PDP) 2017-2022, was designed to partly rely on official development assistance for its success. Provided by the country’s development partners, ODA will help fund the “Build, Build, Build” (BBB) program, a vital cog of the PDP, which will accelerate infrastructure spending to create jobs and improve the lives of Filipinos ODA funds from partner-countries, as well as multilateral agencies will help boost the government’s growth strategy, Finance Assistant Secretary Maria Edita Z. Tan told the BusinessMirror. “Right now, there’s a huge requirement for the infrastructure program in line with the development plan, and we need to ensure that there is adequate funding support to carry out those projects,” Tan said.

The BBB comprises 75 flagship infrastructure projects identified by the government, which will help usher in the “golden age of infrastructure” in the country. Projects include railways, roads, bridges and airports, among others.

Asian Institute of Management (AIM) Associate Professor Emmanuel A. Leyco said that under the government’s development plan, 52 percent of the country’s committed ODA is allocated to infrastructure projects, while 38 percent goes to social reform and community development programs, including agriculture, agrarian reform and natural resource projects. “As the government has committed to pursue infrastructure development, the role of ODA as a funding source becomes more important,” Leyco told the BusinessMirror by e-mail.

The PDP has outlined fiscal targets that must be met to attain the administration’s goal of having a stable and sound macroeconomic environment for the country in the medium term. For instance, from a base of 42.1 percent in 2016, the debt to gross domestic product (GDP) target was pegged at 38.9 percent in 2018, 37.4 percent in 2019, 36.8 percent in 2020, and 35.4 percent in 2021 and 2022.

In line with the fiscal deficit-toGDP ratio for the medium term, the government programmed a 3-percent deficit from 2017 to 2022, from a base of 2.4 percent in 2016. The assumptions and risks in meeting the deficit and debt targets based on the

We borrow with great prudence, aware that it is the taxpayer who ultimately pays for the debt. We always keep in mind that the money we borrow come from the taxes dutifully paid by the people of the countries that have continued to generously support us.”—Dominguez PDP will be contingent on economic performance, and the passage of the tax reform program.

As a percentage of the country’s total outstanding debt, the foreign currency debt, coming from a base of 33.7 percent in 2016, will be maintained at 31 percent to 33 percent from 2017 to 2020, and 30.5 percent to 32.5 percent from 2021 to 2022.

To keep the BBB’s momentum, the Development Budget Coordination Committee (DBCC) revised in July its budget deficit program for 2019 to 3.2 percent, from the original 3 percent. The interagency body also said it intends to implement a borrowing mix of 65:35 in 2018, with the bigger part coming from the local market, and a borrowing mix ratio of 75:25 from 2019 to 2022.

Tan said it’s not only ODA that fuels the various programs because the government also incorporates its own funding to make the projects and programs more sustainable. She said the recent passage of the taxreform program, specifically the Tax Reform for Acceleration and Inclusion law, plays a big role in funding the BBB. “That’s one of the reasons we have the TRAIN law. It actually tells you that there is also a buy-in from government and that it’s not purely [foreign] borrowings, we are also putting in our own financing,” she added.

AIM’s Leyco said that although ODA can have a positive impact on the government’s infrastructure development plans, the Philippine economy must keep growing since it is important for the country’s GDP to grow faster than its debt. He said: “ODA’s financing of the country’s infrastructure development could also create a heavy debt burden if the country’s economic growth rate further decelerates and the peso depreciates.”

Information posted online by the National Economic and Development Authority (Neda) showed that

Japan was the top source of ODA loans with $6.103 billion as of June 2018. It was followed by the World Bank with $3.127 billion; the Asian Development Bank (ADB), $2.679 billion; the United States, $806.76 million; South Korea, $558.70 million; Australia, $467.72 million; the United Nations System, $366.89; France, $315.79 million; the Asian Infrastructure Investment Bank (AIIB), $207.60 million; and the European Union with $167.39 million. Taking up the 11th place in the ODA source rankings was China with $124.37 million.

Meanwhile, the Bureau of the Treasury (BTr) reported that the country’s outstanding debt as of endOctober amounted to P7.167 trillion, with domestic debt of P4.620 trillion outpacing the government’s foreign debt of P2.546 trillion. Also based on BTr data, the country’s debt stock for 2017 hit P7.130 trillion against P6.603 trillion in 2016.

Debt trap?

TAN said the government exercises prudence in fiscal matters, and the terms of loans signed with other countries or development partners are meticulously reviewed. “Of course, when you’re financing something, you want it cheap, concessional, but you cannot borrow cheap money from the market, so cheap money is only made available by our development partners. We just need to make sure that these are really concessional financing,” Tan added.

Asked if it is better to borrow from Japan at lower rates as opposed to China, Tan explained that borrowing from China and Japan are both beneficial for the country at the moment, since both offer cheap rates compared to the market rate of around 4 percent.

Based on Neda data, ODA loans offered by the Japan International Coordination Agency (Jica) as of the third quarter this year can come in

of Filipinos. “Those who say that we are walking into a debt trap ought to look more closely at the actual terms of the loans we contract,” he said.

PHL controls debt terms

TOP shot shows the Southwest Terminal of the Integrated Transport System project while it was being constructed months ago within a site area of 4.59 hectares. Connecting passengers coming from the Cavite side to other transport systems, such as the future LRT Line 1 South Extension, city bus, taxi and other public-utility vehicles serving inner Metro Manila, the terminal was recently inaugurated and is part of a massive government infrastructure ramp-up, this one in partnership with the private sector. The government is striking a balance between foreign and local funding for the priority projects. NONIE REYES

the form of general untied loan bearing an interest rate of 0.8 percent to 1.4 percent with a maturity period of 15 to 25 years. For untied loans under yen loan packages with preferential terms, they carry an interest rate of 0.15 percent to 0.20 percent with a maturity period of 15 to 40 years.

Offered loans from China bear a 2-percent interest rate for concessional or tied loans with a maturity period of 20 years, while the preferential buyer’s credit loan has an interest rate of 3 percent with the same maturity period.

National Treasurer Rosalia V. de Leon told the BusinessMirror: “With the lower interest cost of ODAs, the government can allocate more fiscal space for priority programs identified in the mediumterm development plan, such as infrastructure and social support, which would otherwise just go to additional interest payments if the same amount had been sourced through regular bank loans or bond borrowing.”

According to BTr data, the government expects around $1.97 billion or P105.43 billion in ODA for 2018, while it aims to increase ODA funding for 2019 to around $2.23 billion or P120.73 billion. Of the total ODA for 2018, $1.57 billion or P84.20 billion are program loans, while $397 million or P21.23 billion are project loans. For 2019, $1.62 billion or P87.31 billion will be for program loans, while $619 million or P33.42 billion will be for project loans.

Tan gave assurances that the

country is not falling into a debt trap since there is an urgent need for the projects being funded by the loans.

“We have our own list of projects, and on top of that it goes through the ICC [Investment Coordination Committee] process. They will check if the project is viable. If it’s viable, it’s self-paying; meaning, it can pay for itself. So all the projects being put forth, there’s really a need for them,” Tan said.

Finance Secretary Carlos G. Dominguez III said in June that if the government borrows funds for projects where the need is uncertain, then there is a risk of falling into a “build-it-and-theywill-come trap.” He said: “If you borrow money for projects [for which there’s no longer] a demand, there’s a chance that your estimates are going to be wrong and your revenues are not going to be enough. However, what are we borrowing for? We are borrowing for things [where we] already have the demand…people are willing to pay for that and people need that.”

In September, the finance chief reported that the government is on track to meeting its medium-term goals, which include: reducing poverty incidence in the country from 21.6 percent in 2015 to 14 percent by 2022; making growth more inclusive by addressing the infrastructure deficiencies that stymie productivity; and inducing more investments to generate more jobs for the next generation

ON Chinese loans, Dominguez said it is the Philippine government, not China, that dictates which projects should be implemented and presented for concessional financing. These projects also undergo a rigid selection process, with the government ensuring the lowest borrowing terms before implementing them with foreign funding support.

Dominguez added: “In a recent case, one of the funding agencies made an offer that we thought was too high, and we said we will not get it from them, we will get it from the ADB. Immediately, they dropped their costs. So we asked them to compete for the projects.”

Dominguez assured the people that “there is no danger of us being drowned by Chinese debt.” He said the estimated project debt to China, if project financing coming this year is included, will constitute only 0.65 percent of total debt, a slight rise from the current 0.11 percent.

The Philippines’s project debt to Japan, meanwhile, will increase by the end of this year to 8.90 percent of the total debt, from the current 3.17 percent.

Dominguez said that by the end of 2022, when most of the financing for the BBB program will have been accessed, the country’s project debt to China would constitute around 4.5 percent of the total debt, while the project debt to Japan will be around twice as large or 9.5 percent of total debt.

“We borrow with great prudence, aware that it is the taxpayer who ultimately pays for the debt. We always keep in mind that the money we borrow come from the taxes dutifully paid by the people of the countries that have continued to generously support us,” he said.

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SAY HELLO TO 2019 AT RICHMONDE ORTIGAS!

A SM ENTRY WINS BELENISIMO SA TARLAC 2018 SM City Tarlac’s entry was named the grand champion in the nonmunicipal category at the recent 11th Belenismo sa Tarlac awards night. Taking inspiration from the church—the house of God—the Belen sits on a backdrop of stained glass, and is a mix of traditional and upcycled materials. The multicolored panels were sourced from discarded stained-glass windows of different churches in Luzon, making use of one of Tarlac’s main produce that is melted-then-hardened sugar crystals. Sinamay fabric was used in the sacred characters’ clothes, while the base of the platform, on which the display sits upon, was made of more than 3,000 recycled glass bottles.

CHINA-FUNDED, P350-M SARANGANI REHAB CENTER READY TO SERVE

S we welcome a brand new year, Richmonde Hotel Ortigas presents wonderful offers to help you celebrate the year 2019 with hope and excitement.

A bountiful morning awaits you after a fabulous night of festivity. Greet the first day of the year with the New Year’s Day breakfast buffet and revel in a mouthwatering array of international breakfast favorites for only P930 net.

Indulge the kids with these yummy feasts. Children age 6 to 12 get 50-percent discount while those age 5 and below are free of charge for all buffet offers.

If the holidays leave you spending some more, recharge with a soothing staycation for as low as P3,599 net (room only) and P3,999 net (room with breakfast buffet for two). Discounted rates are available until January 13. For inquiries and reservations, visit www.richmondehotelortigas.com.ph.

DIAMOND HOTEL’S LAUNDRY ATTENDANT EMERGE VICTORIOUS AT MABUHAY AWARDS

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HE P350-million Chinese-funded Dangerous Drug Abuse Treatment and Rehabilitation Center (DDATRC) in Alabel, Sarangani, was recently inaugurated and turned over to the Philippine government after its construction was completed in less than a year. The 150-bed rehabilitation center occupies a three-hectare land provided by the provincial government and will operate this month to cater to Region 12, or Soccsksargen, which covers the provinces of South Cotabato, (North) Cotabato, Cotabato City, Sultan Kudarat, Sarangani and General Santos City.

The DDATRC has a floor area of 6,707 square meters, which includes admission, administration building and clinic, male and female dormitory, transition villa, visitors’ pavilion, staff house, motorpool, and multipurpose covered court and other buildings.

An interagency task force, composed of the departments of interior and local government, health, and social welfare and development, the Dangerous Drugs Board, the Philippine Drug Enforcement Agency and the Office of the President, will facilitate the operation of the center.

The project design adopts a modernist architecture, in which main functions include treatment, training, sports and

office. The main of the central administration building is like a “window of hope” facing the future, which symbolizes the opening of each patient’s heart to help them step into a new and bright future.

Sarangani Governor Steve Chiongbian-Solon lauded the project and said it will help the Provincial Anti-Illegal Drug Abuse Program in its community-based rehabilitation program as a holistic approach in rehabilitating surrendered drug personalities. He noted the abrupt drop of crime rate in the region to 70 percent at the height of the government’s anti-illegal drugs campaign, and the DDATRC will be a big help in this effort.

Unveiling the marker of the center at the inauguration are Health Secretary Francisco Duque III and Chinese Consul General Li Lin (fourth and fifth from left, respectively). It was witnessed by DOH regional director Aristides Concepcion-Tan, Health Assistant Secretary Abdullah Dumama Jr., ChiongbianSolon, Interior Undersecretary Epimaco Densing III, China State (Philippines) Construction Engineering Corp. general manager Liu Wei, and Chinese Embassy economic and commercial counselor Jin Yuan.

HE A ssoc i at ion of Hu m a n Resources Managers (AHRM) for Hotels and Restaurants re ce nt ly n a me d V ic tor M ade l a , laundry attendant for Diamond Hotel Philippines, as the Heart of the House winner at the 23rd Mabuhay Awards.

In photo are (from left) Ma. Christina Aquino, chairman of the Tourism Industry Board Foundation Inc. and director for linkages and standards of Lyceum of the Philippines Un iversit y M a n i l a ; Fr. R ol a ndo Mactal, O.P, rector of Santo Domingo Church; Annabelle Ochoa, AHRM lifetime member; Madela; Vanessa Ledesma-Suatengco, general manager of Diamond Hotel Philippines; Maria Janella Ceriola, 22nd Mabuhay Awards Heart of the House winner; and Myrna Reyes, AHRM public relations officer.

Ever y year the A HR M awards distinction of honors to the best

managers, supervisors, and rank-andfile staff from the hospitality industry by hold ing t he annu a l Mabu hay Awards, which is considered the most prestigious service award given to the outstanding men and women in the

hospitality industry in the Philippines.

Madela won over other strong candidates from participating hotels a nd rest au ra nts a f ter a ted iou s selection process by a prominent board of judges.

P.A. PROPERTIES SHARES CHRISTMAS CHEERS WITH PAMASKONG HANDOG

ANTIBULLYING POLICIES BE STRICTLY REINFORCED IN SCHOOLS—DEPED

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HE Department of Education (DepEd) reminds all public and private Kindergarten, elementary and secondary schools of the necessity and importance of adopting and enforcing antibullying policies in their respective institutions.

DepEd Order 40, series 2012, or the DepEd Child Protection Policy, institutionalized zero tolerance against any form of violence against the child and provided for the establishment of a Child Protection Committee (CPC) in all public and private schools.

DepEd Order 55, series of 2013, or the Implementing Rules and Regulations (IRR) of Republic Act (RA) 10627, otherwise known as the Anti-Bullying Act of 2013, on the other hand, requires all public and private schools to submit a copy of their child protection or antibullying policy to the Division Office within six months from the effectivity of the IRR. The same shall be submitted to the regional director, in addition to the requirements for an application for permit to operate and/or recognition as prescribed by the existing rules of the department.

Rule 4 underscores that the bullying prevention program in schools shall be comprehensive, multifaceted and shall involve all education stakeholders and personnel. Schools shall develop intervention strategies, like counseling, life-skills training, education and other activities that will enhance the psychological, emotional and psychosocial wellbeing of victims, bullies and other parties who maybe affected by the bullying incident.

Private schools that fail to comply with the requirements of RA 10627 or of the IRR may face penalties under the law.

The department also encourages learners who experience or witness bullying, abuse or retaliation to speak up and report verified incidents to their peers, parents, teachers and the appropriate authorities for proper intervention. Any information relating to the identity and personal circumstances of the bully/ies, the victim/s, or the witness/es shall be treated with utmost confidentiality by the CPC and the school personnel.

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OR all the successes it reaped since its inception, PA Properties once more celebrated December as the month of gratitude. Aside from the 24th anniversary celebration last December 8, several corporate social-responsibility activities were lined up for neighboring partner communities.

Dubbed as Pamaskong Handog 2018, the activity has been initiated by PA Properties for over a decade now and celebrated in communities where the company operates, particularly in Laguna and Cavite.

A collection drive on toys, clothes and books was organized in preparation

for Pamaskong Handog Day One with Cittadinni School for the adults and children of San Pedro. Apart from gift giving, volunteers treated the participants to a hearty breakfast of bread and lugaw.

Day Two and Day Three of Pamaskong Handog were celebrated with differently abled children in San Pedro, Laguna; and Carmona, Cavite. This was a collaborative effort with the Department of Social Welfare and Development of San Pedro and Persons with Disability Affairs Office, a local government unit from Carmona, Cavite.

On Day 2 the company, together with its joint venture partner Hankyu

Hanshin Properties Corp. and the LEAD graduates, led the gift giving to differently abled children in San Pedro, Laguna, followed by a chickenand-spaghetti lunch, and a dance presentation of a mascot from a local fast-food chain. This activity was also celebrated on Day 3 in Carmona, Cavite.

Capping Pamaskong Handog 2018 was PA Fun Day, an annual festivity where children of PA Properties employees came together for a day of fun, games and partying at the San Pedro office.

Old and young alike were treated to face painting, gift giving, goodie bags, snacks and sweets, among others.

Sports BusinessMirror

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| Tuesday, January 1, 2019 mirror_sports@yahoo.com.ph Editor: Jun Lomibao

OMELETS FOR EVERYONE! Serena Williams knows her way around a tennis court, as well as the world of couture. But French tennis authorities said her daring, fulllength catsuit would no longer be welcome at the French Open.

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By Fred Lief

The Associated Press

HERE was a soup thrower in the locker room. There was a tickler on the hockey rink. There were science deniers swallowing their hot air.

There was a hint of doomsday on a golf course.

Sports drifted into strange places in 2018. Sometimes everyone seemed lost.

The Scottish soccer team Brechin played an entire 36-game season without winning a game. That hadn’t happened since the 19th century. The Washington Nationals brought three camels to spring training, a proclamation that this year they would finally get over the playoff hump. Well, the hump was big and there were no playoffs for the Nationals, just the lasting scent of camel’s breath.

And be happy you weren’t the person in charge of ordering food for Norway’s team at the Pyeongchang Olympics. Instead of getting 1,500 eggs, as requested, 15,000 arrived. Hey, omelets for everyone!

GET THIS MAN A PASSWORD: Worried about safety at the 2020 Tokyo Olympics? This should make you feel better. The man in charge of cybersecurity says he’s never used a computer. The most standard cable connection is a mystery to him. Suffice to say, Yoshitaka Sakurada did not come off well in his remarks, drawing laughs from Japanese lawmakers. Says Sakurada: “I give instructions to my aide, and so I don’t plug into a computer myself. But I am confident our work is flawless.”

DEDICATED FOLLOWER OF FASHION: Serena Williams knows her way around a tennis court, as well as the world of couture. But French tennis authorities said her daring, full-length catsuit would no longer be welcome at the French Open. Rising to her defense were not so

much the editors of Vogue but Mahmoud Ahmadinejad, the former president of Iran. He tweeted that the French were “disrespecting” Williams. He added, with no hint of his role in dictating fashion choice during his rule, that “some people haven’t realized the true meaning of freedom.”

DEER VIJAY: It’s over. Not often do lawyers get to draw up confidentiality agreements regarding deer antlers, but so it was with golfer Vijay Singh. The threetime major winner settled a lawsuit that had been going on for more than five years over his use of deer-antler spray. The spray contains an insulin-growth substance that had been banned by the Professional Golfers’ Association Tour. Singh contended he was subjected to “public humiliation and ridicule.”

SOUP’S ON: Basketball fans—and short-order cooks everywhere—may ponder this for a long time: What kind of soup did JR Smith throw? Lentil? Good old chicken noodle? Perhaps a bisque. We simply don’t know. But this much is clear: The then-Cleveland Cavaliers guard, as if squaring up from behind the arc, tossed a bowl of soup at assistant coach Damon Jones after a shootaround.

When pressed on his soup choice, Smith insisted he could not remember, saying it’s “just part of the game.”

RICE AND BEANS: When you go 0-16 these things happen. The Cleveland Browns plunged to such depths after their winless 2017 season they were compelled to knock down a report they were considering former Secretary of State Condoleezza Rice to be their next coach. Rice, a lifelong Browns fan, knows her football but is probably on safer turf at a Nato conference. The Browns noted their “utmost respect” for Rice but said no thanks. Rice, on Facebook, expressed confidence in the team’s next hire. However, if need be, she offered to “call a play or two next season.”

ICECAPADES: Maybe Freud can explain this. Or maybe Gary Bettman. In the

merry month of May, two NHL players got in touch with their inner 6-year-old.

Vegas goalie Marc-Andre Fleury tickled the ear of a helmetless Blake Wheeler of the Winnipeg Jets. Fleury says he was simply “trying to have a little smile by myself.” Then there’s Brad Marchand of the Boston Bruins—no tickler he. He licks opponents. First, he went after Toronto’s Leo Komarov, then Tampa Bay’s Ryan Callahan. The league told Marchand to cut it out, threatening punishment.

A couple of coaches were exasperated. A macho punch to the face is one thing, but this? “I don’t get it, I don’t understand it,” the Lightning’s Jon Cooper said.

Added the Jets’ Paul Maurice: “It gives me the willies.”

SPACEBALLS: Two of the National Basketball Association’s best briefly left the court for another galaxy. Kyrie Irving, during a 2017 podcast, wondered if the Earth might be flat. Social media were not kind to such musings. This year, the Celtics guard seemed to acknowledge at a Boston summit that his planet is indeed as round as a basketball and said he was sorry “to all the science teachers.” Celestial backcourt mate Stephen Curry, meanwhile, wondered if it was a hoax that astronauts walked on the moon. The Golden State star told ESPN he was “obviously” joking and “silently protesting” how this story “took a life of its own.” In any case, Nasa says it has mounds of lunar rocks to show Curry, who happily agreed to accept the invitation to tour the space agency.

FAIRWAY TO HEAVEN: This was supposed to be a nice day of golf in Hawaii. Instead, it felt like Armageddon. Everyone’s phone at the Sony Open started flashing: A missile is coming, and this is the real deal. One golfer, John Peterson, tweeted that he and his family were taking cover under mattresses in the bathtub and praying to the almighty. The alert was a false alarm, but until then there was panic in the lobby, with people running around, not knowing what to do. Golfer Colt Knost surveyed the mayhem and had this thought as the apocalypse possibly approached: “I texted one of the rules officials and asked if tee times were delayed.”

Federer looking forward to Serena’s serve P

ERTH, Australia—Roger Federer’s wish is about to be granted—he’s getting the chance to return Serena Williams’s powerful serve.

The famously unflappable Swiss acknowledges being excited about the prospect of taking on his fellow tennis great on Tuesday in a Hopman Cup mixed doubles match between Switzerland and the United States.

“I admire everything she has done both on and off the court,” Federer said. “I have always thought how is it to return that serve and go head-to-head with her.”

Federer made an impressive start in preparation for his Australian Open title defense with a seemingly effortless 6-1, 6-1 victory over Cameron Norrie on Sunday.

His playing partner Belinda

Bencic also won to seal defending champion Switzerland’s victory over Britain in Group B. Federer and Bencic will next take on Williams and Frances Tiafoe to kick-start the New Year with arguably the most anticipated match in the tournament’s three-decade history.

Tickets were sold out soon after being released for the showpiece encounter, which pits Federer and Williams on court for the first time.

The 37-year-olds have won 43 Grand Slam singles titles between them.

“It’s very exciting for us. I hope tennis fans tune in and watch it

because it’s going to be one time and probably never again in this type of competition,” Federer said.

By most people’s standards, the two stars have an unusual meeting place.

“I don’t know her that well. I only know her from some champions’ dinners at Wimbledon,” Federer said. “We have busy lives and a big entourage, so it’s rare to really deep dive. We can relate to each other more so now, being parents.”

Federer will head into the clash in form after a master class 57-minute thrashing of Norrie. The 20-time Grand Slam champion moved around the court well and hit the ball crisply to overwhelm Norrie.

“I was very happy that I was able to come out tonight and put in a good performance,” Federer said. “I was happy with all aspects of my game, footwork, offensive play, serve, return. It was all there.”

Federer started

preparation for his Australian Open title defense in style with his victory over Norrie.

The 37-year-old Federer sent his 23-year-old opponent from Britain back to reality in a one-sided match.

The No. 91-ranked Norrie had defeated Greece’s No. 15-ranked Stefanos Tsitsipas in straight sets on Saturday in one of the biggest victories of his career, but was outclassed in his first match against Federer.

“This was a great start but obviously a long way to go here and in Melbourne,” Federer said. “It’s nice that I’m feeling as good as I am and played a wonderful match against Cameron.”

Federer started the match nervously and dropped the first three points, but dug out of a hole with trademark clutch serving. He discovered his groove by dominating Norrie’s serve and broke in the second game with a powerful cross-court backhand winner.

Federer moved the British player around by crisply hitting the lines as he won five games in a row to take control of the set. Norrie saved two set points in the sixth game to get on the scoreboard and earn applause from the near capacity crowd.

Norrie seemed momentarily inspired as he gained two break points before Federer once again recovered to close out the first set in 31 minutes.

The 20-time Grand Slam singles champion broke immediately in the second set and looked sharp as he cruised to an easy first-up victory in the tournament as defending champion Switzerland went on to beat Britain, 3-0, in Group B. Belinda Bencic defeated Katie Boulter, 6-2, 7-6 (0), in the women’s singles to clinch the match before Federer and Bencic teamed up to prevail over Norrie and Boulter, 4-3 (4), 4-1, in the mixed doubles in the Fast4 format.

Federer’s appearances at the past two Hopman Cups laid the groundwork for successful Australian Open campaigns.

Earlier, Angelique Kerber and Alexander Zverev gave Germany a 3-0 victory against Spain.

Kerber ended a five-match losing streak against Garbine Muguruza with a 6-2, 3-6, 6-3 win. No. 4-ranked Zverev beat David Ferrer, 6-4, 4-6, 7-6 (0), in the men’s singles match before the German pair combined to win the mixed doubles, 4-2, 4-3 (3), in the Fast4 format. AP

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Tuesday, January 1, 2019

Home BusinessMirror

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www.businessmirror.com.ph

Scene-setting home fragrance names AERA’S scent diffusers uses technology that allows the fragrances to diffuse in a unique way, so that all the aromatic notes disperse together. AP

Today’s Horoscope

By Eugenia Last

CELEBRITIES BORN ON THIS DAY: Gabby Douglas, 23; Joey McIntyre, 46; Bebe Neuwirth, 60; Anthony Hopkins, 81.

By Kim Cook

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The Associated Press

HE home-fragrance market has long been dominated by relatively simple iterations of popular aromas: vanilla, cinnamon, evergreen and citrus scents.

But that marketplace of diffusers, candles and room sprays is full of fun, evocative names to distinguish the scents—names meant to pique our imaginations and bring home not just a sense of smell but of story.

Perhaps lighting a jar of “Poet’s Garret” will inspire your sonnetwriting. A whiff of “Spring Party” might just ramp up the festivities.

“Scent grabs us in a way that no other sense can,” connecting to parts of the brain that process emotion and memory, says New York-based marketing strategist Alexander Jutkowitz.

The names of home fragrances are meant to create a visual in your head first, and then the designers follow through with the fragrance blend.

San Francisco letter-press designer Kimberly Austin has a line of jar candles, Sanctum for Austin Press.

She’s given each concoction not only a cool name, but a little back story on the label.

“Cowboy’s Camp,” for instance, is a mix of wood-smoke essence, tobacco, pine and horsehair. The story involves a cowboy setting up camp under the stars with his horse at his side. For “Dancer’s Dormer,” Austin sets the scene of a performer climbing the stairs to her attic apartment, walking on the ebony wood floor, and seeing a bouquet of geranium and juniper. Tangerine, vetiver and balsam characterize “Bear’s Cave,” with the story centering on a hibernating bear’s environment and the advent of spring.

“I wanted them to be like vintage apothecary jars with samples of places and people,” says Austin. “I created the theme by thinking of both

HAPPY BIRTHDAY: Assess your current situation and consider what you can do to make your life run smoothly.

Don’t feel pressured to act quickly; take your time and develop and execute plans that will stand the test of time.

Practicality and common sense applied to innovative ideas will ensure you get the most out of whatever you do or pursue. Your lucky numbers are 9, 13, 20, 26, 27, 40, 44.

a

ARIES (March 21-April 19): Set goals and work diligently until you feel satisfied with your accomplishments. Don’t be vague or let anyone mislead you regarding money, health or emotional feelings. Use your intellect to solve problems and to get things done properly. «««

b

TAURUS (April 20-May 20): Don’t leave anything to chance. Size up situations and determine what will bring you the highest returns. Persistence will pay off personally and professionally. A unique way of letting someone you love know how much you care will win favors. «««

c

GEMINI (May 21-June 20): Think big but live within your means. Have fun, but don’t go overboard. Indulgence will lead to discord and problems that will be difficult to reverse. Use your intelligence and common sense to avoid mishaps, and keep personal information to yourself. «««

d

CANCER (June 21-July 22): Celebrate the end of the year with people you find stimulating. A romantic evening filled with promises and plans will give you something to look forward to. Adding a little glitz to your appearance will lead to compliments. «««««

e interior and exterior space, then coming up with characters that would be associated with them. All of the environments are meant to be special places offering calm, inspiration and peace. Our dream spots, so to speak.”

At Aera, intriguing scents come in capsules you load into a diffuser that can be operated with an app.

The collection, created by master perfumers and scent designers, includes evocative names like “Poetry” (vetiver, eucalyptus and guaiac, an oil from the South American palo santo tree), “Moondance” (bergamot, iris, amber) and “Kith & Kin” (orange zest, spice,

soft wood).

At Green Valley Aromatherapy in Courtenay, British Columbia, founder Barbara Greenwood offers essential oil mixtures like “Transitions,” with black pepper, rosemary, lemon and geranium.

“Black pepper stimulates blood flow to help with lethargy and fatigue. Geranium is considered in aromatherapy to be a balancing oil and was added to help offer the warm hand of comfort. Lemon is a great oil to uplift and improve focus.

Rosemary is considered to be a mental stimulant,” she says.

Those seeking comfort might

consider her “Solace,” a soothing blend of bergamot, marjoram and sandalwood. Or generate a festive air with “Spring Party,” a zingy mix of orange, peppermint and ylang ylang.

At interior design firm Haus Interior, cotton wax candles include “Summer Haus,” a seasonally reminiscent blend of coconut and tonka bean, a legume with a vanillacaramel taste and aroma. “Dock Haus” is a mixture of summercottagey birch and cypress essences, while “Winter Haus” combines warm fig with the smoky notes of a wood fire.

Get rid of ‘unwanted guests’ whatever the season IT’S the “most wonderful time of the year,” a season for goodwill and fostering close family ties. Open your doors to cherished kin and friends but keep “unwanted guests” at bay— cockroaches, ants, mosquitoes, and other home pests that can ruin the

holiday spirit and even make you sick.

A trusted industry leader, Jardine Distribution (jardinedistribution.com.ph) offers an array of high-quality Home Pest Solutions that deter, control and eliminate such unwanted visitors safely and effectively. They are also convenient

and easy to use, with guaranteed efficacy at affordable costs.

First is ZAP All Knockdown multi-insect killer, a highly effective insecticide that is specially formulated to kill dengue-carrying mosquitoes and pesky flies without the irritating smell.

ZAP’s active ingredient and advanced formulation offer a faster knockdown power and better performance than other brands in the market, safeguarding your family against the threats of dengue and Zika.

To exterminate cockroaches, JDI offers Optigard Roach Bait, which boasts an advanced technology. It kills the entire colony, making your home roach-free for almost three months.

It is also safer to use than spray as in comes in gel odorless formula. It is also nonstaining.

Meanwhile, Optigard Ant Bait eliminates ants with its dual-killing action that can exterminate an entire colony. Once ants ingest the active ingredient, these return to their nest and transfer the bait to other ants, including queens.

Last but not the least, protect your well-loved wooden furniture from natural and man-made damages with Woodshine, a tried-andtested furniture polish from timber expert Solignum. This special liquid emulsion and wax-based formula has anti-static property, which creates a natural barrier that repels dust particles and grime, prevents smudges and light scratches, and even removes coffee and water stains. It can also be applied on vinyl and leather surfaces.

LEO (July 23-Aug. 22): Check your motives before you say or do something you’ll regret.

Start the year off on the right foot and doors will open. Giving in to temptation or making poor choices will lead to backtracking when you should be moving forward. ««

f

VIRGO (Aug. 23-Sept. 22): Touch base with people you find inspiring and wish them well.

Showing concern for others and interest in what they are doing will position you for a bountiful year filled with surprises. Listen and respond with respect and honesty. ««««

g

LIBRA (Sept. 23-Oct. 22): Choose who you spend your time with carefully. Someone who is a poor influence or who can make you look bad should be avoided. Criticism may not be welcome, but it will be worth considering. Be careful while traveling. «««

h

SCORPIO (Oct. 23-Nov. 21): Whether you want to make changes to the way you live, what you do or how you look, putting a strategy in place will give you reason to celebrate.

Share your plans with someone you love. Toast to new beginnings. «««

i

SAGITTARIUS (Nov. 22-Dec. 21): Your openness can be a deterrent when dealing with people who are critical or jealous. Be a good listener and a responsible friend or partner. You can have fun without boasting, being indulgent or taking unnecessary risks. «««

j

CAPRICORN (Dec. 22-Jan. 19): Choose to resolve issues so you can be at your best next year. Put the past behind you and wipe your slate clean so you can make the most of what’s to come. Live, love and laugh. ««««

k

AQUARIUS (Jan. 20-Feb. 18): Savor what’s important to you, and don’t lose sight of what you have and how fortunate you’ve been. Embrace change and head into the new year with optimism and the intent of doing and being your best. ««

l

PISCES (Feb. 19-March 20): Tidy up loose ends, and you’ll feel more like celebrating. Don’t be tempted to be extravagant. Problems will arise if you don’t live by the rules. Stay focused and intent on doing what’s right. Celebrate by being romantic, not indulgent. ««««« BIRTHDAY BABY: You are original, persistent and intuitive. You are enthusiastic and flexible.

‘noted personalities’ BY SAMUEL A. DONALDSON & DOUG PETERSON The Universal Crossword/Edited by Timothy E. Parker

ACROSS 1 Orange coat?

5 Bygone Canadian SNL rival 9 Black-clad teen, stereotypically 13 Poppy drug 15 “Very funny” 16 Ancestral tales 17 An emcee might introduce him as “2007 Golden Globe winner for Borat” 20 Citrus drink suffix 21 Iditarod city 22 Derby entrants 23 Falls behind 25 Painter Salvador 26 An emcee might introduce her as “1970 National Book Award winner for ‘them’” 33 Sweep ___ the rug 34 Bad dog to pet 35 Common lab animal 36 Many August babies 37 Poe’s “ungainly fowl” 38 British “Ciao!”

39 Atonement author McEwan

0 “Heavy” music genre 4 41 Modern Family actress Winter 42 An emcee might introduce her as “2015 WNBA MVP” 45 Certain paintings 46 Ex-Senate Minority Leader Trent 47 Poem part 50 One who makes an impression?

52 Solo homer stat 55 Emcee’s notes holder that would be apt for 17-, 26- and 42-Across, given their names’ lengths?

58 Top-shelf 59 Gain by merit 60 L.A.’s location 61 Set foot (on) 62 Glance 63 Manhattan-based fashion label DOWN 1 Parks of civil rights fame 2 Popular tablet 3 “Good job” 4 “Obviously!”

5 Bogus 6 Tender loving ___

7 However, in texts 8 “Jump” band 9 Actress Swanson 10 Sounds of delight 11 Seedling, someday 12 Layers in a coop 14 Nativity setting 18 Anjou alternative 19 Break out the Crayolas 24 Flexible blackjack cards 25 “Dish!”

26 Kavner of The Simpsons 27 NBA legend Shaquille 28 Becomes less intense 29 Pepsi, to Coke 30 It has rails and ties 31 Like bagels that are put away?

32 Like bagels that aren’t put away 37 Johnnie Walker blend 38 Home run hitter’s pace 40 Pale yellow, like corn 41 Loves to bits 43 “Don’t bother” 44 Mtn. meas.

47 “Now, nurse!”

8 Norse thunder god 4 49 Florence river 50 High hairstyle 51 Like a rare steak 53 Muffin variety 54 Lazy way to stand by 56 NBA legend Ming 57 Popular food fish

Solution to yesterday’s puzzle:

Editor: Gerard S. Ramos • lifestylebusinessmirror@gmail.com

Show BusinessMirror

Tuesday, January 1, 2019 C3

Sylvia Sanchez always counts her blessings IN this file photo dated on January 31, Special Envoy for the United Nations High Commissioner for Refugees Angelina Jolie addresses the media at Nato headquarters in Brussels. American actress Jolie has not ruled out a move into politics, during an interview on BBC radio on December 28, and has joked that she might be tough enough to take the rough and tumble that comes with it. AP

ALL ACCESS RICKY GALLARDO rickygallardoTFI@gmail.com

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ONSIDERED as a late bloomer in the acting business, Sylvia Sanchez is one actor that literally worked her way up, earning the respect and admiration of the industry with every job assignment she takes on.

For many who know her well, Sanchez is both straightforward and sweet, fierce and fun. The friends that she chooses to have, she keeps.

Sanchez started in the business during the late 1980s but it was only during the last few years when the industry took notice of the gem that she has become. On television, shows like Mundo Man ay Magunaw, Please Be Careful with My Heart, Ningning reminded the viewers that she is both a competent and passionate actor.

But it was in 2016 when she top-billed the afternoon hit drama series The Greatest Love that truly ensconced her into the league of A-list Philippine actors. Sanchez gave life in the most vivid dimensions to the role of a mother afflicted with Alzheimer’s disease, who tried to glue her family together despite life’s toughest challenges.

The hard work and dedication she put in each of the 163 episodes resulted in numerous recognitions and awards, and gave way to lead roles on film, too. Big doors opened for Sanchez, including product endorsements. She is now the star endorser of Beautéderm, a beauty brand owned by the amiable entrepreneur Rhea Anicoche-Tan. Juts like many of the roles she portrays, Sanchez is a loving mother who is the heartbeat of her family.

Her very humble beginnings in Nasipit, Agusan del Norte drove her

to work hard and inspired her to seek out better opportunities in the big city.

“I have experienced how it was to have almost nothing, that is why I count every blessing, big or small, that comes my way. I always tell my kids to make the most out of each opportunity that is given to them, to always be grounded and fair and kind, and to always see the goodness in everything, even during times when life and people seem to be unkind, unjust and unreasonable,” she intoned.

Her son Arjo is being touted as one of the best actors of his generation, and her lovely daughter Ria is also focusing on making acting a full-time career.

Arjo has a good role in Jack Em Popoy: The Puliscredibles and Ria got very good feedback from her performance in The Girl in the Orange Dress. Both movies are part of the ongoing Metro Manila Film Festival.

Sanchez is happily married to businessman Art Atayde, and she told us that her husband is her rock. “He is usually quiet, and very observant, but he is the real strength of the family.

Sometimes, he doesn’t even have to utter a word. His tight hug is more than enough especially during trying times.”

Sanchez keeps herself busy and tries to constantly evolve as a celebrity.

Just recently, she became an official vlogger with Sylviahera, a digital lifestyle show that combines food and travel. During the pilot episode that aired on Christmas morning, Sanchez flew to her native Nasipit with her entire brood and shared the secrets how they prepare lechon in Agusan.

The 15-minute video which aired on CasaNieves.TV was well planned and put together, using drone shots to

Angelina Jolie doesn’t rule out move into politics LONDON—Angelina Jolie has not ruled out a move into politics—and has joked that she might be tough enough to take the rough and tumble that comes with it.

The American actress and United Nations envoy told BBC radio she “can take a lot on the chin”—a possible reference to her bitter divorce from Brad Pitt. When asked if she is moving in the direction of politics, the 43-year-old Oscar winner said, “I honestly will do whatever I think can really make change.”

Jolie is a special envoy for the UN refugee agency. She used her slot as a “guest editor” on the BBC to highlight refugee issues in the Middle East.

She also included Chinese artist Ai Weiwei and Nobel Peace Prize winner Denis Mukwege on the show. AP

GREATEST BEDTIME STORY EVER TOLD STARTS JANUARY 16 SYLVIA SANCHEZ

highlight the raw beauty of a province that many do not know much about. This holiday break, Sanchez and her team are brainstorming and whipping up ideas for the next few episodes of her vlog.

She has just finished a Visayan film with favorite leading man Nonie Buencamino, shot entirely in Cebu.

While she awaits for her next TV series, Sanchez might also start working on a new movie project under comebacking filmmaker-writer Ronald Carballo.

Negotiations are under way and things are looking pretty good.

The Ataydes always find time to travel

as a family. This festive season brought them to Japan, where Sanchez tries to discover more Japanese gastronomic adventures. “We love food, that’s why traveling is so much fun. Aside from visiting places and shopping, we try food we’ve never tasted before.”

Sylvia Sanchez always ends the year with a prayer of thanksgiving.

She looks forward to a new year filled with hope, good health and more travel and food adventures with her family. She believes that true happiness can be achieved only with a grateful heart.

After a decade of dormancy, Chaka Khan blooms again

By Mike Cidoni Lennox The Associated Press

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ASADENA, California—If Chaka Khan were a flower, she’d be a perennial.

“Because I go dormant and then I. . .” Khan stops and gracefully lifts her arms together, then slowly brings her hands apart, like a tulip emerging in spring.

“I’ve done it many, many times,” explained the singer, perhaps best known for her multimillion selling 1984 cover of Prince’s “I Feel For You.” On the brink of her first new album in a decade, and, on New Year’s Day, serving as grand marshal at the Rose Parade, Chaka Khan is in bloom again.

After receiving the call from the Pasadena Tournament of Roses Association, the term “grand marshal” had the 65-year-old Khan’s mind running wild.

“I’ll tell you what I visualized,” Khan recalled. “I imagined myself with a baton, marching in the front.

‘I’m leading the whole parade.’ That’s what I thought.”

Not even close.

Instead, Khan will be seated on a comfy bench in the back seat of a

CHAKA KHAN

classic convertible, which will slowly make its way past the thousands along the 5.5-mile parade route. (The parade will also be seen by millions more on TV.) “This is all new for me,” Khan commented. “I love challenges. And I love new stuff.”

Khan will also open parade festivities with a performance.

Publicists were unable to confirm whether the grand marshal-performer double duty is a Rose Parade first, but

they did note it was the first time in recent memory. Khan said she would sing two songs: “I Feel for You,” as well as “Hello Happiness,” the second single from the new album.

The new song is not a political statement—unless you want it to be.

“I think we need a shot of just not taking the little things so seriously,” Khan said of the “Happiness” lyrics.

“Little things are important. It’s about the little things, but just flow.”

The new album, expected by the

Kevin Spacey asks to skip Massachusetts court appearance BOSTON—Lawyers for Kevin Spacey are asking a judge to allow the actor to skip his arraignment on sexual assault charges in a Massachusetts courthouse next month.

The Boston Globe reports that Spacey’s lawyers have filed a motion asking to excuse his presence at a January 7 hearing in Nantucket District

Court. The reason wasn’t disclosed.

Prosecutors asked the judge to deny the motion. The judge did not immediately rule.

Cape and Islands Assistant District Attorney Michael Giardino wrote that Spacey’s appearance is required under state rules for criminal case procedure.

The 59-year-old Oscar winner is charged with felony indecent assault and battery. Prosecutors say he groped an 18-year-old man in a Nantucket restaurant in 2016.

Spacey’s attorneys have not spoken publicly about the case but in a court hearing questioned the evidence. AP

end of 2019, is her first since the wellreceived 2007 Funk This.

So, why take such a long break between the two releases?

Khan said she never stopped recording from 2008 to 2018, she simply stopped releasing material.

She also took care of herself physically and made up for all those lonely years on the road by spending time with family and friends.

She also needed time to pull herself together after the April 2016 passing of old friend Prince, who died of a drug overdose. About six months later, Khan entered rehab to deal with her own prescription-drug addiction.

“You cover up and rethink your whole life,” Khan commented.

“You’ve got to rethink yourself.”

At last, for Khan, it is time to bloom again. And this parade, with its roses in winter, seems the perfect place for a perennial to make her return.

Khan even has her regal wave ready the masses.

“It’s just that,” she said, raising her arm, cupping her hand and moving it back and forth ever so slightly. “You use as little energy as necessary. You know, the Queen is very stingy with her energy.”

FROM the studio that brought you A Miracle on 34th Street and Home Alone, everyone’s favorite disreputable superhero returns to the big screen with a fairy-tale twist on Deadpool 2 that the whole family can enjoy. With over 20 minutes of never-before-seen footage, Once Upon A Deadpool is jam-packed with festive surprises that will open on January 16 in select cinemas nationwide.

Once Upon A Deadpool is the kid-friendly version of Deadpool 2 movie, now rated PG (Parental Guidance) by the MTRCB. With the lower rating, the movie can now be seen on the big screen by younger children (below 13 years old).

Grande cancels show due to ‘unforeseeable health reasons’ NEW YORK—Ariana Grande has canceled a Las Vegas performance days before New Year’s Eve “due to unforeseeable health reasons.”

Grande was originally scheduled to perform at The Chelsea at The Cosmopolitan of Las Vegas on Saturday. The hotel said on Friday in a statement to The Associated Press that the pop star will not perform.

The hotel said guests can receive refunds at their point of purchase.

ARIANA GRANDE Grande has had a busy year: Her song “Thank U, Next” is spending its sixth week at No. 1 on the Billboard Hot 100 chart, she recently earned two Grammy nominations and was named Woman of the Year by Billboard. Her year also included the end of her relationship with comedian-actor Pete Davidson and the death of her former boyfriend, the rapper Mac Miller. AP

ARE YOU READY FOR THE ‘BLACK MIRROR’ MOVIE? WHAT the Netflix Interactive Film subscribers are about to experience is different from other Netflix Interactive Films...namely, because it’s the only one.

In this ’80s-set, sometimes morally-compromising adventure, the viewer alone is in charge of what happens next. The journeys the viewer goes on are a direct result of their decisions.

There are choices to be made, challenges to overcome, dangers to encounter and, as always in life (and Black Mirror), consequences to be had. Choosing wisely could lead to triumph while taking the wrong path could end in disaster—but who’s to say what’s “right” and “wrong,” anyway? And fret not because once one experience comes to a close, you can—and should!—go back and make a new choice, alter the path of your story and maybe even change its outcome.

To experience the suspenseful world of Black Mirror: Bandersnatch and make decisions beyond your wildest imagination, go to bit.ly/2S6GHVr. Black Mirror: Bandersnatch is available on Netflix, the world’s leading Internet entertainment service with 130 million paid memberships in over 190 countries enjoying TV series, documentaries and feature films across a wide variety of genres and languages.

Members can watch as much as they want, anytime, anywhere, on any Internet-connected screen. Members can play, pause and resume watching, all without commercials or commitments.

M

IAMI—Karl-Anthony Towns scored 34 points and grabbed 18 rebounds, leading six Minnesota players in double figures as the Timberwolves defeated the Miami Heat, 113-104, on Sunday night.

Towns added seven assists and six blocked shots for the Timberwolves. The only other player in National Basketball Association (NBA) history to have that many points, rebounds, assists and blocks in the same game was Kareem Abdul-Jabbar, for the Los Angeles Lakers against Phoenix on November 14, 1975. Abdul-Jabbar had 35 points, 19 rebounds, nine assists and eight blocks in that game.

Robert Covington scored 16 and Taj Gibson added 14 for Minnesota. The Wolves also got 13 apiece from Andrew Wiggins and Dario Saric, while Tyus Jones scored 12.

Dwyane Wade led Miami with 21 points. Josh Richardson scored 17, Derrick Jones Jr. added 16 and Hassan Whiteside grabbed 13 rebounds for the Heat—who ended the 2018 calendar year with a 43-43 record.

Miami led only once, and that was for all of 25 seconds. But Minnesota was never exactly running away with this one—the Wolves’ lead was merely 5554 at halftime, 86-77 after three quarters and was up to 90-79 early in the fourth.

That’s when Miami went on its last-gasp attempt to steal one.

A three-point play by Wade, and three-pointers by Olynyk and Tyler Johnson added up to a 9-0 run that got Miami within 90-88 and put the Heat in position to win down the stretch.

Towns was having none of that.

He ended the Minnesota scoring drought with a short hook, added a three-point play and his three-pointer with 4:06 left put the Timberwolves up, 103-92.

In Toronto, Kawhi Leonard scored 27 points, Pascal Siakam had 20 points and 12 rebounds and Toronto recorded its seventh straight win over Chicago, 95-89.

Danny Green and Fred VanVleet each scored 10 points as the Raptors bounced back from their largest defeat of the season, a 29-point loss at Orlando on Friday.

Lauri Markkanen had 18 points and 10 rebounds and Wendell Carter Jr. had 16 points and 11 rebounds for the Bulls, who didn’t score for the first 3:19 of the fourth quarter.

Chicago’s Zach LaVine fouled out with 13 points. It was a poor shooting night for LaVine, who went 3 for 17, including 0 for 3 from three-point range.

Kris Dunn scored 14 points, and Justin Holiday and Chandler Hutchison each had 11 as the Bulls fell to 5-8 under coach Jim Boylen.

Evan Fournier’s running jumper in the lane as the

HUGE NIGHT FOR TOWNS buzzer sounded gave Orlando a 109-107 home win over Detroit.

DJ Augustin led the Magic with 26 points and eight assists, and Nikola Vucevic and Aaron Gordon each scored 22 points. Fournier finished with 13.

Luke Kennard scored 16 points to lead the Pistons.

Reggie Bullock and Blake Griffin had 15 apiece and Andre Drummond had 14 points and 15 rebounds.

Fournier’s winning basket ended a wild finish in which Detroit wiped out an eight-point deficit in the final three minutes only to lose for the 11th time in their last 14 games.

Teenage rookie Luka Doncic scored 25 points and young backcourt mate Dennis Smith Jr. hit the go-ahead lay-up in the final minute as Dallas also won at home, 105-103, over the Oklahoma City Thunder.

Paul George scored the last 13 points for Oklahoma City and finished with 36, but he missed a pull-up jumper over Smith with two seconds left

in the first of two straight meetings on back-to-back nights for these regional rivals.

The Thunder’s Russell Westbrook was 4 of 22 from the field for nine points with nine rebounds and eight assists.

Smith scored 14 points. DeAndre Jordan had 12 points and 17 rebounds.

George was 12 of 24 from the field but just 3 of 11 from three-point distance as the Thunder shot 24 percent from beyond the arc. Westbrook missed all eight of his attempts from long range. AP THE Timberwolves’ Karl-Anthony Towns (32) goes to the basket against the Heat’s Hassan Whiteside during the first half of their game on Sunday. AP

Sports BusinessMirror

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| Tuesday, January 1, 2019 mirror_sports@yahoo.com.ph Editor: Jun Lomibao

NBA RESULTS Orlando 109, Detroit 107 Minnesota 113, Miami 104 Toronto 95, Chicago 89 Dallas 105, Oklahoma City 103 Portland 129, Philadelphia 95 Sacramento 114, LA Lakers 121

No holiday for Pacquiao M

ANNY PACQUIAO isn’t a man of persistence for no reason as he revs up his training in Los Angeles even during the holidays.

The fighting senator lived up to expectations of grinding out even as everyone else celebrates when he punished three sparring mates a few days before New Year.

Pacquiao, an eight-division world champion, prepares for his January 19 defense of his World Boxing Association welterweight belt against American challenger Adrien Broner at the MGM Grand in Las Vegas.

The 40-year-old Filipino pride took one month of his training to General Santos CIty and Manila before flying to Hollywood for the final stretch of preparations at the famed Wild Card Gym and tagged along his former coach, Freddie Roach, who is now a consultant.

“Good to be back in Los Angeles,” Pacquiao said upon his anticipated return to the boxing gym where he built his name.

Over the weekend, the Filipino completed 10 rounds of combined sparring against Arnold Gonzales, Lydell Rhodes and George Kambosos Jr. Pacquiao impressed both Roach and now his lead coach and longtime friend Buboy Fernandez and left Gonzales with a bloodied nose after three rounds inside the ring.

It will be his first title defense after winning the belt over Argentine boxer Lucas Matthysse via a seventhround technical knockout last July in Kuala Lumpur.

That victory marked the first time Pacquiao finished a bout via the short route after stopping Miguel Cotto in 2009.

He will be up against Broner, who is 11 years younger. But the future Hall of Fame boxer has all the advantage in experience with a record of 60 wins, seven losses and two draws.

The American owns a 33-3-1 record.

Ramon Rafael Bonilla