BusinessMirror January 2, 2015

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FAR left photo shows supporters of Greece’s extreme right party Golden Dawn holding torches during a rally to commemorate a 1996 incident that cost the lives of three Greek navy officers and brought Greece and Turkey to the brink of war in central Athens on Saturday. The extreme right, anti-immigrant Golden Dawn party, which has Nazi roots, received the third-place in Sunday’s election. Left photo shows people gathering in the main square of Madrid during Spain’s radical leftist party Podemos’s (We Can) march on Saturday, which hopes to emulate the electoral success of Greece’s Syriza party in elections later this year. AP

Why Greece went left while Europe turns to right Perspective»E4

three-time rotary club of manila journalism awardee 2006, 2010, 2012

U.N. Media Award 2008

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TfridayNovember 18,2,2014 Monday, February 2015Vol. Vol.1010No. No.40116

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P25.00 nationwide | 7 sections 36 pages | 7 days a week

PSA DATA SHOW INFLATION FOR BOTTOM 30% OF POPULATION AT 6% IN 2014, FASTER THAN OVERALL AVERAGE OF 4.1%

Poorest Pinoys still pay more for less T

By Cai U. Ordinario

he irony continues—the poorest Filipinos had to pay more for less. Data released by the Philippine Statistics Authority (PSA) showed that the poorest 30 percent of the Philippine population saw the prices of the goods they buy rising at an average rate of 6 percent in 2014, way faster than the 4.1-percent inflation posted last year.

According to the PSA data, the inflation experienced by the bottom 30 percent of the population in 2014 was the highest since 2008, when the average rate in the price adjustments was at 13.9 percent. The inflation rate for the bottom 30-percent income households in 2013 was at 3.7 percent. The lowest inflation rate for this household

group since 2008 was recorded in 2012, at 2.9 percent. The poor spend more than 50 percent of their income for food products, which are among the items that saw the fastest rates of price hikes in the basket of goods gauged in the Consumer Price Index. In the fourth quarter of 2014, the impact of the decline in global Continued on A2

CHINA’S FACTORY GAUGE SINKS TO TWO-YEAR LOW

A

Chinese manufacturing gauge sank to a more than two-year low in January, adding pressure on the government to stimulate an economy that last year expanded at the slowest pace since 1990. The government’s Purchasing Managers’ Index (PMI) fell to 49.8 in January from 50.1 in December, according to data released on Sunday by the statistics bureau and the China Federation of Logistics and Purchasing (CFLP) in Beijing. That missed the median estimate of 50.2 in a Bloomberg News survey of analysts, and is below the 50 level that separates expansion and contraction. China’s fiscal revenue increased the least since 1991 last year due to a property slump and declining factory profits, curbing scope to boost growth with government spending. That may

leave the onus on the central bank to spur the economy. “China’s economic downturn will continue in the first quarter, and manufacturing activities will stay in a contraction,” Hua Changchun, a China economist at Nomura Holdings Inc. in Hong Kong, said before Sunday’s data release. The nonmanufacturing PMI fell to 53.7 in January from the previous month’s 54.1, according to a separate report on Sunday from the NBS and the CFLP. Services made up 48.2 percent of the economy in 2014, up 1.3 percentage points from a year earlier. The government’s manufacturing index was based on a survey of purchasing executives at 3,000 companies. The Chinese economy grew 7.4 percent last year and 7.3 percent last quarter, according to an NBS release last month. AP

PESO exchange rates n US 44.1320

RUN FOR HEROES Saluting as they pass by police officers holding photographs of the 44 police officers killed in Mamasapano, Maguindanao, an estimated 15,000 runners joined the midnight Condura Skyway Marathon 2015, which started at the Skyway Alabang Tunnel on Alabang-Zapote Road and ended at Spectrum Midway Extension, Filinvest City, Alabang. The marathon’s main beneficiary is the Help Educate and Rear Orphans Foundation, which, since 1988, has been sending children of fallen soldiers to school. NORIEL DE GUZMAN

Villar spending ₧6B for new retail-format All Home VILLAR: “The performance of our initial stores is very encouraging; so we decided to go full blast on our expansion for this year and the next.”

By VG Cabuag

A

ll Value Holdings Corp. of the Villar Group said it will spend some P5.5 billion to P6 billion in putting up its All Home stores—a new retail format that serves the needs of contractors and homeowners—around the country. Manuel Villar, chairman of All Value and publicly listed Vista Land

& Lifescapes Inc., said over the week-end the company targets to open six stores this year and and another six in 2016, as it expands its portfolio. “The performance of our initial stores is very encouraging; so we decided to go full blast on our expansion for this year and the next,” Villar told reporters during the opening of the seventh branch of All Home in Molino, Cavite.

The average cost of each store is between P400 million and P500 million, including the inventory cost of about P200 million, depending on the size of the store. All Home will have an average floor size of 7,000 square meters to 10,000 sq m, the biggest of which is in Molino. The stores can be expanded to up to 12,000 sq m, he said. See “Villar,” A2

n japan 0.3729 n UK 66.4849 n HK 5.6930 n CHINA 7.0646 n singapore 32.6058 n australia 35.2127 n EU 49.9574 n SAUDI arabia 11.7419 Source: BSP (30 January 2015)


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