Maniolas

MANILA, Philippines – Harbor Star Shipping Services, Inc. reported a 76 percent increase in its first semester net income toP90.828 million from the previous P51.513 million. The company also reported a 30-percent hike in service income to P555.7 million from P426.8 million due to a rise in service revenue. In the second quarter alone, service income went up 30 percent year-on-year to P285 million from P220 million, while net income surged 141 percent to P68.725 million from P28.547 million. Likewise contributing to the increase in net revenues is the company’s escort services and barge repair, which improved 521.1 percent with P23.6 million from P3.8 million. Furthermore, income from salvage and lighterage operations surged 89 percent and 23 percent, respectively. However, the increases were slightly offset by a three percent decline in harbor assistance revenue, which contracted to P406.8 million in the first half from P419.8 million last year. Adding more to the income growth, Harbor Star is also eyeing the expansion of its services to other Asian countries such as Malaysia, Vietnam, Papua New Guinea and Myanmar. It is setting a capital expenditure of P180 million for 2014. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 In July, the company used P74.607 million of proceeds from its initial public offering to acquire tugboats and barges for its domestic and international operations.

Could lady luck be turning her back to the powers-that-be at the Bases Conversion and Development Authority (BCDA)? Just recently, the Department of Environment and Natural Resources (DENR) reportedly stood by the Baguio City government in not finalizing BCDA’s application for a special patent covering the 14 barangays within the Camp John Hay (CJH) reservation.  DENR Cordillera OIC Paquito Moreno Jr. said the special patent being sought by BCDA could not be issued in view of Baguio City Resolution 362 (1994) which listed 19 conditions for the city government’s turnover of the erstwhile US military camp to BCDA.  Condition No. 14 of that resolution excluded from the CJH reservation 14 barangays, namely, Green Water, Country Club, Upper Dagsian, Lower Dagsian, Sta. Escolastica, Hillside, Happy Hollow, Loakan Apugan, Atok Trail, Loakan Proper, Camp 7, Loakan Liwanang, Lucnab and portions of Outlook Drive. SunStar Baguio reported that the DENR move has “strengthened the resolve” of the city government to appeal to the BCDA to comply with the 19 conditionalities, and has prompted Baguio City mayor Mauricio Domogan to order the city’s Legal Office to file a case for specific performance against the BCDA for breach of this resolution in applying for a special patent covering the 14 barangays. BCDA suffered another setback when the Baguio City government reportedly opposed BCDA’s application for a permit with the National Water Resources Board (NWRB) to tap Barangay Greenwater as a source of spring water for CJH. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 Read More …

MANILA, Philippines – Despite the turnaround of foreign direct investments to a net inflow in May, the research arm of Metropolitan Bank & Trust Co. said attracting more remains a growth constraint for the Philippines. “Robust foreign investment has been supporting the growth in other Asian economies – generating much-needed employment, raising incomes, increasing economic activity, and deepening technologies,” Pauline Revillas, research analyst at Metrobank, said in a report. “The support from FDIs should not be underscored as the robust economic expansion last year was underpinned by the solid performance of investment spending,” she said.  “The lack of infrastructure and the failure to attract FDIs have long been seen as a critical growth constraint to the domestic economy, but the government has been firm in its commitment to improve and develop the country’s infrastructure system,” Revillas further said. The country’s FDIs reached $473 million in May, a turnaround from a net outflow of $62 million in the same month last year. This brought the five-month net FDI inflow total to $2.923 billion, up 34 percent from $2.182 billion in the same period in 2013. The Bangko Sentral ng Pilipinas attributed the increase in FDI inflows to sustained confidence of foreign investors in the country’s sound macroeconomic fundamentals. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 “The sustained increase in FDIs would help ensure a sustainable and inclusive economic growth moving forward,” Revillas said. The Philippine economy grew by a lower-than-expected 5.7 percent in the first quarter of the year, Read More …

MANILA, Philippines – The Bureau of Internal Revenue (BIR) is not keen on initiating the filing of a bill that will set a floor price on cigarettes, saying this is more of a health measure than a revenue-generating measure, its top official said. “The minimum floor price on cigarettes is a health measure not a revenue measure, meaning any proposal like this should emanate from the health department, not from the BIR,” said BIR commissioner Kim Henares. While she suggested setting a minimum price for all cigarettes sold in the country, Henares said the BIR would not actively push for it, reiterating it was merely a proposal. “It was just a suggestion because health advocates were complaining about the proliferation of cheaper cigarette brands,” she said. The proposal, if implemented and enacted into law, is seen to support an ongoing campaign to improve the general health level of Filipinos and prevent tobacco manufacturers from selling at a loss. Henares said imposing a minimum retail price on cigarettes would level the playing field and curb tobacco consumption in the country. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 The Department of Finance had welcomed the proposal amid the widespread availability of discounted tobacco products in the market. Sales of cut-price cigarettes have soared in the past year despite the passage of the sin tax reform law, which aims to increase the number of smokers who quit. Setting a floor price makes it illegal to trade at a price which is Read More …

MANILA, Philippines – The group of taipan Lucio Tan expects to take back full control of flag carrier Philippine Airlines Inc. (PAL) as early as this month. After reclaiming management control of PAL, the taipan’s next move is reportedly to take in Abu Dhabi-based Etihad Airways as partner. A source said negotiations regarding the buyback of the 49 percent interest of diversified conglomerate San Miguel Corp. (SMC) is expected to be completed in the next few weeks, paving the way for the return of full ownership of PAL back to the Tan Group on Aug. 27. The source said talks between the Tan Group and SMC have narrowed down to the value of the buyout as well as the terms of payment. SMC president and chief operating officer Ramon S. Ang confirmed that the Tan Group had made a formal offer to buy back the conglomerate’s stake in PAL. However, he clarified that negotiations are still ongoing. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 “Yes, still in talks,” Ang said in a text message. Ang is president and COO of PAL while Tan serves as chairman of Asia’s first airline. Tan chairs the 11-man board of PAL while directors include Lucio Tan Jr., Harry Tan, Michael Tan, Inigo Zobel as well as Ang, Aurora Calderon, Roberto Ongpin, Ferdinand Constantino and independent directors Antonio Alindogan and Enrique Cheng. Estelito Mendoza serves as the airline’s corporate secretary. The Tan Group is reportedly raising close to $1 billion to buy back Read More …