Out for the holiday

JG Summit founder John Gokongwei Jr. now has four grandchildren. The youngest one, Hannah, was born last Tuesday to only son, Lance Gokongwei, and his wife, Jay Leong.

His favorite, hands down, is, of course, only grandson, Justin Pe.

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Institute of Corporate Directors president Jesus Estanislao and The Philippine-American Life and General Insurance Co. Jose Cuisia Jr. are on their yearly two-week retreat that ends the day before Christmas.

The retreat is taken by full members of the Opus Dei movement, whose founder was recently declared a saint by the Pope.

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Also out are Government Service Insurance System president Winston Garcia who left yesterday for the United States and won't be back until Jan. 6. Mr. Garcia left with his US-based family, who spent their vacation in the country.

Uh, Roberto de Ocampo is also out for the year. The Asian Institute of Management, which Bobby de Ocampo heads as president, is closed for the Christmas break. Mr. De Ocampo will, of course, be back in circulation next month (when he also turns a year older).

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Bank notes 1: Social Security System president Corazon de la Paz probably assumed that everybody understands what being in deficit is. It's not the same thing as going under and declaring bankruptcy.

Fact is, SSS has lots of money. It has enough money to service the needs of its 25 million members for the next 15 years.

What Ms. De la Paz is talking about is the "interest" on the 15-year principal that the pension fund has been using to meet its operational expenses. You see, the SSS has not been earning enough from its investments – in safe Treasury bills as well as in the riskier stock market – to lend out to its members.

A large part of the problem lies with the members themselves. They don't want to contribute more of their monthly paycheck to the SSS and many are delinquent or in default on their SSS loans.

Because that "interest", which is expected to hit P4 billion by the end of the year, is no longer enough, Ms. De la Paz and the rest of the SSS board have to decide on which is the lesser evil: Borrow or dip into its principal (which means the 15-year actuarial safety level is reduced).

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Bank notes 2: Export and Industry Bank chairman Sergio Ortiz-Luis can now look in the face Petro Corp. chairman Nicasio Alcantara and San Miguel Corp. chairman and chief executive officer Eduardo Cojuangco Jr. You see, the bank has already completed paid back or is paying the obligations of UrbanBank to the retirement funds of both Petron and SMC.

As everybody knows, ExportBank bought in a package deal Urban Bank Inc. and its real estate subsidiary, UrbanBank Realty.

ExportBank transferred UrbanBank Realty's stake in Trafalgar Place (along De la Costa St. in Salcedo Village) to Petron. The bank has also been ahead of schedule in paying its three-year installment payments to SMC.

Remember that condominium building in Fort Bonifacio Global City that UrbanRealty developed in joint venture with RFM subsidiary, Philtown? Well, One McKinley Place will be completed by June 15, 2003.