Two giants join forces

Globe Telecom inaugurated its new corporate headquarters at the Fort Bonifacio Global City the other night, with Globe chairman Jaime Zobel and Globe president and CEO Ernest Cu welcoming ABS-CBN chairman Gabby Lopez as special guest/partner.

The broadcasting company and the telco service provider recently joined forces for a network sharing agreement that would allow ABS-CBN to deliver exclusive content such as news, movies and videos to mobile phones and gadgets – ushering in a new milestone in convergence. Subscribers can buy an ABS-CBN SIM (subscriber identification module) card that would enable them to watch TV shows and other content and at the same time, allow them to send or receive messages, take or make calls via the Globe network – virtually turning ABS-CBN into the third player in the telecommunications industry. As explained by Gabby, his company will be like a “block timer” that rents airtime or network capacity from Globe.

Sources call it a win-win situation since Globe and ABS-CBN can share assets and other existing resources that would pave the way for wider coverage nationwide – without going through the expense of building new infrastructure. Besides, the Ayala telco can utilize the frequency of Lopez-owned Bayantel (considering that Globe already assumed over 96 percent of Bayantel’s debts via a tender offer last year) to solve its own frequency issues.  Globe also entered into a partnership with Cyprus-based messaging app company Viber recently, allowing prepaid subscribers to enjoy unlimited text and calls as well as free unlimited chatting through Viber even without Wi-Fi.

Situated in a 3,000-plus square meter property, the Globe Tower has nine parking levels, a corporate showroom and two floors designated as conference rooms, with the building’s design incorporating “green” concepts to make it more energy and water efficient. Globe executives described the new office of Jaime Zobel (in photo with Gabby Lopez) as “the most high tech” in the whole 18-story building which will house the 4,000 employees of the telecoms company. 

‘Pre-need’ taxes

Despite the warnings issued by the Security and Exchange Commission, many Filipinos continue to fall prey to pyramid schemes, online scams and fraudulent pre-need companies. It’s been more than a decade since the public was jolted by the pre-need industry crisis which saw many companies going into bankruptcy and rehabilitation because of bad investments, with company owners including their children squandering the money of hapless plan holders, putting up golf courses and resorts – buying yachts, mansions and super high-end cars.

How can these people sleep at night knowing they built their personal fiefdoms on the sweat and blood of farmers, fishermen, messengers, janitors, teachers and parents whose dreams of sending their children to college have been ruined? What’s even more sad about it is that our existing laws seem to be letting these “estafadores” get away with just a slap on the wrist, since the Insurance Commission is allowing the companies to pay a miniscule portion of the plan holders’ total investment as part of the rehabilitation process.

A frustrated plan holder asked, “What kind of justice is that?” Perhaps the BIR should expend its energy on going after these fraudulent people with assets like large properties and make them cough up the millions that they made from those who were unfortunate enough to put their trust in bogus promises.

Philex buoyant despite lower revenues

Financial services conglomerate Maybank ATR-Kim Eng is maintaining its “buy” recommendation for Philex Mining Corp. despite the latter’s second quarter net income of P551 million or 28 percent lower year-on-year. The investment management company particularly cited the developments in Philex’s Padcal Mines in Benguet as part of the reason for its upbeat projection, with target prices bumped up.

New tests conducted by the joint tripartite monitoring team in 10 water sampling stations in the mining firm’s tailings storage facility 3 indeed affirm that the quality of water near Padcal, including a creek and a river in Itogon in Benguet downstream to Pangasinan, all pass government regulatory limits and have remained below effluent standards. Fish samples are also within the criteria imposed by foreign environmental commissions – all of which buttress the assurances made by Philex that the tailings pond leak in August last year did not discharge toxic chemicals into Balog Creek, Agno River and the San Roque Dam.

As a matter of fact, Philex released tilapia fingerlings in Balog Creek to showcase that the water is now ready to sustain marine life, with the rehabilitation efforts currently ongoing and 98 percent of the silt already cleaned off. After successfully plugging up the leak and paying the P1 billion penalty imposed by the Environmental Management Bureau (which should have been used for the remediation and rehab efforts), Philex is constructing a P237-million spillway project expected to become operational soon.

Spy tidbit

Foreign investors expressed apprehension over the proposed wage hike increase in Metro Manila, saying the move could trigger lay-offs from small and medium scale enterprises and worse, derail the country’s economic momentum considering the renewed interest in the Philippines as an investment destination. Compared to its ASEAN neighbors, the Philippines has the highest daily minimum wage rate at $10.74 compared to Thailand and Malaysia at $9.75, followed by Indonesia with $7.46 according to data from the National Wages and Productivity Commission. In contrast, the daily minimum wage rate in Myanmar is $0.52 while Cambodia is  $2.03 and Vietnam, $3.15.

Foreign businessmen might just decide to invest in those countries that offer lower wages, a businessman warned, citing that the Philippines could also lose out to China where the workers get a little over $8.

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