Despite its core net income going down one percent to P28.6 billion this third quarter compared to the P28.8 billion for the same period last year, PLDT continues to be the country’s most valuable listed company. A major reason for the decline in profit would be the maintenance and repair expenses undertaken by the company, with almost half a billion spent in the installation of underground fiber optic cables in the Visayas, particularly the areas hardest hit by Typhoon Yolanda in November last year.
As PLDT president and CEO Poly Nazareno said, the company is firmly committed in the “Yolanda Project” to help the areas recover from the devastation by reconnecting them not only to the rest of the country, but also to the world. As a matter of fact, the telco has the most extensive fiber network in the Philippines with total fiber assets exceeding 90,000 kilometers.
Despite the stiff competition, there is no question the PLDT group is the bluest of the blue chips, so to speak, with a total cellular subscriber base exceeding 69 million, while broadband subscribers have already hit the one million mark. No wonder it continues to reap accolades and recognition, among them the Asian Icon in Corporate Governance at the recent Corporate Governance Asia awards held in Hong Kong.
No question Manny Pangilinan has a blue chip team running the companies under the MVP Group, starting with PLDT president and CEO Poly Nazareno (who was named by Finance Asia as the Best CEO-Philippines) and Smart Communications director and chief wireless adviser Doy Vea. Meralco – which earned the Best Investor Relations Company award – is led by its president Oscar Reyes (recognized as Asia’s Best CEO by CGA) with Al Panlilio as SVP.
Not to be outdone is Philex Mining (Asia’s Most Promising Company on Corporate Governance) with president and CEO Euls Austin and SVP Mike Toledo.
The MVP Hospital Group meantime is kept in good health with group president and CEO Augusto “Auggie” Palisoc, and Rose Montenegro taking care of Makati Med as its president and CEO.
Of course, the MVP media assets has the tandem of Rey Espinosa and Miguel Belmonte, respectively chairman and president of the Philippine Star – the number one newspaper in the country – while TV5 has Noel Lorenzana as president and CEO with Bong Sta. Maria as chief content quality officer.
UAE income gap balanced by perks
The United Arab Emirates has one of the highest per capita incomes in the world, yet income disparity is still very much pronounced – with the gap separating the wealthy and the average Emirati described by observers as wider than a gulf. However, one could hardly hear the citizens complaining because they enjoy a lot of benefits and perks that make their lives comfortable. For one, they don’t have to worry about paying income taxes.
Those familiar with the UAE say the welfare system established four decades ago by Sheik Zayed bin Sultan Al Nahyan of Abu Dhabi is a major reason why Emiratis have stayed loyal to their political leaders. After all, who would argue against free and high-quality health care, subsidized fuel expenses, generous government funded retirement plans, interest-free loans for housing, free college education (even in school abroad)? As a matter of fact, the UAE government even provides incentives amounting to $19,000 for the men when they marry Emirati ladies to help defray marriage expenses, while businessmen who find themselves in financial difficulties can avail of a one-time bailout via a debt settlement fund.
However, such generous benefits might be difficult to sustain, which is why the UAE government is making plans to level down the perks a little. For starters, the government is encouraging private businesses to provide more training and generate more jobs since some 90 percent of Emiratis who work are hired by the government. Apparently, even oil rich nations such as those in the UAE are faced with the prospect of dwindling employment going by a report by the International Monetary Fund that says an estimated one million out of the 1.6 million young people from Saudi Arabia, Bahrain, Qatar, Oman and the United Arab Emirates who will enter the work force by 2018 will most likely find themselves unemployed. A case of some good things that never last?
Yacht owners hoping Alphaland Marina project will continue
A number of Manila Yacht Club members are hoping that the Wenceslao Group will continue the Alphaland Marina project with the UK-based Ashmore Group because they have been looking forward to a world class marina that can be at par with the best in Asia. When the project was first broached in 2012, part of the plans would be to purchase a dozen yachts that would be made available through a time-sharing option to give young business executives the pleasure of “owning” yachts without having to worry about maintenance and crewing expenses.
Concerns about the project came out after the Wenceslao Group issued a statement saying the settlement deal between Alphaland and the Ashmore group faces serious legal impasse. According to the Wenceslao camp, they have the right of first refusal over the shares in the marina project that were transferred by Alphaland to the UK-based group. The Wenceslao Group accused Alphaland of “unilaterally” transferring its interest in a joint venture to build a marina project in Aseana City, saying they were not notified and have not given consent to the settlement deal.
Alphaland, however,. debunked the claims of the Wenceslao Group, pointing out that the settlement deal had been legally completed and in fact, was closed at the Philippine Stock Exchange last Oct. 17. Under that settlement agreement, the UK-based group assumed all obligations pertaining to the Wenceslao Group so therefore, the former would now be the one to deal with the latter, Alphaland added.
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Email: spybits08@yahoo.com.