BusinessMirror April 27, 2015 by BusinessMirror

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A broader look at today’s business TfridayNovember 18,2015 2014Vol. Vol.1010No. No.200 40 Monday, April 27,

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SM, Ayala near common-hub deal

JAPAN’S VIEW OF WWII HISTORY RANKLES VETERANS Perspective

BusinessMirror

Japan’s views of WWII history rankles some US veterans B M P | The Associated Press

ASHINGTON—Lester Tenney endured three hellish years as a Japanese prisoner during World War II, but with the passing of decades and repeated visits, he’s made peace with his former enemy. Yet as Japan’s Prime Minister Shinzo Abe prepares to address Congress next week, in the 70th anniversary of the war’s end, something rankles the US military veteran about Japan’s attitude toward its past.

LESTER TENNEY poses next to a memorabilia display in his home in Carlsbad, California. Besides a variety of war medals and letters, there is the cover of his book, My Hitch In Hell, which documented the years he was held in a Japanese prisoner of war camp. AP/LENNY IGNELZI

Phoenix, Arizona, said he has forgiven the people of Japan, but not the government. He doesn’t dwell on the past but said, “The truth needs to be told...it needs to be told as it happened.”

THIS photo provided by Judy Gilbert shows Darrell Stark. Stark, 93, was a new recruit with the 31st Infantry Regiment, US Army, when he was captured and eventually shipped to Yokkaichi, the city in Japan where he was forced to shovel coal at a copper mill. JUDY GILBERT VIA AP

“They don’t want the young people to know what really happened,” complains Tenney, now 94. The Associated Press spoke to three US war veterans about their surrender in the Philippines in 1942 and their exploitation as slave laborers in Japan. It’s an episode of history most notorious for the Bataan Death March, when tens of thousands of Filipino and American prisoners of war were forced 65 miles on foot to prison camps. Thousands are believed to have perished. The AP also asked the veterans for opinions about Japan today. The US-allied nation issued a formal apology to American POWs in 2009 and again in 2010, and has paid for some veterans to travel to Japan, leaving them with a more positive view of the Japanese people. All three veterans, however, remain adamant that their wartime experiences, and those of the POWs who didn’t make it, should not be forgotten.

ENNEY, with the 192nd Tank Battalion, US Army, said he was made to march for eight days after his capture. “You had to stand on your own two feet and you had to keep moving. If you fell down, you died. If you had to go to the bathroom, you

died. If you had a malaria attack, you died. The Japanese would just kill you, period. You had to stay on your feet.... If you looked at a Japanese soldier in the wrong way, he would beat the hell out of you.” After a 28-day journey by ship to Japan, Tenney worked at a coal mine near the town of Omuta run by the Mitsui Mining Co., shoveling coal 12 hours a day for three years. He said British, Australian and Indonesian prisoners also worked there and they had no protective gear, and they’d self-inflict injuries to get days off. His weight dropped from 189 pounds to 97 pounds. He said Mitsui has never responded to his letters calling for an apology. (Mitsui & Co., which was disbanded after the war and then reestablished as a major industrial group, denies having any legal or historical responsibility for Mitsui Mining Co.’s treatment of forced laborers before or during the war. It says therefore it cannot comment on complaints or requests for apologies.) “If Mr. Abe comes here I would like him to say, ‘I bring with me an apology from the industrial giants that enslaved American POWs.’ He could say that very easily.... I’m afraid that when Mr. Abe leaves here, all of it’s going to be forgot-

RETIRED Chief Master Sgt. Harold Bergbower, 94, who was in the US Army Air Corps and then the Air Force, pauses in front of his military medals earned, but talks about spending almost four years in various Japanese prisoner of war camps and that he still has nightmares about his treatment almost 70 years after World War II. AP/ROSS D. FRANKLIN

ten. They’re going to forget about apologies to the POWs, they’re going to forget they did anything wrong. It’s going to like whitewashing the whole thing.” “You can’t have a high-ranking country today if you’re not willing to face your past. They have to admit their failures. If they admit their failures, then by golly they deserve to have the best.” After the war, Tenney became a professor of economics at Arizona State University and today lives in Carlsbad, California. He has returned to Japan five times and was instrumental in starting Japanese government-supported “friendship” visits by POWs. “The Japanese people were wonderful. They were very kind, they were very hospitable, no question about it. They treated us beautifully.... And there’s no reason why

they shouldn’t. We didn’t do anything wrong [in the war].”

Bergbower spent two years in brutal labor, scooping ore into open furnaces at a steel mill in the city of Toyama. He was very bitter about his experience as a POW, and for more than 50 years he never talked about it, even to his wife and family. “When I got back to the States after the war, I was told to go home and forget about it and that’s exactly what I did. I didn’t talk to anybody.” His view of Japan changed when he went on a friendship visit in 2011 and returned to the factory where he’d been enslaved. Staff there apologized “from the heart” for what the POWs had been through. “I came away with a much different impression of Japan. We couldn’t have been treated any better.” Bergbower, who lives near

AROLD BERGBOWER, 94, was a private with the 28th Bomb Squadron, US Air Force, when he was captured on the southern Philippine island of Mindanao and sent eventually to Davao penal colony. “We could not have been treated any worse in prison camp,” he said. “It was inhuman.” Intensely sick during the voyage, he can’t recall the journey to Japan, in the broiling, closed holds of “hell ships” that carried POWs and Asian laborers. They were starved of food, deprived of water. Only decades after did he learn that the first ship he was on was hit in a US bombing attack and forced to dock for repairs. Thousands died on such voyages.

ARRELL STARK, 93, was a new recruit of the 31st Infantry Regiment, US Army, when he was captured and eventually shipped to Yokkaichi, the city in Japan where he was forced to shovel coal at a copper mill. Five years after the war, Stark received a letter from a Japanese man who showed him kindness and gave him food at the mill. Stark always regretted that he never replied. Stark suffered post-traumatic stress disorder, but he recovered and enjoyed a long career as a corrections officer in Connecticut. He went to Japan on a friendship visit last October, and the current deputy director of the mill clasped his hand and apologized. Stark has also exchanged letters with the son of the man, now deceased, who’d showed him kindness 70 years ago. “I found the people [in Japan] to be very friendly, the country very clean and the people that I talked to were very nice. It is amazing what the two countries have done together to accomplish what we have over all these years. It’s also amazing that with all this we have accomplished, they are not completely coming out with the truth.” “It really upsets me there are certain individuals who have completely ignored history and rewritten it to make it look like Japan was attacked, and that there was no Bataan Death March and no cruelty at all on their part. That’s not all the people. But there are some. “I think when [Abe] comes, and if he really wants to do something great for his nation and maybe for the world, he should make an apology and be grateful, in a way of appreciation, for things the two countries have done together. That would just about wind it up right there, because we need to be allies.” “Another reason I would love to see Japan and the United States and all countries get along with each other is that if we ever have a total conflict, the whole world is going to be destroyed. No question about it.”

PERSPECTIVE

When You h have ave to Coa CoaC Ch C h Remotel RemotelY Y By Mark Mortensen

t its core, coaching is a simple idea: Help your direct reports improve both what they do and who they are. But it’s not a simple process. Good coaches create a safe space to have an open discussion, ask the right questions (and genuinely listen to the answers) and constructively challenge the employee. This is hard enough to do when you’re sitting face to face. What happens when some of your direct reports are hundreds or even thousands of miles away? It’s challenging, largely because you don’t have a shared context with them. On any given day in the office, employees pick up countless pieces of information about their colleagues. Such information becomes part of a mental database we use to interpret situations, decode interactions and understand motivations. This database is critically important in coaching. When you coach, you’re helping people understand the consequences of their actions and recognize any disconnect between what they wanted to accomplish and what actually happened. That is harder to do from a distance. Also, not sharing context reduces trust— a cornerstone of effective coaching. The people you’re coaching need to trust you enough to share their successes and failures, expose their vulnerabilities and ask for help. Even with only intermittent visits or phone calls or video conferences, a manager still can coach:

Get the problem out in the open. Have an honest discussion about the challenges of establishing and

By Tami Erwin

maintaining an effective coaching relationship at a distance. Thus you build rapport and trust by creating the shared experience of working together to overcome the distance factor. Formalize the inFormal. Plan ahead and set a fixed schedule for how often you will interact. Research shows that a predictable rhythm is a key driver of trust at a distance. Spend part of your time together establishing a shared context with the people you’re coaching. Ask not only what they do in the office but also where they choose to spend the rest of their time. Thus you gain a deeper perspective on their personal and professional life.

Mark Mortensen is an associate professor of organizational behavior at INSEAD.

Business-to-business salespeople can survive if they reimagine their roles

c u stomers. We knew that these tools wouldn’t work if they didn’t fit our customer service team’s needs. So we recruited more than 90 callcenter supervisors and customer representatives to help our tech team shape Mobile Coach and Rep Guidance. In the past, when we’ve implemented new technologies, we’ve had to focus our efforts on communicating their value to team members. Inviting feedback is good, but having the end-users actually help build a tool takes engagement to another level. Now our reps contribute to improving these tools all the time. And they’re learning how to identify customer signals faster and more accurately. During a pilot phase of Mobile Coach, we saw a 10-percent in crease in close rate and in firstcall resolutions. Coaching sessions have nearly tripled from 1.5 con versations per rep per month to four. When we surveyed 2,700 call center employees, 88 percent felt the technology was headed in the right direc tion. Using the technology to generate insights and enabling our frontline people to act on them makes the difference. And that isn’t possible without frontline feedback.

By James A. Narus

‘D

EATH of a B2B Salesman,” a new report from forrester Research, lends urgency to the need for companies to incorporate digital media into their sales models. By a factor of 3 to 1,

forrester predicts that “1 million US B2B salespeople will lose their jobs to self-service e-commerce by 2020.? But B2B salespeople aren’t destined to become dinosaurs. Their role just needs to adjust to the new reality: Redesign your sales funnel.

digital marketing tools and specify where the field salesperson should be involved, if at all. Previously, salespeople focused on finding sales leads and converting them into prospects. Today, they may have to redirect their efforts to closing hot prospects, providing follow-up

Reimagine, retrain and redeploy your sales force.As forrester points out, ordering can be more efficiently conducted via digital devices; thus, salespeople no longer need to perform this task. Instead, today’s field salesperson should be an educator, negotiator, consultant, service pro-

MONDAY MORNING

Sports

BusinessMirror

| Monday, april 27, 2015 mirror_sports@yahoo.com.ph sports@businessmirror.com.ph Editor: Jun Lomibao

HE mad rush to acquire tickets to watch Floyd Mayweather Jr. and Manny Pacquiao fight on May 2 is creating a frenzied marketplace. At StubHub, a secondary ticket seller, a seat on the MGM Grand floor was listed at $128,706 on Friday morning and the cheapest upperdeck seat was priced at $5,826. Part of the craze is being fueled by the maddening delay in making tickets available. Pacquiao representatives said that Mayweather’s manager, Al Haymon, attempted to alter an agreement in the original fight contract that would have shorted Pacquiao and promoter Top Rank Inc.’s agreed-upon ticket allocation by 2,000 tickets. Settling the disagreement took until Wednesday, and MGM put 500 tickets on sale to the public on Thursday. The arena’s capacity is around 16,800. When tickets finally went on sale and someone congratulated Top Rank Chairman Bob Arum, he said, “Why congratulations? It’s a...disgrace.” The remaining tickets were divided, with MGM getting 40 percent and Mayweather Promotions and Top Rank splitting the remainder evenly. The face-value prices ranged from $1,500 in the upper deck to $10,000 on the floor. The long-anticipated showdown between the unbeaten Mayweather and the record eight-division champion Pacquiao is also expected to shatter pay-per-view records. Cameron Papp, a spokesman for StubHub, said he believes most of the 245 ticket listings his company currently has for the bout were “put there by the MGM or the fighters.” Other secondary ticket agents have reported record-high prices for a single ticket. At StubHub, Papp said one seat has sold for $15,000, short of the company’s record $30,000 price for the National Collegiate Athletic Association men’s basketball championship game earlier this month. That price, however, was for a suite that included 20 seats and food and drink. “There’s no question the prices are reflecting the low inventory and high demand,” Papp said. “It’s interesting and unique to have tickets for such a major event go on sale just nine days before.” Papp said in tracking sales for Mayweather’s record pay-per-view fight in 2013 against Saul “Canelo” Alvarez, StubHub found most buyers came from California, Texas and New York. “I’ve seen where some canceled their hotels and flights because of the delay, so we may see more buyers from Nevada on this one,” Papp said. “It’s a tough ask to get all this done nine days before the event. “But the people buying these tickets are obviously well off— actors, high-end business people. They’re going quick.” StubHub has taken extensive security precautions, requiring sellers to leave their tickets after having them screened at StubHub ticket centers. Buyers must come to StubHub’s Las Vegas center to pick up their tickets. Lance Pugmire/

‘WHO DO YOU LIKE?’ THE Manny Pacquiao-Floyd Mayweather has fight fans buzzing. AP

It’s understood the world over that the choice is between undefeated welterweight and pound-for-pound champion Floyd Mayweather Jr. and Philippines congressman and national hero Manny Pacquiao. It doesn’t matter that the fight should have been made five years earlier when both were in their prime because it’s on now Saturday night at the MGM Grand, and that’s all that matters.

Los Angeles Times

By Greg Logan

Newsday

OR the next six days, the question that will be repeated again and again is: “Who do you like?” It’s understood the world over that the choice is between undefeated welterweight and pound-for-pound champion Floyd Mayweather Jr. and Philippines congressman and national hero Manny Pacquiao. It doesn’t matter that the fight should have been made five years earlier when both were in their prime because it’s on now Saturday night at the MGM Grand, and that’s all that matters. Even as many boxing luminaries convened in New York for last night’s heavyweight title fight between champion Wladimir Klitschko and challenger Bryant Jennings at Madison Square Garden, the buzz was building for Mayweather-Pacquiao. In fact, all-time great light heavyweight champion Bernard Hopkins, who just signed as a boxing commentator for ESPN, was literally buzzing during the week when he described the difficulty Mayweather will encounter with Pacquiao’s southpaw style. Like most of the cognoscenti, Hopkins is picking Mayweather based on his 47-0 record (26 KOs) and his defensive style and technical brilliance. But Hopkins cautioned that Mayweather won’t be able to counterpunch Pacquiao (57-5-2, 38 KOs) the way he dissects most foes. Comparing Pacquiao’s frenetic style to the tepid opposition Mayweather often has faced, Hopkins said, “Were they on him like a bunch of wild bees after you disturbed the bee nest, and the next thing you know, you’re swatting them

COMFORTABLE AND FAMILIAR N EW YORK—The champ returned to the Garden, and it sounded and felt like Kiev. Ukraine’s Wladimir Klitschko easily outpointed a game-but-outclassed Bryant Jennings in the champion’s first fight in the United States in seven years, defending his heavyweight titles with a unanimous decision on Saturday night. Klitschko’s last US fight was right here on February 23, 2008, when he easily won over Sultan Ibragimov. This was his fourth Garden bout, and it seemed both comfortable and familiar. “It is great to come back to Madison Square Garden, to be home here and fight here,” Klitschko said. “I look forward to coming back to fighting here, a great crowd and a great atmosphere.” Although not at his dominant best, Klitschko was in control from the outset in his 18th straight successful defense. His jab and straight right hands

win solution for SM and Ayala on the common-station disagreement. Still, it appears that the fate of the multibillion-peso common station is still hanging, based on Abaya’s statements pertaining to the actual plan of the government in pursuing this venture. The transport chief admitted that he is unaware if SM Prime Holdings C  A

TREMORS HAMPER NEPAL SEARCH FOR SURVIVORS

Find a soundinG board. If possible, seek out someone in your reports’ location who can serve as a sounding board—someone you trust to help you assess whether your recommendations make sense locally. Distance takes away much of the information we need to understand our distant reports. Putting in place a few simple structures and processes can help bring you closer.

‘WHO DO YOU LIKE?’ Delay, scarcity fuel ticket prices

HE compromise agreement for the construction of a common hub—or two—for the three overhead-railway systems in Metro Manila is nearing fruition, Transportation Secretary Joseph Emilio A. Abaya said over the weekend.

employees Will use t they helped build tools O build new technologies that your frontline employees will use and trust—tools that will improve the customer experience—you need to ask for employee feedback at every stage. At Verizon we recently developed two new technologies for our call centers. The first, Mobile Coach, is an app that compiles service representative performance metrics in real time so call center supervisors can engage with their teams more quickly. In the past, supervisors would often spend much of the workday at their desk computers listening to recorded calls to assess their reps’ customer interactions—hours, if not days, after the calls. The tablet-based Mobile Coach enables supervisors to freely move about their team all day, accessing all their management tools via the screen in their hands. They can see how their team members are performing while simultaneously coaching them. The second technology is Rep Guidance, a desktop solution that helps improve conversations with customers. By identifying who’s on the other end of the line or computer screen, Rep Guidance helps our team members

B L S. M

“It seems that we are nearing the signing stage on that second common station,” he said, pertaining to the proposal of building another station near SM North Edsa, a property owned by shopping-mall magnate Henry Sy Sr., to end the conflict with Ayala Corp. The Department of Transportation and Communications (DOTC) has taken the initiative to find a win-

WHEN YOU HAVE TO COACH REMOTELY A

P.  |     | 7 DAYS A WEEK

ABAYA SAYS COMPROMISE AGREEMENT BEING BROKERED BY DOTC FOR LRT-MRT ALIGNMENT NEARING SIGNING STAGE

INSIDE

E4 Monday, April 27, 2015

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kept Jennings from getting inside, and the unbeaten American had little chance of winning from distance. The overwhelmingly pro-Klitschko crowd of 17,056 roared loudly with every thundering punch by the champ. They chanted Ukrainian slogans when he entered the arena and when the decision was announced: 116-111 on two cards, 118-109 on another. The AP had it 118-109. Yet, with Jennings still standing in the middle rounds and beginning to land some punches, the Americans in the crowd began shouting “U-S-A! U-S-A!” But the Philadelphian never really had a chance and was outpunched 545-376, with 144 landing for Klitschko, 110 for the challenger. “Jennings would have beaten a lot of heavyweights in the division,” Klitschko said. “He’s a tough competitor.” Klitschko is 64-3 and has held a heavyweight belt

and they’re biting on your head? This is how Pacquiao fights. Pacquiao is not one punch, then delay, then a punch. “Mayweather is great, but as all counterpunchers will tell you, if [you’re facing] a rapid-throwing fighter, you don’t have pockets to throw that counter in because punches are coming more than one at a time. They’re not accustomed to trying to counter a person who is throwing five, six, seven, eight, nine. If you read what Freddie Roach said, they want to swarm him like bees.” Pacquiao’s trainer, Freddie Roach, naturally has been vocal about predicting victory, but even he says Pacquiao must fight a perfect fight. Fellow trainer Abel Sanchez, who handles middleweight champion Gennady Golovkin, among others, doesn’t believe Pacquiao can sustain his punching pace against Mayweather. “I see Floyd winning,” Sanchez said. “I think the first three or four rounds may be difficult. Floyd has to adjust to Manny’s speed, but Manny is a pattern fighter. The reason for that is because of the work in the gym with Freddie. Everything is a pattern. I think Floyd is smart enough to eventually figure that out. “I’m not going to say he’s going to knock Manny out, but I think he will handle him like he did Canelo Alvarez.... Manny makes a lot of mistakes. Manny likes to jump in, and once a fighter does that to Floyd, it’s an easy fight for him.” Tom Loeffler, who is Golovkin’s

for nearly a decade. Jennings is 19-1. Klitschko has won 21 straight bouts, and tied Joe Louis with 27 total heavyweight championship fights. He is 25-2 in those, while Louis was 26-1. The low point for the 39-year-old Klitschko came in the 10th round, when he was penalized a point for holding. Jennings complained before the fight about that tactic, and referee Mike Griffin paid attention. “Every time I started working, he held me,” Jennings said. “When he was holding I was hitting him to the body. I must have hit him with about 100 body shots, not that much to the head, though. “I felt the margin should have been much closer.” It wasn’t in large part because Klitschko started well, keeping Jennings so off-balance that the challenger often lost any technique and threw some wild prayers. None of those came close to being answered.

promoter, disagrees with Sanchez about the potential for a Pacquiao upset. He noted Marcos Maidana succeeded in landing enough punches last May to lose a majority decision that earned him a September rematch he lost unanimously. “Pacquiao is a pressure fighter,”Loeffler said. “He throws a lot of hard punches. A lot of people discount Manny’s chances, but I think he actually has a good chance. Maidana was able to hit Floyd. If Manny hits him with those same punches, he might hurt him.” While most study styles to determine a winner, promoter Gary Shaw, who handled Jennings on Saturday night at the Garden, suggested the outcome might depend on whether Pacquiao can revive the knockout punch that has deserted him in his last nine fights since he stopped Miguel Cotto in November 2009. “It depends on which Pacquiao comes into the ring,” Shaw said. “If it’s the real religious Pacquiao that comes in and doesn’t have the killer instinct he had years ago, I don’t think he has a chance. If he takes Mayweather into a street fight.....“ Shaw recalled how Evander Holyfield told him before fighting Mike Tyson that he planned to bully the bully, counter one punch with two back. But saying that and doing that against Mayweather

Klitschko won all but the ninth and 10th rounds on judge Max DeLuca’s card—and the 10th was when he had the point deducted. Robin Taylor gave Jennings the third, sixth and seventh. Steve Weisfeld saw the third, sixth and ninth in Jennings’s favor. The champion’s main weapons were his jab and straight right. Indeed, he landed more than 80 jabs and rocked Jennings with a terrific right-left combination in the fourth. Undeterred, Jennings defiantly shouted at Klitschko in the fifth, as if challenging Klitschko to hit harder and more often. AP

is two different things. Klitschko won a gold medal in the 1996 Atlanta Olympics, where Mayweather suffered his last loss in the semifinals to Bulgarian Serafim Todorov by a controversial 10-9 decision that left him with a bronze medal. “You have to give credit to him to be undefeated since 1996 in the Olympics,” Klitschko said. “Maybe his fights are not as impressive as Pacquiao’s, but they’re effective. From a boxing standpoint, he has the physical advantage and slight technical advantage as well.” Greenlawn’s Chris Algieri, who was knocked down six times while losing a unanimous decision to Pacquiao last November, came away impressed. “He was not reckless,” Algieri said. “He was very smart in his attack. What I realize is that his style is so much his own and so rehearsed and so experienced. There’s no change. He is Manny Pacquiao.” That might be what makes Saturday’s fight so intriguing. No matter who they are picking, most in boxing at least agree no one has a better chance of becoming the first to beat Mayweather than Pacquiao does.

WLADIMIR KLITSCHKO easily outpoints a game-but-outclassed Bryant Jennings in the champion’s first fight in the United States in seven years. AP

SPORTS

FRESH 6.7-magnitude aftershock in Nepal on Sunday hampered efforts to find survivors of a more powerful earthquake the day before that killed more than 1,800 people. The tremors prompted authorities to temporarily halt flights into Kathmandu, the capital, where thousands of people are camping outdoors. The 7.8-magnitude temblor that struck shortly before noon on Saturday triggered avalanches on Mount Everest, killing 18 foreign climbers including a Google Inc. product manager. “Rescue teams are looking for those buried—the priority is look ing for sur v ivors,” Tirtha Raj Wagle, an official at Nepal’s embassy in New Delhi, said on Sunday. The International Mon-

PESO EXCHANGE RATES ■ US 44.2680

etary Fund (IMF), humanitarian groups and governments from China to India to Israel rushed to provide assistance to Nepal, one of Asia’s poorest countries. While the temblor also downed buildings and took lives in neighboring India and China, Nepal suffered most of the damage. The US Geological Survey initially estimated economic losses to Nepal from the quake at 9 percent to 50 percent of gross domestic product (GDP), with a best guess of 35 percent. Tourism is a key economic driver for Nepal, which has a GDP that is smaller than any of the 50 US states. Its 28 million people have the lowest spending power of any Asian country apart from Afghanistan, IMF statistics show. C  A

FOREIGN MINISTERS SUMMIT Foreign Secretary Albert F. del Rosario (right) chats with Vietnamese Foreign Minister Pham Binh Minh, as they arrive for the 26th Asean Summit Foreign Ministers’ Meeting at the Kuala Lumpur Convention Center in Kuala Lumpur, Malaysia, on Sunday. AP/JOSHUA PAUL

Banks continue to tighten real-estate loan standards B B C

ANK lending to the real-estate sector grew even more stringent in the first quarter, according to the Bangko Sentral ng Pilipinas (BSP). In a recent report, the central bank said local lenders reported a net tightening of their overall credit standard for commercial real-estate loans in the Januaryto-March period. This was the 11th consecutive quarter that the banks reported a net tightening of standards in real-

estate loans under the diffusion index (DI) approach. This pertains to the statistical method, where the number of banks indicating tighter credit standards was subtracted from the number of banks that indicated otherwise. “The net tightening of overall credit standards for commercial real-estate loans was attributed by respondent-banks to perceived stricter oversight of banks’ realestate exposure, along with banks’ reduced tolerance for risk, among others,” the central bank said.

The BSP previously implemented several measures monitoring the banks’ exposure to the sector, as part of the effort to maintain financial stability and avoid socalled asset bubbles. The BSP earlier expanded the reportage on real-estate exposure. It also conducted a so-called stress test on the various banks to discover which of these lenders would or would not survive under simulated conditions of financial adversity. A maiden report is expected to be released later this year. S “B,” A

■ JAPAN 0.3705 ■ UK 66.6942 ■ HK 5.7124 ■ CHINA 7.1423 ■ SINGAPORE 33.0014 ■ AUSTRALIA 34.4498 ■ EU 47.9600 ■ SAUDI ARABIA 11.8117 Source: BSP (24 April 2015)

News

BusinessMirror

Monday, April 27, 2015

SM, Ayala near common-hub deal C  A

Inc. is keen on the proposal, but noted that what matters more is that the operators of the Metro Rail Transit (MRT) Line 7 and Light Rail Transit (LRT) Line 1 are fine with the compromise. “I think SM Group’s concern regarding the station is that they will have their own,” he said. The details of where the alignment will be located, plus the design, are to be decided by Light Rail Manila Corp., the operator of LRT; and San Miguel Corp., the proponent of the future MRT 7, by virtue of the contracts signed with the government.

The common alignment, which aims to link the LRT 1, MRT 3 and MRT 7, has been in limbo ever since the DOTC reviewed the project’s technical and financial components years back. This led to the change of the station’s location, which was initially set to be near SM North Edsa, earning the ire of the group of the country’s largest mall operator, which paid an initial P200 million for the naming rights of the station. Transportation officials have repeatedly said building the station near TriNoma is both economically and environmentally viable, as this would result in a lower cost and less urban blight.

SM Prime then brought its battle to the Supreme Court, which issued a stay order against the DOTC and the Light Rail Transit Authority in 2014, enjoining them to stop the transfer of the common alignment’s location. But it seems that the three companies are at odds as to their appetite on building two common stations. Teresita T. Sy-Coson, an adviser to the board of SM Prime, earlier said her company is willing to compromise for the location of the common station, which is expected to bring additional foot traffic to the malls near the train systems in North Edsa, Quezon City. San Miguel even denied that

it is in talks with the government with regard to the financing of the common station. Metro Pacific Investments Corp. Chairman Manuel V. Pangilinan was skeptical about the idea of building two hubs. Instead, he proposed that the common station be built between the two malls, which will be linked by a bridge to connect the passengers to whichever establishment they want to go. Metro Pacific is a major investor in Light Rail Manila. The common-station project, which has an indicative cost of P1.4 billion, is just one of the deals that are caught between feuds among listed conglomerates.

Manila to study AIIB governance before joining C  A

unfunded this decade. In the Philippines Economic Planning Secretary Arsenio M. Balisacan said the national government alone intends to increase its infrastructure spending to at least 5 percent of the country’s gross domestic product, or about P826 billion, by 2016 order to support the growth requirements in the coming years. Based on the Comprehensive and

Integrated Infrastructure Program 2013-2016 and Beyond, the priority programs and projects for the infrastructure sector comprise a total of 3,077 projects, with total investment requirements amounting to about P6.58 trillion. Nearly P3 trillion, or 45.4 percent of the total, is allocated for the development of the country’s transport system covering air, land and water, while P1.37 trillion, or 20.8 percent, is for social infrastructure to ensure

the protection of public health and the environment, improvement of access to quality health and education facilities, and access to decent housing and services. Another P1 trillion, or 15.4 percent of the total, is earmarked for the equitable and efficient management of water resources to ensure adequate, safe and sustainable water for all; and P847 billion, or 12.9 percent, is for sustainable, diverse and reliable energy sources.

The remaining P89 billion, or 1.3 percent, is for the provision of fast, reliable and affordable information and communications technology. The AIIB was proposed by China’s President Xi Jinping during a visit to Southeast Asia in October 2013. The creation of the AIIB was also in line with China’s proposed Maritime Silk Road of the 21st Century that will include China and 10 Southeast Asian nations located in the PanBeibu Gulf.

news@businessmirror.com.ph

Tremors. . .

C  A

Sherpa guides and team members other than Fredinburg were safe, including two with non-life-threatening injuries.

Everest damage

THE trekking company Summitclimb and Summittrek, based in Bristol, UK, and Lakebay, Washington, said on Facebook that its climbers were safe though the Icefall route up Everest was “destroyed.” Hundreds of people attempt to reach Everest’s summit each year, typically paying a minimum of $30,000 per person and often far more for the privilege, according to an estimate by Outside magazine. The rising numbers of climbers has drawn complaints about overcrowding, littering and heightened danger. The US Embassy in Nepal said on Twitter it is attempting to account for American citizens and provided relatives with numbers to call. “Our

Banks. . .

thoughts are with the Nepali people and we’re ready to help,” Peter W. Bodde, the US ambassador to Nepal, said in a message. The Himalaya region is one of the world’s most active seismic zones as the Indian subcontinent pushes north into the central Asia tectonic plate. The 1934 earthquake in Nepal, just west of Sikkim, killed more than 16,000 people. A 2005 quake in Kashmir killed more than 70,000 in Pakistan. Many Nepalese reside in unreinforced brick masonry structures. The country’s shoddy building standards and lack of preparedness for a major earthquake were the subjects of an international conference in Kathmandu earlier this month. Television images showed rescuers pulling out people who were trapped under the 19th-century Dharahara Tower, a nine-story structure in Kathmandu that collapsed. Bloomberg News

C  A

The tighter credit standards were in the form of wider loan margins, stricter collateral requirements and loan covenants for commercial real- estate loans. Banks also cited reduced credit lines and shorter maturities for the accommodation. Demand for commercial real-estate loans proved steady during the month, but quite a

number of banks indicated increased demand for real-estate loans given the country’s improved economic outlook, as well as increased inventory and the fixed-capital investment requirements of clients. For the next quarter, banks anticipate a further tightening of credit standards outnumbering those expecting the opposite, the BSP said.

news@businessmirror.com.ph

The Nation BusinessMirror

Editor: Dionisio L. Pelayo • Monday, April 27, 2015 A3

Sister says Veloso resigned to death as Indonesia gives execution notice

ARY Jane Veloso, the Filipina convicted of drug smuggling in Indonesia, is resigned to her fate dying before a firing squad, according to her sister, who is in Jakarta along with other members of her family.

Her sister, Maritess Veloso-Laurente, admitted in a radio interview that it was Mary Jane herself who told her about the execution on Tuesday. Laurente’s statement was issued as the Associated Press (AP) reported that Indonesian authorities have asked Veloso and eight others on death row for their last wish. According to the AP, Indonesia notified Veloso, eight other foreigners and a local man convicted of drug trafficking that their executions will be carried out within days, ignoring appeals by the United Nations (UN) chief and foreign leaders to spare them. The AP quoted spokesman for the attorney general, Tony Spontana, as saying on Sunday that the nine’s legal options “have been exhausted.” Via an interview broadcast over the radio, Laurente said her sister was summoned by prison authorities in the Nusakumbangan jail facility on Saturday afternoon, where she was handed a letter purportedly from Indonesia’s Attorney General’s Office. The Veloso family had earlier received a copy of the execution order, but with no fixed date on when the death penalty would be carried out. But the AP report said the 72-hour notice issued by Indonesia indicates the executions by firing squad will be carried out at the earliest on Tuesday or on Wednesday. The pending executions have caused an international outcry not only in the Philippines but also in Australia and France, which are opposed to the death penalty.

Letters

LAURENTE said during their visit at Besi prison, her sister handed over to Philippine foreign affairs staff four handwritten letters addressed to President Aquino and Vice President Jejomar C. Binay, the Filipino youth and women, and to those responsible for what happened to her. In her letter to Binay, she reiterated her innocence of the crime she was charged with; that she is an innocent victim. Veloso said only President Aquino and Binay can help her. She added that she knows that Mr. Aquino, as the father of the Philippines, is continuing his efforts to help save her from the death penalty. “Nagpapasalamat din po ako kay Pangulong Aquino bilang ama nang ating bansa. Alam ko po na hindi din po tumitigil ang ating Pangulo sa pagtulong at paghanap ng paraan para matulungan po ako at nang hindi matuloy ang hatol na kamatayan sa akin,” Veloso said in her letter read over the radio by Laurente. She ended this letter by expressing her hope that justice will prevail in what happened to her and expressed her thanks to all her countrymen who are willing to help her, the Embassy of the Philippines in Jakarta, the Department of Foreign Affairs, her lawyers, “and everybody who are helping and praying for her, even those who are not Filipinos.” For the youth, Veloso admonished them to avoid illegal drugs and activities. Veloso said fellow women seeking work abroad should follow legal procedures and use a legitimate employment agency. She wrote she hopes those responsible for what happened to her will be bothered by their conscience. Veloso also personally appealed to President Joko “Jokowi” Widodo to spare her from execution. “I sincerely appeal to you, honorable sir, to grant me pardon from the death penalty. I believe and am certain that you have a compassionate heart and are very wise to make a humane decision,” Veloso said. News reports said the letter, which was written in Bahasa, was translated to English by University of the Philippines professor Ramon Guillermo. She wrote the appeal on April 15 at the Wirogunan Correctional Facility in Yogyakarta. Veloso said her two children need her. “Honorable sir, I believe that as the father of your child, you can feel what it would be like if your child were in the position of my own children. It is surely very painful because it would take away the right of my children to be with their mother if my plea for pardon is not granted,” she said. She added that as “father of the Indonesian Nation,” Widodo should protect the people. “I sincerely pray to be saved from the death penalty and to be given the opportunity to bring up my children,” she said.

Appeals, threats

THE AP report said UN Secretary-General Ban Ki-moon also urged Widodo to “urgently consider declaring a moratorium on capital punishment in Indonesia, with a view toward abolition.” The AP report quoted President Aquino as saying on Sunday he would again appeal Veloso’s case to Widodo when they meet at an annual summit of Southeast Asian leaders in Malaysia today. Australian Prime Minister Tony Abbott, whose government has been pressuring Indonesia to spare the two Australians, arrived on a visit to Paris on Saturday night and was expected to discuss the situation with French President François Hollande, the AP report said. The report added that Hollande has warned of diplomatic

consequences if Frenchman Serge Atlaoui, one of the nine foreigners, is executed. Hollande was reported by AP as saying on Saturday that there could be possible economic fallout between France and Indonesia.

Acceptance, hopes

VELOSO, together with the other convicted foreign drug smugglers, were transferred to Nusakumbangan

island at dawn of Friday. The Filipina was allowed to meet her family for two hours. Laurente said her sister seems to have accepted her fate. “She has put on weight. She’s courageous, grew stronger but still cheerful. She did not show a tinge of sadness, fear or anxiety,” she said. Veloso embraced her children tightly and peppered them with kiss-

es. She then told her children not to be ashamed about what happened to their mother. “Mga anak, kapag ako’y namatay, dapat ipagmalaki niyo si mama. Si mama namatay na malinis ang puso, namatay siya dahil sa kasalanan ng ibang tao [My children, be proud of your mother. Your mother died with a clear heart. She died because of the sins of other people],” Laurente said, as she quoted Veloso’s

final words to her children. She said her sister has asked prison authorities to allow at least one family member to be with her until her last moment. “She said she doesn’t want her body to be desecrated like what reportedly happened to one convict who was executed whose body was allegedly thrown into the sea,” Laurente said. Recto Mercene and AP

Economy

A4 Monday, April 27, 2015 • Editors: Vittorio V. Vitug and Max V. de Leon

BusinessMirror

PHL urges Asean to stop China in South China Sea

he Philippines on Sunday urged the 10-member Asean to take immediate steps to halt land reclamation by China in the disputed waters of the West Philippine Sea (South China Sea), warning that failure to do so will see Beijing take de facto control of the area. Foreign Secretary Albert F. del Rosario told a meeting of Asean foreign ministers that if China’s construction of artificial islands on reefs claimed by other countries is allowed to be completed, then Beijing will impose its claim over more than 85 percent of the sea. Rosario urged the grouping to

“stand up” to China by urging it to halt its reclamation work. China, Taiwan and Asean members Malaysia, the Philippines, Vietnam and Brunei Darussalam have overlapping claims in the South China Sea. Asean has maintained a cautious stand in the dispute to avoid angering China, a key trading partner.

Rosario said the reclamation threatened to militarize the region, infringe on rights of other states and damage the marine environment. He warned that China, which has been dragging its foot on Asean’s push for a binding code of conduct governing behavior in the sea, will aim to complete its reclamation activities before it agrees to conclude the code. If this happens, he said the code will legitimize China’s reclamation. “The threats posed by these massive reclamations are real and cannot be ignored or denied,” he said. “Asean should assert its leadership, centrality and solidarity. Asean must show the world that it has the resolve to act in the common interest.” The Philippines filed a case with an international arbitration tribunal in 2013 challenging China’s claim. Beijing has defended the reclamation, saying it is Chinese territory and the structures are for public-service use and to support Chinese fishermen. AP

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Net income of nonlife insurance industry saw 192-percent rise in 2014 By David Cagahastian

he nonlife insurance industry has registered a net income of P2.4 billion in 2014, or a 192-percent increase from its net income in 2013. Philippine Insurers and Reinsurers Association Chairman Michael Rellosa said the fact that there were fewer and less destructive natural calamities in 2014 was a big factor in the increase in net income of the nonlife insurance industry last year. “Thankfully, our country did not have as many natural calamities in 2014 as compared to 2013 when we were hit by Supertyphoon Yolanda [international code name Haiyan],” Rellosa said at the 12th Philippine Non-Life Insurance Summit last week. As a result, the nonlife insurance industry’s losses from claims totalled only P12.8 billion in 2014, or almost a billion pesos less than the losses sustained in 2013. “This automatically raised our industry’s net income to P2.4 billion, or an impressive 192-percent increase from the measly P822 million we logged in 2013,” Rellosa said. Rellosa added that although industry players are getting fewer in number, the collection of premiums on insurance policies has steadily gone up. There were 95 nonlife insurance companies in 2005, and that number

is now down to 65 due to the steep capitalization requirements for existing and new insurance companies as provided for in the amended Insurance Code. The capitalization requirement for existing insurance companies was increased to P250 million, which will go up by January 2016 to P550 million. New insurance companies are required to put up at least P1 billion in capitalization. These higher capitalization requirements are meant to encourage mergers and consolidation to allow the insurance industry to compete better amid the impending Asean economic integration. In 2014 gross premiums written reached P64.3 billion, or an almost 18-percent increase from the gross premiums written in 2013, which was only P54.5 billion. He said that while these figures show the big opportunities in the nonlife insurance industry, there are expected challenges in the near future that the nonlife insurance industry should be prepared for. “By 2030 experts predict that Asia—with the growth it is experiencing right now—would account for two-thirds of the world’s economic output. This means greater opportunity for all of us. And this also means greater competition as Western insurers are obviously aware of these predictions. These socalled Big Boys are definitely training their sights to Asia—including the Philippines—as we speak,” Rellosa said.

ERC now requiring real-time reporting of power outages P

By Lenie Lectura

OWER-generation companies are being required by the Energy Regulatory Commission (ERC) to report incidents of outage of their power facilities in “real time.” In a resolution signed on March 9 but publicly released only last week, the ERC said generation companies (gencos) must provide real-time ac-

curate information on the operations of their generation facilities, specifically timely notification to the ERC of unplanned or planned poweroutage events. “In view of the projected imbalance in the Luzon grid, the ERC is cognizant of the need to monitor the reliability performance of the generation facilities of generation companies not only on annual basis but close to real time,” stated ERC

Resolution 04, Series of 2015. The reporting shall be done through the use of, among others, short message service (SMS) , electronic-email and facsimile machine. On unplanned outage or sudden shutdown of a power plant, the gencos shall send through SMS the following details: type of unplanned outage, name of generation facility, total outage, date and time of occurrence, reason for outage and

surname of person reporting. Within 48 hours from occurrence of the same outage event, the genco shall submit a report through e-mail or facsimile. Subsequently, within three hours from the resumption of operations of generating facility, the same shall be reported to the ERC through SMS. Likewise, a report in writing, signed by the duly authorized representative of the genco shall

also be submitted via e-mail and facsimile within 48 hours from resumption of operations. On planned outage, the ERC should be informed of such events at least 10 days prior to the implementation of the said event. A report, similar to the planned outage, must be submitted to the agency. Within 48 hours from resumption of operations of the power facility, the genco shall

submit a report signed by a duly authorized representative stating the actual time and date of the resumption and total outage hours, among others. Under the Electric Power Industry Reform Act, the ERC may require reports from electric power industry participants as necessary to facilitate compliance pursuant to Section 4, Rule 3 of the law.

Business groups buck move to scrap K to 12 By Catherine N. Pillas

he business community is forming a united front against attempts to scrap the K to 12 Program. Instead of stopping the implementation of the program, big business groups in the country want the government to help the private sector deal with the effects of the reform in the educational system. The Management Association of the Philippines, Makati Business Club, Philippine Chamber of Commerce and Industry, the Australia-New Zealand Chamber of Commerce, the American Chamber of Commerce, the Employers Confederation of the Philippines and the Information Technology and Business Process Association of the Philippines rallied behind the advocacy group Philippine Business for Education (PBED) to counter moves to scrap the K to 12 Program. The groups aired their support for the program despite the foreseen problems, such as the displacement of tertiary-level faculty and staff during the transition period, as well as the closure of tertiary institutions due to revenue losses brought about by the dearth in student enrollment. Both are seen to happen during the transition period when high-school students will be entering the senior high-school years of the new setup instead of college. “We have to accept to continue this despite the negative effects; the government should deal with these issues instead of letting the negative effects derail the program,” PBEd President Dr. Chito Salazar, speaking on behalf of the business groups, said. On labor displacement, the groups want the Commission on Higher Education and the Technical Education and Skills Development Authority to clarify the unemployment/diminution benefits

of the affected personnel, then come up with support packages to serve as a crutch to tertiary institutions. Specifically, these twin goals can be addressed by the Unified Financial Assistance System for Higher and Technical Education (UniFAST), and the Tertiary Education Transition Fund (TETF), two pending legislation in Congress, Salazar said. The UniFAST and the TETF bills aim to consolidate all the scholarships provided to tertiary students in a bid to rationalize the scholarship budget. A provision can be inserted in the two bills to direct the scholarships to out-of-school youth during the transition period, the PBEd said “Our proposal to the government is to deal with the displacement of administration and faculty because of no student enrollment, the government should offer a scholarship program to graduates before 2015 or earlier to those who did not get to go to college to fill the gap. If you can do that, you will not have any displacement,” Salazar said. According to the PBEd head, of the average 1.4 million students graduating from high school from the previous system, 40 percent do not pursue tertiary education because of financial setbacks. Of the remaining 60 percent, or 840,000 students who move on to colleges and universities, a 30-percent dropout in the first year is recorded. “We’re going to educate out-of-school youth to fill the gap during the transition period [to senior high school], and the faculty and staff don’t have to be let go,” Lazaro said. The groups are pushing for the program to be done through a voucher system, wherein the scholarships are given directly to students in the form of certificate of funding and students may choose which university to matriculate in.

VFP clarifies alleged mismanagement of finances

ertified leaders of the Veterans Federation of the Philippines (VFP), led by President Emmanuel de Ocampo, convened after receiving information that 18 key officials are facing plunder and malversation charges before the Office of the Ombudsman. At the meeting, Ret. Col. Boni de Gracia, VFP executive vice president, said documents showed the same complaints were also filed and dismissed by the courts twice in years 2008 and 2011, respectively. “If truth must be served, let it be known that most of the respondents listed in this new complaint only took office in 2011. This is just a remake of the previous cases that the court already discarded,” he said. Although moot and academic, public records show that the resurgent case filed before the Ombudsman is similar in nature to the previous cases, wherein the accusations were just rehashed. De Gracia added: “The truth of the matter is that the VFP does not handle any pension and finances of Second World War, and the Armed Forces of the Philippines for post-World War

II veterans. So, there is no such thing as mismanaging of finances here. “As history would have it, the complainants Rafael Evangelista and Marlon Dantes are neither World War II nor post-World War II veterans. They are mere civilians. At the same time, all of the 10 complainants are inactive members of the VFP. That being said, they are not in a position to know anything about the administrative and operational activities of the VFP,” he said. The other complainants, whose names were published in various broadsheets and online news sources, allegedly claim that an amount of “P559 million funds of the said organization has disappeared. De Gracia said per records, there were satisfactory data that the VFP, as a public corporation created under the rule of Republic Act 2640, has been complying with the government’s implementation and management audit. “These accusations are bare and conjectural in nature. We at the VFP are optimistic that the Ombudsman will dismiss this case that is just born out of pure harassment,” he said.

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Economy BusinessMirror

Monday, April 27, 2015 A5

Govt, ADB in talks for fresh $600-M loans

By Cai U. Ordinario

he national government and Asian Development Bank (ADB) are currently holding talks for two new loans estimated to cost $600 million.

National Treasurer Roberto B. Tan told reporters on Friday that the two new loans will amount to $300 million each. The first loan will be for infrastructure and the second is for capital-market development. Each loan is estimated to have a 15-year term. “We met [recently] for a workshop on firming up the program loans for infrastructure development and capital-market development. So two policy-based loans,” Tan said. “It’s [for] budget support. Hopefully, we get it this year.” The two loans are expected to help the Philippines address its infrastructure constraints, boost the capital market and support the public-private partnership (PPP) initiative. The loans will not be the first support from the ADB for PPPs since the Manila-based multilateral development bank has also extended support for the Project Development Monitoring Facility (PDMF). The PDMF is jointly financed by the national government and the ADB, as well as the Australian and Canadian governments. The PDMF, a revolving fund, is used to finance prefeasibility studies needed to design PPPs. Funding PPPs have been an ongoing concern. In the recent PPP Forum, the public and private sector discussed the possibility of creating project bonds to finance PPPs. Project bonds are not new, given that it was used in the 1990s to finance projects. The government issued the Enron Subic project bond in 1994 and the Quezon Power bonds in 1997. However, before the government can decide on innovative funding options for PPPs, the PPP Center aims to ensure that the country has enough bankable projects to invest in. “For the government, it is really in making our projects

PHL can become main source of tourism execs in region–CTHI

nternationally franchised tourism school, Canadian Tourism and Hospitality Institute (CTHI), is set to expand its network to 100 branches in the next 10 years—all via franchising—believing that the country can become the main source of industry executives in the region. “We will have 100 units of CTHI in the next 10 years, not only here in the Philippines but also all over Asean,” said Samie Lim, founder and owner of CTHI. “We offer specialization. Because, you see, 95 percent of schools in the country are offering courses that are ‘flavor of the month,’ either nursing, or IT [information technology], or many others, resulting in students shifting to different courses all over again. It is a waste of resources and effort. But, with CTHI, we want to establish the Philippines as a tourist destination of choice, and Filipinos to be the managers of choice with our one-year specialized training and education,” he added. Filipinos have more chances to dominate the tourism industry and become the future general managers of hotels worldwide, Lim said, as Filipinos are more hospitable compared to industry rookies like the Indians and Pakistanis, who are slowly moving to capitalize on the opportunities presented by the tourism and hospitality industry. The CTHI founder said the school’s expansion is on the back of upbeat interest in the growing tourism and hospitality sector. The institution received “more than 100” inquiries to build the school, whether within or outside the Philippines. “More than 100 people are inquiring for the franchise of our school, even students. There are a lot of inquiries coming from Japan, Korea, Nairobi and Nigeria, among others. I think we are becoming a sought-after brand in training future leaders in the hotels and tourism landscape,” the CTHI founder said. From its sole educational facility at the corner of Edsa and Reliance Street, CTHI is set to establish a unit in Makati City by the end of the year. Next year, the school will extend its reach to the regions as two CTHI schools will be installed in the Visayas and Mindanao. After the regional expansion, the school will venture into franchising in Southeast Asia by the third year of its 10-year expansion program, likely in Indonesia or Malaysia. Lim said it has bright prospects for the tourism industry in the country, as well as in Asean, as foreign and local investors alike are building more hotels and tourist destinations and attractions, which would significantly contribute to the industry in the long term. The demand for hotel and resorts managers and attendants, tour guides, and food and beverage crew will surge, Lim said, and CTHI is poised to become one of the major sorces of future leaders of the industry. Some 10 percent of the CTHI student-population are receiving scholarship grants, which is seen to increase next year given the heightened interest from students who wanted to enroll, Lim said. CTHI is the first international franchise of the Canadian Tourism College (CTC), which is based in Vancouver, Canada. With its 30 years of providing real-world quality tourism education, CTC is now a multiawarded and globally recognized leader in its field. The school offers intensive on-the-job training through module-based learning for a span of one year that will prepare students for immediate employment in the industry, whether in or out of the Philippines.

and contracts bankable for project finance and that will be the stepping stone toward issuance of project bonds and other finance-raising activities,” PPP Center Executive Director Cosette Canilao said that, on the sidelines of Friday’s PPP Forum. However, Canilao said if there will be a way to issue project bonds, particularly

on a retail basis, it will be better because even members of the workforce can invest in PPPs. Canilao said retail project bonds could start at around P5,000. This will enable employees and other individual workers to have a stake in major public infrastructure projects. “We have this forum to explore

the various options to finance the PPP projects. If, for example, we can come up with a PPP bond in our contracts now, better for the public because you can now invest in PPPs,” Canilao said. Since 2010 the national government has awarded nine PPP projects worth P136.36 billion, or $3.03 billion.

The current PPP pipeline has 56 projects in varying stages of development. These projects amount to P1.286 trillion, or $28.58 billion. Of these projects in the pipeline, 14 worth P408.61 billion are undergoing procurement, while 10 projects worth around P2.13 billion, have ongoing studies.

Tourism

A6 Monday, April 27, 2015 • Editor: Gerard Ramos

GOING GREEN

AND GLAMOROUS

IN PALAWAN E B B L

COFRIENDLY travel, which has a positive impact on the planet, may bring to mind images of roughing it in the wilderness but, throughout the world, you can enjoy luxury with a conscience as there are many resorts that are both green and glamorous.

THE Puerto Princesa Underground River, one of The New 7 Wonders of Nature

NATURE Spa Village

SHERIDAN Beach Resort & Spa

Here in the country, one such resort is the 95-room Sheridan Beach Resort & Spa, the only luxury resort along Sabang Beach within the equally eco-friendly city of Puerto Princesa in Palawan. The Sheridan Beach Resort & Spa, built in 2010, was developed and operated by Jeco Development Corp. The resort, known for its energy-efficiency projects, is where one can truly take a vacation—without the guilt trip. Wind turbines cover about 70 percent to 80 percent of Sheridan’s electricity requirements. During rainy days or when the solar plant cannot produce energy, or when there is scarce wind to power the wind turbines, the resort has backup generators. The resort also

has a catch basin for rainwater and a water-recycling system in place. They also use light-emitting diode lighting and their air conditioners use inverters. They also have green landscape features and architecture, so they don’t use air-conditioning in their hallways. The resort also takes great pains to maintain the gorgeous, gradually sloping and sugary fine Sabang Beach. On March 3, 2014, as a reward for its efforts, the city government, through the Oplan Linis Program, conferred the Clean & Green Award (Beaches Category) to the resort. On September 30, 2014, this “green” resort was awarded the Sustainable Energy Finance Award of the International Finance Corp. through

the Bank of the Philippine Islands, one among the seven honored for promoting energy efficiency and renewable energy at the recently concluded Energy Smart Forum organized by the European Chamber of Commerce of the Philippines. The resort’s minimalist-style guestrooms are tastefully furnished and decorated in a contemporary Asian style with a touch of local culture. All have split-type air conditioners, a spacious private ensuite bathroom with hot and cold shower, flat-screen cable TV with a DVD player, minibar, hair dryer, in-room safe and tea- and coffee-making facility. The suites and the Palawan and Sabang Rooms have bathtubs. For

Soft-opening promo

THE beachfront of Henann Resort at Alona Beach in Bohol.

T’S the perfect time to book your summer vacation in picturesque Bohol. To celebrate the soft opening of Henann Resort Alona Beach (www.henann. com/bohol), the Henann Group of Resorts is offering up to 40-percent cash discount on room rates. Enjoy first-rate luxury accommodation in the following room types: superior, deluxe, premier, premier with direct pool access and family room. Bookings are good for two persons per room and inclusive of

daily buffet breakfast and dinner. Travel period is from May 1 to 31. Henann Resort Alona Beach is a sprawling 6.5-hectare property in Panglao Island, Bohol. It will operate as many as 400 rooms with coastal-inspired modern interiors. Each has a private terrace, wireless Internet access, bath tub with separate shower area, individually controlled air conditioning, cable television, direct dial phone, in-room safe, coffee- and tea-making facilities and personal refrigerator.

Currently under construction is a threestory, 2,160-square-meter convention center that can house up to 1,000 guests. Other amenities include three massive swimming pools, an open-air venue for weddings, VIP lounge for special guests, fitness and business centers, and a mini shop. Other famous Henann brands will also be operational by second quarter of the year. These include the Kai Spa, Sea Breeze Cafe (an all-day buffet restaurant), and Christina’s (Western fine dining).

m&Entertainment BusinessMirror

BOOK HOTEL STAYS ONLINE AND ENJOY DISCOUNT

F you’re planning to go on a tour across Asia, even a monthlong trip to Europe, or explore the countryside, you’ll surely need a place to stay. The good news for people succumbing to their wanderlust is that Citi offers year-round discounts on hotel accommodations in any destination when booking through Agoda.com and paying using their Philippine-issued Citi credit card. Get up to 7-percent off on a great selection of hotels worldwide by making the transaction online through www.agoda.com/citibankph until January 31, 2016. The promotion period is valid for stays scheduled until April 30, 2016. To check if you have entered a valid credit-card number, look for the “Citibank Discount” on the booking form.

groups and families, there are 13 connecting rooms. Wi-Fi is offered at the lobby and restaurant. In 2014 Booking.com gave the resort an Award of Excellence for achieving an overall guest review score of 8.5/10. It’s big, 340-feet-long, 4-foot-deep swimming pool, said to be the largest in Palawan, has chaise lounges that are actually partly submerged. The swim-up Sip n’ Dip Bar is in the middle, while three jacuzzis are located on the sides. There are plenty of dedicated lifeguards on duty here. A small but excellent outdoor workout gym overlooks the pool. The nearby Sheridan Nature Spa Village offers its signature, healing and truly relaxing hilot massage.

DELUXE room

FAMILY room

PREMIER room

The beachfront, 24-hour South Sea Restaurant, overlooking Sabang Beach on one side and the Saint Paul’s Peak on the other, offers an a la carte menu of the finest local and international gourmet cuisine, great seafood, pasta and delicious oven-brick pizza, with healthy options of organic ingredients straight from the resort’s very own organic farm where 80 percent of the resort’s food requirements are sourced (including organic rice). Couples can also avail themselves of romantic, four-course set dinners by the beach. Facing the beach are benches, sundeck chairs, small tables and cozy, woven reed hammocks under shady coconut trees where one can sit or lie down, nap, read or listen to the waves crashing around you. The resort also has a coffee shop, a bar/lounge by the beach, kiddie swimming pool, 24-hour front desk, convention center, smoking area, shared lounge/TV area, children’s playground, sauna, a sports bar (darts, billiards, table tennis), a giant chess board, barbecue facilities, library near the lobby, game room, and business center. They also offer Segway, beach bikes, ATV rides, watersport facilities (surfboards, wakeboards, kayaks, body board, etc.), as well as Puerto Princesa Underground River (this member of the New Seven Wonders of Nature is just a stone’s throw away) tours, the 800-meter-long Sabang X Zipline tours (where you zip over the sea), and the highly educational Mangrove Paddle Boat tours.

tourism@businessmirror.com.ph • Monday, April 27, 2015 A7

TheElderly

BusinessMirror

Monday, April 27, 2015 • Editor: Efleda P. Campos

news@businessmirror.com.ph

AMBA conducts 13th mission in Sagada

By Oliver Samson | Correspondent

HE outreach team of Kanlungan ni Maria Aba Muna, Bago Ako (AMBA), navigated the narrow and winding roads leading to Sagada in the Cordilleras to conduct its 13th medical mission on April 22. The mission visited over 120 Igorot senior citizens who were given free transdermal magnesium therapy at Eduardo Gaudan Longid Centrum in Barangay Poblacion, said Victoria Baterina-Solis, Kanlungan special projects director. Most of the magnesium-therapy recipients came seeking relief for pain on their back, knees, legs, shoulders and waist, said Peter L. Cina-Oy, an environmentalist and one of the locals who coordinated the medical mission with the Kanlungan team. Others who came seeking pain relief had breathing difficulty, he said. “Halos lahat sila nakaramdam ng ginhawa, pati may mga sakit ng ulo [Most of them felt relief, including those with headache],” CinaOy noted. Muriel Omaweng, 76, who suffered from stiff neck in the past three years, said she tried all sorts of pain relievers and was surprised that the pain was gone after she received magnesium therapy. “It’s a miracle,” she said, while easily turning her head from left to right several times and felt no pain. Omaweng came to the outreach venue unable to move her head due to chronic neck pain. She felt relief about half an hour

after the therapy, said Shirley U. Griba, a magnesium-therapy coach. Mary Jean Netario Cruz, Kanlungan’s wellness director and a certified well-being coach, said, “Body pains among seniors are mostly related to magnesium deficiency due to aging and diet low in magnesium.” “The small amount of magnesium that the body gets from the typical meal is easily depleted by unhealthy lifestyle, like excessive caffeine intake, alcohol, overwork and long-term drug intake,” she said. Magnesium, a mineral, is a natural and safe alternative cure for physical pains, Netario Cruz said. She had dealt with several cases of sleeping problems with magnesium therapy in recent years. “To address body pains, it should be replenished with the mineral transdermally or orally,” she noted. After the therapy, the seniors also received a free 100 mL bottle of liquid magnesium, BaterinaSolis said. Also, about 200 were given a pair of reading glasses, and a total of 274 took home a gift bag, she said. Each bag contained a blanket, bath soap, detergent bar, shampoo, conditioner, tissue, champorado mix and some adult diapers.

‘Exempt senior citizens from paying terminal fees in airports, seaports’

EP. Evelio R. Leonardia of the Lone District of Bacolod said that senior citizens should be granted exemption from paying passenger terminal fees for air and sea travels. Leonardia is the author of House Bill (HB) 4697, which provides for a 20-percent discount on all terminal fees in airports, seaports and bus or vehicle terminal for senior citizens. The bill seeks to amend further Section 4 (a) of Republic Act (RA) 7432, as amended by RA 9994, otherwise known as the Expanded Senior Citizens Act of 2010. Leonardia said the inclusion of passenger terminal fees from the list of exemptions can help bolster tourism all over the country by promoting discounted local travel to senior citizens. Leonardia’s bill has gained the support of Rep. Salvio Fortuno (Fifth District, Camarines Sur), chairman of the House Committee on Poverty Alleviation, who said the measure would surely help the economic status of senior citizens while promoting local tourism. Under the latest amendatory law (RA 9994), senior citizens are granted a 20-percent discount on actual and advanced booking on transportation fares for domestic air transport and sea-shipping vessels and the like, Leonardia noted. “Passenger terminal fees, however, are not included. Most, if not all, domestic airports do not give a 20-percent discount on passenger terminal fees for senior citizens,” he added. He further noted that “in fact, in a strict interpretation of the amended law, the Office of Government Corporate Counsel Opinion 86, Series of 2011, even declared that the 20-percent discount accorded to senior citizens under the Expanded Senior Citizens Act of 2010 is not applicable to passenger terminal fees.” Under HB 4697, Leonardia proposes to insert the following provision to Section 4 of RA 7432, as amended by RA 9994, or the “Expanded Senior Citizens Act of 2010” or the list of exemptions: “xxxxx (10) on the terminal fees for all domestic and international air transport services and sea transport vessels, bus and vehicular transport services, and the like.” HB 4697 is under consideration by the Committee on Population and Family Relations chaired by Rep. Rogelio Espina, MD (Lone District, Biliran). PNA

KANLUNGAN ni Maria Home for the Aged Aba Muna, Bago Ako Program conducts its 13th medical mission at Eduardo Gaudan Longid Centrum in Sagada, Mountain Province. OLIVER SAMSON

A total of 50 persons also received free medicine, and 22 young Igorot males were circumcised, Baterina-Solis said. Four seniors went home with a brand-new wheelchair. The AMBA volunteer team who performed the circumcision was comprised of one physician and two nurses from Mary Mount Hospital in Meycauayan, Bulacan. The locals seldom get the medical services their health conditions require, observed Dr. Aiman Cayaby-

ab, the appointed Emergency Room chief at Mary Mount Hospital. She described her experience with the Igorots as “very humbling,” and expressed joy at the opportunity of serving them. Cayabyab said she and the other Mary Mount Hospital volunteers will join the Amba team in its future medical missions. The AMBA team that went to Sagada was composed of Netario Cruz (the world ’s magnesiumclinic pioneer), Baterina-Solis (a

fashion designer), Nico Cruz (a promising chef and son of Netario Cruz), Cayabyab, Jocelyn L. Cordero (retired nurse), Johnson Torio and Benjo Bernardo (nurses), John Robert Gascon (physical therapist), Marly S. Ponce de Leon (industrial engineer), and magnesium-therapy coaches Griba, Maria Kristen D. Concepcion and Karima Noeli Y. Dimzon. Siegrid Bangyay, a ceramic artist, and his family took care of the AMBA team in their home during

their stay in Sagada. The town is a favorite tourist destination up in the Cordilleras. The sponsors of AMBA’s 13th medical mission were the Magiteque Pain Relief Center and VBS Business Group, in cooperation with Rotary District 3800. The free magnesium therapy and free magnesium bottles were provided by Magiteque Pain Therapy Center, the first of its kind in the world, and located in Antipolo, Rizal.

Thousands honor soldiers on 100th year of Gallipoli battle

ALLIPOLI, Turkey—For the first time at age 95, Bill Grayden has come to Gallipoli, where his father stormed the beach and took a bullet through his lung during the ill-fated British-led World War I invasion. Grayden was among thousands of Australians and New Zealanders who made the pilgrimage from the southern hemisphere to this distant peninsula in Turkey. They joined world leaders at a dawn service on Saturday, marking exactly 100 years since the invasion, which had aimed to secure a naval route from the Mediterranean to Istanbul through the Dardanelles, and take the Ottomans out of the war. During the emotional ceremony, Britain’s Prince Charles and the prime ministers of Australia and New Zealand spoke of the heroism of the soldiers from their countries and other Allied nations. “For so many, the rising sun that day would be their last,” Australia’s Chief of Defense, Air Chief Marshal Mark Binskin, told the crowd of thousands gathered at Anzac Cove near the landing site. That was not the case for Bill Grayden’s father Len. Five days after the landing, the elder Grayden was found wounded and nearly motionless on the field. During the heat of battle, someone noticed a slight hand movement and he was evacuated to a hospital ship and ultimately survived. The subtle moment that determined his fate demonstrates how small differences can substantially change the course of history. Len Grayden would return to Australia to raise a family. His son Bill later served in multiple campaigns in World War II and became a politician. He has raised 10 children of his own, and now has 44 grandchildren, 20 great grandchildren and so far one great-great grandchild.

BILL GRAYDEN shows his medals as he speaks to The Associated Press in Gallipoli, Turkey, Friday, on April 24, 2015. For the first time at age 95, Grayden has come to Gallipoli, where his father stormed the beach and took a bullet through his lung during the ill-fated British-led World War I invasion. Grayden was among thousands of Australians and New Zealanders who made the pilgrimage from the southern hemisphere to this distant peninsula in Turkey. AP

The Gallipoli campaign also altered the course for the countries on both sides of the trenches. The landings marked the start of a fierce battle that lasted for eight months. Around 44,000 Allied troops and 86,000 Ottoman soldiers died. Australians and New Zealanders mark the anniversary of the landings every year as important national days of remembrance. Many of the attendees at Saturday’s service had slept at the commemoration site in sleeping bags. Most had won the coveted tickets in national lotteries. The tragic fate of troops from Australia and New Zealand is said to have inspired an identity distinct from the British. The anniversary of the start of the land campaign on April 25, known

as Anzac Day, after the Australia and New Zealand Army Corps, is marked as a coming of age for both nations. “In volunteering to serve, they became more than soldiers. They became the founding heroes of modern Australia,” Australian Prime Minister Tony Abbott said at the service. The doomed offensive came to be seen as a folly of British war-planning. The decision to launch the attack nearly ended the career of Winston Churchill, who, as First Lord of the Admiralty, came up with the plan he thought would help bring an early end to the war. Prince Charles spoke about soldiers who were “tormented by the thought of their comrades being left behind” and that their graves would remain

unvisited. He appeared to be moved as he read from passages written by Lt. Ken Miller of the Second Battalion and Benjamin Leane of the 10th Battalion. Leane had addressed his wife and children from Gallipoli, saying that he was not afraid of death or what comes after. He later died in France, never to see them again. Turkish officials and soldiers also took part in the dawn remembrance, part of two days of ceremonies at the site of the battle. Gallipoli was also important in the emergence of modern Turkey. Mustafa Kemal Ataturk used his prominence as a commander at Gallipoli, known as Canakkale to the Turks, to vault into prominence, lead Turkey’s War of Independence and ultimately found the Turkish Republic. Thousands marched in Gallipoli to honor the soldiers of the Turkish 57th Regiment, among the first unit to defend against the Anzac landings, which Ataturk—then Lt.Col. Mustafa Kemal—famously commanded: “I do not order you to attack, I order you to die.” In the Turkish capital Ankara, the mausoleum of Ataturk was left open throughout the night allowing thousands of visitors to pay their respects to their “Gazi”—Ataturk’s honorary title as a victorious Turkish warrior. A century after the smoke cleared from the beaches at Gallipoli, officials from the countries representing both sides of the battles spoke of their respect for their former enemies. New Zealand’s Prime Minister John Key noted that, when the Anzac forces landed, Ottoman Turks were defending their homeland. “We have coastlines similar to this at home. If the situation were reversed we know that New Zealand soldiers would have been willing to lay down their lives to defend their country,” he said. AP

The Regions BusinessMirror

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DENR disputes COA findings on NGP, Cadastral Survey Project

HE Department of Environment and Natural Resources (DENR) took exception to a news report that the National Greening Program (NGP) and the Cadastral Survey Project of the DENR was “unsuccessful”. In a statement, the DENR said that measures have been adopted to address challenges in the implementation of the projects. The DENR was reacting to a news report quoting the Commission on Audit’s (COA) 2013 report on the two projects. The NGP is the flagship reforestation program of the Aquino administration that aims to plant 1.5 billion trees in 1.5 million hectares of degraded forests, while the Cadastral Survey Project aims to draw political boundaries and identify land areas according to their classification. The cadastral survey is the basis of realestate taxes paid annually to local government units (LGUs). The DENR said the NGP is 11.6 percent above target, with the reforestation of over a million hectares of degraded forests out of the accumulated target of 900,000 hectares from 2011 to 2014. Because of the aggressive tree-planting activities, the DENR created more than 2 million jobs. As of December 2014, the country’s forest cover increased from 6.8 million hectares in 2010 to 7.8 million hectares. The DENR said the “low survival rate” of seedlings cited by the COA report was traced to the occurrence of natural disasters, as well as to forest pest infestation. The DENR said all areas can be vegetated with the right choice of species and disputed the COA report on picking “nonplantable” areas for the project. Also, the DENR said roadside planting is no longer included in the NGP, particularly in areas identified by the Department of Public Works and Highways as covered by road-widening projects. Also, regional offices of the DENR have been ordered to submit geo-tagged photos of their NGP reports periodically to ensure the integrity of the annual accomplishment reports from the fields. On the Cadastral Survey Project, the DENR said the government is close to completing the centuryold cadastral survey program. It reported of completing the cadastral survey of 1,493 cities and municipalities, comprising 91 percent of the total 1,634 cities and municipalities nationwide. The 3 percent represents the ongoing survey of the 44 municipalities across the country, while the remaining 6 percent represents the 97 towns under the Autonomous Region in Muslim Mindanao. The country’s cadastral survey program started way back in 1913 with the enactment of Commonwealth Act 2259, also known as the Cadastral Act. The project has not reached final completion for lack of resources and sustained focus by previous administrations. Records from the DENR’s Land Management Bureau show that between 1913 and 2009, only 753 cities and municipalities nationwide were surveyed since the cadastral survey project started. “We wish to assure the public that we are one with the COA in ensuring the efficient and prudent use of public funds in the implementation of all DENR projects. This is precisely the reason why as early as May 2011, we have requested the COA leadership to give regular audit priority and attention to the NGP,” the DENR said.

Monday, April 27, 2015

IDC contract signals start of Montelago Geothermal Power Project in Mindoro

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MERGING Power Inc. (EPI) has tapped Iceland Drilling Corp. (IDC) to undertake drilling works in the former’s $185-million Montelago Geothermal Power Project in Naujan, Oriental Mindoro.

pres ide nt of m a rk et i ng a nd strategic planning of Nickel Asia Corp. (NAC), said. The NAC recently announced exercising the option to convert a loan extended to EPI into a controlling stake as the mining firm moved to diversify to the renewable-energy business. NAC said its board of directors approved the conversion of its one-year P446-million loan into equity in EPI. The conversion of the loan corresponds to an initial 55-percent ownership in EPI. Likewise, the board approved an additional investment of P474 million, to be made in stages, to

further raise its stake to 66 percent. The drilling contract to IDC came after EPI conducted a successful exploration and drilling of its well pads in Oriental Mindoro. Under the multimillion-dollar deal inked by EPI and IDC on April 20, the drilling company contracted to undertake the drilling of at least two wells and up to a maximum of 12 to support the proposed 40-MW Montelago geothermal plant. “With the signing of the contract, IDC will now be involved with EPI to ensure the readiness of the site for the arrival and assembly of the drilling equipment.

Drilling of the first exploration well is expected to commence on July 15, 2015,” Zamora said. For the Mindoro geothermal project, IDC will be using a Geysir Drillmec HH-20SS equipment, a trailer-mounted, fast moving, automatic, hydraulic rotary drilling rig with a drilling depth capability of 4,000 meters. The heavy equipment has been previously used in a geothermal drilling project in Biliran.EPI is also involved in a 10-MW solar project in Camarines Sur, at the 2.5-MW biogas project in Quezon Province and a 10-MW solar-and-bunker hybrid project in Northern Palawan.

“We are tapping IDC to ensure a technically superior work in our 40-megawatt [MW] geothermal

project in Oriental Mindoro,” M a r t i n A nton io G. Z a mor a , EPI chairman and senior vice

Power-isolation procedures saved Mindanao from multiple outages

Salceda hurt by criminal graft charge L

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ORTIONS of the Mindanao grid have now totally normalized after a gridwide power interruption occurred last Easter Sunday, the National Grid Corp. of the Philippines (NGCP) said. The power grid operator said it implemented so-called islanding operations as part of its blackout restoration procedures in the Mindanao grid within minutes after the blackout started at 1:01 a.m. A review of the operations revealed that a technical issue at the Agus switchyard resulted to multiple line outages that eventually affected the entire Mindanao grid. The NGCP immediately implemented blackout restoration procedures at 1:04 a.m. by going on “islanding operation,” which is the isolated operation of certain portions of the grid whenever there are disturbances in the grid. “NGCP’s Area Control Centers in Mindanao immediately performed islanding operations and restored power transmission services to their respective areas,” the agency said. The NGCP clarified that the entire Mindanao grid was not completely without power for a continuous eight-hour period. It said that its islanding operations restored a stable supply of power to areas beginning 1:37 a.m., or just a little over half an hour after the disturbance was monitored. All NGCP transmission facilities were energized and restored by 7:52 a.m.

EGAZPI CITY—Widely regarded as prime mover on climate change and an early adoptor of disaster preparedness and response measures that gained Albay worldwide fame, Gov. Joey Sarte Salceda acknowledged having been hurt by graft charges alleging he misused provincial calamity funds during the 2009 Mayon volcano eruption. Salceda is at the homestretch of a 17 yearlong service in the government and his last term as governor of a province that has received P47 million from the controversial Malampaya funds, according to documents from the Commission on Audit (COA). Salceda’s chief of staff, Carol Sabio, also a lawyer, said there is nothing controversial about the COA looking into where the P47million relief assistance for Mayon evacuees in 2009 went, the state auditors having merely looking to validate from the recipients the reports submitted by Department of Social Welfare and Development provincial head Yolanda Guanzon. Guanzon left the country in January and her departure fueled speculation she was trying to flee. The social welfare executive returned just last week, in time for the filing of the complaint initiated by the Volunteers Against Crime

and Corruption, or VACC. Sabio said provincial executives did not know the funds were from the Malampaya since this was not mentioned even by Malacañang. Nevertheless, the lawyer asserted the funds have been duly accounted for no matter the allegations of certain barangay executives in Legazpi City who allegedly told the COA they did not receive the hundreds of bags of rice Guanzon mentioned in her report. Salceda has tagged the filing of malversation charges against him and Guanzon before the Office of the Ombudsman last week was politically motivated. Guanzon pointed out the complaint was not filed by the COA but by the VACC. A government executive said the barangay executives who gave notarized testimonies to the VACC in Legazpi City were fetched and serviced by a vehicle owned by the city government. In briefing the local media, Salceda acknowledged being hurt by the charges and refuted claims of so-called ghost disaster relief operations during the 2009 Mayon volcano eruption. The eruption in October last year led to mass evacuation and five Albay lawmakers, including two from Ako Bicol party-list, joined forces in calling for a consultative assembly last November. The event

was held at the National Economic and Development Authority regional office where the provincial officials lashed at Salceda and officials of the Philippine Institute of Volcanology and Seismology (Phivolcs). The controversy was over whether or not the volcano would erupt. Led by Rep. Fernando Gonzalez (Albay, Third District), the lawmakers said the Philvolcs and Salceda’s Mount Mayon status reports succeeded only in generating fear among the more than 50,000 evacuees in evacuation centers and their relatives living abroad. They allegedly said the provincial government continued to receive disaster-relief assistance to the prejudice of the evacuees who were barred from returning home. The lawmakers questioned why Mayon residents within the 7-kilometer or 8-km danger zone were included in the forced evacuation when only the 6-km permanent danger zone was affected by the eruption. In the case of Legazpi, Mayor Noel Rosal claimed he did not allow residents in five Legazpi barangays to evacuate because they were within the 8-km danger zone and excluded from the Phivolcs report of the affected areas. Salceda was seen returning to legislative work and likely run either in the Third or Second District of Albay

where a P4-billion Southern Luzon (Bicol) International Airport project in Daraga town that he sponsored is located. The lawmakers claimed they joined forces to prevent Salceda from getting a congressional post, according to Gonzalez who is seeking reelection. He said the lawmakers and his allies, including Rosal, would support Salceda if the governor would run for a Senate post instead. Salceda never lost in any provincial political contest during his 17-year political career. Salceda supposedly called Rosal around 4 p.m. the day after the filing of the graft case was reported on April 12. Salceda allegedly accused the city mayor as among those behind the VACC-initiated complaint. “I know of your role and that [of a] Legazpi businessman whose brother is running for congressman in the Second District as among those behind the VACC complaint,” a source quoted Salceda as telling the city executive. The source said the governor made the call at the capitol main building in front of the Divine Word College with about six other people with him. Efforts to contact Rosal proved unsuccessful. He would neither answer text messages nor a request for an interview.

Military turns over peace and security operations in Aklan to provincial police authorities B R A

‘IKEBANA’ HOBBY Retired teacher Laurence Maylem displays her skills in flower arrangement, better known as Ikebana, right in the backyard of the Minerva Farms. She uses homegrown and wild flowers for her arrangements. LEONARDO PERANTE II

HE military has declared the province of Aklan ready for further economic development as it handed over the peace and security operations in the province to provincial officials and the police. The turning over of the peace and security efforts was made through a joint memorandum of agreement (MOA) that was signed by Gov. and Chairman of the Aklan Provincial Peace and Order (PPOC) Florencio Miraflores, Maj. Gen.Rey Leonardo Guerrero, commander of Army’s Third Infantry Division and Chief Supt. Josephus Angan, regional director of Philippine National Police Regional Office 6, who was represented by Senior Supt. Iver Apellido, officer in charge of the Aklan Provincial Police Office. “It is the long desire of the people of Aklan to move their province toward sustainable development,” Col. Eric Uchida, commander of Army’s 301st Brigade, said at the signing ceremonies. With the handover of the internal peace and security efforts, the lead role in maintaining internal peace and security in Aklan has

been taken over by the Aklan PPOC. The military said the uninterrupted peace and security situation in Aklan has paved the way for the entry of investors and boosted the tourism atmosphere in the province that, in turn, contributed to even more stability in Western Visayas. Nevertheless, Guerrero gave assurance that the Army in the region remains strongly committed to its mission of establishing a peaceful and secure environment conducive to long-term sustainable regional economic development. “We must work hand-in-hand and continue to foster the spirit of the bayanihan in our efforts to end the insurgency and allow lasting peace and stability to thrive in the region,” Guerrero said. A klan was declared as an insurgenc y-free prov ince in 2011 and its peace and security situation since then continued to improve as manifested by the absence of violent incidents attributed to the rebel New People’s Army. The peaceful environment boosted the socioeconomic, agro-industrial and infrastructure development activities in the province.

A10 Monday, April 27, 2015

Opinion BusinessMirror

editorial

When cash isn’t king

friend recently said that every time he reads about politics in a newspaper, he feels insulted. Yet, even in the financial and business world, stories emerge that insult us. Perhaps, because we are indoctrinated by our own business and economic culture, we are somewhat shocked by stories that banks are waging a war against cash. We are insulted, as any business-minded person should be, that we live in a financial world that is so completely upside down that governments are paid to borrow money through the use of negative interest rates. We are insulted that governments are now issuing 100-year maturity debt. There are several major nations that could have issued these 100-year bonds in 1915 that no longer exist today. The idea that the right to hold physical cash money can be taken away from us honestly shakes the foundation of what we believe is a basic human right. The argument that holding cash can be used by crooks and criminals to further their activities is not a valid reason to remove everyone else’s money from their possession. It is similar to the idea of banning two people riding on a motorcycle because there have been murders committed that way. Chase Bank, the largest bank in the United States and a subsidiary of JPMorgan Chase & Co., is now prohibiting cash payments for payments on credit cards, mortgages, equity lines and auto loans. In certain markets at other banks, depositors cannot withdraw cash without a prior “appointment.” In the former bastion of financial freedom, Switzerland, certain banks are denying its commercial customers access to physical cash for any reason. It must all be electronic transfers. This is being justified by the banks and the government as being for “collective good.” That reminds us of what C. S. Lewis once wrote: “Of all tyrannies, a tyranny sincerely exercised for the good of its victims may be the most oppressive.” When government moves to monitor, control and potentially prohibit the flow of physical cash from one person to another, it is a subtle tyranny that can easily lead to confiscation for the “collective good.” However, there is some good news. The nations with the freest economies are also those economies that perform the best over time. Even China, which presents itself as “central planned,” has been a financial “Wild West” for many years. Its problems have resulted from too much government economic management, not from too much freedom. We like the idea of going to a Filipino department and buying a refrigerator with cash. And we will continue to fight for that right to do so.

PCSO welcomes new chairman Atty. Jose Ferdinand M. Rojas II

RISING SUN

HE Philippine Charity Sweepstakes Office (PCSO) welcomed last Wednesday as its new chairman former Cavite Rep. Erineo S. Maliksi.

Maliksi, appointed by President Aquino on April 17, will serve up to June 30 this year the unexpired term of former PCSO Chairman Margarita P. Juico, who resigned from the agency for personal reasons in May 2014. With his experience in administration and policy-making, Chairman Maliksi is sure to be an asset to the PCSO. nnn

ALSO last Wednesday, the PCSO signed an agreement with St. Luke’s Hospital for the At Source ang Processing (Asap) program, wherein a PCSO desk will be placed in the hospital for the convenience of patients who may wish to avail themselves of PCSO assistance. I’ve discussed this concept in previous columns, and I am happy to report that it is finally going to be implemented. Other hospitals have also expressed their willingness to be part of the PCSO-Asap, and we welcome more participants in this program that will extend the PCSO’s

reach to the public it serves. Under the PCSO-Asap, patients or their loved ones may have their requests for PCSO assistance processed right at the hospital’s PCSO desk, which will be manned by a social worker trained by the PCSO. This means would-be beneficiaries no longer have to go to a PCSO office to file their requests, saving them time, effort and resources. This brings PCSO services right to its clientele, and we are optimistic about this program’s viability and success, given that its hallmarks are ease, convenience and speed. nnn

DIRECTORS and managers of the PCSO Manila head office were in Davao City last Saturday for a gathering to mark the agency’s 80th anniversary. The PCSO celebrated the landmark occasion in Manila last October, attended by officials and employees from Manila and the branch managers from all over

the country. Obviously, because of budget constraints, not all the employees nationwide were able to come to Manila. To make the celebration more inclusive, it was decided to hold the 80th anniversary gatherings this year in the regions: Northern and Central Luzon, Southern Tagalog and Bicol, the Visayas, and Mindanao. The PCSO has departments named for each of these four regions under its Branch Operations Sector, and these departments run the PCSO branch offices in those areas. The gathering last Saturday was for the Mindanao region. In attendance were the PCSO board of directors, including newly appointed Chairman Maliksi; directors Betty B. Nantes, Mabel V. Mamba, Francisco G. Joaquin III and Florencio G. Noel; and myself as vice chairman and general manager. The PCSO Mindanao Department is headed by Mario S. Pelisco. Under his supervision are eight managers and their branches: lawyer Ravena Joy Rama-Patalinghug in Davao City; Misael Hamak in Agusan del Norte; Divina Salvacion in Bukidnon; Raul Regondola in Misamis Oriental; lawyer Elvie Uy in South Cotabato; Michele Ryan Mendoza in Surigao del Norte; Analisa Narciso in Zamboanga del Norte and Gloria Ybañez in Zamboanga del Sur. The PCSO now has 44 branches nationwide, from an initial 25 in 2010, when the current board of directors assumed office. The agency

will be opening more branches up to 2016, toward the goal of establishing a branch office in each province. nnn

ALSO, while in Davao City last Saturday, we turned over two ambulances: one each to Davao City and the municipality of San Francisco, Agusan del Sur, under the PCSO Ambulance Donation program. The program aims to equip cities and municipalities with ambulances and rescue vehicles. First-to thirdclass municipalities may obtain a PCSO ambulance once every five years under a 60-40 cost-sharing scheme, while fourth-to sixth-class municipalities may receive them as outright donations. Such vehicles are vital to the operations of municipal health offices and district hospitals, especially those in remote areas. The speedy transport of a patient to a hospital can spell the difference between life and death, especially in severe cases. The public can help support the PCSO-Asap, ambulance donation and other programs by buying Lotto tickets and playing the PCSO’s other games. The agency funds its programs with revenues raised from game operations, and the higher the revenues, the more funds there will be for charitable endeavors that are of great benefit to Filipinos. nnn

Atty. Jose Ferdinand M. Rojas II is the vice chairman and general manager of the Philippine Charity Sweepstakes Office.

Humans win in Google’s ‘Mobilegeddon’

By Katie Benner | Bloomberg

OBILEGEDDON is here! At least that’s what the headlines are saying. Google, for its part, prefers something less Michael-Bay-disasterflick, and is calling it “the Mobile Friendly update.” Basically, Google is updating its search algorithm to take into account how well any company, institution or individual’s web page functions on small mobile screens as part of its secret sauce for determining how highly it ranks the page in search results.

The folks at Search Engine Land point out that this only affects searches on smartphones, not tablets or desktop computers. Web developers have known about the change for weeks. Yet, the shift has caused all sorts of hand-wringing among web users and observers who fret that it might hobble their businesses or activities. With the algorithm change, USA Today notes that: A web site ranked No. 1 or No. 2 in a search query could hypothetically fall to ninth or 10th place, causing a loss of thousands of dollars in potential business, says independent analyst Greg Sterling. I think that this is a pretty good change. If Google’s mission is to bring us the most useful in-

formation in the world, it seems logical that on very tiny screens the design and functionality of a site would be as much of a factor in its usefulness as the actual information contained on the page. If I search for, say, Metropolitan Opera performance times, I’d rather get the information from a site that loads well on my phone, even if it’s not the site operated by the Met Opera, as long as the data is accurate. This is one of those things that just makes sense. So if this mobilegeddon update affects 40 percent of the top web sites—as USA Today reports that it does—I think that’s fine. It’s all the more incentive for those web sites to get it together and create a mobileresponsive desig n t hat ma kes

their results usable to me. But I’m sure that the business owners who fell down in the search-result rankings on Tuesday are less happy with the change. For example, what if a pizza place that was once my top search result no longer shows up on my phone because it doesn’t have a mobile-optimized site? That could feel wildly unfair if the owner thinks that her restaurant is the most relevant to my search because it’s the closest to my house or has the best reviews. (Weighing all of these factors, customers might think the results are unfair, too.) Even scarier for our slice purveyor: What if Google’s own restaurant results get the job done in the most mobile-friendly way? Wouldn’t that feel like Google was taking advantage of its power to harm this business? T he mobi le -sea rc h c ha nge comes on the heels of European regulators sending Google a Statement of Objections that accuses the company of anticompetitive behavior. The European Commission said that the company systemically fa-

vored its Google Shopping product in its general search results pages. “The commission’s preliminary view is that such conduct infringes EU antitrust rules because it stif les competition and harms consumers.” Google argued (convincingly) that it has not actually harmed online-shopping rivals as much as those rivals claim. The compa ny a l so a rg ues consu mers have lots of e-commerce choices and they still get a good digitalshopping experience. Mobilegeddon offers a small window onto why the EU’s seemingly strong case against Google might be more tenuous. At the end of the day, what makes for a good search result is a somewhat subjective notion, whether you’re Google or a vendor or a user. That’s why not everyone will get behind some subjective decisions—like advocating mobile optimization—that seem on their face like a good idea. Creating the most relevant search is a process that relies on opinions of what’s important. It’s not truly objective. And it always create winners and losers.

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Monday, April 27, 2015 A11

Asean meetings a chance to deepen ties with Europe By Cecilia Malmström

European Commissioner for Trade

HIS weekend’s Association of Southeast Asian Nations (Asean) meetings in Kuala Lumpur and Langkawi, Malaysia, are vital for this region. But they are also very important for the ties between Asean’s 10 countries and the 28 countries of the European Union (EU).

The relationship between our regions is an essential one. The EU is still today the world’s largest economy. But the rise of Asia is the most important economic and political story of our time. And the countries of Asean are playing a central part in that rise. As a result, Asean, taken together, is the EU’s third trading partner outside Europe. And, if we exclude Asean’s internal trade, the EU is this region’s second-largest partner after China, but before Japan and the US. But we need to make this relationship even stronger. I became EU Trade Commissioner in November last year, convinced that one of my central priorities will be to reinforce Europe’s trade ties with Asia. In this regard, I see it as a clear goal to create a free-trade zone between the EU and Asean. We should get rid of tariffs and free up services, investment and procurement markets. We should set up strong common rules in areas like intellectual property, investment protection and sustainable development. This would strengthen the economy and business environment on both sides. But as we have seen in the past, negotiating a modern and ambitious regionto-region free-trade agreement is a challenging task. Thus, we need to make sure we get it right. Therefore, I have this weekend suggested to my Asean colleagues that our senior officials meet before the end of the year to see how we can take this process forward. Overall, the political leadership on both sides now has a responsibility to work toward deepening our economic ties. That’s happening in three ways: First, I have been in Kuala Lumpur this weekend for an annual meeting on trade with Asean Economic Ministers. It is a longstanding and useful tradition that I am very happy to continue in my first year as EU trade commissioner. Second, Asean is working to establish the Asean Economic Community by the end of the year, freeing up the movement of goods, services, capital and labor between its 10 member-countries. But the creation of the community is not only an important step toward closer integration in Southeast Asia. It will also deepen this region’s ties with us in Europe. The EU knows from experience that a more integrated market here in Asean is also an advantage for our exporters and investors in this region. The creation of the European Single Market in the 1990s was not only a huge step for Europeans. It also benefited our trading partners because it was suddenly so much easier to do business with our continent as a unified bloc. That is why we expect that a deepened Asean community will also

We should get rid of tariffs and free up services, investment and procurement markets. We should set up strong common rules in areas like intellectual property, investment protection and sustainable development. This would strengthen the economy and business environment on both sides. But as we have seen in the past, negotiating a modern and ambitious region-to-region free-trade agreement is a challenging task. Thus, we need to make sure we get it right. create prosperity back in Europe. Our experience also means that the EU understands the challenges Asean is facing. Building a closer union is not easy. We have been working on it for 60 years and we are still not finished. For that reason, the EU is a strong supporter of Asean’s work, while fully respecting the unique “Asean way” of working together. As I’ve mentioned, the third way in which we are deepening our ties is by building a zone of free trade between our two regions. This is our longstanding ambition. The first talks to negotiate a broad agreement between Asean and the EU were launched in 2007. It was subsequently decided to pursue negotiations between individual Asean countries and the EU, and last year we concluded a highly ambitious FTA with Singapore, marking an important reference point for negotiations with other Asean members. This year we hope to conclude a second groundbreaking agreement with Vietnam, which is one of the region’s most populous and fastest-growing economies. We are also talking to other Asean member-countries to assess the next steps forward with them. The realization of the Asean Economic Community offers us a good opportunity to consider how deeper economic integration within the region can support our objective of an FTA between Asean and the European Union. At the same time, we will assess how bilateral FTAs between the EU and individual Asean countries can become the building blocks of such a region-to-region agreement. This is an ambitious agenda of cooperation and negotiation. But in a world where the connections between economies are just as important as the transactions within them, those efforts are worth it. If we want a prosperous future for Southeast Asia and for Europe, we must work together to achieve it.

More you know, less you show Teddy Locsin Jr.

Free fire

ORE than wine, time improves talent. Filmmaker Frederick Wise, 84, is in complete denial about his age. He doesn’t have time to fret about it. “I just keep working intensely.” A lifetime—far from over in his view—of great filmmaking is distilled by him into this wry piece of practical for young filmmakers: Marry rich. The hardest part of filmmaking is raising the money. Lewis Lapham, who interviewed the personalities here and wrote this piece for the New Yorker, asks why old people are better at what they do. The short answer is Samuel Johnson’s: “Depend upon it: When a man knows he is to be hanged in a fortnight, it concentrates his mind.” Old age is a death sentence soon to be carried out. The great Japanese painter Hokusai said at 75 that he was manic about drawing at the age of 6; by 50 he had painted and published more designs than he cared to count. He didn’t care to count them because, he said, “Everything I made before 70 is not worth counting. At 73, I began to understand the true structure of nature: grass, trees, fish and bugs. At 80, I shall know more. At a 100, I will be marvelous. At a 110, every point I make, every line I draw, will be instinct with life.” This observa-

tion of Hokusai was first pointed out by Herman Broch, author of the unreadable masterpiece The Death of Virgil, in his introduction to Rachel Bespaloff’s 20-page book On Force, which glorifies violence. So, you can imagine the Nazi origins of the observation that aging is distillation if, that is, the win is genius to start with. If it isn’t, then aging leads only to dementia, be it clinical or, what is worse, self-induced, as when rich men imagine they are sexually attractive to young tarts and feel a compulsion to impart wisdom to their young employees at annual get-togethers. Lewis himself writes that he fell in love with writing at age 6 but started seeing progress only in his 50s, when it took only six or seven drafts to find the right words. He writes by hand. He says that printed words on a computer screen always look good when the writing could still

UK should say good riddance to HSBC

HERE’S a saying used to call the bluff of someone who threatens to flounce out of the room during an argument: “Don’t let the door hit your backside on the way out.” That sums up how the UK should react to HSBC’s threat to move its headquarters to a different country. Europe’s biggest bank is sulking because British authorities have increased the levy on financial institutions domiciled in the nation. Standard Chartered, another bank that currently makes its home in London but most of its money in Asia, is also contemplating upping for new pastures. There’s nothing wrong with companies reviewing their affairs, includ-

ing which country they choose to hang their brass plaque in. But threatening to leave in a fit of pique every time there’s a threat of increased regulation or a nudge in taxation smacks of teenagers threatening to run away from home because a curfew is too early or performing household chores are too tedious. And HSBC, in particular, is becoming a bore by regularly trying to

blackmail the UK authorities. It may make sense for HSBC—which started life a century-and-a-half ago as the Hong Kong and Shanghai Banking Corp.—to move. It’s been based in London as a result of its purchase of Midland Bank a bit more than two decades ago. But it made more than 78 percent of its 2014 profit in Asia, compared with just 3.2 percent from its European operations; the figures for 2013 were 70.3 percent and 8.1 percent, respectively. HSBC seems to hold the mistaken belief it’s doing the UK a favor by hanging its hat in London. The levy has been increased eight times since it was in-

troduced in the middle of 2010, which feels excessive—until you remember HSBC’s Household Finance unit played a leading role in the US subprime mortgage debacle that triggered the global financial crisis; that UK banks paid billions of pounds in fines for malfeasance in everything from rigging Libor to misselling insurance to their retail clients to arranging dodgy swaps for their corporate customers; and that the easiest way to reduce your levy payment to the UK government is to shrink your balance sheet. So the $1.1 billion that HSBC paid to the banking levy fund last year can be regarded as

be made better. At 79, writes Lewis. With hundreds of essays and 10 times that number of drafts, Lewis understands that failure is its own reward: In the effort to keep closing the gap “between imagination and achievement.” That’s deep but true; I leave it to you to figure out why. Old man John D. Rockefeller was more obsessed with learning new things than making more money. Warren Buffet and Rupert Murdoch never stop asking, “What? What? W hy? W hy?” Sophocles wrote Oedipus at Colonus at 90. The American journalist I.F. Stone trashed the American war in Vietnam in the mind of every thinking American using only a four-page mimeographed newspaper he put out himself. He had the entire US government at his feet, which rather made it easier for him to kick it in the teeth and which, of course, he did. He went on to study ancient Greek in his 70s. And, if I recall correctly, wrote about Plato and The Republic or Socrates, and asking the right questions. The Vietnam War was so long ago. T. Boone Pickens, 86, says, and I have distilled it better than Lewis, yes, at 86 he has more now of what he had less of when he was young: which is, to say, experience. He will retire in a coffin. Justice Ruth Bader Ginsburg, 81, celebrated in this week’s Time magazine, modestly says that the advantage of seniority is that she gets to speak sooner when a case comes up to the Court for oral argument. She isn’t just a liberal;

she is an unanswerable liberal that conservative justices prefer to sidestep than take on. The moment she feels her mind slipping, she says, she will go. Biologist E.O. Wilson, 85, says the older he gets, the bigger the questions he tackles. Advancing age just sharpens the mind. Carmen Herrera, 99, says she sold her first painting at 89 without a trace of bitterness. What happened was that when she was young, she showed a painting to an expert and he said, “Madame, you have many beautiful paintings in this one work.” She thought about that, and started taking things out of her paintings. She hasn’t stopped. Because less is more? But only if you have more of what’s good to start with can you strip down to the less, which is better if not great. Of course, if you have nothing to start with, don’t waste other people’s time. And Tony Bennett at 88 released an album of duets with Lady Gaga. It is No. 1 on Billboard. “When you have a perfect show where every song works,” he said, “pull out 15 minutes. Don’t stay onstage too much. Know when enough is enough. I’ve learned that less is more. And it’s not because of age. It’s just the right thing to do. Do not overstay your welcome.” Let us all keep that in mind. And if you are not talented to start with, be it in painting or public service, don’t step up to the stage; or if you’re on stage and run out of ideas, it is never too soon to stop and go.

not-particularly-excessive compensation for its role in the appalling behavior of the financial sector in recent years. It’s also a small price to pay for enjoying the advantages and support of the legal and accountancy framework that accompanies doing business in Europe’s leading financial center. The argument that HSBC is motivated in part by the risk the UK might quit the European Union, cited by the Liberal Democrat Chief Secretary to Treasury Danny Alexander, is a red herring. The UK election is two weeks away, with the Conservative Party pledging a referendum on EU membership if it re-

tains power and polls showing neither it nor the opposition Labour Party with any clear lead. It’s unlikely in any case that HSBC would ever shift to Paris or Frankfurt; and even staying in a London base that’s outside the EU would allow the bank deeper financial ties with Europe than headquartering in Singapore, Beijing or, more likely, Hong Kong. Hong Kong, in fact, would welcome HSBC with open arms. The Hong Kong Monetary Authority said it would have a “positive attitude” toward a relocation. So let’s wave HSBC on its way and wish it well. Good-bye—and good riddance. Bloomberg News

2nd Front Page BusinessMirror

A12 Monday, April 27, 2015

Manila to study AIIB governance before joining B C U. O

HE national government’s commitment to the China-led Asian Infrastructure Investment Bank (AIIB) remains contingent upon the bank’s governance structure. This was stressed by National Treasurer Roberto B. Tan, who will be attending the AIIB meeting in Beijing, China, this week. In October 2014 the Philippines signed a nonbinding memorandum of understanding to join discussions for the establishment of the AIIB. The country is among 21 Asian countries that are participating in this process. “How will it be governed and how responsive it will be to the needs, in particular, of the poorer members of the AIIB?” Tan said. Tan explained that, apart from the role of the AIIB Board of Directors, there is a need to ensure that transparent procurement processes are followed, as well as placing safeguard measures for projects. These safeguard measures are to be put in place to protect the environment, and as means of social protection for borrowing countries. Multilateral development banks (MDBs), like the Asian Development Bank (ADB), have a Safeguards Policy Statement (SPS) that contains the bank’s measures to ensure that negative impacts of

its development intervention in its member-countries are mitigated, if not totally avoided. The SPS policies are usually a bone of contention between MDBs and civil-society organizations that are working to protect the rights of communities in areas affected by MDB projects. “[It’s not only] the role of board of directors [but] how do you ensure that projects are [above board], the priorities [for projects], at the same time [if] they have the necessary conditions, like protecting [the] integrity of procurement, environment and social protection. All of those will be [and] are being discussed,” Tan said. The AIIB aims to position itself as an alternative funding source for infrastructure projects in Asia. Last year ADB East Asia Department Director General Ayumi Konishi said the infrastructure needs of Asia are expected to double to around $800 billion a year in the 2011-to-2020 period, from around $400 billion a year in the preceding decade. But Konishi said multilateral institutions, like the ADB, the World Bank, International Finance Corp. (IFC), and other existing organizations could only provide, at the most, $50 billion a year. This leaves around $750 billion worth of infrastructure projects C  A

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Private economists cut 2015 inflation forecast P B B C

RIVATE economists in the country continue to lower their inflation expectations this year, owing largely to the huge reduction in oil prices as compared to last year. Results of the Bangko Sentral ng Pilipinas’s (BSP) survey on privatesector economists for March 2015 yielded lower mean-inflation forecasts for this year and next year, relative to the results in the previous quarter ending December 2014. Private economists in the country now see inflation for 2015 hitting 2.7 percent, lower than the 3.6 percent assumed in the previous quarter. Meanwhile, for next year, the ana-

Bangko Sentral ng Pilipinas Governor Amando M. Tetangco Jr. said inflation in April will likely settle between 1.9 percent and 2.8 percent.

lysts’ forecast declined to 3.3 percent, from the earlier 3.7-percent mean forecast last quarter. The inflation forecast, meanwhile, for 2017 inflation was at 3.3 percent. All forecasts are within the government’s inflation-target range for this year, next year and 2017, which is at 2 percent to 4 percent. “The analysts attributed their lower inf lation ex pectations mainly to the decline of international oil prices, which led to the reduction in minimum jeepney fares and flagdown rate of taxis for the entire country,” the BSP said. In the first quarter of the year, actual inflation averaged 2.4 percent, as inflation stayed benign during the three-month period owing to lower oil and rice prices. For next month, the central bank expects inflation to still remain within the lower band of its annualtarget range, mostly still due to lower

rice cost, which has a heavy bearing on the country’s consumer price index basket. In particular, BSP Governor Amando M. Tetagco Jr. said inflation in April will likely settle between 1.9 percent and 2.8 percent. “Price pressures may come from the upward adjustments in local pump prices of oil and power rates. However, the higher energy prices may be offset by the continued decline in rice prices,” the central bank governor said. In terms of their policy guidance, Tetangco said they will continue to watch developments, and are willing to take policy action to ensure targets are met. “Moving forward, the BSP will continue to monitor emerging-prices trends and adopt appropriate policies in line with its commitment to the inflation target and in support of the country’s growth objectives,” Tetangco earlier said.

Tremors hamper Nepal search for survivors C  A

Climbers stranded MANY climbers remain stranded in two camps above the Everest base camp, said Zimba Sherpa, a former president of the Nepal Mountaineering Association. The

injured and survivors are being airlifted from the Everest base camp to Kathmandu, according to A ng Tsher ing Sher pa, the current president. A web site backed by the International Committee of the Red Cross listed hundreds of foreign

tourists in Nepal who remained missing. Google said it had started a “person finder” tool to help track people missing in the earthquake, and would commit $1 million to its response. Daniel Fredinburg, an executive with Google’s privacy team and self-

described “adventurer/engineer,” died of a head injury on Mount Everest, his sister wrote on the socialmedia site Instagram. He was traveling with the UK-based expedition company Jagged Globe, which said in a statement on its web site that S “T,” A