Painting Pansy Ho

Delta Bridges March-April 2009

Fair Canton Shenzhen sideways State of the Delta ISSN 2071-8829

m

Pansy Ho

Su Ma w b ca w sc u w. r de ib Sp lta e br t eci id od a ge a l s.c y o !

Painting

Delta Bridges South China Business Magazine Director: Pedro Lobo Editorial Editor-in-Chief:

Christopher Cottrell

Executive Editor: Lena Gidwani

Editor-at-Large: Charles Gutzlaff

Contributing Writers:

Apple Mandy, Caroline Chan, Kelly Leung, Kevin Tsang

Contributing Photographers: Xuejiao, Miss O, Tom Carter

Columnists:

Melody Chu Mei Feng, Martin Yan

Art & Design Art Director: Ms. Kat

Designer:

Francois Vadeleux Artist: Anais Zhang

Operations: President:

Peter Hourle

Publisher: JJ Verdun

Sales Manager: Harry Lin

sales@deltabridges.com

Sales & Marketing assistants: Stella Lau Mailing address: 3, Calcada do Quartel Coloane, Macau E-mail: info@deltabridges.com

The other side of the coin

It’s one of those mornings when the waters between Macau and Wanzai port in Zhuhai are stirred like milk tea. There is a strong breeze and the water is choppy.

On the ferry-boat between Wanzai port heading into Macau’s western port near Ponte 16, several buildings define the horizon. The steeple of Penha Hill.

The Macau Tower. The Bank of China building. The golden lotus Grand Lisboa. The buttery yellow Sofitel Hotel at Ponte 16. Off the boat, past the quick queues, one is deposited into the belly of the Old Macau Peninsula.

Across the street into the back alleys, the smell of drying codfish and freshly baked cinnamon cookies waft in the air.

The streets are narrow and wend towards the start of the Si Ma Lu area.

Soon, one encounters tourists and all those stands of sweet meats and hawkers with scissors ready to slice off samples. This is classic Macau. Of course, in homage to the New Macau, we tip our hat in our cover story to paint a portrait of Pansy Ho and her progress with the MGM Grand, Shun Tak and more.

Indeed, we hope we’re living up to our aim of covering the entire Delta from all vantages, from the historic back-streets to the corridors of corporations like Shun Tak. For a flavor of the current Macau tourism and business market, in this edition we have an interview with João Miguel Costa Antunes, the Director of the Macau Government Tourism Office. We also have a feature with Anna Lam, the President of the Central Macau Rotary Club.

In our property section, John Nichols from Jones Lang LaSalle Macau gives a little insight into the start of real-estate trends in 2009.

And in our people section, we catch a quick look at Macau Chief Executive Edmund Ho — who will be finishing his 10-year term of the Macau SAR this December.

Speaking of our people section, at a special ceremony held by the American Chamber of Commerce in January, we got a glimpse of the charity work that businessman Mark Ndesandjo has been doing for orphans in Shehzhen. Mr. Ndesandjo recently came into heavy limelight when it was learned that he is US President Barack Obama’s half-brother. Mr. Ndesandjo just wants the quiet life here in Southern China teaching music to orphans and we admire him for that.

What else is on in this edition? A report on the financial state of the Delta and South China prepared by the American Chamber of Commerce in South China.

What do an essay about the upcoming April Canton Fair in Guangzhou, an interview with a Shenzhen wine lounge owner and a report on Guangdong property have in common? They show signs of financial life in the Delta. You don’t need us to re-hash the hard figures that have been in the news as of late.

That’s not really our project. We’re concerned with the people and trends that are getting things going again: like the recent announcements about the start of construction on the Hong Kong-Zhuhai-Macau bridge. The creation of the new trade zone between Shenzhen and Hong Kong. The creation of multiple-entry visas for Shenzhen residents to enter Hong Kong. The other side of the coin.

Christopher Cottrell Editor-in-Chief

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Contents 26 40

30 18 People 18 Edmund Ho’s executive action

Features 24 State of the Delta report

18

Foreign friendly Zhuhai Party Secretary Gan Lin

26 Shenzhen sideways

19

Zhuhai Tourism Bureau’s San Zhang is a tour de force

28 Re-tuning Macau MICE

19 Roel Bruysters, Kingold property 20 Humbly Mark Ndesandjo

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30 Southern sisters

Mar-Apr/2009

• Delta Bridges

46 36 Cover Story 36

Painting Pansy Ho

Property 40 Tianhe Trend-spotting 42 Shenzhen real-estate redux 43 City of beams

Briefings 10/ In the news 11/ Go figures

12/ Delta focus 14/ 9+2 watch

Business Calendar

15/ Business Calendar: Macau green business and the 105th Canton Fair

Chamber Made

16/ Italian property seminar, German charity ball 20/ Pearl Production: Fair Canton

Lifestyle

44/ GZ cocktail hours 45/ Grand suites 46/ Exec exercising

Travel

48/ 15 hours in Qingdao 48/ Rock-on at Max ‘09

Columns

43/ Yan’s Guangdong by Martin Yan 50/ Delta Pearls by Melody Chu Mei Feng DELTA BRIDGES

Mar.——Apr. 2009

Christopher Cottrell

In the news

António Correia wants to give every child in Macau a free computer

Tech for tots Free computers for every Macau child Hugo Chavez threw it on the floor to test it,” says António Correia as he hold up a tiny computer the size of a purse. Mr. Correia then throws the small computer on the ground and picks it up.

“See, it is kid friendly.” Kid friendly for sure: this high-tech toy is for tots. For every schoolchild, actually.

At a seminar sponsored by Macau based Tech-Ed at the Macau Tower, Mr. Correia announced that he was looking to bring these computers to every Macau classroom.

He’s already put 500,000 of these computers into schools across Portugal. And in a deal with Venezuela, he will put 1 million computers in that country. “But in Portugal the kids can take them home with them. In Venezuela they will stay in the schools for safety reasons,” says Antonio Correia, who is the head of Projecto Magalhães, a Portuguese non-profit program to bring high-tech classrooms across the world.

“The idea is that computers bring information and better education. By improving technical literacy at an early age, people can become smarter and innovative…this will help the overall economy and bring knowledge to areas where information is

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hard to access.”

Tony Sim concurs. Mr. Sim is senior sales manager for Julong Educational Techology Cot Ltd. in Shenzhen. For his presentation, Mr. Sim illustrated the exciting use of e-boards, or interactive marker-boards. Essentially, the marker-boards can be touched with a finger, open up photo-slide shows or youtube videos. “They get people paying attention and can be plugged into children’s computers so the kids can participate directly from their desks.” Interesting stuff.

Of course, Correia’s Projecto Magalhaes plan is financed via Telecoms and charity and the little computers are sold for a song.

They are 50 Euros, 25 Euros or free. “This year alone we may have them in the hands of as many as five to six million children worldwide.” Noted Correia, “Macau is our first place to launch into the China market….and we are considering doing mixed manufacturing, making what we can in Portugal and maybe other pieces in other countries.” He added, “Yes, we might be looking at Zhuhai’s hi-tech sector to help with the Macau project.

But we are just really starting here.”

Go figures

Shoring on Hengqin Chinese Vice President Xi Jinping recently pledged his support for Macau and education by kicking off the development of Zhuhai’s Hengqin Island with a university relocation plan. “Mainland China has decided to develop Hengqin Island. It needs to have full preparation and preliminary work,” to activate the island’s development, said Vice President Xi Jinping during a recent trip to Macau. He noted that the island’s development and the “relocation of the University of Macau” are in progress.

The project is part of prior news announced by the National Development and Reform Commission for the Pearl River Delta’s 15-year development. Currently, Hengqin is reached from Macau via the Lotus Bridge Checkpoint on the Cotai Strip.

The university move is also congruent with the University of Macau’s 10-year plan to expand the campus, which suffers from insufficient space, say reports in the Chinese media.

The move would mark the first southern shift for Zhuhai’s collection of universities, the majority of which are in the city’s northern Tangjia district.

Hengqin, which is roughly three-times the size of Macau, currently has a population of roughly 3,000 people and used to consist of two mountains until filled in with reclaimed land to forge one island. In recent years, there has been discussion of expanding resorts and luxury property on Hengqin.

News of the university project could signal resolve to commence these projects, many of which are currently operating in Macau.

After all, Vice President Xi Jinping’s words carry gravity.

Many analysts expect him to be the next President of China after Hu Jintao. In other words, development is about to seriously shore here in the next few years.

Currently, the island is defined by a windmill farm, an eastern coast of popular oyster farms and an open beach on its southern coast.

Sino-German green sewage plant for GZ A new Sino-German sewage treatment plant has been unfurled in Guangzhou to make sludge a useful cement product. . Commented National Development and Reform Commission industrial development chief Liu Ming, “Many European countries and Japan have gained rich experience in using cement kilns for handling sewage sludge. The measure can be economically, ecologically and socially good.” The treatment plant is capable of processing 60 percent of Guangzhou’s sewage and will add to the city’s attraction and public health. The sewage will be handled by Guangzhou Heidelberg Yuexiu Cement Co. Each day, they can handle 600 tons of the city’s reported 950 tons of daily sludge output. In essence, the plant will further turn the sludge into alternative fuels for cement without extra ash emissions. The business is a joint venture between Hong Kong’s Yuexiu Group and Germany’s Heidelberg Cement.

RMB 30 bill for GD rails Guangdong province is expected to pour RMB 30 billion into 21 railway projects this year. The investment, aimed at 21 ongoing railway construction projects (such as the Zhuhai to Guangzhou light-rail) will create upwards of 300,000 jobs. The money will increase Guangdong’s current length of railways from 1,800 km to 4,200 km, according to reports in the Chinese media. Overall, these projects are projected to use 1 million tons of steel and 6 million tons of cement.

Might the cement come from the Guangzhou Heidelberg Yuexiu Cement Co.?

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11

Delta focus

Bridge design

C

onstruction is to start at the end of this year. And make the commute time from Hong Kong to Zhuhai just 30 minutes. That’s right: the much talked about Hong Kong-Zhuhai-Macau bridge is getting more attention. The preliminary design and investigation have been signed and core co-coordinating group is gearing up into action. The five-member bridge consortium consists of the CCCC Highway Consultants Co. Ltd, COWI A/S of Denmark, Ove Arup and Partners Hong Kong Ltd., CCCC First Harbour Consultants Co. Ltd and the Shanghai Tunnel Engineering and Rail Transit Design and Research Institute. The bridge is priced tagged at RMB 72.6 billion and has a design life expectancy of 120-years. The contract signing pertained to the main body of the 30-kilometer bridge. When completed it will house a six-lane expressway and have two artificial islands to support it on the Hong Kong and Macau sides. For Zhuhai, it will land into the Gongbei

border area with Macau. Sections of the bridge will have underground tunnels so as not to impeded maritime container vessels headed for Guangzhou and Shenzhen ports.

Of the design signing, Premier Wen Jiabao said, “I want to make it clear that the financing problem of the Hong Kong-Zhuhai-Macau bridge project has already been resolved.” Construction of the main section of the bridge will be funded by the Central Government. Guangdong province will pay RMB 7 billion, Hong Kong will pay RMB 6.75 billion and Macau will pay RMB 1.98 billion to cover 42 percent of the cost. The remaining capital will come from loans. Added Premier Wen, “Accelerating the mainland’s infrastructure Premier Wen Jiabao projects concerning Hong Kong is needed.”

I make it clear that the financing problem of the Hong Kong-Zhuhai-Macau bridge project has already been resolved.

— Chinese

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13

9+2 Watch Guangxi, Guizhou and Yunnan. State grid provides for the rest of China. The company is awaiting government approval for their IPO.

Six southern provinces want yuan settlement

Shenzhen direct flights to Bangkok

As a sign of growing ties between Guangdong province and Association of South East Asian Nations (ASEAN), Shenzhen Airlines will begin direct flights between Shenzhen and Bangkok from March 31, according to reports. Flights from Shenzhen will depart Tuesday, Thursdays and Saturdays while flights from Bangkok will depart on Wednesdays, Fridays and Sundays. In a statement, Shenzhen Airlines, China’s fifth largest air carrier, said they were planning to expand direct flights to more ASEAN cities in the near future, including Hanoi and Singapore.

China Railway Construction wins RMB 28 billion bid

China Railway Construction Corporation (CRCC) has announced that its subsidiaries have won new domestic railway construction contracts worth 28.12 billion yuan. CRCC said its subsidiaries won a bid to construct four railways in Guangxi Zhejiang and Gansu provinces, the newspaper said. In recent months, they also won a USD 1.77 billion contract for a railway in Saudi Arabia. CRCC is also noted as the builder of the Shanghai maglev rail.

South China Power grid seeks IPO

China Southern Power Grid is seeking to transform itself into a joint stock company for public listing, said company President Yuan Maozhen. The company, valued at RMB 300 billion, provides power to Guangdong, Hainan,

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Guangdong, Shanghai, Guangxi, Yunnan, Hong Kong and Macau are competing to begin a pilot program that allows the yuan to be used as the settlement currency for regional trade of foreign goods. In December 2008, the State Council announced plans to begin yuan settlement on a trial basis in Yunnan and Guangxi provinces in trade settlement with Association of Southeast Asian Nations (ASEAN), according to reports.

Both the Pearl and Yangtze River Delta regions may also be allowed to use the yuan for trade settlement with Hong Kong and Macau. At the national people’s congress, central bank Governor Xiaochuan said the plan was set to start soon.

Diversifying the Delta

Chinese Premier Wen Jiabao has vowed to assist Hong Kong. At the opening of the National People’s Congress, the Premier announced several pilot plans. “The cooperation between the mainland, Hong Kong and Macau has to be strengthened,” said Wen, adding that Macau’s economy must diversify. He noted that, “The further deepening and expanding of the cooperation between Guangdong, Hong Kong and Macau will be realized.” Wen also said the construction of the Hong Kong-Zhuhai-Macau Bridge, Hong Kong- Shenzhen Airport Express, and GuangzhouShenzhen-Hong Kong Express Rail Link should be speeded up.

Microcredit for Sichuan

A new microcredit loan program has been launched to help survivors of the Sichuan earthquake. Dubbed the “Danone Microcredit Foundation,” is supported by the State Council Leading Group Office of Poverty Alleviation and Development of China, the Grameen Trust and France’s Danone Group.

The Danone Group has offered a total of 20 million RMB to establish a fund to support the project. Six cities and counties were chosen as trial areas for the program, including the cities of Mianzhu and Shifang, which were hit extremely hard by the quake. Under the program, upwards of RMB 168 million will be given out to over 24,000 farmers in the next three years to spur small business.

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15

Business calendar March 27-30

March 26-29

26 Holiday making

27 The carpenters

The Guangzhou International Travel Fair 2009 is one of the leading travel exhibitions for the AsiaPacific region. Upwards of 100,000 visitors are anticipated at this annual event.

The China International Woodworking Machinery & Furniture Raw Materials Fair in Guangzhou features the latest goods for purchasers and suppliers alike with over 60,00 sqm of exhibition space.

Venue: Guangzhou Jinhan Exhibition Centre, 119 Liu Hua Road, Guangzhou For more info: 20-8107 8262 Email: gitf@hfchina.com

Venue: Chinese Import & Export Fair Pazhou Complex, Guangzhou For more info: 20-26080427 Web details: http://cifm.fairwindow.com

March 28-31

March 27-30

28 02 02 05 Shenzhen machine rage

Office lounging

27

The China International Office Furniture show in Guangzhou offers a fullrange of furnishing for big and small companies alike.

This show is being marketed as a “one-stop” purchasing platform for office and commercial furniture.

The China Shenzhen Machinery Association (SZMA) presents the China Shenzhen International Machinery and Moulds Exhibition (SIMM).

This annual show features the latest in advanced equipment and technology in Southern China as part of the China Hitech exhibition.

Venue: China Import & Export Fair Pazhou Complex Guangzhou For more info: http://officefurniture.fairwindow.com

Venue: Shenzhen Convention & Exhibition Center, Fuhua 3rd Road, Futian, Shenzhen For further info: 755-8345-9886

April 2

Macau’s Green business The Macao International Environmental and Cooperation Forum and Exhibition presents three days of green business seminars, forums and exhibitions. From energy saving and carbon trading discussions to “Green Business Co-operation and Finance,” this government led event hosts over 180 exhibitors over

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April 2

8,000 square meters of convention space. Macau organizations, associations and SMEs are encouraged to take advantage of the incentive schemes and join the business matching sessions.

Venue: Venetian Macao For more info: miecf2009@ ipim.gov.mo or www.macaomiecf.com

Fair Play

The 105th Canton Import and Export Commodities Fair presents the best of the best Guangdong province has to offer. This session is again divied into three week blocks

March-April 2009 April 15-19 Phase One, gadgets galore

15

From the latest in hi-fi stereos to washing machines to lights to sewing machines to hammers and pool cleaning chemicals, phase one of the Canton Fair offers a smorgasbord of goods.

Venue: China Import and Export Fair Complex Pazhou For more info: 20-26088888 Email: webmaster@cantonfair. org.cn Web: www.cantonfair.org.cn/en/ index.as

April 24-28

24 Phase Two, home shopping network

The second phase of Canton Fair is geared to a wide variety of consumer goods. Other exhibitors include those in the gifts department and home decorations sector.

Venue: China Import and Export Fair Complex Pazhou For more info: 20-26088888 Email: webmaster@cantonfair.org.cn Web: www.cantonfair.org. cn/en/index.as

Chamber Made

Property presentation The China-Italy Chamber of Commerce (CiCC) recently presented a special seminar that advised foreigners on how to purchase China real-estate. Featured speakers included Zach Wortham, a client service manager for Wang Jing & Co. law firm and Eric Lam, Colliers International general manager for South China. The seminar, held at the Ritz-Carlton Guangzhou, highlighted purchasing of office, retail, hotel and residential properties. Mr. Wortham remarked upon relevant laws and regulations pertaining to procedures for mortgage applications, among other topics. And Mr. Lam remarked upon topics such as future Grade-A office spaces — among them Poly Center, Onelink Plaza, Chanzhen Centre and Goldtak Offices, all to be completed in 2009. Other Grade A properties in Guangzhou include Twin-Tower-West Tower and Taikoo Hui, scheduled to be open in 2010, as well as seven major properties to open in 2011. The TwinTower East Tower is slated to open in 2012. The Spanish Chamber of Commerce also supported the seminar.

March 21

Let’s dance The German Chamber of Commerce is throwing a ball.

On Saturday, March 25, they will host a luxury charity ball at the Ritz-Carlton. Organized by Phi-ton, the gala is also supported by Lufthansa, Mercedes Benz and the Bank of China, the Spanish Chamber of Commerce, Bang & Olufsen, GZ Friendship and the Ritz-Carlton Guangzhou. The evening features a champagne greeting, dance of Debutantes, western dinner, orchestra performance, ballet show and charity auction. More than 300 guests are expected to attend.

Tickets are priced at RMB 1,880 per guest and RMB 2,780 per Deputant. For more information: www.phi-ball.cn

May 3-7 Canton Fair Phase Three: dose of medicine

03

Goods ranging from medicine to running shoes will be in healthy supply during the third phase of the Canton Fair. This exhibition also showcases offices supplies, bags, food and “native produce.”

Venue: China Import and Export Fair Complex Pazhou For more info: 20-26088888 Email: webmaster@cantonfair. org.cn Web: www.cantonfair.org.cn/en/ index.as

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17

People

Executive action Macau’s Edmund Ho, SAR Chief Executive

L

Edmund Ho, Chief Executive of Macau

eading Asia’s entertainment capital is no easy matter.

But that is precisely what the honorable Edmund Ho. Chief Executive of Macau has done for the past 10-years since he was sworn

in into office in 1999. His resume is heady given the rocket-fast changes Macau has witnessed on his watch. The son of prominent Macau business Mr. Ho Yin, Edmund Ho studied business in Canada and quickly rose through Macau business ranks to serve as the General Manager of Tai Fung Bank and Chairman of Macao Urban Transport media. His legacy since being sworn into office in December 1999 to start the official Macau handover from Portugal to China will be one that will keep historians busy for years to come. Namely chronicling Macau’s exciting casino boom and the mind-boggling billions of cash that the city generated in 2007— enough to launch the city over Las Vegas as the biggest casino market on earth. He leaves offices at the end of this year.

Proverbially put: hail to the chief !

Z Celebrating international business

Zhuhai government toasts foreign companies

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huhai Party Secretary Gan Lin (left) and Holger Sindemann (right) CEO of MTU maintenance in Zhuhai recently clinked wine glasses at a special dinner dedicated to Zhuhai’s foreign business community. Organized by the Zhuhai Foreign Affairs bureau, over a 100 foreign business leaders from 18 countries were toasted by the likes of Zhuhai Mayor Zhong Shijian and Deputy Mayor Chen Honghui. The evening was marked by a grand arm-linking and singing of auld lang syne. Each business leader was personally greeted by senior officials and made to feel at home in Zhuhai.

Also, the Zhuhai Foreign Affairs bureau recently welcomed a score of Consul Generals from Guangzhou to open Consul Grove.

The grove is in a special section of Haibin Park in Zhuhai.

People

Tour de force Sam Zhang, Director Zhuhai Tourism Bureau

W

hen the runners of February’s first-ever Zhuhai half-marathon crossed the finish line, Sam Zhang was in the heat of the crowd to cheer them on. In other words, Mr. Zhang is hands on when it comes to promoting the relaxed seaside city of Zhuhai. “It is my honor to welcome foreign friends to come here and experience this city,” he told Delta Bridges while posing with the winner of the race—Stefano Passaliero, an accounting firm owner from Hong Kong.

With news of the Hong-Kong-Zhuhai-Macau bridge, Zhuhai is getting increasing attention as a tourism and healthy lifestyle hub.

The February half-marathon, organized by Macau’s Dr. Robert Kirby, Director of the Kirby Group, the Zhuhai Tourism Bureau and Zhuhai Sports Bureau is a sign of the city’s sprint to success.

Mr. Zhang said, “I am so proud of all the people who came here today to run in Zhuhai and celebrate what we as a green city have to offer.” Well put….

King property Roel Bruytser, General Manager Kingold Property Group

N

etherland’s Roel Bruyster sits down at the table and orders a coffee. It’s a balmy afternoon in Guangzhou, but there is a breeze blowing through the well-kept streets of Favorview Palace — a billion dollar country-club estate in northeastern Guangzhou. At his elbow are managers from a luxury country club and a forthcoming golf club. Favorview Palace Estates is the sort of luxury-estate where the city’s decision makers, foreign and domestic, reside. And it is just one of a dozen major properties the Kingold Group in Guangzhou owns. From luxury estates and private manors, to golf and country clubs, the Kingold Group is considered one of the top in all of Guangdong. Other key properties under their domain include the Guangzhou International Trade Center, Fuxing Plaza and a host of luxury apartments in Pearl River New City.

In other words, Mr. Bruyster is a very, very busy man.

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19

People

Business for charity Mark Ndesandjo for Shenzhen orphans

I like my president too

——Mark Ndesandjo

T

he press-releases from the American Chamber of Commerce in South China were rather humble — Mark Ndesandjo (above, far left) would be attending their benefit at the Interlaken Resort in Shenzhen. But the press got the message clearly. After all, despite his efforts to live a quiet life dedicated to teaching the orphans of Shenzhen music (something he has done for the past 7 years), it is now hard for Mr. Ndesandjo to keep a low profile. Not since his half brother, Barack Obama, became president of the United States. To state the obvious: being Obama’s brother brings a big spotlight. And Mr.

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Ndesandjo is directing this attention by throwing the spotlight on the orphans of China. At the AmCham benefit he played several piano medleys and posed to have his sculpture made — it was paid for by a RMB 4,000 donation by South China AmCham President Harley Seyedin, who is responsible for Mr. Ndesandjo’s appearance at the silent charity auction.

Money from Mr. Ndesandjo’s sculpture, like the rest of the proceeds from the evening, went to to orphans who survived the Sichuan earthquake. Following up on a comment made by Mr. Seyedin, Mr. Ndesandjo said, “I like my new president. too ”

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21

Pearl production

By Christopher Cottrell

Fair Canton Guangzhou production and service highlights

A

s the City of Five rams prepares to welcome the 105th Canton Fair this April and early May, a few interesting production and service trends in the airline, property and automotive sectors are taking a shape. Here’s a sample of a few of them.

In Guangzhou’s airline sector, there have been route cutbacks with All Nippon Airways and Air France KLM. One of the hardest hit, however, is Guangzhou’s home-grown China Southern Airlines.

China Southern Airlines expects its 2008 net loss to be worse than previously expected owing largely to its decision to retire older aircraft whose value continues to decrease in the current economic downturn.

According to a recent Shanghai Stock Exchange filing, China Southern said that its’ 2008 losses, “will, to some extent, have a negative impact on the 2008 financial results of the company.”

The Guangzhou-based carrier also said that their 2008 finance report, to be released in April, will show the “the drastic decrease in air transportation demand impacted by a notable slowdown in domestic economic growth…and high domestic fuel prices.”

Chinese media report that Citibank has predicted that China Southern may post a RMB 1.7 billion loss for 2008—the company profited RMB 1.85 billion in 2007, by contrast.

On the logistics front, FedEx Corp opened their new Asia-Pacific operations in Guangzhou in February with USD 150 million in capital investment. The hub is projected to see 136 flight per week sending 24,000 packages per hour to the Asia-Pacific region and beyond.

Operations are schedule to last 30-years.

In property news: Guangzhou R&F Properties recently had its shareholding ratings raised from 14.9 percent to 15.75 percent by UBS AG. Guangzhou R&F has announced that their February 2009 sales revenues rose 135 percent to RMB to 2.35 billion, an 83 percent spike.

On the streets: Guangzhou Automobile Industry Group Co (GAC) might be launching a 50-50 joint venture with Fiat SpA to roll out Fiats into Guangzhou, according to the Beijing Times. Although Fiat China has said they have nothing to announce at the time being, the company already is selling their Linea and Grande Punto and Palio models.

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Features

By Caroline Chan

State of the Delta AmCham report details regional investment

I

t’s a bitter pill to swallow: investment rates in the Pearl River Delta have fallen 60 percent year-onyear. So says a research survey conducted by the American Chamber of Commerce in South China (AmCham South China). Titled, “Special Report on the State of Business in South China,” the findings further details that investments for 3-year budgets fell 40 percent.

Said AmCham South China President Harley Seyedin, “There are simply fewer dollars to go around, and competition for that smaller supply is very fierce in Asia Pacific.” Mr. Seyedin continued, “Fortunately, investment promotion is something that China has proven to be very good at. I do believe that while some companies are struggling with the crisis, reinstating some of the proven methods to drive investment — tax breaks, tax holidays, incentive programs, for example — would help to secure more investment for China, employ more Chinese workers, and support the government’s stimulus efforts. It makes a lot of sense.”

Further findings from the report state that while investment took hits, their budgeted volumes remain strong. Case in point: minimum budgets for three-years as of 2008 totalled USD 16 billion. The same 3-year budgets for 2009 stand at USD 10 million. The news looks much better for bigger investment budgets, however. For companies with investment budgets of USD 50 million or greater, the figures for 2009 are “identical” to 2008 results. The major indication? Strategic investments for Guangdong and South China are “relatively unaffected by the current crisis.”

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Of the surveyed companies, nearly 92 percent of the companies reported that they were already profitable or were projecting to gain profits in the next two years. However, of those companies who said they are profitable there was a rise in responses who said they are not meeting budget expectations—a 13 percent increase from AmCham’s 2007 findings.

Moreover, this year 72.5 percent of the 551 surveyed companies reported that providing goods and services to the China market was their top priority.

For the South China market, 60 percent of the companies are also investing in Sichuan to aid with earthquake rebuilding efforts.

The overall ranking for the State of the Delta and South China business received relatively high marks. Of them, 70 percent that the business environment had improved from the of 2007 to the end of 2008. And 85 percent of respondents felt that the business climate was “good/acceptable,” very good” or outstanding.”

While only 70% of study participants indicated that they felt the business environment had improved in the preceding 12 months, more than 85% felt that the business environment was “good/acceptable,” “very good” or “outstanding.”

The report is based off a survey of 551 companies who have collective revenues of more than USD 26 billion and employ more than 500,000 workers. It has been conducted fort he past four consecutive years by Hewitt Associates for AmCham South China.

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Features

By Christopher Cottrell

Shenzhen sideways

Aulon Aulon wine wine lounge lounge owner owner Marcus Marcus Maher Maher on on the the local local tippling tippling scene scene

I

t’s RMB 28 for a full glass of whatever’s on. For RMB 100? All you can drink for three-hours. “But the three hours is a loose policy with no heavy monitoring,” says Marcus Maher the proprietor of Shenzhen’s latest wine sensation — Aulon. Cool.

Wine all day. How Roman is that?

Delta Bridges caught up with Mr. Maher (Marcus, mate), a contributing columnist with the Shenzhen Daily, for his take on the Shenzhen wine scene. But first: a note.

Mr. Maher (Marcus, mate), has been deep in the Delta for over a decade, engaging in a wide range of businesses. Including magazines. Some projects worked. Others worked fast before becoming Delta lore.

We’d detail them, but we don’t want to spoil Marcus’s knack as a raconteur. As for the decanting notes….

Delta Bridges: Why did you choose Shekou to open a wine lounge?

Marcus Maher: Shekou has the largest amount of foreigners in Shenzhen.

DB: Can I say you are moving wholesale wine?

MM: We have agents wholesaling wine in most cities throughout China DB: What is the market potential for moving wine in Shenzhern in the next few years?

MM: The Shenzhen wine market is exploding. Our first wine bar opened on January 10th and we just purchased our next lo-

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cation three weeks ago with construction starting on the Futian location mid March. Our third Wine bar is expected to open towards the end of the year The Shenzhen wine market is embryonic and growth is occurring at incredible rates.

DB: Your selling mid-grade Aussie wine primarily, right? What kind of margins do you expect for 2009 from Aussie versus, say, French wines?

MM: The Chinese love Aussie wines and are aware that French wines suffers from “fake wine” issues. Growth in sales for Aussie wines will be at the expense of French wines.

DB: Why is wine becoming more fashionable with Shenzhen’s middle classes?

MM: The Chinese are buying wine in larger volumes as every day goes by, the primary reason are heath and “face”. Reasons given by customers for their love of red wine are “The antioxidants in red wine attack free radicals and that’s great for ones health”. Additionally, “It allows ones friends to know that someone drinking wine is more sophisticated and international that his or her friends”.

DB: How many other wine lounges in Shenzhen have opened in the past three years?

MM: I am unaware of any other authentic wine bar in Shenzhen. Our customers who come from all over Shenzhen refer to Aulon as, “The Wine Bar” which is more a statement of there being no other wine bar in Shenzhen, than us being the preeminent wine bar in the city. Aulon is the first authentic wine bar primarily due to lack of imagination on the part of Shenzhen’s entrepreneurs investing in the hospitality industry.

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Mar.——Apr. 2009

27

Features

By Christopher Cottrell

Re-tuning MICE

Macau gov. tourism director João Manuel Costa Antunes on business & travel

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B

reak out your abacus—30 million.

That’s how many tourists came to Macau in 2008, an 11 percent rise over 2007. For João Manuel Costa Antunes, the Director of the Macau Government Tourism Office, or MGTO, these figures put extra spring in his step.

Of course, Mr. Antunes is also soberly aware of Q1 2009 traveler counts.

According to figures compiled by Macau’s Statistics and Census Service (DSEC), Macau Public Security Police and MGTO, visitors from the Chinese mainland were down 9.5 percent compared with January 2008.

That’s a significant dip given that, according to the DSEC, visitors from the Chinese mainland accounted for 49.6 percent of the arrival market in Q1 2009. And for the past two years, mainlanders have constituted the mainstay of arrivals in Macau, with Hong Kong, Taiwan and Malaysia visitors trailing, respectively.

How can Macau tourism stay competitive? One answer we learned from Mr. Antunes is market diversification, including the MICE (meetings, incentives, conferences, exhibitions) market for business travelers.

Delta Bridges learned a few more bits of strategy from Mr. Antunes.

Here are some excerpts from our interview:

Delta Bridges: How do you view the current MICE market in Macau?

João Manuel Costa Antunes: The impact of the global economic downturn is being felt here as we are seeing some conventions reduced in size and a couple of exhibitions have either postponed or cancelled. Fortunately, there is also a host of new events being announced around the same time.

Although it is true that corporate companies are downsizing their budgets, they are also looking for better value and cutting specific event budgets at the same time. Since there is a trend towards less expensive short haul destinations, we have every reason to believe that Macau will eventually benefit from this as we are well located within central Asia and has always been considered good value for money.

JMCA: In fact, we view the current situation an opportunity to consolidate our overall effort in other equally important areas such as developing and nurturing the industry with the aim to deliver even better service and quality standards. For example, we are hosting an IAPCO Regional Seminar in Macau this month with the objective to provide quality training courses to our local industry partners, in the hope that this will help raise the industry’s standard across even further. On the other hand, this event is also being promoted in order to attract prospective participants from the region to attend.

JMCA: We are also aware that some of the hotels that were previously targeting a different type of clientele are now interested to capture a slice of MICE business as an attempt to combat recession. We think this is an encouraging sign for the MICE market in Macau as this could be seen as a positive strategic move that would be beneficial to every one in the end.

JMCA: Moreover, Macau is now equipped with state-of-art products that enables our city among the few places in the world to accommodate large-scale conferences and exhibitions under

Features one roof. As a developing MICE destination, Macau has much more to offer to meeting planners as complementary programs.

Our collection of 25 unique World Heritage sites recognized

by UNESCO is definitely one of the key attributes that win the hearts of potential event planners.

DB: Tourism in Macau continues to grow exponentially. Which demographic is expanding the most: the Southeast Asian market or the South Asian market?

JMCA: To be in line with the diversification of source markets, apart from enforcing promotional efforts in international markets, Macau Government Tourist Office (MGTO) will continue to explore potential markets, work closely with airlines to develop international source markets with more direct flight connections and deploy e-marketing initiatives. This year, MGTO will further expand its marketing influence by adding a representative office in Indonesia to tap this potential market, while continuing to venture into forthcoming markets such as Vietnam, Eastern Europe, especially Russia, and the Middle East for a more diversified market portfolio.

JMCA: One of the strategies for achieving this objective is to develop a diversified portfolio of tourism products, and construct a cultural tourism image. The tactics we will employ include utilizing the enriched tourism resources to enhance the development of cultural tourism; continuing the organization of different types of festivals; developing and promoting thematic tour routes; opening up regional tourism resources and developing a regional tourism brand.

JMCA: Another important strategy is to establish an industry cooperation mechanism and consolidation of MICE development; and in order to attain this, we will consolidate the cooperative network through the “Industry Partners Program”; implement a series of promotional events focusing on the MICE industry; continue to organize professional training for MICE employees; stimulate international and regional tourism cooperation, and establish a cooperation mechanism for the MICE industry.

DB: What are some exciting programs we can expect this year from MGTO? JMCA: Along with the 10th Anniversary of the Establishment of the Macau Special Administrative Region, Macau will implement a host of activities and promotions, and try her best to turn challenges into opportunities.

JMCA: In February, MGTO launched “Experience Macau Celebrations!” promotional campaign to celebrate the 10th Anniversary of the Establishment of the Macau SAR. MGTO will launch various promotional activities with focus on the “Historic Center of Macau,” to organize familiarization tours to Macau, photo exhibitions, and roadshows to promote the wide range of tourism elements in Macau.

JMCA: Meanwhile, there are lots of exciting events lined up for 2009. Macau Fringe in April, Macau Arts Festival in May and the Macau International Music Festival in October. The 56th Macau Grand Prix hits the road in November - as does the Macau Food Festival - and the Macau International Fireworks Display Contest will light up the skies twice-nightly in September and October.

There will be a series of special and monumental events in celebration of the 10th Anniversary of MSAR in December.

Details will be rolled out at a later date and you have to stay tuned for that!

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29

Features

Southern Text by Christopher Cottrell Photos by Tom Carter

sisters

Celebrating 60-years of the All China Women’s Federation

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T

Features

his statistic is hard to stomach — 20 million unemployed migrant workers out of a total migrant labor workforce of 130 million. Guessing how millions of Chinese workers this means for the Pearl River Delta is totally up in the air. But one thing is clear. For the Pearl River Delta’s hard hit manufacturing sector, a huge percentage of the unemployed are women. Women mainly from Southern China, notably Hunan and Sichuan provinces, to speak nothing of Guangdong.

In homage to International Women’s Day in March and the 60th anniversary of the All-China Women’s Federal in April, we dedicate this photo essay to these laid-off ladies. And to the traditional art of Chinese textile making — a sector of traditional crafts that will hopefully flourish with internal Chinese demand. These select images of Chinese women from Southern China were donated by intrepid photo-journalist Tom Carter from his book “China: A Portrait of The People.”

For two years, Mr. Carter traveled to every Chinese province living out of a back-pack. He struggled to learn about Chinese people’s everyday lives, joys and struggles. Indeed, he relates to workers who are suffering. During his journey, he says , “I recall being really depressed at times about my financial situation, like having to sleep on cold bus station floors because my only other option was some RMB 500 hotel room, which would just kill my budget, or wishing I could sit in a nice restaurant for once instead of eating instant noodles and packaged pickled vegetables. Such things build character, mind you, and also make for good story telling later, but at the time they occasional took their emotional toll.”

Speaking of emotional tolls: women’s emotional well being are key to their health and overall productivity in the workforces. A recent report by the All China Women’s Federation (ACWF) expresses concern over how emotional stress in marriage harms their health. As the economy sours, pressures on couples have been extremely hard. For marriages, this has a higher health toll for women than men, according to the AFCW report. Women with strained marriages were more likely to develop high-blood pressure, high-cholesterol and a “metabolic syndrome,” which increases the risk of heart disease, stroke and diabetes.

It also led to higher levels of depression.

Luckily, the AFCW has — since it was founded on April 3, 1949 — created a host of programs to assist Chinese women, especially rural women. For example, in 1988 they formed the China Women Development Foundation (CWDF). In 1996, the CWDF itself established a fund that issues micro-loans to women. More than RMB 10 million has been loaned out over the years to rural women, helping more than 250,000 women and 60,000 families start their own small businesses. In urban settings, the fund has given over RMB 8 million to hundreds of laid-off women start-up their own enterprises. It also aimed at public information campaigns to influence and change the way women think about work and employment.

The mainstay of their efforts for the past year of focused on aiding survivors of the Sichuan earthquake. Other projects include the “Employment Fund for Laid-off Women,” “Women and children’s health care fund,” and the “Mary Kay Female Entrepreneurs Fund,” among others. To keep a pulse on the world of Chinese women’s issues and the Chinese female labor and business force, stay tuned to: www. womenofchina.cn.

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31

Features

Text by Caroline Chen, Photos by Christopher Cottrel

Sharp as tacks

GD sees increase in lady entrepreneurs

A

nna Lam wasn’t sure if she was ready. But her entrepreneurial spirit as a designer prepared her to take the challenge — becoming president of the central Macau Rotary Club for 2009.

“It is very busy work, but I really love the challenge. Being a business woman, an entrepreneur, I had the right background…my work in TV broadcasting also helped,” she says.

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Indeed, Lam, who presented news for Macau’s TDM news channel for eight-years, is part of a growing trend of businesswomen residing in the Pearl River Delta who typify China’s new lady entrepreneurs.

What typifies this new class of lady entrepreneurs? For one, they are as sharp as tacks. Tactful too. Comments Lam, “Women in China have traditionally faced a male-oriented attitude. But that has changed a lot in recent decades. Yet we still rely on older skills of tact and persuasion instead of being too blunt. ” Of course, many lady entrepreneurs are perhaps more prepared for the hard times. How so? For instance: many of

Features Guangdong’s lady entrepreneurs were former high-octane executives in their previous companies. And their ranks in the small and medium sector seem to be growing. True: there has been drying up of bank loans that have traditionally supported the back-bone of Guangdong’s major business community of SMEs. However, both the Central Government and Guangdong Government are pledging billions in bailout assistance. Another indicator that more lady entrepreneurs may tread out to forge their own companies in the next few years: the fact that there are a lot of women in senior management positions. And, well, 30 percent of the region’s factories have closed shop. Do the math.

According to reports in the Chinese media, more than 8 out of 10 private businesses in China have women in senior positions of power. Overall, Chinese women nationally constitute over 30 percent of senior management jobs — ranking China fifth amongst major world economies for elevating the status of women.

That being said, as of 2009 there are 10 percent fewer women in senior management than in 2007, according to reports in the Chinese media. Formal statistics for Chinese female entrepreneurs are far fewer, with very little public surveys conducted. In SME-rich Guangdong, its anyone’s guess how many women run their own businesses, but Delta Bridges interviewed a few lady entrepreneurs in Guangzhou to see what’s going taking place on the ground (See side-bar story “Strategies for success in GZ”).

Another asset that gives lady business owners strength: they are accustomed to the difficulties of balancing work with social roles as wives and mothers.

A recent survey conducted by the China Youth Daily learned that 42.8 percent of Chinese people feel that women sacrifice more for their careers than men. The survey also found that 26.3 percent of respondents felt women were superior to men in landing opportunities in their fields if they worked hard enough. The report also quoted Xiao Ying, a professor in aesthetics at Beijing’s Tsinghua University as saying, “There is an old saying that behind a successful man usually is a devoted woman.

But behind a successful woman is hardship few people can imagine. “ Ms. Lam has a milder take on this. “Yes, as a woman in business, I face many challenges. But there are always challenges in life. I say meet them with grace.”

Strategies for success in Guangzhou Taking a cue from ladies who run their own businesses in the capital of Canton Momo Mohini, owner Momo salons, Guangzhou

When Momo Mohini came to Guangzhou five-years ago From America with her partner Hilbert, she could not have imagined that she’d be running one of the city’s trendiest beauty salons and wine lounges. Nor could she have foreseen that Momo’s would expand into both the Ritz-Carlton Guangzhou and the soon to open Ritz-Carlton Shenzhen.

Momo’s advice for successful lady entrepreneurs: “I remember the culture of 1950s America and use that in my management of female staff, some of whom face ‘macho’ attitudes in Guangzhou. I treat my girls very well, train them properly and give them room to grow into their own…This gives them a feeling of empowerment and self respect.”

Loyalty too.

Min Young, owner, People’s Café, Guangzhou

South Korea’s Min Young’s corner People’s Café is slightly hidden down a tree laden lane in bustling downtown Guangzhou.

Yet it is one of the most popular coffee shops in the city.

Opened in 2005, People’s affable Min Young and her family have taken their tiny coffee, cake and sandwich shop and expanded into a full-blown lounge that has given global chain Starbucks around the corner a real run for competition.

Min Young’s advice for businesswomen to succeed in the Guangdong market: “Stay focused on your customers and make them feel at home. It is hard for sure, but when there are tough points of negotiation and I am dealing with male businessmen who are too headstrong, well, I send in my brother to handle them.

Having family support in the business is my key to success.”

Flora Su, owner, Sun’s English, Guangzhou

For Flora Su, cutting her teeth in sales for global English chain Wall Street, was a transforming experience.

With her family background of badminton players and a deep love of education, Ms. Su recently decided tocreate her own English school—but it is language learning with a twist. Literally: sports and salsa dancing are integrated into the courses to energize students and give them self-confidence to explore foreign cultures.

Flora Su’s recipe for successful young business women in Guangzhou: “My school is right across the streets from Tianhe Sports Stadium and the head offices of the 2010 Asian Games and I am targeting people who will need to learn English to assist in the Games.

I am following my heart because I have always loved learning and sports. My salsa dance classes with the company Miami Salsa company give students, who are mainly women in their 20s, confidence to explore new cultures with language learning. It is not easy to be a woman in business, but if you follow your true passion in life, success will come to you.”

DELTA BRIDGES

Mar.——Apr. 2009

33

advertorial

Where rubber meets the road

Welcome to the Zhuhai International Circuit

Y

ou may have heard the buzz. The buzz of motorbikes whipping around tight bends, shrill like motorized bumble-bees.

You may have heard the roar. The roar of stock-cars revving their engines as a 10,000 fans roar with applause.

You may have heard that the buzz and roar were coming from Zhuhai.

You heard right.

Come experience the buzz, roar and excitement of world class auto and motorbike racing at the Zhuhai International

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Circuit (ZIC). Located two-hours south of Guangzhou and 30 minutes north of Macau in northern Zhuhai, ZIC has a host of exciting races throughout the year.

But first: What is ZIC all about? Opened in 1996, it was the first track to host international racing events in China. The 4.2 km track is built to international standards and attracts racers from all over the world. Featured events include the Pan Delta Super Racing Festival, FIA GT (China Round), A1GP World Cup of Motorsports, and China Superbike Championship.

advertorial

M

Life in the fast lane

Cynthia Lim, General Manager of the Zhuhai International Circuit

eet Cynthia Lim, the woman responsible for putting Zhuhai in the fast-lane — she’s the General Manager of the Zhuhai International Circuit, the Pearl River Delta’s leading race-way.

Originally from Malaysia, Mrs. Lim moved to Zhuhai with her family from Singapore five years ago. “I didn’t know anything about racing or cars when I came here. But I am a fast learner, and got up to speed very fast on cars and sponsors.” “ To talk with her, as Delta Bridges did in preparing this advertorial, is understand the driving engine of the Zhuhai International Circuit (ZIC). And what it is trying to accomplish.

Trained in management studies, Mrs. Lim also is a certified public accountant.

Prior coming to work in Zhuhai, Mrs. Lim worked in several large international companies in New Zealand, Singapore and the USA. “Working at ZIC here in China has added to my management skills. We have 700 employees at our race-track and at our golf course.”

That’s another feature that makes ZIC attractive—its neighboring Lakewood Golf Club, which features trendy villas.

“The overall package of the track, golf club and villas is one any senior executive would want,” says Mrs. Lim. As for the coming attractions this spring, ZIC will be hosting the Pan Delta Super Racing Festival on March 21-22.

ZIC will also host the China Superbike Championship, to be held on April 2526.

“We hope the races bring excitement to the Pearl River Delta and enhance Zhuhai’s appeal as an entertainment destination,” she says. As for community, Mrs. Lim comments, “We know and are happy that our races bring a lot side business to people in the community. So we feel a certain social responsibility to make this circuit successful. We need to be humble too. I am from Malaysia and my style of management is that way too. Stay humble, be friendly, be fair, this is the Malaysian way. And I am happy to share this way of working and living with my colleagues here at ZIC. We are having a fun time being innovative with our programs and we hope the fans and drivers are having fun too.”

DELTA BRIDGES

Mar.——Apr. 2009

35

Cover story

Painting

By Christopher Cottrell

Pansy Ho Re-framing perceptions of a Delta executive

I

t was a lost opportunity for a potentially historic snapshot. June 27, 2007. Macau Tower.

Ground floor. Playboy’s CEO Christie Hefner and Macao Studio City casino co-chairman David Friedman enter into one of the steel elevators. “I’m hungry, I need to get something to eat. I can’t talk now,” Ms. Hefner told me.

Questioning denied. Up into the space-needle like tower they go. Upstairs, a score of media await Ms. Hefner and Mr. Friedman to announce that Macao Studio City will open a Playboy Club by the end of 2009.

Moments later, a ground-floor elevator door opens. Pansy Ho steps out. She is smiling and talking business with a tall man. Did she just meet Ms. Hefner and Mr. Friedman? Maybe. Did any of the press catch that on camera? Nope.

The handshake and hello between Ms. Hefner and Ms. Ho could make sense. Shun Tak owns Macau Tower. And Pansy Catilina Ho Chiu-king is the General Manager of Shun Tak Holdings. To say the least, Christie Hefner is a big name, a guest worthy of a personal greeting on a day of big news — even if that news meant competition for her integrated resort, the MGM Grand Macau.

Anyway, it would have been a great picture: because both Christie Hefner and Pansy Ho have some interesting, comparable traits. They head famous companies started by their equally iconic fathers. Yet they are totally independent female executives.

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Both are annoyed that they’re perceived as a “Daddy’s Girl,” as Forbes described Pansy Ho as late as 2005. In 2006, Forbes listed her #36 among the world’s most powerful businesswomen.

Two years ago in the midst of the Macau mega-boom of 2007, both Ms. Hefner and Ms. Ho were watched as major business players.

But you can picture it. An elevator door opens. Out exits Christie Hefner. Waiting to welcome for a fast hello is Pansy Ho. Or not. That’s the beauty of painting — as Zhuhai painter Anais Zhang who created our cover image of Pansy Ho can explain.

Painting reminds one that you can imagination anything. Applied to business coverage of the Pearl River Delta as it re-groups, it helps paint a metaphor for the state of global economics. And what better place to paint than in Macau? After all, it is a village where world affairs play out. A real micro-cosmos of macro-economics and the international power shift towards China taking place today. Back to the non-existent snap-shot. Two world-class businesswomen. Women who in many ways embody business in America and business in China — especially the economic integration of the Pearl River Delta.

At of the end of January 2009, Christie Hefner resigned from Playboy Enterprises Incorporated. And the Playboy Club that was supposed to open in 2009? At one end of the Cotai Strip today, the largely American backed Macao Studio City lot appears as a field of dreams deferred, construction on stand-still. At the other end of the Cotai Strip: Lawrence Ho’s City of Dreams integrated resort rises to open this year.

Cover story

DELTA BRIDGES

Mar.——Apr. 2009

37

Cover story

This year marks the 10th anniversary since Pansy Ho took over as General Manager of Shun Tak Holdings, the Hong Kong conglomerate her father Dr. Stanley Ho started in 1972.

She joined the group as Executive Director in 1995 from her public relations firm.

Moreover, she is a director of Sociedade de Turismo e Diversões de Macau — which controls Sociedade de Jogos de Macau (SJM) Holdings, STDM’s lucrative gaming arm. She’s also a 50 percent partner in a joint venture with the MGM group for integrated resort projects on the Macau Peninsula and Cotai Strip. You already know that. Sorry. “The MGM is going well,” she said when I briefly asked her about the MGM Macau project that sunny day in June. One woman, three companies. Like her major Macau peninsula property project, One Central, one could nickname Pansy Ho Macau’s own “One Central.” But she probably wouldn’t like that.

Grand stage

At the MGM Grand Macau opening, Pansy Ho is joined onstage with her father Dr. Stanley Ho, who dons a red-bow tie and tuxedo. She has a red rose-pinned on the left part of her black sequined top. Also on stage: Macau Chief Executive Edmund Ho, Finance Secretary Francis Tam and MGM President Terry Lanni, among others. Below them on the steps: Scarlet lion dancers bathed in gold light. And pounding Chinese drums. Most of the press are tucked far away from the stage, at the back of the room, like a shelf filled with toy dolls. Most, but not all, have chosen to stay at their station.

Undressing the press

Macau, Hong Kong and China media got it. But a variety of non-regionally based reports about the opening of the MGM Macau and the framing of Pansy Ho seemed…

They listed the number of rooms. Ok, 600. Thirty-five storeys. The stunning property with the Golden Lion out front.

But the over-all story-line of who she was and what this meant to Macau? For some, it appeared as if the reports were cliché re-writes. The purported party-girl? That was an image from her Hong Kong public relations firm Occasions in the 1980s.

Occasions organized events. Like parties for celebrities. It was the 80s….

Strings to “gambling mogul” Dr. Ho and crime? Charges proven against Dr. Ho in a court of law? No. In many reports, the stereotypes stayed in the sentences without people bothering to investigate it independently. The clichés could be considered cheap filler, if you ask serious media in the Delta. Just ask.

Especially Macau media.

One report filed at the Forbes website at 5:45 pm Eastern Standard Time in the United States on December 18, 2007 was titled, “Pansy Ho debuts at MGM Macau.” Debuts? She’s been on the Macau scene for some time. Hong Kong too. This was hardly her first public “debut” appearance. The lead for this

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story read, “The Hos may have been dealt a bad hand when they lost their casino empire, but, like the veteran gamblers they are, these folks know how to make a comeback.” Lost their casino empire? Sure, the creation of the six gaming concessions ate into some of Dr. Ho’s hold on the market, but their so-called “empire” is alive and well. Hardly lost.

The same story had been filed an hour earlier on the Forbes website at 4:45 PM Eastern Standard Time in the United States.

But with a different heading and lead. It read, “Pansy Ho Stars in MGM’s Macau Saga.” The lead read, “Casino tycoons have to know how to play the game, and Macau’s Ho family is no exception.”

Pick your cliché

The third sentence, and the entire body of the story for that matter, stayed the same for both postings.

It contained what appears to be, well, read for yourself, “The $1.3 billion hotel and casino is a joint venture between the Las Vegas-based operator and Pansy Ho, daughter of former Macau casino mogul Stanley Ho.” Former? Mogul, magnate, kingpin, godfather, chairman, take your pick of clichés to place next to his name. But former? Really? Really?

The logic? The concession system had cracked his monopoly.

This seemed to be the underpinning sentiment, and now the foreigners were overtaking his turf. Is it an oversimplification to say the creation of the six concessionaires “broke” Dr. Ho’s “monopoly or the “Ho family” monopoly? Isn’t he one of the concessionaires too?

Lawrence Ho is a concessionaire for three casinos (Crown Towers, City of Dreams and Trinity) and is, as of last count, providing a sub-concession for Macao Studio City.

That’s at least half the concessions for the Ho family — the one that supposedly “lost” their “empire.”

With headlines like, “Macau Princess Passes the Muster in Nevada,” (which Forbes ran on February 28, 2007), is it a wonder why American media is the way it is?

Fair enough: The “Like Father, Like Son,” story by Russell Flannery that was posted the Forbes site on December 10, 2007, had a strong side-bar story titled, “Pansy Ho Goes Her Own Way, Too.” It is worth an internet search and a read if one is tracking the trajectory of business reality and business myths in Macau.

Regardless: Pansy Ho put the opening of the concessions into this context in a 2004 interview with the China Daily.

That’s right, the China Daily. The opening up of the market, “has helped greatly expand the business opportunities in the one-industry town,” the paper quoted her as explaining.” And how would these translate into profit margins? Ms. Ho told the China Daily that, “This large influx of mainland tourists is expected to fundamentally change the way business is being done in Macao.”

Cover story

California sisters

Pansy Catilina Ho Chiu-king was born in 1962, the same year her father won the gaming monopoly concession in Macau. As a child, she enjoyed hiking with her father in Hong Kong’s mountains. The two bonded well. To finish high-school, she attended Castilleja School, a private boarding school for girls in Palo Alto, California.

After graduation in 1980, she stayed in the San Francisco Bay Area, studying marketing and international business at Santa Clara University, a private Jesuit college in Silicon Valley.

She’s not the only Ho daughter who studied in California. Her sister Daisy Ho did her undergraduate study at the University of Southern California in Los Angeles before heading to Toronto University for her MBA. Her sister Maisy Ho studied mass communications and psychology at Pepperdine University in Los Angeles. They all work at Shun Tak ,with Daisy Ho serving as Deputy Managing Director and Maisy Ho serving as Executive Director.

Another sister, Ming Yee Ho, did undergraduate study in engineering at Stanford and picked up an MBA at the University of California, Los Angeles — she now serves as the managing director of EMP-Daiwa Capital Asia Limited, a private equity firm in Hong Kong. How do the Ho sisters feel about California? In an interview with Asia Business Traveller in October 2008, Ms. Pansy Ho described her most recent holiday, “It was really brief, but a truly relaxing one: an entire week of absolutely no planned itineraries with my sisters and teenage nieces in Los Angeles this past summer.”

Her looking glass

In response to an interview question I posed to Pansy Ho regarding inspiring young women executives, she responded, “A Chinese idiom goes, “Remember its source, as you drink this water. This is the adage I live by, possibly an influence from my father. He dedicated his life building a better place for the Macau community; while in so doing, he has built a better business along the way.

What are her goals for Shun Tak for the next five years?

She noted, “Shun Tak is actively involved with real estate, transportation and hospitality services in Macau. In other words, we represent live, work and play for the community. Few may also know that we run businesses as mundane as floral and laundry shops.”

She continued, “But these are what people need, and so we’re there to provide. It is my wish to raise the benchmark in the lives of our people and continue to invest in the future of Macau.”

Frame of mind

The press briefings tell a riveting business story.

If you have the right frame of mind to imagine it. First, go to: www.shuntak.com. They’ve placed “Latest News” right in

the middle of the screen. Scroll down to the “02-Dec-08” for the release titled “Remarks by Ms. Pansy Ho at Shun Tak and Jumeirah Group sign management agreement.” That’s right, she is partnering with Dubai giant Jumeriah for the “Jumeirah Macau Hotel.” They plan to put this 5-star hotel on the Cotai Strip by 2013 next to the Macau Dome. That’s not so far from Pac On Ferry Terminal, is it?

Now click out and scroll to the top of the list. Her Turbojet ferries that shuttle travelers across the Delta’s waters just won two awards from Hong Kong authorities.

Now read the story underneath it: the one about the Hong Kong SkyCity Marriott Hotel. The one that just opened in January 2009. The one Shun Tak’s has a big share in. The new business hotel with a golf course that is, ”strategically located adjacent to the Hong Kong International Airport and the Sky Pier Ferry terminal, which is scheduled to open later this year, and connected via a covered footbridge to Asia World Expo — a 70,000 square meter international exhibition center and convention center including an arena….” The one that will “boost service” and “presents unique packaging opportunities” for “visitors across the world and particularly from the Pearl River Delta.”

Faint light in the tunnel

Think of how Hong Kong and Macau have been competing in recent years for business travel. Think of the Venetian’s ferry service, which may soon be suspended by a Macau court. Think of forthcoming Asian Games in Hong Kong for 2009 (Guangzhou gets them in 2010) — and the creation of the Shenzhen multiple entry visas into Hong Kong. Think of the Hong Kong-ZhuhaiMacau bridge which begins construction later this year.

Browse through Shun Tak’s 8-years of new releases on the site. There are only two instances when Pansy Ho is specifically referenced in the introduction links. The first was on October 13, 2008 and pertains to Macau and an inter-ferry conference. The second was for the Jumeirah deal on December 2, 2008. Both come just after the financial crisis hits hard. Is she taking a bolder, more active stance in the company’s image?

Read between the lines, think carefully of the chronology and frame your own paintings of the situation. Referring to the Jumeirah Macau Hotel, Pansy Ho said, “Indeed, this major project came about at a time when some market players are uncertain about the future due to the recent financial setback. Shun Tak, however, has a long term view and commitment for Macau.

We remain positive that its fundamental is strong and sound, and we will continue to invest in its future.”

She added, “We are confident that Macau will be one of the first destinations to recover from the recent market adjustments.”

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Mar.——Apr. 2009

39

Property

Text by Charles Gutzlaff, photos by Christopher Cottrell

Tianhe

Trends-spotting Property prospects in GZ’s hot spots

M

orning exercise around the Tianhe Sports Stadium in Guangzhou is a telling testament of the times.

Hundreds of joggers still jog.

Scores of ping players-still ping and pong. Large crowds of spry dancers stretch and sway to Chinese folk songs. And streams of cars come and go into the main offices for the 2010 Asian Games. There’s still a buzz. Recent real-estate reports parlay what this buzz means for the next few years.

And the news is generally upbeat. Sort of, if you think 2010 and 2011.

According to reports by Colliers International and Jones Lang LaSalle, Tianhe’s commercial spaces, serviced apartments and retail properties (along with Pearl River New City) have a rosy future for the next few years. Relatively rosy.

To the trends. According to The Knowledge, a report prepared by Colliers International office in Guangzhou, the Grade-A market for Q4 2008 was quiet. Sure. Everyone has a “wait-and-see” attitude, with companies stalling, slowing

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and demand shrinking.

Of course, to put the current situation in perspective, compound annual growth for Guangzhou’s Grade-A property averaged 8 percent growth between Q3 3005 and Q3 3008, says Jones Long LaSalle.

In a recent report by Jones Lang LaSalle (JLL) titled “China 2020: The Landscape of Change,” Guangzhou will see its retail space expand by 83 percent by 2011. According to the JLL report, Guangzhou roughly has over 1 million sqm of retail space and will grow just past 2 million sqm in two years — meaning it will surpass Shenzhen, which JLL forecasts will grow 25 percent by 2011, from roughly 1.5 million sqm of retail space today to roughly 1.8 million sqm of retail space in two years. Onto more Q4 figures.

Signs and vacancy

For Q4 2008, the existing area of office space sold in Guangzhou fell to 103,500 sqm. That’s a 67 percent decline compared to Q3 2008, in which 171,000 sqm were sold.

The report further details that the accumulated permitted pre-sell area totaled 142,000 sqm, representing a 22 percent increase over Q3 2008 — which was 111,000 sqm.

For vacancy rates of the overall office market, the drop was just 1.94 percent to 22.46 percent. Compared to the previous quarter of 24.4 percent, the effect was minimal.

Property The biggest Tianhe vacancy trend: office leasers located to the central Yuexiu districted to cut costs in the core business district. The effect saw Yuexiu’s vacancy rate down 5.44 quarter-on-quarter at 16.7 percent.

Rents for sale, sales for rent

Rentals for Grade-A office space in Guangzhou declined 12.5 quarter-on-quarter to average RMB 128 per square meter. In Tianhe, Grade-A office space rentals fell as much as 14.74 percent over Q3 2008. That contrasts sharply with the central Yuexiu district, which dipped 6.36 percent for the same period, according to the report.

Overall: good news for renters with competition lowering prices. The average monthly price in Tianhe dipped to RMB 138 per sqm. In Yuexiu, the average monthly price was RMB 108 per sqm. Down by the Pearl River, the Agrade office rentals in Haizhu District averaged RMB 95 per sqm, per month.

In terms of sales, Grade-A office space transactions tended to be conducted by individual buyers while general trading remained quiet. Sale prices on Grade-As fell on average to RMB 18,264 per sqm in Q4 2008.

Despite the doldrums, analysts forecast that sales prices for A-Grade properties will remain “relatively stable.”

Why? They’re pegging their predictions on the announcement that the Central Government will cut interest rates — hence reducing loan payment pressures on developers and increasing internal demand. Also, says Colliers: Since New Year’s Day, foreign interests have gained “equal treatment” on foreign capital invested in the housing rental market, with income taxes being cut from 18 percent to 12 percent.

Flats aren’t flat-lining

Fact: as the global economy continues to rear its ugly head, that means fewer foreign companies came in Q4 2008.

That means fewer expat residential packages. It even means cuts to existing packages, with housing allowance perks falling between 10 and 20 percent in Q4 2008. The short-term translation: vacancy figures for serviced apartments will continue to climb in 2009. Q4 has already witnessed a vacancy rate of 22 percent.

The good news for typically lower salaried junior execs: owners are introducing rent concessions and competitive services, with free breakfasts, broadband internet access and periods of free rent. By the numbers, Q4 rents for serviced apartments dropped 8.86 percent over Q3 to RMB 158 per sqm per month. For renters: that means more options at competitive prices. And it will only get more competitive in the next two years as supply increases. A variety of new serviced apartment projects will be completed in Tianhe and Pearl River New City in 2009 and 2010.

Shopping spree

Note this stat: 58 percent of all total future retail supply will be concentrated in Tianhe in the next two years. Why? The Guangzhou Asian Games in 2010. According to The Knowledge, there will be 700,000 sqm of retail projects in Tianhe alone. Currently, Tianhe has 32 percent of the total shopping stock area, with Yuexiu coming in second with 25 percent of Guangzhou’s retail property space.

Among the big Tianhe projects is the RMB 4 billion, 450,000 sqm Taikoo Hui Guangzhou Cultural Plaza venture between Swire Properties and the Guangzhou Daily News Group. Located in Tianhe it will feature arts and cultural facilities, retail and commercial spaces, two office towers and two hotels. In the next two years, the Yuexiu district will also see an influx of retail property projects consisting of 300,000 sqm.

Still, it seems Tianhe, despite the rise of Pearl River New City, will see a major property buzz for the next two years. Maybe there’s a reason so many people still start their mornings around the Tianhe Sports Stadium

DELTA BRIDGES

Mar.——Apr. 2009

41

Property Text and photos by Charles Gutzlaff in Shenzhen

Shenzhen real-estate redux New measures to stimulate prop sales

T for Macau, Hong Kong and Taiwan residents. As we went to press, a new law was announced to boost slumping real-estate sales in the Guangdong property market—especially in Shenzhen, which has seen a 50 percent drop in the number of Hong Kong residents purchasing property since May 2007.

What happened in

he hiss of welding torches punctuate Futian’s corporate district. At ongoing construction projects like the Ritz-Carlton and the next phases of the Kerry Centre Futian, the welding and cement mixing is steady, even hurried.

The same might be said for the steady hiss of policy torches that are re-shaping purchasing guidelines

worked or studied in the province for more than a year.

At the time, the rationale to the cool the market was received as sound by most of the city. Fast-forward to the global financial crisis and it’s a Bob Dylan lyric: the time’s they are a-changin.

At present, Macau, Hong Kong and Taiwan buyers can now purchase multiple properties through the end of 2009. This rule does not apply to foreigners, who are still bound to the older policy of one purchase. According to reports in the Chinese media, analysts have mixed opinions as to whether or not the measure will give the property market a much-needed booster shot. Some analysts think that the rules may not have an immediate impact since “non-mainlanders” only accounted for 6 to 7 percent of Shenzhen’s realestate market sales, according to the Shenzhen Daily. Of these “non-mainlander” sales, Hong Kong residents accounted for 90 percent of the transactions, the paper reported. Moreover, the purchasing power of Macau, Hong Kong and Taiwan has been whittled away by the crisis.

Their currencies are also not as strong as the yuan.

That being said, the measures could likely stimulate housing sales near the 24-hour checkpoints, such as Luohu and Futian.

One of the barometers of the policy change may be up-market property. According to Jessica Qian, marketing director for Kerry Properties in Shenzhen, their two serviced apartments, Arcadia Court and Regency Park, are totally sold out. The measures, however, could stimulate re-sales. We’ll see — the torches are still hissing and market has yet to harden into form.

Macau, Hong Kong and Taiwan buyers can now purchase multiple properties through the end of 2009.

May 2007? In order to stave off soaring inflation and prevent speculators from dominating the market, the Central Government put policies in place that restricted Macau, Hong Kong Taiwan and other “non-mainlander” residents from buying more than one property in Guangdong.

And such a single purchase was only possible if they had

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Property Features

Text and photos by Charles Gutzlaff in Macau

City of beams Jones Lang LaSalle on Macau’s real-estate spotlight

I

t was a bone-chilling January eve when the Ponte 16 casino swung open its doors. It was January 30, 2008, to be precise. The evening was festive, with fireworks, lion-dances and an eloquent speech

by Dr. Stanley Ho. There were spotlights in the sky—reminiscent, if you will, of the famed golden beam emanating from Guia Lighthouse.

The warm mood contrasted with the frosty night.

Leap forward one year: the climate is now inverse. Overall, Macau’s January nights in 2009 were milder year-on-year. And the spirit of the city? Well, it has seen warmer times. That’s particularly true of the Macau property market.

For Q4 2008 property transactions in Macau slid 56.9 percent quarter-on-quarter, with respective value falling 64.6 percent to MOP 2.67 billion.

According to Macau’s Statistics and Census Service (DSEC), this is the lowest level since 2002. Figures from the DSEC further detail that most of these transactions were residential units valued at MOP 2.15 billion.

The chillier news: 53.7 percent of these were sold for MOP 1,000,000 or less. Just 18.6 percent of the units were sold for MOP 1,000,000 to MOP 2,000,000, according to the DSEC. The good news: the winter seems past, with spring offering signs of life. So says John Nichols, the senior manager for Jones Lang LaSalle’s Macau office. Delta Bridges caught up with Mr. Nichols to see where the Macau property spotlight is casting its beam.

Delta Bridges: What’s going on with Macau property?

John Nichols: Enquiry levels are starting to pick up again now

that CNY is behind us. The market appears to be at or very near to the bottom and the banks are starting to lend again.

DB: In an informal chat with our editor-in-chief, you said it has bottomed out and things can only go up this year. How far is up?

JN: The market will grow at a more gradual and sustainable level once it starts to pick up. I estimate this will be in the next 6 to 9 months.

DB: There is talk of the Macau-Zhuhai border going 24-hours.

If the border were opened, would this damage the Macau property market?

JN: Difficult to say really.

DB: Today there is word from Beijing that they will start building the “Hong Kong-Zhuhai-Macau” bridge by the end of 2009.

How will the bridge potentially effect Macau property overall?

JN: 4. This bridge will unify the Delta region and will make Macau far more easily accessible to its HK and mainland neighbors. I see this as a positive for Macau.

DB: Members of the Delta Bridges team just walked through a fully-furnished, ocean-view property compound in Zhuhai called Mountain Sea First Class. It peers out to Macau and they are renting for RMB 20,000 a month for 1,200 sqm, 3-bedroom.

China bling decor. There may be as many as 30% of Macau residents living full-time in Zhuhai now and commuting. In a long winded way: how can Macau property compete with Zhuhai property?

JN: Investing in Macau is far easier for foreigners than in China, hence Macau property will always appeal to the investor.

Mainland purchasers will continue to buy in Macau, especially if the residency scheme is re-introduced.

DELTA BRIDGES

Mar.——Apr. 2009

43

Lifestyle

Lounge life Cocktail specials for the Canton Fair

A

ttention cheap cocktail aficionados: the China Hotel is serving cocktails for just RMB 10 every night. The catch? The special early evening price is just for the ladies. If you are in Guangzhou for the 105th Canton Fair, though, this could be the special for you. For other excellent places for up-market lounge life in Guangzhou: QBA at the Westin in Tianhe is one of our favorite haunts. The 22nd bridge like lounge, G, at the Grand Hyatt is also uber-hip with cocktails prices in the RMB 50 range. Speaking of Pearl River New City, the Churchill Bar at the Ritz-Carlton is excellent

for Sherry and cigars. For those who like it hot: both the Paddy Field and Hooley’s make mean Irish-coffees. And for a quiet glass of wine to get away from it all: Friend’s Daily is one of our favorites.

Full listings: www.deltabridges.com

By Martin Yan

Yan’s Guangdong In the garden

T

here’s no other place I’d rather be than in my garden.

I like to get my hands deep into the soil, in touch with the earth. I find the solace so refreshing. It is also wonderful to garden with my twin sons, teaching them a love of planting and respect for the earth.

I say that because I travel a lot. My new cooking school in Shenzhen brings me back to Guangdong quite often.

The school is going well. Our students are learning a lot and I am honored to be teaching them. Most of them are familiar with farming, coming from farming backgrounds.

That’s something I can’t say enough about — I really love my students. They are humble but have grand dreams.

We all do. With the current financial crisis a lot of people are having trouble reaching their dreams. In the US, the economy is so poor right now. But there’s one thing that these troubled economic times can teach us. That is humility. Of remembering that not too long ago most of humanity were farmers. As a restaurant owner, I am always happy when the business is busy and the customers are enjoying

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my recipes.

But you know what—now is a reminder that eating out is a luxury.

A real luxury for most Chinese people. Here in Guangdong, we’re lucky to be surrounded by so many beautiful farms. Everything we could possibly want is grown here, from plump melons to succulent lychees. When in Guangdong, I like traveling past the farms and remembering my boyhood. In those days, we had far less than we have now. Keeping that in mind is so important. It can give courage and courage is what we now. And the right spirit of farming. Even if you don’t have a plot of land, one can grow herbs and small vegetables in kitchen windowsills.

Or spend more time shopping from local markets. I don’t mean the big chains. I mean the real salt of the earth vegetable and wet markets. No matter how hard the crisis is effecting you, a trip to these markets for your home cooking can be so satisfying. I know. I have the luck of being able to do gardening and cook at home. And nothing makes me happier than rolling up my sleeves and getting my hands dirty in the garden. It can cleanse the soul.

Lifestyle Features

Courtesy of Grand Hyatt Guangzhou

Grand suites Sublime Canton Fair stays T

he sound of jazz music wafted through the lobby as Delta Bridges entered the Westin in Guangzhou. Past the soft sounds and into the elevator, we made our way to the executive suites. The room?

Plush, with stellar views of Citic Plaza. We crashed asleep instantly. Breakfast at dawn in the executive lounge revealed another sweeping view: of Tianhe and Pearl River New City—the twin financial districts of this rising city. To say the least, this city is on the move. Which is why we have a weak spot for staying in these areas during conferences and conventions. If you are visiting for the 105th Canton Fair, you will not be disappointed if you book at the Ritz-Cartlon, Grand Hyatt or the Westin. All offer remarkable rooms with luxurious facilities to boot.

Across the river next to the Pazhou convention grounds, the Shangri-la also offers a winning hospitality combination of rooms and restaurants. Take heart, though. They might be booked come the Canton Fair.

Other excellent stays in Guangzhou include the White Swan Hotel on Shamian, and the China Hotel and Garden Hotel in the Yuexiu district. What if they’re

all booked? Consider a regional room to inspect the factories—the Grand Hyatt and Sheraton in Dongguan are clear choices for those who still spend with their platinum cards. If you need to divide your time between the trade show and conferences in Hong Kong, we suggest Shenzhen stays. Top among them: the Kempinski in Shekou, the Sheraton, Shangri-la and Ritz-Carlton in Futian. As for Luohu in Shenzhen, the Shangri-La and Crowne Plaza will probably be the best bets. Investors eager to see what Zhuhai looks like before construction starts on the Hong Kong-Zhuhai-Macau bridge later this year: we like the Zhuhai Holiday Inn, the Harbourview Hotel and the Grand Bay View Hotel. Apologies for the laundry list. We know you’ve done your marketing research — but so have we. And we’ve stayed at nearly all of these suites at one time or another over the past few years. Why choose these? A word: MICE. Theses business hotels have excellent conference halls for business seminars. And we know that’s what everybody is after these days — more business.

For the full listings: www.deltabridges.com

DELTA BRIDGES

Mar.——Apr. 2009

45

Lifestyle

Go time Executive exercise reminders O

n your mark. Get set. Go. Go fast. Whether you are pumping iron at the gym, gearing up for golf or jet-skiing, there’s one thing business leaders tend to agree on: Mens sana in corpore sano. Achievement of sound mind in sound body. We know. You are tired. Your probably working over-time and have little time to hit the gym. But you’ve got to. If you are cutting back on costs by skipping the gym, it can be easy to get lazy. Don’t. For the sake of yourself and your company, do some form of exercise.

Delta Bridges was reminded of how important exercise is while taking photos of the Zhuhai half-marathon in February. We had to sprint for the right shots. We sprinted taking pictures at the Olympics. And we will sprint hard in 2010 taking pictures of the Asian Games.

Speaking of which: in Guangzhou, the best place for

free exercise is around the Tianhe Sports Stadium.

Here there are plenty of joggers and places to play badminton. For free swimming, Daya Bay in Shenzhen has wonderful water and easygoing surf. For stronger swells, jump a jet to Sanya for swims at Dadonghai Beach or Yalong Bay. For mountain enthusiast, we recommend Fenghuang in neighboring Hunan province or Hai Luo Go glacier in Sichuan. Or you can pay your local gym dues, pop on your ipod to tune out and tone up on a treadmill. But you really didn’t become the head of corporation to tread like a hamster, did you?

See you in the streets, on the court, in the swells or on the hills.

For more listings and lifestyle tips: www.deltabridges.com

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Travel

HOURS IN...

Qingdao Old Jacks

Joins Ian Burns, Neil Bulhar and Eric Blocher at Old Jacks to get the latest info on the Qingdao scene. These three high-octane lads bang out the city’s leading city guide and magazines. The drink here: Gin and Tonics.

Beach blanket bingo

The better beaches are up the coast. We’d tell you precisely, but aren’t ready to give away the sweet spots. Ask the Redstar Lads for the local low-down.

Rock-on

Max ’09. Pegged for April 11, this rock-n-roll fest brings India rock-acts from afar a field as London and as close as Beijing. The Redstar team rock band Dama Lamas (translated as Big-Mama, Spicy-Mamas) will also be set the night on fire.

History and a date

Take your lover for some traditional Qingdao romance: the Villa. This early 20th century German Villa has refurbished into a modern wine lounge.

Stay:

The Crowne Plaza for up-market comfort.

Budget trekkers training in from Beijing may want to check out Home Inn. The northern side Hong Kong road near the Qingdao Marina has small back-packer flats. Certainly Spartan, but great if you are “beer and boating in Qingdao.”

Your one stop Qingdao travel web-stop: www. myredstar.com

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Qingdao rocks Redstar’s Max ‘09 fest

I

an leaned into the mic as a BBC-world camera flashed on. Eric revved up the guitar. Neil came in had on drums. The gold-medalist British sailing team clinked Qingdaos and posed with the guests.

The 2008 Olympic sailing matches in Qingdao had just finished and the city was in a festive spirit. From Le Bang disco to Club New York, Qingdao did one of the things it does best that cool night in August: suds and sailing. Indeed, for anyone who attended the Qingdao sailing meets, it was a true week of beer and boating. Some Qingdao beer business basics: The cost of a plastic bag of freshly tapped Qingdao beer? In Qingdao, 1 yuan! For a small keg: RMB 60. Sure, there is much more to this city than suds and watch sailing. What else? Rock music and art for the annual Max '09 fest organized by RedStar. Much more than a magazine, the RedStar crew, which includes Lonely Planet TV contributors "Brewsie" and "Seabass" from In Deep Films, is a bohemian medley to behold. Check out http://www.indeepfilms.tv their web-u-mentary on the start of the Qingdao rock scene. Delta Bridges can barely catch our breath when we make our way to this vibrant Yellow Sea city of Qingdao. Especially when hitting the town for fine Italian, South Korean and Japanese fare. Or kicking back with cold beer in their art house lounge while enjoying comics from the London Comedy Store, who they bring in once a year.

Max ‘09, to be held on April, marks their third-rock fest. You may have heard that every August, Qingdao hosts a huge beer fest.

True, late summer and early autumn are great for visiting Qinqdao and remembering its German period. But so is spring when the cherry blossoms bloom and the city’s 20 and early 30-somethings celebrate blooms all their own.

Travel Features

DELTA BRIDGES

Mar.——Apr. 2009

49

Delta Pearls

No wonder Chinese tour groups are taking flight to the good old US of A to snatch up property.

By Melody Chu Mei Feng

W

hat can I say: this financial crisis has one upswing.

We get to rethink everything. That is rare in this hectic world.

We aren’t always afforded the luxury to get a moment to pause and re-plan on this scale. But we need to.

We can’t ever again have this crisis of toxic assets.

Of debauched credit. The greatest economists are weighing in now on what to do. As a TV news bureau chief, I can say that we are feeling the crisis in terms of the stress on our reporters. In normal times, the news moves lightening quick. Now it has doubled. Analysis? A report one night can be contradicted between the time we air it and an hour later. For the people we are interviewing, the confusion runs strong. But there is a sense of the tide turning. Whatever happens in 2009, we can probably be sure that we will be different people by the time this crisis ends. And let’s hope the economists are correct this time. But let’s not hold our breath either.

China is encouraging domestic consumption to spur the economy. But what to buy? The question could also be stated: what to sell? I recently read that homes in the US City of Detroit cost as little as USD 18,000.

No wonder Chinese tour groups are taking flight to the good old US of A to snatch up property. That is not the case here in the Pearl River Delta. But it could be for residents of Taiwan, Hong Kong and Macau. A recent loosening on property purchases means more of these residents can conduct multiple real-estate purchases here in Guangdong, particularly in Shenzhen. The loosening begins April 1, 2009 and closes at the end of the year. I can only hope it helps.

A few other recent policy pushes for Guangdong include: the creation of a free trade zone between Hong Kong and Shenzhen; multiple entry visas for Shenzhen residents to go into Hong Kong. Premier Wen Jiabao has said that the Hong Kong-Zhuhai-Macau bridge will start construction at the end of this year. And that the initial stags are fully financed. Financing has also been guaranteed for other rail projects throughout Guangdong. Also: by 2012, a high-speed rail line linking Hong Kong to Beijing will be completed, making the trip just 10 hours. That’s fast. From Shenzhen to Shanghai, that should be what, about six hours? That’s huge news.

As for Shenzhen and Shanghai stock exchanges, announcements have been made that they will join forces for joint stock listings. Up the coast in Fujian, more fast rail links are being proposed. All of this was set forth in the recent CPPCC meetings in Beijing. Pretty swift action, if you ask me. And swift seems to be the symbol of the times. In 2007 and in pre-Olympics 2008 all was relatively rosy with the world economy.

Then… You don’t need me to remind you how fast things went sour. But I have confidence. There really is no other way to handle it. Recently, a close friend expressed a feeling of being lost. A lot of spiritual traditions say that when you lose yourself, you find yourself.

That’s how I feel about this whole macro-economic maelstrom. We’ve lost ourselves. Now is the time we are finding ourselves. And finding our true selves fast.

Melody Chu Mei Feng is a senior news anchor with MASTV. She divides her time between Macau, Shenzhen, Taiwan and London.

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She’s a developer looking for tenant commitments to begin construction.

He’s a partner in an accounting firm wanting to open a new office.

The Road Ahead Navigating today’s commercial property market requires knowledgeable guides. From leasing to appraisals to tenant improvements, our specialized skills connect you with the right people and prepare you for the road ahead. Specialization is an advantage. It’s just one more way we accelerate your success.

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