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The country's gross domestic
product (C0P) rose by 7.1 in
the third quarter - the highest
in Southeast Asia - surpassing
projections.
0n the back of strong local demand
amid the downturn in the global
economy, the thirdquarter growth
sustained the robust 6.0 local
economic expansion attained in the
second quarter.
"Ths wcs possble due to sustcned
condence n the lecdershp
o] 3UHVLGHQW%HQLJQR6$TXLQR,,,
cnd hs cdmnstrcton, whch
hcs consstently equcted yood
yoverncnce wth yood economcs,"
PresidentiaI Spokesman Edwin
Lacierda said.
With the robust thirdquarter
growth, Socio-Economic PIanning
Secretary Arsenio h. aIisacan said
the country might even breach its
fullyear target of 56.
"Once more, the thrdqucrter
per]ormcnce wcs wcy cbove
the mcrket's medcn o] 5.4,"
8alisacan said.
"Moreover, we posted the ]cstest
economc yrowth wthn the
Assoccton o] Southecst Ascn
Nctons (ASEAN)," he said.
8alisacan said domestic
consumption remained rm,
C0P grows 7.1X in 3
supported by remittances from
Filipinos abroad. Also, private
spending has been steadily inching
up this year, with an annual climb
of 6.2 in the third quarter, the
fastest growth in three quarters.
0epartment of Finance (0DF)
Secretary Cesar V. Purisima said
the C0P growth was achieved
in a very difcult global economic
environment and despite the 2.2
decline in the mining sector.
"We welcome the thrdqucrter 60P
yures showny brocdbcsed yrowth
ccross cll sectors," said Purisima.
t also shows, he said, that
the Philippines has more room
for much faster economic expansion
ahead as the country has yet
to reach its full potentials.
"Coupled wth the multple records
set recently n our ccptcl mcrkets,
GDP growth in seIect
ASEAN members
Country Growth rate
(in %)
PhiIippines 7.1
lrdores|a .2
Va|ays|a 5.2
v|el Nar 1.Z
T|a||ard 3.0
3|rapore 0.3
the thrdqucrter 60P yures
show thct nvestor cnd consumer
condence n the Phlppnes
s dentely on cn upwcrd
momentum," he added.
The C0P expansion was fuelled by,
among others, the robust growth
in construction, expanding by 24.J,
and public consumption which grew
by 12.
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NDU$TRY
TREND$
US0 1.18 during the period. Cross
equity capital placements even
reached US0 1.J8 from only US0
400V in 2011.
These F0 inows were invested
in ve main sectors, namely
manufacturing, real estate,
wholesale and retail, nancial
and insurance, mining and quarrying,
mostly poured in by investors located
in the United States (U.S.), Australia,
the Netherlands, the United Kingdom
(UK), Japan, and 8ermuda.
F0 covers equity capital, reinvested
earnings, and other capital such
as intercompany loans.
Relocatin rms to double
exports of aerospace components
Shipments of locally manufactured
aerospace parts and components
are expected to double
in ve years from the current
US0 J8 annually as more foreign
rms are looking at relocating
production and sourcing of parts
in the country.
AppIied hachining Corp. President
John Lee made this projection
after the industry players convened
themselves to form the Aerospace
ndustries Association of the
Philippines (AAP) as a channel
for more collaboration and
synergy between players and
the government.
The rm is a pioneer in Aerospace
precision machining in the country.
To date, there are a total of
J6 aerospace parts producer
companies, mostly foreignowned,
in the country. The domestic
aerospace parts producers export
their products entirely.
Lee cited the scheduled huge
volume of aircraft production being
lined up for delivery by the world's
biggest aircraft manufacturers
8oeing and Airbus for 2014 alone.
This would entail strong demand
for more aircraft parts and
components, which Lee expected
to double in less than ve years.
"We ccn become cn crcrc]t pcrts
cnd components producton hub
beccuse we hcve very yood crcrc]t
enyneers," Lee said.
Aerospace industry development
is one of the strategic and high
technology areas identied in global
economic radar to remarkably
zoom in within the immediate next
decade, he said.
The Philippines boasts of a growing
aerospace industries gearing up
activities like precision machining
of high technology parts and
components.
Fharma FO revenue
seen to hit U$D 1
Healthcare information
management (HV), the fastest
growing sector in the country's
information technologybusiness
process outsourcing (T8P0)
industry, is expected to hit the
US0 18 revenue level by 2016 from
the US0 450V forecast this year
and get a 15 market share
of the US0 JJ08 global market.
HeaIthcare Information
hanagement Dutsourcing
Association of the PhiIippines
(HIhDAP) President JuanIoz
otor said the industry's expected
revenues this year could almost
double the 2011 actual earnings of
US0 277V, which was 172 higher
than the 2010 gure.
"We cre closer n cccomplshny
thct yocl. We cre the ]cstest
yrowny sector," 8otor said, noting
that its target only considers
HV0AP's 455 members, excluding
over 100 enterprises operating
outside the organization.
The strong growth is based
on the continuing inux of foreign
rms that have been attracted
to outsource in the Philippines.
8otor said that American rms
want to outsource here while
companies operating in ndia,
which employs 150,000 employees
for the healthcare sector alone,
are also relocating into
the Philippines.
At present, the local sector employs
J0,000 fulltime employees (FTEs)
Exports row 22.8
in $eptember
Philippine exports rose by 22.8
in September to US0 4.788 from
US0 J.898 recorded in the same
period last year - its fastest pace
in almost two years, the National
Statistics 0fce (NS0) reported.
The NS0 attributed the sustained
growth to the increase in the
exports of tuna, metal components,
fresh bananas, woodcrafts and
furniture, ignition wiring sets,
petroleum products, coconut oil,
and electronic products.
0n a monthly basis, export earnings
expanded by about 26 from
US0 J.798 posted in August 2012.
Cumulative merchandise exports
for the rst nine months of 2012
recorded a 7.2 growth to
US0 40.068 from US0 J7.J78
during the same period in 2011.
Economists welcomed the double
digit exports growth and view
the exports gure as a reassuring
sign that exports will not drag the
country's economic performance.
Top 3 exports
Product Total Annual
receipts % change
(in USD)
E|eclror|c producls 1.838 1.1
woodcralls ard lurr|lure 2ZV 80
Vela| corporerls 111.8V 11.
FDs reister 61- rowth
The country's foreign direct
investments (F0s) for the January
August period reached US0 1.048,
61.2 higher compared with the same
period last year, 8cnyko Sentrcl ny
Plpncs (8SP) reported.
The eightmonth yearonyear
growth was due to the expansion
of equity capital which totalled
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and is expected to hit 4J,000
by yearend and 100,000 by 2016.
"They cre relocctny here
beccuse o] tclent cvclcblty,
cost cdvcntcye, cnd ]cst servce
delvery," 8otor said.
+ FEZA parks expand
to attract investors
Four of the country's economic
zones are undergoing expansion
to accommodate new locators as
the government is wooing rms to
invest here.
"The expcnson s onyony. They
ccn see thct the zones cre beny
occuped cnd so they hcve to be
prepcred ]or the other compcnes
comny," PEZA 0irector CeneraI
LiIia . de Lima said.
Companies from Japan, Korea,
Taiwan, and even Europe, she
said, are looking at the Philippines
as a possible location for their
operations given the perks being
offered such as income tax holidays
(TH), dutyfree importation of raw
materials,and nonscal incentives.
She said the country is also an
attractive location for rms given
the availability of human capital.
"They scy t tckes only two months
to trcn Flpno workers compcred
to ]our to sx months to trcn
others n the reyon beccuse we cre
Enylshspeckny," she said.
The government, she said,
continues to engage with rms
in other countries to encourage
them to locate here, particularly
for manufacturing and
agroindustrial activities.
PEZA parks undergoing expansion
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Vehicle sales post 17- rowth
Car sales in 0ctober grew by 17,
the industry's highest monthly
growth this year.
The Chamber of Automotive
Vanufacturers of the Philippines,
nc. (CAVP) said sales in 0ctober
reached 15,081 units, up by 17
from the September sales
of 12,857 units.
The 0ctober sales, which bode well
for the remaining sales in the last
quarter of the year, have brought
overall sales for the rst 10 months
of the year to 126,66J units, 7
more than the 118,762 units sold
in the same period last year and
12 more than the 0ctober 2011
sales of 1J,456 units.
CAVP attributed the strong sales
to the full normalization of supply
and aggressive promotions being
launched by most of the automotive
brands. Likewise, the industry
was able to take advantage
of the country's strong economy
and the Filipinos' increased
purchasing power.
"Ths s c very clecr syn thct the
ndustry contnues to be strony
cnd s on trcck. l cm condent
thct we wll exceed lcst yecr's
per]ormcnce," said CAhPI
President Atty. PommeI Cutierrez.
Construction seen robust in 2013
The Philippine construction sector
is projected to almost triple next
year due to the country's stable
macroeconomic fundamentals.
CI PhiIippine Country hanager
0ean org said 201J will be the
"birth of new construction" with
P1.18T worth of projects estimated
to start, growing by 264 compared
with PJ24.6J8 this year.
"Much o] the yrowth s cttrbuted
to the cvl constructon ndustry
wth c yecronyecr yrowth
o] 2 n 201J. Ths s prmcrly
the result o] yovernment mecsures
to push the yrowth o] the economy
by ncrecsny yovernment
expendture, the yrowny electrcty
demcnd, cnd the upcomny 201J
electons," 8org said.
"The buldny constructon ndustry
s clso set to see c robust yecron
yecr yrowth o] 145 n 201J.
The yrowth n the buldny
constructon ndustry s tryyered by
mprovny nvestment cnd economc
clmcte n the country," he said.
As a whole, the Vetro Vanila
and 7isayas regions are seen to have
the highest construction values
in 201J.
Regions with highest construction
vaIues in 2013
Region Value
(in P billion)
Nal|ora| Cap|la| Re|or (NCR) 15
weslerr v|sayas 209
Cerlra| v|sayas 182
Govt-MLF Feace Fact to attract
more investments in Mindanao
The full implementation of a peace
deal between the government
and the Voro slamic Liberation Front
(VLF) would attract more local
and foreign investors in Vindanao.
PhiIexport Trustee for four
PhiIexport chapters in hindanao
enjamin KaIaIo Jr. said a stable
and peaceful Vindanao could easily
attract 25 more companies to
establish their businesses in the
region over the next ve years.
nvestments in mining, agro marine,
transport, airline and shipping,
and construction are expected
to pour into various Vindanao regions.
Vindanao also presents huge
business opportunities, including
processed food, construction
of residential and commercial
buildings and malls, transportation,
and energy, Kalalo said.
Kalalo believes that Vindanao can
contribute more than 50 to the
country's gross domestic product
(C0P) should development plans
for the area are pursued, processing
plants in place, and the peace
agreement fully implemented.
Governments ood overnance
transformation attracts investors
Covernment transformation
in good governance, transparency,
and accountability attracts investors
F0lll##l0 808l088 80#0fl 4
into the country's publicprivate
partnership (PPP) projects.
"l thnk thct the mcn recson why
we receve these nterests ]rom
nvestors cll over the world s
beccuse o] the trcns]ormcton o]
yovernment thct 3UHVLGHQW%HQLJQR
6$TXLQR,,, s cdvocctny," PPP
Center Executive 0irector Cosette
V. CaniIao said.
Canilao said 2012 is a signicant
year for the country's PPP program,
noting that investors around the
world are condent that doing
business in the Philippines is indeed
good business.
She said since the PPP program
was relaunched, the center has
awarded two projects the 0aang
HariSouth Luzon Expressway Link
Poad Project and the PPP for School
nfrastructure Project Phase 1.
Voreover, she said some J50
national agencies and local
government units (LCUs) have
received trainings on basic PPP
concepts and project preparations
to capacitate them in engaging
in PPPs.
"Ecrler ths yecr, the PPP Mcnucl
]or L60s wcs lcunched cs c yude
]or developny n]rc pro]ects
]or loccl yovernments," she added.
TRADE AND
NVE$TMENT$
would be computed based on the
plane's net income.
The acquisition of the two AJ20s,
under a leasetoown arrangement,
would require CE8 to hire additional
48 staff consisting of 24 pilots
and 24 attendants.
CE8 had earlier announced the
acquisition of eight Airbus planes
to support its long haul services
starting in the third quarter of 201J.
FAL eyes stake in Cayman
slands airline
Philippine Airlines (PAL) is in
negotiations to acquire as much
as 50 equity in the national airline
of the Cayman slands.
PAL President Pamon S. Ang said
both parties were in the process
of working out a deal that could see
both airlines coming to a mutually
benecial arrangement.
The government of Cayman slands
earlier disclosed they are evaluating
a proposal put forward by PAL and
one of its signicant stakeholders,
San Viguel Corp.
The scheme will call for Cayman
Airways to issue new preferred
shares that San Viguel will
subscribe to. The fresh capital
to be generated from the equity
infusion will be used by the Cayman
carrier to acquire new aircraft,
which will then be rented out
to PAL under a socalled
"wet lease" agreement.
ELECTPDNICS
]apanese electronic parts maker
opens new plant
Japanbased Vurata Vanufacturing
Co. Ltd. recently inaugurated its
new manufacturing facility in the
country via its new local subsidiary,
Philippine Vanufacturing Co. of
Vurata nc. (PVV).
hurata President Tsuneo hurata
said demand for electronic
components worldwide is presently
pegged at P1608 monthly and
is expected to increase by 56
yearonyear.
Civen such a trend, he said, they
decided to establish a new factory
in Southeast Asia and identied the
Philippines as the ideal location.
The production facility at the First
Philippine ndustrial Park in Tanauan,
8atangas,which is over 200,000 sqm,
is the fourth and considered the
largest plant of Vurata in the region
in terms of land area.
CPEEN PPDJECTS
Green Zuelli buildin invests
in on-rid solar power system
The Zuellig 8uilding has invested
in an ongrid solar power system
that requires minimal maintenance
and promises substantial long
term energy savings to promote
environmental sustainability.
The Zuellig 8uilding, a project
of 8ridgebury Pealty Corporation
(8PC), an afliate of the Zuellig
Croup, holds 200 sqm of solar
panels with a capacity of 28.J
kWh to generate an annual output
ranging from J2,5J8 kWh to J7,802
kWh. The produced energy will be
used on any electrical load in the
developers' ofce, located at the
J2
nd
oor of the building.
The Zuellig 8uilding has complied
with the standards of the LEE0
CS (Leadership in Energy and
Environmental 0esign) (Core E
Shell) rating system of the USC8C
(US Creen 8uilding Council),
providing water and energy savings,
lower operating costs, and superior
indoor air quality.
t is the rst highrise ofce
development in the Philippines
to be awarded with a LEE0CS
precertication at Cold level.
Korean rms keen on RE projects
Korean rms are interested to
partner with local rms
AVIATIDN
CE secures O tax incentives
The P28 aircraft modernization
project of Cebu Pacic (CE8)
has been granted fouryear income
tax holiday by the 8oard
of nvestments (80).
0epartment of Trade and Industry
(0TI) Undersecretary for Trade
and Investments Promotion Croup
(TIPC) Cristino L. PanIiIio said the
grant of incentives was on a per
plane basis and the tax holiday

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to undertake renewable energy (PE)
projects in the country, the Korea
Tradenvestment Promotion Agency
(K0TPA) said.
K0TPA Trade Commissioner Johwan
Choi said 10 Korean companies are
looking to work with local rms for
PE projects.
NationaI PenewabIe Energy
oard (NPE) Chairman Pedro
haniego said Korean rms may
want to consider to work with local
companies here given available
opportunities for investments
in the PE sector.
The 0epartment of Energy (00E) has
set a threeyear installation target of
760 megawatt (VW) for PE sources.
The target is composed of 250VW
each for hydroelectricity and
biomass, 200VW for wind power,
50VW for solar energy and 10VW
for ocean technology.
HDSPITAL AN0 hE0ICAL
SEPVICES PPDJECTS
MFC to buy two more hospitals
Vetro Pacic nvestment Corp.
(VPC) is planning to acquire two
more hospitals in Vetro Vanila
as it expands its presence in the
country's healthcare industry.
hPIC Chief FinanciaI Dfcer 0avid
J. NicoI said VPC is in the process
of growing its healthcare business
with the hospital group expected to
contribute earnings of P1.58 a year
by 2015 or 2016.
MPIC hospitaIs in the country
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INFPASTPUCTUPElIPDN
AN0 STEEL
Tata $teel wants
to re-enter FHL mart
Steelmaker Tata Steel is looking at
reentering the Philippines
by setting up an ofce to handle
sales transactions.
Tata SteeI InternationaI SaIes
hanager for the PhiIippines AIan
Smith has been checking the
environment in the country
to see if the rm could setup
an ofce here.
As the rm is in the business
of selling rails for train lines,
he said, Tata Steel is also interested
in some of the government's
planned projects involving
the railways.
hANUFACTUPINC
F&G plans U$D 50-M
plant expansion
Consumer products manufacturer
Procter E Camble (PEC) is investing
US0 50V in the country over
the next ve years to expand
and improve its Cabuyao
0istribution Center.
Earlier this year, PEC inaugurated
its PJ8 baby care production
facility in Cabuyao, Laguna.
The new production line was the
rst phase in the consumer products
manufacturing giant's additional
investments in the country in the
next three years to facilitate growth
in the business by optimizing its
supply chain.
Uniqlo openin second store
Uniqlo opened its second store
in the country in keeping with its
vestore target until August next
year and a total of 50 stores in
three years.
The second store opened
at SV North Edsa has the same size,
1,581sqm., as its rst store
at the SV Vall of Asia (V0A)
in Pasay City.
All the next three stores would
likewise be located in Vetro Vanila.
Each store has an investment
of US0 1V, excluding inventories.
Uniqlo, which has 110 employees
for its SV V0A store, will employ 78
regular store associates.
Holcim to invest in new buildin
Holcim Philippines, nc. is planning
to invest US0 J50V to US0 450V
in building a new plant as demand
and sales surged.
ncoming HoIcim President Eduardo
A. Sahagun said the plant will
be built in 8ulacan with 2V tons
capacity per year. This can boost
capacity to about 9.5V tons a year
when completed in 2016.
Holcim continues to have an
optimistic outlook for the industry
and is condent that growth
will carry over to 201J given
the positive economic climate
and the impact of the publicprivate
public partnership (PPP) program.
PDWEP
Coal Asia plans expansion
in Mindanao
Coal Asia Holdings nc. is eyeing
expansion opportunities
in Vindanao amid the rise
in demand to meet the region's
energy needs.
The rm is currently in talks
with the 0epartment of Energy
(00E) and other power companies
that were planning to expand
operations in the southern part
of the country for longterm
supply agreements.
Meralco readies U$D 1.2- plant
The Vanila Electric Co. (Veralco)
is allotting US0 1.28 for the
construction of a coalred power
plant in Zambales.
heraIco President and Chief
Executive Dfcer (CED) Dscar S.
Peyes said the rm is in talks
with Aboitiz Power Corp. and the
local unit of Taiwan Cogeneration
nternational Corp. for the
engineering, procurement, and
construction of the 600megawatt
(VW) coalred power plant in Subic
8ay Freeport Zone.
Peyes said commercial operation is
expected in the rst half of 2016.
The demand for electricity is
growing at a healthy pace of more
F0lll##l0 808l088 80#0fl
than 5 for 20092012, faster than
the annual uptick of 2.2 2.J
in 20012008.
AC Enery nalizes partnership
with A. rown
AC Energy Holdings nc. has nalized
partnership with A. 8rown Co. nc.
for a P12.58 coal plant in 7isayas.
The new power facility, with
a capacity of 1J5megawatt (VW)
coalred power plant in loilo,
is expected to start commercial
operations in 2016.
Trans-Asia plans 135-MW power
plant in Mindanao
TransAsia 0il and Energy
0evelopment Corporation of
the Phinma Croup is planning
the construction of a greeneld
1J5megawatt (VW) coalred
power plant in Northern Vindanao.
Trans-Asia President Francisco
L. Viray said it is one of the three
projects under study to be part
of their generation portfolio.
The other two are the expansion
of 1J5VW coalred project
in Calaca, 8atangas and the
20VW expansion of the Vaibarara
geothermal project.
Another major project the company
will embark on is the P6.J8 54VW
San Lorenzo wind farm facility
in Cuimaras.
Carmen copper readies F10.2-
coal-red power plant
Carmen Copper is readying the
construction of the P10.28,
82megawatt (VW) Toledo coalred
power plant.
Project developer Clobal 8usiness
Power Corporation (C8PC) said
the rst delivery will be on
0ecember 26, 2014 as stipulated
in the supply agreement.
CPC Chairman Francisco C.
Sebastian said the Toledo Power
will provide 500 jobs during
the construction phase, 120 direct
and indirect jobs upon operation,
and additional tax revenues
to the host community.
Clobal Power is focusing its
nearterm portfolio expansion
in the 7isayas but not discounting
possibilities of eventual expansion
in Vindanao.
$TEAG resumes operations
of Misamis power plant
STEAC State Power nc. has
completed and resumed the
operations of a 105megawatt (VW)
unit of its coalred power plant
in Visamis 0riental to lessen power
outage in Vindanao.
This will also bring longterm
benets to the Vindanao power
consumers in terms of the power
plant's operational reliability.
Currently, the company has
delivered more than 8.J8 kilowatt
hours of electricity representing
about 20 of Vindanao's total
power supply.
First Gen plans U$D 3 expansion
First Cen Corp. (FCEN), the
Philippines' secondlargest
electricity producer, may invest as
much as US0 J8 in the next six years
to build power plants and
a liqueed natural gas (LNC)
terminal to boost its capacity by
more than half.
ts acquisition of 8C Croup Plc.'s
40 stake in two gas plants they
jointly own is also expected to
boost its prot.
FCen operates two gas plants
with combined capacity of 1,500
megawatts (VW), sourcing fuel
from Poyal 0utch Shell Plc.'s
Valampaya eld under a contract
set to expire in 2024.
The US0 J60V acquisition from 8C
will boost First Cen's prot
by US0 40V a year and unlock
the company's opportunity to
increase its gas portfolio.
The company will also invest in wind
and hydroelectric projects.
Global pursues loilo coal project
n line with the expected rise
in power demand in loilo province,
Clobal 8usiness Power Corp. (C8PC)
of the Vetrobank Croup will push
through with the third phase
of a coal project in Western
7isayas.
C8PC, through its subsidiary
Panay Energy 0evelopment Corp.
(PE0C), exercises its option for the
construction of a third 82megawatt
(VW) unit in addition to its existing
164VW clean coal power plant
facility in La Paz, loilo City.
The third unit, which will be
completed late in 2014,
will increase the PE0C total
generating capacity to J28 VW.
The option for the third unit,
which will also support the
expansion of Carmen Copper Corp.
in Cebu, is part of a contract signed
with Formosa Heavy ndustries
last Varch.
PULIC-PPIVATE
PAPTNEPSHIP PPDJECTS
Ayala eyes U$D 1.85-
FFF projects
Ayala Corporation and its
subsidiaries are eyeing at least
US0 1.858 worth of publicprivate
partnership (PPP) projects that will
be bid out by the government as it
focuses on raising recurring income
to 20 of its revenues over the next
ve to 10 years.
These projects include the US0 50V
0aang Hari toll road, which the
group already bagged.
0ther projects they intend to bid
for include the US0 J80V NAA
Expressway, the US0 470V Cavite
Laguna (CALA) expressway,
the US0 700V LPT 1, and LPT 2 which
does not have an estimated value yet.
Ayala is also bidding for the
US0 250V Vactan nternational
Airport project through a
partnership with the Aboitiz group.

0000M00f Z01Z
GE eyes healthcare FFF projects
CE is participating in the public
private partnership (PPP) program
to improve accessibility and
provide better healthcare services
of government hospitals
at lower cost.
CE PhiIippines Chief Executive
Dfcer (CED) Jocot de 0ios
emphasized the importance
placed by CE on collaboration and
partnership between the public and
private healthcare sectors.
First FFF project
on water supply in proress
Vetro Vanila will soon have
enough water supply as the
rst water project under the
government's publicprivate
partnership (PPP) program is in
progress, the PPP Center said.
The PPP Center said that through
the New Centennial Water Source
Project, the longterm water supply
for Vetro Vanila and surrounding
provinces can be ensured.
The project will involve the
construction of a dam, conveyance
structure from the diversion point
to the water treatment facility,
the water treatment facility itself,
and a hydropower facility as well
as other auxiliary facilities
necessary in the dam's operation.
French businesses express
interest on FFF
The government's publicprivate
partnership (PPP) program,
specically on roads and rail
projects, drew much interest
from French businesspeople,
the PPP Center said.
The PPP Center presented
the country's PPP program
in a recently concluded
PhilippineFrench 8usiness
Forum which was attended by
1J0 ministers, parliamentarians,
and businesspeople.
The forum highlighted the
signicant business prospects
in bigticket infrastructure projects
lined up for roll out this year.
"We presented the entre lneup
o] PPP ppelne pro]ects cnd yot
c yood response ]rom encourcyed
pcrtes," PPP Center Executive
0irector Cosette V. CaniIao said.
The PPP Center stated that
the business delegation was a
mix of global players from the
energy, aviation, aeronautics,
transportation, infrastructure,
electronics, healthcare, and
environment sectors.
ritish rms keen on FFF projects
8ritish companies have expressed
interest to participate in the
government's publicprivate
partnership (PPP) program
for infrastructure, ritish
Ambassador to the PhiIippines
Stephen LiIIie said.
"The re]orms undertcken by
the Phlppne yovernment
n n]rcstructure ncnce cnd
mprovny the busness envronment
throuyh the cntcorrupton
ntctves cre the recsons why
8rtsh compcnes cre keen
to enycye n the Phlppnes'
n]rcstructure proyrcm," Lillie said.
He said the commercial
opportunities in the Philippines
for PPP are huge.
"The opportuntes cre lcrye
beccuse the needs cnd expectctons
o] the people cre lcrye. lnvestment
now ccn be the plct]orm needed
]or sustcned yrowth n the yecrs
checd," he said.
MFC chooses local partner
for airport projects
Vetro Pacic nvestments Corp.
(VPC) is set to announce a partner
for its foray into the airport
operations business which the
government plans to bid out
under its publicprivate partnership
(PPP) program.
"The dec s we wll ]ontly bd
on ecch crport pro]ect thct mcy
become cvclcble," hPIC Chief
FinanciaI Dfcer 0avid h. NicoI said.
This development is only the latest
of consolidation moves among
the country's top conglomerates,
which have been coming together in
unprecedented ways to outbid each
other for a piece of the PPP program.
VPC and its potential partner
are seen to go against other large
groups, including a strategic
partnership between Ayala Corp.
and Aboitiz Equity 7entures nc.,
which is eyeing the P108 Vactan
Cebu nternational Airport Passenger
Terminal project.
PEAL ESTATE
Ayala plans F28.5-
redevelopment
Ayala Land nc. (AL) has announced
a P28.58 redevelopment of Ayala
Center to make it a more vibrant
mixeduse center.
"As we pursue our yrowth strcteyy
wth the development o] other
busness dstrcts n Metro Mcnlc
cnd ccross the country, we wll
contnue to enhcnce Mckct so t
mcntcns ts plcce cs the premere
destncton n the Phlppnes,"
AyaIa Land President and Chief
Executive Dfcer (CED) Antonino
Aquino said.
The redevelopment plan includes
two business process outsourcing
(8P0) ofce towers, three hotels,
and two residential towers.
Clorietta will also have a total
of 864 outlets and reenergized
Activity Center costing PJ.18 for
different events.
$M to invest F75 in hotel
The SV group is investing additional
P78 in its hotel portfolio including
a luxury hotel within Vall of Asia
(V0A) and ve new Park nn Hotels
across the Philippines.
Sh HoteIs Vice President Christina
autista said the upcoming vestar
F0lll##l0 808l088 80#0fl 8
hotel in V0A will require P4.58
and P500V investments in each Park
nn Hotel, noting that this would
bring P2.58 in the expected outlay
for the ve new Park nn Hotels.
The group also has 24,000 sqm of
leasable exhibit space at the V0A
SVX Complex and 7,000 sqm in
0avao. The next SVX will also open
in Aura, Fort 8onifacio with 5,000
sqm lot area.
Robinsons eyes 37
th
mall
Pobinsons Land Corp. (PLC) is
planning to build its J7
th
shopping
mall in the country, which is
expected to start commercial
operations by 0ecember 201J.
The upcoming Pobinsons Town
Vall is set to rise in Valabon's
2J,000sqm lot which is bounded
by residential areas, educational
institutions, and commercial
buildings.
The said mall would have parking
space for both private cars
and public transport and projected
to house more than 250 stores.
DO plans corporate center
in Ortias
8anco de 0ro (800) is planning
the construction of the 47storey
800 Corporate Center 0rtigas
above the upscale shopping mall
The Podium.
"The buldny hcs been desyned
to nternctoncl yrcde A stcndcrds.
The plcnnny s ]unctoncl
cnd e]cent, cnd ]oor plctes
cllow ]exble lcyouts ]or both
snyle cnd multple tencnces,"
Arquitectonica 0irector for Asia-
Pacic Peter rannan said.
The tower is part of the
development plan for the 2ha
prime commercial property.
The master plan may also include
the expansion of The Podium,
a second ofce tower, and another
mixeduse edice with hotel and
service apartment components.
Felcris Hotels to invest F5
in Davao real estate project
Felcris Hotels and Pesorts Corp.
will invest P58 in its recently
launched hotel project in 0avao
named "Felcris Centrale,"
a major development project
located in a 5.9ha lot which
will include a shopping mall,
ofce buildings, residential
towers and hotels.
Felcris Centrale will feature a
12storey commercial complex
with a 10oor ofce space and a
twolevel retail and entertainment
center complete with supermarket,
boutiques, restaurants, and
specialty shops. The rst phase of
the project will be the completion
of the mall and business processing
outsource (8P0) building worth
at least P18.
Century sets 2013 openin
of Makati mall
Century Properties Croup nc.
is soon to see its rst retail
development with its velevel
Century City mall in Vakati,
which is expected to open its doors
to the public in 201J.
Located within the J.4ha
masterplanned development
Century City along Kalayaan Ave.,
the mall will have a gross oor area
of 50,000 sqm.
The mall would serve as the
neighborhood lifestyle center
for Century City residents, tenants,
employees and visitors. t will
feature a supermarket and stores,
concept shops, four cinemas,
cafes, and restaurants.
Approximately 110 retail spaces
are currently being leased out.
Three basement oors with 527
parking slots will be available
for visitors/guests.
The completion dates of these
buildings will start from this month
to 2016.
PESEAPCH AN0
0EVELDPhENT

$Fi Global unit buys educational
publishin rm
SPi Clobal subsidiary Laserwords
has acquired Tighe Publishing
Services, a fullservice educational
development house in the K+12
educational marketplace.
8efore the acquisition, Laserwords
has established itself with school
publishers. However, it needed
an experienced editorial and
design team to compete for major
publishing projects. The acquisition
of Tighe lls that gap, with
Laserwords positioning for larger
educational programs.
CTV, A]C launch iCollee
nformation Capital Technology
7entures nc. (CT7) and the
Asian nstitute of Journalism
and Communication (AJC)
have partnered to launch
iCollege, an academeindustry
partnership that seeks to offer
professional certicate courses
in media and information
and communications technology
(CT) education.
Pecognizing the need to
continuously upgrade Filipino
knowledge and expertise to match
global standards, the iCollege was
developed to empower Filipino
knowledge professionals with the
latest technologies in digital media
and CT.
TELECDh
FLDT taps contractors
for ber-to-the-home project
The Philippine Long 0istance
Telephone Co. (PL0T) has tapped
seven international and local
contractors for the P1.88
xedline bertothehome (FTTH)
network rollout program to deliver
to millions of Filipino homes the
full range of broadband nternet
service.
PL0T-Smart TechnoIogy Croup
Head PoIando C. Pea said the
initial rollout will cover Vetro
9
0000M00f Z01Z
MA]OR
FRO]ECT$
Century Cannin buys meat
business RFM Corp.
Food and beverage company PFV
Corp. has nalized the sale of its
meat business under the Swift
brand to the Century Canning
Croup subsidiary Pacic Veat Co.
for P850V.
PFV said the sale covers the Swift
brand and specic processed
meat equipment and current raw
materials and nished product
inventories.
Century Canning is part of the
Century Pacic Croup, maker of
popular brands like Century Tuna,
555 sardines, Argentina corned
beef, and owner of the Yoshinoya
Japanese fastfood chain.
PFV said the sale will allow it to
focus and expand on its strengths
such as in Selecta, its ice cream
joint venture with Unilever, Fiesta
pasta, White King ourbased mixes,
Selecta Vilk, and Sunkist beverages.
AL, ]apan partners to open
FamilyMart convenience stores
Ayala Land nc. (AL) and its
partners, Store Specialists nc.
and tochu Corporation of Japan,
are investing about PJ00V for
the roll out of its rst foray into
the convenience store business.
ALI Chief Finance Dfcer Jaime E.
YsmaeI said they will need about
P80V for the rst year and less
than PJ00V over the next ve years
to open FamilyVart Convenience
Stores nationwide.
Ysmael said they will initially
open J0 stores in 201J but will
eventually open "c couple o]
hundred stores.
COMFANY
NOTE$
National sanitation proram
costs F5.6
To eliminate drainage clogging
in urban areas as part of ooding
prevention, a national sanitation
program aims to pour in P5.68
until 2020 for sewerage and septic
infrastructure.
The National Sewerage and Septic
Vanagement Plan (NSSVP) will
receive a 40 funding share from
the national government.
7irtually 90 of the country's
sewage (untreated waste
water with all diseasecarrying
bacteria) are not treated properly.
Less than 10 of the country's
population have access to piped
sewerage system.
The NSSVP is targeting 60 local
government units (LCUs) to have
developed local sanitation plans and
constructed 76 septic and sewerage
projects in coordination with water
districts by 2020.
FNoy sins updated reular
forein investment neative list
President enigno S. Aquino III has
signed Executive 0rder (E0)
No. 98 which updates the 9
th
Pegular
Foreign nvestment Negative list by
reecting the provisions of newly
enacted laws.
This E0 species the business
activities that are open to Filipino
businesspeople and denes the
limits in the participation of foreign
investors in areas stated by laws
and the Constitution.
"There cre nvestment crecs or
cctvtes whch ]oreyn ownershp
lmtctons mposed by lcw were not
ncluded n EO 858. Those chcnyes
cre now re]ected n the Lst A o]
the new presdentcl drectve,"
Executive Secretary Paquito N.
Dchoa said.
PresidentiaI 0eputy Spokesperson
AbigaiI VaIte said the new
E0 becomes a summary of all
prohibitions, the limitations, and
the areas that are free for foreign
investments. She said E0 No. 98
would not turn off foreign businesses
but would serve as a guide.
Areas where foreign ownership
is prohibited by Iaws
Adverl|s|r
Cooperal|ves
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Lerd|r corpar|es
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0Wrers||p ol pr|vale |ards
Pracl|ce ol a|| proless|ors
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relWor|
Pr|vale recru|lrerl lor |oca|
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3ra||-sca|e r|r|r
FOLCY
Vanila, Cavite, 8ulacan, Laguna,
8atangas, Cebu, 8acolod, loilo,
and 0avao.
The nationwide FTTH expansion
program will cover about 240,000
access ports and will pass by over
2V homes.
Globe partners with FLDT
Clobe Telecom has announced the
commercial activation of its local
interconnection in Tarlac between
Clobelines and the Philippine Long
0istance Telephone Co. (PL0T).
"Ths shows thct despte beny
compettors, mc]or plcyers lke
6lobe cnd PL0T ccn stll provde
coopercton, coordncton,
cnd support towcrds c]]ordny
more people yrecter cccess
to telecommuncctons,"
CIobe Corporate and LegaI
Services Croup Head FroiIan h.
CasteIo said.
Clobe and PL0T landline customers
in Tarlac will no longer pay for long
distance charges when calling the
other network.
F0lll##l0 808l088 80#0fl 10
LATERAL
AGREEMENT
Canada pledes more investments
in FHL
From the current US0 1.58 total
trade between Canada and the
Philippines, Canadian Prime hinister
Stephen Harper Harper pledged
increased investments in the country
when he met recently with President
enigno S. Aquino III.
Harper described the Philippines
as an "important economic
partner," citing the Philippines
as "an emerging Asian tiger" and
echoing the bullish outlook on the
country by political and business
leaders in various parts of the world.
Aquino and Harper witnessed
the signing of a memorandum
of understanding (V0U) on
"CovernmenttoCovernment
Transactions in 0efense and Vilitary
related Equipment, Vaterials and
System and/or Services" between
Canada and the Philippines.
8oth leaders also pledged their
nations' commitment to defense
and trade cooperation, and people
topeople exchanges between
Vanila and 0ttawa.
FHL joins alliance
for suar tradin
Sugar industry stakeholders
from the Philippines, Thailand,
and ndonesia have formed an
alliance to strengthen sugar
trading in preparation for the 2015
Association of Southeast Asian
Nations Economic Community (AEC).
The Sugar Pegulatory Administration
(SPA) said several private groups
in the Philippine sugar industry
joined the ASEAN Sugar Alliance
(ASA) following a visit to Thailand
last August.
ASA will be the venue for
exchanges and collaboration
on sugarcane, sugar and related
products researches among alliance
members, the SPA said.
Taiwanese companies seekin
FHL partners
The Taiwan Trade Vission was
recently conducted in Vakati
City to build close business
partnership between Taiwan
and the Philippines.
Pepresenting various business
sectors in Taiwan such as skin
care products, auto accessories,
hardware, socks, tools, electronic
components, health and medical
equipment, beauty accessories,
and food, top Taiwanese industry
suppliers and food franchisees
gathered for a trade mission to seek
local partners.
Taiwanese suppliers brought with
them the latest product information
and the most innovative samples,
including a variety of information
and communications technology
(CT) products, android platform
tablets, among others.
lt wll hcve to be n the hundreds
to be cble to mcke c d]]erence."
Nestl commits
buyin Robusta coffee
Nestl, the biggest buyer of
Pobusta coffee beans in the
Philippines, has committed to
purchase 204,000 metric tons (VT)
of Pobusta coffee beans straight
from farmers by the year 2020
through Farmer Connect.
Farmer Connect is a direct
buying system that encourages
small farmers and smallscale
intermediaries to sell their produce
directly to Nestl Satellite
8uying Stations.
"As loccl ]crmers brny n cnd sell
ther co]]ee drectly to us throuyh
Fcrmer Connect, we mcke sure thct
they ycn cccess to compettve
prces ]or ther loccllyproduced
co]]ee becns. ln e]]ect, whct we
cre reclly tryny to ccheve throuyh
Fcrmer Connect s to mcke co]]ee
cn cttrcctve crop to yrow cnd
mcke t c sustcncble lvelhood
]or our yrowers," NestI Ltd.
Corporate Head of AgricuIture
Hans Joehr said.
$MC partners with Folish
cannin rm
San Viguel Corp. (SVC) announced
that its packaging business,
San Viguel Yamamura Packaging
Corp. (SVYPC), has entered into a
partnership with Polandbased
CanPack S.A. to manufacture
aluminum cans. The jointventure
company will be named Can Asia nc.
The CanPack Croup (CPC) is a
major player in the global packaging
industry with revenues exceeding
US0 1.48 and operations established
in Ukraine, Pomania, Spain, Finland,
Pussia, Turkey, Vorocco, Egypt, ndia,
and the United Arab Emirates (UAE).
The strategic partnership aims to
introduce various aluminum can
packaging formats to the growing
market in the Philippines and the
Asia Pacic region.
Volkswaen partners with Ayala
Europe's carmaker 7olkswagen AC
has partnered with Ayala Corp. for
the distributorship of its passenger
vehicles in the country.
7olkswagen, world's second
largest automobile manufacturer,
announced the appointment of
Ayala's wholly owned subsidiary,
Ayala Automotive Holdings Corp.,
as the Philippine distributor for
7olkswagen passenger vehicles.
"We cre very excted to brny
\olkswcyen's technoloyy cnd
enyneerny expertse to the
Phlppne mcrket. Ths pcrtnershp
wll no doubt enhcnce our current
port]olo o] cuto brcnds yven the
domncnt poston o] \olkswcyen
n the ylobcl cutomotve mcrket,"
AyaIa Corp. President and Chief
Dperating Dfcer (CDD) Fernando
ZobeI de AyaIa said.
11
0000M00f Z01Z
ON THE
CALENDAR
P
h
i
I
i
p
p
i
n
e

P
o
s
t
a
I

P
e
r
m
i
t

N
o
.

5
0
4
A$EAN
WATCH
Fhilippine Forts & $hippin
For its sixth year run, the Philippine
Ports and Shipping Exhibition
and Conference will be held
at the Peninsula Vanila Hotel
on January J0J1, 201J.
Acclaimed as the largest container
ports and terminal operations
biennial exhibition and conference
in the country, this event will
feature the products and services
of companies such as international
freight forwarders, ship brokers,
maritime organizations, haulage
companies, container terminal
equipment, and services suppliers.
FHL a key country for investment
in A$EAN
The Philippines was cited in the
nside nvestor Forum Asia 2012
held in 0oha, Qatar as one of the
key countries ripe with investment
opportunities in Southeast Asia, the
PublicPrivate Partnerships (PPP)
Center reported.
PPP Center 0irector Cosette V.
CaniIao spoke before participants
consisting of global investment
leaders and policy and decisions
makers from the Association of South
East Asian Nations (ASEAN) and the
Culf Cooperation Council (CCC).
0uring the panel discussion on
transport and infrastructure, Canilao
presented the pipeline of 22 PPP
projects including bigticket projects
on infrastructure, highlighting areas
for investment and partnerships.
Canilao stressed that the Philippines
is currently reaping the benets
of a sound scal management
backed by the Aquino
administration's commitment to
transparency and accountability.
Currently, Qatar has poured about
US0 48 to US0 58 in foreign direct
investments (F0s) in oil, gas,
petrochemicals and infrastructure
in Valaysia, Singapore, ndonesia,
Thailand, and the Philippines,
with the country getting the bulk
of these investments.
A$EM leaders reject trade
protectionism
Asian and European leaders
renounced protectionism and vowed
to promote free trade at a major
summit in Laos.
0ozens of leaders converged on
Laotian capital 7ientiane for the
AsiaEurope Veeting (ASEV) summit,
seeking to strengthen trade links
between two regions that together
account for about half of global
economic output.
Asian nations also pledged support
for European efforts to bring its
debt crisis under control with
austerity measures.
Taiwanese food franchisees
are also looking for partnerships
in businesses such as Cantonese
restaurant, western style burgers,
and tea shops.
DT ures Turkish rms
to look at FHL
0uring a recent business mission
in Ankara, Turkey, 0epartment
of Trade and Industry (0TI)
Undersecretary for Trade
and Investment Promotions
Croup (TIPC) Cristino L. PanIiIio
urged members and ofcials
of the Union of Chambers of
Commodity Exchanges of Turkey
to look into trade and investment
opportunities in the Philippines,
citing the country's growing
economy, strategic location,
and rich talent pool.
Panlilio said the Philippines
is a good place to invest in given
its favorable economic conditions,
citing some indicators of the
growing Philippine economy
such as the unprecedented
growth in the stock market,
stable and resilient economic
growth, and continuous inow of
overseas Filipino worker (0FW)
remittances.
Malaysia explores
trade prospects in FHL
Ayala Land, Ayala Foundation,
and Ayala Property Vanagement
Corporation welcomed
J2 businesspeople representing
24 information and communications
technology (CT) companies
from Valaysia to a site visit
at UP Ayala Land Technohub
in Quezon City.
The group's visit was part
of a twoday mission cosponsored
by The Embassy of Valaysia Trade
0fce Vanila (VATPA0E) and
the Philippines' nformation
and Communications Technology
0fce (CT0).
uezon City Administrator hanny
SabaIza and CTD 0eputy 0irector
honchito . Ibrahim encouraged
the trade mission to look around
for possible CT opportunities
in the Philippines.
F0lll##l0 808l088 80#0fl 1Z
40
40.5
41
41.5
42
42.5
0ec-12 Nov-12 0ct-12 8ep-12 Aug-12 Ju|-12
Feso per U$ Dollar Rate
5.3
5.4
5.5
5.
5.7
5.8
0ec-12 Nov-12 0ct-12 8ep-12 Aug-12 Ju|-12
nterest Rate ()
Entered as Third-CIass MaiI at the
Makati CentraI Post Ofce
under Permit No. 504
vaIid untiI 31 December 2012
F0lll##l0 808l088 80#0fl
0000M00f Z01Z
PhiIippine Business Report |s puo||s|ed rorl||y oy l|e Trade ard lrduslry lrlorral|or Cerler (TllC), 0eparlrerl ol Trade ard lrduslry, 2F Trade ard lrduslry
8u||d|r, 31 3er. 0|| J. Puyal Averue, Va|al| C|ly 1200, P||||pp|res P|ore (32) 895.311 Fax (32) 895.18Z To suoscr|oe, e-Va||: puo||cal|orsdl|.ov.p|
Ed| lor| a| Tear: Anne L. SeviIIa, Ed| lor-| r-C|| el Vic S. Soriano, Vara| r Ed| lor Cresenciano P. Par, Ass| slarl Ed| lor Jam A.
Hourani, EIaine M. Lazaro, ard Emman R. CaIeon, wr|lers Ren C. Neneria, 0es|r Layoul Myrna V. de Ios Reyes, C|rcu|al|or.
Economic
ndicators
6Nl 6ross Nctoncl lncome
As of December 04, 2012
128
129
130
131
132
0ct-12 8ep-12 Aug-12 Ju|-12 Jun-12 Hay-12
Consumer Frice ndex
(2000 base year)
0
1
2
3
4
5
0ct-12 8ep-12 Aug-12 Ju|-12 Jun-12 Hay-12
nflation Rate ()
(177+ base year)
As of December 04, 2012
0
1
2
3
4
5

7
8
20 (2011} 30 (2011} 40 (2011} 10 (2012} 20 (2012} 30 (2012}
GDF Growth Rate ()
0
1
2
3
4
5

7
20 (2011} 30 (2011} 40 (2011} 10 (2012} 20 (2012} 30 (2012}
GN Growth Rate ()
0
1000
2000
3000
4000
5000
000
8ep-12 Aug-12 Ju|-12 Jun-12 Hay-12 Apr-12
Exports
(n U$D illion)
4,400
4,00
4,800
5,000
5,200
5,400
5,00
Aug-12 Ju|-12 Jun-12 Hay-12 Apr-12 Har-12
mports
(n U$D illion)