* AI ("Artificial Intelligence") subtitles on Tagalog.com are generated using "Whisper" by OpenAI (the same company that created ChatGPT and DallE2). Results and accuracy may vary.
* The subtitles do include errors occasionally and should only be used as a tool to help with your listening practice.
* You can request this website to create a transcript for a video if one doesn't already exist by clicking the "Request AI Subtitles" button below a video. Transcribing usually takes 30-40% of the length of a video to complete if there are no other videos in
the queue. For example, a 21 minute video will take 7-8 minutes to transcribe.
* Running a super fast cloud GPU server to do these transcriptions does cost money. If you have the desire and financial ability, consider
becoming a patron
to support these video transcriptions, and the other tools and apps built by Tagalog.com
00:17.7
Mobility will be key to recovery
00:25.2
because we have relaxed some of our quarantine methods
00:29.5
and we have allowed more transportation to come out.
00:33.9
That's going to prove to be better for demand.
00:37.1
If we do follow the health protocols,
00:39.9
the ability of people to move around will likely contribute better to growth.
01:29.5
Thank you for watching!
01:59.5
Thank you for watching!
02:29.5
Thank you for watching!
02:59.5
Thank you for watching!
03:29.5
I think basically what happened there was during the pandemic,
03:35.2
everybody wanted to share some feelings, especially during isolation.
03:41.9
Everybody who asked me what kind of business, I always say,
03:46.5
what is it that you love? And they say, I love pets.
03:49.6
Okay, that's where you get into.
03:52.0
Well, number one, you have to know and you have to love your business.
03:56.2
If you don't love your business and you're just investing,
04:00.0
forget about it. Number two,
04:02.2
you have to know and probably collab with a veterinarian.
04:07.0
Because you have to take care of the pets, no?
04:08.9
I mean, they're not just there for show.
04:11.5
You have to also have that rapport with your customers.
04:16.1
They're able to explain. They're like an advisor.
04:19.2
They're not just there for sales.
04:22.0
After this pandemic or during this pandemic,
04:24.3
I've seen the boom of the pet industry.
04:29.5
We're going to talk to the lady boss, Stephanie Tanley-Gonzalez,
04:38.0
the vice president and COO of one of the country's finest and leading furniture manufacturers.
04:42.9
Philips started really as a mom-and-pop company.
04:55.6
And in 1980, it started with two carpenters in the backyard.
04:59.5
Up to now, we still use the traditional techniques of wood manufacturing.
05:04.5
What I'm most proud of is that at the core of the DNA of Philips,
05:09.3
it's really about highlighting Filipino craftsmanship.
05:12.6
We strive for international standards in terms of design and services.
05:16.5
So that's our goal, right?
05:17.8
Bringing us to the international level in terms of product and design and service,
05:23.0
but still maintaining the Filipino.
05:25.5
Did you ever dream you'd ever be on television, your own TV show?
05:29.5
I wanted to be a VJ when I was a teenager.
05:33.5
I was just really pleasantly surprised to get the call from someone in ABS and saying,
05:39.7
We have this show in the pipeline and we want you to co-host it.
05:43.3
Are you enjoying it?
05:46.2
I'm enjoying it simply because it's something I'm passionate about.
05:50.7
So I get to meet different interior designers.
05:53.0
I get to meet architects.
05:55.3
I get to meet clients who are passionate about design.
05:57.6
And I understand the manufacturing.
05:59.5
Inside of it, it's like a parallel work to me.
06:09.8
What do you think Congress failed to do at that time in order for the country to avoid having a broken transport system?
06:17.7
With what is happening on the ground, with what is happening in the West Philippine Sea,
06:21.2
our fishing and being driven away from their traditional fishing grounds, this doesn't add up.
06:25.9
How is this affecting the morale of the force?
06:28.4
Tell us, what is it?
06:29.5
What is it about the system there that really allows this impunity to exist?
06:36.4
Is the Philippine government inherently powerless in this situation?
06:39.7
Your no-nonsense, no-time news fix on ASC.
06:43.7
Dateline Philippines with Carmina Constantino.
06:47.1
Weekdays at 12 noon, only on ASC.
06:59.5
This is the Philippines.
07:21.4
Hello everyone, I'm Michelle Lansane in Manila at 10 in Tokyo and 9 p.m. in New York.
07:27.6
Asian markets heading lower as declines.
07:29.5
Clients in tech mega-caps and simmering tensions in the Middle East dragged investor sentiment.
07:35.5
The PSE index still in the red, kicking off from 65-62.
07:43.0
Double Dragon's net income grew 23% to nearly 16 billion pesos last year.
07:49.0
It's expecting a stronger balance sheet this year following the Nasdaq listing of its subsidiary, Hotel 101 Global.
07:58.3
Ayala Group's listing.
07:59.7
Energy platform, ASAN, signs a $150 million green term loan facility with the Singapore branch of Sumitomo Mitsui Banking Corporation.
08:10.0
And later, we discuss how geopolitical tensions affect the global business climate with American Chamber of Commerce of the Philippines.
08:17.3
We meet the very first female president of Amcham, Sarah Murphy.
08:22.1
Plus, we talk about the transition to a cleaner energy future with Prime Infrastructure President, Guillaume Luchi.
08:29.5
We begin with a look at morning trade in Asia.
08:35.1
They are heading lower Tuesday following Wall Street's tech slump.
08:38.9
Benchmark markets in Japan, Hong Kong, and Australia opening down.
08:43.6
As you can see, with the Nikkei 225 leading losses, they're down by 1.6%.
08:49.0
China, which opens in about 25 minutes, also signaling its caution towards monetary easing as currency depreciation pressures mount
08:57.0
by withdrawing cash from the banking system.
08:59.2
For a second consecutive month, Chinese authorities have been struggling to manage economic risks
09:04.0
and deal with policy diversions from Washington.
09:07.6
Now, on tap for release today is China's GDP print, retail sales, and industrial production numbers.
09:13.9
The Japanese yen also very much in the spotlight as it remains under pressure,
09:18.0
having weakened three-quarters of 1% overnight against the greenback,
09:21.9
boosting speculation once again that authorities may finally intervene.
09:27.0
Meanwhile, we're also waiting for the IMF.
09:29.2
The IMF published its latest World Economic Outlook report.
09:32.7
Now, stateside, U.S. futures may see modest gains.
09:35.5
As you can see, futures are slightly higher by less than a tenth of 1% each.
09:40.6
The Dow could see a rebound after falling for a sixth straight day yesterday.
09:48.0
Over on Wall Street, tech mega-caps dragged down stocks on Monday as bond yields jumped.
09:52.8
After a hotter-than-expected retail sales number spurred bets,
09:56.1
the Federal Reserve will be in no rush.
09:59.2
It will cut interest rates.
10:00.5
Simmering tensions in the Middle East also dampening investor sentiment with a VIX.
10:04.6
That's Wall Street's favorite fear gauge, hitting levels last seen in 2023.
10:09.8
In the volatile session, if you look at the board,
10:12.2
the S&P 500 fell about 1.2%, breaking below 5,100, its lowest in almost two months.
10:21.5
The Dow Jones also losing over three-quarters of 1%.
10:25.2
Well, the tech-heavy Nasdaq tumbled 1.8%,
10:28.1
as rate-sensitive technology is down by 3.5%.
10:28.5
As rate-sensitive technology is down by 3.5%, as rate-sensitive technology is down by 3.5%.
10:28.6
As rate-sensitive technology is down by 3.5%.
10:29.2
The market caps dropped, led by Microsoft, Apple, and Nvidia.
10:35.8
I felt like the market moved up strongly because I think there was a relief
10:41.5
that there didn't look like there would be a strong retaliation by Israel
10:45.2
with everything that went on this weekend.
10:47.9
But then the retail sales number was announced,
10:51.7
and that came in hotter than expected.
10:53.9
So when you couple the retail sales number today with the CPI print
10:58.7
of last week, that's a pretty strong cocktail of hot economic data.
11:09.0
Now, in highlights from corporate America,
11:11.7
two of Tesla's top executives have left the firm amid the carmaker's largest ever round
11:17.5
More on that later in the show.
11:19.2
CVC Capital Partners also reviving plans for an IPO in Amsterdam,
11:23.7
plus Deutsche Lufthansa cutting its annual profit outlook as the German airline group.
11:28.7
Absorbs the financial hit from prolonged strikes in recent months.
11:34.4
Back here at home, here's a look at the local corporate headlines we're monitoring.
11:38.2
This morning, Double Dragon, which just celebrated its 10th year listing anniversary,
11:43.5
saw a rosy 2023 with its net income jumping over 23% to nearly 16 billion pesos.
11:51.4
Its total assets and equity also up around 16% year-on-year,
11:55.6
with its net debt-to-equity ratio one of the lowest,
11:58.5
among Philippine-listed companies.
12:00.5
The firm expects stronger balance sheet this year after the merger of its subsidiary,
12:04.6
Hotel 101 Global, with a U.S.-based JV SPAC,
12:07.5
is completed, paving the way for its NASDAQ listing.
12:11.2
Once completed, Hotel 101 will have an equity value of 130 billion pesos.
12:19.7
Still on earnings, Apex Mining's net income up 6% to 3.5 billion pesos last year
12:26.3
as revenue jumped 18%.
12:28.3
Let's take a look at the chart.
12:28.4
Let's take a look at the chart.
12:28.4
The Viz was primarily driven by the high realized metal prices with gold averaging
12:34.2
over $1,962 per ounce and silver at $2,351.
12:41.7
Century Properties Group capping its 2023 operations with a strong performance as well,
12:47.8
reporting consolidated net income after tax of 1.86 billion pesos.
12:53.2
That's 32% higher than in 2022.
12:56.7
Revenue also growing 14%.
12:58.4
That's 12.7 billion, driven by the sustained stronger contribution of its first home residential development platform.
13:07.5
And Ayala Group's listed energy platform, ASEN, through its subsidiary, ASEN Renewables International,
13:12.9
signs a $150 million green term loan facility with Sumitomo Mitsui Banking Corporation, the Singapore branch.
13:21.1
The green term loan with a tenure of five years aims to advance its strategic expansion into several key international markets,
13:29.4
Now, this marks the first partnership between ASEN and the financial institution
13:33.5
as ASEN aims to achieve 20 gigawatts of renewables by the year 2030.
13:40.0
And going back to the earnings stream,
13:42.4
Alliance Global Group, the holding company of tycoon Dr. Andrew Tan,
13:45.8
posts a record-breaking 30 billion pesos in net income for 2023.
13:50.7
That is up 20% year-on-year, despite higher inflation that pushed costs up across the board.
13:57.0
Net income attributes,
13:58.4
also up 21% to 19.6 billion as consolidated revenues grew 15% to 211 billion pesos.
14:08.0
Now, for those who missed it, a recap from yesterday's corporate earnings reports,
14:13.2
Coconut product manufacturer, Accelum Resources, which recently just secured a multi-billion peso investment from MVP,
14:20.2
reported a core net loss of 158 million pesos last year, sales only hitting 5.7 billion.
14:28.4
was attributed to the weaker than normal performance to the pandemic-induced shipping crisis
14:33.9
and slower demand across key markets.
14:36.3
Meanwhile, it's also setting aside up to 400 million pesos for CapEx this year.
14:41.8
And the net income of Philippine fast-casual restaurant Shakey's Pizza Ventures for 2023
14:48.2
hit over 1 billion pesos.
14:51.9
It breached the 1 billion mark.
14:53.8
That's from 874 million it posted in 2022.
14:58.4
While it booked double-digit growth across its portfolio last year,
15:01.7
the persistent inflationary pressure continued to dampen consumer sentiment,
15:06.5
leading to a softer growth performance during the second half of the year.
15:12.5
Shakey's delivered record-high fourth-quarter sales supported by festive comeback in December.
15:20.7
Overseas efforts to end wars in the Middle East and Ukraine
15:23.6
expected to dominate this week's meeting of the group of seven foreign ministers
15:27.1
happening in India.
15:28.4
Italy, the ministers from the U.S., Italy, Germany, Japan, France, Britain, and Canada
15:34.6
are expected to present a united front in demanding a ceasefire in Gaza
15:38.8
and reiterate the full backing for Ukraine in its two-year war against Russia.
15:44.0
Israel has so far been resisting repeated calls to suspend their Gaza offensive.
15:48.4
While over in Ukraine, the momentum seems to have shifted in Russia's favor,
15:52.6
with the West seemingly unable to provide Kiev with the weaponry it desperately needs.
15:58.4
Our international position is very clear.
16:03.7
But if our position is strong,
16:08.3
it's easier to talk with others.
16:12.9
We are united. This is crucial.
16:19.8
Meanwhile, the Israeli army vowing retaliation against Iran
16:23.4
following its unprecedented attack over the weekend.
16:26.3
Israeli Prime Minister Benjamin Netanyahu
16:28.4
summoned his war cabinet for the second time in less than 24 hours
16:32.3
to decide how to react to Iran's first ever direct attack on Israel.
16:39.5
I want to thank all our international partners
16:44.1
who stood up to Iran's aggression.
16:48.3
Iran's attack has created new opportunities for cooperation in the Middle East.
16:54.7
We are closely assessing the situation.
16:58.4
We remain at our highest level of readiness.
17:02.5
Iran will face the consequences for its actions.
17:07.2
We will choose our response accordingly.
17:16.0
The Middle East conflict threatening to cripple a fragile global economy.
17:20.0
Financial markets are fluctuating while oil prices are heating up
17:23.5
amid fears of a wider conflict in the volatile region.
17:26.1
All these on top of uncertain risks.
17:28.3
All these on top of uncertain risks.
17:28.4
and rate environments and stickier-than-expected inflation narratives.
17:31.8
To talk about how these tectonic shifts on the global stage
17:34.5
are affecting investment decisions
17:35.9
and ways to rebuild international business activities,
17:39.3
we have with us Sarah Murphy,
17:40.9
the first female president of the American Chamber of Commerce of the Philippines.
17:45.5
Hi, Sarah. Welcome to Market Edge.
17:48.0
Thank you. Good morning, Mimi.
17:49.4
It's nice to meet you, and I have so much respect for you in this program.
17:52.6
So thank you for having me today.
17:53.5
Thank you for joining us.
17:56.0
We were supposed to invite you for Women's Month.
17:58.4
Because you just made history as the first female president of the American Chamber of Commerce of the Philippines.
18:04.0
So how has the work been so far and what are your priorities?
18:09.6
Sure, yeah, absolutely.
18:10.8
So first, just so much appreciation for the opportunity to be the first female president of the U.S. Chamber of Commerce here in the Philippines.
18:18.3
Big thank you to our members and my peers on the board for their trust in my abilities to lead the organization.
18:25.4
You know, I'm not an expert in U.S. government or foreign affairs, and I won't pretend that I can speak fluently on what's going on in Washington or trade agreements, what have you.
18:34.1
But as the leader of the chamber, I am a connector and I can help amplify the voices of our members to make sure that we're able to grow and have a sustainable approach to doing business here in the Philippines.
18:45.2
And that's very much aligned with my values as well as the commitments of the chamber around advocacy, education and resources, collaboration and recognition.
18:54.0
You said that it's your job.
18:55.4
It's your job to amplify the voices of your members.
18:57.7
What are they saying at this point?
18:59.7
It's been a pretty interesting year, pretty strong start to the year, and then things are, it feels as if things are going to a pause right now.
19:08.7
What are your members saying?
19:10.1
What are you hearing from them?
19:11.6
What are some of their top concerns?
19:13.7
Yeah, I think, you know, as you look around the world, like many countries are facing an aging workforce.
19:18.2
I mean, many have upwards of 30 percent of their workforce aging out at like 55 years old or older.
19:23.2
That's not an issue here.
19:24.5
What we believe there is an issue and an opportunity is with respect to upskilling our existing workforce for the future and then building sustainable, hard and soft skills training into our education system.
19:36.3
And so we must provision basic education, higher education and vocational education to include relative skills, build training opportunities and exposure to the future.
19:45.3
And so I think our role is to bring members together and collectively prioritize where we believe those investments are necessary and look across industries.
19:53.7
I obviously sit in the BPO industry, and in my company, we work closely with the foundation on a contact readiness program.
20:00.5
And while we will be changing hundreds of lives over the course of years, it's hundreds of lives over the course of years.
20:05.8
But if we come together as a BPO industry and work to invest in the education system, we're talking about changing the lives of generations and future generations to come.
20:15.7
Kind of goes back to the old adage, if you want to go fast, go alone, but if you want to go far, go together.
20:21.3
And that's absolutely the case here as we look across industries.
20:23.7
And investing in upskilling our existing workforce and investing in our youth.
20:29.3
Sarah, for those who are watching us, they may know you already because you are the president of Capital One Philippines.
20:36.2
You're leading how many? 4,000 Capital One associates in the country.
20:41.7
And you're also, I know, taking initiatives to also expand in Southeast Asia your operations.
20:49.5
So as a woman who's breaking these glass ceilings.
20:53.8
What can women executives expect from the American Chamber of Commerce to help support other women who are also trying to climb up the corporate ladder?
21:03.4
Sure, absolutely.
21:04.0
And I think it's human nature to look to others to kind of validate narratives that we have about ourselves, both what's possible and maybe even where we're putting limitations on ourselves.
21:14.7
So I hope that with my appointment, other female leaders can kind of really challenge themselves on what is possible.
21:21.5
And then I think there's the power of storytelling.
21:23.7
I always encourage all leaders, especially female leaders, to tell their stories because it's not often always what's visible.
21:30.7
It's kind of your career progression, the obstacles you've faced, and what's not visible that really resonates with folks.
21:36.3
And I know throughout my journey to this role, I've had moments where I've kind of put limitations on what position or opportunity or promotion may be possible because of who I was or who I wasn't.
21:47.9
And that can be things like being a single parent or not having gone to business school or other things.
21:53.0
And so I just think as women, we really need to pull together and continue to demonstrate and tell our stories to inspire others to achieve their full potential.
22:01.2
So is it safe to assume, Sarah, that under your leadership, I understand you're leading AmCham for two years?
22:07.5
That's correct. It's a two-year appointment.
22:09.0
That education is going to take top priority?
22:12.6
Education is absolutely one of our top priorities. Yes, Mimi, that's correct.
22:15.9
All right. And of course, you belong to the BPO sector, which you just mentioned earlier.
22:20.7
What's the outlook for that industry?
22:22.5
I mean, it happens.
22:23.0
It has been one of the strong pillars of the economy.
22:25.6
I remember during the pandemic years, it was holding up half the sky for the Philippine economy.
22:31.2
How much more room for growth?
22:33.2
Yeah, I think there's continued room for growth.
22:34.8
As our BPAP team and Jack Richard has said, we're continuing to be bullish and have a pretty aggressive roadmap to 2028.
22:43.9
I think we just need to continue to be in tune with the changing needs of our workforce.
22:49.6
Technology is bringing advancements.
22:51.9
And so I think...
22:53.0
As we look at the future of work coming out of the pandemic, return to office mandates and such,
22:58.1
I really encourage everyone to be open to listening and being open to trying new things and adjusting,
23:04.2
getting it right and getting it wrong sometimes, and just continuing to persevere.
23:08.5
But I'm incredibly optimistic about the future of the BPO industry here.
23:12.5
We are the founding fathers and mothers of the BPO industry around the world.
23:15.9
And I think folks continue to look for us for inspiration and best practices.
23:20.9
At Capital One, are you looking to grow?
23:22.8
Are you looking to grow the workforce this year?
23:24.5
I mean, to back up this very bullish outlook on the industry?
23:28.7
Yeah, no plans to grow necessarily, but we continue to diversify and think about the work we do,
23:34.5
whether that be voice or back office or even with an eye towards building the skills for technology and kind of where the future is headed.
23:43.9
And final question, you are leading a 122-year-old organization.
23:49.1
I sort of did the mental math.
23:52.8
If we speak again in two years' time, what do you think are we going to be talking about?
23:58.7
I hope we're talking about more diversification as you think about industries that are growing here in the Philippines.
24:05.1
Obviously, there's a lot of buzz right now about renewable energy, mining, manufacturing.
24:10.9
And so I think while the BPO will be kind of a strong, huge pillar for the economy,
24:16.5
I think we'll see other pillars emerge and kind of grow over the course of the next couple years.
24:20.7
And I'm looking forward to celebrating that.
24:22.8
And you're confident that these new pillars will be supported by international activities still?
24:30.3
I mean, the world is a crazy place today.
24:33.1
So many things happening.
24:34.7
Are you confident that the global economy will be chugging along by that time and will be supportive of these new pillars?
24:42.0
Yeah, I have a lot of confidence and I think we have a lot of recent proof points,
24:45.4
whether that be the trade mission or the recent trilateral discussions.
24:49.3
I'm incredibly confident about the promise of the Philippines.
24:52.8
again, there's no crystal ball.
24:54.0
If you had asked me, you know, five years ago what the future of work would look like in 2024,
24:59.3
I would have gone absolutely wrong.
25:00.6
But based on what I know today, I am confident.
25:03.1
And on that confident note, Sarah, thank you so much again for joining us and for sharing with us your perspective.
25:10.0
It was a pleasure meeting you finally.
25:11.9
We hope to have you again soon for more exciting projects with the American Chamber of Commerce.
25:16.4
Thanks so much, Mimi.
25:17.2
Have a great day.
25:18.0
Have a great day.
25:20.8
Now, the Philippine Central Bank,
25:22.8
daunted by the fact that out of the six digital banks operating in the country,
25:26.4
only two are profitable at the moment.
25:28.8
BSP Director Melchor Plabasan says this is not an isolated case.
25:32.7
He says breaking even really takes time.
25:35.7
And besides, only 20 out of the 453 digital banks globally are profitable anyway.
25:42.7
We do not consider it as a threat right now.
25:46.6
It's not a concern right now because I'm sure you are familiar with how the typical banks,
25:52.8
business operates.
25:53.9
It's not only the business of banking.
25:56.5
Normally, it really takes time before you become profitable.
26:00.7
And normally, you would spend a lot in terms of operating expenses,
26:05.8
in terms of establishing the core operations, contact center, hiring people.
26:10.6
And while your products and services are picking up.
26:14.1
So I think we don't see it as a concern right now.
26:20.2
Plabasan, also bullish, digital banks will soon.
26:22.8
Gain more traction in the Philippines.
26:26.0
I think we have seen a lot of positive development.
26:31.6
You mentioned about 8.7 million accounts opened by digital banks.
26:37.0
So that already represents about 7% of the Philippine banking system.
26:42.5
And it's steadily increasing based on the rate of increase right now.
26:47.9
So I think Filipinos are, we have seen,
26:52.8
changing or shifting preference towards convenient,
26:57.9
towards user-friendly, innovative products and services.
27:05.8
Now, only a few trooped to the offices of the Internal Revenue Bureau on Monday,
27:09.9
the last day of the filing of annual income tax returns.
27:13.4
Is this a good sign?
27:14.8
Jackie Pascual gives us a recap of what happened during yesterday's filing.
27:20.0
Empty chairs greeted Herbert Buenconcino,
27:22.8
who filed annual income tax returns of his company on the last day of filing.
27:28.8
That's why I'm worried that there's no one here today.
27:31.6
Maybe they're more eager to proceed because they don't want to be on the deadline.
27:35.9
He and a few other taxpayers who came to file their ITRs
27:40.1
were also welcomed by a summer vacation-themed BIR office in Makati with free food.
27:46.7
The agency says this is one way to entice the public to file their ITRs and pay taxes.
27:53.5
The queue is not that long and that is good for us.
27:58.1
And also, the feedback we see when we talk to the taxpayers,
28:03.0
their feedback is very positive.
28:06.4
BIR Commissioner Romeo Lumagi says more people filed online
28:10.5
and he wants to expand the digitalization program of the Bureau
28:14.4
because it not only cuts down the number of people lining up,
28:18.3
but also encourages the public to pay taxes.
28:22.8
Marami talagang gustong magbayad ng tama, mag-report ng tamang taxes.
28:28.0
Pero hindi nila ginagawa because it's very inconvenient.
28:32.3
So kung online yan and they find it convenient,
28:35.9
then gagawin nila yan kasi yung iba ayaw pumila, ayaw pumunta sa mga district offices.
28:41.8
With a high compliance rate of nearly 100%,
28:45.2
Lumagi is confident of hitting the tax collection target of P3.055 trillion for the year.
28:52.8
Despite not hitting last year's target of P2.67 trillion.
28:58.0
We are also aggressive on our enforcement activities.
29:02.1
Yung pong talagang harap-harapan talaga na talagang nag-violate at nag-evade ng tax.
29:09.2
Katulad po ng against sigarilyo, paulit-ulit po tayo dyan.
29:12.9
Yung illicit cigarettes, yung mga vape products.
29:16.0
He adds the Bureau is not yet revising its tax collection target
29:20.4
even if the economic team has lowered taxes.
29:22.8
He has lowered its gross domestic product outlook for the year.
29:26.1
A tax expert agrees that BIR can hit its target if it continues with its digitalization efforts.
29:32.7
He also wants reforms for the tax industry to reach higher tax collection goals.
29:38.7
We really need to lift the back secrecy law
29:41.1
simply because the big-time tax evaders are still not caught.
29:45.1
There are those who remain free and the BIR is having a hard time to really...
29:54.4
Hopefully with the data sharing among government agencies,
29:57.6
the BIR will also have an access who among them are really operating,
30:02.1
who are dummy, who are laundering money.
30:05.7
I guess all these informations are essential that BIR should have an access.
30:10.6
Lumagi reveals tax collection for the first two months of the year hit over P446 billion,
30:15.7
higher year-on-year and also higher than the target.
30:19.9
He hopes that trend will continue until the end.
30:22.8
Jackie Pascual, ABS-CBN News.
30:52.8
Jackie Pascual, ABS-CBN News.
30:57.6
Jackie Pascual, ABS-CBN News.
30:59.7
Now aside from the cash grant,
31:01.5
the President's Office will also provide an additional 5 million pesos to each of the 15 LGUs.
31:07.7
The DOT is moving to improve the country's tourism sector
31:10.3
after it contributed 6.2% to the GDP in 2022.
31:18.6
From tourism to licenses, good news.
31:21.6
The Land Transportation Office,
31:22.8
will resume today the nationwide distribution of plastic driver's license cards.
31:28.7
This following the delivery of 1.6 million cards from Banner Plastics, Inc.
31:33.0
Now that delivery was initially stalled after a losing bidder, All Cards,
31:37.0
filed an injunction last year.
31:38.6
That was eventually lifted this March.
31:40.8
Here's a quick look at the schedule for claiming those license cards.
31:52.8
The LTO says Banner Plastics is supposed to supply a total of 5.2 million plastic cards.
32:10.7
It had delivered 2 million before the injunction,
32:13.6
and another 1.6 million after that was lifted in March.
32:16.7
The remaining balance of 1.6 will be delivered by the first week of May.
32:20.8
This means all backlog of records,
32:22.8
of around 4.1 million cards,
32:24.5
will have been addressed by the end of June.
32:26.7
It will also sign another contract with Banner Plastics
32:29.5
for the delivery of a new batch of 6.5 million cards,
32:33.1
which should cover requirements through January next year.
32:39.1
The two-day transport strike against government's PUV modernization program continues.
32:43.7
Some jeepney drivers spent the night on the streets of Welcome Rotonda in Quezon City
32:48.4
to continue the protest today, Tuesday.
32:50.6
Transport group Manibella says about
32:52.7
8,000 drivers and operators participated on the first day of strike Monday,
32:57.7
calling the move a success.
33:00.4
transport authorities are playing down the strike,
33:02.4
saying it failed to paralyze public transportation.
33:05.4
Some local government units in the metro are still deploying free rides
33:09.1
to commuters that will be affected by the protest action.
33:12.4
The consolidation of public transport operators and drivers into one entity
33:16.6
will end on April 30 without any more extensions.
33:22.7
Next slide please.
33:24.6
Straight up Lebanon We warmer move
33:29.8
Now here's look at the other stories we're tracking in the newsroom today.
33:36.8
Within the hour the House Committee on Youth and sports Development will tackle
33:39.0
the use of athletic performance enhancing drugs with the world Anti-Doping Agency.
33:47.5
While at 10 we cover a four-member pregnant woman protest that's targeted againstå …Ð¼arden warfare.
33:52.7
about the effects of extreme heat.
33:55.7
During that hour,
33:57.0
Lichu Property Consultants will discuss
33:58.8
its first quarter Philippine property report.
34:01.8
While at 10.30 a.m.,
34:03.1
Telco Firm Eastern Communications
34:04.5
will hold a discussion on its strategic CAPEX
34:07.7
as it celebrates its 145th year
34:10.9
here in the Philippines.
34:13.5
While at 11 a.m.,
34:14.9
the Philippine Foreign Affairs Department
34:16.4
will hold a press conference
34:17.5
with Singapore Minister of Foreign Affairs,
34:19.8
Dr. Vivian Balakrishnan.
34:22.7
And at 1 this afternoon,
34:24.5
the Metro Pacific Tollways Corporation
34:25.9
and Cavitex Infrastructure Corporation
34:27.6
will hold a press conference
34:29.5
about the operations of Cavitex.
34:32.5
We have been reporting this since last week.
34:34.7
Piazzi has actually demanded
34:37.0
that the management of Cavitex
34:39.1
be returned to Piazzi.
34:43.5
Up next, John Mangan talks about
34:45.5
financial survival in the market like this.
34:47.6
Our PSE Chat is next.
34:49.3
Market Edge will be right back.
34:52.7
We'll be right back.
35:22.7
Thank you for watching!
35:52.7
Thank you for watching!
36:22.7
Thank you for watching!
36:52.7
Thank you for watching!
37:22.7
Thank you for watching!
37:52.7
Thank you for watching!
38:22.7
The greatest disruptor of all time is actually COVID-19.
38:31.2
Because of limited mobility, people are also not being able to go to physical branches, etc.
38:36.4
It further accelerated the adoption of consumers of digital channels.
38:43.2
We are now being able to provide the services needed by our citizens, by our consumers.
38:52.7
Thank you for watching!
39:22.7
Thank you for watching!
39:52.7
Thank you for watching!
40:22.7
I'm not surprised. I wouldn't be surprised if the market was going to go down another 400 or 500 points.
40:28.9
Primarily because we have a trading gap way low that has not been filled yet.
40:33.9
This move was to fill the trading gap at 6620, which has already been filled.
40:38.7
Trading gaps are always filled eventually.
40:41.8
That's the way it works.
40:43.5
Sure, it would be better if it was filled quickly, but that's just the way it works.
40:47.1
And what are you going to do?
40:50.1
How can I say this?
40:52.7
What investors are dealing with is like trying to deal with a lying lover.
40:59.4
I mean, we've been promised this, we've been promised that, and it's all been lies.
41:03.7
You look at, oh, I'll read my column today.
41:06.4
I mean, we were, three months ago, there was supposed to be six interest rate reductions in the U.S.
41:15.4
equaling maybe as much as 150 basis points or more.
41:19.2
And the latest thing is, well, maybe there'll be two.
41:22.7
Reduction of interest rates, and if it's 38 basis points, that would be wonderful.
41:29.9
We've been told here in the Philippines that the wealth fund would invest in the local market and yada, yada, yada.
41:37.6
Nothing's been done.
41:38.6
I mean, like I said, it's like dealing with a lying lover.
41:42.4
No, we've gotten lots of promises, and none of them are going to come true.
41:48.7
They will take time.
41:49.7
Yeah, but it's beyond this interest rate.
41:52.7
Yeah, it's going to take time.
41:53.9
It should have been, it was supposed to be first quarter, then interest rates were going to come down.
41:57.9
And now we're looking at an outlier situation that the U.S. inflation is so disastrous that there might even be an interest rate increase.
42:06.4
I mean, with this election coming up, with this incredibly important election in the U.S. coming up,
42:12.8
the Federal Reserve cannot lower interest rates because it will look totally like a political move.
42:19.9
No question about it.
42:22.7
It's not the interest rate.
42:23.6
I mean, we've been told for two years that Putin was going to invade Berlin.
42:29.4
We're constantly being told that the Chinese are just moments away from invading Taiwan.
42:36.0
And the whole world is running on hyperbole right now.
42:41.0
So, John, you say, you know, this market's like dealing with a lying lover, a pathological liar that is a lover.
42:48.1
In one of your recent articles on Business Mirror,
42:52.7
you talk about the battle for financial survival.
42:56.1
Is this market moment, you know, a moment of battle for survival?
42:60.0
I remember just a month, two months ago, it felt like a moment of abundance.
43:04.7
You know, this market once priced for perfection up 8% in the first three months of the year.
43:09.8
Is it now priced for something else?
43:11.8
How fragile is this market?
43:13.7
Because right now, we're at what?
43:16.0
We're back to where we ended last year at 6,450.
43:19.6
Well, then take it as a buying opportunity.
43:25.0
You're really a romantic.
43:26.6
No, because the reason the market was up was because we were being fed this information that the interest rates were going to go down.
43:38.8
Go back two years and listen to Janet yelling, you know, whatever the hell her name is,
43:44.7
telling us that inflation was transitory, it didn't matter,
43:50.6
that inflation was obliterated.
43:52.5
And here we are two years later, and inflation is a critical, critical problem in the U.S. as well as in other places.
43:59.9
Look, I don't want to criticize the press and media.
44:03.6
But if you take a look at the last two years, it has been a constant stream of propaganda.
44:12.3
You remember two years ago, Putin was ready to die?
44:15.2
Well, suddenly, he's not ready to die.
44:17.5
He looks real healthy.
44:20.9
Before we get lost.
44:22.4
We're lost in the Putin conversation.
44:24.3
So you did say it's an opportunity to buy.
44:27.0
I wonder, though, how gung-ho investors are.
44:30.3
Will the dips be bought, do you think?
44:32.3
Or, you know, when you've got geopolitics in the mix, does the market call become harder to make?
44:39.9
Well, first of all, I don't buy the dips.
44:43.2
Because dip means the prices are going down.
44:45.3
I only buy when prices are going up.
44:47.6
It's just that simple.
44:48.6
I mean, the common sense to me.
44:52.4
You buy when prices are going down.
44:54.3
You buy when prices are going up.
44:56.7
Right now, prices are not going up.
44:58.7
Except, we don't buy the market.
45:01.8
We buy individual issues.
45:04.8
I mean, if you'd have bought Keppel last week, you'd be doing pretty well right now, wouldn't you?
45:11.7
You would have effectively doubled your money.
45:14.3
So the idea that we talk about the market going this way.
45:20.1
The rising tide floats all boats.
45:22.4
And the hurricane sinks all boats.
45:24.9
But there's still, there's always opportunities.
45:28.1
And if there isn't opportunities, the wonderful thing about the stock market is nobody puts a gun to your head and forces you to buy.
45:36.2
It's not like your electric bill.
45:39.3
When they raise prices, you've got to pay it.
45:41.7
But in the stock market, you have the choice.
45:45.5
So before we get to your stock pick, I wanted to get your visibility for the first quarter earnings season.
45:51.5
We're going to start to get those.
45:52.4
We're going to start to get those numbers in the next couple of weeks.
45:54.6
What are you realistically expecting to see?
45:58.6
I don't even look at it.
45:59.7
I don't look at earnings.
46:01.6
Even when you do stop picking?
46:02.9
No, because, because earnings.
46:05.8
Rear view mirror.
46:07.2
Earn, absolutely.
46:08.6
Don't tell me what you did last year.
46:09.4
So where do you get the guidance?
46:11.1
Tell me what you're going to do for the future.
46:13.6
That's the important thing.
46:15.3
I mean, these companies coming, you had a couple of, well, let's see.
46:18.7
You had a company, a company that has come out with really good earnings.
46:22.4
And the price was down 4% the day the earnings came out.
46:27.4
And, and you look at, you look at Ayala, Ayala land.
46:31.0
I mean, it's, it's a disaster area.
46:34.9
And is it time to buy?
46:37.0
No, because the price is going down.
46:40.0
When do you expect the price to start going up?
46:42.9
When the price starts going up, that's the time to buy.
46:45.7
I mean, it seems to me, this is just common sense.
46:48.3
Why would you buy something that the price is going?
46:54.0
The only time you buy something when the price is going down is at Shumart's three-day sale.
46:58.7
Yes, that's when you buy when the prices are going down.
47:01.4
All right, all right.
47:01.8
To me, it's just common sense.
47:04.1
That you don't buy when prices are going down.
47:06.3
And prices are going down.
47:07.8
So you've got to wait.
47:07.8
And 400, 500 points lower.
47:10.2
I will, I will not be surprised.
47:13.7
That's what it comes down to.
47:15.0
I think we're now ready for your blind item.
47:18.5
This stock that you like.
47:20.7
Hopefully a stock that is about.
47:22.3
It's about to see its price shoot up.
47:23.8
So what do you have for us today?
47:25.8
Well, it's the same stock I gave you last month.
47:28.2
I told you last month in the next 30 days, it would either be 50% higher or 50% lower.
47:34.7
Hey, I'm a lying lover.
47:36.3
I made a promise that didn't happen.
47:38.3
But nonetheless, in the last two months, this stock has been trading basically between $1.90 and $2.10.
47:45.7
It's been a good trading stock.
47:47.2
I am being told that the deal is still on.
47:50.3
And the price is going to appreciate or it's going to go to the deal price in the next two weeks.
47:58.2
And if it turns out I'm wrong, well, hey, I still love you.
48:04.2
My promises are not necessarily going to come through.
48:09.0
But yeah, I'm still.
48:11.7
Okay, why am I buying it?
48:13.2
I'm buying it because the price is not going down.
48:16.9
I'm buying it because it's been in a very contained range.
48:20.3
And I'm buying it because I still think the deal is going to go through.
48:26.1
We're all waiting for that deal to happen.
48:27.8
On that note, John, pleasure to speak with you.
48:30.0
Thank you so much for the time.
48:34.5
From the lying lover, another update on the PSE index.
48:39.0
The index is widening those losses.
48:40.8
It's now down nine-tenths of one percent, 58 points off with 65.04.
48:48.3
We're almost right back to where we ended last.
48:52.0
Everybody's in the red, deeply in the red.
48:54.2
All shares also down three-quarters of one percent.
48:57.1
Services leading your losers down by 1.7.
49:00.1
Financials by 1.1.
49:01.5
It's only one sub-index, one sector that's still holding on to the green.
49:06.0
And that is the mining and oil, which is up by six-tenths of one percent.
49:09.1
Not surprising considering how commodities have performed over the last few days
49:13.2
because of geopolitical tensions.
49:15.8
By the way, I'm seeing an important disclosure from Frutas Holdings here.
49:19.0
I'm just going to open it because we already...
49:20.3
We are expecting an interesting acquisitions news from this group.
49:25.7
We don't know what it is yet.
49:27.6
Okay, it's not the M&A news, but it is reporting that Frutas Holdings
49:31.2
has achieved all-time high revenue of 2.5 billion pesos for last year, 2023.
49:36.3
That's up 37 percent.
49:38.8
Pre-tax income also up 47 percent.
49:42.1
Consolidated net income for 2023, 113 million, up 37 percent.
49:48.5
So bringing more details, the breakdown.
49:50.3
On Frutas Holdings' earnings report for 2023, all throughout the day.
49:54.5
In the meantime, let's zip through the top headlines from major business papers.
49:57.6
From Business World, the Philippine Ports Authority has issued a notice
50:01.3
to proceed to International Container Terminal Services, or ICTSI,
50:06.0
for the rehabilitation and operation of the Visayas Container Terminal, or VCT,
50:10.4
formerly known as the Iloilo Commercial Port Complex in western Visayas.
50:15.4
The Razon-led port operator set to commence operations
50:18.3
and the upgrade at the facility.
50:20.3
Upon signing the notice to proceed.
50:22.9
Then we go to Business Mirror.
50:24.9
The Metropolitan Manila Development Authority, or MMDA, says
50:27.4
it received a donation of 200,000 pesos from former Ilocos Sur Governor Luis Chavez Singzon.
50:35.2
Singzon had promised to reward the agency's traffic enforcers for doing their duty
50:39.4
after his convoy was flagged down for violating the EDSA bus lane policy last week.
50:44.8
And from the Philippine Daily Inquirer, money sent home by Filipinos abroad posted higher,
50:49.7
that's 3.5 billion pesos,
50:50.3
as high inflation forced migrants to make bigger transfers to their families given rising prices.
50:57.4
Cash remittances coursed through banks amounted to $2.7 billion for that month.
51:04.8
Now here is a quick look at the flash business headlines from overseas.
51:08.4
India's Prime Minister Narendra Modi defended political funding through electoral bonds,
51:14.9
which in February were scrapped by India's top court,
51:17.6
which called it unconstitutional and said,
51:20.3
to political parties violated the right to information of citizens.
51:26.0
Modi warns people will regret when there is honest reflection
51:29.4
as electoral bonds were meant to end unaccounted funds in elections
51:32.9
as it supposedly eliminated cash and corruption in poll funding.
51:37.3
Former U.S. President Donald Trump's first criminal trial got off to a plodding start
51:41.8
with the proceeding stalling over disagreements about evidence and other last-minute arguments.
51:46.5
In another setback, the judge ruled that jurors will be allowed to hear evidence
51:49.9
about his alleged extramarital affair with former Playboy model Karen McDougal,
51:54.8
saying it's a central element of the case.
51:59.2
Also, we're moving on to the next story.
52:02.4
Reuters reporting Tesla is laying off more than 10% of its global workforce.
52:06.9
That's according to an internal memo it saw,
52:09.0
as it grapples with falling sales and intensifying price war for EVs.
52:13.9
And we're also looking at Goldman Sachs,
52:16.1
which reported first-quarter profit beat Wall Street estimates as a recovery.
52:19.9
An underwriting and deal-making boosted its investment banking unit,
52:24.0
helping post the highest earnings per share since 2021.
52:28.0
And the U.S. Department of Justice is preparing to file an antitrust lawsuit
52:32.9
against Live Nation as soon as next month.
52:34.9
That's according to the Wall Street Journal.
52:36.3
The lawsuit would accuse Live Nation of leveraging its dominance
52:39.5
in a way that undermined competition for ticketing live events.
52:43.9
And finally, Coach Parent.
52:45.9
Tapestry's $8.5 billion deal to buy Michael Kors' owner,
52:49.9
finally gets regulatory clearance from the European Union and Japan.
52:54.5
The merger, which would bring top luxury labels such as Tapestry's Kate Spade,
52:59.1
Stuart Weitzman and Capri's Jimmy Choo,
53:01.2
and Versace under one roof,
53:03.0
is still waiting for the approval from the United States.
53:08.1
Now, global investment in the low-carbon energy transition surged 17% in 2023,
53:14.9
reaching $1.77 trillion,
53:17.1
according to Bloomberg's energy transition investment,
53:21.5
Now, this number is a new record level of annual investment
53:24.3
that demonstrates the resilience of the clean energy transition
53:27.1
in a year of geopolitical turbulence,
53:29.7
high interest rates and cost inflation.
53:31.9
What is the Philippine context here?
53:35.0
Joining us this morning is Guillaume Lucci,
53:37.3
President and CEO of Prime Infrastructure.
53:40.4
I hope I said your name right, sir.
53:42.0
Very well. Yes, thank you. Good morning.
53:44.4
So, of course, you're part of the Rezon group.
53:47.1
Of course, Mr. Rezon is into ports, is into gaming.
53:49.9
And this is his infrastructure sustainability arm.
53:53.1
I wonder, when you have conversations in the boardroom with Mr. Rezon,
53:56.5
what's the marching order for you, for this company?
53:59.2
All right. Thank you for the question.
54:01.1
Well, look, we set up Prime Infra in 2017.
54:05.2
It's seven years old.
54:06.7
I had the good fortune of being employee number one of Prime Infra.
54:10.2
And I think the marching order is very simple.
54:12.5
We want to be an infrastructure player
54:14.6
that addresses really critical needs in the market.
54:17.6
Critical needs mean essentially infrastructure,
54:19.9
that serves a fundamental element of society.
54:24.5
So, power, waste management, water, right?
54:27.5
And we want to do that in a, we use the term, socially relevant fashion.
54:31.1
What does that mean?
54:31.7
Is that we want to do this in a way that responds to the needs of the population.
54:35.4
That, of course, is an intrinsic part of the business model.
54:38.2
It ensures that we have resilience in the business model and long-term continuity.
54:43.0
So those are the marching orders.
54:44.2
So it's not just a nice-to-have arm.
54:47.3
It's a need-to-have.
54:48.3
You guys are a need-to-have.
54:49.3
You're sort of a need-to-have.
54:49.7
You're sort of a need-to-have. You're sort of a need-to-have.
54:49.9
So you're sort of like the arm that's looking at the future
54:51.5
to make sure we have a sustainable planet that can sustain the population.
54:56.5
The business is built around that entire concept, right?
54:59.4
And so managing these three pillars, energy, water, and waste management,
55:03.7
addresses the aspect of sustainability
55:05.6
as well as addressing, of course, the needs of the population.
55:08.0
So we do know that you guys have a controlling stake in Manila Water.
55:12.5
And nearly half of the Malampay Gas Project.
55:15.6
You recently exited the Terra Solar.
55:18.0
And what sort of, how big of an investment is Prime Info making
55:24.4
in this great big push for critical infrastructure?
55:28.3
Well, so we're making significant investments.
55:29.7
So maybe I'll start with...
55:30.7
Is it at least at par with the 17% investment growth we saw last year?
55:34.1
Well, I think 17 is really an average.
55:36.9
We're far above average.
55:38.7
So if we look at the type of investments we're making,
55:41.9
look, let's start with Malampaya.
55:43.4
Malampaya playing absolutely a critical role
55:46.4
in ensuring, avoiding,
55:48.0
volatility, stability of gas prices, energy security.
55:52.1
We have just contracted the drilling vessel
55:55.2
that will come in next year and drill three new wells.
55:58.2
Two development wells, one exploratory well.
56:01.0
Pagumpagasa will be the exploratory well.
56:03.4
We'll be spending over $750 to $800 million
56:06.4
over the next couple years
56:07.9
to try to extend the life of Malampaya as far as we can.
56:11.7
A very critical asset, of course, for the nation.
56:14.8
On the energy side,
56:16.1
we're investing heavily in energy storage.
56:19.4
Last week, actually, we were granted by the Bureau of Investment.
56:23.1
The Green Lane, correct.
56:24.5
So those are significant investments.
56:26.4
We're talking about 1,400 megawatts of storage, pump storage.
56:31.2
We'll be spending about $250 billion for that.
56:34.4
Over $140 billion for another 600 megawatt pump storage.
56:39.0
So these are significant investments we're making across the business.
56:42.0
Without touching into the water side,
56:43.8
we invested over $25 billion.
56:46.1
We've also seen our bulk water project that is completed.
56:50.3
The main dam is completed as of the end of March.
56:53.0
It'll be ready, fully completed by the first quarter next year.
56:56.1
And I will service the east zone of Metro Manila
56:58.8
supplying over 700 million liters per day of water.
57:03.8
So there, massive investments across all three sectors.
57:06.3
And I haven't even touched on the waste management one.
57:08.4
We'll get to the waste management.
57:09.7
That's pretty exciting.
57:10.6
I wonder, though, it's been seven years
57:13.3
of building critical infrastructure for prime infrastructure.
57:16.1
Many of these projects are big-ticket, long gestation periods.
57:20.4
When do you expect these projects to start churning in profit?
57:24.2
Contributing to...
57:25.3
Excellent question.
57:27.1
And the seven years is when the company was set up.
57:29.9
As you can imagine, these things are very long in the making.
57:32.1
Very long gestation period, as you rightly pointed out.
57:35.3
So WAWA, which is our bulk water supply project,
57:38.9
again, the main dam was completed at the end of March.
57:42.1
We actually will be starting what we call the controlled impounding,
57:45.5
filling up the reservoirs.
57:46.3
We will be generating cash at the end of 2025,
57:51.3
which is when our off-take agreement starts.
57:53.2
So we are actually finishing that project
57:55.1
six to 12 months ahead of schedule.
57:56.8
We're very proud of that.
57:58.2
It's the first dam built in the country since 1967.
58:02.7
So I think it's quite a milestone for the country
58:04.8
in terms of water supply and scale of the infrastructure.
58:08.4
Malampaya, the drilling program will start next year.
58:11.4
Hopefully, we'll have gas 2026, 2027,
58:14.2
as soon as we possibly can, obviously.
58:16.1
Then it will be generating cash at that point.
58:18.8
On the waste side, we're already generating cash in Cebu.
58:22.2
And we'll be building a new facility
58:24.3
that will be inaugurated here in a couple weeks in Pampanga
58:27.0
to treat large-scale volume waste, 3,000 tons per day.
58:32.3
So we're already fully operating.
58:34.3
And as you know, we obviously have brownfield asset acquisitions
58:38.1
like Manila Water that obviously already generate cash.
58:41.4
Well, let's go back to water.
58:42.8
You've got WAWA, you've got Manila Water.
58:45.4
Everyone watching,
58:46.1
is probably wondering,
58:47.5
are we supposed to be worried about water supply this summer?
58:50.4
Well, I don't think so.
58:52.3
Okay, that's very encouraging.
58:53.5
No, I don't think so.
58:54.6
Look, at Manila Water, at least, we're well-prepared.
58:58.7
El Nino is, of course, what's expected.
59:01.2
The severity of El Nino is always difficult to assess.
59:04.4
You know, right now, if I'm not mistaken,
59:06.1
Angad Dam is somewhere around 194 elevation.
59:11.5
Normal is about over 210.
59:15.2
We're already in April.
59:16.3
Look, things are going okay.
59:18.5
50 CMS is still being released from Angad.
59:20.8
We're augmenting that with all the other water sources that we have.
59:23.7
Manila Water has done a tremendous job
59:25.2
to build other water sources around Laguna de Bay and else.
59:29.3
So, as far as Manila Water is concerned, no.
59:32.3
Across the nation, there will obviously be pockets of challenges
59:35.0
given the extent of the drought.
59:37.3
So from water, I want to go to waste.
59:39.6
The waste to energy.
59:40.8
This is pretty exciting.
59:41.9
I was looking at the Commission and Audit Report.
59:44.2
They said that in 2000,
59:46.2
the Philippines actually unloaded or discarded
59:49.3
about 9.1 million metric tons of solid waste
59:52.6
that shot up to about 16.6 million metric tons in 2020
59:56.9
and were projected to unload 24.5 million metric tons of waste
60:01.5
by 2045 as our populations grow and we continue to industrialize.
60:06.7
And a lot of that waste can be turned into energy.
60:09.5
Do we have the infrastructure, though?
60:12.4
That's where you come in.
60:13.4
Today, we do not.
60:14.6
That's the answer.
60:16.1
to be clear, Mimi,
60:17.1
we are not into waste to energy.
60:19.9
we're advocates of not doing waste to energy.
60:23.8
The simple reason is that
60:25.0
producing energy from waste is very costly.
60:28.5
And it produces more waste along the way.
60:30.0
It produces more waste.
60:31.2
It's a very costly energy that the population has to pay for.
60:34.7
The countries that have done that very successfully
60:36.3
typically are countries that have benefited from subsidies.
60:40.5
So what are you guys doing about the waste?
60:42.2
So what we're doing is,
60:43.3
thanks for asking,
60:44.3
we're actually collecting this waste.
60:47.6
recycling all that can be recycled.
60:49.8
And so that's the first phase.
60:51.6
we handle over 60% of the waste.
60:53.7
It's fully automated.
60:55.1
So we actually bundle the waste into little bags,
60:59.3
And these very large-scale industrial bundles
61:02.5
are kept for further processing.
61:05.3
Eventually, we will take the organics
61:06.9
and transform that into either renewable natural gas
61:10.4
Methanol to be used actually to power ships.
61:13.3
The idea really is to really industrialize
61:16.1
the waste business in the country at high scale.
61:20.3
And the purpose of that industrialization process
61:22.6
is hopefully as we go through treating the waste,
61:25.5
we will actually avoid putting any waste
61:27.3
into what people call today landfills.
61:29.5
That's why our facilities are material recovery facilities.
61:32.4
Over the medium term,
61:34.1
for every ton of waste that will come in,
61:35.8
we expect no more than 10% to 20% to be discarded.
61:38.5
Everything else will be transformed into,
61:41.6
call it a value-added product, right?
61:43.1
Whether it is fuel or metal recycling,
61:46.1
so on and so forth.
61:47.6
And would you say that the waste part
61:50.9
is expected to play a bigger role?
61:53.4
I mean, when you make a pie,
61:55.4
a pie chart of your operations,
61:57.5
how big is the waste part?
61:58.9
Well, today it's small.
62:00.4
Today, the two large really elements are water
62:03.3
and actually gas.
62:04.6
Our pump storages are not online yet.
62:06.9
They will be online by 2029, 2030.
62:10.2
So waste today is a small portion.
62:12.0
Of course, by the time we start converting
62:14.1
that waste into fuel,
62:16.1
on a bigger proportion.
62:20.2
Everyone's wondering
62:21.1
why the love affair with SPNEC
62:23.2
was so short-lived.
62:25.0
They bought you out for $6 billion last year.
62:27.6
What was the rationale?
62:28.8
Are you done with solar power?
62:30.8
No, so we're just finishing now
62:33.0
a 128-megawatt solar farm
62:36.2
that we're building.
62:38.8
It's completed now.
62:40.0
We own 100% of that.
62:41.0
It's between Tarlac,
62:44.2
province of Patangas
62:46.6
and province of Cavite.
62:47.5
So that's going well.
62:49.0
We'll be connected in the next couple weeks.
62:51.0
The love affair with SPNEC
62:52.6
is nothing to be debated.
62:55.0
You know, we thought it was,
62:57.4
we collectively with the shareholders,
62:59.0
thought it was best that we parted ways
63:00.3
and left the company in good hands
63:03.6
to take the business forward.
63:05.1
And that's what we've done.
63:06.8
So we wish them great success.
63:08.6
We really hope that project will come to life.
63:10.2
What happens to your RE dreams then?
63:12.6
So you're going to do it alone?
63:15.2
Yeah, and then we have our pump storages.
63:16.7
And then the pump storages.
63:20.5
everyone is excited
63:22.0
for the IPO of RIO Infrastructure.
63:25.0
You guys are the favorites,
63:26.7
the darling IPO contestants
63:28.4
or candidates for this year.
63:30.1
There was Prime Infra,
63:32.7
and SM Primaries.
63:35.0
All of you guys seem to be
63:36.9
pushing back the date.
63:40.2
is there a new timeline for this?
63:41.6
Well, no, there's no new timeline.
63:43.6
There's not even,
63:44.1
there's no uncertainty of an IPO.
63:46.4
there are many different ways
63:47.2
to raise capital.
63:48.0
So we're evaluating
63:48.6
all the available options.
63:50.9
We live in a very
63:51.8
uncertain world, right?
63:53.9
As you are announcing
63:54.9
through these headlines, right?
63:56.1
Look at what's happened to
63:57.2
fuel prices with the
63:58.7
Russian-Ukraine war.
64:00.2
Look at what's happening now in Iran,
64:02.6
between Iran and Israel.
64:04.6
That combined with a very
64:06.1
unpredictable rate market.
64:08.0
It's very difficult to
64:09.2
decide what the best path forward is
64:11.8
to raise capital.
64:12.7
So the public markets
64:15.5
solution to that.
64:17.1
We're evaluating all available options
64:19.1
and we'll make the right decisions
64:21.2
But where you stand today,
64:22.5
you think that an IPO
64:23.6
is not likely anymore?
64:25.4
At least in the next two years?
64:27.1
Probably unlikely in the medium term, yes.
64:28.9
In the medium term.
64:30.9
More exciting news ahead
64:32.0
from Prime Infrastructure.
64:34.0
Cheers to the next seven years.
64:35.9
Thank you, Marie.
64:36.7
Employee number one.
64:38.0
How big is the workforce today?
64:40.4
Well, across the entire portfolio,
64:41.8
well over 3,000 employees.
64:44.5
Please do visit us again
64:45.7
if you have more exciting developments.
64:46.7
Thank you for having me.
64:47.4
A pleasure being here.
64:48.5
Congratulations on seven years.
64:50.7
Now before we go,
64:51.5
for those who tried to guess
64:52.9
this is the pick of John Mangan.
64:58.4
Do let us know if you got that.
64:59.2
Do tweet us at ANC Alerts.
65:00.6
that's it for the show.
65:01.3
I'm Michelle Long.
65:02.2
Thank you so much for watching.
65:03.2
Stay safe and stay with us.
65:14.0
We'll see you next time.
65:44.0
Thank you for watching.
66:14.0
Thank you for watching.
66:44.0
Thank you for watching.
67:14.0
Thank you for watching.
67:44.0
The greatest disruptor of all time
68:03.0
is actually COVID-19.
68:04.5
Because of limited mobility,
68:05.9
people are also not being able
68:07.6
to go to physical branches, etc.
68:09.7
It further accelerated
68:11.1
the adoption of consumers
68:14.0
We are now being able
68:18.5
to provide the services
68:20.7
needed by our citizens,
68:22.8
for our consumers.
68:44.0
Thank you for watching.
