Start: | Jul 31, '08 11:30a |
Location: | Makati, Philippines |
Welcome Champagne at Barcino Gourmet, The Fort August 1st
Get together at Masas, Absinth, M Cafe, Martini's at the Mandarin August 2nd
Wine Tasting August 8th
Start: | Jul 31, '08 11:30a |
Location: | Makati, Philippines |
MANILA, Philippines—The Philippine stock market is looking more attractive these days to investors on the hunt for bargains, a top strategist at American investment banking giant Merrill Lynch said.
The Philippines is in a better position to attract investors again than India, which has also suffered heavy stock market sell-offs because of surging oil prices over the recent months, Stephen Corry, head of investment strategy at Merrill Lynch (Asia-Pacific) Ltd., told the Philippine Daily Inquirer in an interview.
The Hong Kong-based Corry added that the central bank, Bangko Sentral ng Pilipinas (BSP), had effectively convinced the market of its commitment to prevent runaway inflation after jacking up its benchmark interest rate by 0.50 percentage point last week, double the 0.25 point expected by the market.
“Some Asian central banks are more proactive than others and those that are proactive will ultimately be rewarded with higher currencies, better fixed income markets and potentially higher equity markets once the US market find its floor,” Corry said.
He noted that Vietnam, where the inflation rate had risen to 27 percent as against only seven percent recorded at about this time last year, stood out as a clear example of not being proactive.
“Investors have lost faith in the credibility of the central bank and repatriated their money out of the country, that’s why equity prices [in Vietnam] are down 50 percent year-to-date,” Corry said.
By contrast, he said the hefty interest rate increase by the BSP last week lifted peso value versus the US dollar, narrowed the credit spreads and also perked up the equity market.
The Philippines’ main-share index has trimmed its year-to-date losses this year to 30 percent from as high as 35 percent, he noted.
“Definitely, it’s a step in the right direction,” he said.
Although most investors would still currently prefer to hold on to cash than return to Asia-Pacific stock markets, Corry said the Philippines was one of the markets where there are ample opportunities for bargain-hunters.
“What gets me excited about the Philippines first of all is that the price-earnings multiple is less than 10 times. That means that chance of further derating [values falling] is minimal,” Corry said.
The lower the price-earnings ratio, the less expensive it is to accumulate stocks of that company.
Corry said the problem, however, was that corporate earnings among companies traded on the local stock exchange were now running flat to 5 percent or slower than Merrill Lynch’s forecast of 10-15 percent early this year.
“But I always believe it’s easier to buy when everyone else is selling rather than when everyone is buying. So, I think the Philippines is beginning to be interesting. It’s one of our overweight (an investment strategy to accumulate a certain asset) markets,” he said. With editing by INQUIRER.net
Copyright 2008 Philippine Daily Inquirer. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
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Officials target full operations this year
By Tarra Quismundo, Abigail KwokMANILA, Philippines -- After being in mothballs for six years, the Ninoy Aquino International Airport Terminal 3 (NAIA-3) began partial operations Tuesday with a total of 16 domestic flights on schedule, an official of the Manila International Airport Authority said.
Tirso Serrano, MIAA assistant general manager for airport development and corporate affairs, said these would include eight inbound and eight outbound flights, all from Cebu Pacific Air (CEB).
As early as 5:15 a.m., a CEB plane ferried the first NAIA 3 passengers from Manila to Caticlan in Aklan.
“This is a culmination of years of hard work,” said Serrano, adding that they had to repair many structural defects.
Aside from Caticlan, CEB will fly to four local destinations: San Jose in Mindoro; Naga in Bicol; Laoag City, and Tuguegarao City, Serrano said.
CEB will field its 72-seater ATR 72-500, light turbo-propeller planes to these areas.
CEB agreed to pioneer domestic operations at the controversial terminal after airport authorities finally resolved some safety concerns.
CEB president and CEO Lance Gokongwei said they would assess the initial commercial operation after which they would decide whether to bring in 18 additional aircraft for 55 domestic roundtrip flights everyday.
CEB aircrafts consist of two ATRs, 10 A319, and eight A320.
Meanwhile, Serrano said flights from Philippine Airlines and Air Philippines would be introduced within the week, while international flights from CEB and PAL are expected within the year.
PAL is also expected to begin operations of its budget brand PAL-Express at the new terminal.
Meanwhile, NAIA-3 general manager Alfonso Cusi said he was “happy that the partial operation was very good.”
“Akala ko hindi na mabubuksan ito ang terminal na ito [I thought this terminal would never be open]. I’m so happy we are putting this into good use,” he added.
Cusi said that although the long overdue terminal was “98 percent complete according to the contractors,” it was undergoing “continuous construction” to ensure complete operations within this year.
They would also add 60 immigration counters, Cusi said.
Head of Task Force NAIA-3 Mike Defensor said they were ahead of their target schedule of ensuring full operations of the new airport terminal within six months, because officials of CEB said they could bring in international flights within the next few months.
“Once we have the first [international] flight out and the first flight in, then we are fully operational,” he said.
PAL and CEB will field planes that do not require the use of aero bridges -- terminal tubes that connect to plane doors for boarding or deplaning. In a dry run last month, one of NAIA 3’s aero bridges malfunctioned as it was being tested on an Airbus A-340.
But for small aircraft, all systems were working during the dry run, said CEB spokesperson Candice Iyog. “The terminal will be more comfortable for our passengers,” she added.
CEB’s wide-body operations to major cities in the country will remain at the old Manila Domestic Terminal until further notice.
For its flights this Tuesday, CEB said it would use three check-in counters at NAIA 3’s main hall, Iyog said.
Its first flight carried at most 72 passengers to the Aklan Island, gateway to the country’s premier beach destination, Boracay. All flights for Tuesday are expected to carry around 500 passengers, Iyog added.
The new terminal is twice as large as NAIA-2 and thrice the size of NAIA’s Terminal 1, he said.
Serrano added that NAIA-3 could accommodate as many as 13 million passengers a year (or 35,000 passengers a day) and 28 flights at any given time.
"[The new terminal] will bring the country's overall airport capacity to 25 million a year," Serrano said.
Meanwhile, Angel Atutubo, assistant general manager for security and emergency services of NAIA, said they have patterned the security of Terminal 3 after that of the Los Angeles Airport.
K-9 units and 500 airport security personnel were posted for Tuesday's opening, Atutubo said.
More than 50 security checking equipment were also set up in key areas in the terminal, he added.
Atutubo called this the "four-level security screening," which would consist of a comprehensive security system designed to detect all kinds of explosive and illegal devices.
"Level 1 and 2 consist of the explosive detection system 5000 (EDS), level 3 with the CTX 9000 that detects all kinds of prohibited items, and these will be redirected to level 4," he said.
Atutubo said these equipment cost around P3 million each.
"Our security here promises comfort and convenience to passengers and passes international standards," Atutubo said.
The terminal was mothballed in 2002 after the Supreme Court voided the multibillion-peso contract for its construction because of onerous provisions. The terminal was 90 percent complete at the time, throwing the government into a legal morass.
Airport officials said partial operations would initially involve only 15 to 20 percent of the facility.
The agency said it hoped to keep domestic operations running for six months to a year before shifting to full domestic and international operations.
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MANILA, Philippines—Foreign festival programmers, who are in Manila for the 4th Cinemalaya Film Festival, told Inquirer Entertainment that Philippine cinema looks “exciting, energetic.”
Ansgar Vogt recounted that, while screening DVDs for the Berlin International Film Festival in 2005, he noticed there were three Filipino movies on his to-watch list: Auraeus Solito’s “Ang Pagdadalaga ni Maximo Oliveros” and “Tuli” and Raya Martin’s “The Island at the End of the World.”
“As part of my job, I watch at least 1,000 films a year,” Vogt explained. “That these three films stood out could only mean that there must be something going on in the Philippines.”
His theory was “confirmed” when he set foot in Manila last year for Cinemanila, an international film festival. “I was amazed. The local scene was thrilling, energetic, different. [I found] a broad spectrum of films.”
Raymond Phathanavirangoon of the Toronto Film Fest agreed: “I was impressed by this year’s Cinemalaya entries. Even though most of them are first-timers, there’s a lot of talent and passion in their works. Filipino cinema is definitely one of the most exciting in Southeast Asia.”
He reported that there will be more than one RP film in Toronto this year. The first announced officially was Dante Mendoza’s “Serbis.”
Shanty Harmayn-Hofman of Jakarta Film Fest said she was instructed to bring home “lots” of Filipino films. “We’re building a Southeast Asian section in our festival.”
Hofman described the local scene as “fascinating.” She explained: “Digital technology has made filmmaking feasible here, but what is unique is the spirit. It’s not just one person. It’s an entire community of filmmakers making things happen.”
She recalled that several Filipino friends had urged her to watch Monster Jimenez and Mario Cornejo’s “Big Time,” a winner in the first Cinemalaya in 2005. “I found that even though the humor is [culture] specific, I could relate to it.”
Gertjan Zuilhof of the Rotterdam Film Fest concurred that a good movie crosses borders.
Storytellers’ goldmine
He picked filmmaker Lav Diaz as an example. “It can be challenging to watch a 10-hour movie, but no one else could have done that.”
He pointed out that the Philippines is "not a dull country. The political situation is a goldmine for storytellers.”
Critic Max Tessier of FIPRESCI (International Federation of Film Critics) opined that digital technology has allowed “young filmmakers to do movies that most producers wouldn’t allow them to make.”
“A cinematic explosion,” Axel Estein of Berlin’s Asian Hot Shots festival called the local “indie movement.” That over 40 Filipino movies were showcased at the 6th Festival Paris Cinema recently proves his point, he said.
“If marketed correctly,” he said, “a Filipino film could find an audience abroad—as did Jeffrey Jeturian’s ‘Kubrador’ in Europe.”
E-mail: bayanisandiego@hotmail.com
With editing by INQUIRER.net