5 years validity of driver’s license to start in October

 

Starting this October, driver’s licenses issued by the Land Transportation Office ( LTO ) will have a five-year validity. 

This step is in line with President Rodrigo Duterte’s announcement in his first State of the Nation Address.

LTO chief Assistant Sec . Edgar Galvante says that the agensecy will first implement the extended validity of driver’s license in the National Capital Region, and then implement the measure in other regions of the country .

Meanwhile, Galvante admitted that they received many complaints regarding the delayed release of driver’s licenses. 

So far, he said, there is a backlog of up to five million driver ‘s licenses at the LTO . -Alvin Barcelona

100% foreign equity allowed in financing sector

Greater competition is expected in the local financial industry as a law that allows foreigners to take full ownership of lending and financing companies, investment houses and insurance claim adjustment firms comes into force next week.
The measure—Republic Act No. 10881 titled “An Act Amending Investment Restrictions in Specific Laws Governing Adjustment Companies, Lending Companies, Financing Companies and Investment Houses Cited In The Foreign Investment Negative List And For Other Purposes”—lapsed into law without the signature of former President Aquino last July 17.
In a press statement, Insurance Commissioner Emmanual Dooc said the liberalization of foreign ownership in adjustment companies, one of the sectors affected by the measure, would encourage best practices in the insurance loss adjustment.

 

“Another positive effect is that it will compel local players to shape up considering the competitive business climate, which will ultimately inure to the benefit of the insuring public,” he said.
Prior to the new law, foreigners were allowed to own up to 60 percent of investment houses, finance companies and lending firms and up to 40 percent for insurance adjustment firms. At the same time, however, the law sets a P10-million minimum requirement for paid up capital for finance companies located in Metro Manila, P5 million for cities outside the metropolis and P2.5 million in municipalities.
“During the deliberations before both houses of the 16th Congress, the Insurance Commission expressed its full support to the lifting of foreign equity restriction with respect to adjustment companies as part of the country’s compliance with our commitments to the Asean Economic Community to open certain sectors of the economy,” Dooc said.
“It is important to note the business of adjustment companies is the only activity under the Insurance Code which has a foreign-equity limitation,” he added.
The Insurance Commission chief welcomed the new law, adding that with its passage, the insurance adjustment industry—whose members are in charge of validating insurance claims and determines the amount of liability—would become more attractive to foreign investors.  Daxim L. Lucas

DENR creates superbody vs illegal mining, logging

In line with President Duterte’s tough stance against illegal logging and mining activities, the Department of Environment and Natural Resources (DENR) is leading a task force that will put an end to the rampant destruction of the environment.
“It’s over. They cannot do these (crimes) anymore,” said Environment Secretary Gina Lopez, referring to companies that violate environmental laws.
“We now have to do the enforcement,” she said of the National Anti-Environmental Crimes Task Force, which would ensure strict compliance of environmental laws from all environmental stakeholders.

In line with President Duterte’s tough stance against illegal logging and mining activities, the Department of Environment and Natural Resources (DENR) is leading a task force that will put an end to the rampant destruction of the environment.
“It’s over. They cannot do these (crimes) anymore,” said Environment Secretary Gina Lopez, referring to companies that violate environmental laws.
“We now have to do the enforcement,” she said of the National Anti-Environmental Crimes Task Force, which would ensure strict compliance of environmental laws from all environmental stakeholders.

The DENR signed on Monday a memorandum of agreement with representatives from the Department of Interior and Local Government, Department of Transportation, Department of National Defense and Department of Justice.

Led by the DENR, the task force would investigate violations to environmental laws and form law enforcement teams as needed. It can also set up and man checkpoints in transit areas of illegally harvested natural resources.
Lopez said members of the Philippine National Police, Armed Forces of the Philippines and Philippine Coast Guard would also be deployed.
“I don’t need gold, you don’t need gold,” she said on the crackdown of mining firms. “Gold is not an essential thing for survival. You need trees.”
The group will also respond to calls from the Environment chief as well as reports from citizens through the department’s action hotlines.

Iron ore miner is latest casualty of gov’t clampdown

The Mines and Geosciences Bureau has stopped the operations of the Philippines’ sole iron ore-producing mine in Bulacan, the latest to fall in a wide-ranging audit of mining operations across the country.
Environment Undersecretary Leo Jasareno Monday said in a briefing that Ore Asia Mining and Development Corp., which producers iron ore in the town of Doña Remedios Trinidad, failed to secure an ISO certification.
Jasareno was referring to a rule spelled out in Department of Environment and Natural Resources (DENR) Administrative Order No. 7 issued in 2015, which required mining companies to secure ISO:14001 certificates.

 

According to the International Organization for Standardization, the 14001 standard maps out a framework that a company or organization can follow to set up an effective environmental management system. “Using (ISO 14001) can provide assurance to company management and employees as well as external stakeholders that environmental impact is being measured and improved,” the group said in its website.
Jasareno also said that there was a complaint lodged against Ore Asia about the firm allegedly causing the siltation of a river that runs through its mining area.
“The river turned reddish brown,” the undersecretary said.
The result is that Ore Asia’s ore transport permit has been withdrawn and the environmental compliance certificate —a major permit in mining—suspended.
Jasareno described Ore Asia as a medium-scale mining operator, which produces about 40,000 tons of ore a year.
“It (Ore Asia) has two customers, Eagle Cement, which has a plant in Bulacan, and a buyer from overseas,” the official said.

GMA Network on lookout for telco partner

GMA Network Inc., one of the country’s largest broadcast companies, hopes to select a telecommunications partner this year in line with the launch of its digital television service.
GMA chair and CEO Felipe Gozon said there were ongoing talks with PLDT Inc. and Globe Telecom, which have the infrastructure to deliver its content, but so far an agreement has not materialized.
A key issue was the fact that each telco required exclusivity with GMA, Gozon said.

 

“We have been talking with them, and we are still talking. So I am hoping this will end. We cannot forever be talking with each other,” Gozon said during the company’s second quarter earnings briefing.
He added the plan was to arrive at a decision before the end of 2016. During this period, other details on digital television needed to be finalized, including issues related to programming.
“It’s important that we should have a telco partner,” he said. “The telcos have the highways, we have the cars and buses, in other words, content. So we have to marry the two.”
ABS-CBN already launched its digital television service last year. The rollout of the digital television, which promises clearer picture and sound quality alongside more channels, comes after the National Telecommunications Commission finalized the implementing guidelines in December 2014.
The update came as GMA announced higher earnings in the first half of 2016, bolstered by election-related advertising ahead of the May 9, 2016 polls.
GMA announced Monday that profit hit P2.38 billion, up 116 percent. It was still keeping its full-year profit target of P3 billion, GMA chief financial officer Felipe Yalong said in the same briefing.
GMA’s consolidated revenues for the six-month period jumped 32 percent to P8.760 billion on the back of election-related earnings together with the sustained growth in recurring advertisements.
Total airtime sales reached a record P8.1 billion, up 33 percent. Removing the impact of political ads, airtime revenues still grew by 10 percent, GMA said

Security Bank nets P4.9B

SECURITY Bank Corp. booked a 4-percent growth in six-month net profit to P4.9 billion, driven by a strong growth in earnings from core lending activities.
For the second quarter alone, the bank’s net income grew by 42 percent year-on-year to P1.85 billion. This was attributed to a 34-percent year-on-year increase in net interest income to P3.9 billion, a 41-percent rise in service charges, fees and commissions and a three-fold increase in foreign exchange income.
In a press statement on Monday, Security Bank reported a 28 percent growth in first semester net interest income to P7.4 billion. This had offset a P1.4-billion drop in securities trading gains from a high of P3 billion in the first half of 2015 to P1.6 billion in the first half of 2016.

 

In the first semester, the increase in net interest income was driven by a 29-percent expansion in the loan book to P268 billion.
Corporate and commercial loans jumped by 27 percent while key consumer loan portfolios -composed of home and auto loans and credit card receivables – grew by 61 percent. Net interest margin improved to 3.2 percent in the second quarter from 3.1 percent the previous quarter.
On the funding side, deposit base rose by 17 percent year-on-year in the first half to P301 billion. This was in turn driven by a 23-percent growth in low-cost deposits.

Century Pacific nets P1.36B

LEADING canned food company Century Pacific Food Inc. (CNPF) grew its first half net income by 46 percent to P1.36 billion, driven by robust demand for its branded food products.
For the second quarter alone, net income amounted to P725 million, a 46 percent growth from last year and a 14 percent increase from the quarter before.
Year-to-date revenues grew by 15 percent to P13 billion. Second quarter revenues also grew by 3 percent compared to the first three months of the year.
 

 

Top line growth across our 3 M’s – Marine, Meat, and Milk – continues to be driven almost completely by increases in volume.These can be attributed to our various sales and marketing campaigns, plus a strong local economy boosted by electionspending,” said CNPF’s Chief Finance Officer Oscar Pobre.

PSEi rises on upbeat US jobs data

THE LOCAL stock barometer firmed up just below the 8,000 mark on Monday, drawing strength from regional markets which were buoyed by upbeat US jobs data.
The Philippine Stock Exchange index gained 23.23 points or 0.29 percent to close at 7,993.58.
Across the region, stock markets were lifted by reports that US non-farm payrolls for July had risen by 255,000 while the June increase was revised upward to 292,000. The data exceeded market expectations.

The PSEi was led higher by the financial, industrial, holding firm and property counters while the services and mining/oil counters slipped.

Value turnover for the day amounted to P6.98 billion.
Despite the PSEi’s slight gain, market breadth was negative as decliners (100) outnumbered advancers (90). There was P260 million in net foreign selling for the day. The market is now on its second week of the so-called “ghost month,” a period when investors typically tend to be more cautious in investing.
Investors picked up shares of Megaworld and Metrobank, which both rose by over 3 percent while AP, BPI, GTCAP, AC, BDO, MPI and SMIC contributed modest gains.
Outside of the PSEi, notable gainers included Cebu Air (+3.39 percent) and DNL (+3.42 percent).
On the other hand, PLDT – the day’s most actively traded stock – fell by 1.91 percent while rival Globe also slipped by 0.89 percent. It was reported on Monday that the government was open to allowing a third telecom player to set up shop in the country

No license renewal, extension for PhilWeb

ONGPIN                                                                                                                                                                      DOMINGO PAGCOR.PH

The Philippine government is set to deal embattled online gaming firm PhilWeb Corp. what could be a lethal blow, with the head of the state casino regulator saying the company should not expect a fresh government mandate when its operating license expires tomorrow.
In a text message, Philippine Amusement and Gaming Corp. Chair Andrea Domingo said the contract of the firm controlled by businessman Roberto Ongpin was set to end on Aug. 10, 2016, after having been provisionally renewed for a month.
“It will not be extended or renewed,” she said, adding that PhilWeb should cease operations in its 286 e-Games outlets nationwide starting on the following day, Aug. 11.

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President Duterte has directed the government to clamp down on online gambling and has also singled out Ongpin as an “oligarch” whom he wanted to “destroy.” PhilWeb’s share price on the Philippine Stock Exchange (PSE) has dropped from P24.40 on the day Duterte took office to only P5.13 Monday, representing a decline of 79 percent over a six-week period.
The company’s shareholders have since then lost P26.7 billion worth of market capitalization and the firm was worth only P8.3 billion at the end of Monday’s trading session.
In response to the government’s clampdown, PhilWeb Monday said it has written Pagcor’s Domingo requesting for a meeting to clarify the situation.
“PhilWeb is merely a software provider to Pagcor for its network of e-Games outlets,” PhilWeb president Dennis Valdes said. “We are not online gaming. Our software cannot be played from homes or offices.”
Valdes also noted that each e-Games outlet is owned by an individual entrepreneur whose gaming license is issued by Pagcor directly to them. Each e-Games outlet therefore pays all taxes, as does PhilWeb itself.
“The e-Games network contributed a total of P2.1 billion to Pagcor in 2015 and over P14 billion in the past 14 years,” he added.
“We feel that President Duterte may have been misinformed,” Valdes said. “Thus, we are seeking the meeting with Domingo so that we may fully explain our side. As a publicly listed company, our records are fully open to public scrutiny and are available for a full investigation at any time.”
“I sincerely hope that the situation can be clarified,” he added. “Over 5,000 employees work in the e-Games outlets and it would be heartbreaking to see these people’s livelihoods affected. There are also over 1,500 stockholders in PhilWeb and many of these mom-and-pop investors cannot afford to have their savings wiped out overnight.”

Oil prices jump on rumors of Opec output freeze

NEW YORK, United States — Oil prices continued to rise on Monday, with benchmark crude moving up more than a dollar per barrel in both New York and London.
A barrel of West Texas Intermediate for September delivery gained $1.22, rising to $43.02 on the New York Mercantile Exchange.
In London, a barrel of North Sea Brent for October delivery also rose $1.12 to $45.39 on the Intercontinental Exchange.

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READ: Oil prices up in Asian trade | Oil continues climb on mixed US data
Oil prices had a very bearish July, given recurring worries on the state of supply and inventories but have been rising for several trading days.
“The market continues to bounce,” said Gene McGillian of Tradition Energy. “We fell all the way to the $40 levels and the correction seemed to be a little extreme.”
“The market is refocusing on the expectations we’ll have a drop in North American production levels and the expected increase in global fuel demand,” said McGillian.
“Right now you see a covering rally,” he added, “and this triggers more buyers jumping in the market.”
According to Mike Lynch of Energy and Economic Research, oil markets may be reacting to rumors that the Organization of Petroleum Exporting Countries may freeze output levels.
“The rumors OPEC is considering a freeze are giving a little bit of impetus to the bulls,” he told AFP. “Not sure it will last very long but for now, that’s the only news that’s really up there.”