The Philippine Economy

[InfinitiFX45]

Pachinko Maker Targets $2 Billion in Revenue From Casino Project in Manila

By Miyuki Seguchi and Shunichi Ozasa - Sep 27, 2011 12:10 PM ET

http://www.bloomberg.com/news/2011-0...o-project.html

Universal Entertainment Corp. (6425), the Japanese pachinko company, is targeting 150 billion yen ($2 billion) in revenue for its Manila casino project in 2014, its first full year of operation.

Universal Entertainment, which plans to open two casinos and three hotels in the capital of Philippines by December 2013, will decide by 2015 whether it will build more gambling venues in Asia, Chairman Kazuo Okada said in an interview yesterday. It will spend $2.3 billion on the Manila project, the company said.

The maker of pinball-like machines used in pachinko parlors, where customers play for prizes, plans to make more money from operating casinos, Okada said. Bettors in Asia are fueling industry growth in Singapore and Macau, where casino revenue was four times that of the Las Vegas Strip last year. Okada’s first-year sales target for the Manila project is more than triple his company’s sales in the 12 months ended March.

“The sales will start to increase faster after a point in the period of 2014 to 2015, as Asia’s economy will build up,” Okada said in Tokyo. “It will benefit the casino market.”

Universal Entertainment rose 3.3 percent to 2,605 yen in Tokyo yesterday, before the announcement was made. The stock has climbed 9.8 percent this year, compared with a 17 percent slide in the broader Topix Index.

Raising Funds
The Tokyo-based company, which owns 19.7 percent of the casino operator founded by billionaire Stephen Wynn, gets 95 percent of its revenue from the sale of Pachislot and Pachinko machines, data on the Bloomberg shows.

“We will be expanding our casino business to be the No. 1 business for our company,” Okada said.

Universal Entertainment will invest $1.6 billion to build a casino and hotel, and another $350 million on a residential project, the company said. It has spent $350 million on the land purchased in July 2008.

The company is in talks with some investors to raise funds for the Manila project, Okada said.

“Some investors have already approached us, proposing to join our project,” said Okada, declining to name them before a contract is concluded.

The project will include three hotels, with casinos in two of them, and a shopping mall, the company said. The casinos will have 500 tables and 3,000 slot machines, it said.

“The business environment in the Philippines and the economy are getting better,” Okada said. The Southeast Asian country reported a budget surplus in August, helped by higher tax revenue, narrowing the eight-month deficit to 15 percent of the level a year earlier.

Philippine Licenses
Philippine President Benigno Aquino won credit rating upgrades in June from Fitch Ratings and Moody’s Investors Service as he chases tax evaders and corrupt officials to narrow the budget deficit to 2.6 percent of gross domestic product, or about 286 billion pesos ($6.6 billion).

Melco Crown Entertainment Ltd. (MPEL) may invest at least $1 billion in a Manila casino project, Cristino Naguiat, chairman of the Philippine Amusement & Gaming Corp., the nation’s gambling regulator, said in a Sept. 2 interview in Shanghai. Melco Crown is a venture between Australian billionaire James Packer and Lawrence Ho, son of Macau gambling magnate Stanley Ho.

The Philippines awarded four licenses in 2008 and 2009 to operate casinos in a gambling and entertainment complex the government plans to build in Manila.

Each Philippine licensee agreed to invest $1 billion over five years, Naguiat said at that time. Three of the four that were given licenses in 2008 to 2009 were a venture between Genting Malaysia Bhd and Alliance Global Group Inc., Philippine property developer Belle Corp. (BEL), and Philippine ports magnate Enrique Razon’s Bloombury Investments Holding Inc.

To contact the reporters on this story: Miyuki Seguchi in Tokyo at mseguchi@bloomberg.net; Shunichi Ozasa in Tokyo at sozasa@bloomberg.net

To contact the editor responsible for this story: Frank Longid at flongid@bloomberg.net

[Eastern Dragon]

if we just keep on a level playing field, we will get more FDI as what is showing in the trend now.

FDI in the first 3 years of aquino admin will benefit us for the next decade at least.

[xxxriainxxx]

Originally Posted by Eastern Dragon

we should reinstate the death penalty.

ang pinoy pag nahuli, patay sa china.

dito, pag nahuli, VIP treatment sa selda.

Tit for Tat. Pag death penalty sa kanila ang parusa para sa mamamayan natin, dapat death penalty rin para sa mamamayan nila. That or pwedeng ipadala dun at ipakidnap sa Basilan.

[Eastern Dragon]

Originally Posted by xxxriainxxx

Tit for Tat. Pag death penalty sa kanila ang parusa para sa mamamayan natin, dapat death penalty rin para sa mamamayan nila. That or pwedeng ipadala dun at ipakidnap sa Basilan.

sayang gas from manila to basilan.

pwede, itali sa isang malaking drum. magpalutang lutang sa west philippine sea, papuntang south china sea.

[Nabartek]

Originally Posted by xxxriainxxx

Tit for Tat. Pag death penalty sa kanila ang parusa para sa mamamayan natin, dapat death penalty rin para sa mamamayan nila. That or pwedeng ipadala dun at ipakidnap sa Basilan.

Dapat din firing squad sa mga foreigners na nagpapatayo ng meth labs dito

Kilala nyo naman kung sino ang mahilig maginvest ng shabu labs dito. Baka makibargain at "swap" pa sila

[Eastern Dragon]

Originally Posted by Nabartek

Dapat din firing squad sa mga foreigners na nagpapatayo ng meth labs dito

Kilala nyo naman kung sino ang mahilig maginvest ng shabu labs dito. Baka makibargain at "swap" pa sila

[Askal82]

Originally Posted by Mercato

Indeed, by all means explore the renewables.

But my dream Philippines is one step further than just mere nuclear power plants. Yup, plural as in one for Luzon, one for the Visayas and one for Mindanao But that aint the step I'm drivin at.

I also wish for the Philippines to have an impressive array of nuclear weaponry to dazzle, awe and silence the pesky li'l kapitbahays.

We can have the nukes or even antimatter technology para sa kanila.

There is another advantage of renewables over traditional fossil fuels and nuclear energy - micro-generation. The ones we were discussing here were about the supply side of energy. Renewables clearly have advantages over them in terms of scalability - it can also address the demand side of it - the consumers.

In the future, solar panels will be much cheaper that we can install some in our homes so we depend less on commercialized energy and that would further bring down the prices in the same way how computers used to be expensive machines. Without much demand from these power companies, much of their resources will be used for industrial capacity.

In cold countries, geothermal heating is already in use so they depend less on gas to heat their homes. In Europe, they are already experimenting on passive heating techniques.

If I were to choose between fossil fuels and nuclear, I chose the latter even though its more polluting why?

We can have more control in containing green house gasses than nuclear waste. All we do is simply plant more trees to increase carbon sinks in order to mitigate its effects on the environment. On the other hand, nuclear wastes are costlier and more difficult to dispose of because it will take thousands of years before they decay to harmless substance.

[Nabartek]

Originally Posted by Askal82

If I were to choose between fossil fuels and nuclear, I chose the latter even though its more polluting why?

We can have more control in containing green house gasses than nuclear waste. All we do is simply plant more trees to increase carbon sinks in order to mitigate its effects on the environment. On the other hand, nuclear wastes are costlier and more difficult to dispose of because it will take thousands of years before they decay to harmless substance.

Just a very polite clarification, I think you mean the former, not the latter?

[Mercato]

Originally Posted by Askal82

We can have the nukes or even antimatter technology para sa kanila.

There is another advantage of renewables over traditional fossil fuels and nuclear energy - micro-generation. The ones we were discussing here were about the supply side of energy. Renewables clearly have advantages over them in terms of scalability - it can also address the demand side of it - the consumers.

In the future, solar panels will be much cheaper that we can install some in our homes so we depend less on commercialized energy and that would further bring down the prices in the same way how computers used to be expensive machines. Without much demand from these power companies, much of their resources will be used for industrial capacity.

In cold countries, geothermal heating is already in use so they depend less on gas to heat their homes. In Europe, they are already experimenting on passive heating techniques.

If I were to choose between fossil fuels and nuclear, I chose the latter even though its more polluting why?

We can have more control in containing green house gasses than nuclear waste. All we do is simply plant more trees to increase carbon sinks in order to mitigate its effects on the environment. On the other hand, nuclear wastes are costlier and more difficult to dispose of because it will take thousands of years before they decay to harmless substance.

Maybe we can develop a high power land based laser like the one used by the legendary Atlantis to vapourise any oncoming enemy vessel or weapon.

Yes, I'd also seen on cable some new architectural designs of skyscrapers wrapped almost entirely with solar panels, pretty neat. Or some are also experimenting with wave technology,

http://ocsenergy.anl.gov/guide/wave/index.cfm

or perhaps in the future, it will be cheap to launch rocket transports loaded with nuclear waste on a one way trip to the sun or to deep space.

[RonnieR]

Originally Posted by InfinitiFX45

Pachinko Maker Targets $2 Billion in Revenue From Casino Project in Manila

By Miyuki Seguchi and Shunichi Ozasa - Sep 27, 2011 12:10 PM ET

http://www.bloomberg.com/news/2011-0...o-project.html

Universal Entertainment Corp. (6425), the Japanese pachinko company, is targeting 150 billion yen ($2 billion) in revenue for its Manila casino project in 2014, its first full year of operation.

Universal Entertainment, which plans to open two casinos and three hotels in the capital of Philippines by December 2013, will decide by 2015 whether it will build more gambling venues in Asia, Chairman Kazuo Okada said in an interview yesterday. It will spend $2.3 billion on the Manila project, the company said.

The maker of pinball-like machines used in pachinko parlors, where customers play for prizes, plans to make more money from operating casinos, Okada said. Bettors in Asia are fueling industry growth in Singapore and Macau, where casino revenue was four times that of the Las Vegas Strip last year. Okada’s first-year sales target for the Manila project is more than triple his company’s sales in the 12 months ended March.

“The sales will start to increase faster after a point in the period of 2014 to 2015, as Asia’s economy will build up,” Okada said in Tokyo. “It will benefit the casino market.”

Universal Entertainment rose 3.3 percent to 2,605 yen in Tokyo yesterday, before the announcement was made. The stock has climbed 9.8 percent this year, compared with a 17 percent slide in the broader Topix Index.

Raising Funds
The Tokyo-based company, which owns 19.7 percent of the casino operator founded by billionaire Stephen Wynn, gets 95 percent of its revenue from the sale of Pachislot and Pachinko machines, data on the Bloomberg shows.

“We will be expanding our casino business to be the No. 1 business for our company,” Okada said.

Universal Entertainment will invest $1.6 billion to build a casino and hotel, and another $350 million on a residential project, the company said. It has spent $350 million on the land purchased in July 2008.

The company is in talks with some investors to raise funds for the Manila project, Okada said.

“Some investors have already approached us, proposing to join our project,” said Okada, declining to name them before a contract is concluded.

The project will include three hotels, with casinos in two of them, and a shopping mall, the company said. The casinos will have 500 tables and 3,000 slot machines, it said.

“The business environment in the Philippines and the economy are getting better,” Okada said. The Southeast Asian country reported a budget surplus in August, helped by higher tax revenue, narrowing the eight-month deficit to 15 percent of the level a year earlier.

Philippine Licenses
Philippine President Benigno Aquino won credit rating upgrades in June from Fitch Ratings and Moody’s Investors Service as he chases tax evaders and corrupt officials to narrow the budget deficit to 2.6 percent of gross domestic product, or about 286 billion pesos ($6.6 billion).

Melco Crown Entertainment Ltd. (MPEL) may invest at least $1 billion in a Manila casino project, Cristino Naguiat, chairman of the Philippine Amusement & Gaming Corp., the nation’s gambling regulator, said in a Sept. 2 interview in Shanghai. Melco Crown is a venture between Australian billionaire James Packer and Lawrence Ho, son of Macau gambling magnate Stanley Ho.

The Philippines awarded four licenses in 2008 and 2009 to operate casinos in a gambling and entertainment complex the government plans to build in Manila.

Each Philippine licensee agreed to invest $1 billion over five years, Naguiat said at that time. Three of the four that were given licenses in 2008 to 2009 were a venture between Genting Malaysia Bhd and Alliance Global Group Inc., Philippine property developer Belle Corp. (BEL), and Philippine ports magnate Enrique Razon’s Bloombury Investments Holding Inc.

To contact the reporters on this story: Miyuki Seguchi in Tokyo at mseguchi@bloomberg.net; Shunichi Ozasa in Tokyo at sozasa@bloomberg.net

To contact the editor responsible for this story: Frank Longid at flongid@bloomberg.net

This is great news.

[Askal82]

Originally Posted by Nabartek

Just a very polite clarification, I think you mean the former, not the latter?

Ooopss, my booobooo.

[RonnieR]

Marubeni venture to expand Philippines power plant

TOKYO, Sept 28 | Tue Sep 27, 2011 9:44pm EDT

(Reuters) - Japanese trading house Marubeni Corp said on Wednesday it has agreed with Aboitiz Power , a partner in the Philippines, to expand the 735-megawatt coal-fired Pagbilao power plant by 400 MW for $600-700 million.

The two firms aim to start work on the expansion in the Philippines in the middle of 2012, with output from the new unit beginning in 2015, a Marubeni spokesman said.

Many projects have been planned in the Philippines to ensure rising power demand can be met amid steady economic growth.

The agreement comes around the time of a visit to Japan by Philippine President Benigno Aquino. (Reporting by Osamu Tsukimori; Editing by Joseph Radford)

http://www.reuters.com/article/2011/...esNews&rpc=401

[nayki]

Originally Posted by wino

they don't take into account the smuggled Chinese goods.

very true! who knows how may billion dollors those smuggled goods worth. Anyway its BOC's fault!

[xxxriainxxx]

Originally Posted by Eastern Dragon

sayang gas from manila to basilan.

pwede, itali sa isang malaking drum. magpalutang lutang sa west philippine sea, papuntang south china sea.

Originally Posted by Nabartek

Dapat din firing squad sa mga foreigners na nagpapatayo ng meth labs dito

Kilala nyo naman kung sino ang mahilig maginvest ng shabu labs dito. Baka makibargain at "swap" pa sila

Kapow. Tama!

Originally Posted by nayki

very true! who knows how may billion dollors those smuggled goods worth. Anyway its BOC's fault!

I am hopeful with Ruffy Biazon.

[xxxriainxxx]

Toyota commits P3.6 billion for 5,000 new jobs in PHL
AMITA O. LEGASPI, GMA News
09/28/2011 | 09:15 PM

Toyota Motor Corp. (TMC) assured President Benigno Aquino III during his working visit to Japan that its P3.6 billion investment to expand its dealership network throughout the Philippines will generate about 5,000 new jobs between now and 2016.

Presidential Communications Operations Secretary Herminio Coloma said TMC would create the new jobs when it adds 36 dealerships to its current network of 29.

Coloma said the fresh commitment top Toyota executives revealed to President Aquino will bring the auto firm’s total investments in the country Philippines to P20 billion.

Aquino met TMC executive vice president Yukitoshi Funo, Toyota Motor Philippines (TMP) president Michinobu Sugata, and TMP vice chairman Alfred Ty.

Coloma said Toyota’s 2010 exports reached $860 million which accounts for 30 percent of the country’s total automotive exports.

He said the motor vehicle maker plans to produce 100,000 cars by 2013 in time for the celebration of its 25th anniversary in the Philippines.

“For manufacturing facilities—they are looking at the feasibility of establishing a next generation components manufacturing plant," Coloma said.

"They are now using this term ‘next generation’—probably referring to hybrid or electric cars—so there will be a higher degree of digitization in the components of the next generation cars," Coloma added.

Coloma revealed that Toyota is also looking at a short-term project [worth] 170-million US dollars [for its] planned improvement for next generation components, manufacturing and localization of spare parts in connection with their manufacturing activities here [in Japan]." — ELR, GMA News


http://www.gmanews.tv/story/233703/b...ew-jobs-in-phl

[InfinitiFX45]

Foreign capital to come back, says IMF

by Roderick T. dela Cruz

http://www.manilastandardtoday.com/i...1/september/28

The International Monetary Fund expects capital flows to come back to Asia, following the drastic drop in stocks and regional currencies amid the risk aversion caussed by a dimmer outlook on the global economy.

“Until a few months ago, we were talking about what Asia can do to moderate inflows. We are now somewhat concerned about outflows. I think that will change. I think it is very closely correlated to risk aversion. Right now, the risk aversion is one direction, as that changes, we will see capital coming back,” said Anoop Singh, director of the Asia and Pacific Department of the IMF.

“We are seeing some outflows now, and it is not surprising... Capital flows react quickly to risk aversion. If this rises as they have in recent days, it is quite normal that it would be a response to developments outside Asia,” he said.

Singh said the fact that emerging markets in Asia would continue to perform better than advanced economies will attract more capital in the region.

“If you look at where the region has been and you look ahead the next few years, this two-speed global recovery or momentum will continue. Emerging markets in Asia will be growing much more rapidly than we thought advanced economies could. So, you will see that capital flows are going to come back, because it will be attracted both for cyclical and structural reasons,” Singh said.

The IMF said Asia would continue to grow despite the downside risks that had increased significantly in recent weeks because of the global uncertainty.

The Philippines, for one, is expected to grow 4.7 percent this year and 5 percent over the medium term. “Our assessment of the medium-term potential growth [for the Philippines] remains at least at 5 percent, probably more, and this is based on our assessment of trends in productivity, what we see in investment and employment,” Singh said.

[InfinitiFX45]

P-Noy Secures More Japanese Investments

By RAYMUND F. ANTONIO September 28, 2011, 10:56pm

http://www.mb.com.ph/articles/335962...se-investments

TOKYO, Japan – President Aquino III on Wednesday went on an aggressive marketing campaign to Japanese businessmen even as he witnessed the clinching of several investment ventures and more business prospects that could generate hundreds of jobs for Filipinos.

In separate meetings, Aquino assured a level playing field and a more investment-friendly climate as he pitched other areas where Japanese investors could put their money.

In his meeting with International Friendship Exchange Council, the President pitched renewable energy development as an area of interest that business groups could delve into.

“One of those in the panel talked about his company Mitsubishi’s partnership with the Ayala group of companies in the Philippines,” said Presidential Communications Operations Office (PCOO) Secretary Herminio Coloma Jr. said.

Mitsubishi Corp and Ayala Corp. have formed a joint venture for the development of solar projects in the Philippines . The two giant companies have agreed to form a new vehicle company, PhilNewEnergy Inc. to explore solar power projects.

To attract investors, the President told panelists that the government is allocaitng P9 billion in the 2012 national budget to address the value added tax refund requests of foreign companies.

Among those in the panel was Mr. Makota Katsura, the former Ambassador of Japan to the Philippines, and presently a senior adviser to the Marubeni group.

Katsura was conferred the Order of Sikatuna last April during his farewell call by Aquino “for advocating active and productive economic and development cooperation” between the Philippines and Japan.

The President also met with with Asian Business Council members to promote the Philippines and urged their capital in business ventures.

Aquino received positive response from the Japanese businessmen.

For instance, Mr. Yoshihiko Miyauchi, Chairman & CEO of Orix Corporation noted that the level of Japanese investments has slowed down in the country and his company would like this to be improved.

At the same time, Aquino also witnessed the signing of several venture and expansion agreements between Filipino and Japanese companies.

Among those forged was the Memorandum of Agreement between First Metro Investment Corporation and Mitsui & Co. Ltd. which is expected to create hundreds of jobs in the electronic sector. The President also witnessed the MOA signing between property and commercial developer Federal Land Inc. a subsidiary of Metrobank, and financial services group Orix Corporation for the construction of the a new five-star Grand Hyatt hotel at the Fort.

There was also signing of agreement between Ingasco Inc. and the Clark Development Corp although the details were not yet available as of press time.

Reporters covering the President’s four-day official visit have not been provided with the MOAs.

Even the Office of President, it was learned, has not been provided with a copy.

[mwg12a]

Originally Posted by Nabartek

Dapat din firing squad sa mga foreigners na nagpapatayo ng meth labs dito

Kilala nyo naman kung sino ang mahilig maginvest ng shabu labs dito. Baka makibargain at "swap" pa sila

Originally Posted by Eastern Dragon

Aba! Nagkasundo yata ang pro at anti Pnoy dahil sa Shabu!!!

Originally Posted by Askal82

We can have the nukes or even antimatter technology para sa kanila.


If I were to choose between fossil fuels and nuclear, I chose the latter even though its more polluting why?

We can have more control in containing green house gasses than nuclear waste. All we do is simply plant more trees to increase carbon sinks in order to mitigate its effects on the environment. On the other hand, nuclear wastes are costlier and more difficult to dispose of because it will take thousands of years before they decay to harmless substance.

Yep, that is what I have been driving at, you can include that in the indirect maintence costs on Nuke Power plants.

[b0rnth1sw4y]

WASHINGTON – Reflecting a drop in levels of economic freedom around the world, the Philippines slid in the global rankings to 89th place from 76th previously among 141 countries surveyed, the Economic Freedom of the World: 2011 annual report said.

The country’s score fell to 6.46 from 6.77.

“In response to the American and European debt crises, governments around the world are embracing perverse regulations and this has huge, negative implications for economic freedom and financial recovery,” said Fred McMahon of the Fraser Institute, Canada’s leading public policy think-tank.

The report showed that the average economic freedom score over the past two years fell to 6.64 in 2009 from 6.74 in 2007.

The ratings for 2009, the most recent year for which comprehensive data are available, showed Hong Kong at the top of the rankings for economic freedom worldwide with a score of 9.01 out of 10.

Singapore was in 2nd place with a score of 8.68 followed in order by New Zealand (8.20); Switzerland (8.03); Australia (7.98); Canada, (7.81); Chile (7.77); United Kingdom (7.71); Mauritius (7.67); and the world’s largest economy, the United States (7.60).

The US, previously ranked in 6th place, fell to 10th place primarily as a result of higher government spending and borrowing

Zimbabwe was in last place among the 141 countries surveyed with a score of 4.08. Myanmar, Venezuela, Angola, and Democratic Republic of Congo rounded out the bottom five nations.

Singapore was the best ASEAN performer in the world rankings in 2nd place followed by Thailand (65th ), Malaysia (78th), Indonesia (84th) and the Philippines (89th).

The annual Economic Freedom of the World report is produced by the Fraser Institute, Canada’s leading public policy think-tank, in cooperation with independent institutes in 85 nations and territories.

Economic freedom is measured in five different areas: size of government, legal structure and security of property rights, access to sound money, freedom to trade internationally and regulation of credit, labor and business.

cr:abs-cbnnews.com

[RonnieR]

okay ang avatar mo ah.

Originally Posted by xxxriainxxx

Toyota commits P3.6 billion for 5,000 new jobs in PHL
AMITA O. LEGASPI, GMA News
09/28/2011 | 09:15 PM

Toyota Motor Corp. (TMC) assured President Benigno Aquino III during his working visit to Japan that its P3.6 billion investment to expand its dealership network throughout the Philippines will generate about 5,000 new jobs between now and 2016.

Presidential Communications Operations Secretary Herminio Coloma said TMC would create the new jobs when it adds 36 dealerships to its current network of 29.

Coloma said the fresh commitment top Toyota executives revealed to President Aquino will bring the auto firm’s total investments in the country Philippines to P20 billion.

Aquino met TMC executive vice president Yukitoshi Funo, Toyota Motor Philippines (TMP) president Michinobu Sugata, and TMP vice chairman Alfred Ty.

Coloma said Toyota’s 2010 exports reached $860 million which accounts for 30 percent of the country’s total automotive exports.

He said the motor vehicle maker plans to produce 100,000 cars by 2013 in time for the celebration of its 25th anniversary in the Philippines.

“For manufacturing facilities—they are looking at the feasibility of establishing a next generation components manufacturing plant," Coloma said.

"They are now using this term ‘next generation’—probably referring to hybrid or electric cars—so there will be a higher degree of digitization in the components of the next generation cars," Coloma added.

Coloma revealed that Toyota is also looking at a short-term project [worth] 170-million US dollars [for its] planned improvement for next generation components, manufacturing and localization of spare parts in connection with their manufacturing activities here [in Japan]." — ELR, GMA News


http://www.gmanews.tv/story/233703/b...ew-jobs-in-phl

It would have been better if the announcement is to create new manufacturing plants. Anyway, as long as it brings new jobs, we are happy.