to President Aquino. The PSEi, the nation’s stock in- dex, has dropped 5 percent this year and trades at 16.8 times the project- ed 12-month earnings. While down from 20.8 at its peak in May 2013, that’s still 30 percent higher than the MSCI Asia Pacific Index, accord- ing to data compiled by Bloomberg. The Philippine equity gauge slid 0.2 percent at 9:36 a.m. local time. Foreign investors, who are on course to be net sellers of local stocks this year for the first time since 2008, are likely to withdraw more funds in the first half, Ocampo said. While stocks could rise in the short term after the Fed’s interest-rate increase last week, more outflows would help stocks reverse gains, added Ocampo, who favors stocks with high dividend yields. Uncertainty over the pace of future tightening and the elec- tions “could dampen buying even for local investors,” said Ocampo, who said in June he raised cash holdings on concern global equi- ties would drop in the run-up to the Fed’s decision. Bloomberg News P IA ALONZO WURTZBACH, the 64th Miss Universe, end- ed a 42-year drought for the Philippines in this pageant—the country last bringing home the Miss Universe crown in 1973 courtesy of Margie Moran. It’s the third win for the Philip- pines, with Gloria Diaz conquering the stage in 1969. In March 2015 she was criticized for her weight when she was crowned Binibining Pilipinas 2015. Trainer John Cuay has helped her maintain a strict diet and regular core training. Wurtzbach topped several online polls that helped her in clinching the top spot, a first in the history of Miss Universe that online polls were counted in the results. Similar to MJ Lastimosa, Wurtzbach bagged Wurtzbach apologizes on behalf of organization www.businessmirror.com.ph nThursday 18, 2014 Vol. 10 No. 40 P. | | 7 DAYS A WEEK nTuesday, December 22, 2015 Vol. 11 No. 75 A broader look at today’s business BusinessMirror MEDIA PARTNER OF THE YEAR 2015 ENVIRONMENTAL LEADERSHIP AWARD UNITED NATIONS MEDIA AWARD 2008 S “W,” A ‘PSE to see more fund outf lows in H1 2016’ PHL EQUITIES TO TAKE HIT FROM FED LIFTOFF, POLITICAL UNCERTAINTY SPECIAL REPORT 10YR PLAN TO EASE ‘ THE WORST TRAFFIC ON EARTH’ INSIDE C LEVELAND—As Kyrie Irving dressed following his first game in six months, LeBron James popped on some music. With Chris Brown’s “Picture Me Rollin’” filling the locker room, Irving, James and Iman Shumpert bobbed their heads in unison and did some small dance moves. Close to full strength, the Cavaliers are grooving again. Irving scored 12 points and played 17 minutes in his season debut and James had 23, leading Cleveland to a 108-86 victory on Sunday over the Philadelphia 76ers, who lost their 10th straight and fell to 1-28. Back on the floor for the first time since breaking his left kneecap in Game One of the NBA Finals, Irving showed some rust but that didn’t matter. “Kind of been a long, long road, but finally getting out there with my teammates was a pleasure,” Irving said. The Cavs managed to open the season 17-7 without Irving. But Cleveland is more complete with the All-Star point guard running its offense and being a headache for opposing defenses. Now that Irving’s back, the Cavs are as healthy as they’ve been since early in the playoffs last season. “We’re almost there,” James said. Matthew Dellavedova made four three- pointers and added 20 points for the Cavs, who improved to 12-1 at home and are eyeing a Christmas Day game against Golden State. James didn’t play in the fourth quarter, logging a season-low 25 minutes. Nerlens Noel had 15 points and 12 rebounds for the brutal Sixers, now 0-17 on the road and on their second double-digit losing streak. In Miami Chris Bosh scored 29 points and Hassan Whiteside shook off a slow first half to finish with 22 points and 11 rebounds in the Heat’s 116-109 win over Portland. Dwyane Wade had 18 points and added seven assists for the Heat. They trailed by 12 at one point and were down 10 at the half. The Heat shot 57 percent and played the final 13:37 without Goran Dragic. He was ejected for the first time in his career after arguing two foul calls. Atlanta rallied to beat Orlando, 103-100, with Kyle Korver scoring 13 of his 19 points in the fourth quarter. Korver had four thee-pointers in the final period and six overall. Mike Scott added 15 points, and Al Horford and Jeff Teague scored 14 apiece in Atlanta’s third straight victory. The Magic had the ball and a chance to tie with 7.3 seconds remaining, but the Hawks smothered an inbounds pass to Evan Fournier. The Sacramento Kings ended a four- game road losing streak with a 104-94 win at Toronto, the Pelicans beat the Nuggets, 130-125, and the Bucks beat the Suns, 101-95, with Greg Monroe hitting a spinning, go-ahead lay-up with 20.6 seconds left to lift Milwaukee past Phoenix. Bucks Coach Jason Kidd said after the game that he will be taking an indefinite leave to have hip surgery. Assistant Joe Prunty will direct the team in his absence. Omri Casspi added 15 points and 11 rebounds for the Kings. DeMar DeRozan had 28 Kyrie Irving scores 12 points and played 17 minutes in his season debut and LeBron James has 23, leading Cleveland to a 108-86 victory on Sunday over the Philadelphia 76ers, who lose their 10th straight to fall to 1-28. FIFA KICKS OUT BLATTER, PLATINI Z URICH—Sepp Blatter and Michel Platini were each banned for eight years by the International Football Federation (Fifa) ethics committee on Monday in a stunning takedown of world soccer’s most powerful leaders. Fifa President Blatter and his one-time protege Platini were kicked out of the sport for conflict of interest and disloyalty to Fifa in a $2-million payment deal that is also the subject of a criminal investigation in Switzerland. Blatter’s Fifa career is ending in disgrace after more than 17 years as president and 40 years in total with the scandal-hit governing body. Platini’s bid to succeed his former mentor in the February 26 presidential elections is now likely over, though both are expected to appeal at the Fifa appeals committee and the Court of Arbitration for Sport. Blatter has suggested he could pursue a lengthier appeal to Switzerland’s highest court, the federal tribunal, which can intervene if legal process was abused. Ethics judges decided that Blatter and Platini broke Fifa Code of Ethics rules on conflicts of interest, breach of loyalty and offering or receiving gifts. Both denied wrongdoing in 2011 when Platini took $2 million of Fifa money approved by Blatter as uncontracted salary for work as a presidential adviser from 1999 to 2002. Blatter was fined 50,000 Swiss francs ($50,250) and Platini, a Fifa vice president and head of European soccer’s governing body Union of European Football Associations (UEFA), was fined 80,000 Swiss francs ($80,400). “Neither in his written statement nor in his personal hearing was Mr. Blatter able to demonstrate another legal basis for this payment,” the judges said. “By failing to place Fifa’s interests first and abstain from doing anything which could be contrary to Fifa’s interests, Mr. Blatter violated his fiduciary duty to Fifa. “His [Blatter’s] assertion of an oral agreement was determined as not convincing and was rejected by the chamber.” Platini, the judges said, “failed to act with complete credibility and integrity, showing unawareness of the importance of his duties and concomitant obligations and responsibilities.” Blatter was scheduled to hold a news conference at 11 a.m. local time (1000 GMT) at Fifa’s former headquarters in Zurich. He arrived soon after 10 a.m. in a chauffeur- driven car accompanied by his daughter, Corinne, and media spokesman Thomas Renggli. He did comment to reporters as he was bustled through a throng of cameras. Blatter and Platini both have strong motivation to fight the bans in fast-track appeal cases. Blatter, who turns 80 in March, wants a Fifa swansong by hosting the election congress in Zurich and being made honorary president by the 209 member-federations. The 60-year-old Platini wants to clear his name, pass a Fifa integrity check and be declared an official candidate in the election he had been favored to win. Platini’s campaign has stalled since being quizzed on September 25 in a Swiss federal investigation of suspected criminal mismanagement at Fifa. Switzerland’s attorney general has opened criminal proceedings against Blatter for the suspected “disloyal payment” of Fifa money to Platini and selling undervalued World Cup TV rights for the Caribbean. Platini’s status in the criminal case is “between a witness and an accused person,” Attorney General Michael Lauber said in October. In recent media interviews, both men have said Platini asked Blatter for a salary of 1 million Swiss francs. He got a contract for 300,000 Swiss francs annually, in line with Fifa’s then-wage structure, plus a “gentleman’s agreement” to get the rest later. Swiss law obliged Fifa only to pay the deferred money within five years. Platini was paid in February 2011, just before Blatter began campaigning for re- election against Mohamed bin Hammam of Qatar. Platini’s UEFA urged its members weeks before the June 2011 poll to back Blatter, who was elected unopposed when Bin Hammam was implicated in bribery. Few Fifa officials knew of the Platini payment which emerged during a wider Swiss probe of the governing body’s business affairs, including suspected money laundering in the 2018 and 2022 World Cup bidding contests. The agreement was “a classic conflict of interest” between two executive committee members, Fifa audit panel chairman Domenico Scala said in October. AP Britain’s best L ONDON—Andy Murray has been voted BBC Sports Personality of the Year for the second time after helping Britain win the Davis Cup for the first time since 1936. The 28-year-old Murray says “I didn’t expect this. It’s very humbling to be up here in front of so many great athletes,” after beating Kevin Sinfield, who captained rugby league side Leeds Rhinos to the treble in 2015, to the prestigious CLEVELAND’S Kyrie Irving (right) drives to the basket against Philadelphia’s Jahlil Okafor (left) and Jerami Grant. AP Sports A8 | T, D22, 2015 [email protected][email protected]Editor: Jun Lomibao BusinessMirror Life | lifestylebusinessmirro Editor: Gerard S. Ramos Your merciful love is eternal B2-1 DECK THE HALLS WITH DAZZLING LIGHTS Crafts to make your home merry and bright B E H W F MISS UNIVERSE BIA BEFORE PHILI PP INES »B2-2 B2-3 The World BusinessMirror [email protected]Tuesday, December 22, 2015 e official Xinhua News Agency said the landslide buried or damaged 33 buildings in the industrial park in Shenzhen, a major manufactur- ing center in Guangdong province across the border from Hong Kong that makes products used around the world from cell phones to cars. Details are beginning to emerge about the cause of the landslide that authorities now say covered an area of 100,000 square meters with up to 6 meters of mud. e Ministry of Land and Resources said the debris originated with a steep, man-made mountain of dirt, cement chunks and other construction waste that had been piled up against a 100-meter-high hill over the past two years. Heavy rains in the region adjacent to Hong Kong had saturated the soil, making it increasingly unstable and ultimately causing it to collapse with massive force. e ministry said it had dis- patched additional personnel to help monitor the situation and guard against a second collapse. Xinhua said that as of Monday morning, 59 men and 32 women were missing in the landslide. No deaths were reported so far. Li Yikang, the deputy secretary- general of the Shenzhen city govern- ment, said at a televised news con- ference that more than 900 people had been evacuated. He said that nearly 1,500 people were involved in rescue efforts. State broadcaster China Central Television, or CCTV, said that there was a residential area next to the industrial zone, and that the build- ings buried included two workers’ dormitories. Ren Jiguang, the deputy chief of Shenzhen’s public security bureau, told CCTV that most people had been moved to safety before the landslide hit. State media carried photos of what looked like at least one 5-story build- ing leaning over and partly crum- pled in the industrial park, and a sea of brown soil covering a vast area around it. e landslide is the fourth major disaster to strike China this year fol- lowing a deadly New Year’s Day stam- pede in Shanghai, the capsizing of a cruise ship in the Yangtze River and a massive explosion at a chemicals warehouse in Tianjian on the coast near Beijing. Human error has been suspected or confirmed in all three previous di- sasters, pointing to an often callous attitude toward safety despite the threat of harsh penalties. ree decades of headlong economic growth have been catching up with China in terms of safety and damage to the environment. Many of the country’s major cit- ies suffer from chronic air pollution and Beijing on Monday was enduring a four-day smog red alert that forced schools to close, factories to curtail production and half the city’s cars off the roads. China landslide buries buildings, 91 missing S HENZHEN, China—At least 91 a day after a man-made mountain of excavated soil and construction the southern Chinese city of Shenzhen. M ADRID—A strong showing on Sunday by a pair of up- start parties in Spain’s gen- eral election upended the country’s traditional two-party system, with the ruling Popular Party winning the most votes but falling far short of a parliamentary majority and at risk of being booted from power. Days or weeks of negotiations will be needed to determine who will govern Spain, with the new far- left Podemos and business-friendly Ciudadanos parties producing shock- waves because of strong support from voters weary of high unemployment, a seemingly endless string of official corruption cases and disgust over the country’s political status quo. If forced out of government, Prime Minister Mariano Rajoy and his Pop- ular Party would become the third European victim this year of a voter backlash against austerity—follow- ing elections in Greece and Portugal seen as ballot box rebellions against unpopular tax hikes and spending cuts invoked during the euro zone’s debt crisis. In past Spanish elections, the Pop- ular Party and the main opposition Socialists were the established pow- erhouses and only needed support from tiny parties to get a majority in parliament when they didn’t win one from voters. But Podemos came in a strong third place and Ciudadanos took fourth in their first election field- ing national candidates—setting up a period of uncertainty as par- ties negotiate with each other to “Spain is not going to be the same anymore and we are very happy,” said a jubilant Pablo Iglesias, the pony- tailed leader of Podemos. With 99.9 percent of the vote counted, the Popular Party won 123 seats in the 350-member lower house of Parliament—far below the 186-seat majority it won four years ago after beating the Socialists in a landslide. e Socialist Party received 90 seats, while Podemos and allies won 69 and Ciudadanos got 40. Analysts said the outcome will make it extremely difficult for the Popular Party to form a coalition or get voted into parliament as a minor- ity government because it does not get enough seats by allying only with Ciudadanos, its closest possible ide- ological partner. e Popular Party would also need support from parties that won 17 seats in the northeastern Catalonia region and are seeking independence from Spain or want more regional fi- nancial power and feel alienated by Rajoy’s firm rejection of their causes. And Spain has never had a so called “grand coalition” that would bring the Popular Party and the So- cialists together. Rajoy told cheering supporters, shortly after midnight on Monday, that he would try to form a govern- ment but didn’t provide any details of how he might accomplish that goal. “is party is still the No. 1 force said the result clearly shows “Spain wants a move to the left,” adding that he and his party are ready for talks that could lead to a govern- ing accord. in a three-way “coalition of losers” similar to an electoral outcome that happened in neighboring Portugal last month. Also possible for the So- cialists is a deal with Podemos plus smaller regional parties that won just a few seats each—not requiring the support of Ciudadanos. “It looks like a Socialist govern- ment,” said Federico Santi, a London- “Reaching a deal between the So- cialists, Ciudadanos and Podemos is not going to be straightforward.... But if the alternative is leaving the coun- try without a government, the pres- sure will be on the parties.” Podemos and Ciudadanos both gained strength by portraying the Popular Party and the Socialists as out-of-touch behemoths run by poli- ticians who care more about main- taining their own power than citi- zens’ needs. Miguel Redondo, a 19-year-old power. Voting was brisk with lines outside some polling stations and voter participation of 73.2 percent, up from 68.9 percent in the 2011 election. Francisco Herrera, a 43-year-old porter in Madrid, said he was disap- “defends the economy and the type of government that suits us right now.” e nation’s devastating economic crisis, nonstop corruption scandals and a separatist drive in the north- eastern region of Catalonia have dominated Spanish politics over the past four years. Rajoy has boasted about his handling of the economy, done his best to skirt the corruption minefield and has vowed to halt the independence push. His administration’s biggest suc- SPAIN RULING PARTY COULD BE OUT; UPSTARTS GET BIG VOTES B ‘ai govt not ignoring shrimp-industry slavery’ L Rushing to deliver millions of holiday gifts WORLD B23 SPORTS A8 CRAFTS TO MAKE YOUR HOME MERRY AND BRIGHT CHINA LANDSLIDE BURIES BUILDINGS, 91 MISSING GROOVING AGAIN LIFE B21 OTHER contestants congratulate Miss Philippines Pia Alonzo Wurtzbach, after she was crowned Miss Universe at the Miss Universe pageant on Sunday in Las Vegas. According to the pageant organizer, a misreading led the announcer to read Miss Colombia Ariadna Gutierrez as the winner before they took it away and gave it to Miss Philippines. See story on B2-2. AP/JOHN LOCHER B L S. M Conclusion T HE dearth in adequate trans- port infrastructure has been plaguing Metro Manila for the past two decades, and this will con- tinue in the next two if the govern- ment will just treat the problem like the way it is being addressed now. It will require the government and the private sector to invest trillions of pesos just to address this problem, which stemmed out of government neglect and political differences. “In the next five years, very little will be completed. We have a lot of infrastructure projects going on now — some are up for bidding and some are now being constructed — but these should have been done long before it was too late. The government toyed with this need and now all of us are suffering,”Rene S. Santiago, a transport expert, said. According to studies con- ducted by the Japan International Cooperation Agency (Jica), the Philippines will need to invest P4.67 trillion to catch up with its infrastructure limitations. Jica’s Roadmap for Transport Infrastructure Development for Metro Manila and its Surround- ing Areas, otherwise known as the Dream Plan, calls for the establish- ment of a modern, well-integrated, coordinated and affordable trans- port system for Metro Manila and the adjacent areas of Bulacan, Pam- panga, Cavite and Batangas. T HE Philippines’s largest money manager expects the nation’s equities to decline in the first half of 2016, as higher US borrowing costs fuel outflows and uncertainty builds before the country holds presidential elections. The Philippine Stock Exchange index (PSEi) is heading for its first annual loss since 2008, as overseas funds pulled a record $1.2 billion from equities that are among the priciest in Asia, while the peso has fallen to a six-year low against the US dollar. “We have bought on dips, but we’re cognizant of the fact that we aren’t out of the woods yet, so we are still holding cash,” said Fred- erico Ocampo, who helps manage about $18 billion in assets as chief investment officer at Manila- based BDO Unibank Inc. The stock market “is one of the most expen- sive in Asia Pacific and we haven’t delivered on the expected growth this year.” The nation’s economy expanded at a slower pace than expected in the third quarter, underscoring external risks, even as spending by households and the govern- ment is climbing. The central bank left its key interest rate un- changed while boosting inflation forecasts for the next two years, as Asian central banks brace for more outflows after the Federal Reserve’s (the Fed) tightening. The Philippines will hold elec- tions in May to find a successor Now in the Philippines Out in January | Free to BusinessMirror subscribers STEPHANIE TUMAMPOS PESO EXCHANGE RATES n US 47.4350 n JAPAN 0.3913 n UK 70.7825 n HK 6.1192 n CHINA 7.3185 n SINGAPORE 33.5752 n AUSTRALIA 34.0769 n EU 51.5571 n SAUDI ARABIA 12.6507 Source: BSP (21 December 2015) C A
Transcript
to President Aquino. The PSEi, the nation’s stock in-dex, has dropped 5 percent this year and trades at 16.8 times the project-ed 12-month earnings. While down from 20.8 at its peak in May 2013, that’s still 30 percent higher than the MSCI Asia Pacific Index, accord-ing to data compiled by Bloomberg. The Philippine equity gauge slid 0.2 percent at 9:36 a.m. local time. Foreign investors, who are on course to be net sellers of local stocks this year for the first time since 2008, are likely to withdraw more funds in the first half, Ocampo said. While stocks could rise in the short term after the Fed’s interest-rate increase last week, more outflows would help stocks reverse gains, added Ocampo, who favors stocks with high dividend yields.
Uncertainty over the pace of future tightening and the elec-tions “could dampen buying even for local investors,” said Ocampo, who said in June he raised cash holdings on concern global equi-ties would drop in the run-up to the Fed’s decision. Bloomberg News
PIA ALONZO WURTZBACH, the 64th Miss Universe, end-ed a 42-year drought for the
Philippines in this pageant—the country last bringing home the Miss Universe crown in 1973 courtesy of Margie Moran.
It’s the third win for the Philip-pines, with Gloria Diaz conquering the stage in 1969. In March 2015 she was criticized for her weight when she was crowned Binibining Pilipinas 2015. Trainer John Cuay has helped her maintain a strict diet and regular core training.
Wurtzbach topped several online polls that helped her in clinching the top spot, a first in the history of Miss Universe that online polls were counted in the results. Similar to MJ Lastimosa, Wurtzbach bagged
Wurtzbach apologizes on behalf of organization
www.businessmirror.com.ph n�Thursday 18, 2014 Vol. 10 No. 40 P. | | 7 DAYS A WEEKn�Tuesday, December 22, 2015 Vol. 11 No. 75
A broader look at today’s businessBusinessMirrorBusinessMirrorMEDIA PARTNER OF THE YEAR
2015 ENVIRONMENTAL LEADERSHIP AWARD
UNITED NATIONSMEDIA AWARD 2008
S “W,” A
Wurtzbach apologizes on behalf of organization
‘PSE to see more fundoutflows in H1 2016’
PHL EQUITIES TO TAKE HIT FROM FED LIFTOFF, POLITICAL UNCERTAINTY SPECIAL REPORT
following his first game in six months, LeBron James popped on some music. With Chris Brown’s “Picture Me
Rollin’” filling the locker room, Irving, James and Iman Shumpert bobbed their heads in unison and did some small dance moves. Close to full strength, the Cavaliers are grooving again. Irving scored 12 points and played 17 minutes in his season debut and James had 23, leading Cleveland to a 108-86 victory on Sunday over the Philadelphia 76ers, who lost their 10th straight and fell to 1-28. Back on the floor for the first time since breaking his left kneecap in Game One of the NBA Finals, Irving showed some rust but that didn’t matter. “Kind of been a long, long road, but finally getting out there with my teammates was a pleasure,” Irving said. The Cavs managed to open the season 17-7 without Irving. But Cleveland is more complete with the All-Star point guard running its offense and being a headache for opposing defenses. Now that Irving’s back, the Cavs are as healthy as they’ve been since early in the playoffs last season. “We’re almost there,” James said. Matthew Dellavedova made four three-pointers and added 20 points for the Cavs, who improved to 12-1 at home and are eyeing a Christmas Day game against Golden State.
James didn’t play in the
fourth
quarter, logging a season-low 25 minutes. Nerlens Noel had 15 points and 12 rebounds for the brutal Sixers, now 0-17 on the road and on their second double-digit losing streak. In Miami Chris Bosh scored 29 points and Hassan Whiteside shook off a slow first half to finish with 22 points and 11 rebounds in the Heat’s 116-109 win over Portland. Dwyane Wade had 18 points and added seven assists for the Heat. They trailed by 12 at one point and were down 10 at the half. The Heat shot 57 percent and played the final 13:37 without Goran Dragic. He was ejected for the first time in his career after arguing two foul calls. Atlanta rallied to beat Orlando, 103-100, with Kyle Korver scoring 13 of his 19 points in the fourth quarter. Korver had four thee-pointers in the final period and six overall. Mike Scott added 15 points, and Al Horford and Jeff Teague scored 14 apiece in Atlanta’s third straight victory. The Magic had the ball and a chance to tie with 7.3 seconds remaining, but the Hawks smothered an inbounds pass to Evan Fournier. The Sacramento Kings ended a four-game road losing streak with a 104-94 win at Toronto, the Pelicans beat the Nuggets, 130-125, and the Bucks beat the Suns, 101-95, with Greg Monroe hitting a spinning, go-ahead lay-up with 20.6 seconds left to lift Milwaukee past Phoenix. Bucks Coach Jason Kidd said after the game that he will be taking an indefinite leave to have hip surgery. Assistant Joe Prunty will direct the team in his absence. Karl-Anthony Towns had 24 points and 10 rebounds in the building where he was taken with the No. 1 pick in the June draft, and Minnesota beat Brooklyn, 100-85. Gorgui Dieng added 20 points and 10 boards to lead a strong bench unit that blew the game open in the fourth quarter. Andrew Wiggins scored 16 points, and Ricky Rubio had 15 assists. Brook Lopez had 20 points, 12 rebounds and five assists for the Nets. Rajon Rondo had 19 points and 13 assists, Rudy Gay scored 19 points against his former
team and Sacramento beat Toronto to end a four-game road losing
streak. Omri Casspi added 15 points and 11 rebounds for the Kings. DeMar DeRozan had 28 points for the Raptors. Toronto
point guard Kyle Lowry was ejected for consecutive technical
fouls after arguing with referee Scott Wall with 7:22 left in the third
quarter. AP
Kyrie Irving scores 12 points and played
17 minutes in his season debut and
LeBron James has 23, leading Cleveland
to a 108-86 victory on Sunday over the Philadelphia 76ers, who lose their 10th
straight to fallto 1-28.
FIFA KICKS OUT BLATTER, PLATINIZURICH—Sepp Blatter and Michel Platini
were each banned for eight years by the International Football Federation
(Fifa) ethics committee on Monday in a stunning takedown of world soccer’s most powerful leaders. Fifa President Blatter and his one-time protege Platini were kicked out of the sport for conflict of interest and disloyalty to Fifa in a $2-million payment deal that is also the subject of a criminal investigation in Switzerland. Blatter’s Fifa career is ending in disgrace after more than 17 years as president and 40 years in total with the scandal-hit governing body. Platini’s bid to succeed his former mentor in the February 26 presidential elections is now likely over, though both are expected to appeal at the Fifa appeals committee and the Court of Arbitration for Sport. Blatter has suggested he could pursue a lengthier appeal to Switzerland’s highest court, the federal tribunal, which can intervene if legal process was abused. Ethics judges decided that Blatter and Platini broke Fifa Code of Ethics rules on conflicts of interest, breach of loyalty and offering or receiving gifts. Both denied wrongdoing in 2011 when Platini took $2 million of Fifa money approved by Blatter as uncontracted salary for work as a presidential adviser from 1999 to 2002. Blatter was fined 50,000 Swiss francs ($50,250) and Platini, a Fifa vice president and head of European soccer’s governing body Union of European Football Associations (UEFA), was fined 80,000 Swiss francs ($80,400).
“Neither in his written statement nor in his personal hearing was Mr. Blatter able to demonstrate another legal basis for this payment,” the judges said. “By failing to place Fifa’s interests first and abstain from doing anything which could be contrary to Fifa’s interests, Mr. Blatter violated his fiduciary duty to Fifa. “His [Blatter’s] assertion of an oral agreement was determined as not convincing and was rejected by the chamber.” Platini, the judges said, “failed to act with complete credibility and integrity, showing unawareness of the importance of his duties and concomitant obligations and responsibilities.” Blatter was scheduled to hold a news conference at 11 a.m. local time (1000 GMT) at Fifa’s former headquarters in Zurich. He arrived soon after 10 a.m. in a chauffeur-driven car accompanied by his daughter, Corinne, and media spokesman Thomas Renggli. He did comment to reporters as he was bustled through a throng of cameras. Blatter and Platini both have strong motivation to fight the bans in fast-track appeal cases. Blatter, who turns 80 in March, wants a Fifa swansong by hosting the election congress in Zurich and being made honorary president by the 209 member-federations. The 60-year-old Platini wants to clear his name, pass a Fifa integrity check and be declared an official candidate in the election he had been favored to win. Platini’s campaign has stalled since
being quizzed on September 25 in a Swiss federal investigation of suspected criminal mismanagement at Fifa. Switzerland’s attorney general has opened criminal proceedings against Blatter for the suspected “disloyal payment” of Fifa money to Platini and selling undervalued World Cup TV rights for the Caribbean. Platini’s status in the criminal case is “between a witness and an accused person,” Attorney General Michael Lauber said in October. In recent media interviews, both men have said Platini asked Blatter for a salary of 1 million Swiss francs. He got a contract for 300,000 Swiss francs annually, in line with Fifa’s then-wage structure, plus a “gentleman’s agreement” to get the rest later. Swiss law obliged Fifa only to pay the deferred money within five years. Platini was paid in February 2011, just before Blatter began campaigning for re-election against Mohamed bin Hammam of Qatar. Platini’s UEFA urged its members weeks before the June 2011 poll to back Blatter, who was elected unopposed when Bin Hammam was implicated in bribery. Few Fifa officials knew of the Platini payment which emerged during a wider Swiss probe of the governing body’s business affairs, including suspected money laundering in the 2018 and 2022 World Cup bidding contests. The agreement was “a classic conflict of interest” between two executive committee members, Fifa audit panel chairman Domenico Scala said in October. AP
Britain’sbest
L ONDON—Andy Murray has been voted BBC Sports Personality of the Year for the second time after helping Britain win the Davis Cup for the first time since 1936.
The 28-year-old Murray says “I didn’t expect this. It’s very humbling to be up here in front of so many great athletes,” after beating Kevin Sinfield, who captained rugby league side Leeds Rhinos to the treble in 2015, to the prestigious British award on Sunday. Jessica Ennis-Hill was third in the public vote. The 2013 winner was instrumental in helping Britain to a first Davis Cup victory in 79 years following a 3-1 win over Belgium in November. “This has been a five-year journey. We were down in the bottom level of tennis and now we’re No. 1 in the world and I never thought that would be possible,” Murray added. AP
ANDY MURRAY is named BBC Sports Personality of the Year. AP
CLEVELAND’S Kyrie Irving (right) drives to the basket against Philadelphia’s Jahlil Okafor (left) and Jerami Grant. AP
Sports A8 | TUESDAY, DECEMBER 22, [email protected]@businessmirror.com.phEditor: Jun Lomibao
WE rejoice! The Lord is high, yet He looks on the lowly, and the haughty, He knows from
afar. You give us life though, we walk amid affliction; You stretch out Your hand against the anger of our foes. With Your right hand You save us; the Lord will accomplish this for us. Oh LordYour merciful love is eternal; discard not the work of Your hands. (Psalm 138: 6-8) We come to You, to seek Your love and 6-8) We come to You, to seek Your love and 6-8forgiveness, all the days of our life. Amen! Life Life Life Life Life Life Life Life Life GIVE US THIS DAY, COMMITTEE OF DIVINE WORSHIP, Life EE OF DIVINE WORSHIP, Life USA AND LOUIE M. LACSON, HF Life SON, HF Life Life L Life Word&Life Publications • [email protected] Life [email protected] Life
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most elegant lamps to choose from noted designers like Philippe Starck, Achille Castiglioni, Rodolfo Dordoni and the Bouroullec Brothers.
“At Steltz, The Gallery, we have lamps that are a celebration of creativity and innovation. They are unique, well-designed and functional,” says Jennifer Stelton-Jose, president of Steltz International.
The perfect gift for the sophisticated person with a knack for technology and innovation is the Kelvin T LED Green Base designed by Phillipe Starck for Flos. This table lamp comes with a daylight sensor and motion sensor which, when activated, automatically modi�es its light output based on the brightness of the surrounding areas. It is equipped with the state-of-the-art Flos touch technology, with a touch-sensor switch active at all times, and is fully adjustable, providing direct lighting to one’s workspace when needed.
Starck also brings Miss Sissi, the world’s �rst design object manufactured with polyhydroxyalkanoates (PHAs), a water-biodegradable biopolymer made from the waste of sugar beet and cane production. Starck designed this green-based energy source also for Flos. The PHA version has no impact on the food cycle, requires no organic solvents, and is completely biodegradable in soil and water. Miss Sissi comes in vibrant colors that add style and contemporary elegance to any room or bedside table, enough to light up the whole area while staying environmentally mindful. It is perfect for someone who thinks and breathes “green” eco-friendly practices.
Another table-worthy piece is The Lampadina, a lamp conceived by Castiglioni in celebration of the Flos’s showroom opening in Turin in 1972. The Lampadina looks like an oversized bulb lamp with a subtle satin �nish to di�use excess power. The simplicity re�ects its e�ciency and most basic utilitarian form with an LED light source.
Flos has come up with yet another highly architectural lamp with RAY T, a modern table light designed by Dordoni. Its classic drum shade and elegant chrome-plated base make it an architectural element �t for any room.
Finally, Steltz also has the Piani, a lamp with a �at base and top designed by brothers Ronan and Erwan Bouroullec. An ideal piece for the workplace, Piani features a base that functions as a convenient container of pens, paper clips, keys or eyeglasses and other o�ce paraphernalia. A workaholic engineer, artist, fashion designer, or computer expert will de�nitely appreciate this elegant yet functional gift.
DECK THE HALLSWITH DAZZLING LIGHTS
Crafts to make your home merry and brightCrafts to make your home merry and bright4. Slide the dowel into the casing and hang the banner
with string.
CUTE FOREST FRIENDSFELT and glue transform plastic containers and corks into a winter wonderland, with cozy cottages and woodland animals that double as �nger puppets. Set tea lights inside the larger cottage to cast a pretty snow�ake shadow on the roof.
HOUSESFOR two houses you will need:
2 (9-by-12-inch) pieces of white glittery feltClear plastic deli container and clear plastic cup (we used a
16-ounce container and a 5-ounce cup)Tacky glueSmall piece of blue felt8 1/2-by-11-inch sheet of white paper9-by-12-inch piece of brown feltCotton ball2 battery-powered tea lights1. Cut pieces of the white felt to wrap around the container
and cup with some overlap. For the large house, cut out a door and window. Wrap the felt around each container and glue the edges together. Tip: Hold the felt in place with a rubber band while it dries. For the small house, cut a door from the blue felt and glue it in place.
2. For the roofs, download our templates. Cut the large roof from white felt and glue the overlapped edges together. To make the snow�ake shadow (which will appear on the roof when the cottage is lit), cut an 8 3/4-inch-wide circle from the paper, then cut it into a snow�ake. Unfold the paper and cut it in half. Fold one half into a cone to �t the roof and glue it inside. Cut a heart from the white felt and glue it to the roof. Cut the small roof from the brown felt and glue the overlapped edges together. Glue a piece of the cotton ball on the rooftop for smoke.
3. To light the large house, place one tea light inside the container and the other on top, then set the roof in place.
FOREST CRITTERS
You will need:Small pieces of white, light gray, dark gray, orange and
light brown felt4 wine corksTacky glue8 small buttons1 small black pom-pom1 small white pom-pom
Embroidery �oss or crochet thread1. Download our templates and use them to cut the pieces
Embellishments, such as sequins, pom-poms, glittery pipe cleaners and bells
1. Download our templates for the hat, face, ears and decorations and use them to cut the pieces from the felt.
2. In a small bowl, mix 2 tablespoons water with 1/4 cup tacky glue and set the mixture aside.
3. To make the hat, cover half the cone with the glue mixture. Begin wrapping the felt hat piece around it, smoothing as you go, then glue and wrap the other half. Glue on the ears, decorations and other embellishments.
4. Make the elf’s face by gluing the felt pieces to the box and lid as shown on the template. Glue the whites of the eyes in place, but not the pupils (so that they can be repositioned).
A CANDY CASTLE FELT BOARDTHE beauty of this castle (aside from its looks!) is that it’s meant to be played with. The boxes and towers (made from recycled containers and store-bought papier-mache pieces) can be endlessly stacked and redecorated with the movable candy pieces.
You will need:Tacky glue
Cardboard boxes and tubes (such as potato chip canisters or sections of a mailing tube)
White felt (enough to cover your boxes, tubes and cones)Papier-mache pieces, such as cones and round boxes (available
at craft stores; we used 7 1/4-inch-tall cones)Assorted colored felt piecesWhite glittery feltGlitter glueAdhesive-backed gems1. In a small bowl, mix 2 tablespoons water with 1/4 cup tacky
glue and set the mixture aside.2. For each box and tube, cut pieces of white felt to cover
the sides and top. Tip: For smoother edges, cut one piece that is long enough to go around all four sides of a box. For each 7 1/4-inch papier-mache cone, download our template and use it to cut the shape from white felt. Brush the box, tube or cone with the glue mixture and smooth the felt over the surface.
3. Download our templates for the decorative pieces, cut the pieces from the colored felt, and cut the icicles from the white glittery felt. Glue the castle components together and the flags onto each cone. Add glitter glue and gem embellishments.
B E H WFamilyFun Magazine
FOUR fun felt projects to decorate your home this holiday season. To get the templates for all these projects, go to familyfunmag.com/printables.
A BANNER TO TWEET ABOUTSET the scene for the holidays with this 2-footlong wall hanging. Cheery cardinals are center stage, while paper snow�akes glued to the back of the banner add wintry shadows.
You will need:16-by-27-inch piece of white glittery felt, plus a scrap
for the snow on the branchesTacky glue9-by-12-inch piece of red felt9-by-12-inch piece of tan feltScrap of orange felt3 buttonsSeveral sheets of 8 1/2-by-11-inch white paper17-inch-long dowel (ours was 1/4 inch in diameter)
String for hanging1. Make a casing at the top of the banner by folding over
1 inch of the white felt and gluing it in place.2. Download our templates for the birds, branches,
beaks and snow, use them to cut out pieces from the various colors of felt, and glue the pieces and button eyes in place.
3. Cut snow�akes in various sizes from the paper and glue them to the back of the white felt. This will add a subtle pattern when the banner is hung against a wall.
TURN inexpensive papier-mache boxes and cones into an eye-catching place to store wrapped holiday treats.ALEXANDRA GRABLEWSKI/FAMILYFUN MAGAZINE/TNS
CHEERY cardinals are center stage, while paper snowflakes HEERY cardinals are center stage, while paper snowflakes HEERYglued to the back of the banner add wintry shadows.
FELT and glue transform plastic containers and corks into a winter wonderland, with cozy cottages and woodland animals that double as finger puppets.
MISS UNIVERSE MISTAKE CROWNS COLOMBIA BEFORE PHILIPPINES »B2-2
from their corresponding color felt.2. For each animal, wrap the felt body around a cork and
glue the overlapped edges together, taking care not to glue the felt to the cork. This allows the corks to be removed so that the
animals can be used as �nger puppets.3. To make the owl and raccoon’s heads, pinch the felt
together at the top of the cork with a drop of glue between the layers and clamp with a clothespin until dry.
4. For all the animals, glue on any remaining pieces of felt, buttons, pom-poms or whiskers, as shown, and let the glue dry.
ADORABLE ELVESTURN inexpensive papier-mache boxes and cones into an eye-catching place to store wrapped holiday treats. Even more fun: The elves’ pupils can be repositioned, giving them a host of changeable expressions.
For each, you will need:16-inch-square piece of felt for the hat16-by-8-inch piece of felt for the face and earsFelt scraps for the eyes and hat decorationsTacky glue13 1/2-inch-tall papier-mache cone (available at craft stores)4-inch-wide papier-mache round box (available at craft stores)
� e o� cial Xinhua News Agency said the landslide buried or damaged 33 buildings in the industrial park in Shenzhen, a major manufactur-ing center in Guangdong province across the border from Hong Kong that makes products used around the world from cell phones to cars.
Details are beginning to emerge about the cause of the landslide that authorities now say covered an area of 100,000 square meters with up to 6 meters of mud.
� e Ministry of Land and Resources said the debris originated with a steep, man-made mountain of dirt, cement chunks and other construction waste that had been piled up against a 100-meter-high hill over the past two years.
Heavy rains in the region adjacent to Hong Kong had saturated the soil, making it increasingly unstable and ultimately causing it to collapse with massive force.
� e ministry said it had dis-patched additional personnel to help monitor the situation and guard against a second collapse.
Xinhua said that as of Monday morning, 59 men and 32 women were missing in the landslide. No deaths were reported so far.
Li Yikang, the deputy secretary-general of the Shenzhen city govern-ment, said at a televised news con-ference that more than 900 people had been evacuated. He said that nearly 1,500 people were involved in rescue e� orts.
State broadcaster China Central Television, or CCTV, said that there was a residential area next to the industrial zone, and that the build-ings buried included two workers’ dormitories.
Ren Jiguang, the deputy chief of Shenzhen’s public security bureau, told CCTV that most people had been moved to safety before the landslide hit.
State media carried photos of what looked like at least one 5-story build-ing leaning over and partly crum-pled in the industrial park, and a sea of brown soil covering a vast area around it.
� e landslide is the fourth major disaster to strike China this year fol-lowing a deadly New Year’s Day stam-pede in Shanghai, the capsizing of a cruise ship in the Yangtze River and a massive explosion at a chemicals warehouse in Tianjian on the coast near Beijing.
Human error has been suspected or con� rmed in all three previous di-sasters, pointing to an often callous attitude toward safety despite the threat of harsh penalties.
� ree decades of headlong economic growth have been catching up with China in terms of safety and damage to the environment.
Many of the country’s major cit-ies su� er from chronic air pollution and Beijing on Monday was enduring a four-day smog red alert that forced schools to close, factories to curtail production and half the city’s cars o� the roads. Los Angeles Times/TNS
China landslide buries buildings, 91 missingSHENZHEN, China—At least 91
people were missing on Monday, a day after a man-made mountain people were missing on Monday, a day after a man-made mountain people were missing on Monday,
of excavated soil and construction a day after a man-made mountain
of excavated soil and construction a day after a man-made mountain
waste buried dozens of buildings when it swept through an industrial park in waste buried dozens of buildings when it swept through an industrial park in waste buried dozens of buildings when
the southern Chinese city of Shenzhen.it swept through an industrial park in the southern Chinese city of Shenzhen.it swept through an industrial park in
MADRID—A strong showing on Sunday by a pair of up-start parties in Spain’s gen-
eral election upended the country’s traditional two-party system, with the ruling Popular Party winning the most votes but falling far short of a parliamentary majority and at risk of being booted from power.
Days or weeks of negotiations will be needed to determine who will govern Spain, with the new far-left Podemos and business-friendly Ciudadanos parties producing shock-waves because of strong support from voters weary of high unemployment, a seemingly endless string of o� cial corruption cases and disgust over the country’s political status quo.
If forced out of government, Prime Minister Mariano Rajoy and his Pop-ular Party would become the third European victim this year of a voter backlash against austerity—follow-ing elections in Greece and Portugal seen as ballot box rebellions against unpopular tax hikes and spending cuts invoked during the euro zone’s debt crisis.
In past Spanish elections, the Pop-ular Party and the main opposition Socialists were the established pow-erhouses and only needed support from tiny parties to get a majority in parliament when they didn’t win one from voters.
But Podemos came in a strong third place and Ciudadanos took fourth in their � rst election � eld-ing national candidates—setting up a period of uncertainty as par-ties negotiate with each other to see which ones may be able to form a governing alliance.
“Spain is not going to be the same anymore and we are very happy,” said a jubilant Pablo Iglesias, the pony-tailed leader of Podemos.
With 99.9 percent of the vote counted, the Popular Party won 123 seats in the 350-member lower house of Parliament—far below the 186-seat majority it won four years ago after beating the Socialists in a landslide.
� e Socialist Party received 90 seats, while Podemos and allies won 69 and Ciudadanos got 40.
Analysts said the outcome will make it extremely di� cult for the Popular Party to form a coalition or get voted into parliament as a minor-ity government because it does not get enough seats by allying only with
Ciudadanos, its closest possible ide-ological partner.
� e Popular Party would also need support from parties that won 17 seats in the northeastern Catalonia region and are seeking independence from Spain or want more regional � -nancial power and feel alienated by Rajoy’s � rm rejection of their causes.
And Spain has never had a so called “grand coalition” that would bring the Popular Party and the So-cialists together.
Rajoy told cheering supporters, shortly after midnight on Monday, that he would try to form a govern-ment but didn’t provide any details of how he might accomplish that goal.
“� is party is still the No. 1 force in Spain,” Rajoy declared.
But Socialist leader Pedro Sanchez said the result clearly shows “Spain wants a move to the left,” adding that he and his party are ready for talks that could lead to a govern-ing accord.
� e Socialists could try to team up with Podemos and Ciudadanos in a three-way “coalition of losers” similar to an electoral outcome that happened in neighboring Portugal last month. Also possible for the So-cialists is a deal with Podemos plus
smaller regional parties that won just a few seats each—not requiring the support of Ciudadanos.
“It looks like a Socialist govern-ment,” said Federico Santi, a London-based analyst with the Eurasia Group political risk consultancy.
“Reaching a deal between the So-cialists, Ciudadanos and Podemos is not going to be straightforward.... But if the alternative is leaving the coun-try without a government, the pres-sure will be on the parties.”
Podemos and Ciudadanos both gained strength by portraying the Popular Party and the Socialists as out-of-touch behemoths run by poli-ticians who care more about main-taining their own power than citi-zens’ needs.
Miguel Redondo, a 19-year-old Madrid university student, said he voted for Podemos because “it’s the party that best understands the dif-� culties that young people are going through” in a nation where jobless-ness for people under 25 is more than double the country’s overall 21-per-cent unemployment rate.
Spain’s 36.5 million registered voters elected representatives to the lower house of parliament and to the Senate, which has less legislative
power. Voting was brisk with lines outside some polling stations and voter participation of 73.2 percent, up from 68.9 percent in the 2011 election.
Francisco Herrera, a 43-year-old porter in Madrid, said he was disap-pointed with Rajoy’s leadership, but voted for the Popular Party because it “defends the economy and the type of government that suits us right now.”
� e nation’s devastating economic crisis, nonstop corruption scandals and a separatist drive in the north-eastern region of Catalonia have dominated Spanish politics over the past four years. Rajoy has boasted about his handling of the economy, done his best to skirt the corruption mine� eld and has vowed to halt the independence push.
His administration’s biggest suc-cess has been in pulling Spain back from an economic abyss in 2012, and returning the economy to steady growth, but the jobless rate has come down slowly and salaries for people entering the work force are 30 per-cent lower than they were in 2008. � is fueled claims by Ciudadanos and Podemos that the Socialists plunged Spain into an economic cri-sis and the Popular Party failed to � x the problem. AP
PODEMOS party leader Pablo Iglesias (center) and other party leaders celebrate following the latest o� cial election results in Madrid on Monday. Podemos supporters gathered outside their party headquarters in Madrid, cheering as general election results began to roll in con� rming the newcomer on the political scene looked set to capture 68 seats and a chance of forming a coalition in parliament. AP/DANIEL OCHOA DE OLZA
SPAIN RULING PARTY COULD BE OUT; UPSTARTS GET BIG VOTES
BANGKOK—Thailand’s government said on Monday it is not ignoring the slavery and forced labor in its lu-
crative shrimp industry that was highlight-ed in an Associated Press (AP) investigation published last week.
Government Spokesman Sansern Kaewk-amnerd, � anked by several police and navy of-� cials, held a news conference speci� cally to address issues raised by the AP report.
Sansern said the government was al-ready aware of slavery in the industry before the AP report was released on December 14. “Authorities found it � rst,” he said.
Kornchai Klaiklung, the head of the anti-human tra� cking wing of the police, said “a number of things, including the report about debt-bound laborers, inter-est us and we are looking into, it and will prosecute them [the culprits].
Thailand is one of the world’s biggest shrimp providers and its seafood export industry is estimated to bring in about $7 billion annually. The AP report revealed the widespread use of undocumented migrant laborers, many from neighboring Myanmar.
Many of these laborers end up being tricked or sold into shrimp-peeling sheds where they are forced to work 16-hour days with no time o� and little or no pay for sometimes years at a time. Some end up locked inside. Others are allowed to go out, but only if they leave their children or spouse behind as a guarantee against running away.
A day after the AP report, Thiraphong Chansiri, the president of Thai Union, one
of the world’s biggest seafood exporters, expressed frustration and promised change.
He said the AP investigation should be a “wake-up call” to the industry. Many export-ers have bought shrimp from, or outsourced peeling work to, smaller operators who have less oversight.
At the news conference on Monday, government o� cials did not deny the exis-tence of forced labor but disputed parts of the story, especially the AP’s assertion that police took bribes and turned a blind eye to the practices in the industry.
“This is not true,” Sansern said without elaborating. He said Thailand could not have become one of the top shrimp exporters in the world with the use of slave labor alone.
“There are a number of criteria needed to become leader in the � eld such as quality of the product...not just cheap labor alone.”
The AP stood by its report, which was part of a series of investigations this year into slavery in the � shing industry in the region. More than 2,000 trapped � shermen were freed earlier this year from an island in Indo-nesia as a result of the AP’s work. The reports also have led to a dozen arrests, millions of dollars’ worth of seizures and proposals for new federal laws.
“We stand � rmly behind our report-ers’ coverage, which has been scrupulous, thorough and fair,” said Paul Colford, an AP vice president and director of media rela-tions. “Their stories exposing the enslave-ment of workers in the Southeast Asian � shing industry have been a source of great pride throughout The Associated Press.” AP
‘� ai govt not ignoring shrimp-industry slavery’‘� ai govt not ignoring shrimp-industry slavery’‘� ai govt not ignoring
RESCUERS search for survivors among collapsed buildings after a landslide in Shenzhen in south China’s Guangdong province on Sunday. CHINATOPIX VIA AP
LOUISVILLE, Kentucky—The humming is constant; a low-pitched drone from 155 miles of conveyer belts racing
packages in every direction. Boxes shift from one belt to another and bump into a metal wall. Thud. Thud. Thud. In the background, trucks beep and jet engines roar.
Forget jingling bells and ho-ho-hos, these are now the sounds of the holidays.
As more gift-givers shop online, there are more packages to ship. Online sales now ac-
count for 10 percent of all shopping and 15 percent during the holidays, according to re-search � rm Forrester. That leaves FedEx and UPS with a combined 947 million packages to deliver between Black Friday and Christ-mas Eve—up 8 percent from last holiday season’s forecasts.
For UPS, the key to getting all those last-second orders delivered on time is Worldport, a massive sorting facility located between the Louisville airport’s two main runways. AP
Rushing to deliver millions of holiday gifts
WORLD B23
SPORTS A8
CRAFTS TO MAKE YOUR HOME MERRY AND BRIGHT
CHINA LANDSLIDE BURIESBUILDINGS, 91 MISSING
GROOVING AGAIN
LIFE B21
OTHER contestants congratulate Miss Philippines Pia Alonzo Wurtzbach, after she was crowned Miss Universe at the Miss Universe pageant on Sunday in Las Vegas. According to the pageant organizer, a misreading led the announcer to read Miss Colombia Ariadna Gutierrez as the winner before they took it away and gave it to Miss Philippines. See story on B2-2. AP/JOHN LOCHER
B L S. M
Conclusion
THE dearth in adequate trans-port infrastructure has been plaguing Metro Manila for the
past two decades, and this will con-tinue in the next two if the govern-ment will just treat the problem like the way it is being addressed now. It will require the government and the private sector to invest trillions of pesos just to address this problem, which stemmed out of government neglect and political differences. “In the next five years, very little will be completed. We have a lot of infrastructure projects going on now — some are up for bidding and some are now being constructed — but these should have been done
long before it was too late. The government toyed with this need and now all of us are suffering,” Rene S. Santiago, a transport expert, said. According to studies con-ducted by the Japan International Cooperation Agency (Jica), the Philippines will need to invest P4.67 trillion to catch up with its infrastructure limitations. Jica’s Roadmap for Transport Infrastructure Development for Metro Manila and its Surround-ing Areas, otherwise known as the Dream Plan, calls for the establish-ment of a modern, well-integrated, coordinated and affordable trans-port system for Metro Manila and the adjacent areas of Bulacan, Pam-panga, Cavite and Batangas.
THE Philippines’s largest money manager expects the nation’s equities to decline in the first
half of 2016, as higher US borrowing costs fuel outflows and uncertainty builds before the country holds presidential elections. The Philippine Stock Exchange index (PSEi) is heading for its first annual loss since 2008, as overseas funds pulled a record $1.2 billion from equities that are among the priciest in Asia, while the peso has fallen to a six-year low against the US dollar. “We have bought on dips, but we’re cognizant of the fact that we aren’t out of the woods yet, so we are still holding cash,” said Fred-erico Ocampo, who helps manage about $18 billion in assets as chief investment officer at Manila-based BDO Unibank Inc. The stock market “is one of the most expen-
sive in Asia Pacific and we haven’t delivered on the expected growth this year.”
The nation’s economy expanded at a slower pace than expected in the third quarter, underscoring external risks, even as spending by households and the govern-ment is climbing. The central bank left its key interest rate un-changed while boosting inflation forecasts for the next two years, as Asian central banks brace for more outflows after the Federal Reserve’s (the Fed) tightening. The Philippines will hold elec-tions in May to find a successor
Now in the Philippines
BusinessMirrorOut in January | Free to BusinessMirror subscribers
STEP
HANI
E TUM
AMPO
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PESO EXCHANGE RATES n US 47.4350 n JAPAN 0.3913 n UK 70.7825 n HK 6.1192 n CHINA 7.3185 n SINGAPORE 33.5752 n AUSTRALIA 34.0769 n EU 51.5571 n SAUDI ARABIA 12.6507 Source: BSP (21 December 2015)
C A
10-yr plan to ease ‘the worst traffic on earth’Continued from A1
the Binibining Pilipinas after her third try. Wurtzbach revealed in an interview that her predecessor was one of the people who encouraged her to go for the crown. She is a chef by profession. Wurtzbach studied Culinary Arts at the Center for Asian Culinary Studies in San Juan, Metro Manila. She was born in Stuttgart, Baden-Württemberg, Germany, but was raised in the Philippines. The 26-year-old Wurtzbach start-ed her career at the age of four as a Star Magic Talent appearing in several commercials and alongside Filipino stars in television shows under the screen name “Pia Rome-ro.” She also modeled for Avon at the age of 11. After Manny Pacquiao lost to Floyd Mayweather Jr. in May in the biggest boxing match of the year, Wurtzbach posted in her Twitter account that she will
avenge the loss of the country through Miss Universe. (Kalma lang guys. Ako bahala. Babawi tayo sa Miss Universe!) When asked to describe herself then, Wurtzbach considered her-self an ugly duckling and a wall-flower. Her classmates gave her the moniker “Piazilla,” because of her towering height, which would eventually lead her to the Miss Universe crown. The reigning Miss Universe had a wardrobe malfunction when her original evening gown piece did not fit her well. Los Angeles-based Filipino designer Oliver Tolentino came to her rescue as he cut his skiing trip in Colorado short to rush to the beauty queen’s aid. He provided nine gowns for Wurtzbach and the stunning red Swarovski-encrusted gown was selected from Tolentino’s haul.
With Mia Mallari
The system will consist of ex-pressways, new roads elevated and on ground, railways elevated and on ground, subways, airports and sea-ports. Near-term components are for completion by 2016, while medium- and longer-term components are for com-pletion by 2020 and 2030, respectively. When completed, the plan will ac-complish at least three objectives: The reduction of traffic congestion in the metropolitan area; the diminution of air pollution in the metropolitan area and its environs; and the reduction of transportation costs to the urban pop-ulation, especially the poor and other low-income groups. At the level of the individual, comple-tion will result in the reduction of the average travel fare of commuters from the current P42 to P24, and also the lowering of the current average travel time of 80 minutes to 31 minutes. This, however, was not the first transport master plan that the govern-ment has accepted for rollout. In 1973 a master plan, aptly called the Urban Transport Study in Manila Metropolitan Area, was approved. It was implemented from March 1971 to September 1973 with the assistance of the Overseas Technical Cooperation Agency of Japan. There was also the Metro Manila Transport, Land Use and Development Planning Project of 1977. Commis-sioned by the Philippine government and funded by the World Bank, it was implemented from January 1976 to February 1977. Unfortunately, none of these ever fully materialized, as only a few of the projects listed on the said blueprints were built. Proper planning was done, Santiago said, but the lack of enthusiasm to imple-ment the plan blew it all away. “What they are doing is just lip ser-vice — and it is not the way to solve the problem. Their efforts are not enough; they are not doing the hard things to be done. What the government is do-ing is just announcing things that they pretend on doing,” he said.
Running out of Band-Aid solutionsTODAy, more than ever, the Philippines should start addressing these needs, if it really wants to turn the projected tril-lions of pesos in losses to gains. Philippine Chamber of Commerce and Industry President Alfredo M. yao said: “Traffic is a complicated problem
that requires both short- and long-term solutions for it to be solved. We need to address it now, and we need to start working.” Jose Regin F. Regi-dor, a research fellow at the University of the Philippines-Diliman National Cen-ter for Transportation Studies, agreed, saying that the government needs to swallow the bitter pill and start acting on the disease before it gets any worse. “We need to restructure public trans-port services in the short term. That means assigning only buses along cor-ridors with high demand for transport like Commonwealth Avenue, Espana or Quezon Avenue, Shaw Boulevard, Aurora Boulevard, Taft Avenue, among others,” he said. He added that jeepneys will have to be phased out of these corridors, but should be assigned purely along feeder routes. “For the long term, we need to in-vest in transport infrastructure now and start building rail lines as soon as possible in order to catch up with the ever-increasing demand for transport,” Regidor said. “We have a huge backlog on transport infrastructure for Metro Manila, especially for public transport.” He pointed out that for the govern-ment to address the traffic situation in Metro Manila, it needs to invest heavily on railway systems. “Rail transport is a long-term solution and a rapid bus-transit system, and the concept of which is now being tested with the transport department’s express bus can provide relief and, perhaps, a short- to medium-term solution to traf-fic congestion,” he said. In Asia, the Philippines is one of the few countries with the least number of working train lines to date. Metro Manila has three overhead railway systems and a commuter line. “As it is, we are already running out of stop-gap or Band-Aid measures to alleviate congestion. It is very difficult to discourage private-vehicle use if we do not have good public transport op-tions,” Regidor lamented. Makati Business Club (MBC) Execu-tive Director Peter Angelo B. Perfecto said the Philippines must learn from its neighbors and peers in and out of the Asia-Pacific region as to how to create livable cities that have good mobility, while minimizing environmental and economic impacts. “What is more constructive is to look at the more livable cities in the world and learn from them what they do that allow their citizens efficient mobility while minimizing emissions that choke
fast-growing cities,” he said. Perfecto added: “There are already many lessons to be learned from ex-periences and actions taken in more livable cities in other countries. Let us work with them. Clearly though what is needed is a long-term plan that will focus on moving people and not private cars.” ‘For the long term’TRANSPORTATION Secretary Joseph Emilio A. Abaya said the government is doing its best to improve the traffic situation in Metro Manila, and is bullish that it can at least lessen the congestion in the next few years. “I think traffic is always a complicated problem wherever it is. There should be short-term, medium-term and long-term solutions. What we are doing for our transport network companies, such as Uber and Grab, our point-to-point express buses, the yellow-lane enforcement, the rollout of automatic fare-collection system or the beep card, the bus reform, taxi reform, jeep reform programs, are all short term,” he said. For the long term, the govern-ment is building transport projects through the Public-Private Partner-ship (PPP) Program. “We are starting some, some will defi-nitely finish in five yrs, some are done. Transport planning is really long term. If we remain shortsighted then we will never get out of this situation and make efficient transportation available to all,” he said. ‘Slow like molasses’BUT infrastructure development in the Philippines remains slow, and business-men are not too convinced that the government is doing enough to push much-needed infrastructure deals out of its rich pipeline of projects. “How slow is infrastructure devel-opment in the Philippines? As slow as molasses,” American Chamber of Commerce Senior Advisor John D. Forbes said. The problem with the de-livery of right-of-way, he said, is what slows it down. The government has a reputation of delayed delivery of needed easement for transport projects, hence the slow movement of transportation develop-ment in the Philippines. “The government should not let right-of-way issues stop the imple-mentation of projects. It needs to finish things like the construction and exten-sion of more roads like the C-5, C-6, the Connector Road, among others. It needs
to deliver the right-of-way for the rails, as well,” European Chamber of Com-merce of the Philippines External Vice-President Henry J. Schumacher said. Perfecto added that to do this, the government must learn how to lead with coordination on both the national and the local levels. “To be fair it is much easier to com-plain about the slow pace of infrastruc-ture development than it is to actually just roll out even just one major project. To improve the pace will need better and more coordinated leadership on national and local levels of government. This, unfortunately, is far from easy as shared with us. Imagine, for example, Metro Manila and its 13 mayors,” he said. Government officials also need to have a sense of urgency, as this is a press-ing issue that has been staring them in the face for quite some time now, and yet, has only done little to address it. “It is not only the political will that they lack, but a sense of urgency to solve the problem, because to them, the traffic situation today is not a problem,” San-tiago said. “The long-term requirements and the short-term needs are with them, they just need to act upon them.” The government’s effort to mitigate the congestion, then, is never enough. “I think most people will state the obvious that efforts fall short of less-ening heavy traffic. This is because we still do not have the infrastructure,” Regidor said. Lack of good leadership and disciplineANy major project development in the Philippines has a relatively long gesta-tion period. From the moment a project is conceived it will go through a lot of phases from being studied for feasibil-ity, to being procured, to construction, then to maintenance. “Infrastructure development ap-pears to be slow, in part because of a lack of continuity and follow through with the government and even pri-vate-led initiatives. A comprehensive rapid rail-transit network, including subways, has been proposed in 1973, but we have yet to realize such a net-work,” Regidor said. He added: “Low-hanging fruits, for example, from a past administration may not be harvested due to political reasons, thereby contributing to the delay and even cancellation of much-needed transport infra projects.” Forbes agreed, saying that what the Philippines needs today is a good leader that has the will and the capacity to
effect change. “The government is the one to blame for this mess. We are now catching up with the backlog that we accumulated from the past. We need a decade before we could even see our transport sector start being better,” Santiago said. But for yao, addressing the problem of traffic in Metro Manila is not just the government and the private sector’s business. It is a shared responsibility that everyone — even ordinary citizens —must embrace. “We have something to look forward to, we could still see a light at the end of the tunnel. We can’t expect the govern-ment to work overnight, we also need the discipline in our people,” he said. For instance, people should respect and abide by the traffic rules and regu-lations set by regulatory agencies. This cleanses the Philippines from “the mob rule,” wherein people do what they like to do while on the road. “Everyone has to be trained. Our po-licemen should be trained. The people should learn how to cooperate. We keep on complaining but some of us are not helping, but rather contributing to the problem,” yao said. “Traffic is really com-plicated. We keep on adding cars, but we are not increasing our roads. We need mass-transit systems to lessen the cars plying our roads. What we need today, though, is discipline.”
Next admin to inherit the problemTHE sad thing about this problem is that the next administration will have to inherit it. Businessmen and experts are hoping, though, that the next govern-ment will not resolve to finger-pointing, but will do its best to address the issue. “The new president cannot con-tinue the snail’s pace of construction of needed infrastructure as in the past. Drastic action will be required. New rail and light rail lines must be prioritized so their construction can begin by 2017,” Forbes said. While their construction is ongoing, interim actions to manage traffic will be necessary, such as a high fee to register a new large car, high fees to enter con-gested areas such as Makati, Ortigas and central Cebu during rush hour, a large increase in gasoline taxes, enforc-ing disciplined driving on all vehicles, if necessary with the military. “We also need to reduce air pol-lution by removing older smoke-belching vehicles and subsidizing electric motorbikes and hybrid cars. Five percent of all motorcycles in Tai-pei are electric, with the government subsidizing 40 percent of the cost of an electric motorbike,” he added. The next administration must also not let low-hanging fruits, well, hanging. “For example, the proposed bus rapid-transit systems in Metro Ma-nila was actually proposed back in 2007 or 2008, but was only re-vived in the latter part of the cur-rent administration and have only been recently approved. This now becomes a low-hanging fruit for the next administration, whoever
wins. And we hope that whoever it is who wins will follow through on such projects. If not, then the backlog on infrastructure will con-tinue and contribute to worsening traffic congestion. This is the same for other major cities across the country,” Regidor said. To mitigate this, the government must also enact two important laws: the PPP Act and the new Right of Way Law. “The new Right of Way Law and con-tinuing the PPP, with the proposed PPP Act, which Congress has yet to approve in plenary, are important. The next ad-ministration should not slow projects down to review them,” Forbes said. When approved, the PPP Act would institutionalize the Project Develop-ment and Monitoring Facility, the PPP Governing Board and the contingent liability fund. The proposed amend-ments include the separation of regu-latory and commercial functions of government-owned and -controlled corporations and creation of a list of projects called “Projects of National Significance.” By virtue of being included in the list of projects of national sig-nificance, projects will be “insulated” from local laws, among others, by lo-cal government units. The proposed amendments also include allowing time-bound tempo-rary restraining order and the exten-sion of the period for Swiss Challenge to six months from the current two-month period. The amendments are expected to be approved within the term of Mr. Aquino. On the other hand, the Senate is moving to amend the Right of Way Law. Senate Bill 3004 seeks to pro-vide clearer guidelines, notably in the appraisal of values, procedure for expropriation, acquisition of easements and the corresponding appropriation of relevant funds for the implementing agencies.
Learn from mistakesMETRO Rail Transit (MRT) Holdings Inc. Chairman Robert John L. Sobrepeña added that he only hopes that the next government will learn from the mistakes of this current one, especially when han-dling rail deals. “I just hope that the next administra-tion will not repeat the mistakes of the past. Just take the MRT for an example,” he said. This is the same hope that commuter Ramon Pancho, a 29-year-old tech sup-port agent, holds. “We may all contribute to the bet-terment of our transport sector, but my hope is that whoever replaces the guys in government will do a better job. I’m tired of having to waste at least five hours on the road,” he said. The likes of Pancho will have to wait 10 more years before they see a better transport industry—that is, if the admin-istrations to come will have the guts and the capacity to navigate through the traffic of stumbling blocks and build a better Philippines.
Wurtzbach. . . Continued from A1
BusinessMirror Special Featurewww.businessmirror.com.ph Tuesday, December 22, 2015 A3
Tuesday, December 22, 2015 • Editor: Angel R. Calso
OpinionBusinessMirrorA4
Battling poverty with your Christmas giving
editorial
The Christmas season brings out our feelings of generosity and, perhaps, a little guilt about those that have less than we do. It is a little an-noying at times to be bombarded by “Merry
Christmas” envelopes, but sharing some of our wealth is the right thing to do.
Poverty is an ugly cancer in every society. There is not a single nation that does not have its own poor people using either their own standards or the United Nations definition of poverty. While being poor is hard to clearly de-fine and compare, like beauty, we know it when we see it.
One of the most confusing and even controversial passages in the Bible is found in the book of Saint Matthew when Jesus says, “For the poor you have always with you.” Yet, that seems to be absolutely true. No matter what a so-ciety does, there are always poor people.
US President Lyndon Johnson in his 1964 State of the Union Address declared an “Unconditional War on Poverty in America.” In the 50 years since, the US government has spent over $22 trillion directly on antipov-erty programs. This is three times the cost of all US military wars since the American Revolution.
In 1950 the US poverty rate was 32 percent. By 1965—before the poverty- war spending had started—the rate had been to 17 percent. In 2014 the pov-erty rate was about 14 percent, essentially the same rate as in 1967, three years after the War on Poverty was announced.
however, these numbers are distorted. For example, 80 percent of poor households have air conditioning. Nearly three-quarters have a car or truck. Ninety-two percent of poor households have a microwave.
But how do we reconcile that despite the best efforts of governments, over-all poverty remains relatively constant even as global extreme poverty goes substantially lower?
An in-depth and long-term study on the War on Poverty revealed two important findings: There was little progress in building the self-sufficiency of the poor and continuing assistance led to even more de-pendence on assistance.
every year Our Lady of the Miraculous Medal National Shrine has its Angel Tree Project. The shrine is led by Fr. Nelson B. Bisco, CM, the parish priest, and Fr. Francisco Nicolas P. Magnaye Jr., CM, the shrine rector.
A Christmas tree is hung with cartolina angel cut-outs with a list of Noche Buena items, such as spaghetti, milk, rice and corned beef, worth about P750. Parishioners are asked to donate a basket of these goods. But each angel also lists the name of the family to receive the Christmas treats. Therefore, it be-comes personal from one family helping another.
Government plays a critical role in reducing poverty. however, genuine love and charity can only come from one person to another. That is the true spirit of Christmas.
ThRee days from now, the Philippines will celebrate what is considered as the country’s happiest holiday, so this is a most opportune time for me to greet everybody a
Merry Christmas!
By Jonathan Bernstein | Bloomberg View
The Democrats—hillary Clinton, Bernie Sanders and Martin O’Malley—put on another spirited debate. Granted, hardly anyone was watching on a Saturday night before Christmas.
Reasons to be merry
Clinton cleans up
THE EnTrEprEnEurManny B. Villar
As the year nears its end, in keep-ing with practice, I look back at de-velopments in 2015 and how these have affected and would affect our country and people.
In terms of the economy, both internal and external develop-ments have brought us to where we are now. Some changes caused positive impact, while others ad-versely affected us. On the whole, however, I believe the good exceed-ed the bad, and we have enough reasons to celebrate.
Actually, the mood around us is already one of celebration. Malls and other retail businesses have been en-joying brisk sales weeks before the year-end holidays. Consumer spend-ing will continue to drive economic growth this year.
On the positive side, more jobs are being created by the economy, as reflected in the decline in the un-employment rate to 5.6 percent in October, from 6 percent in the same month last year. The estimates under the Labor Force Survey do not include the province of Leyte, which is still recovering from the impact of Super-typhoon Yolanda.The government said the October unemployment rate was the lowest in the past 10 years.
Remittances from overseas Fili-pinos, which have supported the consumption-driven economy for decades, reached $20.6 billion in January to October 2015, up 3.7 percent from the same period last year, according to the Bangko Sen-tral ng Pilipinas (BSP). Cash remit-tances for the month of October alone amounted to $2.2 billion, also up by 4.3 percent year-on-year. And the BSP is expecting remittances to reach P25.6 billion in 2015, up from $24.3 billion in 2014.
The business-process outsourcing (BPO) industry has also emerged as a major foreign-exchange earner for the Philippines, aside from generat-ing a lot of jobs, estimated at 1.2 mil-lion by the end of 2015.
Industry reports show that the BPO sector generated a total of $18.9 billion in 2014 and is expected to gen-erate more than $12 billion this year.
By 2017 BPO revenues are forecast to breach the $28-billion mark, surpassing overseas Filipi-nos’ remittances.
Remittances and the BPO in-dustry are among the major factors behind the boom in the real-estate industry and the explosive growth of the retail business.
Sanders did what he’s in the contest to do: Make the case for the most liberal wing of the Demo-cratic party. For him, it really does come down to the rich versus the rest. his most telling moment was turning a question about domestic terrorism and ethnic profiling back to income inequality, saying, “I be-lieve we stand together to address the real issues facing this country, not allow them to divide us by race or where we come from.”
Sanders is knowledgeable in many areas, but the reason he’s not in sync with his party isn’t so much specific differences on policies as it is that he seems to be saying that other concerns—Islamic State of Iraq and Syria, race, immigration and so on—
aren’t “real issues.” As for O’Malley: his low point was
leveling a prepared charge of “bick-ering” at Sanders and Clinton (over the campaign data issue that blew up late in the week). had he noticed that only a minute earlier Sanders had apologized, and Clinton had accepted the apology and played down the is-sue? It didn’t get better: The audience booed him when he brought up the age difference between himself and the other two.
Clinton remains much better at this than any of the other twenty-something candidates who have debated for the presidency this year, Republican and Democrat. She al-most certainly won the sound bite war—first by deftly apologizing for
As I was writing this column, the local oil companies were announcing a P1 reduction in the pump price of diesel and a 60-centavo price cut in gasoline, the latest in a series of price cuts this year. The decline in domes-tic prices reflects the drop in global oil prices brought about by large sup-plies amid weak demand.
The price of oil dropped on De-cember 7 to its lowest in nine years, according to an Associated Press report. Prospects of a price re-covery remain dim because of the failure by the Organization of the Petroleum exporting Countries to reduce production amid the weak global economy.
It is bad for the oil producers, but positive for oil-importing countries like the Philippines. The lower oil price is one of the factors behind the country’s low inflation rate and, consequently, low interest rates. Inflation rose to 1.1 percent last month, from 0.4 percent in October, but remains within the 0.4-percent to 1.2-percent target range set by the BSP.
Because of the low inflation and the robust economy, the BSP’s pol-icy-making Monetary Board (MB) decided last month to maintain its overnight borrowing rate at 4 percent and the overnight lending rate at 6 percent. The MB has kept its policy rates, which private banks use in set-ting their lending rates, unchanged since October 2014.
On the negative side, the coun-try’s merchandise exports dropped by 10.8 percent to $4.59 billion last October, compared with $5.148 bil-lion in October 2014. For the first 10 months of 2015, merchandise exports declined by 6.2 percent to $48.87 billion, from $52.12 billion
for the same period last year.Net foreign direct investments
(FDI) reached a record high of $1.5 billion in September 2015, more than double the $680 million posted a year ago. For the period January to September 2015, however, the BSP reported that net FDI totaled $4.5 billion, down 5.5 percent from the $4.8-billion net inflows registered in the same period last year.
The weakening of the peso vis-à-vis the US dollar is both good and bad. Good for overseas Filipinos and exporters because a weak peso, which is hovering around P47 to the dollar, increases the peso equivalent of their earnings. It’s bad for importers be-cause it effectively raises the dollar amount they pay for materials from foreign sources.
The acceleration of economic growth in terms of GDP to 6 per-cent in the third quarter from 5.8 percent in the second quarter is positive, but we could have done better. For the first nine months of the year, GDP growth averaged 5.6 percent, making the govern-ment’s growth target of 7 percent to 8 percent for the whole year virtually unreachable. In fact, the National economic and Develop-ment Authority is now looking at a full-year growth of just 6 percent.
True, we could have done better, but the positive developments, as well as the absence of disasters as destructive as those we saw in 2013 and in other previous years, are rea-sons enough to celebrate.
returning late to the stage after a commercial break, and then, when asked if Wall Street should love her as president, confidently responded that “everybody should.” (And that’s not even counting her “may the force be with you” comment at the end of her final statement.)
her strong debate performances might help Clinton avoid an em-barrassing loss in Iowa or New hampshire. But even if they don’t, she has had the Democratic nomi-nation wrapped up for some time,
and nothing she did on Saturday night changes that.
This doesn’t mean she will be a great general-election candidate or, if she wins, a great president. But even if general-election debates aren’t that important, it’s safe to say she’ll do her homework. After all, as one person pointed out on Twitter, she went to the seemingly pointless trouble of mastering the opposition research against O’Malley. She will be prepared in 2016, and not just when it comes to debates.
It is almost Christmas and I am taking a vacation until next week. But before I go, I want to leave a message of good news and great happiness for all stock-market investors.
the good news is that 2015 is coming to an end. the great happi-ness will be found in 2016.
It would probably be nice to make a stock-market performance predic-tion for 2016 at this time. However, learning from my past experience, the appropriate time is September or even late October at the earliest. that way the odds of being right go to about 50/50. Long term—past one week—stock-market predictions have about the same success rate as predicting the gender of a baby be-fore its conception.
the most recent forecast that I have seen is 10,000 on the Philip-pine Stock Exchange Composite In-dex (PSEi) by 2017 or 2018. that is actually not a bad prediction since in 12 or 24 months, there is plenty of time to revise that calculation many times. But I am rather lazy so I will wait until next October to give you my wrong forecast for 2016.
this past year was not a “bad” year for the local stock market. We had our
typical number of stock issue “pump and dump” although this year did see more whining about them as social media became more of a platform. Complaining about losses on Face-book is probably more productive than filing a complaint with the Se-curities and Exchange Commission or the stock exchange. Also, social media gives the “jockeys” a chance to explain why the issue rose 400 percent and then dropped 80 percent without having to testify under oath and suffering the penalty of perjury.
Initial public offerings (IPO) turned in a mixed performance as usual. those companies majority owned by honest and reputable people did well. Some others not so much. Besides, in a stock market as small as the Philippine Stock Exchange (PSE), IPOs serve an important purpose far beyond offering investment opportu-nities. Most listed companies are bor-ing, unlike in other countries.
We never have had a listed com-pany announce the positive medical
trial results for a cure for cancer. I am not aware of any Filipino mutual- fund manager being jailed for insider trading. No local corporate president has resigned in disgrace or commit-ted suicide for faking 10 years of company profits, such as in Japan.
the only excitement we ever get is being told that some IPO is 10 times oversubscribed, and even that is becoming common.
Forget all the excitement from investors, stockbrokers and politi-cians about the PSEi reaching 8,000 and an historic high. In retrospect, that turned out to be like picking six numbers on the 6/49 Superlotto—the winnings did not last very long. the PSEi is set to end the year about 6 percent to 7 percent lower than the 2014 close. If, as an investor, “the trend is your friend,” then you were very lonely in 2015. there wasn’t any trend for the long-term investor.
Some issues, like Ayala Corp. may end the year 7 percent higher or so, which is an acceptable rate of return combined with the dividends. Philippine Long Distance telephone Co. (PLDt), on the other hand, was a natural disaster down 30 percent. the “buy and hold” and “cost-aver-aging” experts may be justified in 2016, unless the San Miguel/telstra deal slams PLDt’s share price more.
Gambling issues, too, were a disaster. You would think that af-ter the Philippine government gave China our Panatag Shoal and half the West Philippine Sea, the
Chinese government would have at least let their crooked politicians and businesspeople come to spend some of their ill-gotten wealth at Philippine Amusement and Gaming Corp.’s En-tertainment City. they really are un-grateful children of unwed parents.
the final and, perhaps, the big-gest disappointment for 2015 were the property stocks. It is not that the Property Index performed badly; it looks to actually end 2015 higher than 2014. No, the disappointment is that these companies are still in business and making money.
Check these headlines: “PH hous-ing bubble forming-expert”; “Signs of Cracks in the Philippine Prop-erty Bubble!”; “Is Philippines prop-erty market facing ‘supply bubble’?”; thank goodness the Philippine prop-erty companies are not managed by real-estate “experts”.
On that note, let me wish you a cheerful Merry Christmas. My wish for you is to remember these words from the Good Book. “People have nothing better to do than to eat, drink and enjoy themselves. this joy will stay with them while they work hard during their brief lives which God has given them under the sun.”
E-mail me at [email protected]. Visit my web site at www.mangunon-markets.com. Follow me on Twitter @mangunonmarkets. PSE stock-mar-ket information and technical analysis tools provided by the COL Financial Group Inc.
Edgardo J. Angara
At the end of the 21st Conference on Climate Change (COP21) in Paris, negotiators unanimously approved an agreement to cut global greenhouse-gas (GHG) emissions and keep global
warming within 1.50C of pre-industrial levels by 2050.
Saving our planet
the Paris Agreement marks a turning point in human history toward a future less dependent on fossil fuels. Many view it as an auda-cious attempt at preventing the final catastrophe, which scientists predict would become irreversible if global temperatures increased beyond a 20C threshold. that nearly 200 countries gave unanimous approval is noth-ing short of miraculous, considering that over the course of two decades, several attempts at arriving upon a similar accord have failed.
All throughout the course of what’s 20 years’ worth of negotia-
tions, a sticking point was whether developed countries (that is, the world’s top emitters) should be the only ones legally bound to reduce GHG emissions—in effect, allow-ing developing countries to continue ratcheting up their own emissions levels unregulated. Such impasse was further exacerbated by so-called climate change “deniers,” some of whom argued that humans had no hand in the world’s increasingly erratic weather patterns.
Several spectacular but unseen things occurred in the run-up to the Paris conference. For one,
scientific consensus firmed up on the direct link between humanity’s carbon-burning activities and more extreme weather. Hence, experts succeeded in painting the problem more clearly and more urgent than a distant and remote danger.
But a remarkable sea change happened not in “Science,” but in “Politics.” Prior to Paris, two of the world’s top greenhouse emitters (China and the US) made a vital but unexpected pledge to lower their emissions, with China announcing its cap-and-trade program and the US revealing its Clean Power Plan. And enlarging the consensus, other Group of Seven leaders committed to phasing out all fossil-fuel tech-nologies by the end of the century.
Ensuring the success of COP21 was the masterful skill and savvy of French diplomacy, which according to a recent New York Times article, helped “soften the sharp elbows of negotiators and reduce the chanc-es that major points of contention might kill a deal again.” the article credited French diplomats for meet-ing with their counterparts a full
year before the conference and en-suring that each country would be heard during the conference.
In his speech to open COP21, UN Secretary-General Ban Ki-moon warned that such a “political mo-ment” may never come again. the world appeared to have seized it and approved a comprehensive and legally binding agreement.
Economist Jeffrey Sachs rightly noted in a recent op-ed that the Paris agreement marks “the start, not the finish line, of implementing climate safety.” For the individual countries still have to ratify the agreement, and more important, implement their corresponding nationally determined contributions—that is, their corre-sponding national plans on reduc-ing GHG emissions.
December 12, the day the Paris accord was approved, may be re-membered as a day of rescue when global leaders—politicians, scien-tists, entrepreneurs, civic organiza-tions—acted in unison for the sake of our planet.
PrESIDENtIAL candidate Sen. Grace Poe is not backing out from running in the May 2016 polls despite the adverse decision of two divisions of the Commission on Elections
(Comelec) on her qualifications.
Let her run
ABOUT TOWNErnesto M. Hilario
the reason: the disqualification rulings of the first and second divi-sions of the Comelec are not yet final. Poe can still appeal the ruling before the Comelec en banc and eventually the Supreme Court (SC). In other words, her supporters should keep the faith. Poe expressed hope recently that her long search for her biologi-cal parents “will be blessed with a positive outcome.” “It is no secret that I have spent many years trying to find my bio-logical parents. All foundlings want to know who their real parents are. All foundlings go through a difficult process, growing up—as a child, as a teenager and even as an adult—they wonder, they ask. I am no different. I went through the same ordeal. I have been yearning to know,” she said. According to the senator, she had been in Iloilo several times and met with relatives and family friends to ascertain the truth about her origins. “there are many theories and many stories, some of them jibe, some are conflicting…but I have also maintained that there is a higher purpose to this, which is to fight for the equal rights of children. this is not just my fight to remain in contention for the presidency. the state should not discriminate based on circumstances of one’s birth,” she explained. Poe cited the doctrine of “parens patriae,” Latin for “parent of the nation,” which refers to the power of the state to intervene against an abusive or negligent parent, legal guardian or informal caretaker, and to act as the parent of any child or in-dividual who is in need of protection. If children are abandoned or abused, the state should take care of them and the children take the citizen-ship of the state that adopts them. “It is not humane to say you have no rights just because you are a foundling, that orphaned children are stateless, that they have no country, no citizenship,” she said. “Whatever happens though, I am grateful to all those who believe in me, believe that I am a Filipino, and believe that I am worthy to serve them in the government, through the highest office of our nation,” she added. According to George Garcia, Poe’s legal counsel, her followers, including her financial backers, are solidly behind her despite her disqualification over citizenship and residency issues. “At this point in time, Sen. Poe is still a candidate,” Garcia said. “Her supporters are not pulling out. But we have to admit that, sometimes, she is being asked about the issues, especially in the provinces. So she has less time to discuss her platform and we know that is what her detrac-tors really want to happen,” he added. the disqualification cases against her claim that Poe, a foundling, is not a natural-born Filipino and lacks 10-year residency, two of the basic requirements in the Constitution for presidential candidates. But Poe’s supporters are unper-turbed. For instance, Jesus rodri-guez Jr., a retired arbiter of the Na-tional Labor relations Commission in Western Visayas, has offered a P300,000 reward for any information that would lead to the positive iden-tification of the biological parents of Poe. the former judge clarified he has no political motive, as he pointed out that he is not even supporting Poe in her presidential bid. “I think the whole nation is cu-rious to know who Senator Poe’s real parents are. We want to find out the truth and I think the truth will have a bearing on the course
this nation takes.” Valenzuela City Mayor rex Gatchalian, Poe’s spokesman, as-serted that the senator is grateful to all of the individuals who have recently come forward to help her find her biological parents. “Like them, Sen. Poe will con-tinue to search for her biological parents. these spontaneous acts of support are welcome and inspire her to continue her fight to protect the rights of foundlings. She be-lieves that laws are meant to protect the most vulnerable in our society, like foundlings, and not strip them of their basic rights,” he said. Gatchalian emphasized that local and international laws support the arguments of Poe that found-lings, like her, are not stateless and should enjoy the rights and privileg-es granted to other Filipino citizens. that’s also the position of lawyer Katrina Legarda. She insists that Poe is a natural-born Filipino and those who say otherwise must prove it in the proper judicial forum. the presumption, she averred, is that Poe is a natural-born citizen, born to a mother who is a Filipino. Legarda said that based on the pre-vailing circumstances in 1968 in Jaro, Iloilo, where Poe was aban-doned and found in a church, she found it very unlikely that a pregnant foreign woman would go to Iloilo, to give birth. “If you want to disqualify Grace Poe, do not disqualify her on the basis of the fact that she is a found-ling, because that will go against the grain of the human rights of the child, it will go against the grain of the context that a Filipino is pre-sumed a Filipino if found in this country,” she said. For his part, former Comelec Chairman Sixto Brillantes Jr. says that Poe’s name should be included in the list of candidates in the 2016 presidential elections pending reso-lution of her disqualification case before the Comelec as she is likely to bring her case all the way to the SC. According to Brillantes, it is pos-sible that the SC could decide in favor of Poe. thus, Poe’s name can no lon-ger be included in the ballots already printed. Should Poe lose in the High tribunal, then the votes for her will simply not be counted or considered stray votes. Brillantes also urged the Comelec to immediately resolve all the dis-qualification cases filed against Poe before the official printing of the ballots or before January 15. the former Comelec chief ex-plained that each candidate facing disqualification would certainly file an appeal before the High Court should the Comelec favor the peti-tions filed against them. the key message in all this is: Let her run in the May 2016 elections to give the Filipino electorate a wide field from which to choose the next leader of this country.
Nine signposts for navigating market volatilityBy Mohamed A. El-Erian
Bloomberg View
tHE return of market volatility last week shouldn’t have come as a big surprise given the unusual
economic, political and geopolitical flu-idity around the world. the past year has been characterized by occasional spikes in volatility, either in the form of sharp asset-price gains or, as was the case last week, acute falls. And 2016 promises a lot more of the same, which should force investors to pay greater attention to the dynamics of potential tipping points.
the central question is not whether market volatility is on the rise; it is rather, the main uncertainty is whether these occasional spikes will prove both tem-porary and reversible, and, in particular, whether injections of liquidity from both public and private sources will continue to quickly stabilize market conditions, and for how long.
Here are nine aspects of the volatility question, which has both financial and economic implications:
1. Bouts of volatility are to be ex-pected, given rather sluggish global eco-nomic fundamentals, national politics that are heavily influenced by anties-tablishment movements and a number of geopolitical instabilities and threats. the most recent financial market
instability was accentuated by the Fed-eral reserve’s (the Fed) decision to hike rates on Wednesday, which confirmed the divergent monetary policies undertaken by the world’s most-influential central banks. Also playing a role were concerns about market accidents following the news that at least two corporate bond funds had limited investor redemptions.
2. these bouts of volatility are ampli-fied by fragile-market liquidity caused by the rather limited appetite (and regula-tory ability) of broker-dealers to provide their balance sheet in a countercyclical manner. this phenomenon gets worse as these intermediaries get ready to close their books for the year.
3. Excessive volatility, especially when associated with sharp downward movements in asset prices, is detrimen-tal to the real economy for three reasons: By increasing risk aversion among many investors and, thus, reducing the flow of capital to productive activities. By threat-ening the “volatility repression” approach that central banks have used to encourage greater consumption and investment. By risking the disorderly deleveraging and, in some cases, liquidation of over-extend-ed investors. And through the ensuing threat of financial “sudden stops.”
4. Concerns about excessive vola-tility are a lot greater when markets approach tipping points. three market
segments—energy, high yield bonds and emerging-market currencies— already are unhinged. Others could follow if bouts of volatility and illiquidity become more frequent, sharper and harder to reverse relatively quickly.
5. With economic and corporate fundamentals struggling to improve quickly enough, the task of stabilization has repeatedly fallen to liquidity injec-tions from two sources: central banks, including through the use of large-scale asset purchase programs; and compa-nies, which have deployed cash from their balance sheets to pursue share repurchases, pay higher dividends and carry out mergers and acquisitions.
6. Whenever adverse volatility is apparent, some market participants are quick to call for the central bank to step in to restore calm. that oc-curred on Friday when some suggested the Fed should reverse the 25-basis point interest rate hike it had imple-mented just two days earlier.
7. the Fed is in no hurry to re-verse course. In fact, it is much more likely to hike interest rates again then it is to cut them. Although other cen-tral banks—including the European Central Bank, Bank of Japan and People’s Bank of China—will press harder on the stimulus accelerator, the now-d ivergent stance of g loba l
monetary policy-makers will provide less support to asset price repression overall. As a result, more of the burden of stabilization will fall to the deploy-ment of corporate liquidity.
8. this configuration is a lot less sup-portive of financial markets, which will operate in a higher volatility regime—notwithstanding continued liquidity injections from companies and central banks, even if these are at a lower level globally.
9. With global growth continuing to slow, and as some systemically im-portant emerging economies struggle to fully stabilize, we should not expect economic and corporate fundamentals to play a sufficiently deterministic stabi-lizer role for asset markets—and that is without taking into account the effects of national and geopolitical developments.
Financial markets are now transi-tioning from a world in which real and perceived liquidity injections have ef-fectively repressed volatility to a new operating regime. As a result, the ques-tion for 2016 and beyond is not whether volatility bouts will be more frequent and, in some cases, more violent than in the last few years. they will be. the challenge will be in monitoring carefully the tipping points for various market segments, along with related price over-shoots and undue asset-class contagion.
“It is not humane to say you have no rights just because you are a foundling, that orphaned children are stateless, that they have no country, no citizenship,” Sen. Grace Poe said. “Whatever happens though, I am grateful to all those who believe in me, believe that I am a Filipino and believe that I am worthy to serve them in government, through the highest office of our nation.”
AGHAM party-list group on Monday appealed for reconsid-eration to include the pension
of the military and other uniformed services retirees in the proposed Sal-ary Standardization Law (SSL) of 2015. Section 11 of House Bill 6268, oth-erwise known as the SSL 2015, pro-vides that “… the indexation of pen-sion benefits of retired military and uniformed personnel with the base pay of those in the active service shall be suspended insofar as the base-pay increase authorized in this Act.” “We appeal to our policy-makers to reconsider the above provision in the SSL 2015 in such a way that it will not drastically affect the more than 120,000 military pen-sioners,” retired Director Leocadio Santiago said. Santiago said Republic Act 9166 and Section 17 Title V of Presiden-tial Decree 1638, which are the legal bases for the retirement benefits of military retirees, uphold the policy of the 1987 Constitution that “pro-fessionalism in the armed forces and adequate remuneration and benefits of its members shall be a prime con-cern of the State.” Santiago recommended temporary measures which can help both the retirees and the government such as allocation of income generated by licenses or clearances to the pension funds and adoption of the pension in-surance similar to that being provided by financial companies. Santiago was formerly the com-mander of of the National Police Spe-cial Action Force, Metro Manila police commander and head of the force’s Di-rectorate for Operations. He is a mem-ber of Philippine Military Academy Class of 1979 and currently a member of the board of directors of Police Reti-ree Association Incorporated.Rene Acosta
Nine days later, according to the di-alysis patients, the NKTI explained in a meeting that “it can no longer restore the 80-percent discount since marami raw silang pinapagawang buildings.” In addition to the junking of the dis-count, the same patients said “tinaasan din po nila ang hemodialysis fee [HDF], pati pay patients po umaangal na [they increased the HDF and even the pay patrients are now complaining].”
For the renal patients who have to undergo hemodialysis thrice or more weekly, slashing the 80-percent discount is life threatening. Without dialysis helping to clean their bodies of toxic sub-stances since the capacity of their kidneys to do the job has been impaired, the patients practically have one of their feet on the ground and the other on the grave.
By Rene Acosta
THE military showcased more than 200 land, air and water assets, including its two brand
new FA-50 “Golden Eagle” fighter jets during its 80th anniversary cel-ebration on Monday that was held at Clark Air Base in Pampanga. President Aquino was the prin-cipal guest and main speaker in the event. The Armed Forces displayed
mostly its newly acquired assets and equipment in order to highlight its ongoing modernization program, which has already received P56 bil-lion under the Aquino administra-tion and seen to reach P83 billion until 2017. Aquino told soldiers that they should expect to have frigates, stra-tegic sealift vessels and even close air-support aircraft as he is bent on equipping the military, which is the least equipped military force in
Southeast Asia. The Armed Forces has decided to hold its anniversary celebration in Pampanga so that its newly procured equipment, including refurbished armored personnel carriers that were acquired from Israel and even those donated by the United States can participate in the parade. It decided to showcase the assets and equipment in order to under-score its gratitude to Mr. Aquino, who prioritized the equipping of
the soldiers under his term, as said by the Armed Forces chief of staff, Gen. Hernando Iriberri. “Together with our newly plat-forms and defense equipment, our modernization program is defi-nitely rolling forward in a high gear, thanks to our President,” Iriberri said in his speech. He added that the procured equip-ment were a product of serious delib-erations and evaluation by defense and military officials, who have to
go from the list of most needed to the least needed equipment by the Air Force, the Navy and the Army. Among the air assets that were unveiled publicly for the first time through the parade were the two FA-50 fighter jets, the three brand new C-295 “Persuader” medium lift aircraft, C-130 “Hercules” cargo planes, S-211 trainer jets and UH-1D “Huey” helicopters, Bell helicopters, AugustaWestland AW 109 “power” and Sokol helicopters.
By Azer N. ParrochaPhilippines News Agency
AFILIPINO-AMERICAN fe-male tourist was welcomed by tourism officials at dawn
on Monday at the Ninoy Aquino In-ternational Airport (Naia) Terminal 2 for being the 5-millionth person to visit the Philippines this year. New York-based Gabby Grantham, 23, in an interview said that it was her second time in the Philippines and that the first time was when she was 7 years old in 2000. She added that she planned to visit her mother’s parents in Cebu. She was born to a Filipino mother and an American father. “I thought I was in trouble,” a surprised Grantham quipped, after being greeted by Tourism Assistant Secretary Alan Canizal and Under-secretary Benito Bengzon Jr. She also received a bouquet of flowers. She arrived at around 3:48 a.m. on Philippine Airlines Flight PR103. Grantham said she plans to stay in the Philippines for about two weeks to explore Palawan, which will be a first for her. She has previ-ously been in Cebu. In a separate interview, Canizal revealed that Grantham will receive a package tour with hotel accommo-dation as a prize for being the 5-mil-lionth visitor in the Philippines. When asked if there were simi-lar rites to welcome the country’s 5.2-millionth visitor—which was the department’s year-end target—he said that next to be welcomed will be the 6-millionth or 7-millionth foreign tourist. Bengzon, for his part, described the welcoming of the 5-millionth visitor as an event that is very “sig-nificant” owing to the amount of hard work put into achieving it. “This milestone is a result of the collaborative and sustained efforts of all partners in tourism industry,” Bengzon said. However, Bengzon added that more important than the head-count is the motivation to push even harder. “The fact that we have crossed the 5-million mark is that we are already in the big league,” he said. “This will allow us to compete more strongly against other destina-tions in the region. After the 5-mil-lionth mark the next [target] will be 10th-millionth,” he added.
By Johnny C. NuÑezPhilippines News Agency
LEGA ZPI C I T Y—Mu lt i a-warded disaster-response group Team Albay is now in
Bulusan and Irosin towns in Sor-sogon, which have been ravaged by Typhoon Nona (international code name Melor) a few days back. Albay Gov. Joey S. Salceda dis-patched the team to Sorsogon to “assist in the relief and early recov-ery of households” and post disas-ter medical interventions in the province. He has also called on the Albay folk to “exercise modesty” in celebrating Christmas to set aside resources they can provide as assist-ance to Nona’s calamity victims. The Albay Provincial Disaster Risk Reduction and Management Council (PDRRMC) approved Team Albay’s 10-day deployment to Bu-lusan and Irosin, its 15th mercy mission since Salceda organized it in 2008. Its last engagement was only in October in Typhoon Lando-devastated Aurora and some Central Luzon provinces. Led by physician Nats Rempillo, a veteran of many such mercy mis-sions, Team Albay left on Friday night with its Water and Sanita-tion unit and its truck-mounted water filtration machines, and its Medical Support Group. Once the roads become passable, the team will shift resources to the isolated nearby town of Magallanes. “In this respect, I encourage our people—our institutions, civic groups, schools, barangays and even families—to exercise modesty in our Christmas celebra-tions, to set aside, if not to radically cancel them and transform them into assistance to those affected by Typhoon Nona in our midst,” Salceda said. Salceda also urges his constitu-ents and other concerned groups
Tuesday, December 22, 2015 • Editor: Dionisio L. Pelayo
“to undertake charity missions in Sorsogon, particularly in the towns of Bulusan, Irosin, Magal-lanes, Bulan, Barcelona and Mat-nog…and to the bolder souls, to Burias, Claveria and San Pascual in Masbate.” The governor said Team Albay will continuously pursue its goals of “giving back, promoting equal-ity and unity, and sharing con-stant kindness. We shall forever be grateful to the nation for assist-ing us during the devastation of Typhoon Reming almost 10 years ago, and this is our way of paying back. Moreover, this is in solidarity with our partners in our Almasor
[Albay-Masbate-Sorsogon] tourism alliance,” he explained. Team Albay brought the prov-ince its third Galing Pook Award this year, an assurance of the Hall of Fame niche in the prestigious government award. The team has been the province’s vanguard group in disaster risk reduction, and other related emergency concerns. When Albay received its third Galing Pook Award this year, Team Albay had already been to 13 humanitarian missions and had served some 103,642 families, or 518,208 persons, and produced 4,863,612 liters of potable water in disaster areas.
The team’s other previous en-gagements and mercy missions were in Iloilo, 2008 (Typhoon Frank); Metro Mani la, 2009 (Typhoon Ondoy); Isabela, 2010 (Typhoon Peping); Cagayan de Oro, 2011 (Typhoon Sendong); Guihulngan City in Negros Occi-dental, 2012 (earthquake); Catan-duanes, 2012 (cholera epidemic); Samar, 2012 (earthquake); Com-postela Valley and Davao Orien-tal, 2013 (Typhoon Pablo); Metro Manila, Laguna and Cavite, 2013 (Habagat); Bohol and Cebu, 2013 (earthquake); and Aurora, Cen-tral Luzon and Quezon provinces, 2015 (Typhoon Lando).
Dialysis prolongs their borrowed lives, said Marivi Toledo, external coordinator of the Hemodialysis Patients Organization (HDPO) and who has been a dialysis patient her-self for the past three years, “and we implore government, not only the NKTI but also the Philippine Health Insurance Corp. [PhilHealth], Phil-ippine Charity Sweepstakes Office and all those who have the message of compassion deep in their hearts to come to our rescue.” She revealed that, while PhilHealth doubled the dialysis sessions for its members from 45 to 90 each year, the package rate has been cut from P4,500 to only P2,600 per session, with P2,250 being paid to the health- care institution, mainly the NKTI and P350 for the professional fee. While the new package is worth P234,000 annually, which is higher than the P202,500 current rate, it nev-ertheless means higher out-of-pocket expenses on the part of dialysis pa-tients who are members of PhilHealth. In sum, Toledo stressed, Phil-Health members now will have to pay for the higher HDF per session, which climbed from P350 to P550
in October and will rise to P700 by next month. Thus, the HDPO officer said, the HDF doubled while the new Phil-Health package only meant an in-crease of P31,500, which is exactly the amount that the pay patients will have to shell out for their dialysis sessions for the entire year. For the service or charity patients, cutting the 80-percent discount and raising the HDF by 100 percent by New Year are more than a double whammy, explained HDPO Presi-dent Flerida Sabawil. This is like telling the indigent patients that they are well on their tuwid na daan to death, quipped a medical worker who has been help-ing the HDPO members. Sabawil and Toledo are appealing to government officials to help them weather this crisis, particularly now that presidential candidates from Vice President Jejomar C. Binay, Sen. Grace Poe, Davao City Mayor Rodrigo R. Duterte and former In-terior Secretary Manuel A. Roxas II are articulating their platforms and proposing to improve the public health-care system.
Govt’s NKTI scraps 80-percent discount for dialysis patients
Team Albay now in Sorsogon; Salceda urges Albayanos to help Nona victims
By Marvyn N. Benaning | Correspondent
THE via dolorosa of dialysis patients continues in these merry days of Christmas,
with the management of the National Kidney and Transplant Institute (NKTI) in Quezon City telling patients in a meeting on December 11 that the 80-percent discount they once enjoyed is now history.
Group appeals pension of military, police retirees
Air Force fighter jets lead Armed Forces anniversary rites
By Cai U. Ordinario
LANDHOLDINGS of farmers nationwide declined by al-most 50 percent in 32 years,
the Philippine Statistics Authority (PSA) reported. Data released by the PSA showed that the average landhold-ing of farmers declined to 1.29 hectares per farm in 2012, from 2.84 hectares per farm in 1980. A farm is any piece of land used wholly or partly for agri-cultural production of crops, livestock, poultry and other ag-ricultural activities. “This could be accounted to the partitioning of farmhold-ings from one generation of agricultural holders-operators to their succeeding generation,” the PSA explained. Data showed there was a 62.6- percent growth in the number of farms nationwide between 1980 and 2012. The PSA said there were 5.56 million farms in 2012 covering 7.19 million hectares. Among the region’s, West-ern Visayas had the highest number of landholdings with 518,000 farms, with a total area of 460,450 hectares.
The Bicol region followed w it h 4 86,0 0 0 fa r ms, w it h 765,850 hectares and Cagayan Valley with 443,000 farms in 478,720 hectares. Metro Manila or the Nation-al Capital Region had the least number of farms at 39,000, with an area of 20,270 hectares. The PSA also said the top 4 regions with more than 500,000 hectares were Bicol, Region 12 or Soccskargen, Region 11 or Davao, and Region 10 or North-ern Mindanao. In terms of average area, the regions that reported more than 1.5 hectares per farm were Cara-ga, Zamboanga Peninsula, Davao region Mimaropa, Soccskargen and Bicol. The 2012 Census of Agriculture and Fisheries (CAF) is a large-scale government undertaking geared toward the collection and compi-lation of basic information on the agricultural and fishery sectors in the Philippines. Over the years, the CAF has been a source of comprehensive statistics on agriculture and fish-eries for the use of the general public, government, business industry, and research and aca-demic institutions.
Average farmer landholdingdown to 1.29 hectares–PSA
Fil-Am tourist is 5-millionth visitor this year
A PRIEST blesses emergency-response group Team Albay members before they were dispatched to hard-hit towns of Bulusan and Irosin in Sorsogon on Friday. In photo are Albay Gov. Joey Salceda (center), with Office of Civil Defense Regional Director Raffy Alejandro (second from left) and Albay Provincial Safety and Emergency Management Office Head Cedric Daep (fourth from left). PNA
THE Players’ Tribune (TPT) is a new media platform where professional athletes get to be themselves—a medium for athletes’ thoughts, experiences and reflections. It is sports conversation and stories from primary sources, the athletes themselves. Video, podcasts, player polls and written pieces are what make up the majority of the content in The Players’ Tribune. Being “The Voice of the Game” is the goal of this latest media platform. Former New York Yankees captain Derek Jeter launched The Players’ Tribune on October 1, 2014. Seattle Seahawks quarterback Russell Wilson, Los Angeles Clippers power forward Blake Griffin, female Nascar racer Danica Patrick and Cleveland Cavaliers forward Kevin Love were its first contributors. According to the TPT web site, Jeter
stated: “We began an experiment in providing a trusted platform for athletes to tell their stories their way. Four months later, that experiment has become the foundation of what I’d hoped for, and more.” Furthermore, “We’ve started a community of athletes that is pretty special. And now it’s time to take it up a notch. More content, more distribution channels, more fresh ways of telling our stories our way. Podcasts, digital video, Sirius satellite radio, plus much more of the kinds of stories we’ve already been telling.” On February 13 TPT was entering a next phase wherein athletes tell the stories their way. A community of athletes who are writers who’ve told and who are continuing to tell, through their writing, the point of view from the everyday life of a professional athlete. On July 29 TPT launched TPT Assist, a
platform where athletes can market and promote their favorite charities. The web site gives athletes an opportunity to develop and create high-quality content from first-person features, videos, podcasts, photo galleries and polls. The contributing writers cover topics from sports commentary, lifestyle and popular culture. According to Jeter, “It’s a trusted place, a place where they can speak freely and not have to worry about how their words are twisted and turned,” TPT is a place where athletes don’t have to be worried about being judged, misinterpreted and misquoted. TPT’s leadership will make sure that it won’t be a promotional web site and that it won’t be used to promote the athletes’ sponsors and endorsements. The athletes will focus on issues and topics, and will produce their own content. TPT has editors who will browse through and edit the drafts of the athlete- writers, but the athletes will have the final say on what comes out on the web site. Controversies and issues may arise as a result of a gulf that divides fans and athletes, since athletes aren’t as open with reporters when they give interviews. These reporters select headlines after these interviews that will help sell papers and increase the number of web site viewers. Does TPT take anything away from sportswriters? According to Jeter, “We’re not trying to take away from sportswriters.
Sportswriters are what makes sports successful.“I think we’re sort of working in conjunction with them.” He added, “I’ve never said that we’re trying to eliminate the media.... We’re not covering day-to-day sports scores. We don’t have sports highlights. This is completely different. We’re starting the conversation. I think we can coexist.” TPT will never take over the job of sportswriters. TPT doesn’t have the highlights, scores and stats. TPT shows the human side of these professional athletes. TPT shows that athletes are also human, that they aren’t a creation of perfection. Professional athletes have made mistakes just like you and me. They are mortal like you and me. TPT gives a human side to the athletes who we sometimes think are gifted with superhuman strength and athletic ability. LA Lakers superstar Kobe Bryant used TPT to announce that this season, his 20th with the Lakers franchise, will be his last. Bryant’s announcement was through a touching poetic tribute “Dear Basketball” to the sport that has made him a future first ballot hall-of-famer. Former NFL quarterback Doug Flutie used TPT to describe his innermost feelings on what it feels like to lose both your parents to a heart attack an hour apart. Athletes aren’t perfect despite their Hall of Fame accomplishments and achievements, TPT proves it and these athletes aren’t afraid to admit it.
J OHNNY ARCILLA fended off Vicente Anasta’s spirited challenge and hacked out a tough 6-4, 7-5 victory to capture the Palawan Pawnshop-
Palawan Express Pera Padala (PPS-PEPP ) Dagitab Festival Open tennis crown and complete his sweep of the three PPS-PEPP Open titles at the Naga City Tennis Club in Cebu on Monday. Arcilla, who also survived a fierce-fighting doubles partner Ronard Joven, 6-4, 6-3, in the semis, used a variety of shots to defuse Anasta, breaking him once in the opening frame then pulling through in a thrilling second-set duel to clinch the victory that capped his domination of the circuit’s three Open tournaments this year. “I thank PPS-PEPP for putting up this circuit through the years, not only for us, but also for the
youth, especially from the countryside, who could be our next members of the national pool and team,” said Arcilla, who pocketed another P40,000 for his weeklong feat. “This win also makes my Christmas doubly memorable as I was able to win all three Open titles this year.” Arcilla, the many-time PCA Open champion, has earlier won the Tuna Festival Open and the Pintaflores Open Championship in General Santos City and San Carlos, respectively. He actually scored a double as he teamed up with Joven to defeat Anasta and PJ Tierro, 7-6(1), 6-1, for the men’s doubles plum of the tournament, sponsored by Palawan Pawnshop and hosted by Mayor Valdemar Chiong as part of the city’s Dagitab Festival celebrations. They won P20,000.
“Arcilla has time and again proved that through hard work, discipline and determination, he can still dominate and his string of victories should inspire our young players,” Palawan Pawnshop President and CEO Bobby Castro said. Inspired by the resounding success of the yearlong circuit, Castro said that a 45-leg, nationwide tour is being lined up next season with the Open tournaments expanded to eight events. Anasta earlier scored a 0-6, 5-2 (ret.) win over the top-seeded Tierro to arrange a title clash with Arcilla. Anasta settled for P20,000, while Tierro and Joven received P10,000 each, according to Bobby Mangunay, PPS-PEPP organizer and sports program development director.
By Lance Agcaoili
BOOSTED by the success of several beach volleyball invitational tournaments that they organized this year, the Beach Volleyball Republic (BVR) looks to expanding
its wings in 2016. “It’s just the first step,” said Bea Tan, after she ruled Sunday’s Christmas Open with Rupia Inck at the Sands by the Bay. “We know that we are at the beginning of this and we have so much things to improve on. We’re new at this, we’re rookies but we know we can be better” Tan cofounded the BVR along with co-Ateneans Gretchen Ho, Charo Soriano, Fille Cainglet-Cayetano, Dzi Gervacio and former Petron Blaze Spiker Alexa Micek. BVR made beach volleyball’s presence felt through its inaugural tournament, King and Queen of Sand in June and July. The
group also went to Subic and Ilocos Norte to promote the sport. “In 2016, we’ll have more tournaments for sure, that’s what we really want. We love the sport, we want to spread the love,” Tan said. “As I’ve been saying, it’s really just spreading the love no matter what love it is for. It just so happens that, for us, we love beach volleyball and we want to build a bigger community, bigger pool of players, make the competition better, and see if we contend internationally in Asia or even the world,” she added. BVR is an organization made by these athletes for the athletes, which aims to expand the beach volleyball in the country through its grassroots program and highly anticipated tournaments. Ho, who also graced the two-day tournament, said they target several cities around the Philippines in 2016 in order to expand their reach.
“We are planning to go to different beaches per month. We prepared eight legs, among those places we have Cebu, Cagayan, El Nido [Palawan], Bacolod and a lot more places,” Ho said. “The LGUs [local government units] are very willing to work with us and we’re planning to do it every month for continuity. We’re also accepting regional players from the places that we will visit,” she added. The circuit will kick off at Sands by the Bay in January and will also culminate in the same venue. “The players are going to garner points by participating in those different legs and that will determine their seeding,” Ho said. Inck and Tan survived a sluggish first set to beat Charo Soriano and Alexa Micek, 17-21, 24-22, 15-12, in a thrilling championship on Sunday. Inck, the Brazilian import of Petron Blaze
Spikers in Philippine Superliga, provided the clutch blows in the neck-and-neck second set to force a decider. Inck and Tan reached the finals after a rousing 21-11, 21-17 victory over Bracket A’s top seed Shiela Pineda and Janine Marciano, while Micek and Soriano earned the first finals slot after a 23-21, 21-15 victory over April Hingpit and Maica Morada. Pineda and Marciano finished following a 21-15, 21-8, over Morada and Hingpit.
SEN. Francis Escudero dared national sports association (NSA) leaders to be truthful in baring the
capabilities of their athletes, particularly when they seek financial assistance from the government. Escudero said NSA leaders tend to “overpromise” in assessing their performance, as each of the 42 regular members of the Philippine Olympic Committee (POC) compete for limited budget from the Philippine Sports Commission (PSC), the government’s financial arm for sports development. The POC also has five associate members and has given special recognition to five more sports groups.
The PSC is in charge of the country’s participation in international competitions like the
Southeast Asian (SEA) Games, Asian Games, and Asian and World Championships. The POC, an independent body and a non-governmental organization that reports to the International Olympic Committee (IOC), is in charge of athletes’ participation in the Olympics, although it also draws funds from the PSC. The majority of the NSAs, however, have not performed well in the past years, resulting in the Philippines’s dipping performance in the SEA Games, considered to be at the base of the totem pole of international events the country takes part in. After the Philippines won the SEA Games overall championship in 2005, less than a year since Jose Cojuangco Jr. took over as POC president from Celso Dayrit, the country’s performance in the international arena has spiraled downward. The Philippines, an erstwhile powerhouse in the region, has not gone beyond fifth place in the SEA Games since 2006. It placed sixth in Thailand (2007), fifth in Lao PDR (2009), sixth in Indonesia (2011), seventh in Myanmar (2013) and again sixth in Singapore this year. The last time the Philippines competed in the Asian Games, only Filipino-American BMX rider Daniel Caluag brought home a gold medal from Incheon, South Korea. “This goes to show how far we have moved in terms of developing our athletes to equal or near world-class standards,” Escudero said. “NSA leaders should be truthful with their assessment of their chances when they present their programs to the PSC. “Only a few NSAs have delivered, if we are to gauge their performance in the past years, most especially in the SEA Games.”
EXPANSION IN SIGHT
» BEA TAN (left) and Rupia Inck kiss the championship trophy.
ALYSA SALEN
JOHNNY ARCILLA (center) holds his trophy as he displays a replica of his check worth P40,000 from Mayor Valdermar Chiong and Palawan Pawnshop Area Manager Almee Joie Salvador.
‘Be truthfulon athletes’capabilities’
T WO champions will be the special guests in the final Philippine Sportswriters Association (PSA) Forum
for the year 2015. Golf star Miguel Tabuena will appear in the 10:30 a.m. session at Shakey’s Malate, two days after winning his first Asian Tour title by ruling the 98th edition of the Philippine Open. Tabuena will be joined in the public sports program, presented by San Miguel Corp., Accel, Shakey’s, and the Philippine Amusement and
Gaming Corp., by another winner, Chiang Kai Shek, which ruled the Philippine Secondary Schools Basketball Championships on Sunday by beating De La Salle-Zobel. Completing the guests list in the weekly session is boxing promoter Ryan Gabriel, who will talk about the sad experience by Filipino boxers in a South African International Boxing Organization promotion. PSA President Riera Mallari of the Manila Standard enjoins members to attend the last forum for this year.
Tabuenagraces
scribes’forum
GROOVING AGAIN
CLEVELAND—As Kyrie Irving dressed following his first game in six months, LeBron James popped on some music. With Chris Brown’s “Picture Me
Rollin’” filling the locker room, Irving, James and Iman Shumpert bobbed their heads in unison and did some small dance moves. Close to full strength, the Cavaliers are grooving again. Irving scored 12 points and played 17 minutes in his season debut and James had 23, leading Cleveland to a 108-86 victory on Sunday over the Philadelphia 76ers, who lost their 10th straight and fell to 1-28. Back on the floor for the first time since breaking his left kneecap in Game One of the NBA Finals, Irving showed some rust but that didn’t matter. “Kind of been a long, long road, but finally getting out there with my teammates was a pleasure,” Irving said. The Cavs managed to open the season 17-7 without Irving. But Cleveland is more complete with the All-Star point guard running its offense and being a headache for opposing defenses. Now that Irving’s back, the Cavs are as healthy as they’ve been since early in the playoffs last season. “We’re almost there,” James said. Matthew Dellavedova made four three-pointers and added 20 points for the Cavs, who improved to 12-1 at home and are eyeing a Christmas Day game against Golden State.
James didn’t play in the
fourth
quarter, logging a season-low 25 minutes. Nerlens Noel had 15 points and 12 rebounds for the brutal Sixers, now 0-17 on the road and on their second double-digit losing streak. In Miami Chris Bosh scored 29 points and Hassan Whiteside shook off a slow first half to finish with 22 points and 11 rebounds in the Heat’s 116-109 win over Portland. Dwyane Wade had 18 points and added seven assists for the Heat. They trailed by 12 at one point and were down 10 at the half. The Heat shot 57 percent and played the final 13:37 without Goran Dragic. He was ejected for the first time in his career after arguing two foul calls. Atlanta rallied to beat Orlando, 103-100, with Kyle Korver scoring 13 of his 19 points in the fourth quarter. Korver had four thee-pointers in the final period and six overall. Mike Scott added 15 points, and Al Horford and Jeff Teague scored 14 apiece in Atlanta’s third straight victory. The Magic had the ball and a chance to tie with 7.3 seconds remaining, but the Hawks smothered an inbounds pass to Evan Fournier. The Sacramento Kings ended a four-game road losing streak with a 104-94 win at Toronto, the Pelicans beat the Nuggets, 130-125, and the Bucks beat the Suns, 101-95, with Greg Monroe hitting a spinning, go-ahead lay-up with 20.6 seconds left to lift Milwaukee past Phoenix. Bucks Coach Jason Kidd said after the game that he will be taking an indefinite leave to have hip surgery. Assistant Joe Prunty will direct the team in his absence. Karl-Anthony Towns had 24 points and 10 rebounds in the building where he was taken with the No. 1 pick in the June draft, and Minnesota beat Brooklyn, 100-85. Gorgui Dieng added 20 points and 10 boards to lead a strong bench unit that blew the game open in the fourth quarter. Andrew Wiggins scored 16 points, and Ricky Rubio had 15 assists. Brook Lopez had 20 points, 12 rebounds and five assists for the Nets. Rajon Rondo had 19 points and 13 assists, Rudy Gay scored 19 points against his former
team and Sacramento beat Toronto to end a four-game road losing
streak. Omri Casspi added 15 points and 11 rebounds for the Kings. DeMar DeRozan had 28 points for the Raptors. Toronto
point guard Kyle Lowry was ejected for consecutive technical
fouls after arguing with referee Scott Wall with 7:22 left in the third
quarter. AP
Kyrie Irving scores 12 points and played
17 minutes in his season debut and
LeBron James has 23, leading Cleveland
to a 108-86 victory on Sunday over the Philadelphia 76ers, who lose their 10th
straight to fallto 1-28.
FIFA KICKS OUT BLATTER, PLATINIZURICH—Sepp Blatter and Michel Platini
were each banned for eight years by the International Football Federation
(Fifa) ethics committee on Monday in a stunning takedown of world soccer’s most powerful leaders. Fifa President Blatter and his one-time protege Platini were kicked out of the sport for conflict of interest and disloyalty to Fifa in a $2-million payment deal that is also the subject of a criminal investigation in Switzerland. Blatter’s Fifa career is ending in disgrace after more than 17 years as president and 40 years in total with the scandal-hit governing body. Platini’s bid to succeed his former mentor in the February 26 presidential elections is now likely over, though both are expected to appeal at the Fifa appeals committee and the Court of Arbitration for Sport. Blatter has suggested he could pursue a lengthier appeal to Switzerland’s highest court, the federal tribunal, which can intervene if legal process was abused. Ethics judges decided that Blatter and Platini broke Fifa Code of Ethics rules on conflicts of interest, breach of loyalty and offering or receiving gifts. Both denied wrongdoing in 2011 when Platini took $2 million of Fifa money approved by Blatter as uncontracted salary for work as a presidential adviser from 1999 to 2002. Blatter was fined 50,000 Swiss francs ($50,250) and Platini, a Fifa vice president and head of European soccer’s governing body Union of European Football Associations (UEFA), was fined 80,000 Swiss francs ($80,400).
“Neither in his written statement nor in his personal hearing was Mr. Blatter able to demonstrate another legal basis for this payment,” the judges said. “By failing to place Fifa’s interests first and abstain from doing anything which could be contrary to Fifa’s interests, Mr. Blatter violated his fiduciary duty to Fifa. “His [Blatter’s] assertion of an oral agreement was determined as not convincing and was rejected by the chamber.” Platini, the judges said, “failed to act with complete credibility and integrity, showing unawareness of the importance of his duties and concomitant obligations and responsibilities.” Blatter was scheduled to hold a news conference at 11 a.m. local time (1000 GMT) at Fifa’s former headquarters in Zurich. He arrived soon after 10 a.m. in a chauffeur-driven car accompanied by his daughter, Corinne, and media spokesman Thomas Renggli. He did comment to reporters as he was bustled through a throng of cameras. Blatter and Platini both have strong motivation to fight the bans in fast-track appeal cases. Blatter, who turns 80 in March, wants a Fifa swansong by hosting the election congress in Zurich and being made honorary president by the 209 member-federations. The 60-year-old Platini wants to clear his name, pass a Fifa integrity check and be declared an official candidate in the election he had been favored to win. Platini’s campaign has stalled since
being quizzed on September 25 in a Swiss federal investigation of suspected criminal mismanagement at Fifa. Switzerland’s attorney general has opened criminal proceedings against Blatter for the suspected “disloyal payment” of Fifa money to Platini and selling undervalued World Cup TV rights for the Caribbean. Platini’s status in the criminal case is “between a witness and an accused person,” Attorney General Michael Lauber said in October. In recent media interviews, both men have said Platini asked Blatter for a salary of 1 million Swiss francs. He got a contract for 300,000 Swiss francs annually, in line with Fifa’s then-wage structure, plus a “gentleman’s agreement” to get the rest later. Swiss law obliged Fifa only to pay the deferred money within five years. Platini was paid in February 2011, just before Blatter began campaigning for re-election against Mohamed bin Hammam of Qatar. Platini’s UEFA urged its members weeks before the June 2011 poll to back Blatter, who was elected unopposed when Bin Hammam was implicated in bribery. Few Fifa officials knew of the Platini payment which emerged during a wider Swiss probe of the governing body’s business affairs, including suspected money laundering in the 2018 and 2022 World Cup bidding contests. The agreement was “a classic conflict of interest” between two executive committee members, Fifa audit panel chairman Domenico Scala said in October. AP
Britain’sbest
L ONDON—Andy Murray has been voted BBC Sports Personality of the Year for the second time after helping Britain win the Davis Cup for the first time since 1936.
The 28-year-old Murray says “I didn’t expect this. It’s very humbling to be up here in front of so many great athletes,” after beating Kevin Sinfield, who captained rugby league side Leeds Rhinos to the treble in 2015, to the prestigious British award on Sunday. Jessica Ennis-Hill was third in the public vote. The 2013 winner was instrumental in helping Britain to a first Davis Cup victory in 79 years following a 3-1 win over Belgium in November. “This has been a five-year journey. We were down in the bottom level of tennis and now we’re No. 1 in the world and I never thought that would be possible,” Murray added. AP
» ANDY MURRAY is named BBC Sports Personality of the Year. AP
CLEVELAND’S Kyrie Irving (right) drives to the basket against Philadelphia’s Jahlil Okafor (left) and Jerami Grant. AP
Sports A8 | TuesdAy, december 22, [email protected]@businessmirror.com.phEditor: Jun Lomibao
