The Daily Dispatch

August 27, 2020 Feb. 2, 2017 Philippine Stock Market Update TODAY’S TOP NEWS

New rice program avoids pitfalls of Masagana 99 SL Agritech Corporation (SLAC), the biggest hybrid rice producer in the , recognized farmers who participated in its own version of Marcos’ program, which the company now calls ‘Masaganang Ani 300’. Under the program, SLAC awarded cash prize from PHP100k- PHP300,000 to rice farmers who were able to produce more than 300 rice sacks/ha. Previous Close: 1 Yr Return: ABS-CBN to stop regional news program 5,931.33 -21.95% ABS-CBN will stop online broadcasts of the regional Open: YTD Return: versions of its TV news and public service program TV 5,930.04 -24.01% Patrol as well as one radio program by August 28, 2020. 52-Week Range: Source: Filipinos living outside Metro across the country 4,039.15 - 8,216.92 Bloomberg will thus lose a trusted source of local TV news and public service as ABS-CBN pulls the plug on the 12 local TV Foreign Exchange Patrol programs. As of Aug. 26, 2020 Tax exemptions for airport proposed US Dollar Philippine Peso “During the ten-year construction period, the grantee [San Miguel] shall be exempt from all direct and indirect taxes. 1 48.603 During the 50-year concession period, the grantee shall be exempt from income tax and real property tax,” Sy- PDST-R2 Rates Alvarado and Bautista proposed. As of Aug. 26, 2020

Tenor Rate Smart taps more tower firms to accelerate buildup 1Y 1.790 The 4 tower companies will join the existing 6 tower 3Y 2.224 companies that Smart has partnered with to build around 200 macro cell sites throughout the Philippines. This, the 5Y 2.490 company said, will hasten its mobile network roll out. 7Y 2.659 10Y 2.785 Asean asked to support MSMEs 20Y 3.484 PRESIDENTIAL Adviser for Entrepreneurship Joey Concepcion has called for stronger regional support for Daily Quote small-scale businesses in a recent meeting with Association "If you have always done it that way, it is probably of Southeast Asian Nations (Asean) economic ministers. wrong." --Charles Kettering The Daily Dispatch

MORE LOCAL NEWS

7-month deficit exceeds 2019 record EO revival pushed to help coconut sector The National Government’s budget deficit ballooned to a Coconut stakeholders are pushing for the reimplementation record P700 billion as of end-July, as pandemic expenses of Executive Order No. 259, which required the use of local continued to rise while revenues fell amid the economic crude coconut oil (CNO)-derived surfactants in all slowdown. In the 7 months to July, data showed overall detergent formulations as a way to keep the local coconut revenues went down by an annual 6.8% to P1.688 tn as tax industry afloat. collections declined by 11.7% to P1.429 trillion.

8990 eyes up to P9-B bond offer Travel firms plead for stimulus cash, flight refund Mass housing developer 8990 Holdings, Inc. is planning an The umbrella group of the country’s travel agencies want its issuance of up to P9-billion fixed rate notes to refinance members to have more access to cash from banks and the existing bonds maturing by the end of the year. The plan is government as part of the economic stimulus package to sell the notes only to qualified institutional buyers, which pending in Congress if the tourism industry is to recover. means it would not require registration with the Securities and Exchange Commission. Govt debt to breach P10 trillion by yearend AUB tweaks loan schemes amid pandemic The country’s outstanding debt may reach more than P10 trillion by December and further swell to nearly P12 trillion Asia United Bank Corp. (AUB) has modified loan schemes next year as the government ramps up its borrowings amid for borrowers heavily hit by the coronavirus crisis following the coronavirus pandemic, according to the Department of its assessment of individual accounts. They will review Budget and Management. accounts individually to address the concerns of and help customers that experienced “economic damage without the fault of their own” due to the coronavirus disease 2019. SMC investing P121.8B in 2 vital infra projects Conglomerate San Miguel Corp. (SMC) is set to invest NOW Telecom set to go public P121.8 billion in two game-changing infrastructure projects, which are expected to help the economy get back on track NOW Telecom is planning to go public in the Philippines and transform Luzon into a growth powerhouse within five or overseas and has tapped Unicapital Inc. as its financial years. The two projects are the adviser for this undertaking. Tollroad 5 (SLEX-TR5) and the River Expressway.

Budget carrier losses swelled to P2.3B in Q2 Banks told to mobilize liquidity AirAsia Philippines saw losses swell to P2.3 billion in the Philippine banks need to mobilize liquidity other than second quarter of the year as COVID-19 travel restrictions parking these funds in safe havens to help address possible slashed passenger volume by 99 percent during the busy systemic risks arising from the COVID-19 pandemic, summer period, its latest financial report showed. according to the Bangko Sentral ng Pilipinas. The Daily Dispatch

TODAY’S TOP GLOBAL NEWS Diokno sees room for further cuts in key rates, RRR The Bangko Sentral ng Pilipinas (BSP) said there is room Desktop Metal to go public via blank check company for further adjustment in interest rates and reserve Desktop Metal has agreed to go public through a reverse requirement ratio (RRR) as its tool kit is far from being merger with blank-check company Trine Acquisition Corp exhausted despite the aggressive actions taken to cushion (TRNE.N), in a deal that values the metal 3D printing the impact of the coronavirus disease 2019 or COVID-19 technology provider at $2.5 bn. Desktop Metal has raised pandemic. $438 mn from investors including BMW iVentures, Koch Disruptive Technologies and Ford Motor Co TODAY’S TOP ASIAN NEWS The Hut Group poised to launch $5.9 bn listing Fosun Pharma to bring vaccine to China by year-end British e-commerce firm The Hut Group could launch an Shanghai Fosun Pharmaceutical (Group) is aiming to bring initial public offering (IPO) as early as this week in a deal German partner BioNTech’s coronavirus vaccine to China that could value the company at up to 4.5 billion pounds by the end of the year, pitting it against products made by ($5.9 billion) In what would be a major boost for a Chinese and international rivals. slumbering European IPO market, the company could file its registration document with the London Stock Exchange.

Singapore factory output shrinks 8.4% Razer eyes overseas markets to grow fintech biz Factory output has racked up its third straight month of Gaming company Razer hopes to introduce a digital contraction on the back of further declines in the volatile banking business overseas even as it awaits the outcome of biomedical sector. Overall production fell 8.4 per cent in its application for a digital full-bank licence. The firm is July from the same month last year - a steeper drop than the assessing prospects across SEA and other emerging markets revised 6.5 per cent fall in June. such as India and Latin America as it seeks to expand its fintech business Sg body clears merger of South Korean shipbuilders SEC approves NYSE proposal to allow IPO alternative The proposed merger between Korea Shipbuilding & The U.S. Securities and Exchange Commission said it Offshore Engineering (KSOE) and Daewoo Shipbuilding approved a proposal by the New York Stock Exchange to & Marine Engineering (DSME) has been cleared by the allow companies to raise capital through direct listings. The competition watchdog. The Competition and Consumer move is a major breakthrough for the exchange operator Commission of Singapore said on Tuesday that the that has been pushing for an alternative to traditional IPOs transaction would not lead to a substantial lessening of for companies to raise money. competition. Alibaba puts India investment plan on hold Italy clears KKR purchase of stake in Telecom Italia China's Alibaba Group has put on hold plans to invest in The Italian government has given approval to U.S. Indian companies, two sources aware of the plans told investment firm KKR (KKR.N) to buy a minority stake in Reuters, amid souring business relations and rising political Telecom Italia’s (TIM) (TLIT.MI) secondary grid - the last- tension between the two nations after a clash on their mile, copper and fibre network linking to customers’ homes Himalayan border. - daily La Repubblica reported on Wednesday.