Lifelong: a Legacy of Wellness
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November 2006 The motto of ABS-CBN is and always will be ‘in the service of the Filipino.’ —GenyLopez Abangan sa Nobyembre 7... Lifelong: A legacy of wellness THE faint-hearted and the sedentary, as well as those who called Lopez Lifelong Wellness (LLW)- or “Lifelong"-actu- take their health for granted, will surely find themselves ally in place, and a Wellness Team to implement the same in singing a different tune when they have spent a certain all of the companies in the Group. amount of time as part of the Lopez Group family. For, as any Believing that wellness is a “critical component of a com- “old-timer” will attest, wellness is big in the Group, with pany’s pursuit of and journey to excellence,” chairman Oscar mountain treks and brisk walks, sports showdowns and fun M. Lopez (OML) laid down a wellness policy in the First races, aerobics and health checkups organized regularly. Holdings Group in 1997; this was spurred, in part, by the un- Lest anyone think this emphasis on health and wellness is timely demise of Lopez Group executives Tato Diaz and a phase, or merely a collection of activities instituted on a Luis Mirasol. piecemeal basis, consider that there is a formal program Turn to page 6 2 LOPEZLINK November 2006 First Holdings declares P1 dividend AT the regular meeting of the board of di- that the dividend will be payable on or be- The FXCNs are rated PRS Aaa, the the position of the North Luzon Express- plemental Toll Operation Agreement rectors of First Philippine Holdings Corp. fore Nov. 15,2006. highest possible rating on the PhilRatings way (NLEX) built by the MNTC as a ma- (Stoa). on October 5,2006, the board of directors Meanwhile, Manila North Tollways scale and is given to securities with the jor thoroughfare and the infrastructure PhilRatings also considered MNTC’s declared a P1 per share cash dividend to Corp. (MNTC) is set to issue P3 billion in “smallest degree of investment risk. Inter- backbone for the Central Luzon and North strong operating and financial perfor- all stockholders of record as of November seven-year Fixed Rate Corporate Notes est payments are protected by a large or an Luzon regions; and the supportive conces- mance as well as its cash-generating abil- 6,2006. (FXCNs), with an option to increase to exceptionally stable margin and principal sion agreements with an affirmed obliga- ities demonstrated in its first year of op- In a disclosure to the Securities and P5B. The amount will be used to refinance is secured.” tion from the Philippine government to erations in 2005 and which are expected to Exchange Commission (SEC), chief in- a portion of its existing dollar obliga- In giving the highest rating to the implement adjustments in the Authorized be sustained or enhanced in the coming formation officer Ernesto Rufino Jr. said tions. MNTC FXCNs, PhilRatings considered Toll Rate (ATR) as embodied in the Sup- years. ABS-CBN Global seen to Lopez Group political and economic briefing list in S’pore bourse in ’08 The good, the bad and the ABS-CBN Broadcasting Corp. plans to pines or in Hong Kong. The ABS-CBN list its wholly owned international busi- chief also debunked reports that about fearless predictions for 2007 ness subsidiary ABS-CBN Global in the 20% to 30% of ABS-CBN Global will be Singapore stock exchange in 2008. listed when it goes public, adding that the ABS-CBN president and CEO Euge- figures are still under review. office until 2010, but is not certain of what velopment that embraces social, econom- nio Lopez III and chief financial officer Proceeds from the listing will be used By Carla Paras-Sison may happen after 2010. “She may or may ic, environmental, political, cultural and Miguel Navarrete explained that Singa- for the subsidiary’s expansion, even as the Businessman and newspaper columnist not remain in office after 2010,” he said. spiritual factors. It is not narrow, shallow pore is a more attractive market to be in network plans to spend an initial P500 John Mangun is optimistic about next Calling the legitimacy of government and hollow,” Habito said. Asia compared to Hong Kong. million for a partial migration of analog to year and believes there is not enough time an issue of principle, Mangun says it need According to him, tapering inflation “Aside from it being a more mature digital TV technology by mid-2007. to pursue constitutional amendments be- not be an issue for business. “Why is le- and surging remittances from overseas market, right now there are no broadcast ABS-CBN Global, which takes care of fore the May 2007 elections. gitimacy not a concern for business? First, will continue to power the economy next stocks in Singapore,” Navarrete said. the international business for the group (pri- At the annual political and economic there is no opposition standard bearer. year, while rising interest rates will tem- Lopez said the possible listing in Sin- marily selling ABS-CBN programs to other briefing for Lopez Group senior execu- They’re dead [referring to Fernando Poe, per consumption spending. gapore does not prevent ABS-CBN Glob- countries) accounts for about 20% to 25% tives and staff, Mangun predicted that the Jr. and Raul Roco who challenged Arroyo Invest in educational system al from doing a dual listing in the Philip- of the company’s consolidated revenues. current stability enjoyed by the govern- for the presidency in 2004]. Second, the He believes global trends, such as the ment will improve further next year. vice president is not acceptable to the peo- aging world population and outsourcing, He believes a military-led coup d’etat ple as a replacement for her.” provide rich opportunities for the Philip- Official statement of ABS-CBN against the Arroyo government is highly Mangun added that the military will pines to serve developed markets at home unlikely because the present Philippine not take an aggressive, proactive stance and abroad. “History has shown that we on the filing of criminal military leadership has shown a strong re- politically because the President has a are a resilient people strategically spread luctance to take up arms against fellow firm hold on the people critical to her ad- all over the globe. We are capable of ex- Filipinos. ministration. ploiting the opportunities we find.” charges on the Ultra incident “The Philippine military, despite some Holistic and sustainable growth For this reason, Habito said it is impor- restiveness, is not interested in taking over Meanwhile, former NEDA (National tant to increase investments in the educa- ABS-CBN disagrees with the decision and whether or not there is any criminal government. They are more connected Economic Development Administration) tional system to ensure that the Filipino of the Department of Justice to file liability on the part of the ABS-CBN with the people. They are unlike the Thai Secretary Cielito Habito, now head of the workforce can match the skills required charges against its officers and produc- officers and production staff. military, which is a political party and is Ateneo Center for Economic Research by business trends such as call centers. He tion staff for reckless imprudence re- ABS-CBN has full confidence in the le- allowed to have seats in parliament. The and Development, said the critical chal- noted that the Arroyo government has in sulting in multiple homicides and phys- gal system and has no doubt that justice will Thai military has less respect for the will lenge facing the Arroyo government go- fact reduced the percentage of budget al- ical injuries as a result of the Ultra be ultimately served for all concerned. of the population,” Mangun said. ing into 2007 is how to achieve “holistic, located to education in favor of defense. stampede last February. Regardless of the pending legal issues, Not an issue for business sustainable growth and development.” He added that employment creation re- It is ABS-CBN’s position that there ABS-CBN wishes to assure the public that While acknowledging that a major Development is sustainable if it is mains a major challenge as agriculture, is no evidence to support the DOJ’s de- it will continue to provide support and as- scandal or a “major provable smoking broad-based, that is, all regions, sectors which topped sectoral growth in the sec- cision. Nevertheless, the DOJ’s deci- sistance to the victims of the stampede gun” can topple the Arroyo regime, Man- and generations are able to participate. ond quarter, actually suffered a net loss of sion is not the final ruling on this legal through the 71 Dreams Foundation (see gun still expects the President to remain in “Sustainable development is holistic de- jobs in the first six months of 2006. issue. It will be up to the courts of law related story on page 8), which was cre- to finally decide if the DOJ is correct ated specifically for this purpose. First Gen Hydro purchase ‘Lopez Group companies are built to last’ Top regional CEOs, including Lopez built to last, by having Group chairman Oscar M. Lopez (OML), timeless values, our reason of Pantabangan-Masiway presented their proposals to improve the for existence beyond prof- country’s competitiveness ranking in a its.” gathering of CEOs held in Makati on Oc- The Lopez Group chair power plants OK'd tober 11,2006. attributed the Group’s re- Themed “Reversing the Trend, Turn- siliency and longevity to its First Gen Hydro Power Corp.'s purchase of antee its full, prompt, faithful and com- ing the Bend,” the 5th Management Asso- values of commitment to the 112-megawatt (MW) Pantabangan-Masi- plete performance of the buyer's obliga- ciation of the Philippines’ International public service; importance way hydroelectric power plant complex has tions under the Asset Purchase Agreement CEO Conference aimed to tackle ways of of family and corporate received the go-ahead signal from the credi- covering the Pantabangan-Masiway power making the Philippines a player in the unity; a commitment to tors of the National Power Corp.