SEPTEMBER 2011 www.lopezlink.ph LopezA day at the Group games Palaro 2011: Lopez Group Palaro 2011: Epic win! EpicStory on page 10. win! Story on page 10. http://www.facebook.com/lopezlinkonline www.twitter.com/lopezlinkph A decade of Asian Eye THE story of Asian Eye Institute started out as the story of two men. One was Oscar M. Lopez (OML), chairman emeritus of the Lopez Group, who for almost a decade in the 1990s had to regularly make the pilgrimage to the United States to avail of treatment for his glaucoma. The other was Dr. Felipe Tolentino, a multi-awarded Filipino-American ophthalmologist and the founder of the Ophthalmological Foundation of the Philippines. Turn to page 6 Lopez Group 2011 What’s cooking Top picks from Power midyear conference …page 3 with Juday?…page 4 Plant Mall …page 12 Lopezlink September 2011 BIZ NEWS NEWS Lopezlink September 2011 January to June 2011 Financial Results (Unaudited) Net income/loss attributable to TOTAL REVENUES At the midyear conference equity holders of the parent company 2010 2011 % change 2010 2011 % change ABS-CBN nets P1.7B THE consolidated net income half of 2010, advertising revenues Total operating and other Third generation steps up ABS-CBN P16.838B P13.884B -18 P2.265B P1.677B -26 of ABS-CBN Corporation reg- increased by 4% YoY. expenses dropped by P969M LOPEZ Group chairman Lopez Holdings P16.839B P13.884B -18 P11.376B P815M -93 istered P1.7 billion for the first Consumer sales for the first or 9% YoY to P10.4B. Net in- or manufacturing, are placed ness models. six months of the year. half of 2011 amounted to P5.1B, come attributable to sharehold- Amb. Manuel M. Lopez, who in industries with intense local “What we want is ‘man- EDC P13.022B P11.736B -10 (P2.331B) (P2.331B) -146 ABS-CBN delivered consoli- posting a 4% decrease or P219 ers for the first half of 2011 is currently serves as Philippine and even global competition,” aged chaos’ so that new ideas First Gen $655.4M $646.8M -1 $49.992M (13.280M) -127 dated revenues of P13.9B from million less from a year ago, at P1.7B, aided by a gain on ambassador to Japan, said FRL said. will come out…We believe that P34.244B P31.480B -8 P24.912B* (P284M) -101 FPHC advertising and consumer sales, mainly from ABS-CBN Global. sale of SKYCable Philippine he appreciates the work of He challenged senior ex- there is not one business model *Including P23.6 billion combined gain on the sale of Meralco shares (6.6%) and the mark-to-market restate- an 18% decline compared to a ABS-CBN Global revenues de- Depositary Receipts to STT third-generation Lopez family ecutives to be responsive to that will dominate. Rather, ment of its Meralco shares year ago. Less the revenues from clined by 14% YoY in peso terms Communications Ltd. Mean- members, led by Lopez Group the demands of business as the there will be several business political advocacies and advertise- due to the decline in subscribers while, earnings before interest, vice chairman Eugenio Lopez country and the world evolve. models all coexisting in the RVR Award for Nation Building ment from the first six months of and the appreciation of the Phil- taxes, depreciation and amorti- III (EL3) and First Philippine “We have an economy and digital arena…I don’t want us 2010, consolidated revenues in ippine peso against the US dol- zation hit P4.0B. Holdings Corporation chair- political system that craves to have that bureaucracy that OML honored for outstanding LPZ attributable net the first half of 2011 increased by lar. Meanwhile, SKYCable con- Capital expenditure and film man Federico R. Lopez (FRL), more openness and transpar- stifles creativity. I believe the 1% year-on-year (YoY). tinues to contribute positively and program rights acquisi- for their “active leadership of ency with competition always way we are organized is an ABS-CBN’s advertising rev- with revenues increasing by 8% tion for the first half of 2011 and consideration for the entire the recommended antidote to advantage. We can go around corporate citizenship enues reached P8.8B, a decline of to P2.1B. This is mostly driven amounted to P2.1B, P542M Lopez Group.” high prices and consumer wel- those common issues like ter- WITH his decades of entrepre- “The hurdles were high, “If you honor me (today), income at P815M 24% from a year ago. Minus the by the increased take up of its or 34% higher than the level In a message read for him by fare…we should be preoccupied ritoriality, for example, that neurial leadership and service to but the announcement that the then I believe that it is because LOPEZ Holdings Corporation year (YoY) to P13.884B from EDC made a final provision for revenues from political advoca- broadband service subscriptions of spending from previous year. Lopez Holdings vice president with whether we have what it is so prevalent in traditional the nation, it was “no surprise” award had been conferred on I have remained steadfast and (LPZ) posted P815 million in P16.839B, on account of lower impairment, resulting from de- cies and advertisement in the first which increased by 23% YoY. (Paul Michael Villanueva) for Corporate Affairs Miguel takes to tackle our respective industries,” EL3 said. that Oscar M. Lopez (OML) Oscar Lopez came as no sur- faithful to our Values, and that net income attributable to equity first half results for ABS-CBN commissioning the 49-megawatt L. Lopez, Amb. Lopez told challenges and thrive into the He stressed that no matter became this year’s recipient of the prise,” AIM president Edilberto I have demanded that we live holders of the parent for the first Corporation, absent election- NNGP. The write-down led to executives attending the Lopez next century.” how very different the busi- Ramon V. del Rosario Sr. (RVR) de Jesus said in a message. our corporate lives by them,” six months of 2011. This is 93% related advertising in 1H2010. EDC’s loss contribution to First Group Midyear Performance Managed chaos, shared nesses of the Lopez Group are, Award for Nation Building. OML, in formally accept- he said. “In honoring me, lower than the P11.376 billion Without election-related reve- Gen in the first half of 2011. First Gen posts attributable Reviews that he keeps a close values with the corresponding dis- The award, a project of the ing the RVR award on August therefore, you also honor my net income attributable to equity nues of P3.1B in 1H2010, ABS- “ABS-CBN is still targeting to watch on the Group even as In closing the Midyear Per- parate challenges, it is shared Junior Chamber International 10, 2011, said that peer recog- father, my brothers and all the holders of the parent reported in CBN consolidated revenues equal its 2010 performance. Re- net loss of $13.3M he attends to official duties as formance Reviews, EL3 called values that drive the Lopez (JCI) Manila and the Asian In- nition is the most cherished men and women of the Lopez the first six months of 2010. LPZ would have inched up 1% YoY. moving the effects of the gain on a civil servant. With significant on executives to build organiza- brand. “Our values are a far stitute of Management’s Center form of recognition because it businesses who have preceded booked P127M equity in the net The attributable net income of sale of SKYCable PDRs (from FIRST Gen Corporation re- a decline in the Wholesale expenses resulting from re- parts of the globe in turmoil tions that encourage creativity more important ingredient go- for Corporate Social Responsi- is “often the hardest to earn.” us, and the all the men and loss of associates, following the ABS-CBN for 1H2011 was 1H2011) and the P3.1B revenues ported an attributable net loss Electricity Spot Market prices. duced debt levels and interest economically and politically, and reward risk-taking. With ing forward. As long as we keep bility, aims to recognize “indi- He also paid tribute to other women of the Lopez busi- P284M attributable net loss of 26% lower YoY at P1.677B, in- from political and advocacy ads to parent of $13.3 million for Its year-to-date net income rates at the parent and at Red millions of overseas Filipino “digital natives” proliferating, our eye on the ball, that is, to viduals who best exemplify out- Lopez family members and ex- nesses today.” associate First Philippine Hold- clusive of a P674M gain on sale (from 1H2010), ABS-CBN’s net the first semester of 2011 due to contribution of $1.3M was sig- Vulcan Holdings Corpora- workers risk losing jobs and systems must work to motivate be of service to the Filipino, standing corporate citizenship ecutives with whom he worked The Lopez Group chair- ings Corporation (FPH) during of SKYCable Philippine De- income would have increased by an impairment charge by Ener- nificantly lower compared with tion, the company that directly worse, physical harm. them and allow the prolifera- we can never go wrong.” (Carla and have an underlying passion to rebuild Eugenio Lopez Sr.’s man emeritus is the second the period. The equity in net positary Receipts (PDRs). 19%. As for our energy group, the gy Development Corporation $17.9M in the same period last owns 40% of EDC. At the par- “With these concerns, I tion of new ideas and new busi- Paras-Sison) for nation-building.” legacy from the ruins of mar- recipient of the RVR Award, earnings of associates amounting FPH recognized an impair- P5-B impairment charge taken (EDC) for its Northern Negros year.